As Introduced

127th General Assembly Regular Session 2007-2008

H. B. No. 119

Representative Dolan 

---

A BILL

To amend sections 9.24, 9.30, 9.821, 9.822, 9.823,

1

9.83, 107.40, 109.572, 109.93, 111.18, 118.01,

2

118.08, 118.17, 118.20, 118.23, 119.07, 120.33,

3

122.011, 122.17, 122.171, 122.602, 123.10, 123.17,

4

124.152, 125.01, 125.02, 125.021, 125.022,

5

125.023, 125.04, 125.041, 125.05, 125.06, 125.07,

6

125.071, 125.072, 125.073, 125.08, 125.081,

7

125.082, 125.09, 125.10, 125.11, 125.15, 125.25,

8

125.45, 125.93, 125.96, 125.97, 125.98, 126.07,

9

126.08, 126.21, 126.22, 127.14, 127.16, 131.44,

10

133.01, 133.10, 133.25, 135.35, 135.352, 151.08,

11

151.40, 152.31, 156.02, 164.03, 164.05, 164.051,

12

164.08, 164.09, 166.08, 173.04, 173.35, 173.85,

13

173.86, 176.05, 183.01, 183.021, 183.17, 183.33,

14

183.34, 183.35, 307.021, 307.695, 307.6910,

15

307.98, 307.981, 308.04, 317.08, 319.202, 319.54,

16

321.08, 322.01, 323.151, 323.152, 323.153,

17

323.154, 325.31, 329.04, 329.05, 329.051, 329.14,

18

340.03, 709.191, 718.051, 742.301, 1306.20,

19

1306.21, 1347.06, 1503.05, 1504.02, 1505.07,

20

1506.01, 1506.99, 1521.01, 1521.20, 1521.21,

21

1521.22, 1521.23, 1521.24, 1521.25, 1521.26,

22

1521.27, 1521.28, 1521.29, 1521.99, 1531.06,

23

1531.35, 1548.06, 1555.08, 1557.03, 1751.60,

24

2151.43, 2151.49, 2305.234, 2744.05, 2913.40,

25

2921.42, 2927.023, 2951.02, 3111.04, 3113.06,

26

3113.07, 3119.022, 3119.023, 3119.27, 3119.29,

27

3119.30, 3119.54, 3125.12, 3301.0711, 3301.0714,

28

3301.311, 3301.53, 3302.03, 3302.10, 3310.41,

29

3313.41, 3313.615, 3313.646, 3313.66, 3313.661,

30

3313.98, 3314.013, 3314.014, 3314.015, 3314.02,

31

3314.021, 3314.024, 3314.03, 3314.04, 3314.074,

32

3314.08, 3314.21, 3314.27, 3317.01, 3317.012,

33

3317.013, 3317.014, 3317.015, 3317.016, 3317.017,

34

3317.02, 3317.021, 3317.022, 3317.023, 3317.024,

35

3317.025, 3317.026, 3317.027, 3317.028, 3317.029,

36

3317.0216, 3317.0217, 3317.03, 3317.04, 3317.05,

37

3317.06, 3317.08, 3317.14, 3317.16, 3317.20,

38

3317.201, 3318.08, 3318.15, 3318.26, 3319.081,

39

3319.089, 3319.17, 3319.55, 3321.01, 3323.11,

40

3333.04, 3333.122, 3333.27, 3333.38, 3345.51,

41

3353.02, 3365.01, 3375.05, 3375.121, 3375.40,

42

3375.85, 3381.04, 3503.10, 3701.741, 3702.52,

43

3702.5211, 3702.5212, 3702.5213, 3702.57, 3702.68,

44

3702.74, 3704.03, 3704.14, 3705.24, 3721.51,

45

3721.541, 3721.56, 3734.57, 3735.672, 3745.11,

46

3746.04, 3769.087, 3770.03, 3770.06, 3773.35,

47

3773.36, 3901.021, 3901.86, 4115.04, 4117.01,

48

4123.27, 4123.35, 4141.09, 4301.43, 4503.06,

49

4503.061, 4503.064, 4503.065, 4503.066, 4503.067,

50

4503.10, 4503.35, 4505.06, 4513.263, 4519.55,

51

4717.07, 4723.621, 4723.63, 4723.64, 4723.65,

52

4723.651, 4723.66, 4731.65, 4731.71, 4743.05,

53

4755.03, 4766.05, 4775.08, 4921.40, 5101.16,

54

5101.162, 5101.17, 5101.181, 5101.182, 5101.184,

55

5101.21, 5101.211, 5101.212, 5101.213, 5101.24,

56

5101.242, 5101.244, 5101.26, 5101.28, 5101.31,

57

5101.35, 5101.36, 5101.51, 5101.54, 5101.571,

58

5101.572, 5101.58, 5101.59, 5101.802, 5101.97,

59

5101.98, 5104.30, 5107.01, 5107.02, 5107.03,

60

5107.05, 5107.10, 5107.12, 5107.14, 5107.16,

61

5107.161, 5107.162, 5107.17, 5107.281, 5107.30,

62

5107.36, 5107.41, 5107.42, 5107.44, 5107.52,

63

5107.54, 5107.541, 5107.61, 5107.65, 5107.66,

64

5107.67, 5107.68, 5107.69, 5107.70, 5111.01,

65

5111.014, 5111.016, 5111.019, 5111.0112, 5111.023,

66

5111.03, 5111.06, 5111.10, 5111.101, 5111.163,

67

5111.17, 5111.20, 5111.871, 5111.8814, 5111.915,

68

5111.941, 5111.95, 5111.96, 5112.03, 5112.08,

69

5112.341, 5115.12, 5117.10, 5119.611, 5120.03,

70

5123.01, 5123.043, 5123.045, 5123.051, 5123.19,

71

5123.196, 5123.198, 5123.20, 5123.211, 5123.38,

72

5123.41, 5123.51, 5123.99, 5126.038, 5126.042,

73

5126.046, 5126.055, 5126.057, 5126.06, 5126.11,

74

5126.12, 5126.15, 5126.18, 5126.19, 5126.25,

75

5126.40, 5126.42, 5126.43, 5126.45, 5126.47,

76

5139.27, 5139.271, 5139.43, 5528.54, 5531.10,

77

5703.57, 5703.80, 5705.28, 5705.281, 5705.29,

78

5705.30, 5705.31, 5705.32, 5705.321, 5705.37,

79

5709.68, 5709.882, 5713.34, 5715.36, 5719.041,

80

5725.151, 5725.24, 5727.45, 5727.84, 5727.85,

81

5727.87, 5733.12, 5739.02, 5739.033, 5739.12,

82

5739.21, 5741.02, 5741.03, 5743.01, 5743.20,

83

5745.02, 5745.05, 5745.13, 5747.03, 5747.122,

84

5747.46, 5747.47, 5747.48, 5747.50, 5747.501,

85

5747.51, 5747.52, 5747.53, 5747.54, 5747.55,

86

5748.01, 5748.02, 5751.20, 5751.21, 5751.23,

87

5907.15, 6109.21, 6121.04, and 6121.043; to amend,

88

for the purpose of adopting new section numbers as

89

indicated in parentheses, sections 1521.20

90

(1506.38), 1521.21 (1506.39), 1521.22 (1506.40),

91

1521.23 (1506.41), 1521.24 (1506.42), 1521.25

92

(1506.43), 1521.26 (1506.44), 1521.27 (1506.45),

93

1521.28 (1506.46), 1521.29 (1506.47), 1521.30

94

(1506.48), 3702.63 (3702.591), 3702.68 (3702.59),

95

5107.44 (5107.60), 5107.52 (5107.46), 5107.54

96

(5107.58), 5107.541 (5107.47), 5107.61 (5107.48),

97

5107.65 (5107.50), 5107.66 (5107.44), 5107.67

98

(5107.54), 5107.68 (5107.56), 5107.69 (5107.61),

99

5111.95 (5111.033), and 5111.96 (5111.034); to

100

enact new sections 5107.40, 5107.52, and 5123.16

101

and sections 122.014, 122.051, 122.071, 122.076,

102

122.174, 125.011, 126.17, 126.18, 126.19, 126.24,

103

126.40, 131.51, 183.51, 183.52, 901.261, 3123.23,

104

3301.162, 3314.027, 3314.19, 3318.47, 3333.50,

105

3345.02, 4703.071, 4923.26, 5101.541, 5101.573,

106

5101.574, 5101.575, 5101.591, 5107.04, 5107.45,

107

5111.0119, 5111.028, 5111.031, 5111.032, 5111.102,

108

5111.861, 5114.01, 5114.02, 5114.03, 5114.04,

109

5114.05, 5123.033, 5123.0414, 5123.0415, 5123.161,

110

5123.162, 5123.163, 5123.164, 5123.165, 5123.166,

111

5123.167, 5123.168, 5123.169, 5123.605, 5739.029,

112

5739.213, 5748.022, 5907.16, and 6111.0381; to

113

repeal sections 125.18, 125.30, 125.95, 183.02,

114

183.27, 183.32, 3310.01, 3310.02, 3310.03,

115

3310.04, 3310.05, 3310.06, 3310.07, 3310.08,

116

3310.09, 3310.10, 3310.11, 3310.12, 3310.13,

117

3310.14, 3310.17, 3314.051, 3318.47, 3318.48,

118

3318.49, 3319.0810, 3333.29, 3702.68, 4911.021,

119

5101.213, 5107.40, 5107.43, 5107.50, 5107.58,

120

5107.60, 5107.62, 5107.64, 5111.161, 5123.16,

121

5123.182, 5123.199, 5126.035, 5126.036, 5126.053,

122

5126.431, 5126.44, 5126.451, 5743.331, 5747.61,

123

5747.62, and 5747.63 of the Revised Code; to amend

124

Section 611.03 of Am. Sub. H.B. 66 of the 126th

125

General Assembly, to amend Sections 227.10,

126

235.20.20, 235.30.70, and 329.10 of Am. Sub. H.B.

127

699 of the 126th General Assembly, to amend

128

Section 235.30 of Am. Sub. H.B. 530 of the 126th

129

General Assembly, as subsequently amended, to

130

amend Section 4 of Am. Sub. H.B. 516 of the 125th

131

General Assembly, as subsequently amended, to

132

amend Section 153 of Am. Sub. H.B. 117 of the

133

121st General Assembly, as subsequently amended,

134

and to amend the version of section 127.16 of the

135

Revised Code that is scheduled to take effect July

136

1, 2007, to repeal the version of section 3702.68

137

of the Revised Code that was to have taken effect

138

July 1, 2007, to make operating appropriations for

139

the biennium beginning July 1, 2007, and ending

140

June 30, 2009, and to provide authorization and

141

conditions for the operation of state programs.

142

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 101.01. That sections 9.24, 9.30, 9.821, 9.822,	143
9.823, 9.83, 107.40, 109.572, 109.93, 111.18, 118.01, 118.08,	144
118.17, 118.20, 118.23, 119.07, 120.33, 122.011, 122.17, 122.171,	145
122.602, 123.10, 123.17, 124.152, 125.01, 125.02, 125.021,	146
125.022, 125.023, 125.04, 125.041, 125.05, 125.06, 125.07,	147
125.071, 125.072, 125.073, 125.08, 125.081, 125.082, 125.09,	148
125.10, 125.11, 125.15, 125.25, 125.45, 125.93, 125.96, 125.97,	149
125.98, 126.07, 126.08, 126.21, 126.22, 127.14, 127.16, 131.44,	150
133.01, 133.10, 133.25, 135.35, 135.352, 151.08, 151.40, 152.31,	151
156.02, 164.03, 164.05, 164.051, 164.08, 164.09, 166.08, 173.04,	152
173.35, 173.85, 173.86, 176.05, 183.01, 183.021, 183.17, 183.33,	153
183.34, 183.35, 307.021, 307.695, 307.6910, 307.98, 307.981,	154
308.04, 317.08, 319.202, 319.54, 321.08, 322.01, 323.151, 323.152,	155
323.153, 323.154, 325.31, 329.04, 329.05, 329.051, 329.14, 340.03,	156
709.191, 718.051, 742.301, 1306.20, 1306.21, 1347.06, 1503.05,	157
1504.02, 1505.07, 1506.01, 1506.99, 1521.01, 1521.20, 1521.21,	158
1521.22, 1521.23, 1521.24, 1521.25, 1521.26, 1521.27, 1521.28,	159
1521.29, 1521.99, 1531.06, 1531.35, 1548.06, 1555.08, 1557.03,	160
1751.60, 2151.43, 2151.49, 2305.234, 2744.05, 2913.40, 2921.42,	161
2927.023, 2951.02, 3111.04, 3113.06, 3113.07, 3119.022, 3119.023,	162
3119.27, 3119.29, 3119.30, 3119.54, 3125.12, 3301.0711, 3301.0714,	163
3301.311, 3301.53, 3302.03, 3302.10, 3310.41, 3313.41, 3313.615,	164
3313.646, 3313.66, 3313.661, 3313.98, 3314.013, 3314.014,	165
3314.015, 3314.02, 3314.021, 3314.024, 3314.03, 3314.04, 3314.074,	166
3314.08, 3314.21, 3314.27, 3317.01, 3317.012, 3317.013, 3317.014,	167
3317.015, 3317.016, 3317.017, 3317.02, 3317.021, 3317.022,	168
3317.023, 3317.024, 3317.025, 3317.026, 3317.027, 3317.028,	169
3317.029, 3317.0216, 3317.0217, 3317.03, 3317.04, 3317.05,	170
3317.06, 3317.08, 3317.14, 3317.16, 3317.20, 3317.201, 3318.08,	171
3318.15, 3318.26, 3319.081, 3319.089, 3319.17, 3319.55, 3321.01,	172
3323.11, 3333.04, 3333.122, 3333.27, 3333.38, 3345.51, 3353.02,	173
3365.01, 3375.05, 3375.121, 3375.40, 3375.85, 3381.04, 3503.10,	174
3701.741, 3702.52, 3702.5211, 3702.5212, 3702.5213, 3702.57,	175
3702.68, 3702.74, 3704.03, 3704.14, 3705.24, 3721.51, 3721.541,	176
3721.56, 3734.57, 3735.672, 3745.11, 3746.04, 3769.087, 3770.03,	177
3770.06, 3773.35, 3773.36, 3901.021, 3901.86, 4115.04, 4117.01,	178
4123.27, 4123.35, 4141.09, 4301.43, 4503.06, 4503.061, 4503.064,	179
4503.065, 4503.066, 4503.067, 4503.10, 4503.35, 4505.06, 4513.263,	180
4519.55, 4717.07, 4723.621, 4723.63, 4723.64, 4723.65, 4723.651,	181
4723.66, 4731.65, 4731.71, 4743.05, 4755.03, 4766.05, 4775.08,	182
4921.40, 5101.16, 5101.162, 5101.17, 5101.181, 5101.182, 5101.184,	183
5101.21, 5101.211, 5101.212, 5101.213, 5101.24, 5101.242,	184
5101.244, 5101.26, 5101.28, 5101.31, 5101.35, 5101.36, 5101.51,	185
5101.54, 5101.571, 5101.572, 5101.58, 5101.59, 5101.802, 5101.97,	186
5101.98, 5104.30, 5107.01, 5107.02, 5107.03, 5107.05, 5107.10,	187
5107.12, 5107.14, 5107.16, 5107.161, 5107.162, 5107.17, 5107.281,	188
5107.30, 5107.36, 5107.41, 5107.42, 5107.44, 5107.52, 5107.54,	189
5107.541, 5107.61, 5107.65, 5107.66, 5107.67, 5107.68, 5107.69,	190
5107.70, 5111.01, 5111.014, 5111.016, 5111.019, 5111.0112,	191
5111.023, 5111.03, 5111.06, 5111.10, 5111.101, 5111.163, 5111.17,	192
5111.20, 5111.871, 5111.8814, 5111.915, 5111.941, 5111.95,	193
5111.96, 5112.03, 5112.08, 5112.341, 5115.12, 5117.10, 5119.611,	194
5120.03, 5123.01, 5123.043, 5123.045, 5123.051, 5123.19, 5123.196,	195
5123.198, 5123.20, 5123.211, 5123.38, 5123.41, 5123.51, 5123.99,	196
5126.038, 5126.042, 5126.046, 5126.055, 5126.057, 5126.06,	197
5126.11, 5126.12, 5126.15, 5126.18, 5126.19, 5126.25, 5126.40,	198
5126.42, 5126.43, 5126.45, 5126.47, 5139.27, 5139.271, 5139.43,	199
5528.54, 5531.10, 5703.57, 5703.80, 5705.28, 5705.281, 5705.29,	200
5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 5709.68, 5709.882,	201
5713.34, 5715.36, 5719.041, 5725.151, 5725.24, 5727.45, 5727.84,	202
5727.85, 5727.87, 5733.12, 5739.02, 5739.033, 5739.12, 5739.21,	203
5741.02, 5741.03, 5743.01, 5743.20, 5745.02, 5745.05, 5745.13,	204
5747.03, 5747.122, 5747.46, 5747.47, 5747.48, 5747.50, 5747.501,	205
5747.51, 5747.52, 5747.53, 5747.54, 5747.55, 5748.01, 5748.02,	206
5751.20, 5751.21, 5751.23, 5907.15, 6109.21, 6121.04, and 6121.043	207
be amended; sections 1521.20 (1506.38), 1521.21 (1506.39), 1521.22	208
(1506.40), 1521.23 (1506.41), 1521.24 (1506.42), 1521.25	209
(1506.43), 1521.26 (1506.44), 1521.27 (1506.45), 1521.28	210
(1506.46), 1521.29 (1506.47), 1521.30 (1506.48), 3702.63	211
(3702.591), 3702.68 (3702.59), 5107.44 (5107.60), 5107.52	212
(5107.46), 5107.54 (5107.58), 5107.541 (5107.47), 5107.61	213
(5107.48), 5107.65 (5107.50), 5107.66 (5107.44), 5107.67	214
(5107.54), 5107.68 (5107.56), 5107.69 (5107.61), 5111.95	215
(5111.033), and 5111.96 (5111.034) be amended for the purpose of	216
adopting new section numbers as indicated in parentheses; and new	217
sections 5107.40, 5107.52, and 5123.16 and sections 122.014,	218
122.051, 122.071, 122.076, 122.174, 125.011, 126.17, 126.18,	219
126.19, 126.24, 126.40, 131.51, 183.51, 183.52, 901.261, 3123.23,	220
3301.162, 3314.027, 3314.19, 3318.47, 3333.50, 3345.02, 4703.071,	221
4923.26, 5101.541, 5101.573, 5101.574, 5101.575, 5101.591,	222
5107.04, 5107.45, 5111.0119, 5111.028, 5111.031, 5111.032,	223
5111.102, 5111.861, 5114.01, 5114.02, 5114.03, 5114.04, 5114.05,	224
5123.033, 5123.0414, 5123.0415, 5123.161, 5123.162, 5123.163,	225
5123.164, 5123.165, 5123.166, 5123.167, 5123.168, 5123.169,	226
5123.605, 5739.029, 5739.213, 5748.022, 5907.16, and 6111.0381 of	227
the Revised Code be enacted to read as follows:	228

Sec. 9.24. (A) Except as may be allowed under division (F) of	229
this section, no state agency and no political subdivision shall	230
award a contract as described in division (G)(1) of this section	231
for goods, services, or construction, paid for in whole or in part	232
with state funds, to a person against whom a finding for recovery	233
has been issued by the auditor of state on and after January 1,	234
2001, if the finding for recovery is unresolved.	235

A contract is considered to be awarded when it is entered	236
into or executed, irrespective of whether the parties to the	237
contract have exchanged any money.	238

(B) For purposes of this section, a finding for recovery is	239
unresolved unless one of the following criteria applies:	240

(1) The money identified in the finding for recovery is paid	241
in full to the state agency or political subdivision to whom the	242
money was owed;	243

(2) The debtor has entered into a repayment plan that is	244
approved by the attorney general and the state agency or political	245
subdivision to whom the money identified in the finding for	246
recovery is owed. A repayment plan may include a provision	247
permitting a state agency or political subdivision to withhold	248
payment to a debtor for goods, services, or construction provided	249
to or for the state agency or political subdivision pursuant to a	250
contract that is entered into with the debtor after the date the	251
finding for recovery was issued.	252

(3) The attorney general waives a repayment plan described in	253
division (B)(2) of this section for good cause;	254

(4) The debtor and state agency or political subdivision to	255
whom the money identified in the finding for recovery is owed have	256
agreed to a payment plan established through an enforceable	257
settlement agreement.	258

(5) The state agency or political subdivision desiring to	259
enter into a contract with a debtor certifies, and the attorney	260
general concurs, that all of the following are true:	261

(a) Essential services the state agency or political	262
subdivision is seeking to obtain from the debtor cannot be	263
provided by any other person besides the debtor;	264

(b) Awarding a contract to the debtor for the essential	265
services described in division (B)(5)(a) of this section is in the	266
best interest of the state;	267

(c) Good faith efforts have been made to collect the money	268
identified in the finding of recovery.	269

(6) The debtor has commenced an action to contest the finding	270
for recovery and a final determination on the action has not yet	271
been reached.	272

(C) The attorney general shall submit an initial report to	273
the auditor of state, not later than December 1, 2003, indicating	274
the status of collection for all findings for recovery issued by	275
the auditor of state for calendar years 2001, 2002, and 2003.	276
Beginning on January 1, 2004, the attorney general shall submit to	277
the auditor of state, on the first day of every January, April,	278
July, and October, a list of all findings for recovery that have	279
been resolved in accordance with division (B) of this section	280
during the calendar quarter preceding the submission of the list	281
and a description of the means of resolution. The attorney general	282
shall notify the auditor of state when a judgment is issued	283
against an entity described in division (F)(1) of this section.	284

(D) The auditor of state shall maintain a database,	285
accessible to the public, listing persons against whom an	286
unresolved finding for recovery has been issued, and the amount of	287
the money identified in the unresolved finding for recovery. The	288
auditor of state shall have this database operational on or before	289
January 1, 2004. The initial database shall contain the	290
information required under this division for calendar years 2001,	291
2002, and 2003.	292

Beginning January 15, 2004, the auditor of state shall update	293
the database by the fifteenth day of every January, April, July,	294
and October to reflect resolved findings for recovery that are	295
reported to the auditor of state by the attorney general on the	296
first day of the same month pursuant to division (C) of this	297
section.	298

(E) Before awarding a contract as described in division	299
(G)(1) of this section for goods, services, or construction, paid	300
for in whole or in part with state funds, a state agency or	301
political subdivision shall verify that the person to whom the	302
state agency or political subdivision plans to award the contract	303
has no unresolved finding for recovery issued against the person.	304
A state agency or political subdivision shall verify that the	305
person does not appear in the database described in division (D)	306
of this section or shall obtain other proof that the person has no	307
unresolved finding for recovery issued against the person.	308

(F) The prohibition of division (A) of this section and the	309
requirement of division (E) of this section do not apply with	310
respect to the companies or agreements described in divisions	311
(F)(1) and (2) of this section, or in the circumstance described	312
in division (F)(3) of this section.	313

(1) A bonding company or a company authorized to transact the	314
business of insurance in this state, a self-insurance pool, joint	315
self-insurance pool, risk management program, or joint risk	316
management program, unless a court has entered a final judgment	317
against the company and the company has not yet satisfied the	318
final judgment.	319

(2) To medicaid provider agreements under Chapter 5111. of	320
the Revised Code, provider agreements under the nonfederal medical	321
assistance program established under Chapter 5114. of the Revised	322
Code, or payments or provider agreements under disability	323
assistance medical assistance established under Chapter 5115. of	324
the Revised Code.	325

(3) When federal law dictates that a specified entity provide	326
the goods, services, or construction for which a contract is being	327
awarded, regardless of whether that entity would otherwise be	328
prohibited from entering into the contract pursuant to this	329
section.	330

(G)(1) This section applies only to contracts for goods,	331
services, or construction that satisfy the criteria in either	332
division (G)(1)(a) or (b) of this section. This section may apply	333
to contracts for goods, services, or construction that satisfy the	334
criteria in division (G)(1)(c) of this section, provided that the	335
contracts also satisfy the criteria in either division (G)(1)(a)	336
or (b) of this section.	337

(a) The cost for the goods, services, or construction	338
provided under the contract is estimated to exceed twenty-five	339
thousand dollars.	340

(b) The aggregate cost for the goods, services, or	341
construction provided under multiple contracts entered into by the	342
particular state agency and a single person or the particular	343
political subdivision and a single person within the fiscal year	344
preceding the fiscal year within which a contract is being entered	345
into by that same state agency and the same single person or the	346
same political subdivision and the same single person, exceeded	347
fifty thousand dollars.	348

(c) The contract is a renewal of a contract previously	349
entered into and renewed pursuant to that preceding contract.	350

(2) This section does not apply to employment contracts.

351

(H) As used in this section:

352

(1) "State agency" has the same meaning as in section 9.66 of	353
the Revised Code.	354

(2) "Political subdivision" means a political subdivision as	355
defined in section 9.82 of the Revised Code that has received more	356
than fifty thousand dollars of state money in the current fiscal	357
year or the preceding fiscal year.	358

(3) "Finding for recovery" means a determination issued by	359
the auditor of state, contained in a report the auditor of state	360
gives to the attorney general pursuant to section 117.28 of the	361
Revised Code, that public money has been illegally expended,	362
public money has been collected but not been accounted for, public	363
money is due but has not been collected, or public property has	364
been converted or misappropriated.	365

(4) "Debtor" means a person against whom a finding for	366
recovery has been issued.	367

(5) "Person" means the person named in the finding for	368
recovery.	369

(6) "State money" does not include funds the state receives	370
from another source and passes through to a political subdivision.	371

Sec. 9.30.  The appropriate public officer of the state,	372
county, municipal corporation, township, school, or other public	373
body or institution, may acquire the service, product, or	374
commodity of a public utility at the schedule of rates and charges	375
applicable to such service, product, or commodity on file with the	376
public utilities commission, or the applicable charge established	377
by a utility operating its property not for profit, at any	378
location where such public utility service, product, or commodity	379
is not available, from alternate public utilities, without the	380
necessity of advertising to obtain bids, and without notice,	381
irrespective of the amount of money involved. Nothing in this	382
section supersedes sections 125.01 to 125.15 of the Revised Code	383
for the acquisition of telecommunication utility services by state	384
agencies.	385

Sec. 9.821.  (A) The department of administrative services	386
shall direct and manage for state agencies all risk management and	387
insurance programs authorized under section 9.822 of the Revised	388
Code.	389

(B) The office of risk management is hereby established	390
within the department of administrative services. The director of	391
administrative services, or a deputy director appointed by the	392
director, shall control and supervise the office.	393

(C) The office may take any of the following actions that it	394
determines to be in the best interests of the state:	395

(1) Provide all insurance coverages for the state, including,	396
but not limited to, automobile liability, casualty, property,	397
public liability, and, except as provided in division (C)(6) of	398
this section, fidelity bond insurancebonding. The cost of	399
insurance coverage shall be paid from appropriations made to the	400
state agencies that the office has designated to receive the	401
coverage.	402

(2) Provide coverage of legal expenses that are necessary and	403
related to the legal defense of claims against the state;	404

(3) Purchase insurance policies consistent with sections	405
125.01 to 125.111 of the Revised Code, develop and administer	406
self-insurance programs, or do both;	407

(4) Consolidate and combine state insurance coverages;

408

(5) Provide technical services in risk management and	409
insurance to state agencies;	410

(6)(a) Establish and administer a self-insured fidelity bond	411
program for a particular class or subclass of state officer,	412
employee, or agent, if, prior to the establishment and	413
administration of this program, the director does both of the	414
following:	415

(i) Holds a hearing in accordance with Chapter 119. of the	416
Revised Code to determine whether fidelity bond insurance for that	417
particular class or subclass of state officer, employee, or agent	418
is available in the voluntary market;	419

(ii) If, as a result of that hearing, the director determines	420
that fidelity bond insurance for a particular class or subclass of	421
state officer, employee, or agent is unavailable in the voluntary	422
market and that the absence of this insurance threatens the	423
operation of state government and will be detrimental to the	424
general welfare of the citizens of this state, adopts rules in	425
accordance with Chapter 119. of the Revised Code to establish	426
standards and procedures governing the establishment,	427
administration, and termination of the fidelity bond program for	428
that particular class or subclass of state officer, employee, or	429
agent.	430

(b) Division (C)(6)(a) of this section does not apply to any	431
self-insured blanket fidelity bond program that, on September 20,	432
1993, has been established pursuant to section 9.831 of the	433
Revised Code.	434

(7) Except as provided in division (C)(6) of this section,	435
adoptAdopt and publish, in accordance with section 111.15 of the	436
Revised Code, necessary rules and procedures governing the	437
administration of the state's insurance and risk management	438
activities.	439

(D) No state agency, except a state agency exempted under	440
section 125.02 or 125.04 of the Revised Code from the department's	441
purchasing authority, shall purchase any insurance described in	442
this section except as authorized by the department, when the	443
office of risk management determines that the purchase is in the	444
best interest of the state pursuant to division (C)(1) of this	445
section, and in accordance with terms, conditions, and procurement	446
methods established by the department.	447

(E) With respect to any civil action, demand, or claim	448
against the state that could be filed in the court of claims,	449
nothing in sections 9.82 to 9.823 of the Revised Code shall be	450
interpreted to permit the settlement or compromise of those civil	451
actions, demands, or claims, except in the manner provided in	452
Chapter 2743. of the Revised Code.	453

Sec. 9.822.  (A) The department of administrative services	454
through the office of risk management shall establish an insurance	455
plan or plans that may provide for self-insurance or the purchase	456
of insurance, or both, for any of the following purposes:	457

(1) Insuring state real and personal property against losses	458
occasioned by fire, windstorm, or other accidents and perils;	459

(2) Insuring the state and its officers and employees against	460
liability resulting from any civil action, demand, or claim	461
against the state or its officers and employees arising out of any	462
act or omission of an officer or employee in the performance of	463
official duties, except acts and omissions for which	464
indemnification is prohibited under section 9.87 of the Revised	465
Code;	466

(3) Insuring the state through the fidelity bonding of state	467
officers, employees, and agents who are required by law to provide	468
a fidelity bond.	469

(B)(1) Prior to the establishment of any self-insured	470
fidelity bond program for a particular class or subclass of state	471
officer, employee, or agent authorized pursuant to division (A)(3)	472
of this section, the director of administrative services shall	473
follow the procedures for holding a hearing and adopting rules set	474
forth in division (C)(6)(a) of section 9.821 of the Revised Code.	475

(2) Division (B)(1) of this section does not apply to any	476
self-insured blanket fidelity bond program that, on September 20,	477
1993, has been established pursuant to section 9.831 of the	478
Revised Code.	479

(3) The director shall prepare annually a written report	480
detailing any self-insured fidelity bond program established	481
pursuant to division (A)(3) of this section. The report shall	482
include, but is not limited to, information relating to premiums	483
collected, income from recovery, loss experience, and	484
administrative costs of the program. A copy of the report,	485
together with a copy of those portions of the most recent reports	486
submitted under division (D) of section 9.823 of the Revised Code	487
that pertain to any such self-insured fidelity bond program, shall	488
be submitted to the speaker of the house of representatives and	489
the president of the senate by the last day of March of each year.	490

Sec. 9.823.  (A) All contributions collected by the director	491
of administrative services under division (E) of this section	492
shall be deposited into the state treasury to the credit of the	493
risk management reserve fund, which is hereby created. The fund	494
shall be used to provide insurance and self-insurance for the	495
state under sectionsections 9.822 and 9.83 of the Revised Code.	496
All investment earnings of the fund shall be credited to it.	497

(B) The director, through the office of risk management,	498
shall operate the risk management reserve fund on an actuarially	499
sound basis.	500

(C) Reserves shall be maintained in the risk management	501
reserve fund in any amount that is necessary and adequate, in the	502
exercise of sound and prudent actuarial judgment, to cover	503
potential liability claims, expenses, fees, or damages. Money in	504
the fund may be applied to the payment of liability claims that	505
are filed against the state in the court of claims and determined	506
in the manner provided for under Chapter 2743. of the Revised	507
Code. The director may procure the services of a qualified	508
actuarial firm for the purpose of recommending the specific amount	509
of money that would be required to maintain adequate reserves for	510
a given period of time.	511

(D) A report of the amounts reserved and disbursements made	512
from the reserves, together with a written report of a competent	513
property and casualty actuary, shall be submitted, on or before	514
the last day of March for the preceding calendar year, to the	515
speaker of the house of representatives and the president of the	516
senate. The actuary shall certify the adequacy of the rates of	517
contributions, the sufficiency of excess insurance, and whether	518
the amounts reserved conform to the requirements of this section,	519
are computed in accordance with accepted loss reserving standards,	520
and are fairly stated in accordance with sound loss reserving	521
principles. The report shall include disbursements made for the	522
administration of the fund, including claims paid, cost of legal	523
representation of state agencies and employees, and fees paid to	524
consultants.	525

(E) The director shall collect from each state agency or any	526
participating state body its contribution to the risk management	527
reserve fund for the purpose of purchasing insurance or	528
administering self-insurance programs for coverages authorized	529
under sectionsections 9.822 and 9.83 of the Revised Code. The	530
contribution shall be determined by the director, with the	531
approval of the director of budget and management, and shall be	532
based upon actuarial assumptions and the relative risk and loss	533
experience of each state agency or participating state body. The	534
contribution shall further include a reasonable sum to cover the	535
department's administrative costs.	536

Sec. 9.83.  (A) The state and any political subdivision may	537
procure a policy or policies of insurance insuring its officers	538
and employees against liability for injury, death, or loss to	539
person or property that arises out of the operation of an	540
automobile, truck, motor vehicle with auxiliary equipment,	541
self-propelling equipment or trailer, aircraft, or watercraft by	542
the officers or employees while engaged in the course of their	543
employment or official responsibilities for the state or the	544
political subdivision. The state is authorized to expend funds to	545
pay judgments that are rendered in any court against its officers	546
or employees and that result from such operation, and is	547
authorized to expend funds to compromise claims for liability	548
against its officers or employees that result from such operation.	549
No insurer shall deny coverage under such a policy, and the state	550
shall not refuse to pay judgments or compromise claims, on the	551
ground that an automobile, truck, motor vehicle with auxiliary	552
equipment, self-propelling equipment or trailer, aircraft, or	553
watercraft was not being used in the course of an officer's or	554
employee's employment or official responsibilities for the state	555
or a political subdivision unless the officer or employee who was	556
operating an automobile, truck, motor vehicle with auxiliary	557
equipment, or self-propelling equipment or trailer is convicted of	558
a violation of section 124.71 of the Revised Code as a result of	559
the same events.	560

(B) Funds shall be reserved as necessary, in the exercise of	561
sound and prudent actuarial judgment, to cover potential expense,	562
fees, damage, loss, or other liability. The superintendent of	563
insuranceoffice of risk management may recommend or, if the state	564
requests of the superintendentoffice of risk management, shall	565
recommend, a specific amount for any period of time that, in the	566
superintendent's opinion of the office of risk management,	567
represents such a judgment.	568

(C) Nothing in this section shall be construed to require the	569
department of administrative services to purchase liability	570
insurance for all state vehicles in a single policy of insurance	571
or to cover all state vehicles under a single plan of	572
self-insurance.	573

(D) Insurance procured by the state pursuant to this section	574
shall be procured as provided in section 125.03 of the Revised	575
Code.	576

(E) For purposes of liability insurance procured under this	577
section to cover the operation of a motor vehicle by a prisoner	578
for whom the insurance is procured, "employee" includes a prisoner	579
in the custody of the department of rehabilitation and correction	580
who is enrolled in a work program that is established by the	581
department pursuant to section 5145.16 of the Revised Code and in	582
which the prisoner is required to operate a motor vehicle, as	583
defined in section 4509.01 of the Revised Code, and who is engaged	584
in the operation of a motor vehicle in the course of the work	585
program.	586

(F) There is hereby created in the state treasury the vehicle	587
liability fund. All contributions collected by the director of	588
administrative services under division (I) of this section shall	589
be deposited into the fund. The fund shall be used to provide	590
insurance and self-insurance for the state under this section. All	591
investment earnings of the fund shall be credited to itrisk	592
management reserve fund created in section 9.823 of the Revised	593
Code to the credit of the vehicle liability program.	594

(G) The director of administrative services, through the	595
office of risk management, shall operate the vehicle liability	596
fund on an actuarially sound basis.	597

(H) Reserves shall be maintained in the vehicle liability	598
risk management reserve fund to the credit of the vehicle	599
liability program in any amount that is necessary and adequate, in	600
the exercise of sound and prudent actuarial judgment, to cover	601
potential liability claims, expenses, fees, or damages. Money in	602
the fund may be applied to the payment of liability claims that	603
are filed against the state in the court of claims and determined	604
in the manner provided in Chapter 2743. of the Revised Code. The	605
director of administrative services may procure the services of a	606
qualified actuarial firm for the purpose of recommending the	607
specific amount of money that is required to maintain adequate	608
reserves for a specified period of time.	609

(I)(H) The director of administrative services shall collect	610
from each state agency or any participating state body its	611
contribution to the vehicle liability fundprogram for the purpose	612
of purchasing insurance or administering self-insurance programs	613
for coverage authorized under this section. The amount of the	614
contribution shall be determined by the director, with the	615
approval of the director of budget and management. It shall be	616
based upon actuarial assumptions and the relative risk and loss	617
experience of each state agency or participating state body. The	618
amount of the contribution also shall include a reasonable sum to	619
cover administrative costs of the department of administrative	620
services. The amounts collected pursuant to this division shall be	621
deposited in the risk management reserve fund to the credit of the	622
vehicle liability program.	623

Sec. 107.40.  (A) There is hereby created the governor's	624
residence advisory commission. The commission shall provide for	625
the preservation, restoration, acquisition, and conservation of	626
all decorations, objects of art, chandeliers, china, silver,	627
statues, paintings, furnishings, accouterments, and other	628
aesthetic materials that have been acquired, donated, loaned, or	629
otherwise obtained by the state for the governor's residence and	630
that have been approved by the commission. In addition, the	631
commission shall provide for the maintenance of plants that have	632
been acquired, donated, loaned, or otherwise obtained by the state	633
for the governor's residence and that have been approved by the	634
commission.	635

(B) The commission shall be responsible for the care,	636
provision, repair, and placement of furnishings and other objects	637
and accessories of the grounds and public areas of the first story	638
of the governor's residence and for the care and placement of	639
plants on the grounds. In exercising this responsibility, the	640
commission shall preserve and seek to further establish all of the	641
following:	642

(1) The authentic ambiance and decor of the historic era	643
during which the governor's residence was constructed;	644

(2) The grounds as a representation of Ohio's natural	645
ecosystems;	646

(3) The heritage garden for all of the following purposes:

647

(a) To preserve, sustain, and encourage the use of native	648
flora throughout the state;	649

(b) To replicate the state's physiographic regions, plant	650
communities, and natural landscapes;	651

(c) To serve as an educational garden that demonstrates the	652
artistic, industrial, political, horticultural, and geologic	653
history of the state through the use of plants;	654

(d) To serve as a reservoir of rare species of plants from	655
the physiographic regions of the state.	656

These duties shall not affect the obligation of the	657
department of administrative services to provide for theand adopt	658
policies and procedures regarding the use, general maintenance,	659
and operating expenses of the governor's residence.	660

(C) The commission shall consist of eleven members. One	661
member shall be the director of administrative services or the	662
director's designee, who shall serve during the director's term of	663
office and shall serve as chairperson. One member shall be the	664
director of the Ohio historical society or the director's	665
designee, who shall serve during the director's term of office and	666
shall serve as vice-chairperson. One member shall represent the	667
Columbus landmarks foundation. One member shall represent the	668
Bexley historical society. One member shall be the mayor of the	669
city of Bexley, who shall serve during the mayor's term of office.	670
One member shall be the chief executive officer of the Franklin	671
park conservatory joint recreation district, who shall serve	672
during the term of employment as chief executive officer. The	673
remaining five members shall be appointed by the governor with the	674
advice and consent of the senate. The five members appointed by	675
the governor shall be persons with knowledge of Ohio history,	676
architecture, decorative arts, or historic preservation, and one	677
of those members shall have knowledge of landscape architecture,	678
garden design, horticulture, and plants native to this state.	679

(D) Of the initial appointees, the representative of the	680
Columbus landmarks foundation shall serve for a term expiring	681
December 31, 1996, and the representative of the Bexley historical	682
society shall serve for a term expiring December 31, 1997. Of the	683
five members appointed by the governor, three shall serve for	684
terms ending December 31, 1998, and two shall serve for terms	685
ending December 31, 1999. Thereafter, each term shall be for four	686
years, commencing on the first day of January and ending on the	687
last day of December. The member having knowledge of landscape	688
architecture, garden design, horticulture, and plants native to	689
this state initially shall be appointed upon the first vacancy on	690
the commission occurring on or after June 30, 2006.	691

Each member shall hold office from the date of the member's	692
appointment until the end of the term for which the member was	693
appointed. Any member appointed to fill a vacancy occurring prior	694
to the end of the term for which the member's predecessor was	695
appointed shall hold office for the remainder of the term. Any	696
member shall continue in office subsequent to the expiration of	697
the term until the member's successor takes office.	698

(E) Six members of the commission constitute a quorum, and	699
the affirmative vote of six members is required for approval of	700
any action by the commission.	701

(F) After each initial member of the commission has been	702
appointed, the commission shall meet and select one member as	703
secretary and another as treasurer. Organizational meetings of the	704
commission shall be held at the time and place designated by call	705
of the chairperson. Meetings of the commission may be held	706
anywhere in the state and shall be in compliance with Chapters	707
121. and 149. of the Revised Code. The commission may adopt,	708
pursuant to section 111.15 of the Revised Code, rules necessary to	709
carry out the purposes of this section.	710

(G) Members of the commission shall serve without	711
remuneration, but shall be compensated for actual and necessary	712
expenses incurred in the performance of their official duties.	713

(H) All expenses incurred in carrying out this section are	714
payable solely from money accrued under this section or	715
appropriated for these purposes by the general assembly, and the	716
commission shall incur no liability or obligation beyond such	717
money.	718

(I) The commission may accept any payment for the use of the	719
governor's residence or may accept any donation, gift, bequest, or	720
devise for the governor's residence or as an endowment for the	721
maintenance and care of the garden on the grounds of the	722
governor's residence in furtherance of its duties. Any revenue	723
received by the commission shall be deposited into the governor's	724
residence fund, which is hereby established in the state treasury,	725
for use by the commission in accordance with the performance of	726
its duties. All investment earnings of the fund shall be credited	727
to the fund. Title to all property acquired by the commission	728
shall be taken in the name of the state and shall be held for the	729
use and benefit of the commission.	730

(J) Nothing in this section limits the ability of a person or	731
other entity to purchase decorations, objects of art, chandeliers,	732
china, silver, statues, paintings, furnishings, accouterments,	733
plants, or other aesthetic materials for placement in the	734
governor's residence or on the grounds of the governor's residence	735
or donation to the commission. No such object or plant, however,	736
shall be placed on the grounds or public areas of the first story	737
of the governor's residence without the consent of the commission.	738

(K) The heritage garden established under this section shall	739
be officially known as "the heritage garden at the Ohio governor's	740
residence."	741

(L) As used in this section, "heritage garden" means the	742
botanical garden of native plants established at the governor's	743
residence.	744

Sec. 109.572. (A)(1) Upon receipt of a request pursuant to	745
section 121.08, 3301.32, 3301.541, 3319.39, 5104.012, or 5104.013	746
of the Revised Code, a completed form prescribed pursuant to	747
division (C)(1) of this section, and a set of fingerprint	748
impressions obtained in the manner described in division (C)(2) of	749
this section, the superintendent of the bureau of criminal	750
identification and investigation shall conduct a criminal records	751
check in the manner described in division (B) of this section to	752
determine whether any information exists that indicates that the	753
person who is the subject of the request previously has been	754
convicted of or pleaded guilty to any of the following:	755

(a) A violation of section 2903.01, 2903.02, 2903.03,	756
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,	757
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05,	758
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23,	759
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2911.01,	760
2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 2919.24, 2919.25,	761
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.04, 2925.05,	762
2925.06, or 3716.11 of the Revised Code, felonious sexual	763
penetration in violation of former section 2907.12 of the Revised	764
Code, a violation of section 2905.04 of the Revised Code as it	765
existed prior to July 1, 1996, a violation of section 2919.23 of	766
the Revised Code that would have been a violation of section	767
2905.04 of the Revised Code as it existed prior to July 1, 1996,	768
had the violation been committed prior to that date, or a	769
violation of section 2925.11 of the Revised Code that is not a	770
minor drug possession offense;	771

(b) A violation of an existing or former law of this state,	772
any other state, or the United States that is substantially	773
equivalent to any of the offenses listed in division (A)(1)(a) of	774
this section.	775

(2) On receipt of a request pursuant to section 5123.081 of	776
the Revised Code with respect to an applicant for employment in	777
any position with the department of mental retardation and	778
developmental disabilities, pursuant to section 5126.28 of the	779
Revised Code with respect to an applicant for employment in any	780
position with a county board of mental retardation and	781
developmental disabilities, or pursuant to section 5126.281 of the	782
Revised Code with respect to an applicant for employment in a	783
direct services position with an entity contracting with a county	784
board for employment, a completed form prescribed pursuant to	785
division (C)(1) of this section, and a set of fingerprint	786
impressions obtained in the manner described in division (C)(2) of	787
this section, the superintendent of the bureau of criminal	788
identification and investigation shall conduct a criminal records	789
check. The superintendent shall conduct the criminal records check	790
in the manner described in division (B) of this section to	791
determine whether any information exists that indicates that the	792
person who is the subject of the request has been convicted of or	793
pleaded guilty to any of the following:	794

(a) A violation of section 2903.01, 2903.02, 2903.03,	795
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,	796
2903.341, 2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03,	797
2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12,	798
2907.21, 2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321,	799
2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12,	800
2919.22, 2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02,	801
2925.03, or 3716.11 of the Revised Code;	802

(b) An existing or former municipal ordinance or law of this	803
state, any other state, or the United States that is substantially	804
equivalent to any of the offenses listed in division (A)(2)(a) of	805
this section.	806

(3) On receipt of a request pursuant to section 173.27,	807
173.394, 3712.09, 3721.121, or 3722.151 of the Revised Code, a	808
completed form prescribed pursuant to division (C)(1) of this	809
section, and a set of fingerprint impressions obtained in the	810
manner described in division (C)(2) of this section, the	811
superintendent of the bureau of criminal identification and	812
investigation shall conduct a criminal records check with respect	813
to any person who has applied for employment in a position for	814
which a criminal records check is required by those sections. The	815
superintendent shall conduct the criminal records check in the	816
manner described in division (B) of this section to determine	817
whether any information exists that indicates that the person who	818
is the subject of the request previously has been convicted of or	819
pleaded guilty to any of the following:	820

(a) A violation of section 2903.01, 2903.02, 2903.03,	821
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,	822
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05,	823
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31,	824
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11,	825
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21,	826
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36,	827
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13,	828
2925.22, 2925.23, or 3716.11 of the Revised Code;	829

(b) An existing or former law of this state, any other state,	830
or the United States that is substantially equivalent to any of	831
the offenses listed in division (A)(3)(a) of this section.	832

(4) On receipt of a request pursuant to section 3701.881 of	833
the Revised Code with respect to an applicant for employment with	834
a home health agency as a person responsible for the care,	835
custody, or control of a child, a completed form prescribed	836
pursuant to division (C)(1) of this section, and a set of	837
fingerprint impressions obtained in the manner described in	838
division (C)(2) of this section, the superintendent of the bureau	839
of criminal identification and investigation shall conduct a	840
criminal records check. The superintendent shall conduct the	841
criminal records check in the manner described in division (B) of	842
this section to determine whether any information exists that	843
indicates that the person who is the subject of the request	844
previously has been convicted of or pleaded guilty to any of the	845
following:	846

(a) A violation of section 2903.01, 2903.02, 2903.03,	847
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,	848
2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03, 2907.04,	849
2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.21,	850
2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 2907.322,	851
2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22,	852
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03,	853
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code or a	854
violation of section 2925.11 of the Revised Code that is not a	855
minor drug possession offense;	856

(b) An existing or former law of this state, any other state,	857
or the United States that is substantially equivalent to any of	858
the offenses listed in division (A)(4)(a) of this section.	859

(5) On receipt of a request pursuant to section 5111.95 or	860
5111.965111.032, 5111.033, or 5111.034 of the Revised Code with	861
respect to an applicant for employment with a waiver agency	862
participating in a department of job and family services	863
administered home and community-based waiver program or an	864
independent provider participating in a department administered	865
home and community-based waiver program in a position that	866
involves providing home and community-based waiver services to	867
consumers with disabilities, a completed form prescribed pursuant	868
to division (C)(1) of this section, and a set of fingerprint	869
impressions obtained in the manner described in division (C)(2) of	870
this section, the superintendent of the bureau of criminal	871
identification and investigation shall conduct a criminal records	872
check. The superintendent shall conduct the criminal records check	873
in the manner described in division (B) of this section to	874
determine whether any information exists that indicates that the	875
person who is the subject of the request previously has been	876
convicted of or, has pleaded guilty to, or has been found eligible	877
for intervention in lieu of conviction for any of the following:	878

(a) A violation of section 2903.01, 2903.02, 2903.03,	879
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21,	880
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02,	881
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09,	882
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32,	883
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12,	884
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31,	885
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,	886
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,	887
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04,	888
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or	889
3716.11 of the Revised Code, felonious sexual penetration in	890
violation of former section 2907.12 of the Revised Code, a	891
violation of section 2905.04 of the Revised Code as it existed	892
prior to July 1, 1996, a violation of section 2919.23 of the	893
Revised Code that would have been a violation of section 2905.04	894
of the Revised Code as it existed prior to July 1, 1996, had the	895
violation been committed prior to that date;	896

(b) An existing or former law of this state, any other state,	897
or the United States that is substantially equivalent to any of	898
the offenses listed in division (A)(5)(a) of this section.	899

(6) On receipt of a request pursuant to section 3701.881 of	900
the Revised Code with respect to an applicant for employment with	901
a home health agency in a position that involves providing direct	902
care to an older adult, a completed form prescribed pursuant to	903
division (C)(1) of this section, and a set of fingerprint	904
impressions obtained in the manner described in division (C)(2) of	905
this section, the superintendent of the bureau of criminal	906
identification and investigation shall conduct a criminal records	907
check. The superintendent shall conduct the criminal records check	908
in the manner described in division (B) of this section to	909
determine whether any information exists that indicates that the	910
person who is the subject of the request previously has been	911
convicted of or pleaded guilty to any of the following:	912

(a) A violation of section 2903.01, 2903.02, 2903.03,	913
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,	914
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05,	915
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31,	916
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11,	917
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21,	918
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36,	919
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13,	920
2925.22, 2925.23, or 3716.11 of the Revised Code;	921

(b) An existing or former law of this state, any other state,	922
or the United States that is substantially equivalent to any of	923
the offenses listed in division (A)(6)(a) of this section.	924

(7) When conducting a criminal records check upon a request	925
pursuant to section 3319.39 of the Revised Code for an applicant	926
who is a teacher, in addition to the determination made under	927
division (A)(1) of this section, the superintendent shall	928
determine whether any information exists that indicates that the	929
person who is the subject of the request previously has been	930
convicted of or pleaded guilty to any offense specified in section	931
3319.31 of the Revised Code.	932

(8) On a request pursuant to section 2151.86 of the Revised	933
Code, a completed form prescribed pursuant to division (C)(1) of	934
this section, and a set of fingerprint impressions obtained in the	935
manner described in division (C)(2) of this section, the	936
superintendent of the bureau of criminal identification and	937
investigation shall conduct a criminal records check in the manner	938
described in division (B) of this section to determine whether any	939
information exists that indicates that the person who is the	940
subject of the request previously has been convicted of or pleaded	941
guilty to any of the following:	942

(a) A violation of section 2903.01, 2903.02, 2903.03,	943
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,	944
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05,	945
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23,	946
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02,	947
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22,	948
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03,	949
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code, a	950
violation of section 2905.04 of the Revised Code as it existed	951
prior to July 1, 1996, a violation of section 2919.23 of the	952
Revised Code that would have been a violation of section 2905.04	953
of the Revised Code as it existed prior to July 1, 1996, had the	954
violation been committed prior to that date, a violation of	955
section 2925.11 of the Revised Code that is not a minor drug	956
possession offense, or felonious sexual penetration in violation	957
of former section 2907.12 of the Revised Code;	958

(b) A violation of an existing or former law of this state,	959
any other state, or the United States that is substantially	960
equivalent to any of the offenses listed in division (A)(8)(a) of	961
this section.	962

(9) When conducting a criminal records check on a request	963
pursuant to section 5104.013 of the Revised Code for a person who	964
is an owner, licensee, or administrator of a child day-care center	965
or type A family day-care home, an authorized provider of a	966
certified type B family day-care home, or an adult residing in a	967
type A or certified type B home, or when conducting a criminal	968
records check or a request pursuant to section 5104.012 of the	969
Revised Code for a person who is an applicant for employment in a	970
center, type A home, or certified type B home, the superintendent,	971
in addition to the determination made under division (A)(1) of	972
this section, shall determine whether any information exists that	973
indicates that the person has been convicted of or pleaded guilty	974
to any of the following:	975

(a) A violation of section 2913.02, 2913.03, 2913.04,	976
2913.041, 2913.05, 2913.06, 2913.11, 2913.21, 2913.31, 2913.32,	977
2913.33, 2913.34, 2913.40, 2913.41, 2913.42, 2913.43, 2913.44,	978
2913.441, 2913.45, 2913.46, 2913.47, 2913.48, 2913.49, 2921.11,	979
2921.13, or 2923.01 of the Revised Code, a violation of section	980
2923.02 or 2923.03 of the Revised Code that relates to a crime	981
specified in this division or division (A)(1)(a) of this section,	982
or a second violation of section 4511.19 of the Revised Code	983
within five years of the date of application for licensure or	984
certification.	985

(b) A violation of an existing or former law of this state,	986
any other state, or the United States that is substantially	987
equivalent to any of the offenses or violations described in	988
division (A)(9)(a) of this section.	989

(10) Upon receipt of a request pursuant to section 5153.111	990
of the Revised Code, a completed form prescribed pursuant to	991
division (C)(1) of this section, and a set of fingerprint	992
impressions obtained in the manner described in division (C)(2) of	993
this section, the superintendent of the bureau of criminal	994
identification and investigation shall conduct a criminal records	995
check in the manner described in division (B) of this section to	996
determine whether any information exists that indicates that the	997
person who is the subject of the request previously has been	998
convicted of or pleaded guilty to any of the following:	999

(a) A violation of section 2903.01, 2903.02, 2903.03,	1000
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34,	1001
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05,	1002
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23,	1003
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02,	1004
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22,	1005
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03,	1006
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code,	1007
felonious sexual penetration in violation of former section	1008
2907.12 of the Revised Code, a violation of section 2905.04 of the	1009
Revised Code as it existed prior to July 1, 1996, a violation of	1010
section 2919.23 of the Revised Code that would have been a	1011
violation of section 2905.04 of the Revised Code as it existed	1012
prior to July 1, 1996, had the violation been committed prior to	1013
that date, or a violation of section 2925.11 of the Revised Code	1014
that is not a minor drug possession offense;	1015

(b) A violation of an existing or former law of this state,	1016
any other state, or the United States that is substantially	1017
equivalent to any of the offenses listed in division (A)(10)(a) of	1018
this section.	1019

(11) On receipt of a request for a criminal records check	1020
from an individual pursuant to section 4749.03 or 4749.06 of the	1021
Revised Code, accompanied by a completed copy of the form	1022
prescribed in division (C)(1) of this section and a set of	1023
fingerprint impressions obtained in a manner described in division	1024
(C)(2) of this section, the superintendent of the bureau of	1025
criminal identification and investigation shall conduct a criminal	1026
records check in the manner described in division (B) of this	1027
section to determine whether any information exists indicating	1028
that the person who is the subject of the request has been	1029
convicted of or pleaded guilty to a felony in this state or in any	1030
other state. If the individual indicates that a firearm will be	1031
carried in the course of business, the superintendent shall	1032
require information from the federal bureau of investigation as	1033
described in division (B)(2) of this section. The superintendent	1034
shall report the findings of the criminal records check and any	1035
information the federal bureau of investigation provides to the	1036
director of public safety.	1037

(12) On receipt of a request pursuant to section 1322.03,	1038
1322.031, or 4763.05 of the Revised Code, a completed form	1039
prescribed pursuant to division (C)(1) of this section, and a set	1040
of fingerprint impressions obtained in the manner described in	1041
division (C)(2) of this section, the superintendent of the bureau	1042
of criminal identification and investigation shall conduct a	1043
criminal records check with respect to any person who has applied	1044
for a license, permit, or certification from the department of	1045
commerce or a division in the department. The superintendent shall	1046
conduct the criminal records check in the manner described in	1047
division (B) of this section to determine whether any information	1048
exists that indicates that the person who is the subject of the	1049
request previously has been convicted of or pleaded guilty to any	1050
of the following: a violation of section 2913.02, 2913.11,	1051
2913.31, 2913.51, or 2925.03 of the Revised Code; any other	1052
criminal offense involving theft, receiving stolen property,	1053
embezzlement, forgery, fraud, passing bad checks, money	1054
laundering, or drug trafficking, or any criminal offense involving	1055
money or securities, as set forth in Chapters 2909., 2911., 2913.,	1056
2915., 2921., 2923., and 2925. of the Revised Code; or any	1057
existing or former law of this state, any other state, or the	1058
United States that is substantially equivalent to those offenses.	1059

(13) Not later than thirty days after the date the	1060
superintendent receives the request, completed form, and	1061
fingerprint impressions, the superintendent shall send the person,	1062
board, or entity that made the request any information, other than	1063
information the dissemination of which is prohibited by federal	1064
law, the superintendent determines exists with respect to the	1065
person who is the subject of the request that indicates that the	1066
person previously has been convicted of or pleaded guilty to any	1067
offense listed or described in division (A)(1), (2), (3), (4),	1068
(5), (6), (7), (8), (9), (10), (11), or (12) of this section, as	1069
appropriate. The superintendent shall send the person, board, or	1070
entity that made the request a copy of the list of offenses	1071
specified in division (A)(1), (2), (3), (4), (5), (6), (7), (8),	1072
(9), (10), (11), or (12) of this section, as appropriate. If the	1073
request was made under section 3701.881 of the Revised Code with	1074
regard to an applicant who may be both responsible for the care,	1075
custody, or control of a child and involved in providing direct	1076
care to an older adult, the superintendent shall provide a list of	1077
the offenses specified in divisions (A)(4) and (6) of this	1078
section.	1079

(B) The superintendent shall conduct any criminal records	1080
check requested under section 121.08, 173.27, 173.394, 1322.03,	1081
1322.031, 2151.86, 3301.32, 3301.541, 3319.39, 3701.881, 3712.09,	1082
3721.121, 3722.151, 4749.03, 4749.06, 4763.05, 5104.012, 5104.013,	1083
5111.95, 5111.965111.032, 5111.033, 5111.034, 5123.081, 5126.28,	1084
5126.281, or 5153.111 of the Revised Code as follows:	1085

(1) The superintendent shall review or cause to be reviewed	1086
any relevant information gathered and compiled by the bureau under	1087
division (A) of section 109.57 of the Revised Code that relates to	1088
the person who is the subject of the request, including any	1089
relevant information contained in records that have been sealed	1090
under section 2953.32 of the Revised Code;	1091

(2) If the request received by the superintendent asks for	1092
information from the federal bureau of investigation, the	1093
superintendent shall request from the federal bureau of	1094
investigation any information it has with respect to the person	1095
who is the subject of the request and shall review or cause to be	1096
reviewed any information the superintendent receives from that	1097
bureau.	1098

(3) The superintendent or the superintendent's designee may	1099
request criminal history records from other states or the federal	1100
government pursuant to the national crime prevention and privacy	1101
compact set forth in section 109.571 of the Revised Code.	1102

(C)(1) The superintendent shall prescribe a form to obtain	1103
the information necessary to conduct a criminal records check from	1104
any person for whom a criminal records check is required by	1105
section 121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86,	1106
3301.32, 3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151,	1107
4749.03, 4749.06, 4763.05, 5104.012, 5104.013, 5111.95, 5111.96	1108
5111.032, 5111.033, 5111.034, 5123.081, 5126.28, 5126.281, or	1109
5153.111 of the Revised Code. The form that the superintendent	1110
prescribes pursuant to this division may be in a tangible format,	1111
in an electronic format, or in both tangible and electronic	1112
formats.	1113

(2) The superintendent shall prescribe standard impression	1114
sheets to obtain the fingerprint impressions of any person for	1115
whom a criminal records check is required by section 121.08,	1116
173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541,	1117
3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 4749.06,	1118
4763.05, 5104.012, 5104.013, 5111.95, 5111.965111.032, 5111.033,	1119
5111.034, 5123.081, 5126.28, 5126.281, or 5153.111 of the Revised	1120
Code. Any person for whom a records check is required by any of	1121
those sections shall obtain the fingerprint impressions at a	1122
county sheriff's office, municipal police department, or any other	1123
entity with the ability to make fingerprint impressions on the	1124
standard impression sheets prescribed by the superintendent. The	1125
office, department, or entity may charge the person a reasonable	1126
fee for making the impressions. The standard impression sheets the	1127
superintendent prescribes pursuant to this division may be in a	1128
tangible format, in an electronic format, or in both tangible and	1129
electronic formats.	1130

(3) Subject to division (D) of this section, the	1131
superintendent shall prescribe and charge a reasonable fee for	1132
providing a criminal records check requested under section 121.08,	1133
173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541,	1134
3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 4749.06,	1135
4763.05, 5104.012, 5104.013, 5111.95, 5111.965111.032, 5111.033,	1136
5111.034, 5123.081, 5126.28, 5126.281, or 5153.111 of the Revised	1137
Code. The person making a criminal records request under section	1138
121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32,	1139
3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03,	1140
4749.06, 4763.05, 5104.012, 5104.013, 5111.95, 5111.96, 5123.081,	1141
5126.28, 5126.281, or 5153.111 of the Revised Code shall pay the	1142
fee prescribed pursuant to this division. A person making a	1143
request under section 3701.881 of the Revised Code for a criminal	1144
records check for an applicant who may be both responsible for the	1145
care, custody, or control of a child and involved in providing	1146
direct care to an older adult shall pay one fee for the request.	1147
In the case of a request under section 5111.033 of the Revised	1148
Code, the fee shall be paid in the manner specified in that	1149
section.	1150

(4) The superintendent of the bureau of criminal	1151
identification and investigation may prescribe methods of	1152
forwarding fingerprint impressions and information necessary to	1153
conduct a criminal records check, which methods shall include, but	1154
not be limited to, an electronic method.	1155

(D) A determination whether any information exists that	1156
indicates that a person previously has been convicted of or	1157
pleaded guilty to any offense listed or described in division	1158
(A)(1)(a) or (b), (A)(2)(a) or (b), (A)(3)(a) or (b), (A)(4)(a) or	1159
(b), (A)(5)(a) or (b), (A)(6)(a) or (b), (A)(7), (A)(8)(a) or (b),	1160
(A)(9)(a) or (b), (A)(10)(a) or (b), or (A)(12) of this section	1161
that is made by the superintendent with respect to information	1162
considered in a criminal records check in accordance with this	1163
section is valid for the person who is the subject of the criminal	1164
records check for a period of one year from the date upon which	1165
the superintendent makes the determination. During the period in	1166
which the determination in regard to a person is valid, if another	1167
request under this section is made for a criminal records check	1168
for that person, the superintendent shall provide the information	1169
that is the basis for the superintendent's initial determination	1170
at a lower fee than the fee prescribed for the initial criminal	1171
records check.	1172

(E) As used in this section:

1173

(1) "Criminal records check" means any criminal records check	1174
conducted by the superintendent of the bureau of criminal	1175
identification and investigation in accordance with division (B)	1176
of this section.	1177

(2) "Home and community-based waiver services" and "waiver	1178
agency" have the same meanings as in section 5111.95 of the	1179
Revised Code.	1180

(3) "Independent provider" has the same meaning as in section	1181
5111.96 of the Revised Code.	1182

(4) "Minor drug possession offense" has the same meaning as	1183
in section 2925.01 of the Revised Code.	1184

(5)(3) "Older adult" means a person age sixty or older.

1185

Sec. 109.93.  The attorney general education fund is hereby	1186
created in the custody of the treasurer of state treasury. The	1187
fund shall consist of gifts and grants received by the attorney	1188
general for the purposes of the fund. The fund shall be	1189
administered by the attorney general and shall be used to support	1190
various educational programs. These educational programs may	1191
include programs for consumer protection, victims of crime,	1192
environmental protection, drug abuse, child abuse, peace officer	1193
training, crime prevention, and law. The fund may also be used to	1194
pay costs associated with the solicitation of gifts and grants for	1195
the purposes of the fund, and the costs of administering the fund.	1196
The fund shall not be used to replace money spent by local	1197
programs for similar purposes.	1198

Sec. 111.18.  (A) The secretary of state shall keep a record	1199
of all fees collected by the secretary of state and, subject to	1200
division (B) of section 1309.528 of the Revised Code and except as	1201
otherwise provided in the Revised Code, shall pay them into the	1202
state treasury to the credit of the corporate and uniform	1203
commercial code filing fund created by section 1309.528 of the	1204
Revised Code.	1205

(B) The secretary of state may implement alternative payment	1206
programs that permit payment of any fee charged by the secretary	1207
of state by means other than cash, check, money order, or credit	1208
card; an alternative payment program may include, but is not	1209
limited to, one that permits a fee to be paid by electronic means	1210
of transmission. Fees paid under an alternative payment program	1211
shall be deposited to the credit of the secretary of state	1212
alternative payment program fund, which is hereby created. The	1213
secretary of state alternative payment program fund shall be in	1214
the custody of the treasurer of state but shall not be part of the	1215
state treasury. Any investment income of the secretary of state	1216
alternative payment program fund shall be credited to that fund	1217
and used to operate the alternative payment program. Within two	1218
working days following the deposit of funds to the credit of the	1219
secretary of state alternative payment program fund, the secretary	1220
of state shall pay those funds into the state treasury to the	1221
credit of the corporate and uniform commercial code filing fund,	1222
subject to division (B) of section 1309.401 of the Revised Code	1223
and except as otherwise provided in the Revised Code.	1224

The secretary of state shall adopt rules necessary to carry	1225
out the purposes of this division.	1226

Sec. 118.01.  As used in this chapter:

1227

(A) "Advance tax payment notes" means the notes authorized by	1228
section 118.24 of the Revised Code.	1229

(B) "Appropriation measure" means any appropriation measure,	1230
amendment of an appropriation measure, or supplement to an	1231
appropriation measure of a municipal corporation, county, or	1232
township referred to in sections 5705.38 and 5705.40 of the	1233
Revised Code and any other action of a municipal corporation,	1234
county, or township authorizing expenditure of money not	1235
previously included in any appropriation measure.	1236

(C) "Bond anticipation notes" means notes issued in	1237
anticipation of the issuance of bonds.	1238

(D) "Certificate of estimated resources" means the official	1239
certificate of estimated resources of the county budget commission	1240
and amendments of the certificate certified to the municipal	1241
corporation, county, or township as provided for in Chapter 5705.	1242
of the Revised Code.	1243

(E) "Commission" means a financial planning and supervision	1244
commission created by section 118.05 of the Revised Code with	1245
respect to a municipal corporation, county, or township.	1246

(F) "Construction funds" means proceeds from the sale of debt	1247
obligations restricted by law or pursuant to the proceedings for	1248
the issuance of such debt obligations to use for permanent	1249
improvements as defined in division (E) of section 5705.01 of the	1250
Revised Code, including acquisition, construction, or extension of	1251
public utilities, and moneys from any other sources restricted to	1252
such purpose.	1253

(G) "County auditor" means the county auditor with whom tax	1254
budgets of the municipal corporation, county, or township are to	1255
be filed in accordance with section 5705.30 of the Revised Code.	1256

(H) "County budget commission" means the county budget	1257
commission to which the tax budget of the municipal corporation,	1258
county, or township is to be submitted in accordance with section	1259
5705.31 of the Revised Code.	1260

(I) "Current revenue notes" means debt obligations described	1261
in section 133.10 or Chapter 5705. of the Revised Code or any	1262
other debt obligations issued to obtain funds for current	1263
operating expenses.	1264

(J) "Debt limits" means the limitations on net indebtedness	1265
provided in sections 133.05, 133.07, and 133.09 of the Revised	1266
Code, and also includes the limitation, known as the "indirect	1267
debt limit," upon the issuance of unvoted bonds, notes, or	1268
certificates of indebtedness resulting from the ten-mill	1269
limitation provided for in section 5705.02 of the Revised Code.	1270

(K) "Debt obligations" means bonds, notes, certificates of	1271
indebtedness, bond anticipation notes, current revenue notes,	1272
local government fund notes, local communities fund notes, or	1273
other obligations issued or incurred in borrowing money, or to	1274
renew, refund, fund, or refinance, or issued in exchange for, such	1275
obligations, and any interest coupons pertaining thereto other	1276
than bonds or other obligations issued under authority of Section	1277
13 of Article VIII, Ohio Constitution.	1278

(L) "Default" means failure to pay the principal of or the	1279
interest on a debt obligation, or failure to make other payment to	1280
be made to the holder or owner of a debt obligation, in the full	1281
amount and at the time provided for in the contractual commitment	1282
with respect thereto, unless the time for such payment has been	1283
extended by the owner or holder of the debt obligation without	1284
penalty or premium and without the effect of subjecting the	1285
municipal corporation, county, or township to the initiation of	1286
remedies pertaining to such debt obligation or other debt	1287
obligations.	1288

(M) "Deficit fund" means the general fund or any special fund	1289
that, as at the time indicated, has a deficit balance or a balance	1290
that is less than the amount required to be in such fund pursuant	1291
to law or pursuant to contractual requirements, demonstrating that	1292
over a period of time expenditures charged or chargeable to the	1293
fund have exceeded moneys credited to the fund, or that moneys	1294
credited to the fund have not been in the amounts required by law	1295
or contractual requirements.	1296

(N) "Effective financial accounting and reporting system"	1297
means an accounting and reporting system fully in compliance with	1298
the requirements prescribed by and pursuant to Chapter 117. of the	1299
Revised Code, with such modifications and supplements as are to be	1300
provided pursuant to this chapter in order to meet and deal with	1301
the fiscal emergency, provide to the auditor of state, the	1302
commission, the financial supervisor, and the county budget	1303
commission the information needed to carry out their functions,	1304
and better ensure the implementation of the financial plan.	1305

(O) "Financial plan" means the financial plan approved by the	1306
commission in accordance with section 118.06 of the Revised Code,	1307
as it may from time to time be amended in accordance with this	1308
chapter.	1309

(P) "Financial supervisor" means the auditor of state.

1310

(Q) "Fiscal emergency" means the existence of fiscal	1311
emergency conditions determined as provided in section 118.04 of	1312
the Revised Code.	1313

(R) "Fiscal emergency conditions" means any of the events or	1314
occurrences described in section 118.03 of the Revised Code.	1315

(S) "Fiscal emergency period" means the period of time	1316
commencing on the date when the determination of a fiscal	1317
emergency is made by the auditor of state pursuant to section	1318
118.04 of the Revised Code and ending when the determination of	1319
termination is made and certified pursuant to section 118.27 of	1320
the Revised Code.	1321

(T) "Fiscal watch" means the existence of fiscal watch	1322
conditions as determined in accordance with section 118.022 of the	1323
Revised Code.	1324

(U) "Fiscal officer" means the fiscal officer of the	1325
municipal corporation, county, or township as defined in division	1326
(D) of section 5705.01 of the Revised Code.	1327

(V) "Fringe benefits" means expenditures for goods and	1328
services furnished to municipal, county, or township officers or	1329
employees by the municipal corporation, county, or township,	1330
including, but not limited to, such benefits as food, temporary	1331
housing, and clothing, and the provision of pension, retirement,	1332
disability, hospitalization, health care, insurance, or other	1333
benefits to employees requiring the advance payment of money other	1334
than directly to employees or other beneficiaries, or the deposit	1335
or reservation of money for such purpose.	1336

(W) "General fund" means the fund referred to in division (A)	1337
of section 5705.09 of the Revised Code.	1338

(X) "General fund budget" means aggregate revenues available	1339
in the general fund during the applicable fiscal year as shown by	1340
the certificate of estimated resources.	1341

(Y) "Mayor" means the officer of the municipal corporation	1342
designated as such by law or the chief executive officer under the	1343
charter of the municipal corporation.	1344

(Z) "Payroll" means compensation due and payable to employees	1345
of the municipal corporation, county, or township, other than	1346
fringe benefits.	1347

(AA) "Revenue estimates" means the estimates of revenue	1348
receipts to the credit of the general fund and special funds as	1349
estimated and supplemented, modified, or amended by the municipal	1350
corporation, county, or township, or the county budget commission.	1351

(BB) "Special funds" means any of the funds, other than the	1352
general fund, referred to in sections 5705.09 and 5705.12 of the	1353
Revised Code, and includes any fund created from the issuance of	1354
debt obligations pursuant to Section 3 or 12 of Article XVIII,	1355
Ohio Constitution, and any fund created in connection with the	1356
issuance of debt obligations to provide moneys for the payment of	1357
principal or interest, reserves therefor, or reserves or funds for	1358
repair, maintenance, or improvements.	1359

(CC) "Tax budget" means the tax budget provided for in	1360
section 5705.28 of the Revised Code.	1361

Sec. 118.08.  (A) The members of the financial planning and	1362
supervision commission shall serve without compensation, but shall	1363
be paid by the commission their necessary and actual expenses	1364
incurred while engaged in the business of the commission.	1365

(B) All expenses incurred for services rendered by the	1366
financial supervisor for a period of twenty-four months shall be	1367
paid by the commission pursuant to an appropriation made by the	1368
general assembly for this purpose. Expenses incurred for services	1369
rendered by the financial supervisor beyond this period shall be	1370
borne by the municipal corporation, county, or township unless the	1371
director of budget and management waives the costs and allows	1372
payment in accordance with the following:	1373

(1) If the continued performance of the financial supervisor	1374
is required for a period of twenty-five to thirty months, the	1375
municipal corporation, county, or township is responsible for	1376
twenty per cent of the compensation due.	1377

(2) If the continued performance of the financial supervisor	1378
is required for a period of thirty-one to thirty-six months, the	1379
municipal corporation, county, or township is responsible for	1380
fifty per cent of the compensation due.	1381

(3) If the continued performance of the financial supervisor	1382
is required for a period of thirty-seven months or more, the	1383
municipal corporation, county, or township is responsible for one	1384
hundred per cent of the compensation due except as otherwise	1385
provided in division (B)(4) of this section.	1386

(4) If the continued performance of the financial supervisor	1387
has been required longer than eight fiscal years for any municipal	1388
corporation, county, or township declared to be in a fiscal	1389
emergency prior to fiscal year 1996, that municipal corporation,	1390
county, or township is responsible for fifty per cent of the	1391
compensation due in its ninth fiscal year while in fiscal	1392
emergency and one hundred per cent of the compensation due in its	1393
tenth fiscal year and every fiscal year thereafter while in fiscal	1394
emergency.	1395

(C) If the municipal corporation, county, or township fails	1396
to make any payment to the financial supervisor as required by	1397
this chapter, the financial supervisor may certify to the county	1398
auditor the amount due, and that amount shall be withheld from the	1399
municipal corporation, county, or township from any fund or funds	1400
in the custody of the county auditor for distribution to the	1401
municipal corporation, county, or township, except for those	1402
reserved for payment of local government fund or local communities	1403
fund notes. Upon receiving the certification from the financial	1404
supervisor, the county auditor shall draw a voucher for the amount	1405
against those fund or funds in favor of the financial supervisor.	1406

Sec. 118.17.  (A) During a fiscal emergency period and with	1407
the approval of the financial planning and supervision commission,	1408
a municipal corporation, county, or township may issue local	1409
governmentcommunities fund notes, in anticipation of amounts to	1410
be allocated to it pursuant to division (B) of section 5747.50 of	1411
the Revised Code or to be apportioned to it under section 5747.51	1412
or 5747.53 of the Revised Code in a future year or years, for a	1413
period of no more than eight calendar years. The principal amount	1414
of the notes and interest on the notes due and payable in any year	1415
shall not exceed fifty per cent of the total amount of local	1416
government fund or local communities fund moneys so allocated or	1417
apportioned to the municipal corporation, county, or township for	1418
the year preceding the year in which the notes are issued. The	1419
notes may mature in semiannual or annual installments in such	1420
amounts as may be fixed by the commission, and need not mature in	1421
substantially equal semiannual or annual installments. The notes	1422
of a municipal corporation may be authorized and issued, subject	1423
to the approval of the commission, in the manner provided in	1424
sections 717.15 and 717.16 of the Revised Code, except that,	1425
notwithstanding division (A)(2) of section 717.16 of the Revised	1426
Code, the rate or rates of interest payable on the notes shall be	1427
the prevailing market rate or rates as determined and approved by	1428
the commission, and except that they shall not be issued in	1429
anticipation of bonds, shall not constitute general obligations of	1430
the municipal corporation, and shall not pledge the full faith and	1431
credit of the municipal corporation.	1432

(B) The principal and interest on the notes provided for in	1433
this section shall be payable, as provided in this section, solely	1434
from the portion of the local governmentcommunities fund that	1435
would otherwise be apportioned to the municipal corporation,	1436
county, or township and shall not be payable from or constitute a	1437
pledge of or claim upon, or require the levy, collection, or	1438
application of, any unvoted ad valorem property taxes or other	1439
taxes, or in any manner occupy any portion of the indirect debt	1440
limit.	1441

(C) Local governmentcommunities fund notes may be issued	1442
only to the extent needed to achieve one or more of the following	1443
objectives of the financial plan:	1444

(1) Satisfying any contractual or noncontractual judgments,	1445
past due accounts payable, and all past due and payable payroll	1446
and fringe benefits to be taken into account under section 118.03	1447
of the Revised Code;	1448

(2) Restoring to construction funds or other restricted funds	1449
any money applied from such funds to uses not within the purposes	1450
of such funds and which could not be transferred to such use under	1451
section 5705.14 of the Revised Code;	1452

(3) Eliminating deficit balances in all deficit funds,	1453
including funds that may be used to pay operating expenses.	1454

In addition to the objectives set forth in divisions (C)(1)	1455
to (3) of this section, local governmentcommunities fund notes	1456
may be issued and the proceeds of those notes may be used for the	1457
purpose of retiring or replacing other moneys used to retire	1458
current revenue notes issued pursuant to section 118.23 of the	1459
Revised Code to the extent that the proceeds of the current	1460
revenue notes have been or are to be used directly or to replace	1461
other moneys used to achieve one or more of the objectives of the	1462
financial plan specified in divisions (C)(1) to (3) of this	1463
section. Upon authorization of the local governmentcommunities	1464
fund notes by the legislative authority of the municipal	1465
corporation, county, or township, the proceeds of the local	1466
governmentcommunities fund notes and the proceeds of any such	1467
current revenue notes shall be deemed to be appropriated, to the	1468
extent that the proceeds have been or are to be so used, for the	1469
purposes for which the revenues anticipated by any such current	1470
revenue notes are collected and appropriated within the meaning of	1471
section 133.10 of the Revised Code.	1472

(D) The need for an issue of local governmentcommunities	1473
fund notes for such purposes shall be determined by taking into	1474
consideration other money and sources of moneys available therefor	1475
under this chapter or other provisions of law, and calculating the	1476
respective amounts needed therefor in accordance with section	1477
118.03 of the Revised Code, including the deductions or offsets	1478
therein provided, for determining that a fiscal emergency	1479
condition exists, and by eliminating any duplication of amounts	1480
thereunder. The respective amounts needed to achieve such	1481
objectives and the resulting aggregate net amount shall be	1482
determined initially by a certification of the fiscal officer as	1483
and to the extent approved by the financial supervisor. The	1484
principal amount of such notes shall not exceed the aggregate net	1485
amount needed for such purposes. The aggregate amount of all	1486
issues of such notes shall not exceed three times the average of	1487
the allocation or apportionment to the municipal corporation,	1488
county, or township of moneys from the local government	1489
communities fund in each of the three fiscal years preceding the	1490
fiscal year in which the notes are issued.	1491

(E) The proceeds of the sale of local governmentcommunities	1492
fund notes shall be appropriated by the municipal corporation,	1493
county, or township for and shall be applied only to the purposes,	1494
and in the respective amounts for those purposes, set forth in the	1495
certification given pursuant to division (D) of this section, as	1496
the purposes and amounts may be modified in the approval by the	1497
commission provided for in this section. The proceeds shall be	1498
deposited in separate accounts with a fiscal agent designated in	1499
the resolution referred to in division (F) of this section and	1500
released only for such respective purposes in accordance with the	1501
procedures set forth in division (D) of section 118.20 of the	1502
Revised Code. Any amounts not needed for such purposes shall be	1503
deposited with the fiscal agent designated to receive deposits for	1504
payment of the principal of and interest due on the notes.	1505

(F) An application for approval by the financial planning and	1506
supervision commission of an issue of local governmentcommunities	1507
fund notes shall be authorized by a preliminary resolution adopted	1508
by the legislative authority. The resolution may authorize the	1509
application as a part of the initial submission of the financial	1510
plan for approval or as a part of any proposed amendment to an	1511
approved financial plan or at any time after the approval of a	1512
financial plan, or amendment to a financial plan, that proposes	1513
the issue of such notes. The preliminary resolution shall	1514
designate a fiscal agent for the deposit of the proceeds of the	1515
sale of the notes, and shall contain a covenant of the municipal	1516
corporation, county, or township to comply with this chapter and	1517
the financial plan.	1518

The commission shall review and evaluate the application and	1519
supporting certification and financial supervisor action, and	1520
shall thereupon certify its approval or disapproval, or	1521
modification and approval, of the application.	1522

The commission shall certify the amounts, maturities,	1523
interest rates, and terms of issue of the local government	1524
communities fund notes approved by the commission and the purposes	1525
to which the proceeds of the sale of the notes will be applied in	1526
respective amounts.	1527

The commission shall certify a copy of its approval, of the	1528
preliminary resolution, and of the related certification and	1529
action of the financial supervisor to the fiscal officer, the	1530
financial supervisor, the county budget commission, the county	1531
auditor, the county treasurer, and the fiscal agent designated to	1532
receive and disburse the proceeds of the sale of the notes.	1533

(G) Upon the sale of any local governmentcommunities fund	1534
notes issued under this section, the commission shall determine a	1535
schedule for the deposit of local governmentcommunities fund	1536
distributions that are pledged for the payment of the principal of	1537
and interest on the notes with the fiscal agent or trustee	1538
designated in the agreement between the municipal corporation,	1539
county, or township and the holders of the notes to receive and	1540
disburse the distributions. The amounts to be deposited shall be	1541
adequate to provide for the payment of principal and interest on	1542
the notes when due and to pay all other proper charges, costs, or	1543
expenses pertaining thereto.	1544

The amount of the local governmentcommunities fund moneys	1545
apportioned to the municipal corporation, county, or township that	1546
is to be so deposited in each year shall not be included in the	1547
tax budget and appropriation measures of the municipal	1548
corporation, county, or township, or in certificates of estimated	1549
revenues, for that year.	1550

The commission shall certify the schedule to the officers	1551
designated in division (F) of this section.	1552

(H) Deposit of amounts with the fiscal agent or trustee	1553
pursuant to the schedule determined by the commission shall be	1554
made from local governmentcommunities fund distributions to or	1555
apportioned to the municipal corporation, county, or township as	1556
provided in this division. The apportionment of local government	1557
communities fund moneys to the municipal corporation, county, or	1558
township for any year from the undivided local government	1559
communities fund shall be determined as to the municipal	1560
corporation, county, or township without regard to the amounts to	1561
be deposited with the fiscal agent or trustee in that year in	1562
accordance with division (G) of this section. After the amount of	1563
the undivided local governmentcommunities fund apportioned to the	1564
municipal corporation, county, or township for a calendar year is	1565
determined, the county auditor and the county treasurer shall	1566
withhold from each monthly amount to be distributed to the	1567
municipal corporation, county, or township from the undivided	1568
local governmentcommunities fund, and transmit to the fiscal	1569
agent or trustee for deposit, one-twelfth of the amount scheduled	1570
for deposit in that year pursuant to division (G) of this section.	1571

(I) If the commission approves the application, the municipal	1572
corporation, county, or township may proceed with the issuance of	1573
the notes as approved by the commission.	1574

All notes issued under authority of this section are lawful	1575
investments for the entities enumerated in division (A)(1) of	1576
section 133.03 of the Revised Code and are eligible as security	1577
for the repayment of the deposit of public moneys.	1578

Upon the issuance of any notes under this section, the fiscal	1579
officer of the municipal corporation, county, or township shall	1580
certify the fact of the issuance to the county auditor and shall	1581
also certify to the county auditor the last calendar year in which	1582
any of the notes are scheduled to mature.	1583

(J) After the legislative authority of the municipal	1584
corporation, county, or township has passed an ordinance or	1585
resolution authorizing the issuance of local government	1586
communities fund notes and subsequent to the commission's	1587
preliminary or final approval of the ordinance or resolution, the	1588
director of law, prosecuting attorney, or other chief legal	1589
officer of the municipal corporation, county, or township shall	1590
certify a sample of the form and content of a note to be used to	1591
issue the local governmentcommunities fund notes to the	1592
commission. The commission shall determine whether the sample note	1593
is consistent with this section and the ordinance or resolution	1594
authorizing the issuance of the local governmentcommunities fund	1595
notes, and if the sample note is found to be consistent with this	1596
section and the ordinance, the commission shall approve the sample	1597
note for use by the municipal corporation, county, or township.	1598
The form and content of the notes to be used by the municipal	1599
corporation, county, or township in issuing the local government	1600
communities fund notes may be modified at any time subsequent to	1601
the commission's approval of the sample note upon the approval of	1602
the commission and the director of law, prosecuting attorney, or	1603
other chief legal officer of the municipal corporation, county, or	1604
township. The failure of the director of law, prosecuting	1605
attorney, or other chief legal officer of the municipal	1606
corporation, county, or township to make the certification	1607
required by this division shall not subject that legal officer to	1608
removal pursuant to the Revised Code or the charter of a municipal	1609
corporation. If the director of law, prosecuting attorney, or	1610
other chief legal officer fails or refuses to make the	1611
certification required by this division, or if any officer of the	1612
municipal corporation, county, or township fails or refuses to	1613
take any action required by this section or the ordinance or	1614
resolution authorizing the issuance or sale of local government	1615
communities fund notes, the mayor of the municipal corporation or	1616
the board of county commissioners or board of township trustees	1617
may cause the commencement of a mandamus action in the supreme	1618
court against the director of law, prosecuting attorney, or other	1619
chief legal officer to secure the certification required by this	1620
division or other action required by this section or the ordinance	1621
or resolution. If an adjudication of the matters that could be	1622
adjudicated in validation proceedings under section 133.70 of the	1623
Revised Code is necessary to a determination of the mandamus	1624
action, the mayor, the board of county commissioners, or the board	1625
of township trustees or the mayor's or board's legal counsel shall	1626
name and cause to be served as defendants to the mandamus action	1627
all of the following:	1628

(1) The director of law, prosecuting attorney, or other chief	1629
legal officer, or other official of the municipal corporation,	1630
county, or township, whose failure or refusal to act necessitated	1631
the action;	1632

(2) The municipal corporation, through its mayor, or the	1633
board of county commissioners or board of township trustees;	1634

(3) The financial planning and supervision commission,	1635
through its chairperson;	1636

(4) The prosecuting attorney and auditor of each county in	1637
which the municipal corporation, county, or township is located,	1638
in whole or in part;	1639

(5) The auditor of state;

1640

(6) The property owners, taxpayers, citizens of the municipal	1641
corporation, county, or township and others having or claiming any	1642
right, title, or interest in any property or funds to be affected	1643
by the issuance of the local governmentcommunities fund notes by	1644
the municipal corporation, county, or township, or otherwise	1645
affected in any way thereby.	1646

Service upon all defendants described in division (J)(6) of	1647
this section shall be by publication three times, with at least	1648
six days between each publication, in a newspaper of general	1649
circulation in Franklin county and a newspaper of general	1650
circulation in the county or counties where the municipal	1651
corporation, county, or township is located. The publication and	1652
the notice shall indicate that the nature of the action is in	1653
mandamus, the name of the parties to the action, and that the	1654
action may result in the validation of the subject local	1655
governmentcommunities fund notes. Authorization to commence such	1656
an action by the legislative authority of the municipal	1657
corporation, county, or township is not required.	1658

A copy of the complaint in the mandamus action shall be	1659
served personally or by certified mail upon the attorney general.	1660
If the attorney general has reason to believe that the complaint	1661
is defective, insufficient, or untrue, or if in the attorney	1662
general's opinion the issuance of the local governmentcommunities	1663
fund notes is not lawful or has not been duly authorized, defense	1664
shall be made to the complaint as the attorney general considers	1665
proper.	1666

(K) The action in mandamus authorized by division (J) of this	1667
section shall take priority over all other civil cases pending in	1668
the court, except habeas corpus, and shall be determined with the	1669
least possible delay. The supreme court may determine that the	1670
local governmentcommunities fund notes will be consistent with	1671
the purpose and effects, including not occupying the indirect debt	1672
limit, provided for in this section and will be validly issued and	1673
acquired. Such a determination shall include a finding of	1674
validation of the subject local governmentcommunities fund notes	1675
if the court specifically finds that:	1676

(1) The complaint in mandamus, or subsequent pleadings,	1677
include appropriate allegations required by division (C) of	1678
section 133.70 of the Revised Code, and that the proceeding is in	1679
lieu of an action to validate under section 133.70 of the Revised	1680
Code;	1681

(2) All parties described in divisions (J)(1) to (6) of this	1682
section have been duly served with notice or are otherwise	1683
properly before the court;	1684

(3) Notice of the action has been published as required by	1685
division (J) of this section;	1686

(4) The effect of validation is required to provide a	1687
complete review and determination of the controversy in mandamus,	1688
and to avoid duplication of litigation, danger of inconsistent	1689
results, or inordinate delay in light of the fiscal emergency, or	1690
that a disposition in the mandamus action would, as a practical	1691
matter, be dispositive of any subsequent validation proceedings	1692
under section 133.70 of the Revised Code.	1693

(L) Any decision that includes a finding of validation has	1694
the same effect as a validation order established by an action	1695
under section 133.70 of the Revised Code.	1696

(M) Divisions (J) and (K) of this section do not prevent a	1697
municipal corporation, county, or township from using section	1698
133.70 of the Revised Code to validate local government	1699
communities fund notes by the filing of a petition for validation	1700
in the court of common pleas of the county in which the municipal	1701
corporation, county, or township is located, in whole or in part.	1702

(N) It is hereby determined by the general assembly that a	1703
validation action authorized by section 133.70 of the Revised Code	1704
is not an adequate remedy at law with respect to a municipal	1705
corporation, county, or township that is a party to a mandamus	1706
action pursuant to divisions (J) and (K) of this section and in	1707
which a fiscal emergency condition has been determined to exist	1708
pursuant to section 118.04 of the Revised Code because of, but not	1709
limited to, the following reasons:	1710

(1) It is urgently necessary for such a municipal	1711
corporation, county, or township to take prompt action to issue	1712
local governmentcommunities fund notes for the purposes provided	1713
in division (C) of this section;	1714

(2) The potentially ruinous effect upon the fiscal condition	1715
of a municipal corporation, county, or township by the passage of	1716
the time required to adjudicate such a separate validation action	1717
and any appeals thereof;	1718

(3) The reasons stated in division (K)(4) of this section.

1719

Sec. 118.20.  Pursuant to section 118.19 of the Revised Code:

1720

(A) The ordinance or resolution authorizing the debt	1721
obligations may provide for the pledge of, and covenants to levy,	1722
charge, collect, deposit, and apply ad valorem property taxes,	1723
income taxes, excises, utility revenues, local government	1724
communities fund receipts, permit and license fees, and any other	1725
receipts from taxes, permits, licenses, fines, or other sources of	1726
revenue of the municipal corporation, county, or township; accrued	1727
and capitalized interest and premium from the proceeds of the sale	1728
of the debt obligations, lawfully available for the purpose, to	1729
the payment of the debt service and costs of issuing, carrying,	1730
redeeming, and retiring such debt obligations; covenants in	1731
respect of the establishment, investment, segregation, and	1732
maintenance of any funds or reserves in connection with the debt	1733
obligations and any other funds of the municipal corporation,	1734
county, or township. No pledge may be made in a manner which	1735
impairs the contract rights of the holders of any outstanding debt	1736
obligations.	1737

(B) The ordinance or resolution authorizing the debt	1738
obligations may designate a fiscal agent for the debt obligations,	1739
or the fiscal agent may be designated by other ordinance or	1740
resolution of the legislative authority of the municipal	1741
corporation, county, or township. The fiscal agent may be a	1742
purchaser of such debt obligations or other debt obligations of	1743
the municipal corporation, county, or township.	1744

(C) The ordinance or resolution authorizing the debt	1745
obligations may provide for immediate or periodic deposit of	1746
pledged receipts or a portion thereof in one or more separate bank	1747
accounts, funds, or other accounts established with the fiscal	1748
agent. Provision may be made therein for pledged receipts that are	1749
collected by the state, the county, the township, or any agency	1750
for the municipal corporation, county, or township to be	1751
transferred by the appropriate officer of the state or county or	1752
agency having charge of the collection or distribution of such	1753
pledged receipts directly to the fiscal agent for deposit under	1754
the ordinance or resolution. Such officers of the state and county	1755
or agent shall transfer such pledged receipts in accordance with	1756
this section and the ordinance. The fiscal agent shall disburse	1757
funds so held for payments when due in accordance with the	1758
ordinance or resolution, including the transfer of funds to paying	1759
agents for the debt obligations at the times and in the amounts	1760
required. Until needed for such purposes, the fiscal agent shall	1761
invest the funds on behalf of the municipal corporation, county,	1762
or township in obligations that are lawful for the investment of	1763
public funds of the municipal corporation, county, or township,	1764
including provisions for such investments in a municipal charter,	1765
in the manner provided for in the ordinance or resolution. Funds	1766
held by the fiscal agent and all moneys and securities therein and	1767
pledged receipts payable thereto in accordance with the ordinance	1768
or resolution are hereby declared to be property of the municipal	1769
corporation, county, or township devoted to essential governmental	1770
purposes and accordingly shall not be applied to any purpose other	1771
than as provided herein and shall not be subject to any order,	1772
judgment, lien, execution, attachment, setoff, or counterclaim by	1773
any creditor of the municipal corporation, county, or township	1774
other than a creditor for whose benefit such fund is established	1775
and maintained and who is entitled thereto under and pursuant to	1776
this section.	1777

(D) The ordinance or resolution authorizing the debt	1778
obligations shall provide that proceeds of the debt obligations	1779
shall be deposited with a fiscal agent in a special and separate	1780
bank account and held in trust and expended only for the object or	1781
purpose for which such debt obligations were issued. A copy of the	1782
ordinance or resolution authorizing the debt obligations shall be	1783
filed with such fiscal agent at or prior to the time the proceeds	1784
are made available to the municipal corporation, county, or	1785
township. No moneys shall be withdrawn from such account unless	1786
there is filed with such fiscal agent a written requisition of the	1787
fiscal officer of the municipal corporation, county, or township	1788
or the fiscal officer's authorized deputy, setting forth the item	1789
number of the requisition or the account to be charged, the name	1790
of the person to whom payment is due, the amount to be paid, a	1791
statement to the effect that the obligation in the stated amount	1792
has been incurred by the municipal corporation, county, or	1793
township and is a proper charge against such account, and such	1794
other information as may be required by the ordinance or	1795
resolution. Pending such withdrawals, the moneys shall be	1796
invested for and on behalf of the municipal corporation, county,	1797
or township by the fiscal agent in obligations which are lawful	1798
for the investment of public funds of the municipal corporation,	1799
county, or township, including provisions for such investments in	1800
a municipal charter, in the manner as provided for in the	1801
ordinance or resolution.	1802

(E) Amounts held by fiscal agents shall be accounted for in	1803
the appropriate special funds of the municipal corporation,	1804
county, or township as if held in the treasury of the municipal	1805
corporation, county, or township, and the fiscal agents shall	1806
provide such information to the municipal corporation, county, or	1807
township as is necessary for the purpose.	1808

(F) The ordinance or resolution authorizing the debt	1809
obligations may contain covenants of the municipal corporation,	1810
county, or township to protect and safeguard the security and	1811
rights of the holders of such debt obligations, and without	1812
limiting the generality of the foregoing, such ordinance or	1813
resolution may contain covenants as to:	1814

(1) Establishment and maintenance of the funds to be held by	1815
fiscal agents as provided in this section and section 118.23 of	1816
the Revised Code, the times, amounts, and levels for deposits to	1817
such funds, and the obligations in which the proceeds of such	1818
funds may be invested pending their use, subject to such	1819
limitations on investment of public funds otherwise provided for	1820
by law or pursuant to the charter of a municipal corporation;	1821

(2) The appointment, rights, powers, and duties of the fiscal	1822
agent, including limiting or abrogating the right of the holders	1823
to appoint a trustee pursuant to section 118.21 of the Revised	1824
Code and vesting in the fiscal agent all or any of such rights,	1825
powers, and duties, in trust;	1826

(3) The execution of a credit agreement with the fiscal agent	1827
for the benefit of holders of such debt obligations and for the	1828
benefit of any other holders of other debt obligations of the	1829
municipal corporation, county, or township then outstanding,	1830
provided, however, that such benefit conferred on such holders of	1831
such outstanding debt obligations shall not be deemed to restrict,	1832
preclude, or otherwise impair any rights that such holders	1833
otherwise may assert;	1834

(4) Filings, review, and correction of tax budgets,	1835
appropriation measures, annual reports, audits, and other matters	1836
of financial record;	1837

(5) Compliance with the provisions of this chapter and the	1838
financial plan and other laws applicable to the municipal	1839
corporation, county, or township including Chapters 133. and 5705.	1840
of the Revised Code, and with further restrictions on the powers,	1841
rights, and duties of the municipal corporation, county, or	1842
township necessary, appropriate, or desirable for the proper,	1843
provident, and efficient management of financial affairs that the	1844
municipal corporation, county, or township, with the approval of	1845
the commission or, when authorized by the commission, the	1846
financial supervisor, determines will assure prompt payment when	1847
due of its debt obligations;	1848

(6) Conditions that would give rise to an event of default	1849
under the terms of such ordinance and actions and remedies that	1850
the fiscal agent may take or assert on behalf of the holders of	1851
such debt obligations;	1852

(7) Restrictions on the issuance of other debt obligations.

1853

Sec. 118.23.  (A) This section shall be applicable to current	1854
revenue notes approved by the financial planning and supervision	1855
commission or, when authorized by the commission, the financial	1856
supervisor pursuant to section 118.15 of the Revised Code and	1857
issued by a municipal corporation, county, or township pursuant to	1858
section 133.10 of the Revised Code and this section during a	1859
fiscal emergency period.	1860

(B) In the case of the issuance of such current revenue notes	1861
in anticipation of ad valorem property taxes, the county auditors	1862
of the counties in which the municipal corporation, county, or	1863
township is located, at the time of and from each distribution to	1864
the municipality of the proceeds of the anticipated taxes,	1865
including any payments from the state pursuant to sections 321.24	1866
and 323.156 of the Revised Code, whether such distribution be in	1867
the form of an advance or settlement that would otherwise have	1868
been paid to a fund or funds of the municipal corporation, county,	1869
or township, shall draw a separate warrant for payment to the	1870
county auditor for deposit in a special account to be held and	1871
applied pursuant to this section by the county auditor as fiscal	1872
agent and entitled "....... (insert name of municipal corporation,	1873
county, or township) current tax revenue note retirement account,"	1874
that portion of such distribution as provided for in the ordinance	1875
or resolution authorizing such notes pursuant to this section.	1876

(C) In the case of the issuance of such current revenue notes	1877
in anticipation of revenues other than ad valorem property taxes,	1878
the ordinance or resolution authorizing such notes shall provide	1879
for the times and amounts of deposits with the fiscal agent by the	1880
municipal corporation, county, or township of moneys from the	1881
revenues anticipated that shall be deposited in a special account	1882
to be held and applied by the fiscal agent pursuant to this	1883
section and entitled ".......... (insert name of municipal	1884
corporation, county, or township) current revenue note retirement	1885
account." Such ordinance or resolution may provide for the direct	1886
deposit to such account by the auditor of state and the county	1887
auditor or county auditors of the receiving counties, as	1888
appropriate, of such portions as therein specified of local	1889
governmentcommunities fund distribution to be made to the	1890
municipal corporation, county, or township.	1891

(D) The moneys in the accounts provided for in divisions (B)	1892
and (C) of this section are pledged and shall be used, so long as	1893
any portion of the debt service on such notes payable from the	1894
respective account is unpaid, solely for the purpose of paying	1895
such debt service, and for any reserves for debt service provided	1896
for in the ordinance or resolution authorizing such debt	1897
obligations. If accumulated payments into either account produce	1898
an amount less than that needed to make a timely payment of debt	1899
service or to such reserves, the full amount needed to make up any	1900
such deficiency shall be paid, in the case of the current tax	1901
revenue note retirement account, by the county auditor into such	1902
account from the last distribution or distributions to the	1903
municipal corporation, county, or township of the proceeds of the	1904
anticipated taxes to be received prior to the date of such	1905
payment, and in the case of the current revenue note retirement	1906
account, by the fiscal officer from the anticipated revenues	1907
received prior to the date of such payment.	1908

(E) The amounts to be deposited in each respective account	1909
pursuant to divisions (B), (C), and (D) of this section must be	1910
sufficient, in time and amount, to pay the principal of and	1911
interest on current notes payable from such account at their	1912
stated payment dates and to develop and maintain the required	1913
amounts in any such reserves.	1914

(F) The municipal corporation, county, or township shall not	1915
be entitled to receive from the fiscal agent any moneys held in	1916
the current tax revenue note retirement account or current revenue	1917
note retirement account, except that any surplus moneys remaining	1918
in either such account after the payment in full of the debt	1919
service on the notes payable therefrom shall be paid to the	1920
municipal corporation, county, or township, to be used for any	1921
lawful purpose of the municipal corporation, county, or township	1922
for which the anticipated revenues themselves might have been	1923
used.	1924

(G) Current revenue notes of a municipal corporation, county,	1925
or township issued during a fiscal emergency period may mature on	1926
or before the thirty-first day of December of the calendar year in	1927
which issued, may, when issued in anticipation of the collection	1928
of current tax revenues, anticipate one-half of the amount that	1929
the budget commission estimates the subdivision will receive from	1930
all property taxes that are to be distributed to the subdivision	1931
from all settlements of taxes that are to be made in the remainder	1932
of that year, other than taxes to be received for the payment of	1933
debt charges, and less all advances, and may, if issued during the	1934
last two months of the calendar year in which the fiscal emergency	1935
period commenced, anticipate one-half the estimated amount of ad	1936
valorem property taxes levied in that year for the tax budget of	1937
the following year which were authorized to be levied by the	1938
municipal charter or otherwise authorized by vote of the	1939
electorate of the municipal corporation, county, or township and	1940
may mature not later than the thirty-first day of December of the	1941
year following the year in which such notes are issued,	1942
notwithstanding section 133.10 of the Revised Code.	1943

(H) Pursuant to section 118.19 of the Revised Code, the	1944
municipal corporation, county, or township may utilize any of the	1945
special provisions of sections 118.20 to 118.22 of the Revised	1946
Code in connection with such current revenue notes.	1947

(I) Before any such current revenue notes may be authorized,	1948
the municipal corporation, county, or township shall submit to the	1949
commission and the commission or, when authorized by the	1950
commission, the financial supervisor shall approve:	1951

(1) A schedule of projected revenues and expenses of the	1952
municipal corporation, county, or township during the period in	1953
which such notes would be outstanding, demonstrating an	1954
anticipated cash flow deficit during such period, the amount of	1955
such anticipated cash flow deficit, and the necessity for the	1956
issuance of such current revenue notes to avoid the occurrence of	1957
such a cash flow deficit;	1958

(2) The terms of the proposed notes, including the interest	1959
rate or rates to be paid thereon;	1960

(3) The schedule, showing times, amounts, and sources of	1961
payment, for deposits into the account from which such notes are	1962
to be paid;	1963

(4) Other documents and data required under section 118.15 of	1964
the Revised Code.	1965

Sec. 119.07.  Except when a statute prescribes a notice and	1966
the persons to whom it shall be given, in all cases in which	1967
section 119.06 of the Revised Code requires an agency to afford an	1968
opportunity for a hearing prior to the issuance of an order, the	1969
agency shall give notice to the party informing himthe party of	1970
histhe party's right to a hearing. Notice shall be given by	1971
registered or certified mail, return receipt requested, and shall	1972
include the charges or other reasons for the proposed action, the	1973
law or rule directly involved, and a statement informing the party	1974
that hethe party is entitled to a hearing if hethe party	1975
requests it within thirty days of the time of mailing the notice.	1976
The notice shall also inform the party that at the hearing hethe	1977
party may appear in person, by histhe party's attorney, or by	1978
such other representative as is permitted to practice before the	1979
agency, or may present histhe party's position, arguments, or	1980
contentions in writing and that at the hearing hethe party may	1981
present evidence and examine witnesses appearing for and against	1982
himthe party. A copy of the notice shall be mailed to attorneys	1983
or other representatives of record representing the party. This	1984
paragraph does not apply to situations in which such section	1985
provides for a hearing only when it is requested by the party.	1986

When a statute specifically permits the suspension of a	1987
license without a prior hearing, notice of the agency's order	1988
shall be sent to the party by registered or certified mail, return	1989
receipt requested, not later than the business day next succeeding	1990
such order. The notice shall state the reasons for the agency's	1991
action, cite the law or rule directly involved, and state that the	1992
party will be afforded a hearing if hethe party requests it	1993
within thirty days of the time of mailing the notice. A copy of	1994
the notice shall be mailed to attorneys or other representatives	1995
of record representing the party.	1996

Whenever a party requests a hearing in accordance with this	1997
section and section 119.06 of the Revised Code, the agency shall	1998
immediately set the date, time, and place for the hearing and	1999
forthwith notify the party thereof. The date set for the hearing	2000
shall be within fifteen days, but not earlier than seven days,	2001
after the party has requested a hearing, unless otherwise agreed	2002
to by both the agency and the party.	2003

When any notice sent by registered or certified mail, as	2004
required by sections 119.01 to 119.13 of the Revised Code, is	2005
returned because of failure of delivery the agency shall send the	2006
notice by ordinary mail to the party at the party's last known	2007
address and shall obtain a certificate of mailing. Service by	2008
ordinary mail is complete when the certificate of mailing is	2009
obtained. If a notice sent by ordinary mail is returned showing	2010
failure of delivery, the agency shall notify the attorneys or	2011
other representatives of record representing the party of the	2012
failure of delivery and serve a copy of the notice upon them, by	2013
ordinary or registered or certified mail; if ordinary mail is	2014
used, the agency shall obtain a certificate of mailing. Service	2015
upon the attorneys or other representatives of record is complete	2016
when the notice is mailed. If there are no attorneys or other	2017
representatives of record representing the party, the agency	2018
either shall make personal delivery of the notice by an employee	2019
or agent of the agency or shall cause a summary of the substantive	2020
provisions of the notice to be published once a week for three	2021
consecutive weeks in a newspaper of general circulation in the	2022
county where the last known place of residence or businessaddress	2023
of the party is located. When notice is given by publication, a	2024
copy of the newspapera proof of publication affidavit, with the	2025
first publication of the notice markedset forth in the affidavit,	2026
shall be mailed by ordinary mail to the party at the party's last	2027
known address and the notice shall be deemed received as of the	2028
date of the last publication. An employee or agent of the agency	2029
may make personal delivery of the notice upon a party at any time.	2030

Refusal of delivery by personal service or by mail is not	2031
failure of delivery. Failure of delivery occurs only when, with	2032
reasonable diligence, a party cannot be found to make personal	2033
service of a notice, or if a mailed notice is returned by the	2034
postal authorities marked undeliverable, addressee unknown, or	2035
forwarding address unknown or expired. A party's last known	2036
address is the mailing address of the party appearing in the	2037
records of the agency.	2038

The failure of an agency to give the notices for any hearing	2039
required by sections 119.01 to 119.13 of the Revised Code in the	2040
manner provided in this section shall invalidate any order entered	2041
pursuant to the hearing.	2042

Sec. 120.33.  (A) In lieu of using a county public defender	2043
or joint county public defender to represent indigent persons in	2044
the proceedings set forth in division (A) of section 120.16 of the	2045
Revised Code, the board of county commissioners of any county may	2046
adopt a resolution to pay counsel who are either personally	2047
selected by the indigent person or appointed by the court. The	2048
resolution shall include those provisions the board of county	2049
commissioners considers necessary to provide effective	2050
representation of indigent persons in any proceeding for which	2051
counsel is provided under this section. The resolution shall	2052
include provisions for contracts with any municipal corporation	2053
under which the municipal corporation shall reimburse the county	2054
for counsel appointed to represent indigent persons charged with	2055
violations of the ordinances of the municipal corporation.	2056

(1) In a county that adopts a resolution to pay counsel, an	2057
indigent person shall have the right to do either of the	2058
following:	2059

(a) To select the person's own personal counsel to represent	2060
the person in any proceeding included within the provisions of the	2061
resolution;	2062

(b) To request the court to appoint counsel to represent the	2063
person in such a proceeding.	2064

(2) The court having jurisdiction over the proceeding in a	2065
county that adopts a resolution to pay counsel shall, after	2066
determining that the person is indigent and entitled to legal	2067
representation under this section, do either of the following:	2068

(a) By signed journal entry recorded on its docket, enter the	2069
name of the lawyer selected by the indigent person as counsel of	2070
record;	2071

(b) Appoint counsel for the indigent person if the person has	2072
requested the court to appoint counsel and, by signed journal	2073
entry recorded on its dockets, enter the name of the lawyer	2074
appointed for the indigent person as counsel of record.	2075

(3) The board of county commissioners shall establish a	2076
schedule of fees by case or on an hourly basis to be paid to	2077
counsel for legal services provided pursuant to a resolution	2078
adopted under this section. Prior to establishing the schedule,	2079
the board of county commissioners shall request the bar	2080
association or associations of the county to submit a proposed	2081
schedule. The schedule submitted shall be subject to the review,	2082
amendment, and approval of the board of county commissioners.	2083

(4) Counsel selected by the indigent person or appointed by	2084
the court at the request of an indigent person in a county that	2085
adopts a resolution to pay counsel, except for counsel appointed	2086
to represent a person charged with any violation of an ordinance	2087
of a municipal corporation that has not contracted with the county	2088
commissioners for the payment of appointed counsel, shall be paid	2089
by the county and shall receive the compensation and expenses the	2090
court approves. Each request for payment shall be accompanied by a	2091
financial disclosure form and an affidavit of indigency that are	2092
completed by the indigent person on forms prescribed by the state	2093
public defender. Compensation and expenses shall not exceed the	2094
amounts fixed by the board of county commissioners in the schedule	2095
adopted pursuant to division (A)(3) of this section. No court	2096
shall approve compensation and expenses that exceed the amount	2097
fixed pursuant to division (A)(3) of this section.	2098

The fees and expenses approved by the court shall not be	2099
taxed as part of the costs and shall be paid by the county.	2100
However, if the person represented has, or may reasonably be	2101
expected to have, the means to meet some part of the cost of the	2102
services rendered to the person, the person shall pay the county	2103
an amount that the person reasonably can be expected to pay.	2104
Pursuant to section 120.04 of the Revised Code, the county shall	2105
pay to the state public defender a percentage of the payment	2106
received from the person in an amount proportionate to the	2107
percentage of the costs of the person's case that were paid to the	2108
county by the state public defender pursuant to this section. The	2109
money paid to the state public defender shall be credited to the	2110
client payment fund created pursuant to division (B)(5) of section	2111
120.04 of the Revised Code.	2112

The county auditor shall draw a warrant on the county	2113
treasurer for the payment of counsel in the amount fixed by the	2114
court, plus the expenses the court fixes and certifies to the	2115
auditor. The county auditor shall report periodically, but not	2116
less than annually, to the board of county commissioners and to	2117
the Ohiostate public defender commission the amounts paid out	2118
pursuant to the approval of the court. The board of county	2119
commissioners, after review and approval of the auditor's report,	2120
or the county auditor, with permission from and notice to the	2121
board of county commissioners, may then certify it to the state	2122
public defender for reimbursement. If a request for reimbursement	2123
is not accompanied by a financial disclosure form and an affidavit	2124
of indigency completed by the indigent person on forms prescribed	2125
by the state public defender and the court does not certify by	2126
electronic signature as prescribed by the state public defender	2127
that a financial disclosure form and affidavit of indigency have	2128
been completed by the indigent person and are available for	2129
inspection, the state public defender shall not pay the requested	2130
reimbursement. If a request for the reimbursement of the cost of	2131
counsel in any case is not received by the state public defender	2132
within ninety days after the end of the calendar month in which	2133
the case is finally disposed of by the court, unless the county	2134
has requested and the state public defender has granted an	2135
extension of the ninety-day limit, the state public defender shall	2136
not pay the requested reimbursement. The state public defender	2137
shall also review the report and, in accordance with the	2138
standards, guidelines, and maximums established pursuant to	2139
divisions (B)(7) and (8) of section 120.04 of the Revised Code,	2140
prepare a voucher for fifty per cent of the total cost of each	2141
county appointed counsel system in the period of time covered by	2142
the certified report and a voucher for fifty per cent of the costs	2143
and expenses that are reimbursable under section 120.35 of the	2144
Revised Code, if any, or, if the amount of money appropriated by	2145
the general assembly to reimburse counties for the operation of	2146
county public defender offices, joint county public defender	2147
offices, and county appointed counsel systems is not sufficient to	2148
pay fifty per cent of the total cost of all of the offices and	2149
systems other than costs and expenses that are reimbursable under	2150
section 120.35 of the Revised Code, for the lesser amount required	2151
by section 120.34 of the Revised Code.	2152

(5) If any county appointed counsel system fails to maintain	2153
the standards for the conduct of the system established by the	2154
rules of the Ohio public defender commission pursuant to divisions	2155
(B) and (C) of section 120.03 or the standards established by the	2156
state public defender pursuant to division (B)(7) of section	2157
120.04 of the Revised Code, the Ohio public defender commission	2158
shall notify the board of county commissioners of the county that	2159
the county appointed counsel system has failed to comply with its	2160
rules or the standards of the state public defender. Unless the	2161
board of county commissioners corrects the conduct of its	2162
appointed counsel system to comply with the rules and standards	2163
within ninety days after the date of the notice, the state public	2164
defender may deny all or part of the county's reimbursement from	2165
the state provided for in division (A)(4) of this section.	2166

(B) In lieu of using a county public defender or joint county	2167
public defender to represent indigent persons in the proceedings	2168
set forth in division (A) of section 120.16 of the Revised Code,	2169
and in lieu of adopting the resolution and following the procedure	2170
described in division (A) of this section, the board of county	2171
commissioners of any county may contract with the state public	2172
defender for the state public defender's legal representation of	2173
indigent persons. A contract entered into pursuant to this	2174
division may provide for payment for the services provided on a	2175
per case, hourly, or fixed contract basis.	2176

(C) If a court appoints an attorney pursuant to this section	2177
to represent a petitioner in a postconviction relief proceeding	2178
under section 2953.21 of the Revised Code, the petitioner has	2179
received a sentence of death, and the proceeding relates to that	2180
sentence, the attorney who represents the petitioner in the	2181
proceeding pursuant to the appointment shall be certified under	2182
Rule 20 of the Rules of Superintendence for the Courts of Ohio to	2183
represent indigent defendants charged with or convicted of an	2184
offense for which the death penalty can be or has been imposed.	2185

Sec. 122.011.  (A) The department of development shall	2186
develop and promote plans and programs designed to assure that	2187
state resources are efficiently used, economic growth is properly	2188
balanced, community growth is developed in an orderly manner, and	2189
local governments are coordinated with each other and the state,	2190
and for such purposes may do all of the following:	2191

(1) Serve as a clearinghouse for information, data, and other	2192
materials that may be helpful or necessary to persons or local	2193
governments, as provided in section 122.07 of the Revised Code;	2194

(2) Prepare and activate plans for the retention,	2195
development, expansion, and use of the resources and commerce of	2196
the state, as provided in section 122.04 of the Revised Code;	2197

(3) Assist and cooperate with federal, state, and local	2198
governments and agencies of federal, state, and local governments	2199
in the coordination of programs to carry out the functions and	2200
duties of the department;	2201

(4) Encourage and foster research and development activities,	2202
conduct studies related to the solution of community problems, and	2203
develop recommendations for administrative or legislative actions,	2204
as provided in section 122.03 of the Revised Code;	2205

(5) Serve as the economic and community development planning	2206
agency, which shall prepare and recommend plans and programs for	2207
the orderly growth and development of this state and which shall	2208
provide planning assistance, as provided in section 122.06 of the	2209
Revised Code;	2210

(6) Cooperate with and provide technical assistance to state	2211
departments, political subdivisions, regional and local planning	2212
commissions, tourist associations, councils of government,	2213
community development groups, community action agencies, and other	2214
appropriate organizations for carrying out the functions and	2215
duties of the department or for the solution of community	2216
problems;	2217

(7) Coordinate the activities of state agencies that have an	2218
impact on carrying out the functions and duties of the department;	2219

(8) Encourage and assist the efforts of and cooperate with	2220
local governments to develop mutual and cooperative solutions to	2221
their common problems that relate to carrying out the purposes of	2222
this section;	2223

(9) Study existing structure, operations, and financing of	2224
regional or local government and those state activities that	2225
involve significant relations with regional or local governmental	2226
units, recommend to the governor and to the general assembly such	2227
changes in these provisions and activities as will improve the	2228
operations of regional or local government, and conduct other	2229
studies of legal provisions that affect problems related to	2230
carrying out the purposes of this section;	2231

(10) Create and operate a division of community development	2232
to develop and administer programs and activities that are	2233
authorized by federal statute or the Revised Code;	2234

(11) Until October 15, 2007, establish fees and charges, in	2235
consultation with the director of agriculture, for purchasing	2236
loans from financial institutions and providing loan guarantees	2237
under the family farm loan program created under sections 901.80	2238
to 901.83 of the Revised Code;	2239

(12) Provide loan servicing for the loans purchased and loan	2240
guarantees provided under section 901.80 of the Revised Code as	2241
that section existed prior to October 15, 2007;	2242

(13) Until October 15, 2007, and upon approval by the	2243
controlling board under division (A)(3) of section 901.82 of the	2244
Revised Code of the release of money to be used for purchasing a	2245
loan or providing a loan guarantee, request the release of that	2246
money in accordance with division (B) of section 166.03 of the	2247
Revised Code for use for the purposes of the fund created by	2248
section 166.031 of the Revised Code;	2249

(14) Assess fees related to the federal brownfield revolving	2250
loan fund program that is established under the "Comprehensive	2251
Environmental Response, Compensation, and Liability Act of 1980,"	2252
115 Stat. 2356, 42 U.S.C. 9601, as amended, and that is	2253
administered by the department.	2254

(B) The director of development may request the attorney	2255
general to, and the attorney general, in accordance with section	2256
109.02 of the Revised Code, shall bring a civil action in any	2257
court of competent jurisdiction. The director may be sued in the	2258
director's official capacity, in connection with this chapter, in	2259
accordance with Chapter 2743. of the Revised Code.	2260

Sec. 122.014. If data or other information collected by the	2261
department of development indicates that there is a critical	2262
workforce shortage in an emerging growth industry in the state,	2263
the director of development may notify the governor and the	2264
chancellor of the Ohio board of regents of the shortage for the	2265
purpose of activating the critical needs rapid response system	2266
developed under section 3333.50 of the Revised Code.	2267

Sec.  122.051.  There is hereby created in the state treasury	2268
the international trade cooperative projects fund. The fund shall	2269
consist of moneys received from private and nonprofit	2270
organizations involved in cooperative agreements related to	2271
import/export and direct foreign investment activities and cash	2272
transfers from other state agencies or any state or local	2273
government to encourage, promote, and assist trade and commerce	2274
between this state and foreign nations, pursuant to section 122.05	2275
and division (E) of section 122.04 of the Revised Code.	2276

Sec. 122.071. There is hereby created in the state treasury	2277
the travel and tourism cooperative projects fund consisting of all	2278
grants, gifts, and contributions made to the director of	2279
development for marketing and promotion of travel and tourism	2280
within this state pursuant to division (F) of section 122.04 and	2281
section 122.07 of the Revised Code.	2282

Sec. 122.076. There is hereby created in the state treasury	2283
the energy projects fund consisting of nonfederal revenue that is	2284
remitted to the director of development for the purpose of energy	2285
projects. Money in the fund shall be used by the department of	2286
development for energy projects and to pay the costs incurred in	2287
administering the energy projects.	2288

Sec. 122.17.  (A) As used in this section:

2289

(1) "Full-time employee" means an individual who is employed	2290
for consideration for at least an average of thirty-five hours a	2291
week or who renders any other standard of service generally	2292
accepted by custom or specified by contract as full-time	2293
employment, or who is employed for consideration for such time or	2294
renders such service but is on active duty reserve or Ohio	2295
national guard service.	2296

(2) "New employee" means one of the following:

2297

(a) A full-time employee first employed by a taxpayer in the	2298
project that is the subject of the agreement after the taxpayer	2299
enters into a tax credit agreement with the tax credit authority	2300
under this section;	2301

(b) A full-time employee first employed by a taxpayer in the	2302
project that is the subject of the tax credit after the tax credit	2303
authority approves a project for a tax credit under this section	2304
in a public meeting, as long as the taxpayer enters into the tax	2305
credit agreement prepared by the department of development after	2306
such meeting within sixty days after receiving the agreement from	2307
the department. If the taxpayer fails to enter into the agreement	2308
within sixty days, "new employee" has the same meaning as under	2309
division (A)(2)(a) of this section. A full-time employee may be	2310
considered a "new employee" of a taxpayer, despite previously	2311
having been employed by a related member of the taxpayer, if all	2312
of the following apply:	2313

(i) The related member is a party to the tax credit agreement	2314
at the time the employee is first employed with the taxpayer;	2315

(ii) The related member will remain subject to the tax	2316
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied	2317
under Chapter 5751. of the Revised Code for the remainder of the	2318
term of the tax credit, and the tax credit is taken against	2319
liability for that same tax through the remainder of the term of	2320
the tax credit; and	2321

(iii) The employee was considered a new employee of the	2322
related member prior to employment with the taxpayer.	2323

Under division (A)(2)(a) or (b) of this section, if the tax	2324
credit authority determines it appropriate, "new employee" also	2325
may include an employee re-hired or called back from lay-off to	2326
work in a new facility or on a new product or service established	2327
or produced by the taxpayer after entering into the agreement	2328
under this section or after the tax credit authority approves the	2329
tax credit in a public meeting. Except as otherwise provided in	2330
this paragraph, "new employee" does not include any employee of	2331
the taxpayer who was previously employed in this state by a	2332
related member of the taxpayer and whose employment was shifted to	2333
the taxpayer after the taxpayer entered into the tax credit	2334
agreement or after the tax credit authority approved the credit in	2335
a public meeting, or any employee of the taxpayer for which the	2336
taxpayer has been granted a certificate under division (B) of	2337
section 5709.66 of the Revised Code. However, if the taxpayer is	2338
engaged in the enrichment and commercialization of uranium or	2339
uranium products or is engaged in research and development	2340
activities related thereto and if the tax credit authority	2341
determines it appropriate, "new employee" may include an employee	2342
of the taxpayer who was previously employed in this state by a	2343
related member of the taxpayer and whose employment was shifted to	2344
the taxpayer after the taxpayer entered into the tax credit	2345
agreement or after the tax credit authority approved the credit in	2346
a public meeting. "New employee" does not include an employee of	2347
the taxpayer who is employed in an employment position that was	2348
relocated to a project from other operations of the taxpayer in	2349
this state or from operations of a related member of the taxpayer	2350
in this state. In addition, "new employee" does not include a	2351
child, grandchild, parent, or spouse, other than a spouse who is	2352
legally separated from the individual, of any individual who is an	2353
employee of the taxpayer and who has a direct or indirect	2354
ownership interest of at least five per cent in the profits,	2355
capital, or value of the taxpayer. Such ownership interest shall	2356
be determined in accordance with section 1563 of the Internal	2357
Revenue Code and regulations prescribed thereunder.	2358

(3) "New income tax revenue" means the total amount withheld	2359
under section 5747.06 of the Revised Code by the taxpayer during	2360
the taxable year, or during the calendar year that includes the	2361
tax period, from the compensation of new employees for the tax	2362
levied under Chapter 5747. of the Revised Code.	2363

(4) "Related member" has the same meaning as under division	2364
(A)(6) of section 5733.042 of the Revised Code without regard to	2365
division (B) of that section.	2366

(B) The tax credit authority may make grants under this	2367
section to foster job creation in this state. Such a grant shall	2368
take the form of a refundable credit allowed against the tax	2369
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied	2370
under Chapter 5751. of the Revised Code. The credit shall be	2371
claimed for the taxable years or tax periods specified in the	2372
taxpayer's agreement with the tax credit authority under division	2373
(D) of this section. With respect to taxes imposed under section	2374
5733.06 or 5747.02 or Chapter 5751. of the Revised Code, the	2375
credit shall be claimed in the order required under section	2376
5733.98, 5747.98, or 5751.98 of the Revised Code. The amount of	2377
the credit available for a taxable year or for a calendar year	2378
that includes a tax period equals the new income tax revenue for	2379
that year multiplied by the percentage specified in the agreement	2380
with the tax credit authority. Any credit granted under this	2381
section against the tax imposed by section 5733.06 or 5747.02 of	2382
the Revised Code, to the extent not fully utilized against such	2383
tax for taxable years ending prior to 2008, shall automatically be	2384
converted without any action taken by the tax credit authority to	2385
a credit against the tax levied under Chapter 5751. of the Revised	2386
Code for tax periods beginning on or after July 1, 2008, provided	2387
that the person to whom the credit was granted is subject to such	2388
tax. The converted credit shall apply to those calendar years in	2389
which the remaining taxable years specified in the agreement end.	2390

(C) A taxpayer or potential taxpayer who proposes a project	2391
to create new jobs in this state may apply to the tax credit	2392
authority to enter into an agreement for a tax credit under this	2393
section. The director of development shall prescribe the form of	2394
the application. After receipt of an application, the authority	2395
may enter into an agreement with the taxpayer for a credit under	2396
this section if it determines all of the following:	2397

(1) The taxpayer's project will create new jobs in this	2398
state;	2399

(2) The taxpayer's project is economically sound and will	2400
benefit the people of this state by increasing opportunities for	2401
employment and strengthening the economy of this state;	2402

(3) Receiving the tax credit is a major factor in the	2403
taxpayer's decision to go forward with the project.	2404

(D) An agreement under this section shall include all of the	2405
following:	2406

(1) A detailed description of the project that is the subject	2407
of the agreement;	2408

(2) The term of the tax credit, which shall not exceed	2409
fifteen years, and the first taxable year, or first calendar year	2410
that includes a tax period, for which the credit may be claimed;	2411

(3) A requirement that the taxpayer shall maintain operations	2412
at the project location for at least twice the number of years as	2413
the term of the tax credit;	2414

(4) The percentage, as determined by the tax credit	2415
authority, of new income tax revenue that will be allowed as the	2416
amount of the credit for each taxable year or for each calendar	2417
year that includes a tax period;	2418

(5) A specific method for determining how many new employees	2419
are employed during a taxable year or during a calendar year that	2420
includes a tax period;	2421

(6) A requirement that the taxpayer annually shall report to	2422
the director of development the number of new employees, the new	2423
income tax revenue withheld in connection with the new employees,	2424
and any other information the director needs to perform the	2425
director's duties under this section;	2426

(7) A requirement that the director of development annually	2427
shall verify the amounts reported under division (D)(6) of this	2428
section, and after doing so shall issue a certificate to the	2429
taxpayer stating that the amounts have been verified;	2430

(8)(a) A provision requiring that the taxpayer, except as	2431
otherwise provided in division (D)(8)(b) of this section, shall	2432
not relocate employment positions from elsewhere in this state to	2433
the project site that is the subject of the agreement for the	2434
lesser of five years from the date the agreement is entered into	2435
or the number of years the taxpayer is entitled to claim the tax	2436
credit.	2437

(b) The taxpayer may relocate employment positions from	2438
elsewhere in this state to the project site that is the subject of	2439
the agreement if the director of development determines both of	2440
the following:	2441

(i) That the site from which the employment positions would	2442
be relocated is inadequate to meet market and industry conditions,	2443
expansion plans, consolidation plans, or other business	2444
considerations affecting the taxpayer;	2445

(ii) That the legislative authority of the county, township,	2446
or municipal corporation from which the employment positions would	2447
be relocated has been notified of the relocation.	2448

For purposes of this section, the movement of an employment	2449
position from one political subdivision to another political	2450
subdivision shall be considered a relocation of an employment	2451
position, but the transfer of an individual employee from one	2452
political subdivision to another political subdivision shall not	2453
be considered a relocation of an employment position as long as	2454
the individual's employment position in the first political	2455
subdivision is refilled.	2456

(E) If a taxpayer fails to meet or comply with any condition	2457
or requirement set forth in a tax credit agreement, the tax credit	2458
authority may amend the agreement to reduce the percentage or term	2459
of the tax credit. The reduction of the percentage or term shall	2460
take effect (1) in the taxable year immediately following the	2461
taxable year in which the authority amends the agreement or the	2462
director of development notifies the taxpayer in writing of such	2463
failure, or (2) in the first tax period beginning in the calendar	2464
year immediately following the calendar year in which the	2465
authority amends the agreement or the director notifies the	2466
taxpayer in writing of such failure. If the taxpayer fails to	2467
annually report any of the information required by division (D)(6)	2468
of this section within the time required by the director, the	2469
reduction of the percentage or term may take effect in the current	2470
taxable year. If the taxpayer relocates employment positions in	2471
violation of the provision required under division (D)(8)(a) of	2472
this section, the taxpayer shall not claim the tax credit under	2473
section 5733.0610 of the Revised Code for any tax years following	2474
the calendar year in which the relocation occurs, or shall not	2475
claim the tax credit under section 5725.32, 5729.032, or 5747.058	2476
of the Revised Code for the taxable year in which the relocation	2477
occurs and any subsequent taxable years, and shall not claim the	2478
tax credit under division (A) of section 5751.50 of the Revised	2479
Code for any tax period in the calendar year in which the	2480
relocation occurs and any subsequent tax periods.	2481

(F) Projects that consist solely of point-of-final-purchase	2482
retail facilities are not eligible for a tax credit under this	2483
section. If a project consists of both point-of-final-purchase	2484
retail facilities and nonretail facilities, only the portion of	2485
the project consisting of the nonretail facilities is eligible for	2486
a tax credit and only the new income tax revenue from new	2487
employees of the nonretail facilities shall be considered when	2488
computing the amount of the tax credit. If a warehouse facility is	2489
part of a point-of-final-purchase retail facility and supplies	2490
only that facility, the warehouse facility is not eligible for a	2491
tax credit. Catalog distribution centers are not considered	2492
point-of-final-purchase retail facilities for the purposes of this	2493
division, and are eligible for tax credits under this section.	2494

(G) Financial statements and other information submitted to	2495
the department of development or the tax credit authority by an	2496
applicant or recipient of a tax credit under this section, and any	2497
information taken for any purpose from such statements or	2498
information, are not public records subject to section 149.43 of	2499
the Revised Code. However, the chairperson of the authority may	2500
make use of the statements and other information for purposes of	2501
issuing public reports or in connection with court proceedings	2502
concerning tax credit agreements under this section. Upon the	2503
request of the tax commissioner or, if the applicant or recipient	2504
is an insurance company, upon the request of the superintendent of	2505
insurance, the chairperson of the authority shall provide to the	2506
commissioner or superintendent any statement or information	2507
submitted by an applicant or recipient of a tax credit in	2508
connection with the credit. The commissioner or superintendent	2509
shall preserve the confidentiality of the statement or	2510
information.	2511

(H) A taxpayer claiming a credit under this section shall	2512
submit to the tax commissioner or, if the taxpayer is an insurance	2513
company, to the superintendent of insurance, a copy of the	2514
director of development's certificate of verification under	2515
division (D)(7) of this section with the taxpayer's tax report or	2516
return for the taxable year or for the calendar year that includes	2517
the tax period. Failure to submit a copy of the certificate with	2518
the report or return does not invalidate a claim for a credit if	2519
the taxpayer submits a copy of the certificate to the commissioner	2520
or superintendent within sixty days after the commissioner or	2521
superintendent requests it.	2522

(I) The director of development, after consultation with the	2523
tax commissioner and the superintendent of insurance and in	2524
accordance with Chapter 119. of the Revised Code, shall adopt	2525
rules necessary to implement this section. The rules may provide	2526
for recipients of tax credits under this section to be charged	2527
fees to cover administrative costs of the tax credit program. The	2528
fees collected shall be credited to the tax incentive programs	2529
operating fund created in section 122.174 of the Revised Code. At	2530
the time the director gives public notice under division (A) of	2531
section 119.03 of the Revised Code of the adoption of the rules,	2532
the director shall submit copies of the proposed rules to the	2533
chairpersons of the standing committees on economic development in	2534
the senate and the house of representatives.	2535

(J) For the purposes of this section, a taxpayer may include	2536
a partnership, a corporation that has made an election under	2537
subchapter S of chapter one of subtitle A of the Internal Revenue	2538
Code, or any other business entity through which income flows as a	2539
distributive share to its owners. A credit received under this	2540
section by a partnership, S-corporation, or other such business	2541
entity shall be apportioned amongmay elect to pass the credit	2542
received under this section through to the persons to whom the	2543
income or profit of the partnership, S-corporation, or other	2544
entity is distributed,. The election shall be made on the annual	2545
report required under division (D)(6) of this section. The	2546
election applies to and is irrevocable for the credit for which	2547
the report is submitted. If the election is made, the credit shall	2548
be apportioned among those persons in the same proportions as	2549
those in which the income or profit is distributed.	2550

(K) If the director of development determines that a taxpayer	2551
who has received a credit under this section is not complying with	2552
the requirement under division (D)(3) of this section, the	2553
director shall notify the tax credit authority of the	2554
noncompliance. After receiving such a notice, and after giving the	2555
taxpayer an opportunity to explain the noncompliance, the tax	2556
credit authority may require the taxpayer to refund to this state	2557
a portion of the credit in accordance with the following:	2558

(1) If the taxpayer maintained operations at the project	2559
location for at least one and one-half times the number of years	2560
of the term of the tax credit, an amount not exceeding twenty-five	2561
per cent of the sum of any previously allowed credits under this	2562
section;	2563

(2) If the taxpayer maintained operations at the project	2564
location for at least the number of years of the term of the tax	2565
credit, an amount not exceeding fifty per cent of the sum of any	2566
previously allowed credits under this section;	2567

(3) If the taxpayer maintained operations at the project	2568
location for less than the number of years of the term of the tax	2569
credit, an amount not exceeding one hundred per cent of the sum of	2570
any previously allowed credits under this section.	2571

In determining the portion of the tax credit to be refunded	2572
to this state, the tax credit authority shall consider the effect	2573
of market conditions on the taxpayer's project and whether the	2574
taxpayer continues to maintain other operations in this state.	2575
After making the determination, the authority shall certify the	2576
amount to be refunded to the tax commissioner or superintendent of	2577
insurance, as appropriate. If the amount is certified to the	2578
commissioner, the commissioner shall make an assessment for that	2579
amount against the taxpayer under Chapter 5733., 5747., or 5751.	2580
of the Revised Code. If the amount is certified to the	2581
superintendent, the superintendent shall make an assessment for	2582
that amount against the taxpayer under Chapter 5725. or 5729. of	2583
the Revised Code. The time limitations on assessments under those	2584
chapters do not apply to an assessment under this division, but	2585
the commissioner or superintendent, as appropriate, shall make the	2586
assessment within one year after the date the authority certifies	2587
to the commissioner or superintendent the amount to be refunded.	2588

(L) On or before the thirty-first day of March each year, the	2589
director of development shall submit a report to the governor, the	2590
president of the senate, and the speaker of the house of	2591
representatives on the tax credit program under this section. The	2592
report shall include information on the number of agreements that	2593
were entered into under this section during the preceding calendar	2594
year, a description of the project that is the subject of each	2595
such agreement, and an update on the status of projects under	2596
agreements entered into before the preceding calendar year.	2597

(M) There is hereby created the tax credit authority, which	2598
consists of the director of development and four other members	2599
appointed as follows: the governor, the president of the senate,	2600
and the speaker of the house of representatives each shall appoint	2601
one member who shall be a specialist in economic development; the	2602
governor also shall appoint a member who is a specialist in	2603
taxation. Of the initial appointees, the members appointed by the	2604
governor shall serve a term of two years; the members appointed by	2605
the president of the senate and the speaker of the house of	2606
representatives shall serve a term of four years. Thereafter,	2607
terms of office shall be for four years. Initial appointments to	2608
the authority shall be made within thirty days after January 13,	2609
1993. Each member shall serve on the authority until the end of	2610
the term for which the member was appointed. Vacancies shall be	2611
filled in the same manner provided for original appointments. Any	2612
member appointed to fill a vacancy occurring prior to the	2613
expiration of the term for which the member's predecessor was	2614
appointed shall hold office for the remainder of that term.	2615
Members may be reappointed to the authority. Members of the	2616
authority shall receive their necessary and actual expenses while	2617
engaged in the business of the authority. The director of	2618
development shall serve as chairperson of the authority, and the	2619
members annually shall elect a vice-chairperson from among	2620
themselves. Three members of the authority constitute a quorum to	2621
transact and vote on the business of the authority. The majority	2622
vote of the membership of the authority is necessary to approve	2623
any such business, including the election of the vice-chairperson.	2624

The director of development may appoint a professional	2625
employee of the department of development to serve as the	2626
director's substitute at a meeting of the authority. The director	2627
shall make the appointment in writing. In the absence of the	2628
director from a meeting of the authority, the appointed substitute	2629
shall serve as chairperson. In the absence of both the director	2630
and the director's substitute from a meeting, the vice-chairperson	2631
shall serve as chairperson.	2632

(N) For purposes of the credits granted by this section	2633
against the taxes imposed under sections 5725.18 and 5729.03 of	2634
the Revised Code, "taxable year" means the period covered by the	2635
taxpayer's annual statement to the superintendent of insurance.	2636

Sec. 122.171. (A) As used in this section:

2637

(1) "Capital investment project" means a plan of investment	2638
at a project site for the acquisition, construction, renovation,	2639
or repair of buildings, machinery, or equipment, or for	2640
capitalized costs of basic research and new product development	2641
determined in accordance with generally accepted accounting	2642
principles, but does not include any of the following:	2643

(a) Payments made for the acquisition of personal property	2644
through operating leases;	2645

(b) Project costs paid before January 1, 2002;

2646

(c) Payments made to a related member as defined in section	2647
5733.042 of the Revised Code or to an elected consolidated	2648
taxpayer or a combined taxpayer as defined in section 5751.01 of	2649
the Revised Code.	2650

(2) "Eligible business" means a business with Ohio operations	2651
satisfying all of the following:	2652

(a) Employed an average of at least one thousand employees in	2653
full-time employment positions at a project site during each of	2654
the twelve months preceding the application for a tax credit under	2655
this section; and	2656

(b) On or after January 1, 2002, has made payments for the	2657
capital investment project of either of the following:	2658

(i) At least two hundred million dollars in the aggregate at	2659
the project site during a period of three consecutive calendar	2660
years including the calendar year that includes a day of the	2661
taxpayer's taxable year or tax period with respect to which the	2662
credit is granted;	2663

(ii) If the average wage of all full-time employment	2664
positions at the project site is greater than four hundred per	2665
cent of the federal minimum wage, at least one hundred million	2666
dollars in the aggregate at the project site during a period of	2667
three consecutive calendar years including the calendar year that	2668
includes a day of the taxpayer's taxable year or tax period with	2669
respect to which the credit is granted.	2670

(c) Is engaged at the project site primarily as a	2671
manufacturer or is providing significant corporate administrative	2672
functions;	2673

(d) Has had a capital investment project reviewed and	2674
approved by the tax credit authority as provided in divisions (C),	2675
(D), and (E) of this section.	2676

(3) "Full-time employment position" means a position of	2677
employment for consideration for at least an average of	2678
thirty-five hours a week that has been filled for at least one	2679
hundred eighty days immediately preceding the filing of an	2680
application under this section and for at least one hundred eighty	2681
days during each taxable year or each calendar year that includes	2682
a tax period with respect to which the credit is granted, or is	2683
employed in such position for consideration for such time, but is	2684
on active duty reserve or Ohio national guard service.	2685

(4) "Manufacturer" has the same meaning as in section	2686
5739.011 of the Revised Code.	2687

(5) "Project site" means an integrated complex of facilities	2688
in this state, as specified by the tax credit authority under this	2689
section, within a fifteen-mile radius where a taxpayer is	2690
primarily operating as an eligible business.	2691

(6) "Applicable corporation" means a corporation satisfying	2692
all of the following:	2693

(a)(i) For the entire taxable year immediately preceding the	2694
tax year, the corporation develops software applications primarily	2695
to provide telecommunication billing and information services	2696
through outsourcing or licensing to domestic or international	2697
customers.	2698

(ii) Sales and licensing of software generated at least six	2699
hundred million dollars in revenue during the taxable year	2700
immediately preceding the tax year the corporation is first	2701
entitled to claim the credit provided under division (B) of this	2702
section.	2703

(b) For the entire taxable year immediately preceding the tax	2704
year, the corporation or one or more of its related members	2705
provides customer or employee care and technical support for	2706
clients through one or more contact centers within this state, and	2707
the corporation and its related members together have a daily	2708
average, based on a three-hundred-sixty-five-day year, of at least	2709
five hundred thousand successful customer contacts through one or	2710
more of their contact centers, wherever located.	2711

(c) The corporation is eligible for the credit under division	2712
(B) of this section for the tax year.	2713

(7) "Related member" has the same meaning as in section	2714
5733.042 of the Revised Code as that section existed on the	2715
effective date of its amendment by Am. Sub. H.B. 215 of the 122nd	2716
general assembly, September 29, 1997.	2717

(8) "Successful customer contact" means a contact with an end	2718
user via telephone, including interactive voice recognition or	2719
similar means, where the contact culminates in a conversation or	2720
connection other than a busy signal or equipment busy.	2721

(9) "Telecommunications" means all forms of	2722
telecommunications service as defined in section 5739.01 of the	2723
Revised Code, and includes services in wireless, wireline, cable,	2724
broadband, internet protocol, and satellite.	2725

(10)(a) "Applicable difference" means the difference between	2726
the tax for the tax year under Chapter 5733. of the Revised Code	2727
applying the law in effect for that tax year, and the tax for that	2728
tax year if section 5733.042 of the Revised Code applied as that	2729
section existed on the effective date of its amendment by Am. Sub.	2730
H.B. 215 of the 122nd general assembly, September 29, 1997,	2731
subject to division (A)(10)(b) of this section.	2732

(b) If the tax rate set forth in division (B) of section	2733
5733.06 of the Revised Code for the tax year is less than eight	2734
and one-half per cent, the tax calculated under division	2735
(A)(10)(a) of this section shall be computed by substituting a tax	2736
rate of eight and one-half per cent for the rate set forth in	2737
division (B) of section 5733.06 of the Revised Code for the tax	2738
year.	2739

(c) If the resulting difference is negative, the applicable	2740
tax difference for the tax year shall be zero.	2741

(B) The tax credit authority created under section 122.17 of	2742
the Revised Code may grant tax credits under this section for the	2743
purpose of fostering job retention in this state. Upon application	2744
by an eligible business and upon consideration of the	2745
recommendation of the director of budget and management, tax	2746
commissioner, and director of development under division (C) of	2747
this section, the tax credit authority may grant to an eligible	2748
business a nonrefundable credit against the tax imposed by section	2749
5733.06 or 5747.02 of the Revised Code for a period up to fifteen	2750
taxable years and against the tax levied by Chapter 5751. of the	2751
Revised Code for a period of up to fifteen calendar years. The	2752
credit shall be in an amount not exceeding seventy-five per cent	2753
of the Ohio income tax withheld from the employees of the eligible	2754
business occupying full-time employment positions at the project	2755
site during the calendar year that includes the last day of such	2756
business' taxable year or tax period with respect to which the	2757
credit is granted. The amount of the credit shall not be based on	2758
the Ohio income tax withheld from full-time employees for a	2759
calendar year prior to the calendar year in which the minimum	2760
investment requirement referred to in division (A)(2)(b) of this	2761
section is completed. The credit shall be claimed only for the	2762
taxable years or tax periods specified in the eligible business'	2763
agreement with the tax credit authority under division (E) of this	2764
section, but in no event shall the credit be claimed for a taxable	2765
year or tax period terminating before the date specified in the	2766
agreement. Any credit granted under this section against the tax	2767
imposed by section 5733.06 or 5747.02 of the Revised Code, to the	2768
extent not fully utilized against such tax for taxable years	2769
ending prior to 2008, shall automatically be converted without any	2770
action taken by the tax credit authority to a credit against the	2771
tax levied under Chapter 5751. of the Revised Code for tax periods	2772
beginning on or after July 1, 2008, provided that the person to	2773
whom the credit was granted is subject to such tax. The converted	2774
credit shall apply to those calendar years in which the remaining	2775
taxable years specified in the agreement end.	2776

The credit computed under this division is in addition to any	2777
credit allowed under division (M) of this section which the tax	2778
credit authority may also include in the agreement.	2779

Any unused portion of a tax credit may be carried forward for	2780
not more than three additional years after the year for which the	2781
credit is granted.	2782

(C) A taxpayer that proposes a capital investment project to	2783
retain jobs in this state may apply to the tax credit authority to	2784
enter into an agreement for a tax credit under this section. The	2785
director of development shall prescribe the form of the	2786
application. After receipt of an application, the authority shall	2787
forward copies of the application to the director of budget and	2788
management, the tax commissioner, and the director of development,	2789
each of whom shall review the application to determine the	2790
economic impact the proposed project would have on the state and	2791
the affected political subdivisions and shall submit a summary of	2792
their determinations and recommendations to the authority.	2793

(D) Upon review of the determinations and recommendations	2794
described in division (C) of this section, the tax credit	2795
authority may enter into an agreement with the taxpayer for a	2796
credit under this section if the authority determines all of the	2797
following:	2798

(1) The taxpayer's capital investment project will result in	2799
the retention of full-time employment positions in this state.	2800

(2) The taxpayer is economically sound and has the ability to	2801
complete the proposed capital investment project.	2802

(3) The taxpayer intends to and has the ability to maintain	2803
operations at the project site for at least twice the term of the	2804
credit.	2805

(4) Receiving the credit is a major factor in the taxpayer's	2806
decision to begin, continue with, or complete the project.	2807

(5) The political subdivisions in which the project is	2808
located have agreed to provide substantial financial support to	2809
the project.	2810

(E) An agreement under this section shall include all of the	2811
following:	2812

(1) A detailed description of the project that is the subject	2813
of the agreement, including the amount of the investment, the	2814
period over which the investment has been or is being made, and	2815
the number of full-time employment positions at the project site.	2816

(2) The method of calculating the number of full-time	2817
employment positions as specified in division (A)(3) of this	2818
section.	2819

(3) The term and percentage of the tax credit, and the first	2820
year for which the credit may be claimed.	2821

(4) A requirement that the taxpayer maintain operations at	2822
the project site for at least twice the number of years as the	2823
term of the credit.	2824

(5) A requirement that the taxpayer retain a specified number	2825
of full-time employment positions at the project site and within	2826
this state for the term of the credit, including a requirement	2827
that the taxpayer continue to employ at least one thousand	2828
employees in full-time employment positions at the project site	2829
during the entire term of any agreement, subject to division	2830
(E)(7) of this section.	2831

(6) A requirement that the taxpayer annually report to the	2832
director of development the number of full-time employment	2833
positions subject to the credit, the amount of tax withheld from	2834
employees in those positions, the amount of the payments made for	2835
the capital investment project, and any other information the	2836
director needs to perform the director's duties under this	2837
section.	2838

(7) A requirement that the director of development annually	2839
review the annual reports of the taxpayer to verify the	2840
information reported under division (E)(6) of this section and	2841
compliance with the agreement. Upon verification, the director	2842
shall issue a certificate to the taxpayer stating that the	2843
information has been verified and identifying the amount of the	2844
credit for the taxable year. Unless otherwise specified by the tax	2845
credit authority in a resolution and included as part of the	2846
agreement, the director shall not issue a certificate for any year	2847
in which the total number of filled full-time employment positions	2848
for each day of the calendar year divided by three hundred	2849
sixty-five is less than ninety per cent of the full-time	2850
employment positions specified in division (E)(5) of this section.	2851
In determining the number of full-time employment positions, no	2852
position shall be counted that is filled by an employee who is	2853
included in the calculation of a tax credit under section 122.17	2854
of the Revised Code.	2855

(8)(a) A provision requiring that the taxpayer, except as	2856
otherwise provided in division (E)(8)(b) of this section, shall	2857
not relocate employment positions from elsewhere in this state to	2858
the project site that is the subject of the agreement for the	2859
lesser of five years from the date the agreement is entered into	2860
or the number of years the taxpayer is entitled to claim the	2861
credit.	2862

(b) The taxpayer may relocate employment positions from	2863
elsewhere in this state to the project site that is the subject of	2864
the agreement if the director of development determines both of	2865
the following:	2866

(i) That the site from which the employment positions would	2867
be relocated is inadequate to meet market and industry conditions,	2868
expansion plans, consolidation plans, or other business	2869
considerations affecting the taxpayer;	2870

(ii) That the legislative authority of the county, township,	2871
or municipal corporation from which the employment positions would	2872
be relocated has been notified of the relocation.	2873

For purposes of this section, the movement of an employment	2874
position from one political subdivision to another political	2875
subdivision shall be considered a relocation of an employment	2876
position unless the movement is confined to the project site. The	2877
transfer of an individual employee from one political subdivision	2878
to another political subdivision shall not be considered a	2879
relocation of an employment position as long as the individual's	2880
employment position in the first political subdivision is	2881
refilled.	2882

(9) A waiver by the taxpayer of any limitations periods	2883
relating to assessments or adjustments resulting from the	2884
taxpayer's failure to comply with the agreement.	2885

(F) If a taxpayer fails to meet or comply with any condition	2886
or requirement set forth in a tax credit agreement, the tax credit	2887
authority may amend the agreement to reduce the percentage or term	2888
of the credit. The reduction of the percentage or term shall take	2889
effect (1) in the taxable year immediately following the taxable	2890
year in which the authority amends the agreement or the director	2891
of development notifies the taxpayer in writing of such failure,	2892
or (2) in the first tax period beginning in the calendar year	2893
immediately following the calendar year in which the authority	2894
amends the agreement or the director notifies the taxpayer in	2895
writing of such failure. If the taxpayer fails to annually report	2896
any of the information required by division (E)(6) of this section	2897
within the time required by the director, the reduction of the	2898
percentage or term may take effect in the current taxable year. If	2899
the taxpayer relocates employment positions in violation of the	2900
provision required under division (D)(8)(a) of this section, the	2901
taxpayer shall not claim the tax credit under section 5733.0610 of	2902
the Revised Code for any tax years following the calendar year in	2903
which the relocation occurs, shall not claim the tax credit under	2904
section 5747.058 of the Revised Code for the taxable year in which	2905
the relocation occurs and any subsequent taxable years, and shall	2906
not claim the tax credit under division (A) of section 5751.50 of	2907
the Revised Code for the tax period in which the relocation occurs	2908
and any subsequent tax periods.	2909

(G) Financial statements and other information submitted to	2910
the department of development or the tax credit authority by an	2911
applicant for or recipient of a tax credit under this section, and	2912
any information taken for any purpose from such statements or	2913
information, are not public records subject to section 149.43 of	2914
the Revised Code. However, the chairperson of the authority may	2915
make use of the statements and other information for purposes of	2916
issuing public reports or in connection with court proceedings	2917
concerning tax credit agreements under this section. Upon the	2918
request of the tax commissioner, the chairperson of the authority	2919
shall provide to the commissioner any statement or other	2920
information submitted by an applicant for or recipient of a tax	2921
credit in connection with the credit. The commissioner shall	2922
preserve the confidentiality of the statement or other	2923
information.	2924

(H) A taxpayer claiming a tax credit under this section shall	2925
submit to the tax commissioner a copy of the director of	2926
development's certificate of verification under division (E)(7) of	2927
this section with the taxpayer's tax report or return for the	2928
taxable year or for the calendar year that includes the tax	2929
period. Failure to submit a copy of the certificate with the	2930
report or return does not invalidate a claim for a credit if the	2931
taxpayer submits a copy of the certificate to the commissioner	2932
within sixty days after the commissioner requests it.	2933

(I) For the purposes of this section, a taxpayer may include	2934
a partnership, a corporation that has made an election under	2935
subchapter S of chapter one of subtitle A of the Internal Revenue	2936
Code, or any other business entity through which income flows as a	2937
distributive share to its owners. A tax credit received under this	2938
section by a partnership, S-corporation, or other such business	2939
entity shall be apportioned amongmay elect to pass the credit	2940
received under this section through to the persons to whom the	2941
income or profit of the partnership, S-corporation, or other	2942
entity is distributed,. The election shall be made on the annual	2943
report required under division (E)(6) of this section. The	2944
election applies to and is irrevocable for the credit for which	2945
the report is submitted. If the election is made, the credit shall	2946
be apportioned among those persons in the same proportions as	2947
those in which the income or profit is distributed.	2948

(J) If the director of development determines that a taxpayer	2949
that received a tax credit under this section is not complying	2950
with the requirement under division (E)(4) of this section, the	2951
director shall notify the tax credit authority of the	2952
noncompliance. After receiving such a notice, and after giving the	2953
taxpayer an opportunity to explain the noncompliance, the	2954
authority may terminate the agreement and require the taxpayer to	2955
refund to the state all or a portion of the credit claimed in	2956
previous years, as follows:	2957

(1) If the taxpayer maintained operations at the project site	2958
for less than the term of the credit, the amount required to be	2959
refunded shall not exceed the amount of any tax credits previously	2960
allowed and received under this section.	2961

(2) If the taxpayer maintained operations at the project site	2962
longer than the term of the credit but less than one and one-half	2963
times the term of the credit, the amount required to be refunded	2964
shall not exceed fifty per cent of the sum of any tax credits	2965
previously allowed and received under this section.	2966

(3) If the taxpayer maintained operations at the project site	2967
for at least one and one-half times the term of the credit but	2968
less than twice the term of the credit, the amount required to be	2969
refunded shall not exceed twenty-five per cent of the sum of any	2970
tax credits previously allowed and received under this section.	2971

In determining the portion of the credit to be refunded to	2972
this state, the authority shall consider the effect of market	2973
conditions on the taxpayer's project and whether the taxpayer	2974
continues to maintain other operations in this state. After making	2975
the determination, the authority shall certify the amount to be	2976
refunded to the tax commissioner. The commissioner shall make an	2977
assessment for that amount against the taxpayer under Chapter	2978
5733., 5747., or 5751. of the Revised Code. The time limitations	2979
on assessments under those chapters do not apply to an assessment	2980
under this division, but the commissioner shall make the	2981
assessment within one year after the date the authority certifies	2982
to the commissioner the amount to be refunded.	2983

If the director of development determines that a taxpayer	2984
that received a tax credit under this section has reduced the	2985
number of employees agreed to under division (E)(5) of this	2986
section by more than ten per cent, the director shall notify the	2987
tax credit authority of the noncompliance. After receiving such	2988
notice, and after providing the taxpayer an opportunity to explain	2989
the noncompliance, the authority may amend the agreement to reduce	2990
the percentage or term of the tax credit. The reduction in the	2991
percentage or term shall take effect in the taxable year, or in	2992
the calendar year that includes the tax period, in which the	2993
authority amends the agreement.	2994

(K) The director of development, after consultation with the	2995
tax commissioner and in accordance with Chapter 119. of the	2996
Revised Code, shall adopt rules necessary to implement this	2997
section. The rules may provide for recipients of tax credits under	2998
this section to be charged fees to cover administrative costs of	2999
the tax credit program. The fees collected shall be credited to	3000
the tax incentive programs operating fund created in section	3001
122.174 of the Revised Code. At the time the director gives public	3002
notice under division (A) of section 119.03 of the Revised Code of	3003
the adoption of the rules, the director shall submit copies of the	3004
proposed rules to the chairpersons of the standing committees on	3005
economic development in the senate and the house of	3006
representatives.	3007

(L) On or before the thirty-first day of March of each year,	3008
the director of development shall submit a report to the governor,	3009
the president of the senate, and the speaker of the house of	3010
representatives on the tax credit program under this section. The	3011
report shall include information on the number of agreements that	3012
were entered into under this section during the preceding calendar	3013
year, a description of the project that is the subject of each	3014
such agreement, and an update on the status of projects under	3015
agreements entered into before the preceding calendar year.	3016

(M)(1) A nonrefundable credit shall be allowed to an	3017
applicable corporation and its related members in an amount equal	3018
to the applicable difference. The credit is in addition to the	3019
credit granted to the corporation or related members under	3020
division (B) of this section. The credit is subject to divisions	3021
(B) to (E) and division (J) of this section.	3022

(2) A person qualifying as an applicable corporation under	3023
this section for a tax year does not necessarily qualify as an	3024
applicable corporation for any other tax year. No person is	3025
entitled to the credit allowed under division (M) of this section	3026
for the tax year immediately following the taxable year during	3027
which the person fails to meet the requirements in divisions	3028
(A)(6)(a)(i) and (A)(6)(b) of this section. No person is entitled	3029
to the credit allowed under division (M) of this section for any	3030
tax year for which the person is not eligible for the credit	3031
provided under division (B) of this section.	3032

Sec. 122.174.  There is hereby created in the state treasury	3033
the tax incentive programs operating fund. Money collected	3034
pursuant to division (I) of section 121.17, division (K) of	3035
section 122.171, division (C) of section 3735.672, and division	3036
(C) of section 5709.68 of the Revised Code shall be credited to	3037
the fund. The director of development shall use money in the fund	3038
to pay expenses related to the administration of the tax credit	3039
programs authorized by sections 122.17, 122.171, 3735.672, and	3040
5709.68 of the Revised Code.	3041

Sec. 122.602.  (A) There is hereby created in the department	3042
of development the capital access loan program to assist	3043
participating financial institutions in making program loans to	3044
eligible businesses that face barriers in accessing working	3045
capital and obtaining fixed asset financing. In administering the	3046
program, the director of development may do any of the following:	3047

(1) Receive and accept grants, gifts, and contributions of	3048
money, property, labor, and other things of value to be held,	3049
used, and applied only for the purpose for which the grants,	3050
gifts, and contributions are made, from individuals, private and	3051
public corporations, the United States or any agency of the United	3052
States, the state or any agency of the state, or any political	3053
subdivision of the state;	3054

(2) Agree to repay any contribution of money or return any	3055
property contributed or the value of that property at the times,	3056
in the amounts, and on the terms and conditions, excluding the	3057
payment of interest, that the director consents to at the time a	3058
contribution is made; and evidence obligations by notes, bonds, or	3059
other written instruments;	3060

(3) Adopt rules under Chapter 119. of the Revised Code to	3061
carry out the purposes of the program specified in sections 122.60	3062
to 122.605 of the Revised Code;	3063

(4) Engage in all other acts, and enter into contracts and	3064
execute all instruments, necessary or appropriate to carry out the	3065
purposes specified in sections 122.60 to 122.605 of the Revised	3066
Code.	3067

(B) The director shall determine the eligibility of a	3068
financial institution to participate in the program and may set a	3069
limit on the number of financial institutions that may participate	3070
in the program.	3071

(C) To be considered eligible by the director to participate	3072
in the program, a financial institution shall enter into a	3073
participation agreement with the department that sets out the	3074
terms and conditions under which the department will deposit	3075
moneys from the fund into the financial institution's program	3076
reserve account, specifies the criteria for loan qualification	3077
under the program, and contains any additional terms the director	3078
considers necessary.	3079

(D) After receiving the certification required under division	3080
(C) of section 122.603 of the Revised Code, the director may	3081
disburse moneys from the fund to a participating financial	3082
institution for deposit in its program reserve account if the	3083
director determines that the capital access loan involved meets	3084
all of the following criteria:	3085

(1) It will be made to an eligible business.

3086

(2) It will be used by the eligible business for a project,	3087
activity, or enterprise that fosters economic development.	3088

(3) It will not be made in order to enroll in the program	3089
prior debt that is not covered under the program and that is owed	3090
or was previously owed by an eligible business to the financial	3091
institution.	3092

(4) It will not be utilized for a project or development	3093
related to the on-site construction or purchase of residential	3094
housing.	3095

(5) It will not be used to finance passive real estate	3096
ownership.	3097

(6) It conforms to the requirements of divisions (E), (F),	3098
(G), (H), and (I) of this section, and to the rules adopted by the	3099
director under division (A)(3) of this section.	3100

(E) The director shall not approve a capital access loan to	3101
an eligible business that exceeds two hundred fifty thousand	3102
dollars for working capital or five hundred thousand dollars for	3103
the purchase of fixed assets. An eligible business may apply for	3104
the maximum amount of both working capital and the purchase of	3105
fixed assets in the same capital access loan.	3106

(F) A financial institution may apply to the director for the	3107
approval of a capital access loan to any business that is owned or	3108
operated by a person that has previously defaulted under any state	3109
financial assistance program.	3110

(G) Eligible businesses that apply for a capital access loan	3111
shall comply with section 9.66 of the Revised Code.	3112

(H) A financial institution may apply to the director for the	3113
approval of a capital access loan that refinances a nonprogram	3114
loan made by another financial institution.	3115

(I) The director shall not approve a capital access loan that	3116
refinances a nonprogram loan made by the same financial	3117
institution, unless the amount of the refinanced loan exceeds the	3118
existing debt, in which case only the amount exceeding the	3119
existing debt is eligible for a loan under the program.	3120

(J) The director shall not approve any capital access loan	3121
made after June 30, 2007, or enter into a participation agreement	3122
with any financial institution after that date.	3123

Sec. 123.10. (A) The director of administrative services	3124
shall regulate the rate of tolls to be collected on the public	3125
works of the state, and shall fix all rentals and collect all	3126
tolls, rents, fines, commissions, fees, and other revenues arising	3127
from any source in the public works, including the sale,	3128
construction, purchase, or rental of property, except that the	3129
director shall not collect a commission or fee from a real estate	3130
broker or the private owner when real property is leased or rented	3131
to the state.	3132

(B) There is hereby created in the state treasury the state	3133
architect's fund which shall consist of money received by the	3134
department of administrative services under division (A) of this	3135
section, fees paid under section 123.17 of the Revised Code,	3136
transfers of money to the fund authorized by the general assembly,	3137
and such amount of the investment earnings of the administrative	3138
building fund created in division (C) of this section as the	3139
director of budget and management determines to be appropriate and	3140
in excess of the amounts required to meet estimated federal	3141
arbitrage rebate requirements. Money in the fund shall be used by	3142
the department of administrative services for the following	3143
purposes:	3144

(1) To pay personnel and other administrative expenses of the	3145
department;	3146

(2) To pay the cost of conducting evaluations of public	3147
works;	3148

(3) To pay the cost of building design specifications;

3149

(4) To pay the cost of providing project management services;

3150

(5) To pay the cost of operating the local administration	3151
competency certification program prescribed by section 123.17 of	3152
the Revised Code;	3153

(6) Any other purposes that the director of administrative	3154
services determines to be necessary for the department to execute	3155
its duties under this chapter.	3156

(C) There is hereby created in the state treasury the	3157
administrative building fund which shall consist of proceeds of	3158
obligations authorized to pay the cost of capital facilities.	3159
Except as provided in division (B) of this section, all investment	3160
earnings of the fund shall be credited to the fund. The fund shall	3161
be used to pay the cost of capital facilities designated by or	3162
pursuant to an act of the general assembly. The director of budget	3163
and management shall approve and provide a voucher for payments of	3164
amounts from the fund that represent the portion of investment	3165
earnings to be rebated or to be paid to the federal government in	3166
order to maintain the exclusion from gross income for federal	3167
income tax purposes on interest on those obligations pursuant to	3168
section 148(f) of the Internal Revenue Code.	3169

As used in this division, "capital facilities" has the same	3170
meaning as under section 152.09 of the Revised Code.	3171

Sec. 123.17. (A) As used in this section, "institution of	3172
higher education" means a state university or college, as defined	3173
in section 3345.12 of the Revised Code, or a state community	3174
college.	3175

(B) Not later than December 30, 2005, the state architect	3176
shall establish a local administration competency certification	3177
program to certify institutions of higher education to administer	3178
capital facilities projects pursuant to section 3345.51 of the	3179
Revised Code without the supervision, control, or approval of the	3180
department of administrative services. The program shall offer	3181
instruction in the administration of capital facilities projects	3182
for employees of institutions of higher education who are	3183
responsible for such administration and who are selected by their	3184
employing institutions to participate in the program.	3185

(C) The program shall provide instruction about the	3186
provisions of Chapters 9., 123., and 153. of the Revised Code and	3187
any rules or policies adopted by the department regarding the	3188
planning, design, and construction of capital facilities,	3189
including all of the following:	3190

(1) The planning, design, and construction process;

3191

(2) Contract requirements;

3192

(3) Construction management;

3193

(4) Project management.

3194

(D) The state architect shall award local administration	3195
competency certification to any institution of higher education if	3196
all of the following apply:	3197

(1) The institution applied for certification on a form and	3198
in a manner prescribed by the state architect.	3199

(2) The state architect determines that a sufficient number	3200
of the institution's employees, representing a sufficient number	3201
of employee classifications, responsible for the administration of	3202
capital facilities projects have successfully completed the	3203
certification program to ensure that any capital facilities	3204
project undertaken by the institution will be administered	3205
successfully and in accordance with all provisions of the Revised	3206
Code, and the board of trustees of the institution provides	3207
written assurance to the state architect that the institution will	3208
select new employees to participate in the certification program	3209
as necessary to compensate for employee turnover.	3210

(3) The state architect determines that the employees of the	3211
institution enrolled in the program demonstrate successful	3212
completion of the competency certification training and a	3213
satisfactory level of knowledge of and competency in the	3214
requirements for administering capital facilities projects.	3215

(4) The institution pays the fee prescribed by division (F)	3216
of this section.	3217

(5)(4) The board of trustees of the institution provides	3218
written assurance to the state architect that the institution will	3219
conduct biennial audits of the institution's administration of	3220
capital facilities projects in accordance with division (C) of	3221
section 3345.51 of the Revised Code.	3222

(6)(5) The board of trustees of the institution agrees in	3223
writing to indemnify and hold harmless the state and the	3224
department for any claim of injury, loss, or damage that results	3225
from the institution's administration of a capital facilities	3226
project.	3227

(E) Local administration competency certification granted	3228
under this section shall remain in effect for as long as the state	3229
architect determines that both of the following apply:	3230

(1) The institution of higher education maintains a	3231
sufficient number of employees responsible for the administration	3232
of capital facilities projects who have successfully completed the	3233
certification program and have demonstrated a satisfactory level	3234
of knowledge of and competency in the requirements for	3235
administering capital facilities projects;	3236

(2) The institution is performing the biennial audits	3237
prescribed in division (C) of section 3345.51 of the Revised Code.	3238

If the state architect determines that an institution of	3239
higher education has failed to comply with the conditions of	3240
division (E)(1) or (2) of this section, the state architect shall	3241
revoke the institution's certification and shall notify the board	3242
of trustees of the institution in writing of the revocation.	3243

(F) The state architect shall establish, subject to the	3244
approval of the director of budget and management, the amount of	3245
the fee required to be paid by any institution of higher education	3246
that seeks certification under this section. The amount of the	3247
fees shall be set to cover the costs to implement this section,	3248
including the costs for materials and the competency certification	3249
training sessions. Any fees received under this section shall be	3250
paid into the state treasury to the credit of the state	3251
architect's fund established under section 123.10 of the Revised	3252
Code.	3253

(G) Nothing in this section shall prohibit an institution	3254
that administers a capital facilities project under section	3255
3345.51 of the Revised Code from requesting guidance or other	3256
services from the department of administrative services.	3257

Sec. 124.152.  (A)(1) Except as provided in divisions (A)(2)	3258
and (3) of this section, each exempt employee shall be paid a	3259
salary or wage in accordance with schedule E-1 or schedule E-2 of	3260
division (B), (C), or (D) of this section, as applicable.	3261

(2) Each exempt employee who holds a position in the	3262
unclassified civil service pursuant to division (A)(26) or (30) of	3263
section 124.11 of the Revised Code may be paid a salary or wage in	3264
accordance with schedule E-1, schedule E-1 for step seven only, or	3265
schedule E-2 of division (B) or, (C), (D), (E), (F), or (G) of	3266
this section, as applicable.	3267

(3)(a) Except as provided in division (A)(3)(b) of this	3268
section, each exempt employee who was paid a salary or wage at	3269
step 7 in the employee's pay range on June 28, 2003, in accordance	3270
with the applicable schedule E-1 of former section 124.152 of the	3271
Revised Code and who continued to be so paid on June 29, 2003,	3272
shall be paid a salary or wage in the corresponding pay range in	3273
schedule E-1 for step seven only of division (C)(E), (F), or (G)	3274
of this section, as applicable, for as long as the employee	3275
remains in the position the employee held as of July 1, 2003.	3276

(b) Except as provided in division (A)(3)(c) of this section,	3277
if an exempt employee who is being paid a salary or wage in	3278
accordance with schedule E-1 for step seven only of division	3279
(C)(E), (F), or (G) of this section, as applicable, moves to	3280
another position, the employee shall not receive a salary or wage	3281
for that position or any other position in the future in	3282
accordance with that schedule.	3283

(c) If an exempt employee who is being paid a salary or wage	3284
in accordance with schedule E-1 for step seven only of division	3285
(C)(E), (F), or (G) of this section, as applicable, moves to	3286
another position assigned to pay range 12 or above, the appointing	3287
authority has the discretion tomay assign the employee to be paid	3288
a salary or wage in the appropriate pay range for that position in	3289
accordance with the applicable schedule E-1 for step seven only,	3290
provided that the appointing authority so notifies the director of	3291
administrative services in writing at the time the employee is	3292
appointed to that position.	3293

(B) Beginning on the first day of the pay period that	3294
includes July 1, 2006, each exempt employee who must be paid in	3295
accordance with schedule E-1 or schedule E-2 of this section shall	3296
be paid a salary or wage in accordance with the following schedule	3297
of rates:	3298

Schedule E-1

3299

Pay Ranges and Step Values

3300

			Step	Step	Step	Step	Step	Step			3301
		Range	1	2	3	4	5	6			3302
1		Hourly	9.40	9.82	10.24	10.68					3303
		Annually	19552	20426	21299	22214					3304
2		Hourly	11.40	11.88	12.40	12.94					3305
		Annually	23712	24710	25792	26915					3306
3		Hourly	11.94	12.48	13.03	13.60					3307
		Annually	24835	25958	27102	28288					3308
4		Hourly	12.54	13.10	13.72	14.34					3309
		Annually	26083	27248	28538	29827					3310
5		Hourly	13.15	13.75	14.34	14.97					3311
		Annually	27352	28600	29827	31138					3312
6		Hourly	13.86	14.43	15.07	15.69					3313
		Annually	28829	30014	31346	32635					3314
7		Hourly	14.72	15.27	15.88	16.44	17.08				3315
		Annually	30618	31762	33030	34195	35526				3316
8		Hourly	15.56	16.24	16.95	17.71	18.46				3317
		Annually	32365	33779	35256	36837	38397				3318
9		Hourly	16.60	17.46	18.32	19.23	20.21				3319
		Annually	34528	36317	38106	39998	42037				3320
10		Hourly	17.91	18.89	19.90	21.05	22.18				3321
		Annually	37253	39291	41392	43784	46134				3322
11		Hourly	19.50	20.64	21.84	23.06	24.38				3323
		Annually	40560	42931	45427	47965	50710				3324
12		Hourly	21.51	22.72	23.94	25.27	26.68	28.13			3325
		Annually	44741	47258	49795	52562	55494	58510			3326
13		Hourly	23.71	25.01	26.39	27.80	29.36	30.96			3327
		Annually	49317	52021	54891	57824	61069	64397			3328
14		Hourly	26.08	27.55	29.03	30.62	32.35	34.15			3329
		Annually	54246	57304	60382	63690	67288	71032			3330
15		Hourly	28.64	30.25	31.96	33.72	35.59	37.55			3331
		Annually	59571	62920	66477	70138	74027	78104			3332
16		Hourly	31.58	33.33	35.17	37.14	39.19	41.43			3333
		Annually	65686	69326	73154	77251	81515	86174			3334
17		Hourly	34.80	36.72	38.78	40.92	43.20	45.61			3335
		Annually	72384	76378	80662	85114	89856	94869			3336
18		Hourly	38.35	40.47	42.75	45.10	47.60	50.26			3337
		Annually	79768	84178	88920	93808	99008	104541			3338

Schedule E-2

3339

		Range		Minimum		Maximum		3340
41		Hourly		16.23		34.77		3341
		Annually		33758		72322		3342
42		Hourly		17.89		38.41		3343
		Annually		37211		79893		3344
43		Hourly		19.70		42.30		3345
		Annually		40976		87984		3346
44		Hourly		21.73		46.21		3347
		Annually		45198		96117		3348
45		Hourly		24.01		50.44		3349
		Annually		49941		104915		3350
46		Hourly		26.43		55.13		3351
		Annually		54974		114670		3352
47		Hourly		29.14		60.16		3353
		Annually		60611		125133		3354
48		Hourly		32.14		65.65		3355
		Annually		66851		136552		3356
49		Hourly		35.44		70.89		3357
		Annually		73715		147451		3358

(C) Beginning on the first day of the pay period that	3359
includes July 1, 2007, each exempt employee who must be paid in	3360
accordance with schedule E-1 or schedule E-2 of this section shall	3361
be paid a salary or wage in accordance with the following schedule	3362
of rates:	3363

			Step	Step	Step	Step	Step	Step			3364
		Range	1	2	3	4	5	6			3365
1		Hourly	9.73	10.16	10.60	11.05					3366
		Annually	20238	21133	22048	22984					3367
2		Hourly	11.80	12.30	12.83	13.39					3368
		Annually	24544	25584	26686	27851					3369
3		Hourly	12.36	12.92	13.49	14.08					3370
		Annually	25709	26874	28059	29286					3371
4		Hourly	12.98	13.56	14.20	14.84					3372
		Annually	26998	28205	29536	30867					3373
5		Hourly	13.61	14.23	14.84	15.49					3374
		Annually	28309	29598	30867	32219					3375
6		Hourly	14.35	14.94	15.60	16.24					3376
		Annually	29848	31075	32448	33779					3377
7		Hourly	15.24	15.80	16.44	17.02	17.68				3378
		Annually	31699	32864	34195	35402	36774				3379
8		Hourly	16.10	16.81	17.54	18.33	19.11				3380
		Annually	33488	34965	36483	38126	39749				3381
9		Hourly	17.18	18.07	18.96	19.90	20.92				3382
		Annually	35734	37586	39437	41392	43514				3383
10		Hourly	18.54	19.55	20.60	21.79	22.96				3384
		Annually	38563	40664	42848	45323	47757				3385
11		Hourly	20.18	21.36	22.60	23.87	25.23				3386
		Annually	41974	44429	47008	49650	52478				3387
12		Hourly	22.26	23.52	24.78	26.15	27.61	29.11			3388
		Annually	46301	48922	51542	54392	57429	60549			3389
13		Hourly	24.54	25.89	27.31	28.77	30.39	32.04			3390
		Annually	51043	53851	56805	59842	63211	66643			3391
14		Hourly	26.99	28.51	30.05	31.69	33.48	35.35			3392
		Annually	56139	59301	62504	65915	69638	73528			3393
15		Hourly	29.64	31.31	33.08	34.90	36.84	38.86			3394
		Annually	61651	65125	68806	72592	76627	80829			3395
16		Hourly	32.69	34.50	36.40	38.44	40.56	42.88			3396
		Annually	67995	71760	75712	79955	84365	89190			3397
17		Hourly	36.02	38.01	40.14	42.35	44.71	47.21			3398
		Annually	74922	79061	83491	88088	92997	98197			3399
18		Hourly	39.69	41.89	44.25	46.68	49.27	52.02			3400
		Annually	82555	87131	92040	97094	102482	108202			3401

		Range		Minimum		Maximum		3403
41		Hourly		16.23		35.99		3404
		Annually		33758		74859		3405
42		Hourly		17.89		39.75		3406
		Annually		37211		82680		3407
43		Hourly		19.70		43.78		3408
		Annually		40976		91062		3409
44		Hourly		21.73		47.83		3410
		Annually		45198		99486		3411
45		Hourly		24.01		52.21		3412
		Annually		49941		108597		3413
46		Hourly		26.43		57.06		3414
		Annually		54974		118685		3415
47		Hourly		29.14		62.27		3416
		Annually		60611		129522		3417
48		Hourly		32.14		67.95		3418
		Annually		66851		141336		3419
49		Hourly		35.44		73.37		3420
		Annually		73715		152610		3421

(D) Beginning on the first day of the pay period that	3422
includes July 1, 2008, each exempt employee who must be paid in	3423
accordance with schedule E-1 or schedule E-2 of this section shall	3424
be paid a salary or wage in accordance with the following schedule	3425
of rates:	3426

			Step	Step	Step	Step	Step	Step			3427
		Range	1	2	3	4	5	6			3428
1		Hourly	10.07	10.52	10.97	11.44					3429
		Annually	20946	21882	22818	23795					3430
2		Hourly	12.21	12.73	13.28	13.86					3431
		Annually	25397	26478	27622	28829					3432
3		Hourly	12.79	13.37	13.96	14.57					3433
		Annually	26603	27810	29037	30306					3434
4		Hourly	13.43	14.03	14.70	15.36					3435
		Annually	27934	29182	30576	31949					3436
5		Hourly	14.09	14.73	15.36	16.03					3437
		Annually	29307	30638	31949	33342					3438
6		Hourly	14.85	15.46	16.15	16.81					3439
		Annually	30888	32157	33592	34965					3440
7		Hourly	15.77	16.35	17.02	17.62	18.30				3441
		Annually	32802	34008	35402	36650	38064				3442
8		Hourly	16.66	17.40	18.15	18.97	19.78				3443
		Annually	34653	36192	37752	39458	41142				3444
9		Hourly	17.78	18.70	19.62	20.60	21.65				3445
		Annually	36982	38896	40810	42848	45032				3446
10		Hourly	19.19	20.23	21.32	22.55	23.76				3447
		Annually	39915	42078	44346	46904	49421				3448
11		Hourly	20.89	22.11	23.39	24.71	26.11				3449
		Annually	43451	45989	48651	51397	54309				3450
12		Hourly	23.04	24.34	25.65	27.07	28.58	30.13			3451
		Annually	47923	50627	53352	56306	59446	62670			3452
13		Hourly	25.40	26.80	28.27	29.78	31.45	33.16			3453
		Annually	52832	55744	58802	61942	65416	68973			3454
14		Hourly	27.93	29.51	31.10	32.80	34.65	36.59			3455
		Annually	58094	61381	64688	68224	72072	76107			3456
15		Hourly	30.68	32.41	34.24	36.12	38.13	40.22			3457
		Annually	63814	67413	71219	75130	79310	83658			3458
16		Hourly	33.83	35.71	37.67	39.79	41.98	44.38			3459
		Annually	70366	74277	78354	82763	87318	92310			3460
17		Hourly	37.28	39.34	41.54	43.83	46.27	48.86			3461
		Annually	77542	81827	86403	91166	96242	101629			3462
18		Hourly	41.08	43.36	45.80	48.31	50.99	53.84			3463
		Annually	85446	90189	95264	100485	106059	111987			3464

		Range		Minimum		Maximum		3466
41		Hourly		16.23		37.25		3467
		Annually		33758		77480		3468
42		Hourly		17.89		41.14		3469
		Annually		37211		85571		3470
43		Hourly		19.70		45.31		3471
		Annually		40976		94245		3472
44		Hourly		21.73		49.50		3473
		Annually		45198		102960		3474
45		Hourly		24.01		54.04		3475
		Annually		49941		112403		3476
46		Hourly		26.43		59.06		3477
		Annually		54974		122845		3478
47		Hourly		29.14		64.45		3479
		Annually		60611		134056		3480
48		Hourly		32.14		70.33		3481
		Annually		66851		146286		3482
49		Hourly		35.44		75.94		3483
		Annually		73715		157955		3484

(E) Beginning on the first day of the pay period that	3485
includes July 1, 2006, each exempt employee who must be paid in	3486
accordance with schedule E-1 for step seven only shall be paid a	3487
salary or wage in accordance with the following schedule of rates:	3488

Schedule E-1 for Step Seven Only

3489

Pay Ranges and Step Seven Values

3490

		Range						3491
12		Hourly	29.68					3492
		Annually	61734					3493
13		Hourly	32.66					3494
		Annually	67933					3495
14		Hourly	36.01					3496
		Annually	74901					3497
15		Hourly	39.61					3498
		Annually	82389					3499
16		Hourly	43.70					3500
		Annually	90896					3501
17		Hourly	48.13					3502
		Annually	100110					3503
18		Hourly	53.02					3504
		Annually	110282					3505

(D)(F) Beginning on the first day of the pay period that	3506
includes July 1, 2007, each exempt employee who must be paid in	3507
accordance with schedule E-1 for step seven only shall be paid a	3508
salary or wage in accordance with the following schedule of rates:	3509

		Range						3510
12		Hourly	30.72					3511
		Annually	63898					3512
13		Hourly	33.80					3513
		Annually	70304					3514
14		Hourly	37.27					3515
		Annually	77522					3516
15		Hourly	41.00					3517
		Annually	85280					3518
16		Hourly	45.23					3519
		Annually	94078					3520
17		Hourly	49.81					3521
		Annually	103605					3522
18		Hourly	54.88					3523
		Annually	114150					3524

(G) Beginning on the first day of the pay period that	3525
includes July 1, 2008, each exempt employee who must be paid in	3526
accordance with salary schedule E-1 for step seven only shall be	3527
paid a salary or wage in accordance with the following schedule of	3528
rates:	3529

		Range						3530
12		Hourly	31.80					3531
		Annually	66144					3532
13		Hourly	34.98					3533
		Annually	72758					3534
14		Hourly	38.57					3535
		Annually	80226					3536
15		Hourly	42.44					3537
		Annually	88275					3538
16		Hourly	46.81					3539
		Annually	97365					3540
17		Hourly	51.55					3541
		Annually	107224					3542
18		Hourly	56.80					3543
		Annually	118144					3544

(H) As used in this section, "exempt employee" means a	3545
permanent full-time or permanent part-time employee paid directly	3546
by warrant of the director of budget and management whose position	3547
is included in the job classification plan established under	3548
division (A) of section 124.14 of the Revised Code but who is not	3549
considered a public employee for the purposes of Chapter 4117. of	3550
the Revised Code. As used in this section, "exempt employee" also	3551
includes a permanent full-time or permanent part-time employee of	3552
the secretary of state, auditor of state, treasurer of state, or	3553
attorney general who has not been placed in an appropriate	3554
bargaining unit by the state employment relations board.	3555

Sec. 125.01.  As used in this chapter:

3556

(A) "Order" means a copy of a contract or a statement of the	3557
nature of a contemplated expenditure, a description of the	3558
property or supplies to be purchased or service to be performed,	3559
other than a service performed by officers and regular employees	3560
of the state, and per diem of the national guard, and the total	3561
sum of the expenditure to be made therefor, if the sum is fixed	3562
and ascertained, otherwise the estimated sum thereof, and an	3563
authorization to pay for the contemplated expenditure, signed by	3564
the person instructed and authorized to pay upon receipt of a	3565
proper invoice.	3566

(B) "Information technology" means technologies and services	3567
used for information processing, including, but not limited to,	3568
software, computing hardware, communications technologies, and	3569
related services.	3570

(C) "Invoice" means an itemized listing showing delivery of	3571
the supplies or performance of the service described in the order,	3572
and the date of the purchase or rendering of the service, or an	3573
itemization of the things done, material supplied, or labor	3574
furnished, and the sum due pursuant to the contract or obligation.	3575

(C)(D) "Products" means materials, manufacturer's supplies,	3576
merchandise, goods, wares, and foodstuffs.	3577

(D)(E) "Produced" means the manufacturing, processing,	3578
mining, developing, and making of a thing into a new article with	3579
a distinct character in use through the application of input,	3580
within the state, of Ohio products, labor, skill, or other	3581
services. "Produced" does not include the mere assembling or	3582
putting together of non-Ohio products or materials.	3583

(E)(F) "Ohio products" means products that are mined,	3584
excavated, produced, manufactured, raised, or grown in the state	3585
by a person where the input of Ohio products, labor, skill, or	3586
other services constitutes no less than twenty-five per cent of	3587
the manufactured cost. With respect to mined products, such	3588
products shall be mined or excavated in this state.	3589

(F)(G) "Purchase" means to buy, rent, lease, lease purchase,	3590
or otherwise acquire supplies or services. "Purchase" also	3591
includes all functions that pertain to the obtaining of supplies	3592
or services, including description of requirements, selection and	3593
solicitation of sources, preparation and award of contracts, all	3594
phases of contract administration, and receipt and acceptance of	3595
the supplies and services and payment for them.	3596

(H) "Purchasing authority" means the department of	3597
administrative services or the office of information technology as	3598
set forth in section 125.011 of the Revised Code.	3599

(G)(I) "Services" means the furnishing of labor, time, or	3600
effort by a person, not involving the delivery of a specific end	3601
product other than a report which, if provided, is merely	3602
incidental to the required performance. "Services" does not	3603
include services furnished pursuant to employment agreements or	3604
collective bargaining agreements.	3605

(H)(J) "Supplies" means all property, including, but not	3606
limited to, equipment, materials, other tangible assets, and	3607
insurance, but excluding real property or an interest in real	3608
property.	3609

(I)(K) "Competitive selection" means any of the following	3610
procedures for making purchases:	3611

(1) Competitive sealed bidding under section 125.07 of the	3612
Revised Code;	3613

(2) Competitive sealed proposals under section 125.071 of the	3614
Revised Code;	3615

(3) Reverse auctions under section 125.072 of the Revised	3616
Code.	3617

Sec. 125.011.  Except for information technology supplies and	3618
services, the department of administrative services shall be the	3619
purchasing authority for all supplies and services for the	3620
purposes of and subject to the limitations of sections 125.01 to	3621
125.11, 125.15, and 125.25 of the Revised Code. The office of	3622
information technology shall be the purchasing authority for	3623
information technology supplies and services in accordance with	3624
section 126.17 of the Revised Code for the purposes of and subject	3625
to the limitations of sections 125.01 to 125.11, 125.15, and	3626
125.25 of the Revised Code. The department of administrative	3627
services and the office of information technology shall consult	3628
with each other to promote consistency when adopting any rules	3629
under sections 125.01 to 125.11, 125.15, and 125.25 of the Revised	3630
Code.	3631

Sec. 125.02.  Except as to the adjutant general, the capital	3632
square review and advisory board, the department of rehabilitation	3633
and correction as specified in division (D) of section 125.04 of	3634
the Revised Code, the general assembly, the bureau of workers'	3635
compensation, and institutions administered by boards of trustees,	3636
the department of administrative servicesa purchasing authority	3637
may purchase supplies and services for the use of state agencies.	3638

So far as possible, the department of administrative services	3639
purchasing authority shall make all purchases from the department	3640
of rehabilitation and correction in the exercise of the functions	3641
of the department of rehabilitation and correction in the	3642
management of state institutions.	3643

The department of administrative servicespurchasing	3644
authority shall prescribe uniform rules governing forms of	3645
specifications, advertisements for proposals, the opening of bids,	3646
the making of awards and contracts, and the purchase of supplies	3647
and performance of work.	3648

Nothing in this section precludes the bureau from entering	3649
into a contract with the department of administrative servicesa	3650
purchasing authority for the departmentpurchasing authority to	3651
purchase supplies, or services for the use of the bureau.	3652

Sec. 125.021. (A) Except as to the military department, the	3653
general assembly, the bureau of workers' compensation, the	3654
industrial commission, and institutions administered by boards of	3655
trustees, the office of information technology may contract for,	3656
operate, and superintend telephone, other telecommunication, and	3657
computer services for state agencies. Nothing in this division	3658
precludes the bureau or the commission from contracting with the	3659
office to authorize the office to contract for, operate, or	3660
superintend those services for the bureau or the commission.	3661

(B)(1) As used in this division:

3662

(a)(1) "Active duty" means active duty pursuant to an	3663
executive order of the president of the United States, an act of	3664
the congress of the United States, or section 5919.29 or 5923.21	3665
of the Revised Code.	3666

(b)(2) "Immediate family" means a person's spouse residing in	3667
the person's household, brothers and sisters of the whole or of	3668
the half blood, children, including adopted children and	3669
stepchildren, parents, and grandparents.	3670

(2)(B) The office of information technology may enter into a	3671
contract to purchase bulk long distance telephone services and	3672
make them available at cost, or may make bulk long distance	3673
telephone services available at cost under any existing contract	3674
the office has entered into, to members of the immediate family of	3675
persons deployed on active duty so that those family members can	3676
communicate with the persons so deployed. If the office enters	3677
into contracts under division (B)(2) of this section, it shall do	3678
so in accordance with sections 125.01 to 125.11 of the Revised	3679
Code and in a nondiscriminatory manner that does not place any	3680
potential vendor at a competitive disadvantage.	3681

(3)(C) If the office decides to exercise either option under	3682
division (B)(2) of this section, it shall adopt, and may amend,	3683
rules under Chapter 119. of the Revised Code to implement that	3684
division.	3685

Sec. 125.022. The department of administrative servicesA	3686
purchasing authority may enter into cooperative purchasing	3687
agreements with one or more other states or groups of states or	3688
with any political subdivision of this state described in division	3689
(B) of section 125.04 of the Revised Code for the purpose of	3690
purchasing services or supplies produced from or containing	3691
recycled materials for the use of state agencies.	3692

Sec. 125.023.  During the period of an emergency as defined	3693
in section 5502.21 of the Revised Code, the department of	3694
administrative servicespurchasing authority may suspend, with	3695
regard to the emergency management agency established in section	3696
5502.22 of the Revised Code or any other state agency	3697
participating in recovery activities as defined in section 5502.21	3698
of the Revised Code, the purchasing and contracting requirements	3699
contained in sections 125.02 to 125.111 of the Revised Code and	3700
any of the requirements of Chapter 153. of the Revised Code that	3701
otherwise would apply to the agency. The director of public safety	3702
or the executive director of the emergency management agency shall	3703
make the request for the suspension of these requirements to the	3704
department of administrative services and the office of	3705
information technology concurrently with the request to the	3706
governor or the president of the United States for the declaration	3707
of an emergency. The governor also shall include in any	3708
proclamation the governor issues declaring an emergency language	3709
requesting the suspension of those requirements during the period	3710
of the emergency.	3711

Sec. 125.04.  (A) Except as provided in division (D) of this	3712
section, the department of administrative servicespurchasing	3713
authorities shall determine what supplies and services are	3714
purchased by or for state agencies. Whenever the department of	3715
administrative servicesa purchasing authority makes any change or	3716
addition to the lists of supplies and services that it determines	3717
to purchase for state agencies, it shall provide a list to the	3718
agencies of the changes or additions and indicate when the	3719
departmentpurchasing authority will be prepared to furnish each	3720
item listed. Except for the requirements of division (B) of	3721
section 125.11 of the Revised Code, sections 125.04 to 125.08 and	3722
125.09 to 125.15 of the Revised Code do not apply to or affect the	3723
educational institutions of the state. The departmentpurchasing	3724
authorities shall not include the bureau of workers' compensation	3725
in the lists of supplies, equipment, and services purchased and	3726
furnished by the departmentpurchasing authorities.	3727

Nothing in this division precludes the bureau from entering	3728
into a contract with the departmentpurchasing authorities for the	3729
departmentpurchasing authorities to perform services relative to	3730
supplies, equipment, and services contained in this division for	3731
the bureau.	3732

(B)(1) As used in this division:

3733

(a) "Emergency medical service organization" has the same	3734
meaning as in section 4765.01 of the Revised Code.	3735

(b) "Political subdivision" means any county, township,	3736
municipal corporation, school district, conservancy district,	3737
township park district, park district created under Chapter 1545.	3738
of the Revised Code, regional transit authority, regional airport	3739
authority, regional water and sewer district, or port authority.	3740
"Political subdivision" also includes any other political	3741
subdivision described in the Revised Code that has been approved	3742
by the department to participate in the department's contracts	3743
under this division.	3744

(c) "Private fire company" has the same meaning as in section	3745
9.60 of the Revised Code.	3746

(2) Subject to division (C) of this section, the department	3747
of administrative servicesa purchasing authority may permit a	3748
political subdivision, private fire company, or private, nonprofit	3749
emergency medical service organization to participate in contracts	3750
into which the departmentpurchasing authority has entered for the	3751
purchase of supplies and services. The departmentpurchasing	3752
authority may charge the entity a reasonable fee to cover the	3753
administrative costs the departmentpurchasing authority incurs as	3754
a result of participation by the entity in such a purchase	3755
contract.	3756

A political subdivision desiring to participate in such	3757
purchase contracts shall file with the departmentpurchasing	3758
authority a certified copy of an ordinance or resolution of the	3759
legislative authority or governing board of the political	3760
subdivision. The resolution or ordinance shall request that the	3761
political subdivision be authorized to participate in such	3762
contracts and shall agree that the political subdivision will be	3763
bound by such terms and conditions as the departmentpurchasing	3764
authority prescribes and that it will directly pay the vendor	3765
under each purchase contract. A private fire company or private,	3766
nonprofit emergency medical service organization desiring to	3767
participate in such purchase contracts shall file with the	3768
departmentpurchasing authority a written request for inclusion in	3769
the program signed by the chief officer of the company or	3770
organization. The request shall include an agreement to be bound	3771
by such terms and conditions as the departmentpurchasing	3772
authority prescribes and to make direct payments to the vendor	3773
under each purchase contract.	3774

The departmentpurchasing authority shall include in its	3775
annual report an estimate of the cost it incurs by permitting	3776
political subdivisions, private fire companies, and private,	3777
nonprofit emergency medical service organizations to participate	3778
in contracts pursuant to this division. The departmentpurchasing	3779
authority may require such entities to file a report with the	3780
departmentpurchasing authority, as often as it finds necessary,	3781
stating how many such contracts the entities participated in	3782
within a specified period of time, and any other information the	3783
departmentpurchasing authority requires.	3784

(3) Purchases made by a political subdivision under this	3785
division are exempt from any competitive selection procedures	3786
otherwise required by law. No political subdivision shall make any	3787
purchase under this division when bids have been received for such	3788
purchase by the subdivision, unless such purchase can be made upon	3789
the same terms, conditions, and specifications at a lower price	3790
under this division.	3791

(C) A political subdivision as defined in division (B) of	3792
this section may purchase supplies or services from another party,	3793
including another political subdivision, instead of through	3794
participation in contracts described in division (B) of this	3795
section if the political subdivision can purchase those supplies	3796
or services from the other party upon equivalent terms,	3797
conditions, and specifications but at a lower price than it can	3798
through those contracts. Purchases that a political subdivision	3799
makes under this division are exempt from any competitive	3800
selection procedures otherwise required by law. A political	3801
subdivision that makes any purchase under this division shall	3802
maintain sufficient information regarding the purchase to verify	3803
that the political subdivision satisfied the conditions for making	3804
a purchase under this division. Nothing in this division restricts	3805
any action taken by a county or township as authorized by division	3806
(A)(1) of section 9.48 of the Revised Code.	3807

(D) This section does not apply to supplies or services	3808
required by the legislative or judicial branches, boards of	3809
elections, the capitol square review and advisory board, the	3810
adjutant general, to supplies or services purchased by a state	3811
agency directly as provided in division (A) or (E) of section	3812
125.05 of the Revised Code, to purchases of supplies or services	3813
for the emergency management agency as provided in section 125.023	3814
of the Revised Code, or to purchases of supplies or services for	3815
the department of rehabilitation and correction in its operation	3816
of the program for the employment of prisoners established under	3817
section 5145.16 of the Revised Code that shall be made pursuant to	3818
rules adopted by the director of administrative services and the	3819
director of rehabilitation and correction in accordance with	3820
Chapter 119. of the Revised Code. The rules may provide for the	3821
exemption of the program for the employment of prisoners from the	3822
requirements of division (A) of this section.	3823

Sec. 125.041.  Nothing in sections 125.02, 125.03 to 125.08,	3824
125.12 to 125.16, 125.18, 125.31 to 125.76, or 125.831, or 126.17	3825
of the Revised Code shall be construed as limiting the attorney	3826
general, auditor of state, secretary of state, or treasurer of	3827
state in any of the following:	3828

(A) Purchases for less than the dollar amounts for the	3829
purchase of supplies or services determined pursuant to division	3830
(D) of section 125.05 of the Revised Code;	3831

(B) Purchases that equal or exceed the dollar amounts for the	3832
purchase of supplies or services determined pursuant to division	3833
(D) of section 125.05 of the Revised Code with the approval of the	3834
controlling board, if that approval is required by section 127.16	3835
of the Revised Code;	3836

(C) The final determination of the nature or quantity making	3837
any purchase of supplies or services to be purchased pursuant to	3838
section 125.06 of the Revised Code;	3839

(D) The final determination and disposal of excess and	3840
surplus supplies;	3841

(E) The inventory of state property;

3842

(F) The purchase of printing;

3843

(G) Activities related to information technology development	3844
and use;	3845

(H) The fleet management program.

3846

Sec. 125.05.  Except as provided in division (E) of this	3847
section, no state agency shall purchase any supplies or services	3848
except as provided in divisions (A) to (C) of this section.	3849

(A) Subject to division (D) of this section, a state agency	3850
may, without competitive selection, make any purchase of services	3851
that cost fifty thousand dollars or less or any purchase of	3852
supplies that cost twenty-five thousand dollars or less. The	3853
agency, at its determination, may make the purchase directly or	3854
may make the purchase from or through the department of	3855
administrative services, whichever the agency determinesproper	3856
purchasing authority. The departmentpurchasing authority shall	3857
establish written procedures to assist state agencies when they	3858
make direct purchases. If the agency makes the purchase directly,	3859
it shall make the purchase by a term contract whenever possible.	3860

(B) Subject to division (D) of this section, a state agency	3861
wanting to purchase services that cost more than fifty thousand	3862
dollars or supplies that cost more than twenty-five thousand	3863
dollars shall, unless otherwise authorized by law, make the	3864
purchase from or through the departmentproper purchasing	3865
authority. The departmentpurchasing authority shall make the	3866
purchase by competitive selection under section 125.07 of the	3867
Revised Code. If the director of administrative services	3868
purchasing authority determines that it is not possible or not	3869
advantageous to the state for the departmentpurchasing authority	3870
to make the purchase, the departmentpurchasing authority shall	3871
grant the agency a release and permit under section 125.06 of the	3872
Revised Code to make the purchase. Section 127.16 of the Revised	3873
Code does not apply to purchases the departmentpurchasing	3874
authority makes under this section.	3875

(C) An agency that has been granted a release and permit to	3876
make a purchase may make the purchase without competitive	3877
selection if after making the purchase the cumulative purchase	3878
threshold as computed under division (F) of section 127.16 of the	3879
Revised Code would:	3880

(1) Be exceeded and the controlling board approves the	3881
purchase;	3882

(2) Not be exceeded and the department of administrative	3883
servicespurchasing authority approves the purchase.	3884

(D) Not later than January 31, 1997, the amounts specified in	3885
divisions (A) and (B) of this section and, not later than the	3886
thirty-first day of January of each second year thereafter, any	3887
amounts computed by adjustments made under this division, shall be	3888
increased or decreased by the average percentage increase or	3889
decrease in the consumer price index prepared by the United States	3890
bureau of labor statistics (U.S. City Average for Urban Wage	3891
Earners and Clerical Workers: "All Items 1982-1984=100") for the	3892
twenty-four calendar month period prior to the immediately	3893
preceding first day of January over the immediately preceding	3894
twenty-four calendar month period, as reported by the bureau. The	3895
director of administrative services shall make this determination	3896
and adjust the appropriate amounts accordingly.	3897

(E) If the eTech Ohio commission, the department of	3898
education, or the Ohio education computer network determines that	3899
it can purchase software services or supplies for specified school	3900
districts at a price less than the price for which the districts	3901
could purchase the same software services or supplies for	3902
themselves, the commission, department, or network shall certify	3903
that fact to the department of administrative servicesoffice of	3904
information technology and, acting as an agent for the specified	3905
school districts, shall make that purchase without following the	3906
provisions in divisions (A) to (D) of this section.	3907

Sec. 125.06. The department of administrative servicesA	3908
purchasing authority may, pursuant to division (B) of section	3909
125.05 of the Revised Code and subject to such rules as the	3910
director of administrative servicesparticular purchasing	3911
authority may adopt, issue a release and permit to the agency to	3912
secure supplies or services. A release and permit shall specify	3913
the supplies or services to which it applies, the time during	3914
which it is operative, and the reason for its issuance. A release	3915
and permit for computer servicesinformation technology services	3916
shall also specify the type of services to be rendered, the number	3917
and type of machines to be employed, and may specify the amount of	3918
such services to be performed. One copy of every release and	3919
permit shall be filed with the agency to which it is issued, and	3920
one copy shall be retained by the departmentpurchasing authority.	3921

Sec. 125.07. The department of administrative servicesA	3922
purchasing authority, in making a purchase by competitive	3923
selection pursuant to division (B) of section 125.05 of the	3924
Revised Code, shall give notice in the following manner:	3925

(A) The departmentpurchasing authority shall advertise the	3926
intended purchases by notice that is posted by mail or electronic	3927
means and that is for the benefit of competing persons producing	3928
or dealing in the supplies or services to be purchased, including,	3929
but not limited to, the persons whose names appear on the	3930
appropriate list provided for in section 125.08 of the Revised	3931
Code. The notice may be in the form of the bid or proposal	3932
document or of a listing in a periodic bulletin, or in any other	3933
form the director of administrative servicespurchasing authority	3934
considers appropriate to sufficiently notify qualified competing	3935
persons of the intended purchases.	3936

(B) The notice required under division (A) of this section	3937
shall include the time and place where bids or proposals will be	3938
accepted and opened, or, when bids are made in a reverse auction,	3939
the time when bids will be accepted; the conditions under which	3940
bids or proposals will be received; the terms of the proposed	3941
purchases; and an itemized list of the supplies or services to be	3942
purchased and the estimated quantities or amounts of them.	3943

(C) The posting of the notice required under division (A) of	3944
this section shall be completed by the number of days the director	3945
purchasing authority determines preceding the day when the bids or	3946
proposals will be opened or accepted.	3947

(D) The departmentpurchasing authority also shall maintain,	3948
in a public place in its office, a bulletin board upon which it	3949
shall post and maintain a copy of the notice required under	3950
division (A) of this section for at least the number of days the	3951
directorpurchasing authority determines under division (C) of	3952
this section preceding the day of the opening or acceptance of the	3953
bids or proposals. The failure to so additionally post the notice	3954
shall invalidate all proceedings had and any contract entered into	3955
pursuant to the proceedings.	3956

Sec. 125.071.  (A) In accordance with rules the director of	3957
administrative servicespurchasing authority shall adopt, the	3958
directorpurchasing authority may make purchases by competitive	3959
sealed proposal whenever the directorpurchasing authority	3960
determines that the use of competitive sealed bidding is not	3961
possible or not advantageous to the state.	3962

(B) Proposals shall be solicited through a request for	3963
proposals. The request for proposals shall state the relative	3964
importance of price and other evaluation factors. Notice of the	3965
request for proposals shall be given in accordance with rules the	3966
director shall adopt.	3967

(C) Proposals shall be opened so as to avoid disclosure of	3968
contents to competing offerors.	3969

In order to ensure fair and impartial evaluation, proposals	3970
and related documents submitted in response to a request for	3971
proposals are not available for public inspection and copying	3972
under section 149.43 of the Revised Code until after the award of	3973
the contract.	3974

(D) As provided in the request for proposals, and under rules	3975
the directorpurchasing authority shall adopt, discussions may be	3976
conducted with responsible offerors who submit proposals	3977
determined to be reasonably susceptible of being selected for	3978
award for the purpose of ensuring full understanding of, and	3979
responsiveness to, solicitation requirements. Offerors shall be	3980
accorded fair and equal treatment with respect to any opportunity	3981
for discussion regarding any clarification, correction, or	3982
revision of proposals. No disclosure of any information derived	3983
from proposals submitted by competing offerors shall occur when	3984
discussions are conducted.	3985

(E) Award may be made to the offeror whose proposal is	3986
determined to be the most advantageous to this state, taking into	3987
consideration factors such as price and the evaluation criteria	3988
set forth in the request for proposals. The contract file shall	3989
contain the basis on which the award is made.	3990

Sec. 125.072.  (A) As used in this section, "reverse auction"	3991
means a purchasing process in which offerors submit bids in	3992
competing to sell services or supplies in an open environment via	3993
the internet.	3994

(B) Whenever the director of administrative servicesa	3995
purchasing authority determines that the use of a reverse auction	3996
is advantageous to the state, the directorpurchasing authority,	3997
in accordance with rules the directorpurchasing authority shall	3998
adopt, may purchase services or supplies by reverse auction.	3999

(C) The directorpurchasing authority, by rule, may authorize	4000
a state agency that is authorized to purchase services or supplies	4001
directly to purchase them by reverse auction in the same manner as	4002
this section and the rules adopted under this section authorize	4003
the directorpurchasing authority to do so.	4004

Sec. 125.073. (A) The department of administrative services	4005
purchasing authorities shall actively promote and accelerate the	4006
use of electronic procurement, including reverse auctions as	4007
defined by section 125.072 of the Revised Code, by implementing	4008
the relevant recommendations concerning electronic procurement	4009
from the "2000 Management Improvement Commission Report to the	4010
Governor" when exercising its statutory powers.	4011

(B) Beginning July 1, 2004, the department of administrative	4012
services shall annually on or before the first day of July report	4013
to the committees in each house of the general assembly dealing	4014
with finance indicating the effectiveness of electronic	4015
procurement. Beginning July 1, 2008, the office of information	4016
technology shall annually on or before the last day of December,	4017
report to the committees in each house of the general assembly	4018
dealing with finance indicating the effectiveness during the prior	4019
fiscal year of electronic procurement of information technology	4020
supplies and services.	4021

Sec. 125.08.  (A) The department of administrative services	4022
may divide the state into purchasing districts wherein supplies or	4023
services are to be delivered and shall describe those districts on	4024
all applications for the notification list provided for in this	4025
section.	4026

Any person may have that person's name and address, or the	4027
name and address of an agent, placed on the competitive selection	4028
notification list of the department of administrative services by	4029
sending to the department the person's name and address, together	4030
with a list of the supplies or services described in the manner	4031
prescribed by the department produced or dealt in by the person	4032
with a request for such listing, a list of the districts in which	4033
the person desires to participate, and all other information the	4034
director of administrative services may prescribe. The director of	4035
administrative services shall provide the lists to the office of	4036
information technology. Whenever any name and address together	4037
with a list of the supplies or services produced or dealt in is so	4038
listed, the departmentpurchasing authorities shall post notice,	4039
as provided in division (A) of section 125.07 of the Revised Code,	4040
for the benefit of the persons listed on the notification list	4041
that are qualified Ohio business enterprises, which shall include	4042
Ohio penal industries as defined by rule of the director of	4043
administrative services, or have a significant Ohio presence in	4044
this state's economy, except that, in those circumstances in which	4045
the directorpurchasing authority considers it in the best	4046
interest of this state, the directorpurchasing authority shall	4047
post notice, as provided in division (A) of section 125.07 of the	4048
Revised Code, for the benefit of all persons listed on the	4049
notification list. The departmentpurchasing authority need only	4050
provide competitive selection documents for a proposed contract to	4051
persons who specifically request the documents.	4052

The director may remove a person from the notification list	4053
and place the person on an inactive list if the person fails to	4054
respond to any notices of proposed purchases that appear in four	4055
consecutive bulletins or other forms of notification that list	4056
those notices. Upon written request to the director by the person	4057
so removed, the director may return the person to the notification	4058
list if the person provides sufficient evidence regarding intent	4059
to offer bids or proposals to the state. The director shall not	4060
remove any person from the list without notice to the person. The	4061
notice may be a part of the notices of proposed purchase.	4062

(B) Any person who is certified by the equal employment	4063
opportunity coordinator of the department of administrative	4064
services in accordance with the rules adopted under division	4065
(B)(1) of section 123.151 of the Revised Code as a minority	4066
business enterprise may have that person's name placed on a	4067
special minority business enterprise notification list to be used	4068
in connection with contracts awarded under section 125.081 of the	4069
Revised Code. The minority business enterprise notification list	4070
shall be used for bidding on contracts set aside for minority	4071
business enterprises only. In all other respects, the list shall	4072
be maintained and used in the same manner and according to the	4073
same procedures as the notification list provided for under	4074
division (A) of this section, except that a firm shall not be	4075
removed from the list unless the coordinator determines that the	4076
firm is no longer a minority business enterprise. A minority	4077
business enterprise may have its name placed on both the	4078
notification lists provided for in this section.	4079

(C) The director of administrative services may require an	4080
annual registration fee for the listings provided for in division	4081
(A) or (B) of this section. This fee shall not be more than ten	4082
dollars. The department may charge a fee for any compilation of	4083
descriptions of supplies or services. This fee shall be	4084
reasonable and shall not exceed the cost required to maintain the	4085
notification lists and provide for the distribution of the	4086
proposed purchase to the persons whose names appear on the lists.	4087

Sec. 125.081.  (A) From the purchases that the department of	4088
administrative services ispurchasing authorities are required by	4089
law to make through competitive selection, the director of	4090
administrative serviceseach purchasing authority shall select a	4091
number of such purchases, the aggregate value of which equals	4092
approximately fifteen per cent of the estimated total value of all	4093
such purchases to be made in the current fiscal year. The director	4094
purchasing authority shall set aside the purchases selected for	4095
competition only by minority business enterprises, as defined in	4096
division (E)(1) of section 122.71 of the Revised Code. The	4097
competitive selection procedures for such purchases set aside	4098
shall be the same as for all other purchases the department	4099
purchasing authority is required to make through competitive	4100
selection, except that only minority business enterprises	4101
certified by the equal employment opportunity coordinator of the	4102
department of administrative services in accordance with the rules	4103
adopted under division (B)(1) of section 123.151 of the Revised	4104
Code and listed by the director under division (B) of section	4105
125.08 of the Revised Code shall be qualified to compete.	4106

(B) To the extent that any agency of the state, other than	4107
the department of administrative services, the office of	4108
information technology, the legislative and judicial branches,	4109
boards of elections, and the adjutant general, is authorized to	4110
make purchases, the agency shall set aside a number of purchases,	4111
the aggregate value of which equals approximately fifteen per cent	4112
of the aggregate value of such purchases for the current fiscal	4113
year for competition by minority business enterprises only. The	4114
procedures for such purchases shall be the same as for all other	4115
such purchases made by the agency, except that only minority	4116
business enterprises certified by the equal employment opportunity	4117
coordinator in accordance with rules adopted under division (B)(1)	4118
of section 123.151 of the Revised Code shall be qualified to	4119
compete.	4120

(C) In the case of purchases set aside under division (A) or	4121
(B) of this section, if no bid is submitted by a minority business	4122
enterprise, the purchase shall be made according to usual	4123
procedures. The contracting agency shall from time to time set	4124
aside such additional purchases for which only minority business	4125
enterprises may compete, as are necessary to replace those	4126
purchases previously set aside for which no minority business	4127
enterprises bid and to ensure that, in any fiscal year, the	4128
aggregate amount of contracts awarded to minority business	4129
enterprises will equal approximately fifteen per cent of the total	4130
amount of contracts awarded by the agency.	4131

(D) The provisions of this section shall not preclude any	4132
minority business enterprise from competing for any other state	4133
purchases that are not specifically set aside for minority	4134
business enterprises.	4135

(E) No funds of any state agency shall be expended in any	4136
fiscal year for any purchase for which competitive selection is	4137
required, until the director of the department of administrative	4138
services certifiespurchasing authorities certify to the equal	4139
employment opportunity coordinator, the clerk of the senate, and	4140
the clerk of the house of representatives of the general assembly	4141
that approximately fifteen per cent of the aggregate amount of the	4142
projected expenditure for such purchases in the fiscal year has	4143
been set aside as provided for in this section.	4144

(F) Any person who intentionally misrepresents self as	4145
owning, controlling, operating, or participating in a minority	4146
business enterprise for the purpose of obtaining contracts,	4147
subcontracts, or any other benefits under this section shall be	4148
guilty of theft by deception as provided for in section 2913.02 of	4149
the Revised Code.	4150

Sec. 125.082.  (A) When purchasing equipment, materials, or	4151
supplies, the general assembly; the offices of all elected state	4152
officers; all departments, boards, offices, commissions, agencies,	4153
institutions, including, without limitation, state-supported	4154
institutions of higher education, and other instrumentalities of	4155
this state; the supreme court; all courts of appeals; and all	4156
courts of common pleas, may purchase recycled products in	4157
accordance with the guidelines adopted under division (B) of this	4158
section if the products are available and meet the performance	4159
specifications of the procuring entities. Purchases of recycled	4160
products shall comply with any rules adopted under division (C) of	4161
this section.	4162

(B) The director of administrative servicespurchasing	4163
authorities shall adopt rules in accordance with Chapter 119. of	4164
the Revised Code establishing guidelines for the procurement of	4165
recycled products pursuant to division (A) of this section. To the	4166
extent practicable, the guidelines shall do all of the following:	4167

(1) Be consistent with and substantially equivalent to any	4168
relevant regulations adopted by the administrator of the United	4169
States environmental protection agency pursuant to the "Resource	4170
Conservation and Recovery Act of 1976," 90 Stat. 2806, 42 U.S.C.A.	4171
6921, as amended;	4172

(2) Establish the minimum percentage of recycled materials	4173
the various products shall contain in order to be considered	4174
"recycled" for the purposes of division (A) of this section;	4175

(3) So far as practicable and economically feasible,	4176
incorporate specifications for recycled-content materials to	4177
promote the use and purchase of recycled products by state	4178
agencies.	4179

(C) The directorpurchasing authorities may adopt rules in	4180
accordance with Chapter 119. of the Revised Code establishing a	4181
maximum percentage by which the cost of recycled products	4182
purchased under division (A) of this section may exceed the cost	4183
of comparable products made of virgin materials.	4184

(D) The department of administrative services, the office of	4185
information technology, and the department of natural resources	4186
annually shall prepare and submit to the governor, president of	4187
the senate, and speaker of the house of representatives a report	4188
that describes, so far as practicable, the value and types of	4189
recycled products that are purchased with moneys disbursed from	4190
the state treasury by the general assembly; the offices of all	4191
elected state officers; and all departments, boards, offices,	4192
commissions, agencies, and institutions of this state.	4193

Sec. 125.09.  (A) Pursuant to section 125.07 of the Revised	4194
Code, the department of administrative servicesa purchasing	4195
authority may prescribe such conditions under which competitive	4196
sealed bids will be received and terms of the proposed purchase as	4197
it considers necessary; provided, that all such conditions and	4198
terms shall be reasonable and shall not unreasonably restrict	4199
competition, and bidders may bid upon all or any item of the	4200
supplies or services listed in such notice. Those bidders claiming	4201
the preference for United States and Ohio products outlined in	4202
this chapter shall designate in their bids either that the product	4203
to be supplied is an Ohio product or that under the rules	4204
established by the director of administrative servicespurchasing	4205
authority they qualify as having a significant Ohio economic	4206
presence.	4207

(B) The departmentpurchasing authority may require that each	4208
bidder provide sufficient information about the energy efficiency	4209
or energy usage of the bidder's product or service.	4210

(C) The director of administrative servicespurchasing	4211
authority shall, by rule adopted pursuant to Chapter 119. of the	4212
Revised Code, prescribe criteria and procedures for use by all	4213
state agencies in giving preference to United States and Ohio	4214
products as required by division (B) of section 125.11 of the	4215
Revised Code. The rules shall extend to:	4216

(1) Criteria for determining that a product is produced or	4217
mined in the United States rather than in another country or	4218
territory;	4219

(2) Criteria for determining that a product is produced or	4220
mined in Ohio;	4221

(3) Information to be submitted by bidders as to the nature	4222
of a product and the location where it is produced or mined;	4223

(4) Criteria and procedures to be used by the director	4224
purchasing authorities to qualify bidders located in states	4225
bordering Ohio who might otherwise be excluded from being awarded	4226
a contract by operation of this section and section 125.11 of the	4227
Revised Code. The criteria and procedures shall recognize the	4228
level and regularity of interstate commerce between Ohio and the	4229
border states and provide that the non-Ohio businesses may qualify	4230
for award of a contract as long as they are located in a state	4231
that imposes no greater restrictions than are contained in this	4232
section and section 125.11 of the Revised Code upon persons	4233
located in Ohio selling products or services to agencies of that	4234
state. The criteria and procedures shall also provide that a	4235
non-Ohio business shall not bid on a contract for state printing	4236
in this state if the business is located in a state that excludes	4237
Ohio businesses from bidding on state printing contracts in that	4238
state.	4239

(5) Criteria and procedures to be used to qualify bidders	4240
whose manufactured products, except for mined products, are	4241
produced in other states or in North America, but the bidders have	4242
a significant Ohio economic presence in terms of the number of	4243
employees or capital investment a bidder has in this state.	4244
Bidders with a significant Ohio economic presence shall qualify	4245
for award of a contract on the same basis as if their products	4246
were produced in this state.	4247

(6) Criteria and procedures for the directorpurchasing	4248
authority to grant waivers of the requirements of division (B) of	4249
section 125.11 of the Revised Code on a contract-by-contract basis	4250
where compliance with those requirements would result in the state	4251
agency paying an excessive price for the product or acquiring a	4252
disproportionately inferior product;	4253

(7) Such other requirements or procedures reasonably	4254
necessary to implement the system of preferences established	4255
pursuant to division (B) of section 125.11 of the Revised Code.	4256

In adopting the rules required under this division, the	4257
directorpurchasing authority shall, to the maximum extent	4258
possible, conform to the requirements of the federal "Buy America	4259
Act," 47 Stat. 1520, (1933), 41 U.S.C.A. 10a-10d, as amended, and	4260
to the regulations adopted thereunder.	4261

Sec. 125.10.  (A) The department of administrative servicesA	4262
purchasing authority may require that all competitive sealed bids,	4263
competitive sealed proposals, and bids received in a reverse	4264
auction be accompanied by a performance bond or other cash surety	4265
acceptable to the director of administrative servicespurchasing	4266
authority, in the sum and with the sureties it prescribes, payable	4267
to the state, and conditioned that the person submitting the bid	4268
or proposal, if that person's bid or proposal is accepted, will	4269
faithfully execute the terms of the contract and promptly make	4270
deliveries of the supplies purchased.	4271

(B) A sealed copy of each competitive sealed bid or	4272
competitive sealed proposal shall be filed with the department	4273
purchasing authority prior to the time specified in the notice for	4274
opening of the bids or proposals. All competitive sealed bids and	4275
competitive sealed proposals shall be publicly opened in the	4276
office of the departmentpurchasing authority at the time	4277
specified in the notice. A representative of the auditor of state	4278
shall be present at the opening of all competitive sealed bids and	4279
competitive sealed proposals, and shall certify the opening of	4280
each competitive sealed bid and competitive sealed proposal. No	4281
competitive sealed bid or competitive sealed proposal shall be	4282
considered valid unless it is so certified.	4283

Sec. 125.11.  (A) Subject to division (B) of this section,	4284
contracts awarded pursuant to a reverse auction under section	4285
125.072 of the Revised Code or pursuant to competitive sealed	4286
bidding, including contracts awarded under section 125.081 of the	4287
Revised Code, shall be awarded to the lowest responsive and	4288
responsible bidder on each item in accordance with section 9.312	4289
of the Revised Code. When the contract is for meat products as	4290
defined in section 918.01 of the Revised Code or poultry products	4291
as defined in section 918.21 of the Revised Code, only those bids	4292
received from vendors offering products from establishments on the	4293
current list of meat and poultry vendors established and	4294
maintained by the director of administrative services under	4295
section 125.17 of the Revised Code shall be eligible for	4296
acceptance. The department of administrative servicespurchasing	4297
authority may accept or reject any or all bids in whole or by	4298
items, except that when the contract is for services or products	4299
available from a qualified nonprofit agency pursuant to sections	4300
125.60 to 125.6012 or 4115.31 to 4115.35 of the Revised Code, the	4301
contract shall be awarded to that agency.	4302

(B) Prior to awarding a contract under division (A) of this	4303
section, the department of administrative servicespurchasing	4304
authority or the state agency responsible for evaluating a	4305
contract for the purchase of products shall evaluate the bids	4306
received according to the criteria and procedures established	4307
pursuant to divisions (C)(1) and (2) of section 125.09 of the	4308
Revised Code for determining if a product is produced or mined in	4309
the United States and if a product is produced or mined in this	4310
state. The departmentpurchasing authority or other state agency	4311
shall first remove bids that offer products that have not been or	4312
that will not be produced or mined in the United States. From	4313
among the remaining bids, the departmentpurchasing authority or	4314
other state agency shall select the lowest responsive and	4315
responsible bid, in accordance with section 9.312 of the Revised	4316
Code, from among the bids that offer products that have been	4317
produced or mined in this state where sufficient competition can	4318
be generated within this state to ensure that compliance with	4319
these requirements will not result in an excessive price for the	4320
product or acquiring a disproportionately inferior product. If	4321
there are two or more qualified bids that offer products that have	4322
been produced or mined in this state, it shall be deemed that	4323
there is sufficient competition to prevent an excessive price for	4324
the product or the acquiring of a disproportionately inferior	4325
product.	4326

(C) Division (B) of this section applies to contracts for	4327
which competitive bidding is waived by the controlling board.	4328

(D) Division (B) of this section does not apply to the	4329
purchase by the division of liquor control of spirituous liquor.	4330

(E) The director of administrative services shall publish in	4331
the form of a model act for use by counties, townships, municipal	4332
corporations, or any other political subdivision described in	4333
division (B) of section 125.04 of the Revised Code, a system of	4334
preferences for products mined and produced in this state and in	4335
the United States and for Ohio-based contractors. The model act	4336
shall reflect substantial equivalence to the system of preferences	4337
in purchasing and public improvement contracting procedures under	4338
which the state operates pursuant to this chapter and section	4339
153.012 of the Revised Code. To the maximum extent possible,	4340
consistent with the Ohio system of preferences in purchasing and	4341
public improvement contracting procedures, the model act shall	4342
incorporate all of the requirements of the federal "Buy America	4343
Act," 47 Stat. 1520 (1933), 41 U.S.C. 10a to 10d, as amended, and	4344
the rules adopted under that act.	4345

Before and during the development and promulgation of the	4346
model act, the director shall consult with appropriate statewide	4347
organizations representing counties, townships, and municipal	4348
corporations so as to identify the special requirements and	4349
concerns these political subdivisions have in their purchasing and	4350
public improvement contracting procedures. The director shall	4351
promulgate the model act by rule adopted pursuant to Chapter 119.	4352
of the Revised Code and shall revise the act as necessary to	4353
reflect changes in this chapter or section 153.012 of the Revised	4354
Code.	4355

The director shall make available copies of the model act,	4356
supporting information, and technical assistance to any township,	4357
county, or municipal corporation wishing to incorporate the	4358
provisions of the act into its purchasing or public improvement	4359
contracting procedure.	4360

Sec. 125.15.  All state agencies required to secure any	4361
equipment, materials, supplies, or services from the department of	4362
administrative servicesa purchasing authority shall make	4363
acquisition in the manner and upon forms prescribed by the	4364
director of administrative servicesthat purchasing authority and	4365
shall reimburse the departmentpurchasing authority for the	4366
equipment, materials, supplies, or services, including a	4367
reasonable sum to cover the department's administrative costs,	4368
whenever reimbursement is required by the departmentpurchasing	4369
authority. The money so paid shall be deposited in the state	4370
treasury to the credit of the general services fund for use by the	4371
department of administrative services or the information	4372
technology fund for use by the office of information technology,	4373
as appropriate. Those funds are hereby created.	4374

Sec. 125.25. (A) The director of administrative servicesA	4375
purchasing authority may debar a vendor from consideration for	4376
contract awards upon a finding based upon a reasonable belief that	4377
the vendor has done any of the following:	4378

(1) Abused the selection process by repeatedly withdrawing	4379
bids or proposals before purchase orders or contracts are issued	4380
or failing to accept orders based upon firm bids;	4381

(2) Failed to substantially perform a contract according to	4382
its terms, conditions, and specifications within specified time	4383
limits;	4384

(3) Failed to cooperate in monitoring contract performance by	4385
refusing to provide information or documents required in a	4386
contract, failed to respond to complaints to the vendor, or	4387
accumulated repeated justified complaints regarding performance of	4388
a contract;	4389

(4) Attempted to influence a public employee to breach	4390
ethical conduct standards or to influence a contract award;	4391

(5) Colluded to restrain competition by any means;

4392

(6) Been convicted of a criminal offense related to the	4393
application for or performance of any public or private contract,	4394
including, but not limited to, embezzlement, theft, forgery,	4395
bribery, falsification or destruction of records, receiving stolen	4396
property, and any other offense that directly reflects on the	4397
vendor's business integrity;	4398

(7) Been convicted under state or federal antitrust laws;

4399

(8) Deliberately or willfully submitted false or misleading	4400
information in connection with the application for or performance	4401
of a public contract;	4402

(9) Violated any other responsible business practice or	4403
performed in an unsatisfactory manner as determined by the	4404
directora purchasing authority;	4405

(10) Through the default of a contract or through other means	4406
had a determination of unresolved finding for recovery by the	4407
auditor of state under section 9.24 of the Revised Code;	4408

(11) Acted in such a manner as to be debarred from	4409
participating in a contract with any governmental agency.	4410

(B) When the directora purchasing authority reasonably	4411
believes that grounds for debarment exist, the directorpurchasing	4412
authority shall send the vendor a notice of proposed debarment	4413
indicating the grounds for the proposed debarment and the	4414
procedure for requesting a hearing on the proposed debarment. The	4415
hearing shall be conducted in accordance with Chapter 119. of the	4416
Revised Code. If the vendor does not respond with a request for a	4417
hearing in the manner specified in Chapter 119. of the Revised	4418
Code, the directorpurchasing authority shall issue the debarment	4419
decision without a hearing and shall notify the vendor of the	4420
decision by certified mail, return receipt requested.	4421

(C) The directorpurchasing authority shall determine the	4422
length of the debarment period and may rescind the debarment at	4423
any time upon notification to the vendor. During the period of	4424
debarment, the vendor is not eligible to participate in any state	4425
contract. After the debarment period expires, the vendor shall be	4426
eligible to be awarded contracts by state agencies.	4427

(D) The director, through the office of information	4428
technology and the office of procurementdepartment of	4429
administrative services, shall maintain a list of all vendors	4430
currently debarred under this section.	4431

Sec. 125.45.  The department of administrative services shall	4432
maintain facilities to perform office reproduction services for	4433
all boards, commissions, or departments except for the bureau of	4434
workers' compensation. Upon written application to the department	4435
of administrative services, permission may be granted to a board,	4436
commission, or department to perform such services outside the	4437
central facility and such permission shall state the extent of the	4438
services which the department, board, or commission shall perform.	4439

Office reproduction services using stencils, masters, or	4440
plates are restricted to duplicating equipment not larger than	4441
seventeen by twenty-two inches. Not to exceed five thousand press	4442
impressions shall be produced of any such order except that up to	4443
one thousand production copies may be produced of any item	4444
consisting of multiple pages and except that over five thousand,	4445
but not more than ten thousand, press impressions may be produced	4446
if the director of administrative services determines that there	4447
is an emergency due to the timing of service delivery or another	4448
factor that may cause financial hardship to the state.	4449

Nothing in this section precludes the bureau from entering	4450
into a contract with the department of administrative services for	4451
the department to perform office reproduction services for the	4452
bureau.	4453

Neither the department nor any otherNo state agency, other	4454
than the department of administrative services, shall perform	4455
printing or office reproduction services for political	4456
subdivisions.	4457

Sec. 125.93.  The state forms management program shall do	4458
each of the following:	4459

(A) Assist state agencies in establishing internal forms	4460
management capabilities;	4461

(B) Study, develop, coordinate, and initiate forms of	4462
interagency and common administrative usage, and establish basic	4463
design and specification criteria to standardize state forms;	4464

(C) Assist state agencies to design economical forms;

4465

(D)(C) Assist, train, and instruct state agencies and their	4466
forms management representatives in forms management techniques,	4467
and provide direct forms management assistance to new state	4468
agencies as they are created;	4469

(E) Maintain a central forms repository of all state forms to	4470
facilitate standardization of the forms, eliminate redundant	4471
forms, and provide a central source of information on forms usage	4472
and availability.	4473

Sec. 125.96.  The director of administrative services may	4474
adopt, amend, or rescind rules necessary to carry out the powers	4475
and duties imposed upon the state forms management program and	4476
state agencies by sections 125.92 to 125.98 of the Revised Code.	4477
The director shall adopt, and may amend or rescind, rules	4478
providing each of the following:	4479

(A) After a date to be determined by the state forms	4480
management program, no state agency shall utilize any form, other	4481
than a form subject to division (B) of section 125.95 of the	4482
Revised Code, the management of which has not been delegated to	4483
the agency by the program under division (A) of that section or	4484
been approved by the program.	4485

(B) The notice required by section 125.97 of the Revised Code	4486
shall appear in a standard place and a standard manner on each	4487
form to which the notice applies, and shall include specified	4488
indicia of approval by the state forms management program.	4489

(C) Any form required by a state agency on an emergency basis	4490
may be given interim approval by the state forms management	4491
program if the form is accompanied by a letter from the director	4492
or other head of the agency setting forth the nature of the	4493
emergency and requesting interim approval.	4494

Sec. 125.97.  All forms, other than those forms subject to	4495
division (B) of section 125.95 of the Revised Code, used to obtain	4496
information from private business, agriculture, or local	4497
governments, except those forms used by the tax commissioner for	4498
administration of taxes and programs, shall contain a conspicuous	4499
notice on the first page setting forth the authorization for the	4500
form and stating whether providing the information sought is	4501
required or voluntary, and any penalties that apply to failure to	4502
provide the information.	4503

Sec. 125.98.  (A) Each state agency shall appoint a forms	4504
management representative, who may be from existing personnel. The	4505
appointee shall cooperate with, and provide other necessary	4506
assistance to, the director of administrative services and the	4507
state forms management program in implementing the program. A	4508
forms management representative shall do all of the following:	4509

(1) Manage the agency's forms management program and	4510
cooperate with and provide other necessary assistance to the	4511
director of administrative services in implementing the state	4512
forms management program;	4513

(2) Monitor the use and reproduction of all forms to ensure	4514
that all policies, procedures, guidelines, and standards	4515
established by the agency and the director of administrative	4516
services are followed;	4517

(3) Ensure that every form used by the agency is presented to	4518
the state forms management program for registration prior to its	4519
reproduction;	4520

(4) Maintain a master forms file history file, in numeric	4521
order, of all agency forms;	4522

(5) Verify and update theall historical information on all	4523
forms in the agency's central forms repository database.	4524

(B) Any state agency, as defined in section 1.60 of the	4525
Revised Code, not included within the definition of a state agency	4526
in section 125.91 of the Revised Code may elect to participate in	4527
the state forms management program. The program may provide to any	4528
such agency any service required or authorized by sections 125.92	4529
to 125.98 of the Revised Code to be performed for a state agency.	4530

Sec. 126.07. NoExcept as provided in division (B) of	4531
section 126.21 of the Revised Code, no contract, agreement, or	4532
obligation involving the expenditure of money chargeable to an	4533
appropriation, nor any resolution or order for the expenditure of	4534
money chargeable to an appropriation, shall be valid and	4535
enforceable unless the director of budget and management first	4536
certifies that there is a balance in the appropriation not already	4537
obligated to pay existing obligations, in an amount at least equal	4538
to the portion of the contract, agreement, obligation, resolution,	4539
or order to be performed in the current fiscal year. Any written	4540
contract or agreement entered into by the state shall contain a	4541
clause stating that the obligations of the state are subject to	4542
this section.	4543

The chief administrative officer of a state agency is	4544
responsible for the preaudit and approval of expenditures and	4545
other transactions of the agency. In order to makeinitiate the	4546
making of a payment from the state treasury, the person in a state	4547
agency who requests that the payment be made shall first submit to	4548
the directorchief administrative officer of the agency all	4549
invoices, claims, vouchers, and other evidentiary matter	4550
documentation related to the payment. If the director approves	4551
payment to be made, the director shall draw a warrant as provided	4552
in section 126.35 of the Revised Code.The chief administrative	4553
officer shall examine each voucher and all other documentation	4554
required to support the voucher and determine whether they meet	4555
all the requirements established by the director of budget and	4556
management for making the payment. If they do meet those	4557
requirements, the chief administrative officer shall certify to	4558
the director the approval of the chief administrative officer for	4559
payment.	4560

Prior to drawing a warrant as provided in section 126.35 of	4561
the Revised Code, the director may review and audit the voucher,	4562
any documentation accompanying the voucher, and any other	4563
documentation related to the transaction that the director may	4564
require to determine if the transaction is in accordance with law.	4565
The director shall not approve payment to be made if the director	4566
finds that there is not an unobligated balance in the	4567
appropriation for the payment, that the payment is not for a valid	4568
claim against the state that is legally due, or that insufficient	4569
evidentiary matterdocumentation has been submitted. If the	4570
director does not approve payment, the director shall notify the	4571
agency of the reasons the director has not given approval.	4572

In approving payments to be made under this section, the	4573
director, upon receipt of certification from the director of job	4574
and family services pursuant to section 4141.231 of the Revised	4575
Code, shall withhold from amounts otherwise payable to a person	4576
who is the subject of the director of jobs and family services'	4577
certification, the amount certified to be due and unpaid to the	4578
director of job and family services, and shall approve for payment	4579
to the director of job and family services, the amount withheld.	4580

As used in this section and in section 126.21 of the Revised	4581
Code, "chief administrative officer" means either of the	4582
following:	4583

(A) The director of the agency or, in the case of a state	4584
agency without a director, the equivalent officer of that agency;	4585

(B) The designee of the chief administrative officer for the	4586
purposes of such sections.	4587

Sec. 126.08.  The director of budget and management may	4588
exercise control over the financial transactions of state	4589
agencies, including approving, disapproving, voiding, or	4590
invalidating encumbrances or transactions, except those in the	4591
judicial and legislative branches, by:	4592

(A) Requiring encumbrancing documents or any other financial	4593
information to be submitted to the director, where such submission	4594
is prescribed by law or where the director considers such	4595
submission necessary to evaluate the legality of a proposedan	4596
expenditure, and by approving or disapproving any encumbrance	4597
requested, except that the director shall not disapprove any	4598
encumbrancing document submitted by the attorney general, auditor	4599
of state, secretary of state, or treasurer of state unless there	4600
is an insufficient unobligated balance in the appropriation or the	4601
encumbrance does not meet all other legal requirements. Those	4602
portions of an appropriation that are encumbered are not available	4603
for expenditure for any purpose other than that indicated on the	4604
encumbrancing document. If any requirements of the director	4605
regarding the submission of encumbrancing documents or other	4606
financial information are not complied with, or if any	4607
encumbrancing document is disapproved in whole or in part, the	4608
director shall notify the submitting agency thereof and shall not	4609
authorize payment unless the reasons for disapproval are	4610
corrected.	4611

(B) Requiring the allocation and allotment of any	4612
appropriation by quarter or by any other period of time.	4613

(C) Reporting to the attorney general for such action, civil	4614
or criminal, as the attorney general considers necessary, all	4615
facts showing improper payment of public money or misappropriation	4616
of public property;	4617

(D) By adopting rules for carrying into effect any powers	4618
granted by this chapter.	4619

Sec. 126.17.  (A) There is hereby established the position of	4620
state chief information officer, who shall be appointed by the	4621
director of budget and management and subject to removal at the	4622
pleasure of the director. The state chief information officer	4623
shall report to the director of budget and management and shall be	4624
an assistant director of the office of budget and management in	4625
addition to the assistant director created in section 121.05 of	4626
the Revised Code. There is the office of information technology in	4627
the office of budget and management. The office of information	4628
technology shall be supervised by the state chief information	4629
officer, subject to the authority of the director of budget and	4630
management. The state chief information officer shall have all	4631
authority granted to the office of information technology, and the	4632
exercise of that authority shall be subject to the approval of the	4633
director of budget and management.	4634

(B) The state chief information officer shall annually submit	4635
a report to the governor regarding the statewide superintendence	4636
of information technology and implementation of statewide	4637
information technology policy.	4638

(C) The state chief information officer shall lead, oversee,	4639
and direct state agency activities related to information	4640
technology development and use. In that regard, the state chief	4641
information officer shall do all of the following:	4642

(1) Coordinate and superintend statewide efforts to promote	4643
common use and development of technology by state agencies. The	4644
office of information technology shall establish policies and	4645
standards that govern and direct state agency participation in	4646
statewide programs and initiatives.	4647

(2) Establish policies and standards for the acquisition and	4648
use of information technology by state agencies, including, but	4649
not limited to, hardware, software, technology services, and	4650
security, with which state agencies shall comply;	4651

(3) Establish criteria and review processes to identify state	4652
agency information technology projects that require alignment or	4653
oversight. As appropriate, the state chief information officer	4654
shall provide the director of budget and management with notice	4655
and advice regarding the appropriateallocation of resources for	4656
those projects. The state chief information officer may prescribe	4657
the form and manner by which state agencies must provide, and may	4658
require state agencies to provide, information to fulfill the	4659
state chief information officer's alignment and oversight role.	4660

(D) The office of information technology has the authority	4661
for the purchase of information technology supplies and services	4662
for state agencies consistent with sections 125.01, 125.011,	4663
125.02, 125.023, 125.04, 125.05, 125.06, 125.07, 125.071, 125.072,	4664
125.081, 125.09, 125.10, 125.11, 125.15, and 125.25 of the Revised	4665
Code.	4666

(E) The office of information technology may make contracts	4667
for, operate, and superintend technology supplies and services for	4668
state agencies in accordance with this chapter.	4669

(F) The office of information technology may establish	4670
cooperative agreements with federal and local government agencies	4671
and state agencies that are not under the authority of the	4672
governor for the provision of technology services and the	4673
development of technology projects.	4674

(G) As used in this section, "state agency" includes every	4675
organized body, office, or agency established by the laws of the	4676
state for the exercise of any function of state government, other	4677
than any state-supported institution of higher education, the	4678
office of the auditor of state, treasurer of state,secretary of	4679
state, or attorney general, the public employees retirement	4680
system, the Ohio police and fire pension fund, the state teachers	4681
retirement system, the school employees retirement system, the	4682
state highway patrol retirement system, the general assembly or	4683
any legislative agency, or the courts or any judicial agency.	4684

(H) There is hereby created in the state treasury the IT	4685
governance fund for the purpose of carrying out the office of	4686
information technology's responsibilities described in this	4687
section. The fund shall consist of revenues generated from payroll	4688
charges, billed services, administrative assessments, and other	4689
revenues designated to support the responsibilities described in	4690
this section.	4691

Sec. 126.18.  (A) The office of information technology shall	4692
do both of the following:	4693

(1) Create a business reply form that is capable of	4694
containing information that a private business is required to	4695
provide to state agencies on a regular basis. The office of	4696
information technology shall adopt rules in accordance with	4697
Chapter 119. of the Revised Code specifying the information that	4698
the form shall contain. State agencies shall use the business	4699
reply form to obtain information from private businesses.	4700

(2) Maintain the Ohio business gateway, as defined in section	4701
718.051 of the Revised Code.	4702

In creating the business reply form described in division	4703
(A)(1) of this section, the office of information technology may	4704
consider the recommendations of interested parties from the small	4705
business community who have direct knowledge of and familiarity	4706
with the current state reporting requirements that apply to, and	4707
the associated forms that are filed by, small businesses.	4708

(B) The office of information technology shall establish	4709
procedures by which state agencies may share the information that	4710
is collected through the form established under division (A) of	4711
this section. These procedures shall provide that information that	4712
has been designated as confidential by any state agency shall not	4713
be made available to the other state agencies having access to the	4714
business reply form.	4715

(C) The office of information technology may report to the	4716
director of budget and management and to the committees having	4717
jurisdiction over finance and state government affairs in the	4718
house of representatives and the senate on the progress of state	4719
agencies in complying with division (A)(1) of this section. The	4720
office of information technology may recommend a five per cent	4721
reduction in the future appropriations of any state agency that	4722
has failed to comply with that division without good cause.	4723

(D) As used in this section:

4724

(1) "State agency" has the same meaning as defined in section	4725
126.17 of the Revised Code.	4726

(2) "Form" has the same meaning as defined in section 125.91	4727
of the Revised Code.	4728

Sec. 126.19.  (A) There is established the multi-agency radio	4729
communications system (MARCS). The system shall be a computer and	4730
communications network to provide voice and data communications	4731
statewide maintained by the office of information technology.	4732
MARCS shall supply a communications backbone for statewide public	4733
safety uses in a single system shared by several state agencies.	4734
The system shall provide mobile voice, data, vehicle location	4735
services, and computer-aided dispatching. The office of	4736
information technology shall promote MARCS as a statewide	4737
interoperable communications system for public safety agencies at	4738
all levels of government. Subject to the approval of the MARCS	4739
steering committee, the office of information technology may make	4740
MARCS available to agencies for uses not related to public safety.	4741

(B) There is hereby established a MARCS steering committee	4742
consisting of the designees of the state chief information	4743
officer; the directors of public safety, health, natural	4744
resources, transportation, rehabilitation and correction, and	4745
youth services; and a designee not from a state agency who shall	4746
be appointed by the state chief information officer. The state	4747
chief information officer or the officer's designee shall chair	4748
the committee. The committee shall provide assistance to the	4749
office of information technology for effective and efficient	4750
implementation of the MARCS system as well as develop policies for	4751
the ongoing management of the system. Upon dates prescribed by the	4752
state chief information officer, the MARCS steering committee	4753
shall report to the state chief information officer on the	4754
progress of MARCS implementation and the development of policies	4755
related to the system. The MARCS steering committee may permit	4756
secondary uses of MARCS not related to public safety so long as	4757
those secondary uses do not interfere with the system's primary	4758
use for public safety.	4759

Sec. 126.21.  (A) The director of budget and management shall	4760
do all of the following:	4761

(1) Keep all necessary accounting records;

4762

(2) Prescribe and maintain the accounting system of the state	4763
and establish appropriate accounting procedures and charts of	4764
accounts;	4765

(3) Establish procedures for the use of written, electronic,	4766
optical, or other communications media for approving and reviewing	4767
payment vouchers;	4768

(4) Reconcile, in the case of any variation between the	4769
amount of any appropriation and the aggregate amount of items of	4770
the appropriation, with the advice and assistance of the state	4771
agency affected by it and the legislative service commission,	4772
totals so as to correspond in the aggregate with the total	4773
appropriation. In the case of a conflict between the item and the	4774
total of which it is a part, the item shall be considered the	4775
intended appropriation.	4776

(5) Evaluate on an ongoing basis and, if necessary, recommend	4777
improvements to the internal controls used in state agencies;	4778

(6) Authorize the establishment of petty cash accounts. The	4779
director of budget and management may withdraw approval for any	4780
petty cash account and require the officer in charge to return to	4781
the state treasury any unexpended balance shown by the officer's	4782
accounts to be on hand. Any officer who is issued a warrant for	4783
petty cash shall render a detailed account of the expenditures of	4784
the petty cash and shall report when requested the balance of	4785
petty cash on hand at any time.	4786

(7) Process orders, invoices, vouchers, claims, and payrolls	4787
and prepare financial reports and statements;	4788

(8) Perform extensions, reviews, and compliance checks prior	4789
to or after approving a payment as the director considers	4790
necessary;	4791

(9) Issue the official comprehensive annual financial report	4792
of the state. The report shall cover all funds of the state	4793
reporting entity and shall include basic financial statements and	4794
required supplementary information prepared in accordance with	4795
generally accepted accounting principles and other information as	4796
the director provides. All state agencies, authorities,	4797
institutions, offices, retirement systems, and other component	4798
units of the state reporting entity as determined by the director	4799
shall furnish the director whatever financial statements and other	4800
information the director requests for the report, in the form, at	4801
the times, covering the periods, and with the attestation the	4802
director prescribes. The information for state institutions of	4803
higher education, as defined in section 3345.011 of the Revised	4804
Code, shall be submitted to the directorchancellor by the Ohio	4805
board of regents. The board shall establish a due date by which	4806
each such institution shall submit the information to the board,	4807
but no such date shall be later than one hundred twenty days after	4808
the end of the state fiscal year unless a later date is approved	4809
by the director.	4810

(B) In addition to the director's duties under division (A)	4811
of this section, the director of budget and management may	4812
establish and administer one or more state payment card programs	4813
that permit or require state agencies to use a payment card to	4814
purchase equipment, materials, supplies, or services in accordance	4815
with guidelines issued by the director. The chief administrative	4816
officer of a state agency that uses a payment card for such	4817
purposes shall ensure that purchases made with the card are made	4818
in accordance with the guidelines issued by the director and do	4819
not exceed the unexpended, unencumbered, unobligated balance in	4820
the appropriation to be charged for the purchase. State agencies	4821
may only participate in only those state payment card programs	4822
that the director establishes pursuant to this section.	4823

(C) In addition to the director's duties under divisions (A)	4824
and (B) of this section, the director may enter into any contract	4825
or agreement necessary for and incidental to the performance of	4826
the director's duties or the duties of the office of budget and	4827
management.	4828

Sec. 126.22.  The director of budget and management may:

4829

(A) Perform accounting services for and design and implement	4830
accounting systems with state agencies;	4831

(B) Provide other accounting services, including the	4832
maintenance and periodic auditing of the financial records of and	4833
submission of vouchers by state agencies, provision of assistance	4834
in the analysis of the financial position of state agencies, and	4835
preparation and submission of reports;	4836

(C) Change any accounting code appearing in appropriations	4837
acts of the general assembly.	4838

Sec. 126.24. The OAKS support organization fund is hereby	4839
created in the state treasury for the purpose of paying the	4840
operating expenses of the state's enterprise resource planning	4841
system. The fund shall consist of cash transfers from the	4842
accounting and budgeting fund and the human resources services	4843
fund, and other revenues designated to support the operating costs	4844
of the Ohio administrative knowledge system. All investment	4845
earnings of the fund shall be credited to the fund.	4846

Sec. 126.40. There is hereby created in the state treasury	4847
the forgery recovery fund. The fund shall consist of all moneys	4848
collected by the attorney general from the resolution of cases of	4849
fraud or forgery involving warrants issued by the director of the	4850
office of budget and management. The director shall use the fund	4851
to pay costs associated with the reissue of state warrants to	4852
payees whose warrants were fraudulently redeemed.	4853

Sec. 127.14.  The controlling board may, at the request of	4854
any state agency or the director of budget and management,	4855
authorize, with respect to the provisions of any appropriation	4856
act:	4857

(A) Transfers of all or part of an appropriation within but	4858
not between state agencies, except such transfers as the director	4859
of budget and management is authorized by law to make, provided	4860
that no transfer shall be made by the director for the purpose of	4861
effecting new or changed levels of program service not authorized	4862
by the general assembly;	4863

(B) Transfers of all or part of an appropriation from one	4864
fiscal year to another;	4865

(C) Transfers of all or part of an appropriation within or	4866
between state agencies made necessary by administrative	4867
reorganization or by the abolition of an agency or part of an	4868
agency;	4869

(D) Transfers of all or part of cash balances in excess of	4870
needs from any fund of the state to the general revenue fund or to	4871
such other fund of the state to which the money would have been	4872
credited in the absence of the fund from which the transfers are	4873
authorized to be made, except that the controlling board may not	4874
authorize such transfers from the accrued leave liability fund,	4875
auto registration distribution fund, budget stabilization fund,	4876
development bond retirement fund, facilities establishment fund,	4877
gasoline excise tax fund, general revenue fund, higher education	4878
improvement fund, highway improvement bond retirement fund,	4879
highway obligations bond retirement fund, highway capital	4880
improvement fund, highway operating fund, horse racing tax fund,	4881
improvements bond retirement fund, library and local government	4882
supportlibraries fund, liquor control fund, local government	4883
communities fund, local transportation improvement program fund,	4884
mental health facilities improvement fund, Ohio fairs fund, parks	4885
and recreation improvement fund, public improvements bond	4886
retirement fund, school district income tax fund, state agency	4887
facilities improvement fund, state and local government highway	4888
distribution fund, state highway safety fund, state lottery fund,	4889
undivided liquor permit fund, Vietnam conflict compensation bond	4890
retirement fund, volunteer fire fighters' dependents fund,	4891
waterways safety fund, wildlife fund, workers' compensation fund,	4892
or any fund not specified in this division that the director of	4893
budget and management determines to be a bond fund or bond	4894
retirement fund;	4895

(E) Transfers of all or part of those appropriations included	4896
in the emergency purposes account of the controlling board;	4897

(F) Temporary transfers of all or part of an appropriation or	4898
other moneys into and between existing funds, or new funds, as may	4899
be established by law when needed for capital outlays for which	4900
notes or bonds will be issued;	4901

(G) Transfer or release of all or part of an appropriation to	4902
a state agency requiring controlling board approval of such	4903
transfer or release as provided by law;	4904

(H) Temporary transfer of funds included in the emergency	4905
purposes appropriation of the controlling board. Such temporary	4906
transfers may be made subject to conditions specified by the	4907
controlling board at the time temporary transfers are authorized.	4908
No transfers shall be made under this division for the purpose of	4909
effecting new or changed levels of program service not authorized	4910
by the general assembly.	4911

As used in this section, "request" means an application by a	4912
state agency or the director of budget and management seeking some	4913
action by the controlling board.	4914

When authorizing the transfer of all or part of an	4915
appropriation under this section, the controlling board may	4916
authorize the transfer to an existing appropriation item and the	4917
creation of and transfer to a new appropriation item.	4918

Whenever there is a transfer of all or part of funds included	4919
in the emergency purposes appropriation by the controlling board,	4920
pursuant to division (E) of this section, the state agency or the	4921
director of budget and management receiving such transfer shall	4922
keep a detailed record of the use of the transferred funds. At the	4923
earliest scheduled meeting of the controlling board following the	4924
accomplishment of the purposes specified in the request originally	4925
seeking the transfer, or following the total expenditure of the	4926
transferred funds for the specified purposes, the state agency or	4927
the director of budget and management shall submit a report on the	4928
expenditure of such funds to the board. The portion of any	4929
appropriation so transferred which is not required to accomplish	4930
the purposes designated in the original request to the controlling	4931
board shall be returned to the proper appropriation of the	4932
controlling board at this time.	4933

Notwithstanding any provisions of law providing for the	4934
deposit of revenues received by a state agency to the credit of a	4935
particular fund in the state treasury, whenever there is a	4936
temporary transfer of funds included in the emergency purposes	4937
appropriation of the controlling board pursuant to division (H) of	4938
this section, revenues received by any state agency receiving such	4939
a temporary transfer of funds shall, as directed by the	4940
controlling board, be transferred back to the emergency purposes	4941
appropriation.	4942

The board may delegate to the director of budget and	4943
management authority to approve transfers among items of	4944
appropriation under division (A) of this section.	4945

Sec. 127.16.  (A) Upon the request of either a state agency	4946
or the director of budget and management and after the controlling	4947
board determines that an emergency or a sufficient economic reason	4948
exists, the controlling board may approve the making of a purchase	4949
without competitive selection as provided in division (B) of this	4950
section.	4951

(B) Except as otherwise provided in this section, no state	4952
agency, using money that has been appropriated to it directly,	4953
shall:	4954

(1) Make any purchase from a particular supplier, that would	4955
amount to fifty thousand dollars or more when combined with both	4956
the amount of all disbursements to the supplier during the fiscal	4957
year for purchases made by the agency and the amount of all	4958
outstanding encumbrances for purchases made by the agency from the	4959
supplier, unless the purchase is made by competitive selection or	4960
with the approval of the controlling board;	4961

(2) Lease real estate from a particular supplier, if the	4962
lease would amount to seventy-five thousand dollars or more when	4963
combined with both the amount of all disbursements to the supplier	4964
during the fiscal year for real estate leases made by the agency	4965
and the amount of all outstanding encumbrances for real estate	4966
leases made by the agency from the supplier, unless the lease is	4967
made by competitive selection or with the approval of the	4968
controlling board.	4969

(C) Any person who authorizes a purchase in violation of	4970
division (B) of this section shall be liable to the state for any	4971
state funds spent on the purchase, and the attorney general shall	4972
collect the amount from the person.	4973

(D) Nothing in division (B) of this section shall be	4974
construed as:	4975

(1) A limitation upon the authority of the director of	4976
transportation as granted in sections 5501.17, 5517.02, and	4977
5525.14 of the Revised Code;	4978

(2) Applying to medicaid provider agreements under Chapter	4979
5111. of the Revised Code or payments or provider agreements under	4980
the disability medical assistance program established under	4981
Chapter 5115. of the Revised Code;	4982

(3) Applying to the purchase of examinations from a sole	4983
supplier by a state licensing board under Title XLVII of the	4984
Revised Code;	4985

(4) Applying to entertainment contracts for the Ohio state	4986
fair entered into by the Ohio expositions commission, provided	4987
that the controlling board has given its approval to the	4988
commission to enter into such contracts and has approved a total	4989
budget amount for such contracts as agreed upon by commission	4990
action, and that the commission causes to be kept itemized records	4991
of the amounts of money spent under each contract and annually	4992
files those records with the clerk of the house of representatives	4993
and the clerk of the senate following the close of the fair;	4994

(5) Limiting the authority of the chief of the division of	4995
mineral resources management to contract for reclamation work with	4996
an operator mining adjacent land as provided in section 1513.27 of	4997
the Revised Code;	4998

(6) Applying to investment transactions and procedures of any	4999
state agency, except that the agency shall file with the board the	5000
name of any person with whom the agency contracts to make, broker,	5001
service, or otherwise manage its investments, as well as the	5002
commission, rate, or schedule of charges of such person with	5003
respect to any investment transactions to be undertaken on behalf	5004
of the agency. The filing shall be in a form and at such times as	5005
the board considers appropriate.	5006

(7) Applying to purchases made with money for the per cent	5007
for arts program established by section 3379.10 of the Revised	5008
Code;	5009

(8) Applying to purchases made by the rehabilitation services	5010
commission of services, or supplies, that are provided to persons	5011
with disabilities, or to purchases made by the commission in	5012
connection with the eligibility determinations it makes for	5013
applicants of programs administered by the social security	5014
administration;	5015

(9) Applying to payments by the department of job and family	5016
services under section 5111.13 of the Revised Code for group	5017
health plan premiums, deductibles, coinsurance, and other	5018
cost-sharing expenses;	5019

(10) Applying to any agency of the legislative branch of the	5020
state government;	5021

(11) Applying to agreements or contracts entered into under	5022
section 5101.11, 5101.20, 5101.201, 5101.21, or 5101.214 of the	5023
Revised Code;	5024

(12) Applying to purchases of services by the adult parole	5025
authority under section 2967.14 of the Revised Code or by the	5026
department of youth services under section 5139.08 of the Revised	5027
Code;	5028

(13) Applying to dues or fees paid for membership in an	5029
organization or association;	5030

(14) Applying to purchases of utility services pursuant to	5031
section 9.30 of the Revised Code;	5032

(15) Applying to purchases made in accordance with rules	5033
adopted by the department of administrative services of motor	5034
vehicle, aviation, or watercraft fuel, or emergency repairs of	5035
such vehicles;	5036

(16) Applying to purchases of tickets for passenger air	5037
transportation;	5038

(17) Applying to purchases necessary to provide public	5039
notifications required by law or to provide notifications of job	5040
openings;	5041

(18) Applying to the judicial branch of state government;

5042

(19) Applying to purchases of liquor for resale by the	5043
division of liquor control;	5044

(20) Applying to purchases of motor courier and freight	5045
services made in accordance with department of administrative	5046
services rules;	5047

(21) Applying to purchases from the United States postal	5048
service and purchases of stamps and postal meter replenishment	5049
from vendors at rates established by the United States postal	5050
service;	5051

(22) Applying to purchases of books, periodicals, pamphlets,	5052
newspapers, maintenance subscriptions, and other published	5053
materials;	5054

(23) Applying to purchases from other state agencies,	5055
including state-assisted institutions of higher education;	5056

(24) Limiting the authority of the director of environmental	5057
protection to enter into contracts under division (D) of section	5058
3745.14 of the Revised Code to conduct compliance reviews, as	5059
defined in division (A) of that section;	5060

(25) Applying to purchases from a qualified nonprofit agency	5061
pursuant to sections 125.60 to 125.6012 or 4115.31 to 4115.35 of	5062
the Revised Code;	5063

(26) Applying to payments by the department of job and family	5064
services to the United States department of health and human	5065
services for printing and mailing notices pertaining to the tax	5066
refund offset program of the internal revenue service of the	5067
United States department of the treasury;	5068

(27) Applying to contracts entered into by the department of	5069
mental retardation and developmental disabilities under sections	5070
section 5123.18, 5123.182, and 5123.199 of the Revised Code;	5071

(28) Applying to payments made by the department of mental	5072
health under a physician recruitment program authorized by section	5073
5119.101 of the Revised Code;	5074

(29) Applying to contracts entered into with persons by the	5075
director of commerce for unclaimed funds collection and remittance	5076
efforts as provided in division (F) of section 169.03 of the	5077
Revised Code. The director shall keep an itemized accounting of	5078
unclaimed funds collected by those persons and amounts paid to	5079
them for their services.	5080

(30) Applying to purchases made by a state institution of	5081
higher education in accordance with the terms of a contract	5082
between the vendor and an inter-university purchasing group	5083
comprised of purchasing officers of state institutions of higher	5084
education;	5085

(31) Applying to the department of job and family services'	5086
purchases of health assistance services under the children's	5087
health insurance program part I provided for under section 5101.50	5088
of the Revised Code or the children's health insurance program	5089
part II provided for under section 5101.51 of the Revised Code;	5090

(32) Applying to payments by the attorney general from the	5091
reparations fund to hospitals and other emergency medical	5092
facilities for performing medical examinations to collect physical	5093
evidence pursuant to section 2907.28 of the Revised Code;	5094

(33) Applying to contracts with a contracting authority or	5095
administrative receiver under division (B) of section 5126.056 of	5096
the Revised Code;	5097

(34) Applying to reimbursements paid to the United States	5098
department of veterans affairs for pharmaceutical and patient	5099
supply purchases made on behalf of the Ohio veterans' home agency;	5100

(35) Applying to agreements entered into with terminal	5101
distributors of dangerous drugs under section 5110.20 of the	5102
Revised Code.	5103

(E) Notwithstanding division (B)(1) of this section, the	5104
cumulative purchase threshold shall be seventy-five thousand	5105
dollars for the departments of mental retardation and	5106
developmental disabilities, mental health, rehabilitation and	5107
correction, and youth services.	5108

(F) When determining whether a state agency has reached the	5109
cumulative purchase thresholds established in divisions (B)(1),	5110
(B)(2), and (E) of this section, all of the following purchases by	5111
such agency shall not be considered:	5112

(1) Purchases made through competitive selection or with	5113
controlling board approval;	5114

(2) Purchases listed in division (D) of this section;

5115

(3) For the purposes of the thresholds of divisions (B)(1)	5116
and (E) of this section only, leases of real estate.	5117

(G) As used in this section, "competitive selection,"	5118
"purchase," "supplies," and "services" have the same meanings as	5119
in section 125.01 of the Revised Code.	5120

Sec. 131.44.  (A) As used in this section:

5121

(1) "Surplus revenue" means the excess, if any, of the total	5122
fund balance over the required year-end balance.	5123

(2) "Total fund balance" means the sum of the unencumbered	5124
balance in the general revenue fund on the last day of the	5125
preceding fiscal year plus the balance in the budget stabilization	5126
fund.	5127

(3) "Required year-end balance" means the sum of the	5128
following:	5129

(a) Five per cent of the general revenue fund revenues for	5130
the preceding fiscal year;	5131

(b) "Ending fund balance," which means one-half of one per	5132
cent of general revenue fund revenues for the preceding fiscal	5133
year;	5134

(c) "Carryover balance," which means, with respect to a	5135
fiscal biennium, the excess, if any, of the estimated general	5136
revenue fund appropriation and transfer requirement for the second	5137
fiscal year of the biennium over the estimated general revenue	5138
fund revenue for that fiscal year;	5139

(d) "Capital appropriation reserve," which means the amount,	5140
if any, of general revenue fund capital appropriations made for	5141
the current biennium that the director of budget and management	5142
has determined will be encumbered or disbursed;	5143

(e) "Income tax reduction impact reserve," which means an	5144
amount equal to the reduction projected by the director of budget	5145
and management in income tax revenue in the current fiscal year	5146
attributable to the previous reduction in the income tax rate made	5147
by the tax commissioner pursuant to division (B) of section	5148
5747.02 of the Revised Code.	5149

(4) "Estimated general revenue fund appropriation and	5150
transfer requirement" means the most recent adjusted	5151
appropriations made by the general assembly from the general	5152
revenue fund and includes both of the following:	5153

(a) Appropriations made and transfers of appropriations from	5154
the first fiscal year to the second fiscal year of the biennium in	5155
provisions of acts of the general assembly signed by the governor	5156
but not yet effective;	5157

(b) Transfers of appropriation from the first fiscal year to	5158
the second fiscal year of the biennium approved by the controlling	5159
board.	5160

(5) "Estimated general revenue fund revenue" means the most	5161
recent such estimate available to the director of budget and	5162
management.	5163

(B)(1) Not later than the thirty-first day of July each year,	5164
the director of budget and management shall determine the surplus	5165
revenue that existed on the preceding thirtieth day of June and	5166
transfer from the general revenue fund, to the extent of the	5167
unobligated, unencumbered balance on the preceding thirtieth day	5168
of June in excess of one-half of one per cent of the general	5169
revenue fund revenues in the preceding fiscal year, the following:	5170

(a) First, to the budget stabilization fund, any amount	5171
necessary for the balance of the budget stabilization fund to	5172
equal five per cent of the general revenue fund revenues of the	5173
preceding fiscal year;	5174

(b) Then, to the income tax reduction fund, which is hereby	5175
created in the state treasury, an amount equal to the surplus	5176
revenue.	5177

(2) Not later than the thirty-first day of July each year,	5178
the director shall determine the percentage that the balance in	5179
the income tax reduction fund is of the amount of revenue that the	5180
director estimates will be received from the tax levied under	5181
section 5747.02 of the Revised Code in the current fiscal year	5182
without regard to any reduction under division (B) of that	5183
section. If that percentage exceeds thirty-five one hundredths of	5184
one per cent, the director shall certify the percentage to the tax	5185
commissioner not later than the thirty-first day of July.	5186

(C) The director of budget and management shall transfer	5187
money in the income tax reduction fund to the general revenue	5188
fund, the local governmentcommunities fund, and the library and	5189
local government supportlibraries fund, and the local government	5190
revenue assistance fund as necessary to offset revenue reductions	5191
resulting from the reductions in taxes required under division (B)	5192
of section 5747.02 of the Revised Code in the respective amounts	5193
and percentages prescribed by divisionsdivision (A)(1), (2), and	5194
(4) of section 5747.03 and divisions (A) and (B) of section 133.51	5195
of the Revised Code as if the amount transferred had been	5196
collected as taxes under Chapter 5747. of the Revised Code. If no	5197
reductions in taxes are made under that division that affect	5198
revenue received in the current fiscal year, the director shall	5199
not transfer money from the income tax reduction fund to the	5200
general revenue fund, the local governmentcommunities fund, and	5201
the library and local government supportlibraries fund, and the	5202
local government revenue assistance fund.	5203

Sec. 131.51.  (A) Beginning January 2008, on or before the	5204
fifth day of each month, the director of budget and management	5205
shall credit to the local communities fund, which is hereby	5206
created in the state treasury, three and sixty-five one hundredths	5207
per cent of total tax revenue credited to the general revenue fund	5208
during the preceding month. In determining the total tax revenue	5209
credited to the general revenue fund during the preceding month,	5210
the director shall include amounts transferred from that fund	5211
during the preceding month pursuant to divisions (A) and (B) of	5212
this section. Money shall be distributed from the local	5213
communities fund as required under section 5747.50 of the Revised	5214
Code during the same month in which it is credited to the fund.	5215

(B) Beginning January 2008, on or before the fifth day of	5216
each month, the director of budget and management shall credit to	5217
the local libraries fund, which is hereby created in the state	5218
treasury, two and two-tenths per cent of the total tax revenue	5219
credited to the general revenue fund during the preceding month.	5220
In determining the total tax revenue credited to the general	5221
revenue fund during the preceding month, the director shall	5222
include amounts transferred from that fund during the preceding	5223
month pursuant to divisions (A) and (B) of this section. Money	5224
shall be distributed from the local libraries fund as required	5225
under section 5747.47 of the Revised Code during the same month in	5226
which it is credited to the fund.	5227

(C) The director of budget and management shall develop a	5228
schedule identifying the specific tax revenue sources to be used	5229
to make the monthly transfers required under divisions (A) and (B)	5230
of this section. The director may, from time to time, revise the	5231
schedule as the director considers necessary.	5232

Sec. 133.01.  As used in this chapter, in sections 9.95,	5233
9.96, and 2151.655 of the Revised Code, in other sections of the	5234
Revised Code that make reference to this chapter unless the	5235
context does not permit, and in related proceedings, unless	5236
otherwise expressly provided:	5237

(A) "Acquisition" as applied to real or personal property	5238
includes, among other forms of acquisition, acquisition by	5239
exercise of a purchase option, and acquisition of interests in	5240
property, including, without limitation, easements and	5241
rights-of-way, and leasehold and other lease interests initially	5242
extending or extendable for a period of at least sixty months.	5243

(B) "Anticipatory securities" means securities, including	5244
notes, issued in anticipation of the issuance of other securities.	5245

(C) "Board of elections" means the county board of elections	5246
of the county in which the subdivision is located. If the	5247
subdivision is located in more than one county, "board of	5248
elections" means the county board of elections of the county that	5249
contains the largest portion of the population of the subdivision	5250
or that otherwise has jurisdiction in practice over and	5251
customarily handles election matters relating to the subdivision.	5252

(D) "Bond retirement fund" means the bond retirement fund	5253
provided for in section 5705.09 of the Revised Code, and also	5254
means a sinking fund or any other special fund, regardless of the	5255
name applied to it, established by or pursuant to law or the	5256
proceedings for the payment of debt charges. Provision may be made	5257
in the applicable proceedings for the establishment in a bond	5258
retirement fund of separate accounts relating to debt charges on	5259
particular securities, or on securities payable from the same or	5260
common sources, and for the application of moneys in those	5261
accounts only to specified debt charges on specified securities or	5262
categories of securities. Subject to law and any provisions in the	5263
applicable proceedings, moneys in a bond retirement fund or	5264
separate account in a bond retirement fund may be transferred to	5265
other funds and accounts.	5266

(E) "Capitalized interest" means all or a portion of the	5267
interest payable on securities from their date to a date stated or	5268
provided for in the applicable legislation, which interest is to	5269
be paid from the proceeds of the securities.	5270

(F) "Chapter 133. securities" means securities authorized by	5271
or issued pursuant to or in accordance with this chapter.	5272

(G) "County auditor" means the county auditor of the county	5273
in which the subdivision is located. If the subdivision is located	5274
in more than one county, "county auditor" means the county auditor	5275
of the county that contains the highest amount of the tax	5276
valuation of the subdivision or that otherwise has jurisdiction in	5277
practice over and customarily handles property tax matters	5278
relating to the subdivision. In the case of a county that has	5279
adopted a charter, "county auditor" means the officer who	5280
generally has the duties and functions provided in the Revised	5281
Code for a county auditor.	5282

(H) "Credit enhancement facilities" means letters of credit,	5283
lines of credit, stand-by, contingent, or firm securities purchase	5284
agreements, insurance, or surety arrangements, guarantees, and	5285
other arrangements that provide for direct or contingent payment	5286
of debt charges, for security or additional security in the event	5287
of nonpayment or default in respect of securities, or for making	5288
payment of debt charges to and at the option and on demand of	5289
securities holders or at the option of the issuer or upon certain	5290
conditions occurring under put or similar arrangements, or for	5291
otherwise supporting the credit or liquidity of the securities,	5292
and includes credit, reimbursement, marketing, remarketing,	5293
indexing, carrying, interest rate hedge, and subrogation	5294
agreements, and other agreements and arrangements for payment and	5295
reimbursement of the person providing the credit enhancement	5296
facility and the security for that payment and reimbursement.	5297

(I) "Current operating expenses" or "current expenses" means	5298
the lawful expenditures of a subdivision, except those for	5299
permanent improvements and for payments of debt charges of the	5300
subdivision.	5301

(J) "Debt charges" means the principal, including any	5302
mandatory sinking fund deposits and mandatory redemption payments,	5303
interest, and any redemption premium, payable on securities as	5304
those payments come due and are payable. The use of "debt charges"	5305
for this purpose does not imply that any particular securities	5306
constitute debt within the meaning of the Ohio Constitution or	5307
other laws.	5308

(K) "Financing costs" means all costs and expenses relating	5309
to the authorization, including any required election, issuance,	5310
sale, delivery, authentication, deposit, custody, clearing,	5311
registration, transfer, exchange, fractionalization, replacement,	5312
payment, and servicing of securities, including, without	5313
limitation, costs and expenses for or relating to publication and	5314
printing, postage, delivery, preliminary and final official	5315
statements, offering circulars, and informational statements,	5316
travel and transportation, underwriters, placement agents,	5317
investment bankers, paying agents, registrars, authenticating	5318
agents, remarketing agents, custodians, clearing agencies or	5319
corporations, securities depositories, financial advisory	5320
services, certifications, audits, federal or state regulatory	5321
agencies, accounting and computation services, legal services and	5322
obtaining approving legal opinions and other legal opinions,	5323
credit ratings, redemption premiums, and credit enhancement	5324
facilities. Financing costs may be paid from any moneys available	5325
for the purpose, including, unless otherwise provided in the	5326
proceedings, from the proceeds of the securities to which they	5327
relate and, as to future financing costs, from the same sources	5328
from which debt charges on the securities are paid and as though	5329
debt charges.	5330

(L) "Fiscal officer" means the following, or, in the case of	5331
absence or vacancy in the office, a deputy or assistant authorized	5332
by law or charter to act in the place of the named officer, or if	5333
there is no such authorization then the deputy or assistant	5334
authorized by legislation to act in the place of the named officer	5335
for purposes of this chapter, in the case of the following	5336
subdivisions:	5337

(1) A county, the county auditor;

5338

(2) A municipal corporation, the city auditor or village	5339
clerk or clerk-treasurer, or the officer who, by virtue of a	5340
charter, has the duties and functions provided in the Revised Code	5341
for the city auditor or village clerk or clerk-treasurer;	5342

(3) A school district, the treasurer of the board of	5343
education;	5344

(4) A regional water and sewer district, the secretary of the	5345
board of trustees;	5346

(5) A joint township hospital district, the treasurer of the	5347
district;	5348

(6) A joint ambulance district, the clerk of the board of	5349
trustees;	5350

(7) A joint recreation district, the person designated	5351
pursuant to section 755.15 of the Revised Code;	5352

(8) A detention facility district or a district organized	5353
under section 2151.65 of the Revised Code or a combined district	5354
organized under sections 2152.41 and 2151.65 of the Revised Code,	5355
the county auditor of the county designated by law to act as the	5356
auditor of the district;	5357

(9) A township, a fire district organized under division (C)	5358
of section 505.37 of the Revised Code, or a township police	5359
district, the fiscal officer of the township;	5360

(10) A joint fire district, the clerk of the board of	5361
trustees of that district;	5362

(11) A regional or county library district, the person	5363
responsible for the financial affairs of that district;	5364

(12) A joint solid waste management district, the fiscal	5365
officer appointed by the board of directors of the district under	5366
section 343.01 of the Revised Code;	5367

(13) A joint emergency medical services district, the person	5368
appointed as fiscal officer pursuant to division (D) of section	5369
307.053 of the Revised Code;	5370

(14) A fire and ambulance district, the person appointed as	5371
fiscal officer under division (B) of section 505.375 of the	5372
Revised Code;	5373

(15) A subdivision described in division (MM)(17) of this	5374
section, the officer who is designated by law as or performs the	5375
functions of its chief fiscal officer.	5376

(M) "Fiscal year" has the same meaning as in section 9.34 of	5377
the Revised Code.	5378

(N) "Fractionalized interests in public obligations" means	5379
participations, certificates of participation, shares, or other	5380
instruments or agreements, separate from the public obligations	5381
themselves, evidencing ownership of interests in public	5382
obligations or of rights to receive payments of, or on account of,	5383
principal or interest or their equivalents payable by or on behalf	5384
of an obligor pursuant to public obligations.	5385

(O) "Fully registered securities" means securities in	5386
certificated or uncertificated form, registered as to both	5387
principal and interest in the name of the owner.	5388

(P) "Fund" means to provide for the payment of debt charges	5389
and expenses related to that payment at or prior to retirement by	5390
purchase, call for redemption, payment at maturity, or otherwise.	5391

(Q) "General obligation" means securities to the payment of	5392
debt charges on which the full faith and credit and the general	5393
property taxing power, including taxes within the tax limitation	5394
if available to the subdivision, of the subdivision are pledged.	5395

(R) "Interest" or "interest equivalent" means those payments	5396
or portions of payments, however denominated, that constitute or	5397
represent consideration for forbearing the collection of money, or	5398
for deferring the receipt of payment of money to a future time.	5399

(S) "Internal Revenue Code" means the "Internal Revenue Code	5400
of 1986," 100 Stat. 2085, 26 U.S.C.A. 1 et seq., as amended, and	5401
includes any laws of the United States providing for application	5402
of that code.	5403

(T) "Issuer" means any public issuer and any nonprofit	5404
corporation authorized to issue securities for or on behalf of any	5405
public issuer.	5406

(U) "Legislation" means an ordinance or resolution passed by	5407
a majority affirmative vote of the then members of the taxing	5408
authority unless a different vote is required by charter	5409
provisions governing the passage of the particular legislation by	5410
the taxing authority.	5411

(V) "Mandatory sinking fund redemption requirements" means	5412
amounts required by proceedings to be deposited in a bond	5413
retirement fund for the purpose of paying in any year or fiscal	5414
year by mandatory redemption prior to stated maturity the	5415
principal of securities that is due and payable, except for	5416
mandatory prior redemption requirements as provided in those	5417
proceedings, in a subsequent year or fiscal year.	5418

(W) "Mandatory sinking fund requirements" means amounts	5419
required by proceedings to be deposited in a year or fiscal year	5420
in a bond retirement fund for the purpose of paying the principal	5421
of securities that is due and payable in a subsequent year or	5422
fiscal year.	5423

(X) "Net indebtedness" has the same meaning as in division	5424
(A) of section 133.04 of the Revised Code.	5425

(Y) "Obligor," in the case of securities or fractionalized	5426
interests in public obligations issued by another person the debt	5427
charges or their equivalents on which are payable from payments	5428
made by a public issuer, means that public issuer.	5429

(Z) "One purpose" relating to permanent improvements means	5430
any one permanent improvement or group or category of permanent	5431
improvements for the same utility, enterprise, system, or project,	5432
development or redevelopment project, or for or devoted to the	5433
same general purpose, function, or use or for which	5434
self-supporting securities, based on the same or different sources	5435
of revenues, may be issued or for which special assessments may be	5436
levied by a single ordinance or resolution. "One purpose"	5437
includes, but is not limited to, in any case any off-street	5438
parking facilities relating to another permanent improvement, and:	5439

(1) Any number of roads, highways, streets, bridges,	5440
sidewalks, and viaducts;	5441

(2) Any number of off-street parking facilities;

5442

(3) In the case of a county, any number of permanent	5443
improvements for courthouse, jail, county offices, and other	5444
county buildings, and related facilities;	5445

(4) In the case of a school district, any number of	5446
facilities and buildings for school district purposes, and related	5447
facilities.	5448

(AA) "Outstanding," referring to securities, means securities	5449
that have been issued, delivered, and paid for, except any of the	5450
following:	5451

(1) Securities canceled upon surrender, exchange, or	5452
transfer, or upon payment or redemption;	5453

(2) Securities in replacement of which or in exchange for	5454
which other securities have been issued;	5455

(3) Securities for the payment, or redemption or purchase for	5456
cancellation prior to maturity, of which sufficient moneys or	5457
investments, in accordance with the applicable legislation or	5458
other proceedings or any applicable law, by mandatory sinking fund	5459
redemption requirements, mandatory sinking fund requirements, or	5460
otherwise, have been deposited, and credited for the purpose in a	5461
bond retirement fund or with a trustee or paying or escrow agent,	5462
whether at or prior to their maturity or redemption, and, in the	5463
case of securities to be redeemed prior to their stated maturity,	5464
notice of redemption has been given or satisfactory arrangements	5465
have been made for giving notice of that redemption, or waiver of	5466
that notice by or on behalf of the affected security holders has	5467
been filed with the subdivision or its agent for the purpose.	5468

(BB) "Paying agent" means the one or more banks, trust	5469
companies, or other financial institutions or qualified persons,	5470
including an appropriate office or officer of the subdivision,	5471
designated as a paying agent or place of payment of debt charges	5472
on the particular securities.	5473

(CC) "Permanent improvement" or "improvement" means any	5474
property, asset, or improvement certified by the fiscal officer,	5475
which certification is conclusive, as having an estimated life or	5476
period of usefulness of five years or more, and includes, but is	5477
not limited to, real estate, buildings, and personal property and	5478
interests in real estate, buildings, and personal property,	5479
equipment, furnishings, and site improvements, and reconstruction,	5480
rehabilitation, renovation, installation, improvement,	5481
enlargement, and extension of property, assets, or improvements so	5482
certified as having an estimated life or period of usefulness of	5483
five years or more. The acquisition of all the stock ownership of	5484
a corporation is the acquisition of a permanent improvement to the	5485
extent that the value of that stock is represented by permanent	5486
improvements. A permanent improvement for parking, highway, road,	5487
and street purposes includes resurfacing, but does not include	5488
ordinary repair.	5489

(DD) "Person" has the same meaning as in section 1.59 of the	5490
Revised Code and also includes any federal, state, interstate,	5491
regional, or local governmental agency, any subdivision, and any	5492
combination of those persons.	5493

(EE) "Proceedings" means the legislation, certifications,	5494
notices, orders, sale proceedings, trust agreement or indenture,	5495
mortgage, lease, lease-purchase agreement, assignment, credit	5496
enhancement facility agreements, and other agreements,	5497
instruments, and documents, as amended and supplemented, and any	5498
election proceedings, authorizing, or providing for the terms and	5499
conditions applicable to, or providing for the security or sale or	5500
award of, public obligations, and includes the provisions set	5501
forth or incorporated in those public obligations and proceedings.	5502

(FF) "Public issuer" means any of the following that is	5503
authorized by law to issue securities or enter into public	5504
obligations:	5505

(1) The state, including an agency, commission, officer,	5506
institution, board, authority, or other instrumentality of the	5507
state;	5508

(2) A taxing authority, subdivision, district, or other local	5509
public or governmental entity, and any combination or consortium,	5510
or public division, district, commission, authority, department,	5511
board, officer, or institution, thereof;	5512

(3) Any other body corporate and politic, or other public	5513
entity.	5514

(GG) "Public obligations" means both of the following:

5515

(1) Securities;

5516

(2) Obligations of a public issuer to make payments under	5517
installment sale, lease, lease purchase, or similar agreements,	5518
which obligations bear interest or interest equivalent.	5519

(HH) "Refund" means to fund and retire outstanding	5520
securities, including advance refunding with or without payment or	5521
redemption prior to maturity.	5522

(II) "Register" means the books kept and maintained by the	5523
registrar for registration, exchange, and transfer of registered	5524
securities.	5525

(JJ) "Registrar" means the person responsible for keeping the	5526
register for the particular registered securities, designated by	5527
or pursuant to the proceedings.	5528

(KK) "Securities" means bonds, notes, certificates of	5529
indebtedness, commercial paper, and other instruments in writing,	5530
including, unless the context does not admit, anticipatory	5531
securities, issued by an issuer to evidence its obligation to	5532
repay money borrowed, or to pay interest, by, or to pay at any	5533
future time other money obligations of, the issuer of the	5534
securities, but not including public obligations described in	5535
division (GG)(2) of this section.	5536

(LL) "Self-supporting securities" means securities or	5537
portions of securities issued for the purpose of paying costs of	5538
permanent improvements to the extent that receipts of the	5539
subdivision, other than the proceeds of taxes levied by that	5540
subdivision, derived from or with respect to the improvements or	5541
the operation of the improvements being financed, or the	5542
enterprise, system, project, or category of improvements of which	5543
the improvements being financed are part, are estimated by the	5544
fiscal officer to be sufficient to pay the current expenses of	5545
that operation or of those improvements or enterprise, system,	5546
project, or categories of improvements and the debt charges	5547
payable from those receipts on securities issued for the purpose.	5548
Until such time as the improvements or increases in rates and	5549
charges have been in operation or effect for a period of at least	5550
six months, the receipts therefrom, for purposes of this	5551
definition, shall be those estimated by the fiscal officer, except	5552
that those receipts may include, without limitation, payments made	5553
and to be made to the subdivision under leases or agreements in	5554
effect at the time the estimate is made. In the case of an	5555
operation, improvements, or enterprise, system, project, or	5556
category of improvements without at least a six-month history of	5557
receipts, the estimate of receipts by the fiscal officer, other	5558
than those to be derived under leases and agreements then in	5559
effect, shall be confirmed by the taxing authority.	5560

(MM) "Subdivision" means any of the following:

5561

(1) A county, including a county that has adopted a charter	5562
under Article X, Ohio Constitution;	5563

(2) A municipal corporation, including a municipal	5564
corporation that has adopted a charter under Article XVIII, Ohio	5565
Constitution;	5566

(3) A school district;

5567

(4) A regional water and sewer district organized under	5568
Chapter 6119. of the Revised Code;	5569

(5) A joint township hospital district organized under	5570
section 513.07 of the Revised Code;	5571

(6) A joint ambulance district organized under section 505.71	5572
of the Revised Code;	5573

(7) A joint recreation district organized under division (C)	5574
of section 755.14 of the Revised Code;	5575

(8) A detention facility district organized under section	5576
2152.41, a district organized under section 2151.65, or a combined	5577
district organized under sections 2152.41 and 2151.65 of the	5578
Revised Code;	5579

(9) A township police district organized under section 505.48	5580
of the Revised Code;	5581

(10) A township;

5582

(11) A joint fire district organized under section 505.371 of	5583
the Revised Code;	5584

(12) A county library district created under section 3375.19	5585
or a regional library district created under section 3375.28 of	5586
the Revised Code;	5587

(13) A joint solid waste management district organized under	5588
section 343.01 or 343.012 of the Revised Code;	5589

(14) A joint emergency medical services district organized	5590
under section 307.052 of the Revised Code;	5591

(15) A fire and ambulance district organized under section	5592
505.375 of the Revised Code;	5593

(16) A fire district organized under division (C) of section	5594
505.37 of the Revised Code;	5595

(17) Any other political subdivision or taxing district or	5596
other local public body or agency authorized by this chapter or	5597
other laws to issue Chapter 133. securities.	5598

(NN) "Taxing authority" means in the case of the following	5599
subdivisions:	5600

(1) A county, a county library district, or a regional	5601
library district, the board or boards of county commissioners, or	5602
other legislative authority of a county that has adopted a charter	5603
under Article X, Ohio Constitution, but with respect to such a	5604
library district acting solely as agent for the board of trustees	5605
of that district;	5606

(2) A municipal corporation, the legislative authority;

5607

(3) A school district, the board of education;

5608

(4) A regional water and sewer district, a joint ambulance	5609
district, a joint recreation district, a fire and ambulance	5610
district, or a joint fire district, the board of trustees of the	5611
district;	5612

(5) A joint township hospital district, the joint township	5613
hospital board;	5614

(6) A detention facility district or a district organized	5615
under section 2151.65 of the Revised Code, a combined district	5616
organized under sections 2152.41 and 2151.65 of the Revised Code,	5617
or a joint emergency medical services district, the joint board of	5618
county commissioners;	5619

(7) A township, a fire district organized under division (C)	5620
of section 505.37 of the Revised Code, or a township police	5621
district, the board of township trustees;	5622

(8) A joint solid waste management district organized under	5623
section 343.01 or 343.012 of the Revised Code, the board of	5624
directors of the district;	5625

(9) A subdivision described in division (MM)(17) of this	5626
section, the legislative or governing body or official.	5627

(OO) "Tax limitation" means the "ten-mill limitation" as	5628
defined in section 5705.02 of the Revised Code without diminution	5629
by reason of section 5705.313 of the Revised Code or otherwise,	5630
or, in the case of a municipal corporation or county with a	5631
different charter limitation on property taxes levied to pay debt	5632
charges on unvoted securities, that charter limitation. Those	5633
limitations shall be respectively referred to as the "ten-mill	5634
limitation" and the "charter tax limitation."	5635

(PP) "Tax valuation" means the aggregate of the valuations of	5636
property subject to ad valorem property taxation by the	5637
subdivision on the real property, personal property, and public	5638
utility property tax lists and duplicates most recently certified	5639
for collection, and shall be calculated without deductions of the	5640
valuations of otherwise taxable property exempt in whole or in	5641
part from taxation by reason of exemptions of certain amounts of	5642
taxable value under division (C) of section 5709.01 or, tax	5643
reductions under section 323.152 of the Revised Code, or similar	5644
laws now or in the future in effect.	5645

For purposes of section 133.06 of the Revised Code, "tax	5646
valuation" shall not include the valuation of tangible personal	5647
property used in business, telephone or telegraph property,	5648
interexchange telecommunications company property, or personal	5649
property owned or leased by a railroad company and used in	5650
railroad operations listed under or described in section 5711.22,	5651
division (B) or (F) of section 5727.111, or section 5727.12 of the	5652
Revised Code.	5653

(QQ) "Year" means the calendar year.

5654

(RR) "Administrative agent," "agent," "commercial paper,"	5655
"floating rate interest structure," "indexing agent," "interest	5656
rate hedge," "interest rate period," "put arrangement," and	5657
"remarketing agent" have the same meanings as in section 9.98 of	5658
the Revised Code.	5659

(SS) "Sales tax supported" means obligations to the payment	5660
of debt charges on which an additional sales tax or additional	5661
sales taxes have been pledged by the taxing authority of a county	5662
pursuant to section 133.081 of the Revised Code.	5663

Sec. 133.10.  (A) In anticipation of the collection of	5664
current property tax revenues in and for any fiscal year, the	5665
taxing authority of any subdivision may issue securities, but the	5666
aggregate principal amount of such securities shall not exceed	5667
one-half of the amount that the budget commission estimates the	5668
subdivision will receive from property taxes in that fiscal year	5669
and prior to the last day of the sixth month following the month	5670
in which the securities are issued, other than taxes to be	5671
received for the payment of debt charges or allocated to debt	5672
charges on securities issued pursuant to division (C) of this	5673
section, and less all advances. When a partial, semiannual, or	5674
final property tax settlement is delayed, securities may also be	5675
issued in anticipation of the receipt of property taxes levied or	5676
collected for debt charges to the extent necessary to meet such	5677
debt charges but not in excess of such estimated receipts, less	5678
all advances. The securities issued pursuant to this division (A)	5679
shall mature not later than the last day of the sixth month	5680
following the month in which the securities are issued and in any	5681
case not later than the last day of the fiscal year in which they	5682
are issued.	5683

(B) In anticipation of the collection of current revenues in	5684
and for any fiscal year from any source or combination of sources,	5685
including distributions of any federal or state moneys, other than	5686
the proceeds of property taxes levied by the subdivision, the	5687
taxing authority of any subdivision may issue securities, but the	5688
aggregate principal amount of such securities shall not exceed	5689
one-half of the amount estimated by the fiscal officer to be	5690
received by the subdivision from such sources during the remainder	5691
of such fiscal year, less advances and prior collections.	5692

(C) In anticipation of the collection of current property tax	5693
revenues in and for any fiscal year, the taxing authority of a	5694
county, municipal corporation, township, or school district may	5695
issue securities, but the aggregate principal amount of those	5696
securities and of any securities issued pursuant to division (A)	5697
of this section outstanding at the time of issuance shall not	5698
exceed one-half of the amount that the budget commission estimates	5699
the subdivision will receive from all property taxes that are to	5700
be distributed to the subdivision from all settlements of taxes	5701
that are to be made in the remainder of that fiscal year, other	5702
than taxes to be received for the payment of debt charges, and	5703
less all advances.	5704

(D) When the tax settlement scheduled under division (B) of	5705
section 321.24 of the Revised Code is delayed pursuant to division	5706
(E) of that section, the taxing authority of a school district may	5707
issue property tax anticipation securities against the taxes to be	5708
included in that settlement, but the aggregate principal amount of	5709
all securities outstanding against those taxes shall not exceed	5710
ninety per cent of the amount estimated to be received from that	5711
settlement by the budget commission, other than taxes to be	5712
received for the payment of debt charges, and less all advances.	5713
The securities issued pursuant to this division (D) shall mature	5714
on or before the next ensuing thirty-first day of August.	5715

(E) This division applies to all securities authorized by	5716
this section.	5717

(1) The amounts from the sources anticipated needed to pay	5718
debt charges and financing costs shall be considered appropriated	5719
for that purpose, and other appropriations from those sources by	5720
the taxing authority shall be limited to the balance available	5721
after deducting the amount to pay those debt charges and financing	5722
costs. The portions of those amounts as received and to be applied	5723
to those debt charges shall be deposited and set aside in an	5724
account for the purpose in the bond retirement fund in the amounts	5725
and at the times required to pay those debt charges as provided	5726
for by the authorizing legislation or otherwise provided by law.	5727

(2) Except as otherwise provided in division (H) of this	5728
section, the securities shall not be issued prior to the first day	5729
and, except as otherwise provided in divisions (A) and (D) of this	5730
section, shall mature not later than the last day of the fiscal	5731
year for which the revenues are anticipated.	5732

(3) The proceeds of the principal amount of the securities	5733
shall be used only for the purposes for which the amounts	5734
anticipated were levied, collected, distributed, and appropriated,	5735
and for financing costs related to those securities.	5736

(4) Property taxes include distributions from the state in	5737
payment of credits against or partial exemptions from, or	5738
reduction of, property taxes.	5739

(5) If for any reason debt charges on securities authorized	5740
by this section are not paid by the subdivision in the fiscal year	5741
when due, the taxing authority of the subdivision shall include in	5742
its next annual appropriation measure an amount sufficient to pay	5743
those debt charges, and the county auditor and county treasurer	5744
shall withhold, in a custodial account, amounts due the	5745
subdivision from the sources anticipated until such amount is	5746
accumulated by those officers and they directly pay or provide,	5747
through the paying agent or otherwise, for the payment of those	5748
debt charges.	5749

(F) The authority to issue securities under divisions (A) and	5750
(B) of this section may be exercised by any board of library	5751
trustees of a public library, or board of park commissioners of a	5752
township, to which the budget commission has allotted a share of	5753
the local governmentcommunities fund under section 5747.51 of the	5754
Revised Code or of the library and local government support	5755
libraries fund under section 5707.051 of the Revised Code.	5756

(G) The taxing authority of a school district issuing	5757
securities under division (A), (C), or (D) of this section shall	5758
in the legislation authorizing the securities affirm the levy of,	5759
or covenant to levy, the anticipated property taxes to be	5760
collected in the following year.	5761

(H) The taxing authority of a school district may issue	5762
securities authorized by this section on or after the tenth day	5763
preceding the first day of the fiscal year for which the revenues	5764
are anticipated; provided, that if the taxing authority of a	5765
school district issues securities authorized by this section prior	5766
to the first day of the fiscal year for which the revenues are	5767
anticipated:	5768

(1) None of the proceeds received by the school district from	5769
the sale of the securities shall be considered available for	5770
appropriation prior to the first day of the fiscal year for which	5771
the revenues are anticipated; and	5772

(2) None of the proceeds received by the school district from	5773
the sale of the securities shall be expended prior to the first	5774
day of the fiscal year for which the revenues are anticipated.	5775

Sec. 133.25.  (A) After the issuance of general obligation	5776
securities or of securities to which section 133.24 of the Revised	5777
Code applies, the taxing authority of the subdivision shall	5778
include in its annual tax budget, and levy a property tax in a	5779
sufficient amount, with any other moneys available for the	5780
purpose, to pay the debt charges on the securities payable from	5781
property taxes. The necessary property tax rate shall be included	5782
in the fiscal year tax budget that is certified by the subdivision	5783
to the county budget commission, and, if within the ten-mill	5784
limitation, shall be without diminution by reason of section	5785
5705.313 of the Revised Code or any similar provisions.	5786

(B) If the taxing authority determines it to be necessary or	5787
appropriate, and if not prohibited by other law, legislation	5788
relating to Chapter 133. securities may, or that legislation may	5789
provide for proceedings that may, contain or provide for any one	5790
or more or combination of the following:	5791

(1) The pledge to the payment of debt charges of, and related	5792
covenants to levy, charge, collect, deposit, and apply, receipts	5793
of the subdivision lawfully available for the purpose, referred to	5794
in this division (B) as pledged receipts, including, without	5795
limitation, ad valorem property taxes as permitted by law, income	5796
taxes, excises, utility and service revenues, local government	5797
communities fund, school foundation, and moneys described in	5798
Section 5a of Article XII, Ohio Constitution, and any other	5799
receipts from taxes, excises, permits, licenses, fines, or other	5800
sources of revenue of or of revenue distributions to the	5801
subdivision, and covenants for the establishment, investment,	5802
segregation, and maintenance of any funds or reserves in	5803
connection with the securities. No pledge or covenant may be made	5804
that impairs the express contract rights of the holders of	5805
outstanding securities of the subdivision.	5806

(2) Designation of a bank or trust company authorized to	5807
exercise corporate trust powers in this state as a fiscal agent	5808
for the securities, which fiscal agent may be a purchaser of any	5809
securities and fiscal agent for any other securities of the	5810
subdivision, and provision for the periodic deposit of pledged	5811
receipts in one or more separate bank accounts, funds, or other	5812
accounts established with the fiscal agent, including provision	5813
for pledged receipts collected or paid by the state or another	5814
subdivision to be transferred, by the appropriate officer of the	5815
state or other subdivision having charge of the distribution of	5816
the pledged receipts to the subdivision, directly to the fiscal	5817
agent for such deposit, which officers shall transfer such pledged	5818
receipts in accordance with this division and the legislation. The	5819
fiscal agent shall disburse moneys so held in accordance with the	5820
legislation, including the transfer of moneys to paying agents or	5821
to persons providing credit enhancement facilities at the times	5822
and in the amounts required. Until needed for that purpose, and	5823
subject to any limitations in the legislation, the fiscal agent	5824
shall either deposit such moneys on behalf of the subdivision in	5825
an institution that is eligible to become a public depository	5826
pursuant to section 135.03 of the Revised Code or invest the	5827
moneys on behalf of the subdivision in obligations that are under	5828
applicable law lawful for the investment of the particular moneys.	5829
Divisions (D), (E), and (G) of section 135.04 and sections 135.08	5830
and 135.09 of the Revised Code do not apply to any such deposits	5831
or investments. Amounts so held and received by a fiscal agent	5832
shall be accounted for in the appropriate special funds of the	5833
subdivision as if held in the treasury of the subdivision, and the	5834
fiscal agent shall provide such information to the subdivision and	5835
to the auditor of state as is necessary for the purpose.	5836

(3) Covenants of the subdivision and other provisions to	5837
protect and safeguard the security and rights of the holders of	5838
the securities and of the providers of any credit enhancement	5839
facilities and provisions for defeasance, including, without	5840
limiting the generality of the foregoing, such covenants and	5841
provisions as to:	5842

(a) Establishment and maintenance of the funds to be held by	5843
a fiscal agent as provided in this division, the times, amounts,	5844
and levels for deposit to such funds, and the obligations in which	5845
the proceeds of such funds may be invested pending their use,	5846
subject to limitations on investment of public funds otherwise	5847
provided for by law or charter or by the legislation;	5848

(b) The appointment, rights, powers, and duties of the fiscal	5849
agent, and vesting in the fiscal agent all or any of those rights,	5850
powers, and duties in trust;	5851

(c) Compliance with the provisions of this chapter and other	5852
laws applicable to the payment of debt charges on securities of	5853
the subdivision, including Chapter 5705. of the Revised Code;	5854

(d) Conditions that would give rise to an event of default	5855
under the terms of the legislation, and actions and remedies that	5856
any fiscal agent may take or assert on behalf of the holders of	5857
the securities.	5858

(4) As rights and remedies of the holders of securities, in	5859
addition to any other rights and remedies under law, but subject	5860
to the terms of the legislation and of any credit enhancement	5861
facility, provision that if the subdivision defaults in the	5862
payment of debt charges on the securities and such default	5863
continues for a period of thirty days, or if the subdivision fails	5864
or refuses to comply with the requirements of this chapter or the	5865
applicable proceedings, or defaults in any contract made with the	5866
holders of those securities, the holders of not less than	5867
twenty-five per cent in principal amount of the outstanding	5868
securities of that issue may appoint a trustee, who may be the	5869
fiscal agent, to represent those holders for the purposes provided	5870
in this division (B)(4). That trustee may, and upon written	5871
request of the holders of not less than twenty-five per cent in	5872
principal amount of those securities then outstanding shall, in	5873
its own name exercise all or any of the powers of such holders	5874
under division (B)(3) of this section and in addition may:	5875

(a) Bring action for payment of any debt charges then due on	5876
the securities;	5877

(b) By mandamus or other action or proceeding enforce all	5878
rights of the holders of the securities, including any right to	5879
require the subdivision to assess, levy, charge, collect, and	5880
apply pledged receipts adequate to carry out the provisions of the	5881
legislation and any agreement with those holders and to perform	5882
its duties under the legislation and this chapter;	5883

(c) Bring action upon the securities;

5884

(d) By action, require the subdivision to account as if it	5885
were the trustee of an express trust for the holders of the	5886
securities;	5887

(e) By action, enjoin any acts or things that may be unlawful	5888
or in violation of the rights of the holders of those securities;	5889

(f) Except in the case of securities payable from a property	5890
tax, declare all securities of the issue due and payable, and if	5891
all defaults are subsequently corrected, then, with the consent of	5892
the holders of not less than ten per cent in principal amount of	5893
those securities then outstanding, rescind and annul that	5894
declaration and its consequences.	5895

In addition to the foregoing, the trustee shall have all of	5896
the powers necessary or appropriate for the exercise of any	5897
functions specifically set forth in this section or the	5898
legislation or incident to the general representation of the	5899
holders of those securities in the enforcement and protection of	5900
their rights.	5901

(5) Contracts or other arrangements for credit enhancement	5902
facilities, which may be with a fiscal agent. The costs of or	5903
under credit enhancement facilities may be paid from any moneys of	5904
the subdivision lawfully available for the purpose. The credit	5905
enhancement facility may be for the benefit of holders of the	5906
particular securities and of any other securities of the	5907
subdivision. Any such benefit conferred with respect to other	5908
securities shall not be deemed to restrict, preclude, or otherwise	5909
impair any rights that those holders otherwise may assert.	5910

(C) Unless otherwise provided in the proceedings, the holders	5911
of not less than ten per cent in principal amount of the	5912
particular securities at the time outstanding, whether or not then	5913
due and payable or reduced to judgment and either on their own	5914
behalf or on behalf of all persons similarly situated, may:	5915

(1) By mandamus, mandatory or other injunction, or any other	5916
order, writ, process, or decree, or by any other action or	5917
proceeding, enforce all contractual or other rights of such	5918
holders, including any right to require the subdivision to assess,	5919
levy, charge, collect, and apply the pledged receipts pledged to	5920
carry out the provisions of any agreement with such holders and	5921
perform its duties under the legislation and this chapter;	5922

(2) In the case of default in payment of debt charges on	5923
their securities, commence an action upon their securities to	5924
require the subdivision to account as if it were the trustee of an	5925
express trust for those holders or to enjoin any acts or things	5926
that may be unlawful or in violation of the rights of those	5927
holders.	5928

(D) The state pledges to and agrees with the holders of	5929
Chapter 133. securities that the state will not, by enacting any	5930
law or adopting any rule, repeal, revoke, repudiate, limit, alter,	5931
stay, suspend, or otherwise reduce, rescind, or impair the power	5932
or duty of a subdivision to exercise, perform, carry out, and	5933
fulfill its responsibilities or covenants under this chapter or	5934
legislation or agreements as to its Chapter 133. securities,	5935
including a credit enhancement facility, passed or entered into	5936
pursuant to this chapter, or repeal, revoke, repudiate, limit,	5937
alter, stay, suspend, or otherwise reduce, rescind, or impair the	5938
rights and remedies of any such holders fully to enforce such	5939
responsibilities, covenants, and agreements or to enforce the	5940
pledge and agreement of the state contained in this division, or	5941
otherwise exercise any sovereign power materially impairing or	5942
materially inconsistent with the provisions of such legislation,	5943
covenants, and agreements. The general assembly determines and	5944
declares that the provisions of this chapter and the powers and	5945
duties of subdivisions authorized and imposed under this chapter	5946
are proper, reasonable, and appropriate means by which the state	5947
can and should exercise and has exercised its duties and powers	5948
under the Ohio Constitution, and that those provisions are	5949
necessary and in the public interest and a proper means to better	5950
provide for the security for, and market reception for the	5951
purchase of, those securities. This pledge and agreement shall be	5952
of no force and effect as to securities that are not outstanding.	5953
This pledge and agreement by the state may be temporarily	5954
suspended upon the declaration of martial law in the subdivision	5955
in the event of circumstances deriving directly out of a natural	5956
disaster, such as an earthquake or major conflagration or flood	5957
but not a snowstorm or civil disturbance, or out of military	5958
invasions or civil insurrections, but not strikes or crises	5959
created by financial or economic events. Payment for securities by	5960
the original and subsequent holders shall be deemed conclusive	5961
evidence of valuable consideration received by the state and	5962
subdivision for this pledge and agreement, and any action by the	5963
state contrary to or inconsistent with this division is void as	5964
applied to those securities. The state hereby grants any such	5965
benefited holder the right to sue the state and enforce this	5966
pledge and agreement, and waives all rights of defense based on	5967
sovereign immunity or sovereign power in such an action or suit,	5968
it being expressly determined and declared that the continued	5969
integrity of the contract of any such holder is essential to the	5970
continued right of the subdivision to issue and pay debt charges	5971
on securities as a subdivision of the state. Nothing in this	5972
division requires the state to continue any particular level of	5973
appropriations of moneys, or precludes the state from authorizing	5974
the subdivision to exercise, or the subdivision from exercising,	5975
subject to approval of the tax commissioner, any power provided by	5976
law to seek application of laws then in effect under the	5977
bankruptcy provisions of the United States Constitution but in any	5978
case providing for debt charges as provided in section 133.36 of	5979
the Revised Code, or to preclude the state from further exercise	5980
of any of its powers and responsibilities under the Ohio	5981
Constitution.	5982

(E) Moneys and investments held by the subdivision or a	5983
paying agent or a fiscal agent, and all receipts of the	5984
subdivision, needed and allocated to payment of debt charges or	5985
payments by the subdivision under credit enhancement facilities,	5986
are property of the subdivision devoted to essential governmental	5987
purposes and accordingly shall not be applied to any purpose other	5988
than as provided in this chapter and in the legislation, and shall	5989
not be subject to any order, judgment, lien, execution,	5990
attachment, setoff, or counterclaim by any creditor or judgment	5991
creditor, as a result of a tort judgment or otherwise, of the	5992
subdivision other than the holders of the securities or the	5993
provider of the credit enhancement facility who are entitled	5994
thereto pursuant to this chapter and the legislation.	5995

Sec. 135.35.  (A) The investing authority shall deposit or	5996
invest any part or all of the county's inactive moneys and shall	5997
invest all of the money in the county library and local government	5998
supportlibraries fund when required by section 135.352 of the	5999
Revised Code. The following classifications of securities and	6000
obligations are eligible for such deposit or investment:	6001

(1) United States treasury bills, notes, bonds, or any other	6002
obligation or security issued by the United States treasury, any	6003
other obligation guaranteed as to principal or interest by the	6004
United States, or any book entry, zero-coupon United States	6005
treasury security that is a direct obligation of the United	6006
States.	6007

Nothing in the classification of eligible securities and	6008
obligations set forth in divisions (A)(2) to (11) of this section	6009
shall be construed to authorize any investment in stripped	6010
principal or interest obligations of such eligible securities and	6011
obligations.	6012

(2) Bonds, notes, debentures, or any other obligations or	6013
securities issued by any federal government agency or	6014
instrumentality, including but not limited to, the federal	6015
national mortgage association, federal home loan bank, federal	6016
farm credit bank, federal home loan mortgage corporation,	6017
government national mortgage association, and student loan	6018
marketing association. All federal agency securities shall be	6019
direct issuances of federal government agencies or	6020
instrumentalities.	6021

(3) Time certificates of deposit or savings or deposit	6022
accounts, including, but not limited to, passbook accounts, in any	6023
eligible institution mentioned in section 135.32 of the Revised	6024
Code;	6025

(4) Bonds and other obligations of this state or the	6026
political subdivisions of this state, provided that such political	6027
subdivisions are located wholly or partly within the same county	6028
as the investing authority;	6029

(5) No-load money market mutual funds consisting exclusively	6030
of obligations described in division (A)(1) or (2) of this section	6031
and repurchase agreements secured by such obligations, provided	6032
that investments in securities described in this division are made	6033
only through eligible institutions mentioned in section 135.32 of	6034
the Revised Code;	6035

(6) The Ohio subdivision's fund as provided in section 135.45	6036
of the Revised Code;	6037

(7) Securities lending agreements with any eligible	6038
institution mentioned in section 135.32 of the Revised Code that	6039
is a member of the federal reserve system or federal home loan	6040
bank or with any recognized United States government securities	6041
dealer meeting the description in division (J)(1) of this section,	6042
under the terms of which agreements the investing authority lends	6043
securities and the eligible institution or dealer agrees to	6044
simultaneously exchange similar securities or cash, equal value	6045
for equal value.	6046

Securities and cash received as collateral for a securities	6047
lending agreement are not inactive moneys of the county or moneys	6048
of a county library and local government supportlibraries fund.	6049
The investment of cash collateral received pursuant to a	6050
securities lending agreement may be invested only in instruments	6051
specified by the investing authority in the written investment	6052
policy described in division (K) of this section.	6053

(8) Up to twenty-five per cent of the county's total average	6054
portfolio in either of the following investments:	6055

(a) Commercial paper notes issued by an entity that is	6056
defined in division (D) of section 1705.01 of the Revised Code and	6057
that has assets exceeding five hundred million dollars, to which	6058
notes all of the following apply:	6059

(i) The notes are rated at the time of purchase in the	6060
highest classification established by at least two nationally	6061
recognized standard rating services.	6062

(ii) The aggregate value of the notes does not exceed ten per	6063
cent of the aggregate value of the outstanding commercial paper of	6064
the issuing corporation.	6065

(iii) The notes mature not later than two hundred seventy	6066
days after purchase.	6067

(b) Bankers acceptances of banks that are insured by the	6068
federal deposit insurance corporation and to which both of the	6069
following apply:	6070

(i) The obligations are eligible for purchase by the federal	6071
reserve system.	6072

(ii) The obligations mature not later than one hundred eighty	6073
days after purchase.	6074

No investment shall be made pursuant to division (A)(8) of	6075
this section unless the investing authority has completed	6076
additional training for making the investments authorized by	6077
division (A)(8) of this section. The type and amount of additional	6078
training shall be approved by the auditor of state and may be	6079
conducted by or provided under the supervision of the auditor of	6080
state.	6081

(9) Up to fifteen per cent of the county's total average	6082
portfolio in notes issued by corporations that are incorporated	6083
under the laws of the United States and that are operating within	6084
the United States, or by depository institutions that are doing	6085
business under authority granted by the United States or any state	6086
and that are operating within the United States, provided both of	6087
the following apply:	6088

(a) The notes are rated in the second highest or higher	6089
category by at least two nationally recognized standard rating	6090
services at the time of purchase.	6091

(b) The notes mature not later than two years after purchase.

6092

(10) No-load money market mutual funds rated in the highest	6093
category at the time of purchase by at least one nationally	6094
recognized standard rating service and consisting exclusively of	6095
obligations described in division (A)(1), (2), or (6) of section	6096
135.143 of the Revised Code;	6097

(11) Debt interests rated at the time of purchase in the	6098
three highest categories by two nationally recognized standard	6099
rating services and issued by foreign nations diplomatically	6100
recognized by the United States government. All interest and	6101
principal shall be denominated and payable in United States funds.	6102
The investments made under division (A)(11) of this section shall	6103
not exceed in the aggregate one per cent of a county's total	6104
average portfolio.	6105

The investing authority shall invest under division (A)(11)	6106
of this section in a debt interest issued by a foreign nation only	6107
if the debt interest is backed by the full faith and credit of	6108
that foreign nation, there is no prior history of default, and the	6109
debt interest matures not later than five years after purchase.	6110
For purposes of division (A)(11) of this section, a debt interest	6111
is rated in the three highest categories by two nationally	6112
recognized standard rating services if either the debt interest	6113
itself or the issuer of the debt interest is rated, or is	6114
implicitly rated, at the time of purchase in the three highest	6115
categories by two nationally recognized standard rating services.	6116

(B) Nothing in the classifications of eligible obligations	6117
and securities set forth in divisions (A)(1) to (11) of this	6118
section shall be construed to authorize investment in a	6119
derivative, and no investing authority shall invest any county	6120
inactive moneys or any moneys in a county library and local	6121
government supportlibraries fund in a derivative. For purposes of	6122
this division, "derivative" means a financial instrument or	6123
contract or obligation whose value or return is based upon or	6124
linked to another asset or index, or both, separate from the	6125
financial instrument, contract, or obligation itself. Any	6126
security, obligation, trust account, or other instrument that is	6127
created from an issue of the United States treasury or is created	6128
from an obligation of a federal agency or instrumentality or is	6129
created from both is considered a derivative instrument. An	6130
eligible investment described in this section with a variable	6131
interest rate payment, based upon a single interest payment or	6132
single index comprised of other eligible investments provided for	6133
in division (A)(1) or (2) of this section, is not a derivative,	6134
provided that such variable rate investment has a maximum maturity	6135
of two years. A treasury inflation-protected security shall not be	6136
considered a derivative, provided the security matures not later	6137
than five years after purchase.	6138

(C) Except as provided in division (D) of this section, any	6139
investment made pursuant to this section must mature within five	6140
years from the date of settlement, unless the investment is	6141
matched to a specific obligation or debt of the county or to a	6142
specific obligation or debt of a political subdivision of this	6143
state located wholly or partly within the county, and the	6144
investment is specifically approved by the investment advisory	6145
committee.	6146

(D) The investing authority may also enter into a written	6147
repurchase agreement with any eligible institution mentioned in	6148
section 135.32 of the Revised Code or any eligible securities	6149
dealer pursuant to division (J) of this section, under the terms	6150
of which agreement the investing authority purchases and the	6151
eligible institution or dealer agrees unconditionally to	6152
repurchase any of the securities listed in divisions (B)(1) to	6153
(5), except letters of credit described in division (B)(2), of	6154
section 135.18 of the Revised Code. The market value of securities	6155
subject to an overnight written repurchase agreement must exceed	6156
the principal value of the overnight written repurchase agreement	6157
by at least two per cent. A written repurchase agreement must	6158
exceed the principal value of the overnight written repurchase	6159
agreement, by at least two per cent. A written repurchase	6160
agreement shall not exceed thirty days, and the market value of	6161
securities subject to a written repurchase agreement must exceed	6162
the principal value of the written repurchase agreement by at	6163
least two per cent and be marked to market daily. All securities	6164
purchased pursuant to this division shall be delivered into the	6165
custody of the investing authority or the qualified custodian of	6166
the investing authority or an agent designated by the investing	6167
authority. A written repurchase agreement with an eligible	6168
securities dealer shall be transacted on a delivery versus payment	6169
basis. The agreement shall contain the requirement that for each	6170
transaction pursuant to the agreement the participating	6171
institution shall provide all of the following information:	6172

(1) The par value of the securities;

6173

(2) The type, rate, and maturity date of the securities;

6174

(3) A numerical identifier generally accepted in the	6175
securities industry that designates the securities.	6176

No investing authority shall enter into a written repurchase	6177
agreement under the terms of which the investing authority agrees	6178
to sell securities owned by the county to a purchaser and agrees	6179
with that purchaser to unconditionally repurchase those	6180
securities.	6181

(E) No investing authority shall make an investment under	6182
this section, unless the investing authority, at the time of	6183
making the investment, reasonably expects that the investment can	6184
be held until its maturity. The investing authority's written	6185
investment policy shall specify the conditions under which an	6186
investment may be redeemed or sold prior to maturity.	6187

(F) No investing authority shall pay a county's inactive	6188
moneys or moneys of a county library and local government support	6189
libraries fund into a fund established by another subdivision,	6190
treasurer, governing board, or investing authority, if that fund	6191
was established by the subdivision, treasurer, governing board, or	6192
investing authority for the purpose of investing or depositing the	6193
public moneys of other subdivisions. This division does not apply	6194
to the payment of public moneys into either of the following:	6195

(1) The Ohio subdivision's fund pursuant to division (A)(6)	6196
of this section;	6197

(2) A fund created solely for the purpose of acquiring,	6198
constructing, owning, leasing, or operating municipal utilities	6199
pursuant to the authority provided under section 715.02 of the	6200
Revised Code or Section 4 of Article XVIII, Ohio Constitution.	6201

For purposes of division (F) of this section, "subdivision"	6202
includes a county.	6203

(G) The use of leverage, in which the county uses its current	6204
investment assets as collateral for the purpose of purchasing	6205
other assets, is prohibited. The issuance of taxable notes for the	6206
purpose of arbitrage is prohibited. Contracting to sell securities	6207
not owned by the county, for the purpose of purchasing such	6208
securities on the speculation that bond prices will decline, is	6209
prohibited.	6210

(H) Any securities, certificates of deposit, deposit	6211
accounts, or any other documents evidencing deposits or	6212
investments made under authority of this section shall be issued	6213
in the name of the county with the county treasurer or investing	6214
authority as the designated payee. If any such deposits or	6215
investments are registrable either as to principal or interest, or	6216
both, they shall be registered in the name of the treasurer.	6217

(I) The investing authority shall be responsible for the	6218
safekeeping of all documents evidencing a deposit or investment	6219
acquired under this section, including, but not limited to,	6220
safekeeping receipts evidencing securities deposited with a	6221
qualified trustee, as provided in section 135.37 of the Revised	6222
Code, and documents confirming the purchase of securities under	6223
any repurchase agreement under this section shall be deposited	6224
with a qualified trustee, provided, however, that the qualified	6225
trustee shall be required to report to the investing authority,	6226
auditor of state, or an authorized outside auditor at any time	6227
upon request as to the identity, market value, and location of the	6228
document evidencing each security, and that if the participating	6229
institution is a designated depository of the county for the	6230
current period of designation, the securities that are the subject	6231
of the repurchase agreement may be delivered to the treasurer or	6232
held in trust by the participating institution on behalf of the	6233
investing authority.	6234

Upon the expiration of the term of office of an investing	6235
authority or in the event of a vacancy in the office for any	6236
reason, the officer or the officer's legal representative shall	6237
transfer and deliver to the officer's successor all documents	6238
mentioned in this division for which the officer has been	6239
responsible for safekeeping. For all such documents transferred	6240
and delivered, the officer shall be credited with, and the	6241
officer's successor shall be charged with, the amount of moneys	6242
evidenced by such documents.	6243

(J)(1) All investments, except for investments in securities	6244
described in divisions (A)(5) and (6) of this section, shall be	6245
made only through a member of the national association of	6246
securities dealers, through a bank, savings bank, or savings and	6247
loan association regulated by the superintendent of financial	6248
institutions, or through an institution regulated by the	6249
comptroller of the currency, federal deposit insurance	6250
corporation, or board of governors of the federal reserve system.	6251

(2) Payment for investments shall be made only upon the	6252
delivery of securities representing such investments to the	6253
treasurer, investing authority, or qualified trustee. If the	6254
securities transferred are not represented by a certificate,	6255
payment shall be made only upon receipt of confirmation of	6256
transfer from the custodian by the treasurer, governing board, or	6257
qualified trustee.	6258

(K)(1) Except as otherwise provided in division (K)(2) of	6259
this section, no investing authority shall make an investment or	6260
deposit under this section, unless there is on file with the	6261
auditor of state a written investment policy approved by the	6262
investing authority. The policy shall require that all entities	6263
conducting investment business with the investing authority shall	6264
sign the investment policy of that investing authority. All	6265
brokers, dealers, and financial institutions, described in	6266
division (J)(1) of this section, initiating transactions with the	6267
investing authority by giving advice or making investment	6268
recommendations shall sign the investing authority's investment	6269
policy thereby acknowledging their agreement to abide by the	6270
policy's contents. All brokers, dealers, and financial	6271
institutions, described in division (J)(1) of this section,	6272
executing transactions initiated by the investing authority,	6273
having read the policy's contents, shall sign the investment	6274
policy thereby acknowledging their comprehension and receipt.	6275

(2) If a written investment policy described in division	6276
(K)(1) of this section is not filed on behalf of the county with	6277
the auditor of state, the investing authority of that county shall	6278
invest the county's inactive moneys and moneys of the county	6279
library and local government supportlibraries fund only in time	6280
certificates of deposits or savings or deposit accounts pursuant	6281
to division (A)(3) of this section, no-load money market mutual	6282
funds pursuant to division (A)(5) of this section, or the Ohio	6283
subdivision's fund pursuant to division (A)(6) of this section.	6284

(L)(1) The investing authority shall establish and maintain	6285
an inventory of all obligations and securities acquired by the	6286
investing authority pursuant to this section. The inventory shall	6287
include a description of each obligation or security, including	6288
type, cost, par value, maturity date, settlement date, and any	6289
coupon rate.	6290

(2) The investing authority shall also keep a complete record	6291
of all purchases and sales of the obligations and securities made	6292
pursuant to this section.	6293

(3) The investing authority shall maintain a monthly	6294
portfolio report and issue a copy of the monthly portfolio report	6295
describing such investments to the county investment advisory	6296
committee, detailing the current inventory of all obligations and	6297
securities, all transactions during the month that affected the	6298
inventory, any income received from the obligations and	6299
securities, and any investment expenses paid, and stating the	6300
names of any persons effecting transactions on behalf of the	6301
investing authority.	6302

(4) The monthly portfolio report shall be a public record and	6303
available for inspection under section 149.43 of the Revised Code.	6304

(5) The inventory and the monthly portfolio report shall be	6305
filed with the board of county commissioners.	6306

(M) An investing authority may enter into a written	6307
investment or deposit agreement that includes a provision under	6308
which the parties agree to submit to nonbinding arbitration to	6309
settle any controversy that may arise out of the agreement,	6310
including any controversy pertaining to losses of public moneys	6311
resulting from investment or deposit. The arbitration provision	6312
shall be set forth entirely in the agreement, and the agreement	6313
shall include a conspicuous notice to the parties that any party	6314
to the arbitration may apply to the court of common pleas of the	6315
county in which the arbitration was held for an order to vacate,	6316
modify, or correct the award. Any such party may also apply to the	6317
court for an order to change venue to a court of common pleas	6318
located more than one hundred miles from the county in which the	6319
investing authority is located.	6320

For purposes of this division, "investment or deposit	6321
agreement" means any agreement between an investing authority and	6322
a person, under which agreement the person agrees to invest,	6323
deposit, or otherwise manage, on behalf of the investing	6324
authority, a county's inactive moneys or moneys in a county	6325
library and local government supportlibraries fund, or agrees to	6326
provide investment advice to the investing authority.	6327

(N) An investment held in the county portfolio on September	6328
27, 1996, that was a legal investment under the law as it existed	6329
before September 27, 1996, may be held until maturity, or if the	6330
investment does not have a maturity date the investment may be	6331
held until five years from September 27, 1996, regardless of	6332
whether the investment would qualify as a legal investment under	6333
the terms of this section as amended.	6334

Sec. 135.352.  The investment authority shall invest all	6335
moneys in the county library and local government support	6336
libraries fund that are not distributed due to an appeal of the	6337
budget commission's allocation of such fund. Interest earned on	6338
such investments shall be credited to the fund and distributed in	6339
accordance with section 5747.48 of the Revised Code.	6340

Sec. 151.08.  This section applies to obligations as defined	6341
in this section.	6342

(A) As used in this section:

6343

(1) "Capital facilities" or "capital improvement projects"	6344
means the acquisition, construction, reconstruction, improvement,	6345
planning, and equipping of roads and bridges, waste water	6346
treatment systems, water supply systems, solid waste disposal	6347
facilities, flood control systems, and storm water and sanitary	6348
collection, storage, and treatment facilities, including real	6349
property, interests in real property, facilities, and equipment	6350
related or incidental to those facilities.	6351

(2) "Costs of capital facilities" include related direct	6352
administrative expenses and allocable portions of direct costs of	6353
the Ohio public works commission and the local subdivision.	6354

(3) "Local subdivision" means any county, municipal	6355
corporation, township, sanitary district, or regional water and	6356
sewer district.	6357

(4) "Obligations" means obligations as defined in section	6358
151.01 of the Revised Code issued to pay costs of capital	6359
facilities.	6360

(B)(1) The issuing authority shall issue obligations to pay	6361
costs of financing or assisting in the financing of the capital	6362
improvement projects of local subdivisions pursuant to Section 2m	6363
of Article VIII, Ohio Constitution, section 151.01 of the Revised	6364
Code, and this section. Not more than one hundred twenty million	6365
dollars principal amount of obligations, plus the principal amount	6366
of obligations that in any prior fiscal years could have been, but	6367
were not, issued within that one-hundred-twenty-million dollar	6368
fiscal year limit, may be issued in any fiscal year. Not more than	6369
one billion two hundred million dollars principal amount of	6370
obligations pursuant to Section 2m of Article VIII, Ohio	6371
Constitution may be issued for the purposes of this section and	6372
division (B)(2) of section 164.09 of the Revised Code.	6373

(2) The issuing authority shall issue obligations to pay	6374
costs of financing or assisting in the financing of the capital	6375
improvement projects of local subdivisions pursuant to Section 2p	6376
of Article VIII, Ohio Constitution, section 151.01 of the Revised	6377
Code, and this section. Not more than one hundred twenty million	6378
dollars in principal amount of such obligations may be issued in	6379
any of the first five fiscal years of issuance and not more than	6380
one hundred fifty million dollars in principal amount of such	6381
obligations may be issued in any of the next five fiscal years,	6382
plus in each case the principal amount of such obligations that in	6383
any prior fiscal year could have been but were not issued within	6384
those fiscal year limits. No obligations shall be issued for the	6385
purposes of this section pursuant to Section 2p of Article VIII,	6386
Ohio Constitution, until at least one billion one hundred	6387
ninety-nine million five hundred thousand dollars aggregate	6388
principal amount of obligations have been issued pursuant to	6389
Section 2m of Article VIII, Ohio Constitution. Not more than one	6390
billion three hundred fifty million dollars principal amount of	6391
obligations may be issued pursuant to Section 2p of Article VIII,	6392
Ohio Constitution for the purposes of this section.	6393

(C) Net proceeds of obligations shall be deposited into the	6394
state capital improvements fund created by section 164.08 of the	6395
Revised Code.	6396

(D) There is hereby created in the state treasury the "state	6397
capital improvements bond service fund." All moneys received by	6398
the state and required by the bond proceedings, consistent with	6399
this section and section 151.01 of the Revised Code, to be	6400
deposited, transferred, or credited to the bond service fund, and	6401
all other moneys transferred or allocated to or received for the	6402
purposes of that fund, shall be deposited and credited to the bond	6403
service fund, subject to any applicable provisions of the bond	6404
proceedings but without necessity for any act of appropriation.	6405
During the period beginning with the date of the first issuance of	6406
obligations and continuing during the time that any obligations	6407
are outstanding in accordance with their terms, so long as moneys	6408
in the bond service fund are insufficient to pay debt service when	6409
due on those obligations payable from that fund (except the	6410
principal amounts of bond anticipation notes payable from the	6411
proceeds of renewal notes or bonds anticipated) and due in the	6412
particular fiscal year, a sufficient amount of revenues of the	6413
state is committed and, without necessity for further act of	6414
appropriation, shall be paid to the bond service fund for the	6415
purpose of paying that debt service when due.	6416

Sec. 151.40. (A) As used in this section:

6417

(1) "Bond proceedings" includes any trust agreements, and any	6418
amendments or supplements to them, as authorized by this section.	6419

(2) "Costs of revitalization projects" includes related	6420
direct administrative expenses and allocable portions of the	6421
direct costs of those projects of the department of development or	6422
the environmental protection agency.	6423

(3) "Issuing authority" means the treasurer of state.

6424

(4) "Obligations" means obligations as defined in section	6425
151.01 of the Revised Code issued to pay the costs of projects for	6426
revitalization purposes as referred to in division (A)(2) of	6427
Section 2o of Article VIII, Ohio Constitution.	6428

(5) "Pledged liquor profits" means all receipts of the state	6429
representing the gross profit on the sale of spirituous liquor, as	6430
referred to in division (B)(4) of section 4301.10 of the Revised	6431
Code, after paying all costs and expenses of the division of	6432
liquor control and providing an adequate working capital reserve	6433
for the division of liquor control as provided in that division,	6434
but excluding the sum required by the second paragraph of section	6435
4301.12 of the Revised Code, as it was in effect on May 2, 1980,	6436
to be paid into the state treasury.	6437

(6) "Pledged receipts" means, as and to the extent provided	6438
in bond proceedings:	6439

(a) Pledged liquor profits. The pledge of pledged liquor	6440
profits to obligations is subject to the priority of the pledge of	6441
those profits to obligations issued and to be issued pursuant to	6442
Chapter 166. of the Revised Code.	6443

(b) Moneys accruing to the state from the lease, sale, or	6444
other disposition or use of revitalization projects or from the	6445
repayment, including any interest, of loans or advances made from	6446
net proceeds;	6447

(c) Accrued interest received from the sale of obligations;

6448

(d) Income from the investment of the special funds;

6449

(e) Any gifts, grants, donations, or pledges, and receipts	6450
therefrom, available for the payment of debt service;	6451

(f) Additional or any other specific revenues or receipts	6452
lawfully available to be pledged, and pledged, pursuant to further	6453
authorization by the general assembly, to the payment of debt	6454
service.	6455

(B)(1) The issuing authority shall issue obligations of the	6456
state to pay costs of revitalization projects pursuant to division	6457
(B)(2) of Section 2o of Article VIII, Ohio Constitution, section	6458
151.01 of the Revised Code as applicable to this section, and this	6459
section. The issuing authority, upon the certification to it by	6460
the clean Ohio council of the amount of moneys needed in and for	6461
the purposes of the clean Ohio revitalization fund created by	6462
section 122.658 of the Revised Code, shall issue obligations in	6463
the amount determined by the issuing authority to be required for	6464
those purposes. Not more than two hundred million dollars	6465
principal amount of obligations issued under this section for	6466
revitalization purposes may be outstanding at any one time. Not	6467
more than fifty million dollars principal amount of obligations,	6468
plus the principal amount of obligations that in any prior fiscal	6469
year could have been, but were not issued within the	6470
fifty-million-dollar fiscal year limit, may be issued in any	6471
fiscal year.	6472

(2) The provisions and authorizations in section 151.01 of	6473
the Revised Code apply to the obligations and the bond proceedings	6474
except as otherwise provided or provided for in those obligations	6475
and bond proceedings.	6476

(C) Net proceeds of obligations shall be deposited in the	6477
clean Ohio revitalization fund created in section 122.658 of the	6478
Revised Code.	6479

(D) There is hereby created the revitalization projects bond	6480
service fund, which shall be in the custody of the treasurer of	6481
state, but shall be separate and apart from and not a part of the	6482
state treasury. All money received by the state and required by	6483
the bond proceedings, consistent with section 151.01 of the	6484
Revised Code and this section, to be deposited, transferred, or	6485
credited to the bond service fund, and all other money transferred	6486
or allocated to or received for the purposes of that fund, shall	6487
be deposited and credited to the bond service fund, subject to any	6488
applicable provisions of the bond proceedings, but without	6489
necessity for any act of appropriation. During the period	6490
beginning with the date of the first issuance of obligations and	6491
continuing during the time that any obligations are outstanding in	6492
accordance with their terms, so long as moneys in the bond service	6493
fund are insufficient to pay debt service when due on those	6494
obligations payable from that fund, except the principal amounts	6495
of bond anticipation notes payable from the proceeds of renewal	6496
notes or bonds anticipated, and due in the particular fiscal year,	6497
a sufficient amount of pledged receipts is committed and, without	6498
necessity for further act of appropriation, shall be paid to the	6499
bond service fund for the purpose of paying that debt service when	6500
due.	6501

(E) The issuing authority may pledge all, or such portion as	6502
the issuing authority determines, of the pledged receipts to the	6503
payment of the debt service charges on obligations issued under	6504
this section, and for the establishment and maintenance of any	6505
reserves, as provided in the bond proceedings, and make other	6506
provisions in the bond proceedings with respect to pledged	6507
receipts as authorized by this section, which provisions are	6508
controlling notwithstanding any other provisions of law pertaining	6509
to them.	6510

(F) The issuing authority may covenant in the bond	6511
proceedings, and such covenants shall be controlling	6512
notwithstanding any other provision of law, that the state and	6513
applicable officers and state agencies, including the general	6514
assembly, so long as any obligations issued under this section are	6515
outstanding, shall maintain statutory authority for and cause to	6516
be charged and collected wholesale or retail prices for spirituous	6517
liquor sold by the state or its agents so that the available	6518
pledged receipts are sufficient in time and amount to meet debt	6519
service payable from pledged liquor profits and for the	6520
establishment and maintenance of any reserves and other	6521
requirements provided for in the bond proceedings.	6522

(G) Obligations may be further secured, as determined by the	6523
issuing authority, by a trust agreement between the state and a	6524
corporate trustee, which may be any trust company or bank having	6525
its principala place of business within the state. Any trust	6526
agreement may contain the resolution or order authorizing the	6527
issuance of the obligations, any provisions that may be contained	6528
in any bond proceedings, and other provisions that are customary	6529
or appropriate in an agreement of that type, including, but not	6530
limited to:	6531

(1) Maintenance of each pledge, trust agreement, or other	6532
instrument comprising part of the bond proceedings until the state	6533
has fully paid or provided for the payment of debt service on the	6534
obligations secured by it;	6535

(2) In the event of default in any payments required to be	6536
made by the bond proceedings, enforcement of those payments or	6537
agreements by mandamus, the appointment of a receiver, suit in	6538
equity, action at law, or any combination of them;	6539

(3) The rights and remedies of the holders or owners of	6540
obligations and of the trustee and provisions for protecting and	6541
enforcing them, including limitations on rights of individual	6542
holders and owners.	6543

(H) The obligations shall not be general obligations of the	6544
state and the full faith and credit, revenue, and taxing power of	6545
the state shall not be pledged to the payment of debt service on	6546
them. The holders or owners of the obligations shall have no right	6547
to have any moneys obligated or pledged for the payment of debt	6548
service except as provided in this section and in the applicable	6549
bond proceedings. The rights of the holders and owners to payment	6550
of debt service are limited to all or that portion of the pledged	6551
receipts, and those special funds, pledged to the payment of debt	6552
service pursuant to the bond proceedings in accordance with this	6553
section, and each obligation shall bear on its face a statement to	6554
that effect.	6555

Sec. 152.31.  The Ohio building authority may construct and	6556
operate capital facilities for the housing of branches and	6557
agencies of state government, municipal corporations, counties, or	6558
other governmental entities, in any municipal corporation when the	6559
municipal corporation and the authority agree on a location and	6560
all of the following occur:	6561

(A) Two or more of such agencies or governmental entities	6562
submit to the authority an application requesting the authority to	6563
construct and operate capital facilities and expressing their	6564
intent to become the initial tenants of the capital facilities and	6565
to thereby occupy all of its available office space;	6566

(B) Any municipal corporation, county, township, or other	6567
governmental entities joining in the submission of an application	6568
pursuant to division (A) of this section further submits a lease	6569
committing it to occupy, for a period equal to the greater of	6570
twenty consecutive years from the date of initial occupancy or the	6571
term of any bonds issued by the authority for the capital	6572
facilities, the capital facilities that, through the application,	6573
it expressed its intent to initially occupy, and obligating it to	6574
pay such rent as the authority determines to be appropriate.	6575
Notwithstanding any other section of the Revised Code, any	6576
governmental entity may enter into such a lease and any such lease	6577
is legally sufficient to obligate the governmental entity for the	6578
term stated therein. Any such lease shall constitute an agreement	6579
described in division (E) of section 152.24 of the Revised Code.	6580

If rental payments required by a lease established pursuant	6581
to this division are not paid in accordance with the provision of	6582
such a lease, the funds which would otherwise be apportioned to	6583
the lessees from the county undivided local governmentcommunities	6584
fund, pursuant to sections 5747.51 to 5747.53 of the Revised Code,	6585
shall be reduced by the amount of rent payable to the authority.	6586
The county treasurer shall immediately pay the amount of such	6587
reductions to the authority.	6588

All rents charged by the authority for occupancy of such a	6589
capital facility shall be fixed and expended pursuant to section	6590
152.16 of the Revised Code. Any lease with the department of	6591
administrative services with respect to such a capital facility	6592
may provide for rental payments that satisfy the requirements of	6593
section 152.16 of the Revised Code, but the amount of any rentals	6594
paid by other tenants in the capital facility pursuant to leases	6595
with the authority shall be credited against such rental payments	6596
of the department of administrative services. Any lease with the	6597
department of administrative services or a using state agency may	6598
provide for the payment of rental payments that satisfy the	6599
requirements of section 152.16 of the Revised Code prior to	6600
initial occupancy of such capital facility. In the process of	6601
inviting bids and awarding contracts, the authority shall be	6602
guided by the procedures set forth in sections 153.01 to 153.20 of	6603
the Revised Code. Any provision of sections 152.21, 152.22, and	6604
152.26 of the Revised Code that applies to capital facilities	6605
described in section 152.19 of the Revised Code also applies to	6606
the capital facilities described in this section unless it is	6607
inconsistent with this section.	6608

Sec. 156.02.  The director of administrative services may	6609
contract with an energy services company, contractor, architect,	6610
professional engineer, or other person experienced in the design	6611
and implementation of energy conservation measures for a report	6612
containing an analysis and recommendations pertaining to the	6613
implementation of energy conservation measures that would	6614
significantly reduce energy consumption and operating costs in any	6615
buildings owned by the state and, upon request of its board of	6616
trustees or managing authority, any building owned by an	6617
institution of higher education as defined in section 3345.12 of	6618
the Revised Code. The report shall include estimates of all costs	6619
of such measures, including the costs of design, engineering,	6620
installation, maintenance, repairs, and debt service, and	6621
estimates of the amounts by which energy consumption and operating	6622
costs would be reduced.	6623

Sec. 164.03.  For the purpose of allocating the funds made	6624
available to finance public infrastructure capital improvement	6625
projects of local subdivisions through the issuance of general	6626
obligations of the state of Ohio pursuant to Section 2k or, 2m, or	6627
2p of Article VIII, Ohio Constitution, the state is divided into	6628
the following districts:	6629

District one. Cuyahoga county shall constitute district one.

6630

District two. Hamilton county shall constitute district two.

6631

District three. Franklin county shall constitute district	6632
three.	6633

District four. Montgomery county shall constitute district	6634
four.	6635

District five. Defiance, Erie, Fulton, Henry, Ottawa,	6636
Paulding, Sandusky, Williams, and Wood counties shall constitute	6637
district five.	6638

District six. Mahoning and Trumbull counties shall constitute	6639
district six.	6640

District seven. Ashtabula, Geauga, Lake, and Portage counties	6641
shall constitute district seven.	6642

District eight. Summit county shall constitute district	6643
eight.	6644

District nine. Lorain, Huron, and Medina counties shall	6645
constitute district nine.	6646

District ten. Butler, Clermont, Clinton, and Warren counties	6647
shall constitute district ten.	6648

District eleven. Champaign, Clark, Darke, Greene, Madison,	6649
Miami, Preble, and Union counties shall constitute district	6650
eleven.	6651

District twelve. Lucas county shall constitute district	6652
twelve.	6653

District thirteen. Allen, Auglaize, Hancock, Logan, Mercer,	6654
Putnam, Shelby, and Van Wert counties shall constitute district	6655
thirteen.	6656

District fourteen. Carroll, Columbiana, Coshocton, Guernsey,	6657
Harrison, Holmes, Jefferson, and Tuscarawas counties shall	6658
constitute district fourteen.	6659

District fifteen. Adams, Brown, Fayette, Gallia, Highland,	6660
Jackson, Lawrence, Pike, Ross, Scioto, and Vinton counties shall	6661
constitute district fifteen.	6662

District sixteen. Ashland, Crawford, Hardin, Marion,	6663
Richland, Seneca, Wayne, and Wyandot counties shall constitute	6664
district sixteen.	6665

District seventeen. Delaware, Fairfield, Knox, Licking,	6666
Morrow, and Pickaway counties shall constitute district seventeen.	6667

District eighteen. Athens, Belmont, Hocking, Meigs, Monroe,	6668
Morgan, Muskingum, Noble, Perry, and Washington counties shall	6669
constitute district eighteen.	6670

District nineteen. Stark county shall constitute district	6671
nineteen.	6672

Sec. 164.05.  (A) The director of the Ohio public works	6673
commission shall do all of the following:	6674

(1) Approve requests for financial assistance from district	6675
public works integrating committees and enter into agreements with	6676
one or more local subdivisions to provide loans, grants, and local	6677
debt support and credit enhancements for a capital improvement	6678
project if the director determines that:	6679

(a) The project is an eligible project pursuant to this	6680
chapter;	6681

(b) The financial assistance for the project has been	6682
properly approved and requested by the district committee of the	6683
district which includes the recipient of the loan or grant;	6684

(c) The amount of the financial assistance, when added to all	6685
other financial assistance provided during the fiscal year for	6686
projects within the district, does not exceed that district's	6687
allocation of money from the state capital improvements fund for	6688
that fiscal year;	6689

(d) The district committee has provided such documentation	6690
and other evidence as the director may require that the district	6691
committee has satisfied the requirements of section 164.06 or	6692
164.14 of the Revised Code;	6693

(e) The portion of a district's annual allocation which the	6694
director approves in the form of loans and local debt support and	6695
credit enhancements for eligible projects is consistent with	6696
divisions (E) and (F) of this section.	6697

(2) Authorize payments to local subdivisions or their	6698
contractors for costs incurred for capital improvement projects	6699
which have been approved pursuant to this chapter. All requests	6700
for payments shall be submitted to the director on forms and in	6701
accordance with procedures specified in rules adopted by the	6702
director pursuant to division (A)(4) of this section.	6703

(3) Retain the services of or employ financial consultants,	6704
engineers, accountants, attorneys, and such other employees as the	6705
director determines are necessary to carry out the director's	6706
duties under this chapter and fix the compensation for their	6707
services;	6708

(4) Adopt rules establishing the procedures for making	6709
applications, reviewing, approving, and rejecting projects for	6710
which assistance is authorized under this chapter, and any other	6711
rules needed to implement the provisions of this chapter. Such	6712
rules shall be adopted under Chapter 119. of the Revised Code.	6713

(5) Provide information and other assistance to local	6714
subdivisions and district public works integrating committees in	6715
developing their requests for financial assistance for capital	6716
improvements under this chapter and encourage cooperation and	6717
coordination of requests and the development of multisubdivision	6718
and multidistrict projects in order to maximize the benefits that	6719
may be derived by districts from each year's allocation;	6720

(6) Require local subdivisions, to the extent practicable, to	6721
use Ohio products, materials, services, and labor in connection	6722
with any capital improvement project financed in whole or in part	6723
under this chapter;	6724

(7) Notify the director of budget and management of all	6725
approved projects, and supply all information necessary to track	6726
approved projects through the state accounting system;	6727

(8) Appoint the administrator of the Ohio small government	6728
capital improvements commission;	6729

(9) Do all other acts, enter into contracts, and execute all	6730
instruments necessary or appropriate to carry out this chapter;	6731

(10) Develop a standardized methodology for evaluating	6732
capital improvement needs which will be used by local subdivisions	6733
in preparing the plans required by division (C) of section 164.06	6734
of the Revised Code. The director shall develop this methodology	6735
not later than July 1, 1991.	6736

(11) Establish a program to provide local subdivisions with	6737
technical assistance in preparing project applications. The	6738
program shall be designed to assist local subdivisions that lack	6739
the financial or technical resources to prepare project	6740
applications on their own.	6741

(B) When the director of the Ohio public works commission	6742
decides to conditionally approve or disapprove projects, the	6743
director's decisions and the reasons for which they are made shall	6744
be made in writing. These written decisions shall be conclusive	6745
for the purposes of the validity and enforceability of such	6746
determinations.	6747

(C) Fees, charges, rates of interest, times of payment of	6748
interest and principal, and other terms, conditions, and	6749
provisions of and security for financial assistance provided	6750
pursuant to the provisions of this chapter shall be such as the	6751
director determines to be appropriate. If any payments required by	6752
a loan agreement entered into pursuant to this chapter are not	6753
paid, the funds which would otherwise be apportioned to the local	6754
subdivision from the county undivided local governmentcommunities	6755
fund, pursuant to sections 5747.51 to 5747.53 of the Revised Code,	6756
may, at the direction of the director of the Ohio public works	6757
commission, be reduced by the amount payable. The county treasurer	6758
shall, at the direction of the director, pay the amount of such	6759
reductions to the state capital improvements revolving loan fund.	6760
The director may renegotiate a loan repayment schedule with a	6761
local subdivision whose payments from the county undivided local	6762
governmentcommunities fund could be reduced pursuant to this	6763
division, but such a renegotiation may occur only one time with	6764
respect to any particular loan agreement.	6765

(D) Grants approved for the repair and replacement of	6766
existing infrastructure pursuant to this chapter shall not exceed	6767
ninety per cent of the estimated total cost of the capital	6768
improvement project. Grants approved for new or expanded	6769
infrastructure shall not exceed fifty per cent of the estimated	6770
cost of the new or expansion elements of the capital improvement	6771
project. A local subdivision share of the estimated cost of a	6772
capital improvement may consist of any of the following:	6773

(1) The reasonable value, as determined by the director or	6774
the administrator, of labor, materials, and equipment that will be	6775
contributed by the local subdivision in performing the capital	6776
improvement project;	6777

(2) Moneys received by the local subdivision in any form from	6778
an authority, commission, or agency of the United States for use	6779
in performing the capital improvement project;	6780

(3) Loans made to the local subdivision under this chapter;

6781

(4) Engineering costs incurred by the local subdivision in	6782
performing engineering activities related to the project.	6783

A local subdivision share of the cost of a capital	6784
improvement shall not include any amounts awarded to it from the	6785
local transportation improvement program fund created in section	6786
164.14 of the Revised Code.	6787

(E) The following portion of a district public works	6788
integrating committee's annual allocation share pursuant to	6789
section 164.08 of the Revised Code may be awarded to subdivisions	6790
only in the form of interest-free, low-interest, market rate of	6791
interest, or blended-rate loans:	6792

	YEAR IN WHICH		PORTION USED FOR		6793
	MONEYS ARE ALLOCATED		LOANS		6794
	Year 1		0%		6795
	Year 2		0%		6796
	Year 3		10%		6797
	Year 4		12%		6798
	Year 5		15%		6799
	Year 6		20%		6800
	Year 7, 8, 9, and 10		22%		6801

(F) The following portion of a district public works	6802
integrating committee's annual allocation pursuant to section	6803
164.08 of the Revised Code shall be awarded to subdivisions in the	6804
form of local debt supported and credit enhancements:	6805

			PORTIONS USED FOR		6806
	YEAR IN WHICH		LOCAL DEBT SUPPORT		6807
	MONEYS ARE ALLOCATED		AND CREDIT ENHANCEMENTS		6808
	Year 1		0%		6809
	Year 2		0%		6810
	Year 3		3%		6811
	Year 4		5%		6812
	Year 5		5%		6813
	Year 6		7%		6814
	Year 7		7%		6815
	Year 8		8%		6816
	Year 9		8%		6817
	Year 10		8%		6818

(G) For the period commencing on March 29, 1988 and ending on	6819
June 30, 1993, for the period commencing July 1, 1993, and ending	6820
June 30, 1999, and for each five-year period thereafter, the total	6821
amount of financial assistance awarded under sections 164.01 to	6822
164.08 of the Revised Code for capital improvement projects	6823
located wholly or partially within a county shall be equal to at	6824
least thirty per cent of the amount of what the county would have	6825
been allocated from the obligations authorized to be sold under	6826
this chapter during each period, if such amounts had been	6827
allocable to each county on a per capita basis.	6828

(H) The amount of the annual allocations made pursuant to	6829
divisions (B)(1) and (6) of section 164.08 of the Revised Code	6830
which can be used for new or expanded infrastructure is limited as	6831
follows:	6832

			PORTION WHICH MAY		6833
	YEAR IN WHICH		BE USED FOR NEW OR		6834
	MONEYS ARE ALLOCATED		EXPANSION INFRASTRUCTURE		6835
	Year 1		5%		6836
	Year 2		5%		6837
	Year 3		10%		6838
	Year 4		10%		6839
	Year 5		10%		6840
	Year 6		15%		6841
	Year 7		15%		6842
	Year 8		20%		6843
	Year 9		20%		6844
	Year 10 and each year				6845
	thereafter		20%		6846

(I) The following portion of a district public works	6847
integrating committee's annual allocation share pursuant to	6848
section 164.08 of the Revised Code shall be awarded to	6849
subdivisions in the form of interest-free, low-interest, market	6850
rate of interest, or blended-rate loans, or local debt support and	6851
credit enhancements:	6852

	PORTION USED FOR LOANS		6853
YEAR IN WHICH	OR LOCAL DEBT SUPPORT		6854
MONEYS ARE ALLOCATED	AND CREDIT ENHANCEMENTS		6855
Year 11 and each year			6856
thereafter	20%		6857

(J) No project shall be approved under this section unless	6858
the project is designed to have a useful life of at least seven	6859
years. In addition, the average useful life of all projects for	6860
which grants or loans are awarded in each district during a	6861
program year shall not be less than twenty years.	6862

Sec. 164.051.  (A) The administrator of the Ohio small	6863
government capital improvements commission shall review projects	6864
submitted to himthe administrator by subcommittees of district	6865
public works integrating committees in accordance with section	6866
164.06 of the Revised Code. If hethe administrator determines	6867
that a project satisfies the criteria of division (B) of that	6868
section, while taking into consideration the special needs of	6869
villages and townships, the administrator shall recommend to the	6870
Ohio small government capital improvements commission that the	6871
project be approved. If hethe administrator determines that a	6872
project should not be approved or that a decision on the project	6873
should be delayed, such determinations and an explanation should	6874
also be sent to the Ohio small government capital improvements	6875
commission for final resolution.	6876

(B) With respect to projects which the Ohio small government	6877
capital improvements commission approves, the administrator is	6878
authorized to:	6879

(1) Enter into agreements to provide financial assistance in	6880
the form of loans, grants, or local debt support and credit	6881
enhancements to villages or townships with populations in the	6882
unincorporated areas of the township of less than five thousand;	6883

(2) Authorize payments to such villages or townships or their	6884
contractors for the costs incurred for capital improvement	6885
projects which have been approved in accordance with this chapter.	6886
All requests for payments shall be submitted to the administrator	6887
on forms and in accordance with procedures specified in rules	6888
adopted pursuant to division (A)(4) of section 164.05 of the	6889
Revised Code.	6890

(3) Notify the director of budget and management of all	6891
approved projects, and supply all information necessary to track	6892
the approved projects through the state accounting system.	6893

(4) Do all other acts and enter into contracts and execute	6894
all instruments necessary or appropriate to carry out this	6895
section.	6896

(C) Fees, charges, rates of interest, times of payment of	6897
interest and principal, and other terms, conditions, and	6898
provisions of and security for financial assistance provided	6899
pursuant to the provisions of this section shall be such as the	6900
administrator determines to be appropriate. If any payments	6901
required by a loan agreement entered into pursuant to this section	6902
are not paid, the funds which would otherwise be apportioned to	6903
the local subdivision from the county undivided local government	6904
communities fund, pursuant to sections 5747.51 to 5747.53 of the	6905
Revised Code, may, at the direction of the Ohio small government	6906
capital improvements commission, be reduced by the amount payable.	6907
The county treasurer shall, at the direction of the commission,	6908
pay the amount of such reductions to the state capital	6909
improvements revolving loan fund. Subject to the approval of the	6910
Ohio small government capital improvements commission, the	6911
administrator may renegotiate a loan repayment schedule with a	6912
local subdivision whose payments from the county undivided local	6913
governmentcommunities fund could be reduced pursuant to this	6914
division, but such a renegotiation may occur only one time with	6915
respect to any particular loan agreement.	6916

Sec. 164.08.  (A) Except as provided in sections 151.01 and	6917
151.08 or section 164.09 of the Revised Code, the net proceeds of	6918
obligations issued and sold by the treasurer of state pursuant to	6919
section 164.09 of the Revised Code before September 30, 2000, or	6920
pursuant to sections 151.01 and 151.08 of the Revised Code, for	6921
the purpose of financing or assisting in the financing of the cost	6922
of public infrastructure capital improvement projects of local	6923
subdivisions, as provided for in Section 2k or, 2m, or 2p of	6924
Article VIII, Ohio Constitution, and this chapter, shall be paid	6925
into the state capital improvements fund, which is hereby created	6926
in the state treasury. Investment earnings on moneys in the fund	6927
shall be credited to the fund.	6928

(B) Each program year the amount of obligations authorized by	6929
the general assembly in accordance with sections 151.01 and 151.08	6930
or section 164.09 of the Revised Code, excluding the proceeds of	6931
refunding or renewal obligations, shall be allocated by the	6932
director of the Ohio public works commission as follows:	6933

(1) First, twelve million dollars of the amount of	6934
obligations authorized shall be allocated to provide financial	6935
assistance to villages and to townships with populations in the	6936
unincorporated areas of the township of less than five thousand	6937
persons, for capital improvements in accordance with section	6938
164.051 and division (D) of section 164.06 of the Revised Code. As	6939
used in division (B)(1) of this section, "capital improvements"	6940
includes resurfacing and improving roads.	6941

(2) Following the allocation required by division (B)(1) of	6942
this section, the director may allocate two million five hundred	6943
thousand dollars of the authorized obligations to provide	6944
financial assistance to local subdivisions for capital improvement	6945
projects which in the judgment of the director of the Ohio public	6946
works commission are necessary for the immediate preservation of	6947
the health, safety, and welfare of the citizens of the local	6948
subdivision requesting assistance.	6949

(3) For the second, third, fourth, and fifth years that	6950
obligations are authorized and are available for allocation under	6951
this chapter, one million dollars shall be allocated to the sewer	6952
and water fund created in section 1525.11 of the Revised Code.	6953
Money from this allocation shall be transferred to that fund when	6954
needed to support specific payments from that fund.	6955

(4) For program years twelve and fourteen that obligations	6956
are authorized and available for allocation under this chapter,	6957
two million dollars each program year shall be allocated to the	6958
small county capital improvement program for use in providing	6959
financial assistance under division (F) of section 164.02 of the	6960
Revised Code.	6961

(5) After the allocation required by division (B)(3) of this	6962
section is made, the director shall determine the amount of the	6963
remaining obligations authorized to be issued and sold that each	6964
county would receive if such amounts were allocated on a per	6965
capita basis each year. If a county's per capita share for the	6966
year would be less than three hundred thousand dollars, the	6967
director shall allocate to the district in which that county is	6968
located an amount equal to the difference between three hundred	6969
thousand dollars and the county's per capita share.	6970

(6) After making the allocation required by division (B)(5)	6971
of this section, the director shall allocate the remaining amount	6972
to each district on a per capita basis.	6973

(C)(1) There is hereby created in the state treasury the	6974
state capital improvements revolving loan fund, into which shall	6975
be deposited all repayments of loans made to local subdivisions	6976
for capital improvements pursuant to this chapter. Investment	6977
earnings on moneys in the fund shall be credited to the fund.	6978

(2) There may also be deposited in the state capital	6979
improvements revolving loan fund moneys obtained from federal or	6980
private grants, or from other sources, which are to be used for	6981
any of the purposes authorized by this chapter. Such moneys shall	6982
be allocated each year in accordance with division (B)(6) of this	6983
section.	6984

(3) Moneys deposited into the state capital improvements	6985
revolving loan fund shall be used to make loans for the purpose of	6986
financing or assisting in the financing of the cost of capital	6987
improvement projects of local subdivisions.	6988

(4) Investment earnings credited to the state capital	6989
improvements revolving loan fund that exceed the amounts required	6990
to meet estimated federal arbitrage rebate requirements shall be	6991
used to pay costs incurred by the public works commission in	6992
administering this section. Investment earnings credited to the	6993
state capital improvements revolving loan fund that exceed the	6994
amounts required to pay for the administrative costs and estimated	6995
rebate requirements shall be allocated to each district on a per	6996
capita basis.	6997

(5) Each program year, loan repayments received and on	6998
deposit in the state capital improvements revolving loan fund	6999
shall be allocated as follows:	7000

(a) Each district public works integrating committee shall be	7001
allocated an amount equal to the sum of all loan repayments made	7002
to the state capital improvements revolving loan fund by local	7003
subdivisions that are part of the district. Moneys not used in a	7004
program year may be used in the next program year in the same	7005
manner and for the same purpose as originally allocated.	7006

(b) Loan repayments made pursuant to projects approved under	7007
division (B)(1) of this section shall be used to make loans in	7008
accordance with section 164.051 and division (D) of section 164.06	7009
of the Revised Code. Allocations for this purpose made pursuant to	7010
division (C)(5) of this section shall be in addition to the	7011
allocation provided in division (B)(1) of this section.	7012

(c) Loan repayments made pursuant to projects approved under	7013
division (B)(2) of this section shall be used to make loans in	7014
accordance with division (B)(2) of this section. Allocations for	7015
this purpose made pursuant to division (C)(5) of this section	7016
shall be in addition to the allocation provided in division (B)(2)	7017
of this section.	7018

(d) Loans made from the state capital improvements revolving	7019
loan fund shall not be limited in their usage by divisions (E),	7020
(F), (G), (H), and (I) of section 164.05 of the Revised Code.	7021

(D) Investment earnings credited to the state capital	7022
improvements fund that exceed the amounts required to meet	7023
estimated federal arbitrage rebate requirements shall be used to	7024
pay costs incurred by the public works commission in administering	7025
sections 164.01 to 164.12 of the Revised Code.	7026

(E) The director of the Ohio public works commission shall	7027
notify the director of budget and management of the amounts	7028
allocated pursuant to this section and such information shall be	7029
entered into the state accounting system. The director of budget	7030
and management shall establish appropriation line items as needed	7031
to track these allocations.	7032

(F) If the amount of a district's allocation in a program	7033
year exceeds the amount of financial assistance approved for the	7034
district by the commission for that year, the remaining portion of	7035
the district's allocation shall be added to the district's	7036
allocation pursuant to division (B) of this section for the next	7037
succeeding year for use in the same manner and for the same	7038
purposes as it was originally allocated, except that any portion	7039
of a district's allocation which was available for use on new or	7040
expanded infrastructure pursuant to division (H) of section 164.05	7041
of the Revised Code shall be available in succeeding years only	7042
for the repair and replacement of existing infrastructure.	7043

(G) When an allocation based on population is made by the	7044
director pursuant to division (B) of this section, the director	7045
shall use the most recent decennial census statistics, and shall	7046
not make any reallocations based upon a change in a district's	7047
population.	7048

Sec. 164.09.  (A) The issuer is authorized to issue and sell,	7049
as provided in this section and in amounts from time to time	7050
authorized by the general assembly, general obligations of this	7051
state for the purpose of financing or assisting in the financing	7052
of the costs of public infrastructure capital improvements for	7053
local subdivisions. The full faith and credit, revenues, and	7054
taxing power of the state are and shall be pledged to the timely	7055
payment of bond service charges on outstanding obligations, all in	7056
accordance with Section 2k or 2m of Article VIII, Ohio	7057
Constitution and sections 164.09 to 164.12 of the Revised Code,	7058
excluding from that pledge fees, excises, or taxes relating to the	7059
registration, operation, or use of vehicles on the public	7060
highways, or to fuels used for propelling those vehicles, and so	7061
long as such obligations are outstanding there shall be levied and	7062
collected excises and taxes, excluding those excepted above, in	7063
amounts sufficient to pay the bond service charges on such	7064
obligations and costs relating to credit facilities.	7065

(B)(1) The total principal amount of obligations issued	7066
pursuant to Section 2k of Article VIII, Ohio Constitution shall	7067
not exceed one billion two hundred million dollars, and not more	7068
than one hundred twenty million dollars in principal amount of	7069
obligations may be issued in any calendar year, all determined as	7070
provided in sections 164.09 to 164.12 of the Revised Code.	7071

(2) The total principal amount of obligations issued for the	7072
purposes of this section pursuant to Section 2m of Article VIII,	7073
Ohio Constitution, shall not exceed one billion two hundred	7074
million dollars. Not more than one hundred twenty million dollars	7075
in principal amount of such obligations, plus the principal amount	7076
of such obligations that in any prior fiscal years could have been	7077
but were not issued within the one-hundred-twenty-million-dollar	7078
fiscal year limit, may be issued in any fiscal year. No	7079
obligations shall be issued for the purposes of this section	7080
pursuant to Section 2m of Article VIII, Ohio Constitution, until	7081
at least one billion one hundred ninety-nine million five hundred	7082
thousand dollars aggregate principal amount of obligations have	7083
been issued pursuant to Section 2k of Article VIII, Ohio	7084
Constitution. The amounts specified under division (B)(2) of this	7085
section shall be determined as provided in sections 164.09 to	7086
164.12 of the Revised Code.	7087

(C) Each issue of obligations shall be authorized by order of	7088
the issuer. The bond proceedings shall provide for the principal	7089
amount or maximum principal amount of obligations of an issue, and	7090
shall provide for or authorize the manner or agency for	7091
determining the principal maturity or maturities, not exceeding	7092
the earlier of thirty years from the date of issuance of the	7093
particular obligations or thirty years from the date the debt	7094
represented by the particular obligations was originally	7095
contracted, the interest rate or rates, the date of and the dates	7096
of payment of interest on the obligations, their denominations,	7097
and the establishment within or without the state of a place or	7098
places of payment of bond service charges. Sections 9.96 and 9.98	7099
to 9.983 of the Revised Code are applicable to the obligations.	7100
The purpose of the obligations may be stated in the bond	7101
proceedings as "financing or assisting in the financing of local	7102
subdivisions capital improvement projects."	7103

(D) The proceeds of the obligations, except for any portion	7104
to be deposited in special funds, or in escrow funds for the	7105
purpose of refunding outstanding obligations, all as may be	7106
provided in the bond proceedings, shall be deposited to the state	7107
capital improvements fund established by section 164.08 of the	7108
Revised Code.	7109

(E) The issuer may appoint paying agents, bond registrars,	7110
securities depositories, and transfer agents, and may retain the	7111
services of financial advisers and accounting experts, and retain	7112
or contract for the services of marketing, remarketing, indexing,	7113
and administrative agents, other consultants, and independent	7114
contractors, including printing services, as are necessary in the	7115
issuer's judgment to carry out sections 164.01 to 164.12 of the	7116
Revised Code. Financing costs are payable, as provided in the bond	7117
proceedings, from the proceeds of the obligations, from special	7118
funds, or from other moneys available for the purpose.	7119

(F) The bond proceedings, including any trust agreement, may	7120
contain additional provisions customary or appropriate to the	7121
financing or to the obligations or to particular obligations,	7122
including but not limited to:	7123

(1) The redemption of obligations prior to maturity at the	7124
option of the state or of the holder or upon the occurrence of	7125
certain conditions at such price or prices and under such terms	7126
and conditions as are provided in the bond proceedings;	7127

(2) The form of and other terms of the obligations;

7128

(3) The establishment, deposit, investment, and application	7129
of special funds, and the safeguarding of moneys on hand or on	7130
deposit, without regard to Chapter 131. or 135. of the Revised	7131
Code, but subject to any special provisions of this section with	7132
respect to particular funds or moneys, and provided that any bank	7133
or trust company that acts as a depository of any moneys in	7134
special funds may furnish such indemnifying bonds or may pledge	7135
such securities as required by the issuer;	7136

(4) Any or every provision of the bond proceedings binding	7137
upon the issuer and such state agency or local subdivision,	7138
officer, board, commission, authority, agency, department, or	7139
other person or body as may from time to time have the authority	7140
under law to take such actions as may be necessary to perform all	7141
or any part of the duty required by such provision;	7142

(5) The maintenance of each pledge, any trust agreement, or	7143
other instrument comprising part of the bond proceedings until the	7144
state has fully paid or provided for the payment of the bond	7145
service charges on the obligations or met other stated conditions;	7146

(6) In the event of default in any payments required to be	7147
made by the bond proceedings, or any other agreement of the issuer	7148
made as a part of a contract under which the obligations were	7149
issued or secured, the enforcement of such payments or agreements	7150
by mandamus, suit in equity, action at law, or any combination of	7151
the foregoing;	7152

(7) The rights and remedies of the holders of obligations and	7153
of the trustee under any trust agreement, and provisions for	7154
protecting and enforcing them, including limitations on rights of	7155
individual holders of obligations;	7156

(8) The replacement of any obligations that become mutilated	7157
or are destroyed, lost, or stolen;	7158

(9) Provision for the funding, refunding, or advance	7159
refunding or other provision for payment of obligations which will	7160
then no longer be outstanding for purposes of this section or of	7161
the bond proceedings;	7162

(10) Any provision that may be made in bond proceedings or a	7163
trust agreement, including provision for amendment of the bond	7164
proceedings;	7165

(11) Such other provisions as the issuer determines,	7166
including limitations, conditions, or qualifications relating to	7167
any of the foregoing;	7168

(12) Any other or additional agreements with the holders of	7169
the obligations relating to the obligations or the security for	7170
the obligations.	7171

(G) The great seal of the state or a facsimile of that seal	7172
may be affixed to or printed on the obligations. The obligations	7173
requiring signature by the issuer shall be signed by or bear the	7174
facsimile signature of the issuer as provided in the bond	7175
proceedings. Any obligations may be signed by the person who, on	7176
the date of execution, is the authorized signer although on the	7177
date of such obligations such person was not the issuer. In case	7178
the person whose signature or a facsimile of whose signature	7179
appears on any obligation ceases to be the issuer before delivery	7180
of the obligation, such signature or facsimile is nevertheless	7181
valid and sufficient for all purposes as if the person had	7182
remained the member until such delivery, and in case the seal to	7183
be affixed to or printed on obligations has been changed after the	7184
seal has been affixed to or a facsimile of the seal has been	7185
printed on the obligations, that seal or facsimile seal shall	7186
continue to be sufficient as to those obligations and obligations	7187
issued in substitution or exchange therefor.	7188

(H) The obligations are negotiable instruments and securities	7189
under Chapter 1308. of the Revised Code, subject to the provisions	7190
of the bond proceedings as to registration. Obligations may be	7191
issued in coupon or in fully registered form, or both, as the	7192
issuer determines. Provision may be made for the registration of	7193
any obligations with coupons attached as to principal alone or as	7194
to both principal and interest, their exchange for obligations so	7195
registered, and for the conversion or reconversion into	7196
obligations with coupons attached of any obligations registered as	7197
to both principal and interest, and for reasonable charges for	7198
such registration, exchange, conversion, and reconversion. Pending	7199
preparation of definitive obligations, the issuer may issue	7200
interim receipts or certificates which shall be exchanged for such	7201
definitive obligations.	7202

(I) Obligations may be sold at public sale or at private	7203
sale, and at such price at, above, or below par, as determined by	7204
the issuer in the bond proceedings.	7205

(J) In the discretion of the issuer, obligations may be	7206
secured additionally by a trust agreement between the state and a	7207
corporate trustee which may be any trust company or bank having	7208
its principala place of business within the state. Any trust	7209
agreement may contain the order authorizing the issuance of the	7210
obligations, any provisions that may be contained in the bond	7211
proceedings, and other provisions that are customary or	7212
appropriate in an agreement of the type.	7213

(K) Except to the extent that their rights are restricted by	7214
the bond proceedings, any holder of obligations, or a trustee	7215
under the bond proceedings, may by any suitable form of legal	7216
proceedings protect and enforce any rights under the laws of this	7217
state or granted by the bond proceedings. Such rights include the	7218
right to compel the performance of all duties of the issuer and	7219
the state. Each duty of the issuer and the issuer's employees, and	7220
of each state agency and local public entity and its officers,	7221
members, or employees, undertaken pursuant to the bond	7222
proceedings, is hereby established as a duty of the issuer, and of	7223
each such agency, local subdivision, officer, member, or employee	7224
having authority to perform such duty, specifically enjoined by	7225
the law and resulting from an office, trust, or station within the	7226
meaning of section 2731.01 of the Revised Code. The persons who	7227
are at the time the issuer, or the issuer's employees, are not	7228
liable in their personal capacities on any obligations or any	7229
agreements of or with the issuer relating to obligations or under	7230
the bond proceedings.	7231

(L) Obligations are lawful investments for banks, societies	7232
for savings, savings and loan associations, deposit guarantee	7233
associations, trust companies, trustees, fiduciaries, insurance	7234
companies, including domestic for life and domestic not for life,	7235
trustees or other officers having charge of sinking and bond	7236
retirement or other special funds of political subdivisions and	7237
taxing districts of this state, the commissioners of the sinking	7238
fund, the administrator of workers' compensation, the state	7239
teachers retirement system, the public employees retirement	7240
system, the school employees retirement system, and the Ohio	7241
police and fire pension fund, notwithstanding any other provisions	7242
of the Revised Code or rules adopted pursuant thereto by any state	7243
agency with respect to investments by them, and are also	7244
acceptable as security for the deposit of public moneys.	7245

(M) Unless otherwise provided in any applicable bond	7246
proceedings, moneys to the credit of or in the special funds	7247
established by or pursuant to this section may be invested by or	7248
on behalf of the issuer only in notes, bonds, or other direct	7249
obligations of the United States or of any agency or	7250
instrumentality of the United States, in obligations of this state	7251
or any political subdivision of this state, in certificates of	7252
deposit of any national bank located in this state and any bank,	7253
as defined in section 1101.01 of the Revised Code, subject to	7254
inspection by the superintendent of financial institutions, in the	7255
Ohio subdivision's fund established pursuant to section 135.45 of	7256
the Revised Code, in no-front-end-load money market mutual funds	7257
consisting exclusively of direct obligations of the United States	7258
or of an agency or instrumentality of the United States, and in	7259
repurchase agreements, including those issued by any fiduciary,	7260
secured by direct obligations of the United States or an agency or	7261
instrumentality of the United States, and in collective investment	7262
funds established in accordance with section 1111.14 of the	7263
Revised Code and consisting exclusively of direct obligations of	7264
the United States or of an agency or instrumentality of the United	7265
States, notwithstanding division (A)(1)(c) of that section. The	7266
income from investments shall be credited to such special funds or	7267
otherwise as the issuer determines in the bond proceedings, and	7268
the investments may be sold or exchanged at such times as the	7269
issuer determines or authorizes.	7270

(N) Unless otherwise provided in any applicable bond	7271
proceedings, moneys to the credit of or in a special fund shall be	7272
disbursed on the order of the issuer, provided that no such order	7273
is required for the payment from the bond service fund or other	7274
special fund when due of bond service charges or required payments	7275
under credit facilities.	7276

(O) The issuer may covenant in the bond proceedings, and any	7277
such covenants shall be controlling notwithstanding any other	7278
provision of law, that the state and the applicable officers and	7279
agencies of the state, including the general assembly, so long as	7280
any obligations are outstanding in accordance with their terms,	7281
shall maintain statutory authority for and cause to be charged and	7282
collected taxes, excises, and other receipts of the state so that	7283
the receipts to the bond service fund shall be sufficient in	7284
amounts to meet bond service charges and for the establishment and	7285
maintenance of any reserves and other requirements, including	7286
payment of financing costs, provided for in the bond proceedings.	7287

(P) The obligations, and the transfer of, and the interest	7288
and other income from, including any profit made on the sale,	7289
transfer, or other disposition of, the obligations shall at all	7290
times be free from taxation, direct or indirect, within the state.	7291

(Q) Unless a judicial action or proceeding challenging the	7292
validity of obligations is commenced by personal service on the	7293
treasurer of state prior to the initial delivery of an issue of	7294
the obligations, the obligations of that issue and the bond	7295
proceedings pertaining to that issue are incontestable and those	7296
obligations shall be conclusively considered to be and to have	7297
been issued, secured, payable, sold, executed, and delivered, and	7298
the bond proceedings relating to them taken, in conformity with	7299
law if all of the following apply to the obligations:	7300

(1) They state that they are issued under the provisions of	7301
this section and comply on their face with those provisions;	7302

(2) They are issued within the limitations prescribed by this	7303
section;	7304

(3) Their purchase price has been paid in full;

7305

(4) They state that all the bond proceedings were held in	7306
compliance with law, which statement creates a conclusive	7307
presumption that the bond proceedings were held in compliance with	7308
all laws, including section 121.22 of the Revised Code, where	7309
applicable, and rules.	7310

(R) This section applies only with respect to obligations	7311
issued and delivered before September 30, 2000.	7312

Sec. 166.08.  (A) As used in this chapter:

7313

(1) "Bond proceedings" means the resolution, order, trust	7314
agreement, indenture, lease, and other agreements, amendments and	7315
supplements to the foregoing, or any one or more or combination	7316
thereof, authorizing or providing for the terms and conditions	7317
applicable to, or providing for the security or liquidity of,	7318
obligations issued pursuant to this section, and the provisions	7319
contained in such obligations.	7320

(2) "Bond service charges" means principal, including	7321
mandatory sinking fund requirements for retirement of obligations,	7322
and interest, and redemption premium, if any, required to be paid	7323
by the state on obligations.	7324

(3) "Bond service fund" means the applicable fund and	7325
accounts therein created for and pledged to the payment of bond	7326
service charges, which may be, or may be part of, the economic	7327
development bond service fund created by division (S) of this	7328
section including all moneys and investments, and earnings from	7329
investments, credited and to be credited thereto.	7330

(4) "Issuing authority" means the treasurer of state, or the	7331
officer who by law performs the functions of such officer.	7332

(5) "Obligations" means bonds, notes, or other evidence of	7333
obligation including interest coupons pertaining thereto, issued	7334
pursuant to this section.	7335

(6) "Pledged receipts" means all receipts of the state	7336
representing the gross profit on the sale of spirituous liquor, as	7337
referred to in division (B)(4) of section 4301.10 of the Revised	7338
Code, after paying all costs and expenses of the division of	7339
liquor control and providing an adequate working capital reserve	7340
for the division of liquor control as provided in that division,	7341
but excluding the sum required by the second paragraph of section	7342
4301.12 of the Revised Code, as in effect on May 2, 1980, to be	7343
paid into the state treasury; moneys accruing to the state from	7344
the lease, sale, or other disposition, or use, of project	7345
facilities, and from the repayment, including interest, of loans	7346
made from proceeds received from the sale of obligations; accrued	7347
interest received from the sale of obligations; income from the	7348
investment of the special funds; and any gifts, grants, donations,	7349
and pledges, and receipts therefrom, available for the payment of	7350
bond service charges.	7351

(7) "Special funds" or "funds" means, except where the	7352
context does not permit, the bond service fund, and any other	7353
funds, including reserve funds, created under the bond	7354
proceedings, and the economic development bond service fund	7355
created by division (S) of this section to the extent provided in	7356
the bond proceedings, including all moneys and investments, and	7357
earnings from investment, credited and to be credited thereto.	7358

(B) Subject to the limitations provided in section 166.11 of	7359
the Revised Code, the issuing authority, upon the certification by	7360
the director of development to the issuing authority of the amount	7361
of moneys or additional moneys needed in the facilities	7362
establishment fund, the loan guarantee fund, the innovation Ohio	7363
loan fund, the innovation Ohio loan guarantee fund, or the	7364
research and development loan fund for the purpose of paying, or	7365
making loans for, allowable costs from the facilities	7366
establishment fund, allowable innovation costs from the innovation	7367
Ohio loan fund, or allowable costs from the research and	7368
development loan fund, or needed for capitalized interest, for	7369
funding reserves, and for paying costs and expenses incurred in	7370
connection with the issuance, carrying, securing, paying,	7371
redeeming, or retirement of the obligations or any obligations	7372
refunded thereby, including payment of costs and expenses relating	7373
to letters of credit, lines of credit, insurance, put agreements,	7374
standby purchase agreements, indexing, marketing, remarketing and	7375
administrative arrangements, interest swap or hedging agreements,	7376
and any other credit enhancement, liquidity, remarketing, renewal,	7377
or refunding arrangements, all of which are authorized by this	7378
section, or providing moneys for the loan guarantee fund or the	7379
innovation Ohio loan guarantee fund, as provided in this chapter	7380
or needed for the purposes of funds established in accordance with	7381
or pursuant to sections 122.35, 122.42, 122.54, 122.55, 122.56,	7382
122.561, 122.57, and 122.80 of the Revised Code which are within	7383
the authorization of Section 13 of Article VIII, Ohio	7384
Constitution, shall issue obligations of the state under this	7385
section in the required amount; provided that such obligations may	7386
be issued to satisfy the covenants in contracts of guarantee made	7387
under section 166.06 or 166.15 of the Revised Code,	7388
notwithstanding limitations otherwise applicable to the issuance	7389
of obligations under this section. The proceeds of such	7390
obligations, except for the portion to be deposited in special	7391
funds, including reserve funds, as may be provided in the bond	7392
proceedings, shall as provided in the bond proceedings be	7393
deposited by the director of development to the facilities	7394
establishment fund, the loan guarantee fund, the innovation Ohio	7395
loan guarantee fund, the innovation Ohio loan fund, or the	7396
research and development loan fund. Bond proceedings for project	7397
financing obligations may provide that the proceeds derived from	7398
the issuance of such obligations shall be deposited into such fund	7399
or funds provided for in the bond proceedings and, to the extent	7400
provided for in the bond proceedings, such proceeds shall be	7401
deemed to have been deposited into the facilities establishment	7402
fund and transferred to such fund or funds. The issuing authority	7403
may appoint trustees, paying agents, and transfer agents and may	7404
retain the services of financial advisors, accounting experts, and	7405
attorneys, and retain or contract for the services of marketing,	7406
remarketing, indexing, and administrative agents, other	7407
consultants, and independent contractors, including printing	7408
services, as are necessary in the issuing authority's judgment to	7409
carry out this section. The costs of such services are allowable	7410
costs payable from the facilities establishment fund or the	7411
research and development loan fund or allowable innovation costs	7412
payable from the innovation Ohio loan fund.	7413

(C) The holders or owners of such obligations shall have no	7414
right to have moneys raised by taxation obligated or pledged, and	7415
moneys raised by taxation shall not be obligated or pledged, for	7416
the payment of bond service charges. Such holders or owners shall	7417
have no rights to payment of bond service charges from any moneys	7418
accruing to the state from the lease, sale, or other disposition,	7419
or use, of project facilities, or from payment of the principal of	7420
or interest on loans made, or fees charged for guarantees made, or	7421
from any money or property received by the director, treasurer of	7422
state, or the state under Chapter 122. of the Revised Code, or	7423
from any other use of the proceeds of the sale of the obligations,	7424
and no such moneys may be used for the payment of bond service	7425
charges, except for accrued interest, capitalized interest, and	7426
reserves funded from proceeds received upon the sale of the	7427
obligations and except as otherwise expressly provided in the	7428
applicable bond proceedings pursuant to written directions by the	7429
director. The right of such holders and owners to payment of bond	7430
service charges is limited to all or that portion of the pledged	7431
receipts and those special funds pledged thereto pursuant to the	7432
bond proceedings in accordance with this section, and each such	7433
obligation shall bear on its face a statement to that effect.	7434

(D) Obligations shall be authorized by resolution or order of	7435
the issuing authority and the bond proceedings shall provide for	7436
the purpose thereof and the principal amount or amounts, and shall	7437
provide for or authorize the manner or agency for determining the	7438
principal maturity or maturities, not exceeding twenty-five years	7439
from the date of issuance, the interest rate or rates or the	7440
maximum interest rate, the date of the obligations and the dates	7441
of payment of interest thereon, their denomination, and the	7442
establishment within or without the state of a place or places of	7443
payment of bond service charges. Sections 9.98 to 9.983 of the	7444
Revised Code are applicable to obligations issued under this	7445
section, subject to any applicable limitation under section 166.11	7446
of the Revised Code. The purpose of such obligations may be stated	7447
in the bond proceedings in terms describing the general purpose or	7448
purposes to be served. The bond proceedings also shall provide,	7449
subject to the provisions of any other applicable bond	7450
proceedings, for the pledge of all, or such part as the issuing	7451
authority may determine, of the pledged receipts and the	7452
applicable special fund or funds to the payment of bond service	7453
charges, which pledges may be made either prior or subordinate to	7454
other expenses, claims, or payments, and may be made to secure the	7455
obligations on a parity with obligations theretofore or thereafter	7456
issued, if and to the extent provided in the bond proceedings. The	7457
pledged receipts and special funds so pledged and thereafter	7458
received by the state are immediately subject to the lien of such	7459
pledge without any physical delivery thereof or further act, and	7460
the lien of any such pledges is valid and binding against all	7461
parties having claims of any kind against the state or any	7462
governmental agency of the state, irrespective of whether such	7463
parties have notice thereof, and shall create a perfected security	7464
interest for all purposes of Chapter 1309. of the Revised Code,	7465
without the necessity for separation or delivery of funds or for	7466
the filing or recording of the bond proceedings by which such	7467
pledge is created or any certificate, statement or other document	7468
with respect thereto; and the pledge of such pledged receipts and	7469
special funds is effective and the money therefrom and thereof may	7470
be applied to the purposes for which pledged without necessity for	7471
any act of appropriation. Every pledge, and every covenant and	7472
agreement made with respect thereto, made in the bond proceedings	7473
may therein be extended to the benefit of the owners and holders	7474
of obligations authorized by this section, and to any trustee	7475
therefor, for the further security of the payment of the bond	7476
service charges.	7477

(E) The bond proceedings may contain additional provisions as	7478
to:	7479

(1) The redemption of obligations prior to maturity at the	7480
option of the issuing authority at such price or prices and under	7481
such terms and conditions as are provided in the bond proceedings;	7482

(2) Other terms of the obligations;

7483

(3) Limitations on the issuance of additional obligations;

7484

(4) The terms of any trust agreement or indenture securing	7485
the obligations or under which the same may be issued;	7486

(5) The deposit, investment and application of special funds,	7487
and the safeguarding of moneys on hand or on deposit, without	7488
regard to Chapter 131. or 135. of the Revised Code, but subject to	7489
any special provisions of this chapter, with respect to particular	7490
funds or moneys, provided that any bank or trust company which	7491
acts as depository of any moneys in the special funds may furnish	7492
such indemnifying bonds or may pledge such securities as required	7493
by the issuing authority;	7494

(6) Any or every provision of the bond proceedings being	7495
binding upon such officer, board, commission, authority, agency,	7496
department, or other person or body as may from time to time have	7497
the authority under law to take such actions as may be necessary	7498
to perform all or any part of the duty required by such provision;	7499

(7) Any provision that may be made in a trust agreement or	7500
indenture;	7501

(8) Any other or additional agreements with the holders of	7502
the obligations, or the trustee therefor, relating to the	7503
obligations or the security therefor, including the assignment of	7504
mortgages or other security obtained or to be obtained for loans	7505
under section 122.43, 166.07, or 166.16 of the Revised Code.	7506

(F) The obligations may have the great seal of the state or a	7507
facsimile thereof affixed thereto or printed thereon. The	7508
obligations and any coupons pertaining to obligations shall be	7509
signed or bear the facsimile signature of the issuing authority.	7510
Any obligations or coupons may be executed by the person who, on	7511
the date of execution, is the proper issuing authority although on	7512
the date of such bonds or coupons such person was not the issuing	7513
authority. If the issuing authority whose signature or a facsimile	7514
of whose signature appears on any such obligation or coupon ceases	7515
to be the issuing authority before delivery thereof, such	7516
signature or facsimile is nevertheless valid and sufficient for	7517
all purposes as if the former issuing authority had remained the	7518
issuing authority until such delivery; and if the seal to be	7519
affixed to obligations has been changed after a facsimile of the	7520
seal has been imprinted on such obligations, such facsimile seal	7521
shall continue to be sufficient as to such obligations and	7522
obligations issued in substitution or exchange therefor.	7523

(G) All obligations are negotiable instruments and securities	7524
under Chapter 1308. of the Revised Code, subject to the provisions	7525
of the bond proceedings as to registration. The obligations may be	7526
issued in coupon or in registered form, or both, as the issuing	7527
authority determines. Provision may be made for the registration	7528
of any obligations with coupons attached thereto as to principal	7529
alone or as to both principal and interest, their exchange for	7530
obligations so registered, and for the conversion or reconversion	7531
into obligations with coupons attached thereto of any obligations	7532
registered as to both principal and interest, and for reasonable	7533
charges for such registration, exchange, conversion, and	7534
reconversion.	7535

(H) Obligations may be sold at public sale or at private	7536
sale, as determined in the bond proceedings.	7537

Obligations issued to provide moneys for the loan guarantee	7538
fund or the innovation Ohio loan guarantee fund may, as determined	7539
by the issuing authority, be sold at private sale, and without	7540
publication of a notice of sale.	7541

(I) Pending preparation of definitive obligations, the	7542
issuing authority may issue interim receipts or certificates which	7543
shall be exchanged for such definitive obligations.	7544

(J) In the discretion of the issuing authority, obligations	7545
may be secured additionally by a trust agreement or indenture	7546
between the issuing authority and a corporate trustee which may be	7547
any trust company or bank having its principala place of business	7548
within the state. Any such agreement or indenture may contain the	7549
resolution or order authorizing the issuance of the obligations,	7550
any provisions that may be contained in any bond proceedings, and	7551
other provisions which are customary or appropriate in an	7552
agreement or indenture of such type, including, but not limited	7553
to:	7554

(1) Maintenance of each pledge, trust agreement, indenture,	7555
or other instrument comprising part of the bond proceedings until	7556
the state has fully paid the bond service charges on the	7557
obligations secured thereby, or provision therefor has been made;	7558

(2) In the event of default in any payments required to be	7559
made by the bond proceedings, or any other agreement of the	7560
issuing authority made as a part of the contract under which the	7561
obligations were issued, enforcement of such payments or agreement	7562
by mandamus, the appointment of a receiver, suit in equity, action	7563
at law, or any combination of the foregoing;	7564

(3) The rights and remedies of the holders of obligations and	7565
of the trustee, and provisions for protecting and enforcing them,	7566
including limitations on rights of individual holders of	7567
obligations;	7568

(4) The replacement of any obligations that become mutilated	7569
or are destroyed, lost, or stolen;	7570

(5) Such other provisions as the trustee and the issuing	7571
authority agree upon, including limitations, conditions, or	7572
qualifications relating to any of the foregoing.	7573

(K) Any holders of obligations or trustees under the bond	7574
proceedings, except to the extent that their rights are restricted	7575
by the bond proceedings, may by any suitable form of legal	7576
proceedings, protect and enforce any rights under the laws of this	7577
state or granted by such bond proceedings. Such rights include the	7578
right to compel the performance of all duties of the issuing	7579
authority, the director of development, or the division of liquor	7580
control required by this chapter or the bond proceedings; to	7581
enjoin unlawful activities; and in the event of default with	7582
respect to the payment of any bond service charges on any	7583
obligations or in the performance of any covenant or agreement on	7584
the part of the issuing authority, the director of development, or	7585
the division of liquor control in the bond proceedings, to apply	7586
to a court having jurisdiction of the cause to appoint a receiver	7587
to receive and administer the pledged receipts and special funds,	7588
other than those in the custody of the treasurer of state, which	7589
are pledged to the payment of the bond service charges on such	7590
obligations or which are the subject of the covenant or agreement,	7591
with full power to pay, and to provide for payment of bond service	7592
charges on, such obligations, and with such powers, subject to the	7593
direction of the court, as are accorded receivers in general	7594
equity cases, excluding any power to pledge additional revenues or	7595
receipts or other income or moneys of the issuing authority or the	7596
state or governmental agencies of the state to the payment of such	7597
principal and interest and excluding the power to take possession	7598
of, mortgage, or cause the sale or otherwise dispose of any	7599
project facilities.	7600

Each duty of the issuing authority and the issuing	7601
authority's officers and employees, and of each governmental	7602
agency and its officers, members, or employees, undertaken	7603
pursuant to the bond proceedings or any agreement or lease,	7604
lease-purchase agreement, or loan made under authority of this	7605
chapter, and in every agreement by or with the issuing authority,	7606
is hereby established as a duty of the issuing authority, and of	7607
each such officer, member, or employee having authority to perform	7608
such duty, specifically enjoined by the law resulting from an	7609
office, trust, or station within the meaning of section 2731.01 of	7610
the Revised Code.	7611

The person who is at the time the issuing authority, or the	7612
issuing authority's officers or employees, are not liable in their	7613
personal capacities on any obligations issued by the issuing	7614
authority or any agreements of or with the issuing authority.	7615

(L) The issuing authority may authorize and issue obligations	7616
for the refunding, including funding and retirement, and advance	7617
refunding with or without payment or redemption prior to maturity,	7618
of any obligations previously issued by the issuing authority.	7619
Such obligations may be issued in amounts sufficient for payment	7620
of the principal amount of the prior obligations, any redemption	7621
premiums thereon, principal maturities of any such obligations	7622
maturing prior to the redemption of the remaining obligations on a	7623
parity therewith, interest accrued or to accrue to the maturity	7624
dates or dates of redemption of such obligations, and any	7625
allowable costs including expenses incurred or to be incurred in	7626
connection with such issuance and such refunding, funding, and	7627
retirement. Subject to the bond proceedings therefor, the portion	7628
of proceeds of the sale of obligations issued under this division	7629
to be applied to bond service charges on the prior obligations	7630
shall be credited to an appropriate account held by the trustee	7631
for such prior or new obligations or to the appropriate account in	7632
the bond service fund for such obligations. Obligations authorized	7633
under this division shall be deemed to be issued for those	7634
purposes for which such prior obligations were issued and are	7635
subject to the provisions of this section pertaining to other	7636
obligations, except as otherwise provided in this section;	7637
provided that, unless otherwise authorized by the general	7638
assembly, any limitations imposed by the general assembly pursuant	7639
to this section with respect to bond service charges applicable to	7640
the prior obligations shall be applicable to the obligations	7641
issued under this division to refund, fund, advance refund or	7642
retire such prior obligations.	7643

(M) The authority to issue obligations under this section	7644
includes authority to issue obligations in the form of bond	7645
anticipation notes and to renew the same from time to time by the	7646
issuance of new notes. The holders of such notes or interest	7647
coupons pertaining thereto shall have a right to be paid solely	7648
from the pledged receipts and special funds that may be pledged to	7649
the payment of the bonds anticipated, or from the proceeds of such	7650
bonds or renewal notes, or both, as the issuing authority provides	7651
in the resolution or order authorizing such notes. Such notes may	7652
be additionally secured by covenants of the issuing authority to	7653
the effect that the issuing authority and the state will do such	7654
or all things necessary for the issuance of such bonds or renewal	7655
notes in appropriate amount, and apply the proceeds thereof to the	7656
extent necessary, to make full payment of the principal of and	7657
interest on such notes at the time or times contemplated, as	7658
provided in such resolution or order. For such purpose, the	7659
issuing authority may issue bonds or renewal notes in such	7660
principal amount and upon such terms as may be necessary to	7661
provide funds to pay when required the principal of and interest	7662
on such notes, notwithstanding any limitations prescribed by or	7663
for purposes of this section. Subject to this division, all	7664
provisions for and references to obligations in this section are	7665
applicable to notes authorized under this division.	7666

The issuing authority in the bond proceedings authorizing the	7667
issuance of bond anticipation notes shall set forth for such bonds	7668
an estimated interest rate and a schedule of principal payments	7669
for such bonds and the annual maturity dates thereof, and for	7670
purposes of any limitation on bond service charges prescribed	7671
under division (A) of section 166.11 of the Revised Code, the	7672
amount of bond service charges on such bond anticipation notes is	7673
deemed to be the bond service charges for the bonds anticipated	7674
thereby as set forth in the bond proceedings applicable to such	7675
notes, but this provision does not modify any authority in this	7676
section to pledge receipts and special funds to, and covenant to	7677
issue bonds to fund, the payment of principal of and interest and	7678
any premium on such notes.	7679

(N) Obligations issued under this section are lawful	7680
investments for banks, societies for savings, savings and loan	7681
associations, deposit guarantee associations, trust companies,	7682
trustees, fiduciaries, insurance companies, including domestic for	7683
life and domestic not for life, trustees or other officers having	7684
charge of sinking and bond retirement or other special funds of	7685
political subdivisions and taxing districts of this state, the	7686
commissioners of the sinking fund of the state, the administrator	7687
of workers' compensation, the state teachers retirement system,	7688
the public employees retirement system, the school employees	7689
retirement system, and the Ohio police and fire pension fund,	7690
notwithstanding any other provisions of the Revised Code or rules	7691
adopted pursuant thereto by any governmental agency of the state	7692
with respect to investments by them, and are also acceptable as	7693
security for the deposit of public moneys.	7694

(O) Unless otherwise provided in any applicable bond	7695
proceedings, moneys to the credit of or in the special funds	7696
established by or pursuant to this section may be invested by or	7697
on behalf of the issuing authority only in notes, bonds, or other	7698
obligations of the United States, or of any agency or	7699
instrumentality of the United States, obligations guaranteed as to	7700
principal and interest by the United States, obligations of this	7701
state or any political subdivision of this state, and certificates	7702
of deposit of any national bank located in this state and any	7703
bank, as defined in section 1101.01 of the Revised Code, subject	7704
to inspection by the superintendent of banks. If the law or the	7705
instrument creating a trust pursuant to division (J) of this	7706
section expressly permits investment in direct obligations of the	7707
United States or an agency of the United States, unless expressly	7708
prohibited by the instrument, such moneys also may be invested in	7709
no-front-end-load money market mutual funds consisting exclusively	7710
of obligations of the United States or an agency of the United	7711
States and in repurchase agreements, including those issued by the	7712
fiduciary itself, secured by obligations of the United States or	7713
an agency of the United States; and in common trust funds	7714
established in accordance with section 1111.20 of the Revised Code	7715
and consisting exclusively of any such securities, notwithstanding	7716
division (A)(4) of that section. The income from such investments	7717
shall be credited to such funds as the issuing authority	7718
determines, and such investments may be sold at such times as the	7719
issuing authority determines or authorizes.	7720

(P) Provision may be made in the applicable bond proceedings	7721
for the establishment of separate accounts in the bond service	7722
fund and for the application of such accounts only to the	7723
specified bond service charges on obligations pertinent to such	7724
accounts and bond service fund and for other accounts therein	7725
within the general purposes of such fund. Unless otherwise	7726
provided in any applicable bond proceedings, moneys to the credit	7727
of or in the several special funds established pursuant to this	7728
section shall be disbursed on the order of the treasurer of state,	7729
provided that no such order is required for the payment from the	7730
bond service fund when due of bond service charges on obligations.	7731

(Q) The issuing authority may pledge all, or such portion as	7732
the issuing authority determines, of the pledged receipts to the	7733
payment of bond service charges on obligations issued under this	7734
section, and for the establishment and maintenance of any	7735
reserves, as provided in the bond proceedings, and make other	7736
provisions therein with respect to pledged receipts as authorized	7737
by this chapter, which provisions are controlling notwithstanding	7738
any other provisions of law pertaining thereto.	7739

(R) The issuing authority may covenant in the bond	7740
proceedings, and any such covenants are controlling	7741
notwithstanding any other provision of law, that the state and	7742
applicable officers and governmental agencies of the state,	7743
including the general assembly, so long as any obligations are	7744
outstanding, shall:	7745

(1) Maintain statutory authority for and cause to be charged	7746
and collected wholesale and retail prices for spirituous liquor	7747
sold by the state or its agents so that the pledged receipts are	7748
sufficient in amount to meet bond service charges, and the	7749
establishment and maintenance of any reserves and other	7750
requirements provided for in the bond proceedings, and, as	7751
necessary, to meet covenants contained in contracts of guarantee	7752
made under section 166.06 of the Revised Code;	7753

(2) Take or permit no action, by statute or otherwise, that	7754
would impair the exemption from federal income taxation of the	7755
interest on the obligations.	7756

(S) There is hereby created the economic development bond	7757
service fund, which shall be in the custody of the treasurer of	7758
state but shall be separate and apart from and not a part of the	7759
state treasury. All moneys received by or on account of the	7760
issuing authority or state agencies and required by the applicable	7761
bond proceedings, consistent with this section, to be deposited,	7762
transferred, or credited to a bond service fund or the economic	7763
development bond service fund, and all other moneys transferred or	7764
allocated to or received for the purposes of the fund, shall be	7765
deposited and credited to such fund and to any separate accounts	7766
therein, subject to applicable provisions of the bond proceedings,	7767
but without necessity for any act of appropriation. During the	7768
period beginning with the date of the first issuance of	7769
obligations and continuing during such time as any such	7770
obligations are outstanding, and so long as moneys in the	7771
pertinent bond service funds are insufficient to pay all bond	7772
services charges on such obligations becoming due in each year, a	7773
sufficient amount of the gross profit on the sale of spirituous	7774
liquor included in pledged receipts are committed and shall be	7775
paid to the bond service fund or economic development bond service	7776
fund in each year for the purpose of paying the bond service	7777
charges becoming due in that year without necessity for further	7778
act of appropriation for such purpose and notwithstanding anything	7779
to the contrary in Chapter 4301. of the Revised Code. The	7780
economic development bond service fund is a trust fund and is	7781
hereby pledged to the payment of bond service charges to the	7782
extent provided in the applicable bond proceedings, and payment	7783
thereof from such fund shall be made or provided for by the	7784
treasurer of state in accordance with such bond proceedings	7785
without necessity for any act of appropriation.	7786

(T) The obligations, the transfer thereof, and the income	7787
therefrom, including any profit made on the sale thereof, shall at	7788
all times be free from taxation within the state.	7789

Sec. 173.04.  (A) As used in this section, "respite care"	7790
means short-term, temporary care or supervision provided to a	7791
person who has Alzheimer's disease in the absence of the person	7792
who normally provides that care or supervision.	7793

(B) The director of aging shall develop and disseminate new	7794
training materials or disseminate existingmay provide for the	7795
development and dissemination of Alzheimer's disease training	7796
materials for licensed physicians, registered nurses, licensed	7797
practical nurses, administrators of health care programs, social	7798
workers, and other health care and social service personnel who	7799
participate or assist in the care or treatment of persons who have	7800
Alzheimer's disease.	7801

(C) To the extent funds are available, the director shall	7802
administer respite care programs and other supportive services for	7803
persons who have Alzheimer's disease and their families or care	7804
givers. Respite care programs shall be approved by the director	7805
and shall be provided for the following purposes:	7806

(1) Giving persons who normally provide care or supervision	7807
for a person who has Alzheimer's disease relief from the stresses	7808
and responsibilities that result from providing such care;	7809

(2) Preventing or reducing inappropriate institutional care	7810
and enabling persons who have Alzheimer's disease to remain at	7811
home as long as possible.	7812

(D) The director may provide services under this section to	7813
persons with Alzheimer's disease and their families regardless of	7814
the age of the persons with Alzheimer's disease.	7815

(E) The director shall adopt rules in accordance with Chapter	7816
119. of the Revised Code governing respite care programs and other	7817
supportive services, the distribution of funds, and the purpose	7818
for which funds may be utilized under this section.	7819

(F) The director may create an Alzheimer's disease task force	7820
to advise the director on the rights of persons with Alzheimer's	7821
disease and on the development and evaluation of education and	7822
training programs, home care programs, respite care programs, and	7823
long-term care initiatives as they relate to Alzheimer's disease.	7824
If a task force is created, the members shall include	7825
representatives of the Alzheimer's disease association and other	7826
organizations the director considers appropriate.	7827

Sec. 173.35.  (A) As used in this section, "PASSPORT	7828
administrative agency" means an entity under contract with the	7829
department of aging to provide administrative services regarding	7830
the PASSPORT program created under section 173.40 of the Revised	7831
Code.	7832

(B) The department of aging shall administer the residential	7833
state supplement program under which the state supplements the	7834
supplemental security income payments received by aged, blind, or	7835
disabled adults under Title XVI of the "Social Security Act," 49	7836
Stat. 620 (1935), 42 U.S.C.A., as amended. Residential state	7837
supplement payments shall be used for the provision of	7838
accommodations, supervision, and personal care services to	7839
supplemental security income recipients who the department	7840
determines are at risk of needing institutional care.	7841

(C) For an individual to be eligible for residential state	7842
supplement payments, all of the following must be the case:	7843

(1) Except as provided by division (G) of this section, the	7844
individual must reside in one of the following:	7845

(a) An adult foster home certified under section 173.36 of	7846
the Revised Code;	7847

(b) A home or facility, other than a nursing home or nursing	7848
home unit of a home for the aging, licensed by the department of	7849
health under Chapter 3721. or 3722. of the Revised Code and	7850
certified in accordance with standards established by the director	7851
of aging under division (D)(2) of this section;	7852

(c) A community alternative home licensed under section	7853
3724.03 of the Revised Code and certified in accordance with	7854
standards established by the director of aging under division	7855
(D)(2) of this section;	7856

(d) A residential facility as defined in division	7857
(A)(1)(d)(ii) of section 5119.22 of the Revised Code licensed by	7858
the department of mental health and certified in accordance with	7859
standards established by the director of aging under division	7860
(D)(2) of this section;	7861

(e) An apartment or room used to provide community mental	7862
health housing services certified by the department of mental	7863
health under section 5119.611 of the Revised Code and approved by	7864
a board of alcohol, drug addiction, and mental health services	7865
under division (A)(14) of section 340.03 of the Revised Code and	7866
certified in accordance with standards established by the director	7867
of aging under division (D)(2) of this section.	7868

(2) Effective July 1, 2000, a PASSPORT administrative agency	7869
must have determined that the environment in which the individual	7870
will be living while receiving the payments is appropriate for the	7871
individual's needs. If the individual is eligible for supplemental	7872
security income payments or social security disability insurance	7873
benefits because of a mental disability, the PASSPORT	7874
administrative agency shall refer the individual to a community	7875
mental health agency for the community mental health agency to	7876
issue in accordance with section 340.091 of the Revised Code a	7877
recommendation on whether the PASSPORT administrative agency	7878
should determine that the environment in which the individual will	7879
be living while receiving the payments is appropriate for the	7880
individual's needs. Division (C)(2) of this section does not apply	7881
to an individual receiving residential state supplement payments	7882
on June 30, 2000, until the individual's first eligibility	7883
redetermination after that date.	7884

(3) The individual satisfies all eligibility requirements	7885
established by rules adopted under division (D) of this section.	7886

(D)(1) The directors of aging and job and family services	7887
shall adopt rules in accordance with section 111.15 of the Revised	7888
Code as necessary to implement the residential state supplement	7889
program.	7890

To the extent permitted by Title XVI of the "Social Security	7891
Act," and any other provision of federal law, the director of job	7892
and family services shall adopt rules establishing standards for	7893
adjusting the eligibility requirements concerning the level of	7894
impairment a person must have so that the amount appropriated for	7895
the program by the general assembly is adequate for the number of	7896
eligible individuals. The rules shall not limit the eligibility of	7897
disabled persons solely on a basis classifying disabilities as	7898
physical or mental. The director of job and family services also	7899
shall adopt rules that establish eligibility standards for aged,	7900
blind, or disabled individuals who reside in one of the homes or	7901
facilities specified in division (C)(1) of this section but who,	7902
because of their income, do not receive supplemental security	7903
income payments. The rules may provide that these individuals may	7904
include individuals who receive other types of benefits,	7905
including, social security disability insurance benefits provided	7906
under Title II of the "Social Security Act," 49 Stat. 620 (1935),	7907
42 U.S.C.A. 401, as amended. Notwithstanding division (B) of this	7908
section, such payments may be made if funds are available for	7909
them.	7910

The director of aging shall adopt rules establishing the	7911
method to be used to determine the amount an eligible individual	7912
will receive under the program. The amount the general assembly	7913
appropriates for the program shall be a factor included in the	7914
method that department establishes.	7915

(2) The director of aging shall adopt rules in accordance	7916
with Chapter 119. of the Revised Code establishing standards for	7917
certification of living facilities described in division (C)(1) of	7918
this section.	7919

The directors of aging and mental health shall enter into an	7920
agreement to certify facilities that apply for certification and	7921
meet the standards established by the director of aging under this	7922
division.	7923

(E) The county department of job and family services of the	7924
county in which an applicant for the residential state supplement	7925
program resides shall determine whether the applicant meets income	7926
and resource requirements for the program.	7927

(F) The department of aging shall maintain a waiting list of	7928
any individuals eligible for payments under this section but not	7929
receiving them because moneys appropriated to the department for	7930
the purposes of this section are insufficient to make payments to	7931
all eligible individuals. An individual may apply to be placed on	7932
the waiting list even though the individual does not reside in one	7933
of the homes or facilities specified in division (C)(1) of this	7934
section at the time of application. TheIndividuals on the waiting	7935
list who reside in a community setting not required to be licensed	7936
or certified shall have their eligibility for the payments	7937
assessed before other individuals on the waiting list.	7938

The director of aging, by rules adopted in accordance with	7939
Chapter 119. of the Revised Code, shall specify procedures and	7940
requirements for placing an individual on the waiting list.	7941
Individuals on the waiting list who reside in a community setting	7942
not required to be licensed or certified shall have their	7943
eligibility for the payments assessed before other individuals on	7944
the waiting list.	7945

The director may adopt rules giving priority to individuals	7946
placed on the waiting list on or after July 1, 2006, who receive	7947
supplemental security income benefits under Title XVI of the	7948
"Social Security Act," 86 Stat. 1475 (1972), 42 U.S.C. 1381, as	7949
amended. The rules shall not affect the place on the waiting list	7950
of any person who was on the list on July 1, 2006.	7951

(G) An individual in a licensed or certified living	7952
arrangement receiving state supplementation on November 15, 1990,	7953
under former section 5101.531 of the Revised Code shall not become	7954
ineligible for payments under this section solely by reason of the	7955
individual's living arrangement as long as the individual remains	7956
in the living arrangement in which the individual resided on	7957
November 15, 1990.	7958

(H) The department of aging shall notify each person denied	7959
approval for payments under this section of the person's right to	7960
a hearing. On request, the hearing shall be provided by the	7961
department of job and family services in accordance with section	7962
5101.35 of the Revised Code.	7963

Sec. 173.85.  (A) The Ohio's best Rx program fund is hereby	7964
created. The fund shall be in the custody of the treasurer of	7965
state, but shall not be part of the state treasury. The fund shall	7966
consist of the following:	7967

(1) Manufacturer payments made by participating manufacturers	7968
pursuant to agreements entered into under section 173.81 of the	7969
Revised Code;	7970

(2) Administrative fees, if an administrative fee is	7971
determined by the department of aging in rules adopted under	7972
section 173.83 of the Revised Code;	7973

(3) Any amounts donated to the fund and accepted by the	7974
department;	7975

(4) The fund's investment earnings.

7976

(B) Money in the Ohio's best Rx program fund shall be used to	7977
make payments under section 173.801 of the Revised Code and to	7978
make transfers to the Ohio's best Rx administration fund in	7979
accordance with section 173.86 of the Revised Code.	7980

Sec. 173.86.  (A) The Ohio's best Rx administration fund is	7981
hereby created in the state treasury. The treasurer of state	7982
director of budget and management shall transfer from the Ohio's	7983
best Rx program fund to the Ohio's best Rx administration fund	7984
amounts equal to the following:	7985

(1) Amounts resulting from application of the program	7986
administration percentage, if a program administration percentage	7987
is determined by the department of aging in rules adopted under	7988
section 173.83 of the Revised Code;	7989

(2) The amount of the administrative fees charged Ohio's best	7990
Rx participants, if an administrative fee is determined by the	7991
department of aging in rules adopted under section 173.83 of the	7992
Revised Code;	7993

(3) The amount of any donations credited to the Ohio's best	7994
Rx program fund;	7995

(4) The amount of investment earnings credited to the Ohio's	7996
best Rx program fund.	7997

The treasurer of statedirector of budget and management	7998
shall make the transfers in accordance with a schedule developed	7999
by the treasurer of statedirector and the department of aging.	8000

(B) The department of aging shall use money in the Ohio's	8001
best Rx administration fund to pay the administrative costs of the	8002
Ohio's best Rx program, including, but not limited to, costs	8003
associated with contracted services, staff, outreach activities,	8004
computers and network services, and the Ohio's best Rx program	8005
council. If the fund includes an amount that exceeds the amount	8006
necessary to pay the administrative costs of the program, the	8007
department may use the excess amount to pay the cost of subsidies	8008
provided to Ohio's best Rx program participants under any subsidy	8009
program established pursuant to section 173.861 of the Revised	8010
Code.	8011

Sec. 176.05.  (A)(1) Notwithstanding any provision of law to	8012
the contrary, the rate of wages payable for the various	8013
occupations covered by sections 4115.03 to 4115.16 of the Revised	8014
Code to persons employed on a project who are not any of the	8015
following shall be determined according to this section:	8016

(a) Qualified volunteers;

8017

(b) Persons required to participate inWork-eligible	8018
individuals assigned to a work participation activity,	8019
developmental activity, or alternative work activity under	8020
sections 5107.40 to 5107.69section 5107.42 of the Revised Code	8021
except those engaged in paid employment or subsidized employment	8022
pursuant to the activity;	8023

(c) Food stamp benefit recipients required to participate in	8024
employment and training activities established by rules adopted	8025
under section 5101.54 of the Revised Code.	8026

An association representing the general contractors or	8027
subcontractors that engage in the business of residential	8028
construction in a certain locality shall negotiate with the	8029
applicable building and construction trades council in that	8030
locality an agreement or understanding that sets forth the	8031
residential prevailing rate of wages, payable on projects in that	8032
locality, for each of the occupations employed on those projects.	8033

(2) Notwithstanding any residential prevailing rate of wages	8034
established prior to July 1, 1995, if, by October 1, 1995, the	8035
parties are unable to agree under division (A)(1) of this section	8036
as to the rate of wages payable for each occupation covered by	8037
sections 4115.03 to 4115.16 of the Revised Code, the director of	8038
commerce shall establish the rate of wages payable for each	8039
occupation.	8040

(3) The residential prevailing rate of wages established	8041
under division (A)(1) or (2) of this section shall not be equal to	8042
or greater than the prevailing rate of wages determined by the	8043
director pursuant to sections 4115.03 to 4115.16 of the Revised	8044
Code for any of the occupations covered by those sections.	8045

(B) Except for the prevailing rate of wages determined by the	8046
director pursuant to sections 4115.03 to 4115.16 of the Revised	8047
Code, those sections and section 4115.99 of the Revised Code apply	8048
to projects.	8049

(C) The residential prevailing rate of wages established	8050
under division (A) of this section is not payable to any	8051
individual or member of that individual's family who provides	8052
labor in exchange for acquisition of the property for	8053
homeownership or who provides labor in place of or as a supplement	8054
to any rental payments for the property.	8055

(D) For the purposes of this section:

8056

(1) "Project" means any construction, rehabilitation,	8057
remodeling, or improvement of residential housing, whether on a	8058
single or multiple site for which a person, as defined in section	8059
1.59 of the Revised Code, or municipal corporation, county, or	8060
township receives financing, that is financed in whole or in part	8061
from state moneys or pursuant to this chapter, section 133.51 or	8062
307.698 of the Revised Code, or Chapter 174. or 175. of the	8063
Revised Code, except for any of the following:	8064

(a) The single-family mortgage revenue bonds homeownership	8065
program under Chapter 175. of the Revised Code, including	8066
owner-occupied dwellings of one to four units;	8067

(b) Projects consisting of fewer than six units developed by	8068
any entity that is not a nonprofit organization exempt from	8069
federal income tax under section 501(c)(3) of the Internal Revenue	8070
Code;	8071

(c) Projects of fewer than twenty-five units developed by any	8072
nonprofit organization that is exempt from federal income tax	8073
under section 501(c)(3) of the Internal Revenue Code;	8074

(d) Programs undertaken by any municipal corporation, county,	8075
or township, including lease-purchase programs, using mortgage	8076
revenue bond financing;	8077

(e) Any individual project, that is sponsored or developed by	8078
a nonprofit organization that is exempt from federal income tax	8079
under section 501(c)(3) of the Internal Revenue Code, for which	8080
the federal government or any of its agencies furnishes by loan,	8081
grant, low-income housing tax credit, or insurance more than	8082
twelve per cent of the costs of the project. For purposes of	8083
division (D)(2)(e) of this section, the value of the low-income	8084
housing tax credits shall be calculated as the proceeds from the	8085
sale of the tax credits, less the costs of the sale.	8086

As used in division (D)(1)(e) of this section, "sponsored"	8087
means that a general partner of a limited partnership owning the	8088
project or a managing member of a limited liability company owning	8089
the project is either a nonprofit organization that is exempt from	8090
federal income tax under section 501(c)(3) of the Internal Revenue	8091
Code or a person, as defined in section 1.59 of the Revised Code,	8092
or a limited liability company in which such a nonprofit	8093
organization maintains controlling interest. For purposes of this	8094
division, a general partner of a limited partnership that is a	8095
nonprofit organization described under this division is not	8096
required to be the sole general partner in the limited	8097
partnership, and a managing member of a limited liability company	8098
that is a nonprofit organization described under this division is	8099
not required to be the sole managing member in the limited	8100
liability company.	8101

Nothing in division (D)(1)(e) of this section shall be	8102
construed as permitting unrelated projects to be combined for the	8103
sole purpose of determining the total percentage of project costs	8104
furnished by the federal government or any of its agencies.	8105

(2) A "project" is a "public improvement" and the state or a	8106
political subdivision that undertakes or participates in the	8107
financing of a project is a "public authority," as both of the	8108
last two terms are defined in section 4115.03 of the Revised Code.	8109

(3) "Qualified volunteers" are volunteers who are working	8110
without compensation for a nonprofit organization that is exempt	8111
from federal income tax under section 501(c)(3) of the Internal	8112
Revenue Code, and that is providing housing or housing assistance	8113
only to families and individuals in a county whose incomes are not	8114
greater than one hundred forty per cent of the median income of	8115
that county as determined under section 174.04 of the Revised	8116
Code.	8117

Sec. 183.01.  As used in this chapter:

8118

(A) "Tobacco master settlement agreement" means the	8119
settlement agreement (and related documents) entered into on	8120
November 23, 1998 by the state and leading United States tobacco	8121
product manufacturers.	8122

(B) "Net amounts credited to the tobacco master settlement	8123
agreement fund" means all amounts credited to the tobacco master	8124
settlement agreement fund during a fiscal year, minus all amounts	8125
required to be transferred under section 183.02 of the Revised	8126
Code to the education facilities trust fund, the education	8127
facilities endowment fund, and the income tax reduction fund	8128
during the fiscal year. In addition, in fiscal year 2000, "net	8129
amounts credited to the tobacco master settlement agreement fund"	8130
does not include amounts credited to the tobacco use prevention	8131
and cessation trust fund, law enforcement improvements trust fund,	8132
and southern Ohio agricultural and community development trust	8133
fund from the first payment received that year.	8134

(C) "Southern Ohio" includes any county in this state where	8135
tobacco has traditionally been grown.	8136

Sec. 183.021.  (A) No money from the tobacco master	8137
settlement agreement fund, as that fund existed prior to the	8138
repeal of section 183.02 of the Revised Code by .... of the 127th	8139
General Assembly, shall be expended to do any of the following:	8140

(1) Hire an executive agency lobbyist, as defined under	8141
section 121.60 of the Revised Code, or a legislative agent, as	8142
defined under section 101.70 of the Revised Code;	8143

(2) Support or oppose candidates, ballot questions,	8144
referendums, or ballot initiatives.	8145

(B) Nothing in this section prohibits any of the following	8146
from advocating on behalf of the specific objectives of a program	8147
funded under this chapter:	8148

(1) The members of the board of trustees, executive director,	8149
or employees of the tobacco use prevention and control foundation;	8150

(2) The members of the board of trustees, executive director,	8151
or employees of the southern Ohio agricultural and community	8152
development foundation;	8153

(3) The members or employees of the third frontier commission	8154
or the members of the third frontier advisory board.	8155

Sec. 183.17.  The fiscal year of the southern Ohio	8156
agricultural and community development foundation shall be the	8157
same as the fiscal year of the state.	8158

Within ninety days after the end of each fiscal year, the	8159
foundation shall submit to the governor and the general assembly	8160
both of the following:	8161

(A) A report of the activities of the foundation during the	8162
preceding fiscal year. The report shall also contain an	8163
independent evaluation of the progress being made by the	8164
foundation in carrying out its duties.	8165

(B) A financial report of the foundation for the preceding	8166
year, which shall include both:	8167

(1) Information on the amount and percentage of overhead and	8168
administrative expenditures compared to programmatic expenditures;	8169

(2) An independent auditor's report on the basic financial	8170
statements and required supplementary information of the	8171
foundation. Such financial statements shall be prepared in	8172
conformity with generally accepted accounting principles	8173
prescribed for governmental entities.	8174

On or before July 1, 2010, the foundation shall report to the	8175
governor and the general assembly on the progress that the	8176
foundation has made in replacing the production of tobacco in	8177
southern Ohio with the production of other agricultural products	8178
and in mitigating the adverse economic impact of reduced tobacco	8179
production in the region. If the foundation concludes that a need	8180
for additional funding still exists, the foundation may request	8181
that provision be made for a portion of the payments credited to	8182
the tobacco master settlement agreement fund to continue to be	8183
transferred to the southern Ohio agricultural and community	8184
development trust fund.	8185

Sec. 183.33.  No money shall be appropriated or transferred	8186
from the general revenue fund to the tobacco master settlement	8187
agreement fund, tobacco use prevention and cessation trust fund,	8188
tobacco use prevention and control endowment fund, law enforcement	8189
improvements trust fund, southern Ohio agricultural and community	8190
development trust fund, southern Ohio agricultural and community	8191
development foundation endowment fund, Ohio's public health	8192
priorities trust fund, biomedical research and technology transfer	8193
trust fund, education facilities trust fund, education facilities	8194
endowment fund, or education technology trust fund. In addition,	8195
no money shall be otherwise appropriated or transferred from the	8196
general revenue fund for the use of the tobacco use prevention and	8197
control foundation or the southern Ohio agricultural and community	8198
development foundation.	8199

Sec. 183.34. There is hereby created in the state treasury	8200
the tobacco settlement oversight, administration, and enforcement	8201
fund, to which shall be creditedconsist of amounts transferred	8202
under division (I) of section 183.02 of the Revised Code prior to	8203
the repeal of that section by ..... of the 127th general assembly.	8204
The attorney general shall use the fund to pay costs incurred in	8205
the oversight, administration, and enforcement of the tobacco	8206
master settlement agreement.	8207

Sec. 183.35. There is hereby created in the state treasury	8208
the tobacco settlement enforcement fund, to which shall be	8209
creditedconsist of amounts transferred under division (J) of	8210
section 183.02 of the Revised Code prior to the repeal of that	8211
section by ..... of the 127th general assembly. The tax	8212
commissioner shall use the fund to pay costs incurred in the	8213
enforcement of divisions (F) and (G) of section 5743.03 of the	8214
Revised Code.	8215

Sec. 183.51. (A) As used in this section and in the	8216
applicable bond proceedings unless otherwise provided:	8217

(1) "Bond proceedings" means the resolutions, orders,	8218
indentures, purchase and sale and trust and other agreements	8219
including any amendments or supplements to them, and credit	8220
enhancement facilities, and amendments and supplements to them, or	8221
any one or more or combination of them, authorizing, awarding, or	8222
providing for the terms and conditions applicable to or providing	8223
for the security or liquidity of, the particular obligations, and	8224
the provisions contained in those obligations.	8225

(2) "Bond service fund" means the bond service fund created	8226
in the bond proceedings for the obligations.	8227

(3) "Capital facilities" means, as applicable, capital	8228
facilities or projects as referred to in sections 151.03, 151.04,	8229
152.09, 152.33, 154.20, or 154.22 of the Revised Code.	8230

(4) "Cost of capital facilities" has the same meaning as in	8231
section 151.01, 152.09, or 154.01 of the Revised Code, as	8232
applicable.	8233

(5) "Credit enhancement facilities," "financing costs," and	8234
"interest" or "interest equivalent" have the same meanings as in	8235
section 133.01 of the Revised Code.	8236

(6) "Debt service" means principal, including any mandatory	8237
sinking fund or redemption requirements for retirement of	8238
obligations, interest and other accreted amounts, interest	8239
equivalent, and any redemption premium, payable on obligations. If	8240
not prohibited by the applicable bond proceedings, "debt service"	8241
may include costs relating to credit enhancement facilities that	8242
are related to and represent, or are intended to provide a source	8243
of payment of or limitation on, other debt service.	8244

(7) "Improvement fund" means, as applicable, the school	8245
building program assistance fund created in section 3318.25 of the	8246
Revised Code, the higher education improvement fund created in	8247
section 154.21 of the Revised Code, the mental health facilities	8248
improvement fund created in section 154.20 of the Revised Code,	8249
the parks and recreation improvement fund created in section	8250
154.22 of the Revised Code, the administrative building fund	8251
created in section 123.10 of the Revised Code, and the adult	8252
correctional building fund referred to in section 5120.105 of the	8253
Revised Code.	8254

(8) "Issuing authority" means the Ohio tobacco settlement	8255
financing authority created in section 183.52 of the Revised Code.	8256

(9) "Net proceeds" means amounts received from the sale of	8257
obligations, excluding amounts used to refund or retire	8258
outstanding obligations, amounts required to be deposited into	8259
special funds pursuant to the applicable bond proceedings, and	8260
amounts to be used to pay financing costs.	8261

(10) "Obligations" means bonds, notes, or other evidences of	8262
obligation of the issuing authority, including any appertaining	8263
interest coupons, issued by the issuing authority under this	8264
section and Section 2i of Article VIII, Ohio Constitution, for the	8265
purpose of providing funds to the state, in exchange for the	8266
assignment and sale described in division (B) of this section, for	8267
the purpose of paying costs of capital facilities for: (a) housing	8268
branches and agencies of state government, including but not	8269
limited to facilities for housing state agencies, for a system of	8270
common schools throughout the state, and for use as state	8271
correctional facilities or county, multicounty, municipal-county,	8272
and multicounty-municipal jail facilities or workhouses; (b)	8273
state-supported or state-assisted institutions of higher	8274
education; (c) mental hygiene and retardation; and (d) parks and	8275
recreation.	8276

(11) "Pledged receipts" means, as and to the extent provided	8277
for in the applicable bond proceedings:	8278

(a) Pledged tobacco settlement receipts;

8279

(b) Accrued interest received from the sale of obligations;

8280

(c) Income from the investment of the special funds;

8281

(d) Additional or any other specific revenues or receipts	8282
lawfully available to be pledged, and pledged, pursuant to the	8283
bond proceedings, including but not limited to amounts received	8284
under credit enhancement facilities, to the payment of debt	8285
service.	8286

(12) "Pledged tobacco settlement receipts" means all amounts	8287
received by the issuing authority pursuant to division (B) of this	8288
section.	8289

(13) "Principal amount" means the aggregate of the amount as	8290
stated or provided for in the applicable bond proceedings as the	8291
amount on which interest or interest equivalent on particular	8292
obligations is initially calculated. "Principal amount" does not	8293
include any premium paid to the issuing authority by the initial	8294
purchaser of the obligations. "Principal amount" of a capital	8295
appreciation bond, as defined in division (C) of section 3334.01	8296
of the Revised Code, means its original face amount and not its	8297
accreted value, and "principal amount" of a zero coupon bond, as	8298
defined in division (J) of section 3334.01 of the Revised Code,	8299
means the discounted offering price at which the bond is initially	8300
sold to the public, disregarding any purchase price discount to	8301
the original purchaser, if provided in or for pursuant to the bond	8302
proceedings.	8303

(14) "Special funds" or "funds," unless the context indicates	8304
otherwise, means the bond service fund, and any other funds,	8305
including any reserve funds, created under the bond proceedings	8306
and stated to be special funds in those proceedings, including	8307
moneys and investments, and earnings from investments, credited	8308
and to be credited to the particular fund. "Special funds" does	8309
not include any improvement fund or investment earnings on amounts	8310
in any improvement fund, or other funds created by the bond	8311
proceedings that are not stated by those proceedings to be special	8312
funds.	8313

(B) The state may assign and sell to the issuing authority,	8314
and the issuing authority may accept and purchase, all or a	8315
portion of the amounts to be received by the state under the	8316
tobacco master settlement agreement for a purchase price payable	8317
by the issuing authority to the state consisting of the net	8318
proceeds of obligations and any residual interest, if any. Any	8319
such assignment and sale shall be irrevocable in accordance with	8320
its terms during the period any obligations secured by amounts so	8321
assigned and sold are outstanding under the applicable bond	8322
proceedings, and shall constitute a contractual obligation to the	8323
holders or owners of those obligations. Any such assignment and	8324
sale shall also be treated as an absolute transfer and true sale	8325
for all purposes, and not as a pledge or other security interest.	8326
The characterization of any such assignment and sale as a true	8327
sale and absolute transfer shall not be negated or adversely	8328
affected by only a portion of the amounts to be received under the	8329
tobacco master settlement agreement being transferred, the	8330
acquisition or retention by the state of a residual interest, the	8331
participation of any state officer or employee as a member or	8332
officer of, or providing staff support to, the issuing authority,	8333
any responsibility of an officer or employee of the state for	8334
collecting the amounts to be received under the tobacco master	8335
settlement agreement or otherwise enforcing that agreement or	8336
retaining any legal title to or interest in any portion of the	8337
amounts to be received under that agreement for the purpose of	8338
these collection activities, any characterization of the issuing	8339
authority or its obligations for purposes of accounting, taxation,	8340
or securities regulation, or by any other factors whatsoever. A	8341
true sale shall exist under this section regardless of whether the	8342
issuing authority has any recourse against the state or any other	8343
term of the bond proceedings or the treatment or characterization	8344
of the transfer as a financing for any purpose. Upon and following	8345
the assignment and sale, the state shall not have any right,	8346
title, or interest in the portion of the receipts under the	8347
tobacco master settlement agreement so assigned and sold, other	8348
than any residual interest that may be described in the applicable	8349
bond proceedings for those obligations, and that portion, if any,	8350
shall be the property of the issuing authority and not of the	8351
state, and shall be paid directly to the issuing authority, and	8352
shall be owned, received, held, and disbursed by the issuing	8353
authority and not by the state, and the state shall: (1) not agree	8354
to any amendment of the tobacco master settlement agreement that	8355
materially and adversely affects the issuing authority's ability	8356
to receive the portion of the receipts under the tobacco master	8357
settlement agreement assigned and sold to the issuing authority,	8358
(2) enforce by the attorney general in the manner and as otherwise	8359
set forth in any bond proceedings the rights of the issuing	8360
authority to receive the receipts under the tobacco master	8361
settlement agreement assigned and sold to the issuing authority to	8362
the full extent permitted by the tobacco master settlement	8363
agreement, (3) not limit or alter the rights of the issuing	8364
authority to fulfill the terms of its agreements with the holders	8365
or owners of obligations outstanding under the bond proceedings,	8366
(4) not in any way impair the rights and remedies of the holders	8367
or owners of obligations outstanding under the bond proceedings or	8368
the security for those obligations; provided, that nothing in this	8369
section shall be construed to preclude the state from regulating	8370
or permitting the regulation of smoking or from taxing and	8371
regulating the sale of cigarettes or other tobacco products; and	8372
(5) not fail to enforce Chapter 1346. of the Revised Code. Nothing	8373
in this section shall be construed as in any way modifying or	8374
limiting the responsibility and power of the attorney general to	8375
administer, protect, and discharge all duties, rights, and	8376
obligations of the state under the tobacco master settlement	8377
agreement or Chapter 1346. of the Revised Code.	8378

The governor and the director of budget and management, in	8379
consultation with the attorney general, on behalf of the state,	8380
and any member or officer of the issuing authority as authorized	8381
by that issuing authority, on behalf of the issuing authority, may	8382
take any action and execute any documents, including any purchase	8383
and sale agreements, necessary to effect the assignment and sale	8384
and the acceptance of the assignment and title to the receipts	8385
including, providing irrevocable direction to the escrow agent	8386
acting under the tobacco master settlement agreement to transfer	8387
directly to the issuing authority the amounts to be received under	8388
that agreement that are subject to such assignment and sale. Any	8389
purchase and sale agreement or other bond proceedings may contain	8390
the terms and conditions established by the state and the issuing	8391
authority to carry out and effectuate the purposes of this	8392
section, including, without limitation, covenants binding the	8393
state in favor of the issuing authority and its assignees and the	8394
owners of the obligations. Any such purchase and sale agreement	8395
shall be sufficient to effectuate such purchase and sale without	8396
regard to any other laws governing other property sales or	8397
financial transactions by the state.	8398

Not later than two years following the date on which there	8399
are no longer any obligations outstanding under the bond	8400
proceedings, all assets of the issuing authority shall vest in the	8401
state, the issuing authority shall execute any necessary	8402
assignments or instruments, including any assignment of any right,	8403
title, or ownership to the state for receipt of amounts under the	8404
tobacco master settlement agreement, and the issuing authority	8405
shall be dissolved.	8406

(C) The issuing authority is authorized to issue and to sell	8407
obligations as provided in this section. The aggregate principal	8408
amount of obligations issued under this section shall not exceed	8409
six billion dollars, exclusive of obligations issued under	8410
divisions (N)(1) of this section to refund, renew, or advance	8411
refund other obligations issued or incurred. At least seventy-five	8412
per cent of the aggregate net proceeds of the obligations issued	8413
under the authority of this section, exclusive of obligations	8414
issued to refund, renew, or advance refund other obligations,	8415
shall be paid to the state for deposit into the school building	8416
program assistance fund created in section 3318.25 of the Revised	8417
Code.	8418

(D) Each issue of obligations shall be authorized by	8419
resolution or order of the issuing authority. The bond proceedings	8420
shall provide for or authorize the manner for determining the	8421
principal amount or maximum principal amount of obligations of an	8422
issue, the principal maturity or maturities, the interest rate or	8423
rates, the date of and the dates of payment of interest on the	8424
obligations, their denominations, and the place or places of	8425
payment of debt service which may be within or outside the state.	8426
Unless otherwise provided by law, the latest principal maturity	8427
may not be later than the earlier of the thirty-first day of	8428
December of the fiftieth calendar year after the year of issuance	8429
of the particular obligations or of the fiftieth calendar year	8430
after the year in which the original obligation to pay was issued	8431
or entered into. Sections 9.96, 9.98, 9.981, 9.982, and 9.983 of	8432
the Revised Code apply to the obligations.	8433

The purpose of the obligations may be stated in the bond	8434
proceedings in general terms, such as, as applicable, "paying	8435
costs of capital facilities for a system of common schools,"	8436
"paying costs of facilities for state-supported and state-assisted	8437
institutions of higher education," "paying the cost of capital	8438
facilities for housing of branches and agencies of state	8439
government, including capital facilities for the purpose of	8440
housing personnel, equipment, or functions, or any combination	8441
thereof that the state agencies are responsible for housing,"	8442
"paying costs of capital facilities for use as state correctional	8443
facilities or county, multicounty, municipal-county, and	8444
multicounty-municipal jail facilities or workhouses, or as single	8445
county or district community-based correctional facilities,"	8446
"paying costs of capital facilities for mental hygiene and	8447
retardation," and "paying costs of capital facilities for parks	8448
and recreation." Unless otherwise provided in the bond	8449
proceedings, the net proceeds from the issuance of the obligations	8450
shall be paid to the state for deposit into the applicable	8451
improvement fund. Notwithstanding division (B)(4) of section	8452
3318.38 of the Revised Code, net proceeds of obligations deposited	8453
into the school building program assistance fund created in	8454
section 3318.25 of the Revised Code may be used to pay basic	8455
project costs under section 3318.38 of the Revised Code at the	8456
times determined by the Ohio school facilities commission without	8457
regard to whether those expenditures are in proportion to the	8458
state's and the school district's respective shares of that basic	8459
project cost. As used in the preceding sentence, "Ohio school	8460
facilities commission" and "basic project costs" have the same	8461
meanings as in section 3318.01 of the Revised Code.	8462

(E) The issuing authority may, without need for any other	8463
approval, appoint or provide for the appointment of paying agents,	8464
bond registrars, securities depositories, credit enhancement	8465
providers or counterparties, clearing corporations, and transfer	8466
agents, and retain or contract for the services of underwriters,	8467
investment bankers, financial advisers, accounting experts,	8468
marketing, remarketing, indexing, and administrative agents, other	8469
consultants, and independent contractors, including printing	8470
services, as are necessary in the judgment of the issuing	8471
authority to carry out the issuing authority's functions under	8472
this section and section 183.52 of the Revised Code. The issuing	8473
authority also may without need for any other approval retain or	8474
contract for the services of attorneys and other professionals for	8475
that purpose. Financing costs are payable, as may be provided in	8476
the bond proceedings, from the proceeds of the obligations, from	8477
special funds, or from other moneys available for the purpose,	8478
including as to future financing costs, from the pledged receipts.	8479

(F) The issuing authority may irrevocably pledge and assign	8480
all, or such portion as the issuing authority determines, of the	8481
pledged receipts to the payment of the debt service charges on	8482
obligations issued under this section, and for the establishment	8483
and maintenance of any reserves, as provided in the bond	8484
proceedings, and make other provisions in the bond proceedings	8485
with respect to pledged receipts as authorized by this section,	8486
which provisions are controlling notwithstanding any other	8487
provisions of law pertaining to them. Any and all pledged receipts	8488
received by the issuing authority and required by the bond	8489
proceedings, consistent with this section, to be deposited,	8490
transferred, or credited to the bond service fund, and all other	8491
money transferred or allocated to or received for the purposes of	8492
that fund, shall be deposited and credited to the bond service	8493
fund created in the bond proceedings for the obligations, subject	8494
to any applicable provisions of those bond proceedings, but	8495
without necessity for any act of appropriation. Those pledged	8496
receipts shall immediately be subject to the lien of that pledge	8497
without any physical delivery thereof or further act, and shall	8498
not be subject to other court judgments. The lien of the pledge of	8499
those pledged receipts shall be valid and binding against all	8500
parties having claims of any kind against the issuing authority,	8501
irrespective of whether those parties have notice thereof. The	8502
pledge shall create a perfected security interest for all purposes	8503
of Chapter 1309. of the Revised Code and a perfected lien for	8504
purposes of any other interest, all without the necessity for	8505
separation or delivery of funds or for the filing or recording of	8506
the applicable bond proceedings by which that pledge is created or	8507
any certificate, statement, or other document with respect	8508
thereto. The pledge of the pledged receipts shall be effective and	8509
the money therefrom and thereof may be applied to the purposes for	8510
which pledged.	8511

(G) The issuing authority may covenant in the bond	8512
proceedings, and such covenants shall be controlling, and shall be	8513
binding upon the state if and when made, notwithstanding any other	8514
provision of law, that (1) the state and applicable officers and	8515
state agencies, including the general assembly, so long as any	8516
obligations issued under this section are outstanding, shall	8517
maintain statutory authority for, and cause to be collected and	8518
paid directly to the issuing authority or its assignee, the	8519
pledged receipts for the payment of debt service on obligations	8520
and for the establishment and maintenance of any reserves and	8521
other requirements provided for in the bond proceedings, (2) the	8522
state shall enforce by the attorney general, in the manner and as	8523
otherwise set forth in any bond proceedings, the provisions of the	8524
tobacco master settlement agreement that require payment of	8525
amounts to the state that have been assigned and sold to the	8526
issuing authority, and (3) the state shall not fail to enforce	8527
Chapter 1346. of the Revised Code.	8528

(H) Obligations may be further secured, as determined by the	8529
issuing authority, by an indenture or a trust agreement between	8530
the issuing authority and a corporate trustee, which may be any	8531
trust company or bank having a place of business within the state.	8532
Any indenture or trust agreement may contain the resolution or	8533
order authorizing the issuance of the obligations, any provisions	8534
that may be contained in any bond proceedings, and other	8535
provisions that are customary or appropriate in an agreement of	8536
that type, including, but not limited to:	8537

(1) Maintenance of each pledge, indenture, trust agreement,	8538
or other instrument comprising part of the bond proceedings until	8539
the issuing authority has fully paid or provided for the payment	8540
of debt service on the obligations secured by it;	8541

(2) In the event of default in any payments required to be	8542
made by the bond proceedings, enforcement of those payments or	8543
agreements by mandamus, the appointment of a receiver, suit in	8544
equity, action at law, or any combination of them;	8545

(3) The rights and remedies of the holders or owners of	8546
obligations and of the trustee and provisions for protecting and	8547
enforcing them, including limitations on rights of individual	8548
holders and owners.	8549

(I) The bond proceedings may contain additional provisions	8550
customary or appropriate to the financing or to the obligations or	8551
to particular obligations including, but not limited to,	8552
provisions for:	8553

(1) The redemption of obligations prior to maturity at the	8554
option of the issuing authority or of the holder or upon the	8555
occurrence of certain conditions, and at a particular price or	8556
prices and under particular terms and conditions;	8557

(2) The form of and other terms of the obligations;

8558

(3) The establishment, deposit, investment, and application	8559
of special funds, and the safeguarding of moneys on hand or on	8560
deposit, in lieu of the applicability of provisions of Chapter	8561
131. or 135. of the Revised Code, but subject to any special	8562
provisions of this section with respect to the application of	8563
particular funds or moneys. Any financial institution that acts as	8564
a depository of any moneys in special funds or other funds under	8565
the bond proceedings may furnish indemnifying bonds or pledge	8566
securities as required by the issuing authority.	8567

(4) Any or every provision of the bond proceedings being	8568
binding upon the issuing authority and upon such governmental	8569
agency or entity, officer, board, authority, agency, department,	8570
institution, district, or other person or body as may from time to	8571
time be authorized to take actions as may be necessary to perform	8572
all or any part of the duty required by the provision;	8573

(5) The maintenance of each pledge or instrument comprising	8574
part of the bond proceedings until the issuing authority has fully	8575
paid or provided for the payment of the debt service on the	8576
obligations or met other stated conditions;	8577

(6) In the event of default in any payments required to be	8578
made by the bond proceedings, or by any other agreement of the	8579
issuing authority made as part of a contract under which the	8580
obligations were issued or secured, including a credit enhancement	8581
facility, the enforcement of those payments by mandamus, a suit in	8582
equity, an action at law, or any combination of those remedial	8583
actions;	8584

(7) The rights and remedies of the holders or owners of	8585
obligations or of book-entry interests in them, and of third	8586
parties under any credit enhancement facility, and provisions for	8587
protecting and enforcing those rights and remedies, including	8588
limitations on rights of individual holders or owners;	8589

(8) The replacement of mutilated, destroyed, lost, or stolen	8590
obligations;	8591

(9) The funding, refunding, or advance refunding, or other	8592
provision for payment, of obligations that will then no longer be	8593
outstanding for purposes of this section or of the applicable bond	8594
proceedings;	8595

(10) Amendment of the bond proceedings;

8596

(11) Payment of the expenses of the enforcement activity of	8597
the attorney general and others referred to in division (G)(2) of	8598
this section from the amounts received by the state under the	8599
tobacco master settlement agreement assigned and sold to the	8600
issuing authority under division (B) of this section;	8601

(12) Any other or additional agreements with the owners of	8602
obligations, and such other provisions as the issuing authority	8603
determines, including limitations, conditions, or qualifications,	8604
relating to any of the foregoing or the activities of the issuing	8605
authority in connection therewith.	8606

The issuing authority shall not, and shall covenant in the	8607
bond proceedings that it shall not, be authorized to and shall not	8608
file a voluntary petition under the United States Bankruptcy Code,	8609
11 U.S.C. 101 et seq., as amended, or voluntarily commence any	8610
similar bankruptcy proceeding under state law including, without	8611
limitation, consenting to the appointment of a receiver or trustee	8612
or making a general or specific assignment for the benefit of	8613
creditors, and neither any public officer or any organization,	8614
entity, or other person shall authorize the issuing authority to	8615
be or become a debtor under the United States Bankruptcy Code or	8616
take any of those actions under the United States Bankruptcy Code	8617
or state law. The state hereby covenants, and the issuing	8618
authority shall covenant, with the holders or owners of the	8619
obligations, that the state shall not permit the issuing authority	8620
to file a voluntary petition under the United States Bankruptcy	8621
Code or take any of those actions under the United States	8622
Bankruptcy Code or state law during the period obligations are	8623
outstanding and for any additional period for which the issuing	8624
authority covenants in the bond proceedings, which additional	8625
period may, but need not, be a period of three hundred sixty-seven	8626
days or more.	8627

(J) The obligations requiring execution by or for the issuing	8628
authority shall be signed as provided in the bond proceedings, and	8629
may bear the official seal of the issuing authority or a facsimile	8630
thereof. Any obligation may be signed by the individual who, on	8631
the date of execution, is the authorized signer even though, on	8632
the date of the obligations, that individual is not an authorized	8633
signer. In case the individual whose signature or facsimile	8634
signature appears on any obligation ceases to be an authorized	8635
signer before delivery of the obligation, that signature or	8636
facsimile is nevertheless valid and sufficient for all purposes as	8637
if that individual had remained the authorized signer until	8638
delivery.	8639

(K) Obligations are investment securities under Chapter 1308.	8640
of the Revised Code. Obligations may be issued in bearer or in	8641
registered form, registrable as to principal alone or as to both	8642
principal and interest, or both, or in certificated or	8643
uncertificated form, as the issuing authority determines.	8644
Provision may be made for the exchange, conversion, or transfer of	8645
obligations and for reasonable charges for registration, exchange,	8646
conversion, and transfer. Pending preparation of final	8647
obligations, the issuing authority may provide for the issuance of	8648
interim instruments to be exchanged for the final obligations.	8649

(L) Obligations may be sold at public sale or at private	8650
sale, in such manner, and at such price at, above, or below par,	8651
all as determined by and provided by the issuing authority in the	8652
bond proceedings.	8653

(M) Except to the extent that rights are restricted by the	8654
bond proceedings, any owner of obligations or provider of or	8655
counterparty to a credit enhancement facility may by any suitable	8656
form of legal proceedings protect and enforce any rights relating	8657
to obligations or that facility under the laws of this state or	8658
granted by the bond proceedings. Those rights include the right to	8659
compel the performance of all applicable duties of the issuing	8660
authority and the state. Each duty of the issuing authority and	8661
that issuing authority's officers, staff, and employees, and of	8662
each state entity or agency, or using district or using	8663
institution, and its officers, members, staff, or employees,	8664
undertaken pursuant to the bond proceedings, is hereby established	8665
as a duty of the entity or individual having authority to perform	8666
that duty, specifically enjoined by law and resulting from an	8667
office, trust, or station within the meaning of section 2731.01 of	8668
the Revised Code. The individuals who are from time to time the	8669
issuing authority, members or officers of the issuing authority,	8670
or those members' designees acting pursuant to section 183.52 of	8671
the Revised Code, or the issuing authority's officers, staff, or	8672
employees, are not liable in their personal capacities on any	8673
obligations or otherwise under the bond proceedings.	8674

(N)(1) Subject to any applicable limitations in division (C)	8675
of this section, the issuing authority may also authorize and	8676
provide for the issuance of:	8677

(a) Obligations in the form of bond anticipation notes, and	8678
may authorize and provide for the renewal of those notes from time	8679
to time by the issuance of new notes. The holders of notes or	8680
appertaining interest coupons have the right to have debt service	8681
on those notes paid solely from the moneys and special funds, and	8682
all or any portion of the pledged receipts, that are or may be	8683
pledged to that payment, including the proceeds of bonds or	8684
renewal notes or both, as the issuing authority provides in the	8685
bond proceedings authorizing the notes. Notes may be additionally	8686
secured by covenants of the issuing authority to the effect that	8687
the issuing authority will do all things necessary for the	8688
issuance of bonds or renewal notes in such principal amount and	8689
upon such terms as may be necessary to provide moneys to pay when	8690
due the debt service on the notes, and apply their proceeds to the	8691
extent necessary, to make full and timely payment of debt service	8692
on the notes as provided in the applicable bond proceedings. In	8693
the bond proceedings authorizing the issuance of bond anticipation	8694
notes the issuing authority shall set forth for the bonds	8695
anticipated an estimated schedule of annual principal payments the	8696
latest of which shall be no later than provided in division (D) of	8697
this section. While the notes are outstanding there shall be	8698
deposited, as shall be provided in the bond proceedings for those	8699
notes, from the sources authorized for payment of debt service on	8700
the bonds, amounts sufficient to pay the principal of the bonds	8701
anticipated as set forth in that estimated schedule during the	8702
time the notes are outstanding, which amounts shall be used solely	8703
to pay the principal of those notes or of the bonds anticipated.	8704

(b) Obligations for the refunding, including funding and	8705
retirement, and advance refunding, with or without payment or	8706
redemption prior to maturity, of any obligations previously issued	8707
under this section and any bonds or notes previously issued for	8708
the purpose of paying costs of capital facilities for: (i)	8709
state-supported or state-assisted institutions of higher education	8710
as authorized by sections 151.01 and 151.04 of the Revised Code,	8711
pursuant to Sections 2i and 2n of Article VIII, Ohio Constitution;	8712
(ii) housing branches and agencies of state government, including	8713
but not limited to facilities for housing state agencies as	8714
authorized by section 152.09 of the Revised Code, pursuant to	8715
Section 2i of Article VIII, Ohio Constitution, for a system of	8716
common schools throughout the state as authorized by sections	8717
151.01 and 151.03 of the Revised Code, pursuant to Sections 2i and	8718
2n of Article VIII, Ohio Constitution, and for use as state	8719
correctional facilities or county, multicounty, municipal-county,	8720
and multicounty-municipal jail facilities or workhouses as	8721
authorized by section 152.33 of the Revised Code, pursuant to	8722
Section 2i of Article VIII, Ohio Constitution; (iii) mental	8723
hygiene and retardation as authorized by sections 154.01 and	8724
154.20 of the Revised Code, pursuant to Section 2i of Article	8725
VIII, Ohio Constitution; and (iv) parks and recreation as	8726
authorized by sections 154.01 and 154.22 of the Revised Code,	8727
pursuant to Section 2i of Article VIII, Ohio Constitution.	8728
Refunding obligations may be issued in amounts sufficient to pay	8729
or to provide for repayment of the principal amount, including	8730
principal amounts maturing prior to the redemption of the	8731
remaining prior obligations or bonds or notes, any redemption	8732
premium, and interest accrued or to accrue to the maturity or	8733
redemption date or dates, payable on the prior obligations or	8734
bonds or notes, and related financing costs and any expenses	8735
incurred or to be incurred in connection with that issuance and	8736
refunding. Subject to the applicable bond proceedings, the portion	8737
of the proceeds of the sale of refunding obligations issued under	8738
division (N)(1)(b) of this section to be applied to debt service	8739
on the prior obligations or bonds or notes shall be credited to an	8740
appropriate separate account in the bond service fund and held in	8741
trust for the purpose by the issuing authority or by a corporate	8742
trustee, and may be invested as provided in the bond proceedings.	8743
Obligations authorized under this division shall be considered to	8744
be issued for those purposes for which the prior obligations or	8745
bonds or notes were issued.	8746

(2) The principal amount of refunding, advance refunding, or	8747
renewal obligations issued pursuant to division (N) of this	8748
section shall be in addition to the amount authorized in division	8749
(C) of this section.	8750

(O) Obligations are lawful investments for banks, savings and	8751
loan associations, credit union share guaranty corporations, trust	8752
companies, trustees, fiduciaries, insurance companies, including	8753
domestic for life and domestic not for life, trustees or other	8754
officers having charge of sinking and bond retirement or other	8755
special funds of the state and political subdivisions and taxing	8756
districts of this state, notwithstanding any other provisions of	8757
the Revised Code or rules adopted pursuant to those provisions by	8758
any state agency with respect to investments by them, and are also	8759
acceptable as security for the repayment of the deposit of public	8760
moneys. The exemptions from taxation in Ohio as provided for in	8761
particular sections of the Ohio Constitution and section 5709.76	8762
of the Revised Code apply to the obligations.	8763

(P)(1) Unless otherwise provided or provided for in any	8764
applicable bond proceedings, moneys to the credit of or in a	8765
special fund shall be disbursed on the order of the issuing	8766
authority. No such order is required for the payment, from the	8767
bond service fund or other special fund, when due of debt service	8768
or required payments under credit enhancement facilities.	8769

(2) Payments received by the issuing authority under interest	8770
rate hedges entered into as credit enhancement facilities under	8771
this section shall be deposited as provided in the applicable bond	8772
proceedings.	8773

(Q) The obligations shall not be general obligations of the	8774
state and the full faith and credit, revenue, and taxing power of	8775
the state shall not be pledged to the payment of debt service on	8776
them. The holders or owners of the obligations shall have no right	8777
to have any moneys obligated or pledged for the payment of debt	8778
service except as provided in this section and in the applicable	8779
bond proceedings. The rights of the holders and owners to payment	8780
of debt service are limited to all or that portion of the pledged	8781
receipts, and those special funds, pledged to the payment of debt	8782
service pursuant to the bond proceedings in accordance with this	8783
section, and each obligation shall bear on its face a statement to	8784
that effect.	8785

(R) Each bond service fund is a trust fund and is hereby	8786
pledged to the payment of debt service on the applicable	8787
obligations. Payment of that debt service shall be made or	8788
provided for by the issuing authority in accordance with the bond	8789
proceedings without necessity for any act of appropriation. The	8790
bond proceedings may provide for the establishment of separate	8791
accounts in the bond service fund and for the application of those	8792
accounts only to debt service on specific obligations, and for	8793
other accounts in the bond service fund within the general	8794
purposes of that fund.	8795

(S) Subject to the bond proceedings pertaining to any	8796
obligations then outstanding in accordance with their terms, the	8797
issuing authority may in the bond proceedings pledge all, or such	8798
portion as the issuing authority determines, of the moneys in the	8799
bond service fund to the payment of debt service on particular	8800
obligations, and for the establishment and maintenance of any	8801
reserves for payment of particular debt service.	8802

(T)(1) Unless otherwise provided in any applicable bond	8803
proceedings, moneys to the credit of special funds may be invested	8804
by or on behalf of the issuing authority only in one or more of	8805
the following:	8806

(a) Notes, bonds, or other direct obligations of the United	8807
States or of any agency or instrumentality of the United States,	8808
or in no-front-end-load money market mutual funds consisting	8809
exclusively of those obligations, or in repurchase agreements,	8810
including those issued by any fiduciary, secured by those	8811
obligations, or in collective investment funds consisting	8812
exclusively of those obligations;	8813

(b) Obligations of this state or any political subdivision of	8814
this state;	8815

(c) Certificates of deposit of any national bank located in	8816
this state and any bank, as defined in section 1101.01 of the	8817
Revised Code, subject to inspection by the superintendent of	8818
financial institutions;	8819

(d) The treasurer of state's pooled investment program under	8820
section 135.45 of the Revised Code;	8821

(e) Other investment agreements or repurchase agreements that	8822
are consistent with the ratings on the obligations.	8823

(2) The income from investments referred to in division	8824
(T)(1) of this section shall be credited to special funds or	8825
otherwise as the issuing authority determines in the bond	8826
proceedings. Those investments may be sold or exchanged at times	8827
as the issuing authority determines, provides for, or authorizes.	8828

(U) The treasurer of state shall have responsibility for	8829
keeping records, making reports, and making payments, relating to	8830
any arbitrage rebate requirements under the applicable bond	8831
proceedings.	8832

Sec. 183.52.  (A) There is hereby created a body, both	8833
corporate and politic, constituting an agency and instrumentality	8834
of this state and performing essential functions of the state, to	8835
be known as the Ohio tobacco settlement financing authority, which	8836
in that name may contract and be contracted with, sue and be sued,	8837
and exercise all other authority vested in that authority by this	8838
section and section 183.51 of the Revised Code. The authority is	8839
created for the sole purpose of purchasing and receiving any	8840
assignment of the tobacco settlement receipts and issuing	8841
obligations, all as provided for in section 183.51 of the Revised	8842
Code, to provide financing of essential functions and facilities.	8843
The property of the authority and its income and operations shall	8844
be exempt from taxation involving the state or by the state and	8845
any political subdivision of the state. All income of the	8846
authority, after the payment of necessary expenses, shall accrue	8847
to the state.	8848

(B) The authority shall consist of, in each case ex officio,	8849
the governor, the director of budget and management, the tax	8850
commissioner, the treasurer of state, the attorney general, and	8851
the auditor of state. The governor shall serve as the chair of the	8852
authority, the director of budget and management shall serve as	8853
its secretary, and the authority shall have such other officers as	8854
it determines, who may but need not be members of the authority.	8855
Four members of the authority constitute a quorum and the	8856
affirmative vote of four members is necessary for any action taken	8857
by vote of the authority. No vacancy in the membership of the	8858
authority shall impair the rights of a quorum by such vote to	8859
exercise all the rights and perform all the duties of the	8860
authority. Each of the members above identified may designate an	8861
employee or officer of their office to attend meetings of the	8862
authority when that member is absent or unable for any reason to	8863
attend and that designee, when present, shall be counted in	8864
determining whether a quorum is present at any meeting and may	8865
vote and participate in all proceedings and actions of the	8866
authority. A designee may not execute or cause a facsimile	8867
signature to be placed on any obligation. That designation shall	8868
be in writing, executed by the designating member, and be filed	8869
with the secretary of the authority. A designation may be changed	8870
from time to time by a similar written designation. The authority	8871
may delegate to such of its members, officers, employees, or staff	8872
as it determines those powers and duties as it deems appropriate.	8873
No member of the authority or designee shall, by reason of being	8874
or serving as a member of the authority, be required to abstain	8875
from action in any other capacity as an incumbent of a state	8876
office or position or from any action as a member of the authority	8877
in any matter affecting or in any way pertaining to both that	8878
office or position and the authority, or for any purpose be deemed	8879
to be disqualified from either such office or position or as a	8880
member of the authority by reason of so acting or to have violated	8881
any law by reason thereof. The authority may adopt and alter	8882
bylaws and rules for the conduct of its affairs, including	8883
provisions for meetings, and for the manner in which its powers	8884
and functions are to be exercised and embodied, and may adopt and	8885
alter at will an official seal to be affixed to official	8886
documents, provided that the failure to affix any such seal shall	8887
not affect the legality of such documents. Members of the	8888
authority shall receive no added compensation for their services	8889
as such members but may be reimbursed, as determined by the	8890
authority, for their necessary and actual expenses incurred in the	8891
conduct of the authority's business. The office of budget and	8892
management shall provide staff support to the authority.	8893

Notwithstanding the existence of common management, the	8894
authority shall be treated and accounted for as a separate and	8895
independent legal entity with its separate purposes as set forth	8896
in this section and section 183.51 of the Revised Code. The	8897
assets, liabilities, and funds of the authority shall not be	8898
consolidated or commingled with those of the state, and contracts	8899
entered into by the authority shall be entered into in the name of	8900
the authority and not in the name of the state.	8901

(C) In connection with the exercise of its powers pursuant to	8902
this section and section 183.51 of the Revised Code, the authority	8903
may enter into contracts and execute all instruments necessary or	8904
incidental to the performance of the issuing authority's duties	8905
and the execution of the issuing authority's powers and do all	8906
other acts necessary or proper to the fulfillment of the issuing	8907
authority's purposes and to carry out the powers expressly granted	8908
in this section and section 183.51 of the Revised Code.	8909

Sec. 307.021.  (A) It is hereby declared to be a public	8910
purpose and function of the state, and a matter of urgent	8911
necessity, that the state acquire, construct, or renovate capital	8912
facilities for use as county, multicounty, municipal-county, and	8913
multicounty-municipal jail facilities or workhouses, as	8914
single-county or district community-based correctional facilities	8915
authorized under section 2301.51 of the Revised Code, as minimum	8916
security misdemeanant jails under sections 341.34 and 753.21 of	8917
the Revised Code, and as single-county or joint-county juvenile	8918
facilities authorized under section 2151.65 of the Revised Code in	8919
order to comply with constitutional standards and laws for the	8920
incarceration of alleged and convicted offenders against state and	8921
local laws, and for use as county family court centers. For these	8922
purposes, counties and municipal corporations are designated as	8923
state agencies to perform duties of the state in relation to such	8924
facilities, workhouses, jails, and centers, and such facilities,	8925
workhouses, jails, and centers are designated as state capital	8926
facilities. The Ohio building authority is authorized to issue	8927
revenue obligations under sections 152.09 to 152.33 of the Revised	8928
Code to pay all or part of the cost of such state capital	8929
facilities as are designated by law.	8930

The office of the sheriff, due to its responsibilities	8931
concerning alleged and convicted offenders against state laws, is	8932
designated as the state agency having jurisdiction over such jail,	8933
workhouse, community-based correctional, or county minimum	8934
security misdemeanant jail capital facilities in any one county or	8935
over any district community-based correctional facilities. The	8936
corrections commission, due to its responsibilities in relation to	8937
such offenders, is designated as the state agency having	8938
jurisdiction over any such multicounty, municipal-county, or	8939
multicounty-municipal jail, workhouse, or correctional capital	8940
facilities. The office of the chief of police or marshal of a	8941
municipal corporation, due to its responsibilities concerning	8942
certain alleged and convicted criminal offenders, is designated as	8943
the state agency having jurisdiction over any such municipal	8944
corporation minimum security misdemeanant jail capital facilities	8945
in the municipal corporation. The juvenile court, as defined in	8946
section 2151.011 of the Revised Code, is designated as the branch	8947
of state government having jurisdiction over any such family court	8948
center or single-county or joint-county juvenile capital	8949
facilities. It is hereby determined and declared that such capital	8950
facilities are for the purpose of housing such state agencies,	8951
their functions, equipment, and personnel.	8952

(B) The capital facilities provided for in this section may	8953
be included in capital facilities in which one or more	8954
governmental entities are participating or in which other	8955
facilities of the county or counties, or any municipal	8956
corporations, are included pursuant to section 152.31 or 152.33 of	8957
the Revised Code or in an agreement between any county or counties	8958
and any municipal corporation or municipal corporations for	8959
participating in the joint construction, acquisition, or	8960
improvement of public works, public buildings, or improvements	8961
benefiting the parties in the same manner as set forth in section	8962
153.61 of the Revised Code.	8963

(C) A county or counties or a municipal corporation or	8964
municipal corporations may contribute to the cost of capital	8965
facilities authorized under this section.	8966

(D) A county or counties, and any municipal corporations,	8967
shall lease capital facilities described in this section that are	8968
constructed, reconstructed, otherwise improved, or financed by the	8969
Ohio building authority pursuant to sections 152.09 to 152.33 of	8970
the Revised Code for the use of the county or counties and any	8971
municipal corporations, and may enter into other agreements	8972
ancillary to the construction, reconstruction, improvement,	8973
financing, leasing, or operation of such capital facilities,	8974
including, but not limited to, any agreements required by the	8975
applicable bond proceedings authorized by sections 152.09 to	8976
152.33 of the Revised Code.	8977

Such lease may obligate the county or counties and any	8978
municipal corporation, as using state agencies under Chapter 152.	8979
of the Revised Code, to occupy and operate such capital facilities	8980
for such period of time as may be specified by law and to pay such	8981
rent as the authority determines to be appropriate.	8982
Notwithstanding any other section of the Revised Code, any county	8983
or counties or municipal corporation may enter into such a lease,	8984
and any such lease is legally sufficient to obligate the political	8985
subdivision for the term stated in the lease. Any such lease	8986
constitutes an agreement described in division (E) of section	8987
152.24 of the Revised Code.	8988

(E) If rental payments required from the county or counties	8989
or municipal corporation by a lease established pursuant to this	8990
section are not paid in accordance with such lease, the funds	8991
which otherwise would be apportioned to the lessees from the	8992
county undivided local governmentcommunities fund, pursuant to	8993
sections 5747.51 to 5747.53 of the Revised Code, shall be reduced	8994
by the amount of rent payable to the authority. The county	8995
treasurer immediately shall pay the amount of such reductions to	8996
the authority.	8997

(F) Any lease of capital facilities authorized by this	8998
section, the rentals of which are payable in whole or in part from	8999
appropriations made by the general assembly, is governed by	9000
division (D) of section 152.24 of the Revised Code. Such rentals	9001
constitute available receipts as defined in section 152.09 of the	9002
Revised Code and may be pledged for the payment of bond service	9003
charges as provided in section 152.10 of the Revised Code.	9004

(G) Any provision of section 152.21, 152.22, or 152.26 of the	9005
Revised Code that applies to buildings and facilities described in	9006
section 152.19 of the Revised Code also applies to the buildings	9007
and facilities described in this section, unless it is	9008
inconsistent with this section.	9009

Sec. 307.695.  (A) As used in this section:

9010

(1) "Arena" means any structure designed and constructed for	9011
the purpose of providing a venue for public entertainment and	9012
recreation by the presentation of concerts, sporting and athletic	9013
events, and other events and exhibitions, including facilities	9014
intended to house or provide a site for one or more athletic or	9015
sports teams or activities, spectator facilities, parking	9016
facilities, walkways, and auxiliary facilities, real and personal	9017
property, property rights, easements, leasehold estates, and	9018
interests that may be appropriate for, or used in connection with,	9019
the operation of the arena.	9020

(2) "Convention center" means any structure expressly	9021
designed and constructed for the purposes of presenting	9022
conventions, public meetings, and exhibitions and includes parking	9023
facilities that serve the center and any personal property used in	9024
connection with any such structure or facilities.	9025

(3) "Eligible county" means a county having a population of	9026
at least four hundred thousand but not more than eight hundred	9027
thousand according to the 2000 federal decennial census and that	9028
directly borders the geographic boundaries of another state.	9029

(4) "Entity" means a nonprofit corporation, a municipal	9030
corporation, a port authority created under Chapter 4582. of the	9031
Revised Code, or a convention facilities authority created under	9032
Chapter 351. of the Revised Code.	9033

(5) "Lodging taxes" means excise taxes levied under division	9034
(A)(1), (A)(2), or (C) of section 5739.09 of the Revised Code and	9035
the revenues arising therefrom.	9036

(6) "Nonprofit corporation" means a nonprofit corporation	9037
that is organized under the laws of this state and that includes	9038
within the purposes for which it is incorporated the authorization	9039
to lease and operate facilities such as a convention center or an	9040
arena or a combination of an arena and convention center.	9041

(7) "Project" means acquiring, constructing, reconstructing,	9042
renovating, rehabilitating, expanding, adding to, equipping,	9043
furnishing or otherwise improving an arena, a convention center,	9044
or a combination of an arena and convention center. For purposes	9045
of this section, a project is a permanent improvement for one	9046
purpose under Chapter 133. of the Revised Code.	9047

(8) "Project revenues" means money received by an eligible	9048
county, other than money from taxes or from the proceeds of	9049
securities secured by taxes, in connection with, derived from,	9050
related to, or resulting from a project, including, but not	9051
limited to, rentals and other payments received under a lease or	9052
agreement with respect to the project, ticket charges or	9053
surcharges for admission to events at a project, charges or	9054
surcharges for parking for events at a project, charges for the	9055
use of a project or any portion of a project, including suites and	9056
seating rights, the sale of naming rights for the project or a	9057
portion of the project, unexpended proceeds of any county revenue	9058
bonds issued for the project, and any income and profit from the	9059
investment of the proceeds of any such revenue bonds or any	9060
project revenues.	9061

(9) "Chapter 133. securities," "debt charges," "general	9062
obligation," "legislation," "one purpose," "outstanding,"	9063
"permanent improvement," "person," and "securities" have the	9064
meanings given to those terms in section 133.01 of the Revised	9065
Code.	9066

(B) A board of county commissioners may enter into an	9067
agreement with a convention and visitors' bureau operating in the	9068
county under which:	9069

(1) The bureau agrees to construct and equip a convention	9070
center in the county and to pledge and contribute from the tax	9071
revenues received by it under division (A) of section 5739.09 of	9072
the Revised Code, not more than such portion thereof that it is	9073
authorized to pledge and contribute for the purpose described in	9074
division (C) of this section; and	9075

(2) The board agrees to levy a tax under division (C) of	9076
section 5739.09 of the Revised Code and pledge and contribute the	9077
revenues therefrom for the purpose described in division (C) of	9078
this section.	9079

(C) The purpose of the pledges and contributions described in	9080
divisions (B)(1) and (2) of this section is payment of principal,	9081
interest, and premium, if any, on bonds and notes issued by or for	9082
the benefit of the bureau to finance the construction and	9083
equipping of a convention center. The pledges and contributions	9084
provided for in the agreement shall be for the period stated in	9085
the agreement. Revenues determined from time to time by the board	9086
to be needed to cover the real and actual costs of administering	9087
the tax imposed by division (C) of section 5739.09 of the Revised	9088
Code may not be pledged or contributed. The agreement shall	9089
provide that any such bonds and notes shall be secured by a trust	9090
agreement between the bureau or other issuer acting for the	9091
benefit of the bureau and a corporate trustee that is a trust	9092
company or bank having the powers of a trust company within or	9093
without the state, and the trust agreement shall pledge or assign	9094
to the retirement of the bonds or notes, all moneys paid by the	9095
county under this section. A tax the revenues from which are	9096
pledged under an agreement entered into by a board of county	9097
commissioners under this section shall not be subject to	9098
diminution by initiative or referendum, or diminution by statute,	9099
unless provision is made therein for an adequate substitute	9100
therefor reasonably satisfactory to the trustee under the trust	9101
agreement that secures the bonds and notes.	9102

(D) A pledge of money by a county under division (B) of this	9103
section shall not be indebtedness of the county for purposes of	9104
Chapter 133. of the Revised Code.	9105

(E) If the terms of the agreement so provide, the board of	9106
county commissioners may acquire and lease real property to the	9107
convention bureau as the site of the convention center. The lease	9108
shall be on such terms as are set forth in the agreement. The	9109
purchase and lease are not subject to the limitations of sections	9110
307.02 and 307.09 of the Revised Code.	9111

(F) In addition to the authority granted to a board of county	9112
commissioners under divisions (B) to (E) of this section, a board	9113
of county commissioners in a county with a population of one	9114
million two hundred thousand or more, or a county with a	9115
population greater than four hundred thousand but less than five	9116
hundred thousand, may establish and provide local funding options	9117
for constructing and equipping a convention center.	9118

(G) The board of county commissioners of an eligible county	9119
may undertake, finance, operate, and maintain a project. The board	9120
may lease a project to an entity on terms that the board	9121
determines to be in the best interest of the county and in	9122
furtherance of the public purpose of the project; the lease may be	9123
for a term of thirty-five years or less and may provide for an	9124
option of the entity to renew the lease for a term of thirty-five	9125
years or less. The board may enter into an agreement with an	9126
entity with respect to a project on terms that the board	9127
determines to be in the best interest of the county and in	9128
furtherance of the public purpose of the project. To the extent	9129
provided for in an agreement or a lease with an entity, the board	9130
may authorize the entity to administer on behalf of the board any	9131
contracts for the project. The board may enter into an agreement	9132
providing for the sale to a person of naming rights to a project	9133
or portion of a project, for a period, for consideration, and on	9134
other terms and conditions that the board determines to be in the	9135
best interest of the county and in furtherance of the public	9136
purpose of the project. The board may enter into an agreement with	9137
a person owning or operating a professional athletic or sports	9138
team providing for the use by that person of a project or portion	9139
of a project for that team's offices, training, practices, and	9140
home games for a period, for consideration, and on other terms and	9141
conditions that the board determines to be in the best interest of	9142
the county and in furtherance of the public purpose of the	9143
project. The board may establish ticket charges or surcharges for	9144
admission to events at a project, charges or surcharges for	9145
parking for events at a project, and charges for the use of a	9146
project or any portion of a project, including suites and seating	9147
rights, and may, as necessary, enter into agreements related	9148
thereto with persons for a period, for consideration, and on other	9149
terms and conditions that the board determines to be in the best	9150
interest of the county and in furtherance of the public purpose of	9151
the project. A lease or agreement authorized by this division is	9152
not subject to sections 307.02, 307.09, and 307.12 of the Revised	9153
Code.	9154

(H) Notwithstanding any contrary provision in Chapter 5739.	9155
of the Revised Code, after adopting a resolution declaring it to	9156
be in the best interest of the county to undertake a project as	9157
described in division (G) of this section, the board of county	9158
commissioners of an eligible county may adopt a resolution	9159
enacting or increasing any lodging taxes within the limits	9160
specified in Chapter 5739. of the Revised Code with respect to	9161
those lodging taxes and amending any prior resolution under which	9162
any of its lodging taxes have been imposed in order to provide	9163
that those taxes, after deducting the real and actual costs of	9164
administering the taxes and any portion of the taxes returned to	9165
any municipal corporation or township as provided in division	9166
(A)(1) of section 5739.09 of the Revised Code, shall be used by	9167
the board for the purposes of undertaking, financing, operating,	9168
and maintaining the project, including paying debt charges on any	9169
securities issued by the board under division (I) of this section,	9170
or to make contributions to the convention and visitors' bureau	9171
operating within the county, or to promote, advertise, and market	9172
the region in which the county is located, all as the board may	9173
determine and make appropriations for from time to time, subject	9174
to the terms of any pledge to the payment of debt charges on	9175
outstanding general obligation securities or special obligation	9176
securities authorized under division (I) of this section. A	9177
resolution adopted under division (H) of this section shall be	9178
adopted not earlier than January 15, 2007, and not later than	9179
January 15, 2008.	9180

A resolution adopted under division (H) of this section may	9181
direct the board of elections to submit the question of enacting	9182
or increasing lodging taxes, as the case may be, to the electors	9183
of the county at a special election held on the date specified by	9184
the board in the resolution, provided that the election occurs not	9185
less than seventy-five days after a certified copy of the	9186
resolution is transmitted to the board of elections and no later	9187
than January 15, 2008. A resolution submitted to the electors	9188
under this division shall not go into effect unless it is approved	9189
by a majority of those voting upon it. A resolution adopted under	9190
division (H) of this section that is not submitted to the electors	9191
of the county for their approval or disapproval is subject to a	9192
referendum as provided in sections 305.31 to 305.41 of the Revised	9193
Code.	9194

A resolution adopted under division (H) of this section takes	9195
effect upon its adoption, unless the resolution is submitted to	9196
the electors of the county for their approval or disapproval, in	9197
which case the resolution takes effect on the date the board of	9198
county commissioners receives notification from the board of	9199
elections of the affirmative vote. Lodging taxes received after	9200
the effective date of the resolution may be used for the purposes	9201
described in division (H) of this section, except that lodging	9202
taxes that have been pledged to the payment of debt charges on any	9203
bonds or notes issued by or for the benefit of a convention and	9204
visitors' bureau under division (C) of this section shall be used	9205
exclusively for that purpose until such time as the bonds or notes	9206
are no longer outstanding under the trust agreement securing those	9207
bonds or notes.	9208

(I)(1) The board of county commissioners of an eligible	9209
county may issue the following securities of the county for the	9210
purpose of paying costs of the project, refunding any outstanding	9211
county securities issued for that purpose, refunding any	9212
outstanding bonds or notes issued by or for the benefit of the	9213
bureau under division (C) of this section, or for any combination	9214
of those purposes:	9215

(a) General obligation securities issued under Chapter 133.	9216
of the Revised Code. The resolution authorizing these securities	9217
may include covenants to appropriate annually from lawfully	9218
available lodging taxes, and to continue to levy and collect those	9219
lodging taxes in, amounts necessary to meet the debt charges on	9220
those securities.	9221

(b) Special obligation securities issued under Chapter 133.	9222
of the Revised Code that are secured only by lawfully available	9223
lodging taxes and any other taxes and revenues pledged to pay the	9224
debt charges on those securities, except ad valorem property	9225
taxes. The resolution authorizing those securities shall include a	9226
pledge of and covenants to appropriate annually from lawfully	9227
available lodging taxes and any other taxes and revenues pledged	9228
for such purpose, and to continue to collect any of those revenues	9229
pledged for such purpose and to levy and collect those lodging	9230
taxes and any other taxes pledged for such purpose, in amounts	9231
necessary to meet the debt charges on those securities. The pledge	9232
is valid and binding from the time the pledge is made, and the	9233
lodging taxes so pledged and thereafter received by the county are	9234
immediately subject to the lien of the pledge without any physical	9235
delivery of the lodging taxes or further act. The lien of any	9236
pledge is valid and binding as against all parties having claims	9237
of any kind in tort, contract, or otherwise against the county,	9238
regardless of whether such parties have notice of the lien.	9239
Neither the resolution nor any trust agreement by which a pledge	9240
is created or further evidenced is required to be filed or	9241
recorded except in the records of the board. The special	9242
obligation securities shall contain a statement on their face to	9243
the effect that they are not general obligation securities, and,	9244
unless paid from other sources, are payable from the pledged	9245
lodging taxes.	9246

(c) Revenue securities authorized under section 133.08 of the	9247
Revised Code and issued under Chapter 133. of the Revised Code	9248
that are secured only by lawfully available project revenues	9249
pledged to pay the debt charges on those securities.	9250

(2) The securities described in division (I)(1) of this	9251
section are subject to Chapter 133. of the Revised Code.	9252

(3) Section 133.34 of the Revised Code, except for division	9253
(A) of that section, applies to the issuance of any refunding	9254
securities authorized under this division. In lieu of division (A)	9255
of section 133.34 of the Revised Code, the board of county	9256
commissioners shall establish the maturity date or dates, the	9257
interest payable on, and other terms of refunding securities as it	9258
considers necessary or appropriate for their issuance, provided	9259
that the final maturity of refunding securities shall not exceed	9260
by more than ten years the final maturity of any bonds refunded by	9261
refunding securities.	9262

(4) The board may not repeal, rescind, or reduce all or any	9263
portion of any lodging taxes pledged to the payment of debt	9264
charges on any outstanding special obligation securities	9265
authorized under this division, and no portion of any lodging	9266
taxes that is pledged, or that the board has covenanted to levy,	9267
collect, and appropriate annually to pay debt charges on any	9268
outstanding securities authorized under this division is subject	9269
to repeal, rescission, or reduction by the electorate of the	9270
county.	9271

Sec. 307.6910. (A) As used in this section, "contracting	9272
subdivision" means any political subdivision or taxing district	9273
that enters into an agreement with a board of county commissioners	9274
as authorized by this section.	9275

(B) A board of county commissioners may enter into an	9276
agreement with the legislative authority of one or more political	9277
subdivisions or taxing districts located wholly or partially	9278
within the territorial boundaries of the county providing for both	9279
of the following:	9280

(1) Authorization for the board of county commissioners to	9281
receive funds due the political subdivision or taxing district	9282
from the county treasury, other than funds raised by taxes levied	9283
by the political subdivision or taxing district, including, but	9284
not limited to, the political subdivision's or taxing district's	9285
share of the undivided local governmentcommunities fund, provided	9286
those received funds may lawfully be applied to the purpose for	9287
which money is owed to the county;	9288

(2) The crediting of the funds so received by the county	9289
against money owed to it by the political subdivision or taxing	9290
district.	9291

The agreement shall be in writing and include the signature	9292
of an authorized officer or representative of the county and of	9293
the political subdivision or taxing district.	9294

(C) Upon entering into an agreement, the board of county	9295
commissioners shall cause two copies of the agreement, certified	9296
by an authorized officer or representative of the county and of	9297
the contracting subdivision, to be transmitted to the county	9298
auditor. The county auditor shall forward one copy of the	9299
agreement to the county treasurer and shall present the other copy	9300
of the agreement to the county budget commission. The county	9301
budget commission shall give effect to the agreement in	9302
determining or revising the amounts to be credited to the funds of	9303
the county and the contracting subdivision in the official or	9304
amended official certificate of estimated resources under sections	9305
5705.35 and 5705.36 of the Revised Code.	9306

(D) The county auditor may rely on the certified agreement	9307
entered into under division (B) of this section for the purpose of	9308
making a certification under division (D) of section 5705.41 of	9309
the Revised Code for a county contract or order of money incurred	9310
on behalf of the contracting subdivision if the county auditor	9311
finds that the amount credited to the county under division (B)(2)	9312
of this section is available in the amount and at the time	9313
necessary to meet the obligation.	9314

(E) The county auditor and county treasurer, in carrying out	9315
their statutory duties regarding the crediting and distribution of	9316
money to the funds of the parties to agreements entered into under	9317
this section, shall give effect to any such agreements certified	9318
to the county auditor under this section. A certified agreement	9319
shall not affect the time at which moneys otherwise would be	9320
available by law to the parties to the agreement.	9321

(F) The terms of an agreement entered into under this section	9322
may be enforced in the court of common pleas of the county that is	9323
a party to the agreement in an action for a writ of mandamus. For	9324
purposes of that action, it shall be deemed that the legislative	9325
authority of the contracting subdivision has a duty to allow	9326
payments to the county as specified in the agreement, that the	9327
board of county commissioners of the county has a duty to receive	9328
those payments in the manner specified in the agreement, and that	9329
those duties are specifically enjoined by law and result from an	9330
office, trust, or station.	9331

Sec. 307.98. BoardsAs used in this section, "county	9332
grantee" has the same meaning as in section 5101.21 of the Revised	9333
Code.	9334

Each board of county commissioners mayand each other county	9335
grantee of the county shall jointly enter into one or more written	9336
fiscalgrant agreements with the director of job and family	9337
services in accordance with section 5101.21 of the Revised Code.	9338
If a board enters into a fiscal agreement, theThe board of county	9339
commissioners shall enter into the agreement on behalf of the	9340
county family services agencies, other than a county family	9341
services agency that is a county signer as defined in section	9342
5101.21 of the Revised Codegrantee.	9343

Sec. 307.981.  (A)(1) As used in the Revised Code:

9344

(a) "County family services agency" means all of the	9345
following:	9346

(i) A child support enforcement agency;

9347

(ii) A county department of job and family services;

9348

(iii) A public children services agency.

9349

(b) "Family services duty" means a duty state law requires or	9350
allows a county family services agency to assume, including	9351
financial and general administrative duties. "Family services	9352
duty" does not include a duty funded by the United States	9353
department of labor.	9354

(2) As used in sections 307.981 to 307.989 of the Revised	9355
Code, "private entity" means an entity other than a government	9356
entity.	9357

(B) To the extent permitted by federal law, including, when	9358
applicable, subpart F of 5 C.F.R. part 900, and subject to any	9359
limitations established by the Revised Code, including division	9360
(H) of this section, a board of county commissioners may designate	9361
any private or government entity within this state to serve as any	9362
of the following:	9363

(1) A child support enforcement agency;

9364

(2) A county department of job and family services;

9365

(3) A public children services agency;

9366

(4) A county department of job and family services and one	9367
other of those county family services agencies;	9368

(5) All three of those county family services agencies.

9369

(C) To the extent permitted by federal law, including, when	9370
applicable, subpart F of 5 C.F.R. part 900, and subject to any	9371
limitations of the Revised Code, including division (H) of this	9372
section, a board of county commissioners may change the	9373
designation it makes under division (B) of this section by	9374
designating another private or government entity.	9375

(D) If a designation under division (B) or (C) of this	9376
section constitutes a change from the designation in a fiscal	9377
grant agreement between the director of job and family services	9378
and the board under sections 307.98 and 5101.21 of the Revised	9379
Code, the director may require that the director and board amend	9380
the fiscalgrant agreement and that the board provide the director	9381
written assurances that the newly designated private or government	9382
entity will meet or exceed all requirements of the family services	9383
duties the entity is to assume.	9384

(E) Not less than sixty days before a board of county	9385
commissioners designates an entity under division (B) or (C) of	9386
this section, the board shall notify the director of job and	9387
family services and publish notice in a newspaper of general	9388
circulation in the county of the board's intention to make the	9389
designation and reasons for the designation.	9390

(F) A board of county commissioners shall enter into a	9391
written contract with each entity it designates under division (B)	9392
or (C) of this section specifying the entity's responsibilities	9393
and standards the entity is required to meet.	9394

(G) This section does not require a board of county	9395
commissioners to abolish the child support enforcement agency,	9396
county department of job and family services, or public children	9397
services agency serving the county on October 1, 1997, and	9398
designate a different private or government entity to serve as the	9399
county's child support enforcement agency, county department of	9400
job and family services, or public children services agency.	9401

(H) If a county children services board appointed under	9402
section 5153.03 of the Revised Code serves as a public children	9403
services agency for a county, the board of county commissioners	9404
may not redesignate the public children services agency unless the	9405
board of county commissioners does all of the following:	9406

(1) Notifies the county children services board of its intent	9407
to redesignate the public children services agency. In its	9408
notification, the board of county commissioners shall provide the	9409
county children services board a written explanation of the	9410
administrative, fiscal, or performance considerations causing the	9411
board of county commissioners to seek to redesignate the public	9412
children services agency.	9413

(2) Provides the county children services board an	9414
opportunity to comment on the proposed redesignation before the	9415
redesignation occurs;	9416

(3) If the county children services board, not more than	9417
sixty days after receiving the notice under division (H)(1) of	9418
this section, notifies the board of county commissioners that the	9419
county children services board has voted to oppose the	9420
redesignation, votes unanimously to proceed with the	9421
redesignation.	9422

Sec. 308.04.  Within sixty days after a regional airport	9423
authority has been created under section 308.03 of the Revised	9424
Code, the board of trustees for such regional airport authority	9425
shall be appointed as provided in the resolution creating it.	9426

Each member of the board of trustees, before entering upon	9427
histhe member's official duties, shall take and subscribe to an	9428
oath or affirmation that hethe member will honestly, faithfully,	9429
and impartially perform the duties of his office, and that hethe	9430
member will not be interested directly or indirectly in any	9431
contract let by the regional airport authority. Any contract let	9432
by the regional airport authority in which a member of the board	9433
of trustees is directly or indirectly interested is void and	9434
unenforceable.	9435

After each member of the board has taken the oath as	9436
prescribed by this section the board shall meet and organize by	9437
electing one of its members as president and another as	9438
vice-president, who shall hold their respective offices until the	9439
next annual meeting of the board as provided in its bylaws. At	9440
each annual meeting thereafter the board shall elect from its	9441
membership a president and a vice-president who shall serve for a	9442
term of one year.	9443

The board shall appoint and fix the compensation of a	9444
secretary-treasurer, who shall not be a member of the board and	9445
who shall serve at the pleasure of the board.	9446

Sec. 317.08. (A) Except as provided in divisions (C) and (D)	9447
of this section, the county recorder shall keep six separate sets	9448
of records as follows:	9449

(1) A record of deeds, in which shall be recorded all deeds	9450
and other instruments of writing for the absolute and	9451
unconditional sale or conveyance of lands, tenements, and	9452
hereditaments; all notices as provided in sections 5301.47 to	9453
5301.56 of the Revised Code; all judgments or decrees in actions	9454
brought under section 5303.01 of the Revised Code; all	9455
declarations and bylaws, and all amendments to declarations and	9456
bylaws, as provided in Chapter 5311. of the Revised Code;	9457
affidavits as provided in sections 5301.252 and 5301.56 of the	9458
Revised Code; all certificates as provided in section 5311.17 of	9459
the Revised Code; all articles dedicating archaeological preserves	9460
accepted by the director of the Ohio historical society under	9461
section 149.52 of the Revised Code; all articles dedicating nature	9462
preserves accepted by the director of natural resources under	9463
section 1517.05 of the Revised Code; all agreements for the	9464
registration of lands as archaeological or historic landmarks	9465
under section 149.51 or 149.55 of the Revised Code; all	9466
conveyances of conservation easements and agricultural easements	9467
under section 5301.68 of the Revised Code; all instruments	9468
extinguishing agricultural easements under section 901.21 or	9469
5301.691 of the Revised Code or pursuant to terms of such an	9470
easement granted to a charitable organization under section	9471
5301.68 of the Revised Code; all instruments or orders described	9472
in division (B)(2)(b) of section 5301.56 of the Revised Code; all	9473
no further action letters issued under section 122.654 or 3746.11	9474
of the Revised Code; all covenants not to sue issued under section	9475
3746.12 of the Revised Code, including all covenants not to sue	9476
issued pursuant to section 122.654 of the Revised Code; any	9477
restrictions on the use of property contained in a no further	9478
action letter issued under section 122.654 of the Revised Code,	9479
any restrictions on the use of property identified pursuant to	9480
division (C)(3)(a) of section 3746.10 of the Revised Code, and any	9481
restrictions on the use of property contained in a deed or other	9482
instrument as provided in division (E) or (F) of section 3737.882	9483
of the Revised Code; any easement executed or granted under	9484
section 3734.22, 3734.24, 3734.25, or 3734.26 of the Revised Code;	9485
any environmental covenant entered into in accordance with	9486
sections 5301.80 to 5301.92 of the Revised Code; all memoranda of	9487
trust, as described in division (A) of section 5301.255 of the	9488
Revised Code, that describe specific real property; and all	9489
agreements entered into under division (A) of section 1521.26	9490
1506.44 of the Revised Code;	9491

(2) A record of mortgages, in which shall be recorded all of	9492
the following:	9493

(a) All mortgages, including amendments, supplements,	9494
modifications, and extensions of mortgages, or other instruments	9495
of writing by which lands, tenements, or hereditaments are or may	9496
be mortgaged or otherwise conditionally sold, conveyed, affected,	9497
or encumbered;	9498

(b) All executory installment contracts for the sale of land	9499
executed after September 29, 1961, that by their terms are not	9500
required to be fully performed by one or more of the parties to	9501
them within one year of the date of the contracts;	9502

(c) All options to purchase real estate, including	9503
supplements, modifications, and amendments of the options, but no	9504
option of that nature shall be recorded if it does not state a	9505
specific day and year of expiration of its validity;	9506

(d) Any tax certificate sold under section 5721.33 of the	9507
Revised Code, or memorandum of it, that is presented for filing of	9508
record.	9509

(3) A record of powers of attorney, including all memoranda	9510
of trust, as described in division (A) of section 5301.255 of the	9511
Revised Code, that do not describe specific real property;	9512

(4) A record of plats, in which shall be recorded all plats	9513
and maps of town lots, of the subdivision of town lots, and of	9514
other divisions or surveys of lands, any center line survey of a	9515
highway located within the county, the plat of which shall be	9516
furnished by the director of transportation or county engineer,	9517
and all drawings and amendments to drawings, as provided in	9518
Chapter 5311. of the Revised Code;	9519

(5) A record of leases, in which shall be recorded all	9520
leases, memoranda of leases, and supplements, modifications, and	9521
amendments of leases and memoranda of leases;	9522

(6) A record of declarations executed pursuant to section	9523
2133.02 of the Revised Code and durable powers of attorney for	9524
health care executed pursuant to section 1337.12 of the Revised	9525
Code.	9526

(B) All instruments or memoranda of instruments entitled to	9527
record shall be recorded in the proper record in the order in	9528
which they are presented for record. The recorder may index, keep,	9529
and record in one volume unemployment compensation liens, internal	9530
revenue tax liens and other liens in favor of the United States as	9531
described in division (A) of section 317.09 of the Revised Code,	9532
personal tax liens, mechanic's liens, agricultural product liens,	9533
notices of liens, certificates of satisfaction or partial release	9534
of estate tax liens, discharges of recognizances, excise and	9535
franchise tax liens on corporations, broker's liens, and liens	9536
provided for in sections 1513.33, 1513.37, 3752.13, 5111.022, and	9537
5311.18 of the Revised Code.	9538

The recording of an option to purchase real estate, including	9539
any supplement, modification, and amendment of the option, under	9540
this section shall serve as notice to any purchaser of an interest	9541
in the real estate covered by the option only during the period of	9542
the validity of the option as stated in the option.	9543

(C) In lieu of keeping the six separate sets of records	9544
required in divisions (A)(1) to (6) of this section and the	9545
records required in division (D) of this section, a county	9546
recorder may record all the instruments required to be recorded by	9547
this section in two separate sets of record books. One set shall	9548
be called the "official records" and shall contain the instruments	9549
listed in divisions (A)(1), (2), (3), (5), and (6) and (D) of this	9550
section. The second set of records shall contain the instruments	9551
listed in division (A)(4) of this section.	9552

(D) Except as provided in division (C) of this section, the	9553
county recorder shall keep a separate set of records containing	9554
all corrupt activity lien notices filed with the recorder pursuant	9555
to section 2923.36 of the Revised Code and a separate set of	9556
records containing all medicaid fraud lien notices filed with the	9557
recorder pursuant to section 2933.75 of the Revised Code.	9558

Sec. 319.202.  Before the county auditor indorses any real	9559
property conveyance or manufactured or mobile home conveyance	9560
presented to the auditor pursuant to section 319.20 of the Revised	9561
Code or registers any manufactured or mobile home conveyance	9562
pursuant to section 4503.061 of the Revised Code, the grantee or	9563
the grantee's representative shall submit in triplicate a	9564
statement, prescribed by the tax commissioner, and other	9565
information as the county auditor may require, declaring the value	9566
of real property or manufactured or mobile home conveyed, except	9567
that when the transfer is exempt under division (F)(G)(3) of	9568
section 319.54 of the Revised Code only a statement of the reason	9569
for the exemption shall be required. Each statement submitted	9570
under this section shall contain the information required under	9571
divisions (A) and (B) of this section.	9572

(A) Each statement submitted under this section shall either:

9573

(1) Contain an affirmation by the grantee that the grantor	9574
has been asked by the grantee or the grantee's representative	9575
whether to the best of the grantor's knowledge either the	9576
preceding or the current year's taxes on the real property or the	9577
current or following year's taxes on the manufactured or mobile	9578
home conveyed will be reduced under division (A) of section	9579
323.152 or under section 4503.065 of the Revised Code and that the	9580
grantor indicated that to the best of the grantor's knowledge the	9581
taxes will not be so reduced; or	9582

(2) Be accompanied by a sworn or affirmed instrument stating:

9583

(a) To the best of the grantor's knowledge the real property	9584
or the manufactured or mobile home that is the subject of the	9585
conveyance is eligible for and will receive a reduction in taxes	9586
for or payable in the current year under division (A) of section	9587
323.152 or under section 4503.065 of the Revised Code and that the	9588
reduction or reductions will be reflected in the grantee's taxes;	9589

(b) The estimated amount of such reductions that will be	9590
reflected in the grantee's taxes;	9591

(c) That the grantor and the grantee have considered and	9592
accounted for the total estimated amount of such reductions to the	9593
satisfaction of both the grantee and the grantor. The auditor	9594
shall indorse the instrument, return it to the grantee or the	9595
grantee's representative, and provide a copy of the indorsed	9596
instrument to the grantor or the grantor's representative.	9597

(B) Each statement submitted under this section shall either:

9598

(1) Contain an affirmation by the grantee that the grantor	9599
has been asked by the grantee or the grantee's representative	9600
whether to the best of the grantor's knowledge the real property	9601
conveyed qualified for the current agricultural use valuation	9602
under section 5713.30 of the Revised Code either for the preceding	9603
or the current year and that the grantor indicated that to the	9604
best of the grantor's knowledge the property conveyed was not so	9605
qualified; or	9606

(2) Be accompanied by a sworn or affirmed instrument stating:

9607

(a) To the best of the grantor's knowledge the real property	9608
conveyed was qualified for the current agricultural use valuation	9609
under section 5713.30 of the Revised Code either for the preceding	9610
or the current year;	9611

(b) To the extent that the property will not continue to	9612
qualify for the current agricultural use valuation either for the	9613
current or the succeeding year, that the property will be subject	9614
to a recoupment charge equal to the tax savings in accordance with	9615
section 5713.34 of the Revised Code;	9616

(c) That the grantor and the grantee have considered and	9617
accounted for the total estimated amount of such recoupment, if	9618
any, to the satisfaction of both the grantee and the grantor. The	9619
auditor shall indorse the instrument, forward it to the grantee or	9620
the grantee's representative, and provide a copy of the indorsed	9621
instrument to the grantor or the grantor's representative.	9622

(C) The grantor shall pay the fee required by division	9623
(F)(G)(3) of section 319.54 of the Revised Code; and, in the event	9624
the board of county commissioners of the county has levied a real	9625
property or a manufactured home transfer tax pursuant to Chapter	9626
322. of the Revised Code, the amount required by the real property	9627
or manufactured home transfer tax so levied. If the conveyance is	9628
exempt from the fee provided for in division (F)(G)(3) of section	9629
319.54 of the Revised Code and the tax, if any, levied pursuant to	9630
Chapter 322. of the Revised Code, the reason for such exemption	9631
shall be shown on the statement. "Value" means, in the case of any	9632
deed or certificate of title not a gift in whole or part, the	9633
amount of the full consideration therefor, paid or to be paid for	9634
the real estate or manufactured or mobile home described in the	9635
deed or title, including the amount of any mortgage or vendor's	9636
lien thereon. If property sold under a land installment contract	9637
is conveyed by the seller under such contract to a third party and	9638
the contract has been of record at least twelve months prior to	9639
the date of conveyance, "value" means the unpaid balance owed to	9640
the seller under the contract at the time of the conveyance, but	9641
the statement shall set forth the amount paid under such contract	9642
prior to the date of conveyance. In the case of a gift in whole	9643
or part, "value" means the estimated price the real estate or	9644
manufactured or mobile home described in the deed or certificate	9645
of title would bring in the open market and under the then	9646
existing and prevailing market conditions in a sale between a	9647
willing seller and a willing buyer, both conversant with the	9648
property and with prevailing general price levels. No person shall	9649
willfully falsify the value of property conveyed.	9650

(D) The auditor shall indorse each conveyance on its face to	9651
indicate the amount of the conveyance fee and compliance with this	9652
section. The auditor shall retain the original copy of the	9653
statement of value, forward to the tax commissioner one copy on	9654
which shall be noted the most recent assessed value of the	9655
property, and furnish one copy to the grantee or the grantee's	9656
representative.	9657

(E) In order to achieve uniform administration and collection	9658
of the transfer fee required by division (F)(G)(3) of section	9659
319.54 of the Revised Code, the tax commissioner shall adopt and	9660
promulgate rules for the administration and enforcement of the	9661
levy and collection of such fee.	9662

Sec. 319.54.  (A) On all moneys collected by the county	9663
treasurer on any tax duplicate of the county, other than estate	9664
tax duplicates, and on all moneys received as advance payments of	9665
personal property and classified property taxes, the county	9666
auditor, on settlement with the treasurer and tax commissioner, on	9667
or before the date prescribed by law for such settlement or any	9668
lawful extension of such date, shall be allowed as compensation	9669
for the county auditor's services the following percentages:	9670

(1) On the first one hundred thousand dollars, two and	9671
one-half per cent;	9672

(2) On the next two million dollars, eight thousand three	9673
hundred eighteen ten-thousandths of one per cent;	9674

(3) On the next two million dollars, six thousand six hundred	9675
fifty-five ten-thousandths of one per cent;	9676

(4) On all further sums, one thousand six hundred sixty-three	9677
ten-thousandths of one per cent.	9678

If any settlement is not made on or before the date	9679
prescribed by law for such settlement or any lawful extension of	9680
such date, the aggregate compensation allowed to the auditor shall	9681
be reduced one per cent for each day such settlement is delayed	9682
after the prescribed date. No penalty shall apply if the auditor	9683
and treasurer grant all requests for advances up to ninety per	9684
cent of the settlement pursuant to section 321.34 of the Revised	9685
Code. The compensation allowed in accordance with this section on	9686
settlements made before the dates prescribed by law, or the	9687
reduced compensation allowed in accordance with this section on	9688
settlements made after the date prescribed by law or any lawful	9689
extension of such date, shall be apportioned ratably by the	9690
auditor and deducted from the shares or portions of the revenue	9691
payable to the state as well as to the county, townships,	9692
municipal corporations, and school districts.	9693

(B) For the purpose of compensating county auditors for the	9694
expenses associated with the increased number of applications for	9695
reductions in real property taxes under sections 323.152 and	9696
4503.065 of the Revised Code that results from the amendment of	9697
those sections by ....... of the 127th general assembly, there	9698
shall be paid from the general revenue fund to each county auditor	9699
each year an amount equal to one per cent of the total annual	9700
amount of property tax relief reimbursement paid to that county	9701
under sections 323.156 and 4503.068 of the Revised Code.	9702

(C) From all moneys collected by the county treasurer on any	9703
tax duplicate of the county, other than estate tax duplicates, and	9704
on all moneys received as advance payments of personal property	9705
and classified property taxes, there shall be paid into the county	9706
treasury to the credit of the real estate assessment fund created	9707
by section 325.31 of the Revised Code, an amount to be determined	9708
by the county auditor, which shall not exceed the following	9709
percentages:	9710

(1) On the first one hundred thousand dollars, three and	9711
one-half per cent;	9712

(2) On the next three million dollars, one and three-eighths	9713
per cent;	9714

(3) On the next three million dollars, one per cent;

9715

(4) On all further sums not exceeding one hundred fifty	9716
million dollars, three-quarters of one per cent;	9717

(5) On amounts exceeding one hundred fifty million dollars,	9718
six-tenths of one per cent.	9719

Such compensation shall be apportioned ratably by the auditor	9720
and deducted from the shares or portions of the revenue payable to	9721
the state as well as to the county, townships, municipal	9722
corporations, and school districts.	9723

(C)(D) Each county auditor shall receive four per cent of the	9724
amount of tax collected and paid into the county treasury, on	9725
property omitted and placed by the county auditor on the tax	9726
duplicate.	9727

(D)(E) On all estate tax moneys collected by the county	9728
treasurer, the county auditor, on settlement semiannually with the	9729
tax commissioner, shall be allowed, as compensation for the	9730
auditor's services under Chapter 5731. of the Revised Code, the	9731
following percentages:	9732

(1) Four per cent on the first one hundred thousand dollars;

9733

(2) One-half of one per cent on all additional sums.

9734

Such percentages shall be computed upon the amount collected	9735
and reported at each semiannual settlement, and shall be for the	9736
use of the general fund of the county.	9737

(E)(F) On all cigarette license moneys collected by the	9738
county treasurer, the county auditor, on settlement semiannually	9739
with the treasurer, shall be allowed as compensation for the	9740
auditor's services in the issuing of such licenses one-half of one	9741
per cent of such moneys, to be apportioned ratably and deducted	9742
from the shares of the revenue payable to the county and	9743
subdivisions, for the use of the general fund of the county.	9744

(F)(G) The county auditor shall charge and receive fees as	9745
follows:	9746

(1) For deeds of land sold for taxes to be paid by the	9747
purchaser, five dollars;	9748

(2) For the transfer or entry of land, lot, or part of lot,	9749
or the transfer or entry on or after January 1, 2000, of a used	9750
manufactured home or mobile home as defined in section 5739.0210	9751
of the Revised Code, fifty cents for each transfer or entry, to be	9752
paid by the person requiring it;	9753

(3) For receiving statements of value and administering	9754
section 319.202 of the Revised Code, one dollar, or ten cents for	9755
each one hundred dollars or fraction of one hundred dollars,	9756
whichever is greater, of the value of the real property	9757
transferred or, for sales occurring on or after January 1, 2000,	9758
the value of the used manufactured home or used mobile home, as	9759
defined in section 5739.0210 of the Revised Code, transferred,	9760
except no fee shall be charged when the transfer is made:	9761

(a) To or from the United States, this state, or any	9762
instrumentality, agency, or political subdivision of the United	9763
States or this state;	9764

(b) Solely in order to provide or release security for a debt	9765
or obligation;	9766

(c) To confirm or correct a deed previously executed and	9767
recorded;	9768

(d) To evidence a gift, in trust or otherwise and whether	9769
revocable or irrevocable, between husband and wife, or parent and	9770
child or the spouse of either;	9771

(e) On sale for delinquent taxes or assessments;

9772

(f) Pursuant to court order, to the extent that such transfer	9773
is not the result of a sale effected or completed pursuant to such	9774
order;	9775

(g) Pursuant to a reorganization of corporations or	9776
unincorporated associations or pursuant to the dissolution of a	9777
corporation, to the extent that the corporation conveys the	9778
property to a stockholder as a distribution in kind of the	9779
corporation's assets in exchange for the stockholder's shares in	9780
the dissolved corporation;	9781

(h) By a subsidiary corporation to its parent corporation for	9782
no consideration, nominal consideration, or in sole consideration	9783
of the cancellation or surrender of the subsidiary's stock;	9784

(i) By lease, whether or not it extends to mineral or mineral	9785
rights, unless the lease is for a term of years renewable forever;	9786

(j) When the value of the real property or the manufactured	9787
or mobile home or the value of the interest that is conveyed does	9788
not exceed one hundred dollars;	9789

(k) Of an occupied residential property, including a	9790
manufactured or mobile home, being transferred to the builder of a	9791
new residence or to the dealer of a new manufactured or mobile	9792
home when the former residence is traded as part of the	9793
consideration for the new residence or new manufactured or mobile	9794
home;	9795

(l) To a grantee other than a dealer in real property or in	9796
manufactured or mobile homes, solely for the purpose of, and as a	9797
step in, the prompt sale of the real property or manufactured or	9798
mobile home to others;	9799

(m) To or from a person when no money or other valuable and	9800
tangible consideration readily convertible into money is paid or	9801
to be paid for the real estate or manufactured or mobile home and	9802
the transaction is not a gift;	9803

(n) Pursuant to division (B) of section 317.22 of the Revised	9804
Code, or section 2113.61 of the Revised Code, between spouses or	9805
to a surviving spouse pursuant to section 5302.17 of the Revised	9806
Code as it existed prior to April 4, 1985, between persons	9807
pursuant to section 5302.17 or 5302.18 of the Revised Code on or	9808
after April 4, 1985, to a person who is a surviving, survivorship	9809
tenant pursuant to section 5302.17 of the Revised Code on or after	9810
April 4, 1985, or pursuant to section 5309.45 of the Revised Code;	9811

(o) To a trustee acting on behalf of minor children of the	9812
deceased;	9813

(p) Of an easement or right-of-way when the value of the	9814
interest conveyed does not exceed one thousand dollars;	9815

(q) Of property sold to a surviving spouse pursuant to	9816
section 2106.16 of the Revised Code;	9817

(r) To or from an organization exempt from federal income	9818
taxation under section 501(c)(3) of the "Internal Revenue Code of	9819
1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended, provided such	9820
transfer is without consideration and is in furtherance of the	9821
charitable or public purposes of such organization;	9822

(s) Among the heirs at law or devisees, including a surviving	9823
spouse, of a common decedent, when no consideration in money is	9824
paid or to be paid for the real property or manufactured or mobile	9825
home;	9826

(t) To a trustee of a trust, when the grantor of the trust	9827
has reserved an unlimited power to revoke the trust;	9828

(u) To the grantor of a trust by a trustee of the trust, when	9829
the transfer is made to the grantor pursuant to the exercise of	9830
the grantor's power to revoke the trust or to withdraw trust	9831
assets;	9832

(v) To the beneficiaries of a trust if the fee was paid on	9833
the transfer from the grantor of the trust to the trustee or if	9834
the transfer is made pursuant to trust provisions which became	9835
irrevocable at the death of the grantor;	9836

(w) To a corporation for incorporation into a sports facility	9837
constructed pursuant to section 307.696 of the Revised Code;	9838

(x) Between persons pursuant to section 5302.18 of the	9839
Revised Code.	9840

The auditor shall compute and collect the fee. The auditor	9841
shall maintain a numbered receipt system, as prescribed by the tax	9842
commissioner, and use such receipt system to provide a receipt to	9843
each person paying a fee. The auditor shall deposit the receipts	9844
of the fees on conveyances in the county treasury daily to the	9845
credit of the general fund of the county.	9846

The real property transfer fee provided for in division	9847
(F)(G)(3) of this section shall be applicable to any conveyance of	9848
real property presented to the auditor on or after January 1,	9849
1968, regardless of its time of execution or delivery.	9850

The transfer fee for a used manufactured home or used mobile	9851
home shall be computed by and paid to the county auditor of the	9852
county in which the home is located immediately prior to the	9853
transfer.	9854

Sec. 321.08.  The county treasurer shall enter on histhe	9855
treasurer's account each day the money received for advance	9856
payments of taxes and taxes charged on the general and special	9857
duplicates of the current year in the following manner:	9858

(A) Collections of estate tax to be credited to the	9859
"undivided estate tax fund;"	9860

(B) Collections of classified property taxes, including	9861
interest and penalties thereon, shall be credited to the county	9862
library and local government supportlibraries fund and	9863
distributed in accordance with section 5747.48 of the Revised	9864
Code;	9865

(C) Collections of other taxes and assessments of whatever	9866
kind to be credited to the undivided general tax fund.	9867

Sec. 322.01.  As used in sections 322.01 to 322.07 of the	9868
Revised Code:	9869

(A) "Value" means, in the case of any deed not a gift in	9870
whole or part, the amount of the full consideration therefor, paid	9871
or to be paid for the real estate described in the deed, including	9872
the amount of any liens thereon, with the following exceptions:	9873

(1) The amount owed on a debt secured by a mortgage which has	9874
been of record at least twelve months prior to the date of the	9875
conveyance and which is assumed by the purchaser;	9876

(2) The difference between the full amount of consideration	9877
and the unpaid balance owed to the seller at the time of the	9878
conveyance of property to a third party under a land installment	9879
contract that has been of record at least twelve months prior to	9880
the date of conveyance.	9881

(B) "Value" means, in the case of a manufactured or mobile	9882
home that is not a gift in whole or in part, the amount of the	9883
full consideration paid or to be paid for the home, including the	9884
amounts of any liens thereon.	9885

(C) "Value" means, in the case of a gift in whole or part,	9886
the estimated price the real estate described in the deed, or the	9887
manufactured or mobile home, would bring in the open market and	9888
under the then existing and prevailing market conditions in a sale	9889
between a willing seller and a willing buyer, both conversant with	9890
the property and with prevailing general price levels.	9891

(D) "Deed" means any deed, instrument, or writing by which	9892
any real property or any interest in real property is granted,	9893
assigned, transferred, or otherwise conveyed except that it does	9894
not include any deed, instrument, or writing which grants,	9895
assigns, transfers, or otherwise conveys any real property or	9896
interests in real property exempted from the fee required by	9897
division (F)(G)(3) of section 319.54 of the Revised Code.	9898

(E) "Manufactured home" has the same meaning as in division	9899
(C)(4) of section 3781.06 of the Revised Code.	9900

(F) "Mobile home" has the same meaning as in division (O) of	9901
section 4501.01 of the Revised Code.	9902

Sec. 323.151.  As used in sections 323.151 to 323.159 of the	9903
Revised Code:	9904

(A) "Homestead" means either of the following:

9905

(1) A dwelling, including a unit in a multiple-unit dwelling	9906
and a manufactured home or mobile home taxed as real property	9907
pursuant to division (B) of section 4503.06 of the Revised Code,	9908
owned and occupied as a home by an individual whose domicile is in	9909
this state and who has not acquired ownership from a person, other	9910
than the individual's spouse, related by consanguinity or affinity	9911
for the purpose of qualifying for the real property tax reduction	9912
provided in section 323.152 of the Revised Code.	9913

(2) A unit in a housing cooperative that is occupied as a	9914
home, but not owned, by an individual whose domicile is in this	9915
state.	9916

The homestead shall include so much of the land surrounding	9917
it, not exceeding one acre, as is reasonably necessary for the use	9918
of the dwelling or unit as a home. An owner includes a holder of	9919
one of the several estates in fee, a vendee in possession under a	9920
purchase agreement or a land contract, a mortgagor, a life tenant,	9921
one or more tenants with a right of survivorship, tenants in	9922
common, and a settlor of a revocable inter vivos trust holding the	9923
title to a homestead occupied by the settlor as of right under the	9924
trust. The tax commissioner shall adopt rules for the uniform	9925
classification and valuation of real property or portions of real	9926
property as homesteads.	9927

(B) "Sixty-five years of age or older" means a person who has	9928
attained age sixty-four prior to the first day of January of the	9929
year of application for reduction in real estate taxes.	9930

(C) "Total income" means the adjusted gross income of the	9931
owner and the owner's spouse for the year preceding the year in	9932
which application for a reduction in taxes is made, as determined	9933
under the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	9934
U.S.C.A. 1, as amended, adjusted as follows:	9935

(1) Subtract the amount of disability benefits included in	9936
adjusted gross income, but not to exceed fifty-two hundred	9937
dollars;	9938

(2) Add old age and survivors benefits received pursuant to	9939
the "Social Security Act" that are not included in adjusted gross	9940
income;	9941

(3) Add retirement, pension, annuity, or other retirement	9942
payments or benefits not included in adjusted gross income;	9943

(4) Add tier I and tier II railroad retirement benefits	9944
received pursuant to the "Railroad Retirement Act," 50 Stat. 307,	9945
45 U.S.C.A. 228;	9946

(5) Add interest on federal, state, and local government	9947
obligations;	9948

(6) For a person who received the homestead exemption for a	9949
prior year on the basis of being permanently and totally disabled	9950
and whose current application for the exemption is made on the	9951
basis of age, subtract the following amount:	9952

(a) If the person received disability benefits that were not	9953
included in adjusted gross income in the year preceding the first	9954
year in which the person applied for the exemption on the basis of	9955
age, subtract an amount equal to the disability benefits the	9956
person received in that preceding year, to the extent included in	9957
total income in the current year and not subtracted under division	9958
(C)(1) of this section in the current year;	9959

(b) If the person received disability benefits that were	9960
included in adjusted gross income in the year preceding the first	9961
year in which the person applied for the exemption on the basis of	9962
age, subtract an amount equal to the amount of disability benefits	9963
that were subtracted pursuant to division (C)(1) of this section	9964
in that preceding year, to the extent included in total income in	9965
the current year and not subtracted under division (C)(1) of this	9966
section in the current year.	9967

Disability benefits that are paid by the department of	9968
veterans affairs or a branch of the armed forces of the United	9969
States on account of an injury or disability shall not be included	9970
in total income.	9971

(D) "Old age and survivors benefits received pursuant to the	9972
'Social Security Act'" or "tier I railroad retirement benefits	9973
received pursuant to the 'Railroad Retirement Act'" means:	9974

(1) For those persons receiving the homestead exemption for	9975
the first time for tax years 1976 and earlier, old age benefits	9976
payable under the social security or railroad retirement laws in	9977
effect on December 31, 1975, except in those cases where a change	9978
in social security or railroad retirement benefits would result in	9979
a reduction in income.	9980

(2) For those persons receiving the homestead exemption for	9981
the first time for tax years 1977 and thereafter, old age benefits	9982
payable under the social security or railroad retirement laws in	9983
effect on the last day of the calendar year prior to the year for	9984
which the homestead exemption is first received, or, if no such	9985
benefits are payable that year, old age benefits payable the first	9986
succeeding year in which old age benefits under the social	9987
security or railroad retirement laws are payable, except in those	9988
cases where a change in social security or railroad retirement	9989
benefits results in a reduction in income.	9990

(3) The lesser of:

9991

(a) Survivors benefits payable under the social security or	9992
railroad retirement laws in effect on the last day of the calendar	9993
year prior to the year for which the homestead exemption is first	9994
received, or, if no such benefits are payable that year, survivors	9995
benefits payable the first succeeding year in which survivors	9996
benefits are payable; or	9997

(b) Old age benefits of the deceased spouse, as determined	9998
under division (D)(1) or (2) of this section, upon which the	9999
surviving spouse's survivors benefits are based under the social	10000
security or railroad retirement laws, except in those cases where	10001
a change in benefits would cause a reduction in income.	10002

Survivors benefits are those described in division (D)(3)(b)	10003
of this section only if the deceased spouse received old age	10004
benefits in the year in which the deceased spouse died. If the	10005
deceased spouse did not receive old age benefits in the year in	10006
which the deceased spouse died, then survivors benefits are those	10007
described in division (D)(3)(a) of this section.	10008

(E) "Permanently and totally disabled" means a person who	10009
has, on the first day of January of the year of application for	10010
reduction in real estate taxes, some impairment in body or mind	10011
that makes the person unable to work at any substantially	10012
remunerative employment that the person is reasonably able to	10013
perform and that will, with reasonable probability, continue for	10014
an indefinite period of at least twelve months without any present	10015
indication of recovery therefrom or has been certified as	10016
permanently and totally disabled by a state or federal agency	10017
having the function of so classifying persons.	10018

(F)(D) "Housing cooperative" means a housing complex of at	10019
least two hundred fifty units that is owned and operated by a	10020
nonprofit corporation that issues a share of the corporation's	10021
stock to an individual, entitling the individual to live in a unit	10022
of the complex, and collects a monthly maintenance fee from the	10023
individual to maintain, operate, and pay the taxes of the complex.	10024

Sec. 323.152.  In addition to the reduction in taxes required	10025
under section 319.302 of the Revised Code, taxes shall be reduced	10026
as provided in divisions (A) and (B) of this section.	10027

(A)(1) Division (A) of this section applies to any of the	10028
following:	10029

(a) A person who is permanently and totally disabled;

10030

(b) A person who is sixty-five years of age or older;

10031

(c) A person who is the surviving spouse of a deceased person	10032
who was permanently and totally disabled or sixty-five years of	10033
age or older and who applied and qualified for a reduction in	10034
taxes under this division in the year of death, provided the	10035
surviving spouse is at least fifty-nine but not sixty-five or more	10036
years of age on the date the deceased spouse dies.	10037

(2) Real property taxes on a homestead owned and occupied, or	10038
a homestead in a housing cooperative occupied, by a person to whom	10039
division (A) of this section applies shall be reduced for each	10040
year for which the owner obtains a certificate of reduction from	10041
the county auditor under section 323.154 of the Revised Code or	10042
for which the occupant obtains a certificate of reduction in	10043
accordance with section 323.159 of the Revised Code. The reduction	10044
shall equal the amount obtained by multiplying the tax rate for	10045
the tax year for which the certificate is issued by the reduction	10046
in taxable value shown in the following schedule:	10047

		Reduce Taxable Value		10048
Total Income		by the Lesser of:		10049

$11,900 or less		$5,000 or seventy-five per cent		10050
More than $11,900 but not more than $17,500		$3,000 or sixty per cent		10051
More than $17,500 but not more than $23,000		$1,000 or twenty-five per cent		10052
More than $23,000		-0-		10053

(3) Each calendar year, the tax commissioner shall adjust the	10054
foregoing schedule by completing the following calculations in	10055
September of each year:	10056

(a) Determine the percentage increase in the gross domestic	10057
product deflator determined by the bureau of economic analysis of	10058
the United States department of commerce from the first day of	10059
January of the preceding calendar year to the last day of December	10060
of the preceding calendar year;	10061

(b) Multiply that percentage increase by each of the total	10062
income amounts, and by each dollar amount by which taxable value	10063
is reduced, for the current tax year;	10064

(c) Add the resulting product to each of the total income	10065
amounts, and to each of the dollar amounts by which taxable value	10066
is reduced, for the current tax year;	10067

(d)(i) Except as provided in division (A)(3)(d)(ii) of this	10068
section, round the resulting sum to the nearest multiple of one	10069
hundred dollars;	10070

(ii) If rounding the resulting sum to the nearest multiple of	10071
one hundred dollars under division (A)(3)(d)(i) of this section	10072
does not increase the dollar amounts by which taxable value is	10073
reduced, the resulting sum instead shall be rounded to the nearest	10074
multiple of ten dollars.	10075

The commissioner shall certify the amounts resulting from the	10076
adjustment to each county auditor not later than the first day of	10077
December each year. The certified amounts apply to the following	10078
tax year. The commissioner shall not make the adjustment in any	10079
calendar year in which the amounts resulting from the adjustment	10080
would be less than the total income amounts, or less than the	10081
dollar amounts by which taxable value is reduced, for the current	10082
tax yeargreater of the reduction granted for tax year 2006, if	10083
the taxpayer received a reduction for tax year 2006, or the	10084
product of the following:	10085

(a) Twenty-five thousand dollars of the true value of the	10086
property in money;	10087

(b) The assessment percentage established by the tax	10088
commissioner under division (B) of section 5715.01 of the Revised	10089
Code, not to exceed thirty-five per cent;	10090

(c) The effective tax rate on residential/agricultural real	10091
property, where "effective tax rate" is defined as in division	10092
(B)(3) of section 319.301 of the Revised Code, and where	10093
"residential/agricultural real property" is defined as in section	10094
5713.041 of the Revised Code.	10095

(B) To provide a partial exemption, real property taxes on	10096
any homestead, and manufactured home taxes on any manufactured or	10097
mobile home on which a manufactured home tax is assessed pursuant	10098
to division (D)(2) of section 4503.06 of the Revised Code, shall	10099
be reduced for each year for which the owner obtains a certificate	10100
of reduction from the county auditor under section 323.154 of the	10101
Revised Code. The amount of the reduction shall equal two and	10102
one-half per cent of the amount of taxes to be levied on the	10103
homestead or the manufactured or mobile home after applying	10104
section 319.301 of the Revised Code.	10105

(C) The reductions granted by this section do not apply to	10106
special assessments or respread of assessments levied against the	10107
homestead, and if there is a transfer of ownership subsequent to	10108
the filing of an application for a reduction in taxes, such	10109
reductions are not forfeited for such year by virtue of such	10110
transfer.	10111

(D) The reductions in taxable value referred to in this	10112
section shall be applied solely as a factor for the purpose of	10113
computing the reduction of taxes under this section and shall not	10114
affect the total value of property in any subdivision or taxing	10115
district as listed and assessed for taxation on the tax lists and	10116
duplicates, or any direct or indirect limitations on indebtedness	10117
of a subdivision or taxing district. If after application of	10118
sections 5705.31 and 5705.32 of the Revised Code, including the	10119
allocation of all levies within the ten-mill limitation to debt	10120
charges to the extent therein provided, there would be	10121
insufficient funds for payment of debt charges not provided for by	10122
levies in excess of the ten-mill limitation, the reduction of	10123
taxes provided for in sections 323.151 to 323.159 of the Revised	10124
Code shall be proportionately adjusted to the extent necessary to	10125
provide such funds from levies within the ten-mill limitation.	10126

(E) No reduction shall be made on the taxes due on the	10127
homestead of any person convicted of violating division (C) or (D)	10128
of section 323.153 of the Revised Code for a period of three years	10129
following the conviction.	10130

Sec. 323.153.  (A) To obtain a reduction in real property	10131
taxes under division (A) or (B) of section 323.152 of the Revised	10132
Code or in manufactured home taxes under division (B) of section	10133
323.152 of the Revised Code, the owner shall file an application	10134
with the county auditor of the county in which the owner's	10135
homestead is located.	10136

To obtain a reduction in real property taxes under division	10137
(A) of section 323.152 of the Revised Code, the occupant of a	10138
homestead in a housing cooperative shall file an application with	10139
the nonprofit corporation that owns and operates the housing	10140
cooperative, in accordance with this paragraph. Not later than the	10141
first day of March each year, the corporation shall obtain	10142
applications from the county auditor's office and provide one to	10143
each new occupant. Not later than the first day of May, any	10144
occupant who may be eligible for a reduction in taxes under	10145
division (A) of section 323.152 of the Revised Code shall submit	10146
the completed application to the corporation. Not later than the	10147
fifteenth day of May, the corporation shall file all completed	10148
applications, and the information required by division (B) of	10149
section 323.159 of the Revised Code, with the county auditor of	10150
the county in which the occupants' homesteads are located.	10151
Continuing applications shall be furnished to an occupant in the	10152
manner provided in division (C)(4) of this section.	10153

(1) An application for reduction based upon a physical	10154
disability shall be accompanied by a certificate signed by a	10155
physician, and an application for reduction based upon a mental	10156
disability shall be accompanied by a certificate signed by a	10157
physician or psychologist licensed to practice in this state,	10158
attesting to the fact that the applicant is permanently and	10159
totally disabled. The certificate shall be in a form that the tax	10160
commissioner requires and shall include the definition of	10161
permanently and totally disabled as set forth in section 323.151	10162
of the Revised Code. An application for reduction based upon a	10163
disability certified as permanent and total by a state or federal	10164
agency having the function of so classifying persons shall be	10165
accompanied by a certificate from that agency. Such an	10166

An application for a reduction under division (A) of section	10167
323.152 of the Revised Code constitutes a continuing application	10168
for a reduction in taxes for each year in which the dwelling is	10169
the applicant's homestead and the amount of the reduction in	10170
taxable value to which the applicant is entitled does not exceed	10171
either the amount or percentage of the reduction to which the	10172
applicant was entitled for the year in which the application was	10173
first filed.	10174

(2) An application for a reduction in taxes under division	10175
(B) of section 323.152 of the Revised Code shall be filed only if	10176
the homestead or manufactured or mobile home was transferred in	10177
the preceding year or did not qualify for and receive the	10178
reduction in taxes under that division for the preceding tax year.	10179
The application for homesteads transferred in the preceding year	10180
shall be incorporated into any form used by the county auditor to	10181
administer the tax law in respect to the conveyance of real	10182
property pursuant to section 319.20 of the Revised Code or of used	10183
manufactured homes or used mobile homes as defined in section	10184
5739.0210 of the Revised Code. The owner of a manufactured or	10185
mobile home who has elected under division (D)(4) of section	10186
4503.06 of the Revised Code to be taxed under division (D)(2) of	10187
that section for the ensuing year may file the application at the	10188
time of making that election. The application shall contain a	10189
statement that failure by the applicant to affirm on the	10190
application that the dwelling on the property conveyed is the	10191
applicant's homestead prohibits the owner from receiving the	10192
reduction in taxes until a proper application is filed within the	10193
period prescribed by division (A)(3) of this section. Such an	10194
application constitutes a continuing application for a reduction	10195
in taxes for each year in which the dwelling is the applicant's	10196
homestead.	10197

(3) Failure to receive a new application filed under division	10198
(A)(1) or (2) or notification under division (C) of this section	10199
after a certificate of reduction has been issued under section	10200
323.154 of the Revised Code, or failure to receive a new	10201
application filed under division (A)(1) or notification under	10202
division (C) of this section after a certificate of reduction has	10203
been issued under section 323.159 of the Revised Code, is	10204
prima-facie evidence that the original applicant is entitled to	10205
the reduction in taxes calculated on the basis of the information	10206
contained in the original application. The original application	10207
and any subsequent application, including any late application,	10208
shall be in the form of a signed statement and shall be filed	10209
after the first Monday in January and not later than the first	10210
Monday in June. The original application and any subsequent	10211
application for a reduction in real property taxes shall be filed	10212
in the year for which the reduction is sought. The original	10213
application and any subsequent application for a reduction in	10214
manufactured home taxes shall be filed in the year preceding the	10215
year for which the reduction is sought. The statement shall be on	10216
a form, devised and supplied by the tax commissioner, which shall	10217
require no more information than is necessary to establish the	10218
applicant's eligibility for the reduction in taxes and the amount	10219
of the reduction, and, for a certificate of reduction issued under	10220
section 323.154 of the Revised Code, shall include an affirmation	10221
by the applicant that ownership of the homestead was not acquired	10222
from a person, other than the applicant's spouse, related to the	10223
owner by consanguinity or affinity for the purpose of qualifying	10224
for the real property or manufactured home tax reduction provided	10225
for in division (A) or (B) of section 323.152 of the Revised Code.	10226
The form shall contain a statement that conviction of willfully	10227
falsifying information to obtain a reduction in taxes or failing	10228
to comply with division (C) of this section results in the	10229
revocation of the right to the reduction for a period of three	10230
years. In the case of an application for a reduction in taxes	10231
under division (A) of section 323.152 of the Revised Code, the	10232
form shall contain a statement that signing the application	10233
constitutes a delegation of authority by the applicant to the	10234
county auditor to examine any financial records relating to income	10235
earned by the applicant as stated on the application for the	10236
purpose of determining a possible violation of division (D) or (E)	10237
of this section.	10238

(B) A late application for a tax reduction for the year	10239
preceding the year in which an original application is filed, or	10240
for a reduction in manufactured home taxes for the year in which	10241
an original application is filed, may be filed with the original	10242
application. If the county auditor determines the information	10243
contained in the late application is correct, the auditor shall	10244
determine the amount of the reduction in taxes to which the	10245
applicant would have been entitled for the preceding tax year had	10246
the applicant's application been timely filed and approved in that	10247
year.	10248

The amount of such reduction shall be treated by the auditor	10249
as an overpayment of taxes by the applicant and shall be refunded	10250
in the manner prescribed in section 5715.22 of the Revised Code	10251
for making refunds of overpayments. On the first day of July of	10252
each year, the county auditor shall certify the total amount of	10253
the reductions in taxes made in the current year under this	10254
division to the tax commissioner, who shall treat the full amount	10255
thereof as a reduction in taxes for the preceding tax year and	10256
shall make reimbursement to the county therefor in the manner	10257
prescribed by section 323.156 of the Revised Code, from money	10258
appropriated for that purpose.	10259

(C)(1) If, in any year after an application has been filed	10260
under division (A)(1) or (2) of this section, the owner does not	10261
qualify for a reduction in taxes on the homestead or on the	10262
manufactured or mobile home set forth on such application, or	10263
qualifies for a reduction in taxes that is to be based upon a	10264
reduction in taxable value less than either the percentage or	10265
amount of the reduction in taxable value to which the owner was	10266
entitled in the year the application was filed, the owner shall	10267
notify the county auditor that the owner is not qualified for a	10268
reduction in taxes or file a new application under division (A)(1)	10269
or (2) of this section.	10270

(2) If, in any year after an application has been filed under	10271
division (A)(1) of this section, the occupant of a homestead in a	10272
housing cooperative does not qualify for a reduction in taxes on	10273
the homestead, the occupant shall notify the county auditor that	10274
the occupant is not qualified for a reduction in taxes or file a	10275
new application under division (A)(1) of this section.	10276

(3) If the county auditor or county treasurer discovers that	10277
the owner of property not entitled to the reduction in taxes under	10278
division (B) of section 323.152 of the Revised Code failed to	10279
notify the county auditor as required by division (C)(1) of this	10280
section, a charge shall be imposed against the property in the	10281
amount by which taxes were reduced under that division for each	10282
tax year the county auditor ascertains that the property was not	10283
entitled to the reduction and was owned by the current owner.	10284
Interest shall accrue in the manner prescribed by division (B) of	10285
section 323.121 or division (G)(2) of section 4503.06 of the	10286
Revised Code on the amount by which taxes were reduced for each	10287
such tax year as if the reduction became delinquent taxes at the	10288
close of the last day the second installment of taxes for that tax	10289
year could be paid without penalty. The county auditor shall	10290
notify the owner, by ordinary mail, of the charge, of the owner's	10291
right to appeal the charge, and of the manner in which the owner	10292
may appeal. The owner may appeal the imposition of the charge and	10293
interest by filing an appeal with the county board of revision not	10294
later than the last day prescribed for payment of real and public	10295
utility property taxes under section 323.12 of the Revised Code	10296
following receipt of the notice and occurring at least ninety days	10297
after receipt of the notice. The appeal shall be treated in the	10298
same manner as a complaint relating to the valuation or assessment	10299
of real property under Chapter 5715. of the Revised Code. The	10300
charge and any interest shall be collected as other delinquent	10301
taxes.	10302

(4) Each year during January, the county auditor shall	10303
furnish by ordinary mail a continuing application to each person	10304
issued a certificate of reduction under section 323.154 or 323.159	10305
of the Revised Code with respect to a reduction in taxes under	10306
division (A) of section 323.152 of the Revised Code. The	10307
continuing application shall be used to report changes in total	10308
income that would have the effect of increasing or decreasing the	10309
reduction in taxable value to which the person is entitled,	10310
changes in ownership or occupancy of the homestead, including	10311
changes in or revocation of a revocable inter vivos trust, changes	10312
in disability, and other changes in the information earlier	10313
furnished the auditor relative to the reduction in taxes on the	10314
property. The continuing application shall be returned to the	10315
auditor not later than the first Monday in June; provided, that if	10316
such changes do not affect the status of the homestead exemption	10317
or the amount of the reduction to which the owner is entitled	10318
under division (A) of section 323.152 of the Revised Code or to	10319
which the occupant is entitled under section 323.159 of the	10320
Revised Code, the application does not need to be returned.	10321

(5) Each year during February, the county auditor, except as	10322
otherwise provided in this paragraph, shall furnish by ordinary	10323
mail an original application to the owner, as of the first day of	10324
January of that year, of a homestead or a manufactured or mobile	10325
home that transferred during the preceding calendar year and that	10326
qualified for and received a reduction in taxes under division (B)	10327
of section 323.152 of the Revised Code for the preceding tax year.	10328
In order to receive the reduction under that division, the owner	10329
shall file the application with the county auditor not later than	10330
the first Monday in June. If the application is not timely filed,	10331
the auditor shall not grant a reduction in taxes for the homestead	10332
for the current year, and shall notify the owner that the	10333
reduction in taxes has not been granted, in the same manner	10334
prescribed under section 323.154 of the Revised Code for	10335
notification of denial of an application. Failure of an owner to	10336
receive an application does not excuse the failure of the owner to	10337
file an original application. The county auditor is not required	10338
to furnish an application under this paragraph for any homestead	10339
for which application has previously been made on a form	10340
incorporated into any form used by the county auditor to	10341
administer the tax law in respect to the conveyance of real	10342
property or of used manufactured homes or used mobile homes, and	10343
an owner who previously has applied on such a form is not required	10344
to return an application furnished under this paragraph.	10345

(D) No person shall knowingly make a false statement for the	10346
purpose of obtaining a reduction in the person's real property or	10347
manufactured home taxes under section 323.152 of the Revised Code.	10348

(E) No person shall knowingly fail to notify the county	10349
auditor of changes required by division (C) of this section that	10350
have the effect of maintaining or securing a reduction in taxable	10351
value of homestead property or a reduction in taxes in excess of	10352
the reduction allowed under section 323.152 of the Revised Code.	10353

(F) No person shall knowingly make a false statement or	10354
certification attesting to any person's physical or mental	10355
condition for purposes of qualifying such person for tax relief	10356
pursuant to sections 323.151 to 323.159 of the Revised Code.	10357

Sec. 323.154.  On or before the day the county auditor has	10358
completed the duties imposed by sections 319.30 to 319.302 of the	10359
Revised Code, the auditor shall issue a certificate of reduction	10360
in taxes in triplicate for each person who has complied with	10361
section 323.153 of the Revised Code and whose homestead, as	10362
defined in division (A)(1) of section 323.151 of the Revised Code,	10363
or manufactured or mobile home the auditor finds is entitled to a	10364
reduction in real property or manufactured home taxes for that	10365
year under section 323.152 of the Revised Code. Except as provided	10366
in section 323.159 of the Revised Code, in the case of a homestead	10367
entitled to a reduction under division (A) of that section, the	10368
certificate shall state the taxable value of the homestead on the	10369
first day of January of that year, the amount of the reduction in	10370
taxable value and the total reduction in taxes for that year under	10371
that section, the tax rate that is applicable against such	10372
homestead for that year, and any other information the tax	10373
commissioner requires. In the case of a homestead or a	10374
manufactured or mobile home entitled to a reduction under division	10375
(B) of that section, the certificate shall state the total amount	10376
of the reduction in taxes for that year under that section and any	10377
other information the tax commissioner requires. The certificate	10378
for reduction in taxes shall be on a form approved by the	10379
commissioner. Upon issuance of such a certificate, the county	10380
auditor shall forward one copy and the original to the county	10381
treasurer and retain one copy. The county auditor also shall	10382
record the amount of reduction in taxes in the appropriate column	10383
on the general tax list and duplicate of real and public utility	10384
property and on the manufactured home tax list.	10385

If an application, late application, or continuing	10386
application is not approved, or if the county auditor otherwise	10387
determines that a homestead or a manufactured or mobile home does	10388
not qualify for a reduction in taxes under division (A) or (B) of	10389
section 323.152 of the Revised Code, the auditor shall notify the	10390
applicant of the reasons for denial not later than the first	10391
Monday in October. If an applicant believes that the application	10392
for reduction has been improperly denied or that the reduction is	10393
for less than that to which the applicant is entitled, the	10394
applicant may file an appeal with the county board of revision not	10395
later than the date of closing of the collection for the first	10396
half of real and public utility property taxes or manufactured	10397
home taxes. The appeal shall be treated in the same manner as a	10398
complaint relating to the valuation or assessment of real property	10399
under Chapter 5715. of the Revised Code.	10400

Sec. 325.31.  (A) On the first business day of each month,	10401
and at the end of the officer's term of office, each officer named	10402
in section 325.27 of the Revised Code shall pay into the county	10403
treasury, to the credit of the general county fund, on the warrant	10404
of the county auditor, all fees, costs, penalties, percentages,	10405
allowances, and perquisites collected by the officer's office	10406
during the preceding month or part thereof for official services,	10407
except the fees allowed the county auditor by division (B)(C) of	10408
section 319.54 of the Revised Code, which shall be paid into the	10409
county treasury to the credit of the real estate assessment fund	10410
hereby created.	10411

(B) Moneys to the credit of the real estate assessment fund	10412
may be expended, upon appropriation by the board of county	10413
commissioners, for the purpose of defraying one or more of the	10414
following:	10415

(1) The cost incurred by the county auditor in assessing real	10416
estate pursuant to Chapter 5713. of the Revised Code and	10417
manufactured and mobile homes pursuant to Chapter 4503. of the	10418
Revised Code;	10419

(2) At the county auditor's discretion, costs and expenses	10420
incurred by the county auditor in preparing the list of real and	10421
public utility property, in administering laws related to the	10422
taxation of real property and the levying of special assessments	10423
on real property, including administering reductions under	10424
Chapters 319. and 323. and section 4503.065 of the Revised Code,	10425
and to support assessments of real property in any administrative	10426
or judicial proceeding;	10427

(3) At the county auditor's discretion, the expenses incurred	10428
by the county board of revision under Chapter 5715. of the Revised	10429
Code;	10430

(4) At the county auditor's discretion, the expenses incurred	10431
by the county auditor for geographic information systems, mapping	10432
programs, and technological advances in those or similar systems	10433
or programs;	10434

(5) At the county auditor's discretion, expenses incurred by	10435
the county auditor in compiling the general tax list of tangible	10436
personal property and administering tangible personal property	10437
taxes under Chapters 5711. and 5719. of the Revised Code;	10438

(6) At the county auditor's discretion, costs, expenses, and	10439
fees incurred by the county auditor in the administration of	10440
estate taxes under Chapter 5731. of the Revised Code and the	10441
amounts incurred under section 5731.41 of the Revised Code.	10442

Any expenditures made from the real estate assessment fund	10443
shall comply with rules that the tax commissioner adopts under	10444
division (O) of section 5703.05 of the Revised Code. Those rules	10445
shall include a requirement that a copy of any appraisal plans,	10446
progress of work reports, contracts, or other documents required	10447
to be filed with the tax commissioner shall be filed also with the	10448
board of county commissioners.	10449

The board of county commissioners shall not transfer moneys	10450
required to be deposited in the real estate assessment fund to any	10451
other fund. Following an assessment of real property pursuant to	10452
Chapter 5713. of the Revised Code, or an assessment of a	10453
manufactured or mobile home pursuant to Chapter 4503. of the	10454
Revised Code, any moneys not expended for the purpose of defraying	10455
the cost incurred in assessing real estate or manufactured or	10456
mobile homes or for the purpose of defraying the expenses	10457
described in divisions (B)(2), (3), (4), (5), and (6) of this	10458
section, and thereby remaining to the credit of the real estate	10459
assessment fund, shall be apportioned ratably and distributed to	10460
those taxing authorities that contributed to the fund. However, no	10461
such distribution shall be made if the amount of such unexpended	10462
moneys remaining to the credit of the real estate assessment fund	10463
does not exceed five thousand dollars.	10464

(C) None of the officers named in section 325.27 of the	10465
Revised Code shall collect any fees from the county. Each of such	10466
officers shall, at the end of each calendar year, make and file a	10467
sworn statement with the board of county commissioners of all such	10468
fees, costs, penalties, percentages, allowances, and perquisites	10469
which have been due in the officer's office and unpaid for more	10470
than one year prior to the date such statement is required to be	10471
made.	10472

Sec. 329.04.  (A) The county department of job and family	10473
services shall have, exercise, and perform the following powers	10474
and duties:	10475

(1) Perform any duties assigned by the state department of	10476
job and family services regarding the provision of public family	10477
services, including the provision of the following services to	10478
prevent or reduce economic or personal dependency and to	10479
strengthen family life:	10480

(a) Services authorized by a Title IV-A program, as defined	10481
in section 5101.80 of the Revised Code;	10482

(b) Social services authorized by Title XX of the "Social	10483
Security Act" and provided for by section 5101.46 or 5101.461 of	10484
the Revised Code;	10485

(c) If the county department is designated as the child	10486
support enforcement agency, services authorized by Title IV-D of	10487
the "Social Security Act" and provided for by Chapter 3125. of	10488
the Revised Code. The county department may perform the services	10489
itself or contract with other government entities, and, pursuant	10490
to division (C) of section 2301.35 and section 2301.42 of the	10491
Revised Code, private entities, to perform the Title IV-D	10492
services.	10493

(d) Duties assigned under section 5111.98 of the Revised	10494
Code.	10495

(2) Administer disability financial assistance, as required	10496
by the state department of job and family services under section	10497
5115.03 of the Revised Code;	10498

(3) Administer disability medical assistance, as required by	10499
the state department of job and family services under section	10500
5115.13 of the Revised Code;	10501

(4) Administer burials insofar as the administration of	10502
burials was, prior to September 12, 1947, imposed upon the board	10503
of county commissioners and if otherwise required by state law;	10504

(5) Cooperate with state and federal authorities in any	10505
matter relating to family services and to act as the agent of such	10506
authorities;	10507

(6) Submit an annual account of its work and expenses to the	10508
board of county commissioners and to the state department of job	10509
and family services at the close of each fiscal year;	10510

(7) Exercise any powers and duties relating to family	10511
services duties or workforce development activities imposed upon	10512
the county department of job and family services by law, by	10513
resolution of the board of county commissioners, or by order of	10514
the governor, when authorized by law, to meet emergencies during	10515
war or peace;	10516

(8) Determine the eligibility for medical assistance of	10517
recipients of aid under Title XVI of the "Social Security Act";	10518

(9) If assigned by the state director of job and family	10519
services under section 5101.515 of the Revised Code, determine	10520
applicants' eligibility for health assistance under the children's	10521
health insurance program part II;	10522

(10) Enter into a plan of cooperation with the board of	10523
county commissioners under section 307.983, consult with the board	10524
in the development of the transportation work plan developed under	10525
section 307.985, establish with the board procedures under section	10526
307.986 for providing services to children whose families relocate	10527
frequently, and comply with the contracts the board enters into	10528
under sections 307.981 and 307.982 of the Revised Code that affect	10529
the county department;	10530

(11) For the purpose of complying with a fiscalgrant	10531
agreement the board of county commissioners enters into under	10532
sectionsections 307.98 and 5101.21 of the Revised Code, exercise	10533
the powers and perform the duties the fiscalgrant agreement	10534
assigns to the county department;	10535

(12) If the county department is designated as the workforce	10536
development agency, provide the workforce development activities	10537
specified in the contract required by section 330.05 of the	10538
Revised Code;	10539

(13) Perform administrative functions of the nonfederal	10540
medical assistance program, as required under section 5114.05 of	10541
the Revised Code.	10542

(B) The powers and duties of a county department of job and	10543
family services are, and shall be exercised and performed, under	10544
the control and direction of the board of county commissioners.	10545
The board may assign to the county department any power or duty of	10546
the board regarding family services duties and workforce	10547
development activities. If the new power or duty necessitates the	10548
state department of job and family services changing its federal	10549
cost allocation plan, the county department may not implement the	10550
power or duty unless the United States department of health and	10551
human services approves the changes.	10552

Sec. 329.05.  The county department of job and family	10553
services may administer or assist in administering any state or	10554
local family services duty in addition to those mentioned in	10555
section 329.04 of the Revised Code, supported wholly or in part by	10556
public funds from any source provided by agreement between the	10557
board of county commissioners and the officer, department, board,	10558
or agency in which the administration of such activity is vested.	10559
Such officer, department, board, or agency may enter into such	10560
agreement and confer upon the county department of job and family	10561
services, to the extent and in particulars specified in the	10562
agreement, the performance of any duties and the exercise of any	10563
powers imposed upon or vested in such officer, board, department,	10564
or agency, with respect to the administration of such activity.	10565
Such agreement shall be in the form of a resolution of the board	10566
of county commissioners, accepted in writing by the other party to	10567
the agreement, and filed in the office of the county auditor, and	10568
when so filed, shall have the effect of transferring the exercise	10569
of the powers and duties to which the agreement relates and shall	10570
exempt the other party from all further responsibility for the	10571
exercise of the powers and duties so transferred, during the life	10572
of the agreement.	10573

Such agreement shall be coordinated and not conflict with a	10574
fiscalgrant agreement entered into under sectionsections 307.98	10575
and 5101.21, a contract entered into under section 307.981 or	10576
307.982, a plan of cooperation entered into under section 307.983,	10577
a regional plan of cooperation entered into under section 307.984,	10578
a transportation work plan developed under section 307.985, or	10579
procedures for providing services to children whose families	10580
relocate frequently established under section 307.986 of the	10581
Revised Code. It may be revoked at the option of either party, by	10582
a resolution or order of the revoking party filed in the office of	10583
the auditor. Such revocation shall become effective at the end of	10584
the fiscal year occurring at least six months following the filing	10585
of the resolution or order. In the absence of such an express	10586
revocation so filed, the agreement shall continue indefinitely.	10587

This section does not permit a county department of job and	10588
family services to manage or control hospitals, humane societies,	10589
detention facilities, jails or probation departments of courts, or	10590
veterans service commissions.	10591

Sec. 329.051.  The county department of job and family	10592
services shall make voter registration applications as prescribed	10593
by the secretary of state under section 3503.10 of the Revised	10594
Code available to persons who are applying for, receiving	10595
assistance from, or participating in any of the following:	10596

(A) The disability financial assistance program established	10597
under Chapter 5115. of the Revised Code;	10598

(B) The disability medical assistance program established	10599
under Chapter 5115. of the Revised Code;	10600

(C) The medical assistance program established under Chapter	10601
5111. of the Revised Code;	10602

(D) The Ohio works first program established under Chapter	10603
5107. of the Revised Code;	10604

(E) The prevention, retention, and contingency program	10605
established under Chapter 5108. of the Revised Code;	10606

(F) The nonfederal medical assistance program established	10607
under Chapter 5114. of the Revised Code.	10608

Sec. 329.14.  (A) An individual whose household income does	10609
not exceed onetwo hundred fifty per cent of the federal poverty	10610
line is eligible to participate in an individual development	10611
account program established by the county department of job and	10612
family services of the county in which the individual resides. An	10613
eligible individual seeking to be a participant in the program	10614
shall enter into an agreement with the fiduciary organization	10615
administering the program. The agreement shall specify the terms	10616
and conditions of uses of funds deposited, financial documentation	10617
required to be maintained by the participant, expectations and	10618
responsibilities of the participant, and services to be provided	10619
by the fiduciary organization.	10620

(B) A participant may deposit earned income, as defined in 26	10621
U.S.C. 911(d)(2), as amended, into the account. The fiduciary	10622
organization may deposit into the account an amount not exceeding	10623
twicefour times the amount deposited by the participant except	10624
that a fiduciary organization may not, pursuant to an agreement	10625
with an employer, deposit an amount into an account held by a	10626
participant who is employed by the employer. An account may have	10627
no more than ten thousand dollars in it at any time.	10628

(C) Notwithstanding eligibility requirements established in	10629
or pursuant to Chapter 5107., 5108., or 5111. of the Revised Code,	10630
to the extent permitted by federal statutes and regulations, money	10631
in an individual development account, including interest, is	10632
exempt from consideration in determining whether the participant	10633
or a member of the participant's assistance group is eligible for	10634
assistance under Chapter 5107., 5108., or 5111. of the Revised	10635
Code and the amount of assistance the participant or assistance	10636
group is eligible to receive.	10637

(D)(1) Except as provided in division (D)(2) of this section,	10638
an individual development account program participant may use	10639
money in the account only for the following purposes:	10640

(a) Postsecondary educational expenses paid directly from the	10641
account to an eligible education institution or vendor;	10642

(b) Qualified acquisition expenses of a principal residence,	10643
as defined in 26 U.S.C. 1034, as amended, paid directly from the	10644
account to the person or government entity to which the expenses	10645
are due;	10646

(c) Qualified business capitalization expenses made in	10647
accordance with a qualified business plan that has been approved	10648
by a financial institution or by a nonprofit microenterprise	10649
program having demonstrated business expertise and paid directly	10650
from the account to the person to whom the expenses are due.	10651

(2) A fiduciary organization shall permit a participant to	10652
withdraw money deposited by the participant if it is needed to	10653
deal with a personal emergency of the participant or a member of	10654
the participant's family or household. Withdrawal shall result in	10655
the loss of any matching funds in an amount equal to the amount of	10656
the withdrawal.	10657

(3) Regardless of the reason for the withdrawal, a withdrawal	10658
from an individual development account may be made only with the	10659
approval of the fiduciary organization.	10660

Sec. 340.03.  (A) Subject to rules issued by the director of	10661
mental health after consultation with relevant constituencies as	10662
required by division (A)(11) of section 5119.06 of the Revised	10663
Code, with regard to mental health services, the board of alcohol,	10664
drug addiction, and mental health services shall:	10665

(1) Serve as the community mental health planning agency for	10666
the county or counties under its jurisdiction, and in so doing it	10667
shall:	10668

(a) Evaluate the need for facilities and community mental	10669
health services;	10670

(b) In cooperation with other local and regional planning and	10671
funding bodies and with relevant ethnic organizations, assess the	10672
community mental health needs, set priorities, and develop plans	10673
for the operation of facilities and community mental health	10674
services;	10675

(c) In accordance with guidelines issued by the director of	10676
mental health after consultation with board representatives,	10677
develop and submit to the department of mental health, no later	10678
than six months prior to the conclusion of the fiscal year in	10679
which the board's current plan is scheduled to expire, a community	10680
mental health plan listing community mental health needs,	10681
including the needs of all residents of the district now residing	10682
in state mental institutions and severely mentally disabled	10683
adults, children, and adolescents; all children subject to a	10684
determination made pursuant to section 121.38 of the Revised Code;	10685
and all the facilities and community mental health services that	10686
are or will be in operation or provided during the period for	10687
which the plan will be in operation in the service district to	10688
meet such needs.	10689

The plan shall include, but not be limited to, a statement of	10690
which of the services listed in section 340.09 of the Revised Code	10691
the board intends to make available. The board must include crisis	10692
intervention services for individuals in an emergency situation in	10693
the plan and explain how the board intends to make such services	10694
available. The plan must also include an explanation of how the	10695
board intends to make any payments that it may be required to pay	10696
under section 5119.62 of the Revised Code, a statement of the	10697
inpatient and community-based services the board proposes that the	10698
department operate, an assessment of the number and types of	10699
residential facilities needed, such other information as the	10700
department requests, and a budget for moneys the board expects to	10701
receive. The board shall also submit an allocation request for	10702
state and federal funds. Within sixty days after the department's	10703
determination that the plan and allocation request are complete,	10704
the department shall approve or disapprove the plan and request,	10705
in whole or in part, according to the criteria developed pursuant	10706
to section 5119.61 of the Revised Code. The department's statement	10707
of approval or disapproval shall specify the inpatient and the	10708
community-based services that the department will operate for the	10709
board.	10710

Eligibility for state and federal funding shall be contingent	10711
upon an approved plan or relevant part of a plan. The department	10712
may provide state and federal funding for services included in a	10713
plan only if the services are for individuals whose focus of	10714
provided as treatment or prevention isof a mental disorder	10715
according to the edition of the American psychiatric association's	10716
diagnostic and statistical manual of mental disorders that is	10717
current at the time the funding is provided. This shall include	10718
such services for individuals who have a mental disorder and a	10719
co-occurring substance use disorder, substance-induced disorder,	10720
chronic dementing organic mental disorder, mental retardation, or	10721
developmental disability. The department may not provide state or	10722
federal funding under a plan for a service for individuals whose	10723
focus of treatment or prevention is solely, except that the	10724
department may not provide state or federal funding for a service	10725
provided as treatment or prevention of any of the following, even	10726
if it appears in the manual as a mental disorder: a substance use	10727
disorder, substance-induced disorder, chronic dementing organic	10728
mental disorder, mental retardation, or developmental disability.	10729
In the case of an individual who requires services for the	10730
treatment or prevention of both one or more mental disorders for	10731
which the department may provide funding and one or more mental	10732
disorders for which the department may not provide funding, the	10733
department may provide funding only for the portion of the	10734
services for which funding is permitted by this section.	10735

If the director disapproves all or part of any plan, the	10736
director shall inform the board of the reasons for the disapproval	10737
and of the criteria that must be met before the plan may be	10738
approved. The director shall provide the board an opportunity to	10739
present its case on behalf of the plan. The director shall give	10740
the board a reasonable time in which to meet the criteria, and	10741
shall offer the board technical assistance to help it meet the	10742
criteria.	10743

If the approval of a plan remains in dispute thirty days	10744
prior to the conclusion of the fiscal year in which the board's	10745
current plan is scheduled to expire, the board or the director may	10746
request that the dispute be submitted to a mutually agreed upon	10747
third-party mediator with the cost to be shared by the board and	10748
the department. The mediator shall issue to the board and the	10749
department recommendations for resolution of the dispute. Prior to	10750
the conclusion of the fiscal year in which the current plan is	10751
scheduled to expire, the director, taking into consideration the	10752
recommendations of the mediator, shall make a final determination	10753
and approve or disapprove the plan, in whole or in part.	10754

If a board determines that it is necessary to amend a plan or	10755
an allocation request that has been approved under division	10756
(A)(1)(c) of this section, the board shall submit a proposed	10757
amendment to the director. The director may approve or disapprove	10758
all or part of the amendment. If the director does not approve all	10759
or part of the amendment within thirty days after it is submitted,	10760
the amendment or part of it shall be considered to have been	10761
approved. The director shall inform the board of the reasons for	10762
disapproval of all or part of an amendment and of the criteria	10763
that must be met before the amendment may be approved. The	10764
director shall provide the board an opportunity to present its	10765
case on behalf of the amendment. The director shall give the board	10766
a reasonable time in which to meet the criteria, and shall offer	10767
the board technical assistance to help it meet the criteria.	10768

The board shall implement the plan approved by the	10769
department.	10770

(d) Receive, compile, and transmit to the department of	10771
mental health applications for state reimbursement;	10772

(e) Promote, arrange, and implement working agreements with	10773
social agencies, both public and private, and with judicial	10774
agencies.	10775

(2) Investigate, or request another agency to investigate,	10776
any complaint alleging abuse or neglect of any person receiving	10777
services from a community mental health agency as defined in	10778
section 5122.01 of the Revised Code, or from a residential	10779
facility licensed under section 5119.22 of the Revised Code. If	10780
the investigation substantiates the charge of abuse or neglect,	10781
the board shall take whatever action it determines is necessary to	10782
correct the situation, including notification of the appropriate	10783
authorities. Upon request, the board shall provide information	10784
about such investigations to the department.	10785

(3) For the purpose of section 5119.611 of the Revised Code,	10786
cooperate with the director of mental health in visiting and	10787
evaluating whether the services of a community mental health	10788
agency satisfy the certification standards established by rules	10789
adopted under that section;	10790

(4) In accordance with criteria established under division	10791
(G) of section 5119.61 of the Revised Code, review and evaluate	10792
the quality, effectiveness, and efficiency of services provided	10793
through its community mental health plan and submit its findings	10794
and recommendations to the department of mental health;	10795

(5) In accordance with section 5119.22 of the Revised Code,	10796
review applications for residential facility licenses and	10797
recommend to the department of mental health approval or	10798
disapproval of applications;	10799

(6) Audit, in accordance with rules adopted by the auditor of	10800
state pursuant to section 117.20 of the Revised Code, at least	10801
annually all programs and services provided under contract with	10802
the board. In so doing, the board may contract for or employ the	10803
services of private auditors. A copy of the fiscal audit report	10804
shall be provided to the director of mental health, the auditor of	10805
state, and the county auditor of each county in the board's	10806
district.	10807

(7) Recruit and promote local financial support for mental	10808
health programs from private and public sources;	10809

(8)(a) Enter into contracts with public and private	10810
facilities for the operation of facility services included in the	10811
board's community mental health plan and enter into contracts with	10812
public and private community mental health agencies for the	10813
provision of community mental health services that are listed in	10814
section 340.09 of the Revised Code and included in the board's	10815
community mental health plan. The board may not contract with a	10816
community mental health agency to provide community mental health	10817
services included in the board's community mental health plan	10818
unless the services are certified by the director of mental health	10819
under section 5119.611 of the Revised Code. Section 307.86 of the	10820
Revised Code does not apply to contracts entered into under this	10821
division. In contracting with a community mental health agency, a	10822
board shall consider the cost effectiveness of services provided	10823
by that agency and the quality and continuity of care, and may	10824
review cost elements, including salary costs, of the services to	10825
be provided. A utilization review process shall be established as	10826
part of the contract for services entered into between a board and	10827
a community mental health agency. The board may establish this	10828
process in a way that is most effective and efficient in meeting	10829
local needs. In the case of a contract with a community mental	10830
health facility, as defined in section 5111.023 of the Revised	10831
Code, to provide services listed in division (B) of that section,	10832
the contract shall provide for the facility to be paid in	10833
accordance with the contract entered into between the departments	10834
of job and family services and mental health under section	10835
5111.91 of the Revised Code and any rules adopted under division	10836
(A) of section 5119.61 of the Revised Code.	10837

If either the board or a facility or community mental health	10838
agency with which the board contracts under division (A)(8)(a) of	10839
this section proposes not to renew the contract or proposes	10840
substantial changes in contract terms, the other party shall be	10841
given written notice at least one hundred twenty days before the	10842
expiration date of the contract. During the first sixty days of	10843
this one hundred twenty-day period, both parties shall attempt to	10844
resolve any dispute through good faith collaboration and	10845
negotiation in order to continue to provide services to persons in	10846
need. If the dispute has not been resolved sixty days before the	10847
expiration date of the contract, either party may notify the	10848
department of mental health of the unresolved dispute. The	10849
director may require both parties to submit the dispute to a third	10850
party with the cost to be shared by the board and the facility or	10851
community mental health agency. The third party shall issue to the	10852
board, the facility or agency, and the department recommendations	10853
on how the dispute may be resolved twenty days prior to the	10854
expiration date of the contract, unless both parties agree to a	10855
time extension. The director shall adopt rules establishing the	10856
procedures of this dispute resolution process.	10857

(b) With the prior approval of the director of mental health,	10858
a board may operate a facility or provide a community mental	10859
health service as follows, if there is no other qualified private	10860
or public facility or community mental health agency that is	10861
immediately available and willing to operate such a facility or	10862
provide the service:	10863

(i) In an emergency situation, any board may operate a	10864
facility or provide a community mental health service in order to	10865
provide essential services for the duration of the emergency;	10866

(ii) In a service district with a population of at least one	10867
hundred thousand but less than five hundred thousand, a board may	10868
operate a facility or provide a community mental health service	10869
for no longer than one year;	10870

(iii) In a service district with a population of less than	10871
one hundred thousand, a board may operate a facility or provide a	10872
community mental health service for no longer than one year,	10873
except that such a board may operate a facility or provide a	10874
community mental health service for more than one year with the	10875
prior approval of the director and the prior approval of the board	10876
of county commissioners, or of a majority of the boards of county	10877
commissioners if the district is a joint-county district.	10878

The director shall not give a board approval to operate a	10879
facility or provide a community mental health service under	10880
division (A)(8)(b)(ii) or (iii) of this section unless the	10881
director determines that it is not feasible to have the department	10882
operate the facility or provide the service.	10883

The director shall not give a board approval to operate a	10884
facility or provide a community mental health service under	10885
division (A)(8)(b)(iii) of this section unless the director	10886
determines that the board will provide greater administrative	10887
efficiency and more or better services than would be available if	10888
the board contracted with a private or public facility or	10889
community mental health agency.	10890

The director shall not give a board approval to operate a	10891
facility previously operated by a person or other government	10892
entity unless the board has established to the director's	10893
satisfaction that the person or other government entity cannot	10894
effectively operate the facility or that the person or other	10895
government entity has requested the board to take over operation	10896
of the facility. The director shall not give a board approval to	10897
provide a community mental health service previously provided by a	10898
community mental health agency unless the board has established to	10899
the director's satisfaction that the agency cannot effectively	10900
provide the service or that the agency has requested the board	10901
take over providing the service.	10902

The director shall review and evaluate a board's operation of	10903
a facility and provision of community mental health service under	10904
division (A)(8)(b) of this section.	10905

Nothing in division (A)(8)(b) of this section authorizes a	10906
board to administer or direct the daily operation of any facility	10907
or community mental health agency, but a facility or agency may	10908
contract with a board to receive administrative services or staff	10909
direction from the board under the direction of the governing body	10910
of the facility or agency.	10911

(9) Approve fee schedules and related charges or adopt a unit	10912
cost schedule or other methods of payment for contract services	10913
provided by community mental health agencies in accordance with	10914
guidelines issued by the department as necessary to comply with	10915
state and federal laws pertaining to financial assistance;	10916

(10) Submit to the director and the county commissioners of	10917
the county or counties served by the board, and make available to	10918
the public, an annual report of the programs under the	10919
jurisdiction of the board, including a fiscal accounting;	10920

(11) Establish, to the extent resources are available, a	10921
community support system, which provides for treatment, support,	10922
and rehabilitation services and opportunities. The essential	10923
elements of the system include, but are not limited to, the	10924
following components in accordance with section 5119.06 of the	10925
Revised Code:	10926

(a) To locate persons in need of mental health services to	10927
inform them of available services and benefits mechanisms;	10928

(b) Assistance for clients to obtain services necessary to	10929
meet basic human needs for food, clothing, shelter, medical care,	10930
personal safety, and income;	10931

(c) Mental health care, including, but not limited to,	10932
outpatient, partial hospitalization, and, where appropriate,	10933
inpatient care;	10934

(d) Emergency services and crisis intervention;

10935

(e) Assistance for clients to obtain vocational services and	10936
opportunities for jobs;	10937

(f) The provision of services designed to develop social,	10938
community, and personal living skills;	10939

(g) Access to a wide range of housing and the provision of	10940
residential treatment and support;	10941

(h) Support, assistance, consultation, and education for	10942
families, friends, consumers of mental health services, and	10943
others;	10944

(i) Recognition and encouragement of families, friends,	10945
neighborhood networks, especially networks that include racial and	10946
ethnic minorities, churches, community organizations, and	10947
meaningful employment as natural supports for consumers of mental	10948
health services;	10949

(j) Grievance procedures and protection of the rights of	10950
consumers of mental health services;	10951

(k) Case management, which includes continual individualized	10952
assistance and advocacy to ensure that needed services are offered	10953
and procured.	10954

(12) Designate the treatment program, agency, or facility for	10955
each person involuntarily committed to the board pursuant to	10956
Chapter 5122. of the Revised Code and authorize payment for such	10957
treatment. The board shall provide the least restrictive and most	10958
appropriate alternative that is available for any person	10959
involuntarily committed to it and shall assure that the services	10960
listed in section 340.09 of the Revised Code are available to	10961
severely mentally disabled persons residing within its service	10962
district. The board shall establish the procedure for authorizing	10963
payment for services, which may include prior authorization in	10964
appropriate circumstances. The board may provide for services	10965
directly to a severely mentally disabled person when life or	10966
safety is endangered and when no community mental health agency is	10967
available to provide the service.	10968

(13) Establish a method for evaluating referrals for	10969
involuntary commitment and affidavits filed pursuant to section	10970
5122.11 of the Revised Code in order to assist the probate	10971
division of the court of common pleas in determining whether there	10972
is probable cause that a respondent is subject to involuntary	10973
hospitalization and what alternative treatment is available and	10974
appropriate, if any;	10975

(14) Ensure that apartments or rooms built, subsidized,	10976
renovated, rented, owned, or leased by the board or a community	10977
mental health agency have been approved as meeting minimum fire	10978
safety standards and that persons residing in the rooms or	10979
apartments are receiving appropriate and necessary services,	10980
including culturally relevant services, from a community mental	10981
health agency. This division does not apply to residential	10982
facilities licensed pursuant to section 5119.22 of the Revised	10983
Code.	10984

(15) Establish a mechanism for involvement of consumer	10985
recommendation and advice on matters pertaining to mental health	10986
services in the alcohol, drug addiction, and mental health service	10987
district;	10988

(16) Perform the duties under section 3722.18 of the Revised	10989
Code required by rules adopted under section 5119.61 of the	10990
Revised Code regarding referrals by the board or mental health	10991
agencies under contract with the board of individuals with mental	10992
illness or severe mental disability to adult care facilities and	10993
effective arrangements for ongoing mental health services for the	10994
individuals. The board is accountable in the manner specified in	10995
the rules for ensuring that the ongoing mental health services are	10996
effectively arranged for the individuals.	10997

(B) The board shall establish such rules, operating	10998
procedures, standards, and bylaws, and perform such other duties	10999
as may be necessary or proper to carry out the purposes of this	11000
chapter.	11001

(C) A board of alcohol, drug addiction, and mental health	11002
services may receive by gift, grant, devise, or bequest any	11003
moneys, lands, or property for the benefit of the purposes for	11004
which the board is established, and may hold and apply it	11005
according to the terms of the gift, grant, or bequest. All money	11006
received, including accrued interest, by gift, grant, or bequest	11007
shall be deposited in the treasury of the county, the treasurer of	11008
which is custodian of the alcohol, drug addiction, and mental	11009
health services funds to the credit of the board and shall be	11010
available for use by the board for purposes stated by the donor or	11011
grantor.	11012

(D) No board member or employee of a board of alcohol, drug	11013
addiction, and mental health services shall be liable for injury	11014
or damages caused by any action or inaction taken within the scope	11015
of the board member's official duties or the employee's	11016
employment, whether or not such action or inaction is expressly	11017
authorized by this section, section 340.033, or any other section	11018
of the Revised Code, unless such action or inaction constitutes	11019
willful or wanton misconduct. Chapter 2744. of the Revised Code	11020
applies to any action or inaction by a board member or employee of	11021
a board taken within the scope of the board member's official	11022
duties or employee's employment. For the purposes of this	11023
division, the conduct of a board member or employee shall not be	11024
considered willful or wanton misconduct if the board member or	11025
employee acted in good faith and in a manner that the board member	11026
or employee reasonably believed was in or was not opposed to the	11027
best interests of the board and, with respect to any criminal	11028
action or proceeding, had no reasonable cause to believe the	11029
conduct was unlawful.	11030

(E) The meetings held by any committee established by a board	11031
of alcohol, drug addiction, and mental health services shall be	11032
considered to be meetings of a public body subject to section	11033
121.22 of the Revised Code.	11034

Sec. 709.191.  In lieu of making any of the payments required	11035
by section 709.19 of the Revised Code and for any proposed	11036
annexation which does not require payments under that section, the	11037
legislative authority of a municipal corporation which proposes to	11038
annex unincorporated territory of a township may enter into an	11039
agreement with the board of township trustees of the township in	11040
which the territory to be annexed is located, whereby the	11041
municipal corporation agrees to make an annual payment to the	11042
township to compensate for lost tax revenues. The agreement shall	11043
set forth the amount of the annual payment and the number of	11044
payments to be made.	11045

If a municipal corporation fails to make an annual payment	11046
pursuant to an agreement entered into under this section, the	11047
board of township trustees shall notify the county budget	11048
commission in writing of the amount owed by the municipal	11049
corporation to the township. The county budget commission shall	11050
reduce the amount apportioned to the municipal corporation from	11051
the undivided local governmentcommunities fund pursuant to	11052
section 5747.51 or 5747.53 of the Revised Code by the amount of	11053
the payment due the township under the municipal-township	11054
agreement and shall increase, by an amount equal to this	11055
reduction, the amount apportioned to the township from the	11056
undivided local governmentcommunities fund.	11057

Sec. 718.051. (A) As used in this section, "Ohio business	11058
gateway" means the online computer network system, initially	11059
createdmaintained by the department of administrative services	11060
office of information technology under section 125.30126.18 of	11061
the Revised Code, that allows private businesses to electronically	11062
file business reply forms with state agencies and includes any	11063
successor electronic filing and payment system.	11064

(B) Notwithstanding section 718.05 of the Revised Code, on	11065
and after January 1, 2005, any taxpayer that is subject to any	11066
municipal corporation's tax on the net profit from a business or	11067
profession and has received an extension to file the federal	11068
income tax return shall not be required to notify the municipal	11069
corporation of the federal extension and shall not be required to	11070
file any municipal income tax return until the last day of the	11071
month to which the due date for filing the federal return has been	11072
extended, provided that, on or before the date for filing the	11073
municipal income tax return, the person notifies the tax	11074
commissioner of the federal extension through the Ohio business	11075
gateway. An extension of time to file is not an extension of the	11076
time to pay any tax due.	11077

(C) For taxable years beginning on or after January 1, 2005,	11078
a taxpayer subject to any municipal corporation's tax on the net	11079
profit from a business or profession may file any municipal income	11080
tax return or estimated municipal income return, and may make	11081
payment of amounts shown to be due on such returns, by using the	11082
Ohio business gateway.	11083

(D)(1) As used in this division, "qualifying wages" has the	11084
same meaning as in section 718.03 of the Revised Code.	11085

(2) Any employer may report the amount of municipal income	11086
tax withheld from qualifying wages paid on or after January 1,	11087
2007, and may make remittance of such amounts, by using the Ohio	11088
business gateway.	11089

(E) Nothing in this section affects the due dates for filing	11090
employer withholding tax returns.	11091

(F) No municipal corporation shall be required to pay any fee	11092
or charge for the operation or maintenance of the Ohio business	11093
gateway.	11094

(G) The use of the Ohio business gateway by municipal	11095
corporations, taxpayers, or other persons pursuant to this section	11096
does not affect the legal rights of municipalities or taxpayers as	11097
otherwise permitted by law. This state shall not be a party to the	11098
administration of municipal income taxes or to an appeal of a	11099
municipal income tax matter, except as otherwise specifically	11100
provided by law.	11101

(H)(1) The tax commissioner shall adopt rules establishing:

11102

(a) The format of documents to be used by taxpayers to file	11103
returns and make payments through the Ohio business gateway; and	11104

(b) The information taxpayers must submit when filing	11105
municipal income tax returns through the Ohio business gateway.	11106

(2) The commissioner shall consult with the Ohio business	11107
gateway steering committee before adopting the rules described in	11108
division (H)(1) of this section.	11109

(I) Nothing in this section shall be construed as limiting or	11110
removing the ability of any municipal corporation to administer,	11111
audit, and enforce the provisions of its municipal income tax.	11112

Sec. 742.301.  Each employer shall promptly pay the amount	11113
due on the accrued liability on the dates fixed by the board of	11114
trustees of the Ohio police and fire pension fund. Upon	11115
certification by the board that payment of an employer's accrued	11116
liability has not been paid within thirty days following the date	11117
a payment is due, a penalty of five per cent of the amount due	11118
shall be assessed against such employer. If the payment and	11119
penalty have not been paid within ninety days following the date a	11120
payment is due, annual interest at six per cent shall be assessed	11121
against the payment and penalty from the date that the payment is	11122
due.	11123

Upon certification by the board to the superintendent of	11124
liquor control or the county auditor of an amount due from any	11125
employer who is subject to this chapter by reason of such	11126
employer's delinquency in making payments on the accrued	11127
liability, the amount due shall be withheld from the employer from	11128
liquor control permit fees to be distributed to that employer	11129
according to Chapter 4301. of the Revised Code or from the local	11130
governmentcommunities fund allocated for distribution to that	11131
employer by the county budget commission in accordance with	11132
Chapter 5739. of the Revised Code. Upon receipt of the	11133
certification from the board, the superintendent or county auditor	11134
shall provide for payment against such funds in favor of the Ohio	11135
police and fire pension fund for the certified amount due and any	11136
penalty and interest thereon.	11137

Sec. 901.261. The director of agriculture, in conducting	11138
investigations, inquiries, or hearings, may assess the party to an	11139
action that is brought before the department of agriculture	11140
pursuant to Chapter 119. of the Revised Code the actual costs	11141
incurred by the department for depositions, investigations,	11142
issuance and service of subpoenas, witness fees, employment of a	11143
stenographer and hearing officer, and the production of books,	11144
accounts, papers, records, documents, and testimony if the	11145
applicable hearing officer determines that the party to the action	11146
has failed to comply with any chapter of the Revised Code or any	11147
rule adopted under any of those chapters that is administered by	11148
the director or if the hearing officer determines that the action	11149
was frivolous conduct by the party. Assessment of costs under this	11150
section may be appealed to a court of competent jurisdiction.	11151

Sec. 1306.20.  (A) Subject to section 1306.11 of the Revised	11152
Code, each state agency shall determine if, and the extent to	11153
which, it will send and receive electronic records and electronic	11154
signatures to and from other persons and otherwise create,	11155
generate, communicate, store, process, use, and rely upon	11156
electronic records and electronic signatures.	11157

(B)(1) Subject to division (B)(2) of this section, a state	11158
agency may waive a requirement in the Revised Code, other than a	11159
requirement in sections 1306.01 to 1306.15 of the Revised Code,	11160
that relates to any of the following:	11161

(a) The method of posting or displaying records;

11162

(b) The manner of sending, communicating, or transmitting	11163
records;	11164

(c) The manner of formatting records.

11165

(2) A state agency may exercise its authority to waive a	11166
requirement under division (B)(1) of this section only if the	11167
following apply:	11168

(a) The requirement relates to a matter over which the state	11169
agency has jurisdiction;	11170

(b) The waiver is consistent with criteria set forth in rules	11171
adopted by the state agency. The criteria, to the extent	11172
reasonable under the circumstances, shall contain standards to	11173
facilitate the use of electronic commerce by persons under the	11174
jurisdiction of the state agency consistent with rules adopted by	11175
the department of administrative services pursuant to division (A)	11176
of section 1306.21 of the Revised Code.	11177

(C) If a state agency creates, uses, receives, or retains	11178
electronic records, both of the following apply:	11179

(1) Any rules adopted by a state agency relating to	11180
electronic records shall be consistent with rules adopted by the	11181
department of administrative servicesoffice of information	11182
technology pursuant to division (A) of section 1306.21 of the	11183
Revised Code.	11184

(2) Each state agency shall create, use, receive, and retain	11185
electronic records in accordance with section 149.40 of the	11186
Revised Code.	11187

(D) If a state agency creates, uses, or receives electronic	11188
signatures, the state agency shall create, use, or receive the	11189
signatures in accordance with rules adopted by the department of	11190
administrative servicesoffice of information technology pursuant	11191
to division (A) of section 1306.21 of the Revised Code.	11192

(E)(1) To the extent a state agency retains an electronic	11193
record, the state agency may retain a record in a format that is	11194
different from the format in which the record was originally	11195
created, used, sent, or received only if it can be demonstrated	11196
that the alternative format used accurately and completely	11197
reflects the record as it was originally created, used, sent, or	11198
received.	11199

(2) If a state agency in retaining any set of electronic	11200
records pursuant to division (E)(1) of this section alters the	11201
format of the records, the state agency shall create a certificate	11202
of authenticity for each set of records that is altered.	11203

(3) The department of administrative servicesoffice of	11204
information technology, in consultation with the state archivist,	11205
shall adopt rules in accordance with section 111.15 of the Revised	11206
Code that establish the methods for creating certificates of	11207
authenticity pursuant to division (E)(2) of this section.	11208

(F) Whenever any rule of law requires or authorizes the	11209
filing of any information, notice, lien, or other document or	11210
record with any state agency, a filing made by an electronic	11211
record shall have the same force and effect as a filing made on	11212
paper in all cases where the state agency has authorized or agreed	11213
to such electronic filing and the filing is made in accordance	11214
with applicable rules or agreement.	11215

(G) Nothing in sections 1306.01 to 1306.23 of the Revised	11216
Code shall be construed to require any state agency to use or	11217
permit the use of electronic records and electronic signatures.	11218

(H)(1) Notwithstanding division (C)(1) or (D) of this	11219
section, any state agency that, prior to the effective date of	11220
this sectionSeptember 14, 2000, used or permitted the use of	11221
electronic records or electronic signatures pursuant to laws	11222
enacted, rules adopted, or agency policies adopted before the	11223
effective date of this sectionSeptember 14, 2000, may use or	11224
permit the use of electronic records or electronic signatures	11225
pursuant to those previously enacted laws, adopted rules, or	11226
adopted policies for a period of two years after the effective	11227
date of this sectionSeptember 14, 2000.	11228

(2) Subject to division (H)(3) of this section, after the	11229
two-year period described in division (H)(1) of this section has	11230
concluded, all state agencies that use or permit the use of	11231
electronic records or electronic signatures before the effective	11232
date of this sectionSeptember 14, 2000, shall only use or permit	11233
the use of electronic records or electronic signatures consistent	11234
with rules adopted by the department of administrative services	11235
office of information technology pursuant to division (A) of	11236
section 1306.21 of the Revised Code.	11237

(3) After the two-year period described in division (H)(1) of	11238
this section has concluded, the department of administrative	11239
servicesoffice of information technology may permit a state	11240
agency to use electronic records or electronic signatures that do	11241
not comply with division (H)(2) of this section, if the state	11242
agency files a written request with the departmentoffice of	11243
information technology.	11244

(I) For the purposes of this section, "state agency" means	11245
every organized body, office, or agency established by the laws of	11246
the state for the exercise of any function of state government,	11247
but does not include the general assembly, any legislative agency,	11248
the supreme court, the other courts of record in this state, or	11249
any judicial agency.	11250

Sec. 1306.21.  (A) With regard to state agency use of	11251
electronic records or electronic signatures, the department of	11252
administrative servicesoffice of information technology, in	11253
consultation with the state archivist, shall adopt rules in	11254
accordance with section 111.15 of the Revised Code setting forth	11255
all of the following:	11256

(1) The minimum requirements for the method of creation,	11257
maintenance, and security of electronic records and electronic	11258
signatures;	11259

(2) If electronic records must be signed by electronic means,	11260
all of the following:	11261

(a) The type of electronic signature required;

11262

(b) The manner and format in which the electronic signature	11263
must be affixed to the electronic record;	11264

(c) The identity of, or criteria that must be met by, any	11265
third party used by the person filing a document to facilitate the	11266
process.	11267

(3) Control processes and procedures as appropriate to ensure	11268
adequate preservation, disposition, integrity, security,	11269
confidentiality, and auditability of electronic records;	11270

(4) Any other required attributes for electronic records that	11271
are specified for corresponding nonelectronic records or are	11272
reasonably necessary under the circumstances.	11273

(B)(1) The department of administrative servicesoffice of	11274
information technology may adopt rules in accordance with section	11275
111.15 of the Revised Code to ensure consistency and	11276
interoperability among state agencies with regard to electronic	11277
transactions, electronic signatures, and security procedures.	11278

(2) If the department of administrative servicesoffice of	11279
information technology adopts rules pursuant to division (B)(1) of	11280
this section, the department shall consider consistency in	11281
applications and interoperability with governmental agencies of	11282
this state, agencies of other states, the federal government, and	11283
nongovernmental persons to the extent practicable when adopting	11284
rules pursuant to that division.	11285

(C) With regard to electronic transactions, electronic	11286
signatures, and security procedures, the department of	11287
administrative servicesoffice of information technology may	11288
publish recommendations for governmental agencies and	11289
nongovernmental persons to promote consistency and	11290
interoperability among nongovernmental persons, agencies of this	11291
state and other states, and the federal government.	11292

(D) For purposes of this section, "state agency" has the same	11293
meaning as in section 1306.20 of the Revised Code.	11294

Sec. 1347.06.  The director of administrative servicesoffice	11295
of information technology shall adopt, amend, and rescind rules	11296
pursuant to Chapter 119. of the Revised Code for the purposes of	11297
administering and enforcing the provisions of this chapter that	11298
pertain to state agencies.	11299

A state or local agency that, or an officer or employee of a	11300
state or local agency who, complies in good faith with a rule	11301
applicable to the agency is not subject to criminal prosecution or	11302
civil liability under this chapter.	11303

Sec. 1503.05.  (A) The chief of the division of forestry may	11304
sell timber and other forest products from the state forest and	11305
state forest nurseries whenever the chief considers such a sale	11306
desirable and, with the approval of the attorney general and the	11307
director of natural resources, may sell portions of the state	11308
forest lands when such a sale is advantageous to the state.	11309

(B) Except as otherwise provided in this section, a timber	11310
sale agreement shall not be executed unless the person or	11311
governmental entity bidding on the sale executes and files a	11312
surety bond conditioned on completion of the timber sale in	11313
accordance with the terms of the agreement in an amount equal to	11314
twenty-five per cent of the highest value cutting section. All	11315
bonds shall be given in a form prescribed by the chief and shall	11316
run to the state as obligee.	11317

The chief shall not approve any bond until it is personally	11318
signed and acknowledged by both principal and surety, or as to	11319
either by the attorney in fact thereof, with a certified copy of	11320
the power of attorney attached. The chief shall not approve the	11321
bond unless there is attached a certificate of the superintendent	11322
of insurance that the company is authorized to transact a fidelity	11323
and surety business in this state.	11324

In lieu of a bond, the bidder may deposit any of the	11325
following:	11326

(1) Cash in an amount equal to the amount of the bond;

11327

(2) United States government securities having a par value	11328
equal to or greater than the amount of the bond;	11329

(3) Negotiable certificates of deposit or irrevocable letters	11330
of credit issued by any bank organized or transacting business in	11331
this state having a par value equal to or greater than the amount	11332
of the bond.	11333

The cash or securities shall be deposited on the same terms	11334
as bonds. If one or more certificates of deposit are deposited in	11335
lieu of a bond, the chief shall require the bank that issued any	11336
of the certificates to pledge securities of the aggregate market	11337
value equal to the amount of the certificate or certificates that	11338
is in excess of the amount insured by the federal deposit	11339
insurance corporation. The securities to be pledged shall be those	11340
designated as eligible under section 135.18 of the Revised Code.	11341
The securities shall be security for the repayment of the	11342
certificate or certificates of deposit.	11343

Immediately upon a deposit of cash, securities, certificates	11344
of deposit, or letters of credit, the chief shall deliver them to	11345
the treasurer of state, who shall hold them in trust for the	11346
purposes for which they have been deposited. The treasurer of	11347
state is responsible for the safekeeping of the deposits. A bidder	11348
making a deposit of cash, securities, certificates of deposit, or	11349
letters of credit may withdraw and receive from the treasurer of	11350
state, on the written order of the chief, all or any portion of	11351
the cash, securities, certificates of deposit, or letters of	11352
credit upon depositing with the treasurer of state cash, other	11353
United States government securities, or other negotiable	11354
certificates of deposit or irrevocable letters of credit issued by	11355
any bank organized or transacting business in this state, equal in	11356
par value to the par value of the cash, securities, certificates	11357
of deposit, or letters of credit withdrawn.	11358

A bidder may demand and receive from the treasurer of state	11359
all interest or other income from any such securities or	11360
certificates as it becomes due. If securities so deposited with	11361
and in the possession of the treasurer of state mature or are	11362
called for payment by their issuer, the treasurer of state, at the	11363
request of the bidder who deposited them, shall convert the	11364
proceeds of the redemption or payment of the securities into other	11365
United States government securities, negotiable certificates of	11366
deposit, or cash as the bidder designates.	11367

When the chief finds that a person or governmental agency has	11368
failed to comply with the conditions of the person's or	11369
governmental agency's bond, the chief shall make a finding of that	11370
fact and declare the bond, cash, securities, certificates, or	11371
letters of credit forfeited. The chief thereupon shall certify the	11372
total forfeiture to the attorney general, who shall proceed to	11373
collect the amount of the bond, cash, securities, certificates, or	11374
letters of credit.	11375

In lieu of total forfeiture, the surety, at its option, may	11376
cause the timber sale to be completed or pay to the treasurer of	11377
state the cost thereof.	11378

All moneys collected as a result of forfeitures of bonds,	11379
cash, securities, certificates, and letters of credit under this	11380
section shall be credited to the state forest fund created in this	11381
section.	11382

(C) The chief may grant easements and leases on portions of	11383
the state forest lands and state forest nurseries under terms that	11384
are advantageous to the state, and the chief may grant mineral	11385
rights on a royalty basis on those lands and nurseries, with the	11386
approval of the attorney general and the director.	11387

(D) All moneys received from the sale of state forest lands,	11388
or in payment for easements or leases on or as rents from those	11389
lands or from state forest nurseries, shall be paid into the state	11390
treasury to the credit of the state forest fund, which is hereby	11391
created. In addition, all moneys received from federal grants,	11392
payments, and reimbursements, from the sale of reforestation tree	11393
stock, from the sale of forest products, other than standing	11394
timber, and from the sale of minerals taken from the state forest	11395
lands and state forest nurseries, together with royalties from	11396
mineral rights, shall be paid into the state treasury to the	11397
credit of the state forest fund. Any other revenues derived from	11398
the operation of the state forests and related facilities or	11399
equipment also shall be paid into the state treasury to the credit	11400
of the state forest fund, as shall contributions received for the	11401
issuance of Smokey Bear license plates under section 4503.574 of	11402
the Revised Code and any other moneys required by law to be	11403
deposited in the fund.	11404

The state forest fund shall not be expended for any purpose	11405
other than the administration, operation, maintenance,	11406
development, or utilization of the state forests, forest	11407
nurseries, and forest programs, for facilities or equipment	11408
incident to them, or for the further purchase of lands for state	11409
forest or forest nursery purposes and, in the case of	11410
contributions received pursuant to section 4503.574 of the Revised	11411
Code, for fire prevention purposes.	11412

All moneys received from the sale of standing timber taken	11413
from state forest lands and state forest nurseries shall be	11414
deposited into the state treasury to the credit of the forestry	11415
holding account redistribution fund, which is hereby created. The	11416
moneys shall remain in the fund until they are redistributed in	11417
accordance with this division.	11418

The redistribution shall occur at least once each year. To	11419
begin the redistribution, the chief first shall determine the	11420
amount of all standing timber sold from state forest lands and	11421
state forest nurseries, together with the amount of the total sale	11422
proceeds, in each county, in each township within the county, and	11423
in each school district within the county. The chief next shall	11424
determine the amount of the direct costs that the division of	11425
forestry incurred in association with the sale of that standing	11426
timber. The amount of the direct costs shall be subtracted from	11427
the amount of the total sale proceeds and shall be transferred	11428
from the forestry holding account redistribution fund to the state	11429
forest fund.	11430

The remaining amount of the total sale proceeds equals the	11431
net value of the standing timber that was sold. The chief shall	11432
determine the net value of standing timber sold from state forest	11433
lands and state forest nurseries in each county, in each township	11434
within the county, and in each school district within the county	11435
and shall send to each county treasurer a copy of the	11436
determination at the time that moneys are paid to the county	11437
treasurer under this division.	11438

Twenty-five per cent of the net value of standing timber sold	11439
from state forest lands and state forest nurseries located in a	11440
county shall be transferred from the forestry holding account	11441
redistribution fund to the state forest fund. Ten per cent of that	11442
net value shall be transferred from the forestry holding account	11443
redistribution fund to the general revenue fund. The remaining	11444
sixty-five per cent of the net value shall be transferred from the	11445
forestry holding account redistribution fund and paid to the	11446
county treasurer for the use of the general fund of that county.	11447

The county auditor shall do all of the following:

11448

(1) Retain for the use of the general fund of the county	11449
one-fourth of the amount received by the county under division (D)	11450
of this section;	11451

(2) Pay into the general fund of any township located within	11452
the county and containing such lands and nurseries one-fourth of	11453
the amount received by the county from standing timber sold from	11454
lands and nurseries located in the township;	11455

(3) Request the board of education of any school district	11456
located within the county and containing such lands and nurseries	11457
to identify which fund or funds of the district should receive the	11458
moneys available to the school district under division (D)(3) of	11459
this section. After receiving notice from the board, the county	11460
auditor shall pay into the fund or funds so identified one-half of	11461
the amount received by the county from standing timber sold from	11462
lands and nurseries located in the school district, distributed	11463
proportionately as identified by the board.	11464

The division of forestry shall not supply logs, lumber, or	11465
other forest products or minerals, taken from the state forest	11466
lands or state forest nurseries, to any other agency or	11467
subdivision of the state unless payment is made therefor in the	11468
amount of the actual prevailing value thereof. This section is	11469
applicable to the moneys so received.	11470

Sec. 1504.02.  (A) The division of real estate and land	11471
management shall do all of the following:	11472

(1) Except as otherwise provided in the Revised Code,	11473
coordinate and conduct all real estate functions for the	11474
department of natural resources, including at least acquisitions	11475
by purchase, lease, gift, devise, bequest, appropriation, or	11476
otherwise; grants through sales, leases, exchanges, easements, and	11477
licenses; inventories of land; and other related general	11478
management duties;	11479

(2) Assist the department and its divisions by providing	11480
department-wide planning, including at least master planning,	11481
comprehensive planning, capital improvements planning, and special	11482
purpose planning such as trails coordination and planning under	11483
section 1519.03 of the Revised Code;	11484

(3) On behalf of the director of natural resources,	11485
administer the coastal management program established under	11486
sections 1506.01 to 1506.03 and 1506.05 to 1506.09 of the Revised	11487
Code and consult with and provide coordination among state	11488
agencies, political subdivisions, the United States and agencies	11489
of it, and interstate, regional, and areawide agencies to assist	11490
the director in executing the director's duties and	11491
responsibilities under that program and to assist the department	11492
as the lead agency for the development and implementation of the	11493
program;	11494

(4) On behalf of the director, administer sections 1506.10	11495
and 1506.11 and sections 1506.31 to 1506.36 of the Revised Code;	11496

(5) Cooperate with the United States and agencies of it and	11497
with political subdivisions in administering federal recreation	11498
moneys under the "Land and Water Conservation Fund Act of 1965,"	11499
78 Stat. 897, 16 U.S.C.A. 4601-8, as amended; prepare and	11500
distribute the statewide comprehensive outdoor recreation plan;	11501
and administer the state recreational vehicle fund created in	11502
section 4519.11 of the Revised Code;	11503

(6)(4)(a) Support the geographic information system needs for	11504
the department as requested by the director, which shall include,	11505
but not be limited to, all of the following:	11506

(i) Assisting in the training and education of department	11507
resource managers, administrators, and other staff in the	11508
application and use of geographic information system technology;	11509

(ii) Providing technical support to the department in the	11510
design, preparation of data, and use of appropriate geographic	11511
information system applications in order to help solve resource	11512
related problems and to improve the effectiveness and efficiency	11513
of department delivered services;	11514

(iii) Creating, maintaining, and documenting spatial digital	11515
data bases for the division and for other divisions as assigned by	11516
the director.	11517

(b) Provide information to and otherwise assist government	11518
officials, planners, and resource managers in understanding land	11519
use planning and resource management;	11520

(c) Provide continuing assistance to local government	11521
officials and others in natural resource digital data base	11522
development and in applying and utilizing the geographic	11523
information system for land use planning, current agricultural use	11524
value assessment, development reviews, coastal management, and	11525
other resource management activities;	11526

(d) Coordinate and administer the remote sensing needs of the	11527
department, including the collection and analysis of aerial	11528
photography, satellite data, and other data pertaining to land,	11529
water, and other resources of the state;	11530

(e) Prepare and publish maps and digital data relating to the	11531
state's land use and land cover over time on a local, regional,	11532
and statewide basis;	11533

(f) Locate and distribute hard copy maps, digital data,	11534
aerial photography, and other resource data and information to	11535
government agencies and the public.	11536

(7)(5) Prepare special studies and execute any other duties,	11537
functions, and responsibilities requested by the director.	11538

(B) The division may do any of the following:

11539

(1) Coordinate such environmental matters concerning the	11540
department and the state as are necessary to comply with the	11541
"National Environmental Policy Act of 1969," 83 Stat. 852, 42	11542
U.S.C.A. 4321, as amended, the "Intergovernmental Cooperation Act	11543
of 1968," 82 Stat. 1098, 31 U.S.C.A. 6506, and the "Federal Water	11544
Pollution Control Act," 91 Stat. 1566 (1977), 33 U.S.C.A. 1251, as	11545
amended, and regulations adopted under those acts;	11546

(2) With the approval of the director, coordinate and	11547
administer compensatory mitigation grant programs and other	11548
programs for streams and wetlands as approved in accordance with	11549
certifications and permits issued under sections 401 and 404 of	11550
the "Federal Water Pollution Control Act", 91 Stat. 1566(1977), 33	11551
U.S.C.A. 1251, as amended, by the environmental protection agency	11552
and the United States army corps of engineers;	11553

(3) Administer any state or federally funded grant program	11554
that is related to natural resources and recreation as considered	11555
necessary by the director.	11556

Sec. 1505.07. (A) Subject to the limitationlimitations set	11557
forth in division (B) of this section and in section 1505.08 of	11558
the Revised Code, the director of natural resources, with the	11559
approval of the director of environmental protection, the attorney	11560
general, and the governor, may issue permits and make leases to	11561
parties making application for permission to take and remove sand,	11562
gravel, stone, and other minerals or substances from and under the	11563
bed of Lake Erie, either upon a royalty or rental basis, as hethe	11564
director of natural resources determines to be best for the state.	11565
Permits shall be issued for terms of not less than one year nor	11566
more than ten years, and leases shall be for a term of years or	11567
until the economic extraction of the mineral or other substance	11568
covered thereby has been completed. Such taking and removal shall	11569
be within certain fixed boundaries that do not conflict with the	11570
rights of littoral owners. Upon request from the holder of a	11571
permit, it shall be canceled, but in the case of any permit or	11572
lease, any equipment or buildings owned by the permittee or lessee	11573
shall be held as security by the director of natural resources for	11574
payment of all rentals or royalties due the state at the time of	11575
cancellation.	11576

(B) The director of natural resources shall not issue any	11577
permit or make any lease under division (A) of this section to	11578
take or remove oil or natural gas from and under the bed of Lake	11579
Erie.	11580

(C) No person shall remove sand, gravel, stone, or other	11581
minerals or substances from and under the bed of Lake Erie without	11582
first obtaining a permit or lease therefor from the director.	11583

(D) The director of natural resources may, in accordance with	11584
Chapter 119. of the Revised Code, adopt, amend, and rescind rules	11585
for the administration, implementation, and enforcement of this	11586
section.	11587

Sec. 1506.01.  As used in this chapter:

11588

(A) "Coastal area" means the waters of Lake Erie, the islands	11589
in the lake, and the lands under and adjacent to the lake,	11590
including transitional areas, wetlands, and beaches. The coastal	11591
area extends in Lake Erie to the international boundary line	11592
between the United States and Canada and landward only to the	11593
extent necessary to include shorelands, the uses of which have a	11594
direct and significant impact on coastal waters as determined by	11595
the director of natural resources.	11596

(B) "Coastal management program" means the comprehensive	11597
action of the state and its political subdivisions cooperatively	11598
to preserve, protect, develop, restore, or enhance the resources	11599
of the coastal area and to ensure wise use of the land and water	11600
resources of the coastal area, giving attention to natural,	11601
cultural, historic, and aesthetic values; agricultural,	11602
recreational, energy, and economic needs; and the national	11603
interest. "Coastal management program" includes the establishment	11604
of objectives, policies, standards, and criteria concerning,	11605
without limitation, protection of air, water, wildlife, rare and	11606
endangered species, wetlands and natural areas, and other natural	11607
resources in the coastal area; management of coastal development	11608
and redevelopment; preservation and restoration of historic,	11609
cultural, and aesthetic coastal features; and public access to the	11610
coastal area for recreation purposes.	11611

(C) "Coastal management program document" means a	11612
comprehensive statement consisting of, without limitation, text,	11613
maps, and illustrations that is adopted by the director in	11614
accordance with this chapter, describes the objectives, policies,	11615
standards, and criteria of the coastal management program for	11616
guiding public and private uses of lands and waters in the coastal	11617
area, lists the governmental agencies, including, without	11618
limitation, state agencies, involved in implementing the coastal	11619
management program, describes their applicable policies and	11620
programs, and cites the statutes and rules under which they may	11621
adopt and implement those policies and programs.	11622

(D) "Person" means any agency of this state, any political	11623
subdivision of this state or of the United States, and any legal	11624
entity defined as a person under section 1.59 of the Revised Code.	11625

(E) "Director" means the director of natural resources or the	11626
director's designee.	11627

(F) "Permanent structure" means any residential, commercial,	11628
industrial, institutional, or agricultural building, any mobile	11629
home as defined in division (O) of section 4501.01 of the Revised	11630
Code, any manufactured home as defined in division (C)(4) of	11631
section 3781.06 of the Revised Code, and any septic system that	11632
receives sewage from a single-family, two-family, or three-family	11633
dwelling, but does not include any recreational vehicle as defined	11634
in section 4501.01 of the Revised Code.	11635

(G) "State agency" or "agency of the state" has the same	11636
meaning as "agency" as defined in section 111.15 of the Revised	11637
Code.	11638

(H) "Coastal flood hazard area" means any territory within	11639
the coastal area that has been identified as a flood hazard area	11640
under the "Flood Disaster Protection Act of 1973," 87 Stat. 975,	11641
42 U.S.C.A. 4002, as amended.	11642

(I) "Coastal erosion area" means any territory included in	11643
Lake Erie coastal erosion areas identified by the director under	11644
section 1506.06 of the Revised Code.	11645

(J) "Conservancy district" means a conservancy district that	11646
is established under Chapter 6101. of the Revised Code.	11647

(K) "Park board" means the board of park commissioners of a	11648
park district that is created under Chapter 1545. of the Revised	11649
Code.	11650

(L) "Erosion control structure" means a structure that is	11651
designed solely and specifically to reduce or control erosion of	11652
the shore along or near Lake Erie, including, without limitation,	11653
revetments, seawalls, bulkheads, certain breakwaters, and similar	11654
structures.	11655

(M) "Shore structure" includes, but is not limited to,	11656
beaches; groins; revetments; bulkheads; seawalls; breakwaters;	11657
certain dikes designated by the chief of the division of water;	11658
piers; docks; jetties; wharves; marinas; boat ramps; any	11659
associated fill or debris used as part of the construction of	11660
shore structures that may affect shore erosion, wave action, or	11661
inundation; and fill or debris that is placed along or near the	11662
shore, including bluffs, banks, or beach ridges, for the purpose	11663
of stabilizing slopes.	11664

Sec. 1521.20.        Sec. 1506.38.  The chiefdirector of the division of	11665
waternatural resources shall act as the erosion agent of the	11666
state for the purpose of cooperating with the secretary of the	11667
army, acting through the chief of engineers of the United States	11668
army corps of engineers in the department of defense. The chief	11669
director shall cooperate with the secretary in carrying out, and	11670
may conduct, investigations and studies of conditions along the	11671
shorelines of Lake Erie and of the bays and projections therefrom,	11672
and of the islands therein, within the territorial waters of the	11673
state, with a view to devising and perfecting economical and	11674
effective methods and works for preventing, correcting, and	11675
controlling shore erosion and damage therefrom and controlling the	11676
inundation of improved property by the waters of Lake Erie, its	11677
bays, and associated inlets.	11678

Sec. 1521.21.        Sec. 1506.39.  The chiefdirector of the division of	11679
waternatural resources, in the discharge of the chief's	11680
director's duties under sections 1507.201506.38 to 1507.30	11681
1506.48 of the Revised Code, may call to the chief'sdirector's	11682
assistance, temporarily, any engineers or other employees in any	11683
state department, or in the Ohio state university or other	11684
educational institutions financed wholly or in part by the state,	11685
for the purpose of devising the most effective and economical	11686
methods of controlling shore erosion and damage from it and	11687
controlling the inundation of improved property by the waters of	11688
Lake Erie and its bays and associated inlets.	11689

Such engineers and employees shall not receive any additional	11690
compensation over that which they receive from the departments or	11691
institutions by which they are employed, but they shall be	11692
reimbursed for their actual necessary expenses incurred while	11693
working under the direction of the chiefdirector on erosion and	11694
inundation projects.	11695

Sec. 1521.22.        Sec. 1506.40. No person shall construct a beach,	11696
groin, or other structure to control erosion, wave action, or	11697
inundation along or near the Ohio shoreline of Lake Erie,	11698
including related islands, bays, and inlets, without first	11699
obtaining a shore structure permit from the chief of the division	11700
director of water. Thenatural resources.	11701

The application for a shore structure permit shall include	11702
detailed plans and specifications prepared by a professional	11703
engineer registered under Chapter 4733. of the Revised Code. An	11704
applicant shall provide appropriate evidence of compliance with	11705
any applicable provisions of this chapter and Chapters 1505. and	11706
1506.1521. of the Revised Code, as determined by the chief	11707
director. A temporary shore structure permit may be issued by the	11708
chief or an authorized representative of the chiefdirector if it	11709
is determined necessary to safeguard life, health, or property.	11710

Each application or reapplication for a permit under this	11711
section shall be accompanied by a non-refundable fee as the chief	11712
director shall prescribe by rule.	11713

If the application is approved, the chiefdirector shall	11714
issue a permit to the applicant authorizing construction of the	11715
project. If requested in writing by the applicant within thirty	11716
days of issuance of a notice of disapproval of the application,	11717
the chiefdirector shall conduct an adjudication hearing under	11718
Chapter 119. of the Revised Code, except sections 119.12 and	11719
119.121 of the Revised Code. After reviewing the record of the	11720
hearing, the chiefdirector shall issue a final order approving	11721
the application, disapproving it, or approving it conditioned on	11722
the making of specified revisions in the plans and specifications.	11723

The chiefdirector, by rule, shall limit the period during	11724
which a construction permit issued under this section is valid and	11725
shall establish reapplication requirements governing a	11726
construction permit that expires before construction is completed.	11727

In accordance with Chapter 119. of the Revised Code, the	11728
chiefdirector shall adopt, and may amend or rescind, such rules	11729
as are necessary for the administration, implementation, and	11730
enforcement of this section.	11731

Sec. 1521.23.        Sec. 1506.41.  All moneys derived from the granting	11732
of permits and leases under section 1505.07 of the Revised Code	11733
for the removal of sand, gravel, stone, gas, oil, and other	11734
minerals and substances from and under the bed of Lake Erie and	11735
from applications for shore structure permits submitted under	11736
section 1521.221506.40 of the Revised Code shall be paid into the	11737
state treasury to the credit of the permit and lease fund, which	11738
is hereby created. Notwithstanding any section of the Revised Code	11739
relating to the distribution or crediting of fines for violations	11740
of the Revised Code, all fines imposed under division (A) of	11741
section 1505.99 of the Revised Code and under division (C) of	11742
section 1521.991506.99 of the Revised Code shall be paid into	11743
that fund. The fund shall be administered by the department of	11744
natural resources for the protection of Lake Erie shores and	11745
waters; investigation and control of erosion; the planning,	11746
development, and construction of facilities for recreational use	11747
of Lake Erie; implementation of section 1521.221506.40 of the	11748
Revised Code; preparation of the state shore erosion plan under	11749
section 1521.291506.47 of the Revised Code; and state	11750
administration of Lake Erie coastal erosion areas under sections	11751
1506.06 and 1506.07 of the Revised Code.	11752

Sec. 1521.24.        Sec. 1506.42.  The state, acting through the chief	11753
director of the division of waternatural resources, subject to	11754
section 1521.281506.46 of the Revised Code, may enter into	11755
agreements with counties, townships, municipal corporations, park	11756
boards, and conservancy districts, other political subdivisions,	11757
or any state departments or divisions for the purpose of	11758
constructing and maintaining projects to control erosion along the	11759
Ohio shoreline of Lake Erie and in any rivers and bays that are	11760
connected with Lake Erie and any other watercourses that flow into	11761
Lake Erie. Such projects also may be constructed on any Lake Erie	11762
island that is situated within the boundaries of the state.	11763

The cost of such shore erosion projects that are for the	11764
benefit of public littoral property shall be prorated on the basis	11765
of two-thirds of the total cost to the state through	11766
appropriations made to the divisiondepartment of waternatural	11767
resources and one-third of the cost to the counties, townships,	11768
municipal corporations, park boards, conservancy districts, or	11769
other political subdivisions.	11770

If a shore erosion emergency is declared by the governor, the	11771
state, acting through the chiefdirector, may spend whatever state	11772
funds are available to alleviate shore erosion, without	11773
participation by any political subdivision, regardless of whether	11774
the project will benefit public or private littoral property.	11775

A board of county commissioners, acting for the county over	11776
which it has jurisdiction, may enter into and carry out agreements	11777
with the chiefdirector for the construction and maintenance of	11778
projects to control shore erosion. In providing the funds for the	11779
county's proportionate share of the cost of constructing and	11780
maintaining the projects referred to in this section, the board	11781
shall be governed by and may issue and refund bonds in accordance	11782
with Chapter 133. of the Revised Code.	11783

A municipal corporation or a township, acting through the	11784
legislative authority or the board of township trustees, may enter	11785
into and carry out agreements with the chiefdirector for the	11786
purpose of constructing and maintaining projects to control shore	11787
erosion. In providing the funds for the municipal corporation's or	11788
township's proportionate share of the cost of constructing and	11789
maintaining the projects referred to in this section, a municipal	11790
corporation or township may issue and refund bonds in accordance	11791
with Chapter 133. of the Revised Code. The contract shall be	11792
executed on behalf of the municipal corporation or township by the	11793
mayor, city manager, or other chief executive officer who has the	11794
authority to act for the municipal corporation or township.	11795

Conservancy districts may enter into and carry out agreements	11796
with the chiefdirector, in accordance with the intent of this	11797
section, under the powers conferred upon conservancy districts	11798
under Chapter 6101. of the Revised Code.	11799

Park boards may enter into and carry out agreements with the	11800
chiefdirector, in accordance with the intent of this section, and	11801
issue bonds for that purpose under the powers conferred upon park	11802
districts under Chapter 1545. of the Revised Code.	11803

The chiefdirector shall approve and supervise all projects	11804
that are to be constructed in accordance with this section. The	11805
chiefdirector shall not proceed with the construction of any	11806
project until all funds that are to be paid by the county,	11807
township, municipal corporation, park board, or conservancy	11808
district, in accordance with the terms of the agreement entered	11809
into between the chiefdirector and the county, township,	11810
municipal corporation, park board, or conservancy district, are in	11811
the chief'sdirector's possession and deposited in the shore	11812
erosion fund, which is hereby created in the state treasury. If	11813
the chiefdirector finds it to be in the best interests of the	11814
state to construct projects as set forth in this section by the	11815
state itself, without the financial contribution of counties,	11816
townships, municipal corporations, park boards, or conservancy	11817
districts, the chiefdirector may construct the projects.	11818

In deciding whether to assist a county or municipal	11819
corporation in constructing and maintaining a project under this	11820
section, the state, acting through the chiefdirector, shall	11821
consider, among other factors, whether the county or municipal	11822
corporation has adopted or is in the process of adopting a Lake	11823
Erie coastal erosion area resolution or ordinance under division	11824
(D) of section 1506.07 of the Revised Code.	11825

All projects constructed by the state in conformity with	11826
sections 1521.201506.38 to 1521.281506.46 of the Revised Code	11827
shall be constructed subject to sections 153.01 to 153.20 of the	11828
Revised Code, except that the state architect and engineer is not	11829
required to prepare the plans and specifications for those	11830
projects.	11831

Sec. 1521.25.        Sec. 1506.43.  The chiefdirector of the division of	11832
waternatural resources may enter into a contract with any county,	11833
township, municipal corporation, conservancy district, or park	11834
board that has an agreement with the state in accordance with	11835
section 1521.241506.42 of the Revised Code for the construction	11836
of a shore erosion project. No contract shall be let until all	11837
money that is to be paid by the political subdivision entering	11838
into the agreement has been deposited in the shore erosion fund	11839
created in that section 1521.24 of the Revised Code, and no	11840
contract shall be valid until approved by the director of natural	11841
resources.	11842

Sec. 1521.26.        Sec. 1506.44.  (A) A board of county commissioners	11843
may use a loan obtained under division (C) of this section to	11844
provide financial assistance to any person who owns real property	11845
in a coastal erosion area, as defined in section 1506.01 of the	11846
Revised Code, and who has received a permit under section 1521.22	11847
1506.40 of the Revised Code to construct an erosion control	11848
structure in that coastal erosion area. The board shall enter into	11849
an agreement with the person that complies with all of the	11850
following requirements:	11851

(1) The agreement shall identify the person's real property	11852
for which the erosion control structure is being constructed and	11853
shall include a legal description of that property and a reference	11854
to the volume and page of the deed record in which the title of	11855
that person to that property is recorded.	11856

(2) In accordance with rules adopted by the Ohio water	11857
development authority under division (V) of section 6121.04 of the	11858
Revised Code for the purposes of division (C) of this section and	11859
pursuant to an agreement between the board and the authority under	11860
that division, the board shall agree to cause payments to be made	11861
by the authority to the contractor hired by the person to	11862
construct an erosion control structure in amounts not to exceed	11863
the total amount specified in the agreement between the board and	11864
the person.	11865

(3) The person shall agree to pay to the board, or to the	11866
authority as the assignee pursuant to division (C) of this	11867
section, the total amount of the payments plus administrative or	11868
other costs of the board or the authority at times, in	11869
installments, and bearing interest as specified in the agreement.	11870

The agreement may contain additional provisions that the	11871
board determines necessary to safeguard the interests of the	11872
county or to comply with an agreement entered into under division	11873
(C) of this section.	11874

(B) Upon entering into an agreement under division (A) of	11875
this section, the board shall do all of the following:	11876

(1) Cause the agreement to be recorded in the county deed	11877
records in the office of the county recorder of the county in	11878
which the real property is situated. Failure to record the	11879
agreement does not affect the validity of the agreement or the	11880
collection of any amounts due under the agreement.	11881

(2) Establish by resolution an erosion control repayment fund	11882
into which shall be deposited all amounts collected under division	11883
(B)(3) of this section. Moneys in that fund shall be used by the	11884
board for the repayment of the loan and for administrative or	11885
other costs of the board or the authority as specified in an	11886
agreement entered into under division (C) of this section. If the	11887
amount of money in the fund is inadequate to repay the loan when	11888
due, the board of county commissioners, by resolution, may advance	11889
money from any other fund in order to repay the loan if that use	11890
of the money from the other fund is not in conflict with law. If	11891
the board so advances money in order to repay the loan, the board	11892
subsequently shall reimburse each fund from which the board	11893
advances money with moneys from the erosion control repayment	11894
fund.	11895

(3) Bill and collect all amounts when due under the agreement	11896
entered into under division (A) of this section. The board shall	11897
certify amounts not paid when due to the county auditor, who shall	11898
enter the amounts on the real property tax list and duplicate	11899
against the property identified under division (A)(1) of this	11900
section. The amounts not paid when due shall be a lien on that	11901
property from the date on which the amounts are placed on the tax	11902
list and duplicate and shall be collected in the same manner as	11903
other taxes.	11904

(C) A board may apply to the authority for a loan for the	11905
purpose of entering into agreements under division (A) of this	11906
section. The loan shall be for an amount and on the terms	11907
established in an agreement between the board and the authority.	11908
The board may assign any agreements entered into under division	11909
(A) of this section to the authority in order to provide for the	11910
repayment of the loan and may pledge any lawfully available	11911
revenues to the repayment of the loan, provided that no moneys	11912
raised by taxation shall be obligated or pledged by the board for	11913
the repayment of the loan. Any agreement with the authority	11914
pursuant to this division is not subject to Chapter 133. of the	11915
Revised Code or any requirements or limitations established in	11916
that chapter.	11917

(D) The authority, as assignee of any agreement pursuant to	11918
division (C) of this section, may enforce and compel the board and	11919
the county auditor by mandamus pursuant to Chapter 2731. of the	11920
Revised Code to comply with division (B) of this section in a	11921
timely manner.	11922

(E) The construction of an erosion control structure by a	11923
contractor hired by an individual homeowner, group of individual	11924
homeowners, or homeowners association that enters into an	11925
agreement with a board under division (A) of this section is not a	11926
public improvement, as defined in section 4115.03 of the Revised	11927
Code, and is not subject to competitive bidding or public bond	11928
laws.	11929

Sec. 1521.27.        Sec. 1506.45.  The state, or any county, township,	11930
municipal corporation, conservancy district, or park board that	11931
has entered into a contract under section 1521.251506.43 of the	11932
Revised Code, may acquire lands by gift or devise, purchase, or	11933
appropriation. In case of appropriation, the proceedings shall be	11934
instituted in the name of the state or the political subdivision	11935
and shall be conducted in the manner provided for the	11936
appropriation of private property by the state or the political	11937
subdivision insofar as those proceedings are applicable. Either	11938
the fee or any lesser interest may be acquired as the state or the	11939
political subdivision considers advisable.	11940

Sec. 1521.28.        Sec. 1506.46.  Any action taken by the chiefdirector	11941
of the division of waternatural resources under sections 1521.20	11942
1506.38 to 1521.301506.48 of the Revised Code shall not be deemed	11943
in conflict with certain powers and duties conferred upon and	11944
delegated to federal agencies and to municipal corporations under	11945
Section 7 of Article XVIII, Ohio Constitution, or as provided by	11946
sections 721.04 to 721.11 of the Revised Code.	11947

Sec. 1521.29.        Sec. 1506.47.  The chiefdirector of the division of	11948
waternatural resources, in cooperation with appropriate offices	11949
and divisions, including the division of geological survey, may	11950
prepare a plan for the management of shore erosion in the state	11951
along Lake Erie, its bays, and associated inlets, revise the plan	11952
whenever it can be made more effective, and make the plan	11953
available for public inspection. In the preparation of the plan,	11954
the chiefdirector may employ such existing plans as are	11955
available.	11956

The chiefdirector also may establish a program to provide	11957
technical assistance on shore erosion control measures to	11958
municipal corporations, counties, townships, conservancy	11959
districts, park boards, and shoreline property owners.	11960

Sec. 1521.30.        Sec. 1506.48.  Upon application of any owner of real	11961
property damaged or destroyed by shore erosion, the county auditor	11962
of the county in which the real property is situated shall cause a	11963
reappraisal to be made and shall place the property on the tax	11964
list at its true value in money.	11965

Whenever the county auditor finds that ninety per cent or	11966
more of the area of any littoral parcel of land appearing upon the	11967
tax duplicate has been eroded and lies within the natural	11968
boundaries of Lake Erie and that the remainder of the parcel, if	11969
any, has no taxable value, the auditor may certify that finding to	11970
the county board of revision. Upon consideration thereof, the	11971
board may authorize removal of the parcel from the tax duplicate	11972
and cancellation of all current and delinquent taxes, assessments,	11973
interest, and penalties charged against the parcel.	11974

Sec. 1506.99.  (A) Whoever violates division (A) of section	11975
1506.09 of the Revised Code shall be fined not less than one	11976
hundred nor more than five hundred dollars for each offense.	11977

(B) Whoever violates division (K) of section 1506.32 of the	11978
Revised Code is guilty of a misdemeanor of the third degree.	11979

(C) Whoever violates sections 1506.38 to 1506.48 of the	11980
Revised Code shall be fined not less than one hundred dollars nor	11981
more than five hundred dollars for each offense. Each day of	11982
violation constitutes a separate offense.	11983

Sec. 1521.01.  As used in sections 1521.01 to 1521.05,and	11984
1521.13 to 1521.18, and 1521.20 to 1521.30 of the Revised Code:	11985

(A) "Consumptive use," "diversion," "Lake Erie drainage	11986
basin," "other great lakes states and provinces," "water	11987
resources," and "waters of the state" have the same meanings as in	11988
section 1501.30 of the Revised Code.	11989

(B) "Well" means any excavation, regardless of design or	11990
method of construction, created for any of the following purposes:	11991

(1) Removing ground water from or recharging water into an	11992
aquifer, excluding subsurface drainage systems installed to	11993
enhance agricultural crop production or urban or suburban	11994
landscape management or to control seepage in dams, dikes, and	11995
levees;	11996

(2) Determining the quantity, quality, level, or movement of	11997
ground water in or the stratigraphy of an aquifer, excluding	11998
borings for instrumentation in dams, dikes, levees, or highway	11999
embankments;	12000

(3) Removing or exchanging heat from ground water, excluding	12001
horizontal trenches that are installed for water source heat pump	12002
systems.	12003

(C) "Aquifer" means a consolidated or unconsolidated geologic	12004
formation or series of formations that are hydraulically	12005
interconnected and that have the ability to receive, store, or	12006
transmit water.	12007

(D) "Ground water" means all water occurring in an aquifer.

12008

(E) "Ground water stress area" means a definable geographic	12009
area in which ground water quantity is being affected by human	12010
activity or natural forces to the extent that continuous	12011
availability of supply is jeopardized by withdrawals.	12012

(F) "Person" has the same meaning as in section 1.59 of the	12013
Revised Code and also includes the United States, the state, any	12014
political subdivision of the state, and any department, division,	12015
board, commission, agency, or instrumentality of the United	12016
States, the state, or a political subdivision of the state.	12017

(G) "State agency" or "agency of the state" has the same	12018
meaning as "agency" in section 111.15 of the Revised Code.	12019

(H) "Development" means any artificial change to improved or	12020
unimproved real estate, including the construction of buildings	12021
and other structures, any substantial improvement of a structure,	12022
mining, dredging, filling, grading, paving, excavating, and	12023
drilling operations, and storage of equipment or materials.	12024

(I) "Floodplain" means the area adjoining any river, stream,	12025
watercourse, or lake that has been or may be covered by flood	12026
water.	12027

(J) "Floodplain management" means the implementation of an	12028
overall program of corrective and preventive measures for reducing	12029
flood damage, including the collection and dissemination of flood	12030
information, construction of flood control works, nonstructural	12031
flood damage reduction techniques, and adoption of rules,	12032
ordinances, or resolutions governing development in floodplains.	12033

(K) "One-hundred-year flood" means a flood having a one per	12034
cent chance of being equaled or exceeded in any given year.	12035

(L) "One-hundred-year floodplain" means that portion of a	12036
floodplain inundated by a one-hundred-year flood.	12037

(M) "Structure" means a walled and roofed building,	12038
including, without limitation, gas or liquid storage tanks, mobile	12039
homes, and manufactured homes.	12040

(N) "Substantial improvement" means any reconstruction,	12041
rehabilitation, addition, or other improvement of a structure, the	12042
cost of which equals or exceeds fifty per cent of the market value	12043
of the structure before the start of construction of the	12044
improvement. "Substantial improvement" includes repairs to	12045
structures that have incurred substantial damage regardless of the	12046
actual repair work performed. "Substantial improvement" does not	12047
include either of the following:	12048

(1) Any project for the improvement of a structure to correct	12049
existing violations of state or local health, sanitary, or safety	12050
code specifications that have been identified by the state or	12051
local code enforcement official having jurisdiction and that are	12052
the minimum necessary to ensure safe living conditions;	12053

(2) Any alteration of an historic structure designated or	12054
listed pursuant to federal or state law, provided that the	12055
alteration will not preclude the structure's continued listing or	12056
designation as an historic structure.	12057

(O) "Shore structure" includes, but is not limited to:	12058
beaches; groins; revetments; bulkheads; seawalls; breakwaters;	12059
certain dikes designated by the chief of the division of water;	12060
piers; docks; jetties; wharves; marinas; boat ramps; any	12061
associated fill or debris used as part of the construction of	12062
shore structures that may affect shore erosion, wave action, or	12063
inundation; and fill or debris placed along or near the shore,	12064
including bluffs, banks, or beach ridges, for the purpose of	12065
stabilizing slopes.	12066

(P) "Substantial damage" means damage of any origin that is	12067
sustained by a structure if the cost of restoring the structure to	12068
its condition prior to the damage would equal or exceed fifty per	12069
cent of the market value of the structure before the damage	12070
occurred.	12071

(Q)(P) "National flood insurance program" means the national	12072
flood insurance program established in the "National Flood	12073
Insurance Act of 1968," 82 Stat. 572, 42 U.S.C. 4001, as amended,	12074
and regulations adopted under it.	12075

(R)(Q) "Conservancy district" means a conservancy district	12076
established under Chapter 6101. of the Revised Code.	12077

(S) "Park board" means the board of park commissioners of a	12078
park district created under Chapter 1545. of the Revised Code.	12079

(T) "Erosion control structure" means anything that is	12080
designed primarily to reduce or control erosion of the shore along	12081
or near lake erie, including, but not limited to, revetments,	12082
seawalls, bulkheads, certain breakwaters designated by the chief,	12083
and similar structures. "Erosion control structure" does not	12084
include wharves, piers, docks, marinas, boat ramps, and other	12085
similar structures.	12086

Sec. 1521.99.  (A) Whoever violates division (E)(1) of	12087
section 1521.05 or division (E)(1) of section 1521.16 of the	12088
Revised Code is guilty of a misdemeanor of the fourth degree.	12089

(B) Whoever violates section 1521.06 or 1521.062 of the	12090
Revised Code shall be fined not less than one hundred dollars nor	12091
more than one thousand dollars for each offense. Each day of	12092
violation constitutes a separate offense.	12093

(C) Whoever violates sections 1521.20 to 1521.30 of the	12094
Revised Code shall be fined not less than one hundred dollars nor	12095
more than one thousand dollars for each offense. Each day of	12096
violation constitutes a separate offense.	12097

Sec. 1531.06.  (A) The chief of the division of wildlife,	12098
with the approval of the director of natural resources, may	12099
acquire by gift, lease, purchase, or otherwise lands or surface	12100
rights upon lands and waters or surface rights upon waters for	12101
wild animals, fish or game management, preservation, propagation,	12102
and protection, outdoor and nature activities, public fishing and	12103
hunting grounds, and flora and fauna preservation. The chief, with	12104
the approval of the director, may receive by grant, devise,	12105
bequest, donation, or assignment evidences of indebtedness, the	12106
proceeds of which are to be used for the purchase of such lands or	12107
surface rights upon lands and waters or surface rights upon	12108
waters.	12109

(B)(1) The chief shall adopt rules for the protection of	12110
state-owned or leased lands and waters and property under the	12111
division's control against wrongful use or occupancy that will	12112
ensure the carrying out of the intent of this section, protect	12113
those lands, waters, and property from depredations, and preserve	12114
them from molestation, spoilation, destruction, or any improper	12115
use or occupancy thereof, including rules with respect to	12116
recreational activities and for the government and use of such	12117
lands, waters, and property.	12118

(2) The chief may adopt rules benefiting wild animals, fish	12119
or game management, preservation, propagation, and protection,	12120
outdoor and nature activities, public fishing and hunting grounds,	12121
and flora and fauna preservation, and regulating the taking and	12122
possession of wild animals on any lands or waters owned or leased	12123
or under the division's supervision and control and, for a	12124
specified period of years, may prohibit or recall the taking and	12125
possession of any wild animal on any portion of such lands or	12126
waters. The division clearly shall define and mark the boundaries	12127
of the lands and waters owned or leased or under its supervision	12128
and control upon which the taking of any wild animal is	12129
prohibited.	12130

(C) The chief, with the approval of the director, may acquire	12131
by gift, lease, or purchase land for the purpose of establishing	12132
state fish hatcheries and game farms and may erect on it buildings	12133
or structures that are necessary.	12134

The title to or lease of such lands and waters shall be taken	12135
by the chief in the name of the state. The lease or purchase price	12136
of all such lands and waters may be paid from hunting and trapping	12137
and fishing licenses and any other funds.	12138

(D) To provide more public recreation, stream and lake	12139
agreements for public fishing only may be obtained under rules	12140
adopted by the chief.	12141

(E) The chief, with the approval of the director, may	12142
establish user fees for the use of special public facilities or	12143
participation in special activities on lands and waters	12144
administered by the division. The special facilities and	12145
activities may include hunting or fishing on special designated	12146
public lands and waters intensively managed or stocked with	12147
artificially propagated game birds or fish, field trial	12148
facilities, wildlife nature centers, firearm ranges, boat mooring	12149
facilities, camping sites, and other similar special facilities	12150
and activities. The chief shall determine whether the user fees	12151
are refundable and shall ensure that that information is provided	12152
at the time the user fees are paid.	12153

(F) The chief, with the approval of the director, may enter	12154
into lease agreements for rental of concessions or other special	12155
projects situated on state-owned or leased lands or waters or	12156
other property under the division's control. The chief shall set	12157
and collect the fees for concession rentals or other special	12158
projects; regulate through contracts between the division and	12159
concessionaires the sale of tangible objects at concessions or	12160
other special projects; and keep a record of all such fee payments	12161
showing the amount received, from whom received, and for what	12162
purpose the fee was collected.	12163

(G) The chief may sell or donate conservation-related items	12164
or items that promote wildlife conservation, including, but not	12165
limited to, stamps, pins, badges, books, bulletins, maps,	12166
publications, calendars, and any other educational article or	12167
artifact pertaining to wild animals; sell confiscated or forfeited	12168
items; and sell surplus structures and equipment, and timber or	12169
crops from lands owned, administered, leased, or controlled by the	12170
division. The chief, with the approval of the director, also may	12171
engage in campaigns and special events that promote wildlife	12172
conservation by selling or donating wildlife-related materials,	12173
memberships, and other items of promotional value.	12174

(H) The chief may sell, lease, or transfer minerals or	12175
mineral rights, with the approval of the director, when the chief	12176
and the director determine it to be in the best interest of the	12177
state. Upon approval of the director, the chief may make, execute,	12178
and deliver contracts, including leases, to mine, drill, or	12179
excavate iron ore, stone, coal, petroleum, gas, salt, and other	12180
minerals upon and under lands owned by the state and administered	12181
by the division to any person who complies with the terms of such	12182
a contract. No such contract shall be valid for more than fifty	12183
years from its effective date. Consideration for minerals and	12184
mineral rights shall be by rental or royalty basis as prescribed	12185
by the chief and payable as prescribed by contract. Moneys	12186
collected under this division shall be paid into the state	12187
treasury to the credit of the wildlife habitat fund created in	12188
section 1531.33 of the Revised Code. Contracts entered into under	12189
this division also may provide for consideration for minerals or	12190
mineral rights in the form of acquisition of lands as provided	12191
under divisions (A) and (C) of this section.	12192

(I) All moneys received under divisions (E), (F), and (G) of	12193
this section shall be paid into the state treasury to the credit	12194
of a fund that shall be used for the purposes outlined in section	12195
1533.15 of the Revised Code and for the management of other wild	12196
animals for their ecological and nonconsumptive recreational value	12197
or benefit.	12198

(J) The chief, with the approval of the director, may barter	12199
or sell wild animals to other states, state or federal agencies,	12200
and conservation or zoological organizations. Moneys received from	12201
the sale of wild animals shall be deposited into the wild animal	12202
fund created in section 1531.34 of the Revised Code.	12203

(K) The chief shall adopt rules establishing standards and	12204
guidelines for the administration of contraceptive chemicals to	12205
noncaptive wild animals. The rules may specify chemical delivery	12206
methods and devices and monitoring requirements.	12207

The chief shall establish criteria for the issuance of and	12208
shall issue permits for the administration of contraceptive	12209
chemicals to noncaptive wild animals. No person shall administer	12210
contraceptive chemicals to noncaptive wild animals without a	12211
permit issued by the chief.	12212

(L) All fees set by the chief under this section shall be	12213
approved by the wildlife council.	12214

Sec. 1531.35.  The wildlife boater angler fund is hereby	12215
created in the state treasury. The fund shall consist of money	12216
credited to the fund pursuant to section 5735.051 of the Revised	12217
Code and other money contributed to the division of wildlife for	12218
the purposes of the fund. The fund shall be used for boating	12219
access construction, improvements, and maintenance, and to pay for	12220
equipment and personnel costs involved with those activities, on	12221
lakes on which the operation of gasoline-powered watercraft is	12222
permissible. However, not more than two hundred thousand dollars	12223
of the annual expenditures from the fund may be used to pay for	12224
the equipment and personnel costs.	12225

Sec. 1548.06.  (A)(1) Application for a certificate of title	12226
for a watercraft or outboard motor shall be made upon a form	12227
prescribed by the chief of the division of watercraft and shall be	12228
sworn to before a notary public or other officer empowered to	12229
administer oaths. The application shall be filed with the clerk of	12230
any court of common pleas. An application for a certificate of	12231
title may be filed electronically by any electronic means approved	12232
by the chief in any county with the clerk of the court of common	12233
pleas of that county. The application shall be accompanied by the	12234
fee prescribed in section 1548.10 of the Revised Code. The fee	12235
shall be retained by the clerk who issues the certificate of title	12236
and shall be distributed in accordance with that section. If a	12237
clerk of a court of common pleas, other than the clerk of the	12238
court of common pleas of an applicant's county of residence,	12239
issues a certificate of title to the applicant, the clerk shall	12240
transmit data related to the transaction to the automated title	12241
processing system.	12242

(2) If a certificate of title previously has been issued for	12243
the watercraft or outboard motor, the application for a	12244
certificate of title also shall be accompanied by the certificate	12245
of title duly assigned unless otherwise provided in this chapter.	12246
If a certificate of title previously has not been issued for the	12247
watercraft or outboard motor in this state, the application,	12248
unless otherwise provided in this chapter, shall be accompanied by	12249
a manufacturer's or importer's certificate; by a sworn statement	12250
of ownership if the watercraft or outboard motor was purchased by	12251
the applicant on or before October 9, 1963, or if the watercraft	12252
is less than fourteen feet long with a permanently affixed	12253
mechanical means of propulsion and was purchased by the applicant	12254
on or before January 1, 2000; or by a certificate of title, bill	12255
of sale, or other evidence of ownership required by the law of	12256
another state from which the watercraft or outboard motor was	12257
brought into this state. Evidence of ownership of a watercraft or	12258
outboard motor for which an Ohio certificate of title previously	12259
has not been issued and which watercraft or outboard motor does	12260
not have permanently affixed to it a manufacturer's serial number	12261
shall be accompanied by the certificate of assignment of a hull	12262
identification number assigned by the chief as provided in section	12263
1548.07 of the Revised Code.	12264

(3) The clerk shall retain the evidence of title presented	12265
by the applicant and on which the certificate of title is issued,	12266
except that, if an application for a certificate of title is filed	12267
electronically, by a vendor on behalf of a purchaser of a	12268
watercraft or outboard motor, the clerk shall retain the completed	12269
electronic record to which the vendor converted the certificate of	12270
title application and other required documents. The chief, after	12271
consultation with the attorney general, shall adopt rules that	12272
govern the location at which, and the manner in which, are stored	12273
the actual application and all other documents relating to the	12274
sale of a watercraft or outboard motor when a vendor files the	12275
application for a certificate of title electronically on behalf of	12276
a purchaser.	12277

(B) The clerk shall use reasonable diligence in ascertaining	12278
whether the facts in the application are true by checking the	12279
application and documents accompanying it or the electronic record	12280
to which a vendor converted the application and accompanying	12281
documents with the records of watercraft and outboard motors in	12282
the clerk's office. If the clerk is satisfied that the applicant	12283
is the owner of the watercraft or outboard motor and that the	12284
application is in the proper form, the clerk shall issue a	12285
physical certificate of title over the clerk's signature and	12286
sealed with the clerk's seal unless the applicant specifically	12287
requests the clerk not to issue a physical certificate of title	12288
and instead to issue an electronic certificate of title. However,	12289
if the evidence indicates and an investigation shows that one or	12290
more Ohio titles already exist for the watercraft or outboard	12291
motor, the chief may cause the redundant title or titles to be	12292
canceled.	12293

(C) In the case of the sale of a watercraft or outboard motor	12294
by a vendor to a general purchaser or user, the certificate of	12295
title shall be obtained in the name of the purchaser by the vendor	12296
upon application signed by the purchaser. In all other cases, the	12297
certificate shall be obtained by the purchaser. In all cases of	12298
transfer of watercraft or outboard motors, the application for	12299
certificate of title shall be filed within thirty days after the	12300
later of the date of purchase or assignment of ownership of the	12301
watercraft or outboard motor. If the application for certificate	12302
of title is not filed within thirty days after the later of the	12303
date of purchase or assignment of ownership of the watercraft or	12304
outboard motor, the clerk shall charge a late penalty fee of five	12305
dollars in addition to the fee prescribed by section 1548.10 of	12306
the Revised Code. The clerk shall retain the entire amount of each	12307
late penalty fee.	12308

(D) The clerk shall refuse to accept an application for	12309
certificate of title unless the applicant either tenders with the	12310
application payment of all taxes levied by or pursuant to Chapter	12311
5739. or 5741. of the Revised Code based on the applicant's county	12312
of residence less, in the case of a sale by a vendor, any discount	12313
to which the vendor is entitled under section 5739.12 of the	12314
Revised Code, or submits any of the following:	12315

(1) A receipt issued by the tax commissioner or a clerk of	12316
courts showing payment of the tax;	12317

(2) A copy of the unit certificate of exemption completed by	12318
the purchaser at the time of sale as provided in section 5739.03	12319
of the Revised Code;	12320

(3) An exemption certificate, in a form prescribed by the tax	12321
commissioner, that specifies why the purchase is not subject to	12322
the tax imposed by Chapter 5739. or 5741. of the Revised Code.	12323

Payment of the tax shall be in accordance with rules issued	12324
by the tax commissioner, and the clerk shall issue a receipt in	12325
the form prescribed by the tax commissioner to any applicant who	12326
tenders payment of the tax with the application for the	12327
certificate of title.	12328

(E)(1) For receiving and disbursing the taxes paid to the	12329
clerk by a resident of the clerk's county, the clerk may retain a	12330
poundage fee of one and one one-hundredth per cent of the taxes	12331
collected, which shall be paid into the certificate of title	12332
administration fund created by section 325.33 of the Revised Code.	12333
The clerk shall not retain a poundage fee from payments of taxes	12334
by persons who do not reside in the clerk's county.	12335

(2) A clerk, however, may retain from the taxes paid to the	12336
clerk an amount equal to the poundage fees associated with	12337
certificates of title issued by other clerks of courts of common	12338
pleas to applicants who reside in the first clerk's county. The	12339
chief of the division of watercraft, in consultation with the tax	12340
commissioner and the clerks of the courts of common pleas, shall	12341
develop a report from the automated title processing system that	12342
informs each clerk of the amount of the poundage fees that the	12343
clerk is permitted to retain from those taxes because of	12344
certificates of title issued by the clerks of other counties to	12345
applicants who reside in the first clerk's county.	12346

(F) In the case of casual sales of watercraft or outboard	12347
motors that are subject to the tax imposed by Chapter 5739. or	12348
5741. of the Revised Code, the purchase price for the purpose of	12349
determining the tax shall be the purchase price on an affidavit	12350
executed and filed with the clerk by the vendor on a form to be	12351
prescribed by the chief, which shall be prima-facie evidence of	12352
the price for the determination of the tax. In addition to the	12353
information required by section 1548.08 of the Revised Code, each	12354
certificate of title shall contain in bold lettering the following	12355
notification and statements: "WARNING TO TRANSFEROR AND TRANSFEREE	12356
(SELLER AND BUYER). You are required by law to state the true	12357
selling price. A false statement is a violation of section 2921.13	12358
of the Revised Code and is punishable by six months imprisonment	12359
or a fine of up to one thousand dollars, or both. All transfers	12360
are audited by the department of taxation. The seller and buyer	12361
must provide any information requested by the department of	12362
taxation. The buyer may be assessed any additional tax found to be	12363
due."	12364

(G) Each county clerk of courts shall forward to the	12365
treasurer of state all sales and use tax collections resulting	12366
from sales of titled watercraft and outboard motors during a	12367
calendar week on or before the Friday following the close of that	12368
week. If, on any Friday, the offices of the clerk of courts or the	12369
state are not open for business, the tax shall be forwarded to the	12370
treasurer of state on or before the next day on which the offices	12371
are open. Every remittance of tax under this division shall be	12372
accompanied by a remittance report in such form as the tax	12373
commissioner prescribes. Upon receipt of a tax remittance and	12374
remittance report, the treasurer of state shall date stamp the	12375
report and forward it to the tax commissioner. If the tax due for	12376
any week is not remitted by a clerk of courts as required under	12377
this division, the clerk shall forfeit the poundage fees for the	12378
sales made during that week. The treasurer of state may require	12379
the clerks of courts to transmit tax collections and remittance	12380
reports electronically.	12381

(H) For purposes of a transfer of a certificate of title, if	12382
the clerk is satisfied that a secured party has discharged a lien	12383
but has not canceled the lien notation with a clerk, the clerk may	12384
cancel the lien notation on the automated title processing system	12385
and notify the clerk of the county of origin.	12386

(I) Every clerk shall have the capability to transact by	12387
electronic means all procedures and transactions relating to the	12388
issuance of watercraft or outboard motor certificates of title	12389
that are described in the Revised Code as being accomplished by	12390
electronic means.	12391

Sec. 1555.08.  (A) Subject to the limitations provided in	12392
Section 15 of Article VIII, Ohio Constitution, the commissioners	12393
of the sinking fund, upon certification by the director of the	12394
Ohio coal development office of the amount of moneys or additional	12395
moneys needed in the coal research and development fund for the	12396
purpose of making grants or loans for allowable costs, or needed	12397
for capitalized interest, for funding reserves, and for paying	12398
costs and expenses incurred in connection with the issuance,	12399
carrying, securing, paying, redeeming, or retirement of the	12400
obligations or any obligations refunded thereby, including payment	12401
of costs and expenses relating to letters of credit, lines of	12402
credit, insurance, put agreements, standby purchase agreements,	12403
indexing, marketing, remarketing and administrative arrangements,	12404
interest swap or hedging agreements, and any other credit	12405
enhancement, liquidity, remarketing, renewal, or refunding	12406
arrangements, all of which are authorized by this section, or	12407
providing moneys for loan guarantees, shall issue obligations of	12408
the state under this section in amounts authorized by the general	12409
assembly; provided that such obligations may be issued to the	12410
extent necessary to satisfy the covenants in contracts of	12411
guarantee made under section 1555.05 of the Revised Code to issue	12412
obligations to meet such guarantees, notwithstanding limitations	12413
otherwise applicable to the issuance of obligations under this	12414
section except the one-hundred-million-dollar limitation provided	12415
in Section 15 of Article VIII, Ohio Constitution. The proceeds of	12416
such obligations, except for the portion to be deposited in the	12417
coal research and development bond service fund as may be provided	12418
in the bond proceedings, shall as provided in the bond proceedings	12419
be deposited in the coal research and development fund. The	12420
commissioners of the sinking fund may appoint trustees, paying	12421
agents, and transfer agents and may retain the services of	12422
financial advisors, accounting experts, and attorneys, and retain	12423
or contract for the services of marketing, remarketing, indexing,	12424
and administrative agents, other consultants, and independent	12425
contractors, including printing services, as are necessary in	12426
their judgment to carry out this section.	12427

(B) The full faith and credit of the state of Ohio is hereby	12428
pledged to obligations issued under this section. The right of the	12429
holders and owners to payment of bond service charges is limited	12430
to all or that portion of the moneys pledged thereto pursuant to	12431
the bond proceedings in accordance with this section, and each	12432
such obligation shall bear on its face a statement to that effect.	12433

(C) Obligations shall be authorized by resolution of the	12434
commissioners of the sinking fund on request of the director of	12435
the Ohio coal development office as provided in section 1555.02 of	12436
the Revised Code and the bond proceedings shall provide for the	12437
purpose thereof and the principal amount or amounts, and shall	12438
provide for or authorize the manner or agency for determining the	12439
principal maturity or maturities, not exceeding forty years from	12440
the date of issuance, the interest rate or rates or the maximum	12441
interest rate, the date of the obligations and the dates of	12442
payment of interest thereon, their denomination, and the	12443
establishment within or without the state of a place or places of	12444
payment of bond service charges. Sections 9.98 to 9.983 of the	12445
Revised Code apply to obligations issued under this section. The	12446
purpose of such obligations may be stated in the bond proceedings	12447
in terms describing the general purpose or purposes to be served.	12448
The bond proceedings shall also provide, subject to the provisions	12449
of any other applicable bond proceedings, for the pledge of all,	12450
or such part as the commissioners of the sinking fund may	12451
determine, of the moneys credited to the coal research and	12452
development bond service fund to the payment of bond service	12453
charges, which pledges may be made either prior or subordinate to	12454
other expenses, claims, or payments and may be made to secure the	12455
obligations on a parity with obligations theretofore or thereafter	12456
issued, if and to the extent provided in the bond proceedings. The	12457
moneys so pledged and thereafter received by the state are	12458
immediately subject to the lien of such pledge without any	12459
physical delivery thereof or further act, and the lien of any such	12460
pledges is valid and binding against all parties having claims of	12461
any kind against the state or any governmental agency of the	12462
state, irrespective of whether such parties have notice thereof,	12463
and shall create a perfected security interest for all purposes of	12464
Chapter 1309. of the Revised Code, without the necessity for	12465
separation or delivery of funds or for the filing or recording of	12466
the bond proceedings by which such pledge is created or any	12467
certificate, statement or other document with respect thereto; and	12468
the pledge of such moneys is effective and the money therefrom and	12469
thereof may be applied to the purposes for which pledged without	12470
necessity for any act of appropriation. Every pledge, and every	12471
covenant and agreement made with respect thereto, made in the bond	12472
proceedings may therein be extended to the benefit of the owners	12473
and holders of obligations authorized by this section, and to any	12474
trustee therefor, for the further security of the payment of the	12475
bond service charges.	12476

(D) The bond proceedings may contain additional provisions as	12477
to:	12478

(1) The redemption of obligations prior to maturity at the	12479
option of the commissioners of the sinking fund at such price or	12480
prices and under such terms and conditions as are provided in the	12481
bond proceedings;	12482

(2) Other terms of the obligations;

12483

(3) Limitations on the issuance of additional obligations;

12484

(4) The terms of any trust agreement or indenture securing	12485
the obligations or under which the obligations may be issued;	12486

(5) The deposit, investment, and application of the coal	12487
research and development bond service fund, and the safeguarding	12488
of moneys on hand or on deposit, without regard to Chapter 131. or	12489
135. of the Revised Code, but subject to any special provisions of	12490
this chapter, with respect to particular moneys; provided, that	12491
any bank or trust company which acts as depository of any moneys	12492
in the fund may furnish such indemnifying bonds or may pledge such	12493
securities as required by the commissioners of the sinking fund;	12494

(6) Any other provision of the bond proceedings being binding	12495
upon the commissioners of the sinking fund, or such other body or	12496
person as may from time to time have the authority under law to	12497
take such actions as may be necessary to perform all or any part	12498
of the duty required by such provision;	12499

(7) Any provision which may be made in a trust agreement or	12500
indenture;	12501

(8) Any other or additional agreements with the holders of	12502
the obligations, or the trustee therefor, relating to the	12503
obligations or the security therefor, including the assignment of	12504
mortgages or other security obtained or to be obtained for loans	12505
under this chapter.	12506

(E) The obligations may have the great seal of the state or a	12507
facsimile thereof affixed thereto or printed thereon. The	12508
obligations shall be signed by such members of the commissioners	12509
of the sinking fund as are designated in the resolution	12510
authorizing the obligations or bear the facsimile signatures of	12511
such members. Any coupons attached to the obligations shall bear	12512
the facsimile signature of the treasurer of state. Any obligations	12513
may be executed by the persons who, on the date of execution, are	12514
the commissioners although on the date of such bonds the persons	12515
were not the commissioners. Any coupons may be executed by the	12516
person who, on the date of execution, is the treasurer of state	12517
although on the date of such coupons the person was not the	12518
treasurer of state. In case any officer or commissioner whose	12519
signature or a facsimile of whose signature appears on any such	12520
obligations or any coupons ceases to be such officer or	12521
commissioner before delivery thereof, such signature or facsimile	12522
is nevertheless valid and sufficient for all purposes as if the	12523
individual had remained such officer or commissioner until such	12524
delivery; and in case the seal to be affixed to obligations has	12525
been changed after a facsimile of the seal has been imprinted on	12526
such obligations, such facsimile seal shall continue to be	12527
sufficient as to such obligations and obligations issued in	12528
substitution or exchange therefor.	12529

(F) All obligations except loan guarantees are negotiable	12530
instruments and securities under Chapter 1308. of the Revised	12531
Code, subject to the provisions of the bond proceedings as to	12532
registration. The obligations may be issued in coupon or in	12533
registered form, or both, as the commissioners of the sinking fund	12534
determine. Provision may be made for the registration of any	12535
obligations with coupons attached thereto as to principal alone or	12536
as to both principal and interest, their exchange for obligations	12537
so registered, and for the conversion or reconversion into	12538
obligations with coupons attached thereto of any obligations	12539
registered as to both principal and interest, and for reasonable	12540
charges for such registration, exchange, conversion, and	12541
reconversion.	12542

(G) Obligations may be sold at public sale or at private	12543
sale, as determined in the bond proceedings.	12544

(H) Pending preparation of definitive obligations, the	12545
commissioners of the sinking fund may issue interim receipts or	12546
certificates which shall be exchanged for such definitive	12547
obligations.	12548

(I) In the discretion of the commissioners of the sinking	12549
fund, obligations may be secured additionally by a trust agreement	12550
or indenture between the commissioners and a corporate trustee,	12551
which may be any trust company or bank having its principala	12552
place of business within the state. Any such agreement or	12553
indenture may contain the resolution authorizing the issuance of	12554
the obligations, any provisions that may be contained in any bond	12555
proceedings, and other provisions that are customary or	12556
appropriate in an agreement or indenture of such type, including,	12557
but not limited to:	12558

(1) Maintenance of each pledge, trust agreement, indenture,	12559
or other instrument comprising part of the bond proceedings until	12560
the state has fully paid the bond service charges on the	12561
obligations secured thereby, or provision therefor has been made;	12562

(2) In the event of default in any payments required to be	12563
made by the bond proceedings, or any other agreement of the	12564
commissioners of the sinking fund made as a part of the contract	12565
under which the obligations were issued, enforcement of such	12566
payments or agreement by mandamus, the appointment of a receiver,	12567
suit in equity, action at law, or any combination of the	12568
foregoing;	12569

(3) The rights and remedies of the holders of obligations and	12570
of the trustee, and provisions for protecting and enforcing them,	12571
including limitations on rights of individual holders of	12572
obligations;	12573

(4) The replacement of any obligations that become mutilated	12574
or are destroyed, lost, or stolen;	12575

(5) Such other provisions as the trustee and the	12576
commissioners of the sinking fund agree upon, including	12577
limitations, conditions, or qualifications relating to any of the	12578
foregoing.	12579

(J) Any holder of obligations or a trustee under the bond	12580
proceedings, except to the extent that the holder's rights are	12581
restricted by the bond proceedings, may by any suitable form of	12582
legal proceedings protect and enforce any rights under the laws of	12583
this state or granted by such bond proceedings. Such rights	12584
include the right to compel the performance of all duties of the	12585
commissioners of the sinking fund, the Ohio air quality	12586
development authority, or the Ohio coal development office	12587
required by this chapter and Chapter 1551. of the Revised Code or	12588
the bond proceedings; to enjoin unlawful activities; and in the	12589
event of default with respect to the payment of any bond service	12590
charges on any obligations or in the performance of any covenant	12591
or agreement on the part of the commissioners, the authority, or	12592
the office in the bond proceedings, to apply to a court having	12593
jurisdiction of the cause to appoint a receiver to receive and	12594
administer the moneys pledged, other than those in the custody of	12595
the treasurer of state, that are pledged to the payment of the	12596
bond service charges on such obligations or that are the subject	12597
of the covenant or agreement, with full power to pay, and to	12598
provide for payment of bond service charges on, such obligations,	12599
and with such powers, subject to the direction of the court, as	12600
are accorded receivers in general equity cases, excluding any	12601
power to pledge additional revenues or receipts or other income or	12602
moneys of the commissioners of the sinking fund or the state or	12603
governmental agencies of the state to the payment of such	12604
principal and interest and excluding the power to take possession	12605
of, mortgage, or cause the sale or otherwise dispose of any	12606
project.	12607

Each duty of the commissioners of the sinking fund and their	12608
employees, and of each governmental agency and its officers,	12609
members, or employees, undertaken pursuant to the bond proceedings	12610
or any grant, loan, or loan guarantee agreement made under	12611
authority of this chapter, and in every agreement by or with the	12612
commissioners, is hereby established as a duty of the	12613
commissioners, and of each such officer, member, or employee	12614
having authority to perform such duty, specifically enjoined by	12615
the law resulting from an office, trust, or station within the	12616
meaning of section 2731.01 of the Revised Code.	12617

The persons who are at the time the commissioners of the	12618
sinking fund, or their employees, are not liable in their personal	12619
capacities on any obligations issued by the commissioners or any	12620
agreements of or with the commissioners.	12621

(K) Obligations issued under this section are lawful	12622
investments for banks, societies for savings, savings and loan	12623
associations, deposit guarantee associations, trust companies,	12624
trustees, fiduciaries, insurance companies, including domestic for	12625
life and domestic not for life, trustees or other officers having	12626
charge of sinking and bond retirement or other special funds of	12627
political subdivisions and taxing districts of this state, the	12628
commissioners of the sinking fund of the state, the administrator	12629
of workers' compensation, the state teachers retirement system,	12630
the public employees retirement system, the school employees	12631
retirement system, and the Ohio police and fire pension fund,	12632
notwithstanding any other provisions of the Revised Code or rules	12633
adopted pursuant thereto by any governmental agency of the state	12634
with respect to investments by them, and are also acceptable as	12635
security for the deposit of public moneys.	12636

(L) If the law or the instrument creating a trust pursuant to	12637
division (I) of this section expressly permits investment in	12638
direct obligations of the United States or an agency of the United	12639
States, unless expressly prohibited by the instrument, such moneys	12640
also may be invested in no-front-end-load money market mutual	12641
funds consisting exclusively of obligations of the United States	12642
or an agency of the United States and in repurchase agreements,	12643
including those issued by the fiduciary itself, secured by	12644
obligations of the United States or an agency of the United	12645
States; and in collective investment funds established in	12646
accordance with section 1111.14 of the Revised Code and consisting	12647
exclusively of any such securities, notwithstanding division	12648
(A)(1)(c) of that section. The income from such investments shall	12649
be credited to such funds as the commissioners of the sinking fund	12650
determine, and such investments may be sold at such times as the	12651
commissioners determine or authorize.	12652

(M) Provision may be made in the applicable bond proceedings	12653
for the establishment of separate accounts in the bond service	12654
fund and for the application of such accounts only to the	12655
specified bond service charges on obligations pertinent to such	12656
accounts and bond service fund and for other accounts therein	12657
within the general purposes of such fund. Moneys to the credit of	12658
the bond service fund shall be disbursed on the order of the	12659
treasurer of state; provided, that no such order is required for	12660
the payment from the bond service fund when due of bond service	12661
charges on obligations.	12662

(N) The commissioners of the sinking fund may pledge all, or	12663
such portion as they determine, of the receipts of the bond	12664
service fund to the payment of bond service charges on obligations	12665
issued under this section, and for the establishment and	12666
maintenance of any reserves, as provided in the bond proceedings,	12667
and make other provisions therein with respect to pledged receipts	12668
as authorized by this chapter, which provisions control	12669
notwithstanding any other provisions of law pertaining thereto.	12670

(O) The commissioners of the sinking fund may covenant in the	12671
bond proceedings, and any such covenants control notwithstanding	12672
any other provision of law, that the state and applicable officers	12673
and governmental agencies of the state, including the general	12674
assembly, so long as any obligations are outstanding, shall:	12675

(1) Maintain statutory authority for and cause to be levied	12676
and collected taxes so that the pledged receipts are sufficient in	12677
amount to meet bond service charges, and the establishment and	12678
maintenance of any reserves and other requirements provided for in	12679
the bond proceedings, and, as necessary, to meet covenants	12680
contained in any loan guarantees made under this chapter;	12681

(2) Take or permit no action, by statute or otherwise, that	12682
would impair the exemption from federal income taxation of the	12683
interest on the obligations.	12684

(P) All moneys received by or on account of the state and	12685
required by the applicable bond proceedings, consistent with this	12686
section, to be deposited, transferred, or credited to the coal	12687
research and development bond service fund, and all other moneys	12688
transferred or allocated to or received for the purposes of the	12689
fund, shall be credited to such fund and to any separate accounts	12690
therein, subject to applicable provisions of the bond proceedings,	12691
but without necessity for any act of appropriation. During the	12692
period beginning with the date of the first issuance of	12693
obligations and continuing during such time as any such	12694
obligations are outstanding, and so long as moneys in the bond	12695
service fund are insufficient to pay all bond service charges on	12696
such obligations becoming due in each year, a sufficient amount of	12697
moneys of the state are committed and shall be paid to the bond	12698
service fund in each year for the purpose of paying the bond	12699
service charges becoming due in that year without necessity for	12700
further act of appropriation for such purpose. The bond service	12701
fund is a trust fund and is hereby pledged to the payment of bond	12702
service charges to the extent provided in the applicable bond	12703
proceedings, and payment thereof from such fund shall be made or	12704
provided for by the treasurer of state in accordance with such	12705
bond proceedings without necessity for any act of appropriation.	12706
All investment earnings of the fund shall be credited to the fund.	12707

(Q) For purposes of establishing the limitations contained in	12708
Section 15 of Article VIII, Ohio Constitution, the "principal	12709
amount" refers to the aggregate of the offering price of the bonds	12710
or notes. "Principal amount" does not refer to the aggregate value	12711
at maturity or redemption of the bonds or notes.	12712

(R) This section applies only with respect to obligations	12713
issued and delivered prior to September 30, 2000.	12714

Sec. 1557.03.  (A)(1) The commissioners of the sinking fund	12715
are authorized to issue and sell, as provided in this section and	12716
in amounts from time to time authorized by the general assembly,	12717
general obligations of this state for the purpose of financing or	12718
assisting in the financing of the costs of projects. The full	12719
faith and credit, revenues, and taxing power of the state are and	12720
shall be pledged to the timely payment of debt charges on	12721
outstanding obligations, all in accordance with Section 2l of	12722
Article VIII, Ohio Constitution, and Chapter 1557. of the Revised	12723
Code, excluding from that pledge fees, excises, or taxes relating	12724
to the registration, operation, or use of vehicles on the public	12725
highways, or to fuels used for propelling those vehicles, and so	12726
long as such obligations are outstanding there shall be levied and	12727
collected excises and taxes, excluding those excepted above, in	12728
amount sufficient to pay the debt charges on such obligations and	12729
financing costs relating to credit enhancement facilities.	12730

(2) For meetings of the commissioners of the sinking fund	12731
pertaining to the obligations under this chapter, each of the	12732
commissioners may designate an employee or officer of that	12733
commissioner's office to attend meetings when that commissioner is	12734
absent for any reason, and such designee, when present, shall be	12735
counted in determining whether a quorum is present at any meeting	12736
and may vote and participate in all proceedings and actions of the	12737
commissioners at that meeting pertaining to the obligations,	12738
provided, that such designee shall not execute or cause a	12739
facsimile of the designee's signature to be placed on any	12740
obligation, or execute any trust agreement or indenture of the	12741
commissioners. Such designation shall be in writing, executed by	12742
the designating member, and shall be filed with the secretary of	12743
the commissioners and such designation may be changed from time to	12744
time by a similar written designation.	12745

(B) The total principal amount of obligations outstanding at	12746
any one time shall not exceed two hundred million dollars, and not	12747
more than fifty million dollars in principal amount of obligations	12748
to pay costs of projects may be issued in any fiscal year, all	12749
determined as provided in Chapter 1557. of the Revised Code.	12750

(C) The state may participate by grants or contributions in	12751
financing projects under this section made by local government	12752
entities. Of the proceeds of the first two hundred million dollars	12753
principal amount in obligations issued under this section to pay	12754
costs of projects, at least twenty per cent shall be allocated in	12755
accordance with section 1557.06 of the Revised Code to grants or	12756
contributions to local government entities. The director of budget	12757
and management shall establish and maintain records in such manner	12758
as to show that the proceeds credited to the Ohio parks and	12759
natural resources fund have been expended for the purposes and in	12760
accordance with the limitations set forth herein.	12761

(D) Each issue of obligations shall be authorized by	12762
resolution of the commissioners of the sinking fund. The bond	12763
proceedings shall provide for the principal amount or maximum	12764
principal amount of obligations of an issue, and shall provide for	12765
or authorize the manner or agency for determining the principal	12766
maturity or maturities, not exceeding the earlier of twenty-five	12767
years from the date the debt represented by the particular	12768
obligations was originally contracted, the interest rate or rates,	12769
the date of and the dates of payment of interest on the	12770
obligations, their denominations, and the establishment within or	12771
without the state of a place or places of payment of debt charges.	12772
Sections 9.96 and 9.98 to 9.983 of the Revised Code are applicable	12773
to the obligations. The purpose of the obligations may be stated	12774
in the bond proceedings as "financing or assisting in the	12775
financing of projects as provided in Section 2l of Article VIII,	12776
Ohio Constitution."	12777

(E) The proceeds of the obligations, except for any portion	12778
to be deposited in special funds, or in escrow funds for the	12779
purpose of refunding outstanding obligations, all as may be	12780
provided in the bond proceedings, shall be deposited in the Ohio	12781
parks and natural resources fund established by section 1557.02 of	12782
the Revised Code.	12783

(F) The commissioners of the sinking fund may appoint paying	12784
agents, bond registrars, securities depositories, and transfer	12785
agents, and may retain the services of financial advisers and	12786
accounting experts, and retain or contract for the services of	12787
marketing, remarketing, indexing, and administrative agents, other	12788
consultants, and independent contractors, including printing	12789
services, as are necessary in the judgment of the commissioners to	12790
carry out this chapter of the Revised Code. Financing costs are	12791
payable, as provided in the bond proceedings, from the proceeds of	12792
the obligations, from special funds, or from other moneys	12793
available for the purpose.	12794

(G) The bond proceedings, including any trust agreement, may	12795
contain additional provisions customary or appropriate to the	12796
financing or to the obligations or to particular obligations,	12797
including, but not limited to:	12798

(1) The redemption of obligations prior to maturity at the	12799
option of the state or of the holder or upon the occurrence of	12800
certain conditions at such price or prices and under such terms	12801
and conditions as are provided in the bond proceedings;	12802

(2) The form of and other terms of the obligations;

12803

(3) The establishment, deposit, investment, and application	12804
of special funds, and the safeguarding of moneys on hand or on	12805
deposit, without regard to Chapter 131. or 135. of the Revised	12806
Code, provided that any bank or trust company that acts as a	12807
depository of any moneys in special funds may furnish such	12808
indemnifying bonds or may pledge such securities as required by	12809
the commissioners of the sinking fund;	12810

(4) Any or every provision of the bond proceedings binding	12811
upon the commissioners of the sinking fund and such state agency	12812
or local government entities, officer, board, commission,	12813
authority, agency, department, or other person or body as may from	12814
time to time have the authority under law to take such actions as	12815
may be necessary to perform all or any part of the duty required	12816
by such provision;	12817

(5) The maintenance of each pledge, any trust agreement, or	12818
other instrument composing part of the bond proceedings until the	12819
state has fully paid or provided for the payment of the debt	12820
charges on the obligations or met other stated conditions;	12821

(6) In the event of default in any payments required to be	12822
made by the bond proceedings, or any other agreement of the	12823
commissioners of the sinking fund made as part of a contract under	12824
which the obligations were issued or secured, the enforcement of	12825
such payments or agreements by mandamus, suit in equity, action at	12826
law, or any combination of the foregoing;	12827

(7) The rights and remedies of the holders of obligations and	12828
of the trustee under any trust agreement, and provisions for	12829
protecting and enforcing them, including limitations on rights of	12830
individual holders of obligations;	12831

(8) The replacement of any obligations that become mutilated	12832
or are destroyed, lost, or stolen;	12833

(9) Provision for the funding, refunding, or advance	12834
refunding or other provision for payment of obligations which will	12835
then no longer be or be deemed to be outstanding for purposes of	12836
this section or of the bond proceedings;	12837

(10) Any provision that may be made in bond proceedings or a	12838
trust agreement, including provision for amendment of the bond	12839
proceedings;	12840

(11) Such other provisions as the commissioners of the	12841
sinking fund determine, including limitations, conditions, or	12842
qualifications relating to any of the foregoing;	12843

(12) Any other or additional agreements with the holders of	12844
the obligations relating to the obligations or the security for	12845
the obligations.	12846

(H) The great seal of the state or a facsimile of that seal	12847
may be affixed to or printed on the obligations. The obligations	12848
shall be signed by or bear the facsimile signatures of two or more	12849
of the commissioners of the sinking fund as provided in the bond	12850
proceedings. Any obligations may be signed by the person who, on	12851
the date of execution, is the authorized signer although on the	12852
date of such obligations such person was not a commissioner. In	12853
case the individual whose signature or a facsimile of whose	12854
signature appears on any obligation ceases to be a commissioner	12855
before delivery of the obligation, such signature or facsimile is	12856
nevertheless valid and sufficient for all purposes as if the	12857
individual had remained the member until such delivery, and in	12858
case the seal to be affixed to or printed on obligations has been	12859
changed after the seal has been affixed to or a facsimile of the	12860
seal has been printed on the obligations, that seal or facsimile	12861
seal shall continue to be sufficient as to those obligations and	12862
obligations issued in substitution or exchange therefor.	12863

(I) Obligations may be issued in coupon or in fully	12864
registered form, or both, as the commissioners of the sinking fund	12865
determine. Provision may be made for the registration of any	12866
obligations with coupons attached as to principal alone or as to	12867
both principal and interest, their exchange for obligations so	12868
registered, and for the conversion or reconversion into	12869
obligations with coupons attached of any obligations registered as	12870
to both principal and interest, and for reasonable charges for	12871
such registration, exchange, conversion, and reconversion. Pending	12872
preparation of definitive obligations, the commissioners of the	12873
sinking fund may issue interim receipts or certificates which	12874
shall be exchanged for such definitive obligations.	12875

(J) Obligations may be sold at public sale or at private	12876
sale, and at such price at, above, or below par, as determined by	12877
the commissioners of the sinking fund in the bond proceedings.	12878

(K) In the discretion of the commissioners of the sinking	12879
fund, obligations may be secured additionally by a trust agreement	12880
between the state and a corporate trustee which may be any trust	12881
company or bank having its principala place of business within	12882
the state. Any trust agreement may contain the resolution	12883
authorizing the issuance of the obligations, any provisions that	12884
may be contained in the bond proceedings, and other provisions	12885
that are customary or appropriate in an agreement of the type.	12886

(L) Except to the extent that their rights are restricted by	12887
the bond proceedings, any holder of obligations, or a trustee	12888
under the bond proceedings, may by any suitable form of legal	12889
proceedings protect and enforce any rights under the laws of this	12890
state or granted by the bond proceedings. Such rights include the	12891
right to compel the performance of all duties of the commissioners	12892
and the state. Each duty of the commissioners and employees of the	12893
commissioners, and of each state agency and local public entity	12894
and its officers, members, or employees, undertaken pursuant to	12895
the bond proceedings, is hereby established as a duty of the	12896
commissioners, and of each such agency, local government entity,	12897
officer, member, or employee having authority to perform such	12898
duty, specifically enjoined by the law and resulting from an	12899
office, trust, or station within the meaning of section 2731.01 of	12900
the Revised Code. The persons who are at the time the	12901
commissioners, or employees of the commissioners, are not liable	12902
in their personal capacities on any obligations or any agreements	12903
of or with the commissioners relating to obligations or under the	12904
bond proceedings.	12905

(M) Obligations are lawful investments for banks, societies	12906
for savings, savings and loan associations, deposit guarantee	12907
associations, trust companies, trustees, fiduciaries, insurance	12908
companies, including domestic for life and domestic not for life,	12909
trustees or other officers having charge of sinking and bond	12910
retirement or other special funds of political subdivisions and	12911
taxing districts of this state, the commissioners of the sinking	12912
fund, the administrator of workers' compensation, the state	12913
teachers retirement system, the public employees retirement	12914
system, the school employees retirement system, and the Ohio	12915
police and fire pension fund, notwithstanding any other provisions	12916
of the Revised Code or rules adopted pursuant thereto by any state	12917
agency with respect to investments by them, and are also	12918
acceptable as security for the deposit of public moneys.	12919

(N) Unless otherwise provided in any applicable bond	12920
proceedings, moneys to the credit of or in the special funds	12921
established by or pursuant to this section may be invested by or	12922
on behalf of the commissioners of the sinking fund only in notes,	12923
bonds, or other direct obligations of the United States or of any	12924
agency or instrumentality of the United States, in obligations of	12925
this state or any political subdivision of this state, in	12926
certificates of deposit of any national bank located in this state	12927
and any bank, as defined in section 1101.01 of the Revised Code,	12928
subject to inspection by the superintendent of financial	12929
institutions, in the Ohio subdivision's fund established pursuant	12930
to section 135.45 of the Revised Code, in no-front-end-load money	12931
market mutual funds consisting exclusively of direct obligations	12932
of the United States or of an agency or instrumentality of the	12933
United States, and in repurchase agreements, including those	12934
issued by any fiduciary, secured by direct obligations of the	12935
United States or an agency or instrumentality of the United	12936
States, and in collective investment funds established in	12937
accordance with section 1111.14 of the Revised Code and consisting	12938
exclusively of direct obligations of the United States or of an	12939
agency or instrumentality of the United States, notwithstanding	12940
division (A)(1)(c) of that section. The income from investments	12941
shall be credited to such special funds or otherwise as the	12942
commissioners of the sinking fund determine in the bond	12943
proceedings, and the investments may be sold or exchanged at such	12944
times as the commissioners determine or authorize.	12945

(O) Unless otherwise provided in any applicable bond	12946
proceedings, moneys to the credit of or in a special fund shall be	12947
disbursed on the order of the commissioners of the sinking fund,	12948
provided that no such order is required for the payment from the	12949
bond service fund or other special fund when due of debt charges	12950
or required payments under credit enhancement facilities.	12951

(P) The commissioners of the sinking fund may covenant in the	12952
bond proceedings, and any such covenants shall be controlling	12953
notwithstanding any other provision of law, that the state and the	12954
applicable officers and agencies of the state, including the	12955
general assembly, so long as any obligations are outstanding in	12956
accordance with their terms, shall maintain statutory authority	12957
for and cause to be charged and collected taxes, excises, and	12958
other receipts of the state so that the receipts to the bond	12959
service fund shall be sufficient in amounts to meet debt charges	12960
and for the establishment and maintenance of any reserves and	12961
other requirements, including payment of the costs of credit	12962
enhancement facilities, provided for in the bond proceedings.	12963

(Q) The obligations, the transfer thereof, and the interest,	12964
other accreted amounts, and other income therefrom, including any	12965
profit made on the sale thereof, at all times shall be free from	12966
taxation, direct or indirect, within the state.	12967

(R) This section applies only with respect to obligations	12968
issued and delivered before September 30, 2000.	12969

Sec. 1751.60.  (A) Except as provided for in divisions (E)	12970
and (F) of this section, every provider or health care facility	12971
that contracts with a health insuring corporation to provide	12972
health care services to the health insuring corporation's	12973
enrollees or subscribers shall seek compensation for covered	12974
services solely from the health insuring corporation and not,	12975
under any circumstances, from the enrollees or subscribers, except	12976
for approved copayments and deductibles.	12977

(B) No subscriber or enrollee of a health insuring	12978
corporation is liable to any contracting provider or health care	12979
facility for the cost of any covered health care services, if the	12980
subscriber or enrollee has acted in accordance with the evidence	12981
of coverage.	12982

(C) Except as provided for in divisions (E) and (F) of this	12983
section, every contract between a health insuring corporation and	12984
provider or health care facility shall contain a provision	12985
approved by the superintendent of insurance requiring the provider	12986
or health care facility to seek compensation solely from the	12987
health insuring corporation and not, under any circumstances, from	12988
the subscriber or enrollee, except for approved copayments and	12989
deductibles.	12990

(D) Nothing in this section shall be construed as preventing	12991
a provider or health care facility from billing the enrollee or	12992
subscriber of a health insuring corporation for noncovered	12993
services.	12994

(E) Upon application by a health insuring corporation and a	12995
provider or health care facility, the superintendent may waive the	12996
requirements of divisions (A) and (C) of this section when, in	12997
addition to the reserve requirements contained in section 1751.28	12998
of the Revised Code, the health insuring corporation provides	12999
sufficient assurances to the superintendent that the provider or	13000
health care facility has been provided with financial guarantees.	13001
No waiver of the requirements of divisions (A) and (C) of this	13002
section is effective as to enrollees or subscribers for whom the	13003
health insuring corporation is compensated under a provider	13004
agreement or risk contract entered into pursuant to Chapter 5111.,	13005
5114., or 5115. of the Revised Code.	13006

(F) The requirements of divisions (A) to (C) of this section	13007
apply only to health care services provided to an enrollee or	13008
subscriber prior to the effective date of a termination of a	13009
contract between the health insuring corporation and the provider	13010
or health care facility.	13011

Sec. 2151.43.  In cases against an adult under sections	13012
2151.01 to 2151.54 of the Revised Code, any person may file an	13013
affidavit with the clerk of the juvenile court setting forth	13014
briefly, in plain and ordinary language, the charges against the	13015
accused who shall be tried thereon. When the child is a recipient	13016
of aid pursuant to Chapter 5107., 5114., or 5115. of the Revised	13017
Code, the county department of job and family services shall file	13018
charges against any person who fails to provide support to a child	13019
in violation of section 2919.21 of the Revised Code, unless the	13020
department files charges under section 3113.06 of the Revised	13021
Code, or unless charges of nonsupport are filed by a relative or	13022
guardian of the child, or unless action to enforce support is	13023
brought under Chapter 3115. of the Revised Code.	13024

In such prosecution an indictment by the grand jury or	13025
information by the prosecuting attorney shall not be required. The	13026
clerk shall issue a warrant for the arrest of the accused, who,	13027
when arrested, shall be taken before the juvenile judge and tried	13028
according to such sections.	13029

The affidavit may be amended at any time before or during the	13030
trial.	13031

The judge may bind such adult over to the grand jury, where	13032
the act complained of constitutes a felony.	13033

Sec. 2151.49.  In every case of conviction under sections	13034
2151.01 to 2151.54 of the Revised Code, where imprisonment is	13035
imposed as part of the punishment, the juvenile judge may suspend	13036
sentence, before or during commitment, upon such condition as the	13037
juvenile judge imposes. In the case of conviction for nonsupport	13038
of a child who is receiving aid under Chapter 5107., 5114., or	13039
5115. of the Revised Code, if the juvenile judge suspends sentence	13040
on condition that the person make payments for support, the	13041
payment shall be made to the county department of job and family	13042
services rather than to the child or custodian of the child.	13043

The court, in accordance with sections 3119.29 to 3119.56 of	13044
the Revised Code, shall include in each support order made under	13045
this section the requirement that one or both of the parents	13046
provide for the health care needs of the child to the satisfaction	13047
of the court.	13048

Sec. 2305.234.  (A) As used in this section:

13049

(1) "Chiropractic claim," "medical claim," and "optometric	13050
claim" have the same meanings as in section 2305.113 of the	13051
Revised Code.	13052

(2) "Dental claim" has the same meaning as in section	13053
2305.113 of the Revised Code, except that it does not include any	13054
claim arising out of a dental operation or any derivative claim	13055
for relief that arises out of a dental operation.	13056

(3) "Governmental health care program" has the same meaning	13057
as in section 4731.65 of the Revised Code.	13058

(4) "Health care facility or location" means a hospital,	13059
clinic, ambulatory surgical facility, office of a health care	13060
professional or associated group of health care professionals,	13061
training institution for health care professionals, or any other	13062
place where medical, dental, or other health-related diagnosis,	13063
care, or treatment is provided to a person.	13064

(5) "Health care professional" means any of the following who	13065
provide medical, dental, or other health-related diagnosis, care,	13066
or treatment:	13067

(a) Physicians authorized under Chapter 4731. of the Revised	13068
Code to practice medicine and surgery or osteopathic medicine and	13069
surgery;	13070

(b) Registered nurses and licensed practical nurses licensed	13071
under Chapter 4723. of the Revised Code and individuals who hold a	13072
certificate of authority issued under that chapter that authorizes	13073
the practice of nursing as a certified registered nurse	13074
anesthetist, clinical nurse specialist, certified nurse-midwife,	13075
or certified nurse practitioner;	13076

(c) Physician assistants authorized to practice under Chapter	13077
4730. of the Revised Code;	13078

(d) Dentists and dental hygienists licensed under Chapter	13079
4715. of the Revised Code;	13080

(e) Physical therapists, physical therapist assistants,	13081
occupational therapists, and occupational therapy assistants	13082
licensed under Chapter 4755. of the Revised Code;	13083

(f) Chiropractors licensed under Chapter 4734. of the Revised	13084
Code;	13085

(g) Optometrists licensed under Chapter 4725. of the Revised	13086
Code;	13087

(h) Podiatrists authorized under Chapter 4731. of the Revised	13088
Code to practice podiatry;	13089

(i) Dietitians licensed under Chapter 4759. of the Revised	13090
Code;	13091

(j) Pharmacists licensed under Chapter 4729. of the Revised	13092
Code;	13093

(k) Emergency medical technicians-basic, emergency medical	13094
technicians-intermediate, and emergency medical	13095
technicians-paramedic, certified under Chapter 4765. of the	13096
Revised Code;	13097

(l) Respiratory care professionals licensed under Chapter	13098
4761. of the Revised Code;	13099

(m) Speech-language pathologists and audiologists licensed	13100
under Chapter 4753. of the Revised Code.	13101

(6) "Health care worker" means a person other than a health	13102
care professional who provides medical, dental, or other	13103
health-related care or treatment under the direction of a health	13104
care professional with the authority to direct that individual's	13105
activities, including medical technicians, medical assistants,	13106
dental assistants, orderlies, aides, and individuals acting in	13107
similar capacities.	13108

(7) "Indigent and uninsured person" means a person who meets	13109
all of the following requirements:	13110

(a) The person's income is not greater than two hundred per	13111
cent of the current poverty line as defined by the United States	13112
office of management and budget and revised in accordance with	13113
section 673(2) of the "Omnibus Budget Reconciliation Act of 1981,"	13114
95 Stat. 511, 42 U.S.C. 9902, as amended.	13115

(b) The person is not eligible to receive medical assistance	13116
under Chapter 5111., nonfederal medical assistance under Chapter	13117
5114. of the Revised Code, disability medical assistance under	13118
Chapter 5115. of the Revised Code, or assistance under any other	13119
governmental health care program.	13120

(c) Either of the following applies:

13121

(i) The person is not a policyholder, certificate holder,	13122
insured, contract holder, subscriber, enrollee, member,	13123
beneficiary, or other covered individual under a health insurance	13124
or health care policy, contract, or plan.	13125

(ii) The person is a policyholder, certificate holder,	13126
insured, contract holder, subscriber, enrollee, member,	13127
beneficiary, or other covered individual under a health insurance	13128
or health care policy, contract, or plan, but the insurer, policy,	13129
contract, or plan denies coverage or is the subject of insolvency	13130
or bankruptcy proceedings in any jurisdiction.	13131

(8) "Nonprofit health care referral organization" means an	13132
entity that is not operated for profit and refers patients to, or	13133
arranges for the provision of, health-related diagnosis, care, or	13134
treatment by a health care professional or health care worker.	13135

(9) "Operation" means any procedure that involves cutting or	13136
otherwise infiltrating human tissue by mechanical means, including	13137
surgery, laser surgery, ionizing radiation, therapeutic	13138
ultrasound, or the removal of intraocular foreign bodies.	13139
"Operation" does not include the administration of medication by	13140
injection, unless the injection is administered in conjunction	13141
with a procedure infiltrating human tissue by mechanical means	13142
other than the administration of medicine by injection.	13143
"Operation" does not include routine dental restorative	13144
procedures, the scaling of teeth, or extractions of teeth that are	13145
not impacted.	13146

(10) "Tort action" means a civil action for damages for	13147
injury, death, or loss to person or property other than a civil	13148
action for damages for a breach of contract or another agreement	13149
between persons or government entities.	13150

(11) "Volunteer" means an individual who provides any	13151
medical, dental, or other health-care related diagnosis, care, or	13152
treatment without the expectation of receiving and without receipt	13153
of any compensation or other form of remuneration from an indigent	13154
and uninsured person, another person on behalf of an indigent and	13155
uninsured person, any health care facility or location, any	13156
nonprofit health care referral organization, or any other person	13157
or government entity.	13158

(12) "Community control sanction" has the same meaning as in	13159
section 2929.01 of the Revised Code.	13160

(13) "Deep sedation" means a drug-induced depression of	13161
consciousness during which a patient cannot be easily aroused but	13162
responds purposefully following repeated or painful stimulation, a	13163
patient's ability to independently maintain ventilatory function	13164
may be impaired, a patient may require assistance in maintaining a	13165
patent airway and spontaneous ventilation may be inadequate, and	13166
cardiovascular function is usually maintained.	13167

(14) "General anesthesia" means a drug-induced loss of	13168
consciousness during which a patient is not arousable, even by	13169
painful stimulation, the ability to independently maintain	13170
ventilatory function is often impaired, a patient often requires	13171
assistance in maintaining a patent airway, positive pressure	13172
ventilation may be required because of depressed spontaneous	13173
ventilation or drug-induced depression of neuromuscular function,	13174
and cardiovascular function may be impaired.	13175

(B)(1) Subject to divisions (F) and (G)(3) of this section, a	13176
health care professional who is a volunteer and complies with	13177
division (B)(2) of this section is not liable in damages to any	13178
person or government entity in a tort or other civil action,	13179
including an action on a medical, dental, chiropractic,	13180
optometric, or other health-related claim, for injury, death, or	13181
loss to person or property that allegedly arises from an action or	13182
omission of the volunteer in the provision to an indigent and	13183
uninsured person of medical, dental, or other health-related	13184
diagnosis, care, or treatment, including the provision of samples	13185
of medicine and other medical products, unless the action or	13186
omission constitutes willful or wanton misconduct.	13187

(2) To qualify for the immunity described in division (B)(1)	13188
of this section, a health care professional shall do all of the	13189
following prior to providing diagnosis, care, or treatment:	13190

(a) Determine, in good faith, that the indigent and uninsured	13191
person is mentally capable of giving informed consent to the	13192
provision of the diagnosis, care, or treatment and is not subject	13193
to duress or under undue influence;	13194

(b) Inform the person of the provisions of this section,	13195
including notifying the person that, by giving informed consent to	13196
the provision of the diagnosis, care, or treatment, the person	13197
cannot hold the health care professional liable for damages in a	13198
tort or other civil action, including an action on a medical,	13199
dental, chiropractic, optometric, or other health-related claim,	13200
unless the action or omission of the health care professional	13201
constitutes willful or wanton misconduct;	13202

(c) Obtain the informed consent of the person and a written	13203
waiver, signed by the person or by another individual on behalf of	13204
and in the presence of the person, that states that the person is	13205
mentally competent to give informed consent and, without being	13206
subject to duress or under undue influence, gives informed consent	13207
to the provision of the diagnosis, care, or treatment subject to	13208
the provisions of this section. A written waiver under division	13209
(B)(2)(c) of this section shall state clearly and in conspicuous	13210
type that the person or other individual who signs the waiver is	13211
signing it with full knowledge that, by giving informed consent to	13212
the provision of the diagnosis, care, or treatment, the person	13213
cannot bring a tort or other civil action, including an action on	13214
a medical, dental, chiropractic, optometric, or other	13215
health-related claim, against the health care professional unless	13216
the action or omission of the health care professional constitutes	13217
willful or wanton misconduct.	13218

(3) A physician or podiatrist who is not covered by medical	13219
malpractice insurance, but complies with division (B)(2) of this	13220
section, is not required to comply with division (A) of section	13221
4731.143 of the Revised Code.	13222

(C) Subject to divisions (F) and (G)(3) of this section,	13223
health care workers who are volunteers are not liable in damages	13224
to any person or government entity in a tort or other civil	13225
action, including an action upon a medical, dental, chiropractic,	13226
optometric, or other health-related claim, for injury, death, or	13227
loss to person or property that allegedly arises from an action or	13228
omission of the health care worker in the provision to an indigent	13229
and uninsured person of medical, dental, or other health-related	13230
diagnosis, care, or treatment, unless the action or omission	13231
constitutes willful or wanton misconduct.	13232

(D) Subject to divisions (F) and (G)(3) of this section, a	13233
nonprofit health care referral organization is not liable in	13234
damages to any person or government entity in a tort or other	13235
civil action, including an action on a medical, dental,	13236
chiropractic, optometric, or other health-related claim, for	13237
injury, death, or loss to person or property that allegedly arises	13238
from an action or omission of the nonprofit health care referral	13239
organization in referring indigent and uninsured persons to, or	13240
arranging for the provision of, medical, dental, or other	13241
health-related diagnosis, care, or treatment by a health care	13242
professional described in division (B)(1) of this section or a	13243
health care worker described in division (C) of this section,	13244
unless the action or omission constitutes willful or wanton	13245
misconduct.	13246

(E) Subject to divisions (F) and (G)(3) of this section and	13247
to the extent that the registration requirements of section	13248
3701.071 of the Revised Code apply, a health care facility or	13249
location associated with a health care professional described in	13250
division (B)(1) of this section, a health care worker described in	13251
division (C) of this section, or a nonprofit health care referral	13252
organization described in division (D) of this section is not	13253
liable in damages to any person or government entity in a tort or	13254
other civil action, including an action on a medical, dental,	13255
chiropractic, optometric, or other health-related claim, for	13256
injury, death, or loss to person or property that allegedly arises	13257
from an action or omission of the health care professional or	13258
worker or nonprofit health care referral organization relative to	13259
the medical, dental, or other health-related diagnosis, care, or	13260
treatment provided to an indigent and uninsured person on behalf	13261
of or at the health care facility or location, unless the action	13262
or omission constitutes willful or wanton misconduct.	13263

(F)(1) Except as provided in division (F)(2) of this section,	13264
the immunities provided by divisions (B), (C), (D), and (E) of	13265
this section are not available to a health care professional,	13266
health care worker, nonprofit health care referral organization,	13267
or health care facility or location if, at the time of an alleged	13268
injury, death, or loss to person or property, the health care	13269
professionals or health care workers involved are providing one of	13270
the following:	13271

(a) Any medical, dental, or other health-related diagnosis,	13272
care, or treatment pursuant to a community service work order	13273
entered by a court under division (B) of section 2951.02 of the	13274
Revised Code or imposed by a court as a community control	13275
sanction;	13276

(b) Performance of an operation to which any one of the	13277
following applies:	13278

(i) The operation requires the administration of deep	13279
sedation or general anesthesia.	13280

(ii) The operation is a procedure that is not typically	13281
performed in an office.	13282

(iii) The individual involved is a health care professional,	13283
and the operation is beyond the scope of practice or the	13284
education, training, and competence, as applicable, of the health	13285
care professional.	13286

(c) Delivery of a baby or any other purposeful termination of	13287
a human pregnancy.	13288

(2) Division (F)(1) of this section does not apply when a	13289
health care professional or health care worker provides medical,	13290
dental, or other health-related diagnosis, care, or treatment that	13291
is necessary to preserve the life of a person in a medical	13292
emergency.	13293

(G)(1) This section does not create a new cause of action or	13294
substantive legal right against a health care professional, health	13295
care worker, nonprofit health care referral organization, or	13296
health care facility or location.	13297

(2) This section does not affect any immunities from civil	13298
liability or defenses established by another section of the	13299
Revised Code or available at common law to which a health care	13300
professional, health care worker, nonprofit health care referral	13301
organization, or health care facility or location may be entitled	13302
in connection with the provision of emergency or other medical,	13303
dental, or other health-related diagnosis, care, or treatment.	13304

(3) This section does not grant an immunity from tort or	13305
other civil liability to a health care professional, health care	13306
worker, nonprofit health care referral organization, or health	13307
care facility or location for actions that are outside the scope	13308
of authority of health care professionals or health care workers.	13309

(4) This section does not affect any legal responsibility of	13310
a health care professional, health care worker, or nonprofit	13311
health care referral organization to comply with any applicable	13312
law of this state or rule of an agency of this state.	13313

(5) This section does not affect any legal responsibility of	13314
a health care facility or location to comply with any applicable	13315
law of this state, rule of an agency of this state, or local code,	13316
ordinance, or regulation that pertains to or regulates building,	13317
housing, air pollution, water pollution, sanitation, health, fire,	13318
zoning, or safety.	13319

Sec. 2744.05.  Notwithstanding any other provisions of the	13320
Revised Code or rules of a court to the contrary, in an action	13321
against a political subdivision to recover damages for injury,	13322
death, or loss to person or property caused by an act or omission	13323
in connection with a governmental or proprietary function:	13324

(A) Punitive or exemplary damages shall not be awarded.

13325

(B)(1) If a claimant receives or is entitled to receive	13326
benefits for injuries or loss allegedly incurred from a policy or	13327
policies of insurance or any other source, the benefits shall be	13328
disclosed to the court, and the amount of the benefits shall be	13329
deducted from any award against a political subdivision recovered	13330
by that claimant. No insurer or other person is entitled to bring	13331
an action under a subrogation provision in an insurance or other	13332
contract against a political subdivision with respect to those	13333
benefits.	13334

The amount of the benefits shall be deducted from an award	13335
against a political subdivision under division (B)(1) of this	13336
section regardless of whether the claimant may be under an	13337
obligation to pay back the benefits upon recovery, in whole or in	13338
part, for the claim. A claimant whose benefits have been deducted	13339
from an award under division (B)(1) of this section is not	13340
considered fully compensated and shall not be required to	13341
reimburse a subrogated claim for benefits deducted from an award	13342
pursuant to division (B)(1) of this section.	13343

(2) Nothing in division (B)(1) of this section shall be	13344
construed to do either of the following:	13345

(a) Limit the rights of a beneficiary under a life insurance	13346
policy or the rights of sureties under fidelity or surety bonds;	13347

(b) Prohibit the department of job and family services from	13348
recovering from the political subdivision, pursuant to section	13349
5101.58 of the Revised Code, the cost of medical assistance	13350
benefits provided under Chapter 5107., 5111., 5114., or 5115. of	13351
the Revised Code.	13352

(C)(1) There shall not be any limitation on compensatory	13353
damages that represent the actual loss of the person who is	13354
awarded the damages. However, except in wrongful death actions	13355
brought pursuant to Chapter 2125. of the Revised Code, damages	13356
that arise from the same cause of action, transaction or	13357
occurrence, or series of transactions or occurrences and that do	13358
not represent the actual loss of the person who is awarded the	13359
damages shall not exceed two hundred fifty thousand dollars in	13360
favor of any one person. The limitation on damages that do not	13361
represent the actual loss of the person who is awarded the damages	13362
provided in this division does not apply to court costs that are	13363
awarded to a plaintiff, or to interest on a judgment rendered in	13364
favor of a plaintiff, in an action against a political	13365
subdivision.	13366

(2) As used in this division, "the actual loss of the person	13367
who is awarded the damages" includes all of the following:	13368

(a) All wages, salaries, or other compensation lost by the	13369
person injured as a result of the injury, including wages,	13370
salaries, or other compensation lost as of the date of a judgment	13371
and future expected lost earnings of the person injured;	13372

(b) All expenditures of the person injured or another person	13373
on behalf of the person injured for medical care or treatment, for	13374
rehabilitation services, or for other care, treatment, services,	13375
products, or accommodations that were necessary because of the	13376
injury;	13377

(c) All expenditures to be incurred in the future, as	13378
determined by the court, by the person injured or another person	13379
on behalf of the person injured for medical care or treatment, for	13380
rehabilitation services, or for other care, treatment, services,	13381
products, or accommodations that will be necessary because of the	13382
injury;	13383

(d) All expenditures of a person whose property was injured	13384
or destroyed or of another person on behalf of the person whose	13385
property was injured or destroyed in order to repair or replace	13386
the property that was injured or destroyed;	13387

(e) All expenditures of the person injured or of the person	13388
whose property was injured or destroyed or of another person on	13389
behalf of the person injured or of the person whose property was	13390
injured or destroyed in relation to the actual preparation or	13391
presentation of the claim involved;	13392

(f) Any other expenditures of the person injured or of the	13393
person whose property was injured or destroyed or of another	13394
person on behalf of the person injured or of the person whose	13395
property was injured or destroyed that the court determines	13396
represent an actual loss experienced because of the personal or	13397
property injury or property loss.	13398

"The actual loss of the person who is awarded the damages"	13399
does not include any fees paid or owed to an attorney for any	13400
services rendered in relation to a personal or property injury or	13401
property loss, and does not include any damages awarded for pain	13402
and suffering, for the loss of society, consortium, companionship,	13403
care, assistance, attention, protection, advice, guidance,	13404
counsel, instruction, training, or education of the person	13405
injured, for mental anguish, or for any other intangible loss.	13406

Sec. 2913.40.  (A) As used in this section:

13407

(1) "Statement or representation" means any oral, written,	13408
electronic, electronic impulse, or magnetic communication that is	13409
used to identify an item of goods or a service for which	13410
reimbursement may be made under the medical assistance program or	13411
that states income and expense and is or may be used to determine	13412
a rate of reimbursement under the medical assistance program.	13413

(2) "Medical assistance program" means the program	13414
established by the department of job and family services to	13415
provide medical assistance under section 5111.01 of the Revised	13416
Code and the medicaid program of Title XIX of the "Social Security	13417
Act," 49 Stat. 620 (1935), 42 U.S.C. 301, as amended.	13418

(3) "Provider" means any person who has signed a provider	13419
agreement with the department of job and family services to	13420
provide goods or services pursuant to the medical assistance	13421
program or any person who has signed an agreement with a party to	13422
such a provider agreement under which the person agrees to provide	13423
goods or services that are reimbursable under the medical	13424
assistance program.	13425

(4) "Provider agreement" means an oral or written agreement	13426
between the department of job and family services and a person in	13427
which the person agrees to provide goods or services under the	13428
medical assistance program.	13429

(5) "Recipient" means any individual who receives goods or	13430
services from a provider under the medical assistance program.	13431

(6) "Records" means any medical, professional, financial, or	13432
business records relating to the treatment or care of any	13433
recipient, to goods or services provided to any recipient, or to	13434
rates paid for goods or services provided to any recipient and any	13435
records that are required by the rules of the director of job and	13436
family services to be kept for the medical assistance program.	13437

(B) No person shall knowingly make or cause to be made a	13438
false or misleading statement or representation for use in	13439
obtaining reimbursement from the medical assistance program.	13440

(C) No person, with purpose to commit fraud or knowing that	13441
the person is facilitating a fraud, shall do either of the	13442
following:	13443

(1) Contrary to the terms of the person's provider agreement,	13444
charge, solicit, accept, or receive for goods or services that the	13445
person provides under the medical assistance program any property,	13446
money, or other consideration in addition to the amount of	13447
reimbursement under the medical assistance program and the	13448
person's provider agreement for the goods or services and any	13449
deductibles or co-paymentscost-sharing expenses authorized by	13450
section 5111.0112 of the Revised Code or rules adopted pursuant to	13451
section 5111.01, 5111.011, or 5111.02 of the Revised Code.	13452

(2) Solicit, offer, or receive any remuneration, other than	13453
any deductibles or co-paymentscost-sharing expenses authorized by	13454
section 5111.0112 of the Revised Code or rules adopted under	13455
section 5111.01, 5111.011, or 5111.02 of the Revised Code, in cash	13456
or in kind, including, but not limited to, a kickback or rebate,	13457
in connection with the furnishing of goods or services for which	13458
whole or partial reimbursement is or may be made under the medical	13459
assistance program.	13460

(D) No person, having submitted a claim for or provided goods	13461
or services under the medical assistance program, shall do either	13462
of the following for a period of at least six years after a	13463
reimbursement pursuant to that claim, or a reimbursement for those	13464
goods or services, is received under the medical assistance	13465
program:	13466

(1) Knowingly alter, falsify, destroy, conceal, or remove any	13467
records that are necessary to fully disclose the nature of all	13468
goods or services for which the claim was submitted, or for which	13469
reimbursement was received, by the person;	13470

(2) Knowingly alter, falsify, destroy, conceal, or remove any	13471
records that are necessary to disclose fully all income and	13472
expenditures upon which rates of reimbursements were based for the	13473
person.	13474

(E) Whoever violates this section is guilty of medicaid	13475
fraud. Except as otherwise provided in this division, medicaid	13476
fraud is a misdemeanor of the first degree. If the value of	13477
property, services, or funds obtained in violation of this section	13478
is five hundred dollars or more and is less than five thousand	13479
dollars, medicaid fraud is a felony of the fifth degree. If the	13480
value of property, services, or funds obtained in violation of	13481
this section is five thousand dollars or more and is less than one	13482
hundred thousand dollars, medicaid fraud is a felony of the fourth	13483
degree. If the value of the property, services, or funds obtained	13484
in violation of this section is one hundred thousand dollars or	13485
more, medicaid fraud is a felony of the third degree.	13486

(F) Upon application of the governmental agency, office, or	13487
other entity that conducted the investigation and prosecution in a	13488
case under this section, the court shall order any person who is	13489
convicted of a violation of this section for receiving any	13490
reimbursement for furnishing goods or services under the medical	13491
assistance program to which the person is not entitled to pay to	13492
the applicant its cost of investigating and prosecuting the case.	13493
The costs of investigation and prosecution that a defendant is	13494
ordered to pay pursuant to this division shall be in addition to	13495
any other penalties for the receipt of that reimbursement that are	13496
provided in this section, section 5111.03 of the Revised Code, or	13497
any other provision of law.	13498

(G) The provisions of this section are not intended to be	13499
exclusive remedies and do not preclude the use of any other	13500
criminal or civil remedy for any act that is in violation of this	13501
section.	13502

Sec. 2921.42.  (A) No public official shall knowingly do any	13503
of the following:	13504

(1) Authorize, or employ the authority or influence of his	13505
the public official's office to secure authorization of any public	13506
contract in which hethe public official, a member of histhe	13507
public official's family, or any of histhe public official's	13508
business associates has an interest;	13509

(2) Authorize, or employ the authority or influence of his	13510
the public official's office to secure the investment of public	13511
funds in any share, bond, mortgage, or other security, with	13512
respect to which hethe public official, a member of histhe	13513
public official's family, or any of histhe public official's	13514
business associates either has an interest, is an underwriter, or	13515
receives any brokerage, origination, or servicing fees;	13516

(3) During histhe public official's term of office or within	13517
one year thereafter, occupy any position of profit in the	13518
prosecution of a public contract authorized by himthe public	13519
official or by a legislative body, commission, or board of which	13520
hethe public official was a member at the time of authorization,	13521
unless the contract was let by competitive bidding to the lowest	13522
and best bidder;	13523

(4) Have an interest in the profits or benefits of a public	13524
contract entered into by or for the use of the political	13525
subdivision or governmental agency or instrumentality with which	13526
hethe public official is connected;	13527

(5) Have an interest in the profits or benefits of a public	13528
contract that is not let by competitive bidding if required by law	13529
and that involves more than one hundred fifty dollars.	13530

(B) In the absence of bribery or a purpose to defraud, a	13531
public official, member of hisa public official's family, or any	13532
of hisa public official's business associates shall not be	13533
considered as having an interest in a public contract or the	13534
investment of public funds, if all of the following apply:	13535

(1) The interest of that person is limited to owning or	13536
controlling shares of the corporation, or being a creditor of the	13537
corporation or other organization, that is the contractor on the	13538
public contract involved, or that is the issuer of the security in	13539
which public funds are invested;	13540

(2) The shares owned or controlled by that person do not	13541
exceed five per cent of the outstanding shares of the corporation,	13542
and the amount due that person as creditor does not exceed five	13543
per cent of the total indebtedness of the corporation or other	13544
organization;	13545

(3) That person, prior to the time the public contract is	13546
entered into, files with the political subdivision or governmental	13547
agency or instrumentality involved, an affidavit giving histhat	13548
person's exact status in connection with the corporation or other	13549
organization.	13550

(C) This section does not apply to a public contract in which	13551
a public official, member of hisa public official's family, or	13552
one of hisa public official's business associates has an	13553
interest, when all of the following apply:	13554

(1) The subject of the public contract is necessary supplies	13555
or services for the political subdivision or governmental agency	13556
or instrumentality involved;	13557

(2) The supplies or services are unobtainable elsewhere for	13558
the same or lower cost, or are being furnished to the political	13559
subdivision or governmental agency or instrumentality as part of a	13560
continuing course of dealing established prior to the public	13561
official's becoming associated with the political subdivision or	13562
governmental agency or instrumentality involved;	13563

(3) The treatment accorded the political subdivision or	13564
governmental agency or instrumentality is either preferential to	13565
or the same as that accorded other customers or clients in similar	13566
transactions;	13567

(4) The entire transaction is conducted at arm's length, with	13568
full knowledge by the political subdivision or governmental agency	13569
or instrumentality involved, of the interest of the public	13570
official, member of histhe public official's family, or business	13571
associate, and the public official takes no part in the	13572
deliberations or decision of the political subdivision or	13573
governmental agency or instrumentality with respect to the public	13574
contract.	13575

(D) Division (A)(4) of this section does not prohibit	13576
participation by a public employee in any housing program funded	13577
by public moneys if the public employee otherwise qualifies for	13578
the program and does not use the authority or influence of histhe	13579
public employee's office or employment to secure benefits from the	13580
program and if the moneys are to be used on the primary residence	13581
of the public employee. Such participation does not constitute an	13582
unlawful interest in a public contract in violation of this	13583
section.	13584

(E) Whoever violates this section is guilty of having an	13585
unlawful interest in a public contract. Violation of division	13586
(A)(1) or (2) of this section is a felony of the fourth degree.	13587
Violation of division (A)(3), (4), or (5) of this section is a	13588
misdemeanor of the first degree.	13589

(F) It is not a violation of this section for a prosecuting	13590
attorney to appoint assistants and employees in accordance with	13591
sections 309.06 and 2921.421 of the Revised Code, for a chief	13592
legal officer of a municipal corporation or an official designated	13593
as prosecutor in a municipal corporation to appoint assistants and	13594
employees in accordance with sections 733.621 and 2921.421 of the	13595
Revised Code, or for a township law director appointed under	13596
section 504.15 of the Revised Code to appoint assistants and	13597
employees in accordance with sections 504.151 and 2921.421 of the	13598
Revised Code.	13599

(F)(G) This section does not apply to a public contract in	13600
which a township trustee in a township with a population of five	13601
thousand or less in its unincorporated area, a member of the	13602
township trustee's family, or one of histhe township trustee's	13603
business associates has an interest, if all of the following	13604
apply:	13605

(1) The subject of the public contract is necessary supplies	13606
or services for the township and the amount of the contract is	13607
less than five thousand dollars per year;	13608

(2) The supplies or services are being furnished to the	13609
township as part of a continuing course of dealing established	13610
before the township trustee held that office with the township;	13611

(3) The treatment accorded the township is either	13612
preferential to or the same as that accorded other customers or	13613
clients in similar transactions;	13614

(4) The entire transaction is conducted with full knowledge	13615
by the township of the interest of the township trustee, member of	13616
histhe township trustee's family, or histhe township trustee's	13617
business associate.	13618

(G)(H) Any public contract in which a public official, a	13619
member of the public official's family, or any of the public	13620
official's business associates has an interest in violation of	13621
this section is void and unenforceable. Any contract securing the	13622
investment of public funds in which a public official, a member of	13623
the public official's family, or any of the public official's	13624
business associates has an interest, is an underwriter, or	13625
receives any brokerage, origination, or servicing fees and that	13626
was entered into in violation of this section is void and	13627
unenforceable.	13628

(I) As used in this section:

13629

(1) "Public contract" means any of the following:

13630

(a) The purchase or acquisition, or a contract for the	13631
purchase or acquisition, of property or services by or for the use	13632
of the state, any of its political subdivisions, or any agency or	13633
instrumentality of either, including the employment of an	13634
individual by the state, any of its political subdivisions, or any	13635
agency or instrumentality of either;	13636

(b) A contract for the design, construction, alteration,	13637
repair, or maintenance of any public property.	13638

(2) "Chief legal officer" has the same meaning as in section	13639
733.621 of the Revised Code.	13640

Sec. 2927.023.  (A) As used in this section "authorized	13641
recipient of tobacco products" means a person who is:	13642

(1) Licensed as a cigarette wholesale dealer under section	13643
5743.15 of the Revised Code;	13644

(2) Licensed as a distributor of tobacco products under	13645
section 5743.61 of the Revised Coderetail dealer as long as the	13646
person purchases cigarettes with the appropriate tax stamp	13647
affixed;	13648

(3) An export warehouse proprietor as defined in section 5702	13649
of the Internal Revenue Code;	13650

(4) An operator of a customs bonded warehouse under 19 U.S.C.	13651
1311 or 19 U.S.C. 1555;	13652

(5) An officer, employee, or agent of the federal government	13653
or of this state acting in the person's official capacity;	13654

(6) A department, agency, instrumentality, or political	13655
subdivision of the federal government or of this state;	13656

(7) A person having a consent for consumer shipment issued by	13657
the tax commissioner under section 5743.71 of the Revised Code.	13658

The purpose of this section is to prevent the sale of	13659
cigarettes to minors and to ensure compliance with the Master	13660
Settlement Agreement, as defined in section 1346.01 of the Revised	13661
Code.	13662

(B)(1) No person shall cause to be shipped any cigarettes to	13663
any person in this state other than an authorized recipient of	13664
tobacco products.	13665

(2) No common carrier, contract carrier, or other person	13666
shall knowingly transport cigarettes to any person in this state	13667
that the carrier or other person reasonably believes is not an	13668
authorized recipient of tobacco products. If cigarettes are	13669
transported to a home or residence, it shall be presumed that the	13670
common carrier, contract carrier, or other person knew that the	13671
person to whom the cigarettes were delivered was not an authorized	13672
recipient of tobacco products.	13673

(C) No person engaged in the business of selling cigarettes	13674
who ships or causes to be shipped cigarettes to any person in this	13675
state in any container or wrapping other than the original	13676
container or wrapping of the cigarettes shall fail to plainly and	13677
visibly mark the exterior of the container or wrapping in which	13678
the cigarettes are shipped with the words "cigarettes."	13679

(D) A court shall impose a fine of up to one thousand dollars	13680
for each violation of division (B)(1), (B)(2), or (C) of this	13681
section.	13682

Sec. 2951.02.  (A) During the period of a misdemeanor	13683
offender's community control sanction or during the period of a	13684
felony offender's nonresidential sanction, authorized probation	13685
officers who are engaged within the scope of their supervisory	13686
duties or responsibilities may search, with or without a warrant,	13687
the person of the offender, the place of residence of the	13688
offender, and a motor vehicle, another item of tangible or	13689
intangible personal property, or other real property in which the	13690
offender has a right, title, or interest or for which the offender	13691
has the express or implied permission of a person with a right,	13692
title, or interest to use, occupy, or possess if the probation	13693
officers have reasonable grounds to believe that the offender is	13694
not abiding by the law or otherwise is not complying with the	13695
conditions of the misdemeanor offender's community control	13696
sanction or the conditions of the felony offender's nonresidential	13697
sanction. If a felony offender who is sentenced to a	13698
nonresidential sanction is under the general control and	13699
supervision of the adult parole authority, as described in	13700
division (A)(2)(a) of section 2929.15 of the Revised Code, adult	13701
parole authority field officers with supervisory responsibilities	13702
over the felony offender shall have the same search authority	13703
relative to the felony offender during the period of the sanction	13704
that is described under this division for probation officers. The	13705
court that places the misdemeanor offender under a community	13706
control sanction pursuant to section 2929.25 of the Revised Code	13707
or that sentences the felony offender to a nonresidential sanction	13708
pursuant to section 2929.17 of the Revised Code shall provide the	13709
offender with a written notice that informs the offender that	13710
authorized probation officers or adult parole authority field	13711
officers with supervisory responsibilities over the offender who	13712
are engaged within the scope of their supervisory duties or	13713
responsibilities may conduct those types of searches during the	13714
period of community control sanction or the nonresidential	13715
sanction if they have reasonable grounds to believe that the	13716
offender is not abiding by the law or otherwise is not complying	13717
with the conditions of the offender's community control sanction	13718
or nonresidential sanction.	13719

(B) If an offender is convicted of or pleads guilty to a	13720
misdemeanor, the court may require the offender, as a condition of	13721
the offender's sentence of a community control sanction, to	13722
perform supervised community service work in accordance with this	13723
division. If an offender is convicted of or pleads guilty to a	13724
felony, the court, pursuant to sections 2929.15 and 2929.17 of the	13725
Revised Code, may impose a sanction that requires the offender to	13726
perform supervised community service work in accordance with this	13727
division. The supervised community service work shall be under the	13728
authority of health districts, park districts, counties, municipal	13729
corporations, townships, other political subdivisions of the	13730
state, or agencies of the state or any of its political	13731
subdivisions, or under the authority of charitable organizations	13732
that render services to the community or its citizens, in	13733
accordance with this division. The court may require an offender	13734
who is ordered to perform the work to pay to it a reasonable fee	13735
to cover the costs of the offender's participation in the work,	13736
including, but not limited to, the costs of procuring a policy or	13737
policies of liability insurance to cover the period during which	13738
the offender will perform the work.	13739

A court may permit any offender convicted of a felony or a	13740
misdemeanor to satisfy the payment of a fine imposed for the	13741
offense pursuant to section 2929.18 or 2929.28 of the Revised Code	13742
by performing supervised community service work as described in	13743
this division if the offender requests an opportunity to satisfy	13744
the payment by this means and if the court determines that the	13745
offender is financially unable to pay the fine.	13746

The supervised community service work that may be imposed	13747
under this division shall be subject to the following limitations:	13748

(1) The court shall fix the period of the work and, if	13749
necessary, shall distribute it over weekends or over other	13750
appropriate times that will allow the offender to continue at the	13751
offender's occupation or to care for the offender's family. The	13752
period of the work as fixed by the court shall not exceed in the	13753
aggregate the number of hours of community service imposed by the	13754
court pursuant to section 2929.17 or 2929.27 of the Revised Code.	13755

(2) An agency, political subdivision, or charitable	13756
organization must agree to accept the offender for the work before	13757
the court requires the offender to perform the work for the	13758
entity. A court shall not require an offender to perform	13759
supervised community service work for an agency, political	13760
subdivision, or charitable organization at a location that is an	13761
unreasonable distance from the offender's residence or domicile,	13762
unless the offender is provided with transportation to the	13763
location where the work is to be performed.	13764

(3) A court may enter into an agreement with a county	13765
department of job and family services for the management,	13766
placement, and supervision of offenders eligible for community	13767
service work in work participation activities, developmental	13768
activities, and alternative work activities under sections 5107.40	13769
to 5107.69established by rules authorized by section 5107.40 of	13770
the Revised Code. If a court and a county department of job and	13771
family services have entered into an agreement of that nature, the	13772
clerk of that court is authorized to pay directly to the county	13773
department all or a portion of the fees collected by the court	13774
pursuant to this division in accordance with the terms of its	13775
agreement.	13776

(4) Community service work that a court requires under this	13777
division shall be supervised by an official of the agency,	13778
political subdivision, or charitable organization for which the	13779
work is performed or by a person designated by the agency,	13780
political subdivision, or charitable organization. The official or	13781
designated person shall be qualified for the supervision by	13782
education, training, or experience, and periodically shall report,	13783
in writing, to the court and to the offender's probation officer	13784
concerning the conduct of the offender in performing the work.	13785

(5) The total of any period of supervised community service	13786
work imposed on an offender under division (B) of this section	13787
plus the period of all other sanctions imposed pursuant to	13788
sections 2929.15, 2929.16, 2929.17, and 2929.18 of the Revised	13789
Code for a felony, or pursuant to sections 2929.25, 2929.26,	13790
2929.27, and 2929.28 of the Revised Code for a misdemeanor, shall	13791
not exceed five years.	13792

(C)(1) If an offender is convicted of a violation of section	13793
4511.19 of the Revised Code, a municipal ordinance relating to	13794
operating a vehicle while under the influence of alcohol, a drug	13795
of abuse, or a combination of them, or a municipal ordinance	13796
relating to operating a vehicle with a prohibited concentration of	13797
alcohol, a controlled substance, or a metabolite of a controlled	13798
substance in the whole blood, blood serum or plasma, breath, or	13799
urine, the court may require, as a condition of a community	13800
control sanction, any suspension of a driver's or commercial	13801
driver's license or permit or nonresident operating privilege, and	13802
all other penalties provided by law or by ordinance, that the	13803
offender operate only a motor vehicle equipped with an ignition	13804
interlock device that is certified pursuant to section 4510.43 of	13805
the Revised Code.	13806

(2) If a court requires an offender, as a condition of a	13807
community control sanction pursuant to division (C)(1) of this	13808
section, to operate only a motor vehicle equipped with an ignition	13809
interlock device that is certified pursuant to section 4510.43 of	13810
the Revised Code, the offender immediately shall surrender the	13811
offender's driver's or commercial driver's license or permit to	13812
the court. Upon the receipt of the offender's license or permit,	13813
the court shall issue an order authorizing the offender to operate	13814
a motor vehicle equipped with a certified ignition interlock	13815
device, deliver the offender's license or permit to the bureau of	13816
motor vehicles, and include in the abstract of the case forwarded	13817
to the bureau pursuant to section 4510.036 of the Revised Code the	13818
conditions of the community control sanction imposed pursuant to	13819
division (C)(1) of this section. The court shall give the offender	13820
a copy of its order, and that copy shall be used by the offender	13821
in lieu of a driver's or commercial driver's license or permit	13822
until the bureau issues a restricted license to the offender.	13823

(3) Upon receipt of an offender's driver's or commercial	13824
driver's license or permit pursuant to division (C)(2) of this	13825
section, the bureau of motor vehicles shall issue a restricted	13826
license to the offender. The restricted license shall be identical	13827
to the surrendered license, except that it shall have printed on	13828
its face a statement that the offender is prohibited from	13829
operating a motor vehicle that is not equipped with an ignition	13830
interlock device that is certified pursuant to section 4510.43 of	13831
the Revised Code. The bureau shall deliver the offender's	13832
surrendered license or permit to the court upon receipt of a court	13833
order requiring it to do so, or reissue the offender's license or	13834
permit under section 4510.52 of the Revised Code if the registrar	13835
destroyed the offender's license or permit under that section. The	13836
offender shall surrender the restricted license to the court upon	13837
receipt of the offender's surrendered license or permit.	13838

(4) If an offender violates a requirement of the court	13839
imposed under division (C)(1) of this section, the court may	13840
impose a class seven suspension of the offender's driver's or	13841
commercial driver's license or permit or nonresident operating	13842
privilege from the range specified in division (A)(7) of section	13843
4510.02 of the Revised Code. On a second or subsequent violation,	13844
the court may impose a class four suspension of the offender's	13845
driver's or commercial driver's license or permit or nonresident	13846
operating privilege from the range specified in division (A)(4) of	13847
section 4510.02 of the Revised Code.	13848

Sec. 3111.04.  (A) An action to determine the existence or	13849
nonexistence of the father and child relationship may be brought	13850
by the child or the child's personal representative, the child's	13851
mother or her personal representative, a man alleged or alleging	13852
himself to be the child's father, the child support enforcement	13853
agency of the county in which the child resides if the child's	13854
mother, father, or alleged father is a recipient of public	13855
assistance or of services under Title IV-D of the "Social Security	13856
Act," 88 Stat. 2351 (1975), 42 U.S.C.A. 651, as amended, or the	13857
alleged father's personal representative.	13858

(B) An agreement does not bar an action under this section.

13859

(C) If an action under this section is brought before the	13860
birth of the child and if the action is contested, all	13861
proceedings, except service of process and the taking of	13862
depositions to perpetuate testimony, may be stayed until after the	13863
birth.	13864

(D) A recipient of public assistance or of services under	13865
Title IV-D of the "Social Security Act," 88 Stat. 2351 (1975), 42	13866
U.S.C.A. 651, as amended, shall cooperate with the child support	13867
enforcement agency of the county in which a child resides to	13868
obtain an administrative determination pursuant to sections	13869
3111.38 to 3111.54 of the Revised Code, or, if necessary, a court	13870
determination pursuant to sections 3111.01 to 3111.18 of the	13871
Revised Code, of the existence or nonexistence of a parent and	13872
child relationship between the father and the child. If the	13873
recipient fails to cooperate, the agency may commence an action to	13874
determine the existence or nonexistence of a parent and child	13875
relationship between the father and the child pursuant to sections	13876
3111.01 to 3111.18 of the Revised Code.	13877

(E) As used in this section, "public assistance" means	13878
medical assistance under Chapter 5111. of the Revised Code,	13879
nonfederal medical assistance under Chapter 5114. of the Revised	13880
Code, assistance under Chapter 5107. of the Revised Code,	13881
disability financial assistance under Chapter 5115. of the Revised	13882
Code, or disability medical assistance under Chapter 5115. of the	13883
Revised Code.	13884

Sec. 3113.06.  No father, or mother when she is charged with	13885
the maintenance, of a child under eighteen years of age, or a	13886
mentally or physically handicapped child under age twenty-one, who	13887
is legally a ward of a public children services agency or is the	13888
recipient of aid pursuant to Chapter 5107., 5114., or 5115. of the	13889
Revised Code, shall neglect or refuse to pay such agency the	13890
reasonable cost of maintaining such child when such father or	13891
mother is able to do so by reason of property, labor, or earnings.	13892

An offense under this section shall be held committed in the	13893
county in which the agency is located. The agency shall file	13894
charges against any parent who violates this section, unless the	13895
agency files charges under section 2919.21 of the Revised Code, or	13896
unless charges of nonsupport are filed by a relative or guardian	13897
of the child, or unless an action to enforce support is brought	13898
under Chapter 3115. of the Revised Code.	13899

Sec. 3113.07.  As used in this section, "executive director"	13900
has the same meaning as in section 5153.01 of the Revised Code.	13901

Sentence may be suspended, if a person, after conviction	13902
under section 3113.06 of the Revised Code and before sentence	13903
thereunder, appears before the court of common pleas in which such	13904
conviction took place and enters into bond to the state in a sum	13905
fixed by the court at not less than five hundred dollars, with	13906
sureties approved by such court, conditioned that such person will	13907
pay, so long as the child remains a ward of the public children	13908
services agency or a recipient of aid pursuant to Chapter 5107.,	13909
5114., or 5115. of the Revised Code, to the executive director	13910
thereof or to a trustee to be named by the court, for the benefit	13911
of such agency or if the child is a recipient of aid pursuant to	13912
Chapter 5107., 5114., or 5115. of the Revised Code, to the county	13913
department of job and family services, the reasonable cost of	13914
keeping such child. The amount of such costs and the time of	13915
payment shall be fixed by the court.	13916

The court, in accordance with sections 3119.29 to 3119.56 of	13917
the Revised Code, shall include in each support order made under	13918
this section the requirement that one or both of the parents	13919
provide for the health care needs of the child to the satisfaction	13920
of the court.	13921

Sec. 3119.022.  When a court or child support enforcement	13922
agency calculates the amount of child support to be paid pursuant	13923
to a child support order in a proceeding in which one parent is	13924
the residential parent and legal custodian of all of the children	13925
who are the subject of the child support order or in which the	13926
court issues a shared parenting order, the court or agency shall	13927
use a worksheet identical in content and form to the following:	13928

CHILD SUPPORT COMPUTATION WORKSHEET

13929

SOLE RESIDENTIAL PARENT OR SHARED PARENTING ORDER

13930

Name of parties ................................................

13931

Case No. .......................................................

13932

Number of minor children .......................................

13933

The following parent was designated as residential parent and	13934
legal custodian: ...... mother ...... father ...... shared	13935

		Column I		Column II		Column III		13936
		Father		Mother		Combined		13937
INCOME:								13938
1.a.	Annual gross income from							13939
	employment or, when							13940
	determined appropriate							13941
	by the court or agency,							13942
	average annual gross income							13943
	from employment over a							13944
	reasonable period of years.							13945
	(Exclude overtime, bonuses,							13946
	self-employment income, or							13947
	commissions)...............	$......		$......				13948
b.	Amount of overtime,							13949
	bonuses, and commissions							13950
	(year 1 representing the							13951
	most recent year)							13952

Father		Mother		13953
Yr. 3 $..........		Yr. 3 $..........		13954
(Three years ago)		(Three years ago)		13955
Yr. 2 $..........		Yr. 2 $..........		13956
(Two years ago)		(Two years ago)		13957
Yr. 1 $..........		Yr. 1 $..........		13958
(Last calendar year)		(Last calendar year)		13959
Average $.........		Average $.........		13960

	(Include in Col. I and/or							13961
	Col. II the average of the							13962
	three years or the year 1							13963
	amount, whichever is less,							13964
	if there exists a reasonable							13965
	expectation that the total							13966
	earnings from overtime and/or							13967
	bonuses during the current							13968
	calendar year will meet or							13969
	exceed the amount that is							13970
	the lower of the average							13971
	of the three years or the							13972
	year 1 amount. If, however,							13973
	there exists a reasonable							13974
	expectation that the total							13975
	earnings from overtime/							13976
	bonuses during the current							13977
	calendar year will be less							13978
	than the lower of the average							13979
	of the 3 years or the year 1							13980
	amount, include only the							13981
	amount reasonably expected							13982
	to be earned this year.)...	$......		$......				13983
								13984
2.	For self-employment income:							13985
a.	Gross receipts from							13986
	business...................	$......		$......				13987
b.	Ordinary and necessary							13988
	business expenses..........	$......		$......				13989
c.	5.6% of adjusted gross							13990
	income or the actual							13991
	marginal difference between							13992
	the actual rate paid by the							13993
	self-employed individual							13994
	and the F.I.C.A. rate .....	$......		$......				13995
d.	Adjusted gross income from							13996
	self-employment (subtract							13997
	the sum of 2b and 2c from							13998
	2a)........................	$......		$......				13999
								14000
3.	Annual income from interest							14001
	and dividends (whether or							14002
	not taxable)...............	$......		$......				14003
								14004
4.	Annual income from							14005
	unemployment compensation...	$......		$......				14006
								14007
5.	Annual income from workers'							14008
	compensation, disability							14009
	insurance benefits, or social							14010
	security disability/							14011
	retirement benefits........	$......		$......				14012
								14013
6.	Other annual income							14014
	(identify).................	$......		$......				14015
								14016
7.a.	Total annual gross income							14017
	(add lines 1a, 1b, 2d, and							14018
	3-6).......................	$......		$......				14019
b.	Health care maximum (multiply							14020
	line 7a by 5%)	$......		$......				14021
								14022
ADJUSTMENTS TO INCOME:								14023
8.	Adjustment for minor children							14024
	born to or adopted by either							14025
	parent and another parent who							14026
	are living with this parent;							14027
	adjustment does not apply							14028
	to stepchildren (number of							14029
	children times federal income							14030
	tax exemption less child							14031
	support received, not to							14032
	exceed the federal tax							14033
	exemption).................	$......		$......				14034
								14035
9.	Annual court-ordered support							14036
	paid for other children....	$......		$......				14037
								14038
10.	Annual court-ordered spousal							14039
	support paid to any spouse							14040
	or former spouse...........	$......		$......				14041
								14042
11.	Amount of local income taxes							14043
	actually paid or estimated							14044
	to be paid.................	$......		$......				14045
								14046
12.	Mandatory work-related							14047
	deductions such as union							14048
	dues, uniform fees, etc.							14049
	(not including taxes, social							14050
	security, or retirement)...	$......		$......				14051
								14052
13.	Total gross income							14053
	adjustments (add lines							14054
	8 through 12)..............	$......		$......				14055
								14056
14.	Adjusted annual gross							14057
	income (subtract line 13							14058
	from line 7a)..............	$......		$......				14059
								14060
15.	Combined annual income that							14061
	is basis for child support							14062
	order (add line 14, Col. I							14063
	and Col. II)................					$......		14064
								14065
16.	Percentage of parent's							14066
	income to total income							14067
a.	Father (divide line 14,							14068
	Col. I, by line 15, Col.							14069
	III).......................%							14070
b.	Mother (divide line 14,							14071
	Col. II, by line 15, Col.							14072
	III).......................%							14073
								14074
17.	Basic combined child							14075
	support obligation (refer							14076
	to schedule, first column,							14077
	locate the amount nearest							14078
	to the amount on line 15,							14079
	Col. III, then refer to							14080
	column for number of							14081
	children in this family.							14082
	If the income of the							14083
	parents is more than one							14084
	sum but less than another,							14085
	you may calculate the							14086
	difference.)...............					$......		14087
								14088
18.	Annual support obligation per parent							14089
a.	Father (multiply line 17,							14090
	Col. III, by line 16a).....	$......						14091
b.	Mother (multiply line 17,							14092
	Col. III, by line 16b).....			$......				14093
								14094
19.	Annual child care expenses							14095
	for children who are the							14096
	subject of this order that							14097
	are work-, employment							14098
	training-, or education-							14099
	related, as approved by							14100
	the court or agency							14101
	(deduct tax credit from							14102
	annual cost, whether or							14103
	not claimed)..............	$......		$......				14104
								14105
20.	Marginal, out-of-pocket							14106
	costs, necessary to provide							14107
	for health insurance for							14108
	the children who are the							14109
	subject of this order							14110
	Actual out-of-pocket							14111
	health insurance cost							14112
	to parent for the children							14113
	who are the subject of							14114
	this order, if the parent							14115
	is ordered to provide							14116
	health insurance ........	$......		$......				14117
								14118
21.	ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED:									14119

		Father (only if obligor			Mother (only if obligor		14120
		or shared parenting)			or shared parenting)		14121
	a.	Additions: line 16a		b.	Additions: line 16b		14122
		times sum of amounts			times sum of amounts		14123
		shown on line 19, Col. II			shown on line 19, Col. I		14124
		and line 20, Col. II			and line 20, Col. I		14125
		$......................			$......................		14126
	c.	Subtractions: line 16b		d.	Subtractions: line 16a		14127
		times sum of amounts			times sum of amounts		14128
		shown on line 19, Col. I			shown on line 19, Col. II		14129
		and line 20, Col. I			and line 20, Col. II		14130
		$.......................			$.......................		14131

								14132
22.	OBLIGATION AFTER ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED:							14133
a.	Father: line 18a plus or							14134
	minus the difference between							14135
	line 21a minus line 21c							14136
		$......						14137
b.	Mother: line 18b plus or							14138
	minus the difference between							14139
	line 21b minus line 21d							14140
				$......				14141
								14142
23.	ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS PROVIDED:								14143
a.	(Line 22a or 22b, whichever							14144
	line corresponds to the							14145
	parent who is the obligor).	$......						14146
b.	Any non-means-tested							14147
	benefits, including social							14148
	security and veterans'							14149
	benefits, paid to and							14150
	received by a child or a							14151
	person on behalf of the							14152
	child due to death,							14153
	disability, or retirement							14154
	of the parent...............	$......						14155
c.	Actual annual obligation							14156
	(subtract line 23b from							14157
	line 23a)...................	$......						14158
								14159
24.	ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS NOT PROVIDED:							14160

		Father (only if obligor			Mother (only if obligor		14161
		or shared parenting)			or shared parenting)		14162
	a.	Additions: line 16a times		b.	Additions: line 16b times		14163
		amount shown on line 19,			amount shown on line 19,		14164
		Col. II			Col. I		14165
		$......................			$......................		14166
	c.	Subtractions: line 16b		d.	Subtractions: line 16a		14167
		times amount shown on			times amount shown on		14168
		line 19, Col. I			line 19, Col. II		14169
		$.......................			$.......................		14170
							14171

25.	OBLIGATION AFTER ADJUSTMENTS TO CHILD SUPPORT							14172
	WHEN HEALTH INSURANCE IS NOT PROVIDED:							14173
a.	Father: line 18a plus or minus the difference between line 24a minus line 24c							14174
		$......						14175
b.	Mother: line 18b plus or minus the difference between line 24b and 24d							14176
				$......				14177
								14178
26.	ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS NOT PROVIDED:							14179
a.	(Line 25a or 25b, whichever line corresponds to the parent who is the							14180
	obligor)	$......						14181
b.	Any non-means-tested benefits, including social security and veterans' benefits, paid to and received by a child or a person on behalf of the child due to death, disability, or retirement of the							14182
	parent	$......						14183
c.	Actual annual obligation (subtract line 26b from line							14184
	26a	$......						14185

			14186
27.a.	Deviation from sole residential parent support amount shown		14187
	on line 23c if amount would be unjust or inappropriate: (see		14188
	section 3119.23 of the Revised Code.) (Specific facts and		14189
	monetary value must be stated.)		14190
			14191
			14192
			14193
			14194
b.	Deviation from shared parenting order: (see sections 3119.23		14195
	and 3119.24 of the Revised Code.) (Specific facts including		14196
	amount of time children spend with each parent, ability of		14197
	each parent to maintain adequate housing for children, and		14198
	each parent's expenses for children must be stated to justify		14199
	deviation.)		14200
			14201
			14202
			14203
			14204

		WHEN HEALTH INSURANCE IS PROVIDED		WHEN HEALTH INSURANCE IS NOT PROVIDED				14205
25 28.	FINAL CHILD SUPPORT FIGURE: (This amount reflects final annual child support obligation; in Col. I, enter line 23c plus or minus any amounts indicated in line 24a 27a or 24b 27b; in Col. II, enter line 26c plus or minus any amounts indicated in line 27a or 27b)							14206
		$......		$......		Father/Mother, OBLIGOR		14207
								14208
26 29.	FOR DECREE: Child support per month (divide obligor's annual share, line 25 28, by 12) plus any processing charge							14209
		$......		$......				14210
								14211
30.	FINAL CASH MEDICAL SUPPORT FIGURE: (this amount reflects the final, annual cash medical support to be paid by the obligor when neither parent provides health insurance coverage for the child; enter obligor's child support amount from							14212
	line 7b			$......				14213
								14214
31.	FOR DECREE: Cash medical support per month (divide							14215
	line 30 by 12)			$......				14216

Prepared by:				14217
Counsel: ....................		Pro se: .................		14218
(For mother/father)				14219
CSEA: .......................		Other: ..................		14220

Worksheet Has Been Reviewed and Agreed To:

14221

...........................		...........................		14222
Mother		Date		14223
...........................		...........................		14224
Father		Date		14225

Sec. 3119.023.  When a court or child support enforcement	14226
agency calculates the amount of child support to be paid pursuant	14227
to a court child support order in a proceeding in which the	14228
parents have split parental rights and responsibilities with	14229
respect to the children who are the subject of the child support	14230
order, the court or child support enforcement agency shall use a	14231
worksheet that is identical in content and form to the following:	14232

CHILD SUPPORT COMPUTATION WORKSHEET

14233

SPLIT PARENTAL RIGHTS AND RESPONSIBILITIES

14234

Name of parties ................................................

14235

Case No. .......................................................

14236

Number of minor children .......................................

14237

Number of minor children with mother .......... father .........

14238

		Column I		Column II		Column III		14239
		Father		Mother		Combined		14240
INCOME:								14241
1.a.	Annual gross income from							14242
	employment or, when							14243
	determined appropriate							14244
	by the court or agency,							14245
	average annual gross income							14246
	from employment over a							14247
	reasonable period of years.							14248
	(Exclude overtime, bonuses,							14249
	self-employment income, or							14250
	commissions)...............	$......		$......				14251
b.	Amount of overtime,							14252
	bonuses, and commissions							14253
	(year 1 representing the							14254
	most recent year)							14255

Father		Mother		14256
Yr. 3 $..........		Yr. 3 $..........		14257
(Three years ago)		(Three years ago)		14258
Yr. 2 $..........		Yr. 2 $..........		14259
(Two years ago)		(Two years ago)		14260
Yr. 1 $..........		Yr. 1 $..........		14261
(Last calendar year)		(Last calendar year)		14262
Average $..........		$............		14263

	(Include in Col. I and/or							14264
	Col. II the average of the							14265
	three years or the year 1							14266
	amount, whichever is less,							14267
	if there exists a reasonable							14268
	expectation that the total							14269
	earnings from overtime and/or							14270
	bonuses during the current							14271
	calendar year will meet or							14272
	exceed the amount that is							14273
	the lower of the average							14274
	of the three years or the							14275
	year 1 amount. If, however,							14276
	there exists a reasonable							14277
	expectation that the total							14278
	earnings from overtime/							14279
	bonuses during the current							14280
	calendar year will be less							14281
	than the lower of the average							14282
	of the 3 years or the year 1							14283
	amount, include only the							14284
	amount reasonably expected							14285
	to be earned this year.)...	$......		$......				14286
								14287
2.	For self-employment income							14288
a.	Gross receipts from							14289
	business...................	$......		$......				14290
b.	Ordinary and necessary							14291
	business expenses..........	$......		$......				14292
c.	5.6% of adjusted gross							14293
	income or the actual							14294
	marginal difference between							14295
	the actual rate paid by the							14296
	self-employed individual							14297
	and the F.I.C.A. rate .....	$......		$......				14298
d.	Adjusted gross income from							14299
	self-employment (subtract							14300
	the sum of 2b and 2c from							14301
	2a)........................	$......		$......				14302
								14303
3.	Annual income from interest							14304
	and dividends (whether or							14305
	not taxable)...............	$......		$......				14306
								14307
4.	Annual income from							14308
	unemployment compensation...	$......		$......				14309
								14310
5.	Annual income from workers'							14311
	compensation, disability							14312
	insurance benefits or social							14313
	security disability							14314
	retirement benefits........	$......		$......				14315
								14316
6.	Other annual income							14317
	(identify).................	$......		$......				14318
								14319
7.a.	Total annual gross income							14320
	(add lines 1a, 1b, 2d, and							14321
	3-6).......................	$......		$......				14322
b.	Health care maximum							14323
	(multiply line 7a							14324
	by 5%)	$......		$......				14325
								14326
ADJUSTMENTS TO INCOME:								14327
8.	Adjustment for minor children							14328
	born to or adopted by either							14329
	parent and another parent who							14330
	are living with this parent;							14331
	adjustment does not apply							14332
	to stepchildren (number of							14333
	children times federal income							14334
	tax exemption less child							14335
	support received, not to							14336
	exceed the federal tax							14337
	exemption).................	$......		$......				14338
								14339
9.	Annual court-ordered support							14340
	paid for other children....	$......		$......				14341
								14342
10.	Annual court-ordered spousal							14343
	support paid to any spouse							14344
	or former spouse...........	$......		$......				14345
								14346
11.	Amount of local income taxes							14347
	actually paid or estimated							14348
	to be paid.................	$......		$......				14349
								14350
12.	Mandatory work-related							14351
	deductions such as union							14352
	dues, uniform fees, etc.							14353
	(not including taxes, social							14354
	security, or retirement)...	$......		$......				14355
								14356
13.	Total gross income							14357
	adjustments (add lines							14358
	8 through 12)..............	$......		$......				14359
								14360
14.	Adjusted annual gross							14361
	income (subtract line 13							14362
	from 7a)....................	$......		$......				14363
								14364
15.	Combined annual income that							14365
	is basis for child support							14366
	order (add line 14, Col. I							14367
	and Col. II)................					$......		14368
								14369
16.	Percentage of parent's							14370
	income to total income							14371
a.	Father (divide line 14,							14372
	Col. I, by line 15, Col.							14373
	III).......................%							14374
b.	Mother (divide line 14,							14375
	Col. II, by line 15, Col.							14376
	III).......................%							14377
								14378
17.	Basic combined child							14379
	support obligation (refer							14380
	to schedule, first column,							14381
	locate the amount nearest							14382
	to the amount on line 15,							14383
	Col. III, then refer to							14384
	column for number of							14385
	children with this parent.							14386
	If the income of the							14387
	parents is more than one							14388
	sum but less than another,							14389
	you may calculate the							14390
	difference)................							14391
								14392

	For children		For children		14393
	for whom the		for whom the		14394
	mother is the		father is the		14395
	residential		residential		14396
	parent and		parent and		14397
	legal custodian		legal custodian		14398
	$............		$............		14399

						14400
18.	Annual support obligation per parent							14401
a.	Of father for children for							14402
	whom mother is the							14403
	residential parent and							14404
	legal custodian (multiply							14405
	line 17, Col. I, by line							14406
	16a).......................	$......						14407
b.	Of mother for children for							14408
	whom the father is the							14409
	residential parent and							14410
	legal custodian (multiply							14411
	line 17, Col. II, by line							14412
	16b).......................			$......				14413
								14414
19.	Annual child care expenses							14415
	for children who are the							14416
	subject of this order that							14417
	are work-, employment							14418
	training-, or education-							14419
	related, as approved by							14420
	the court or agency							14421
	(deduct tax credit from							14422
	annual cost whether or							14423
	not claimed)...............	Paid by		Paid by				14424
		father		mother				14425
		$......		$......				14426
								14427
20.	Marginal, out-of-pocket							14428
	costs, necessary to provide							14429
	for health insurance for							14430
	the children who are the							14431
	subject of this order........							14432
	Actual out-of-pocket health insurance cost to parent for children who are the subject of this order, if the parent is ordered to provide health							14433
	insurance	Paid by		Paid by				14434
		father		mother				14435
		$......		$......				14436
								14437
21.	ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED:							14438

		Father			Mother		14439
	a.	Additions: line 16a		b.	Additions: line 16b		14440
		times sum of amounts			times sum of amounts		14441
		shown on line 19, Col. II			shown on line 19, Col. I		14442
		and line 20, Col. II			and line 20, Col. I		14443
		$......................			$......................		14444
	c.	Subtractions: line 16b		d.	Subtractions: line 16a		14445
		times sum of amounts			times sum of amounts		14446
		shown on line 19, Col. I			shown on line 19, Col. II		14447
		and line 20, Col. I			and line 20, Col. II		14448
		$.......................			$.......................		14449

								14450
22.	ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS PROVIDED:							14451
a.	Father: line 18a plus line							14452
	21a minus line 21c (if the							14453
	amount on line 21c is							14454
	greater than or equal to							14455
	the amount on line 21a--							14456
	enter the number on line							14457
	18a in Col. I)..............	$......						14458
b.	Any non-means-tested							14459
	benefits, including social							14460
	security and veterans'							14461
	benefits, paid to and							14462
	received by children for							14463
	whom the mother is the							14464
	residential parent and							14465
	legal custodian or a person							14466
	on behalf of those children							14467
	due to death, disability,							14468
	or retirement of the							14469
	father.....................	$......						14470
c.	Actual annual obligation of							14471
	father (subtract line 22b							14472
	from line 22a).............	$......						14473
d.	Mother: line 18b plus line							14474
	21b minus line 21d (if the							14475
	amount on line 21d is							14476
	greater than or equal to							14477
	the amount on line							14478
	21b--enter the number on							14479
	line 18b in Col. II).......			$......				14480
e.	Any non-means-tested							14481
	benefits, including social							14482
	security and veterans'							14483
	benefits, paid to and							14484
	received by children for							14485
	whom the father is the							14486
	residential parent and							14487
	legal custodian or a person							14488
	on behalf of those children							14489
	due to death, disability,							14490
	or retirement of the							14491
	mother......................			$......				14492
f.	Actual annual obligation							14493
	of mother (subtract line 22e							14494
	from line 22d)..............			$......				14495
g.	Actual annual obligation							14496
	payable (subtract lesser							14497
	actual annual obligation							14498
	from greater actual annual							14499
	obligation using amounts in							14500
	lines 22c and 22f to							14501
	determine net child support							14502
	payable)....................	$......		$......				14503
								14504
23.	ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS NOT PROVIDED:							14505

		Father			Mother		14506
	a.	Additions: line 16a times amount shown on line 19, Col. II		b.	Additions: line 16b times amount shown on line 19, Col. I		14507
		$..........			$..........		14508
	c.	Subtractions: line 16b times amount shown on line 19, Col. I		d.	Subtractions: line 16a times amount shown on line 19, Col. II		14509
		$..........			$..........		14510

								14511
24.	ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS NOT PROVIDED:							14512
a.	Father: line 18a plus line 23a minus line 23c (if the amount on line 23c is greater than or equal to the amount on line 23a, enter the number on line 18a in							14513
	Col. I)	$......						14514
b.	Any non-means-tested benefits, including social security and veterans' benefits, paid to and received by a child for whom the mother is the residential parent and legal custodian, or a person on behalf of the child, due to death, disability, or							14515
	retirement of the father	$......						14516
c.	Actual annual obligation of the father (subtract line 24b							14517
	from line 24a)	$......						14518
d.	Mother: line 18b plus line 23b minus 23d (if the amount on line 23d is greater than or equal to the amount on line 23b, enter the number on line 18b in Col. II)							14519
				$......				14520
e.	Any non-means-tested benefits, including social security and veterans' benefits, paid to and received by a child for whom the father is the residential parent and legal custodian, or a person on behalf of the child, due to death, disability, or retirement of the mother							14521
				$......				14522
f.	Actual annual obligation of the mother (subtract line 24e							14523
	from line 24d)			$......				14524
g.	Actual annual obligation payable (subtract lesser actual annual obligation from greater annual obligation of parents using amounts in lines 24c and 24f to determine net child support payable)							14525
		$......		$......				14526
h.	Add line 7b, Col. I, to line 24g, Col. I, when father is the obligor or line 7b, Col. II, to line 24g, Col. II, when mother is obligor							14527
		$......		$......				14528

			14529
25.	Deviation from split residential parent guideline amount shown on line 22c or 22f, 22f, 24c, or 24f if amount would be unjust or inappropriate: (see section 3119.23 of the Revised Code.) (Specific facts and monetary value must be stated.)		14530
			14531
			14532
			14533
			14534

		WHEN HEALTH INSURANCE IS PROVIDED		WHEN HEALTH INSURANCE IS NOT PROVIDED				14535
24 26.	FINAL CHILD SUPPORT FIGURE: (This amount reflects final annual child support obligation; in Col. I enter line 22g plus or minus any amounts indicated in line 23 25, or in Col. II enter line 24h plus or minus any amounts indicated on line 25.)							14536
		$......		$......		Father/Mother, OBLIGOR		14537
								14538
25 27.	FOR DECREE: Child support per month (divide obligor's annual share, line 24 26, by 12) plus any processing charge							14539
		$......		$......				14540
								14541
28.	FINAL CASH MEDICAL SUPPORT FIGURE: (this amount reflects the final, annual cash medical support to be paid by the obligor when neither parent provides health insurance coverage for the child; enter obligor's child support from line 7b)							14542
				$......				14543
								14544
29.	FOR DECREE: Cash medical support per month (divide line 28 by 12)							14545
				$......				14546

Prepared by:				14547
Counsel: ....................		Pro se: .................		14548
(For mother/father)				14549
CSEA: .......................		Other: ..................		14550

Worksheet Has Been Reviewed and Agreed To:

14551

...........................		...........................		14552
Mother		Date		14553
...........................		...........................		14554
Father		Date		14555

Sec. 3119.27. (A) A court that issues or modifies a court	14556
support order, or an administrative agency that issues or modifies	14557
an administrative child support order, shall impose on the obligor	14558
under the support order a processing charge that is the greater of	14559
two per cent of the support payment to be collected under a	14560
support order or one dollar per month. No court or agency may call	14561
the charge a poundage fee.	14562

(B) In each child support case that is a Title IV-D case, the	14563
department of job and family services shall claim twenty-five	14564
dollars from the processing charge described in division (A) of	14565
this section for federal reporting purposes if the obligee has	14566
never received assistance under Title IV-A and the department has	14567
collected at least five hundred dollars of child support for the	14568
obligee. The director of job and family services shall adopt rules	14569
under Chapter 119. of the Revised Code to implement this division,	14570
and the department shall implement this division not later than	14571
March 31, 2008.	14572

(C) As used in this section:

14573

(1) "Annual" means the period as defined in regulations	14574
issued by the United States secretary of health and human services	14575
to implement the Deficit Reduction Act of 2005 (P.L. 109-171).	14576

(2) "Title IV-A" has the same meaning as in section 5107.02	14577
of the Revised Code.	14578

(3) "Title IV-D case" has the same meaning as in section	14579
3125.01 of the Revised Code.	14580

Sec. 3119.29. (A) As used in this section and sections	14581
3119.30 to 3119.56 of the Revised Code:	14582

(A)(1) "Cash medical support" means an amount ordered to be	14583
paid in a child support order toward the cost of health insurance	14584
provided by a public entity, another parent, or person with whom	14585
the child resides, through employment or otherwise, or for other	14586
medical cost not covered by insurance.	14587

(2) "Federal poverty line" has the same meaning as defined in	14588
section 5104.01 of the Revised Code.	14589

(3) "Health care" means such medical support that includes	14590
coverage under a health insurance plan, payment of costs of	14591
premiums, co-payments, and deductibles, or payment for medical	14592
expenses incurred on behalf of the child.	14593

(4) "Health insurance coverage" means accessible health	14594
insurance that provides primary care services within either thirty	14595
miles or thirty minutes driving time from the residence of the	14596
child subject to the child support order.	14597

(5) "Health plan administrator" means any entity authorized	14598
under Title XXXIX of the Revised Code to engage in the business of	14599
insurance in this state, any health insuring corporation, any	14600
legal entity that is self-insured and provides benefits to its	14601
employees or members, and the administrator of any such entity or	14602
corporation.	14603

(B)(6) "National medical support notice" means a form	14604
required by the "Child Support Performance and Incentive Act of	14605
1998," P.L. 105-200, 112 Stat. 659, 42 U.S.C. 666(a)(19), as	14606
amended, and jointly developed and promulgated by the secretary of	14607
health and human services and the secretary of labor in federal	14608
regulations adopted under that act as modified by the department	14609
of job and family services under section 3119.291 of the Revised	14610
Code.	14611

(C)(7) "Person required to provide health insurance coverage"	14612
means the obligor, obligee, or both, required by the court under a	14613
court child support order or by the child support enforcement	14614
agency under an administrative child support order to provide	14615
health insurance coverage pursuant to section 3119.30 of the	14616
Revised Code.	14617

(8) Subject to division (B) of this section, "reasonable	14618
cost" means the cost of private family health insurance that does	14619
not exceed an amount equal to five per cent of the annual gross	14620
income of the person responsible for the health care of the	14621
children subject to the child support order.	14622

(9) "Title XIX" has the same meaning as defined in section	14623
5111.20 of the Revised Code.	14624

(B) If the United States secretary of health and human	14625
services issues a regulation defining "reasonable cost" or a	14626
similar term or phrase relevant to the provisions in child support	14627
orders relating to the provision of health care for children	14628
subject to the orders, and if that definition is substantively	14629
different from the meaning of "reasonable cost" as defined in	14630
division (A) of this section, "reasonable cost" as used in this	14631
section shall have the meaning as defined by the United States	14632
secretary of health and human services.	14633

Sec. 3119.30. (A) In any action or proceeding in which a	14634
child support order is issued or modified, the court, with respect	14635
to court child support orders, and the child support enforcement	14636
agency, with respect to administrative child support orders, shall	14637
determine the person responsible for the health care of the	14638
children subject to the child support order. The determination	14639
shall be based on information provided to the court or to the	14640
child support enforcement agency under section 3119.31 of the	14641
Revised Code. The order shall include one of the following:	14642

(A) A requirement that the obligor under the child support	14643
order obtain health insurance coverage for the children if	14644
coverage is available at a reasonable cost through a group policy,	14645
contract, or plan offered by the obligor's employer or through any	14646
other group policy, contract, or plan available to the obligor and	14647
is not available for a more reasonable cost through a group	14648
policy, contract, or plan available to the obligee;	14649

(B)(1) A requirement that the obligee obtain health insurance	14650
coverage for the children if coverage is available through a group	14651
policy, contract, or plan offered by the obligee's employer or	14652
through any other group policy, contract, or plan available to the	14653
obligee and is available at a more reasonable cost than coverage	14654
is available to the obligor;	14655

(C)(2) A requirement that the obligor under the child support	14656
order obtain health insurance coverage for the children if	14657
coverage is available at a reasonable cost through any group	14658
policy, contract, or plan available to the obligor and, in the	14659
alternative, if the court or child support enforcement agency	14660
determines that health insurance coverage is not available at a	14661
reasonable cost to the obligee or obligor, and that the gross	14662
income of the obligor is over one hundred fifty per cent of the	14663
federal poverty line, pay cash medical support that is five per	14664
cent of the obligor's annual gross income to either the office of	14665
child support in the department of job and family services to	14666
defray the cost of expenditures under Title XIX to provide health	14667
care for the children, or the obligee if the children are not	14668
receiving assistance under Title XIX;	14669

(3) If health insurance coverage for the children is not	14670
available at a reasonable cost through a group policy, contract,	14671
or plan offered by the obligor's or obligee's employer or through	14672
any other group policy, contract, or plan available to the obligor	14673
or the obligee, a requirement that the obligor and the obligee	14674
share liability for the cost of the medical and health care needs	14675
of the children, under an equitable formula established by the	14676
court, with respect to a court child support order, or the child	14677
support enforcement agency, with respect to an administrative	14678
child support order, with appropriate offset of the amount of any	14679
cash medical payment ordered pursuant to division (A)(2) of this	14680
section, and a requirement that if, after the issuance of the	14681
order, health insurance coverage for the children becomes	14682
available at a reasonable cost through a group policy, contract,	14683
or plan offered by the obligor's or obligee's employer or through	14684
any other group policy, contract, or plan available to the obligor	14685
or obligee, the obligor or obligee to whom the coverage becomes	14686
available immediately inform the court, with respect to a court	14687
child support order, or the child support enforcement agency, with	14688
respect to an administrative child support order;	14689

(D)(4) A requirement that both the obligor and the obligee	14690
obtain health insurance coverage for the children if coverage is	14691
available for the children at a reasonable cost to both the	14692
obligor and the obligee and dual coverage would provide for	14693
coordination of medical benefits without unnecessary duplication	14694
of coverage.	14695

(B) The court, with respect to court child support orders,	14696
and the child support enforcement agency, with respect to	14697
administrative child support orders, may determine and include in	14698
an order issued under division (A) of this section that longer	14699
travel times are permissible if residents in part or all of the	14700
service area customarily travel distances farther than thirty	14701
miles or thirty minutes driving time or that primary care services	14702
are accessible only by public transportation.	14703

Sec. 3119.54.  If either party to a child support order	14704
issued in accordance with section 3119.30 of the Revised Code is	14705
eligible for medical assistance under Chapter 5111., 5114., or	14706
5115. of the Revised Code and the other party has obtained health	14707
insurance coverage, the party eligible for medical assistance	14708
shall notify any physician, hospital, or other provider of medical	14709
services for which medical assistance is available of the name and	14710
address of the other party's insurer and of the number of the	14711
other party's health insurance or health care policy, contract, or	14712
plan. Any physician, hospital, or other provider of medical	14713
services for which medical assistance is available under Chapter	14714
5111., 5114., or 5115. of the Revised Code who is notified under	14715
this division of the existence of a health insurance or health	14716
care policy, contract, or plan with coverage for children who are	14717
eligible for medical assistance shall first bill the insurer for	14718
any services provided for those children. If the insurer fails to	14719
pay all or any part of a claim filed under this section and the	14720
services for which the claim is filed are covered by Chapter	14721
5111., 5114., or 5115. of the Revised Code, the physician,	14722
hospital, or other medical services provider shall bill the	14723
remaining unpaid costs of the services in accordance with Chapter	14724
5111., 5114., or 5115. of the Revised Code.	14725

Sec. 3123.23. (A) The director of job and family services	14726
shall adopt rules under Chapter 119. of the Revised Code to	14727
implement a program to collect arrearages owed under child support	14728
orders from insurance claims, settlements, awards, and payments	14729
based on information obtained pursuant to Title IV-D of the Social	14730
Security Act, 42 U.S.C. 652.	14731

(B) Any insurer and any director, agent, or employee	14732
authorized to act on behalf of an insurer, that releases	14733
information or makes a disclosure in accordance with rules adopted	14734
pursuant to this section shall be immune from liability in a civil	14735
action for harm resulting from the disclosure.	14736

(C) As used in this section, "insurer" has the same meaning	14737
as in section 3901.32 of the Revised Code.	14738

Sec. 3125.12.  Each child support enforcement agency shall	14739
enter into a plan of cooperation with the board of county	14740
commissioners under section 307.983 of the Revised Code and comply	14741
with each fiscalgrant agreement the board enters into under	14742
sectionsections 307.98 and 5101.21 and contracts the board enters	14743
into under sections 307.981 and 307.982 of the Revised Code that	14744
affect the agency.	14745

Sec. 3301.0711.  (A) The department of education shall:

14746

(1) Annually furnish to, grade, and score all tests required	14747
by section 3301.0710 of the Revised Code to be administered by	14748
city, local, exempted village, and joint vocational school	14749
districts, except that each district shall score any test	14750
administered pursuant to division (B)(10) of this section. Each	14751
test so furnished shall include the data verification code of the	14752
student to whom the test will be administered, as assigned	14753
pursuant to division (D)(2) of section 3301.0714 of the Revised	14754
Code. In furnishing the practice versions of Ohio graduation tests	14755
prescribed by division (F) of section 3301.0710 of the Revised	14756
Code, the department shall make the tests available on its web	14757
site for reproduction by districts. In awarding contracts for	14758
grading tests, the department shall give preference to Ohio-based	14759
entities employing Ohio residents.	14760

(2) Adopt rules for the ethical use of tests and prescribing	14761
the manner in which the tests prescribed by section 3301.0710 of	14762
the Revised Code shall be administered to students.	14763

(B) Except as provided in divisions (C) and (J) of this	14764
section, the board of education of each city, local, and exempted	14765
village school district shall, in accordance with rules adopted	14766
under division (A) of this section:	14767

(1) Administer the reading test prescribed under division	14768
(A)(1)(a) of section 3301.0710 of the Revised Code twice annually	14769
to all students in the third grade who have not attained the score	14770
designated for that test under division (A)(2)(c) of section	14771
3301.0710 of the Revised Code.	14772

(2) Administer the mathematics test prescribed under division	14773
(A)(1)(a) of section 3301.0710 of the Revised Code at least once	14774
annually to all students in the third grade.	14775

(3) Administer the tests prescribed under division (A)(1)(b)	14776
of section 3301.0710 of the Revised Code at least once annually to	14777
all students in the fourth grade.	14778

(4) Administer the tests prescribed under division (A)(1)(c)	14779
of section 3301.0710 of the Revised Code at least once annually to	14780
all students in the fifth grade.	14781

(5) Administer the tests prescribed under division (A)(1)(d)	14782
of section 3301.0710 of the Revised Code at least once annually to	14783
all students in the sixth grade.	14784

(6) Administer the tests prescribed under division (A)(1)(e)	14785
of section 3301.0710 of the Revised Code at least once annually to	14786
all students in the seventh grade.	14787

(7) Administer the tests prescribed under division (A)(1)(f)	14788
of section 3301.0710 of the Revised Code at least once annually to	14789
all students in the eighth grade.	14790

(8) Except as provided in division (B)(9) of this section,	14791
administer any test prescribed under division (B) of section	14792
3301.0710 of the Revised Code as follows:	14793

(a) At least once annually to all tenth grade students and at	14794
least twice annually to all students in eleventh or twelfth grade	14795
who have not yet attained the score on that test designated under	14796
that division;	14797

(b) To any person who has successfully completed the	14798
curriculum in any high school or the individualized education	14799
program developed for the person by any high school pursuant to	14800
section 3323.08 of the Revised Code but has not received a high	14801
school diploma and who requests to take such test, at any time	14802
such test is administered in the district.	14803

(9) In lieu of the board of education of any city, local, or	14804
exempted village school district in which the student is also	14805
enrolled, the board of a joint vocational school district shall	14806
administer any test prescribed under division (B) of section	14807
3301.0710 of the Revised Code at least twice annually to any	14808
student enrolled in the joint vocational school district who has	14809
not yet attained the score on that test designated under that	14810
division. A board of a joint vocational school district may also	14811
administer such a test to any student described in division	14812
(B)(8)(b) of this section.	14813

(10) If the district has been declared to be under an	14814
academic watch or in a state of academic emergency pursuant to	14815
section 3302.03 of the Revised Code or has a three-year average	14816
graduation rate of not more than seventy-five per cent, administer	14817
each test prescribed by division (F) of section 3301.0710 of the	14818
Revised Code in September to all ninth grade students, beginning	14819
in the school year that starts July 1, 2005.	14820

(C)(1)(a) Any student receiving special education services	14821
under Chapter 3323. of the Revised Code may be excused from taking	14822
any particular test required to be administered under this section	14823
if the individualized education program developed for the student	14824
pursuant to section 3323.08 of the Revised Code excuses the	14825
student from taking that test and instead specifies an alternate	14826
assessment method approved by the department of education as	14827
conforming to requirements of federal law for receipt of federal	14828
funds for disadvantaged pupils. To the extent possible, the	14829
individualized education program shall not excuse the student from	14830
taking a test unless no reasonable accommodation can be made to	14831
enable the student to take the test.	14832

(b) Any alternate assessment approved by the department for a	14833
student under this division shall produce measurable results	14834
comparable to those produced by the tests which the alternate	14835
assessments are replacing in order to allow for the student's	14836
assessment results to be included in the data compiled for a	14837
school district or building under section 3302.03 of the Revised	14838
Code.	14839

(c) Any student enrolled in a chartered nonpublic school who	14840
has been identified, based on an evaluation conducted in	14841
accordance with section 3323.03 of the Revised Code or section 504	14842
of the "Rehabilitation Act of 1973," 87 Stat. 355, 29 U.S.C.A.	14843
794, as amended, as a child with a disability shall be excused	14844
from taking any particular test required to be administered under	14845
this section if a plan developed for the student pursuant to rules	14846
adopted by the state board excuses the student from taking that	14847
test. In the case of any student so excused from taking a test,	14848
the chartered nonpublic school shall not prohibit the student from	14849
taking the test.	14850

(2) A district board may, for medical reasons or other good	14851
cause, excuse a student from taking a test administered under this	14852
section on the date scheduled, but any such test shall be	14853
administered to such excused student not later than nine days	14854
following the scheduled date. The board shall annually report the	14855
number of students who have not taken one or more of the tests	14856
required by this section to the state board of education not later	14857
than the thirtieth day of June.	14858

(3) As used in this division, "limited English proficient	14859
student" has the same meaning as in 20 U.S.C. 7801.	14860

No school district board shall excuse any limited English	14861
proficient student from taking any particular test required to be	14862
administered under this section, except that any limited English	14863
proficient student who has been enrolled in United States schools	14864
for less than one full school year shall not be required to take	14865
any such reading or writing test. However, no board shall prohibit	14866
a limited English proficient student who is not required to take a	14867
test under this division from taking the test. A board may permit	14868
any limited English proficient student to take any test required	14869
to be administered under this section with appropriate	14870
accommodations, as determined by the department. For each limited	14871
English proficient student, each school district shall annually	14872
assess that student's progress in learning English, in accordance	14873
with procedures approved by the department.	14874

The governing authority of a chartered nonpublic school may	14875
excuse a limited English proficient student from taking any test	14876
administered under this section. However, no governing authority	14877
shall prohibit a limited English proficient student from taking	14878
the test.	14879

(D)(1) In the school year next succeeding the school year in	14880
which the tests prescribed by division (A)(1) or (B) of section	14881
3301.0710 of the Revised Code or former division (A)(1), (A)(2),	14882
or (B) of section 3301.0710 of the Revised Code as it existed	14883
prior to September 11, 2001, are administered to any student, the	14884
board of education of any school district in which the student is	14885
enrolled in that year shall provide to the student intervention	14886
services commensurate with the student's test performance,	14887
including any intensive intervention required under section	14888
3313.608 of the Revised Code, in any skill in which the student	14889
failed to demonstrate at least a score at the proficient level on	14890
the test.	14891

(2) Following any administration of the tests prescribed by	14892
division (F) of section 3301.0710 of the Revised Code to ninth	14893
grade students, each school district that has a three-year average	14894
graduation rate of not more than seventy-five per cent shall	14895
determine for each high school in the district whether the school	14896
shall be required to provide intervention services to any students	14897
who took the tests. In determining which high schools shall	14898
provide intervention services based on the resources available,	14899
the district shall consider each school's graduation rate and	14900
scores on the practice tests. The district also shall consider the	14901
scores received by ninth grade students on the reading and	14902
mathematics tests prescribed under division (A)(1)(f) of section	14903
3301.0710 of the Revised Code in the eighth grade in determining	14904
which high schools shall provide intervention services.	14905

Each high school selected to provide intervention services	14906
under this division shall provide intervention services to any	14907
student whose test results indicate that the student is failing to	14908
make satisfactory progress toward being able to attain scores at	14909
the proficient level on the Ohio graduation tests. Intervention	14910
services shall be provided in any skill in which a student	14911
demonstrates unsatisfactory progress and shall be commensurate	14912
with the student's test performance. Schools shall provide the	14913
intervention services prior to the end of the school year, during	14914
the summer following the ninth grade, in the next succeeding	14915
school year, or at any combination of those times.	14916

(E) Except as provided in section 3313.608 of the Revised	14917
Code and division (M) of this section, no school district board of	14918
education shall utilize any student's failure to attain a	14919
specified score on any test administered under this section as a	14920
factor in any decision to deny the student promotion to a higher	14921
grade level. However, a district board may choose not to promote	14922
to the next grade level any student who does not take any test	14923
administered under this section or make up such test as provided	14924
by division (C)(2) of this section and who is not exempt from the	14925
requirement to take the test under division (C)(3) of this	14926
section.	14927

(F) No person shall be charged a fee for taking any test	14928
administered under this section.	14929

(G)(1) Each school district board shall submitdesignate one	14930
location for the collection of tests administered in the spring	14931
under division (B)(1) of this section and the tests administered	14932
under divisions (B)(2) to (7) of this section. Each district board	14933
shall submit the tests to the entity with which the department	14934
contracts for the scoring of the tests as follows:	14935

(a) If the district's total enrollment in grades kindergarten	14936
through twelve during the first full school week of October was	14937
less than two thousand five hundred, not later than the Friday	14938
after the tests are administered, except that;	14939

(b) If the district's total enrollment in grades kindergarten	14940
through twelve during the first full school week of October was	14941
two thousand five hundred or more, but less than seven thousand,	14942
not later than the Monday after the tests are administered;	14943

(c) If the district's total enrollment in grades kindergarten	14944
through twelve during the first full school week of October was	14945
seven thousand or more, not later than the Tuesday after the tests	14946
are administered.	14947

However, any such test that a student takes during the	14948
make-up period described in division (C)(2) of this section shall	14949
be submitted not later than the Friday following the day the	14950
student takes the test.	14951

(2) The department or an entity with which the department	14952
contracts for the scoring of the test shall send to each school	14953
district board a list of the individual test scores of all persons	14954
taking any test prescribed by division (A)(1) or (B) of section	14955
3301.0710 of the Revised Code within sixty days after its	14956
administration, but in no case shall the scores be returned later	14957
than the fifteenth day of June following the administration. For	14958
any tests administered under this section by a joint vocational	14959
school district, the department or entity shall also send to each	14960
city, local, or exempted village school district a list of the	14961
individual test scores of any students of such city, local, or	14962
exempted village school district who are attending school in the	14963
joint vocational school district.	14964

(H) Individual test scores on any tests administered under	14965
this section shall be released by a district board only in	14966
accordance with section 3319.321 of the Revised Code and the rules	14967
adopted under division (A) of this section. No district board or	14968
its employees shall utilize individual or aggregate test results	14969
in any manner that conflicts with rules for the ethical use of	14970
tests adopted pursuant to division (A) of this section.	14971

(I) Except as provided in division (G) of this section, the	14972
department or an entity with which the department contracts for	14973
the scoring of the test shall not release any individual test	14974
scores on any test administered under this section. The state	14975
board of education shall adopt rules to ensure the protection of	14976
student confidentiality at all times. The rules may require the	14977
use of the data verification codes assigned to students pursuant	14978
to division (D)(2) of section 3301.0714 of the Revised Code to	14979
protect the confidentiality of student test scores.	14980

(J) Notwithstanding division (D) of section 3311.52 of the	14981
Revised Code, this section does not apply to the board of	14982
education of any cooperative education school district except as	14983
provided under rules adopted pursuant to this division.	14984

(1) In accordance with rules that the state board of	14985
education shall adopt, the board of education of any city,	14986
exempted village, or local school district with territory in a	14987
cooperative education school district established pursuant to	14988
divisions (A) to (C) of section 3311.52 of the Revised Code may	14989
enter into an agreement with the board of education of the	14990
cooperative education school district for administering any test	14991
prescribed under this section to students of the city, exempted	14992
village, or local school district who are attending school in the	14993
cooperative education school district.	14994

(2) In accordance with rules that the state board of	14995
education shall adopt, the board of education of any city,	14996
exempted village, or local school district with territory in a	14997
cooperative education school district established pursuant to	14998
section 3311.521 of the Revised Code shall enter into an agreement	14999
with the cooperative district that provides for the administration	15000
of any test prescribed under this section to both of the	15001
following:	15002

(a) Students who are attending school in the cooperative	15003
district and who, if the cooperative district were not	15004
established, would be entitled to attend school in the city,	15005
local, or exempted village school district pursuant to section	15006
3313.64 or 3313.65 of the Revised Code;	15007

(b) Persons described in division (B)(8)(b) of this section.

15008

Any testing of students pursuant to such an agreement shall	15009
be in lieu of any testing of such students or persons pursuant to	15010
this section.	15011

(K)(1) Any chartered nonpublic school may participate in the	15012
testing program by administering any of the tests prescribed by	15013
section 3301.0710 or 3301.0712 of the Revised Code if the chief	15014
administrator of the school specifies which tests the school	15015
wishes to administer. Such specification shall be made in writing	15016
to the superintendent of public instruction prior to the first day	15017
of August of any school year in which tests are administered and	15018
shall include a pledge that the nonpublic school will administer	15019
the specified tests in the same manner as public schools are	15020
required to do under this section and rules adopted by the	15021
department.	15022

(2) The department of education shall furnish the tests	15023
prescribed by section 3301.0710 or 3301.0712 of the Revised Code	15024
to any chartered nonpublic school electing to participate under	15025
this division.	15026

(L)(1) The superintendent of the state school for the blind	15027
and the superintendent of the state school for the deaf shall	15028
administer the tests described by section 3301.0710 of the Revised	15029
Code. Each superintendent shall administer the tests in the same	15030
manner as district boards are required to do under this section	15031
and rules adopted by the department of education and in conformity	15032
with division (C)(1)(a) of this section.	15033

(2) The department of education shall furnish the tests	15034
described by section 3301.0710 of the Revised Code to each	15035
superintendent.	15036

(M) Notwithstanding division (E) of this section, a school	15037
district may use a student's failure to attain a score in at least	15038
the basic range on the mathematics test described by division	15039
(A)(1)(a) of section 3301.0710 of the Revised Code or on any of	15040
the tests described by division (A)(1)(b), (c), (d), (e), or (f)	15041
of section 3301.0710 of the Revised Code as a factor in retaining	15042
that student in the current grade level.	15043

(N)(1) In the manner specified in divisions (N)(3) to (5) of	15044
this section, the tests required by section 3301.0710 of the	15045
Revised Code shall become public records pursuant to section	15046
149.43 of the Revised Code on the first day of July following the	15047
school year that the test was administered.	15048

(2) The department may field test proposed test questions	15049
with samples of students to determine the validity, reliability,	15050
or appropriateness of test questions for possible inclusion in a	15051
future year's test. The department also may use anchor questions	15052
on tests to ensure that different versions of the same test are of	15053
comparable difficulty.	15054

Field test questions and anchor questions shall not be	15055
considered in computing test scores for individual students. Field	15056
test questions and anchor questions may be included as part of the	15057
administration of any test required by section 3301.0710 of the	15058
Revised Code.	15059

(3) Any field test question or anchor question administered	15060
under division (N)(2) of this section shall not be a public	15061
record. Such field test questions and anchor questions shall be	15062
redacted from any tests which are released as a public record	15063
pursuant to division (N)(1) of this section.	15064

(4) This division applies to the tests prescribed by division	15065
(A) of section 3301.0710 of the Revised Code.	15066

(a) The first administration of each test, as specified in	15067
section 3301.0712 of the Revised Code, shall be a public record.	15068

(b) For subsequent administrations of each test, not less	15069
than forty per cent of the questions on the test that are used to	15070
compute a student's score shall be a public record. The department	15071
shall determine which questions will be needed for reuse on a	15072
future test and those questions shall not be public records and	15073
shall be redacted from the test prior to its release as a public	15074
record.	15075

(5) Each test prescribed by division (B) of section 3301.0710	15076
of the Revised Code that is administered in the spring shall be a	15077
public record. Each test prescribed by that division that is	15078
administered in the fall or summer shall not be a public record.	15079

(O) As used in this section:

15080

(1) "Three-year average" means the average of the most recent	15081
consecutive three school years of data.	15082

(2) "Dropout" means a student who withdraws from school	15083
before completing course requirements for graduation and who is	15084
not enrolled in an education program approved by the state board	15085
of education or an education program outside the state. "Dropout"	15086
does not include a student who has departed the country.	15087

(3) "Graduation rate" means the ratio of students receiving a	15088
diploma to the number of students who entered ninth grade four	15089
years earlier. Students who transfer into the district are added	15090
to the calculation. Students who transfer out of the district for	15091
reasons other than dropout are subtracted from the calculation. If	15092
a student who was a dropout in any previous year returns to the	15093
same school district, that student shall be entered into the	15094
calculation as if the student had entered ninth grade four years	15095
before the graduation year of the graduating class that the	15096
student joins.	15097

Sec. 3301.0714.  (A) The state board of education shall adopt	15098
rules for a statewide education management information system. The	15099
rules shall require the state board to establish guidelines for	15100
the establishment and maintenance of the system in accordance with	15101
this section and the rules adopted under this section. The	15102
guidelines shall include:	15103

(1) Standards identifying and defining the types of data in	15104
the system in accordance with divisions (B) and (C) of this	15105
section;	15106

(2) Procedures for annually collecting and reporting the data	15107
to the state board in accordance with division (D) of this	15108
section;	15109

(3) Procedures for annually compiling the data in accordance	15110
with division (G) of this section;	15111

(4) Procedures for annually reporting the data to the public	15112
in accordance with division (H) of this section.	15113

(B) The guidelines adopted under this section shall require	15114
the data maintained in the education management information system	15115
to include at least the following:	15116

(1) Student participation and performance data, for each	15117
grade in each school district as a whole and for each grade in	15118
each school building in each school district, that includes:	15119

(a) The numbers of students receiving each category of	15120
instructional service offered by the school district, such as	15121
regular education instruction, vocational education instruction,	15122
specialized instruction programs or enrichment instruction that is	15123
part of the educational curriculum, instruction for gifted	15124
students, instruction for handicapped students, and remedial	15125
instruction. The guidelines shall require instructional services	15126
under this division to be divided into discrete categories if an	15127
instructional service is limited to a specific subject, a specific	15128
type of student, or both, such as regular instructional services	15129
in mathematics, remedial reading instructional services,	15130
instructional services specifically for students gifted in	15131
mathematics or some other subject area, or instructional services	15132
for students with a specific type of handicap. The categories of	15133
instructional services required by the guidelines under this	15134
division shall be the same as the categories of instructional	15135
services used in determining cost units pursuant to division	15136
(C)(3) of this section.	15137

(b) The numbers of students receiving support or	15138
extracurricular services for each of the support services or	15139
extracurricular programs offered by the school district, such as	15140
counseling services, health services, and extracurricular sports	15141
and fine arts programs. The categories of services required by the	15142
guidelines under this division shall be the same as the categories	15143
of services used in determining cost units pursuant to division	15144
(C)(4)(a) of this section.	15145

(c) Average student grades in each subject in grades nine	15146
through twelve;	15147

(d) Academic achievement levels as assessed by the testing of	15148
student achievement under sections 3301.0710 and 3301.0711 of the	15149
Revised Code;	15150

(e) The number of students designated as having a	15151
handicapping condition pursuant to division (C)(1) of section	15152
3301.0711 of the Revised Code;	15153

(f) The numbers of students reported to the state board	15154
pursuant to division (C)(2) of section 3301.0711 of the Revised	15155
Code;	15156

(g) Attendance rates and the average daily attendance for the	15157
year. For purposes of this division, a student shall be counted as	15158
present for any field trip that is approved by the school	15159
administration.	15160

(h) Expulsion rates;

15161

(i) Suspension rates;

15162

(j) The percentage of students receiving corporal punishment;

15163

(k) Dropout rates;

15164

(l) Rates of retention in grade;

15165

(m) For pupils in grades nine through twelve, the average	15166
number of carnegie units, as calculated in accordance with state	15167
board of education rules;	15168

(n) Graduation rates, to be calculated in a manner specified	15169
by the department of education that reflects the rate at which	15170
students who were in the ninth grade three years prior to the	15171
current year complete school and that is consistent with	15172
nationally accepted reporting requirements;	15173

(o) Results of diagnostic assessments administered to	15174
kindergarten students as required under section 3301.0715 of the	15175
Revised Code to permit a comparison of the academic readiness of	15176
kindergarten students. However, no district shall be required to	15177
report to the department the results of any diagnostic assessment	15178
administered to a kindergarten student if the parent of that	15179
student requests the district not to report those results.	15180

(2) Personnel and classroom enrollment data for each school	15181
district, including:	15182

(a) The total numbers of licensed employees and nonlicensed	15183
employees and the numbers of full-time equivalent licensed	15184
employees and nonlicensed employees providing each category of	15185
instructional service, instructional support service, and	15186
administrative support service used pursuant to division (C)(3) of	15187
this section. The guidelines adopted under this section shall	15188
require these categories of data to be maintained for the school	15189
district as a whole and, wherever applicable, for each grade in	15190
the school district as a whole, for each school building as a	15191
whole, and for each grade in each school building.	15192

(b) The total number of employees and the number of full-time	15193
equivalent employees providing each category of service used	15194
pursuant to divisions (C)(4)(a) and (b) of this section, and the	15195
total numbers of licensed employees and nonlicensed employees and	15196
the numbers of full-time equivalent licensed employees and	15197
nonlicensed employees providing each category used pursuant to	15198
division (C)(4)(c) of this section. The guidelines adopted under	15199
this section shall require these categories of data to be	15200
maintained for the school district as a whole and, wherever	15201
applicable, for each grade in the school district as a whole, for	15202
each school building as a whole, and for each grade in each school	15203
building.	15204

(c) The total number of regular classroom teachers teaching	15205
classes of regular education and the average number of pupils	15206
enrolled in each such class, in each of grades kindergarten	15207
through five in the district as a whole and in each school	15208
building in the school district.	15209

(d) The number of master teachers employed by each school	15210
district and each school building, once a definition of master	15211
teacher has been developed by the educator standards board	15212
pursuant to section 3319.61 of the Revised Code.	15213

(3)(a) Student demographic data for each school district,	15214
including information regarding the gender ratio of the school	15215
district's pupils, the racial make-up of the school district's	15216
pupils, the number of limited English proficient students in the	15217
district, and an appropriate measure of the number of the school	15218
district's pupils who reside in economically disadvantaged	15219
households. The demographic data shall be collected in a manner to	15220
allow correlation with data collected under division (B)(1) of	15221
this section. Categories for data collected pursuant to division	15222
(B)(3) of this section shall conform, where appropriate, to	15223
standard practices of agencies of the federal government.	15224

(b) With respect to each student entering kindergarten,	15225
whether the student previously participated in a public preschool	15226
program, a private preschool program, or a head start program, and	15227
the number of years the student participated in each of these	15228
programs.	15229

(4) Any data required to be collected pursuant to federal	15230
law.	15231

(C) The education management information system shall include	15232
cost accounting data for each district as a whole and for each	15233
school building in each school district. The guidelines adopted	15234
under this section shall require the cost data for each school	15235
district to be maintained in a system of mutually exclusive cost	15236
units and shall require all of the costs of each school district	15237
to be divided among the cost units. The guidelines shall require	15238
the system of mutually exclusive cost units to include at least	15239
the following:	15240

(1) Administrative costs for the school district as a whole.	15241
The guidelines shall require the cost units under this division	15242
(C)(1) to be designed so that each of them may be compiled and	15243
reported in terms of average expenditure per pupil in formula ADM	15244
in the school district, as determined pursuant to section 3317.03	15245
of the Revised Code.	15246

(2) Administrative costs for each school building in the	15247
school district. The guidelines shall require the cost units under	15248
this division (C)(2) to be designed so that each of them may be	15249
compiled and reported in terms of average expenditure per	15250
full-time equivalent pupil receiving instructional or support	15251
services in each building.	15252

(3) Instructional services costs for each category of	15253
instructional service provided directly to students and required	15254
by guidelines adopted pursuant to division (B)(1)(a) of this	15255
section. The guidelines shall require the cost units under	15256
division (C)(3) of this section to be designed so that each of	15257
them may be compiled and reported in terms of average expenditure	15258
per pupil receiving the service in the school district as a whole	15259
and average expenditure per pupil receiving the service in each	15260
building in the school district and in terms of a total cost for	15261
each category of service and, as a breakdown of the total cost, a	15262
cost for each of the following components:	15263

(a) The cost of each instructional services category required	15264
by guidelines adopted under division (B)(1)(a) of this section	15265
that is provided directly to students by a classroom teacher;	15266

(b) The cost of the instructional support services, such as	15267
services provided by a speech-language pathologist, classroom	15268
aide, multimedia aide, or librarian, provided directly to students	15269
in conjunction with each instructional services category;	15270

(c) The cost of the administrative support services related	15271
to each instructional services category, such as the cost of	15272
personnel that develop the curriculum for the instructional	15273
services category and the cost of personnel supervising or	15274
coordinating the delivery of the instructional services category.	15275

(4) Support or extracurricular services costs for each	15276
category of service directly provided to students and required by	15277
guidelines adopted pursuant to division (B)(1)(b) of this section.	15278
The guidelines shall require the cost units under division (C)(4)	15279
of this section to be designed so that each of them may be	15280
compiled and reported in terms of average expenditure per pupil	15281
receiving the service in the school district as a whole and	15282
average expenditure per pupil receiving the service in each	15283
building in the school district and in terms of a total cost for	15284
each category of service and, as a breakdown of the total cost, a	15285
cost for each of the following components:	15286

(a) The cost of each support or extracurricular services	15287
category required by guidelines adopted under division (B)(1)(b)	15288
of this section that is provided directly to students by a	15289
licensed employee, such as services provided by a guidance	15290
counselor or any services provided by a licensed employee under a	15291
supplemental contract;	15292

(b) The cost of each such services category provided directly	15293
to students by a nonlicensed employee, such as janitorial	15294
services, cafeteria services, or services of a sports trainer;	15295

(c) The cost of the administrative services related to each	15296
services category in division (C)(4)(a) or (b) of this section,	15297
such as the cost of any licensed or nonlicensed employees that	15298
develop, supervise, coordinate, or otherwise are involved in	15299
administering or aiding the delivery of each services category.	15300

(D)(1) The guidelines adopted under this section shall	15301
require school districts to collect information about individual	15302
students, staff members, or both in connection with any data	15303
required by division (B) or (C) of this section or other reporting	15304
requirements established in the Revised Code. The guidelines may	15305
also require school districts to report information about	15306
individual staff members in connection with any data required by	15307
division (B) or (C) of this section or other reporting	15308
requirements established in the Revised Code. The guidelines shall	15309
not authorize school districts to request social security numbers	15310
of individual students. The guidelines shall prohibit the	15311
reporting under this section of a student's name, address, and	15312
social security number to the state board of education or the	15313
department of education. The guidelines shall also prohibit the	15314
reporting under this section of any personally identifiable	15315
information about any student, except for the purpose of assigning	15316
the data verification code required by division (D)(2) of this	15317
section, to any other person unless such person is employed by the	15318
school district or the information technology center operated	15319
under section 3301.075 of the Revised Code and is authorized by	15320
the district or technology center to have access to such	15321
information or is employed by an entity with which the department	15322
contracts for the scoring of tests administered under section	15323
3301.0711 or 3301.0712 of the Revised Code. The guidelines may	15324
require school districts to provide the social security numbers of	15325
individual staff members.	15326

(2) The guidelines shall provide for each school district or	15327
community school to assign a data verification code that is unique	15328
on a statewide basis over time to each student whose initial Ohio	15329
enrollment is in that district or school and to report all	15330
required individual student data for that student utilizing such	15331
code. The guidelines shall also provide for assigning data	15332
verification codes to all students enrolled in districts or	15333
community schools on the effective date of the guidelines	15334
established under this section.	15335

Individual student data shall be reported to the department	15336
through the information technology centers utilizing the code but,	15337
except as provided in section 3310.11 of the Revised Code, at no	15338
time shall the state board or the department have access to	15339
information that would enable any data verification code to be	15340
matched to personally identifiable student data.	15341

Each school district shall ensure that the data verification	15342
code is included in the student's records reported to any	15343
subsequent school district or community school in which the	15344
student enrolls. Any such subsequent district or school shall	15345
utilize the same identifier in its reporting of data under this	15346
section.	15347

The director of health shall request and receive, pursuant to	15348
sections 3301.0723 and 3701.62 of the Revised Code, a data	15349
verification code for a child who is receiving services under	15350
division (A)(2) of section 3701.61 of the Revised Code.	15351

(E) The guidelines adopted under this section may require	15352
school districts to collect and report data, information, or	15353
reports other than that described in divisions (A), (B), and (C)	15354
of this section for the purpose of complying with other reporting	15355
requirements established in the Revised Code. The other data,	15356
information, or reports may be maintained in the education	15357
management information system but are not required to be compiled	15358
as part of the profile formats required under division (G) of this	15359
section or the annual statewide report required under division (H)	15360
of this section.	15361

(F) Beginning with the school year that begins July 1, 1991,	15362
the board of education of each school district shall annually	15363
collect and report to the state board, in accordance with the	15364
guidelines established by the board, the data required pursuant to	15365
this section. A school district may collect and report these data	15366
notwithstanding section 2151.357 or 3319.321 of the Revised Code.	15367

(G) The state board shall, in accordance with the procedures	15368
it adopts, annually compile the data reported by each school	15369
district pursuant to division (D) of this section. The state board	15370
shall design formats for profiling each school district as a whole	15371
and each school building within each district and shall compile	15372
the data in accordance with these formats. These profile formats	15373
shall:	15374

(1) Include all of the data gathered under this section in a	15375
manner that facilitates comparison among school districts and	15376
among school buildings within each school district;	15377

(2) Present the data on academic achievement levels as	15378
assessed by the testing of student achievement maintained pursuant	15379
to division (B)(1)(d) of this section.	15380

(H)(1) The state board shall, in accordance with the	15381
procedures it adopts, annually prepare a statewide report for all	15382
school districts and the general public that includes the profile	15383
of each of the school districts developed pursuant to division (G)	15384
of this section. Copies of the report shall be sent to each school	15385
district.	15386

(2) The state board shall, in accordance with the procedures	15387
it adopts, annually prepare an individual report for each school	15388
district and the general public that includes the profiles of each	15389
of the school buildings in that school district developed pursuant	15390
to division (G) of this section. Copies of the report shall be	15391
sent to the superintendent of the district and to each member of	15392
the district board of education.	15393

(3) Copies of the reports received from the state board under	15394
divisions (H)(1) and (2) of this section shall be made available	15395
to the general public at each school district's offices. Each	15396
district board of education shall make copies of each report	15397
available to any person upon request and payment of a reasonable	15398
fee for the cost of reproducing the report. The board shall	15399
annually publish in a newspaper of general circulation in the	15400
school district, at least twice during the two weeks prior to the	15401
week in which the reports will first be available, a notice	15402
containing the address where the reports are available and the	15403
date on which the reports will be available.	15404

(I) Any data that is collected or maintained pursuant to this	15405
section and that identifies an individual pupil is not a public	15406
record for the purposes of section 149.43 of the Revised Code.	15407

(J) As used in this section:

15408

(1) "School district" means any city, local, exempted	15409
village, or joint vocational school district.	15410

(2) "Cost", "cost" means any expenditure for operating	15411
expenses made by a school district excluding any expenditures for	15412
debt retirement except for payments made to any commercial lending	15413
institution for any loan approved pursuant to section 3313.483 of	15414
the Revised Code.	15415

(K) Any person who removes data from the information system	15416
established under this section for the purpose of releasing it to	15417
any person not entitled under law to have access to such	15418
information is subject to section 2913.42 of the Revised Code	15419
prohibiting tampering with data.	15420

(L) Any time the department of education determines that a	15421
school district has taken any of the actions described under	15422
division (L)(1), (2), or (3) of this section, it shall make a	15423
report of the actions of the district, send a copy of the report	15424
to the superintendent of such school district, and maintain a copy	15425
of the report in its files:	15426

(1) The school district fails to meet any deadline	15427
established pursuant to this section for the reporting of any data	15428
to the education management information system;	15429

(2) The school district fails to meet any deadline	15430
established pursuant to this section for the correction of any	15431
data reported to the education management information system;	15432

(3) The school district reports data to the education	15433
management information system in a condition, as determined by the	15434
department, that indicates that the district did not make a good	15435
faith effort in reporting the data to the system.	15436

Any report made under this division shall include	15437
recommendations for corrective action by the school district.	15438

Upon making a report for the first time in a fiscal year, the	15439
department shall withhold ten per cent of the total amount due	15440
during that fiscal year under Chapter 3317. of the Revised Code to	15441
the school district to which the report applies. Upon making a	15442
second report in a fiscal year, the department shall withhold an	15443
additional twenty per cent of such total amount due during that	15444
fiscal year to the school district to which the report applies.	15445
The department shall not release such funds unless it determines	15446
that the district has taken corrective action. However, no such	15447
release of funds shall occur if the district fails to take	15448
corrective action within forty-five days of the date upon which	15449
the report was made by the department.	15450

(1) In accordance with division (L)(2) of this section, the	15451
department of education may sanction any school district that	15452
reports incomplete or inaccurate data, reports data that does not	15453
conform to data requirements and descriptions published by the	15454
department, fails to report data in a timely manner, or otherwise	15455
does not make a good faith effort to report data as required by	15456
this section.	15457

(2) If the department decides to sanction a school district	15458
under this division, the department shall take the following	15459
sequential actions:	15460

(a) Notify the district in writing that the department has	15461
determined that data has not been reported as required under this	15462
section and require the district to review its data submission and	15463
submit corrected data by a deadline established by the department.	15464
The department also may require the district to develop a	15465
corrective action plan, which shall include provisions for the	15466
district to provide mandatory staff training on data reporting	15467
procedures.	15468

(b) Withhold up to ten per cent of the total amount due to	15469
the district under Chapter 3317. of the Revised Code for the	15470
current fiscal year and, if not previously required under division	15471
(L)(2)(a) of this section, require the district to develop a	15472
corrective action plan in accordance with that division;	15473

(c) Withhold an additional amount of up to twenty per cent of	15474
the total amount due to the district under Chapter 3317. of the	15475
Revised Code for the current fiscal year;	15476

(d) Direct department staff or an outside entity to	15477
investigate the district's data reporting practices and make	15478
recommendations for subsequent actions. The recommendations may	15479
include one or more of the following actions:	15480

(i) Arrange for an audit of the district's data reporting	15481
practices by department staff or an outside entity;	15482

(ii) Conduct a site visit and evaluation of the district;

15483

(iii) Withhold an additional amount of up to thirty per cent	15484
of the total amount due to the district under Chapter 3317. of the	15485
Revised Code for the current fiscal year;	15486

(iv) Continue monitoring the district's data reporting;

15487

(v) Assign department staff to supervise the district's data	15488
management system;	15489

(vi) Conduct an investigation to determine whether to suspend	15490
or revoke the license of any district employee in accordance with	15491
division (N) of this section;	15492

(vii) Indicate on the report card issued for the district	15493
under section 3302.03 of the Revised Code that the district has	15494
been sanctioned for failing to report data as required by this	15495
section;	15496

(viii) If incomplete or inaccurate data submitted by the	15497
district likely caused the district to receive a higher	15498
performance rating than it deserved under section 3302.03 of the	15499
Revised Code, issue a revised report card for the district;	15500

(ix) Any other action designed to correct the district's data	15501
reporting problems.	15502

(3) Any time the department takes an action against a school	15503
district under division (L)(2) of this section, the department	15504
shall make a report of the circumstances that prompted the action.	15505
The department shall send a copy of the report to the district	15506
superintendent and maintain a copy of the report in its files.	15507

(4) If any action taken under division (L)(2) of this section	15508
resolves a school district's data reporting problems to the	15509
department's satisfaction, the department shall not take any	15510
further actions described by that division. If the department	15511
withheld funds from the district under that division, the	15512
department may release those funds to the district, except that if	15513
the department withheld funding under division (L)(2)(c) of this	15514
section, the department shall not release the funds withheld under	15515
division (L)(2)(b) of this section and, if the department withheld	15516
funding under division (L)(2)(d) of this section, the department	15517
shall not release the funds withheld under division (L)(2)(b) or	15518
(c) of this section.	15519

(5) Notwithstanding anything in this section to the contrary,	15520
the department may use its own staff or an outside entity to	15521
conduct an audit of a school district's data reporting practices	15522
any time the department has reason to believe the district has not	15523
made a good faith effort to report data as required by this	15524
section. If any audit conducted by an outside entity under	15525
division (L)(2)(d)(i) or (5) of this section confirms that a	15526
district has not made a good faith effort to report data as	15527
required by this section, the district shall reimburse the	15528
department for the full cost of the audit. The department may	15529
withhold funds due to the district under Chapter 3317. of the	15530
Revised Code for this purpose.	15531

(6) Prior to issuing a revised report card for a school	15532
district under division (L)(2)(d)(viii) of this section, the	15533
department may hold a hearing to provide the district with an	15534
opportunity to demonstrate that it made a good faith effort to	15535
report data as required by this section. The hearing shall be	15536
conducted by a referee appointed by the department. Based on the	15537
information provided in the hearing, the referee shall recommend	15538
whether the department should issue a revised report card for the	15539
district. If the referee affirms the department's contention that	15540
the district did not make a good faith effort to report data as	15541
required by this section, the district shall bear the full cost of	15542
conducting the hearing and of issuing any revised report card.	15543

(7) If the department determines that any inaccurate data	15544
reported under this section caused a school district to receive	15545
excess funds under Chapter 3317. of the Revised Code in any fiscal	15546
year, the district shall reimburse the department an amount equal	15547
to the excess funds, in accordance with a payment schedule	15548
determined by the department. The department may withhold funds	15549
due to the district under Chapter 3317. of the Revised Code for	15550
this purpose.	15551

(8) Any school district that has funds withheld under	15552
division (L)(2) of this section may appeal the withholding in	15553
accordance with Chapter 119. of the Revised Code.	15554

(9) In all cases of a disagreement between the department and	15555
a school district regarding the appropriateness of an action taken	15556
under division (L)(2) of this section, the burden of proof shall	15557
be on the district to demonstrate that it made a good faith effort	15558
to report data as required by this section.	15559

(M) No information technology center or school district shall	15560
acquire, change, or update its student administration software	15561
package to manage and report data required to be reported to the	15562
department unless it converts to a student software package that	15563
is certified by the department.	15564

(N) The state board of education, in accordance with sections	15565
3319.31 and 3319.311 of the Revised Code, may suspend or revoke a	15566
license as defined under division (A) of section 3319.31 of the	15567
Revised Code that has been issued to any school district employee	15568
found to have willfully reported erroneous, inaccurate, or	15569
incomplete data to the education management information system.	15570

(O) No person shall release or maintain any information about	15571
any student in violation of this section. Whoever violates this	15572
division is guilty of a misdemeanor of the fourth degree.	15573

(P) The department shall disaggregate the data collected	15574
under division (B)(1)(o) of this section according to the race and	15575
socioeconomic status of the students assessed. No data collected	15576
under that division shall be included on the report cards required	15577
by section 3302.03 of the Revised Code.	15578

(Q) If the department cannot compile any of the information	15579
required by division (C)(5) of section 3302.03 of the Revised Code	15580
based upon the data collected under this section, the department	15581
shall develop a plan and a reasonable timeline for the collection	15582
of any data necessary to comply with that division.	15583

Sec. 3301.162. (A) If the governing authority of a chartered	15584
nonpublic school intends to close the school, the governing	15585
authority shall notify all of the following of that intent prior	15586
to closing the school:	15587

(1) The department of education;

15588

(2) The school district that receives auxiliary services	15589
funding under division (I) of section 3317.024 of the Revised Code	15590
on behalf of the students enrolled in the school;	15591

(3) The accrediting association that most recently accredited	15592
the school for purposes of chartering the school in accordance	15593
with the rules of the state board of education, if applicable.	15594

The notice shall include the school year and, if possible,	15595
the actual date the school will close.	15596

(B) The chief administrator of each chartered nonpublic	15597
school that closes shall deposit the school's records with the	15598
school district that received auxiliary services funding under	15599
division (I) of section 3317.024 of the Revised Code on behalf of	15600
the students enrolled in the school.	15601

The school district that receives the records may charge for	15602
and receive a one-time reimbursement from auxiliary services	15603
funding under division (I) of section 3317.024 of the Revised Code	15604
for costs the district incurred to store the records.	15605

Sec. 3301.311. (A) As used in this section, "preschool	15606
program" has the same meaning as in section 3301.52 of the Revised	15607
Code.	15608

(B)(1) Subject to division (B)(2)divisions (C) and (D) of	15609
this section, after July 1, 2005beginning in fiscal year 2006, no	15610
preschool program, and no early childhood education program or	15611
early learning program as defined by the department of education	15612
shall receive any funds from the state unless fifty per cent of	15613
the staff members employed by that program as teachers are working	15614
toward an associate degree of a type approved by the department.	15615

(C)(1) Subject to division (B)(C)(2) of this section,	15616
beginning in fiscal year 20082010, no preschool program, and no	15617
early childhood education program, or early learning program as	15618
defined by the department, existing prior to fiscal year 2007,	15619
shall receive any funds from the state unless every staff member	15620
employed by that program as a teacher has attained such aan	15621
associate degree of a type approved by the department.	15622

(2) After July 1, 2010Beginning in fiscal year 2011, no	15623
preschool program, and no early childhood education program or	15624
early learning program as defined by the department of education,	15625
existing prior to fiscal year 2007, shall receive any funds from	15626
the state unless fifty per cent of the staff members employed by	15627
the program as teachers have attained a bachelor's degree of a	15628
type approved by the department.	15629

(D)(1) Subject to division (D)(2) of this section, beginning	15630
in fiscal year 2012, no preschool program, and no early childhood	15631
education program or early learning program as defined by the	15632
department, established during or after fiscal year 2007, shall	15633
receive any funds from the state unless every staff member	15634
employed by that program as a teacher has attained an associate	15635
degree of a type approved by the department.	15636

(2) Beginning in fiscal year 2013, no preschool program, and	15637
no early childhood education program or early learning program as	15638
defined by the department, established during or after fiscal year	15639
2007, shall receive any funds from the state unless fifty per cent	15640
of the staff members employed by the program as teachers have	15641
attained a bachelor's degree of a type approved by the department.	15642

Sec. 3301.53.  (A) Not later than July 1, 1988, theThe state	15643
board of education, in consultation with the director of job and	15644
family services, shall formulate and prescribe by rule adopted	15645
under Chapter 119. of the Revised Code minimum standards to be	15646
applied to preschool programs operated by school district boards	15647
of education, county MR/DD boards, or eligible nonpublic schools.	15648
The rules shall include the following:	15649

(1) Standards ensuring that the preschool program is located	15650
in a safe and convenient facility that accommodates the enrollment	15651
of the program, is of the quality to support the growth and	15652
development of the children according to the program objectives,	15653
and meets the requirements of section 3301.55 of the Revised Code;	15654

(2) Standards ensuring that supervision, discipline, and	15655
programs will be administered according to established objectives	15656
and procedures;	15657

(3) Standards ensuring that preschool staff members and	15658
nonteaching employees are recruited, employed, assigned,	15659
evaluated, and provided inservice education without discrimination	15660
on the basis of age, color, national origin, race, or sex; and	15661
that preschool staff members and nonteaching employees are	15662
assigned responsibilities in accordance with written position	15663
descriptions commensurate with their training and experience;	15664

(4) A requirement that boards of education intending to	15665
establish a preschool program on or after March 17, 1989,	15666
demonstrate a need for a preschool program that is not being met	15667
by any existing program providing child care, prior to	15668
establishing the program;	15669

(5) Requirements that children participating in preschool	15670
programs have been immunized to the extent considered appropriate	15671
by the state board to prevent the spread of communicable disease;	15672

(6) Requirements that the parents of preschool children	15673
complete the emergency medical authorization form specified in	15674
section 3313.712 of the Revised Code.	15675

(B) The state board of education in consultation with the	15676
director of job and family services shall ensure that the rules	15677
adopted by the state board under sections 3301.52 to 3301.58 of	15678
the Revised Code are consistent with and meet or exceed the	15679
requirements of Chapter 5104. of the Revised Code with regard to	15680
child day-care centers. The state board and the director of job	15681
and family services shall review all such rules at least once	15682
every five years.	15683

(C) On or before January 1, 1992, theThe state board of	15684
education, in consultation with the director of job and family	15685
services, shall adopt rules for school child programs that are	15686
consistent with and meet or exceed the requirements of the rules	15687
adopted for school child day-care centers under Chapter 5104. of	15688
the Revised Code.	15689

Sec. 3302.03.  (A) Annually the department of education shall	15690
report for each school district and each school building in a	15691
district all of the following:	15692

(1) The extent to which the school district or building meets	15693
each of the applicable performance indicators created by the state	15694
board of education under section 3302.02 of the Revised Code and	15695
the number of applicable performance indicators that have been	15696
achieved;	15697

(2) The performance index score of the school district or	15698
building;	15699

(3) Whether the school district or building has made adequate	15700
yearly progress;	15701

(4) Whether the school district or building is excellent,	15702
effective, needs continuous improvement, is under an academic	15703
watch, or is in a state of academic emergency.	15704

(B) Except as otherwise provided in divisiondivisions (B)(6)	15705
and (7) of this section:	15706

(1) A school district or building shall be declared excellent	15707
if it fulfills one of the following requirements:	15708

(a) It makes adequate yearly progress and either meets at	15709
least ninety-four per cent of the applicable state performance	15710
indicators or has a performance index score established by the	15711
department.	15712

(b) It has failed to make adequate yearly progress for not	15713
more than two consecutive years and either meets at least	15714
ninety-four per cent of the applicable state performance	15715
indicators or has a performance index score established by the	15716
department.	15717

(2) A school district or building shall be declared effective	15718
if it fulfills one of the following requirements:	15719

(a) It makes adequate yearly progress and either meets at	15720
least seventy-five per cent but less than ninety-four per cent of	15721
the applicable state performance indicators or has a performance	15722
index score established by the department.	15723

(b) It does not make adequate yearly progress and either	15724
meets at least seventy-five per cent of the applicable state	15725
performance indicators or has a performance index score	15726
established by the department, except that if it does not make	15727
adequate yearly progress for three consecutive years, it shall be	15728
declared in need of continuous improvement.	15729

(3) A school district or building shall be declared to be in	15730
need of continuous improvement if it fulfills one of the following	15731
requirements:	15732

(a) It makes adequate yearly progress, meets less than	15733
seventy-five per cent of the applicable state performance	15734
indicators, and has a performance index score established by the	15735
department.	15736

(b) It does not make adequate yearly progress and either	15737
meets at least fifty per cent but less than seventy-five per cent	15738
of the applicable state performance indicators or has a	15739
performance index score established by the department.	15740

(4) A school district or building shall be declared to be	15741
under an academic watch if it does not make adequate yearly	15742
progress and either meets at least thirty-one per cent but less	15743
than fifty per cent of the applicable state performance indicators	15744
or has a performance index score established by the department.	15745

(5) A school district or building shall be declared to be in	15746
a state of academic emergency if it does not make adequate yearly	15747
progress, does not meet at least thirty-one per cent of the	15748
applicable state performance indicators, and has a performance	15749
index score established by the department.	15750

(6) When designating performance ratings for school districts	15751
and buildings under divisions (B)(1) to (5) of this section, the	15752
department shall not assign a school district or building a lower	15753
designation from its previous year's designation based solely on	15754
one subgroup not making adequate yearly progress.	15755

(7) A school district or building shall not be assigned a	15756
higher performance rating than in need of continuous improvement	15757
if at least ten per cent but not more than fifteen per cent of the	15758
enrolled students do not take all achievement tests prescribed for	15759
their grade level under section 3301.0710 of the Revised Code from	15760
which they are not excused pursuant to division (C)(1) or (3) of	15761
section 3301.0711 of the Revised Code. A school district or	15762
building shall not be assigned a higher performance rating than	15763
under an academic watch if more than fifteen per cent but not more	15764
than twenty per cent of the enrolled students do not take all	15765
achievement tests prescribed for their grade level under section	15766
3301.0710 of the Revised Code from which they are not excused	15767
pursuant to division (C)(1) or (3) of section 3301.0711 of the	15768
Revised Code. A school district or building shall not be assigned	15769
a higher performance rating than in a state of academic emergency	15770
if more than twenty per cent of the enrolled students do not take	15771
all achievement tests prescribed for their grade level under	15772
section 3301.0710 of the Revised Code from which they are not	15773
excused pursuant to division (C)(1) or (3) of section 3301.0711 of	15774
the Revised Code.	15775

(C)(1) The department shall issue annual report cards for	15776
each school district, each building within each district, and for	15777
the state as a whole reflecting performance on the indicators	15778
created by the state board under section 3302.02 of the Revised	15779
Code, the performance index score, and adequate yearly progress.	15780

(2) The department shall include on the report card for each	15781
district information pertaining to any change from the previous	15782
year made by the school district or school buildings within the	15783
district on any performance indicator.	15784

(3) When reporting data on student performance, the	15785
department shall disaggregate that data according to the following	15786
categories:	15787

(a) Performance of students by age group;

15788

(b) Performance of students by race and ethnic group;

15789

(c) Performance of students by gender;

15790

(d) Performance of students grouped by those who have been	15791
enrolled in a district or school for three or more years;	15792

(e) Performance of students grouped by those who have been	15793
enrolled in a district or school for more than one year and less	15794
than three years;	15795

(f) Performance of students grouped by those who have been	15796
enrolled in a district or school for one year or less;	15797

(g) Performance of students grouped by those who are	15798
economically disadvantaged;	15799

(h) Performance of students grouped by those who are enrolled	15800
in a conversion community school established under Chapter 3314.	15801
of the Revised Code;	15802

(i) Performance of students grouped by those who are	15803
classified as limited English proficient;	15804

(j) Performance of students grouped by those who have	15805
disabilities;	15806

(k) Performance of students grouped by those who are	15807
classified as migrants;	15808

(l) Performance of students grouped by those who are	15809
identified as gifted pursuant to Chapter 3324. of the Revised	15810
Code.	15811

The department may disaggregate data on student performance	15812
according to other categories that the department determines are	15813
appropriate. To the extent possible, the department shall	15814
disaggregate data on student performance according to any	15815
combinations of two or more of the categories listed in divisions	15816
(C)(3)(a) to (l) of this section that it deems relevant.	15817

In reporting data pursuant to division (C)(3) of this	15818
section, the department shall not include in the report cards any	15819
data statistical in nature that is statistically unreliable or	15820
that could result in the identification of individual students.	15821
For this purpose, the department shall not report student	15822
performance data for any group identified in division (C)(3) of	15823
this section that contains less than ten students.	15824

(4) The department may include with the report cards any	15825
additional education and fiscal performance data it deems	15826
valuable.	15827

(5) The department shall include on each report card a list	15828
of additional information collected by the department that is	15829
available regarding the district or building for which the report	15830
card is issued. When available, such additional information shall	15831
include student mobility data disaggregated by race and	15832
socioeconomic status, college enrollment data, and the reports	15833
prepared under section 3302.031 of the Revised Code.	15834

The department shall maintain a site on the world wide web.	15835
The report card shall include the address of the site and shall	15836
specify that such additional information is available to the	15837
public at that site. The department shall also provide a copy of	15838
each item on the list to the superintendent of each school	15839
district. The district superintendent shall provide a copy of any	15840
item on the list to anyone who requests it.	15841

(6)(a) This division does not apply to conversion community	15842
schools that primarily enroll students between sixteen and	15843
twenty-two years of age who dropped out of high school or are at	15844
risk of dropping out of high school due to poor attendance,	15845
disciplinary problems, or suspensions.	15846

For any district that sponsors a conversion community school	15847
under Chapter 3314. of the Revised Code, the department shall	15848
combine data regarding the academic performance of students	15849
enrolled in the community school with comparable data from the	15850
schools of the district for the purpose of calculating the	15851
performance of the district as a whole on the report card issued	15852
for the district.	15853

(b) Any district that leases a building to a community school	15854
located in the district or that enters into an agreement with a	15855
community school located in the district whereby the district and	15856
the school endorse each other's programs may elect to have data	15857
regarding the academic performance of students enrolled in the	15858
community school combined with comparable data from the schools of	15859
the district for the purpose of calculating the performance of the	15860
district as a whole on the district report card. Any district that	15861
so elects shall annually file a copy of the lease or agreement	15862
with the department.	15863

(7) The department shall include on each report card the	15864
percentage of teachers in the district or building who are highly	15865
qualified, as defined by the "No Child Left Behind Act of 2001,"	15866
and a comparison of that percentage with the percentages of such	15867
teachers in similar districts and buildings.	15868

(8) The department shall include on the report card the	15869
number of master teachers employed by each district and each	15870
building once the data is available from the education management	15871
information system established under section 3301.0714 of the	15872
Revised Code.	15873

(D)(1) In calculating reading, writing, mathematics, social	15874
studies, or science proficiency or achievement test passage rates	15875
used to determine school district or building performance under	15876
this section, the department shall include all students taking a	15877
test with accommodation or to whom an alternate assessment is	15878
administered pursuant to division (C)(1) or (3) of section	15879
3301.0711 of the Revised Code.	15880

(2) In calculating performance index scores, rates of	15881
achievement on the performance indicators established by the state	15882
board under section 3302.02 of the Revised Code, and adequate	15883
yearly progress for school districts and buildings under this	15884
section, the department shall do all of the following:	15885

(a) Include for each district or building only those students	15886
who are included in the ADM certified for the first full school	15887
week of October and are continuously enrolled in the district or	15888
building through the time of the spring administration of any test	15889
prescribed by section 3301.0710 of the Revised Code that is	15890
administered to the student's grade level;	15891

(b) Include cumulative totals from both the fall and spring	15892
administrations of the third grade reading achievement test;	15893

(c) Except as required by the "No Child Left Behind Act of	15894
2001" for the calculation of adequate yearly progress, exclude for	15895
each district or building any limited English proficient student	15896
who has been enrolled in United States schools for less than one	15897
full school year.	15898

Sec. 3302.10.  (A) Beginning July 1, 2007, the superintendent	15899
of public instruction shallmay establish an academic distress	15900
commission for eachany school district that has been declared to	15901
be in a state of academic emergency pursuant to section 3302.03 of	15902
the Revised Code and has failed to make adequate yearly progress	15903
for four or more consecutive school years. Each commission shall	15904
assist the district for which it was established in improving the	15905
district's academic performance.	15906

Each commission is a body both corporate and politic,	15907
constituting an agency and instrumentality of the state and	15908
performing essential governmental functions of the state. A	15909
commission shall be known as the "academic distress commission for	15910
............... (name of school district)," and, in that name, may	15911
exercise all authority vested in such a commission by this	15912
section. A separate commission shall be established for each	15913
school district designated by the superintendent of public	15914
instruction.	15915

(B) Each academic distress commission shall consist of five	15916
voting members, three of whom shall be appointed by the	15917
superintendent of public instruction and two of whom shall be	15918
residents of the applicable school district appointed by the	15919
president of the district board of education of the applicable	15920
school district. When a school district becomes subject to this	15921
section, the superintendent of public instruction shall provide	15922
written notification of that fact to the district board of	15923
education and shall request the president of the district board to	15924
submit to the superintendent of public instruction, in writing,	15925
the names of the president's appointees to the commission. The	15926
superintendent of public instruction and the president of the	15927
district board shall make appointments to the commission within	15928
thirty days after the district is notified that it is subject to	15929
this section.	15930

Members of the commission shall serve at the pleasure of	15931
their appointing authority during the life of the commission. In	15932
the event of the death, resignation, incapacity, removal, or	15933
ineligibility to serve of a member, the appointing authority shall	15934
appoint a successor within fifteen days after the vacancy occurs.	15935
Members shall serve without compensation, but shall be paid by the	15936
commission their necessary and actual expenses incurred while	15937
engaged in the business of the commission.	15938

(C) Immediately after appointment of the initial members of	15939
an academic distress commission, the superintendent of public	15940
instruction shall call the first meeting of the commission and	15941
shall cause written notice of the time, date, and place of that	15942
meeting to be given to each member of the commission at least	15943
forty-eight hours in advance of the meeting. The first meeting	15944
shall include an overview of the commission's roles and	15945
responsibilities, the requirements of section 2921.42 and Chapter	15946
102. of the Revised Code as they pertain to commission members,	15947
the requirements of section 121.22 of the Revised Code, and the	15948
provisions of division (G) of this section. At its first meeting,	15949
the commission shall adopt temporary bylaws in accordance with	15950
division (D) of this section to govern its operations until the	15951
adoption of permanent bylaws.	15952

The superintendent of public instruction shall designate a	15953
chairperson for the commission from among the members appointed by	15954
the superintendent. The chairperson shall call and conduct	15955
meetings, set meeting agendas, and serve as a liaison between the	15956
commission and the district board of education. The chairperson	15957
also shall appoint a secretary, who shall not be a member of the	15958
commission.	15959

The department of education shall provide administrative	15960
support for the commission, provide data requested by the	15961
commission, and inform the commission of available state resources	15962
that could assist the commission in its work.	15963

(D) Each academic distress commission may adopt and alter	15964
bylaws and rules, which shall not be subject to section 111.15 or	15965
Chapter 119. of the Revised Code, for the conduct of its affairs	15966
and for the manner, subject to this section, in which its powers	15967
and functions shall be exercised and embodied.	15968

(E) Three members of an academic distress commission	15969
constitute a quorum of the commission. The affirmative vote of	15970
three members of the commission is necessary for any action taken	15971
by vote of the commission. No vacancy in the membership of the	15972
commission shall impair the rights of a quorum by such vote to	15973
exercise all the rights and perform all the duties of the	15974
commission. Members of the commission are not disqualified from	15975
voting by reason of the functions of any other office they hold	15976
and are not disqualified from exercising the functions of the	15977
other office with respect to the school district, its officers, or	15978
the commission.	15979

(F) The attorney general shall serve as the legal counsel for	15980
each academic distress commission.	15981

(G) The members of an academic distress commission, the	15982
superintendent of public instruction, and any person authorized to	15983
act on behalf of or assist them shall not be personally liable or	15984
subject to any suit, judgment, or claim for damages resulting from	15985
the exercise of or failure to exercise the powers, duties, and	15986
functions granted to them in regard to their functioning under	15987
this section, but the commission, superintendent of public	15988
instruction, and such other persons shall be subject to mandamus	15989
proceedings to compel performance of their duties under this	15990
section.	15991

(H) The members of an academic distress commission are not	15992
subject to section 102.02 of the Revised Code, except that a	15993
member who is subject to that section by virtue of holding another	15994
office or position shall comply with that section with respect to	15995
that other office or position. However, each member of the	15996
commission shall file with the Ohio ethics commission a signed	15997
written statement setting forth the general nature of sales of	15998
goods, property, or services or of loans to the applicable school	15999
district, in which the commission member has a pecuniary interest	16000
or in which any member of the commission member's immediate	16001
family, as defined in section 102.01 of the Revised Code, or any	16002
corporation, partnership, or enterprise of which the commission	16003
member is an officer, director, or partner, or of which the	16004
commission member or a member of the commission member's immediate	16005
family owns more than a five per cent interest, has a pecuniary	16006
interest, and of which sale, loan, or interest the commission	16007
member has knowledge. The statement shall be supplemented from	16008
time to time to reflect changes in the general nature of any such	16009
sales or loans.	16010

(I) Meetings of each academic distress commission shall be	16011
subject to section 121.22 of the Revised Code, except that the	16012
requirement in division (C) of that section for members to be	16013
physically present to be part of a quorum or vote does not apply	16014
if the commission holds a meeting by teleconference and if	16015
provisions are made for public attendance at any location involved	16016
in the teleconference.	16017

(J)(1) Within one hundred twenty days after the first meeting	16018
of an academic distress commission, the commission shall adopt an	16019
academic recovery plan to improve academic performance in the	16020
school district. The plan shall address academic problems at both	16021
the district and school levels. The plan shall include the	16022
following:	16023

(a) Short-term and long-term actions to be taken to improve	16024
the district's academic performance, including any actions	16025
required by section 3302.04 of the Revised Code;	16026

(b) The sequence and timing of the actions described in	16027
division (J)(1)(a) of this section and the persons responsible for	16028
implementing the actions;	16029

(c) Resources that will be applied toward improvement	16030
efforts;	16031

(d) Procedures for monitoring and evaluating improvement	16032
efforts;	16033

(e) Requirements for reporting to the commission and the	16034
district board of education on the status of improvement efforts.	16035

(2) The commission may amend the academic recovery plan	16036
subsequent to adoption. The commission shall update the plan at	16037
least annually.	16038

(3) The commission shall submit the academic recovery plan it	16039
adopts or updates to the superintendent of public instruction for	16040
approval immediately following its adoption or updating. The	16041
superintendent shall evaluate the plan and either approve or	16042
disapprove it within thirty days after its submission. If the plan	16043
is disapproved, the superintendent shall recommend modifications	16044
that will render it acceptable. No academic distress commission	16045
shall implement an academic recovery plan unless the	16046
superintendent has approved it.	16047

(4) County, state, and school district officers and employees	16048
shall assist the commission diligently and promptly in the	16049
implementation of the academic recovery plan.	16050

(K) Each academic distress commission shall seek input from	16051
the district board of education regarding ways to improve the	16052
district's academic performance, but any decision of the	16053
commission related to any authority granted to the commission	16054
under this section shall be final.	16055

The commission may do any of the following:

16056

(1) Appoint school building administrators and reassign	16057
administrative personnel;	16058

(2) Terminate the contracts of administrators or	16059
administrative personnel. The commission shall not be required to	16060
comply with section 3319.16 of the Revised Code with respect to	16061
any contract terminated under this division.	16062

(3) Contract with a private entity to perform school or	16063
district management functions;	16064

(4) Establish a budget for the district and approve district	16065
appropriations and expenditures, unless a financial planning and	16066
supervision commission has been established for the district	16067
pursuant to section 3316.05 of the Revised Code.	16068

(D)(L) If the board of education of a district for which an	16069
academic distress commission has been established under this	16070
section renews any collective bargaining agreement under Chapter	16071
4117. of the Revised Code during the existence of the commission,	16072
the district board shall not enter into any agreement that would	16073
render any decision of the commission unenforceable. Section	16074
3302.08 of the Revised Code does not apply to this division.	16075

Notwithstanding any provision to the contrary in Chapter	16076
4117. of the Revised Code, if the board of education has entered	16077
into a collective bargaining agreement after the effective date of	16078
this sectionSeptember 29, 2005, that contains stipulations	16079
relinquishing one or more of the rights or responsibilities listed	16080
in division (C) of section 4117.08 of the Revised Code, those	16081
stipulations are not enforceable and the district board shall	16082
resume holding those rights or responsibilities as if it had not	16083
relinquished them in that agreement until such time as both the	16084
academic distress commission ceases to exist and the district	16085
board agrees to relinquish those rights or responsibilities in a	16086
new collective bargaining agreement. The provisions of this	16087
paragraph apply to a collective bargaining agreement entered into	16088
after the effective date of this sectionSeptember 29, 2005, and	16089
those provisions are deemed to be part of that agreement	16090
regardless of whether the district satisfied the conditions	16091
prescribed in division (A) of this section at the time the	16092
district entered into that agreement.	16093

(E)(M) An academic distress commission shall cease to exist	16094
when the district for which it was established receives a	16095
performance rating under section 3302.03 of the Revised Code of in	16096
need of continuous improvement or better for two out of the three	16097
prior school years; however, the superintendent of public	16098
instruction may dissolve the commission earlier if the	16099
superintendent determines that the district can perform adequately	16100
without the supervision of the commission. Upon termination of the	16101
commission, the department of education shall compile a final	16102
report of the commission's activities to assist other academic	16103
distress commissions in the conduct of their functions.	16104

Sec. 3310.41. (A) As used in this section:

16105

(1) "Alternative public provider" means either of the	16106
following providers that agrees to enroll a child in the	16107
provider's special education program to implement the child's	16108
individualized education program and to which the child's parent	16109
owes fees for the services provided to the child:	16110

(a) A school district that is not the school district in	16111
which the child is entitled to attend school;	16112

(b) A public entity other than a school district.

16113

(2) "Entitled to attend school" means entitled to attend	16114
school in a school district under section 3313.64 or 3313.65 of	16115
the Revised Code.	16116

(3) "Formula ADM" and "category six special education ADM"	16117
have the same meanings as in section 3317.02 of the Revised Code.	16118

(4) "Handicapped preschool child" and "individualized	16119
education program" have the same meanings as in section 3323.01 of	16120
the Revised Code.	16121

(5) "Parent" has the same meaning as in section 3313.64 of	16122
the Revised Code, except that "parent" does not mean a parent	16123
whose custodial rights have been terminated.	16124

(6) "Preschool scholarship ADM" means the number of	16125
handicapped preschool children reported under division	16126
(B)(3)(h)(g) of section 3317.03 of the Revised Code.	16127

(7) "Qualified special education child" is a child for whom	16128
all of the following conditions apply:	16129

(a) The school district in which the child is entitled to	16130
attend school has identified the child as autistic. A child who	16131
has been identified as having a "pervasive developmental disorder	16132
- not otherwise specified (PPD-NOS)" shall be considered to be an	16133
autistic child for purposes of this section.	16134

(b) The school district in which the child is entitled to	16135
attend school has developed an individualized education program	16136
under Chapter 3323. of the Revised Code for the child.	16137

(c) The child either:

16138

(i) Was enrolled in the school district in which the child is	16139
entitled to attend school in any grade from preschool through	16140
twelve in the school year prior to the year in which a scholarship	16141
under this section is first sought for the child; or	16142

(ii) Is eligible to enter school in any grade preschool	16143
through twelve in the school district in which the child is	16144
entitled to attend school in the school year in which a	16145
scholarship under this section is first sought for the child.	16146

(8) "Registered private provider" means a nonpublic school or	16147
other nonpublic entity that has been approved by the Department	16148
department of Educationeducation to participate in the program	16149
established under this section.	16150

(B) There is hereby established the autism scholarship	16151
program. Under the program, the department of education shall pay	16152
a scholarship to the parent of each qualified special education	16153
child upon application of that parent pursuant to procedures and	16154
deadlines established by rule of the state board of education.	16155
Each scholarship shall be used only to pay tuition for the child	16156
on whose behalf the scholarship is awarded to attend a special	16157
education program that implements the child's individualized	16158
education program and that is operated by an alternative public	16159
provider or by a registered private provider. Each scholarship	16160
shall be in an amount not to exceed the lesser of the tuition	16161
charged for the child by the special education program or twenty	16162
thousand dollars. The purpose of the scholarship is to permit the	16163
parent of a qualified special education child the choice to send	16164
the child to a special education program, instead of the one	16165
operated by or for the school district in which the child is	16166
entitled to attend school, to receive the services prescribed in	16167
the child's individualized education program once the	16168
individualized education program is finalized. A scholarship under	16169
this section shall not be awarded to the parent of a child while	16170
the child's individualized education program is being developed by	16171
the school district in which the child is entitled to attend	16172
school, or while any administrative or judicial mediation or	16173
proceedings with respect to the content of the child's	16174
individualized education program are pending. A scholarship under	16175
this section shall not be used for a child to attend a public	16176
special education program that operates under a contract, compact,	16177
or other bilateral agreement between the school district in which	16178
the child is entitled to attend school and another school district	16179
or other public provider, or for a child to attend a community	16180
school established under Chapter 3314. of the Revised Code.	16181
However, nothing in this section or in any rule adopted by the	16182
state board shall prohibit a parent whose child attends a public	16183
special education program under a contract, compact, or other	16184
bilateral agreement, or a parent whose child attends a community	16185
school, from applying for and accepting a scholarship under this	16186
section so that the parent may withdraw the child from that	16187
program or community school and use the scholarship for the child	16188
to attend a special education program for which the parent is	16189
required to pay for services for the child. A child attending a	16190
special education program with a scholarship under this section	16191
shall continue to be entitled to transportation to and from that	16192
program in the manner prescribed by law.	16193

(C)(1) As prescribed in divisions (A)(2)(h)(g), (B)(3)(g)(f),	16194
and (B)(10) of section 3317.03 of the Revised Code, a child who is	16195
not a handicapped preschool child for whom a scholarship is	16196
awarded under this section shall be counted in the formula ADM and	16197
the category six special education ADM of the district in which	16198
the child is entitled to attend school and not in the formula ADM	16199
and the category six special education ADM of any other school	16200
district. As prescribed in divisions (B)(3)(h)(g) and (B)(10) of	16201
section 3317.03 of the Revised Code, a child who is a handicapped	16202
preschool child for whom a scholarship is awarded under this	16203
section shall be counted in the preschool scholarship ADM and	16204
category six special education ADM of the school district in which	16205
the child is entitled to attend school and not in the preschool	16206
scholarship ADM or category six special education ADM of any other	16207
school district.	16208

(2) In each fiscal year, the department shall deduct from the	16209
amounts paid to each school district under Chapter 3317. of the	16210
Revised Code, and, if necessary, sections 321.24 and 323.156 of	16211
the Revised Code, the aggregate amount of scholarships awarded	16212
under this section for qualified special education children	16213
included in the formula ADM, or preschool scholarship ADM, and in	16214
the category six special education ADM of that school district as	16215
provided in division (C)(1) of this section. The scholarships	16216
deducted shall be considered as an approved special education and	16217
related services expense for the purpose of the school district's	16218
compliance with division (C)(5) of section 3317.022 of the Revised	16219
Code.	16220

(3) From time to time, the department shall make a payment to	16221
the parent of each qualified special education child for whom a	16222
scholarship has been awarded under this section. The scholarship	16223
amount shall be proportionately reduced in the case of any such	16224
child who is not enrolled in the special education program for	16225
which a scholarship was awarded under this section for the entire	16226
school year. The department shall make no payments to the parent	16227
of a child while any administrative or judicial mediation or	16228
proceedings with respect to the content of the child's	16229
individualized education program are pending.	16230

(D) A scholarship shall not be paid to a parent for payment	16231
of tuition owed to a nonpublic entity unless that entity is a	16232
registered private provider. The department shall approve	16233
entities that meet the standards established by rule of the state	16234
board for the program established under this section.	16235

(E) The state board shall adopt rules under Chapter 119. of	16236
the Revised Code prescribing procedures necessary to implement	16237
this section, including, but not limited to, procedures and	16238
deadlines for parents to apply for scholarships, standards for	16239
registered private providers, and procedures for approval of	16240
entities as registered private providers.	16241

Sec. 3313.41.  (A) Except as provided in divisions (C), (D),	16242
and (F), and (G) of this section, when a board of education	16243
decides to dispose of real or personal property that it owns in	16244
its corporate capacity and that exceeds in value ten thousand	16245
dollars, it shall sell the property at public auction, after	16246
giving at least thirty days' notice of the auction by publication	16247
in a newspaper of general circulation or by posting notices in	16248
five of the most public places in the school district in which the	16249
property, if it is real property, is situated, or, if it is	16250
personal property, in the school district of the board of	16251
education that owns the property. The board may offer real	16252
property for sale as an entire tract or in parcels.	16253

(B) When the board of education has offered real or personal	16254
property for sale at public auction at least once pursuant to	16255
division (A) of this section, and the property has not been sold,	16256
the board may sell it at a private sale. Regardless of how it was	16257
offered at public auction, at a private sale, the board shall, as	16258
it considers best, sell real property as an entire tract or in	16259
parcels, and personal property in a single lot or in several lots.	16260

(C) If a board of education decides to dispose of real or	16261
personal property that it owns in its corporate capacity and that	16262
exceeds in value ten thousand dollars, it may sell the property to	16263
the adjutant general; to any subdivision or taxing authority as	16264
respectively defined in divisions (A) and (C) of section 5705.01	16265
of the Revised Code, township park district, board of park	16266
commissioners established under Chapter 755. of the Revised Code,	16267
or park district established under Chapter 1545. of the Revised	16268
Code; to a wholly or partially tax-supported university,	16269
university branch, or college; or to the board of trustees of a	16270
school district library, upon such terms as are agreed upon. The	16271
sale of real or personal property to the board of trustees of a	16272
school district library is limited, in the case of real property,	16273
to a school district library within whose boundaries the real	16274
property is situated, or, in the case of personal property, to a	16275
school district library whose boundaries lie in whole or in part	16276
within the school district of the selling board of education.	16277

(D) When a board of education decides to trade as a part or	16278
an entire consideration, an item of personal property on the	16279
purchase price of an item of similar personal property, it may	16280
trade the same upon such terms as are agreed upon by the parties	16281
to the trade.	16282

(E) The president and the treasurer of the board of education	16283
shall execute and deliver deeds or other necessary instruments of	16284
conveyance to complete any sale or trade under this section.	16285

(F) When a board of education has identified a parcel of real	16286
property that it determines is needed for school purposes, the	16287
board may, upon a majority vote of the members of the board,	16288
acquire that property by exchanging real property that the board	16289
owns in its corporate capacity for the identified real property or	16290
by using real property that the board owns in its corporate	16291
capacity as part or an entire consideration for the purchase price	16292
of the identified real property. Any exchange or acquisition made	16293
pursuant to this division shall be made by a conveyance executed	16294
by the president and the treasurer of the board.	16295

(G)(1) When a school district board of education decides to	16296
dispose of real property suitable for use as classroom space,	16297
prior to disposing of that property under divisions (A) to (F) of	16298
this section, it shall first offer that property for sale to the	16299
governing authorities of the start-up community schools	16300
established under Chapter 3314. of the Revised Code located within	16301
the territory of the school district, at a price that is not	16302
higher than the appraised fair market value of that property. If	16303
more than one community school governing authority accepts the	16304
offer made by the school district board, the board shall sell the	16305
property to the governing authority that accepted the offer first	16306
in time. If no community school governing authority accepts the	16307
offer within sixty days after the offer is made by the school	16308
district board, the board may dispose of the property in the	16309
applicable manner prescribed under divisions (A) to (F) of this	16310
section.	16311

(2) When a school district board of education has not used	16312
real property suitable for classroom space for academic	16313
instruction, administration, storage, or any other educational	16314
purpose for one full school year and has not adopted a resolution	16315
outlining a plan for using that property for any of those purposes	16316
within the next three school years, it shall offer that property	16317
for sale to the governing authorities of the start-up community	16318
schools established under Chapter 3314. of the Revised Code	16319
located within the territory of the school district, at a price	16320
that is not higher than the appraised fair market value of that	16321
property. If more than one community school governing authority	16322
accepts the offer made by the school district board, the board	16323
shall sell the property to the governing authority that accepted	16324
the offer first in time.	16325

(H) When a school district board of education has property	16326
that the board, by resolution, finds is not needed for school	16327
district use, is obsolete, or is unfit for the use for which it	16328
was acquired, the board may donate that property in accordance	16329
with this division if the fair market value of the property is, in	16330
the opinion of the board, two thousand five hundred dollars or	16331
less.	16332

The property may be donated to an eligible nonprofit	16333
organization that is located in this state and is exempt from	16334
federal income taxation pursuant to 26 U.S.C. 501(a) and (c)(3).	16335
Before donating any property under this division, the board shall	16336
adopt a resolution expressing its intent to make unneeded,	16337
obsolete, or unfit-for-use school district property available to	16338
these organizations. The resolution shall include guidelines and	16339
procedures the board considers to be necessary to implement the	16340
donation program and shall indicate whether the school district	16341
will conduct the donation program or the board will contract with	16342
a representative to conduct it. If a representative is known when	16343
the resolution is adopted, the resolution shall provide contact	16344
information such as the representative's name, address, and	16345
telephone number.	16346

The resolution shall include within its procedures a	16347
requirement that any nonprofit organization desiring to obtain	16348
donated property under this division shall submit a written notice	16349
to the board or its representative. The written notice shall	16350
include evidence that the organization is a nonprofit organization	16351
that is located in this state and is exempt from federal income	16352
taxation pursuant to 26 U.S.C. 501(a) and (c)(3); a description of	16353
the organization's primary purpose; a description of the type or	16354
types of property the organization needs; and the name, address,	16355
and telephone number of a person designated by the organization's	16356
governing board to receive donated property and to serve as its	16357
agent.	16358

After adoption of the resolution, the board shall publish, in	16359
a newspaper of general circulation in the school district, notice	16360
of its intent to donate unneeded, obsolete, or unfit-for-use	16361
school district property to eligible nonprofit organizations. The	16362
notice shall include a summary of the information provided in the	16363
resolution and shall be published at least twice. The second and	16364
any subsequent notice shall be published not less than ten nor	16365
more than twenty days after the previous notice. A similar notice	16366
also shall be posted continually in the board's office, and, if	16367
the school district maintains a web site on the internet, the	16368
notice shall be posted continually at that web site.	16369

The board or its representatives shall maintain a list of all	16370
nonprofit organizations that notify the board or its	16371
representative of their desire to obtain donated property under	16372
this division and that the board or its representative determines	16373
to be eligible, in accordance with the requirements set forth in	16374
this section and in the donation program's guidelines and	16375
procedures, to receive donated property.	16376

The board or its representative also shall maintain a list of	16377
all school district property the board finds to be unneeded,	16378
obsolete, or unfit for use and to be available for donation under	16379
this division. The list shall be posted continually in a	16380
conspicuous location in the board's office, and, if the school	16381
district maintains a web site on the internet, the list shall be	16382
posted continually at that web site. An item of property on the	16383
list shall be donated to the eligible nonprofit organization that	16384
first declares to the board or its representative its desire to	16385
obtain the item unless the board previously has established, by	16386
resolution, a list of eligible nonprofit organizations that shall	16387
be given priority with respect to the item's donation. Priority	16388
may be given on the basis that the purposes of a nonprofit	16389
organization have a direct relationship to specific school	16390
district purposes of programs provided or administered by the	16391
board. A resolution giving priority to certain nonprofit	16392
organizations with respect to the donation of an item of property	16393
shall specify the reasons why the organizations are given that	16394
priority.	16395

Members of the board shall consult with the Ohio ethics	16396
commission, and comply with Chapters 102. and 2921. of the Revised	16397
Code, with respect to any donation under this division to a	16398
nonprofit organization of which a board member, any member of a	16399
board member's family, or any business associate of a board member	16400
is a trustee, officer, board member, or employee.	16401

Sec. 3313.615.  This section shall apply to diplomas awarded	16402
after September 15, 2006, to students who are required to take the	16403
five Ohio graduation tests prescribed by division (B) of section	16404
3301.0710 of the Revised Code.	16405

(A) As an alternative to the requirement that a person attain	16406
the scores designated under division (B) of section 3301.0710 of	16407
the Revised Code on all the tests required under that division in	16408
order to be eligible for a high school diploma or an honors	16409
diploma under sections 3313.61, 3313.612, or 3325.08 of the	16410
Revised Code or for a diploma of adult education under section	16411
3313.611 of the Revised Code, a person who has attained at least	16412
the applicable scores designated under division (B) of section	16413
3301.0710 of the Revised Code on all but one of the tests required	16414
by that division and from which the person was not excused or	16415
exempted, pursuant to division (H) or (L) of section 3313.61,	16416
division (B)(1) of section 3313.612, or section 3313.532 of the	16417
Revised Code, may be awarded a diploma or honors diploma if the	16418
person has satisfied all of the following conditions:	16419

(1) On the one test required under division (B) of section	16420
3301.0710 of the Revised Code for which the person failed to	16421
attain the designated score, the person missed that score by ten	16422
points or less;	16423

(2) Has a ninety-seven per cent school attendance rate in	16424
each of the last four school years, excluding any excused	16425
absences;	16426

(3) Has not been expelled from school under section 3313.66	16427
of the Revised Code in any of the last four school years;	16428

(4) Has a grade point average of at least 2.5 out of 4.0, or	16429
its equivalent as designated in rules adopted by the state board	16430
of education, in the subject area of the test required under	16431
division (B) of section 3301.0710 of the Revised Code for which	16432
the person failed to attain the designated score;	16433

(5) Has completed the high school curriculum requirements	16434
prescribed in section 3313.603 of the Revised Code or has	16435
qualified under division (D) or (F) of that section;	16436

(6) Has taken advantage of any intervention programs provided	16437
by the school district or school in the subject area described in	16438
division (A)(4) of this section and has a ninety-seven per cent	16439
attendance rate, excluding any excused absences, in any of those	16440
programs that are provided at times beyond the normal school day,	16441
school week, or school year or has received comparable	16442
intervention services from a source other than the school district	16443
or school;	16444

(7) Holds a letter recommending graduation from each of the	16445
person's high school teachers in the subject area described in	16446
division (A)(4) of this section and from the person's high school	16447
principal.	16448

(B) The state board of education shall establish rules	16449
designating grade point averages equivalent to the average	16450
specified in division (A)(4) of this section for use by school	16451
districts and schools with different grading systems.	16452

(C) Any student who is exempt from attaining the applicable	16453
score designated under division (B) of section 3301.0710 of the	16454
Revised Code on the Ohio graduation test in social studies	16455
pursuant to division (H) of section 3313.61 or division (B)(2) of	16456
section 3313.612 of the Revised Code shall not qualify for a high	16457
school diploma under this section, unless, notwithstanding the	16458
exemption, the student attains the applicable score on that test.	16459
If the student attains the applicable score on that test, the	16460
student may qualify for a diploma under this section in the same	16461
manner as any other student who is required to take the five Ohio	16462
graduation tests prescribed by division (B) of section 3301.0710	16463
of the Revised Code.	16464

Sec. 3313.646.  (A) The board of education of a school	16465
district, except a cooperative education district established	16466
pursuant to section 3311.521 of the Revised Code, may establish	16467
and operate a preschool program except that no such program shall	16468
be established after March 17, 1989, unless both of the following	16469
apply at the time the program is established:	16470

(1) The, provided the board has demonstrated a need for the	16471
program.	16472

(2) Unless it is a cooperative education district established	16473
pursuant to divisions (A) to (C) of section 3311.52 of the Revised	16474
Code, the school district is eligible for moneys distributed by	16475
the department of education pursuant to section 3317.029 of the	16476
Revised Code. A board may use school funds in support of preschool	16477
programs. The board shall maintain, operate, and admit children to	16478
any such program pursuant to rules adopted by such board and the	16479
rules of the state board of education adopted under sections	16480
3301.52 to 3301.57 of the Revised Code.	16481

A board of education may establish fees or tuition, which may	16482
be graduated in proportion to family income, for participation in	16483
a preschool program. In cases where payment of fees or tuition	16484
would create a hardship for the child's parent or guardian, the	16485
board may waive any such fees or tuition.	16486

(B) No board of education that is not receiving funds under	16487
the "Head Start Act," 95 Stat. 489 (1981), 42 U.S.C.A. 9831, on	16488
March 17, 1989, shall compete for funds under the "Head Start Act"	16489
with any grantee receiving funds under that act.	16490

(C) A board of education may contract with any of the	16491
following preschool providers to provide preschool programs, other	16492
than programs for units described by divisions (B) and (C) of	16493
section 3317.05 of the Revised Code, for children of the school	16494
district:	16495

(1) Any organization receiving funds under the "Head Start	16496
Act";	16497

(2) Any nonsectarian eligible nonpublic school as defined in	16498
division (H) of section 3301.52 of the Revised Code;	16499

(3) Any child care provider licensed under Chapter 5104. of	16500
the Revised Code.	16501

Boards may contract to provide preschool programs only with	16502
such organizations whose staff meet the requirements of rules	16503
adopted under section 3301.53 of the Revised Code or those of the	16504
child development associate credential established by the national	16505
association for the education of young children.	16506

(D) A contract entered into under division (C) of this	16507
section may provide for the board of education to lease school	16508
facilities to the preschool provider or to furnish transportation,	16509
utilities, or staff for the preschool program.	16510

(E) The treasurer of any board of education operating a	16511
preschool program pursuant to this section shall keep an account	16512
of all funds used to operate the program in the same manner as he	16513
the treasurer would any other funds of the district pursuant to	16514
this chapter.	16515

Sec. 3313.66.  (A) Except as provided under division (B)(2)	16516
of this section, the superintendent of schools of a city, exempted	16517
village, or local school district, or the principal of a public	16518
school may suspend a pupil from school for not more than ten	16519
school days. The board of education of a city, exempted village,	16520
or local school district may adopt a policy granting assistant	16521
principals and other administrators the authority to suspend a	16522
pupil from school for a period of time as specified in the policy	16523
of the board of education, not to exceed ten school days. If at	16524
the time a suspension is imposed there are fewer than ten school	16525
days remaining in the school year in which the incident that gives	16526
rise to the suspension takes place, the superintendent may apply	16527
any remaining part or all of the period of the suspension to the	16528
following school year. Except in the case of a pupil given an	16529
in-school suspension, no pupil shall be suspended unless prior to	16530
the suspension such superintendent or principal does both of the	16531
following:	16532

(1) Gives the pupil written notice of the intention to	16533
suspend the pupil and the reasons for the intended suspension and,	16534
if the proposed suspension is based on a violation listed in	16535
division (A) of section 3313.662 of the Revised Code and if the	16536
pupil is sixteen years of age or older, includes in the notice a	16537
statement that the superintendent may seek to permanently exclude	16538
the pupil if the pupil is convicted of or adjudicated a delinquent	16539
child for that violation;	16540

(2) Provides the pupil an opportunity to appear at an	16541
informal hearing before the principal, assistant principal,	16542
superintendent, or superintendent's designee and challenge the	16543
reason for the intended suspension or otherwise to explain the	16544
pupil's actions.	16545

(B)(1) Except as provided under division (B)(2), (3), or (4)	16546
of this section, the superintendent of schools of a city, exempted	16547
village, or local school district may expel a pupil from school	16548
for a period not to exceed the greater of eighty school days or	16549
the number of school days remaining in the semester or term in	16550
which the incident that gives rise to the expulsion takes place,	16551
unless the expulsion is extended pursuant to division (F) of this	16552
section. If at the time an expulsion is imposed there are fewer	16553
than eighty school days remaining in the school year in which the	16554
incident that gives rise to the expulsion takes place, the	16555
superintendent may apply any remaining part or all of the period	16556
of the expulsion to the following school year.	16557

(2)(a) Unless a pupil is permanently excluded pursuant to	16558
section 3313.662 of the Revised Code, the superintendent of	16559
schools of a city, exempted village, or local school district	16560
shall expel a pupil from school for a period of one year for	16561
bringing a firearm to a school operated by the board of education	16562
of the district or onto any other property owned or controlled by	16563
the board, except that the superintendent may reduce this	16564
requirement on a case-by-case basis in accordance with the policy	16565
adopted by the board under section 3313.661 of the Revised Code.	16566

(b) The superintendent of schools of a city, exempted	16567
village, or local school district may expel a pupil from school	16568
for a period of one year for bringing a firearm to an	16569
interscholastic competition, an extracurricular event, or any	16570
other school program or activity that is not located in a school	16571
or on property that is owned or controlled by the district. The	16572
superintendent may reduce this disciplinary action on a	16573
case-by-case basis in accordance with the policy adopted by the	16574
board under section 3313.661 of the Revised Code.	16575

(c) Any expulsion pursuant to division (B)(2) of this section	16576
shall extend, as necessary, into the school year following the	16577
school year in which the incident that gives rise to the expulsion	16578
takes place. As used in this division, "firearm" has the same	16579
meaning as provided pursuant to the "Gun-Free Schools Act of	16580
1994," 108115 Stat. 2701762, 20 U.S.C. 8001(a)(2)7151.	16581

(3) The board of education of a city, exempted village, or	16582
local school district may adopt a resolution authorizing the	16583
superintendent of schools to expel a pupil from school for a	16584
period not to exceed one year for bringing a knife to a school	16585
operated by the board, onto any other property owned or controlled	16586
by the board, or to an interscholastic competition, an	16587
extracurricular event, or any other program or activity sponsored	16588
by the school district or in which the district is a participant,	16589
or for possessing a firearm or knife at a school, on any other	16590
property owned or controlled by the board, or at an	16591
interscholastic competition, an extracurricular event, or any	16592
other school program or activity, which firearm or knife was	16593
initially brought onto school board property by another person.	16594
The resolution may authorize the superintendent to extend such an	16595
expulsion, as necessary, into the school year following the school	16596
year in which the incident that gives rise to the expulsion takes	16597
place.	16598

(4) The board of education of a city, exempted village, or	16599
local school district may adopt a resolution establishing a policy	16600
under section 3313.661 of the Revised Code that authorizes the	16601
superintendent of schools to expel a pupil from school for a	16602
period not to exceed one year for committing an act that is a	16603
criminal offense when committed by an adult and that results in	16604
serious physical harm to persons as defined in division (A)(5) of	16605
section 2901.01 of the Revised Code or serious physical harm to	16606
property as defined in division (A)(6) of section 2901.01 of the	16607
Revised Code while the pupil is at school, on any other property	16608
owned or controlled by the board, or at an interscholastic	16609
competition, an extracurricular event, or any other school program	16610
or activity. Any expulsion under this division shall extend, as	16611
necessary, into the school year following the school year in which	16612
the incident that gives rise to the expulsion takes place.	16613

(5) The board of education of any city, exempted village, or	16614
local school district may adopt a resolution establishing a policy	16615
under section 3313.661 of the Revised Code that authorizes the	16616
superintendent of schools to expel a pupil from school for a	16617
period not to exceed one year for making a bomb threat to a school	16618
building or to any premises at which a school activity is	16619
occurring at the time of the threat. Any expulsion under this	16620
division shall extend, as necessary, into the school year	16621
following the school year in which the incident that gives rise to	16622
the expulsion takes place.	16623

(6) No pupil shall be expelled under division (B)(1), (2),	16624
(3), (4), or (5) of this section unless, prior to the pupil's	16625
expulsion, the superintendent does both of the following:	16626

(a) Gives the pupil and the pupil's parent, guardian, or	16627
custodian written notice of the intention to expel the pupil;	16628

(b) Provides the pupil and the pupil's parent, guardian,	16629
custodian, or representative an opportunity to appear in person	16630
before the superintendent or the superintendent's designee to	16631
challenge the reasons for the intended expulsion or otherwise to	16632
explain the pupil's actions.	16633

The notice required in this division shall include the	16634
reasons for the intended expulsion, notification of the	16635
opportunity of the pupil and the pupil's parent, guardian,	16636
custodian, or representative to appear before the superintendent	16637
or the superintendent's designee to challenge the reasons for the	16638
intended expulsion or otherwise to explain the pupil's action, and	16639
notification of the time and place to appear. The time to appear	16640
shall not be earlier than three nor later than five school days	16641
after the notice is given, unless the superintendent grants an	16642
extension of time at the request of the pupil or the pupil's	16643
parent, guardian, custodian, or representative. If an extension is	16644
granted after giving the original notice, the superintendent shall	16645
notify the pupil and the pupil's parent, guardian, custodian, or	16646
representative of the new time and place to appear. If the	16647
proposed expulsion is based on a violation listed in division (A)	16648
of section 3313.662 of the Revised Code and if the pupil is	16649
sixteen years of age or older, the notice shall include a	16650
statement that the superintendent may seek to permanently exclude	16651
the pupil if the pupil is convicted of or adjudicated a delinquent	16652
child for that violation.	16653

(7) A superintendent of schools of a city, exempted village,	16654
or local school district shall initiate expulsion proceedings	16655
pursuant to this section with respect to any pupil who has	16656
committed an act warranting expulsion under the district's policy	16657
regarding expulsion even if the pupil has withdrawn from school	16658
for any reason after the incident that gives rise to the hearing	16659
but prior to the hearing or decision to impose the expulsion. If,	16660
following the hearing, the pupil would have been expelled for a	16661
period of time had the pupil still been enrolled in the school,	16662
the expulsion shall be imposed for the same length of time as on a	16663
pupil who has not withdrawn from the school.	16664

(C) If a pupil's presence poses a continuing danger to	16665
persons or property or an ongoing threat of disrupting the	16666
academic process taking place either within a classroom or	16667
elsewhere on the school premises, the superintendent or a	16668
principal or assistant principal may remove a pupil from	16669
curricular activities or from the school premises, and a teacher	16670
may remove a pupil from curricular activities under the teacher's	16671
supervision, without the notice and hearing requirements of	16672
division (A) or (B) of this section. As soon as practicable after	16673
making such a removal, the teacher shall submit in writing to the	16674
principal the reasons for such removal.	16675

If a pupil is removed under this division from a curricular	16676
activity or from the school premises, written notice of the	16677
hearing and of the reason for the removal shall be given to the	16678
pupil as soon as practicable prior to the hearing, which shall be	16679
held within three school days from the time the initial removal is	16680
ordered. The hearing shall be held in accordance with division (A)	16681
of this section unless it is probable that the pupil may be	16682
subject to expulsion, in which case a hearing in accordance with	16683
division (B) of this section shall be held, except that the	16684
hearing shall be held within three school days of the initial	16685
removal. The individual who ordered, caused, or requested the	16686
removal to be made shall be present at the hearing.	16687

If the superintendent or the principal reinstates a pupil in	16688
a curricular activity under the teacher's supervision prior to the	16689
hearing following a removal under this division, the teacher, upon	16690
request, shall be given in writing the reasons for such	16691
reinstatement.	16692

(D) The superintendent or principal, within one school day	16693
after the time of a pupil's expulsion or suspension, shall notify	16694
in writing the parent, guardian, or custodian of the pupil and the	16695
treasurer of the board of education of the expulsion or	16696
suspension. The notice shall include the reasons for the expulsion	16697
or suspension, notification of the right of the pupil or the	16698
pupil's parent, guardian, or custodian to appeal the expulsion or	16699
suspension to the board of education or to its designee, to be	16700
represented in all appeal proceedings, to be granted a hearing	16701
before the board or its designee in order to be heard against the	16702
suspension or expulsion, and to request that the hearing be held	16703
in executive session, notification that the expulsion may be	16704
subject to extension pursuant to division (F) of this section if	16705
the pupil is sixteen years of age or older, and notification that	16706
the superintendent may seek the pupil's permanent exclusion if the	16707
suspension or expulsion was based on a violation listed in	16708
division (A) of section 3313.662 of the Revised Code that was	16709
committed when the child was sixteen years of age or older and if	16710
the pupil is convicted of or adjudicated a delinquent child for	16711
that violation.	16712

In accordance with the policy adopted by the board of	16713
education under section 3313.661 of the Revised Code, the notice	16714
provided under this division shall specify the manner and date by	16715
which the pupil or the pupil's parent, guardian, or custodian	16716
shall notify the board of the pupil's, parent's, guardian's, or	16717
custodian's intent to appeal the expulsion or suspension to the	16718
board or its designee.	16719

Any superintendent expelling a pupil under this section for	16720
more than twenty school days or for any period of time if the	16721
expulsion will extend into the following semester or school year	16722
shall, in the notice required under this division, provide the	16723
pupil and the pupil's parent, guardian, or custodian with	16724
information about services or programs offered by public and	16725
private agencies that work toward improving those aspects of the	16726
pupil's attitudes and behavior that contributed to the incident	16727
that gave rise to the pupil's expulsion. The information shall	16728
include the names, addresses, and phone numbers of the appropriate	16729
public and private agencies.	16730

(E) A pupil or the pupil's parent, guardian, or custodian may	16731
appeal the pupil's expulsion by a superintendent or suspension by	16732
a superintendent, principal, assistant principal, or other	16733
administrator to the board of education or to its designee. If the	16734
pupil or the pupil's parent, guardian, or custodian intends to	16735
appeal the expulsion or suspension to the board or its designee,	16736
the pupil or the pupil's parent, guardian, or custodian shall	16737
notify the board in the manner and by the date specified in the	16738
notice provided under division (D) of this section. The pupil or	16739
the pupil's parent, guardian, or custodian may be represented in	16740
all appeal proceedings and shall be granted a hearing before the	16741
board or its designee in order to be heard against the suspension	16742
or expulsion. At the request of the pupil or of the pupil's	16743
parent, guardian, custodian, or attorney, the board or its	16744
designee may hold the hearing in executive session but shall act	16745
upon the suspension or expulsion only at a public meeting. The	16746
board, by a majority vote of its full membership or by the action	16747
of its designee, may affirm the order of suspension or expulsion,	16748
reinstate the pupil, or otherwise reverse, vacate, or modify the	16749
order of suspension or expulsion.	16750

The board or its designee shall make a verbatim record of	16751
hearings held under this division. The decisions of the board or	16752
its designee may be appealed under Chapter 2506. of the Revised	16753
Code.	16754

This section shall not be construed to require notice and	16755
hearing in accordance with division (A), (B), or (C) of this	16756
section in the case of normal disciplinary procedures in which a	16757
pupil is removed from a curricular activity for a period of less	16758
than one school day and is not subject to suspension or expulsion.	16759

(F)(1) If a pupil is expelled pursuant to division (B) of	16760
this section for committing any violation listed in division (A)	16761
of section 3313.662 of the Revised Code and the pupil was sixteen	16762
years of age or older at the time of committing the violation, if	16763
a complaint, indictment, or information is filed alleging that the	16764
pupil is a delinquent child based upon the commission of the	16765
violation or the pupil is prosecuted as an adult for the	16766
commission of the violation, and if the resultant juvenile court	16767
or criminal proceeding is pending at the time that the expulsion	16768
terminates, the superintendent of schools that expelled the pupil	16769
may file a motion with the court in which the proceeding is	16770
pending requesting an order extending the expulsion for the lesser	16771
of an additional eighty days or the number of school days	16772
remaining in the school year. Upon the filing of the motion, the	16773
court immediately shall schedule a hearing and give written notice	16774
of the time, date, and location of the hearing to the	16775
superintendent and to the pupil and the pupil's parent, guardian,	16776
or custodian. At the hearing, the court shall determine whether	16777
there is reasonable cause to believe that the pupil committed the	16778
alleged violation that is the basis of the expulsion and, upon	16779
determining that reasonable cause to believe the pupil committed	16780
the violation does exist, shall grant the requested extension.	16781

(2) If a pupil has been convicted of or adjudicated a	16782
delinquent child for a violation listed in division (A) of section	16783
3313.662 of the Revised Code for an act that was committed when	16784
the child was sixteen years of age or older, if the pupil has been	16785
expelled pursuant to division (B) of this section for that	16786
violation, and if the board of education of the school district of	16787
the school from which the pupil was expelled has adopted a	16788
resolution seeking the pupil's permanent exclusion, the	16789
superintendent may file a motion with the court that convicted the	16790
pupil or adjudicated the pupil a delinquent child requesting an	16791
order to extend the expulsion until an adjudication order or other	16792
determination regarding permanent exclusion is issued by the	16793
superintendent of public instruction pursuant to section 3301.121	16794
and division (D) of section 3313.662 of the Revised Code. Upon the	16795
filing of the motion, the court immediately shall schedule a	16796
hearing and give written notice of the time, date, and location of	16797
the hearing to the superintendent of the school district, the	16798
pupil, and the pupil's parent, guardian, or custodian. At the	16799
hearing, the court shall determine whether there is reasonable	16800
cause to believe the pupil's continued attendance in the public	16801
school system may endanger the health and safety of other pupils	16802
or school employees and, upon making that determination, shall	16803
grant the requested extension.	16804

(G) The failure of the superintendent or the board of	16805
education to provide the information regarding the possibility of	16806
permanent exclusion in the notice required by divisions (A), (B),	16807
and (D) of this section is not jurisdictional, and the failure	16808
shall not affect the validity of any suspension or expulsion	16809
procedure that is conducted in accordance with this section or the	16810
validity of a permanent exclusion procedure that is conducted in	16811
accordance with sections 3301.121 and 3313.662 of the Revised	16812
Code.	16813

(H) With regard to suspensions and expulsions pursuant to	16814
divisions (A) and (B) of this section by the board of education of	16815
any city, exempted village, or local school district, this section	16816
shall apply to any student, whether or not the student is enrolled	16817
in the district, attending or otherwise participating in any	16818
curricular program provided in a school operated by the board or	16819
provided on any other property owned or controlled by the board.	16820

(I) Whenever a student is expelled under this section, the	16821
expulsion shall result in removal of the student from the	16822
student's regular school setting. However, during the period of	16823
the expulsion, the board of education of the school district that	16824
expelled the student or any board of education admitting the	16825
student during that expulsion period may provide educational	16826
services to the student in an alternative setting.	16827

(J)(1) Notwithstanding sections 3109.51 to 3109.80, 3313.64,	16828
and 3313.65 of the Revised Code, any school district, after	16829
offering an opportunity for a hearing, may temporarily deny	16830
admittance to any pupil if one of the following applies:	16831

(a) The pupil has been suspended from the schools of another	16832
district under division (A) of this section and the period of	16833
suspension, as established under that division, has not expired;	16834

(b) The pupil has been expelled from the schools of another	16835
district under division (B) of this section and the period of the	16836
expulsion, as established under that division or as extended under	16837
division (F) of this section, has not expired.	16838

If a pupil is temporarily denied admission under this	16839
division, the pupil shall be admitted to school in accordance with	16840
sections 3109.51 to 3109.80, 3313.64, or 3313.65 of the Revised	16841
Code no later than upon expiration of the suspension or expulsion	16842
period, as applicable.	16843

(2) Notwithstanding sections 3109.51 to 3109.80, 3313.64, and	16844
3313.65 of the Revised Code, any school district, after offering	16845
an opportunity for a hearing, may temporarily deny admittance to	16846
any pupil if the pupil has been expelled or otherwise removed for	16847
disciplinary purposes from a public school in another state and	16848
the period of expulsion or removal has not expired. If a pupil is	16849
temporarily denied admission under this division, the pupil shall	16850
be admitted to school in accordance with sections 3109.51 to	16851
3109.80, 3313.64, or 3313.65 of the Revised Code no later than the	16852
earlier of the following:	16853

(a) Upon expiration of the expulsion or removal period	16854
imposed by the out-of-state school;	16855

(b) Upon expiration of a period established by the district,	16856
beginning with the date of expulsion or removal from the	16857
out-of-state school, that is no greater than the period of	16858
expulsion that the pupil would have received under the policy	16859
adopted by the district under section 3313.661 of the Revised Code	16860
had the offense that gave rise to the expulsion or removal by the	16861
out-of-state school been committed while the pupil was enrolled in	16862
the district.	16863

(K) As used in this section:

16864

(1) "Permanently exclude" and "permanent exclusion" have the	16865
same meanings as in section 3313.662 of the Revised Code.	16866

(2) "In-school suspension" means the pupil will serve all of	16867
the suspension in a school setting.	16868

Sec. 3313.661.  (A) The board of education of each city,	16869
exempted village, and local school district shall adopt a policy	16870
regarding suspension, expulsion, removal, and permanent exclusion	16871
that specifies the types of misconduct for which a pupil may be	16872
suspended, expelled, or removed. The types of misconduct may	16873
include misconduct by a pupil that occurs off of property owned or	16874
controlled by the district but that is connected to activities or	16875
incidents that have occurred on property owned or controlled by	16876
that district and misconduct by a pupil that, regardless of where	16877
it occurs, is directed at a district official or employee, or the	16878
property of such official or employee. The policy shall specify	16879
the reasons for which the superintendent of the district may	16880
reduce the expulsion requirement in division (B)(2) of section	16881
3313.66 of the Revised Code. If a board of education adopts a	16882
resolution pursuant to division (B)(3) of section 3313.66 of the	16883
Revised Code, the policy shall define the term "knife" or	16884
"firearm," as applicable, for purposes of expulsion under that	16885
resolution and shall specify any reasons for which the	16886
superintendent of the district may reduce any required expulsion	16887
period on a case-by-case basis. If a board of education adopts a	16888
resolution pursuant to division (B)(4) or (5) of section 3313.66	16889
of the Revised Code, the policy shall specify any reasons for	16890
which the superintendent of the district may reduce any required	16891
expulsion period on a case-by-case basis. The policy also shall	16892
set forth the acts listed in section 3313.662 of the Revised Code	16893
for which a pupil may be permanently excluded.	16894

The policy adopted under this division shall specify the date	16895
and manner by which a pupil or a pupil's parent, guardian, or	16896
custodian may notify the board of the pupil's, parent's,	16897
guardian's, or custodian's intent to appeal an expulsion or	16898
suspension to the board or its designee pursuant to division (E)	16899
of section 3313.66 of the Revised Code. In the case of any	16900
expulsion, the policy shall not specify a date that is less than	16901
fourteen days after the date of the notice provided to the pupil	16902
or the pupil's parent, guardian, or custodian under division (D)	16903
of that section.	16904

A copy of the policy shall be posted in a central location in	16905
the school and made available to pupils upon request. No pupil	16906
shall be suspended, expelled, or removed except in accordance with	16907
the policy adopted by the board of education of the school	16908
district in which the pupil attends school, and no pupil shall be	16909
permanently excluded except in accordance with sections 3301.121	16910
and 3313.662 of the Revised Code.	16911

(B) A board of education may establish a program and adopt	16912
guidelines under which a superintendent may require a pupil to	16913
perform community service in conjunction with a suspension or	16914
expulsion imposed under section 3313.66 of the Revised Code or in	16915
place of a suspension or expulsion imposed under section 3313.66	16916
of the Revised Code except for an expulsion imposed pursuant to	16917
division (B)(2) of that section. If a board adopts guidelines	16918
under this division, they shall permit, except with regard to an	16919
expulsion pursuant to division (B)(2) of section 3313.66 of the	16920
Revised Code, a superintendent to impose a community service	16921
requirement beyond the end of the school year in lieu of applying	16922
the suspension or expulsion into the following school year. Any	16923
guidelines adopted shall be included in the policy adopted under	16924
this section.	16925

(C) The written policy of each board of education that is	16926
adopted pursuant to section 3313.20 of the Revised Code shall be	16927
posted in a central location in each school that is subject to the	16928
policy and shall be made available to pupils upon request.	16929

(D) Any policy, program, or guideline adopted by a board of	16930
education under this section with regard to suspensions or	16931
expulsions pursuant to division (A) or (B) of section 3313.66 of	16932
the Revised Code shall apply to any student, whether or not the	16933
student is enrolled in the district, attending or otherwise	16934
participating in any curricular program provided in a school	16935
operated by the board or provided on any other property owned or	16936
controlled by the board.	16937

(E) As used in this section, "permanently exclude" and	16938
"permanent exclusion" have the same meanings as in section	16939
3313.662 of the Revised Code.	16940

Sec. 3313.98.  Notwithstanding division (D) of section	16941
3311.19 and division (D) of section 3311.52 of the Revised Code,	16942
the provisions of this section and sections 3313.981 to 3313.983	16943
of the Revised Code that apply to a city school district do not	16944
apply to a joint vocational or cooperative education school	16945
district unless expressly specified.	16946

(A) As used in this section and sections 3313.981 to 3313.983	16947
of the Revised Code:	16948

(1) "Parent" means either of the natural or adoptive parents	16949
of a student, except under the following conditions:	16950

(a) When the marriage of the natural or adoptive parents of	16951
the student has been terminated by a divorce, dissolution of	16952
marriage, or annulment or the natural or adoptive parents of the	16953
student are living separate and apart under a legal separation	16954
decree and the court has issued an order allocating the parental	16955
rights and responsibilities with respect to the student, "parent"	16956
means the residential parent as designated by the court except	16957
that "parent" means either parent when the court issues a shared	16958
parenting decree.	16959

(b) When a court has granted temporary or permanent custody	16960
of the student to an individual or agency other than either of the	16961
natural or adoptive parents of the student, "parent" means the	16962
legal custodian of the child.	16963

(c) When a court has appointed a guardian for the student,	16964
"parent" means the guardian of the student.	16965

(2) "Native student" means a student entitled under section	16966
3313.64 or 3313.65 of the Revised Code to attend school in a	16967
district adopting a resolution under this section.	16968

(3) "Adjacent district" means a city, exempted village, or	16969
local school district having territory that abuts the territory of	16970
a district adopting a resolution under this section.	16971

(4) "Adjacent district student" means a student entitled	16972
under section 3313.64 or 3313.65 of the Revised Code to attend	16973
school in an adjacent district.	16974

(5) "Adjacent district joint vocational student" means an	16975
adjacent district student who enrolls in a city, exempted village,	16976
or local school district pursuant to this section and who also	16977
enrolls in a joint vocational school district that does not	16978
contain the territory of the district for which that student is a	16979
native student and does contain the territory of the city,	16980
exempted village, or local district in which the student enrolls.	16981

(6) "Formula amount" has the same meaning as in section	16982
3317.02 of the Revised Code.	16983

(7) "Adjusted formula amount" means the greater of the	16984
following:	16985

(a) The fiscal year 2005 formula amount multiplied by the	16986
fiscal year 2005 cost-of-doing-business factor for a district	16987
defined in the version of section 3317.02 of the Revised Code in	16988
effect that year;	16989

(b) The sum of (the current formula amount times the current	16990
cost-of-doing-business factor as defined in section 3317.02 of the	16991
Revised Code) plus the per pupil amount of the base funding	16992
supplements specified in divisions (C)(1) to (4) of section	16993
3317.012 of the Revised Code.	16994

(8) "Poverty line" means the poverty line established by the	16995
director of the United States office of management and budget as	16996
revised by the director of the office of community services in	16997
accordance with section 673(2) of the "Community Services Block	16998
Grant Act," 95 Stat. 1609, 42 U.S.C.A. 9902, as amended.	16999

(9) "IEP" means an individualized education program defined	17000
by division (E) of section 3323.01 of the Revised Code.	17001

(10) "Other district" means a city, exempted village, or	17002
local school district having territory outside of the territory of	17003
a district adopting a resolution under this section.	17004

(11) "Other district student" means a student entitled under	17005
section 3313.64 or 3313.65 of the Revised Code to attend school in	17006
an other district.	17007

(12) "Other district joint vocational student" means a	17008
student who is enrolled in any city, exempted village, or local	17009
school district and who also enrolls in a joint vocational school	17010
district that does not contain the territory of the district for	17011
which that student is a native student in accordance with a policy	17012
adopted under section 3313.983 of the Revised Code.	17013

(B)(1) The board of education of each city, local, and	17014
exempted village school district shall adopt a resolution	17015
establishing for the school district one of the following	17016
policies:	17017

(a) A policy that entirely prohibits the enrollment of	17018
students from adjacent districts or other districts, other than	17019
students for whom tuition is paid in accordance with section	17020
3317.08 of the Revised Code;	17021

(b) A policy that permits enrollment of students from all	17022
adjacent districts in accordance with policy statements contained	17023
in the resolution;	17024

(c) A policy that permits enrollment of students from all	17025
other districts in accordance with policy statements contained in	17026
the resolution.	17027

(2) A policy permitting enrollment of students from adjacent	17028
or from other districts, as applicable, shall provide for all of	17029
the following:	17030

(a) Application procedures, including deadlines for	17031
application and for notification of students and the	17032
superintendent of the applicable district whenever an adjacent or	17033
other district student's application is approved.	17034

(b) Procedures for admitting adjacent or other district	17035
applicants free of any tuition obligation to the district's	17036
schools, including, but not limited to:	17037

(i) The establishment of district capacity limits by grade	17038
level, school building, and education program;	17039

(ii) A requirement that all native students wishing to be	17040
enrolled in the district will be enrolled and that any adjacent or	17041
other district students previously enrolled in the district shall	17042
receive preference over first-time applicants;	17043

(iii) Procedures to ensure that an appropriate racial balance	17044
is maintained in the district schools.	17045

(C) Except as provided in section 3313.982 of the Revised	17046
Code, the procedures for admitting adjacent or other district	17047
students, as applicable, shall not include:	17048

(1) Any requirement of academic ability, or any level of	17049
athletic, artistic, or other extracurricular skills;	17050

(2) Limitations on admitting applicants because of	17051
handicapping conditions, except that a board may refuse to admit a	17052
student receiving services under Chapter 3323. of the Revised	17053
Code, if the services described in the student's IEP are not	17054
available in the district's schools;	17055

(3) A requirement that the student be proficient in the	17056
English language;	17057

(4) Rejection of any applicant because the student has been	17058
subject to disciplinary proceedings, except that if an applicant	17059
has been suspended or expelled by the student's district for ten	17060
consecutive days or more in the term for which admission is sought	17061
or in the term immediately preceding the term for which admission	17062
is sought, the procedures may include a provision denying	17063
admission of such applicant.	17064

(D)(1) Each school board permitting only enrollment of	17065
adjacent district students shall provide information about the	17066
policy adopted under this section, including the application	17067
procedures and deadlines, to the superintendent and the board of	17068
education of each adjacent district and, upon request, to the	17069
parent of any adjacent district student.	17070

(2) Each school board permitting enrollment of other district	17071
students shall provide information about the policy adopted under	17072
this section, including the application procedures and deadlines,	17073
upon request, to the board of education of any other school	17074
district or to the parent of any student anywhere in the state.	17075

(E) Any school board shall accept all credits toward	17076
graduation earned in adjacent or other district schools by an	17077
adjacent or other district student or a native student.	17078

(F)(1) No board of education may adopt a policy discouraging	17079
or prohibiting its native students from applying to enroll in the	17080
schools of an adjacent or any other district that has adopted a	17081
policy permitting such enrollment, except that:	17082

(a) A district may object to the enrollment of a native	17083
student in an adjacent or other district in order to maintain an	17084
appropriate racial balance.	17085

(b) The board of education of a district receiving funds	17086
under 64 Stat. 1100 (1950), 20 U.S.C.A. 236 et seq., as amended,	17087
may adopt a resolution objecting to the enrollment of its native	17088
students in adjacent or other districts if at least ten per cent	17089
of its students are included in the determination of the United	17090
States secretary of education made under section 20 U.S.C.A.	17091
238(a).	17092

(2) If a board objects to enrollment of native students under	17093
this division, any adjacent or other district shall refuse to	17094
enroll such native students unless tuition is paid for the	17095
students in accordance with section 3317.08 of the Revised Code.	17096
An adjacent or other district enrolling such students may not	17097
receive funding for those students in accordance with section	17098
3313.981 of the Revised Code.	17099

(G) The state board of education shall monitor school	17100
districts to ensure compliance with this section and the	17101
districts' policies. The board may adopt rules requiring uniform	17102
application procedures, deadlines for application, notification	17103
procedures, and record-keeping requirements for all school boards	17104
that adopt policies permitting the enrollment of adjacent or other	17105
district students, as applicable. If the state board adopts such	17106
rules, no school board shall adopt a policy that conflicts with	17107
those rules.	17108

(H) A resolution adopted by a board of education under this	17109
section that entirely prohibits the enrollment of students from	17110
adjacent and from other school districts does not abrogate any	17111
agreement entered into under section 3313.841 or 3313.92 of the	17112
Revised Code or any contract entered into under section 3313.90 of	17113
the Revised Code between the board of education adopting the	17114
resolution and the board of education of any adjacent or other	17115
district or prohibit these boards of education from entering into	17116
any such agreement or contract.	17117

(I) Nothing in this section shall be construed to permit or	17118
require the board of education of a city, exempted village, or	17119
local school district to exclude any native student of the	17120
district from enrolling in the district.	17121

Sec. 3314.013.  (A)(1) Until July 1, 2000, no more than	17122
seventy-five contracts between start-up schools and the state	17123
board of education may be in effect outside the pilot project area	17124
at any time under this chapter.	17125

(2) After July 1, 2000, and until July 1, 2001, no more than	17126
one hundred twenty-five contracts between start-up schools and the	17127
state board of education may be in effect outside the pilot	17128
project area at any time under this chapter.	17129

(3) This division applies only to contracts between start-up	17130
schools and the state board of education and contracts between	17131
start-up schools and entities described in divisions (C)(1)(b) to	17132
(f) of section 3314.02 of the Revised Code.	17133

Until July 1, 2005, not more than two hundred twenty-five	17134
contracts to which this division applies may be in effect at any	17135
time under this chapter.	17136

(4) This division applies only to contracts between start-up	17137
schools and entities described in divisions (C)(1)(b) to (f) of	17138
section 3314.02 of the Revised Code.	17139

Except as otherwise provided in section 3314.014 of the	17140
Revised Code, after July 1, 2005, and until July 1, 2007, the	17141
number of contracts to which this division applies in effect at	17142
any time under this chapter shall be not more than thirty plus the	17143
number of such contracts with schools that were open for operation	17144
as of May 1, 2005.	17145

(5) This division applies only to contracts between a	17146
conversion school that is an internet- or computer-based community	17147
school or a start-up school and the board of education of the	17148
school district in which the school is or is proposed to be	17149
located.	17150

Except as otherwise provided in section 3314.014 of the	17151
Revised Code, until July 1, 2007, the number of contracts to which	17152
this division applies in effect at any time under this chapter	17153
shall be not more than thirty plus the number of such contracts	17154
with schools that were open for operation as of May 1, 2005.	17155

(6)Division (A)(1) of this section applies only to community	17156
schools that are not internet- or computer-base community schools.	17157

Until July 1, 2009, no start-up or conversion community	17158
school subject to this division shall operate unless the school	17159
was open for instruction as of May 1, 2007. No entity described in	17160
division (C)(1) of section 3314.02 of the Revised Code shall enter	17161
into a contract to sponsor a community school subject to this	17162
division between May 1, 2007, and July 1, 2009, except that an	17163
entity may renew a contract that the entity entered into with a	17164
community school subject to this division prior to May 1, 2007, if	17165
the school was open for operation as of that date.	17166

If a sponsor entered into a contract with a community school	17167
subject to this division but the school was not open for operation	17168
as of May 1, 2007, the contract shall be void and the entity shall	17169
not enter into another contract with the school until July 1,	17170
2009.	17171

(2) Until the effective date of any standards enacted by the	17172
general assembly governing the operation of internet- or	17173
computer-based community schools, no internet- or computer-based	17174
community school shall operate unless the school was open for	17175
instruction as of May 1, 2005. No entity described in division	17176
(C)(1) of section 3314.02 of the Revised Code shall enter into a	17177
contract to sponsor an internet- or computer-based community	17178
school, including a conversion school, between May 1, 2005, and	17179
the effective date of any standards enacted by the general	17180
assembly governing the operation of internet- or computer-based	17181
community schools, except as follows:	17182

(a) Anythat an entity described in division (C)(1) of that	17183
section may renew a contract that the entity entered into with an	17184
internet- or computer-based community school prior to May 1, 2005,	17185
if the school was open for operation as of that date.	17186

(b) Any entity described in divisions (C)(1)(a) to (e) of	17187
that section may assume sponsorship of an existing internet- or	17188
computer-based community school that was formerly sponsored by	17189
another entity and may enter into a contract with that community	17190
school in accordance with section 3314.03 of the Revised Code.	17191

(c) Any entity described in division (C)(1)(f) of that	17192
section may assume sponsorship of an existing internet- or	17193
computer-based community school in accordance with division (A)(7)	17194
of this section and may enter into a contract with that community	17195
school in accordance with section 3314.03 of the Revised Code.	17196

If a sponsor entered into a contract with an internet- or	17197
computer-based community school, including a conversion school,	17198
but the school was not open for operation as of May 1, 2005, the	17199
contract shall be void and the entity shall not enter into another	17200
contract with the school until the effective date of any standards	17201
enacted by the general assembly governing the operation of	17202
internet- or computer-based community schools.	17203

(7) Until July 1, 2005, any entity described in division	17204
(C)(1)(f) of section 3314.02 of the Revised Code may sponsor only	17205
a community school that formerly was sponsored by the state board	17206
of education under division (C)(1)(d) of that section, as it	17207
existed prior to April 8, 2003. After July 1, 2005, any such	17208
entity may assume sponsorship of any existing community school,	17209
and may sponsor any new community school that is not an internet-	17210
or computer-based community school. Beginning on the effective	17211
date of any standards enacted by the general assembly governing	17212
the operation of internet- or computer-based community schools,	17213
any such entity may sponsor a new internet- or computer-based	17214
community school.	17215

(8)(3) Nothing in division (A) of this section prohibits a	17216
community school from increasing the number of grade levels it	17217
offers.	17218

(B) Within twenty-four hours of a request by any person, the	17219
superintendent of public instruction shall indicate the number of	17220
preliminary agreements for start-up schools currently outstanding	17221
and the number of contracts for these schools in effect at the	17222
time of the request.	17223

(C) It is the intent of the general assembly to consider	17224
whether to provide limitations on the number of start-up community	17225
schools after July 1, 2001, following its examination of the	17226
results of the studies by the legislative office of education	17227
oversight required under Section 50.39 of Am. Sub. H.B. No. 215 of	17228
the 122nd general assembly and Section 50.52.2 of Am. Sub. H.B.	17229
No. 215 of the 122nd general assembly, as amended by Am. Sub. H.B.	17230
No. 770 of the 122nd general assembly.	17231

Sec. 3314.014. (A) As used in this chapter, "operator" means	17232
either of the following:	17233

(1) An individual or organization(A) A nonprofit entity that	17234
manages the daily operations of a community school pursuant to a	17235
contract between the operator and the school's governing	17236
authority;	17237

(2)(B) A nonprofit organization that provides programmatic	17238
oversight and support to a community school under a contract with	17239
the school's governing authority and that retains the right to	17240
terminate its affiliation with the school if the school fails to	17241
meet the organization's quality standards.	17242

(B)(1) Notwithstanding the limit prescribed by division	17243
(A)(4) of section 3314.013 of the Revised Code, a start-up school	17244
sponsored by an entity described in divisions (C)(1)(b) to (f) of	17245
section 3314.02 of the Revised Code may be established after the	17246
date that limit is reached, provided the school's governing	17247
authority enters into a contract with an operator permitted to	17248
manage the school under division (C) of this section.	17249

(2) Notwithstanding the limit prescribed by division (A)(5)	17250
of section 3314.013 of the Revised Code, a conversion school that	17251
is an internet- or computer-based community school or a start-up	17252
school sponsored by the school district in which the school is or	17253
is proposed to be located may be established after the date that	17254
limit is reached, provided the school's governing authority enters	17255
into a contract with an operator permitted to manage the school	17256
under division (C) of this section. However, a conversion school	17257
that is an internet- or computer-based community school may be	17258
established after that date only if the prohibition prescribed by	17259
division (A)(6) of section 3314.013 of the Revised Code is no	17260
longer in effect.	17261

(C) An operator may enter into contracts with the governing	17262
authorities of community schools established after the date the	17263
limit prescribed by division (A)(4) or (5) of section 3314.013 of	17264
the Revised Code, as applicable, is reached, provided the total	17265
number of schools for which the operator enters into such	17266
contracts, excluding conversion schools that are not internet- or	17267
computer-based community schools, does not exceed the number of	17268
community schools managed by the operator in Ohio or other states	17269
on the applicable date that are rated excellent, effective, or in	17270
need of continuous improvement pursuant to section 3302.03 of the	17271
Revised Code or perform comparably to schools so rated, as	17272
determined by the department of education.	17273

(D) Notwithstanding the limit prescribed by division (A)(4)	17274
of section 3314.013 of the Revised Code, after the date the limit	17275
prescribed in that division is reached, the governing authority of	17276
a start-up school sponsored by an entity described in divisions	17277
(C)(1)(b) to (f) of section 3314.02 of the Revised Code may	17278
establish one additional school serving the same grade levels and	17279
providing the same educational program as the current start-up	17280
school and may open that additional school in the 2006-2007 school	17281
year, if both of the following conditions are met:	17282

(1) The governing authority entered into another contract	17283
with the same sponsor or a different sponsor described in	17284
divisions (C)(1)(b) to (f) of section 3314.02 of the Revised Code	17285
and filed a copy of that contract with the superintendent of	17286
public instruction prior to March 15, 2006.	17287

(2) The governing authority's current school satisfies all of	17288
the following conditions:	17289

(a) The school currently is rated as excellent or effective	17290
pursuant to section 3302.03 of the Revised Code.	17291

(b) The school made adequate yearly progress, as defined in	17292
section 3302.01 of the Revised Code, for the previous school year.	17293

(c) The school has been in operation for at least four school	17294
years.	17295

(d) The school is not managed by an operator.

17296

Sec. 3314.015.  (A) The department of education shall be	17297
responsible for the oversight of sponsors of the community schools	17298
established under this chapter and shall provide technical	17299
assistance to schools and sponsors in their compliance with	17300
applicable laws and the terms of the contracts entered into under	17301
section 3314.03 of the Revised Code and in the development and	17302
start-up activities of those schools. In carrying out its duties	17303
under this section, the department shall do all of the following:	17304

(1) In providing technical assistance to proposing parties,	17305
governing authorities, and sponsors, conduct training sessions and	17306
distribute informational materials;	17307

(2) Approve entities to be sponsors of community schools and	17308
monitor the effectiveness of those sponsors in their oversight of	17309
the schools with which they have contracted;	17310

(3) By December thirty-first of each year, issue a report to	17311
the governor, the speaker of the house of representatives, the	17312
president of the senate, and the chairpersons of the house and	17313
senate committees principally responsible for education matters	17314
regarding the effectiveness of academic programs, operations, and	17315
legal compliance and of the financial condition of all community	17316
schools established under this chapter;	17317

(4) From time to time, make legislative recommendations to	17318
the general assembly designed to enhance the operation and	17319
performance of community schools.	17320

(B)(1) No entity listed in division (C)(1) of section 3314.02	17321
of the Revised Code shall enter into a preliminary agreement under	17322
division (C)(2) of section 3314.02 of the Revised Code until it	17323
has received approval from the department of education to sponsor	17324
community schools under this chapter and has entered into a	17325
written agreement with the department regarding the manner in	17326
which the entity will conduct such sponsorship. The department	17327
shall adopt in accordance with Chapter 119. of the Revised Code	17328
rules containing criteria, procedures, and deadlines for	17329
processing applications for such approval, for oversight of	17330
sponsors, for revocation of the approval of sponsors, and for	17331
entering into written agreements with sponsors. The rules shall	17332
require an entity to submit evidence of the entity's ability and	17333
willingness to comply with the provisions of division (D) of	17334
section 3314.03 of the Revised Code. The rules also shall require	17335
entities approved as sponsors on and after June 30, 2005, to	17336
demonstrate a record of financial responsibility and successful	17337
implementation of educational programs. If an entity seeking	17338
approval on or after June 30, 2005, to sponsor community schools	17339
in this state sponsors or operates schools in another state, at	17340
least one of the schools sponsored or operated by the entity must	17341
be comparable to or better than the performance of Ohio schools in	17342
a state of academic watchneed of continuous improvement under	17343
section 3302.03 of the Revised Code, as determined by the	17344
department.	17345

An entity that sponsors community schools may enter into	17346
preliminary agreements and sponsor schools as follows, provided	17347
each school and the contract for sponsorship meets the	17348
requirements of this chapter:	17349

(a) An entity that sponsored fifty or fewer schools that were	17350
open for operation as of May 1, 2005, may sponsor not more than	17351
fifty schools.	17352

(b) An entity that sponsored more than fifty but not more	17353
than seventy-five schools that were open for operation as of May	17354
1, 2005, may sponsor not more than the number of schools the	17355
entity sponsored that were open for operation as of May 1, 2005.	17356

(c) Until June 30, 2006, an entity that sponsored more than	17357
seventy-five schools that were open for operation as of May 1,	17358
2005, may sponsor not more than the number of schools the entity	17359
sponsored that were open for operation as of May 1, 2005. After	17360
June 30, 2006, such an entity may sponsor not more than	17361
seventy-five schools.	17362

Upon approval of an entity to be a sponsor under this	17363
division, the department shall notify the entity of the number of	17364
schools the entity may sponsor.	17365

The limit imposed on an entity to which division (B)(1) of	17366
this section applies shall be decreased by one for each school	17367
sponsored by the entity that permanently closes.	17368

If at any time an entity exceeds the number of schools it may	17369
sponsor under this division, the department shall assist the	17370
schools in excess of the entity's limit in securing new sponsors.	17371
If a school is unable to secure a new sponsor, the department	17372
shall assume sponsorship of the school in accordance with division	17373
(C) of this section. Those schools for which another sponsor or	17374
the department assumes sponsorship shall be the schools that most	17375
recently entered into contracts with the entity under section	17376
3314.03 of the Revised Code.	17377

(2) The department of education shall determine, pursuant to	17378
criteria adopted by rule of the department, whether the mission	17379
proposed to be specified in the contract of a community school to	17380
be sponsored by a state university board of trustees or the	17381
board's designee under division (C)(1)(e) of section 3314.02 of	17382
the Revised Code complies with the requirements of that division.	17383
Such determination of the department is final.	17384

(3) The department of education shall determine, pursuant to	17385
criteria adopted by rule of the department, if any tax-exempt	17386
entity under section 501(c)(3) of the Internal Revenue Code that	17387
is proposed to be a sponsor of a community school is an	17388
education-oriented entity for purpose of satisfying the condition	17389
prescribed in division (C)(1)(f)(iii) of section 3314.02 of the	17390
Revised Code. Such determination of the department is final.	17391

(C) If at any time the state board of education finds that a	17392
sponsor is not in compliance or is no longer willing to comply	17393
with its contract with any community school or with the	17394
department's rules for sponsorship, the state board or designee	17395
shall conduct a hearing in accordance with Chapter 119. of the	17396
Revised Code on that matter. If after the hearing, the state board	17397
or designee has confirmed the original finding, the department of	17398
education may revoke the sponsor's approval to sponsor community	17399
schools and may assume the sponsorship of any schools with which	17400
the sponsor has contracted until the earlier of the expiration of	17401
two school years or until a new sponsor as described in division	17402
(C)(1) of section 3314.02 of the Revised Code is secured by the	17403
school's governing authority. The department may extend the term	17404
of the contract in the case of a school for which it has assumed	17405
sponsorship under this division as necessary to accommodate the	17406
term of the department's authorization to sponsor the school	17407
specified in this division.	17408

(D) The decision of the department to disapprove an entity	17409
for sponsorship of a community school or to revoke approval for	17410
such sponsorship, as provided in division (C) of this section, may	17411
be appealed by the entity in accordance with section 119.12 of the	17412
Revised Code.	17413

(E) The department shall adopt procedures for use by a	17414
community school governing authority and sponsor when the school	17415
permanently closes and ceases operation, which shall include at	17416
least procedures for data reporting to the department, handling of	17417
student records, distribution of assets in accordance with section	17418
3314.074 of the Revised Code, and other matters related to ceasing	17419
operation of the school.	17420

(F) In carrying out its duties under this chapter, the	17421
department shall not impose requirements on community schools or	17422
their sponsors that are not permitted by law or duly adopted	17423
rules.	17424

Sec. 3314.02.  (A) As used in this chapter:

17425

(1) "Sponsor" means an entity listed in division (C)(1) of	17426
this section, which has been approved by the department of	17427
education to sponsor community schools and with which the	17428
governing authority of the proposed community school enters into a	17429
contract pursuant to this section.	17430

(2) "Pilot project area" means the school districts included	17431
in the territory of the former community school pilot project	17432
established by former Section 50.52 of Am. Sub. H.B. No. 215 of	17433
the 122nd general assembly.	17434

(3) "Challenged school district" means any of the following:

17435

(a) A school district that is part of the pilot project area;

17436

(b) A school district that is either in a state of academic	17437
emergency or in a state of academic watch under section 3302.03 of	17438
the Revised Code;	17439

(c) A big eight school district.

17440

(4) "Big eight school district" means a school district that	17441
for fiscal year 1997 had both of the following:	17442

(a) A percentage of children residing in the district and	17443
participating in the predecessor of Ohio works first greater than	17444
thirty per cent, as reported pursuant to section 3317.10 of the	17445
Revised Code;	17446

(b) An average daily membership greater than twelve thousand,	17447
as reported pursuant to former division (A) of section 3317.03 of	17448
the Revised Code.	17449

(5) "New start-up school" means a community school other than	17450
one created by converting all or part of an existing public	17451
school, as designated in the school's contract pursuant to	17452
division (A)(17) of section 3314.03 of the Revised Code.	17453

(6) "Urban school district" means one of the state's	17454
twenty-one urban school districts as defined in division (O) of	17455
section 3317.02 of the Revised Code as that section existed prior	17456
to July 1, 1998.	17457

(7) "Internet- or computer-based community school" means a	17458
community school established under this chapter in which the	17459
enrolled students work primarily from their residences on	17460
assignments in nonclassroom-based learning opportunities provided	17461
via an internet- or other computer-based instructional method that	17462
does not rely on regular classroom instruction or via	17463
comprehensive instructional methods that include internet-based,	17464
other computer-based, and noncomputer-based learning	17465
opportunities.	17466

(B) Any person or group of individuals may initially propose	17467
under this division the conversion of all or a portion of a public	17468
school to a community school. The proposal shall be made to the	17469
board of education of the city, local, or exempted village school	17470
district in which the public school is proposed to be converted.	17471
Upon receipt of a proposal, a board may enter into a preliminary	17472
agreement with the person or group proposing the conversion of the	17473
public school, indicating the intention of the board of education	17474
to support the conversion to a community school. A proposing	17475
person or group that has a preliminary agreement under this	17476
division may proceed to finalize plans for the school, establish a	17477
governing authority for the school, and negotiate a contract with	17478
the board of education. Provided the proposing person or group	17479
adheres to the preliminary agreement and all provisions of this	17480
chapter, the board of education shall negotiate in good faith to	17481
enter into a contract in accordance with section 3314.03 of the	17482
Revised Code and division (C) of this section.	17483

(C)(1) Any person or group of individuals may propose under	17484
this division the establishment of a new start-up school to be	17485
located in a challenged school district. The proposal may be made	17486
to any of the following entities:	17487

(a) The board of education of the district in which the	17488
school is proposed to be located;	17489

(b) The board of education of any joint vocational school	17490
district with territory in the county in which is located the	17491
majority of the territory of the district in which the school is	17492
proposed to be located;	17493

(c) The board of education of any other city, local, or	17494
exempted village school district having territory in the same	17495
county where the district in which the school is proposed to be	17496
located has the major portion of its territory;	17497

(d) The governing board of any educational service center, as	17498
long as the proposed school will be located in a county within the	17499
territory of the service center or in a county contiguous to such	17500
county;	17501

(e) A sponsoring authority designated by the board of	17502
trustees of any of the thirteen state universities listed in	17503
section 3345.011 of the Revised Code or the board of trustees	17504
itself as long as a mission of the proposed school to be specified	17505
in the contract under division (A)(2) of section 3314.03 of the	17506
Revised Code and as approved by the department of education under	17507
division (B)(2) of section 3314.015 of the Revised Code will be	17508
the practical demonstration of teaching methods, educational	17509
technology, or other teaching practices that are included in the	17510
curriculum of the university's teacher preparation program	17511
approved by the state board of education;	17512

(f) Any qualified tax-exempt entity under section 501(c)(3)	17513
of the Internal Revenue Code as long as all of the following	17514
conditions are satisfied:	17515

(i) The entity has been in operation for at least five years	17516
prior to applying to be a community school sponsor.	17517

(ii) The entity has assets of at least five hundred thousand	17518
dollars and a demonstrated record of financial responsibility.	17519

(iii) The department of education has determined that the	17520
entity is an education-oriented entity under division (B)(3) of	17521
section 3314.015 of the Revised Code and the entity has a	17522
demonstrated record of successful implementation of educational	17523
programs.	17524

(iv) The entity is not a community school.

17525

Any entity described in division (C)(1) of this section may	17526
enter into a preliminary agreement pursuant to division (C)(2) of	17527
this section with the proposing person or group.	17528

(2) A preliminary agreement indicates the intention of an	17529
entity described in division (C)(1) of this section to sponsor the	17530
community school. A proposing person or group that has such a	17531
preliminary agreement may proceed to finalize plans for the	17532
school, establish a governing authority as described in division	17533
(E) of this section for the school, and negotiate a contract with	17534
the entity. Provided the proposing person or group adheres to the	17535
preliminary agreement and all provisions of this chapter, the	17536
entity shall negotiate in good faith to enter into a contract in	17537
accordance with section 3314.03 of the Revised Code.	17538

(3) A new start-up school that is established in a school	17539
district while that district is either in a state of academic	17540
emergency or in a state of academic watch under section 3302.03 of	17541
the Revised Code may continue in existence once the school	17542
district is no longer in a state of academic emergency or academic	17543
watch, provided there is a valid contract between the school and a	17544
sponsor.	17545

(4) A copy of every preliminary agreement entered into under	17546
this division shall be filed with the superintendent of public	17547
instruction.	17548

(D) A majority vote of the board of a sponsoring entity and a	17549
majority vote of the members of the governing authority of a	17550
community school shall be required to adopt a contract and convert	17551
the public school to a community school or establish the new	17552
start-up school. Beginning September 29, 2005, adoptionexecution	17553
of the contract shall occur not later than the fifteenth day of	17554
March, and signing of the contract shall occur not later than the	17555
fifteenth day of May, prior to the school year in which the school	17556
will open. The governing authority shall notify the department of	17557
education when the contract has been signedexecuted. Subject to	17558
sectionssection 3314.013 and 3314.014 of the Revised Code, an	17559
unlimited number of community schools may be established in any	17560
school district provided that a contract is entered into for each	17561
community school pursuant to this chapter.	17562

(E)(1) As used in this division, "immediate relatives" are	17563
limited to spouses, children, parents, grandparents, siblings, and	17564
in-laws.	17565

Each new start-up community school established under this	17566
chapter shall be under the direction of a governing authority	17567
which shall consist of a board of not less than five individuals .	17568

No person shall serve on the governing authority or operate	17569
the community school under contract with the governing authority	17570
so long as the person owes the state any money or is in a dispute	17571
over whether the person owes the state any money concerning the	17572
operation of a community school that has closed.	17573

(2) No person shall serve on the governing authorities of	17574
more than two start-up community schools at the same time.	17575

(3) No present or former member, or immediate relative of a	17576
present or former member, of the governing authority of any	17577
community school established under this chapter shall be an owner,	17578
employee, or consultant of any nonprofit or for-profit operator of	17579
a community school, as defined in section 3314.014 of the Revised	17580
Code, unless at least one year has elapsed since the conclusion of	17581
the person's membership.	17582

(F) Nothing in this chapter shall be construed to permit the	17583
establishment of a community school in more than one school	17584
district under the same contract.	17585

(G)(1) A new start-up school that is established prior to	17586
August 15, 2003, in an urban school district that is not also a	17587
big-eight school district may continue to operate after that date	17588
and the contract between the school's governing authority and the	17589
school's sponsor may be renewed, as provided under this chapter,	17590
after that date, but no additional new start-up schools may be	17591
established in such a district unless the district is a challenged	17592
school district as defined in this section as it exists on and	17593
after that date.	17594

(2) A community school that was established prior to June 29,	17595
1999, and is located in a county contiguous to the pilot project	17596
area and in a school district that is not a challenged school	17597
district may continue to operate after that date, provided the	17598
school complies with all provisions of this chapter. The contract	17599
between the school's governing authority and the school's sponsor	17600
may be renewed, but no additional start-up community school may be	17601
established in that district unless the district is a challenged	17602
school district.	17603

(3) Any educational service center that, on the effective	17604
date of this amendment, sponsors a community school that is not	17605
located in a county within the territory of the service center or	17606
in a county contiguous to such county may continue to sponsor that	17607
community school only until the expiration of the contract between	17608
the service center and the school's governing authority. The	17609
community school may continue to operate after the expiration of	17610
that contract, provided the school secures a new sponsor, as	17611
described in division (C)(1) of this section as it exists on and	17612
after the effective date of this amendment, and the school's	17613
governing authority enters into a contract with the new sponsor.	17614

Sec. 3314.021. (A) This section applies to any entity that is	17615
exempt from taxation under section 501(c)(3) of the Internal	17616
Revenue Code and that satisfies the conditions specified in	17617
divisions (C)(1)(f)(ii) and (iii) of section 3314.02 of the	17618
Revised Code but does not satisfy the condition specified in	17619
division (C)(1)(f)(i) of that section.	17620

(B) Notwithstanding division (C)(1)(f)(i) of section 3314.02	17621
of the Revised Code, an entity described in division (A) of this	17622
section may do both of the following without obtaining the	17623
department of education's approval of its sponsorship under	17624
division (B)(1) of section 3314.015 of the Revised Code:	17625

(1) Succeed the board of trustees of a state university	17626
located in the pilot project area or that board's designee as the	17627
sponsor of a community school established under this chapter;	17628

(2) Continue to sponsor that school in conformance with the	17629
terms of the contract between the board of trustees or its	17630
designee and the governing authority of the community school and	17631
renew that contract as provided in division (E) of section 3314.03	17632
of the Revised Code.	17633

(C) The entity that succeeds the board of trustees or the	17634
board's designee as sponsor of a community school under division	17635
(B) of this section also may enter into contracts to sponsor	17636
other community schools located in any challenged school district,	17637
without obtaining the department's approval of its sponsorship	17638
under division (B)(1) of section 3314.015 of the Revised Code, and	17639
not subject to the restriction of division (A)(7) of section	17640
3314.013 of the Revised Code, as long as the contracts conform	17641
with and the entity complies with all other requirements of this	17642
chapter.	17643

Sec. 3314.024. A management company(A) No governing	17644
authority of a community school shall enter into a new contract,	17645
or renew an existing contract, with an operator, unless the	17646
contract was selected through a competitive bidding process	17647
established by the department of education.	17648

(B) An operator that provides services to a community school	17649
that amounts to more than twenty per cent of the annual gross	17650
revenues of the school shall provide a detailed accounting	17651
including the nature and costs of the services it provides to the	17652
community school. This information shall be included in the	17653
footnotes of the financial statements of the school and be subject	17654
to audit during the course of the regular financial audit of the	17655
community school.	17656

Sec. 3314.027. If, on the effective date of this section, the	17657
governing authority of a community school has a contract with an	17658
operator that is not a nonprofit entity as required by division	17659
(A) of section 3314.014 of the Revised Code, as it exists on and	17660
after the effective date of this section, the governing authority	17661
shall not be subject to the requirement that an operator of a	17662
community school be a nonprofit entity until the expiration of	17663
that contract. If the governing authority elects to continue	17664
management of the school by an operator after the expiration of	17665
that contract, the governing authority shall enter into a contract	17666
with a new operator that complies with division (A) of section	17667
3314.014 of the Revised Code, as it exists on and after the	17668
effective date of this section. Section 3314.026 of the Revised	17669
Code shall not apply to any operator that is not a nonprofit	17670
entity and whose contract is not renewed pursuant to this section.	17671

Sec. 3314.03.  A copy of every contract entered into under	17672
this section shall be filed with the superintendent of public	17673
instruction.	17674

(A) Each contract entered into between a sponsor and the	17675
governing authority of a community school shall specify the	17676
following:	17677

(1) That the school shall be established as either of the	17678
following:	17679

(a) A nonprofit corporation established under Chapter 1702.	17680
of the Revised Code, if established prior to April 8, 2003;	17681

(b) A public benefit corporation established under Chapter	17682
1702. of the Revised Code, if established after April 8, 2003;	17683

(2) The education program of the school, including the	17684
school's mission, the characteristics of the students the school	17685
is expected to attract, the ages and grades of students, and the	17686
focus of the curriculum;	17687

(3) The academic goals to be achieved and the method of	17688
measurement that will be used to determine progress toward those	17689
goals, which shall include the statewide achievement tests;	17690

(4) Performance standards by which the success of the school	17691
will be evaluated by the sponsor;	17692

(5) The admission standards of section 3314.06 of the Revised	17693
Code and, if applicable, section 3314.061 of the Revised Code;	17694

(6)(a) Dismissal procedures;

17695

(b) A requirement that the governing authority adopt an	17696
attendance policy that includes a procedure for automatically	17697
withdrawing a student from the school if the student without a	17698
legitimate excuse fails to participate in one hundred five	17699
twenty-one consecutive hoursdays of the learning opportunities	17700
offered to the student. Unless the mission of the school is solely	17701
to serve dropouts, the policy shall prohibit re-enrolling any	17702
student withdrawn under this division for the duration of the	17703
school year in which the withdrawal occurs.	17704

(7) The ways by which the school will achieve racial and	17705
ethnic balance reflective of the community it serves;	17706

(8) Requirements for financial audits by the auditor of	17707
state. The contract shall require financial records of the school	17708
to be maintained in the same manner as are financial records of	17709
school districts, pursuant to rules of the auditor of state, and	17710
the audits shall be conducted in accordance with section 117.10 of	17711
the Revised Code.	17712

(9) The facilities to be used and their locations;

17713

(10) Qualifications of teachers, including a requirement that	17714
the school's classroom teachers be licensed in accordance with	17715
sections 3319.22 to 3319.31 of the Revised Code, except that a	17716
community school may engage noncertificated persons to teach up to	17717
twelve hours per week pursuant to section 3319.301 of the Revised	17718
Code;	17719

(11) That the school will comply with the following	17720
requirements:	17721

(a) The school will provide learning opportunities to a	17722
minimum of twenty-fiveone hundred students for a minimum of nine	17723
one hundred twenty hourseighty days per school year, unless the	17724
department of education grants the school a waiver from the	17725
minimum enrollment under division (G) of this section;	17726

(b) The governing authority will purchase liability	17727
insurance, or otherwise provide for the potential liability of the	17728
school;	17729

(c) The school will be nonsectarian in its programs,	17730
admission policies, employment practices, and all other	17731
operations, and will not be operated by a sectarian school or	17732
religious institution;	17733

(d) The school will comply with sections 9.90, 9.91, 109.65,	17734
121.22, 149.43, 2151.357, 2151.421, 2313.18, 3301.0710, 3301.0711,	17735
3301.0712, 3301.0715, 3313.472, 3313.50, 3313.536, 3313.608,	17736
3313.6012, 3313.6013, 3313.6014, 3313.643, 3313.648, 3313.66,	17737
3313.661, 3313.662, 3313.666, 3313.667, 3313.67, 3313.671,	17738
3313.672, 3313.673, 3313.69, 3313.71, 3313.716, 3313.718, 3313.80,	17739
3313.96, 3319.073, 3319.313, 3319.314, 3319.315, 3319.321,	17740
3319.39, 3321.01, 3321.13, 3321.14, 3321.17, 3321.18, 3321.19,	17741
3321.191, 3327.10, 4111.17, 4113.52, and 5705.391 and Chapters	17742
117., 1347., 2744., 3365., 3742., 4112., 4123., 4141., and 4167.	17743
of the Revised Code as if it were a school district and will	17744
comply with section 3301.0714 of the Revised Code in the manner	17745
specified in section 3314.17 of the Revised Code;	17746

(e) The school shall comply with Chapter 102. and section	17747
2921.42 of the Revised Code;	17748

(f) The school will comply with sections 3313.61, 3313.611,	17749
and 3313.614 of the Revised Code, except that for students who	17750
enter ninth grade for the first time before July 1, 2010, the	17751
requirement in sections 3313.61 and 3313.611 of the Revised Code	17752
that a person must successfully complete the curriculum in any	17753
high school prior to receiving a high school diploma may be met by	17754
completing the curriculum adopted by the governing authority of	17755
the community school rather than the curriculum specified in Title	17756
XXXIII of the Revised Code or any rules of the state board of	17757
education. Beginning with students who enter ninth grade for the	17758
first time on or after July 1, 2010, the requirement in sections	17759
3313.61 and 3313.611 of the Revised Code that a person must	17760
successfully complete the curriculum of a high school prior to	17761
receiving a high school diploma shall be met by completing the	17762
Ohio core curriculum prescribed in division (C) of section	17763
3313.603 of the Revised Code, unless the person qualifies under	17764
division (D) or (F) of that section. Each school shall comply with	17765
the plan for awarding high school credit based on demonstration of	17766
subject area competency, adopted by the state board of education	17767
under division (J) of section 3313.603 of the Revised Code.	17768

(g) The school governing authority will submit within four	17769
three months after the end of each school year a report of its	17770
activities and progress in meeting the goals and standards of	17771
divisions (A)(3) and (4) of this section and its financial status	17772
to the sponsor and the parents of all students enrolled in the	17773
school.	17774

(h) The school, unless it is an internet- or computer-based	17775
community school, will comply with section 3313.801 of the Revised	17776
Code as if it were a school district.	17777

(12) Arrangements for providing health and other benefits to	17778
employees;	17779

(13) The length of the contract, which shall begin at the	17780
beginning of an academic year. No contract shall exceed five years	17781
unless such contract has been renewed pursuant to division (E) of	17782
this section.	17783

(14) The governing authority of the school, which shall be	17784
responsible for carrying out the provisions of the contract;	17785

(15) A financial plan detailing an estimated school budget	17786
for each year of the period of the contract and specifying the	17787
total estimated per pupil expenditure amount for each such year.	17788
The plan shall specify for each year the base formula amount that	17789
will be used for purposes of funding calculations under section	17790
3314.08 of the Revised Code. This base formula amount for any year	17791
shall not exceed the formula amount defined under section 3317.02	17792
of the Revised Code. The plan may also specify for any year a	17793
percentage figure to be used for reducing the per pupil amount of	17794
the subsidy calculated pursuant to section 3317.029 of the Revised	17795
Code the school is to receive that year under section 3314.08 of	17796
the Revised Code.	17797

(16) Requirements and procedures regarding the disposition of	17798
employees of the school in the event the contract is terminated or	17799
not renewed pursuant to section 3314.07 of the Revised Code;	17800

(17) Whether the school is to be created by converting all or	17801
part of an existing public school or is to be a new start-up	17802
school, and if it is a converted public school, specification of	17803
any duties or responsibilities of an employer that the board of	17804
education that operated the school before conversion is delegating	17805
to the governing board of the community school with respect to all	17806
or any specified group of employees provided the delegation is not	17807
prohibited by a collective bargaining agreement applicable to such	17808
employees;	17809

(18) Provisions establishing procedures for resolving	17810
disputes or differences of opinion between the sponsor and the	17811
governing authority of the community school;	17812

(19) A provision requiring the governing authority to adopt a	17813
policy regarding the admission of students who reside outside the	17814
district in which the school is located. That policy shall comply	17815
with the admissions procedures specified in sections 3314.06 and	17816
3314.061 of the Revised Code and, at the sole discretion of the	17817
authority, shall do one of the following:	17818

(a) Prohibit the enrollment of students who reside outside	17819
the district in which the school is located;	17820

(b) Permit the enrollment of students who reside in districts	17821
adjacent to the district in which the school is located;	17822

(c) Permit the enrollment of students who reside in any other	17823
district in the state.	17824

(20) A provision recognizing the authority of the department	17825
of education to take over the sponsorship of the school in	17826
accordance with the provisions of division (C) of section 3314.015	17827
of the Revised Code;	17828

(21) A provision recognizing the sponsor's authority to	17829
assume the operation of a school under the conditions specified in	17830
division (B) of section 3314.073 of the Revised Code;	17831

(22) A provision recognizing both of the following:

17832

(a) The authority of public health and safety officials to	17833
inspect the facilities of the school and to order the facilities	17834
closed if those officials find that the facilities are not in	17835
compliance with health and safety laws and regulations;	17836

(b) The authority of the department of education as the	17837
community school oversight body to suspend the operation of the	17838
school under section 3314.072 of the Revised Code if the	17839
department has evidence of conditions or violations of law at the	17840
school that pose an imminent danger to the health and safety of	17841
the school's students and employees and the sponsor refuses to	17842
take such action;	17843

(23) A description of the learning opportunities that will be	17844
offered to students including both classroom-based and	17845
non-classroom-based learning opportunities that is in compliance	17846
with criteria for student participation established by the	17847
department under division (L)(2) of section 3314.08 of the Revised	17848
Code;	17849

(24) The school will comply with section 3302.04 of the	17850
Revised Code, including division (E) of that section to the extent	17851
possible, except that any action required to be taken by a school	17852
district pursuant to that section shall be taken by the sponsor of	17853
the school. However, the sponsor shall not be required to take any	17854
action described in division (F) of that section.	17855

(25) Beginning in the 2006-2007 school year, the school will	17856
open for operation not later than the thirtieth day of September	17857
each school year, unless the mission of the school as specified	17858
under division (A)(2) of this section is solely to serve dropouts.	17859
In its initial year of operation, if the school fails to open by	17860
the thirtieth day of September, or within one year after the	17861
adoption of the contract pursuant to division (D) of section	17862
3314.02 of the Revised Code if the mission of the school is solely	17863
to serve dropouts, the contract shall be void.	17864

(B) The community school shall also submit to the sponsor a	17865
comprehensive plan for the school. The plan shall specify the	17866
following:	17867

(1) The process by which the governing authority of the	17868
school will be selected in the future;	17869

(2) The management and administration of the school;

17870

(3) If the community school is a currently existing public	17871
school, alternative arrangements for current public school	17872
students who choose not to attend the school and teachers who	17873
choose not to teach in the school after conversion;	17874

(4) The instructional program and educational philosophy of	17875
the school;	17876

(5) Internal financial controls.

17877

(C) A contract entered into under section 3314.02 of the	17878
Revised Code between a sponsor and the governing authority of a	17879
community school may provide for the community school governing	17880
authority to make payments to the sponsor, which is hereby	17881
authorized to receive such payments as set forth in the contract	17882
between the governing authority and the sponsor. The total amount	17883
of such payments for oversight and monitoring of the school shall	17884
not exceed three per cent of the total amount of payments for	17885
operating expenses that the school receives from the state.	17886

(D) The contract shall specify the duties of the sponsor	17887
which shall be in accordance with the written agreement entered	17888
into with the department of education under division (B) of	17889
section 3314.015 of the Revised Code and shall include the	17890
following:	17891

(1) Monitor the community school's compliance with all laws	17892
applicable to the school and with the terms of the contract;	17893

(2) Monitor and evaluate the academic and fiscal performance	17894
and the organization and operation of the community school on at	17895
least an annual basis;	17896

(3) Report on an annual basis the results of the evaluation	17897
conducted under division (D)(2) of this section to the department	17898
of education and to the parents of students enrolled in the	17899
community school;	17900

(4) Provide technical assistance to the community school in	17901
complying with laws applicable to the school and terms of the	17902
contract;	17903

(5) Take steps to intervene in the school's operation to	17904
correct problems in the school's overall performance, declare the	17905
school to be on probationary status pursuant to section 3314.073	17906
of the Revised Code, suspend the operation of the school pursuant	17907
to section 3314.072 of the Revised Code, or terminate the contract	17908
of the school pursuant to section 3314.07 of the Revised Code as	17909
determined necessary by the sponsor;	17910

(6) Have in place a plan of action to be undertaken in the	17911
event the community school experiences financial difficulties or	17912
closes prior to the end of a school year.	17913

(E) Upon the expiration of a contract entered into under this	17914
section, the sponsor of a community school may, with the approval	17915
of the governing authority of the school, renew that contract for	17916
a period of time determined by the sponsor, but not ending earlier	17917
than the end of any school year, if the sponsor finds that the	17918
school's compliance with applicable laws and terms of the contract	17919
and the school's progress in meeting the academic goals prescribed	17920
in the contract have been satisfactory. Any contract that is	17921
renewed under this division remains subject to the provisions of	17922
sections 3314.07, 3314.072, and 3314.073 of the Revised Code.	17923

(F) If a community school fails to open for operation within	17924
one year after the contract entered into under this section is	17925
adopted pursuant to division (D) of section 3314.02 of the Revised	17926
Code or permanently closes prior to the expiration of the	17927
contract, the contract shall be void and the school shall not	17928
enter into a contract with any other sponsor. A school shall not	17929
be considered permanently closed because the operations of the	17930
school have been suspended pursuant to section 3314.072 of the	17931
Revised Code. Any contract that becomes void under this division	17932
shall not count toward any statewide limit on the number of such	17933
contracts prescribed by section 3314.013 of the Revised Code.	17934

(G) The department of education shall establish criteria for	17935
granting community schools waivers from the minimum student	17936
enrollment required under division (A)(11)(a) of this section. In	17937
establishing the criteria, the department shall consider the	17938
effects of waivers on the financial viability of the schools.	17939

Sec. 3314.04. Except as otherwise specifiedIn addition to	17940
the state laws cited in this chapter and in the contract between a	17941
community school and a sponsor, sucheach community school is	17942
exempt fromestablished under this chapter shall comply with all	17943
other state laws and rules pertaining to public schools, school	17944
districts, and boards of education, exceptincluding, but not	17945
limited to, those laws and rules that grant certain rights to	17946
parents.	17947

Sec. 3314.074. Divisions (A) and (B) of this section apply	17948
only to the extent permitted under Chapter 1702. of the Revised	17949
Code.	17950

(A) If any community school established under this chapter	17951
permanently closes and ceases its operation as a community school,	17952
the assets of that school shall be distributed first to the	17953
retirement funds of employees of the school, employees of the	17954
school, and private creditors who are owed compensation, and then	17955
any remaining funds shall be paid to the state treasury to the	17956
credit of the general revenue funddepartment of education for	17957
redistribution to the school districts in which the students who	17958
were enrolled in the school at the time it ceased operation were	17959
entitled to attend school under section 3313.64 or 3313.65 of the	17960
Revised Code. The amount distributed to each school district shall	17961
be proportional to the district's share of the total enrollment in	17962
the community school.	17963

(B) If a community school closes and ceases to operate as a	17964
community school and the school has received computer hardware or	17965
software from the former Ohio SchoolNet commission or the eTech	17966
Ohio commission, such hardware or software shall be returned to	17967
the eTech Ohio commission, and the eTech Ohio commission shall	17968
redistribute the hardware and software, to the extent such	17969
redistribution is possible, to school districts in conformance	17970
with the provisions of the programs operated and administered by	17971
the eTech Ohio commission.	17972

(C) If the assets of the school are insufficient to pay all	17973
persons or entities to whom compensation is owed, the	17974
prioritization of the distribution of the assets to individual	17975
persons or entities within each class of payees may be determined	17976
by decree of a court in accordance with this section and Chapter	17977
1702. of the Revised Code.	17978

Sec. 3314.08.  (A) As used in this section:

17979

(1) "Base formula amount" means the amount specified as such	17980
in a community school's financial plan for a school year pursuant	17981
to division (A)(15) of section 3314.03 of the Revised Code.	17982

(2) "Cost-of-doing-business factor" has the same meaning as	17983
in section 3317.02 of the Revised Code.	17984

(3) "IEP" means an individualized education program as	17985
defined in section 3323.01 of the Revised Code.	17986

(4)(3) "Applicable special education weight" means the	17987
multiple specified in section 3317.013 of the Revised Code for a	17988
handicap described in that section.	17989

(5)(4) "Applicable vocational education weight" means:

17990

(a) For a student enrolled in vocational education programs	17991
or classes described in division (A) of section 3317.014 of the	17992
Revised Code, the multiple specified in that division;	17993

(b) For a student enrolled in vocational education programs	17994
or classes described in division (B) of section 3317.014 of the	17995
Revised Code, the multiple specified in that division.	17996

(6)(5) "Entitled to attend school" means entitled to attend	17997
school in a district under section 3313.64 or 3313.65 of the	17998
Revised Code.	17999

(7)(6) A community school student is "included in the	18000
poverty student count" of a school district if the student is	18001
entitled to attend school in the district and the student's family	18002
receives assistance under the Ohio works first program.	18003

(8)(7) "Poverty-based assistance reduction factor" means the	18004
percentage figure, if any, for reducing the per pupil amount of	18005
poverty-based assistance a community school is entitled to receive	18006
pursuant to divisions (D)(5) and (6)to (8) of this section in any	18007
year, as specified in the school's financial plan for the year	18008
pursuant to division (A)(15) of section 3314.03 of the Revised	18009
Code.	18010

(9)(8) "All-day kindergarten" has the same meaning as in	18011
section 3317.029 of the Revised Code.	18012

(10) "SF-3 payment" means the sum of the payments to a school	18013
district in a fiscal year under divisions (A), (C)(1), (C)(4),	18014
(D), (E), and (F) of section 3317.022, divisions (G), (L), and (N)	18015
of section 3317.024, and sections 3317.029, 3317.0216, 3317.0217,	18016
3317.04, 3317.05, 3317.052, and 3317.053 of the Revised Code after	18017
making the adjustments required by sections 3313.981 and 3313.979,	18018
divisions (B), (C), (D), (E), (K), (L), (M), (N), and (O) of	18019
section 3317.023, and division (C) of section 3317.20(9) "State	18020
education aid" has the same meaning as in section 5751.20 of the	18021
Revised Code.	18022

(B) The state board of education shall adopt rules requiring	18023
both of the following:	18024

(1) The board of education of each city, exempted village,	18025
and local school district to annually report the number of	18026
students entitled to attend school in the district who are	18027
enrolled in grades one through twelve in a community school	18028
established under this chapter, the number of students entitled to	18029
attend school in the district who are enrolled in kindergarten in	18030
a community school, the number of those kindergartners who are	18031
enrolled in all-day kindergarten in their community school, and	18032
for each child, the community school in which the child is	18033
enrolled.	18034

(2) The governing authority of each community school	18035
established under this chapter to annually report all of the	18036
following:	18037

(a) The number of students enrolled in grades one through	18038
twelve and the number of students enrolled in kindergarten in the	18039
school who are not receiving special education and related	18040
services pursuant to an IEP;	18041

(b) The number of enrolled students in grades one through	18042
twelve and the number of enrolled students in kindergarten, who	18043
are receiving special education and related services pursuant to	18044
an IEP;	18045

(c) The number of students reported under division (B)(2)(b)	18046
of this section receiving special education and related services	18047
pursuant to an IEP for a handicap described in each of divisions	18048
(A) to (F) of section 3317.013 of the Revised Code;	18049

(d) The full-time equivalent number of students reported	18050
under divisions (B)(2)(a) and (b) of this section who are enrolled	18051
in vocational education programs or classes described in each of	18052
divisions (A) and (B) of section 3317.014 of the Revised Code that	18053
are provided by the community school;	18054

(e) Twenty per cent of the number of students reported under	18055
divisions (B)(2)(a) and (b) of this section who are not reported	18056
under division (B)(2)(d) of this section but who are enrolled in	18057
vocational education programs or classes described in each of	18058
divisions (A) and (B) of section 3317.014 of the Revised Code at a	18059
joint vocational school district under a contract between the	18060
community school and the joint vocational school district and are	18061
entitled to attend school in a city, local, or exempted village	18062
school district whose territory is part of the territory of the	18063
joint vocational district;	18064

(f) The number of enrolled preschool handicapped students	18065
receiving special education services in a state-funded unit;	18066

(g) The community school's base formula amount;

18067

(h) For each student, the city, exempted village, or local	18068
school district in which the student is entitled to attend school;	18069

(i) Any poverty-based assistance reduction factor that	18070
applies to a school year.	18071

(C) From the SF-3 payment made tostate education aid	18072
calculated for a city, exempted village, or local school district	18073
and, if necessary, from the payment made to the district under	18074
sections 321.24 and 323.156 of the Revised Code, the department of	18075
education shall annually subtract the sum of the amounts described	18076
in divisions (C)(1) to (9)(7) of this section. However, when	18077
deducting payments on behalf of students enrolled in internet- or	18078
computer-based community schools, the department shall deduct only	18079
those amounts described in divisions (C)(1) and (2) of this	18080
section. Furthermore, the aggregate amount deducted under this	18081
division shall not exceed the sum of the district's SF-3 payment	18082
state education aid and its payment under sections 321.24 and	18083
323.156 of the Revised Code.	18084

(1) An amount equal to the sum of the amounts obtained when,	18085
for each community school where the district's students are	18086
enrolled, the number of the district's students reported under	18087
divisions (B)(2)(a), (b), and (e) of this section who are enrolled	18088
in grades one through twelve, and one-half the number of students	18089
reported under those divisions who are enrolled in kindergarten,	18090
in that community school is multiplied by the greater of the	18091
following:	18092

(a) The fiscal year 2005 base formula amount of that	18093
community school as adjusted by the school district's fiscal year	18094
2005 cost-of-doing-business factor;	18095

(b) The sum of (the current base formula amount of that	18096
community school times the school district's current	18097
cost-of-doing-business factor) plus the per pupil amount of the	18098
base funding supplements specified in divisions (C)(1) to (4) of	18099
section 3317.012 of the Revised Code.	18100

(2) The sum of the amounts calculated under divisions	18101
(C)(2)(a) and (b) of this section:	18102

(a) For each of the district's students reported under	18103
division (B)(2)(c) of this section as enrolled in a community	18104
school in grades one through twelve and receiving special	18105
education and related services pursuant to an IEP for a handicap	18106
described in section 3317.013 of the Revised Code, the product of	18107
the applicable special education weight times the community	18108
school's base formula amount;	18109

(b) For each of the district's students reported under	18110
division (B)(2)(c) of this section as enrolled in kindergarten in	18111
a community school and receiving special education and related	18112
services pursuant to an IEP for a handicap described in section	18113
3317.013 of the Revised Code, one-half of the amount calculated as	18114
prescribed in division (C)(2)(a) of this section.	18115

(3) For each of the district's students reported under	18116
division (B)(2)(d) of this section for whom payment is made under	18117
division (D)(4) of this section, the amount of that payment;	18118

(4) An amount equal to the sum of the amounts obtained when,	18119
for each community school where the district's students are	18120
enrolled, the number of the district's students enrolled in that	18121
community school who are included in the district's poverty	18122
student count is multiplied by the per pupil amount of	18123
poverty-based assistance the school district receives that year	18124
pursuant to division (B) or (C) of section 3317.029 of the Revised	18125
Code, as adjusted by any poverty-based assistance reduction factor	18126
of that community school. If the district receives poverty-based	18127
assistance under division (B) of that section, the per pupil	18128
amount of that aid is the quotient of the amount the district	18129
received under that division divided by the district's poverty	18130
student count, as defined in that section. If the district	18131
receives poverty-based assistance under division (C) of section	18132
3317.029 of the Revised Code, theThe per pupil amount of that aid	18133
for the district shall be calculated by the department.	18134

(5) An amount equal to the sum of the amounts obtained when,	18135
for each community school where the district's students are	18136
enrolled, the district's per pupil amount of aid received under	18137
division (E) of section 3317.029 of the Revised Code, as adjusted	18138
by any poverty-based assistance reduction factor of the community	18139
school, is multiplied by the sum of the following:	18140

(a) The number of the district's students reported under	18141
division (B)(2)(a) of this section who are enrolled in grades one	18142
to three in that community school and who are not receiving	18143
special education and related services pursuant to an IEP;	18144

(b) One-half of the district's students who are enrolled in	18145
all-day or any other kindergarten class in that community school	18146
and who are not receiving special education and related services	18147
pursuant to an IEP;	18148

(c) One-half of the district's students who are enrolled in	18149
all-day kindergarten in that community school and who are not	18150
receiving special education and related services pursuant to an	18151
IEP.	18152

The district's per pupil amount of aid under division (E) of	18153
section 3317.029 of the Revised Code is the quotient of the amount	18154
the district received under that division divided by the	18155
district's kindergarten through third grade ADM, as defined in	18156
that section.	18157

(6) An amount equal to the sum of the amounts obtained when,	18158
for each community school where the district's students are	18159
enrolled, the district's per pupil amount received under division	18160
(F) of section 3317.029 of the Revised Code, as adjusted by any	18161
poverty-based assistance reduction factor of that community	18162
school, is multiplied by the number of the district's students	18163
enrolled in the community school who are identified as	18164
limited-English proficient.	18165

(7) An amount equal to the sum of the amounts obtained when,	18166
for each community school where the district's students are	18167
enrolled, the district's per pupil amount received under division	18168
(G) of section 3317.029 of the Revised Code, as adjusted by any	18169
poverty-based assistance reduction factor of that community	18170
school, is multiplied by the sum of the following:	18171

(a) The number of the district's students enrolled in grades	18172
one through twelve in that community school;	18173

(b) One-half of the number of the district's students	18174
enrolled in kindergarten in that community school.	18175

The district's per pupil amount under division (G) of section	18176
3317.029 of the Revised Code is the district's amount per teacher	18177
calculated under division (G)(1) or (2) of that section divided by	18178
17, times a multiple of 0.40 in fiscal year 2006 and 0.70 in	18179
fiscal year 2007.	18180

(8) An amount equal to the sum of the amounts obtained when,	18181
for each community school where the district's students are	18182
enrolled, the district's per pupil amount received under divisions	18183
(H) and (I) of section 3317.029 of the Revised Code, as adjusted	18184
by any poverty-based assistance reduction factor of that community	18185
school, is multiplied by the sum of the following:	18186

(a) The number of the district's students enrolled in grades	18187
one through twelve in that community school;	18188

(b) One-half of the number of the district's students	18189
enrolled in kindergarten in that community school.	18190

The district's per pupil amount under divisions (H) and (I)	18191
of section 3317.029 of the Revised Code is the amount calculated	18192
under each division divided by the district's formula ADM, as	18193
defined in section 3317.02 of the Revised Code.	18194

(9) An amount equal to the per pupil state parity aid funding	18195
calculated for the school district under either division (C) or	18196
(D) of section 3317.0217 of the Revised Code multiplied by the sum	18197
of the number of students in grades one through twelve, and	18198
one-half of the number of students in kindergarten, who are	18199
entitled to attend school in the district and are enrolled in a	18200
community school as reported under division (B)(1) of this	18201
section.	18202

(D) The department shall annually pay to a community school	18203
established under this chapter the sum of the amounts described in	18204
divisions (D)(1) to (10)(8) of this section. However, the	18205
department shall calculate and pay to each internet- or	18206
computer-based community school only the amounts described in	18207
divisions (D)(1) to (3) of this section. Furthermore, the sum of	18208
the payments to all community schools under divisions (D)(1), (2),	18209
and (4) to (10)(8) of this section for the students entitled to	18210
attend school in any particular school district shall not exceed	18211
the sum of that district's SF-3 paymentstate education aid and	18212
its payment under sections 321.24 and 323.156 of the Revised Code.	18213
If the sum of the payments calculated under those divisions for	18214
the students entitled to attend school in a particular school	18215
district exceeds the sum of that district's SF-3 paymentstate	18216
education aid and its payment under sections 321.24 and 323.156 of	18217
the Revised Code, the department shall calculate and apply a	18218
proration factor to the payments to all community schools under	18219
those divisions for the students entitled to attend school in that	18220
district.	18221

(1) Subject to section 3314.085 of the Revised Code, an	18222
amount equal to the sum of the amounts obtained when the number of	18223
students enrolled in grades one through twelve, plus one-half of	18224
the kindergarten students in the school, reported under divisions	18225
(B)(2)(a), (b), and (e) of this section who are not receiving	18226
special education and related services pursuant to an IEP for a	18227
handicap described in section 3317.013 of the Revised Code is	18228
multiplied by the greater of the following:	18229

(a) The community school's fiscal year 2005 base formula	18230
amount, as adjusted by the fiscal year 2005 cost-of-doing-business	18231
factor of the school district in which the student is entitled to	18232
attend school;	18233

(b) The sum of (the community school's current base formula	18234
amount times the current cost-of-doing-business factor of the	18235
school district in which the student is entitled to attend school)	18236
plus the per pupil amount of the base funding supplements	18237
specified in divisions (C)(1) to (4) of section 3317.012 of the	18238
Revised Code.	18239

(2) Prior to fiscal year 2007, the greater of the amount	18240
calculated under division (D)(2)(a) or (b) of this section, and in	18241
fiscal year 2007 and thereafter, the amount calculated under	18242
division (D)(2)(b) of this section:	18243

(a) The aggregate amount that the department paid to the	18244
community school in fiscal year 1999 for students receiving	18245
special education and related services pursuant to IEPs, excluding	18246
federal funds and state disadvantaged pupil impact aid funds;	18247

(b) The sum of the amounts calculated under divisions	18248
(D)(2)(b)(i) and (ii) of this section:	18249

(i) For each student reported under division (B)(2)(c) of	18250
this section as enrolled in the school in grades one through	18251
twelve and receiving special education and related services	18252
pursuant to an IEP for a handicap described in section 3317.013 of	18253
the Revised Code, the following amount:	18254

the greater of (the community school's fiscal year 2005

18255

base formula amount X the fiscal year 2005

18256

cost-of-doing-business factor of the district

18257

where the student is entitled to attend school)

18258

or [(the school's current base formula amount times

18259

the current cost-of-doing-business factor of the school district

18260

where the student is entitled to attend school) plus

18261

the per pupil amount of the base funding supplements specified in

18262

divisions (C)(1) to (4) of section 3317.012 of the Revised Code])

18263

+ (the applicable special education weight X the

18264

community school's base formula amount);

18265

(ii) For each student reported under division (B)(2)(c) of	18266
this section as enrolled in kindergarten and receiving special	18267
education and related services pursuant to an IEP for a handicap	18268
described in section 3317.013 of the Revised Code, one-half of the	18269
amount calculated under the formula prescribed in division	18270
(D)(2)(b)(i) of this section.	18271

(3) An amount received from federal funds to provide special	18272
education and related services to students in the community	18273
school, as determined by the superintendent of public instruction.	18274

(4) For each student reported under division (B)(2)(d) of	18275
this section as enrolled in vocational education programs or	18276
classes that are described in section 3317.014 of the Revised	18277
Code, are provided by the community school, and are comparable as	18278
determined by the superintendent of public instruction to school	18279
district vocational education programs and classes eligible for	18280
state weighted funding under section 3317.014 of the Revised Code,	18281
an amount equal to the applicable vocational education weight	18282
times the community school's base formula amount times the	18283
percentage of time the student spends in the vocational education	18284
programs or classes.	18285

(5) An amount equal to the sum of the amounts obtained when,	18286
for each school district where the community school's students are	18287
entitled to attend school, the number of that district's students	18288
enrolled in the community school who are included in the	18289
district's poverty student count is multiplied by the per pupil	18290
amount of poverty-based assistance that school district receives	18291
that year pursuant to division (B) or (C) of section 3317.029 of	18292
the Revised Code, as adjusted by any poverty-based assistance	18293
reduction factor of the community school. The per pupil amount of	18294
aid shall be determined as described in division (C)(4) of this	18295
section.	18296

(6) An amount equal to the sum of the amounts obtained when,	18297
for each school district where the community school's students are	18298
entitled to attend school, the district's per pupil amount of aid	18299
received under division (E) of section 3317.029 of the Revised	18300
Code, as adjusted by any poverty-based assistance reduction	18301
factor of the community school, is multiplied by the sum of the	18302
following:	18303

(a) The number of the district's students reported under	18304
division (B)(2)(a) of this section who are enrolled in grades one	18305
to three in that community school and who are not receiving	18306
special education and related services pursuant to an IEP;	18307

(b) One-half of the district's students who are enrolled in	18308
all-day or any other kindergarten class in that community school	18309
and who are not receiving special education and related services	18310
pursuant to an IEP;	18311

(c) One-half of the district's students who are enrolled in	18312
all-day kindergarten in that community school and who are not	18313
receiving special education and related services pursuant to an	18314
IEP.	18315

The district's per pupil amount of aid under division (E) of	18316
section 3317.029 of the Revised Code shall be determined as	18317
described in division (C)(5) of this section.	18318

(7) An amount equal to the sum of the amounts obtained when,	18319
for each school district where the community school's students are	18320
entitled to attend school, the number of that district's students	18321
enrolled in the community school who are identified as	18322
limited-English proficient is multiplied by the district's per	18323
pupil amount received under division (F) of section 3317.029 of	18324
the Revised Code, as adjusted by any poverty-based assistance	18325
reduction factor of the community school.	18326

(8) An amount equal to the sum of the amounts obtained when,	18327
for each school district where the community school's students are	18328
entitled to attend school, the district's per pupil amount	18329
received under division (G) of section 3317.029 of the Revised	18330
Code, as adjusted by any poverty-based assistance reduction factor	18331
of the community school, is multiplied by the sum of the	18332
following:	18333

(a) The number of the district's students enrolled in grades	18334
one through twelve in that community school;	18335

(b) One-half of the number of the district's students	18336
enrolled in kindergarten in that community school.	18337

The district's per pupil amount under division (G) of section	18338
3317.029 of the Revised Code shall be determined as described in	18339
division (C)(7) of this section.	18340

(9) An amount equal to the sum of the amounts obtained when,	18341
for each school district where the community school's students are	18342
entitled to attend school, the district's per pupil amount	18343
received under divisions (H) and (I) of section 3317.029 of the	18344
Revised Code, as adjusted by any poverty-based assistance	18345
reduction factor of the community school, is multiplied by the sum	18346
of the following:	18347

(a) The number of the district's students enrolled in grades	18348
one through twelve in that community school;	18349

(b) One-half of the number of the district's students	18350
enrolled in kindergarten in that community school.	18351

The district's per pupil amount under divisions (H) and (I)	18352
of section 3317.029 of the Revised Code shall be determined as	18353
described in division (C)(8) of this section.	18354

(10) An amount equal to the sum of the amounts obtained when,	18355
for each school district where the community school's students are	18356
entitled to attend school, the district's per pupil amount of	18357
state parity aid funding calculated under either division (C) or	18358
(D) of section 3317.0217 of the Revised Code is multiplied by the	18359
sum of the number of that district's students enrolled in grades	18360
one through twelve, and one-half of the number of that district's	18361
students enrolled in kindergarten, in the community school as	18362
reported under division (B)(2)(a) and (b) of this section.	18363

(E)(1) If a community school's costs for a fiscal year for a	18364
student receiving special education and related services pursuant	18365
to an IEP for a handicap described in divisions (B) to (F) of	18366
section 3317.013 of the Revised Code exceed the threshold	18367
catastrophic cost for serving the student as specified in division	18368
(C)(3)(b) of section 3317.022 of the Revised Code, the school may	18369
submit to the superintendent of public instruction documentation,	18370
as prescribed by the superintendent, of all its costs for that	18371
student. Upon submission of documentation for a student of the	18372
type and in the manner prescribed, the department shall pay to the	18373
community school an amount equal to the school's costs for the	18374
student in excess of the threshold catastrophic costs.	18375

(2) The community school shall only report under division	18376
(E)(1) of this section, and the department shall only pay for, the	18377
costs of educational expenses and the related services provided to	18378
the student in accordance with the student's individualized	18379
education program. Any legal fees, court costs, or other costs	18380
associated with any cause of action relating to the student may	18381
not be included in the amount.	18382

(F) A community school may apply to the department of	18383
education for preschool handicapped or gifted unit funding the	18384
school would receive if it were a school district. Upon request of	18385
its governing authority, a community school that received unit	18386
funding as a school district-operated school before it became a	18387
community school shall retain any units awarded to it as a school	18388
district-operated school provided the school continues to meet	18389
eligibility standards for the unit.	18390

A community school shall be considered a school district and	18391
its governing authority shall be considered a board of education	18392
for the purpose of applying to any state or federal agency for	18393
grants that a school district may receive under federal or state	18394
law or any appropriations act of the general assembly. The	18395
governing authority of a community school may apply to any private	18396
entity for additional funds.	18397

(G) A board of education sponsoring a community school may	18398
utilize local funds to make enhancement grants to the school or	18399
may agree, either as part of the contract or separately, to	18400
provide any specific services to the community school at no cost	18401
to the school.	18402

(H) A community school may not levy taxes or issue bonds	18403
secured by tax revenues.	18404

(I) No community school shall charge tuition for the	18405
enrollment of any student.	18406

(J)(1)(a) A community school may borrow money to pay any	18407
necessary and actual expenses of the school in anticipation of the	18408
receipt of any portion of the payments to be received by the	18409
school pursuant to division (D) of this section. The school may	18410
issue notes to evidence such borrowing. The proceeds of the notes	18411
shall be used only for the purposes for which the anticipated	18412
receipts may be lawfully expended by the school.	18413

(b) A school may also borrow money for a term not to exceed	18414
fifteen years for the purpose of acquiring facilities.	18415

(2) Except for any amount guaranteed under section 3318.50 of	18416
the Revised Code, the state is not liable for debt incurred by the	18417
governing authority of a community school.	18418

(K) For purposes of determining the number of students for	18419
which divisions (D)(5) and (6) of this section applies in any	18420
school year, a community school may submit to the department of	18421
job and family services, no later than the first day of March, a	18422
list of the students enrolled in the school. For each student on	18423
the list, the community school shall indicate the student's name,	18424
address, and date of birth and the school district where the	18425
student is entitled to attend school. Upon receipt of a list under	18426
this division, the department of job and family services shall	18427
determine, for each school district where one or more students on	18428
the list is entitled to attend school, the number of students	18429
residing in that school district who were included in the	18430
department's report under section 3317.10 of the Revised Code. The	18431
department shall make this determination on the basis of	18432
information readily available to it. Upon making this	18433
determination and no later than ninety days after submission of	18434
the list by the community school, the department shall report to	18435
the state department of education the number of students on the	18436
list who reside in each school district who were included in the	18437
department's report under section 3317.10 of the Revised Code. In	18438
complying with this division, the department of job and family	18439
services shall not report to the state department of education any	18440
personally identifiable information on any student.	18441

(L) The department of education shall adjust the amounts	18442
subtracted and paid under divisions (C) and (D) of this section to	18443
reflect any enrollment of students in community schools for less	18444
than the equivalent of a full school year. The state board of	18445
education within ninety days after April 8, 2003, shall adopt in	18446
accordance with Chapter 119. of the Revised Code rules governing	18447
the payments to community schools under this section including	18448
initial payments in a school year and adjustments and reductions	18449
made in subsequent periodic payments to community schools and	18450
corresponding deductions from school district accounts as provided	18451
under divisions (C) and (D) of this section. For purposes of this	18452
section:	18453

(1) A student shall be considered enrolled in the community	18454
school for any portion of the school year the student is	18455
participating at a college under Chapter 3365. of the Revised	18456
Code.	18457

(2) A student shall be considered to be enrolled in a	18458
community school during a school year for the period of time	18459
beginning on the later of the date on which the school both has	18460
received documentation of the student's enrollment from a parent	18461
and the student has commenced participation in learning	18462
opportunities as defined in the contract with the sponsor, or	18463
thirty days prior to the date on which the student is entered into	18464
the education management information system established under	18465
section 3301.0714 of the Revised Code. For purposes of applying	18466
this division to a community school student, "learning	18467
opportunities" shall be defined in the contract, which shall	18468
describe both classroom-based and non-classroom-based learning	18469
opportunities and shall be in compliance with criteria and	18470
documentation requirements for student participation which shall	18471
be established by the department. Any student's instruction time	18472
in non-classroom-based learning opportunities shall be certified	18473
by an employee of the community school. A student's enrollment	18474
shall be considered to cease on the date on which any of the	18475
following occur:	18476

(a) The community school receives documentation from a parent	18477
terminating enrollment of the student.	18478

(b) The community school is provided documentation of a	18479
student's enrollment in another public or private school.	18480

(c) The community school ceases to offer learning	18481
opportunities to the student pursuant to the terms of the contract	18482
with the sponsor or the operation of any provision of this	18483
chapter.	18484

(3) A student's percentage of full-time equivalency shall be	18485
considered to be the percentage the hoursdays of learning	18486
opportunity offered to that student is of nineone hundred and	18487
twenty hourseighty days. However, no internet- or computer-based	18488
community school shall be credited for any timeday a student	18489
spends participating in learning opportunities beyondfor less	18490
than five hours or more than ten hours within any period of	18491
twenty-four consecutive hours.	18492

(M) The department of education shall reduce the amounts paid	18493
under division (D) of this section to reflect payments made to	18494
colleges under division (B) of section 3365.07 of the Revised	18495
Code.	18496

(N)(1) No student shall be considered enrolled in any	18497
internet- or computer-based community school or, if applicable to	18498
the student, in any community school that is required to provide	18499
the student with a computer pursuant to division (C) of section	18500
3314.22 of the Revised Code, unless both of the following	18501
conditions are satisfied:	18502

(a) The student possesses or has been provided with all	18503
required hardware and software materials and all such materials	18504
are operational so that the student is capable of fully	18505
participating in the learning opportunities specified in the	18506
contract between the school and the school's sponsor as required	18507
by division (A)(23) of section 3314.03 of the Revised Code;	18508

(b) The school is in compliance with division (A) of section	18509
3314.22 of the Revised Code, relative to such student.	18510

(2) In accordance with policies adopted jointly by the	18511
superintendent of public instruction and the auditor of state, the	18512
department shall reduce the amounts otherwise payable under	18513
division (D) of this section to any community school that includes	18514
in its program the provision of computer hardware and software	18515
materials to any student, if such hardware and software materials	18516
have not been delivered, installed, and activated for each such	18517
student in a timely manner or other educational materials or	18518
services have not been provided according to the contract between	18519
the individual community school and its sponsor.	18520

The superintendent of public instruction and the auditor of	18521
state shall jointly establish a method for auditing any community	18522
school to which this division pertains to ensure compliance with	18523
this section.	18524

The superintendent, auditor of state, and the governor shall	18525
jointly make recommendations to the general assembly for	18526
legislative changes that may be required to assure fiscal and	18527
academic accountability for such schools.	18528

(O)(1) If the department determines that a review of a	18529
community school's enrollment is necessary, such review shall be	18530
completed and written notice of the findings shall be provided to	18531
the governing authority of the community school and its sponsor	18532
within ninety days of the end of the community school's fiscal	18533
year, unless extended for a period not to exceed thirty additional	18534
days for one of the following reasons:	18535

(a) The department and the community school mutually agree to	18536
the extension.	18537

(b) Delays in data submission caused by either a community	18538
school or its sponsor.	18539

(2) If the review results in a finding that additional	18540
funding is owed to the school, such payment shall be made within	18541
thirty days of the written notice. If the review results in a	18542
finding that the community school owes moneys to the state, the	18543
following procedure shall apply:	18544

(a) Within ten business days of the receipt of the notice of	18545
findings, the community school may appeal the department's	18546
determination to the state board of education or its designee.	18547

(b) The board or its designee shall conduct an informal	18548
hearing on the matter within thirty days of receipt of such an	18549
appeal and shall issue a decision within fifteen days of the	18550
conclusion of the hearing.	18551

(c) If the board has enlisted a designee to conduct the	18552
hearing, the designee shall certify its decision to the board. The	18553
board may accept the decision of the designee or may reject the	18554
decision of the designee and issue its own decision on the matter.	18555

(d) Any decision made by the board under this division is	18556
final.	18557

(3) If it is decided that the community school owes moneys to	18558
the state, the department shall deduct such amount from the	18559
school's future payments in accordance with guidelines issued by	18560
the superintendent of public instruction.	18561

(P) The department shall not subtract from a school	18562
district's state aid account under division (C) of this section	18563
and shall not pay to a community school under division (D) of this	18564
section any amount for any of the following:	18565

(1) Any student who has graduated from the twelfth grade of a	18566
public or nonpublic high school;	18567

(2) Any student who is not a resident of the state;

18568

(3) Any student who was enrolled in the community school	18569
during the previous school year when tests were administered under	18570
section 3301.0711 of the Revised Code but did not take one or more	18571
of the tests required by that section and was not excused pursuant	18572
to division (C)(1) or (3) of that section, unless the	18573
superintendent of public instruction grants the student a waiver	18574
from the requirement to take the test and a parent is not paying	18575
tuition for the student pursuant to section 3314.26 of the Revised	18576
Code. The superintendent may grant a waiver only for good cause in	18577
accordance with rules adopted by the state board of education.	18578

(4) Any student who has attained the age of twenty-two years,	18579
except for veterans of the armed services whose attendance was	18580
interrupted before completing the recognized twelve-year course of	18581
the public schools by reason of induction or enlistment in the	18582
armed forces and who apply for enrollment in a community school	18583
not later than four years after termination of war or their	18584
honorable discharge. If, however, any such veteran elects to	18585
enroll in special courses organized for veterans for whom tuition	18586
is paid under federal law, or otherwise, the department shall not	18587
subtract from a school district's state aid account under division	18588
(C) of this section and shall not pay to a community school under	18589
division (D) of this section any amount for that veteran.	18590

Sec. 3314.19.  The sponsor of each community school annually	18591
shall provide the following assurances in writing to the	18592
department of education not later than ten business days prior to	18593
the opening of the school:	18594

(A) That a current copy of the contract between the sponsor	18595
and the governing authority of the school entered into under	18596
section 3314.03 of the Revised Code has been filed with the state	18597
office of community schools established under section 3314.11 of	18598
the Revised Code and that any subsequent modifications to that	18599
contract will be filed with the office;	18600

(B) That the school has submitted to the sponsor a plan for	18601
providing special education and related services to students with	18602
disabilities and has demonstrated the capacity to provide those	18603
services in accordance with Chapter 3323. of the Revised Code and	18604
federal law;	18605

(C) That the school has a plan and procedures for	18606
administering the achievement tests and diagnostic assessments	18607
prescribed by sections 3301.0710 and 3301.0715 of the Revised	18608
Code;	18609

(D) That school personnel have the necessary training,	18610
knowledge, and resources to properly use and submit information to	18611
all databases maintained by the department for the collection of	18612
education data, including the education management information	18613
system established under section 3301.0714 of the Revised Code in	18614
accordance with methods and timelines established under section	18615
3314.17 of the Revised Code;	18616

(E) That all required information about the school has been	18617
submitted to the Ohio education directory system or any successor	18618
system;	18619

(F) That the school will enroll at least the minimum number	18620
of students required by division (A)(11)(a) of section 3314.03 of	18621
the Revised Code in the school year for which the assurances are	18622
provided;	18623

(G) That all classroom teachers are licensed in accordance	18624
with sections 3319.22 to 3319.31 of the Revised Code, except for	18625
noncertificated persons engaged to teach up to twelve hours per	18626
week pursuant to section 3319.301 of the Revised Code;	18627

(H) That the school's fiscal officer is in compliance with	18628
section 3314.011 of the Revised Code;	18629

(I) That the school has complied with section 3319.39 of the	18630
Revised Code with respect to all employees who are responsible for	18631
the care, custody, or control of a child and that the school has	18632
conducted a criminal records check of each of its governing	18633
authority members;	18634

(J) That the school holds all of the following:

18635

(1) Proof of property ownership or a lease for the facilities	18636
used by the school;	18637

(2) A certificate of occupancy;

18638

(3) Liability insurance for the school, as required by	18639
division (A)(11)(b) of section 3314.03 of the Revised Code, that	18640
the sponsor considers sufficient to indemnify the school's	18641
facilities, staff, and governing authority against risk;	18642

(4) A satisfactory health and safety inspection;

18643

(5) A satisfactory fire inspection;

18644

(6) A valid food permit, if applicable.

18645

(K) That the sponsor has conducted a pre-opening site visit	18646
to the school for the school year for which the assurances are	18647
provided;	18648

(L) That the school has designated a date it will open for	18649
the school year for which the assurances are provided that is in	18650
compliance with division (A)(25) of section 3314.03 of the Revised	18651
Code;	18652

(M) That the school has met all of the sponsor's requirements	18653
for opening and any other requirements of the sponsor.	18654

Sec. 3314.21. (A) As used in this section:

18655

(1) "Harmful to juveniles" has the same meaning as in section	18656
2907.01 of the Revised Code.	18657

(2) "Obscene" has the same meaning as in division (F) of	18658
section 2907.01 of the Revised Code as that division has been	18659
construed by the supreme court of this state.	18660

(3) "Teacher of record" means a teacher who is responsible	18661
for the overall academic development and achievement of a student	18662
and not merely the student's instruction in any single subject.	18663

(B)(1) It(1) It is the intent of the general assembly that	18664
teachers employed by internet- or computer-based community schools	18665
conduct visits with their students in person throughout the school	18666
year.	18667

(2) Each internet- or computer-based community school shall	18668
retain an affiliation withemploy at least one full-time teacher	18669
of record licensed in accordance with division (A)(10) of section	18670
3314.03 of the Revised Code.	18671

(3) Each student enrolled in an internet- or computer-based	18672
community school shall be assigned to at least one teacher of	18673
record. No teacher of record shall be primarily responsible for	18674
the academic development and achievement of more than one hundred	18675
twenty-five students enrolled in the internet- or computer-based	18676
community school that has retained that teacher.	18677

(C) For any internet- or computer-based community school, the	18678
contract between the sponsor and the governing authority of the	18679
school described in section 3314.03 of the Revised Code shall	18680
specify each of the following:	18681

(1) A requirement that the school use a filtering device or	18682
install filtering software that protects against internet access	18683
to materials that are obscene or harmful to juveniles on each	18684
computer provided to students for instructional use. The school	18685
shall provide such device or software at no cost to any student	18686
who works primarily from the student's residence on a computer	18687
obtained from a source other than the school.	18688

(2) A plan for fulfilling the intent of the general assembly	18689
specified in division (B)(1) of this section. The plan shall	18690
indicate the number of times teachers will visit each student	18691
throughout the school year and the manner in which those visits	18692
will be conducted.	18693

(3) That the school will set up a central base of operation	18694
and the sponsor will maintain a representative within fifty miles	18695
of that base of operation to provide monitoring and assistance.	18696

Sec. 3314.27. No student enrolled in an internet- or	18697
computer-based community school may participate in less than five	18698
or more than ten hours of learning opportunities in any period of	18699
twenty-four consecutive hoursday. Any timeday in which such a	18700
student participates in learning opportunities beyondoutside the	18701
limitlimits prescribed in this section shall not count toward the	18702
annual minimum number of hoursdays required to be provided to	18703
that student as prescribed in division (A)(11)(a) of section	18704
3314.03 of the Revised Code. If any internet- or computer-based	18705
community school requires its students to participate in learning	18706
opportunities on the basis of days rather than hours, one day	18707
shall consist of a minimum of five hours of such participation.	18708

Sec. 3317.01.  As used in this section and section 3317.011	18709
of the Revised Code, "school district," unless otherwise	18710
specified, means any city, local, exempted village, joint	18711
vocational, or cooperative education school district and any	18712
educational service center.	18713

This chapter shall be administered by the state board of	18714
education. The superintendent of public instruction shall	18715
calculate the amounts payable to each school district and shall	18716
certify the amounts payable to each eligible district to the	18717
treasurer of the district as provided by this chapter. As soon as	18718
possible after such amounts are calculated, the superintendent	18719
shall certify to the treasurer of each school district the	18720
district's adjusted charge-off increase, as defined in section	18721
5705.211 of the Revised Code. No moneys shall be distributed	18722
pursuant to this chapter without the approval of the controlling	18723
board.	18724

The state board of education shall, in accordance with	18725
appropriations made by the general assembly, meet the financial	18726
obligations of this chapter.	18727

Annually, the department of education shall calculate and	18728
report to each school district the district's total state and	18729
local funds for providing an adequate basic education to the	18730
district's nonhandicapped students, utilizing the determination in	18731
section 3317.012 of the Revised Code. In addition, the department	18732
shall calculate and report separately for each school district the	18733
district's total state and local funds for providing an adequate	18734
education for its handicapped students, utilizing the	18735
determinations in both sections 3317.012 and 3317.013 of the	18736
Revised Code.	18737

Not later than the thirty-first day of August of each fiscal	18738
year, the department of education shall provide to each school	18739
district and county MR/DD board a preliminary estimate of the	18740
amount of funding that the department calculates the district will	18741
receive under each of divisions (C)(1) and (4) of section 3317.022	18742
of the Revised Code. No later than the first day of December of	18743
each fiscal year, the department shall update that preliminary	18744
estimate.	18745

Moneys distributed pursuant to this chapter shall be	18746
calculated and paid on a fiscal year basis, beginning with the	18747
first day of July and extending through the thirtieth day of June.	18748
The moneys appropriated for each fiscal year shall be distributed	18749
at least monthly to each school district unless otherwise provided	18750
for. The state board shall submit a yearly distribution plan to	18751
the controlling board at its first meeting in July. The state	18752
board shall submit any proposed midyear revision of the plan to	18753
the controlling board in January. Any year-end revision of the	18754
plan shall be submitted to the controlling board in June. If	18755
moneys appropriated for each fiscal year are distributed other	18756
than monthly, such distribution shall be on the same basis for	18757
each school district.	18758

The total amounts paid each month shall constitute, as nearly	18759
as possible, one-twelfth of the total amount payable for the	18760
entire year.	18761

Until fiscal year 2007, paymentsPayments made during the	18762
first six months of the fiscal year may be based on an estimate of	18763
the amounts payable for the entire year. Payments made in the last	18764
six months shall be based on the final calculation of the amounts	18765
payable to each school district for that fiscal year. Payments	18766
made in the last six months may be adjusted, if necessary, to	18767
correct the amounts distributed in the first six months, and to	18768
reflect enrollment increases when such are at least three per	18769
cent.	18770

Beginning in fiscal year 2007, payments shall be calculated	18771
to reflect the biannual reporting of average daily membership. In	18772
fiscal year 2007 and in each fiscal year thereafter, annualized	18773
periodic payments for each school district shall be based on the	18774
district's student counts certified pursuant to section 3317.03 of	18775
the Revised Code as follows:	18776

the sum of one-half of the number of students reported

18777

for the first full week in October plus one-half of the

18778

average of the numbers reported for the first full week

18779

in October and for the first full week in February

18780

Except as otherwise provided, payments under this chapter	18781
shall be made only to those school districts in which:	18782

(A) The school district, except for any educational service	18783
center and any joint vocational or cooperative education school	18784
district, levies for current operating expenses at least twenty	18785
mills. Levies for joint vocational or cooperative education	18786
school districts or county school financing districts, limited to	18787
or to the extent apportioned to current expenses, shall be	18788
included in this qualification requirement. School district income	18789
tax levies under Chapter 5748. of the Revised Code, limited to or	18790
to the extent apportioned to current operating expenses, shall be	18791
included in this qualification requirement to the extent	18792
determined by the tax commissioner under division (D) of section	18793
3317.021 of the Revised Code.	18794

(B) The school year next preceding the fiscal year for which	18795
such payments are authorized meets the requirement of section	18796
3313.48 or 3313.481 of the Revised Code, with regard to the	18797
minimum number of days or hours school must be open for	18798
instruction with pupils in attendance, for individualized	18799
parent-teacher conference and reporting periods, and for	18800
professional meetings of teachers. This requirement shall be	18801
waived by the superintendent of public instruction if it had been	18802
necessary for a school to be closed because of disease epidemic,	18803
hazardous weather conditions, inoperability of school buses or	18804
other equipment necessary to the school's operation, damage to a	18805
school building, or other temporary circumstances due to utility	18806
failure rendering the school building unfit for school use,	18807
provided that for those school districts operating pursuant to	18808
section 3313.48 of the Revised Code the number of days the school	18809
was actually open for instruction with pupils in attendance and	18810
for individualized parent-teacher conference and reporting periods	18811
is not less than one hundred seventy-five, or for those school	18812
districts operating on a trimester plan the number of days the	18813
school was actually open for instruction with pupils in attendance	18814
not less than seventy-nine days in any trimester, for those school	18815
districts operating on a quarterly plan the number of days the	18816
school was actually open for instruction with pupils in attendance	18817
not less than fifty-nine days in any quarter, or for those school	18818
districts operating on a pentamester plan the number of days the	18819
school was actually open for instruction with pupils in attendance	18820
not less than forty-four days in any pentamester.	18821

A school district shall not be considered to have failed to	18822
comply with this division or section 3313.481 of the Revised Code	18823
because schools were open for instruction but either twelfth grade	18824
students were excused from attendance for up to three days or only	18825
a portion of the kindergarten students were in attendance for up	18826
to three days in order to allow for the gradual orientation to	18827
school of such students.	18828

The superintendent of public instruction shall waive the	18829
requirements of this section with reference to the minimum number	18830
of days or hours school must be in session with pupils in	18831
attendance for the school year succeeding the school year in which	18832
a board of education initiates a plan of operation pursuant to	18833
section 3313.481 of the Revised Code. The minimum requirements of	18834
this section shall again be applicable to such a district	18835
beginning with the school year commencing the second July	18836
succeeding the initiation of one such plan, and for each school	18837
year thereafter.	18838

A school district shall not be considered to have failed to	18839
comply with this division or section 3313.48 or 3313.481 of the	18840
Revised Code because schools were open for instruction but the	18841
length of the regularly scheduled school day, for any number of	18842
days during the school year, was reduced by not more than two	18843
hours due to hazardous weather conditions.	18844

(C) The school district has on file, and is paying in	18845
accordance with, a teachers' salary schedule which complies with	18846
section 3317.13 of the Revised Code.	18847

A board of education or governing board of an educational	18848
service center which has not conformed with other law and the	18849
rules pursuant thereto, shall not participate in the distribution	18850
of funds authorized by sections 3317.022 to 3317.0211, 3317.11,	18851
3317.16, 3317.17, and 3317.19 of the Revised Code, except for good	18852
and sufficient reason established to the satisfaction of the state	18853
board of education and the state controlling board.	18854

All funds allocated to school districts under this chapter,	18855
except those specifically allocated for other purposes, shall be	18856
used to pay current operating expenses only.	18857

Sec. 3317.012. (A) The general assembly, having deliberated	18858
on the model with which to calculate the base cost of an adequate	18859
education per pupil, has made a policy decision to calculate that	18860
amount as consisting of the following building blocks:	18861

(1) Base classroom teachers;

18862

(2) Other personnel support, which includes additional	18863
teachers, such as music, arts, and physical education teachers	18864
funded by state, local, or federal funds or other funds that are	18865
above the base cost funding level, and other school personnel	18866
including administrators;	18867

(3) Nonpersonnel support.

18868

This model reflects policy decisions made by the general	18869
assembly concerning the cost of base classroom teachers, which	18870
decisions entail two policy variables: the number of students per	18871
base classroom teacher necessary for an adequate education and the	18872
average compensation for a base classroom teacher necessary for an	18873
adequate education. The model requires the general assembly to	18874
decide the amount of other personnel support necessary for an	18875
adequate education, and increase that amount from year to year by	18876
the same percentage as it increases the average compensation for	18877
base classroom teachers. The model finally requires the general	18878
assembly to decide the nonpersonnel costs necessary for an	18879
adequate education and to inflate the nonpersonnel costs from year	18880
to year using the projected inflationary measure for the gross	18881
domestic product deflator (all items) prepared by the bureau of	18882
labor statistics of the United States department of labor.	18883

(B)(1) For fiscal year 20062008, the general assembly has	18884
resolved that a ratio of one base classroom teacher per twenty	18885
students is necessary for an adequate education for all schools	18886
except internet- or computer-based community schools, and has	18887
resolved that a ratio of one base classroom teacher per one	18888
hundred students is necessary for an adequate education for	18889
internet- or computer-based community schools. The general	18890
assembly has made a policy decision that the average compensation	18891
for base classroom teachers is $53,680$56,754 for fiscal year	18892
20062008, which includes an amount for the value of fringe	18893
benefits. For fiscal year 20072009, the general assembly has	18894
resolved that a ratio of one base classroom teacher per twenty	18895
students is necessary for an adequate education for all schools	18896
except internet- or computer-based community schools, and has	18897
resolved that a ratio of one base classroom teacher per one	18898
hundred students is necessary for an adequate education for	18899
internet- or computer-based community schools. The general	18900
assembly has made a policy decision that the average compensation	18901
for base classroom teachers is $54,941$58,621 for fiscal year	18902
2009, which includes an amount for the value of fringe benefits.	18903
Based on a ratio of twenty students per base classroom teacher,	18904
these amounts equal $2,684$2,838 per pupil in fiscal year 2006	18905
2008 and $2,747$2,931 per pupil in fiscal year 20072009 for all	18906
students except those enrolled in internet- or computer-based	18907
community schools. Based on a ratio of one hundred students per	18908
classroom teacher, these amounts equal $568 per pupil in fiscal	18909
year 2008 and $586 per pupil in fiscal year 2009 for students	18910
enrolled in internet- or computer-based community schools.	18911

(2) The general assembly has made a policy decision that the	18912
per pupil cost of salary and benefits of other personnel support	18913
is $1,807$1,905 in fiscal year 20062008. Based on the percentage	18914
increase for the average compensation of base classroom teachers	18915
per pupil cost of salary and benefits of other personnel support	18916
from fiscal year 20062007 to fiscal year 20072008, the per pupil	18917
cost of other personnel support is $1,850$1,962 in fiscal year	18918
20072009.	18919

(3) The general assembly has made a policy decision that the	18920
per pupil cost of nonpersonnel support is $792$822 in fiscal year	18921
20062008 and $806$839 in fiscal year 20072009. The amount for	18922
fiscal year 20072009 reflects the projected inflationary measure	18923
for the gross domestic product deflator (all items) of 1.80%	18924
2.00%.	18925

(4) Based on the determinations specified in divisions (B)(1)	18926
to (3) of this section, the per-pupil base cost is $5,283$5,565	18927
in fiscal year 20062008 and $5,403$5,732 in fiscal year 2007	18928
2009 for all pupils except those enrolled in internet- or	18929
computer-based community schools. Based on the determinations	18930
specified in divisions (B)(1) to (3) of this section, the	18931
per-pupil base cost for pupils enrolled in internet- or	18932
computer-based community schools is $3,295 in fiscal year 2008 and	18933
$3,387 in fiscal year 2009, which amounts shall be used to make	18934
payments to internet- or computer-based community schools under	18935
Chapter 3314. of the Revised Code.	18936

(C) In addition to the per-pupil base cost as determined	18937
under divisions (A) and (B) of this section, the general assembly	18938
determines that the following base funding supplements shall be	18939
paid to each school district:	18940

(1) Base funding for large-group academic intervention for	18941
all students, based on 25 hours per group of students per year at	18942
an hourly rate of $20.00$21.01 in fiscal year 20062008 and	18943
$20.40$21.64 in fiscal year 20072009, as follows:	18944

large-group intervention units X 25 hours X hourly rate

18945

Where:

18946

(a) "Large-group intervention units" equals the district's	18947
formula ADM divided by 20;	18948

(b) "Hourly rate" equals $20.00$21.01 in fiscal year 2006	18949
2008 and $20.40$21.64 in fiscal year 20072009.	18950

(2) Base funding for professional development, phased in	18951
according to the following formula:	18952

district's teacher factor X 0.045 X

18953

formula amount X phase-in percentage

18954

Where:

18955

(a) For each school district, the district's "teacher factor"	18956
is the district's formula ADM divided by 17;	18957

(b) "Phase-in percentage" equals 0.25 in fiscal year 2006 and	18958
0.75 in fiscal year 2007.	18959

(3) Base funding for data-based decision making, calculated	18960
according to the following formula:	18961

0.001 X formula amount X formula ADM

18962

(4) Base funding for professional development regarding	18963
data-based decision making, calculated according to the following	18964
formula:	18965

(0.20 X the district's teacher factor X 0.08 X formula amount) +

18966

(the district's principal factor X

18967

0.08 X formula amount)

18968

Where:

18969

(a) For each school district, the district's "teacher factor"	18970
is the district's formula ADM divided by 17;	18971

(b) For each school district, the district's "principal	18972
factor" is the district's formula ADM divided by 340.	18973

(D) The general assembly intends that school districts spend	18974
the state funds calculated and paid for each component of the	18975
building blocks methodology described in divisions (B)(1) to (3)	18976
and (C)(1) to (4) of this section according to the purposes	18977
described in those divisions.	18978

Sec. 3317.013.  Except for a handicapped preschool child for	18979
whom a scholarship has been awarded under section 3310.41 of the	18980
Revised Code, this section does not apply to handicapped preschool	18981
students.	18982

Analysis of special education cost data has resulted in a	18983
finding that the average special education additional cost per	18984
pupil, including the costs of related services, can be expressed	18985
as a multiple of the base cost per pupil calculated under section	18986
3317.012 of the Revised Code. The multiples for the following	18987
categories of special education programs, as these programs are	18988
defined for purposes of Chapter 3323. of the Revised Code, and	18989
adjusted as provided in this section, are as follows:	18990

(A) A multiple of 0.2892 for students whose primary or only	18991
identified handicap is a speech and language handicap, as this	18992
term is defined pursuant to Chapter 3323. of the Revised Code;	18993

(B) A multiple of 0.3691 for students identified as specific	18994
learning disabled or developmentally handicapped, as these terms	18995
are defined pursuant to Chapter 3323. of the Revised Code, or	18996
other health handicapped-minor;	18997

(C) A multiple of 1.7695 for students identified as hearing	18998
handicapped, vision impaired, or severe behavior handicapped, as	18999
these terms are defined pursuant to Chapter 3323. of the Revised	19000
Code;	19001

(D) A multiple of 2.3646 for students identified as	19002
orthopedically handicapped, as this term is defined pursuant to	19003
Chapter 3323. of the Revised Code or other health handicapped -	19004
major;	19005

(E) A multiple of 3.1129 for students identified as	19006
multihandicapped, as this term is defined pursuant to Chapter	19007
3323. of the Revised Code;	19008

(F) A multiple of 4.7342 for students identified as autistic,	19009
having traumatic brain injuries, or as both visually and hearing	19010
disabled, as these terms are defined pursuant to Chapter 3323. of	19011
the Revised Code.	19012

In fiscal year 2004years 2008 and 2009, the multiples	19013
specified in divisions (A) to (F) of this section shall be	19014
adjusted by multiplying them by 0.88. In fiscal years 2005, 2006,	19015
and 2007, the multiples specified in those divisions shall be	19016
adjusted by multiplying them by 0.90.	19017

Not later than the thirtieth day of MayDecember in 2004,	19018
2005, 2006, and 2007, 2008, and 2009, the department shall submit	19019
to the office of budget and management a report that specifies for	19020
each city, local, exempted village, and joint vocational school	19021
district the fiscal year allocation of the state and local shares	19022
of special education and related services additional weighted	19023
funding and federal special education funds passed through to the	19024
district.	19025

Sec. 3317.014.  The average vocational education additional	19026
cost per pupil can be expressed as a multiple of the base cost per	19027
pupil calculated under section 3317.012 of the Revised Code. the	19028
The multiples for the following categories of vocational education	19029
programs are as follows:	19030

(A) A multiple of 0.57 for students enrolled in vocational	19031
education job-training and workforce development programs approved	19032
by the department of education in accordance with rules adopted	19033
under section 3313.90 of the Revised Code.	19034

(B) A multiple of 0.28 for students enrolled in vocational	19035
education classes other than job-training and workforce	19036
development programs.	19037

Vocational education associated services costs can be	19038
expressed as a multiple of 0.05 of the base cost per pupil	19039
calculated under section 3317.012 of the Revised Code.	19040

The general assembly has adjusted the multiples specified in	19041
this section for calculating payments beginning in fiscal year	19042
2002 in recognition that its policy change regarding the	19043
application of the cost-of-doing-business factor produces a higher	19044
base cost amount than would exist if no change were made to its	19045
application. The adjustment maintains the same weighted costs as	19046
would exist if no change were made to the application of the	19047
cost-of-doing-business factor.	19048

TheBy the thirtieth day of each December, the department of	19049
education shall annually report to the governoroffice of budget	19050
and management and the general assembly the amount of weighted	19051
funding for vocational education and associated services that is	19052
was spent by each city, local, exempted village, and joint	19053
vocational school district specifically for vocational educational	19054
and associated services during the previous fiscal year.	19055

Sec. 3317.015.  (A) In addition to the information certified	19056
to the department of education and the office of budget and	19057
management under division (A) of section 3317.021 of the Revised	19058
Code, the tax commissioner shall, at the same time, certify the	19059
following information to the department and the office of budget	19060
and management for each city, exempted village, and local school	19061
district to be used for the same purposes as described under that	19062
division:	19063

(1) The taxable value of the school district's carryover	19064
property, as defined in section 319.301 of the Revised Code, for	19065
the preceding tax year;	19066

(2) The increase in such carryover value, if any, between the	19067
second preceding tax year and the preceding tax year as used in	19068
calculating the percentage reduction under section 319.301 of the	19069
Revised Code.	19070

(B) For each fiscal year the department of education shall	19071
calculate each school district's recognized valuation in the	19072
following manner:	19073

(1) For a school district located in a county in which a	19074
reappraisal or triennial update occurred in the preceding tax	19075
year, the recognized valuation equals the district's total taxable	19076
value for the preceding tax year minus two-thirds times the	19077
increase in the carryover value from the second preceding tax year	19078
to the preceding tax year.	19079

(2) For a school district located in a county in which a	19080
reappraisal or triennial update occurred in the second preceding	19081
tax year, the recognized valuation equals the district's total	19082
taxable value for the preceding tax year minus one-third times the	19083
increase in the carryover value from the third preceding tax year	19084
to the second preceding tax year.	19085

(3) For a school district located in a county in which a	19086
reappraisal or triennial update occurred in the third preceding	19087
tax year, the recognized valuation equals the district's total	19088
taxable value for the preceding tax year.	19089

Sec. 3317.016. In addition to its form SF-3, or any successor	19090
to that form, the department of education shall publish on its web	19091
site a spreadsheet for each school district that specifies the	19092
constituent components of the district's "building blocks" funds,	19093
as follows:	19094

(A) For compensation of base classroom teachers, as described	19095
in division (B)(1) of section 3317.012 of the Revised Code, each	19096
spreadsheet shall specify the district's aggregate and per pupil	19097
amounts of state funds and of combined state and local funds, the	19098
average compensation decided by the general assembly for base	19099
classroom teachers, as specified in that division, and the number	19100
of base classroom teachers attributable to the district based on	19101
the student-teacher ratio decided by the general assembly, as	19102
specified in that division.	19103

(B) Each spreadsheet shall specify the district's aggregate	19104
and per pupil amounts of state funds and of combined state and	19105
local funds for each of the following:	19106

(1) Other personnel support, as described in division (B)(2)	19107
of section 3317.012 of the Revised Code;	19108

(2) Nonpersonnel support, as described in division (B)(3) of	19109
that section;	19110

(3) Academic intervention services, as described in division	19111
(C)(1) of that section;	19112

(4) Professional development, as described in division (C)(2)	19113
of that section;	19114

(5) Data-based decision making, as described in division	19115
(C)(3) of that section;	19116

(6) Professional development for data-based decision making,	19117
as described in division (C)(4) of that section.	19118

(C) Each spreadsheet shall separately specify the district's	19119
aggregate and per pupil state funds for each of the following	19120
components of poverty-based assistance under section 3317.029 of	19121
the Revised Code:	19122

(1) Poverty-based assistance guarantee payment under division	19123
(B) of that section;	19124

(2) Academic intervention funding under division (C) of that	19125
section;	19126

(3)(2) All-day kindergarten under division (D) of that	19127
section;	19128

(4) Class-size reduction(3) Increased classroom learning	19129
opportunities under division (E) of that section;	19130

(5)(4) Services to limited English proficient students under	19131
division (F) of that section;	19132

(6)(5) Professional development, under division (G) of that	19133
section;	19134

(7)(6) Dropout prevention under division (H) of that section;

19135

(8)(7) Community outreach under division (I) of that section;

19136

(8) Assistance in closing the achievement gap under division	19137
(J) of that section.	19138

Sec. 3317.017.  (A) Not later than July 1, 2006, the	19139
superintendent of public instruction shall adopt a rule under	19140
which the superintendent may issue an order with respect to the	19141
spending, by a school district declared to be under an academic	19142
watch or in a state of academic emergency under section 3302.03 of	19143
the Revised Code, of the following state building block funds	19144
intended to pay instructional-related costs:	19145

(1) State funds for compensation of base classroom teachers,	19146
as described in division (B)(1) of section 3317.012 of the Revised	19147
Code;	19148

(2) State funds for academic intervention services under	19149
division (C)(1) of section 3317.012 and division (C) of section	19150
3317.029 of the Revised Code;	19151

(3) State funds for professional development under divisions	19152
(C)(2) and (4) of section 3317.012 and division (G) of section	19153
3317.029 of the Revised Code;	19154

(4) State funds for data based decision making under division	19155
(C)(3) of section 3317.012 of the Revised Code;	19156

(5) The poverty-based assistance guarantee payment under	19157
division (B) of section 3317.029 of the Revised Code;	19158

(6) State funds for all-day kindergarten under division (D)	19159
of section 3317.029 of the Revised Code;	19160

(7)(6) State funds for class-size reductionincreased	19161
classroom learning opportunities under division (E) of section	19162
3317.029 of the Revised Code;	19163

(8)(7) State funds for services to limited English proficient	19164
students under division (F) of section 3317.029 of the Revised	19165
Code;	19166

(9)(8) State funds for dropout prevention under division (H)	19167
of section 3317.029 of the Revised Code;	19168

(10)(9) State funds for community outreach under division (I)	19169
of section 3317.029 of the Revised Code;	19170

(10) State funds for assistance in closing the achievement	19171
gap under division (J) of section 3317.029 of the Revised Code.	19172

(B) The rule shall authorize the superintendent of public	19173
instruction to issue an order that does one or a combination of	19174
the following:	19175

(1) Requires the school district to periodically report to	19176
the superintendent of public instruction on its spending of the	19177
state funds paid for each building blocks component described in	19178
divisions (A)(1) to (10) of this section;	19179

(2) Requires the district to establish a separate account for	19180
each of the building blocks components described in divisions	19181
(A)(1) to (10) of this section to which the district shall credit	19182
the state funds paid for each;	19183

(3) Directs the district's spending of any or all of the	19184
state funds paid for the components described in divisions (A)(1)	19185
to (10) of this section in accordance with the descriptions and	19186
requirements of sections 3317.012 and 3317.029 of the Revised	19187
Code.	19188

(C) The rule shall specify situations in which the	19189
superintendent may issue an order and the types of orders the	19190
superintendent will issue for each of those situations. The rule,	19191
however, shall authorize the superintendent to issue orders in	19192
situations that are not enumerated or described in the rule.	19193

(D) The board of education of each school district to which	19194
the superintendent of public instruction issues an order pursuant	19195
to the rule adopted under this section shall comply with that	19196
order.	19197

Sec. 3317.02.  As used in this chapter:

19198

(A) Unless otherwise specified, "school district" means city,	19199
local, and exempted village school districts.	19200

(B) "Formula amount" means the base cost for the fiscal year	19201
specified in division (B)(4) of section 3317.012 of the Revised	19202
Code.	19203

(C) "FTE basis" means a count of students based on full-time	19204
equivalency, in accordance with rules adopted by the department of	19205
education pursuant to section 3317.03 of the Revised Code. In	19206
adopting its rules under this division, the department shall	19207
provide for counting any student in category one, two, three,	19208
four, five, or six special education ADM or in category one or two	19209
vocational education ADM in the same proportion the student is	19210
counted in formula ADM.	19211

(D) "Formula ADM" means, for a city, local, or exempted	19212
village school district, the final number verified by the	19213
superintendent of public instruction, based on the number reported	19214
pursuant to division (A) of section 3317.03 of the Revised Code,	19215
andas adjusted, if so ordered, under division (K) of that	19216
section. "Formula ADM" means, for a joint vocational school	19217
district, the final number verified by the superintendent of	19218
public instruction, based on the number reported pursuant to	19219
division (D) of section 3317.03 of the Revised Code. Beginning in	19220
fiscal year 2007, for payments in which formula ADM is a factor,	19221
the formula ADM for each school district for the fiscal year is	19222
the sum of one-half of the number reported for October of that	19223
fiscal year plus one-half of the average of the numbers reported	19224
for October and February of that fiscal year, as adjusted, if so	19225
ordered, under division (K) of that section.	19226

(E) "Three-year average formula ADM" means the average of	19227
formula ADMs for the current and preceding twothree fiscal years.	19228

(F)(1) "Category one special education ADM" means the average	19229
daily membership of handicapped children receiving special	19230
education services for the handicap specified in division (A) of	19231
section 3317.013 of the Revised Code and reported under division	19232
(B)(5) or (D)(2)(b) of section 3317.03 of the Revised Code.	19233
Beginning in fiscal year 2007, the district's category one special	19234
education ADM for a fiscal year is the sum of one-half of the	19235
number reported for October of that fiscal year plus one-half of	19236
the average of the numbers reported for October and February of	19237
that fiscal year.	19238

(2) "Category two special education ADM" means the average	19239
daily membership of handicapped children receiving special	19240
education services for those handicaps specified in division (B)	19241
of section 3317.013 of the Revised Code and reported under	19242
division (B)(6) or (D)(2)(c) of section 3317.03 of the Revised	19243
Code. Beginning in fiscal year 2007, the district's category two	19244
special education ADM for a fiscal year is the sum of one-half of	19245
the number reported for October of that fiscal year plus one-half	19246
of the average of the numbers reported for October and February of	19247
that fiscal year.	19248

(3) "Category three special education ADM" means the average	19249
daily membership of students receiving special education services	19250
for those handicaps specified in division (C) of section 3317.013	19251
of the Revised Code, and reported under division (B)(7) or	19252
(D)(2)(d) of section 3317.03 of the Revised Code. Beginning in	19253
fiscal year 2007, the district's category three special education	19254
ADM for a fiscal year is the sum of one-half of the number	19255
reported for October of that fiscal year plus one-half of the	19256
average of the numbers reported for October and February of that	19257
fiscal year.	19258

(4) "Category four special education ADM" means the average	19259
daily membership of students receiving special education services	19260
for those handicaps specified in division (D) of section 3317.013	19261
of the Revised Code and reported under division (B)(8) or	19262
(D)(2)(e) of section 3317.03 of the Revised Code. Beginning in	19263
fiscal year 2007, the district's category four special education	19264
ADM for a fiscal year is the sum of one-half of the number	19265
reported for October of that fiscal year plus one-half of the	19266
average of the numbers reported for October and February of that	19267
fiscal year.	19268

(5) "Category five special education ADM" means the average	19269
daily membership of students receiving special education services	19270
for the handicap specified in division (E) of section 3317.013 of	19271
the Revised Code and reported under division (B)(9) or (D)(2)(f)	19272
of section 3317.03 of the Revised Code. Beginning in fiscal year	19273
2007, the district's category five special education ADM for a	19274
fiscal year is the sum of one-half of the number reported for	19275
October of that fiscal year plus one-half of the average of the	19276
numbers reported for October and February of that fiscal year.	19277

(6) "Category six special education ADM" means the average	19278
daily membership of students receiving special education services	19279
for the handicap specified in division (F) of section 3317.013 of	19280
the Revised Code and reported under division (B)(10) or (D)(2)(g)	19281
of section 3317.03 of the Revised Code. Beginning in fiscal year	19282
2007, the district's category six special education ADM for a	19283
fiscal year is the sum of one-half of the number reported for	19284
October of that fiscal year plus one-half of the average of the	19285
numbers reported for October and February of that fiscal year.	19286

(7) "Category one vocational education ADM" means the average	19287
daily membership of students receiving vocational education	19288
services described in division (A) of section 3317.014 of the	19289
Revised Code and reported under division (B)(11) or (D)(2)(h) of	19290
section 3317.03 of the Revised Code. Beginning in fiscal year	19291
2007, the district's category one vocational education ADM for a	19292
fiscal year is the sum of one-half of the number reported for	19293
October of that fiscal year plus one-half of the average of the	19294
numbers reported for October and February of that fiscal year.	19295

(8) "Category two vocational education ADM" means the average	19296
daily membership of students receiving vocational education	19297
services described in division (B) of section 3317.014 of the	19298
Revised Code and reported under division (B)(12) or (D)(2)(i) of	19299
section 3317.03 of the Revised Code. Beginning in fiscal year	19300
2007, the district's category two vocational education ADM for a	19301
fiscal year is the sum of one-half of the number reported for	19302
October of that fiscal year plus one-half of the average of the	19303
numbers reported for October and February of that fiscal year.	19304

(G) "Handicapped preschool child" means a handicapped child,	19305
as defined in section 3323.01 of the Revised Code, who is at least	19306
age three but is not of compulsory school age, as defined in	19307
section 3321.01 of the Revised Code, and who is not currently	19308
enrolled in kindergarten.	19309

(H) "County MR/DD board" means a county board of mental	19310
retardation and developmental disabilities.	19311

(I) "Recognized valuation" means the amount calculated for a	19312
school district pursuant to section 3317.015 of the Revised Code.	19313

(J) "Transportation ADM" means the number of children	19314
reported under division (B)(13) of section 3317.03 of the Revised	19315
Code.	19316

(K) "Average efficient transportation use cost per student"	19317
means a statistical representation of transportation costs as	19318
calculated under division (D)(2) of section 3317.022 of the	19319
Revised Code.	19320

(L) "Taxes charged and payable" means the taxes charged and	19321
payable against real and public utility property after making the	19322
reduction required by section 319.301 of the Revised Code, plus	19323
the taxes levied against tangible personal property.	19324

(M)(K) "Total taxable value" means the sum of the amounts	19325
certified for a city, local, exempted village, or joint vocational	19326
school district under divisions (A)(1) and (2) of section 3317.021	19327
of the Revised Code.	19328

(N) "Cost-of-doing-business factor" means the amount	19329
indicated in division (N)(1) or (2) of this section for the county	19330
in which a city, local, exempted village, or joint vocational	19331
school district is located. If a city, local, or exempted village	19332
school district is located in more than one county, the factor is	19333
the amount indicated for the county to which the district is	19334
assigned by the state department of education. If a joint	19335
vocational school district is located in more than one county, the	19336
factor is the amount indicated for the county in which the joint	19337
vocational school with the greatest formula ADM operated by the	19338
district is located.	19339

(1) In fiscal year 2006, the cost-of-doing-business factor	19340
for each county is:	19341

		COST-OF-DOING-BUSINESS		19342
	COUNTY	FACTOR AMOUNT		19343
	Adams	1.00233		19344
	Allen	1.01373		19345
	Ashland	1.01980		19346
	Ashtabula	1.02647		19347
	Athens	1.00093		19348
	Auglaize	1.01647		19349
	Belmont	1.00427		19350
	Brown	1.01180		19351
	Butler	1.04307		19352
	Carroll	1.00913		19353
	Champaign	1.02973		19354
	Clark	1.02980		19355
	Clermont	1.03607		19356
	Clinton	1.02193		19357
	Columbiana	1.01427		19358
	Coshocton	1.01153		19359
	Crawford	1.01093		19360
	Cuyahoga	1.04173		19361
	Darke	1.02253		19362
	Defiance	1.00973		19363
	Delaware	1.03520		19364
	Erie	1.02587		19365
	Fairfield	1.02440		19366
	Fayette	1.02127		19367
	Franklin	1.04053		19368
	Fulton	1.0220		19369
	Gallia	1.00000		19370
	Geauga	1.03340		19371
	Greene	1.02960		19372
	Guernsey	1.00440		19373
	Hamilton	1.05000		19374
	Hancock	1.01433		19375
	Hardin	1.02373		19376
	Harrison	1.00493		19377
	Henry	1.02120		19378
	Highland	1.00987		19379
	Hocking	1.01253		19380
	Holmes	1.01187		19381
	Huron	1.01953		19382
	Jackson	1.00920		19383
	Jefferson	1.00487		19384
	Knox	1.01860		19385
	Lake	1.03493		19386
	Lawrence	1.00540		19387
	Licking	1.02540		19388
	Logan	1.02567		19389
	Lorain	1.03433		19390
	Lucas	1.02600		19391
	Madison	1.03253		19392
	Mahoning	1.02307		19393
	Marion	1.02040		19394
	Medina	1.03573		19395
	Meigs	1.00173		19396
	Mercer	1.01353		19397
	Miami	1.02740		19398
	Monroe	1.00333		19399
	Montgomery	1.03020		19400
	Morgan	1.00593		19401
	Morrow	1.02007		19402
	Muskingum	1.00847		19403
	Noble	1.00487		19404
	Ottawa	1.03240		19405
	Paulding	1.00767		19406
	Perry	1.01067		19407
	Pickaway	1.02607		19408
	Pike	1.00687		19409
	Portage	1.03147		19410
	Preble	1.02947		19411
	Putnam	1.01440		19412
	Richland	1.01327		19413
	Ross	1.01007		19414
	Sandusky	1.02140		19415
	Scioto	1.00080		19416
	Seneca	1.01487		19417
	Shelby	1.01853		19418
	Stark	1.01700		19419
	Summit	1.03613		19420
	Trumbull	1.02340		19421
	Tuscarawas	1.00593		19422
	Union	1.03333		19423
	Van Wert	1.00887		19424
	Vinton	1.00633		19425
	Warren	1.04387		19426
	Washington	1.00400		19427
	Wayne	1.02320		19428
	Williams	1.01520		19429
	Wood	1.02400		19430
	Wyandot	1.01140		19431

(2) In fiscal year 2007, the cost-of-doing-business factor	19432
for each county is:	19433

		COST-OF-DOING-BUSINESS		19434
	COUNTY	FACTOR AMOUNT		19435
	Adams	1.00117		19436
	Allen	1.00687		19437
	Ashland	1.00990		19438
	Ashtabula	1.01323		19439
	Athens	1.00047		19440
	Auglaize	1.00823		19441
	Belmont	1.00213		19442
	Brown	1.00590		19443
	Butler	1.02153		19444
	Carroll	1.00457		19445
	Champaign	1.01487		19446
	Clark	1.01490		19447
	Clermont	1.01803		19448
	Clinton	1.01097		19449
	Columbiana	1.00713		19450
	Coshocton	1.00577		19451
	Crawford	1.00547		19452
	Cuyahoga	1.02087		19453
	Darke	1.01127		19454
	Defiance	1.00487		19455
	Delaware	1.01760		19456
	Erie	1.01293		19457
	Fairfield	1.01220		19458
	Fayette	1.01063		19459
	Franklin	1.02027		19460
	Fulton	1.01100		19461
	Gallia	1.00000		19462
	Geauga	1.01670		19463
	Greene	1.01480		19464
	Guernsey	1.00220		19465
	Hamilton	1.02500		19466
	Hancock	1.00717		19467
	Hardin	1.01187		19468
	Harrison	1.00247		19469
	Henry	1.01060		19470
	Highland	1.00493		19471
	Hocking	1.00627		19472
	Holmes	1.00593		19473
	Huron	1.00977		19474
	Jackson	1.00460		19475
	Jefferson	1.00243		19476
	Knox	1.00930		19477
	Lake	1.01747		19478
	Lawrence	1.00270		19479
	Licking	1.01270		19480
	Logan	1.01283		19481
	Lorain	1.01717		19482
	Lucas	1.01300		19483
	Madison	1.01627		19484
	Mahoning	1.01153		19485
	Marion	1.01020		19486
	Medina	1.01787		19487
	Meigs	1.00087		19488
	Mercer	1.00677		19489
	Miami	1.01370		19490
	Monroe	1.00167		19491
	Montgomery	1.01510		19492
	Morgan	1.00297		19493
	Morrow	1.01003		19494
	Muskingum	1.00423		19495
	Noble	1.00243		19496
	Ottawa	1.01620		19497
	Paulding	1.00383		19498
	Perry	1.00533		19499
	Pickaway	1.01303		19500
	Pike	1.00343		19501
	Portage	1.01573		19502
	Preble	1.01473		19503
	Putnam	1.00720		19504
	Richland	1.00663		19505
	Ross	1.00503		19506
	Sandusky	1.01070		19507
	Scioto	1.00040		19508
	Seneca	1.00743		19509
	Shelby	1.00927		19510
	Stark	1.00850		19511
	Summit	1.01807		19512
	Trumbull	1.01170		19513
	Tuscarawas	1.00297		19514
	Union	1.01667		19515
	Van Wert	1.00443		19516
	Vinton	1.00317		19517
	Warren	1.02193		19518
	Washington	1.00200		19519
	Wayne	1.01160		19520
	Williams	1.00760		19521
	Wood	1.01200		19522
	Wyandot	1.00570		19523

(O)(L) "Tax exempt value" of a school district means the	19524
amount certified for a school district under division (A)(4) of	19525
section 3317.021 of the Revised Code.	19526

(P)(M) "Potential value" of a school district means the	19527
recognized valuation of a school district plus the tax exempt	19528
value of the district.	19529

(Q)(N) "District median income" means the median Ohio	19530
adjusted gross income certified for a school district. On or	19531
before the first day of July of each year, the tax commissioner	19532
shall certify to the department of education and the office of	19533
budget and management for each city, exempted village, and local	19534
school district the median Ohio adjusted gross income of the	19535
residents of the school district determined on the basis of tax	19536
returns filed for the second preceding tax year by the residents	19537
of the district.	19538

(R)(O) "Statewide median income" means the median district	19539
median income of all city, exempted village, and local school	19540
districts in the state.	19541

(S)(P) "Income factor" for a city, exempted village, or local	19542
school district means the quotient obtained by dividing that	19543
district's median income by the statewide median income.	19544

(T)(Q) "Medically fragile child" means a child to whom all of	19545
the following apply:	19546

(1) The child requires the services of a doctor of medicine	19547
or osteopathic medicine at least once a week due to the	19548
instability of the child's medical condition.	19549

(2) The child requires the services of a registered nurse on	19550
a daily basis.	19551

(3) The child is at risk of institutionalization in a	19552
hospital, skilled nursing facility, or intermediate care facility	19553
for the mentally retarded.	19554

(U)(R) A child may be identified as "other health	19555
handicapped-major" if the child's condition meets the definition	19556
of "other health impaired" established in rules adopted by the	19557
state board of education prior to July 1, 2001, and if either of	19558
the following apply:	19559

(1) The child is identified as having a medical condition	19560
that is among those listed by the superintendent of public	19561
instruction as conditions where a substantial majority of cases	19562
fall within the definition of "medically fragile child." The	19563
superintendent of public instruction shall issue an initial list	19564
no later than September 1, 2001.	19565

(2) The child is determined by the superintendent of public	19566
instruction to be a medically fragile child. A school district	19567
superintendent may petition the superintendent of public	19568
instruction for a determination that a child is a medically	19569
fragile child.	19570

(V)(S) A child may be identified as "other health	19571
handicapped-minor" if the child's condition meets the definition	19572
of "other health impaired" established in rules adopted by the	19573
state board of education prior to July 1, 2001, but the child's	19574
condition does not meet either of the conditions specified in	19575
division (U)(R)(1) or (2) of this section.	19576

(W) "SF-3 payment" means the sum of the payments to a school	19577
district in a fiscal year under divisions (A), (C)(1), (C)(4),	19578
(D), (E), and (F) of section 3317.022, divisions (G), (L), and (N)	19579
of section 3317.024, and sections 3317.029, 3317.0216, 3317.0217,	19580
3317.04, 3317.05, 3317.052, and 3317.053 of the Revised Code after	19581
making the adjustments required by sections 3313.981 and 3313.979	19582
of the Revised Code, divisions (B), (C), (D), (E), (K), (L), (M),	19583
(N), and (O) of section 3317.023, and division (C) of section	19584
3317.20(T) "State education aid" has the same meaning as in	19585
section 5751.20 of the Revised Code.	19586

(X)(U) "Property exemption value" means zero in fiscal year	19587
2006, and in fiscal year 2007 and each fiscal year thereafter, the	19588
amount certified for a school district under divisions (A)(6) and	19589
(7) of section 3317.021 of the Revised Code.	19590

(V) "Internet- or computer-based community school" has the	19591
same meaning as in section 3314.02 of the Revised Code.	19592

Sec. 3317.021.  (A) On or before the first day of June of	19593
each year, the tax commissioner shall certify to the department of	19594
education and the office of budget and management the information	19595
described in divisions (A)(1) to (8) of this section for each	19596
city, exempted village, and local school district, and the	19597
information required by divisions (A)(1) and (2) of this section	19598
for each joint vocational school district, and it shall be used,	19599
along with the information certified under division (B) of this	19600
section, in making the computations for the district under	19601
sections 3317.022, 3317.0216, and 3317.0217 or section 3317.16 of	19602
the Revised Code.	19603

(1) The taxable value of real and public utility real	19604
property in the school district subject to taxation in the	19605
preceding tax year, by class and by county of location.	19606

(2) The taxable value of tangible personal property,	19607
including public utility personal property, subject to taxation by	19608
the district for the preceding tax year.	19609

(3)(a) The total property tax rate and total taxes charged	19610
and payable for the current expenses for the preceding tax year	19611
and the total property tax rate and the total taxes charged and	19612
payable to a joint vocational district for the preceding tax year	19613
that are limited to or to the extent apportioned to current	19614
expenses.	19615

(b) The portion of the amount of taxes charged and payable	19616
reported for each city, local, and exempted village school	19617
district under division (A)(3)(a) of this section attributable to	19618
a joint vocational school district.	19619

(4) The value of all real and public utility real property in	19620
the school district exempted from taxation minus both of the	19621
following:	19622

(a) The value of real and public utility real property in the	19623
district owned by the United States government and used	19624
exclusively for a public purpose;	19625

(b) The value of real and public utility real property in the	19626
district exempted from taxation under Chapter 725. or 1728. or	19627
section 3735.67, 5709.40, 5709.41, 5709.62, 5709.63, 5709.632,	19628
5709.73, or 5709.78 of the Revised Code.	19629

(5) The total federal adjusted gross income of the residents	19630
of the school district, based on tax returns filed by the	19631
residents of the district, for the most recent year for which this	19632
information is available.	19633

(6) The sum of the school district compensation value as	19634
indicated on the list of exempted property for the preceding tax	19635
year under section 5713.08 of the Revised Code as if such property	19636
had been assessed for taxation that year and the other	19637
compensation value for the school district, minus the amounts	19638
described in divisions (A)(6)(c) to (i) of this section. The	19639
portion of school district compensation value or other	19640
compensation value attributable to an incentive district exemption	19641
may be subtracted only once even if that incentive district	19642
satisfies more than one of the criteria in divisions (A)(6)(c) to	19643
(i) of this section.	19644

(a) "School district compensation value" means the aggregate	19645
value of real property in the school district exempted from	19646
taxation pursuant to an ordinance or resolution adopted under	19647
division (C) of section 5709.40, division (C) of section 5709.73,	19648
or division (B) of section 5709.78 of the Revised Code to the	19649
extent that the exempted value results in the charging of payments	19650
in lieu of taxes required to be paid to the school district under	19651
division (D)(1) or (2) of section 5709.40, division (D) of section	19652
5709.73, or division (C) of section 5709.78 of the Revised Code.	19653

(b) "Other compensation value" means the quotient that	19654
results from dividing (i) the dollar value of compensation	19655
received by the school district during the preceding tax year	19656
pursuant to division (B), (C), or (D) of section 5709.82 of the	19657
Revised Code and the amounts received pursuant to an agreement as	19658
specified in division (D)(2) of section 5709.40, division (D) of	19659
section 5709.73, or division (C) of section 5709.78 of the Revised	19660
Code to the extent those amounts were not previously reported or	19661
included in division (A)(6)(a) of this section, and so that any	19662
such amount is reported only once under division (A)(6)(b) of this	19663
section, in relation to exemptions from taxation granted pursuant	19664
to an ordinance or resolution adopted under division (C) of	19665
section 5709.40, division (C) of section 5709.73, or division (B)	19666
of section 5709.78 of the Revised Code, by (ii) the real property	19667
tax rate in effect for the preceding tax year for	19668
nonresidential/agricultural real property after making the	19669
reductions required by section 319.301 of the Revised Code.	19670

(c) The portion of school district compensation value or	19671
other compensation value that was exempted from taxation pursuant	19672
to such an ordinance or resolution for the preceding tax year, if	19673
the ordinance or resolution is adopted prior to January 1, 2006,	19674
and the legislative authority or board of township trustees or	19675
county commissioners, prior to January 1, 2006, executes a	19676
contract or agreement with a developer, whether for-profit or	19677
not-for-profit, with respect to the development of a project	19678
undertaken or to be undertaken and identified in the ordinance or	19679
resolution, and upon which parcels such project is being, or will	19680
be, undertaken;	19681

(d) The portion of school district compensation value that	19682
was exempted from taxation for the preceding tax year and for	19683
which payments in lieu of taxes for the preceding tax year were	19684
provided to the school district under division (D)(1) of section	19685
5709.40 of the Revised Code.	19686

(e) The portion of school district compensation value that	19687
was exempted from taxation for the preceding tax year pursuant to	19688
such an ordinance or resolution, if and to the extent that, on or	19689
before April 1, 2006, the fiscal officer of the municipal	19690
corporation that adopted the ordinance, or of the township or	19691
county that adopted the resolution, certifies and provides	19692
appropriate supporting documentation to the tax commissioner and	19693
the director of development that, based on hold-harmless	19694
provisions in any agreement between the school district and the	19695
legislative authority of the municipal corporation, board of	19696
township trustees, or board of county commissioners that was	19697
entered into on or before June 1, 2005, the ability or obligation	19698
of the municipal corporation, township, or county to repay bonds,	19699
notes, or other financial obligations issued or entered into prior	19700
to January 1, 2006, will be impaired, including obligations to or	19701
of any other body corporate and politic with whom the legislative	19702
authority of the municipal corporation or board of township	19703
trustees or county commissioners has entered into an agreement	19704
pertaining to the use of service payments derived from the	19705
improvements exempted;	19706

(f) The portion of school district compensation value that	19707
was exempted from taxation for the preceding tax year pursuant to	19708
such an ordinance or resolution, if the ordinance or resolution is	19709
adopted prior to January 1, 2006, in a municipal corporation with	19710
a population that exceeds one hundred thousand, as shown by the	19711
most recent federal decennial census, that includes a major	19712
employment center and that is adjacent to historically distressed	19713
neighborhoods, if the legislative authority of the municipal	19714
corporation that exempted the property prepares an economic	19715
analysis that demonstrates that all taxes generated within the	19716
incentive district accruing to the state by reason of improvements	19717
constructed within the district during its existence exceed the	19718
amount the state pays the school district under section 3317.022	19719
of the Revised Code attributable to such property exemption from	19720
the school district's recognized valuation. The analysis shall be	19721
submitted to and approved by the department of development prior	19722
to January 1, 2006, and the department shall not unreasonably	19723
withhold approval.	19724

(g) The portion of school district compensation value that	19725
was exempted from taxation for the preceding tax year under such	19726
an ordinance or resolution, if the ordinance or resolution is	19727
adopted prior to January 1, 2006, and if service payments have	19728
been pledged to be used for mixed-use riverfront entertainment	19729
development in any county with a population that exceeds six	19730
hundred thousand, as shown by the most recent federal decennial	19731
census;	19732

(h) The portion of school district compensation value that	19733
was exempted from taxation for the preceding tax year under such	19734
an ordinance or resolution, if, prior to January 1, 2006, the	19735
legislative authority of a municipal corporation, board of	19736
township trustees, or board of county commissioners has pledged	19737
service payments for a designated transportation capacity project	19738
approved by the transportation review advisory council under	19739
Chapter 5512. of the Revised Code;	19740

(i) The portion of school district compensation value that	19741
was exempted from taxation for the preceding tax year under such	19742
an ordinance or resolution if the legislative authority of a	19743
municipal corporation, board of township trustees, or board of	19744
county commissioners have, by January 1, 2006, pledged proceeds	19745
for designated transportation improvement projects that involve	19746
federal funds for which the proceeds are used to meet a local	19747
share match requirement for such funding.	19748

As used in division (A)(6) of this section, "project" has the	19749
same meaning as in section 5709.40 of the Revised Code.	19750

(7) The aggregate value of real property in the school	19751
district for which an exemption from taxation is granted by an	19752
ordinance or resolution adopted on or after January 1, 2006, under	19753
Chapter 725. or 1728., sections 3735.65 to 3735.70, or section	19754
5709.62, 5709.63, 5709.632, 5709.84, or 5709.88 of the Revised	19755
Code, as indicated on the list of exempted property for the	19756
preceding tax year under section 5713.08 of the Revised Code and	19757
as if such property had been assessed for taxation that year,	19758
minus the product determined by multiplying (a) the aggregate	19759
value of the real property in the school district exempted from	19760
taxation for the preceding tax year under any of the chapters or	19761
sections specified in this division, by (b) a fraction, the	19762
numerator of which is the difference between (i) the amount of	19763
anticipated revenue such school district would have received for	19764
the preceding tax year if the real property exempted from taxation	19765
had not been exempted from taxation and (ii) the aggregate amount	19766
of payments in lieu of taxes on the exempt real property for the	19767
preceding tax year and other compensation received for the	19768
preceding tax year by the school district pursuant to any	19769
agreements entered into on or after January 1, 2006, under section	19770
5709.82 of the Revised Code between the school district and the	19771
legislative authority of a political subdivision that acted under	19772
the authority of a chapter or statute specified in this division,	19773
that were entered into in relation to such exemption, and the	19774
denominator of which is the amount of anticipated revenue such	19775
school district would have received in the preceding fiscal year	19776
if the real property exempted from taxation had not been exempted.	19777

(8) For each school district receiving payments under	19778
division (B) or (C) of section 3317.0216 of the Revised Code	19779
during the current fiscal year, as included on the most recent	19780
list of such districts sent to the tax commissioner under division	19781
(F) of that section, the following:	19782

(a) The portion of the total amount of taxes charged and	19783
payable for current expenses certified under division (A)(3)(a) of	19784
this section that is attributable to each new levy approved and	19785
charged in the preceding tax year and the respective tax rate of	19786
each of those new levies;	19787

(b) The portion of the total taxes collected for current	19788
expenses under a school district income tax adopted pursuant to	19789
section 5748.03 or 5748.08 of the Revised Code, as certified under	19790
division (A)(2) of section 3317.08 of the Revised Code, that is	19791
attributable to each new school district income tax first	19792
effective in the current taxable year or in the preceding taxable	19793
year.	19794

(B) On or before the first day of May each year, the tax	19795
commissioner shall certify to the department of education and the	19796
office of budget and management the total taxable real property	19797
value of railroads and, separately, the total taxable tangible	19798
personal property value of all public utilities for the preceding	19799
tax year, by school district and by county of location.	19800

(C) If a public utility has properly and timely filed a	19801
petition for reassessment under section 5727.47 of the Revised	19802
Code with respect to an assessment issued under section 5727.23 of	19803
the Revised Code affecting taxable property apportioned by the tax	19804
commissioner to a school district, the taxable value of public	19805
utility tangible personal property included in the certification	19806
under divisions (A)(2) and (B) of this section for the school	19807
district shall include only the amount of taxable value on the	19808
basis of which the public utility paid tax for the preceding year	19809
as provided in division (B)(1) or (2) of section 5727.47 of the	19810
Revised Code.	19811

(D) If on the basis of the information certified under	19812
division (A) of this section, the department determines that any	19813
district fails in any year to meet the qualification requirement	19814
specified in division (A) of section 3317.01 of the Revised Code,	19815
the department shall immediately request the tax commissioner to	19816
determine the extent to which any school district income tax	19817
levied by the district under Chapter 5748. of the Revised Code	19818
shall be included in meeting that requirement. Within five days of	19819
receiving such a request from the department, the tax commissioner	19820
shall make the determination required by this division and report	19821
the quotient obtained under division (D)(3) of this section to the	19822
department and the office of budget and management. This quotient	19823
represents the number of mills that the department shall include	19824
in determining whether the district meets the qualification	19825
requirement of division (A) of section 3317.01 of the Revised	19826
Code.	19827

The tax commissioner shall make the determination required by	19828
this division as follows:	19829

(1) Multiply one mill times the total taxable value of the	19830
district as determined in divisions (A)(1) and (2) of this	19831
section;	19832

(2) Estimate the total amount of tax liability for the	19833
current tax year under taxes levied by Chapter 5748. of the	19834
Revised Code that are apportioned to current operating expenses of	19835
the district;	19836

(3) Divide the amount estimated under division (D)(2) of this	19837
section by the product obtained under division (D)(1) of this	19838
section.	19839

(E)(1) On or before June 1, 2006, and the first day of April	19840
of each year thereafter, the director of development shall report	19841
to the department of education and, the tax commissioner, and the	19842
director of budget and management the total amounts of payments	19843
received by each city, local, exempted village, or joint	19844
vocational school district for the preceding tax year pursuant to	19845
division (D) of section 5709.40, division (D) of section 5709.73,	19846
division (C) of section 5709.78, or division (B)(1), (B)(2), (C),	19847
or (D) of section 5709.82 of the Revised Code in relation to	19848
exemptions from taxation granted pursuant to an ordinance adopted	19849
by the legislative authority of a municipal corporation under	19850
division (C) of section 5709.40 of the Revised Code, or a	19851
resolution adopted by a board of township trustees or board of	19852
county commissioners under division (C) of section 5709.73 or	19853
division (B) of section 5709.78 of the Revised Code, respectively.	19854
On or before April 1, 2006, and the first day of March of each	19855
year thereafter, the treasurer of each city, local, exempted	19856
village, or joint vocational school district that has entered into	19857
such an agreement shall report to the director of development the	19858
total amounts of such payments the district received for the	19859
preceding tax year as provided in this section. The state board of	19860
education, in accordance with sections 3319.31 and 3319.311 of the	19861
Revised Code, may suspend or revoke the license of a treasurer	19862
found to have willfully reported erroneous, inaccurate, or	19863
incomplete data under this division.	19864

(2) On or before April 1, 2007, and the first day of April of	19865
each year thereafter, the director of development shall report to	19866
the department of education and to, the tax commissioner, and the	19867
director of budget and management the total amounts of payments	19868
received by each city, local, exempted village, or joint	19869
vocational school district for the preceding tax year pursuant to	19870
divisions (B), (C), and (D) of section 5709.82 of the Revised Code	19871
in relation to exemptions from taxation granted pursuant to	19872
ordinances or resolutions adopted on or after January 1, 2006,	19873
under Chapter 725. or 1728., sections 3735.65 to 3735.70, or	19874
section 5709.62, 5709.63, 5709.632, 5709.84, or 5709.88 of the	19875
Revised Code. On or before March 1, 2007, and the first day of	19876
March of each year thereafter, the treasurer of each city, local,	19877
exempted village, or joint vocational school district that has	19878
entered into such an agreement shall report to the director of	19879
development the total amounts of such payments the district	19880
received for the preceding tax year as provided by this section.	19881
The state board of education, in accordance with sections 3319.31	19882
and 3319.311 of the Revised Code, may suspend or revoke the	19883
license of a treasurer found to have willfully reported erroneous,	19884
inaccurate, or incomplete data under this division.	19885

Sec. 3317.022.  (A)(1) The department of education shall	19886
compute and distribute state base cost funding to each eligible	19887
school district for the fiscal year using the information	19888
obtained under section 3317.021 of the Revised Code in the	19889
calendar year in which the fiscal year begins.	19890

(1) Compute the following for each eligible districtformula:

19891

{[cost-of-doing-business factor X

19892

the formula amount X (formula ADM +

19893

preschool scholarship ADM)] +

19894

the sum of the base funding supplements

19895

prescribed in divisions (C)(1) to (4)

19896

of section 3317.012 of the Revised Code} -

19897

[.023 x (the sum of recognized valuation

19898

and property exemption value)] +

19899

the amounts calculated for the district under

19900

sections 3317.029 and 3317.0217 of the Revised Code

19901

If the difference obtained is a negative number, the	19902
district's computation shall be zero.	19903

(2) Compute both of the following for each school district:

19904

(a) The difference of (i) the district's fiscal year 2005	19905
base cost payment under the version of division (A)(1) of this	19906
section in effect in fiscal year 2005, minus (ii) the amount	19907
computed for the district for the current fiscal year under	19908
current division (A)(1) of this section;	19909

(b) The following amount:

19910

[(fiscal year 2005 base cost payment/fiscal

19911

year 2005 formula ADM) X

19912

(current year formula ADM + preschool scholarship ADM)]

19913

minus the amount computed for the district

19914

under current division (A)(1) of this section

19915

If one of the amounts computed under division (A)(2)(a) or	19916
(b) of this section is a positive amount, the department shall pay	19917
the district that amount in addition to the amount calculated	19918
under division (A)(1) of this section. If both amounts are	19919
positive amounts, the department shall pay the district the lesser	19920
of the two amounts in addition to the amount calculated under	19921
division (A)(1) of this section.	19922

(3)(a) For each school district for which the tax exempt	19923
value of the district equals or exceeds twenty-five per cent of	19924
the potential value of the district, the department of education	19925
shall calculate the difference between the district's tax exempt	19926
value and twenty-five per cent of the district's potential value.	19927

(b) For each school district to which division (A)(3)(2)(a)	19928
of this section applies, the department shall adjust the	19929
recognized valuation used in the calculation under division (A)(1)	19930
of this section by subtracting from it the amount calculated under	19931
division (A)(3)(2)(a) of this section.	19932

(B) As used in this section:

19933

(1) The "total special education weight" for a district means	19934
the sum of the following amounts:	19935

(a) The district's category one special education ADM	19936
multiplied by the multiple specified in division (A) of section	19937
3317.013 of the Revised Code;	19938

(b) The district's category two special education ADM	19939
multiplied by the multiple specified in division (B) of section	19940
3317.013 of the Revised Code;	19941

(c) The district's category three special education ADM	19942
multiplied by the multiple specified in division (C) of section	19943
3317.013 of the Revised Code;	19944

(d) The district's category four special education ADM	19945
multiplied by the multiple specified in division (D) of section	19946
3317.013 of the Revised Code;	19947

(e) The district's category five special education ADM	19948
multiplied by the multiple specified in division (E) of section	19949
3317.013 of the Revised Code;	19950

(f) The district's category six special education ADM	19951
multiplied by the multiple specified in division (F) of section	19952
3317.013 of the Revised Code.	19953

(2) "State share percentage" means the percentage calculated	19954
for a district as follows:	19955

(a) Calculate the state base cost funding amount for the	19956
district for the fiscal year under division (A) of this section.	19957
If the district would not receive any state base cost funding for	19958
that year under that division, the district's state share	19959
percentage is zero.	19960

(b) If the district would receive state base cost funding	19961
under that division, divide that amount by an amount equal to the	19962
following:	19963

(Cost-of-doing-business factor X

19964

the formula amount X formula ADM) +

19965

the sum of the base funding supplements

19966

prescribed in divisions (C)(1) to (4)

19967

of section 3317.012 of the Revised Code +

19968

the sum of the amounts calculated for the district under

19969

sections 3317.029 and 3317.0217 of the Revised Code

19970

The resultant number is the district's state share	19971
percentage.	19972

(3) "Related services" includes:

19973

(a) Child study, special education supervisors and	19974
coordinators, speech and hearing services, adaptive physical	19975
development services, occupational or physical therapy, teacher	19976
assistants for handicapped children whose handicaps are described	19977
in division (B) of section 3317.013 or division (F)(3) of section	19978
3317.02 of the Revised Code, behavioral intervention, interpreter	19979
services, work study, nursing services, and specialized	19980
integrative services as those terms are defined by the department;	19981

(b) Speech and language services provided to any student with	19982
a handicap, including any student whose primary or only handicap	19983
is a speech and language handicap;	19984

(c) Any related service not specifically covered by other	19985
state funds but specified in federal law, including but not	19986
limited to, audiology and school psychological services;	19987

(d) Any service included in units funded under former	19988
division (O)(1) of section 3317.0233317.024 of the Revised Code;	19989

(e) Any other related service needed by handicapped children	19990
in accordance with their individualized education plans.	19991

(4) The "total vocational education weight" for a district	19992
means the sum of the following amounts:	19993

(a) The district's category one vocational education ADM	19994
multiplied by the multiple specified in division (A) of section	19995
3317.014 of the Revised Code;	19996

(b) The district's category two vocational education ADM	19997
multiplied by the multiple specified in division (B) of section	19998
3317.014 of the Revised Code.	19999

(5) "Preschool scholarship ADM" means the number of	20000
handicapped preschool children reported under division	20001
(B)(3)(h)(g) of section 3317.03 of the Revised Code.	20002

(C)(1) The department shall compute and distribute state	20003
special education and related services additional weighted costs	20004
funds to each school district in accordance with the following	20005
formula:	20006

The district's state share percentage X

20007

the formula amount for the year for which

20008

the aid is calculated X the district's

20009

total special education weight

20010

(2) The attributed local share of special education and	20011
related services additional weighted costs equals:	20012

(1 - the district's state share percentage) X the district's

20013

total special education weight X the formula amount

20014

(3)(a) The department shall compute and pay in accordance	20015
with this division additional state aid to school districts for	20016
students in categories two through six special education ADM. If a	20017
district's costs for the fiscal year for a student in its	20018
categories two through six special education ADM exceed the	20019
threshold catastrophic cost for serving the student, the district	20020
may submit to the superintendent of public instruction	20021
documentation, as prescribed by the superintendent, of all its	20022
costs for that student. Upon submission of documentation for a	20023
student of the type and in the manner prescribed, the department	20024
shall pay to the district an amount equal to the sum of the	20025
following:	20026

(i) One-half of the district's costs for the student in	20027
excess of the threshold catastrophic cost;	20028

(ii) The product of one-half of the district's costs for the	20029
student in excess of the threshold catastrophic cost multiplied by	20030
the district's state share percentage.	20031

(b) For purposes of division (C)(3)(a) of this section, the	20032
threshold catastrophic cost for serving a student equals:	20033

(i) For a student in the school district's category two,	20034
three, four, or five special education ADM, twenty-five thousand	20035
dollars in fiscal year 2002, twenty-five thousand seven hundred	20036
dollars in fiscal years 2003, 2004, and 2005, and twenty-six	20037
thousand five hundred dollars in fiscal years 2006 and 2007	20038
twenty-seven thousand three hundred seventy-five dollars in fiscal	20039
years 2008 and 2009;	20040

(ii) For a student in the district's category six special	20041
education ADM, thirty thousand dollars in fiscal year 2002, thirty	20042
thousand eight hundred forty dollars in fiscal years 2003, 2004,	20043
and 2005, and thirty-one thousand eight hundred dollars in fiscal	20044
years 2006 and 2007thirty-two thousand eight hundred fifty	20045
dollars in fiscal years 2008 and 2009.	20046

(c) The district shall only report under division (C)(3)(a)	20047
of this section, and the department shall only pay for, the costs	20048
of educational expenses and the related services provided to the	20049
student in accordance with the student's individualized education	20050
program. Any legal fees, court costs, or other costs associated	20051
with any cause of action relating to the student may not be	20052
included in the amount.	20053

(4)(a) As used in this division, the "personnel allowance"	20054
means thirty thousand dollars in fiscal years 2002, 2003, 2004,	20055
2005, 2006, and 20072008 and 2009.	20056

(b) For the provision of speech language pathology services	20057
to students, including students who do not have individualized	20058
education programs prepared for them under Chapter 3323. of the	20059
Revised Code, and for no other purpose, the department of	20060
education shall pay each school district an amount calculated	20061
under the following formula:	20062

(formula ADM divided by 2000) X

20063

the personnel allowance X

20064

the state share percentage

20065

(5) In any fiscal year, a school district shall spend for	20066
purposes that the department designates as approved for special	20067
education and related services expenses at least the amount	20068
calculated as follows:	20069

(cost-of-doing-business factor X

20070

formula amount X the sum of categories

20071

one through six special education ADM) +

20072

(total special education weight X formula amount)

20073

The purposes approved by the department for special education	20074
expenses shall include, but shall not be limited to,	20075
identification of handicapped children, compliance with state	20076
rules governing the education of handicapped children and	20077
prescribing the continuum of program options for handicapped	20078
children, provision of speech language pathology services, and the	20079
portion of the school district's overall administrative and	20080
overhead costs that are attributable to the district's special	20081
education student population.	20082

The scholarships deducted from the school district's account	20083
under section 3310.41 of the Revised Code shall be considered to	20084
be an approved special education and related services expense for	20085
the purpose of the school district's compliance with division	20086
(C)(5) of this section.	20087

The department shall require school districts to report data	20088
annually to allow for monitoring compliance with division (C)(5)	20089
of this section. The department shall annually report to the	20090
governor and the general assembly the amount of money spent by	20091
each school district for special education and related services.	20092

(6) In any fiscal year, a school district shall spend for the	20093
provision of speech language pathology services not less than the	20094
sum of the amount calculated under division (C)(1) of this section	20095
for the students in the district's category one special education	20096
ADM and the amount calculated under division (C)(4) of this	20097
section.	20098

(D)(1) As used in this division:

20099

(a) "Daily bus miles per student" equals the number of bus	20100
miles traveled per day, divided by transportation base.	20101

(b) "Transportation base" equals total student count as	20102
defined in section 3301.011 of the Revised Code, minus the number	20103
of students enrolled in preschool handicapped units, plus the	20104
number of nonpublic school students included in transportation	20105
ADM.	20106

(c) "Transported student percentage" equals transportation	20107
ADM divided by transportation base.	20108

(d) "Transportation cost per student" equals total operating	20109
costs for board-owned or contractor-operated school buses divided	20110
by transportation base.	20111

(2) Analysis of student transportation cost data has resulted	20112
in a finding that an average efficient transportation use cost per	20113
student can be calculated by means of a regression formula that	20114
has as its two independent variables the number of daily bus miles	20115
per student and the transported student percentage. For fiscal	20116
year 1998 transportation cost data, the average efficient	20117
transportation use cost per student is expressed as follows:	20118

51.79027 + (139.62626 X daily bus miles per student) +

20119

(116.25573 X transported student percentage)

20120

The department of education shall annually determine the	20121
average efficient transportation use cost per student in	20122
accordance with the principles stated in division (D)(2) of this	20123
section, updating the intercept and regression coefficients of the	20124
regression formula modeled in this division, based on an annual	20125
statewide analysis of each school district's daily bus miles per	20126
student, transported student percentage, and transportation cost	20127
per student data. The department shall conduct the annual update	20128
using data, including daily bus miles per student, transported	20129
student percentage, and transportation cost per student data, from	20130
the prior fiscal year. The department shall notify the office of	20131
budget and management of such update by the fifteenth day of	20132
February of each year.	20133

(3) In addition to funds paid under divisions (A), (C), and	20134
(E) of this section, each district with a transported student	20135
percentage greater than zero shall receive a payment equal to a	20136
percentage of the product of the district's transportation base	20137
from the prior fiscal year times the annually updated average	20138
efficient transportation use cost per student, times an inflation	20139
factor of two and eight tenths per cent to account for the	20140
one-year difference between the data used in updating the formula	20141
and calculating the payment and the year in which the payment is	20142
made. The percentage shall be the following percentage of that	20143
product specified for the corresponding fiscal year:	20144

	FISCAL YEAR		PERCENTAGE		20145
	2000		52.5%		20146
	2001		55%		20147
	2002		57.5%		20148
	2003 and thereafter		The greater of 60% or the district's state share percentage		20149

The payments made under division (D)(3) of this section each	20150
year shall be calculated based on all of the same prior year's	20151
data used to update the formula.	20152

(4) In addition to funds paid under divisions (D)(2) and (3)	20153
of this section, a school district shall receive a rough road	20154
subsidy if both of the following apply:	20155

(a) Its county rough road percentage is higher than the	20156
statewide rough road percentage, as those terms are defined in	20157
division (D)(5) of this section;	20158

(b) Its district student density is lower than the statewide	20159
student density, as those terms are defined in that division.	20160

(5) The rough road subsidy paid to each district meeting the	20161
qualifications of division (D)(4) of this section shall be	20162
calculated in accordance with the following formula:	20163

(per rough mile subsidy X total rough road miles)

20164

X density multiplier

20165

where:

20166

(a) "Per rough mile subsidy" equals the amount calculated in	20167
accordance with the following formula:	20168

0.75 - {0.75 X [(maximum rough road percentage -

20169

county rough road percentage)/(maximum rough road

20170

percentage - statewide rough road percentage)]}

20171

(i) "Maximum rough road percentage" means the highest county	20172
rough road percentage in the state.	20173

(ii) "County rough road percentage" equals the percentage of	20174
the mileage of state, municipal, county, and township roads that	20175
is rated by the department of transportation as type A, B, C, E2,	20176
or F in the county in which the school district is located or, if	20177
the district is located in more than one county, the county to	20178
which it is assigned for purposes of determining its	20179
cost-of-doing-business factor.	20180

(iii) "Statewide rough road percentage" means the percentage	20181
of the statewide total mileage of state, municipal, county, and	20182
township roads that is rated as type A, B, C, E2, or F by the	20183
department of transportation.	20184

(b) "Total rough road miles" means a school district's total	20185
bus miles traveled in one year times its county rough road	20186
percentage.	20187

(c) "Density multiplier" means a figure calculated in	20188
accordance with the following formula:	20189

1 - [(minimum student density - district student

20190

density)/(minimum student density -

20191

statewide student density)]

20192

(i) "Minimum student density" means the lowest district	20193
student density in the state.	20194

(ii) "District student density" means a school district's	20195
transportation base divided by the number of square miles in the	20196
district.	20197

(iii) "Statewide student density" means the sum of the	20198
transportation bases for all school districts divided by the sum	20199
of the square miles in all school districts.	20200

(6)(a) "Total cost of transportation" is equal to the cost of	20201
transporting qualifying riders using the following types of	20202
transportation:	20203

(i) Board-owned, leased, and operated school buses;

20204

(ii) School bus service contracted from another school,	20205
including transportation in a consortium arrangement on buses	20206
managed and reported by another district or entity;	20207

(iii) Contractor-owned, leased, and operated school buses.

20208

(b) "Qualifying riders" are students transported living over	20209
one mile from school in grades kindergarten through twelve,	20210
including students with dual enrollment in a joint vocational or	20211
cooperative education district, nonpublic school students, and	20212
community school students. Only students eligible for a	20213
transportation payment under section 3327.01 of the Revised Code	20214
shall be included in this count. This count shall be determined as	20215
the average number of students transported during the first full	20216
week of October, and reported as required by the department of	20217
education. Adjustments to this count may be made only in	20218
accordance with rules adopted by the department.	20219

(c) "Nontraditional riders" are those qualifying riders being	20220
educated in a community school or a nonpublic school.	20221

(d) "Total miles" is the total miles driven for all types of	20222
transportation as listed under division (D)(1)(a) of this section.	20223

(e) "Transportation state share percentage" is the district's	20224
state share percentage, as defined in division (B)(2) of this	20225
section, as determined by the department for the district's second	20226
June state education aid payment of the previous fiscal year.	20227

(f) "Assigned bus" means a bus used for transporting regular	20228
education qualifying riders.	20229

(2) For each school district, the department shall determine	20230
the statewide average cost per student as follows:	20231

(a) Determine the district's cost per student by dividing the	20232
total costs of transportation in the previous fiscal year by total	20233
qualifying riders in the previous fiscal year for each district.	20234

(b) Exclude from the determination under division (D)(2)(a)	20235
of this section the ten districts with the highest cost per	20236
student and the ten districts with the lowest cost per student.	20237

(c) After excluding the districts as prescribed in division	20238
(D)(2)(b) of this section, determine the statewide average cost	20239
per student by dividing the aggregate statewide total costs of	20240
transportation by the aggregate statewide total qualifying riders.	20241

(3) For each school district, the department shall determine	20242
the statewide average cost per mile as follows:	20243

(a) Determine the district's cost per mile by dividing the	20244
total costs of transportation in the previous fiscal year by the	20245
total miles in the previous fiscal year for each district.	20246

(b) Exclude from the determination made under division	20247
(D)(3)(a) of this section, the ten districts with the highest cost	20248
per mile and the ten districts with the lowest cost per mile.	20249

(c) After excluding the districts as prescribed in division	20250
(D)(3)(b) of this section, determine the statewide average cost	20251
per mile by dividing the aggregate statewide total miles for all	20252
districts by the aggregate statewide total qualifying riders.	20253

(4) For each school district, the department shall determine	20254
each district's base calculation as follows:	20255

(a) Determine the per student base by multiplying the state	20256
average cost per student as determined under division (D)(2)(a) of	20257
this section by the district's current year total qualifying	20258
riders.	20259

(b) Determine the per mile base by multiplying the state	20260
average cost per mile as determined under division (D)(3)(a) of	20261
this section by the district's current year total miles.	20262

(c) Determine the current year base by multiplying the	20263
greater of the amount determined under division (D)(4)(a) or (b)	20264
of this section by the greater of sixty per cent or the district's	20265
transportation state share percentage as defined under division	20266
(D)(1) of this section.	20267

(5) For each school district, the department calculate the	20268
district's nontraditional student adjustment as follows:	20269

(a) Determine the district's nontraditional student ratio by	20270
dividing total nontraditional riders by total qualifying riders.	20271

(b) Multiply the ratio determined under division (D)(5)(a) of	20272
this section by 0.1.	20273

(c) Multiply the product calculated under division (D)(5)(b)	20274
of this section by the district's current year base.	20275

(6) If a district provides any of the types of transportation	20276
listed in division (D)(1)(a) of this section to all of its high	20277
school students, the department shall multiply the district's	20278
current year base by 0.025.	20279

(7) If a district provides any of the types of transportation	20280
listed in division (D)(1)(a) of this section to students in grades	20281
kindergarten to eight living less than two miles from school but	20282
greater than one mile from school, the district's current year	20283
base shall be multiplied by 0.025.	20284

(8) For each school district, the department shall calculate	20285
an adjustment based upon efficiency. "Efficiency" means the	20286
ability to exceed a target number of riders per assigned bus. The	20287
target value shall be recalculated each year based upon current	20288
year data, and based upon the median riders per assigned bus.	20289

(a) Each district's efficiency target shall be adjusted based	20290
upon its ridership density, using a formula that compares its	20291
ridership density with other districts, and adjusts the ridership	20292
target based upon that relative density.	20293

(b) The efficiency index for each district shall be	20294
determined by dividing each district's current year qualifying	20295
riders per assigned bus by its target riders per assigned bus.	20296

(c) The efficiency adjustment for each district shall be as	20297
follows:	20298

(i) If the district's efficiency index is greater than or	20299
equal to 1.5, the efficiency adjustment is ten per cent times the	20300
current year base.	20301

(ii) If the district's efficiency index is less than 1.5 but	20302
greater than or equal to 1.0, the district's efficiency adjustment	20303
is as follows:	20304

[(the district's efficiency index minus one) divided by five]	20305
times the current year base.	20306

(iii) If the district's efficiency index is less than 1.0,	20307
the district's efficiency adjustment is zero.	20308

(d) The department shall publish on its web site the	20309
efficiency index for each district and the details of how the	20310
index was calculated.	20311

(9) Each district shall be paid the lesser of the amount	20312
described in division (D)(9)(a) or (b) of this section:	20313

(a) The sum of the amounts determined under divisions	20314
(D)(4)(c), (5)(c), (6), (7), and (8)(c) of this section;	20315

(b) The district's total actual cost from the prior fiscal	20316
year.	20317

(10) In addition to funds paid under divisions (D)(2) to (5)	20318
division (D)(9) of this section, each district shall receive in	20319
accordance with rules adopted by the state board of education a	20320
payment for students transported by means other than board-owned	20321
or contractor-operated buses and whose transportation is not	20322
funded under division (G) of section 3317.024 of the Revised Code.	20323
The rules shall include provisions for school district reporting	20324
of such students.	20325

(E)(1) The department shall compute and distribute state	20326
vocational education additional weighted costs funds to each	20327
school district in accordance with the following formula:	20328

state share percentage X

20329

the formula amount X

20330

total vocational education weight

20331

In any fiscal year, a school district receiving funds under	20332
division (E)(1) of this section shall spend those funds only for	20333
the purposes that the department designates as approved for	20334
vocational education expenses. Vocational educational expenses	20335
approved by the department shall include only expenses connected	20336
to the delivery of career-technical programming to	20337
career-technical students. The department shall require the school	20338
district to report data annually so that the department may	20339
monitor the district's compliance with the requirements regarding	20340
the manner in which funding received under division (E)(1) of this	20341
section may be spent.	20342

(2) The department shall compute for each school district	20343
state funds for vocational education associated services in	20344
accordance with the following formula:	20345

state share percentage X .05 X the formula amount X

20346

the sum of categories one and two vocational education ADM

20347

In any fiscal year, a school district receiving funds under	20348
division (E)(2) of this section, or through a transfer of funds	20349
pursuant to division (L) of section 3317.023 of the Revised Code,	20350
shall spend those funds only for the purposes that the department	20351
designates as approved for vocational education associated	20352
services expenses, which may include such purposes as	20353
apprenticeship coordinators, coordinators for other vocational	20354
education services, vocational evaluation, and other purposes	20355
designated by the department. The department may deny payment	20356
under division (E)(2) of this section to any district that the	20357
department determines is not operating those services or is using	20358
funds paid under division (E)(2) of this section, or through a	20359
transfer of funds pursuant to division (L) of section 3317.023 of	20360
the Revised Code, for other purposes.	20361

(F) The actual local share in any fiscal year for the	20362
combination of special education and related services additional	20363
weighted costs funding calculated under division (C)(1) of this	20364
section, transportation funding calculated under divisions (D)(2)	20365
and (3) of this section, and vocational education and associated	20366
services additional weighted costs funding calculated under	20367
divisions (E)(1) and (2) of this section shall not exceed for any	20368
school district the product of three and three-tenths mills times	20369
the district's recognized valuation. The department annually shall	20370
pay each school district as an excess cost supplement any amount	20371
by which the sum of the district's attributed local shares for	20372
that funding exceeds that product. For purposes of calculating the	20373
excess cost supplement:	20374

(1) The attributed local share for special education and	20375
related services additional weighted costs funding is the amount	20376
specified in division (C)(2) of this section.	20377

(2) The attributed local share of transportation funding	20378
equals the difference of the total amount calculated for the	20379
district using the formula developed under division (D)(2) of this	20380
section minus the actual amount paid to the district after	20381
applying the percentage specified in division (D)(3) of this	20382
sectionone hundred one per cent of the district's local share of	20383
transportation funding calculated by the department for the	20384
previous fiscal year.	20385

(3) The attributed local share of vocational education and	20386
associated services additional weighted costs funding is the	20387
amount determined as follows:	20388

(1 - state share percentage) X

20389

[(total vocational education weight X

20390

the formula amount) + the payment under

20391

division (E)(2) of this section]

20392

Sec. 3317.023.  (A) Notwithstanding section 3317.022 of the	20393
Revised Code, the amounts required to be paid to a district under	20394
this chapter shall be adjusted by the amount of the computations	20395
made under divisions (B) to (O) of this section.	20396

As used in this section:

20397

(1) "Classroom teacher" means a licensed employee who	20398
provides direct instruction to pupils, excluding teachers funded	20399
from money paid to the district from federal sources; educational	20400
service personnel; and vocational and special education teachers.	20401

(2) "Educational service personnel" shall not include such	20402
specialists funded from money paid to the district from federal	20403
sources or assigned full-time to vocational or special education	20404
students and classes and may only include those persons employed	20405
in the eight specialist areas in a pattern approved by the	20406
department of education under guidelines established by the state	20407
board of education.	20408

(3) "Annual salary" means the annual base salary stated in	20409
the state minimum salary schedule for the performance of the	20410
teacher's regular teaching duties that the teacher earns for	20411
services rendered for the first full week of October of the fiscal	20412
year for which the adjustment is made under division (C) of this	20413
section. It shall not include any salary payments for supplemental	20414
teachers contracts.	20415

(4) "Regular student population" means the formula ADM plus	20416
the number of students reported as enrolled in the district	20417
pursuant to division (A)(1) of section 3313.981 of the Revised	20418
Code; minus the number of students reported under division (A)(2)	20419
of section 3317.03 of the Revised Code; minus the FTE of students	20420
reported under division (B)(6), (7), (8), (9), (10), (11), or (12)	20421
of that section who are enrolled in a vocational education class	20422
or receiving special education; and minus twenty per cent of the	20423
students enrolled concurrently in a joint vocational school	20424
district.	20425

(5) "State share percentage" has the same meaning as in	20426
section 3317.022 of the Revised Code.	20427

(6) "VEPD" means a school district or group of school	20428
districts designated by the department of education as being	20429
responsible for the planning for and provision of vocational	20430
education services to students within the district or group.	20431

(7) "Lead district" means a school district, including a	20432
joint vocational school district, designated by the department as	20433
a VEPD, or designated to provide primary vocational education	20434
leadership within a VEPD composed of a group of districts.	20435

(B) If the district employs less than one full-time	20436
equivalent classroom teacher for each twenty-five pupils in the	20437
regular student population in any school district, deduct the sum	20438
of the amounts obtained from the following computations:	20439

(1) Divide the number of the district's full-time equivalent	20440
classroom teachers employed by one twenty-fifth;	20441

(2) Subtract the quotient in (1) from the district's regular	20442
student population;	20443

(3) Multiply the difference in (2) by seven hundred fifty-two	20444
dollars.	20445

(C) If a positive amount, add one-half of the amount obtained	20446
by multiplying the number of full-time equivalent classroom	20447
teachers by:	20448

(1) The mean annual salary of all full-time equivalent	20449
classroom teachers employed by the district at their respective	20450
training and experience levels minus;	20451

(2) The mean annual salary of all such teachers at their	20452
respective levels in all school districts receiving payments under	20453
this section.	20454

The number of full-time equivalent classroom teachers used in	20455
this computation shall not exceed one twenty-fifth of the	20456
district's regular student population. In calculating the	20457
district's mean salary under this division, those full-time	20458
equivalent classroom teachers with the highest training level	20459
shall be counted first, those with the next highest training level	20460
second, and so on, in descending order. Within the respective	20461
training levels, teachers with the highest years of service shall	20462
be counted first, the next highest years of service second, and so	20463
on, in descending order.	20464

(D) This division does not apply to a school district that	20465
has entered into an agreement under division (A) of section	20466
3313.42 of the Revised Code. Deduct the amount obtained from the	20467
following computations if the district employs fewer than five	20468
full-time equivalent educational service personnel, including	20469
elementary school art, music, and physical education teachers,	20470
counselors, librarians, visiting teachers, school social workers,	20471
and school nurses for each one thousand pupils in the regular	20472
student population:	20473

(1) Divide the number of full-time equivalent educational	20474
service personnel employed by the district by five	20475
one-thousandths;	20476

(2) Subtract the quotient in (1) from the district's regular	20477
student population;	20478

(3) Multiply the difference in (2) by ninety-four dollars.

20479

(E) If a local school district, or a city or exempted village	20480
school district to which a governing board of an educational	20481
service center provides services pursuant to section 3313.843 of	20482
the Revised Code, deduct the amount of the payment required for	20483
the reimbursement of the governing board under section 3317.11 of	20484
the Revised Code.	20485

(F)(1) If the district is required to pay to or entitled to	20486
receive tuition from another school district under division (C)(2)	20487
or (3) of section 3313.64 or section 3313.65 of the Revised Code,	20488
or if the superintendent of public instruction is required to	20489
determine the correct amount of tuition and make a deduction or	20490
credit under section 3317.08 of the Revised Code, deduct and	20491
credit such amounts as provided in division (J) of section 3313.64	20492
or section 3317.08 of the Revised Code.	20493

(2) For each child for whom the district is responsible for	20494
tuition or payment under division (A)(1) of section 3317.082 or	20495
section 3323.091 of the Revised Code, deduct the amount of tuition	20496
or payment for which the district is responsible.	20497

(G) If the district has been certified by the superintendent	20498
of public instruction under section 3313.90 of the Revised Code as	20499
not in compliance with the requirements of that section, deduct an	20500
amount equal to ten per cent of the amount computed for the	20501
district under section 3317.022 of the Revised Code.	20502

(H) If the district has received a loan from a commercial	20503
lending institution for which payments are made by the	20504
superintendent of public instruction pursuant to division (E)(3)	20505
of section 3313.483 of the Revised Code, deduct an amount equal to	20506
such payments.	20507

(I)(1) If the district is a party to an agreement entered	20508
into under division (D), (E), or (F) of section 3311.06 or	20509
division (B) of section 3311.24 of the Revised Code and is	20510
obligated to make payments to another district under such an	20511
agreement, deduct an amount equal to such payments if the district	20512
school board notifies the department in writing that it wishes to	20513
have such payments deducted.	20514

(2) If the district is entitled to receive payments from	20515
another district that has notified the department to deduct such	20516
payments under division (I)(1) of this section, add the amount of	20517
such payments.	20518

(J) If the district is required to pay an amount of funds to	20519
a cooperative education district pursuant to a provision described	20520
by division (B)(4) of section 3311.52 or division (B)(8) of	20521
section 3311.521 of the Revised Code, deduct such amounts as	20522
provided under that provision and credit those amounts to the	20523
cooperative education district for payment to the district under	20524
division (B)(1) of section 3317.19 of the Revised Code.	20525

(K)(1) If a district is educating a student entitled to	20526
attend school in another district pursuant to a shared education	20527
contract, compact, or cooperative education agreement other than	20528
an agreement entered into pursuant to section 3313.842 of the	20529
Revised Code, credit to that educating district on an FTE basis	20530
both of the following:	20531

(a) An amount equal to the greater of the following:

20532

(i) The fiscal year 2005 formula amount times the fiscal year	20533
2005 cost of doing business factor of the school district where	20534
the student is entitled to attend school pursuant to section	20535
3313.64 or 3313.65 of the Revised Code;	20536

(ii) The sum of (the current formula amount times the current	20537
cost-of-doing-business factor of the school district when the	20538
student is entitled to attend school pursuant to section 3313.64	20539
or 3313.65 of the Revised Code) plus the per pupil amount of the	20540
base funding supplements specified in divisions (C)(1) to (4) of	20541
section 3317.012 of the Revised Code.	20542

(b) An amount equal to the current formula amount times the	20543
state share percentage times any multiple applicable to the	20544
student pursuant to section 3317.013 or 3317.014 of the Revised	20545
Code.	20546

(2) Deduct any amount credited pursuant to division (K)(1) of	20547
this section from amounts paid to the school district in which the	20548
student is entitled to attend school pursuant to section 3313.64	20549
or 3313.65 of the Revised Code.	20550

(3) If the district is required by a shared education	20551
contract, compact, or cooperative education agreement to make	20552
payments to an educational service center, deduct the amounts from	20553
payments to the district and add them to the amounts paid to the	20554
service center pursuant to section 3317.11 of the Revised Code.	20555

(L)(1) If a district, including a joint vocational school	20556
district, is a lead district of a VEPD, credit to that district	20557
the amounts calculated for all the school districts within that	20558
VEPD pursuant to division (E)(2) of section 3317.022 of the	20559
Revised Code.	20560

(2) Deduct from each appropriate district that is not a lead	20561
district, the amount attributable to that district that is	20562
credited to a lead district under division (L)(1) of this section.	20563

(M) If the department pays a joint vocational school district	20564
under division (G)(4) of section 3317.16 of the Revised Code for	20565
excess costs of providing special education and related services	20566
to a handicapped student, as calculated under division (G)(2) of	20567
that section, the department shall deduct the amount of that	20568
payment from the city, local, or exempted village school district	20569
that is responsible as specified in that section for the excess	20570
costs.	20571

(N)(1) If the district reports an amount of excess cost for	20572
special education services for a child under division (C) of	20573
section 3323.14 of the Revised Code, the department shall pay that	20574
amount to the district.	20575

(2) If the district reports an amount of excess cost for	20576
special education services for a child under division (C) of	20577
section 3323.14 of the Revised Code, the department shall deduct	20578
that amount from the district of residence of that child.	20579

(O) If the department of job and family services presents to	20580
the department of education a payment request through an	20581
intrastate transfer voucher for the nonfederal share of	20582
reimbursements made to a school district for medicaid services	20583
provided by the district, the department of education shall pay	20584
the amount of that request to the department of job and family	20585
services and shall deduct the amount of that payment from the	20586
district.	20587

Sec. 3317.024.  In addition to the moneys paid to eligible	20588
school districts pursuant to section 3317.022 of the Revised Code,	20589
moneys appropriated for the education programs in divisions (A) to	20590
(I), (K), (L), and (N) of this section shall be distributed to	20591
school districts meeting the requirements of section 3317.01 of	20592
the Revised Code; in the case of divisions (G) and (L) of this	20593
section, to educational service centers as provided in section	20594
3317.11 of the Revised Code; in the case of divisions (D) and (J)	20595
of this section, to county MR/DD boards; in the case of division	20596
(N) of this section, to joint vocational school districts; in the	20597
case of division (H) of this section, to cooperative education	20598
school districts; and in the case of division (M) of this section,	20599
to the institutions defined under section 3317.082 of the Revised	20600
Code providing elementary or secondary education programs to	20601
children other than children receiving special education under	20602
section 3323.091 of the Revised Code. The following shall be	20603
distributed monthly, quarterly, or annually as may be determined	20604
by the state board of education:	20605

(A) An amount for each island school district and each joint	20606
state school district for the operation of each high school and	20607
each elementary school maintained within such district and for	20608
capital improvements for such schools. Such amounts shall be	20609
determined on the basis of standards adopted by the state board of	20610
education.	20611

(B) An amount for each school district operating classes for	20612
children of migrant workers who are unable to be in attendance in	20613
an Ohio school during the entire regular school year. The amounts	20614
shall be determined on the basis of standards adopted by the state	20615
board of education, except that payment shall be made only for	20616
subjects regularly offered by the school district providing the	20617
classes.	20618

(C) An amount for each school district with guidance,	20619
testing, and counseling programs approved by the state board of	20620
education. The amount shall be determined on the basis of	20621
standards adopted by the state board of education.	20622

(D) An amount for the emergency purchase of school buses as	20623
provided for in section 3317.07 of the Revised Code;	20624

(E) An amount for each school district required to pay	20625
tuition for a child in an institution maintained by the department	20626
of youth services pursuant to section 3317.082 of the Revised	20627
Code, provided the child was not included in the calculation of	20628
the district's average daily membership for the preceding school	20629
year.	20630

(F) An amount for adult basic literacy education for each	20631
district participating in programs approved by the state board of	20632
education. The amount shall be determined on the basis of	20633
standards adopted by the state board of education.	20634

(G) An amount for the approved cost of transporting eligible	20635
pupils with disabilities attending a special education program	20636
approved by the department of education whom it is impossible or	20637
impractical to transport by regular school bus in the course of	20638
regular route transportation provided by the district or service	20639
center. No district or service center is eligible to receive a	20640
payment under this division for the cost of transporting any pupil	20641
whom it transports by regular school bus and who is included in	20642
the district's transportation ADM. The state board of education	20643
shall establish standards and guidelines for use by the department	20644
of education in determining the approved cost of such	20645
transportation for each district or service center.	20646

(H) An amount to each school district, including each	20647
cooperative education school district, pursuant to section 3313.81	20648
of the Revised Code to assist in providing free lunches to needy	20649
children and an amount to assist needy school districts in	20650
purchasing necessary equipment for food preparation. The amounts	20651
shall be determined on the basis of rules adopted by the state	20652
board of education.	20653

(I) An amount to each school district, for each pupil	20654
attending a chartered nonpublic elementary or high school within	20655
the district. The amount shall equal the amount appropriated for	20656
the implementation of section 3317.06 of the Revised Code divided	20657
by the average daily membership in grades kindergarten through	20658
twelve in nonpublic elementary and high schools within the state	20659
as determined during the first full week in October of each school	20660
year.	20661

(J) An amount for each county MR/DD board, distributed on the	20662
basis of standards adopted by the state board of education, for	20663
the approved cost of transportation required for children	20664
attending special education programs operated by the county MR/DD	20665
board under section 3323.09 of the Revised Code;	20666

(K) An amount for each school district that establishes a	20667
mentor teacher program that complies with rules of the state board	20668
of education. No school district shall be required to establish or	20669
maintain such a program in any year unless sufficient funds are	20670
appropriated to cover the district's total costs for the program.	20671

(L) An amount to each school district or educational service	20672
center for the total number of gifted units approved pursuant to	20673
section 3317.05 of the Revised Code. The amount for each such unit	20674
shall be the sum of the minimum salary for the teacher of the	20675
unit, calculated on the basis of the teacher's training level and	20676
years of experience pursuant to the salary schedule prescribed in	20677
the version of section 3317.13 of the Revised Code in effect prior	20678
to July 1, 2001, plus fifteen per cent of that minimum salary	20679
amount, plus two thousand six hundred seventy-eight dollars.	20680

(M) An amount to each institution defined under section	20681
3317.082 of the Revised Code providing elementary or secondary	20682
education to children other than children receiving special	20683
education under section 3323.091 of the Revised Code. This amount	20684
for any institution in any fiscal year shall equal the total of	20685
all tuition amounts required to be paid to the institution under	20686
division (A)(1) of section 3317.082 of the Revised Code.	20687

(N) A grant to each school district and joint vocational	20688
school district that operates a "graduation, reality, and	20689
dual-role skills" (GRADS) program for pregnant and parenting	20690
students that is approved by the department. The amount of the	20691
payment shall be the district's state share percentage, as defined	20692
in section 3317.022 or 3317.16 of the Revised Code, times the	20693
GRADS personnel allowance times the full-time-equivalent number of	20694
GRADS teachers approved by the department. The GRADS personnel	20695
allowance is $47,555 in fiscal years 2004, 2005, 2006, and 2007	20696
2008 and 2009.	20697

The state board of education or any other board of education	20698
or governing board may provide for any resident of a district or	20699
educational service center territory any educational service for	20700
which funds are made available to the board by the United States	20701
under the authority of public law, whether such funds come	20702
directly or indirectly from the United States or any agency or	20703
department thereof or through the state or any agency, department,	20704
or political subdivision thereof.	20705

Sec. 3317.025.  On or before the first day of June of each	20706
year, the tax commissioner shall certify the following information	20707
to the department of education and the office of budget and	20708
management, for each school district in which the value of the	20709
property described under division (A) of this section exceeds one	20710
per cent of the taxable value of all real and tangible personal	20711
property in the district or in which is located tangible personal	20712
property designed for use or used in strip mining operations,	20713
whose taxable value exceeds five million dollars, and the taxes	20714
upon which the district is precluded from collecting by virtue of	20715
legal proceedings to determine the value of such property:	20716

(A) The total taxable value of all property in the district	20717
owned by a public utility or railroad that has filed a petition	20718
for reorganization under the "Bankruptcy Act," 47 Stat. 1474	20719
(1898), 11 U.S.C. 205, as amended, and all tangible personal	20720
property in the district designed for use or used in strip mining	20721
operations whose taxable value exceeds five million dollars upon	20722
which have not been paid in full on or before the first day of	20723
April of that calendar year all real and tangible personal	20724
property taxes levied for the preceding calendar year and which	20725
the district was precluded from collecting by virtue of	20726
proceedings under section 205 of said act or by virtue of legal	20727
proceedings to determine the tax liability of such strip mining	20728
equipment;	20729

(B) The percentage of the total operating taxes charged and	20730
payable for school district purposes levied against such valuation	20731
for the preceding calendar year that have not been paid by such	20732
date;	20733

(C) The product obtained by multiplying the value certified	20734
under division (A) of this section by the percentage certified	20735
under division (B) of this section. If the value certified under	20736
division (A) of this section includes taxable property owned by a	20737
public utility or railroad that has filed a petition for	20738
reorganization under the bankruptcy act, the amount used in making	20739
the calculation under this division shall be reduced by one per	20740
cent of the total value of all real and tangible personal property	20741
in the district or the value of the utility's or railroad's	20742
property, whichever is less.	20743

Upon receipt of the certification, the department shall	20744
recompute the payments required under section 3317.022 of the	20745
Revised Code in the manner the payments would have been computed	20746
if:	20747

(1) The amount certified under division (C) of this section	20748
was not subject to taxation by the district and was not included	20749
in the certification made under division (A)(1), (A)(2), or (D) of	20750
section 3317.021 of the Revised Code.	20751

(2) The amount of taxes charged and payable and unpaid and	20752
used to make the computation under division (B) of this section	20753
had not been levied and had not been used in the computation	20754
required by division (B) of section 3317.021 of the Revised Code.	20755
The department shall pay the district that amount in the ensuing	20756
fiscal year in lieu of the amounts computed under section 3317.022	20757
of the Revised Code.	20758

If a school district received a grant from the catastrophic	20759
expenditures account pursuant to division (C) of section 3316.20	20760
of the Revised Code on the basis of the same circumstances for	20761
which a recomputation is made under this section, the amount of	20762
the recomputation shall be reduced and transferred in accordance	20763
with division (C) of section 3316.20 of the Revised Code.	20764

Sec. 3317.026.  (A) As used in this section, "refunded taxes"	20765
means taxes charged and payable from real and tangible personal	20766
property, including public utility property, that have been found	20767
to have been overpaid as the result of reductions in the taxable	20768
value of such property and that have been refunded, including any	20769
interest or penalty refunded with those taxes. If taxes are	20770
refunded over a period of time pursuant to division (B)(2), (3),	20771
or (4) of section 319.36 or division (C) of section 5727.471 of	20772
the Revised Code, the total amount of taxes required to be	20773
refunded, excluding any interest accruing after the day the	20774
undertaking is entered into, shall be considered to have been	20775
refunded on the day the first portion of the overpayment is paid	20776
or credited.	20777

(B) Not later than the last day of February each year, each	20778
county auditor shall certify to the tax commissioner, for each	20779
school district in the county, the amount of refunded taxes	20780
refunded in the preceding calendar year and the reductions in	20781
taxable value that resulted in those refunds, except for	20782
reductions in taxable value that previously have been reported to	20783
the tax commissioner on an abstract. If the tax commissioner	20784
determines that the amount of refunded taxes certified for a	20785
school district exceeds three per cent of the total taxes charged	20786
and payable for current expenses of the school district for the	20787
calendar year in which those taxes were refunded, the tax	20788
commissioner shall certify the reductions in taxable value that	20789
resulted in those refunds on or before the first day of June to	20790
the department of education and the office of budget and	20791
management. Upon receiving the certification by the tax	20792
commissioner, the department of education shall reduce the total	20793
taxable value of the school district, as defined in section	20794
3317.02 of the Revised Code, by the total amount of the reductions	20795
in taxable value that resulted in those refunds for the purpose of	20796
computing the SF-3 paymentstate education aid for the school	20797
district for the current fiscal year. The increase in the amount	20798
of such aid resulting from the adjustment required by this section	20799
shall be paid to the school district on or before the thirty-first	20800
day of July of the following fiscal year. The payment date shall	20801
be determined by the director of budget and management. The	20802
director shall select a payment date that is not earlier than the	20803
first day of June of the current fiscal year and not later than	20804
the thirty-first day of July of the following fiscal year. The	20805
department of education shall not pay the district under this	20806
section prior to approval by the director of budget and management	20807
to make that payment.	20808

If an adjustment is made under this division in the amount of	20809
state aid paid to a school district, the tax value reductions from	20810
which that adjustment results shall not be used in recomputing aid	20811
to a school district under section 3317.027 of the Revised Code.	20812

(C) If a school district received a grant from the	20813
catastrophic expenditures account pursuant to division (C) of	20814
section 3316.20 of the Revised Code on the basis of the same	20815
circumstances for which an adjustment is made under this section,	20816
the amount of the adjustment shall be reduced and transferred in	20817
accordance with division (C) of section 3316.20 of the Revised	20818
Code.	20819

(D) Not later than the first day of June each year, the tax	20820
commissioner shall certify to the department of education and the	20821
office of budget and management for each school district the total	20822
of the increases in taxable value above the amount of taxable	20823
value on which tax was paid, as provided in division (B)(1) or (2)	20824
of section 5727.47 of the Revised Code, as determined by the	20825
commissioner, and for which a notification was sent pursuant to	20826
section 5727.471 of the Revised Code, in the preceding calendar	20827
year. Upon receiving the certification, the department shall	20828
increase the total taxable value, as defined in section 3317.02 of	20829
the Revised Code, of the school district by the total amount of	20830
the increase in taxable value certified by the commissioner for	20831
the school district for the purpose of computing the school	20832
district's SF-3 paymentstate education aid for the following	20833
fiscal year.	20834

Sec. 3317.027.  On or before the fifteenth day of May of each	20835
year, the tax commissioner shall certify to the department of	20836
education and the office of budget and management:	20837

(A) The amount by which applications filed under section	20838
5713.38 of the Revised Code or complaints filed under section	20839
5715.19 of the Revised Code resulted in a reduction in the second	20840
preceding year's taxable value in each school district in which	20841
such a reduction occurred, and the amount by which such reduction	20842
reduced the district's taxes charged and payable for such year;	20843
and	20844

(B) The taxes charged and payable for the second preceding	20845
tax year that were remitted under section 5713.081 of the Revised	20846
Code and the taxable value against which such taxes were imposed.	20847

Upon receipt of such certifications, the department shall	20848
recompute the district's SF-3 paymentstate education aid and	20849
determine the amount that the SF-3 paymentstate education aid	20850
would have been paid had the taxable value not been used in the	20851
computation made under division (A)(1) of section 3317.021 of the	20852
Revised Code and had the taxes charged and payable not been	20853
included in the certification made under division (A)(3) of such	20854
section. The department shall calculate the amount that the	20855
remainder of the fiscal year's payments should have been for the	20856
fiscal year including the amount of the SF-3 paymentstate	20857
education aid as recomputed. The increase or decrease in the	20858
amount of aid resulting from the adjustment required under this	20859
section shall be paid to the school district on or before the	20860
thirty-first day of July of the following fiscal year. The payment	20861
date shall be determined by the director of budget and management.	20862
The director shall select a payment date that is not earlier than	20863
the first day of June of the current fiscal year and not later	20864
than the thirty-first day of July of the following fiscal year.	20865
The department of education shall not pay the district under this	20866
section prior to approval by the director of budget and management	20867
to make that payment.	20868

If a school district received a grant from the catastrophic	20869
expenditures account pursuant to division (C) of section 3316.20	20870
of the Revised Code on the basis of the same circumstances for	20871
which a recomputation is made under this section, the amount of	20872
the recomputation shall be reduced and transferred in accordance	20873
with division (C) of section 3316.20 of the Revised Code.	20874

Sec. 3317.028.  (A) On or before the fifteenth day of May in	20875
each calendar year prior to calendar year 2007, the tax	20876
commissioner shall determine for each school district whether the	20877
taxable value of all tangible personal property, including utility	20878
tangible personal property, subject to taxation by the district in	20879
the preceding tax year was less or greater than the taxable value	20880
of such property during the second preceding tax year. If any such	20881
decrease exceeds five per cent of the district's tangible personal	20882
property taxable value included in the total taxable value used in	20883
computing the district's SF-3 paymentstate education aid for the	20884
fiscal year that ends in the current calendar year, or if any such	20885
increase exceeds five per cent of the district's total taxable	20886
value used in computing the district's SF-3 paymentstate	20887
education aid for the fiscal year that ends in the current	20888
calendar year, the tax commissioner shall certify both of the	20889
following to the department of education and the office of budget	20890
and management:	20891

(1) The taxable value of the tangible personal property	20892
increase or decrease, including utility tangible personal property	20893
increase or decrease, which shall be considered a change in	20894
valuation;	20895

(2) The decrease or increase in taxes charged and payable on	20896
such change in taxable value calculated in the same manner as in	20897
division (A)(3) of section 3317.021 of the Revised Code.	20898

(B) On or before May 15, 2007, and the fifteenth day of May	20899
in each calendar year thereafter, the tax commissioner shall	20900
determine for each school district whether the taxable value of	20901
all utility tangible personal property subject to taxation by the	20902
district in the preceding tax year was less or greater than the	20903
taxable value of such property during the second preceding tax	20904
year. If any decrease exceeds five per cent of the district's	20905
tangible personal property taxable value included in the total	20906
taxable value used in the district's state aid computation for the	20907
fiscal year that ends in the current calendar year, or if any	20908
increase exceeds five per cent of the district's total taxable	20909
value used in the district's state education aid computation for	20910
the fiscal year that ends in the current calendar year, the tax	20911
commissioner shall certify both of the following to the department	20912
of education and the office of budget and management:	20913

(1) The taxable value of the utility tangible personal	20914
property increase or decrease, which shall be considered a change	20915
in valuation;	20916

(2) The decrease or increase in taxes charged and payable on	20917
such change in taxable value calculated in the same manner as in	20918
division (A)(3) of section 3317.021 of the Revised Code.	20919

(C) Upon receipt of a certification specified in this	20920
section, the department of education shall reduce or increase by	20921
the respective amounts certified and the taxable value and the	20922
taxes charged and payable that were used in computing the	20923
district's SF-3 paymentstate education aid for the fiscal year	20924
that ends in the current calendar year and shall recompute the	20925
SF-3 paymentstate education aid for such fiscal year. The	20926
department shall pay the district a sum equal to one-half of the	20927
recomputed payments in lieu of the payments otherwise required	20928
under that section on or before the thirty-first day of July of	20929
the following fiscal yearto or deduct from the district an amount	20930
equal to one-half of the difference between the district's state	20931
education aid prior to the recomputation under this section and	20932
the district's recomputed state education aid. The payment date	20933
shall be determined by the director of budget and management. The	20934
director shall select a payment date that is not earlier than the	20935
first day of June of the current fiscal year and not later than	20936
the thirty-first day of July of the following fiscal year. The	20937
department of education shall not pay the district under this	20938
section prior to approval by the director of budget and management	20939
to make that payment.	20940

(D) If a school district received a grant from the	20941
catastrophic expenditures account pursuant to division (C) of	20942
section 3316.20 of the Revised Code on the basis of the same	20943
circumstances for which a recomputation is made under this	20944
section, the amount of the recomputation shall be reduced and	20945
transferred in accordance with division (C) of section 3316.20 of	20946
the Revised Code.	20947

Sec. 3317.029.  (A) As used in this section:

20948

(1) "Poverty percentage" means the quotient obtained by	20949
dividing the five-year average number of children ages five to	20950
seventeen residing in the school district and living in a family	20951
receiving assistance under the Ohio works first program or an	20952
antecedent program known as TANF or ADC for the preceding five	20953
years, as certified or adjusted under section 3317.10 of the	20954
Revised Code, by the district's three-year average formula ADM.	20955

(2) "Statewide poverty percentage" means the five-year	20956
average of the total number of children ages five to seventeen	20957
years residing in the state and receiving assistance under the	20958
Ohio works first program or an antecedent program known as TANF or	20959
ADC for the preceding five years, divided by the sum of the	20960
three-year average formula ADMs for all school districts in the	20961
state.	20962

(3) "Poverty index" means the quotient obtained by dividing	20963
the school district's poverty percentage by the statewide poverty	20964
percentage.	20965

(4) "Poverty student count" means the five-year average	20966
number of children ages five to seventeen residing in the school	20967
district and living in a family receiving assistance under the	20968
Ohio works first program or an antecedent program known as TANF or	20969
ADC for the preceding five years, as certified under section	20970
3317.10 of the Revised Code.	20971

(5) "Kindergarten ADM" means the number of students reported	20972
under section 3317.03 of the Revised Code as enrolled in	20973
kindergarten, excluding any kindergarten students reported under	20974
division (B)(3)(e),or (f), or (g) of section 3317.03 of the	20975
Revised Code.	20976

(6) "Kindergarten through third grade ADM" means the amount	20977
calculated as follows:	20978

(a) Multiply the kindergarten ADM by the sum of one plus the	20979
all-day kindergarten percentage;	20980

(b) Add the number of students in grades one through three;

20981

(c) Subtract from the sum calculated under division (A)(6)(b)	20982
of this section the number of special education students in grades	20983
kindergarten through three.	20984

"Kindergarten through third grade ADM" shall not include any	20985
students reported under division (B)(3)(e),or (f), or (g) of	20986
section 3317.03 of the Revised Code.	20987

(7) "All-day kindergarten" means a kindergarten class that is	20988
in session five days per week for not less than the same number of	20989
clock hours each day as for pupils in grades one through six.	20990

(8) "All-day kindergarten percentage" means the percentage of	20991
a district's actual total number of students enrolled in	20992
kindergarten who are enrolled in all-day kindergarten.	20993

(9) "All-day kindergarten ADM" means the number of students	20994
reported under section 3317.03 of the Revised Code as enrolled in	20995
all-day kindergarten, excluding any kindergarten students reported	20996
under division (B)(3)(e) or (f) of that section.	20997

(10) "Academic distress percentage" means the quotient of the	20998
number of district-operated buildings in the school district	20999
designated under section 3302.03 of the Revised Code as in a state	21000
of academic watch or academic emergency, divided by the total	21001
number of buildings in the district that were open for instruction	21002
during the same school year to which the ratings apply.	21003

(11) "Statewide academic distress percentage" means the	21004
quotient of the statewide number of school district buildings and	21005
community schools designated under section 3302.03 of the Revised	21006
Code as in a state of academic watch or academic emergency,	21007
divided by the statewide total number of school district buildings	21008
and community schools that were open for instruction during the	21009
same school year to which the ratings apply.	21010

(12) "Academic distress index" means the quotient of the	21011
school district's academic distress percentage, divided by the	21012
statewide academic distress percentage.	21013

(13) "Buildings with the highest concentration of need" means	21014
the school buildings in a district withthat meet either of the	21015
following criteria:	21016

(a) Are in school improvement status pursuant to the "No	21017
Child Left Behind Act of 2001," as defined in section 3302.01 of	21018
the Revised Code;	21019

(b) Have percentages of students in grades kindergarten	21020
through three receiving assistance under Ohio works first at least	21021
as high as the district-wide percentage of students receiving such	21022
assistance. However, the district shall give priority to any of	21023
those buildings that have been declared to be in a state of	21024
academic watch or academic emergency under section 3302.03 of the	21025
Revised Code.	21026

If, in any fiscal year, the information provided by the	21027
department of job and family services under section 3317.10 of the	21028
Revised Code is insufficient to determine the Ohio works first	21029
percentage in each building, "buildings with the highest	21030
concentration of need" has the meaning given in rules that the	21031
department of education shall adopt. The rules shall base the	21032
definition of "buildings with the highest concentration of need"	21033
on family income of students in grades kindergarten through three	21034
in a manner that, to the extent possible with available data,	21035
approximates the intent of this division and division (K) of this	21036
section to designate buildings where the Ohio works first	21037
percentage in those grades equals or exceeds the district-wide	21038
Ohio works first percentage.	21039

(B) In addition to the amounts required to be paid to a	21040
school district under section 3317.022 of the Revised Code, the	21041
The department of education shall compute and distribute tofor	21042
each school district for poverty-based assistance the greater of	21043
the following:	21044

(1) The amount the district received in fiscal year 2005 for	21045
disadvantaged pupil impact aid pursuant to Section 41.10 of Am.	21046
Sub. H.B. 95 of the 125th general assembly, as amended, minus the	21047
amount deducted from the district under Section 16 of Am. Sub.	21048
S.B. 2 of the 125th general assembly that year for payments to	21049
internet- and computer-based community schools;	21050

(2) The sum of the computations made under divisions (C) to	21051
(I)(J) of this section and shall pay that sum to the district in	21052
accordance with division (A) of section 3317.022 of the Revised	21053
Code.	21054

(C) A payment for academic intervention programs, if the	21055
district's poverty index is greater than or equal to 0.25,	21056
calculated as follows:	21057

(1) If the district's poverty index is greater than or equal	21058
to 0.25, calculate the district's level one amount for large-group	21059
academic intervention for all students as follows:	21060

(a) If the district's poverty index is greater than or equal	21061
to 0.25 but less than 0.75:	21062

large-group intervention units X hourly rate X

21063

level one hours X [(poverty index – 0.25)/0.5]

21064

X phase-in percentage

21065

Where:

21066

(i) "Large-group intervention units" equals the district's	21067
formula ADM divided by 20;	21068

(ii) "Hourly rate" equals $20.00$21.01 in fiscal year 2006	21069
2008 and $20.40$21.64 in fiscal year 20072009;	21070

(iii) "Level one hours" equals 25 hours;

21071

(iv) "Phase-in percentage" equals 0.60 in fiscal year 2006	21072
and 1.00 in fiscal year 2007.	21073

(b) If the district's poverty index is greater than or equal	21074
to 0.75:	21075

large-group intervention units X hourly rate X

21076

level one hours X phase-in percentage

21077

Where "large-group intervention units," "hourly rate," and	21078
"level one hours," and "phase-in percentage" have the same	21079
meanings as in division (C)(1)(a) of this section.	21080

(2) If the district's poverty index is greater than or equal	21081
to 0.75, calculate the district's level two amount for	21082
medium-group academic intervention for all students as follows:	21083

(a) If the district's poverty index is greater than or equal	21084
to 0.75 but less than 1.50:	21085

medium-group intervention units X hourly rate

21086

X {level one hours + [25 hours X ((poverty index – 0.75)/0.75)]}

21087

X phase-in percentage

21088

Where:

21089

(i) "Medium group intervention units" equals the district's	21090
formula ADM divided by 15;	21091

(ii) "Hourly rate," and "level one hours," and "phase-in	21092
percentage" have the same meanings as in division (C)(1)(a) of	21093
this section.	21094

(b) If the district's poverty index is greater than or equal	21095
to 1.50:	21096

medium-group intervention units X hourly rate X

21097

level two hours X phase-in percentage

21098

Where:

21099

(i) "Medium group intervention units" has the same meaning as	21100
in division (C)(2)(a)(i) of this section;	21101

(ii) "Hourly rate" and "phase-in percentage" havehas the	21102
same meaningsmeaning as in division (C)(1)(a) of this section;	21103

(iii) "Level two hours" equals 50 hours.

21104

(3) If the district's poverty index is greater than or equal	21105
to 1.50, calculate the district's level three amount for	21106
small-group academic intervention for impoverished students as	21107
follows:	21108

(a) If the district's poverty index is greater than or equal	21109
to 1.50 but less than 2.50:	21110

small group intervention units X hourly rate X

21111

{level one hours + [level three hours X

21112

(poverty index – 1.50)]} X phase-in percentage

21113

Where:

21114

(i) "Small group intervention units" equals the quotient of	21115
(the district's poverty student count times 3) divided by 10;	21116

(ii) "Hourly rate," and "level one hours," and "phase-in	21117
percentage" have the same meanings as in division (C)(1)(a) of	21118
this section;	21119

(iii) "Level three hours" equals 135 hours.

21120

(b) If the district's poverty index is greater than or equal	21121
to 2.50:	21122

small group intervention units X hourly rate

21123

X level three hours X phase-in percentage

21124

Where:

21125

(i) "Small group intervention units" has the same meaning as	21126
in division (C)(3)(a)(i) of this section;	21127

(ii) "Hourly rate" and "phase-in percentage" havehas the	21128
same meaningsmeaning as in division (C)(1)(a) of this section;	21129

(iii) "Level three hours" equals 160 hours.

21130

Any district that receives funds under division (C)(2) or (3)	21131
of this section annually shall submit to the department of	21132
education by a date established by the department a plan	21133
describing how the district will deploy those funds. The	21134
deployment measures described in that plan shall comply with any	21135
applicable spending requirements prescribed in division (J)(6) of	21136
this section or with any order issued by the superintendent of	21137
public instruction under section 3317.017 of the Revised Code.	21138

(D) A payment for all-day kindergarten if the poverty index	21139
of the school district is greater than or equal to 1.0 or if the	21140
district's three-year average formula ADM exceeded seventeen	21141
thousand five hundred. In addition, the department shall make a	21142
payment under this division to any school district that, in a	21143
prior fiscal year, qualified for this payment and provided all-day	21144
kindergarten, regardless of changes to the district's poverty	21145
index. The department shall calculate the payment under this	21146
division by multiplying the all-day kindergarten percentage by the	21147
kindergarten ADM and multiplying that product by the formula	21148
amount.	21149

(E) A class-size reduction payment for increased classroom	21150
learning opportunities based on calculating the number of new	21151
teachers necessary to achieve a lower student-teacher ratio, as	21152
follows:	21153

(1) Determine or calculate a formula number of teachers per	21154
one thousand students based on the poverty index of the school	21155
district as follows:	21156

(a) If the poverty index of the school district is less than	21157
1.0, the formula number of teachers is 50.0, which is the number	21158
of teachers per one thousand students at a student-teacher ratio	21159
of twenty to one;	21160

(b) If the poverty index of the school district is greater	21161
than or equal to 1.0, but less than 1.5, the formula number of	21162
teachers is calculated as follows:	21163

50.0 + {[(poverty index – 1.0)/0.5] X 16.667}

21164

Where 50.0 is the number of teachers per one thousand	21165
students at a student-teacher ratio of twenty to one; 0.5 is the	21166
interval from a poverty index of 1.0 to a poverty index of 1.5;	21167
and 16.667 is the difference in the number of teachers per one	21168
thousand students at a student-teacher ratio of fifteen to one and	21169
the number of teachers per one thousand students at a	21170
student-teacher ratio of twenty to one.	21171

(c) If the poverty index of the school district is greater	21172
than or equal to 1.5, the formula number of teachers is 66.667,	21173
which is the number of teachers per one thousand students at a	21174
student-teacher ratio of fifteen to one.	21175

(2) Multiply the formula number of teachers determined or	21176
calculated in division (E)(1) of this section by the kindergarten	21177
through third grade ADM for the district and divide that product	21178
by one thousand;	21179

(3) Calculate the number of new teachers as follows:

21180

(a) Multiply the kindergarten through third grade ADM by	21181
50.0, which is the number of teachers per one thousand students at	21182
a student-teacher ratio of twenty to one, and divide that product	21183
by one thousand;	21184

(b) Subtract the quotient obtained in division (E)(3)(a) of	21185
this section from the product in division (E)(2) of this section.	21186

(4) Multiply the greater of the difference obtained under	21187
division (E)(3) of this section or zero by the statewide average	21188
teachers compensation. For this purpose, the "statewide average	21189
teacher compensation" is $53,680$56,754 in fiscal year 20062008	21190
and $54,941$58,621 in fiscal year 20072009, which includes an	21191
amount for the value of fringe benefits.	21192

(F) A payment for services to limited English proficient	21193
students, if the district's poverty index is greater than or equal	21194
to 1.0 and the proportion of its students who are limited English	21195
proficient, as reported in 2003 on its school district report	21196
issued under section 3302.03 of the Revised Code for the 2002-2003	21197
school year, is greater than or equal to 2.0%, calculated as	21198
follows:	21199

(1) If the district's poverty index is greater than or equal	21200
to 1.0, but less than 1.75, determine the amount per limited	21201
English proficient student as follows:	21202

{0.125 + [0.125 X ((poverty index - 1.0)/0.75)]}

21203

X formula amount

21204

(2) If the district's poverty index is greater than or equal	21205
to 1.75, the amount per limited English proficient student equals:	21206

0.25 X formula amount

21207

(3) Multiply the per student amount determined for the	21208
district under division (F)(1) or (2) of this section by the	21209
number of the district's limited English proficient students,	21210
times a phase-in percentage of 0.40 in fiscal year 2006 and 0.70	21211
in fiscal year 2007years 2008 and 2009. For purposes of this	21212
calculation, the number of limited English proficient students for	21213
each district shall be the number determined by the department	21214
when it calculated the district's percentage of limited English	21215
proficient students for its school district report card issued in	21216
2003 for the 2002-2003 school year.	21217

Not later than December 31, 2006, the department of education	21218
shall recommend to the general assembly and the director of budget	21219
and management a method of identifying the number of limited	21220
English proficient students for purposes of calculating payments	21221
under this division after fiscal year 2007.	21222

(G) A payment for professional development of teachers, if	21223
the district's poverty index is greater than or equal to 1.0,	21224
calculated as follows:	21225

(1) If the district's poverty index is greater than or equal	21226
to 1.0, but less than 1.75, determine the amount per teacher as	21227
follows:	21228

[(poverty index – 1.0)/0.75] X 0.045 X formula amount

21229

(2) If the district's poverty index is greater than or equal	21230
to 1.75, the amount per teacher equals:	21231

0.045 X formula amount

21232

(3) Determine the number of teachers, as follows:

21233

(formula ADM/17)

21234

(4) Multiply the per teacher amount determined for the	21235
district under division (G)(1) or (2) of this section by the	21236
number of teachers determined under division (G)(3) of this	21237
section, times a phase-in percentage of 0.40 in fiscal year 2006	21238
and 0.70 in fiscal year 2007.	21239

(H) A payment for dropout prevention, if the district is a	21240
big eight school district as defined in section 3314.02 of the	21241
Revised Code, calculated as follows:	21242

0.005 X formula amount X poverty index

21243

X formula ADM X phase-in percentage

21244

Where "phase-in percentage" equals 0.40 in fiscal year 2006	21245
and 0.70 in fiscal year 2007.	21246

(I) An amount for community outreach, if the district is an	21247
urban school district as defined in section 3314.02 of the Revised	21248
Code, calculated as follows:	21249

0.005 X formula amount X poverty index X

21250

formula ADM X phase-in percentage

21251

Where "phase-in percentage" equals 0.40 in fiscal year 2006	21252
and 0.70 in fiscal year 2007.	21253

(J) A payment for assistance in closing the achievement gap,	21254
if the district's poverty index is greater than or equal to 1.0	21255
and its academic distress index is greater than or equal to 1.0,	21256
as determined based on the most recent report card issued under	21257
section 3302.03 of the Revised Code prior to the beginning of the	21258
fiscal year, calculated as follows:	21259

(1) In fiscal year 2008:

21260

poverty index X academic distress index X

21261

(0.0015 X formula amount) X formula ADM

21262

(2) In fiscal year 2009:

21263

(a) If the district's academic distress percentage is less	21264
than its academic distress percentage used for the prior fiscal	21265
year:	21266

poverty index X academic distress index X

21267

(0.0015 X formula amount) X formula ADM X 1.035

21268

(b) If the district's academic distress percentage is greater	21269
than or equal to its academic distress percentage used for the	21270
prior fiscal year:	21271

poverty index X academic distress index X

21272

(0.0015 X formula amount) X formula ADM

21273

(K) This division applies only to school districts whose	21274
poverty index is 1.0 or greater.that receive more than ten	21275
thousand dollars under this section. Except as provided in	21276
division (L) of this section with respect to funds paid under	21277
division (J)(2)(b) of this section, in division (M)(2) of this	21278
section with respect to funds paid under division (D) of this	21279
section, and in division (O) of this section, each such district	21280
shall use funds paid under this section only for one or more of	21281
the following purposes:	21282

(1) Each school district subject to this division shall first	21283
utilize funds received under this section so that, when combined	21284
with other funds of the district, sufficient funds exist toTo	21285
provide all-day kindergarten to at least the number of children in	21286
the district's all-day kindergarten percentage. To satisfy this	21287
requirement, a district may use funds paid under division (C),	21288
(F), (G), (H), or (I) of this section to provide all-day	21289
kindergarten in addition to the all-day kindergarten payment under	21290
division (D) of this section.ADM;	21291

(2) Except as permitted under division (J)(1) of this	21292
section, each school district shall use its payment under division	21293
(F) of this section forTo provide services to students with	21294
limited English proficiency through one or more of the following	21295
purposesactivities:	21296

(a) To hireHiring teachers for limited English proficient	21297
students or other personnel to provide intervention services for	21298
those students;	21299

(b) To contractContracting for intervention services for	21300
those students;	21301

(c) To provideProviding other services to assist those	21302
students in passing the third-grade reading achievement test, and	21303
to provide for those students the intervention services required	21304
by section 3313.608 of the Revised Code.	21305

(3) Except as permitted under division (J)(1) of this	21306
section, each school district shall use its payment under division	21307
(G) of this section forTo provide professional development of	21308
teachers or other licensed personnel providing educational	21309
services to students only in one or more of the following areas:	21310

(a) Data-based decision making;

21311

(b) Standards-based curriculum models;

21312

(c) Job-embeddedHigh quality professional development	21313
activities that are research-based, as defined in federal lawby	21314
state standards developed under section 3319.61 of the Revised	21315
Code;	21316

(d) Professional learning communities.

21317

In addition, each district that elects to use funds paid	21318
under this section for professional development shall use the	21319
payment only to implement programs identified on a list of	21320
eligible professional development programs provided by the	21321
department of education. The department annually shall provide the	21322
list to each district receiving a payment under division (G) of	21323
this section. However, a district may apply to the department for	21324
a waiver to implement an alternative professional development	21325
program in one or more of the areas specified in divisions	21326
(J)(3)(a) to (c) of this section. If the department grants the	21327
waiver, the district may use its payment under division (G) of	21328
this section to implement the alternative program.	21329

(4) Except as permitted under division (J)(1) of this	21330
section, each big eight school district shall use its payment	21331
under division (H) of this section either forFor preventing	21332
at-risk students from dropping out of school, for safety and	21333
security measures described in division (J)(5)(b) of this section,	21334
for academic intervention services described in division (J)(6) of	21335
this section, or for a combination of those purposes. Not later	21336
than September 1, 20052007, the department of education shall	21337
provide each big eight school district receiving a payment under	21338
this section with a list of dropout prevention programs that it	21339
has determined are successful. The department subsequently may	21340
update the list. Each district that elects to use its payment	21341
under division (H) of this section for dropout prevention shall	21342
use the payment only to implement a dropout prevention program	21343
specified on the department's list. However, a district may apply	21344
to the department for a waiver to implement an alternative dropout	21345
prevention program. If the department grants the waiver, the	21346
district may use its payment under division (H) of this section to	21347
implement the alternative program.	21348

(5) Except as permitted under division (J)(1) of this	21349
section, each urban school district that has a poverty index	21350
greater than or equal to 1.0 shall use its payment under division	21351
(I) of this section forFor one or a combinationboth of the	21352
following purposes:	21353

(a) To hire or contract for community liaison officers,	21354
attendance or truant officers, or safety and security personnel;	21355

(b) To implement programs designed to ensure that schools are	21356
free of drugs and violence and have a disciplined environment	21357
conducive to learning;	21358

(c) To implement academic intervention services described in	21359
division (J)(6) of this section.	21360

(6) Except as permitted under division (J)(1) of this	21361
section, each school district with a poverty index greater than or	21362
equal to 1.0 shall use the amount of its payment under division	21363
(C) of this section, and may use any amount of its payment under	21364
division (H) or (I) of this section, forFor academic intervention	21365
services for students who have failed or are in danger of failing	21366
any of the tests administered pursuant to section 3301.0710 of the	21367
Revised Code, including intervention services required by section	21368
3313.608 of the Revised Code. Except as permitted under division	21369
(J)(1) of this section, no district shall spend any portion of its	21370
payment under division (C) of this section for any other purpose.	21371
Notwithstanding any provision to the contrary in Chapter 4117. of	21372
the Revised Code, no collective bargaining agreement entered into	21373
after June 30, 2005, shall require use of the payment for any	21374
other purpose.	21375

(7) Except as otherwise required by division (K) or permitted	21376
under division (O) of this section, all remaining funds	21377
distributed under this section to districts with a poverty index	21378
greater than or equal to 1.0 shall be utilized for the purpose of	21379
the third grade guarantee. The third grade guarantee consists of	21380
For increased classroom learning opportunities by increasing the	21381
amount of instructional attention received per pupil in	21382
kindergarten through third grade, either by reducing the ratio of	21383
students to instructional personnel or by increasing the amount of	21384
instruction and curriculum-related activities by extending the	21385
length of the school day or the school year.	21386

School districts may implement a reduction of the ratio of	21387
students to instructional personnel through any or all of the	21388
following methods:	21389

(a) Reducing the number of students in a classroom taught by	21390
a single teacher;	21391

(b) Employing full-time educational aides or educational	21392
paraprofessionals issued a permit or license under section	21393
3319.088 of the Revised Code;	21394

(c) Instituting a team-teaching method that will result in a	21395
lower student-teacher ratio in a classroom.	21396

Districts may extend the school day either by increasing the	21397
amount of time allocated for each class, increasing the number of	21398
classes provided per day, offering optional academic-related	21399
after-school programs, providing curriculum-related extra	21400
curricular activities, or establishing tutoring or remedial	21401
services for students who have demonstrated an educational need.	21402
In accordance with section 3319.089 of the Revised Code, a	21403
district extending the school day pursuant to this division may	21404
utilize a participant of the work experience program who has a	21405
child enrolled in a public school in that district and who is	21406
fulfilling the work requirements of that program by volunteering	21407
or working in that public school. If the work experience program	21408
participant is compensated, the school district may use the funds	21409
distributed under this section for all or part of the	21410
compensation.	21411

Districts may extend the school year either through adding	21412
regular days of instruction to the school calendar or by providing	21413
summer programs.	21414

(K) Each district shall not expend any funds received under	21415
division (E) of this section in any school buildings that are not	21416
buildings with the highest concentration of need, unless there is	21417
a ratio of instructional personnel to students of no more than	21418
fifteen to one in each kindergarten and first grade class in all	21419
buildings with the highest concentration of need. This division	21420
does not require that the funds used in buildings with the highest	21421
concentration of need be spent solely to reduce the ratio of	21422
instructional personnel to students in kindergarten and first	21423
grade. A school district may spend the funds in those buildings in	21424
any manner permitted by division (J)(7) of this section, but may	21425
not spend the money in other buildings unless the fifteen-to-one	21426
ratio required by this division is attained.	21427

(L)(1) By the first day of August of each fiscal year, each	21428
(8) For early childhood programs or early learning programs, as	21429
defined by the department of education, for children age three or	21430
four who are not eligible for kindergarten;	21431

(9) To furnish, free of charge, materials used in courses of	21432
instruction, except for the necessary textbooks or electronic	21433
textbooks required to be furnished without charge pursuant to	21434
section 3329.06 of the Revised Code, to pupils living in families	21435
participating in Ohio works first in accordance with section	21436
3313.642 of the Revised Code;	21437

(10) For programs designed to reduce nonacademic barriers to	21438
learning, in accordance with guidelines developed by the	21439
department of education;	21440

(11) For school nutrition programs provided pursuant to	21441
section 3313.813 of the Revised Code.	21442

However, a school district may apply to the department, in	21443
the form and manner prescribed by the department, for a waiver to	21444
spend funds paid under this section for programs not described in	21445
divisions (K)(1) to (11) of this section. The waiver application	21446
shall specify the rationale for the alternative expenditure and	21447
the intended benefits for disadvantaged students. If the	21448
department grants the waiver, the district may use funds paid	21449
under this section to implement the alternative program.	21450

(L) This division applies only to funds paid under division	21451
(J)(2)(b) of this section.	21452

(1) If applicable, each school district shall use the funds	21453
for any necessary expenses for the continued operation of a school	21454
district academic distress commission appointed under section	21455
3302.10 of the Revised Code.	21456

(2) After satisfying the requirement of division (L)(1) of	21457
this section, each district shall spend the remaining funds only	21458
for one or more of the following purposes and only in buildings	21459
with the highest concentration of need:	21460

(a) Assistance in improving student performance;

21461

(b) Professional development for teachers and administrators;

21462

(c) Assistance in recruiting and retaining teachers and	21463
administrators.	21464

(M)(1) Each school district wishing to receive any funds	21465
under division (D) of this section shall submit to the department	21466
of education an estimate of itsthe number of students attending	21467
all-day kindergarten percentagewhen reporting formula ADM under	21468
section 3317.03 of the Revised Code. Each district shall update	21469
its estimate throughout the fiscal year in the form and manner	21470
required by the department, and the department shall adjust	21471
payments under this section to reflect the updates.	21472

(2) Annually by the end of December, the department of	21473
education, utilizing data from the information system established	21474
under section 3301.0714 of the Revised Code, shall determine for	21475
each school district subject to division (J) of this section	21476
whether in the preceding fiscal year the district's ratio of	21477
instructional personnel to students and its number of kindergarten	21478
students receiving all-day kindergarten appear reasonable, given	21479
the amounts of money the district received for that fiscal year	21480
pursuant to divisions (D) and (E) of this section. If the	21481
department is unable to verify from the data available that	21482
students are receiving reasonable amounts of instructional	21483
attention and all-day kindergarten, given the funds the district	21484
has received under this section and that class-size reduction	21485
funds are being used in school buildings with the highest	21486
concentration of need as required by division (K) of this section,	21487
the department shall conduct a more intensive investigation to	21488
ensure that funds have been expended as required by this section.	21489
The department shall file an annual report of its findings under	21490
this division with the chairpersons of the committees in each	21491
house of the general assembly dealing with finance and education.	21492

(M)(1)(2) Each school district with a poverty index less than	21493
1.0 that receives a payment under division (D) of this section	21494
shall first utilize funds received under this section so that ,	21495
when combined with other funds of the district, sufficient funds	21496
existdivision to provide all-day kindergarten to at least the	21497
number of children in the district's all-day kindergarten	21498
percentage. To satisfy this requirement, a district may use funds	21499
paid under division (C) or (I) of this section to provide all-day	21500
kindergarten in addition to the all-day kindergarten payment under	21501
division (D) of this section.	21502

(2) Except as permitted under division (M)(1) of this	21503
section, each school district with a poverty index less than 1.0	21504
that receives a payment under division (C) of this section shall	21505
use its payment under that division in accordance with all	21506
requirements of division (J)(6) of this section.	21507

(3) Except as permitted under division (M)(1) of this	21508
section, each school district with a poverty index less than 1.0	21509
that receives a payment under division (I) of this section shall	21510
use its payment under that division for one or a combination of	21511
the following purposes:	21512

(a) To hire or contract for community liaison officers,	21513
attendance or truant officers, or safety and security personnel;	21514

(b) To implement programs designed to ensure that schools are	21515
free of drugs and violence and have a disciplined environment	21516
conducive to learning;	21517

(c) To implement academic intervention services described in	21518
division (J)(6) of this section.	21519

(4) Each school district to which division (M)(1), (2), or	21520
(3) of this section applies shall expend the remaining funds	21521
received under this section, and any other district with a poverty	21522
index less than 1.0 shall expend all funds received under this	21523
section, for any of the following purposes:	21524

(a) The purchase of technology for instructional purposes for	21525
remediation;	21526

(b) All-day kindergarten;

21527

(c) Reduction of class sizes in grades kindergarten through	21528
three, as described in division (J)(7) of this section;	21529

(d) Summer school remediation;

21530

(e) Dropout prevention programs approved by the department of	21531
education under division (J)(4) of this section;	21532

(f) Guaranteeing that all third graders are ready to progress	21533
to more advanced work;	21534

(g) Summer education and work programs;

21535

(h) Adolescent pregnancy programs;

21536

(i) Head start, preschool, early childhood education, or	21537
early learning programs;	21538

(j) Reading improvement and remediation programs described by	21539
the department of education;	21540

(k) Programs designed to ensure that schools are free of	21541
drugs and violence and have a disciplined environment conducive to	21542
learning;	21543

(l) Furnishing, free of charge, materials used in courses of	21544
instruction, except for the necessary textbooks or electronic	21545
textbooks required to be furnished without charge pursuant to	21546
section 3329.06 of the Revised Code, to pupils living in families	21547
participating in Ohio works first in accordance with section	21548
3313.642 of the Revised Code;	21549

(m) School breakfasts provided pursuant to section 3313.813	21550
of the Revised Code.	21551

(N) If at any time the superintendent of public instruction	21552
determines that a school district receiving funds under division	21553
(D) of this section has enrolled lessfewer than the number of	21554
all-day kindergarten percentagestudents reported for that fiscal	21555
year, the superintendent shall withhold from the funds otherwise	21556
due the district under this section a proportional amount as	21557
determined by the difference in the certified all-day kindergarten	21558
percentageADM and the percentage actually enrolled inactual	21559
all-day kindergarten ADM.	21560

The superintendent shall also withhold an appropriate amount	21561
of funds otherwise due a district for any other misuse of funds	21562
not in accordance with this section.	21563

(O)(1) A district may use a portion of the funds calculated	21564
for itpaid under division (D) of this section to modify or	21565
purchase classroom space to provide all-day kindergarten, if both	21566
of the following conditions are met:	21567

(a) The district certifies to the department, in a manner	21568
acceptable to the department, that it has a shortage of space for	21569
providing all-day kindergarten.	21570

(b) The district provides all-day kindergarten to the number	21571
of children in the all-day kindergarten percentage it certified	21572
under this section.	21573

(2) A district may use a portion of the funds described in	21574
division (J)(7) ofpaid under this section to modify or purchase	21575
classroom space to enable it to further reduce class size in	21576
grades kindergarten through two with a goal of attaining class	21577
sizes of fifteen students per licensed teacher. To do so, the	21578
district must certify its need for additional space to the	21579
department, in a manner satisfactory to the department.	21580

(P) Not later than the thirtieth day of September each year,	21581
each school district paid under this section shall report to the	21582
department, in the form and manner prescribed by the department,	21583
how the district deployed funds received under this section in the	21584
prior fiscal year. If a school district does not meet adequate	21585
progress standards as defined by the department, the department	21586
shall make recommendations to the district for deploying funds	21587
under this section in a more effective manner.	21588

Sec. 3317.0216.  (A) As used in this section:

21589

(1) "Total taxes charged and payable for current expenses"	21590
means the sum of the taxes charged and payable as certified under	21591
division (A)(3)(a) of section 3317.021 of the Revised Code less	21592
any amounts reported under division (A)(3)(b) of that section, and	21593
the tax distribution for the preceding year under any school	21594
district income tax levied by the district pursuant to Chapter	21595
5748. of the Revised Code to the extent the revenue from the	21596
income tax is allocated or apportioned to current expenses.	21597

(2) "Charge-off amount" means two and three-tenths per cent	21598
multiplied by (the sum of recognized valuation and property	21599
exemption value).	21600

(3) Until fiscal year 2003, the "actual local share of	21601
special education, transportation, and vocational education	21602
funding" for any school district means the sum of the district's	21603
attributed local shares described in divisions (F)(1) to (3) of	21604
section 3317.022 of the Revised Code. Beginning in fiscal year	21605
2003, the "actual local share of special education,	21606
transportation, and vocational education funding" means that sum	21607
minus the amount of any excess cost supplement payment calculated	21608
for the district under division (F) of section 3317.022 of the	21609
Revised Code.	21610

(4) "Current expense revenues from the tangible property tax	21611
replacement fund" means payments received from the school district	21612
tangible property tax replacement fund or the general revenue fund	21613
under section 5751.21 of the Revised Code for fixed-rate levies	21614
for current expenses and for fixed-sum levies for current	21615
expenses, including school district emergency levies under	21616
sections 5705.194 to 5705.197 of the Revised Code.	21617

(B) Upon receiving the certifications under section 3317.021	21618
of the Revised Code, the department of education shall determine	21619
for each city, local, and exempted village school district whether	21620
the district's charge-off amount is greater than the sum of the	21621
district's total taxes charged and payable for current expenses	21622
and current expense revenues from the tangible property tax	21623
replacement fund, and if the charge-off amount is greater, shall	21624
pay the district the amount of the difference. A payment shall not	21625
be made to any school district for which the computation under	21626
division (A) of section 3317.022 of the Revised Code equals zero.	21627

(C)(1) If a district's charge-off amount is equal to or	21628
greater than the sum of its total taxes charged and payable for	21629
current expenses and current expense revenues from the tangible	21630
property tax replacement fund, the department shall, in addition	21631
to the payment required under division (B) of this section, pay	21632
the district the amount of its actual local share of special	21633
education, transportation, and vocational education funding.	21634

(2) If a district's charge-off amount is less than the sum of	21635
its total taxes charged and payable for current expenses and	21636
current expense revenues from the tangible property tax	21637
replacement fund, the department shall pay the district any amount	21638
by which its actual local share of special education,	21639
transportation, and vocational education funding exceeds the sum	21640
of its total taxes charged and payable for current expenses and	21641
current expense revenues from the tangible property tax	21642
replacement fund minus its charge-off amount.	21643

(D) If a school district that received a payment under	21644
division (B) or (C) of this section in the prior fiscal year is	21645
ineligible for payment under those divisions in the current fiscal	21646
year, the department shall determine if the ineligibility is the	21647
result of a property tax or income tax levy approved by the	21648
district's voters to take effect in tax year 2005 or thereafter.	21649
If the department determines that is the case, and calculates that	21650
the levy causing the ineligibility exceeded by at least one mill	21651
the equivalent millage of the prior year's payment under divisions	21652
(B) and (C) of this section, the department shall make a payment	21653
to the district for the first three years that the district loses	21654
eligibility for payment under divisions (B) and (C) of this	21655
section, as follows:	21656

(1) In the first year of ineligibility, the department shall	21657
pay the district seventy-five per cent of the amount it last paid	21658
the district under divisions (B) and (C) of this section.	21659

(2) In the second year of ineligibility, the department shall	21660
pay the district fifty per cent of the amount it last paid the	21661
district under those divisions.	21662

(3) In the third year of ineligibility, the department shall	21663
pay the district twenty-five per cent of the amount it last paid	21664
the district under those divisions.	21665

(E) A district that receives payment under division (D) of	21666
this section and subsequently qualifies for payment under division	21667
(B) or (C) of this section is ineligible for future payments under	21668
division (D) of this section.	21669

(F) To enable the department of education to make the	21670
determinations and to calculate payments under division (D) of	21671
this section, on the effective date of this amendmentMarch 30,	21672
2006, and on or before the first day of March of each year	21673
thereafter, the department shall send to the tax commissioner a	21674
list of school districts receiving payments under division (B) or	21675
(C) of this section for the current fiscal year. On or before the	21676
first day of the following June, the tax commissioner shall	21677
certify to the department of education for those school districts	21678
the information required by division (A)(8) of section 3317.021 of	21679
the Revised Code.	21680

Sec. 3317.0217. ThePayment of the amount calculated for a	21681
school district under this section shall be made under division	21682
(A) of section 3317.022 of the Revised Code.	21683

The department of education shall annually compute and pay	21684
state parity aid to school districts, as follows:	21685

(A) Calculate the local wealth per pupil of each school	21686
district, which equals the following sum:	21687

(1) Two-thirds times the quotient of (a) the district's	21688
recognized valuation divided by (b) its formula ADM; plus	21689

(2) One-third times the quotient of (a) the average of the	21690
total federal adjusted gross income of the school district's	21691
residents for the three years most recently reported under section	21692
3317.021 of the Revised Code divided by (b) its formula ADM.	21693

(B) Rank all school districts in order of local wealth per	21694
pupil, from the district with the lowest local wealth per pupil to	21695
the district with the highest local wealth per pupil.	21696

(C) Compute the per pupil state parity aid funding for each	21697
eligible school district in accordance with the following formula:	21698

(threshold local wealth

21699

per pupil - the district's local

21700

wealth per pupil) X 0.0075 parity millage

21701

Where:

21702

(1) Seven and one-half mills (0.0075) is an adjustment to the	21703
original parity aid standard of nine and one-half mills, to	21704
account for the general assembly's policy decision to phase-out	21705
use of the cost-of-doing-business factor in the base cost formula	21706
In fiscal year 2008, an "eligible school district" means a school	21707
district with a local wealth per pupil less than that of the	21708
school district with the four-hundred-eleventh lowest local wealth	21709
per pupil. In fiscal year 2009, an "eligible school district"	21710
means a school district with a local wealth per pupil less than	21711
that of the school district with the three-hundred-sixty-eighth	21712
lowest local wealth per pupil.	21713

(2) The "threshold local wealth per pupil" is the local	21714
wealth per pupil of the school district with the	21715
four-hundred-ninetieth lowest local wealth per pupil.	21716

(3) "Parity millage," in fiscal year 2008, equals 0.0080 and,	21717
in fiscal year 2009, equals 0.0085.	21718

If the result of the calculation for a school district under	21719
division (C) of this section is less than zero, the district's per	21720
pupil parity aid shall be zero.	21721

(D) Compute the per pupil alternative parity aid for each	21722
school district that has a combination of an income factor of 1.0	21723
or less, a poverty index of 1.0 or greater, and a fiscal year 2005	21724
cost-of-doing-business factor of 1.0375 or greater, in accordance	21725
with the following formula:	21726

Payment percentage X $60,000 X

21727

(1 - income factor) X 4/15 X 0.023

21728

Where:

21729

(1) "Poverty index" has the same meaning as in section	21730
3317.029 of the Revised Code.	21731

(2) "Payment percentage," for purposes of division (D) of	21732
this section, equals 50% in fiscal year 2002 and 100% after fiscal	21733
year 2002.	21734

(3) "Fiscal year 2005 cost-of-doing-business factor" means	21735
the cost-of-doing-business factor in effect for fiscal year 2005	21736
designated under former division (N) of section 3317.02 of the	21737
Revised Code as that division existed in fiscal year 2005.	21738

(E) Pay each district that has a combination of an income	21739
factor of 1.0 or less, a poverty index of 1.0 or greater, and a	21740
fiscal year 2005 cost-of-doing-business factor of 1.0375 or	21741
greater, the greater of the following:	21742

(1) The product of the district's per pupil parity aid	21743
calculated under division (C) of this section times its net	21744
formula ADM;	21745

(2) The product of its per pupil alternative parity aid	21746
calculated under division (D) of this section times its net	21747
formula ADM.	21748

(F) Pay every other district the product of its per pupil	21749
parity aid calculated under division (C) of this section times its	21750
net formula ADM.	21751

(G) As used in divisions (E) and (F) of this section, "net	21752
formula ADM" means formula ADM minus the number of internet- and	21753
computer-based community school students and scholarship students	21754
reported under divisions (B)(3)(e),or (f), and (g) of section	21755
3317.03 of the Revised Code.	21756

Sec. 3317.03.  Notwithstanding divisions (A)(1), (B)(1), and	21757
(C) of this section, except as provided in division (A)(2)(h)(g)	21758
of this section, any student enrolled in kindergarten more than	21759
half time shall be reported as one-half student under this	21760
section.	21761

(A) The superintendent of each city and exempted village	21762
school district and of each educational service center shall, for	21763
the schools under the superintendent's supervision, certify to the	21764
state board of education on or before the fifteenth day of October	21765
in each year for the first full school week in October the formula	21766
ADM. Beginning in fiscal year 2007, each superintendent also shall	21767
certify to the state board, for the schools under the	21768
superintendent's supervision, the formula ADM for the first full	21769
week in February. If a school under the superintendent's	21770
supervision is closed for one or more days during that week due to	21771
hazardous weather conditions or other circumstances described in	21772
the first paragraph of division (B) of section 3317.01 of the	21773
Revised Code, the superintendent may apply to the superintendent	21774
of public instruction for a waiver, under which the superintendent	21775
of public instruction may exempt the district superintendent from	21776
certifying the formula ADM for that school for that week and	21777
specify an alternate week for certifying the formula ADM of that	21778
school.	21779

The formula ADM shall consist of the average daily membership	21780
during such week of the sum of the following:	21781

(1) On an FTE basis, the number of students in grades	21782
kindergarten through twelve receiving any educational services	21783
from the district, except that the following categories of	21784
students shall not be included in the determination:	21785

(a) Students enrolled in adult education classes;

21786

(b) Adjacent or other district students enrolled in the	21787
district under an open enrollment policy pursuant to section	21788
3313.98 of the Revised Code;	21789

(c) Students receiving services in the district pursuant to a	21790
compact, cooperative education agreement, or a contract, but who	21791
are entitled to attend school in another district pursuant to	21792
section 3313.64 or 3313.65 of the Revised Code;	21793

(d) Students for whom tuition is payable pursuant to sections	21794
3317.081 and 3323.141 of the Revised Code;	21795

(e) Students receiving services in the district through a	21796
scholarship awarded under section 3310.41 of the Revised Code.	21797

(2) On an FTE basis, except as provided in division	21798
(A)(2)(h)(g) of this section, the number of students entitled to	21799
attend school in the district pursuant to section 3313.64 or	21800
3313.65 of the Revised Code, but receiving educational services in	21801
grades kindergarten through twelve from one or more of the	21802
following entities:	21803

(a) A community school pursuant to Chapter 3314. of the	21804
Revised Code, including any participation in a college pursuant to	21805
Chapter 3365. of the Revised Code while enrolled in such community	21806
school;	21807

(b) An alternative school pursuant to sections 3313.974 to	21808
3313.979 of the Revised Code as described in division (I)(2)(a) or	21809
(b) of this section;	21810

(c) A college pursuant to Chapter 3365. of the Revised Code,	21811
except when the student is enrolled in the college while also	21812
enrolled in a community school pursuant to Chapter 3314. of the	21813
Revised Code;	21814

(d) An adjacent or other school district under an open	21815
enrollment policy adopted pursuant to section 3313.98 of the	21816
Revised Code;	21817

(e) An educational service center or cooperative education	21818
district;	21819

(f) Another school district under a cooperative education	21820
agreement, compact, or contract;	21821

(g) A chartered nonpublic school with a scholarship paid	21822
under section 3310.08 of the Revised Code;	21823

(h) An alternative public provider or a registered private	21824
provider with a scholarship awarded under section 3310.41 of the	21825
Revised Code. Each such scholarship student who is enrolled in	21826
kindergarten shall be counted as one full-time-equivalent student.	21827

As used in this section, "alternative public provider" and	21828
"registered private provider" have the same meanings as in section	21829
3310.41 of the Revised Code.	21830

(3) Twenty per cent of the number of students enrolled in a	21831
joint vocational school district or under a vocational education	21832
compact, excluding any students entitled to attend school in the	21833
district under section 3313.64 or 3313.65 of the Revised Code who	21834
are enrolled in another school district through an open enrollment	21835
policy as reported under division (A)(2)(d) of this section and	21836
then enroll in a joint vocational school district or under a	21837
vocational education compact;	21838

(4) The number of handicapped children, other than	21839
handicapped preschool children, entitled to attend school in the	21840
district pursuant to section 3313.64 or 3313.65 of the Revised	21841
Code who are placed by the district with a county MR/DD board,	21842
minus the number of such children placed with a county MR/DD board	21843
in fiscal year 1998. If this calculation produces a negative	21844
number, the number reported under division (A)(4) of this section	21845
shall be zero.	21846

(5) Beginning in fiscal year 2007, in the case of the report	21847
submitted for the first full week in February, or the alternative	21848
week if specified by the superintendent of public instruction, the	21849
number of students reported under division (A)(1) or (2) of this	21850
section for the first full week of the preceding October but who	21851
since that week have received high school diplomas.	21852

(B) To enable the department of education to obtain the data	21853
needed to complete the calculation of payments pursuant to this	21854
chapter, in addition to the formula ADM, each superintendent shall	21855
report separately the following student counts for the same week	21856
for which formula ADM is certified:	21857

(1) The total average daily membership in regular day classes	21858
included in the report under division (A)(1) or (2) of this	21859
section for kindergarten, and each of grades one through twelve in	21860
schools under the superintendent's supervision;	21861

(2) The number of all handicapped preschool children enrolled	21862
as of the first day of December in classes in the district that	21863
are eligible for approval under division (B) of section 3317.05	21864
of the Revised Code and the number of those classes, which shall	21865
be reported not later than the fifteenth day of December, in	21866
accordance with rules adopted under that section;	21867

(3) The number of children entitled to attend school in the	21868
district pursuant to section 3313.64 or 3313.65 of the Revised	21869
Code who are:	21870

(a) Participating in a pilot project scholarship program	21871
established under sections 3313.974 to 3313.979 of the Revised	21872
Code as described in division (I)(2)(a) or (b) of this section;	21873

(b) Enrolled in a college under Chapter 3365. of the Revised	21874
Code, except when the student is enrolled in the college while	21875
also enrolled in a community school pursuant to Chapter 3314. of	21876
the Revised Code;	21877

(c) Enrolled in an adjacent or other school district under	21878
section 3313.98 of the Revised Code;	21879

(d) Enrolled in a community school established under Chapter	21880
3314. of the Revised Code that is not an internet- or	21881
computer-based community school as defined in section 3314.02 of	21882
the Revised Code, including any participation in a college	21883
pursuant to Chapter 3365. of the Revised Code while enrolled in	21884
such community school;	21885

(e) Enrolled in an internet- or computer-based community	21886
school, as defined in section 3314.02 of the Revised Code,	21887
including any participation in a college pursuant to Chapter 3365.	21888
of the Revised Code while enrolled in the school;	21889

(f) Enrolled in a chartered nonpublic school with a	21890
scholarship paid under section 3310.08 of the Revised Code;	21891

(g) Enrolled in kindergarten through grade twelve in an	21892
alternative public provider or a registered private provider with	21893
a scholarship awarded under section 3310.41 of the Revised Code;	21894

(h)(g) Enrolled as a handicapped preschool child in an	21895
alternative public provider or a registered private provider with	21896
a scholarship awarded under section 3310.41 of the Revised Code;	21897

(i)(h) Participating in a program operated by a county MR/DD	21898
board or a state institution.	21899

(4) The number of pupils enrolled in joint vocational	21900
schools;	21901

(5) The average daily membership of handicapped children	21902
reported under division (A)(1) or (2) of this section receiving	21903
special education services for the category one handicap described	21904
in division (A) of section 3317.013 of the Revised Code;	21905

(6) The average daily membership of handicapped children	21906
reported under division (A)(1) or (2) of this section receiving	21907
special education services for category two handicaps described in	21908
division (B) of section 3317.013 of the Revised Code;	21909

(7) The average daily membership of handicapped children	21910
reported under division (A)(1) or (2) of this section receiving	21911
special education services for category three handicaps described	21912
in division (C) of section 3317.013 of the Revised Code;	21913

(8) The average daily membership of handicapped children	21914
reported under division (A)(1) or (2) of this section receiving	21915
special education services for category four handicaps described	21916
in division (D) of section 3317.013 of the Revised Code;	21917

(9) The average daily membership of handicapped children	21918
reported under division (A)(1) or (2) of this section receiving	21919
special education services for the category five handicap	21920
described in division (E) of section 3317.013 of the Revised Code;	21921

(10) The combined average daily membership of handicapped	21922
children reported under division (A)(1) or (2) and under division	21923
(B)(3)(h)(g) of this section receiving special education services	21924
for category six handicaps described in division (F) of section	21925
3317.013 of the Revised Code, including children attending a	21926
special education program operated by an alternative public	21927
provider or a registered private provider with a scholarship	21928
awarded under section 3310.41 of the Revised Code;	21929

(11) The average daily membership of pupils reported under	21930
division (A)(1) or (2) of this section enrolled in category one	21931
vocational education programs or classes, described in division	21932
(A) of section 3317.014 of the Revised Code, operated by the	21933
school district or by another district, other than a joint	21934
vocational school district, or by an educational service center,	21935
excluding any student reported under division (B)(3)(e) of this	21936
section as enrolled in an internet- or computer-based community	21937
school, notwithstanding division (C) of section 3317.02 of the	21938
Revised Code and division (C)(3) of this section;	21939

(12) The average daily membership of pupils reported under	21940
division (A)(1) or (2) of this section enrolled in category two	21941
vocational education programs or services, described in division	21942
(B) of section 3317.014 of the Revised Code, operated by the	21943
school district or another school district, other than a joint	21944
vocational school district, or by an educational service center,	21945
excluding any student reported under division (B)(3)(e) of this	21946
section as enrolled in an internet- or computer-based community	21947
school, notwithstanding division (C) of section 3317.02 of the	21948
Revised Code and division (C)(3) of this section;	21949

(13) The average number of children transported by the school	21950
district on board-owned or contractor-owned and -operated buses,	21951
reported in accordance with rules adopted by the department of	21952
education;	21953

(14)(a) The number of children, other than handicapped	21954
preschool children, the district placed with a county MR/DD board	21955
in fiscal year 1998;	21956

(b) The number of handicapped children, other than	21957
handicapped preschool children, placed with a county MR/DD board	21958
in the current fiscal year to receive special education services	21959
for the category one handicap described in division (A) of section	21960
3317.013 of the Revised Code;	21961

(c) The number of handicapped children, other than	21962
handicapped preschool children, placed with a county MR/DD board	21963
in the current fiscal year to receive special education services	21964
for category two handicaps described in division (B) of section	21965
3317.013 of the Revised Code;	21966

(d) The number of handicapped children, other than	21967
handicapped preschool children, placed with a county MR/DD board	21968
in the current fiscal year to receive special education services	21969
for category three handicaps described in division (C) of section	21970
3317.013 of the Revised Code;	21971

(e) The number of handicapped children, other than	21972
handicapped preschool children, placed with a county MR/DD board	21973
in the current fiscal year to receive special education services	21974
for category four handicaps described in division (D) of section	21975
3317.013 of the Revised Code;	21976

(f) The number of handicapped children, other than	21977
handicapped preschool children, placed with a county MR/DD board	21978
in the current fiscal year to receive special education services	21979
for the category five handicap described in division (E) of	21980
section 3317.013 of the Revised Code;	21981

(g) The number of handicapped children, other than	21982
handicapped preschool children, placed with a county MR/DD board	21983
in the current fiscal year to receive special education services	21984
for category six handicaps described in division (F) of section	21985
3317.013 of the Revised Code.	21986

(C)(1) Except as otherwise provided in this section for	21987
kindergarten students, the average daily membership in divisions	21988
(B)(1) to (12) of this section shall be based upon the number of	21989
full-time equivalent students. The state board of education shall	21990
adopt rules defining full-time equivalent students and for	21991
determining the average daily membership therefrom for the	21992
purposes of divisions (A), (B), and (D) of this section.	21993

(2) A student enrolled in a community school established	21994
under Chapter 3314. of the Revised Code shall be counted in the	21995
formula ADM and, if applicable, the category one, two, three,	21996
four, five, or six special education ADM of the school district in	21997
which the student is entitled to attend school under section	21998
3313.64 or 3313.65 of the Revised Code for the same proportion of	21999
the school year that the student is counted in the enrollment of	22000
the community school for purposes of section 3314.08 of the	22001
Revised Code.	22002

(3) No child shall be counted as more than a total of one	22003
child in the sum of the average daily memberships of a school	22004
district under division (A), divisions (B)(1) to (12), or division	22005
(D) of this section, except as follows:	22006

(a) A child with a handicap described in section 3317.013 of	22007
the Revised Code may be counted both in formula ADM and in	22008
category one, two, three, four, five, or six special education ADM	22009
and, if applicable, in category one or two vocational education	22010
ADM. As provided in division (C) of section 3317.02 of the Revised	22011
Code, such a child shall be counted in category one, two, three,	22012
four, five, or six special education ADM in the same proportion	22013
that the child is counted in formula ADM.	22014

(b) A child enrolled in vocational education programs or	22015
classes described in section 3317.014 of the Revised Code may be	22016
counted both in formula ADM and category one or two vocational	22017
education ADM and, if applicable, in category one, two, three,	22018
four, five, or six special education ADM. Such a child shall be	22019
counted in category one or two vocational education ADM in the	22020
same proportion as the percentage of time that the child spends in	22021
the vocational education programs or classes.	22022

(4) Based on the information reported under this section, the	22023
department of education shall determine the total student count,	22024
as defined in section 3301.011 of the Revised Code, for each	22025
school district.	22026

(D)(1) The superintendent of each joint vocational school	22027
district shall certify to the superintendent of public instruction	22028
on or before the fifteenth day of October in each year for the	22029
first full school week in October the formula ADM. Beginning in	22030
fiscal year 2007, each superintendent also shall certify to the	22031
state superintendent the formula ADM for the first full week in	22032
February. If a school operated by the joint vocational school	22033
district is closed for one or more days during that week due to	22034
hazardous weather conditions or other circumstances described in	22035
the first paragraph of division (B) of section 3317.01 of the	22036
Revised Code, the superintendent may apply to the superintendent	22037
of public instruction for a waiver, under which the superintendent	22038
of public instruction may exempt the district superintendent from	22039
certifying the formula ADM for that school for that week and	22040
specify an alternate week for certifying the formula ADM of that	22041
school.	22042

The formula ADM, except as otherwise provided in this	22043
division, shall consist of the average daily membership during	22044
such week, on an FTE basis, of the number of students receiving	22045
any educational services from the district, including students	22046
enrolled in a community school established under Chapter 3314. of	22047
the Revised Code who are attending the joint vocational district	22048
under an agreement between the district board of education and the	22049
governing authority of the community school and are entitled to	22050
attend school in a city, local, or exempted village school	22051
district whose territory is part of the territory of the joint	22052
vocational district. Beginning in fiscal year 2007, in the case of	22053
the report submitted for the first week in February, or the	22054
alternative week if specified by the superintendent of public	22055
instruction, the superintendent of the joint vocational school	22056
district may include the number of students reported under	22057
division (D)(1) of this section for the first full week of the	22058
preceding October but who since that week have received high	22059
school diplomas.	22060

The following categories of students shall not be included in	22061
the determination made under division (D)(1) of this section:	22062

(a) Students enrolled in adult education classes;

22063

(b) Adjacent or other district joint vocational students	22064
enrolled in the district under an open enrollment policy pursuant	22065
to section 3313.98 of the Revised Code;	22066

(c) Students receiving services in the district pursuant to a	22067
compact, cooperative education agreement, or a contract, but who	22068
are entitled to attend school in a city, local, or exempted	22069
village school district whose territory is not part of the	22070
territory of the joint vocational district;	22071

(d) Students for whom tuition is payable pursuant to sections	22072
3317.081 and 3323.141 of the Revised Code.	22073

(2) To enable the department of education to obtain the data	22074
needed to complete the calculation of payments pursuant to this	22075
chapter, in addition to the formula ADM, each superintendent shall	22076
report separately the average daily membership included in the	22077
report under division (D)(1) of this section for each of the	22078
following categories of students for the same week for which	22079
formula ADM is certified:	22080

(a) Students enrolled in each grade included in the joint	22081
vocational district schools;	22082

(b) Handicapped children receiving special education services	22083
for the category one handicap described in division (A) of section	22084
3317.013 of the Revised Code;	22085

(c) Handicapped children receiving special education services	22086
for the category two handicaps described in division (B) of	22087
section 3317.013 of the Revised Code;	22088

(d) Handicapped children receiving special education services	22089
for category three handicaps described in division (C) of section	22090
3317.013 of the Revised Code;	22091

(e) Handicapped children receiving special education services	22092
for category four handicaps described in division (D) of section	22093
3317.013 of the Revised Code;	22094

(f) Handicapped children receiving special education services	22095
for the category five handicap described in division (E) of	22096
section 3317.013 of the Revised Code;	22097

(g) Handicapped children receiving special education services	22098
for category six handicaps described in division (F) of section	22099
3317.013 of the Revised Code;	22100

(h) Students receiving category one vocational education	22101
services, described in division (A) of section 3317.014 of the	22102
Revised Code;	22103

(i) Students receiving category two vocational education	22104
services, described in division (B) of section 3317.014 of the	22105
Revised Code.	22106

The superintendent of each joint vocational school district	22107
shall also indicate the city, local, or exempted village school	22108
district in which each joint vocational district pupil is entitled	22109
to attend school pursuant to section 3313.64 or 3313.65 of the	22110
Revised Code.	22111

(E) In each school of each city, local, exempted village,	22112
joint vocational, and cooperative education school district there	22113
shall be maintained a record of school membership, which record	22114
shall accurately show, for each day the school is in session, the	22115
actual membership enrolled in regular day classes. For the purpose	22116
of determining average daily membership, the membership figure of	22117
any school shall not include any pupils except those pupils	22118
described by division (A) of this section. The record of	22119
membership for each school shall be maintained in such manner that	22120
no pupil shall be counted as in membership prior to the actual	22121
date of entry in the school and also in such manner that where for	22122
any cause a pupil permanently withdraws from the school that pupil	22123
shall not be counted as in membership from and after the date of	22124
such withdrawal. There shall not be included in the membership of	22125
any school any of the following:	22126

(1) Any pupil who has graduated from the twelfth grade of a	22127
public or nonpublic high school;	22128

(2) Any pupil who is not a resident of the state;

22129

(3) Any pupil who was enrolled in the schools of the district	22130
during the previous school year when tests were administered under	22131
section 3301.0711 of the Revised Code but did not take one or more	22132
of the tests required by that section and was not excused pursuant	22133
to division (C)(1) or (3) of that section;	22134

(4) Any pupil who has attained the age of twenty-two years,	22135
except for veterans of the armed services whose attendance was	22136
interrupted before completing the recognized twelve-year course of	22137
the public schools by reason of induction or enlistment in the	22138
armed forces and who apply for reenrollment in the public school	22139
system of their residence not later than four years after	22140
termination of war or their honorable discharge.	22141

If, however, any veteran described by division (E)(4) of this	22142
section elects to enroll in special courses organized for veterans	22143
for whom tuition is paid under the provisions of federal laws, or	22144
otherwise, that veteran shall not be included in average daily	22145
membership.	22146

Notwithstanding division (E)(3) of this section, the	22147
membership of any school may include a pupil who did not take a	22148
test required by section 3301.0711 of the Revised Code if the	22149
superintendent of public instruction grants a waiver from the	22150
requirement to take the test to the specific pupil and a parent is	22151
not paying tuition for the pupil pursuant to section 3313.6410 of	22152
the Revised Code. The superintendent may grant such a waiver only	22153
for good cause in accordance with rules adopted by the state board	22154
of education.	22155

Except as provided in divisions (B)(2) and (F) of this	22156
section, the average daily membership figure of any local, city,	22157
exempted village, or joint vocational school district shall be	22158
determined by dividing the figure representing the sum of the	22159
number of pupils enrolled during each day the school of attendance	22160
is actually open for instruction during the week for which the	22161
formula ADM is being certified by the total number of days the	22162
school was actually open for instruction during that week. For	22163
purposes of state funding, "enrolled" persons are only those	22164
pupils who are attending school, those who have attended school	22165
during the current school year and are absent for authorized	22166
reasons, and those handicapped children currently receiving home	22167
instruction.	22168

The average daily membership figure of any cooperative	22169
education school district shall be determined in accordance with	22170
rules adopted by the state board of education.	22171

(F)(1) If the formula ADM for the first full school week in	22172
February is at least three per cent greater than that certified	22173
for the first full school week in the preceding October, the	22174
superintendent of schools of any city, exempted village, or joint	22175
vocational school district or educational service center shall	22176
certify such increase to the superintendent of public instruction.	22177
Such certification shall be submitted no later than the fifteenth	22178
day of February. For the balance of the fiscal year, beginning	22179
with the February payments, the superintendent of public	22180
instruction shall use the increased formula ADM in calculating or	22181
recalculating the amounts to be allocated in accordance with	22182
section 3317.022 or 3317.16 of the Revised Code. In no event shall	22183
the superintendent use an increased membership certified to the	22184
superintendent after the fifteenth day of February. Division	22185
(F)(1) of this section does not apply after fiscal year 2006.	22186

(2) If on the first school day of April the total number of	22187
classes or units for handicapped preschool children that are	22188
eligible for approval under division (B) of section 3317.05 of the	22189
Revised Code exceeds the number of units that have been approved	22190
for the year under that division, the superintendent of schools of	22191
any city, exempted village, or cooperative education school	22192
district or educational service center shall make the	22193
certifications required by this section for that day. If the	22194
department determines additional units can be approved for the	22195
fiscal year within any limitations set forth in the acts	22196
appropriating moneys for the funding of such units, the department	22197
shall approve additional units for the fiscal year on the basis of	22198
such average daily membership. For each unit so approved, the	22199
department shall pay an amount computed in the manner prescribed	22200
in section 3317.052 or 3317.19 and section 3317.053 of the Revised	22201
Code.	22202

(3) If a student attending a community school under Chapter	22203
3314. of the Revised Code is not included in the formula ADM	22204
certified for the school district in which the student is entitled	22205
to attend school under section 3313.64 or 3313.65 of the Revised	22206
Code, the department of education shall adjust the formula ADM of	22207
that school district to include the community school student in	22208
accordance with division (C)(2) of this section, and shall	22209
recalculate the school district's payments under this chapter for	22210
the entire fiscal year on the basis of that adjusted formula ADM.	22211
This requirement applies regardless of whether the student was	22212
enrolled, as defined in division (E) of this section, in the	22213
community school during the week for which the formula ADM is	22214
being certified.	22215

(4) If a student awarded an educational choice scholarship is	22216
not included in the formula ADM of the school district from which	22217
the department deducts funds for the scholarship under section	22218
3310.08 of the Revised Code, the department shall adjust the	22219
formula ADM of that school district to include the student to the	22220
extent necessary to account for the deduction, and shall	22221
recalculate the school district's payments under this chapter for	22222
the entire fiscal year on the basis of that adjusted formula ADM.	22223
This requirement applies regardless of whether the student was	22224
enrolled, as defined in division (E) of this section, in the	22225
chartered nonpublic school, the school district, or a community	22226
school during the week for which the formula ADM is being	22227
certified.	22228

(G)(1)(a) The superintendent of an institution operating a	22229
special education program pursuant to section 3323.091 of the	22230
Revised Code shall, for the programs under such superintendent's	22231
supervision, certify to the state board of education, in the	22232
manner prescribed by the superintendent of public instruction,	22233
both of the following:	22234

(i) The average daily membership of all handicapped children	22235
other than handicapped preschool children receiving services at	22236
the institution for each category of handicap described in	22237
divisions (A) to (F) of section 3317.013 of the Revised Code;	22238

(ii) The average daily membership of all handicapped	22239
preschool children in classes or programs approved annually by the	22240
department of education for unit funding under section 3317.05 of	22241
the Revised Code.	22242

(b) The superintendent of an institution with vocational	22243
education units approved under division (A) of section 3317.05 of	22244
the Revised Code shall, for the units under the superintendent's	22245
supervision, certify to the state board of education the average	22246
daily membership in those units, in the manner prescribed by the	22247
superintendent of public instruction.	22248

(2) The superintendent of each county MR/DD board that	22249
maintains special education classes under section 3317.20 of the	22250
Revised Code or units approved pursuant to section 3317.05 of the	22251
Revised Code shall do both of the following:	22252

(a) Certify to the state board, in the manner prescribed by	22253
the board, the average daily membership in classes under section	22254
3317.20 of the Revised Code for each school district that has	22255
placed children in the classes;	22256

(b) Certify to the state board, in the manner prescribed by	22257
the board, the number of all handicapped preschool children	22258
enrolled as of the first day of December in classes eligible for	22259
approval under division (B) of section 3317.05 of the Revised	22260
Code, and the number of those classes.	22261

(3)(a) If on the first school day of April the number of	22262
classes or units maintained for handicapped preschool children by	22263
the county MR/DD board that are eligible for approval under	22264
division (B) of section 3317.05 of the Revised Code is greater	22265
than the number of units approved for the year under that	22266
division, the superintendent shall make the certification required	22267
by this section for that day.	22268

(b) If the department determines that additional classes or	22269
units can be approved for the fiscal year within any limitations	22270
set forth in the acts appropriating moneys for the funding of the	22271
classes and units described in division (G)(3)(a) of this section,	22272
the department shall approve and fund additional units for the	22273
fiscal year on the basis of such average daily membership. For	22274
each unit so approved, the department shall pay an amount computed	22275
in the manner prescribed in sections 3317.052 and 3317.053 of the	22276
Revised Code.	22277

(H) Except as provided in division (I) of this section, when	22278
any city, local, or exempted village school district provides	22279
instruction for a nonresident pupil whose attendance is	22280
unauthorized attendance as defined in section 3327.06 of the	22281
Revised Code, that pupil's membership shall not be included in	22282
that district's membership figure used in the calculation of that	22283
district's formula ADM or included in the determination of any	22284
unit approved for the district under section 3317.05 of the	22285
Revised Code. The reporting official shall report separately the	22286
average daily membership of all pupils whose attendance in the	22287
district is unauthorized attendance, and the membership of each	22288
such pupil shall be credited to the school district in which the	22289
pupil is entitled to attend school under division (B) of section	22290
3313.64 or section 3313.65 of the Revised Code as determined by	22291
the department of education.	22292

(I)(1) A city, local, exempted village, or joint vocational	22293
school district admitting a scholarship student of a pilot project	22294
district pursuant to division (C) of section 3313.976 of the	22295
Revised Code may count such student in its average daily	22296
membership.	22297

(2) In any year for which funds are appropriated for pilot	22298
project scholarship programs, a school district implementing a	22299
state-sponsored pilot project scholarship program that year	22300
pursuant to sections 3313.974 to 3313.979 of the Revised Code may	22301
count in average daily membership:	22302

(a) All children residing in the district and utilizing a	22303
scholarship to attend kindergarten in any alternative school, as	22304
defined in section 3313.974 of the Revised Code;	22305

(b) All children who were enrolled in the district in the	22306
preceding year who are utilizing a scholarship to attend any such	22307
alternative school.	22308

(J) The superintendent of each cooperative education school	22309
district shall certify to the superintendent of public	22310
instruction, in a manner prescribed by the state board of	22311
education, the applicable average daily memberships for all	22312
students in the cooperative education district, also indicating	22313
the city, local, or exempted village district where each pupil is	22314
entitled to attend school under section 3313.64 or 3313.65 of the	22315
Revised Code.	22316

(K) If the superintendent of public instruction discovers an	22317
error in the formula ADM certified by a district superintendent,	22318
the superintendent of public instruction may order that the	22319
formula ADM used for the purposes of payments under any section of	22320
Title XXXIII of the Revised Code be adjusted in the amount of the	22321
error.	22322

Sec. 3317.04.  The amount paid to school districts in each	22323
fiscal year under Chapter 3317. of the Revised Code shall not be	22324
less than the following:	22325

(A) In the case of a district created under section 3311.26	22326
or 3311.37 of the Revised Code, the amount paid shall not be less,	22327
in any of the three succeeding fiscal years following the	22328
creation, than the sum of the amounts allocated under Chapter	22329
3317. of the Revised Code to the districts separately in the year	22330
of the creation.	22331

(B) In the case of a school district which is transferred to	22332
another school district or districts, pursuant to section 3311.22,	22333
3311.231, or 3311.38 of the Revised Code, the amount paid to the	22334
district accepting the transferred territory shall not be less, in	22335
any of the three succeeding fiscal years following the transfer,	22336
than the sum of the amounts allocated under Chapter 3317. of the	22337
Revised Code to the districts separately in the year of the	22338
consummation of the transfer.	22339

(C) In the case of any school district, the amount paid under	22340
Chapter 3317. of the Revised Code to the district in the fiscal	22341
year of distribution shall not be less than that paid under such	22342
chapter in the preceding fiscal year, less any amount paid in that	22343
preceding fiscal year under section 3317.0216 of the Revised Code,	22344
if in the calendar year ending the thirty-first day of December	22345
preceding the fiscal year of distribution, the county auditor of	22346
the county to which the district has been assigned by the	22347
department of education for administrative purposes has completed	22348
reassessment of all real estate within the county, or the tax	22349
duplicate of that county was increased by the application of a	22350
uniform taxable value per cent of true value pursuant to a rule or	22351
order of the tax commissioner and the revised valuations were	22352
entered on the tax list and duplicate. Notwithstanding sections	22353
3311.22, 3311.231, 3311.26, 3311.37, and 3311.38 of the Revised	22354
Code, this minimum guarantee is applicable only during the fiscal	22355
year immediately following the reassessment or application.	22356

(D) In the case of any school district that has territory in	22357
three or more counties, each of which contains at least twenty per	22358
cent of the district's territory, the amount paid under Chapter	22359
3317. of the Revised Code to the district in the fiscal year of	22360
distribution shall not be less than that paid under such chapter	22361
in the preceding fiscal year, less any amount paid in that	22362
preceding fiscal year under section 3317.0216 of the Revised Code,	22363
if in the calendar year ending the thirty-first day of December	22364
preceding the fiscal year of distribution, the county auditor of	22365
any such county completed reassessment of all real estate within	22366
the county, or the tax duplicate of any such county was increased	22367
by the application of a uniform taxable value per cent of true	22368
value pursuant to a rule or order of the tax commissioner and the	22369
revised valuations were entered on the tax list and duplicate.	22370
Notwithstanding sections 3311.22, 3311.231, 3311.26, 3311.37, and	22371
3311.38 of the Revised Code, this minimum guarantee is applicable	22372
only during the fiscal year immediately following the reassessment	22373
or application.	22374

Notwithstanding sections 3311.22, 3311.231, 3311.26, 3311.37,	22375
and 3311.38 of the Revised Code, the minimum guarantees prescribed	22376
by divisions (A) and (B) of this section shall not affect the	22377
amount of aid received by a school district for more than three	22378
consecutive years.	22379

Sec. 3317.05.  (A) For the purpose of calculating payments	22380
under sections 3317.052 and 3317.053 of the Revised Code, the	22381
department of education shall determine for each institution, by	22382
the last day of January of each year and based on information	22383
certified under section 3317.03 of the Revised Code, the number of	22384
vocational education units or fractions of units approved by the	22385
department on the basis of standards and rules adopted by the	22386
state board of education. As used in this division, "institution"	22387
means an institution operated by a department specified in section	22388
3323.091 of the Revised Code and that provides vocational	22389
education programs under the supervision of the division of	22390
vocational education of the department that meet the standards	22391
and rules for these programs, including licensure of professional	22392
staff involved in the programs, as established by the state board.	22393

(B) For the purpose of calculating payments under sections	22394
3317.052, 3317.053, 3317.11, and 3317.19 of the Revised Code, the	22395
department shall determine, based on information certified under	22396
section 3317.03 of the Revised Code, the following by the last day	22397
of January of each year for each educational service center, for	22398
each school district, including each cooperative education school	22399
district, for each institution eligible for payment under section	22400
3323.091 of the Revised Code, and for each county MR/DD board: the	22401
number of classes operated by the school district, service center,	22402
institution, or county MR/DD board for handicapped preschool	22403
children, or fraction thereof, including in the case of a district	22404
or service center that is a funding agent, classes taught by a	22405
licensed teacher employed by that district or service center under	22406
section 3313.841 of the Revised Code, approved annually by the	22407
department on the basis of standards and rules adopted by the	22408
state board.	22409

(C) For the purpose of calculating payments under sections	22410
3317.052, 3317.053, 3317.11, and 3317.19 of the Revised Code, the	22411
department shall determine, based on information certified under	22412
section 3317.03 of the Revised Code, the following by the last day	22413
of January of each year for each school district, including each	22414
cooperative education school district, for each institution	22415
eligible for payment under section 3323.091 of the Revised Code,	22416
and for each county MR/DD board: the number of preschool	22417
handicapped units for related services, as defined in section	22418
3323.01 of the Revised Code, approved annually by the department	22419
on the basis of standards and rules adopted by the state board.	22420

(D) All of the arithmetical calculations made under this	22421
section shall be carried to the second decimal place. The total	22422
number of units for school districts, service centers, and	22423
institutions approved annually under this section shall not exceed	22424
the number of units included in the estimate of cost for these	22425
units and appropriations made for them by the general assembly.	22426

In the case of handicapped preschool units described in	22427
division (B) of this section, the department shall approve only	22428
preschool units for children who are under age six on the	22429
thirtieth day of September of the academic year, or on the first	22430
day of August of the academic year if the school district in which	22431
the child is enrolled has adopted a resolution under division	22432
(A)(3) of section 3321.01 of the Revised Code, but not less than	22433
age three on the first day of December of the academic year,	22434
except that such a unit may include one or more children who are	22435
under age three or are age six or over on the applicable date, as	22436
reported under division (B)(2) or (G)(2)(b) of section 3317.03 of	22437
the Revised Code, if such children have been admitted to the unit	22438
pursuant to rules of the state board. The number of units for	22439
county MR/DD boards and institutions eligible for payment under	22440
section 3323.091 of the Revised Code approved under this section	22441
shall not exceed the number that can be funded with appropriations	22442
made for such purposes by the general assembly.	22443

No unit shall be approved under divisions (B) and (C) of this	22444
section unless a plan has been submitted and approved under	22445
Chapter 3323. of the Revised Code.	22446

(E) The department shall approve units or fractions thereof	22447
for gifted children on the basis of standards and rules adopted by	22448
the state board.	22449

Sec. 3317.06.  Moneys paid to school districts under division	22450
(I) of section 3317.024 of the Revised Code shall be used for the	22451
following independent and fully severable purposes:	22452

(A) To purchase such secular textbooks or electronic	22453
textbooks as have been approved by the superintendent of public	22454
instruction for use in public schools in the state and to loan	22455
such textbooks or electronic textbooks to pupils attending	22456
nonpublic schools within the district or to their parents and to	22457
hire clerical personnel to administer such lending program. Such	22458
loans shall be based upon individual requests submitted by such	22459
nonpublic school pupils or parents. Such requests shall be	22460
submitted to the school district in which the nonpublic school is	22461
located. Such individual requests for the loan of textbooks or	22462
electronic textbooks shall, for administrative convenience, be	22463
submitted by the nonpublic school pupil or the pupil's parent to	22464
the nonpublic school, which shall prepare and submit collective	22465
summaries of the individual requests to the school district. As	22466
used in this section:	22467

(1) "Textbook" means any book or book substitute that a pupil	22468
uses as a consumable or nonconsumable text, text substitute, or	22469
text supplement in a particular class or program in the school the	22470
pupil regularly attends.	22471

(2) "Electronic textbook" means computer software,	22472
interactive videodisc, magnetic media, CD-ROM, computer	22473
courseware, local and remote computer assisted instruction,	22474
on-line service, electronic medium, or other means of conveying	22475
information to the student or otherwise contributing to the	22476
learning process through electronic means.	22477

(B) To provide speech and hearing diagnostic services to	22478
pupils attending nonpublic schools within the district. Such	22479
service shall be provided in the nonpublic school attended by the	22480
pupil receiving the service.	22481

(C) To provide physician, nursing, dental, and optometric	22482
services to pupils attending nonpublic schools within the	22483
district. Such services shall be provided in the school attended	22484
by the nonpublic school pupil receiving the service.	22485

(D) To provide diagnostic psychological services to pupils	22486
attending nonpublic schools within the district. Such services	22487
shall be provided in the school attended by the pupil receiving	22488
the service.	22489

(E) To provide therapeutic psychological and speech and	22490
hearing services to pupils attending nonpublic schools within the	22491
district. Such services shall be provided in the public school, in	22492
nonpublic schools, in public centers, or in mobile units located	22493
on or off of the nonpublic premises. If such services are provided	22494
in the public school or in public centers, transportation to and	22495
from such facilities shall be provided by the school district in	22496
which the nonpublic school is located.	22497

(F) To provide guidance and counseling services to pupils	22498
attending nonpublic schools within the district. Such services	22499
shall be provided in the public school, in nonpublic schools, in	22500
public centers, or in mobile units located on or off of the	22501
nonpublic premises. If such services are provided in the public	22502
school or in public centers, transportation to and from such	22503
facilities shall be provided by the school district in which the	22504
nonpublic school is located.	22505

(G) To provide remedial services to pupils attending	22506
nonpublic schools within the district. Such services shall be	22507
provided in the public school, in nonpublic schools, in public	22508
centers, or in mobile units located on or off of the nonpublic	22509
premises. If such services are provided in the public school or in	22510
public centers, transportation to and from such facilities shall	22511
be provided by the school district in which the nonpublic school	22512
is located.	22513

(H) To supply for use by pupils attending nonpublic schools	22514
within the district such standardized tests and scoring services	22515
as are in use in the public schools of the state;	22516

(I) To provide programs for children who attend nonpublic	22517
schools within the district and are handicapped children as	22518
defined in division (A) of section 3323.01 of the Revised Code or	22519
gifted children. Such programs shall be provided in the public	22520
school, in nonpublic schools, in public centers, or in mobile	22521
units located on or off of the nonpublic premises. If such	22522
programs are provided in the public school or in public centers,	22523
transportation to and from such facilities shall be provided by	22524
the school district in which the nonpublic school is located.	22525

(J) To hire clerical personnel to assist in the	22526
administration of programs pursuant to divisions (B), (C), (D),	22527
(E), (F), (G), and (I) of this section and to hire supervisory	22528
personnel to supervise the providing of services and textbooks	22529
pursuant to this section.	22530

(K) To purchase or lease any secular, neutral, and	22531
nonideological computer software (including site-licensing),	22532
prerecorded video laserdiscs, digital video on demand (DVD),	22533
compact discs, and video cassette cartridges, wide area	22534
connectivity and related technology as it relates to internet	22535
access, mathematics or science equipment and materials,	22536
instructional materials, and school library materials that are in	22537
general use in the public schools of the state and loan such items	22538
to pupils attending nonpublic schools within the district or to	22539
their parents, and to hire clerical personnel to administer the	22540
lending program. Only such items that are incapable of diversion	22541
to religious use and that are susceptible of loan to individual	22542
pupils and are furnished for the use of individual pupils shall be	22543
purchased and loaned under this division. As used in this section,	22544
"instructional materials" means prepared learning materials that	22545
are secular, neutral, and nonideological in character and are of	22546
benefit to the instruction of school children, and may include	22547
educational resources and services developed by the eTech Ohio	22548
commission.	22549

(L) To purchase or lease instructional equipment, including	22550
computer hardware and related equipment in general use in the	22551
public schools of the state, for use by pupils attending nonpublic	22552
schools within the district and to loan such items to pupils	22553
attending nonpublic schools within the district or to their	22554
parents, and to hire clerical personnel to administer the lending	22555
program.	22556

(M) To purchase mobile units to be used for the provision of	22557
services pursuant to divisions (E), (F), (G), and (I) of this	22558
section and to pay for necessary repairs and operating costs	22559
associated with these units.	22560

(N) To reimburse costs the district incurred to store the	22561
records of a chartered nonpublic school that closes.	22562
Reimbursements under this division shall be made one time only for	22563
each chartered nonpublic school that closes.	22564

Clerical and supervisory personnel hired pursuant to division	22565
(J) of this section shall perform their services in the public	22566
schools, in nonpublic schools, public centers, or mobile units	22567
where the services are provided to the nonpublic school pupil,	22568
except that such personnel may accompany pupils to and from the	22569
service sites when necessary to ensure the safety of the children	22570
receiving the services.	22571

All services provided pursuant to this section may be	22572
provided under contract with educational service centers, the	22573
department of health, city or general health districts, or private	22574
agencies whose personnel are properly licensed by an appropriate	22575
state board or agency.	22576

Transportation of pupils provided pursuant to divisions (E),	22577
(F), (G), and (I) of this section shall be provided by the school	22578
district from its general funds and not from moneys paid to it	22579
under division (I) of section 3317.024 of the Revised Code unless	22580
a special transportation request is submitted by the parent of the	22581
child receiving service pursuant to such divisions. If such an	22582
application is presented to the school district, it may pay for	22583
the transportation from moneys paid to it under division (I) of	22584
section 3317.024 of the Revised Code.	22585

No school district shall provide health or remedial services	22586
to nonpublic school pupils as authorized by this section unless	22587
such services are available to pupils attending the public schools	22588
within the district.	22589

Materials, equipment, computer hardware or software,	22590
textbooks, electronic textbooks, and health and remedial services	22591
provided for the benefit of nonpublic school pupils pursuant to	22592
this section and the admission of pupils to such nonpublic schools	22593
shall be provided without distinction as to race, creed, color, or	22594
national origin of such pupils or of their teachers.	22595

No school district shall provide services, materials, or	22596
equipment that contain religious content for use in religious	22597
courses, devotional exercises, religious training, or any other	22598
religious activity.	22599

As used in this section, "parent" includes a person standing	22600
in loco parentis to a child.	22601

Notwithstanding section 3317.01 of the Revised Code, payments	22602
shall be made under this section to any city, local, or exempted	22603
village school district within which is located one or more	22604
nonpublic elementary or high schools and any payments made to	22605
school districts under division (I) of section 3317.024 of the	22606
Revised Code for purposes of this section may be disbursed without	22607
submission to and approval of the controlling board.	22608

The allocation of payments for materials, equipment,	22609
textbooks, electronic textbooks, health services, and remedial	22610
services to city, local, and exempted village school districts	22611
shall be on the basis of the state board of education's estimated	22612
annual average daily membership in nonpublic elementary and high	22613
schools located in the district.	22614

Payments made to city, local, and exempted village school	22615
districts under this section shall be equal to specific	22616
appropriations made for the purpose. All interest earned by a	22617
school district on such payments shall be used by the district for	22618
the same purposes and in the same manner as the payments may be	22619
used.	22620

The department of education shall adopt guidelines and	22621
procedures under which such programs and services shall be	22622
provided, under which districts shall be reimbursed for	22623
administrative costs incurred in providing such programs and	22624
services, and under which any unexpended balance of the amounts	22625
appropriated by the general assembly to implement this section may	22626
be transferred to the auxiliary services personnel unemployment	22627
compensation fund established pursuant to section 4141.47 of the	22628
Revised Code. The department shall also adopt guidelines and	22629
procedures limiting the purchase and loan of the items described	22630
in division (K) of this section to items that are in general use	22631
in the public schools of the state, that are incapable of	22632
diversion to religious use, and that are susceptible to individual	22633
use rather than classroom use. Within thirty days after the end of	22634
each biennium, each board of education shall remit to the	22635
department all moneys paid to it under division (I) of section	22636
3317.024 of the Revised Code and any interest earned on those	22637
moneys that are not required to pay expenses incurred under this	22638
section during the biennium for which the money was appropriated	22639
and during which the interest was earned. If a board of education	22640
subsequently determines that the remittal of moneys leaves the	22641
board with insufficient money to pay all valid expenses incurred	22642
under this section during the biennium for which the remitted	22643
money was appropriated, the board may apply to the department of	22644
education for a refund of money, not to exceed the amount of the	22645
insufficiency. If the department determines the expenses were	22646
lawfully incurred and would have been lawful expenditures of the	22647
refunded money, it shall certify its determination and the amount	22648
of the refund to be made to the director of job and family	22649
services who shall make a refund as provided in section 4141.47 of	22650
the Revised Code.	22651

Each school district shall label materials, equipment,	22652
computer hardware or software, textbooks, and electronic textbooks	22653
purchased or leased for loan to a nonpublic school under this	22654
section, acknowledging that they were purchased or leased with	22655
state funds under this section. However, a district need not label	22656
materials, equipment, computer hardware or software, textbooks, or	22657
electronic textbooks that the district determines are consumable	22658
in nature or have a value of less than two hundred dollars.	22659

Sec. 3317.08.  A board of education may admit to its schools	22660
a child it is not required by section 3313.64 or 3313.65 of the	22661
Revised Code to admit, if tuition is paid for the child.	22662

Unless otherwise provided by law, tuition shall be computed	22663
in accordance with this section. A district's tuition charge for a	22664
school year shall be one of the following:	22665

(A) For any child, except a handicapped preschool child	22666
described in division (B) of this section, the quotient obtained	22667
by dividing the sum of the amounts described in divisions (A)(1)	22668
and (2) of this section by the district's formula ADM.	22669

(1) The district's total taxes charged and payable for	22670
current expenses for the tax year preceding the tax year in which	22671
the school year begins as certified under division (A)(3) of	22672
section 3317.021 of the Revised Code.	22673

(2) The district's total taxes collected for current expenses	22674
under a school district income tax adopted pursuant to section	22675
5748.03 or 5748.08 of the Revised Code that are disbursed to the	22676
district during the fiscal year. On or before the first day of	22677
June of each year, the tax commissioner shall certify the amount	22678
to be used in the calculation under this division for the next	22679
fiscal year to the department of education and the office of	22680
budget and management for each city, local, and exempted village	22681
school district that levies a school district income tax.	22682

(B) For any handicapped preschool child not included in a	22683
unit approved under division (B) of section 3317.05 of the Revised	22684
Code, an amount computed for the school year as follows:	22685

(1) For each type of special education service provided to	22686
the child for whom tuition is being calculated, determine the	22687
amount of the district's operating expenses in providing that type	22688
of service to all handicapped preschool children not included in	22689
units approved under division (B) of section 3317.05 of the	22690
Revised Code;	22691

(2) For each type of special education service for which	22692
operating expenses are determined under division (B)(1) of this	22693
section, determine the amount of such operating expenses that was	22694
paid from any state funds received under this chapter;	22695

(3) For each type of special education service for which	22696
operating expenses are determined under division (B)(1) of this	22697
section, divide the difference between the amount determined under	22698
division (B)(1) of this section and the amount determined under	22699
division (B)(2) of this section by the total number of handicapped	22700
preschool children not included in units approved under division	22701
(B) of section 3317.05 of the Revised Code who received that type	22702
of service;	22703

(4) Determine the sum of the quotients obtained under	22704
division (B)(3) of this section for all types of special education	22705
services provided to the child for whom tuition is being	22706
calculated.	22707

The state board of education shall adopt rules defining the	22708
types of special education services and specifying the operating	22709
expenses to be used in the computation under this section.	22710

If any child for whom a tuition charge is computed under this	22711
section for any school year is enrolled in a district for only	22712
part of that school year, the amount of the district's tuition	22713
charge for the child for the school year shall be computed in	22714
proportion to the number of school days the child is enrolled in	22715
the district during the school year.	22716

Except as otherwise provided in division (J) of section	22717
3313.64 of the Revised Code, whenever a district admits a child to	22718
its schools for whom tuition computed in accordance with this	22719
section is an obligation of another school district, the amount of	22720
the tuition shall be certified by the treasurer of the board of	22721
education of the district of attendance, to the board of education	22722
of the district required to pay tuition for its approval and	22723
payment. If agreement as to the amount payable or the district	22724
required to pay the tuition cannot be reached, or the board of	22725
education of the district required to pay the tuition refuses to	22726
pay that amount, the board of education of the district of	22727
attendance shall notify the superintendent of public instruction.	22728
The superintendent shall determine the correct amount and the	22729
district required to pay the tuition and shall deduct that amount,	22730
if any, under division (G) of section 3317.023 of the Revised	22731
Code, from the district required to pay the tuition and add that	22732
amount to the amount allocated to the district attended under such	22733
division. The superintendent of public instruction shall send to	22734
the district required to pay the tuition an itemized statement	22735
showing such deductions at the time of such deduction.	22736

When a political subdivision owns and operates an airport,	22737
welfare, or correctional institution or other project or facility	22738
outside its corporate limits, the territory within which the	22739
facility is located is exempt from taxation by the school district	22740
within which such territory is located, and there are school age	22741
children residing within such territory, the political subdivision	22742
owning such tax exempt territory shall pay tuition to the district	22743
in which such children attend school. The tuition for these	22744
children shall be computed as provided for in this section.	22745

Sec. 3317.14.  Any school district board of education or	22746
educational service center governing board participating in funds	22747
distributed under Chapter 3317. of the Revised Code shall annually	22748
adopt a teachers' salary schedule with provision for increments	22749
based upon training and years of service. Notwithstanding	22750
sections 3317.13 and 3319.088 of the Revised Code, the board may	22751
establish its own service requirements and may grant service	22752
credit for such activities as teaching in public or nonpublic	22753
schools in this state or in another state, for service as an	22754
educational assistant other than as a classroom aide employed in	22755
accordance with section 5107.5415107.47 of the Revised Code, and	22756
for service in the military or in an appropriate state or federal	22757
governmental agency, provided no teacher receives less than the	22758
amount required to be paid pursuant to section 3317.13 of the	22759
Revised Code and provided full credit for a minimum of five years	22760
of actual teaching and military experience as defined in division	22761
(A) of section 3317.13 of the Revised Code is given to each	22762
teacher.	22763

On the fifteenth day of October of each year the salary	22764
schedule in effect on that date in each school district and each	22765
educational service center shall be filed with the superintendent	22766
of public instruction. A copy of such schedule shall also annually	22767
be filed by the board of education of each local school district	22768
with the educational service center superintendent, who thereupon	22769
shall certify to the treasurer of such local district the correct	22770
salary to be paid to each teacher in accordance with the adopted	22771
schedule.	22772

Each teacher who has completed training which would qualify	22773
such teacher for a higher salary bracket pursuant to this section	22774
shall file by the fifteenth day of September with the treasurer of	22775
the board of education or educational service center satisfactory	22776
evidence of the completion of such additional training. The	22777
treasurer shall then immediately place the teacher, pursuant to	22778
this section and section 3317.13 of the Revised Code, in the	22779
proper salary bracket in accordance with training and years of	22780
service before certifying such salary, training, and years of	22781
service to the superintendent of public instruction. No teacher	22782
shall be paid less than the salary to which such teacher is	22783
entitled pursuant to section 3317.13 of the Revised Code.	22784

Sec. 3317.16.  (A) As used in this section:

22785

(1) "State share percentage" means the percentage calculated	22786
for a joint vocational school district as follows:	22787

(a) Calculate the state base cost funding amount for the	22788
district under division (B) of this section. If the district would	22789
not receive any base cost funding for that year under that	22790
division, the district's state share percentage is zero.	22791

(b) If the district would receive base cost funding under	22792
that division, divide that base cost amount by an amount equal to	22793
the following:	22794

cost-of-doing-business factor X

22795

the formula amount X

22796

formula ADM

22797

The resultant number is the district's state share	22798
percentage.	22799

(2) The "total special education weight" for a joint	22800
vocational school district shall be calculated in the same manner	22801
as prescribed in division (B)(1) of section 3317.022 of the	22802
Revised Code.	22803

(3) The "total vocational education weight" for a joint	22804
vocational school district shall be calculated in the same manner	22805
as prescribed in division (B)(4) of section 3317.022 of the	22806
Revised Code.	22807

(4) The "total recognized valuation" of a joint vocational	22808
school district shall be determined by adding the recognized	22809
valuations of all its constituent school districts for the	22810
applicable fiscal year.	22811

(5) "Resident district" means the city, local, or exempted	22812
village school district in which a student is entitled to attend	22813
school under section 3313.64 or 3313.65 of the Revised Code.	22814

(6) "Community school" means a community school established	22815
under Chapter 3314. of the Revised Code.	22816

(B) The department of education shall compute and distribute	22817
state base cost funding to each joint vocational school district	22818
for the fiscal year in accordance with division (B) of this	22819
section.	22820

(1) Compute the following for each eligible districtformula:

22821

(cost-of-doing-business factor X

22822

formula amount X

22823

formula ADM) -

22824

(.0005 X total recognized valuation)

22825

If the difference obtained under this division is a negative	22826
number, the district's computation shall be zero.	22827

(2) Compute both of the following for each district:

22828

(a) The difference of (i) the district's fiscal year 2005	22829
base cost payment under the version of division (B) of this	22830
section in effect in fiscal year 2005, minus (ii) the amount	22831
computed for the district for the current fiscal year under	22832
current division (B)(1) of this section;	22833

(b) The following amount:

22834

[(fiscal year 2005 base cost payment/fiscal year 2005 formula

22835

ADM) X current year formula ADM] minus the amount computed for

22836

the district under current division (B)(1) of this section

22837

If one of the amounts computed under division (B)(2)(a) or	22838
(b) of this section is a positive amount, the department shall pay	22839
the district that amount in addition to the amount calculated	22840
under division (B)(1) of this section. If both amounts are	22841
positive amounts, the department shall pay the district the lesser	22842
of the two amounts in addition to the amount calculated under	22843
division (B)(1) of this section.	22844

(C)(1) The department shall compute and distribute state	22845
vocational education additional weighted costs funds to each joint	22846
vocational school district in accordance with the following	22847
formula:	22848

state share percentage X formula amount X

22849

total vocational education weight

22850

In each fiscal year, a joint vocational school district	22851
receiving funds under division (C)(1) of this section shall spend	22852
those funds only for the purposes the department designates as	22853
approved for vocational education expenses. Vocational educational	22854
expenses approved by the department shall include only expenses	22855
connected to the delivery of career-technical programming to	22856
career-technical students. The department shall require the joint	22857
vocational school district to report data annually so that the	22858
department may monitor the district's compliance with the	22859
requirements regarding the manner in which funding received under	22860
division (C)(1) of this section may be spent.	22861

(2) The department shall compute for each joint vocational	22862
school district state funds for vocational education associated	22863
services costs in accordance with the following formula:	22864

state share percentage X .05 X

22865

the formula amount X the sum of

22866

categories one and two vocational

22867

education ADM

22868

In any fiscal year, a joint vocational school district	22869
receiving funds under division (C)(2) of this section, or through	22870
a transfer of funds pursuant to division (L) of section 3317.023	22871
of the Revised Code, shall spend those funds only for the purposes	22872
that the department designates as approved for vocational	22873
education associated services expenses, which may include such	22874
purposes as apprenticeship coordinators, coordinators for other	22875
vocational education services, vocational evaluation, and other	22876
purposes designated by the department. The department may deny	22877
payment under division (C)(2) of this section to any district that	22878
the department determines is not operating those services or is	22879
using funds paid under division (C)(2) of this section, or through	22880
a transfer of funds pursuant to division (L) of section 3317.023	22881
of the Revised Code, for other purposes.	22882

(D)(1) The department shall compute and distribute state	22883
special education and related services additional weighted costs	22884
funds to each joint vocational school district in accordance with	22885
the following formula:	22886

state share percentage X formula amount X

22887

total special education weight

22888

(2)(a) As used in this division, the "personnel allowance"	22889
means thirty thousand dollars in fiscal years 2002, 2003, 2004,	22890
2005, 2006, and 20072008 and 2009.	22891

(b) For the provision of speech language pathology services	22892
to students, including students who do not have individualized	22893
education programs prepared for them under Chapter 3323. of the	22894
Revised Code, and for no other purpose, the department shall pay	22895
each joint vocational school district an amount calculated under	22896
the following formula:	22897

(formula ADM divided by 2000) X the personnel

22898

allowance X state share percentage

22899

(3) In any fiscal year, a joint vocational school district	22900
shall spend for purposes that the department designates as	22901
approved for special education and related services expenses at	22902
least the amount calculated as follows:	22903

(cost-of-doing-business factor X formula amount

22904

X the sum of categories one through

22905

six special education ADM) +

22906

(total special education weight X

22907

formula amount)

22908

The purposes approved by the department for special education	22909
expenses shall include, but shall not be limited to, compliance	22910
with state rules governing the education of handicapped children,	22911
providing services identified in a student's individualized	22912
education program as defined in section 3323.01 of the Revised	22913
Code, provision of speech language pathology services, and the	22914
portion of the district's overall administrative and overhead	22915
costs that are attributable to the district's special education	22916
student population.	22917

The department shall require joint vocational school	22918
districts to report data annually to allow for monitoring	22919
compliance with division (D)(3) of this section. The department	22920
shall annually report to the governor and the general assembly the	22921
amount of money spent by each joint vocational school district for	22922
special education and related services.	22923

(4) In any fiscal year, a joint vocational school district	22924
shall spend for the provision of speech language pathology	22925
services not less than the sum of the amount calculated under	22926
division (D)(1) of this section for the students in the district's	22927
category one special education ADM and the amount calculated under	22928
division (D)(2) of this section.	22929

(E)(1) If a joint vocational school district's costs for a	22930
fiscal year for a student in its categories two through six	22931
special education ADM exceed the threshold catastrophic cost for	22932
serving the student, as specified in division (C)(3)(b) of section	22933
3317.022 of the Revised Code, the district may submit to the	22934
superintendent of public instruction documentation, as prescribed	22935
by the superintendent, of all of its costs for that student. Upon	22936
submission of documentation for a student of the type and in the	22937
manner prescribed, the department shall pay to the district an	22938
amount equal to the sum of the following:	22939

(a) One-half of the district's costs for the student in	22940
excess of the threshold catastrophic cost;	22941

(b) The product of one-half of the district's costs for the	22942
student in excess of the threshold catastrophic cost multiplied by	22943
the district's state share percentage.	22944

(2) The district shall only report under division (E)(1) of	22945
this section, and the department shall only pay for, the costs of	22946
educational expenses and the related services provided to the	22947
student in accordance with the student's individualized education	22948
program. Any legal fees, court costs, or other costs associated	22949
with any cause of action relating to the student may not be	22950
included in the amount.	22951

(F) Each fiscal year, the department shall pay each joint	22952
vocational school district an amount for adult technical and	22953
vocational education and specialized consultants.	22954

(G)(1) A joint vocational school district's local share of	22955
special education and related services additional weighted costs	22956
equals:	22957

(1 - state share percentage) X

22958

Total special education weight X

22959

the formula amount

22960

(2) For each handicapped student receiving special education	22961
and related services under an individualized education program, as	22962
defined in section 3323.01 of the Revised Code, at a joint	22963
vocational district, the resident district or, if the student is	22964
enrolled in a community school, the community school shall be	22965
responsible for the amount of any costs of providing those special	22966
education and related services to that student that exceed the sum	22967
of the amount calculated for those services attributable to that	22968
student under divisions (B), (D), (E), and (G)(1) of this section.	22969

Those excess costs shall be calculated by subtracting the sum	22970
of the following from the actual cost to provide special education	22971
and related services to the student:	22972

(a) The product of the formula amount times the	22973
cost-of-doing-business factor;	22974

(b) The product of the formula amount times the applicable	22975
multiple specified in section 3317.013 of the Revised Code;	22976

(c) Any funds paid under division (E) of this section for the	22977
student;	22978

(d) Any other funds received by the joint vocational school	22979
district under this chapter to provide special education and	22980
related services to the student, not including the amount	22981
calculated under division (G)(2) of this section.	22982

(3) The board of education of the joint vocational school	22983
district may report the excess costs calculated under division	22984
(G)(2) of this section to the department of education.	22985

(4) If the board of education of the joint vocational school	22986
district reports excess costs under division (G)(3) of this	22987
section, the department shall pay the amount of excess cost	22988
calculated under division (G)(2) of this section to the joint	22989
vocational school district and shall deduct that amount as	22990
provided in division (G)(4)(a) or (b) of this section, as	22991
applicable:	22992

(a) If the student is not enrolled in a community school, the	22993
department shall deduct the amount from the account of the	22994
student's resident district pursuant to division (M) of section	22995
3317.023 of the Revised Code.	22996

(b) If the student is enrolled in a community school, the	22997
department shall deduct the amount from the account of the	22998
community school pursuant to section 3314.083 of the Revised Code.	22999

Sec. 3317.20.  This section does not apply to handicapped	23000
preschool children.	23001

(A) As used in this section:

23002

(1) "Applicable weight" means the multiple specified in	23003
section 3317.013 of the Revised Code for a handicap described in	23004
that section.	23005

(2) "Child's school district" means the school district in	23006
which a child is entitled to attend school pursuant to section	23007
3313.64 or 3313.65 of the Revised Code.	23008

(3) "State share percentage" means the state share percentage	23009
of the child's school district as defined in section 3317.022 of	23010
the Revised Code.	23011

(B) Except as provided in division (C) of this section, the	23012
department shall annually pay each county MR/DD board for each	23013
handicapped child, other than a handicapped preschool child, for	23014
whom the county MR/DD board provides special education and related	23015
services the greater of the amount calculated under division	23016
(B)(1) or (2) of this section:	23017

(1) (The formula amount for fiscal year 2005 X the	23018
cost-of-doing-business factor for the child's school district for	23019
fiscal year 2005) + (state share percentage for fiscal year 2005 X	23020
formula amount for fiscal year 2005 X the applicable weight);	23021

(2) (The currentan amount equal to the formula amount times	23022
the current cost-of-doing-business factor for the child's school	23023
district) + (state share percentage X current formula amount X the	23024
applicable weight).	23025

(C) If any school district places with a county MR/DD board	23026
more handicapped children than it had placed with a county MR/DD	23027
board in fiscal year 1998, the department shall not make a payment	23028
under division (B) of this section for the number of children	23029
exceeding the number placed in fiscal year 1998. The department	23030
instead shall deduct from the district's payments under this	23031
chapter, and pay to the county MR/DD board, an amount calculated	23032
in accordance with the formula prescribed in division (B) of this	23033
section for each child over the number of children placed in	23034
fiscal year 1998.	23035

(D) The department shall calculate for each county MR/DD	23036
board receiving payments under divisions (B) and (C) of this	23037
section the following amounts:	23038

(1) The amount received by the county MR/DD board for	23039
approved special education and related services units, other than	23040
preschool handicapped units, in fiscal year 1998, divided by the	23041
total number of children served in the units that year;	23042

(2) The product of the quotient calculated under division	23043
(D)(1) of this section times the number of children for whom	23044
payments are made under divisions (B) and (C) of this section.	23045

If the amount calculated under division (D)(2) of this	23046
section is greater than the total amount calculated under	23047
divisions (B) and (C) of this section, the department shall pay	23048
the county MR/DD board one hundred per cent of the difference in	23049
addition to the payments under divisions (B) and (C) of this	23050
section.	23051

Sec. 3317.201. This section does not apply to handicapped	23052
preschool children.	23053

(A) As used in this section, the "total special education	23054
weight" for an institution means the sum of the following amounts:	23055

(1) The number of children reported by the institution under	23056
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as	23057
receiving services for a handicap described in division (A) of	23058
section 3317.013 of the Revised Code multiplied by the multiple	23059
specified in that division;	23060

(2) The number of children reported by the institution under	23061
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as	23062
receiving services for a handicap described in division (B) of	23063
section 3317.013 of the Revised Code multiplied by the multiple	23064
specified in that division;	23065

(3) The number of children reported by the institution under	23066
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as	23067
receiving services for a handicap described in division (C) of	23068
section 3317.013 of the Revised Code multiplied by the multiple	23069
specified in that division;	23070

(4) The number of children reported by the institution under	23071
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as	23072
receiving services for a handicap described in division (D) of	23073
section 3317.013 of the Revised Code multiplied by the multiple	23074
specified in that division;	23075

(5) The number of children reported by the institution under	23076
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as	23077
receiving services for a handicap described in division (E) of	23078
section 3317.013 of the Revised Code multiplied by the multiple	23079
specified in that division;	23080

(6) The number of children reported by the institution under	23081
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as	23082
receiving services for a handicap described in division (F) of	23083
section 3317.013 of the Revised Code multiplied by the multiple	23084
specified in that division.	23085

(B) TheFor each fiscal year, the department of education	23086
annually shall pay each state institution required to provide	23087
special education services under division (A) of section 3323.091	23088
of the Revised Code an amount equal to the greater of:	23089

(1) The formula amount times the institution's total special	23090
education weight;	23091

(2) The aggregate amount of special education and related	23092
services unit funding the institution received for all handicapped	23093
children other than handicapped preschool children in fiscal year	23094
2005 under sections 3317.052 and 3317.053 of the Revised Code, as	23095
those sections existed prior to the effective date of this section	23096
June 30, 2005.	23097

Sec. 3318.08.  Except in the case of a joint vocational	23098
school district that receives assistance under sections 3318.40 to	23099
3318.45 of the Revised Code, if the requisite favorable vote on	23100
the election is obtained, or if the school district board has	23101
resolved to apply the proceeds of a property tax levy or the	23102
proceeds of an income tax, or a combination of proceeds from such	23103
taxes, as authorized in section 3318.052 of the Revised Code, the	23104
Ohio school facilities commission, upon certification to it of	23105
either the results of the election or the resolution under section	23106
3318.052 of the Revised Code, shall enter into a written agreement	23107
with the school district board for the construction and sale of	23108
the project. In the case of a joint vocational school district	23109
that receives assistance under sections 3318.40 to 3318.45 of the	23110
Revised Code, if the school district board of education and the	23111
school district electors have satisfied the conditions prescribed	23112
in division (D)(1) of section 3318.41 of the Revised Code, the	23113
commission shall enter into an agreement with the school district	23114
board for the construction and sale of the project. In either	23115
case, the agreement shall include, but need not be limited to, the	23116
following provisions:	23117

(A) The sale and issuance of bonds or notes in anticipation	23118
thereof, as soon as practicable after the execution of the	23119
agreement, in an amount equal to the school district's portion of	23120
the basic project cost, including any securities authorized under	23121
division (J) of section 133.06 of the Revised Code and dedicated	23122
by the school district board to payment of the district's portion	23123
of the basic project cost of the project; provided, that if at	23124
that time the county treasurer of each county in which the school	23125
district is located has not commenced the collection of taxes on	23126
the general duplicate of real and public utility property for the	23127
year in which the controlling board approved the project, the	23128
school district board shall authorize the issuance of a first	23129
installment of bond anticipation notes in an amount specified by	23130
the agreement, which amount shall not exceed an amount necessary	23131
to raise the net bonded indebtedness of the school district as of	23132
the date of the controlling board's approval to within five	23133
thousand dollars of the required level of indebtedness for the	23134
preceding year. In the event that a first installment of bond	23135
anticipation notes is issued, the school district board shall, as	23136
soon as practicable after the county treasurer of each county in	23137
which the school district is located has commenced the collection	23138
of taxes on the general duplicate of real and public utility	23139
property for the year in which the controlling board approved the	23140
project, authorize the issuance of a second and final installment	23141
of bond anticipation notes or a first and final issue of bonds.	23142

The combined value of the first and second installment of	23143
bond anticipation notes or the value of the first and final issue	23144
of bonds shall be equal to the school district's portion of the	23145
basic project cost. The proceeds of any such bonds shall be used	23146
first to retire any bond anticipation notes. Otherwise, the	23147
proceeds of such bonds and of any bond anticipation notes, except	23148
the premium and accrued interest thereon, shall be deposited in	23149
the school district's project construction fund. In determining	23150
the amount of net bonded indebtedness for the purpose of fixing	23151
the amount of an issue of either bonds or bond anticipation notes,	23152
gross indebtedness shall be reduced by moneys in the bond	23153
retirement fund only to the extent of the moneys therein on the	23154
first day of the year preceding the year in which the controlling	23155
board approved the project. Should there be a decrease in the tax	23156
valuation of the school district so that the amount of	23157
indebtedness that can be incurred on the tax duplicates for the	23158
year in which the controlling board approved the project is less	23159
than the amount of the first installment of bond anticipation	23160
notes, there shall be paid from the school district's project	23161
construction fund to the school district's bond retirement fund to	23162
be applied against such notes an amount sufficient to cause the	23163
net bonded indebtedness of the school district, as of the first	23164
day of the year following the year in which the controlling board	23165
approved the project, to be within five thousand dollars of the	23166
required level of indebtedness for the year in which the	23167
controlling board approved the project. The maximum amount of	23168
indebtedness to be incurred by any school district board as its	23169
share of the cost of the project is either an amount that will	23170
cause its net bonded indebtedness, as of the first day of the year	23171
following the year in which the controlling board approved the	23172
project, to be within five thousand dollars of the required level	23173
of indebtedness, or an amount equal to the required percentage of	23174
the basic project costs, whichever is greater. All bonds and bond	23175
anticipation notes shall be issued in accordance with Chapter 133.	23176
of the Revised Code, and notes may be renewed as provided in	23177
section 133.22 of the Revised Code.	23178

(B) The transfer of such funds of the school district board	23179
available for the project, together with the proceeds of the sale	23180
of the bonds or notes, except premium, accrued interest, and	23181
interest included in the amount of the issue, to the school	23182
district's project construction fund;	23183

(C) For all school districts except joint vocational school	23184
districts that receive assistance under sections 3318.40 to	23185
3318.45 of the Revised Code, the following provisions as	23186
applicable:	23187

(1) If section 3318.052 of the Revised Code applies, the	23188
earmarking of the proceeds of a tax levied under section 5705.21	23189
of the Revised Code for general permanent improvements or under	23190
section 5705.218 of the Revised Code for the purpose of permanent	23191
improvements, or the proceeds of a school district income tax	23192
levied under Chapter 5748. of the Revised Code, or the proceeds	23193
from a combination of those two taxes, in an amount to pay all or	23194
part of the service charges on bonds issued to pay the school	23195
district portion of the project and an amount equivalent to all or	23196
part of the tax required under division (B) of section 3318.05 of	23197
the Revised Code;	23198

(2) If section 3318.052 of the Revised Code does not apply,	23199
one of the following:	23200

(a) The levy of the tax authorized at the election for the	23201
payment of maintenance costs, as specified in division (B) of	23202
section 3318.05 of the Revised Code;	23203

(b) If the school district electors have approved a	23204
continuing tax for general permanent improvements under section	23205
5705.21 of the Revised Code and that tax can be used for	23206
maintenance, the earmarking of an amount of the proceeds from such	23207
tax for maintenance of classroom facilities as specified in	23208
division (B) of section 3318.05 of the Revised Code;	23209

(c) If, in lieu of the tax otherwise required under division	23210
(B) of section 3318.05 of the Revised Code, the commission has	23211
approved the transfer of money to the maintenance fund in	23212
accordance with section 3318.051 of the Revised Code, a	23213
requirement that the district board comply with the provisions	23214
that section. The district board may rescind the provision	23215
prescribed under division (C)(2)(c) of this section only so long	23216
as the electors of the district have approved, in accordance with	23217
section 3318.063 of the Revised Code, the levy of a tax for the	23218
maintenance of the classroom facilities acquired under the	23219
district's project and that levy continues to be collected as	23220
approved by the electors.	23221

(D) For joint vocational school districts that receive	23222
assistance under sections 3318.40 to 3318.45 of the Revised Code,	23223
provision for deposit of school district moneys dedicated to	23224
maintenance of the classroom facilities acquired under those	23225
sections as prescribed in section 3318.43 of the Revised Code;	23226

(E) Dedication of any local donated contribution as provided	23227
for under section 3318.084 of the Revised Code, including a	23228
schedule for depositing such moneys applied as an offset of the	23229
district's obligation to levy the tax described in division (B) of	23230
section 3318.05 of the Revised Code as required under division	23231
(D)(2) of section 3318.084 of the Revised Code;	23232

(F) Ownership of or interest in the project during the period	23233
of construction, which shall be divided between the commission and	23234
the school district board in proportion to their respective	23235
contributions to the school district's project construction fund;	23236

(G) Maintenance of the state's interest in the project until	23237
any obligations issued for the project under section 3318.26 of	23238
the Revised Code are no longer outstanding;	23239

(H) The insurance of the project by the school district from	23240
the time there is an insurable interest therein and so long as the	23241
state retains any ownership or interest in the project pursuant to	23242
division (F) of this section, in such amounts and against such	23243
risks as the commission shall require; provided, that the cost of	23244
any required insurance until the project is completed shall be a	23245
part of the basic project cost;	23246

(I) The certification by the director of budget and	23247
management that funds are available and have been set aside to	23248
meet the state's share of the basic project cost as approved by	23249
the controlling board pursuant to either section 3318.04 or	23250
division (B)(1) of section 3318.41 of the Revised Code;	23251

(J) Authorization of the school district board to advertise	23252
for and receive construction bids for the project, for and on	23253
behalf of the commission, and to award contracts in the name of	23254
the state subject to approval by the commission;	23255

(K) Provisions for the disbursement of moneys from the school	23256
district's project account upon issuance by the commission or the	23257
commission's designated representative of vouchers for work done	23258
to be certified to the commission by the treasurer of the school	23259
district board;	23260

(L) Disposal of any balance left in the school district's	23261
project construction fund upon completion of the project;	23262

(M) Limitations upon use of the project or any part of it so	23263
long as any obligations issued to finance the project under	23264
section 3318.26 of the Revised Code are outstanding;	23265

(N) Provision for vesting the state's interest in the project	23266
to the school district board when the obligations issued to	23267
finance the project under section 3318.26 of the Revised Code are	23268
outstanding;	23269

(O) Provision for deposit of an executed copy of the	23270
agreement in the office of the commission;	23271

(P) Provision for termination of the contract and release of	23272
the funds encumbered at the time of the conditional approval, if	23273
the proceeds of the sale of the bonds of the school district board	23274
are not paid into the school district's project construction fund	23275
and if bids for the construction of the project have not been	23276
taken within such period after the execution of the agreement as	23277
may be fixed by the commission;	23278

(Q) Provision for the school district to maintain the project	23279
in accordance with a plan approved by the commission;	23280

(R)(1) For all school districts except a district undertaking	23281
a project under section 3318.38 of the Revised Code or a joint	23282
vocational school district undertaking a project under sections	23283
3318.40 to 3318.45 of the Revised Code, provision that all state	23284
funds reserved and encumbered to pay the state share of the cost	23285
of the project pursuant to section 3318.03 of the Revised Code be	23286
spent on the construction or acquisition of the project prior to	23287
the expenditure of any funds provided by the school district to	23288
pay for its share of the project cost, unless the school district	23289
certifies to the commission that expenditure by the school	23290
district is necessary to maintain the tax-exempt status of notes	23291
or bonds issued by the school district to pay for its share of the	23292
project cost or to comply with applicable temporary investment	23293
periods or spending exceptions to rebate as provided for under	23294
federal law in regard to those notes or bonds, in which cases, the	23295
school district may commit to spend, or spend, a portion of the	23296
funds it provides;	23297

(2) For a school district undertaking a project under section	23298
3318.38 of the Revised Code or a joint vocational school district	23299
undertaking a project under sections 3318.40 to 3318.45 of the	23300
Revised Code, provision that the state funds reserved and	23301
encumbered and the funds provided by the school district to pay	23302
the basic project cost of any segment of the project, or of the	23303
entire project if it is not divided into segments, be spent on the	23304
construction and acquisition of the project simultaneously in	23305
proportion to the state's and the school district's respective	23306
shares of that basic project cost as determined under section	23307
3318.032 of the Revised Code or, if the district is a joint	23308
vocational school district, under section 3318.42 of the Revised	23309
Code.	23310

(S) A provision stipulating that the commission may prohibit	23311
the district from proceeding with any project if the commission	23312
determines that the site is not suitable for construction	23313
purposes. The commission may perform soil tests in its	23314
determination of whether a site is appropriate for construction	23315
purposes.	23316

(T) A provision stipulating that, unless otherwise authorized	23317
by the commission, any contingency reserve portion of the	23318
construction budget prescribed by the commission shall be used	23319
only to pay costs resulting from unforeseen job conditions, to	23320
comply with rulings regarding building and other codes, to pay	23321
costs related to design clarifications or corrections to contract	23322
documents, and to pay the costs of settlements or judgments	23323
related to the project as provided under section 3318.086 of the	23324
Revised Code;	23325

(U) Provision stipulating that for continued release of	23326
project funds the school district board shall comply with section	23327
3313.41 of the Revised Code throughout the project and shall	23328
notify the department of education and the Ohio community school	23329
association when the board plans to dispose of facilities by sale	23330
under that section;	23331

(V) Provision that the commission shall not approve a	23332
contract for demolition of a facility until the school district	23333
board has complied with section 3313.41 of the Revised Code	23334
relative to that facility, unless demolition of that facility is	23335
to clear a site for construction of a replacement facility	23336
included in the district's project.	23337

Sec. 3318.15.  There is hereby created the public school	23338
building fund within the state treasury consisting of any moneys	23339
transferred or appropriated to the fund by the general assembly,	23340
moneys paid into or transferred in accordance with section 3318.47	23341
of the Revised Code, and any grants, gifts, or contributions	23342
received by the Ohio school facilities commission to be used for	23343
the purposes of the fund. All investment earnings of the fund	23344
shall be credited to the fund.	23345

Moneys transferred or appropriated to the fund by the general	23346
assembly and moneys in the fund from grants, gifts, and	23347
contributions shall be used for the purposes of Chapter 3318. of	23348
the Revised Code as prescribed by the general assembly.	23349

Sec. 3318.26.  (A) The provisions of this section apply only	23350
to obligations issued by the issuing authority prior to December	23351
1, 1999.	23352

(B) Subject to the limitations provided in section 3318.29 of	23353
the Revised Code, the issuing authority, upon the certification by	23354
the Ohio school facilities commission to the issuing authority of	23355
the amount of moneys or additional moneys needed in the school	23356
building program assistance fund for the purposes of sections	23357
3318.01 to 3318.20 and sections 3318.40 to 3318.45 of the Revised	23358
Code, or needed for capitalized interest, for funding reserves,	23359
and for paying costs and expenses incurred in connection with the	23360
issuance, carrying, securing, paying, redeeming, or retirement of	23361
the obligations or any obligations refunded thereby, including	23362
payment of costs and expenses relating to letters of credit, lines	23363
of credit, insurance, put agreements, standby purchase agreements,	23364
indexing, marketing, remarketing and administrative arrangements,	23365
interest swap or hedging agreements, and any other credit	23366
enhancement, liquidity, remarketing, renewal, or refunding	23367
arrangements, all of which are authorized by this section, shall	23368
issue obligations of the state under this section in the required	23369
amount. The proceeds of such obligations, except for obligations	23370
issued to provide moneys for the school building program	23371
assistance fund shall be deposited by the treasurer of state in	23372
special funds, including reserve funds, as provided in the bond	23373
proceedings. The issuing authority may appoint trustees, paying	23374
agents, and transfer agents and may retain the services of	23375
financial advisors and accounting experts and retain or contract	23376
for the services of marketing, remarketing, indexing, and	23377
administrative agents, other consultants, and independent	23378
contractors, including printing services, as are necessary in the	23379
issuing authority's judgment to carry out this section. The costs	23380
of such services are payable from the school building program	23381
assistance fund or any special fund determined by the issuing	23382
authority.	23383

(C) The holders or owners of such obligations shall have no	23384
right to have moneys raised by taxation obligated or pledged, and	23385
moneys raised by taxation shall not be obligated or pledged, for	23386
the payment of bond service charges. Such holders or owners shall	23387
have no rights to payment of bond service charges from any money	23388
or property received by the commission, treasurer of state, or the	23389
state, or from any other use of the proceeds of the sale of the	23390
obligations, and no such moneys may be used for the payment of	23391
bond service charges, except for accrued interest, capitalized	23392
interest, and reserves funded from proceeds received upon the sale	23393
of the obligations and except as otherwise expressly provided in	23394
the applicable bond proceedings pursuant to written directions by	23395
the treasurer of state. The right of such holders and owners to	23396
payment of bond service charges shall be limited to all or that	23397
portion of the pledged receipts and those special funds pledged	23398
thereto pursuant to the bond proceedings in accordance with this	23399
section, and each such obligation shall bear on its face a	23400
statement to that effect.	23401

(D) Obligations shall be authorized by resolution or order of	23402
the issuing authority and the bond proceedings shall provide for	23403
the purpose thereof and the principal amount or amounts, and shall	23404
provide for or authorize the manner or agency for determining the	23405
principal maturity or maturities, not exceeding the limits	23406
specified in section 3318.29 of the Revised Code, the interest	23407
rate or rates or the maximum interest rate, the date of the	23408
obligations and the dates of payment of interest thereon, their	23409
denomination, and the establishment within or without the state of	23410
a place or places of payment of bond service charges. Sections	23411
9.98 to 9.983 of the Revised Code are applicable to obligations	23412
issued under this section, subject to any applicable limitation	23413
under section 3318.29 of the Revised Code. The purpose of such	23414
obligations may be stated in the bond proceedings in terms	23415
describing the general purpose or purposes to be served. The bond	23416
proceedings shall also provide, subject to the provisions of any	23417
other applicable bond proceedings, for the pledge of all, or such	23418
part as the issuing authority may determine, of the pledged	23419
receipts and the applicable special fund or funds to the payment	23420
of bond service charges, which pledges may be made either prior or	23421
subordinate to other expenses, claims, or payments, and may be	23422
made to secure the obligations on a parity with obligations	23423
theretofore or thereafter issued, if and to the extent provided in	23424
the bond proceedings. The pledged receipts and special funds so	23425
pledged and thereafter received by the state are immediately	23426
subject to the lien of such pledge without any physical delivery	23427
thereof or further act, and the lien of any such pledges is valid	23428
and binding against all parties having claims of any kind against	23429
the state or any governmental agency of the state, irrespective of	23430
whether such parties have notice thereof, and shall create a	23431
perfected security interest for all purposes of Chapter 1309. of	23432
the Revised Code, without the necessity for separation or delivery	23433
of funds or for the filing or recording of the bond proceedings by	23434
which such pledge is created or any certificate, statement or	23435
other document with respect thereto; and the pledge of such	23436
pledged receipts and special funds is effective and the money	23437
therefrom and thereof may be applied to the purposes for which	23438
pledged without necessity for any act of appropriation, except as	23439
required by section 3770.06 of the Revised Code. Every pledge, and	23440
every covenant and agreement made with respect thereto, made in	23441
the bond proceedings may therein be extended to the benefit of the	23442
owners and holders of obligations authorized by this section, and	23443
to any trustee therefor, for the further security of the payment	23444
of the bond service charges.	23445

(E) The bond proceedings may contain additional provisions as	23446
to:	23447

(1) The redemption of obligations prior to maturity at the	23448
option of the issuing authority at such price or prices and under	23449
such terms and conditions as are provided in the bond proceedings;	23450

(2) Other terms of the obligations;

23451

(3) Limitations on the issuance of additional obligations;

23452

(4) The terms of any trust agreement or indenture securing	23453
the obligations or under which the same may be issued;	23454

(5) The deposit, investment and application of special funds,	23455
and the safeguarding of moneys on hand or on deposit, without	23456
regard to Chapter 131., 133., or 135. of the Revised Code, but	23457
subject to any special provisions of sections 3318.21 to 3318.29	23458
of the Revised Code, with respect to particular funds or moneys,	23459
provided that any bank or trust company that acts as depository of	23460
any moneys in the special funds may furnish such indemnifying	23461
bonds or may pledge such securities as required by the issuing	23462
authority;	23463

(6) Any or every provision of the bond proceedings being	23464
binding upon such officer, board, commission, authority, agency,	23465
department, or other person or body as may from time to time have	23466
the authority under law to take such actions as may be necessary	23467
to perform all or any part of the duty required by such provision;	23468

(7) Any provision that may be made in a trust agreement or	23469
indenture;	23470

(8) The lease or sublease of any interest of the school	23471
district or the state in one or more projects as defined in	23472
division (C) of section 3318.01 of the Revised Code, or in one or	23473
more permanent improvements, to or from the issuing authority, as	23474
provided in one or more lease or sublease agreements between the	23475
school or the state and the issuing authority;	23476

(9) Any other or additional agreements with the holders of	23477
the obligations, or the trustee therefor, relating to the	23478
obligations or the security therefor.	23479

(F) The obligations may have the great seal of the state or a	23480
facsimile thereof affixed thereto or printed thereon. The	23481
obligations and any coupons pertaining to obligations shall be	23482
signed or bear the facsimile signature of the issuing authority.	23483
Any obligations or coupons may be executed by the person who, on	23484
the date of execution, is the proper issuing authority although on	23485
the date of such bonds or coupons such person was not the issuing	23486
authority. In case the issuing authority whose signature or a	23487
facsimile of whose signature appears on any such obligation or	23488
coupon ceases to be the issuing authority before delivery thereof,	23489
such signature or facsimile is nevertheless valid and sufficient	23490
for all purposes as if the issuing authority had remained the	23491
issuing authority until such delivery; and in case the seal to be	23492
affixed to obligations has been changed after a facsimile of the	23493
seal has been imprinted on such obligations, such facsimile seal	23494
shall continue to be sufficient as to such obligations and	23495
obligations issued in substitution or exchange therefor.	23496

(G) All obligations are negotiable instruments and securities	23497
under Chapter 1308. of the Revised Code, subject to the provisions	23498
of the bond proceedings as to registration. The obligations may be	23499
issued in coupon or in registered form, or both, as the issuing	23500
authority determines. Provision may be made for the registration	23501
of any obligations with coupons attached thereto as to principal	23502
alone or as to both principal and interest, their exchange for	23503
obligations so registered, and for the conversion or reconversion	23504
into obligations with coupons attached thereto of any obligations	23505
registered as to both principal and interest, and for reasonable	23506
charges for such registration, exchange, conversion, and	23507
reconversion.	23508

(H) Obligations may be sold at public sale or at private	23509
sale, as determined in the bond proceedings.	23510

(I) Pending preparation of definitive obligations, the	23511
issuing authority may issue interim receipts or certificates which	23512
shall be exchanged for such definitive obligations.	23513

(J) In the discretion of the issuing authority, obligations	23514
may be secured additionally by a trust agreement or indenture	23515
between the issuing authority and a corporate trustee which may be	23516
any trust company or bank having its principala place of business	23517
within the state. Any such agreement or indenture may contain the	23518
resolution or order authorizing the issuance of the obligations,	23519
any provisions that may be contained in any bond proceedings, and	23520
other provisions that are customary or appropriate in an agreement	23521
or indenture of such type, including, but not limited to:	23522

(1) Maintenance of each pledge, trust agreement, indenture,	23523
or other instrument comprising part of the bond proceedings until	23524
the state has fully paid the bond service charges on the	23525
obligations secured thereby, or provision therefor has been made;	23526

(2) In the event of default in any payments required to be	23527
made by the bond proceedings, or any other agreement of the	23528
issuing authority made as a part of the contract under which the	23529
obligations were issued, enforcement of such payments or agreement	23530
by mandamus, the appointment of a receiver, suit in equity, action	23531
at law, or any combination of the foregoing;	23532

(3) The rights and remedies of the holders of obligations and	23533
of the trustee, and provisions for protecting and enforcing them,	23534
including limitations on rights of individual holders of	23535
obligations;	23536

(4) The replacement of any obligations that become mutilated	23537
or are destroyed, lost, or stolen;	23538

(5) Such other provisions as the trustee and the issuing	23539
authority agree upon, including limitations, conditions, or	23540
qualifications relating to any of the foregoing.	23541

(K) Any holder of obligations or a trustee under the bond	23542
proceedings, except to the extent that the holder's or trustee's	23543
rights are restricted by the bond proceedings, may by any suitable	23544
form of legal proceedings, protect and enforce any rights under	23545
the laws of this state or granted by such bond proceedings. Such	23546
rights include the right to compel the performance of all duties	23547
of the issuing authority, the commission, or the director of	23548
budget and management required by sections 3318.21 to 3318.29 of	23549
the Revised Code or the bond proceedings; to enjoin unlawful	23550
activities; and in the event of default with respect to the	23551
payment of any bond service charges on any obligations or in the	23552
performance of any covenant or agreement on the part of the	23553
issuing authority, the commission, or the director of budget and	23554
management in the bond proceedings, to apply to a court having	23555
jurisdiction of the cause to appoint a receiver to receive and	23556
administer the pledged receipts and special funds, other than	23557
those in the custody of the treasurer of state or the commission,	23558
which are pledged to the payment of the bond service charges on	23559
such obligations or which are the subject of the covenant or	23560
agreement, with full power to pay, and to provide for payment of	23561
bond service charges on, such obligations, and with such powers,	23562
subject to the direction of the court, as are accorded receivers	23563
in general equity cases, excluding any power to pledge additional	23564
revenues or receipts or other income or moneys of the issuing	23565
authority or the state or governmental agencies of the state to	23566
the payment of such principal and interest and excluding the power	23567
to take possession of, mortgage, or cause the sale or otherwise	23568
dispose of any permanent improvement.	23569

Each duty of the issuing authority and the issuing	23570
authority's officers and employees, and of each governmental	23571
agency and its officers, members, or employees, undertaken	23572
pursuant to the bond proceedings or any agreement or loan made	23573
under authority of sections 3318.21 to 3318.29 of the Revised	23574
Code, and in every agreement by or with the issuing authority, is	23575
hereby established as a duty of the issuing authority, and of each	23576
such officer, member, or employee having authority to perform such	23577
duty, specifically enjoined by the law resulting from an office,	23578
trust, or station within the meaning of section 2731.01 of the	23579
Revised Code.	23580

The person who is at the time the issuing authority, or the	23581
issuing authority's officers or employees, are not liable in their	23582
personal capacities on any obligations issued by the issuing	23583
authority or any agreements of or with the issuing authority.	23584

(L) Obligations issued under this section are lawful	23585
investments for banks, societies for savings, savings and loan	23586
associations, deposit guarantee associations, trust companies,	23587
trustees, fiduciaries, insurance companies, including domestic for	23588
life and domestic not for life, trustees or other officers having	23589
charge of sinking and bond retirement or other special funds of	23590
political subdivisions and taxing districts of this state, the	23591
commissioners of the sinking fund of the state, the administrator	23592
of workers' compensation, the state teachers retirement system,	23593
the public employees retirement system, the school employees	23594
retirement system, and the Ohio police and fire pension fund,	23595
notwithstanding any other provisions of the Revised Code or rules	23596
adopted pursuant thereto by any governmental agency of the state	23597
with respect to investments by them, and also are acceptable as	23598
security for the deposit of public moneys.	23599

(M) Unless otherwise provided in any applicable bond	23600
proceedings, moneys to the credit of or in the special funds	23601
established by or pursuant to this section may be invested by or	23602
on behalf of the issuing authority only in notes, bonds, or other	23603
obligations of the United States, or of any agency or	23604
instrumentality of the United States, obligations guaranteed as to	23605
principal and interest by the United States, obligations of this	23606
state or any political subdivision of this state, and certificates	23607
of deposit of any national bank located in this state and any	23608
bank, as defined in section 1101.01 of the Revised Code, subject	23609
to inspection by the superintendent of financial institutions. If	23610
the law or the instrument creating a trust pursuant to division	23611
(J) of this section expressly permits investment in direct	23612
obligations of the United States or an agency of the United	23613
States, unless expressly prohibited by the instrument, such moneys	23614
also may be invested in no front end load money market mutual	23615
funds consisting exclusively of obligations of the United States	23616
or an agency of the United States and in repurchase agreements,	23617
including those issued by the fiduciary itself, secured by	23618
obligations of the United States or an agency of the United	23619
States; and in collective investment funds established in	23620
accordance with section 1111.14 of the Revised Code and consisting	23621
exclusively of any such securities, notwithstanding division	23622
(B)(1)(c) of that section. The income from such investments shall	23623
be credited to such funds as the issuing authority determines, and	23624
such investments may be sold at such times as the issuing	23625
authority determines or authorizes.	23626

(N) Provision may be made in the applicable bond proceedings	23627
for the establishment of separate accounts in the bond service	23628
fund and for the application of such accounts only to the	23629
specified bond service charges on obligations pertinent to such	23630
accounts and bond service fund and for other accounts therein	23631
within the general purposes of such fund. Unless otherwise	23632
provided in any applicable bond proceedings, moneys to the credit	23633
of or in the several special funds established pursuant to this	23634
section shall be disbursed on the order of the treasurer of state,	23635
provided that no such order is required for the payment from the	23636
bond service fund when due of bond service charges on obligations.	23637

(O) The issuing authority may pledge all, or such portion as	23638
the issuing authority determines, of the pledged receipts to the	23639
payment of bond service charges on obligations issued under this	23640
section, and for the establishment and maintenance of any	23641
reserves, as provided in the bond proceedings, and make other	23642
provisions therein with respect to pledged receipts as authorized	23643
by this chapter, which provisions shall be controlling	23644
notwithstanding any other provisions of law pertaining thereto.	23645

(P) The issuing authority may covenant in the bond	23646
proceedings, and any such covenants shall be controlling	23647
notwithstanding any other provision of law, that the state and	23648
applicable officers and governmental agencies of the state,	23649
including the general assembly, so long as any obligations are	23650
outstanding, shall:	23651

(1) Maintain statutory authority for and cause to be operated	23652
the state lottery, including the transfers to and from the lottery	23653
profits education fund created in section 3770.06 of the Revised	23654
Code so that the pledged receipts shall be sufficient in amount to	23655
meet bond service charges, and the establishment and maintenance	23656
of any reserves and other requirements provided for in the bond	23657
proceedings;	23658

(2) Take or permit no action, by statute or otherwise, that	23659
would impair the exclusion from gross income for federal income	23660
tax purposes of the interest on any obligations designated by the	23661
bond proceeding as tax-exempt obligations.	23662

(Q) There is hereby created the school building program bond	23663
service fund, which shall be in the custody of the treasurer of	23664
state but shall be separate and apart from and not a part of the	23665
state treasury. All moneys received by or on account of the	23666
issuing authority or state agencies and required by the applicable	23667
bond proceedings, consistent with this section, to be deposited,	23668
transferred, or credited to the school building program bond	23669
service fund, and all other moneys transferred or allocated to or	23670
received for the purposes of the fund, shall be deposited and	23671
credited to such fund and to any separate accounts therein,	23672
subject to applicable provisions of the bond proceedings, but	23673
without necessity for any act of appropriation, except as required	23674
by section 3770.06 of the Revised Code. During the period	23675
beginning with the date of the first issuance of obligations and	23676
continuing during such time as any such obligations are	23677
outstanding, and so long as moneys in the school building program	23678
bond service fund are insufficient to pay all bond service charges	23679
on such obligations becoming due in each year, a sufficient amount	23680
of the moneys from the lottery profits education fund included in	23681
pledged receipts, subject to appropriation for such purpose as	23682
provided in section 3770.06 of the Revised Code, are committed and	23683
shall be paid to the school building program bond service fund in	23684
each year for the purpose of paying the bond service charges	23685
becoming due in that year. The school building program bond	23686
service fund is a trust fund and is hereby pledged to the payment	23687
of bond service charges solely on obligations issued to provide	23688
moneys for the school building program assistance fund to the	23689
extent provided in the applicable bond proceedings, and payment	23690
thereof from such fund shall be made or provided for by the	23691
treasurer of state in accordance with such bond proceedings	23692
without necessity for any act of appropriation except as required	23693
by section 3770.06 of the Revised Code.	23694

(R) The obligations, the transfer thereof, and the income	23695
therefrom, including any profit made on the sale thereof, at all	23696
times shall be free from taxation within the state.	23697

Sec. 3318.47.  (A) On the effective date of this section, the	23698
director of budget and management shall transfer any amount on	23699
hand in the fund established under former section 3318.47 of the	23700
Revised Code, as that section existed prior to the effective date	23701
of this section, into the fund established under section 3318.15	23702
of the Revised Code.	23703

(B) On or after the effective date of this section, any	23704
amounts received from school districts in repayment of loans made	23705
under former sections 3318.47 to 3318.49, as those sections	23706
existed prior to the effective date of this section, shall be	23707
deposited into the fund established under section 3318.15 of the	23708
Revised Code.	23709

Sec. 3319.081.  Except as otherwise provided in division (G)	23710
of this section, in all school districts wherein the provisions of	23711
Chapter 124. of the Revised Code do not apply, the following	23712
employment contract system shall control for employees whose	23713
contracts of employment are not otherwise provided by law:	23714

(A) Newly hired regular nonteaching school employees,	23715
including regular hourly rate and per diem employees, shall enter	23716
into written contracts for their employment which shall be for a	23717
period of not more than one year. If such employees are rehired,	23718
their subsequent contract shall be for a period of two years.	23719

(B) After the termination of the two-year contract provided	23720
in division (A) of this section, if the contract of a nonteaching	23721
employee is renewed, the employee shall be continued in	23722
employment, and the salary provided in the contract may be	23723
increased but not reduced unless such reduction is a part of a	23724
uniform plan affecting the nonteaching employees of the entire	23725
district.	23726

(C) The contracts as provided for in this section may be	23727
terminated by a majority vote of the board of education. Except as	23728
provided in sections 3319.0810 andsection 3319.172 of the Revised	23729
Code, the contracts may be terminated only for violation of	23730
written rules and regulations as set forth by the board of	23731
education or for incompetency, inefficiency, dishonesty,	23732
drunkenness, immoral conduct, insubordination, discourteous	23733
treatment of the public, neglect of duty, or any other acts of	23734
misfeasance, malfeasance, or nonfeasance. In addition to the right	23735
of the board of education to terminate the contract of an	23736
employee, the board may suspend an employee for a definite period	23737
of time or demote the employee for the reasons set forth in this	23738
division. The action of the board of education terminating the	23739
contract of an employee or suspending or demoting the employee	23740
shall be served upon the employee by certified mail. Within ten	23741
days following the receipt of such notice by the employee, the	23742
employee may file an appeal, in writing, with the court of common	23743
pleas of the county in which such school board is situated. After	23744
hearing the appeal the common pleas court may affirm, disaffirm,	23745
or modify the action of the school board.	23746

A violation of division (A)(7) of section 2907.03 of the	23747
Revised Code is grounds for termination of employment of a	23748
nonteaching employee under this division.	23749

(D) All employees who have been employed by a school district	23750
where the provisions of Chapter 124. of the Revised Code do not	23751
apply, for a period of at least three years on November 24, 1967,	23752
shall hold continuing contracts of employment pursuant to this	23753
section.	23754

(E) Any nonteaching school employee may terminate the	23755
nonteaching school employee's contract of employment thirty days	23756
subsequent to the filing of a written notice of such termination	23757
with the treasurer of the board.	23758

(F) A person hired exclusively for the purpose of replacing a	23759
nonteaching school employee while such employee is on leave of	23760
absence granted under section 3319.13 of the Revised Code is not a	23761
regular nonteaching school employee under this section.	23762

(G) All nonteaching employees employed pursuant to this	23763
section and Chapter 124. of the Revised Code shall be paid for all	23764
time lost when the schools in which they are employed are closed	23765
owing to an epidemic or other public calamity. Nothing in this	23766
division shall be construed as requiring payment in excess of an	23767
employee's regular wage rate or salary for any time worked while	23768
the school in which the employee is employed is officially closed	23769
for the reasons set forth in this division.	23770

Sec. 3319.089.  The board of education of any city, local, or	23771
exempted village school district may adopt a resolution approving	23772
a contract with a county department of job and family services	23773
under section 5107.5415107.47 of the Revised Code to provide for	23774
a participant of thein a work experience programparticipation	23775
activity who has a child enrolled in a public school in that	23776
district to fulfill the work requirements of the work experience	23777
programparticipation activity by volunteering or working in that	23778
public school in accordance with section 5107.5415107.47 of the	23779
Revised Code. Such recipients are not employees of such board of	23780
education.	23781

Before a school district places a participant in a public	23782
school under this section, the appointing officer or hiring	23783
officer of the board of education of a school district shall	23784
request a criminal records check of the participant to be	23785
conducted in the same manner as required for a person responsible	23786
for the care, custody, or control of a child in accordance with	23787
section 3319.39 of the Revised Code, The records check shall be	23788
conducted even though the participant, if subsequently hired,	23789
would not be considered an employee of the school district for	23790
purposes of working at the school. A participant shall not be	23791
placed in a school if the participant previously has been	23792
convicted of or pleaded guilty to any of the offenses listed in	23793
division (B)(1)(a) or (b) of section 3319.39 of the Revised Code.	23794

Sec. 3319.17.  (A) As used in this section, "interdistrict	23795
contract" means any contract or agreement entered into by an	23796
educational service center governing board and another board or	23797
other public entity pursuant to section 3313.17, 3313.841,	23798
3313.842, 3313.843, 3313.844, 3313.845, 3313.91, or 3323.08 of the	23799
Revised Code, including any such contract or agreement for the	23800
provision of services funded under division (I) of section	23801
3317.024 of the Revised Code or provided in any unit approved	23802
under section 3317.05 of the Revised Code.	23803

(B) When, for any of the following reasons that apply to any	23804
city, exempted village, local, or joint vocational school district	23805
or any educational service center, the board decides that it will	23806
be necessary to reduce the number of teachers it employs, it may	23807
make a reasonable reduction:	23808

(1) In the case of any district or service center, return to	23809
duty of regular teachers after leaves of absence including leaves	23810
provided pursuant to division (B) of section 3314.10 of the	23811
Revised Code, suspension of schools, or territorial changes	23812
affecting the district or center, or financial reasons;	23813

(2) In the case of any city, exempted village, local, or	23814
joint vocational school district, decreased enrollment of pupils	23815
in the district;	23816

(3) In the case of any governing board of a service center	23817
providing any particular service directly to pupils pursuant to	23818
one or more interdistrict contracts requiring such service,	23819
reduction in the total number of pupils the governing board is	23820
required to provide with the service under all interdistrict	23821
contracts as a result of the termination or nonrenewal of one or	23822
more of these interdistrict contracts;	23823

(4) In the case of any governing board providing any	23824
particular service that it does not provide directly to pupils	23825
pursuant to one or more interdistrict contracts requiring such	23826
service, reduction in the total level of the service the governing	23827
board is required to provide under all interdistrict contracts as	23828
a result of the termination or nonrenewal of one or more of these	23829
interdistrict contracts.	23830

(C) In making any such reduction, any city, exempted village,	23831
local, or joint vocational school board shall proceed to suspend	23832
contracts in accordance with the recommendation of the	23833
superintendent of schools who shall, within each teaching field	23834
affected, give preference first to teachers on continuing	23835
contracts and then to teachers who have greater seniority. In	23836
making any such reduction, any governing board of a service center	23837
shall proceed to suspend contracts in accordance with the	23838
recommendation of the superintendent who shall, within each	23839
teaching field or service area affected, give preference first to	23840
teachers on continuing contracts and then to teachers who have	23841
greater seniority.	23842

On a case-by-case basis, in lieu of suspending a contract in	23843
whole, a board may suspend a contract in part, so that an	23844
individual is required to work a percentage of the time the	23845
employee otherwise is required to work under the contract and	23846
receives a commensurate percentage of the full compensation the	23847
employee otherwise would receive under the contract.	23848

The teachers whose continuing contracts are suspended by any	23849
board pursuant to this section shall have the right of restoration	23850
to continuing service status by that board in the order of	23851
seniority of service in the district or service center if and when	23852
teaching positions become vacant or are created for which any of	23853
such teachers are or become qualified. No teacher whose continuing	23854
contract has been suspended pursuant to this section shall lose	23855
that right of restoration to continuing service status by reason	23856
of having declined recall to a position that is less than	23857
full-time or, if the teacher was not employed full-time just prior	23858
to suspension of the teacher's continuing contract, to a position	23859
requiring a lesser percentage of full-time employment than the	23860
position the teacher last held while employed in the district or	23861
service center.	23862

(D) Notwithstanding any provision to the contrary in Chapter	23863
4117. of the Revised Code, the requirements of this section	23864
prevail over any conflicting provisions of agreements between	23865
employee organizations and public employers entered into after	23866
September 29, 2005.	23867

Sec. 3319.55.  (A) A grant program is hereby established to	23868
recognize and reward teachers in public and chartered nonpublic	23869
schools who hold valid teaching certificates or licenses issued by	23870
the national board for professional teaching standards. The	23871
superintendent of public instruction shall administer this program	23872
in accordance with this section and rules which the state board of	23873
education shall adopt in accordance with Chapter 119. of the	23874
Revised Code.	23875

In each fiscal year that the general assembly appropriates	23876
funds for purposes of this section, the superintendent of public	23877
instruction shall award a grant to each person who, by the first	23878
day of April of that year and in accordance with the rules adopted	23879
under this section, submits to the superintendent evidence	23880
indicating allboth of the following:	23881

(1) The person holds a valid certificate or license issued by	23882
the national board for professional teaching standards;	23883

(2) The person has been employed full-time as a teacher by	23884
the board of education of a school district or by a chartered	23885
nonpublic school in this state during the current school year;	23886

(3) The date the person was accepted into the national board	23887
certification or licensure program.	23888

An individual may receive a grant under this section in each	23889
fiscal year the person is eligible for a grant and submits	23890
evidence of that eligibility in accordance with this section. No	23891
person may receive a grant after the expiration of the person's	23892
initial certification or license issued by the national board.	23893

(B) The amount of the grant awarded to each eligible person	23894
under division (A) of this section in any fiscal year shall equal	23895
the following:	23896

(1) Twotwo thousand five hundred dollars for any teacher	23897
accepted as a candidate for certification or licensure by the	23898
national board on or before May 31, 2003, and issued a certificate	23899
or license by the national board on or before December 31, 2004;	23900

(2) One thousand dollars for any other teacher issued a	23901
certificate or license by the national board.	23902

However. However, if the funds appropriated for purposes of	23903
this section in any fiscal year are not sufficient to award the	23904
full grant amount to each person who is eligible in that fiscal	23905
year, the superintendent shall prorate the amount of the grant	23906
awarded in that fiscal year to each eligible person.	23907

Sec. 3321.01. (A)(1) As used in this chapter, "parent,"	23908
"guardian," or "other person having charge or care of a child"	23909
means either parent unless the parents are separated or divorced	23910
or their marriage has been dissolved or annulled, in which case	23911
"parent" means the parent who is the residential parent and legal	23912
custodian of the child. If the child is in the legal or permanent	23913
custody of a person or government agency, "parent" means that	23914
person or government agency. When a child is a resident of a home,	23915
as defined in section 3313.64 of the Revised Code, and the child's	23916
parent is not a resident of this state, "parent," "guardian," or	23917
"other person having charge or care of a child" means the head of	23918
the home.	23919

A child between six and eighteen years of age is "of	23920
compulsory school age" for the purpose of sections 3321.01 to	23921
3321.13 of the Revised Code. A child under six years of age who	23922
has been enrolled in kindergarten also shall be considered "of	23923
compulsory school age" for the purpose of sections 3321.01 to	23924
3321.13 of the Revised Code unless at any time the child's parent	23925
or guardian, at the parent's or guardian's discretion and in	23926
consultation with the child's teacher and principal, formally	23927
withdraws the child from kindergarten. The compulsory school age	23928
of a child shall not commence until the beginning of the term of	23929
such schools, or other time in the school year fixed by the rules	23930
of the board of the district in which the child resides.	23931

(2) No child shall be admitted to a kindergarten or a first	23932
grade of a public school in a district in which all children are	23933
admitted to kindergarten and the first grade in August or	23934
September unless the child is five or six years of age,	23935
respectively, by the thirtieth day of September of the year of	23936
admittance, or by the first day of a term or semester other than	23937
one beginning in August or September in school districts granting	23938
admittance at the beginning of such term or semester, except that	23939
in those school districts using or obtaining educationally	23940
accepted standardized testing programs for determining entrance,	23941
as approved by the board of education of such districts, the board	23942
shall admit a child to kindergarten or the first grade who fails	23943
to meet the age requirement, provided the child meets necessary	23944
standards as determined by such standardized testing programs. If	23945
the board of education has not established a standardized testing	23946
program, the board shall designate the necessary standards and a	23947
testing program it will accept for the purpose of admitting a	23948
child to kindergarten or first grade who fails to meet the age	23949
requirement. Each child who will be the proper age for entrance to	23950
kindergarten or first grade by the first day of January of the	23951
school year for which admission is requested shall be so tested	23952
upon the request of the child's parent.	23953

(3) Notwithstanding divisions (A)(2) and (D) of this section,	23954
beginning with the school year that starts in 2001 and continuing	23955
thereafter the board of education of any district may adopt a	23956
resolution establishing the first day of August in lieu of the	23957
thirtieth day of September as the required date by which students	23958
must have attained the age specified in those divisions.	23959

(B) As used in divisions (C) and (D) of this section,	23960
"successfully completed kindergarten" and "successful completion	23961
of kindergarten" mean that the child has completed the	23962
kindergarten requirements at one of the following:	23963

(1) A public or chartered nonpublic school;

23964

(2) A kindergarten class that is both of the following:

23965

(a) Offered by a day-care provider licensed under Chapter	23966
5104. of the Revised Code;	23967

(b) If offered after July 1, 1991, is directly taught by a	23968
teacher who holds one of the following:	23969

(i) A valid educator license issued under section 3319.22 of	23970
the Revised Code;	23971

(ii) A Montessori preprimary credential or age-appropriate	23972
diploma granted by the American Montessori society or the	23973
association Montessori internationale;	23974

(iii) Certification determined under division (G) of this	23975
section to be equivalent to that described in division	23976
(B)(2)(b)(ii) of this section;	23977

(iv) Certification for teachers in nontax-supported schools	23978
pursuant to section 3301.071 of the Revised Code.	23979

(C) Except as provided in division (D) of this section, no	23980
school district shall admit to the first grade any child who has	23981
not successfully completed kindergarten.	23982

(D) Upon request of a parent, the requirement of division (C)	23983
of this section may be waived by the district's pupil personnel	23984
services committee in the case of a child who is at least six	23985
years of age by the thirtieth day of September of the year of	23986
admittance and who demonstrates to the satisfaction of the	23987
committee the possession of the social, emotional, and cognitive	23988
skills necessary for first grade.	23989

The board of education of each city, local, and exempted	23990
village school district shall establish a pupil personnel services	23991
committee. The committee shall be composed of all of the following	23992
to the extent such personnel are either employed by the district	23993
or employed by the governing board of the educational service	23994
center within whose territory the district is located and the	23995
educational service center generally furnishes the services of	23996
such personnel to the district:	23997

(1) The director of pupil personnel services;

23998

(2) An elementary school counselor;

23999

(3) An elementary school principal;

24000

(4) A school psychologist;

24001

(5) A teacher assigned to teach first grade;

24002

(6) A gifted coordinator.

24003

The responsibilities of the pupil personnel services	24004
committee shall be limited to the issuing of waivers allowing	24005
admittance to the first grade without the successful completion of	24006
kindergarten. The committee shall have no other authority except	24007
as specified in this section.	24008

(E) The scheduling of times for kindergarten classes and	24009
length of the school day for kindergarten shall be determined by	24010
the board of education of a city, exempted village, or local	24011
school district.	24012

(F) Any kindergarten class offered by a day-care provider or	24013
school described by division (B)(1) or (B)(2)(a) of this section	24014
shall be developmentally appropriate.	24015

(G) Upon written request of a day-care provider described by	24016
division (B)(2)(a) of this section, the department of education	24017
shall determine whether certification held by a teacher employed	24018
by the provider meets the requirement of division (B)(2)(b)(iii)	24019
of this section and, if so, shall furnish the provider a statement	24020
to that effect.	24021

Sec. 3323.11.  Teachers in education programs under this	24022
chapter shall possess the usual qualifications required of special	24023
education teachersintervention specialists in the public schools.	24024

Sec. 3333.04.  The Ohio board of regents shall:

24025

(A) Make studies of state policy in the field of higher	24026
education and formulate a master plan for higher education for the	24027
state, considering the needs of the people, the needs of the	24028
state, and the role of individual public and private institutions	24029
within the state in fulfilling these needs;	24030

(B)(1) Report annually to the governor and the general	24031
assembly on the findings from its studies and the master plan for	24032
higher education for the state;	24033

(2) Report at least semiannually to the general assembly and	24034
the governor the enrollment numbers at each state-assisted	24035
institution of higher education.	24036

(C) Approve or disapprove the establishment of new branches	24037
or academic centers of state colleges and universities;	24038

(D) Approve or disapprove the establishment of state	24039
technical colleges or any other state institution of higher	24040
education;	24041

(E) Recommend the nature of the programs, undergraduate,	24042
graduate, professional, state-financed research, and public	24043
services which should be offered by the state colleges,	24044
universities, and other state-assisted institutions of higher	24045
education in order to utilize to the best advantage their	24046
facilities and personnel;	24047

(F) Recommend to the state colleges, universities, and other	24048
state-assisted institutions of higher education graduate or	24049
professional programs, including, but not limited to, doctor of	24050
philosophy, doctor of education, and juris doctor programs, that	24051
could be eliminated because they constitute unnecessary	24052
duplication, as shall be determined using the process developed	24053
pursuant to this section, or for other good and sufficient cause.	24054
For purposes of determining the amounts of any state instructional	24055
subsidies paid to these colleges, universities, and institutions,	24056
the board may exclude students enrolled in any program that the	24057
board has recommended for elimination pursuant to this division	24058
except that the board shall not exclude any such student who	24059
enrolled in the program prior to the date on which the board	24060
initially commences to exclude students under this division. The	24061
board of regents and these colleges, universities, and	24062
institutions shall jointly develop a process for determining which	24063
existing graduate or professional programs constitute unnecessary	24064
duplication.	24065

(G) Recommend to the state colleges, universities, and other	24066
state-assisted institutions of higher education programs which	24067
should be added to their present programs;	24068

(H) Conduct studies for the state colleges, universities, and	24069
other state-assisted institutions of higher education to assist	24070
them in making the best and most efficient use of their existing	24071
facilities and personnel;	24072

(I) Make recommendations to the governor and general assembly	24073
concerning the development of state-financed capital plans for	24074
higher education; the establishment of new state colleges,	24075
universities, and other state-assisted institutions of higher	24076
education; and the establishment of new programs at the existing	24077
state colleges, universities, and other institutions of higher	24078
education;	24079

(J) Review the appropriation requests of the public community	24080
colleges and the state colleges and universities and submit to the	24081
office of budget and management and to the chairpersons of the	24082
finance committees of the house of representatives and of the	24083
senate its recommendations in regard to the biennial higher	24084
education appropriation for the state, including appropriations	24085
for the individual state colleges and universities and public	24086
community colleges. For the purpose of determining the amounts of	24087
instructional subsidies to be paid to state-assisted colleges and	24088
universities, the board shall define "full-time equivalent	24089
student" by program per academic year. The definition may take	24090
into account the establishment of minimum enrollment levels in	24091
technical education programs below which support allowances will	24092
not be paid. Except as otherwise provided in this section, the	24093
board shall make no change in the definition of "full-time	24094
equivalent student" in effect on November 15, 1981, which would	24095
increase or decrease the number of subsidy-eligible full-time	24096
equivalent students, without first submitting a fiscal impact	24097
statement to the president of the senate, the speaker of the house	24098
of representatives, the legislative service commission, and the	24099
director of budget and management. The board shall work in close	24100
cooperation with the director of budget and management in this	24101
respect and in all other matters concerning the expenditures of	24102
appropriated funds by state colleges, universities, and other	24103
institutions of higher education.	24104

(K) Seek the cooperation and advice of the officers and	24105
trustees of both public and private colleges, universities, and	24106
other institutions of higher education in the state in performing	24107
its duties and making its plans, studies, and recommendations;	24108

(L) Appoint advisory committees consisting of persons	24109
associated with public or private secondary schools, members of	24110
the state board of education, or personnel of the state department	24111
of education;	24112

(M) Appoint advisory committees consisting of college and	24113
university personnel, or other persons knowledgeable in the field	24114
of higher education, or both, in order to obtain their advice and	24115
assistance in defining and suggesting solutions for the problems	24116
and needs of higher education in this state;	24117

(N) Approve or disapprove all new degrees and new degree	24118
programs at all state colleges, universities, and other	24119
state-assisted institutions of higher education;	24120

(O) Adopt such rules as are necessary to carry out its duties	24121
and responsibilities;	24122

(P) Establish and submit to the governor and the general	24123
assembly a clear and measurable set of goals and timetables for	24124
their achievement for each program under the supervision of the	24125
board that is designed to accomplish any of the following:	24126

(1) Increased access to higher education;

24127

(2) Job training;

24128

(3) Adult literacy;

24129

(4) Research;

24130

(5) Excellence in higher education;

24131

(6) Reduction in the number of graduate programs within the	24132
same subject area.	24133

In July of each odd-numbered year, the board of regents shall	24134
submit to the governor and the general assembly a report on	24135
progress made toward these goals.	24136

(Q) Make recommendations to the governor and the general	24137
assembly regarding the design and funding of the student financial	24138
aid programs specified in sections 3333.12, 3333.122, 3333.21 to	24139
3333.27, and 5910.02 of the Revised Code;	24140

(R) Participate in education-related state or federal	24141
programs on behalf of the state and assume responsibility for the	24142
administration of such programs in accordance with applicable	24143
state or federal law;	24144

(S) Adopt rules for student financial aid programs as	24145
required by sections 3333.12, 3333.122, 3333.21 to 3333.27,	24146
3333.28, 3333.29, and 5910.02 of the Revised Code, and perform any	24147
other administrative functions assigned to the board by those	24148
sections;	24149

(T) Administer contracts under sections 3702.74 and 3702.75	24150
of the Revised Code in accordance with rules adopted by the	24151
director of health under section 3702.79 of the Revised Code;	24152

(U) Conduct enrollment audits of state-supported institutions	24153
of higher education;	24154

(V) Appoint consortiums of college and university personnel	24155
to participate in the development and operation of statewide	24156
collaborative efforts, including the Ohio supercomputer center,	24157
the Ohio academic resources network, OhioLink, and the Ohio	24158
learning network. For each consortium, the board shall designate a	24159
college or university to serve as that consortium's fiscal agent,	24160
financial officer, and employer. Any funds appropriated to the	24161
board for consortiums shall be distributed to the fiscal agents	24162
for the operation of the consortiums. A consortium shall follow	24163
the rules of the college or university that serves as its fiscal	24164
agent.	24165

Sec. 3333.122.  (A) As used in this section:

24166

(1) "Eligible student" means a student who is:

24167

(a) An Ohio resident who first enrolls in an undergraduate	24168
program in the 2006-2007 academic year or thereafter;	24169

(b) EnrolledIf the student first enrolled in an	24170
undergraduate program in the 2006-2007 or 2007-2008 academic year,	24171
the student is enrolled in either of the following:	24172

(i) An accredited institution of higher education in this	24173
state that meets the requirements of Title VI of the Civil Rights	24174
Act of 1964 and is state-assisted, is nonprofit and has a	24175
certificate of authorization from the Ohio board of regents	24176
pursuant to Chapter 1713. of the Revised Code, has a certificate	24177
of registration from the state board of career colleges and	24178
schools and program authorization to award an associate or	24179
bachelor's degree, or is a private institution exempt from	24180
regulation under Chapter 3332. of the Revised Code as prescribed	24181
in section 3333.046 of the Revised Code. Students who attend an	24182
institution that holds a certificate of registration shall be	24183
enrolled in a program leading to an associate or bachelor's degree	24184
for which associate or bachelor's degree program the institution	24185
has program authorization issued under section 3332.05 of the	24186
Revised Code.	24187

(ii) A technical education program of at least two years	24188
duration sponsored by a private institution of higher education in	24189
this state that meets the requirements of Title VI of the Civil	24190
Rights Act of 1964.	24191

(c) If the student first enrolled in an undergraduate program	24192
after the 2007-2008 academic year, the student is enrolled in	24193
either of the following:	24194

(i) An accredited institution of higher education in this	24195
state that meets the requirements of Title VI of the Civil Rights	24196
Act of 1964 and is state-assisted, is nonprofit and has a	24197
certificate of authorization from the board of regents pursuant to	24198
Chapter 1713. of the Revised Code, or is a private institution	24199
exempt from regulation under Chapter 3332. of the Revised Code as	24200
prescribed in section 3333.046 of the Revised Code;	24201

(ii) An education program of at least two years duration	24202
sponsored by a private institution of higher education in this	24203
state that meets the requirements of Title VI of the Civil Rights	24204
Act of 1964 and has a certificate of authorization from the board	24205
of regents pursuant to Chapter 1713. of the Revised Code.	24206

(2) A student who participated in either the early college	24207
high school program administered by the department of education or	24208
in the post-secondary enrollment options program pursuant to	24209
Chapter 3365. of the Revised Code before the 2006-2007 academic	24210
year shall not be excluded from eligibility for a need based	24211
needs-based financial aid grant under this section.	24212

(3) "Resident," "expected family contribution" or "EFC,"	24213
"full-time student," "three-quarters-time student," "half-time	24214
student," "one-quarter-time student," and "accredited" shall be	24215
defined by rules adopted by the board.	24216

(B) The Ohio board of regents shall establish and administer	24217
a needs-based financial aid program based on the United States	24218
department of education's method of determining financial need and	24219
may adopt rules to carry out this section. The program shall be	24220
known as the Ohio college opportunity grant program. The general	24221
assembly shall support the needs-based financial aid program by	24222
such sums and in such manner as it may provide, but the board may	24223
also receive funds from other sources to support the program. If	24224
the amounts available for support of the program are inadequate to	24225
provide grants to all eligible students, preference in the payment	24226
of grants shall be given in terms of expected family contribution,	24227
beginning with the lowest expected family contribution category	24228
and proceeding upward by category to the highest expected family	24229
contribution category.	24230

A needs-based financial aid grant shall be paid to an	24231
eligible student through the institution in which the student is	24232
enrolled, except that no needs-based financial aid grant shall be	24233
paid to any person serving a term of imprisonment. Applications	24234
for such grants shall be made as prescribed by the board, and such	24235
applications may be made in conjunction with and upon the basis of	24236
information provided in conjunction with student assistance	24237
programs funded by agencies of the United States government or	24238
from financial resources of the institution of higher education.	24239
The institution shall certify that the student applicant meets the	24240
requirements set forth in divisions (A)(1)(a) and (b) of this	24241
section. Needs-based financial aid grants shall be provided to an	24242
eligible student only as long as the student is making appropriate	24243
progress toward a nursing diploma or an associate or bachelor's	24244
degree. No student shall be eligible to receive a grant for more	24245
than ten semesters, fifteen quarters, or the equivalent of five	24246
academic years. A grant made to an eligible student on the basis	24247
of less than full-time enrollment shall be based on the number of	24248
credit hours for which the student is enrolled and shall be	24249
computed in accordance with a formula adopted by the board. No	24250
student shall receive more than one grant on the basis of less	24251
than full-time enrollment.	24252

A needs-based financial aid grant shall not exceed the total	24253
instructional and general charges of the institution.	24254

(C) The tables in this division prescribe the maximum grant	24255
amounts covering two semesters, three quarters, or a comparable	24256
portion of one academic year. Grant amounts for additional terms	24257
in the same academic year shall be determined under division (D)	24258
of this section.	24259

As used in the tables in division (C) of this section:

24260

(1) "Private institution" means an institution that is	24261
nonprofit and has a certificate of authorization from the Ohio	24262
board of regents pursuant to Chapter 1713. of the Revised Code.	24263

(2) "Career college" means either an institution that holds a	24264
certificate of registration from the state board of career	24265
colleges and schools or a private institution exempt from	24266
regulation under Chapter 3332. of the Revised Code as prescribed	24267
in section 3333.046 of the Revised Code.	24268

Full-time students shall be eligible to receive awards	24269
according to the following table:	24270

Full-Time Enrollment

24271

	If the EFC is equal to or greater than:		And if the EFC is no more than:		If the student attends a public institution, the annual award shall be:		If the student attends a private institution, the annual award shall be:		If the student attends a career college, the annual award shall be:		24272
	$2,101		$2,190		$300		$600		$480		24273
	2,001		2,100		402		798		642		24274
	1,901		2,000		498		1,002		798		24275
	1,801		1,900		600		1,200		960		24276
	1,701		1,800		702		1,398		1,122		24277
	1,601		1,700		798		1,602		1,278		24278
	1,501		1,600		900		1,800		1,440		24279
	1,401		1,500		1,002		1,998		1,602		24280
	1,301		1,400		1,098		2,202		1,758		24281
	1,201		1,300		1,200		2,400		1,920		24282
	1,101		1,200		1,302		2,598		2,082		24283
	1,001		1,100		1,398		2,802		2,238		24284
	901		1,000		1,500		3,000		2,400		24285
	801		900		1,602		3,198		2,562		24286
	701		800		1,698		3,402		2,718		24287
	601		700		1,800		3,600		2,280		24288
	501		600		1,902		3,798		3,042		24289
	401		500		1,998		4,002		3,198		24290
	301		400		2,100		4,200		3,360		24291
	201		300		2,202		4,398		3,522		24292
	101		200		2,298		4,602		3,678		24293
	1		100		2,400		4,800		3,840		24294
	0		0		2,496		4,992		3,996		24295

Three-quarters-time students shall be eligible to receive	24296
awards according to the following table:	24297

Three-Quarters-Time Enrollment

24298

	If the EFC is equal to or greater than:		And the EFC is no more than:		If the student attends a public institution, the annual award shall be:		If the student attends a private institution, the annual award shall be:		If the student attends a career college, the annual award shall be:		24299
	$2,101		$2,190		$228		$450		$360		24300
	2,001		2,100		300		600		480		24301
	1,901		2,000		372		750		600		24302
	1,801		1,900		450		900		720		24303
	1,701		1,800		528		1,050		840		24304
	1,601		1,700		600		1,200		960		24305
	1,501		1,600		678		1,350		1,080		24306
	1,401		1,500		750		1,500		1,200		24307
	1,301		1,400		822		1,650		1,320		24308
	1,201		1,300		900		1,800		1,440		24309
	1,101		1,200		978		1,950		1,560		24310
	1,001		1,100		1,050		2,100		1,680		24311
	901		1,000		1,128		2,250		1,800		24312
	801		900		1,200		2,400		1,920		24313
	701		800		1,272		2,550		2,040		24314
	601		700		1,350		2,700		2,160		24315
	501		600		1,428		2,850		2,280		24316
	401		500		1,500		3,000		2,400		24317
	301		400		1,578		3,150		2,520		24318
	201		300		1,650		3,300		2,640		24319
	101		200		1,722		3,450		2,760		24320
	1		100		1,800		3,600		2,880		24321
	0		0		1,872		3,744		3,000		24322

Half-time students shall be eligible to receive awards	24323
according to the following table:	24324

Half-Time Enrollment

24325

	If the EFC is equal to or greater than:		And if the EFC is no more than:		If the student attends a public institution, the annual award shall be:		If the student attends a private institution, the annual award shall be:		If the student attends a career college, the annual award shall be:		24326
	$2,101		$2,190		$150		$300		$240		24327
	2,001		2,100		204		402		324		24328
	1,901		2,000		252		504		402		24329
	1,801		1,900		300		600		480		24330
	1,701		1,800		354		702		564		24331
	1,601		1,700		402		804		642		24332
	1,501		1,600		450		900		720		24333
	1,401		1,500		504		1,002		804		24334
	1,301		1,400		552		1,104		882		24335
	1,201		1,300		600		1,200		960		24336
	1,101		1,200		654		1,302		1,044		24337
	1,001		1,100		702		1,404		1,122		24338
	901		1,000		750		1,500		1,200		24339
	801		900		804		1,602		1,284		24340
	701		800		852		1,704		1,362		24341
	601		700		900		1,800		1,440		24342
	501		600		954		1,902		1,524		24343
	401		500		1,002		2,004		1,602		24344
	301		400		1,050		2,100		1,680		24345
	201		300		1,104		2,202		1,764		24346
	101		200		1,152		2,304		1,842		24347
	1		100		1,200		2,400		1,920		24348
	0		0		1,248		2,496		1,998		24349

One-quarter-time students shall be eligible to receive awards	24350
according to the following table:	24351

One-Quarter-Time Enrollment

24352

	If the EFC is equal to or greater than:		And if the EFC is no more than:		If the student attends a public institution, the annual award shall be:		If the student attends a private institution, the annual award shall be:		If the student attends a career college, the annual award shall be:		24353
	$2,101		$2,190		$78		$150		$120		24354
	2,001		2,100		102		198		162		24355
	1,901		2,000		126		252		198		24356
	1,801		1,900		150		300		240		24357
	1,701		1,800		174		348		282		24358
	1,601		1,700		198		402		318		24359
	1,501		1,600		228		450		360		24360
	1,401		1,500		252		498		402		24361
	1,301		1,400		276		552		438		24362
	1,201		1,300		300		600		480		24363
	1,101		1,200		324		648		522		24364
	1,001		1,100		348		702		558		24365
	901		1,000		378		750		600		24366
	801		900		402		798		642		24367
	701		800		426		852		678		24368
	601		700		450		900		720		24369
	501		600		474		948		762		24370
	401		500		498		1,002		798		24371
	301		400		528		1,050		840		24372
	201		300		552		1,098		882		24373
	101		200		576		1,152		918		24374
	1		100		600		1,200		960		24375
	0		0		624		1,248		1,002		24376

(D) For a full-time student enrolled in an eligible	24377
institution for a semester or quarter in addition to the portion	24378
of the academic year covered by a grant determined under division	24379
(C) of this section, the maximum grant amount shall be a	24380
percentage of the maximum prescribed in the applicable table of	24381
that division. The maximum grant for a fourth quarter shall be	24382
one-third of the maximum amount prescribed under that division.	24383
The maximum grant for a third semester shall be one-half of the	24384
maximum amount prescribed under that division.	24385

(E) No grant shall be made to any student in a course of	24386
study in theology, religion, or other field of preparation for a	24387
religious profession unless such course of study leads to an	24388
accredited bachelor of arts, bachelor of science, associate of	24389
arts, or associate of science degree.	24390

(F)(1) Except as provided in division (F)(2) of this section,	24391
no grant shall be made to any student for enrollment during a	24392
fiscal year in an institution with a cohort default rate	24393
determined by the United States secretary of education pursuant to	24394
the "Higher Education Amendments of 1986," 100 Stat. 1278, 1408,	24395
20 U.S.C.A. 1085, as amended, as of the fifteenth day of June	24396
preceding the fiscal year, equal to or greater than thirty per	24397
cent for each of the preceding two fiscal years.	24398

(2) Division (F)(1) of this section does not apply to the	24399
following:	24400

(a) Any student enrolled in an institution that under the	24401
federal law appeals its loss of eligibility for federal financial	24402
aid and the United States secretary of education determines its	24403
cohort default rate after recalculation is lower than the rate	24404
specified in division (F)(1) of this section or the secretary	24405
determines due to mitigating circumstances the institution may	24406
continue to participate in federal financial aid programs. The	24407
board shall adopt rules requiring institutions to provide	24408
information regarding an appeal to the board.	24409

(b) Any student who has previously received a grant under	24410
this section who meets all other requirements of this section.	24411

(3) The board shall adopt rules for the notification of all	24412
institutions whose students will be ineligible to participate in	24413
the grant program pursuant to division (F)(1) of this section.	24414

(4) A student's attendance at an institution whose students	24415
lose eligibility for grants under division (F)(1) of this section	24416
shall not affect that student's eligibility to receive a grant	24417
when enrolled in another institution.	24418

(G) Institutions of higher education that enroll students	24419
receiving needs-based financial aid grants under this section	24420
shall report to the board all students who have received	24421
needs-based financial aid grants but are no longer eligible for	24422
all or part of such grants and shall refund any moneys due the	24423
state within thirty days after the beginning of the quarter or	24424
term immediately following the quarter or term in which the	24425
student was no longer eligible to receive all or part of the	24426
student's grant. There shall be an interest charge of one per cent	24427
per month on all moneys due and payable after such thirty-day	24428
period. The board shall immediately notify the office of budget	24429
and management and the legislative service commission of all	24430
refunds so received.	24431

Sec. 3333.27.  As used in this section:

24432

(A) "Eligible institution" means a nonprofit Ohio institution	24433
of higher education that holds a certificate of authorization	24434
issued under section 1713.02 of the Revised Code and meets the	24435
requirements of Title VI of the Civil Rights Act of 1964.	24436

(B) "Resident" and "full-time student" have the meanings	24437
established for purposes of this section by rule of the Ohio board	24438
of regents.	24439

The board shall establish and administer a student choice	24440
grant program and shall adopt rules for the administration of the	24441
program.	24442

The board may make a grant to any resident of this state who	24443
is enrolled as a full-time student in a bachelor's degree program	24444
at an eligible institution, qualifies for an Ohio college	24445
opportunity grant under section 3333.122 of the Revised Code, and	24446
maintains an academic record that meets or exceeds the standard	24447
established pursuant to this section by rule of the board, except	24448
that no grant shall be made to any individual who was enrolled as	24449
a student in an institution of higher education on or before July	24450
1, 1984, or is serving a term of imprisonment. The grant shall not	24451
exceed the lesser of the total instructional and general charges	24452
of the institution in which the student is enrolled, or an amount	24453
equal to one-fourth of the total of any state instructional	24454
subsidy amount distributed by the board in the second fiscal year	24455
of the preceding biennium for all full-time students enrolled in	24456
bachelor's degree programs at four-year state-assisted	24457
institutions of higher education divided by the sum of the actual	24458
number of full-time students enrolled in bachelor's degree	24459
programs at four-year state-assisted institutions of higher	24460
education reported to the board for such year by the institutions	24461
to which the subsidy was distributed.	24462

The board shall prescribe the form and manner of application	24463
for grants including the manner of certification by eligible	24464
institutions that each applicant from such institution is enrolled	24465
in a bachelor's degree program as a full-time student and has an	24466
academic record that meets or exceeds the standard established by	24467
the board.	24468

A grant awarded to an eligible student shall be paid to the	24469
institution in which the student is enrolled, and the institution	24470
shall reduce the student's instructional and general charges by	24471
the amount of the grant. Each grant awarded shall be prorated and	24472
paid in equal installments at the time of enrollment for each term	24473
of the academic year for which the grant is awarded. No student	24474
shall be eligible to receive a grant for more than ten semesters,	24475
fifteen quarters, or the equivalent of five academic years.	24476

The receipt of an Ohio student choice grant shall not affect	24477
a student's eligibility for assistance, or the amount of such	24478
assistance, granted under section 3315.33, 3333.12, 3333.122,	24479
3333.22, 3333.26, 5910.03, 5910.032, or 5919.34 of the Revised	24480
Code. If a student receives assistance under one or more of such	24481
sections, the student choice grant made to the student shall not	24482
exceed the difference between the amount of assistance received	24483
under such sections and the total instructional and general	24484
charges of the institution in which the student is enrolled.	24485

The general assembly shall support the student choice grant	24486
program by such sums and in such manner as it may provide, but the	24487
board may also receive funds from other sources to support the	24488
program.	24489

No grant shall be made to any student enrolled in a course of	24490
study leading to a degree in theology, religion, or other field of	24491
preparation for a religious profession unless the course of study	24492
leads to an accredited bachelor of arts or bachelor of science	24493
degree.	24494

Institutions of higher education that enroll students	24495
receiving grants under this section shall report to the board the	24496
name of each student who has received such a grant but who is no	24497
longer eligible for all or part of such grant and shall refund all	24498
moneys due to the state within thirty days after the beginning of	24499
the term immediately following the term in which the student was	24500
no longer eligible to receive all or part of the grant. There	24501
shall be an interest charge of one per cent per month on all	24502
moneys due and payable after such thirty-day period. The board	24503
shall immediately notify the office of budget and management and	24504
the legislative service commission of all refunds received.	24505

Sec. 3333.38.  (A) As used in this section:

24506

(1) "Institution of higher education" includes all of the	24507
following:	24508

(a) A state institution of higher education, as defined in	24509
section 3345.011 of the Revised Code;	24510

(b) A nonprofit institution issued a certificate of	24511
authorization by the Ohio board of regents under Chapter 1713. of	24512
the Revised Code;	24513

(c) A private institution exempt from regulation under	24514
Chapter 3332. of the Revised Code, as prescribed in section	24515
3333.046 of the Revised Code;	24516

(d) An institution of higher education with a certificate of	24517
registration from the state board of career colleges and schools	24518
under Chapter 3332. of the Revised Code.	24519

(2) "Student financial assistance supported by state funds"	24520
includes assistance granted under sections 3315.33, 3333.12,	24521
3333.122, 3333.21, 3333.26, 3333.27, 3333.28, 3333.29, 3333.372,	24522
5910.03, 5910.032, and 5919.34 of the Revised Code and any other	24523
post-secondary student financial assistance supported by state	24524
funds.	24525

(B) An individual who is convicted of, pleads guilty to, or	24526
is adjudicated a delinquent child for one of the following	24527
violations shall be ineligible to receive any student financial	24528
assistance supported by state funds at an institution of higher	24529
education for two calendar years from the time the individual	24530
applies for assistance of that nature:	24531

(1) A violation of section 2917.02 or 2917.03 of the Revised	24532
Code;	24533

(2) A violation of section 2917.04 of the Revised Code that	24534
is a misdemeanor of the fourth degree;	24535

(3) A violation of section 2917.13 of the Revised Code that	24536
is a misdemeanor of the fourth or first degree and occurs within	24537
the proximate area where four or more others are acting in a	24538
course of conduct in violation of section 2917.11 of the Revised	24539
Code.	24540

(C) If an individual is convicted of, pleads guilty to, or is	24541
adjudicated a delinquent child for committing a violation of	24542
section 2917.02 or 2917.03 of the Revised Code, and if the	24543
individual is enrolled in a state-supported institution of higher	24544
education, the institution in which the individual is enrolled	24545
shall immediately dismiss the individual. No state-supported	24546
institution of higher education shall admit an individual of that	24547
nature for one academic year after the individual applies for	24548
admission to a state-supported institution of higher education.	24549
This division does not limit or affect the ability of a	24550
state-supported institution of higher education to suspend or	24551
otherwise discipline its students.	24552

Sec. 3333.50. The Ohio board of regents, in consultation with	24553
the governor and the department of development, shall develop a	24554
critical needs rapid response system to respond quickly to	24555
critical workforce shortages in the state identified by the	24556
director of development pursuant to section 122.014 of the Revised	24557
Code. Not later than ninety days after the director of development	24558
notifies the chancellor of the board of a critical workforce	24559
shortage, the chancellor shall submit to the governor a proposal	24560
for addressing the shortage through initiatives of the board or	24561
institutions of higher education.	24562

Sec. 3345.02. As used in this section, "state institution of	24563
higher education" has the same meaning as in section 3345.011 of	24564
the Revised Code.	24565

Beginning in the 2008-2009 academic year, each state	24566
institution of higher education shall include in each statement of	24567
estimated or actual charges owed by a student enrolled in the	24568
institution an itemized list of the instructional fees, general	24569
fees, special purpose fees, service charges, fines, and any other	24570
fees or surcharges applicable to the student.	24571

Sec. 3345.51.  (A) Notwithstanding anything to the contrary	24572
in sections 123.01 and 123.15 of the Revised Code, a state	24573
university, the northeastern Ohio universities college of	24574
medicine, or a state community college may administer any capital	24575
facilities project for the construction, reconstruction,	24576
improvement, renovation, enlargement, or alteration of a public	24577
improvement under its jurisdiction for which funds are	24578
appropriated by the general assembly without the supervision,	24579
control, or approval of the department of administrative services	24580
as specified in those sections, if all of the following occur:	24581

(1) The institution is certified by the state architect under	24582
section 123.17 of the Revised Code;	24583

(2) Within sixty days after the effective date of the section	24584
of an act in which the general assembly initially makes an	24585
appropriation for the project, the board of trustees of the	24586
institution notifies the Ohio board of regents in writing of its	24587
request to administer the capital facilities project and the board	24588
of regents approves that request pursuant to division (B) of this	24589
section;	24590

(3) The board of trustees passes a resolution stating its	24591
intent to comply with section 153.13 of the Revised Code and the	24592
guidelines established pursuant to section 153.16 of the Revised	24593
Code and all laws that govern the selection of consultants,	24594
preparation and approval of contract documents, receipt of bids,	24595
and award of contracts with respect to the project.	24596

(B) The board of regents shall adopt rules in accordance with	24597
Chapter 119. of the Revised Code that establish criteria for the	24598
administration by any such institution of higher education of a	24599
capital facilities project for which the general assembly	24600
appropriates funds. The criteria, to be developed with the	24601
department of administrative services and higher education	24602
representatives selected by the board of regents, shall include	24603
such matters as the adequacy of the staffing levels and expertise	24604
needed for the institution to administer the project, past	24605
performance of the institution in administering such projects, and	24606
the amount of institutional or other nonstate money to be used in	24607
financing the project. The board of regents shall approve the	24608
request of any such institution of higher education that seeks to	24609
administer any such capital facilities project and meets the	24610
criteria set forth in the rules and the requirements of division	24611
(A) of this section.	24612

(C) Any institution that administers a capital facilities	24613
project under this section shall conduct biennial audits for the	24614
duration of the project to ensure that the institution is	24615
complying with Chapters 9., 123., and 153. of the Revised Code and	24616
that the institution is using its certification issued under	24617
section 123.17 of the Revised Code appropriately. The board of	24618
regents, in consultation with higher education representatives	24619
selected by the board, shall adopt rules in accordance with	24620
Chapter 119. of the Revised Code that establish criteria for the	24621
conduct of the audits. The criteria shall include documentation	24622
necessary to determine compliance with Chapters 9., 123., and 153.	24623
of the Revised Code and a method to determine whether an	24624
institution is using its certification issued under section 123.17	24625
of the Revised Code appropriately.	24626

(D) The board of regents, in consultation with higher	24627
education representatives selected by the board, shall adopt rules	24628
in accordance with Chapter 119. of the Revised Code establishing	24629
criteria for monitoring capital facilities projects administered	24630
by institutions under this section. The criteria shall include the	24631
following:	24632

(1) Conditions under which the board of regents may revoke	24633
the authority of an institution to administer a capital facilities	24634
project under this section, including the failure of an	24635
institution to maintain a sufficient number of employees who have	24636
successfully completed the certification program under section	24637
123.17 of the Revised Code;	24638

(2) A process for institutions to remedy any problems found	24639
by an audit conducted pursuant to division (C) of this section,	24640
including the improper use of state funds or violations of Chapter	24641
9., 123., or 153. of the Revised Code.	24642

(E) If the board of regents revokes an institution's	24643
authority to administer a capital facilities project, the	24644
department of administrative services shall administer the capital	24645
facilities project. The board of regents also may require an	24646
institution, for which the board revoked authority to administer a	24647
capital facilities project, to acquire a new local administration	24648
competency certification pursuant to section 123.17 of the Revised	24649
Code.	24650

Sec. 3353.02.  (A) There is hereby created the eTech Ohio	24651
commission as an independent agency to advance education and	24652
accelerate the learning of the citizens of this state through	24653
technology. The commission shall provide leadership and support in	24654
extending the knowledge of the citizens of this state by promoting	24655
access to and use of all forms of educational technology,	24656
including educational television and radio, radio reading	24657
services, broadband networks, videotapes, compact discs, digital	24658
video on demand (DVD), and the internet. The commission also shall	24659
administer programs to provide financial and other assistance to	24660
school districts and other educational institutions for the	24661
acquisition and utilization of educational technology.	24662

The commission is a body corporate and politic, an agency of	24663
the state performing essential governmental functions of the	24664
state.	24665

(B) The commission shall consist of thirteen members, nine of	24666
whom shall be voting members. Six of the voting members shall be	24667
representatives of the public. Of the representatives of the	24668
public, four shall be appointed by the governor with the advice	24669
and consent of the senate, one shall be appointed by the speaker	24670
of the house of representatives, and one shall be appointed by the	24671
president of the senate. The superintendent of public instruction	24672
or a designee of the superintendent, the chancellor of the Ohio	24673
board of regents or a designee of the chancellor, and the director	24674
of the office of information technologystate chief information	24675
officer or a designee of the directorofficer shall be ex officio	24676
voting members. Of the nonvoting members, two shall be members of	24677
the house of representatives appointed by the speaker of the house	24678
of representatives and two shall be members of the senate	24679
appointed by the president of the senate. The members appointed	24680
from each chamber shall not be members of the same political	24681
party.	24682

(C) Initial terms of office for members appointed by the	24683
governor shall be one year for one member, two years for one	24684
member, three years for one member, and four years for one member.	24685
At the first meeting of the commission, members appointed by the	24686
governor shall draw lots to determine the length of the term each	24687
member will serve. Thereafter, terms of office for members	24688
appointed by the governor shall be for four years. Terms of office	24689
for voting members appointed by the speaker of the house of	24690
representatives and the president of the senate shall be for four	24691
years. Any member who is a representative of the public may be	24692
reappointed by the member's respective appointing authority, but	24693
no such member may serve more than two consecutive four-year	24694
terms. Such a member may be removed by the member's respective	24695
appointing authority for cause.	24696

Any legislative member appointed by the speaker of the house	24697
of representatives or the president of the senate who ceases to be	24698
a member of the legislative chamber from which the member was	24699
appointed shall cease to be a member of the commission. The	24700
speaker of the house of representatives and the president of the	24701
senate may remove their respective appointments to the commission	24702
at any time.	24703

(D) Vacancies among appointed members shall be filled in the	24704
manner provided for original appointments. Any member appointed to	24705
fill a vacancy occurring prior to the expiration of the term for	24706
which the member's predecessor was appointed shall hold office for	24707
the remainder of that term. Any appointed member shall continue in	24708
office subsequent to the expiration of that member's term until	24709
the member's successor takes office or until a period of sixty	24710
days has elapsed, whichever occurs first.	24711

(E) Members of the commission shall serve without	24712
compensation. The members who are representatives of the public	24713
shall be reimbursed, pursuant to office of budget and management	24714
guidelines, for actual and necessary expenses incurred in the	24715
performance of official duties.	24716

(F) The governor shall appoint the chairperson of the	24717
commission from among the commission's voting members. The	24718
chairperson shall serve a term of two years and may be	24719
reappointed. The commission shall elect other officers as	24720
necessary from among its voting members and shall prescribe its	24721
rules of procedure.	24722

(G) The commission shall establish advisory groups as needed	24723
to address topics of interest and to provide guidance to the	24724
commission regarding educational technology issues and the	24725
technology needs of educators, learners, and the public. Members	24726
of each advisory group shall be appointed by the commission and	24727
shall include representatives of individuals or organizations with	24728
an interest in the topic addressed by the advisory group.	24729

Sec. 3365.01.  As used in this chapter:

24730

(A) "College" means any state-assisted college or university	24731
described in section 3333.041 of the Revised Code, any nonprofit	24732
institution holding a certificate of authorization pursuant to	24733
Chapter 1713. of the Revised Code, any private institution exempt	24734
from regulation under Chapter 3332. of the Revised Code as	24735
prescribed in section 3333.046 of the Revised Code, and any	24736
institution holding a certificate of registration from the state	24737
board of career colleges and schools and program authorization for	24738
an associate or bachelor's degree program issued under section	24739
3332.05 of the Revised Code.	24740

(B) "School district," except as specified in division (G) of	24741
this section, means any school district to which a student is	24742
admitted under section 3313.64, 3313.65, 3313.98, or 3317.08 of	24743
the Revised Code and does not include a joint vocational or	24744
cooperative education school district.	24745

(C) "Parent" has the same meaning as in section 3313.64 of	24746
the Revised Code.	24747

(D) "Participant" means a student enrolled in a college under	24748
the post-secondary enrollment options program established by this	24749
chapter.	24750

(E) "Secondary grade" means the ninth through twelfth grades.

24751

(F) "School foundation payments" means the amount required to	24752
be paid to a school district for a fiscal year under Chapter 3317.	24753
of the Revised Code.	24754

(G) "Tuition base" means, with respect to a participant's	24755
school district, the greater of the following:	24756

(1) The fiscal year 2005 formula amount defined in section	24757
3317.02 of the Revised Code multiplied by the district's fiscal	24758
year 2005 cost-of-doing-business factor defined in that section;	24759

(2) The sum of (the current formula amount times the current	24760
cost-of-doing-business factor defined in section 3317.02 of the	24761
Revised Code) plus the per pupil amount of the base funding	24762
supplements specified in divisions (C)(1) to (4) of section	24763
3317.012 of the Revised Code.	24764

The participant's "school district" in the case of a	24765
participant enrolled in a community school shall be the school	24766
district in which the student is entitled to attend school under	24767
section 3313.64 or 3313.65 of the Revised Code.	24768

(H) "Educational program" means enrollment in one or more	24769
school districts, in a nonpublic school, or in a college under	24770
division (B) of section 3365.04 of the Revised Code.	24771

(I) "Nonpublic school" means a chartered or nonchartered	24772
school for which minimum standards are prescribed by the state	24773
board of education pursuant to division (D) of section 3301.07 of	24774
the Revised Code.	24775

(J) "School year" means the year beginning on the first day	24776
of July and ending on the thirtieth day of June.	24777

(K) "Community school" means any school established pursuant	24778
to Chapter 3314. of the Revised Code that includes secondary	24779
grades.	24780

(L) "Community school payments" means payments made by the	24781
department of education to a community school pursuant to division	24782
(D) of section 3314.08 of the Revised Code.	24783

Sec. 3375.05.  The board of trustees of any public library	24784
receiving money from a county's library and local government	24785
supportlibraries fund that desires to render public library	24786
service by means of branches, library stations, or traveling	24787
library service to the inhabitants of any school district, other	24788
than a school district situated within the territorial boundaries	24789
of the subdivision or district over which said board has	24790
jurisdiction of free public library service, may make application	24791
to the state library board, upon forms provided by said board, for	24792
the establishment of such service. Said application shall set	24793
forth the total number of people being served by said library on	24794
the date of said application; an inventory of the books owned by	24795
said library; the number of branches, library stations, and	24796
traveling library service maintained by said library on the date	24797
of said application; the number and classification of the	24798
employees of said library and such other information as the state	24799
library board deems pertinent. Such application shall be	24800
accompanied by a financial statement of the library making the	24801
application covering the two fiscal years next preceding the date	24802
of said application. Upon receipt of said application by the state	24803
library board, the state librarian, or an employee of the state	24804
library board designated by such librarian, shall visit the	24805
library making the application for the purpose of determining	24806
whether or not the establishment of branches, library stations, or	24807
traveling library service as requested in said application will	24808
promote better library service in the district covered by said	24809
application. Upon the completion of such inspection, the	24810
librarian, or the person designated by the librarian to make such	24811
inspection, shall prepare a written report setting forth histhe	24812
librarian's or designee's recommendations pertaining to the	24813
establishment of the branches, stations, or traveling library	24814
service as set forth in the application. Such report shall be	24815
submitted to the state library board within ninety days after the	24816
receipt of such application by the state library board. Within	24817
thirty days after such report has been filed with the state	24818
library board, said board shall either approve or disapprove, in	24819
whole or in part, the establishment of branches, library stations,	24820
or traveling library service as requested in said application. The	24821
decision of the state library board shall be final. Within ten	24822
days after final action has been taken by the state library board,	24823
upon such application, the librarian shall notify in writing the	24824
board of trustees of the public library making such application of	24825
the decision of the state library board.	24826

The state library board may withdraw its approval of library	24827
service rendered by any library to the inhabitants of a school	24828
district other than the school district in which the main library	24829
of such library is located. At least thirty days before the	24830
approval of such service may be withdrawn, the state library board	24831
shall give written notice to the board of trustees of the library	24832
rendering the service and the board of education of the school	24833
district to which such service is being rendered. Such notice	24834
shall set forth the reasons for the withdrawal of the approval of	24835
such service. If the board of trustees of the library rendering	24836
such service, or the board of education of a school district to	24837
which such service is being rendered, objects to the withdrawal of	24838
such approval it may, within twenty days of the receipt of such	24839
notice, request, in writing, the state library board to hold a	24840
hearing for the purpose of hearing protests to the withdrawal of	24841
such approval. Upon the receipt of such request, the state library	24842
board shall set the time and place of such hearing which shall be	24843
held within the territorial boundaries of the school district	24844
being served by the branch, station, or traveling library service	24845
whose continued operation is in question. Such hearing shall be	24846
held not less than thirty days after the receipt by the state	24847
library board of the request for such hearing. The state library	24848
board shall take no action on the withdrawal of approval of such	24849
service until after the holding of such hearing. The decision of	24850
the state library board shall be final.	24851

Sec. 3375.121.  (A) In any municipal corporation, not located	24852
in a county library district, which has a population of not less	24853
than twenty-five thousand, and within which there is not located a	24854
main library of a township, municipal, school district,	24855
association, or county free public library, a library district may	24856
be created by a resolution adopted by the legislative authority of	24857
that municipal corporation. No such resolution shall be adopted	24858
after one year from June 20, 1977. Upon the adoption of such a	24859
resolution, any branches of an existing library that are located	24860
in that municipal corporation shall become the property of the	24861
municipal library district created.	24862

The municipal corporation and the board of trustees of the	24863
public library maintaining any existing branches in that municipal	24864
corporation shall forthwith take appropriate action transferring	24865
all title and interest in all real and personal property located	24866
in that municipal corporation in the name of the library district	24867
maintaining those branches in that municipal corporation to the	24868
municipal corporation adopting the appropriate resolution. Upon	24869
transfer of all title and interest in that property, the branches	24870
shall become a part of, and be operated by, the board of library	24871
trustees appointed by the mayor.	24872

(B) In any municipal corporation that has a population of	24873
less than twenty-five thousand and that has not less than one	24874
hundred thousand dollars available from a bequest for the	24875
establishment of a municipal library, the legislative authority of	24876
that municipal corporation may adopt, within one year after June	24877
20, 1977, a resolution creating a library district. Upon the	24878
establishment of any such library district, the board of trustees	24879
of any library operating a branch library in that municipal	24880
corporation shall not be required to transfer any property to the	24881
newly established library.	24882

(C) The board of library trustees of any library district	24883
created under this section shall be composed of six members. Those	24884
trustees shall be appointed by the mayor, to serve without	24885
compensation, for a term of four years. In the first instance,	24886
three of those trustees shall be appointed for a term of two	24887
years, and three of them shall be appointed for a term of four	24888
years. Vacancies shall be filled by like appointment for the	24889
unexpired term. A library district created under this section	24890
shall be governed in accordance with and exercise the authority	24891
provided for in sections 3375.32 to 3375.41 of the Revised Code.	24892

Notwithstanding any contrary provision of section 3.24 of the	24893
Revised Code, the president of a board of township trustees may	24894
administer the oath of office to a person or persons representing	24895
the township on the board of library trustees of any library	24896
district created under this section, even if the geographical	24897
limits of the library district do not fall within the geographical	24898
limits of the township.	24899

(D) Any library district created under this section is	24900
eligible to participate in the proceeds of the county library and	24901
local government supportlibraries fund in accordance with section	24902
5705.28 of the Revised Code.	24903

(E) A municipal corporation may establish and operate a free	24904
public library regardless of whether the municipal corporation is	24905
located in a county library district or school library district,	24906
if all of the following conditions are met:	24907

(1) The facility in which the library is principally located	24908
is transferred to the municipal corporation from the county	24909
library district or school library district in which it is located	24910
prior to January 1, 1996.	24911

(2) The population of the municipal corporation is less than	24912
five hundred when the library is transferred from the county	24913
library district or school library district to the municipal	24914
corporation.	24915

(3) The municipal corporation does not establish a municipal	24916
library district under this section.	24917

(4) The library does not receive any proceeds from the county	24918
library and local government supportlibraries fund under section	24919
5747.48 of the Revised Code.	24920

Sec. 3375.40.  Each board of library trustees appointed	24921
pursuant to section 3375.06, 3375.10, 3375.12, 3375.15, 3375.22,	24922
or 3375.30 of the Revised Code may do the following:	24923

(A) Hold title to and have the custody of all real and	24924
personal property of the free public library under its	24925
jurisdiction;	24926

(B) Expend for library purposes, and in the exercise of the	24927
power enumerated in this section, all moneys, whether derived from	24928
the county library and local government supportlibraries fund or	24929
otherwise, credited to the free public library under its	24930
jurisdiction and generally do all things it considers necessary	24931
for the establishment, maintenance, and improvement of the free	24932
public library under its jurisdiction;	24933

(C) Purchase, lease, construct, remodel, renovate, or	24934
otherwise improve, equip, and furnish buildings or parts of	24935
buildings and other real property, and purchase, lease, or	24936
otherwise acquire motor vehicles and other personal property,	24937
necessary for the proper maintenance and operation of the free	24938
public library under its jurisdiction, and pay their costs in	24939
installments or otherwise. Financing of these costs may be	24940
provided through the issuance of notes, through an installment	24941
sale, or through a lease-purchase agreement. Any such notes shall	24942
be issued pursuant to section 3375.404 of the Revised Code.	24943

(D) Purchase, lease, lease with an option to purchase, or	24944
erect buildings or parts of buildings to be used as main	24945
libraries, branch libraries, or library stations pursuant to	24946
section 3375.41 of the Revised Code;	24947

(E) Establish and maintain a main library, branches, library	24948
stations, and traveling library service within the territorial	24949
boundaries of the political subdivision or district over which it	24950
has jurisdiction of free public library service;	24951

(F) Except as otherwise provided in this division, establish	24952
and maintain branches, library stations, and traveling library	24953
service in any school district, outside the territorial boundaries	24954
of the political subdivision or district over which it has	24955
jurisdiction of free public library service, upon application to	24956
and approval of the state library board, pursuant to section	24957
3375.05 of the Revised Code. The board of library trustees of any	24958
free public library maintaining branches, stations, or traveling	24959
library service, outside the territorial boundaries of the	24960
political subdivision or district over which it has jurisdiction	24961
of free public library service, on September 4, 1947, may continue	24962
to maintain and operate those branches, those stations, and that	24963
traveling library service without the approval of the state	24964
library board.	24965

(G) Appoint and fix the compensation of all of the employees	24966
of the free public library under its jurisdiction, pay the	24967
reasonable cost of tuition for any of its employees who enroll in	24968
a course of study the board considers essential to the duties of	24969
the employee or to the improvement of the employee's performance,	24970
and reimburse applicants for employment for any reasonable	24971
expenses they incur by appearing for a personal interview;	24972

(H) Make and publish rules for the proper operation and	24973
management of the free public library and facilities under its	24974
jurisdiction, including rules pertaining to the provision of	24975
library services to individuals, corporations, or institutions	24976
that are not inhabitants of the county;	24977

(I) Assess uniform fees for the provision of services to	24978
patrons of the library, but no fee shall be assessed for the	24979
circulation of printed materials held by the library except for	24980
the assessment of fines for materials not returned in accordance	24981
with the board's rules;	24982

(J) Establish and maintain a museum in connection with and as	24983
an adjunct to the free public library under its jurisdiction;	24984

(K) By the adoption of a resolution, accept any bequest,	24985
gift, or endowment upon the conditions connected with the bequest,	24986
gift, or endowment. No such bequest, gift, or endowment shall be	24987
accepted by the board if its conditions remove any portion of the	24988
free public library under the board's jurisdiction from the	24989
control of the board or if the conditions, in any manner, limit	24990
the free use of the library or any part of it by the residents of	24991
the counties in which the library is located.	24992

(L) At the end of any fiscal year, by a two-thirds vote of	24993
its full membership, set aside any unencumbered surplus remaining	24994
in the general fund of the free public library under its	24995
jurisdiction for any purpose, including creating or increasing a	24996
special building and repair fund, or for operating the library or	24997
acquiring equipment and supplies;	24998

(M) Procure and pay all or part of the cost of group term	24999
life, hospitalization, surgical, major medical, disability	25000
benefit, dental care, eye care, hearing aids, or prescription drug	25001
insurance or coverage, or a combination of any of those types of	25002
insurance or coverage, whether issued by an insurance company or a	25003
health insuring corporation duly licensed by the state, covering	25004
its employees, and, in the case of group term life,	25005
hospitalization, surgical, major medical, dental care, eye care,	25006
hearing aids, or prescription drug insurance or coverage, also	25007
covering the dependents and spouses of its employees, and, in the	25008
case of disability benefits, also covering the spouses of its	25009
employees.	25010

(N) Pay reasonable dues and expenses for the free public	25011
library and library trustees in library associations.	25012

Any instrument by which real property is acquired pursuant to	25013
this section shall identify the agency of the state that has the	25014
use and benefit of the real property as specified in section	25015
5301.012 of the Revised Code.	25016

Sec. 3375.85.  An interstate library district lying partly	25017
within this state may claim and be entitled to receive state aid,	25018
other than aid from the library and local government support	25019
libraries fund, in support of any of its functions to the same	25020
extent and in the same manner as such functions are eligible for	25021
suportsupport when carried on by entities wholly within this	25022
state. For the purposes of computing and apportioning such state	25023
aid to an interstate library district, this state will consider	25024
that portion of the area which lies within this state as an	25025
independent entity for the performance of the aided function or	25026
functions and compute and apportion the aid accordingly. Any	25027
library association that was organized and operated prior to	25028
January 1, 1968, and which pursuant to the authority granted in	25029
section 3375.83 of the Revised Code, has become part of an	25030
interstate library district shall be considered a library	25031
association under section 5705.28 of the Revised Code and entitled	25032
to participate in the county library and local government support	25033
libraries fund and other public funds. Subject to any applicable	25034
laws of this state, such a district also may apply for and be	25035
entitled to receive any federal aid for which it may be eligible.	25036

Sec. 3381.04.  (A) In lieu of the procedure set forth in	25037
section 3381.03 of the Revised Code, any county with a population	25038
of five hundred thousand or more, at any time before the creation	25039
of a regional arts and cultural district under that section, may	25040
create a regional arts and cultural district by adoption of a	25041
resolution by the board of county commissioners of that county.	25042
The resolution shall state all of the following:	25043

(1) The purposes for the creation of the district;

25044

(2) That the territory of the district shall be coextensive	25045
with the territory of the county;	25046

(3) The official name by which the district shall be known;

25047

(4) The location of the principal office of the district or	25048
the manner in which the location shall be selected.	25049

(B) The district provided for in the resolution shall be	25050
created upon the adoption of the resolution by the board of county	25051
commissioners of that county. Upon the adoption of the resolution,	25052
the county and the municipal corporations and townships contained	25053
in the county shall not thereafter be a part of any other regional	25054
arts and cultural district.	25055

(C) The board of trustees of any regional arts and cultural	25056
district formed in accordance with this section shall be comprised	25057
of threefive members appointed by the board of county	25058
commissioners.	25059

Sec. 3503.10.  (A) Each designated agency shall designate one	25060
person within that agency to serve as coordinator for the voter	25061
registration program within the agency and its departments,	25062
divisions, and programs. The designated person shall be trained	25063
under a program designed by the secretary of state and shall be	25064
responsible for administering all aspects of the voter	25065
registration program for that agency as prescribed by the	25066
secretary of state. The designated person shall receive no	25067
additional compensation for performing such duties.	25068

(B) Every designated agency, public high school and	25069
vocational school, public library, and office of a county	25070
treasurer shall provide in each of its offices or locations voter	25071
registration applications and assistance in the registration of	25072
persons qualified to register to vote, in accordance with this	25073
chapter.	25074

(C) Every designated agency shall distribute to its	25075
applicants, prior to or in conjunction with distributing a voter	25076
registration application, a form prescribed by the secretary of	25077
state that includes all of the following:	25078

(1) The question, "Do you want to register to vote or update	25079
your current voter registration?"--followed by boxes for the	25080
applicant to indicate whether the applicant would like to register	25081
or decline to register to vote, and the statement, highlighted in	25082
bold print, "If you do not check either box, you will be	25083
considered to have decided not to register to vote at this time.";	25084

(2) If the agency provides public assistance, the statement,	25085
"Applying to register or declining to register to vote will not	25086
affect the amount of assistance that you will be provided by this	25087
agency.";	25088

(3) The statement, "If you would like help in filling out the	25089
voter registration application form, we will help you. The	25090
decision whether to seek or accept help is yours. You may fill out	25091
the application form in private.";	25092

(4) The statement, "If you believe that someone has	25093
interfered with your right to register or to decline to register	25094
to vote, your right to privacy in deciding whether to register or	25095
in applying to register to vote, or your right to choose your own	25096
political party or other political preference, you may file a	25097
complaint with the prosecuting attorney of your county or with the	25098
secretary of state," with the address and telephone number for	25099
each such official's office.	25100

(D) Each designated agency shall distribute a voter	25101
registration form prescribed by the secretary of state to each	25102
applicant with each application for service or assistance, and	25103
with each written application or form for recertification,	25104
renewal, or change of address.	25105

(E) Each designated agency shall do all of the following:

25106

(1) Have employees trained to administer the voter	25107
registration program in order to provide to each applicant who	25108
wishes to register to vote and who accepts assistance, the same	25109
degree of assistance with regard to completion of the voter	25110
registration application as is provided by the agency with regard	25111
to the completion of its own form;	25112

(2) Accept completed voter registration applications, voter	25113
registration change of residence forms, and voter registration	25114
change of name forms, regardless of whether the application or	25115
form was distributed by the designated agency, for transmittal to	25116
the office of the board of elections in the county in which the	25117
agency is located. Each designated agency and the appropriate	25118
board of elections shall establish a method by which the voter	25119
registration applications and other voter registration forms are	25120
transmitted to that board of elections within five days after	25121
being accepted by the agency.	25122

(3) If the designated agency is one that is primarily engaged	25123
in providing services to persons with disabilities under a	25124
state-funded program, and that agency provides services to a	25125
person with disabilities at a person's home, provide the services	25126
described in divisions (E)(1) and (2) of this section at the	25127
person's home;	25128

(4) Keep as confidential, except as required by the secretary	25129
of state for record-keeping purposes, the identity of an agency	25130
through which a person registered to vote or updated the person's	25131
voter registration records, and information relating to a	25132
declination to register to vote made in connection with a voter	25133
registration application issued by a designated agency.	25134

(F) The secretary of state shall prepare and transmit written	25135
instructions on the implementation of the voter registration	25136
program within each designated agency, public high school and	25137
vocational school, public library, and office of a county	25138
treasurer. The instructions shall include directions as follows:	25139

(1) That each person designated to assist with voter	25140
registration maintain strict neutrality with respect to a person's	25141
political philosophies, a person's right to register or decline to	25142
register, and any other matter that may influence a person's	25143
decision to register or not register to vote;	25144

(2) That each person designated to assist with voter	25145
registration not seek to influence a person's decision to register	25146
or not register to vote, not display or demonstrate any political	25147
preference or party allegiance, and not make any statement to a	25148
person or take any action the purpose or effect of which is to	25149
lead a person to believe that a decision to register or not	25150
register has any bearing on the availability of services or	25151
benefits offered, on the grade in a particular class in school, or	25152
on credit for a particular class in school;	25153

(3) Regarding when and how to assist a person in completing	25154
the voter registration application, what to do with the completed	25155
voter registration application or voter registration update form,	25156
and when the application must be transmitted to the appropriate	25157
board of elections;	25158

(4) Regarding what records must be kept by the agency and	25159
where and when those records should be transmitted to satisfy	25160
reporting requirements imposed on the secretary of state under the	25161
National Voter Registration Act of 1993;	25162

(5) Regarding whom to contact to obtain answers to questions	25163
about voter registration forms and procedures.	25164

(G) If the voter registration activity is part of an in-class	25165
voter registration program in a public high school or vocational	25166
school, whether prescribed by the secretary of state or	25167
independent of the secretary of state, the board of education	25168
shall do all of the following:	25169

(1) Establish a schedule of school days and hours during	25170
these days when the person designated to assist with voter	25171
registration shall provide voter registration assistance;	25172

(2) Designate a person to assist with voter registration from	25173
the public high school's or vocational school's staff;	25174

(3) Make voter registration applications and materials	25175
available, as outlined in the voter registration program	25176
established by the secretary of state pursuant to section 3501.05	25177
of the Revised Code;	25178

(4) Distribute the statement, "applying to register or	25179
declining to register to vote will not affect or be a condition of	25180
your receiving a particular grade in or credit for a school course	25181
or class, participating in a curricular or extracurricular	25182
activity, receiving a benefit or privilege, or participating in a	25183
program or activity otherwise available to pupils enrolled in this	25184
school district's schools.";	25185

(5) Establish a method by which the voter registration	25186
application and other voter registration forms are transmitted to	25187
the board of elections within five days after being accepted by	25188
the public high school or vocational school.	25189

(H) Any person employed by the designated agency, public high	25190
school or vocational school, public library, or office of a county	25191
treasurer may be designated to assist with voter registration	25192
pursuant to this section. The designated agency, public high	25193
school or vocational school, public library, or office of a county	25194
treasurer shall provide the designated person, and make available	25195
such space as may be necessary, without charge to the county or	25196
state.	25197

(I) The secretary of state shall prepare and cause to be	25198
displayed in a prominent location in each designated agency a	25199
notice that identifies the person designated to assist with voter	25200
registration, the nature of that person's duties, and where and	25201
when that person is available for assisting in the registration of	25202
voters.	25203

A designated agency may furnish additional supplies and	25204
services to disseminate information to increase public awareness	25205
of the existence of a person designated to assist with voter	25206
registration in every designated agency.	25207

(J) This section does not limit any authority a board of	25208
education, superintendent, or principal has to allow, sponsor, or	25209
promote voluntary election registration programs within a high	25210
school or vocational school, including programs in which pupils	25211
serve as persons designated to assist with voter registration,	25212
provided that no pupil is required to participate.	25213

(K) Each public library and office of the county treasurer	25214
shall establish a method by which voter registration forms are	25215
transmitted to the board of elections within five days after being	25216
accepted by the public library or office of the county treasurer.	25217

(L) The department of job and family services and its	25218
departments, divisions, and programs shall limit administration of	25219
the aspects of the voter registration program for the department	25220
to the requirements prescribed by the secretary of state and the	25221
requirements of this section and the National Voter Registration	25222
Act of 1993.	25223

Sec. 3701.741.  (A) Through December 31, 2008, each health	25224
care provider and medical records company shall provide copies of	25225
medical records in accordance with this section.	25226

(B) Except as provided in divisions (C) and (E) of this	25227
section, a health care provider or medical records company that	25228
receives a request for a copy of a patient's medical record shall	25229
charge not more than the amounts set forth in this section.	25230

(1) If the request is made by the patient or the patient's	25231
personal representative, total costs for copies and all services	25232
related to those copies shall not exceed the sum of the following:	25233

(a) With respect to data recorded on paper, the following	25234
amounts:	25235

(i) Two dollars and fifty cents per page for the first ten	25236
pages;	25237

(ii) Fifty-one cents per page for pages eleven through fifty;

25238

(iii) Twenty cents per page for pages fifty-one and higher;

25239

(b) With respect to data recorded other than on paper, one	25240
dollar and seventy cents per page;	25241

(c) The actual cost of any related postage incurred by the	25242
health care provider or medical records company.	25243

(2) If the request is made other than by the patient or the	25244
patient's personal representative, total costs for copies and all	25245
services related to those copies shall not exceed the sum of the	25246
following:	25247

(a) An initial fee of fifteen dollars and thirty-five cents,	25248
which shall compensate for the records search;	25249

(b) With respect to data recorded on paper, the following	25250
amounts:	25251

(i) One dollar and two cents per page for the first ten	25252
pages;	25253

(ii) Fifty-one cents per page for pages eleven through fifty;

25254

(iii) Twenty cents per page for pages fifty-one and higher.

25255

(c) With respect to data recorded other than on paper, one	25256
dollar and seventy cents per page;	25257

(d) The actual cost of any related postage incurred by the	25258
health care provider or medical records company.	25259

(C)(1) A health care provider or medical records company	25260
shall provide one copy without charge to the following:	25261

(a) The bureau of workers' compensation, in accordance with	25262
Chapters 4121. and 4123. of the Revised Code and the rules adopted	25263
under those chapters;	25264

(b) The industrial commission, in accordance with Chapters	25265
4121. and 4123. of the Revised Code and the rules adopted under	25266
those chapters;	25267

(c) The department of job and family services or a county	25268
department of job and family services, in accordance with Chapter	25269
Chapters 5101. and 5111. of the Revised Code and the rules adopted	25270
under those chapters;	25271

(d) The attorney general, in accordance with sections 2743.51	25272
to 2743.72 of the Revised Code and any rules that may be adopted	25273
under those sections;	25274

(e) A patient or patient's personal representative if the	25275
medical record is necessary to support a claim under Title II or	25276
Title XVI of the "Social Security Act," 49 Stat. 620 (1935), 42	25277
U.S.C.A. 401 and 1381, as amended, and the request is accompanied	25278
by documentation that a claim has been filed.	25279

(2) Nothing in division (C)(1) of this section requires a	25280
health care provider or medical records company to provide a copy	25281
without charge to any person or entity not listed in division	25282
(C)(1) of this section.	25283

(D) Division (C) of this section shall not be construed to	25284
supersede any rule of the bureau of workers' compensation, the	25285
industrial commission, or the department of job and family	25286
services.	25287

(E) A health care provider or medical records company may	25288
enter into a contract with either of the following for the copying	25289
of medical records at a fee other than as provided in division (B)	25290
of this section:	25291

(1) A patient, a patient's personal representative, or an	25292
authorized person;	25293

(2) An insurer authorized under Title XXXIX of the Revised	25294
Code to do the business of sickness and accident insurance in this	25295
state or health insuring corporations holding a certificate of	25296
authority under Chapter 1751. of the Revised Code.	25297

(F) This section does not apply to medical records the	25298
copying of which is covered by section 173.20 of the Revised Code	25299
or by 42 C.F.R. 483.10.	25300

Sec. 3702.52.  The director of health shall administer a	25301
state certificate of need program in accordance with sections	25302
3702.51 to 3702.62 of the Revised Code and rules adopted under	25303
those sections.	25304

(A) The director shall issue rulings on whether a particular	25305
proposed project is a reviewable activity. The director shall	25306
issue a ruling not later than forty-five days after receiving a	25307
request for a ruling accompanied by the information needed to make	25308
the ruling. If the director does not issue a ruling in that time,	25309
the project shall be considered to have been ruled not a	25310
reviewable activity.	25311

(B) The director shall review applications for certificates	25312
of need. Each application shall be submitted to the director on	25313
forms prescribed by the director, shall include all information	25314
required by rules adopted under division (B) of section 3702.57 of	25315
the Revised Code, and shall be accompanied by the application fee	25316
established in rules adopted under division (G) of that section.	25317
Application	25318

Application fees received by the director under this division	25319
shall be deposited into the state treasury to the credit of the	25320
certificate of need fund, which is hereby created. The director	25321
shall use the fund only to pay the costs of administering sections	25322
3702.11 to 3702.20, 3702.30, and 3702.51 to 3702.62 of the Revised	25323
Code and rules adopted under those sections.	25324

The director shall mail to the applicant a written notice	25325
that the application meets the criteria for a complete application	25326
specified in rules adopted under section 3702.57 of the Revised	25327
Code, or a written request for additional information, not later	25328
than fifteenthirty days after receiving an application or a	25329
response to an earlier request for information. The director	25330
shall not make more than two requests for additional information.	25331

The director may conduct a public informational hearing in	25332
the course of reviewing any application for a certificate of need,	25333
and shall conduct one if requested to do so by any affected person	25334
not later than fifteen days after the director mails the notice	25335
that the application is complete. The hearing shall be conducted	25336
in the community in which the activities authorized by the	25337
certificate of need would be carried out. Any affected person may	25338
testify at the hearing. The director may, with the health service	25339
agency's consent, designate a health service agency to conduct the	25340
hearing.	25341

Except during a public hearing or as necessary to comply with	25342
a subpoena issued under division (F) of this section, after a	25343
notice of completeness has been received, no person shall	25344
knowingly discuss in person or by telephone the merits of the	25345
application with the director. If one or more persons request a	25346
meeting in person or by telephone, the director shall make a	25347
reasonable effort to invite interested parties to the meeting or	25348
conference call.	25349

(C) Divisions (C)(1) to (7) of this section apply to	25350
certificate of need applications for which the director had not	25351
issued a written decision prior to April 20, 1995, unless the	25352
director was required, under the version of this section in effect	25353
immediately prior to June 30, 1995, to grant a certificate of need	25354
prior to June 30, 1995, because of a lack of written objections	25355
from any affected person. Divisions (C)(1) to (7) of this section	25356
do not invalidate any certificate of need that the director was	25357
required to grant prior to June 30, 1995, under that circumstance.	25358

(1) TheAll of the following apply to the process of granting	25359
or denying a certificate of need:	25360

(1) If the project proposed in a certificate of need	25361
application meets all of the applicable certificate of need	25362
criteria for approval under sections 3702.51 to 3702.62 of the	25363
Revised Code and the rules adopted under those sections, the	25364
director shall grant a certificate of need for the entire project	25365
that is the subject of the application immediately after both of	25366
the following conditions are met:	25367

(a) The board of trustees of the health service agency of the	25368
health service area in which the reviewable activity is proposed	25369
to be conducted recommends, prior to the deadline specified in	25370
division (C)(4) of this section or any extension of it under	25371
division (C)(5) of this section, that the certificate of need be	25372
granted;	25373

(b) The director receives nodoes not receive any written	25374
objections to the application from any affected person by the	25375
later of May 20, 1995, or thirty daysthirtieth day after the	25376
director mails the notice of completeness.	25377

(2) In the case of certificate of need applications under	25378
comparative review, if the projects proposed in the applications	25379
meet all of the applicable certificate of need criteria for	25380
approval under sections 3702.51 to 3702.62 of the Revised Code and	25381
the rules adopted under those sections, the director shall grant	25382
certificates of need for the entire projects that are the subject	25383
of the applications immediately after both of the following	25384
conditions are met:	25385

(a) The board of trustees of the health service agency of	25386
each health service area in which the reviewable activities are	25387
proposed to be conducted recommends, prior to the deadline	25388
specified in division (C)(4) of this section or any extension of	25389
it under division (C)(5) of this section, that certificates of	25390
need be granted for each of the reviewable activities to be	25391
conducted in its health service area;	25392

(b) The director receives nodoes not receive any written	25393
objections to any of the applications from any affected person by	25394
the later of May 20, 1995, or thirty daysthirtieth day after the	25395
director mails the last notice of completeness.	25396

The director's grant of a certificate of need under division	25397
(C)(1) or (2) of this section does not affect, and sets no	25398
precedent for, the director's decision to grant or deny other	25399
applications for similar reviewable activities proposed to be	25400
conducted in the same or different health service areas.	25401

(3) If the director receives written objections to an	25402
application from any affected person by the later of May 20, 1995,	25403
or thirty daysthirtieth day after mailing the notice of	25404
completeness, regardless of the health service agency's	25405
recommendation, the director shall notify the applicant and assign	25406
a hearing examiner to conduct an adjudication hearing concerning	25407
the application in accordance with Chapter 119. of the Revised	25408
Code. In the case of applications under comparative review, if the	25409
director receives written objections to any of the applications	25410
from any affected person by the later of May 20, 1995, or thirty	25411
daysthirtieth day after the director mails the last notice of	25412
completeness, regardless of the health service agencies'	25413
recommendation, the director shall notify all of the applicants	25414
and appoint a hearing examiner to conduct a consolidated	25415
adjudication hearing concerning the applications in accordance	25416
with Chapter 119. of the Revised Code. The hearing examiner shall	25417
be employed by or under contract with the department of health.	25418

The adjudication hearings may be conducted in the health	25419
service area in which the reviewable activity is proposed to be	25420
conducted. Consolidated adjudication hearings for applications in	25421
comparative review may be conducted in the geographic region in	25422
which all of the reviewable activities will be conducted. The	25423
applicant, the director, and the affected persons that filed	25424
objections to the application shall be parties to the hearing. If	25425
none of the affected persons that submitted written objections to	25426
the application appears or prosecutes the hearing, the hearing	25427
examiner shall dismiss the hearing and the director shall grant a	25428
certificate of need for the entire project that is the subject of	25429
the application if the proposed project meets all of the	25430
applicable certificate of need criteria for approval under	25431
sections 3702.51 to 3702.62 of the Revised Code and the rules	25432
adopted under those sections. The affected persons bear the burden	25433
of proving by a preponderance of evidence that the project is not	25434
needed or that granting the certificate would not be in accordance	25435
with sections 3702.51 to 3702.62 of the Revised Code or the rules	25436
adopted under section 3702.57 of the Revised Codethose sections.	25437

(4) Except as provided in divisions (C)(1) and (2) of this	25438
section, the director shall grant or deny certificate of need	25439
applications for which an adjudication hearing is not conducted	25440
under division (C)(3) of this section not later than ninetysixty	25441
days after mailing the notice of completeness or, in the case of	25442
an application proposing addition of long-term care beds, not	25443
later than ninetysixty days after such other time as is specified	25444
in rules adopted under section 3702.57 of the Revised Code. The	25445
director shall grant or deny certificate of need applications for	25446
which an adjudication hearing is conducted under division (C)(3)	25447
of this section not later than thirty days after the expiration of	25448
the time for filing objections to the report and recommendation of	25449
the hearing examiner under section 119.09 of the Revised Code. The	25450
director shall base decisions concerning applications for which an	25451
adjudication hearing is conducted under division (C)(3) of this	25452
section on the report and recommendations of the hearing examiner.	25453

(5) Except as otherwise provided in division (C)(1), (2), or	25454
(6) of this section, the director or the applicant may extend the	25455
deadline prescribed in division (C)(4) of this section once, for	25456
no longer than thirty days, by written notice before the end of	25457
the original thirty-day period. An extension by the director under	25458
division (C)(5) of this section shall apply to all applications	25459
that are in comparative review.	25460

(6) No applicant in a comparative review may extend the	25461
deadline specified in division (C)(4) of this section.	25462

(7) Except as provided in divisions (C)(1) and (2) of this	25463
section, the director may grant a certificate of need for all or	25464
part of the project that is the subject of an application. If the	25465
director does not grant or deny the certificate by the applicable	25466
deadline specified in division (C)(4) of this section or any	25467
extension of it under division (C)(5) of this section, the	25468
certificate shall be considered to have been granted. The	25469
director, in reviewing certificate of need applications for solid	25470
organ transplantation services, may ask for assistance from a	25471
statewide transplantation advisory group consisting of qualified	25472
professionals and administrators. Such consultation shall not	25473
cause the review period for any application to be extended beyond	25474
the applicable deadline specified in division (C)(4) of this	25475
section or any extension of it under division (C)(5) of this	25476
section.	25477

(D)(8) In granting a certificate of need, the director shall	25478
specify as the maximum capital expenditure the certificate holder	25479
may obligate under the certificate a figure equal to one hundred	25480
ten per cent of the approved project cost.	25481

(E)(9) In granting a certificate of need, the director may	25482
grant the certificate with conditions that must be met by the	25483
holder of the certificate.	25484

(D) The director shall monitor the activities of persons	25485
granted certificates of need concerning long-term care beds during	25486
the period beginning with the granting of the certificate of need	25487
and ending five years after implementation of the activity for	25488
which the certificate was granted.	25489

In the case of any other certificate of need, the director	25490
shall monitor the activities of persons granted certificates of	25491
need during the period beginning with the granting of the	25492
certificate of need and ending when the activity for which the	25493
certificate was granted ceases to be a reviewable activity in	25494
accordance with section 3702.511 of the Revised Code.	25495

(F)(E) When reviewing applications for certificates of need	25496
or monitoring activities of persons granted certificates of need,	25497
the director may issue and enforce, in the manner provided in	25498
section 119.09 of the Revised Code, subpoenas duces tecum to	25499
compel the production of documents relevant to review of the	25500
application or monitoring of the activities. In addition, the	25501
director or the director's designee, which may include a health	25502
service agency, may visit the sites where the activities are or	25503
will be conducted.	25504

(G)(F) The director may withdraw certificates of need.

25505

(H)(G) The director shall conduct, on a regular basis, health	25506
system data collection and analysis activities and prepare	25507
reports. The director shall make recommendations based upon these	25508
activities to the public health council concerning the adoption of	25509
appropriate rules under section 3702.57 of the Revised Code. All	25510
health care facilities and other health care providers shall	25511
submit to the director, upon request, any information that is	25512
necessary to conduct reviews of certificate of need applications	25513
and to develop recommendations for criteria for reviews, and that	25514
is prescribed by rules adopted under division (H) of section	25515
3702.57 of the Revised Code.	25516

(I)(H) Any decision to grant or deny a certificate of need	25517
shall consider the special needs and circumstances resulting from	25518
moral and ethical values and the free exercise of religious rights	25519
of health care facilities administered by religious organizations,	25520
and the special needs and circumstances of children's hospitals,	25521
inner city hospitals, and small rural hospitals.	25522

Sec. 3702.5211.  Notwithstanding any conflicting provision of	25523
sections 3702.51 to 3702.683702.62 of the Revised Code, the	25524
veterans' home operated under Chapter 5907. of the Revised Code	25525
that is located in Sandusky, including the Secrest nursing home	25526
and Giffin care facility, is not required to obtain a certificate	25527
of need for the addition of up to fifty-two additional nursing	25528
home beds to be licensed under Chapter 3721. of the Revised Code	25529
if the additional beds are placed in service prior to June 30,	25530
1999.	25531

Sec. 3702.5212.  (A) This section applies to each long-term	25532
care facility that meets the following requirements:	25533

(1) The facility has been in continuous operation for not	25534
less than one hundred twenty years prior to the effective date of	25535
this section;	25536

(2) The facility is located in an inner city area;

25537

(3) The facility is operating as a nonprofit entity organized	25538
under Chapter 1702. of the Revised Code or the nonprofit law of	25539
another state.	25540

(B) Notwithstanding any conflicting provision of sections	25541
3702.51 to 3702.683702.62 of the Revised Code, the owner or	25542
operator of a long-term care facility described in division (A) of	25543
this section is not required to obtain a certificate of need for	25544
the addition of up to thirty long-term care beds to be licensed	25545
under Chapter 3721. of the Revised Code. The exemption shall apply	25546
only as long as the beds are owned and operated by the facility to	25547
which the exemption is granted.	25548

Sec. 3702.5213. Notwithstanding any conflicting provision of	25549
sections 3702.51 to 3702.683702.62 of the Revised Code, the	25550
veterans' home operated under Chapter 5907. of the Revised Code	25551
that is located in Brown county is not required to obtain a	25552
certificate of need for the addition of up to one hundred	25553
sixty-eight additional nursing home beds to be licensed under	25554
Chapter 3721. of the Revised Code if the additional beds are	25555
placed in service prior to December 31, 2004.	25556

Sec. 3702.57.  (A) The public health council shall adopt	25557
rules establishing procedures and criteria for reviews of	25558
applications for certificates of need and issuance, denial, or	25559
withdrawal of certificates.	25560

(1) The rules shall require that, in addition to any other	25561
applicable review requirements of sections 3702.51 to 3702.62 of	25562
the Revised Code and rules adopted thereunder, any application for	25563
a certificate of need from an osteopathic hospital be reviewed on	25564
the basis of the need for and the availability in the community of	25565
services and hospitals for osteopathic physicians and their	25566
patients, and in terms of its impact on existing and proposed	25567
institutional training programs for doctors of osteopathy and	25568
doctors of medicine at the student, internship, and residency	25569
training levels.	25570

(2) In adopting rules that establish criteria for reviews of	25571
applications of certificates of need, the council shall consider	25572
the availability of and need for long-term care beds to provide	25573
care and treatment to persons diagnosed as having traumatic brain	25574
injuries and shall prescribe criteria for reviewing applications	25575
that propose to add long-term care beds to provide care and	25576
treatment to persons diagnosed as having traumatic brain injuries.	25577

(3) The criteria for reviews of applications for certificates	25578
of need shall relate to the need for the reviewable activity and	25579
shall pertain to all of the following matters:	25580

(a) The impact of the reviewable activity on the cost and	25581
quality of health services in the relevant geographic area,	25582
including, but not limited, to the historical and projected	25583
utilization of the services to which the application pertains and	25584
the effect of the reviewable activity on utilization of other	25585
providers of similar services;	25586

(b) The quality of the services to be provided as the result	25587
of the activity, as evidenced by the historical performance of the	25588
persons that will be involved in providing the services and by the	25589
provisions that are proposed in the application to ensure quality,	25590
including but not limited to adequate available personnel,	25591
available ancillary and support services, available equipment,	25592
size and configuration of physical plant, and relations with other	25593
providers;	25594

(c) The impact of the reviewable activity on the availability	25595
and accessibility of the type of services proposed in the	25596
application to the population of the relevant geographic area, and	25597
the level of access to the services proposed in the application	25598
that will be provided to medically underserved individuals such as	25599
recipients of public assistance and individuals who have no health	25600
insurance or whose health insurance is insufficient;	25601

(d) The activity's short- and long-term financial feasibility	25602
and cost-effectiveness, the impact of the activity on the	25603
applicant's costs and charges, and a comparison of the applicant's	25604
costs and charges with those of providers of similar services in	25605
the applicant's proposed service area;	25606

(e) The advantages, disadvantages, and costs of alternatives	25607
to the reviewable activity;	25608

(f) The impact of the activity on all other providers of	25609
similar services in the health service area or other relevant	25610
geographic area, including the impact on their utilization, market	25611
share, and financial status;	25612

(g) The historical performance of the applicant and related	25613
or affiliated parties in complying with previously granted	25614
certificates of need and any applicable certification,	25615
accreditation, or licensure requirements;	25616

(h) The relationship of the activity to the current edition	25617
of the state health resources plan issued under section 3702.521	25618
of the Revised Code;	25619

(i) The historical performance of the applicant and related	25620
or affiliated parties in providing cost-effective health care	25621
services;	25622

(j) The special needs and circumstances of the applicant or	25623
population proposed to be served by the proposed project,	25624
including research activities, prevalence of particular diseases,	25625
unusual demographic characteristics, cost-effective contractual	25626
affiliations, and other special circumstances;	25627

(k) The appropriateness of the zoning status of the proposed	25628
site of the activity;	25629

(l) The participation by the applicant in research conducted	25630
by the United States food and drug administration or clinical	25631
trials sponsored by the national institutes of health.	25632

(4) The criteria for reviews of applications may include	25633
formulas for determining need for beds and services.	25634

(a) The criteria prescribing formulas shall not, either by	25635
themselves or in conjunction with any established occupancy	25636
guidelines, require, as a condition of being granted a certificate	25637
of need, that a hospital reduce its complement of registered beds	25638
or discontinue any service that is not related to the service or	25639
project for which the certificate of need is sought.	25640

(b) With respect to applications to conduct reviewable	25641
activities that are affected directly by the inpatient occupancy	25642
of a health care facility, including addition, relocation, or	25643
recategorization of beds or renovation or other construction	25644
activities relating to inpatient services, the rules shall	25645
prescribe criteria for determining whether the scope of the	25646
proposed project is appropriate in light of the historical and	25647
reasonably projected occupancy rates for the beds related to the	25648
project.	25649

(c) Any rules prescribing criteria that establish ratios of	25650
beds, services, or equipment to population shall specify the bases	25651
for establishing the ratios or mitigating factors or exceptions to	25652
the ratios.	25653

(B) The council shall adopt rules specifying all of the	25654
following:	25655

(1) Information that must be provided in applications for	25656
certificates of need, which shall include a plan for obligating	25657
the capital expenditure or implementing the proposed project on a	25658
timely basis in accordance with section 3702.525 of the Revised	25659
Code;	25660

(2) Procedures for reviewing applications for completeness of	25661
information;	25662

(3) Criteria for determining that the application is	25663
complete.	25664

(C) The council shall adopt rules specifying requirements	25665
that holders of certificates of need must meet in order for the	25666
certificates to remain valid and establishing definitions and	25667
requirements for obligation of capital expenditures and	25668
implementation of projects authorized by certificates of need.	25669

(D) The council shall adopt rules establishing criteria and	25670
procedures under which the director of health may withdraw a	25671
certificate of need if the holder fails to meet requirements for	25672
continued validity of the certificate.	25673

(E) The council shall adopt rules establishing procedures	25674
under which the department of health shall monitor project	25675
implementation activities of holders of certificates of need. The	25676
rules adopted under this division also may establish procedures	25677
for monitoring implementation activities of persons that have	25678
received nonreviewability rulings.	25679

(F) The council shall adopt rules establishing procedures	25680
under which the director of health shall review certificates of	25681
need whose holders exceed or appear likely to exceed an	25682
expenditure maximum specified in a certificate.	25683

(G) The council shall adopt rules establishing certificate of	25684
need application fees sufficient to pay the costs incurred by the	25685
department for administering sections 3702.51 to 3702.62 of the	25686
Revised Code and to pay health service agencies for the functions	25687
they perform under division (D)(5) of section 3702.58 of the	25688
Revised Code. Unless rules are adopted under this division	25689
establishing different application fees, the application fee for a	25690
project not involving a capital expenditure shall be three	25691
thousand dollars and the application fee for a project involving a	25692
capital expenditure shall be nine-tenths of one per cent of the	25693
capital expenditure proposed subject to a minimum of three	25694
thousand dollars and a maximum of twenty thousand dollars.	25695

(H) The council shall adopt rules specifying information that	25696
is necessary to conduct reviews of certificate of need	25697
applications and to develop recommendations for criteria for	25698
reviews that health care facilities and other health care	25699
providers are to submit to the director under division (H)(G) of	25700
section 3702.52 of the Revised Code.	25701

(I) The council shall adopt rules defining "affiliated	25702
person,""related person," and "ultimate controlling interest" for	25703
purposes of section 3702.524 of the Revised Code.	25704

(J) The council shall adopt rules prescribing requirements	25705
for holders of certificates of need to demonstrate to the director	25706
under section 3702.526 of the Revised Code that reasonable	25707
progress is being made toward completion of the reviewable	25708
activity and establishing standards by which the director shall	25709
determine whether reasonable progress is being made.	25710

(K) The council shall adopt rules defining high-risk cardiac	25711
catheterization patients. High-risk patients shall include	25712
patients with significant ischemic syndromes or unstable	25713
myocardial infarction, patients who need intervention such as	25714
angioplasty or bypass surgery, patients who may require difficult	25715
or complex catheterization procedures such as transeptal	25716
assessment of valvular dysfunction, patients with critical aortic	25717
stenosis or congestive heart failure, and other patients specified	25718
by the council.	25719

(L) The public health council shall adopt all rules under	25720
divisions (A) to (K) of this section in accordance with Chapter	25721
119. of the Revised Code. The council may adopt other rules as	25722
necessary to carry out the purposes of sections 3702.51 to 3702.62	25723
of the Revised Code.	25724

Sec. 3702.68.        Sec. 3702.59.  (A) Notwithstanding any conflicting	25725
provision of sections 3702.51 to 3702.62 of the Revised Code,	25726
other than the provisions of sections 3702.5210, 3702.5211,	25727
3702.5212, and 3702.5213 of the Revised Code, both of the	25728
following apply under the certificate of need program:	25729

(1) Divisions (B) to (E) of this section appliesapply to the	25730
review of certificate of need applications during the period	25731
beginning July 1, 1993, and ending June 30, 20072009.	25732

As used in this section, "existing health care facility" has	25733
the same meaning as in section 3702.51 of the Revised Code(2)	25734
Beginning July 1, 2009, the director of health shall not accept	25735
for review under section 3702.52 of the Revised Code any	25736
application for a certificate of need to recategorize hospital	25737
beds as described in section 3702.522 of the Revised Code.	25738

(B)(1) Except as provided in division (B)(2) of this section,	25739
the director of health shall neither grant nor deny any	25740
application for a certificate of need submitted prior to July 1,	25741
1993, if the application was for any of the following and the	25742
director had not issued a written decision concerning the	25743
application prior to that date:	25744

(a) Approval of beds in a new health care facility or an	25745
increase of beds in an existing health care facility, if the beds	25746
are proposed to be licensed as nursing home beds under Chapter	25747
3721. of the Revised Code;	25748

(b) Approval of beds in a new county home or new county	25749
nursing home as defined in section 5155.31 of the Revised Code, or	25750
an increase of beds in an existing county home or existing county	25751
nursing home, if the beds are proposed to be certified as skilled	25752
nursing facility beds under Title XVIII or nursing facility beds	25753
under Title XIX of the "Social Security Act," 49 Stat. 620 (1935),	25754
42 U.S.C.A. 301, as amended;	25755

(c) Recategorization of hospital beds as described in section	25756
3702.522 of the Revised Code, an increase of hospital beds	25757
registered pursuant to section 3701.07 of the Revised Code as	25758
long-term care beds or skilled nursing facility beds, or a	25759
recategorization of hospital beds that would result in an increase	25760
of beds registered pursuant to that section as long-term care beds	25761
or skilled nursing facility beds.	25762

On July 1, 1993, the director shall return each such	25763
application to the applicant and, notwithstanding section 3702.52	25764
of the Revised Code regarding the uses of the certificate of need	25765
fund, shall refund to the applicant the application fee paid under	25766
that section. Applications returned under division (B)(1) of this	25767
section may be resubmitted in accordance with section 3702.52 of	25768
the Revised Code no sooner than July 1, 20072009.	25769

(2) The director shall continue to review and shall issue a	25770
decision regarding any application submitted prior to July 1,	25771
1993, to increase beds for either of the purposes described in	25772
division (B)(1)(a) or (b) of this section if the proposed increase	25773
in beds is attributable solely to a replacement or relocation of	25774
existing beds within the same county. The director shall authorize	25775
under such an application no additional beds beyond those being	25776
replaced or relocated.	25777

(C)(1) Except as provided in division (C)(2) of this section,	25778
the director, during the period beginning July 1, 1993, and ending	25779
June 30, 20072009, shall not accept for review under section	25780
3702.52 of the Revised Code any application for a certificate of	25781
need for any of the purposes described in divisions (B)(1)(a) to	25782
(c) of this section.	25783

(2)(a) The director shall accept for review any application	25784
for either of the purposes described in division (B)(1)(a) or (b)	25785
of this section if the proposed increase in beds is attributable	25786
solely to a replacement or relocation of existing beds from an	25787
existing health care facility within the same county. The director	25788
shall authorize under such an application no additional beds	25789
beyond those being replaced or relocated.	25790

The director shall not approve an application for a	25791
certificate of need for addition of long-term care beds to an	25792
existing health care facility by relocation of beds or for the	25793
development of a new health care facility by relocation of beds	25794
unless all of the following conditions are met:	25795

(i) The existing health care facility to which the beds are	25796
being relocated has no waivers for life safety code waivers	25797
deficiencies, no state fire code violations, and no state building	25798
code violations, or the project identified in the application	25799
proposes to correct all life safety code deficiencies for which a	25800
waiver has been granted, all state fire code violations, and all	25801
state building code violations at the existing health care	25802
facility to which the beds are being relocated;	25803

(ii) During the sixty-month period preceding the filing of	25804
the application, no notice of proposed revocation of the	25805
facility's license was issued under section 3721.03 of the Revised	25806
Code to the operator of the existing facility to which the beds	25807
are being relocated or to any health care facility owned or	25808
operated by the applicant or any principal participant in the same	25809
corporation or other business;	25810

(iii) Neither the existing health care facility to which the	25811
beds are being relocated nor any health care facility owned or	25812
operated by the applicant or any principal participant in the same	25813
corporation or other business has had a long-standing pattern of	25814
violations of this chapter or deficiencies that caused one or more	25815
residents physical, emotional, mental, or psychosocial harm.	25816

(b) The director also shall accept for review any application	25817
for the conversion of infirmary beds to long-term care beds if the	25818
infirmary meets all of the following conditions:	25819

(i) Is operated exclusively by a religious order;

25820

(ii) Provides care exclusively to members of religious orders	25821
who take vows of celibacy and live by virtue of their vows within	25822
the orders as if related;	25823

(iii) Was providing care exclusively to members of such a	25824
religious order on January 1, 1994.	25825

(D) The director shall issue a decision regarding any case	25826
remanded by a court as the result of a decision issued by the	25827
director prior to July 1, 1993, to grant, deny, or withdraw a	25828
certificate of need for any of the purposes described in divisions	25829
(B)(1)(a) to (c) of this section.	25830

(E) The director shall not project the need for beds listed	25831
in division (B)(1) of this section for the period beginning July	25832
1, 1993, and ending June 30, 20072009.	25833

This section is an interim section effective until July 1,	25834
2007.	25835

Sec. 3702.63.        Sec. 3702.591.  As specified in former Section 11 of	25836
Am. Sub. S.B. 50 of the 121st general assembly, as amended by Am.	25837
Sub. H.B. 405 of the 124th general assembly, all of the following	25838
apply:	25839

(A) The removal of former divisions (E) and (F) of section	25840
3702.52 of the Revised Code by Sections 1 and 2 of Am. Sub. S.B.	25841
50 of the 121st general assembly does not release the holders of	25842
certificates of need issued under those divisions from complying	25843
with any conditions on which the granting of the certificates of	25844
need was based, including the requirement of former division	25845
(E)(6) of that section that the holders not enter into provider	25846
agreements under Chapter 5111. of the Revised Code and Title XIX	25847
of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301,	25848
as amended, for at least ten years following initial licensure of	25849
the long-term care facilities for which the certificates were	25850
granted.	25851

(B) The repeal of section 3702.55 of the Revised Code by	25852
Section 2 of Am. Sub. S.B. 50 of the 121st general assembly does	25853
not release the holders of certificates of need issued under that	25854
section from complying with any conditions on which the granting	25855
of the certificates of need was based, other than the requirement	25856
of division (A)(6) of that section that the holders not seek	25857
certification under Title XVIII of the "Social Security Act" for	25858
beds recategorized under the certificates. That repeal also does	25859
not eliminate the requirement that the director of health revoke	25860
the licensure of the beds under Chapter 3721. of the Revised Code	25861
if a person to which their ownership is transferred fails, as	25862
required by division (A)(6) of the repealed section, to file	25863
within ten days after the transfer a sworn statement not to seek	25864
certification under Title XIX of the "Social Security Act" for	25865
beds recategorized under the certificates of need.	25866

(C) The repeal of section 3702.56 of the Revised Code by	25867
Section 2 of Am. Sub. S.B. 50 of the 121st general assembly does	25868
not release the holders of certificates of need issued under that	25869
section from complying with any conditions on which the granting	25870
of the certificates of need was based.	25871

Sec. 3702.74.  (A) A primary care physician who has signed a	25872
letter of intent under section 3702.73 of the Revised Code, the	25873
director of health, and the Ohio board of regents may enter into a	25874
contract for the physician's participation in the physician loan	25875
repayment program. A lending institution may also be a party to	25876
the contract.	25877

(B) The contract shall include all of the following	25878
obligations:	25879

(1) The primary care physician agrees to provide primary care	25880
services in the health resource shortage area identified in the	25881
letter of intent for at least two years or one year per twenty	25882
thousand dollars of repayment agreed to under division (B)(3) of	25883
this section, whichever is greater;	25884

(2) When providing primary care services in the health	25885
resource shortage area, the primary care physician agrees to do	25886
all of the following:	25887

(a) Provide primary care services for a minimum of forty	25888
hours per week;	25889

(b) Provide primary care services without regard to a	25890
patient's ability to pay;	25891

(c) Meet the conditions prescribed by the "Social Security	25892
Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as amended, and the	25893
department of job and family services for participation in the	25894
medical assistance program established under Chapter 5111. of the	25895
Revised Code and enter into a contract with the department to	25896
provide primary care services to recipients of the medical	25897
assistance program;	25898

(d) Meet the conditions established by the department of job	25899
and family services for participation in the nonfederal medical	25900
assistance program established under Chapter 5114. of the Revised	25901
Code and enter into a contract with the department to provide	25902
primary care services to recipients of nonfederal medical	25903
assistance;	25904

(e) Meet the conditions established by the department of job	25905
and family services for participation in the disability medical	25906
assistance program established under Chapter 5115. of the Revised	25907
Code and enter into a contract with the department to provide	25908
primary care services to recipients of disability medical	25909
assistance.	25910

(3) The Ohio board of regents agrees, as provided in section	25911
3702.75 of the Revised Code, to repay, so long as the primary care	25912
physician performs the service obligation agreed to under division	25913
(B)(1) of this section, all or part of the principal and interest	25914
of a government or other educational loan taken by the primary	25915
care physician for expenses described in section 3702.75 of the	25916
Revised Code;	25917

(4) The primary care physician agrees to pay the board the	25918
following as damages if the physician fails to complete the	25919
service obligation agreed to under division (B)(1) of this	25920
section:	25921

(a) If the failure occurs during the first two years of the	25922
service obligation, three times the total amount the board has	25923
agreed to repay under division (B)(3) of this section;	25924

(b) If the failure occurs after the first two years of the	25925
service obligation, three times the amount the board is still	25926
obligated to repay under division (B)(3) of this section.	25927

(C) The contract may include any other terms agreed upon by	25928
the parties, including an assignment to the Ohio board of regents	25929
of the physician's duty to pay the principal and interest of a	25930
government or other educational loan taken by the physician for	25931
expenses described in section 3702.75 of the Revised Code. If the	25932
board assumes the physician's duty to pay a loan, the contract	25933
shall set forth the total amount of principal and interest to be	25934
paid, an amortization schedule, and the amount of each payment to	25935
be made under the schedule.	25936

Sec. 3704.03.  The director of environmental protection may	25937
do any of the following:	25938

(A) Develop programs for the prevention, control, and	25939
abatement of air pollution;	25940

(B) Advise, consult, contract, and cooperate with any	25941
governmental or private agency in the furtherance of the purposes	25942
of this chapter;	25943

(C) Encourage, participate in, or conduct studies,	25944
investigations, and research relating to air pollution, collect	25945
and disseminate information, and conduct education and training	25946
programs relating to the causes, prevention, control, and	25947
abatement of air pollution;	25948

(D) Adopt, modify, and rescind rules prescribing ambient air	25949
quality standards for the state as a whole or for various areas of	25950
the state that are consistent with and no more stringent than the	25951
national ambient air quality standards in effect under the federal	25952
Clean Air Act;	25953

(E) Adopt, modify, suspend, and rescind rules for the	25954
prevention, control, and abatement of air pollution, including	25955
rules prescribing for the state as a whole or for various areas of	25956
the state emission standards for air contaminants, and other	25957
necessary rules for the purpose of achieving and maintaining	25958
compliance with ambient air quality standards in all areas within	25959
the state as expeditiously as practicable, but not later than any	25960
deadlines applicable under the federal Clean Air Act; rules for	25961
the prevention or control of the emission of hazardous or toxic	25962
air contaminants; rules prescribing fugitive dust limitations and	25963
standards that are related, on an areawide basis, to attainment	25964
and maintenance of ambient air quality standards; rules	25965
prescribing shade, density, or opacity limitations and standards	25966
for emissions, provided that with regard to air contaminant	25967
sources for which there are particulate matter emission standards	25968
in addition to a shade, density, or opacity rule, upon	25969
demonstration by such a source of compliance with those other	25970
standards, the shade, density, or opacity rule shall provide for	25971
establishment of a shade, density, or opacity limitation for that	25972
source that does not require the source to reduce emissions below	25973
the level specified by those other standards; rules for the	25974
prevention or control of odors and air pollution nuisances; rules	25975
that prevent significant deterioration of air quality to the	25976
extent required by the federal Clean Air Act; rules for the	25977
protection of visibility as required by the federal Clean Air Act;	25978
and rules prescribing open burning limitations and standards. In	25979
adopting, modifying, suspending, or rescinding any such rules, the	25980
director, to the extent consistent with the federal Clean Air Act,	25981
shall hear and give consideration to evidence relating to all of	25982
the following:	25983

(1) Conditions calculated to result from compliance with the	25984
rules, the overall cost within this state of compliance with the	25985
rules, and their relation to benefits to the people of the state	25986
to be derived from that compliance;	25987

(2) The quantity and characteristics of air contaminants, the	25988
frequency and duration of their presence in the ambient air, and	25989
the dispersion and dilution of those contaminants;	25990

(3) Topography, prevailing wind directions and velocities,	25991
physical conditions, and other factors that may or may combine to	25992
affect air pollution.	25993

Consistent with division (K) of section 3704.036 of the	25994
Revised Code, the director shall consider alternative emission	25995
limits proposed by the owner or operator of an air contaminant	25996
source that is subject to an emission limit established in rules	25997
adopted under this division and shall accept those alternative	25998
emission limits that the director determines to be equivalent to	25999
emission limits established in rules adopted under this division.	26000

(F)(1) Adopt, modify, suspend, and rescind rules consistent	26001
with the purposes of this chapter prohibiting the location,	26002
installation, construction, or modification of any air contaminant	26003
source or any machine, equipment, device, apparatus, or physical	26004
facility intended primarily to prevent or control the emission of	26005
air contaminants unless an installation permit therefor has been	26006
obtained from the director or the director's authorized	26007
representative.	26008

(2) Applications for installation permits shall be	26009
accompanied by plans, specifications, construction schedules, and	26010
such other pertinent information and data, including data on	26011
ambient air quality impact and a demonstration of best available	26012
technology, as the director may require. Installation permits	26013
shall be issued for a period specified by the director and are	26014
transferable. The director shall specify in each permit the	26015
applicable emission standards and that the permit is conditioned	26016
upon payment of the applicable fees as required by section 3745.11	26017
of the Revised Code and upon the right of the director's	26018
authorized representatives to enter upon the premises of the	26019
person to whom the permit has been issued, at any reasonable time	26020
and subject to safety requirements of the person in control of the	26021
premises, for the purpose of determining compliance with such	26022
standards, this chapter, the rules adopted thereunder, and the	26023
conditions of any permit, variance, or order issued thereunder.	26024
Each proposed new or modified air contaminant source shall provide	26025
such notice of its proposed installation or modification to other	26026
states as is required under the federal Clean Air Act.	26027
Installation permits shall include the authorization to operate	26028
sources installed and operated in accordance with terms and	26029
conditions of the installation permits for a period not to exceed	26030
one year from commencement of operation, which authorization shall	26031
constitute an operating permit under division (G) of this section	26032
and rules adopted under it.	26033

No installation permit shall be required for activities that	26034
are subject to and in compliance with a plant-wide applicability	26035
limit issued by the director in accordance with rules adopted	26036
under this section.	26037

No installation permit shall be issued except in accordance	26038
with all requirements of this chapter and rules adopted	26039
thereunder. No application shall be denied or permit revoked or	26040
modified without a written order stating the findings upon which	26041
denial, revocation, or modification is based. A copy of the order	26042
shall be sent to the applicant or permit holder by certified mail.	26043

(3) Not later than two years after the effective date of this	26044
amendmentAugust 3, 2006, the director shall adopt a rule in	26045
accordance with Chapter 119. of the Revised Code specifying that a	26046
permit to install is required only for new or modified air	26047
contaminant sources that emit any of the following air	26048
contaminants:	26049

(a) An air contaminant or precursor of an air contaminant for	26050
which a national ambient air quality standard has been adopted	26051
under the federal Clean Air Act;	26052

(b) An air contaminant for which the air contaminant source	26053
is regulated under the federal Clean Air Act;	26054

(c) An air contaminant that presents, or may present, through	26055
inhalation or other routes of exposure, a threat of adverse human	26056
health effects, including, but not limited to, substances that are	26057
known to be, or may reasonably be anticipated to be, carcinogenic,	26058
mutagenic, teratogenic, or neurotoxic, that cause reproductive	26059
dysfunction, or that are acutely or chronically toxic, or a threat	26060
of adverse environmental effects whether through ambient	26061
concentrations, bioaccumulation, deposition, or otherwise, and	26062
that is identified in the rule by chemical name and chemical	26063
abstract service number.	26064

The director may modify the rule adopted under division	26065
(F)(3)(c) of this section for the purpose of adding or deleting	26066
air contaminants. For each air contaminant that is contained in or	26067
deleted from the rule adopted under division (F)(3)(c) of this	26068
section, the director shall include in a notice accompanying any	26069
proposed or final rule an explanation of the director's	26070
determination that the air contaminant meets the criteria	26071
established in that division and should be added to, or no longer	26072
meets the criteria and should be deleted from, the list of air	26073
contaminants. The explanation shall include an identification of	26074
the scientific evidence on which the director relied in making the	26075
determination. Until adoption of the rule under division (F)(3)(c)	26076
of this section, nothing shall affect the director's authority to	26077
issue, deny, modify, or revoke permits to install under this	26078
chapter and rules adopted under it.	26079

(4)(a) Applications for permits to install new or modified	26080
air contaminant sources shall contain sufficient information	26081
regarding air contaminants for which the director may require a	26082
permit to install to determine conformity with the environmental	26083
protection agency's document entitled "Review of New Sources of	26084
Air Toxics Emissions, Option A," dated May 1986, which the	26085
director shall use to evaluate toxic emissions from new or	26086
modified air contaminant sources. The director shall make copies	26087
of the document available to the public upon request at no cost	26088
and post the document on the environmental protection agency's web	26089
site. Any inconsistency between the document and division (F)(4)	26090
of this section shall be resolved in favor of division (F)(4) of	26091
this section.	26092

(b) The maximum acceptable ground level concentration of an	26093
air contaminant shall be calculated in accordance with the	26094
document entitled "Review of New Sources of Air Toxics Emissions,	26095
Option A." Modeling shall be conducted to determine the increase	26096
in the ground level concentration of an air contaminant beyond the	26097
facility's boundary caused by the emissions from a new or modified	26098
source that is the subject of an application for a permit to	26099
install. Modeling shall be based on the maximum hourly rate of	26100
emissions from the source using information including, but not	26101
limited to, any emission control devices or methods, operational	26102
restrictions, stack parameters, and emission dispersion devices or	26103
methods that may affect ground level concentrations, either	26104
individually or in combination. The director shall determine	26105
whether the activities for which a permit to install is sought	26106
will cause an increase in the ground level concentration of one or	26107
more relevant air contaminants beyond the facility's boundary by	26108
an amount in excess of the maximum acceptable ground level	26109
concentration. In making the determination as to whether the	26110
maximum acceptable ground level concentration will be exceeded,	26111
the director shall give consideration to the modeling conducted	26112
under division (F)(4)(b) of this section and other relevant	26113
information submitted by the applicant.	26114

(c) If the modeling conducted under division (F)(4)(b) of	26115
this section with respect to an application for a permit to	26116
install demonstrates that the maximum ground level concentration	26117
from a new or modified source will be greater than or equal to	26118
eighty per cent, but less than one hundred per cent of the maximum	26119
acceptable ground level concentration for an air contaminant, the	26120
director may establish terms and conditions in the permit to	26121
install for the air contaminant source that will require the owner	26122
or operator of the air contaminant source to maintain emissions of	26123
that air contaminant commensurate with the modeled level, which	26124
shall be expressed as allowable emissions per day. In order to	26125
calculate the allowable emissions per day, the director shall	26126
multiply the hourly emission rate modeled under division (F)(4)(b)	26127
of this section to determine the ground level concentration by the	26128
operating schedule that has been identified in the permit to	26129
install application. Terms and conditions imposed under division	26130
(F)(4)(c) of this section are not federally enforceable	26131
requirements and, if included in a Title V permit, shall be placed	26132
in the portion of the permit that is only enforceable by the	26133
state.	26134

(d) If the modeling conducted under division (F)(4)(b) of	26135
this section with respect to an application for a permit to	26136
install demonstrates that the maximum ground level concentration	26137
from a new or modified source will be less than eighty per cent of	26138
the maximum acceptable ground level concentration, the owner or	26139
operator of the source annually shall report to the director, on a	26140
form prescribed by the director, whether operations of the source	26141
are consistent with the information regarding the operations that	26142
was used to conduct the modeling with regard to the permit to	26143
install application. The annual report to the director shall be in	26144
lieu of an emission limit or other permit terms and conditions	26145
imposed pursuant to division (F)(4) of this section. The director	26146
may consider any significant departure from the operations of the	26147
source described in the permit to install application that results	26148
in greater emissions than the emissions rate modeled to determine	26149
the ground level concentration as a modification and require the	26150
owner or operator to submit a permit to install application for	26151
the increased emissions. The requirements established in division	26152
(F)(4)(d) of this section are not federally enforceable	26153
requirements and, if included in a Title V permit, shall be placed	26154
in the portion of the permit that is only enforceable by the	26155
state.	26156

(e) Division (F)(4) of this section and the document entitled	26157
"Review of New Sources of Air Toxics Emissions, Option A" shall	26158
not be included in the state implementation plan under section 110	26159
of the federal Clean Air Act and do not apply to an air	26160
contaminant source that is subject to a maximum achievable control	26161
technology standard or residual risk standard under section 112 of	26162
the federal Clean Air Act, to a particular air contaminant	26163
identified under 40 C.F.R. 51.166, division (b)(23), for which the	26164
director has determined that the owner or operator of the source	26165
is required to install best available control technology for that	26166
particular air contaminant, or to a particular air contaminant for	26167
which the director has determined that the source is required to	26168
meet the lowest achievable emission rate, as defined in 40 C.F.R.	26169
part 51, Appendix S, for that particular air contaminant.	26170

(f)(i) Division (F)(4) of this section and the document	26171
entitled "Review of New Sources of Air Toxics Emissions, Option A"	26172
do not apply to parking lots, storage piles, storage tanks,	26173
transfer operations, grain silos, grain dryers, emergency	26174
generators, gasoline dispensing operations, air contaminant	26175
sources that emit air contaminants solely from the combustion of	26176
fossil fuels, or the emission of wood dust, sand, glass dust, coal	26177
dust, silica, and grain dust.	26178

(ii) Notwithstanding division (F)(4)(f)(i) of this section,	26179
the director may require an individual air contaminant source that	26180
is within one of the source categories identified in division	26181
(F)(4)(f)(i) of this section to submit information in an	26182
application for a permit to install a new or modified source in	26183
order to determine the source's conformity to the document if the	26184
director has information to conclude that the particular new or	26185
modified source will potentially cause an increase in ground level	26186
concentration beyond the facility's boundary that exceeds the	26187
maximum acceptable ground level concentration as set forth in the	26188
document.	26189

(iii) The director may adopt rules in accordance with Chapter	26190
119. of the Revised Code that are consistent with the purposes of	26191
this chapter and that add to or delete from the source category	26192
exemptions established in division (F)(4)(f)(i) of this section.	26193

(5) Not later than one year after the effective date of this	26194
amendmentAugust 3, 2006, the director shall adopt rules in	26195
accordance with Chapter 119. of the Revised Code specifying	26196
activities that do not, by themselves, constitute beginning actual	26197
construction activities related to the installation or	26198
modification of an air contaminant source for which a permit to	26199
install is required such as the grading and clearing of land,	26200
on-site storage of portable parts and equipment, and the	26201
construction of foundations or buildings that do not themselves	26202
emit air contaminants. The rules also shall allow specified	26203
initial activities that are part of the installation or	26204
modification of an air contaminant source, such as the	26205
installation of electrical and other utilities for the source,	26206
prior to issuance of a permit to install, provided that the owner	26207
or operator of the source has filed a complete application for a	26208
permit to install, the director or the director's designee has	26209
determined that the application is complete, and the owner or	26210
operator of the source has notified the director that this	26211
activity will be undertaken prior to the issuance of a permit to	26212
install. Any activity that is undertaken by the source under those	26213
rules shall be at the risk of the owner or operator. The rules	26214
shall not apply to activities that are precluded prior to permit	26215
issuance under section 111, section 112, Part C of Title I, and	26216
Part D of Title I of the federal Clean Air Act.	26217

(G) Adopt, modify, suspend, and rescind rules prohibiting the	26218
operation or other use of any new, modified, or existing air	26219
contaminant source unless an operating permit has been obtained	26220
from the director or the director's authorized representative, or	26221
the air contaminant source is being operated in compliance with	26222
the conditions of a variance issued pursuant to division (H) of	26223
this section. Applications for operating permits shall be	26224
accompanied by such plans, specifications, and other pertinent	26225
information as the director may require. Operating permits may be	26226
issued for a period determined by the director not to exceed five	26227
ten years, are renewable, and are transferable. The director shall	26228
specify in each operating permit that the permit is conditioned	26229
upon payment of the applicable fees as required by section 3745.11	26230
of the Revised Code and upon the right of the director's	26231
authorized representatives to enter upon the premises of the	26232
person to whom the permit has been issued, at any reasonable time	26233
and subject to safety requirements of the person in control of the	26234
premises, for the purpose of determining compliance with this	26235
chapter, the rules adopted thereunder, and the conditions of any	26236
permit, variance, or order issued thereunder. Operating permits	26237
may be denied or revoked for failure to comply with this chapter	26238
or the rules adopted thereunder. An operating permit shall be	26239
issued only upon a showing satisfactory to the director or the	26240
director's representative that the air contaminant source is being	26241
operated in compliance with applicable emission standards and	26242
other rules or upon submission of a schedule of compliance	26243
satisfactory to the director for a source that is not in	26244
compliance with all applicable requirements at the time of permit	26245
issuance, provided that the compliance schedule shall be	26246
consistent with and at least as stringent as that contained in any	26247
judicial consent decree or administrative order to which the air	26248
contaminant source is subject. The rules shall provide for the	26249
issuance of conditional operating permits for such reasonable	26250
periods as the director may determine to allow the holder of an	26251
installation permit, who has constructed, installed, located, or	26252
modified a new air contaminant source in accordance with the	26253
provisions of an installation permit, to make adjustments or	26254
modifications necessary to enable the new air contaminant source	26255
to comply with applicable emission standards and other rules.	26256
Terms and conditions of operating permits issued pursuant to this	26257
division shall be federally enforceable for the purpose of	26258
establishing the potential to emit of a stationary source and	26259
shall be expressly designated as federally enforceable. Any such	26260
federally enforceable restrictions on a source's potential to emit	26261
shall include both an annual limit and a short-term limit of not	26262
more than thirty days for each pollutant to be restricted together	26263
with adequate methods for establishing compliance with the	26264
restrictions. In other respects, operating permits issued pursuant	26265
to this division are enforceable as state law only. No application	26266
shall be denied or permit revoked or modified without a written	26267
order stating the findings upon which denial, revocation, or	26268
modification is based. A copy of the order shall be sent to the	26269
applicant or permit holder by certified mail.	26270

(H) Adopt, modify, and rescind rules governing the issuance,	26271
revocation, modification, or denial of variances that authorize	26272
emissions in excess of the applicable emission standards.	26273

No variance shall be issued except pursuant to those rules.	26274
The rules shall prescribe conditions and criteria in furtherance	26275
of the purposes of this chapter and consistent with the federal	26276
Clean Air Act governing eligibility for issuance of variances,	26277
which shall include all of the following:	26278

(1) Provisions requiring consistency of emissions authorized	26279
by a variance with timely attainment and maintenance of ambient	26280
air quality standards;	26281

(2) Provisions prescribing the classes and categories of air	26282
contaminants and air contaminant sources for which variances may	26283
be issued;	26284

(3) Provisions defining the circumstances under which an	26285
applicant shall demonstrate that compliance with applicable	26286
emission standards is technically infeasible, economically	26287
unreasonable, or impossible because of conditions beyond the	26288
control of the applicant;	26289

(4) Other provisions prescribed in furtherance of the goals	26290
of this chapter.	26291

The rules shall prohibit the issuance of variances from any	26292
emission limitation that was applicable to a source pursuant to an	26293
installation permit and shall prohibit issuance of variances that	26294
conflict with the federal Clean Air Act.	26295

Applications for variances shall be accompanied by such	26296
information as the director may require. In issuing variances, the	26297
director may order the person to whom a variance is issued to	26298
furnish plans and specifications and such other information and	26299
data, including interim reports, as the director may require and	26300
to proceed to take such action within such time as the director	26301
may determine to be appropriate and reasonable to prevent,	26302
control, or abate the person's existing emissions of air	26303
contaminants. The director shall specify in each variance that the	26304
variance is conditioned upon payment of the applicable fees as	26305
required by section 3745.11 of the Revised Code and upon the right	26306
of the director's authorized representatives to enter upon the	26307
premises of the person to whom the variance has been issued, at	26308
any reasonable time and subject to safety requirements of the	26309
person in control of the premises, for the purpose of determining	26310
compliance with this chapter, the rules adopted thereunder, and	26311
the conditions of any permit, variance, or order issued	26312
thereunder.	26313

The director may hold a public hearing on an application for	26314
a variance or renewal thereof at a location in the county where	26315
the variance is sought. The director shall give not less than	26316
twenty days' notice of the hearing to the applicant by certified	26317
mail and cause at least one publication of notice in a newspaper	26318
with general circulation in the county where the variance is	26319
sought. The director shall keep available for public inspection at	26320
the principal office of the environmental protection agency a	26321
current schedule of pending applications for variances and a	26322
current schedule of pending variance hearings. The director shall	26323
make a complete stenographic record of testimony and other	26324
evidence submitted at the hearing. The director shall make a	26325
written determination to issue, renew, or deny the variance and	26326
shall enter the determination and the basis therefor into the	26327
record of the hearing. The director shall issue, renew, or deny an	26328
application for a variance or renewal thereof, or issue a proposed	26329
action upon the application pursuant to section 3745.07 of the	26330
Revised Code, within six months of the date upon which the	26331
director receives a complete application with all pertinent	26332
information and data required by the director.	26333

Any variance granted pursuant to rules adopted under this	26334
division shall be for a period specified by the director, not to	26335
exceed three years, and may be renewed from time to time on such	26336
terms and for such periods, not to exceed three years each, as the	26337
director determines to be appropriate. A variance may be revoked,	26338
or renewal denied, for failure to comply with conditions specified	26339
in the variance. No variance shall be issued, denied, revoked, or	26340
modified without a written order stating the findings upon which	26341
the issuance, denial, revocation, or modification is based. A copy	26342
of the order shall be sent to the applicant or variance holder by	26343
certified mail.	26344

(I) Require the owner or operator of an air contaminant	26345
source to install, employ, maintain, and operate such emissions,	26346
ambient air quality, meteorological, or other monitoring devices	26347
or methods as the director shall prescribe; to sample those	26348
emissions at such locations, at such intervals, and in such manner	26349
as the director prescribes; to maintain records and file periodic	26350
reports with the director containing information as to location,	26351
size, and height of emission outlets, rate, duration, and	26352
composition of emissions, and any other pertinent information the	26353
director prescribes; and to provide such written notice to other	26354
states as the director shall prescribe. In requiring monitoring	26355
devices, records, and reports, the director, to the extent	26356
consistent with the federal Clean Air Act, shall give	26357
consideration to technical feasibility and economic reasonableness	26358
and allow reasonable time for compliance. For sources where a	26359
specific monitoring, record-keeping, or reporting requirement is	26360
specified for a particular air contaminant from a particular air	26361
contaminant source in an applicable regulation adopted by the	26362
United States environmental protection agency under the federal	26363
Clean Air Act or in an applicable rule adopted by the director,	26364
the director shall not impose an additional requirement in a	26365
permit that is a different monitoring, record-keeping, or	26366
reporting requirement other than the requirement specified in the	26367
applicable regulation or rule for that air contaminant except as	26368
otherwise agreed to by the owner or operator of the air	26369
contaminant source and the director. If two or more regulations or	26370
rules impose different monitoring, record-keeping, or reporting	26371
requirements for the same air contaminant from the same air	26372
contaminant source, the director may impose permit terms and	26373
conditions that consolidate or streamline the monitoring,	26374
record-keeping, or reporting requirements in a manner that	26375
conforms with each applicable requirement. To the extent	26376
consistent with the federal Clean Air Act and except as otherwise	26377
agreed to by the owner or operator of an air contaminant source	26378
and the director, the director shall not require an operating	26379
restriction that has the practical effect of increasing the	26380
stringency of an existing applicable emission limitation or	26381
standard.	26382

(J) Establish, operate, and maintain monitoring stations and	26383
other devices designed to measure air pollution and enter into	26384
contracts with any public or private agency for the establishment,	26385
operation, or maintenance of such stations and devices;	26386

(K) By rule adopt procedures for giving reasonable public	26387
notice and conducting public hearings on any plans for the	26388
prevention, control, and abatement of air pollution that the	26389
director is required to submit to the federal government;	26390

(L) Through any employee, agent, or authorized representative	26391
of the director or the environmental protection agency, enter upon	26392
private or public property, including improvements thereon, at any	26393
reasonable time, to make inspections, take samples, conduct tests,	26394
and examine records or reports pertaining to any emission of air	26395
contaminants and any monitoring equipment or methods and to	26396
determine if there are any actual or potential emissions from such	26397
premises and, if so, to determine the sources, amounts, contents,	26398
and extent of those emissions, or to ascertain whether there is	26399
compliance with this chapter, any orders issued or rules adopted	26400
thereunder, or any other determination of the director. The	26401
director, at reasonable times, may have access to and copy any	26402
such records. If entry or inspection authorized by this division	26403
is refused, hindered, or thwarted, the director or the director's	26404
authorized representative may by affidavit apply for, and any	26405
judge of a court of record may issue, an appropriate inspection	26406
warrant necessary to achieve the purposes of this chapter within	26407
the court's territorial jurisdiction.	26408

(M) Accept and administer gifts or grants from the federal	26409
government and from any other source, public or private, for	26410
carrying out any of the functions under this chapter;	26411

(N) Obtain necessary scientific, technical, and laboratory	26412
services;	26413

(O) Establish advisory boards in accordance with section	26414
121.13 of the Revised Code;	26415

(P) Delegate to any city or general health district or	26416
political subdivision of the state any of the director's	26417
enforcement and monitoring powers and duties, other than	26418
rule-making powers, as the director elects to delegate, and in	26419
addition employ, compensate, and prescribe the powers and duties	26420
of such officers, employees, and consultants as are necessary to	26421
enable the director to exercise the authority and perform duties	26422
imposed upon the director by law. Technical and other services	26423
shall be performed, insofar as practical, by personnel of the	26424
environmental protection agency.	26425

(Q) Certify to the government of the United States or any	26426
agency thereof that an industrial air pollution facility is in	26427
conformity with the state program or requirements for control of	26428
air pollution whenever such certificate is required for a taxpayer	26429
pursuant to any federal law or requirements;	26430

(R) Issue, modify, or revoke orders requiring abatement of or	26431
prohibiting emissions that violate applicable emission standards	26432
or other requirements of this chapter and rules adopted	26433
thereunder, or requiring emission control devices or measures in	26434
order to comply with applicable emission standards or other	26435
requirements of this chapter and rules adopted thereunder. Any	26436
such order shall require compliance with applicable emission	26437
standards by a specified date and shall not conflict with any	26438
requirement of the federal Clean Air Act. In the making of such	26439
orders, the director, to the extent consistent with the federal	26440
Clean Air Act, shall give consideration to, and base the	26441
determination on, evidence relating to the technical feasibility	26442
and economic reasonableness of compliance with such orders and	26443
their relation to benefits to the people of the state to be	26444
derived from such compliance. If, under the federal Clean Air Act,	26445
any such order shall provide for the posting of a bond or surety	26446
to secure compliance with the order as a condition of issuance of	26447
the order, the order shall so provide, but only to the extent	26448
required by the federal Clean Air Act.	26449

(S) To the extent provided by the federal Clean Air Act,	26450
adopt, modify, and rescind rules providing for the administrative	26451
assessment and collection of monetary penalties, not in excess of	26452
those required pursuant to the federal Clean Air Act, for failure	26453
to comply with any emission limitation or standard, compliance	26454
schedule, or other requirement of any rule, order, permit, or	26455
variance issued or adopted under this chapter or required under	26456
the applicable implementation plan whether or not the source is	26457
subject to a federal or state consent decree. The director may	26458
require the submission of compliance schedules, calculations of	26459
penalties for noncompliance, and related information. Any orders,	26460
payments, sanctions, or other requirements imposed pursuant to	26461
rules adopted under this division shall be in addition to any	26462
other permits, orders, payments, sanctions, or other requirements	26463
established under this chapter and shall not affect any civil or	26464
criminal enforcement proceedings brought under any provision of	26465
this chapter or any other provision of state or local law. This	26466
division does not apply to any requirement of this chapter	26467
regarding the prevention or abatement of odors.	26468

(T) Require new or modified air contaminant sources to	26469
install best available technology, but only in accordance with	26470
this division. With respect to permits issued pursuant to division	26471
(F) of this section beginning three years after the effective date	26472
of this amendmentAugust 3, 2006, best available technology for	26473
air contaminant sources and air contaminants emitted by those	26474
sources that are subject to standards adopted under section 112,	26475
Part C of Title I, and Part D of Title I of the federal Clean Air	26476
Act shall be equivalent to and no more stringent than those	26477
standards. For an air contaminant or precursor of an air	26478
contaminant for which a national ambient air quality standard has	26479
been adopted under the federal Clean Air Act, best available	26480
technology only shall be required to the extent required by rules	26481
adopted under Chapter 119. of the Revised Code for permit to	26482
install applications filed three or more years after the effective	26483
date of this amendmentAugust 3, 2006.	26484

Best available technology requirements established in rules	26485
adopted under this division shall be expressed only in one of the	26486
following ways that is most appropriate for the applicable source	26487
or source categories:	26488

(1) Work practices;

26489

(2) Source design characteristics or design efficiency of	26490
applicable air contaminant control devices;	26491

(3) Raw material specifications or throughput limitations	26492
averaged over a twelve-month rolling period;	26493

(4) Monthly allowable emissions averaged over a twelve-month	26494
rolling period.	26495

Best available technology requirements shall not apply to an	26496
air contaminant source that has the potential to emit, taking into	26497
account air pollution controls installed on the source, less than	26498
ten tons per year of emissions of an air contaminant or precursor	26499
of an air contaminant for which a national ambient air quality	26500
standard has been adopted under the federal Clean Air Act. In	26501
addition, best available technology requirements established in	26502
rules adopted under this division shall not apply to any existing,	26503
new, or modified air contaminant source that is subject to a	26504
plant-wide applicability limit that has been approved by the	26505
director. Further, best available technology requirements	26506
established in rules adopted under this division shall not apply	26507
to general permits issued prior to January 1, 2006, under rules	26508
adopted under this chapter.	26509

For permits to install issued three or more years after the	26510
effective date of this amendmentAugust 3, 2006, any new or	26511
modified air contaminant source that has the potential to emit,	26512
taking into account air pollution controls installed on the	26513
source, ten or more tons per year of volatile organic compounds or	26514
nitrogen oxides shall meet, at a minimum, the requirements of any	26515
applicable reasonably available control technology rule in effect	26516
as of January 1, 2006, regardless of the location of the source.	26517

(U) Consistent with section 507 of the federal Clean Air Act,	26518
adopt, modify, suspend, and rescind rules for the establishment of	26519
a small business stationary source technical and environmental	26520
compliance assistance program as provided in section 3704.18 of	26521
the Revised Code;	26522

(V) Provide for emissions trading, marketable permits,	26523
auctions of emission rights, and economic incentives that would	26524
reduce the cost or increase the efficiency of achieving a	26525
specified level of environmental protection;	26526

(W) Provide for the construction of an air contaminant source	26527
prior to obtaining a permit to install pursuant to division (F) of	26528
this section if the applicant demonstrates that the source will be	26529
installed to comply with all applicable emission limits and will	26530
not adversely affect public health or safety or the environment	26531
and if the director determines that such an action will avoid an	26532
unreasonable hardship on the owner or operator of the source. Any	26533
such determination shall be consistent with the federal Clean Air	26534
Act.	26535

(X) Exercise all incidental powers, including adoption of	26536
rules, required to carry out this chapter.	26537

The environmental protection agency shall develop a plan to	26538
control air pollution resulting from state-operated facilities and	26539
property.	26540

Sec. 3704.14. (A) The director of environmental protection	26541
shall continue to implement an enhanced motor vehicle inspection	26542
and maintenance program for a period of two years beginning on	26543
January 1, 20062008, and ending on December 31, 20072009, in	26544
counties in which a motor vehicle inspection and maintenance	26545
program is federally mandated. The program shall be substantially	26546
similar to the enhanced program implemented in those counties	26547
under a contract that is scheduled to expire on December 31, 2005	26548
2007. The program, at a minimum, shall do all of the following:	26549

(1) Comply with the federal Clean Air Act;

26550

(2) Provide for the extension of a contract for a period of	26551
two years, beginning on January 1, 20062008, and ending on	26552
December 31, 20072009, with the contractor who conducted the	26553
enhanced motor vehicle inspection and maintenance program in those	26554
federally mandated counties where the program was in operation on	26555
January 3, 2006, pursuant to a contract entered into under former	26556
section 3704.14 of the Revised Code as that section existed prior	26557
to its repeal and reenactment by Am. Sub. H.B. 66 of the 126th	26558
General Assemblywith the state;	26559

(3) Provide for the issuance of inspection certificates;

26560

(4) Provide for a new car exemption for motor vehicles four	26561
years old or newer and provide that a new motor vehicle is exempt	26562
for four years regardless of whether legal title to the motor	26563
vehicle is transferred during that period.	26564

(B) The director shall not implement a motor vehicle	26565
inspection and maintenance program in any county other than a	26566
county in which a motor vehicle inspection and maintenance program	26567
is federally mandated.	26568

(C) The director shall adopt rules in accordance with Chapter	26569
119. of the Revised Code that the director determines are	26570
necessary to implement this section. The director may continue to	26571
implement and enforce rules pertaining to the enhanced motor	26572
vehicle inspection and maintenance program previously implemented	26573
under former section 3704.14 of the Revised Code as that section	26574
existed prior to its repeal and reenactment by Am. Sub. H.B. 66 of	26575
the 126th general assembly, provided that the rules do not	26576
conflict with this section.	26577

(D)(C) There is hereby created in the state treasury the	26578
motor vehicle inspection and maintenance fund, which shall consist	26579
of money received by the director from any fees for inspections	26580
that are established in rules adopted under this section. The	26581
director shall use money in the fund solely for the	26582
implementation, supervision, administration, operation, and	26583
enforcement of the enhanced motor vehicle inspection and	26584
maintenance program established under this section.	26585

(E)(D) The enhanced motor vehicle inspection and maintenance	26586
program established under this section expires on December 31,	26587
20072009, and shall not be continued beyond that date unless	26588
otherwise federally mandated.	26589

(E) Notwithstanding divisions (A) to (D) of this section, the	26590
director shall not implement an enhanced motor vehicle inspection	26591
and maintenance program and no such program shall be operated in	26592
an area of the state where such a program was not in operation on	26593
January 3, 2006, pursuant to a contract entered into by this state	26594
unless both of following apply:	26595

(1) The program is required in the approved state	26596
implementation plan; and	26597

(2) After January 3, 2006, the United States environmental	26598
protection agency has expressly notified the director in writing	26599
that the failure to operate the program in a specific area will	26600
result in the imposition of sanctions under the federal Clean Air	26601
Act.	26602

(F) The general assembly hereby declares that division (E) of	26603
this section represents a codification of the intended meaning of	26604
this section as it existed after its re-enactment by Am. Sub. H.B.	26605
66 of the 126th general assembly.	26606

Sec. 3705.24.  (A)(1) The public health council shall, in	26607
accordance with section 111.15 of the Revised Code, adopt rules	26608
prescribing fees for the following services provided by the state	26609
office of vital statistics:	26610

(a) Except as provided in division (A)(4) of this section:

26611

(i) A certified copy of a vital record or a certification of	26612
birth;	26613

(ii) A search by the office of vital statistics of its files	26614
and records pursuant to a request for information, regardless of	26615
whether a copy of a record is provided;	26616

(iii) A copy of a record provided pursuant to a request;

26617

(b) Replacement of a birth certificate following an adoption,	26618
legitimation, paternity determination or acknowledgement, or court	26619
order;	26620

(c) Filing of a delayed registration of a vital record;

26621

(d) Amendment of a vital record that is requested later than	26622
one year after the filing date of the vital record;	26623

(e) Any other documents or services for which the public	26624
health council considers the charging of a fee appropriate.	26625

(2) Fees prescribed under division (A)(1)(a) of this section	26626
shall not be less than seven dollars.	26627

(3) Fees prescribed under division (A)(1) of this section	26628
shall be collected in addition to any fees required by sections	26629
3109.14 and 3705.242 of the Revised Code.	26630

(4) Fees prescribed under division (A) of this section shall	26631
not apply to certifications issued under division (H) of this	26632
section or copies provided under section 3705.241 of the Revised	26633
Code.	26634

(B) In addition to the fees prescribed under division (A) of	26635
this section or section 3709.09 of the Revised Code, the office of	26636
vital statistics or the board of health of a city or general	26637
health district shall charge a five-dollar fee for each certified	26638
copy of a vital record and each certification of birth. This fee	26639
shall be deposited in the general operations fund created under	26640
section 3701.83 of the Revised Code and be used solely towardto	26641
support the operations, the modernization, and the automation of	26642
the system of vital records program in this state. A board of	26643
health shall forward all fees collected under this division to the	26644
department of health not later than thirty days after the end of	26645
each calendar quarter.	26646

(C) Except as otherwise provided in division (H) of this	26647
section, and except as provided in section 3705.241 of the Revised	26648
Code, fees collected by the director of health under sections	26649
3705.01 to 3705.29 of the Revised Code shall be paid into the	26650
state treasury to the credit of the general operations fund	26651
created by section 3701.83 of the Revised Code. Except as	26652
provided in division (B) of this section, money generated by the	26653
fees shall be used only for administration and enforcement of this	26654
chapter and the rules adopted under it. Amounts submitted to the	26655
department of health for copies of vital records or services in	26656
excess of the fees imposed by this section shall be dealt with as	26657
follows:	26658

(1) An overpayment of two dollars or less shall be retained	26659
by the department and deposited in the state treasury to the	26660
credit of the general operations fund created by section 3701.83	26661
of the Revised Code.	26662

(2) An overpayment in excess of two dollars shall be returned	26663
to the person who made the overpayment.	26664

(D) If a local registrar is a salaried employee of a city or	26665
a general health district, any fees the local registrar receives	26666
pursuant to section 3705.23 of the Revised Code shall be paid into	26667
the general fund of the city or the health fund of the general	26668
health district.	26669

Each local registrar of vital statistics, or each health	26670
district where the local registrar is a salaried employee of the	26671
district, shall be entitled to a fee for each birth, fetal death,	26672
death, or military service certificate properly and completely	26673
made out and registered with the local registrar or district and	26674
correctly copied and forwarded to the office of vital statistics	26675
in accordance with the population of the primary registration	26676
district at the last federal census. The fee for each birth, fetal	26677
death, death, or military service certificate shall be:	26678

(1) In primary registration districts of over two hundred	26679
fifty thousand, twenty cents;	26680

(2) In primary registration districts of over one hundred	26681
twenty-five thousand and less than two hundred fifty thousand,	26682
sixty cents;	26683

(3) In primary registration districts of over fifty thousand	26684
and less than one hundred twenty-five thousand, eighty cents;	26685

(4) In primary registration districts of less than fifty	26686
thousand, one dollar.	26687

(E) The director of health shall annually certify to the	26688
county treasurers of the several counties the number of birth,	26689
fetal death, death, and military service certificates registered	26690
from their respective counties with the names of the local	26691
registrars and the amounts due each registrar and health district	26692
at the rates fixed in this section. Such amounts shall be paid by	26693
the treasurer of the county in which the registration districts	26694
are located. No fees shall be charged or collected by registrars	26695
except as provided by this chapter and section 3109.14 of the	26696
Revised Code.	26697

(F) A probate judge shall be paid a fee of fifteen cents for	26698
each certified abstract of marriage prepared and forwarded by the	26699
probate judge to the department of health pursuant to section	26700
3705.21 of the Revised Code. The fee shall be in addition to the	26701
fee paid for a marriage license and shall be paid by the	26702
applicants for the license.	26703

(G) The clerk of a court of common pleas shall be paid a fee	26704
of one dollar for each certificate of divorce, dissolution, and	26705
annulment of marriage prepared and forwarded by the clerk to the	26706
department pursuant to section 3705.21 of the Revised Code. The	26707
fee for the certified abstract of divorce, dissolution, or	26708
annulment of marriage shall be added to the court costs allowed in	26709
these cases.	26710

(H) The fee for an heirloom certification of birth issued	26711
pursuant to division (B)(2) of section 3705.23 of the Revised Code	26712
shall be an amount prescribed by rule by the director of health	26713
plus any fee required by section 3109.14 of the Revised Code. In	26714
setting the amount of the fee, the director shall establish a	26715
surcharge in addition to an amount necessary to offset the expense	26716
of processing heirloom certifications of birth. The fee prescribed	26717
by the director of health pursuant to this division shall be	26718
deposited into the state treasury to the credit of the heirloom	26719
certification of birth fund which is hereby created. Money	26720
credited to the fund shall be used by the office of vital	26721
statistics to offset the expense of processing heirloom	26722
certifications of birth. However, the money collected for the	26723
surcharge, subject to the approval of the controlling board, shall	26724
be used for the purposes specified by the family and children	26725
first council pursuant to section 121.37 of the Revised Code.	26726

Sec. 3721.51.  The department of job and family services	26727
shall do all of the following:	26728

(A) Subject to division (C) of this section and for the	26729
purposes specified in sections 3721.56 and 3721.561 of the Revised	26730
Code, determine an annual franchise permit fee on each nursing	26731
home in an amount equal to six dollars and twenty-five cents for	26732
fiscal years 2006 and 2007 and one dollar for each fiscal year	26733
thereafter, multiplied by the product of the following:	26734

(1) The number of beds licensed as nursing home beds, plus	26735
any other beds certified as skilled nursing facility beds under	26736
Title XVIII or nursing facility beds under Title XIX on the first	26737
day of May of the calendar year in which the fee is determined	26738
pursuant to division (A) of section 3721.53 of the Revised Code;	26739

(2) The number of days in the fiscal year beginning on the	26740
first day of July of the calendar year in which the fee is	26741
determined pursuant to division (A) of section 3721.53 of the	26742
Revised Code.	26743

(B) Subject to division (C) of this section and for the	26744
purposes specified in sections 3721.56 and 3721.561 of the Revised	26745
Code, determine an annual franchise permit fee on each hospital in	26746
an amount equal to six dollars and twenty-five cents for fiscal	26747
years 2006 and 2007 and one dollar for each fiscal year	26748
thereafter, multiplied by the product of the following:	26749

(1) The number of beds registered pursuant to section 3701.07	26750
of the Revised Code as skilled nursing facility beds or long-term	26751
care beds, plus any other beds licensed as nursing home beds under	26752
section 3721.02 or 3721.09 of the Revised Code, on the first day	26753
of May of the calendar year in which the fee is determined	26754
pursuant to division (A) of section 3721.53 of the Revised Code;	26755

(2) The number of days in the fiscal year beginning on the	26756
first day of July of the calendar year in which the fee is	26757
determined pursuant to division (A) of section 3721.53 of the	26758
Revised Code.	26759

(C) If the United States centers for medicare and medicaid	26760
services determines that the franchise permit fee established by	26761
sections 3721.50 to 3721.58 of the Revised Code is an	26762
impermissible health care related tax under section 1903(w) of the	26763
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 1396b(w), as	26764
amended, take all necessary actions to cease implementation of	26765
sections 3721.50 to 3721.58 of the Revised Code in accordance with	26766
rules adopted under section 3721.58 of the Revised Code.	26767

Sec. 3721.541.  (A) In addition to assessing a penalty	26768
pursuant to section 3721.54 of the Revised Code, the department of	26769
job and family services may do either or both of the following if	26770
a nursing facility or hospital fails to pay the full amount of a	26771
franchise permit fee installment when due:	26772

(1) WithholdOffset an amount less than or equal to the	26773
installment and penalty assessed under section 3721.54 of the	26774
Revised Code from a medicaid payment due the nursing facility or	26775
hospital until the nursing facility or hospital pays the	26776
installment and penalty;	26777

(2) Terminate the nursing facility or hospital's medicaid	26778
provider agreement.	26779

(B) The department may withholdoffset a medicaid payment	26780
under division (A)(1) of this section without providing notice to	26781
the nursing facility or hospital and without conducting an	26782
adjudication under Chapter 119. of the Revised Code.	26783

Sec. 3721.56.  There is hereby created in the state treasury	26784
the home- and community-based services for the aged fund. Sixteen	26785
per cent of all payments and penalties paid by nursing homes and	26786
hospitals under sections 3721.53 and 3721.54 of the Revised Code	26787
for fiscal years 2006 and 2007, and all such payments and	26788
penalties paid for subsequent fiscal years, shall be deposited	26789
into the fund. The departments of job and family services and	26790
aging shall use the moneys in the fund to fund the following in	26791
accordance with rules adopted under section 3721.58 of the Revised	26792
Code:	26793

(A) The medicaid program established under Chapter 5111. of	26794
the Revised Code, including the PASSPORT program established under	26795
section 173.40 of the Revised Code;	26796

(B) The residential state supplement program established	26797
under section 173.35 of the Revised Code.	26798

Sec. 3734.57.  (A) The following fees are hereby levied on	26799
the transfer or disposal of solid wastes in this state:	26800

(1) One dollar per ton on and after July 1, 2003, through	26801
June 30, 20082010, one-half of the proceeds of which shall be	26802
deposited in the state treasury to the credit of the hazardous	26803
waste facility management fund created in section 3734.18 of the	26804
Revised Code and one-half of the proceeds of which shall be	26805
deposited in the state treasury to the credit of the hazardous	26806
waste clean-up fund created in section 3734.28 of the Revised	26807
Code;	26808

(2) An additional one dollar per ton on and after July 1,	26809
2003, through June 30, 20082010, the proceeds of which shall be	26810
deposited in the state treasury to the credit of the solid waste	26811
fund, which is hereby created. The environmental protection agency	26812
shall use money in the solid waste fund to pay the costs of	26813
administering and enforcing the laws pertaining to solid wastes,	26814
infectious wastes, and construction and demolition debris,	26815
including, without limitation, ground water evaluations related to	26816
solid wastes, infectious wastes, and construction and demolition	26817
debris, under this chapter and Chapter 3714. of the Revised Code	26818
and any rules adopted under them, providing compliance assistance	26819
to small businesses, and paying a share of the administrative	26820
costs of the environmental protection agency pursuant to section	26821
3745.014 of the Revised Code.	26822

(3) An additional one dollar and fifty cents per ton on and	26823
after July 1, 2005, through June 30, 20082010, the proceeds of	26824
which shall be deposited in the state treasury to the credit of	26825
the environmental protection fund created in section 3745.015 of	26826
the Revised Code.	26827

In the case of solid wastes that are taken to a solid waste	26828
transfer facility located in this state prior to being transported	26829
for disposal at a solid waste disposal facility located in this	26830
state or outside of this state, the fees levied under this	26831
division shall be collected by the owner or operator of the	26832
transfer facility as a trustee for the state. The amount of fees	26833
required to be collected under this division at such a transfer	26834
facility shall equal the total tonnage of solid wastes received at	26835
the facility multiplied by the fees levied under this division. In	26836
the case of solid wastes that are not taken to a solid waste	26837
transfer facility located in this state prior to being transported	26838
to a solid waste disposal facility, the fees shall be collected by	26839
the owner or operator of the solid waste disposal facility as a	26840
trustee for the state. The amount of fees required to be collected	26841
under this division at such a disposal facility shall equal the	26842
total tonnage of solid wastes received at the facility that was	26843
not previously taken to a solid waste transfer facility located in	26844
this state multiplied by the fees levied under this division. Fees	26845
levied under this division do not apply to materials separated	26846
from a mixed waste stream for recycling by a generator or	26847
materials removed from the solid waste stream through recycling,	26848
as "recycling" is defined in rules adopted under section 3734.02	26849
of the Revised Code.	26850

The owner or operator of a solid waste transfer facility or	26851
disposal facility, as applicable, shall prepare and file with the	26852
director of environmental protection each month a return	26853
indicating the total tonnage of solid wastes received at the	26854
facility during that month and the total amount of the fees	26855
required to be collected under this division during that month. In	26856
addition, the owner or operator of a solid waste disposal facility	26857
shall indicate on the return the total tonnage of solid wastes	26858
received from transfer facilities located in this state during	26859
that month for which the fees were required to be collected by the	26860
transfer facilities. The monthly returns shall be filed on a form	26861
prescribed by the director. Not later than thirty days after the	26862
last day of the month to which a return applies, the owner or	26863
operator shall mail to the director the return for that month	26864
together with the fees required to be collected under this	26865
division during that month as indicated on the return. If the	26866
return is filed and the amount of the fees due is paid in a timely	26867
manner as required in this division, the owner or operator may	26868
retain a discount of three-fourths of one per cent of the total	26869
amount of the fees that are required to be paid as indicated on	26870
the return.	26871

The owner or operator may request an extension of not more	26872
than thirty days for filing the return and remitting the fees,	26873
provided that the owner or operator has submitted such a request	26874
in writing to the director together with a detailed description of	26875
why the extension is requested, the director has received the	26876
request not later than the day on which the return is required to	26877
be filed, and the director has approved the request. If the fees	26878
are not remitted within thirty days after the last day of the	26879
month to which the return applies or are not remitted by the last	26880
day of an extension approved by the director, the owner or	26881
operator shall not retain the three-fourths of one per cent	26882
discount and shall pay an additional ten per cent of the amount of	26883
the fees for each month that they are late. For purposes of	26884
calculating the late fee, the first month in which fees are late	26885
begins on the first day after the deadline has passed for timely	26886
submitting the return and fees, and one additional month shall be	26887
counted every thirty days thereafter.	26888

The owner or operator of a solid waste facility may request a	26889
refund or credit of fees levied under this division and remitted	26890
to the director that have not been paid to the owner or operator.	26891
Such a request shall be made only if the fees have not been	26892
collected by the owner or operator, have become a debt that has	26893
become worthless or uncollectable for a period of six months or	26894
more, and may be claimed as a deduction, including a deduction	26895
claimed if the owner or operator keeps accounts on an accrual	26896
basis, under the "Internal Revenue Code of 1954," 68A Stat. 50, 26	26897
U.S.C. 166, as amended, and regulations adopted under it. Prior to	26898
making a request for a refund or credit, an owner or operator	26899
shall make reasonable efforts to collect the applicable fees. A	26900
request for a refund or credit shall not include any costs	26901
resulting from those efforts to collect unpaid fees.	26902

A request for a refund or credit of fees shall be made in	26903
writing, on a form prescribed by the director, and shall be	26904
supported by evidence that may be required in rules adopted by the	26905
director under this chapter. After reviewing the request, and if	26906
the request and evidence submitted with the request indicate that	26907
a refund or credit is warranted, the director shall grant a refund	26908
to the owner or operator or shall permit a credit to be taken by	26909
the owner or operator on a subsequent monthly return submitted by	26910
the owner or operator. The amount of a refund or credit shall not	26911
exceed an amount that is equal to ninety days' worth of fees owed	26912
to an owner or operator by a particular debtor of the owner or	26913
operator. A refund or credit shall not be granted by the director	26914
to an owner or operator more than once in any twelve-month period	26915
for fees owed to the owner or operator by a particular debtor.	26916

If, after receiving a refund or credit from the director, an	26917
owner or operator receives payment of all or part of the fees, the	26918
owner or operator shall remit the fees with the next monthly	26919
return submitted to the director together with a written	26920
explanation of the reason for the submittal.	26921

For purposes of computing the fees levied under this division	26922
or division (B) of this section, any solid waste transfer or	26923
disposal facility that does not use scales as a means of	26924
determining gate receipts shall use a conversion factor of three	26925
cubic yards per ton of solid waste or one cubic yard per ton for	26926
baled waste, as applicable.	26927

The fees levied under this division and divisions (B) and (C)	26928
of this section are in addition to all other applicable fees and	26929
taxes and shall be paid by the customer or a political subdivision	26930
to the owner or operator of a solid waste transfer or disposal	26931
facility notwithstanding the existence of any provision in a	26932
contract that the customer or a political subdivision may have	26933
with the owner or operator or with a transporter of waste to the	26934
facility that would not require or allow such payment.	26935

(B) For the purposes specified in division (G) of this	26936
section, the solid waste management policy committee of a county	26937
or joint solid waste management district may levy fees upon the	26938
following activities:	26939

(1) The disposal at a solid waste disposal facility located	26940
in the district of solid wastes generated within the district;	26941

(2) The disposal at a solid waste disposal facility within	26942
the district of solid wastes generated outside the boundaries of	26943
the district, but inside this state;	26944

(3) The disposal at a solid waste disposal facility within	26945
the district of solid wastes generated outside the boundaries of	26946
this state.	26947

The solid waste management plan of the county or joint	26948
district approved under section 3734.521 or 3734.55 of the Revised	26949
Code and any amendments to it, or the resolution adopted under	26950
this division, as appropriate, shall establish the rates of the	26951
fees levied under divisions (B)(1), (2), and (3) of this section,	26952
if any, and shall specify whether the fees are levied on the basis	26953
of tons or cubic yards as the unit of measurement. A solid waste	26954
management district that levies fees under this division on the	26955
basis of cubic yards shall do so in accordance with division (A)	26956
of this section.	26957

The fee levied under division (B)(1) of this section shall be	26958
not less than one dollar per ton nor more than two dollars per	26959
ton, the fee levied under division (B)(2) of this section shall be	26960
not less than two dollars per ton nor more than four dollars per	26961
ton, and the fee levied under division (B)(3) of this section	26962
shall be not more than the fee levied under division (B)(1) of	26963
this section.	26964

Prior to the approval of the solid waste management plan of a	26965
district under section 3734.55 of the Revised Code, the solid	26966
waste management policy committee of a district may levy fees	26967
under this division by adopting a resolution establishing the	26968
proposed amount of the fees. Upon adopting the resolution, the	26969
committee shall deliver a copy of the resolution to the board of	26970
county commissioners of each county forming the district and to	26971
the legislative authority of each municipal corporation and	26972
township under the jurisdiction of the district and shall prepare	26973
and publish the resolution and a notice of the time and location	26974
where a public hearing on the fees will be held. Upon adopting the	26975
resolution, the committee shall deliver written notice of the	26976
adoption of the resolution; of the amount of the proposed fees;	26977
and of the date, time, and location of the public hearing to the	26978
director and to the fifty industrial, commercial, or institutional	26979
generators of solid wastes within the district that generate the	26980
largest quantities of solid wastes, as determined by the	26981
committee, and to their local trade associations. The committee	26982
shall make good faith efforts to identify those generators within	26983
the district and their local trade associations, but the	26984
nonprovision of notice under this division to a particular	26985
generator or local trade association does not invalidate the	26986
proceedings under this division. The publication shall occur at	26987
least thirty days before the hearing. After the hearing, the	26988
committee may make such revisions to the proposed fees as it	26989
considers appropriate and thereafter, by resolution, shall adopt	26990
the revised fee schedule. Upon adopting the revised fee schedule,	26991
the committee shall deliver a copy of the resolution doing so to	26992
the board of county commissioners of each county forming the	26993
district and to the legislative authority of each municipal	26994
corporation and township under the jurisdiction of the district.	26995
Within sixty days after the delivery of a copy of the resolution	26996
adopting the proposed revised fees by the policy committee, each	26997
such board and legislative authority, by ordinance or resolution,	26998
shall approve or disapprove the revised fees and deliver a copy of	26999
the ordinance or resolution to the committee. If any such board or	27000
legislative authority fails to adopt and deliver to the policy	27001
committee an ordinance or resolution approving or disapproving the	27002
revised fees within sixty days after the policy committee	27003
delivered its resolution adopting the proposed revised fees, it	27004
shall be conclusively presumed that the board or legislative	27005
authority has approved the proposed revised fees. The committee	27006
shall determine if the resolution has been ratified in the same	27007
manner in which it determines if a draft solid waste management	27008
plan has been ratified under division (B) of section 3734.55 of	27009
the Revised Code.	27010

The committee may amend the schedule of fees levied pursuant	27011
to a resolution adopted and ratified under this division by	27012
adopting a resolution establishing the proposed amount of the	27013
amended fees. The committee may repeal the fees levied pursuant to	27014
such a resolution by adopting a resolution proposing to repeal	27015
them. Upon adopting such a resolution, the committee shall proceed	27016
to obtain ratification of the resolution in accordance with this	27017
division.	27018

Not later than fourteen days after declaring the new fees to	27019
be ratified or the fees to be repealed under this division, the	27020
committee shall notify by certified mail the owner or operator of	27021
each solid waste disposal facility that is required to collect the	27022
fees of the ratification and the amount of the fees or of the	27023
repeal of the fees. Collection of any fees shall commence or	27024
collection of repealed fees shall cease on the first day of the	27025
second month following the month in which notification is sent to	27026
the owner or operator.	27027

Fees levied under this division also may be established,	27028
amended, or repealed by a solid waste management policy committee	27029
through the adoption of a new district solid waste management	27030
plan, the adoption of an amended plan, or the amendment of the	27031
plan or amended plan in accordance with sections 3734.55 and	27032
3734.56 of the Revised Code or the adoption or amendment of a	27033
district plan in connection with a change in district composition	27034
under section 3734.521 of the Revised Code.	27035

Not later than fourteen days after the director issues an	27036
order approving a district's solid waste management plan, amended	27037
plan, or amendment to a plan or amended plan that establishes,	27038
amends, or repeals a schedule of fees levied by the district, the	27039
committee shall notify by certified mail the owner or operator of	27040
each solid waste disposal facility that is required to collect the	27041
fees of the approval of the plan or amended plan, or the amendment	27042
to the plan, as appropriate, and the amount of the fees, if any.	27043
In the case of an initial or amended plan approved under section	27044
3734.521 of the Revised Code in connection with a change in	27045
district composition, other than one involving the withdrawal of a	27046
county from a joint district, the committee, within fourteen days	27047
after the change takes effect pursuant to division (G) of that	27048
section, shall notify by certified mail the owner or operator of	27049
each solid waste disposal facility that is required to collect the	27050
fees that the change has taken effect and of the amount of the	27051
fees, if any. Collection of any fees shall commence or collection	27052
of repealed fees shall cease on the first day of the second month	27053
following the month in which notification is sent to the owner or	27054
operator.	27055

If, in the case of a change in district composition involving	27056
the withdrawal of a county from a joint district, the director	27057
completes the actions required under division (G)(1) or (3) of	27058
section 3734.521 of the Revised Code, as appropriate, forty-five	27059
days or more before the beginning of a calendar year, the policy	27060
committee of each of the districts resulting from the change that	27061
obtained the director's approval of an initial or amended plan in	27062
connection with the change, within fourteen days after the	27063
director's completion of the required actions, shall notify by	27064
certified mail the owner or operator of each solid waste disposal	27065
facility that is required to collect the district's fees that the	27066
change is to take effect on the first day of January immediately	27067
following the issuance of the notice and of the amount of the fees	27068
or amended fees levied under divisions (B)(1) to (3) of this	27069
section pursuant to the district's initial or amended plan as so	27070
approved or, if appropriate, the repeal of the district's fees by	27071
that initial or amended plan. Collection of any fees set forth in	27072
such a plan or amended plan shall commence on the first day of	27073
January immediately following the issuance of the notice. If such	27074
an initial or amended plan repeals a schedule of fees, collection	27075
of the fees shall cease on that first day of January.	27076

If, in the case of a change in district composition involving	27077
the withdrawal of a county from a joint district, the director	27078
completes the actions required under division (G)(1) or (3) of	27079
section 3734.521 of the Revised Code, as appropriate, less than	27080
forty-five days before the beginning of a calendar year, the	27081
director, on behalf of each of the districts resulting from the	27082
change that obtained the director's approval of an initial or	27083
amended plan in connection with the change proceedings, shall	27084
notify by certified mail the owner or operator of each solid waste	27085
disposal facility that is required to collect the district's fees	27086
that the change is to take effect on the first day of January	27087
immediately following the mailing of the notice and of the amount	27088
of the fees or amended fees levied under divisions (B)(1) to (3)	27089
of this section pursuant to the district's initial or amended plan	27090
as so approved or, if appropriate, the repeal of the district's	27091
fees by that initial or amended plan. Collection of any fees set	27092
forth in such a plan or amended plan shall commence on the first	27093
day of the second month following the month in which notification	27094
is sent to the owner or operator. If such an initial or amended	27095
plan repeals a schedule of fees, collection of the fees shall	27096
cease on the first day of the second month following the month in	27097
which notification is sent to the owner or operator.	27098

If the schedule of fees that a solid waste management	27099
district is levying under divisions (B)(1) to (3) of this section	27100
is amended or repealed, the fees in effect immediately prior to	27101
the amendment or repeal shall continue to be collected until	27102
collection of the amended fees commences or collection of the	27103
repealed fees ceases, as applicable, as specified in this	27104
division. In the case of a change in district composition, money	27105
so received from the collection of the fees of the former	27106
districts shall be divided among the resulting districts in	27107
accordance with division (B) of section 343.012 of the Revised	27108
Code and the agreements entered into under division (B) of section	27109
343.01 of the Revised Code to establish the former and resulting	27110
districts and any amendments to those agreements.	27111

For the purposes of the provisions of division (B) of this	27112
section establishing the times when newly established or amended	27113
fees levied by a district are required to commence and the	27114
collection of fees that have been amended or repealed is required	27115
to cease, "fees" or "schedule of fees" includes, in addition to	27116
fees levied under divisions (B)(1) to (3) of this section, those	27117
levied under section 3734.573 or 3734.574 of the Revised Code.	27118

(C) For the purposes of defraying the added costs to a	27119
municipal corporation or township of maintaining roads and other	27120
public facilities and of providing emergency and other public	27121
services, and compensating a municipal corporation or township for	27122
reductions in real property tax revenues due to reductions in real	27123
property valuations resulting from the location and operation of a	27124
solid waste disposal facility within the municipal corporation or	27125
township, a municipal corporation or township in which such a	27126
solid waste disposal facility is located may levy a fee of not	27127
more than twenty-five cents per ton on the disposal of solid	27128
wastes at a solid waste disposal facility located within the	27129
boundaries of the municipal corporation or township regardless of	27130
where the wastes were generated.	27131

The legislative authority of a municipal corporation or	27132
township may levy fees under this division by enacting an	27133
ordinance or adopting a resolution establishing the amount of the	27134
fees. Upon so doing the legislative authority shall mail a	27135
certified copy of the ordinance or resolution to the board of	27136
county commissioners or directors of the county or joint solid	27137
waste management district in which the municipal corporation or	27138
township is located or, if a regional solid waste management	27139
authority has been formed under section 343.011 of the Revised	27140
Code, to the board of trustees of that regional authority, the	27141
owner or operator of each solid waste disposal facility in the	27142
municipal corporation or township that is required to collect the	27143
fee by the ordinance or resolution, and the director of	27144
environmental protection. Although the fees levied under this	27145
division are levied on the basis of tons as the unit of	27146
measurement, the legislative authority, in its ordinance or	27147
resolution levying the fees under this division, may direct that	27148
the fees be levied on the basis of cubic yards as the unit of	27149
measurement based upon a conversion factor of three cubic yards	27150
per ton generally or one cubic yard per ton for baled wastes.	27151

Not later than five days after enacting an ordinance or	27152
adopting a resolution under this division, the legislative	27153
authority shall so notify by certified mail the owner or operator	27154
of each solid waste disposal facility that is required to collect	27155
the fee. Collection of any fee levied on or after March 24, 1992,	27156
shall commence on the first day of the second month following the	27157
month in which notification is sent to the owner or operator.	27158

(D)(1) The fees levied under divisions (A), (B), and (C) of	27159
this section do not apply to the disposal of solid wastes that:	27160

(a) Are disposed of at a facility owned by the generator of	27161
the wastes when the solid waste facility exclusively disposes of	27162
solid wastes generated at one or more premises owned by the	27163
generator regardless of whether the facility is located on a	27164
premises where the wastes are generated;	27165

(b) Are disposed of at facilities that exclusively dispose of	27166
wastes that are generated from the combustion of coal, or from the	27167
combustion of primarily coal in combination with scrap tires, that	27168
is not combined in any way with garbage at one or more premises	27169
owned by the generator.	27170

(2) Except as provided in section 3734.571 of the Revised	27171
Code, any fees levied under division (B)(1) of this section apply	27172
to solid wastes originating outside the boundaries of a county or	27173
joint district that are covered by an agreement for the joint use	27174
of solid waste facilities entered into under section 343.02 of the	27175
Revised Code by the board of county commissioners or board of	27176
directors of the county or joint district where the wastes are	27177
generated and disposed of.	27178

(3) When solid wastes, other than solid wastes that consist	27179
of scrap tires, are burned in a disposal facility that is an	27180
incinerator or energy recovery facility, the fees levied under	27181
divisions (A), (B), and (C) of this section shall be levied upon	27182
the disposal of the fly ash and bottom ash remaining after burning	27183
of the solid wastes and shall be collected by the owner or	27184
operator of the sanitary landfill where the ash is disposed of.	27185

(4) When solid wastes are delivered to a solid waste transfer	27186
facility, the fees levied under divisions (B) and (C) of this	27187
section shall be levied upon the disposal of solid wastes	27188
transported off the premises of the transfer facility for disposal	27189
and shall be collected by the owner or operator of the solid waste	27190
disposal facility where the wastes are disposed of.	27191

(5) The fees levied under divisions (A), (B), and (C) of this	27192
section do not apply to sewage sludge that is generated by a waste	27193
water treatment facility holding a national pollutant discharge	27194
elimination system permit and that is disposed of through	27195
incineration, land application, or composting or at another	27196
resource recovery or disposal facility that is not a landfill.	27197

(6) The fees levied under divisions (A), (B), and (C) of this	27198
section do not apply to solid wastes delivered to a solid waste	27199
composting facility for processing. When any unprocessed solid	27200
waste or compost product is transported off the premises of a	27201
composting facility and disposed of at a landfill, the fees levied	27202
under divisions (A), (B), and (C) of this section shall be	27203
collected by the owner or operator of the landfill where the	27204
unprocessed waste or compost product is disposed of.	27205

(7) When solid wastes that consist of scrap tires are	27206
processed at a scrap tire recovery facility, the fees levied under	27207
divisions (A), (B), and (C) of this section shall be levied upon	27208
the disposal of the fly ash and bottom ash or other solid wastes	27209
remaining after the processing of the scrap tires and shall be	27210
collected by the owner or operator of the solid waste disposal	27211
facility where the ash or other solid wastes are disposed of.	27212

(8) The director of environmental protection may issue an	27213
order exempting from the fees levied under this section solid	27214
wastes, including, but not limited to, scrap tires, that are	27215
generated, transferred, or disposed of as a result of a contract	27216
providing for the expenditure of public funds entered into by the	27217
administrator or regional administrator of the United States	27218
environmental protection agency, the director of environmental	27219
protection, or the director of administrative services on behalf	27220
of the director of environmental protection for the purpose of	27221
remediating conditions at a hazardous waste facility, solid waste	27222
facility, or other location at which the administrator or regional	27223
administrator or the director of environmental protection has	27224
reason to believe that there is a substantial threat to public	27225
health or safety or the environment or that the conditions are	27226
causing or contributing to air or water pollution or soil	27227
contamination. An order issued by the director of environmental	27228
protection under division (D)(8) of this section shall include a	27229
determination that the amount of the fees not received by a solid	27230
waste management district as a result of the order will not	27231
adversely impact the implementation and financing of the	27232
district's approved solid waste management plan and any approved	27233
amendments to the plan. Such an order is a final action of the	27234
director of environmental protection.	27235

(E) The fees levied under divisions (B) and (C) of this	27236
section shall be collected by the owner or operator of the solid	27237
waste disposal facility where the wastes are disposed of as a	27238
trustee for the county or joint district and municipal corporation	27239
or township where the wastes are disposed of. Moneys from the fees	27240
levied under division (B) of this section shall be forwarded to	27241
the board of county commissioners or board of directors of the	27242
district in accordance with rules adopted under division (H) of	27243
this section. Moneys from the fees levied under division (C) of	27244
this section shall be forwarded to the treasurer or such other	27245
officer of the municipal corporation as, by virtue of the charter,	27246
has the duties of the treasurer or to the fiscal officer of the	27247
township, as appropriate, in accordance with those rules.	27248

(F) Moneys received by the treasurer or other officer of the	27249
municipal corporation under division (E) of this section shall be	27250
paid into the general fund of the municipal corporation. Moneys	27251
received by the fiscal officer of the township under that division	27252
shall be paid into the general fund of the township. The treasurer	27253
or other officer of the municipal corporation or the township	27254
fiscal officer, as appropriate, shall maintain separate records of	27255
the moneys received from the fees levied under division (C) of	27256
this section.	27257

(G) Moneys received by the board of county commissioners or	27258
board of directors under division (E) of this section or section	27259
3734.571, 3734.572, 3734.573, or 3734.574 of the Revised Code	27260
shall be paid to the county treasurer, or other official acting in	27261
a similar capacity under a county charter, in a county district or	27262
to the county treasurer or other official designated by the board	27263
of directors in a joint district and kept in a separate and	27264
distinct fund to the credit of the district. If a regional solid	27265
waste management authority has been formed under section 343.011	27266
of the Revised Code, moneys received by the board of trustees of	27267
that regional authority under division (E) of this section shall	27268
be kept by the board in a separate and distinct fund to the credit	27269
of the district. Moneys in the special fund of the county or joint	27270
district arising from the fees levied under division (B) of this	27271
section and the fee levied under division (A) of section 3734.573	27272
of the Revised Code shall be expended by the board of county	27273
commissioners or directors of the district in accordance with the	27274
district's solid waste management plan or amended plan approved	27275
under section 3734.521, 3734.55, or 3734.56 of the Revised Code	27276
exclusively for the following purposes:	27277

(1) Preparation of the solid waste management plan of the	27278
district under section 3734.54 of the Revised Code, monitoring	27279
implementation of the plan, and conducting the periodic review and	27280
amendment of the plan required by section 3734.56 of the Revised	27281
Code by the solid waste management policy committee;	27282

(2) Implementation of the approved solid waste management	27283
plan or amended plan of the district, including, without	27284
limitation, the development and implementation of solid waste	27285
recycling or reduction programs;	27286

(3) Providing financial assistance to boards of health within	27287
the district, if solid waste facilities are located within the	27288
district, for enforcement of this chapter and rules, orders, and	27289
terms and conditions of permits, licenses, and variances adopted	27290
or issued under it, other than the hazardous waste provisions of	27291
this chapter and rules adopted and orders and terms and conditions	27292
of permits issued under those provisions;	27293

(4) Providing financial assistance to each county within the	27294
district to defray the added costs of maintaining roads and other	27295
public facilities and of providing emergency and other public	27296
services resulting from the location and operation of a solid	27297
waste facility within the county under the district's approved	27298
solid waste management plan or amended plan;	27299

(5) Pursuant to contracts entered into with boards of health	27300
within the district, if solid waste facilities contained in the	27301
district's approved plan or amended plan are located within the	27302
district, for paying the costs incurred by those boards of health	27303
for collecting and analyzing samples from public or private water	27304
wells on lands adjacent to those facilities;	27305

(6) Developing and implementing a program for the inspection	27306
of solid wastes generated outside the boundaries of this state	27307
that are disposed of at solid waste facilities included in the	27308
district's approved solid waste management plan or amended plan;	27309

(7) Providing financial assistance to boards of health within	27310
the district for the enforcement of section 3734.03 of the Revised	27311
Code or to local law enforcement agencies having jurisdiction	27312
within the district for enforcing anti-littering laws and	27313
ordinances;	27314

(8) Providing financial assistance to boards of health of	27315
health districts within the district that are on the approved list	27316
under section 3734.08 of the Revised Code to defray the costs to	27317
the health districts for the participation of their employees	27318
responsible for enforcement of the solid waste provisions of this	27319
chapter and rules adopted and orders and terms and conditions of	27320
permits, licenses, and variances issued under those provisions in	27321
the training and certification program as required by rules	27322
adopted under division (L) of section 3734.02 of the Revised Code;	27323

(9) Providing financial assistance to individual municipal	27324
corporations and townships within the district to defray their	27325
added costs of maintaining roads and other public facilities and	27326
of providing emergency and other public services resulting from	27327
the location and operation within their boundaries of a	27328
composting, energy or resource recovery, incineration, or	27329
recycling facility that either is owned by the district or is	27330
furnishing solid waste management facility or recycling services	27331
to the district pursuant to a contract or agreement with the board	27332
of county commissioners or directors of the district;	27333

(10) Payment of any expenses that are agreed to, awarded, or	27334
ordered to be paid under section 3734.35 of the Revised Code and	27335
of any administrative costs incurred pursuant to that section. In	27336
the case of a joint solid waste management district, if the board	27337
of county commissioners of one of the counties in the district is	27338
negotiating on behalf of affected communities, as defined in that	27339
section, in that county, the board shall obtain the approval of	27340
the board of directors of the district in order to expend moneys	27341
for administrative costs incurred.	27342

Prior to the approval of the district's solid waste	27343
management plan under section 3734.55 of the Revised Code, moneys	27344
in the special fund of the district arising from the fees shall be	27345
expended for those purposes in the manner prescribed by the solid	27346
waste management policy committee by resolution.	27347

Notwithstanding division (G)(6) of this section as it existed	27348
prior to October 29, 1993, or any provision in a district's solid	27349
waste management plan prepared in accordance with division	27350
(B)(2)(e) of section 3734.53 of the Revised Code as it existed	27351
prior to that date, any moneys arising from the fees levied under	27352
division (B)(3) of this section prior to January 1, 1994, may be	27353
expended for any of the purposes authorized in divisions (G)(1) to	27354
(10) of this section.	27355

(H) The director shall adopt rules in accordance with Chapter	27356
119. of the Revised Code prescribing procedures for collecting and	27357
forwarding the fees levied under divisions (B) and (C) of this	27358
section to the boards of county commissioners or directors of	27359
county or joint solid waste management districts and to the	27360
treasurers or other officers of municipal corporations and the	27361
fiscal officers of townships. The rules also shall prescribe the	27362
dates for forwarding the fees to the boards and officials and may	27363
prescribe any other requirements the director considers necessary	27364
or appropriate to implement and administer divisions (A), (B), and	27365
(C) of this section.	27366

Sec. 3735.672.  (A) On or before the thirty-first day of	27367
March each year, a legislative authority that has entered into an	27368
agreement with a party under section 3735.671 of the Revised Code	27369
shall submit to the director of development and the board of	27370
education of each school district of which a municipal corporation	27371
or township to which such an agreement applies is a part a report	27372
on all such agreements in effect during the preceding calendar	27373
year. The report shall include the following information:	27374

(1) The designation, assigned by the director of development,	27375
of each community reinvestment area within the municipal	27376
corporation or county, and the total population of each area	27377
according to the most recent data available;	27378

(2) The number of agreements and the number of full-time	27379
employees subject to those agreements within each area, each	27380
according to the most recent data available and identified and	27381
categorized by the appropriate standard industrial code, and the	27382
rate of unemployment in the municipal corporation or county in	27383
which the area is located for each year since the area was	27384
certified;	27385

(3) The number of agreements approved and executed during the	27386
calendar year for which the report is submitted, the total number	27387
of agreements in effect on the thirty-first day of December of the	27388
preceding calendar year, the number of agreements that expired	27389
during the calendar year for which the report is submitted, and	27390
the number of agreements scheduled to expire during the calendar	27391
year in which the report is submitted. For each agreement that	27392
expired during the calendar year for which the report is	27393
submitted, the legislative authority shall include the amount of	27394
taxes exempted under the agreement.	27395

(4) The number of agreements receiving compliance reviews by	27396
the tax incentive review council in the municipal corporation or	27397
county during the calendar year for which the report is submitted,	27398
including all of the following information:	27399

(a) The number of agreements the terms of which the party has	27400
complied with, indicating separately for each such agreement the	27401
value of the real property exempted pursuant to the agreement and	27402
a comparison of the stipulated and actual schedules for hiring new	27403
employees, for retaining existing employees, and for the amount of	27404
payroll of the party attributable to these employees;	27405

(b) The number of agreements the terms of which a party has	27406
failed to comply with, indicating separately for each such	27407
agreement the value of the real and personal property exempted	27408
pursuant to the agreement and a comparison of the stipulated and	27409
actual schedules for hiring new employees, for retaining existing	27410
employees, and for the amount of payroll of the enterprise	27411
attributable to these employees;	27412

(c) The number of agreements about which the tax incentive	27413
review council made recommendations to the legislative authority,	27414
and the number of such recommendations that have not been	27415
followed;	27416

(d) The number of agreements rescinded during the calendar	27417
year for which the report is submitted.	27418

(5) The number of parties subject to agreements that expanded	27419
within each area, including the number of new employees hired and	27420
existing employees retained by that party, and the number of new	27421
parties subject to agreements that established within each area,	27422
including the number of new employees hired by each party;	27423

(6) For each agreement in effect during any part of the	27424
preceding year, the number of employees employed by the party at	27425
the property that is the subject of the agreement immediately	27426
prior to formal approval of the agreement, the number of employees	27427
employed by the party at that property on the thirty-first day of	27428
December of the preceding year, the payroll of the party for the	27429
preceding year, the amount of taxes paid on real property that was	27430
exempted under the agreement, and the amount of such taxes that	27431
were not paid because of the exemption.	27432

(B) Upon the failure of a municipal corporation or county to	27433
comply with division (A) of this section:	27434

(1) Beginning on the first day of April of the calendar year	27435
in which the municipal corporation or county fails to comply with	27436
that division, the municipal corporation or county shall not enter	27437
into any agreements under section 3735.671 of the Revised Code	27438
until the municipal corporation or county has complied with	27439
division (A) of this section.	27440

(2) On the first day of each ensuing calendar month until the	27441
municipal corporation or county complies with that division, the	27442
director of development shall either order the proper county	27443
auditor to deduct from the next succeeding payment of taxes to the	27444
municipal corporation or county under section 321.31, 321.32,	27445
321.33, or 321.34 of the Revised Code an amount equal to five	27446
hundred dollars for each calendar month the municipal corporation	27447
or county fails to comply with that division, or order the county	27448
auditor to deduct such an amount from the next succeeding payment	27449
to the municipal corporation or county from the undivided local	27450
governmentcommunities fund under section 5747.51 of the Revised	27451
Code. At the time such a payment is made, the county auditor shall	27452
comply with the director's order by issuing a warrant, drawn on	27453
the fund from which such money would have been paid, to the	27454
director of development, who shall deposit the warrant into the	27455
state community reinvestment area program administration fund	27456
created in division (C) of this section.	27457

(C) The director, by rule, shall establish the state's	27458
application fee for applications submitted to a municipal	27459
corporation or county to enter into an agreement under section	27460
3735.671 of the Revised Code. In establishing the amount of the	27461
fee, the director shall consider the state's cost of administering	27462
the community reinvestment area program, including the cost of	27463
reviewing the reports required under division (A) of this section.	27464
The director may change the amount of the fee at such times and in	27465
such increments as hethe director considers necessary. Any	27466
municipal corporation or county that receives an application shall	27467
collect the application fee and remit the fee for deposit in the	27468
state treasury to the credit of the state community reinvestment	27469
area program administration fund, which is hereby created. Money	27470
credited to the fund shall be used by the department of	27471
development to pay the costs of administering the community	27472
reinvestment area program, including the cost of reviewing the	27473
reports required under division (A) of this sectiontax incentive	27474
programs operating fund created in section 122.174 of the Revised	27475
Code.	27476

Sec. 3745.11.  (A) Applicants for and holders of permits,	27477
licenses, variances, plan approvals, and certifications issued by	27478
the director of environmental protection pursuant to Chapters	27479
3704., 3734., 6109., and 6111. of the Revised Code shall pay a fee	27480
to the environmental protection agency for each such issuance and	27481
each application for an issuance as provided by this section. No	27482
fee shall be charged for any issuance for which no application has	27483
been submitted to the director.	27484

(B) Each person who is issued a permit to install prior to	27485
July 1, 2003, pursuant to rules adopted under division (F) of	27486
section 3704.03 of the Revised Code shall pay the fees specified	27487
in the following schedules:	27488

(1) Fuel-burning equipment (boilers)

27489

Input capacity (maximum)					27490
(million British thermal units per hour)		Permit to install			27491

Greater than 0, but less than 10		$ 200			27492
10 or more, but less than 100		400			27493
100 or more, but less than 300		800			27494
300 or more, but less than 500		1500			27495
500 or more, but less than 1000		2500			27496
1000 or more, but less than 5000		4000			27497
5000 or more		6000			27498

Units burning exclusively natural gas, number two fuel oil,	27499
or both shall be assessed a fee that is one-half of the applicable	27500
amount established in division (F)(1) of this section.	27501

(2) Incinerators

27502

Input capacity (pounds per hour)

Permit to install

27503

0 to 100		$ 100			27504
101 to 500		400			27505
501 to 2000		750			27506
2001 to 20,000		1000			27507
more than 20,000		2500			27508

(3)(a) Process

27509

Process weight rate (pounds per hour)

Permit to install

27510

0 to 1000		$ 200			27511
1001 to 5000		400			27512
5001 to 10,000		600			27513
10,001 to 50,000		800			27514
more than 50,000		1000			27515

In any process where process weight rate cannot be	27516
ascertained, the minimum fee shall be assessed.	27517

(b) Notwithstanding division (B)(3)(a) of this section, any	27518
person issued a permit to install pursuant to rules adopted under	27519
division (F) of section 3704.03 of the Revised Code shall pay the	27520
fees established in division (B)(3)(c) of this section for a	27521
process used in any of the following industries, as identified by	27522
the applicable four-digit standard industrial classification code	27523
according to the Standard Industrial Classification Manual	27524
published by the United States office of management and budget in	27525
the executive office of the president, 1972, as revised:	27526

1211 Bituminous coal and lignite mining;

27527

1213 Bituminous coal and lignite mining services;

27528

1411 Dimension stone;

27529

1422 Crushed and broken limestone;

27530

1427 Crushed and broken stone, not elsewhere classified;

27531

1442 Construction sand and gravel;

27532

1446 Industrial sand;

27533

3281 Cut stone and stone products;

27534

3295 Minerals and earth, ground or otherwise treated.

27535

(c) The fees established in the following schedule apply to	27536
the issuance of a permit to install pursuant to rules adopted	27537
under division (F) of section 3704.03 of the Revised Code for a	27538
process listed in division (B)(3)(b) of this section:	27539

Process weight rate (pounds per hour)

Permit to install

27540

0 to 1000	$ 200		27541
10,001 to 50,000	300		27542
50,001 to 100,000	400		27543
100,001 to 200,000	500		27544
200,001 to 400,000	600		27545
400,001 or more	700		27546

(4) Storage tanks

27547

Gallons (maximum useful capacity)

Permit to install

27548

0 to 20,000		$ 100			27549
20,001 to 40,000		150			27550
40,001 to 100,000		200			27551
100,001 to 250,000		250			27552
250,001 to 500,000		350			27553
500,001 to 1,000,000		500			27554
1,000,001 or greater		750			27555

(5) Gasoline/fuel dispensing facilities

27556

For each gasoline/fuel dispensing		Permit to install			27557
facility		$ 100			27558

(6) Dry cleaning facilities

27559

For each dry cleaning facility		Permit to install			27560
(includes all units at the facility)		$ 100			27561

(7) Registration status

27562

For each source covered		Permit to install			27563
by registration status		$  75			27564

(C)(1) Except as otherwise provided in division (C)(2) of	27565
this section, beginning July 1, 1994, each person who owns or	27566
operates an air contaminant source and who is required to apply	27567
for and obtain a Title V permit under section 3704.036 of the	27568
Revised Code shall pay the fees set forth in division (C)(1) of	27569
this section. For the purposes of that division, total emissions	27570
of air contaminants may be calculated using engineering	27571
calculations, emissions factors, material balance calculations, or	27572
performance testing procedures, as authorized by the director.	27573

The following fees shall be assessed on the total actual	27574
emissions from a source in tons per year of the regulated	27575
pollutants particulate matter, sulfur dioxide, nitrogen oxides,	27576
organic compounds, and lead:	27577

(a) Fifteen dollars per ton on the total actual emissions of	27578
each such regulated pollutant during the period July through	27579
December 1993, to be collected no sooner than July 1, 1994;	27580

(b) Twenty dollars per ton on the total actual emissions of	27581
each such regulated pollutant during calendar year 1994, to be	27582
collected no sooner than April 15, 1995;	27583

(c) Twenty-five dollars per ton on the total actual emissions	27584
of each such regulated pollutant in calendar year 1995, and each	27585
subsequent calendar year, to be collected no sooner than the	27586
fifteenth day of April of the year next succeeding the calendar	27587
year in which the emissions occurred.	27588

The fees levied under division (C)(1) of this section do not	27589
apply to that portion of the emissions of a regulated pollutant at	27590
a facility that exceed four thousand tons during a calendar year.	27591

(2) The fees assessed under division (C)(1) of this section	27592
are for the purpose of providing funding for the Title V permit	27593
program.	27594

(3) The fees assessed under division (C)(1) of this section	27595
do not apply to emissions from any electric generating unit	27596
designated as a Phase I unit under Title IV of the federal Clean	27597
Air Act prior to calendar year 2000. Those fees shall be assessed	27598
on the emissions from such a generating unit commencing in	27599
calendar year 2001 based upon the total actual emissions from the	27600
generating unit during calendar year 2000 and shall continue to be	27601
assessed each subsequent calendar year based on the total actual	27602
emissions from the generating unit during the preceding calendar	27603
year.	27604

(4) The director shall issue invoices to owners or operators	27605
of air contaminant sources who are required to pay a fee assessed	27606
under division (C) or (D) of this section. Any such invoice shall	27607
be issued no sooner than the applicable date when the fee first	27608
may be collected in a year under the applicable division, shall	27609
identify the nature and amount of the fee assessed, and shall	27610
indicate that the fee is required to be paid within thirty days	27611
after the issuance of the invoice.	27612

(D)(1) Except as provided in division (D)(3) of this section,	27613
from January 1, 1994, through December 31, 2003, each person who	27614
owns or operates an air contaminant source; who is required to	27615
apply for a permit to operate pursuant to rules adopted under	27616
division (G), or a variance pursuant to division (H), of section	27617
3704.03 of the Revised Code; and who is not required to apply for	27618
and obtain a Title V permit under section 3704.036 of the Revised	27619
Code shall pay a single fee based upon the sum of the actual	27620
annual emissions from the facility of the regulated pollutants	27621
particulate matter, sulfur dioxide, nitrogen oxides, organic	27622
compounds, and lead in accordance with the following schedule:	27623

	Total tons per year					27624
	of regulated pollutants		Annual fee			27625
	emitted		per facility			27626
	More than 0, but less than 50		$ 75			27627
	50 or more, but less than 100		300			27628
	100 or more		700			27629

(2) Except as provided in division (D)(3) of this section,	27630
beginning January 1, 2004, each person who owns or operates an air	27631
contaminant source; who is required to apply for a permit to	27632
operate pursuant to rules adopted under division (G), or a	27633
variance pursuant to division (H), of section 3704.03 of the	27634
Revised Code; and who is not required to apply for and obtain a	27635
Title V permit under section 3704.03 of the Revised Code shall pay	27636
a single fee based upon the sum of the actual annual emissions	27637
from the facility of the regulated pollutants particulate matter,	27638
sulfur dioxide, nitrogen oxides, organic compounds, and lead in	27639
accordance with the following schedule:	27640

	Total tons per year					27641
	of regulated pollutants		Annual fee			27642
	emitted		per facility			27643
	More than 0, but less than 10		$ 100			27644
	10 or more, but less than 50		200			27645
	50 or more, but less than 100		300			27646
	100 or more		700			27647

(3)(a) As used in division (D) of this section, "synthetic	27648
minor facility" means a facility for which one or more permits to	27649
install or permits to operate have been issued for the air	27650
contaminant sources at the facility that include terms and	27651
conditions that lower the facility's potential to emit air	27652
contaminants below the major source thresholds established in	27653
rules adopted under section 3704.036 of the Revised Code.	27654

(b) Beginning January 1, 2000, through June 30, 20082010,	27655
each person who owns or operates a synthetic minor facility shall	27656
pay an annual fee based on the sum of the actual annual emissions	27657
from the facility of particulate matter, sulfur dioxide, nitrogen	27658
dioxide, organic compounds, and lead in accordance with the	27659
following schedule:	27660

	Combined total tons				27661
	per year of all regulated		Annual fee		27662
	pollutants emitted		per facility		27663

	Less than 10		$ 170		27664
	10 or more, but less than 20		340		27665
	20 or more, but less than 30		670		27666
	30 or more, but less than 40		1,010		27667
	40 or more, but less than 50		1,340		27668
	50 or more, but less than 60		1,680		27669
	60 or more, but less than 70		2,010		27670
	70 or more, but less than 80		2,350		27671
	80 or more, but less than 90		2,680		27672
	90 or more, but less than 100		3,020		27673
	100 or more		3,350		27674

(4) The fees assessed under division (D)(1) of this section	27675
shall be collected annually no sooner than the fifteenth day of	27676
April, commencing in 1995. The fees assessed under division	27677
(D)(2) of this section shall be collected annually no sooner than	27678
the fifteenth day of April, commencing in 2005. The fees assessed	27679
under division (D)(3) of this section shall be collected no sooner	27680
than the fifteenth day of April, commencing in 2000. The fees	27681
assessed under division (D) of this section in a calendar year	27682
shall be based upon the sum of the actual emissions of those	27683
regulated pollutants during the preceding calendar year. For the	27684
purpose of division (D) of this section, emissions of air	27685
contaminants may be calculated using engineering calculations,	27686
emission factors, material balance calculations, or performance	27687
testing procedures, as authorized by the director. The director,	27688
by rule, may require persons who are required to pay the fees	27689
assessed under division (D) of this section to pay those fees	27690
biennially rather than annually.	27691

(E)(1) Consistent with the need to cover the reasonable costs	27692
of the Title V permit program, the director annually shall	27693
increase the fees prescribed in division (C)(1) of this section by	27694
the percentage, if any, by which the consumer price index for the	27695
most recent calendar year ending before the beginning of a year	27696
exceeds the consumer price index for calendar year 1989. Upon	27697
calculating an increase in fees authorized by division (E)(1) of	27698
this section, the director shall compile revised fee schedules for	27699
the purposes of division (C)(1) of this section and shall make the	27700
revised schedules available to persons required to pay the fees	27701
assessed under that division and to the public.	27702

(2) For the purposes of division (E)(1) of this section:

27703

(a) The consumer price index for any year is the average of	27704
the consumer price index for all urban consumers published by the	27705
United States department of labor as of the close of the	27706
twelve-month period ending on the thirty-first day of August of	27707
that year.	27708

(b) If the 1989 consumer price index is revised, the director	27709
shall use the revision of the consumer price index that is most	27710
consistent with that for calendar year 1989.	27711

(F) Each person who is issued a permit to install pursuant to	27712
rules adopted under division (F) of section 3704.03 of the Revised	27713
Code on or after July 1, 2003, shall pay the fees specified in the	27714
following schedules:	27715

(1) Fuel-burning equipment (boilers, furnaces, or process	27716
heaters used in the process of burning fuel for the primary	27717
purpose of producing heat or power by indirect heat transfer)	27718

Input capacity (maximum)			27719
(million British thermal units per hour)	Permit to install		27720
Greater than 0, but less than 10	$ 200		27721
10 or more, but less than 100	400		27722
100 or more, but less than 300	1000		27723
300 or more, but less than 500	2250		27724
500 or more, but less than 1000	3750		27725
1000 or more, but less than 5000	6000		27726
5000 or more	9000		27727

Units burning exclusively natural gas, number two fuel oil,	27728
or both shall be assessed a fee that is one-half the applicable	27729
amount shown in division (F)(1) of this section.	27730

(2) Combustion turbines and stationary internal combustion	27731
engines designed to generate electricity	27732

Generating capacity (mega watts)	Permit to install		27733
0 or more, but less than 10	$  25		27734
10 or more, but less than 25	150		27735
25 or more, but less than 50	300		27736
50 or more, but less than 100	500		27737
100 or more, but less than 250	1000		27738
250 or more	2000		27739

(3) Incinerators

27740

Input capacity (pounds per hour)	Permit to install		27741
0 to 100	$ 100		27742
101 to 500	500		27743
501 to 2000	1000		27744
2001 to 20,000	1500		27745
more than 20,000	3750		27746

(4)(a) Process

27747

Process weight rate (pounds per hour)	Permit to install		27748
0 to 1000	$ 200		27749
1001 to 5000	500		27750
5001 to 10,000	750		27751
10,001 to 50,000	1000		27752
more than 50,000	1250		27753

In any process where process weight rate cannot be	27754
ascertained, the minimum fee shall be assessed. A boiler, furnace,	27755
combustion turbine, stationary internal combustion engine, or	27756
process heater designed to provide direct heat or power to a	27757
process not designed to generate electricity shall be assessed a	27758
fee established in division (F)(4)(a) of this section. A	27759
combustion turbine or stationary internal combustion engine	27760
designed to generate electricity shall be assessed a fee	27761
established in division (F)(2) of this section.	27762

(b) Notwithstanding division (F)(4)(a) of this section, any	27763
person issued a permit to install pursuant to rules adopted under	27764
division (F) of section 3704.03 of the Revised Code shall pay the	27765
fees set forth in division (F)(4)(c) of this section for a process	27766
used in any of the following industries, as identified by the	27767
applicable two-digit, three-digit, or four-digit standard	27768
industrial classification code according to the Standard	27769
Industrial Classification Manual published by the United States	27770
office of management and budget in the executive office of the	27771
president, 1987, as revised:	27772

Major group 10, metal mining;

27773

Major group 12, coal mining;

27774

Major group 14, mining and quarrying of nonmetallic minerals;

27775

Industry group 204, grain mill products;

27776

2873 Nitrogen fertilizers;

27777

2874 Phosphatic fertilizers;

27778

3281 Cut stone and stone products;

27779

3295 Minerals and earth, ground or otherwise treated;

27780

4221 Grain elevators (storage only);

27781

5159 Farm related raw materials;

27782

5261 Retail nurseries and lawn and garden supply stores.

27783

(c) The fees set forth in the following schedule apply to the	27784
issuance of a permit to install pursuant to rules adopted under	27785
division (F) of section 3704.03 of the Revised Code for a process	27786
identified in division (F)(4)(b) of this section:	27787

	Process weight rate (pounds per hour)		Permit to install			27788
	0 to 10,000		$  200			27789
	10,001 to 50,000		400			27790
	50,001 to 100,000		500			27791
	100,001 to 200,000		600			27792
	200,001 to 400,000		750			27793
	400,001 or more		900			27794

(5) Storage tanks

27795

	Gallons (maximum useful capacity)		Permit to install			27796
	0 to 20,000		$  100			27797
	20,001 to 40,000		150			27798
	40,001 to 100,000		250			27799
	100,001 to 500,000		400			27800
	500,001 or greater		750			27801

(6) Gasoline/fuel dispensing facilities

27802

For each gasoline/fuel						27803
dispensing facility (includes all			Permit to install			27804
units at the facility)			$ 100			27805

(7) Dry cleaning facilities

27806

For each dry cleaning						27807
facility (includes all units			Permit to install			27808
at the facility)			$ 100			27809

(8) Registration status

27810

For each source covered			Permit to install			27811
by registration status			$  75			27812

(G) An owner or operator who is responsible for an asbestos	27813
demolition or renovation project pursuant to rules adopted under	27814
section 3704.03 of the Revised Code shall pay the fees set forth	27815
in the following schedule:	27816

	Action		Fee			27817
	Each notification		$75			27818
	Asbestos removal		$3/unit			27819
	Asbestos cleanup		$4/cubic yard			27820

For purposes of this division, "unit" means any combination of	27821
linear feet or square feet equal to fifty.	27822

(H) A person who is issued an extension of time for a permit	27823
to install an air contaminant source pursuant to rules adopted	27824
under division (F) of section 3704.03 of the Revised Code shall	27825
pay a fee equal to one-half the fee originally assessed for the	27826
permit to install under this section, except that the fee for such	27827
an extension shall not exceed two hundred dollars.	27828

(I) A person who is issued a modification to a permit to	27829
install an air contaminant source pursuant to rules adopted under	27830
section 3704.03 of the Revised Code shall pay a fee equal to	27831
one-half of the fee that would be assessed under this section to	27832
obtain a permit to install the source. The fee assessed by this	27833
division only applies to modifications that are initiated by the	27834
owner or operator of the source and shall not exceed two thousand	27835
dollars.	27836

(J) Notwithstanding division (B) or (F) of this section, a	27837
person who applies for or obtains a permit to install pursuant to	27838
rules adopted under division (F) of section 3704.03 of the Revised	27839
Code after the date actual construction of the source began shall	27840
pay a fee for the permit to install that is equal to twice the fee	27841
that otherwise would be assessed under the applicable division	27842
unless the applicant received authorization to begin construction	27843
under division (W) of section 3704.03 of the Revised Code. This	27844
division only applies to sources for which actual construction of	27845
the source begins on or after July 1, 1993. The imposition or	27846
payment of the fee established in this division does not preclude	27847
the director from taking any administrative or judicial	27848
enforcement action under this chapter, Chapter 3704., 3714.,	27849
3734., or 6111. of the Revised Code, or a rule adopted under any	27850
of them, in connection with a violation of rules adopted under	27851
division (F) of section 3704.03 of the Revised Code.	27852

As used in this division, "actual construction of the source"	27853
means the initiation of physical on-site construction activities	27854
in connection with improvements to the source that are permanent	27855
in nature, including, without limitation, the installation of	27856
building supports and foundations and the laying of underground	27857
pipework.	27858

(K) Fifty cents per ton of each fee assessed under division	27859
(C) of this section on actual emissions from a source and received	27860
by the environmental protection agency pursuant to that division	27861
shall be deposited into the state treasury to the credit of the	27862
small business assistance fund created in section 3706.19 of the	27863
Revised Code. The remainder of the moneys received by the division	27864
pursuant to that division and moneys received by the agency	27865
pursuant to divisions (D), (F), (G), (H), (I), and (J) of this	27866
section shall be deposited in the state treasury to the credit of	27867
the clean air fund created in section 3704.035 of the Revised	27868
Code.	27869

(L)(1)(a) Except as otherwise provided in division (L)(1)(b)	27870
or (c) of this section, a person issued a water discharge permit	27871
or renewal of a water discharge permit pursuant to Chapter 6111.	27872
of the Revised Code shall pay a fee based on each point source to	27873
which the issuance is applicable in accordance with the following	27874
schedule:	27875

	Design flow discharge (gallons per day)		Fee			27876
	0 to 1000		$  0			27877
	1,001 to 5000		100			27878
	5,001 to 50,000		200			27879
	50,001 to 100,000		300			27880
	100,001 to 300,000		525			27881
	over 300,000		750			27882

(b) Notwithstanding the fee schedule specified in division	27883
(L)(1)(a) of this section, the fee for a water discharge permit	27884
that is applicable to coal mining operations regulated under	27885
Chapter 1513. of the Revised Code shall be two hundred fifty	27886
dollars per mine.	27887

(c) Notwithstanding the fee schedule specified in division	27888
(L)(1)(a) of this section, the fee for a water discharge permit	27889
for a public discharger identified by I in the third character of	27890
the permittee's NPDES permit number shall not exceed seven hundred	27891
fifty dollars.	27892

(2) A person applying for a plan approval for a wastewater	27893
treatment works pursuant to section 6111.44, 6111.45, or 6111.46	27894
of the Revised Code shall pay a fee of one hundred dollars plus	27895
sixty-five one-hundredths of one per cent of the estimated project	27896
cost through June 30, 20082010, and one hundred dollars plus	27897
two-tenths of one per cent of the estimated project cost on and	27898
after July 1, 20082010, except that the total fee shall not	27899
exceed fifteen thousand dollars through June 30, 20082010, and	27900
five thousand dollars on and after July 1, 20082010. The fee	27901
shall be paid at the time the application is submitted.	27902

(3) A person issued a modification of a water discharge	27903
permit shall pay a fee equal to one-half the fee that otherwise	27904
would be charged for a water discharge permit, except that the fee	27905
for the modification shall not exceed four hundred dollars.	27906

(4) A person who has entered into an agreement with the	27907
director under section 6111.14 of the Revised Code shall pay an	27908
administrative service fee for each plan submitted under that	27909
section for approval that shall not exceed the minimum amount	27910
necessary to pay administrative costs directly attributable to	27911
processing plan approvals. The director annually shall calculate	27912
the fee and shall notify all persons who have entered into	27913
agreements under that section, or who have applied for agreements,	27914
of the amount of the fee.	27915

(5)(a)(i) Not later than January 30, 20062008, and January	27916
30, 20072009, a person holding an NPDES discharge permit issued	27917
pursuant to Chapter 6111. of the Revised Code with an average	27918
daily discharge flow of five thousand gallons or more shall pay a	27919
nonrefundable annual discharge fee. Any person who fails to pay	27920
the fee at that time shall pay an additional amount that equals	27921
ten per cent of the required annual discharge fee.	27922

(ii) The billing year for the annual discharge fee	27923
established in division (L)(5)(a)(i) of this section shall consist	27924
of a twelve-month period beginning on the first day of January of	27925
the year preceding the date when the annual discharge fee is due.	27926
In the case of an existing source that permanently ceases to	27927
discharge during a billing year, the director shall reduce the	27928
annual discharge fee, including the surcharge applicable to	27929
certain industrial facilities pursuant to division (L)(5)(c) of	27930
this section, by one-twelfth for each full month during the	27931
billing year that the source was not discharging, but only if the	27932
person holding the NPDES discharge permit for the source notifies	27933
the director in writing, not later than the first day of October	27934
of the billing year, of the circumstances causing the cessation of	27935
discharge.	27936

(iii) The annual discharge fee established in division	27937
(L)(5)(a)(i) of this section, except for the surcharge applicable	27938
to certain industrial facilities pursuant to division (L)(5)(c) of	27939
this section, shall be based upon the average daily discharge flow	27940
in gallons per day calculated using first day of May through	27941
thirty-first day of October flow data for the period two years	27942
prior to the date on which the fee is due. In the case of NPDES	27943
discharge permits for new sources, the fee shall be calculated	27944
using the average daily design flow of the facility until actual	27945
average daily discharge flow values are available for the time	27946
period specified in division (L)(5)(a)(iii) of this section. The	27947
annual discharge fee may be prorated for a new source as described	27948
in division (L)(5)(a)(ii) of this section.	27949

(b) An NPDES permit holder that is a public discharger shall	27950
pay the fee specified in the following schedule:	27951

Average daily				Fee due by		27952
discharge flow				January 30,		27953
				2006 2008, and		27954
				January 30, 2007 2009		27955

5,000 to 49,999			$ 200			27956
50,000 to 100,000			500			27957
100,001 to 250,000			1,050			27958
250,001 to 1,000,000			2,600			27959
1,000,001 to 5,000,000			5,200			27960
5,000,001 to 10,000,000			10,350			27961
10,000,001 to 20,000,000			15,550			27962
20,000,001 to 50,000,000			25,900			27963
50,000,001 to 100,000,000			41,400			27964
100,000,001 or more			62,100			27965

Public dischargers owning or operating two or more publicly	27966
owned treatment works serving the same political subdivision, as	27967
"treatment works" is defined in section 6111.01 of the Revised	27968
Code, and that serve exclusively political subdivisions having a	27969
population of fewer than one hundred thousand shall pay an annual	27970
discharge fee under division (L)(5)(b) of this section that is	27971
based on the combined average daily discharge flow of the	27972
treatment works.	27973

(c) An NPDES permit holder that is an industrial discharger,	27974
other than a coal mining operator identified by P in the third	27975
character of the permittee's NPDES permit number, shall pay the	27976
fee specified in the following schedule:	27977

Average daily				Fee due by		27978
discharge flow				January 30,		27979
				2006 2008, and		27980
				January 30, 2007 2009		27981

5,000 to 49,999			$ 250			27982
50,000 to 250,000			1,200			27983
250,001 to 1,000,000			2,950			27984
1,000,001 to 5,000,000			5,850			27985
5,000,001 to 10,000,000			8,800			27986
10,000,001 to 20,000,000			11,700			27987
20,000,001 to 100,000,000			14,050			27988
100,000,001 to 250,000,000			16,400			27989
250,000,001 or more			18,700			27990

In addition to the fee specified in the above schedule, an	27991
NPDES permit holder that is an industrial discharger classified as	27992
a major discharger during all or part of the annual discharge fee	27993
billing year specified in division (L)(5)(a)(ii) of this section	27994
shall pay a nonrefundable annual surcharge of seven thousand five	27995
hundred dollars not later than January 30, 20062008, and not	27996
later than January 30, 20072009. Any person who fails to pay the	27997
surcharge at that time shall pay an additional amount that equals	27998
ten per cent of the amount of the surcharge.	27999

(d) Notwithstanding divisions (L)(5)(b) and (c) of this	28000
section, a public discharger identified by I in the third	28001
character of the permittee's NPDES permit number and an industrial	28002
discharger identified by I, J, L, V, W, X, Y, or Z in the third	28003
character of the permittee's NPDES permit number shall pay a	28004
nonrefundable annual discharge fee of one hundred eighty dollars	28005
not later than January 30, 20062008, and not later than January	28006
30, 20072009. Any person who fails to pay the fee at that time	28007
shall pay an additional amount that equals ten per cent of the	28008
required fee.	28009

(6) Each person obtaining a national pollutant discharge	28010
elimination system general or individual permit for municipal	28011
storm water discharge shall pay a nonrefundable storm water	28012
discharge fee of one hundred dollars per square mile of area	28013
permitted. The fee shall not exceed ten thousand dollars and shall	28014
be payable on or before January 30, 2004, and the thirtieth day of	28015
January of each year thereafter. Any person who fails to pay the	28016
fee on the date specified in division (L)(6) of this section shall	28017
pay an additional amount per year equal to ten per cent of the	28018
annual fee that is unpaid.	28019

(7) The director shall transmit all moneys collected under	28020
division (L) of this section to the treasurer of state for deposit	28021
into the state treasury to the credit of the surface water	28022
protection fund created in section 6111.038 of the Revised Code.	28023

(8) As used in division (L) of this section:

28024

(a) "NPDES" means the federally approved national pollutant	28025
discharge elimination system program for issuing, modifying,	28026
revoking, reissuing, terminating, monitoring, and enforcing	28027
permits and imposing and enforcing pretreatment requirements under	28028
Chapter 6111. of the Revised Code and rules adopted under it.	28029

(b) "Public discharger" means any holder of an NPDES permit	28030
identified by P in the second character of the NPDES permit number	28031
assigned by the director.	28032

(c) "Industrial discharger" means any holder of an NPDES	28033
permit identified by I in the second character of the NPDES permit	28034
number assigned by the director.	28035

(d) "Major discharger" means any holder of an NPDES permit	28036
classified as major by the regional administrator of the United	28037
States environmental protection agency in conjunction with the	28038
director.	28039

(M) Through June 30, 20082010, a person applying for a	28040
license or license renewal to operate a public water system under	28041
section 6109.21 of the Revised Code shall pay the appropriate fee	28042
established under this division at the time of application to the	28043
director. Any person who fails to pay the fee at that time shall	28044
pay an additional amount that equals ten per cent of the required	28045
fee. The director shall transmit all moneys collected under this	28046
division to the treasurer of state for deposit into the drinking	28047
water protection fund created in section 6109.30 of the Revised	28048
Code.	28049

Except as provided in division (M)(4) of this section, fees	28050
required under this division shall be calculated and paid in	28051
accordance with the following schedule:	28052

(1) For the initial license required under division (A)(1) of	28053
section 6109.21 of the Revised Code for any public water system	28054
that is a community water system as defined in section 6109.01 of	28055
the Revised Code, and for each license renewal required for such a	28056
system prior to January 31, 20082010, the fee is:	28057

Number of service connections		Fee amount			28058
	Not more than 49	$ 112			28059
	50 to 99	176			28060

Number of service connections			Average cost per connection			28061
	100 to 2,499		$ 1.92			28062
	2,500 to 4,999		1.48			28063
	5,000 to 7,499		1.42			28064
	7,500 to 9,999		1.34			28065
	10,000 to 14,999		1.16			28066
	15,000 to 24,999		1.10			28067
	25,000 to 49,999		1.04			28068
	50,000 to 99,999		.92			28069
	100,000 to 149,999		.86			28070
	150,000 to 199,999		.80			28071
	200,000 or more		.76			28072

A public water system may determine how it will pay the total	28073
amount of the fee calculated under division (M)(1) of this	28074
section, including the assessment of additional user fees that may	28075
be assessed on a volumetric basis.	28076

As used in division (M)(1) of this section, "service	28077
connection" means the number of active or inactive pipes,	28078
goosenecks, pigtails, and any other fittings connecting a water	28079
main to any building outlet.	28080

(2) For the initial license required under division (A)(2) of	28081
section 6109.21 of the Revised Code for any public water system	28082
that is not a community water system and serves a nontransient	28083
population, and for each license renewal required for such a	28084
system prior to January 31, 20082010, the fee is:	28085

	Population served		Fee amount			28086
	Fewer than 150		$    112			28087
	150 to 299		176			28088
	300 to 749		384			28089
	750 to 1,499		628			28090
	1,500 to 2,999		1,268			28091
	3,000 to 7,499		2,816			28092
	7,500 to 14,999		5,510			28093
	15,000 to 22,499		9,048			28094
	22,500 to 29,999		12,430			28095
	30,000 or more		16,820			28096

As used in division (M)(2) of this section, "population	28097
served" means the total number of individuals receiving water from	28098
the water supply during a twenty-four-hour period for at least	28099
sixty days during any calendar year. In the absence of a specific	28100
population count, that number shall be calculated at the rate of	28101
three individuals per service connection.	28102

(3) For the initial license required under division (A)(3) of	28103
section 6109.21 of the Revised Code for any public water system	28104
that is not a community water system and serves a transient	28105
population, and for each license renewal required for such a	28106
system prior to January 31, 20082010, the fee is:	28107

Number of wells supplying system			Fee amount			28108
	1		$112			28109
	2		112			28110
	3		176			28111
	4		278			28112
	5		568			28113
	System designated as using a					28114
	surface water source		792			28115

As used in division (M)(3) of this section, "number of wells	28116
supplying system" means those wells that are physically connected	28117
to the plumbing system serving the public water system.	28118

(4) A public water system designated as using a surface water	28119
source shall pay a fee of seven hundred ninety-two dollars or the	28120
amount calculated under division (M)(1) or (2) of this section,	28121
whichever is greater.	28122

(N)(1) A person applying for a plan approval for a public	28123
water supply system under section 6109.07 of the Revised Code	28124
shall pay a fee of one hundred fifty dollars plus thirty-five	28125
hundredths of one per cent of the estimated project cost, except	28126
that the total fee shall not exceed twenty thousand dollars	28127
through June 30, 20082010, and fifteen thousand dollars on and	28128
after July 1, 20082010. The fee shall be paid at the time the	28129
application is submitted.	28130

(2) A person who has entered into an agreement with the	28131
director under division (A)(2) of section 6109.07 of the Revised	28132
Code shall pay an administrative service fee for each plan	28133
submitted under that section for approval that shall not exceed	28134
the minimum amount necessary to pay administrative costs directly	28135
attributable to processing plan approvals. The director annually	28136
shall calculate the fee and shall notify all persons that have	28137
entered into agreements under that division, or who have applied	28138
for agreements, of the amount of the fee.	28139

(3) Through June 30, 20082010, the following fee, on a per	28140
survey basis, shall be charged any person for services rendered by	28141
the state in the evaluation of laboratories and laboratory	28142
personnel for compliance with accepted analytical techniques and	28143
procedures established pursuant to Chapter 6109. of the Revised	28144
Code for determining the qualitative characteristics of water:	28145

	microbiological						28146
		MMO-MUG		$2,000			28147
		MF		2,100			28148
		MMO-MUG and MF		2,550			28149
	organic chemical			5,400			28150
	trace metals			5,400			28151
	standard chemistry			2,800			28152
	limited chemistry			1,550			28153

On and after July 1, 20082010, the following fee, on a per	28154
survey basis, shall be charged any such person:	28155

	microbiological		$ 1,650			28156
	organic chemicals		3,500			28157
	trace metals		3,500			28158
	standard chemistry		1,800			28159
	limited chemistry		1,000			28160

The fee for those services shall be paid at the time the request	28161
for the survey is made. Through June 30, 2008 2010, an individual	28162
laboratory shall not be assessed a fee under this division more	28163
than once in any three-year period unless the person requests the	28164
addition of analytical methods or analysts, in which case the	28165
person shall pay eighteen hundred dollars for each additional	28166
survey requested.	28167

As used in division (N)(3) of this section:

28168

(a) "MF" means microfiltration.

28169

(b) "MMO" means minimal medium ONPG.

28170

(c) "MUG" means 4-methylumbelliferyl-beta-D-glucuronide.

28171

(d) "ONPG" means o-nitrophenyl-beta-D-galactopyranoside.

28172

The director shall transmit all moneys collected under this	28173
division to the treasurer of state for deposit into the drinking	28174
water protection fund created in section 6109.30 of the Revised	28175
Code.	28176

(O) Any person applying to the director for examination for	28177
certification as an operator of a water supply system or	28178
wastewater system under Chapter 6109. or 6111. of the Revised	28179
Code, at the time the application is submitted, shall pay an	28180
application fee of forty-five dollars through November 30, 2008	28181
2010, and twenty-five dollars on and after December 1, 20082010.	28182
Upon approval from the director that the applicant is eligible to	28183
take the examination therefor, the applicant shall pay a fee in	28184
accordance with the following schedule through November 30, 2008	28185
2010:	28186

	Class A operator		$35			28187
	Class I operator		60			28188
	Class II operator		75			28189
	Class III operator		85			28190
	Class IV operator		100			28191

On and after December 1, 20082010, the applicant shall pay a	28192
fee in accordance with the following schedule:	28193

	Class A operator		$25			28194
	Class I operator		$45			28195
	Class II operator		55			28196
	Class III operator		65			28197
	Class IV operator		75			28198

A person shall pay a biennial certification renewal fee for	28199
each applicable class of certification in accordance with the	28200
following schedule:	28201

	Class A operator		$25			28202
	Class I operator		35			28203
	Class II operator		45			28204
	Class III operator		55			28205
	Class IV operator		65			28206

If a certification renewal fee is received by the director	28207
more than thirty days, but not more than one year after the	28208
expiration date of the certification, the person shall pay a	28209
certification renewal fee in accordance with the following	28210
schedule:	28211

	Class A operator		$45			28212
	Class I operator		55			28213
	Class II operator		65			28214
	Class III operator		75			28215
	Class IV operator		85			28216

A person who requests a replacement certificate shall pay a	28217
fee of twenty-five dollars at the time the request is made.	28218

The director shall transmit all moneys collected under this	28219
division to the treasurer of state for deposit into the drinking	28220
water protection fund created in section 6109.30 of the Revised	28221
Code.	28222

(P) Any person submitting an application for an industrial	28223
water pollution control certificate under section 6111.31 of the	28224
Revised Code, as that section existed before its repeal by H.B. 95	28225
of the 125th general assembly, shall pay a nonrefundable fee of	28226
five hundred dollars at the time the application is submitted. The	28227
director shall transmit all moneys collected under this division	28228
to the treasurer of state for deposit into the surface water	28229
protection fund created in section 6111.038 of the Revised Code. A	28230
person paying a certificate fee under this division shall not pay	28231
an application fee under division (S)(1) of this section. On and	28232
after June 26, 2003, persons shall file such applications and pay	28233
the fee as required under sections 5709.20 to 5709.27 of the	28234
Revised Code, and proceeds from the fee shall be credited as	28235
provided in section 5709.212 of the Revised Code.	28236

(Q) Except as otherwise provided in division (R) of this	28237
section, a person issued a permit by the director for a new solid	28238
waste disposal facility other than an incineration or composting	28239
facility, a new infectious waste treatment facility other than an	28240
incineration facility, or a modification of such an existing	28241
facility that includes an increase in the total disposal or	28242
treatment capacity of the facility pursuant to Chapter 3734. of	28243
the Revised Code shall pay a fee of ten dollars per thousand cubic	28244
yards of disposal or treatment capacity, or one thousand dollars,	28245
whichever is greater, except that the total fee for any such	28246
permit shall not exceed eighty thousand dollars. A person issued a	28247
modification of a permit for a solid waste disposal facility or an	28248
infectious waste treatment facility that does not involve an	28249
increase in the total disposal or treatment capacity of the	28250
facility shall pay a fee of one thousand dollars. A person issued	28251
a permit to install a new, or modify an existing, solid waste	28252
transfer facility under that chapter shall pay a fee of two	28253
thousand five hundred dollars. A person issued a permit to install	28254
a new or to modify an existing solid waste incineration or	28255
composting facility, or an existing infectious waste treatment	28256
facility using incineration as its principal method of treatment,	28257
under that chapter shall pay a fee of one thousand dollars. The	28258
increases in the permit fees under this division resulting from	28259
the amendments made by Amended Substitute House Bill 592 of the	28260
117th general assembly do not apply to any person who submitted an	28261
application for a permit to install a new, or modify an existing,	28262
solid waste disposal facility under that chapter prior to	28263
September 1, 1987; any such person shall pay the permit fee	28264
established in this division as it existed prior to June 24, 1988.	28265
In addition to the applicable permit fee under this division, a	28266
person issued a permit to install or modify a solid waste facility	28267
or an infectious waste treatment facility under that chapter who	28268
fails to pay the permit fee to the director in compliance with	28269
division (V) of this section shall pay an additional ten per cent	28270
of the amount of the fee for each week that the permit fee is	28271
late.	28272

Permit and late payment fees paid to the director under this	28273
division shall be credited to the general revenue fund.	28274

(R)(1) A person issued a registration certificate for a scrap	28275
tire collection facility under section 3734.75 of the Revised Code	28276
shall pay a fee of two hundred dollars, except that if the	28277
facility is owned or operated by a motor vehicle salvage dealer	28278
licensed under Chapter 4738. of the Revised Code, the person shall	28279
pay a fee of twenty-five dollars.	28280

(2) A person issued a registration certificate for a new	28281
scrap tire storage facility under section 3734.76 of the Revised	28282
Code shall pay a fee of three hundred dollars, except that if the	28283
facility is owned or operated by a motor vehicle salvage dealer	28284
licensed under Chapter 4738. of the Revised Code, the person shall	28285
pay a fee of twenty-five dollars.	28286

(3) A person issued a permit for a scrap tire storage	28287
facility under section 3734.76 of the Revised Code shall pay a fee	28288
of one thousand dollars, except that if the facility is owned or	28289
operated by a motor vehicle salvage dealer licensed under Chapter	28290
4738. of the Revised Code, the person shall pay a fee of fifty	28291
dollars.	28292

(4) A person issued a permit for a scrap tire monocell or	28293
monofill facility under section 3734.77 of the Revised Code shall	28294
pay a fee of ten dollars per thousand cubic yards of disposal	28295
capacity or one thousand dollars, whichever is greater, except	28296
that the total fee for any such permit shall not exceed eighty	28297
thousand dollars.	28298

(5) A person issued a registration certificate for a scrap	28299
tire recovery facility under section 3734.78 of the Revised Code	28300
shall pay a fee of one hundred dollars.	28301

(6) A person issued a permit for a scrap tire recovery	28302
facility under section 3734.78 of the Revised Code shall pay a fee	28303
of one thousand dollars.	28304

(7) In addition to the applicable registration certificate or	28305
permit fee under divisions (R)(1) to (6) of this section, a person	28306
issued a registration certificate or permit for any such scrap	28307
tire facility who fails to pay the registration certificate or	28308
permit fee to the director in compliance with division (V) of this	28309
section shall pay an additional ten per cent of the amount of the	28310
fee for each week that the fee is late.	28311

(8) The registration certificate, permit, and late payment	28312
fees paid to the director under divisions (R)(1) to (7) of this	28313
section shall be credited to the scrap tire management fund	28314
created in section 3734.82 of the Revised Code.	28315

(S)(1) Except as provided by divisions (L), (M), (N), (O),	28316
(P), and (S)(2) of this section, division (A)(2) of section	28317
3734.05 of the Revised Code, section 3734.79 of the Revised Code,	28318
and rules adopted under division (T)(1) of this section, any	28319
person applying for a registration certificate under section	28320
3734.75, 3734.76, or 3734.78 of the Revised Code or a permit,	28321
variance, or plan approval under Chapter 3734. of the Revised Code	28322
shall pay a nonrefundable fee of fifteen dollars at the time the	28323
application is submitted.	28324

Except as otherwise provided, any person applying for a	28325
permit, variance, or plan approval under Chapter 6109. or 6111. of	28326
the Revised Code shall pay a nonrefundable fee of one hundred	28327
dollars at the time the application is submitted through June 30,	28328
20082010, and a nonrefundable fee of fifteen dollars at the time	28329
the application is submitted on and after July 1, 20082010.	28330
Through June 30, 20082010, any person applying for a national	28331
pollutant discharge elimination system permit under Chapter 6111.	28332
of the Revised Code shall pay a nonrefundable fee of two hundred	28333
dollars at the time of application for the permit. On and after	28334
July 1, 20082010, such a person shall pay a nonrefundable fee of	28335
fifteen dollars at the time of application.	28336

In addition to the application fee established under division	28337
(S)(1) of this section, any person applying for a national	28338
pollutant discharge elimination system general storm water	28339
construction permit shall pay a nonrefundable fee of twenty	28340
dollars per acre for each acre that is permitted above five acres	28341
at the time the application is submitted. However, the per acreage	28342
fee shall not exceed three hundred dollars. In addition, any	28343
person applying for a national pollutant discharge elimination	28344
system general storm water industrial permit shall pay a	28345
nonrefundable fee of one hundred fifty dollars at the time the	28346
application is submitted.	28347

The director shall transmit all moneys collected under	28348
division (S)(1) of this section pursuant to Chapter 6109. of the	28349
Revised Code to the treasurer of state for deposit into the	28350
drinking water protection fund created in section 6109.30 of the	28351
Revised Code.	28352

The director shall transmit all moneys collected under	28353
division (S)(1) of this section pursuant to Chapter 6111. of the	28354
Revised Code to the treasurer of state for deposit into the	28355
surface water protection fund created in section 6111.038 of the	28356
Revised Code.	28357

If a registration certificate is issued under section	28358
3734.75, 3734.76, or 3734.78 of the Revised Code, the amount of	28359
the application fee paid shall be deducted from the amount of the	28360
registration certificate fee due under division (R)(1), (2), or	28361
(5) of this section, as applicable.	28362

If a person submits an electronic application for a	28363
registration certificate, permit, variance, or plan approval for	28364
which an application fee is established under division (S)(1) of	28365
this section, the person shall pay the applicable application fee	28366
as expeditiously as possible after the submission of the	28367
electronic application. An application for a registration	28368
certificate, permit, variance, or plan approval for which an	28369
application fee is established under division (S)(1) of this	28370
section shall not be reviewed or processed until the applicable	28371
application fee, and any other fees established under this	28372
division, are paid.	28373

(2) Division (S)(1) of this section does not apply to an	28374
application for a registration certificate for a scrap tire	28375
collection or storage facility submitted under section 3734.75 or	28376
3734.76 of the Revised Code, as applicable, if the owner or	28377
operator of the facility or proposed facility is a motor vehicle	28378
salvage dealer licensed under Chapter 4738. of the Revised Code.	28379

(T) The director may adopt, amend, and rescind rules in	28380
accordance with Chapter 119. of the Revised Code that do all of	28381
the following:	28382

(1) Prescribe fees to be paid by applicants for and holders	28383
of any license, permit, variance, plan approval, or certification	28384
required or authorized by Chapter 3704., 3734., 6109., or 6111. of	28385
the Revised Code that are not specifically established in this	28386
section. The fees shall be designed to defray the cost of	28387
processing, issuing, revoking, modifying, denying, and enforcing	28388
the licenses, permits, variances, plan approvals, and	28389
certifications.	28390

The director shall transmit all moneys collected under rules	28391
adopted under division (T)(1) of this section pursuant to Chapter	28392
6109. of the Revised Code to the treasurer of state for deposit	28393
into the drinking water protection fund created in section 6109.30	28394
of the Revised Code.	28395

The director shall transmit all moneys collected under rules	28396
adopted under division (T)(1) of this section pursuant to Chapter	28397
6111. of the Revised Code to the treasurer of state for deposit	28398
into the surface water protection fund created in section 6111.038	28399
of the Revised Code.	28400

(2) Exempt the state and political subdivisions thereof,	28401
including education facilities or medical facilities owned by the	28402
state or a political subdivision, or any person exempted from	28403
taxation by section 5709.07 or 5709.12 of the Revised Code, from	28404
any fee required by this section;	28405

(3) Provide for the waiver of any fee, or any part thereof,	28406
otherwise required by this section whenever the director	28407
determines that the imposition of the fee would constitute an	28408
unreasonable cost of doing business for any applicant, class of	28409
applicants, or other person subject to the fee;	28410

(4) Prescribe measures that the director considers necessary	28411
to carry out this section.	28412

(U) When the director reasonably demonstrates that the direct	28413
cost to the state associated with the issuance of a permit to	28414
install, license, variance, plan approval, or certification	28415
exceeds the fee for the issuance or review specified by this	28416
section, the director may condition the issuance or review on the	28417
payment by the person receiving the issuance or review of, in	28418
addition to the fee specified by this section, the amount, or any	28419
portion thereof, in excess of the fee specified under this	28420
section. The director shall not so condition issuances for which	28421
fees are prescribed in divisions (B)(7) and (L)(1)(b) of this	28422
section.	28423

(V) Except as provided in divisions (L), (M), and (P) of this	28424
section or unless otherwise prescribed by a rule of the director	28425
adopted pursuant to Chapter 119. of the Revised Code, all fees	28426
required by this section are payable within thirty days after the	28427
issuance of an invoice for the fee by the director or the	28428
effective date of the issuance of the license, permit, variance,	28429
plan approval, or certification. If payment is late, the person	28430
responsible for payment of the fee shall pay an additional ten per	28431
cent of the amount due for each month that it is late.	28432

(W) As used in this section, "fuel-burning equipment,"	28433
"fuel-burning equipment input capacity," "incinerator,"	28434
"incinerator input capacity," "process," "process weight rate,"	28435
"storage tank," "gasoline dispensing facility," "dry cleaning	28436
facility," "design flow discharge," and "new source treatment	28437
works" have the meanings ascribed to those terms by applicable	28438
rules or standards adopted by the director under Chapter 3704. or	28439
6111. of the Revised Code.	28440

(X) As used in divisions (B), (C), (D), (E), (F), (H), (I),	28441
and (J) of this section, and in any other provision of this	28442
section pertaining to fees paid pursuant to Chapter 3704. of the	28443
Revised Code:	28444

(1) "Facility," "federal Clean Air Act," "person," and "Title	28445
V permit" have the same meanings as in section 3704.01 of the	28446
Revised Code.	28447

(2) "Title V permit program" means the following activities	28448
as necessary to meet the requirements of Title V of the federal	28449
Clean Air Act and 40 C.F.R. part 70, including at least:	28450

(a) Preparing and adopting, if applicable, generally	28451
applicable rules or guidance regarding the permit program or its	28452
implementation or enforcement;	28453

(b) Reviewing and acting on any application for a Title V	28454
permit, permit revision, or permit renewal, including the	28455
development of an applicable requirement as part of the processing	28456
of a permit, permit revision, or permit renewal;	28457

(c) Administering the permit program, including the	28458
supporting and tracking of permit applications, compliance	28459
certification, and related data entry;	28460

(d) Determining which sources are subject to the program and	28461
implementing and enforcing the terms of any Title V permit, not	28462
including any court actions or other formal enforcement actions;	28463

(e) Emission and ambient monitoring;

28464

(f) Modeling, analyses, or demonstrations;

28465

(g) Preparing inventories and tracking emissions;

28466

(h) Providing direct and indirect support to small business	28467
stationary sources to determine and meet their obligations under	28468
the federal Clean Air Act pursuant to the small business	28469
stationary source technical and environmental compliance	28470
assistance program required by section 507 of that act and	28471
established in sections 3704.18, 3704.19, and 3706.19 of the	28472
Revised Code.	28473

(Y)(1) Except as provided in divisions (Y)(2), (3), and (4)	28474
of this section, each sewage sludge facility shall pay a	28475
nonrefundable annual sludge fee equal to three dollars and fifty	28476
cents per dry ton of sewage sludge, including the dry tons of	28477
sewage sludge in materials derived from sewage sludge, that the	28478
sewage sludge facility treats or disposes of in this state. The	28479
annual volume of sewage sludge treated or disposed of by a sewage	28480
sludge facility shall be calculated using the first day of January	28481
through the thirty-first day of December of the calendar year	28482
preceding the date on which payment of the fee is due.	28483

(2)(a) Except as provided in division (Y)(2)(d) of this	28484
section, each sewage sludge facility shall pay a minimum annual	28485
sewage sludge fee of one hundred dollars.	28486

(b) The annual sludge fee required to be paid by a sewage	28487
sludge facility that treats or disposes of exceptional quality	28488
sludge in this state shall be thirty-five per cent less per dry	28489
ton of exceptional quality sludge than the fee assessed under	28490
division (Y)(1) of this section, subject to the following	28491
exceptions:	28492

(i) Except as provided in division (Y)(2)(d) of this section,	28493
a sewage sludge facility that treats or disposes of exceptional	28494
quality sludge shall pay a minimum annual sewage sludge fee of one	28495
hundred dollars.	28496

(ii) A sewage sludge facility that treats or disposes of	28497
exceptional quality sludge shall not be required to pay the annual	28498
sludge fee for treatment or disposal in this state of exceptional	28499
quality sludge generated outside of this state and contained in	28500
bags or other containers not greater than one hundred pounds in	28501
capacity.	28502

A thirty-five per cent reduction for exceptional quality	28503
sludge applies to the maximum annual fees established under	28504
division (Y)(3) of this section.	28505

(c) A sewage sludge facility that transfers sewage sludge to	28506
another sewage sludge facility in this state for further treatment	28507
prior to disposal in this state shall not be required to pay the	28508
annual sludge fee for the tons of sewage sludge that have been	28509
transferred. In such a case, the sewage sludge facility that	28510
disposes of the sewage sludge shall pay the annual sludge fee.	28511
However, the facility transferring the sewage sludge shall pay the	28512
one-hundred-dollar minimum fee required under division (Y)(2)(a)	28513
of this section.	28514

In the case of a sewage sludge facility that treats sewage	28515
sludge in this state and transfers it out of this state to another	28516
entity for disposal, the sewage sludge facility in this state	28517
shall be required to pay the annual sludge fee for the tons of	28518
sewage sludge that have been transferred.	28519

(d) A sewage sludge facility that generates sewage sludge	28520
resulting from an average daily discharge flow of less than five	28521
thousand gallons per day is not subject to the fees assessed under	28522
division (Y) of this section.	28523

(3) No sewage sludge facility required to pay the annual	28524
sludge fee shall be required to pay more than the maximum annual	28525
fee for each disposal method that the sewage sludge facility uses.	28526
The maximum annual fee does not include the additional amount that	28527
may be charged under division (Y)(5) of this section for late	28528
payment of the annual sludge fee. The maximum annual fee for the	28529
following methods of disposal of sewage sludge is as follows:	28530

(a) Incineration: five thousand dollars;

28531

(b) Preexisting land reclamation project or disposal in a	28532
landfill: five thousand dollars;	28533

(c) Land application, land reclamation, surface disposal, or	28534
any other disposal method not specified in division (Y)(3)(a) or	28535
(b) of this section: twenty thousand dollars.	28536

(4)(a) In the case of an entity that generates sewage sludge	28537
or a sewage sludge facility that treats sewage sludge and	28538
transfers the sewage sludge to an incineration facility for	28539
disposal, the incineration facility, and not the entity generating	28540
the sewage sludge or the sewage sludge facility treating the	28541
sewage sludge, shall pay the annual sludge fee for the tons of	28542
sewage sludge that are transferred. However, the entity or	28543
facility generating or treating the sewage sludge shall pay the	28544
one-hundred-dollar minimum fee required under division (Y)(2)(a)	28545
of this section.	28546

(b) In the case of an entity that generates sewage sludge and	28547
transfers the sewage sludge to a landfill for disposal or to a	28548
sewage sludge facility for land reclamation or surface disposal,	28549
the entity generating the sewage sludge, and not the landfill or	28550
sewage sludge facility, shall pay the annual sludge fee for the	28551
tons of sewage sludge that are transferred.	28552

(5) Not later than the first day of April of the calendar	28553
year following March 17, 2000, and each first day of April	28554
thereafter, the director shall issue invoices to persons who are	28555
required to pay the annual sludge fee. The invoice shall identify	28556
the nature and amount of the annual sludge fee assessed and state	28557
the first day of May as the deadline for receipt by the director	28558
of objections regarding the amount of the fee and the first day of	28559
July as the deadline for payment of the fee.	28560

Not later than the first day of May following receipt of an	28561
invoice, a person required to pay the annual sludge fee may submit	28562
objections to the director concerning the accuracy of information	28563
regarding the number of dry tons of sewage sludge used to	28564
calculate the amount of the annual sludge fee or regarding whether	28565
the sewage sludge qualifies for the exceptional quality sludge	28566
discount established in division (Y)(2)(b) of this section. The	28567
director may consider the objections and adjust the amount of the	28568
fee to ensure that it is accurate.	28569

If the director does not adjust the amount of the annual	28570
sludge fee in response to a person's objections, the person may	28571
appeal the director's determination in accordance with Chapter	28572
119. of the Revised Code.	28573

Not later than the first day of June, the director shall	28574
notify the objecting person regarding whether the director has	28575
found the objections to be valid and the reasons for the finding.	28576
If the director finds the objections to be valid and adjusts the	28577
amount of the annual sludge fee accordingly, the director shall	28578
issue with the notification a new invoice to the person	28579
identifying the amount of the annual sludge fee assessed and	28580
stating the first day of July as the deadline for payment.	28581

Not later than the first day of July, any person who is	28582
required to do so shall pay the annual sludge fee. Any person who	28583
is required to pay the fee, but who fails to do so on or before	28584
that date shall pay an additional amount that equals ten per cent	28585
of the required annual sludge fee.	28586

(6) The director shall transmit all moneys collected under	28587
division (Y) of this section to the treasurer of state for deposit	28588
into the surface water protection fund created in section 6111.038	28589
of the Revised Code. The moneys shall be used to defray the costs	28590
of administering and enforcing provisions in Chapter 6111. of the	28591
Revised Code and rules adopted under it that govern the use,	28592
storage, treatment, or disposal of sewage sludge.	28593

(7) Beginning in fiscal year 2001, and every two years	28594
thereafter, the director shall review the total amount of moneys	28595
generated by the annual sludge fees to determine if that amount	28596
exceeded six hundred thousand dollars in either of the two	28597
preceding fiscal years. If the total amount of moneys in the fund	28598
exceeded six hundred thousand dollars in either fiscal year, the	28599
director, after review of the fee structure and consultation with	28600
affected persons, shall issue an order reducing the amount of the	28601
fees levied under division (Y) of this section so that the	28602
estimated amount of moneys resulting from the fees will not exceed	28603
six hundred thousand dollars in any fiscal year.	28604

If, upon review of the fees under division (Y)(7) of this	28605
section and after the fees have been reduced, the director	28606
determines that the total amount of moneys collected and	28607
accumulated is less than six hundred thousand dollars, the	28608
director, after review of the fee structure and consultation with	28609
affected persons, may issue an order increasing the amount of the	28610
fees levied under division (Y) of this section so that the	28611
estimated amount of moneys resulting from the fees will be	28612
approximately six hundred thousand dollars. Fees shall never be	28613
increased to an amount exceeding the amount specified in division	28614
(Y)(7) of this section.	28615

Notwithstanding section 119.06 of the Revised Code, the	28616
director may issue an order under division (Y)(7) of this section	28617
without the necessity to hold an adjudicatory hearing in	28618
connection with the order. The issuance of an order under this	28619
division is not an act or action for purposes of section 3745.04	28620
of the Revised Code.	28621

(8) As used in division (Y) of this section:

28622

(a) "Sewage sludge facility" means an entity that performs	28623
treatment on or is responsible for the disposal of sewage sludge.	28624

(b) "Sewage sludge" means a solid, semi-solid, or liquid	28625
residue generated during the treatment of domestic sewage in a	28626
treatment works as defined in section 6111.01 of the Revised Code.	28627
"Sewage sludge" includes, but is not limited to, scum or solids	28628
removed in primary, secondary, or advanced wastewater treatment	28629
processes. "Sewage sludge" does not include ash generated during	28630
the firing of sewage sludge in a sewage sludge incinerator, grit	28631
and screenings generated during preliminary treatment of domestic	28632
sewage in a treatment works, animal manure, residue generated	28633
during treatment of animal manure, or domestic septage.	28634

(c) "Exceptional quality sludge" means sewage sludge that	28635
meets all of the following qualifications:	28636

(i) Satisfies the class A pathogen standards in 40 C.F.R.	28637
503.32(a);	28638

(ii) Satisfies one of the vector attraction reduction	28639
requirements in 40 C.F.R. 503.33(b)(1) to (b)(8);	28640

(iii) Does not exceed the ceiling concentration limitations	28641
for metals listed in table one of 40 C.F.R. 503.13;	28642

(iv) Does not exceed the concentration limitations for metals	28643
listed in table three of 40 C.F.R. 503.13.	28644

(d) "Treatment" means the preparation of sewage sludge for	28645
final use or disposal and includes, but is not limited to,	28646
thickening, stabilization, and dewatering of sewage sludge.	28647

(e) "Disposal" means the final use of sewage sludge,	28648
including, but not limited to, land application, land reclamation,	28649
surface disposal, or disposal in a landfill or an incinerator.	28650

(f) "Land application" means the spraying or spreading of	28651
sewage sludge onto the land surface, the injection of sewage	28652
sludge below the land surface, or the incorporation of sewage	28653
sludge into the soil for the purposes of conditioning the soil or	28654
fertilizing crops or vegetation grown in the soil.	28655

(g) "Land reclamation" means the returning of disturbed land	28656
to productive use.	28657

(h) "Surface disposal" means the placement of sludge on an	28658
area of land for disposal, including, but not limited to,	28659
monofills, surface impoundments, lagoons, waste piles, or	28660
dedicated disposal sites.	28661

(i) "Incinerator" means an entity that disposes of sewage	28662
sludge through the combustion of organic matter and inorganic	28663
matter in sewage sludge by high temperatures in an enclosed	28664
device.	28665

(j) "Incineration facility" includes all incinerators owned	28666
or operated by the same entity and located on a contiguous tract	28667
of land. Areas of land are considered to be contiguous even if	28668
they are separated by a public road or highway.	28669

(k) "Annual sludge fee" means the fee assessed under division	28670
(Y)(1) of this section.	28671

(l) "Landfill" means a sanitary landfill facility, as defined	28672
in rules adopted under section 3734.02 of the Revised Code, that	28673
is licensed under section 3734.05 of the Revised Code.	28674

(m) "Preexisting land reclamation project" means a	28675
property-specific land reclamation project that has been in	28676
continuous operation for not less than five years pursuant to	28677
approval of the activity by the director and includes the	28678
implementation of a community outreach program concerning the	28679
activity.	28680

Sec. 3746.04.  Within one year after September 28, 1994, the	28681
director of environmental protection, in accordance with Chapter	28682
119. of the Revised Code and with the advice of the	28683
multidisciplinary council appointed under section 3746.03 of the	28684
Revised Code, shall adopt, and subsequently may amend, suspend, or	28685
rescind, rules that do both of the following:	28686

(A) Revise the rules adopted under Chapters 3704., 3714.,	28687
3734., 6109., and 6111. of the Revised Code to incorporate the	28688
provisions necessary to conform those rules to the requirements of	28689
this chapter. The amended rules adopted under this division also	28690
shall establish response times for all submittals to the	28691
environmental protection agency required under this chapter or	28692
rules adopted under it.	28693

(B) Establish requirements and procedures that are reasonably	28694
necessary for the implementation and administration of this	28695
chapter, including, without limitation, all of the following:	28696

(1) Appropriate generic numerical clean-up standards for the	28697
treatment or removal of soils, sediments, and water media for	28698
hazardous substances and petroleum. The rules shall establish	28699
separate generic numerical clean-up standards based upon the	28700
intended use of properties after the completion of voluntary	28701
actions, including industrial, commercial, and residential uses	28702
and such other categories of land use as the director considers to	28703
be appropriate. The generic numerical clean-up standards	28704
established for each category of land use shall be the	28705
concentration of each contaminant that may be present on a	28706
property that shall ensure protection of public health and safety	28707
and the environment for the reasonable exposure for that category	28708
of land use. When developing the standards, the director shall	28709
consider such factors as all of the following:	28710

(a) Scientific information, including, without limitation,	28711
toxicological information and realistic assumptions regarding	28712
human and environmental exposure to hazardous substances or	28713
petroleum;	28714

(b) Climatic factors;

28715

(c) Human activity patterns;

28716

(d) Current statistical techniques;

28717

(e) For petroleum at industrial property, alternatives to the	28718
use of total petroleum hydrocarbons.	28719

The generic numerical clean-up standards established in the	28720
rules adopted under division (B)(1) of this section shall be	28721
consistent with and equivalent in scope, content, and coverage to	28722
any applicable standard established by federal environmental laws	28723
and regulations adopted under them, including, without limitation,	28724
the "Federal Water Pollution Control Act Amendments of 1972," 86	28725
Stat. 886, 33 U.S.C.A. 1251, as amended; the "Resource	28726
Conservation and Recovery Act of 1976," 90 Stat. 2806, 42 U.S.C.A.	28727
6921, as amended; the "Toxic Substances Control Act," 90 Stat.	28728
2003 (1976), 15 U.S.C.A. 2601, as amended; the "Comprehensive	28729
Environmental Response, Compensation, and Liability Act of 1980,"	28730
94 Stat. 2779, 42 U.S.C.A. 9601, as amended; and the "Safe	28731
Drinking Water Act," 88 Stat. 1660 (1974), 42 U.S.C.A. 300f, as	28732
amended.	28733

In order for the rules adopted under division (B)(1) of this	28734
section to require that any such federal environmental standard	28735
apply to a property, the property shall meet the requirements of	28736
the particular federal statute or regulation involved in the	28737
manner specified by the statute or regulation.	28738

The generic numerical clean-up standards for petroleum at	28739
commercial or residential property shall be the standards	28740
established in rules adopted under division (B) of section	28741
3737.882 of the Revised Code.	28742

(2)(a) Procedures for performing property-specific risk	28743
assessments that would be performed at a property to demonstrate	28744
that the remedy evaluated in a risk assessment results in	28745
protection of public health and safety and the environment instead	28746
of complying with the generic numerical clean-up standards	28747
established in the rules adopted under division (B)(1) of this	28748
section. The risk assessment procedures shall describe a	28749
methodology to establish, on a property-specific basis, allowable	28750
levels of contamination to remain at a property to ensure	28751
protection of public health and safety and the environment on the	28752
property and off the property when the contamination is emanating	28753
off the property, taking into account all of the following:	28754

(i) The implementation of treatment, storage, or disposal, or	28755
a combination thereof, of hazardous substances or petroleum;	28756

(ii) The existence of institutional controls or activity and	28757
use limitations that eliminate or mitigate exposure to hazardous	28758
substances or petroleum through the restriction of access to	28759
hazardous substances or petroleum;	28760

(iii) The existence of engineering controls that eliminate or	28761
mitigate exposure to hazardous substances or petroleum through	28762
containment of, control of, or restrictions of access to hazardous	28763
substances or petroleum, including, without limitation, fences,	28764
cap systems, cover systems, and landscaping.	28765

(b) The risk assessment procedures and levels of acceptable	28766
risk set forth in the rules adopted under division (B)(2) of this	28767
section shall be based upon all of the following:	28768

(i) Scientific information, including, without limitation,	28769
toxicological information and actual or proposed human and	28770
environmental exposure;	28771

(ii) Locational and climatic factors;

28772

(iii) Surrounding land use and human activities;

28773

(iv) Differing levels of remediation that may be required	28774
when an existing land use is continued compared to when a	28775
different land use follows the remediation.	28776

(c) Any standards established pursuant to rules adopted under	28777
division (B)(2) of this section shall be no more stringent than	28778
standards established under the environmental statutes of this	28779
state and rules adopted under them for the same contaminant in the	28780
same environmental medium that are in effect at the time the risk	28781
assessment is conducted.	28782

(3) Minimum standards for phase I property assessments. The	28783
standards shall specify the information needed to demonstrate that	28784
there is no reason to believe that contamination exists on a	28785
property. The rules adopted under division (B)(3) of this section,	28786
at a minimum, shall require that a phase I property assessment	28787
include all of the following:	28788

(a) A review and analysis of deeds, mortgages, easements of	28789
record, and similar documents relating to the chain of title to	28790
the property that are publicly available or that are known to and	28791
reasonably available to the owner or operator;	28792

(b) A review and analysis of any previous environmental	28793
assessments, property assessments, environmental studies, or	28794
geologic studies of the property and any land within two thousand	28795
feet of the boundaries of the property that are publicly available	28796
or that are known to and reasonably available to the owner or	28797
operator;	28798

(c) A review of current and past environmental compliance	28799
histories of persons who owned or operated the property;	28800

(d) A review of aerial photographs of the property that	28801
indicate prior uses of the property;	28802

(e) Interviews with managers of activities conducted at the	28803
property who have knowledge of environmental conditions at the	28804
property;	28805

(f) Conducting an inspection of the property consisting of a	28806
walkover;	28807

(g) Identifying the current and past uses of the property,	28808
adjoining tracts of land, and the area surrounding the property,	28809
including, without limitation, interviews with persons who reside	28810
or have resided, or who are or were employed, within the area	28811
surrounding the property regarding the current and past uses of	28812
the property and adjacent tracts of land.	28813

The rules adopted under division (B)(3) of this section shall	28814
establish criteria to determine when a phase II property	28815
assessment shall be conducted when a phase I property assessment	28816
reveals facts that establish a reason to believe that hazardous	28817
substances or petroleum have been treated, stored, managed, or	28818
disposed of on the property if the person undertaking the phase I	28819
property assessment wishes to obtain a covenant not to sue under	28820
section 3746.12 of the Revised Code.	28821

(4) Minimum standards for phase II property assessments. The	28822
standards shall specify the information needed to demonstrate that	28823
any contamination present at the property does not exceed	28824
applicable standards or that the remedial activities conducted at	28825
the property have achieved compliance with applicable standards.	28826
The rules adopted under division (B)(4) of this section, at a	28827
minimum, shall require that a phase II property assessment include	28828
all of the following:	28829

(a) A review and analysis of all documentation prepared in	28830
connection with a phase I property assessment conducted within the	28831
one hundred eighty days before the phase II property assessment	28832
begins. The rules adopted under division (B)(4)(a) of this section	28833
shall require that if a period of more than one hundred eighty	28834
days has passed between the time that the phase I assessment of	28835
the property was completed and the phase II assessment begins, the	28836
phase II assessment shall include a reasonable inquiry into the	28837
change in the environmental condition of the property during the	28838
intervening period.	28839

(b) Quality assurance objectives for measurements taken in	28840
connection with a phase II assessment;	28841

(c) Sampling procedures to ensure the representative sampling	28842
of potentially contaminated environmental media;	28843

(d) Quality assurance and quality control requirements for	28844
samples collected in connection with phase II assessments;	28845

(e) Analytical and data assessment procedures;

28846

(f) Data objectives to ensure that samples collected in	28847
connection with phase II assessments are biased toward areas where	28848
information indicates that contamination by hazardous substances	28849
or petroleum is likely to exist.	28850

(5) Standards governing the conduct of certified	28851
professionals, criteria and procedures for the certification of	28852
professionals to issue no further action letters under section	28853
3746.11 of the Revised Code, and criteria for the suspension and	28854
revocation of those certifications. The director shall take an	28855
action regarding a certification as a final action. The issuance,	28856
denial, renewal, suspension, and revocation of those	28857
certifications are subject to Chapter 3745. of the Revised Code,	28858
except that, in lieu of publishing an action regarding a	28859
certification in a newspaper of general circulation as required in	28860
section 3745.07 of the Revised Code, such an action shall be	28861
published on the environmental protection agency's web site and in	28862
the agency's weekly review not later than fifteen days after the	28863
date of the issuance, denial, renewal, suspension, or revocation	28864
of the certification and not later than thirty days before a	28865
hearing or public meeting concerning the action.	28866

The rules adopted under division (B)(5) of this section shall	28867
do all of the following:	28868

(a) Provide for the certification of environmental	28869
professionals to issue no further action letters pertaining to	28870
investigations and remedies in accordance with the criteria and	28871
procedures set forth in the rules. The rules adopted under	28872
division (B)(5)(a) of this section shall do at least all of the	28873
following:	28874

(i) Authorize the director to consider such factors as an	28875
environmental professional's previous performance record regarding	28876
such investigations and remedies and the environmental	28877
professional's environmental compliance history when determining	28878
whether to certify the environmental professional;	28879

(ii) Ensure that an application for certification is reviewed	28880
in a timely manner;	28881

(iii) Require the director to certify any environmental	28882
professional who the director determines complies with those	28883
criteria;	28884

(iv) Require the director to deny certification for any	28885
environmental professional who does not comply with those	28886
criteria.	28887

(b) Establish an annual fee to be paid by environmental	28888
professionals certified pursuant to the rules adopted under	28889
division (B)(5)(a) of this section. The fee shall be established	28890
at an amount calculated to defray the costs to the agency for the	28891
required reviews of the qualifications of environmental	28892
professionals for certification and for the issuance of the	28893
certifications.	28894

(c) Develop a schedule for and establish requirements	28895
governing the review by the director of the credentials of	28896
environmental professionals who were deemed to be certified	28897
professionals under division (D) of section 3746.07 of the Revised	28898
Code in order to determine if they comply with the criteria	28899
established in rules adopted under division (B)(5) of this	28900
section. The rules adopted under division (B)(5)(c) of this	28901
section shall do at least all of the following:	28902

(i) Ensure that the review is conducted in a timely fashion;

28903

(ii) Require the director to certify any such environmental	28904
professional who the director determines complies with those	28905
criteria;	28906

(iii) Require any such environmental professional initially	28907
to pay the fee established in the rules adopted under division	28908
(B)(5)(b) of this section at the time that the environmental	28909
professional is so certified by the director;	28910

(iv) Establish a time period within which any such	28911
environmental professional who does not comply with those criteria	28912
may obtain the credentials that are necessary for certification;	28913

(v) Require the director to deny certification for any such	28914
environmental professional who does not comply with those criteria	28915
and who fails to obtain the necessary credentials within the	28916
established time period.	28917

(d) Require that any information submitted to the director	28918
for the purposes of the rules adopted under division (B)(5)(a) or	28919
(c) of this section comply with division (A) of section 3746.20 of	28920
the Revised Code;	28921

(e) Authorize the director to suspend or revoke the	28922
certification of an environmental professional if the director	28923
finds that the environmental professional's performance has	28924
resulted in the issuance of no further action letters under	28925
section 3746.11 of the Revised Code that are not consistent with	28926
applicable standards or finds that the certified environmental	28927
professional has not substantially complied with section 3746.31	28928
of the Revised Code;	28929

(f) Authorize the director to suspend for a period of not	28930
more than five years or to permanently revoke a certified	28931
environmental professional's certification for any violation of or	28932
failure to comply with an ethical standard established in rules	28933
adopted under division (B)(5) of this section;	28934

(g) Require the director to revoke the certification of an	28935
environmental professional if the director finds that the	28936
environmental professional falsified any information on the	28937
environmental professional's application for certification	28938
regarding the environmental professional's credentials or	28939
qualifications or any other information generated for the purposes	28940
of or use under this chapter or rules adopted under it;	28941

(h) Require the director permanently to revoke the	28942
certification of an environmental professional who has violated or	28943
is violating division (A) of section 3746.18 of the Revised Code;	28944

(i) Preclude the director from revoking the certification of	28945
an environmental professional who only conducts investigations and	28946
remedies at property contaminated solely with petroleum unless the	28947
director first consults with the director of commerce.	28948

(6) Criteria and procedures for the certification of	28949
laboratories to perform analyses under this chapter and rules	28950
adopted under it. The director shall take an action regarding a	28951
certification as a final action. The issuance, denial, renewal,	28952
suspension, and revocation of those certifications are subject to	28953
Chapter 3745. of the Revised Code, and the director of	28954
environmental protection shall take any such action regarding a	28955
certification as a final actionexcept that, in lieu of publishing	28956
an action regarding a certification in a newspaper of general	28957
circulation as required in section 3745.07 of the Revised Code,	28958
such an action shall be published on the environmental protection	28959
agency's web site and in the agency's weekly review not later than	28960
fifteen days after the date of the issuance, denial, renewal,	28961
suspension, or revocation of the certification and not later than	28962
thirty days before a hearing or public meeting concerning the	28963
action.	28964

The rules adopted under division (B)(6) of this section shall	28965
do all of the following:	28966

(a) Provide for the certification to perform analyses of	28967
laboratories in accordance with the criteria and procedures	28968
established in the rules adopted under division (B)(6)(a) of this	28969
section and establish an annual fee to be paid by those	28970
laboratories. The fee shall be established at an amount calculated	28971
to defray the costs to the agency for the review of the	28972
qualifications of those laboratories for certification and for the	28973
issuance of the certifications. The rules adopted under division	28974
(B)(6)(a) of this section may provide for the certification of	28975
those laboratories to perform only particular types or categories	28976
of analyses, specific test parameters or group of test parameters,	28977
or a specific matrix or matrices under this chapter.	28978

(b) Develop a schedule for and establish requirements	28979
governing the review by the director of the operations of	28980
laboratories that were deemed to be certified laboratories under	28981
division (E) of section 3746.07 of the Revised Code in order to	28982
determine if they comply with the criteria established in rules	28983
adopted under division (B)(6) of this section. The rules adopted	28984
under division (B)(6)(b) of this section shall do at least all of	28985
the following:	28986

(i) Ensure that the review is conducted in a timely fashion;

28987

(ii) Require the director to certify any such laboratory that	28988
the director determines complies with those criteria;	28989

(iii) Require any such laboratory initially to pay the fee	28990
established in the rules adopted under division (B)(6)(a) of this	28991
section at the time that the laboratory is so certified by the	28992
director;	28993

(iv) Establish a time period within which any such laboratory	28994
that does not comply with those criteria may make changes in its	28995
operations necessary for the performance of analyses under this	28996
chapter and rules adopted under it in order to be certified by the	28997
director;	28998

(v) Require the director to deny certification for any such	28999
laboratory that does not comply with those criteria and that fails	29000
to make the necessary changes in its operations within the	29001
established time period.	29002

(c) Require that any information submitted to the director	29003
for the purposes of the rules adopted under division (B)(6)(a) or	29004
(b) of this section comply with division (A) of section 3746.20 of	29005
the Revised Code;	29006

(d) Authorize the director to suspend or revoke the	29007
certification of a laboratory if the director finds that the	29008
laboratory's performance has resulted in the issuance of no	29009
further action letters under section 3746.11 of the Revised Code	29010
that are not consistent with applicable standards;	29011

(e) Authorize the director to suspend or revoke the	29012
certification of a laboratory if the director finds that the	29013
laboratory falsified any information on its application for	29014
certification regarding its credentials or qualifications;	29015

(f) Require the director permanently to revoke the	29016
certification of a laboratory that has violated or is violating	29017
division (A) of section 3746.18 of the Revised Code.	29018

(7) Information to be included in a no further action letter	29019
prepared under section 3746.11 of the Revised Code, including,	29020
without limitation, all of the following:	29021

(a) A summary of the information required to be submitted to	29022
the certified environmental professional preparing the no further	29023
action letter under division (C) of section 3746.10 of the Revised	29024
Code;	29025

(b) Notification that a risk assessment was performed in	29026
accordance with rules adopted under division (B)(2) of this	29027
section if such an assessment was used in lieu of generic	29028
numerical clean-up standards established in rules adopted under	29029
division (B)(1) of this section;	29030

(c) The contaminants addressed at the property, if any, their	29031
source, if known, and their levels prior to remediation;	29032

(d) The identity of any other person who performed work to	29033
support the request for the no further action letter as provided	29034
in division (B)(2) of section 3746.10 of the Revised Code and the	29035
nature and scope of the work performed by that person;	29036

(e) A list of the data, information, records, and documents	29037
relied upon by the certified environmental professional in	29038
preparing the no further action letter.	29039

(8) Methods for determining fees to be paid for the following	29040
services provided by the agency under this chapter and rules	29041
adopted under it:	29042

(a) Site- or property-specific technical assistance in	29043
developing or implementing plans in connection with a voluntary	29044
action;	29045

(b) Reviewing applications for and issuing consolidated	29046
standards permits under section 3746.15 of the Revised Code and	29047
monitoring compliance with those permits;	29048

(c) Negotiating, preparing, and entering into agreements	29049
necessary for the implementation and administration of this	29050
chapter and rules adopted under it;	29051

(d) Reviewing no further action letters, issuing covenants	29052
not to sue, and monitoring compliance with any terms and	29053
conditions of those covenants and with operation and maintenance	29054
agreements entered into pursuant to those covenants, including,	29055
without limitation, conducting audits of properties where	29056
voluntary actions are being or were conducted under this chapter	29057
and rules adopted under it.	29058

The fees established pursuant to the rules adopted under	29059
division (B)(8) of this section shall be at a level sufficient to	29060
defray the direct and indirect costs incurred by the agency for	29061
the administration and enforcement of this chapter and rules	29062
adopted under it other than the provisions regarding the	29063
certification of professionals and laboratories.	29064

(9) Criteria for selecting the no further action letters	29065
issued under section 3746.11 of the Revised Code that will be	29066
audited under section 3746.17 of the Revised Code, and the scope	29067
and procedures for conducting those audits. The rules adopted	29068
under division (B)(9) of this section, at a minimum, shall require	29069
the director to establish priorities for auditing no further	29070
action letters to which any of the following applies:	29071

(a) The letter was prepared by an environmental professional	29072
who was deemed to be a certified professional under division (D)	29073
of section 3746.07 of the Revised Code, but who does not comply	29074
with the criteria established in rules adopted under division	29075
(B)(5) of this section as determined pursuant to rules adopted	29076
under division (B)(5)(d) of this section;	29077

(b) The letter was submitted fraudulently;

29078

(c) The letter was prepared by a certified environmental	29079
professional whose certification subsequently was revoked in	29080
accordance with rules adopted under division (B)(5) of this	29081
section, or analyses were performed for the purposes of the no	29082
further action letter by a certified laboratory whose	29083
certification subsequently was revoked in accordance with rules	29084
adopted under division (B)(6) of this section;	29085

(d) A covenant not to sue that was issued pursuant to the	29086
letter was revoked under this chapter;	29087

(e) The letter was for a voluntary action that was conducted	29088
pursuant to a risk assessment in accordance with rules adopted	29089
under division (B)(2) of this section;	29090

(f) The letter was for a voluntary action that included as	29091
remedial activities engineering controls or institutional controls	29092
or activity and use limitations authorized under section 3746.05	29093
of the Revised Code.	29094

The rules adopted under division (B)(9) of this section shall	29095
provide for random audits of no further action letters to which	29096
the rules adopted under divisions (B)(9)(a) to (f) of this section	29097
do not apply.	29098

(10) A classification system to characterize ground water	29099
according to its capability to be used for human use and its	29100
impact on the environment and a methodology that shall be used to	29101
determine when ground water that has become contaminated from	29102
sources on a property for which a covenant not to sue is requested	29103
under section 3746.11 of the Revised Code shall be remediated to	29104
the standards established in the rules adopted under division	29105
(B)(1) or (2) of this section.	29106

(a) In adopting rules under division (B)(10) of this section	29107
to characterize ground water according to its capability for human	29108
use, the director shall consider all of the following:	29109

(i) The presence of legally enforceable, reliable	29110
restrictions on the use of ground water, including, without	29111
limitation, local rules or ordinances;	29112

(ii) The presence of regional commingled contamination from	29113
multiple sources that diminishes the quality of ground water;	29114

(iii) The natural quality of ground water;

29115

(iv) Regional availability of ground water and reasonable	29116
alternative sources of drinking water;	29117

(v) The productivity of the aquifer;

29118

(vi) The presence of restrictions on the use of ground water	29119
implemented under this chapter and rules adopted under it;	29120

(vii) The existing use of ground water.

29121

(b) In adopting rules under division (B)(10) of this section	29122
to characterize ground water according to its impacts on the	29123
environment, the director shall consider both of the following:	29124

(i) The risks posed to humans, fauna, surface water,	29125
sediments, soil, air, and other resources by the continuing	29126
presence of contaminated ground water;	29127

(ii) The availability and feasibility of technology to remedy	29128
ground water contamination.	29129

(11) Governing the application for and issuance of variances	29130
under section 3746.09 of the Revised Code;	29131

(12)(a) In the case of voluntary actions involving	29132
contaminated ground water, specifying the circumstances under	29133
which the generic numerical clean-up standards established in	29134
rules adopted under division (B)(1) of this section and standards	29135
established through a risk assessment conducted pursuant to rules	29136
adopted under division (B)(2) of this section shall be	29137
inapplicable to the remediation of contaminated ground water and	29138
under which the standards for remediating contaminated ground	29139
water shall be established on a case-by-case basis prior to the	29140
commencement of the voluntary action pursuant to rules adopted	29141
under division (B)(12)(b) of this section;	29142

(b) Criteria and procedures for the case-by-case	29143
establishment of standards for the remediation of contaminated	29144
ground water under circumstances in which the use of the generic	29145
numerical clean-up standards and standards established through a	29146
risk assessment are precluded by the rules adopted under division	29147
(B)(12)(a) of this section. The rules governing the procedures for	29148
the case-by-case development of standards for the remediation of	29149
contaminated ground water shall establish application, public	29150
participation, adjudication, and appeals requirements and	29151
procedures that are equivalent to the requirements and procedures	29152
established in section 3746.09 of the Revised Code and rules	29153
adopted under division (B)(11) of this section, except that the	29154
procedural rules shall not require an applicant to make the	29155
demonstrations set forth in divisions (A)(1) to (3) of section	29156
3746.09 of the Revised Code.	29157

(13) A definition of the evidence that constitutes sufficient	29158
evidence for the purpose of division (A)(5) of section 3746.02 of	29159
the Revised Code.	29160

At least thirty days before filing the proposed rules	29161
required to be adopted under this section with the secretary of	29162
state, director of the legislative service commission, and joint	29163
committee on agency rule review in accordance with divisions (B)	29164
and (H) of section 119.03 of the Revised Code, the director of	29165
environmental protection shall hold at least one public meeting on	29166
the proposed rules in each of the five districts into which the	29167
agency has divided the state for administrative purposes.	29168

Sec. 3769.087.  (A) In addition to the commission of eighteen	29169
per cent retained by each permit holder as provided in section	29170
3769.08 of the Revised Code, each permit holder shall retain an	29171
additional amount equal to four per cent of the total of all	29172
moneys wagered on each racing day on all wagering pools other than	29173
win, place, and show, of which amount retained an amount equal to	29174
three per cent of the total of all moneys wagered on each racing	29175
day on those pools shall be paid by check, draft, or money order	29176
to the tax commissioner, as a tax. Subject to the restrictions	29177
contained in divisions (B), (C), and (M) of section 3769.08 of the	29178
Revised Code, from such additional moneys paid to the tax	29179
commissioner:	29180

(1) Four-sixths shall be allocated to fund distribution as	29181
provided in division (M) of section 3769.08 of the Revised Code.	29182

(2) One-twelfth shall be paid into the Ohio fairs fund	29183
created by section 3769.082 of the Revised Code.	29184

(3) One-twelfth of the additional moneys paid to the tax	29185
commissioner by thoroughbred racing permit holders shall be paid	29186
into the Ohio thoroughbred race fund created by section 3769.083	29187
of the Revised Code.	29188

(4) One-twelfth of the additional moneys paid to the tax	29189
commissioner by harness horse racing permit holders shall be paid	29190
to the Ohio standardbred development fund created by section	29191
3769.085 of the Revised Code.	29192

(5) One-twelfth of the additional moneys paid to the tax	29193
commissioner by quarter horse racing permit holders shall be paid	29194
to the Ohio quarter horse development fund created by section	29195
3769.086 of the Revised Code.	29196

(6) One-sixth shall be paid into the state racing commission	29197
operating fund created by section 3769.03 of the Revised Code.	29198

The remaining one per cent that is retained of the total of	29199
all moneys wagered on each racing day on all pools other than win,	29200
place, and show, shall be retained by racing permit holders, and,	29201
except as otherwise provided in section 3769.089 of the Revised	29202
Code, racing permit holders shall use one-half for purse money and	29203
retain one-half.	29204

(B) In addition to the commission of eighteen per cent	29205
retained by each permit holder as provided in section 3769.08 of	29206
the Revised Code and the additional amount retained by each permit	29207
holder as provided in division (A) of this section, each permit	29208
holder shall retain an additional amount equal to one-half of one	29209
per cent of the total of all moneys wagered on each racing day on	29210
all wagering pools other than win, place, and show. Except as	29211
provided in division (C) of this section, from theThe additional	29212
amount retained under this division, each permit holder shall	29213
retain an amount equal to one-quarter of one per cent of the total	29214
of all moneys wagered on each racing day on all pools other than	29215
win, place, and show and shall pay that amountshall be paid by	29216
check, draft, or money order to the tax commissioner, as a tax.	29217
The tax commissioner shall pay the amount of the tax received	29218
under this division to the state racing commission operating fund	29219
created by section 3769.03 of the Revised Code.	29220

Except as provided in division (C) of this section, the	29221
remaining one-quarter of one per cent that is retained from the	29222
total of all moneys wagered on each racing day on all pools other	29223
than win, place, and show shall be retained by the permit holder,	29224
and the permit holder shall use one-half for purse money and	29225
retain one-half.	29226

(C) During the period commencing on July 1, 2006, and ending	29227
on and including June 30, 2007, the additional amount retained by	29228
each permit holder under division (B) of this section shall be	29229
paid by check, draft, or money order to the tax commissioner, as a	29230
tax. The tax commissioner shall pay the amount of the tax received	29231
under this division to the state racing commission operating fund	29232
created by section 3769.03 of the Revised Code.	29233

Sec. 3770.03.  (A) The state lottery commission shall	29234
promulgate rules under which a statewide lottery may be conducted.	29235
The rules shall be promulgated pursuant to Chapter 119. of the	29236
Revised Code, except that instant game rules shall be promulgated	29237
pursuant to section 111.15 of the Revised Code but are not subject	29238
to division (D) of that section. Subjects covered in these rules	29239
shall include, but need not be limited to, the following:	29240

(1) The type of lottery to be conducted;

29241

(2) The prices of tickets in the lottery;

29242

(3) The number, nature, and value of prize awards, the manner	29243
and frequency of prize drawings, and the manner in which prizes	29244
shall be awarded to holders of winning tickets.	29245

(B) The commission shall promulgate rules, in addition to	29246
those described in division (A) of this section, pursuant to	29247
Chapter 119. of the Revised Code under which a statewide lottery	29248
and statewide joint lottery games may be conducted. Subjects	29249
covered in these rules shall include, but not be limited to, the	29250
following:	29251

(1) The locations at which lottery tickets may be sold and	29252
the manner in which they are to be sold. These rules may authorize	29253
the sale of lottery tickets by commission personnel or other	29254
licensed individuals from traveling show wagons at the state fair,	29255
and at any other expositions the director of the commission	29256
considers acceptable. These rules shall prohibit commission	29257
personnel or other licensed individuals from soliciting from an	29258
exposition the right to sell lottery tickets at that exposition,	29259
but shall allow commission personnel or other licensed individuals	29260
to sell lottery tickets at an exposition if the exposition	29261
requests commission personnel or licensed individuals to do so.	29262
These rules may also address the accessibility of sales agent	29263
locations to commission products in accordance with the "Americans	29264
with Disabilities Act of 1990," 104 Stat. 327, 42 U.S.C.A. 12101	29265
et seq.	29266

(2) The manner in which lottery sales revenues are to be	29267
collected, including authorization for the director to impose	29268
penalties for failure by lottery sales agents to transfer revenues	29269
to the commission in a timely manner;	29270

(3) The amount of compensation to be paid licensed lottery	29271
sales agents;	29272

(4) The substantive criteria for the licensing of lottery	29273
sales agents consistent with section 3770.05 of the Revised Code,	29274
and procedures for revoking or suspending their licenses	29275
consistent with Chapter 119. of the Revised Code. If	29276
circumstances, such as the nonpayment of funds owed by a lottery	29277
sales agent, or other circumstances related to the public safety,	29278
convenience, or trust, require immediate action, the director may	29279
suspend a license without affording an opportunity for a prior	29280
hearing under section 119.07 of the Revised Code.	29281

(5) Special game rules to implement any agreements signed by	29282
the governor that the director enters into with other lottery	29283
jurisdictions under division (J) of section 3770.02 of the Revised	29284
Code to conduct statewide joint lottery games. The rules shall	29285
require that the entire net proceeds of those games that remain,	29286
after associated operating expenses, prize disbursements, lottery	29287
sales agent bonuses, commissions, and reimbursements, and any	29288
other expenses necessary to comply with the agreements or the	29289
rules are deducted from the gross proceeds of those games, be	29290
transferred to the lottery profits education fund under division	29291
(B) of section 3770.06 of the Revised Code.	29292

(C) The commission may promulgate rules, in addition to those	29293
described in divisions (A) and (B) of this section, that establish	29294
standards governing the display of advertising and celebrity	29295
images on lottery tickets and on other items that are used in the	29296
conduct of, or to promote, the statewide lottery and statewide	29297
joint lottery games. Any revenue derived from the sale of	29298
advertising displayed on lottery tickets and on those other items	29299
shall be considered, for purposes of section 3770.06 of the	29300
Revised Code, to be related proceeds in connection with the	29301
statewide lottery or gross proceeds from statewide joint lottery	29302
games, as applicable.	29303

(D)(1) The commission shall meet with the director at least	29304
once each month and shall convene other meetings at the request of	29305
the chairperson or any five of the members. No action taken by the	29306
commission shall be binding unless at least five of the members	29307
present vote in favor of the action. A written record shall be	29308
made of the proceedings of each meeting and shall be transmitted	29309
forthwith to the governor, the president of the senate, the senate	29310
minority leader, the speaker of the house of representatives, and	29311
the house minority leader.	29312

(2) The director shall present to the commission a report	29313
each month, showing the total revenues, prize disbursements, and	29314
operating expenses of the state lottery for the preceding month.	29315
As soon as practicable after the end of each fiscal year, the	29316
commission shall prepare and transmit to the governor and the	29317
general assembly a report of lottery revenues, prize	29318
disbursements, and operating expenses for the preceding fiscal	29319
year and any recommendations for legislation considered necessary	29320
by the commission.	29321

Sec. 3770.06.  (A) There is hereby created the state lottery	29322
gross revenue fund, which shall be in the custody of the treasurer	29323
of state but shall not be part of the state treasury. All gross	29324
revenues received from sales of lottery tickets, fines, fees, and	29325
related proceeds in connection with the statewide lottery and all	29326
gross proceeds from statewide joint lottery games shall be	29327
deposited into the fund. The treasurer of state shall invest any	29328
portion of the fund not needed for immediate use in the same	29329
manner as, and subject to all provisions of law with respect to	29330
the investment of, state funds. The treasurer of state shall	29331
disburse money from the fund on order of the director of the state	29332
lottery commission or the director's designee.	29333

Except for gross proceeds from statewide joint lottery games,	29334
all revenues of the state lottery gross revenue fund that are not	29335
paid to holders of winning lottery tickets, that are not required	29336
to meet short-term prize liabilities, that are not credited to	29337
lottery sales agents in the form of bonuses, commissions, or	29338
reimbursements, that are not paid to financial institutions to	29339
reimburse those institutions for sales agent nonsufficient funds,	29340
and that are collected from sales agents for remittance to	29341
insurers under contract to provide sales agent bonding services	29342
shall be transferred to the state lottery fund, which is hereby	29343
created in the state treasury. In addition, all revenues of the	29344
state lottery gross revenue fund that represent the gross proceeds	29345
from the statewide joint lottery games and that are not paid to	29346
holders of winning lottery tickets, that are not required to meet	29347
short-term prize liabilities, that are not credited to lottery	29348
sales agents in the form of bonuses, commissions, or	29349
reimbursements, and that are not necessary to cover operating	29350
expenses associated with those games or to otherwise comply with	29351
the agreements signed by the governor that the director enters	29352
into under division (J) of section 3770.02 of the Revised Code or	29353
the rules the commission adopts under division (B)(5) of section	29354
3770.03 of the Revised Code shall be transferred to the state	29355
lottery fund. All investment earnings of the fund shall be	29356
credited to the fund. Moneys shall be disbursed from the fund	29357
pursuant to vouchers approved by the director. Total disbursements	29358
for monetary prize awards to holders of winning lottery tickets in	29359
connection with the statewide lottery and purchases of goods and	29360
services awarded as prizes to holders of winning lottery tickets	29361
shall be of an amount equal to at least fifty per cent of the	29362
total revenue accruing from the sale of lottery tickets.	29363

(B) Pursuant to Section 6 of Article XV, Ohio Constitution,	29364
there is hereby established in the state treasury the lottery	29365
profits education fund. Whenever, in the judgment of the director	29366
of budget and management, the amount to the credit of the state	29367
lottery fund that does not represent proceeds from statewide joint	29368
lottery games is in excess of that needed to meet the maturing	29369
obligations of the commission and as working capital for its	29370
further operations, the director shall transfer the excess to the	29371
lottery profits education fund in connection with the statewide	29372
lottery. In addition, whenever, in the judgment of the director of	29373
budget and management, the amount to the credit of the state	29374
lottery fund that represents proceeds from statewide joint lottery	29375
games equals the entire net proceeds of those games as described	29376
in division (B)(5) of section 3770.03 of the Revised Code and the	29377
rules adopted under that division, the director shall transfer	29378
those proceeds to the lottery profits education fund. There shall	29379
also be credited to the fund any repayments of moneys loaned from	29380
the educational excellence investment fund. Investment earnings of	29381
the lottery profits education fund shall be credited to the fund.	29382

The lottery profits education fund shall be used solely for	29383
the support of elementary, secondary, vocational, and special	29384
education programs as determined in appropriations made by the	29385
general assembly, or as provided in applicable bond proceedings	29386
for the payment of debt service on obligations issued to pay costs	29387
of capital facilities, including those for a system of common	29388
schools throughout the state pursuant to section 2n of Article	29389
VIII, Ohio Constitution. When determining the availability of	29390
money in the lottery profits education fund, the director of	29391
budget and management may consider all balances and estimated	29392
revenues of the fund.	29393

From the amounts that the director of budget and management	29394
transfers in any fiscal year from the state lottery fund to the	29395
lottery profits education fund, the director shall transfer the	29396
initial ten million dollars of those amounts from the lottery	29397
profits education fund to the school building program bond service	29398
fund created in division (Q) of section 3318.26 of the Revised	29399
Code to be pledged for the purpose of paying bond service charges	29400
as defined in division (C) of section 3318.21 of the Revised Code	29401
on one or more issuances of obligations, which obligations are	29402
issued to provide moneys for the school building program	29403
assistance fund created in section 3318.25 of the Revised Code.	29404

(C) There is hereby established in the state treasury the	29405
deferred prizes trust fund. With the approval of the director of	29406
budget and management, an amount sufficient to fund annuity prizes	29407
shall be transferred from the state lottery fund and credited to	29408
the trust fund. The treasurer of state shall credit all earnings	29409
arising from investments purchased under this division to the	29410
trust fund. Within sixty days after the end of each fiscal year,	29411
the treasurer of state shall certify to the director of budget and	29412
management whether the actuarial amount of the trust fund is	29413
sufficient over the fund's life for continued funding of all	29414
remaining deferred prize liabilities as of the last day of the	29415
fiscal year just ended. Also, within that sixty days, the director	29416
of budget and management shall certify the amount of investment	29417
earnings necessary to have been credited to the trust fund during	29418
the fiscal year just ending to provide for such continued funding	29419
of deferred prizes. Any earnings credited in excess of thisthe	29420
latter certified amount shall be transferred to the lottery	29421
profits education fund.	29422

To provide all or a part of the amounts necessary to fund	29423
deferred prizes awarded by the commission in connection with the	29424
statewide lottery, the treasurer of state, in consultation with	29425
the commission, may invest moneys contained in the deferred prizes	29426
trust fund which represents proceeds from the statewide lottery in	29427
obligations of the type permitted for the investment of state	29428
funds but whose maturities are thirty years or less.	29429
Notwithstanding the requirements of any other section of the	29430
Revised Code, to provide all or part of the amounts necessary to	29431
fund deferred prizes awarded by the commission in connection with	29432
statewide joint lottery games, the treasurer of state, in	29433
consultation with the commission, may invest moneys in the trust	29434
fund which represent proceeds derived from the statewide joint	29435
lottery games in accordance with the rules the commission adopts	29436
under division (B)(5) of section 3770.03 of the Revised Code.	29437
Investments of the trust fund are not subject to the provisions of	29438
division (A)(10) of section 135.143 of the Revised Code limiting	29439
to twenty-five per cent the amount of the state's total average	29440
portfolio that may be invested in debt interests and limiting to	29441
one-half of one per cent the amount that may be invested in debt	29442
interests of a single issuer.	29443

All purchases made under this division shall be effected on a	29444
delivery versus payment method and shall be in the custody of the	29445
treasurer of state.	29446

The treasurer of state may retain an investment advisor, if	29447
necessary. The commission shall pay any costs incurred by the	29448
treasurer of state in retaining an investment advisor.	29449

(D) The auditor of state shall conduct annual audits of all	29450
funds and any other audits as the auditor of state or the general	29451
assembly considers necessary. The auditor of state may examine all	29452
records, files, and other documents of the commission, and records	29453
of lottery sales agents that pertain to their activities as	29454
agents, for purposes of conducting authorized audits.	29455

The state lottery commission shall establish an internal	29456
audit program before the beginning of each fiscal year, subject to	29457
the approval of the auditor of state. At the end of each fiscal	29458
year, the commission shall prepare and submit an annual report to	29459
the auditor of state for the auditor of state's review and	29460
approval, specifying the internal audit work completed by the end	29461
of that fiscal year and reporting on compliance with the annual	29462
internal audit program. The form and content of the report shall	29463
be prescribed by the auditor of state under division (C) of	29464
section 117.20 of the Revised Code.	29465

(E) Whenever, in the judgment of the director of budget and	29466
management, an amount of net state lottery proceeds is necessary	29467
to be applied to the payment of debt service on obligations, all	29468
as defined in sections 151.01 and 151.03 of the Revised Code, the	29469
director shall transfer that amount directly from the state	29470
lottery fund or from the lottery profits education fund to the	29471
bond service fund defined in those sections. The provisions of	29472
this division are subject to any prior pledges or obligation of	29473
those amounts to the payment of bond service charges as defined in	29474
division (C) of section 3318.21 of the Revised Code, as referred	29475
to in division (B) of this section.	29476

Sec. 3773.35.  Any person who wishes to conduct a public	29477
boxing or wrestling match or exhibition shall apply to the Ohio	29478
athletic commission for a promoter's license. Each application	29479
shall be filed with the commission on forms provided by the	29480
commission, and shall be accompanied by an application fee as	29481
prescribed in section 3773.43 of the Revised Code and by a cash	29482
bond, certified check, bank draft, or surety bond of not less than	29483
five thousand dollars conditioned for compliance with sections	29484
3773.31 to 3773.57 of the Revised Code and the rules of the	29485
commission. The applicant shall verify the application under oath.	29486

The commission shall prescribe the form of the application	29487
for the promoter's license. The application shall include the name	29488
of the applicant, the post office address of the applicant, and	29489
any other information the commission requires.	29490

There is hereby created the athletic commission promoter's	29491
license fund, which shall be in the custody of the treasurer of	29492
state but shall not be part of the state treasury. The fund shall	29493
consist of all cash bonds, certified checks, and bank drafts the	29494
commission receives from persons pursuant to this section. All	29495
money in the fund, including investment earnings thereon, shall be	29496
used solely to reimburse, as described in section 3773.36 of the	29497
Revised Code, the cash bonds, certified checks, or bank drafts	29498
deposited pursuant to this section.	29499

Sec. 3773.36.  Upon the proper filing of an application to	29500
conduct public boxing or wrestling matches or exhibitions,	29501
accompanied by the cash bond, certified check, bank draft, or	29502
surety bond required by section 3773.35, and the application fee	29503
required by section 3773.43 of the Revised Code, the Ohio athletic	29504
commission shall issue a promoter's license to the applicant if it	29505
finds that the applicant is not in default on any payment,	29506
obligation, or debt payable to the state under sections 3773.31 to	29507
3773.57 of the Revised Code, is financially responsible, and is	29508
knowledgeable in the proper conduct of such matches or	29509
exhibitions.	29510

Each license issued pursuant to this section shall bear the	29511
name of the licensee, the post office address of the licensee, the	29512
date of issueexpiration, a serialan identification number	29513
designatedissued by the commission, the seal of the commission,	29514
and the signature of the commission chairperson.	29515

A promoter's license shall expire twelve months after its	29516
date of issuance and shall become invalid on that date unless	29517
renewed. A promoter's license may be renewed upon application to	29518
the commission and upon payment of the renewal fee prescribed in	29519
section 3773.43 of the Revised Code and an additional	29520
administrative fee equal to five per cent of the total cash bond,	29521
certified check, bank draft, or surety bond required to be	29522
deposited pursuant to section 3773.35 of the Revised Code. The	29523
commission shall renew the license unless it denies the	29524
application for renewal for one or more reasons stated in section	29525
3123.47 or 3773.53 of the Revised Code. Upon the expiration or	29526
revocation of a promoter's license, the commission shall reimburse	29527
a promoter as required by section 3773.35 of the Revised Code.	29528

Sec. 3901.021.  (A) Three-fourthsThree-fifths of all	29529
appointment and other fees collected under section 3905.10 and	29530
division (B) of section 3905.20 of the Revised Code shall be paid	29531
into the state treasury to the credit of the department of	29532
insurance operating fund, which is hereby created. The remaining	29533
one-fourthtwo-fifths shall be credited to the general revenue	29534
fund. Other revenues collected by the superintendent of insurance,	29535
such as registration fees for sponsored seminars or conferences	29536
and grants from private entities, shall be paid into the state	29537
treasury to the credit of the department of insurance operating	29538
fund.	29539

(B) Seven-tenths of all fees collected under divisions	29540
(A)(2), (A)(3), and (A)(6) of section 3905.40 of the Revised Code	29541
shall be paid into the state treasury to the credit of the	29542
department of insurance operating fund. The remaining three-tenths	29543
shall be credited to the general revenue fund.	29544

(C) All operating expenses of the department of insurance	29545
except those expenses defined under section 3901.07 of the Revised	29546
Code shall be paid from the department of insurance operating	29547
fund.	29548

Sec. 3901.86.  (A) When the laws of any other state,	29549
district, territory, or nation impose any taxes, fines, penalties,	29550
license fees, deposits of money, securities, or other obligations	29551
or prohibitions on insurance companies of this state doing	29552
business in that state, district, territory, or nation, or upon	29553
their agents therein, the same obligations and prohibitions shall	29554
be imposed upon insurance companies of the other state, district,	29555
or nation doing business in this state and upon their agents.	29556

When the laws of any other state, district, territory, or	29557
nation impose a requirement for countersignature and payment of a	29558
fee or commission upon agents of this state for placing any	29559
coverage in that state, district, territory, or nation, then the	29560
same requirements of countersignature and fee or commission shall	29561
be imposed upon agents of that state, district, territory, or	29562
nation for placing any coverage in this state.	29563

(B) Beginning on July 1, 1993, twenty2007, ten per cent of	29564
the amount that is collected under division (A) of this section	29565
from foreign insurance companies that sell fire insurance to	29566
residents of this state shall be paid into the state fire	29567
marshal's fund created under section 3737.71 of the Revised Code.	29568
The director of commerce, with the approval of the director of	29569
budget and management, may increase the percentage described in	29570
this division so that it will yield an amount that the director of	29571
commerce determines necessary to assist in the maintenance and	29572
administration of the office of the fire marshal and in defraying	29573
the costs of operating the Ohio fire academy established by	29574
section 3737.33 of the Revised Code.	29575

Sec. 4115.04.  (A)(1) Every public authority authorized to	29576
contract for or construct with its own forces a public	29577
improvement, before advertising for bids or undertaking such	29578
construction with its own forces, shall have the director of	29579
commerce determine the prevailing rates of wages of mechanics and	29580
laborers in accordance with section 4115.05 of the Revised Code	29581
for the class of work called for by the public improvement, in the	29582
locality where the work is to be performed. Except as provided in	29583
division (A)(2) of this section, that schedule of wages shall be	29584
attached to and made part of the specifications for the work, and	29585
shall be printed on the bidding blanks where the work is done by	29586
contract. A copy of the bidding blank shall be filed with the	29587
director before the contract is awarded. A minimum rate of wages	29588
for common laborers, on work coming under the jurisdiction of the	29589
department of transportation, shall be fixed in each county of the	29590
state by the department of transportation, in accordance with	29591
section 4115.05 of the Revised Code.	29592

(2) In the case of contracts that are administered by the	29593
department of natural resources, the director of natural resources	29594
or the director's designee shall include language in the contracts	29595
requiring wage rate determinations and updates to be obtained	29596
directly from the department of commerce through electronic or	29597
other means as appropriate. Contracts that include this	29598
requirement are exempt from the requirements established in	29599
division (A)(1) of this section that involve attaching the	29600
schedule of wages to the specifications for the work, making the	29601
schedule part of those specifications, and printing the schedule	29602
on the bidding blanks where the work is done by contract.	29603

(B) Sections 4115.03 to 4115.16 of the Revised Code do not	29604
apply to:	29605

(1) Public improvements in any case where the federal	29606
government or any of its agencies furnishes by loan or grant all	29607
or any part of the funds used in constructing such improvements,	29608
provided that the federal government or any of its agencies	29609
prescribes predetermined minimum wages to be paid to mechanics and	29610
laborers employed in the construction of such improvements;	29611

(2) A participant inwork-eligible individual assigned to a	29612
work participation activity, developmental activity, or an	29613
alternative work activity under sections 5107.40 to 5107.69	29614
section 5107.42 of the Revised Code when a public authority	29615
directly uses the labor of the participantindividual to construct	29616
a public improvement if the participantindividual is not engaged	29617
in paid employment or subsidized employment pursuant to the	29618
activity;	29619

(3) Public improvements undertaken by, or under contract for,	29620
the board of education of any school district or the governing	29621
board of any educational service center;	29622

(4) Public improvements undertaken by, or under contract for,	29623
a county hospital operated pursuant to Chapter 339. of the Revised	29624
Code or a municipal hospital operated pursuant to Chapter 749. of	29625
the Revised Code if none of the funds used in constructing the	29626
improvements are the proceeds of bonds or other obligations that	29627
are secured by the full faith and credit of the state, a county, a	29628
township, or a municipal corporation and none of the funds used in	29629
constructing the improvements, including funds used to repay any	29630
amounts borrowed to construct the improvements, are funds that	29631
have been appropriated for that purpose by the state, a board of	29632
county commissioners, a township, or a municipal corporation from	29633
funds generated by the levy of a tax, provided that a county	29634
hospital or municipal hospital may elect to apply sections 4115.03	29635
to 4115.16 of the Revised Code to a public improvement undertaken	29636
by, or under contract for, the hospital;	29637

(5) Any project described in divisions (D)(1)(a) to (D)(1)(e)	29638
of section 176.05 of the Revised Code.	29639

Sec. 4117.01.  As used in this chapter:

29640

(A) "Person," in addition to those included in division (C)	29641
of section 1.59 of the Revised Code, includes employee	29642
organizations, public employees, and public employers.	29643

(B) "Public employer" means the state or any political	29644
subdivision of the state located entirely within the state,	29645
including, without limitation, any municipal corporation with a	29646
population of at least five thousand according to the most recent	29647
federal decennial census; county; township with a population of at	29648
least five thousand in the unincorporated area of the township	29649
according to the most recent federal decennial census; school	29650
district; governing authority of a community school established	29651
under Chapter 3314. of the Revised Code; state institution of	29652
higher learning; public or special district; state agency,	29653
authority, commission, or board; or other branch of public	29654
employment.	29655

(C) "Public employee" means any person holding a position by	29656
appointment or employment in the service of a public employer,	29657
including any person working pursuant to a contract between a	29658
public employer and a private employer and over whom the national	29659
labor relations board has declined jurisdiction on the basis that	29660
the involved employees are employees of a public employer, except:	29661

(1) Persons holding elective office;

29662

(2) Employees of the general assembly and employees of any	29663
other legislative body of the public employer whose principal	29664
duties are directly related to the legislative functions of the	29665
body;	29666

(3) Employees on the staff of the governor or the chief	29667
executive of the public employer whose principal duties are	29668
directly related to the performance of the executive functions of	29669
the governor or the chief executive;	29670

(4) Persons who are members of the Ohio organized militia,	29671
while training or performing duty under section 5919.29 or 5923.12	29672
of the Revised Code;	29673

(5) Employees of the state employment relations board;

29674

(6) Confidential employees;

29675

(7) Management level employees;

29676

(8) Employees and officers of the courts, assistants to the	29677
attorney general, assistant prosecuting attorneys, and employees	29678
of the clerks of courts who perform a judicial function;	29679

(9) Employees of a public official who act in a fiduciary	29680
capacity, appointed pursuant to section 124.11 of the Revised	29681
Code;	29682

(10) Supervisors;

29683

(11) Students whose primary purpose is educational training,	29684
including graduate assistants or associates, residents, interns,	29685
or other students working as part-time public employees less than	29686
fifty per cent of the normal year in the employee's bargaining	29687
unit;	29688

(12) Employees of county boards of election;

29689

(13) Seasonal and casual employees as determined by the state	29690
employment relations board;	29691

(14) Part-time faculty members of an institution of higher	29692
education;	29693

(15) Employees of the state personnel board of review;

29694

(16) Participants inWork-eligible individuals assigned to a	29695
work participation activity, developmental activity, or	29696
alternative work activity under sections 5107.40 to 5107.69	29697
section 5107.42 of the Revised Code who perform a service for a	29698
public employer that the public employer needs but is not	29699
performed by an employee of the public employer if the participant	29700
individual is not engaged in paid employment or subsidized	29701
employment pursuant to the activity;	29702

(17) Employees included in the career professional service of	29703
the department of transportation under section 5501.20 of the	29704
Revised Code;	29705

(18) Employees of community-based correctional facilities and	29706
district community-based correctional facilities created under	29707
sections 2301.51 to 2301.58 of the Revised Code who are not	29708
subject to a collective bargaining agreement on June 1, 2005.	29709

(D) "Employee organization" means any labor or bona fide	29710
organization in which public employees participate and that exists	29711
for the purpose, in whole or in part, of dealing with public	29712
employers concerning grievances, labor disputes, wages, hours,	29713
terms, and other conditions of employment.	29714

(E) "Exclusive representative" means the employee	29715
organization certified or recognized as an exclusive	29716
representative under section 4117.05 of the Revised Code.	29717

(F) "Supervisor" means any individual who has authority, in	29718
the interest of the public employer, to hire, transfer, suspend,	29719
lay off, recall, promote, discharge, assign, reward, or discipline	29720
other public employees; to responsibly direct them; to adjust	29721
their grievances; or to effectively recommend such action, if the	29722
exercise of that authority is not of a merely routine or clerical	29723
nature, but requires the use of independent judgment, provided	29724
that:	29725

(1) Employees of school districts who are department	29726
chairpersons or consulting teachers shall not be deemed	29727
supervisors;	29728

(2) With respect to members of a police or fire department,	29729
no person shall be deemed a supervisor except the chief of the	29730
department or those individuals who, in the absence of the chief,	29731
are authorized to exercise the authority and perform the duties of	29732
the chief of the department. Where prior to June 1, 1982, a public	29733
employer pursuant to a judicial decision, rendered in litigation	29734
to which the public employer was a party, has declined to engage	29735
in collective bargaining with members of a police or fire	29736
department on the basis that those members are supervisors, those	29737
members of a police or fire department do not have the rights	29738
specified in this chapter for the purposes of future collective	29739
bargaining. The state employment relations board shall decide all	29740
disputes concerning the application of division (F)(2) of this	29741
section.	29742

(3) With respect to faculty members of a state institution of	29743
higher education, heads of departments or divisions are	29744
supervisors; however, no other faculty member or group of faculty	29745
members is a supervisor solely because the faculty member or group	29746
of faculty members participate in decisions with respect to	29747
courses, curriculum, personnel, or other matters of academic	29748
policy;	29749

(4) No teacher as defined in section 3319.09 of the Revised	29750
Code shall be designated as a supervisor or a management level	29751
employee unless the teacher is employed under a contract governed	29752
by section 3319.01, 3319.011, or 3319.02 of the Revised Code and	29753
is assigned to a position for which a license deemed to be for	29754
administrators under state board rules is required pursuant to	29755
section 3319.22 of the Revised Code.	29756

(G) "To bargain collectively" means to perform the mutual	29757
obligation of the public employer, by its representatives, and the	29758
representatives of its employees to negotiate in good faith at	29759
reasonable times and places with respect to wages, hours, terms,	29760
and other conditions of employment and the continuation,	29761
modification, or deletion of an existing provision of a collective	29762
bargaining agreement, with the intention of reaching an agreement,	29763
or to resolve questions arising under the agreement. "To bargain	29764
collectively" includes executing a written contract incorporating	29765
the terms of any agreement reached. The obligation to bargain	29766
collectively does not mean that either party is compelled to agree	29767
to a proposal nor does it require the making of a concession.	29768

(H) "Strike" means continuous concerted action in failing to	29769
report to duty; willful absence from one's position; or stoppage	29770
of work in whole from the full, faithful, and proper performance	29771
of the duties of employment, for the purpose of inducing,	29772
influencing, or coercing a change in wages, hours, terms, and	29773
other conditions of employment. "Strike" does not include a	29774
stoppage of work by employees in good faith because of dangerous	29775
or unhealthful working conditions at the place of employment that	29776
are abnormal to the place of employment.	29777

(I) "Unauthorized strike" includes, but is not limited to,	29778
concerted action during the term or extended term of a collective	29779
bargaining agreement or during the pendency of the settlement	29780
procedures set forth in section 4117.14 of the Revised Code in	29781
failing to report to duty; willful absence from one's position;	29782
stoppage of work; slowdown, or abstinence in whole or in part from	29783
the full, faithful, and proper performance of the duties of	29784
employment for the purpose of inducing, influencing, or coercing a	29785
change in wages, hours, terms, and other conditions of employment.	29786
"Unauthorized strike" includes any such action, absence, stoppage,	29787
slowdown, or abstinence when done partially or intermittently,	29788
whether during or after the expiration of the term or extended	29789
term of a collective bargaining agreement or during or after the	29790
pendency of the settlement procedures set forth in section 4117.14	29791
of the Revised Code.	29792

(J) "Professional employee" means any employee engaged in	29793
work that is predominantly intellectual, involving the consistent	29794
exercise of discretion and judgment in its performance and	29795
requiring knowledge of an advanced type in a field of science or	29796
learning customarily acquired by a prolonged course in an	29797
institution of higher learning or a hospital, as distinguished	29798
from a general academic education or from an apprenticeship; or an	29799
employee who has completed the courses of specialized intellectual	29800
instruction and is performing related work under the supervision	29801
of a professional person to become qualified as a professional	29802
employee.	29803

(K) "Confidential employee" means any employee who works in	29804
the personnel offices of a public employer and deals with	29805
information to be used by the public employer in collective	29806
bargaining; or any employee who works in a close continuing	29807
relationship with public officers or representatives directly	29808
participating in collective bargaining on behalf of the employer.	29809

(L) "Management level employee" means an individual who	29810
formulates policy on behalf of the public employer, who	29811
responsibly directs the implementation of policy, or who may	29812
reasonably be required on behalf of the public employer to assist	29813
in the preparation for the conduct of collective negotiations,	29814
administer collectively negotiated agreements, or have a major	29815
role in personnel administration. Assistant superintendents,	29816
principals, and assistant principals whose employment is governed	29817
by section 3319.02 of the Revised Code are management level	29818
employees. With respect to members of a faculty of a state	29819
institution of higher education, no person is a management level	29820
employee because of the person's involvement in the formulation or	29821
implementation of academic or institution policy.	29822

(M) "Wages" means hourly rates of pay, salaries, or other	29823
forms of compensation for services rendered.	29824

(N) "Member of a police department" means a person who is in	29825
the employ of a police department of a municipal corporation as a	29826
full-time regular police officer as the result of an appointment	29827
from a duly established civil service eligibility list or under	29828
section 737.15 or 737.16 of the Revised Code, a full-time deputy	29829
sheriff appointed under section 311.04 of the Revised Code, a	29830
township constable appointed under section 509.01 of the Revised	29831
Code, or a member of a township police district police department	29832
appointed under section 505.49 of the Revised Code.	29833

(O) "Members of the state highway patrol" means highway	29834
patrol troopers and radio operators appointed under section	29835
5503.01 of the Revised Code.	29836

(P) "Member of a fire department" means a person who is in	29837
the employ of a fire department of a municipal corporation or a	29838
township as a fire cadet, full-time regular firefighter, or	29839
promoted rank as the result of an appointment from a duly	29840
established civil service eligibility list or under section	29841
505.38, 709.012, or 737.22 of the Revised Code.	29842

(Q) "Day" means calendar day.

29843

Sec. 4123.27.  Information contained in the annual statement	29844
provided for in section 4123.26 of the Revised Code, and such	29845
other information as may be furnished to the bureau of workers'	29846
compensation by employers in pursuance of that section, is for the	29847
exclusive use and information of the bureau in the discharge of	29848
its official duties, and shall not be open to the public nor be	29849
used in any court in any action or proceeding pending therein	29850
unless the bureau is a party to the action or proceeding; but the	29851
information contained in the statement may be tabulated and	29852
published by the bureau in statistical form for the use and	29853
information of other state departments and the public. No person	29854
in the employ of the bureau, except those who are authorized by	29855
the administrator of workers' compensation, shall divulge any	29856
information secured by the person while in the employ of the	29857
bureau in respect to the transactions, property, claim files,	29858
records, or papers of the bureau or in respect to the business or	29859
mechanical, chemical, or other industrial process of any company,	29860
firm, corporation, person, association, partnership, or public	29861
utility to any person other than the administrator or to the	29862
superior of such employee of the bureau.	29863

Notwithstanding the restrictions imposed by this section, the	29864
governor, select or standing committees of the general assembly,	29865
the auditor of state, the attorney general, or their designees,	29866
pursuant to the authority granted in this chapter and Chapter	29867
4121. of the Revised Code, may examine any records, claim files,	29868
or papers in possession of the industrial commission or the	29869
bureau. They also are bound by the privilege that attaches to	29870
these papers.	29871

The administrator shall report to the director of job and	29872
family services or to the county director of job and family	29873
services the name, address, and social security number or other	29874
identification number of any person receiving workers'	29875
compensation whose name or social security number or other	29876
identification number is the same as that of a person required by	29877
a court or child support enforcement agency to provide support	29878
payments to a recipient or participant of public assistance, and	29879
whose name is submitted to the administrator by the director under	29880
section 5101.36 of the Revised Code. The administrator also shall	29881
inform the director of the amount of workers' compensation paid to	29882
the person during such period as the director specifies.	29883

Within fourteen days after receiving from the director of job	29884
and family services a list of the names and social security	29885
numbers of recipients or participants of public assistance	29886
pursuant to section 5101.181 of the Revised Code, the	29887
administrator shall inform the auditor of state of the name,	29888
current or most recent address, and social security number of each	29889
person receiving workers' compensation pursuant to this chapter	29890
whose name and social security number are the same as that of a	29891
person whose name or social security number was submitted by the	29892
director. The administrator also shall inform the auditor of state	29893
of the amount of workers' compensation paid to the person during	29894
such period as the director specifies.	29895

The bureau and its employees, except for purposes of	29896
furnishing the auditor of state with information required by this	29897
section, shall preserve the confidentiality of recipients or	29898
participants of public assistance in compliance with division (A)	29899
of section 5101.181 of the Revised Code.	29900

For the purposes of this section, "public assistance" means	29901
medical assistance provided through the medical assistance program	29902
established under section 5111.01 of the Revised Code, nonfederal	29903
medical assistance provided under Chapter 5114. of the Revised	29904
Code, Ohio works first provided under Chapter 5107. of the Revised	29905
Code, prevention, retention, and contingency benefits and services	29906
provided under Chapter 5108. of the Revised Code, disability	29907
financial assistance provided under Chapter 5115. of the Revised	29908
Code, or disability medical assistance provided under Chapter	29909
5115. of the Revised Code.	29910

Sec. 4123.35.  (A) Except as provided in this section, every	29911
employer mentioned in division (B)(2) of section 4123.01 of the	29912
Revised Code, and every publicly owned utility shall pay	29913
semiannually in the months of January and July into the state	29914
insurance fund the amount of annual premium the administrator of	29915
workers' compensation fixes for the employment or occupation of	29916
the employer, the amount of which premium to be paid by each	29917
employer to be determined by the classifications, rules, and rates	29918
made and published by the administrator. The employer shall pay	29919
semiannually a further sum of money into the state insurance fund	29920
as may be ascertained to be due from the employer by applying the	29921
rules of the administrator, and a receipt or certificate	29922
certifying that payment has been made, along with a written notice	29923
as is required in section 4123.54 of the Revised Code, shall be	29924
mailed immediately to the employer by the bureau of workers'	29925
compensation. The receipt or certificate is prima-facie evidence	29926
of the payment of the premium, and the proper posting of the	29927
notice constitutes the employer's compliance with the notice	29928
requirement mandated in section 4123.54 of the Revised Code.	29929

The bureau of workers' compensation shall verify with the	29930
secretary of state the existence of all corporations and	29931
organizations making application for workers' compensation	29932
coverage and shall require every such application to include the	29933
employer's federal identification number.	29934

An employer as defined in division (B)(2) of section 4123.01	29935
of the Revised Code who has contracted with a subcontractor is	29936
liable for the unpaid premium due from any subcontractor with	29937
respect to that part of the payroll of the subcontractor that is	29938
for work performed pursuant to the contract with the employer.	29939

Division (A) of this section providing for the payment of	29940
premiums semiannually does not apply to any employer who was a	29941
subscriber to the state insurance fund prior to January 1, 1914,	29942
or who may first become a subscriber to the fund in any month	29943
other than January or July. Instead, the semiannual premiums shall	29944
be paid by those employers from time to time upon the expiration	29945
of the respective periods for which payments into the fund have	29946
been made by them.	29947

The administrator shall adopt rules to permit employers to	29948
make periodic payments of the semiannual premium due under this	29949
division. The rules shall include provisions for the assessment of	29950
interest charges, where appropriate, and for the assessment of	29951
penalties when an employer fails to make timely premium payments.	29952
An employer who timely pays the amounts due under this division is	29953
entitled to all of the benefits and protections of this chapter.	29954
Upon receipt of payment, the bureau immediately shall mail a	29955
receipt or certificate to the employer certifying that payment has	29956
been made, which receipt is prima-facie evidence of payment.	29957
Workers' compensation coverage under this chapter continues	29958
uninterrupted upon timely receipt of payment under this division.	29959

Every public employer, except public employers that are	29960
self-insuring employers under this section, shall comply with	29961
sections 4123.38 to 4123.41, and 4123.48 of the Revised Code in	29962
regard to the contribution of moneys to the public insurance fund.	29963

(B) Employers who will abide by the rules of the	29964
administrator and who may be of sufficient financial ability to	29965
render certain the payment of compensation to injured employees or	29966
the dependents of killed employees, and the furnishing of medical,	29967
surgical, nursing, and hospital attention and services and	29968
medicines, and funeral expenses, equal to or greater than is	29969
provided for in sections 4123.52, 4123.55 to 4123.62, and 4123.64	29970
to 4123.67 of the Revised Code, and who do not desire to insure	29971
the payment thereof or indemnify themselves against loss sustained	29972
by the direct payment thereof, upon a finding of such facts by the	29973
administrator, may be granted the privilege to pay individually	29974
compensation, and furnish medical, surgical, nursing, and hospital	29975
services and attention and funeral expenses directly to injured	29976
employees or the dependents of killed employees, thereby being	29977
granted status as a self-insuring employer. The administrator may	29978
charge employers who apply for the status as a self-insuring	29979
employer a reasonable application fee to cover the bureau's costs	29980
in connection with processing and making a determination with	29981
respect to an application.	29982

All employers granted status as self-insuring employers shall	29983
demonstrate sufficient financial and administrative ability to	29984
assure that all obligations under this section are promptly met.	29985
The administrator shall deny the privilege where the employer is	29986
unable to demonstrate the employer's ability to promptly meet all	29987
the obligations imposed on the employer by this section.	29988

(1) The administrator shall consider, but is not limited to,	29989
the following factors, where applicable, in determining the	29990
employer's ability to meet all of the obligations imposed on the	29991
employer by this section:	29992

(a) The employer employs a minimum of five hundred employees	29993
in this state;	29994

(b) The employer has operated in this state for a minimum of	29995
two years, provided that an employer who has purchased, acquired,	29996
or otherwise succeeded to the operation of a business, or any part	29997
thereof, situated in this state that has operated for at least two	29998
years in this state, also shall qualify;	29999

(c) Where the employer previously contributed to the state	30000
insurance fund or is a successor employer as defined by bureau	30001
rules, the amount of the buyout, as defined by bureau rules;	30002

(d) The sufficiency of the employer's assets located in this	30003
state to insure the employer's solvency in paying compensation	30004
directly;	30005

(e) The financial records, documents, and data, certified by	30006
a certified public accountant, necessary to provide the employer's	30007
full financial disclosure. The records, documents, and data	30008
include, but are not limited to, balance sheets and profit and	30009
loss history for the current year and previous four years.	30010

(f) The employer's organizational plan for the administration	30011
of the workers' compensation law;	30012

(g) The employer's proposed plan to inform employees of the	30013
change from a state fund insurer to a self-insuring employer, the	30014
procedures the employer will follow as a self-insuring employer,	30015
and the employees' rights to compensation and benefits; and	30016

(h) The employer has either an account in a financial	30017
institution in this state, or if the employer maintains an account	30018
with a financial institution outside this state, ensures that	30019
workers' compensation checks are drawn from the same account as	30020
payroll checks or the employer clearly indicates that payment will	30021
be honored by a financial institution in this state.	30022

The administrator may waive the requirements of divisions	30023
(B)(1)(a) and (b) of this section and the requirement of division	30024
(B)(1)(e) of this section that the financial records, documents,	30025
and data be certified by a certified public accountant. The	30026
administrator shall adopt rules establishing the criteria that an	30027
employer shall meet in order for the administrator to waive the	30028
requirement of division (B)(1)(e) of this section. Such rules may	30029
require additional security of that employer pursuant to division	30030
(E) of section 4123.351 of the Revised Code.	30031

The administrator shall not grant the status of self-insuring	30032
employer to the state, except that the administrator may grant the	30033
status of self-insuring employer to a state institution of higher	30034
education, excluding its hospitals, that meets the requirements of	30035
division (B)(2) of this section.	30036

(2) When considering the application of a public employer,	30037
except for a board of county commissioners described in division	30038
(G) of section 4123.01 of the Revised Code, a board of a county	30039
hospital, or a publicly owned utility, the administrator shall	30040
verify that the public employer satisfies all of the following	30041
requirements as the requirements apply to that public employer:	30042

(a) For the two-year period preceding application under this	30043
section, the public employer has maintained an unvoted debt	30044
capacity equal to at least two times the amount of the current	30045
annual premium established by the administrator under this chapter	30046
for that public employer for the year immediately preceding the	30047
year in which the public employer makes application under this	30048
section.	30049

(b) For each of the two fiscal years preceding application	30050
under this section, the unreserved and undesignated year-end fund	30051
balance in the public employer's general fund is equal to at least	30052
five per cent of the public employer's general fund revenues for	30053
the fiscal year computed in accordance with generally accepted	30054
accounting principles.	30055

(c) For the five-year period preceding application under this	30056
section, the public employer, to the extent applicable, has	30057
complied fully with the continuing disclosure requirements	30058
established in rules adopted by the United States securities and	30059
exchange commission under 17 C.F.R. 240.15c 2-12.	30060

(d) For the five-year period preceding application under this	30061
section, the public employer has not had its local government or	30062
local communities fund distribution withheld on account of the	30063
public employer being indebted or otherwise obligated to the	30064
state.	30065

(e) For the five-year period preceding application under this	30066
section, the public employer has not been under a fiscal watch or	30067
fiscal emergency pursuant to section 118.023, 118.04, or 3316.03	30068
of the Revised Code.	30069

(f) For the public employer's fiscal year preceding	30070
application under this section, the public employer has obtained	30071
an annual financial audit as required under section 117.10 of the	30072
Revised Code, which has been released by the auditor of state	30073
within seven months after the end of the public employer's fiscal	30074
year.	30075

(g) On the date of application, the public employer holds a	30076
debt rating of Aa3 or higher according to Moody's investors	30077
service, inc., or a comparable rating by an independent rating	30078
agency similar to Moody's investors service, inc.	30079

(h) The public employer agrees to generate an annual	30080
accumulating book reserve in its financial statements reflecting	30081
an actuarially generated reserve adequate to pay projected claims	30082
under this chapter for the applicable period of time, as	30083
determined by the administrator.	30084

(i) For a public employer that is a hospital, the public	30085
employer shall submit audited financial statements showing the	30086
hospital's overall liquidity characteristics, and the	30087
administrator shall determine, on an individual basis, whether the	30088
public employer satisfies liquidity standards equivalent to the	30089
liquidity standards of other public employers.	30090

(j) Any additional criteria that the administrator adopts by	30091
rule pursuant to division (E) of this section.	30092

The administrator shall not approve the application of a	30093
public employer, except for a board of county commissioners	30094
described in division (G) of section 4123.01 of the Revised Code,	30095
a board of a county hospital, or publicly owned utility, who does	30096
not satisfy all of the requirements listed in division (B)(2) of	30097
this section.	30098

(C) A board of county commissioners described in division (G)	30099
of section 4123.01 of the Revised Code, as an employer, that will	30100
abide by the rules of the administrator and that may be of	30101
sufficient financial ability to render certain the payment of	30102
compensation to injured employees or the dependents of killed	30103
employees, and the furnishing of medical, surgical, nursing, and	30104
hospital attention and services and medicines, and funeral	30105
expenses, equal to or greater than is provided for in sections	30106
4123.52, 4123.55 to 4123.62, and 4123.64 to 4123.67 of the Revised	30107
Code, and that does not desire to insure the payment thereof or	30108
indemnify itself against loss sustained by the direct payment	30109
thereof, upon a finding of such facts by the administrator, may be	30110
granted the privilege to pay individually compensation, and	30111
furnish medical, surgical, nursing, and hospital services and	30112
attention and funeral expenses directly to injured employees or	30113
the dependents of killed employees, thereby being granted status	30114
as a self-insuring employer. The administrator may charge a board	30115
of county commissioners described in division (G) of section	30116
4123.01 of the Revised Code that applies for the status as a	30117
self-insuring employer a reasonable application fee to cover the	30118
bureau's costs in connection with processing and making a	30119
determination with respect to an application. All employers	30120
granted such status shall demonstrate sufficient financial and	30121
administrative ability to assure that all obligations under this	30122
section are promptly met. The administrator shall deny the	30123
privilege where the employer is unable to demonstrate the	30124
employer's ability to promptly meet all the obligations imposed on	30125
the employer by this section. The administrator shall consider,	30126
but is not limited to, the following factors, where applicable, in	30127
determining the employer's ability to meet all of the obligations	30128
imposed on the board as an employer by this section:	30129

(1) The board as an employer employs a minimum of five	30130
hundred employees in this state;	30131

(2) The board has operated in this state for a minimum of two	30132
years;	30133

(3) Where the board previously contributed to the state	30134
insurance fund or is a successor employer as defined by bureau	30135
rules, the amount of the buyout, as defined by bureau rules;	30136

(4) The sufficiency of the board's assets located in this	30137
state to insure the board's solvency in paying compensation	30138
directly;	30139

(5) The financial records, documents, and data, certified by	30140
a certified public accountant, necessary to provide the board's	30141
full financial disclosure. The records, documents, and data	30142
include, but are not limited to, balance sheets and profit and	30143
loss history for the current year and previous four years.	30144

(6) The board's organizational plan for the administration of	30145
the workers' compensation law;	30146

(7) The board's proposed plan to inform employees of the	30147
proposed self-insurance, the procedures the board will follow as a	30148
self-insuring employer, and the employees' rights to compensation	30149
and benefits;	30150

(8) The board has either an account in a financial	30151
institution in this state, or if the board maintains an account	30152
with a financial institution outside this state, ensures that	30153
workers' compensation checks are drawn from the same account as	30154
payroll checks or the board clearly indicates that payment will be	30155
honored by a financial institution in this state;	30156

(9) The board shall provide the administrator a surety bond	30157
in an amount equal to one hundred twenty-five per cent of the	30158
projected losses as determined by the administrator.	30159

(D) The administrator shall require a surety bond from all	30160
self-insuring employers, issued pursuant to section 4123.351 of	30161
the Revised Code, that is sufficient to compel, or secure to	30162
injured employees, or to the dependents of employees killed, the	30163
payment of compensation and expenses, which shall in no event be	30164
less than that paid or furnished out of the state insurance fund	30165
in similar cases to injured employees or to dependents of killed	30166
employees whose employers contribute to the fund, except when an	30167
employee of the employer, who has suffered the loss of a hand,	30168
arm, foot, leg, or eye prior to the injury for which compensation	30169
is to be paid, and thereafter suffers the loss of any other of the	30170
members as the result of any injury sustained in the course of and	30171
arising out of the employee's employment, the compensation to be	30172
paid by the self-insuring employer is limited to the disability	30173
suffered in the subsequent injury, additional compensation, if	30174
any, to be paid by the bureau out of the surplus created by	30175
section 4123.34 of the Revised Code.	30176

(E) In addition to the requirements of this section, the	30177
administrator shall make and publish rules governing the manner of	30178
making application and the nature and extent of the proof required	30179
to justify a finding of fact by the administrator as to granting	30180
the status of a self-insuring employer, which rules shall be	30181
general in their application, one of which rules shall provide	30182
that all self-insuring employers shall pay into the state	30183
insurance fund such amounts as are required to be credited to the	30184
surplus fund in division (B) of section 4123.34 of the Revised	30185
Code. The administrator may adopt rules establishing requirements	30186
in addition to the requirements described in division (B)(2) of	30187
this section that a public employer shall meet in order to qualify	30188
for self-insuring status.	30189

Employers shall secure directly from the bureau central	30190
offices application forms upon which the bureau shall stamp a	30191
designating number. Prior to submission of an application, an	30192
employer shall make available to the bureau, and the bureau shall	30193
review, the information described in division (B)(1) of this	30194
section, and public employers shall make available, and the bureau	30195
shall review, the information necessary to verify whether the	30196
public employer meets the requirements listed in division (B)(2)	30197
of this section. An employer shall file the completed application	30198
forms with an application fee, which shall cover the costs of	30199
processing the application, as established by the administrator,	30200
by rule, with the bureau at least ninety days prior to the	30201
effective date of the employer's new status as a self-insuring	30202
employer. The application form is not deemed complete until all	30203
the required information is attached thereto. The bureau shall	30204
only accept applications that contain the required information.	30205

(F) The bureau shall review completed applications within a	30206
reasonable time. If the bureau determines to grant an employer the	30207
status as a self-insuring employer, the bureau shall issue a	30208
statement, containing its findings of fact, that is prepared by	30209
the bureau and signed by the administrator. If the bureau	30210
determines not to grant the status as a self-insuring employer,	30211
the bureau shall notify the employer of the determination and	30212
require the employer to continue to pay its full premium into the	30213
state insurance fund. The administrator also shall adopt rules	30214
establishing a minimum level of performance as a criterion for	30215
granting and maintaining the status as a self-insuring employer	30216
and fixing time limits beyond which failure of the self-insuring	30217
employer to provide for the necessary medical examinations and	30218
evaluations may not delay a decision on a claim.	30219

(G) The administrator shall adopt rules setting forth	30220
procedures for auditing the program of self-insuring employers.	30221
The bureau shall conduct the audit upon a random basis or whenever	30222
the bureau has grounds for believing that a self-insuring employer	30223
is not in full compliance with bureau rules or this chapter.	30224

The administrator shall monitor the programs conducted by	30225
self-insuring employers, to ensure compliance with bureau	30226
requirements and for that purpose, shall develop and issue to	30227
self-insuring employers standardized forms for use by the	30228
self-insuring employer in all aspects of the self-insuring	30229
employers' direct compensation program and for reporting of	30230
information to the bureau.	30231

The bureau shall receive and transmit to the self-insuring	30232
employer all complaints concerning any self-insuring employer. In	30233
the case of a complaint against a self-insuring employer, the	30234
administrator shall handle the complaint through the	30235
self-insurance division of the bureau. The bureau shall maintain a	30236
file by employer of all complaints received that relate to the	30237
employer. The bureau shall evaluate each complaint and take	30238
appropriate action.	30239

The administrator shall adopt as a rule a prohibition against	30240
any self-insuring employer from harassing, dismissing, or	30241
otherwise disciplining any employee making a complaint, which rule	30242
shall provide for a financial penalty to be levied by the	30243
administrator payable by the offending self-insuring employer.	30244

(H) For the purpose of making determinations as to whether to	30245
grant status as a self-insuring employer, the administrator may	30246
subscribe to and pay for a credit reporting service that offers	30247
financial and other business information about individual	30248
employers. The costs in connection with the bureau's subscription	30249
or individual reports from the service about an applicant may be	30250
included in the application fee charged employers under this	30251
section.	30252

(I) The administrator, notwithstanding other provisions of	30253
this chapter, may permit a self-insuring employer to resume	30254
payment of premiums to the state insurance fund with appropriate	30255
credit modifications to the employer's basic premium rate as such	30256
rate is determined pursuant to section 4123.29 of the Revised	30257
Code.	30258

(J) On the first day of July of each year, the administrator	30259
shall calculate separately each self-insuring employer's	30260
assessments for the safety and hygiene fund, administrative costs	30261
pursuant to section 4123.342 of the Revised Code, and for the	30262
portion of the surplus fund under division (B) of section 4123.34	30263
of the Revised Code that is not used for handicapped	30264
reimbursement, on the basis of the paid compensation attributable	30265
to the individual self-insuring employer according to the	30266
following calculation:	30267

(1) The total assessment against all self-insuring employers	30268
as a class for each fund and for the administrative costs for the	30269
year that the assessment is being made, as determined by the	30270
administrator, divided by the total amount of paid compensation	30271
for the previous calendar year attributable to all amenable	30272
self-insuring employers;	30273

(2) Multiply the quotient in division (J)(1) of this section	30274
by the total amount of paid compensation for the previous calendar	30275
year that is attributable to the individual self-insuring employer	30276
for whom the assessment is being determined. Each self-insuring	30277
employer shall pay the assessment that results from this	30278
calculation, unless the assessment resulting from this calculation	30279
falls below a minimum assessment, which minimum assessment the	30280
administrator shall determine on the first day of July of each	30281
year with the advice and consent of the workers' compensation	30282
oversight commission, in which event, the self-insuring employer	30283
shall pay the minimum assessment.	30284

In determining the total amount due for the total assessment	30285
against all self-insuring employers as a class for each fund and	30286
the administrative assessment, the administrator shall reduce	30287
proportionately the total for each fund and assessment by the	30288
amount of money in the self-insurance assessment fund as of the	30289
date of the computation of the assessment.	30290

The administrator shall calculate the assessment for the	30291
portion of the surplus fund under division (B) of section 4123.34	30292
of the Revised Code that is used for handicapped reimbursement in	30293
the same manner as set forth in divisions (J)(1) and (2) of this	30294
section except that the administrator shall calculate the total	30295
assessment for this portion of the surplus fund only on the basis	30296
of those self-insuring employers that retain participation in the	30297
handicapped reimbursement program and the individual self-insuring	30298
employer's proportion of paid compensation shall be calculated	30299
only for those self-insuring employers who retain participation in	30300
the handicapped reimbursement program. The administrator, as the	30301
administrator determines appropriate, may determine the total	30302
assessment for the handicapped portion of the surplus fund in	30303
accordance with sound actuarial principles.	30304

The administrator shall calculate the assessment for the	30305
portion of the surplus fund under division (B) of section 4123.34	30306
of the Revised Code that under division (D) of section 4121.66 of	30307
the Revised Code is used for rehabilitation costs in the same	30308
manner as set forth in divisions (J)(1) and (2) of this section,	30309
except that the administrator shall calculate the total assessment	30310
for this portion of the surplus fund only on the basis of those	30311
self-insuring employers who have not made the election to make	30312
payments directly under division (D) of section 4121.66 of the	30313
Revised Code and an individual self-insuring employer's proportion	30314
of paid compensation only for those self-insuring employers who	30315
have not made that election.	30316

The administrator shall calculate the assessment for the	30317
portion of the surplus fund under division (B) of section 4123.34	30318
of the Revised Code that is used for reimbursement to a	30319
self-insuring employer under division (H) of section 4123.512 of	30320
the Revised Code in the same manner as set forth in divisions	30321
(J)(1) and (2) of this section except that the administrator shall	30322
calculate the total assessment for this portion of the surplus	30323
fund only on the basis of those self-insuring employers that	30324
retain participation in reimbursement to the self-insuring	30325
employer under division (H) of section 4123.512 of the Revised	30326
Code and the individual self-insuring employer's proportion of	30327
paid compensation shall be calculated only for those self-insuring	30328
employers who retain participation in reimbursement to the	30329
self-insuring employer under division (H) of section 4123.512 of	30330
the Revised Code.	30331

An employer who no longer is a self-insuring employer in this	30332
state or who no longer is operating in this state, shall continue	30333
to pay assessments for administrative costs and for the portion of	30334
the surplus fund under division (B) of section 4123.34 of the	30335
Revised Code that is not used for handicapped reimbursement, based	30336
upon paid compensation attributable to claims that occurred while	30337
the employer was a self-insuring employer within this state.	30338

(K) There is hereby created in the state treasury the	30339
self-insurance assessment fund. All investment earnings of the	30340
fund shall be deposited in the fund. The administrator shall use	30341
the money in the self-insurance assessment fund only for	30342
administrative costs as specified in section 4123.341 of the	30343
Revised Code.	30344

(L) Every self-insuring employer shall certify, in affidavit	30345
form subject to the penalty for perjury, to the bureau the amount	30346
of the self-insuring employer's paid compensation for the previous	30347
calendar year. In reporting paid compensation paid for the	30348
previous year, a self-insuring employer shall exclude from the	30349
total amount of paid compensation any reimbursement the	30350
self-insuring employer receives in the previous calendar year from	30351
the surplus fund pursuant to section 4123.512 of the Revised Code	30352
for any paid compensation. The self-insuring employer also shall	30353
exclude from the paid compensation reported any amount recovered	30354
under section 4123.931 of the Revised Code and any amount that is	30355
determined not to have been payable to or on behalf of a claimant	30356
in any final administrative or judicial proceeding. The	30357
self-insuring employer shall exclude such amounts from the paid	30358
compensation reported in the reporting period subsequent to the	30359
date the determination is made. The administrator shall adopt	30360
rules, in accordance with Chapter 119. of the Revised Code, that	30361
provide for all of the following:	30362

(1) Establishing the date by which self-insuring employers	30363
must submit such information and the amount of the assessments	30364
provided for in division (J) of this section for employers who	30365
have been granted self-insuring status within the last calendar	30366
year;	30367

(2) If an employer fails to pay the assessment when due, the	30368
administrator may add a late fee penalty of not more than five	30369
hundred dollars to the assessment plus an additional penalty	30370
amount as follows:	30371

(a) For an assessment from sixty-one to ninety days past due,	30372
the prime interest rate, multiplied by the assessment due;	30373

(b) For an assessment from ninety-one to one hundred twenty	30374
days past due, the prime interest rate plus two per cent,	30375
multiplied by the assessment due;	30376

(c) For an assessment from one hundred twenty-one to one	30377
hundred fifty days past due, the prime interest rate plus four per	30378
cent, multiplied by the assessment due;	30379

(d) For an assessment from one hundred fifty-one to one	30380
hundred eighty days past due, the prime interest rate plus six per	30381
cent, multiplied by the assessment due;	30382

(e) For an assessment from one hundred eighty-one to two	30383
hundred ten days past due, the prime interest rate plus eight per	30384
cent, multiplied by the assessment due;	30385

(f) For each additional thirty-day period or portion thereof	30386
that an assessment remains past due after it has remained past due	30387
for more than two hundred ten days, the prime interest rate plus	30388
eight per cent, multiplied by the assessment due.	30389

(3) An employer may appeal a late fee penalty and penalty	30390
assessment to the administrator.	30391

For purposes of this division, "prime interest rate" means	30392
the average bank prime rate, and the administrator shall determine	30393
the prime interest rate in the same manner as a county auditor	30394
determines the average bank prime rate under section 929.02 of the	30395
Revised Code.	30396

The administrator shall include any assessment and penalties	30397
that remain unpaid for previous assessment periods in the	30398
calculation and collection of any assessments due under this	30399
division or division (J) of this section.	30400

(M) As used in this section, "paid compensation" means all	30401
amounts paid by a self-insuring employer for living maintenance	30402
benefits, all amounts for compensation paid pursuant to sections	30403
4121.63, 4121.67, 4123.56, 4123.57, 4123.58, 4123.59, 4123.60, and	30404
4123.64 of the Revised Code, all amounts paid as wages in lieu of	30405
such compensation, all amounts paid in lieu of such compensation	30406
under a nonoccupational accident and sickness program fully funded	30407
by the self-insuring employer, and all amounts paid by a	30408
self-insuring employer for a violation of a specific safety	30409
standard pursuant to Section 35 of Article II, Ohio Constitution	30410
and section 4121.47 of the Revised Code.	30411

(N) Should any section of this chapter or Chapter 4121. of	30412
the Revised Code providing for self-insuring employers'	30413
assessments based upon compensation paid be declared	30414
unconstitutional by a final decision of any court, then that	30415
section of the Revised Code declared unconstitutional shall revert	30416
back to the section in existence prior to November 3, 1989,	30417
providing for assessments based upon payroll.	30418

(O) The administrator may grant a self-insuring employer the	30419
privilege to self-insure a construction project entered into by	30420
the self-insuring employer that is scheduled for completion within	30421
six years after the date the project begins, and the total cost of	30422
which is estimated to exceed one hundred million dollars or, for	30423
employers described in division (R) of this section, if the	30424
construction project is estimated to exceed twenty-five million	30425
dollars. The administrator may waive such cost and time criteria	30426
and grant a self-insuring employer the privilege to self-insure a	30427
construction project regardless of the time needed to complete the	30428
construction project and provided that the cost of the	30429
construction project is estimated to exceed fifty million dollars.	30430
A self-insuring employer who desires to self-insure a construction	30431
project shall submit to the administrator an application listing	30432
the dates the construction project is scheduled to begin and end,	30433
the estimated cost of the construction project, the contractors	30434
and subcontractors whose employees are to be self-insured by the	30435
self-insuring employer, the provisions of a safety program that is	30436
specifically designed for the construction project, and a	30437
statement as to whether a collective bargaining agreement	30438
governing the rights, duties, and obligations of each of the	30439
parties to the agreement with respect to the construction project	30440
exists between the self-insuring employer and a labor	30441
organization.	30442

A self-insuring employer may apply to self-insure the	30443
employees of either of the following:	30444

(1) All contractors and subcontractors who perform labor or	30445
work or provide materials for the construction project;	30446

(2) All contractors and, at the administrator's discretion, a	30447
substantial number of all the subcontractors who perform labor or	30448
work or provide materials for the construction project.	30449

Upon approval of the application, the administrator shall	30450
mail a certificate granting the privilege to self-insure the	30451
construction project to the self-insuring employer. The	30452
certificate shall contain the name of the self-insuring employer	30453
and the name, address, and telephone number of the self-insuring	30454
employer's representatives who are responsible for administering	30455
workers' compensation claims for the construction project. The	30456
self-insuring employer shall post the certificate in a conspicuous	30457
place at the site of the construction project.	30458

The administrator shall maintain a record of the contractors	30459
and subcontractors whose employees are covered under the	30460
certificate issued to the self-insured employer. A self-insuring	30461
employer immediately shall notify the administrator when any	30462
contractor or subcontractor is added or eliminated from inclusion	30463
under the certificate.	30464

Upon approval of the application, the self-insuring employer	30465
is responsible for the administration and payment of all claims	30466
under this chapter and Chapter 4121. of the Revised Code for the	30467
employees of the contractor and subcontractors covered under the	30468
certificate who receive injuries or are killed in the course of	30469
and arising out of employment on the construction project, or who	30470
contract an occupational disease in the course of employment on	30471
the construction project. For purposes of this chapter and Chapter	30472
4121. of the Revised Code, a claim that is administered and paid	30473
in accordance with this division is considered a claim against the	30474
self-insuring employer listed in the certificate. A contractor or	30475
subcontractor included under the certificate shall report to the	30476
self-insuring employer listed in the certificate, all claims that	30477
arise under this chapter and Chapter 4121. of the Revised Code in	30478
connection with the construction project for which the certificate	30479
is issued.	30480

A self-insuring employer who complies with this division is	30481
entitled to the protections provided under this chapter and	30482
Chapter 4121. of the Revised Code with respect to the employees of	30483
the contractors and subcontractors covered under a certificate	30484
issued under this division for death or injuries that arise out	30485
of, or death, injuries, or occupational diseases that arise in the	30486
course of, those employees' employment on that construction	30487
project, as if the employees were employees of the self-insuring	30488
employer, provided that the self-insuring employer also complies	30489
with this section. No employee of the contractors and	30490
subcontractors covered under a certificate issued under this	30491
division shall be considered the employee of the self-insuring	30492
employer listed in that certificate for any purposes other than	30493
this chapter and Chapter 4121. of the Revised Code. Nothing in	30494
this division gives a self-insuring employer authority to control	30495
the means, manner, or method of employment of the employees of the	30496
contractors and subcontractors covered under a certificate issued	30497
under this division.	30498

The contractors and subcontractors included under a	30499
certificate issued under this division are entitled to the	30500
protections provided under this chapter and Chapter 4121. of the	30501
Revised Code with respect to the contractor's or subcontractor's	30502
employees who are employed on the construction project which is	30503
the subject of the certificate, for death or injuries that arise	30504
out of, or death, injuries, or occupational diseases that arise in	30505
the course of, those employees' employment on that construction	30506
project.	30507

The contractors and subcontractors included under a	30508
certificate issued under this division shall identify in their	30509
payroll records the employees who are considered the employees of	30510
the self-insuring employer listed in that certificate for purposes	30511
of this chapter and Chapter 4121. of the Revised Code, and the	30512
amount that those employees earned for employment on the	30513
construction project that is the subject of that certificate.	30514
Notwithstanding any provision to the contrary under this chapter	30515
and Chapter 4121. of the Revised Code, the administrator shall	30516
exclude the payroll that is reported for employees who are	30517
considered the employees of the self-insuring employer listed in	30518
that certificate, and that the employees earned for employment on	30519
the construction project that is the subject of that certificate,	30520
when determining those contractors' or subcontractors' premiums or	30521
assessments required under this chapter and Chapter 4121. of the	30522
Revised Code. A self-insuring employer issued a certificate under	30523
this division shall include in the amount of paid compensation it	30524
reports pursuant to division (L) of this section, the amount of	30525
paid compensation the self-insuring employer paid pursuant to this	30526
division for the previous calendar year.	30527

Nothing in this division shall be construed as altering the	30528
rights of employees under this chapter and Chapter 4121. of the	30529
Revised Code as those rights existed prior to September 17, 1996.	30530
Nothing in this division shall be construed as altering the rights	30531
devolved under sections 2305.31 and 4123.82 of the Revised Code as	30532
those rights existed prior to September 17, 1996.	30533

As used in this division, "privilege to self-insure a	30534
construction project" means privilege to pay individually	30535
compensation, and to furnish medical, surgical, nursing, and	30536
hospital services and attention and funeral expenses directly to	30537
injured employees or the dependents of killed employees.	30538

(P) A self-insuring employer whose application is granted	30539
under division (O) of this section shall designate a safety	30540
professional to be responsible for the administration and	30541
enforcement of the safety program that is specifically designed	30542
for the construction project that is the subject of the	30543
application.	30544

A self-insuring employer whose application is granted under	30545
division (O) of this section shall employ an ombudsperson for the	30546
construction project that is the subject of the application. The	30547
ombudsperson shall have experience in workers' compensation or the	30548
construction industry, or both. The ombudsperson shall perform all	30549
of the following duties:	30550

(1) Communicate with and provide information to employees who	30551
are injured in the course of, or whose injury arises out of	30552
employment on the construction project, or who contract an	30553
occupational disease in the course of employment on the	30554
construction project;	30555

(2) Investigate the status of a claim upon the request of an	30556
employee to do so;	30557

(3) Provide information to claimants, third party	30558
administrators, employers, and other persons to assist those	30559
persons in protecting their rights under this chapter and Chapter	30560
4121. of the Revised Code.	30561

A self-insuring employer whose application is granted under	30562
division (O) of this section shall post the name of the safety	30563
professional and the ombudsperson and instructions for contacting	30564
the safety professional and the ombudsperson in a conspicuous	30565
place at the site of the construction project.	30566

(Q) The administrator may consider all of the following when	30567
deciding whether to grant a self-insuring employer the privilege	30568
to self-insure a construction project as provided under division	30569
(O) of this section:	30570

(1) Whether the self-insuring employer has an organizational	30571
plan for the administration of the workers' compensation law;	30572

(2) Whether the safety program that is specifically designed	30573
for the construction project provides for the safety of employees	30574
employed on the construction project, is applicable to all	30575
contractors and subcontractors who perform labor or work or	30576
provide materials for the construction project, and has as a	30577
component, a safety training program that complies with standards	30578
adopted pursuant to the "Occupational Safety and Health Act of	30579
1970," 84 Stat. 1590, 29 U.S.C.A. 651, and provides for continuing	30580
management and employee involvement;	30581

(3) Whether granting the privilege to self-insure the	30582
construction project will reduce the costs of the construction	30583
project;	30584

(4) Whether the self-insuring employer has employed an	30585
ombudsperson as required under division (P) of this section;	30586

(5) Whether the self-insuring employer has sufficient surety	30587
to secure the payment of claims for which the self-insuring	30588
employer would be responsible pursuant to the granting of the	30589
privilege to self-insure a construction project under division (O)	30590
of this section.	30591

(R) As used in divisions (O), (P), and (Q), "self-insuring	30592
employer" includes the following employers, whether or not they	30593
have been granted the status of being a self-insuring employer	30594
under division (B) of this section:	30595

(1) A state institution of higher education;

30596

(2) A school district;

30597

(3) A county school financing district;

30598

(4) An educational service center;

30599

(5) A community school established under Chapter 3314. of the	30600
Revised Code.	30601

(S) As used in this section:

30602

(1) "Unvoted debt capacity" means the amount of money that a	30603
public employer may borrow without voter approval of a tax levy;	30604

(2) "State institution of higher education" means the state	30605
universities listed in section 3345.011 of the Revised Code,	30606
community colleges created pursuant to Chapter 3354. of the	30607
Revised Code, university branches created pursuant to Chapter	30608
3355. of the Revised Code, technical colleges created pursuant to	30609
Chapter 3357. of the Revised Code, and state community colleges	30610
created pursuant to Chapter 3358. of the Revised Code.	30611

Sec. 4141.09.  (A) There is hereby created an unemployment	30612
compensation fund to be administered by the state without	30613
liability on the part of the state beyond the amounts paid into	30614
the fund and earned by the fund. The unemployment compensation	30615
fund shall consist of all contributions, payments in lieu of	30616
contributions described in sections 4141.241 and 4141.242 of the	30617
Revised Code, reimbursements of the federal share of extended	30618
benefits described in section 4141.301 of the Revised Code,	30619
collected under sections 4141.01 to 4141.46 of the Revised Code,	30620
together with all interest earned upon any moneys deposited with	30621
the secretary of the treasury of the United States to the credit	30622
of the account of this state in the unemployment trust fund	30623
established and maintained pursuant to section 904 of the "Social	30624
Security Act," any property or securities acquired through the use	30625
of moneys belonging to the fund, and all earnings of such property	30626
or securities. The unemployment compensation fund shall be used to	30627
pay benefits and refunds as provided by such sections and for no	30628
other purpose.	30629

(B) The treasurer of state shall be the custodian of the	30630
unemployment compensation fund and shall administer such fund in	30631
accordance with the directions of the director of job and family	30632
services. All disbursements therefrom shall be paid by the	30633
treasurer of state on warrants drawn by the director. Such	30634
warrants may bear the facsimile signature of the director printed	30635
thereon and that of a deputy or other employee of the director	30636
charged with the duty of keeping the account of the unemployment	30637
compensation fund and with the preparation of warrants for the	30638
payment of benefits to the persons entitled thereto. Moneys in the	30639
clearing and benefit accounts shall not be commingled with other	30640
state funds, except as provided in division (C) of this section,	30641
but shall be maintained in separate accounts on the books of the	30642
depositary bank. Such money shall be secured by the depositary	30643
bank to the same extent and in the same manner as required by	30644
sections 135.01 to 135.21 of the Revised Code; and collateral	30645
pledged for this purpose shall be kept separate and distinct from	30646
any collateral pledged to secure other funds of this state. All	30647
sums recovered for losses sustained by the unemployment	30648
compensation fund shall be deposited therein. The treasurer of	30649
state shall be liable on the treasurer's official bond for the	30650
faithful performance of the treasurer's duties in connection with	30651
the unemployment compensation fund, such liability to exist in	30652
addition to any liability upon any separate bond.	30653

(C) The treasurer of state shall maintain within the	30654
unemployment compensation fund three separate accounts which shall	30655
be a clearing account, an unemploymenta trust fund account, and a	30656
benefit account. All moneys payable to the unemployment	30657
compensation fund, upon receipt thereof by the director, shall be	30658
forwarded to the treasurer of state, who shall immediately deposit	30659
them in the clearing account. Refunds of contributions, or	30660
payments in lieu of contributions, payable pursuant to division	30661
(E) of this section may be paid from the clearing account upon	30662
warrants signed by a deputy or other employee of the director	30663
charged with the duty of keeping the record of the clearing	30664
account and with the preparation of warrants for the payment of	30665
refunds to persons entitled thereto. After clearance thereof, all	30666
moneys in the clearing account shall be deposited with the	30667
secretary of the treasury of the United States to the credit of	30668
the account of this state in the unemployment trust fund	30669
established and maintained pursuant to section 904 of the "Social	30670
Security Act," in accordance with requirements of the "Federal	30671
Unemployment Tax Act," 53 Stat. 183 (1939), 26 U.S.C.A. 3301,	30672
3304(a)(3), any law in this state relating to the deposit,	30673
administration, release, or disbursement of moneys in the	30674
possession or custody of this state to the contrary	30675
notwithstanding. The benefit account shall consist of all moneys	30676
requisitioned from this state's account in the unemployment trust	30677
fund. Federal funds, other than funds received by the director	30678
under divisions (I) and (J) of this section, received for payment	30679
of federal benefits may be deposited, at the director's	30680
discretion, into the benefit account. Any funds deposited into the	30681
benefit account shall be disbursed solely for payment of benefits	30682
under a federal program administered by this state. Moneys so	30683
requisitioned shall be used solely for the payment of benefits and	30684
for no other purpose. Moneys in the clearing and benefit accounts	30685
may be deposited by the treasurer of state, under the direction of	30686
the director, in any bank or public depositary in which general	30687
funds of the state may be deposited, but no public deposit	30688
insurance charge or premium shall be paid out of the fund.	30689

(D) Moneys shall be requisitioned from this state's account	30690
in the unemployment trust fund solely for the payment of benefits	30691
and in accordance with regulations prescribed by the director. The	30692
director shall requisition from the unemployment trust fund such	30693
amounts, not exceeding the amount standing to this state's account	30694
therein, as are deemed necessary for the payment of benefits for a	30695
reasonable future period. Upon receipt thereof, the treasurer of	30696
state shall deposit such moneys in the benefit account.	30697
Expenditures of such money in the benefit account and refunds from	30698
the clearing account shall not require specific appropriations or	30699
other formal release by state officers of money in their custody.	30700
Any balance of moneys requisitioned from the unemployment trust	30701
fund which remains unclaimed or unpaid in the benefit account	30702
after the expiration of the period for which such sums were	30703
requisitioned shall either be deducted from estimates for and may	30704
be utilized for the payment of benefits during succeeding periods,	30705
or, in the discretion of the director, shall be redeposited with	30706
the secretary of the treasury of the United States to the credit	30707
of this state's account in the unemployment trust fund, as	30708
provided in division (C) of this section. Unclaimed or unpaid	30709
federal funds redeposited with the secretary of the treasury of	30710
the United States shall be credited to the appropriate federal	30711
account.	30712

(E) No claim for an adjustment or a refund on contribution,	30713
payment in lieu of contributions, interest, or forfeiture alleged	30714
to have been erroneously or illegally assessed or collected, or	30715
alleged to have been collected without authority, and no claim for	30716
an adjustment or a refund of any sum alleged to have been	30717
excessive or in any manner wrongfully collected shall be allowed	30718
unless an application, in writing, therefor is made within four	30719
years from the date on which such payment was made. If the	30720
director determines that such contribution, payment in lieu of	30721
contributions, interest, or forfeiture, or any portion thereof,	30722
was erroneously collected, the director shall allow such employer	30723
to make an adjustment thereof without interest in connection with	30724
subsequent contribution payments, or payments in lieu of	30725
contributions, by the employer, or the director may refund said	30726
amount, without interest, from the clearing account of the	30727
unemployment compensation fund, except as provided in division (B)	30728
of section 4141.11 of the Revised Code. For like cause and within	30729
the same period, adjustment or refund may be so made on the	30730
director's own initiative. An overpayment of contribution, payment	30731
in lieu of contributions, interest, or forfeiture for which an	30732
employer has not made application for refund prior to the date of	30733
sale of the employer's business shall accrue to the employer's	30734
successor in interest.	30735

An application for an adjustment or a refund, or any portion	30736
thereof, that is rejected is binding upon the employer unless,	30737
within thirty days after the mailing of a written notice of	30738
rejection to the employer's last known address, or, in the absence	30739
of mailing of such notice, within thirty days after the delivery	30740
of such notice, the employer files an application for a review and	30741
redetermination setting forth the reasons therefor. The director	30742
shall promptly examine the application for review and	30743
redetermination, and if a review is granted, the employer shall be	30744
promptly notified thereof, and shall be granted an opportunity for	30745
a prompt hearing.	30746

(F) If the director finds that contributions have been paid	30747
to the director in error, and that such contributions should have	30748
been paid to a department of another state or of the United States	30749
charged with the administration of an unemployment compensation	30750
law, the director may upon request by such department or upon the	30751
director's own initiative transfer to such department the amount	30752
of such contributions, less any benefits paid to claimants whose	30753
wages were the basis for such contributions. The director may	30754
request and receive from such department any contributions or	30755
adjusted contributions paid in error to such department which	30756
should have been paid to the director.	30757

(G) In accordance with section 303(c)(3) of the Social	30758
Security Act, and section 3304(a)(17) of the Internal Revenue Code	30759
of 1954 for continuing certification of Ohio unemployment	30760
compensation laws for administrative grants and for tax credits,	30761
any interest required to be paid on advances under Title XII of	30762
the Social Security Act shall be paid in a timely manner and shall	30763
not be paid, directly or indirectly, by an equivalent reduction in	30764
the Ohio unemployment taxes or otherwise, by the state from	30765
amounts in the unemployment compensation fund.	30766

(H) The treasurer of state, under the direction of the	30767
director and in accordance with the "Cash Management Improvement	30768
Act of 1990," 104 Stat. 1061, 31 U.S.C.A. 335, 6503, shall deposit	30769
amounts of interest earned by the state on funds in the benefit	30770
account established pursuant to division (C) of this section into	30771
the department of job and family services banking fees fund, which	30772
is hereby created in the state treasury for the purpose of paying	30773
related banking costs incurred by the state for the period for	30774
which the interest is calculated, except that if the deposited	30775
interest exceeds the banking costs incurred by the state for the	30776
period for which the interest is calculated, the treasurer of	30777
state shall deposit the excess interest into the unemployment	30778
trust fund.	30779

(I) The treasurer of state, under the direction of the	30780
director, shall deposit federal funds received by the director for	30781
the payment of benefits, job search, relocation, transportation,	30782
and subsistence allowances pursuant to the "Trade Act of 1974," 88	30783
Stat. 1978, 19 U.S.C.A. 2101, as amended; the "North American Free	30784
Trade Implementation Act of 1993," 107 Stat. 2057, 19 U.S.C.A.	30785
3301, as amended; and the "Trade Act of 2002," 116 Stat. 993, 19	30786
U.S.C.A. 3801, as amended, into the Trade Act benefit account,	30787
which is hereby created for the purpose of making payments	30788
specified under those acts.	30789

(J) The treasurer of state, under the direction of the	30790
director, shall deposit federal funds received by the director for	30791
training and administration and for payment of benefits, job	30792
search, relocation, transportation, and subsistence allowances	30793
pursuant to the "Trade Act of 1974," 88 Stat. 1978, 19 U.S.C.A.	30794
2101, as amended; the "North American Free Trade Agreement	30795
Implementation Act," 107 Stat. 2057 (1993), 19 U.S.C.A. 3301, as	30796
amended; and the "Trade Act of 2002," 116 Stat. 993, 19 U.S.C.A.	30797
3801, as amended, into the Trade Act training and administration	30798
account, which is hereby created for the purpose of making	30799
payments specified under those acts. The treasurer of state, under	30800
the direction of the director, may transfer funds from the Trade	30801
Act training and administration account to the benefit account for	30802
the purpose of making any payments directly to claimants for	30803
benefits, job search, relocation, transportation, and subsistence	30804
allowances, as specified by those acts.	30805

Sec. 4301.43.  (A) As used in sections 4301.43 to 4301.50 of	30806
the Revised Code:	30807

(1) "Gallon" or "wine gallon" means one hundred twenty-eight	30808
fluid ounces.	30809

(2) "Sale" or "sell" includes exchange, barter, gift,	30810
distribution, and, except with respect to A-4 permit holders,	30811
offer for sale.	30812

(B) For the purposes of providing revenues for the support of	30813
the state and encouraging the grape industries in the state, a tax	30814
is hereby levied on the sale or distribution of wine in Ohio,	30815
except for known sacramental purposes, at the rate of thirty cents	30816
per wine gallon for wine containing not less than four per cent of	30817
alcohol by volume and not more than fourteen per cent of alcohol	30818
by volume, ninety-eight cents per wine gallon for wine containing	30819
more than fourteen per cent but not more than twenty-one per cent	30820
of alcohol by volume, one dollar and eight cents per wine gallon	30821
for vermouth, and one dollar and forty-eight cents per wine gallon	30822
for sparkling and carbonated wine and champagne, the tax to be	30823
paid by the holders of A-2 and B-5 permits or by any other person	30824
selling or distributing wine upon which no tax has been paid. From	30825
the tax paid under this section on wine, vermouth, and sparkling	30826
and carbonated wine and champagne, the treasurer of state shall	30827
credit to the Ohio grape industries fund created under section	30828
924.54 of the Revised Code a sum equal to one cent per gallon for	30829
each gallon upon which the tax is paid.	30830

(C) For the purpose of providing revenues for the support of	30831
the state, there is hereby levied a tax on prepared and bottled	30832
highballs, cocktails, cordials, and other mixed beverages at the	30833
rate of one dollar and twenty cents per wine gallon to be paid by	30834
holders of A-4 permits or by any other person selling or	30835
distributing those products upon which no tax has been paid. Only	30836
one sale of the same article shall be used in computing the amount	30837
of tax due. The tax on mixed beverages to be paid by holders of	30838
A-4 permits under this section shall not attach until the	30839
ownership of the mixed beverage is transferred for valuable	30840
consideration to a wholesaler or retailer, and no payment of the	30841
tax shall be required prior to that time.	30842

(D) During the period of July 1, 20052007, through June 30,	30843
20072009, from the tax paid under this section on wine, vermouth,	30844
and sparkling and carbonated wine and champagne, the treasurer of	30845
state shall credit to the Ohio grape industries fund created under	30846
section 924.54 of the Revised Code a sum equal to two cents per	30847
gallon upon which the tax is paid. The amount credited under this	30848
division is in addition to the amount credited to the Ohio grape	30849
industries fund under division (B) of this section.	30850

(E) For the purpose of providing revenues for the support of	30851
the state, there is hereby levied a tax on cider at the rate of	30852
twenty-four cents per wine gallon to be paid by the holders of A-2	30853
and B-5 permits or by any other person selling or distributing	30854
cider upon which no tax has been paid. Only one sale of the same	30855
article shall be used in computing the amount of the tax due.	30856

Sec. 4503.06.  (A) The owner of each manufactured or mobile	30857
home that has acquired situs in this state shall pay either a real	30858
property tax pursuant to Title LVII of the Revised Code or a	30859
manufactured home tax pursuant to division (C) of this section.	30860

(B) The owner of a manufactured or mobile home shall pay real	30861
property taxes if either of the following applies:	30862

(1) The manufactured or mobile home acquired situs in the	30863
state or ownership in the home was transferred on or after January	30864
1, 2000, and all of the following apply:	30865

(a) The home is affixed to a permanent foundation as defined	30866
in division (C)(5) of section 3781.06 of the Revised Code.	30867

(b) The home is located on land that is owned by the owner of	30868
the home.	30869

(c) The certificate of title has been inactivated by the	30870
clerk of the court of common pleas that issued it, pursuant to	30871
division (H) of section 4505.11 of the Revised Code.	30872

(2) The manufactured or mobile home acquired situs in the	30873
state or ownership in the home was transferred before January 1,	30874
2000, and all of the following apply:	30875

(a) The home is affixed to a permanent foundation as defined	30876
in division (C)(5) of section 3781.06 of the Revised Code.	30877

(b) The home is located on land that is owned by the owner of	30878
the home.	30879

(c) The owner of the home has elected to have the home taxed	30880
as real property and, pursuant to section 4505.11 of the Revised	30881
Code, has surrendered the certificate of title to the auditor of	30882
the county containing the taxing district in which the home has	30883
its situs, together with proof that all taxes have been paid.	30884

(d) The county auditor has placed the home on the real	30885
property tax list and delivered the certificate of title to the	30886
clerk of the court of common pleas that issued it and the clerk	30887
has inactivated the certificate.	30888

(C)(1) Any mobile or manufactured home that is not taxed as	30889
real property as provided in division (B) of this section is	30890
subject to an annual manufactured home tax, payable by the owner,	30891
for locating the home in this state. The tax as levied in this	30892
section is for the purpose of supplementing the general revenue	30893
funds of the local subdivisions in which the home has its situs	30894
pursuant to this section.	30895

(2) The year for which the manufactured home tax is levied	30896
commences on the first day of January and ends on the following	30897
thirty-first day of December. The state shall have the first lien	30898
on any manufactured or mobile home on the list for the amount of	30899
taxes, penalties, and interest charged against the owner of the	30900
home under this section. The lien of the state for the tax for a	30901
year shall attach on the first day of January to a home that has	30902
acquired situs on that date. The lien for a home that has not	30903
acquired situs on the first day of January, but that acquires	30904
situs during the year, shall attach on the next first day of	30905
January. The lien shall continue until the tax, including any	30906
penalty or interest, is paid.	30907

(3)(a) The situs of a manufactured or mobile home located in	30908
this state on the first day of January is the local taxing	30909
district in which the home is located on that date.	30910

(b) The situs of a manufactured or mobile home not located in	30911
this state on the first day of January, but located in this state	30912
subsequent to that date, is the local taxing district in which the	30913
home is located thirty days after it is acquired or first enters	30914
this state.	30915

(4) The tax is collected by and paid to the county treasurer	30916
of the county containing the taxing district in which the home has	30917
its situs.	30918

(D) The manufactured home tax shall be computed and assessed	30919
by the county auditor of the county containing the taxing district	30920
in which the home has its situs as follows:	30921

(1) On a home that acquired situs in this state prior to	30922
January 1, 2000:	30923

(a) By multiplying the assessable value of the home by the	30924
tax rate of the taxing district in which the home has its situs,	30925
and deducting from the product thus obtained any reduction	30926
authorized under section 4503.065 of the Revised Code. The tax	30927
levied under this formula shall not be less than thirty-six	30928
dollars, unless the home qualifies for a reduction in assessable	30929
value under section 4503.065 of the Revised Code, in which case	30930
there shall be no minimum tax and the tax shall be the amount	30931
calculated under this division.	30932

(b) The assessable value of the home shall be forty per cent	30933
of the amount arrived at by the following computation:	30934

(i) If the cost to the owner, or market value at time of	30935
purchase, whichever is greater, of the home includes the	30936
furnishings and equipment, such cost or market value shall be	30937
multiplied according to the following schedule:	30938

	For the first calendar year						30939
	in which the						30940
	home is owned by the						30941
	current owner		x		80%		30942
	2nd calendar year		x		75%		30943
	3rd "		x		70%		30944
	4th "		x		65%		30945
	5th "		x		60%		30946
	6th "		x		55%		30947
	7th "		x		50%		30948
	8th "		x		45%		30949
	9th "		x		40%		30950
	10th and each year thereafter		x		35%		30951

The first calendar year means any period between the first	30952
day of January and the thirty-first day of December of the first	30953
year.	30954

(ii) If the cost to the owner, or market value at the time of	30955
purchase, whichever is greater, of the home does not include the	30956
furnishings and equipment, such cost or market value shall be	30957
multiplied according to the following schedule:	30958

	For the first calendar year						30959
	in which the						30960
	home is owned by the						30961
	current owner		x		95%		30962
	2nd calendar year		x		90%		30963
	3rd "		x		85%		30964
	4th "		x		80%		30965
	5th "		x		75%		30966
	6th "		x		70%		30967
	7th "		x		65%		30968
	8th "		x		60%		30969
	9th "		x		55%		30970
	10th and each year thereafter		x		50%		30971

The first calendar year means any period between the first	30972
day of January and the thirty-first day of December of the first	30973
year.	30974

(2) On a home in which ownership was transferred or that	30975
first acquired situs in this state on or after January 1, 2000:	30976

(a) By multiplying the assessable value of the home by the	30977
effective tax rate, as defined in section 323.08 of the Revised	30978
Code, for residential real property of the taxing district in	30979
which the home has its situs, and deducting from the product thus	30980
obtained the reductions required or authorized under section	30981
319.302, division (B) of section 323.152, or section 4503.065 of	30982
the Revised Code.	30983

(b) The assessable value of the home shall be thirty-five per	30984
cent of its true value as determined under division (L) of this	30985
section.	30986

(3) On or before the fifteenth day of January each year, the	30987
county auditor shall record the assessable value and the amount of	30988
tax on the manufactured or mobile home on the tax list and deliver	30989
a duplicate of the list to the county treasurer. In the case of an	30990
emergency as defined in section 323.17 of the Revised Code, the	30991
tax commissioner, by journal entry, may extend the times for	30992
delivery of the duplicate for an additional fifteen days upon	30993
receiving a written application from the county auditor regarding	30994
an extension for the delivery of the duplicate, or from the county	30995
treasurer regarding an extension of the time for the billing and	30996
collection of taxes. The application shall contain a statement	30997
describing the emergency that will cause the unavoidable delay and	30998
must be received by the tax commissioner on or before the last day	30999
of the month preceding the day delivery of the duplicate is	31000
otherwise required. When an extension is granted for delivery of	31001
the duplicate, the time period for payment of taxes shall be	31002
extended for a like period of time. When a delay in the closing of	31003
a tax collection period becomes unavoidable, the tax commissioner,	31004
upon application by the county auditor and county treasurer, may	31005
order the time for payment of taxes to be extended if the tax	31006
commissioner determines that penalties have accrued or would	31007
otherwise accrue for reasons beyond the control of the taxpayers	31008
of the county. The order shall prescribe the final extended date	31009
for payment of taxes for that collection period.	31010

(4) After January 1, 1999, the owner of a manufactured or	31011
mobile home taxed pursuant to division (D)(1) of this section may	31012
elect to have the home taxed pursuant to division (D)(2) of this	31013
section by filing a written request with the county auditor of the	31014
taxing district in which the home is located on or before the	31015
first day of December of any year. Upon the filing of the request,	31016
the county auditor shall determine whether all taxes levied under	31017
division (D)(1) of this section have been paid, and if those taxes	31018
have been paid, the county auditor shall tax the manufactured or	31019
mobile home pursuant to division (D)(2) of this section commencing	31020
in the next tax year.	31021

(5) A manufactured or mobile home that acquired situs in this	31022
state prior to January 1, 2000, shall be taxed pursuant to	31023
division (D)(2) of this section if no manufactured home tax had	31024
been paid for the home and the home was not exempted from taxation	31025
pursuant to division (E) of this section for the year for which	31026
the taxes were not paid.	31027

(6)(a) Immediately upon receipt of any manufactured home tax	31028
duplicate from the county auditor, but not less than twenty days	31029
prior to the last date on which the first one-half taxes may be	31030
paid without penalty as prescribed in division (F) of this	31031
section, the county treasurer shall cause to be prepared and	31032
mailed or delivered to each person charged on that duplicate with	31033
taxes, or to an agent designated by such person, the tax bill	31034
prescribed by the tax commissioner under division (D)(7) of this	31035
section. When taxes are paid by installments, the county	31036
treasurer shall mail or deliver to each person charged on such	31037
duplicate or the agent designated by that person a second tax bill	31038
showing the amount due at the time of the second tax collection.	31039
The second half tax bill shall be mailed or delivered at least	31040
twenty days prior to the close of the second half tax collection	31041
period. A change in the mailing address of any tax bill shall be	31042
made in writing to the county treasurer. Failure to receive a bill	31043
required by this section does not excuse failure or delay to pay	31044
any taxes shown on the bill or, except as provided in division	31045
(B)(1) of section 5715.39 of the Revised Code, avoid any penalty,	31046
interest, or charge for such delay.	31047

(b) After delivery of the copy of the delinquent manufactured	31048
home tax list under division (H) of this section, the county	31049
treasurer may prepare and mail to each person in whose name a home	31050
is listed an additional tax bill showing the total amount of	31051
delinquent taxes charged against the home as shown on the list.	31052
The tax bill shall include a notice that the interest charge	31053
prescribed by division (G) of this section has begun to accrue.	31054

(7) Each tax bill prepared and mailed or delivered under	31055
division (D)(6) of this section shall be in the form and contain	31056
the information required by the tax commissioner. The commissioner	31057
may prescribe different forms for each county and may authorize	31058
the county auditor to make up tax bills and tax receipts to be	31059
used by the county treasurer. The tax bill shall not contain or	31060
be mailed or delivered with any information or material that is	31061
not required by this section or that is not authorized by section	31062
321.45 of the Revised Code or by the tax commissioner. In addition	31063
to the information required by the commissioner, each tax bill	31064
shall contain the following information:	31065

(a) The taxes levied and the taxes charged and payable	31066
against the manufactured or mobile home;	31067

(b) The following notice: "Notice: If the taxes are not paid	31068
within sixty days after the county auditor delivers the delinquent	31069
manufactured home tax list to the county treasurer, you and your	31070
home may be subject to collection proceedings for tax	31071
delinquency." Failure to provide such notice has no effect upon	31072
the validity of any tax judgment to which a home may be subjected.	31073

(c) In the case of manufactured or mobile homes taxed under	31074
division (D)(2) of this section, the following additional	31075
information:	31076

(i) The effective tax rate. The words "effective tax rate"	31077
shall appear in boldface type.	31078

(ii) The following notice: "Notice: If the taxes charged	31079
against this home have been reduced by the 2-1/2 per cent tax	31080
reduction for residences occupied by the owner but the home is not	31081
a residence occupied by the owner, the owner must notify the	31082
county auditor's office not later than March 31 of the year for	31083
which the taxes are due. Failure to do so may result in the owner	31084
being convicted of a fourth degree misdemeanor, which is	31085
punishable by imprisonment up to 30 days, a fine up to $250, or	31086
both, and in the owner having to repay the amount by which the	31087
taxes were erroneously or illegally reduced, plus any interest	31088
that may apply.	31089

If the taxes charged against this home have not been reduced	31090
by the 2-1/2 per cent tax reduction and the home is a residence	31091
occupied by the owner, the home may qualify for the tax reduction.	31092
To obtain an application for the tax reduction or further	31093
information, the owner may contact the county auditor's office at	31094
.......... (insert the address and telephone number of the county	31095
auditor's office)."	31096

(E)(1) A manufactured or mobile home is not subject to this	31097
section when any of the following applies:	31098

(a) It is taxable as personal property pursuant to section	31099
5709.01 of the Revised Code. Any manufactured or mobile home that	31100
is used as a residence shall be subject to this section and shall	31101
not be taxable as personal property pursuant to section 5709.01 of	31102
the Revised Code.	31103

(b) It bears a license plate issued by any state other than	31104
this state unless the home is in this state in excess of an	31105
accumulative period of thirty days in any calendar year.	31106

(c) The annual tax has been paid on the home in this state	31107
for the current year.	31108

(d) The tax commissioner has determined, pursuant to section	31109
5715.27 of the Revised Code, that the property is exempt from	31110
taxation, or would be exempt from taxation under Chapter 5709. of	31111
the Revised Code if it were classified as real property.	31112

(2) A travel trailer or park trailer, as these terms are	31113
defined in section 4501.01 of the Revised Code, is not subject to	31114
this section if it is unused or unoccupied and stored at the	31115
owner's normal place of residence or at a recognized storage	31116
facility.	31117

(3) A travel trailer or park trailer, as these terms are	31118
defined in section 4501.01 of the Revised Code, is subject to this	31119
section and shall be taxed as a manufactured or mobile home if it	31120
has a situs longer than thirty days in one location and is	31121
connected to existing utilities, unless either of the following	31122
applies:	31123

(a) The situs is in a state facility or a camping or park	31124
area as defined in division (C), (Q), (S), or (V) of section	31125
3729.01 of the Revised Code.	31126

(b) The situs is in a camping or park area that is a tract of	31127
land that has been limited to recreational use by deed or zoning	31128
restrictions and subdivided for sale of five or more individual	31129
lots for the express or implied purpose of occupancy by either	31130
self-contained recreational vehicles as defined in division (T) of	31131
section 3729.01 of the Revised Code or by dependent recreational	31132
vehicles as defined in division (D) of section 3729.01 of the	31133
Revised Code.	31134

(F) Except as provided in division (D)(3) of this section,	31135
the manufactured home tax is due and payable as follows:	31136

(1) When a manufactured or mobile home has a situs in this	31137
state, as provided in this section, on the first day of January,	31138
one-half of the amount of the tax is due and payable on or before	31139
the first day of March and the balance is due and payable on or	31140
before the thirty-first day of July. At the option of the owner of	31141
the home, the tax for the entire year may be paid in full on the	31142
first day of March.	31143

(2) When a manufactured or mobile home first acquires a situs	31144
in this state after the first day of January, no tax is due and	31145
payable for that year.	31146

(G)(1)(a) Except as otherwise provided in division (G)(1)(b)	31147
of this section, if one-half of the current taxes charged under	31148
this section against a manufactured or mobile home, together with	31149
the full amount of any delinquent taxes, are not paid on or before	31150
the first day of March in that year, or on or before the last day	31151
for such payment as extended pursuant to section 4503.063 of the	31152
Revised Code, a penalty of ten per cent shall be charged against	31153
the unpaid balance of such half of the current taxes. If the total	31154
amount of all such taxes is not paid on or before the thirty-first	31155
day of July, next thereafter, or on or before the last day for	31156
payment as extended pursuant to section 4503.063 of the Revised	31157
Code, a like penalty shall be charged on the balance of the total	31158
amount of the unpaid current taxes.	31159

(b) After a valid delinquent tax contract that includes	31160
unpaid current taxes from a first-half collection period described	31161
in division (F) of this section has been entered into under	31162
section 323.31 of the Revised Code, no ten per cent penalty shall	31163
be charged against such taxes after the second-half collection	31164
period while the delinquent tax contract remains in effect. On the	31165
day a delinquent tax contract becomes void, the ten per cent	31166
penalty shall be charged against such taxes and shall equal the	31167
amount of penalty that would have been charged against unpaid	31168
current taxes outstanding on the date on which the second-half	31169
penalty would have been charged thereon under division (G)(1)(a)	31170
of this section if the contract had not been in effect.	31171

(2)(a) On the first day of the month following the last day	31172
the second installment of taxes may be paid without penalty	31173
beginning in 2000, interest shall be charged against and computed	31174
on all delinquent taxes other than the current taxes that became	31175
delinquent taxes at the close of the last day such second	31176
installment could be paid without penalty. The charge shall be for	31177
interest that accrued during the period that began on the	31178
preceding first day of December and ended on the last day of the	31179
month that included the last date such second installment could be	31180
paid without penalty. The interest shall be computed at the rate	31181
per annum prescribed by section 5703.47 of the Revised Code and	31182
shall be entered as a separate item on the delinquent manufactured	31183
home tax list compiled under division (H) of this section.	31184

(b) On the first day of December beginning in 2000, the	31185
interest shall be charged against and computed on all delinquent	31186
taxes. The charge shall be for interest that accrued during the	31187
period that began on the first day of the month following the last	31188
date prescribed for the payment of the second installment of taxes	31189
in the current year and ended on the immediately preceding last	31190
day of November. The interest shall be computed at the rate per	31191
annum prescribed by section 5703.47 of the Revised Code and shall	31192
be entered as a separate item on the delinquent manufactured home	31193
tax list.	31194

(c) After a valid undertaking has been entered into for the	31195
payment of any delinquent taxes, no interest shall be charged	31196
against such delinquent taxes while the undertaking remains in	31197
effect in compliance with section 323.31 of the Revised Code. If a	31198
valid undertaking becomes void, interest shall be charged against	31199
the delinquent taxes for the periods that interest was not	31200
permitted to be charged while the undertaking was in effect. The	31201
interest shall be charged on the day the undertaking becomes void	31202
and shall equal the amount of interest that would have been	31203
charged against the unpaid delinquent taxes outstanding on the	31204
dates on which interest would have been charged thereon under	31205
divisions (G)(1) and (2) of this section had the undertaking not	31206
been in effect.	31207

(3) If the full amount of the taxes due at either of the	31208
times prescribed by division (F) of this section is paid within	31209
ten days after such time, the county treasurer shall waive the	31210
collection of and the county auditor shall remit one-half of the	31211
penalty provided for in this division for failure to make that	31212
payment by the prescribed time.	31213

(4) The treasurer shall compile and deliver to the county	31214
auditor a list of all tax payments the treasurer has received as	31215
provided in division (G)(3) of this section. The list shall	31216
include any information required by the auditor for the remission	31217
of the penalties waived by the treasurer. The taxes so collected	31218
shall be included in the settlement next succeeding the settlement	31219
then in process.	31220

(H)(1) Beginning in 2000, the county auditor shall compile	31221
annually a "delinquent manufactured home tax list" consisting of	31222
homes the county treasurer's records indicate have taxes that were	31223
not paid within the time prescribed by divisions (D)(3) and (F) of	31224
this section, have taxes that remain unpaid from prior years, or	31225
have unpaid tax penalties or interest that have been assessed.	31226

(2) Within thirty days after the settlement under division	31227
(H)(2) of section 321.24 of the Revised Code beginning in 2000,	31228
the county auditor shall deliver a copy of the delinquent	31229
manufactured home tax list to the county treasurer. The auditor	31230
shall update and publish the delinquent manufactured home tax list	31231
annually in the same manner as delinquent real property tax lists	31232
are published. The county auditor shall apportion the cost of	31233
publishing the list among taxing districts in proportion to the	31234
amount of delinquent manufactured home taxes so published that	31235
each taxing district is entitled to receive upon collection of	31236
those taxes.	31237

(3) When taxes, penalties, or interest are charged against a	31238
person on the delinquent manufactured home tax list and are not	31239
paid within sixty days after the list is delivered to the county	31240
treasurer, the county treasurer shall, in addition to any other	31241
remedy provided by law for the collection of taxes, penalties, and	31242
interest, enforce collection of such taxes, penalties, and	31243
interest by civil action in the name of the treasurer against the	31244
owner for the recovery of the unpaid taxes following the	31245
procedures for the recovery of delinquent real property taxes in	31246
sections 323.25 to 323.28 of the Revised Code. The action may be	31247
brought in municipal or county court, provided the amount charged	31248
does not exceed the monetary limitations for original jurisdiction	31249
for civil actions in those courts.	31250

It is sufficient, having made proper parties to the suit, for	31251
the county treasurer to allege in the treasurer's bill of	31252
particulars or petition that the taxes stand chargeable on the	31253
books of the county treasurer against such person, that they are	31254
due and unpaid, and that such person is indebted in the amount of	31255
taxes appearing to be due the county. The treasurer need not set	31256
forth any other matter relating thereto. If it is found on the	31257
trial of the action that the person is indebted to the state,	31258
judgment shall be rendered in favor of the county treasurer	31259
prosecuting the action. The judgment debtor is not entitled to the	31260
benefit of any law for stay of execution or exemption of property	31261
from levy or sale on execution in the enforcement of the judgment.	31262

Upon the filing of an entry of confirmation of sale or an	31263
order of forfeiture in a proceeding brought under this division,	31264
title to the manufactured or mobile home shall be in the	31265
purchaser. The clerk of courts shall issue a certificate of title	31266
to the purchaser upon presentation of proof of filing of the entry	31267
of confirmation or order and, in the case of a forfeiture,	31268
presentation of the county auditor's certificate of sale.	31269

(I) The total amount of taxes collected shall be distributed	31270
in the following manner: four per cent shall be allowed as	31271
compensation to the county auditor for the county auditor's	31272
service in assessing the taxes; two per cent shall be allowed as	31273
compensation to the county treasurer for the services the county	31274
treasurer renders as a result of the tax levied by this section.	31275
Such amounts shall be paid into the county treasury, to the credit	31276
of the county general revenue fund, on the warrant of the county	31277
auditor. Fees to be paid to the credit of the real estate	31278
assessment fund shall be collected pursuant to division (B)(C) of	31279
section 319.54 of the Revised Code and paid into the county	31280
treasury, on the warrant of the county auditor. The balance of the	31281
taxes collected shall be distributed among the taxing subdivisions	31282
of the county in which the taxes are collected and paid in the	31283
same ratio as those taxes were collected for the benefit of the	31284
taxing subdivision. The taxes levied and revenues collected under	31285
this section shall be in lieu of any general property tax and any	31286
tax levied with respect to the privilege of using or occupying a	31287
manufactured or mobile home in this state except as provided in	31288
sections 4503.04 and 5741.02 of the Revised Code.	31289

(J) An agreement to purchase or a bill of sale for a	31290
manufactured home shall show whether or not the furnishings and	31291
equipment are included in the purchase price.	31292

(K) If the county treasurer and the county prosecuting	31293
attorney agree that an item charged on the delinquent manufactured	31294
home tax list is uncollectible, they shall certify that	31295
determination and the reasons to the county board of revision. If	31296
the board determines the amount is uncollectible, it shall certify	31297
its determination to the county auditor, who shall strike the item	31298
from the list.	31299

(L)(1) The county auditor shall appraise at its true value	31300
any manufactured or mobile home in which ownership is transferred	31301
or which first acquires situs in this state on or after January 1,	31302
2000, and any manufactured or mobile home the owner of which has	31303
elected, under division (D)(4) of this section, to have the home	31304
taxed under division (D)(2) of this section. The true value shall	31305
include the value of the home, any additions, and any fixtures,	31306
but not any furnishings in the home. In determining the true value	31307
of a manufactured or mobile home, the auditor shall consider all	31308
facts and circumstances relating to the value of the home,	31309
including its age, its capacity to function as a residence, any	31310
obsolete characteristics, and other factors that may tend to prove	31311
its true value.	31312

(2)(a) If a manufactured or mobile home has been the subject	31313
of an arm's length sale between a willing seller and a willing	31314
buyer within a reasonable length of time prior to the	31315
determination of true value, the county auditor shall consider the	31316
sale price of the home to be the true value for taxation purposes.	31317

(b) The sale price in an arm's length transaction between a	31318
willing seller and a willing buyer shall not be considered the	31319
true value of the home if either of the following occurred after	31320
the sale:	31321

(i) The home has lost value due to a casualty.

31322

(ii) An addition or fixture has been added to the home.

31323

(3) The county auditor shall have each home viewed and	31324
appraised at least once in each six-year period in the same year	31325
in which real property in the county is appraised pursuant to	31326
Chapter 5713. of the Revised Code, and shall update the appraised	31327
values in the third calendar year following the appraisal. The	31328
person viewing or appraising a home may enter the home to	31329
determine by actual view any additions or fixtures that have been	31330
added since the last appraisal. In conducting the appraisals and	31331
establishing the true value, the auditor shall follow the	31332
procedures set forth for appraising real property in sections	31333
5713.01 and 5713.03 of the Revised Code.	31334

(4) The county auditor shall place the true value of each	31335
home on the manufactured home tax list upon completion of an	31336
appraisal.	31337

(5)(a) If the county auditor changes the true value of a	31338
home, the auditor shall notify the owner of the home in writing,	31339
delivered by mail or in person. The notice shall be given at least	31340
thirty days prior to the issuance of any tax bill that reflects	31341
the change. Failure to receive the notice does not invalidate any	31342
proceeding under this section.	31343

(b) Any owner of a home or any other person or party listed	31344
in division (A)(1) of section 5715.19 of the Revised Code may file	31345
a complaint against the true value of the home as appraised under	31346
this section. The complaint shall be filed with the county auditor	31347
on or before the thirty-first day of March of the current tax year	31348
or the date of closing of the collection for the first half of	31349
manufactured home taxes for the current tax year, whichever is	31350
later. The auditor shall present to the county board of revision	31351
all complaints filed with the auditor under this section. The	31352
board shall hear and investigate the complaint and may take action	31353
on it as provided under sections 5715.11 to 5715.19 of the Revised	31354
Code.	31355

(c) If the county board of revision determines, pursuant to a	31356
complaint against the valuation of a manufactured or mobile home	31357
filed under this section, that the amount of taxes, assessments,	31358
or other charges paid was in excess of the amount due based on the	31359
valuation as finally determined, then the overpayment shall be	31360
refunded in the manner prescribed in section 5715.22 of the	31361
Revised Code.	31362

(d) Payment of all or part of a tax under this section for	31363
any year for which a complaint is pending before the county board	31364
of revision does not abate the complaint or in any way affect the	31365
hearing and determination thereof.	31366

(M) If the county auditor determines that any tax or other	31367
charge or any part thereof has been erroneously charged as a	31368
result of a clerical error as defined in section 319.35 of the	31369
Revised Code, the county auditor shall call the attention of the	31370
county board of revision to the erroneous charges. If the board	31371
finds that the taxes or other charges have been erroneously	31372
charged or collected, it shall certify the finding to the auditor.	31373
Upon receipt of the certification, the auditor shall remove the	31374
erroneous charges on the manufactured home tax list or delinquent	31375
manufactured home tax list in the same manner as is prescribed in	31376
section 319.35 of the Revised Code for erroneous charges against	31377
real property, and refund any erroneous charges that have been	31378
collected, with interest, in the same manner as is prescribed in	31379
section 319.36 of the Revised Code for erroneous charges against	31380
real property.	31381

(N) As used in this section and section 4503.061 of the	31382
Revised Code:	31383

(1) "Manufactured home taxes" includes taxes, penalties, and	31384
interest charged under division (C) or (G) of this section and any	31385
penalties charged under division (G) or (H)(5) of section 4503.061	31386
of the Revised Code.	31387

(2) "Current taxes" means all manufactured home taxes charged	31388
against a manufactured or mobile home that have not appeared on	31389
the manufactured home tax list for any prior year. Current taxes	31390
become delinquent taxes if they remain unpaid after the last day	31391
prescribed for payment of the second installment of current taxes	31392
without penalty, whether or not they have been certified	31393
delinquent.	31394

(3) "Delinquent taxes" means:

31395

(a) Any manufactured home taxes that were charged against a	31396
manufactured or mobile home for a prior year, including any	31397
penalties or interest charged for a prior year, and that remain	31398
unpaid;	31399

(b) Any current manufactured home taxes charged against a	31400
manufactured or mobile home that remain unpaid after the last day	31401
prescribed for payment of the second installment of current taxes	31402
without penalty, whether or not they have been certified	31403
delinquent, including any penalties or interest.	31404

Sec. 4503.061.  (A) All manufactured and mobile homes shall	31405
be listed on either the real property tax list or the manufactured	31406
home tax list of the county in which the home has situs. Each	31407
owner shall follow the procedures in this section to identify the	31408
home to the county auditor of the county containing the taxing	31409
district in which the home has situs so that the auditor may place	31410
the home on the appropriate tax list.	31411

(B) When a manufactured or mobile home first acquires situs	31412
in this state and is subject to real property taxation pursuant to	31413
division (B)(1) or (2) of section 4503.06 of the Revised Code, the	31414
owner shall present to the auditor of the county containing the	31415
taxing district in which the home has its situs the certificate of	31416
title for the home, together with proof that all taxes due have	31417
been paid and proof that a relocation notice was obtained for the	31418
home if required under this section. Upon receiving the	31419
certificate of title and the required proofs, the auditor shall	31420
place the home on the real property tax list and proceed to treat	31421
the home as other properties on that list. After the auditor has	31422
placed the home on the tax list of real and public utility	31423
property, the auditor shall deliver the certificate of title to	31424
the clerk of the court of common pleas that issued it pursuant to	31425
section 4505.11 of the Revised Code, and the clerk shall	31426
inactivate the certificate of title.	31427

(C)(1) When a manufactured or mobile home subject to a	31428
manufactured home tax is relocated to or first acquires situs in	31429
any county that has adopted a permanent manufactured home	31430
registration system, as provided in division (F) of this section,	31431
the owner, within thirty days after the home is relocated or first	31432
acquires situs under section 4503.06 of the Revised Code, shall	31433
register the home with the county auditor of the county containing	31434
the taxing district in which the home has its situs. For the first	31435
registration in each county of situs, the owner or vendee in	31436
possession shall present to the county auditor an Ohio certificate	31437
of title, certified copy of the certificate of title, or	31438
memorandum certificate of title as such are required by law, and	31439
proof, as required by the county auditor, that the home, if it has	31440
previously been occupied and is being relocated, has been	31441
previously registered, that all taxes due and required to be paid	31442
under division (H)(1) of this section before a relocation notice	31443
may be issued have been paid, and that a relocation notice was	31444
obtained for the home if required by division (H) of this section.	31445
If the owner or vendee does not possess the Ohio certificate of	31446
title, certified copy of the certificate of title, or memorandum	31447
certificate of title at the time the owner or vendee first	31448
registers the home in a county, the county auditor shall register	31449
the home without presentation of the document, but the owner or	31450
vendee shall present the certificate of title, certified copy of	31451
the certificate of title, or memorandum certificate of title to	31452
the county auditor within fourteen days after the owner or vendee	31453
obtains possession of the document.	31454

(2) When a manufactured or mobile home is registered for the	31455
first time in a county and when the total tax due has been paid as	31456
required by division (F) of section 4503.06 of the Revised Code or	31457
divisions (E) and (H) of this section, the county treasurer shall	31458
note by writing or by a stamp on the certificate of title,	31459
certified copy of certificate of title, or memorandum certificate	31460
of title that the home has been registered and that the taxes due,	31461
if any, have been paid for the preceding five years and for the	31462
current year. The treasurer shall then issue a certificate	31463
evidencing registration and a decal to be displayed on the street	31464
side of the home. The certificate is valid in any county in this	31465
state during the year for which it is issued.	31466

(3) For each year thereafter, the county treasurer shall	31467
issue a tax bill stating the amount of tax due under section	31468
4503.06 of the Revised Code, as provided in division (D)(6) of	31469
that section. When the total tax due has been paid as required by	31470
division (F) of that section, the county treasurer shall issue a	31471
certificate evidencing registration that shall be valid in any	31472
county in this state during the year for which the certificate is	31473
issued.	31474

(4) The permanent decal issued under this division is valid	31475
during the period of ownership, except that when a manufactured	31476
home is relocated in another county the owner shall apply for a	31477
new registration as required by this section and section 4503.06	31478
of the Revised Code.	31479

(D)(1) All owners of manufactured or mobile homes subject to	31480
the manufactured home tax being relocated to or having situs in a	31481
county that has not adopted a permanent registration system, as	31482
provided in division (F) of this section, shall register the home	31483
within thirty days after the home is relocated or first acquires	31484
situs under section 4503.06 of the Revised Code and thereafter	31485
shall annually register the home with the county auditor of the	31486
county containing the taxing district in which the home has its	31487
situs.	31488

(2) Upon the annual registration, the county treasurer shall	31489
issue a tax bill stating the amount of annual manufactured home	31490
tax due under section 4503.06 of the Revised Code, as provided in	31491
division (D)(6) of that section. When a manufactured or mobile	31492
home is registered and when the tax for the current one-half year	31493
has been paid as required by division (F) of that section, the	31494
county treasurer shall issue a certificate evidencing registration	31495
and a decal. The certificate and decal are valid in any county in	31496
this state during the year for which they are issued. The decal	31497
shall be displayed on the street side of the home.	31498

(3) For the first annual registration in each county of	31499
situs, the county auditor shall require the owner or vendee to	31500
present an Ohio certificate of title, certified copy of the	31501
certificate of title, or memorandum certificate of title as such	31502
are required by law, and proof, as required by the county auditor,	31503
that the manufactured or mobile home has been previously	31504
registered, if such registration was required, that all taxes due	31505
and required to be paid under division (H)(1) of this section	31506
before a relocation notice may be issued have been paid, and that	31507
a relocation notice was obtained for the home if required by	31508
division (H) of this section. If the owner or vendee does not	31509
possess the Ohio certificate of title, certified copy of the	31510
certificate of title, or memorandum certificate of title at the	31511
time the owner or vendee first registers the home in a county, the	31512
county auditor shall register the home without presentation of the	31513
document, but the owner or vendee shall present the certificate of	31514
title, certified copy of the certificate of title, or memorandum	31515
certificate of title to the county auditor within fourteen days	31516
after the owner or vendee obtains possession of the document. When	31517
the county treasurer receives the tax payment, the county	31518
treasurer shall note by writing or by a stamp on the certificate	31519
of title, certified copy of the certificate of title, or	31520
memorandum certificate of title that the home has been registered	31521
for the current year and that the manufactured home taxes due, if	31522
any, have been paid for the preceding five years and for the	31523
current year.	31524

(4) For subsequent annual registrations, the auditor may	31525
require the owner or vendee in possession to present an Ohio	31526
certificate of title, certified copy of the certificate of title,	31527
or memorandum certificate of title to the county treasurer upon	31528
payment of the manufactured home tax that is due.	31529

(E)(1) Upon the application to transfer ownership of a	31530
manufactured or mobile home for which manufactured home taxes are	31531
paid pursuant to division (C) of section 4503.06 of the Revised	31532
Code the clerk of the court of common pleas shall not issue any	31533
certificate of title that does not contain or have attached both	31534
of the following:	31535

(a) An endorsement of the county treasurer stating that the	31536
home has been registered for each year of ownership and that all	31537
manufactured home taxes imposed pursuant to section 4503.06 of the	31538
Revised Code have been paid or that no tax is due;	31539

(b) An endorsement of the county auditor that the	31540
manufactured home transfer tax imposed pursuant to section 322.06	31541
of the Revised Code and any fees imposed under division (F)(G) of	31542
section 319.54 of the Revised Code have been paid.	31543

(2) If all the taxes have not been paid, the clerk shall	31544
notify the vendee to contact the county treasurer of the county	31545
containing the taxing district in which the home has its situs at	31546
the time of the proposed transfer. The county treasurer shall then	31547
collect all the taxes that are due for the year of the transfer	31548
and all previous years not exceeding a total of five years. The	31549
county treasurer shall distribute that part of the collection owed	31550
to the county treasurer of other counties if the home had its	31551
situs in another county during a particular year when the unpaid	31552
tax became due and payable. The burden to prove the situs of the	31553
home in the years that the taxes were not paid is on the	31554
transferor of the home. Upon payment of the taxes, the county	31555
auditor shall remove all remaining taxes from the manufactured	31556
home tax list and the delinquent manufactured home tax list, and	31557
the county treasurer shall release all liens for such taxes. The	31558
clerk of courts shall issue a certificate of title, free and clear	31559
of all liens for manufactured home taxes, to the transferee of the	31560
home.	31561

(3) Once the transfer is complete and the certificate of	31562
title has been issued, the transferee shall register the	31563
manufactured or mobile home pursuant to division (C) or (D) of	31564
this section with the county auditor of the county containing the	31565
taxing district in which the home remains after the transfer or,	31566
if the home is relocated to another county, with the county	31567
auditor of the county to which the home is relocated. The	31568
transferee need not pay the annual tax for the year of acquisition	31569
if the original owner has already paid the annual tax for that	31570
year.	31571

(F) The county auditor may adopt a permanent registration	31572
system and issue a permanent decal with the first registration as	31573
prescribed by the tax commissioner.	31574

(G) When any manufactured or mobile home required to be	31575
registered by this section is not registered, the county auditor	31576
shall impose a penalty of one hundred dollars upon the owner and	31577
deposit the amount to the credit of the county real estate	31578
assessment fund to be used to pay the costs of administering this	31579
section and section 4503.06 of the Revised Code. If unpaid, the	31580
penalty shall constitute a lien on the home and shall be added by	31581
the county auditor to the manufactured home tax list for	31582
collection.	31583

(H)(1) Except as otherwise provided in this division, before	31584
moving a manufactured or mobile home on public roads from one	31585
address within this state to another address within or outside	31586
this state, the owner of the home shall obtain a relocation	31587
notice, as provided by this section, from the auditor of the	31588
county in which the home is located if the home is currently	31589
subject to taxation pursuant to section 4503.06 of the Revised	31590
Code. The auditor shall charge five dollars for the notice, and	31591
deposit the amount to the credit of the county real estate	31592
assessment fund to be used to pay the costs of administering this	31593
section and section 4503.06 of the Revised Code. The auditor shall	31594
not issue a relocation notice unless all taxes owed on the home	31595
under section 4503.06 of the Revised Code that were first charged	31596
to the home during the period of ownership of the owner seeking	31597
the relocation notice have been paid. If the home is being moved	31598
by a new owner of the home or by a party taking repossession of	31599
the home, the auditor shall not issue a relocation notice unless	31600
all of the taxes due for the preceding five years and for the	31601
current year have been paid. A relocation notice issued by a	31602
county auditor is valid until the last day of December of the year	31603
in which it was issued.	31604

If the home is being moved by a sheriff, police officer,	31605
constable, bailiff, or manufactured home park operator, as defined	31606
in section 3733.01 of the Revised Code, or any agent of any of	31607
these persons, for purposes of removal from a manufactured home	31608
park and storage, sale, or destruction under section 1923.14 of	31609
the Revised Code, the auditor shall issue a relocation notice	31610
without requiring payment of any taxes owed on the home under	31611
section 4503.06 of the Revised Code.	31612

(2) If a manufactured or mobile home is not yet subject to	31613
taxation under section 4503.06 of the Revised Code, the owner of	31614
the home shall obtain a relocation notice from the dealer of the	31615
home. Within thirty days after the manufactured or mobile home is	31616
purchased, the dealer of the home shall provide the auditor of the	31617
county in which the home is to be located written notice of the	31618
name of the purchaser of the home, the registration number or	31619
vehicle identification number of the home, and the address or	31620
location to which the home is to be moved. The county auditor	31621
shall provide to each manufactured and mobile home dealer, without	31622
charge, a supply of relocation notices to be distributed to	31623
purchasers pursuant to this section.	31624

(3) The notice shall be in the form of a one-foot square	31625
yellow sign with the words "manufactured home relocation notice"	31626
printed prominently on it. The name of the owner of the home, the	31627
home's registration number or vehicle identification number, the	31628
county and the address or location to which the home is being	31629
moved, and the county in which the notice is issued shall also be	31630
entered on the notice.	31631

(4) The relocation notice must be attached to the rear of the	31632
home when the home is being moved on a public road. Except as	31633
provided in divisions (H)(1) and (5) of this section, no person	31634
shall drive a motor vehicle moving a manufactured or mobile home	31635
on a public road from one address to another address within this	31636
state unless a relocation notice is attached to the rear of the	31637
home.	31638

(5) If the county auditor determines that a manufactured or	31639
mobile home has been moved without a relocation notice as required	31640
under this division, the auditor shall impose a penalty of one	31641
hundred dollars upon the owner of the home and upon the person who	31642
moved the home and deposit the amount to the credit of the county	31643
real estate assessment fund to pay the costs of administering this	31644
section and section 4503.06 of the Revised Code. If the home was	31645
relocated from one county in this state to another county in this	31646
state and the county auditor of the county to which the home was	31647
relocated imposes the penalty, that county auditor, upon	31648
collection of the penalty, shall cause an amount equal to the	31649
penalty to be transmitted from the county real estate assessment	31650
fund to the county auditor of the county from which the home was	31651
relocated, who shall deposit the amount to the credit of the	31652
county real estate assessment fund. If the penalty on the owner is	31653
unpaid, the penalty shall constitute a lien on the home and the	31654
auditor shall add the penalty to the manufactured home tax list	31655
for collection. If the county auditor determines that a dealer	31656
that has sold a manufactured or mobile home has failed to timely	31657
provide the information required under this division, the auditor	31658
shall impose a penalty upon the dealer in the amount of one	31659
hundred dollars. The penalty shall be credited to the county real	31660
estate assessment fund and used to pay the costs of administering	31661
this section and section 4503.06 of the Revised Code.	31662

(I) Whoever violates division (H)(4) of this section is	31663
guilty of a minor misdemeanor.	31664

Sec. 4503.064.  As used in sections 4503.064 to 4503.069 of	31665
the Revised Code:	31666

(A) "Sixty-five years of age or older" means a person who	31667
will be age sixty-five or older in the calendar year following the	31668
year of application for reduction in the assessable value of the	31669
person's manufactured or mobile home.	31670

(B) "Total income" means the adjusted gross income of the	31671
owner and the owner's spouse for the year preceding the year in	31672
which application for a reduction in taxes is made, as determined	31673
under the "Internal Revenue Code of 1986," 100 Stat. 2085, 26	31674
U.S.C.A. 1, as amended, adjusted as follows:	31675

(1) Subtract the amount of disability benefits included in	31676
adjusted gross income but not to exceed five thousand two hundred	31677
dollars;	31678

(2) Add old age and survivors benefits received pursuant to	31679
the "Social Security Act" that are not included in adjusted gross	31680
income;	31681

(3) Add retirement, pension, annuity, or other retirement	31682
payments or benefits not included in adjusted gross income;	31683

(4) Add tier I and II railroad retirement benefits received	31684
pursuant to the "Railroad Retirement Act," 50 Stat. 307, 45 U.S.C.	31685
228;	31686

(5) Add interest on federal, state, and local government	31687
obligations;	31688

(6) For a person who received the homestead exemption for a	31689
prior year on the basis of being permanently and totally disabled	31690
and whose current application for the exemption is made on the	31691
basis of age, subtract the following amount:	31692

(a) If the person received disability benefits that were not	31693
included in adjusted gross income in the year preceding the first	31694
year in which the person applied for the exemption on the basis of	31695
age, subtract an amount equal to the disability benefits the	31696
person received in that preceding year, to the extent included in	31697
total income in the current year and not subtracted under division	31698
(B)(1) of this section in the current year;	31699

(b) If the person received disability benefits that were	31700
included in adjusted gross income in the year preceding the first	31701
year in which the person applied for the exemption on the basis of	31702
age, subtract an amount equal to the amount of disability benefits	31703
that were subtracted pursuant to division (B)(1) of this section	31704
in that preceding year, to the extent included in total income in	31705
the current year and not subtracted under division (B)(1) of this	31706
section in the current year.	31707

Disability benefits that are paid by the department of	31708
veterans affairs or a branch of the armed forces of the United	31709
States on account of an injury or disability shall not be included	31710
in total income.	31711

(C) "Old age and survivors benefits received pursuant to the	31712
'Social Security Act'" or "tier I railroad retirement benefits	31713
received pursuant to the 'Railroad Retirement Act'" means:	31714

(1) The old age benefits payable under the social security or	31715
railroad retirement laws in effect on the last day of the calendar	31716
year preceding the year in which the applicant's application for	31717
reduction is first successfully made, or, if no such benefits are	31718
payable that year, old age benefits payable the first succeeding	31719
year in which old age benefits under the social security or	31720
railroad retirement laws are payable, except in those cases where	31721
a change in social security or railroad retirement benefits	31722
results in a reduction in income.	31723

(2) The lesser of:

31724

(a) Survivors benefits payable under the social security or	31725
railroad retirement laws in effect on the last day of the calendar	31726
year preceding the year in which the applicant's application for	31727
reduction is first successfully made, or, if no such benefits are	31728
payable that year, survivors benefits payable the first succeeding	31729
year in which survivors benefits are payable; or	31730

(b) Old age benefits of the deceased spouse, as determined	31731
under division (C)(1) of this section, upon which the surviving	31732
spouse's survivors benefits are based under the social security or	31733
railroad retirement laws, except in those cases where a change in	31734
benefits would cause a reduction in income.	31735

Survivors benefits are those described in division (C)(2)(b)	31736
of this section only if the deceased spouse received old age	31737
benefits in the year in which the deceased died. If the deceased	31738
spouse did not receive old age benefits in the year in which the	31739
deceased died, then survivors benefits are those described in	31740
division (C)(2)(a) of this section.	31741

(D) "Permanently and totally disabled" means a person who, on	31742
the first day of January of the year of application, including	31743
late application, for reduction in the assessable value of a	31744
manufactured or mobile home, has some impairment in body or mind	31745
that makes the person unable to work at any substantially	31746
remunerative employment which the person is reasonably able to	31747
perform and which will, with reasonable probability, continue for	31748
an indefinite period of at least twelve months without any present	31749
indication of recovery therefrom or has been certified as	31750
permanently and totally disabled by a state or federal agency	31751
having the function of so classifying persons.	31752

(E)(C) "Homestead exemption" means the reduction in taxes	31753
allowed under division (A) of section 323.152 of the Revised Code	31754
for the year in which an application is filed under section	31755
4503.066 of the Revised Code.	31756

(F)(D) "Manufactured home" has the meaning given in division	31757
(C)(4) of section 3781.06 of the Revised Code, and includes a	31758
structure consisting of two manufactured homes that were purchased	31759
either together or separately and are combined to form a single	31760
dwelling, but does not include a manufactured home that is taxed	31761
as real property pursuant to division (B) of section 4503.06 of	31762
the Revised Code.	31763

(G)(E) "Mobile home" has the meaning given in division (O) of	31764
section 4501.01 of the Revised Code and includes a structure	31765
consisting of two mobile homes that were purchased together or	31766
separately and combined to form a single dwelling, but does not	31767
include a mobile home that is taxed as real property pursuant to	31768
division (B) of section 4503.06 of the Revised Code.	31769

(H)(F) "Late application" means an application filed with an	31770
original application under division (A)(3) of section 4503.066 of	31771
the Revised Code.	31772

Sec. 4503.065.  (A) This section applies to any of the	31773
following:	31774

(1) An individual who is permanently and totally disabled;

31775

(2) An individual who is sixty-five years of age or older;

31776

(3) An individual who is the surviving spouse of a deceased	31777
person who was permanently and totally disabled or sixty-five	31778
years of age or older and who applied and qualified for a	31779
reduction in assessable value under this section in the year of	31780
death, provided the surviving spouse is at least fifty-nine but	31781
not sixty-five or more years of age on the date the deceased	31782
spouse dies.	31783

(B)(1) The manufactured home tax on a manufactured or mobile	31784
home that is paid pursuant to division (C) of section 4503.06 of	31785
the Revised Code and that is owned and occupied as a home by an	31786
individual whose domicile is in this state and to whom this	31787
section applies, shall be reduced for any tax year for which the	31788
owner obtains a certificate of reduction from the county auditor	31789
under section 4503.067 of the Revised Code, provided the	31790
individual did not acquire ownership from a person, other than the	31791
individual's spouse, related by consanguinity or affinity for the	31792
purpose of qualifying for the reduction in assessable value. An	31793
owner includes a settlor of a revocable inter vivos trust holding	31794
the title to a manufactured or mobile home occupied by the settlor	31795
as of right under the trust. The reduction shall equal the amount	31796
obtained by multiplying the tax rate for the tax year for which	31797
the certificate is issued by the reduction in assessable value	31798
shown in the following schedule.	31799

		Reduce Assessable Value			31800
Total Income		by the Lesser of:			31801
		Column A	Column B		31802

$11,900 or less		$5,000 or seventy-five per cent		31803
More than $11,900 but not more than $17,500		$3,000 or sixty per cent		31804
More than $17,500 but not more than $23,000		$1,000 or twenty-five per cent		31805
More than $23,000		-0-		31806

(2) Each calendar year, the tax commissioner shall adjust the	31807
foregoing schedule by completing the following calculations in	31808
September of each year:	31809

(a) Determine the percentage increase in the gross domestic	31810
product deflator determined by the bureau of economic analysis of	31811
the United States department of commerce from the first day of	31812
January of the preceding calendar year to the last day of December	31813
of the preceding calendar year;	31814

(b) Multiply that percentage increase by each of the total	31815
income amounts, and by each dollar amount by which assessable	31816
value is reduced, for the ensuing tax year;	31817

(c) Add the resulting product to each of the total income	31818
amounts, and to each of the dollar amounts by which assessable	31819
value is reduced, for the ensuing tax year;	31820

(d)(i) Except as provided in division (B)(2)(d)(ii) of this	31821
section, round the resulting sum to the nearest multiple of one	31822
hundred dollars;	31823

(ii) If rounding the resulting sum to the nearest multiple of	31824
one hundred dollars under division (B)(2)(d)(i) of this section	31825
does not increase the dollar amounts by which assessable value is	31826
reduced, the resulting sum instead shall be rounded to the nearest	31827
multiple of ten dollars.	31828

The commissioner shall certify the amounts resulting from the	31829
adjustment to each county auditor not later than the first day of	31830
December each year. The certified amounts apply to the second	31831
ensuing tax year. The commissioner shall not make the adjustment	31832
in any calendar year in which the amounts resulting from the	31833
adjustment would be less than the total income amounts, or less	31834
than the dollar amounts by which assessable value is reduced, for	31835
the ensuing tax yeargreater of the reduction granted for tax year	31836
2006, if the taxpayer received a reduction for tax year 2006, or	31837
the product of the following:	31838

(1) Twenty-five thousand dollars of the true value of the	31839
property in money;	31840

(2) The assessment percentage established by the tax	31841
commissioner under division (B) of section 5715.01 of the Revised	31842
Code, not to exceed thirty-five per cent;	31843

(3) The effective tax rate on residential/agricultural real	31844
property, where "effective tax rate" is defined as in division	31845
(B)(3) of section 319.301 of the Revised Code, and where	31846
"residential/agricultural real property" is defined as in section	31847
5713.041 of the Revised Code.	31848

(C) If the owner or the spouse of the owner of a manufactured	31849
or mobile home is eligible for a homestead exemption on the land	31850
upon which the home is located, the reduction in assessable value	31851
to which the owner or spouse is entitled under this section shall	31852
not exceed the difference between the reduction in assessable	31853
value to which the owner or spouse is entitled under column A of	31854
the above scheduledivision (B) of this section and the amount of	31855
the reduction in taxable value that was used to computeunder the	31856
homestead exemption.	31857

(D) No reduction shall be made on the assessable value of	31858
with respect to the home of any person convicted of violating	31859
division (C) or (D) of section 4503.066 of the Revised Code for a	31860
period of three years following the conviction.	31861

Sec. 4503.066.  (A)(1) To obtain a tax reduction in the	31862
assessable value of a manufactured or mobile home under section	31863
4503.065 of the Revised Code, the owner of the home shall file an	31864
application with the county auditor of the county in which the	31865
home is located. An application for reduction in assessable value	31866
taxes based upon a physical disability shall be accompanied by a	31867
certificate signed by a physician, and an application for	31868
reduction in assessable valuetaxes based upon a mental disability	31869
shall be accompanied by a certificate signed by a physician or	31870
psychologist licensed to practice in this state. The certificate	31871
shall attest to the fact that the applicant is permanently and	31872
totally disabled, shall be in a form that the department of	31873
taxation requires, and shall include the definition of totally and	31874
permanently disabled as set forth in section 4503.064 of the	31875
Revised Code. An application for reduction in assessable value	31876
taxes based upon a disability certified as permanent and total by	31877
a state or federal agency having the function of so classifying	31878
persons shall be accompanied by a certificate from that agency.	31879

(2) Each application shall constitute a continuing	31880
application for a reduction in assessable valuetaxes for each	31881
year in which the manufactured or mobile home is occupied by the	31882
applicant and in which the amount of the reduction in assessable	31883
value does not exceed either the amount or per cent of the	31884
reduction for the year in which the application was first filed.	31885
Failure to receive a new application or notification under	31886
division (B) of this section after a certificate of reduction has	31887
been issued under section 4503.067 of the Revised Code is	31888
prima-facie evidence that the original applicant is entitled to	31889
the reduction in assessable value calculated on the basis of the	31890
information contained in the original application. The original	31891
application and any subsequent application shall be in the form of	31892
a signed statement and shall be filed not later than the first	31893
Monday in June. The statement shall be on a form, devised and	31894
supplied by the tax commissioner, that shall require no more	31895
information than is necessary to establish the applicant's	31896
eligibility for the reduction in assessable valuetaxes and the	31897
amount of the reduction to which the applicant is entitled. The	31898
form shall contain a statement that signing such application	31899
constitutes a delegation of authority by the applicant to the	31900
county auditor to examine any financial records that relate to	31901
income earned by the applicant as stated on the application for	31902
the purpose of determining eligibility under, or possible	31903
violation of, division (C) or (D) of this section. The form also	31904
shall contain a statement that conviction of willfully falsifying	31905
information to obtain a reduction in assessable valuetaxes or	31906
failing to comply with division (B) of this section shall result	31907
in the revocation of the right to the reduction for a period of	31908
three years.	31909

(3) A late application for a reduction in assessable value	31910
taxes for the year preceding the year for which an original	31911
application is filed may be filed with an original application. If	31912
the auditor determines that the information contained in the late	31913
application is correct, the auditor shall determine both the	31914
amount of the reduction in assessable valuetaxes to which the	31915
applicant would have been entitled for the current tax year had	31916
the application been timely filed and approved in the preceding	31917
year, and the amount the taxes levied under section 4503.06 of the	31918
Revised Code for the current year would have been reduced as a	31919
result of the reduction in assessable value. When an applicant is	31920
permanently and totally disabled on the first day of January of	31921
the year in which the applicant files a late application, the	31922
auditor, in making the determination of the amounts of the	31923
reduction in assessable value and taxes under division (A)(3) of	31924
this section, is not required to determine that the applicant was	31925
permanently and totally disabled on the first day of January of	31926
the preceding year.	31927

The amount of the reduction in taxes pursuant to a late	31928
application shall be treated as an overpayment of taxes by the	31929
applicant. The auditor shall credit the amount of the overpayment	31930
against the amount of the taxes or penalties then due from the	31931
applicant, and, at the next succeeding settlement, the amount of	31932
the credit shall be deducted from the amount of any taxes or	31933
penalties distributable to the county or any taxing unit in the	31934
county that has received the benefit of the taxes or penalties	31935
previously overpaid, in proportion to the benefits previously	31936
received. If, after the credit has been made, there remains a	31937
balance of the overpayment, or if there are no taxes or penalties	31938
due from the applicant, the auditor shall refund that balance to	31939
the applicant by a warrant drawn on the county treasurer in favor	31940
of the applicant. The treasurer shall pay the warrant from the	31941
general fund of the county. If there is insufficient money in the	31942
general fund to make the payment, the treasurer shall pay the	31943
warrant out of any undivided manufactured or mobile home taxes	31944
subsequently received by the treasurer for distribution to the	31945
county or taxing district in the county that received the benefit	31946
of the overpaid taxes, in proportion to the benefits previously	31947
received, and the amount paid from the undivided funds shall be	31948
deducted from the money otherwise distributable to the county or	31949
taxing district in the county at the next or any succeeding	31950
distribution. At the next or any succeeding distribution after	31951
making the refund, the treasurer shall reimburse the general fund	31952
for any payment made from that fund by deducting the amount of	31953
that payment from the money distributable to the county or other	31954
taxing unit in the county that has received the benefit of the	31955
taxes, in proportion to the benefits previously received. On the	31956
second Monday in September of each year, the county auditor shall	31957
certify the total amount of the reductions in taxes made in the	31958
current year under division (A)(3) of this section to the tax	31959
commissioner who shall treat that amount as a reduction in taxes	31960
for the current tax year and shall make reimbursement to the	31961
county of that amount in the manner prescribed in section 4503.068	31962
of the Revised Code, from moneys appropriated for that purpose.	31963

(B) If in any year after an application has been filed under	31964
division (A) of this section the owner no longer qualifies for the	31965
reduction in assessable valuetaxes for which the owner was issued	31966
a certificate or qualifies for a reduction that is less than	31967
either the per cent or amount of the reduction to which the owner	31968
was entitled in the year the application was filed, the owner	31969
shall notify the county auditor that the owner is not qualified	31970
for a reduction in the assessable value of the home or file a new	31971
application under division (A) of this sectiontaxes.	31972

During January of each year, the county auditor shall furnish	31973
each person issued a certificate of reduction in value, by	31974
ordinary mail, a form on which to report any changes in total	31975
income that would have the effect of increasing or decreasing the	31976
reduction to which the person is entitled, changes in ownership of	31977
the home, including changes in or revocation of a revocable inter	31978
vivos trust, changes in disability, and other changes in the	31979
information earlier furnished the auditor relative to the	31980
application. The form shall be completed and returned to the	31981
auditor not later than the first Monday in June if the changes	31982
would affect the level of reduction in assessable value.	31983

(C) No person shall knowingly make a false statement for the	31984
purpose of obtaining a reduction in assessable valuetaxes under	31985
section 4503.065 of the Revised Code.	31986

(D) No person shall knowingly fail to notify the county	31987
auditor of any change required by division (B) of this section	31988
that has the effect of maintaining or securing a reduction in	31989
assessable value of the home in excess of the reduction allowed	31990
taxes under section 4503.065 of the Revised Code.	31991

(E) No person shall knowingly make a false statement or	31992
certification attesting to any person's physical or mental	31993
condition for purposes of qualifying such person for tax relief	31994
pursuant to sections 4503.064 to 4503.069 of the Revised Code.	31995

(F) Whoever violates division (C), (D), or (E) of this	31996
section is guilty of a misdemeanor of the fourth degree.	31997

Sec. 4503.067.  (A) At the same time the tax bill for the	31998
first half of the tax year is issued, the county auditor shall	31999
issue a certificate of reduction in assessable value oftaxes for	32000
a manufactured or mobile home in triplicate for each person who	32001
has complied with section 4503.066 of the Revised Code and been	32002
found by the auditor to be entitled to a reduction of assessable	32003
valuein taxes for the succeeding tax year. The certificate shall	32004
set forth the assessable value of the home calculated under	32005
section 4503.06 of the Revised Code and the amount of the	32006
reduction in assessable value of the hometaxes calculated under	32007
section 4503.065 of the Revised Code. Upon issuance of the	32008
certificate, the auditor shall reduce the assessable value of	32009
manufactured home tax levied on the home for the succeeding tax	32010
year by the required amount and forward the original and one copy	32011
of the certificate to the county treasurer. The auditor shall	32012
retain one copy of the certificate. The treasurer shall retain the	32013
original certificate and forward the remaining copy to the	32014
recipient with the tax bill delivered pursuant to division (D)(6)	32015
of section 4503.06 of the Revised Code.	32016

(B) If the application or a continuing application is not	32017
approved, the auditor shall notify the applicant of the reasons	32018
for denial no later than the first Monday in October. If a person	32019
believes that the person's application for reduction in assessable	32020
value of a hometaxes has been improperly denied or is for less	32021
than that to which the person is entitled, the person may file an	32022
appeal with the county board of revision no later than the	32023
thirty-first day of January of the following calendar year. The	32024
appeal shall be treated in the same manner as a complaint relating	32025
to the valuation or assessment of real property under Chapter	32026
5715. of the Revised Code.	32027

Sec. 4503.10.  (A) The owner of every snowmobile, off-highway	32028
motorcycle, and all-purpose vehicle required to be registered	32029
under section 4519.02 of the Revised Code shall file an	32030
application for registration under section 4519.03 of the Revised	32031
Code. The owner of a motor vehicle, other than a snowmobile,	32032
off-highway motorcycle, or all-purpose vehicle, that is not	32033
designed and constructed by the manufacturer for operation on a	32034
street or highway may not register it under this chapter except	32035
upon certification of inspection pursuant to section 4513.02 of	32036
the Revised Code by the sheriff, or the chief of police of the	32037
municipal corporation or township, with jurisdiction over the	32038
political subdivision in which the owner of the motor vehicle	32039
resides. Except as provided in section 4503.103 of the Revised	32040
Code, every owner of every other motor vehicle not previously	32041
described in this section and every person mentioned as owner in	32042
the last certificate of title of a motor vehicle that is operated	32043
or driven upon the public roads or highways shall cause to be	32044
filed each year, by mail or otherwise, in the office of the	32045
registrar of motor vehicles or a deputy registrar, a written or	32046
electronic application or a preprinted registration renewal notice	32047
issued under section 4503.102 of the Revised Code, the form of	32048
which shall be prescribed by the registrar, for registration for	32049
the following registration year, which shall begin on the first	32050
day of January of every calendar year and end on the thirty-first	32051
day of December in the same year. Applications for registration	32052
and registration renewal notices shall be filed at the times	32053
established by the registrar pursuant to section 4503.101 of the	32054
Revised Code. A motor vehicle owner also may elect to apply for or	32055
renew a motor vehicle registration by electronic means using	32056
electronic signature in accordance with rules adopted by the	32057
registrar. Except as provided in division (J) of this section,	32058
applications for registration shall be made on blanks furnished by	32059
the registrar for that purpose, containing the following	32060
information:	32061

(1) A brief description of the motor vehicle to be	32062
registered, including the year, make, model, and vehicle	32063
identification number, and, in the case of commercial cars, the	32064
gross weight of the vehicle fully equipped computed in the manner	32065
prescribed in section 4503.08 of the Revised Code;	32066

(2) The name and residence address of the owner, and the	32067
township and municipal corporation in which the owner resides;	32068

(3) The district of registration, which shall be determined	32069
as follows:	32070

(a) In case the motor vehicle to be registered is used for	32071
hire or principally in connection with any established business or	32072
branch business, conducted at a particular place, the district of	32073
registration is the municipal corporation in which that place is	32074
located or, if not located in any municipal corporation, the	32075
county and township in which that place is located.	32076

(b) In case the vehicle is not so used, the district of	32077
registration is the municipal corporation or county in which the	32078
owner resides at the time of making the application.	32079

(4) Whether the motor vehicle is a new or used motor vehicle;

32080

(5) The date of purchase of the motor vehicle;

32081

(6) Whether the fees required to be paid for the registration	32082
or transfer of the motor vehicle, during the preceding	32083
registration year and during the preceding period of the current	32084
registration year, have been paid. Each application for	32085
registration shall be signed by the owner, either manually or by	32086
electronic signature, or pursuant to obtaining a limited power of	32087
attorney authorized by the registrar for registration, or other	32088
document authorizing such signature. If the owner elects to apply	32089
for or renew the motor vehicle registration with the registrar by	32090
electronic means, the owner's manual signature is not required.	32091

(7) The owner's social security number, if assigned, or,	32092
where a motor vehicle to be registered is used for hire or	32093
principally in connection with any established business, the	32094
owner's federal taxpayer identification number. The bureau of	32095
motor vehicles shall retain in its records all social security	32096
numbers provided under this section, but the bureau shall not	32097
place social security numbers on motor vehicle certificates of	32098
registration.	32099

(B) Except as otherwise provided in this division, each time	32100
an applicant first registers a motor vehicle in the applicant's	32101
name, the applicant shall present for inspection a physical	32102
certificate of title or memorandum certificate showing title to	32103
the motor vehicle to be registered in the name of the applicant if	32104
a physical certificate of title or memorandum certificate has been	32105
issued by a clerk of a court of common pleas. If, under sections	32106
4505.021, 4505.06, and 4505.08 of the Revised Code, a clerk	32107
instead has issued an electronic certificate of title for the	32108
applicant's motor vehicle, that certificate may be presented for	32109
inspection at the time of first registration in a manner	32110
prescribed by rules adopted by the registrar. An applicant is not	32111
required to present a certificate of title to an electronic motor	32112
vehicle dealer acting as a limited authority deputy registrar in	32113
accordance with rules adopted by the registrar. When a motor	32114
vehicle inspection and maintenance program is in effect under	32115
section 3704.14 of the Revised Code and rules adopted under it,	32116
each application for registration for a vehicle required to be	32117
inspected under that section and those rules shall be accompanied	32118
by an inspection certificate for the motor vehicle issued in	32119
accordance with that section. The application shall be refused if	32120
any of the following applies:	32121

(1) The application is not in proper form.

32122

(2) The application is prohibited from being accepted by	32123
division (D) of section 2935.27, division (A) of section 2937.221,	32124
division (A) of section 4503.13, division (B) of section 4510.22,	32125
or division (B)(1) of section 4521.10 of the Revised Code.	32126

(3) A certificate of title or memorandum certificate of title	32127
is required but does not accompany the application or, in the case	32128
of an electronic certificate of title, is required but is not	32129
presented in a manner prescribed by the registrar's rules.	32130

(4) All registration and transfer fees for the motor vehicle,	32131
for the preceding year or the preceding period of the current	32132
registration year, have not been paid.	32133

(5) The owner or lessee does not have an inspection	32134
certificate for the motor vehicle as provided in section 3704.14	32135
of the Revised Code, and rules adopted under it, if that section	32136
is applicable.	32137

This section does not require the payment of license or	32138
registration taxes on a motor vehicle for any preceding year, or	32139
for any preceding period of a year, if the motor vehicle was not	32140
taxable for that preceding year or period under sections 4503.02,	32141
4503.04, 4503.11, 4503.12, and 4503.16 or Chapter 4504. of the	32142
Revised Code. When a certificate of registration is issued upon	32143
the first registration of a motor vehicle by or on behalf of the	32144
owner, the official issuing the certificate shall indicate the	32145
issuance with a stamp on the certificate of title or memorandum	32146
certificate or, in the case of an electronic certificate of title,	32147
an electronic stamp or other notation as specified in rules	32148
adopted by the registrar, and with a stamp on the inspection	32149
certificate for the motor vehicle, if any. The official also shall	32150
indicate, by a stamp or by other means the registrar prescribes,	32151
on the registration certificate issued upon the first registration	32152
of a motor vehicle by or on behalf of the owner the odometer	32153
reading of the motor vehicle as shown in the odometer statement	32154
included in or attached to the certificate of title. Upon each	32155
subsequent registration of the motor vehicle by or on behalf of	32156
the same owner, the official also shall so indicate the odometer	32157
reading of the motor vehicle as shown on the immediately preceding	32158
certificate of registration.	32159

The registrar shall include in the permanent registration	32160
record of any vehicle required to be inspected under section	32161
3704.14 of the Revised Code the inspection certificate number from	32162
the inspection certificate that is presented at the time of	32163
registration of the vehicle as required under this division.	32164

(C)(1) Commencing with each registration renewal with an	32165
expiration date on or after October 1, 2003, and for each initial	32166
application for registration received on and after that date, the	32167
registrar and each deputy registrar shall collect an additional	32168
fee of eleven dollars for each application for registration and	32169
registration renewal received. The additional fee is for the	32170
purpose of defraying the department of public safety's costs	32171
associated with the administration and enforcement of the motor	32172
vehicle and traffic laws of Ohio. Each deputy registrar shall	32173
transmit the fees collected under division (C)(1) of this section	32174
in the time and manner provided in this section. The registrar	32175
shall deposit all moneys received under division (C)(1) of this	32176
section into the state highway safety fund established in section	32177
4501.06 of the Revised Code.	32178

(2) In addition, a charge of twenty-five cents shall be made	32179
for each reflectorized safety license plate issued, and a single	32180
charge of twenty-five cents shall be made for each county	32181
identification sticker or each set of county identification	32182
stickers issued, as the case may be, to cover the cost of	32183
producing the license plates and stickers, including material,	32184
manufacturing, and administrative costs. Those fees shall be in	32185
addition to the license tax. If the total cost of producing the	32186
plates is less than twenty-five cents per plate, or if the total	32187
cost of producing the stickers is less than twenty-five cents per	32188
sticker or per set issued, any excess moneys accruing from the	32189
fees shall be distributed in the same manner as provided by	32190
section 4501.04 of the Revised Code for the distribution of	32191
license tax moneys. If the total cost of producing the plates	32192
exceeds twenty-five cents per plate, or if the total cost of	32193
producing the stickers exceeds twenty-five cents per sticker or	32194
per set issued, the difference shall be paid from the license tax	32195
moneys collected pursuant to section 4503.02 of the Revised Code.	32196

(D) Each deputy registrar shall be allowed a fee of two	32197
dollars and seventy-five cents commencing on July 1, 2001, three	32198
dollars and twenty-five cents commencing on January 1, 2003, and	32199
three dollars and fifty cents commencing on January 1, 2004, for	32200
each application for registration and registration renewal notice	32201
the deputy registrar receives, which shall be for the purpose of	32202
compensating the deputy registrar for the deputy registrar's	32203
services, and such office and rental expenses, as may be necessary	32204
for the proper discharge of the deputy registrar's duties in the	32205
receiving of applications and renewal notices and the issuing of	32206
registrations.	32207

(E) Upon the certification of the registrar, the county	32208
sheriff or local police officials shall recover license plates	32209
erroneously or fraudulently issued.	32210

(F) Each deputy registrar, upon receipt of any application	32211
for registration or registration renewal notice, together with the	32212
license fee and any local motor vehicle license tax levied	32213
pursuant to Chapter 4504. of the Revised Code, shall transmit that	32214
fee and tax, if any, in the manner provided in this section,	32215
together with the original and duplicate copy of the application,	32216
to the registrar. The registrar, subject to the approval of the	32217
director of public safety, may deposit the funds collected by	32218
those deputies in a local bank or depository to the credit of the	32219
"state of Ohio, bureau of motor vehicles." Where a local bank or	32220
depository has been designated by the registrar, each deputy	32221
registrar shall deposit all moneys collected by the deputy	32222
registrar into that bank or depository not more than one business	32223
day after their collection and shall make reports to the registrar	32224
of the amounts so deposited, together with any other information,	32225
some of which may be prescribed by the treasurer of state, as the	32226
registrar may require and as prescribed by the registrar by rule.	32227
The registrar, within three days after receipt of notification of	32228
the deposit of funds by a deputy registrar in a local bank or	32229
depository, shall draw on that account in favor of the treasurer	32230
of state. The registrar, subject to the approval of the director	32231
and the treasurer of state, may make reasonable rules necessary	32232
for the prompt transmittal of fees and for safeguarding the	32233
interests of the state and of counties, townships, municipal	32234
corporations, and transportation improvement districts levying	32235
local motor vehicle license taxes. The registrar may pay service	32236
charges usually collected by banks and depositories for such	32237
service. If deputy registrars are located in communities where	32238
banking facilities are not available, they shall transmit the fees	32239
forthwith, by money order or otherwise, as the registrar, by rule	32240
approved by the director and the treasurer of state, may	32241
prescribe. The registrar may pay the usual and customary fees for	32242
such service.	32243

(G) This section does not prevent any person from making an	32244
application for a motor vehicle license directly to the registrar	32245
by mail, by electronic means, or in person at any of the	32246
registrar's offices, upon payment of a service fee of two dollars	32247
and seventy-five cents commencing on July 1, 2001, three dollars	32248
and twenty-five cents commencing on January 1, 2003, and three	32249
dollars and fifty cents commencing on January 1, 2004, for each	32250
application.	32251

(H) No person shall make a false statement as to the district	32252
of registration in an application required by division (A) of this	32253
section. Violation of this division is falsification under section	32254
2921.13 of the Revised Code and punishable as specified in that	32255
section.	32256

(I)(1) Where applicable, the requirements of division (B) of	32257
this section relating to the presentation of an inspection	32258
certificate issued under section 3704.14 of the Revised Code and	32259
rules adopted under it for a motor vehicle, the refusal of a	32260
license for failure to present an inspection certificate, and the	32261
stamping of the inspection certificate by the official issuing the	32262
certificate of registration apply to the registration of and	32263
issuance of license plates for a motor vehicle under sections	32264
4503.102, 4503.12, 4503.14, 4503.15, 4503.16, 4503.171, 4503.172,	32265
4503.19, 4503.40, 4503.41, 4503.42, 4503.43, 4503.44, 4503.46,	32266
4503.47, and 4503.51 of the Revised Code.	32267

(2)(a) The registrar shall adopt rules ensuring that each	32268
owner registering a motor vehicle in a county where a motor	32269
vehicle inspection and maintenance program is in effect under	32270
section 3704.14 of the Revised Code and rules adopted under it	32271
receives information about the requirements established in that	32272
section and those rules and about the need in those counties to	32273
present an inspection certificate with an application for	32274
registration or preregistration.	32275

(b) Upon request, the registrar shall provide the director of	32276
environmental protection, or any person that has been awarded a	32277
contract under division (D) of section 3704.14 of the Revised	32278
Code, an on-line computer data link to registration information	32279
for all passenger cars, noncommercial motor vehicles, and	32280
commercial cars that are subject to that section. The registrar	32281
also shall provide to the director of environmental protection a	32282
magnetic data tape containing registration information regarding	32283
passenger cars, noncommercial motor vehicles, and commercial cars	32284
for which a multi-year registration is in effect under section	32285
4503.103 of the Revised Code or rules adopted under it, including,	32286
without limitation, the date of issuance of the multi-year	32287
registration, the registration deadline established under rules	32288
adopted under section 4503.101 of the Revised Code that was	32289
applicable in the year in which the multi-year registration was	32290
issued, and the registration deadline for renewal of the	32291
multi-year registration.	32292

(J) Application for registration under the international	32293
registration plan, as set forth in sections 4503.60 to 4503.66 of	32294
the Revised Code, shall be made to the registrar on forms	32295
furnished by the registrar. In accordance with international	32296
registration plan guidelines and pursuant to rules adopted by the	32297
registrar, the forms shall include the following:	32298

(1) A uniform mileage schedule;

32299

(2) The gross vehicle weight of the vehicle or combined gross	32300
vehicle weight of the combination vehicle as declared by the	32301
registrant;	32302

(3) Any other information the registrar requires by rule.

32303

Sec. 4503.35. (A) The motor vehicles furnished by the state	32304
for use by the elective state officials, and motor vehicles owned	32305
and operated by political subdivisions of the state, are exempt	32306
from section 4503.23 of the Revised Code.	32307

(B) The motorfollowing vehicles are exempt from section	32308
4503.23 of the Revised Code:	32309

(1) Motor vehicles operated by troopers of the state highway	32310
patrol, and motor;	32311

(2) Motor vehicles operated by or on behalf of any person	32312
whose responsibilities include involvement in authorized civil or	32313
criminal investigations requiring that the presence and identity	32314
of the vehicle occupants be undisclosed, are exempt from section	32315
4503.23 of the Revised Code;	32316

(3) Motor vehicles used to assist crime victims when a state	32317
agency determines that the situation warrants it.	32318

Sec. 4505.06.  (A)(1) Application for a certificate of title	32319
shall be made in a form prescribed by the registrar of motor	32320
vehicles and shall be sworn to before a notary public or other	32321
officer empowered to administer oaths. The application shall be	32322
filed with the clerk of any court of common pleas. An application	32323
for a certificate of title may be filed electronically by any	32324
electronic means approved by the registrar in any county with the	32325
clerk of the court of common pleas of that county. Any payments	32326
required by this chapter shall be considered as accompanying any	32327
electronically transmitted application when payment actually is	32328
received by the clerk. Payment of any fee or taxes may be made by	32329
electronic transfer of funds.	32330

(2) The application for a certificate of title shall be	32331
accompanied by the fee prescribed in section 4505.09 of the	32332
Revised Code. The fee shall be retained by the clerk who issues	32333
the certificate of title and shall be distributed in accordance	32334
with that section. If a clerk of a court of common pleas, other	32335
than the clerk of the court of common pleas of an applicant's	32336
county of residence, issues a certificate of title to the	32337
applicant, the clerk shall transmit data related to the	32338
transaction to the automated title processing system.	32339

(3) If a certificate of title previously has been issued for	32340
a motor vehicle in this state, the application for a certificate	32341
of title also shall be accompanied by that certificate of title	32342
duly assigned, unless otherwise provided in this chapter. If a	32343
certificate of title previously has not been issued for the motor	32344
vehicle in this state, the application, unless otherwise provided	32345
in this chapter, shall be accompanied by a manufacturer's or	32346
importer's certificate or by a certificate of title of another	32347
state from which the motor vehicle was brought into this state. If	32348
the application refers to a motor vehicle last previously	32349
registered in another state, the application also shall be	32350
accompanied by the physical inspection certificate required by	32351
section 4505.061 of the Revised Code. If the application is made	32352
by two persons regarding a motor vehicle in which they wish to	32353
establish joint ownership with right of survivorship, they may do	32354
so as provided in section 2131.12 of the Revised Code. If the	32355
applicant requests a designation of the motor vehicle in	32356
beneficiary form so that upon the death of the owner of the motor	32357
vehicle, ownership of the motor vehicle will pass to a designated	32358
transfer-on-death beneficiary or beneficiaries, the applicant may	32359
do so as provided in section 2131.13 of the Revised Code. A person	32360
who establishes ownership of a motor vehicle that is transferable	32361
on death in accordance with section 2131.13 of the Revised Code	32362
may terminate that type of ownership or change the designation of	32363
the transfer-on-death beneficiary or beneficiaries by applying for	32364
a certificate of title pursuant to this section. The clerk shall	32365
retain the evidence of title presented by the applicant and on	32366
which the certificate of title is issued, except that, if an	32367
application for a certificate of title is filed electronically by	32368
an electronic motor vehicle dealer on behalf of the purchaser of a	32369
motor vehicle, the clerk shall retain the completed electronic	32370
record to which the dealer converted the certificate of title	32371
application and other required documents. The registrar, after	32372
consultation with the attorney general, shall adopt rules that	32373
govern the location at which, and the manner in which, are stored	32374
the actual application and all other documents relating to the	32375
sale of a motor vehicle when an electronic motor vehicle dealer	32376
files the application for a certificate of title electronically on	32377
behalf of the purchaser.	32378

The clerk shall use reasonable diligence in ascertaining	32379
whether or not the facts in the application for a certificate of	32380
title are true by checking the application and documents	32381
accompanying it or the electronic record to which a dealer	32382
converted the application and accompanying documents with the	32383
records of motor vehicles in the clerk's office. If the clerk is	32384
satisfied that the applicant is the owner of the motor vehicle and	32385
that the application is in the proper form, the clerk, within five	32386
business days after the application is filed and except as	32387
provided in section 4505.021 of the Revised Code, shall issue a	32388
physical certificate of title over the clerk's signature and	32389
sealed with the clerk's seal, unless the applicant specifically	32390
requests the clerk not to issue a physical certificate of title	32391
and instead to issue an electronic certificate of title. For	32392
purposes of the transfer of a certificate of title, if the clerk	32393
is satisfied that the secured party has duly discharged a lien	32394
notation but has not canceled the lien notation with a clerk, the	32395
clerk may cancel the lien notation on the automated title	32396
processing system and notify the clerk of the county of origin.	32397

(4) In the case of the sale of a motor vehicle to a general	32398
buyer or user by a dealer, by a motor vehicle leasing dealer	32399
selling the motor vehicle to the lessee or, in a case in which the	32400
leasing dealer subleased the motor vehicle, the sublessee, at the	32401
end of the lease agreement or sublease agreement, or by a	32402
manufactured home broker, the certificate of title shall be	32403
obtained in the name of the buyer by the dealer, leasing dealer,	32404
or manufactured home broker, as the case may be, upon application	32405
signed by the buyer. The certificate of title shall be issued, or	32406
the process of entering the certificate of title application	32407
information into the automated title processing system if a	32408
physical certificate of title is not to be issued shall be	32409
completed, within five business days after the application for	32410
title is filed with the clerk. If the buyer of the motor vehicle	32411
previously leased the motor vehicle and is buying the motor	32412
vehicle at the end of the lease pursuant to that lease, the	32413
certificate of title shall be obtained in the name of the buyer by	32414
the motor vehicle leasing dealer who previously leased the motor	32415
vehicle to the buyer or by the motor vehicle leasing dealer who	32416
subleased the motor vehicle to the buyer under a sublease	32417
agreement.	32418

In all other cases, except as provided in section 4505.032	32419
and division (D)(2) of section 4505.11 of the Revised Code, such	32420
certificates shall be obtained by the buyer.	32421

(5)(a)(i) If the certificate of title is being obtained in	32422
the name of the buyer by a motor vehicle dealer or motor vehicle	32423
leasing dealer and there is a security interest to be noted on the	32424
certificate of title, the dealer or leasing dealer shall submit	32425
the application for the certificate of title and payment of the	32426
applicable tax to a clerk within seven business days after the	32427
later of the delivery of the motor vehicle to the buyer or the	32428
date the dealer or leasing dealer obtains the manufacturer's or	32429
importer's certificate, or certificate of title issued in the name	32430
of the dealer or leasing dealer, for the motor vehicle. Submission	32431
of the application for the certificate of title and payment of the	32432
applicable tax within the required seven business days may be	32433
indicated by postmark or receipt by a clerk within that period.	32434

(ii) Upon receipt of the certificate of title with the	32435
security interest noted on its face, the dealer or leasing dealer	32436
shall forward the certificate of title to the secured party at the	32437
location noted in the financing documents or otherwise specified	32438
by the secured party.	32439

(iii) A motor vehicle dealer or motor vehicle leasing dealer	32440
is liable to a secured party for a late fee of ten dollars per day	32441
for each certificate of title application and payment of the	32442
applicable tax that is submitted to a clerk more than seven	32443
business days but less than twenty-one days after the later of the	32444
delivery of the motor vehicle to the buyer or the date the dealer	32445
or leasing dealer obtains the manufacturer's or importer's	32446
certificate, or certificate of title issued in the name of the	32447
dealer or leasing dealer, for the motor vehicle and, from then on,	32448
twenty-five dollars per day until the application and applicable	32449
tax are submitted to a clerk.	32450

(b) In all cases of transfer of a motor vehicle, the	32451
application for certificate of title shall be filed within thirty	32452
days after the assignment or delivery of the motor vehicle. If an	32453
application for a certificate of title is not filed within the	32454
period specified in division (A)(5)(b) of this section, the clerk	32455
shall collect a fee of five dollars for the issuance of the	32456
certificate, except that no such fee shall be required from a	32457
motor vehicle salvage dealer, as defined in division (A) of	32458
section 4738.01 of the Revised Code, who immediately surrenders	32459
the certificate of title for cancellation. The fee shall be in	32460
addition to all other fees established by this chapter, and shall	32461
be retained by the clerk. The registrar shall provide, on the	32462
certificate of title form prescribed by section 4505.07 of the	32463
Revised Code, language necessary to give evidence of the date on	32464
which the assignment or delivery of the motor vehicle was made.	32465

(6) As used in division (A) of this section, "lease	32466
agreement," "lessee," and "sublease agreement" have the same	32467
meanings as in section 4505.04 of the Revised Code.	32468

(B)(1) The clerk, except as provided in this section, shall	32469
refuse to accept for filing any application for a certificate of	32470
title and shall refuse to issue a certificate of title unless the	32471
dealer or manufactured home broker or the applicant, in cases in	32472
which the certificate shall be obtained by the buyer, submits with	32473
the application payment of the tax levied by or pursuant to	32474
Chapters 5739. and 5741. of the Revised Code based on the	32475
purchaser's county of residence. Upon payment of the tax in	32476
accordance with division (E) of this section, the clerk shall	32477
issue a receipt prescribed by the registrar and agreed upon by the	32478
tax commissioner showing payment of the tax or a receipt issued by	32479
the commissioner showing the payment of the tax. When submitting	32480
payment of the tax to the clerk, a dealer shall retain any	32481
discount to which the dealer is entitled under section 5739.12 of	32482
the Revised Code.	32483

(2) For receiving and disbursing such taxes paid to the clerk	32484
by a resident of the clerk's county, the clerk may retain a	32485
poundage fee of one and one one-hundredth per cent, and the clerk	32486
shall pay the poundage fee into the certificate of title	32487
administration fund created by section 325.33 of the Revised Code.	32488
The clerk shall not retain a poundage fee from payments of taxes	32489
by persons who do not reside in the clerk's county.	32490

A clerk, however, may retain from the taxes paid to the clerk	32491
an amount equal to the poundage fees associated with certificates	32492
of title issued by other clerks of courts of common pleas to	32493
applicants who reside in the first clerk's county. The registrar,	32494
in consultation with the tax commissioner and the clerks of the	32495
courts of common pleas, shall develop a report from the automated	32496
title processing system that informs each clerk of the amount of	32497
the poundage fees that the clerk is permitted to retain from those	32498
taxes because of certificates of title issued by the clerks of	32499
other counties to applicants who reside in the first clerk's	32500
county.	32501

(3) In the case of casual sales of motor vehicles, as defined	32502
in section 4517.01 of the Revised Code, the price for the purpose	32503
of determining the tax shall be the purchase price on the assigned	32504
certificate of title executed by the seller and filed with the	32505
clerk by the buyer on a form to be prescribed by the registrar,	32506
which shall be prima-facie evidence of the amount for the	32507
determination of the tax.	32508

(4) Each county clerk shall forward to the treasurer of state	32509
all sales and use tax collections resulting from sales of motor	32510
vehicles, off-highway motorcycles, and all-purpose vehicles during	32511
a calendar week on or before the Friday following the close of	32512
that week. If, on any Friday, the offices of the clerk of courts	32513
or the state are not open for business, the tax shall be forwarded	32514
to the treasurer of state on or before the next day on which the	32515
offices are open. Every remittance of tax under division (B)(4) of	32516
this section shall be accompanied by a remittance report in such	32517
form as the tax commissioner prescribes. Upon receipt of a tax	32518
remittance and remittance report, the treasurer of state shall	32519
date stamp the report and forward it to the tax commissioner. If	32520
the tax due for any week is not remitted by a clerk of courts as	32521
required under division (B)(4) of this section, the commissioner	32522
may require the clerk to forfeit the poundage fees for the sales	32523
made during that week. The treasurer of state may require the	32524
clerks of courts to transmit tax collections and remittance	32525
reports electronically.	32526

(C)(1) If the transferor indicates on the certificate of	32527
title that the odometer reflects mileage in excess of the designed	32528
mechanical limit of the odometer, the clerk shall enter the phrase	32529
"exceeds mechanical limits" following the mileage designation. If	32530
the transferor indicates on the certificate of title that the	32531
odometer reading is not the actual mileage, the clerk shall enter	32532
the phrase "nonactual: warning - odometer discrepancy" following	32533
the mileage designation. The clerk shall use reasonable care in	32534
transferring the information supplied by the transferor, but is	32535
not liable for any errors or omissions of the clerk or those of	32536
the clerk's deputies in the performance of the clerk's duties	32537
created by this chapter.	32538

The registrar shall prescribe an affidavit in which the	32539
transferor shall swear to the true selling price and, except as	32540
provided in this division, the true odometer reading of the motor	32541
vehicle. The registrar may prescribe an affidavit in which the	32542
seller and buyer provide information pertaining to the odometer	32543
reading of the motor vehicle in addition to that required by this	32544
section, as such information may be required by the United States	32545
secretary of transportation by rule prescribed under authority of	32546
subchapter IV of the "Motor Vehicle Information and Cost Savings	32547
Act," 86 Stat. 961 (1972), 15 U.S.C. 1981.	32548

(2) Division (C)(1) of this section does not require the	32549
giving of information concerning the odometer and odometer reading	32550
of a motor vehicle when ownership of a motor vehicle is being	32551
transferred as a result of a bequest, under the laws of intestate	32552
succession, to a survivor pursuant to section 2106.18, 2131.12, or	32553
4505.10 of the Revised Code, to a transfer-on-death beneficiary or	32554
beneficiaries pursuant to section 2131.13 of the Revised Code, in	32555
connection with the creation of a security interest or for a	32556
vehicle with a gross vehicle weight rating of more than sixteen	32557
thousand pounds.	32558

(D) When the transfer to the applicant was made in some other	32559
state or in interstate commerce, the clerk, except as provided in	32560
this section, shall refuse to issue any certificate of title	32561
unless the tax imposed by or pursuant to Chapter 5741. of the	32562
Revised Code based on the purchaser's county of residence has been	32563
paid as evidenced by a receipt issued by the tax commissioner, or	32564
unless the applicant submits with the application payment of the	32565
tax. Upon payment of the tax in accordance with division (E) of	32566
this section, the clerk shall issue a receipt prescribed by the	32567
registrar and agreed upon by the tax commissioner, showing payment	32568
of the tax.	32569

For receiving and disbursing such taxes paid to the clerk by	32570
a resident of the clerk's county, the clerk may retain a poundage	32571
fee of one and one one-hundredth per cent. The clerk shall not	32572
retain a poundage fee from payments of taxes by persons who do not	32573
reside in the clerk's county.	32574

A clerk, however, may retain from the taxes paid to the clerk	32575
an amount equal to the poundage fees associated with certificates	32576
of title issued by other clerks of courts of common pleas to	32577
applicants who reside in the first clerk's county. The registrar,	32578
in consultation with the tax commissioner and the clerks of the	32579
courts of common pleas, shall develop a report from the automated	32580
title processing system that informs each clerk of the amount of	32581
the poundage fees that the clerk is permitted to retain from those	32582
taxes because of certificates of title issued by the clerks of	32583
other counties to applicants who reside in the first clerk's	32584
county.	32585

When the vendor is not regularly engaged in the business of	32586
selling motor vehicles, the vendor shall not be required to	32587
purchase a vendor's license or make reports concerning those	32588
sales.	32589

(E) The clerk shall accept any payment of a tax in cash, or	32590
by cashier's check, certified check, draft, money order, or teller	32591
check issued by any insured financial institution payable to the	32592
clerk and submitted with an application for a certificate of title	32593
under division (B) or (D) of this section. The clerk also may	32594
accept payment of the tax by corporate, business, or personal	32595
check, credit card, electronic transfer or wire transfer, debit	32596
card, or any other accepted form of payment made payable to the	32597
clerk. The clerk may require bonds, guarantees, or letters of	32598
credit to ensure the collection of corporate, business, or	32599
personal checks. Any service fee charged by a third party to a	32600
clerk for the use of any form of payment may be paid by the clerk	32601
from the certificate of title administration fund created in	32602
section 325.33 of the Revised Code, or may be assessed by the	32603
clerk upon the applicant as an additional fee. Upon collection,	32604
the additional fees shall be paid by the clerk into that	32605
certificate of title administration fund.	32606

The clerk shall make a good faith effort to collect any	32607
payment of taxes due but not made because the payment was returned	32608
or dishonored, but the clerk is not personally liable for the	32609
payment of uncollected taxes or uncollected fees. The clerk shall	32610
notify the tax commissioner of any such payment of taxes that is	32611
due but not made and shall furnish the information to the	32612
commissioner that the commissioner requires. The clerk shall	32613
deduct the amount of taxes due but not paid from the clerk's	32614
periodic remittance of tax payments, in accordance with procedures	32615
agreed upon by the tax commissioner. The commissioner may collect	32616
taxes due by assessment in the manner provided in section 5739.13	32617
of the Revised Code.	32618

Any person who presents payment that is returned or	32619
dishonored for any reason is liable to the clerk for payment of a	32620
penalty over and above the amount of the taxes due. The clerk	32621
shall determine the amount of the penalty, and the penalty shall	32622
be no greater than that amount necessary to compensate the clerk	32623
for banking charges, legal fees, or other expenses incurred by the	32624
clerk in collecting the returned or dishonored payment. The	32625
remedies and procedures provided in this section are in addition	32626
to any other available civil or criminal remedies. Subsequently	32627
collected penalties, poundage fees, and title fees, less any title	32628
fee due the state, from returned or dishonored payments collected	32629
by the clerk shall be paid into the certificate of title	32630
administration fund. Subsequently collected taxes, less poundage	32631
fees, shall be sent by the clerk to the treasurer of state at the	32632
next scheduled periodic remittance of tax payments, with	32633
information as the commissioner may require. The clerk may abate	32634
all or any part of any penalty assessed under this division.	32635

(F) In the following cases, the clerk shall accept for filing	32636
an application and shall issue a certificate of title without	32637
requiring payment or evidence of payment of the tax:	32638

(1) When the purchaser is this state or any of its political	32639
subdivisions, a church, or an organization whose purchases are	32640
exempted by section 5739.02 of the Revised Code;	32641

(2) When the transaction in this state is not a retail sale	32642
as defined by section 5739.01 of the Revised Code;	32643

(3) When the purchase is outside this state or in interstate	32644
commerce and the purpose of the purchaser is not to use, store, or	32645
consume within the meaning of section 5741.01 of the Revised Code;	32646

(4) When the purchaser is the federal government;

32647

(5) When the motor vehicle was purchased outside this state	32648
for use outside this state;	32649

(6) When the motor vehicle is purchased by a nonresident of	32650
this state for immediate removal from this state, and will be	32651
permanently titled and registered in another state, as provided by	32652
division (B)(23) of section 5739.02under the circumstances	32653
described in division (B) of section 5739.029 of the Revised Code,	32654
and upon presentation of a copy of the affidavit provided by that	32655
section, and a copy of the exemption certificate provided by	32656
section 5739.03 of the Revised Code.	32657

(G) An application, as prescribed by the registrar and agreed	32658
to by the tax commissioner, shall be filled out and sworn to by	32659
the buyer of a motor vehicle in a casual sale. The application	32660
shall contain the following notice in bold lettering: "WARNING TO	32661
TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You are required by	32662
law to state the true selling price. A false statement is in	32663
violation of section 2921.13 of the Revised Code and is punishable	32664
by six months' imprisonment or a fine of up to one thousand	32665
dollars, or both. All transfers are audited by the department of	32666
taxation. The seller and buyer must provide any information	32667
requested by the department of taxation. The buyer may be assessed	32668
any additional tax found to be due."	32669

(H) For sales of manufactured homes or mobile homes occurring	32670
on or after January 1, 2000, the clerk shall accept for filing,	32671
pursuant to Chapter 5739. of the Revised Code, an application for	32672
a certificate of title for a manufactured home or mobile home	32673
without requiring payment of any tax pursuant to section 5739.02,	32674
5741.021, 5741.022, or 5741.023 of the Revised Code, or a receipt	32675
issued by the tax commissioner showing payment of the tax. For	32676
sales of manufactured homes or mobile homes occurring on or after	32677
January 1, 2000, the applicant shall pay to the clerk an	32678
additional fee of five dollars for each certificate of title	32679
issued by the clerk for a manufactured or mobile home pursuant to	32680
division (H) of section 4505.11 of the Revised Code and for each	32681
certificate of title issued upon transfer of ownership of the	32682
home. The clerk shall credit the fee to the county certificate of	32683
title administration fund, and the fee shall be used to pay the	32684
expenses of archiving those certificates pursuant to division (A)	32685
of section 4505.08 and division (H)(3) of section 4505.11 of the	32686
Revised Code. The tax commissioner shall administer any tax on a	32687
manufactured or mobile home pursuant to Chapters 5739. and 5741.	32688
of the Revised Code.	32689

(I) Every clerk shall have the capability to transact by	32690
electronic means all procedures and transactions relating to the	32691
issuance of motor vehicle certificates of title that are described	32692
in the Revised Code as being accomplished by electronic means.	32693

Sec. 4513.263.  (A) As used in this section and in section	32694
4513.99 of the Revised Code:	32695

(1) "Automobile" means any commercial tractor, passenger car,	32696
commercial car, or truck that is required to be factory-equipped	32697
with an occupant restraining device for the operator or any	32698
passenger by regulations adopted by the United States secretary of	32699
transportation pursuant to the "National Traffic and Motor Vehicle	32700
Safety Act of 1966," 80 Stat. 719, 15 U.S.C.A. 1392.	32701

(2) "Occupant restraining device" means a seat safety belt,	32702
shoulder belt, harness, or other safety device for restraining a	32703
person who is an operator of or passenger in an automobile and	32704
that satisfies the minimum federal vehicle safety standards	32705
established by the United States department of transportation.	32706

(3) "Passenger" means any person in an automobile, other than	32707
its operator, who is occupying a seating position for which an	32708
occupant restraining device is provided.	32709

(4) "Commercial tractor," "passenger car," and "commercial	32710
car" have the same meanings as in section 4501.01 of the Revised	32711
Code.	32712

(5) "Vehicle" and "motor vehicle," as used in the definitions	32713
of the terms set forth in division (A)(4) of this section, have	32714
the same meanings as in section 4511.01 of the Revised Code.	32715

(6) "Tort action" means a civil action for damages for	32716
injury, death, or loss to person or property. "Tort action"	32717
includes a product liability claim, as defined in section 2307.71	32718
of the Revised Code, and an asbestos claim, as defined in section	32719
2307.91 of the Revised Code, but does not include a civil action	32720
for damages for breach of contract or another agreement between	32721
persons.	32722

(B) No person shall do any of the following:

32723

(1) Operate an automobile on any street or highway unless	32724
that person is wearing all of the available elements of a properly	32725
adjusted occupant restraining device, or operate a school bus that	32726
has an occupant restraining device installed for use in its	32727
operator's seat unless that person is wearing all of the available	32728
elements of the device, as properly adjusted;	32729

(2) Operate an automobile on any street or highway unless	32730
each passenger in the automobile who is subject to the requirement	32731
set forth in division (B)(3) of this section is wearing all of the	32732
available elements of a properly adjusted occupant restraining	32733
device;	32734

(3) Occupy, as a passenger, a seating position on the front	32735
seat of an automobile being operated on any street or highway	32736
unless that person is wearing all of the available elements of a	32737
properly adjusted occupant restraining device;	32738

(4) Operate a taxicab on any street or highway unless all	32739
factory-equipped occupant restraining devices in the taxicab are	32740
maintained in usable form.	32741

(C) Division (B)(3) of this section does not apply to a	32742
person who is required by section 4511.81 of the Revised Code to	32743
be secured in a child restraint device. Division (B)(1) of this	32744
section does not apply to a person who is an employee of the	32745
United States postal service or of a newspaper home delivery	32746
service, during any period in which the person is engaged in the	32747
operation of an automobile to deliver mail or newspapers to	32748
addressees. Divisions (B)(1) and (3) of this section do not apply	32749
to a person who has an affidavit signed by a physician licensed to	32750
practice in this state under Chapter 4731. of the Revised Code or	32751
a chiropractor licensed to practice in this state under Chapter	32752
4734. of the Revised Code that states that the person has a	32753
physical impairment that makes use of an occupant restraining	32754
device impossible or impractical.	32755

(D) Notwithstanding any provision of law to the contrary, no	32756
law enforcement officer shall cause an operator of an automobile	32757
being operated on any street or highway to stop the automobile for	32758
the sole purpose of determining whether a violation of division	32759
(B) of this section has been or is being committed or for the sole	32760
purpose of issuing a ticket, citation, or summons for a violation	32761
of that nature or causing the arrest of or commencing a	32762
prosecution of a person for a violation of that nature, and no law	32763
enforcement officer shall view the interior or visually inspect	32764
any automobile being operated on any street or highway for the	32765
sole purpose of determining whether a violation of that nature has	32766
been or is being committed.	32767

(E) All fines collected for violations of division (B) of	32768
this section, or for violations of any ordinance or resolution of	32769
a political subdivision that is substantively comparable to that	32770
division, shall be forwarded to the treasurer of state for deposit	32771
as follows:	32772

(1) Eight per cent shall be deposited into the seat belt	32773
education fund, which is hereby created in the state treasury, and	32774
shall be used by the department of public safety to establish a	32775
seat belt education program.	32776

(2) Eight per cent shall be deposited into the elementary	32777
school program fund, which is hereby created in the state	32778
treasury, and shall be used by the department of public safety to	32779
establish and administer elementary school programs that encourage	32780
seat safety belt use.	32781

(3) Two per cent shall be deposited into the Ohio medical	32782
transportation trustoccupational licensing and regulatory fund	32783
created by section 4766.054743.05 of the Revised Code.	32784

(4) Twenty-eight per cent shall be deposited into the trauma	32785
and emergency medical services fund, which is hereby created in	32786
the state treasury, and shall be used by the department of public	32787
safety for the administration of the division of emergency medical	32788
services and the state board of emergency medical services.	32789

(5) Fifty-four per cent shall be deposited into the trauma	32790
and emergency medical services grants fund, which is hereby	32791
created in the state treasury, and shall be used by the state	32792
board of emergency medical services to make grants, in accordance	32793
with section 4765.07 of the Revised Code and rules the board	32794
adopts under section 4765.11 of the Revised Code.	32795

(F)(1) Subject to division (F)(2) of this section, the	32796
failure of a person to wear all of the available elements of a	32797
properly adjusted occupant restraining device in violation of	32798
division (B)(1) or (3) of this section or the failure of a person	32799
to ensure that each minor who is a passenger of an automobile	32800
being operated by that person is wearing all of the available	32801
elements of a properly adjusted occupant restraining device in	32802
violation of division (B)(2) of this section shall not be	32803
considered or used by the trier of fact in a tort action as	32804
evidence of negligence or contributory negligence. But, the trier	32805
of fact may determine based on evidence admitted consistent with	32806
the Ohio rulesRules of evidenceEvidence that the failure	32807
contributed to the harm alleged in the tort action and may	32808
diminish a recovery of compensatory damages that represents	32809
noneconomic loss, as defined in section 2307.011 of the Revised	32810
Code, in a tort action that could have been recovered but for the	32811
plaintiff's failure to wear all of the available elements of a	32812
properly adjusted occupant restraining device. Evidence of that	32813
failure shall not be used as a basis for a criminal prosecution of	32814
the person other than a prosecution for a violation of this	32815
section; and shall not be admissible as evidence in a criminal	32816
action involving the person other than a prosecution for a	32817
violation of this section.	32818

(2) If, at the time of an accident involving a passenger car	32819
equipped with occupant restraining devices, any occupant of the	32820
passenger car who sustained injury or death was not wearing an	32821
available occupant restraining device, was not wearing all of the	32822
available elements of such a device, or was not wearing such a	32823
device as properly adjusted, then, consistent with the Rules of	32824
Evidence, the fact that the occupant was not wearing the available	32825
occupant restraining device, was not wearing all of the available	32826
elements of such a device, or was not wearing such a device as	32827
properly adjusted is admissible in evidence in relation to any	32828
claim for relief in a tort action to the extent that the claim for	32829
relief satisfies all of the following:	32830

(a) It seeks to recover damages for injury or death to the	32831
occupant.	32832

(b) The defendant in question is the manufacturer, designer,	32833
distributor, or seller of the passenger car.	32834

(c) The claim for relief against the defendant in question is	32835
that the injury or death sustained by the occupant was enhanced or	32836
aggravated by some design defect in the passenger car or that the	32837
passenger car was not crashworthy.	32838

(G)(1) Whoever violates division (B)(1) of this section shall	32839
be fined thirty dollars.	32840

(2) Whoever violates division (B)(3) of this section shall be	32841
fined twenty dollars.	32842

(3) Except as otherwise provided in this division, whoever	32843
violates division (B)(4) of this section is guilty of a minor	32844
misdemeanor. If the offender previously has been convicted of or	32845
pleaded guilty to a violation of division (B)(4) of this section,	32846
whoever violates division (B)(4) of this section is guilty of a	32847
misdemeanor of the third degree.	32848

Sec. 4519.55.  Application for a certificate of title for an	32849
off-highway motorcycle or all-purpose vehicle shall be made upon a	32850
form prescribed by the registrar of motor vehicles and shall be	32851
sworn to before a notary public or other officer empowered to	32852
administer oaths. The application shall be filed with the clerk of	32853
any court of common pleas. An application for a certificate of	32854
title may be filed electronically by any electronic means approved	32855
by the registrar in any county with the clerk of the court of	32856
common pleas of that county.	32857

If an application for a certificate of title is filed	32858
electronically by an electronic dealer on behalf of the purchaser	32859
of an off-highway motorcycle or all-purpose vehicle, the clerk	32860
shall retain the completed electronic record to which the dealer	32861
converted the certificate of title application and other required	32862
documents. The registrar, after consultation with the attorney	32863
general, shall adopt rules that govern the location at which, and	32864
the manner in which, are stored the actual application and all	32865
other documents relating to the sale of an off-highway motorcycle	32866
or all-purpose vehicle when an electronic dealer files the	32867
application for a certificate of title electronically on behalf of	32868
the purchaser.	32869

The application shall be accompanied by the fee prescribed in	32870
section 4519.59 of the Revised Code. The fee shall be retained by	32871
the clerk who issues the certificate of title and shall be	32872
distributed in accordance with that section. If a clerk of a	32873
court of common pleas, other than the clerk of the court of common	32874
pleas of an applicant's county of residence, issues a certificate	32875
of title to the applicant, the clerk shall transmit data related	32876
to the transaction to the automated title processing system.	32877

If a certificate of title previously has been issued for an	32878
off-highway motorcycle or all-purpose vehicle, the application	32879
also shall be accompanied by the certificate of title duly	32880
assigned, unless otherwise provided in this chapter. If a	32881
certificate of title previously has not been issued for the	32882
off-highway motorcycle or all-purpose vehicle, the application,	32883
unless otherwise provided in this chapter, shall be accompanied by	32884
a manufacturer's or importer's certificate; by a sworn statement	32885
of ownership; or by a certificate of title, bill of sale, or other	32886
evidence of ownership required by law of another state from which	32887
the off-highway motorcycle or all-purpose vehicle was brought into	32888
this state. The registrar, in accordance with Chapter 119. of the	32889
Revised Code, shall prescribe the types of additional	32890
documentation sufficient to establish proof of ownership,	32891
including, but not limited to, receipts from the purchase of parts	32892
or components, photographs, and affidavits of other persons.	32893

For purposes of the transfer of a certificate of title, if	32894
the clerk is satisfied that a secured party has duly discharged a	32895
lien notation but has not canceled the lien notation with a clerk,	32896
the clerk may cancel the lien notation on the automated title	32897
processing system and notify the clerk of the county of origin.	32898

In the case of the sale of an off-highway motorcycle or	32899
all-purpose vehicle by a dealer to a general purchaser or user,	32900
the certificate of title shall be obtained in the name of the	32901
purchaser by the dealer upon application signed by the purchaser.	32902
In all other cases, the certificate shall be obtained by the	32903
purchaser. In all cases of transfer of an off-highway motorcycle	32904
or all-purpose vehicle, the application for certificate of title	32905
shall be filed within thirty days after the later of the date of	32906
purchase or assignment of ownership of the off-highway motorcycle	32907
or all-purpose vehicle. If the application for certificate of	32908
title is not filed within thirty days after the later of the date	32909
of purchase or assignment of ownership of the off-highway	32910
motorcycle or all-purpose vehicle, the clerk shall charge a late	32911
filing fee of five dollars in addition to the fee prescribed by	32912
section 4519.59 of the Revised Code. The clerk shall retain the	32913
entire amount of each late filing fee.	32914

Except in the case of an off-highway motorcycle or	32915
all-purpose vehicle purchased prior to July 1, 1999, the clerk	32916
shall refuse to accept an application for certificate of title	32917
unless the applicant either tenders with the application payment	32918
of all taxes levied by or pursuant to Chapter 5739. or 5741. of	32919
the Revised Code based on the purchaser's county of residence, or	32920
submits either of the following:	32921

(A) A receipt issued by the tax commissioner or a clerk of	32922
courts showing payment of the tax;	32923

(B) An exemption certificate, in any form prescribed by the	32924
tax commissioner, that specifies why the purchase is not subject	32925
to the tax imposed by Chapter 5739. or 5741. of the Revised Code.	32926

Payment of the tax shall be made in accordance with division	32927
(E) of section 4505.06 of the Revised Code and any rules issued by	32928
the tax commissioner. When a dealer submits payment of the tax to	32929
the clerk, the dealer shall retain any discount to which the	32930
dealer is entitled under section 5739.12 of the Revised Code. The	32931
clerk shall issue a receipt in the form prescribed by the tax	32932
commissioner to any applicant who tenders payment of the tax with	32933
the application for a certificate of title. If the application for	32934
a certificate of title is for an off-highway motorcycle or	32935
all-purpose vehicle purchased prior to July 1, 1999, the clerk	32936
shall accept the application without payment of the taxes levied	32937
by or pursuant to Chapter 5739. or 5741. of the Revised Code or	32938
presentation of either of the items listed in division (A) or (B)	32939
of this section.	32940

For receiving and disbursing such taxes paid to the clerk by	32941
a resident of the clerk's county, the clerk may retain a poundage	32942
fee of one and one-hundredth per cent of the taxes collected,	32943
which shall be paid into the certificate of title administration	32944
fund created by section 325.33 of the Revised Code. The clerk	32945
shall not retain a poundage fee from payments of taxes by persons	32946
who do not reside in the clerk's county.	32947

A clerk, however, may retain from the taxes paid to the clerk	32948
an amount equal to the poundage fees associated with certificates	32949
of title issued by other clerks of courts of common pleas to	32950
applicants who reside in the first clerk's county. The registrar,	32951
in consultation with the tax commissioner and the clerks of the	32952
courts of common pleas, shall develop a report from the automated	32953
title processing system that informs each clerk of the amount of	32954
the poundage fees that the clerk is permitted to retain from those	32955
taxes because of certificates of title issued by the clerks of	32956
other counties to applicants who reside in the first clerk's	32957
county.	32958

In the case of casual sales of off-highway motorcycles or	32959
all-purpose vehicles that are subject to the tax imposed by	32960
Chapter 5739. or 5741. of the Revised Code, the purchase price for	32961
the purpose of determining the tax shall be the purchase price on	32962
an affidavit executed and filed with the clerk by the seller on a	32963
form to be prescribed by the registrar, which shall be prima-facie	32964
evidence of the price for the determination of the tax.	32965

In addition to the information required by section 4519.57 of	32966
the Revised Code, each certificate of title shall contain in bold	32967
lettering the following notification and statements: "WARNING TO	32968
TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You are required by	32969
law to state the true selling price. A false statement is in	32970
violation of section 2921.13 of the Revised Code and is punishable	32971
by six months imprisonment or a fine of up to one thousand	32972
dollars, or both. All transfers are audited by the department of	32973
taxation. The seller and buyer must provide any information	32974
requested by the department of taxation. The buyer may be assessed	32975
any additional tax found to be due."	32976

The clerk shall forward all payments of taxes, less poundage	32977
fees, to the treasurer of state in a manner to be prescribed by	32978
the tax commissioner and shall furnish information to the	32979
commissioner as the commissioner may require.	32980

Every clerk shall have the capability to transact by	32981
electronic means all procedures and transactions relating to the	32982
issuance of certificates of title for off-highway motorcycles and	32983
all-purpose vehicles that are described in the Revised Code as	32984
being accomplished by electronic means.	32985

Sec. 4703.071. (A) The state board of examiners of architects	32986
shall establish and maintain and administer an architecture	32987
education assistance program to pay applicant enrollment fees for	32988
the internship program required of applicants by section 4703.07	32989
of the Revised Code.	32990

(B) The board shall adopt rules in accordance with Chapter	32991
119. of the Revised Code to establish all of the following:	32992

(1) Applicant eligibility criteria for receipt of internship	32993
program enrollment fees, which must include a requirement that	32994
applicants be enrolled in an architecture education program at an	32995
institution within the state that has been approved by the board	32996
and accredited by the national architectural accrediting board,	32997
and may include a requirement that the applicant has completed a	32998
minimum amount of course work in the program as prescribed by the	32999
state board by rule;	33000

(2) Application procedures for payment of internship program	33001
enrollment fees;	33002

(3) The maximum amount of internship program enrollment fees	33003
that may be provided by the architecture education assistance	33004
program to an applicant;	33005

(4) The total amount of internship program enrollment fees	33006
that may be disbursed by the architecture education assistance	33007
program in any given fiscal year;	33008

(5) The means by which other matters incidental to the	33009
operation of the program may be approved, including the means to	33010
authorize necessary expenses for the operation of the architecture	33011
education assistance program.	33012

(C) The receipt of internship program enrollment fees under	33013
this section shall not affect a student's eligibility for any	33014
other assistance, or the amount of that assistance.	33015

Sec. 4717.07.  (A) The board of embalmers and funeral	33016
directors shall charge and collect the following fees:	33017

(1) For the initial issuance or biennial renewal of an	33018
embalmer's or funeral director's license, one hundred forty	33019
dollars;	33020

(2) For the issuance of an embalmer or funeral director	33021
registration, twenty-five dollars;	33022

(3) For filing an embalmer or funeral director certificate of	33023
apprenticeship, ten dollars;	33024

(4) For the application to take the examination for a license	33025
to practice as an embalmer or funeral director, or to retake a	33026
section of the examination, thirty-five dollars;	33027

(5) For the initial issuance of a license to operate a	33028
funeral home, two hundred fifty dollars and biennial renewal of a	33029
license to operate a funeral home, two hundred fifty dollars;	33030

(6) For the reinstatement of a lapsed embalmer's or funeral	33031
director's license, the renewal fee prescribed in division	33032
(A)(5)(1) of this section plus fifty dollars for each month or	33033
portion of a month the license is lapsed until reinstatement;	33034

(7) For the reinstatement of a lapsed license to operate a	33035
funeral home, the renewal fee prescribed in division (A)(6)(5) of	33036
this section plus fifty dollars for each month or portion of a	33037
month the license is lapsed until reinstatement;	33038

(8) For the initial issuance of a license to operate an	33039
embalming facility, two hundred dollars and biennial renewal of a	33040
license to operate an embalming facility, two hundred dollars;	33041

(9) For the reinstatement of a lapsed license to operate an	33042
embalming facility, the renewal fee prescribed in division	33043
(A)(9)(8) of this section plus fifty dollars for each month or	33044
portion of a month the license is lapsed until reinstatement;	33045

(10) For the initial issuance of a license to operate a	33046
crematory facility, two hundred dollars and biennial renewal of a	33047
license to operate a crematory facility, two hundred dollars;	33048

(11) For the reinstatement of a lapsed license to operate a	33049
crematory facility, the renewal fee prescribed in division	33050
(A)(11)(10) of this section plus fifty dollars for each month or	33051
portion of a month the license is lapsed until reinstatement;	33052

(12) For the issuance of a duplicate of a license issued	33053
under this chapter, four dollars.	33054

(B) In addition to the fees set forth in division (A) of this	33055
section, an applicant shall pay the examination fee assessed by	33056
any examining agency the board uses for any section of an	33057
examination required under this chapter.	33058

(C) Subject to the approval of the controlling board, the	33059
board of embalmers and funeral directors may establish fees in	33060
excess of the amounts set forth in this section, provided that	33061
these fees do not exceed the amounts set forth in this section by	33062
more than fifty per cent.	33063

Sec. 4723.621.  The medication aide advisory council created	33064
under section 4723.62 of the Revised Code shall make	33065
recommendations to the board of nursing with respect to all of the	33066
following:	33067

(A) The design and operation of the medication aide pilot	33068
program conducted under section 4723.63 of the Revised Code,	33069
including a method of collecting data through reports submitted by	33070
participating nursing homes and residential care facilities;	33071

(B) The content of the course of instruction required to	33072
obtain certification as a medication aide, including the	33073
examination to be used to evaluate the ability to administer	33074
prescription medications safely and the score that must be	33075
attained to pass the examination;	33076

(C) Whether medication aides may administer prescription	33077
medications through a gastrostomy or jejunostomy tube and the	33078
amount and type of training a medication aide needs to be	33079
adequately prepared to administer prescription medications through	33080
a gastrostomy or jejunostomy tube;	33081

(D) Protection of the health and welfare of the residents of	33082
nursing homes and residential care facilities participating in the	33083
pilot program and using medication aides pursuant to section	33084
4723.64 of the Revised Code on or after July 1, 2007;	33085

(E) The board's adoption of rules under section 4723.69 of	33086
the Revised Code;	33087

(F) Any other issue the council considers relevant to the use	33088
of medication aides in nursing homes and residential care	33089
facilities.	33090

Sec. 4723.63.  (A) In consultation with the medication aide	33091
advisory council established under section 4723.62 of the Revised	33092
Code, the board of nursing shall conduct a pilot program for the	33093
use of medication aides in nursing homes and residential care	33094
facilities. The board shall conduct the pilot program in a manner	33095
consistent with human protection and other ethical concerns	33096
typically associated with research studies involving live	33097
subjects. The pilot program shall be commenced not later than May	33098
1, 2006, and shall be conducted until July 1, 2007end on the	33099
thirty-first day after the report required by division (F)(2) of	33100
this section is submitted in accordance with that division.	33101

During the period the pilot program is conducted, a nursing	33102
home or residential care facility participating in the pilot	33103
program may use one or more medication aides to administer	33104
prescription medications to its residents, subject to bothall of	33105
the following conditions:	33106

(1) Each individual used as a medication aide must hold a	33107
current, valid medication aide certificate issued by the board of	33108
nursing under this chapter.	33109

(2) The nursing home or residential care facility shall	33110
ensure that the requirements of section 4723.67 of the Revised	33111
Code are met.	33112

(3) The nursing home or residential care facility shall	33113
submit to the board, not later than the thirty-first day after the	33114
day the board makes its request under division (F)(1)(a) of this	33115
section, the data required by division (F)(1)(a) of this section.	33116

(B) The board, in consultation with the medication aide	33117
advisory council, shall do all of the following not later than	33118
February 1, 2006:	33119

(1) Design the pilot program;

33120

(2) Establish standards to govern medication aides and the	33121
nursing homes and residential care facilities participating in the	33122
pilot program, including standards for the training of medication	33123
aides and the staff of participating nursing homes and residential	33124
care facilities;	33125

(3) Establish standards to protect the health and safety of	33126
the residents of the nursing homes and residential care facilities	33127
participating in the program;	33128

(4) Implement a process for selecting the nursing homes and	33129
residential care facilities to participate in the program.	33130

(C)(1) A nursing home or residential care facility may	33131
volunteer to participate in the pilot program by submitting an	33132
application to the board on a form prescribed and provided by the	33133
board. From among the applicants, the board shall select eighty	33134
nursing homes and forty residential care facilities to participate	33135
in the pilot program. When the board denies an application, it	33136
shall notify, in writing, the president and minority leader of the	33137
senate and the speaker and minority leader of the house of	33138
representatives of the denial and the reasons for the denial.	33139

(2) To be eligible to participate, a nursing home or	33140
residential care facility shall agree to observe the standards	33141
established by the board for the use of medication aides. A	33142
nursing home is eligible to participate only if the department of	33143
health has found in the two most recent surveyssurvey or	33144
inspectionsinspection of the home that the home is free from	33145
deficiencies related to the administration of medication. A	33146
residential care facility is eligible to participate only if the	33147
department has found that the facility is free from deficiencies	33148
related to the provision of skilled nursing care or the	33149
administration of medication.	33150

(D) As a condition of participation in the pilot program, a	33151
nursing home and residential care facility selected by the board	33152
shall pay the participation fee established in rules adopted under	33153
section 4723.69 of the Revised Code. The participation fee is not	33154
reimbursable under the medicaid program established under Chapter	33155
5111. of the Revised Code.	33156

(E) On receipt of evidence found credible by the board that	33157
continued participation by a nursing home or residential care	33158
facility poses an imminent danger, risk of serious harm, or	33159
jeopardy to a resident of the home or facility, the board may	33160
terminate the authority of the home or facility to participate in	33161
the pilot program.	33162

(F)(1) With the assistance of the medication aide advisory	33163
council, the board shall conduct an evaluation of the pilot	33164
program. In conducting the evaluation, the board shall do all of	33165
the following:	33166

(a) Request from each nursing home and residential care	33167
facility participating in the pilot program, on the ninety-first	33168
day after the day the board issues a medication aide certificate	33169
under section 4723.651 of the Revised Code to the seventy-fifth	33170
individual, the data the board requires participating nursing	33171
homes and residential care facilities to report under rules the	33172
board adopts under section 4723.69 of the Revised Code.	33173

(b) Assess whether medication aides are able to administer	33174
prescription medications safely to nursing home and residential	33175
care facility residents;	33176

(b)(c) Determine the financial implications of using	33177
medication aides in nursing homes and residential care facilities;	33178

(c)(d) Consider any other issue the board or council	33179
considers relevant to the evaluation.	33180

(2) Not later than March 1, 2007the one hundred eighty-first	33181
day after the day the board issues a medication aide certificate	33182
under section 4723.651 of the Revised Code to the seventy-fifth	33183
individual, the board shall prepare a report of its findings and	33184
recommendations derived from the evaluation of the pilot program.	33185
The board shall submit the report to the governor, president and	33186
minority leader of the senate, speaker and minority leader of the	33187
house of representatives, and director of health.	33188

(G) The board shall, on the day it issues a medication aide	33189
certificate to the seventy-fifth individual, post a notice on its	33190
web site indicating the date on which any nursing home or	33191
residential care facility may use medication aides in accordance	33192
with section 4723.64 of the Revised Code.	33193

Sec. 4723.64.  On and after July 1, 2007the thirty-first day	33194
following the board of nursing's submission of the report required	33195
by division (F)(2) of section 4723.63 of the Revised Code, any	33196
nursing home or residential care facility may use one or more	33197
medication aides to administer prescription medications to its	33198
residents, subject to both of the following conditions:	33199

(A) Each individual used as a medication aide must hold a	33200
current, valid medication aide certificate issued by the board of	33201
nursing under this chapter.	33202

(B) The nursing home or residential care facility shall	33203
ensure that the requirements of section 4723.67 of the Revised	33204
Code are met.	33205

Sec. 4723.65.  (A) An individual seeking certification as a	33206
medication aide shall apply to the board of nursing on a form	33207
prescribed and provided by the board. If the application is	33208
submitted on or after July 1, 2007the day any nursing home or	33209
residential care facility may initially use medication aides as	33210
specified in section 4723.64 of the Revised Code, the application	33211
shall be accompanied by the certification fee established in rules	33212
adopted under section 4723.69 of the Revised Code.	33213

(B)(1) Except as provided in division (B)(2) of this section,	33214
an applicant for a medication aide certificate shall submit a	33215
request to the bureau of criminal identification and investigation	33216
for a criminal records check. The request shall be on the form	33217
prescribed pursuant to division (C)(1) of section 109.572 of the	33218
Revised Code and shall be accompanied by a standard impression	33219
sheet to obtain fingerprints prescribed pursuant to division	33220
(C)(2) of that section. The request shall also be accompanied by	33221
the fee prescribed pursuant to division (C)(3) of section 109.572	33222
of the Revised Code. On receipt of the completed form, the	33223
completed impression sheet, and the fee, the bureau shall conduct	33224
a criminal records check of the applicant. On completion of the	33225
criminal records check, the bureau shall send the results of the	33226
check to the board. An applicant requesting a criminal records	33227
check under this division who has not lived in this state for at	33228
least five years shall ask the superintendent of the bureau of	33229
criminal identification and investigation to also request that the	33230
federal bureau of investigation provide the superintendent with	33231
any information it has with respect to the applicant.	33232

(2) If a criminal records check of an applicant was completed	33233
pursuant to section 3721.121 of the Revised Code not more than	33234
five years prior to the date the application is submitted, the	33235
applicant may include a certified copy of the criminal records	33236
check completed pursuant to that section and is not required to	33237
comply with division (B)(1) of this section.	33238

(3) A criminal records check provided to the board in	33239
accordance with division (B)(1) or (B)(2) of this section shall	33240
not be made available to any person or for any purpose other than	33241
the following:	33242

(a) The results may be made available to any person for use	33243
in determining whether the individual who is the subject of the	33244
check should be issued a medication aide certificate.	33245

(b) The results may be made available to the person who is	33246
the subject of the check or a representative of that person.	33247

Sec. 4723.651. (A) As used in this section, "high school	33248
equivalence diploma" means a diploma attesting to achievement of	33249
the equivalent of a high school education as measured by scores	33250
obtained on the tests of general educational development published	33251
by the American council on education. "High school equivalence	33252
diploma" includes a certificate of high school equivalence issued	33253
prior to January 1, 1994, attesting to the achievement of the	33254
equivalent of a high school education as measured by scores	33255
obtained on tests of general educational development.	33256

(B) To be eligible to receive a medication aide certificate,	33257
an applicant shall meet all of the following conditions:	33258

(1) Be at least eighteen years of age;

33259

(2) Have a high school diploma or a high school equivalence	33260
diploma as defined in section 5107.40 of the Revised Code;	33261

(3) If the applicant is to practice as a medication aide in a	33262
nursing home, be a nurse aide who satisfies the requirements of	33263
division (A)(1), (2), (3), (4), (5), (6), or (8) of section	33264
3721.32 of the Revised Code;	33265

(4) If the applicant is to practice as a medication aide in a	33266
residential care facility, be a nurse aide who satisfies the	33267
requirements of division (A)(1), (2), (3), (4), (5), (6), or (8)	33268
of section 3721.32 of the Revised Code or an individual who has at	33269
least one year of direct care experience in a residential care	33270
facility;	33271

(5) Successfully complete the course of instruction provided	33272
by a training program approved by the board under section 4723.66	33273
of the Revised Code;	33274

(6) Have results on the criminal records check provided to	33275
the board under division (B)(1) or (2) of section 4723.65 of the	33276
Revised Code indicating that the applicant has not been convicted	33277
of, has not pleaded guilty to, and has not had a judicial finding	33278
of guilt for violating section 2903.01, 2903.02, 2903.03, 2903.11,	33279
2905.01, 2907.02, 2907.03, 2907.05, 2909.02, 2911.01, or 2911.11	33280
of the Revised Code or a substantially similar law of another	33281
state, the United States, or another country;	33282

(7) Meet all other requirements for a medication aide	33283
certificate established in rules adopted under section 4723.69 of	33284
the Revised Code.	33285

(B)(C) If an applicant meets the requirement specified in	33286
division (A)(B) of this section, the board shall issue a	33287
medication aide certificate to the applicant. If a medication aide	33288
certificate is issued to an individual on the basis of having at	33289
least one year of direct care experience working in a residential	33290
care facility, as provided in division (A)(B)(4) of this section,	33291
the certificate is valid for use only in a residential care	33292
facility. The board shall state the limitation on the certificate	33293
issued to the individual.	33294

(C)(D) A medication aide certificate is valid for two years,	33295
unless earlier suspended or revoked. The certificate may be	33296
renewed in accordance with procedures specified by the board in	33297
rules adopted under section 4723.69 of the Revised Code. To be	33298
eligible for renewal, an applicant shall pay the renewal fee	33299
established in the rules and meet all renewal qualifications	33300
specified in the rules.	33301

Sec. 4723.66.  (A) A person or government entity seeking	33302
approval to provide a medication aide training program shall apply	33303
to the board of nursing on a form prescribed and provided by the	33304
board. If the application is submitted on or after July 1, 2007	33305
the day any nursing home or residential care facility may	33306
initially use medication aides as specified in section 4723.64 of	33307
the Revised Code, the application shall be accompanied by the fee	33308
established in rules adopted under section 4723.69 of the Revised	33309
Code.	33310

(B) The board shall approve the applicant to provide a	33311
medication aide training program if the content of the course of	33312
instruction to be provided by the program meets the standards	33313
specified by the board in rules adopted under section 4723.69 of	33314
the Revised Code and includes all of the following:	33315

(1) At least seventy clock-hours of instruction, including	33316
both classroom instruction on medication administration and at	33317
least twenty clock-hours of supervised clinical practice in	33318
medication administration;	33319

(2) A mechanism for evaluating whether an individual's	33320
reading, writing, and mathematical skills are sufficient for the	33321
individual to be able to administer prescription medications	33322
safely;	33323

(3) An examination that tests the ability to administer	33324
prescription medications safely and that meets the requirements	33325
established by the board in rules adopted under section 4723.69 of	33326
the Revised Code.	33327

(C) The board may deny, suspend, or revoke the approval	33328
granted to the provider of a medication aide training program for	33329
reasons specified in rules adopted under section 4723.69 of the	33330
Revised Code. All actions taken by the board to deny, suspend, or	33331
revoke the approval of a training program shall be taken in	33332
accordance with Chapter 119. of the Revised Code.	33333

Sec. 4731.65.  As used in sections 4731.65 to 4731.71 of the	33334
Revised Code:	33335

(A)(1) "Clinical laboratory services" means either of the	33336
following:	33337

(a) Any examination of materials derived from the human body	33338
for the purpose of providing information for the diagnosis,	33339
prevention, or treatment of any disease or impairment or for the	33340
assessment of health;	33341

(b) Procedures to determine, measure, or otherwise describe	33342
the presence or absence of various substances or organisms in the	33343
body.	33344

(2) "Clinical laboratory services" does not include the mere	33345
collection or preparation of specimens.	33346

(B) "Designated health services" means any of the following:

33347

(1) Clinical laboratory services;

33348

(2) Home health care services;

33349

(3) Outpatient prescription drugs.

33350

(C) "Fair market value" means the value in arms-length	33351
transactions, consistent with general market value and:	33352

(1) With respect to rentals or leases, the value of rental	33353
property for general commercial purposes, not taking into account	33354
its intended use;	33355

(2) With respect to a lease of space, not adjusted to reflect	33356
the additional value the prospective lessee or lessor would	33357
attribute to the proximity or convenience to the lessor if the	33358
lessor is a potential source of referrals to the lessee.	33359

(D) "Governmental health care program" means any program	33360
providing health care benefits that is administered by the federal	33361
government, this state, or a political subdivision of this state,	33362
including the medicare program established under Title XVIII of	33363
the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301,	33364
as amended, health care coverage for public employees, health care	33365
benefits administered by the bureau of workers' compensation, the	33366
medical assistance program established under Chapter 5111. of the	33367
Revised Code, the nonfederal medical assistance program	33368
established under Chapter 5114. of the Revised Code, and the	33369
disability medical assistance program established under Chapter	33370
5115. of the Revised Code.	33371

(E)(1) "Group practice" means a group of two or more holders	33372
of certificates under this chapter legally organized as a	33373
partnership, professional corporation or association, limited	33374
liability company, foundation, nonprofit corporation, faculty	33375
practice plan, or similar group practice entity, including an	33376
organization comprised of a nonprofit medical clinic that	33377
contracts with a professional corporation or association of	33378
physicians to provide medical services exclusively to patients of	33379
the clinic in order to comply with section 1701.03 of the Revised	33380
Code and including a corporation, limited liability company,	33381
partnership, or professional association described in division (B)	33382
of section 4731.226 of the Revised Code formed for the purpose of	33383
providing a combination of the professional services of	33384
optometrists who are licensed, certificated, or otherwise legally	33385
authorized to practice optometry under Chapter 4725. of the	33386
Revised Code, chiropractors who are licensed, certificated, or	33387
otherwise legally authorized to practice chiropractic under	33388
Chapter 4734. of the Revised Code, psychologists who are licensed,	33389
certificated, or otherwise legally authorized to practice	33390
psychology under Chapter 4732. of the Revised Code, registered or	33391
licensed practical nurses who are licensed, certificated, or	33392
otherwise legally authorized to practice nursing under Chapter	33393
4723. of the Revised Code, pharmacists who are licensed,	33394
certificated, or otherwise legally authorized to practice pharmacy	33395
under Chapter 4729. of the Revised Code, physical therapists who	33396
are licensed, certificated, or otherwise legally authorized to	33397
practice physical therapy under sections 4755.40 to 4755.56 of the	33398
Revised Code, occupational therapists who are licensed,	33399
certificated, or otherwise legally authorized to practice	33400
occupational therapy under sections 4755.04 to 4755.13 of the	33401
Revised Code, mechanotherapists who are licensed, certificated, or	33402
otherwise legally authorized to practice mechanotherapy under	33403
section 4731.151 of the Revised Code, and doctors of medicine and	33404
surgery, osteopathic medicine and surgery, or podiatric medicine	33405
and surgery who are licensed, certificated, or otherwise legally	33406
authorized for their respective practices under this chapter, to	33407
which all of the following apply:	33408

(a) Each physician who is a member of the group practice	33409
provides substantially the full range of services that the	33410
physician routinely provides, including medical care,	33411
consultation, diagnosis, or treatment, through the joint use of	33412
shared office space, facilities, equipment, and personnel.	33413

(b) Substantially all of the services of the members of the	33414
group are provided through the group and are billed in the name of	33415
the group and amounts so received are treated as receipts of the	33416
group.	33417

(c) The overhead expenses of and the income from the practice	33418
are distributed in accordance with methods previously determined	33419
by members of the group.	33420

(d) The group practice meets any other requirements that the	33421
state medical board applies in rules adopted under section 4731.70	33422
of the Revised Code.	33423

(2) In the case of a faculty practice plan associated with a	33424
hospital with a medical residency training program in which	33425
physician members may provide a variety of specialty services and	33426
provide professional services both within and outside the group,	33427
as well as perform other tasks such as research, the criteria in	33428
division (E)(1) of this section apply only with respect to	33429
services rendered within the faculty practice plan.	33430

(F) "Home health care services" and "immediate family" have	33431
the same meanings as in the rules adopted under section 4731.70 of	33432
the Revised Code.	33433

(G) "Hospital" has the same meaning as in section 3727.01 of	33434
the Revised Code.	33435

(H) A "referral" includes both of the following:

33436

(1) A request by a holder of a certificate under this chapter	33437
for an item or service, including a request for a consultation	33438
with another physician and any test or procedure ordered by or to	33439
be performed by or under the supervision of the other physician;	33440

(2) A request for or establishment of a plan of care by a	33441
certificate holder that includes the provision of designated	33442
health services.	33443

(I) "Third-party payer" has the same meaning as in section	33444
3901.38 of the Revised Code.	33445

Sec. 4731.71.  The auditor of state may implement procedures	33446
to detect violations of section 4731.66 or 4731.69 of the Revised	33447
Code within governmental health care programs administered by the	33448
state. The auditor of state shall report any violation of either	33449
section to the state medical board and shall certify to the	33450
attorney general in accordance with section 131.02 of the Revised	33451
Code the amount of any refund owed to a state-administered	33452
governmental health care program under section 4731.69 of the	33453
Revised Code as a result of a violation. If a refund is owed to	33454
the medical assistance program established under Chapter 5111. of	33455
the Revised Code, the nonfederal medical assistance program	33456
established under Chapter 5114. of the Revised Code, or the	33457
disability medical assistance program established under Chapter	33458
5115. of the Revised Code, the auditor of state also shall report	33459
the amount to the department of commerce.	33460

The state medical board also may implement procedures to	33461
detect violations of section 4731.66 or 4731.69 of the Revised	33462
Code.	33463

Sec. 4743.05.  Except as otherwise provided in sections	33464
4701.20, 4723.062, 4723.082, and 4729.65 of the Revised Code, all	33465
money collected under Chapters 3773., 4701., 4703., 4709., 4713.,	33466
4715., 4717., 4723., 4725., 4729., 4732., 4733., 4734., 4736.,	33467
4741., 4753., 4755., 4757., 4758., 4759., 4761., 4766., 4771.,	33468
4775., 4779., and 4781. of the Revised Code shall be paid into the	33469
state treasury to the credit of the occupational licensing and	33470
regulatory fund, which is hereby created for use in administering	33471
such chapters.	33472

At the end of each quarter, the director of budget and	33473
management shall transfer from the occupational licensing and	33474
regulatory fund to the nurse education assistance fund created in	33475
section 3333.28 of the Revised Code the amount certified to the	33476
director under division (B) of section 4723.08 of the Revised	33477
Code.	33478

At the end of each quarter, the director shall transfer from	33479
the occupational licensing and regulatory fund to the certified	33480
public accountant education assistance fund created in section	33481
4701.26 of the Revised Code the amount certified to the director	33482
under division (H)(2) of section 4701.10 of the Revised Code.	33483

Sec. 4755.03. AllExcept as provided in section 4755.99 of	33484
the Revised Code, all fees and fines collected and assessed under	33485
this chapter by the appropriate section of the Ohio occupational	33486
therapy, physical therapy, and athletic trainers board, shall be	33487
deposited into the state treasury to the credit of the	33488
occupational licensing and regulatory fund.	33489

Sec. 4766.05.  (A) The Ohio medical transportation board	33490
shall establish by rule a license fee, a permit fee for each	33491
ambulance, ambulette, rotorcraft air ambulance, fixed wing air	33492
ambulance, and nontransport vehicle owned or leased by the	33493
licensee that is or will be used as provided in section 4766.07 of	33494
the Revised Code, and fees for renewals of licenses and permits,	33495
taking into consideration the actual costs incurred by the board	33496
in carrying out its duties under this chapter. However, the fee	33497
for each license and each renewal of a license shall not exceed	33498
one hundred dollars, and the fee for each permit and each renewal	33499
of a permit shall not exceed one hundred dollars for each	33500
ambulance, rotorcraft air ambulance, fixed wing air ambulance, and	33501
nontransport vehicle. The fee for each permit and each renewal of	33502
a permit shall be twenty-five dollars for each ambulette for one	33503
year after the effective date of this amendmentMarch 9, 2004.	33504
Thereafter, the board shall determine by rule the fee, which shall	33505
not exceed fifty dollars, for each permit and each renewal of a	33506
permit for each ambulette. For purposes of establishing fees,	33507
"actual costs" includes the costs of salaries, expenses,	33508
inspection equipment, supervision, and program administration.	33509

(B) The board shall deposit all fees and other moneys	33510
collected pursuant to sections 4766.04, 4766.07, and 4766.08 of	33511
the Revised Code in the state treasury to the credit of the Ohio	33512
medical transportation trustoccupational licensing and regulatory	33513
fund, which is hereby created by section 4743.05 of the Revised	33514
Code. All moneys from the fund shall be used solely for the	33515
salaries and expenses of the board incurred in implementing and	33516
enforcing this chapter.	33517

(C) The board, subject to the approval of the controlling	33518
board, may establish fees in excess of the maximum amounts allowed	33519
under division (A) of this section, but such fees shall not exceed	33520
those maximum amounts by more than fifty per cent.	33521

Sec. 4775.08.  (A) The initial and annual renewal fee for a	33522
motor vehicle collision repair registration certificate and for a	33523
temporary motor vehicle collision repair registration certificate	33524
is one hundred fifty dollars for each business location at which	33525
the motor vehicle collision repair operator conducts business as	33526
an operator, except that the board of motor vehicle collision	33527
repair registration, with the approval of the controlling board,	33528
may establish fees in excess of or less than that amount, provided	33529
that such fees do not exceed or are not less than that amount by	33530
more than fifty per cent.	33531

The board shall adjust the fees as necessary in order to	33532
provide for the expenses associated with carrying out this chapter	33533
without causing an excessive build-up of surplus funds in the	33534
motor vehicle collision repair registration fund, which is hereby	33535
created in the state treasury.	33536

(B) If the board has notified or attempted to notify a motor	33537
vehicle collision repair operator that the operator is required to	33538
be registered under this chapter, and the operator fails to	33539
register, the initial fee for the registration of such an	33540
unregistered operator for each business location at which the	33541
operator conducts business as an operator, is the initial fee then	33542
in effect plus an additional amount equal to the initial fee then	33543
in effect for each calendar year that the operator is not	33544
registered after the board has notified or attempted to notify the	33545
operator.	33546

(C) The board shall deposit all fees and fines collected	33547
under this chapter into the motor vehicle collision repair	33548
registration fund. The board shall use the fund solely for the	33549
administration and enforcement of this chapteroccupational	33550
licensing and regulatory fund created by section 4743.05 of the	33551
Revised Code.	33552

Sec. 4921.40.  In accordance with section 4921.04 of the	33553
Revised Code, the public utilities commission may adopt rules:	33554

(A) Providing for binding estimates by motor transportation	33555
companies engaged, for hire, in the business of transporting	33556
household goods over a public highway in this state;	33557

(B) Providing for guaranteed-not-to-exceed estimates by such	33558
motor transportation companies;	33559

(C) Requiring such motor transportation companies to include	33560
their certificate number in all advertising, written estimates,	33561
and contracts related to the transportation of household goods in	33562
this state;	33563

(D) As are necessary and proper to carry out this chapter	33564
with respect to such motor transportation companies;	33565

(E) Providing for the enforcement of the consumer protection	33566
provisions of Title 49 of the United States Code related to the	33567
delivery and transportation of household goods in interstate	33568
commerce, as permitted by 49 U.S.C. 14710. Any fine or penalty	33569
imposed as a result of such enforcement shall be deposited into	33570
the state treasury to the credit of the general revenue fund.	33571

Sec. 4923.26. There is hereby created in the state treasury	33572
the federal commercial vehicle transportation systems fund. The	33573
fund shall consist of money received from the United States	33574
department of transportation's commercial vehicle intelligent	33575
transportation systems infrastructure deployment program. The	33576
public utilities commission shall use the fund to deploy the Ohio	33577
commercial vehicle information systems networks project and to	33578
improve safety of motor carrier operations through electronic	33579
exchange of data by means of on-highway electronic systems.	33580

Sec. 5101.16.  (A) As used in this section and sections	33581
5101.161 and 5101.162 of the Revised Code:	33582

(1) "Disability financial assistance" means the financial	33583
assistance program established under Chapter 5115. of the Revised	33584
Code.	33585

(2) "Disability medical assistance" means the medical	33586
assistance program established under Chapter 5115. of the Revised	33587
Code.	33588

(3) "Food stamps" means the program administered by the	33589
department of job and family services pursuant to section 5101.54	33590
of the Revised Code.	33591

(4) "Medicaid" means the medical assistance program	33592
established by Chapter 5111. of the Revised Code, excluding	33593
transportation services provided under that chapter.	33594

(5) "Ohio works first" means the program established by	33595
Chapter 5107. of the Revised Code.	33596

(6) "Prevention, retention, and contingency" means the	33597
program established by Chapter 5108. of the Revised Code.	33598

(7) "Public assistance expenditures" means expenditures for	33599
all of the following:	33600

(a) Ohio works first;

33601

(b) County administration of Ohio works first;

33602

(c) Prevention, retention, and contingency;

33603

(d) County administration of prevention, retention, and	33604
contingency;	33605

(e) Disability financial assistance;

33606

(f) Disability medical assistance;

33607

(g) Nonfederal medical assistance;

33608

(h) County administration of disability financial assistance;

33609

(h)(i) County administration of disability medical	33610
assistance;	33611

(i)(j) County administration of food stamps;

33612

(j)(k) County administration of medicaid.

33613

(8) "Title IV-A program" has the same meaning as in section	33614
5101.80 of the Revised Code.	33615

(9) "Nonfederal medical assistance" means the medical	33616
assistance program established under Chapter 5114. of the Revised	33617
Code.	33618

(B) Each board of county commissioners shall pay the county	33619
share of public assistance expenditures in accordance with section	33620
5101.161 of the Revised Code. Except as provided in division (C)	33621
of this section, a county's share of public assistance	33622
expenditures is the sum of all of the following for state fiscal	33623
year 1998 and each state fiscal year thereafter:	33624

(1) The amount that is twenty-five per cent of the county's	33625
total expenditures for disability financial assistance and,	33626
disability medical assistance, and nonfederal medical assistance	33627
and county administration of those programs during the state	33628
fiscal year ending in the previous calendar year that the	33629
department of job and family services determines are allowable.	33630

(2) The amount that is ten per cent, or other percentage	33631
determined under division (D) of this section, of the county's	33632
total expenditures for county administration of food stamps and	33633
medicaid during the state fiscal year ending in the previous	33634
calendar year that the department determines are allowable, less	33635
the amount of federal reimbursement credited to the county under	33636
division (E) of this section for the state fiscal year ending in	33637
the previous calendar year;	33638

(3) A percentage of the actual amount of the county share of	33639
program and administrative expenditures during federal fiscal year	33640
1994 for assistance and services, other than child care, provided	33641
under Titles IV-A and IV-F of the "Social Security Act," 49 Stat.	33642
620 (1935), 42 U.S.C. 301, as those titles existed prior to the	33643
enactment of the "Personal Responsibility and Work Opportunity	33644
Reconciliation Act of 1996," 110 Stat. 2105. The department of job	33645
and family services shall determine the actual amount of the	33646
county share from expenditure reports submitted to the United	33647
States department of health and human services. The percentage	33648
shall be the percentage established in rules adopted under	33649
division (F) of this section.	33650

(C)(1) If a county's share of public assistance expenditures	33651
determined under division (B) of this section for a state fiscal	33652
year exceeds one hundred ten per cent of the county's share for	33653
those expenditures for the immediately preceding state fiscal	33654
year, the department of job and family services shall reduce the	33655
county's share for expenditures under divisions (B)(1) and (2) of	33656
this section so that the total of the county's share for	33657
expenditures under division (B) of this section equals one hundred	33658
ten per cent of the county's share of those expenditures for the	33659
immediately preceding state fiscal year.	33660

(2) A county's share of public assistance expenditures	33661
determined under division (B) of this section may be increased	33662
pursuant to section 5101.163 of the Revised Code and a sanction	33663
under section 5101.24 of the Revised Code. An increase made	33664
pursuant to section 5101.163 of the Revised Code may cause the	33665
county's share to exceed the limit established by division (C)(1)	33666
of this section.	33667

(D)(1) If the per capita tax duplicate of a county is less	33668
than the per capita tax duplicate of the state as a whole and	33669
division (D)(2) of this section does not apply to the county, the	33670
percentage to be used for the purpose of division (B)(2) of this	33671
section is the product of ten multiplied by a fraction of which	33672
the numerator is the per capita tax duplicate of the county and	33673
the denominator is the per capita tax duplicate of the state as a	33674
whole. The department of job and family services shall compute the	33675
per capita tax duplicate for the state and for each county by	33676
dividing the tax duplicate for the most recent available year by	33677
the current estimate of population prepared by the department of	33678
development.	33679

(2) If the percentage of families in a county with an annual	33680
income of less than three thousand dollars is greater than the	33681
percentage of such families in the state and division (D)(1) of	33682
this section does not apply to the county, the percentage to be	33683
used for the purpose of division (B)(2) of this section is the	33684
product of ten multiplied by a fraction of which the numerator is	33685
the percentage of families in the state with an annual income of	33686
less than three thousand dollars a year and the denominator is the	33687
percentage of such families in the county. The department of job	33688
and family services shall compute the percentage of families with	33689
an annual income of less than three thousand dollars for the state	33690
and for each county by multiplying the most recent estimate of	33691
such families published by the department of development, by a	33692
fraction, the numerator of which is the estimate of average annual	33693
personal income published by the bureau of economic analysis of	33694
the United States department of commerce for the year on which the	33695
census estimate is based and the denominator of which is the most	33696
recent such estimate published by the bureau.	33697

(3) If the per capita tax duplicate of a county is less than	33698
the per capita tax duplicate of the state as a whole and the	33699
percentage of families in the county with an annual income of less	33700
than three thousand dollars is greater than the percentage of such	33701
families in the state, the percentage to be used for the purpose	33702
of division (B)(2) of this section shall be determined as follows:	33703

(a) Multiply ten by the fraction determined under division	33704
(D)(1) of this section;	33705

(b) Multiply the product determined under division (D)(3)(a)	33706
of this section by the fraction determined under division (D)(2)	33707
of this section.	33708

(4) The department of job and family services shall	33709
determine, for each county, the percentage to be used for the	33710
purpose of division (B)(2) of this section not later than the	33711
first day of July of the year preceding the state fiscal year for	33712
which the percentage is used.	33713

(E) The department of job and family services shall credit to	33714
a county the amount of federal reimbursement the department	33715
receives from the United States departments of agriculture and	33716
health and human services for the county's expenditures for	33717
administration of food stamps and medicaid that the department	33718
determines are allowable administrative expenditures.	33719

(F)(1) The director of job and family services shall adopt	33720
rules in accordance with section 111.15 of the Revised Code to	33721
establish all of the following:	33722

(a) The method the department is to use to change a county's	33723
share of public assistance expenditures determined under division	33724
(B) of this section as provided in division (C) of this section;	33725

(b) The allocation methodology and formula the department	33726
will use to determine the amount of funds to credit to a county	33727
under this section;	33728

(c) The method the department will use to change the payment	33729
of the county share of public assistance expenditures from a	33730
calendar-year basis to a state fiscal year basis;	33731

(d) The percentage to be used for the purpose of division	33732
(B)(3) of this section, which shall, except as provided in section	33733
5101.163 of the Revised Code, meet both of the following	33734
requirements:	33735

(i) The percentage shall not be less than seventy-five per	33736
cent nor more than eighty-two per cent;	33737

(ii) The percentage shall not exceed the percentage that the	33738
state's qualified state expenditures is of the state's historic	33739
state expenditures as those terms are defined in 42 U.S.C.	33740
609(a)(7).	33741

(e) Other procedures and requirements necessary to implement	33742
this section.	33743

(2) The director of job and family services may amend the	33744
rule adopted under division (F)(1)(d) of this section to modify	33745
the percentage on determination that the amount the general	33746
assembly appropriates for Title IV-A programs makes the	33747
modification necessary. The rule shall be adopted and amended as	33748
if an internal management rule and in consultation with the	33749
director of budget and management.	33750

Sec. 5101.162.  Subject to available federal funds and	33751
appropriations made by the general assembly, the department of job	33752
and family services may, at its sole discretion, use available	33753
federal funds to reimburse county expenditures for county	33754
administration of food stamps or medicaid even though the county	33755
expenditures meet or exceed the maximum allowable reimbursement	33756
amount established by rules adopted under section 5101.161 of the	33757
Revised Code if the board of county commissioners has entered into	33758
a fiscal agreement with the director of job and family services	33759
under section 5101.21 of the Revised Code. The director may adopt	33760
internal management rules in accordance with section 111.15 of the	33761
Revised Code to implement this section.	33762

Sec. 5101.17.  In determining the need of any person under	33763
Chapter 5107., 5114., or 5115. of the Revised Code, the first	33764
eighty-five dollars plus one-half of the excess over eighty-five	33765
dollars of payments made to or in behalf of any person for or with	33766
respect to any month under Title I or II of the "Economic	33767
Opportunity Act of 1964," 78 Stat. 508, 42 U.S.C.A. 2701, as	33768
amended, shall not be regarded as income or resources. No payments	33769
made under such titles shall be regarded as income or resources of	33770
another individual except to the extent that they are made	33771
available to the other individual. No grant made to any family	33772
under Title III of such act shall be regarded as income or	33773
resources in determining the need of any member of such family	33774
under Chapter 5107., 5114., or 5115. of the Revised Code.	33775

Sec. 5101.181.  (A) As used in this section and section	33776
5101.182 of the Revised Code, "public assistance" includes, in	33777
addition to Ohio works first, all of the following:	33778

(1) Prevention, retention, and contingency;

33779

(2) Medicaid;

33780

(3) Nonfederal medical assistance;

33781

(4) Disability financial assistance;

33782

(4)(5) Disability medical assistance;

33783

(5)(6) General assistance provided prior to July 17, 1995,	33784
under former Chapter 5113. of the Revised Code.	33785

(B) As part of the procedure for the determination of	33786
overpayment to a recipient of public assistance under Chapter	33787
5107., 5108., 5111., 5114., or 5115. of the Revised Code, the	33788
director of job and family services shall furnish quarterly the	33789
name and social security number of each individual who receives	33790
public assistance to the director of administrative services, the	33791
administrator of the bureau of workers' compensation, and each of	33792
the state's retirement boards. Within fourteen days after	33793
receiving the name and social security number of an individual who	33794
receives public assistance, the director of administrative	33795
services, administrator, or board shall inform the auditor of	33796
state as to whether such individual is receiving wages or	33797
benefits, the amount of any wages or benefits being received, the	33798
social security number, and the address of the individual. The	33799
director of administrative services, administrator, boards, and	33800
any agent or employee of those officials and boards shall comply	33801
with the rules of the director of job and family services	33802
restricting the disclosure of information regarding recipients of	33803
public assistance. Any person who violates this provision shall	33804
thereafter be disqualified from acting as an agent or employee or	33805
in any other capacity under appointment or employment of any state	33806
board, commission, or agency.	33807

(C) The auditor of state may enter into a reciprocal	33808
agreement with the director of job and family services or	33809
comparable officer of any other state for the exchange of names,	33810
current or most recent addresses, or social security numbers of	33811
persons receiving public assistance under Title IV-A or under	33812
Title XIX of the "Social Security Act," 49 Stat. 620 (1935), 42	33813
U.S.C. 301, as amended.	33814

(D)(1) The auditor of state shall retain, for not less than	33815
two years, at least one copy of all information received under	33816
this section and sections 145.27, 742.41, 3307.20, 3309.22,	33817
4123.27, 5101.182, and 5505.04 of the Revised Code. The auditor	33818
shall review the information to determine whether overpayments	33819
were made to recipients of public assistance under Chapters 5107.,	33820
5108., 5111., 5114., and 5115. of the Revised Code. The auditor of	33821
state shall initiate action leading to prosecution, where	33822
warranted, of recipients who received overpayments by forwarding	33823
the name of each recipient who received overpayment, together with	33824
other pertinent information, to the director of job and family	33825
services and the attorney general, to the district director of job	33826
and family services of the district through which public	33827
assistance was received, and to the county director of job and	33828
family services and county prosecutor of the county through which	33829
public assistance was received.	33830

(2) The auditor of state and the attorney general or their	33831
designees may examine any records, whether in computer or printed	33832
format, in the possession of the director of job and family	33833
services or any county director of job and family services. They	33834
shall provide safeguards which restrict access to such records to	33835
purposes directly connected with an audit or investigation,	33836
prosecution, or criminal or civil proceeding conducted in	33837
connection with the administration of the programs and shall	33838
comply with the rules of the director of job and family services	33839
restricting the disclosure of information regarding recipients of	33840
public assistance. Any person who violates this provision shall	33841
thereafter be disqualified from acting as an agent or employee or	33842
in any other capacity under appointment or employment of any state	33843
board, commission, or agency.	33844

(3) Costs incurred by the auditor of state in carrying out	33845
the auditor of state's duties under this division shall be borne	33846
by the auditor of state.	33847

Sec. 5101.182.  As part of the procedure for the	33848
determination of overpayment to a recipient of public assistance	33849
under Chapter 5107., 5111., 5114., or 5115. of the Revised Code,	33850
the director of job and family services shall semiannually, at	33851
times determined jointly by the auditor of state and the tax	33852
commissioner, furnish to the tax commissioner in computer format	33853
the name and social security number of each individual who	33854
receives public assistance. Within sixty days after receiving the	33855
name and social security number of a recipient of public	33856
assistance, the commissioner shall inform the auditor of state	33857
whether the individual filed an Ohio individual income tax return,	33858
separate or joint, as provided by section 5747.08 of the Revised	33859
Code, for either or both of the two taxable years preceding the	33860
year in which the director furnished the names and social security	33861
numbers to the commissioner. If the individual did so file, at the	33862
same time the commissioner shall also inform the auditor of state	33863
of the amount of the federal adjusted gross income as reported on	33864
such returns and of the addresses on such returns. The	33865
commissioner shall also advise the auditor of state whether such	33866
returns were filed on a joint basis, as provided in section	33867
5747.08 of the Revised Code, in which case the federal adjusted	33868
gross income as reported may be that of the individual or the	33869
individual's spouse.	33870

If the auditor of state determines that further investigation	33871
is needed, the auditor of state may request the commissioner to	33872
determine whether the individual filed income tax returns for any	33873
previous taxable years in which the individual received public	33874
assistance and for which the tax department retains income tax	33875
returns. Within fourteen days of receipt of the request, the	33876
commissioner shall inform the auditor of state whether the	33877
individual filed an individual income tax return for the taxable	33878
years in question, of the amount of the federal adjusted gross	33879
income as reported on such returns, of the addresses on such	33880
returns, and whether the returns were filed on a joint or separate	33881
basis.	33882

If the auditor of state determines that further investigation	33883
is needed of a recipient of public assistance who filed an Ohio	33884
individual income tax return, the auditor of state may request a	33885
certified copy of the Ohio individual income tax return or returns	33886
of that person for the taxable years described above, together	33887
with any other documents the commissioner has concerning the	33888
return or returns. Within fourteen days of receipt of such a	33889
request in writing, the commissioner shall forward the returns and	33890
documents to the auditor of state.	33891

The director of job and family services, district director of	33892
job and family services, county director of job and family	33893
services, county prosecutor, attorney general, auditor of state,	33894
or any agent or employee of those officials having access to any	33895
information or documents furnished by the commissioner pursuant to	33896
this section shall not divulge or use any such information except	33897
for the purpose of determining overpayment of public assistance,	33898
or for an audit, investigation, or prosecution, or in accordance	33899
with a proper judicial order. Any person who violates this	33900
provision shall thereafter be disqualified from acting as an agent	33901
or employee or in any other capacity under appointment or	33902
employment of any state or county board, commission, or agency.	33903

Sec. 5101.184.  (A) The director of job and family services	33904
shall work with the tax commissioner to collect overpayments of	33905
assistance under Chapter 5107., 5111., 5114., or 5115., former	33906
Chapter 5113., or section 5101.54 of the Revised Code from refunds	33907
of state income taxes for taxable year 1992 and thereafter that	33908
are payable to the recipients of such overpayments.	33909

Any overpayment of assistance, whether obtained by fraud or	33910
misrepresentation, as the result of an error by the recipient or	33911
by the agency making the payment, or in any other manner, may be	33912
collected under this section. Any reduction under section 5747.12	33913
or 5747.121 of the Revised Code to an income tax refund shall be	33914
made before a reduction under this section. No reduction shall be	33915
made under this section if the amount of the refund is less than	33916
twenty-five dollars after any reduction under section 5747.12 of	33917
the Revised Code. A reduction under this section shall be made	33918
before any part of the refund is contributed under section	33919
5747.113 of the Revised Code, or is credited under section 5747.12	33920
of the Revised Code against tax due in any subsequent year.	33921

The director and the tax commissioner, by rules adopted in	33922
accordance with Chapter 119. of the Revised Code, shall establish	33923
procedures to implement this division. The procedures shall	33924
provide for notice to a recipient of assistance and an opportunity	33925
for the recipient to be heard before the recipient's income tax	33926
refund is reduced.	33927

(B) The director of job and family services may enter into	33928
agreements with the federal government to collect overpayments of	33929
assistance from refunds of federal income taxes that are payable	33930
to recipients of the overpayments.	33931

Sec. 5101.21.  (A) As used in this section, "county signer	33932
sections 5101.21 to 5101.212 of the Revised Code:	33933

(1) "County grantee" means all of the following:

33934

(1)(a) A board of county commissioners;

33935

(2)(b) A county children services board appointed under	33936
section 5153.03 of the Revised Code if required by division (B) of	33937
this section to enter into a fiscal agreement;	33938

(3)(c) A county elected official that is a child support	33939
enforcement agency if required by division (B) of this section to	33940
enter into a fiscal agreement.	33941

(2) "County subgrant" means a grant that a county grantee	33942
awards to another entity.	33943

(3) "County subgrant agreement" means an agreement between a	33944
county grantee and another entity under which the county grantee	33945
awards the other entity one or more county subgrants.	33946

(4) "Fiscal biennial period" means a two-year period	33947
beginning on the first day of July of an odd-numbered year and	33948
ending on the last day of June of the next odd-numbered year.	33949

(5) "Grant" means an award for one or more family services	33950
duties of federal financial assistance that a federal agency	33951
provides in the form of money, or property in lieu of money, to	33952
the department of job and family services and that the department	33953
awards to a county grantee. "Grant" may include state funds the	33954
department awards to a county grantee to match the federal	33955
financial assistance. "Grant" does not mean either of the	33956
following:	33957

(a) Technical assistance that provides services instead of	33958
money;	33959

(b) Other assistance provided in the form of revenue sharing,	33960
loans, loan guarantees, interest subsidies, or insurance.	33961

(6) "Grant agreement" means an agreement between the	33962
department of job and family services and a county grantee under	33963
which the department awards the county grantee one or more grants.	33964

(B) TheEffective July 1, 2008, the director of job and	33965
family services may award grants to counties only through grant	33966
agreements entered into under this section.	33967

(C) The director shall enter into one or more written fiscal	33968
grant agreements with boards ofthe county commissioners under	33969
which financial assistance is awarded for family services duties	33970
included in the agreementsgrantees of each county. Boards of	33971
county commissioners shall select which family services duties to	33972
include in a fiscal agreement. If a board of county commissioners	33973
elects to include family services duties of a public children	33974
services agency and a county children services board appointed	33975
under section 5153.03 of the Revised Code serves as the county's	33976
public children services agency, the board of county commissioners	33977
and county children services board shall jointly enter into the	33978
fiscal agreement with the director. If a board of county	33979
commissioners elects to include family services duties of a child	33980
support enforcement agency and the entity designated under former	33981
section 2301.35 of the Revised Code prior to October 1, 1997, or	33982
designated under section 307.981 of the Revised Code as the	33983
county's child support enforcement agency is an elected official	33984
of the county, the board of county commissioners and county	33985
elected officialIf a county has multiple county grantees, the	33986
director shall jointly enter into the fiscalgrant agreement with	33987
the directorall of the county grantees. The initial grant	33988
agreement shall be entered into not later than January 31, 2008,	33989
and shall be in effect for fiscal year 2009. Except as provided in	33990
rules adopted under this section, subsequent grant agreements	33991
shall be entered into before the first day of each successive	33992
fiscal biennial period and shall be in effect for that fiscal	33993
biennial period or, in the case of a grant agreement entered into	33994
after the first day of a fiscal biennial period and except as	33995
provided by section 5101.211 of the Revised Code, for the	33996
remainder of the fiscal biennial period. A fiscalgrant agreement	33997
shall do all of the following:	33998

(1) Comply with all of the conditions, requirements, and	33999
restrictions applicable to the family services duties for which	34000
the grants included in the agreement are awarded, including the	34001
conditions, requirements, and restrictions established by the	34002
department, federal or state law, state plans for receipt of	34003
federal financial participation, agreements between the department	34004
and a federal agency, and executive orders issued by the governor;	34005

(2) Establish terms and conditions governing the	34006
accountability for and use of the grants included in the grant	34007
agreement;	34008

(3) Specify theboth of the following:

34009

(a) The family services duties included in the agreement and	34010
thefor which the grants included in the agreement are awarded;	34011

(b) The private and government entities designated under	34012
section 307.981 of the Revised Code to serve as the county family	34013
services agencies performing the family services duties;	34014

(2)(4) Provide for the department of job and family services	34015
to award financial assistance for the family services duties	34016
grants included in the agreement in accordance with a methodology	34017
for determining the amount of the award established by rules	34018
adopted under division (D) of this section;	34019

(3)(5) Specify the form of the award of financial assistance	34020
grants which may be an allocation,a cash draw, reimbursement,	34021
property, advance, working capital advance, or, to the extent	34022
authorized by an appropriation made by the general assembly and to	34023
the extent practicable and not in conflict with a federal or state	34024
law, a consolidated funding allocation for two or more family	34025
services duties included in the agreementother forms specified in	34026
rules adopted under this section;	34027

(4)(6) Provide that the award of financial assistance is	34028
grants are subject to the availability of federal funds and	34029
appropriations made by the general assembly;	34030

(5)(7) Specify annual financial, administrative, or other	34031
incentive awards, if any, to be provided in accordance with	34032
section 5101.23 of the Revised Code;	34033

(6)(8) Include the assurance of each county signergrantee	34034
that the county signergrantee will do all of the following:	34035

(a) Ensure that the financial assistance awarded undergrants	34036
included in the agreement isare used, and the family services	34037
duties included infor which the agreementgrants are awarded are	34038
performed, in accordance with conditions, requirements for, and	34039
restrictions applicable to the duties established by the	34040
department, a federal or state law, or any of the following that	34041
concern the family services duties included in the fiscal	34042
agreement and are published under section 5101.212 of the Revised	34043
Code: state plans for receipt of federal financial participation,	34044
grant agreements between the department and a federal agency, and	34045
executive orders issued by the governor;	34046

(b) Ensure that the board and county family services agencies	34047
utilizeUtilize a financial management system and other	34048
accountability mechanisms for the financial assistancegrants	34049
awarded under the agreement that meet requirements the department	34050
establishes;	34051

(c) Require the county family services agencies to do bothDo	34052
all of the following with regard to a county subgrant:	34053

(i) Award the subgrant through a written county subgrant	34054
agreement that requires the entity awarded the county subgrant to	34055
comply with all conditions, requirements, and restrictions	34056
applicable to the county grantee regarding the grant that the	34057
county grantee subgrants to the entity, including the conditions,	34058
requirements, and restrictions of this section;	34059

(ii) Monitor all private and government entitiesthe entity	34060
that receive a payment from financial assistanceis awarded under	34061
the agreementsubgrant to ensure that eachthe entity uses the	34062
paymentsubgrant in accordance with conditions, requirements for,	34063
and restrictions applicable to the family services duties included	34064
infor which the agreementsubgrant is awarded;	34065

(ii)(iii) Take action to recover paymentssubgrants that are	34066
not used in accordance with the conditions, requirements for, or	34067
restrictions applicable to the family services duties included in	34068
for which the agreementsubgrant is awarded.	34069

(d) Require county family services agencies to promptly	34070
Promptly reimburse the department the amount that represents the	34071
amount an agencythe county grantee is responsible for, pursuant	34072
to action the department takes under division (C) of section	34073
5101.24 of the Revised Code, of funds the department pays to any	34074
entity because of an adverse audit finding, adverse quality	34075
control finding, final disallowance of federal financial	34076
participation, or other sanction or penalty;	34077

(e) Require county family services agencies to takeTake	34078
prompt corrective action, including paying amounts resulting from	34079
an adverse finding, sanction, or penalty, if the department,	34080
auditor of state, federal agency, or other entity authorized by	34081
federal or state law to determine compliance with the conditions,	34082
requirements for, and restrictions applicable to a family services	34083
duty for which a grant included in the agreement is awarded	34084
determines compliance has not been achieved;	34085

(f) Ensure that any matching funds, regardless of the source,	34086
that the county grantee manages are clearly identified and used in	34087
accordance with federal and state laws and the agreement.	34088

(7)(9) Provide for the department taking action pursuant to	34089
division (C) of section 5101.24 of the Revised Code if authorized	34090
by division (B)(1), (2), (3), or (4) of that section;	34091

(8)(10) Provide for timely audits required by federal and	34092
state law and require prompt release of audit findings and prompt	34093
action to correct problems identified in an audit;	34094

(9) Comply with all of the requirements for the family	34095
services duties that are included in the agreement and have been	34096
established by the department, federal or state law, or any of the	34097
following that concern the family services duties included in the	34098
fiscal agreement and are published under section 5101.212 of the	34099
Revised Code: state plans for receipt of federal financial	34100
participation, grant agreements between the department and a	34101
federal agency, and executive orders issued by the governor;	34102

(10)(11) Provide for dispute resolutionadministrative review	34103
procedures in accordance with section 5101.24 of the Revised Code;	34104

(11)(12) Establish the method of amending or terminating the	34105
agreement and an expedited process for correcting terms or	34106
conditions of the agreement that the director and each county	34107
signergrantee agree are erroneous;	34108

(12) Except as provided in rules adopted under division (D)	34109
of this section, begin on the first day of July of an odd-numbered	34110
year and end on the last day of June of the next odd-numbered	34111
year.	34112

(C)(D) A grant agreement does not have to be amended for a	34113
county grantee to be required to comply with a new or amended	34114
condition, requirement, or restriction for a family services duty	34115
established by federal or state law, state plan for receipt of	34116
federal financial participation, agreement between the department	34117
and a federal agency, or executive order issued by the governor.	34118

(E) The department shall make payments authorized by a fiscal	34119
grant agreement on vouchers it prepares and may include any funds	34120
appropriated or allocated to it for carrying out family services	34121
duties for which a grant included in the agreement is awarded,	34122
including funds for personal services and maintenance.	34123

(D)(F)(1) The director shall adopt rules in accordance with	34124
section 111.15 of the Revised Code governing fiscalgrant	34125
agreements. The director shall adopt the rules as if they were	34126
internal management rules. Before adopting the rules, the director	34127
shall give the public an opportunity to review and comment on the	34128
proposed rules. The rules shall establish methodologies to be used	34129
to determine the amount of financial assistance to be awarded	34130
underthe grants included in the agreements. The rules also shall	34131
establish terms and conditions under which an agreement may be	34132
entered into after the first day of July of an odd-numbered yeara	34133
fiscal biennial period. The rules may do any or all of the	34134
following:	34135

(a) Govern the award of grants included in grant agreements,	34136
including the establishment of allocations, and restrictions on,	34137
the form of the grants and the distribution of the grants;	34138

(b) Specify allowable uses of financial assistance awarded	34139
underthe grants included in the agreements;	34140

(c) Establish reporting, cash management, audit, and other	34141
requirements the director determines are necessary to provide	34142
accountability for the use of financial assistance awarded under	34143
the grants included in the agreements and determine compliance	34144
with conditions, requirements, and restrictions established by the	34145
department, a federal or state law, or any of the following that	34146
concern the family services duties included in the agreements and	34147
are published under section 5101.212 of the Revised Code: state	34148
plans for receipt of federal financial participation, grant	34149
agreements between the department and a federal entityagency, and	34150
executive orders issued by the governor.	34151

(2) A requirement of a fiscalgrant agreement established by	34152
a rule adopted under this division is applicable to a fiscalgrant	34153
agreement without having to be restated in the fiscalgrant	34154
agreement. A requirement established by a grant agreement is	34155
applicable to the grant agreement without having to be restated in	34156
a rule.	34157

Sec. 5101.211. (A) Except as provided in division (B) of	34158
this section, theThe director of job and family services may	34159
provide for a fiscalgrant agreement entered into under section	34160
5101.21 of the Revised Code to have a retroactive effective date	34161
of the first day of July of an odd-numbered year if both of the	34162
following are the case:	34163

(1)(A) The agreement is entered into after that date and	34164
before the last day of that July.	34165

(2)(B) The board of county commissioners requests the	34166
retroactive effective date and provides the director good cause	34167
satisfactory to the director for the reason the agreement was not	34168
entered into on or before the first day of that July.	34169

(B) The director may provide for a fiscal agreement to have a	34170
retroactive effective date of July 1, 2003, if both of the	34171
following are the case:	34172

(1) The agreement is entered into after July 1, 2003, and	34173
before August 29, 2003.	34174

(2) The board of county commissioners requests the	34175
retroactive effective date.	34176

Sec. 5101.212.  The department of job and family services	34177
shall publish in a manner accessible to the public all of the	34178
following that concern family services duties for which grants	34179
included in fiscalgrant agreements entered into under section	34180
5101.21 of the Revised Code are awarded: state plans for receipt	34181
of federal financial participation, grant agreements between the	34182
department and a federal agency, and executive orders issued by	34183
the governor. The department may publish the materials	34184
electronically or otherwise.	34185

Sec. 5101.213.  (A) Except as provided in section 5101.211 of	34186
the Revised Code, if a fiscal agreement under section 5101.21 of	34187
the Revised Code between the director of job and family services	34188
and a board of county commissioners is not in effectUntil July 1,	34189
2008, all of the following apply:	34190

(1) TheFor each board of county commissioners, the	34191
department of job and family services shall award to the county	34192
the board serves financial assistance for family services duties	34193
in accordance with a methodology for determining the amount of the	34194
award established by rules adopted under division (B) of this	34195
section.	34196

(2) The financial assistance may be provided in the form of	34197
allocations, cash draws, reimbursements, and property but may not	34198
be made in the form of a consolidated funding allocation.	34199

(3) The award of the financial assistance is subject to the	34200
availability of federal funds and appropriations made by the	34201
general assembly.	34202

(4) The county family services agencies performing the family	34203
services duties for which the financial assistance is awarded	34204
shall do all of the following:	34205

(a) Use the financial assistance, and perform the family	34206
services duties, in accordance with requirements for the duties	34207
established by the department, a federal or state law, or any of	34208
the following that concern the duties: state plans for receipt of	34209
federal financial participation, grant agreements between the	34210
department and a federal agency, and executive orders issued by	34211
the governor;	34212

(b) Utilize a financial management system and other	34213
accountability mechanisms for the financial assistance that meet	34214
requirements the department establishes;	34215

(c) Monitor all private and government entities that receive	34216
a payment from the financial assistance to ensure that each entity	34217
uses the payment in accordance with requirements for the family	34218
services duties and take action to recover payments that are not	34219
used in accordance with the requirements for the family services	34220
duties;	34221

(d) Promptly reimburse the department the amount that	34222
represents the amount an agency is responsible for, pursuant to	34223
action the department takes under division (C) of section 5101.24	34224
of the Revised Code, of funds the department pays to any entity	34225
because of an adverse audit finding, adverse quality control	34226
finding, final disallowance of federal financial participation, or	34227
other sanction or penalty;	34228

(e) Take prompt corrective action, including paying amounts	34229
resulting from an adverse finding, sanction, or penalty, if the	34230
department, auditor of state, federal agency, or other entity	34231
authorized by federal or state law to determine compliance with	34232
requirements for a family services duty determines compliance has	34233
not been achieved.	34234

(B) The director shall adopt rules in accordance with section	34235
111.15 of the Revised Code as necessary to implement this section.	34236
The director shall adopt the rules as if they were internal	34237
management rules. Before adopting the rules, the director shall	34238
give the public an opportunity to review and comment on the	34239
proposed rules. The rules shall establish methodologies to be used	34240
to determine the amount of financial assistance to be awarded and	34241
may do any or all of the following:	34242

(1) Govern the establishment of funding allocations;

34243

(2) Specify allowable uses of financial assistance the	34244
department awards under this section;	34245

(3) Establish reporting, cash management, audit, and other	34246
requirements the director determines are necessary to provide	34247
accountability for the use of the financial assistance and	34248
determine compliance with requirements established by the	34249
department, a federal or state law, or any of the following that	34250
concern the family services duties for which the financial	34251
assistance is awarded: state plans for receipt of federal	34252
financial participation, grant agreements between the department	34253
and a federal entity, and executive orders issued by the governor.	34254

Sec. 5101.24.  (A) As used in this section, "responsible	34255
entitycounty grantee" means a board of county commissioners or a	34256
county family services agency, whichever county grantee, as	34257
defined in section 5101.21 of the Revised Code, the director of	34258
job and family services determines is appropriate to take action	34259
against under division (C) of this section.	34260

(B) Regardless of whether a family services duty is performed	34261
by a county family services agency, private or government entity	34262
pursuant to a contract entered into under section 307.982 of the	34263
Revised Code or division (C)(2) of section 5153.16 of the Revised	34264
Code, or private or government provider of a family service duty,	34265
the department of job and family services may take action under	34266
division (C) of this section against the responsible entitycounty	34267
grantee if the department determines any of the following are the	34268
case:	34269

(1) A requirement of a fiscalgrant agreement entered into	34270
under section 5101.21 of the Revised Code that includes a grant	34271
for the family services duty, including a requirement for fiscal	34272
grant agreements established by rules adopted under that section,	34273
is not complied with;	34274

(2) A county family services agency fails to develop, submit	34275
to the department, or comply with a corrective action plan under	34276
division (B) of section 5101.221 of the Revised Code, or the	34277
department disapproves the agency's corrective action plan	34278
developed under division (B) of section 5101.221 of the Revised	34279
Code;	34280

(3) A requirement for the family services duty established by	34281
the department or any of the following is not complied with: a	34282
federal or state law, state plan for receipt of federal financial	34283
participation, grant agreement between the department and a	34284
federal agency, or executive order issued by the governor;	34285

(4) The responsible entitycounty grantee is solely or	34286
partially responsible, as determined by the director of job and	34287
family services, for an adverse audit finding, adverse quality	34288
control finding, final disallowance of federal financial	34289
participation, or other sanction or penalty regarding the family	34290
services duty.	34291

(C) The department may take one or more of the following	34292
actions against the responsible entitycounty grantee when	34293
authorized by division (B)(1), (2), (3), or (4) of this section:	34294

(1) Require the responsible entitycounty grantee to comply	34295
with a corrective action plan pursuant to a time schedule	34296
specified by the department. The corrective action plan shall be	34297
established or approved by the department and shall not require a	34298
county family services agencygrantee to commit resources to the	34299
plan.	34300

(2) Require the responsible entitycounty grantee to comply	34301
with a corrective action plan pursuant to a time schedule	34302
specified by the department. The corrective action plan shall be	34303
established or approved by the department and require a county	34304
family services agencygrantee to commit to the plan existing	34305
resources identified by the agency.	34306

(3) Require the responsible entitycounty grantee to do one	34307
of the following:	34308

(a) Share with the department a final disallowance of federal	34309
financial participation or other sanction or penalty;	34310

(b) Reimburse the department the final amount the department	34311
pays to the federal government or another entity that represents	34312
the amount the responsible entitycounty grantee is responsible	34313
for of an adverse audit finding, adverse quality control finding,	34314
final disallowance of federal financial participation, or other	34315
sanction or penalty issued by the federal government, auditor of	34316
state, or other entity;	34317

(c) Pay the federal government or another entity the final	34318
amount that represents the amount the responsible entitycounty	34319
grantee is responsible for of an adverse audit finding, adverse	34320
quality control finding, final disallowance of federal financial	34321
participation, or other sanction or penalty issued by the federal	34322
government, auditor of state, or other entity;	34323

(d) Pay the department the final amount that represents the	34324
amount the responsible entitycounty grantee is responsible for of	34325
an adverse audit finding or adverse quality control finding.	34326

(4) Impose an administrative sanction issued by the	34327
department against the responsible entitycounty grantee. A	34328
sanction may be increased if the department has previously taken	34329
action against the responsible entity under this division.	34330

(5) Perform, or contract with a government or private entity	34331
for the entity to perform, the family services duty until the	34332
department is satisfied that the responsible entitycounty grantee	34333
ensures that the duty will be performed satisfactorily. If the	34334
department performs or contracts with an entity to perform a	34335
family services duty under division (C)(5) of this section, the	34336
department may do either or both of the following:	34337

(a) Spend funds in the county treasury appropriated by the	34338
board of county commissioners for the duty;	34339

(b) Withhold funds allocated or reimbursements due to the	34340
responsible entitycounty grantee for the duty and spend the funds	34341
for the duty.	34342

(6) Request that the attorney general bring mandamus	34343
proceedings to compel the responsible entitycounty grantee to	34344
take or cease the action that causes division (B)(1), (2), (3), or	34345
(4) of this section to apply. The attorney general shall bring	34346
mandamus proceedings in the Franklin county court of appeals at	34347
the department's request.	34348

(7) If the department takes action under this division	34349
because of division (B)(3) of this section, temporarily withhold	34350
funds allocated or reimbursement due to the responsible entity	34351
county grantee until the department determines that the	34352
responsible entitycounty grantee is in compliance with the	34353
requirement. The department shall release the funds when the	34354
department determines that compliance has been achieved.	34355

(D) If the department proposes to take action against the	34356
responsible entitycounty grantee under division (C) of this	34357
section, the department shall notify the responsible entitycounty	34358
grantee, director of the appropriate county family services	34359
agency, and county auditor. The notice shall be in writing and	34360
specify the action the department proposes to take. The department	34361
shall send the notice by regular United States mail.	34362

Except as provided by division (E) of this section, the	34363
responsible entitycounty grantee may request an administrative	34364
review of a proposed action in accordance with administrative	34365
review procedures the department shall establish. The	34366
administrative review procedures shall comply with all of the	34367
following:	34368

(1) A request for an administrative review shall state	34369
specifically all of the following:	34370

(a) The proposed action specified in the notice from the	34371
department for which the review is requested;	34372

(b) The reason why the responsible entitycounty grantee	34373
believes the proposed action is inappropriate;	34374

(c) All facts and legal arguments that the responsible entity	34375
county grantee wants the department to consider;	34376

(d) The name of the person who will serve as the responsible	34377
entity'scounty grantee's representative in the review.	34378

(2) If the department's notice specifies more than one	34379
proposed action and the responsible entitycounty grantee does not	34380
specify all of the proposed actions in its request pursuant to	34381
division (D)(1)(a) of this section, the proposed actions not	34382
specified in the request shall not be subject to administrative	34383
review and the parts of the notice regarding those proposed	34384
actions shall be final and binding on the responsible entity	34385
county grantee.	34386

(3) In the case of a proposed action under division (C)(1) of	34387
this section, the responsible entitycounty grantee shall have	34388
fifteen calendar days after the department mails the notice to the	34389
responsible entitycounty grantee to send a written request to the	34390
department for an administrative review. If it receives such a	34391
request within the required time, the department shall postpone	34392
taking action under division (C)(1) of this section for fifteen	34393
calendar days following the day it receives the request or	34394
extended period of time provided for in division (D)(5) of this	34395
section to allow a representative of the department and a	34396
representative of the responsible entitycounty grantee an	34397
informal opportunity to resolve any dispute during that	34398
fifteen-day or extended period.	34399

(4) In the case of a proposed action under division (C)(2),	34400
(3), (4), (5), or (7) of this section, the responsible entity	34401
county grantee shall have thirty calendar days after the	34402
department mails the notice to the responsible entitycounty	34403
grantee to send a written request to the department for an	34404
administrative review. If it receives such a request within the	34405
required time, the department shall postpone taking action under	34406
division (C)(2), (3), (4), (5), or (7) of this section for thirty	34407
calendar days following the day it receives the request or	34408
extended period of time provided for in division (D)(5) of this	34409
section to allow a representative of the department and a	34410
representative of the responsible entitycounty grantee an	34411
informal opportunity to resolve any dispute during that thirty-day	34412
or extended period.	34413

(5) If the informal opportunity provided in division (D)(3)	34414
or (4) of this section does not result in a written resolution to	34415
the dispute within the fifteen- or thirty-day period, the director	34416
of job and family services and representative of the responsible	34417
entitycounty grantee may enter into a written agreement extending	34418
the time period for attempting an informal resolution of the	34419
dispute under division (D)(3) or (4) of this section.	34420

(6) In the case of a proposed action under division (C)(3) of	34421
this section, the responsible entitycounty grantee may not	34422
include in its request disputes over a finding, final disallowance	34423
of federal financial participation, or other sanction or penalty	34424
issued by the federal government, auditor of state, or entity	34425
other than the department.	34426

(7) If the responsible entitycounty grantee fails to request	34427
an administrative review within the required time, the responsible	34428
entitycounty grantee loses the right to request an administrative	34429
review of the proposed actions specified in the notice and the	34430
notice becomes final and binding on the responsible entitycounty	34431
grantee.	34432

(8) If the informal opportunity provided in division (D)(3)	34433
or (4) of this section does not result in a written resolution to	34434
the dispute within the time provided by division (D)(3), (4), or	34435
(5) of this section, the director shall appoint an administrative	34436
review panel to conduct the administrative review. The review	34437
panel shall consist of department employees and one director or	34438
other representative of the type of county family services agency	34439
that is responsible for the kind of family services duty that is	34440
the subject of the dispute and serves a different county than the	34441
county served by the responsible entitycounty grantee. No	34442
individual involved in the department's proposal to take action	34443
against the responsible entitycounty grantee may serve on the	34444
review panel. The review panel shall review the responsible	34445
entity'scounty grantee's request. The review panel may require	34446
that the department or responsible entitycounty grantee submit	34447
additional information and schedule and conduct an informal	34448
hearing to obtain testimony or additional evidence. A review of a	34449
proposal to take action under division (C)(3) of this section	34450
shall be limited solely to the issue of the amount the responsible	34451
entitycounty grantee shall share with the department, reimburse	34452
the department, or pay to the federal government, department, or	34453
other entity under division (C)(3) of this section. The review	34454
panel is not required to make a stenographic record of its hearing	34455
or other proceedings.	34456

(9) After finishing an administrative review, an	34457
administrative review panel appointed under division (D)(8) of	34458
this section shall submit a written report to the director setting	34459
forth its findings of fact, conclusions of law, and	34460
recommendations for action. The director may approve, modify, or	34461
disapprove the recommendations. If the director modifies or	34462
disapproves the recommendations, the director shall state the	34463
reasons for the modification or disapproval and the actions to be	34464
taken against the responsible entitycounty grantee.	34465

(10) The director's approval, modification, or disapproval	34466
under division (D)(9) of this section shall be final and binding	34467
on the responsible entitycounty grantee and shall not be subject	34468
to further departmental review.	34469

(E) The responsible entitycounty grantee is not entitled to	34470
an administrative review under division (D) of this section for	34471
any of the following:	34472

(1) An action taken under division (C)(6) of this section;

34473

(2) An action taken under section 5101.242 of the Revised	34474
Code;	34475

(3) An action taken under division (C)(3) of this section if	34476
the federal government, auditor of state, or entity other than the	34477
department has identified the responsible county family services	34478
agencygrantee as being solely or partially responsible for an	34479
adverse audit finding, adverse quality control finding, final	34480
disallowance of federal financial participation, or other sanction	34481
or penalty;	34482

(4) An adjustment to an allocation, cash draw, advance, or	34483
reimbursement to a responsible county family services agency	34484
grantee that the department determines necessary for budgetary	34485
reasons;	34486

(5) Withholding of a cash draw or reimbursement due to	34487
noncompliance with a reporting requirement established in rules	34488
adopted under section 5101.243 of the Revised Code.	34489

(F) This section does not apply to other actions the	34490
department takes against the responsible entitycounty grantee	34491
pursuant to authority granted by another state law unless the	34492
other state law requires the department to take the action in	34493
accordance with this section.	34494

(G) The director of job and family services may adopt rules	34495
in accordance with Chapter 119. of the Revised Code as necessary	34496
to implement this section.	34497

Sec. 5101.242.  The department of job and family services may	34498
certify a claim to the attorney general under section 131.02 of	34499
the Revised Code for the attorney general to take action under	34500
that section against a responsible county grantee or responsible	34501
entity to recover any funds that the department determines the	34502
responsible county grantee or responsible entity owes the	34503
department for actions taken under division (C)(2), (3), (4), or	34504
(5) of section 5101.24 or 5101.241 of the Revised Code.	34505

Sec. 5101.244.  If a county family services agency submits an	34506
expenditure report to the department of job and family services	34507
and the department subsequently determines that a grant awarded to	34508
a county grantee in a grant agreement entered into under section	34509
5101.21 of the Revised Code, an allocation, advance, or	34510
reimbursement the department makes to thea county family services	34511
agency, or a cash draw thea county family services agency makes,	34512
for an expenditure exceeds the allowable amount for the	34513
expendituregrant, allocation, advance, reimbursement, or cash	34514
draw, the department may adjust, offset, withhold, or reduce an	34515
allocation, cash draw, advance, reimbursement, or other financial	34516
assistance to the county grantee or county family services agency	34517
as necessary to recover the amount of the excess grant,	34518
allocation, advance, reimbursement, or cash draw. The department	34519
is not required to make the adjustment, offset, withholding, or	34520
reduction in accordance with section 5101.24 of the Revised Code.	34521

The director of job and family services may adopt rules under	34522
section 111.15 of the Revised Code as necessary to implement this	34523
section. The director shall adopt the rules as if they were	34524
internal management rules.	34525

Sec. 5101.26.  As used in this section and in sections	34526
5101.27 to 5101.30 of the Revised Code:	34527

(A) "County agency" means a county department of job and	34528
family services or a public children services agency.	34529

(B) "Fugitive felon" means an individual who is fleeing to	34530
avoid prosecution, or custody or confinement after conviction,	34531
under the laws of the place from which the individual is fleeing,	34532
for a crime or an attempt to commit a crime that is a felony under	34533
the laws of the place from which the individual is fleeing or, in	34534
the case of New Jersey, a high misdemeanor, regardless of whether	34535
the individual has departed from the individual's usual place of	34536
residence.	34537

(C) "Information" means records as defined in section 149.011	34538
of the Revised Code, any other documents in any format, and data	34539
derived from records and documents that are generated, acquired,	34540
or maintained by the department of job and family services, a	34541
county agency, or an entity performing duties on behalf of the	34542
department or a county agency.	34543

(D) "Law enforcement agency" means the state highway patrol,	34544
an agency that employs peace officers as defined in section 109.71	34545
of the Revised Code, the adult parole authority, a county	34546
department of probation, a prosecuting attorney, the attorney	34547
general, similar agencies of other states, federal law enforcement	34548
agencies, and postal inspectors. "Law enforcement agency" includes	34549
the peace officers and other law enforcement officers employed by	34550
the agency.	34551

(E) "Medical assistance provided under a public assistance	34552
program" means medical assistance provided under the programs	34553
established under sections 5101.49, 5101.50 to 5101.503, and	34554
5101.51 to 5101.5110, Chapters 5111., 5114., and 5115., or any	34555
other provision of the Revised Code.	34556

(F) "Public assistance" means financial assistance, medical	34557
assistance, or social services provided under a program	34558
administered by the department of job and family services or a	34559
county agency pursuant to Chapter 329., 5101., 5104., 5107.,	34560
5108., 5111., 5114., or 5115. of the Revised Code or an executive	34561
order issued under section 107.17 of the Revised Code.	34562

(G) "Public assistance recipient" means an applicant for or	34563
recipient or former recipient of public assistance.	34564

Sec. 5101.28.  (A)(1) On request of the department of job and	34565
family services or a county agency, a law enforcement agency shall	34566
provide information regarding public assistance recipients to	34567
enable the department or county agency to determine, for	34568
eligibility purposes, whether a recipient or a member of a	34569
recipient's assistance group is a fugitive felon or violating a	34570
condition of probation, a community control sanction, parole, or a	34571
post-release control sanction imposed under state or federal law.	34572

(2) A county agency may enter into a written agreement with a	34573
local law enforcement agency establishing procedures concerning	34574
access to information and providing for compliance with division	34575
(F) of this section.	34576

(B) To the extent permitted by federal law, the department	34577
and county agencies shall provide information, except information	34578
directly related to the receipt of medical assistance or medical	34579
services, regarding recipients of public assistance under a	34580
program administered by the state department or a county agency	34581
pursuant to Chapter 5107., 5108., 5114., or 5115. of the Revised	34582
Code to law enforcement agencies on request for the purposes of	34583
investigations, prosecutions, and criminal and civil proceedings	34584
that are within the scope of the law enforcement agencies'	34585
official duties.	34586

(C) Information about a recipient shall be exchanged,	34587
obtained, or shared only if the department, county agency, or law	34588
enforcement agency requesting the information gives sufficient	34589
information to specifically identify the recipient. In addition to	34590
the recipient's name, identifying information may include the	34591
recipient's current or last known address, social security number,	34592
other identifying number, age, gender, physical characteristics,	34593
any information specified in an agreement entered into under	34594
division (A) of this section, or any information considered	34595
appropriate by the department or agency.	34596

(D)(1) The department and its officers and employees are not	34597
liable in damages in a civil action for any injury, death, or loss	34598
to person or property that allegedly arises from the release of	34599
information in accordance with divisions (A), (B), and (C) of this	34600
section. This section does not affect any immunity or defense that	34601
the department and its officers and employees may be entitled to	34602
under another section of the Revised Code or the common law of	34603
this state, including section 9.86 of the Revised Code.	34604

(2) The county agencies and their employees are not liable in	34605
damages in a civil action for any injury, death, or loss to person	34606
or property that allegedly arises from the release of information	34607
in accordance with divisions (A), (B), and (C) of this section.	34608
"Employee" has the same meaning as in division (B) of section	34609
2744.01 of the Revised Code. This section does not affect any	34610
immunity or defense that the county agencies and their employees	34611
may be entitled to under another section of the Revised Code or	34612
the common law of this state, including section 2744.02 and	34613
division (A)(6) of section 2744.03 of the Revised Code.	34614

(E) To the extent permitted by federal law, the department	34615
and county agencies shall provide access to information to the	34616
auditor of state acting pursuant to Chapter 117. or sections	34617
5101.181 and 5101.182 of the Revised Code and to any other	34618
government entity authorized by federal law to conduct an audit of	34619
or similar activity involving a public assistance program.	34620

(F) The auditor of state shall prepare an annual report on	34621
the outcome of the agreements required under division (A) of this	34622
section. The report shall include the number of fugitive felons,	34623
probation and parole violators, and violators of community control	34624
sanctions and post-release control sanctions apprehended during	34625
the immediately preceding year as a result of the exchange of	34626
information pursuant to that division. The auditor of state shall	34627
file the report with the governor, the president and minority	34628
leader of the senate, and the speaker and minority leader of the	34629
house of representatives. The state department, county agencies,	34630
and law enforcement agencies shall cooperate with the auditor of	34631
state's office in gathering the information required under this	34632
division.	34633

(G) To the extent permitted by federal law, the department of	34634
job and family services, county departments of job and family	34635
services, and employees of the departments may report to a public	34636
children services agency or other appropriate agency information	34637
on known or suspected physical or mental injury, sexual abuse or	34638
exploitation, or negligent treatment or maltreatment, of a child	34639
receiving public assistance, if circumstances indicate that the	34640
child's health or welfare is threatened.	34641

(H) As used in this section:

34642

(1) "Community control sanction" has the same meaning as in	34643
section 2929.01 of the Revised Code.	34644

(2) "Post-release control sanction" has the same meaning as	34645
in section 2967.01 of the Revised Code.	34646

Sec. 5101.31. Any record, data, pricing information, or other	34647
information regarding a drug rebate agreement or a supplemental	34648
drug rebate agreement for the medicaid program established under	34649
Chapter 5111. of the Revised Code, the nonfederal medical	34650
assistance program established under Chapter 5114. of the Revised	34651
Code, or the disability medical assistance program established	34652
under section 5115.10 of the Revised Code that the department of	34653
job and family services receives from a pharmaceutical	34654
manufacturer or creates pursuant to negotiation of the agreement	34655
is not a public record under section 149.43 of the Revised Code	34656
and shall be treated by the department as confidential	34657
information.	34658

Sec. 5101.35.  (A) As used in this section:

34659

(1) "Agency" means the following entities that administer a	34660
family services program:	34661

(a) The department of job and family services;

34662

(b) A county department of job and family services;

34663

(c) A public children services agency;

34664

(d) A private or government entity administering, in whole or	34665
in part, a family services program for or on behalf of the	34666
department of job and family services or a county department of	34667
job and family services or public children services agency.	34668

(2) "Appellant" means an applicant, participant, former	34669
participant, recipient, or former recipient of a family services	34670
program who is entitled by federal or state law to a hearing	34671
regarding a decision or order of the agency that administers the	34672
program.	34673

(3) "Family services program" means assistance provided under	34674
a Title IV-A program as defined in section 5101.80 of the Revised	34675
Code or under Chapter 5104., 5111., 5114., or 5115. or section	34676
173.35, 5101.141, 5101.46, 5101.461, 5101.54, 5153.163, or	34677
5153.165 of the Revised Code, other than assistance provided under	34678
section 5101.46 of the Revised Code by the department of mental	34679
health, the department of mental retardation and developmental	34680
disabilities, a board of alcohol, drug addiction, and mental	34681
health services, or a county board of mental retardation and	34682
developmental disabilities.	34683

(B) Except as provided by divisions (G) and (H) of this	34684
section, an appellant who appeals under federal or state law a	34685
decision or order of an agency administering a family services	34686
program shall, at the appellant's request, be granted a state	34687
hearing by the department of job and family services. This state	34688
hearing shall be conducted in accordance with rules adopted under	34689
this section. The state hearing shall be recorded, but neither the	34690
recording nor a transcript of the recording shall be part of the	34691
official record of the proceeding. A state hearing decision is	34692
binding upon the agency and department, unless it is reversed or	34693
modified on appeal to the director of job and family services or a	34694
court of common pleas.	34695

(C) Except as provided by division (G) of this section, an	34696
appellant who disagrees with a state hearing decision may make an	34697
administrative appeal to the director of job and family services	34698
in accordance with rules adopted under this section. This	34699
administrative appeal does not require a hearing, but the director	34700
or the director's designee shall review the state hearing decision	34701
and previous administrative action and may affirm, modify, remand,	34702
or reverse the state hearing decision. Any person designated to	34703
make an administrative appeal decision on behalf of the director	34704
shall have been admitted to the practice of law in this state. An	34705
administrative appeal decision is the final decision of the	34706
department and is binding upon the department and agency, unless	34707
it is reversed or modified on appeal to the court of common pleas.	34708

(D) An agency shall comply with a decision issued pursuant to	34709
division (B) or (C) of this section within the time limits	34710
established by rules adopted under this section. If a county	34711
department of job and family services or a public children	34712
services agency fails to comply within these time limits, the	34713
department may take action pursuant to section 5101.24 of the	34714
Revised Code. If another agency fails to comply within the time	34715
limits, the department may force compliance by withholding funds	34716
due the agency or imposing another sanction established by rules	34717
adopted under this section.	34718

(E) An appellant who disagrees with an administrative appeal	34719
decision of the director of job and family services or the	34720
director's designee issued under division (C) of this section may	34721
appeal from the decision to the court of common pleas pursuant to	34722
section 119.12 of the Revised Code. The appeal shall be governed	34723
by section 119.12 of the Revised Code except that:	34724

(1) The person may appeal to the court of common pleas of the	34725
county in which the person resides, or to the court of common	34726
pleas of Franklin county if the person does not reside in this	34727
state.	34728

(2) The person may apply to the court for designation as an	34729
indigent and, if the court grants this application, the appellant	34730
shall not be required to furnish the costs of the appeal.	34731

(3) The appellant shall mail the notice of appeal to the	34732
department of job and family services and file notice of appeal	34733
with the court within thirty days after the department mails the	34734
administrative appeal decision to the appellant. For good cause	34735
shown, the court may extend the time for mailing and filing notice	34736
of appeal, but such time shall not exceed six months from the date	34737
the department mails the administrative appeal decision. Filing	34738
notice of appeal with the court shall be the only act necessary to	34739
vest jurisdiction in the court.	34740

(4) The department shall be required to file a transcript of	34741
the testimony of the state hearing with the court only if the	34742
court orders the department to file the transcript. The court	34743
shall make such an order only if it finds that the department and	34744
the appellant are unable to stipulate to the facts of the case and	34745
that the transcript is essential to a determination of the appeal.	34746
The department shall file the transcript not later than thirty	34747
days after the day such an order is issued.	34748

(F) The department of job and family services shall adopt	34749
rules in accordance with Chapter 119. of the Revised Code to	34750
implement this section, including rules governing the following:	34751

(1) State hearings under division (B) of this section. The	34752
rules shall include provisions regarding notice of eligibility	34753
termination and the opportunity of an appellant appealing a	34754
decision or order of a county department of job and family	34755
services to request a county conference with the county department	34756
before the state hearing is held.	34757

(2) Administrative appeals under division (C) of this	34758
section;	34759

(3) Time limits for complying with a decision issued under	34760
division (B) or (C) of this section;	34761

(4) Sanctions that may be applied against an agency under	34762
division (D) of this section.	34763

(G) The department of job and family services may adopt rules	34764
in accordance with Chapter 119. of the Revised Code establishing	34765
an appeals process for an appellant who appeals a decision or	34766
order regarding a Title IV-A program identified under division	34767
(A)(4)(c), (d), (e), or (f) of section 5101.80 of the Revised Code	34768
that is different from the appeals process established by this	34769
section. The different appeals process may include having a state	34770
agency that administers the Title IV-A program pursuant to an	34771
interagency agreement entered into under section 5101.801 of the	34772
Revised Code administer the appeals process.	34773

(H) If an appellant receiving medicaid through a health	34774
insuring corporation that holds a certificate of authority under	34775
Chapter 1751. of the Revised Code is appealing a denial of	34776
medicaid services based on lack of medical necessity or other	34777
clinical issues regarding coverage by the health insuring	34778
corporation, the person hearing the appeal may order an	34779
independent medical review if that person determines that a review	34780
is necessary. The review shall be performed by a health care	34781
professional with appropriate clinical expertise in treating the	34782
recipient's condition or disease. The department shall pay the	34783
costs associated with the review.	34784

A review ordered under this division shall be part of the	34785
record of the hearing and shall be given appropriate evidentiary	34786
consideration by the person hearing the appeal.	34787

(I) The requirements of Chapter 119. of the Revised Code	34788
apply to a state hearing or administrative appeal under this	34789
section only to the extent, if any, specifically provided by rules	34790
adopted under this section.	34791

Sec. 5101.36.  Any application for public assistance gives a	34792
right of subrogation to the department of job and family services	34793
for any workers' compensation benefits payable to a person who is	34794
subject to a support order, as defined in section 3119.01 of the	34795
Revised Code, on behalf of the applicant, to the extent of any	34796
public assistance payments made on the applicant's behalf. If the	34797
director of job and family services, in consultation with a child	34798
support enforcement agency and the administrator of the bureau of	34799
workers' compensation, determines that a person responsible for	34800
support payments to a recipient of public assistance is receiving	34801
workers' compensation, the director shall notify the administrator	34802
of the amount of the benefit to be paid to the department of job	34803
and family services.	34804

For purposes of this section, "public assistance" means	34805
medical assistance provided through the medical assistance program	34806
established under section 5111.01 of the Revised Code; nonfederal	34807
medical assistance program established under Chapter 5114. of the	34808
Revised Code; Ohio works first provided under Chapter 5107. of the	34809
Revised Code; prevention, retention, and contingency benefits and	34810
services provided under Chapter 5108. of the Revised Code;	34811
disability financial assistance provided under Chapter 5115. of	34812
the Revised Code; or disability medical assistance provided under	34813
Chapter 5115. of the Revised Code.	34814

Sec. 5101.51.  In accordance with federal law governing the	34815
children's health insurance program, the director of job and	34816
family services may submit a state child health plan to the United	34817
States secretary of health and human services to provide, except	34818
as provided in section 5101.516 of the Revised Code, health	34819
assistance to uninsured individuals under nineteen years of age	34820
with family incomes above one hundred fifty per cent of the	34821
federal poverty guidelines but not exceeding twothree hundred per	34822
cent of the federal poverty guidelines. If the director submits	34823
the plan, the director shall include bothall of the following in	34824
the plan and any subsequent amendments to the plan:	34825

(A) TheFor individuals with family incomes above one hundred	34826
fifty per cent but not exceeding two hundred per cent of the	34827
federal poverty guidelines, the health assistance will not begin	34828
before January 1, 2000.	34829

(B) For individuals with family incomes above two hundred per	34830
cent but not exceeding three hundred per cent of the federal	34831
poverty guidelines, the health assistance will not begin before	34832
January 1, 2008.	34833

(C) The health assistance will be available only while	34834
federal financial participation is available for it.	34835

Sec. 5101.54.  (A) The director of job and family services	34836
shall administer the food stamp program in accordance with the	34837
"Food Stamp Act of 1977," 91 Stat. 958, 7 U.S.C.A. 2011, as	34838
amended. The department may:	34839

(1) Prepare and submit to the secretary of the United States	34840
department of agriculture a plan for the administration of the	34841
food stamp program;	34842

(2) Prescribe forms for applications, certificates, reports,	34843
records, and accounts of county departments of job and family	34844
services, and other matters;	34845

(3) Require such reports and information from each county	34846
department of job and family services as may be necessary and	34847
advisable;	34848

(4) Administer and expend any sums appropriated by the	34849
general assembly for the purposes of this section and all sums	34850
paid to the state by the United States as authorized by the Food	34851
Stamp Act of 1977;	34852

(5) Conduct such investigations as are necessary;

34853

(6) Enter into interagency agreements and cooperate with	34854
investigations conducted by the department of public safety,	34855
including providing information for investigative purposes,	34856
exchanging property and records, passing through federal financial	34857
participation, modifying any agreements with the United States	34858
department of agriculture, providing for the supply, security, and	34859
accounting of food stamp benefits for investigative purposes, and	34860
meeting any other requirements necessary for the detection and	34861
deterrence of illegal activities in the state food stamp program;	34862

(7) Adopt rules in accordance with Chapter 119. of the	34863
Revised Code governing employment and training requirements of	34864
recipients of food stamp benefits, including rules specifying	34865
which recipients are subject to the requirements and establishing	34866
sanctions for failure to satisfy the requirements. The rules shall	34867
be consistent with 7 U.S.C.A. 2015 and, to the extent practicable,	34868
may provide for food stamp benefit recipients to participate in	34869
work participation activities, developmental activities, and	34870
alternative work activities established under sections 5107.40 to	34871
5107.69in rules authorized by section 5107.40 of the Revised Code	34872
that are comparable to programs authorized by 7 U.S.C.A.	34873
2015(d)(4). The rules may reference rules adopted under section	34874
5107.05 of the Revised Code governing work activities,	34875
developmental activities, and alternative work activities	34876
established under sections 5107.40 to 5107.69 of the Revised Code.	34877

(8) Adopt rules in accordance with section 111.15 of the	34878
Revised Code that are consistent with the Food Stamp Act of 1977,	34879
as amended, and regulations adopted thereunder governing the	34880
following:	34881

(a) Eligibility requirements for the food stamp program;

34882

(b) Sanctions for failure to comply with eligibility	34883
requirements;	34884

(c) Allotment of food stamp benefits;

34885

(d) To the extent permitted under federal statutes and	34886
regulations, a system under which some or all recipients of food	34887
stamp benefits subject to employment and training requirements	34888
established by rules adopted under division (A)(7) of this section	34889
receive food stamp benefits after satisfying the requirements;	34890

(e) Administration of the program by county departments of	34891
job and family services;	34892

(f) Other requirements necessary for the efficient	34893
administration of the program.	34894

(9) Submit a plan to the United States secretary of	34895
agriculture for the department of job and family services to	34896
operate a simplified food stamp program pursuant to 7 U.S.C.A.	34897
2035 under which requirements governing the Ohio works first	34898
program established under Chapter 5107. of the Revised Code also	34899
govern the food stamp program in the case of households receiving	34900
food stamp benefits and participating in Ohio works first.	34901

(B) Except while in the custody of the United States postal	34902
service, food stamps and any document necessary to obtain food	34903
stamps are the property of the department of job and family	34904
services from the time they are received in accordance with	34905
federal regulations by the department from the federal agency	34906
responsible for such delivery until they are received by a	34907
household entitled to receive them or by the authorized	34908
representative of the household.	34909

(C) A household that is entitled to receive food stamps under	34910
the "Food Stamp Act of 1977," 91 Stat. 958, 7 U.S.C.A. 2011, as	34911
amended, and that is determined to be in immediate need of food	34912
assistance, shall receive certification of eligibility for program	34913
benefits, pending verification, within twenty-four hours, or, if	34914
mitigating circumstances occur, within seventy-two hours, after	34915
application, if:	34916

(1) The results of the application interview indicate that	34917
the household will be eligible upon full verification;	34918

(2) Information sufficient to confirm the statements in the	34919
application has been obtained from at least one additional source,	34920
not a member of the applicant's household. Such information shall	34921
be recorded in the case file, and shall include:	34922

(a) The name of the person who provided the name of the	34923
information source;	34924

(b) The name and address of the information source;

34925

(c) A summary of the information obtained.

34926

The period of temporary eligibility shall not exceed one	34927
month from the date of certification of temporary eligibility. If	34928
eligibility is established by full verification, benefits shall	34929
continue without interruption as long as eligibility continues.	34930

At the time of application, the county department of job and	34931
family services shall provide to a household described in this	34932
division a list of community assistance programs that provide	34933
emergency food.	34934

(D) All applications shall be approved or denied through full	34935
verification within thirty days from receipt of the application by	34936
the county department of job and family services.	34937

(E) Nothing in this section shall be construed to prohibit	34938
the certification of households that qualify under federal	34939
regulations to receive food stamps without charge under the "Food	34940
Stamp Act of 1977," 91 Stat. 958, 7 U.S.C.A. 2011, as amended.	34941

(F) Any person who applies for food stamps under this section	34942
shall receive a voter registration application under section	34943
3503.10 of the Revised Code.	34944

Sec. 5101.541. The food stamp program fund is hereby created	34945
in the state treasury. The fund shall consist of federal	34946
reimbursement for food stamp program administrative expenses and	34947
other food stamp program expenses. The department of job and	34948
family services shall use the money credited to the fund to pay	34949
for food stamp program administrative expenses and other food	34950
stamp program expenses.	34951

Sec. 5101.571.  As used in sections 5101.571 to 5101.59	34952
5101.591 of the Revised Code:	34953

(A) "Information" means all of the following:

34954

(1) An individual's name, address, date of birth, and social	34955
security number;	34956

(2) The group or plan number, or other identifier, assigned	34957
by a third party to a policy held by an individual or a plan in	34958
which the individual participates and the nature of the coverage;	34959

(3) Any other data the director of job and family services	34960
specifies in rules adopted under section 5101.591 of the Revised	34961
Code.	34962

(B) "Medical assistance" means medical items or services	34963
provided under any of the following:	34964

(1) Medicaid, as defined in section 5111.01 of the Revised	34965
Code;	34966

(2) The children's health insurance program part I and part	34967
II established under sections 5101.50 to 5101.519 of the Revised	34968
Code;	34969

(3) The nonfederal medical assistance program established	34970
under Chapter 5114. of the Revised Code.	34971

(4) The disability medical assistance program established	34972
under Chapter 5115. of the Revised Code.	34973

(C) "Medical support" means support specified as support for	34974
the purpose of medical care by order of a court or administrative	34975
agency.	34976

(B) "Third party"(D) "Public assistance" means medical	34977
assistance or assistance under the Ohio works first program	34978
established under Chapter 5107. of the Revised Code.	34979

(E)(1) Subject to division (E)(2) of this section, and except	34980
as provided in division (E)(3) of this section, "third party"	34981
means any health insurer as defined in section 3924.41 of the	34982
Revised Code, individual, entity, or public or private program,	34983
that is or may be liable to pay all or part of the medical cost of	34984
injury, disease, or disability of an applicant or recipient.	34985
"Third party" includes any such insurer, individual, entity, or	34986
program that would have been obligated to pay for the service,	34987
even when such third party limits or excludes payments in the case	34988
of an individual who is eligible for medicaid.all of the	34989
following:	34990

(a) A person authorized to engage in the business of sickness	34991
and accident insurance under Title XXXIX of the Revised Code;	34992

(b) A person or governmental entity providing coverage for	34993
medical services or items to individuals on a self-insurance	34994
basis;	34995

(c) A health insuring corporation as defined in section	34996
1751.01 of the Revised Code;	34997

(d) A group health plan as defined in 29 U.S.C. 1167;

34998

(e) A service benefit plan as referenced in 42 U.S.C.	34999
1396a(a)(25);	35000

(f) A managed care organization;

35001

(g) A pharmacy benefit manager;

35002

(h) A third party administrator;

35003

(i) Any other person or governmental entity that is, by law,	35004
contract, or agreement, responsible for the payment or processing	35005
of a claim for a medical item or service for a public assistance	35006
recipient or participant.	35007

(2) Except when otherwise provided by 42 U.S.C. 1395y(b), a	35008
person or governmental entity listed in division (E)(1) of this	35009
section is a third party even if the person or governmental entity	35010
limits or excludes payments for a medical item or service in the	35011
case of a public assistance recipient.	35012

(3) "Third party" does not include the program for medically	35013
handicapped children established under section 3701.023 of the	35014
Revised Code.	35015

Sec. 5101.572. Upon the request of the department of job and	35016
family services, any(A) A third party as defined in section	35017
5101.571 of the Revised Code shall cooperate with the department	35018
of job and family services in identifying individuals for the	35019
purpose of establishing third party liability pursuant to Title	35020
XIX of the Social Security Act, as amended. The	35021

(B) In furtherance of the requirement in division (A) of this	35022
section and to allow the department to determine any period that	35023
the individual or the individual's spouse or dependent may have	35024
been covered by the third party and the nature of the coverage, a	35025
third party shall provide, as the department so chooses,	35026
information or access to information, or both, in the third	35027
party's electronic data system on the department's request and in	35028
accordance with division (C) of this section.	35029

(C)(1) If the department chooses to receive information	35030
directly, the third party shall provide the information under all	35031
of the following circumstances:	35032

(a) In a medium, format, and manner prescribed by the	35033
director of job and family services in rules adopted under section	35034
5101.591 of the Revised Code;	35035

(b) Free of charge;

35036

(c) Not later than the end of the thirtieth day after the	35037
department makes its request, unless a different time is agreed to	35038
by the director in writing.	35039

(2) If the department chooses to receive access to	35040
information, the third party shall provide access by a method	35041
prescribed by the director of job and family services in rules	35042
adopted under section 5101.591 of the Revised Code. In	35043
facilitating access, the department may enter into a trading	35044
partner agreement with the third party to permit the exchange of	35045
information via "ASC X 12N 270/271 Health Care Eligibility Benefit	35046
Inquiry and Response" transactions.	35047

(D) All of the following apply with respect to information	35048
provided by a third party to the department under this section:	35049

(1) The information is confidential and not a public record	35050
under section 149.43 of the Revised Code.	35051

(2) The release of information to the department is not to be	35052
considered a violation of any right of confidentiality or contract	35053
that the third party may have with covered persons including, but	35054
not limited to, contractees, beneficiaries, heirs, assignees, and	35055
subscribers.	35056

(3) The third party is immune from any liability that it may	35057
otherwise incur through its release of information to the	35058
department.	35059

The department of job and family services shall limit its use	35060
of information gained from third parties to purposes directly	35061
connected with the administration of the medicaid program. No	35062

(E) No third party shall disclose to other parties or make	35063
use of any information regarding recipients of aid under Chapter	35064
5107. or 5111. of the Revised Code that it obtains from the	35065
department of job and family services, except in the manner	35066
provided for by the director of job and family services in	35067
administrative rules. Any information provided by a third party to	35068
the department of job and family services shall not be considered	35069
a violation of any right of confidentiality or contract that the	35070
third party may have with covered persons including, but not	35071
limited to, contractees, beneficiaries, heirs, assignees, and	35072
subscribers. The third party is immune from any liability that it	35073
may otherwise incur through its release of information to the	35074
department of job and family services.	35075

Sec. 5101.573. (A) Subject to division (B) of this section, a	35076
third party shall do all of the following:	35077

(1) Accept the department of job and family services' right	35078
of recovery under section 5101.58 of the Revised Code and the	35079
assignment of rights to the department that are described in	35080
section 5101.59 of the Revised Code.	35081

(2) Respond to an inquiry by the department regarding a claim	35082
for payment of a medical item or service that was submitted to the	35083
third party not later than six years after the date of the	35084
provision of such medical item or service;	35085

(3) Pay a claim described in division (A)(2) of this section;

35086

(4) Not deny a claim submitted by the department solely on	35087
the basis of the date of submission of the claim, type or format	35088
of the claim form, or a failure by the medical assistance	35089
recipient who is the subject of the claim to present proper	35090
documentation of coverage at the time of service, if both of the	35091
following are true:	35092

(a) The claim was submitted by the department not later than	35093
six years after the date of the provision of the medical item or	35094
service;	35095

(b) An action by the department to enforce its right of	35096
recovery under section 5101.58 of the Revised Code on the claim	35097
was commenced not later than six years after the department's	35098
submission of the claim.	35099

(B) For purposes of the requirements in division (A) of this	35100
section, a third party shall treat a managed care organization as	35101
the department for a claim in which both of the following are	35102
true:	35103

(1) The individual who is the subject of the claim received a	35104
medical item or service through a managed care organization that	35105
has entered into a contract with the department of job and family	35106
services under section 5111.16 of the Revised Code;	35107

(2) The department has assigned its right of recovery for the	35108
claim to the managed care organization.	35109

Sec. 5101.574.  No third party shall consider whether an	35110
individual is eligible for or receives medical assistance when	35111
either of the following applies:	35112

(A) The individual seeks to obtain a policy or enroll in a	35113
plan or program operated or administered by the third party;	35114

(B) The individual, or a person or governmental entity on the	35115
individual's behalf, seeks payment for a medical item or service	35116
provided to the individual.	35117

Sec. 5101.575. If a third party violates section 5101.572,	35118
5101.573, or 5101.574 of the Revised Code, a governmental entity	35119
that is responsible for issuing a license, certificate of	35120
authority, registration, or approval that authorizes the third	35121
party to do business in this state shall, in accordance with	35122
Chapter 119. of the Revised Code, deny, revoke, or terminate, as	35123
determined to be appropriate by the governmental entity, the	35124
license, certificate, registration, or approval of the third	35125
party. In addition, the attorney general may petition a court of	35126
common pleas to enjoin the violation.	35127

Sec. 5101.58. As used in this section and section 5101.59 of	35128
the Revised Code, "public assistance" means aid provided under	35129
Chapter 5111. or 5115. of the Revised Code and participation in	35130
the Ohio works first program established under Chapter 5107. of	35131
the Revised Code.	35132

(A) The acceptance of public assistance gives aan automatic	35133
right of recovery to the department of job and family services and	35134
a county department of job and family services against the	35135
liability of a third party for the cost of medical services and	35136
care arising out of injury, disease, or disabilityassistance paid	35137
on behalf of the public assistance recipient or participant. When	35138
an action or claim is brought against a third party by a public	35139
assistance recipient or participant, the entire amount of any	35140
payment, settlement or compromise of the action or claim, or any	35141
court award or judgment, is subject to the recovery right of the	35142
department of job and family services or county department of job	35143
and family services. Except in the case of a recipient or	35144
participant who receives medical services or careassistance	35145
through a managed care organization, the department's or county	35146
department's claim shall not exceed the amount of medical expenses	35147
assistance paid by the departmentsa department on behalf of the	35148
recipient or participant. InA payment, settlement, compromise,	35149
judgment, or award that excludes the cost of medical assistance	35150
paid for by a department shall not preclude a department from	35151
enforcing its rights under this section.	35152

(B) In the case of a recipient or participant who receives	35153
medical services or careassistance through a managed care	35154
organization, the amount of the department's or county	35155
department's claim shall be the amount the managed care	35156
organization pays for medical services or careassistance rendered	35157
to the recipient or participant, even if that amount is more than	35158
the amount the departments paya department pays to the managed	35159
care organization for the recipient's or participant's medical	35160
services or care. Any settlement, compromise, judgment, or award	35161
that excludes the cost of medical services or care shall not	35162
preclude the departments from enforcing their rights under this	35163
sectionassistance.	35164

Prior to initiating any(C) A recipient or participant, and	35165
the recipient's or participant's attorney, if any, shall cooperate	35166
with the departments. In furtherance of this requirement, the	35167
recipient or participant, or the recipient's or participant's	35168
attorney, if any, shall, not later than thirty days after	35169
initiating informal recovery activity or filing a legal recovery	35170
action, the recipient or participant, or the recipient's or	35171
participant's representative, shall discloseagainst a third	35172
party, provide written notice of the activity or action to the	35173
appropriate department or departments as follows:	35174

(1) To only the department of job and family services when	35175
medical assistance under medicaid has been paid;	35176

(2) To the department of job and family services and the	35177
appropriate county department of job and family services when	35178
medical assistance under the disability medical assistance program	35179
or medical assistance under the nonfederal medical assistance	35180
program has been paid.	35181

(D) The written notice that must be given under division (C)	35182
of this section shall disclose the identity and address of any	35183
third party against whom the recipient or participant has or may	35184
have a right of recovery. Disclosure shall be made to the	35185
department of job and family services when medical expenses have	35186
been paid pursuant to Chapter 5111. or 5115. of the Revised Code.	35187
Disclosure shall be made to both the department of job and family	35188
services and the appropriate county department of job and family	35189
services when medical expenses have been paid pursuant to Chapter	35190
5115. of the Revised Code. No	35191

(E) No settlement, compromise, judgment, or award or any	35192
recovery in any action or claim by a recipient or participant	35193
where the departments have a right of recovery shall be made final	35194
without first giving the appropriate departments written notice as	35195
described in division (C) of this section and a reasonable	35196
opportunity to perfect their rights of recovery. If the	35197
departments are not given the appropriate written notice, the	35198
recipient or participant isand, if there is one, the recipient's	35199
or participant's attorney, are liable to reimburse the departments	35200
for the recovery received to the extent of medical payments made	35201
by the departments. The	35202

(F) The departments shall be permitted to enforce their	35203
recovery rights against the third party even though they accepted	35204
prior payments in discharge of their rights under this section if,	35205
at the time the departments received such payments, they were not	35206
aware that additional medical expenses had been incurred but had	35207
not yet been paid by the departments. The third party becomes	35208
liable to the department of job and family services or county	35209
department of job and family services as soon as the third party	35210
is notified in writing of the valid claims for recovery under this	35211
section.	35212

The(G)(1) Subject to division (G)(2) of this section, the	35213
right of recovery of a department does not apply to that portion	35214
of any judgment, award, settlement, or compromise of a claim, to	35215
the extent of attorneys' fees, costs, or other expenses incurred	35216
by a recipient or participant in securing the judgment, award,	35217
settlement, or compromise, or to the extent of medical, surgical,	35218
and hospital expenses paid by such recipient or participant from	35219
the recipient's or participant's own resources. Attorney fees and	35220
costs or other expenses in securing any recovery shall not be	35221
assessed against any claims of the departments.	35222

To(2) Reasonable attorneys' fees, not to exceed one-third of	35223
the total judgment, award, settlement, or compromise, plus costs	35224
and other expenses incurred by the recipient or participant in	35225
securing the judgment, award, settlement, or compromise, shall	35226
first be deducted from the total judgment, award, settlement, or	35227
compromise. After fees, costs, and other expenses are deducted	35228
from the total judgment, award, settlement, or compromise, the	35229
department of job and family services or appropriate county	35230
department of job and family services shall receive no less than	35231
one-half of the remaining amount, or the actual amount of medical	35232
assistance paid, whichever is less.	35233

(H) A right of recovery created by this section may be	35234
enforced separately or jointly by the department of job and family	35235
services or the appropriate county department of job and family	35236
services. To enforce their recovery rights, the departments may do	35237
any of the following:	35238

(A)(1) Intervene or join in any action or proceeding brought	35239
by the recipient or participant or on the recipient's or	35240
participant's behalf against any third party who may be liable for	35241
the cost of medical services and care arising out of the	35242
recipient's or participant's injury, disease, or disability	35243
assistance paid;	35244

(B)(2) Institute and pursue legal proceedings against any	35245
third party who may be liable for the cost of medical services and	35246
care arising out of the recipient's or participant's injury,	35247
disease, or disabilityassistance paid;	35248

(C)(3) Initiate legal proceedings in conjunction with theany	35249
injured, diseased, or disabled recipient or participant or the	35250
recipient's or participant's legalattorney or representative.	35251

Recovery rights created by this section may be enforced	35252
separately or jointly by the department of job and family services	35253
and the county department of job and family services.	35254

(I) A recipient or participant shall not assess attorney	35255
fees, costs, or other expenses against the department of job and	35256
family services or a county department of job and family services	35257
when the department or county department enforces its right of	35258
recovery created by this section.	35259

(J) The right of recovery given to the department under this	35260
section does not include rights to support from any other person	35261
assigned to the state under sections 5107.20 and 5115.07 of the	35262
Revised Code, but includes payments made by a third party under	35263
contract with a person having a duty to support.	35264

The director of job and family services may adopt rules in	35265
accordance with Chapter 119. of the Revised Code the department	35266
considers necessary to implement this section.	35267

Sec. 5101.59.  (A) The application for, or acceptance of,	35268
public assistance constitutes an automatic assignment of certain	35269
rights to the department of job and family services. This	35270
assignment includes the rights of the applicant, recipient, or	35271
participant and also the rights of any other member of the	35272
assistance group for whom the applicant, recipient, or participant	35273
can legally make an assignment.	35274

(B) Pursuant to this section, the applicant, recipient, or	35275
participant assigns to the department any rights to medical	35276
support available to the applicant, recipient, or participant or	35277
for other members of the assistance group under an order of a	35278
court or administrative agency, and any rights to payments from	35279
anyby a liable third party liable to pay for the cost of medical	35280
care and services arising out of injury, disease, or disability of	35281
the applicant, recipient, participant, or other members of the	35282
assistance groupassistance paid on behalf of a public assistance	35283
recipient or participant. The recipient or participant shall	35284
cooperate with the department in obtaining such payments.	35285

Medicare benefits shall not be assigned pursuant to this	35286
section. Benefits assigned to the department by operation of this	35287
section are directly reimbursable to the department by liable	35288
third parties.	35289

(B)(C) Refusal by the applicant, recipient, or participant to	35290
cooperate in obtaining medical support and paymentsassistance	35291
paid for self or any other member of the assistance group renders	35292
the applicant, recipient, or participant ineligible for public	35293
assistance, unless cooperation is waived by the department.	35294
Eligibility shall continue for any individual who cannot legally	35295
assign the individual's own rights and who would have been	35296
eligible for public assistance but for the refusal to assign the	35297
individual's rights or to cooperate as required by this section by	35298
another person legally able to assign the individual's rights.	35299

(D) If the applicant, recipient, or participant or any member	35300
of the assistance group becomes ineligible for public assistance,	35301
the department shall restore to the applicant, recipient,	35302
participant, or member of the assistance group any future rights	35303
to benefits assigned under this section.	35304

(E) The rights of assignment given to the department under	35305
this section do not include rights to support assigned under	35306
section 5107.20 or 5115.07 of the Revised Code.	35307

(C) The director of job and family services may adopt rules	35308
in accordance with Chapter 119. of the Revised Code to implement	35309
this section, including rules that specify what constitutes	35310
cooperating with efforts to obtain medical support and payments	35311
and when the cooperation requirement may be waived.	35312

Sec. 5101.591. (A) Except as provided in division (B) of this	35313
section, the director of job and family services may adopt rules	35314
in accordance with Chapter 119. of the Revised Code to implement	35315
sections 5101.571 to 5101.59 of the Revised Code, including rules	35316
that specify what constitutes cooperating with efforts to obtain	35317
support or payments, or medical assistance payments, and when	35318
cooperation may be waived.	35319

(B) The department shall adopt rules in accordance with	35320
Chapter 119. of the Revised Code to do all of the following:	35321

(1) For purposes of the definition of "information" in	35322
division (A) of section 5101.571 of the Revised Code, any data	35323
other than the data specified in that division that should be	35324
included in the definition.	35325

(2) For purposes of division (C)(1)(a) of section 5101.572 of	35326
the Revised Code, the medium, format, and manner in which a third	35327
party must provide information to the department.	35328

(3) For purposes of division (C)(2) of section 5101.572 of	35329
the Revised Code, the method by which a third party must provide	35330
the department with access to information.	35331

Sec. 5101.802.  (A) As used in this section:

35332

(1) "Custodian," "guardian," and "minor child" have the same	35333
meanings as in section 5107.02 of the Revised Code.	35334

(2) "Federal poverty guidelines" has the same meaning as in	35335
section 5101.46 of the Revised Code.	35336

(3) "Kinship caregiver" has the same meaning as in section	35337
5101.85 of the Revised Code.	35338

(B) Subject to division (E) of section 5101.801 of the	35339
Revised Code, there is hereby created the kinship permanency	35340
incentive program to promote permanency for a minor child in the	35341
legal and physical custody of a kinship caregiver. The program	35342
shall provide an initial one-time incentive payment to the kinship	35343
caregiver to defray the costs of initial placement of the minor	35344
child in the kinship caregiver's home. The program may provide	35345
additional permanency incentive payments for the minor child at	35346
six month intervals for a total period not to exceed thirty-six	35347
months.	35348

(C) A kinship caregiver may participate in the program if all	35349
of the following requirements are met:	35350

(1) The kinship caregiver applies to a public children	35351
services agency in accordance with the application process	35352
established in rules authorized by division (E) of this section;	35353

(2) The minor child the kinship caregiver is caring for is a	35354
child with special needs as that term is defined in rules adopted	35355
under section 5153.163 of the Revised Code;	35356

(3) ANot earlier than July 1, 2005, a juvenile court has	35357
adjudicated the minor child to be an abused, neglected, dependent,	35358
or unruly child and determined that it is in the child's best	35359
interest to be in theissues an order granting legal custody ofto	35360
the kinship caregiver, or thea probate court has determined that	35361
it is in the child's best interest to be in the guadianship of	35362
grants guardianship to the kinship caregiver, except that a	35363
temporary court order is not sufficient to meet this requirement;	35364

(4)(3) The kinship caregiver is either the minor child's	35365
custodian or guardian;	35366

(5)(4) The minor child resides with the kinship caregiver	35367
pursuant to a placement approval process established in rules	35368
authorized by division (E) of this section;	35369

(6) The(5) Excluding any income excluded under rules adopted	35370
under division (E) of this section, the gross income of the	35371
kinship caregiver's family, including the minor child, does not	35372
exceed twothree hundred per cent of the federal poverty	35373
guidelines.	35374

(D) Public children services agencies shall make initial and	35375
ongoing eligibility determinations for the kinship permanency	35376
incentive program in accordance with rules authorized by division	35377
(E) of this section. The director of job and family services shall	35378
supervise public children services agencies' duties under this	35379
section.	35380

(E) The director of job and family services shall adopt rules	35381
under division (C) of section 5101.801 of the Revised Code as	35382
necessary to implement the kinship permanency incentive program.	35383
The rules shall establish all of the following:	35384

(1) The application process for the program;

35385

(2) The placement approval process through which a minor	35386
child is placed with a kinship caregiver for the kinship caregiver	35387
to be eligible for the program;	35388

(3) The initial and ongoing eligibility determination process	35389
for the program, including the computation of income eligibility;	35390

(4) The amount of the incentive payments provided under the	35391
program;	35392

(5) The method by which the incentive payments are provided	35393
to a kinship caregiver;.	35394

(6) Anything else the director considers necessary to	35395
implement the program.	35396

(F) The director shall begin implementation of the kinship	35397
permanency incentive program no later than January 1, 2006.	35398

Sec. 5101.97.  (A)(1) Not later than the last day of each	35399
July and January, the department of job and family services shall	35400
complete a report on the characteristics of the individuals who	35401
participate in or receive services through the programs operated	35402
by the department and the outcomes of the individuals'	35403
participation in or receipt of services through the programs. The	35404
reports shall be for the six-month periods ending on the last days	35405
of June and December and shall include information on the	35406
following:	35407

(a) Work participation activities, developmental activities,	35408
and alternative work activities established under sections 5107.40	35409
to 5107.69in rules authorized by section 5107.40 of the Revised	35410
Code;	35411

(b) Programs of publicly funded child care, as defined in	35412
section 5104.01 of the Revised Code;	35413

(c) Child support enforcement programs;

35414

(d) Births to recipients of the medical assistance program	35415
established under Chapter 5111. of the Revised Code.	35416

(2) The department shall submit the reports required under	35417
division (A)(1) of this section to the speaker and minority leader	35418
of the house of representatives, the president and minority leader	35419
of the senate, the legislative budget officer, the director of	35420
budget and management, and each board of county commissioners. The	35421
department shall provide copies of the reports to any person or	35422
government entity on request.	35423

In designing the format for the reports, the department shall	35424
consult with individuals, organizations, and government entities	35425
interested in the programs operated by the department, so that the	35426
reports are designed to enable the general assembly and the public	35427
to evaluate the effectiveness of the programs and identify any	35428
needs that the programs are not meeting.	35429

(B) Whenever the federal government requires that the	35430
department submit a report on a program that is operated by the	35431
department or is otherwise under the department's jurisdiction,	35432
the department shall prepare and submit the report in accordance	35433
with the federal requirements applicable to that report. To the	35434
extent possible, the department may coordinate the preparation and	35435
submission of a particular report with any other report, plan, or	35436
other document required to be submitted to the federal government,	35437
as well as with any report required to be submitted to the general	35438
assembly. The reports required by the Personal Responsibility and	35439
Work Opportunity Reconciliation Act of 1996 (P.L. 104-193) may be	35440
submitted as an annual summary.	35441

Sec. 5101.98.  (A) There is hereby created in the state	35442
treasury the military injury relief fund, which shall consist of	35443
money contributed to it under section 5747.113 of the Revised	35444
Code, of incentive grants authorized by the "Jobs for Veterans	35445
Act," 116 Stat. 2033 (2002), and of contributions made directly to	35446
it. Any person or entity may contribute directly to the fund in	35447
addition to or independently of the income tax refund contribution	35448
system established in section 5747.113 of the Revised Code.	35449

(B) Upon application, the director of job and family services	35450
shall grant money in the fund to individuals injured while in	35451
active service as a member of the armed forces of the United	35452
States and while serving under operation Iraqi freedom or	35453
operation enduring freedom and to individuals diagnosed with	35454
post-traumatic stress disorder while serving, or after having	35455
served, in operation Iraqi freedom or operation enduring freedom.	35456

(C) An individual who receives a grant under this section is	35457
not precluded from receiving one or more additional grants under	35458
this section andduring the same state fiscal year but is not	35459
precluded from being considered for or receiving other assistance	35460
offered by the department of job and family services.	35461

(D) The director shall adopt rules under Chapter 119. of the	35462
Revised Code establishing:	35463

(1) Forms and procedures by which individuals may apply for a	35464
grant under this section;	35465

(2) Criteria for reviewing, evaluating, and rankingapproving	35466
or denying grant applications;	35467

(3) Criteria for determining the amount of grants awarded	35468
under this section; and	35469

(4) Definitions and standards applicable to determining	35470
whether an individual meets the requirements established in	35471
division (B) of this section;	35472

(5) The process for appealing eligibility determinations; and

35473

(6) Any other rules necessary to administer the grant program	35474
established in this section.	35475

(E) An eligibility determination, a grant approval, or a	35476
grant denial made under this section may not be appealed under	35477
Chapter 119., section 5101.35, or any other provision of the	35478
Revised Code.	35479

Sec. 5104.30.  (A) The department of job and family services	35480
is hereby designated as the state agency responsible for	35481
administration and coordination of federal and state funding for	35482
publicly funded child care in this state. Publicly funded child	35483
care shall be provided to the following:	35484

(1) Recipients of transitional child care as provided under	35485
section 5104.34 of the Revised Code;	35486

(2) Participants in the Ohio works first program established	35487
under Chapter 5107. of the Revised Code and work-eligible	35488
individuals assigned to a work participation activity under	35489
section 5117.42 of the Revised Code;	35490

(3) Individuals who would be participating in the Ohio works	35491
first program if not for a sanctionWork-eligible individuals	35492
sanctioned under section 5107.16 of the Revised Code and who	35493
continue to participate in a work participation activity,	35494
developmental activity, or alternative work activity pursuant to	35495
an assignment under section 5107.42 of the Revised Code;	35496

(4) A family receiving publicly funded child care on October	35497
1, 1997, until the family's income reaches one hundred fifty per	35498
cent of the federal poverty line;	35499

(5) Subject to available funds, other individuals determined	35500
eligible in accordance with rules adopted under section 5104.38 of	35501
the Revised Code.	35502

The department shall apply to the United States department of	35503
health and human services for authority to operate a coordinated	35504
program for publicly funded child care, if the director of job and	35505
family services determines that the application is necessary. For	35506
purposes of this section, the department of job and family	35507
services may enter into agreements with other state agencies that	35508
are involved in regulation or funding of child care. The	35509
department shall consider the special needs of migrant workers	35510
when it administers and coordinates publicly funded child care and	35511
shall develop appropriate procedures for accommodating the needs	35512
of migrant workers for publicly funded child care.	35513

(B) The department of job and family services shall	35514
distribute state and federal funds for publicly funded child care,	35515
including appropriations of state funds for publicly funded child	35516
care and appropriations of federal funds available under the child	35517
care block grant act, Title IV-A, and Title XX. The department may	35518
use any state funds appropriated for publicly funded child care as	35519
the state share required to match any federal funds appropriated	35520
for publicly funded child care.	35521

(C) In the use of federal funds available under the child	35522
care block grant act, all of the following apply:	35523

(1) The department may use the federal funds to hire staff to	35524
prepare any rules required under this chapter and to administer	35525
and coordinate federal and state funding for publicly funded child	35526
care.	35527

(2) Not more than five per cent of the aggregate amount of	35528
the federal funds received for a fiscal year may be expended for	35529
administrative costs.	35530

(3) The department shall allocate and use at least four per	35531
cent of the federal funds for the following:	35532

(a) Activities designed to provide comprehensive consumer	35533
education to parents and the public;	35534

(b) Activities that increase parental choice;

35535

(c) Activities, including child care resource and referral	35536
services, designed to improve the quality, and increase the	35537
supply, of child care;	35538

(d) Establishing a voluntary child day-care center	35539
quality-rating program in which participation in the program may	35540
allow a child day-care center to be eligible for grants, technical	35541
assistance, training, or other assistance and become eligible for	35542
unrestricted monetary awards for maintaining a quality rating.	35543

(4) The department shall ensure that the federal funds will	35544
be used only to supplement, and will not be used to supplant,	35545
federal, state, and local funds available on the effective date of	35546
the child care block grant act for publicly funded child care and	35547
related programs. A county department of job and family services	35548
may purchase child care from funds obtained through any other	35549
means.	35550

(D) The department shall encourage the development of	35551
suitable child care throughout the state, especially in areas with	35552
high concentrations of recipients of public assistance and	35553
families with low incomes. The department shall encourage the	35554
development of suitable child care designed to accommodate the	35555
special needs of migrant workers. On request, the department,	35556
through its employees or contracts with state or community child	35557
care resource and referral service organizations, shall provide	35558
consultation to groups and individuals interested in developing	35559
child care. The department of job and family services may enter	35560
into interagency agreements with the department of education, the	35561
board of regents, the department of development, and other state	35562
agencies and entities whenever the cooperative efforts of the	35563
other state agencies and entities are necessary for the department	35564
of job and family services to fulfill its duties and	35565
responsibilities under this chapter.	35566

The department shall develop and maintain a registry of	35567
persons providing child care. The director shall adopt rules	35568
pursuant to Chapter 119. of the Revised Code establishing	35569
procedures and requirements for the registry's administration.	35570

(E)(1) The director shall adopt rules in accordance with	35571
Chapter 119. of the Revised Code establishing both of the	35572
following:	35573

(a) Reimbursement ceilings for providers of publicly funded	35574
child care;	35575

(b) A procedure for reimbursing and paying providers of	35576
publicly funded child care.	35577

(2) In establishing reimbursement ceilings under division	35578
(E)(1)(a) of this section, the director shall do all of the	35579
following:	35580

(a) Use the information obtained under division (B)(3) of	35581
section 5104.04 of the Revised Code;	35582

(b) Establish an enhanced reimbursement ceiling for providers	35583
who provide child care for caretaker parents who work	35584
nontraditional hours;	35585

(c) For a type B family day-care home provider that has	35586
received limited certification pursuant to rules adopted under	35587
division (G)(1) of section 5104.011 of the Revised Code, establish	35588
a reimbursement ceiling that is the following:	35589

(i) If the provider is a person described in division	35590
(G)(1)(a) of section 5104.011 of the Revised Code, seventy-five	35591
per cent of the reimbursement ceiling that applies to a type B	35592
family day-care home certified by the same county department of	35593
job and family services pursuant to section 5104.11 of the Revised	35594
Code;	35595

(ii) If the provider is a person described in division	35596
(G)(1)(b) of section 5104.011 of the Revised Code, sixty per cent	35597
of the reimbursement ceiling that applies to a type B family	35598
day-care home certified by the same county department pursuant to	35599
section 5104.11 of the Revised Code.	35600

(3) In establishing reimbursement ceilings under division	35601
(E)(1)(a) of this section, the director may establish different	35602
reimbursement ceilings based on any of the following:	35603

(a) Geographic location of the provider;

35604

(b) Type of care provided;

35605

(c) Age of the child served;

35606

(d) Special needs of the child served;

35607

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

35608

(f) Whether weekend service is provided;

35609

(g) Whether the provider has exceeded the minimum	35610
requirements of state statutes and rules governing child care;	35611

(h) Any other factors the director considers appropriate.

35612

(F) The director shall adopt rules in accordance with Chapter	35613
119. of the Revised Code to implement the voluntary child day-care	35614
center quality-rating program described in division (C)(3)(d) of	35615
this section.	35616

Sec. 5107.01. (A) The Ohio general assembly hereby states	35617
the following beliefs with regard to the Ohio works first program:	35618

(1)(A) That the first priority for minor heads of household	35619
and adults participating in the program is to work, which includes	35620
keeping an employer's schedule and satisfying the employer's work	35621
requirements, and to develop marketable skills.	35622

(2)(B) That many minor heads of household and adults	35623
participating in the program need to complete high school or	35624
receive training for an occupation in order to qualify for	35625
employment.	35626

(B) The general assembly recognizes that some provisions of	35627
the Ohio works first program as operated pursuant to federal	35628
waivers granted by the United States secretary of health and human	35629
services pursuant to requests made under former section 5101.09 of	35630
the Revised Code enacted by Substitute House Bill No. 167 of the	35631
121st general assembly and pursuant to requests made under section	35632
5107.30 of the Revised Code, regarding the LEAP program, prior to	35633
the enactment of the Personal Responsibility and Work Opportunity	35634
Reconciliation Act of 1996 (P.L. 104-193) are inconsistent with	35635
that act. It is the intent of the general assembly to rely on the	35636
federal waivers for authority to conduct the program in the manner	35637
specified in this chapter to ensure the work readiness of program	35638
participants by requiring at least twenty hours of weekly	35639
participation in work activities, including, except as limited by	35640
division (B)(2) of section 5107.43 of the Revised Code, a work	35641
activity established under section 5107.58 of the Revised Code in	35642
which a participant is enrolled full-time in post-secondary	35643
education leading to vocation, and no more than ten hours of	35644
weekly participation in developmental activities in accordance	35645
with sections 5107.40 to 5107.69 of the Revised Code.	35646

Sec. 5107.02.  As used in this chapter:

35647

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

35648

(B) "Assistance group" means a group of individuals treated	35649
as a unit for purposes of determining eligibility for and the	35650
amount of assistance provided under Ohio works first.	35651

(C) "Custodian" means an individual who has legal custody, as	35652
defined in section 2151.011 of the Revised Code, of a minor child	35653
or comparable status over a minor child created by a court of	35654
competent jurisdiction in another state.	35655

(D) "Guardian" means an individual that is granted authority	35656
by a probate court pursuant to Chapter 2111. of the Revised Code,	35657
or a court of competent jurisdiction in another state, to exercise	35658
parental rights over a minor child to the extent provided in the	35659
court's order and subject to residual parental rights of the minor	35660
child's parents.	35661

(E) "LEAP program" means the learning, earning, and parenting	35662
program conducted under section 5107.30 of the Revised Code.	35663

(F) "Minor child" means either of the following:

35664

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

35665

(2) An individual who has not attained age nineteen and is a	35666
full-time student in a secondary school or in the equivalent level	35667
of vocational or technical training.	35668

(F)(G) "Minor head of household" means a minor child who is	35669
either of the following:	35670

(1) Is married, at least six months pregnant, and a member of	35671
an assistance group that does not include an adult;	35672

(2) Is married and is a parent of a child included in the	35673
same assistance group that does not include an adult.	35674

(G)(H) "Ohio works first" means the program established by	35675
this chapter known as temporary assistance for needy families in	35676
Title IV-A.	35677

(H)(I) "Payment standard" means the amount specified in rules	35678
adopted under section 5107.05 of the Revised Code that is the	35679
maximum amount of cash assistance an assistance group may receive	35680
under Ohio works first from state and federal funds.	35681

(I)(J) "Specified relative" means the following individuals	35682
who are age eighteen or older:	35683

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

35684

(a) Grandparents, including grandparents with the prefix	35685
"great," "great-great," or "great-great-great";	35686

(b) Siblings;

35687

(c) Aunts, uncles, nephews, and nieces, including such	35688
relatives with the prefix "great," "great-great," "grand," or	35689
"great-grand";	35690

(d) First cousins and first cousins once removed.

35691

(2) Stepparents and stepsiblings;

35692

(3) Spouses and former spouses of individuals named in	35693
division (I)(J)(1) or (2) of this section.	35694

(J)(K) "Title IV-A" or "Title IV-D" means Title IV-A or Title	35695
IV-D of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.	35696
301, as amended.	35697

(L) "Work-eligible individual" has the same meaning as in 45	35698
C.F.R. 261.2.	35699

Sec. 5107.03.  There is hereby established the Ohio works	35700
first program. The department of job and family services shall	35701
administer the program, as long as federal funds are provided for	35702
the program, in accordance with Title IV-A, federal regulations,	35703
state law, the Title IV-A state plan submitted to the United	35704
States secretary of health and human services under section	35705
5101.80 of the Revised Code, amendments to the plan, and federal	35706
waivers granted by the United States secretary.	35707

The department shall make all cash assistance payments for	35708
Ohio works first from funds appropriated for the Ohio works first	35709
program. A county department of job and family services may use	35710
county funds to increase the amount of cash assistance an	35711
assistance group receives. An increase in the amount of cash	35712
assistance that results from such a use of county funds shall not	35713
be included as countable income, gross earned income, or gross	35714
unearned income of the assistance group.	35715

Sec. 5107.04. As used in this section, "cost-of-living	35716
adjustment" means the cost-of-living adjustment made by the United	35717
States commissioner of social security under 42 U.S.C. 415(i) for	35718
benefits provided under Title II of the "Social Security Act of	35719
1935."	35720

The department of job and family services shall make all cash	35721
assistance payments for Ohio works first from funds appropriated	35722
for the Ohio works first program. The amount of a cash assistance	35723
payment the department is to make to an assistance group shall be	35724
determined in accordance with rules adopted under section 5107.05	35725
of the Revised Code and shall not exceed the payment standard. The	35726
department shall increase the payment standard on January 1, 2009,	35727
and the first day of each January thereafter by the cost-of-living	35728
adjustment made in the immediately preceding December.	35729

A county department of job and family services may use county	35730
funds to increase the amount of cash assistance an assistance	35731
group receives. An increase in the amount of cash assistance that	35732
results from such a use of county funds shall not be included as	35733
countable income, gross earned income, or gross unearned income of	35734
the assistance group.	35735

Sec. 5107.05.  The director of job and family services shall	35736
adopt rules to implement this chapter. The rules shall be	35737
consistent with Title IV-A, Title IV-D, federal regulations, state	35738
law, the Title IV-A state plan submitted to the United States	35739
secretary of health and human services under section 5101.80 of	35740
the Revised Code, amendments to the plan, and waivers granted by	35741
the United States secretary. Rules governing eligibility, program	35742
participation, and other applicant and participant requirements	35743
shall be adopted in accordance with Chapter 119. of the Revised	35744
Code. Rules governing financial and other administrative	35745
requirements applicable to the department of job and family	35746
services and county departments of job and family services shall	35747
be adopted in accordance with section 111.15 of the Revised Code.	35748

(A) The rules shall specify, establish, or govern all of the	35749
following:	35750

(1) A payment standard for Ohio works first based on federal	35751
and state appropriations that is increased in accordance with	35752
section 5107.04 of the Revised Code;	35753

(2) TheFor the purpose of section 5107.04 of the Revised	35754
Code, the method of determining the amount of cash assistance an	35755
assistance group receives under Ohio works first;	35756

(3) Requirements for initial and continued eligibility for	35757
Ohio works first, including requirements regarding income,	35758
citizenship, age, residence, and assistance group composition.	35759
The rules regarding income shall specify what is countable income,	35760
gross earned income, and gross unearned income for the purpose of	35761
section 5107.10 of the Revised Code.;	35762

(4) For the purpose of section 5107.12 of the Revised Code,	35763
application and verification procedures, including the minimum	35764
information an application must contain. If there are at least two	35765
telephone numbers available that a county department of human	35766
services can call to contact members of an assistance group, which	35767
may include the telephone number of an individual who can contact	35768
an assistance group member for the county department, the minimum	35769
information shall include at least those two telephone numbers.;	35770

(5) The extent to which a participant of Ohio works first	35771
must notify, pursuant to section 5107.12 of the Revised Code, a	35772
county department of job and family services of additional income	35773
not previously reported to the county department;	35774

(6) For the purpose of section 5107.16 of the Revised Code,	35775
standards for the determination of good cause for failure or	35776
refusal to comply in full with a provision of a self-sufficiency	35777
contract;	35778

(7) The department of job and family services providing	35779
written notice of a sanction under section 5107.161 of the Revised	35780
Code;	35781

(7)(8) Requirements for the collection and distribution of	35782
support payments owed participants of Ohio works first pursuant to	35783
section 5107.20 of the Revised Code;	35784

(8)(9) For the purpose of section 5107.22 of the Revised	35785
Code, what constitutes cooperating in establishing a minor child's	35786
paternity or establishing, modifying, or enforcing a child support	35787
order and good cause for failure or refusal to cooperate. The rule	35788
shall be consistent with 42 U.S.C.A. 654(29).;	35789

(9)(10) The requirements governing the LEAP program provided	35790
for under section 5107.30 of the Revised Code, including the	35791
definitions of "equivalent of a high school diploma" and "good	35792
cause," and the incentives provided under the LEAP program;	35793

(10)(11) If the director implements section 5107.301 of the	35794
Revised Code, the requirements governing the award provided under	35795
that section, including the form that the award is to take and	35796
requirements an individual must satisfy to receive the award;	35797

(11) Circumstances under which a county department of job and	35798
family services may exempt a minor head of household or adult from	35799
participating in a work activity or developmental activity for all	35800
or some of the weekly hours otherwise required by section 5107.43	35801
of the Revised Code. Circumstances shall include that a school or	35802
place of work is closed due to a holiday or weather or other	35803
emergency and that an employer grants the minor head of household	35804
or adult leave for illness or earned vacation.	35805

(12) Work participation activities to which work-eligible	35806
individuals are to be assigned under section 5107.42 of the	35807
Revised Code;	35808

(13) County departments of job and family services assigning	35809
work-eligible individuals to work participation activities under	35810
section 5107.42 of the Revised Code;	35811

(14) The maximum amount of time the department will subsidize	35812
positions created by state agencies and political subdivisions	35813
under division (C) of section 5107.525107.46 of the Revised Code.	35814

(B) The rules adopted under division (A)(3) of this section	35815
regarding income shall specify what is countable income, gross	35816
earned income, and gross unearned income for the purpose of	35817
section 5107.10 of the Revised Code.	35818

The rules adopted under division (A)(9) of this section shall	35819
be consistent with 42 U.S.C. 654(29).	35820

The rules adopted under division (A)(13) of this section	35821
shall specify the number of hours a work-eligible individual must	35822
participate in a work participation activity, methods for	35823
reporting hours of participation, and the type and frequency of	35824
documentation needed to verify reported hours of participation.	35825
Those rules shall also specify circumstances under which a	35826
work-eligible individual may be exempt from assignment to work	35827
participation activities.	35828

(C) The rules may provide that a county department of job and	35829
family services is not required to take action under section	35830
5107.76 of the Revised Code to recover an erroneous payment that	35831
is below an amount the department specifies.	35832

Sec. 5107.10.  (A) As used in this section:

35833

(1) "Countable income," "gross earned income," and "gross	35834
unearned income" have the meanings established in rules adopted	35835
under section 5107.05 of the Revised Code.	35836

(2) "Federal poverty guidelines" has the same meaning as in	35837
section 5101.46 of the Revised Code, except that references to a	35838
person's family in the definition shall be deemed to be references	35839
to the person's assistance group.	35840

(3) "Gross income" means gross earned income and gross	35841
unearned income.	35842

(4) "Initial eligibility threshold" means the higher of the	35843
following:	35844

(a) Fifty per cent of the federal poverty guidelines;

35845

(b) The gross income maximum for initial eligibility for Ohio	35846
works first as that maximum was set by division (D)(1)(a) of this	35847
section on the day before the effective date of this amendment.	35848

(5) "Strike" means continuous concerted action in failing to	35849
report to duty; willful absence from one's position; or stoppage	35850
of work in whole from the full, faithful, and proper performance	35851
of the duties of employment, for the purpose of inducing,	35852
influencing, or coercing a change in wages, hours, terms, and	35853
other conditions of employment. "Strike" does not include a	35854
stoppage of work by employees in good faith because of dangerous	35855
or unhealthful working conditions at the place of employment that	35856
are abnormal to the place of employment.	35857

(B) Under the Ohio works first program, an assistance group	35858
shall receive, except as otherwise provided by this chapter,	35859
time-limited cash assistance. In the case of an assistance group	35860
that includes a minor head of household or adult or for which	35861
there is a work-eligible individual, assistance shall be provided	35862
in accordance with the self-sufficiency contract entered into	35863
under section 5107.14 of the Revised Code.	35864

(C) To be eligible to participate in Ohio works first, an	35865
assistance group must meet all of the following requirements:	35866

(1) The assistance group, except as provided in division (E)	35867
of this section, must include at least one of the following:	35868

(a) A minor child who, except as provided in section 5107.24	35869
of the Revised Code, resides with a parent, or specified relative	35870
caring for the child, or, to the extent permitted by Title IV-A	35871
and federal regulations adopted until Title IV-A, resides with a	35872
guardian or custodian caring for the child;	35873

(b) A parent residing with and caring for the parent's minor	35874
child who receives supplemental security income under Title XVI of	35875
the "Social Security Act," 86 Stat. 1475 (1972), 42 U.S.C.A. 1383,	35876
as amended, or federal, state, or local adoption assistance;	35877

(c) A specified relative residing with and caring for a minor	35878
child who is related to the specified relative in a manner that	35879
makes the specified relative a specified relative and receives	35880
supplemental security income or federal, state, or local foster	35881
care or adoption assistance;	35882

(d) A woman at least six months pregnant.

35883

(2) The assistance group must meet the income requirements	35884
established by division (D) of this section.	35885

(3) No member of the assistance group may be involved in a	35886
strike.	35887

(4) The assistance group must satisfy the requirements for	35888
Ohio works first established by this chapter and sections 5101.58,	35889
5101.59, and 5101.83 of the Revised Code.	35890

(5) The assistance group must meet requirements for Ohio	35891
works first established by rules adopted under section 5107.05 of	35892
the Revised Code.	35893

(D)(1) Except as provided in division (D)(4) of this section,	35894
to determine whether an assistance group is initially eligible to	35895
participate in Ohio works first, a county department of job and	35896
family services shall do the following:	35897

(a) Determine whether the assistance group's gross income	35898
exceeds the initial eligibility thresholdfifty per cent of the	35899
federal poverty guidelines. In making this determination, the	35900
county department shall disregard amounts that federal statutes or	35901
regulations and sections 5101.17 and 5117.10 of the Revised Code	35902
require be disregarded. The assistance group is ineligible to	35903
participate in Ohio works first if the assistance group's gross	35904
income, less the amounts disregarded, exceeds the initial	35905
eligibility thresholdfifty per cent of the federal poverty	35906
guidelines.	35907

(b) If the assistance group's gross income, less the amounts	35908
disregarded pursuant to division (D)(1)(a) of this section, does	35909
not exceed the initial eligibility thresholdfifty per cent of the	35910
federal poverty guidelines, determine whether the assistance	35911
group's countable income is less than the payment standard. The	35912
assistance group is ineligible to participate in Ohio works first	35913
if the assistance group's countable income equals or exceeds the	35914
payment standard.	35915

(2) For the purpose of determining whether an assistance	35916
group meets the income requirement established by division	35917
(D)(1)(a) of this section, the annual revision that the United	35918
States department of health and human services makes to the	35919
federal poverty guidelines shall go into effect on the first day	35920
of July of the year for which the revision is made.	35921

(3) To determine whether an assistance group participating in	35922
Ohio works first continues to be eligible to participate, a county	35923
department of job and family services shall determine whether the	35924
assistance group's countable income continues to be less than the	35925
payment standard. In making this determination, the county	35926
department shall disregard the first two hundred fifty dollars and	35927
fifty per cent of the remainder of the assistance group's gross	35928
earned income. No amounts shall be disregarded from the assistance	35929
group's gross unearned income. The assistance group ceases to be	35930
eligible to participate in Ohio works first if its countable	35931
income, less the amounts disregarded, equals or exceeds the	35932
payment standard.	35933

(4) If an assistance group reapplies to participate in Ohio	35934
works first not more than four months after ceasing to	35935
participate, a county department of job and family services shall	35936
use the income requirement established by division (D)(3) of this	35937
section to determine eligibility for resumed participation rather	35938
than the income requirement established by division (D)(1) of this	35939
section.	35940

(E)(1) An assistance group may continue to participate in	35941
Ohio works first even though a public children services agency	35942
removes the assistance group's minor children from the assistance	35943
group's home due to abuse, neglect, or dependency if the agency	35944
does both of the following:	35945

(a) Notifies the county department of job and family services	35946
at the time the agency removes the children that it believes the	35947
children will be able to return to the assistance group within six	35948
months;	35949

(b) Informs the county department at the end of each of the	35950
first five months after the agency removes the children that the	35951
parent, guardian, custodian, or specified relative of the children	35952
is cooperating with the case plans prepared for the children under	35953
section 2151.412 of the Revised Code and that the agency is making	35954
reasonable efforts to return the children to the assistance group.	35955

(2) An assistance group may continue to participate in Ohio	35956
works first pursuant to division (E)(1) of this section for not	35957
more than six payment months. This division does not affect the	35958
eligibility of an assistance group that includes a woman at least	35959
six months pregnant.	35960

Sec. 5107.12.  An assistance group seeking to participate in	35961
the Ohio works first program shall apply to a county department of	35962
job and family services using an application containing	35963
information the director of job and family services requires	35964
pursuant to rules adopted under section 5107.05 of the Revised	35965
Code and any additional information the county department	35966
requires. If cash assistance under the program is to be paid by	35967
the director of budget and management through the medium of direct	35968
deposit as provided by section 329.03 of the Revised Code, the	35969
application shall be accompanied by information the director needs	35970
to make direct deposits.	35971

When a county department receives an application for	35972
participation in Ohio works first, it shall promptly make an	35973
investigation and record of the circumstances of the applicant in	35974
order to ascertain the facts surrounding the application and to	35975
obtain such other information as may be required. Upon the	35976
completion of the investigation, the county department shall	35977
determine as soon as possible whether the applicant is eligible to	35978
participate, the amount of cash assistance the applicant should	35979
receive, and the approximate date when participation shall begin.	35980
The county department shall not delay making the determination of	35981
whether the applicant is eligible to participate on the basis that	35982
the individuals required by section 5107.14 of the Revised Code to	35983
enter into a written self-sufficiency contract with the county	35984
department have not yet done that. The amount of cash assistance	35985
so determined shall be certified to the department of job and	35986
family services in such form as the department shall prescribe.	35987
Warrants, direct deposits, or debit cards shall be delivered or	35988
made payable in the manner the department may prescribe.	35989

To the extent required by rules adopted under section 5107.05	35990
of the Revised Code, a participant of Ohio works first shall	35991
notify the county department immediately upon the receipt or	35992
possession of additional income not previously reported to the	35993
county department. Any failure to so notify a county department	35994
shall be regarded as prima-facie evidence of an intent to defraud.	35995

Sec. 5107.14. (A) An assistance group is ineligible to	35996
participate in Ohio works first unless the minor head of household	35997
or each adult member of the assistance group, not later than	35998
thirty days after applying for or undergoing a redetermination of	35999
eligibility for the program, entersall of the following enter	36000
into a written self-sufficiency contract with the county	36001
department of job and family services not later than thirty days	36002
after the assistance group applies for or undergoes a	36003
redetermination of eligibility for the program:	36004

(1) Each adult member of the assistance group;

36005

(2) The assistance group's minor head of household unless the	36006
minor head of household is participating in the LEAP program;	36007

(3) Each of the assistance group's work-eligible individuals	36008
other than a work-eligible individual who is a minor head of	36009
household participating in the LEAP program. The	36010

(B) A self-sufficiency contract shall set forth the rights	36011
and responsibilities of the assistance group as applicants for and	36012
participants of the program, including work responsibilities	36013
established under sections 5107.40 to 5107.69 of the Revised Code	36014
and other requirements designed to assist the assistance group in	36015
achieving self sufficiency and personal responsibility. The county	36016
department shall provide without charge a copy of the contract to	36017
each assistance group member who signs it.	36018

EachOhio works first and the rights and responsibilities of	36019
the work-eligible individuals. Each self-sufficiency contract	36020
shall include, based on appraisals conducted under section 5107.41	36021
of the Revised Code and assessments conducted under section	36022
5107.70 of the Revised Code, the following:	36023

(A)(1) The assistance group's plan, developed under section	36024
5107.41 of the Revised Code, to achieve the goal of self	36025
sufficiency and personal responsibility through unsubsidized	36026
employment within the time limit for participating in Ohio works	36027
first established by section 5107.18 of the Revised Code;	36028

(B) Work activities, developmental activities, and	36029
alternative(2) The work participation activities to which members	36030
of the assistance groupwork-eligible individuals are assigned	36031
under sections 5107.40 to 5107.69section 5107.42 of the Revised	36032
Code;	36033

(C)(3) The responsibility of a caretaker member of the	36034
assistance group to cooperate in establishing a minor child's	36035
paternity and establishing, modifying, and enforcing a support	36036
order for the child in accordance with section 5107.22 of the	36037
Revised Code;	36038

(D)(4) Other responsibilities that members of the assistance	36039
group must satisfy to participate in Ohio works first and the	36040
consequences for failure or refusal to satisfy the	36041
responsibilities;	36042

(E)(5) An agreement that the assistance group will comply	36043
with the conditions of participating in Ohio works first	36044
established by this chapter and sections 5101.58, 5101.59, and	36045
5101.83 of the Revised Code;	36046

(F)(6) Assistance and services the county department will	36047
provide to the assistance group;	36048

(G)(7) Assistance and services the child support enforcement	36049
agency and public children services agency will provide to the	36050
assistance group pursuant to a plan of cooperation entered into	36051
under section 307.983 of the Revised Code;	36052

(H)(8) Other provisions designed to assist the assistance	36053
group in achieving self sufficiency and personal responsibility;	36054

(I)(9) Procedures for assessing whether responsibilities are	36055
being satisfied and whether the contract should be amended;	36056

(J)(10) Procedures for amending the contract.

36057

(C) No self-sufficiency contract shall include provisions	36058
regarding the LEAP program.	36059

(D) The county department shall provide without charge a copy	36060
of the self-sufficiency contract to each assistance group member	36061
and work-eligible individual who signs it.	36062

Sec. 5107.16.  (A) If any of an assistance group's	36063
work-eligible individuals or a member of anthe assistance group	36064
fails or refuses, without good cause, to comply in full with a	36065
provision of a self-sufficiency contract entered into under	36066
section 5107.14 of the Revised Code, a county department of job	36067
and family services shall sanction the work-eligible individuals	36068
and assistance group as follows:	36069

(1) For a first failure or refusal, the county department	36070
shall deny or terminate the work-eligible individuals' and	36071
assistance group's eligibility to participate in Ohio works first	36072
for one payment month or until the failure or refusal ceases,	36073
whichever is longer;	36074

(2) For a second failure or refusal, the county department	36075
shall deny or terminate the work-eligible individuals' and	36076
assistance group's eligibility to participate in Ohio works first	36077
for three payment months or until the failure or refusal ceases,	36078
whichever is longer;	36079

(3) For a third or subsequent failure or refusal, the county	36080
department shall deny or terminate the work-eligible individuals'	36081
and assistance group's eligibility to participate in Ohio works	36082
first for six payment months or until the failure or refusal	36083
ceases, whichever is longer.	36084

(B) Each county departmentThe director of job and family	36085
services shall establish standards for the determination of good	36086
cause for failure or refusal to comply in full with a provision of	36087
a self-sufficiency contract in rules adopted under section 5107.05	36088
of the Revised Code.	36089

(1) In the case of a failure or refusal to participate in a	36090
work activity, developmental activity, or alternative work	36091
activity under sections 5107.40 to 5107.69 of the Revised Code,	36092
good cause shall include, except as provided in division (B)(2) of	36093
this section, the following:	36094

(a) Failure of the county department to place the member in	36095
an activity;	36096

(b) Failure of the county department to provide for the	36097
assistance group to receive support services the county department	36098
determines under section 5107.66 of the Revised Code to be	36099
necessary. In determining whether good cause exists, a county	36100
department shall determine that day care is a necessary support	36101
service if a single custodial parent caring for a minor child	36102
under age six proves a demonstrated inability, as determined by	36103
the county department, to obtain needed child care for one or more	36104
of the following reasons:	36105

(i) Unavailability of appropriate child care within a	36106
reasonable distance from the parent's home or work site;	36107

(ii) Unavailability or unsuitability of informal child care	36108
by a relative or under other arrangements;	36109

(iii) Unavailability of appropriate and affordable formal	36110
child care arrangements.	36111

(2) Good cause does not exist if the member of the assistance	36112
group is placed in a work activity established under section	36113
5107.58 of the Revised Code and exhausts the support services	36114
available for that activity.	36115

(C) When a state hearing under division (B) of section	36116
5101.35 of the Revised Code or an administrative appeal under	36117
division (C) of that section is held regarding a sanction under	36118
this section, the hearing officer, director of job and family	36119
services, or director's designee shall base the decision in the	36120
hearing or appeal on the county department's standards of good	36121
cause for failure or refusal to comply in full with a provision of	36122
a self-sufficiency contract, if the county department provides the	36123
hearing officer, director, or director's designee a copy of the	36124
county department's good cause standards.	36125

(D) After sanctioning work-eligible individuals and an	36126
assistance group under division (A) of this section, a county	36127
department of job and family services shall continue to work with	36128
the work-eligible individuals and assistance group to provide the	36129
member of the assistance group who caused the sanction an	36130
opportunity to demonstrate to the county department a willingness	36131
to cease the failure or refusal to comply with the	36132
self-sufficiency contract.	36133

(E)(D) An adult eligible for medical assistancemedicaid	36134
pursuant to division (A)(1)(a) of section 5111.01 of the Revised	36135
Code who is sanctioned under division (A)(3) of this section for a	36136
failure or refusal, without good cause, to comply in full with a	36137
provision of a self-sufficiency contract related to work	36138
responsibilitiesparticipation activities assigned under sections	36139
5107.40 to 5107.69section 5107.42 of the Revised Code loses	36140
eligibility for medical assistancemedicaid unless the adult is	36141
otherwise eligible for medical assistancemedicaid pursuant to	36142
another division of section 5111.01 of the Revised Code.	36143

(F) AnWork-eligible individuals and an assistance group that	36144
would be participating in Ohio works first if not for a sanction	36145
under this section shall continue to be eligible for all of the	36146
following:	36147

(1) Publicly funded child care in accordance with division	36148
(A)(3) of section 5104.30 of the Revised Code;	36149

(2) Support services in accordance with section 5107.66	36150
5107.44 of the Revised Code;	36151

(3) To the extent permitted by the "Fair Labor Standards Act	36152
of 1938," 52 Stat. 1060, 29 U.S.C.A. 201, as amended, to	36153
participate in work participation activities, developmental	36154
activities, and alternative work activities in accordance with	36155
sections 5107.40 to 5107.69assigned under section 5107.42 of the	36156
Revised Code.	36157

Sec. 5107.161.  Before a county department of job and family	36158
services sanctions work-eligible individuals and an assistance	36159
group under section 5107.16 of the Revised Code, the state	36160
department of job and family services shall provide the	36161
work-eligible individuals and assistance group written notice of	36162
the sanction in accordance with rules adopted under section	36163
5107.05 of the Revised Code. The written notice shall include a	36164
provision printed in bold type face that informs the work-eligible	36165
individuals and assistance group that, not later than fifteen	36166
calendar days after the state department mailed the written notice	36167
to the work-eligible individuals and assistance group, the	36168
work-eligible individuals and assistance group may request, for	36169
the purpose of explaining why the work-eligible individuals and	36170
assistance group believesbelieve it should not be sanctioned, a	36171
state hearing under division (B) of section 5101.35 of the Revised	36172
Code which, at the work-eligible individuals' and assistance	36173
group's request, may be preceded by a face-to-face county	36174
conference with the county department. The written notice shall	36175
include either the telephone number of an Ohio works first	36176
ombudsperson provided for under section 329.07 of the Revised Code	36177
or the toll-free telephone number of the state department of job	36178
and family services that the work-eligible individuals and	36179
assistance group may call to obtain the telephone number of an	36180
Ohio works first ombudsperson.	36181

Sec. 5107.162.  If work-eligible individuals and an	36182
assistance group requestsrequest a state hearing under division	36183
(B) of section 5101.35 of the Revised Code not later than fifteen	36184
calendar days after the department of job and family services	36185
mails the work-eligible individuals and assistance group a written	36186
notice of a sanction under section 5107.161 of the Revised Code, a	36187
county department of job and family services shall postpone	36188
imposition of the sanction until the date a final decision is	36189
rendered in the state hearing, unless the work-eligible	36190
individuals and assistance group withdrawswithdraw the request	36191
for the state hearing because the work-eligible individuals and	36192
assistance group isare satisfied with the results of a county	36193
conference.	36194

Sec. 5107.17.  An assistance group that resumes participation	36195
in Ohio works first following a sanction under section 5107.16 of	36196
the Revised Code is not required to do either of the following:	36197

(A) Reapplyreapply under section 5107.12 of the Revised	36198
Code, unless it is the assistance group's regularly scheduled time	36199
for an eligibility redetermination;	36200

(B) Enter.

36201

Work-eligible individuals and an assistance group that resume	36202
participation in Ohio works first following a sanction under	36203
section 5107.16 of the Revised Code are not required to enter into	36204
a new self-sufficiency contract under section 5107.14 of the	36205
Revised Code, unless the county department of job and family	36206
services determines it is time for a new appraisal under section	36207
5107.41 of the Revised Code or the work-eligible individuals' or	36208
assistance group's circumstances have changed in a manner	36209
necessitating an amendment to the self-sufficiency contract as	36210
determined using procedures included in the contract under	36211
division (I)(B)(9) of section 5107.14 of the Revised Code.	36212

Sec. 5107.281.  A participant of Ohio works first who is	36213
enrolled in a school district in a county that is participating in	36214
the learnfare program and is not younger than age six but not	36215
older than age nineteen shall participate in the learnfare program	36216
unless one of the following is the case:	36217

(A) The participant is not yet eligible for enrollment in	36218
first grade;	36219

(B) The participant is subject to the LEAP program under	36220
section 5107.30 of the Revised Code;	36221

(C) The participant has received one of the following:

36222

(1) A high school diploma;

36223

(2) A certificate stating that the participant has achieved	36224
the equivalent of a high school education as measured by scores	36225
obtained on the tests of general educational development as	36226
published by the American council on education.	36227

(D) The participant has been excused from school attendance	36228
pursuant to section 3321.04 of the Revised Code;	36229

(E) If child care services for a member of the participant's	36230
household are necessary for the participant to attend school,	36231
child care licensed or certified under Chapter 5104. of the	36232
Revised Code or under sections 3301.52 to 3301.59 of the Revised	36233
Code and transportation to and from the child care are not	36234
available;	36235

(F) The participant has been adjudicated a delinquent or	36236
unruly child pursuant to section 2151.28 of the Revised Code.	36237

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

36238

(1) "Equivalent of a high school diploma" and "good cause"	36239
have the meanings established in rules adopted under section	36240
5107.05 of the Revised Code.	36241

(2) "LEAP program" means the learning, earning, and parenting	36242
program.	36243

(3) "Participating teen" means an individual to whom all of	36244
the following apply:	36245

(a) The individual is a participant of Ohio works first;

36246

(b) The individual is under age eighteen or is age eighteen	36247
and in school and is a natural or adoptive parent or is pregnant;	36248

(c) The individual is subject to the LEAP program's	36249
requirements.	36250

(4)(3) "School" means an educational program that is designed	36251
to lead to the attainment of a high school diploma or the	36252
equivalent of a high school diploma.	36253

(B) The director of job and family services may conduct a	36254
program titled the "LEAP program" in accordance with rules adopted	36255
under section 5107.05 of the Revised Code. The purpose of the LEAP	36256
program is to encourage teens to complete school.	36257

Every participating teen shall attend school in accordance	36258
with the requirements governing the LEAP program unless the	36259
participating teen shows good cause for not attending school. The	36260
department shall provide, in addition to the cash assistance	36261
payment provided under Ohio works first, an incentive payment, in	36262
an amount determined by the department, to every participating	36263
teen who attends school in accordance with the requirements	36264
governing the LEAP program. In addition to the incentive payment,	36265
the department may provide other incentives to participating teens	36266
who attend school in accordance with the LEAP program's	36267
requirements. The department shall reduce the cash assistance	36268
payment, in an amount determined by the department, under Ohio	36269
works first to every participating teen who fails or refuses,	36270
without good cause, to meet the LEAP program's requirements.	36271

Every participating teen shall enter into a written agreement	36272
with the county department of job and family services that	36273
specifies all of the following:	36274

(1) The participating teen, to be eligible to receive the	36275
incentive payment and other incentives, if any, under this	36276
section, must meet the requirements of the LEAP program.	36277

(2) The incentive payment and other incentives, if any, will	36278
be provided if the participating teen meets the requirements of	36279
the LEAP program.	36280

(3) The participating teen's cash assistance payment under	36281
Ohio works first will be reduced if the participating teen fails	36282
or refuses without good cause to attend school in accordance with	36283
the requirements governing the LEAP program.	36284

(C) A minor head of household who is participating	36285
household's participation in the LEAP program shall be considered	36286
to be participating in a work activity for the purpose of sections	36287
5107.40 to 5107.69counted in determining whether a county	36288
department of job and family services meets the requirement of	36289
section 5107.44 of the Revised Code. However, the minor head of	36290
household is not subject to the requirements or sanctions of those	36291
sections.	36292

(D) Subject to the availability of funds, county departments	36293
of job and family services shall provide for participating teens	36294
to receive support services the county department determines to be	36295
necessary for LEAP participation. Support services may include	36296
publicly funded child care under Chapter 5104. of the Revised	36297
Code, transportation, and other services.	36298

Sec. 5107.36.  An individual is not eligible to participate	36299
inineligible for assistance under Ohio works first if either of	36300
the following apply:	36301

(A) The individual is a fugitive felon as defined in section	36302
5101.20 of the Revised Code;	36303

(B) The individual is violating a condition of probation, a	36304
community control sanction, parole, or a post-release control	36305
sanction imposed under federal or state law.	36306

Sec. 5107.40.  The director of job and family services shall	36307
establish work participation activities for Ohio works first in	36308
rules adopted under section 5107.05 of the Revised Code. The work	36309
participation activities shall include a subsidized employment	36310
program under which private and government employers receive	36311
payments from appropriations to the department of job and family	36312
services for a portion of the costs of salaries, wages, and	36313
benefits such employers pay to or on behalf of employees who are	36314
participants in the subsidized employment program at the time of	36315
employment.	36316

Sec. 5107.41.  As soon as possible after an assistance group	36317
submits an application to participate in Ohio works first, the	36318
county department of job and family services that receives the	36319
application shall schedule and conduct an appraisal of each member	36320
of the assistance group who is a minor head of household or adult	36321
work-eligible individual, other than a minor head of household	36322
participating in the LEAP program. The appraisal may include an	36323
evaluation of the employment, educational, physiological, and	36324
psychological abilities or liabilities, or both, of the minor head	36325
of household or adultwork-eligible individuals. At the appraisal,	36326
the county department shall develop with the minor head of	36327
household or adultwork-eligible individuals a plan for the	36328
assistance group to achieve the goal of self sufficiency and	36329
personal responsibility through unsubsidized employment within the	36330
time limit for participating in the Ohio works first program	36331
established by section 5107.18 of the Revised Code. The plan shall	36332
include assignments to one or more work participation activities,	36333
developmental activities, or alternative work activities in	36334
accordance withassigned under section 5107.42 of the Revised	36335
Code. The county department shall include the plan in the	36336
self-sufficiency contract entered into under section 5107.14 of	36337
the Revised Code.	36338

The county department shall conduct more appraisals of the	36339
minor head of household or adultwork-eligible individuals at	36340
times the county department determines.	36341

If the minor head of household or adulta work-eligible	36342
individual claims to have a medically determinable physiological	36343
or psychological impairment, illness, or disability, the county	36344
department may require that the minor head of household or adult	36345
work-eligible individual undergo an independent medical or	36346
psychological examination at a time and place reasonably	36347
convenient to the minor head of household or adultwork-eligible	36348
individual.	36349

Sec. 5107.42. (A) Except as provided in divisions (B) and	36350
(C) of this section, countyCounty departments of job and family	36351
services shall assign each minor head of household and adult	36352
participating in Ohio works firstwork-eligible individual, other	36353
than minor heads of household participating in the LEAP program,	36354
to one or more work participation activities and developmental	36355
activitiesin accordance with rules adopted under section 5107.05	36356
of the Revised Code.	36357

If a county department assigns a minor head of household or	36358
adult to the work activity established under division (H) of	36359
section 5107.60 of the Revised Code, the county department shall	36360
make reasonable efforts to assign the minor head of household or	36361
adult to at least one other work activity at the same time. If a	36362
county department assigns a minor head of household or adult to	36363
the work activity established under section 5107.58 of the Revised	36364
Code, the county department shall assign the minor head of	36365
household or adult to at least one other work activity at the same	36366
time.	36367

A county department may not assign a minor head of household	36368
or adult to a work activity established under division (D) of	36369
section 5107.60 of the Revised Code for more than twelve months.	36370

(B) If a county department determines that a minor head of	36371
household or adult has a temporary or permanent barrier to	36372
participation in a work activity, it may assign the minor head of	36373
household or adult to one or more alternative work activities	36374
instead of assigning the minor head of household or adult to one	36375
or more work activities or developmental activities. A county	36376
department may not assign more than twenty per cent of minor heads	36377
of household and adults participating in Ohio works first to an	36378
alternative work activity.	36379

County departments shall establish standards for determining	36380
whether a minor head of household or adult has a temporary or	36381
permanent barrier to participating in a work activity. The	36382
following are examples of circumstances that a county department	36383
may consider when it develops its standards:	36384

(1) A minor head of household or adult provides the county	36385
department documented evidence that one or more members of the	36386
assistance group have been the victim of domestic violence and are	36387
in imminent danger of suffering continued domestic violence;	36388

(2) A minor head of household or adult is actively	36389
participating in an alcohol or drug addiction program certified by	36390
the department of alcohol and drug addiction services under	36391
section 3793.06 of the Revised Code;	36392

(3) An assistance group is homeless.

36393

(C) A county department may exempt a minor head of household	36394
or adult who is unmarried and caring for a minor child under	36395
twelve months of age from the work requirements of sections	36396
5107.40 to 5107.69 of the Revised Code for not more than twelve	36397
months. While exempt, the minor head of household or adult shall	36398
be disregarded in determining whether the county department is	36399
meeting the requirement of section 5107.44 of the Revised Code.	36400
The county department shall assign the exempt minor head of	36401
household or adult to at least one developmental activity for a	36402
number of hours a week the county department determines. The	36403
county department may assign the exempt minor head of household or	36404
adult to one or more work activities, in addition to developmental	36405
activities, for a number of hours the county department	36406
determines. Division (B) of section 5107.43 of the Revised Code	36407
does not apply to the exempt minor head of household or adult.	36408

(D) A county department may reassign a minor head of	36409
household or adultwork-eligible individual when the county	36410
department determines reassignment will aid the assistance group	36411
in achieving self sufficiency and personal responsibility and	36412
shall make reassignments when circumstances requiring	36413
necessitating reassignment occur, including when a temporary	36414
barrier to participating in a work activity is eliminated.	36415

A county department shall include assignments in the	36416
self-sufficiency contract entered into under section 5107.14 of	36417
the Revised Code and shall amend the contract when a reassignment	36418
is made to include the reassignment in the contract.	36419

Sec. 5107.66.        Sec. 5107.44.  Subject to the availability of funds	36420
and except as limited by section 5107.58 of the Revised Code,	36421
county departments of job and family services shall provide for	36422
participants of Ohio works first placed inwork-eligible	36423
individuals assigned to a work participation activity,	36424
developmental activity, or alternative work activityunder section	36425
5107.42 of the Revised Code to receive support services the county	36426
department determines to be necessary. County departments may	36427
provide for applicants of Ohio works first placed in the work	36428
activity established under section 5107.50 of the Revised Code to	36429
receive support services the county department determines to be	36430
necessary. Support services may include publicly funded child care	36431
under Chapter 5104. of the Revised Code, transportation, and other	36432
services.	36433

Sec. 5107.45.  To the maximum extent practicable and	36434
consistent with rules authorized by section 5107.40 of the Revised	36435
Code, work-eligible individuals assigned to work participation	36436
activities under section 5107.42 of the Revised Code shall perform	36437
necessary support services provided under section 5107.44 of the	36438
Revised Code.	36439

Sec. 5107.52.        Sec. 5107.46. (A) There is hereby established, as a	36440
work activity under Ohio works first, the subsidized employment	36441
program, under which private and government employers receive	36442
payments from appropriations to the department of job and family	36443
services for a portion of the costs of salaries, wages, and	36444
benefits those employers pay to or on behalf of employees who are	36445
participants of the subsidized employment program at the time of	36446
employment.	36447

(B) The director of job and family services may redetermine	36448
rates of payments to employers under this section annually.	36449

(C) A state agency or political subdivision may create or	36450
fill vacant full-time and part-time positions, including	36451
classified and unclassified positions for those positions that are	36452
included in the civil service under Chapter 124. of the Revised	36453
Code, for or with participants of the subsidized employment	36454
program established in rules authorized by section 5107.40 of the	36455
Revised Code. The director shall specify in rules adopted under	36456
section 5107.05 of the Revised Code the maximum amount of time the	36457
department will subsidize the positions. After the subsidy	36458
expires, the agency or subdivision may hire the participant for an	36459
unclassified position or as an employee in the classified civil	36460
service. The director of administrative services may adopt rules	36461
in accordance with Chapter 119. of the Revised Code governing this	36462
division.	36463

(D) Participants of the subsidized employment program for	36464
whom payments are made under this section:	36465

(1) Shall be considered regular employees of the employer,	36466
entitled to the same employment benefits and opportunities for	36467
advancement and affiliation with employee organizations that are	36468
available to other regular employees of the employer, and the	36469
employer shall pay premiums to the bureau of workers' compensation	36470
on account of employees for whom payments are made;	36471

(2) Shall be paid at the same rate as other employees doing	36472
similar work for the employer.	36473

(E) An agreement for employment of a subsidized employment	36474
program participant by a private employer shall require that the	36475
participant be given preference for any unsubsidized full-time	36476
position with the employer that becomes available after the	36477
participant completes any probationary or training period	36478
specified in the agreement.	36479

Sec. 5107.541.        Sec. 5107.47.  A county department of job and family	36480
services may contract with the chief administrator of a nonpublic	36481
school or with any school district board of education that has	36482
adopted a resolution under section 3319.089 of the Revised Code to	36483
provide for a participant of the work experience program	36484
work-eligible individual who has a minor child enrolled in the	36485
nonpublic school or a public school in the district to be assigned	36486
under thea work experience program to volunteerparticipation	36487
activity under which the individual volunteers or workworks for	36488
compensation at the school in which the child is enrolled if rules	36489
authorized by section 5107.40 of the Revised Code establishing the	36490
work participation activity permit such service to be performed	36491
under the work participation activity. Unless it is not possible	36492
or practical, a contract shall provide for a participant	36493
work-eligible individual to volunteer or work at the school as a	36494
classroom aide. If that is impossible or impractical, the contract	36495
may provide for the participantwork-eligible individual to	36496
volunteer to work in another position at the school. A contract	36497
may provide for the nonpublic school or board of education to	36498
receive funding to pay for coordinating, training, and supervising	36499
participantswork-eligible individuals volunteering or working in	36500
schools.	36501

Notwithstanding section 3319.088 of the Revised Code, a	36502
participantwork-eligible individual volunteering or working as a	36503
classroom aide under this section is not required to obtain an	36504
educational aide permit or paraprofessional license. The	36505
participantwork-eligible individual shall not be considered an	36506
employee of a political subdivision for purposes of Chapter 2744.	36507
of the Revised Code and is not entitled to any immunity or defense	36508
available under that chapter, the common law of this state, or	36509
section 9.86 of the Revised Code.	36510

An assignment under this section shall include attending	36511
academic home enrichment classes that provide instruction for	36512
parents in creating a home environment that prepares and enables	36513
children to learn at school.	36514

Sec. 5107.61.        Sec. 5107.48.  Service as an Ohio works first	36515
ombudsperson pursuant to section 329.07 of the Revised Code may be	36516
an assignment under the work experience program or a work	36517
participation activity established under section 5107.60 of the	36518
Revised Code to which a participant of Ohio works first	36519
work-eligible individual is assigned under section 5107.42 of the	36520
Revised Code if rules authorized by section 5107.40 of the Revised	36521
Code establishing the work participation activity permit such	36522
service to be performed under the work participation activity.	36523

Sec. 5107.65.        Sec. 5107.50.  (A)(1) No participant of Ohio works	36524
firstwork-eligible individual shall be assigned to a work	36525
participation activity, developmental activity, or alternative	36526
work activityunder section 5107.42 of the Revised Code when the	36527
employer removes or discharges a person, for the purpose of	36528
substituting the participantwork-eligible individual in the	36529
person's place, in any of the following circumstances:	36530

(a)(1) The person is already employed as a regular full-time	36531
or part-time employee of the employer;	36532

(b)(2) The person has been employed full time or part time as	36533
a participant inpursuant to a work participation activity,	36534
developmental activity, or alternative work activityassigned	36535
under section 5107.42 of the Revised Code;	36536

(c)(3) The person is or has been involved in a dispute	36537
between a labor organization and the employer;	36538

(d)(4) The person is on layoff from the same or any	36539
substantially equivalent job.	36540

(B) No employer shall hire a participant of Ohio works first	36541
part-time a work-eligible individual participating in an Ohio	36542
works first work participation activity to circumvent hiring a	36543
full-time employee.	36544

(C) County departments of job and family services shall	36545
establish and maintain a grievance procedure for resolving	36546
complaints by individuals or their representatives that thea	36547
work-eligible individual's assignment of a participant of Ohio	36548
works firstto a work participation activity under section 5107.42	36549
of the Revised Code violates this section.	36550

Sec. 5107.52.  If a work-eligible individual is placed with a	36551
private or government entity as part of a work participation	36552
activity for which workers' compensation laws apply, the private	36553
or government entity shall pay premiums to the bureau of workers'	36554
compensation on account of the work-eligible individual unless a	36555
county department of job and family services pays the premiums for	36556
the entity.	36557

Sec. 5107.67.        Sec. 5107.54. Except for a participant of Ohio works	36558
first who is assigned to a work activity established under section	36559
5107.52 or division (A) of section 5107.60 of the Revised Code,	36560
creditCredit for work performed by a participantwork-eligible	36561
individual in a work participation activity, developmental	36562
activity, or alternative work activityassigned under section	36563
5107.42 of the Revised Code does not constitute remuneration for	36564
the purpose of Chapter 124., 144., or 145. of the Revised Code and	36565
services performed by the participantwork-eligible individual do	36566
not constitute employment for the purpose of Chapter 4141. of the	36567
Revised Code.	36568

Sec. 5107.68.        Sec. 5107.56. (A) The county directors of job and	36569
family services shall implement and enforce the requirements of	36570
sections 5107.40 to 5107.69 of the Revised Code. State and local	36571
agencies shall cooperate with county departments of job and family	36572
services to the maximum extent possible in the implementation of	36573
those sections.	36574

(B) In employing persons to administer and supervise work	36575
participation activities, developmental activities, and	36576
alternative work activities under Ohio works first, a county	36577
department of job and family services shall give first	36578
consideration to applicants for and participants of Ohio works	36579
first and work-eligible individuals, provided suchthe applicants	36580
and participantswork-eligible individuals qualify for the	36581
administrative and supervisory positions to be filled. An	36582
applicant or participant shall be eligible for first consideration	36583
only within the county in which the applicant applies for or	36584
participant participates in Ohio works first. A work-eligible	36585
individual shall be eligible for first consideration only within	36586
the county in which the individual participates in a work	36587
participation activity.	36588

(C) To the maximum extent practicable, necessary support	36589
services provided under section 5107.66 of the Revised Code shall	36590
be performed by participants of Ohio works first placed in a work	36591
activity, developmental activity, or alternative work activity.	36592

Sec. 5107.54.        Sec. 5107.58. (A) There is hereby established, as a	36593
work activity under Ohio works first, the work experience program.	36594
A participant of Ohio works first placed in the program shall	36595
receive work experience from private and government entities.	36596

Participants of Ohio works firstExcept as otherwise provided	36597
by federal or state law, work-eligible individuals assigned to the	36598
work experience programparticipation activities under section	36599
5107.42 of the Revised Code are not employees of the department of	36600
job and family services or a county department of job and family	36601
services. The operation of the work experience program	36602
participation activities does not constitute the operation of an	36603
employment agency by the department of job and family services or	36604
a county department of job and family services.	36605

(B) County departments of job and family services shall	36606
develop work projects to which participants of Ohio works first	36607
are assigned under the work experience program. Work projects may	36608
include assignments with private and government entities. Examples	36609
of work projects a county department may develop include unpaid	36610
internships, refurbishing publicly assisted housing, and having a	36611
participant volunteer to work at the head start agency in which	36612
the participant's minor child is enrolled. Each county department	36613
shall make a list of the work projects available to the public.	36614

(C) Unless a county department of job and family services	36615
pays the premiums for the entity, a private or government entity	36616
with which a participant of Ohio works first is placed in the work	36617
experience program shall pay premiums to the bureau of workers'	36618
compensation on account of the participant.	36619

Sec. 5107.44.        Sec. 5107.60. CountyEach federal fiscal year,	36620
county departments of job and family services, on a statewide	36621
average basis, shall exceedmeet the federal minimum work activity	36622
participation rates established by section 407(a) of Title IV-A,	36623
42 U.S.C.A. 607(a), by not less than five percentage points.	36624

Sec. 5107.69.        Sec. 5107.61. If the United States secretary of	36625
health and human services informs the department of job and family	36626
services that implementation of sections 5107.40 to 5107.69 of the	36627
Revised Code jeopardizes federal funding for the Ohio works first	36628
program, theThe department of job and family services shall	36629
ensure that county departments of job and family services require	36630
minor heads of household and adults participating in Ohio works	36631
firstwork-eligible individuals to participate in work	36632
participation activities, developmental activities, and	36633
alternative work activities in a manner consistent with 42	36634
U.S.C.A. 607.	36635

Sec. 5107.70.  A county department of job and family	36636
services, at times it determines, may conduct assessments of	36637
assistance groups participating in Ohio works first and	36638
work-eligible individuals to determine whether any members of the	36639
assistance group or the work-eligible individuals are in need of	36640
other assistance or services provided by the county department or	36641
other private or government entities. Assessments may include the	36642
following:	36643

(A) Whether any member of the assistance group or a	36644
work-eligible individual has a substance abuse problem;	36645

(B) Whether there are any other circumstances that may limit	36646
an assistance group member's or work-eligible individual's	36647
employability.	36648

At the first assessment conducted by the county department,	36649
it shall inquire as to whether any member of anthe assistance	36650
group or a work-eligible individual is the victim of domestic	36651
violence, including child abuse. The county department shall	36652
provide this information to the department of job and family	36653
services. The department shall maintain the information for	36654
statistical analysis purposes.	36655

The county department may refer an assistance group member or	36656
work-eligible individual to a private or government entity that	36657
provides assistance or services the county department determines	36658
the member or individual needs. The entity may be a public	36659
children services agency, chapter of alcoholics anonymous,	36660
narcotics anonymous, or cocaine anonymous, or any other entity the	36661
county department considers appropriate.	36662

Sec. 5111.01.  As used in this chapter, "medical assistance	36663
program" or "medicaid" means the program that is authorized by	36664
this chapter or an executive order issued by the governor and	36665
provided by the department of job and family services under this	36666
chapter, Title XIX of the "Social Security Act," 79 Stat. 286	36667
(1965), 42 U.S.C.A. 1396, as amended, and the waivers of Title XIX	36668
requirements granted to the department by the health care	36669
financing administrationcenters for medicare and medicaid	36670
services of the United States department of health and human	36671
services.	36672

The department of job and family services shall act as the	36673
single state agency to supervise the administration of the	36674
medicaid program. As the single state agency, the department shall	36675
comply with 42 C.F.R. 431.10(e). The department's rules governing	36676
medicaid are binding on other agencies that administer components	36677
of the medicaid program. No agency may establish, by rule or	36678
otherwise, a policy governing medicaid that is inconsistent with a	36679
medicaid policy established, in rule or otherwise, by the director	36680
of job and family services.	36681

(A) The department of job and family services may provide	36682
medical assistance under the medicaid program as long as federal	36683
funds are provided for such assistance, to the following:	36684

(1) Families with children that meet either of the following	36685
conditions:	36686

(a) The family meets the income, resource, and family	36687
composition requirements in effect on July 16, 1996, for the	36688
former aid to dependent children program as those requirements	36689
were established by Chapter 5107. of the Revised Code, federal	36690
waivers granted pursuant to requests made under former section	36691
5101.09 of the Revised Code, and rules adopted by the department	36692
or any changes the department makes to those requirements in	36693
accordance with paragraph (a)(2) of section 114 of the "Personal	36694
Responsibility and Work Opportunity Reconciliation Act of 1996,"	36695
110 Stat. 2177, 42 U.S.C.A. 1396u-1, for the purpose of	36696
implementing section 5111.019 of the Revised Code. An adult loses	36697
eligibility for medical assistance under division (A)(1)(a) of	36698
this section pursuant to division (E)(D) of section 5107.16 of the	36699
Revised Code.	36700

(b) The family does not meet the requirements specified in	36701
division (A)(1)(a) of this section but is eligible for medical	36702
assistance pursuant to section 5101.18 of the Revised Code.	36703

(2) Aged, blind, and disabled persons who meet the following	36704
conditions:	36705

(a) Receive federal aid under Title XVI of the "Social	36706
Security Act," or are eligible for but are not receiving such aid,	36707
provided that the income from all other sources for individuals	36708
with independent living arrangements shall not exceed one hundred	36709
seventy-five dollars per month. The income standards hereby	36710
established shall be adjusted annually at the rate that is used by	36711
the United States department of health and human services to	36712
adjust the amounts payable under Title XVI.	36713

(b) Do not receive aid under Title XVI, but meet any of the	36714
following criteria:	36715

(i) Would be eligible to receive such aid, except that their	36716
income, other than that excluded from consideration as income	36717
under Title XVI, exceeds the maximum under division (A)(2)(a) of	36718
this section, and incurred expenses for medical care, as	36719
determined under federal regulations applicable to section 209(b)	36720
of the "Social Security Amendments of 1972," 86 Stat. 1381, 42	36721
U.S.C.A. 1396a(f), as amended, equal or exceed the amount by which	36722
their income exceeds the maximum under division (A)(2)(a) of this	36723
section;	36724

(ii) Received aid for the aged, aid to the blind, or aid for	36725
the permanently and totally disabled prior to January 1, 1974, and	36726
continue to meet all the same eligibility requirements;	36727

(iii) Are eligible for medical assistance pursuant to section	36728
5101.18 of the Revised Code.	36729

(3) Persons to whom federal law requires, as a condition of	36730
state participation in the medicaid program, that medical	36731
assistance be provided;	36732

(4) Persons under age twenty-one who meet the income	36733
requirements for the Ohio works first program established under	36734
Chapter 5107. of the Revised Code but do not meet other	36735
eligibility requirements for the program. The director shall	36736
adopt rules in accordance with Chapter 119. of the Revised Code	36737
specifying which Ohio works first requirements shall be waived for	36738
the purpose of providing medicaid eligibility under division	36739
(A)(4) of this section.	36740

(B) If sufficient funds are appropriated for such purpose by	36741
the general assemblythe medical assistance program, the	36742
department may provide medical assistance to persons in groups	36743
designated by federal law as groups to which a state, at its	36744
option, may provide medical assistance under the medicaid program.	36745

(C) The department may expand eligibility for medical	36746
assistance to include individuals under age nineteen with family	36747
incomes at or below onefive hundred fifty per cent of the federal	36748
poverty guidelines, except that the. The eligibility expansion	36749
shall not occur unlessbe implemented in the manner and to the	36750
extent that the department receives the approval offrom the	36751
federal government. The department may implement the eligibility	36752
expansion authorized under this division on any date selected by	36753
the department, but not sooner than January 1, 1998.	36754

(D) In addition to any other authority or requirement to	36755
adopt rules under this chapter, the director may adopt rules in	36756
accordance with section 111.15 of the Revised Code as the director	36757
considers necessary to establish standards, procedures, and other	36758
requirements regarding the provision of medical assistance. The	36759
rules may establish requirements to be followed in applying for	36760
medical assistance, making determinations of eligibility for	36761
medical assistance, and verifying eligibility for medical	36762
assistance. The rules may include special conditions as the	36763
department determines appropriate for making applications,	36764
determining eligibility, and verifying eligibility for any medical	36765
assistance that the department may provide pursuant to division	36766
(C) of this section and section 5111.014 or 5111.019 of the	36767
Revised Code.	36768

Sec. 5111.014.  (A) The director of job and family services	36769
shall submit to the United States secretary of health and human	36770
services an amendment to the state medicaid plan to make an	36771
individual who meets all of the following requirements eligible	36772
for medicaid:	36773

(1) The individual is pregnant;

36774

(2) The individual's family income does not exceed onetwo	36775
hundred fifty per cent of the federal poverty guidelines;	36776

(3) The individual satisfies all relevant requirements	36777
established by rules adopted under division (D) of section 5111.01	36778
of the Revised Code.	36779

(B) If approved by the United States secretary of health and	36780
human services, the director of job and family services shall	36781
implement the medicaid plan amendment submitted under division (A)	36782
of this section as soon as possible after receipt of notice of the	36783
approval, but not sooner than January 1, 20002008.	36784

Sec. 5111.016. (A) As used in this section, "healthcheck" has	36785
the same meaning as in section 3313.714 of the Revised Code.	36786

(B) In accordance with federal law and regulations, theThe	36787
department of job and family services shall establishadopt rules	36788
in accordance with Chapter 119. of the Revised Code establishing a	36789
combination of written and oral methods designed to provide	36790
information about healthcheck to all persons eligible for the	36791
program or their parents or guardians. The department shall ensure	36792
that its methods of providing information are effective. The	36793
methods shall comply with federal law and regulations.	36794

Each county department of job and family services or other	36795
entity that distributes or accepts applications for medical	36796
assistance shall prominently display in a conspicuous place the	36797
following notice:	36798

"Under state and federal law, if you are a Medicaid	36799
recipient, your child is entitled to a thorough medical	36800
examination provided through Healthcheck. Once this examination is	36801
completed, your child is entitled to receive, at no cost to you,	36802
any service determined to be medically necessary."that complies	36803
with the rules adopted under this division.	36804

Sec. 5111.019. (A) The director of job and family services	36805
shall submit to the United States secretary of health and human	36806
services an amendment to the state medicaid plan to make an	36807
individual eligible for medicaid who meets all of the following	36808
requirements eligible for medicaid for the amount of time provided	36809
by division (B) of this section:	36810

(1)(A) The individual is the parent of a child under nineteen	36811
years of age and resides with the child;	36812

(2)(B) The individual's family income does not exceed ninety	36813
one hundred per cent of the federal poverty guidelines;	36814

(3)(C) The individual is not otherwise eligible for medicaid;

36815

(4)(D) The individual satisfies all relevant requirements	36816
established by rules adopted under division (D) of section 5111.01	36817
of the Revised Code.	36818

(B) An individual is eligible to receive medicaid under this	36819
section for a period that does not exceed two years beginning on	36820
the date on which eligibility is established.	36821

Sec. 5111.0112.  (A) Not later than July 1, 2006, theThe	36822
director of job and family services shall institute a copayment	36823
cost-sharing program under the medicaid program. To the extent	36824
permitted by federal law, the copaymentIn instituting the	36825
cost-sharing program, the director shall comply with federal law.	36826
The cost-sharing program shall establish a copayment requirement	36827
for onlyat least dental services, vision services, nonemergency	36828
emergency department services, and prescription drugs, other than	36829
generic drugs. The cost-sharing program may establish requirements	36830
regarding premiums, enrollment fees, deductions, and similar	36831
charges. The director shall adopt rules under section 5111.02 of	36832
the Revised Code governing the copayment program.	36833

(B) The copaymentcost-sharing program shall, to the extent	36834
permitted by federal law, provide for all of the following with	36835
regard to any providers participating in the medicaid program:	36836

(1) No provider shall refuse to provide a service to a	36837
medicaid recipient who is unable to pay a required copayment for	36838
the service.	36839

(2) Division (B)(1) of this section shall not be considered	36840
to do either of the following with regard to a medicaid recipient	36841
who is unable to pay a required copayment:	36842

(a) Relieve the medicaid recipient from the obligation to pay	36843
a copayment;	36844

(b) Prohibit the provider from attempting to collect an	36845
unpaid copayment.	36846

(3) Except as provided in division (C) of this section, no	36847
provider shall waive a medicaid recipient's obligation to pay the	36848
provider a copayment.	36849

(4) No provider or drug manufacturer, including the	36850
manufacturer's representative, employee, independent contractor,	36851
or agent, shall pay any copayment on behalf of a medicaid	36852
recipient.	36853

(5) If it is the routine business practice of the provider to	36854
refuse service to any individual who owes an outstanding debt to	36855
the provider, the provider may consider an unpaid copayment	36856
imposed by the copaymentcost-sharing program as an outstanding	36857
debt and may refuse service to a medicaid recipient who owes the	36858
provider an outstanding debt. If the provider intends to refuse	36859
service to a medicaid recipient who owes the provider an	36860
outstanding debt, the provider shall notify the individual of the	36861
provider's intent to refuse services.	36862

(C) In the case of a provider that is a hospital, the	36863
copaymentcost-sharing program shall permit the hospital to take	36864
action to collect a copayment by providing, at the time services	36865
are rendered to a medicaid recipient, notice that a copayment may	36866
be owed. If the hospital provides the notice and chooses not to	36867
take any further action to pursue collection of the copayment, the	36868
prohibition against waiving copayments specified in division	36869
(B)(3) of this section does not apply.	36870

(D) The department of job and family services may work with a	36871
state agency that is administering, pursuant to a contract entered	36872
into under section 5111.91 of the Revised Code, one or more	36873
components of the medicaid program or one or more aspects of a	36874
component as necessary for the state agency to apply the	36875
cost-sharing program to the components or aspects of the medicaid	36876
program that the state agency administers.	36877

Sec. 5111.0119.  (A) The director of job and family services	36878
may submit to the United States secretary of health and human	36879
services an amendment to the state medicaid plan to establish the	36880
medicaid buy-in program in accordance with 42 U.S.C.	36881
1396a(a)(10)(A)(ii)(XV) and (XVI).	36882

(B) The director of job and family services may adopt rules	36883
under section 5111.011 of the Revised Code to implement this	36884
section.	36885

Sec. 5111.023.  (A) As used in this section:

36886

(1) "Community mental health facility" means a community	36887
mental health facility that has a quality assurance program	36888
accredited by the joint commission on accreditation of healthcare	36889
organizations or is certified by the department of mental health	36890
or department of job and family services.	36891

(2) "Mental health professional" means a person qualified to	36892
work with mentally ill persons under the standards established by	36893
the director of mental health pursuant to section 5119.611 of the	36894
Revised Code.	36895

(B) The state medicaid plan shall include provision of the	36896
following mental health services when provided by community mental	36897
health facilities:	36898

(1) Outpatient mental health services, including, but not	36899
limited to, preventive, diagnostic, therapeutic, rehabilitative,	36900
and palliative interventions rendered to individuals in an	36901
individual or group setting by a mental health professional in	36902
accordance with a plan of treatment appropriately established,	36903
monitored, and reviewed;	36904

(2) Partial-hospitalization mental health services of three	36905
to fourteen hours per service day, rendered by persons directly	36906
supervised by a mental health professional;	36907

(3) Unscheduled, emergency mental health services of a kind	36908
ordinarily provided to persons in crisis when rendered by persons	36909
supervised by a mental health professional;	36910

(4) Subject to receipt of federal approval, assertive	36911
community treatment and intensive home-based mental health	36912
services.	36913

(C) The comprehensive annual plan shall certify the	36914
availability of sufficient unencumbered community mental health	36915
state subsidy and local funds to match federal medicaid	36916
reimbursement funds earned by community mental health facilities.	36917

(D) The department of job and family services shall enter	36918
into a separate contract with the department of mental health	36919
under section 5111.91 of the Revised Code with regard to the	36920
component of the medicaid program provided for by this section.	36921

(E) Not later than July 21, 2006, the department of job and	36922
family services shall request federal approval to provide	36923
assertive community treatment and intensive home-based mental	36924
health services under medicaid pursuant to this section.	36925

(F) On receipt of federal approval sought under division (E)	36926
of this section, the director of job and family services shall	36927
adopt rules in accordance with Chapter 119. of the Revised Code	36928
for assertive community treatment and intensive home-based mental	36929
health services provided under medicaid pursuant to this section.	36930
The director shall consult with the department of mental health in	36931
adopting the rules.	36932

Sec. 5111.028. (A) Pursuant to section 5111.02 of the Revised	36933
Code, the director of job and family services may adopt rules	36934
establishing the use of time-limited provider agreements under the	36935
medicaid program. The use of time-limited provider agreements	36936
shall include a process for re-enrollment of providers.	36937

(B) All of the following apply in any use of time-limited	36938
provider agreements under the medicaid program:	36939

(1) The department of job and family services may convert a	36940
provider agreement without a time limit to a provider agreement	36941
that is time-limited.	36942

(2) The department may terminate a time-limited provider	36943
agreement or deny re-enrollment when a provider fails to file an	36944
application for re-enrollment within the time and in the manner	36945
required under the re-enrollment process.	36946

(3) If a provider files an application for re-enrollment	36947
within the time and in the manner required under the re-enrollment	36948
process, but the provider agreement expires before the department	36949
acts on the application or before the effective date of the	36950
department's decision on the application, the provider may	36951
continue operating under the terms of the expired provider	36952
agreement until the effective date of the department's decision.	36953

(4) A decision by the department to approve an application	36954
for re-enrollment becomes effective on the date of the	36955
department's decision. A decision by the department to deny	36956
re-enrollment shall take effect not sooner than thirty days after	36957
the date the department mails written notice of the decision to	36958
the provider. The department shall specify in the notice the date	36959
on which the provider is required to cease operating under the	36960
provider agreement.	36961

(C) Pursuant to section 5111.06 of the Revised Code, the	36962
department is not required to take the actions specified in	36963
divisions (B)(1) and (2) of this section by issuing an order	36964
pursuant to an adjudication conducted in accordance with Chapter	36965
119. of the Revised Code.	36966

Sec. 5111.03.  (A) No provider of services or goods	36967
contracting with the department of job and family services	36968
pursuant to the medicaid program shall, by deception, obtain or	36969
attempt to obtain payments under this chapter to which the	36970
provider is not entitled pursuant to the provider agreement, or	36971
the rules of the federal government or the department of job and	36972
family services relating to the program. No provider shall	36973
willfully receive payments to which the provider is not entitled,	36974
or willfully receive payments in a greater amount than that to	36975
which the provider is entitled; nor shall any provider falsify any	36976
report or document required by state or federal law, rule, or	36977
provider agreement relating to medicaid payments. As used in this	36978
section, a provider engages in "deception" when the provider,	36979
acting with actual knowledge of the representation or information	36980
involved, acting in deliberate ignorance of the truth or falsity	36981
of the representation or information involved, or acting in	36982
reckless disregard of the truth or falsity of the representation	36983
or information involved, deceives another or causes another to be	36984
deceived by any false or misleading representation, by withholding	36985
information, by preventing another from acquiring information, or	36986
by any other conduct, act, or omission that creates, confirms, or	36987
perpetuates a false impression in another, including a false	36988
impression as to law, value, state of mind, or other objective or	36989
subjective fact. No proof of specific intent to defraud is	36990
required to show, for purposes of this section, that a provider	36991
has engaged in deception.	36992

(B) Any provider who violates division (A) of this section	36993
shall be liable, in addition to any other penalties provided by	36994
law, for all of the following civil penalties:	36995

(1) Payment of interest on the amount of the excess payments	36996
at the maximum interest rate allowable for real estate mortgages	36997
under section 1343.01 of the Revised Code on the date the payment	36998
was made to the provider for the period from the date upon which	36999
payment was made, to the date upon which repayment is made to the	37000
state;	37001

(2) Payment of an amount equal to three times the amount of	37002
any excess payments;	37003

(3) Payment of a sum of not less than five thousand dollars	37004
and not more than ten thousand dollars for each deceptive claim or	37005
falsification;	37006

(4) All reasonable expenses which the court determines have	37007
been necessarily incurred by the state in the enforcement of this	37008
section.	37009

(C) As used in this division, "intermediate care facility for	37010
the mentally retarded" and "nursing facility" have the same	37011
meanings given in section 5111.20 of the Revised Code.	37012

In addition to the civil penalties provided in division (B)	37013
of this section, the director of job and family services, upon the	37014
conviction of, or the entry of a judgment in either a criminal or	37015
civil action against, a medicaid provider or its owner, officer,	37016
authorized agent, associate, manager, or employee in an action	37017
brought pursuant to section 109.85 of the Revised Code, shall	37018
terminate the provider agreement between the department and the	37019
provider and stop reimbursement to the provider for services	37020
rendered for a period of up to five years from the date of	37021
conviction or entry of judgment. As used in this chapterdivision,	37022
"owner" means any person having at least five per cent ownership	37023
in the medicaid provider. No such provider, owner, officer,	37024
authorized agent, associate, manager, or employee shall own or	37025
provide services to any other medicaid provider or risk contractor	37026
or arrange for, render, or order services for medicaid recipients	37027
during the period of termination as provided in division (C) of	37028
this section, nor, during the period of termination as provided in	37029
division (C) of this section, shall such provider, owner, officer,	37030
authorized agent, associate, manager, or employee receive	37031
reimbursement in the form of direct payments from the department	37032
or indirect payments of medicaid funds in the form of salary,	37033
shared fees, contracts, kickbacks, or rebates from or through any	37034
participating provider or risk contractor. The provider agreement	37035
shall not be terminated or reimbursement terminated if the	37036
provider or owner can demonstrate that the provider or owner did	37037
not directly or indirectly sanction the action of its authorized	37038
agent, associate, manager, or employee that resulted in the	37039
conviction or entry of a judgment in a criminal or civil action	37040
brought pursuant to section 109.85 of the Revised Code. Nothing in	37041
this division prohibits any owner, officer, authorized agent,	37042
associate, manager, or employee of a medicaid provider from	37043
entering into a medicaid provider agreement if the person can	37044
demonstrate that the person had no knowledge of an action of the	37045
medicaid provider the person was formerly associated with that	37046
resulted in the conviction or entry of a judgment in a criminal or	37047
civil action brought pursuant to section 109.85 of the Revised	37048
Code.	37049

Nursing facility or intermediate care facility for the	37050
mentally retarded providers whose agreements are terminated	37051
pursuant to this section may continue to receive reimbursement for	37052
up to thirty days after the effective date of the termination if	37053
the provider makes reasonable efforts to transfer recipients to	37054
another facility or to alternate care and if federal funds are	37055
provided for such reimbursement.	37056

(D) For any reason permitted or required by federal law, the	37057
director of job and family services may deny a provider agreement	37058
or terminate a provider agreement.	37059

For any reason permitted or required by federal law, the	37060
director may exclude an individual, provider of services or goods,	37061
or other entity from participation in the medicaid program. No	37062
individual, provider, or entity excluded under this division shall	37063
own or provide services to any other medicaid provider or risk	37064
contractor or arrange for, render, or order services for medicaid	37065
recipients during the period of exclusion, nor, during the period	37066
of exclusion, shall such individual, provider, or entity receive	37067
reimbursement in the form of direct payments from the department	37068
or indirect payments of medicaid funds in the form of salary,	37069
shared fees, contracts, kickbacks, or rebates from or through any	37070
participating provider or risk contractor. An excluded individual,	37071
provider, or entity may request a reconsideration of the	37072
exclusion. The director shall adopt rules in accordance with	37073
Chapter 119. of the Revised Code governing the process for	37074
requesting a reconsideration.	37075

Nothing in this division limits the applicability of section	37076
5111.06 of the Revised Code to a medicaid provider.	37077

(E) Any provider of services or goods contracting with the	37078
department of job and family services pursuant to Title XIX of the	37079
"Social Security Act," who, without intent, obtains payments under	37080
this chapter in excess of the amount to which the provider is	37081
entitled, thereby becomes liable for payment of interest on the	37082
amount of the excess payments at the maximum real estate mortgage	37083
rate on the date the payment was made to the provider for the	37084
period from the date upon which payment was made to the date upon	37085
which repayment is made to the state.	37086

(E)(F) The attorney general on behalf of the state may	37087
commence proceedings to enforce this section in any court of	37088
competent jurisdiction; and the attorney general may settle or	37089
compromise any case brought under this section with the approval	37090
of the department of job and family services. Notwithstanding any	37091
other provision of law providing a shorter period of limitations,	37092
the attorney general may commence a proceeding to enforce this	37093
section at any time within six years after the conduct in	37094
violation of this section terminates.	37095

(F)(G) The authority, under state and federal law, of the	37096
department of job and family services or a county department of	37097
job and family services to recover excess payments made to a	37098
provider is not limited by the availability of remedies under	37099
sections 5111.11 and 5111.12 of the Revised Code for recovering	37100
benefits paid on behalf of recipients of medical assistance.	37101

The penalties under this chapter apply to any overpayment,	37102
billing, or falsification occurring on and after April 24, 1978.	37103
All moneys collected by the state pursuant to this section shall	37104
be deposited in the state treasury to the credit of the general	37105
revenue fund.	37106

Sec. 5111.031. (A) As used in this section:

37107

(1) "Independent provider" has the same meaning as in section	37108
5111.034 of the Revised Code.	37109

(2) "Intermediate care facility for the mentally retarded"	37110
and "nursing facility" have the same meanings as in section	37111
5111.20 of the Revised Code.	37112

(3) "Noninstitutional medicaid provider" means any person or	37113
entity with a medicaid provider agreement other than a hospital,	37114
nursing facility, or intermediate care facility for the mentally	37115
retarded.	37116

(4) "Owner" means any person having at least five per cent	37117
ownership in a noninstitutional medicaid provider.	37118

(B) Notwithstanding any provision of this chapter to the	37119
contrary, the department of job and family services shall take	37120
action under this section against a noninstitutional medicaid	37121
provider or its owner, officer, authorized agent, associate,	37122
manager, or employee.	37123

(C) Except as provided in division (D) of this section and in	37124
rules adopted by the department under division (H) of this	37125
section, on receiving notice and a copy of an indictment that is	37126
issued on or after the effective date of this section and charges	37127
a noninstitutional medicaid provider or its owner, officer,	37128
authorized agent, associate, manager, or employee with committing	37129
an offense specified in division (E) of this section, the	37130
department shall suspend the provider agreement held by the	37131
noninstitutional medicaid provider. Subject to division (D) of	37132
this section, the department shall also terminate medicaid	37133
reimbursement to the provider for services rendered.	37134

The suspension shall continue in effect until the proceedings	37135
in the criminal case are completed through conviction, dismissal	37136
of the indictment, plea, or finding of not guilty. If the	37137
department commences a process to terminate the suspended provider	37138
agreement, the suspension shall continue in effect until the	37139
termination process is concluded. Pursuant to section 5111.06 of	37140
the Revised Code, the department is not required to take action	37141
under this division by issuing an order pursuant to an	37142
adjudication conducted in accordance with Chapter 119. of the	37143
Revised Code.	37144

When subject to a suspension under this division, a provider,	37145
owner, officer, authorized agent, associate, manager, or employee	37146
shall not own or provide services to any other medicaid provider	37147
or risk contractor or arrange for, render, or order services for	37148
medicaid recipients during the period of suspension. During the	37149
period of suspension, the provider, owner, officer, authorized	37150
agent, associate, manager, or employee shall not receive	37151
reimbursement in the form of direct payments from the department	37152
or indirect payments of medicaid funds in the form of salary,	37153
shared fees, contracts, kickbacks, or rebates from or through any	37154
participating provider or risk contractor.	37155

(D)(1) The department shall not suspend a provider agreement	37156
or terminate medicaid reimbursement under division (C) of this	37157
section if the provider or owner can demonstrate that the provider	37158
or owner did not directly or indirectly sanction the action of its	37159
authorized agent, associate, manager, or employee that resulted in	37160
the indictment.	37161

(2) The termination of medicaid reimbursement applies only to	37162
payments for medicaid services rendered subsequent to the date on	37163
which the notice required under division (F) of this section is	37164
sent. Claims for reimbursement for medicaid services rendered by	37165
the provider prior to the issuance of the notice may be subject to	37166
prepayment review procedures whereby the department reviews claims	37167
to determine whether they are supported by sufficient	37168
documentation, are in compliance with state and federal statutes	37169
and rules, and are otherwise complete.	37170

(E)(1) In the case of a noninstitutional medicaid provider	37171
that is not an independent provider, the suspension of a provider	37172
agreement under division (C) of this section applies when an	37173
indictment charges a person with committing an act that would be a	37174
felony or misdemeanor under the laws of this state and the act	37175
relates to or results from either of the following:	37176

(a) Furnishing or billing for medical care, services, or	37177
supplies under the medicaid program;	37178

(b) Participating in the performance of management or	37179
administrative services relating to furnishing medical care,	37180
services, or supplies under the medicaid program.	37181

(2) In the case of a noninstitutional medicaid provider that	37182
is an independent provider, the suspension of a provider agreement	37183
under division (C) of this section applies when an indictment	37184
charges a person with committing an act that would constitute one	37185
of the offenses specified in division (D) of section 5111.034 of	37186
the Revised Code.	37187

(F) Not later than five days after suspending a provider	37188
agreement under division (C) of this section, the department shall	37189
send notice of the suspension to the affected provider or owner.	37190
In providing the notice, the department shall do all of the	37191
following:	37192

(1) Describe the indictment that was the cause of the	37193
suspension, without necessarily disclosing specific information	37194
concerning any ongoing civil or criminal investigation;	37195

(2) State that the suspension will continue in effect until	37196
the proceedings in the criminal case are completed through	37197
conviction, dismissal of the indictment, plea, or finding of not	37198
guilty and, if the department commences a process to terminate the	37199
suspended provider agreement, until the termination process is	37200
concluded;	37201

(3) Inform the provider or owner of the opportunity to submit	37202
to the department, not later than thirty days after receiving the	37203
notice, a request for a reconsideration pursuant to division (G)	37204
of this section.	37205

(G)(1) A noninstitutional medicaid provider or owner subject	37206
to a suspension under this section may request a reconsideration.	37207
The request shall be made not later than thirty days after receipt	37208
of the notice provided under division (F) of this section. The	37209
reconsideration is not subject to an adjudication hearing pursuant	37210
to Chapter 119. of the Revised Code.	37211

(2) In requesting a reconsideration, the provider or owner	37212
shall submit written information and documents to the department.	37213
The information and documents may pertain to any of the following	37214
issues:	37215

(a) Whether the determination to suspend the provider	37216
agreement was based on a mistake of fact, other than the validity	37217
of the indictment;	37218

(b) Whether any offense charged in the indictment resulted	37219
from an offense specified in division (E) of this section;	37220

(c) Whether the provider or owner can demonstrate that the	37221
provider or owner did not directly or indirectly sanction the	37222
action of its authorized agent, associate, manager, or employee	37223
that resulted in the indictment.	37224

(3) The department shall review the information and documents	37225
submitted in a request for reconsideration. After the review, the	37226
suspension may be affirmed, reversed, or modified, in whole or in	37227
part. The department shall notify the affected provider or owner	37228
of the results of the review. The review and notification of its	37229
results shall be completed not later than forty-five days after	37230
receiving the information and documents submitted in a request for	37231
reconsideration.	37232

(H) The department may adopt rules in accordance with Chapter	37233
119. of the Revised Code to implement this section. The rules may	37234
specify circumstances under which the department would not suspend	37235
a provider agreement pursuant to this section.	37236

Sec. 5111.032. (A) As used in this section:

37237

(1) "Criminal records check" has the same meaning as in	37238
section 109.572 of the Revised Code.	37239

(2) "Department" includes a designee of the department of job	37240
and family services.	37241

(3) "Owner" means a person who has an ownership interest in a	37242
provider in an amount designated by the department of job and	37243
family services in rules adopted under this section.	37244

(4) "Provider" means a person, institution, or entity that	37245
has a provider agreement with the department of job and family	37246
services pursuant to Title XIX of the "Social Security Act," 49	37247
State. 620 (1965), 42 U.S.C. 1396, as amended.	37248

(B)(1) Except as provided in division (B)(2) of this section,	37249
the department of job and family services may require that any	37250
provider, applicant to be a provider, employee or prospective	37251
employee of a provider, owner or prospective owner of a provider,	37252
officer or prospective officer of a provider, or board member or	37253
prospective board member of a provider submit to a criminal	37254
records check as a condition of obtaining a provider agreement,	37255
continuing to hold a provider agreement, being employed by a	37256
provider, having an ownership interest in a provider, or being an	37257
officer or board member of a provider. The department may	37258
designate the categories of persons who are subject to the	37259
criminal records check requirement. The department shall designate	37260
the times at which the criminal records checks must be conducted.	37261

(2) The section does not apply to providers, applicants to be	37262
providers, employees of a provider, or prospective employees of a	37263
provider who are subject to criminal records checks under section	37264
5111.033 or 5111.034 of the Revised Code.	37265

(C)(1) The department shall inform each provider or applicant	37266
to be a provider whether the provider or applicant is subject to a	37267
criminal records check requirement under division (B) of this	37268
section. For providers, the information shall be given at times	37269
designated in rules adopted under this section. For applicants to	37270
be providers, the information shall be given at the time of	37271
initial application. When the information is given, the department	37272
shall specify which of the provider's or applicant's employees or	37273
prospective employees, owners or prospective owners, officers or	37274
prospective officers, or board members or prospective board	37275
members are subject to the criminal records check requirement.	37276

(2) At times designated in rules adopted under this section,	37277
a provider that is subject to the criminal records check	37278
requirement shall inform each person specified by the department	37279
under division (C)(1) of this section that the person is required,	37280
as applicable, to submit to a criminal records check for final	37281
consideration for employment in a full-time, part-time, or	37282
temporary position; as a condition of continued employment; or as	37283
a condition of becoming or continuing to be an officer, board	37284
member or owner of a provider.	37285

(D)(1) If a provider or applicant to be a provider is subject	37286
to a criminal records check under this section, the department	37287
shall require the conduct of a criminal records check by the	37288
superintendent of the bureau of criminal identification and	37289
investigation. If a provider or applicant to be a provider for	37290
whom a criminal records check is required does not present proof	37291
of having been a resident of this state for the five-year period	37292
immediately prior to the date the criminal records check is	37293
requested or provide evidence that within that five-year period	37294
the superintendent has requested information about the individual	37295
from the federal bureau of investigation in a criminal records	37296
check, the department shall require the provider or applicant to	37297
request that the superintendent obtain information from the	37298
federal bureau of investigation as part of the criminal records	37299
check of the provider or applicant. Even if a provider or	37300
applicant for whom a criminal records check request is required	37301
presents proof of having been a resident of this state for the	37302
five-year period, the department may require that the provider or	37303
applicant request that the superintendent obtain information from	37304
the federal bureau of investigation and include it in the criminal	37305
records check of the provider or applicant.	37306

(2) A provider shall require the conduct of a criminal	37307
records check by the superintendent with respect to each of the	37308
persons specified by the department under division (C)(1) of this	37309
section. If the person for whom a criminal records check is	37310
required does not present proof of having been a resident of this	37311
state for the five-year period immediately prior to the date the	37312
criminal records check is requested or provide evidence that	37313
within that five-year period the superintendent of the bureau of	37314
criminal identification and investigation has requested	37315
information about the individual from the federal bureau of	37316
investigation in a criminal records check, the individual shall	37317
request that the superintendent obtain information from the	37318
federal bureau of investigation as part of the criminal records	37319
check of the individual. Even if an individual for whom a criminal	37320
records check request is required presents proof of having been a	37321
resident of this state for the five-year period, the department	37322
may require the provider to request that the superintendent obtain	37323
information from the federal bureau of investigation and include	37324
it in the criminal records check of the person.	37325

(E)(1) Criminal records checks required under this section	37326
for providers or applicants to be providers shall be obtained as	37327
follows:	37328

(a) The department shall provide each provider or applicant	37329
information about accessing and completing the form prescribed	37330
pursuant to division (C)(1) of section 109.572 of the Revised Code	37331
and the standard fingerprint impression sheet prescribed pursuant	37332
to division (C)(2) of that section.	37333

(b) The provider or applicant shall submit the required form	37334
and one complete set of fingerprint impressions directly to the	37335
superintendent for purposes of conducting the criminal records	37336
check using the applicable methods prescribed by division (C) of	37337
section 109.572 of the Revised Code. The applicant or provider	37338
shall pay all fees associated with obtaining the criminal records	37339
check.	37340

(c) The superintendent shall conduct the criminal records	37341
check in accordance with section 109.572 of the Revised Code. The	37342
provider or applicant shall instruct the superintendent to submit	37343
the report of the criminal records check directly to the director	37344
of job and family services.	37345

(2) Criminal records checks required under this section for	37346
persons specified by the department under division (C)(1) of this	37347
section shall be obtained as follows:	37348

(a) The provider shall give to each person subject to	37349
criminal records check requirement information about accessing and	37350
completing the form prescribed pursuant to division (C)(1) of	37351
section 109.572 of the Revised Code and the standard fingerprint	37352
impression sheet prescribed pursuant to division (C)(2) of that	37353
section.	37354

(b) The person shall submit the required form and one	37355
complete set of fingerprint impressions directly to the	37356
superintendent for purposes of conducting the criminal records	37357
check using the applicable methods prescribed by division (C) of	37358
section 109.572 of the Revised Code. The person shall pay all fees	37359
associated with obtaining the criminal records check.	37360

(c) The superintendent shall conduct the criminal records	37361
check in accordance with section 109.572 of the Revised Code. The	37362
person subject to the criminal records check shall instruct the	37363
superintendent to submit the report of the criminal records check	37364
directly to the provider. The department may require the provider	37365
to submit the report to the department.	37366

(F) If a provider or applicant to be a provider is given the	37367
information specified in division (E)(1)(a) of this section but	37368
fails to obtain a criminal records check, the department shall, as	37369
applicable, terminate the provider agreement or deny the	37370
application to be a provider.	37371

If a person is given the information specified in division	37372
(E)(2)(a) of this section but fails to obtain a criminal records	37373
check, the provider shall not, as applicable, permit the person to	37374
be an employee, owner, officer, or board member of the provider.	37375

(G) Except as provided in rules adopted under division (J) of	37376
this section, the department shall terminate the provider	37377
agreement of a provider or the department shall not issue a	37378
provider agreement to an applicant if the provider or applicant is	37379
subject to a criminal records check under this section and the	37380
provider or applicant has been convicted of, has pleaded guilty	37381
to, or has been found eligible for intervention in lieu of	37382
conviction for any of the following:	37383

(1) A violation of section 2903.01, 2903.02, 2903.03,	37384
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21,	37385
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02,	37386
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09,	37387
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32,	37388
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12,	37389
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31,	37390
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,	37391
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,	37392
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04,	37393
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or	37394
3716.11 of the Revised Code, felonious sexual penetration in	37395
violation of former section 2907.12 of the Revised Code, a	37396
violation of section 2905.04 of the Revised Code as it existed	37397
prior to July 1, 1996, a violation of section 2919.23 of the	37398
Revised Code that would have been a violation of section 2905.04	37399
of the Revised Code as it existed prior to July 1, 1996, had the	37400
violation been committed prior to that date;	37401

(2) An existing or former law of this state, any other state,	37402
or the United States that is substantially equivalent to any of	37403
the offenses listed in division (D)(1) of this section.	37404

(H)(1)(a) Except as provided in rules adopted under division	37405
(J) of this section and subject to division (H)(2) of this	37406
section, no provider shall permit a person to be an employee,	37407
owner, officer, or board member of the provider if the person is	37408
subject to a criminal records check under this section and the	37409
person has been convicted of, has pleaded guilty to, or has been	37410
found eligible for intervention in lieu of conviction for any of	37411
the offenses specified in division (G)(1) or (2) of this section.	37412

(b) No provider shall employ a person who has been excluded	37413
from participating in the medicaid program, the medicare program	37414
operated pursuant to Title XVIII of the "Social Security Act," or	37415
any other federal health care program.	37416

(2)(a) A provider may employ conditionally a person for whom	37417
a criminal records check is required under this section prior to	37418
obtaining the results of a criminal records check regarding the	37419
person, but only if the person submits a request for a criminal	37420
records check not later than five business days after the	37421
individual begins conditional employment.	37422

(b) A provider that employs a person conditionally under	37423
authority of division (H)(2)(a) of this section shall terminate	37424
the person's employment if the results of the criminal records	37425
check request are not obtained within the period ending sixty days	37426
after the date the request is made. Regardless of when the results	37427
of the criminal records check are obtained, if the results	37428
indicate that the individual has been convicted of, has pleaded	37429
guilty to, or has been found eligible for intervention in lieu of	37430
conviction for any of the offenses specified in division (G)(1) or	37431
(2) of this section, the provider shall terminate the person's	37432
employment unless the provider chooses to employ the individual	37433
pursuant to division (J) of this section.	37434

(I) The report of a criminal records check conducted pursuant	37435
to this section is not a public record for the purposes of section	37436
149.43 of the Revised Code and shall not be made available to any	37437
person other than the following:	37438

(1) The person who is the subject of the criminal records	37439
check or the person's representative;	37440

(2) The director of job and family services and the staff of	37441
the department in the administration of the medicaid program;	37442

(3) A court, hearing officer, or other necessary individual	37443
involved in a case dealing with the denial or termination of a	37444
provider agreement;	37445

(4) A court, hearing officer, or other necessary individual	37446
involved in a case dealing with a person's denial of employment,	37447
termination of employment, or employment or unemployment benefits.	37448

(J) The department may adopt rules in accordance with Chapter	37449
119. of the Revised Code to implement this section. The rules may	37450
specify circumstances under which the department may continue a	37451
provider agreement or issue a provider agreement to an applicant	37452
when the provider or applicant has been convicted of, has pleaded	37453
guilty to, or has been found eligible for intervention in lieu of	37454
conviction for any of the offenses specified in division (G)(1) or	37455
(2) of this section. The rules may also specify circumstances	37456
under which a provider may permit a person to be an employee,	37457
owner, officer, or board member of the provider, when the person	37458
has been convicted of, has pleaded guilty to, or has been found	37459
eligible for intervention in lieu of conviction for any of the	37460
offenses specified in division (G)(1) or (2) of this section.	37461

Sec. 5111.95.        Sec. 5111.033.  (A) As used in this section:

37462

(1) "Applicant" means a person who is under final	37463
consideration for employment or, after the effective date of this	37464
sectionSeptember 26, 2003, an existing employee with a waiver	37465
agency in a full-time, part-time, or temporary position that	37466
involves providing home and community-based waiver services to a	37467
person with disabilities. "Applicant" also means an existing	37468
employee with a waiver agency in a full-time, part-time, or	37469
temporary position that involves providing home and	37470
community-based waiver services to a person with disabilities	37471
after the effective date of this sectionSeptember 26, 2003.	37472

(2) "Criminal records check" has the same meaning as in	37473
section 109.572 of the Revised Code.	37474

(3) "Waiver agency" means a person or government entity that	37475
is not certified under the medicare program and is accredited by	37476
the community health accreditation program or the joint commission	37477
on accreditation of health care organizations or a company that	37478
provides home and community-based waiver services to persons with	37479
disabilities through department of job and family services	37480
administered home and community-based waiver programs.	37481

(4) "Home and community-based waiver services" means services	37482
furnished under the provision of 42 C.F.R. 441, subpart G, that	37483
permit individuals to live in a home setting rather than a nursing	37484
facility or hospital. Home and community-based waiver services are	37485
approved by the centers for medicare and medicaid for specific	37486
populations and are not otherwise available under the medicaid	37487
state plan.	37488

(B)(1) The chief administrator of a waiver agency shall	37489
require each applicant to request that the superintendent of the	37490
bureau of criminal identification and investigation conduct a	37491
criminal records check with respect to eachthe applicant. If an	37492
applicant for whom a criminal records check request is required	37493
under this division does not present proof of having been a	37494
resident of this state for the five-year period immediately prior	37495
to the date the criminal records check is requested or provide	37496
evidence that within that five-year period the superintendent has	37497
requested information about the applicant from the federal bureau	37498
of investigation in a criminal records check, the chief	37499
administrator shall require the applicant to request that the	37500
superintendent obtain information from the federal bureau of	37501
investigation as part of the criminal records check of the	37502
applicant. Even if an applicant for whom a criminal records check	37503
request is required under this division presents proof of having	37504
been a resident of this state for the five-year period, the chief	37505
administrator may require the applicant to request that the	37506
superintendent include information from the federal bureau of	37507
investigation in the criminal records check.	37508

(2) A person required by division (B)(1) of this section to	37509
request a criminal records checkThe chief administrator shall do	37510
both ofprovide the following:	37511

(a) Provide to each applicant for whom a criminal records	37512
check request is required under division (B)(1) of this section a	37513
copy of:	37514

(a) Information about accessing, completing, and forwarding	37515
to the superintendent of the bureau of criminal identification and	37516
investigation the form prescribed pursuant to division (C)(1) of	37517
section 109.572 of the Revised Code and athe standard fingerprint	37518
impression sheet prescribed pursuant to division (C)(2) of that	37519
section, and obtain the completed form and impression sheet from	37520
the applicant;	37521

(b) Forward the completed form and impression sheet to the	37522
superintendent of the bureau of criminal identification and	37523
investigationWritten notification that the applicant is to	37524
instruct the superintendent to submit the completed report of the	37525
criminal records check directly to the chief administrator.	37526

(3) An applicant provided the form and fingerprint impression	37527
sheet under division (B)(2)(a) of this section who fails to	37528
complete the form or provide fingerprint impressionsgiven	37529
information and notification under divisions (B)(2)(a) and (b) of	37530
this section who fails to access, complete, and forward to the	37531
superintendent the form or the standard fingerprint impression	37532
sheet, or who fails to instruct the superintendent to submit the	37533
completed report of the criminal records check directly to the	37534
chief administrator, shall not be employed in any position in a	37535
waiver agency for which a criminal records check is required by	37536
this section.	37537

(C)(1) Except as provided in rules adopted by the department	37538
of job and family services in accordance with division (F) of this	37539
section and subject to division (C)(2) of this section, no waiver	37540
agency shall employ a person in a position that involves providing	37541
home and community-based waiver services to persons with	37542
disabilities if the person has been convicted of or, has pleaded	37543
guilty to, or has been found eligible for intervention in lieu of	37544
conviction for any of the following:	37545

(a) A violation of section 2903.01, 2903.02, 2903.03,	37546
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21,	37547
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02,	37548
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09,	37549
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32,	37550
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12,	37551
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31,	37552
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,	37553
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,	37554
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04,	37555
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or	37556
3716.11 of the Revised Code, felonious sexual penetration in	37557
violation of former section 2907.12 of the Revised Code, a	37558
violation of section 2905.04 of the Revised Code as it existed	37559
prior to July 1, 1996, a violation of section 2919.23 of the	37560
Revised Code that would have been a violation of section 2905.04	37561
of the Revised Code as it existed prior to July 1, 1996, had the	37562
violation been committed prior to that date;	37563

(b) An existing or former law of this state, any other state,	37564
or the United States that is substantially equivalent to any of	37565
the offenses listed in division (C)(1)(a) of this section.	37566

(2)(a) A waiver agency may employ conditionally an applicant	37567
for whom a criminal records check request is required under	37568
division (B) of this section prior to obtaining the results of a	37569
criminal records check regarding the individual, provided that the	37570
agency shall require the individual to request a criminal records	37571
check regarding the individual in accordance with division (B)(1)	37572
of this section not later than five business days after the	37573
individual begins conditional employment.	37574

(b) A waiver agency that employs an individual conditionally	37575
under authority of division (C)(2)(a) of this section shall	37576
terminate the individual's employment if the results of the	37577
criminal records check request under division (B) of this section,	37578
other than the results of any request for information from the	37579
federal bureau of investigation, are not obtained within the	37580
period ending sixty days after the date the request is made.	37581
Regardless of when the results of the criminal records check are	37582
obtained, if the results indicate that the individual has been	37583
convicted of or, has pleaded guilty to, or has been found eligible	37584
for intervention in lieu of conviction for any of the offenses	37585
listed or described in division (C)(1) of this section, the agency	37586
shall terminate the individual's employment unless the agency	37587
chooses to employ the individual pursuant to division (F) of this	37588
section.	37589

(D)(1) Each waiver agency shall pay to the bureau of criminal	37590
identification and investigation theThe fee prescribed pursuant	37591
to division (C)(3) of section 109.572 of the Revised Code for each	37592
criminal records check conducted pursuant to a request made under	37593
division (B) of this section shall be paid to the bureau of	37594
criminal identification and investigation by the applicant or the	37595
waiver agency.	37596

(2) AIf a waiver agency pays the fee, it may charge anthe	37597
applicant a fee not exceeding the amount the agency pays under	37598
division (D)(1) of this section. An agency may collect a fee only	37599
if the agency notifies the person at the time of initial	37600
application for employment of the amount of the fee and that,	37601
unless the fee is paid, the person will not be considered for	37602
employment.	37603

(E) The report of any criminal records check conducted	37604
pursuant to a request made under this section is not a public	37605
record for the purposes of section 149.43 of the Revised Code and	37606
shall not be made available to any person other than the	37607
following:	37608

(1) The individual who is the subject of the criminal records	37609
check or the individual's representative;	37610

(2) The chief administrator of the agency requesting the	37611
criminal records check or the administrator's representative;	37612

(3) An administrator at the department;

37613

(4) A court, hearing officer, or other necessary individual	37614
involved in a case dealing with a denial of employment of the	37615
applicant or dealing with employment or unemployment benefits of	37616
the applicant.	37617

(F) The department shall adopt rules in accordance with	37618
Chapter 119. of the Revised Code to implement this section. The	37619
rules shall specify circumstances under which a waiver agency may	37620
employ a person who has been convicted of or, has pleaded guilty	37621
to, or has been found eligible for intervention in lieu of	37622
conviction for an offense listed or described in division (C)(1)	37623
of this section but meets personal character standards set by the	37624
department.	37625

(G) The chief administrator of a waiver agency shall inform	37626
each person, at the time of initial application for a position	37627
that involves providing home and community-based waiver services	37628
to a person with a disability, that the person is required to	37629
provide a set of fingerprint impressions and that a criminal	37630
records check is required to be conducted if the person comes	37631
under final consideration for employment.	37632

(H)(1) A person who, on the effective date of this section	37633
September 26, 2003, is an employee of a waiver agency in a	37634
full-time, part-time, or temporary position that involves	37635
providing home and community-based waiver services to a person	37636
with disabilities shall comply with this section within sixty days	37637
after the effective date of this sectionSeptember 26, 2003,	37638
unless division (H)(2) of this section applies.	37639

(2) This section shall not apply to a person to whom all of	37640
the following apply:	37641

(a) On the effective date of this sectionSeptember 26, 2003,	37642
the person is an employee of a waiver agency in a full-time,	37643
part-time, or temporary position that involves providing home and	37644
community-based waiver services to a person with disabilities.	37645

(b) The person previously had been the subject of a criminal	37646
background check relating to that position;	37647

(c) The person has been continuously employed in that	37648
position since that criminal background check had been conducted.	37649

Sec. 5111.96.        Sec. 5111.034.  (A) As used in this section:

37650

(1) "Anniversary date" means the later of the effective date	37651
of the provider agreement relating to the independent provider or	37652
sixty days after the effective date of this sectionSeptember 26,	37653
2003.	37654

(2) "Criminal records check" has the same meaning as in	37655
section 109.572 of the Revised Code.	37656

(3) "The departmentDepartment" meansincludes a designee of	37657
the department of job and family services or its designee.	37658

(4) "Independent provider" means a person who is submitting	37659
an application for a provider agreement or who has a provider	37660
agreement as an independent provider in a department of job and	37661
family services administered home and community-based services	37662
program providing home and community-based waiver services to	37663
consumers with disabilities.	37664

(5) "Home and community-based waiver services" has the same	37665
meaning as in section 5111.955111.033 of the Revised Code.	37666

(B)(1) The department of job and family services shall inform	37667
each independent provider, at the time of initial application for	37668
a provider agreement that involves providing home and	37669
community-based waiver services to consumers with disabilities,	37670
that the independent provider is required to provide a set of	37671
fingerprint impressions and that a criminal records check is	37672
required to be conducted if the person is to become an independent	37673
provider in a department administered home and community-based	37674
waiver program.	37675

(2) Beginning on the effective date of this sectionSeptember	37676
26, 2003, the department shall inform each enrolled medicaid	37677
independent provider on or before time of the anniversary date of	37678
the provider agreement that involves providing home and	37679
community-based waiver services to consumers with disabilities	37680
that the independent provider is required to provide a set of	37681
fingerprint impressions and that a criminal records check is	37682
required to be conducted.	37683

(C)(1) The department shall require the independent provider	37684
to complete a criminal records check prior to entering into a	37685
provider agreement with the independent provider and at least	37686
annually thereafter. If an independent provider for whom a	37687
criminal records check is required under this division does not	37688
present proof of having been a resident of this state for the	37689
five-year period immediately prior to the date the criminal	37690
records check is requested or provide evidence that within that	37691
five-year period the superintendent of the bureau of criminal	37692
identification and investigation has requested information about	37693
the applicantindependent provider from the federal bureau of	37694
investigation in a criminal records check, the department shall	37695
request that the independent provider obtain through the	37696
superintendent a criminal records request from the federal bureau	37697
of investigation as part of the criminal records check of the	37698
independent provider. Even if an independent provider for whom a	37699
criminal records check request is required under this division	37700
presents proof of having been a resident of this state for the	37701
five-year period, the department may request that the independent	37702
provider obtain information through the superintendent from the	37703
federal bureau of investigation in the criminal records check.	37704

(2) The department shall do both ofprovide the following:

37705

(a) Provide information to each independent provider for whom	37706
a criminal records check request is required under division (C)(1)	37707
of this section about requesting a copy of:	37708

(a) Information about accessing, completing, and forwarding	37709
to the superintendent of the bureau of criminal identification and	37710
investigation the form prescribed pursuant to division (C)(1) of	37711
section 109.572 of the Revised Code and athe standard fingerprint	37712
impression sheet prescribed pursuant to division (C)(2) of that	37713
section, and obtain the completed form and impression sheet and	37714
fee from the independent provider;	37715

(b) Forward the completed form, impression sheet, and fee to	37716
the superintendent of the bureau of criminal identification and	37717
investigationWritten notification that the independent provider	37718
is to instruct the superintendent to submit the completed report	37719
of the criminal records check directly to the department.	37720

(3) An independent provider given information about obtaining	37721
the form and fingerprint impression sheet under division (C)(2)(a)	37722
of this section who fails to complete the form or provide	37723
fingerprint impressionsand notification under divisions (C)(2)(a)	37724
and (b) of this section who fails to access, complete, and forward	37725
to the superintendent the form or the standard fingerprint	37726
impression sheet, or who fails to instruct the superintendent to	37727
submit the completed report of the criminal records check directly	37728
to the department, shall not be approved as an independent	37729
provider.	37730

(D) Except as provided in rules adopted by the department in	37731
accordance with division (G) of this section, the department shall	37732
not issue a new provider agreement to, and shall terminate an	37733
existing provider agreement of, an independent provider if the	37734
person has been convicted of or, has pleaded guilty to, or has	37735
been found eligible for intervention in lieu of conviction for any	37736
of the following:	37737

(1) A violation of section 2903.01, 2903.02, 2903.03,	37738
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21,	37739
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02,	37740
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09,	37741
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32,	37742
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12,	37743
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31,	37744
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,	37745
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,	37746
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04,	37747
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or	37748
3716.11 of the Revised Code, felonious sexual penetration in	37749
violation of former section 2907.12 of the Revised Code, a	37750
violation of section 2905.04 of the Revised Code as it existed	37751
prior to July 1, 1996, a violation of section 2919.23 of the	37752
Revised Code that would have been a violation of section 2905.04	37753
of the Revised Code as it existed prior to July 1, 1996, had the	37754
violation been committed prior to that date;	37755

(2) An existing or former law of this state, any other state,	37756
or the United States that is substantially equivalent to any of	37757
the offenses listed in division (D)(1) of this section.	37758

(E) Each independent provider shall pay to the bureau of	37759
criminal identification and investigation the fee prescribed	37760
pursuant to division (C)(3) of section 109.572 of the Revised Code	37761
for each criminal records check conducted pursuant to a request	37762
made under division (C) of this section.	37763

(F) The report of any criminal records check conducted by the	37764
bureau of criminal identification and investigation in accordance	37765
with section 109.572 of the Revised Code and pursuant to a request	37766
made under division (C) of this section is not a public record for	37767
the purposes of section 149.43 of the Revised Code and shall not	37768
be made available to any person other than the following:	37769

(1) The person who is the subject of the criminal records	37770
check or the person's representative;	37771

(2) TheAn administrator at the department who is requesting	37772
the criminal records check or the administrator's representative;	37773

(3) AnyA court, hearing officer, or other necessary	37774
individual involved in a case dealing with a denial or termination	37775
of a provider agreement related to the criminal records check.	37776

(G) The department shall adopt rules in accordance with	37777
Chapter 119. of the Revised Code to implement this section. The	37778
rules shall specify circumstances under which the department may	37779
either issue a provider agreement to an independent provider who	37780
or allow an independent provider to maintain an existing provider	37781
agreement when the independent provider has been convicted of or,	37782
has pleaded guilty to, or has been found eligible for intervention	37783
in lieu of conviction for an offense listed or described in	37784
division (C)(1) of this section but meets personal character	37785
standards set by the department.	37786

Sec. 5111.06.  (A)(1) As used in this section and in sections	37787
5111.061 and 5111.062 of the Revised Code:	37788

(a) "Provider" means any person, institution, or entity that	37789
furnishes medicaid services under a provider agreement with the	37790
department of job and family services pursuant to Title XIX of the	37791
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as	37792
amended.	37793

(b) "Party" has the same meaning as in division (G) of	37794
section 119.01 of the Revised Code.	37795

(c) "Adjudication" has the same meaning as in division (D) of	37796
section 119.01 of the Revised Code.	37797

(2) This section does not apply to any action taken by the	37798
department of job and family services under sections 5111.35 to	37799
5111.62 of the Revised Code.	37800

(B) Except as provided in division (D) of this section and	37801
section 5111.914 of the Revised Code, the department shall do	37802
either of the following by issuing an order pursuant to an	37803
adjudication conducted in accordance with Chapter 119. of the	37804
Revised Code:	37805

(1) Enter into or refuse to enter into a provider agreement	37806
with a provider, or suspend, terminate, renew, or refuse to renew	37807
an existing provider agreement with a provider;	37808

(2) Take any action based upon a final fiscal audit of a	37809
provider.	37810

(C) Any party who is adversely affected by the issuance of an	37811
adjudication order under division (B) of this section may appeal	37812
to the court of common pleas of Franklin county in accordance with	37813
section 119.12 of the Revised Code.	37814

(D) The department is not required to comply with division	37815
(B)(1) of this section whenever any of the following occur:	37816

(1) The terms of a provider agreement require the provider to	37817
havehold a license, permit, or certificate or maintain a	37818
certification issued by an official, board, commission,	37819
department, division, bureau, or other agency of state or federal	37820
government other than the department of job and family services,	37821
and the license, permit, or certificate, or certification has been	37822
denied or, revoked, not renewed, suspended, or otherwise limited.	37823

(2) The terms of a provider agreement require the provider to	37824
hold a license, permit, or certificate or maintain certification	37825
issued by an official, board, commission, department, division,	37826
bureau, or other agency of state or federal government other than	37827
the department of job and family services, and the provider has	37828
not obtained the license, permit, certificate, or certification.	37829

(3) The provider agreement is denied, terminated, or not	37830
renewed due to the termination, refusal to renew, or denial of a	37831
license, permit, certificate, or certification by an official,	37832
board, commission, department, division, bureau, or other agency	37833
of this state other than the department of job and family	37834
services, notwithstanding the fact that the provider may hold a	37835
license, permit, certificate, or certification from an official,	37836
board, commission, department, division, bureau, or other agency	37837
of another state.	37838

(2)(4) The provider agreement is denied, terminated, or not	37839
renewed pursuant to division (C) or (E)(F) of section 5111.03 of	37840
the Revised Code;	37841

(3)(5) The provider agreement is denied, terminated, or not	37842
renewed due to the provider's termination, suspension, or	37843
exclusion from the medicare program established under Title XVIII	37844
of the "Social Security Act," and the termination, suspension, or	37845
exclusion is binding on the provider's participation in the	37846
medicaid program;	37847

(4)(6) The provider agreement is denied, terminated, or not	37848
renewed due to the provider's pleading guilty to or being	37849
convicted of a criminal activity materially related to either the	37850
medicare or medicaid program;	37851

(5)(7) The provider agreement is denied, terminated, or	37852
suspended as a result of action by the United States department of	37853
health and human services and that action is binding on the	37854
provider's participation in the medicaid program;	37855

(6)(8) The provider agreement is suspended pursuant to	37856
section 5111.031 of the Revised Code pending indictment of the	37857
provider.	37858

(9) The provider agreement is denied, terminated, or not	37859
renewed because the provider has been convicted of one of the	37860
offenses that caused the provider agreement to be suspended	37861
pursuant to section 5111.031 of the Revised Code.	37862

(10) The provider agreement is converted under section	37863
5111.028 of the Revised Code from a provider agreement without a	37864
time limit to a provider agreement that is time-limited.	37865

(11) A time-limited provider agreement is terminated or an	37866
application for re-enrollment is denied because the provider has	37867
failed to apply for re-enrollment within the time or in the manner	37868
specified for re-enrollment pursuant to section 5111.028 of the	37869
Revised Code.	37870

(12) The provider agreement is terminated or not renewed	37871
because the provider has not billed or otherwise submitted a	37872
medicaid claim to the department for two years or longer, and the	37873
department has determined that the provider has moved from the	37874
address on record with the department without leaving an active	37875
forwarding address with the department.	37876

In the case of a provider described in division (D)(6)(12) of	37877
this section, the department may terminate or not renew the	37878
provider agreement by sending a notice explaining the department's	37879
proposed action to the address on record with the department. The	37880
notice may be sent by regular mail.	37881

(E) The department may withhold payments for services	37882
rendered by a medicaid provider under the medical assistance	37883
program during the pendency of proceedings initiated under	37884
division (B)(1) of this section. If the proceedings are initiated	37885
under division (B)(2) of this section, the department may withhold	37886
payments only to the extent that they equal amounts determined in	37887
a final fiscal audit as being due the state. This division does	37888
not apply if the department fails to comply with section 119.07 of	37889
the Revised Code, requests a continuance of the hearing, or does	37890
not issue a decision within thirty days after the hearing is	37891
completed. This division does not apply to nursing facilities and	37892
intermediate care facilities for the mentally retarded as defined	37893
in section 5111.20 of the Revised Code.	37894

Sec. 5111.10.  The director of job and family services may	37895
conduct reviews of the medicaid program. The reviews may include	37896
physical inspections of records and sites where medicaid-funded	37897
services are provided and interviews of providers and recipients	37898
of the services. If the director determines pursuant to a review	37899
that a person or government entity has violated a rule governing	37900
the medicaid program, the director may establish a corrective	37901
action plan for the violator and impose fiscal, administrative, or	37902
both types of sanctions on the violator in accordance with rules	37903
governing the medicaid program. Such action to be taken against a	37904
responsible entity, as defined in section 5101.24 of the Revised	37905
Code, shall be taken in accordance with that section.	37906

Sec. 5111.101. (A) As used in this section, "federal;

37907

"Agent" and "contractor" include any agent, contractor,	37908
subcontractor, or other person who, on behalf of an entity,	37909
furnishes or authorizes the furnishing of health care items or	37910
services under the medicaid program, performs billing or coding	37911
functions, or is involved in monitoring of health care that an	37912
entity provides.	37913

"Employee" includes any officer or employee (including	37914
management employees) of an entity.	37915

"Entity" includes a governmental entity or an organization,	37916
unit, corporation, partnership, or other business arrangement,	37917
including any medicaid managed care organization, irrespective of	37918
the form of business structure or arrangement by which it exists,	37919
whether for-profit or not-for-profit. "Entity" does not include a	37920
government entity that administers one or more components of the	37921
medicaid program, unless the government entity receives medicaid	37922
payments for providing items or services.	37923

"Federal health care programs" has the same meaning as in 42	37924
U.S.C. 1320a-7b(f).	37925

(B) Each person and government entity that receives or makes	37926
medicaidin a federal fiscal year payments in a calendar year that	37927
totalunder the medicaid program, either through the state	37928
medicaid plan or a federal medicaid waiver, totaling at least five	37929
million dollars or more shall, as a condition of receiving such	37930
payments, do all of the following not later than the first day of	37931
the succeeding calendar year:	37932

(1) Provide each of the person or government entity's	37933
Establish written policies for all of the entity's employees	37934
(including management employees), contractors, and agents,that	37935
provide detailed, written information about the role of all of the	37936
following in preventing and detecting fraud, waste, and abuse in	37937
federal health care programs:	37938

(a) Federal false claims law under 31 U.S.C. 3729 to 3733;

37939

(b) Federal administrative remedies for false claims and	37940
statements available under 31 U.S.C. 3801 to 3812;	37941

(c) Sections 124.341, 2913.40, 2913.401, and 2921.13 of the	37942
Revised Code and any other state laws pertaining to civil or	37943
criminal penalties for false claims and statements;	37944

(d) Whistleblower protections under the laws specified in	37945
divisions (B)(1)(a) to (c) of this section.	37946

(2) Include inas part of the written information provided	37947
underpolicies required by division (B)(1) of this section	37948
detailed information aboutprovisions regarding the person or	37949
government entity's policies and procedures for preventing and	37950
detecting fraud, waste, and abuse.	37951

(3) IncludeDisseminate the written policies required by	37952
division (B)(1) of this section to each of the entity's employees,	37953
contractors, and agents in a paper or electronic form and make the	37954
written policies readily available to the entity's employees,	37955
contractors, and agents.	37956

(4) If the entity has an employee handbook, include in the	37957
person or government entity's employee handbook a specific	37958
discussion of the laws specified in division (B)(1) of this	37959
section, the rights of employees to be protected as	37960
whistleblowers, and the person or government entity's policies and	37961
procedures for preventing and detecting fraud, waste, and abuse.	37962

(5) Require the entity's contractors and agents to adopt the	37963
entity's written policies required by division (B)(1) of this	37964
section.	37965

(C) An entity that furnishes items or services at multiple	37966
locations or under multiple contractual or other payment	37967
arrangements is required to comply with division (B) of this	37968
section if the entity receives in a federal fiscal year medicaid	37969
payments totaling in the aggregate at least five million dollars.	37970
This applies regardless of whether the entity submits claims for	37971
medicaid payments using multiple provider identification or tax	37972
identification numbers.	37973

Sec. 5111.102. As used in this section, "state agency" has	37974
the same meaning as in section 9.23 of the Revised Code.	37975

No provision of Title LI of the Revised Code or any other law	37976
of this state that incorporates any provision of federal Medicaid	37977
law, Title XIX of the Social Security Act, 79 Stat. 286 (1965), 42	37978
U.S.C. 1396, or that may be construed as requiring the state, a	37979
state agency, or any state official or employee to comply with	37980
that federal provision, shall be construed as creating a cause of	37981
action to enforce such state law beyond the causes of action	37982
available under federal law for enforcement of the provision of	37983
federal law.	37984

Sec. 5111.163.  (A) As used in this section:

37985

(1) "Emergency services" has the same meaning as in section	37986
1932(b)(2) of the "Social Security Act," 79 Stat. 286 (1965), 42	37987
U.S.C. 1396u-2(b)(2), as amended.	37988

(2) "Medicaid managed care organization" has the same meaning	37989
as in section 5111.162 of the Revised Code.	37990

(3) "Provider" has the same meaning as in section 5111.06 of	37991
the Revised Codemeans any person, institution, or entity that	37992
furnishes emergency services to a medicaid recipient enrolled in a	37993
medicaid managed care organization, regardless of whether the	37994
person, institution, or entity has a provider agreement with the	37995
department of job and family services pursuant to Title XIX of the	37996
Social Security Act.	37997

(B) When a participant in the care management system	37998
established under section 5111.16 of the Revised Code is enrolled	37999
in a medicaid managed care organization and receives emergency	38000
services on or after January 1, 2007, from a provider that is not	38001
under contract with the organization, the provider shall accept	38002
from the organization, as payment in full, not more than the	38003
amounts (less any payments for indirect costs of medical education	38004
and direct costs of graduate medical education) that the provider	38005
could collect if the participant received medicaid other than	38006
through enrollment in a managed care organization.	38007

Sec. 5111.17.  (A) The department of job and family services	38008
may enter into contracts with managed care organizations,	38009
including health insuring corporations, under which the	38010
organizations are authorized to provide, or arrange for the	38011
provision of, health care services to medical assistance	38012
recipients who are required or permitted to obtain health care	38013
services through managed care organizations as part of the care	38014
management system established under section 5111.16 of the	38015
Revised Code.	38016

(B) The department shall develop and implement a financial	38017
incentive program to improve and reward positive health outcomes	38018
through the managed care organization contracts entered into under	38019
this section. In developing and implementing the program, the	38020
department may take into consideration the recommendations	38021
regarding the program made by the medicaid care management working	38022
group created under section 5111.161 of the Revised Code.	38023

(C) The director of job and family services may adopt rules	38024
in accordance with Chapter 119. of the Revised Code to implement	38025
this section.	38026

Sec. 5111.20.  As used in sections 5111.20 to 5111.34 of the	38027
Revised Code:	38028

(A) "Allowable costs" are those costs determined by the	38029
department of job and family services to be reasonable and do not	38030
include fines paid under sections 5111.35 to 5111.61 and section	38031
5111.99 of the Revised Code.	38032

(B) "Ancillary and support costs" means all reasonable costs	38033
incurred by a nursing facility other than direct care costs or	38034
capital costs. "Ancillary and support costs" includes, but is not	38035
limited to, costs of activities, social services, pharmacy	38036
consultants, habilitation supervisors, qualified mental	38037
retardation professionals, program directors, medical and	38038
habilitation records, program supplies, incontinence supplies,	38039
food, enterals, dietary supplies and personnel, laundry,	38040
housekeeping, security, administration, medical equipment,	38041
utilities, liability insurance, bookkeeping, purchasing	38042
department, human resources, communications, travel, dues, license	38043
fees, subscriptions, home office costs not otherwise allocated,	38044
legal services, accounting services, minor equipment, maintenance	38045
and repairs, help-wanted advertising, informational advertising,	38046
start-up costs, organizational expenses, other interest, property	38047
insurance, employee training and staff development, employee	38048
benefits, payroll taxes, and workers' compensation premiums or	38049
costs for self-insurance claims and related costs as specified in	38050
rules adopted by the director of job and family services under	38051
section 5111.02 of the Revised Code, for personnel listed in this	38052
division. "Ancillary and support costs" also means the cost of	38053
equipment, including vehicles, acquired by operating lease	38054
executed before December 1, 1992, if the costs are reported as	38055
administrative and general costs on the facility's cost report for	38056
the cost reporting period ending December 31, 1992.	38057

(C) "Capital costs" means costs of ownership and, in the case	38058
of an intermediate care facility for the mentally retarded, costs	38059
of nonextensive renovation.	38060

(1) "Cost of ownership" means the actual expense incurred for	38061
all of the following:	38062

(a) Depreciation and interest on any capital assets that cost	38063
five hundred dollars or more per item, including the following:	38064

(i) Buildings;

38065

(ii) Building improvements that are not approved as	38066
nonextensive renovations under section 5111.251 of the Revised	38067
Code;	38068

(iii) Except as provided in division (B) of this section,	38069
equipment;	38070

(iv) In the case of an intermediate care facility for the	38071
mentally retarded, extensive renovations;	38072

(v) Transportation equipment.

38073

(b) Amortization and interest on land improvements and	38074
leasehold improvements;	38075

(c) Amortization of financing costs;

38076

(d) Except as provided in division (K) of this section, lease	38077
and rent of land, building, and equipment.	38078

The costs of capital assets of less than five hundred dollars	38079
per item may be considered capital costs in accordance with a	38080
provider's practice.	38081

(2) "Costs of nonextensive renovation" means the actual	38082
expense incurred by an intermediate care facility for the mentally	38083
retarded for depreciation or amortization and interest on	38084
renovations that are not extensive renovations.	38085

(D) "Capital lease" and "operating lease" shall be construed	38086
in accordance with generally accepted accounting principles.	38087

(E) "Case-mix score" means the measure determined under	38088
section 5111.232 of the Revised Code of the relative direct-care	38089
resources needed to provide care and habilitation to a resident of	38090
a nursing facility or intermediate care facility for the mentally	38091
retarded.	38092

(F)(1) "Date of licensure," for a facility originally	38093
licensed as a nursing home under Chapter 3721. of the Revised	38094
Code, means the date specific beds were originally licensed as	38095
nursing home beds under that chapter, regardless of whether they	38096
were subsequently licensed as residential facility beds under	38097
section 5123.19 of the Revised Code. For a facility originally	38098
licensed as a residential facility under section 5123.19 of the	38099
Revised Code, "date of licensure" means the date specific beds	38100
were originally licensed as residential facility beds under that	38101
section.	38102

(1) If nursing home beds licensed under Chapter 3721. of the	38103
Revised Code or residential facility beds licensed under section	38104
5123.19 of the Revised Code were not required by law to be	38105
licensed when they were originally used to provide nursing home or	38106
residential facility services, "date of licensure" means the date	38107
the beds first were used to provide nursing home or residential	38108
facility services, regardless of the date the present provider	38109
obtained licensure.	38110

(2) If a facility adds nursing home beds or residential	38111
facility beds or extensively renovates all or part of the facility	38112
after its original date of licensure, it will have a different	38113
date of licensure for the additional beds or extensively renovated	38114
portion of the facility, unless the beds are added in a space that	38115
was constructed at the same time as the previously licensed beds	38116
but was not licensed under Chapter 3721. or section 5123.19 of the	38117
Revised Code at that time.	38118

(2) The definition of "date of licensure" in this section	38119
applies in determinations of the medicaid reimbursement rate for a	38120
nursing facility or intermediate care facility for the mentally	38121
retarded but does not apply in determinations of the franchise	38122
permit fee for a nursing facility or intermediate care facility	38123
for the mentally retarded.	38124

(G) "Desk-reviewed" means that costs as reported on a cost	38125
report submitted under section 5111.26 of the Revised Code have	38126
been subjected to a desk review under division (A) of section	38127
5111.27 of the Revised Code and preliminarily determined to be	38128
allowable costs.	38129

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

38130

(1)(a) Costs for registered nurses, licensed practical	38131
nurses, and nurse aides employed by the facility;	38132

(b) Costs for direct care staff, administrative nursing	38133
staff, medical directors, respiratory therapists, and except as	38134
provided in division (H)(2) of this section, other persons holding	38135
degrees qualifying them to provide therapy;	38136

(c) Costs of purchased nursing services;

38137

(d) Costs of quality assurance;

38138

(e) Costs of training and staff development, employee	38139
benefits, payroll taxes, and workers' compensation premiums or	38140
costs for self-insurance claims and related costs as specified in	38141
rules adopted by the director of job and family services in	38142
accordance with Chapter 119. of the Revised Code, for personnel	38143
listed in divisions (H)(1)(a), (b), and (d) of this section;	38144

(f) Costs of consulting and management fees related to direct	38145
care;	38146

(g) Allocated direct care home office costs.

38147

(2) In addition to the costs specified in division (H)(1) of	38148
this section, for nursing facilities only, direct care costs	38149
include costs of habilitation staff (other than habilitation	38150
supervisors), medical supplies, emergency oxygen, habilitation	38151
supplies, and universal precautions supplies.	38152

(3) In addition to the costs specified in division (H)(1) of	38153
this section, for intermediate care facilities for the mentally	38154
retarded only, direct care costs include both of the following:	38155

(a) Costs for physical therapists and physical therapy	38156
assistants, occupational therapists and occupational therapy	38157
assistants, speech therapists, audiologists, habilitation staff	38158
(including habilitation supervisors), qualified mental retardation	38159
professionals, program directors, social services staff,	38160
activities staff, off-site day programming, psychologists and	38161
psychology assistants, and social workers and counselors;	38162

(b) Costs of training and staff development, employee	38163
benefits, payroll taxes, and workers' compensation premiums or	38164
costs for self-insurance claims and related costs as specified in	38165
rules adopted under section 5111.02 of the Revised Code, for	38166
personnel listed in division (H)(3)(a) of this section.	38167

(4) Costs of other direct-care resources that are specified	38168
as direct care costs in rules adopted under section 5111.02 of the	38169
Revised Code.	38170

(I) "Fiscal year" means the fiscal year of this state, as	38171
specified in section 9.34 of the Revised Code.	38172

(J) "Franchise permit fee" means the following:

38173

(1) In the context of nursing facilities, the fee imposed by	38174
sections 3721.50 to 3721.58 of the Revised Code;	38175

(2) In the context of intermediate care facilities for the	38176
mentally retarded, the fee imposed by sections 5112.30 to 5112.39	38177
of the Revised Code.	38178

(K) "Indirect care costs" means all reasonable costs incurred	38179
by an intermediate care facility for the mentally retarded other	38180
than direct care costs, other protected costs, or capital costs.	38181
"Indirect care costs" includes but is not limited to costs of	38182
habilitation supplies, pharmacy consultants, medical and	38183
habilitation records, program supplies, incontinence supplies,	38184
food, enterals, dietary supplies and personnel, laundry,	38185
housekeeping, security, administration, liability insurance,	38186
bookkeeping, purchasing department, human resources,	38187
communications, travel, dues, license fees, subscriptions, home	38188
office costs not otherwise allocated, legal services, accounting	38189
services, minor equipment, maintenance and repairs, help-wanted	38190
advertising, informational advertising, start-up costs,	38191
organizational expenses, other interest, property insurance,	38192
employee training and staff development, employee benefits,	38193
payroll taxes, and workers' compensation premiums or costs for	38194
self-insurance claims and related costs as specified in rules	38195
adopted under section 5111.02 of the Revised Code, for personnel	38196
listed in this division. Notwithstanding division (C)(1) of this	38197
section, "indirect care costs" also means the cost of equipment,	38198
including vehicles, acquired by operating lease executed before	38199
December 1, 1992, if the costs are reported as administrative and	38200
general costs on the facility's cost report for the cost reporting	38201
period ending December 31, 1992.	38202

(L) "Inpatient days" means all days during which a resident,	38203
regardless of payment source, occupies a bed in a nursing facility	38204
or intermediate care facility for the mentally retarded that is	38205
included in the facility's certified capacity under Title XIX.	38206
Therapeutic or hospital leave days for which payment is made under	38207
section 5111.33 of the Revised Code are considered inpatient days	38208
proportionate to the percentage of the facility's per resident per	38209
day rate paid for those days.	38210

(M) "Intermediate care facility for the mentally retarded"	38211
means an intermediate care facility for the mentally retarded	38212
certified as in compliance with applicable standards for the	38213
medicaid program by the director of health in accordance with	38214
Title XIX.	38215

(N) "Maintenance and repair expenses" means, except as	38216
provided in division (BB)(2) of this section, expenditures that	38217
are necessary and proper to maintain an asset in a normally	38218
efficient working condition and that do not extend the useful life	38219
of the asset two years or more. "Maintenance and repair expenses"	38220
includes but is not limited to the cost of ordinary repairs such	38221
as painting and wallpapering.	38222

(O) "Medicaid days" means all days during which a resident	38223
who is a Medicaid recipient eligible for nursing facility services	38224
occupies a bed in a nursing facility that is included in the	38225
nursing facility's certified capacity under Title XIX. Therapeutic	38226
or hospital leave days for which payment is made under section	38227
5111.33 of the Revised Code are considered Medicaid days	38228
proportionate to the percentage of the nursing facility's per	38229
resident per day rate paid for those days.	38230

(P) "Nursing facility" means a facility, or a distinct part	38231
of a facility, that is certified as a nursing facility by the	38232
director of health in accordance with Title XIX and is not an	38233
intermediate care facility for the mentally retarded. "Nursing	38234
facility" includes a facility, or a distinct part of a facility,	38235
that is certified as a nursing facility by the director of health	38236
in accordance with Title XIX and is certified as a skilled nursing	38237
facility by the director in accordance with Title XVIII.	38238

(Q) "Operator" means the person or government entity	38239
responsible for the daily operating and management decisions for a	38240
nursing facility or intermediate care facility for the mentally	38241
retarded.	38242

(R) "Other protected costs" means costs incurred by an	38243
intermediate care facility for the mentally retarded for medical	38244
supplies; real estate, franchise, and property taxes; natural gas,	38245
fuel oil, water, electricity, sewage, and refuse and hazardous	38246
medical waste collection; allocated other protected home office	38247
costs; and any additional costs defined as other protected costs	38248
in rules adopted under section 5111.02 of the Revised Code.	38249

(S)(1) "Owner" means any person or government entity that has	38250
at least five per cent ownership or interest, either directly,	38251
indirectly, or in any combination, in any of the following	38252
regarding a nursing facility or intermediate care facility for the	38253
mentally retarded:	38254

(a) The land on which the facility is located;

38255

(b) The structure in which the facility is located;

38256

(c) Any mortgage, contract for deed, or other obligation	38257
secured in whole or in part by the land or structure on or in	38258
which the facility is located;	38259

(d) Any lease or sublease of the land or structure on or in	38260
which the facility is located.	38261

(2) "Owner" does not mean a holder of a debenture or bond	38262
related to the nursing facility or intermediate care facility for	38263
the mentally retarded and purchased at public issue or a regulated	38264
lender that has made a loan related to the facility unless the	38265
holder or lender operates the facility directly or through a	38266
subsidiary.	38267

(T) "Patient" includes "resident."

38268

(U) Except as provided in divisions (U)(1) and (2) of this	38269
section, "per diem" means a nursing facility's or intermediate	38270
care facility for the mentally retarded's actual, allowable costs	38271
in a given cost center in a cost reporting period, divided by the	38272
facility's inpatient days for that cost reporting period.	38273

(1) When calculating indirect care costs for the purpose of	38274
establishing rates under section 5111.241 of the Revised Code,	38275
"per diem" means an intermediate care facility for the mentally	38276
retarded's actual, allowable indirect care costs in a cost	38277
reporting period divided by the greater of the facility's	38278
inpatient days for that period or the number of inpatient days the	38279
facility would have had during that period if its occupancy rate	38280
had been eighty-five per cent.	38281

(2) When calculating capital costs for the purpose of	38282
establishing rates under section 5111.251 of the Revised Code,	38283
"per diem" means a facility's actual, allowable capital costs in a	38284
cost reporting period divided by the greater of the facility's	38285
inpatient days for that period or the number of inpatient days the	38286
facility would have had during that period if its occupancy rate	38287
had been ninety-five per cent.	38288

(V) "Provider" means an operator with a provider agreement.

38289

(W) "Provider agreement" means a contract between the	38290
department of job and family services and the operator of a	38291
nursing facility or intermediate care facility for the mentally	38292
retarded for the provision of nursing facility services or	38293
intermediate care facility services for the mentally retarded	38294
under the medicaid program.	38295

(X) "Purchased nursing services" means services that are	38296
provided in a nursing facility by registered nurses, licensed	38297
practical nurses, or nurse aides who are not employees of the	38298
facility.	38299

(Y) "Reasonable" means that a cost is an actual cost that is	38300
appropriate and helpful to develop and maintain the operation of	38301
patient care facilities and activities, including normal standby	38302
costs, and that does not exceed what a prudent buyer pays for a	38303
given item or services. Reasonable costs may vary from provider to	38304
provider and from time to time for the same provider.	38305

(Z) "Related party" means an individual or organization that,	38306
to a significant extent, has common ownership with, is associated	38307
or affiliated with, has control of, or is controlled by, the	38308
provider.	38309

(1) An individual who is a relative of an owner is a related	38310
party.	38311

(2) Common ownership exists when an individual or individuals	38312
possess significant ownership or equity in both the provider and	38313
the other organization. Significant ownership or equity exists	38314
when an individual or individuals possess five per cent ownership	38315
or equity in both the provider and a supplier. Significant	38316
ownership or equity is presumed to exist when an individual or	38317
individuals possess ten per cent ownership or equity in both the	38318
provider and another organization from which the provider	38319
purchases or leases real property.	38320

(3) Control exists when an individual or organization has the	38321
power, directly or indirectly, to significantly influence or	38322
direct the actions or policies of an organization.	38323

(4) An individual or organization that supplies goods or	38324
services to a provider shall not be considered a related party if	38325
all of the following conditions are met:	38326

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

38327

(b) A substantial part of the supplier's business activity of	38328
the type carried on with the provider is transacted with others	38329
than the provider and there is an open, competitive market for the	38330
types of goods or services the supplier furnishes.	38331

(c) The types of goods or services are commonly obtained by	38332
other nursing facilities or intermediate care facilities for the	38333
mentally retarded from outside organizations and are not a basic	38334
element of patient care ordinarily furnished directly to patients	38335
by the facilities.	38336

(d) The charge to the provider is in line with the charge for	38337
the goods or services in the open market and no more than the	38338
charge made under comparable circumstances to others by the	38339
supplier.	38340

(AA) "Relative of owner" means an individual who is related	38341
to an owner of a nursing facility or intermediate care facility	38342
for the mentally retarded by one of the following relationships:	38343

(1) Spouse;

38344

(2) Natural parent, child, or sibling;

38345

(3) Adopted parent, child, or sibling;

38346

(4) Stepparent, stepchild, stepbrother, or stepsister;

38347

(5) Father-in-law, mother-in-law, son-in-law,	38348
daughter-in-law, brother-in-law, or sister-in-law;	38349

(6) Grandparent or grandchild;

38350

(7) Foster caregiver, foster child, foster brother, or foster	38351
sister.	38352

(BB) "Renovation" and "extensive renovation" mean:

38353

(1) Any betterment, improvement, or restoration of an	38354
intermediate care facility for the mentally retarded started	38355
before July 1, 1993, that meets the definition of a renovation or	38356
extensive renovation established in rules adopted by the director	38357
of job and family services in effect on December 22, 1992.	38358

(2) In the case of betterments, improvements, and	38359
restorations of intermediate care facilities for the mentally	38360
retarded started on or after July 1, 1993:	38361

(a) "Renovation" means the betterment, improvement, or	38362
restoration of an intermediate care facility for the mentally	38363
retarded beyond its current functional capacity through a	38364
structural change that costs at least five hundred dollars per	38365
bed. A renovation may include betterment, improvement,	38366
restoration, or replacement of assets that are affixed to the	38367
building and have a useful life of at least five years. A	38368
renovation may include costs that otherwise would be considered	38369
maintenance and repair expenses if they are an integral part of	38370
the structural change that makes up the renovation project.	38371
"Renovation" does not mean construction of additional space for	38372
beds that will be added to a facility's licensed or certified	38373
capacity.	38374

(b) "Extensive renovation" means a renovation that costs more	38375
than sixty-five per cent and no more than eighty-five per cent of	38376
the cost of constructing a new bed and that extends the useful	38377
life of the assets for at least ten years.	38378

For the purposes of division (BB)(2) of this section, the	38379
cost of constructing a new bed shall be considered to be forty	38380
thousand dollars, adjusted for the estimated rate of inflation	38381
from January 1, 1993, to the end of the calendar year during which	38382
the renovation is completed, using the consumer price index for	38383
shelter costs for all urban consumers for the north central	38384
region, as published by the United States bureau of labor	38385
statistics.	38386

The department of job and family services may treat a	38387
renovation that costs more than eighty-five per cent of the cost	38388
of constructing new beds as an extensive renovation if the	38389
department determines that the renovation is more prudent than	38390
construction of new beds.	38391

(CC) "Title XIX" means Title XIX of the "Social Security	38392
Act," 79 Stat. 286 (1965), 42 U.S.C. 1396, as amended.	38393

(DD) "Title XVIII" means Title XVIII of the "Social Security	38394
Act," 79 Stat. 286 (1965), 42 U.S.C. 1395, as amended.	38395

Sec. 5111.861.  (A) "Home and community-based services	38396
medicaid waiver component" has the same meaning as in section	38397
5111.851 of the Revised Code.	38398

(B) The director may submit a request to the United States	38399
secretary of health and human services to approve amendments to	38400
one or more home and community-based services medicaid waiver	38401
components to do one or more of the following:	38402

(1) Allow a participant receiving services under a component	38403
to retain eligibility for those services while participating in	38404
the medicaid buy-in program established under section 5111.0119 of	38405
the Revised Code.	38406

(2) Make changes to one or more components so that the	38407
component or components contains one or more features of the	38408
medicaid buy-in program established under section 5111.0119 of the	38409
Revised Code.	38410

Sec. 5111.871.  The department of job and family services	38411
shall enter into a contract with the department of mental	38412
retardation and developmental disabilities under section 5111.91	38413
of the Revised Code with regard to one or more of the components	38414
of the medicaid program established by the department of job and	38415
family services under one or more of the medicaid waivers sought	38416
under section 5111.87 of the Revised Code. The contract shall	38417
provide for the department of mental retardation and developmental	38418
disabilities to administer the components in accordance with the	38419
terms of the waivers. The directors of job and family services and	38420
mental retardation and developmental disabilities shall adopt	38421
rules in accordance with Chapter 119. of the Revised Code	38422
governing the components.	38423

If the department of mental retardation and developmental	38424
disabilities or the department of job and family services denies	38425
an individual's application for home and community-based services	38426
provided under any of these medicaid components, the department	38427
that denied the services shall give timely notice to the	38428
individual that the individual may request a hearing under section	38429
5101.35 of the Revised Code.	38430

The departments of mental retardation and developmental	38431
disabilities and job and family services may approve, reduce,	38432
deny, or terminate a service included in the individualized	38433
service plan developed for a medicaid recipient eligible for home	38434
and community-based services provided under any of these medicaid	38435
components. The departments shall consider the recommendations a	38436
county board of mental retardation and developmental disabilities	38437
makes under division (A)(1)(c) of section 5126.055 of the Revised	38438
Code. If either department approves, reduces, denies, or	38439
terminates a service, that department shall give timely notice to	38440
the medicaid recipient that the recipient may request a hearing	38441
under section 5101.35 of the Revised Code.	38442

If supported living or residential services, as defined in	38443
section 5126.01 of the Revised Code, areis to be provided as a	38444
service under any of these components, any person or government	38445
entity with a current, valid medicaid provider agreement and a	38446
current, valid license under section 5123.19 or certificate under	38447
section 5123.16 or 5126.4315123.161 of the Revised Code may	38448
provide the servicesservice.	38449

If a service is to be provided under any of these components	38450
by a residential facility, as defined in section 5123.19 of the	38451
Revised Code, any person or government entity with a current,	38452
valid medicaid provider agreement and a current, valid license	38453
under section 5123.19 of the Revised Code may provide the service.	38454

Sec. 5111.8814.  An intermediate care facility for the	38455
mentally retarded that converts in whole to providing home and	38456
community-based services under the ICF/MR conversion pilot program	38457
shall either be licensed as a residential facility under section	38458
5123.19 of the Revised Code or certified to provide supported	38459
living under section 5126.4315123.161 of the Revised Code. If an	38460
intermediate care facility for the mentally retarded converts in	38461
part to providing such home and community-based services, the	38462
distinct part of the facility that provides the home and	38463
community-based services shall either be licensed as a residential	38464
facility under section 5123.19 of the Revised Code or certified to	38465
provide supported living under section 5126.4315123.161 of the	38466
Revised Code. The facility or distinct part of the facility shall	38467
be licensed as a residential facility rather than certified to	38468
provide supported living if it meets the definition of	38469
"residential facility" in section 5123.19 of the Revised Code.	38470

Sec. 5111.915.  (A) The department of job and family services	38471
shall enter into an agreement with the department of	38472
administrative services for the department of administrative	38473
services to contract through competitive selection pursuant to	38474
section 125.07 of the Revised Code with a vendor to perform an	38475
assessment of the data collection and data warehouse functions of	38476
the medicaid data warehouse system, including the ability to link	38477
the data sets of all agencies serving medicaid recipients.	38478

The assessment of the data system shall include functions	38479
related to fraud and abuse detection, program management and	38480
budgeting, and performance measurement capabilities of all	38481
agencies serving medicaid recipients, including the departments of	38482
aging, alcohol and drug addiction services, health, job and family	38483
services, mental health, and mental retardation and developmental	38484
disabilities.	38485

The department of administrative services shall enter into	38486
this contract within thirty days after the effective date of this	38487
sectionSeptember 29, 2005. The contract shall require the vendor	38488
to complete the assessment within ninety days after the effective	38489
date of this sectionSeptember 29, 2005.	38490

A qualified vendor with whom the department of administrative	38491
services contracts to assess the data system shall also assist the	38492
medicaid agencies in the definition of the requirements for an	38493
enhanced data system or a new data system and assist the	38494
department of administrative services in the preparation of a	38495
request for proposal to enhance or develop a data system.	38496

(B) Based on the assessment performed pursuant to division	38497
(A) of this section, the department of administrative services	38498
office of information technology shall seek a qualified vendor	38499
through competitive selection pursuant to section 125.07 of the	38500
Revised Code to develop or enhance a data collection and data	38501
warehouse system for the department of job and family services and	38502
all agencies serving medicaid recipients.	38503

Within ninety days after the effective date of this section	38504
September 29, 2005, the department of job and family services	38505
shall seek enhanced federal funding for ninety per cent of the	38506
funds required to establish or enhance the data system. The	38507
department of administrative servicesoffice of information	38508
technology shall not award a contract for establishing or	38509
enhancing the data system until the department of job and family	38510
services receives approval from the secretary of the United States	38511
department of health and human services for the ninety per cent	38512
federal match.	38513

Sec. 5111.941.  The medicaid revenue and collections fund is	38514
hereby created in the state treasury. Except as otherwise provided	38515
by statute or as authorized by the controlling board, the	38516
non-federalnonfederal share of all medicaid-related revenues,	38517
collections, and recoveries shall be credited to the fund. The	38518
department of job and family services shall use money credited to	38519
the fund to pay for medicaid services and contractsprogram	38520
administration.	38521

Sec. 5112.03.  (A) The director of job and family services	38522
shall adopt, and may amend and rescind, rules in accordance with	38523
Chapter 119. of the Revised Code for the purpose of administering	38524
sections 5112.01 to 5112.21 of the Revised Code, including rules	38525
that do all of the following:	38526

(1) Define as a "disproportionate share hospital" any	38527
hospital included under subsection (b) of section 1923 of the	38528
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A.	38529
1396r-4(b), as amended, and any other hospital the director	38530
determines appropriate;	38531

(2) Prescribe the form for submission of cost reports under	38532
section 5112.04 of the Revised Code;	38533

(3) Establish, in accordance with division (A) of section	38534
5112.06 of the Revised Code, the assessment rate or rates to be	38535
applied to hospitals under that section;	38536

(4) Establish schedules for hospitals to pay installments on	38537
their assessments under section 5112.06 of the Revised Code and	38538
for governmental hospitals to pay installments on their	38539
intergovernmental transfers under section 5112.07 of the Revised	38540
Code;	38541

(5) Establish procedures to notify hospitals of adjustments	38542
made under division (B)(2)(b) of section 5112.06 of the Revised	38543
Code in the amount of installments on their assessment;	38544

(6) Establish procedures to notify hospitals of adjustments	38545
made under division (D) of section 5112.09 of the Revised Code in	38546
the total amount of their assessment and to adjust for the	38547
remainder of the program year the amount of the installments on	38548
the assessments;	38549

(7) Establish, in accordance with section 5112.08 of the	38550
Revised Code, the methodology for paying hospitals under that	38551
section.	38552

The director shall consult with hospitals when adopting the	38553
rules required by divisions (A)(4) and (5) of this section in	38554
order to minimize hospitals' cash flow difficulties.	38555

(B) Rules adopted under this section may provide that "total	38556
facility costs" excludes costs associated with any of the	38557
following:	38558

(1) Recipients of the medical assistance program;

38559

(2) Recipients of financial assistance provided under Chapter	38560
5115. of the Revised Code;	38561

(3) Recipients of medical assistance provided under Chapter	38562
5115. of the Revised Code;	38563

(4) Recipients of the program for medically handicapped	38564
children established under section 3701.023 of the Revised Code;	38565

(5) Recipients of the medicare program established under	38566
Title XVIII of the "Social Security Act," 49 Stat. 620 (1935), 42	38567
U.S.C.A. 301, as amended:	38568

(6) Recipients of Title V of the "Social Security Act";

38569

(7) Recipients of nonfederal medical assistance provided	38570
under Chapter 5114. of the Revised Code;	38571

(8) Any other category of costs deemed appropriate by the	38572
director in accordance with Title XIX of the "Social Security Act"	38573
and the rules adopted under that title.	38574

Sec. 5112.08.  The director of job and family services shall	38575
adopt rules under section 5112.03 of the Revised Code establishing	38576
a methodology to pay hospitals that is sufficient to expend all	38577
money in the indigent care pool. Under the rules:	38578

(A) The department of job and family services may classify	38579
similar hospitals into groups and allocate funds for distribution	38580
within each group.	38581

(B) The department shall establish a method of allocating	38582
funds to hospitals, taking into consideration the relative amount	38583
of indigent care provided by each hospital or group of hospitals.	38584
The amount to be allocated shall be based on any combination of	38585
the following indicators of indigent care that the director	38586
considers appropriate:	38587

(1) Total costs, volume, or proportion of services to	38588
recipients of the medical assistance program, including recipients	38589
enrolled in health insuring corporations;	38590

(2) Total costs, volume, or proportion of services to	38591
low-income patients in addition to recipients of the medical	38592
assistance program, which may include recipients of Title V of the	38593
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as	38594
amended, recipients of nonfederal medical assistance under Chapter	38595
5114. of the Revised Code, and recipients of financial or medical	38596
assistance provided under Chapter 5115. of the Revised Code;	38597

(3) The amount of uncompensated care provided by the hospital	38598
or group of hospitals;	38599

(4) Other factors that the director considers to be	38600
appropriate indicators of indigent care.	38601

(C) The department shall distribute funds to each hospital or	38602
group of hospitals in a manner that first may provide for an	38603
additional distribution to individual hospitals that provide a	38604
high proportion of indigent care in relation to the total care	38605
provided by the hospital or in relation to other hospitals. The	38606
department shall establish a formula to distribute the remainder	38607
of the funds. The formula shall be consistent with section 1923 of	38608
the "Social Security Act," 42 U.S.C.A. 1396r-4, as amended, shall	38609
be based on any combination of the indicators of indigent care	38610
listed in division (B) of this section that the director considers	38611
appropriate.	38612

(D) The department shall distribute funds to each hospital in	38613
installments not later than ten working days after the deadline	38614
established in rules for each hospital to pay an installment on	38615
its assessment under section 5112.06 of the Revised Code. In the	38616
case of a governmental hospital that makes intergovernmental	38617
transfers, the department shall pay an installment under this	38618
section not later than ten working days after the earlier of that	38619
deadline or the deadline established in rules for the governmental	38620
hospital to pay an installment on its intergovernmental transfer.	38621
If the amount in the hospital care assurance program fund created	38622
under section 5112.18 of the Revised Code and the portion of the	38623
health care - federal fund created under section 5111.943 of the	38624
Revised Code that is credited to that fund pursuant to division	38625
(B) of section 5112.18 of the Revised Code are insufficient to	38626
make the total distributions for which hospitals are eligible to	38627
receive in any period, the department shall reduce the amount of	38628
each distribution by the percentage by which the amount and	38629
portion are insufficient. The department shall distribute to	38630
hospitals any amounts not distributed in the period in which they	38631
are due as soon as moneys are available in the funds.	38632

Sec. 5112.341.  (A) In addition to assessing a penalty	38633
pursuant to section 5112.34 of the Revised Code, the department of	38634
job and family services may do either or both of the following if	38635
an intermediate care facility for the mentally retarded fails to	38636
pay the full amount of a franchise permit fee installment when	38637
due:	38638

(1) WithholdOffset an amount less than or equal to the	38639
installment and penalty assessed under section 5112.34 of the	38640
Revised Code from a medicaid payment due the facility until the	38641
facility pays the installment and penalty;	38642

(2) Terminate the facility's medicaid provider agreement.

38643

(B) The department may withholdoffset a medicaid payment	38644
under division (A)(1) of this section without providing notice to	38645
the intermediate care facility for the mentally retarded and	38646
without conducting an adjudication under Chapter 119. of the	38647
Revised Code.	38648

Sec. 5114.01.  The director of job and family services shall	38649
establish the nonfederal medical assistance program. The program	38650
shall be implemented in accordance with this chapter and the rules	38651
adopted under section 5114.02 of the Revised Code.	38652

Sec. 5114.02.  (A) The director of job and family services	38653
shall adopt rules for purposes of implementing the nonfederal	38654
medical assistance program. The rules shall be adopted in	38655
accordance with section 111.15 of the Revised Code.	38656

(B) The rules adopted under this section may specify or	38657
establish any or all of the following:	38658

(1) Eligibility requirements for the program, subject to	38659
section 5114.03 of the Revised Code;	38660

(2) A requirement that an individual first seek medical	38661
benefits authorized under other state or federal programs,	38662
including the medicaid program's coverage authorized under	38663
division (C) of section 5111.01 of the Revised Code;	38664

(3) Medical services to be covered under the program;

38665

(4) The maximum authorized amount, scope, duration, or limit	38666
of payment for services under the program;	38667

(5) Limits on the length of time an individual may receive	38668
nonfederal medical assistance;	38669

(6) Limits on the total number of individuals in this state	38670
who may receive nonfederal medical assistance;	38671

(7) Application and verification procedures, and	38672
reapplication procedures;	38673

(8) Any other requirements the director considers necessary	38674
for implementation of the program.	38675

Sec. 5114.03.  With respect to eligibility for the nonfederal	38676
medical assistance program, both of the following apply:	38677

(A) An individual who qualifies for assistance under any part	38678
of the medicaid program operated pursuant to Chapter 5111. of the	38679
Revised Code is ineligible to receive assistance under the	38680
nonfederal medical assistance program.	38681

(B) An individual who is ineligible for medicaid under	38682
division (C) of section 5111.01 of the Revised Code is eligible	38683
for assistance under the nonfederal medical assistance program	38684
only if the individual's ineligibility results solely from having	38685
an income that exceeds the income eligibility limits approved by	38686
the federal government for providing coverage under that division.	38687

Sec. 5114.04.  For purposes of limiting the cost of the	38688
nonfederal medical assistance program, the director of job and	38689
family services may suspend acceptance of applications for the	38690
program. If the acceptance of applications is suspended, the	38691
suspension may be implemented without the adoption of rules under	38692
section 5114.02 of the Revised Code.	38693

Sec. 5114.05.  (A) The department of job and family services	38694
shall supervise and administer the nonfederal medical assistance	38695
program, except as follows:	38696

(1) The department may require county departments of job and	38697
family services to perform any administrative function specified	38698
in rules adopted under section 5114.02 of the Revised Code.	38699

(2) The department may contract with any private or public	38700
entity in this state to perform any administrative function	38701
specified in the contract or to administer any or all of the	38702
program.	38703

(B) If the department requires county departments to perform	38704
administrative functions under division (A)(1) of this section,	38705
the director of job and family services shall adopt rules under	38706
section 5114.02 of the Revised Code governing the performance of	38707
the functions. County departments shall perform the functions in	38708
accordance with the rules.	38709

If the department contracts with a private or public entity	38710
under division (A)(2) of this section, the director may either	38711
adopt rules under section 5114.02 of the Revised Code governing	38712
the performance of the functions or include provisions in the	38713
contract governing performance of the functions. Entities under	38714
contract shall perform the functions in accordance with the	38715
requirements established by the director.	38716

(C) Whenever division (A)(1) or (2) of this section is	38717
implemented, the director shall conduct investigations to	38718
determine whether the nonfederal medical assistance program is	38719
being administered in accordance with this chapter and the rules	38720
adopted by the director or in accordance with the terms of the	38721
contract.	38722

Sec. 5115.12. (A) The director of job and family services	38723
shall adopt rules in accordance with section 111.15 of the Revised	38724
Code governing the disability medical assistance program. The	38725
rules may establish or specify any or all of the following:	38726

(1) Income, resource, citizenship, age, residence, living	38727
arrangement, and other eligibility requirements;	38728

(2) Health services to be included in the program;

38729

(3) The maximum authorized amount, scope, duration, or limit	38730
of payment for services;	38731

(4) Limits on the length of time an individual may receive	38732
disability medical assistance;	38733

(5) Limits on the total number of individuals in the state	38734
who may receive disability medical assistance;	38735

(6) Limits on the number and types of providers eligible to	38736
be reimbursed for services provided to individuals enrolled in the	38737
program.	38738

(B) For purposes of limiting the cost of the disability	38739
medical assistance program, the director may do either of the	38740
following:	38741

(1) Adopt rules in accordance with section 111.15 of the	38742
Revised Code that revise the program's eligibility requirements;	38743
the maximum authorized amount, scope, duration, or limit of	38744
payment for services included in the program; or any other	38745
requirement or standard established or specified by rules adopted	38746
under division (A) of this section or under section 5115.10 of the	38747
Revised Code;	38748

(2) Suspend acceptance of applications for disability medical	38749
assistance. While a suspension is in effect, no person shall	38750
receive a determination or redetermination of eligibility for	38751
disability medical assistance unless the person was receiving the	38752
assistance during the month immediately preceding the suspension's	38753
effective date or the person submitted an application prior to the	38754
suspension's effective date and receives a determination of	38755
eligibility based on that application. The director may adopt	38756
rules in accordance with section 111.15 of the Revised Code	38757
establishing requirements and specifying procedures applicable to	38758
the suspension of acceptance of applications.	38759

Sec. 5117.10.  (A) On or before the fifteenth day of January,	38760
the director of development shall pay each applicant determined	38761
eligible for a payment under divisions (A) and (B) of section	38762
5117.07 of the Revised Code one hundred twenty-five dollars.	38763

(B) The director may withhold from any payment to which a	38764
person would otherwise be entitled under division (A) of this	38765
section any amount that the director determines was erroneously	38766
received by such person in a preceding year under this or the	38767
program established under Am. Sub. H.B. 230, as amended by Am.	38768
H.B. 937, Am. Sub. H.B. 1073, Am. Sub. S.B. 493, and Am. Sub. S.B.	38769
523 of the 112th general assembly, provided the director has	38770
employed all other legal methods reasonably available to obtain	38771
reimbursement for the erroneous payment or credit prior to the	38772
commencement of the current program year.	38773

(C) Payments made under this section and credits granted	38774
under section 5117.09 of the Revised Code shall not be considered	38775
income for the purpose of determining eligibility or the level of	38776
benefits or assistance under section 329.042 or Chapters 5107.,	38777
5111., 5114., and 5115. of the Revised Code; supplemental security	38778
income payments under Title XVI of the "Social Security Act," 49	38779
Stat. 620 (1935), 42 U.S.C. 301, as amended; or any other program	38780
under which eligibility or the level of benefits or assistance is	38781
based upon need measured by income.	38782

Sec. 5119.611. (A) A community mental health agency that	38783
seeks certification of its community mental health services shall	38784
submit an application to the director of mental health. On receipt	38785
of the application, the director may visit and shall evaluate the	38786
agency to determine whether its services satisfy the standards	38787
established by rules adopted under division (D) of this section.	38788
The director shall make the evaluation, and, if the director	38789
visits the agency, shall make the visit, in cooperation with the	38790
board of alcohol, drug addiction, and mental health services with	38791
which the agency seeks to contract under division (A)(8)(a) of	38792
section 340.03 of the Revised Code.	38793

Subject to divisions (B) and (C) of this section, the	38794
director shall certify a community mental health agency's services	38795
that the director determines satisfy the standards.	38796

If the director determines that a community mental health	38797
agency's services do not satisfy the standards, the director shall	38798
identify the areas of noncompliance, specify what action is	38799
necessary to satisfy the standards, and offer technical assistance	38800
to the board of alcohol, drug addiction, and mental health	38801
services so that the board may assist the agency in satisfying the	38802
standards. The director shall give the agency a reasonable time	38803
within which to demonstrate that its services satisfy the	38804
standards or to bring the services into compliance with the	38805
standards. If the director concludes that the services continue to	38806
fail to satisfy the standards, the director may request that the	38807
board reallocate the funds for the community mental health	38808
services the agency was to provide to another community mental	38809
health agency whose community mental health services satisfy the	38810
standards. If the board does not reallocate those funds in a	38811
reasonable period of time, the director may withhold state and	38812
federal funds for the community mental health services and	38813
allocate those funds directly to a community mental health agency	38814
whose community mental health services satisfy the standards.	38815

(B) Each community mental health agency seeking certification	38816
of its community mental health services under this section shall	38817
pay a fee for the certification review required by this section.	38818
Fees shall be paid into the sale of goods and services fund	38819
created pursuant to section 5119.161 of the Revised Code.	38820

(C) The director may certify a community mental health	38821
service only if the service is for individuals whose focus of	38822
treatment isor prevention of a mental disorder according to the	38823
edition of the American psychiatric association's diagnostic and	38824
statistical manual of mental disorders that is current at the time	38825
the director issues the certification, including such services for	38826
individuals who have a mental disorder and a co-occurring	38827
substance use disorder, substance induced disorder, chronic	38828
dementing organic mental disorder, mental retardation, or	38829
developmental disability. The director may not certify a service	38830
that is for individuals whose focus of treatment is solely, except	38831
that the director may not certify a service that is for treatment	38832
or prevention of any of the following, even if it appears in the	38833
manual as a mental disorder: a substance use disorder,	38834
substance-induced disorder, chronic dementing organic mental	38835
disorder, mental retardation, or developmental disability. In the	38836
case of an individual who requires services for the treatment or	38837
prevention of both one or more mental disorders for which the	38838
department may certify services and one or more mental disorders	38839
services for which the department may not certify services, the	38840
department may certify only the portion of the services for which	38841
certification is permitted by this section.	38842

(D) The director shall adopt rules in accordance with Chapter	38843
119. of the Revised Code to implement this section. The rules	38844
shall do all of the following:	38845

(1) Establish certification standards for community mental	38846
health services, including assertive community treatment and	38847
intensive home-based mental health services, that are consistent	38848
with nationally recognized applicable standards and facilitate	38849
participation in federal assistance programs. The rules shall	38850
include as certification standards only requirements that improve	38851
the quality of services or the health and safety of clients of	38852
community mental health services. The standards shall address at a	38853
minimum all of the following:	38854

(a) Reporting major unusual incidents to the director;

38855

(b) Procedures for applicants for and clients of community	38856
mental health services to file grievances and complaints;	38857

(c) Seclusion;

38858

(d) Restraint;

38859

(e) Development of written policies addressing the rights of	38860
clients, including all of the following:	38861

(i) The right to a copy of the written policies addressing	38862
client rights;	38863

(ii) The right at all times to be treated with consideration	38864
and respect for the client's privacy and dignity;	38865

(iii) The right to have access to the client's own	38866
psychiatric, medical, or other treatment records unless access is	38867
specifically restricted in the client's treatment plan for clear	38868
treatment reasons;	38869

(iv) The right to have a client rights officer provided by	38870
the agency or board of alcohol, drug addiction, and mental health	38871
services advise the client of the client's rights, including the	38872
client's rights under Chapter 5122. of the Revised Code if the	38873
client is committed to the agency or board.	38874

(2) Establish standards for qualifications of mental health	38875
professionals as defined in section 340.02 of the Revised Code and	38876
personnel who provide the community mental health services;	38877

(3) Establish the process for certification of community	38878
mental health services;	38879

(4) Set the amount of certification review fees based on a	38880
portion of the cost of performing the review;	38881

(5) Specify the type of notice and hearing to be provided	38882
prior to a decision on whether to reallocate funds.	38883

Sec. 5120.03.  (A) Subject to division (C) of this section,	38884
theThe director of rehabilitation and correction, by executive	38885
order and with the approval of the governor, may change the	38886
purpose for which any institution or place under the control of	38887
the department of rehabilitation and correction is being used. The	38888
director may designate a new or another use for such institution,	38889
if the change of use and new designation has for its objective,	38890
improvement in the classification, segregation, care, education,	38891
cure, or rehabilitation of persons subject to the control of the	38892
department.	38893

(B) The director of rehabilitation and correction, by	38894
executive order, issued on or before December 31, 1988, shall	38895
eliminate the distinction between penal institutions and	38896
reformatory institutions. Notwithstanding any provision of the	38897
Revised Code or the Administrative Code to the contrary, upon the	38898
issuance of the executive order, any distinction made between the	38899
types of prisoners sentenced to or otherwise assigned to the	38900
institutions under the control of the department shall be	38901
discontinued.	38902

(C) The director shallmay contract under section 9.06 of the	38903
Revised Code for the private operation and management of not less	38904
than two facilitiesa facility under the control of the	38905
department, unless the contractor managing and operating a	38906
facility is not in substantial compliance with the material terms	38907
and conditions of its contract and no other person or entity is	38908
willing and able to satisfy the obligations of the contract. All	38909
inmates assigned to a facility operated and managed by a private	38910
contractor remain inmates in the care and custody of the	38911
department. The statutes, rules, and policies of the department	38912
may apply to the private contractor and any inmate assigned to a	38913
facility operated and managed by a private contractor as agreed to	38914
in the contract entered into under section 9.06 of the Revised	38915
Code.	38916

Sec. 5123.01.  As used in this chapter:

38917

(A) "Chief medical officer" means the licensed physician	38918
appointed by the managing officer of an institution for the	38919
mentally retarded with the approval of the director of mental	38920
retardation and developmental disabilities to provide medical	38921
treatment for residents of the institution.	38922

(B) "Chief program director" means a person with special	38923
training and experience in the diagnosis and management of the	38924
mentally retarded, certified according to division (C) of this	38925
section in at least one of the designated fields, and appointed by	38926
the managing officer of an institution for the mentally retarded	38927
with the approval of the director to provide habilitation and care	38928
for residents of the institution.	38929

(C) "Comprehensive evaluation" means a study, including a	38930
sequence of observations and examinations, of a person leading to	38931
conclusions and recommendations formulated jointly, with	38932
dissenting opinions if any, by a group of persons with special	38933
training and experience in the diagnosis and management of persons	38934
with mental retardation or a developmental disability, which group	38935
shall include individuals who are professionally qualified in the	38936
fields of medicine, psychology, and social work, together with	38937
such other specialists as the individual case may require.	38938

(D) "Education" means the process of formal training and	38939
instruction to facilitate the intellectual and emotional	38940
development of residents.	38941

(E) "Habilitation" means the process by which the staff of	38942
the institution assists the resident in acquiring and maintaining	38943
those life skills that enable the resident to cope more	38944
effectively with the demands of the resident's own person and of	38945
the resident's environment and in raising the level of the	38946
resident's physical, mental, social, and vocational efficiency.	38947
Habilitation includes but is not limited to programs of formal,	38948
structured education and training.	38949

(F) "Health officer" means any public health physician,	38950
public health nurse, or other person authorized or designated by a	38951
city or general health district.	38952

(G) "Home and community-based services" means medicaid-funded	38953
home and community-based services specified in division (B)(1) of	38954
section 5111.87 of the Revised Code provided under the medicaid	38955
waiver components the department of mental retardation and	38956
developmental disabilities administers pursuant to section	38957
5111.871 of the Revised Code.	38958

(H) "Indigent person" means a person who is unable, without	38959
substantial financial hardship, to provide for the payment of an	38960
attorney and for other necessary expenses of legal representation,	38961
including expert testimony.	38962

(I) "Institution" means a public or private facility, or a	38963
part of a public or private facility, that is licensed by the	38964
appropriate state department and is equipped to provide	38965
residential habilitation, care, and treatment for the mentally	38966
retarded.	38967

(J) "Licensed physician" means a person who holds a valid	38968
certificate issued under Chapter 4731. of the Revised Code	38969
authorizing the person to practice medicine and surgery or	38970
osteopathic medicine and surgery, or a medical officer of the	38971
government of the United States while in the performance of the	38972
officer's official duties.	38973

(K) "Managing officer" means a person who is appointed by the	38974
director of mental retardation and developmental disabilities to	38975
be in executive control of an institution for the mentally	38976
retarded under the jurisdiction of the department.	38977

(L) "Medicaid" has the same meaning as in section 5111.01 of	38978
the Revised Code.	38979

(M) "Medicaid case management services" means case management	38980
services provided to an individual with mental retardation or	38981
other developmental disability that the state medicaid plan	38982
requires.	38983

(N) "Mentally retarded person" means a person having	38984
significantly subaverage general intellectual functioning existing	38985
concurrently with deficiencies in adaptive behavior, manifested	38986
during the developmental period.	38987

(O) "Mentally retarded person subject to institutionalization	38988
by court order" means a person eighteen years of age or older who	38989
is at least moderately mentally retarded and in relation to whom,	38990
because of the person's retardation, either of the following	38991
conditions exist:	38992

(1) The person represents a very substantial risk of physical	38993
impairment or injury to self as manifested by evidence that the	38994
person is unable to provide for and is not providing for the	38995
person's most basic physical needs and that provision for those	38996
needs is not available in the community;	38997

(2) The person needs and is susceptible to significant	38998
habilitation in an institution.	38999

(P) "A person who is at least moderately mentally retarded"	39000
means a person who is found, following a comprehensive evaluation,	39001
to be impaired in adaptive behavior to a moderate degree and to be	39002
functioning at the moderate level of intellectual functioning in	39003
accordance with standard measurements as recorded in the most	39004
current revision of the manual of terminology and classification	39005
in mental retardation published by the American association on	39006
mental retardation.	39007

(Q) As used in this division, "substantial functional	39008
limitation," "developmental delay," and "established risk" have	39009
the meanings established pursuant to section 5123.011 of the	39010
Revised Code.	39011

"Developmental disability" means a severe, chronic disability	39012
that is characterized by all of the following:	39013

(1) It is attributable to a mental or physical impairment or	39014
a combination of mental and physical impairments, other than a	39015
mental or physical impairment solely caused by mental illness as	39016
defined in division (A) of section 5122.01 of the Revised Code.	39017

(2) It is manifested before age twenty-two.

39018

(3) It is likely to continue indefinitely.

39019

(4) It results in one of the following:

39020

(a) In the case of a person under three years of age, at	39021
least one developmental delay or an established risk;	39022

(b) In the case of a person at least three years of age but	39023
under six years of age, at least two developmental delays or an	39024
established risk;	39025

(c) In the case of a person six years of age or older, a	39026
substantial functional limitation in at least three of the	39027
following areas of major life activity, as appropriate for the	39028
person's age: self-care, receptive and expressive language,	39029
learning, mobility, self-direction, capacity for independent	39030
living, and, if the person is at least sixteen years of age,	39031
capacity for economic self-sufficiency.	39032

(5) It causes the person to need a combination and sequence	39033
of special, interdisciplinary, or other type of care, treatment,	39034
or provision of services for an extended period of time that is	39035
individually planned and coordinated for the person.	39036

(R) "Developmentally disabled person" means a person with a	39037
developmental disability.	39038

(S) "State institution" means an institution that is	39039
tax-supported and under the jurisdiction of the department.	39040

(T) "Residence" and "legal residence" have the same meaning	39041
as "legal settlement," which is acquired by residing in Ohio for a	39042
period of one year without receiving general assistance prior to	39043
July 17, 1995, under former Chapter 5113. of the Revised Code,	39044
financial assistance under Chapter 5115. of the Revised Code, or	39045
assistance from a private agency that maintains records of	39046
assistance given. A person having a legal settlement in the state	39047
shall be considered as having legal settlement in the assistance	39048
area in which the person resides. No adult person coming into this	39049
state and having a spouse or minor children residing in another	39050
state shall obtain a legal settlement in this state as long as the	39051
spouse or minor children are receiving public assistance, care, or	39052
support at the expense of the other state or its subdivisions. For	39053
the purpose of determining the legal settlement of a person who is	39054
living in a public or private institution or in a home subject to	39055
licensing by the department of job and family services, the	39056
department of mental health, or the department of mental	39057
retardation and developmental disabilities, the residence of the	39058
person shall be considered as though the person were residing in	39059
the county in which the person was living prior to the person's	39060
entrance into the institution or home. Settlement once acquired	39061
shall continue until a person has been continuously absent from	39062
Ohio for a period of one year or has acquired a legal residence in	39063
another state. A woman who marries a man with legal settlement in	39064
any county immediately acquires the settlement of her husband. The	39065
legal settlement of a minor is that of the parents, surviving	39066
parent, sole parent, parent who is designated the residential	39067
parent and legal custodian by a court, other adult having	39068
permanent custody awarded by a court, or guardian of the person of	39069
the minor, provided that:	39070

(1) A minor female who marries shall be considered to have	39071
the legal settlement of her husband and, in the case of death of	39072
her husband or divorce, she shall not thereby lose her legal	39073
settlement obtained by the marriage.	39074

(2) A minor male who marries, establishes a home, and who has	39075
resided in this state for one year without receiving general	39076
assistance prior to July 17, 1995, under former Chapter 5113. of	39077
the Revised Code, financial assistance under Chapter 5115. of the	39078
Revised Code, or assistance from a private agency that maintains	39079
records of assistance given shall be considered to have obtained a	39080
legal settlement in this state.	39081

(3) The legal settlement of a child under eighteen years of	39082
age who is in the care or custody of a public or private child	39083
caring agency shall not change if the legal settlement of the	39084
parent changes until after the child has been in the home of the	39085
parent for a period of one year.	39086

No person, adult or minor, may establish a legal settlement	39087
in this state for the purpose of gaining admission to any state	39088
institution.	39089

(U)(1) "Resident" means, subject to division (R)(2) of this	39090
section, a person who is admitted either voluntarily or	39091
involuntarily to an institution or other facility pursuant to	39092
section 2945.39, 2945.40, 2945.401, or 2945.402 of the Revised	39093
Code subsequent to a finding of not guilty by reason of insanity	39094
or incompetence to stand trial or under this chapter who is under	39095
observation or receiving habilitation and care in an institution.	39096

(2) "Resident" does not include a person admitted to an	39097
institution or other facility under section 2945.39, 2945.40,	39098
2945.401, or 2945.402 of the Revised Code to the extent that the	39099
reference in this chapter to resident, or the context in which the	39100
reference occurs, is in conflict with any provision of sections	39101
2945.37 to 2945.402 of the Revised Code.	39102

(V) "Respondent" means the person whose detention,	39103
commitment, or continued commitment is being sought in any	39104
proceeding under this chapter.	39105

(W) "Working day" and "court day" mean Monday, Tuesday,	39106
Wednesday, Thursday, and Friday, except when such day is a legal	39107
holiday.	39108

(X) "Prosecutor" means the prosecuting attorney, village	39109
solicitor, city director of law, or similar chief legal officer	39110
who prosecuted a criminal case in which a person was found not	39111
guilty by reason of insanity, who would have had the authority to	39112
prosecute a criminal case against a person if the person had not	39113
been found incompetent to stand trial, or who prosecuted a case in	39114
which a person was found guilty.	39115

(Y) "Court" means the probate division of the court of common	39116
pleas.	39117

(Z) "Supported living" has the same meaning as in section	39118
5126.01 of the Revised Code.	39119

Sec. 5123.033. The program fee fund is hereby created in the	39120
state treasury. All fees collected pursuant to sections 5123.161,	39121
5123.164, 5123.19, and 5126.25 of the Revised Code shall be	39122
credited to the fund. Money credited to the fund shall be used	39123
solely for the department of mental retardation and developmental	39124
disabilities' duties under sections 5123.16 to 5123.169, 5123.19,	39125
and 5126.25 of the Revised Code and to provide continuing	39126
education and professional training to employees of county boards	39127
of mental retardation and developmental disabilities for the	39128
purpose of section 5126.25 of the Revised Code and other providers	39129
of services to individuals with mental retardation or a	39130
developmental disability. If the money credited to the fund is	39131
inadequate to pay all of the department's costs in performing	39132
those duties and providing the continuing education and	39133
professional training, the department may use other available	39134
funds appropriated to the department to pay the remaining costs of	39135
performing those duties and providing the continuing education and	39136
professional training.	39137

Sec. 5123.043.  (A) The director of mental retardation and	39138
developmental disabilities shall adopt rules establishing	39139
procedures for administrative resolution of complaints filed under	39140
division (B) of this section and section 5126.06 of the Revised	39141
Code. The rules shall be adopted in accordance with Chapter 119.	39142
of the Revised Code.	39143

(B) Except as provided in division (C) of this section, any	39144
person or county board of mental retardation and developmental	39145
disabilities that has a complaint involving any of the programs,	39146
services, policies, or administrative practices of the department	39147
of mental retardation and developmental disabilities or any of the	39148
entities under contract with the department, may file a complaint	39149
with the department. Prior to commencing a civil action regarding	39150
the complaint, a person or county board shall attempt to have the	39151
complaint resolved through the administrative resolution process	39152
established in the rules adopted under this section. After	39153
exhausting the administrative resolution process, the person or	39154
county board may commence a civil action if the complaint is not	39155
settled to the person's or county board's satisfaction.	39156

(C) An employee of the department may not file under this	39157
section a complaint related to the terms and conditions of	39158
employment for the employee.	39159

(D) This section does not apply to a conflict between a	39160
county board of mental retardation and developmental disabilities	39161
and a person or government entity that provides or seeks to	39162
provide services to an individual with mental retardation or other	39163
developmental disability. Section 5126.036 of the Revised Code	39164
applies to such a conflict.	39165

Sec. 5123.045.  No person or government entity shall receive	39166
payment for providing home and community-based services unless the	39167
person or government entity is one of the following:	39168

(A) Certified under section 5123.165123.161 of the Revised	39169
Code;	39170

(B) Licensed as a residential facility under section 5123.19	39171
of the Revised Code.	39172

Sec. 5123.0414. (A) When the director of mental retardation	39173
and developmental disabilities, under section 119.07 of the	39174
Revised Code, sends a party a notice by registered mail, return	39175
receipt requested, that the director intends to take action	39176
against the party authorized by section 5123.082, 5123.166,	39177
5123.168, 5123.19, 5123.45, 5123.51, or 5126.25 of the Revised	39178
Code and the notice is returned to the director with an	39179
endorsement indicating that the notice was refused or unclaimed,	39180
the director shall resend the notice by ordinary mail to the	39181
party.	39182

(B) If the original notice was refused, the notice shall be	39183
deemed received as of the date the director resends the notice.	39184

(C) If the original notice was unclaimed, the notice shall be	39185
deemed received as of the date the director resends the notice	39186
unless, not later than thirty days after the date the director	39187
sent the original notice, the resent notice is returned to the	39188
director for failure of delivery.	39189

If the notice concerns taking action under section 5123.51 of	39190
the Revised Code and the resent notice is returned to the director	39191
for failure of delivery not later than thirty days after the date	39192
the director sent the original notice, the director shall cause	39193
the notice to be published in a newspaper of general circulation	39194
in the county of the party's last known residence or business and	39195
shall mail a dated copy of the published notice to the party at	39196
the last known address. The notice shall be deemed received as of	39197
the date of the publication.	39198

If the notice concerns taking action under section 5123.082,	39199
5123.166, 5123.168, 5123.19, 5123.45, or 5126.25 of the Revised	39200
Code and the resent notice is returned to the director for failure	39201
of delivery not later than thirty days after the date the director	39202
sent the original notice, the director shall resend the notice to	39203
the party a second time. The notice shall be deemed received as of	39204
the date the director resends the notice the second time.	39205

Sec. 5123.0415. As used in this section, "license" means a	39206
license, certificate, or evidence of registration.	39207

Each person and government entity that applies for or holds a	39208
valid license issued under section 5123.082, 5123.161, 5123.19,	39209
5123.45, 5126.25, or 5126.252 of the Revised Code shall notify the	39210
director of mental retardation and developmental disabilities of	39211
any change in the person or government entity's address.	39212

Sec. 5123.051.  (A) If the department of mental retardation	39213
and developmental disabilities determines pursuant to an audit	39214
conducted under section 5123.05 of the Revised Code or a	39215
reconciliation conducted under section 5123.18 or 5123.199 of the	39216
Revised Code that money is owed the state by a provider of a	39217
service or program, the department may enter into a payment	39218
agreement with the provider. The agreement shall include the	39219
following:	39220

(1) A schedule of installment payments whereby the money owed	39221
the state is to be paid in full within a period not to exceed one	39222
year;	39223

(2) A provision that the provider may pay the entire balance	39224
owed at any time during the term of the agreement;	39225

(3) A provision that if any installment is not paid in full	39226
within forty-five days after it is due, the entire balance owed is	39227
immediately due and payable;	39228

(4) Any other terms and conditions that are agreed to by the	39229
department and the provider.	39230

(B) The department may include a provision in a payment	39231
agreement that requires the provider to pay interest on the money	39232
owed the state. The department, in its discretion, shall determine	39233
whether to require the payment of interest and, if it so requires,	39234
the rate of interest. Neither the obligation to pay interest nor	39235
the rate of interest is subject to negotiation between the	39236
department and the provider.	39237

(C) If the provider fails to pay any installment in full	39238
within forty-five days after its due date, the department shall	39239
certify the entire balance owed to the attorney general for	39240
collection under section 131.02 of the Revised Code. The	39241
department may withhold funds from payments made to a provider	39242
under section 5123.18 or 5123.199 of the Revised Code to satisfy a	39243
judgment secured by the attorney general.	39244

(D) The purchase of service fund is hereby created. Money	39245
credited to the fund shall be used solely for purposes of section	39246
5123.05 of the Revised Code.	39247

Sec. 5123.16.  (A) As used in sections 5123.16 to 5123.169 of	39248
the Revised Code:	39249

(1) "Provider" means a person or government entity certified	39250
by the director of mental retardation and developmental	39251
disabilities to provide supported living.	39252

(2) "Related party" means any of the following:

39253

(a) In the case of a provider who is an individual, any of	39254
the following:	39255

(i) The spouse of the provider;

39256

(ii) A parent or stepparent of the provider or provider's	39257
spouse;	39258

(iii) A child of the provider or provider's spouse;

39259

(iv) A sibling, half sibling, or stepsibling of the provider	39260
or provider's spouse;	39261

(v) A grandparent of the provider or provider's spouse;

39262

(vi) A grandchild of the provider or provider's spouse;

39263

(vii) An employee or employer of the provider or provider's	39264
spouse.	39265

(b) In the case of a provider that is a person other than an	39266
individual, any of the following:	39267

(i) An employee of the person;

39268

(ii) An officer of the provider, including the chief	39269
executive officer, president, vice-president, secretary, and	39270
treasurer;	39271

(iii) A member of the provider's board of directors or	39272
trustees;	39273

(iv) A person owning a financial interest of five per cent or	39274
more in the provider;	39275

(v) A corporation that has a subsidiary relationship with the	39276
provider;	39277

(vi) A person or government entity that has control over the	39278
provider's day-to-day operation;	39279

(vii) A person over which the provider has control of the	39280
day-to-day operation.	39281

(c) In the case of a provider that is a government entity,	39282
any of the following:	39283

(i) An employee of the provider;

39284

(ii) An officer of the provider;

39285

(iii) A member of the provider's governing board;

39286

(iv) A government entity that has control over the provider's	39287
day-to-day operation;	39288

(v) A person or government entity over which the provider has	39289
control of the day-to-day operation.	39290

(B) No person or government entity may provide supported	39291
living without a valid supported living certificate issued by the	39292
director of mental retardation and developmental disabilities.	39293

(C) A county board of mental retardation and developmental	39294
disabilities may provide supported living only to the extent	39295
permitted by rules adopted under section 5123.169 of the Revised	39296
Code.	39297

Sec. 5123.161.  A person or government entity that seeks to	39298
provide supported living shall apply to the director of mental	39299
retardation and developmental disabilities for a supported living	39300
certificate.	39301

Except as provided in section 5123.166 of the Revised Code,	39302
the director shall issue the applicant a supported living	39303
certificate if the applicant follows the application process	39304
established in rules adopted under section 5123.169 of the Revised	39305
Code, meets the applicable certification standards established in	39306
those rules, and pays the certification fee established in those	39307
rules.	39308

Sec. 5123.162.  The director of mental retardation and	39309
developmental disabilities may conduct surveys of persons and	39310
government entities that seek a supported living certificate to	39311
determine whether the persons and government entities meet the	39312
certification standards. The director may also conduct surveys of	39313
providers to determine whether the providers continue to meet the	39314
certification standards. The director shall conduct the surveys in	39315
accordance with rules adopted under section 5123.169 of the	39316
Revised Code.	39317

The records of surveys conducted under this section are	39318
public records for the purpose of section 149.43 of the Revised	39319
Code and shall be made available on the request of any person or	39320
government entity.	39321

Sec. 5123.163.  A supported living certificate is valid for a	39322
period of time established in rules adopted under section 5123.169	39323
of the Revised Code, unless any of the following occur before the	39324
end of that period of time:	39325

(A) The director of mental retardation and developmental	39326
disabilities issues an order requiring that action be taken	39327
against the certificate holder under section 5123.166 of the	39328
Revised Code.	39329

(B) The director issues an order terminating the certificate	39330
under section 5123.168 of the Revised Code.	39331

(C) The certificate holder voluntarily surrenders the	39332
certificate to the director.	39333

Sec. 5123.164. Except as provided in section 5123.166 of the	39334
Revised Code, the director of mental retardation and developmental	39335
disabilities shall renew a supported living certificate if the	39336
certificate holder follows the renewal process established in	39337
rules adopted under section 5123.169 of the Revised Code,	39338
continues to meet the applicable certification standards	39339
established in those rules, and pays the renewal fee established	39340
in those rules.	39341

Sec. 5123.165.  (A) Except as provided in division (B) of	39342
this section, no person or government entity may provide supported	39343
living to an individual with mental retardation or a developmental	39344
disability if the person or government entity or a related party	39345
of the person or government entity also provides the individual a	39346
residence.	39347

(B) A person may provide supported living to an individual	39348
with mental retardation or a developmental disability even though	39349
the person or a related party of the person also provides the	39350
individual a residence if either of the following apply:	39351

(1) The person also resides in the residence with the	39352
individual and does not provide at any one time supported living	39353
to more than a total of three individuals with mental retardation	39354
or a developmental disability who reside in that residence;	39355

(2) The person is an association of family members related to	39356
two or more of the individuals with mental retardation or a	39357
developmental disability who reside in the residence and does not	39358
provide at any one time supported living to more than a total of	39359
four individuals with mental retardation or a developmental	39360
disability who reside in that residence.	39361

Sec. 5123.166.  (A) If good cause exists as specified in	39362
division (B) of this section and determined in accordance with	39363
procedures established in rules adopted under section 5123.169 of	39364
the Revised Code, the director of mental retardation and	39365
developmental disabilities may issue an adjudication order	39366
requiring that one of the following actions be taken against a	39367
person or government entity seeking or holding a supported living	39368
certificate:	39369

(1) Refusal to issue or renew a supported living certificate;

39370

(2) Revocation of a supported living certificate;

39371

(3) Suspension of a supported living certificate holder's	39372
authority to do either or both of the following:	39373

(a) Continue to provide supported living to one or more	39374
individuals from one or more counties who receive supported living	39375
from the certificate holder at the time the director takes the	39376
action;	39377

(b) Begin to provide supported living to one or more	39378
individuals from one or more counties who do not receive supported	39379
living from the certificate holder at the time the director takes	39380
the action.	39381

(B) The following constitute good cause for taking action	39382
under division (A) of this section against a person or government	39383
entity seeking or holding a supported living certificate:	39384

(1) The person or government entity's failure to meet or	39385
continue to meet the applicable certification standards	39386
established in rules adopted under section 5123.169 of the Revised	39387
Code;	39388

(2) The person or government entity violates section 5123.165	39389
of the Revised Code;	39390

(3) The person or government entity's failure to satisfy the	39391
requirements of section 5123.52, 5126.28, or 5126.281 of the	39392
Revised Code;	39393

(4) Misfeasance;

39394

(5) Malfeasance;

39395

(6) Nonfeasance;

39396

(7) Confirmed abuse or neglect;

39397

(8) Financial irresponsibility;

39398

(9) Other conduct the director determines is or would be	39399
injurious to individuals who receive or would receive supported	39400
living from the person or government entity.	39401

(C) Except as provided in division (D) of this section, the	39402
director shall issue an adjudication order under division (A) of	39403
this section in accordance with Chapter 119. of the Revised Code.	39404

(D)(1) The director may issue an order requiring that action	39405
specified in division (A)(3) of this section be taken before a	39406
provider is provided notice and an opportunity for a hearing if	39407
all of the following are the case:	39408

(a) The director determines such action is warranted by the	39409
provider's failure to continue to meet the applicable	39410
certification standards;	39411

(b) The director determines that the failure either	39412
represents a pattern of serious noncompliance or creates a	39413
substantial risk to the health or safety of an individual who	39414
receives or would receive supported living from the provider;	39415

(c) If the order will suspend the provider's authority to	39416
continue to provide supported living to an individual who receives	39417
supported living from the provider at the time the director issues	39418
the order, both of the following are the case:	39419

(i) The director makes the individual, or the individual's	39420
guardian, aware of the director's determination under division	39421
(D)(1)(b) of this section and the individual or guardian does not	39422
select another provider.	39423

(ii) A county board of mental retardation and developmental	39424
disabilities has filed a complaint with a probate court under	39425
section 5123.33 of the Revised Code that includes facts describing	39426
the nature of abuse or neglect that the individual has suffered	39427
due to the provider's actions that are the basis for the director	39428
making the determination under division (D)(1)(b) of this section	39429
and the probate court does not issue an order authorizing the	39430
county board to arrange services for the individual pursuant to an	39431
individualized service plan developed for the individual under	39432
section 5123.31 of the Revised Code.	39433

(2) If the director issues an order under division (D)(1) of	39434
this section, sections 119.091 to 119.13 of the Revised Code and	39435
all of the following apply:	39436

(a) The director shall send the provider notice of the order	39437
by registered mail, return receipt requested, not later than	39438
twenty-four hours after issuing the order and shall include in the	39439
notice the reasons for the order, the citation to the law or rule	39440
directly involved, and a statement that the provider will be	39441
afforded a hearing if the provider requests it within ten days of	39442
the time of receiving the notice.	39443

(b) If the provider requests a hearing within the required	39444
time and the provider has provided the director the provider's	39445
current address, the director shall immediately set, and notify	39446
the provider of, the date, time, and place for the hearing.	39447

(c) The date of the hearing shall be not later than thirty	39448
days after the director receives the provider's timely request for	39449
the hearing.	39450

(d) The hearing shall be conducted in accordance with section	39451
119.09 of the Revised Code, except for all of the following:	39452

(i) The hearing shall continue uninterrupted until its close,	39453
except for weekends, legal holidays, and other interruptions the	39454
provider and director agree to.	39455

(ii) If the director appoints a referee or examiner to	39456
conduct the hearing, the referee or examiner, not later than ten	39457
days after the date the referee or examiner receives a transcript	39458
of the testimony and evidence presented at the hearing or, if the	39459
referee or examiner does not receive the transcript or no such	39460
transcript is made, the date that the referee or examiner closes	39461
the record of the hearing, shall submit to the director a written	39462
report setting forth the referee or examiner's findings of fact	39463
and conclusions of law and a recommendation of the action the	39464
director should take.	39465

(iii) The provider may, not later than five days after the	39466
date the director, in accordance with section 119.09 of the	39467
Revised Code, sends the provider or the provider's attorney or	39468
other representative of record a copy of the referee or examiner's	39469
report and recommendation, file with the director written	39470
objections to the report and recommendation.	39471

(iv) The director shall approve, modify, or disapprove the	39472
referee or examiner's report and recommendation not earlier than	39473
six days, and not later than fifteen days, after the date the	39474
director, in accordance with section 119.09 of the Revised Code,	39475
sends a copy of the report and recommendation to the provider or	39476
the provider's attorney or other representative of record.	39477

(3) The director may lift an order issued under division	39478
(D)(1) of this section even though a hearing regarding the order	39479
is occurring or pending if the director determines that the	39480
provider has taken action eliminating the good cause for issuing	39481
the order. The hearing shall proceed unless the provider withdraws	39482
the request for the hearing in a written letter to the director.	39483

(4) The director shall lift an order issued under division	39484
(D)(1) of this section if both of the following are the case:	39485

(a) The provider provides the director a plan of compliance	39486
the director determines is acceptable.	39487

(b) The director determines that the provider has implemented	39488
the plan of compliance correctly.	39489

Sec. 5123.167.  If the director of mental retardation and	39490
developmental disabilities issues an adjudication order under	39491
section 5123.166 of the Revised Code refusing to issue a supported	39492
living certificate to a person or government entity or to renew a	39493
person or government entity's supported living certificate,	39494
neither the person or government entity nor a related party of the	39495
person or government entity may apply for another supported living	39496
certificate earlier than the date that is one year after the date	39497
the order is issued. If the director issues an adjudication order	39498
under that section revoking a person or government entity's	39499
supported living certificate, neither the person or government	39500
entity nor a related party of the person or government entity may	39501
apply for another supported living certificate earlier than the	39502
date that is five years after the date the order is issued.	39503

Sec. 5123.168. The director of mental retardation and	39504
developmental disabilities may issue an adjudication order in	39505
accordance with Chapter 119. of the Revised Code to terminate a	39506
supported living certificate if the certificate holder has not	39507
billed for supported living for twelve consecutive months.	39508

Sec. 5123.169.  The director of mental retardation and	39509
developmental disabilities shall adopt rules under Chapter 119. of	39510
the Revised Code establishing all of the following:	39511

(A) The extent to which a county board of mental retardation	39512
and developmental disabilities may provide supported living;	39513

(B) The application process for obtaining a supported living	39514
certificate under section 5123.161 of the Revised Code;	39515

(C) The certification standards a person or government entity	39516
must meet to obtain a supported living certificate to provide	39517
supported living;	39518

(D) The certification fee for a supported living certificate,	39519
which shall be deposited into the program fee fund created under	39520
section 5123.033 of the Revised Code;	39521

(E) The period of time a supported living certificate is	39522
valid;	39523

(F) The process for renewing a supported living certificate	39524
under section 5123.164 of the Revised Code;	39525

(G) The renewal fee for a supported living certificate, which	39526
shall be deposited into the program fee fund created under section	39527
5123.033 of the Revised Code;	39528

(H) Procedures for conducting surveys under section 5123.162	39529
of the Revised Code;	39530

(I) Procedures for determining whether there is good cause to	39531
take action under section 5123.166 of the Revised Code against a	39532
person or government entity seeking or holding a supported living	39533
certificate.	39534

Sec. 5123.19.  (A) As used in this section and in sections	39535
5123.191, 5123.194, 5123.196, 5123.198, and 5123.20 of the Revised	39536
Code:	39537

(1)(a) "Residential facility" means a home or facility in	39538
which a mentally retarded or developmentally disabled person	39539
resides, except the home of a relative or legal guardian in which	39540
a mentally retarded or developmentally disabled person resides, a	39541
respite care home certified under section 5126.05 of the Revised	39542
Code, a county home or district home operated pursuant to Chapter	39543
5155. of the Revised Code, or a dwelling in which the only	39544
mentally retarded or developmentally disabled residents are in an	39545
independent living arrangement or are being provided supported	39546
living.	39547

(b) "Intermediate care facility for the mentally retarded"	39548
means a residential facility that is considered an intermediate	39549
care facility for the mentally retarded for the purposes of	39550
Chapter 5111. of the Revised Code.	39551

(2) "Political subdivision" means a municipal corporation,	39552
county, or township.	39553

(3) "Independent living arrangement" means an arrangement in	39554
which a mentally retarded or developmentally disabled person	39555
resides in an individualized setting chosen by the person or the	39556
person's guardian, which is not dedicated principally to the	39557
provision of residential services for mentally retarded or	39558
developmentally disabled persons, and for which no financial	39559
support is received for rendering such service from any	39560
governmental agency by a provider of residential services.	39561

(4) "Supported living" has the same meaning as in section	39562
5126.01 of the Revised Code.	39563

(5) "Licensee" means the person or government agency that has	39564
applied for a license to operate a residential facility and to	39565
which the license was issued under this section.	39566

(5) "Related party" has the same meaning as in section	39567
5123.16 of the Revised Code except that "provider" as used in the	39568
definition of "related party" means a person or government entity	39569
that held or applied for a license to operate a residential	39570
facility, rather than a person or government entity certified to	39571
provide supported living.	39572

(B) Every person or government agency desiring to operate a	39573
residential facility shall apply for licensure of the facility to	39574
the director of mental retardation and developmental disabilities	39575
unless the residential facility is subject to section 3721.02,	39576
3722.04, 5103.03, or 5119.20 of the Revised Code. Notwithstanding	39577
Chapter 3721. of the Revised Code, a nursing home that is	39578
certified as an intermediate care facility for the mentally	39579
retarded under Title XIX of the "Social Security Act," 79 Stat.	39580
286 (1965), 42 U.S.C.A. 1396, as amended, shall apply for	39581
licensure of the portion of the home that is certified as an	39582
intermediate care facility for the mentally retarded.	39583

(C) Subject to section 5123.196 of the Revised Code, the	39584
director of mental retardation and developmental disabilities	39585
shall license the operation of residential facilities. An initial	39586
license shall be issued for a period that does not exceed one	39587
year, unless the director denies the license under division (D) of	39588
this section. A license shall be renewed for a period that does	39589
not exceed three years, unless the director refuses to renew the	39590
license under division (D) of this section. The director, when	39591
issuing or renewing a license, shall specify the period for which	39592
the license is being issued or renewed. A license remains valid	39593
for the length of the licensing period specified by the director,	39594
unless the license is terminated, revoked, or voluntarily	39595
surrendered.	39596

(D) If it is determined that an applicant or licensee is not	39597
in compliance with a provision of this chapter that applies to	39598
residential facilities or the rules adopted under such a	39599
provision, the director may deny issuance of a license, refuse to	39600
renew a license, terminate a license, revoke a license, issue an	39601
order for the suspension of admissions to a facility, issue an	39602
order for the placement of a monitor at a facility, issue an order	39603
for the immediate removal of residents, or take any other action	39604
the director considers necessary consistent with the director's	39605
authority under this chapter regarding residential facilities. In	39606
the director's selection and administration of the sanction to be	39607
imposed, all of the following apply:	39608

(1) The director may deny, refuse to renew, or revoke a	39609
license, if the director determines that the applicant or licensee	39610
has demonstrated a pattern of serious noncompliance or that a	39611
violation creates a substantial risk to the health and safety of	39612
residents of a residential facility.	39613

(2) The director may terminate a license if more than twelve	39614
consecutive months have elapsed since the residential facility was	39615
last occupied by a resident or a notice required by division	39616
(J)(K) of this section is not given.	39617

(3) The director may issue an order for the suspension of	39618
admissions to a facility for any violation that may result in	39619
sanctions under division (D)(1) of this section and for any other	39620
violation specified in rules adopted under division (G)(H)(2) of	39621
this section. If the suspension of admissions is imposed for a	39622
violation that may result in sanctions under division (D)(1) of	39623
this section, the director may impose the suspension before	39624
providing an opportunity for an adjudication under Chapter 119. of	39625
the Revised Code. The director shall lift an order for the	39626
suspension of admissions when the director determines that the	39627
violation that formed the basis for the order has been corrected.	39628

(4) The director may order the placement of a monitor at a	39629
residential facility for any violation specified in rules adopted	39630
under division (G)(H)(2) of this section. The director shall lift	39631
the order when the director determines that the violation that	39632
formed the basis for the order has been corrected.	39633

(5) If the director determines that two or more residential	39634
facilities owned or operated by the same person or government	39635
entity are not being operated in compliance with a provision of	39636
this chapter that applies to residential facilities or the rules	39637
adopted under such a provision, and the director's findings are	39638
based on the same or a substantially similar action, practice,	39639
circumstance, or incident that creates a substantial risk to the	39640
health and safety of the residents, the director shall conduct a	39641
survey as soon as practicable at each residential facility owned	39642
or operated by that person or government entity. The director may	39643
take any action authorized by this section with respect to any	39644
facility found to be operating in violation of a provision of this	39645
chapter that applies to residential facilities or the rules	39646
adopted under such a provision.	39647

(6) When the director initiates license revocation	39648
proceedings, no opportunity for submitting a plan of correction	39649
shall be given. The director shall notify the licensee by letter	39650
of the initiation of the proceedings. The letter shall list the	39651
deficiencies of the residential facility and inform the licensee	39652
that no plan of correction will be accepted. The director shall	39653
also notify each affected resident, the resident's guardian if the	39654
resident is an adult for whom a guardian has been appointed, the	39655
resident's parent or guardian if the resident is a minor, and the	39656
county board of mental retardation and developmental disabilities	39657
send a copy of the letter to the county board of mental	39658
retardation and developmental disabilities. The county board shall	39659
send a copy of the letter to each of the following:	39660

(a) Each resident who receives services from the licensee;

39661

(b) The guardian of each resident who receives services from	39662
the licensee if the resident has a guardian;	39663

(c) The parent or guardian of each resident who receives	39664
services from the licensee if the resident is a minor.	39665

(7) Pursuant to rules which shall be adopted in accordance	39666
with Chapter 119. of the Revised Code, the director may order the	39667
immediate removal of residents from a residential facility	39668
whenever conditions at the facility present an immediate danger of	39669
physical or psychological harm to the residents.	39670

(8) In determining whether a residential facility is being	39671
operated in compliance with a provision of this chapter that	39672
applies to residential facilities or the rules adopted under such	39673
a provision, or whether conditions at a residential facility	39674
present an immediate danger of physical or psychological harm to	39675
the residents, the director may rely on information obtained by a	39676
county board of mental retardation and developmental disabilities	39677
or other governmental agencies.	39678

(9) In proceedings initiated to deny, refuse to renew, or	39679
revoke licenses, the director may deny, refuse to renew, or revoke	39680
a license regardless of whether some or all of the deficiencies	39681
that prompted the proceedings have been corrected at the time of	39682
the hearing.	39683

(E) The director shall establish a program under which public	39684
notification may be made when the director has initiated license	39685
revocation proceedings or has issued an order for the suspension	39686
of admissions, placement of a monitor, or removal of residents.	39687
The director shall adopt rules in accordance with Chapter 119. of	39688
the Revised Code to implement this division. The rules shall	39689
establish the procedures by which the public notification will be	39690
made and specify the circumstances for which the notification must	39691
be made. The rules shall require that public notification be made	39692
if the director has taken action against the facility in the	39693
eighteen-month period immediately preceding the director's latest	39694
action against the facility and the latest action is being taken	39695
for the same or a substantially similar violation of a provision	39696
of this chapter that applies to residential facilities or the	39697
rules adopted under such a provision. The rules shall specify a	39698
method for removing or amending the public notification if the	39699
director's action is found to have been unjustified or the	39700
violation at the residential facility has been corrected.	39701

(F)(1) Except as provided in division (F)(2) of this section,	39702
appeals from proceedings initiated to impose a sanction under	39703
division (D) of this section shall be conducted in accordance with	39704
Chapter 119. of the Revised Code.	39705

(2) Appeals from proceedings initiated to order the	39706
suspension of admissions to a facility shall be conducted in	39707
accordance with Chapter 119. of the Revised Code, unless the order	39708
was issued before providing an opportunity for an adjudication, in	39709
which case all of the following apply:	39710

(a) The licensee may request a hearing not later than ten	39711
days after receiving the notice specified in section 119.07 of the	39712
Revised Code.	39713

(b) If a timely request for a hearing that includes the	39714
licensee's current address is made, the hearing shall commence not	39715
later than thirty days after the department receives the request.	39716

(c) After commencing, the hearing shall continue	39717
uninterrupted, except for Saturdays, Sundays, and legal holidays,	39718
unless other interruptions are agreed to by the licensee and the	39719
director.	39720

(d) If the hearing is conducted by a hearing examiner, the	39721
hearing examiner shall file a report and recommendations not later	39722
than ten days after the last of the following:	39723

(i) The close of the hearing;

39724

(ii) If a transcript of the proceedings is ordered, the	39725
hearing examiner receives the transcript;	39726

(iii) If post-hearing briefs are timely filed, the hearing	39727
examiner receives the briefs.	39728

(e) A copy of the written report and recommendation of the	39729
hearing examiner shall be sent, by certified mail, to the licensee	39730
and the licensee's attorney, if applicable, not later than five	39731
days after the report is filed.	39732

(f) Not later than five days after the hearing examiner files	39733
the report and recommendations, the licensee may file objections	39734
to the report and recommendations.	39735

(f)(g) Not later than fifteen days after the hearing examiner	39736
files the report and recommendations, the director shall issue an	39737
order approving, modifying, or disapproving the report and	39738
recommendations.	39739

(g)(h) Notwithstanding the pendency of the hearing, the	39740
director shall lift the order for the suspension of admissions	39741
when the director determines that the violation that formed the	39742
basis for the order has been corrected.	39743

(G) Neither a person or government agency whose application	39744
for a license to operate a residential facility is denied nor a	39745
related party of the person or government agency may apply for a	39746
license to operate a residential facility before the date that is	39747
one year after the date of the denial. Neither a licensee whose	39748
residential facility license is revoked nor a related party of the	39749
licensee may apply for a residential facility license before the	39750
date that is five years after the date of the revocation.	39751

(H) In accordance with Chapter 119. of the Revised Code, the	39752
director shall adopt and may amend and rescind rules for licensing	39753
and regulating the operation of residential facilities, including	39754
intermediate care facilities for the mentally retarded. The rules	39755
for intermediate care facilities for the mentally retarded may	39756
differ from those for other residential facilities. The rules	39757
shall establish and specify the following:	39758

(1) Procedures and criteria for issuing and renewing	39759
licenses, including procedures and criteria for determining the	39760
length of the licensing period that the director must specify for	39761
each license when it is issued or renewed;	39762

(2) Procedures and criteria for denying, refusing to renew,	39763
terminating, and revoking licenses and for ordering the suspension	39764
of admissions to a facility, placement of a monitor at a facility,	39765
and the immediate removal of residents from a facility;	39766

(3) Fees for issuing and renewing licenses, which shall be	39767
deposited into the program fee fund created under section 5123.033	39768
of the Revised Code;	39769

(4) Procedures for surveying residential facilities;

39770

(5) Requirements for the training of residential facility	39771
personnel;	39772

(6) Classifications for the various types of residential	39773
facilities;	39774

(7) Certification procedures for licensees and management	39775
contractors that the director determines are necessary to ensure	39776
that they have the skills and qualifications to properly operate	39777
or manage residential facilities;	39778

(8) The maximum number of persons who may be served in a	39779
particular type of residential facility;	39780

(9) Uniform procedures for admission of persons to and	39781
transfers and discharges of persons from residential facilities;	39782

(10) Other standards for the operation of residential	39783
facilities and the services provided at residential facilities;	39784

(11) Procedures for waiving any provision of any rule adopted	39785
under this section.	39786

(H)(I) Before issuing a license, the director of the	39787
department or the director's designee shall conduct a survey of	39788
the residential facility for which application is made. The	39789
director or the director's designee shall conduct a survey of each	39790
licensed residential facility at least once during the period the	39791
license is valid and may conduct additional inspections as needed.	39792
A survey includes but is not limited to an on-site examination and	39793
evaluation of the residential facility, its personnel, and the	39794
services provided there.	39795

In conducting surveys, the director or the director's	39796
designee shall be given access to the residential facility; all	39797
records, accounts, and any other documents related to the	39798
operation of the facility; the licensee; the residents of the	39799
facility; and all persons acting on behalf of, under the control	39800
of, or in connection with the licensee. The licensee and all	39801
persons on behalf of, under the control of, or in connection with	39802
the licensee shall cooperate with the director or the director's	39803
designee in conducting the survey.	39804

Following each survey, unless the director initiates a	39805
license revocation proceeding, the director or the director's	39806
designee shall provide the licensee with a report listing any	39807
deficiencies, specifying a timetable within which the licensee	39808
shall submit a plan of correction describing how the deficiencies	39809
will be corrected, and, when appropriate, specifying a timetable	39810
within which the licensee must correct the deficiencies. After a	39811
plan of correction is submitted, the director or the director's	39812
designee shall approve or disapprove the plan. A copy of the	39813
report and any approved plan of correction shall be provided to	39814
any person who requests it.	39815

The director shall initiate disciplinary action against any	39816
department employee who notifies or causes the notification to any	39817
unauthorized person of an unannounced survey of a residential	39818
facility by an authorized representative of the department.	39819

(I)(J) In addition to any other information which may be	39820
required of applicants for a license pursuant to this section, the	39821
director shall require each applicant to provide a copy of an	39822
approved plan for a proposed residential facility pursuant to	39823
section 5123.042 of the Revised Code. This division does not apply	39824
to renewal of a license.	39825

(J)(K) A licensee shall notify the owner of the building in	39826
which the licensee's residential facility is located of any	39827
significant change in the identity of the licensee or management	39828
contractor before the effective date of the change if the licensee	39829
is not the owner of the building.	39830

Pursuant to rules which shall be adopted in accordance with	39831
Chapter 119. of the Revised Code, the director may require	39832
notification to the department of any significant change in the	39833
ownership of a residential facility or in the identity of the	39834
licensee or management contractor. If the director determines that	39835
a significant change of ownership is proposed, the director shall	39836
consider the proposed change to be an application for development	39837
by a new operator pursuant to section 5123.042 of the Revised Code	39838
and shall advise the applicant within sixty days of the	39839
notification that the current license shall continue in effect or	39840
a new license will be required pursuant to this section. If the	39841
director requires a new license, the director shall permit the	39842
facility to continue to operate under the current license until	39843
the new license is issued, unless the current license is revoked,	39844
refused to be renewed, or terminated in accordance with Chapter	39845
119. of the Revised Code.	39846

(K)(L) A county board of mental retardation and developmental	39847
disabilities, the legal rights service, and any interested person	39848
may file complaints alleging violations of statute or department	39849
rule relating to residential facilities with the department. All	39850
complaints shall be in writing and shall state the facts	39851
constituting the basis of the allegation. The department shall not	39852
reveal the source of any complaint unless the complainant agrees	39853
in writing to waive the right to confidentiality or until so	39854
ordered by a court of competent jurisdiction.	39855

The department shall adopt rules in accordance with Chapter	39856
119. of the Revised Code establishing procedures for the receipt,	39857
referral, investigation, and disposition of complaints filed with	39858
the department under this division.	39859

(L)(M) The department shall establish procedures for the	39860
notification of interested parties of the transfer or interim care	39861
of residents from residential facilities that are closing or are	39862
losing their license.	39863

(M)(N) Before issuing a license under this section to a	39864
residential facility that will accommodate at any time more than	39865
one mentally retarded or developmentally disabled individual, the	39866
director shall, by first class mail, notify the following:	39867

(1) If the facility will be located in a municipal	39868
corporation, the clerk of the legislative authority of the	39869
municipal corporation;	39870

(2) If the facility will be located in unincorporated	39871
territory, the clerk of the appropriate board of county	39872
commissioners and the fiscal officer of the appropriate board of	39873
township trustees.	39874

The director shall not issue the license for ten days after	39875
mailing the notice, excluding Saturdays, Sundays, and legal	39876
holidays, in order to give the notified local officials time in	39877
which to comment on the proposed issuance.	39878

Any legislative authority of a municipal corporation, board	39879
of county commissioners, or board of township trustees that	39880
receives notice under this division of the proposed issuance of a	39881
license for a residential facility may comment on it in writing to	39882
the director within ten days after the director mailed the notice,	39883
excluding Saturdays, Sundays, and legal holidays. If the director	39884
receives written comments from any notified officials within the	39885
specified time, the director shall make written findings	39886
concerning the comments and the director's decision on the	39887
issuance of the license. If the director does not receive written	39888
comments from any notified local officials within the specified	39889
time, the director shall continue the process for issuance of the	39890
license.	39891

(N)(O) Any person may operate a licensed residential facility	39892
that provides room and board, personal care, habilitation	39893
services, and supervision in a family setting for at least six but	39894
not more than eight persons with mental retardation or a	39895
developmental disability as a permitted use in any residential	39896
district or zone, including any single-family residential district	39897
or zone, of any political subdivision. These residential	39898
facilities may be required to comply with area, height, yard, and	39899
architectural compatibility requirements that are uniformly	39900
imposed upon all single-family residences within the district or	39901
zone.	39902

(O)(P) Any person may operate a licensed residential facility	39903
that provides room and board, personal care, habilitation	39904
services, and supervision in a family setting for at least nine	39905
but not more than sixteen persons with mental retardation or a	39906
developmental disability as a permitted use in any multiple-family	39907
residential district or zone of any political subdivision, except	39908
that a political subdivision that has enacted a zoning ordinance	39909
or resolution establishing planned unit development districts may	39910
exclude these residential facilities from those districts, and a	39911
political subdivision that has enacted a zoning ordinance or	39912
resolution may regulate these residential facilities in	39913
multiple-family residential districts or zones as a conditionally	39914
permitted use or special exception, in either case, under	39915
reasonable and specific standards and conditions set out in the	39916
zoning ordinance or resolution to:	39917

(1) Require the architectural design and site layout of the	39918
residential facility and the location, nature, and height of any	39919
walls, screens, and fences to be compatible with adjoining land	39920
uses and the residential character of the neighborhood;	39921

(2) Require compliance with yard, parking, and sign	39922
regulation;	39923

(3) Limit excessive concentration of these residential	39924
facilities.	39925

(P)(Q) This section does not prohibit a political subdivision	39926
from applying to residential facilities nondiscriminatory	39927
regulations requiring compliance with health, fire, and safety	39928
regulations and building standards and regulations.	39929

(Q)(R) Divisions (N)(O) and (O)(P) of this section are not	39930
applicable to municipal corporations that had in effect on June	39931
15, 1977, an ordinance specifically permitting in residential	39932
zones licensed residential facilities by means of permitted uses,	39933
conditional uses, or special exception, so long as such ordinance	39934
remains in effect without any substantive modification.	39935

(R)(S)(1) The director may issue an interim license to	39936
operate a residential facility to an applicant for a license under	39937
this section if either of the following is the case:	39938

(a) The director determines that an emergency exists	39939
requiring immediate placement of persons in a residential	39940
facility, that insufficient licensed beds are available, and that	39941
the residential facility is likely to receive a permanent license	39942
under this section within thirty days after issuance of the	39943
interim license.	39944

(b) The director determines that the issuance of an interim	39945
license is necessary to meet a temporary need for a residential	39946
facility.	39947

(2) To be eligible to receive an interim license, an	39948
applicant must meet the same criteria that must be met to receive	39949
a permanent license under this section, except for any differing	39950
procedures and time frames that may apply to issuance of a	39951
permanent license.	39952

(3) An interim license shall be valid for thirty days and may	39953
be renewed by the director for a period not to exceed one hundred	39954
fifty days.	39955

(4) The director shall adopt rules in accordance with Chapter	39956
119. of the Revised Code as the director considers necessary to	39957
administer the issuance of interim licenses.	39958

(S)(T) Notwithstanding rules adopted pursuant to this section	39959
establishing the maximum number of persons who may be served in a	39960
particular type of residential facility, a residential facility	39961
shall be permitted to serve the same number of persons being	39962
served by the facility on the effective date of the rules or the	39963
number of persons for which the facility is authorized pursuant to	39964
a current application for a certificate of need with a letter of	39965
support from the department of mental retardation and	39966
developmental disabilities and which is in the review process	39967
prior to April 4, 1986.	39968

(T)(U) The director or the director's designee may enter at	39969
any time, for purposes of investigation, any home, facility, or	39970
other structure that has been reported to the director or that the	39971
director has reasonable cause to believe is being operated as a	39972
residential facility without a license issued under this section.	39973

The director may petition the court of common pleas of the	39974
county in which an unlicensed residential facility is located for	39975
an order enjoining the person or governmental agency operating the	39976
facility from continuing to operate without a license. The court	39977
may grant the injunction on a showing that the person or	39978
governmental agency named in the petition is operating a	39979
residential facility without a license. The court may grant the	39980
injunction, regardless of whether the residential facility meets	39981
the requirements for receiving a license under this section.	39982

Sec. 5123.196. (A) Except as provided in division (F) of this	39983
section, the director of mental retardation and developmental	39984
disabilities shall not issue a license under section 5123.19 of	39985
the Revised Code on or after July 1, 2003, if issuance will result	39986
in there being more beds in all residential facilities licensed	39987
under that section than is permitted under division (B) of this	39988
section.	39989

(B) Except as provided in division (D) of this section, the	39990
maximum number of beds for the purpose of division (A) of this	39991
section shall not exceed ten thousand eight hundred thirty-eight	39992
minus, except as provided in division (C) of this section, both of	39993
the following:	39994

(1) The number of such beds that cease to be residential	39995
facility beds on or after July 1, 2003, because a residential	39996
facility license is revoked, terminated, or not renewed for any	39997
reason or is surrendered in accordance with section 5123.19 of the	39998
Revised Code and after the issuance of an adjudication order	39999
pursuant to Chapter 119. of the Revised Code;	40000

(2) The number of such beds for which a licensee voluntarily	40001
converts to use for supported living on or after July 1, 2003.	40002

(C) The director is not required to reduce the maximum number	40003
of beds pursuant to division (B) of this section by a bed that	40004
ceases to be a residential facility bed if the director determines	40005
that the bed is needed to provide services to an individual with	40006
mental retardation or a developmental disability who resided in	40007
the residential facility in which the bed was located unless the	40008
reason the bed ceases to be a residential facility bed is because	40009
it is converted to providing home and community-based services	40010
under the ICF/MR conversion pilot program that is authorized by a	40011
waiver sought under division (B)(1) of section 5111.88 of the	40012
Revised Code.	40013

(D) The director shall increase the number of beds determined	40014
under division (B) of this section if necessary to enable the	40015
operator of a residential facility to do either of the following:	40016

(1) Obtain a residential facility license as required by	40017
section 5111.8814 of the Revised Code;	40018

(2) Reconvert beds to providing ICF/MR services under section	40019
5111.8811 of the Revised Code.	40020

(E) The director shall maintain an up-to-date written record	40021
of the maximum number of residential facility beds provided for by	40022
division (B) of this section.	40023

(F) The director may issue an interim license under division	40024
(R)(S) of section 5123.19 of the Revised Code and issue, pursuant	40025
to rules adopted under division (G)(H)(11) of that section, a	40026
waiver allowing a residential facility to admit more residents	40027
than the facility is licensed to admit regardless of whether the	40028
interim license or waiver will result in there being more beds in	40029
all residential facilities licensed under that section than is	40030
permitted under division (B) of this section.	40031

Sec. 5123.198. (A) As used in this section, "date of the	40032
commitment" means the date that an individual specified in	40033
division (B) of this section begins to reside in a state-operated	40034
intermediate care facility for the mentally retarded after being	40035
committed to the facility pursuant to sections 5123.71 to 5123.76	40036
of the Revised Code.	40037

(B) Except as provided in division (C) of this section,	40038
whenever a resident of a residential facility is committed to a	40039
state-operated intermediate care facility for the mentally	40040
retarded pursuant to sections 5123.71 to 5123.76 of the Revised	40041
Code, the department of mental retardation and developmental	40042
disabilities, pursuant to an adjudication order issued in	40043
accordance with Chapter 119. of the Revised Code, shall reduce by	40044
one the number of residents for which the facility in which the	40045
resident resided is licensed.	40046

(C) The department shall not reduce under division (B) of	40047
this section the number of residents for which a residential	40048
facility is licensed if any of the following are the case:	40049

(1) The resident of the residential facility who is committed	40050
to a state-operated intermediate care facility for the mentally	40051
retarded resided in the residential facility because of the	40052
closure, on or after the effective date of this sectionJune 26,	40053
2003, of another state-operated intermediate care facility for the	40054
mentally retarded;	40055

(2) The residential facility admits within ninety days of the	40056
date of the commitment an individual who resides on the date of	40057
the commitment in a state-operated intermediate care facility for	40058
the mentally retarded or another residential facility;	40059

(3) The department fails to do either of the following within	40060
ninety days of the date of the commitment:	40061

(a) Identify an individual to whom all of the following	40062
applies:	40063

(i) Resides on the date of the commitment in a state-operated	40064
intermediate care facility for the mentally retarded or another	40065
residential facility;	40066

(ii) Has indicated to the department an interest in	40067
relocating to the residential facility or has a parent or guardian	40068
who has indicated to the department an interest for the individual	40069
to relocate to the residential facility;	40070

(iii) The department determines the individual has needs that	40071
the residential facility can meet.	40072

(b) Provide the residential facility with information about	40073
the individual identified under division (C)(2)(a) of this section	40074
that the residential facility needs in order to determine whether	40075
the facility can meet the individual's needs.	40076

(4) If the department completes the actions specified in	40077
divisions (C)(3)(a) and (b) of this section not later than ninety	40078
days after the date of the commitment and except as provided in	40079
division (D) of this section, the residential facility does all of	40080
the following not later than ninety days after the date of the	40081
commitment:	40082

(a) Evaluates the information provided by the department;

40083

(b) Assesses the identified individual's needs;

40084

(c) Determines that the residential facility cannot meet the	40085
identified individual's needs.	40086

(5) If the department completes the actions specified in	40087
divisions (C)(3)(a) and (b) of this section not later than ninety	40088
days after the date of the commitment and the residential facility	40089
determines that the residential facility can meet the identified	40090
individual's needs, the individual, or a parent or guardian of the	40091
individual, refuses placement in the residential facility.	40092

(D) The department may reduce under division (B) of this	40093
section the number of residents for which a residential facility	40094
is licensed even though the residential facility completes the	40095
actions specified in division (C)(4) of this section not later	40096
than ninety days after the date of the commitment if all of the	40097
following are the case:	40098

(1) The department disagrees with the residential facility's	40099
determination that the residential facility cannot meet the	40100
identified individual's needs.	40101

(2) The department issues a written decision pursuant to the	40102
uniform procedures for admissions, transfers, and discharges	40103
established by rules adopted under division (G)(H)(9) of section	40104
5123.19 of the Revised Code that the residential facility should	40105
admit the identified individual.	40106

(3) After the department issues the written decision	40107
specified in division (D)(2) of this section, the residential	40108
facility refuses to admit the identified individual.	40109

(E) A residential facility that admits, refuses to admit,	40110
transfers, or discharges a resident under this section shall	40111
comply with the uniform procedures for admissions, transfers, and	40112
discharges established by rules adopted under division (G)(H)(9)	40113
of section 5123.19 of the Revised Code.	40114

(F) The department of mental retardation and developmental	40115
disabilities may notify the department of job and family services	40116
of any reduction under this section in the number of residents for	40117
which a residential facility that is an intermediate care facility	40118
for the mentally retarded is licensed. On receiving the notice,	40119
the department of job and family services may transfer to the	40120
department of mental retardation and developmental disabilities	40121
the savings in the nonfederal share of medicaid expenditures for	40122
each fiscal year after the year of the commitment to be used for	40123
costs of the resident's care in the state-operated intermediate	40124
care facility for the mentally retarded. In determining the amount	40125
saved, the department of job and family services shall consider	40126
medicaid payments for the remaining residents of the facility in	40127
which the resident resided.	40128

Sec. 5123.20. As used in this section, "supported living"	40129
has the same meaning as in section 5126.01 of the Revised Code.	40130

No person or government agency shall operate a residential	40131
facility or receive a mentally retarded or developmentally	40132
disabled person as a resident of a residential facility unless the	40133
facility is licensed under section 5123.19 of the Revised Code,	40134
and no person or governmental agency shall operate a respite care	40135
home or receive a mentally retarded or developmentally disabled	40136
person in a respite care home unless the home is certified under	40137
section 5126.05 of the Revised Code.	40138

No person or government agency shall provide supported living	40139
unless that person or government agency is certified under section	40140
5126.431 of the Revised Code.	40141

Sec. 5123.211.  (A) As used in this section, "residential	40142
services" and "supported living" havehas the same meanings	40143
meaning as in section 5126.01 of the Revised Code.	40144

(B) The department of mental retardation and developmental	40145
disabilities shall provide or arrange provision of residential	40146
services for each person who, on or after July 1, 1989, ceases to	40147
be a resident of a state institution because of closure of the	40148
institution or a reduction in the institution's population by	40149
forty per cent or more within a period of one year. The services	40150
shall be provided in the county in which the person chooses to	40151
reside and shall consist of one of the following as determined	40152
appropriate by the department in consultation with the county	40153
board of mental retardation and developmental disabilities of the	40154
county in which the services are to be provided:	40155

(1) Residential services provided pursuant to section 5123.18	40156
of the Revised Code;	40157

(2) Supported living provided pursuant to section 5123.182 of	40158
the Revised Code;	40159

(3) Residential services for which reimbursement is made	40160
under the medical assistance program established under section	40161
5111.01 of the Revised Code;	40162

(4)(3) Residential services provided in a manner or setting	40163
approved by the director of mental retardation and developmental	40164
disabilities.	40165

(C) Not less than six months prior to closing a state	40166
institution or reducing a state institution's population by forty	40167
per cent or more within a period of one year, the department shall	40168
identify those counties in which individuals leaving the	40169
institution have chosen to reside and notify the county boards of	40170
mental retardation and developmental disabilities in those	40171
counties of the need to develop the services specified in division	40172
(B) of this section. The notice shall specify the number of	40173
individuals requiring services who plan to reside in the county	40174
and indicate the amount of funds the department will use to	40175
provide or arrange services for those individuals.	40176

(D) In each county in which one or more persons receive	40177
residential services pursuant to division (B) of this section, the	40178
department shall provide or arrange provision of residential	40179
services, or shall distribute moneys to the county board of mental	40180
retardation and developmental disabilities to provide or arrange	40181
provision of residential services, for an equal number of persons	40182
with mental retardation or developmental disabilities in that	40183
county who the county board has determined need residential	40184
services but are not receiving them.	40185

Sec. 5123.38. (A) Except as provided in division (B) and (C)	40186
of this section, if an individual receiving supported living or	40187
home and community-based services, as defined in section 5126.01	40188
of the Revised Code, funded by a county board of mental	40189
retardation and developmental disabilities is committed to a	40190
state-operated intermediate care facility for the mentally	40191
retarded pursuant to sections 5123.71 to 5123.76 of the Revised	40192
Code, the department of mental retardation and developmental	40193
disabilities shall use the funds otherwise allocated to the county	40194
board as the nonfederal share of medicaid expenditures for the	40195
individual's care in the state-operated facility.	40196

(B) Division (A) of this section does not apply if the county	40197
board, not later than ninety days after the date of the commitment	40198
of a person receiving supported services, commences funding of	40199
supported living for an individual who resides in a state-operated	40200
intermediate care facility for the mentally retarded on the date	40201
of the commitment or another eligible individual designated by the	40202
department.	40203

(C) Division (A) of this section does not apply if the county	40204
board, not later than ninety days after the date of the commitment	40205
of a person receiving home and community-based services, commences	40206
funding of home and community-based services for an individual who	40207
resides in a state-operated intermediate care facility for the	40208
mentally retarded on the date of the commitment or another	40209
eligible individual designated by the department.	40210

Sec. 5123.41.  As used in this section and sections 5123.42	40211
to 5123.47 of the Revised Code:	40212

(A) "Adult services" has the same meaning as in section	40213
5126.01 of the Revised Code.	40214

(B) "Certified home and community-based services provider"	40215
means a person or government entity certified under section	40216
5123.16 of the Revised Code.	40217

(C) "Certified supported living provider" means a person or	40218
government entity certified under section 5126.4315123.161 of the	40219
Revised Code.	40220

(D)(C) "Drug" has the same meaning as in section 4729.01 of	40221
the Revised Code.	40222

(E)(D) "Family support services" has the same meaning as in	40223
section 5126.01 of the Revised Code.	40224

(F)(E) "Health-related activities" means the following:

40225

(1) Taking vital signs;

40226

(2) Application of clean dressings that do not require health	40227
assessment;	40228

(3) Basic measurement of bodily intake and output;

40229

(4) Oral suctioning;

40230

(5) Use of glucometers;

40231

(6) External urinary catheter care;

40232

(7) Emptying and replacing colostomy bags;

40233

(8) Collection of specimens by noninvasive means.

40234

(G)(F) "Licensed health professional authorized to prescribe	40235
drugs" has the same meaning as in section 4729.01 of the Revised	40236
Code.	40237

(H) "Medicaid" has the same meaning as in section 5111.01 of	40238
the Revised Code.	40239

(I)(G) "MR/DD personnel" means the employees and the workers	40240
under contract who provide specialized services to individuals	40241
with mental retardation and developmental disabilities. "MR/DD	40242
personnel" includes those who provide the services as follows:	40243

(1) Through direct employment with the department of mental	40244
retardation and developmental disabilities or a county board of	40245
mental retardation and developmental disabilities;	40246

(2) Through an entity under contract with the department of	40247
mental retardation and developmental disabilities or a county	40248
board of mental retardation and developmental disabilities;	40249

(3) Through direct employment or by being under contract with	40250
private entities, including private entities that operate	40251
residential facilities.	40252

(J)(H) "Nursing delegation" means the process established in	40253
rules adopted by the board of nursing pursuant to Chapter 4723. of	40254
the Revised Code under which a registered nurse or licensed	40255
practical nurse acting at the direction of a registered nurse	40256
transfers the performance of a particular nursing activity or task	40257
to another person who is not otherwise authorized to perform the	40258
activity or task.	40259

(K)(I) "Prescribed medication" means a drug that is to be	40260
administered according to the instructions of a licensed health	40261
professional authorized to prescribe drugs.	40262

(L)(J) "Residential facility" means a facility licensed under	40263
section 5123.19 of the Revised Code or subject to section 5123.192	40264
of the Revised Code.	40265

(M)(K) "Specialized services" has the same meaning as in	40266
section 5123.50 of the Revised Code.	40267

(N)(L) "Tube feeding" means the provision of nutrition to an	40268
individual through a gastrostomy tube or a jejunostomy tube.	40269

Sec. 5123.51.  (A) In addition to any other action required	40270
by sections 5123.61 and 5126.31 of the Revised Code, the	40271
department of mental retardation and developmental disabilities	40272
shall review each report the department receives of abuse or	40273
neglect of an individual with mental retardation or a	40274
developmental disability or misappropriation of an individual's	40275
property that includes an allegation that an MR/DD employee	40276
committed or was responsible for the abuse, neglect, or	40277
misappropriation. The department shall review a report it receives	40278
from a public children services agency only after the agency	40279
completes its investigation pursuant to section 2151.421 of the	40280
Revised Code. On receipt of a notice under section 2930.061 or	40281
5123.541 of the Revised Code, the department shall review the	40282
notice.	40283

(B) The department shall do both of the following:

40284

(1) Investigate the allegation or adopt the findings of an	40285
investigation or review of the allegation conducted by another	40286
person or government entity and determine whether there is a	40287
reasonable basis for the allegation;	40288

(2) If the department determines that there is a reasonable	40289
basis for the allegation, conduct an adjudication pursuant to	40290
Chapter 119. of the Revised Code.	40291

(C)(1) The department shall appoint an independent hearing	40292
officer to conduct any hearing conducted pursuant to division	40293
(B)(2) of this section, except that, if the hearing is regarding	40294
an employee of the department who is represented by a union, the	40295
department and a representative of the union shall jointly select	40296
the hearing officer.	40297

(2)(a) Except as provided in division (C)(2)(b) of this	40298
section, no hearing shall be conducted under division (B)(2) of	40299
this section until any criminal proceeding or collective	40300
bargaining arbitration concerning the same allegation has	40301
concluded.	40302

(b) The department may conduct a hearing pursuant to division	40303
(B)(2) of this section before a criminal proceeding concerning the	40304
same allegation is concluded if both of the following are the	40305
case:	40306

(i) The department notifies the prosecutor responsible for	40307
the criminal proceeding that the department proposes to conduct a	40308
hearing.	40309

(ii) The prosecutor consents to the hearing.

40310

(3) In conducting a hearing pursuant to division (B)(2) of	40311
this section, the hearing officer shall do all of the following:	40312

(a) Determine whether there is clear and convincing evidence	40313
that the MR/DD employee has done any of the following:	40314

(i) Misappropriated property of one or more individuals with	40315
mental retardation or a developmental disability that has a value,	40316
either separately or taken together, of one hundred dollars or	40317
more;	40318

(ii) Misappropriated property of an individual with mental	40319
retardation or a developmental disability that is designed to be	40320
used as a check, draft, negotiable instrument, credit card, charge	40321
card, or device for initiating an electronic fund transfer at a	40322
point of sale terminal, automated teller machine, or cash	40323
dispensing machine;	40324

(iii) Knowingly abused such an individual;

40325

(iv) Recklessly abused or neglected such an individual, with	40326
resulting physical harm;	40327

(v) Negligently abused or neglected such an individual, with	40328
resulting serious physical harm;	40329

(vi) Recklessly neglected such an individual, creating a	40330
substantial risk of serious physical harm;	40331

(vii) Engaged in sexual conduct or had sexual contact with an	40332
individual with mental retardation or another developmental	40333
disability who was not the MR/DD employee's spouse and for whom	40334
the MR/DD employee was employed or under a contract to provide	40335
care;	40336

(viii) Unreasonably failed to make a report pursuant to	40337
division (C) of section 5123.61 of the Revised Code when the	40338
employee knew or should have known that the failure would result	40339
in a substantial risk of harm to an individual with mental	40340
retardation or a developmental disability.	40341

(b) Give weight to the decision in any collective bargaining	40342
arbitration regarding the same allegation;	40343

(c) Give weight to any relevant facts presented at the	40344
hearing.	40345

(D)(1) Unless the director of mental retardation and	40346
developmental disabilities determines that there are extenuating	40347
circumstances and except as provided in division (E) of this	40348
section, if the director, after considering all of the factors	40349
listed in division (C)(3) of this section, finds that there is	40350
clear and convincing evidence that an MR/DD employee has done one	40351
or more of the things described in division (C)(3)(a) of this	40352
section the director shall include the name of the employee in the	40353
registry established under section 5123.52 of the Revised Code.	40354

(2) Extenuating circumstances the director must consider	40355
include the use of physical force by an MR/DD employee that was	40356
necessary as self-defense.	40357

(3) If the director includes an MR/DD employee in the	40358
registry established under section 5123.52 of the Revised Code,	40359
the director shall notify the employee, the person or government	40360
entity that employs or contracts with the employee, the individual	40361
with mental retardation or a developmental disability who was the	40362
subject of the report and that individual's legal guardian, if	40363
any, the attorney general, and the prosecuting attorney or other	40364
law enforcement agency. If the MR/DD employee holds a license,	40365
certificate, registration, or other authorization to engage in a	40366
profession issued pursuant to Title XLVII of the Revised Code, the	40367
director shall notify the appropriate agency, board, department,	40368
or other entity responsible for regulating the employee's	40369
professional practice.	40370

(4) If an individual whose name appears on the registry is	40371
involved in a court proceeding or arbitration arising from the	40372
same facts as the allegation resulting in the individual's	40373
placement on the registry, the disposition of the proceeding or	40374
arbitration shall be noted in the registry next to the	40375
individual's name.	40376

(E) In the case of an allegation concerning an employee of	40377
the department, after the hearing conducted pursuant to division	40378
(B)(2) of this section, the director of health or that director's	40379
designee shall review the decision of the hearing officer to	40380
determine whether the standard described in division (C)(3) of	40381
this section has been met. If the director or designee determines	40382
that the standard has been met and that no extenuating	40383
circumstances exist, the director or designee shall notify the	40384
director of mental retardation and developmental disabilities that	40385
the MR/DD employee is to be included in the registry established	40386
under section 5123.52 of the Revised Code. If the director of	40387
mental retardation and developmental disabilities receives such	40388
notification, the director shall include the MR/DD employee in the	40389
registry and shall provide the notification described in division	40390
(D)(3) of this section.	40391

(F) If the department is required by Chapter 119. of the	40392
Revised Code to give notice of an opportunity for a hearing and	40393
the MR/DD employee subject to the notice does not timely request a	40394
hearing in accordance with section 119.07 or 5123.0414 of the	40395
Revised Code, the department is not required to hold a hearing.	40396

(G) Files and records of investigations conducted pursuant to	40397
this section are not public records as defined in section 149.43	40398
of the Revised Code, but, on request, the department shall provide	40399
copies of those files and records to the attorney general, a	40400
prosecuting attorney, or a law enforcement agency.	40401

Sec. 5123.605. There is hereby created in the state treasury	40402
the program income fund. Revenue generated from settlements,	40403
gifts, donations, and other sources of legal rights service	40404
program income shall be credited to the fund. The program income	40405
fund shall be used to support legal rights service programs for	40406
purposes from which the income was derived and for the general	40407
support of legal rights service programs.	40408

Sec. 5123.99.  (A) Whoever violates section 5123.16 or	40409
5123.20 of the Revised Code is guilty of a misdemeanor of the	40410
first degree.	40411

(B) Whoever violates division (C), (E), or (G)(3) of section	40412
5123.61 of the Revised Code is guilty of a misdemeanor of the	40413
fourth degree or, if the abuse or neglect constitutes a felony, a	40414
misdemeanor of the second degree. In addition to any other	40415
sanction or penalty authorized or required by law, if a person who	40416
is convicted of or pleads guilty to a violation of division (C),	40417
(E), or (G)(3) of section 5123.61 of the Revised Code is an MR/DD	40418
employee, as defined in section 5123.50 of the Revised Code, the	40419
offender shall be eligible to be included in the registry	40420
regarding misappropriation, abuse, neglect, or other specified	40421
misconduct by MR/DD employees established under section 5123.52 of	40422
the Revised Code.	40423

(C) Whoever violates division (A) of section 5123.604 of the	40424
Revised Code is guilty of a misdemeanor of the second degree.	40425

(D) Whoever violates division (B) of section 5123.604 of the	40426
Revised Code shall be fined not more than one thousand dollars.	40427
Each violation constitutes a separate offense.	40428

Sec. 5126.038.  (A)(1) As used in this section, "professional	40429
services" means all of the following services provided on behalf	40430
of a county board of mental retardation and developmental	40431
disabilities, members or employees of a county board, or both:	40432

(a)(1) Lobbying and other governmental affairs services;

40433

(b)(2) Legal services other than the legal services provided	40434
by a county prosecutor or provided for the purpose of collective	40435
bargaining;	40436

(c)(3) Public relation services;

40437

(d)(4) Consulting services;

40438

(e)(5) Personnel training services, not including tuition or	40439
professional growth reimbursement programs for county board	40440
members or employees.	40441

(2) "Professional services" does not mean services provided	40442
pursuant to a service contract as defined in section 5126.035 of	40443
the Revised Code.	40444

(B) Each county board of mental retardation and developmental	40445
disabilities shall submit to the board of county commissioners of	40446
each county that is served by the county board, in accordance with	40447
the normal budget process and as part of its budget request, a	40448
list identifying the total expenditures projected for any of the	40449
following:	40450

(1) Any membership dues of the members or employees of the	40451
county board, in any organization, association, or other entity;	40452

(2) Any professional services of the county board, its	40453
members or employees, or both;	40454

(3) Any training of the members or employees of the county	40455
board.	40456

Sec. 5126.042.  (A) As used in this section, "emergency"	40457
means any situation that creates for an individual with mental	40458
retardation or developmental disabilities a risk of substantial	40459
self-harm or substantial harm to others if action is not taken	40460
within thirty days. An "emergency" may include one or more of the	40461
following situations:	40462

(1) Loss of present residence for any reason, including legal	40463
action;	40464

(2) Loss of present caretaker for any reason, including	40465
serious illness of the caretaker, change in the caretaker's	40466
status, or inability of the caretaker to perform effectively for	40467
the individual;	40468

(3) Abuse, neglect, or exploitation of the individual;

40469

(4) Health and safety conditions that pose a serious risk to	40470
the individual or others of immediate harm or death;	40471

(5) Change in the emotional or physical condition of the	40472
individual that necessitates substantial accommodation that cannot	40473
be reasonably provided by the individual's existing caretaker.	40474

(B) If a county board of mental retardation and developmental	40475
disabilities determines that available resources are not	40476
sufficient to meet the needs of all individuals who request	40477
programs and services and may be offered the programs and	40478
services, it shall establish waiting lists for services. The board	40479
may establish priorities for making placements on its waiting	40480
lists according to an individual's emergency status and shall	40481
establish priorities in accordance with divisions (D) and (E) of	40482
this section.	40483

The individuals who may be placed on a waiting list include	40484
individuals with a need for services on an emergency basis and	40485
individuals who have requested services for which resources are	40486
not available.	40487

Except for an individual who is to receive priority for	40488
services pursuant to division (D)(3) of this section, an	40489
individual who currently receives a service but would like to	40490
change to another service shall not be placed on a waiting list	40491
but shall be placed on a service substitution list. The board	40492
shall work with the individual, service providers, and all	40493
appropriate entities to facilitate the change in service as	40494
expeditiously as possible. The board may establish priorities for	40495
making placements on its service substitution lists according to	40496
an individual's emergency status.	40497

In addition to maintaining waiting lists and service	40498
substitution lists, a board shall maintain a long-term service	40499
planning registry for individuals who wish to record their	40500
intention to request in the future a service they are not	40501
currently receiving. The purpose of the registry is to enable the	40502
board to document requests and to plan appropriately. The board	40503
may not place an individual on the registry who meets the	40504
conditions for receipt of services on an emergency basis.	40505

(C) A county board shall establish a separate waiting list	40506
for each of the following categories of services, and may	40507
establish separate waiting lists within the waiting lists:	40508

(1) Early childhood services;

40509

(2) Educational programs for preschool and school age	40510
children;	40511

(3) Adult services;

40512

(4) Service and support administration;

40513

(5) Residential services and supported living;

40514

(6) Transportation services;

40515

(7) Other services determined necessary and appropriate for	40516
persons with mental retardation or a developmental disability	40517
according to their individual habilitation or service plans;	40518

(8) Family support services provided under section 5126.11 of	40519
the Revised Code.	40520

(D) Except as provided in division (G) of this section, a	40521
county board shall do, as priorities, all of the following in	40522
accordance with the assessment component, approved under section	40523
5123.046 of the Revised Code, of the county board's plan developed	40524
under section 5126.054 of the Revised Code:	40525

(1) For the purpose of obtaining additional federal medicaid	40526
funds for home and community-based services and medicaid case	40527
management services, do both of the following:	40528

(a) Give an individual who is eligible for home and	40529
community-based services and meets both of the following	40530
requirements priority over any other individual on a waiting list	40531
established under division (C) of this section for home and	40532
community-based services that include supported living,	40533
residential services, or family support services:	40534

(i) Is twenty-two years of age or older;

40535

(ii) Receives supported living or family support services.

40536

(b) Give an individual who is eligible for home and	40537
community-based services and meets both of the following	40538
requirements priority over any other individual on a waiting list	40539
established under division (C) of this section for home and	40540
community-based services that include adult services:	40541

(i) Resides in the individual's own home or the home of the	40542
individual's family and will continue to reside in that home after	40543
enrollment in home and community-based services;	40544

(ii) Receives adult services from the county board.

40545

(2) As federal medicaid funds become available pursuant to	40546
division (D)(1) of this section, give an individual who is	40547
eligible for home and community-based services and meets any of	40548
the following requirements priority for such services over any	40549
other individual on a waiting list established under division (C)	40550
of this section:	40551

(a) Does not receive residential services or supported	40552
living, either needs services in the individual's current living	40553
arrangement or will need services in a new living arrangement, and	40554
has a primary caregiver who is sixty years of age or older;	40555

(b) Is less than twenty-two years of age and has at least one	40556
of the following service needs that are unusual in scope or	40557
intensity:	40558

(i) Severe behavior problems for which a behavior support	40559
plan is needed;	40560

(ii) An emotional disorder for which anti-psychotic	40561
medication is needed;	40562

(iii) A medical condition that leaves the individual	40563
dependent on life-support medical technology;	40564

(iv) A condition affecting multiple body systems for which a	40565
combination of specialized medical, psychological, educational, or	40566
habilitation services are needed;	40567

(v) A condition the county board determines to be comparable	40568
in severity to any condition described in divisiondivisions	40569
(D)(2)(b)(i) to (iv) of this section and places the individual at	40570
significant risk of institutionalization.	40571

(c) Is twenty-two years of age or older, does not receive	40572
residential services or supported living, and is determined by the	40573
county board to have intensive needs for home and community-based	40574
services on an in-home or out-of-home basis.	40575

(3) In fiscal years 2002 and 2003, give an individual who is	40576
eligible for home and community-based services, resides in an	40577
intermediate care facility for the mentally retarded or nursing	40578
facility, chooses to move to another setting with the help of home	40579
and community-based services, and has been determined by the	40580
department of mental retardation and developmental disabilities to	40581
be capable of residing in the other setting, priority over any	40582
other individual on a waiting list established under division (C)	40583
of this section for home and community-based services who does not	40584
meet these criteria. The department of mental retardation and	40585
developmental disabilities shall identify the individuals to	40586
receive priority under division (D)(3) of this section, assess the	40587
needs of the individuals, and notify the county boards that are to	40588
provide the individuals priority under division (D)(3) of this	40589
section of the individuals identified by the department and the	40590
individuals' assessed needs.	40591

(E) Except as provided in division (G) of this section and	40592
for a number of years and beginning on a date specified in rules	40593
adopted under division (K) of this section, a county board shall	40594
give an individual who is eligible for home and community-based	40595
services, resides in a nursing facility, and chooses to move to	40596
another setting with the help of home and community-based	40597
services, priority over any other individual on a waiting list	40598
established under division (C) of this section for home and	40599
community-based services who does not meet these criteria.	40600

(F) If two or more individuals on a waiting list established	40601
under division (C) of this section for home and community-based	40602
services have priority for the services pursuant to division	40603
(D)(1) or (2) or (E) of this section, a county board may use,	40604
until December 31, 20072009, criteria specified in rules adopted	40605
under division (K)(2) of this section in determining the order in	40606
which the individuals with priority will be offered the services.	40607
Otherwise, the county board shall offer the home and	40608
community-based services to such individuals in the order they are	40609
placed on the waiting list.	40610

(G)(1) No individual may receive priority for services	40611
pursuant to division (D) or (E) of this section over an individual	40612
placed on a waiting list established under division (C) of this	40613
section on an emergency status.	40614

(2) No more than four hundred individuals in the state may	40615
receive priority for services during the 20062008 and 20072009	40616
biennium pursuant to division (D)(2)(b) of this section.	40617

(3) No more than a total of seventy-five individuals in the	40618
state may receive priority for services during state fiscal years	40619
2002 and 2003 pursuant to division (D)(3) of this section.	40620

(4) No more than forty individuals in the state may receive	40621
priority for services pursuant to division (E) of this section for	40622
each year that priority category is in effect as specified in	40623
rules adopted under division (K) of this section.	40624

(H) Prior to establishing any waiting list under this	40625
section, a county board shall develop and implement a policy for	40626
waiting lists that complies with this section and rules adopted	40627
under division (K) of this section.	40628

Prior to placing an individual on a waiting list, the county	40629
board shall assess the service needs of the individual in	40630
accordance with all applicable state and federal laws. The county	40631
board shall place the individual on the appropriate waiting list	40632
and may place the individual on more than one waiting list. The	40633
county board shall notify the individual of the individual's	40634
placement and position on each waiting list on which the	40635
individual is placed.	40636

At least annually, the county board shall reassess the	40637
service needs of each individual on a waiting list. If it	40638
determines that an individual no longer needs a program or	40639
service, the county board shall remove the individual from the	40640
waiting list. If it determines that an individual needs a program	40641
or service other than the one for which the individual is on the	40642
waiting list, the county board shall provide the program or	40643
service to the individual or place the individual on a waiting	40644
list for the program or service in accordance with the board's	40645
policy for waiting lists.	40646

When a program or service for which there is a waiting list	40647
becomes available, the county board shall reassess the service	40648
needs of the individual next scheduled on the waiting list to	40649
receive that program or service. If the reassessment demonstrates	40650
that the individual continues to need the program or service, the	40651
board shall offer the program or service to the individual. If it	40652
determines that an individual no longer needs a program or	40653
service, the county board shall remove the individual from the	40654
waiting list. If it determines that an individual needs a program	40655
or service other than the one for which the individual is on the	40656
waiting list, the county board shall provide the program or	40657
service to the individual or place the individual on a waiting	40658
list for the program or service in accordance with the board's	40659
policy for waiting lists. The county board shall notify the	40660
individual of the individual's placement and position on the	40661
waiting list on which the individual is placed.	40662

(I) A child subject to a determination made pursuant to	40663
section 121.38 of the Revised Code who requires the home and	40664
community-based services provided through a medicaid component	40665
that the department of mental retardation and developmental	40666
disabilities administers under section 5111.871 of the Revised	40667
Code shall receive services through that medicaid component. For	40668
all other services, a child subject to a determination made	40669
pursuant to section 121.38 of the Revised Code shall be treated as	40670
an emergency by the county boards and shall not be subject to a	40671
waiting list.	40672

(J) Not later than the fifteenth day of March of each	40673
even-numbered year, each county board shall prepare and submit to	40674
the director of mental retardation and developmental disabilities	40675
its recommendations for the funding of services for individuals	40676
with mental retardation and developmental disabilities and its	40677
proposals for reducing the waiting lists for services.	40678

(K)(1) The department of mental retardation and developmental	40679
disabilities shall adopt rules in accordance with Chapter 119. of	40680
the Revised Code governing waiting lists established under this	40681
section. The rules shall include procedures to be followed to	40682
ensure that the due process rights of individuals placed on	40683
waiting lists are not violated.	40684

(2) As part of the rules adopted under this division, the	40685
department shall adopt rules establishing criteria a county board	40686
may use under division (F) of this section in determining the	40687
order in which individuals with priority for home and	40688
community-based services will be offered the services. The rules	40689
shall also specify conditions under which a county board, when	40690
there is no individual with priority for home and community-based	40691
services pursuant to division (D)(1) or (2) or (E) of this section	40692
available and appropriate for the services, may offer the services	40693
to an individual on a waiting list for the services but not given	40694
such priority for the services. The rules adopted under division	40695
(K)(2) of this section shall cease to have effect December 31,	40696
20072009.	40697

(3) As part of the rules adopted under this division, the	40698
department shall adopt rules specifying both of the following for	40699
the priority category established under division (E) of this	40700
section:	40701

(a) The number of years, which shall not exceed five, that	40702
the priority category will be in effect;	40703

(b) The date that the priority category is to go into effect.

40704

(L) The following shall take precedence over the applicable	40705
provisions of this section:	40706

(1) Medicaid rules and regulations;

40707

(2) Any specific requirements that may be contained within a	40708
medicaid state plan amendment or waiver program that a county	40709
board has authority to administer or with respect to which it has	40710
authority to provide services, programs, or supports.	40711

Sec. 5126.046. (A) Each county board of mental retardation	40712
and developmental disabilities that has medicaid local	40713
administrative authority under division (A) of section 5126.055 of	40714
the Revised Code for habilitation, vocational, or community	40715
employment services provided as part of home and community-based	40716
services shall create a list of all persons and government	40717
entities eligible to provide such habilitation, vocational, or	40718
community employment services. If the county board chooses and is	40719
eligible to provide such habilitation, vocational, or community	40720
employment services, the county board shall include itself on the	40721
list. The county board shall make the list available to each	40722
individual with mental retardation or other developmental	40723
disability who resides in the county and is eligible for such	40724
habilitation, vocational, or community employment services. The	40725
county board shall also make the list available to such	40726
individuals' families.	40727

An individual with mental retardation or other developmental	40728
disability who is eligible for habilitation, vocational, or	40729
community employment services may choose the provider of the	40730
services.	40731

A county board that has medicaid local administrative	40732
authority under division (A) of section 5126.055 of the Revised	40733
Code for habilitation, vocational, and community employment	40734
services provided as part of home and community-based services	40735
shall pay the nonfederal share of the habilitation, vocational,	40736
and community employment services when required by section	40737
5126.057 of the Revised Code. The department of mental retardation	40738
and developmental disabilities shall pay the nonfederal share of	40739
such habilitation, vocational, and community employment services	40740
when required by section 5123.047 of the Revised Code.	40741

(B) Each month, the department of mental retardation and	40742
developmental disabilities shall create a list of all persons and	40743
government entities eligible to provide residential services and	40744
supported living. The department shall include on the list all	40745
residential facilities licensed under section 5123.19 of the	40746
Revised Code and all supported living providers certified under	40747
section 5126.4315123.161 of the Revised Code. The department	40748
shall distribute the monthly lists to county boards that have	40749
local administrative authority under division (A) of section	40750
5126.055 of the Revised Code for residential services and	40751
supported living provided as part of home and community-based	40752
services. A county board that receives a list shall make it	40753
available to each individual with mental retardation or other	40754
developmental disability who resides in the county and is eligible	40755
for such residential services or supported living. The county	40756
board shall also make the list available to the families of those	40757
individuals.	40758

An individual who is eligible for residential services or	40759
supported living may choose the provider of the residential	40760
services or supported living.	40761

A county board that has medicaid local administrative	40762
authority under division (A) of section 5126.055 of the Revised	40763
Code for residential services and supported living provided as	40764
part of home and community-based services shall pay the nonfederal	40765
share of the residential services and supported living when	40766
required by section 5126.057 of the Revised Code. The department	40767
shall pay the nonfederal share of the residential services and	40768
supported living when required by section 5123.047 of the Revised	40769
Code.	40770

(C) If a county board that has medicaid local administrative	40771
authority under division (A) of section 5126.055 of the Revised	40772
Code for home and community-based services violates the right	40773
established by this section of an individual to choose a provider	40774
that is qualified and willing to provide services to the	40775
individual, the individual shall receive timely notice that the	40776
individual may request a hearing under section 5101.35 of the	40777
Revised Code.	40778

(D) The departments of mental retardation and developmental	40779
disabilities and job and family services shall adopt rules in	40780
accordance with Chapter 119. of the Revised Code governing the	40781
implementation of this section. The rules shall include procedures	40782
for individuals to choose their service providers. The rules shall	40783
not be limited by a provider selection system established under	40784
section 5126.42 of the Revised Code, including any pool of	40785
providers created pursuant to a provider selection system.	40786

Sec. 5126.055.  (A) Except as provided in section 5126.056	40787
of the Revised Code, a county board of mental retardation and	40788
developmental disabilities has medicaid local administrative	40789
authority to, and shall, do all of the following for an individual	40790
with mental retardation or other developmental disability who	40791
resides in the county that the county board serves and seeks or	40792
receives home and community-based services:	40793

(1) Perform assessments and evaluations of the individual. As	40794
part of the assessment and evaluation process, the county board	40795
shall do all of the following:	40796

(a) Make a recommendation to the department of mental	40797
retardation and developmental disabilities on whether the	40798
department should approve or deny the individual's application for	40799
the services, including on the basis of whether the individual	40800
needs the level of care an intermediate care facility for the	40801
mentally retarded provides;	40802

(b) If the individual's application is denied because of the	40803
county board's recommendation and the individual requests a	40804
hearing under section 5101.35 of the Revised Code, present, with	40805
the department of mental retardation and developmental	40806
disabilities or department of job and family services, whichever	40807
denies the application, the reasons for the recommendation and	40808
denial at the hearing;	40809

(c) If the individual's application is approved, recommend to	40810
the departments of mental retardation and developmental	40811
disabilities and job and family services the services that should	40812
be included in the individual's individualized service plan and,	40813
if either department approves, reduces, denies, or terminates a	40814
service included in the individual's individualized service plan	40815
under section 5111.871 of the Revised Code because of the county	40816
board's recommendation, present, with the department that made the	40817
approval, reduction, denial, or termination, the reasons for the	40818
recommendation and approval, reduction, denial, or termination at	40819
a hearing under section 5101.35 of the Revised Code.	40820

(2) If the individual has been identified by the department	40821
of mental retardation and developmental disabilities as an	40822
individual to receive priority for home and community-based	40823
services pursuant to division (D)(3) of section 5126.042 of the	40824
Revised Code, assist the department in expediting the transfer of	40825
the individual from an intermediate care facility for the mentally	40826
retarded or nursing facility to the home and community-based	40827
services;	40828

(3) In accordance with the rules adopted under section	40829
5126.046 of the Revised Code, perform the county board's duties	40830
under that section regarding assisting the individual's right to	40831
choose a qualified and willing provider of the services and, at a	40832
hearing under section 5101.35 of the Revised Code, present	40833
evidence of the process for appropriate assistance in choosing	40834
providers;	40835

(4) Unless the county board provides the services under	40836
division (A)(5) of this section, contract with the person or	40837
government entity the individual chooses in accordance with	40838
section 5126.046 of the Revised Code to provide the services if	40839
the person or government entity is qualified and agrees to provide	40840
the services. The contract shall contain all the provisions	40841
required by section 5126.035 of the Revised Code and require the	40842
provider to agree to furnish, in accordance with the provider's	40843
medicaid provider agreement and for the authorized reimbursement	40844
rate, the services the individual requires.	40845

(5) If the county board is certified under section 5123.16	40846
5123.161 of the Revised Code to provide the services and agrees to	40847
provide the services to the individual and the individual chooses	40848
the county board to provide the services, furnish, in accordance	40849
with the county board's medicaid provider agreement and for the	40850
authorized reimbursement rate, the services the individual	40851
requires;	40852

(6)(5) Monitor the services provided to the individual and	40853
ensure the individual's health, safety, and welfare. The	40854
monitoring shall include quality assurance activities. If the	40855
county board provides the services, the department of mental	40856
retardation and developmental disabilities shall also monitor the	40857
services.	40858

(7)(6) Develop, with the individual and the provider of the	40859
individual's services, an effective individualized service plan	40860
that includes coordination of services, recommend that the	40861
departments of mental retardation and developmental disabilities	40862
and job and family services approve the plan, and implement the	40863
plan unless either department disapproves it;	40864

(8)(7) Have an investigative agent conduct investigations	40865
under section 5126.313 of the Revised Code that concern the	40866
individual;	40867

(9)(8) Have a service and support administrator perform the	40868
duties under division (B)(9) of section 5126.15 of the Revised	40869
Code that concern the individual.	40870

(B) A county board shall perform its medicaid local	40871
administrative authority under this section in accordance with all	40872
of the following:	40873

(1) The county board's plan that the department of mental	40874
retardation and developmental disabilities approves under section	40875
5123.046 of the Revised Code;	40876

(2) All applicable federal and state laws;

40877

(3) All applicable policies of the departments of mental	40878
retardation and developmental disabilities and job and family	40879
services and the United States department of health and human	40880
services;	40881

(4) The department of job and family services' supervision	40882
under its authority under section 5111.01 of the Revised Code to	40883
act as the single state medicaid agency;	40884

(5) The department of mental retardation and developmental	40885
disabilities' oversight.	40886

(C) The departments of mental retardation and developmental	40887
disabilities and job and family services shall communicate with	40888
and provide training to county boards regarding medicaid local	40889
administrative authority granted by this section. The	40890
communication and training shall include issues regarding audit	40891
protocols and other standards established by the United States	40892
department of health and human services that the departments	40893
determine appropriate for communication and training. County	40894
boards shall participate in the training. The departments shall	40895
assess the county board's compliance against uniform standards	40896
that the departments shall establish.	40897

(D) A county board may not delegate its medicaid local	40898
administrative authority granted under this section but may	40899
contract with a person or government entity, including a council	40900
of governments, for assistance with its medicaid local	40901
administrative authority. A county board that enters into such a	40902
contract shall notify the director of mental retardation and	40903
developmental disabilities. The notice shall include the tasks and	40904
responsibilities that the contract gives to the person or	40905
government entity. The person or government entity shall comply in	40906
full with all requirements to which the county board is subject	40907
regarding the person or government entity's tasks and	40908
responsibilities under the contract. The county board remains	40909
ultimately responsible for the tasks and responsibilities.	40910

(E) A county board that has medicaid local administrative	40911
authority under this section shall, through the departments of	40912
mental retardation and developmental disabilities and job and	40913
family services, reply to, and cooperate in arranging compliance	40914
with, a program or fiscal audit or program violation exception	40915
that a state or federal audit or review discovers. The department	40916
of job and family services shall timely notify the department of	40917
mental retardation and developmental disabilities and the county	40918
board of any adverse findings. After receiving the notice, the	40919
county board, in conjunction with the department of mental	40920
retardation and developmental disabilities, shall cooperate fully	40921
with the department of job and family services and timely prepare	40922
and send to the department a written plan of correction or	40923
response to the adverse findings. The county board is liable for	40924
any adverse findings that result from an action it takes or fails	40925
to take in its implementation of medicaid local administrative	40926
authority.	40927

(F) If the department of mental retardation and developmental	40928
disabilities or department of job and family services determines	40929
that a county board's implementation of its medicaid local	40930
administrative authority under this section is deficient, the	40931
department that makes the determination shall require that county	40932
board do the following:	40933

(1) If the deficiency affects the health, safety, or welfare	40934
of an individual with mental retardation or other developmental	40935
disability, correct the deficiency within twenty-four hours;	40936

(2) If the deficiency does not affect the health, safety, or	40937
welfare of an individual with mental retardation or other	40938
developmental disability, receive technical assistance from the	40939
department or submit a plan of correction to the department that	40940
is acceptable to the department within sixty days and correct the	40941
deficiency within the time required by the plan of correction.	40942

Sec. 5126.057. (A) A county board of mental retardation and	40943
developmental disabilities that has medicaid local administrative	40944
authority under division (A) of section 5126.055 of the Revised	40945
Code for home and community-based services shall pay the	40946
nonfederal share of medicaid expenditures for such services	40947
provided to an individual with mental retardation or other	40948
developmental disability who the county board determines under	40949
section 5126.041 of the Revised Code is eligible for county board	40950
services unless division (B)(2) or (3) of section 5123.047 of the	40951
Revised Code requires the department of mental retardation and	40952
developmental disabilities to pay the nonfederal share.	40953

A county board that provides medicaid case management	40954
services shall pay the nonfederal share of medicaid expenditures	40955
for such services provided to an individual with mental	40956
retardation or other developmental disability who the county board	40957
determines under section 5126.041 of the Revised Code is eligible	40958
for county board services.	40959

(B) A county board may use the following funds to pay the	40960
nonfederal share of the services that the county board is required	40961
by division (A) of this section to pay:	40962

(1) To the extent consistent with the levy that generated the	40963
taxes, the following taxes:	40964

(a) Taxes levied pursuant to division (L) of section 5705.19	40965
of the Revised Code and section 5705.222 of the Revised Code;	40966

(b) Taxes levied under section 5705.191 of the Revised Code	40967
that the board of county commissioners allocates to the county	40968
board to pay the nonfederal share of the services.	40969

(2) Funds that the department of mental retardation and	40970
developmental disabilities distributes to the county board under	40971
sections 5126.11, 5126.12, 5126.15,section 5126.18, and 5126.44	40972
of the Revised Code;	40973

(3) Earned federal revenue funds the county board receives	40974
for medicaid services the county board provides pursuant to the	40975
county board's valid medicaid provider agreement;	40976

(4) Funds that the department of mental retardation and	40977
developmental disabilities distributes to the county board as	40978
subsidy payments.	40979

(C) If by December 31, 2001, the United States secretary of	40980
health and human services approves at least five hundred more	40981
slots for home and community-based services for calendar year 2002	40982
than were available for calendar year 2001, each county board	40983
shall provide, by the last day of calendar year 2001, assurances	40984
to the department of mental retardation and developmental	40985
disabilities that the county board will have for calendar year	40986
2002 at least one-third of the value of one-half, effective mill	40987
levied in the county the preceding year available to pay the	40988
nonfederal share of the services that the county board is required	40989
by division (A) of this section to pay.	40990

If by December 31, 2002, the United States secretary approves	40991
at least five hundred more slots for home and community-based	40992
services for calendar year 2003 than were available for calendar	40993
year 2002, each county board shall provide, by the last day of	40994
calendar year 2002, assurances to the department that the county	40995
board will have for calendar year 2003 at least two-thirds of the	40996
value of one-half, effective mill levied in the county the	40997
preceding year available to pay the nonfederal share of the	40998
services that the county board is required by division (A) of this	40999
section to pay.	41000

If by December 31, 2003, the United States secretary approves	41001
at least five hundred more slots for home and community-based	41002
services for calendar year 2004 than were available for calendar	41003
year 2003, each county board shall provide, by the last day of	41004
calendar year 2003 and each calendar year thereafter, assurances	41005
to the department that the county board will have for calendar	41006
year 2004 and each calendar year thereafter at least the value of	41007
one-half, effective mill levied in the county the preceding year	41008
available to pay the nonfederal share of the services that the	41009
county board is required by division (A) of this section to pay.	41010

(D) Each year, each county board shall adopt a resolution	41011
specifying the amount of funds it will use in the next year to pay	41012
the nonfederal share of the services that the county board is	41013
required by division (A) of this section to pay. The amount	41014
specified shall be adequate to assure that the services will be	41015
available in the county in a manner that conforms to all	41016
applicable state and federal laws. A county board shall state in	41017
its resolution that the payment of the nonfederal share represents	41018
an ongoing financial commitment of the county board. A county	41019
board shall adopt the resolution in time for the county auditor to	41020
make the determination required by division (E) of this section.	41021

(E) Each year, a county auditor shall determine whether the	41022
amount of funds a county board specifies in the resolution it	41023
adopts under division (D) of this section will be available in the	41024
following year for the county board to pay the nonfederal share of	41025
the services that the county board is required by division (A) of	41026
this section to pay. The county auditor shall make the	41027
determination not later than the last day of the year before the	41028
year in which the funds are to be used.	41029

Sec. 5126.06.  (A) Except as provided in division (B) of this	41030
section and section 5126.036 of the Revised Code, any person who	41031
has a complaint involving any of the programs, services, policies,	41032
or administrative practices of a county board of mental	41033
retardation and developmental disabilities or any of the entities	41034
under contract with the county board, may file a complaint with	41035
the board. Prior to commencing a civil action regarding the	41036
complaint, a person shall attempt to have the complaint resolved	41037
through the administrative resolution process established in the	41038
rules adopted under section 5123.043 of the Revised Code. After	41039
exhausting the administrative resolution process, the person may	41040
commence a civil action if the complaint is not settled to the	41041
person's satisfaction.	41042

(B) An employee of a county board may not file under this	41043
section a complaint related to the terms and conditions of	41044
employment of the employee.	41045

Sec. 5126.11.  (A) As used in this section, "respite care"	41046
means appropriate, short-term, temporary care that is provided to	41047
a mentally retarded or developmentally disabled person to sustain	41048
the family structure or to meet planned or emergency needs of the	41049
family.	41050

(B) Subject to rules adopted by the director of mental	41051
retardation and developmental disabilities, and subject to the	41052
availability of money from state and federal sources, the county	41053
board of mental retardation and developmental disabilities shall	41054
establish a family support services program. Under such a program,	41055
the board shall make payments to an individual with mental	41056
retardation or other developmental disability or the family of an	41057
individual with mental retardation or other developmental	41058
disability who desires to remain in and be supported in the family	41059
home. Payments shall be made for all or part of costs incurred or	41060
estimated to be incurred for services that would promote	41061
self-sufficiency and normalization, prevent or reduce	41062
inappropriate institutional care, and further the unity of the	41063
family by enabling the family to meet the special needs of the	41064
individual and to live as much like other families as possible.	41065
Payments may be made in the form of reimbursement for expenditures	41066
or in the form of vouchers to be used to purchase services.	41067

(C) Payment shall not be made under this section to an	41068
individual or the individual's family if the individual is living	41069
in a residential facility that is providing residential services	41070
under contract with the department of mental retardation and	41071
developmental disabilities or a county board.	41072

(D) Payments may be made for the following services:

41073

(1) Respite care, in or out of the home;

41074

(2) Counseling, supervision, training, and education of the	41075
individual, the individual's caregivers, and members of the	41076
individual's family that aid the family in providing proper care	41077
for the individual, provide for the special needs of the family,	41078
and assist in all aspects of the individual's daily living;	41079

(3) Special diets, purchase or lease of special equipment, or	41080
modifications of the home, if such diets, equipment, or	41081
modifications are necessary to improve or facilitate the care and	41082
living environment of the individual;	41083

(4) Providing support necessary for the individual's	41084
continued skill development, including such services as	41085
development of interventions to cope with unique problems that may	41086
occur within the complexity of the family, enrollment of the	41087
individual in special summer programs, provision of appropriate	41088
leisure activities, and other social skills development	41089
activities;	41090

(5) Any other services that are consistent with the purposes	41091
specified in division (B) of this section and specified in the	41092
individual's service plan.	41093

(E) In order to be eligible for payments under a family	41094
support services program, the individual or the individual's	41095
family must reside in the county served by the county board, and	41096
the individual must be in need of habilitation. Payments shall be	41097
adjusted for income in accordance with the payment schedule	41098
established in rules adopted under this section. Payments shall be	41099
made only after the county board has taken into account all other	41100
available assistance for which the individual or family is	41101
eligible.	41102

(F) Before incurring expenses for a service for which payment	41103
will be sought under a family support services program, the	41104
individual or family shall apply to the county board for a	41105
determination of eligibility and approval of the service. The	41106
service need not be provided in the county served by the county	41107
board. After being determined eligible and receiving approval for	41108
the service, the individual or family may incur expenses for the	41109
service or use the vouchers received from the county board for the	41110
purchase of the service.	41111

If the county board refuses to approve a service, an appeal	41112
may be made in accordance with rules adopted by the department	41113
under this section.	41114

(G) To be reimbursed for expenses incurred for approved	41115
services, the individual or family shall submit to the county	41116
board a statement of the expenses incurred accompanied by any	41117
evidence required by the board. To redeem vouchers used to	41118
purchase approved services, the entity that provided the service	41119
shall submit to the county board evidence that the service was	41120
provided and a statement of the charges. The county board shall	41121
make reimbursements and redeem vouchers no later than forty-five	41122
days after it receives the statements and evidence required by	41123
this division.	41124

(H) A county board shall consider the following objectives in	41125
carrying out a family support services program:	41126

(1) Enabling individuals to return to their families from an	41127
institution under the jurisdiction of the department of mental	41128
retardation and developmental disabilities;	41129

(2) Enabling individuals found to be subject to	41130
institutionalization by court order under section 5123.76 of the	41131
Revised Code to remain with their families with the aid of	41132
payments provided under this section;	41133

(3) Providing services to eligible children and adults	41134
currently residing in the community;	41135

(4) Providing services to individuals with developmental	41136
disabilities who are not receiving other services from the board.	41137

(I) The director shall adopt, and may amend and rescind,	41138
rules for the implementation of family support services programs	41139
by county boards. Such rules shall include the following:	41140

(1) A payment schedule adjusted for income;

41141

(2) A formula for distributing to county boards the money	41142
appropriated for family support services;	41143

(3) Standards for supervision, training, and quality control	41144
in the provision of respite care services;	41145

(4)(3) Eligibility standards and procedures for providing	41146
temporary emergency respite care;	41147

(5)(4) Procedures for hearing and deciding appeals made under	41148
division (F) of this section;	41149

(6) Requirements to be followed by county boards regarding	41150
reports submitted under division (K) of this section.	41151

Rules adopted under divisionsdivision (I)(1) and (2) of this	41152
section shall be adopted in accordance with section 111.15 of the	41153
Revised Code. Rules adopted under divisions (I)(3)(2) to (6)(4) of	41154
this section shall be adopted in accordance with Chapter 119. of	41155
the Revised Code.	41156

(J) All individuals certified by the superintendent of the	41157
county board as eligible for temporary emergency respite care in	41158
accordance with rules adopted under this section shall be	41159
considered eligible for temporary emergency respite care for not	41160
more than five days to permit the determination of eligibility for	41161
family support services. The requirements of divisions (E) and (F)	41162
of this section do not apply to temporary emergency respite care.	41163

(K) The department of mental retardation and developmental	41164
disabilities shall distribute to county boards money appropriated	41165
for family support services in quarterly installments of equal	41166
amounts. The installments shall be made not later than the	41167
thirtieth day of September, the thirty-first day of December, the	41168
thirty-first day of March, and the thirtieth day of June. A county	41169
board shall use no more than seven per cent of the funds for	41170
administrative costs. Each county board shall submit reports to	41171
the department on payments made under this section. The reports	41172
shall be submitted at those times and in the manner specified in	41173
rules adopted under this section.	41174

(L) The county board shall not be required to make payments	41175
for family support services at a level that exceeds available	41176
state and federal funds for such payments.	41177

Sec. 5126.12.  (A) As used in this section:

41178

(1) "Approved school age class" means a class operated by a	41179
county board of mental retardation and developmental disabilities	41180
and funded by the department of education under section 3317.20 of	41181
the Revised Code.	41182

(2) "Approved preschool unit" means a class or unit operated	41183
by a county board of mental retardation and developmental	41184
disabilities and approved under division (B) of section 3317.05 of	41185
the Revised Code.	41186

(3) "Active treatment" means a continuous treatment program,	41187
which includes aggressive, consistent implementation of a program	41188
of specialized and generic training, treatment, health services,	41189
and related services, that is directed toward the acquisition of	41190
behaviors necessary for an individual with mental retardation or	41191
other developmental disability to function with as much	41192
self-determination and independence as possible and toward the	41193
prevention of deceleration, regression, or loss of current optimal	41194
functional status.	41195

(4) "Eligible for active treatment" means that an individual	41196
with mental retardation or other developmental disability resides	41197
in an intermediate care facility for the mentally retarded	41198
certified under Title XIX of the "Social Security Act," 79 Stat.	41199
286 (1965), 42 U.S.C. 1396, as amended; resides in a state	41200
institution operated by the department of mental retardation and	41201
developmental disabilities; or is enrolled in home and	41202
community-based services.	41203

(5) "Traditional adult services" means vocational and	41204
nonvocational activities conducted within a sheltered workshop or	41205
adult activity center or supportive home services.	41206

(B) Each county board of mental retardation and developmental	41207
disabilities shall certify to the director of mental retardation	41208
and developmental disabilities all of the following:	41209

(1) On or before the fifteenth day of October, the average	41210
daily membership for the first full week of programs and services	41211
during October receiving:	41212

(a) Early childhood services provided pursuant to section	41213
5126.05 of the Revised Code for children who are less than three	41214
years of age on the thirtieth day of September of the academic	41215
year;	41216

(b) Special education for handicapped children in approved	41217
school age classes;	41218

(c) Adult services for persons sixteen years of age and older	41219
operated pursuant to section 5126.05 and division (B) of section	41220
5126.051 of the Revised Code. Separate counts shall be made for	41221
the following:	41222

(i) Persons enrolled in traditional adult services who are	41223
eligible for but not enrolled in active treatment;	41224

(ii) Persons enrolled in traditional adult services who are	41225
eligible for and enrolled in active treatment;	41226

(iii) Persons enrolled in traditional adult services but who	41227
are not eligible for active treatment;	41228

(iv) Persons participating in community employment services.	41229
To be counted as participating in community employment services, a	41230
person must have spent an average of no less than ten hours per	41231
week in that employment during the preceding six months.	41232

(d) Other programs in the county for individuals with mental	41233
retardation and developmental disabilities that have been approved	41234
for payment of subsidy by the department of mental retardation and	41235
developmental disabilities.	41236

The membership in each such program and service in the county	41237
shall be reported on forms prescribed by the department of mental	41238
retardation and developmental disabilities.	41239

The department of mental retardation and developmental	41240
disabilities shall adopt rules defining full-time equivalent	41241
enrollees and for determining the average daily membership	41242
therefrom, except that certification of average daily membership	41243
in approved school age classes shall be in accordance with rules	41244
adopted by the state board of education. The average daily	41245
membership figure shall be determined by dividing the amount	41246
representing the sum of the number of enrollees in each program or	41247
service in the week for which the certification is made by the	41248
number of days the program or service was offered in that week. No	41249
enrollee may be counted in average daily membership for more than	41250
one program or service.	41251

(2) By the fifteenth day of December, the number of children	41252
enrolled in approved preschool units on the first day of December;	41253

(3) On or before the thirtieth day of MarchApril, an	41254
itemized report of all income and operating expenditures for the	41255
immediately preceding calendar year, in the format specified by	41256
the department of mental retardation and developmental	41257
disabilities;	41258

(4) By the fifteenth day of February, a report of the total	41259
annual cost per enrollee for operation of programs and services in	41260
the preceding calendar year. The report shall include a grand	41261
total of all programs operated, the cost of the individual	41262
programs, and the sources of funds applied to each program.	41263

(5) That each required certification and report is in	41264
accordance with rules established by the department of mental	41265
retardation and developmental disabilities and the state board of	41266
education for the operation and subsidization of the programs and	41267
services.	41268

(C) To compute payments under this section to the board for	41269
the fiscal year, the department of mental retardation and	41270
developmental disabilities shall use the certification of average	41271
daily membership required by division (B)(1) of this section	41272
exclusive of the average daily membership in any approved school	41273
age class and the number in any approved preschool unit.	41274

(D) The department shall pay each county board for each	41275
fiscal year an amount equal to nine hundred fifty dollars times	41276
the certified number of persons who on the first day of December	41277
of the academic year are under three years of age and are not in	41278
an approved preschool unit. For persons who are at least age	41279
sixteen and are not in an approved school age class, the	41280
department shall pay each county board for each fiscal year the	41281
following amounts:	41282

(1) One thousand dollars times the certified average daily	41283
membership of persons enrolled in traditional adult services who	41284
are eligible for but not enrolled in active treatment;	41285

(2) One thousand two hundred dollars times the certified	41286
average daily membership of persons enrolled in traditional adult	41287
services who are eligible for and enrolled in active treatment;	41288

(3) No less than one thousand five hundred dollars times the	41289
certified average daily membership of persons enrolled in	41290
traditional adult services but who are not eligible for active	41291
treatment;	41292

(4) No less than one thousand five hundred dollars times the	41293
certified average daily membership of persons participating in	41294
community employment services.	41295

(E) The department shall distribute this subsidy to county	41296
boards in quarterly installments of equal amounts. The	41297
installments shall be made not later than the thirtieth day of	41298
September, the thirty-first day of December, the thirty-first day	41299
of March, and the thirtieth day of June.	41300

(F) The director of mental retardation and developmental	41301
disabilities shall make efforts to obtain increases in the	41302
subsidies for early childhood services and adult services so that	41303
the amount of the subsidies is equal to at least fifty per cent of	41304
the statewide average cost of those services minus any applicable	41305
federal reimbursements for those services. The director shall	41306
advise the director of budget and management of the need for any	41307
such increases when submitting the biennial appropriations request	41308
for the department.	41309

(G) In determining the reimbursement of a county board for	41310
the provision of service and support administration, family	41311
support services, and other services required or approved by the	41312
director for which children three through twenty-one years of age	41313
are eligible, the department shall include the average daily	41314
membership in approved school age or preschool units. The	41315
department, in accordance with this section and upon receipt and	41316
approval of the certification required by this section and any	41317
other information it requires to enable it to determine a board's	41318
payments, shall pay the agency providing the specialized training	41319
the amounts payable under this section.	41320

Sec. 5126.15.  (A) A county board of mental retardation and	41322
developmental disabilities shall provide service and support	41323
administration to each individual three years of age or older who	41324
is eligible for service and support administration if the	41325
individual requests, or a person on the individual's behalf	41326
requests, service and support administration. A board shall	41327
provide service and support administration to each individual	41328
receiving home and community-based services. A board may provide,	41329
in accordance with the service coordination requirements of 34	41330
C.F.R. 303.23, service and support administration to an individual	41331
under three years of age eligible for early intervention services	41332
under 34 C.F.R. part 303. A board may provide service and support	41333
administration to an individual who is not eligible for other	41334
services of the board. Service and support administration shall be	41335
provided in accordance with rules adopted under section 5126.08 of	41336
the Revised Code.	41337

A board may provide service and support administration by	41338
directly employing service and support administrators or by	41339
contracting with entities for the performance of service and	41340
support administration. Individuals employed or under contract as	41341
service and support administrators shall not be in the same	41342
collective bargaining unit as employees who perform duties that	41343
are not administrative.	41344

Individuals employed by a board as service and support	41345
administrators shall not be assigned responsibilities for	41346
implementing other services for individuals and shall not be	41347
employed by or serve in a decision-making or policy-making	41348
capacity for any other entity that provides programs or services	41349
to individuals with mental retardation or developmental	41350
disabilities. An individual employed as a conditional status	41351
service and support administrator shall perform the duties of	41352
service and support administration only under the supervision of a	41353
management employee who is a service and support administration	41354
supervisor.	41355

(B) The individuals employed by or under contract with a	41356
board to provide service and support administration shall do all	41357
of the following:	41358

(1) Establish an individual's eligibility for the services of	41359
the county board of mental retardation and developmental	41360
disabilities;	41361

(2) Assess individual needs for services;

41362

(3) Develop individual service plans with the active	41363
participation of the individual to be served, other persons	41364
selected by the individual, and, when applicable, the provider	41365
selected by the individual, and recommend the plans for approval	41366
by the department of mental retardation and developmental	41367
disabilities when services included in the plans are funded	41368
through medicaid;	41369

(4) Establish budgets for services based on the individual's	41370
assessed needs and preferred ways of meeting those needs;	41371

(5) Assist individuals in making selections from among the	41372
providers they have chosen;	41373

(6) Ensure that services are effectively coordinated and	41374
provided by appropriate providers;	41375

(7) Establish and implement an ongoing system of monitoring	41376
the implementation of individual service plans to achieve	41377
consistent implementation and the desired outcomes for the	41378
individual;	41379

(8) Perform quality assurance reviews as a distinct function	41380
of service and support administration;	41381

(9) Incorporate the results of quality assurance reviews and	41382
identified trends and patterns of unusual incidents and major	41383
unusual incidents into amendments of an individual's service plan	41384
for the purpose of improving and enhancing the quality and	41385
appropriateness of services rendered to the individual;	41386

(10) Ensure that each individual receiving services has a	41387
designated person who is responsible on a continuing basis for	41388
providing the individual with representation, advocacy, advice,	41389
and assistance related to the day-to-day coordination of services	41390
in accordance with the individual's service plan. The service and	41391
support administrator shall give the individual receiving services	41392
an opportunity to designate the person to provide daily	41393
representation. If the individual declines to make a designation,	41394
the administrator shall make the designation. In either case, the	41395
individual receiving services may change at any time the person	41396
designated to provide daily representation.	41397

(C) Subject to available funds, the department of mental	41398
retardation and developmental disabilities shall pay a county	41399
board an annual subsidy for service and support administration.	41400
The amount of the subsidy shall be equal to the greater of twenty	41401
thousand dollars or two hundred dollars times the board's	41402
certified average daily membership. The payments shall be made in	41403
quarterly installments of equal amounts, which shall be made no	41404
later than the thirtieth day of September, the thirty-first day of	41405
December, the thirty-first day of March, and the thirtieth day of	41406
June. Funds received shall be used solely for service and support	41407
administration.	41408

Sec. 5126.18.  (A) As used in this section:

41410

(1) "County board" means a county board of mental retardation	41411
and developmental disabilities.	41412

(2) Notwithstanding section 5126.01 of the Revised Code,	41413
"adult services" means the following services, as they are	41414
identified on individual information forms submitted by county	41415
boards to the department of mental retardation and developmental	41416
disabilities for the purpose of subsidies paid to county boards	41417
under section 5126.12 of the Revised Code, provided to an eligible	41418
individual with mental retardation or other developmental	41419
disability who is at least twenty-two years of age:	41420

(a) Assessment;

41421

(b) Home service;

41422

(c) Adult program;

41423

(d) Community employment services;

41424

(e) Retirement.

41425

(3) "Adult services enrollment" means a county board's	41426
average daily membership in adult services, exclusive of such	41427
services provided to individuals served solely through service and	41428
support administration provided pursuant to section 5126.15 of the	41429
Revised Code or family support services provided pursuant to	41430
section 5126.11 of the Revised Code.	41431

(4) "Taxable value" means the taxable value of a county board	41432
certified under division (B)(1) of this section.	41433

(5) "Per-mill yield" of a county board means the quotient	41434
obtained by dividing (a) the taxable value of the county board by	41435
(b) one thousand.	41436

(6) "Local adult services cost" means a county board's	41437
expenditures for adult services, excluding all federal and state	41438
reimbursements and subsidy allocations received by such boards and	41439
expended for such services, as certified under section 5126.12 of	41440
the Revised Code.	41441

(7) "Statewide average millage" means one thousand multiplied	41442
by the quotient obtained by dividing (a) the total of the local	41443
adult services costs of all county boards by (b) the total of the	41444
taxable values of all county boards.	41445

(8) "County yield" of a county board means the product	41446
obtained by multiplying (a) the statewide average millage by (b)	41447
the per-mill yield of the county board.	41448

(9) "County yield per enrollee" of a county board means the	41449
quotient obtained by dividing (a) the county yield of the county	41450
board by (b) the adult enrollment of the county board.	41451

(10) "Statewide yield per enrollee" means the quotient	41452
obtained by dividing (a) the sum of the county yields of all	41453
county boards by (b) the sum of the adult enrollments of all	41454
county boards.	41455

(11) "Local tax effort for adult services" of a county board	41456
means one thousand multiplied by the quotient obtained by dividing	41457
(a) the local adult services cost of the county board by (b) the	41458
taxable value of the county board.	41459

(12) "Funding percentage" for a fiscal year means the	41460
percentage that the amount appropriated to the department for the	41461
purpose of making payments under this section in the fiscal year	41462
is of the amount computed under division (C)(3) of this section	41463
for the fiscal year.	41464

(13) "Funding-adjusted required millage" for a fiscal year	41465
means the statewide average millage multiplied by the funding	41466
percentage for that fiscal year.	41467

(B)(1) On the request of the director of mental retardation	41468
and developmental disabilities, the tax commissioner shall provide	41469
to the department of mental retardation and developmental	41470
disabilities information specifying the taxable value of property	41471
on each county's tax list of real and public utility property and	41472
tax list of personal property for the most recent tax year for	41473
which such information is available. The director may request any	41474
other tax information necessary for the purposes of this section.	41475

(2) On the request of the director, each county board shall	41476
report the county board's adult services enrollment and local	41477
adult services cost.	41478

(C) Each year, the department of mental retardation and	41479
developmental disabilities shall compute the following:	41480

(1) For each county board, the amount, if any, by which the	41481
statewide yield per enrollee exceeds the county yield per	41482
enrollee;	41483

(2) For each county board, the amount of any excess computed	41484
under division (C)(1) of this section multiplied by the adult	41485
services enrollment of the county board;	41486

(3) The sum of the amounts computed under division (C)(2) of	41487
this section for all county boards.	41488

(D) From money appropriated for the purpose, the department	41489
shall provide for payment to each county board of the amount	41490
computed for that county board under division (C)(2) of this	41491
section, subject to any reduction or adjustment under division	41492
(E), (F), or (G) of this section. The department shall make the	41493
payments in quarterly installments of equal amounts. The	41494
installments shall be made not later than the thirtieth day of	41495
September, thirty-first day of December, thirty-first day of	41496
March, and thirtieth day of June.	41497

(E) If a county board's local tax effort for adult services	41498
is less than the funding-adjusted required millage, the director	41499
shall reduce the amount of payment otherwise computed under	41500
division (C)(2) of this section so that the amount paid, after the	41501
reduction, is the same percentage of the amount computed under	41502
division (C)(2) of this section as the county board's local tax	41503
effort for adult services is of the funding-adjusted required	41504
millage.	41505

If the director reduces the amount of a county board's	41506
payment under this division, the department, not later than the	41507
fifteenth day of July, shall notify the county board of the	41508
reduction and the amount of the reduction. The notice shall	41509
include a statement that the county board may request to be	41510
exempted from the reduction by filing a request with the director,	41511
in the manner and form prescribed by the director, within	41512
twenty-one days after such notification is issued. The board may	41513
present evidence of its attempt to obtain passage of levies or any	41514
other extenuating circumstances the board considers relevant. If	41515
the county board requests a hearing before the director to present	41516
such evidence, the director shall conduct a hearing on the request	41517
unless the director exempts the board from the reduction on the	41518
basis of the evidence presented in the request filed by the board.	41519
Upon receiving a properly and timely filed request for exemption,	41520
but not later than the thirty-first day of August, the director	41521
shall determine whether the county board shall be exempted from	41522
all or a part of the reduction. The director may exempt the board	41523
from all or part of the reduction if the director finds that the	41524
board has made good faith efforts to obtain passage of tax levies	41525
or that there are extenuating circumstances.	41526

(F) If a payment is reduced under division (E) of this	41527
section and the director does not exempt the county board from the	41528
reduction, the amount of the reduction shall be apportioned among	41529
all county boards entitled to payments under this section for	41530
which payments were not so reduced. The amount apportioned to each	41531
county board shall be proportionate to the amount of the board's	41532
payment as computed under division (C)(2) of this section.	41533

(G) If, for any fiscal year, the amount appropriated to the	41534
department for the purpose of this section is less than the amount	41535
computed under division (C)(3) of this section for the fiscal	41536
year, the department shall adjust the amount of each payment as	41537
computed under divisions (C)(2), (E), and (F) of this section by	41538
multiplying that amount by the funding percentage.	41539

(H) The payments authorized by this section are supplemental	41540
to all other funds that may be received by a county board. A	41541
county board shall use the payments solely to pay the nonfederal	41542
share of medicaid expenditures that division (A) of section	41543
5126.057 of the Revised Code requires the county board to pay.	41544

Sec. 5126.19.  (A) The director of mental retardation and	41545
developmental disabilities may grant temporary funding from the	41546
community mental retardation and developmental disabilities trust	41547
fund based on allocations to county boards of mental retardation	41548
and developmental disabilities. The director may distribute all or	41549
part of the funding directly to a county board, the persons who	41550
provide the services for which the funding is granted, or persons	41551
with mental retardation or developmental disabilities who are to	41552
receive those services.	41553

(B) Funding granted under division (A) of this section shall	41554
be granted according to the availability of moneys in the fund and	41555
priorities established by the director. Funding may be granted for	41556
any of the following purposes:	41557

(1) Behavioral or short-term interventions for persons with	41558
mental retardation or developmental disabilities that assist them	41559
in remaining in the community by preventing institutionalization;	41560

(2) Emergency respite care services, as defined in section	41561
5126.11 of the Revised Code;	41562

(3) Family support services provided under section 5126.11 of	41563
the Revised Code;	41564

(4) Supported living, as defined in section 5126.01 of the	41565
Revised Code;	41566

(5) Staff training for county board employees, employees of	41567
providers of residential services as defined in section 5126.01 of	41568
the Revised Code, and other personnel under contract with a county	41569
board, to provide the staff with necessary training in serving	41570
mentally retarded or developmentally disabled persons in the	41571
community;	41572

(6) Short-term provision of early childhood services provided	41573
under section 5126.05, adult services provided under sections	41574
5126.05 and 5126.051, and service and support administration	41575
provided under section 5126.15 of the Revised Code, when local	41576
moneys are insufficient to meet the need for such services due to	41577
the successive failure within a two-year period of three or more	41578
proposed levies for the services;	41579

(7) Contracts with providers of residential services to	41580
maintain persons with mental retardation and developmental	41581
disabilities in their programs and avoid institutionalization.	41582

(C) If the trust fund contains more than ten million dollars	41583
on the first day of July the director shall use one million	41584
dollars for payments under section 5126.12 of the Revised Code,	41585
one million dollars for payments under section 5126.18 of the	41586
Revised Code, and two million dollars for payments under section	41587
5126.44 of the Revised Codesubsidies to county boards for	41588
supported living, and one million dollars for subsidies to county	41589
boards for early childhood services and adult services provided	41590
under section 5126.05 of the Revised Code. Distributions of funds	41591
under this division shall be made prior to August 31 of the state	41592
fiscal year in which the funds are available. The funds shall be	41593
allocated to a county board in an amount equal to the same	41594
percentage of the total amount allocated to the county board the	41595
immediately preceding state fiscal year.	41596

(D) In addition to making grants under division (A) of this	41597
section, the director may use money available in the trust fund	41598
for the same purposes that rules adopted under section 5123.0413	41599
of the Revised Code provide for money in the state MR/DD risk fund	41600
and the state insurance against MR/DD risk fund, both created	41601
under that section, to be used.	41602

Sec. 5126.25.  (A) The director of mental retardation and	41603
developmental disabilities shall adopt rules in accordance with	41604
Chapter 119. of the Revised Code establishing uniform standards	41605
and procedures for the certification of persons for employment by	41606
county boards of mental retardation and developmental disabilities	41607
as superintendents, management employees, and professional	41608
employees and uniform standards and procedures for the	41609
registration of persons for employment by county boards as	41610
registered service employees. As part of the rules, the director	41611
may establish continuing education and professional training	41612
requirements for renewal of certificates and evidence of	41613
registration and shall establish such requirements for renewal of	41614
an investigative agent certificate. In the rules, the director	41615
shall establish certification standards for employment in the	41616
position of investigative agent that require an individual to have	41617
or obtain no less than an associate degree from an accredited	41618
college or university or have or obtain comparable experience or	41619
training. The director shall not adopt rules that require any	41620
service employee to have or obtain a bachelor's or higher degree.	41621

The director shall adopt the rules in a manner that provides	41622
for the issuance of certificates and evidence of registration	41623
according to categories, levels, and grades. The rules shall	41624
describe each category, level, and grade.	41625

The rules adopted under this division shall apply to persons	41626
employed or seeking employment in a position that includes	41627
directly providing, or supervising persons who directly provide,	41628
services or instruction to or on behalf of individuals with mental	41629
retardation or developmental disabilities, except that the rules	41630
shall not apply to persons who hold a valid license issued under	41631
Chapter 3319. of the Revised Code and perform no duties other than	41632
teaching or supervision of a teaching program or persons who hold	41633
a valid license or certificate issued under Title XLVII of the	41634
Revised Code and perform only those duties governed by the license	41635
or certificate. The rules shall specify the positions that require	41636
certification or registration. The rules shall specify that the	41637
position of investigative agent requires certification.	41638

(B) The director shall adopt rules in accordance with Chapter	41639
119. of the Revised Code establishing standards for approval of	41640
courses of study to prepare persons to meet certification	41641
requirements. The director shall approve courses of study meeting	41642
the standards and provide for the inspection of the courses to	41643
ensure the maintenance of satisfactory training procedures. The	41644
director shall approve courses of study only if given by a state	41645
university or college as defined in section 3345.32 of the Revised	41646
Code, a state university or college of another state, or an	41647
institution that has received a certificate of authorization to	41648
confer degrees from the board of regents pursuant to Chapter 1713.	41649
of the Revised Code or from a comparable agency of another state.	41650

(C) Each applicant for a certificate for employment or	41651
evidence of registration for employment by a county board shall	41652
apply to the department of mental retardation and developmental	41653
disabilities on forms that the director of the department shall	41654
prescribe and provide. The application shall be accompanied by the	41655
application fee established in rules adopted under this section.	41656

(D) The director shall issue a certificate for employment to	41657
each applicant who meets the standards for certification	41658
established under this section and shall issue evidence of	41659
registration for employment to each applicant who meets the	41660
standards for registration established under this section. Each	41661
certificate or evidence of registration shall state the category,	41662
level, and grade for which it is issued.	41663

The director shall issue, renew, deny, suspend, or revoke	41664
certificates and evidence of registration in accordance with rules	41665
adopted under this section. The director shall deny, suspend, or	41666
revoke a certificate or evidence of registration if the director	41667
finds, pursuant to an adjudication conducted in accordance with	41668
Chapter 119. of the Revised Code, that the applicant for or holder	41669
of the certificate or evidence of registration is guilty of	41670
intemperate, immoral, or other conduct unbecoming to the	41671
applicant's or holder's position, or is guilty of incompetence or	41672
negligence within the scope of the applicant's or holder's duties.	41673
The director shall deny or revoke a certificate or evidence of	41674
registration if the director finds, pursuant to an adjudication	41675
conducted in accordance with Chapter 119. of the Revised Code,	41676
that the applicant for or holder of the certificate or evidence of	41677
registration has been convicted of or pleaded guilty to any of the	41678
offenses described in division (E) of section 5126.28 of the	41679
Revised Code, unless the individual meets standards for	41680
rehabilitation that the director establishes in the rules adopted	41681
under that section. Evidence supporting such allegations shall be	41682
presented to the director in writing and the director shall	41683
provide prompt notice of the allegations to the person who is the	41684
subject of the allegations. A denial, suspension, or revocation	41685
may be appealed in accordance with procedures the director shall	41686
establish in the rules adopted under this section.	41687

(E)(1) A person holding a valid certificate under this	41688
section on the effective date of any rules adopted under this	41689
section that increase certification standards shall have such	41690
period as the rules prescribe, but not less than one year after	41691
the effective date of the rules, to meet the new certification	41692
standards.	41693

A person who is registered under this section on the	41694
effective date of any rule that changes the standards adopted	41695
under this section shall have such period as the rules prescribe,	41696
but not less than one year, to meet the new registration	41697
standards.	41698

(2) If an applicant for a certificate for employment has not	41699
completed the courses of instruction necessary to meet the	41700
department's standards for certification, the department shall	41701
inform the applicant of the courses the applicant must	41702
successfully complete to meet the standards and shall specify the	41703
time within which the applicant must complete the courses. The	41704
department shall grant the applicant at least one year to complete	41705
the courses and shall not require the applicant to complete more	41706
than four courses in any one year. The applicant is not subject to	41707
any changes regarding the courses required for certification that	41708
are made after the department informs the applicant of the courses	41709
the applicant must complete, unless the applicant does not	41710
successfully complete the courses within the time specified by the	41711
department.	41712

(F) A person who holds a certificate or evidence of	41713
registration, other than one designated as temporary, is qualified	41714
to be employed according to that certificate or evidence of	41715
registration by any county board.	41716

(G) The director shall monitor county boards to ensure that	41717
their employees who must be certified or registered are	41718
appropriately certified or registered and performing those	41719
functions they are authorized to perform under their certificate	41720
or evidence of registration.	41721

(H) A county board superintendent or the superintendent's	41722
designee may certify to the director that county board employees	41723
who are required to meet continuing education or professional	41724
training requirements as a condition of renewal of certificates or	41725
evidence of registration have met the requirements. The	41726
superintendent or the superintendent's designee shall maintain in	41727
appropriate personnel files evidence acceptable to the director	41728
that the employees have met the requirements and permit	41729
representatives of the department access to the evidence on	41730
request.	41731

(I) All fees collected pursuant to this section shall be	41732
deposited in the state treasury to the credit of the employee	41733
certification and registrationprogram fee fund, which is hereby	41734
created under section 5123.033 of the Revised Code. Money credited	41735
to the fund shall be used solely for the operation of the	41736
certification and registration program established under this	41737
section and for providing continuing training to county board	41738
employees.	41739

(J) Employees of entities that contract with county boards of	41740
mental retardation and developmental disabilities to operate	41741
programs and services for individuals with mental retardation and	41742
developmental disabilities are subject to the certification and	41743
registration requirements established under section 5123.082 of	41744
the Revised Code.	41745

Sec. 5126.40.  (A) Sections 5126.40 to 5126.47 of the Revised	41746
Code do not apply to medicaid-funded supported living.	41747

(B) As used in this section and sections 5126.415126.40 to	41748
5126.47 of the Revised Code, "provider" means a person or	41749
government entity certified by the departmentdirector of mental	41750
retardation and developmental disabilities to provide supported	41751
living for individuals with mental retardation and developmental	41752
disabilities.	41753

(B) This division is in effect until July 1, 1995. By	41754
adoption of a resolution by affirmative vote of a majority of its	41755
members, a county board of mental retardation and developmental	41756
disabilities shall have authority to plan and develop supported	41757
living for individuals with mental retardation and developmental	41758
disabilities who are residents of the county and, as provided in	41759
sections 5126.41 to 5126.47 of the Revised Code, contract with	41760
providers and enter into shared funding arrangements. The board's	41761
authority under this division is effective on the department's	41762
receipt of the resolution.	41763

(C) On and after July 1, 1995, each county board shall plan	41764
and develop supported living for individuals with mental	41765
retardation and developmental disabilities who are residents of	41766
the county in accordance with sections 5126.41 to 5126.47 of the	41767
Revised Code.	41768

Sec. 5126.42.  (A) A county board of mental retardation and	41769
developmental disabilities shall establish an advisory council	41770
composed of board members or employees of the board, providers,	41771
individuals receiving supported living, and advocates for	41772
individuals receiving supported living to provide on-going	41773
communication among all persons concerned with supported living.	41774

(B) The board shall develop procedures for the resolution of	41775
grievances between the board and providers or between the board	41776
and an entity with which it has a shared funding agreement.	41777

(C) The board shall develop and implement a provider	41778
selection system. Each system shall enable an individual to choose	41779
to continue receiving supported living from the same providers, to	41780
select additional providers, or to choose alternative providers.	41781
Annually, the board shall review its provider selection system to	41782
determine whether it has been implemented in a manner that allows	41783
individuals fair and equitable access to providers.	41784

In developing a provider selection system, the county board	41785
shall create a pool of providers for individuals to use in	41786
choosing their providers of supported living. The pool shall be	41787
created by placing in the pool all providers on record with the	41788
board or by placing in the pool all providers approved by the	41789
board through soliciting requests for proposals for supported	41790
living contracts. In either case, only providers that are	41791
certified by the departmentdirector of mental retardation and	41792
developmental disabilities and in compliance with the quality	41793
assurance standards established in rules adopted by the department	41794
may be placed in the pool.	41795

If the board places all providers on record in the pool, the	41796
board shall review the pool at least annually to determine whether	41797
each provider has continued interest in being a provider and has	41798
maintained its certification by the department. At any time, an	41799
interested and certified provider may make a request to the board	41800
that it be added to the pool, and the board shall add the provider	41801
to the pool not later than seven days after receiving the request.	41802

If the board solicits requests for proposals for inclusion of	41803
providers in the pool, the board shall develop standards for	41804
selecting the providers to be included. Requests for proposals	41805
shall be solicited at least annually. When requests are solicited,	41806
the board shall cause legal notices to be published at least once	41807
each week for two consecutive weeks in a newspaper with general	41808
circulation within the county. The board's formal request for	41809
proposals shall include a description of any applicable contract	41810
terms, the standards that are used to select providers for	41811
inclusion in the pool, and the process the board uses to resolve	41812
disputes arising from the selection process. The board shall	41813
accept requests from any entity interested in being a provider of	41814
supported living for individuals served by the board. Requests	41815
shall be approved or denied according to the standards developed	41816
by the board. Providers that previously have been placed in the	41817
pool are not required to resubmit a request for proposal to be	41818
included in the pool, unless the board's standards have been	41819
changed.	41820

In assisting an individual in choosing a provider, the county	41821
board shall provide the individual with uniform and consistent	41822
information pertaining to each provider in the pool, including the	41823
provider evaluations conducted under section 5126.431 of the	41824
Revised Code on and after July 1, 1995. An individual may choose	41825
to receive supported living from a provider that is not included	41826
in the pool, if the provider is certified by the department	41827
director of mental retardation and developmental disabilities and	41828
in compliance with the quality assurance standards established in	41829
rules adopted by the department.	41830

Sec. 5126.43.  (A) After receiving notice from the department	41831
of mental retardation and developmental disabilities of the amount	41832
of state funds to be distributed to it under section 5126.44 of	41833
the Revised Codefor planning, developing, contracting for, and	41834
providing supported living, the county board of mental retardation	41835
and developmental disabilities shall arrange for supported living	41836
on behalf of and with the consent of individuals based on their	41837
individual service plans developed under section 5126.41 of the	41838
Revised Code. With the state distribution and any other money	41839
designated by the board for supported living, the board shall	41840
arrange for supported living in one or more of the following ways:	41841

(1) By contracting under section 5126.45 of the Revised Code	41842
with providers selected by the individual to be served;	41843

(2) By entering into shared funding agreements with state	41844
agencies, local public agencies, or political subdivisions at	41845
rates negotiated by the board;	41846

(3) By providing direct payment or vouchers to be used to	41847
purchase supported living, pursuant to a written contract in an	41848
amount determined by the board, to the individual or a person	41849
providing the individual with protective services as defined in	41850
section 5123.55 of the Revised Code.	41851

(B) When the board contracts for supported living on behalf	41852
of an individual, theThe board may contractarrange for supported	41853
living only with providers that are certified by the department	41854
director of mental retardation and developmental disabilities and	41855
are in compliance with the quality assurance standards established	41856
in rules adopted by the department. The contract terms shall be as	41857
provided in section 5126.45 of the Revised Code.	41858

When no certified provider is willing and able to provide	41859
supported living for an individual in accordance with the terms of	41860
the individual service plan for that individual, a county board	41861
may provide supported living directly, if it complies with	41862
certification and quality assurance standards established by the	41863
departmentis certified by the director of mental retardation and	41864
developmental disabilities to provide supported living.	41865

A county board may, for a period not to exceed ninety days,	41866
contract for or provide supported living without meeting the	41867
requirements of this section for an individual it determines to be	41868
in emergency need of supported living. Thereafter, the individual	41869
shall choose providers in accordance with sections 5126.41 and	41870
5126.42 of the Revised Code.	41871

Sec. 5126.45.  (A) A contract between a county board of	41872
mental retardation and developmental disabilities and a provider	41873
of supported living shall be in writing and shall be based on the	41874
individual service plan developed by the individual under section	41875
5126.41 of the Revised Code. The plan may be submitted as an	41876
addendum to the contract. An individual receiving services	41877
pursuant to a contract shall be considered a third-party	41878
beneficiary to the contract.	41879

The board shall not contract with a provider to provide a	41880
residence to a person to whom the provider is providing other	41881
supported living services, unless one of the following applies:	41882

(1) The provider is under contract with the board for both	41883
residence and services on July 17, 1990, and the contract is being	41884
renewed.	41885

(2) The provider has a contract being transferred from the	41886
state to the county board under section 5126.451 of the Revised	41887
Code and the contract is being renewed.	41888

(3) The provider lives in the residence and provides services	41889
to not more than three persons who reside in the residence at any	41890
one time.	41891

(4) The provider is an association of family members related	41892
to two or more of the persons who reside in the residence and	41893
provides services to not more than four persons who reside in the	41894
residence at any one time.	41895

(B) The contract shall be negotiated between the provider and	41896
the county board. The terms of the contract shall include at least	41897
the following:	41898

(1) The contract period and conditions for renewal;

41899

(2) The services to be provided pursuant to the individual	41900
service plan;	41901

(3) The rights and responsibilities of all parties to the	41902
contract;	41903

(4) The methods that will be used to evaluate the services	41904
delivered by the provider;	41905

(5) Procedures for contract modification that ensure all	41906
parties affected by the modification are involved and agree;	41907

(6) A process for resolving conflicts between individuals	41908
receiving services, the county board, and the provider, as	41909
applicable;	41910

(7) Procedures for the retention of applicable records;

41911

(8) Provisions for contract termination by any party involved	41912
that include requirements for an appropriate notice of intent to	41913
terminate the contract;	41914

(9) Methods to be used to document services provided;

41915

(10) Procedures for submitting reports required by the county	41916
board as a condition of receiving payment under the contract;	41917

(11) The method and schedule the board will use to make	41918
payments to the provider and whether periodic payment adjustments	41919
will be made to the provider;	41920

(12) Provisions for conducting fiscal reconciliations for	41921
payments made through methods other than a fee-for-service	41922
arrangement.	41923

(C) Payments to the provider under a supported living	41924
contract must be determined by the board to be reasonable in	41925
accordance with policies and procedures developed by the board.	41926
Goods or services provided without charge to the provider shall	41927
not be included as expenditures of the provider.	41928

(D) The board shall establish procedures for reconciling	41929
expenditures and payments, other than those made under a	41930
fee-for-service arrangement, for the prior contract year when a	41931
contract is not renewed and shall reconcile expenditures and	41932
payments in accordance with these procedures.	41933

(E) A provider or an entity with which the board has entered	41934
into a shared funding agreement may appeal a negotiated contract	41935
or proposed shared funding rate to the county board using the	41936
procedures established by the board under section 5126.42 of the	41937
Revised Code.	41938

Sec. 5126.47.  A county board of mental retardation and	41939
developmental disabilities that has adopted a resolution under	41940
section 5126.40 of the Revised Code may, pursuant to a resolution	41941
adopted by an affirmative vote of the majority of its members,	41942
establish, by agreement with one or more other county boards of	41943
mental retardation and developmental disabilities, a residential	41944
services consortium to jointly provide residential services and	41945
supported living. The agreement shall designate one board to	41946
assume the fiscal responsibilities for the consortium. The county	41947
auditor of the designated county shall establish a community	41948
mental retardation and developmental disabilities residential	41949
services fund for the consortium. Each board that is a member of	41950
the consortium shall cause to be deposited in the fund all moneys	41951
distributed to it by the department of mental retardation and	41952
developmental disabilities under section 5126.44 of the Revised	41953
Code and any other state or federal money received for community	41954
residential services the county board has agreed to contribute to	41955
the consortium.	41956

Sec. 5139.27.  The department of youth services shall adopt	41957
rules prescribing the minimum standards of construction for a	41958
school, forestry camp, or other facility established under section	41959
2151.65 of the Revised Code for which financial assistance may be	41960
granted to assist in defraying the cost of the construction of the	41961
school, forestry camp, or other facility. If an application for	41962
that financial assistance is filed with the department under	41963
section 2151.651 of the Revised Code, and the department finds	41964
that the application is in proper form and the specifications for	41965
the construction of the school, forestry camp, or other facility	41966
meet the minimum standards set forth in the rules adopted by the	41967
department, the department may, from moneys available to it for	41968
granting financial assistance for the construction of schools,	41969
forestry camps, or other facilities established under section	41970
2151.65 of the Revised Code, grant financial assistance to the	41971
county making the application, subject to the approval of the	41972
controlling board, in an amount not to exceed one-half of the	41973
county's share of the cost of construction of the school, forestry	41974
camp, or other facility but not to exceed six thousand five	41975
hundred dollars for each bed unit provided for in the school,	41976
forestry camp, or other facility. As used in this section,	41977
"construction" means the building and the initial equipping of new	41978
structures and, to the extent provided for in rules adopted by the	41979
department, the acquisition, remodeling, and initial equipping of	41980
existing structures, excluding architect's fees and the cost of	41981
land acquisition.	41982

A county that receives financial assistance under this	41983
section shall not be obligated to repay the assistance to the	41984
state unless the school, forestry camp, or other facility for	41985
which the assistance is granted is used within the ten-year period	41986
immediately following its establishment for other than the purpose	41987
of rehabilitating children between the ages of twelve to eighteen	41988
years, other than psychotic or mentally retarded children, who are	41989
designated delinquent children, as defined in section 2152.02 of	41990
the Revised Code, or unruly, as defined in section 2151.022 of the	41991
Revised Code, by order of a juvenile court. If the department of	41992
youth services finds that the school, forestry camp, or other	41993
facility is used for other than that purpose within that ten-year	41994
period, the county shall be obligated to repay the assistance to	41995
the state and, through its board of county commissioners, may	41996
enter into an agreement with the director of budget and management	41997
for the discharge of that obligation over a period not to exceed	41998
ten years in duration. Whenever a county is obligated to repay	41999
that assistance to the state and its board of county commissioners	42000
fails to enter into or fails to comply with an agreement for the	42001
discharge of that obligation, the tax commissioner, pursuant to	42002
section 5747.54 of the Revised Code, shall withhold from	42003
distribution to the county from the local governmentcommunities	42004
fund an amount sufficient to discharge the county from that	42005
obligation to the state.	42006

Sec. 5139.271.  Subject to the approval of the controlling	42007
board, the department of youth services may grant and pay	42008
financial assistance to defray the county's share of the cost of	42009
acquiring or constructing a district detention facility,	42010
established under section 2152.41 of the Revised Code, to any	42011
county making application under section 2152.43 of the Revised	42012
Code if the department finds that the application was made in	42013
accordance with its rules and the facility or the specifications	42014
for the facility meet minimum standards established by the	42015
department. No financial assistance shall be granted for defraying	42016
the cost of architects' fees or land.	42017

The department shall adopt rules prescribing the minimum	42018
standards of construction and condition of existing structures,	42019
established under section 2152.41 of the Revised Code, for which	42020
financial assistance is granted under this section. The department	42021
may recommend programs of education and training and the	42022
qualifications desired for personnel of a district detention	42023
facility.	42024

The amount of financial assistance granted to any county	42025
shall not exceed one-half of the county's share of the cost of	42026
acquisition or construction of the facility. The total of all	42027
state assistance for any home shall not exceed six thousand five	42028
hundred dollars for each bed unit provided for in the facility.	42029

A county that receives financial assistance under this	42030
section shall repay the assistance to the state if the facility	42031
for which the assistance is granted is used within the ten-year	42032
period immediately following its establishment for purposes other	42033
than those contained in section 2152.41 of the Revised Code. A	42034
board of county commissioners that uses the facility for any other	42035
purpose within that period shall enter into an agreement with the	42036
director of budget and management for the discharge of that	42037
obligation over a period not to exceed ten years. If a board of	42038
county commissioners fails to enter into an agreement for the	42039
discharge of that obligation, or fails to comply with the terms of	42040
such an agreement, the director shall direct the tax commissioner,	42041
pursuant to section 5747.54 of the Revised Code, to withhold from	42042
the distribution of the local governmentcommunities fund an	42043
amount sufficient to discharge the obligation.	42044

As used in this section:

42045

(A) "Construction" means the building and initial equipping	42046
of new structures.	42047

(B) "Acquisition" means "acquisition" as defined in the rules	42048
of the department, which may include the purchase, remodeling, and	42049
initial equipping of existing structures.	42050

Sec. 5139.43.  (A) The department of youth services shall	42051
operate a felony delinquent care and custody program that shall be	42052
operated in accordance with the formula developed pursuant to	42053
section 5139.41 of the Revised Code, subject to the conditions	42054
specified in this section.	42055

(B)(1) Each juvenile court shall use the moneys disbursed to	42056
it by the department of youth services pursuant to division (B) of	42057
section 5139.41 of the Revised Code in accordance with the	42058
applicable provisions of division (B)(2) of this section and shall	42059
transmit the moneys to the county treasurer for deposit in	42060
accordance with this division. The county treasurer shall create	42061
in the county treasury a fund that shall be known as the felony	42062
delinquent care and custody fund and shall deposit in that fund	42063
the moneys disbursed to the juvenile court pursuant to division	42064
(B) of section 5139.41 of the Revised Code. The county treasurer	42065
also shall deposit into that fund the state subsidy funds granted	42066
to the county pursuant to section 5139.34 of the Revised Code. The	42067
moneys disbursed to the juvenile court pursuant to division (B) of	42068
section 5139.41 of the Revised Code and deposited pursuant to this	42069
division in the felony delinquent care and custody fund shall not	42070
be commingled with any other county funds except state subsidy	42071
funds granted to the county pursuant to section 5139.34 of the	42072
Revised Code; shall not be used for any capital construction	42073
projects; upon an order of the juvenile court and subject to	42074
appropriation by the board of county commissioners, shall be	42075
disbursed to the juvenile court for use in accordance with the	42076
applicable provisions of division (B)(2) of this section; shall	42077
not revert to the county general fund at the end of any fiscal	42078
year; and shall carry over in the felony delinquent care and	42079
custody fund from the end of any fiscal year to the next fiscal	42080
year. At the end of each fiscal year, beginning June 30, 2008, the	42081
balance in the felony delinquent care and custody fund in any	42082
county shall not exceed the total moneys allocated to the county	42083
pursuant to sections 5139.34 and 5139.41 of the Revised Code	42084
during the previous fiscal year, unless that county has applied	42085
for and been granted an exemption by the director of youth	42086
services. The department shall withhold from future payments to a	42087
county an amount equal to any moneys in the felony delinquent care	42088
and custody fund of the county that exceed the total moneys	42089
allocated pursuant to those sections to the county during the	42090
preceding fiscal year and shall reallocate the withheld amount.	42091
The department shall adopt rules for the withholding and	42092
reallocation of moneys disbursed under sections 5139.34 and	42093
5139.41 of the Revised Code and for the criteria and process for a	42094
county to obtain an exemption from the withholding requirement.	42095
The moneys disbursed to the juvenile court pursuant to division	42096
(B) of section 5139.41 of the Revised Code and deposited pursuant	42097
to this division in the felony delinquent care and custody fund	42098
shall be in addition to, and shall not be used to reduce, any	42099
usual annual increase in county funding that the juvenile court is	42100
eligible to receive or the current level of county funding of the	42101
juvenile court and of any programs or services for delinquent	42102
children, unruly children, or juvenile traffic offenders.	42103

(2)(a) A county and the juvenile court that serves the county	42104
shall use the moneys in its felony delinquent care and custody	42105
fund in accordance with rules that the department of youth	42106
services adopts pursuant to division (D) of section 5139.04 of the	42107
Revised Code and as follows:	42108

(i) The moneys in the fund that represent state subsidy funds	42109
granted to the county pursuant to section 5139.34 of the Revised	42110
Code shall be used to aid in the support of prevention, early	42111
intervention, diversion, treatment, and rehabilitation programs	42112
that are provided for alleged or adjudicated unruly children or	42113
delinquent children or for children who are at risk of becoming	42114
unruly children or delinquent children. The county shall not use	42115
for capital improvements more than fifteen per cent of the moneys	42116
in the fund that represent the applicable annual grant of those	42117
state subsidy funds.	42118

(ii) The moneys in the fund that were disbursed to the	42119
juvenile court pursuant to division (B) of section 5139.41 of the	42120
Revised Code and deposited pursuant to division (B)(1) of this	42121
section in the fund shall be used to provide programs and services	42122
for the training, treatment, or rehabilitation of felony	42123
delinquents that are alternatives to their commitment to the	42124
department, including, but not limited to, community residential	42125
programs, day treatment centers, services within the home, and	42126
electronic monitoring, and shall be used in connection with	42127
training, treatment, rehabilitation, early intervention, or other	42128
programs or services for any delinquent child, unruly child, or	42129
juvenile traffic offender who is under the jurisdiction of the	42130
juvenile court.	42131

The fund also may be used for prevention, early intervention,	42132
diversion, treatment, and rehabilitation programs that are	42133
provided for alleged or adjudicated unruly children, delinquent	42134
children, or juvenile traffic offenders or for children who are at	42135
risk of becoming unruly children, delinquent children, or juvenile	42136
traffic offenders. Consistent with division (B)(1) of this	42137
section, a county and the juvenile court of a county shall not use	42138
any of those moneys for capital construction projects.	42139

(iii) The county and the juvenile court that serves the	42140
county may not use moneys in the fund for the provision of care	42141
and services for children, including, but not limited to, care and	42142
services in a detention facility, in another facility, or in	42143
out-of-home placement, unless the minimum standards that apply to	42144
the care and services and that the department prescribes in rules	42145
adopted pursuant to division (D) of section 5139.04 of the Revised	42146
Code have been satisfied.	42147

(b) Each juvenile court shall comply with division (B)(3)(d)	42148
of this section as implemented by the department.	42149

(3) In accordance with rules adopted by the department	42150
pursuant to division (D) of section 5139.04 of the Revised Code,	42151
each juvenile court and the county served by that juvenile court	42152
shall do all of the following that apply:	42153

(a) The juvenile court shall prepare an annual grant	42154
agreement and application for funding that satisfies the	42155
requirements of this section and section 5139.34 of the Revised	42156
Code and that pertains to the use, upon an order of the juvenile	42157
court and subject to appropriation by the board of county	42158
commissioners, of the moneys in its felony delinquent care and	42159
custody fund for specified programs, care, and services as	42160
described in division (B)(2)(a) of this section, shall submit that	42161
agreement and application to the county family and children first	42162
council, the regional family and children first council, or the	42163
local intersystem services to children cluster as described in	42164
sections 121.37 and 121.38 of the Revised Code, whichever is	42165
applicable, and shall file that agreement and application with the	42166
department for its approval. The annual grant agreement and	42167
application for funding shall include a method of ensuring equal	42168
access for minority youth to the programs, care, and services	42169
specified in it.	42170

The department may approve an annual grant agreement and	42171
application for funding only if the juvenile court involved has	42172
complied with the preparation, submission, and filing requirements	42173
described in division (B)(3)(a) of this section. If the juvenile	42174
court complies with those requirements and the department approves	42175
that agreement and application, the juvenile court and the county	42176
served by the juvenile court may expend the state subsidy funds	42177
granted to the county pursuant to section 5139.34 of the Revised	42178
Code only in accordance with division (B)(2)(a) of this section,	42179
the rules pertaining to state subsidy funds that the department	42180
adopts pursuant to division (D) of section 5139.04 of the Revised	42181
Code, and the approved agreement and application.	42182

(b) By the thirty-first day of August of each year, the	42183
juvenile court shall file with the department a report that	42184
contains all of the statistical and other information for each	42185
month of the prior state fiscal year. If the juvenile court fails	42186
to file the report required by division (B)(3)(b) of this section	42187
by the thirty-first day of August of any year, the department	42188
shall not disburse any payment of state subsidy funds to which the	42189
county otherwise is entitled pursuant to section 5139.34 of the	42190
Revised Code and shall not disburse pursuant to division (B) of	42191
section 5139.41 of the Revised Code the applicable allocation	42192
until the juvenile court fully complies with division (B)(3)(b) of	42193
this section.	42194

(c) If the department requires the juvenile court to prepare	42195
monthly statistical reports and to submit the reports on forms	42196
provided by the department, the juvenile court shall file those	42197
reports with the department on the forms so provided. If the	42198
juvenile court fails to prepare and submit those monthly	42199
statistical reports within the department's timelines, the	42200
department shall not disburse any payment of state subsidy funds	42201
to which the county otherwise is entitled pursuant to section	42202
5139.34 of the Revised Code and shall not disburse pursuant to	42203
division (B) of section 5139.41 of the Revised Code the applicable	42204
allocation until the juvenile court fully complies with division	42205
(B)(3)(c) of this section. If the juvenile court fails to prepare	42206
and submit those monthly statistical reports within one hundred	42207
eighty days of the date the department establishes for their	42208
submission, the department shall not disburse any payment of state	42209
subsidy funds to which the county otherwise is entitled pursuant	42210
to section 5139.34 of the Revised Code and shall not disburse	42211
pursuant to division (B) of section 5139.41 of the Revised Code	42212
the applicable allocation, and the state subsidy funds and the	42213
remainder of the applicable allocation shall revert to the	42214
department. If a juvenile court states in a monthly statistical	42215
report that the juvenile court adjudicated within a state fiscal	42216
year five hundred or more children to be delinquent children for	42217
committing acts that would be felonies if committed by adults and	42218
if the department determines that the data in the report may be	42219
inaccurate, the juvenile court shall have an independent auditor	42220
or other qualified entity certify the accuracy of the data on a	42221
date determined by the department.	42222

(d) If the department requires the juvenile court and the	42223
county to participate in a fiscal monitoring program or another	42224
monitoring program that is conducted by the department to ensure	42225
compliance by the juvenile court and the county with division (B)	42226
of this section, the juvenile court and the county shall	42227
participate in the program and fully comply with any guidelines	42228
for the performance of audits adopted by the department pursuant	42229
to that program and all requests made by the department pursuant	42230
to that program for information necessary to reconcile fiscal	42231
accounting. If an audit that is performed pursuant to a fiscal	42232
monitoring program or another monitoring program described in this	42233
division determines that the juvenile court or the county used	42234
moneys in the county's felony delinquent care and custody fund for	42235
expenses that are not authorized under division (B) of this	42236
section, within forty-five days after the department notifies the	42237
county of the unauthorized expenditures, the county either shall	42238
repay the amount of the unauthorized expenditures from the county	42239
general revenue fund to the state's general revenue fund or shall	42240
file a written appeal with the department. If an appeal is timely	42241
filed, the director of the department shall render a decision on	42242
the appeal and shall notify the appellant county or its juvenile	42243
court of that decision within forty-five days after the date that	42244
the appeal is filed. If the director denies an appeal, the	42245
county's fiscal agent shall repay the amount of the unauthorized	42246
expenditures from the county general revenue fund to the state's	42247
general revenue fund within thirty days after receiving the	42248
director's notification of the appeal decision. If the county	42249
fails to make the repayment within that thirty-day period and if	42250
the unauthorized expenditures pertain to moneys allocated under	42251
sections 5139.41 to 5139.43 of the Revised Code, the department	42252
shall deduct the amount of the unauthorized expenditures from the	42253
next allocation of those moneys to the county in accordance with	42254
this section or from the allocations that otherwise would be made	42255
under those sections to the county during the next state fiscal	42256
year in accordance with this section and shall return that	42257
deducted amount to the state's general revenue fund. If the county	42258
fails to make the repayment within that thirty-day period and if	42259
the unauthorized expenditures pertain to moneys granted pursuant	42260
to section 5139.34 of the Revised Code, the department shall	42261
deduct the amount of the unauthorized expenditures from the next	42262
annual grant to the county pursuant to that section and shall	42263
return that deducted amount to the state's general revenue fund.	42264

(C) The determination of which county a reduction of the	42265
care and custody allocation will be charged against for a	42266
particular youth shall be made as outlined below for all youths	42267
who do not qualify as public safety beds. The determination of	42268
which county a reduction of the care and custody allocation will	42269
be charged against shall be made as follows until each youth is	42270
released:	42271

(1) In the event of a commitment, the reduction shall be	42272
charged against the committing county.	42273

(2) In the event of a recommitment, the reduction shall be	42274
charged against the original committing county until the	42275
expiration of the minimum period of institutionalization under the	42276
original order of commitment or until the date on which the youth	42277
is admitted to the department of youth services pursuant to the	42278
order of recommitment, whichever is later. Reductions of the	42279
allocation shall be charged against the county that recommitted	42280
the youth after the minimum expiration date of the original	42281
commitment.	42282

(3) In the event of a revocation of a release on parole, the	42283
reduction shall be charged against the county that revokes the	42284
youth's parole.	42285

(D) A juvenile court is not precluded by its allocation	42286
amount for the care and custody of felony delinquents from	42287
committing a felony delinquent to the department of youth services	42288
for care and custody in an institution or a community corrections	42289
facility when the juvenile court determines that the commitment is	42290
appropriate.	42291

Sec. 5528.54.  (A) The commissioners of the sinking fund are	42292
authorized to issue and sell, as provided in this section and in	42293
amounts from time to time authorized by the general assembly,	42294
general obligations of this state for the purpose of financing or	42295
assisting in the financing of the costs of projects. The full	42296
faith and credit, revenues, and taxing power of the state are and	42297
shall be pledged to the timely payment of bond service charges on	42298
outstanding obligations, all in accordance with Section 2m of	42299
Article VIII, Ohio Constitution, and sections 5528.51 to 5528.53	42300
of the Revised Code, and so long as such obligations are	42301
outstanding there shall be levied and collected excises, taxes,	42302
and other revenues in amounts sufficient to pay the bond service	42303
charges on such obligations and costs relating to credit	42304
enhancement facilities.	42305

(B) Not more than two hundred twenty million dollars	42306
principal amount of obligations, plus the principal amount of	42307
obligations that in any prior fiscal years could have been, but	42308
were not issued within that two-hundred-twenty-million-dollar	42309
fiscal year limit, may be issued in any fiscal year, and not more	42310
thatthan one billion two hundred million dollars principal amount	42311
of obligations may be outstanding at any one time, all determined	42312
as provided in sections 5528.51 to 5528.53 of the Revised Code.	42313

(C) The state may participate in financing projects by	42314
grants, loans, or contributions to local government entities.	42315

(D) Each issue of obligations shall be authorized by	42316
resolution of the commissioners. The bond proceedings shall	42317
provide for the principal amount or maximum principal amount of	42318
obligations of an issue, and shall provide for or authorize the	42319
manner for determining the principal maturity or maturities, not	42320
exceeding the earlier of thirty years from the date of issuance of	42321
the particular obligations or thirty years from the date the debt	42322
represented by the particular obligations was originally	42323
contracted, the interest rate or rates, the date of and the dates	42324
of payment of interest on the obligations, their denominations,	42325
and the establishment within or outside the state of a place or	42326
places of payment of bond service charges. Sections 9.96, 9.98,	42327
9.981, 9.982, and 9.983 of the Revised Code are applicable to the	42328
obligations. The purpose of the obligations may be stated in the	42329
bond proceedings as "financing or assisting in the financing of	42330
highway capital improvement projects as provided in Section 2m of	42331
Article VIII, Ohio Constitution."	42332

(E) The proceeds of the obligations, except for any portion	42333
to be deposited into special funds, or into escrow funds for the	42334
purpose of refunding outstanding obligations, all as may be	42335
provided in the bond proceedings, shall be deposited into the	42336
highway capital improvement fund established by section 5528.53 of	42337
the Revised Code.	42338

(F) The commissioners may appoint or provide for the	42339
appointment of paying agents, bond registrars, securities	42340
depositories, and transfer agents, and may retain the services of	42341
financial advisers and accounting experts, and retain or contract	42342
for the services of marketing, remarketing, indexing, and	42343
administrative agents, other consultants, and independent	42344
contractors, including printing services, as are necessary in the	42345
judgment of the commissioners to carry out sections 5528.51 to	42346
5528.53 of the Revised Code. Financing costs are payable, as	42347
provided in the bond proceedings, from the proceeds of the	42348
obligations, from special funds, or from other moneys available	42349
for the purpose.	42350

(G) The bond proceedings, including any trust agreement, may	42351
contain additional provisions customary or appropriate to the	42352
financing or to the obligations or to particular obligations	42353
including, but not limited to:	42354

(1) The redemption of obligations prior to maturity at the	42355
option of the state or of the holder or upon the occurrence of	42356
certain conditions at such price or prices and under such terms	42357
and conditions as are provided in the bond proceedings;	42358

(2) The form of and other terms of the obligations;

42359

(3) The establishment, deposit, investment, and application	42360
of special funds, and the safeguarding of moneys on hand or on	42361
deposit, in lieu of otherwise applicable provisions of Chapter	42362
131. or 135. of the Revised Code, but subject to any special	42363
provisions of this section with respect to particular funds or	42364
moneys, and provided that any bank or trust company that acts as a	42365
depository of any moneys in special funds may furnish such	42366
indemnifying bonds or may pledge such securities as required by	42367
the commissioners;	42368

(4) Any or every provision of the bond proceedings binding	42369
upon the commissioners and such state agency or local government	42370
entities, officer, board, commission, authority, agency,	42371
department, or other person or body as may from time to time have	42372
the authority under law to take such actions as may be necessary	42373
to perform all or any part of the duty required by such provision;	42374

(5) The maintenance of each pledge, any trust agreement, or	42375
other instrument composing part of the bond proceedings until the	42376
state has fully paid or provided for the payment of the bond	42377
service charges on the obligations or met other stated conditions;	42378

(6) In the event of default in any payments required to be	42379
made by the bond proceedings, or any other agreement of the	42380
commissioners made as part of a contract under which the	42381
obligations were issued or secured, the enforcement of such	42382
payments or agreements by mandamus, suit in equity, action at law,	42383
or any combination of the foregoing;	42384

(7) The rights and remedies of the holders of obligations and	42385
of the trustee under any trust agreement, and provisions for	42386
protecting and enforcing them, including limitations on rights of	42387
individual holders of obligations;	42388

(8) The replacement of any obligations that become mutilated	42389
or are destroyed, lost, or stolen;	42390

(9) Provision for the funding, refunding, or advance	42391
refunding or other provision for payment of obligations that will	42392
then no longer be outstanding for purposes of sections 5528.51 to	42393
5528.56 of the Revised Code or of the bond proceedings;	42394

(10) Any provision that may be made in bond proceedings or a	42395
trust agreement, including provision for amendment of the bond	42396
proceedings;	42397

(11) Any other or additional agreements with the holders of	42398
the obligations relating to any of the foregoing;	42399

(12) Such other provisions as the commissioners determine,	42400
including limitations, conditions, or qualifications relating to	42401
any of the foregoing.	42402

(H) The great seal of the state or a facsimile of that seal	42403
may be affixed to or printed on the obligations. The obligations	42404
requiring signatures by the commissioners shall be signed by or	42405
bear the facsimile signatures of two or more of the commissioners	42406
as provided in the bond proceedings. Any obligations may be signed	42407
by the person who, on the date of execution, is the authorized	42408
signer although on the date of such obligations such person was	42409
not a commissioner. In case the individual whose signature or a	42410
facsimile of whose signature appears on any obligation ceases to	42411
be a commissioner before delivery of the obligation, such	42412
signature or facsimile is nevertheless valid and sufficient for	42413
all purposes as if that individual had remained the member until	42414
such delivery, and in case the seal to be affixed to or printed on	42415
obligations has been changed after the seal has been affixed to or	42416
a facsimile of the seal has been printed on the obligations, that	42417
seal or facsimile seal shall continue to be sufficient as to those	42418
obligations and obligations issued in substitution or exchange	42419
therefor.	42420

(I) The obligations are negotiable instruments and securities	42421
under Chapter 1308. of the Revised Code, subject to the provisions	42422
of the bond proceedings as to registration. Obligations may be	42423
issued in coupon or in fully registered form, or both, as the	42424
commissioners determine. Provision may be made for the	42425
registration of any obligations with coupons attached as to	42426
principal alone or as to both principal and interest, their	42427
exchange for obligations so registered, and for the conversion or	42428
reconversion into obligations with coupons attached of any	42429
obligations registered as to both principal and interest, and for	42430
reasonable charges for such registration, exchange, conversion,	42431
and reconversion. Pending preparation of definitive obligations,	42432
the commissioners may issue interim receipts or certificates which	42433
shall be exchanged for such definitive obligations.	42434

(J) Obligations may be sold at public sale or at private	42435
sale, and at such price at, above, or below par, as determined by	42436
the commissioners in the bond proceedings.	42437

(K) In the discretion of the commissioners, obligations may	42438
be secured additionally by a trust agreement between the state and	42439
a corporate trustee which may be any trust company or bank having	42440
its principala place of business within the state. Any trust	42441
agreement may contain the resolution authorizing the issuance of	42442
the obligations, any provisions that may be contained in the bond	42443
proceedings, and other provisions that are customary or	42444
appropriate in an agreement of the type.	42445

(L) Except to the extent that their rights are restricted by	42446
the bond proceedings, any holder of obligations, or a trustee	42447
under the bond proceedings may by any suitable form of legal	42448
proceedings protect and enforce any rights under the laws of this	42449
state or granted by the bond proceedings. Such rights include the	42450
right to compel the performance of all duties of the commissioners	42451
and the state. Each duty of the commissioners and its employees,	42452
and of each state agency and local government entity and its	42453
officers, members, or employees, undertaken pursuant to the bond	42454
proceedings, is hereby established as a duty of the commissioners,	42455
and of each such agency, local government entity, officer, member,	42456
or employee having authority to perform such duty, specifically	42457
enjoined by the law and resulting from an office, trust, or	42458
station within the meaning of section 2731.01 of the Revised Code.	42459
The persons who are at the time the commissioners of the sinking	42460
fund, or its employees, are not liable in their personal	42461
capacities on any obligations or any agreements of or with the	42462
commissioners relating to obligations or under the bond	42463
proceedings.	42464

(M) Obligations are lawful investments for banks, societies	42465
for savings, savings and loan associations, deposit guarantee	42466
associations, trust companies, trustees, fiduciaries, insurance	42467
companies, including domestic for life and domestic not for life,	42468
trustees or other officers having charge of sinking and bond	42469
retirement or other special funds of political subdivisions and	42470
taxing districts of this state, the commissioners of the sinking	42471
fund, the administrator of workers' compensation, subject to the	42472
approval of the workers' compensation board and the industrial	42473
commission, the state teachers retirement system, the public	42474
employees retirement system, the school employees retirement	42475
system, and the Ohio police and fire pension fund, notwithstanding	42476
any other provisions of the Revised Code or rules adopted pursuant	42477
thereto by any state agency with respect to investments by them,	42478
and are also acceptable as security for the deposit of public	42479
moneys.	42480

(N) Unless otherwise provided in any applicable bond	42481
proceedings, moneys to the credit of or in the special funds	42482
established by or pursuant to this section may be invested by or	42483
on behalf of the commissioners only in notes, bonds, or other	42484
direct obligations of the United States or of any agency or	42485
instrumentality thereof, in obligations of this state or any	42486
political subdivision of this state, in certificates of deposit of	42487
any national bank located in this state and any bank, as defined	42488
in section 1101.01 of the Revised Code, subject to inspection by	42489
the superintendent of financial institutions, in the Ohio	42490
subdivision's fund established pursuant to section 135.45 of the	42491
Revised Code, in no-front-end-load money market mutual funds	42492
consisting exclusively of direct obligations of the United States	42493
or of an agency or instrumentality thereof, and in repurchase	42494
agreements, including those issued by any fiduciary, secured by	42495
direct obligations of the United States or an agency or	42496
instrumentality thereof, and in common trust funds established in	42497
accordance with section 1109.20 of the Revised Code and consisting	42498
exclusively of direct obligations of the United States or of an	42499
agency or instrumentality thereof, notwithstanding division (A)(4)	42500
of that section. The income from investments shall be credited to	42501
such special funds or otherwise as the commissioners determine in	42502
the bond proceedings, and the investments may be sold or exchanged	42503
at such times as the commissioners determine or authorize.	42504

(O) Unless otherwise provided in any applicable bond	42505
proceedings, moneys to the credit of or in a special fund shall be	42506
disbursed on the order of the commissioners, provided that no such	42507
order is required for the payment from the bond service fund or	42508
other special fund when due of bond service charges or required	42509
payments under credit enhancement facilities.	42510

(P) The commissioners may covenant in the bond proceedings,	42511
and any such covenants shall be controlling notwithstanding any	42512
other provision of law, that the state and the applicable officers	42513
and agencies of the state, including the general assembly, shall,	42514
so long as any obligations are outstanding in accordance with	42515
their terms, maintain statutory authority for and cause to be	42516
charged and collected taxes, excises, and other receipts of the	42517
state so that the receipts to the bond service fund shall be	42518
sufficient in amounts to meet bond service charges and for the	42519
establishment and maintenance of any reserves and other	42520
requirements, including payment of financing costs, provided for	42521
in the bond proceedings.	42522

(Q) The obligations, and the transfer of, and the interest,	42523
interest equivalent, and other income and accreted amounts from,	42524
including any profit made on the sale, exchange, or other	42525
disposition of, the obligations shall at all times be free from	42526
taxation, direct or indirect, within the state.	42527

(R) This section applies only with respect to obligations	42528
issued and delivered prior to September 30, 2000.	42529

Sec. 5531.10.  (A) As used in this chapter:

42530

(1) "Bond proceedings" means the resolution, order, trust	42531
agreement, indenture, lease, lease-purchase agreements, and other	42532
agreements, amendments and supplements to the foregoing, or any	42533
one or more or combination thereof, authorizing or providing for	42534
the terms and conditions applicable to, or providing for the	42535
security or liquidity of, obligations issued pursuant to this	42536
section, and the provisions contained in such obligations.	42537

(2) "Bond service charges" means principal, including	42538
mandatory sinking fund requirements for retirement of obligations,	42539
and interest, and redemption premium, if any, required to be paid	42540
by the state on obligations.	42541

(3) "Bond service fund" means the applicable fund and	42542
accounts therein created for and pledged to the payment of bond	42543
service charges, which may be, or may be part of, the state	42544
infrastructure bank revenue bond service fund created by division	42545
(R) of this section including all moneys and investments, and	42546
earnings from investments, credited and to be credited thereto.	42547

(4) "Issuing authority" means the treasurer of state, or the	42548
officer who by law performs the functions of the treasurer of	42549
state.	42550

(5) "Obligations" means bonds, notes, or other evidence of	42551
obligation including interest coupons pertaining thereto, issued	42552
pursuant to this section.	42553

(6) "Pledged receipts" means moneys accruing to the state	42554
from the lease, lease-purchase, sale, or other disposition, or	42555
use, of qualified projects, and from the repayment, including	42556
interest, of loans made from proceeds received from the sale of	42557
obligations; accrued interest received from the sale of	42558
obligations; income from the investment of the special funds; any	42559
gifts, grants, donations, and pledges, and receipts therefrom,	42560
available for the payment of bond service charges; and any amounts	42561
in the state infrastructure bank pledged to the payment of such	42562
charges. If the amounts in the state infrastructure bank are	42563
insufficient for the payment of such charges, "pledged receipts"	42564
also means moneys that are apportioned by the United States	42565
secretary of transportation under United States Code, Title XXIII,	42566
as amended, or any successor legislation, or under any other	42567
federal law relating to aid for highways, and that are to be	42568
received as a grant by the state, to the extent the state is not	42569
prohibited by state or federal law from using such moneys and the	42570
moneys are pledged to the payment of such bond service charges.	42571

(7) "Special funds" or "funds" means, except where the	42572
context does not permit, the bond service fund, and any other	42573
funds, including reserve funds, created under the bond	42574
proceedings, and the state infrastructure bank revenue bond	42575
service fund created by division (R) of this section to the extent	42576
provided in the bond proceedings, including all moneys and	42577
investments, and earnings from investment, credited and to be	42578
credited thereto.	42579

(8) "State infrastructure project" means any public	42580
transportation project undertaken by the state, including, but not	42581
limited to, all components of any such project, as described in	42582
division (D) of section 5531.09 of the Revised Code.	42583

(9) "District obligations" means bonds, notes, or other	42584
evidence of obligation including interest coupons pertaining	42585
thereto, issued to finance a qualified project by a transportation	42586
improvement district created pursuant to section 5540.02 of the	42587
Revised Code, of which the principal, including mandatory sinking	42588
fund requirements for retirement of such obligations, and interest	42589
and redemption premium, if any, are payable by the department of	42590
transportation.	42591

(B) The issuing authority, after giving written notice to the	42592
director of budget and management and upon the certification by	42593
the director of transportation to the issuing authority of the	42594
amount of moneys or additional moneys needed either for state	42595
infrastructure projects or to provide financial assistance for any	42596
of the purposes for which the state infrastructure bank may be	42597
used under section 5531.09 of the Revised Code, or needed for	42598
capitalized interest, funding reserves, and paying costs and	42599
expenses incurred in connection with the issuance, carrying,	42600
securing, paying, redeeming, or retirement of the obligations or	42601
any obligations refunded thereby, including payment of costs and	42602
expenses relating to letters of credit, lines of credit,	42603
insurance, put agreements, standby purchase agreements, indexing,	42604
marketing, remarketing and administrative arrangements, interest	42605
swap or hedging agreements, and any other credit enhancement,	42606
liquidity, remarketing, renewal, or refunding arrangements, all of	42607
which are authorized by this section, shall issue obligations of	42608
the state under this section in the required amount. The proceeds	42609
of such obligations, except for the portion to be deposited in	42610
special funds, including reserve funds, as may be provided in the	42611
bond proceedings, shall as provided in the bond proceedings be	42612
credited to the infrastructure bank obligations fund of the state	42613
infrastructure bank created by section 5531.09 of the Revised Code	42614
and disbursed as provided in the bond proceedings for such	42615
obligations. The issuing authority may appoint trustees, paying	42616
agents, transfer agents, and authenticating agents, and may retain	42617
the services of financial advisors, accounting experts, and	42618
attorneys, and retain or contract for the services of marketing,	42619
remarketing, indexing, and administrative agents, other	42620
consultants, and independent contractors, including printing	42621
services, as are necessary in the issuing authority's judgment to	42622
carry out this section. The costs of such services are payable	42623
from funds of the state infrastructure bank.	42624

(C) The holders or owners of such obligations shall have no	42625
right to have moneys raised by taxation by the state of Ohio	42626
obligated or pledged, and moneys so raised shall not be obligated	42627
or pledged, for the payment of bond service charges. The right of	42628
such holders and owners to the payment of bond service charges is	42629
limited to all or that portion of the pledged receipts and those	42630
special funds pledged thereto pursuant to the bond proceedings for	42631
such obligations in accordance with this section, and each such	42632
obligation shall bear on its face a statement to that effect.	42633
Moneys received as repayment of loans made by the state	42634
infrastructure bank pursuant to section 5531.09 of the Revised	42635
Code shall not be considered moneys raised by taxation by the	42636
state of Ohio regardless of the source of the moneys.	42637

(D) Obligations shall be authorized by order of the issuing	42638
authority and the bond proceedings shall provide for the purpose	42639
thereof and the principal amount or amounts, and shall provide for	42640
or authorize the manner or agency for determining the principal	42641
maturity or maturities, not exceeding twenty-five years from the	42642
date of issuance, the interest rate or rates or the maximum	42643
interest rate, the date of the obligations and the dates of	42644
payment of interest thereon, their denomination, and the	42645
establishment within or without the state of a place or places of	42646
payment of bond service charges. Sections 9.98 to 9.983 of the	42647
Revised Code are applicable to obligations issued under this	42648
section. The purpose of such obligations may be stated in the bond	42649
proceedings in terms describing the general purpose or purposes to	42650
be served. The bond proceedings also shall provide, subject to the	42651
provisions of any other applicable bond proceedings, for the	42652
pledge of all, or such part as the issuing authority may	42653
determine, of the pledged receipts and the applicable special fund	42654
or funds to the payment of bond service charges, which pledges may	42655
be made either prior or subordinate to other expenses, claims, or	42656
payments, and may be made to secure the obligations on a parity	42657
with obligations theretofore or thereafter issued, if and to the	42658
extent provided in the bond proceedings. The pledged receipts and	42659
special funds so pledged and thereafter received by the state	42660
immediately are subject to the lien of such pledge without any	42661
physical delivery thereof or further act, and the lien of any such	42662
pledges is valid and binding against all parties having claims of	42663
any kind against the state or any governmental agency of the	42664
state, irrespective of whether such parties have notice thereof,	42665
and shall create a perfected security interest for all purposes of	42666
Chapter 1309. of the Revised Code, without the necessity for	42667
separation or delivery of funds or for the filing or recording of	42668
the bond proceedings by which such pledge is created or any	42669
certificate, statement, or other document with respect thereto;	42670
and the pledge of such pledged receipts and special funds is	42671
effective and the money therefrom and thereof may be applied to	42672
the purposes for which pledged without necessity for any act of	42673
appropriation. Every pledge, and every covenant and agreement	42674
made with respect thereto, made in the bond proceedings may	42675
therein be extended to the benefit of the owners and holders of	42676
obligations authorized by this section, and to any trustee	42677
therefor, for the further security of the payment of the bond	42678
service charges.	42679

(E) The bond proceedings may contain additional provisions as	42680
to:	42681

(1) The redemption of obligations prior to maturity at the	42682
option of the issuing authority at such price or prices and under	42683
such terms and conditions as are provided in the bond proceedings;	42684

(2) Other terms of the obligations;

42685

(3) Limitations on the issuance of additional obligations;

42686

(4) The terms of any trust agreement or indenture securing	42687
the obligations or under which the same may be issued;	42688

(5) The deposit, investment, and application of special	42689
funds, and the safeguarding of moneys on hand or on deposit,	42690
without regard to Chapter 131. or 135. of the Revised Code, but	42691
subject to any special provisions of this section with respect to	42692
particular funds or moneys, provided that any bank or trust	42693
company which acts as depository of any moneys in the special	42694
funds may furnish such indemnifying bonds or may pledge such	42695
securities as required by the issuing authority;	42696

(6) Any or every provision of the bond proceedings being	42697
binding upon such officer, board, commission, authority, agency,	42698
department, or other person or body as may from time to time have	42699
the authority under law to take such actions as may be necessary	42700
to perform all or any part of the duty required by such provision;	42701

(7) Any provision that may be made in a trust agreement or	42702
indenture;	42703

(8) Any other or additional agreements with the holders of	42704
the obligations, or the trustee therefor, relating to the	42705
obligations or the security therefor, including the assignment of	42706
mortgages or other security relating to financial assistance for	42707
qualified projects under section 5531.09 of the Revised Code.	42708

(F) The obligations may have the great seal of the state or a	42709
facsimile thereof affixed thereto or printed thereon. The	42710
obligations and any coupons pertaining to obligations shall be	42711
signed or bear the facsimile signature of the issuing authority.	42712
Any obligations or coupons may be executed by the person who, on	42713
the date of execution, is the proper issuing authority although on	42714
the date of such bonds or coupons such person was not the issuing	42715
authority. In case the issuing authority whose signature or a	42716
facsimile of whose signature appears on any such obligation or	42717
coupon ceases to be the issuing authority before delivery thereof,	42718
such signature or facsimile nevertheless is valid and sufficient	42719
for all purposes as if the former issuing authority had remained	42720
the issuing authority until such delivery; and in case the seal to	42721
be affixed to obligations has been changed after a facsimile of	42722
the seal has been imprinted on such obligations, such facsimile	42723
seal shall continue to be sufficient as to such obligations and	42724
obligations issued in substitution or exchange therefor.	42725

(G) All obligations are negotiable instruments and securities	42726
under Chapter 1308. of the Revised Code, subject to the provisions	42727
of the bond proceedings as to registration. The obligations may be	42728
issued in coupon or in registered form, or both, as the issuing	42729
authority determines. Provision may be made for the registration	42730
of any obligations with coupons attached thereto as to principal	42731
alone or as to both principal and interest, their exchange for	42732
obligations so registered, and for the conversion or reconversion	42733
into obligations with coupons attached thereto of any obligations	42734
registered as to both principal and interest, and for reasonable	42735
charges for such registration, exchange, conversion, and	42736
reconversion.	42737

(H) Obligations may be sold at public sale or at private	42738
sale, as determined in the bond proceedings.	42739

(I) Pending preparation of definitive obligations, the	42740
issuing authority may issue interim receipts or certificates which	42741
shall be exchanged for such definitive obligations.	42742

(J) In the discretion of the issuing authority, obligations	42743
may be secured additionally by a trust agreement or indenture	42744
between the issuing authority and a corporate trustee which may be	42745
any trust company or bank having its principala place of business	42746
within the state. Any such agreement or indenture may contain the	42747
order authorizing the issuance of the obligations, any provisions	42748
that may be contained in any bond proceedings, and other	42749
provisions which are customary or appropriate in an agreement or	42750
indenture of such type, including, but not limited to:	42751

(1) Maintenance of each pledge, trust agreement, indenture,	42752
or other instrument comprising part of the bond proceedings until	42753
the state has fully paid the bond service charges on the	42754
obligations secured thereby, or provision therefor has been made;	42755

(2) In the event of default in any payments required to be	42756
made by the bond proceedings, or any other agreement of the	42757
issuing authority made as a part of the contract under which the	42758
obligations were issued, enforcement of such payments or agreement	42759
by mandamus, the appointment of a receiver, suit in equity, action	42760
at law, or any combination of the foregoing;	42761

(3) The rights and remedies of the holders of obligations and	42762
of the trustee, and provisions for protecting and enforcing them,	42763
including limitations on the rights of individual holders of	42764
obligations;	42765

(4) The replacement of any obligations that become mutilated	42766
or are destroyed, lost, or stolen;	42767

(5) Such other provisions as the trustee and the issuing	42768
authority agree upon, including limitations, conditions, or	42769
qualifications relating to any of the foregoing.	42770

(K) Any holder of obligations or a trustee under the bond	42771
proceedings, except to the extent that the holder's or trustee's	42772
rights are restricted by the bond proceedings, may by any suitable	42773
form of legal proceedings, protect and enforce any rights under	42774
the laws of this state or granted by such bond proceedings. Such	42775
rights include the right to compel the performance of all duties	42776
of the issuing authority and the director of transportation	42777
required by the bond proceedings or sections 5531.09 and 5531.10	42778
of the Revised Code; to enjoin unlawful activities; and in the	42779
event of default with respect to the payment of any bond service	42780
charges on any obligations or in the performance of any covenant	42781
or agreement on the part of the issuing authority or the director	42782
of transportation in the bond proceedings, to apply to a court	42783
having jurisdiction of the cause to appoint a receiver to receive	42784
and administer the pledged receipts and special funds, other than	42785
those in the custody of the treasurer of state, which are pledged	42786
to the payment of the bond service charges on such obligations or	42787
which are the subject of the covenant or agreement, with full	42788
power to pay, and to provide for payment of bond service charges	42789
on, such obligations, and with such powers, subject to the	42790
direction of the court, as are accorded receivers in general	42791
equity cases, excluding any power to pledge additional revenues or	42792
receipts or other income or moneys of the state or local	42793
governmental entities, or agencies thereof, to the payment of such	42794
principal and interest and excluding the power to take possession	42795
of, mortgage, or cause the sale or otherwise dispose of any	42796
project facilities.	42797

Each duty of the issuing authority and the issuing	42798
authority's officers and employees, and of each state or local	42799
governmental agency and its officers, members, or employees,	42800
undertaken pursuant to the bond proceedings or any loan, loan	42801
guarantee, lease, lease-purchase agreement, or other agreement	42802
made under authority of section 5531.09 of the Revised Code, and	42803
in every agreement by or with the issuing authority, is hereby	42804
established as a duty of the issuing authority, and of each such	42805
officer, member, or employee having authority to perform such	42806
duty, specifically enjoined by the law resulting from an office,	42807
trust, or station within the meaning of section 2731.01 of the	42808
Revised Code.	42809

The person who is at the time the issuing authority, or the	42810
issuing authority's officers or employees, are not liable in their	42811
personal capacities on any obligations issued by the issuing	42812
authority or any agreements of or with the issuing authority.	42813

(L) The issuing authority may authorize and issue obligations	42814
for the refunding, including funding and retirement, and advance	42815
refunding with or without payment or redemption prior to maturity,	42816
of any obligations previously issued by the issuing authority or	42817
district obligations. Such refunding obligations may be issued in	42818
amounts sufficient for payment of the principal amount of the	42819
prior obligations or district obligations, any redemption premiums	42820
thereon, principal maturities of any such obligations or district	42821
obligations maturing prior to the redemption of the remaining	42822
obligations or district obligations on a parity therewith,	42823
interest accrued or to accrue to the maturity dates or dates of	42824
redemption of such obligations or district obligations, and any	42825
expenses incurred or to be incurred in connection with such	42826
issuance and such refunding, funding, and retirement. Subject to	42827
the bond proceedings therefor, the portion of proceeds of the sale	42828
of refunding obligations issued under this division to be applied	42829
to bond service charges on the prior obligations or district	42830
obligations shall be credited to an appropriate account held by	42831
the trustee for such prior or new obligations or to the	42832
appropriate account in the bond service fund for such obligations	42833
or district obligations. Obligations authorized under this	42834
division shall be deemed to be issued for those purposes for which	42835
such prior obligations or district obligations were issued and are	42836
subject to the provisions of this section pertaining to other	42837
obligations, except as otherwise provided in this section. The	42838
last maturity of obligations authorized under this division shall	42839
not be later than twenty-five years from the date of issuance of	42840
the original securities issued for the original purpose.	42841

(M) The authority to issue obligations under this section	42842
includes authority to issue obligations in the form of bond	42843
anticipation notes and to renew the same from time to time by the	42844
issuance of new notes. The holders of such notes or interest	42845
coupons pertaining thereto shall have a right to be paid solely	42846
from the pledged receipts and special funds that may be pledged to	42847
the payment of the bonds anticipated, or from the proceeds of such	42848
bonds or renewal notes, or both, as the issuing authority provides	42849
in the order authorizing such notes. Such notes may be	42850
additionally secured by covenants of the issuing authority to the	42851
effect that the issuing authority and the state will do such or	42852
all things necessary for the issuance of such bonds or renewal	42853
notes in the appropriate amount, and apply the proceeds thereof to	42854
the extent necessary, to make full payment of the principal of and	42855
interest on such notes at the time or times contemplated, as	42856
provided in such order. For such purpose, the issuing authority	42857
may issue bonds or renewal notes in such principal amount and upon	42858
such terms as may be necessary to provide funds to pay when	42859
required the principal of and interest on such notes,	42860
notwithstanding any limitations prescribed by or for purposes of	42861
this section. Subject to this division, all provisions for and	42862
references to obligations in this section are applicable to notes	42863
authorized under this division.	42864

The issuing authority in the bond proceedings authorizing the	42865
issuance of bond anticipation notes shall set forth for such bonds	42866
an estimated interest rate and a schedule of principal payments	42867
for such bonds and the annual maturity dates thereof.	42868

(N) Obligations issued under this section are lawful	42869
investments for banks, societies for savings, savings and loan	42870
associations, deposit guarantee associations, trust companies,	42871
trustees, fiduciaries, insurance companies, including domestic for	42872
life and domestic not for life, trustees or other officers having	42873
charge of sinking and bond retirement or other special funds of	42874
political subdivisions and taxing districts of this state, the	42875
commissioners of the sinking fund of the state, the administrator	42876
of workers' compensation, the state teachers retirement system,	42877
the public employees retirement system, the school employees	42878
retirement system, and the Ohio police and fire pension fund,	42879
notwithstanding any other provisions of the Revised Code or rules	42880
adopted pursuant thereto by any agency of the state with respect	42881
to investments by them, and are also acceptable as security for	42882
the deposit of public moneys.	42883

(O) Unless otherwise provided in any applicable bond	42884
proceedings, moneys to the credit of or in the special funds	42885
established by or pursuant to this section may be invested by or	42886
on behalf of the issuing authority only in notes, bonds, or other	42887
obligations of the United States, or of any agency or	42888
instrumentality of the United States, obligations guaranteed as to	42889
principal and interest by the United States, obligations of this	42890
state or any political subdivision of this state, and certificates	42891
of deposit of any national bank located in this state and any	42892
bank, as defined in section 1101.01 of the Revised Code, subject	42893
to inspection by the superintendent of financial institutions. If	42894
the law or the instrument creating a trust pursuant to division	42895
(J) of this section expressly permits investment in direct	42896
obligations of the United States or an agency of the United	42897
States, unless expressly prohibited by the instrument, such moneys	42898
also may be invested in no-front-end-load money market mutual	42899
funds consisting exclusively of obligations of the United States	42900
or an agency of the United States and in repurchase agreements,	42901
including those issued by the fiduciary itself, secured by	42902
obligations of the United States or an agency of the United	42903
States; and in collective investment funds as defined in division	42904
(A) of section 1111.01 of the Revised Code and consisting	42905
exclusively of any such securities. The income from such	42906
investments shall be credited to such funds as the issuing	42907
authority determines, and such investments may be sold at such	42908
times as the issuing authority determines or authorizes.	42909

(P) Provision may be made in the applicable bond proceedings	42910
for the establishment of separate accounts in the bond service	42911
fund and for the application of such accounts only to the	42912
specified bond service charges on obligations pertinent to such	42913
accounts and bond service fund and for other accounts therein	42914
within the general purposes of such fund. Unless otherwise	42915
provided in any applicable bond proceedings, moneys to the credit	42916
of or in the several special funds established pursuant to this	42917
section shall be disbursed on the order of the treasurer of state,	42918
provided that no such order is required for the payment from the	42919
bond service fund when due of bond service charges on obligations.	42920

(Q)(1) The issuing authority may pledge all, or such portion	42921
as the issuing authority determines, of the pledged receipts to	42922
the payment of bond service charges on obligations issued under	42923
this section, and for the establishment and maintenance of any	42924
reserves, as provided in the bond proceedings, and make other	42925
provisions therein with respect to pledged receipts as authorized	42926
by this chapter, which provisions are controlling notwithstanding	42927
any other provisions of law pertaining thereto.	42928

(2) An action taken under division (Q)(2) of this section	42929
does not limit the generality of division (Q)(1) of this section,	42930
and is subject to division (C) of this section and, if and to the	42931
extent otherwise applicable, Section 13 of Article VIII, Ohio	42932
Constitution. The bond proceedings may contain a covenant that, in	42933
the event the pledged receipts primarily pledged and required to	42934
be used for the payment of bond service charges on obligations	42935
issued under this section, and for the establishment and	42936
maintenance of any reserves, as provided in the bond proceedings,	42937
are insufficient to make any such payment in full when due, or to	42938
maintain any such reserve, the director of transportation shall so	42939
notify the governor, and shall determine to what extent, if any,	42940
the payment may be made or moneys may be restored to the reserves	42941
from lawfully available moneys previously appropriated for that	42942
purpose to the department of transportation. The covenant also	42943
may provide that if the payments are not made or the moneys are	42944
not immediately and fully restored to the reserves from such	42945
moneys, the director shall promptly submit to the governor and to	42946
the director of budget and management a written request for either	42947
or both of the following:	42948

(a) That the next biennial budget submitted by the governor	42949
to the general assembly include an amount to be appropriated from	42950
lawfully available moneys to the department for the purpose of and	42951
sufficient for the payment in full of bond service charges	42952
previously due and for the full replenishment of the reserves;	42953

(b) That the general assembly be requested to increase	42954
appropriations from lawfully available moneys for the department	42955
in the current biennium sufficient for the purpose of and for the	42956
payment in full of bond service charges previously due and to come	42957
due in the biennium and for the full replenishment of the	42958
reserves.	42959

The director of transportation shall include with such	42960
requests a recommendation that the payment of the bond service	42961
charges and the replenishment of the reserves be made in the	42962
interest of maximizing the benefits of the state infrastructure	42963
bank. Any such covenant shall not obligate or purport to obligate	42964
the state to pay the bond service charges on such bonds or notes	42965
or to deposit moneys in a reserve established for such payments	42966
other than from moneys that may be lawfully available and	42967
appropriated for that purpose during the then-current biennium.	42968

(R) There is hereby created the state infrastructure bank	42969
revenue bond service fund, which shall be in the custody of the	42970
treasurer of state but shall not be a part of the state treasury.	42971
All moneys received by or on account of the issuing authority or	42972
state agencies and required by the applicable bond proceedings,	42973
consistent with this section, to be deposited, transferred, or	42974
credited to the bond service fund, and all other moneys	42975
transferred or allocated to or received for the purposes of the	42976
fund, shall be deposited and credited to such fund and to any	42977
separate accounts therein, subject to applicable provisions of the	42978
bond proceedings, but without necessity for any act of	42979
appropriation. The state infrastructure bank revenue bond service	42980
fund is a trust fund and is hereby pledged to the payment of bond	42981
service charges to the extent provided in the applicable bond	42982
proceedings, and payment thereof from such fund shall be made or	42983
provided for by the treasurer of state in accordance with such	42984
bond proceedings without necessity for any act of appropriation.	42985

(S) The obligations issued pursuant to this section, the	42986
transfer thereof, and the income therefrom, including any profit	42987
made on the sale thereof, shall at all times be free from taxation	42988
within this state.	42989

Sec. 5703.57. (A) As used in this section, "Ohio business	42990
gateway" has the same meaning as in section 718.051 of the Revised	42991
Code.	42992

(B) There is hereby created the Ohio business gateway	42993
steering committee to direct the continuing development of the	42994
Ohio business gateway and to oversee its operations. The committee	42995
shall provide general oversight regarding operation of the Ohio	42996
business gateway and shall recommend to the department of	42997
administrative servicesoffice of information technology	42998
enhancements that will improve the Ohio business gateway. The	42999
committee shall consider all banking, technological,	43000
administrative, and other issues associated with the Ohio business	43001
gateway and shall make recommendations regarding the type of	43002
reporting forms or other tax documents to be filed through the	43003
Ohio business gateway.	43004

(C) The committee shall consist of:

43005

(1) The following members, appointed by the governor with the	43006
advice and consent of the senate:	43007

(a) Not more than two representatives of the business	43008
community;	43009

(b) Not more than three representatives of municipal tax	43010
administrators; and	43011

(c) Not more than two tax practitioners.

43012

(2) The following ex officio members:

43013

(a) The director or other highest officer of each state	43014
agency that has tax reporting forms or other tax documents filed	43015
with it through the Ohio business gateway or the director's	43016
designee;	43017

(b) The secretary of state or the secretary of state's	43018
designee;	43019

(c) The treasurer of state or the treasurer of state's	43020
designee;	43021

(d) The director of budget and management or the director's	43022
designee;	43023

(e) The director of the office of information technology	43024
state chief information officer or the director'sofficer's	43025
designee; and	43026

(f)(e) The tax commissioner or the tax commissioner's	43027
designee.	43028

An appointed member shall serve until the member resigns or	43029
is removed by the governor. Vacancies shall be filled in the same	43030
manner as original appointments.	43031

(D) A vacancy on the committee does not impair the right of	43032
the other members to exercise all the functions of the committee.	43033
The presence of a majority of the members of the committee	43034
constitutes a quorum for the conduct of business of the committee.	43035
The concurrence of at least a majority of the members of the	43036
committee is necessary for any action to be taken by the	43037
committee. On request, each member of the committee shall be	43038
reimbursed for the actual and necessary expenses incurred in the	43039
discharge of the member's duties.	43040

(E) The committee is a part of the department of taxation for	43041
administrative purposes.	43042

(F) Each year, the governor shall select a member of the	43043
committee to serve as chairperson. The chairperson shall appoint	43044
an official or employee of the department of taxation to act as	43045
the committee's secretary. The secretary shall keep minutes of the	43046
committee's meetings and a journal of all meetings, proceedings,	43047
findings, and determinations of the committee.	43048

(G) The committee shall hire professional, technical, and	43049
clerical staff needed to support its activities.	43050

(H) The committee shall meet as often as necessary to perform	43051
its duties.	43052

Sec. 5703.80. There is hereby created in the state treasury	43053
the property tax administration fund. All money to the credit of	43054
the fund shall be used to defray the costs incurred by the	43055
department of taxation in administering the taxation of property	43056
and the equalization of real property valuation.	43057

Each fiscal year between the first and fifteenth days of	43058
July, the tax commissioner shall compute the following amounts for	43059
the property in each taxing district in each county, and certify	43060
to the director of budget and management the sum of those amounts	43061
for all taxing districts in all counties:	43062

(A) For fiscal year 2006, thirty-three hundredths of one per	43063
cent of the total amount by which taxes charged against real	43064
property on the general tax list of real and public utility	43065
property were reduced under section 319.302 of the Revised Code	43066
for the preceding tax year;	43067

(B) For fiscal year 2007 and thereafter, thirty-five	43068
hundredths of one per cent of the total amount by which taxes	43069
charged against real property on the general tax list of real and	43070
public utility property were reduced under section 319.302 of the	43071
Revised Code for the preceding tax year;	43072

(C) For fiscal year 2006, one-half of one per cent of the	43073
total amount of taxes charged and payable against public utility	43074
personal property on the general tax list of real and public	43075
utility property for the preceding tax year and of the total	43076
amount of taxes charged and payable against tangible personal	43077
property on the general tax list of personal property of the	43078
preceding tax year and for which returns were filed with the tax	43079
commissioner under section 5711.13 of the Revised Code;	43080

(D) For fiscal year 2007, fifty-six hundredths of one per	43081
cent of the total amount of taxes charged and payable against	43082
public utility personal property on the general tax list of real	43083
and public utility property for the preceding tax year and of the	43084
total amount of taxes charged and payable against tangible	43085
personal property on the general tax list of personal property of	43086
the preceding tax year and for which returns were filed with the	43087
tax commissioner under section 5711.13 of the Revised Code;	43088

(E) For fiscal year 2008 and thereafter, six-tenths of one	43089
per cent of the total amount of taxes charged and payable against	43090
public utility personal property on the general tax list of real	43091
and public utility property for the preceding tax year and of the	43092
total amount of taxes charged and payable against tangible	43093
personal property on the general tax list of personal property of	43094
the preceding tax year and for which returns were filed with the	43095
tax commissioner under section 5711.13 of the Revised Code.	43096

(F) For fiscal year 2009 and thereafter, seven hundred	43097
twenty-five one-thousandths of one per cent of the total amount of	43098
taxes charged and payable against public utility personal property	43099
on the general tax list of real and public utility property for	43100
the preceding tax year and of the total amount of taxes charged	43101
and payable against tangible personal property on the general tax	43102
list of personal property of the preceding tax year and for which	43103
returns were filed with the tax commissioner under section 5711.13	43104
of the Revised Code.	43105

After receiving the tax commissioner's certification, the	43106
director of budget and management shall transfer from the general	43107
revenue fund to the property tax administration fund one-fourth of	43108
the amount certified on or before each of the following days: the	43109
first days of August, November, February, and May.	43110

On or before the thirtieth day of June of the fiscal year,	43111
the tax commissioner shall certify to the director of budget and	43112
management the sum of the amounts by which the amounts computed	43113
for a taxing district under this section exceeded the	43114
distributions to the taxing district under division (F) of section	43115
321.24 of the Revised Code, and the director shall transfer that	43116
sum from the property tax administration fund to the general	43117
revenue fund.	43118

Sec. 5705.28.  (A) Except as provided in division (B)(1) or	43119
(2) of this section or in section 5705.281 of the Revised Code,	43120
the taxing authority of each subdivision or other taxing unit	43121
shall adopt a tax budget for the next succeeding fiscal year:	43122

(1) On or before the fifteenth day of January in the case of	43123
a school district;	43124

(2) On or before the fifteenth day of July in the case of all	43125
other subdivisions and taxing units.	43126

(B)(1) Before the first day of June in each year, the board	43127
of trustees of a school library district entitled to participate	43128
in any appropriation or revenue of a school district or to have a	43129
tax proposed by the board of education of a school district shall	43130
file with the board of education of the school district a tax	43131
budget for the ensuing fiscal year. On or before the fifteenth day	43132
of July in each year, the board of education of a school district	43133
to which a school library district tax budget was submitted under	43134
this division shall adopt such tax budget on behalf of the library	43135
district, but such budget shall not be part of the school	43136
district's tax budget.	43137

(2)(a) The taxing authority of a taxing unit that does not	43138
levy a tax is not required to adopt a tax budget pursuant to	43139
division (A) of this section. Instead, on or before the fifteenth	43140
day of July each year, such taxing authority shall adopt an	43141
operating budget for the taxing unit for the ensuing fiscal year.	43142
The operating budget shall include an estimate of receipts from	43143
all sources, a statement of all taxing unit expenses that are	43144
anticipated to occur, and the amount required for debt charges	43145
during the fiscal year. The operating budget is not required to be	43146
filed with the county auditor or the county budget commission.	43147

(b) Except for this section and sections 5705.36, 5705.38,	43148
5705.40, 5705.41, 5705.43, 5705.44, and 5705.45 of the Revised	43149
Code, a taxing unit that does not levy a tax is not a taxing unit	43150
for purposes of Chapter 5705. of the Revised Code. Documents	43151
prepared in accordance with such sections are not required to be	43152
filed with the county auditor or county budget commission.	43153

(c) The total appropriations from each fund of a taxing unit	43154
that does not levy a tax shall not exceed the total estimated	43155
revenue available for expenditures from the fund, and	43156
appropriations shall be made from each fund only for the purposes	43157
for which the fund is established.	43158

(C)(1) To assist in the preparation of the tax budget, the	43159
head of each department, board, commission, and district authority	43160
entitled to participate in any appropriation or revenue of a	43161
subdivision shall file with the taxing authority, or in the case	43162
of a municipal corporation, with its chief executive officer,	43163
before the forty-fifth day prior to the date on which the budget	43164
must be adopted, an estimate of contemplated revenue and	43165
expenditures for the ensuing fiscal year, in such form as is	43166
prescribed by the taxing authority of the subdivision or by the	43167
auditor of state. The taxing authority shall include in its budget	43168
of expenditures the full amounts requested by district	43169
authorities, not to exceed the amount authorized by law, if such	43170
authorities may fix the amount of revenue they are to receive from	43171
the subdivision. In a municipal corporation in which a special	43172
levy for a municipal university has been authorized to be levied	43173
in excess of the ten-mill limitation, or is required by the	43174
charter of the municipal corporation, the taxing authority shall	43175
include an amount not less than the estimated yield of such levy,	43176
if such amount is requested by the board of directors of the	43177
municipal university.	43178

(2) A county board of mental retardation and developmental	43179
disabilities may include within its estimate of contemplated	43180
revenue and expenditures a reserve balance account in the	43181
community mental retardation and developmental disabilities	43182
residential services fund. The account shall contain money that is	43183
not needed to pay for current expenses for residential services	43184
and supported living but will be needed to pay for expenses for	43185
such services in the future or may be needed for unanticipated	43186
emergency expenses. On the request of the county board of mental	43187
retardation and developmental disabilities, the board of county	43188
commissioners shall include such an account in its budget of	43189
expenditures and appropriate money to the account from residential	43190
service moneys for the county board.	43191

(D) The board of trustees of any public library desiring to	43192
participate in the distribution of the county library and local	43193
government supportlibraries fund shall adopt appropriate rules	43194
extending the benefits of the library service of such library to	43195
all the inhabitants of the county on equal terms, unless such	43196
library service is by law available to all such inhabitants, and	43197
shall certify a copy of such rules to the taxing authority with	43198
its estimate of contemplated revenue and expenditures. Where such	43199
rules have been so certified or where the adoption of such rules	43200
is not required, the taxing authority shall include in its budget	43201
of receipts such amounts as are specified by such board as	43202
contemplated revenue from the county library and local government	43203
supportlibraries fund, and in its budget of expenditures the full	43204
amounts requested therefrom by such board. No library association,	43205
incorporated or unincorporated, is entitled to participate in the	43206
proceeds of the county library and local government support	43207
libraries fund or other public funds unless such association was	43208
organized and operating prior to January 1, 1968.	43209

Sec. 5705.281. (A) Notwithstanding section 5705.28 of the	43210
Revised Code, the county budget commission, by an affirmative vote	43211
of a majority of the commission, including an affirmative vote by	43212
the county auditor, may waive the requirement that the taxing	43213
authority of a subdivision or other taxing unit adopt a tax budget	43214
as provided under section 5705.28 of the Revised Code, but shall	43215
require such a taxing authority to provide such information to the	43216
commission as may be required by the commission to perform its	43217
duties under this chapter, including dividing the rates of each of	43218
the subdivision's or taxing unit's tax levies as provided under	43219
section 5705.04 of the Revised Code.	43220

(B)(1) Notwithstanding divisions (B)(1) and (D) of section	43221
5705.28 of the Revised Code, in any county in which a single	43222
library receives all of the county library and local government	43223
supportlibraries fund or receives all of that portion of the fund	43224
that is distributed to libraries, the county budget commission, by	43225
an affirmative vote of a majority of the commission, including an	43226
affirmative vote by the county auditor, may waive any or all of	43227
the following requirements:	43228

(a) The requirement that the board of trustees of a school	43229
library district entitled to participate in any appropriation or	43230
revenue of a school district or to have a tax proposed by the	43231
board of education of a school district file with the board of	43232
education of the school district a tax budget, and the requirement	43233
that the board of education adopt the tax budget on behalf of the	43234
library district, as provided in division (B)(1) of section	43235
5705.28 of the Revised Code;	43236

(b) The requirement that the board of trustees of a public	43237
library desiring to participate in the distribution of the county	43238
library and local government supportlibraries fund certify to the	43239
taxing authority its estimate of contemplated revenue and	43240
expenditures, and the requirement that the taxing authority	43241
include in its budget of receipts and budget of expenditures the	43242
full amounts specified or requested by the board of trustees, as	43243
provided in division (D) of section 5705.28 of the Revised Code.	43244

(2) If a county budget commission waives the requirements	43245
described in division (B)(1)(a) or (b) of this section, the	43246
commission shall require the board of trustees of the school	43247
library district or the board of trustees of the public library	43248
desiring to participate in the distribution of the county library	43249
and local government supportlibraries fund to provide to the	43250
commission any information the commission may require from the	43251
board in order for the commission to perform its duties under this	43252
chapter.	43253

Sec. 5705.29. This section does not apply to a subdivision or	43254
taxing unit for which the county budget commission has waived the	43255
requirement to adopt a tax budget pursuant to section 5705.281 of	43256
the Revised Code. The tax budget shall present the following	43257
information in such detail as is prescribed by the auditor of	43258
state:	43259

(A)(1) A statement of the necessary current operating	43260
expenses for the ensuing fiscal year for each department and	43261
division of the subdivision, classified as to personal services	43262
and other expenses, and the fund from which such expenditures are	43263
to be made. Except in the case of a school district, this estimate	43264
may include a contingent expense not designated for any particular	43265
purpose, and not to exceed three per cent of the total amount of	43266
appropriations for current expenses. In the case of a school	43267
district, this estimate may include a contingent expense not	43268
designated for any particular purpose and not to exceed thirteen	43269
per cent of the total amount of appropriations for current	43270
expenses.	43271

(2) A statement of the expenditures for the ensuing fiscal	43272
year necessary for permanent improvements, exclusive of any	43273
expense to be paid from bond issues, classified as to the	43274
improvements contemplated by the subdivision and the fund from	43275
which such expenditures are to be made;	43276

(3) The amounts required for the payment of final judgments;

43277

(4) A statement of expenditures for the ensuing fiscal year	43278
necessary for any purpose for which a special levy is authorized,	43279
and the fund from which such expenditures are to be made;	43280

(5) Comparative statements, so far as possible, in parallel	43281
columns of corresponding items of expenditures for the current	43282
fiscal year and the two preceding fiscal years.	43283

(B)(1) An estimate of receipts from other sources than the	43284
general property tax during the ensuing fiscal year, which shall	43285
include an estimate of unencumbered balances at the end of the	43286
current fiscal year, and the funds to which such estimated	43287
receipts are credited;	43288

(2) The amount each fund requires from the general property	43289
tax, which shall be the difference between the contemplated	43290
expenditure from the fund and the estimated receipts, as provided	43291
in this section. The section of the Revised Code under which the	43292
tax is authorized shall be set forth.	43293

(3) Comparative statements, so far as possible, in parallel	43294
columns of taxes and other revenues for the current fiscal year	43295
and the two preceding fiscal years.	43296

(C)(1) The amount required for debt charges;

43297

(2) The estimated receipts from sources other than the tax	43298
levy for payment of such debt charges, including the proceeds of	43299
refunding bonds to be issued to refund bonds maturing in the next	43300
succeeding fiscal year;	43301

(3) The net amount for which a tax levy shall be made,	43302
classified as to bonds authorized and issued prior to January 1,	43303
1922, and those authorized and issued subsequent to such date, and	43304
as to what portion of the levy will be within and what in excess	43305
of the ten-mill limitation.	43306

(D) An estimate of amounts from taxes authorized to be levied	43307
in excess of the ten-mill limitation on the tax rate, and the fund	43308
to which such amounts will be credited, together with the sections	43309
of the Revised Code under which each such tax is exempted from all	43310
limitations on the tax rate.	43311

(E)(1) A board of education may include in its budget for the	43312
fiscal year in which a levy proposed under section 5705.194,	43313
5705.21, or 5705.213, or the original levy under section 5705.212	43314
of the Revised Code is first extended on the tax list and	43315
duplicate an estimate of expenditures to be known as a voluntary	43316
contingency reserve balance, which shall not be greater than	43317
twenty-five per cent of the total amount of the levy estimated to	43318
be available for appropriation in such year.	43319

(2) A board of education may include in its budget for the	43320
fiscal year following the year in which a levy proposed under	43321
section 5705.194, 5705.21, or 5705.213, or the original levy under	43322
section 5705.212 of the Revised Code is first extended on the tax	43323
list and duplicate an estimate of expenditures to be known as a	43324
voluntary contingency reserve balance, which shall not be greater	43325
than twenty per cent of the amount of the levy estimated to be	43326
available for appropriation in such year.	43327

(3) Except as provided in division (E)(4) of this section,	43328
the full amount of any reserve balance the board includes in its	43329
budget shall be retained by the county auditor and county	43330
treasurer out of the first semiannual settlement of taxes until	43331
the beginning of the next succeeding fiscal year, and thereupon,	43332
with the depository interest apportioned thereto, it shall be	43333
turned over to the board of education, to be used for the purposes	43334
of such fiscal year.	43335

(4) A board of education, by a two-thirds vote of all members	43336
of the board, may appropriate any amount withheld as a voluntary	43337
contingency reserve balance during the fiscal year for any lawful	43338
purpose, provided that prior to such appropriation the board of	43339
education has authorized the expenditure of all amounts	43340
appropriated for contingencies under section 5705.40 of the	43341
Revised Code. Upon request by the board of education, the county	43342
auditor shall draw a warrant on the district's account in the	43343
county treasury payable to the district in the amount requested.	43344

(F)(1) A board of education may include a spending reserve in	43345
its budget for fiscal years ending on or before June 30, 2002. The	43346
spending reserve shall consist of an estimate of expenditures not	43347
to exceed the district's spending reserve balance. A district's	43348
spending reserve balance is the amount by which the designated	43349
percentage of the district's estimated personal property taxes to	43350
be settled during the calendar year in which the fiscal year ends	43351
exceeds the estimated amount of personal property taxes to be so	43352
settled and received by the district during that fiscal year.	43353
Moneys from a spending reserve shall be appropriated in accordance	43354
with section 133.301 of the Revised Code.	43355

(2) For the purposes of computing a school district's	43356
spending reserve balance for a fiscal year, the designated	43357
percentage shall be as follows:	43358

Fiscal year ending in:	Designated percentage		43359
1998	50%		43360
1999	40%		43361
2000	30%		43362
2001	20%		43363
2002	10%		43364

(G) Except as otherwise provided in this division, the county	43365
budget commission shall not reduce the taxing authority of a	43366
subdivision as a result of the creation of a reserve balance	43367
account. Except as otherwise provided in this division, the county	43368
budget commission shall not consider the amount in a reserve	43369
balance account of a township, county, or municipal corporation as	43370
an unencumbered balance or as revenue for the purposes of division	43371
(E)(3) or (4) of section 5747.51 or division (E)(3) or (4) of	43372
section 5747.62 of the Revised Code. The county budget commission	43373
may require documentation of the reasonableness of the reserve	43374
balance held in any reserve balance account. The commission shall	43375
consider any amount in a reserve balance account that it	43376
determines to be unreasonable as unencumbered and as revenue for	43377
the purposes of sections 5747.51 and 5747.62 of the Revised Code	43378
and may take such amounts into consideration when determining	43379
whether to reduce the taxing authority of a subdivision.	43380

Sec. 5705.30.  This section does not apply to a subdivision	43381
for which the county budget commission has waived the requirement	43382
to adopt a tax budget under section 5705.281 of the Revised Code.	43383

In addition to the information required by section 5705.29 of	43384
the Revised Code, the budget of each subdivision and school	43385
library district shall include such other information as is	43386
prescribed by the auditor of state. At least two copies of the	43387
budget shall be filed in the office of the fiscal officer of the	43388
subdivision for public inspection not less than ten days before	43389
its adoption by the taxing authority, and such taxing authority	43390
shall hold at least one public hearing thereon, of which public	43391
notice shall be given by at least one publication not less than	43392
ten days prior to the date of hearing in the official publication	43393
of such subdivision, or in a newspaper having general circulation	43394
in the subdivision. The budget, after adoption, shall be submitted	43395
to the county auditor on or before the twentieth day of July, or	43396
in the case of a school district, by the twentieth day of January.	43397
The tax commissioner may prescribe a later date for the submission	43398
of a subdivision's tax budget. Any subdivision that fails to	43399
submit its budget to the county auditor on or before the twentieth	43400
day of July, unless the commissioner on or before the twentieth	43401
day of July prescribes a later date for submission of the budget	43402
by that subdivision, shall not receive an apportionment from the	43403
undivided local governmentcommunities fund distribution for the	43404
ensuing calendar year, unless upon review of the matter the	43405
commissioner determines that the budget was adopted by the	43406
subdivision on or before the fifteenth day of July, but was not	43407
submitted to the county auditor by the twentieth day of July or	43408
the later time prescribed by the commissioner because of	43409
ministerial error by the subdivision or its officers, employees,	43410
or other representatives.	43411

Sec. 5705.31.  The county auditor shall present to the county	43412
budget commission the annual tax budgets submitted under sections	43413
5705.01 to 5705.47 of the Revised Code, together with an estimate	43414
prepared by the auditor of the amount of any state levy, the rate	43415
of any school tax levy as previously determined, the tax	43416
commissioner's estimate of the amount to be received in the county	43417
library and local government supportlibraries fund, the tax rates	43418
provided under section 5705.281 of the Revised Code if adoption of	43419
the tax budget was waived under that section, and such other	43420
information as the commission requests or the tax commissioner	43421
prescribes. The budget commission shall examine such budget and	43422
ascertain the total amount proposed to be raised in the county for	43423
the purposes of each subdivision and other taxing units in the	43424
county.	43425

The commission shall ascertain that the following levies have	43426
been properly authorized and, if so authorized, shall approve them	43427
without modification:	43428

(A) All levies in excess of the ten-mill limitation;

43429

(B) All levies for debt charges not provided for by levies in	43430
excess of the ten-mill limitation, including levies necessary to	43431
pay notes issued for emergency purposes;	43432

(C) The levies prescribed by division (B) of sections 742.33	43433
and 742.34 of the Revised Code;	43434

(D) Except as otherwise provided in this division, a minimum	43435
levy within the ten-mill limitation for the current expense and	43436
debt service of each subdivision or taxing unit, which shall equal	43437
two-thirds of the average levy for current expenses and debt	43438
service allotted within the fifteen-mill limitation to such	43439
subdivision or taxing unit during the last five years the	43440
fifteen-mill limitation was in effect unless such subdivision or	43441
taxing unit requests an amount requiring a lower rate. Except as	43442
provided in section 5705.312 of the Revised Code, if the levies	43443
required in divisions (B) and (C) of this section for the	43444
subdivision or taxing unit equal or exceed the entire minimum levy	43445
of the subdivision as fixed, the minimum levies of the other	43446
subdivisions or taxing units shall be reduced by the commission to	43447
provide for the levies and an operating levy for the subdivision.	43448
Such additional levy shall be deducted from the minimum levies of	43449
each of the other subdivisions or taxing units, but the operating	43450
levy for a school district shall not be reduced below a figure	43451
equivalent to forty-five per cent of the millage available within	43452
the ten-mill limitation after all the levies in divisions (B) and	43453
(C) of this section have been provided for.	43454

If a municipal corporation and a township have entered into	43455
an annexation agreement under section 709.192 of the Revised Code	43456
in which they agree to reallocate their shares of the minimum	43457
levies established under this division and if that annexation	43458
agreement is submitted along with the annual tax budget of both	43459
the township and the municipal corporation, then, when determining	43460
the minimum levy under this division, the auditor shall allocate,	43461
to the extent possible, the minimum levy for that municipal	43462
corporation and township in accordance with their annexation	43463
agreement.	43464

(E) The levies prescribed by section 3709.29 of the Revised	43465
Code.	43466

Divisions (A) to (E) of this section are mandatory, and	43467
commissions shall be without discretion to reduce such minimum	43468
levies except as provided in such divisions.	43469

If any debt charge is omitted from the budget, the commission	43470
shall include it therein.	43471

Sec. 5705.32.  (A) The county budget commission shall adjust	43472
the estimated amounts required from the general property tax for	43473
each fund, as shown by the tax budgets or other information	43474
required to be provided under section 5705.281 of the Revised	43475
Code, so as to bring the tax levies required therefor within the	43476
limitations specified in sections 5705.01 to 5705.47 of the	43477
Revised Code, for such levies, but no levy shall be reduced below	43478
a minimum fixed by law. The commission may revise and adjust the	43479
estimate of balances and receipts from all sources for each fund	43480
and shall determine the total appropriations that may be made	43481
therefrom.	43482

(B) The commission shall fix the amount of the county library	43483
and local government supportlibraries fund to be distributed to	43484
each board of public library trustees that has qualified under	43485
section 5705.28 of the Revised Code for participation in the	43486
proceeds of such fund. The amount paid to all libraries in the	43487
county from such fund shall never be a smaller per cent of the	43488
fund than the average of the percentages of the county's	43489
classified taxes that were distributed to libraries in 1982, 1983,	43490
and 1984, as determined by the county auditor. The commission	43491
shall base the amount for distribution on the needs of such	43492
library for the construction of new library buildings, parts of	43493
buildings, improvements, operation, maintenance, or other	43494
expenses. In determining the needs of each library board of	43495
trustees, and in calculating the amount to be distributed to any	43496
library board of trustees on the basis of its needs, the	43497
commission shall make no reduction in its allocation from the fund	43498
on account of additional revenues realized by a library from	43499
increased taxes or service charges voted by its electorate, from	43500
revenues received through federal or state grants, projects, or	43501
programs, or from grants from private sources.	43502

(C) Notwithstanding the fact that alternative methods of	43503
financing such needs are available, after fixing the amount to be	43504
distributed to libraries, the commission shall fix the amount, if	43505
any, of the county library and local government supportlibraries	43506
fund to be distributed to each board of township park	43507
commissioners, the county, and each municipal corporation in	43508
accordance with the following:	43509

(1) Each municipal corporation in the county shall receive a	43510
per cent of the remainder that equals the per cent that the county	43511
auditor determines the classified property taxes originating in	43512
such municipal corporation in 1984 were of the total of all of the	43513
county's classified property taxes in 1984. The commission may	43514
deduct from this amount any amount that the budget commission	43515
allows to the board of township park commissioners of a township	43516
park district, the boundaries of which are coextensive with or	43517
contained within the boundaries of the municipal corporation.	43518

(2) The county shall receive a per cent of the remainder that	43519
equals the per cent that the county auditor determines the	43520
classified property taxes originating outside of the boundaries of	43521
municipal corporations in the county in 1984 were of the total of	43522
all of the county's classified property taxes in 1984. The	43523
commission may deduct from this amount any amount that the budget	43524
commission allows to the board of township park commissioners of a	43525
township park district, the boundaries of which are not	43526
coextensive with or contained within those of any municipal	43527
corporation in the county.	43528

(D) The commission shall separately set forth the amounts	43529
fixed and determined under divisions (B) and (C) of this section	43530
in the "official certificate of estimated resources," as provided	43531
in section 5705.35 of the Revised Code, and separately certify	43532
such amount to the county auditor who shall be guided thereby in	43533
the distribution of the county library and local government	43534
supportlibraries fund for and during the fiscal year. In	43535
determining such amounts, the commission shall be guided by the	43536
estimate certified by the tax commissioner and presented by the	43537
auditor under section 5705.31 of the Revised Code, as to the total	43538
amount of revenue to be received in the county library and local	43539
government supportlibraries fund during such fiscal year.	43540

(E)(1) At least five days before the date of any meeting at	43541
which the budget commission plans to discuss the distribution of	43542
the county library and local government supportlibraries fund, it	43543
shall notify each legislative authority and board of public	43544
library trustees, county commissioners, and township park	43545
commissioners eligible to participate in the distribution of the	43546
fund of the date, time, place, and agenda for the meeting. Any	43547
legislative authority or board entitled to notice under this	43548
division may designate an officer or employee of such legislative	43549
authority or board to whom the commission shall deliver the	43550
notice.	43551

(2) Before the final determination of the amount to be	43552
allotted to each subdivision from any source, the commission shall	43553
permit representatives of each subdivision and of each board of	43554
public library trustees to appear before it to explain its	43555
financial needs.	43556

(F) If any public library receives and expends any funds	43557
allocated to it under this section for the construction of new	43558
library buildings or parts of buildings, such library shall be	43559
free and open to the inhabitants of the county in which it is	43560
located. Any board of library trustees that receives funds under	43561
this section and section 5747.48 of the Revised Code shall have	43562
its financial records open for public inspection at all reasonable	43563
times.	43564

Sec. 5705.321.  (A) As used in this section:

43565

(1) "City, located wholly or partially in the county, with	43566
the greatest population" means the city, located wholly or	43567
partially in the county, with the greatest population residing in	43568
the county; however, if the county budget commission on or before	43569
January 1, 1998, adopted an alternative method of apportionment	43570
that was approved by the city, located partially in the county,	43571
with the greatest population but not the greatest population	43572
residing in the county, "city, located wholly or partially in the	43573
county, with the greatest population" means the city, located	43574
wholly or partially in the county, with the greatest population	43575
whether residing in the county or not, if this alternative meaning	43576
is adopted by action of the board of county commissioners and a	43577
majority of the boards of township trustees and legislative	43578
authorities of municipal corporations located wholly or partially	43579
in the county.	43580

(2) "Participating political subdivision" means a municipal	43581
corporation or township that satisfies all of the following:	43582

(a) It is located wholly or partially in the county.

43583

(b) It is not the city, located wholly or partially in the	43584
county, with the greatest population.	43585

(c) Library and local government supportLocal libraries fund	43586
moneys are apportioned to it under the county's alternative method	43587
or formula of apportionment in the current calendar year.	43588

(B) In lieu of the method of apportionment of the county	43589
library and local government supportlibraries fund provided by	43590
division (C) of section 5705.32 of the Revised Code, the county	43591
budget commission may provide for the apportionment of the fund	43592
under an alternative method or on a formula basis as authorized by	43593
this section.	43594

Except as otherwise provided in division (C) of this section,	43595
the alternative method of apportionment shall have first been	43596
approved by all of the following governmental units: the board of	43597
county commissioners; the legislative authority of the city,	43598
located wholly or partially in the county, with the greatest	43599
population; and a majority of the boards of township trustees and	43600
legislative authorities of municipal corporations, located wholly	43601
or partially in the county, excluding the legislative authority of	43602
the city, located wholly or partially in the county, with the	43603
greatest population. In granting or denying approval for an	43604
alternative method of apportionment, the board of county	43605
commissioners, boards of township trustees, and legislative	43606
authorities of municipal corporations shall act by motion. A	43607
motion to approve shall be passed upon a majority vote of the	43608
members of a board of county commissioners, board of township	43609
trustees, or legislative authority of a municipal corporation,	43610
shall take effect immediately, and need not be published.	43611

Any alternative method of apportionment adopted and approved	43612
under this division may be revised, amended, or repealed in the	43613
same manner as it may be adopted and approved. If an alternative	43614
method of apportionment adopted and approved under this division	43615
is repealed, the county library and local government support	43616
libraries fund shall be apportioned among the subdivisions	43617
eligible to participate in the fund, commencing in the ensuing	43618
calendar year, under the apportionment provided in divisions (B)	43619
and (C) of section 5705.32 of the Revised Code, unless the repeal	43620
occurs by operation of division (C) of this section or a new	43621
method for apportionment of the fund is provided in the action of	43622
repeal.	43623

(C) This division applies only in counties in which the city,	43624
located wholly or partially in the county, with the greatest	43625
population has a population of twenty thousand or less and a	43626
population that is less than fifteen per cent of the total	43627
population of the county. In such a county, the legislative	43628
authorities or boards of township trustees of two or more	43629
participating political subdivisions, which together have a	43630
population residing in the county that is a majority of the total	43631
population of the county, each may adopt a resolution to exclude	43632
the approval otherwise required of the legislative authority of	43633
the city, located wholly or partially in the county, with the	43634
greatest population. All of the resolutions to exclude that	43635
approval shall be adopted not later than the first Monday of	43636
August of the year preceding the calendar year in which	43637
distributions are to be made under an alternative method of	43638
apportionment.	43639

A motion granting or denying approval of an alternative	43640
method of apportionment under this division shall be adopted by a	43641
majority vote of the members of the board of county commissioners	43642
and by a majority vote of a majority of the boards of township	43643
trustees and legislative authorities of the municipal corporations	43644
located wholly or partially in the county, other than the city,	43645
located wholly or partially in the county, with the greatest	43646
population, shall take effect immediately, and need not be	43647
published. The alternative method of apportionment under this	43648
division shall be adopted and approved annually, not later than	43649
the first Monday of August of the year preceding the calendar year	43650
in which distributions are to be made under it. A motion granting	43651
approval of an alternative method of apportionment under this	43652
division repeals any existing alternative method of apportionment,	43653
effective with distributions to be made from the fund in the	43654
ensuing calendar year. An alternative method of apportionment	43655
under this division shall not be revised or amended after the	43656
first Monday of August of the year preceding the calendar year in	43657
which distributions are to be made under it.	43658

(D) In determining an alternative method of apportionment	43659
authorized by this section, the county budget commission may	43660
include in the method any factor considered to be appropriate and	43661
reliable, in the sole discretion of the county budget commission.	43662

(E) On the basis of any alternative method of apportionment	43663
adopted and approved as authorized by this section, as certified	43664
by the auditor to the county treasurer, the county treasurer shall	43665
make distribution of the money in the county library and local	43666
government supportlibraries fund to each subdivision eligible to	43667
participate in the fund, and the auditor, when the amount of those	43668
shares is in the custody of the treasurer in the amounts so	43669
computed to be due the respective subdivisions, shall at the same	43670
time certify to the tax commissioner the percentage share of the	43671
county as a subdivision. All money received into the treasury of a	43672
subdivision from the county library and local government support	43673
libraries fund in a county treasury shall be paid into the general	43674
fund and used for the current operating expenses of the	43675
subdivision.	43676

(F) The actions of the county budget commission taken	43677
pursuant to this section are final and may not be appealed to the	43678
board of tax appeals, except on the issues of abuse of discretion	43679
and failure to comply with the formula.	43680

Sec. 5705.37.  The taxing authority of any subdivision that	43681
is dissatisfied with any action of the county budget commission	43682
may, through its fiscal officer, appeal to the board of tax	43683
appeals within thirty days after the receipt by the subdivision of	43684
the official certificate or notice of the commission's action. In	43685
like manner, but through its clerk, the board of trustees of any	43686
public library, nonprofit corporation, or library association	43687
maintaining a free public library that has adopted and certified	43688
rules under section 5705.28 of the Revised Code, or any park	43689
district may appeal to the board of tax appeals. An appeal under	43690
this section shall be taken by the filing of a notice of appeal,	43691
either in person or by certified mail, express mail, or authorized	43692
delivery service as provided in section 5703.056 of the Revised	43693
Code, with the board and with the commission. If notice of appeal	43694
is filed by certified mail, express mail, or authorized delivery	43695
service, date of the United States postmark placed on the sender's	43696
receipt by the postal service or the date of receipt recorded by	43697
the authorized delivery service shall be treated as the date of	43698
filing. Upon receipt of the notice of appeal, the commission, by	43699
certified mail, shall notify all persons who were parties to the	43700
proceeding before the commission of the filing of the notice of	43701
appeal and shall file proof of notice with the board of tax	43702
appeals. The secretary of the commission shall forthwith certify	43703
to the board a transcript of the full and accurate record of all	43704
proceedings before the commission, together with all evidence	43705
presented in the proceedings or considered by the commission,	43706
pertaining to the action from which the appeal is taken. The	43707
secretary of the commission also shall certify to the board any	43708
additional information that the board may request.	43709

The board of tax appeals, in a de novo proceeding, shall	43710
forthwith consider the matter presented to the commission, and may	43711
modify any action of the commission with reference to the budget,	43712
the estimate of revenues and balances, the allocation of the	43713
library and local government supportlibraries fund, or the fixing	43714
of tax rates. The finding of the board of tax appeals shall be	43715
substituted for the findings of the commission, and shall be	43716
certified to the tax commissioner, the county auditor, and the	43717
taxing authority of the subdivision affected, or to the board of	43718
public library trustees affected, as the action of the commission	43719
under sections 5705.01 to 5705.47 of the Revised Code.	43720

This section does not give the board of tax appeals any	43721
authority to place any tax levy authorized by law within the	43722
ten-mill limitation outside of that limitation, or to reduce any	43723
levy below any minimum fixed by law.	43724

Sec. 5709.68.  (A) On or before the thirty-first day of March	43725
each year, a municipal corporation or county that has entered into	43726
an agreement with an enterprise under section 5709.62, 5709.63, or	43727
5709.632 of the Revised Code shall submit to the director of	43728
development and the board of education of each school district of	43729
which a municipal corporation or township to which such an	43730
agreement applies is a part a report on all of those agreements in	43731
effect during the preceding calendar year. The report shall	43732
include all of the following information:	43733

(1) The designation, assigned by the director of development,	43734
of each urban jobs and enterprise zone within the municipal	43735
corporation or county, the date each zone was certified, the name	43736
of each municipal corporation or township within each zone, and	43737
the total population of each zone according to the most recent	43738
data available;	43739

(2) The number of enterprises that are subject to those	43740
agreements and the number of full-time employees subject to those	43741
agreements within each zone, each according to the most recent	43742
data available and identified and categorized by the appropriate	43743
standard industrial code, and the rate of unemployment in the	43744
municipal corporation or county in which the zone is located for	43745
each year since each zone was certified;	43746

(3) The number of agreements approved and executed during the	43747
calendar year for which the report is submitted, the total number	43748
of agreements in effect on the thirty-first day of December of the	43749
preceding calendar year, the number of agreements that expired	43750
during the calendar year for which the report is submitted, and	43751
the number of agreements scheduled to expire during the calendar	43752
year in which the report is submitted. For each agreement that	43753
expired during the calendar year for which the report is	43754
submitted, the municipal corporation or county shall include the	43755
amount of taxes exempted and the estimated dollar value of any	43756
other incentives provided under the agreement.	43757

(4) The number of agreements receiving compliance reviews by	43758
the tax incentive review council in the municipal corporation or	43759
county during the calendar year for which the report is submitted,	43760
including all of the following information:	43761

(a) The number of agreements the terms of which an enterprise	43762
has complied with, indicating separately for each agreement the	43763
value of the real and personal property exempted pursuant to the	43764
agreement and a comparison of the stipulated and actual schedules	43765
for hiring new employees, for retaining existing employees, for	43766
the amount of payroll of the enterprise attributable to these	43767
employees, and for investing in establishing, expanding,	43768
renovating, or occupying a facility;	43769

(b) The number of agreements the terms of which an enterprise	43770
has failed to comply with, indicating separately for each	43771
agreement the value of the real and personal property exempted	43772
pursuant to the agreement and a comparison of the stipulated and	43773
actual schedules for hiring new employees, for retaining existing	43774
employees, for the amount of payroll of the enterprise	43775
attributable to these employees, and for investing in	43776
establishing, expanding, renovating, or occupying a facility;	43777

(c) The number of agreements about which the tax incentive	43778
review council made recommendations to the legislative authority	43779
of the municipal corporation or county, and the number of those	43780
recommendations that have not been followed;	43781

(d) The number of agreements rescinded during the calendar	43782
year for which the report is submitted.	43783

(5) The number of enterprises that are subject to agreements	43784
that expanded within each zone, including the number of new	43785
employees hired and existing employees retained by each	43786
enterprise, and the number of new enterprises that are subject to	43787
agreements and that established within each zone, including the	43788
number of new employees hired by each enterprise;	43789

(6)(a) The number of enterprises that are subject to	43790
agreements and that closed or reduced employment at any place of	43791
business within the state for the primary purpose of establishing,	43792
expanding, renovating, or occupying a facility, indicating	43793
separately for each enterprise the political subdivision in which	43794
the enterprise closed or reduced employment at a place of business	43795
and the number of full-time employees transferred and retained by	43796
each such place of business;	43797

(b) The number of enterprises that are subject to agreements	43798
and that closed or reduced employment at any place of business	43799
outside the state for the primary purpose of establishing,	43800
expanding, renovating, or occupying a facility.	43801

(7) For each agreement in effect during any part of the	43802
preceding year, the number of employees employed by the enterprise	43803
at the project site immediately prior to formal approval of the	43804
agreement, the number of employees employed by the enterprise at	43805
the project site on the thirty-first day of December of the	43806
preceding year, the payroll of the enterprise for the preceding	43807
year, the amount of taxes paid on tangible personal property	43808
situated at the project site and the amount of those taxes that	43809
were not paid because of the exemption granted under the	43810
agreement, and the amount of taxes paid on real property	43811
constituting the project site and the amount of those taxes that	43812
were not paid because of the exemption granted under the	43813
agreement. If an agreement was entered into under section 5709.632	43814
of the Revised Code with an enterprise described in division	43815
(B)(2) of that section, the report shall include the number of	43816
employee positions at all of the enterprise's locations in this	43817
state. If an agreement is conditioned on a waiver issued under	43818
division (B) of section 5709.633 of the Revised Code on the basis	43819
of the circumstance described in division (B)(3)(a) or (b) of that	43820
section, the report shall include the number of employees at the	43821
facilities referred to in division (B)(3)(a)(i) or (b)(i) of that	43822
section, respectively.	43823

(B) Upon the failure of a municipal corporation or county to	43824
comply with division (A) of this section:	43825

(1) Beginning on the first day of April of the calendar year	43826
in which the municipal corporation or county fails to comply with	43827
that division, the municipal corporation or county shall not enter	43828
into any agreements with an enterprise under section 5709.62,	43829
5709.63, or 5709.632 of the Revised Code until the municipal	43830
corporation or county has complied with division (A) of this	43831
section.	43832

(2) On the first day of each ensuing calendar month until the	43833
municipal corporation or county complies with division (A) of this	43834
section, the director of development shall either order the proper	43835
county auditor to deduct from the next succeeding payment of taxes	43836
to the municipal corporation or county under section 321.31,	43837
321.32, 321.33, or 321.34 of the Revised Code an amount equal to	43838
one thousand dollars for each calendar month the municipal	43839
corporation or county fails to comply with that division, or order	43840
the county auditor to deduct that amount from the next succeeding	43841
payment to the municipal corporation or county from the undivided	43842
local governmentcommunities fund under section 5747.51 of the	43843
Revised Code. At the time such a payment is made, the county	43844
auditor shall comply with the director's order by issuing a	43845
warrant, drawn on the fund from which the money would have been	43846
paid, to the director of development, who shall deposit the	43847
warrant into the state enterprise zone program administration fund	43848
created in division (C) of this section.	43849

(C) The director, by rule, shall establish the state's	43850
application fee for applications submitted to a municipal	43851
corporation or county to enter into an agreement under section	43852
5709.62, 5709.63, or 5709.632 of the Revised Code. In establishing	43853
the amount of the fee, the director shall consider the state's	43854
cost of administering the enterprise zone program, including the	43855
cost of reviewing the reports required under division (A) of this	43856
section. The director may change the amount of the fee at the	43857
times and in the increments the director considers necessary. Any	43858
municipal corporation or county that receives an application shall	43859
collect the application fee and remit the fee for deposit in the	43860
state treasury to the credit of the state enterprise zone program	43861
administration fund, which is hereby created. Money credited to	43862
the fund shall be used by the department of development to pay the	43863
costs of administering the enterprise zone program, including the	43864
cost of reviewing the reports required under division (A) of this	43865
sectiontax incentive programs operating fund created in section	43866
122.174 of the Revised Code.	43867

(D) On or before the thirtieth day of June each year, the	43868
director of development shall certify to the tax commissioner the	43869
information described under division (A)(7) of this section,	43870
derived from the reports submitted to the director under this	43871
section.	43872

On the basis of the information certified under this	43873
division, the tax commissioner annually shall submit a report to	43874
the governor, the speaker of the house of representatives, the	43875
president of the senate, and the chairpersons of the ways and	43876
means committees of the respective houses of the general assembly,	43877
indicating for each enterprise zone the amount of state and local	43878
taxes that were not required to be paid because of exemptions	43879
granted under agreements entered into under section 5709.62,	43880
5709.63, or 5709.632 of the Revised Code and the amount of	43881
additional taxes paid from the payroll of new employees.	43882

Sec. 5709.882.  (A) On or before the thirty-first day of	43883
March each year, a municipal corporation or county that has	43884
entered into an agreement with an enterprise under section 5709.88	43885
of the Revised Code shall submit to the director of development	43886
and the board of education of each school district of which a	43887
municipal corporation or county to which such an agreement applies	43888
is a part a report on all such agreements in effect during the	43889
preceding calendar year. The report shall include all of the	43890
following information:	43891

(1) The number of enterprises that are subject to such	43892
agreements and the number of full-time employees subject to those	43893
agreements in the county or municipal corporation;	43894

(2) The number of agreements approved and executed during the	43895
calendar year for which the report is submitted, the total number	43896
of agreements in effect on the thirty-first day of December of the	43897
preceding calendar year, the number of agreements that expired	43898
during the calendar year for which the report is submitted, and	43899
the number of agreements scheduled to expire during the calendar	43900
year in which the report is submitted. For each agreement that	43901
expired during the calendar year for which the report is	43902
submitted, the municipal corporation or county shall include the	43903
amount of taxes exempted and the estimated dollar value of any	43904
other incentives provided under the agreement.	43905

(3) The number of agreements receiving compliance reviews by	43906
the tax incentive review council in the municipal corporation or	43907
county under section 5709.883 of the Revised Code during the	43908
calendar year for which the report is submitted, including all of	43909
the following information:	43910

(a) The number of agreements the terms of which an enterprise	43911
has complied with, indicating separately for each such agreement	43912
the value of the real and personal property exempted pursuant to	43913
the agreement and a comparison of the stipulated and actual	43914
schedules for hiring new employees, for retaining existing	43915
employees, for the amount of payroll of the enterprise	43916
attributable to these employees, and for remediating and investing	43917
in establishing, expanding, renovating, or occupying a facility;	43918

(b) The number of agreements the terms of which an enterprise	43919
has failed to comply with, indicating separately for each such	43920
agreement the value of the real and personal property exempted	43921
pursuant to the agreement and a comparison of the stipulated and	43922
actual schedules for hiring new employees, for retaining existing	43923
employees, for the amount of payroll of the enterprise	43924
attributable to these employees, and for remediating and investing	43925
in establishing, expanding, renovating, or occupying a facility;	43926

(c) The number of agreements about which the tax incentive	43927
review council made recommendations to the legislative authority	43928
of the municipal corporation or county, and the number of such	43929
recommendations that have not been followed;	43930

(d) The number of agreements rescinded during the calendar	43931
year for which the report is submitted.	43932

(4) The number of enterprises that are subject to agreements	43933
and the number of new employees hired and existing employees	43934
retained by each such enterprise;	43935

(5)(a) The number of enterprises that are subject to	43936
agreements and that closed or reduced employment at any place of	43937
business within the state for the primary purpose of remediating	43938
and establishing, expanding, renovating, or occupying a facility,	43939
indicating separately for each such enterprise the political	43940
subdivision in which the enterprise closed or reduced employment	43941
at a place of business and the number of full-time employees	43942
transferred and retained by each such place of business;	43943

(b) The number of enterprises that are subject to agreements	43944
and that closed or reduced employment at any place of business	43945
outside the state for the primary purpose of remediating and	43946
establishing, expanding, renovating, or occupying a facility.	43947

(B) Upon the failure of a municipal corporation or county to	43948
comply with division (A) of this section, both of the following	43949
apply:	43950

(1) Beginning on the first day of April of the calendar year	43951
in which the municipal corporation or county fails to comply with	43952
that division, the municipal corporation or county shall not enter	43953
into any agreements with an enterprise under section 5709.88 of	43954
the Revised Code until the municipal corporation or county has	43955
complied with division (A) of this section;	43956

(2) On the first day of each ensuing calendar month until the	43957
municipal corporation or county complies with that division, the	43958
director of development shall either order the proper county	43959
auditor to deduct from the next succeeding payment of taxes to the	43960
municipal corporation or county under section 321.31, 321.32,	43961
321.33, or 321.34 of the Revised Code an amount equal to five	43962
hundred dollars for each calendar month the municipal corporation	43963
or county fails to comply with that division, or order the county	43964
auditor to deduct such an amount from the next succeeding payment	43965
to the municipal corporation or county from the undivided local	43966
governmentcommunities fund under section 5747.51 of the Revised	43967
Code. At the time such a payment is made, the county auditor shall	43968
comply with the director's order by issuing a warrant, drawn on	43969
the fund from which such money would have been paid, to the	43970
director of development, who shall deposit the warrant into the	43971
contaminated sites development program administration fund created	43972
in division (C) of this section.	43973

(C) The director, by rule, shall establish the state's	43974
application fee for applications submitted to a municipal	43975
corporation or county to enter into an agreement under section	43976
5709.88 of the Revised Code. In establishing the amount of the	43977
fee, the director shall consider the state's cost of administering	43978
this section and section 5709.88 of the Revised Code. The director	43979
may change the amount of the fee at such times and in such	43980
increments as hethe director considers necessary. Any municipal	43981
corporation or county that receives an application shall collect	43982
the application fee and remit the fee for deposit in the state	43983
treasury to the credit of the contaminated sites development	43984
program administration fund, which is hereby created. Money	43985
credited to the fund shall be used by the department of	43986
development to pay the costs of administering this section and	43987
section 5709.88 of the Revised Code.	43988

Sec. 5713.34.  (A)(1) Upon the conversion of all or any	43989
portion of a tract, lot, or parcel of land devoted exclusively to	43990
agricultural use a portion of the tax savings upon such converted	43991
land shall be recouped as provided for by Section 36, Article II,	43992
Ohio Constitution by levying a charge on such land in an amount	43993
equal to the amount of the tax savings on the converted land	43994
during the three tax years immediately preceding the year in which	43995
the conversion occurs. The charge shall constitute a lien of the	43996
state upon such converted land as of the first day of January of	43997
the tax year in which the charge is levied and shall continue	43998
until discharged as provided by law.	43999

(2) Upon the conversion of an adequately described portion of	44000
a tract, lot, or parcel of land, the county auditor shall divide	44001
any numbered permanent parcel into economic units and value each	44002
unit individually for the purpose of levying the charge under	44003
division (A)(1) of this section against only the converted	44004
portion.	44005

(B) Except as otherwise provided in division (C) or (D) of	44006
this section, a public entity that acquires by any means and	44007
converts land devoted exclusively to agricultural use and a	44008
private entity granted the power of eminent domain that acquires	44009
by any means and converts land devoted exclusively to agricultural	44010
use shall pay the charge levied by division (A) of this section	44011
and shall not, directly or indirectly, transfer the charge to the	44012
person from whom the land is acquired. A person injured by a	44013
violation of this division may recover, in a civil action, any	44014
damages resulting from the violation.	44015

(C) The charge levied by division (A)(1) of this section does	44016
not apply to the conversion of land acquired by a public entity or	44017
the department of natural resources by means other than eminent	44018
domain and thereafter used exclusively for a public purpose that	44019
leaves the land principally undeveloped when eitherany of the	44020
following conditions appliesapply:	44021

(1) In the case of land so acquired and converted by a park	44022
district created under Chapter 1545. of the Revised Code, the land	44023
is located within the boundaries of the park district.	44024

(2) In the case of land so acquired and converted by a public	44025
entity other than a park district created under Chapter 1545. of	44026
the Revised Code, the land is located within the boundaries of any	44027
city, local, exempted village, or joint vocational school district	44028
that is wholly or partially located within the boundaries of the	44029
public entity that so acquired and converted the land.	44030

(3) The land was acquired on behalf of and converted by the	44031
division of forestry created under Chapter 1503. of the Revised	44032
Code.	44033

(4) The land was acquired on behalf of and converted by the	44034
division of natural areas and preserves created under section	44035
1517.02 of the Revised Code.	44036

(5) The land was acquired on behalf of and converted by the	44037
division of wildlife created under section 1531.03 of the Revised	44038
Code.	44039

(6) The land was acquired on behalf of and converted by the	44040
division of parks and recreation created under section 1541.01 of	44041
the Revised Code.	44042

If all or any portion of a tract, lot, or parcel of such land	44043
is later developed or otherwise converted to a purpose other than	44044
one of the purposes enumerated under division (E)(1) of this	44045
section, the charge levied by division (A)(1) of this section	44046
shall be levied against such developed or converted land as	44047
otherwise required by that division.	44048

The county auditor of the county in which the land is located	44049
shall determine annually whether all or any portion of a tract,	44050
lot, or parcel of land formerly converted to a purpose enumerated	44051
under division (E)(1) of this section has been developed in such a	44052
way or converted to such a purpose as to require the charge levied	44053
by division (A)(1) of this section to be levied against the land	44054
so developed or converted.	44055

(D) Division (B) of this section does not apply to a public	44056
entity that acquires by means other than eminent domain and	44057
converts land devoted exclusively to agricultural use to use for	44058
public, active or passive, outdoor education, recreation, or	44059
similar open space uses when either of the following conditions	44060
applies:	44061

(1) In the case of land so acquired and converted by a park	44062
district created under Chapter 1545. of the Revised Code, the land	44063
is located outside the boundaries of the park district.	44064

(2) In the case of land so acquired and converted by a public	44065
entity other than a park district created under Chapter 1545. of	44066
the Revised Code, the land is located outside the boundaries of	44067
any city, local, exempted village, or joint vocational school	44068
district that is wholly or partially located within the boundaries	44069
of the public entity that so acquired and converted the land.	44070

(E) As used in divisions (C) and (D) of this section:

44071

(1) "Principally undeveloped" means a parcel of real property	44072
that is used for public, active or passive, outdoor education,	44073
recreation, or similar open space uses and contains only the	44074
structures, roadways, and other facilities that are necessary for	44075
such uses.	44076

(2) "Public entity" means any political subdivision of this	44077
state or any agency or instrumentality of a political subdivision.	44078

Sec. 5715.36.  (A) Any expense incurred by the tax	44079
commissioner as to the annual assessment of real property in any	44080
taxing district shall be paid out of the treasury of the county in	44081
which such district is located upon presentation of the order of	44082
the commissioner certifying the amount thereof to the county	44083
auditor, who shall thereupon issue hisa warrant therefor upon the	44084
general fund of the county and direct the warrant to the county	44085
treasurer, who shall pay the same. All money paid out of the	44086
county treasury under authority of this division and section	44087
5703.30 of the Revised Code shall be charged against the proper	44088
district, and amounts paid by the county shall be retained by the	44089
auditor from funds due such district at the time of making the	44090
semiannual distribution of taxes.	44091

(B) Any expense incurred by the board of tax appeals as to	44092
the hearing of any appeal from a county budget commission with	44093
respect to the allocation of the local government or local	44094
communities fund or the county library and local government	44095
support fund or county local libraries fund shall be paid out of	44096
the treasury of the county involved upon presentation of the order	44097
of the board certifying the amount thereof to the county auditor,	44098
who shall thereupon issue hisa warrant therefor upon the general	44099
fund of the county and direct the warrant to the county treasurer,	44100
who shall pay the same. At the time the local government or local	44101
communities fund or the county library and local government	44102
support fund or county local libraries fund is distributed, all	44103
money which had been paid out of the county treasury for such	44104
expenses shall be deducted by the county auditor from the fund	44105
involved in the appeal. The amount so deducted by the county	44106
auditor shall be forthwith returned to the general fund of the	44107
county.	44108

(C) An amount equal to the sum of the expenses incurred by	44109
the board of tax appeals as to any of the following shall be paid	44110
out of the general fund of the county in which such property is	44111
located upon presentation of the order of the board certifying the	44112
amount thereof to the county auditor, who shall thereupon issue	44113
hisa warrant therefor upon the general fund of the county and	44114
direct the warrant to the county treasurer, who shall pay the	44115
same:	44116

(1) The hearing of any appeal from a county board of revision	44117
under section 5717.01 of the Revised Code;	44118

(2) An appeal from any finding, computation, determination,	44119
or order of the tax commissioner made with respect to the	44120
assessment or exemption of real property under division (B) of	44121
section 5715.61 and section 5717.02 of the Revised Code. At the	44122
time of each settlement of taxes under divisions (A) and (C) of	44123
section 321.24 of the Revised Code, there shall be deducted from	44124
the taxes included in such settlement and paid into the county	44125
general fund in the same manner as the fees allowed the county	44126
treasurer on amounts included in such settlement, the amounts paid	44127
out under this division since the preceding settlement. Each	44128
deduction shall be apportioned among the taxing districts within	44129
which the property that was the subject of the appeal is located	44130
in proportion to their relative shares of their respective taxes	44131
included in the settlement.	44132

Sec. 5719.041.  If the payment of a general personal property	44133
or classified property tax is not made on or before the last day	44134
prescribed by section 5719.03 or 5719.031 of the Revised Code, an	44135
interest charge shall begin to accrue and shall continue until all	44136
charges are paid, except that no interest charge shall accrue for	44137
or in the month in which such payment was due under such section	44138
or under the circumstances and for the period described in	44139
division (A)(2) of section 5711.33 of the Revised Code or upon	44140
delinquent taxes that are the subject of a delinquent tax contract	44141
entered into pursuant to section 5719.05 of the Revised Code.	44142

The interest charge shall accrue against the balance of such	44143
taxes and any penalty thereon outstanding that remains unpaid on	44144
the last day of each month and shall be at the rate per calendar	44145
month, rounded to the nearest one-hundredth of one per cent, equal	44146
to one-twelfth of the federal short-term rate determined by the	44147
tax commissioner under section 5703.47 of the Revised Code for the	44148
calendar year that includes the month for which the charge	44149
accrues. The charge is payable in addition to the unpaid balance	44150
of taxes and penalties on the day the charge accrues, unless the	44151
entire balance is sooner paid.	44152

If a delinquent tax contract becomes void, interest shall be	44153
charged on the day on which the contract becomes void in the	44154
amount that would have been charged had the delinquent tax	44155
contract not been entered into and shall thereafter accrue as	44156
provided in this section.	44157

Interest shall be allowed, at the same rate per calendar	44158
month as is applicable that month for underpayments, on any	44159
overpayment of the tax charged on a general personal property or a	44160
classified property tax duplicate, from the first day of the month	44161
following the date of the overpayment until the last day of the	44162
month preceding the date of the refund of the overpayment. The	44163
interest shall be paid from the fund or funds to which the	44164
overpayment was credited.	44165

When the county treasurer makes the treasurer's annual	44166
settlement with the county auditor under division (D) of section	44167
321.24 of the Revised Code, the treasurer shall certify to the	44168
auditor a list of all entries on the cumulative delinquent tax	44169
duplicate that are at that time in the process of being paid in	44170
installments under a valid delinquent tax contract. For each entry	44171
that appears on the duplicate that is not on the certified list,	44172
the auditor shall compute the full amount of interest charges	44173
which have accrued against such entry since the preceding such	44174
settlement was made and shall include such charges through the	44175
last day of the month preceding the current settlement. The	44176
auditor shall include such amounts on the tax list and duplicates	44177
prepared by the auditor as prescribed in section 5719.04 of the	44178
Revised Code unless the interest is less than one dollar, in which	44179
case it shall not be added to such tax lists and duplicates.	44180

Before the county treasurer accepts any payment of taxes	44181
against which there are accrued interest charges that do not	44182
appear on the delinquent tax duplicate, the treasurer shall notify	44183
the auditor who shall issue a certificate to the treasurer showing	44184
the amount of such interest charges, and the treasurer shall	44185
collect the amount shown on such certificate at the time of	44186
accepting payment of such taxes. If the amount of such interest	44187
charges is less than one dollar, no such certificate shall be	44188
issued. In the case of delinquent personal property taxes, the	44189
interest shown on such certificate shall be credited to the	44190
undivided general tax fund, and distributed in the same manner as	44191
the delinquent taxes upon which the interest charges accrued. In	44192
the case of delinquent classified property taxes, the interest	44193
shown on such certificate shall be credited to the county library	44194
and local government supportlibraries fund and distributed in	44195
accordance with section 5747.48 of the Revised Code. When the	44196
payment of delinquent taxes is credited on the tax duplicate the	44197
treasurer shall make a separate notation thereon indicating the	44198
amount collected and the index number of the auditor's certificate	44199
herein prescribed.	44200

Sec. 5725.151.  (A) As used in this section, "certificate	44201
owner" has the same meaning as in section 149.311 of the Revised	44202
Code.	44203

(B) There is allowed a refundable credit against the tax	44204
imposed by section 5707.03 and assessed under section 5725.15 of	44205
the Revised Code for a dealer in intangibles subject to that tax	44206
that is a certificate owner of a rehabilitation tax credit	44207
certificate issued under section 149.311 of the Revised Code. The	44208
credit shall equal twenty-five per cent of the dollar amount	44209
indicated on the certificate. The credit shall be claimed in the	44210
calendar year specified in the certificate.	44211

(C) A dealer in intangibles claiming a credit under this	44212
section shall retain the rehabilitation tax credit certificate for	44213
four years following the end of the year in which the credit was	44214
claimed, and shall make the certificate available for inspection	44215
by the tax commissioner upon the request of the tax commissioner	44216
during that period.	44217

(D) For the purpose of division (C) of section 5725.24 of the	44218
Revised Code, reductions in the amount of taxes collected on	44219
account of credits allowed under this section shall be applied to	44220
reduce the amount credited to the general revenue fund and shall	44221
not be applied to reduce the amount to be credited to the	44222
undivided local governmentcommunities funds of the counties in	44223
which such taxes originate.	44224

Sec. 5725.24. (A) As used in this section, "qualifying	44225
dealer" means a dealer in intangibles that is a qualifying dealer	44226
in intangibles as defined in section 5733.45 of the Revised Code	44227
or a member of a qualifying controlled group, as defined in	44228
section 5733.04 of the Revised Code, of which an insurance company	44229
also is a member on the first day of January of the year in and	44230
for which the tax imposed by section 5707.03 of the Revised Code	44231
is required to be paid by the dealer.	44232

(B) The taxes levied by section 5725.18 of the Revised Code	44233
and collected pursuant to this chapter shall be paid into the	44234
state treasury to the credit of the general revenue fund.	44235

(C) The taxes levied by section 5707.03 of the Revised Code	44236
on the value of shares in and capital employed by dealers in	44237
intangibles other than those that are qualifying dealers shall be	44238
for the use of the general revenue fund of the state and the local	44239
governmentcommunities funds of the several counties in which the	44240
taxes originate as provided in this division.	44241

On or before the first day ofDuring each month onfor which	44242
there is money in the state treasury for disbursement under this	44243
division, the tax commissioner shall provide for payment to the	44244
county treasurer of each county of five-eighths of the amount of	44245
the taxes collected on account of shares in and capital employed	44246
by dealers in intangibles other than those that are qualifying	44247
dealers, representing capital employed in the county. The balance	44248
of the money received and credited on account of taxes assessed on	44249
shares in and capital employed by such dealers in intangibles	44250
shall be credited to the general revenue fund.	44251

Reductions in the amount of taxes collected on account of	44252
credits allowed under section 5725.151 of the Revised Code shall	44253
be applied to reduce the amount credited to the general revenue	44254
fund and shall not be applied to reduce the amount to be credited	44255
to the undivided local governmentcommunities funds of the	44256
counties in which such taxes originate.	44257

For the purpose of this division, such taxes are deemed to	44258
originate in the counties in which such dealers in intangibles	44259
have their offices.	44260

Money received into the treasury of a county pursuant to this	44261
section shall be credited to the undivided local government	44262
communities fund of the county and shall be distributed by the	44263
budget commission as provided by law.	44264

(D) All of the taxes levied under section 5707.03 of the	44265
Revised Code on the value of the shares in and capital employed by	44266
dealers in intangibles that are qualifying dealers shall be paid	44267
into the state treasury to the credit of the general revenue fund.	44268

Sec. 5727.45. Four and two-tenthsOne hundred per cent of	44269
all excise taxes and penalties collected under sections 5727.01 to	44270
5727.62 of the Revised Code shall be credited to the local	44271
government fund for distribution in accordance with section	44272
5747.50 of the Revised Code, six-tenths of one per cent shall be	44273
credited to the local government revenue assistance fund for	44274
distribution in accordance with section 5747.61 of the Revised	44275
Code, and ninety-five and two-tenths per cent shall be credited to	44276
the general revenue fund.	44277

Sec. 5727.84.  (A) As used in this section and sections	44278
5727.85, 5727.86, and 5727.87 of the Revised Code:	44279

(1) "School district" means a city, local, or exempted	44280
village school district.	44281

(2) "Joint vocational school district" means a joint	44282
vocational school district created under section 3311.16 of the	44283
Revised Code, and includes a cooperative education school district	44284
created under section 3311.52 or 3311.521 of the Revised Code and	44285
a county school financing district created under section 3311.50	44286
of the Revised Code.	44287

(3) "Local taxing unit" means a subdivision or taxing unit,	44288
as defined in section 5705.01 of the Revised Code, a park district	44289
created under Chapter 1545. of the Revised Code, or a township	44290
park district established under section 511.23 of the Revised	44291
Code, but excludes school districts and joint vocational school	44292
districts.	44293

(4) "State education aid," for a school district, means the	44294
sum of state aid amounts computed for the district under divisions	44295
(A), (C)(1), (C)(4), (D), (E), and (F) of section 3317.022;	44296
divisions (B), (C), and (D) of section 3317.023; divisions (G),	44297
(L), and (N) of section 3317.024; and sections 3317.029,	44298
3317.0216, 3317.0217, 3317.04, 3317.05, 3317.052, and 3317.053 of	44299
the Revised Code; and the adjustments required by: division (C) of	44300
section 3310.08; division (C) of section 3314.08; division (D) of	44301
section 3314.13; divisions (E), (K), (L), (M), (N), and (O) of	44302
section 3317.023; division (C) of section 3317.20; and sections	44303
3313.979 and 3313.981 of the Revised Code. However, when	44304
calculating state education aid for a school district for fiscal	44305
years 20062008 and 20072009, include the amount computed for the	44306
district under Section 206.09.21269.20.80 of Am. Sub. H.B. 66	44307
.......... of the 126th127th general assembly, as subsequently	44308
amended, instead of division (D) of section 3317.022 of the	44309
Revised Code; include amounts calculated under Section 206.09.39	44310
269.30.80 of thatthis act, as subsequently amended; and account	44311
for adjustments under division (C)(2) of section 3310.41 of the	44312
Revised Code.	44313

(5) "State education aid," for a joint vocational school	44314
district, means the sum of the state aid amounts computed for the	44315
district under division (N) of section 3317.024 and section	44316
3317.16 of the Revised Code. However, when calculating state	44317
education aid for a joint vocational school district for fiscal	44318
years 20062008 and 20072009, include the amount computed for the	44319
district under Section 206.09.42269.30.90 of Am. Sub. H.B. 66	44320
.......... of the 126th127th general assembly, as subsequently	44321
amended.	44322

(6) "State education aid offset" means the amount determined	44323
for each school district or joint vocational school district under	44324
division (A)(1) of section 5727.85 of the Revised Code.	44325

(7) "Recognized valuation" has the same meaning as in section	44326
3317.02 of the Revised Code.	44327

(8) "Electric company tax value loss" means the amount	44328
determined under division (D) of this section.	44329

(9) "Natural gas company tax value loss" means the amount	44330
determined under division (E) of this section.	44331

(10) "Tax value loss" means the sum of the electric company	44332
tax value loss and the natural gas company tax value loss.	44333

(11) "Fixed-rate levy" means any tax levied on property other	44334
than a fixed-sum levy.	44335

(12) "Fixed-rate levy loss" means the amount determined under	44336
division (G) of this section.	44337

(13) "Fixed-sum levy" means a tax levied on property at	44338
whatever rate is required to produce a specified amount of tax	44339
money or levied in excess of the ten-mill limitation to pay debt	44340
charges, and includes school district emergency levies imposed	44341
pursuant to section 5705.194 of the Revised Code.	44342

(14) "Fixed-sum levy loss" means the amount determined under	44343
division (H) of this section.	44344

(15) "Consumer price index" means the consumer price index	44345
(all items, all urban consumers) prepared by the bureau of labor	44346
statistics of the United States department of labor.	44347

(B) The kilowatt-hour tax receipts fund is hereby created in	44348
the state treasury and shall consist of money arising from the tax	44349
imposed by section 5727.81 of the Revised Code. All money in the	44350
kilowatt-hour tax receipts fund shall be credited as follows:	44351

(1) Fifty-nine and nine hundred seventy-six one-thousandths	44352
Sixty-three per cent, shall be credited to the general revenue	44353
fund.	44354

(2) Two and six hundred forty-six one-thousandths per cent	44355
shall be credited to the local government fund, for distribution	44356
in accordance with section 5747.50 of the Revised Code.	44357

(3) Three hundred seventy-eight one-thousandths per cent	44358
shall be credited to the local government revenue assistance fund,	44359
for distribution in accordance with section 5747.61 of the Revised	44360
Code.	44361

(4) Twenty-five and four-tenths per cent shall be credited to	44362
the school district property tax replacement fund, which is hereby	44363
created in the state treasury for the purpose of making the	44364
payments described in section 5727.85 of the Revised Code.	44365

(5)(3) Eleven and six-tenths per cent shall be credited to	44366
the local government property tax replacement fund, which is	44367
hereby created in the state treasury for the purpose of making the	44368
payments described in section 5727.86 of the Revised Code.	44369

(C) The natural gas tax receipts fund is hereby created in	44370
the state treasury and shall consist of money arising from the tax	44371
imposed by section 5727.811 of the Revised Code. All money in the	44372
fund shall be credited as follows:	44373

(1) Sixty-eight and seven-tenths per cent shall be credited	44374
to the school district property tax replacement fund for the	44375
purpose of making the payments described in section 5727.85 of the	44376
Revised Code.	44377

(2) Thirty-one and three-tenths per cent shall be credited to	44378
the local government property tax replacement fund for the purpose	44379
of making the payments described in section 5727.86 of the Revised	44380
Code.	44381

(D) Not later than January 1, 2002, the tax commissioner	44382
shall determine for each taxing district its electric company tax	44383
value loss, which is the sum of the applicable amounts described	44384
in divisions (D)(1) to (3) of this section:	44385

(1) The difference obtained by subtracting the amount	44386
described in division (D)(1)(b) from the amount described in	44387
division (D)(1)(a) of this section.	44388

(a) The value of electric company and rural electric company	44389
tangible personal property as assessed by the tax commissioner for	44390
tax year 1998 on a preliminary assessment, or an amended	44391
preliminary assessment if issued prior to March 1, 1999, and as	44392
apportioned to the taxing district for tax year 1998;	44393

(b) The value of electric company and rural electric company	44394
tangible personal property as assessed by the tax commissioner for	44395
tax year 1998 had the property been apportioned to the taxing	44396
district for tax year 2001, and assessed at the rates in effect	44397
for tax year 2001.	44398

(2) The difference obtained by subtracting the amount	44399
described in division (D)(2)(b) from the amount described in	44400
division (D)(2)(a) of this section.	44401

(a) The three-year average for tax years 1996, 1997, and 1998	44402
of the assessed value from nuclear fuel materials and assemblies	44403
assessed against a person under Chapter 5711. of the Revised Code	44404
from the leasing of them to an electric company for those	44405
respective tax years, as reflected in the preliminary assessments;	44406

(b) The three-year average assessed value from nuclear fuel	44407
materials and assemblies assessed under division (D)(2)(a) of this	44408
section for tax years 1996, 1997, and 1998, as reflected in the	44409
preliminary assessments, using an assessment rate of twenty-five	44410
per cent.	44411

(3) In the case of a taxing district having a nuclear power	44412
plant within its territory, any amount, resulting in an electric	44413
company tax value loss, obtained by subtracting the amount	44414
described in division (D)(1) of this section from the difference	44415
obtained by subtracting the amount described in division (D)(3)(b)	44416
of this section from the amount described in division (D)(3)(a) of	44417
this section.	44418

(a) The value of electric company tangible personal property	44419
as assessed by the tax commissioner for tax year 2000 on a	44420
preliminary assessment, or an amended preliminary assessment if	44421
issued prior to March 1, 2001, and as apportioned to the taxing	44422
district for tax year 2000;	44423

(b) The value of electric company tangible personal property	44424
as assessed by the tax commissioner for tax year 2001 on a	44425
preliminary assessment, or an amended preliminary assessment if	44426
issued prior to March 1, 2002, and as apportioned to the taxing	44427
district for tax year 2001.	44428

(E) Not later than January 1, 2002, the tax commissioner	44429
shall determine for each taxing district its natural gas company	44430
tax value loss, which is the sum of the amounts described in	44431
divisions (E)(1) and (2) of this section:	44432

(1) The difference obtained by subtracting the amount	44433
described in division (E)(1)(b) from the amount described in	44434
division (E)(1)(a) of this section.	44435

(a) The value of all natural gas company tangible personal	44436
property, other than property described in division (E)(2) of this	44437
section, as assessed by the tax commissioner for tax year 1999 on	44438
a preliminary assessment, or an amended preliminary assessment if	44439
issued prior to March 1, 2000, and apportioned to the taxing	44440
district for tax year 1999;	44441

(b) The value of all natural gas company tangible personal	44442
property, other than property described in division (E)(2) of this	44443
section, as assessed by the tax commissioner for tax year 1999 had	44444
the property been apportioned to the taxing district for tax year	44445
2001, and assessed at the rates in effect for tax year 2001.	44446

(2) The difference in the value of current gas obtained by	44447
subtracting the amount described in division (E)(2)(b) from the	44448
amount described in division (E)(2)(a) of this section.	44449

(a) The three-year average assessed value of current gas as	44450
assessed by the tax commissioner for tax years 1997, 1998, and	44451
1999 on a preliminary assessment, or an amended preliminary	44452
assessment if issued prior to March 1, 2001, and as apportioned in	44453
the taxing district for those respective years;	44454

(b) The three-year average assessed value from current gas	44455
under division (E)(2)(a) of this section for tax years 1997, 1998,	44456
and 1999, as reflected in the preliminary assessment, using an	44457
assessment rate of twenty-five per cent.	44458

(F) The tax commissioner may request that natural gas	44459
companies, electric companies, and rural electric companies file a	44460
report to help determine the tax value loss under divisions (D)	44461
and (E) of this section. The report shall be filed within thirty	44462
days of the commissioner's request. A company that fails to file	44463
the report or does not timely file the report is subject to the	44464
penalty in section 5727.60 of the Revised Code.	44465

(G) Not later than January 1, 2002, the tax commissioner	44466
shall determine for each school district, joint vocational school	44467
district, and local taxing unit its fixed-rate levy loss, which is	44468
the sum of its electric company tax value loss multiplied by the	44469
tax rate in effect in tax year 1998 for fixed-rate levies and its	44470
natural gas company tax value loss multiplied by the tax rate in	44471
effect in tax year 1999 for fixed-rate levies.	44472

(H) Not later than January 1, 2002, the tax commissioner	44473
shall determine for each school district, joint vocational school	44474
district, and local taxing unit its fixed-sum levy loss, which is	44475
the amount obtained by subtracting the amount described in	44476
division (H)(2) of this section from the amount described in	44477
division (H)(1) of this section:	44478

(1) The sum of the electric company tax value loss multiplied	44479
by the tax rate in effect in tax year 1998, and the natural gas	44480
company tax value loss multiplied by the tax rate in effect in tax	44481
year 1999, for fixed-sum levies for all taxing districts within	44482
each school district, joint vocational school district, and local	44483
taxing unit. For the years 2002 through 2006, this computation	44484
shall include school district emergency levies that existed in	44485
1998 in the case of the electric company tax value loss, and 1999	44486
in the case of the natural gas company tax value loss, and all	44487
other fixed-sum levies that existed in 1998 in the case of the	44488
electric company tax value loss and 1999 in the case of the	44489
natural gas company tax value loss and continue to be charged in	44490
the tax year preceding the distribution year. For the years 2007	44491
through 2016 in the case of school district emergency levies, and	44492
for all years after 2006 in the case of all other fixed-sum	44493
levies, this computation shall exclude all fixed-sum levies that	44494
existed in 1998 in the case of the electric company tax value loss	44495
and 1999 in the case of the natural gas company tax value loss,	44496
but are no longer in effect in the tax year preceding the	44497
distribution year. For the purposes of this section, an emergency	44498
levy that existed in 1998 in the case of the electric company tax	44499
value loss, and 1999 in the case of the natural gas company tax	44500
value loss, continues to exist in a year beginning on or after	44501
January 1, 2007, but before January 1, 2017, if, in that year, the	44502
board of education levies a school district emergency levy for an	44503
annual sum at least equal to the annual sum levied by the board in	44504
tax year 1998 or 1999, respectively, less the amount of the	44505
payment certified under this division for 2002.	44506

(2) The total taxable value in tax year 1999 less the tax	44507
value loss in each school district, joint vocational school	44508
district, and local taxing unit multiplied by one-fourth of one	44509
mill.	44510

If the amount computed under division (H) of this section for	44511
any school district, joint vocational school district, or local	44512
taxing unit is greater than zero, that amount shall equal the	44513
fixed-sum levy loss reimbursed pursuant to division (E) of section	44514
5727.85 of the Revised Code or division (A)(2) of section 5727.86	44515
of the Revised Code, and the one-fourth of one mill that is	44516
subtracted under division (H)(2) of this section shall be	44517
apportioned among all contributing fixed-sum levies in the	44518
proportion of each levy to the sum of all fixed-sum levies within	44519
each school district, joint vocational school district, or local	44520
taxing unit.	44521

(I) Notwithstanding divisions (D), (E), (G), and (H) of this	44522
section, in computing the tax value loss, fixed-rate levy loss,	44523
and fixed-sum levy loss, the tax commissioner shall use the	44524
greater of the 1998 tax rate or the 1999 tax rate in the case of	44525
levy losses associated with the electric company tax value loss,	44526
but the 1999 tax rate shall not include for this purpose any tax	44527
levy approved by the voters after June 30, 1999, and the tax	44528
commissioner shall use the greater of the 1999 or the 2000 tax	44529
rate in the case of levy losses associated with the natural gas	44530
company tax value loss.	44531

(J) Not later than January 1, 2002, the tax commissioner	44532
shall certify to the department of education the tax value loss	44533
determined under divisions (D) and (E) of this section for each	44534
taxing district, the fixed-rate levy loss calculated under	44535
division (G) of this section, and the fixed-sum levy loss	44536
calculated under division (H) of this section. The calculations	44537
under divisions (G) and (H) of this section shall separately	44538
display the levy loss for each levy eligible for reimbursement.	44539

(K) Not later than September 1, 2001, the tax commissioner	44540
shall certify the amount of the fixed-sum levy loss to the county	44541
auditor of each county in which a school district with a fixed-sum	44542
levy loss has territory.	44543

Sec. 5727.85.  (A) By the thirty-first day of July of each	44544
year, beginning in 2002 and ending in 2016, the department of	44545
education shall determine the following for each school district	44546
and each joint vocational school district eligible for payment	44547
under division (C) or (D) of this section:	44548

(1) The state education aid offset, which is the difference	44549
obtained by subtracting the amount described in division (A)(1)(b)	44550
of this section from the amount described in division (A)(1)(a) of	44551
this section:	44552

(a) The state education aid computed for the school district	44553
or joint vocational school district for the current fiscal year as	44554
of the thirty-first day of July;	44555

(b) The state education aid that would be computed for the	44556
school district or joint vocational school district for the	44557
current fiscal year as of the thirty-first day of July if the	44558
recognized valuation included the tax value loss for the school	44559
district or joint vocational school district.	44560

(2) The greater of zero or the difference obtained by	44561
subtracting the state education aid offset determined under	44562
division (A)(1) of this section from the fixed-rate levy loss	44563
certified under division (J) of section 5727.84 of the Revised	44564
Code for all taxing districts in each school district and joint	44565
vocational school district.	44566

By the fifth day of August of each such year, the department	44567
of education shall certify the amount so determined under division	44568
(A)(1) of this section to the director of budget and management.	44569

(B) Not later than the thirty-first day of October of the	44570
years 2006 through 2016, the department of education shall	44571
determine all of the following for each school district:	44572

(1) The amount obtained by subtracting the district's state	44573
education aid computed for fiscal year 2002 from the district's	44574
state education aid computed for the current fiscal year;	44575

(2) The inflation-adjusted property tax loss. The	44576
inflation-adjusted property tax loss equals the fixed-rate levy	44577
loss, excluding the tax loss from levies within the ten-mill	44578
limitation to pay debt charges, determined under division (G) of	44579
section 5727.84 of the Revised Code for all taxing districts in	44580
each school district, plus the product obtained by multiplying	44581
that loss by the cumulative percentage increase in the consumer	44582
price index from January 1, 2002, to the thirtieth day of June of	44583
the current year.	44584

(3) The difference obtained by subtracting the amount	44585
computed under division (B)(1) from the amount of the	44586
inflation-adjusted property tax loss. If this difference is zero	44587
or a negative number, no further payments shall be made under	44588
division (C) of this section to the school district from the	44589
school district property tax replacement fund.	44590

(C) The department of education shall pay from the school	44591
district property tax replacement fund to each school district all	44592
of the following:	44593

(1) In February 2002, one-half of the fixed-rate levy loss	44594
certified under division (J) of section 5727.84 of the Revised	44595
Code between the twenty-first and twenty-eighth days of February.	44596

(2) From August 2002 through August 2017, one-half of the	44597
amount calculated for that fiscal year under division (A)(2) of	44598
this section between the twenty-first and twenty-eighth days of	44599
August and of February, provided the difference computed under	44600
division (B)(3) of this section is not less than or equal to zero.	44601

For taxes levied within the ten-mill limitation for debt	44602
purposes in tax year 1998 in the case of electric company tax	44603
value losses, and in tax year 1999 in the case of natural gas	44604
company tax value losses, payments shall be made equal to one	44605
hundred per cent of the loss computed as if the tax were a	44606
fixed-rate levy, but those payments shall extend from fiscal year	44607
2006 through fiscal year 2016.	44608

The department of education shall report to each school	44609
district the apportionment of the payments among the school	44610
district's funds based on the certifications under division (J) of	44611
section 5727.84 of the Revised Code.	44612

(D) Not later than January 1, 2002, for all taxing districts	44613
in each joint vocational school district, the tax commissioner	44614
shall certify to the department of education the fixed-rate levy	44615
loss determined under division (G) of section 5727.84 of the	44616
Revised Code. From February 2002 to August 2016, the department	44617
shall pay from the school district property tax replacement fund	44618
to the joint vocational school district one-half of the amount	44619
calculated for that fiscal year under division (A)(2) of this	44620
section between the twenty-first and twenty-eighth days of August	44621
and of February.	44622

(E)(1) Not later than January 1, 2002, for each fixed-sum	44623
levy levied by each school district or joint vocational school	44624
district and for each year for which a determination is made under	44625
division (H) of section 5727.84 of the Revised Code that a	44626
fixed-sum levy loss is to be reimbursed, the tax commissioner	44627
shall certify to the department of education the fixed-sum levy	44628
loss determined under that division. The certification shall cover	44629
a time period sufficient to include all fixed-sum levies for which	44630
the tax commissioner made such a determination. The department	44631
shall pay from the school district property tax replacement fund	44632
to the school district or joint vocational school district	44633
one-half of the fixed-sum levy loss so certified for each year	44634
between the twenty-first and twenty-eighth days of August and of	44635
February.	44636

(2) Beginning in 2003, by the thirty-first day of January of	44637
each year, the tax commissioner shall review the certification	44638
originally made under division (E)(1) of this section. If the	44639
commissioner determines that a debt levy that had been scheduled	44640
to be reimbursed in the current year has expired, a revised	44641
certification for that and all subsequent years shall be made to	44642
the department of education.	44643

(F) If the balance of the half-mill equalization fund created	44644
under section 3318.18 of the Revised Code is insufficient to make	44645
the full amount of payments required under division (D) of that	44646
section, the department of education, at the end of the third	44647
quarter of the fiscal year, shall certify to the director of	44648
budget and management the amount of the deficiency, and the	44649
director shall transfer an amount equal to the deficiency from the	44650
school district property tax replacement fund to the half-mill	44651
equalization fund.	44652

(G) Beginning in August 2002, and ending in May 2017, the	44653
director of budget and management shall transfer from the school	44654
district property tax replacement fund to the general revenue fund	44655
each of the following:	44656

(1) Between the twenty-eighth day of August and the fifth day	44657
of September, the lesser of one-half of the amount certified for	44658
that fiscal year under division (A)(2) of this section or the	44659
balance in the school district property tax replacement fund;	44660

(2) Between the first and fifth days of May, the lesser of	44661
one-half of the amount certified for that fiscal year under	44662
division (A)(2) of this section or the balance in the school	44663
district property tax replacement fund.	44664

(H) On the first day of June each year, the director of	44665
budget and management shallmay transfer any balance remaining in	44666
the school district property tax replacement fund after the	44667
payments have been made under divisions (C), (D), (E), (F), and	44668
(G) of this section to the half-mill equalization fund created	44669
under section 3318.18 of the Revised Code, or to the general	44670
revenue fund.	44671

(I) From fiscal year 2002 through fiscal year 2016, if the	44672
total amount in the school district property tax replacement fund	44673
is insufficient to make all payments under divisions (C), (D),	44674
(E), and (F) of this section at the time the payments are to be	44675
made, the director of budget and management shall transfer from	44676
the general revenue fund to the school district property tax	44677
replacement fund the difference between the total amount to be	44678
paid and the total amount in the school district property tax	44679
replacement fund, except that no transfer shall be made by reason	44680
of a deficiency to the extent that it results from the amendment	44681
of section 5727.84 of the Revised Code by Amended Substitute House	44682
Bill No. 95 of the 125th general assembly.	44683

(J) If all of the territory of a school district or joint	44684
vocational school district is merged with an existing district, or	44685
if a part of the territory of a school district or joint	44686
vocational school district is transferred to an existing or new	44687
district, the department of education, in consultation with the	44688
tax commissioner, shall adjust the payments made under this	44689
section as follows:	44690

(1) For the merger of all of the territory of two or more	44691
districts, the fixed-rate levy loss and the fixed-sum levy loss of	44692
the successor district shall be equal to the sum of the fixed-rate	44693
levy losses and the fixed-sum levy losses for each of the	44694
districts involved in the merger.	44695

(2) For the transfer of a part of one district's territory to	44696
an existing district, the amount of the fixed-rate levy loss that	44697
is transferred to the recipient district shall be an amount equal	44698
to the transferring district's total fixed-rate levy loss times a	44699
fraction, the numerator of which is the value of electric company	44700
tangible personal property located in the part of the territory	44701
that was transferred, and the denominator of which is the total	44702
value of electric company tangible personal property located in	44703
the entire district from which the territory was transferred. The	44704
value of electric company tangible personal property under this	44705
division shall be determined for the most recent year for which	44706
data is available. Fixed-sum levy losses for both districts shall	44707
be determined under division (J)(4) of this section.	44708

(3) For the transfer of a part of the territory of one or	44709
more districts to create a new district:	44710

(a) If the new district is created on or after January 1,	44711
2000, but before January 1, 2005, the new district shall be paid	44712
its current fixed-rate levy loss through August 20082009. From	44713
February 20092010 to August 2016, the new district shall be paid	44714
the lesser of: (i) the amount calculated under division (C)(2) of	44715
this section or (ii) an amount equal to the new district's	44716
fixed-rate levy loss multiplied by the percentage prescribed by	44717
the following schedule:	44718

YEAR	PERCENTAGE		44719
2009	75%		44720
2010	70%		44721
2011	70%		44722
2012	60%		44723
2013	50%		44724
2014	40%		44725
2015	24%		44726
2016	11.5%		44727
2017 and thereafter	0%		44728

Fixed-sum levy losses for the districts shall be determined	44729
under division (J)(4) of this section.	44730

(b) If the new district is created on or after January 1,	44731
2005, the new district shall be deemed not to have any fixed-rate	44732
levy loss or, except as provided in division (J)(4) of this	44733
section, fixed-sum levy loss. The district or districts from which	44734
the territory was transferred shall have no reduction in their	44735
fixed-rate levy loss, or, except as provided in division (J)(4) of	44736
this section, their fixed-sum levy loss.	44737

(4) If a recipient district under division (J)(2) of this	44738
section or a new district under division (J)(3)(a) or (b) of this	44739
section takes on debt from one or more of the districts from which	44740
territory was transferred, and any of the districts transferring	44741
the territory had fixed-sum levy losses, the department of	44742
education, in consultation with the tax commissioner, shall make	44743
an equitable division of the fixed-sum levy losses.	44744

(K) There is hereby created the public utility property tax	44745
study committee, effective January 1, 2011. The committee shall	44746
consist of the following seven members: the tax commissioner,	44747
three members of the senate appointed by the president of the	44748
senate, and three members of the house of representatives	44749
appointed by the speaker of the house of representatives. The	44750
appointments shall be made not later than January 31, 2011. The	44751
tax commissioner shall be the chairperson of the committee.	44752

The committee shall study the extent to which each school	44753
district or joint vocational school district has been compensated,	44754
under sections 5727.84 and 5727.85 of the Revised Code as enacted	44755
by Substitute Senate Bill No. 3 of the 123rd general assembly and	44756
any subsequent acts, for the property tax loss caused by the	44757
reduction in the assessment rates for natural gas, electric, and	44758
rural electric company tangible personal property. Not later than	44759
June 30, 2011, the committee shall issue a report of its findings,	44760
including any recommendations for providing additional	44761
compensation for the property tax loss or regarding remedial	44762
legislation, to the president of the senate and the speaker of the	44763
house of representatives, at which time the committee shall cease	44764
to exist.	44765

The department of taxation and department of education shall	44766
provide such information and assistance as is required for the	44767
committee to carry out its duties.	44768

Sec. 5727.87.  (A) As used in this section:

44769

(1) "Administrative fees" means the dollar percentages	44770
allowed by the county auditor for services or by the county	44771
treasurer as fees, or paid to the credit of the real estate	44772
assessment fund, under divisions (A) and (B)(C) of section 319.54	44773
and division (A) of section 321.26 of the Revised Code.	44774

(2) "Administrative fee loss" means a county's loss of	44775
administrative fees due to its tax value loss, determined as	44776
follows:	44777

(a) For purposes of the determination made under division (B)	44778
of this section in the years 2002 through 2006, the administrative	44779
fee loss shall be computed by multiplying the amounts determined	44780
for all taxing districts in the county under divisions (G) and (H)	44781
of section 5727.84 of the Revised Code by nine thousand six	44782
hundred fifty-nine ten-thousandths of one per cent if total taxes	44783
collected in the county in 1999 exceeded one hundred fifty million	44784
dollars, or one and one thousand one hundred fifty-nine	44785
ten-thousandths of one per cent if total taxes collected in the	44786
county in 1999 were one hundred fifty million dollars or less;	44787

(b) For purposes of the determination under division (B) of	44788
this section in the years 2007 through 2011, the administrative	44789
fee loss shall be the lesser of the amount computed under division	44790
(A)(2)(a) of this section or the amount determined by subtracting	44791
from the dollar amount of administrative fees collected in the	44792
county in 1999, the dollar amount of administrative fees collected	44793
in the county in the current calendar year.	44794

(3) "Total taxes collected" means all money collected on any	44795
tax duplicate of the county, other than the estate tax duplicates.	44796
"Total taxes collected" does not include amounts received pursuant	44797
to divisions (F) and (G) of section 321.24 or section 323.156 of	44798
the Revised Code.	44799

(B) Not later than the thirty-first day of December of 2001	44800
through 2005, the tax commissioner shall certify to each county	44801
auditor the tax levy losses calculated under divisions (G) and (H)	44802
of section 5727.84 of the Revised Code for each school district,	44803
joint vocational school district, and local taxing unit in the	44804
county. Not later than the thirty-first day of January of 2002	44805
through 2011, the county auditor shall determine the	44806
administrative fee loss for the county and apportion that loss	44807
ratably among the school districts, joint vocational school	44808
districts, and local taxing units on the basis of the tax levy	44809
losses certified under this division.	44810

(C) On or before each of the days prescribed for the	44811
settlements under divisions (A) and (C) of section 321.24 of the	44812
Revised Code in the years 2002 through 2011, the county treasurer	44813
shall deduct one-half of the amount apportioned to each school	44814
district, joint vocational school district, and local taxing unit	44815
from the portions of revenue payable to them.	44816

(D) On or before each of the days prescribed for settlements	44817
under divisions (A) and (C) of section 321.24 of the Revised Code	44818
in the years 2002 through 2011, the county auditor shall cause to	44819
be deposited an amount equal to one-half of the amount of the	44820
administrative fee loss in the same funds as if allowed as	44821
administrative fees.	44822

After payment of the administrative fee loss on or before	44823
August 10, 2011, all payments under this section shall cease.	44824

Sec. 5733.12.  (A) Four and two-tenths per cent of allAll	44825
payments received from the taxes imposed under sections 5733.06	44826
and 5733.41 of the Revised Code shall be credited to the local	44827
government fund for distribution in accordance with section	44828
5747.50 of the Revised Code, six-tenths of one per cent shall be	44829
credited to the local government revenue assistance fund for	44830
distribution in accordance with section 5747.61 of the Revised	44831
Code, and ninety-five and two-tenths per cent shall be credited to	44832
the general revenue fund.	44833

(B) Except as otherwise provided under divisions (C) and (D)	44834
of this section, an application to refund to the corporation the	44835
amount of taxes imposed under section 5733.06 of the Revised Code	44836
that are overpaid, paid illegally or erroneously, or paid on any	44837
illegal, erroneous, or excessive assessment, with interest thereon	44838
as provided by section 5733.26 of the Revised Code, shall be filed	44839
with the tax commissioner, on the form prescribed by the	44840
commissioner, within three years from the date of the illegal,	44841
erroneous, or excessive payment of the tax, or within any	44842
additional period allowed by division (C)(2) of section 5733.031,	44843
division (D)(2) of section 5733.067, or division (A) of section	44844
5733.11 of the Revised Code. For purposes of division (B) of this	44845
section, any payment that the applicant made before the due date	44846
or extended due date for filing the report to which the payment	44847
relates shall be deemed to have been made on the due date or	44848
extended due date.	44849

On the filing of the refund application, the commissioner	44850
shall determine the amount of refund to which the applicant is	44851
entitled. If the amount is not less than that claimed the	44852
commissioner shall certify the amount to the director of budget	44853
and management and treasurer of state for payment from the tax	44854
refund fund created by section 5703.052 of the Revised Code. If	44855
the amount is less than that claimed, the commissioner shall	44856
proceed in accordance with section 5703.70 of the Revised Code.	44857

(C) "Ninety days" shall be substituted for "three years" in	44858
division (B) of this section if the taxpayer satisfies both of the	44859
following:	44860

(1) The taxpayer has applied for a refund based in whole or	44861
in part upon section 5733.0611 of the Revised Code;	44862

(2) The taxpayer asserts that the imposition or collection of	44863
the tax imposed or charged by section 5733.06 of the Revised Code	44864
or any portion of such tax violates the Constitution of the United	44865
States or the Constitution of this state.	44866

(D)(1) Division (D)(2) of this section applies only if all of	44867
the following conditions are satisfied:	44868

(a) A qualifying pass-through entity pays an amount of the	44869
tax imposed by section 5733.41 of the Revised Code;	44870

(b) The taxpayer is a qualifying investor as to that	44871
qualifying pass-through entity;	44872

(c) The taxpayer did not claim the credit provided for in	44873
section 5733.0611 of the Revised Code as to the tax described in	44874
division (D)(1)(a) of this section;	44875

(d) The three-year period described in division (B) of this	44876
section has ended as to the taxable year for which the taxpayer	44877
otherwise would have claimed that credit.	44878

(2) A taxpayer shall file an application for refund pursuant	44879
to this division within one year after the date the payment	44880
described in division (D)(1)(a) of this section is made. An	44881
application filed under this division shall only claim refund of	44882
overpayments resulting from the taxpayer's failure to claim the	44883
credit described in division (D)(1)(c) of this section. Nothing in	44884
this division shall be construed to relieve a taxpayer from	44885
complying with the provisions of division (I)(14) of section	44886
5733.04 of the Revised Code.	44887

Sec. 5739.02.  For the purpose of providing revenue with	44888
which to meet the needs of the state, for the use of the general	44889
revenue fund of the state, for the purpose of securing a thorough	44890
and efficient system of common schools throughout the state, for	44891
the purpose of affording revenues, in addition to those from	44892
general property taxes, permitted under constitutional	44893
limitations, and from other sources, for the support of local	44894
governmental functions, and for the purpose of reimbursing the	44895
state for the expense of administering this chapter, an excise tax	44896
is hereby levied on each retail sale made in this state.	44897

(A)(1) The tax shall be collected as provided in section	44898
5739.025 of the Revised Code, provided that on and after July 1,	44899
2003, and on or before June 30, 2005, the rate of tax shall be six	44900
per cent. On and after July 1, 2005, the rate of the tax shall be	44901
five and one-half per cent. The tax applies and is collectible	44902
when the sale is made, regardless of the time when the price is	44903
paid or delivered.	44904

(2) In the case of the lease or rental, with a fixed term of	44905
more than thirty days or an indefinite term with a minimum period	44906
of more than thirty days, of any motor vehicles designed by the	44907
manufacturer to carry a load of not more than one ton, watercraft,	44908
outboard motor, or aircraft, or of any tangible personal property,	44909
other than motor vehicles designed by the manufacturer to carry a	44910
load of more than one ton, to be used by the lessee or renter	44911
primarily for business purposes, the tax shall be collected by the	44912
vendor at the time the lease or rental is consummated and shall be	44913
calculated by the vendor on the basis of the total amount to be	44914
paid by the lessee or renter under the lease agreement. If the	44915
total amount of the consideration for the lease or rental includes	44916
amounts that are not calculated at the time the lease or rental is	44917
executed, the tax shall be calculated and collected by the vendor	44918
at the time such amounts are billed to the lessee or renter. In	44919
the case of an open-end lease or rental, the tax shall be	44920
calculated by the vendor on the basis of the total amount to be	44921
paid during the initial fixed term of the lease or rental, and for	44922
each subsequent renewal period as it comes due. As used in this	44923
division, "motor vehicle" has the same meaning as in section	44924
4501.01 of the Revised Code, and "watercraft" includes an outdrive	44925
unit attached to the watercraft.	44926

A lease with a renewal clause and a termination penalty or	44927
similar provision that applies if the renewal clause is not	44928
exercised is presumed to be a sham transaction. In such a case,	44929
the tax shall be calculated and paid on the basis of the entire	44930
length of the lease period, including any renewal periods, until	44931
the termination penalty or similar provision no longer applies.	44932
The taxpayer shall bear the burden, by a preponderance of the	44933
evidence, that the transaction or series of transactions is not a	44934
sham transaction.	44935

(3) Except as provided in division (A)(2) of this section, in	44936
the case of a sale, the price of which consists in whole or in	44937
part of the lease or rental of tangible personal property, the tax	44938
shall be measured by the installments of that lease or rental.	44939

(4) In the case of a sale of a physical fitness facility	44940
service or recreation and sports club service, the price of which	44941
consists in whole or in part of a membership for the receipt of	44942
the benefit of the service, the tax applicable to the sale shall	44943
be measured by the installments thereof.	44944

(B) The tax does not apply to the following:

44945

(1) Sales to the state or any of its political subdivisions,	44946
or to any other state or its political subdivisions if the laws of	44947
that state exempt from taxation sales made to this state and its	44948
political subdivisions;	44949

(2) Sales of food for human consumption off the premises	44950
where sold;	44951

(3) Sales of food sold to students only in a cafeteria,	44952
dormitory, fraternity, or sorority maintained in a private,	44953
public, or parochial school, college, or university;	44954

(4) Sales of newspapers and of magazine subscriptions and	44955
sales or transfers of magazines distributed as controlled	44956
circulation publications;	44957

(5) The furnishing, preparing, or serving of meals without	44958
charge by an employer to an employee provided the employer records	44959
the meals as part compensation for services performed or work	44960
done;	44961

(6) Sales of motor fuel upon receipt, use, distribution, or	44962
sale of which in this state a tax is imposed by the law of this	44963
state, but this exemption shall not apply to the sale of motor	44964
fuel on which a refund of the tax is allowable under division (A)	44965
of section 5735.14 of the Revised Code; and the tax commissioner	44966
may deduct the amount of tax levied by this section applicable to	44967
the price of motor fuel when granting a refund of motor fuel tax	44968
pursuant to division (A) of section 5735.14 of the Revised Code	44969
and shall cause the amount deducted to be paid into the general	44970
revenue fund of this state;	44971

(7) Sales of natural gas by a natural gas company, of water	44972
by a water-works company, or of steam by a heating company, if in	44973
each case the thing sold is delivered to consumers through pipes	44974
or conduits, and all sales of communications services by a	44975
telegraph company, all terms as defined in section 5727.01 of the	44976
Revised Code, and sales of electricity delivered through wires;	44977

(8) Casual sales by a person, or auctioneer employed directly	44978
by the person to conduct such sales, except as to such sales of	44979
motor vehicles, watercraft or outboard motors required to be	44980
titled under section 1548.06 of the Revised Code, watercraft	44981
documented with the United States coast guard, snowmobiles, and	44982
all-purpose vehicles as defined in section 4519.01 of the Revised	44983
Code;	44984

(9) Sales of services or tangible personal property, other	44985
than motor vehicles, mobile homes, and manufactured homes, by	44986
churches, organizations exempt from taxation under section	44987
501(c)(3) of the Internal Revenue Code of 1986, or nonprofit	44988
organizations operated exclusively for charitable purposes as	44989
defined in division (B)(12) of this section, provided that the	44990
number of days on which such tangible personal property or	44991
services, other than items never subject to the tax, are sold does	44992
not exceed six in any calendar year. If the number of days on	44993
which such sales are made exceeds six in any calendar year, the	44994
church or organization shall be considered to be engaged in	44995
business and all subsequent sales by it shall be subject to the	44996
tax. In counting the number of days, all sales by groups within a	44997
church or within an organization shall be considered to be sales	44998
of that church or organization, except that sales made by separate	44999
student clubs and other groups of students of a primary or	45000
secondary school, and sales made by a parent-teacher association,	45001
booster group, or similar organization that raises money to	45002
support or fund curricular or extracurricular activities of a	45003
primary or secondary school, shall not be considered to be sales	45004
of such school, and sales by each such club, group, association,	45005
or organization shall be counted separately for purposes of the	45006
six-day limitation. This division does not apply to sales by a	45007
noncommercial educational radio or television broadcasting	45008
station.	45009

(10) Sales not within the taxing power of this state under	45010
the Constitution of the United States;	45011

(11) Except for transactions that are sales under division	45012
(B)(3)(r) of section 5739.01 of the Revised Code, the	45013
transportation of persons or property, unless the transportation	45014
is by a private investigation and security service;	45015

(12) Sales of tangible personal property or services to	45016
churches, to organizations exempt from taxation under section	45017
501(c)(3) of the Internal Revenue Code of 1986, and to any other	45018
nonprofit organizations operated exclusively for charitable	45019
purposes in this state, no part of the net income of which inures	45020
to the benefit of any private shareholder or individual, and no	45021
substantial part of the activities of which consists of carrying	45022
on propaganda or otherwise attempting to influence legislation;	45023
sales to offices administering one or more homes for the aged or	45024
one or more hospital facilities exempt under section 140.08 of the	45025
Revised Code; and sales to organizations described in division (D)	45026
of section 5709.12 of the Revised Code.	45027

"Charitable purposes" means the relief of poverty; the	45028
improvement of health through the alleviation of illness, disease,	45029
or injury; the operation of an organization exclusively for the	45030
provision of professional, laundry, printing, and purchasing	45031
services to hospitals or charitable institutions; the operation of	45032
a home for the aged, as defined in section 5701.13 of the Revised	45033
Code; the operation of a radio or television broadcasting station	45034
that is licensed by the federal communications commission as a	45035
noncommercial educational radio or television station; the	45036
operation of a nonprofit animal adoption service or a county	45037
humane society; the promotion of education by an institution of	45038
learning that maintains a faculty of qualified instructors,	45039
teaches regular continuous courses of study, and confers a	45040
recognized diploma upon completion of a specific curriculum; the	45041
operation of a parent-teacher association, booster group, or	45042
similar organization primarily engaged in the promotion and	45043
support of the curricular or extracurricular activities of a	45044
primary or secondary school; the operation of a community or area	45045
center in which presentations in music, dramatics, the arts, and	45046
related fields are made in order to foster public interest and	45047
education therein; the production of performances in music,	45048
dramatics, and the arts; or the promotion of education by an	45049
organization engaged in carrying on research in, or the	45050
dissemination of, scientific and technological knowledge and	45051
information primarily for the public.	45052

Nothing in this division shall be deemed to exempt sales to	45053
any organization for use in the operation or carrying on of a	45054
trade or business, or sales to a home for the aged for use in the	45055
operation of independent living facilities as defined in division	45056
(A) of section 5709.12 of the Revised Code.	45057

(13) Building and construction materials and services sold to	45058
construction contractors for incorporation into a structure or	45059
improvement to real property under a construction contract with	45060
this state or a political subdivision of this state, or with the	45061
United States government or any of its agencies; building and	45062
construction materials and services sold to construction	45063
contractors for incorporation into a structure or improvement to	45064
real property that are accepted for ownership by this state or any	45065
of its political subdivisions, or by the United States government	45066
or any of its agencies at the time of completion of the structures	45067
or improvements; building and construction materials sold to	45068
construction contractors for incorporation into a horticulture	45069
structure or livestock structure for a person engaged in the	45070
business of horticulture or producing livestock; building	45071
materials and services sold to a construction contractor for	45072
incorporation into a house of public worship or religious	45073
education, or a building used exclusively for charitable purposes	45074
under a construction contract with an organization whose purpose	45075
is as described in division (B)(12) of this section; building	45076
materials and services sold to a construction contractor for	45077
incorporation into a building under a construction contract with	45078
an organization exempt from taxation under section 501(c)(3) of	45079
the Internal Revenue Code of 1986 when the building is to be used	45080
exclusively for the organization's exempt purposes; building and	45081
construction materials sold for incorporation into the original	45082
construction of a sports facility under section 307.696 of the	45083
Revised Code; and building and construction materials and services	45084
sold to a construction contractor for incorporation into real	45085
property outside this state if such materials and services, when	45086
sold to a construction contractor in the state in which the real	45087
property is located for incorporation into real property in that	45088
state, would be exempt from a tax on sales levied by that state;	45089

(14) Sales of ships or vessels or rail rolling stock used or	45090
to be used principally in interstate or foreign commerce, and	45091
repairs, alterations, fuel, and lubricants for such ships or	45092
vessels or rail rolling stock;	45093

(15) Sales to persons primarily engaged in any of the	45094
activities mentioned in division (B)(42)(a) or (g) of this	45095
section, to persons engaged in making retail sales, or to persons	45096
who purchase for sale from a manufacturer tangible personal	45097
property that was produced by the manufacturer in accordance with	45098
specific designs provided by the purchaser, of packages, including	45099
material, labels, and parts for packages, and of machinery,	45100
equipment, and material for use primarily in packaging tangible	45101
personal property produced for sale, including any machinery,	45102
equipment, and supplies used to make labels or packages, to	45103
prepare packages or products for labeling, or to label packages or	45104
products, by or on the order of the person doing the packaging, or	45105
sold at retail. "Packages" includes bags, baskets, cartons,	45106
crates, boxes, cans, bottles, bindings, wrappings, and other	45107
similar devices and containers, but does not include motor	45108
vehicles or bulk tanks, trailers, or similar devices attached to	45109
motor vehicles. "Packaging" means placing in a package. Division	45110
(B)(15) of this section does not apply to persons engaged in	45111
highway transportation for hire.	45112

(16) Sales of food to persons using food stamp benefits to	45113
purchase the food. As used in this division, "food" has the same	45114
meaning as in the "Food Stamp Act of 1977," 91 Stat. 958, 7 U.S.C.	45115
2012, as amended, and federal regulations adopted pursuant to that	45116
act.	45117

(17) Sales to persons engaged in farming, agriculture,	45118
horticulture, or floriculture, of tangible personal property for	45119
use or consumption directly in the production by farming,	45120
agriculture, horticulture, or floriculture of other tangible	45121
personal property for use or consumption directly in the	45122
production of tangible personal property for sale by farming,	45123
agriculture, horticulture, or floriculture; or material and parts	45124
for incorporation into any such tangible personal property for use	45125
or consumption in production; and of tangible personal property	45126
for such use or consumption in the conditioning or holding of	45127
products produced by and for such use, consumption, or sale by	45128
persons engaged in farming, agriculture, horticulture, or	45129
floriculture, except where such property is incorporated into real	45130
property;	45131

(18) Sales of drugs for a human being that may be dispensed	45132
only pursuant to a prescription; insulin as recognized in the	45133
official United States pharmacopoeia; urine and blood testing	45134
materials when used by diabetics or persons with hypoglycemia to	45135
test for glucose or acetone; hypodermic syringes and needles when	45136
used by diabetics for insulin injections; epoetin alfa when	45137
purchased for use in the treatment of persons with medical	45138
disease; hospital beds when purchased by hospitals, nursing homes,	45139
or other medical facilities; and medical oxygen and medical	45140
oxygen-dispensing equipment when purchased by hospitals, nursing	45141
homes, or other medical facilities;	45142

(19) Sales of prosthetic devices, durable medical equipment	45143
for home use, or mobility enhancing equipment, when made pursuant	45144
to a prescription and when such devices or equipment are for use	45145
by a human being.	45146

(20) Sales of emergency and fire protection vehicles and	45147
equipment to nonprofit organizations for use solely in providing	45148
fire protection and emergency services, including trauma care and	45149
emergency medical services, for political subdivisions of the	45150
state;	45151

(21) Sales of tangible personal property manufactured in this	45152
state, if sold by the manufacturer in this state to a retailer for	45153
use in the retail business of the retailer outside of this state	45154
and if possession is taken from the manufacturer by the purchaser	45155
within this state for the sole purpose of immediately removing the	45156
same from this state in a vehicle owned by the purchaser;	45157

(22) Sales of services provided by the state or any of its	45158
political subdivisions, agencies, instrumentalities, institutions,	45159
or authorities, or by governmental entities of the state or any of	45160
its political subdivisions, agencies, instrumentalities,	45161
institutions, or authorities;	45162

(23) Sales of motor vehicles to nonresidents of this state	45163
upon the presentation of an affidavit executed in this state by	45164
the nonresident purchaser affirming that the purchaser is a	45165
nonresident of this state, that possession of the motor vehicle is	45166
taken in this state for the sole purpose of immediately removing	45167
it from this state, that the motor vehicle will be permanently	45168
titled and registered in another state, and that the motor vehicle	45169
will not be used in this stateunder the circumstances described	45170
in division (B) of section 5739.029 of the Revised Code;	45171

(24) Sales to persons engaged in the preparation of eggs for	45172
sale of tangible personal property used or consumed directly in	45173
such preparation, including such tangible personal property used	45174
for cleaning, sanitizing, preserving, grading, sorting, and	45175
classifying by size; packages, including material and parts for	45176
packages, and machinery, equipment, and material for use in	45177
packaging eggs for sale; and handling and transportation equipment	45178
and parts therefor, except motor vehicles licensed to operate on	45179
public highways, used in intraplant or interplant transfers or	45180
shipment of eggs in the process of preparation for sale, when the	45181
plant or plants within or between which such transfers or	45182
shipments occur are operated by the same person. "Packages"	45183
includes containers, cases, baskets, flats, fillers, filler flats,	45184
cartons, closure materials, labels, and labeling materials, and	45185
"packaging" means placing therein.	45186

(25)(a) Sales of water to a consumer for residential use,	45187
except the sale of bottled water, distilled water, mineral water,	45188
carbonated water, or ice;	45189

(b) Sales of water by a nonprofit corporation engaged	45190
exclusively in the treatment, distribution, and sale of water to	45191
consumers, if such water is delivered to consumers through pipes	45192
or tubing.	45193

(26) Fees charged for inspection or reinspection of motor	45194
vehicles under section 3704.14 of the Revised Code;	45195

(27) Sales to persons licensed to conduct a food service	45196
operation pursuant to section 3717.43 of the Revised Code, of	45197
tangible personal property primarily used directly for the	45198
following:	45199

(a) To prepare food for human consumption for sale;

45200

(b) To preserve food that has been or will be prepared for	45201
human consumption for sale by the food service operator, not	45202
including tangible personal property used to display food for	45203
selection by the consumer;	45204

(c) To clean tangible personal property used to prepare or	45205
serve food for human consumption for sale.	45206

(28) Sales of animals by nonprofit animal adoption services	45207
or county humane societies;	45208

(29) Sales of services to a corporation described in division	45209
(A) of section 5709.72 of the Revised Code, and sales of tangible	45210
personal property that qualifies for exemption from taxation under	45211
section 5709.72 of the Revised Code;	45212

(30) Sales and installation of agricultural land tile, as	45213
defined in division (B)(5)(a) of section 5739.01 of the Revised	45214
Code;	45215

(31) Sales and erection or installation of portable grain	45216
bins, as defined in division (B)(5)(b) of section 5739.01 of the	45217
Revised Code;	45218

(32) The sale, lease, repair, and maintenance of, parts for,	45219
or items attached to or incorporated in, motor vehicles that are	45220
primarily used for transporting tangible personal property	45221
belonging to others by a person engaged in highway transportation	45222
for hire, except for packages and packaging used for the	45223
transportation of tangible personal property;	45224

(33) Sales to the state headquarters of any veterans'	45225
organization in this state that is either incorporated and issued	45226
a charter by the congress of the United States or is recognized by	45227
the United States veterans administration, for use by the	45228
headquarters;	45229

(34) Sales to a telecommunications service vendor, mobile	45230
telecommunications service vendor, or satellite broadcasting	45231
service vendor of tangible personal property and services used	45232
directly and primarily in transmitting, receiving, switching, or	45233
recording any interactive, one- or two-way electromagnetic	45234
communications, including voice, image, data, and information,	45235
through the use of any medium, including, but not limited to,	45236
poles, wires, cables, switching equipment, computers, and record	45237
storage devices and media, and component parts for the tangible	45238
personal property. The exemption provided in this division shall	45239
be in lieu of all other exemptions under division (B)(42)(a) of	45240
this section to which the vendor may otherwise be entitled, based	45241
upon the use of the thing purchased in providing the	45242
telecommunications, mobile telecommunications, or satellite	45243
broadcasting service.	45244

(35)(a) Sales where the purpose of the consumer is to use or	45245
consume the things transferred in making retail sales and	45246
consisting of newspaper inserts, catalogues, coupons, flyers, gift	45247
certificates, or other advertising material that prices and	45248
describes tangible personal property offered for retail sale.	45249

(b) Sales to direct marketing vendors of preliminary	45250
materials such as photographs, artwork, and typesetting that will	45251
be used in printing advertising material; of printed matter that	45252
offers free merchandise or chances to win sweepstake prizes and	45253
that is mailed to potential customers with advertising material	45254
described in division (B)(35)(a) of this section; and of equipment	45255
such as telephones, computers, facsimile machines, and similar	45256
tangible personal property primarily used to accept orders for	45257
direct marketing retail sales.	45258

(c) Sales of automatic food vending machines that preserve	45259
food with a shelf life of forty-five days or less by refrigeration	45260
and dispense it to the consumer.	45261

For purposes of division (B)(35) of this section, "direct	45262
marketing" means the method of selling where consumers order	45263
tangible personal property by United States mail, delivery	45264
service, or telecommunication and the vendor delivers or ships the	45265
tangible personal property sold to the consumer from a warehouse,	45266
catalogue distribution center, or similar fulfillment facility by	45267
means of the United States mail, delivery service, or common	45268
carrier.	45269

(36) Sales to a person engaged in the business of	45270
horticulture or producing livestock of materials to be	45271
incorporated into a horticulture structure or livestock structure;	45272

(37) Sales of personal computers, computer monitors, computer	45273
keyboards, modems, and other peripheral computer equipment to an	45274
individual who is licensed or certified to teach in an elementary	45275
or a secondary school in this state for use by that individual in	45276
preparation for teaching elementary or secondary school students;	45277

(38) Sales to a professional racing team of any of the	45278
following:	45279

(a) Motor racing vehicles;

45280

(b) Repair services for motor racing vehicles;

45281

(c) Items of property that are attached to or incorporated in	45282
motor racing vehicles, including engines, chassis, and all other	45283
components of the vehicles, and all spare, replacement, and	45284
rebuilt parts or components of the vehicles; except not including	45285
tires, consumable fluids, paint, and accessories consisting of	45286
instrumentation sensors and related items added to the vehicle to	45287
collect and transmit data by means of telemetry and other forms of	45288
communication.	45289

(39) Sales of used manufactured homes and used mobile homes,	45290
as defined in section 5739.0210 of the Revised Code, made on or	45291
after January 1, 2000;	45292

(40) Sales of tangible personal property and services to a	45293
provider of electricity used or consumed directly and primarily in	45294
generating, transmitting, or distributing electricity for use by	45295
others, including property that is or is to be incorporated into	45296
and will become a part of the consumer's production, transmission,	45297
or distribution system and that retains its classification as	45298
tangible personal property after incorporation; fuel or power used	45299
in the production, transmission, or distribution of electricity;	45300
and tangible personal property and services used in the repair and	45301
maintenance of the production, transmission, or distribution	45302
system, including only those motor vehicles as are specially	45303
designed and equipped for such use. The exemption provided in this	45304
division shall be in lieu of all other exemptions in division	45305
(B)(42)(a) of this section to which a provider of electricity may	45306
otherwise be entitled based on the use of the tangible personal	45307
property or service purchased in generating, transmitting, or	45308
distributing electricity.	45309

(41) Sales to a person providing services under division	45310
(B)(3)(r) of section 5739.01 of the Revised Code of tangible	45311
personal property and services used directly and primarily in	45312
providing taxable services under that section.	45313

(42) Sales where the purpose of the purchaser is to do any of	45314
the following:	45315

(a) To incorporate the thing transferred as a material or a	45316
part into tangible personal property to be produced for sale by	45317
manufacturing, assembling, processing, or refining; or to use or	45318
consume the thing transferred directly in producing tangible	45319
personal property for sale by mining, including, without	45320
limitation, the extraction from the earth of all substances that	45321
are classed geologically as minerals, production of crude oil and	45322
natural gas, farming, agriculture, horticulture, or floriculture,	45323
or directly in the rendition of a public utility service, except	45324
that the sales tax levied by this section shall be collected upon	45325
all meals, drinks, and food for human consumption sold when	45326
transporting persons. Persons engaged in rendering farming,	45327
agricultural, horticultural, or floricultural services, and	45328
services in the exploration for, and production of, crude oil and	45329
natural gas, for others are deemed engaged directly in farming,	45330
agriculture, horticulture, and floriculture, or exploration for,	45331
and production of, crude oil and natural gas. This paragraph does	45332
not exempt from "retail sale" or "sales at retail" the sale of	45333
tangible personal property that is to be incorporated into a	45334
structure or improvement to real property.	45335

(b) To hold the thing transferred as security for the	45336
performance of an obligation of the vendor;	45337

(c) To resell, hold, use, or consume the thing transferred as	45338
evidence of a contract of insurance;	45339

(d) To use or consume the thing directly in commercial	45340
fishing;	45341

(e) To incorporate the thing transferred as a material or a	45342
part into, or to use or consume the thing transferred directly in	45343
the production of, magazines distributed as controlled circulation	45344
publications;	45345

(f) To use or consume the thing transferred in the production	45346
and preparation in suitable condition for market and sale of	45347
printed, imprinted, overprinted, lithographic, multilithic,	45348
blueprinted, photostatic, or other productions or reproductions of	45349
written or graphic matter;	45350

(g) To use the thing transferred, as described in section	45351
5739.011 of the Revised Code, primarily in a manufacturing	45352
operation to produce tangible personal property for sale;	45353

(h) To use the benefit of a warranty, maintenance or service	45354
contract, or similar agreement, as described in division (B)(7) of	45355
section 5739.01 of the Revised Code, to repair or maintain	45356
tangible personal property, if all of the property that is the	45357
subject of the warranty, contract, or agreement would not be	45358
subject to the tax imposed by this section;	45359

(i) To use the thing transferred as qualified research and	45360
development equipment;	45361

(j) To use or consume the thing transferred primarily in	45362
storing, transporting, mailing, or otherwise handling purchased	45363
sales inventory in a warehouse, distribution center, or similar	45364
facility when the inventory is primarily distributed outside this	45365
state to retail stores of the person who owns or controls the	45366
warehouse, distribution center, or similar facility, to retail	45367
stores of an affiliated group of which that person is a member, or	45368
by means of direct marketing. This division does not apply to	45369
motor vehicles registered for operation on the public highways. As	45370
used in this division, "affiliated group" has the same meaning as	45371
in division (B)(3)(e) of section 5739.01 of the Revised Code and	45372
"direct marketing" has the same meaning as in division (B)(35) of	45373
this section.	45374

(k) To use or consume the thing transferred to fulfill a	45375
contractual obligation incurred by a warrantor pursuant to a	45376
warranty provided as a part of the price of the tangible personal	45377
property sold or by a vendor of a warranty, maintenance or service	45378
contract, or similar agreement the provision of which is defined	45379
as a sale under division (B)(7) of section 5739.01 of the Revised	45380
Code;	45381

(l) To use or consume the thing transferred in the production	45382
of a newspaper for distribution to the public;	45383

(m) To use tangible personal property to perform a service	45384
listed in division (B)(3) of section 5739.01 of the Revised Code,	45385
if the property is or is to be permanently transferred to the	45386
consumer of the service as an integral part of the performance of	45387
the service.	45388

As used in division (B)(42) of this section, "thing" includes	45389
all transactions included in divisions (B)(3)(a), (b), and (e) of	45390
section 5739.01 of the Revised Code.	45391

(43) Sales conducted through a coin operated device that	45392
activates vacuum equipment or equipment that dispenses water,	45393
whether or not in combination with soap or other cleaning agents	45394
or wax, to the consumer for the consumer's use on the premises in	45395
washing, cleaning, or waxing a motor vehicle, provided no other	45396
personal property or personal service is provided as part of the	45397
transaction.	45398

(44) Sales of replacement and modification parts for engines,	45399
airframes, instruments, and interiors in, and paint for, aircraft	45400
used primarily in a fractional aircraft ownership program, and	45401
sales of services for the repair, modification, and maintenance of	45402
such aircraft, and machinery, equipment, and supplies primarily	45403
used to provide those services.	45404

(45) Sales of telecommunications service that is used	45405
directly and primarily to perform the functions of a call center.	45406
As used in this division, "call center" means any physical	45407
location where telephone calls are placed or received in high	45408
volume for the purpose of making sales, marketing, customer	45409
service, technical support, or other specialized business	45410
activity, and that employs at least fifty individuals that engage	45411
in call center activities on a full-time basis, or sufficient	45412
individuals to fill fifty full-time equivalent positions.	45413

(46) Sales by a telecommunications service vendor of 900	45414
service to a subscriber. This division does not apply to	45415
information services, as defined in division (FF) of section	45416
5739.01 of the Revised Code.	45417

(47) Sales of value-added non-voice data service. This	45418
division does not apply to any similar service that is not	45419
otherwise a telecommunications service.	45420

(C) For the purpose of the proper administration of this	45421
chapter, and to prevent the evasion of the tax, it is presumed	45422
that all sales made in this state are subject to the tax until the	45423
contrary is established.	45424

(D) The levy of this tax on retail sales of recreation and	45425
sports club service shall not prevent a municipal corporation from	45426
levying any tax on recreation and sports club dues or on any	45427
income generated by recreation and sports club dues.	45428

(E) The tax collected by the vendor from the consumer under	45429
this chapter is not part of the price, but is a tax collection for	45430
the benefit of the state, and of counties levying an additional	45431
sales tax pursuant to section 5739.021 or 5739.026 of the Revised	45432
Code and of transit authorities levying an additional sales tax	45433
pursuant to section 5739.023 of the Revised Code. Except for the	45434
discount authorized under section 5739.12 of the Revised Code and	45435
the effects of any rounding pursuant to section 5703.055 of the	45436
Revised Code, no person other than the state or such a county or	45437
transit authority shall derive any benefit from the collection or	45438
payment of the tax levied by this section or section 5739.021,	45439
5739.023, or 5739.026 of the Revised Code.	45440

Sec. 5739.029.  (A) Notwithstanding sections 5739.02,	45441
5739.021, 5739.023, 5739.026, 5741.02, 5741.021, 5741.022, and	45442
5741.023 of the Revised Code, and except as otherwise provided in	45443
division (B) of this section, the tax due under this chapter on	45444
the sale of a motor vehicle required to be titled under Chapter	45445
4505. of the Revised Code by a motor vehicle dealer to a consumer	45446
that is a nonresident of this state shall be the sum of the tax	45447
levied under section 5739.02 of the Revised Code and the lowest	45448
total rate of tax levied by any county or transit authority under	45449
sections 5741.021, 5741.022, and 5741.023 of the Revised Code, but	45450
not to exceed six per cent, if all of the following apply:	45451

(1) The consumer intends to immediately remove the motor	45452
vehicle from this state for use outside this state;	45453

(2) Upon removal of the motor vehicle from this state, the	45454
consumer intends to title or register the vehicle in another state	45455
if such titling or registration is required;	45456

(3) The consumer executes an affidavit as required under	45457
division (C) of this section affirming the consumer's intentions	45458
under divisions (A)(1) and (2) of this section.	45459

(B) No tax is due under this section, any other section of	45460
this chapter, or Chapter 5741. of the Revised Code on a sale	45461
described under division (A) of this section if the state in which	45462
the consumer titles or registers the motor vehicle or to which the	45463
consumer removes the vehicle for use does not impose a use tax or	45464
similar excise tax on the ownership or use of motor vehicles or	45465
imposes such a tax but does not grant a credit against that tax	45466
for sales or use tax paid to this state.	45467

(C) Any nonresident consumer that purchases a motor vehicle	45468
from a motor vehicle dealer in this state under the circumstances	45469
described in divisions (A)(1) and (2) of this section shall	45470
execute an affidavit affirming the intentions described in those	45471
divisions. The affidavit shall be executed in triplicate and in	45472
the form specified by the tax commissioner. The affidavit shall be	45473
given to the motor vehicle dealer.	45474

A motor vehicle dealer that accepts in good faith an	45475
affidavit presented under this division by a nonresident consumer	45476
may rely upon the representations made in the affidavit.	45477

(D) A motor vehicle dealer making a sale subject to the tax	45478
under division (A) of this section shall collect the tax due	45479
unless the sale is subject to the exception under division (B) of	45480
this section. In the case of any sale, the dealer shall retain one	45481
copy of the affidavit and file the original and the other copy	45482
with the clerk of the court of common pleas. If tax is due under	45483
division (A) of this section, the dealer shall remit the tax	45484
collected to the clerk at the time the dealer obtains the Ohio	45485
certificate of title in the name of the consumer as required under	45486
section 4505.06 of the Revised Code. The clerk shall forward the	45487
original affidavit to the tax commissioner in the manner	45488
prescribed by the commissioner.	45489

Upon receipt of an application for certificate of title	45490
accompanied by an affidavit required by division (C) of this	45491
section, a clerk of the court of common pleas shall collect the	45492
sales tax due under division (A) of this section. The clerk shall	45493
remit the tax collected to the tax commissioner in the manner	45494
prescribed by the commissioner.	45495

(E) If a motor vehicle is purchased by a corporation	45496
described in division (B)(6) of section 5739.01 of the Revised	45497
Code, the state of residence of the consumer for the purposes of	45498
this section is the state of residence of the corporation's	45499
principal shareholder.	45500

(F) Any provision of this chapter or of Chapter 5741. of the	45501
Revised Code that is not inconsistent with this section applies to	45502
sales described in division (A) of this section.	45503

(G) As used in this section, "state," except in reference to	45504
"this state," means any state, district, commonwealth, or	45505
territory of the United States.	45506

Sec. 5739.033.  (A) Except as provided in division (B) of	45507
this section, divisions (C) to (I) of this section apply to sales	45508
made on and after May 1, 2006. Sales made before May 1, 2006, are	45509
subject to section 5739.035 of the Revised Code. On and after	45510
January 1, 2005, any vendor may irrevocably elect to comply with	45511
divisions (C) to (I) of this section for all of the vendor's sales	45512
and places of business in this state.	45513

The amount of tax due pursuant to sections 5739.02, 5739.021,	45514
5739.023, and 5739.026 of the Revised Code is the sum of the taxes	45515
imposed pursuant to those sections at the sourcing location of the	45516
sale as determined under this section or, if applicable, under	45517
division (C) of section 5739.031 or section 5739.034 of the	45518
Revised Code, or at the situs of the sale as determined under	45519
section 5739.035 of the Revised Code. This section applies only to	45520
a vendor's or seller's obligation to collect and remit sales taxes	45521
under section 5739.02, 5739.021, 5739.023, or 5739.026 of the	45522
Revised Code or use taxes under section 5741.02, 5741.021,	45523
5741.022, or 5741.023 of the Revised Code. Division (A) of this	45524
section does not apply in determining the jurisdiction for which	45525
sellers are required to collect the use tax under section 5741.05	45526
of the Revised Code. This section does not affect the obligation	45527
of a consumer to remit use taxes on the storage, use, or other	45528
consumption of tangible personal property or on the benefit	45529
realized of any service provided, to the jurisdiction of that	45530
storage, use, or consumption, or benefit realized.	45531

(B)(1) As used in this division:

45532

(a) "Delivery sale" means the taxable sale of tangible	45533
personal property or a service that is received by a consumer, or	45534
a donee designated by the consumer, in a taxing jurisdiction that	45535
is not the taxing jurisdiction in which the vendor has a fixed	45536
place of business.	45537

(b) "Agreement" has the same meaning as in section 5740.01 of	45538
the Revised Code.	45539

(c) "Governing board" has the same meaning as in section	45540
5740.02 of the Revised Code.	45541

(2)(a) A vendor with total delivery sales in calendar year	45542
2005 that are less than thirty million dollars may continue to	45543
situs its sales under section 5739.035 of the Revised Code from	45544
May 1, 2006, through April 30, 2007, except that, if the tax	45545
commissioner does not enter a determination in the commissioner's	45546
journal under division (B)(2)(b) of this section, those dates	45547
shall be May 1, 2006, through December 31, 2007.	45548

(b) On or before February 1, 2007, the tax commissioner shall	45549
determine whether certified service provider services are being	45550
provided by the governing board of the streamlined sales and use	45551
tax agreement for all delivery sales. If the commissioner	45552
determines that such services are being so provided, the	45553
commissioner shall enter the determination in the commissioner's	45554
journal and shall provide notice of the determination on the	45555
department of taxation's official internet web site. If the	45556
commissioner makes such an entry in the journal, then a vendor	45557
with total delivery sales in calendar year 2006 that are less than	45558
five million dollars may continue to situs its sales under section	45559
5739.035 of the Revised Code from May 1, 2007, through December	45560
31, 2007.	45561

(3) Beginning January 1, 2008, all vendors shall source their	45562
sales under divisions (C) to (I) of this section.	45563

(4) Once a vendor has total delivery sales that exceed the	45564
dollar amount in division (B)(2)(a) or (b) of this section, the	45565
vendor shall source its sales under divisions (C) to (I) of this	45566
section and shall continue to source its sales under those	45567
divisions, regardless of the amount of the vendor's total delivery	45568
sales in future years.	45569

(C) Except for sales, other than leases, of titled motor	45570
vehicles, titled watercraft, or titled outboard motors as provided	45571
in sectionsections 5739.029 and 5741.05 of the Revised Code, or	45572
as otherwise provided in this section and section 5739.034 of the	45573
Revised Code, all sales shall be sourced as follows:	45574

(1) If the consumer or a donee designated by the consumer	45575
receives tangible personal property or a service at a vendor's	45576
place of business, the sale shall be sourced to that place of	45577
business.	45578

(2) When the tangible personal property or service is not	45579
received at a vendor's place of business, the sale shall be	45580
sourced to the location known to the vendor where the consumer or	45581
the donee designated by the consumer receives the tangible	45582
personal property or service, including the location indicated by	45583
instructions for delivery to the consumer or the consumer's donee.	45584

(3) If divisions (C)(1) and (2) of this section do not apply,	45585
the sale shall be sourced to the location indicated by an address	45586
for the consumer that is available from the vendor's business	45587
records that are maintained in the ordinary course of the	45588
vendor's business, when use of that address does not constitute	45589
bad faith.	45590

(4) If divisions (C)(1), (2), and (3) of this section do not	45591
apply, the sale shall be sourced to the location indicated by an	45592
address for the consumer obtained during the consummation of the	45593
sale, including the address associated with the consumer's payment	45594
instrument, if no other address is available, when use of that	45595
address does not constitute bad faith.	45596

(5) If divisions (C)(1), (2), (3), and (4) of this section do	45597
not apply, including in the circumstance where the vendor is	45598
without sufficient information to apply any of those divisions,	45599
the sale shall be sourced to the address from which tangible	45600
personal property was shipped, or from which the service was	45601
provided, disregarding any location that merely provided the	45602
electronic transfer of the property sold or service provided.	45603

(6) As used in division (C) of this section, "receive" means	45604
taking possession of tangible personal property or making first	45605
use of a service. "Receive" does not include possession by a	45606
shipping company on behalf of a consumer.	45607

(D)(1)(a) Notwithstanding divisions (C)(1) to (5) of this	45608
section, a business consumer that is not a holder of a direct	45609
payment permit granted under section 5739.031 of the Revised Code,	45610
that purchases a digital good, computer software, except computer	45611
software received in person by a business consumer at a vendor's	45612
place of business, or a service, and that knows at the time of	45613
purchase that such digital good, software, or service will be	45614
concurrently available for use in more than one taxing	45615
jurisdiction shall deliver to the vendor in conjunction with its	45616
purchase an exemption certificate claiming multiple points of use,	45617
or shall meet the requirements of division (D)(2) of this section.	45618
On receipt of the exemption certificate claiming multiple points	45619
of use, the vendor is relieved of its obligation to collect, pay,	45620
or remit the tax due, and the business consumer must pay the tax	45621
directly to the state.	45622

(b) A business consumer that delivers the exemption	45623
certificate claiming multiple points of use to a vendor may use	45624
any reasonable, consistent, and uniform method of apportioning the	45625
tax due on the digital good, computer software, or service that is	45626
supported by the consumer's business records as they existed at	45627
the time of the sale. The business consumer shall report and pay	45628
the appropriate tax to each jurisdiction where concurrent use	45629
occurs. The tax due shall be calculated as if the apportioned	45630
amount of the digital good, computer software, or service had been	45631
delivered to each jurisdiction to which the sale is apportioned	45632
under this division.	45633

(c) The exemption certificate claiming multiple points of use	45634
shall remain in effect for all future sales by the vendor to the	45635
business consumer until it is revoked in writing by the business	45636
consumer, except as to the business consumer's specific	45637
apportionment of a subsequent sale under division (D)(1)(b) of	45638
this section and the facts existing at the time of the sale.	45639

(2) When the vendor knows that a digital good, computer	45640
software, or service sold will be concurrently available for use	45641
by the business consumer in more than one jurisdiction, but the	45642
business consumer does not provide an exemption certificate	45643
claiming multiple points of use as required by division (D)(1) of	45644
this section, the vendor may work with the business consumer to	45645
produce the correct apportionment. Governed by the principles of	45646
division (D)(1)(b) of this section, the vendor and business	45647
consumer may use any reasonable, but consistent and uniform,	45648
method of apportionment that is supported by the vendor's and	45649
business consumer's books and records as they exist at the time	45650
the sale is reported for purposes of the taxes levied under this	45651
chapter. If the business consumer certifies to the accuracy of the	45652
apportionment and the vendor accepts the certification, the vendor	45653
shall collect and remit the tax accordingly. In the absence of bad	45654
faith, the vendor is relieved of any further obligation to collect	45655
tax on any transaction where the vendor has collected tax pursuant	45656
to the information certified by the business consumer.	45657

(3) When the vendor knows that the digital good, computer	45658
software, or service will be concurrently available for use in	45659
more than one jurisdiction, and the business consumer does not	45660
have a direct pay permit and does not provide to the vendor an	45661
exemption certificate claiming multiple points of use as required	45662
in division (D)(1) of this section, or certification pursuant to	45663
division (D)(2) of this section, the vendor shall collect and	45664
remit the tax based on division (C) of this section.	45665

(4) Nothing in this section shall limit a person's obligation	45666
for sales or use tax to any state in which a digital good,	45667
computer software, or service is concurrently available for use,	45668
nor limit a person's ability under local, state, or federal law,	45669
to claim a credit for sales or use taxes legally due and paid to	45670
other jurisdictions.	45671

(E) A person who holds a direct payment permit issued under	45672
section 5739.031 of the Revised Code is not required to deliver an	45673
exemption certificate claiming multiple points of use to a vendor.	45674
But such permit holder shall comply with division (D)(2) of this	45675
section in apportioning the tax due on a digital good, computer	45676
software, or a service for use in business that will be	45677
concurrently available for use in more than one taxing	45678
jurisdiction.	45679

(F)(1) Notwithstanding divisions (C)(1) to (5) of this	45680
section, the consumer of direct mail that is not a holder of a	45681
direct payment permit shall provide to the vendor in conjunction	45682
with the sale either an exemption certificate claiming direct mail	45683
prescribed by the tax commissioner, or information to show the	45684
jurisdictions to which the direct mail is delivered to recipients.	45685

(2) Upon receipt of such exemption certificate, the vendor is	45686
relieved of all obligations to collect, pay, or remit the	45687
applicable tax and the consumer is obligated to pay that tax on a	45688
direct pay basis. An exemption certificate claiming direct mail	45689
shall remain in effect for all future sales of direct mail by the	45690
vendor to the consumer until it is revoked in writing.	45691

(3) Upon receipt of information from the consumer showing the	45692
jurisdictions to which the direct mail is delivered to recipients,	45693
the vendor shall collect the tax according to the delivery	45694
information provided by the consumer. In the absence of bad faith,	45695
the vendor is relieved of any further obligation to collect tax on	45696
any transaction where the vendor has collected tax pursuant to the	45697
delivery information provided by the consumer.	45698

(4) If the consumer of direct mail does not have a direct	45699
payment permit and does not provide the vendor with either an	45700
exemption certificate claiming direct mail or delivery information	45701
as required by division (F)(1) of this section, the vendor shall	45702
collect the tax according to division (C)(5) of this section.	45703
Nothing in division (F)(4) of this section shall limit a	45704
consumer's obligation to pay sales or use tax to any state to	45705
which the direct mail is delivered.	45706

(5) If a consumer of direct mail provides the vendor with	45707
documentation of direct payment authority, the consumer shall not	45708
be required to provide an exemption certificate claiming direct	45709
mail or delivery information to the vendor.	45710

(G) If the vendor provides lodging to transient guests as	45711
specified in division (B)(2) of section 5739.01 of the Revised	45712
Code, the sale shall be sourced to the location where the lodging	45713
is located.	45714

(H)(1) As used in this division and division (I) of this	45715
section, "transportation equipment" means any of the following:	45716

(a) Locomotives and railcars that are utilized for the	45717
carriage of persons or property in interstate commerce.	45718

(b) Trucks and truck-tractors with a gross vehicle weight	45719
rating of greater than ten thousand pounds, trailers,	45720
semi-trailers, or passenger buses that are registered through the	45721
international registration plan and are operated under authority	45722
of a carrier authorized and certificated by the United States	45723
department of transportation or another federal authority to	45724
engage in the carriage of persons or property in interstate	45725
commerce.	45726

(c) Aircraft that are operated by air carriers authorized and	45727
certificated by the United States department of transportation or	45728
another federal authority to engage in the carriage of persons or	45729
property in interstate or foreign commerce.	45730

(d) Containers designed for use on and component parts	45731
attached to or secured on the items set forth in division	45732
(H)(1)(a), (b), or (c) of this section.	45733

(2) A sale, lease, or rental of transportation equipment	45734
shall be sourced pursuant to division (C) of this section.	45735

(I)(1) A lease or rental of tangible personal property that	45736
does not require recurring periodic payments shall be sourced	45737
pursuant to division (C) of this section.	45738

(2) A lease or rental of tangible personal property that	45739
requires recurring periodic payments shall be sourced as follows:	45740

(a) In the case of a motor vehicle, other than a motor	45741
vehicle that is transportation equipment, or an aircraft, other	45742
than an aircraft that is transportation equipment, such lease or	45743
rental shall be sourced as follows:	45744

(i) An accelerated tax payment on a lease or rental taxed	45745
pursuant to division (A)(2) of section 5739.02 of the Revised Code	45746
shall be sourced to the primary property location at the time the	45747
lease or rental is consummated. Any subsequent taxable charges on	45748
the lease or rental shall be sourced to the primary property	45749
location for the period in which the charges are incurred.	45750

(ii) For a lease or rental taxed pursuant to division (A)(3)	45751
of section 5739.02 of the Revised Code, each lease or rental	45752
installment shall be sourced to the primary property location for	45753
the period covered by the installment.	45754

(b) In the case of a lease or rental of all other tangible	45755
personal property, other than transportation equipment, such lease	45756
or rental shall be sourced as follows:	45757

(i) An accelerated tax payment on a lease or rental that is	45758
taxed pursuant to division (A)(2) of section 5739.02 of the	45759
Revised Code shall be sourced pursuant to division (C) of this	45760
section at the time the lease or rental is consummated. Any	45761
subsequent taxable charges on the lease or rental shall be sourced	45762
to the primary property location for the period in which the	45763
charges are incurred.	45764

(ii) For a lease or rental that is taxed pursuant to division	45765
(A)(3) of section 5739.02 of the Revised Code, the initial lease	45766
or rental installment shall be sourced pursuant to division (C) of	45767
this section. Each subsequent installment shall be sourced to the	45768
primary property location for the period covered by the	45769
installment.	45770

(3) As used in division (I) of this section, "primary	45771
property location" means an address for tangible personal property	45772
provided by the lessee or renter that is available to the lessor	45773
or owner from its records maintained in the ordinary course of	45774
business, when use of that address does not constitute bad faith.	45775

Sec. 5739.12. (A) Each person who has or is required to have	45776
a vendor's license, on or before the twenty-third day of each	45777
month, shall make and file a return for the preceding month, on	45778
forms prescribed by the tax commissioner, and shall pay the tax	45779
shown on the return to be due. The commissioner may require a	45780
vendor that operates from multiple locations or has multiple	45781
vendor's licenses to report all tax liabilities on one	45782
consolidated return. The return shall show the amount of tax due	45783
from the vendor to the state for the period covered by the return	45784
and such other information as the commissioner deems necessary for	45785
the proper administration of this chapter. The commissioner may	45786
extend the time for making and filing returns and paying the tax,	45787
and may require that the return for the last month of any annual	45788
or semiannual period, as determined by the commissioner, be a	45789
reconciliation return detailing the vendor's sales activity for	45790
the preceding annual or semiannual period. The reconciliation	45791
return shall be filed by the last day of the month following the	45792
last month of the annual or semiannual period. The commissioner	45793
may remit all or any part of amounts or penalties that may become	45794
due under this chapter and may adopt rules relating thereto. Such	45795
return shall be filed by mailing it to the tax commissioner,	45796
together with payment of the amount of tax shown to be due thereon	45797
after deduction of any discount provided for under this section.	45798
Remittance shall be made payable to the treasurer of state. The	45799
return shall be considered filed when received by the tax	45800
commissioner, and the payment shall be considered made when	45801
received by the tax commissioner or when credited to an account	45802
designated by the treasurer of state or the tax commissioner.	45803

(B)(1) If the return is filed and the amount of tax shown	45804
thereon to be due is paid on or before the date such return is	45805
required to be filed, the vendor shall be entitled to the	45806
followinga discount of:	45807

(1)(a) On and after July 1, 2005, and on and before June 30	45808
July 31, 2007, nine-tenths of one per cent of the amount shown to	45809
be due on the return;	45810

(2)(b) On and after JulyAugust 1, 2007, three-fourths of one	45811
per cent of the amount shown to be due on the return, provided	45812
that the maximum discount allowable on any return shall be thirty	45813
dollars.	45814

(2) A vendor that has selected a certified service provider	45815
as its agent shall not be entitled to the discount if the	45816
certified service provider receives a monetary allowance pursuant	45817
to section 5739.06 of the Revised Code for performing the vendor's	45818
sales and use tax functions in this state. Amounts paid to the	45819
clerk of courts pursuant to section 4505.06 of the Revised Code	45820
shall be subject to the applicable discount. The discount shall be	45821
in consideration for prompt payment to the clerk of courts and for	45822
other services performed by the vendor in the collection of the	45823
tax.	45824

(3) Vendors of watercraft or outboard motors required to be	45825
titled under section 1548.06 of the Revised Code, dealers of motor	45826
vehicles required to be titled under section 4505.06 of the	45827
Revised Code, and dealers of off-highway motorcycles or	45828
all-purpose vehicles required to be titled under section 4519.55	45829
of the Revised Code that submit to the clerk of the court of	45830
common pleas payment of the tax collected on sales of watercraft,	45831
outboard motors, motor vehicles, off-highway motorcycles, or	45832
all-purpose vehicles may, when computing the discount provided for	45833
in division (B)(1) of this section, include those sales on the	45834
return for the period in which the sales were made. If the tax	45835
reported to be due on the return is less than the discount allowed	45836
under this section, the vendor or dealer may file a claim for	45837
refund of any unused discount in the manner provided in section	45838
5739.07 of the Revised Code, provided that such refund claims may	45839
not be filed more frequently than twice per year by a vendor or	45840
dealer.	45841

(C)(1) Upon application to the commissioner, a vendor who is	45842
required to file monthly returns may be relieved of the	45843
requirement to report and pay the actual tax due, provided that	45844
the vendor agrees to remit to the tax commissioner payment of not	45845
less than an amount determined by the commissioner to be the	45846
average monthly tax liability of the vendor, based upon a review	45847
of the returns or other information pertaining to such vendor for	45848
a period of not less than six months nor more than two years	45849
immediately preceding the filing of the application. Vendors who	45850
agree to the above conditions shall make and file an annual or	45851
semiannual reconciliation return, as prescribed by the	45852
commissioner. The reconciliation return shall be filed by mailing	45853
or delivering it to the tax commissioner, together with payment of	45854
the amount of tax shown to be due thereon after deduction of any	45855
discount provided in this section. Remittance shall be made	45856
payable to the treasurer of state. Failure of a vendor to comply	45857
with any of the above conditions may result in immediate	45858
reinstatement of the requirement of reporting and paying the	45859
actual tax liability on each monthly return, and the commissioner	45860
may at the commissioner's discretion deny the vendor the right to	45861
report and pay based upon the average monthly liability for a	45862
period not to exceed two years. The amount ascertained by the	45863
commissioner to be the average monthly tax liability of a vendor	45864
may be adjusted, based upon a review of the returns or other	45865
information pertaining to the vendor for a period of not less than	45866
six months nor more than two years preceding such adjustment.	45867

(2) The commissioner may authorize vendors whose tax	45868
liability is not such as to merit monthly returns, as ascertained	45869
by the commissioner upon the basis of administrative costs to the	45870
state, to make and file returns at less frequent intervals. When	45871
returns are filed at less frequent intervals in accordance with	45872
such authorization, the vendor shall be allowed the discount	45873
provided in this section in consideration for prompt payment with	45874
the return, provided the return is filed together with payment of	45875
the amount of tax shown to be due thereon, at the time specified	45876
by the commissioner, but a vendor that has selected a certified	45877
service provider as its agent shall not be entitled to the	45878
discount.	45879

(D) Any vendor who fails to file a return or pay the full	45880
amount of the tax shown on the return to be due under this section	45881
and the rules of the commissioner may, for each such return the	45882
vendor fails to file or each such tax the vendor fails to pay in	45883
full as shown on the return within the period prescribed by this	45884
section and the rules of the commissioner, be required to forfeit	45885
and pay into the state treasury an additional charge not exceeding	45886
fifty dollars or ten per cent of the tax required to be paid for	45887
the reporting period, whichever is greater, as revenue arising	45888
from the tax imposed by this chapter, and such sum may be	45889
collected by assessment in the manner provided in section 5739.13	45890
of the Revised Code. The commissioner may remit all or a portion	45891
of the additional charge and may adopt rules relating to the	45892
imposition and remission of the additional charge.	45893

(E) If the amount required to be collected by a vendor from	45894
consumers is in excess of the applicable percentage of the	45895
vendor's receipts from sales that are taxable under section	45896
5739.02 of the Revised Code, or in the case of sales subject to a	45897
tax levied pursuant to section 5739.021, 5739.023, or 5739.026 of	45898
the Revised Code, in excess of the percentage equal to the	45899
aggregate rate of such taxes and the tax levied by section 5739.02	45900
of the Revised Code, such excess shall be remitted along with the	45901
remittance of the amount of tax due under section 5739.10 of the	45902
Revised Code.	45903

(F) The commissioner, if the commissioner deems it necessary	45904
in order to insure the payment of the tax imposed by this chapter,	45905
may require returns and payments to be made for other than monthly	45906
periods. The returns shall be signed by the vendor or the vendor's	45907
authorized agent.	45908

(G) Any vendor required to file a return and pay the tax	45909
under this section, whose total payment equals or exceeds the	45910
amount shown in division (A) of section 5739.122 of the Revised	45911
Code, shall make each payment required by this section in the	45912
second ensuing and each succeeding year by electronic funds	45913
transfer as prescribed by, and on or before the dates specified	45914
in, section 5739.122 of the Revised Code, except as otherwise	45915
prescribed by that section. For a vendor that operates from	45916
multiple locations or has multiple vendor's licenses, in	45917
determining whether the vendor's total payment equals or exceeds	45918
the amount shown in division (A) of that section, the vendor's	45919
total payment amount shall be the amount of the vendor's total tax	45920
liability for the previous calendar year for all of the vendor's	45921
locations or licenses.	45922

Sec. 5739.21.  (A) Four and two-tenthsOne hundred per cent	45923
of all money deposited into the state treasury under sections	45924
5739.01 to 5739.31 of the Revised Code and not required to be	45925
distributed as provided in section 5739.102 of the Revised Code or	45926
division (B) of this section shall be credited to the local	45927
government fund for distribution in accordance with section	45928
5747.50 of the Revised Code, six-tenths of one per cent shall be	45929
credited to the local government revenue assistance fund for	45930
distribution in accordance with section 5747.61 of the Revised	45931
Code, and ninety-five and two-tenths per cent shall be credited to	45932
the general revenue fund.	45933

(B)(1) In any case where any county or transit authority has	45934
levied a tax or taxes pursuant to section 5739.021, 5739.023, or	45935
5739.026 of the Revised Code, the tax commissioner shall, within	45936
forty-five days after the end of each month, determine and certify	45937
to the director of budget and management the amount of the	45938
proceeds of such tax or taxes received during that month from	45939
billings and assessments, or associated with tax returns or	45940
reports filed during that month, to be returned to the county or	45941
transit authority levying the tax or taxes. The amount to be	45942
returned to each county and transit authority shall be a fraction	45943
of the aggregate amount of money collected with respect to each	45944
area in which one or more of such taxes are concurrently in effect	45945
with the tax levied by section 5739.02 of the Revised Code. The	45946
numerator of the fraction is the rate of the tax levied by the	45947
county or transit authority and the denominator of the fraction is	45948
the aggregate rate of such taxes applicable to such area. The	45949
amount to be returned to each county or transit authority shall be	45950
reduced by the amount of any refunds of county or transit	45951
authority tax paid pursuant to section 5739.07 of the Revised Code	45952
during the same month, or transfers made pursuant to division	45953
(B)(2) of section 5703.052 of the Revised Code.	45954

(2) On a periodic basis, using the best information	45955
available, the tax commissioner shall distribute any amount of a	45956
county or transit authority tax that cannot be distributed under	45957
division (B)(1) of this section. Through audit or other means, the	45958
commissioner shall attempt to obtain the information necessary to	45959
make the distribution as provided under that division and, on	45960
receipt of that information, shall make adjustments to	45961
distributions previously made under this division.	45962

(C) The aggregate amount to be returned to any county or	45963
transit authority shall be reduced by one per cent, which shall be	45964
certified directly to the credit of the local sales tax	45965
administrative fund, which is hereby created in the state	45966
treasury. For the purpose of determining the amount to be returned	45967
to a county and transit authority in which the rate of tax imposed	45968
by the transit authority has been reduced under section 5739.028	45969
of the Revised Code, the tax commissioner shall use the respective	45970
rates of tax imposed by the county or transit authority that	45971
results from the change in the rates authorized under that	45972
section.	45973

(D) The director of budget and management shall transfer,	45974
from the same funds and in the same proportions specified in	45975
division (A) of this section, to the permissive tax distribution	45976
fund created by division (B)(1) of section 4301.423 of the Revised	45977
Code and to the local sales tax administrative fund, the amounts	45978
certified by the tax commissioner. The tax commissioner shall	45979
then, on or before the twentieth day of the month in which such	45980
certification is made, provide for payment of such respective	45981
amounts to the county treasurer and to the fiscal officer of the	45982
transit authority levying the tax or taxes. The amount transferred	45983
to the local sales tax administrative fund is for use by the tax	45984
commissioner in defraying costs incurred in administering such	45985
taxes levied by a county or transit authority.	45986

Sec. 5739.213.  Notwithstanding section 5739.21 or 5741.03 of	45987
the Revised Code, the revenue collected from the tax due under	45988
section 5739.029 of the Revised Code from the rate in excess of	45989
the rate imposed under section 5739.02 of the Revised Code shall	45990
be distributed among all counties of this state as required by	45991
this section. The amount distributed to each county each year	45992
shall bear the same ratio to the amount of such revenue as the	45993
number of motor vehicle registrations in that county in the	45994
preceding calendar year bears to the total number of motor vehicle	45995
registrations in all counties in the preceding calendar year. The	45996
distribution shall be computed before the first day of May each	45997
year and applies to revenue collected from sales subject to the	45998
tax occurring between the first day of the preceding March through	45999
the last day of the following February. The amount to be so	46000
distributed to each county shall be credited to the funds of the	46001
county as provided by divisions (A) and (B) of section 5739.211 of	46002
the Revised Code in proportion to the rate of taxes apportioned to	46003
each such fund from levies under section 5739.021 or 5739.026 of	46004
the Revised Code.	46005

Sec. 5741.02.  (A)(1) For the use of the general revenue fund	46006
of the state, an excise tax is hereby levied on the storage, use,	46007
or other consumption in this state of tangible personal property	46008
or the benefit realized in this state of any service provided. The	46009
tax shall be collected as provided in section 5739.025 of the	46010
Revised Code, provided that on and after July 1, 2003, and on or	46011
before June 30, 2005, the rate of the tax shall be six per cent.	46012
On and after July 1, 2005, the rate of the tax shall be five and	46013
one-half per cent.	46014

(2) In the case of the lease or rental, with a fixed term of	46015
more than thirty days or an indefinite term with a minimum period	46016
of more than thirty days, of any motor vehicles designed by the	46017
manufacturer to carry a load of not more than one ton, watercraft,	46018
outboard motor, or aircraft, or of any tangible personal property,	46019
other than motor vehicles designed by the manufacturer to carry a	46020
load of more than one ton, to be used by the lessee or renter	46021
primarily for business purposes, the tax shall be collected by the	46022
seller at the time the lease or rental is consummated and shall be	46023
calculated by the seller on the basis of the total amount to be	46024
paid by the lessee or renter under the lease or rental agreement.	46025
If the total amount of the consideration for the lease or rental	46026
includes amounts that are not calculated at the time the lease or	46027
rental is executed, the tax shall be calculated and collected by	46028
the seller at the time such amounts are billed to the lessee or	46029
renter. In the case of an open-end lease or rental, the tax shall	46030
be calculated by the seller on the basis of the total amount to be	46031
paid during the initial fixed term of the lease or rental, and for	46032
each subsequent renewal period as it comes due. As used in this	46033
division, "motor vehicle" has the same meaning as in section	46034
4501.01 of the Revised Code, and "watercraft" includes an outdrive	46035
unit attached to the watercraft.	46036

(3) Except as provided in division (A)(2) of this section, in	46037
the case of a transaction, the price of which consists in whole or	46038
part of the lease or rental of tangible personal property, the tax	46039
shall be measured by the installments of those leases or rentals.	46040

(B) Each consumer, storing, using, or otherwise consuming in	46041
this state tangible personal property or realizing in this state	46042
the benefit of any service provided, shall be liable for the tax,	46043
and such liability shall not be extinguished until the tax has	46044
been paid to this state; provided, that the consumer shall be	46045
relieved from further liability for the tax if the tax has been	46046
paid to a seller in accordance with section 5741.04 of the Revised	46047
Code or prepaid by the seller in accordance with section 5741.06	46048
of the Revised Code.	46049

(C) The tax does not apply to the storage, use, or	46050
consumption in this state of the following described tangible	46051
personal property or services, nor to the storage, use, or	46052
consumption or benefit in this state of tangible personal property	46053
or services purchased under the following described circumstances:	46054

(1) When the sale of property or service in this state is	46055
subject to the excise tax imposed by sections 5739.01 to 5739.31	46056
of the Revised Code, provided said tax has been paid;	46057

(2) Except as provided in division (D) of this section,	46058
tangible personal property or services, the acquisition of which,	46059
if made in Ohio, would be a sale not subject to the tax imposed by	46060
sections 5739.01 to 5739.31 of the Revised Code;	46061

(3) Property or services, the storage, use, or other	46062
consumption of or benefit from which this state is prohibited from	46063
taxing by the Constitution of the United States, laws of the	46064
United States, or the Constitution of this state. This exemption	46065
shall not exempt from the application of the tax imposed by this	46066
section the storage, use, or consumption of tangible personal	46067
property that was purchased in interstate commerce, but that has	46068
come to rest in this state, provided that fuel to be used or	46069
transported in carrying on interstate commerce that is stopped	46070
within this state pending transfer from one conveyance to another	46071
is exempt from the excise tax imposed by this section and section	46072
5739.02 of the Revised Code;	46073

(4) Transient use of tangible personal property in this state	46074
by a nonresident tourist or vacationer, or a nonbusiness use	46075
within this state by a nonresident of this state, if the property	46076
so used was purchased outside this state for use outside this	46077
state and is not required to be registered or licensed under the	46078
laws of this state;	46079

(5) Tangible personal property or services rendered, upon	46080
which taxes have been paid to another jurisdiction to the extent	46081
of the amount of the tax paid to such other jurisdiction. Where	46082
the amount of the tax imposed by this section and imposed pursuant	46083
to section 5741.021, 5741.022, or 5741.023 of the Revised Code	46084
exceeds the amount paid to another jurisdiction, the difference	46085
shall be allocated between the tax imposed by this section and any	46086
tax imposed by a county or a transit authority pursuant to section	46087
5741.021, 5741.022, or 5741.023 of the Revised Code, in proportion	46088
to the respective rates of such taxes.	46089

As used in this subdivision, "taxes paid to another	46090
jurisdiction" means the total amount of retail sales or use tax or	46091
similar tax based upon the sale, purchase, or use of tangible	46092
personal property or services rendered legally, levied by and paid	46093
to another state or political subdivision thereof, or to the	46094
District of Columbia, where the payment of such tax does not	46095
entitle the taxpayer to any refund or credit for such payment.	46096

(6) The transfer of a used manufactured home or used mobile	46097
home, as defined by section 5739.0210 of the Revised Code, made on	46098
or after January 1, 2000;	46099

(7) Drugs that are or are intended to be distributed free of	46100
charge to a practitioner licensed to prescribe, dispense, and	46101
administer drugs to a human being in the course of a professional	46102
practice and that by law may be dispensed only by or upon the	46103
order of such a practitioner.	46104

(8) Computer equipment and related software leased from a	46105
lessor located outside this state and initially received in this	46106
state on behalf of the consumer by a third party that will retain	46107
possession of such property for not more than ninety days and that	46108
will, within that ninety-day period, deliver such property to the	46109
consumer at a location outside this state. Division (C)(8) of this	46110
section does not provide exemption from taxation for any otherwise	46111
taxable charges associated with such property while it is in this	46112
state or for any subsequent storage, use, or consumption of such	46113
property in this state by or on behalf of the consumer.	46114

(9) Cigarettes that have a wholesale value of three hundred	46115
dollars or less used, stored, or consumed, but not for resale, in	46116
any month.	46117

(10) Tangible personal property held for sale by a person but	46118
not for that person's own use and donated by that person, without	46119
charge or other compensation, to either of the following:	46120

(a) A nonprofit organization operated exclusively for	46121
charitable purposes in this state, no part of the net income of	46122
which inures to the benefit of any private shareholder or	46123
individual and no substantial part of the activities of which	46124
consists of carrying on propaganda or otherwise attempting to	46125
influence legislation; or	46126

(b) This state or any political subdivision of this state,	46127
but only if donated for exclusively public purposes.	46128

For the purposes of division (C)(10)(9) of this section,	46129
"charitable purposes" has the same meaning as in division (B)(12)	46130
of section 5739.02 of the Revised Code.	46131

(D) The tax applies to the storage, use, or other consumption	46132
in this state of tangible personal property or services, the	46133
acquisition of which at the time of sale was excepted under	46134
division (E) of section 5739.01 of the Revised Code from the tax	46135
imposed by section 5739.02 of the Revised Code, but which has	46136
subsequently been temporarily or permanently stored, used, or	46137
otherwise consumed in a taxable manner.	46138

(E)(1)(a) If any transaction is claimed to be exempt under	46139
division (E) of section 5739.01 of the Revised Code or under	46140
section 5739.02 of the Revised Code, with the exception of	46141
divisions (B)(1) to (11) or (28) of section 5739.02 of the Revised	46142
Code, the consumer shall provide to the seller, and the seller	46143
shall obtain from the consumer, a certificate specifying the	46144
reason that the transaction is not subject to the tax. The	46145
certificate shall be in such form, and shall be provided either in	46146
a hard copy form or electronic form, as the tax commissioner	46147
prescribes.	46148

(b) A seller that obtains a fully completed exemption	46149
certificate from a consumer is relieved of liability for	46150
collecting and remitting tax on any sale covered by that	46151
certificate. If it is determined the exemption was improperly	46152
claimed, the consumer shall be liable for any tax due on that sale	46153
under this chapter. Relief under this division from liability does	46154
not apply to any of the following:	46155

(i) A seller that fraudulently fails to collect tax;

46156

(ii) A seller that solicits consumers to participate in the	46157
unlawful claim of an exemption;	46158

(iii) A seller that accepts an exemption certificate from a	46159
consumer that claims an exemption based on who purchases or who	46160
sells property or a service, when the subject of the transaction	46161
sought to be covered by the exemption certificate is actually	46162
received by the consumer at a location operated by the seller in	46163
this state, and this state has posted to its web site an exemption	46164
certificate form that clearly and affirmatively indicates that the	46165
claimed exemption is not available in this state;	46166

(iv) A seller that accepts an exemption certificate from a	46167
consumer who claims a multiple points of use exemption under	46168
division (D) of section 5739.033 of the Revised Code, if the item	46169
purchased is tangible personal property, other than prewritten	46170
computer software.	46171

(2) The seller shall maintain records, including exemption	46172
certificates, of all sales on which a consumer has claimed an	46173
exemption, and provide them to the tax commissioner on request.	46174

(3) If no certificate is provided or obtained within ninety	46175
days after the date on which the transaction is consummated, it	46176
shall be presumed that the tax applies. Failure to have so	46177
provided or obtained a certificate shall not preclude a seller,	46178
within one hundred twenty days after the tax commissioner gives	46179
written notice of intent to levy an assessment, from either	46180
establishing that the transaction is not subject to the tax, or	46181
obtaining, in good faith, a fully completed exemption certificate.	46182

(4) If a transaction is claimed to be exempt under division	46183
(B)(13) of section 5739.02 of the Revised Code, the contractor	46184
shall obtain certification of the claimed exemption from the	46185
contractee. This certification shall be in addition to an	46186
exemption certificate provided by the contractor to the seller. A	46187
contractee that provides a certification under this division shall	46188
be deemed to be the consumer of all items purchased by the	46189
contractor under the claim of exemption, if it is subsequently	46190
determined that the exemption is not properly claimed. The	46191
certification shall be in such form as the tax commissioner	46192
prescribes.	46193

(F) A seller who files a petition for reassessment contesting	46194
the assessment of tax on transactions for which the seller	46195
obtained no valid exemption certificates, and for which the seller	46196
failed to establish that the transactions were not subject to the	46197
tax during the one-hundred-twenty-day period allowed under	46198
division (E) of this section, may present to the tax commissioner	46199
additional evidence to prove that the transactions were exempt.	46200
The seller shall file such evidence within ninety days of the	46201
receipt by the seller of the notice of assessment, except that,	46202
upon application and for reasonable cause, the tax commissioner	46203
may extend the period for submitting such evidence thirty days.	46204

(G) For the purpose of the proper administration of sections	46205
5741.01 to 5741.22 of the Revised Code, and to prevent the evasion	46206
of the tax hereby levied, it shall be presumed that any use,	46207
storage, or other consumption of tangible personal property in	46208
this state is subject to the tax until the contrary is	46209
established.	46210

(H) The tax collected by the seller from the consumer under	46211
this chapter is not part of the price, but is a tax collection for	46212
the benefit of the state, and of counties levying an additional	46213
use tax pursuant to section 5741.021 or 5741.023 of the Revised	46214
Code and of transit authorities levying an additional use tax	46215
pursuant to section 5741.022 of the Revised Code. Except for the	46216
discount authorized under section 5741.12 of the Revised Code and	46217
the effects of any rounding pursuant to section 5703.055 of the	46218
Revised Code, no person other than the state or such a county or	46219
transit authority shall derive any benefit from the collection of	46220
such tax.	46221

Sec. 5741.03.  (A) Four and two-tenthsOne hundred per cent	46222
of all money deposited into the state treasury under sections	46223
5741.01 to 5741.22 of the Revised Code that is not required to be	46224
distributed as provided in division (B) of this section shall be	46225
credited to the local government fund for distribution in	46226
accordance with section 5747.50 of the Revised Code, six-tenths of	46227
one per cent shall be credited to the local government revenue	46228
assistance fund for distribution in accordance with section	46229
5747.61 of the Revised Code, and ninety-five and two-tenths per	46230
cent shall be credited to the general revenue fund.	46231

(B) In any case where any county or transit authority has	46232
levied a tax or taxes pursuant to section 5741.021, 5741.022, or	46233
5741.023 of the Revised Code, the tax commissioner shall, within	46234
forty-five days after the end of each month, determine and certify	46235
to the director of budget and management the amount of the	46236
proceeds of such tax or taxes from billings and assessments	46237
received during that month, or shown on tax returns or reports	46238
filed during that month, to be returned to the county or transit	46239
authority levying the tax or taxes, which amounts shall be	46240
determined in the manner provided in section 5739.21 of the	46241
Revised Code. The director of budget and management shall	46242
transfer, from the same funds and in the same proportions	46243
specified in division (A) of this section, to the permissive tax	46244
distribution fund created by division (B)(1) of section 4301.423	46245
of the Revised Code and to the local sales tax administrative fund	46246
created by division (B)(C) of section 5739.21 of the Revised Code,	46247
the amounts certified by the tax commissioner. The tax	46248
commissioner shall then, on or before the twentieth day of the	46249
month in which such certification is made, provide for payment of	46250
such respective amounts to the county treasurer or to the fiscal	46251
officer of the transit authority levying the tax or taxes. The	46252
amount transferred to the local sales tax administrative fund is	46253
for use by the tax commissioner in defraying costs the	46254
commissioner incurs in administering such taxes levied by a county	46255
or transit authority.	46256

Sec. 5743.01.  As used in this chapter:

46257

(A) "Person" includes individuals, firms, partnerships,	46258
associations, joint-stock companies, corporations, combinations of	46259
individuals of any form, and the state and any of its political	46260
subdivisions.	46261

(B) "Wholesale dealer" includes only those persons:

46262

(1) Who bring in or cause to be brought into this state	46263
unstamped cigarettes purchased directly from the manufacturer,	46264
producer, or importer of cigarettes for sale in this state but	46265
does not include persons who bring in or cause to be brought into	46266
this state cigarettes with respect to which no evidence of tax	46267
payment is required thereon as provided in section 5743.04 of the	46268
Revised Code; or	46269

(2) Who are engaged in the business of selling cigarettes or	46270
tobacco products to others for the purpose of resale.	46271

"Wholesale dealer" does not include any cigarette	46272
manufacturer, export warehouse proprietor, or importer with a	46273
valid permit under 26 U.S.C. 5713 if that person sells cigarettes	46274
in this state only to wholesale dealers holding valid and current	46275
licenses under section 5743.15 of the Revised Code or to an export	46276
warehouse proprietor or another manufacturer.	46277

(C) "Retail dealer" includes:

46278

(1) In reference to dealers in cigarettes, every person other	46279
than a wholesale dealer engaged in the business of selling	46280
cigarettes in this state, regardless of whether the person is	46281
located in this state or elsewhere, and regardless of quantity,	46282
amount, or number of sales;	46283

(2) In reference to dealers in tobacco products, any person	46284
in this state engaged in the business of selling tobacco products	46285
to ultimate consumers in this state, regardless of quantity,	46286
amount, or number of sales.	46287

(D) "Sale" includes exchange, barter, gift, offer for sale,	46288
and distribution, and includes transactions in interstate or	46289
foreign commerce.	46290

(E) "Cigarettes" includes any roll for smoking made wholly or	46291
in part of tobacco, irrespective of size or shape, and whether or	46292
not such tobacco is flavored, adulterated, or mixed with any other	46293
ingredient, the wrapper or cover of which is made of paper,	46294
reconstituted cigarette tobacco, homogenized cigarette tobacco,	46295
cigarette tobacco sheet, or any similar materials other than cigar	46296
tobacco.	46297

(F) "Package" means the individual package, box, or other	46298
container in or from which retail sales of cigarettes are normally	46299
made or intended to be made.	46300

(G) "Stamp" includes an impression made by a metering device	46301
as provided for in section 5743.04 of the Revised Code.	46302

(H) "Storage" includes any keeping or retention of cigarettes	46303
or tobacco products for use or consumption in this state.	46304

(I) "Use" includes the exercise of any right or power	46305
incidental to the ownership of cigarettes or tobacco products.	46306

(J) "Tobacco product" or "other tobacco product" means any	46307
product made from tobacco, other than cigarettes, that is made for	46308
smoking or chewing, or both, and snuff.	46309

(K) "Wholesale price" means the invoice price, including all	46310
federal excise taxes, at which the manufacturer of the tobacco	46311
product sells the tobacco product to unaffiliated distributors,	46312
excluding any discounts based on the method of payment of the	46313
invoice or on time of payment of the invoice. If the taxpayer buys	46314
from other than a manufacturer, "wholesale price" means the	46315
invoice price, including all federal excise taxes and excluding	46316
any discounts based on the method of payment of the invoice or on	46317
time of payment of the invoice.	46318

(L) "Distributor" means:

46319

(1) Any manufacturer who sells, barters, exchanges, or	46320
distributes tobacco products to a retail dealer in the state,	46321
except when selling to a retail dealer that has filed with the	46322
manufacturer a signed statement agreeing to pay and be liable for	46323
the tax imposed by section 5743.51 of the Revised Code;	46324

(2) Any wholesale dealer located in the state who receives	46325
tobacco products from a manufacturer, or who receives tobacco	46326
products on which the tax imposed by this chapter has not been	46327
paid;	46328

(3) Any wholesale dealer located outside the state who sells,	46329
barters, exchanges, or distributes tobacco products to a wholesale	46330
or retail dealer in the state; or	46331

(4) Any retail dealer who receives tobacco products on which	46332
the tax has not or will not be paid by another distributor,	46333
including a retail dealer that has filed a signed statement with a	46334
manufacturer in which the retail dealer agrees to pay and be	46335
liable for the tax that would otherwise be imposed on the	46336
manufacturer by section 5743.51 of the Revised Code.	46337

(M) "Taxpayer" means any person liable for the tax imposed by	46338
section 5743.51, 5743.62, or 5743.63 of the Revised Code.	46339

(N) "Seller" means any person located outside this state	46340
engaged in the business of selling tobacco products to consumers	46341
for storage, use, or other consumption in this state.	46342

(O) "Manufacturer" means any person who manufactures and	46343
sells cigarettes or tobacco products.	46344

(P) "Importer" means any person that imports is authorized,	46345
under a valid permit issued under Section 5713 of the Internal	46346
Revenue Code, to import finished cigarettes into the United	46347
States, either directly or indirectly.	46348

Sec. 5743.20.  No person shall sell any cigarettes both as a	46349
retail dealer and as a wholesale dealer at the same place of	46350
business. No person other than a licensed wholesale dealer shall	46351
sell cigarettes to a licensed retail dealer. No retail dealer	46352
shall purchase cigarettes from any person other than a licensed	46353
wholesale dealer.	46354

Subject to section 5743.031 of the Revised Code, a licensed	46355
wholesale dealer may not sell cigarettes to any person in this	46356
state other than a licensed retail dealer, except a licensed	46357
wholesale dealer may sell cigarettes to another licensed wholesale	46358
dealer if the tax commissioner has authorized the sale of the	46359
cigarettes between those wholesale dealers and the wholesale	46360
dealer that sells the cigarettes received them directly from a	46361
licensed manufacturer or licensed importer.	46362

The tax commissioner shall adopt rules governing sales of	46363
cigarettes between licensed wholesale dealers, including rules	46364
establishing criteria for authorizing such sales.	46365

No manufacturer or importer shall sell cigarettes to any	46366
person in this state other than to a licensed wholesale dealer or	46367
licensed importer. No importer shall purchase cigarettes from any	46368
person other than a licensed manufacturer or licensed importer.	46369

A retail dealer may purchase other tobacco products only from	46370
a licensed distributor. A licensed distributor may sell tobacco	46371
products only to a retail dealer, except a licensed distributor	46372
may sell tobacco products to another licensed distributor if the	46373
tax commissioner has authorized the sale of the tobacco products	46374
between those distributors and the distributor that sells the	46375
tobacco products received them directly from a manufacturer or	46376
importer of tobacco products.	46377

The tax commissioner may adopt rules governing sales of	46378
tobacco products between licensed distributors, including rules	46379
establishing criteria for authorizing such sales.	46380

The identities of licensed distributorscigarette	46381
manufacturers and importers, licensed cigarette wholesalers,	46382
licensed distributors of other tobacco products, and registered	46383
manufacturers, importers, and brokers of other tobacco products	46384
are subject to public disclosure. The tax commissioner shall	46385
maintain an alphabetical list of all such distributors	46386
manufacturers, importers, wholesalers, distributors, and brokers,	46387
shall post the list on a web site accessible to the public through	46388
the internet, and shall periodically update the web site posting.	46389

As used in this section, "licensed" means the manufacturer,	46390
importer, wholesale dealer, retail dealer, or distributor holds a	46391
current and valid license issued under section 5743.15 or 5743.61	46392
of the Revised Code, and "registered" means registered with the	46393
tax commissioner under section 5743.66 of the Revised Code.	46394

Sec. 5745.02.  (A) The annual report filed under section	46395
5745.03 of the Revised Code determines a taxpayer's Ohio net	46396
income and the portion of Ohio net income to be apportioned to a	46397
municipal corporation.	46398

(B) A taxpayer's Ohio net income is determined by multiplying	46399
the taxpayer's adjusted federal taxable income by the sum of the	46400
property factor multiplied by one-third, the payroll factor	46401
multiplied by one-third, and the sales factor multiplied by	46402
one-third. If the denominator of one of the factors is zero, the	46403
remaining two factors each shall be multiplied by one-half instead	46404
of one-third; if the denominator of two of the factors is zero,	46405
the remaining factor shall be multiplied by one. The property,	46406
payroll, and sales factors shall be determined in the manner	46407
prescribed by divisions (B)(1), (2), and (3) of this section.	46408

(1) The property factor is a fraction, the numerator of which	46409
is the average value of the taxpayer's real and tangible personal	46410
property owned or rented, and used in business in this state	46411
during the taxable year, and the denominator of which is the	46412
average value of all the taxpayer's real and tangible personal	46413
property owned or rented, and used in business everywhere during	46414
such year. Property owned by the taxpayer is valued at its	46415
original cost. Property rented by the taxpayer is valued at eight	46416
times the net annual rental rate. "Net annual rental rate" means	46417
the annual rental rate paid by the taxpayer less any annual rental	46418
rate received by the taxpayer from subrentals. The average value	46419
of property shall be determined by averaging the values at the	46420
beginning and the end of the taxable year, but the tax	46421
commissioner may require the averaging of monthly values during	46422
the taxable year, if reasonably required to reflect properly the	46423
average value of the taxpayer's property.	46424

(2) The payroll factor is a fraction, the numerator of which	46425
is the total amount paid in this state during the taxable year by	46426
the taxpayer for compensation, and the denominator of which is the	46427
total compensation paid everywhere by the taxpayer during such	46428
year. Compensation means any form of remuneration paid to an	46429
employee for personal services. Compensation is paid in this state	46430
if: (a) the recipient's service is performed entirely within this	46431
state, (b) the recipient's service is performed both within and	46432
without this state, but the service performed without this state	46433
is incidental to the recipient's service within this state, or (c)	46434
some of the service is performed within this state and either the	46435
base of operations, or if there is no base of operations, the	46436
place from which the service is directed or controlled is within	46437
this state, or the base of operations or the place from which the	46438
service is directed or controlled is not in any state in which	46439
some part of the service is performed, but the recipient's	46440
residence is in this state.	46441

(3) The sales factor is a fraction, the numerator of which is	46442
the total sales in this state by the taxpayer during the taxable	46443
year, and the denominator of which is the total sales by the	46444
taxpayer everywhere during such year. Sales of electricity shall	46445
be sitused to this state in the manner provided under section	46446
5733.059 of the Revised Code. In determining the numerator and	46447
denominator of the sales factor, receipts from the sale or other	46448
disposal of a capital asset or an asset described in section 1231	46449
of the Internal Revenue Code shall be eliminated. Also, in	46450
determining the numerator and denominator of the sales factor, in	46451
the case of a reporting taxpayer owning at least eighty per cent	46452
of the issued and outstanding common stock of one or more	46453
insurance companies or public utilities, except an electric	46454
company, a combined company, or a telephone company, or owning at	46455
least twenty-five per cent of the issued and outstanding common	46456
stock of one or more financial institutions, receipts received by	46457
the reporting taxpayer from such utilities, insurance companies,	46458
and financial institutions shall be eliminated.	46459

For the purpose of division (B)(3) of this section, sales of	46460
tangible personal property are in this state where such property	46461
is received in this state by the purchaser. In the case of	46462
delivery of tangible personal property by common carrier or by	46463
other means of transportation, the place at which such property is	46464
ultimately received after all transportation has been completed	46465
shall be considered as the place at which such property is	46466
received by the purchaser. Direct delivery in this state, other	46467
than for purposes of transportation, to a person or firm	46468
designated by a purchaser constitutes delivery to the purchaser in	46469
this state, and direct delivery outside this state to a person or	46470
firm designated by a purchaser does not constitute delivery to the	46471
purchaser in this state, regardless of where title passes or other	46472
conditions of sale.	46473

Sales, other than sales of electricity or tangible personal	46474
property, are in this state if either the income-producing	46475
activity is performed solely in this state, or the	46476
income-producing activity is performed both within and without	46477
this state and a greater proportion of the income-producing	46478
activity is performed within this state than in any other state,	46479
based on costs of performance.	46480

For the purposes of division (B)(3) of this section, the tax	46481
commissioner may adopt rules to apportion sales within this state.	46482

(C) The portion of a taxpayer's Ohio net income taxable by	46483
each municipal corporation imposing an income tax shall be	46484
determined by multiplying the taxpayer's Ohio net income by the	46485
sum of the municipal property factor multiplied by one-third, the	46486
municipal payroll factor multiplied by one-third, and the	46487
municipal sales factor multiplied by one-third, and subtracting	46488
from the product so obtained any "municipal net operating loss	46489
carryforward from prior taxable years." If the denominator of one	46490
of the factors is zero, the remaining two factors each shall be	46491
multiplied by one-half instead of one-third; if the denominator of	46492
two of the factors is zero, the remaining factor shall be	46493
multiplied by one. In calculating the "municipal net operating	46494
loss carryforward from prior taxable years" for each municipal	46495
corporation, net operating losses are apportioned in and out of a	46496
municipal corporation for the taxable year in which the net	46497
operating loss occurs in the same manner that positive net income	46498
would have been so apportioned. Any net operating loss for a	46499
municipal corporation may be applied to subsequent net income in	46500
that municipal corporation to reduce that income to zero or until	46501
the net operating loss has been fully used as a deduction. The	46502
unused portion of net operating losses for each taxable year	46503
apportioned to a municipal corporation may only be applied against	46504
the income apportioned to that municipal corporation for five	46505
subsequent taxable years. Net operating losses occurring in	46506
taxable years ending before 2002 may not be subtracted under this	46507
section.	46508

A taxpayer's municipal property, municipal payroll, and	46509
municipal sales factors for a municipal corporation shall be	46510
determined as provided in divisions (C)(1), (2), and (3) of this	46511
section.	46512

(1) The municipal property factor is the quotient obtained by	46513
dividing (a) the average value of real and tangible personal	46514
property owned or rented by the taxpayer and used in business in	46515
the municipal corporation during the taxable year by (b) the	46516
average value of all of the taxpayer's real and tangible personal	46517
property owned or rented and used in business during that taxable	46518
year in this state. The value and average value of such property	46519
shall be determined in the same manner provided in division (B)(1)	46520
of this section.	46521

(2) The municipal payroll factor is the quotient obtained by	46522
dividing (a) the total amount of compensation earned in the	46523
municipal corporation by the taxpayer's employees during the	46524
taxable year for services performed for the taxpayer and that is	46525
subject to income tax withholding by the municipal corporation by	46526
(b) the total amount of compensation paid by the taxpayer to its	46527
employees in this state during the taxable year. Compensation has	46528
the same meaning as in division (B)(2) of this section.	46529

(3) The municipal sales factor is a fraction, the numerator	46530
of which is the taxpayer's total sales in a municipal corporation	46531
during the taxable year, and the denominator of which is the	46532
taxpayer's total sales in this state during such year.	46533

For the purpose of division (C)(3) of this section, sales of	46534
tangible personal property are in the municipal corporation where	46535
such property is received in the municipal corporation by the	46536
purchaser. Sales of electricity directly to the consumercustomer,	46537
as defined in section 5733.059 of the Revised Code, shall be	46538
considered sales of tangible personal property. In the case of the	46539
delivery of tangible personal property by common carrier or by	46540
other means of transportation, the place at which such property	46541
ultimately is received after all transportation has been completed	46542
shall be considered as the place at which the property is received	46543
by the purchaser. Direct delivery in the municipal corporation,	46544
other than for purposes of transportation, to a person or firm	46545
designated by a purchaser constitutes delivery to the purchaser in	46546
that municipal corporation, and direct delivery outside the	46547
municipal corporation to a person or firm designated by a	46548
purchaser does not constitute delivery to the purchaser in that	46549
municipal corporation, regardless of where title passes or other	46550
conditions of sale. Sales, other than sales of tangible personal	46551
property, are in the municipal corporation if either:	46552

(a) The income-producing activity is performed solely in the	46553
municipal corporation;	46554

(b) The income-producing activity is performed both within	46555
and without the municipal corporation and a greater proportion of	46556
the income-producing activity is performed within that municipal	46557
corporation than any other location in this state, based on costs	46558
of performance.	46559

For the purposes of division (C)(3) of this section, the tax	46560
commissioner may adopt rules to apportion sales within each	46561
municipal corporation.	46562

(D) If a taxpayer is a combined company as defined in section	46563
5727.01 of the Revised Code, the municipal property, payroll, and	46564
sales factors under division (C) of this section shall be adjusted	46565
as follows:	46566

(1) The numerator of the municipal property factor shall	46567
include only the value, as determined under division (C)(1) of	46568
this section, of the company's real and tangible property in the	46569
municipal corporation attributed to the company's activity as an	46570
electric company using the same methodology prescribed under	46571
section 5727.03 of the Revised Code for taxable tangible personal	46572
property.	46573

(2) The numerator of the municipal payroll factor shall	46574
include only compensation paid in the municipal corporation by the	46575
company to its employees for personal services rendered in the	46576
company's activity as an electric company.	46577

(3) The numerator of the municipal sales factor shall include	46578
only the sales of tangible personal property and services, as	46579
determined under division (C)(3) of this section, made in the	46580
municipal corporation in the course of the company's activity as	46581
an electric company.	46582

(E)(1) If the provisions for apportioning adjusted federal	46583
taxable income or Ohio net income under divisions (B), (C), and	46584
(D) of this section do not fairly represent business activity in	46585
this state or among municipal corporations, the tax commissioner	46586
may adopt rules for apportioning such income by an alternative	46587
method that fairly represents business activity in this state or	46588
among municipal corporations.	46589

(2) If any of the factors determined under division (B), (C),	46590
or (D) of this section does not fairly represent the extent of a	46591
taxpayer's business activity in this state or among municipal	46592
corporations, the taxpayer may request, or the tax commissioner	46593
may require, that the taxpayer's adjusted federal taxable income	46594
or Ohio net income be determined by an alternative method,	46595
including any of the alternative methods enumerated in division	46596
(B)(2)(d) of section 5733.05 of the Revised Code. A taxpayer	46597
requesting an alternative method shall make the request in writing	46598
to the tax commissioner either with the annual report, a timely	46599
filed amended report, or a timely filed petition for reassessment.	46600
When the tax commissioner requires or permits an alternative	46601
method under division (E)(2) of this section, the tax commissioner	46602
shall cause a written notice to that effect to be delivered to any	46603
municipal corporation that would be affected by application of the	46604
alternative method. Nothing in this division shall be construed	46605
to extend any statute of limitations under this chapter.	46606

(F)(1) The tax commissioner may adopt rules providing for the	46607
combination of adjusted federal taxable incomes of taxpayers	46608
satisfying the ownership or control requirements of section	46609
5733.052 of the Revised Code if the tax commissioner finds that	46610
such combinations are necessary to properly reflect adjusted	46611
federal taxable income, Ohio net income, or the portion of Ohio	46612
net income to be taxable by municipal corporations.	46613

(2) A taxpayer satisfying the ownership or control	46614
requirements of section 5733.052 of the Revised Code with respect	46615
to one or more other taxpayers may not combine their adjusted	46616
federal taxable incomes for the purposes of this section unless	46617
rules are adopted under division (F)(1) of this section allowing	46618
such a combination or the tax commissioner finds that such a	46619
combination is necessary to properly reflect the taxpayers'	46620
adjusted federal taxable incomes, Ohio net incomes, or the portion	46621
of Ohio net incomes to be subject to taxation within a municipal	46622
corporation.	46623

(G) The tax commissioner may adopt rules providing for	46624
alternative apportionment methods for a telephone company.	46625

Sec. 5745.05.  (A) Prior to the first day of March, June,	46626
September, and December, the tax commissioner shall certify to the	46627
director of budget and management the amount to be paid to each	46628
municipal corporation, as indicated on the declaration of	46629
estimated tax reports and annual reports received under sections	46630
5745.03 and 5745.04 of the Revised Code, less any amounts	46631
previously distributed and net of any audit adjustments made by	46632
the tax commissioner. Not later than the first day of March, June,	46633
September, and December, the director of budget and management	46634
shall provide for payment of the amount certified to each	46635
municipal corporation from the municipal income tax fund, plus a	46636
pro rata share of any investment earnings accruing to the fund	46637
since the previous payment under this section apportioned among	46638
municipal corporations entitled to such payments in proportion to	46639
the amount certified by the tax commissioner.	46640

(B) If the tax commissioner determines that the amount of tax	46641
paid by a taxpayer and distributed to a municipal corporation	46642
under this section for a taxable year exceeds the amount payable	46643
to that municipal corporation under this chapter after accounting	46644
for amounts remitted with the annual report and as estimated	46645
taxes, the tax commissioner shall permit the taxpayer to credit	46646
the excess against the taxpayer's payments to the municipal	46647
corporation of estimated taxes remitted for an ensuing taxable	46648
year under section 5745.04 of the Revised Code. If, upon the	46649
written request of the taxpayer, the tax commissioner determines	46650
that the excess to be so credited is likely to exceed the amount	46651
of estimated taxes payable by the taxpayer to the municipal	46652
corporation during the ensuing twelve months, the tax commissioner	46653
shall so notify the municipal corporation and the municipal	46654
corporation shall issue a refund of the excess to the taxpayer	46655
within ninety days after receiving such a notice. Interest shall	46656
accrue on the amount to be refunded and is payable to the taxpayer	46657
at the rate per annum prescribed by section 5703.47 of the Revised	46658
Code from the ninety-first day after the notice is received by the	46659
municipal corporation until the day the refund is paid.	46660
Immediately after notifying a municipal corporation under this	46661
division of an excess to be refunded, the commissioner also shall	46662
notify the director of budget and management of the amount of the	46663
excess, and the director shall transfer from the municipal income	46664
tax administrative fund to the municipal income tax fund one and	46665
one-half per cent of the amount of the excess. The commissioner	46666
shall include the transferred amount in the computation of the	46667
amount due the municipal corporation in the next certification to	46668
the director under division (A) of this section.	46669

Sec. 5745.13.  If, upon examination of any books, records,	46670
reports, or other documents of a taxpayer, the tax commissioner	46671
determines that an adjustment shall be made in the portion of the	46672
taxpayer's income that is to be apportioned to a municipal	46673
corporation, the tax commissioner shall notify the taxpayer and,	46674
if the adjustment causes an adjustment in the taxpayer's tax owed	46675
to a municipal corporation for the taxpayer's taxable year of more	46676
than five hundred dollars, shall notify each affectedthat	46677
municipal corporation that the taxpayer's tax has been adjusted.	46678

Any municipal corporation to which such a notice is issued	46679
may request a review and redetermination of the taxpayer's federal	46680
taxable income, Ohio net income, or the portion of Ohio net income	46681
apportioned to the municipal corporation by filing a petition with	46682
the tax commissioner not later than sixty days after the tax	46683
commissioner issues the notice. The petition shall be filed either	46684
personally or by certified mail, and shall indicate the objections	46685
of the municipal corporation.	46686

Upon receiving such a petition, if a hearing is requested the	46687
tax commissioner shall assign a time and place for a hearing on	46688
the petition and shall notify the petitioner of the time and place	46689
of the hearing by ordinary mail. The tax commissioner may continue	46690
the hearing from time to time as necessary. The tax commissioner	46691
shall make any correction to the taxpayer's federal taxable	46692
income, Ohio net income, or apportionment of Ohio net income that	46693
the commissioner finds proper, and issue notice of any correction	46694
by ordinary mail to the petitioner, to each other municipal	46695
corporation affected by the correction of the apportionment, and	46696
to the taxpayer. The tax commissioner's decision on the matter is	46697
final, and is not subject to further appeal.	46698

Sec. 5747.03.  (A) All money collected under this chapter	46699
arising from the taxes imposed by section 5747.02 or 5747.41 of	46700
the Revised Code shall be credited to the general revenue fund,	46701
except that the treasurer of state shall:	46702

(1) Credit an amount equal to four and two-tenths per cent of	46703
those taxes collected under this chapter to the local government	46704
fund, which is hereby created in the state treasury, for	46705
distribution in accordance with section 5747.50 of the Revised	46706
Code;	46707

(2) Credit an amount equal to five and seven-tenths per cent	46708
of those taxes collected under this chapter to the library and	46709
local government support fund, which is hereby created in the	46710
state treasury, for distribution in accordance with section	46711
5747.47 of the Revised Code;	46712

(3) At, at the beginning of each calendar quarter, credit to	46713
the Ohio political party fund, pursuant to section 3517.16 of the	46714
Revised Code, an amount equal to the total dollar value realized	46715
from the taxpayer exercise of the income tax checkoff option on	46716
tax forms processed during the preceding calendar quarter;	46717

(4) Credit an amount equal to six-tenths of one per cent of	46718
those taxes collected under this chapter to the local government	46719
revenue assistance fund for distribution in accordance with	46720
section 5747.61 of the Revised Code.	46721

(B)(1) Following the crediting of moneys pursuant to division	46722
(A) of this section, the remainder deposited in the general	46723
revenue fund shall be distributed pursuant to division (F) of	46724
section 321.24 and section 323.156 of the Revised Code; to make	46725
subsidy payments to institutions of higher education from	46726
appropriations to the Ohio board of regents; to support	46727
expenditures for programs and services for the mentally ill,	46728
mentally retarded, developmentally disabled, and elderly; for	46729
primary and secondary education; for medical assistance; and for	46730
any other purposes authorized by law, subject to the limitation	46731
that at least fifty per cent of the income tax collected by the	46732
state from the tax imposed by section 5747.02 of the Revised Code	46733
shall be returned pursuant to Section 9 of Article XII, Ohio	46734
Constitution.	46735

(2) To ensure that such constitutional requirement is	46736
satisfied the tax commissioner shall, on or before the thirtieth	46737
day of June of each year, from the best information available to	46738
the tax commissioner, determine and certify for each county to the	46739
director of budget and management the amount of taxes collected	46740
under this chapter from the tax imposed under section 5747.02 of	46741
the Revised Code during the preceding calendar year that are	46742
required to be returned to the county by Section 9 of Article XII,	46743
Ohio Constitution. The director shall provide for payment from the	46744
general revenue fund to the county in the amount, if any, that the	46745
sum of the amount so certified for that county exceeds the sum of	46746
the following:	46747

(a) The sum of the payments from the general revenue fund for	46748
the preceding calendar year credited to the credit of the county's	46749
undivided income tax fund pursuant to division (F) of section	46750
321.24 and section 323.156 of the Revised Code or made directly	46751
from the general revenue fund to political subdivisions located in	46752
the county;	46753

(b) The sum of the amounts from the general revenue fund	46754
distributed in the county during the preceding calendar year for	46755
subsidy payments to institutions of higher education from	46756
appropriations to the Ohio board of regents; for programs and	46757
services for mentally ill, mentally retarded, developmentally	46758
disabled, and elderly persons; for primary and secondary	46759
education; and for medical assistance.	46760

(c) TheIn the case of payments made by the director under	46761
this division in 2007, the total amount distributed to the county	46762
during the preceding calendar year from the local government fund	46763
and the local government revenue assistance fund, and, in the case	46764
of payments made by the director under this division in subsequent	46765
calendar years, the amount distributed to the county from the	46766
local communities fund;	46767

(d) TheIn the case of payments made by the director under	46768
this division in 2007, the total amount distributed to the county	46769
during the preceding calendar year from the library and local	46770
government support fund;	46771

(e) The amount distributed to the county during the preceding	46772
calendar year from the local government revenue assistance fund	46773
and, in the case of payments made by the director under this	46774
division in subsequent calendar years, the amount distributed to	46775
the county from the local libraries fund.	46776

Payments under this division shall be credited to the	46777
county's undivided income tax fund, except that, notwithstanding	46778
section 5705.14 of the Revised Code, such payments may be	46779
transferred by the board of county commissioners to the county	46780
general fund by resolution adopted with the affirmative vote of	46781
two-thirds of the members thereof.	46782

(C) All payments received in each month from taxes imposed	46783
under Chapter 5748. of the Revised Code and any penalties or	46784
interest thereon shall be paid into the school district income tax	46785
fund, which is hereby created in the state treasury, except that	46786
an amount equal to the following portion of such payments shall be	46787
paid into the general school district income tax administrative	46788
fund, which is hereby created in the state treasury:	46789

(1) One and three-quarters of one per cent of those received	46790
in fiscal year 1996;	46791

(2) One and one-half per cent of those received in fiscal	46792
year 1997 and thereafter.	46793

Money in the school district income tax administrative fund	46794
shall be used by the tax commissioner to defray costs incurred in	46795
administering the school district's income tax, including the cost	46796
of providing employers with information regarding the rate of tax	46797
imposed by any school district. Any moneys remaining in the fund	46798
after such use shall be deposited in the school district income	46799
tax fund.	46800

All interest earned on moneys in the school district income	46801
tax fund shall be credited to the fund.	46802

(D)(1)(a) Within thirty days of the end of each calendar	46803
quarter ending on the last day of March, June, September, and	46804
December, the director of budget and management shall make a	46805
payment from the school district income tax fund to each school	46806
district for which school district income tax revenue was received	46807
during that quarter. The amount of the payment shall equal the	46808
balance in the school district's account at the end of that	46809
quarter.	46810

(b) After a school district ceases to levy an income tax, the	46811
director of budget and management shall adjust the payments under	46812
division (D)(1)(a) of this section to retain sufficient money in	46813
the school district's account to pay refunds. For the calendar	46814
quarters ending on the last day of March and December of the	46815
calendar year following the last calendar year the tax is levied,	46816
the director shall make the payments in the amount required under	46817
division (D)(1)(a) of this section. For the calendar quarter	46818
ending on the last day of June of the calendar year following the	46819
last calendar year the tax is levied, the director shall make a	46820
payment equal to nine-tenths of the balance in the account at the	46821
end of that quarter. For the calendar quarter ending on the last	46822
day of September of the calendar year following the last calendar	46823
year the tax is levied, the director shall make no payment. For	46824
the second and succeeding calendar years following the last	46825
calendar year the tax is levied, the director shall make one	46826
payment each year, within thirty days of the last day of June, in	46827
an amount equal to the balance in the district's account on the	46828
last day of June.	46829

(2) Moneys paid to a school district under this division	46830
shall be deposited in its school district income tax fund. All	46831
interest earned on moneys in the school district income tax fund	46832
shall be apportioned by the tax commissioner pro rata among the	46833
school districts in the proportions and at the times the districts	46834
are entitled to receive payments under this division.	46835

Sec. 5747.122.  (A) The tax commissioner, in accordance with	46836
section 5101.184 of the Revised Code, shall cooperate with the	46837
director of job and family services to collect overpayments of	46838
assistance under Chapter 5107., 5111., 5114., or 5115., former	46839
Chapter 5113., or section 5101.54 of the Revised Code from refunds	46840
of state income taxes for taxable year 1992 and thereafter that	46841
are payable to the recipients of such overpayments.	46842

(B) At the request of the department of job and family	46843
services in connection with the collection of an overpayment of	46844
assistance from a refund of state income taxes pursuant to this	46845
section and section 5101.184 of the Revised Code, the tax	46846
commissioner shall release to the department the home address and	46847
social security number of any recipient of assistance whose	46848
overpayment may be collected from a refund of state income taxes	46849
under those sections.	46850

(C) In the case of a joint income tax return for two people	46851
who were not married to each other at the time one of them	46852
received an overpayment of assistance, only the portion of a	46853
refund that is due to the recipient of the overpayment shall be	46854
available for collection of the overpayment under this section and	46855
section 5101.184 of the Revised Code. The tax commissioner shall	46856
determine such portion. A recipient's spouse who objects to the	46857
portion as determined by the commissioner may file a complaint	46858
with the commissioner within twenty-one days after receiving	46859
notice of the collection, and the commissioner shall afford the	46860
spouse an opportunity to be heard on the complaint. The	46861
commissioner shall waive or extend the twenty-one-day period if	46862
the recipient's spouse establishes that such action is necessary	46863
to avoid unjust, unfair, or unreasonable results. After the	46864
hearing, the commissioner shall make a final determination of the	46865
portion of the refund available for collection of the overpayment.	46866

(D) The welfare overpayment intercept fund is hereby created	46867
in the state treasury. The tax commissioner shall deposit amounts	46868
collected from income tax refunds under this section to the credit	46869
of the welfare overpayment intercept fund. The director of job and	46870
family services shall distribute money in the fund in accordance	46871
with appropriate federal or state laws and procedures regarding	46872
collection of welfare overpayments.	46873

Sec. 5747.46.  As used in sections 5747.46 and 5747.47 of the	46874
Revised Code:	46875

(A) "Year's fund balance" means the amount credited to the	46876
library and local government supportlibraries fund during a	46877
calendar year.	46878

(B) "Distribution year" means the calendar year during which	46879
a year's fund balance is distributed under section 5747.47 of the	46880
Revised Code.	46881

(C) "CPI" means the consumer price index for all urban	46882
consumers (United States city average, all items), prepared by the	46883
United States department of labor, bureau of labor statistics.	46884

(D) "Inflation factor" means the quotient obtained by	46885
dividing the CPI for May of the year preceding the distribution	46886
year by the CPI for May of the second preceding year. If the the	46887
quotient so obtained is less than one, the inflation factor shall	46888
equal one.	46889

(E) "Population" means whichever of the following has most	46890
recently been issued, as of the first day of June preceding the	46891
distribution year:	46892

(1) The most recent decennial census figures that include	46893
population figures for each county in the state;	46894

(2) The most current issue of "Current Population Reports:	46895
Local Population Estimates" issued by the United States bureau of	46896
the census that contains population estimates for each county in	46897
the state and the state.	46898

(F) "County's equalization ratio for a distribution year"	46899
means a percentage computed for that county as follows:	46900

(1) Square the per cent that the county's population is of	46901
the state's population;	46902

(2) Divide the product so obtained by the per cent that the	46903
county's total entitlement for the preceding year is of all	46904
counties' total entitlements for the preceding year;	46905

(3) Divide the quotient so obtained by the sum of the	46906
quotients so obtained for all counties.	46907

(G) "Total entitlement" means, with respect to a distribution	46908
year, the sum of a county's guaranteed share plus its share of the	46909
excess.	46910

(1) "Guaranteed share" means, for a distribution year, the	46911
product obtained by multiplying a county's total entitlement for	46912
the preceding distribution year by the inflaction factor. If the	46913
sum of the guaranteed shares for all counties exceeds the year's	46914
fund balance, the guaranteed shares of all counties shall be	46915
reduced by a percentage that will result in the sum of such	46916
guaranteed shares being equal to the year's fund balance.	46917

(2) "Share of excess" means, for a distribution year, the	46918
product obtained by multiplying a county's equalization ratio by	46919
the difference between the year's fund balance and the sum of the	46920
guaranteed shares for all counties. If the sum of the guaranteed	46921
shares for all counties exceeds the year's fund balance the share	46922
of the excess for all counties is zero.	46923

(H) "Net distribution" means the sum of the payments made to	46924
a county's library and local government supportlibraries fund	46925
during a distribution year, adjusted as follows:	46926

(1) If the county received an overpayment during the	46927
preceding distribution year, add the amount of the overpayment;	46928

(2) If the county received an underpayment during the	46929
preceding distribution year, deduct the amount of the	46930
underpayment.	46931

(I) "Overpayment" or "underpayment" for a distribution year	46932
means the amount by which the net distribution to a county's	46933
library and local government supportlibraries fund during that	46934
distribution year exceeded or was less than the county's total	46935
entitlement for that year.	46936

All computations made under this section shall be rounded to	46937
the nearest one-hundredth of one per cent.	46938

Sec. 5747.47. (A)(1) By the twentieth day of July of each	46939
year, the tax commissioner shall estimate and certify the	46940
following for each county to its county auditor:	46941

(a) Its guaranteed share of the ensuing year's fund balance;

46942

(b) Its share of the excess of the ensuing year's fund	46943
balance;	46944

(c) Its total entitlement.

46945

(2) In December and in June following such estimations and	46946
certifications, the commissioner shall revise such estimates and	46947
certify such revised estimates to the respective county auditors.	46948

(B) By the tenth day of each month the commissioner shall	46949
distribute the amount credited to the library and local government	46950
supportlibraries fund from taxes collected under this chapter	46951
during the preceding monthin the current month under section	46952
131.51 of the Revised Code. The distributions shall be made as	46953
follows:	46954

(1) During the first six months of each year, each county	46955
shall be paid a percentage of the balance that is the same per	46956
cent that the revised estimate of the county's total entitlement	46957
certified in December under division (A)(2) of this section is of	46958
the sum of such revised estimates of the total entitlements for	46959
all counties.	46960

(2) During the last six months, each county shall be paid a	46961
percentage of the balance that is the same per cent that the	46962
revised estimate of the county's total entitlement certified in	46963
June under division (A)(2) of this section is of the sum of such	46964
revised estimates of the total entitlements for all counties.	46965

(3) During each of the first six months of each year, the	46966
payments made to each county shall be adjusted as follows:	46967

(a) If the county received an overpayment during the	46968
preceding distribution year, reduce the sum of the payments by the	46969
amount of such overpayment. The reduction shall be apportioned	46970
over the six months.	46971

(b) If the county received an underpayment during the	46972
preceding distribution year, increase the sum of the payments by	46973
the amount of such underpayment. The increase shall be apportioned	46974
over the six months.	46975

(C) By the twentieth day of December of each year, the tax	46976
commissioner shall determine and certify to the auditor of each	46977
county each of the following with respect to the current	46978
distribution year:	46979

(1) The year's fund balance;

46980

(2) Each county's guaranteed share;

46981

(3) Each county's share of the excess;

46982

(4) Each county's total entitlement;

46983

(5) Each county's net distribution;

46984

(6) The amount by which each county's net distribution	46985
exceeded or was less than its total entitlement, which amount	46986
shall constitute the county's overpayment or underpayment for	46987
purposes of division (B)(3) of this section in the ensuing	46988
distribution year.	46989

Sec. 5747.48.  On the fifteenth day of each month, the county	46990
treasurer shall distribute the balance in the county library and	46991
local government supportlibraries fund among the county, boards	46992
of public library trustees, municipal corporations, and boards of	46993
township park commissioners for which the county budget commission	46994
has fixed an allocation from the fund in that year in accordance	46995
with section 5705.32 of the Revised Code in the same proportions	46996
that each such entity's allocation as fixed by the commission is	46997
of the total of all such allocations in that year.	46998

All money received into the treasury of a municipal	46999
corporation or county shall be credited to the general fund	47000
therein, provided that in a municipal corporation there shall be	47001
credited to the funds established under division (D) of section	47002
5705.09 of the Revised Code a portion of the total amount to be	47003
credited to funds of the municipal corporation, which portion	47004
shall be determined by multiplying the total amount to be credited	47005
by the percentage that the funds credited under division (D) of	47006
said section in 1938 bore to all the funds credited under said	47007
section in 1938. If a municipal corporation is in default with	47008
respect to the principal or interest of any outstanding notes or	47009
bonds, the moneys distributed under this section shall be credited	47010
to the funds established under divisions (A), (B), (C), and (D) of	47011
section 5705.09 of the Revised Code, in the same proportion in	47012
which the funds derived from the levy for the previous year on the	47013
general tax list and duplicate are divided.	47014

Sec. 5747.50.  (A) As used in this section:

47015

(1) "County's proportionate share of the calendar year 2007	47016
LGF and LGRAF distributions" means the percentage computed for the	47017
county under division (B)(1)(a) of section 5747.501 of the Revised	47018
Code for use in the current calendar year.	47019

(2) "1983 share" means the sum of all payments made to a	47020
county under section 5747.50 of the Revised Code during 1983 under	47021
all versions of such section that were in effect during such year	47022
plus the payments made to the county's undivided local government	47023
fund in 1983 from the tax imposed on deposits under division (C)	47024
of section 5707.03 of the Revised Code.	47025

(3) "Amount available for distribution under division (B) of	47026
this section" means for any calendar year, both of the following:	47027

(a) Nine-tenths of the difference between the amount	47028
available for distribution under this section during that year and	47029
the deposit tax revenue of all counties;	47030

(b) The deposit tax revenue of all counties less six million	47031
dollars.	47032

Each year, an amount equal to the amount available for	47033
distribution under division (B) of this section shall be	47034
distributed from the local government fund as provided in that	47035
division. The balance in the fund available for distribution in	47036
that year under this section and not available for distribution	47037
under this division shall be distributed in accordance with	47038
division (C) of this section. The tax commissioner shall determine	47039
in each month what proportion of that month's local government	47040
fund balance shall be distributed under division (B) of this	47041
section and what proportion shall be distributed under division	47042
(C) of this section"County's proportionate share of the total	47043
amount of the local communities fund additional revenue formula"	47044
means each county's proportionate share of the state's population	47045
as determined for and certified to the county for distributions to	47046
be made during the current calendar year under division (B)(2)(a)	47047
of section 5747.501 of the Revised Code. If prior to the first day	47048
of January of the current calendar year the federal government has	47049
issued a revision to the population figures reflected in the	47050
estimate produced pursuant to division (B)(2)(a) of section	47051
5747.501 of the Revised Code, such revised population figures	47052
shall be used for making the distributions during the current	47053
calendar year.	47054

(3) "2007 LGF and LGRAF county distribution base available in	47055
that month" means the lesser of the amounts described in division	47056
(A)(3)(a) and (b) of this section, provided that the amount shall	47057
not be less than zero:	47058

(a) The total amount available for distribution to counties	47059
from the local communities fund during the current month.	47060

(b) The total amount distributed to counties from the local	47061
government fund and the local government revenue assistance fund	47062
to counties in calendar year 2007 less the total amount	47063
distributed to counties under division (B)(1) of this section	47064
during previous months of the current calendar year.	47065

(4) "Local communities fund additional revenue distribution	47066
base available during that month" means the total amount available	47067
for distribution to counties during the month from the local	47068
communities fund, less any amounts to be distributed in that month	47069
from the local communities fund under division (B)(1) of this	47070
section, provided that the local communities fund additional	47071
revenue distribution base available during that month shall not be	47072
less than zero.	47073

(5) "Total amount available for distribution to counties"	47074
means the total amount available for distribution from the local	47075
communities fund during the current month less the total amount	47076
available for distribution to municipal corporations during the	47077
current month under division (C) of this section.	47078

(B) On or before the tenth day of each month, the tax	47079
commissioner shall provide for payment to the county treasurer of	47080
each county of an amount equal to the sum of:	47081

(1) The county's proportionate share of the calendar year	47082
2007 LGF and LGRAF distributions multiplied by the 2007 LGF and	47083
LGRAF county distribution base available in that month, provided	47084
that if the 2007 LGF and LGRAF county distribution base available	47085
in that month is zero, no payment shall be made under division	47086
(B)(1) of this section for the month or the remainder of the	47087
calendar year; and	47088

(2) The county's proportionate share of the total amount of	47089
the local governmentcommunities fund additional revenue formula	47090
multiplied by the local communities fund additional revenue	47091
distribution base available for distribution during that month	47092
under this division, except as otherwise provided and in such a	47093
way that on the last day of each calendar year, each county shall	47094
have received an amount equal to its proportionate share of the	47095
amount available for distribution under this division during that	47096
year. Counties whose proportionate shares are less than their 1983	47097
shares shall receive an amount equal to their 1983 shares during	47098
the year in lieu of their proportionate shares, and the amounts	47099
required to be paid to all other counties shall be proportionately	47100
reduced to fund such deficiency. If any county receives payments	47101
in any year that exceed the amount to which it is entitled, that	47102
excess shall be deducted from the payments due the county in the	47103
ensuing calendar year and apportioned among and paid to the	47104
counties that did not receive any such excess.	47105

The amount paid to any county in any month shall not be less	47106
than twenty-five thousand dollars unless a smaller payment is	47107
required in order to avoid paying that county more during the year	47108
than the amount to which it is entitled for that year.	47109

Money received into the treasury of a county under this	47110
division shall be credited to the undivided local government	47111
communities fund in the treasury of the county on or before the	47112
fifteenth day of each month. TheOn or before the twentieth day of	47113
each month, the county auditor shall issue warrants against all of	47114
the undivided local governmentcommunities fund in the county	47115
treasury in the respective amounts allowed as provided in section	47116
5747.51 of the Revised Code, and the treasurer shall distribute	47117
and pay such sums to the subdivision therein.	47118

(C)(1) As used in division (C) of this section:

47119

(a) "Total amount available for distribution to	47120
municipalities during the current month" means the product	47121
obtained by multiplying the total amount available for	47122
distribution from the local communities fund during the current	47123
month by the aggregate municipal share.	47124

(b) "Aggregate municipal share" means the quotient obtained	47125
by dividing the total amount distributed directly from the local	47126
government fund to municipal corporations during calendar year	47127
2007 by the total distributions from the local government fund and	47128
local government revenue assistance fund during calendar year	47129
2007.	47130

(2) On or before the tenth day of each month, the tax	47131
commissioner shall provide for payment from the local communities	47132
fund to each municipal corporation which had in effect during the	47133
preceding calendar year a tax imposed under Chapter 718. of the	47134
Revised Code. The amount paid to each municipal corporation shall	47135
bear the samean amount equal to the product derived by	47136
multiplying the municipal corporation's percentage toof the total	47137
amount to be distributed to all such municipal corporations under	47138
this division as the total income taxes collected by such	47139
municipal corporation during the secondcalendar year preceding	47140
the year in which distribution is made bears to the total amount	47141
of such taxes collected by all municipal corporations during such	47142
period2007 by the total amount available for distribution to	47143
municipal corporations during the current month. Payments	47144

(3) Payments received by a municipal corporation under this	47145
division shall be paid into its general fund and may be used for	47146
any lawful purpose.	47147

(4) The amount distributed to municipal corporations under	47148
this division during any calendar year shall not exceed the amount	47149
distributed directly from the local government fund to municipal	47150
corporations during calendar year 2007. If that maximum amount is	47151
reached during any month, distributions to municipal corporations	47152
in that month shall be as provided in divisions (C)(1) and (2) of	47153
this section, but no further distributions shall be made to	47154
municipal corporations under division (C) of this section during	47155
the remainder of the calendar year.	47156

(5) Upon being informed of a municipal corporation's	47157
dissolution, the tax commissioner shall cease providing for	47158
payments to that municipal corporation under division (C) of this	47159
section. The proportionate shares of the total amount available	47160
for distribution to each of the remaining municipal corporations	47161
under this division shall be increased on a pro rata basis.	47162

(D) Each municipal corporation which has in effect a tax	47163
imposed under Chapter 718. of the Revised Code shall, no later	47164
than the thirty-first day of August of each year, certify to the	47165
tax commissioner the total amount of income taxes collected by	47166
such municipal corporation pursuant to such chapter during the	47167
preceding calendar year. The tax commissioner shallmay withhold	47168
payment of local governmentcommunities fund moneys pursuant to	47169
division (C) of this section from any municipal corporation for	47170
failure to comply with this reporting requirement.	47171

Sec. 5747.501.  (A) ByOn or before the fifteenth	47172
twenty-fifth day of DecemberJuly of each year, the tax	47173
commissioner shall estimate and certify to each county auditor the	47174
amount to be paid intodistributed from the local government	47175
communities fund for distribution to each undivided local	47176
communities fund during the following calendar year under section	47177
5747.50 of the Revised Code. The commissionerestimate shall then	47178
determineequal the sum of the separate amounts that would be paid	47179
to each county if the amount so certified were distributed	47180
computed under divisions (A)(B)(1) and (2) of this section as	47181
follows:	47182

(1)(a) As used in this division and in section 5747.50 of the	47183
Revised Code, "deposit tax revenue" means one hundred forty-five	47184
and forty-five one-hundredths per cent of the payments made to the	47185
county's undivided local government fund in 1983 from the tax	47186
imposed on deposits under division (C) of section 5707.03 of the	47187
Revised Code.	47188

(b) Compute each county's deposit tax revenue.

47189

(c) Determine how much each county would receive if	47190
nine-tenths of the difference between the amount certified under	47191
division (A) of this section and the sum of all counties' deposit	47192
tax revenues, less six million dollars, were allocated among the	47193
counties in the following year as follows:	47194

(i) Seventy-five per cent of said amount shall be apportioned	47195
in the ratio that the total of the real, public utility, and	47196
tangible personal property tax duplicates of the municipal	47197
corporations, or parts thereof, in the county for the year next	47198
preceding the year in which the computation is made bears to the	47199
total aggregate real, public utility, and tangible personal	47200
property tax duplicates of all the municipal corporations in the	47201
state for the same year.	47202

(ii) Twenty-five per cent shall be apportioned among all the	47203
counties in the ratio that the population of the county at the	47204
last federal decennial census bears to the total population of the	47205
state.	47206

(iii) Adjust the sum of the allocations under divisions	47207
(A)(1)(c)(i) and (ii) for each county so that the sum allocated to	47208
each county under those divisions is at least two hundred	47209
twenty-five thousand dollars. If such an adjustment is made, the	47210
sum of the apportionments to the counties for which no adjustment	47211
is necessary shall be proportionately reduced so that the sum of	47212
the allocations to all counties equals the amount to be allocated	47213
under divisions (A)(1)(c)(i) to (iii) of this section.	47214

(d) Add the amount allocated to each county under division	47215
(A)(1)(c) to its deposit tax revenue.	47216

(2) Determine how much each county would receive if	47217
nine-tenths of the amount certified by the commissioner, less six	47218
million dollars, were allocated in the manner prescribed by	47219
division (A)(1)(c) of this section.	47220

(B) Upon the completion of the computations required by	47221
division (A) of this section, the commissioner shall assign to	47222
each county, the amount computed for it under division (A)(1)(d)	47223
of this section or the amount computed under division (A)(2) of	47224
this section, whichever is the higher amount, and compute the per	47225
cent that the assigned amount for each county is of the sum of the	47226
assigned amounts for all counties. The percentage so computed	47227
shall be the proportionate share of the county for the following	47228
calendar year for purposes of making the distributions required by	47229
section 5747.50 of the Revised Code(1) The product obtained by	47230
multiplying the percentage described in division (B)(1)(a) of this	47231
section by the amount described in division (B)(1)(b) of this	47232
section.	47233

(a) Each county's proportionate share of the total amount	47234
distributed to the counties from the local government fund and the	47235
local government revenue assistance fund during calendar year	47236
2007.	47237

(b) The total amount distributed to counties from the local	47238
government fund and the local government revenue assistance fund	47239
during calendar year 2007 adjusted downward if, and to the extent	47240
that, total local communities fund distributions to counties for	47241
the following year are projected to be less than what was	47242
distributed to counties from the local government fund and local	47243
government revenue assistance fund during calendar year 2007.	47244

(2) The product obtained by multiplying the percentage	47245
described in division (B)(2)(a) of this section by the amount	47246
described in division (B)(2)(b) of this section.	47247

(a) Each county's proportionate share of the state's	47248
population as reflected in the most recent federal decennial	47249
census or the federal government's most recent census estimates,	47250
whichever represents the most recent year.	47251

(b) The amount by which total estimated distributions from	47252
the local communities fund during the immediately succeeding	47253
calendar year, less the total estimated amount to be distributed	47254
from the fund to municipal corporations under division (C) of	47255
section 5747.50 of the Revised Code during the immediately	47256
succeeding calendar year, exceed the total amount distributed to	47257
counties from the local government fund and local government	47258
revenue assistance fund during calendar year 2007.	47259

Sec. 5747.51.  (A) Within ten days afterOn or before the	47260
fifteenthtwenty-fifth day of July of each year, the tax	47261
commissioner shall make and certify to the county auditor of each	47262
county an estimate of the amount of the local government	47263
communities fund to be allocated to the undivided local government	47264
communities fund of each county for the ensuing calendar year and	47265
the estimated amount to be received by the undivided local	47266
governmentcommunities fund of each county from the taxes levied	47267
pursuant to section 5707.03 of the Revised Code for the ensuing	47268
calendar year.	47269

(B) At each annual regular session of the county budget	47270
commission convened pursuant to section 5705.27 of the Revised	47271
Code, each auditor shall present to the commission the certificate	47272
of the commissioner, the annual tax budget and estimates, and the	47273
records showing the action of the commission in its last preceding	47274
regular session. The estimates shown on the certificate of the	47275
commissioner of the amount to be allocated from the local	47276
governmentcommunities fund and the amount to be received from	47277
taxes levied pursuant to section 5707.03 of the Revised Code shall	47278
be combined into one total comprising the estimate of the	47279
undivided local governmentcommunities fund of the county. The	47280
commission, after extending to the representatives of each	47281
subdivision an opportunity to be heard, under oath administered by	47282
any member of the commission, and considering all the facts and	47283
information presented to it by the auditor, shall determine the	47284
amount of the undivided local governmentcommunities fund needed	47285
by and to be apportioned to each subdivision for current operating	47286
expenses, as shown in the tax budget of the subdivision. This	47287
determination shall be made pursuant to divisions (C) to (I) of	47288
this section, unless the commission has provided for a formula	47289
pursuant to section 5747.53 of the Revised Code.	47290

Nothing in this section prevents the budget commission, for	47291
the purpose of apportioning the undivided local government	47292
communities fund, from inquiring into the claimed needs of any	47293
subdivision as stated in its tax budget, or from adjusting claimed	47294
needs to reflect actual needs. For the purposes of this section,	47295
"current operating expenses" means the lawful expenditures of a	47296
subdivision, except those for permanent improvements and except	47297
payments for interest, sinking fund, and retirement of bonds,	47298
notes, and certificates of indebtedness of the subdivision.	47299

(C) The commission shall determine the combined total of the	47300
estimated expenditures, including transfers, from the general fund	47301
and any special funds other than special funds established for	47302
road and bridge; street construction, maintenance, and repair;	47303
state highway improvement; and gas, water, sewer, and electric	47304
public utilities operated by a subdivision, as shown in the	47305
subdivision's tax budget for the ensuing calendar year.	47306

(D) From the combined total of expenditures calculated	47307
pursuant to division (C) of this section, the commission shall	47308
deduct the following expenditures, if included in these funds in	47309
the tax budget:	47310

(1) Expenditures for permanent improvements as defined in	47311
division (E) of section 5705.01 of the Revised Code;	47312

(2) In the case of counties and townships, transfers to the	47313
road and bridge fund, and in the case of municipalities, transfers	47314
to the street construction, maintenance, and repair fund and the	47315
state highway improvement fund;	47316

(3) Expenditures for the payment of debt charges;

47317

(4) Expenditures for the payment of judgments.

47318

(E) In addition to the deductions made pursuant to division	47319
(D) of this section, revenues accruing to the general fund and any	47320
special fund considered under division (C) of this section from	47321
the following sources shall be deducted from the combined total of	47322
expenditures calculated pursuant to division (C) of this section:	47323

(1) Taxes levied within the ten-mill limitation, as defined	47324
in section 5705.02 of the Revised Code;	47325

(2) The budget commission allocation of estimated county	47326
library and local government supportlibraries fund revenues to be	47327
distributed pursuant to section 5747.48 of the Revised Code;	47328

(3) Estimated unencumbered balances as shown on the tax	47329
budget as of the thirty-first day of December of the current year	47330
in the general fund, but not any estimated balance in any special	47331
fund considered in division (C) of this section;	47332

(4) Revenue, including transfers, shown in the general fund	47333
and any special funds other than special funds established for	47334
road and bridge; street construction, maintenance, and repair;	47335
state highway improvement; and gas, water, sewer, and electric	47336
public utilities, from all other sources except those that a	47337
subdivision receives from an additional tax or service charge	47338
voted by its electorate or receives from special assessment or	47339
revenue bond collection. For the purposes of this division, where	47340
the charter of a municipal corporation prohibits the levy of an	47341
income tax, an income tax levied by the legislative authority of	47342
such municipal corporation pursuant to an amendment of the charter	47343
of that municipal corporation to authorize such a levy represents	47344
an additional tax voted by the electorate of that municipal	47345
corporation. For the purposes of this division, any measure	47346
adopted by a board of county commissioners pursuant to section	47347
322.02, 324.02, 4504.02, or 5739.021 of the Revised Code,	47348
including those measures upheld by the electorate in a referendum	47349
conducted pursuant to section 322.021, 324.021, 4504.021, or	47350
5739.022 of the Revised Code, shall not be considered an	47351
additional tax voted by the electorate.	47352

Subject to division (G) of section 5705.29 of the Revised	47353
Code, money in a reserve balance account established by a county,	47354
township, or municipal corporation under section 5705.13 of the	47355
Revised Code shall not be considered an unencumbered balance or	47356
revenue under division (E)(3) or (4) of this section. Money in a	47357
reserve balance account established by a township under section	47358
5705.132 of the Revised Code shall not be considered an	47359
unencumbered balance or revenue under division (E)(3) or (4) of	47360
this section.	47361

If a county, township, or municipal corporation has created	47362
and maintains a nonexpendable trust fund under section 5705.131 of	47363
the Revised Code, the principal of the fund, and any additions to	47364
the principal arising from sources other than the reinvestment of	47365
investment earnings arising from such a fund, shall not be	47366
considered an unencumbered balance or revenue under division	47367
(E)(3) or (4) of this section. Only investment earnings arising	47368
from investment of the principal or investment of such additions	47369
to principal may be considered an unencumbered balance or revenue	47370
under those divisions.	47371

(F) The total expenditures calculated pursuant to division	47372
(C) of this section, less the deductions authorized in divisions	47373
(D) and (E) of this section, shall be known as the "relative need"	47374
of the subdivision, for the purposes of this section.	47375

(G) The budget commission shall total the relative need of	47376
all participating subdivisions in the county, and shall compute a	47377
relative need factor by dividing the total estimate of the	47378
undivided local government fund by the total relative need of all	47379
participating subdivisions.	47380

(H) The relative need of each subdivision shall be multiplied	47381
by the relative need factor to determine the proportionate share	47382
of the subdivision in the undivided local governmentcommunities	47383
fund of the county; provided, that the maximum proportionate share	47384
of a county shall not exceed the following maximum percentages of	47385
the total estimate of the undivided local governmentcommunities	47386
fund governed by the relationship of the percentage of the	47387
population of the county that resides within municipal	47388
corporations within the county to the total population of the	47389
county as reported in the reports on population in Ohio by the	47390
department of development as of the twentieth day of July of the	47391
year in which the tax budget is filed with the budget commission:	47392

Percentage of	Percentage share		47393
municipal population	of the county		47394
within the county:	shall not exceed:		47395
Less than forty-one per cent	Sixty per cent		47396
Forty-one per cent or more but less			47397
than eighty-one per cent	Fifty per cent		47398
Eighty-one per cent or more	Thirty per cent		47399

Where the proportionate share of the county exceeds the	47400
limitations established in this division, the budget commission	47401
shall adjust the proportionate shares determined pursuant to this	47402
division so that the proportionate share of the county does not	47403
exceed these limitations, and it shall increase the proportionate	47404
shares of all other subdivisions on a pro rata basis. In counties	47405
having a population of less than one hundred thousand, not less	47406
than ten per cent shall be distributed to the townships therein.	47407

(I) The proportionate share of each subdivision in the	47408
undivided local governmentcommunities fund determined pursuant to	47409
division (H) of this section for any calendar year shall not be	47410
less than the product of the average of the percentages of the	47411
undivided local government fund of the county as apportioned to	47412
that subdivision for the calendar years 1968, 1969, and 1970,	47413
multiplied by the total amount of the undivided local government	47414
fund of the county apportioned pursuant to former section 5735.23	47415
of the Revised Code for the calendar year 1970. For the purposes	47416
of this division, the total apportioned amount for the calendar	47417
year 1970 shall be the amount actually allocated to the county in	47418
1970 from the state collected intangible tax as levied by section	47419
5707.03 of the Revised Code and distributed pursuant to section	47420
5725.24 of the Revised Code, plus the amount received by the	47421
county in the calendar year 1970 pursuant to division (B)(1) of	47422
former section 5739.21 of the Revised Code, and distributed	47423
pursuant to former section 5739.22 of the Revised Code. If the	47424
total amount of the undivided local governmentcommunities fund	47425
for any calendar year is less than the amount of the undivided	47426
local government fund apportioned pursuant to former section	47427
5739.23 of the Revised Code for the calendar year 1970, the	47428
minimum amount guaranteed to each subdivision for that calendar	47429
year pursuant to this division shall be reduced on a basis	47430
proportionate to the amount by which the amount of the undivided	47431
local governmentcommunities fund for that calendar year is less	47432
than the amount of the undivided local government fund apportioned	47433
for the calendar year 1970.	47434

(J) On the basis of such apportionment, the county auditor	47435
shall compute the percentage share of each such subdivision in the	47436
undivided local governmentcommunities fund and shall at the same	47437
time certify to the tax commissioner the percentage share of the	47438
county as a subdivision. No payment shall be made from the	47439
undivided local governmentcommunities fund, except in accordance	47440
with such percentage shares.	47441

Within ten days after the budget commission has made its	47442
apportionment, whether conducted pursuant to section 5747.51 or	47443
5747.53 of the Revised Code, the auditor shall publish a list of	47444
the subdivisions and the amount each is to receive from the	47445
undivided local governmentcommunities fund and the percentage	47446
share of each subdivision, in a newspaper or newspapers of	47447
countywide circulation, and send a copy of such allocation to the	47448
tax commissioner.	47449

The county auditor shall also send by certified mail, return	47450
receipt requested, a copy of such allocation to the fiscal officer	47451
of each subdivision entitled to participate in the allocation of	47452
the undivided local governmentcommunities fund of the county.	47453
This copy shall constitute the official notice of the commission	47454
action referred to in section 5705.37 of the Revised Code.	47455

All money received into the treasury of a subdivision from	47456
the undivided local governmentcommunities fund in a county	47457
treasury shall be paid into the general fund and used for the	47458
current operating expenses of the subdivision.	47459

If a municipal corporation maintains a municipal university,	47460
such municipal university, when the board of trustees so requests	47461
the legislative authority of the municipal corporation, shall	47462
participate in the money apportioned to such municipal corporation	47463
from the total local governmentcommunities fund, however created	47464
and constituted, in such amount as requested by the board of	47465
trustees, provided such sum does not exceed nine per cent of the	47466
total amount paid to the municipal corporation.	47467

If any public official fails to maintain the records required	47468
by sections 5747.50 to 5747.55 of the Revised Code or by the rules	47469
issued by the tax commissioner, the auditor of state, or the	47470
treasurer of state pursuant to such sections, or fails to comply	47471
with any law relating to the enforcement of such sections, the	47472
local governmentcommunities fund money allocated to the county	47473
shallmay be withheld until such time as the public official has	47474
complied with such sections or such law or the rules issued	47475
pursuant thereto.	47476

Sec. 5747.52.  The form used by the county budget commission	47477
to calculate subdivision shares of the undivided local government	47478
communities fund as apportioned pursuant to section 5747.51 of the	47479
Revised Code shall be as follows:	47480

Calculation of (name of subdivision) share of

47481

undivided local government communities fund for

47482

(name of county) county

47483

Authorized expenditure for subdivision		Total		47484
1. Estimated expenditures from general fund		.....		47485
2. Estimated expenditures from special funds other than those established for road and bridge, street construction, maintenance, and state highway improvement, and for gas, water, sewer, and electric public utilities		.....		47486
3. Total		.....		47487
Deductions from authorized expenditures				47488
4. Expenditures for permanent improvements		.....		47489
5. Transfers to road and bridge fund (counties and townships only)		.....		47490
6. Transfers to street construction, maintenance, and repair, and state highway improvements funds		.....		47491
7. Expenditures for the payment of debt charges		.....		47492
8. Expenditures for the payment of judgments		.....		47493
9. Taxes levied inside the "ten-mill limitation"		.....		47494
10. Budget commission allocation of estimated county library and local government support libraries fund revenues		.....		47495
11. Estimated unemcumbered balances as of December 31 of current year in the general funds as stated in the tax budget		.....		47496
12. Revenue, including transfers, shown in the general fund or any special funds other than special funds established for road and bridge, street construction, maintenance, and repair, and state highway improvement, and for gas, water, sewer, and electric public utilities, from all other sources except those from additional taxes or service charges voted by electorate as defined in division (E)(4) of section 5747.51 of the Revised Code, and except revenue from special assessment and revenue bond collections		.....		47497
13. Total		.....		47498
Calculation of subdivision share				47499
14. Relative need of subdivision (line 3 less line 13)		.....		47500
15. Relative need factor for county (total estimate of undivided local government communities fund divided by total relative need of all participating subdivisions)		.....		47501
16. Proportionate share of subdivision (relative need of subdivision multiplied by relative need factor)		.....		47502
17. After any adjustments necessary to comply with statutory maximum share allowable to county		.....		47503
18. After any adjustments necessary to comply with statutory minimum share allowable to townships		.....		47504
19. After any adjustments necessary to comply with minimum guarantee in division (I) of section 5747.51 of the Revised Code		.....		47505
20. Proportionate share of subdivision (line 16, 17, 18, or 19, whichever is appropriate)		.....		47506

Sec. 5747.53.  (A) As used in this section:

47507

(1) "City, located wholly or partially in the county, with	47508
the greatest population" means the city, located wholly or	47509
partially in the county, with the greatest population residing in	47510
the county; however, if the county budget commission on or before	47511
January 1, 1998, adopted an alternative method of apportionment	47512
that was approved by the legislative authority of the city,	47513
located partially in the county, with the greatest population but	47514
not the greatest population residing in the county, "city, located	47515
wholly or partially in the county, with the greatest population"	47516
means the city, located wholly or partially in the county, with	47517
the greatest population whether residing in the county or not, if	47518
this alternative meaning is adopted by action of the board of	47519
county commissioners and a majority of the boards of township	47520
trustees and legislative authorities of municipal corporations	47521
located wholly or partially in the county. If the county budget	47522
commission adopted a method or formula for apportioning the	47523
undivided local government fund under this section as this section	47524
existed on the effective date of its amendment by ... .B.	47525
.......... of the 127th general assembly, and, if it were not for	47526
the amendment replacing "undivided local government fund" with	47527
"undivided local communities fund" the undivided local government	47528
fund would have been apportioned among subdivisions eligible to	47529
participate in the fund on the basis of such method or formula,	47530
then such method or formula shall be used to apportion the	47531
undivided local communities fund among subdivisions eligible to	47532
participate in the fund.	47533

(2) "Participating political subdivision" means a municipal	47534
corporation or township that satisfies all of the following:	47535

(a) It is located wholly or partially in the county.

47536

(b) It is not the city, located wholly or partially in the	47537
county, with the greatest population.	47538

(c) Undivided local governmentcommunities fund moneys are	47539
apportioned to it under the county's alternative method or formula	47540
of apportionment in the current calendar year.	47541

(B) In lieu of the method of apportionment of the undivided	47542
local governmentcommunities fund of the county provided by	47543
section 5747.51 of the Revised Code, the county budget commission	47544
may provide for the apportionment of the fund under an alternative	47545
method or on a formula basis as authorized by this section.	47546

Except as otherwise provided in division (C) of this section,	47547
the alternative method of apportionment shall have first been	47548
approved by all of the following governmental units: the board of	47549
county commissioners; the legislative authority of the city,	47550
located wholly or partially in the county, with the greatest	47551
population; and a majority of the boards of township trustees and	47552
legislative authorities of municipal corporations, located wholly	47553
or partially in the county, excluding the legislative authority of	47554
the city, located wholly or partially in the county, with the	47555
greatest population. In granting or denying approval for an	47556
alternative method of apportionment, the board of county	47557
commissioners, boards of township trustees, and legislative	47558
authorities of municipal corporations shall act by motion. A	47559
motion to approve shall be passed upon a majority vote of the	47560
members of a board of county commissioners, board of township	47561
trustees, or legislative authority of a municipal corporation,	47562
shall take effect immediately, and need not be published.	47563

Any alternative method of apportionment adopted and approved	47564
under this division may be revised, amended, or repealed in the	47565
same manner as it may be adopted and approved. If an alternative	47566
method of apportionment adopted and approved under this division	47567
is repealed, the undivided local governmentcommunities fund of	47568
the county shall be apportioned among the subdivisions eligible to	47569
participate in the fund, commencing in the ensuing calendar year,	47570
under the apportionment provided in section 5747.52 of the Revised	47571
Code, unless the repeal occurs by operation of division (C) of	47572
this section or a new method for apportionment of the fund is	47573
provided in the action of repeal.	47574

(C) This division applies only in counties in which the city,	47575
located wholly or partially in the county, with the greatest	47576
population has a population of twenty thousand or less and a	47577
population that is less than fifteen per cent of the total	47578
population of the county. In such a county, the legislative	47579
authorities or boards of township trustees of two or more	47580
participating political subdivisions, which together have a	47581
population residing in the county that is a majority of the total	47582
population of the county, each may adopt a resolution to exclude	47583
the approval otherwise required of the legislative authority of	47584
the city, located wholly or partially in the county, with the	47585
greatest population. All of the resolutions to exclude that	47586
approval shall be adopted not later than the first Monday of	47587
August of the year preceding the calendar year in which	47588
distributions are to be made under an alternative method of	47589
apportionment.	47590

A motion granting or denying approval of an alternative	47591
method of apportionment under this division shall be adopted by a	47592
majority vote of the members of the board of county commissioners	47593
and by a majority vote of a majority of the boards of township	47594
trustees and legislative authorities of the municipal corporations	47595
located wholly or partially in the county, other than the city,	47596
located wholly or partially in the county, with the greatest	47597
population, shall take effect immediately, and need not be	47598
published. The alternative method of apportionment under this	47599
division shall be adopted and approved annually, not later than	47600
the first Monday of August of the year preceding the calendar year	47601
in which distributions are to be made under it. A motion granting	47602
approval of an alternative method of apportionment under this	47603
division repeals any existing alternative method of apportionment,	47604
effective with distributions to be made from the fund in the	47605
ensuing calendar year. An alternative method of apportionment	47606
under this division shall not be revised or amended after the	47607
first Monday of August of the year preceding the calendar year in	47608
which distributions are to be made under it.	47609

(D) In determining an alternative method of apportionment	47610
authorized by this section, the county budget commission may	47611
include in the method any factor considered to be appropriate and	47612
reliable, in the sole discretion of the county budget commission.	47613

(E) The limitations set forth in section 5747.51 of the	47614
Revised Code, stating the maximum amount that the county may	47615
receive from the undivided local governmentcommunities fund and	47616
the minimum amount the townships in counties having a population	47617
of less than one hundred thousand may receive from the fund, are	47618
applicable to any alternative method of apportionment authorized	47619
under this section.	47620

(F) On the basis of any alternative method of apportionment	47621
adopted and approved as authorized by this section, as certified	47622
by the auditor to the county treasurer, the county treasurer shall	47623
make distribution of the money in the undivided local government	47624
communities fund to each subdivision eligible to participate in	47625
the fund, and the auditor, when the amount of those shares is in	47626
the custody of the treasurer in the amounts so computed to be due	47627
the respective subdivisions, shall at the same time certify to the	47628
tax commissioner the percentage share of the county as a	47629
subdivision. All money received into the treasury of a subdivision	47630
from the undivided local governmentcommunities fund in a county	47631
treasury shall be paid into the general fund and used for the	47632
current operating expenses of the subdivision. If a municipal	47633
corporation maintains a municipal university, the university, when	47634
the board of trustees so requests the legislative authority of the	47635
municipal corporation, shall participate in the money apportioned	47636
to the municipal corporation from the total local government	47637
communities fund, however created and constituted, in the amount	47638
requested by the board of trustees, provided that amount does not	47639
exceed nine per cent of the total amount paid to the municipal	47640
corporation.	47641

(G) The actions of the county budget commission taken	47642
pursuant to this section are final and may not be appealed to the	47643
board of tax appeals, except on the issues of abuse of discretion	47644
and failure to comply with the formula.	47645

Sec. 5747.54.  The tax commissioner shall not distributemay	47646
withhold distributions of local governmentcommunities fund money	47647
to any county where the county auditor has failed to certify to	47648
the tax commissioner the percentage share of the undivided local	47649
governmentcommunities fund of the county as a subdivision for the	47650
year for which distribution is to be made. The director shallof	47651
budget and management may direct the tax commissioner to withhold	47652
from sucha county the percentage of the amount distributable	47653
thereto that constitutes the share of the county as a subdivision	47654
of the local communities fund so long as such county is indebted	47655
or otherwise obligated to the state, until such indebtedness or	47656
other obligation has been duly paid, but no distribution of such	47657
percentage share of the local governmentcommunities fund shall be	47658
withheld unless an itemized statement of such indebtedness is	47659
furnished the county auditor of the county from which the	47660
indebtedness is due at least thirty days prior to the withholding	47661
of the distribution.	47662

Any indebtedness or obligation of the state to a county shall	47663
be deducted from the amount owing to the state by such county in	47664
determining the indebtedness or obligation as to which	47665
distribution is withheld.	47666

Sec. 5747.55.  The action of the county budget commission	47667
under sections 5747.51 and 5747.62 of the Revised Code may be	47668
appealed to the board of tax appeals in the manner and with the	47669
effect provided in section 5705.37 of the Revised Code, in	47670
accordance with the following rules:	47671

(A) The notice of appeal shall be signed by the authorized	47672
fiscal officer and shall set forth in clear and concise language:	47673

(1) A statement of the action of the budget commission	47674
appealed from, and the date of the receipt by the subdivision of	47675
the official certificate or notice of such action;	47676

(2) The error or errors the taxing district believes the	47677
budget commission made;	47678

(3) The specific relief sought by the taxing district.

47679

(B) The notice of appeal shall have attached thereto:

47680

(1) A certified copy of the resolution of the taxing	47681
authority authorizing the fiscal officer to file the appeal;	47682

(2) An exact copy of the official certificate, or notice of	47683
the action of the budget commission appealed from;	47684

(3) An exact copy of the budget request filed with the budget	47685
commission by the complaining subdivision, with the date of filing	47686
noted thereon.	47687

(C) There shall also be attached to the notice of appeal a	47688
statement showing:	47689

(1) The name of the fund involved, the total amount in	47690
dollars allocated, and the exact amount in dollars allocated to	47691
each participating subdivision;	47692

(2) The amount in dollars which the complaining subdivision	47693
believes it should have received;	47694

(3) The name of each participating subdivision, as well as	47695
the name and address of the fiscal officer thereof, that the	47696
complaining subdivision believes received more than its proper	47697
share of the allocation, and the exact amount in dollars of such	47698
alleged over-allocation.	47699

(D) Only the participating subdivisions named pursuant to	47700
division (C) of this section are to be considered as appellees	47701
before the board of tax appeals and no change shall, in any	47702
amount, be made in the amount allocated to participating	47703
subdivisions not appellees.	47704

(E) The total of the undivided local government fund or,	47705
undivided local government revenue assistance fund, or local	47706
communities fund to be allocated by the board of tax appeals upon	47707
appeal is the total of that fund allocated by the budget	47708
commission to those subdivisions which are appellants and	47709
appellees before the board of tax appeals.	47710

Sec. 5748.01.  As used in this chapter:

47711

(A) "School district income tax" means an income tax adopted	47712
under one of the following:	47713

(1) Former section 5748.03 of the Revised Code as it existed	47714
prior to its repeal by Amended Substitute House Bill No. 291 of	47715
the 115th general assembly;	47716

(2) Section 5748.03 of the Revised Code as enacted in	47717
Substitute Senate Bill No. 28 of the 118th general assembly;	47718

(3) Section 5748.08 of the Revised Code as enacted in Amended	47719
Substitute Senate Bill No. 17 of the 122nd general assembly;	47720

(4) Section 5748.021 of the Revised Code;

47721

(5) Section 5748.081 of the Revised Code.

47722

(B) "Individual" means an individual subject to the tax	47723
levied by section 5747.02 of the Revised Code.	47724

(C) "Estate" means an estate subject to the tax levied by	47725
section 5747.02 of the Revised Code.	47726

(D) "Taxable year" means a taxable year as defined in	47727
division (M) of section 5747.01 of the Revised Code.	47728

(E) "Taxable income" means:

47729

(1) In the case of an individual, one of the following, as	47730
specified in the resolution imposing the tax:	47731

(a) Ohio adjusted gross income for the taxable year as	47732
defined in division (A) of section 5747.01 of the Revised Code,	47733
less the exemptions provided by section 5747.02 of the Revised	47734
Code;	47735

(b) Wages, salaries, tips, and other employee compensation to	47736
the extent included in Ohio adjusted gross income as defined in	47737
section 5747.01 of the Revised Code, and net earnings from	47738
self-employment, as defined in section 1402(a) of the Internal	47739
Revenue Code, to the extent included in Ohio adjusted gross	47740
income.	47741

(2) In the case of an estate, taxable income for the taxable	47742
year as defined in division (S) of section 5747.01 of the Revised	47743
Code.	47744

(F) "Resident" of the school district means:

47745

(1) An individual who is a resident of this state as defined	47746
in division (I) of section 5747.01 of the Revised Code during all	47747
or a portion of the taxable year and who, during all or a portion	47748
of such period of state residency, is domiciled in the school	47749
district or lives in and maintains a permanent place of abode in	47750
the school district;	47751

(2) An estate of a decedent who, at the time of death, was	47752
domiciled in the school district.	47753

(G) "School district income" means:

47754

(1) With respect to an individual, the portion of the taxable	47755
income of an individual that is received by the individual during	47756
the portion of the taxable year that the individual is a resident	47757
of the school district and the school district income tax is in	47758
effect in that school district. An individual may have school	47759
district income with respect to more than one school district.	47760

(2) With respect to an estate, the taxable income of the	47761
estate for the portion of the taxable year that the school	47762
district income tax is in effect in that school district.	47763

(H) "Taxpayer" means an individual or estate having school	47764
district income upon which a school district income tax is	47765
imposed.	47766

(I) "School district purposes" means any of the purposes for	47767
which a tax may be levied pursuant to section 5705.21 of the	47768
Revised Code, including the combined purposes authorized by	47769
section 5705.217 of the Revised Code.	47770

Sec. 5748.02.  (A) The board of education of any school	47771
district, except a joint vocational school district, may declare,	47772
by resolution, the necessity of raising annually a specified	47773
amount of money for school district purposes. The resolution shall	47774
specify whether the income that is to be subject to the tax is	47775
taxable income of individuals and estates as defined in divisions	47776
(E)(1)(a) and (2) of section 5748.01 of the Revised Code or	47777
taxable income of individuals as defined in division (E)(1)(b) of	47778
that section. A copy of the resolution shall be certified to the	47779
tax commissioner no later than eighty-five days prior to the date	47780
of the election at which the board intends to propose a levy under	47781
this section. Upon receipt of the copy of the resolution, the tax	47782
commissioner shall estimate both of the following:	47783

(1) The property tax rate that would have to be imposed in	47784
the current year by the district to produce an equivalent amount	47785
of money;	47786

(2) The income tax rate that would have had to have been in	47787
effect for the current year to produce an equivalent amount of	47788
money from a school district income tax.	47789

Within ten days of receiving the copy of the board's	47790
resolution, the commissioner shall prepare these estimates and	47791
certify them to the board. Upon receipt of the certification, the	47792
board may adopt a resolution proposing an income tax under	47793
division (B) of this section at the estimated rate contained in	47794
the certification rounded to the nearest one-fourth of one per	47795
cent. The commissioner's certification applies only to the board's	47796
proposal to levy an income tax at the election for which the board	47797
requested the certification. If the board intends to submit a	47798
proposal to levy an income tax at any other election, it shall	47799
request another certification for that election in the manner	47800
prescribed in this division.	47801

(B)(1) Upon the receipt of a certification from the tax	47802
commissioner under division (A) of this section, a majority of the	47803
members of a board of education may adopt a resolution proposing	47804
the levy of an annual tax for school district purposes on school	47805
district income. The proposed levy may be for a continuing period	47806
of time or for a specified number of years. The resolution shall	47807
set forth the purpose for which the tax is to be imposed, the rate	47808
of the tax, which shall be the rate set forth in the	47809
commissioner's certification rounded to the nearest one-fourth of	47810
one per cent, the number of years the tax will be levied or that	47811
it will be levied for a continuing period of time, the date on	47812
which the tax shall take effect, which shall be the first day of	47813
January of any year following the year in which the question is	47814
submitted, and the date of the election at which the proposal	47815
shall be submitted to the electors of the district, which shall be	47816
on the date of a primary, general, or special election the date of	47817
which is consistent with section 3501.01 of the Revised Code. The	47818
resolution shall specify whether the income that is to be subject	47819
to the tax is taxable income of individuals and estates as defined	47820
in divisions (E)(1)(a) and (2) of section 5748.01 of the Revised	47821
Code or taxable income of individuals as defined in division	47822
(E)(1)(b) of that section. The specification shall be the same as	47823
the specification in the resolution adopted and certified under	47824
division (A) of this section. If	47825

If the tax is to be levied for current expenses and permanent	47826
improvements, the resolution shall apportion the annual rate of	47827
the tax. The apportionment may be the same or different for each	47828
year the tax is levied, but the respective portions of the rate	47829
actually levied each year for current expenses and for permanent	47830
improvements shall be limited by the apportionment.	47831

If the board of education currently imposes an income tax	47832
pursuant to this chapter that is due to expire and a question is	47833
submitted under this section for a proposed income tax to take	47834
effect upon the expiration of the existing tax, the board may	47835
specify in the resolution that the proposed tax renews the	47836
expiring tax and is not an additional income tax, provided that	47837
the tax rate being proposed is no higher than the tax rate that is	47838
currently imposed.	47839

(2) A board of education adopting a resolution under division	47840
(B)(1) of this section proposing a school district income tax for	47841
a continuing period of time and limited to the purpose of current	47842
expenses may propose in that resolution to reduce the rate or	47843
rates of one or more of the school district's property taxes	47844
levied for a continuing period of time in excess of the ten-mill	47845
limitation for the purpose of current expenses. The reduction in	47846
the rate of a property tax may be any amount, expressed in mills	47847
per one dollar in valuation, not exceeding the rate at which the	47848
tax is authorized to be levied. The reduction in the rate of a tax	47849
shall first take effect for the tax year that includes the day on	47850
which the school district income tax first takes effect, and shall	47851
continue for each tax year that both the school district income	47852
tax and the property tax levy are in effect.	47853

In addition to the matters required to be set forth in the	47854
resolution under division (B)(1) of this section, a resolution	47855
containing a proposal to reduce the rate of one or more property	47856
taxes shall state for each such tax the maximum rate at which it	47857
currently may be levied and the maximum rate at which the tax	47858
could be levied after the proposed reduction, expressed in mills	47859
per one dollar in valuation, and that the tax is levied for a	47860
continuing period of time.	47861

If a board of education proposes to reduce the rate of one or	47862
more property taxes under division (B)(2) of this section, the	47863
board, when it makes the certification required under division (A)	47864
of this section, shall designate the specific levy or levies to be	47865
reduced, the maximum rate at which each levy currently is	47866
authorized to be levied, and the rate by which each levy is	47867
proposed to be reduced. The tax commissioner, when making the	47868
certification to the board under division (A) of this section,	47869
also shall certify the reduction in the total effective tax rate	47870
for current expenses for each class of property that would have	47871
resulted if the proposed reduction in the rate or rates had been	47872
in effect the previous tax year. As used in this paragraph,	47873
"effective tax rate" has the same meaning as in section 323.08 of	47874
the Revised Code.	47875

(C) A resolution adopted under division (B) of this section	47876
shall go into immediate effect upon its passage, and no	47877
publication of the resolution shall be necessary other than that	47878
provided for in the notice of election. Immediately after its	47879
adoption and at least seventy-five days prior to the election at	47880
which the question will appear on the ballot, a copy of the	47881
resolution shall be certified to the board of elections of the	47882
proper county, which shall submit the proposal to the electors on	47883
the date specified in the resolution. The form of the ballot shall	47884
be as provided in section 5748.03 of the Revised Code. Publication	47885
of notice of the election shall be made in one or more newspapers	47886
of general circulation in the county once a week for two	47887
consecutive weeks prior to the election, and, if the board of	47888
elections operates and maintains a web site, the board of	47889
elections shall post notice of the election on its web site for	47890
thirty days prior to the election. The notice shall contain the	47891
time and place of the election and the question to be submitted to	47892
the electors. The question covered by the resolution shall be	47893
submitted as a separate proposition, but may be printed on the	47894
same ballot with any other proposition submitted at the same	47895
election, other than the election of officers.	47896

(D) No board of education shall submit the question of a tax	47897
on school district income to the electors of the district more	47898
than twice in any calendar year. If a board submits the question	47899
twice in any calendar year, one of the elections on the question	47900
shall be held on the date of the general election.	47901

(E)(1) No board of education may submit to the electors of	47902
the district the question of a tax on school district income on	47903
the taxable income of individuals as defined in division (E)(1)(b)	47904
of section 5748.01 of the Revised Code if that tax would be in	47905
addition to an existing tax on the taxable income of individuals	47906
and estates as defined in divisions (E)(1)(a) and (2) of that	47907
section.	47908

(2) No board of education may submit to the electors of the	47909
district the question of a tax on school district income on the	47910
taxable income of individuals and estates as defined in divisions	47911
(E)(1)(a) and (2) of section 5748.01 of the Revised Code if that	47912
tax would be in addition to an existing tax on the taxable income	47913
of individuals as defined in division (E)(1)(b) of that section.	47914

Sec. 5748.022.  A majority of the members of a board of	47915
education of a school district levying a tax under section 5748.02	47916
of the Revised Code may adopt a resolution reducing the rate of	47917
the tax by a multiple of one-fourth of one per cent.	47918

The resolution shall set forth the current rate of the tax,	47919
the reduced rate of tax that results from adoption of the	47920
resolution, the purpose or purposes for which the tax is levied,	47921
the remaining number of years the tax will be levied or that it is	47922
levied for a continuing period of time, and the date on which the	47923
reduced tax rate shall take effect, which shall be the ensuing	47924
first day of January occurring at least sixty days after a copy of	47925
the resolution is certified to the tax commissioner.	47926

Sec. 5751.20.  (A) As used in sections 5751.20 to 5751.22 of	47927
the Revised Code:	47928

(1) "School district," "joint vocational school district,"	47929
"local taxing unit," "state education aid," "recognized	47930
valuation," "fixed-rate levy," and "fixed-sum levy" have the same	47931
meanings as used in section 5727.84 of the Revised Code.	47932

(2) "State education aid" for a school district means the sum	47933
of state aid amounts computed for the district under divisions	47934
(A), (C)(1), (C)(4), (D), (E), and (F) of section 3317.022;	47935
divisions (B), (C), and (D) of section 3317.023; divisions (L) and	47936
(N) of section 3317.024; section 3317.0216; and any unit payments	47937
for gifted student services paid under sections 3317.05, 3317.052,	47938
and 3317.053 of the Revised Code; except that, for fiscal years	47939
2008 and 2009, the amount computed for the district under Section	47940
..... in this act ("Transportation") and as that section	47941
subsequently may be amended shall be substituted for the amount	47942
computed under division (D) of section 3317.022 of the Revised	47943
Code, and the amount computed under Section ..... in this act	47944
("Transitional Aid") and as that section subsequently may be	47945
amended shall be included.	47946

(3) "State education aid" for a joint vocational school	47947
district means the sum of the state aid computed for the district	47948
under division (N) of section 3317.024 and section 3317.16 of the	47949
Revised Code, except that, for fiscal years 2008 and 2009, the	47950
amount computed under Section ..... in this act ("Transitional	47951
Aid") and as that section subsequently may be amended shall be	47952
included.	47953

(4) "State education aid offset" means the amount determined	47954
for each school district or joint vocational school district under	47955
division (A)(1) of section 5751.21 of the Revised Code.	47956

(3)(5) "Machinery and equipment property tax value loss"	47957
means the amount determined under division (C)(1) of this section.	47958

(4)(6) "Inventory property tax value loss" means the amount	47959
determined under division (C)(2) of this section.	47960

(5)(7) "Furniture and fixtures property tax value loss" means	47961
the amount determined under division (C)(3) of this section.	47962

(6)(8) "Machinery and equipment fixed-rate levy loss" means	47963
the amount determined under division (D)(1) of this section.	47964

(7)(9) "Inventory fixed-rate levy loss" means the amount	47965
determined under division (D)(2) of this section.	47966

(8)(10) "Furniture and fixtures fixed-rate levy loss" means	47967
the amount determined under division (D)(3) of this section.	47968

(9)(11) "Total fixed-rate levy loss" means the sum of the	47969
machinery and equipment fixed-rate levy loss, the inventory	47970
fixed-rate levy loss, the furniture and fixtures fixed-rate levy	47971
loss, and the telephone company fixed-rate levy loss.	47972

(10)(12) "Fixed-sum levy loss" means the amount determined	47973
under division (E) of this section.	47974

(11)(13) "Machinery and equipment" means personal property	47975
subject to the assessment rate specified in division (F) of	47976
section 5711.22 of the Revised Code.	47977

(12)(14) "Inventory" means personal property subject to the	47978
assessment rate specified in division (E) of section 5711.22 of	47979
the Revised Code.	47980

(13)(15) "Furniture and fixtures" means personal property	47981
subject to the assessment rate specified in division (G) of	47982
section 5711.22 of the Revised Code.	47983

(14)(16) "Qualifying levies" are levies in effect for tax	47984
year 2004 or applicable to tax year 2005 or approved at an	47985
election conducted before September 1, 2005. For the purpose of	47986
determining the rate of a qualifying levy authorized by section	47987
5705.212 or 5705.213 of the Revised Code, the rate shall be the	47988
rate that would be in effect for tax year 2010.	47989

(15)(17) "Telephone property" means tangible personal	47990
property of a telephone, telegraph, or interexchange	47991
telecommunications company subject to an assessment rate specified	47992
in section 5727.111 of the Revised Code in tax year 2004.	47993

(16)(18) "Telephone property tax value loss" means the amount	47994
determined under division (C)(4) of this section.	47995

(17)(19) "Telephone property fixed-rate levy loss" means the	47996
amount determined under division (D)(4) of this section.	47997

(B) The commercial activities tax receipts fund is hereby	47998
created in the state treasury and shall consist of money arising	47999
from the tax imposed under this chapter. All money in that fund	48000
shall be credited for each fiscal year in the following	48001
percentages to the general revenue fund, to the school district	48002
tangible property tax replacement fund, which is hereby created in	48003
the state treasury for the purpose of making the payments	48004
described in section 5751.21 of the Revised Code, and to the local	48005
government tangible property tax replacement fund, which is hereby	48006
created in the state treasury for the purpose of making the	48007
payments described in section 5751.22 of the Revised Code, in the	48008
following percentages:	48009

Fiscal year	General Revenue Fund	School District Tangible Property Tax Replacement Fund	Local Government Tangible Property Tax Replacement Fund		48010
2006	67.7%	22.6%	9.7%		48011
2007	0%	70.0%	30.0%		48012
2008	0%	70.0%	30.0%		48013
2009	0%	70.0%	30.0%		48014
2010	0%	70.0%	30.0%		48015
2011	0%	70.0%	30.0%		48016
2012	5.3%	70.0%	24.7%		48017
2013	19.4%	70.0%	10.6%		48018
2014	14.1%	70.0%	15.9%		48019
2015	17.6%	70.0%	12.4%		48020
2016	21.1%	70.0%	8.9%		48021
2017	24.6%	70.0%	5.4%		48022
2018	28.1%	70.0%	1.9%		48023
2019 and thereafter	100%	0%	0%		48024

(C) Not later than September 15, 2005, the tax commissioner	48025
shall determine for each school district, joint vocational school	48026
district, and local taxing unit its machinery and equipment,	48027
inventory property, furniture and fixtures property, and telephone	48028
property tax value losses, which are the applicable amounts	48029
described in divisions (C)(1), (2), (3), and (4) of this section,	48030
except as provided in division (C)(5) of this section:	48031

(1) Machinery and equipment property tax value loss is the	48032
taxable value of machinery and equipment property as reported by	48033
taxpayers for tax year 2004 multiplied by:	48034

(a) For tax year 2006, thirty-three and eight-tenths per	48035
cent;	48036

(b) For tax year 2007, sixty-one and three-tenths per cent;

48037

(c) For tax year 2008, eighty-three per cent;

48038

(d) For tax year 2009 and thereafter, one hundred per cent.

48039

(2) Inventory property tax value loss is the taxable value of	48040
inventory property as reported by taxpayers for tax year 2004	48041
multiplied by:	48042

(a) For tax year 2006, a fraction, the numerator of which is	48043
five and three-fourths and the denominator of which is	48044
twenty-three;	48045

(b) For tax year 2007, a fraction, the numerator of which is	48046
nine and one-half and the denominator of which is twenty-three;	48047

(c) For tax year 2008, a fraction, the numerator of which is	48048
thirteen and one-fourth and the denominator of which is	48049
twenty-three;	48050

(d) For tax year 2009 and thereafter a fraction, the	48051
numerator of which is seventeen and the denominator of which is	48052
twenty-three.	48053

(3) Furniture and fixtures property tax value loss is the	48054
taxable value of furniture and fixture property as reported by	48055
taxpayers for tax year 2004 multiplied by:	48056

(a) For tax year 2006, twenty-five per cent;

48057

(b) For tax year 2007, fifty per cent;

48058

(c) For tax year 2008, seventy-five per cent;

48059

(d) For tax year 2009 and thereafter, one hundred per cent.

48060

The taxable value of property reported by taxpayers used in	48061
divisions (C)(1), (2), and (3) of this section shall be such	48062
values as determined to be final by the tax commissioner as of	48063
August 31, 2005. Such determinations shall be final except for any	48064
correction of a clerical error that was made prior to August 31,	48065
2005, by the tax commissioner.	48066

(4) Telephone property tax value loss is the taxable value of	48067
telephone property as taxpayers would have reported that property	48068
for tax year 2004 if the assessment rate for all telephone	48069
property for that year were twenty-five per cent, multiplied by:	48070

(a) For tax year 2006, zero per cent;

48071

(b) For tax year 2007, zero per cent;

48072

(c) For tax year 2008, zero per cent;

48073

(d) For tax year 2009, sixty per cent;

48074

(e) For tax year 2010, eighty per cent;

48075

(f) For tax year 2011 and thereafter, one hundred per cent.

48076

(5) Division (C)(5) of this section applies to any school	48077
district, joint vocational school district, or local taxing unit	48078
in a county in which is located a facility currently or formerly	48079
devoted to the enrichment or commercialization of uranium or	48080
uranium products, and for which the total taxable value of	48081
property listed on the general tax list of personal property for	48082
any tax year from tax year 2001 to tax year 2004 was fifty per	48083
cent or less of the taxable value of such property listed on the	48084
general tax list of personal property for the next preceding tax	48085
year.	48086

In computing the fixed-rate levy losses under divisions	48087
(D)(1), (2), and (3) of this section for any school district,	48088
joint vocational school district, or local taxing unit to which	48089
division (C)(5) of this section applies, the taxable value of such	48090
property as listed on the general tax list of personal property	48091
for tax year 2000 shall be substituted for the taxable value of	48092
such property as reported by taxpayers for tax year 2004, in the	48093
taxing district containing the uranium facility, if the taxable	48094
value listed for tax year 2000 is greater than the taxable value	48095
reported by taxpayers for tax year 2004. For the purpose of making	48096
the computations under divisions (D)(1), (2), and (3) of this	48097
section, the tax year 2000 valuation is to be allocated to	48098
machinery and equipment, inventory, and furniture and fixtures	48099
property in the same proportions as the tax year 2004 values. For	48100
the purpose of the calculations in division (A) of section 5751.21	48101
of the Revised Code, the tax year 2004 taxable values shall be	48102
used.	48103

To facilitate the calculations required under division (C) of	48104
this section, the county auditor, upon request from the tax	48105
commissioner, shall provide by August 1, 2005, the values of	48106
machinery and equipment, inventory, and furniture and fixtures for	48107
all single-county personal property taxpayers for tax year 2004.	48108

(D) Not later than September 15, 2005, the tax commissioner	48109
shall determine for each tax year from 2006 through 2009 for each	48110
school district, joint vocational school district, and local	48111
taxing unit its machinery and equipment, inventory, and furniture	48112
and fixtures fixed-rate levy losses, and for each tax year from	48113
2006 through 2011 its telephone property fixed-rate levy loss,	48114
which are the applicable amounts described in divisions (D)(1),	48115
(2), (3), and (4) of this section:	48116

(1) The machinery and equipment fixed-rate levy loss is the	48117
machinery and equipment property tax value loss multiplied by the	48118
sum of the tax rates of fixed-rate qualifying levies.	48119

(2) The inventory fixed-rate loss is the inventory property	48120
tax value loss multiplied by the sum of the tax rates of	48121
fixed-rate qualifying levies.	48122

(3) The furniture and fixtures fixed-rate levy loss is the	48123
furniture and fixture property tax value loss multiplied by the	48124
sum of the tax rates of fixed-rate qualifying levies.	48125

(4) The telephone property fixed-rate levy loss is the	48126
telephone property tax value loss multiplied by the sum of the tax	48127
rates of fixed-rate qualifying levies.	48128

(E) Not later than September 15, 2005, the tax commissioner	48129
shall determine for each school district, joint vocational school	48130
district, and local taxing unit its fixed-sum levy loss. The	48131
fixed-sum levy loss is the amount obtained by subtracting the	48132
amount described in division (E)(2) of this section from the	48133
amount described in division (E)(1) of this section:	48134

(1) The sum of the machinery and equipment property tax value	48135
loss, the inventory property tax value loss, and the furniture and	48136
fixtures property tax value loss, and, for 2008 through 2017 the	48137
telephone property tax value loss of the district or unit	48138
multiplied by the sum of the fixed-sum tax rates of qualifying	48139
levies. For 2006 through 2010, this computation shall include all	48140
qualifying levies remaining in effect for the current tax year and	48141
any school district emergency levies that are qualifying levies	48142
not remaining in effect for the current year. For 2011 through	48143
2017, this computation shall include only qualifying levies	48144
remaining in effect for the current year. For purposes of this	48145
computation, a qualifying school district emergency levy remains	48146
in effect in a year after 2010 only if, for that year, the board	48147
of education levies a school district emergency levy for an annual	48148
sum at least equal to the annual sum levied by the board in tax	48149
year 2004 less the amount of the payment certified under this	48150
division for 2006.	48151

(2) The total taxable value in tax year 2004 less the sum of	48152
the machinery and equipment, inventory, furniture and fixtures,	48153
and telephone property tax value losses in each school district,	48154
joint vocational school district, and local taxing unit multiplied	48155
by one-half of one mill per dollar.	48156

(3) For the calculations in divisions (E)(1) and (2) of this	48157
section, the tax value losses are those that would be calculated	48158
for tax year 2009 under divisions (C)(1), (2), and (3) of this	48159
section and for tax year 2011 under division (C)(4) of this	48160
section.	48161

(4) To facilitate the calculation under divisions (D) and (E)	48162
of this section, not later than September 1, 2005, any school	48163
district, joint vocational school district, or local taxing unit	48164
that has a qualifying levy that was approved at an election	48165
conducted during 2005 before September 1, 2005, shall certify to	48166
the tax commissioner a copy of the county auditor's certificate of	48167
estimated property tax millage for such levy as required under	48168
division (B) of section 5705.03 of the Revised Code, which is the	48169
rate that shall be used in the calculations under such divisions.	48170

If the amount determined under division (E) of this section	48171
for any school district, joint vocational school district, or	48172
local taxing unit is greater than zero, that amount shall equal	48173
the reimbursement to be paid pursuant to division (D) of section	48174
5751.21 or division (A)(3) of section 5751.22 of the Revised Code,	48175
and the one-half of one mill that is subtracted under division	48176
(E)(2) of this section shall be apportioned among all contributing	48177
fixed-sum levies in the proportion that each levy bears to the sum	48178
of all fixed-sum levies within each school district, joint	48179
vocational school district, or local taxing unit.	48180

(F) Not later than October 1, 2005, the tax commissioner	48181
shall certify to the department of education for every school	48182
district and joint vocational school district the machinery and	48183
equipment, inventory, furniture and fixtures, and telephone	48184
property tax value losses determined under division (C) of this	48185
section, the machinery and equipment, inventory, furniture and	48186
fixtures, and telephone fixed-rate levy losses determined under	48187
division (D) of this section, and the fixed-sum levy losses	48188
calculated under division (E) of this section. The calculations	48189
under divisions (D) and (E) of this section shall separately	48190
display the levy loss for each levy eligible for reimbursement.	48191

(G) Not later than October 1, 2005, the tax commissioner	48192
shall certify the amount of the fixed-sum levy losses to the	48193
county auditor of each county in which a school district, joint	48194
vocational school district, or local taxing unit with a fixed-sum	48195
levy loss reimbursement has territory.	48196

Sec. 5751.21.  (A) Not later than the thirty-firstfifteenth	48197
day of July of 2007 through 2017, the department of education	48198
shall consult with the director of budget and management and	48199
determine the following for each school district and each joint	48200
vocational school district eligible for payment under division (B)	48201
of this section:	48202

(1) The state education aid offset, which is the difference	48203
obtained by subtracting the amount described in division (A)(1)(b)	48204
of this section from the amount described in division (A)(1)(a) of	48205
this section:	48206

(a) The state education aid computed for the school district	48207
or joint vocational school district for the current fiscal year as	48208
of the thirty-firstfifteenth day of July;	48209

(b) The state education aid that would be computed for the	48210
school district or joint vocational school district for the	48211
current fiscal year as of the thirty-firstfifteenth day of July	48212
if the recognized valuation included the machinery and equipment,	48213
inventory, furniture and fixtures, and telephone property tax	48214
value losses for the school district or joint vocational school	48215
district for the second preceding tax year.	48216

(2) The greater of zero or the difference obtained by	48217
subtracting the state education aid offset determined under	48218
division (A)(1) of this section from the sum of the machinery and	48219
equipment fixed-rate levy loss, the inventory fixed-rate levy	48220
loss, furniture and fixtures fixed-rate levy loss, and telephone	48221
property fixed-rate levy loss certified under division (F) of	48222
section 5751.20 of the Revised Code for all taxing districts in	48223
each school district and joint vocational school district for the	48224
second preceding tax year.	48225

By the fifthtwentieth day of AugustJuly of each such year,	48226
the department of education and the director of budget and	48227
management shall certifyagree upon the amount soto be determined	48228
under division (A)(1) of this section to the director of budget	48229
and management.	48230

(B) The department of education shall pay from the school	48231
district tangible property tax replacement fund to each school	48232
district and joint vocational school district all of the following	48233
for fixed-rate levy losses certified under division (F) of section	48234
5751.20 of the Revised Code:	48235

(1) On or before May 31, 2006, one-seventh of the total	48236
fixed-rate levy loss for tax year 2006;	48237

(2) On or before August 31, 2006, and October 31, 2006,	48238
one-half of six-sevenths of the total fixed-rate levy loss for tax	48239
year 2006;	48240

(3) On or before May 31, 2007, one-seventh of the total	48241
fixed-rate levy loss for tax year 2007;	48242

(4) On or before August 31, 2007, and October 31, 2007,	48243
forty-three per cent of the amount determined under division	48244
(A)(2) of this section for fiscal year 2008, but not less than	48245
zero, plus one-half of six-sevenths of the difference between the	48246
total fixed-rate levy loss for tax year 2007 and the total	48247
fixed-rate levy loss for tax year 2006.	48248

(5) On or before May 31, 2008, fourteen per cent of the	48249
amount determined under division (A)(2) of this section for fiscal	48250
year 2008, but not less than zero, plus one-seventh of the	48251
difference between the total fixed-rate levy loss for tax year	48252
2008 and the total fixed-rate levy loss for tax year 2006.	48253

(6) On or before August 31, 2008, and October 31, 2008,	48254
forty-three per cent of the amount determined under division	48255
(A)(2) of this section for fiscal year 2009, but not less than	48256
zero, plus one-half of six-sevenths of the difference between the	48257
total fixed-rate levy loss in tax year 2008 and the total	48258
fixed-rate levy loss in tax year 2007.	48259

(7) On or before May 31, 2009, fourteen per cent of the	48260
amount determined under division (A)(2) of this section for fiscal	48261
year 2009, but not less than zero, plus one-seventh of the	48262
difference between the total fixed-rate levy loss for tax year	48263
2009 and the total fixed-rate levy loss for tax year 2007.	48264

(8) On or before August 31, 2009, and October 31, 2009,	48265
forty-three per cent of the amount determined under division	48266
(A)(2) of this section for fiscal year 2010, but not less than	48267
zero, plus one-half of six-sevenths of the difference between the	48268
total fixed-rate levy loss in tax year 2009 and the total	48269
fixed-rate levy loss in tax year 2008.	48270

(9) On or before May 31, 2010, fourteen per cent of the	48271
amount determined under division (A)(2) of this section for fiscal	48272
year 2010, but not less than zero, plus one-seventh of the	48273
difference between the total fixed-rate levy loss in tax year 2010	48274
and the total fixed-rate levy loss in tax year 2008.	48275

(10) On or before August 31, 2010, and October 31, 2010,	48276
one-third of the amount determined under division (A)(2) of this	48277
section for fiscal year 2011, but not less than zero, plus	48278
one-half of six-sevenths of the difference between the telephone	48279
property fixed-rate levy loss for tax year 2010 and the telephone	48280
property fixed-rate levy loss for tax year 2009.	48281

(11) On or before May 31, 2011, fourteen per cent of the	48282
amount determined under division (A)(2) of this section for fiscal	48283
year 2011, but not less than zero, plus one-seventh of the	48284
difference between the telephone property fixed-rate levy loss for	48285
tax year 2011 and the telephone property fixed-rate levy loss for	48286
tax year 2009.	48287

(12) On or before August 31, 2011, October 31, 2011, and May	48288
31, 2012, the amount determined under division (A)(2) of this	48289
section multiplied by a fraction, the numerator of which is	48290
fourteen and the denominator of which is seventeen, but not less	48291
than zero, multiplied by one-third, plus one-half of six-sevenths	48292
of the difference between the telephone property fixed-rate levy	48293
loss for tax year 2011 and the telephone property fixed-rate levy	48294
loss for tax year 2010.	48295

(13) On or before May 31, 2012, fourteen per cent of the	48296
amount determined under division (A)(2) of this section for fiscal	48297
year 2012, multiplied by a fraction, the numerator of which is	48298
fourteen and the denominator of which is seventeen, plus	48299
one-seventh of the difference between the telephone property	48300
fixed-rate levy loss for tax year 2011 and the telephone property	48301
fixed-rate levy loss for tax year 2010.	48302

(14) On or before August 31, 2012, October 31, 2012, and May	48303
31, 2013, the amount determined under division (A)(2) of this	48304
section multiplied by a fraction, the numerator of which is eleven	48305
and the denominator of which is seventeen, but not less than zero,	48306
multiplied by one-third.	48307

(15) On or before August 31, 2013, October 31, 2013, and May	48308
31, 2014, the amount determined under division (A)(2) of this	48309
section multiplied by a fraction, the numerator of which is nine	48310
and the denominator of which is seventeen, but not less than zero,	48311
multiplied by one-third.	48312

(16) On or before August 31, 2014, October 31, 2014, and May	48313
31, 2015, the amount determined under division (A)(2) of this	48314
section multiplied by a fraction, the numerator of which is seven	48315
and the denominator of which is seventeen, but not less than zero,	48316
multiplied by one-third.	48317

(17) On or before August 31, 2015, October 31, 2015, and May	48318
31, 2016, the amount determined under division (A)(2) of this	48319
section multiplied by a fraction, the numerator of which is five	48320
and the denominator of which is seventeen, but not less than zero,	48321
multiplied by one-third.	48322

(18) On or before August 31, 2016, October 31, 2016, and May	48323
31, 2017, the amount determined under division (A)(2) of this	48324
section multiplied by a fraction, the numerator of which is three	48325
and the denominator of which is seventeen, but not less than zero,	48326
multiplied by one-third.	48327

(19) On or before August 31, 2017, October 31, 2017, and May	48328
31, 2018, the amount determined under division (A)(2) of this	48329
section multiplied by a fraction, the numerator of which is one	48330
and the denominator of which is seventeen, but not less than zero,	48331
multiplied by one-third.	48332

(20) After May 31, 2018, no payments shall be made under this	48333
section.	48334

The department of education shall report to each school	48335
district and joint vocational school district the apportionment of	48336
the payments among the school district's or joint vocational	48337
school district's funds based on the certifications under division	48338
(F) of section 5751.20 of the Revised Code.	48339

Any qualifying levy that is a fixed-rate levy that is not	48340
applicable to a tax year after 2010 does not qualify for any	48341
reimbursement after the tax year to which it is last applicable.	48342

(C) For taxes levied within the ten-mill limitation for debt	48343
purposes in tax year 2005, payments shall be made equal to one	48344
hundred per cent of the loss computed as if the tax were a	48345
fixed-rate levy, but those payments shall extend from fiscal year	48346
2006 through fiscal year 2018, as long as the qualifying levy	48347
continues to be used for debt purposes. If the purpose of such a	48348
qualifying levy is changed, that levy becomes subject to the	48349
payments determined in division (B) of this section.	48350

(D)(1) Not later than January 1, 2006, for each fixed-sum	48351
levy of each school district or joint vocational school district	48352
and for each year for which a determination is made under division	48353
(F) of section 5751.20 of the Revised Code that a fixed-sum levy	48354
loss is to be reimbursed, the tax commissioner shall certify to	48355
the department of education the fixed-sum levy loss determined	48356
under that division. The certification shall cover a time period	48357
sufficient to include all fixed-sum levies for which the	48358
commissioner made such a determination. The department shall pay	48359
from the school district property tax replacement fund to the	48360
school district or joint vocational school district one-third of	48361
the fixed-sum levy loss so certified for each year on or before	48362
the last day of May, August, and October of the current year.	48363

(2) Beginning in 2006, by the first day of January of each	48364
year, the tax commissioner shall review the certification	48365
originally made under division (D)(1) of this section. If the	48366
commissioner determines that a debt levy that had been scheduled	48367
to be reimbursed in the current year has expired, a revised	48368
certification for that and all subsequent years shall be made to	48369
the department of education.	48370

(E) Beginning in September 2007 and through June 2018, the	48371
director of budget and management shall transfer from the school	48372
district tangible property tax replacement fund to the general	48373
revenue fund each of the following:	48374

(1) On the first day of September, the lesser of one-fourth	48375
of the amount certifieddetermined for that fiscal year under	48376
division (A)(1) of this section or the balance in the school	48377
district tangible property tax replacement fund;	48378

(2) On the first day of December, the lesser of one-fourth of	48379
the amount certifieddetermined for that fiscal year under	48380
division (A)(1) of this section or the balance in the school	48381
district tangible property tax replacement fund;	48382

(3) On the first day of March, the lesser of one-fourth of	48383
the amount certifieddetermined for that fiscal year under	48384
division (A)(1) of this section or the balance in the school	48385
district tangible property tax replacement fund;	48386

(4) On the first day of June, the lesser of one-fourth of the	48387
amount certifieddetermined for that fiscal year under division	48388
(A)(1) of this section or the balance in the school district	48389
tangible property tax replacement fund.	48390

If, when a transfer is required under division (E)(1), (2),	48391
(3), or (4) of this section, there is not sufficient money in the	48392
school district tangible property tax replacement fund to make the	48393
transfer in the required amount, the director shall transfer the	48394
balance in the fund to the general revenue fund and may make	48395
additional transfers on later dates as determined by the director	48396
in a total amount that does not exceed one-fourth of the amount	48397
determined for the fiscal year.	48398

(F) For each of the fiscal years 2006 through 2018, if the	48399
total amount in the school district tangible property tax	48400
replacement fund is insufficient to make all payments under	48401
divisions (B), (C), and (D) of this section at the times the	48402
payments are to be made, the director of budget and management	48403
shall transfer from the general revenue fund to the school	48404
district tangible property tax replacement fund the difference	48405
between the total amount to be paid and the amount in the school	48406
district tangible property tax replacement fund. For each fiscal	48407
year after 2018, at the time payments under division (D) of this	48408
section are to be made, the director of budget and management	48409
shall transfer from the general revenue fund to the school	48410
district property tax replacement fund the amount necessary to	48411
make such payments.	48412

(G) On the fifteenth day of June of 2006 through 2011, the	48413
director of budget and management may transfer any balance in the	48414
school district tangible property tax replacement fund to the	48415
general revenue fund. At the end of fiscal years 2012 through	48416
2018, any balance in the school district tangible property tax	48417
replacement fund shall remain in the fund to be used in future	48418
fiscal years for school purposes.	48419

(H) If all of the territory of a school district or joint	48420
vocational school district is merged with another district, or if	48421
a part of the territory of a school district or joint vocational	48422
school district is transferred to an existing or newly created	48423
district, the department of education, in consultation with the	48424
tax commissioner, shall adjust the payments made under this	48425
section as follows:	48426

(1) For a merger of two or more districts, the machinery and	48427
equipment, inventory, furniture and fixtures, and telephone	48428
property fixed-rate levy losses and the fixed-sum levy losses of	48429
the successor district shall be equal to the sum of the machinery	48430
and equipment, inventory, furniture and fixtures, and telephone	48431
property fixed-rate levy losses and debt levy losses as determined	48432
in section 5751.20 of the Revised Code, for each of the districts	48433
involved in the merger.	48434

(2) If property is transferred from one district to a	48435
previously existing district, the amount of machinery and	48436
equipment, inventory, furniture and fixtures, and telephone	48437
property tax value losses and fixed-rate levy losses that shall be	48438
transferred to the recipient district shall be an amount equal to	48439
the total machinery and equipment, inventory, furniture and	48440
fixtures, and telephone property fixed-rate levy losses times a	48441
fraction, the numerator of which is the value of business tangible	48442
personal property on the land being transferred in the most recent	48443
year for which data are available, and the denominator of which is	48444
the total value of business tangible personal property in the	48445
district from which the land is being transferred in the most	48446
recent year for which data are available. For each of the first	48447
five years after the property is transferred, but not after fiscal	48448
year 2012, if the tax rate in the recipient district is less than	48449
the tax rate of the district from which the land was transferred,	48450
one-half of the payments arising from the amount of fixed-rate	48451
levy losses so transferred to the recipient district shall be paid	48452
to the recipient district and one-half of the payments arising	48453
from the fixed-rate levy losses so transferred shall be paid to	48454
the district from which the land was transferred. Fixed-rate levy	48455
losses so transferred shall be computed on the basis of the sum of	48456
the rates of fixed-rate qualifying levies of the district from	48457
which the land was transferred, notwithstanding division (D) of	48458
this section.	48459

(3) After December 31, 2004, if property is transferred from	48460
one or more districts to a district that is newly created out of	48461
the transferred property, the newly created district shall be	48462
deemed not to have any machinery and equipment, inventory,	48463
furniture and fixtures, or telephone property fixed-rate levy	48464
losses and the districts from which the property was transferred	48465
shall have no reduction in their machinery and equipment,	48466
inventory, furniture and fixtures, and telephone property	48467
fixed-rate levy losses.	48468

(4) If the recipient district under division (H)(2) of this	48469
section or the newly created district under divisions (H)(3) of	48470
this section is assuming debt from one or more of the districts	48471
from which the property was transferred and any of the districts	48472
losing the property had fixed-sum levy losses, the department of	48473
education, in consultation with the tax commissioner, shall make	48474
an equitable division of the fixed-sum levy loss reimbursements.	48475

Sec. 5751.23.  (A) As used in this section:

48476

(1) "Administrative fees" means the dollar percentages	48477
allowed by the county auditor for services or by the county	48478
treasurer as fees, or paid to the credit of the real estate	48479
assessment fund, under divisions (A) and (B)(C) of section 319.54	48480
and division (A) of section 321.26 of the Revised Code.	48481

(2) "Administrative fee loss" means a county's loss of	48482
administrative fees due to its tax value loss, determined as	48483
follows:	48484

(a) For purposes of the determination made under division (B)	48485
of this section in the years 2006 through 2010, the administrative	48486
fee loss shall be computed by multiplying the amounts determined	48487
for all taxing districts in the county under divisions (D) and (E)	48488
of section 5751.20 of the Revised Code by nine thousand six	48489
hundred fifty-nine ten-thousandths of one per cent if total taxes	48490
collected in the county in 2004 exceeded one hundred fifty million	48491
dollars, or one and one thousand one hundred fifty-nine	48492
ten-thousandths of one per cent if total taxes collected in the	48493
county in 2004 were one hundred fifty million dollars or less;	48494

(b) For purposes of the determination under division (B) of	48495
this section in the years after 2010, the administrative fee	48496
losses shall be determined by multiplying the administrative fee	48497
losses calculated for 2010 by the fractions in divisions (A)(1)(b)	48498
to (i) of section 5751.22 of the Revised Code.	48499

(3) "Total taxes collected" means all money collected on any	48500
tax duplicate of the county, other than the estate tax duplicates.	48501
"Total taxes collected" does not include amounts received pursuant	48502
to divisions (F) and (G) of section 321.24 or section 323.156 of	48503
the Revised Code.	48504

(B) Not later than December 31, 2005, the tax commissioner	48505
shall certify to each county auditor the tax levy losses	48506
calculated under divisions (D) and (E) of section 5751.20 of the	48507
Revised Code for each school district, joint vocational school	48508
district, and local taxing unit in the county. Not later than the	48509
thirty-first day of January of 2006 through 2017, the county	48510
auditor shall determine the administrative fee loss for the county	48511
and apportion that loss ratably among the school districts, joint	48512
vocational school districts, and local taxing units on the basis	48513
of the tax levy losses certified under this division.	48514

(C) On or before each of the days prescribed for the	48515
settlements under divisions (A) and (C) of section 321.24 of the	48516
Revised Code in the years 2006 through 2017, the county treasurer	48517
shall deduct one-half of the amount apportioned to each school	48518
district, joint vocational school district, and local taxing unit	48519
from the portions of revenue payable to them.	48520

(D) On or before each of the days prescribed for settlements	48521
under divisions (A) and (C) of section 321.24 of the Revised Code	48522
in the years 2006 through 2017, the county auditor shall cause to	48523
be deposited an amount equal to one-half of the amount of the	48524
administrative fee loss in the same funds as if allowed as	48525
administrative fees.	48526

Sec. 5907.15.  There is hereby created in the state treasury	48527
the Ohio veterans' homes rental,and service, and medicare	48528
reimbursement fund. Revenue generated from temporary use	48529
agreements of a veterans' home, from the sale of meals at a home's	48530
dining halls, and from rental, lease, or sharing agreements for	48531
the use of facilities, supplies, equipment, utilities, or services	48532
provided by a home, and from medicare reimbursements shall be	48533
credited to the fund. The fund shall be used only for maintenance	48534
costs of the homes and for the purchase of medications, medication	48535
services, medical supplies, and medical equipment by the homes.	48536

Sec. 5907.16. There is hereby created in the state treasury	48537
the medicare services fund. Revenue from federal reimbursement of	48538
medicare services that were provided at state veterans' homes	48539
shall be credited to the fund. The fund shall be used for paying	48540
the operating costs of the state veterans' homes.	48541

Sec. 6109.21.  (A) Except as provided in divisions (D) and	48542
(E) of this section, on and after January 1, 1994, no person shall	48543
operate or maintain a public water system in this state without a	48544
license issued by the director of environmental protection. A	48545
person who operates or maintains a public water system on January	48546
1, 1994, shall obtain an initial license under this section in	48547
accordance with the following schedule:	48548

(1) If the public water system is a community water system,	48549
not later than January 31, 1994;	48550

(2) If the public water system is not a community water	48551
system and serves a nontransient population, not later than	48552
January 31, 1994;	48553

(3) If the public water system is not a community water	48554
system and serves a transient population, not later than January	48555
31, 1995.	48556

A person proposing to operate or maintain a new public water	48557
system after January 1, 1994, in addition to complying with	48558
section 6109.07 of the Revised Code and rules adopted under it,	48559
shall submit an application for an initial license under this	48560
section to the director prior to commencing operation of the	48561
system.	48562

A license or license renewal issued under this section shall	48563
be renewed annually. Such a license or license renewal shall	48564
expire on the thirtieth day of January in the year following its	48565
issuance. A license holder that proposes to continue operating the	48566
public water system for which the license or license renewal was	48567
issued shall apply for a license renewal at least thirty days	48568
prior to that expiration date.	48569

The director shall adopt, and may amend and rescind, rules in	48570
accordance with Chapter 119. of the Revised Code establishing	48571
procedures governing and information to be included on	48572
applications for licenses and license renewals under this section.	48573
Through June 30, 20082010, each application shall be accompanied	48574
by the appropriate fee established under division (M) of section	48575
3745.11 of the Revised Code, provided that an applicant for an	48576
initial license who is proposing to operate or maintain a new	48577
public water system after January 1, 1994, shall submit a fee that	48578
equals a prorated amount of the appropriate fee established under	48579
that division for the remainder of the licensing year.	48580

(B) Not later than thirty days after receiving a completed	48581
application and the appropriate license fee for an initial license	48582
under division (A) of this section, the director shall issue the	48583
license for the public water system. Not later than thirty days	48584
after receiving a completed application and the appropriate	48585
license fee for a license renewal under division (A) of this	48586
section, the director shall do one of the following:	48587

(1) Issue the license renewal for the public water system;

48588

(2) Issue the license renewal subject to terms and conditions	48589
that the director determines are necessary to ensure compliance	48590
with this chapter and rules adopted under it;	48591

(3) Deny the license renewal if the director finds that the	48592
public water system was not operated in substantial compliance	48593
with this chapter and rules adopted under it.	48594

(C) The director may suspend or revoke a license or license	48595
renewal issued under this section if the director finds that the	48596
public water system was not operated in substantial compliance	48597
with this chapter and rules adopted under it. The director shall	48598
adopt, and may amend and rescind, rules in accordance with Chapter	48599
119. of the Revised Code governing such suspensions and	48600
revocations.	48601

(D)(1) As used in division (D) of this section, "church"	48602
means a fellowship of believers, congregation, society,	48603
corporation, convention, or association that is formed primarily	48604
or exclusively for religious purposes and that is not formed or	48605
operated for the private profit of any person.	48606

(2) This section does not apply to a church that operates or	48607
maintains a public water system solely to provide water for that	48608
church or for a campground that is owned by the church and	48609
operated primarily or exclusively for members of the church and	48610
their families. A church that, on or before March 5, 1996, has	48611
obtained a license under this section for such a public water	48612
system need not obtain a license renewal under this section.	48613

(E) This section does not apply to any public or nonpublic	48614
school that meets minimum standards of the state board of	48615
education that operates or maintains a public water system solely	48616
to provide water for that school.	48617

Sec. 6111.0381. There is hereby created in the state treasury	48618
the water quality protection fund. The fund shall consist of	48619
federal grants, including grants made pursuant to the Federal	48620
Water Pollution Control Act, and contributions made to the	48621
environmental protection agency for water quality protection and	48622
restoration. The director of environmental protection shall use	48623
money in the fund for water quality protection and restoration.	48624

Sec. 6121.04.  The Ohio water development authority may do	48625
any or all of the following:	48626

(A) Adopt bylaws for the regulation of its affairs and the	48627
conduct of its business;	48628

(B) Adopt an official seal;

48629

(C) Maintain a principal office and suboffices at places	48630
within the state that it designates;	48631

(D) Sue and plead in its own name and be sued and impleaded	48632
in its own name with respect to its contracts or torts of its	48633
members, employees, or agents acting within the scope of their	48634
employment, or to enforce its obligations and covenants made under	48635
sections 6121.06, 6121.08, and 6121.13 of the Revised Code. Any	48636
such actions against the authority shall be brought in the court	48637
of common pleas of the county in which the principal office of the	48638
authority is located or in the court of common pleas of the county	48639
in which the cause of action arose, provided that the county is	48640
located within this state, and all summonses, exceptions, and	48641
notices of every kind shall be served on the authority by leaving	48642
a copy thereof at the principal office with the person in charge	48643
thereof or with the secretary-treasurer of the authority.	48644

(E) Make loans and grants to governmental agencies for the	48645
acquisition or construction of water development projects by any	48646
such governmental agency and adopt rules and procedures for making	48647
such loans and grants;	48648

(F) Acquire, construct, reconstruct, enlarge, improve,	48649
furnish, equip, maintain, repair, operate, or lease or rent to, or	48650
contract for operation by, a governmental agency or person, water	48651
development projects, and establish rules for the use of those	48652
projects;	48653

(G) Make available the use or services of any water	48654
development project to one or more persons, one or more	48655
governmental agencies, or any combination thereof;	48656

(H) Issue water development revenue bonds and notes and water	48657
development revenue refunding bonds of the state, payable solely	48658
from revenues as provided in section 6121.06 of the Revised Code,	48659
unless the bonds are refunded by refunding bonds, for the purpose	48660
of paying any part of the cost of one or more water development	48661
projects or parts thereof;	48662

(I) Acquire by gift or purchase, hold, and dispose of real	48663
and personal property in the exercise of its powers and the	48664
performance of its duties under this chapter;	48665

(J) Acquire, in the name of the state, by purchase or	48666
otherwise, on terms and in the manner that it considers proper, or	48667
by the exercise of the right of condemnation in the manner	48668
provided by section 6121.18 of the Revised Code, public or private	48669
lands, including public parks, playgrounds, or reservations, or	48670
parts thereof or rights therein, rights-of-way, property, rights,	48671
easements, and interests that it considers necessary for carrying	48672
out this chapter, but excluding the acquisition by the exercise of	48673
the right of condemnation of any waste water facility or water	48674
management facility owned by any person or governmental agency,	48675
and compensation shall be paid for public or private lands so	48676
taken, except that a government-owned waste water facility may be	48677
appropriated in accordance with section 6121.041 of the Revised	48678
Code;	48679

(K) Adopt rules to protect augmented flow in waters of the	48680
state, to the extent augmented by a water development project,	48681
from depletion so it will be available for beneficial use, and to	48682
provide standards for the withdrawal from waters of the state of	48683
the augmented flow created by a water development project that is	48684
not returned to the waters of the state so augmented and to	48685
establish reasonable charges therefor if considered necessary by	48686
the authority;	48687

(L) Make and enter into all contracts and agreements and	48688
execute all instruments necessary or incidental to the performance	48689
of its duties and the execution of its powers under this chapter	48690
in accordance with the following requirements:	48691

(1) When the cost under any such contract or agreement, other	48692
than compensation for personal services, involves an expenditure	48693
of more than twenty-five thousand dollars, the authority shall	48694
make a written contract with the lowest responsive and responsible	48695
bidder, in accordance with section 9.312 of the Revised Code,	48696
after advertisement for not less than two consecutive weeks in a	48697
newspaper of general circulation in Franklin county, and in other	48698
publications that the authority determines, which shall state the	48699
general character of the work and the general character of the	48700
materials to be furnished, the place where plans and	48701
specifications therefor may be examined, and the time and place of	48702
receiving bids, provided that a contract or lease for the	48703
operation of a water development project constructed and owned by	48704
the authority or an agreement for cooperation in the acquisition	48705
or construction of a water development project pursuant to section	48706
6121.13 of the Revised Code or any contract for the construction	48707
of a water development project that is to be leased by the	48708
authority to, and operated by, persons who are not governmental	48709
agencies and the cost of the project is to be amortized	48710
exclusively from rentals or other charges paid to the authority by	48711
persons who are not governmental agencies is not subject to the	48712
foregoing requirements and the authority may enter into such a	48713
contract or lease or such an agreement pursuant to negotiation and	48714
upon terms and conditions and for the period that it finds to be	48715
reasonable and proper in the circumstances and in the best	48716
interests of proper operation or of efficient acquisition or	48717
construction of the project.	48718

(2) Each bid for a contract for the construction, demolition,	48719
alteration, repair, or reconstruction of an improvement shall	48720
contain the full name of every person interested in it and shall	48721
meet the requirements of section 153.54 of the Revised Code.	48722

(3) Each bid for a contract except as provided in division	48723
(L)(2) of this section shall contain the full name of every person	48724
or company interested in it and shall be accompanied by a	48725
sufficient bond or certified check on a solvent bank that if the	48726
bid is accepted, a contract will be entered into and the	48727
performance thereof secured.	48728

(4) The authority may reject any and all bids.

48729

(5) A bond with good and sufficient surety, approved by the	48730
authority, shall be required of every contractor awarded a	48731
contract except as provided in division (L)(2) of this section, in	48732
an amount equal to at least fifty per cent of the contract price,	48733
conditioned upon the faithful performance of the contract.	48734

(M) Employ managers, superintendents, and other employees and	48735
retain or contract with consulting engineers, financial	48736
consultants, accounting experts, architects, attorneys, and other	48737
consultants and independent contractors that are necessary in its	48738
judgment to carry out this chapter, and fix the compensation	48739
thereof. All expenses thereof shall be payable solely from the	48740
proceeds of water development revenue bonds or notes issued under	48741
this chapter, from revenues, or from funds appropriated for that	48742
purpose by the general assembly.	48743

(N) Receive and accept from any federal agency, subject to	48744
the approval of the governor, grants for or in aid of the	48745
construction of any water development project or for research and	48746
development with respect to waste water or water management	48747
facilities, and receive and accept aid or contributions from any	48748
source of money, property, labor, or other things of value, to be	48749
held, used, and applied only for the purposes for which the grants	48750
and contributions are made;	48751

(O) Engage in research and development with respect to waste	48752
water or water management facilities;	48753

(P) Purchase fire and extended coverage and liability	48754
insurance for any water development project and for the principal	48755
office and suboffices of the authority, insurance protecting the	48756
authority and its officers and employees against liability for	48757
damage to property or injury to or death of persons arising from	48758
its operations, and any other insurance the authority may agree to	48759
provide under any resolution authorizing its water development	48760
revenue bonds or in any trust agreement securing the same;	48761

(Q) Charge, alter, and collect rentals and other charges for	48762
the use or services of any water development project as provided	48763
in section 6121.13 of the Revised Code;	48764

(R) Provide coverage for its employees under Chapters 145.,	48765
4123., and 4141. of the Revised Code;	48766

(S) Assist in the implementation and administration of the	48767
drinking water assistance fund and program created in section	48768
6109.22 of the Revised Code and the water pollution control loan	48769
fund and program created in section 6111.036 of the Revised Code,	48770
including, without limitation, performing or providing fiscal	48771
management for the funds and investing and disbursing moneys in	48772
the funds, and enter into all necessary and appropriate agreements	48773
with the director of environmental protection for those purposes;	48774

(T) Issue water development revenue bonds and notes of the	48775
state in principal amounts that are necessary for the purpose of	48776
raising moneys for the sole benefit of the water pollution control	48777
loan fund created in section 6111.036 of the Revised Code,	48778
including moneys to meet the requirement for providing matching	48779
moneys under division (D) of that section. The bonds and notes may	48780
be secured by appropriate trust agreements and repaid from moneys	48781
credited to the fund from payments of principal and interest on	48782
loans made from the fund, as provided in division (F) of section	48783
6111.036 of the Revised Code.	48784

(U) Issue water development revenue bonds and notes of the	48785
state in principal amounts that are necessary for the purpose of	48786
raising moneys for the sole benefit of the drinking water	48787
assistance fund created in section 6109.22 of the Revised Code,	48788
including moneys to meet the requirement for providing matching	48789
moneys under divisions (B) and (F) of that section. The bonds and	48790
notes may be secured by appropriate trust agreements and repaid	48791
from moneys credited to the fund from payments of principal and	48792
interest on loans made from the fund, as provided in division (F)	48793
of section 6109.22 of the Revised Code.	48794

(V) Make loans to and enter into agreements with boards of	48795
county commissioners for the purposes of section 1521.261506.44	48796
of the Revised Code and adopt rules establishing requirements and	48797
procedures for making the loans and entering into the agreements;	48798

(W) Do all acts necessary or proper to carry out the powers	48799
expressly granted in this chapter.	48800

Any instrument by which real property is acquired pursuant to	48801
this section shall identify the agency of the state that has the	48802
use and benefit of the real property as specified in section	48803
5301.012 of the Revised Code.	48804

Sec. 6121.043.  If a governmental agency fails to pay any	48805
charge imposed pursuant to an order issued under section 6121.041	48806
of the Revised Code within sixty days of the date due, such charge	48807
shall be deducted from the amount of the undivided local	48808
governmentcommunities fund to which the agency is entitled	48809
pursuant to section 5747.51 or 5747.53 of the Revised Code, and	48810
shall be paid directly to the Ohio water development authority. If	48811
a person fails to pay a charge within sixty days of the date due,	48812
the authority shall certify such charge to the county auditor, who	48813
shall place the charge on the real property tax list and duplicate	48814
against the property served. Such charge becomes a lien on such	48815
property from the date it is certified by the authority, and shall	48816
be collected in the manner that taxes are ordinarily collected and	48817
forwarded to the authority.	48818

Any revenues or other moneys pledged against obligations	48819
which are collected by the authority in the operation of a single	48820
or regional system of waste water facilities shall first be	48821
applied to the payment of debt service on such obligations. No	48822
action of the authority relieves a governmental agency of any duty	48823
which it may have to pay such obligations.	48824

Section 101.02. That existing sections 9.24, 9.30, 9.821,	48825
9.822, 9.823, 9.83, 107.40, 109.572, 109.93, 111.18, 118.01,	48826
118.08, 118.17, 118.20, 118.23, 119.07, 120.33, 122.011, 122.17,	48827
122.171, 122.602, 123.10, 123.17, 124.152, 125.01, 125.02,	48828
125.021, 125.022, 125.023, 125.04, 125.041, 125.05, 125.06,	48829
125.07, 125.071, 125.072, 125.073, 125.08, 125.081, 125.082,	48830
125.09, 125.10, 125.11, 125.15, 125.25, 125.45, 125.93, 125.96,	48831
125.97, 125.98, 126.07, 126.08, 126.21, 126.22, 127.14, 127.16,	48832
131.44, 133.01, 133.10, 133.25, 135.35, 135.352, 151.08, 151.40,	48833
152.31, 156.02, 164.03, 164.05, 164.051, 164.08, 164.09, 166.08,	48834
173.04, 173.35, 173.85, 173.86, 176.05, 183.01, 183.021, 183.17,	48835
183.33, 183.34, 183.35, 307.021, 307.695, 307.6910, 307.98,	48836
307.981, 308.04, 317.08, 319.202, 319.54, 321.08, 322.01, 323.151,	48837
323.152, 323.153, 323.154, 325.31, 329.04, 329.05, 329.051,	48838
329.14, 340.03, 709.191, 718.051, 742.301, 1306.20, 1306.21,	48839
1347.06, 1503.05, 1504.02, 1505.07, 1506.01, 1506.99, 1521.01,	48840
1521.20, 1521.21, 1521.22, 1521.23, 1521.24, 1521.25, 1521.26,	48841
1521.27, 1521.28, 1521.29, 1521.30, 1521.99, 1531.06, 1531.35,	48842
1548.06, 1555.08, 1557.03, 1751.60, 2151.43, 2151.49, 2305.234,	48843
2744.05, 2913.40, 2921.42, 2927.023, 2951.02, 3111.04, 3113.06,	48844
3113.07, 3119.022, 3119.023, 3119.27, 3119.29, 3119.30, 3119.54,	48845
3125.12, 3301.0711, 3301.0714, 3301.311, 3301.53, 3302.03,	48846
3302.10, 3310.41, 3313.41, 3313.615, 3313.646, 3313.66, 3313.661,	48847
3313.98, 3314.013, 3314.014, 3314.015, 3314.02, 3314.021,	48848
3314.024, 3314.03, 3314.04, 3314.074, 3314.08, 3314.21, 3314.27,	48849
3317.01, 3317.012, 3317.013, 3317.014, 3317.015, 3317.016,	48850
3317.017, 3317.02, 3317.021, 3317.022, 3317.023, 3317.024,	48851
3317.025, 3317.026, 3317.027, 3317.028, 3317.029, 3317.0216,	48852
3317.0217, 3317.03, 3317.04, 3317.05, 3317.06, 3317.08, 3317.14,	48853
3317.16, 3317.20, 3317.201, 3318.08, 3318.15, 3318.26, 3319.081,	48854
3319.089, 3319.17, 3319.55, 3321.01, 3323.11, 3333.04, 3333.122,	48855
3333.27, 3333.38, 3345.51, 3353.02, 3365.01, 3375.05, 3375.121,	48856
3375.40, 3375.85, 3381.04, 3503.10, 3701.741, 3702.52, 3702.5211,	48857
3702.5212, 3702.5213, 3702.57, 3702.63, 3702.68, 3702.74, 3704.03,	48858
3704.14, 3705.24, 3721.51, 3721.541, 3721.56, 3734.57, 3735.672,	48859
3745.11, 3746.04, 3769.087, 3770.03, 3770.06, 3773.35, 3773.36,	48860
3901.021, 3901.86, 4115.04, 4117.01, 4123.27, 4123.35, 4141.09,	48861
4301.43, 4503.06, 4503.061, 4503.064, 4503.065, 4503.066,	48862
4503.067, 4503.10, 4503.35, 4505.06, 4513.263, 4519.55, 4717.07,	48863
4723.621, 4723.63, 4723.64, 4723.65, 4723.651, 4723.66, 4731.65,	48864
4731.71, 4743.05, 4755.03, 4766.05, 4775.08, 4921.40, 5101.16,	48865
5101.162, 5101.17, 5101.181, 5101.182, 5101.184, 5101.21,	48866
5101.211, 5101.212, 5101.213, 5101.24, 5101.242, 5101.244,	48867
5101.26, 5101.28, 5101.31, 5101.35, 5101.36, 5101.51, 5101.54,	48868
5101.571, 5101.572, 5101.58, 5101.59, 5101.802, 5101.97, 5101.98,	48869
5104.30, 5107.01, 5107.02, 5107.03, 5107.05, 5107.10, 5107.12,	48870
5107.14, 5107.16, 5107.161, 5107.162, 5107.17, 5107.281, 5107.30,	48871
5107.36, 5107.41, 5107.42, 5107.44, 5107.52, 5107.54, 5107.541,	48872
5107.61, 5107.65, 5107.66, 5107.67, 5107.68, 5107.69, 5107.70,	48873
5111.01, 5111.014, 5111.016, 5111.019, 5111.0112, 5111.023,	48874
5111.03, 5111.06, 5111.10, 5111.101, 5111.163, 5111.17, 5111.20,	48875
5111.871, 5111.8814, 5111.915, 5111.941, 5111.95, 5111.96,	48876
5112.03, 5112.08, 5112.341, 5115.12, 5117.10, 5120.03, 5119.611,	48877
5123.01, 5123.043, 5123.045, 5123.051, 5123.19, 5123.196,	48878
5123.198, 5123.20, 5123.211, 5123.38, 5123.41, 5123.51, 5123.99,	48879
5126.038, 5126.042, 5126.046, 5126.055, 5126.057, 5126.06,	48880
5126.11, 5126.12, 5126.15, 5126.18, 5126.19, 5126.25, 5126.40,	48881
5126.42, 5126.43, 5126.45, 5126.47, 5139.27, 5139.271, 5139.43,	48882
5528.54, 5531.10, 5703.57, 5703.80, 5705.28, 5705.281, 5705.29,	48883
5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 5709.68, 5709.882,	48884
5713.34, 5715.36, 5719.041, 5725.151, 5725.24, 5727.45, 5727.84,	48885
5727.85, 5727.87, 5733.12, 5739.02, 5739.033, 5739.12, 5739.21,	48886
5741.02, 5741.03, 5743.01, 5743.20, 5745.02, 5745.05, 5745.13,	48887
5747.03, 5747.122, 5747.46, 5747.47, 5747.48, 5747.50, 5747.501,	48888
5747.51, 5747.52, 5747.53, 5747.54, 5747.55, 5748.01, 5748.02,	48889
5751.20, 5751.21, 5751.23, 5907.15, 6109.21, 6121.04, and 6121.043	48890
of the Revised Code are hereby repealed.	48891

Section 105.01. That sections 125.18, 125.30, 125.95, 183.02,	48892
183.27, 183.32, 3314.051, 3318.47, 3318.48, 3318.49, 3319.0810,	48893
3333.29, 3702.68, 3310.01, 3310.02, 3310.03, 3310.04, 3310.05,	48894
3310.06, 3310.07, 3310.08, 3310.09, 3310.10, 3310.11, 3310.12,	48895
3310.13, 3310.14, 3310.17, 4911.021, 5101.213, 5107.40, 5107.43,	48896
5107.50, 5107.58, 5107.60, 5107.62, 5107.64, 5111.161, 5123.16,	48897
5123.182, 5123.199, 5126.035, 5126.036, 5126.053, 5126.431,	48898
5126.44, 5126.451, 5743.331, 5747.61, 5747.62, and 5747.63 of the	48899
Revised Code are hereby repealed.	48900

Section 105.03. That the version of section 3702.68 of the	48901
Revised Code that was to have taken effect July 1, 2007, as a	48902
result of Sections 3 to 5 of Am. Sub. S.B. 50 of the 121st General	48903
Assembly, as most recently amended by Am. Sub. H.B. 66 of the	48904
126th General Assembly, is hereby repealed.	48905

It is the intent of this section to prevent the amendment of	48906
section 3702.68 of the Revised Code that was to have taken effect	48907
July 1, 2007. The combined effect of this action and the	48908
complementary amendment made to existing section 3702.68 (3702.59)	48909
of the Revised Code by Section 1 of this act is not substantive.	48910

Section 110.07. That the version of section 127.16 of the	48911
Revised Code that is scheduled to take effect July 1, 2007, be	48912
amended to read as follows:	48913

Sec. 127.16.  (A) Upon the request of either a state agency	48914
or the director of budget and management and after the controlling	48915
board determines that an emergency or a sufficient economic reason	48916
exists, the controlling board may approve the making of a purchase	48917
without competitive selection as provided in division (B) of this	48918
section.	48919

(B) Except as otherwise provided in this section, no state	48920
agency, using money that has been appropriated to it directly,	48921
shall:	48922

(1) Make any purchase from a particular supplier, that would	48923
amount to fifty thousand dollars or more when combined with both	48924
the amount of all disbursements to the supplier during the fiscal	48925
year for purchases made by the agency and the amount of all	48926
outstanding encumbrances for purchases made by the agency from the	48927
supplier, unless the purchase is made by competitive selection or	48928
with the approval of the controlling board;	48929

(2) Lease real estate from a particular supplier, if the	48930
lease would amount to seventy-five thousand dollars or more when	48931
combined with both the amount of all disbursements to the supplier	48932
during the fiscal year for real estate leases made by the agency	48933
and the amount of all outstanding encumbrances for real estate	48934
leases made by the agency from the supplier, unless the lease is	48935
made by competitive selection or with the approval of the	48936
controlling board.	48937

(C) Any person who authorizes a purchase in violation of	48938
division (B) of this section shall be liable to the state for any	48939
state funds spent on the purchase, and the attorney general shall	48940
collect the amount from the person.	48941

(D) Nothing in division (B) of this section shall be	48942
construed as:	48943

(1) A limitation upon the authority of the director of	48944
transportation as granted in sections 5501.17, 5517.02, and	48945
5525.14 of the Revised Code;	48946

(2) Applying to medicaid provider agreements under Chapter	48947
5111. of the Revised Code, provider agreements under the	48948
nonfederal medical assistance program established under Chapter	48949
5114. of the Revised Code, or payments or provider agreements	48950
under the disability medical assistance program established under	48951
Chapter 5115. of the Revised Code;	48952

(3) Applying to the purchase of examinations from a sole	48953
supplier by a state licensing board under Title XLVII of the	48954
Revised Code;	48955

(4) Applying to entertainment contracts for the Ohio state	48956
fair entered into by the Ohio expositions commission, provided	48957
that the controlling board has given its approval to the	48958
commission to enter into such contracts and has approved a total	48959
budget amount for such contracts as agreed upon by commission	48960
action, and that the commission causes to be kept itemized records	48961
of the amounts of money spent under each contract and annually	48962
files those records with the clerk of the house of representatives	48963
and the clerk of the senate following the close of the fair;	48964

(5) Limiting the authority of the chief of the division of	48965
mineral resources management to contract for reclamation work with	48966
an operator mining adjacent land as provided in section 1513.27 of	48967
the Revised Code;	48968

(6) Applying to investment transactions and procedures of any	48969
state agency, except that the agency shall file with the board the	48970
name of any person with whom the agency contracts to make, broker,	48971
service, or otherwise manage its investments, as well as the	48972
commission, rate, or schedule of charges of such person with	48973
respect to any investment transactions to be undertaken on behalf	48974
of the agency. The filing shall be in a form and at such times as	48975
the board considers appropriate.	48976

(7) Applying to purchases made with money for the per cent	48977
for arts program established by section 3379.10 of the Revised	48978
Code;	48979

(8) Applying to purchases made by the rehabilitation services	48980
commission of services, or supplies, that are provided to persons	48981
with disabilities, or to purchases made by the commission in	48982
connection with the eligibility determinations it makes for	48983
applicants of programs administered by the social security	48984
administration;	48985

(9) Applying to payments by the department of job and family	48986
services under section 5111.13 of the Revised Code for group	48987
health plan premiums, deductibles, coinsurance, and other	48988
cost-sharing expenses;	48989

(10) Applying to any agency of the legislative branch of the	48990
state government;	48991

(11) Applying to agreements or contracts entered into under	48992
section 5101.11, 5101.20, 5101.201, 5101.21, or 5101.214 of the	48993
Revised Code;	48994

(12) Applying to purchases of services by the adult parole	48995
authority under section 2967.14 of the Revised Code or by the	48996
department of youth services under section 5139.08 of the Revised	48997
Code;	48998

(13) Applying to dues or fees paid for membership in an	48999
organization or association;	49000

(14) Applying to purchases of utility services pursuant to	49001
section 9.30 of the Revised Code;	49002

(15) Applying to purchases made in accordance with rules	49003
adopted by the department of administrative services of motor	49004
vehicle, aviation, or watercraft fuel, or emergency repairs of	49005
such vehicles;	49006

(16) Applying to purchases of tickets for passenger air	49007
transportation;	49008

(17) Applying to purchases necessary to provide public	49009
notifications required by law or to provide notifications of job	49010
openings;	49011

(18) Applying to the judicial branch of state government;

49012

(19) Applying to purchases of liquor for resale by the	49013
division of liquor control;	49014

(20) Applying to purchases of motor courier and freight	49015
services made in accordance with department of administrative	49016
services rules;	49017

(21) Applying to purchases from the United States postal	49018
service and purchases of stamps and postal meter replenishment	49019
from vendors at rates established by the United States postal	49020
service;	49021

(22) Applying to purchases of books, periodicals, pamphlets,	49022
newspapers, maintenance subscriptions, and other published	49023
materials;	49024

(23) Applying to purchases from other state agencies,	49025
including state-assisted institutions of higher education;	49026

(24) Limiting the authority of the director of environmental	49027
protection to enter into contracts under division (D) of section	49028
3745.14 of the Revised Code to conduct compliance reviews, as	49029
defined in division (A) of that section;	49030

(25) Applying to purchases from a qualified nonprofit agency	49031
pursuant to sections 125.60 to 125.6012 or 4115.31 to 4115.35 of	49032
the Revised Code;	49033

(26) Applying to payments by the department of job and family	49034
services to the United States department of health and human	49035
services for printing and mailing notices pertaining to the tax	49036
refund offset program of the internal revenue service of the	49037
United States department of the treasury;	49038

(27) Applying to contracts entered into by the department of	49039
mental retardation and developmental disabilities under sections	49040
section 5123.18, 5123.182, and 5123.199 of the Revised Code;	49041

(28) Applying to payments made by the department of mental	49042
health under a physician recruitment program authorized by section	49043
5119.101 of the Revised Code;	49044

(29) Applying to contracts entered into with persons by the	49045
director of commerce for unclaimed funds collection and remittance	49046
efforts as provided in division (F) of section 169.03 of the	49047
Revised Code. The director shall keep an itemized accounting of	49048
unclaimed funds collected by those persons and amounts paid to	49049
them for their services.	49050

(30) Applying to purchases made by a state institution of	49051
higher education in accordance with the terms of a contract	49052
between the vendor and an inter-university purchasing group	49053
comprised of purchasing officers of state institutions of higher	49054
education;	49055

(31) Applying to the department of job and family services'	49056
purchases of health assistance services under the children's	49057
health insurance program part I provided for under section 5101.50	49058
of the Revised Code or the children's health insurance program	49059
part II provided for under section 5101.51 of the Revised Code;	49060

(32) Applying to payments by the attorney general from the	49061
reparations fund to hospitals and other emergency medical	49062
facilities for performing medical examinations to collect physical	49063
evidence pursuant to section 2907.28 of the Revised Code;	49064

(33) Applying to contracts with a contracting authority or	49065
administrative receiver under division (B) of section 5126.056 of	49066
the Revised Code;	49067

(34) Applying to reimbursements paid to the United States	49068
department of veterans affairs for pharmaceutical and patient	49069
supply purchases made on behalf of the Ohio veterans' home agency;	49070

(35) Applying to agreements entered into with terminal	49071
distributors of dangerous drugs under section 173.79 of the	49072
Revised Code.	49073

(E) Notwithstanding division (B)(1) of this section, the	49074
cumulative purchase threshold shall be seventy-five thousand	49075
dollars for the departments of mental retardation and	49076
developmental disabilities, mental health, rehabilitation and	49077
correction, and youth services.	49078

(F) When determining whether a state agency has reached the	49079
cumulative purchase thresholds established in divisions (B)(1),	49080
(B)(2), and (E) of this section, all of the following purchases by	49081
such agency shall not be considered:	49082

(1) Purchases made through competitive selection or with	49083
controlling board approval;	49084

(2) Purchases listed in division (D) of this section;

49085

(3) For the purposes of the thresholds of divisions (B)(1)	49086
and (E) of this section only, leases of real estate.	49087

(G) As used in this section, "competitive selection,"	49088
"purchase," "supplies," and "services" have the same meanings as	49089
in section 125.01 of the Revised Code.	49090

Section 110.08. That the existing version of section 127.16	49091
of the Revised Code that is scheduled to take effect July 1, 2007,	49092
is hereby repealed.	49093

Section 201.01.  Except as otherwise provided in this act,	49094
all appropriation items in this act are appropriated out of any	49095
moneys in the state treasury to the credit of the designated fund	49096
that are not otherwise appropriated. For all appropriations made	49097
in this act, the amounts in the first column are for fiscal year	49098
2008 and the amounts in the second column are for fiscal year	49099
2009.	49100

Section 203.10.  ACC ACCOUNTANCY BOARD OF OHIO

49101

General Services Fund Group

49102

4J8	889-601		CPA Education Assistance		$	325,000		$	325,000		49103
4K9	889-609		Operating Expenses		$	1,092,246		$	1,117,000		49104
TOTAL GSF General Services Fund											49105
Group					$	1,417,246		$	1,442,000		49106
TOTAL ALL BUDGET FUND GROUPS					$	1,417,246		$	1,442,000		49107

Section 205.10. ADJ ADJUTANT GENERAL

49109

General Revenue Fund

49110

GRF	745-401		Ohio Military Reserve		$	15,188		$	15,188		49111
GRF	745-404		Air National Guard		$	2,246,005		$	2,284,198		49112
GRF	745-407		National Guard Benefits		$	1,400,000		$	1,400,000		49113
GRF	745-409		Central Administration		$	4,295,778		$	4,460,069		49114
GRF	745-499		Army National Guard		$	5,064,836		$	5,169,368		49115
GRF	745-502		Ohio National Guard Unit Fund		$	102,973		$	102,973		49116
TOTAL GRF General Revenue Fund					$	13,124,780		$	13,431,796		49117

General Services Fund Group

49118

534	745-612		Property Operations/Management		$	534,304		$	534,304		49119
536	745-620		Camp Perry/Buckeye Inn Operations		$	1,202,970		$	1,202,970		49120
537	745-604		Ohio National Guard Facility Maintenance		$	269,826		$	269,826		49121
TOTAL GSF General Services Fund Group					$	2,007,100		$	2,007,100		49122

Federal Special Revenue Fund Group

49123

3E8	745-628		Air National Guard Agreement		$	14,100,000		$	14,906,820		49124
3R8	745-603		Counter Drug Operations		$	25,000		$	25,000		49125
341	745-615		Air National Guard Base Security		$	2,497,480		$	2,729,939		49126
342	745-616		Army National Guard Agreement		$	10,146,178		$	10,590,050		49127
TOTAL FED Federal Special Revenue Fund Group					$	26,768,658		$	28,251,809		49128

State Special Revenue Fund Group

49129

5U8	745-613		Community Match Armories		$	220,000		$	220,000		49130
528	745-605		Marksmanship Activities		$	128,600		$	128,600		49131
TOTAL SSR State Special Revenue Fund Group					$	348,600		$	348,600		49132

TOTAL ALL BUDGET FUND GROUPS

$

42,249,138

$

44,039,305

49133

NATIONAL GUARD BENEFITS

49134

The foregoing appropriation item 745-407, National Guard	49135
Benefits, shall be used for purposes of sections 5919.31 and	49136
5919.33 of the Revised Code, and for administrative costs of the	49137
associated programs.	49138

For active duty members of the Ohio National Guard who died	49139
after October 7, 2001, while performing active duty, the death	49140
benefit, pursuant to section 5919.33 of the Revised Code, shall be	49141
paid to the beneficiary or beneficiaries designated on the	49142
member's Servicemembers' Group Life Insurance Policy.	49143

STATE ACTIVE DUTY COSTS

49144

Of the foregoing appropriation item 745-409, Central	49145
Administration, $50,000 in each fiscal year shall be used for the	49146
purpose of paying expenses related to state active duty of members	49147
of the Ohio organized militia, in accordance with a proclamation	49148
of the Governor. Expenses include, but are not limited to, the	49149
cost of equipment, supplies, and services, as determined by the	49150
Adjutant General's Department.	49151

Section 207.10. DAS DEPARTMENT OF ADMINISTRATIVE SERVICES

49152

General Revenue Fund

49153

GRF	100-403		Public School Employee Benefits		$	1,425,000		$	1,425,000		49154
GRF	100-404		CRP Procurement Program		$	262,277		$	262,277		49155
GRF	100-405		Agency Audit Expenses		$	312,550		$	312,550		49156
GRF	100-406		County & University Human Resources Services		$	893,000		$	893,000		49157
GRF	100-410		Veterans' Records Conversion		$	46,170		$	46,171		49158
GRF	100-415		OAKS Rental Payments		$	14,162,000		$	14,165,000		49159
GRF	100-418		Web Sites and Business Gateway		$	3,270,473		$	3,270,083		49160
GRF	100-419		IT Security Infrastructure		$	1,554,435		$	1,554,435		49161
GRF	100-421		OAKS Project Implementation		$	402,006		$	402,005		49162
GRF	100-433		State of Ohio Computer Center		$	5,092,502		$	5,007,502		49163
GRF	100-439		Equal Opportunity Certification Programs		$	750,236		$	750,236		49164
GRF	100-447		OBA - Building Rent Payments		$	112,294,800		$	106,476,400		49165
GRF	100-448		OBA - Building Operating Payments		$	26,457,000		$	27,303,000		49166
GRF	100-449		DAS - Building Operating Payments		$	3,769,510		$	3,834,871		49167
GRF	100-451		Minority Affairs		$	52,927		$	52,927		49168
GRF	100-734		Major Maintenance - State Bldgs		$	48,925		$	47,500		49169
GRF	102-321		Construction Compliance		$	1,167,099		$	1,167,099		49170
GRF	130-321		State Agency Support Services		$	6,340,215		$	6,564,301		49171
TOTAL GRF General Revenue Fund					$	178,301,125		$	173,534,357		49172

General Services Fund Group

49173

112	100-616		DAS Administration		$	5,299,427		$	5,299,427		49174
115	100-632		Central Service Agency		$	860,878		$	928,403		49175
117	100-644		General Services Division - Operating		$	8,295,772		$	8,540,772		49176
122	100-637		Fleet Management		$	2,182,968		$	2,032,968		49177
125	100-622		Human Resources Division - Operating		$	19,890,614		$	20,560,614		49178
128	100-620		Collective Bargaining		$	3,464,533		$	3,662,534		49179
130	100-606		Risk Management Reserve		$	2,568,548		$	2,568,548		49180
131	100-639		State Architect's Office		$	7,348,483		$	7,544,164		49181
132	100-631		DAS Building Management		$	9,716,228		$	10,166,228		49182
133	100-607		IT Services Delivery		$	72,539,887		$	75,847,949		49183
188	100-649		Equal Opportunity Division - Operating		$	847,409		$	884,650		49184
201	100-653		General Services Resale Merchandise		$	1,553,000		$	1,553,000		49185
210	100-612		State Printing		$	5,681,421		$	5,436,421		49186
229	100-630		IT Governance		$	17,108,546		$	17,108,546		49187
4N6	100-617		Major IT Purchases		$	7,495,719		$	7,495,719		49188
4P3	100-603		DAS Information Services		$	4,793,190		$	4,958,218		49189
427	100-602		Investment Recovery		$	5,683,564		$	5,683,564		49190
5C2	100-605		MARCS Administration		$	11,069,291		$	11,069,291		49191
5C3	100-608		Skilled Trades		$	934,982		$	934,982		49192
5D7	100-621		Workforce Development		$	70,000		$	0		49193
5EB	100-635		OAKS Support Organization		$	19,132,671		$	19,132,671		49194
5L7	100-610		Professional Development		$	3,900,000		$	3,900,000		49195
5V6	100-619		Employee Educational Development		$	936,129		$	936,129		49196
5X3	100-634		Centralized Gateway Enhancement		$	974,023		$	974,023		49197
TOTAL GSF General Services Fund											49198
Group					$	212,347,283		$	217,218,821		49199

TOTAL ALL BUDGET FUND GROUPS

$

390,648,408

$

390,753,178

49200

Section 207.10.10. PUBLIC SCHOOL EMPLOYEE BENEFITS

49202

The foregoing appropriation item 100-403, Public School	49203
Employee Benefits, shall be used by the Director of Administrative	49204
Services to hire an executive director and necessary staff to	49205
provide administrative support to the School Employee Health Care	49206
Board and the public school employee health insurance program	49207
established under section 9.901 of the Revised Code. The board	49208
shall be comprised of twelve members, six appointed by the	49209
Governor, three of whom are currently non-administrative school	49210
employees, and three each appointed by the President of the Senate	49211
and Speaker of the House of Representatives. At least one of the	49212
three members appointed by the President and Speaker shall be of	49213
the minority in each chamber, respectively. The board shall, in	49214
consultation with the Governor, develop an implementation plan	49215
based on the January 31, 2007, report to the Governor and General	49216
Assembly.	49217

At any time during the biennium, when the Director of	49218
Administrative Services certifies that there is a sufficient	49219
reserve available from premium payments made to the School	49220
Employees Health Care Fund (Fund 815), the Director of Budget and	49221
Management shall transfer an amount equal to total expenditures	49222
and obligations made from appropriation item 100-403, Public	49223
School Employee Benefits, from the School Employees Health Care	49224
Fund to the General Revenue Fund.	49225

Section 207.10.20.  AGENCY AUDIT EXPENSES

49226

The foregoing appropriation item 100-405, Agency Audit	49227
Expenses, shall be used for auditing expenses designated in	49228
division (A)(1) of section 117.13 of the Revised Code for those	49229
state agencies audited on a biennial basis.	49230

Section 207.10.30. OAKS RENTAL PAYMENTS

49231

The foregoing appropriation item 100-415, OAKS Rental	49232
Payments, shall be used for payments for the period from July 1,	49233
2007, through June 30, 2009, pursuant to leases and agreements	49234
entered into under Chapter 125. of the Revised Code, as	49235
supplemented by Section 403.10 of Am. Sub. H.B. 530 of the 126th	49236
General Assembly with respect to financing the costs associated	49237
with the acquisition, development, installation, and	49238
implementation of the Ohio Administrative Knowledge System. If it	49239
is determined that additional appropriations are necessary for	49240
this purpose, the amounts are hereby appropriated.	49241

Section 207.10.40. BUILDING RENT PAYMENTS

49242

The foregoing appropriation item 100-447, OBA - Building Rent	49243
Payments, shall be used to meet all payments at the times they are	49244
required to be made during the period from July 1, 2007, to June	49245
30, 2009, by the Department of Administrative Services to the Ohio	49246
Building Authority pursuant to leases and agreements under Chapter	49247
152. of the Revised Code. These appropriations are the source of	49248
funds pledged for bond service charges on obligations issued	49249
pursuant to Chapter 152. of the Revised Code.	49250

The foregoing appropriation item 100-448, OBA - Building	49251
Operating Payments, shall be used to meet all payments at the	49252
times that they are required to be made during the period from	49253
July 1, 2007, to June 30, 2009, by the Department of	49254
Administrative Services to the Ohio Building Authority pursuant to	49255
leases and agreements under Chapter 152. of the Revised Code, but	49256
limited to the aggregate amount of $53,760,000.	49257

The payments to the Ohio Building Authority are for the	49258
purpose of paying the expenses of agencies that occupy space in	49259
the various state facilities. The Department of Administrative	49260
Services may enter into leases and agreements with the Ohio	49261
Building Authority providing for the payment of these expenses.	49262
The Ohio Building Authority shall report to the Department of	49263
Administrative Services and the Office of Budget and Management	49264
not later than five months after the start of a fiscal year the	49265
actual expenses incurred by the Ohio Building Authority in	49266
operating the facilities and any balances remaining from payments	49267
and rentals received in the prior fiscal year. The Department of	49268
Administrative Services shall reduce subsequent payments by the	49269
amount of the balance reported to it by the Ohio Building	49270
Authority.	49271

Section 207.10.50.  DAS - BUILDING OPERATING PAYMENTS

49272

The foregoing appropriation item 100-449, DAS - Building	49273
Operating Payments, shall be used to pay the rent expenses of	49274
veterans organizations pursuant to section 123.024 of the Revised	49275
Code in fiscal years 2008 and 2009.	49276

The foregoing appropriation item, 100-449, DAS - Building	49277
Operating Payments, may be used to provide funding for the cost of	49278
property appraisals or building studies that the Department of	49279
Administrative Services may be required to obtain for property	49280
that is being sold by the state or property under consideration to	49281
be renovated or purchased by the state.	49282

Notwithstanding section 125.28 of the Revised Code, the	49283
remaining portion of the appropriation may be used to pay the	49284
operating expenses of state facilities maintained by the	49285
Department of Administrative Services that are not billed to	49286
building tenants. These expenses may include, but are not limited	49287
to, the costs for vacant space and space undergoing renovation,	49288
and the rent expenses of tenants that are relocated due to	49289
building renovations. These payments shall be processed by the	49290
Department of Administrative Services through intrastate transfer	49291
vouchers and placed in the Building Management Fund (Fund 132).	49292

Section 207.10.60. CENTRAL SERVICE AGENCY FUND

49293

The Department of Administrative Services shall not allocate	49294
annual costs for maintaining an automated application for the	49295
professional licensing boards and for the costs of supporting	49296
licensing functions in excess of the amounts allocated for these	49297
purposes for fiscal year 2007. The charges shall be billed to the	49298
professional licensing boards and deposited via intrastate	49299
transfer vouchers to the credit of the Central Service Agency Fund	49300
(Fund 115).	49301

Section 207.10.70. ELIMINATION OF THE VEHICLE LIABILITY FUND	49302
ASSETS	49303

(A) Effective July 1, 2007, the Vehicle Liability Fund (Fund	49304
127) is abolished and its functions, assets, and liabilities are	49305
transferred to the Risk Management Reserve Fund (Fund 130). The	49306
Risk Management Reserve Fund is thereupon and thereafter successor	49307
to, assumes the obligations of, and otherwise constitutes the	49308
continuation of the Vehicle Liability Fund.	49309

Any business commenced but not completed with regard to the	49310
Vehicle Liability Fund on July 1, 2007, shall be completed with	49311
regard to the Risk Management Reserve Fund, in the same manner,	49312
and with the same effect, as if completed with regard to the	49313
Vehicle Liability Fund. No validation, cure, right, privilege,	49314
remedy, obligation, or liability is lost or impaired by reason of	49315
the transfer and shall be administered with regard to the Risk	49316
Management Reserve Fund. All of the rules, orders, and	49317
determinations associated with the Vehicle Liability Fund continue	49318
in effect as rules, orders, and determinations associated with the	49319
Risk Management Reserve Fund, until modified or rescinded by the	49320
Director of Administrative Services. If necessary to ensure the	49321
integrity of the Administrative Code, the Director of the	49322
Legislative Service Commission shall renumber the rules relating	49323
to the Vehicle Liability Fund to reflect its transfer to the Risk	49324
Management Reserve Fund.	49325

(B) Employees paid from the Vehicle Liability Fund shall be	49326
transferred to the Risk Management Reserve Fund or dismissed.	49327
Employees paid from the Vehicle Liability Fund so dismissed cease	49328
to hold their positions of employment on July 1, 2007.	49329

(C) No judicial or administrative action or proceeding by	49330
which the Vehicle Liability Fund is affected that is pending on	49331
July 1, 2007, is affected by the transfer of functions under	49332
division (A) of this section. The action or proceeding shall be	49333
prosecuted or defended on behalf of the Risk Management Reserve	49334
Fund and the Risk Management Reserve Fund upon application to the	49335
court or agency shall be substituted for the Vehicle Liability	49336
Fund as affected by the action or proceeding.	49337

(D) On and after July 1, 2007, when the Vehicle Liability	49338
Fund is referred to in any statute, rule, contract, grant, or	49339
other document, the reference is hereby deemed to refer to the	49340
Risk Management Reserve Fund.	49341

Section 207.10.80. TRANSFER OF VEHICLE LIABILITY FUND ASSETS

49342

On and after July 1, 2007, notwithstanding any provision to	49343
the contrary, the Director of Budget and Management is authorized	49344
to take the actions described in this section with respect to	49345
budget changes made necessary by administrative reorganization,	49346
program transfers, the creation of new funds, and the	49347
consolidation of funds authorized in this act. The Director of	49348
Budget and Management may make any transfer of cash balances	49349
between funds. At the request of the Director of Budget and	49350
Management, the Director of Administrative Services shall certify	49351
to the Director of Budget and Management an estimate of the amount	49352
of the Vehicle Liability Fund cash balance to be transferred to	49353
the Risk Management Reserve Fund. The Director of Budget and	49354
Management may transfer the estimated amount when needed to make	49355
payments. Not more than thirty days after certifying the estimated	49356
amount, the Director of Administrative Services shall certify the	49357
final amount to the Director of Budget and Management. The	49358
Director of Budget and Management shall transfer the difference	49359
between any amount previously transferred and the certified final	49360
amount. The Director of Budget and Management may cancel	49361
encumbrances and re-establish encumbrances or parts of	49362
encumbrances of the Vehicle Liability Fund as needed in fiscal	49363
year 2008 in the Risk Management Reserve Fund for the same	49364
purposes. The appropriation authority necessary to re-establish	49365
such encumbrances in fiscal year 2008, as determined by the	49366
Director of Budget and Management, in appropriation item 100-606,	49367
Risk Management Reserve, is hereby appropriated. When	49368
re-established encumbrances or parts of re-established	49369
encumbrances of the Vehicle Liability Fund are canceled, the	49370
Director of Budget and Management shall reduce the appropriation	49371
for appropriation item 100-606, Risk Management Reserve, by the	49372
amount of the encumbrances canceled. The amounts canceled are	49373
hereby authorized. Any fiscal year 2007 unencumbered or unallotted	49374
appropriation for appropriation item 100-627, Vehicle Liability	49375
Insurance, may be transferred to appropriation item 100-606, Risk	49376
Management Reserve, to be used for the same purposes, as	49377
determined by the Director of Budget and Management. The amounts	49378
transferred are hereby appropriated.	49379

Section 207.10.90.  COLLECTIVE BARGAINING ARBITRATION	49380
EXPENSES	49381

With approval of the Director of Budget and Management, the	49382
Department of Administrative Services may seek reimbursement from	49383
state agencies for the actual costs and expenses the department	49384
incurs in the collective bargaining arbitration process. The	49385
reimbursements shall be processed through intrastate transfer	49386
vouchers and placed in the Collective Bargaining Fund (Fund 128).	49387

Section 207.20.10. EQUAL OPPORTUNITY PROGRAM

49388

The Department of Administrative Services, with the approval	49389
of the Director of Budget and Management, shall establish charges	49390
for recovering the costs of administering the activities supported	49391
by the State EEO Fund (Fund 188). These charges shall be deposited	49392
to the credit of the State EEO Fund (Fund 188) upon payment made	49393
by state agencies, state-supported or state-assisted institutions	49394
of higher education, and tax-supported agencies, municipal	49395
corporations, and other political subdivisions of the state, for	49396
services rendered.	49397

Section 207.20.20. MERCHANDISE FOR RESALE

49398

The foregoing appropriation item 100-653, General Services	49399
Resale Merchandise, shall be used to account for merchandise for	49400
resale, which is administered by the General Services Division.	49401
Deposits to the fund may comprise the cost of merchandise for	49402
resale and shipping fees.	49403

Section 207.20.30.  DAS INFORMATION SERVICES

49404

There is hereby established in the State Treasury the DAS	49405
Information Services Fund. The foregoing appropriation item	49406
100-603, DAS Information Services, shall be used to pay the costs	49407
of providing information systems and services in the Department of	49408
Administrative Services.	49409

The Department of Administrative Services shall establish	49410
user charges for all information systems and services that are	49411
allowable in the statewide indirect cost allocation plan submitted	49412
annually to the United States Department of Health and Human	49413
Services. These charges shall comply with federal regulations and	49414
shall be deposited to the credit of the DAS Information Services	49415
Fund (Fund 4P3).	49416

Section 207.20.40. INVESTMENT RECOVERY FUND

49417

Notwithstanding division (B) of section 125.14 of the Revised	49418
Code, cash balances in the Investment Recovery Fund (Fund 427) may	49419
be used to support the operating expenses of the Federal Surplus	49420
Operating Program created in sections 125.84 to 125.90 of the	49421
Revised Code.	49422

Notwithstanding division (B) of section 125.14 of the Revised	49423
Code, cash balances in the Investment Recovery Fund may be used to	49424
support the operating expenses of the Asset Management Services	49425
Program, including, but not limited to, the cost of establishing	49426
and maintaining procedures for inventory records for state	49427
property as described in section 125.16 of the Revised Code.	49428

Of the foregoing appropriation item 100-602, Investment	49429
Recovery, up to $2,271,209 in fiscal year 2008 and up to	49430
$2,353,372 in fiscal year 2009 shall be used to pay the operating	49431
expenses of the State Surplus Property Program, the Surplus	49432
Federal Property Program, and the Asset Management Services	49433
Program under Chapter 125. of the Revised Code and this section.	49434
If additional appropriations are necessary for the operations of	49435
these programs, the Director of Administrative Services shall seek	49436
increased appropriations from the Controlling Board under section	49437
131.35 of the Revised Code.	49438

Of the foregoing appropriation item 100-602, Investment	49439
Recovery, $3,412,355 in fiscal year 2008 and $3,330,192 in fiscal	49440
year 2009 shall be used to transfer proceeds from the sale of	49441
surplus property from the Investment Recovery Fund to non-General	49442
Revenue Funds under division (A)(2) of section 125.14 of the	49443
Revised Code. If it is determined by the Director of	49444
Administrative Services that additional appropriations are	49445
necessary for the transfer of such sale proceeds, the Director of	49446
Administrative Services may request the Director of Budget and	49447
Management to increase the amounts. Such amounts are hereby	49448
appropriated.	49449

Notwithstanding division (B) of section 125.14 of the Revised	49450
Code, the Director of Budget and Management, at the request of the	49451
Director of Administrative Services, shall transfer up to $500,000	49452
of the amounts held for transfer to the General Revenue Fund from	49453
the Investment Recovery Fund to the State Architect's Fund (Fund	49454
131) to provide operating cash.	49455

Section 207.20.50. MULTI-AGENCY RADIO COMMUNICATIONS SYSTEM

49456

Effective with the implementation of the Multi-Agency Radio	49457
Communications System, the State Chief Information Officer shall	49458
collect user fees from participants in the system. The State Chief	49459
Information Officer, with the advice of the Multi-Agency Radio	49460
Communications System Steering Committee and the Director of	49461
Budget and Management, shall determine the amount of the fees and	49462
the manner by which the fees shall be collected. Such user charges	49463
shall comply with the applicable cost principles issued by the	49464
federal Office of Management and Budget. All moneys from user	49465
charges and fees shall be deposited in the state treasury to the	49466
credit of the Multi-Agency Radio Communications System	49467
Administration Fund (Fund 5C2), which is hereby established in the	49468
state treasury. All interest income derived from the investment of	49469
the fund shall accrue to the fund.	49470

Section 207.20.60. WORKFORCE DEVELOPMENT FUND

49471

There is hereby established in the state treasury the	49472
Workforce Development Fund (Fund 5D7). The foregoing appropriation	49473
item 100-621, Workforce Development, shall be used to make	49474
payments from the fund. The fund shall be under the supervision of	49475
the Department of Administrative Services, which may adopt rules	49476
with regard to administration of the fund. The fund shall be used	49477
to pay the costs of any remaining obligations of the Workforce	49478
Development Program, in accordance with Article 37 of the contract	49479
between the State of Ohio and OCSEA/AFSCME, Local 11, abolished	49480
effective March 1, 2006. These costs include, but are not limited	49481
to, remaining grant obligations, payments for tuition	49482
reimbursement, contracted services and general overhead, and any	49483
settlement costs associated with the Statewide Cost Allocation	49484
Program (SWCAP). The program shall be administered in accordance	49485
with the contract. Revenues shall accrue to the fund as specified	49486
in the contract. The fund may be used to pay direct and indirect	49487
costs of the program that are attributable to staff, consultants,	49488
and service providers. All income derived from the investment of	49489
the fund shall accrue to the fund.	49490

If it is determined by the Director of Administrative	49491
Services that additional appropriation amounts are necessary, the	49492
Director of Administrative Services may request that the Director	49493
of Budget and Management increase such amounts. Such amounts are	49494
hereby appropriated.	49495

Section 207.20.70. OAKS SUPPORT ORGANIZATION

49496

The foregoing appropriation item 100-635, OAKS Support	49497
Organization, shall be used by the Office of Information	49498
Technology to support the operating costs associated with the	49499
implementation and maintenance of the state's enterprise resource	49500
planning system, OAKS, consistent with its responsibilities under	49501
this section and Chapters 125. and 126. of the Revised Code. The	49502
OAKS Support Organization shall operate and maintain the human	49503
capital management and financial management modules of the state's	49504
enterprise resource planning system to support statewide human	49505
resources and financial management activities administered by the	49506
Department of Administrative Services' human resources division	49507
and the Office of Budget and Management. The OAKS Support	49508
Organization shall recover the costs to establish, operate, and	49509
maintain the OAKS system through intrastate transfer voucher	49510
billings to the Department of Administrative Services and the	49511
Office of Budget and Management. Effective July 1, 2007, the	49512
Department of Administrative Services, with the approval of the	49513
Director of Budget and Management, shall include the recovery of	49514
the costs of administering the human capital management module of	49515
the OAKS System within the human resources services payroll rate.	49516
These revenues shall be deposited to the credit of the Human	49517
Resources Services Fund (Fund 125). Amounts deposited under this	49518
section are hereby appropriated to appropriation item 100-622,	49519
Human Resources Division-Operating. Not less than quarterly, the	49520
Department of Administrative Services shall process the intrastate	49521
transfer billings to transfer cash from the Human Resources	49522
Services Fund (Fund 125) to the OAKS Support Organization Fund	49523
(Fund 5EB) to pay for the OAKS Support Organization costs.	49524

Section 207.20.80. PROFESSIONAL DEVELOPMENT FUND

49525

The foregoing appropriation item 100-610, Professional	49526
Development, shall be used to make payments from the Professional	49527
Development Fund (Fund 5L7) under section 124.182 of the Revised	49528
Code.	49529

Section  207.20.90.  EMPLOYEE EDUCATIONAL DEVELOPMENT

49530

There is hereby established in the state treasury the	49531
Employee Educational Development Fund (Fund 5V6). The foregoing	49532
appropriation item 100-619, Employee Educational Development,	49533
shall be used to make payments from the fund. The fund shall be	49534
used to pay the costs of the administration of educational	49535
programs per existing collective bargaining agreements with	49536
District 1199, the Health Care and Social Service Union; State	49537
Council of Professional Educators; Ohio Education Association and	49538
National Education Association; the Fraternal Order of Police Ohio	49539
Labor Council, Unit 2; and the Ohio State Troopers Association,	49540
Units 1 and 15. The fund shall be under the supervision of the	49541
Department of Administrative Services, which may adopt rules with	49542
regard to administration of the fund. The fund shall be	49543
administered in accordance with the applicable sections of the	49544
collective bargaining agreements between the State and the	49545
aforementioned unions. The Department of Administrative Services,	49546
with the approval of the Director of Budget and Management, shall	49547
establish charges for recovering the costs of administering the	49548
educational programs. Receipts for these charges shall be	49549
deposited into the Employee Educational Development Fund. All	49550
income derived from the investment of the funds shall accrue to	49551
the fund.	49552

If it is determined by the Director of Administrative	49553
Services that additional appropriation amounts are necessary, the	49554
Director of Administrative Services may request that the Director	49555
of Budget and Management increase such amounts. Such amounts are	49556
hereby appropriated with the approval of the Director of Budget	49557
and Management.	49558

Section 207.30.10. CENTRALIZED GATEWAY ENHANCEMENTS FUND

49559

(A) As used in this section, "Ohio Business Gateway" refers	49560
to the internet-based system operated by the Office of Information	49561
Technology with the advice of the Ohio Business Gateway Steering	49562
Committee established under section 5703.57 of the Revised Code.	49563
The Ohio Business Gateway is established to provide businesses a	49564
central web site where various filings and payments are submitted	49565
on-line to government. The information is then distributed to the	49566
various government entities that interact with the business	49567
community.	49568

(B) As used in this section:

49569

(1) "State Portal" refers to the official web site of the	49570
state, operated by the Office of Information Technology.	49571

(2) "Shared Hosting Environment" refers to the computerized	49572
system operated by the Office of Information Technology for the	49573
purpose of providing capability for state agencies to host web	49574
sites.	49575

(C) There is hereby created in the state treasury the	49576
Centralized Gateway Enhancements Fund (Fund 5X3). The foregoing	49577
appropriation item 100-634, Centralized Gateway Enhancements,	49578
shall be used by the Office of Information Technology to pay the	49579
costs of enhancing, expanding, and operating the infrastructure of	49580
the Ohio Business Gateway, State Portal, and Shared Hosting	49581
Environment. The State Chief Information Officer shall submit	49582
periodic spending plans to the Director of Budget and Management	49583
to justify operating transfers to the fund from the General	49584
Revenue Fund. Upon approval, the Director of Budget and Management	49585
shall transfer approved amounts to the fund, not to exceed the	49586
amount of the annual appropriation in each fiscal year. The	49587
spending plans may be based on the recommendations of the Ohio	49588
Business Gateway Steering Committee or its successor.	49589

Section 207.30.20.  MAJOR IT PURCHASES

49590

The State Chief Information Officer shall compute the amount	49591
of revenue attributable to the amortization of all equipment	49592
purchases and capitalized systems from appropriation item 100-607,	49593
IT Service Delivery; appropriation item 100-617, Major IT	49594
Purchases; and appropriation item CAP-837, Major IT Purchases,	49595
which is recovered by the Office of Information Technology as part	49596
of the rates charged by the IT Service Delivery Fund (Fund 133)	49597
created in section 125.15 of the Revised Code. The Director of	49598
Budget and Management may transfer cash in an amount not to exceed	49599
the amount of amortization computed from the IT Service Delivery	49600
Fund (Fund 133) to the Major IT Purchases Fund (Fund 4N6).	49601

Section 207.30.30. INFORMATION TECHNOLOGY ASSESSMENT

49602

The State Chief Information Officer, with the approval of the	49603
Director of Budget and Management, may establish an information	49604
technology assessment for the purpose of recovering the cost of	49605
selected infrastructure and statewide programs. Such assessment	49606
shall comply with applicable cost principles issued by the federal	49607
Office of Management and Budget. The information technology	49608
assessment shall be charged to all organized bodies, offices, or	49609
agencies established by the laws of the state for the exercise of	49610
any function of state government except for the General Assembly,	49611
any legislative agency, the Supreme Court, the other courts of	49612
record in Ohio, or any judicial agency, the Adjutant General, the	49613
Bureau of Workers' Compensation, and institutions administered by	49614
a board of trustees. Any state-entity exempted by this section may	49615
utilize the infrastructure or statewide program by participating	49616
in the information technology assessment. All charges for the	49617
information technology assessment shall be deposited to the credit	49618
of the IT Governance Fund (Fund 229).	49619

Section 207.30.40.  MULTI-AGENCY RADIO COMMUNICATION SYSTEM	49620
DEBT SERVICE PAYMENTS	49621

The Director of Administrative Services, in consultation with	49622
the Multi-Agency Radio Communication System (MARCS) Steering	49623
Committee and the Director of Budget and Management, shall	49624
determine the share of debt service payments attributable to	49625
spending for MARCS components that are not specific to any one	49626
agency and that shall be charged to agencies supported by the	49627
motor fuel tax. Such share of debt service payments shall be	49628
calculated for MARCS capital disbursements made beginning July 1,	49629
1997. Within thirty days of any payment made from appropriation	49630
item 100-447, OBA - Building Rent Payments, the Director of	49631
Administrative Services shall certify to the Director of Budget	49632
and Management the amount of this share. The Director of Budget	49633
and Management shall transfer such amounts to the General Revenue	49634
Fund from the State Highway Safety Fund (Fund 036) established in	49635
section 4501.06 of the Revised Code.	49636

The State Chief Information Officer shall consider renting or	49637
leasing existing tower sites at reasonable or current market	49638
rates, so long as these existing sites are equipped with the	49639
technical capabilities to support the MARCS project.	49640

Section 207.30.50. DIRECTOR'S DECLARATION OF PUBLIC EXIGENCY

49641

Whenever the Director of Administrative Services declares a	49642
"public exigency," as provided in division (C) of section 123.15	49643
of the Revised Code, the Director shall also notify the members of	49644
the Controlling Board.	49645

Section 207.30.60. GENERAL SERVICE CHARGES

49646

The Department of Administrative Services, with the approval	49647
of the Director of Budget and Management, shall establish charges	49648
for recovering the costs of administering the programs in the	49649
General Services Fund (Fund 117) and the State Printing Fund (Fund	49650
210).	49651

Section 207.30.70. STATE ENERGY SERVICES PROGRAM

49652

Within 30 days after the effective date of this section, or	49653
as soon possible thereafter, the Director of Administrative	49654
Services shall certify the remaining cash in the Federal Special	49655
Revenue Fund (Fund 307) to the Director of Budget and Management,	49656
who shall transfer that amount to the State Architect's Office	49657
(Fund 131). The cash shall be used to operate the state's energy	49658
services program.	49659

Within thirty days after the effective date of this section,	49660
or as soon as possible thereafter, the Director of Administrative	49661
Services shall certify the remaining cash in the Energy Grants	49662
Fund (Fund 5A8) to the Director of Budget and Management, who	49663
shall transfer that amount to the State Architect's Office (Fund	49664
131). The cash shall be used to operate the state's energy	49665
services program.	49666

Section 207.30.80. FEDERAL GRANTS OGRIP

49667

As soon as possible on or after July 1, 2007, the Director of	49668
Budget and Management may transfer cash in the amount of	49669
$15,072.03 from the Federal Grants OGRIP Fund (Fund 3H6) to the	49670
General Revenue Fund.	49671

Section 209.10.  AAM COMMISSION ON AFRICAN AMERICAN MALES

49672

General Revenue Fund

49673

GRF	036-100		Personal Services		$	235,091		$	235,091		49674
GRF	036-200		Maintenance		$	29,000		$	29,000		49675
GRF	036-300		Equipment		$	1,000		$	1,000		49676
GRF	036-502		Community Projects		$	516,909		$	1,016,909		49677
TOTAL GRF General Revenue Fund					$	782,000		$	1,282,000		49678

State Special Revenue Fund Group

49679

4H3	036-601		Commission on African American Males - Gifts/Grants		$	10,000		$	10,000		49680
TOTAL SSR State Special Revenue Fund Group					$	10,000		$	10,000		49681
TOTAL ALL BUDGET FUND GROUPS					$	792,000		$	1,292,000		49682

CAAM STRATEGIC PLAN

49683

The Commission on African American Males shall develop a	49684
strategic plan to accomplish the tasks put forth in section	49685
4112.13 of the Revised Code.	49686

On January 1, 2008, or as soon as possible thereafter, the	49687
Director of the Commission on African American Males shall submit	49688
a strategic plan for the use of $500,000 in fiscal year 2008 and	49689
$1,000,000 in fiscal year 2009 to the Governor, the President of	49690
the Senate, the Minority Leader of the Senate, the Speaker of the	49691
House of Representatives, the Minority Leader of the House of	49692
Representatives, and the members of the Ohio Legislative Black	49693
Caucus.	49694

Not later than June 30, 2009, the Commission on African	49695
American Males shall submit a report on the impacts and outcomes	49696
of the strategic plan to the Governor, the President of the	49697
Senate, the Minority Leader of the Senate, the Speaker of the	49698
House of Representatives, the Minority Leader of the House of	49699
Representatives, and the members of the Ohio Legislative Black	49700
Caucus.	49701

Section 211.10. JCR JOINT COMMITTEE ON AGENCY RULE REVIEW

49702

General Revenue Fund

49703

GRF	029-321		Operating Expenses		$	409,856		$	409,856		49704
TOTAL GRF General Revenue Fund					$	409,856		$	409,856		49705
TOTAL ALL BUDGET FUND GROUPS					$	409,856		$	409,856		49706

OPERATING

49707

The Chief Administrative Officer of the House of	49708
Representatives and the Clerk of the Senate shall determine, by	49709
mutual agreement, which of them shall act as fiscal agent for the	49710
Joint Committee on Agency Rule Review.	49711

OPERATING EXPENSES

49712

On July 1, 2007, or as soon as possible thereafter, the	49713
designated fiscal agent shall certify to the Director of Budget	49714
and Management the total fiscal year 2007 unencumbered	49715
appropriations in appropriation item 029-321, Operating Expenses.	49716
The designated fiscal agent may direct the Director of Budget and	49717
Management to transfer an amount not to exceed the total fiscal	49718
year 2007 unencumbered appropriations to fiscal year 2008 for use	49719
in appropriation item 029-321, Operating Expenses. Additional	49720
appropriation authority equal to the amount certified by the	49721
designated fiscal agent is hereby appropriated to appropriation	49722
item 029-321, Operating Expenses, in fiscal year 2008.	49723

On July 1, 2008, or as soon as possible thereafter, the	49724
designated fiscal agent shall certify to the Director of Budget	49725
and Management the total fiscal year 2008 unencumbered	49726
appropriations in appropriation item 029-321, Operating Expenses.	49727
The designated fiscal agent may direct the Director of Budget and	49728
Management to transfer an amount not to exceed the total fiscal	49729
year 2008 unencumbered appropriations to fiscal year 2009 for use	49730
in appropriation item 029-321, Operating Expenses. Additional	49731
appropriation authority equal to the amount certified by the	49732
designated fiscal agent is hereby appropriated to appropriation	49733
item 029-321, Operating Expenses, in fiscal year 2009.	49734

Section 213.10.  AGE DEPARTMENT OF AGING

49735

General Revenue Fund

49736

GRF	490-321		Operating Expenses		$	2,637,571		$	2,637,271		49737
GRF	490-403		PASSPORT		$	123,923,047		$	153,392,150		49738
GRF	490-406		Senior Olympics		$	14,856		$	14,856		49739
GRF	490-409		Ohio Community Service Council Operations		$	183,792		$	183,792		49740
GRF	490-410		Long-Term Care Ombudsman		$	654,965		$	654,965		49741
GRF	490-411		Senior Community Services		$	10,099,439		$	10,099,439		49742
GRF	490-412		Residential State Supplement		$	9,156,771		$	9,156,771		49743
GRF	490-414		Alzheimers Respite		$	3,881,594		$	3,881,594		49744
GRF	490-416		JCFS Community Options		$	250,000		$	250,000		49745
GRF	490-421		PACE		$	10,214,809		$	10,214,809		49746
GRF	490-422		Assisted Living Waiver		$	12,554,940		$	15,213,890		49747
GRF	490-506		National Senior Service Corps		$	335,296		$	335,296		49748
TOTAL GRF General Revenue Fund					$	173,907,080		$	206,034,833		49749

General Services Fund Group

49750

480	490-606		Senior Community Outreach and Education		$	372,677		$	372,677		49751
TOTAL GSF General Services Fund											49752
Group					$	372,677		$	372,677		49753

Federal Special Revenue Fund Group

49754

3C4	490-607		PASSPORT		$	295,337,721		$	294,451,444		49755
3C4	490-621		PACE-Federal		$	14,586,135		$	14,586,135		49756
3C4	490-622		Assisted Living-Federal		$	14,972,892		$	21,810,442		49757
3M4	490-612		Federal Independence Services		$	62,406,819		$	63,655,080		49758
3R7	490-617		Ohio Community Service Council Programs		$	8,870,000		$	8,870,000		49759
322	490-618		Federal Aging Grants		$	10,000,000		$	10,200,000		49760
TOTAL FED Federal Special Revenue											49761
Fund Group					$	406,173,567		$	413,573,101		49762

State Special Revenue Fund Group

49763

4C4	490-609		Regional Long-Term Care Ombudsman Program		$	935,000		$	935,000		49764
4J4	490-610		PASSPORT/Residential State Supplement		$	33,491,930		$	33,263,984		49765
4U9	490-602		PASSPORT Fund		$	4,424,969		$	4,424,969		49766
5AA	490-673		Ohio's Best Rx Administration		$	1,184,154		$	910,801		49767
5BA	490-620		Ombudsman Support		$	600,000		$	600,000		49768
5K9	490-613		Long Term Care Consumers Guide		$	820,400		$	820,400		49769
5W1	490-616		Resident Services Coordinator Program		$	330,000		$	330,000		49770
624	490-604		OCSC Community Support		$	470,000		$	470,000		49771
TOTAL SSR State Special Revenue											49772
Fund Group					$	42,256,453		$	41,755,154		49773
TOTAL ALL BUDGET FUND GROUPS					$	622,709,777		$	661,735,765		49774

Section 213.20. PRE-ADMISSION REVIEW FOR NURSING FACILITY	49776
ADMISSION	49777

Pursuant to an interagency agreement, the Department of Job	49778
and Family Services shall designate the Department of Aging to	49779
perform assessments under sections 173.42 and 5111.204 of the	49780
Revised Code. Of the foregoing appropriation item 490-403,	49781
PASSPORT, the Department of Aging may use not more than $2,731,000	49782
in fiscal year 2008 and $2,813,000 in fiscal year 2009 to perform	49783
the assessments for persons not eligible for Medicaid under the	49784
department's interagency agreement with the Department of Job and	49785
Family Services and to assist individuals in planning for their	49786
long-term health care needs.	49787

PASSPORT

49788

Appropriation item 490-403, PASSPORT, and the amounts set	49789
aside for the PASSPORT Waiver Program in appropriation item	49790
490-610, PASSPORT/Residential State Supplement, may be used to	49791
assess clients regardless of Medicaid eligibility.	49792

The Director of Aging shall adopt rules under section 111.15	49793
of the Revised Code governing the nonwaiver funded PASSPORT	49794
program, including client eligibility.	49795

The Department of Aging shall administer the Medicaid	49796
waiver-funded PASSPORT Home Care Program as delegated by the	49797
Department of Job and Family Services in an interagency agreement.	49798
The foregoing appropriation item 490-403, PASSPORT, and the	49799
amounts set aside for the PASSPORT Waiver Program in appropriation	49800
item 490-610, PASSPORT/Residential State Supplement, shall be used	49801
to provide the required state match for federal Medicaid funds	49802
supporting the Medicaid Waiver-funded PASSPORT Home Care Program.	49803
Appropriation item 490-403, PASSPORT, and the amounts set aside	49804
for the PASSPORT Waiver Program in appropriation item 490-610,	49805
PASSPORT/Residential State Supplement, may also be used to support	49806
the Department of Aging's administrative costs associated with	49807
operating the PASSPORT program.	49808

The foregoing appropriation item 490-607, PASSPORT, shall be	49809
used to provide the federal matching share for all PASSPORT	49810
program costs determined by the Department of Job and Family	49811
Services to be eligible for Medicaid reimbursement.	49812

OHIO COMMUNITY SERVICE COUNCIL

49813

The foregoing appropriation items 490-409, Ohio Community	49814
Service Council Operations, and 490-617, Ohio Community Service	49815
Council Programs, shall be used in accordance with section 121.40	49816
of the Revised Code.	49817

LONG-TERM CARE OMBUDSMAN

49818

The foregoing appropriation item 490-410, Long-Term Care	49819
Ombudsman, shall be used for a program to fund ombudsman program	49820
activities as authorized in sections 173.14 to 173.27 and section	49821
173.99 of the Revised Code.	49822

SENIOR COMMUNITY SERVICES

49823

Appropriation item 490-411, Senior Community Services, shall	49824
be used for services designated by the Department of Aging,	49825
including, but not limited to, home-delivered and congregate	49826
meals, transportation services, personal care services, respite	49827
services, adult day services, home repair, care coordination, and	49828
decision support systems. Service priority shall be given to low	49829
income, frail, and cognitively impaired persons 60 years of age	49830
and over. The department shall promote cost sharing by service	49831
recipients for those services funded with senior community	49832
services funds, including, when possible, sliding-fee scale	49833
payment systems based on the income of service recipients.	49834

RESIDENTIAL STATE SUPPLEMENT

49835

Under the Residential State Supplement Program, the amount	49836
used to determine whether a resident is eligible for payment and	49837
for determining the amount per month the eligible resident will	49838
receive shall be as follows:	49839

(A) $900 for a residential care facility, as defined in	49840
section 3721.01 of the Revised Code;	49841

(B) $900 for an adult group home, as defined in Chapter 3722.	49842
of the Revised Code;	49843

(C) $800 for an adult foster home, as defined in Chapter 173.	49844
of the Revised Code;	49845

(D) $800 for an adult family home, as defined in Chapter	49846
3722. of the Revised Code;	49847

(E) $800 for an adult community alternative home, as defined	49848
in Chapter 3724. of the Revised Code;	49849

(F) $800 for an adult residential facility, as defined in	49850
Chapter 5119. of the Revised Code;	49851

(G) $600 for adult community mental health housing services,	49852
as defined in division (B)(5) of section 173.35 of the Revised	49853
Code.	49854

The Departments of Aging and Job and Family Services shall	49855
reflect these amounts in any applicable rules the departments	49856
adopt under section 173.35 of the Revised Code.	49857

TRANSFER OF RESIDENTIAL STATE SUPPLEMENT APPROPRIATIONS

49858

The Department of Aging may transfer cash by intrastate	49859
transfer vouchers from the foregoing appropriation items 490-412,	49860
Residential State Supplement, and 490-610, PASSPORT/Residential	49861
State Supplement, to the Department of Job and Family Services'	49862
Fund 4J5, Home and Community-Based Services for the Aged Fund. The	49863
funds shall be used to make benefit payments to Residential State	49864
Supplement recipients.	49865

ALZHEIMERS RESPITE

49866

The foregoing appropriation item 490-414, Alzheimers Respite,	49867
shall be used to fund only Alzheimer's disease services under	49868
section 173.04 of the Revised Code.	49869

JCFS COMMUNITY OPTIONS

49870

The foregoing appropriation item 490-416, JCFS Community	49871
Options, shall be used for noncapital expenses related to	49872
transportation services for the elderly that provide access to	49873
such things as healthcare services, congregate meals,	49874
socialization programs, and grocery shopping. The funds shall pass	49875
through and shall be administered by the Area Agencies on Aging.	49876
Agencies receiving funding from appropriation item 490-416, JCFS	49877
Community Options, shall coordinate services with other local	49878
service agencies. The appropriation shall be allocated to the	49879
following agencies:	49880

(A) $80,000 in both fiscal years to Cincinnati Jewish	49881
Vocational Services;	49882

(B) $70,000 in both fiscal years to Wexner Heritage Village;

49883

(C) $20,000 in both fiscal years to Yassenoff Jewish	49884
Community Center;	49885

(D) $80,000 in both fiscal years to Cleveland Jewish	49886
Community Center.	49887

ALLOCATION OF PACE SLOTS

49888

In order to effectively administer and manage growth within	49889
the PACE Program, the Director of Aging may, as the director deems	49890
appropriate and to the extent funding is available, allocate funds	49891
for the PACE Program between the PACE sites in Cleveland and	49892
Cincinnati.	49893

OHIO'S BEST RX START-UP COSTS

49894

An amount equal to the unencumbered balance in appropriation	49895
item 490-440, Ohio's Best Rx Start-up Costs, from fiscal year 2007	49896
is hereby appropriated for fiscal year 2008 into appropriation	49897
item 490-440, Ohio's Best Rx Start-up Costs.	49898

An amount equal to the remaining unencumbered balance in	49899
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, from	49900
fiscal year 2008 is hereby appropriated for fiscal year 2009 into	49901
appropriation item 490-440, Ohio's Best Rx Start-Up Costs. The	49902
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, shall	49903
be used by the Department of Aging to pay for the administrative	49904
and operational expenses of the Ohio's Best Rx Program in	49905
accordance with sections 173.71 to 173.91 of the Revised Code,	49906
including costs associated with the duties assigned by the	49907
department to the Ohio's Best Rx Program Administrator and for	49908
making payments to participating terminal distributors until	49909
sufficient cash exists to make payments from the accounts created	49910
in sections 173.85 and 173.86 of the Revised Code. Of	49911
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, not	49912
more than $750,000 in each fiscal year may be used by the	49913
department for administrative and operational costs, excluding	49914
outreach, that are not associated with the Ohio's Best Rx Program	49915
Administrator or the payments to participating terminal	49916
distributors.	49917

EDUCATION AND TRAINING

49918

The foregoing appropriation item 490-606, Senior Community	49919
Outreach and Education, may be used to provide training to workers	49920
in the field of aging pursuant to division (G) of section 173.02	49921
of the Revised Code.	49922

REGIONAL LONG-TERM CARE OMBUDSMAN PROGRAM

49923

The foregoing appropriation item 490-609, Regional Long-Term	49924
Care Ombudsman Program, shall be used solely to pay the costs of	49925
operating the regional long-term care ombudsman programs	49926
designated by the Long-Term Care Ombudsman.	49927

PASSPORT/RESIDENTIAL STATE SUPPLEMENT

49928

Of the foregoing appropriation item 490-610,	49929
PASSPORT/Residential State Supplement, up to $2,835,000 each	49930
fiscal year may be used to fund the Residential State Supplement	49931
Program. The remaining available funds shall be used to fund the	49932
PASSPORT program.	49933

FEDERAL SUPPORTIVE SERVICES FUND

49934

On July 1, 2007, as soon as possible thereafter, the Director	49935
of Budget and Management shall transfer all assets, liabilities,	49936
revenues, and obligations associated with the Federal Aging	49937
Nutrition Fund (Fund 3M3) to the Federal Supportive Services Fund	49938
(Fund 3M4). Upon the transfer, the Federal Aging Nutrition Fund	49939
(Fund 3M3) shall cease to exist. The Director of Budget and	49940
Management shall cancel any existing encumbrances against	49941
appropriation item 490-611, Federal Aging Nutrition Fund (Fund	49942
3M3), and re-establish them against appropriation item 490-612,	49943
Federal Independence Services (Fund 3M4). The amounts of the	49944
re-established encumbrances are hereby appropriated.	49945

TRANSFER OF APPROPRIATIONS - FEDERAL INDEPENDENCE SERVICES	49946
AND FEDERAL AGING GRANTS	49947

Upon written request of the Director of Aging, the Director	49948
of Budget and Management may transfer appropriation authority	49949
among appropriation items 490-612, Federal Independence Services,	49950
and 490-618, Federal Aging Grants, in amounts not to exceed 30 per	49951
cent of the appropriation from which the transfer is made. The	49952
Department of Aging shall report a transfer to the Controlling	49953
Board at the next regularly scheduled meeting of the board.	49954

TRANSFER OF RESIDENT PROTECTION FUNDS

49955

The Director of Budget and Management shall transfer $600,000	49956
per year in cash from Fund 4E3, Resident Protection Fund, in the	49957
Department of Job and Family Services, to Fund 5BA in the	49958
Department of Aging, to be used for the expansion of ombudsman	49959
services to enhance consumer involvement and person-centered care	49960
planning in nursing homes by the Office of the State Long-Term	49961
Care Ombudsman created by the Department of Aging under division	49962
(M) of section 173.01 of the Revised Code.	49963

Section 213.30.  UNIFIED LONG-TERM CARE BUDGET WORKGROUP

49965

(A) There is hereby created the Unified Long-Term Care Budget	49966
Workgroup consisting of the following:	49967

(1) The Director of Aging;

49968

(2) Consumer advocates;

49969

(3) Representatives of the provider community;

49970

(4) State policy makers.

49971

The Director of Aging shall serve as the chairperson of the	49972
Workgroup.	49973

(B) The Workgroup shall develop a unified long-term care	49974
budget that facilitates the following:	49975

(1) Providing a consumer a choice of services that meet the	49976
consumer's health care needs and improve the consumer's quality of	49977
life;	49978

(2) Providing a continuum of services that meet the needs of	49979
a consumer throughout life;	49980

(3) Consolidating policymaking authority and the associated	49981
budgets in a single entity to simplify the consumer's decision	49982
making and maximize the state's flexibility in meeting the	49983
consumer's needs;	49984

(4) Assuring the state has a system that is cost effective	49985
and links disparate services across agencies and jurisdictions.	49986

(C) The Workgroup shall submit a written implementation plan	49987
to the Governor not later than June 1, 2008. The plan shall	49988
incorporate the following:	49989

(1) Recommendations regarding the structure of the unified	49990
long-term care budget;	49991

(2) A plan outlining how funds can be transferred among	49992
involved agencies in a fiscally neutral manner;	49993

(3) Identification of the resources needed to implement the	49994
unified budget in a multiphase approach starting in fiscal year	49995
2009;	49996

(4) Success criteria and tools to measure progress against	49997
the success criteria.	49998

The plan shall consider the recommendations of the Medicaid	49999
Administrative Study Council and the Ohio Commission to Reform	50000
Medicaid.	50001

(D) The Director of Budget and Management may do any of the	50002
following in support of the Workgroup's proposal:	50003

(1) Create new funds and account appropriation items to	50004
support and track funds associated with a unified long-term care	50005
budget;	50006

(2) Transfer funds among affected agencies and adjust	50007
corresponding appropriation levels;	50008

(3) Develop a reporting mechanism to show clearly how the	50009
funds are being transferred and expended.	50010

OHIO'S BEST RX ADMINISTRATION

50011

The foregoing appropriation item 490-673, Ohio's Best Rx	50012
Administration, shall be used on an ongoing basis to cover	50013
expenses associated with the Ohio's Best Rx Program specified in	50014
section 173.86 of the Revised Code. If receipts to the fund exceed	50015
the appropriated amount, the Director of Aging may request that	50016
the Director of Budget and Management increase the appropriation	50017
of this fund. Upon approval from the Director of Budget and	50018
Management, the additional amounts are hereby appropriated.	50019

Section 215.10. AGR DEPARTMENT OF AGRICULTURE

50020

General Revenue Fund

50021

GRF	700-321		Operating Expenses		$	2,605,330		$	2,605,330		50022
GRF	700-401		Animal Disease Control		$	3,574,506		$	3,574,506		50023
GRF	700-403		Dairy Division		$	1,304,504		$	1,304,504		50024
GRF	700-404		Ohio Proud		$	207,895		$	207,895		50025
GRF	700-406		Consumer Analytical Lab		$	953,906		$	953,906		50026
GRF	700-407		Food Safety		$	865,100		$	865,100		50027
GRF	700-409		Farmland Preservation		$	241,573		$	241,573		50028
GRF	700-410		Plant Industry		$	50,000		$	50,000		50029
GRF	700-411		International Trade and Market Development		$	617,524		$	517,524		50030
GRF	700-412		Weights and Measures		$	1,300,000		$	1,300,000		50031
GRF	700-413		Gypsy Moth Prevention		$	200,000		$	200,000		50032
GRF	700-415		Poultry Inspection		$	325,000		$	325,000		50033
GRF	700-418		Livestock Regulation Program		$	1,428,496		$	1,428,496		50034
GRF	700-424		Livestock Testing and Inspections		$	115,946		$	115,946		50035
GRF	700-499		Meat Inspection Program - State Share		$	4,696,889		$	4,696,889		50036
GRF	700-501		County Agricultural Societies		$	483,226		$	483,226		50037
TOTAL GRF General Revenue Fund					$	18,969,895		$	18,869,895		50038

General Services Fund Group

50039

5DA	700-644		Laboratory Administration Support		$	1,100,000		$	1,100,000		50040
TOTAL GSF General Services Fund Group					$	1,100,000		$	1,100,000		50041

Federal Special Revenue Fund Group

50042

3AB	700-641		Agricultural Easement		$	2,000,000		$	2,000,000		50043
3J4	700-607		Indirect Cost		$	600,000		$	600,000		50044
3R2	700-614		Federal Plant Industry		$	4,800,000		$	4,800,000		50045
326	700-618		Meat Inspection Program - Federal Share		$	4,960,000		$	4,950,000		50046
336	700-617		Ohio Farm Loan Revolving Fund		$	44,679		$	44,679		50047
382	700-601		Cooperative Contracts		$	3,700,000		$	3,700,000		50048
TOTAL FED Federal Special Revenue											50049
Fund Group					$	16,104,679		$	16,094,679		50050

State Special Revenue Fund Group

50051

4C9	700-605		Feed, Fertilizer, Seed, and Lime Inspection		$	1,850,000		$	1,850,000		50052
4D2	700-609		Auction Education		$	24,601		$	24,601		50053
4E4	700-606		Utility Radiological Safety		$	73,059		$	73,059		50054
4P7	700-610		Food Safety Inspection		$	858,096		$	858,096		50055
4R2	700-637		Dairy Industry Inspection		$	1,500,000		$	1,500,000		50056
4T6	700-611		Poultry and Meat Inspection		$	47,294		$	47,294		50057
4T7	700-613		International Trade and Market Development		$	15,000		$	15,000		50058
494	700-612		Agricultural Commodity Marketing Program		$	250,000		$	250,000		50059
496	700-626		Ohio Grape Industries		$	850,000		$	849,999		50060
497	700-627		Commodity Handlers Regulatory Program		$	500,000		$	500,000		50061
5B8	700-629		Auctioneers		$	365,390		$	365,390		50062
5H2	700-608		Metrology Lab and Scale Certification		$	427,526		$	427,526		50063
5L8	700-604		Livestock Management Program		$	30,000		$	30,000		50064
578	700-620		Ride Inspection Fees		$	1,000,000		$	1,000,001		50065
652	700-634		Animal and Consumer Analytical Laboratory		$	3,000,000		$	3,000,000		50066
669	700-635		Pesticide Program		$	2,800,000		$	2,800,000		50067
TOTAL SSR State Special Revenue											50068
Fund Group					$	13,590,966		$	13,590,966		50069

Clean Ohio Fund Group

50070

057	700-632		Clean Ohio Agricultural Easement		$	149,000		$	149,000		50071
TOTAL CLR Clean Ohio Fund Group					$	149,000		$	149,000		50072

TOTAL ALL BUDGET FUND GROUPS

$

49,914,540

$

49,804,540

50073

OHIO - ISRAEL AGRICULTURAL INITIATIVE

50074

Of the foregoing General Revenue Fund appropriation item	50075
700-411, International Trade and Market Development, $100,000	50076
shall be used in fiscal year 2008 for the Ohio - Israel	50077
Agricultural Initiative.	50078

HEALTHY FARMS AND HEALTHY SCHOOLS GRANTS

50079

Of the foregoing appropriation item 700-501, County	50080
Agricultural Societies, $125,000 in each fiscal year shall be used	50081
for the Healthy Farms and Healthy Schools Grants Program to	50082
provide grants to schools to establish nutrition education and	50083
agriculture education programs for kindergartners in Perry County.	50084

CORRECTIVE CASH TRANSFER TO ANIMAL HEALTH AND FOOD SAFETY	50085
FUND	50086

On the effective date of this section, or as soon as possible	50087
thereafter, the Director of Budget and Management may transfer all	50088
cash from the Animal Industry Laboratory Fund (Fund 4V5) to the	50089
Laboratory Services Fund (Fund 652) to correct deposits that were	50090
mistakenly deposited to the Laboratory Services Fund (Fund 4V5).	50091

Section 217.10. AIR AIR QUALITY DEVELOPMENT AUTHORITY

50092

General Revenue Fund

50093

GRF	898-402		Coal Development Office		$	570,692		$	612,692		50094
GRF	898-901		Coal R&D General Obligation Debt Service		$	7,232,400		$	8,192,500		50095
TOTAL GRF General Revenue Fund					$	7,803,092		$	8,805,192		50096

General Services Fund Group

50097

5EG	898-608		Energy Strategy Development		$	307,000		$	307,000		50098
TOTAL GSF General Services Fund					$	307,000		$	307,000		50099

Agency Fund Group

50100

4Z9	898-602		Small Business Ombudsman		$	287,146		$	294,290		50101
5A0	898-603		Small Business Assistance		$	71,087		$	71,087		50102
570	898-601		Operating Expenses		$	255,000		$	264,000		50103
TOTAL AGY Agency Fund Group					$	613,233		$	629,377		50104

Coal Research/Development Fund

50105

046	898-604		Coal Research and Development Fund		$	10,000,000		$	10,000,000		50106
TOTAL 046 Coal Research/Development Fund					$	10,000,000		$	10,000,000		50107
TOTAL ALL BUDGET FUND GROUPS					$	18,723,325		$	19,741,569		50108

COAL DEVELOPMENT OFFICE

50109

The foregoing appropriation item GRF 898-402, Coal	50110
Development Office, shall be used for the administrative costs of	50111
the Coal Development Office.	50112

COAL RESEARCH AND DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE

50113

The foregoing appropriation item GRF 898-901, Coal R & D	50114
General Obligation Debt Service, shall be used to pay all debt	50115
service and related financing costs at the times they are required	50116
to be made during the period from July 1, 2007 to June 30, 2009	50117
for obligations issued under sections 151.01 and 151.07 of the	50118
Revised Code.	50119

SCIENCE AND TECHNOLOGY COLLABORATION

50120

The Air Quality Development Authority shall work in close	50121
collaboration with the Department of Development, the Board of	50122
Regents, and the Third Frontier Commission in relation to	50123
appropriation items and programs referred to as Alignment Programs	50124
in the following paragraph, and other technology-related	50125
appropriations and programs in the Department of Development, Air	50126
Quality Development Authority, and the Board of Regents as those	50127
agencies may designate, to ensure implementation of a coherent	50128
state strategy with respect to science and technology.	50129

To the extent permitted by law, the Air Quality Development	50130
Authority shall assure that coal research and development	50131
programs, proposals, and projects consider or incorporate	50132
appropriate collaborations with Third Frontier Project programs	50133
and grantees and with Alignment Programs and grantees.	50134

"Alignment Programs" means: appropriation items 195-401,	50135
Thomas Edison Program; 898-402, Coal Development Office; 195-422,	50136
Third Frontier Action Fund; 898-604, Coal Research and Development	50137
Fund; 235-433, Economic Growth Challenge; 235-508, Air Force	50138
Institute of Technology; 235-510, Ohio Supercomputer Center;	50139
235-451, Eminent Scholars; 235-527, Ohio Aerospace Institute;	50140
235-535, Ohio Agricultural Research and Development Center;	50141
235-553, Dayton Area Graduate Studies Institute; 235-554,	50142
Priorities in Collaborative Graduate Education; 235-556, Ohio	50143
Academic Resources Network; and 195-435, Biomedical Research and	50144
Technology Transfer Trust.	50145

Consistent with the recommendations of the Governor's	50146
Commission on Higher Education and the Economy, Alignment Programs	50147
shall be managed and administered (1) to build on existing	50148
competitive research strengths, (2) to encourage new and emerging	50149
discoveries and commercialization of ideas and products that will	50150
benefit the Ohio economy, and (3) to assure improved collaboration	50151
among Alignment Programs, with programs administered by the Third	50152
Frontier Commission, and with other state programs that are	50153
intended to improve economic growth and job creation.	50154

As directed by the Third Frontier Commission, Alignment	50155
Program managers shall report to the Commission or to the Third	50156
Frontier Advisory Board on the contributions of their programs to	50157
achieving the objectives stated in the preceding paragraph.	50158

Each alignment program shall be reviewed annually by the	50159
Third Frontier Commission with respect to its development of	50160
complementary relationships within a combined state science and	50161
technology investment portfolio and its overall contribution to	50162
the state's science and technology strategy, including the	50163
adoption of appropriately consistent criteria for: (1) the	50164
scientific merit of activities supported by the program; (2) the	50165
relevance of the program's activities to commercial opportunities	50166
in the private sector; (3) the private sector's involvement in a	50167
process that continually evaluates commercial opportunities to use	50168
the work supported by the program; and (4) the ability of the	50169
program and recipients of grant funding from the program to engage	50170
in activities that are collaborative, complementary, and efficient	50171
with respect to the expenditure of state funds. Each alignment	50172
program shall provide annual reports to the Third Frontier	50173
Commission discussing existing, planned, or possible	50174
collaborations between programs and recipients of grant funding	50175
related to technology, development, commercialization, and	50176
supporting Ohio's economic development. The annual review by the	50177
Third Frontier Commission shall be a comprehensive review of the	50178
entire state science and technology program portfolio rather than	50179
a review of individual programs.	50180

Applicants for Third Frontier and Alignment Program funding	50181
shall identify their requirements for high-performance computing	50182
facilities and services, including both hardware and software, in	50183
all proposals. If an applicant's requirements exceed approximately	50184
$100,000 for a proposal, the Ohio Supercomputer Center shall	50185
convene a panel of experts. The panel shall review the proposal to	50186
determine whether the proposal's requirements can be met through	50187
Ohio Supercomputer Center facilities or through other means and	50188
report its conclusion to the Third Frontier Commission.	50189

To ensure that the state receives the maximum benefit from	50190
its investment in the Third Frontier Project and the Third	50191
Frontier Network, organizations receiving Third Frontier awards	50192
and Alignment Program awards shall, as appropriate, be expected to	50193
have a connection to the Third Frontier Network that enables them	50194
and their collaborators to achieve award objectives through the	50195
Third Frontier Network.	50196

CORRECTIVE CASH TRANSFER

50197

On the effective date of this section, or as soon as possible	50198
thereafter, the Director of Budget and Management may transfer	50199
$35,555.35 in cash from the Coal Research and Development Fund	50200
(Fund 046) into the Coal Research and Development Bond Services	50201
Fund (Fund 076) to correct deposits that were mistakenly deposited	50202
into the Coal Research and Development Fund (Fund 046).	50203

Section 219.10.  ADA DEPARTMENT OF ALCOHOL AND DRUG ADDICTION	50204
SERVICES	50205

General Revenue Fund

50206

GRF	038-321		Operating Expenses		$	1,071,861		$	1,071,861		50207
GRF	038-401		Treatment Services		$	31,661,063		$	34,661,063		50208
GRF	038-404		Prevention Services		$	1,052,127		$	1,552,127		50209
GRF	038-501		System Reform		$	0		$	305,000		50210
TOTAL GRF General Revenue Fund					$	33,785,051		$	37,590,051		50211

General Services Fund

50212

5T9	038-616		Problem Gambling Services		$	285,000		$	285,000		50213
TOTAL GSF General Services Fund Group					$	285,000		$	285,000		50214

Federal Special Revenue Fund Group

50215

3CK	038-625		TANF		$	5,000,000		$	5,000,000		50216
3G3	038-603		Drug Free Schools		$	3,500,000		$	3,500,000		50217
3G4	038-614		Substance Abuse Block Grant		$	73,000,000		$	73,000,000		50218
3H8	038-609		Demonstration Grants		$	7,093,075		$	7,093,075		50219
3J8	038-610		Medicaid		$	46,000,000		$	46,000,000		50220
3N8	038-611		Administrative Reimbursement		$	500,000		$	500,000		50221
TOTAL FED Federal Special Revenue											50222
Fund Group					$	135,093,075		$	135,093,075		50223

State Special Revenue Fund Group

50224

475	038-621		Statewide Treatment and Prevention		$	18,000,000		$	18,000,000		50225
5BR	038-406		Tobacco Use Prevention and Control Program		$	205,000		$	205,000		50226
5DH	038-620		Fetal Alcohol Spectrum Disorder		$	327,500		$	327,500		50227
689	038-604		Education and Conferences		$	350,000		$	350,000		50228
TOTAL SSR State Special Revenue											50229
Fund Group					$	18,882,500		$	18,882,500		50230
TOTAL ALL BUDGET FUND GROUPS					$	188,045,626		$	191,850,626		50231

TREATMENT SERVICES

50232

Of the foregoing appropriation item 038-401, Treatment	50233
Services, not more than $8,190,000 shall be used by the Department	50234
of Alcohol and Drug Addiction Services for program grants for	50235
priority populations in each year of the biennium.	50236

SUBSTANCE ABUSE SERVICES FOR FAMILIES OF AT RISK CHILDREN

50237

Of the foregoing appropriation item 038-401, Treatment	50238
Services, $4 million in each fiscal year shall be used to provide	50239
substance abuse services to families involved in the child welfare	50240
system under the requirements of Am. Sub. H.B. 484 of the 122nd	50241
General Assembly.	50242

THERAPEUTIC COMMUNITIES

50243

Of the foregoing appropriation item 038-401, Treatment	50244
Services, $750,000 shall be used in each fiscal year for the	50245
Therapeutic Communities Program in the Department of	50246
Rehabilitation and Correction.	50247

JUVENILE AFTERCARE PROGRAM

50248

Of the foregoing appropriation item 038-401, Treatment	50249
Services, $3,000,000 shall be used in fiscal year 2009 for the	50250
Juvenile Aftercare Program to provide community-based alcohol and	50251
other drug treatment to parolees from the Department of Youth	50252
Services.	50253

PARENT ENGAGEMENT

50254

The Department of Alcohol and Drug Addiction Services shall	50255
identify strategies and opportunities for parent engagement in	50256
alcohol and other drug abuse prevention activities. Of the	50257
foregoing appropriation item 038-404, Prevention Services, $30,000	50258
in each fiscal year may be used to support state-level parent	50259
engagement.	50260

CIRCLE OF RECOVERY

50261

Of the foregoing appropriation item 038-404, Prevention	50262
Services, $500,000 shall be used in fiscal year 2009 for the	50263
Circle of Recovery Program to help parolees transition from the	50264
criminal justice system to the community.	50265

SYSTEM REFORM

50266

Following receipt of a review performed by the Office of	50267
Budget and Management, the Director of Alcohol and Drug Addiction	50268
Services shall develop a plan for the use of appropriation item	50269
038-501, System Reform. Following approval of the plan by the	50270
Director of Budget and Management, the Department of Alcohol and	50271
Drug Addiction Services may begin expending the dollars	50272
appropriated to appropriation item 038-501, System Reform.	50273

SERVICES FOR TANF-ELIGIBLE INDIVIDUALS

50274

Of the foregoing appropriation item 038-625, TANF	50275
Reimbursement, an amount up to $5 million each year shall be used	50276
to reimburse counties for TANF-eligible expenditures for substance	50277
abuse prevention and treatment services to children, or their	50278
families, whose income is at or below 200 per cent of the federal	50279
poverty level. The Director of Alcohol and Drug Addiction Services	50280
and the Director of Job and Family Services shall enter into an	50281
interagency agreement that meets federal requirements.	50282

Section 219.20.  STUDY OF PROVIDER RATES

50283

The Director of Alcohol and Drug Addiction Services shall	50284
convene a study group to review the current provider rate	50285
structure of drug and alcohol addiction services and make	50286
recommendations. The study group shall be comprised of state and	50287
county representatives and members of the provider communities.	50288

Section 221.10.  ARC STATE BOARD OF EXAMINERS OF ARCHITECTS

50289

General Services Fund Group

50290

4K9	891-609		Operating Expenses		$	638,110		$	565,141		50291
TOTAL GSF General Services Fund											50292
Group					$	638,110		$	565,141		50293
TOTAL ALL BUDGET FUND GROUPS					$	638,110		$	565,141		50294

Section 223.10.  ART OHIO ARTS COUNCIL

50296

General Revenue Fund

50297

GRF	370-100		Personal Services		$	1,798,235		$	1,798,235		50298
GRF	370-200		Maintenance		$	459,746		$	459,746		50299
GRF	370-300		Equipment		$	82,700		$	82,700		50300
GRF	370-502		State Program Subsidies		$	9,147,480		$	9,147,480		50301
TOTAL GRF General Revenue Fund					$	11,488,161		$	11,488,161		50302

General Services Fund Group

50303

4B7	370-603		Percent for Art Acquisitions		$	86,366		$	86,366		50304
460	370-602		Management Expenses and Donations		$	285,000		$	285,000		50305
TOTAL GSF General Services Fund Group					$	371,366		$	371,366		50306

Federal Special Revenue Fund Group

50307

314	370-601		Federal Support		$	800,000		$	800,000		50308
TOTAL FED Federal Special Revenue Fund Group					$	800,000		$	800,000		50309
TOTAL ALL BUDGET FUND GROUPS					$	12,659,527		$	12,659,527		50310

PROGRAM SUBSIDIES

50311

A museum is not eligible to receive funds from appropriation	50312
item 370-502, State Program Subsidies, if $8,000,000 or more in	50313
capital appropriations were appropriated by the state for the	50314
museum between January 1, 1986, and December 31, 2002.	50315

Section 225.10. ATH ATHLETIC COMMISSION

50316

General Services Fund Group

50317

4K9	175-609		Operating Expenses		$	255,850		$	255,850		50318
TOTAL GSF General Services Fund Group					$	255,850		$	255,850		50319
TOTAL ALL BUDGET FUND GROUPS					$	255,850		$	255,850		50320

Section 227.10. AGO ATTORNEY GENERAL

50322

General Revenue Fund

50323

GRF	055-321		Operating Expenses		$	54,063,833		$	54,007,332		50324
GRF	055-404		Tobacco Settlement Enforcement		$	0		$	723,797		50325
GRF	055-411		County Sheriffs' Pay Supplement		$	813,117		$	842,134		50326
GRF	055-415		County Prosecutors' Pay Supplement		$	896,404		$	923,888		50327
TOTAL GRF General Revenue Fund					$	55,773,354		$	56,497,151		50328

General Services Fund Group

50329

106	055-612		General Reimbursement		$	29,870,196		$	29,870,196		50330
195	055-660		Workers' Compensation Section		$	8,002,720		$	8,002,720		50331
4Y7	055-608		Title Defect Rescission		$	750,000		$	750,000		50332
4Z2	055-609		BCI Asset Forfeiture and Cost Reimbursement		$	1,000,000		$	1,000,000		50333
418	055-615		Charitable Foundations		$	6,919,850		$	7,064,978		50334
420	055-603		Attorney General Antitrust		$	1,500,000		$	1,500,000		50335
421	055-617		Police Officers' Training Academy Fee		$	2,000,000		$	2,000,000		50336
5A9	055-618		Telemarketing Fraud Enforcement		$	7,500		$	7,500		50337
590	055-633		Peace Officer Private Security Fund		$	98,370		$	98,370		50338
629	055-636		Corrupt Activity Investigation and Prosecution		$	15,000		$	15,000		50339
631	055-637		Consumer Protection Enforcement		$	2,500,000		$	2,500,000		50340
TOTAL GSF General Services Fund											50341
Group					$	52,663,636		$	52,808,764		50342

Federal Special Revenue Fund Group

50343

3E5	055-638		Attorney General Pass-Through Funds		$	2,850,000		$	3,030,000		50344
3R6	055-613		Attorney General Federal Funds		$	4,870,000		$	5,115,000		50345
306	055-620		Medicaid Fraud Control		$	3,139,500		$	3,296,500		50346
381	055-611		Civil Rights Legal Service		$	402,540		$	402,540		50347
383	055-634		Crime Victims Assistance		$	16,000,000		$	16,000,000		50348
TOTAL FED Federal Special Revenue											50349
Fund Group					$	27,262,040		$	27,844,040		50350

State Special Revenue Fund Group

50351

4L6	055-606		DARE		$	3,927,962		$	3,927,962		50352
402	055-616		Victims of Crime		$	34,000,000		$	34,000,000		50353
419	055-623		Claims Section		$	25,000,000		$	25,000,000		50354
659	055-641		Solid and Hazardous Waste Background Investigations		$	621,159		$	621,159		50355
TOTAL SSR State Special Revenue											50356
Fund Group					$	63,549,121		$	63,549,121		50357

Holding Account Redistribution Fund Group

50358

R04	055-631		General Holding Account		$	1,000,000		$	1,000,000		50359
R05	055-632		Antitrust Settlements		$	1,000		$	1,000		50360
R18	055-630		Consumer Frauds		$	750,000		$	750,000		50361
R42	055-601		Organized Crime Commission Distributions		$	25,025		$	25,025		50362
TOTAL 090 Holding Account											50363
Redistribution Fund Group					$	1,776,025		$	1,776,025		50364
TOTAL ALL BUDGET FUND GROUPS					$	201,024,176		$	202,475,101		50365

TOBACCO SETTLEMENT ENFORCEMENT

50366

The foregoing appropriation item 055-404, Tobacco Settlement	50367
Enforcement, shall be used by the Attorney General to pay costs	50368
incurred in the oversight, administration, and enforcement of the	50369
Tobacco Master Settlement Agreement.	50370

COUNTY SHERIFFS' PAY SUPPLEMENT

50371

The foregoing appropriation item 055-411, County Sheriffs'	50372
Pay Supplement, shall be used for the purpose of supplementing the	50373
annual compensation of county sheriffs as required by section	50374
325.06 of the Revised Code.	50375

At the request of the Attorney General, the Director of	50376
Budget and Management may transfer appropriation authority from	50377
appropriation item 055-321, Operating Expenses, to appropriation	50378
item 055-411, County Sheriffs' Pay Supplement. Any appropriation	50379
authority so transferred to appropriation item 055-411, County	50380
Sheriffs' Pay Supplement, shall be used to supplement the annual	50381
compensation of county sheriffs as required by section 325.06 of	50382
the Revised Code.	50383

COUNTY PROSECUTORS' PAY SUPPLEMENT

50384

The foregoing appropriation item 055-415, County Prosecutors'	50385
Pay Supplement, shall be used for the purpose of supplementing the	50386
annual compensation of certain county prosecutors as required by	50387
section 325.111 of the Revised Code.	50388

At the request of the Attorney General, the Director of	50389
Budget and Management may transfer appropriation authority from	50390
appropriation item 055-321, Operating Expenses, to appropriation	50391
item 055-415, County Prosecutors' Pay Supplement. Any	50392
appropriation authority so transferred to appropriation item	50393
055-415, County Prosecutors' Pay Supplement, shall be used to	50394
supplement the annual compensation of county prosecutors as	50395
required by section 325.111 of the Revised Code.	50396

WORKERS' COMPENSATION SECTION

50397

The Workers' Compensation Section Fund (Fund 195) is entitled	50398
to receive payments from the Bureau of Workers' Compensation and	50399
the Ohio Industrial Commission at the beginning of each quarter of	50400
each fiscal year to fund legal services to be provided to the	50401
Bureau of Workers' Compensation and the Ohio Industrial Commission	50402
during the ensuing quarter. The advance payment shall be subject	50403
to adjustment.	50404

In addition, the Bureau of Workers' Compensation shall	50405
transfer payments at the beginning of each quarter for the support	50406
of the Workers' Compensation Fraud Unit.	50407

All amounts shall be mutually agreed upon by the Attorney	50408
General, the Bureau of Workers' Compensation, and the Ohio	50409
Industrial Commission.	50410

CORRUPT ACTIVITY INVESTIGATION AND PROSECUTION

50411

The foregoing appropriation item 055-636, Corrupt Activity	50412
Investigation and Prosecution, shall be used as provided by	50413
division (D)(2) of section 2923.35 of the Revised Code to dispose	50414
of the proceeds, fines, and penalties credited to the Corrupt	50415
Activity Investigation and Prosecution Fund, which is created in	50416
division (D)(1)(b) of section 2923.35 of the Revised Code. If it	50417
is determined that additional amounts are necessary for this	50418
purpose, the amounts are hereby appropriated.	50419

GENERAL HOLDING ACCOUNT

50420

The foregoing appropriation item 055-631, General Holding	50421
Account, shall be used to distribute moneys under the terms of	50422
relevant court orders received from settlements in a variety of	50423
cases involving the Office of the Attorney General. If it is	50424
determined that additional amounts are necessary for this purpose,	50425
the amounts are hereby appropriated.	50426

ATTORNEY GENERAL PASS-THROUGH FUNDS

50427

The foregoing appropriation item 055-638, Attorney General	50428
Pass-Through Funds, shall be used to receive federal grant funds	50429
provided to the Attorney General by other state agencies,	50430
including, but not limited to, the Department of Youth Services	50431
and the Department of Public Safety.	50432

ANTITRUST SETTLEMENTS

50433

The foregoing appropriation item 055-632, Antitrust	50434
Settlements, shall be used to distribute court-ordered antitrust	50435
settlements in which the Office of Attorney General represents the	50436
state or a political subdivision under section 109.81 of the	50437
Revised Code. If it is determined that additional amounts are	50438
necessary for this purpose, the amounts are hereby appropriated.	50439

CONSUMER FRAUDS

50440

The foregoing appropriation item 055-630, Consumer Frauds,	50441
shall be used for distribution of moneys from court-ordered	50442
judgments against sellers in actions brought by the Office of	50443
Attorney General under sections 1334.08 and 4549.48 and division	50444
(B) of section 1345.07 of the Revised Code. These moneys shall be	50445
used to provide restitution to consumers victimized by the fraud	50446
that generated the court-ordered judgments. If it is determined	50447
that additional amounts are necessary for this purpose, the	50448
amounts are hereby appropriated.	50449

ORGANIZED CRIME COMMISSION DISTRIBUTIONS

50450

The foregoing appropriation item 055-601, Organized Crime	50451
Commission Distributions, shall be used by the Organized Crime	50452
Investigations Commission, as provided by section 177.011 of the	50453
Revised Code, to reimburse political subdivisions for the expenses	50454
the political subdivisions incur when their law enforcement	50455
officers participate in an organized crime task force. If it is	50456
determined that additional amounts are necessary for this purpose,	50457
the amounts are hereby appropriated.	50458

FUND ADJUSTMENTS

50459

On July 1, 2007, or as soon as practicable thereafter, the	50460
Director of Budget and Management shall transfer the cash balance	50461
in the Employment Services Fund (Fund 107) to the General	50462
Reimbursement Fund (Fund 106). The Director shall cancel any	50463
existing encumbrances against appropriation item 055-624,	50464
Employment Services, and re-establish them against appropriation	50465
item 055-612, General Reimbursement. The amounts of the	50466
re-established encumbrances are hereby appropriated. Upon	50467
completion of these transfers, the Employment Services Fund (Fund	50468
107) is hereby abolished.	50469

On July 1, 2007, or as soon as practicable thereafter, the	50470
Director of Budget and Management shall transfer the cash balance	50471
in the Crime Victims Compensation Fund (Fund 108) to the	50472
Reparations Fund (Fund 402). Upon completion of this transfer, the	50473
Crime Victims Compensation Fund (Fund 108) is hereby abolished.	50474

Section 229.10. AUD AUDITOR OF STATE

50475

General Revenue Fund

50476

GRF	070-321		Operating Expenses		$	31,469,552		$	32,771,482		50477
GRF	070-403		Fiscal Watch/Emergency Technical Assistance		$	600,000		$	600,000		50478
TOTAL GRF General Revenue Fund					$	32,069,552		$	33,371,482		50479

Auditor of State Fund Group

50480

109	070-601		Public Audit Expense - Intra-State		$	11,000,000		$	11,000,000		50481
422	070-601		Public Audit Expense - Local Government		$	33,000,000		$	34,000,000		50482
584	070-603		Training Program		$	181,250		$	181,250		50483
675	070-605		Uniform Accounting Network		$	3,317,336		$	3,317,336		50484
TOTAL AUD Auditor of State Fund											50485
Group					$	47,498,586		$	48,498,586		50486
TOTAL ALL BUDGET FUND GROUPS					$	79,568,138		$	81,870,068		50487

FISCAL WATCH/EMERGENCY TECHNICAL ASSISTANCE

50488

The foregoing appropriation item 070-403, Fiscal	50489
Watch/Emergency Technical Assistance, shall be used for expenses	50490
incurred by the Office of the Auditor of State in its role	50491
relating to fiscal watch or fiscal emergency activities under	50492
Chapters 118. and 3316. of the Revised Code. Expenses include, but	50493
are not limited to, the following: duties related to the	50494
determination or termination of fiscal watch or fiscal emergency	50495
of municipal corporations, counties, or townships as outlined in	50496
Chapter 118. of the Revised Code and of school districts as	50497
outlined in Chapter 3316. of the Revised Code; development of	50498
preliminary accounting reports; performance of annual forecasts;	50499
provision of performance audits; and supervisory, accounting, or	50500
auditing services for the mentioned public entities and school	50501
districts. The unencumbered balance of appropriation item 070-403,	50502
Fiscal Watch/Emergency Technical Assistance, at the end of fiscal	50503
year 2008 is transferred to fiscal year 2009 for use under the	50504
same appropriation item.	50505

ELECTRONIC DATA PROCESSING

50506

The unencumbered balance of appropriation item 070-405,	50507
Electronic Data Processing - Auditing and Administration, at the	50508
end of fiscal year 2008 is transferred to fiscal year 2009 for use	50509
under the same appropriation item.	50510

UNIFORM ACCOUNTING NETWORK/TECHNOLOGY IMPROVEMENTS FUND	50511
TRANSFER	50512

Upon the request of the Auditor of State, effective July 1,	50513
2007, or as soon thereafter as possible, the Director of Budget	50514
and Management shall transfer the appropriation balance in GRF	50515
appropriation item 070-406, Uniform Accounting Network/Technology	50516
Improvements Fund, to GRF appropriation item 070-321, Operating	50517
Expenses. The Director shall cancel any existing encumbrances	50518
against GRF appropriation item 070-406, Uniform Accounting	50519
Network/Technology Improvement Fund, and re-establish them against	50520
GRF appropriation item 070-321, Operating Expenses. The amounts of	50521
the re-established encumbrances are hereby appropriated.	50522

Section 231.10. BRB BOARD OF BARBER EXAMINERS

50523

General Services Fund Group

50524

4K9	877-609		Operating Expenses		$	608,045		$	628,264		50525
TOTAL GSF General Services Fund											50526
Group					$	608,045		$	628,264		50527
TOTAL ALL BUDGET FUND GROUPS					$	608,045		$	628,264		50528

Section 233.10. OBM OFFICE OF BUDGET AND MANAGEMENT

50530

General Revenue Fund

50531

GRF	042-321		Budget Development and Implementation		$	2,026,011		$	2,128,284		50532
GRF	042-410		National Association Dues		$	28,700		$	29,561		50533
GRF	042-412		Audit of Auditor of State		$	60,460		$	60,460		50534
GRF	042-413		Payment Issuance		$	1,191,802		$	1,150,192		50535
GRF	042-416		Medicaid Agency Transition		$	0		$	1,500,000		50536
TOTAL GRF General Revenue Fund					$	3,306,973		$	4,868,497		50537

General Services Fund Group

50538

105	042-603		State Accounting and Budgeting		$	12,115,134		$	12,742,551		50539
TOTAL GSF General Services Fund Group					$	12,115,134		$	12,742,551		50540

Federal Special Revenue Fund Group

50541

3CM	042-606		Medicaid Agency Transition		$	0		$	1,500,000		50542
TOTAL FED Federal Special Revenue Fund Group					$	0		$	1,500,000		50543

State Special Revenue Fund Group

50544

5N4	042-602		OAKS Project Implementation		$	2,200,725		$	2,132,168		50545
TOTAL SSR State Special Revenue Fund Group					$	2,200,725		$	2,132,168		50546

Agency Fund Group

50547

5EH	042-604		Forgery Recovery		$	35,000		$	35,000		50548
TOTAL AGY Agency Fund Group					$	35,000		$	35,000		50549
TOTAL ALL BUDGET FUND GROUPS					$	17,657,832		$	21,278,216		50550

AUDIT COSTS

50551

Of the foregoing appropriation item 042-603, State Accounting	50552
and Budgeting, not more than $435,000 in fiscal year 2008 and	50553
$445,000 in fiscal year 2009 shall be used to pay for centralized	50554
audit costs associated with either Single Audit Schedules or	50555
financial statements prepared in conformance with generally	50556
accepted accounting principles for the state.	50557

Section 233.20. OAKS SUPPORT ORGANIZATION

50558

The OAKS Support Organization shall operate and maintain the	50559
financial management module of the state's enterprise resource	50560
planning system to support the activities of the Office of Budget	50561
and Management. The OAKS Support Organization shall recover the	50562
costs to establish and maintain the enterprise resource planning	50563
system through billings to the Office of Budget and Management.	50564

Effective July 1, 2007, the Office of Budget Management shall	50565
include the recovery of costs to administer the financial module	50566
of the OAKS System in the accounting and budgeting services	50567
payroll rate. These revenues shall be deposited to the credit of	50568
the Accounting and Budgeting Services Fund (Fund 105). Amounts	50569
deposited under this section are hereby appropriated to	50570
appropriation item 042-603, State Accounting and Budgeting. Not	50571
less than quarterly, the Office of Budget and Management shall	50572
process the intrastate transfer voucher billings to transfer the	50573
Accounting and Budgeting Services Fund (Fund 105) to the OAKS	50574
Support Organization Fund (Fund 5EB), to pay for the OAKS Support	50575
Organization Costs.	50576

TRANSFER BALANCE OF CONTINUOUS RECEIPTS FUND

50577

On or before July 31, 2007, the unencumbered cash balance in	50578
the Continuous Receipts Fund (Fund R06) shall be transferred to	50579
the Forgery Recovery Fund (Fund 5EH).	50580

Section 235.10. CSR CAPITOL SQUARE REVIEW AND ADVISORY BOARD

50581

General Revenue Fund

50582

GRF	874-100		Personal Services		$	1,957,000		$	1,957,000		50583
GRF	874-320		Maintenance and Equipment		$	985,837		$	980,837		50584
TOTAL GRF General Revenue Fund					$	2,942,837		$	2,937,837		50585

General Services Fund Group

50586

4G5	874-603		Capitol Square Education Center and Arts		$	15,000		$	15,000		50587
4S7	874-602		Statehouse Gift Shop/Events		$	650,484		$	650,484		50588
TOTAL GSF General Services											50589
Fund Group					$	665,484		$	665,484		50590

Underground Parking Garage

50591

208	874-601		Underground Parking Garage Operations		$	2,706,993		$	2,706,993		50592
TOTAL UPG Underground Parking											50593
Garage					$	2,706,993		$	2,706,993		50594
TOTAL ALL BUDGET FUND GROUPS					$	6,315,314		$	6,310,314		50595

Section 237.10. SCR STATE BOARD OF CAREER COLLEGES AND	50597
SCHOOLS	50598

General Services Fund Group

50599

4K9	233-601		Operating Expenses		$	552,300		$	572,700		50600
TOTAL GSF General Services Fund Group					$	552,300		$	572,700		50601
TOTAL ALL BUDGET FUND GROUPS					$	552,300		$	572,700		50602

Section 239.10. CDP CHEMICAL DEPENDENCY PROFESSIONALS BOARD

50604

General Services Fund Group

50605

4K9	930-609		Operating Expenses		$	530,864		$	551,146		50606
TOTAL GSF General Services Fund Group					$	530,864		$	551,146		50607
TOTAL ALL BUDGET FUND GROUPS					$	530,864		$	551,146		50608

Section 241.10. CHR STATE CHIROPRACTIC BOARD

50610

General Services Fund Group

50611

4K9	878-609		Operating Expenses		$	607,445		$	621,621		50612
TOTAL GSF General Services Fund Group					$	607,445		$	621,621		50613
TOTAL ALL BUDGET FUND GROUPS					$	607,445		$	621,621		50614

Section 243.10. CIV OHIO CIVIL RIGHTS COMMISSION

50616

General Revenue Fund

50617

GRF	876-321		Operating Expenses		$	7,097,134		$	7,097,134		50618
TOTAL GRF General Revenue Fund					$	7,097,134		$	7,097,134		50619

Federal Special Revenue Fund Group

50620

334	876-601		Investigations		$	3,965,507		$	4,602,185		50621
TOTAL FED Federal Special Revenue											50622
Fund Group					$	3,965,507		$	4,602,185		50623

State Special Revenue Fund Group

50624

217	876-604		Operations Support		$	60,000		$	60,000		50625
TOTAL SSR State Special											50626
Revenue Fund Group					$	60,000		$	60,000		50627
TOTAL ALL BUDGET FUND GROUPS					$	11,122,641		$	11,759,319		50628

Section 245.10. COM DEPARTMENT OF COMMERCE

50630

General Revenue Fund

50631

GRF	800-410		Labor and Worker Safety		$	2,132,397		$	2,132,397		50632
Total GRF General Revenue Fund					$	2,132,397		$	2,132,397		50633

General Services Fund Group

50634

163	800-620		Division of Administration		$	4,323,037		$	4,413,037		50635
163	800-637		Information Technology		$	6,650,150		$	6,780,963		50636
5F1	800-635		Small Government Fire Departments		$	300,000		$	300,000		50637
543	800-602		Unclaimed Funds-Operating		$	7,880,468		$	8,049,937		50638
543	800-625		Unclaimed Funds-Claims		$	70,000,000		$	75,000,000		50639
TOTAL GSF General Services Fund											50640
Group					$	89,153,655		$	94,543,937		50641

Federal Special Revenue Fund Group

50642

348	800-622		Underground Storage Tanks		$	195,008		$	195,008		50643
348	800-624		Leaking Underground Storage Tanks		$	1,850,000		$	1,850,000		50644
TOTAL FED Federal Special Revenue											50645
Fund Group					$	2,045,008		$	2,045,008		50646

State Special Revenue Fund Group

50647

4B2	800-631		Real Estate Appraisal Recovery		$	35,000		$	35,000		50648
4H9	800-608		Cemeteries		$	273,465		$	273,465		50649
4X2	800-619		Financial Institutions		$	2,474,414		$	2,523,918		50650
5K7	800-621		Penalty Enforcement		$	100,000		$	100,000		50651
544	800-612		Banks		$	6,516,507		$	6,703,253		50652
545	800-613		Savings Institutions		$	2,244,370		$	2,286,616		50653
546	800-610		Fire Marshal		$	13,104,393		$	13,579,150		50654
546	800-639		Fire Department Grants		$	1,647,140		$	1,647,140		50655
546	800-640		Homeland Security Grants		$	10,000		$	10,000		50656
547	800-603		Real Estate Education/Research		$	250,000		$	250,000		50657
548	800-611		Real Estate Recovery		$	50,000		$	50,000		50658
549	800-614		Real Estate		$	3,480,038		$	3,574,171		50659
550	800-617		Securities		$	4,312,453		$	4,473,094		50660
552	800-604		Credit Union		$	3,521,037		$	3,627,390		50661
553	800-607		Consumer Finance		$	5,800,445		$	5,800,445		50662
556	800-615		Industrial Compliance		$	25,033,908		$	25,570,011		50663
6A4	800-630		Real Estate Appraiser-Operating		$	664,006		$	664,006		50664
653	800-629		UST Registration/Permit Fee		$	1,512,512		$	1,467,160		50665
TOTAL SSR State Special Revenue											50666
Fund Group					$	71,029,688		$	72,634,819		50667

Liquor Control Fund Group

50668

043	800-601		Merchandising		$	440,499,979		$	464,027,015		50669
043	800-627		Liquor Control Operating		$	15,980,724		$	16,334,583		50670
043	800-633		Development Assistance Debt Service		$	33,678,800		$	38,616,800		50671
043	800-636		Revitalization Debt Service		$	12,620,900		$	15,683,300		50672
TOTAL LCF Liquor Control											50673
Fund Group					$	502,780,403		$	534,661,698		50674
TOTAL ALL BUDGET FUND GROUPS					$	667,141,151		$	706,017,859		50675

SMALL GOVERNMENT FIRE DEPARTMENTS

50676

Notwithstanding section 3737.17 of the Revised Code, the	50677
foregoing appropriation item 800-635, Small Government Fire	50678
Departments, may be used to provide loans to private fire	50679
departments.	50680

PENALTY ENFORCEMENT

50681

The foregoing appropriation item 800-621, Penalty	50682
Enforcement, shall be used to enforce sections 4115.03 to 4115.16	50683
of the Revised Code.	50684

UNCLAIMED FUNDS PAYMENTS

50685

The foregoing appropriation item 800-625, Unclaimed	50686
Funds-Claims, shall be used to pay claims under section 169.08 of	50687
the Revised Code. If it is determined that additional amounts are	50688
necessary, the amounts are hereby appropriated.	50689

UNCLAIMED FUNDS TRANSFERS

50690

Notwithstanding division (A) of section 169.05 of the Revised	50691
Code, prior to June 30, 2008, and upon the request of the Director	50692
of Budget and Management, the Director of Commerce shall transfer	50693
to the General Revenue Fund up to $25,000,000 of unclaimed funds	50694
that have been reported by holders of unclaimed funds under	50695
section 169.05 of the Revised Code, irrespective of the allocation	50696
of the unclaimed funds under that section.	50697

Notwithstanding division (A) of section 169.05 of the Revised	50698
Code, prior to June 30, 2009, and upon the request of the Director	50699
of Budget and Management, the Director of Commerce shall transfer	50700
to the General Revenue Fund up to $25,000,000 of unclaimed funds	50701
that have been reported by holders of unclaimed funds under	50702
section 169.05 of the Revised Code, irrespective of the allocation	50703
of the unclaimed funds under that section.	50704

FIRE DEPARTMENT GRANTS

50705

Of the foregoing appropriation item 800-639, Fire Department	50706
Grants, up to $760,000 in each fiscal year shall be used to make	50707
annual grants to volunteer fire departments of up to $10,000, or	50708
up to $25,000 if the volunteer fire department provides service	50709
for an area affected by a natural disaster. The grant program	50710
shall be administered by the Fire Marshal under the Department of	50711
Commerce. The Fire Marshal shall adopt rules as are necessary for	50712
the administration and operation of the grant program.	50713

Of the foregoing appropriation item 800-639, Fire Department	50714
Grants, up to $687,140 in each fiscal year shall be used as full	50715
or partial reimbursement to local units of government and fire	50716
departments for the cost of firefighter training and equipment or	50717
gear. Under rules that the department shall adopt, a local unit of	50718
government or fire department may apply to the department for a	50719
grant to cover all documented costs that are incurred to provide	50720
firefighter training and equipment or gear. The department shall	50721
make grants within the limits of the funding provided, with	50722
priority given to fire departments that serve small villages and	50723
townships.	50724

Of the foregoing appropriation item 800-639, Fire Department	50725
Grants, up to $200,000 in each fiscal year shall be used to make	50726
grants to fire departments to assist in the conversion of existing	50727
data systems to the NFIRS 5 electronic fire reporting system.	50728
Under rules that the department shall adopt, awards shall have a	50729
maximum of $50,000 per fire department and shall be based on a	50730
point system that includes factors such as consideration of the	50731
fire department's information technology and operating budgets,	50732
population and area served, number of incidents, data conversion	50733
and implementation methods, and readiness.	50734

CASH TRANSFER TO REAL ESTATE OPERATING FUND

50735

At the request of the Director of Commerce, the Director of	50736
Budget and Management may transfer up to $100,000 in cash from the	50737
Real Estate Recovery Fund (Fund 548) and up to $350,000 in cash	50738
from the Real Estate Appraiser Recovery Fund (Fund 4B2) to the	50739
Real Estate Operating Fund (Fund 549) during fiscal years	50740
2008-2009.	50741

INCREASED APPROPRIATION AUTHORITY - MERCHANDISING

50742

The foregoing appropriation item 800-601, Merchandising,	50743
shall be used under section 4301.12 of the Revised Code. If it is	50744
determined that additional amounts are necessary, the amounts are	50745
hereby appropriated.	50746

DEVELOPMENT ASSISTANCE DEBT SERVICE

50747

The foregoing appropriation item 800-633, Development	50748
Assistance Debt Service, shall be used to pay debt service and	50749
related financing costs at the times they are required to be made	50750
during the period from July 1, 2007, to June 30, 2009, for bond	50751
service charges on obligations issued under Chapter 166. of the	50752
Revised Code. If it is determined that additional appropriations	50753
are necessary for this purpose, such amounts are hereby	50754
appropriated, subject to the limitations set forth in section	50755
166.11 of the Revised Code. An appropriation for this purpose is	50756
not required, but is made in this form and in this act for record	50757
purposes only.	50758

REVITALIZATION DEBT SERVICE

50759

The foregoing appropriation item 800-636, Revitalization Debt	50760
Service, shall be used to pay debt service and related financing	50761
costs under sections 151.01 and 151.40 of the Revised Code during	50762
the period from July 1, 2007, to June 30, 2009. If it is	50763
determined that additional appropriations are necessary for this	50764
purpose, such amounts are hereby appropriated. The General	50765
Assembly acknowledges the priority of the pledge of a portion of	50766
receipts from that source to obligations issued and to be issued	50767
under Chapter 166. of the Revised Code.	50768

ADMINISTRATIVE ASSESSMENTS

50769

Notwithstanding any other provision of law to the contrary,	50770
Fund 163, Division of Administration, is entitled to receive	50771
assessments from all operating funds of the department in	50772
accordance with procedures prescribed by the Director of Commerce	50773
and approved by the Director of Budget and Management.	50774

Section 247.10. OCC OFFICE OF CONSUMERS' COUNSEL

50775

General Services Fund Group

50776

5F5	053-601		Operating Expenses		$	8,498,070		$	8,498,070		50777
TOTAL GSF General Services Fund Group					$	8,498,070		$	8,498,070		50778
TOTAL ALL BUDGET FUND GROUPS					$	8,498,070		$	8,498,070		50779

Section 249.10. CEB CONTROLLING BOARD

50781

General Revenue Fund

50782

GRF	911-401		Emergency Purposes/Contingencies		$	4,000,000		$	4,000,000		50783
GRF	911-404		Mandate Assistance		$	650,000		$	650,000		50784
GRF	911-441		Ballot Advertising Costs		$	300,000		$	300,000		50785
TOTAL GRF General Revenue Fund					$	4,950 000		$	4,950,000		50786
TOTAL ALL BUDGET FUND GROUPS					$	4,950,000		$	4,950,000		50787

FEDERAL SHARE

50788

In transferring appropriations to or from appropriation items	50789
that have federal shares identified in this act, the Controlling	50790
Board shall add or subtract corresponding amounts of federal	50791
matching funds at the percentages indicated by the state and	50792
federal division of the appropriations in this act. Such changes	50793
are hereby appropriated.	50794

DISASTER ASSISTANCE

50795

Pursuant to requests submitted by the Department of Public	50796
Safety, the Controlling Board may approve transfers from	50797
appropriation item 911-401, Emergency Purposes/Contingencies, to	50798
Department of Public Safety appropriation items to provide funding	50799
for assistance to political subdivisions and individuals made	50800
necessary by natural disasters or emergencies. Such transfers may	50801
be requested and approved prior to or following the occurrence of	50802
any specific natural disasters or emergencies in order to	50803
facilitate the provision of timely assistance.	50804

DISASTER SERVICES

50805

Pursuant to requests submitted by the Department of Public	50806
Safety, the Controlling Board may approve transfers from the	50807
Disaster Services Fund (5E2) to a Department of Public Safety fund	50808
and appropriation item to provide for assistance to political	50809
subdivisions made necessary by natural disasters or emergencies.	50810
These transfers may be requested and approved prior to the	50811
occurrence of any specific natural disasters or emergencies in	50812
order to facilitate the provision of timely assistance. The	50813
Emergency Management Agency of the Department of Public Safety	50814
shall use the funding to fund the State Disaster Relief Program	50815
for disasters that have been declared by the Governor, and the	50816
State Individual Assistance Program for disasters that have been	50817
declared by the Governor and the federal Small Business	50818
Administration. The Ohio Emergency Management Agency shall publish	50819
and make available application packets outlining procedures for	50820
the State Disaster Relief Program and the State Individual	50821
Assistance Program.	50822

The Disaster Services Fund (5E2) shall be used by the	50823
Controlling Board, pursuant to requests submitted by state	50824
agencies, to transfer cash and appropriation authority to any fund	50825
and appropriation item for the payment of state agency disaster	50826
relief program expenses for disasters declared by the Governor,	50827
if the Director of Budget and Management determines that	50828
sufficient funds exist.	50829

The unencumbered balance of the Disaster Services Fund (5E2)	50830
at the end of fiscal year 2008 is transferred to fiscal year 2009	50831
for use for the same purposes as in fiscal year 2009.	50832

SOUTHERN OHIO CORRECTIONAL FACILITY COST

50833

The Division of Criminal Justice Services in the Department	50834
of Public Safety and the Public Defender Commission may each	50835
request, upon approval of the Director of Budget and Management,	50836
additional funds from appropriation item 911-401, Emergency	50837
Purposes/Contingencies, for costs related to the disturbance that	50838
occurred on April 11, 1993, at the Southern Ohio Correctional	50839
Facility in Lucasville, Ohio.	50840

MANDATE ASSISTANCE

50841

(A) The foregoing appropriation item 911-404, Mandate	50842
Assistance, shall be used to provide financial assistance to local	50843
units of government and school districts for the cost of the	50844
following two unfunded state mandates:	50845

(1) The cost to county prosecutors for prosecuting certain	50846
felonies that occur on the grounds of state institutions operated	50847
by the Department of Rehabilitation and Correction and the	50848
Department of Youth Services;	50849

(2) The cost to school districts of in-service training for	50850
child abuse detection.	50851

(B) The Division of Criminal Justice Services in the	50852
Department of Public Safety and the Department of Education may	50853
prepare and submit to the Controlling Board one or more requests	50854
to transfer appropriations from appropriation item 911-404,	50855
Mandate Assistance. The state agencies charged with this	50856
administrative responsibility are listed below, as well as the	50857
estimated annual amounts that may be used for each program of	50858
state financial assistance.	50859

		ADMINISTERING		ESTIMATED ANNUAL		50860
PROGRAM		AGENCY		AMOUNT		50861

Prosecution Costs		Division of Criminal		$150,000		50862
		Justice Services				50863
Child Abuse Detection Training Costs		Department of Education		$500,000		50864

(C) Subject to the total amount appropriated in each fiscal	50865
year for appropriation item 911-404, Mandate Assistance, the	50866
Division of Criminal Justice Services in the Department of Public	50867
Safety and the Department of Education may request from the	50868
Controlling Board that amounts smaller or larger than these	50869
estimated annual amounts be transferred to each program.	50870

(D) In addition to making the initial transfers requested by	50871
the Division of Criminal Justice Services in the Department of	50872
Public Safety and the Department of Education, the Controlling	50873
Board may transfer appropriations received by a state agency under	50874
this section back to appropriation item 911-404, Mandate	50875
Assistance, or to the other program of state financial assistance	50876
identified under this section.	50877

(E) It is expected that not all costs incurred by local units	50878
of government and school districts under each of the two programs	50879
of state financial assistance identified in this section will be	50880
fully reimbursed by the state. Reimbursement levels may vary by	50881
program and shall be based on: the relationship between the	50882
appropriation transfers requested by the Division of Criminal	50883
Justice Services in the Department of Public Safety and the	50884
Department of Education and provided by the Controlling Board for	50885
each of the programs; the rules and procedures established for	50886
each program by the administering state agency; and the actual	50887
costs incurred by local units of government and school districts.	50888

(F) Each of these programs of state financial assistance	50889
shall be carried out as follows:	50890

(1) PROSECUTION COSTS

50891

(a) Appropriations may be transferred to the Division of	50892
Criminal Justice Services in the Department of Public Safety to	50893
cover local prosecution costs for aggravated murder, murder,	50894
felonies of the first degree, and felonies of the second degree	50895
that occur on the grounds of institutions operated by the	50896
Department of Rehabilitation and Correction and the Department of	50897
Youth Services.	50898

(b) Upon a delinquency filing in juvenile court or the return	50899
of an indictment for aggravated murder, murder, or any felony of	50900
the first or second degree that was committed at a Department of	50901
Youth Services or a Department of Rehabilitation and Correction	50902
institution, the affected county may, in accordance with rules	50903
that the Division of Criminal Justice Services in the Department	50904
of Public Safety shall adopt, apply to the Division of Criminal	50905
Justice Services for a grant to cover all documented costs that	50906
are incurred by the county prosecutor's office.	50907

(c) Twice each year, the Division of Criminal Justice	50908
Services in the Department of Public Safety shall designate	50909
counties to receive grants from those counties that have submitted	50910
one or more applications in compliance with the rules that have	50911
been adopted by the Division of Criminal Justice Services for the	50912
receipt of such grants. In each year's first round of grant	50913
awards, if sufficient appropriations have been made, up to a total	50914
of $100,000 may be awarded. In each year's second round of grant	50915
awards, the remaining appropriations available for this purpose	50916
may be awarded.	50917

(d) If for a given round of grants there are insufficient	50918
appropriations to make grant awards to all the eligible counties,	50919
the first priority shall be given to counties with cases involving	50920
aggravated murder and murder; second priority shall be given to	50921
counties with cases involving a felony of the first degree; and	50922
third priority shall be given to counties with cases involving a	50923
felony of the second degree. Within these priorities, the grant	50924
awards shall be based on the order in which the applications were	50925
received, except that applications for cases involving a felony of	50926
the first or second degree shall not be considered in more than	50927
two consecutive rounds of grant awards.	50928

(2) CHILD ABUSE DETECTION TRAINING COSTS

50929

Appropriations may be transferred to the Department of	50930
Education for disbursement to local school districts as full or	50931
partial reimbursement for the cost of providing in-service	50932
training for child abuse detection. In accordance with rules that	50933
the department shall adopt, a local school district may apply to	50934
the department for a grant to cover all documented costs that are	50935
incurred to provide in-service training for child abuse detection.	50936
The department shall make grants within the limits of the funding	50937
provided.	50938

(G) Any moneys allocated within appropriation item 911-404,	50939
Mandate Assistance, not fully utilized may, upon application of	50940
the Ohio Public Defender Commission, and with the approval of the	50941
Controlling Board, be disbursed to boards of county commissioners	50942
to provide additional reimbursement for the costs incurred by	50943
counties in providing defense to indigent defendants pursuant to	50944
Chapter 120. of the Revised Code. Application for the unutilized	50945
funds shall be made by the Ohio Public Defender Commission at the	50946
first June meeting of the Controlling Board.	50947

The amount to be disbursed to each county shall be allocated	50948
proportionately on the basis of the total amount of reimbursement	50949
paid to each county as a percentage of the amount of reimbursement	50950
paid to all of the counties during the most recent state fiscal	50951
year for which data is available and as calculated by the Ohio	50952
Public Defender Commission.	50953

BALLOT ADVERTISING COSTS

50954

Pursuant to requests submitted by the Ohio Ballot Board, the	50955
Controlling Board shall approve transfers from the foregoing	50956
appropriation item 911-441, Ballot Advertising Costs, to an Ohio	50957
Ballot Board appropriation item in order to reimburse county	50958
boards of elections for the cost of public notices associated with	50959
statewide ballot initiatives.	50960

Section 251.10. COS STATE BOARD OF COSMETOLOGY

50961

General Services Fund Group

50962

4K9	879-609		Operating Expenses		$	3,533,679		$	3,533,679		50963
TOTAL GSF General Services Fund											50964
Group					$	3,533,679		$	3,533,679		50965
TOTAL ALL BUDGET FUND GROUPS					$	3,533,679		$	3,533,679		50966

Section 253.10. CSW COUNSELOR, SOCIAL WORKER, AND MARRIAGE	50968
AND FAMILY THERAPIST BOARD	50969

General Services Fund Group

50970

4K9	899-609		Operating Expenses		$	1,124,267		$	1,179,774		50971
TOTAL GSF General Services Fund											50972
Group					$	1,124,267		$	1,179,774		50973
TOTAL ALL BUDGET FUND GROUPS					$	1,124,267		$	1,179,774		50974

Section 255.10. CLA COURT OF CLAIMS

50976

General Revenue Fund

50977

GRF	015-321		Operating Expenses		$	2,830,489		$	2,912,000		50978
TOTAL GRF General Revenue Fund					$	2,830,489		$	2,912,000		50979

State Special Revenue Fund Group

50980

5K2	015-603		CLA Victims of Crime		$	1,582,684		$	1,582,684		50981
TOTAL SSR State Special Revenue											50982
Fund Group					$	1,582,684		$	1,582,684		50983
TOTAL ALL BUDGET FUND GROUPS					$	4,413,173		$	4,494,684		50984

Section 257.10.  AFC OHIO CULTURAL FACILITIES COMMISSION

50986

General Revenue Fund

50987

GRF	371-321		Operating Expenses		$	176,136		$	176,136		50988
GRF	371-401		Lease Rental Payments		$	36,604,600		$	37,455,500		50989
TOTAL GRF General Revenue Fund					$	36,780,736		$	37,631,636		50990

State Special Revenue Fund Group

50991

4T8	371-601		Riffe Theatre Equipment Maintenance		$	81,000		$	81,000		50992
4T8	371-603		Project Administration Services		$	983,295		$	983,295		50993
TOTAL SSR State Special Revenue Group					$	1,064,295		$	1,064,295		50994
TOTAL ALL BUDGET FUND GROUPS					$	37,845,031		$	38,695,931		50995

LEASE RENTAL PAYMENTS

50996

The foregoing appropriation item 371-401, Lease Rental	50997
Payments, shall be used to meet all payments from the Ohio	50998
Cultural Facilities Commissions to the Treasurer of State during	50999
the period from July 1, 2007, to June 30, 2009, under the primary	51000
leases and agreements for those arts and sports facilities made	51001
under Chapters 152. and 154. of the Revised Code. This	51002
appropriation is the source of funds pledged for bond service	51003
charges on related obligations issued pursuant to Chapters 152.	51004
and 154. of the Revised Code.	51005

OPERATING EXPENSES

51006

The foregoing appropriation item 371-321, Operating Expenses,	51007
shall be used by the Ohio Cultural Facilities Commission to carry	51008
out its responsibilities under this section and Chapter 3383. of	51009
the Revised Code.	51010

By July 10, 2007, or as soon as possible thereafter, the	51011
Director of Budget and Management shall determine the amount of	51012
cash from interest earnings to be transferred from the Cultural	51013
and Sports Facilities Building Fund (Fund 030) to the Cultural	51014
Facilities Commission Administration Fund (Fund 4T8).	51015

By July 10, 2008, or as soon as possible thereafter, the	51016
Director of Budget and Management shall determine the amount of	51017
cash from interest earnings to be transferred from the Cultural	51018
and Sports Facilities Building Fund (Fund 030) to the Cultural	51019
Facilities Commission Administration Fund (Fund 4T8).	51020

As soon as possible after each bond issuance made on behalf	51021
of the Cultural Facilities Commission, the Director of Budget and	51022
Management shall determine the amount of cash from any premium	51023
paid on each issuance that is available to be transferred after	51024
all issuance costs have been paid from the Cultural and Sports	51025
Facilities Building Fund (Fund 030) to the Cultural Facilities	51026
Commission Administration Fund (Fund 4T8).	51027

Section 259.10.  DEN STATE DENTAL BOARD

51028

General Services Fund Group

51029

4K9	880-609		Operating Expenses		$	1,437,392		$	1,528,749		51030
TOTAL GSF General Services Fund											51031
Group					$	1,437,392		$	1,528,749		51032
TOTAL ALL BUDGET FUND GROUPS					$	1,437,392		$	1,528,749		51033

Section 261.10.  BDP BOARD OF DEPOSIT

51035

General Services Fund Group

51036

4M2	974-601		Board of Deposit		$	1,676,000		$	1,676,000		51037
TOTAL GSF General Services Fund											51038
Group					$	1,676,000		$	1,676,000		51039
TOTAL ALL BUDGET FUND GROUPS					$	1,676,000		$	1,676,000		51040

BOARD OF DEPOSIT EXPENSE FUND

51041

Upon receiving certification of expenses from the Treasurer	51042
of State, the Director of Budget and Management shall transfer	51043
cash from the Investment Earnings Redistribution Fund (Fund 608)	51044
to the Board of Deposit Expense Fund (Fund 4M2). The latter fund	51045
shall be used to pay for banking charges and fees required for the	51046
operation of the State of Ohio Regular Account.	51047

Section 263.10. DEV DEPARTMENT OF DEVELOPMENT

51048

General Revenue Fund

51049

GRF	195-401		Thomas Edison Program		$	18,578,483		$	18,578,483		51050
GRF	195-404		Small Business Development		$	1,792,944		$	1,792,944		51051
GRF	195-405		Minority Business Development Division		$	1,780,000		$	1,780,000		51052
GRF	195-407		Travel and Tourism		$	7,612,845		$	7,612,845		51053
GRF	195-412		Rapid Outreach Grants		$	16,102,500		$	16,102,500		51054
GRF	195-415		Economic Development Division and Regional Offices		$	7,306,824		$	7,286,824		51055
GRF	195-416		Governor's Office of Appalachia		$	4,746,043		$	4,746,043		51056
GRF	195-422		Third Frontier Action Fund		$	16,790,000		$	16,790,000		51057
GRF	195-426		Clean Ohio Implementation		$	309,000		$	309,000		51058
GRF	195-432		International Trade		$	4,650,501		$	4,650,501		51059
GRF	195-434		Investment in Training Grants		$	12,594,325		$	12,594,325		51060
GRF	195-436		Labor/Management Cooperation		$	836,225		$	836,225		51061
GRF	195-497		CDBG Operating Match		$	1,072,184		$	1,072,184		51062
GRF	195-498		State Match Energy		$	96,820		$	96,820		51063
GRF	195-501		Appalachian Local Development Districts		$	391,482		$	391,482		51064
GRF	195-502		Appalachian Regional Commission Dues		$	254,208		$	254,208		51065
GRF	195-507		Travel and Tourism Grants		$	850,000		$	850,000		51066
GRF	195-520		Ohio Main Street Program		$	250,000		$	250,000		51067
GRF	195-905		Third Frontier Research & Development General Obligation Debt Service		$	14,349,500		$	24,523,400		51068
GRF	195-912		Job Ready Site Development General Obligation Debt Service		$	4,359,400		$	8,232,500		51069
TOTAL GRF General Revenue Fund					$	114,723,284		$	128,750,284		51070

General Services Fund Group

51071

135	195-684		Supportive Services		$	11,699,404		$	11,321,444		51072
5AD	195-667		Investment in Training Expansion		$	2,000,000		$	0		51073
5AD	195-668		Workforce Guarantee Program		$	1,000,000		$	0		51074
5AD	195-677		Economic Development Contingency		$	9,275,000		$	28,675,000		51075
5W5	195-690		Travel and Tourism Cooperative Projects		$	350,000		$	350,000		51076
5W6	195-691		International Trade Cooperative Projects		$	300,000		$	300,000		51077
685	195-636		Direct Cost Recovery Expenditures		$	800,000		$	800,000		51078
TOTAL GSF General Services Fund											51079
Group					$	25,424,404		$	41,446,444		51080

Federal Special Revenue Fund Group

51081

3AE	195-643		Workforce Development Initiatives		$	5,839,900		$	5,860,000		51082
3BJ	195-685		TANF Heating Assistance		$	45,000,000		$	15,000,000		51083
3K8	195-613		Community Development Block Grant		$	65,000,000		$	65,000,000		51084
3K9	195-611		Home Energy Assistance Block Grant		$	110,000,000		$	110,000,000		51085
3K9	195-614		HEAP Weatherization		$	22,000,000		$	22,000,000		51086
3L0	195-612		Community Services Block Grant		$	25,235,000		$	25,235,000		51087
3V1	195-601		HOME Program		$	40,000,000		$	40,000,000		51088
308	195-602		Appalachian Regional Commission		$	475,000		$	475,000		51089
308	195-603		Housing and Urban Development		$	6,000,000		$	6,000,000		51090
308	195-605		Federal Projects		$	27,000,000		$	27,000,000		51091
308	195-609		Small Business Administration		$	4,296,381		$	4,396,381		51092
308	195-618		Energy Federal Grants		$	3,400,000		$	3,400,000		51093
335	195-610		Energy Conservation and Emerging Technology		$	2,200,000		$	2,200,000		51094
TOTAL FED Federal Special Revenue											51095
Fund Group					$	356,446,281		$	326,566,381		51096

State Special Revenue Fund Group

51097

4F2	195-639		State Special Projects		$	518,393		$	518,393		51098
4F2	195-676		Marketing Initiatives		$	5,000,000		$	1,000,000		51099
4S0	195-630		Tax Incentive Programs		$	650,800		$	650,800		51100
4W1	195-646		Minority Business Enterprise Loan		$	2,580,597		$	2,580,597		51101
444	195-607		Water and Sewer Commission Loans		$	523,775		$	523,775		51102
450	195-624		Minority Business Bonding Program Administration		$	53,967		$	53,967		51103
451	195-625		Economic Development Financing Operating		$	2,483,311		$	2,483,311		51104
5AR	195-674		Industrial Site Improvements		$	4,500,000		$	4,500,000		51105
5CG	195-679		Alternative Fuel Transportation		$	1,500,000		$	1,000,000		51106
5DU	195-689		Energy Projects		$	840,000		$	840,000		51107
5M4	195-659		Low Income Energy Assistance		$	245,000,000		$	245,000,000		51108
5M5	195-660		Advanced Energy Programs		$	17,000,000		$	17,000,000		51109
5X1	195-651		Exempt Facility Inspection		$	25,000		$	25,000		51110
611	195-631		Water and Sewer Administration		$	15,713		$	15,713		51111
617	195-654		Volume Cap Administration		$	200,000		$	200,000		51112
646	195-638		Low- and Moderate- Income Housing Trust Fund		$	53,000,000		$	53,000,000		51113
TOTAL SSR State Special Revenue											51114
Fund Group					$	333,891,556		$	329,391,556		51115

Facilities Establishment Fund Group

51116

009	195-664		Innovation Ohio		$	50,000,000		$	50,000,000		51117
010	195-665		Research and Development		$	50,000,000		$	50,000,000		51118
037	195-615		Facilities Establishment		$	110,000,000		$	110,000,000		51119
4Z6	195-647		Rural Industrial Park Loan		$	3,000,000		$	3,000,000		51120
5D2	195-650		Urban Redevelopment Loans		$	5,475,000		$	5,475,000		51121
5S8	195-627		Rural Development Initiative		$	3,000,000		$	3,000,000		51122
5S9	195-628		Capital Access Loan Program		$	3,000,000		$	3,000,000		51123
TOTAL 037 Facilities											51124
Establishment Fund Group					$	224,475,000		$	224,475,000		51125

Clean Ohio Revitalization Fund

51126

003	195-663		Clean Ohio Operating		$	625,000		$	550,000		51127
TOTAL 003 Clean Ohio Revitalization Fund					$	625,000		$	550,000		51128

Third Frontier Research & Development Fund Group

51129

011	195-686		Third Frontier Operating		$	1,932,056		$	1,932,056		51130
011	195-687		Third Frontier Research & Development Projects		$	94,000,000		$	72,000,000		51131
014	195-692		Research & Development Taxable Bond Projects		$	28,000,000		$	28,000,000		51132
TOTAL 011 Third Frontier Research & Development Fund Group					$	123,932,056		$	101,932,056		51133

Job Ready Site Development Fund Group

51134

012	195-688		Job Ready Site Operating		$	1,246,155		$	1,246,155		51135
TOTAL 012 Job Ready Site Development Fund Group					$	1,246,155		$	1,246,155		51136

TOTAL ALL BUDGET FUND GROUPS

$

1,180,763,736

$

1,154,357,876

51137

Section 263.10.10. THOMAS EDISON PROGRAM

51139

The foregoing appropriation item 195-401, Thomas Edison	51140
Program, shall be used for the purposes of sections 122.28 to	51141
122.38 of the Revised Code in order to provide funds for	51142
cooperative public and private efforts in technological innovation	51143
to promote the development and transfer of technology by and to	51144
Ohio businesses that will lead to the creation of jobs, and to	51145
provide for the administration of the program by the Technology	51146
Division.	51147

Of the foregoing appropriation item 195-401, Thomas Edison	51148
Program, not more than $2,000,000 in fiscal year 2008 and	51149
$2,100,000 in fiscal year 2009 shall be used for operating	51150
expenditures in administering the programs of the Technology	51151
Division.	51152

Section 263.10.20.  SMALL BUSINESS DEVELOPMENT

51153

The foregoing appropriation item 195-404, Small Business	51154
Development, shall be used to ensure that the unique needs and	51155
concerns of small businesses are addressed.	51156

The foregoing appropriation item 195-404, Small Business	51157
Development, may be used to provide grants to local organizations	51158
to support the operation of Small Business Development Centers and	51159
other local economic development activity promoting small	51160
business, including the 1st Stop Business Connection, and for the	51161
cost of administering the small business development center	51162
program. The centers shall provide technical, financial, and	51163
management consultation for small business and shall facilitate	51164
access to state and federal programs. These funds shall be used as	51165
matching funds for grants from the United States Small Business	51166
Administration and other federal agencies, pursuant to Public Law	51167
No. 96-302 (1980) as amended by Public Law No. 98-395 (1984), and	51168
regulations and policy guidelines for the programs under this law.	51169

MINORITY BUSINESS DEVELOPMENT DIVISION

51170

Of the foregoing appropriation item 195-405, Minority	51171
Business Development Division, up to $1,060,000 but not less than	51172
$954,000 in each fiscal year shall be used to fund minority	51173
contractors and business assistance organizations. The Minority	51174
Business Development Division shall determine which cities need	51175
minority contractors and business assistance organizations by	51176
utilizing United States Census Bureau data and zip codes to locate	51177
the highest concentrations of minority businesses. The Minority	51178
Business Development Division also shall determine the numbers of	51179
minority contractors and business assistance organizations	51180
necessary and the amount of funding to be provided each. In	51181
addition, the Minority Business Development Division shall	51182
continue to plan and implement business conferences.	51183

Section 263.10.30. RAPID OUTREACH GRANTS

51184

The foregoing appropriation item 195-412, Rapid Outreach	51185
Grants, shall be used as an incentive for attracting and retaining	51186
business opportunities for the state. Any such business	51187
opportunity, whether new, expanding, or relocating in Ohio, is	51188
eligible for funding. The project must create or retain a	51189
significant number of jobs for Ohioans. Grant awards may be	51190
considered only when (1) the project's viability hinges on an	51191
award of funds from appropriation item 195-412, Rapid Outreach	51192
Grants; (2) all other public or private sources of financing have	51193
been considered; or (3) the funds act as a catalyst for the	51194
infusion into the project of other financing sources.	51195

The department's primary goal shall be to award funds to	51196
political subdivisions of the state for off-site infrastructure	51197
improvements. In order to meet the particular needs of economic	51198
development in a region, the department may elect to award funds	51199
directly to a business for on-site infrastructure improvements.	51200
"Infrastructure improvements" mean improvements to water system	51201
facilities, sewer and sewage treatment facilities, electric or gas	51202
service facilities, fiber optic facilities, rail facilities, site	51203
preparation, and parking facilities. The Director of Development	51204
may recommend the funds be used in an alternative manner when	51205
considered appropriate to meet an extraordinary economic	51206
development opportunity or need.	51207

The foregoing appropriation item 195-412, Rapid Outreach	51208
Grants, may be expended only after the submission of a request to	51209
the Controlling Board by the Department of Development outlining	51210
the planned use of the funds, and the subsequent approval of the	51211
request by the Controlling Board.	51212

The foregoing appropriation item 195-412, Rapid Outreach	51213
Grants, may be used for, but is not limited to, construction,	51214
rehabilitation, and acquisition projects for rail freight	51215
assistance as requested by the Department of Transportation. The	51216
Director of Transportation shall submit the proposed projects to	51217
the Director of Development for an evaluation of potential	51218
economic benefit.	51219

Section 263.10.40. ECONOMIC DEVELOPMENT DIVISION AND REGIONAL	51220
OFFICES	51221

The foregoing appropriation item 195-415, Economic	51222
Development Division and Regional Offices, shall be used for the	51223
operating expenses of the Economic Development Division and the	51224
regional economic development offices and for grants for	51225
cooperative economic development ventures.	51226

Section 263.10.50.  GOVERNOR'S OFFICE OF APPALACHIA

51227

The foregoing appropriation item 195-416, Governor's Office	51228
of Appalachia, shall be used for the administrative costs of	51229
planning and liaison activities for the Governor's Office of	51230
Appalachia, and to provide financial assistance to projects in	51231
Ohio's Appalacian counties.	51232

Of the foregoing appropriation item 195-416, Governor's	51233
Office of Appalachia, up to $250,000 each fiscal year shall be	51234
used to match federal funds from the Appalachian Regional	51235
Commission to provide job training to impact the Appalachian	51236
Region.	51237

Of the foregoing appropriation item 195-416, Governor's	51238
Office of Appalachia, up to $4,246,043 in each fiscal year shall	51239
be used in conjunction with other federal and state funds to	51240
provide financial assistance to projects in Ohio's Appalachian	51241
counties in order to further the goals of the Appalachian Regional	51242
Commission. The projects and project sponsors shall meet	51243
Appalachian Regional Commission eligibility requirements. Grants	51244
shall be administered by the Department of Development.	51245

Section 263.10.60. THIRD FRONTIER ACTION FUND

51246

The foregoing appropriation item 195-422, Third Frontier	51247
Action Fund, shall be used to make grants under sections 184.01	51248
and 184.02 of the Revised Code. Prior to the release of funds from	51249
appropriation item 195-422, Third Frontier Action Fund, each grant	51250
award shall be recommended for funding by the Third Frontier	51251
Commission and obtain approval from the Controlling Board.	51252

Of the foregoing appropriation item 195-422, Third Frontier	51253
Action Fund, not more than six per cent in each fiscal year shall	51254
be used for operating expenditures in administering the program.	51255

In addition to the six per cent for operating expenditures,	51256
an additional administrative amount, not to exceed $1,500,000	51257
within the biennium, shall be available for proposal evaluation,	51258
research and analyses, and marketing efforts considered necessary	51259
to receive and disseminate information about science and	51260
technology-related opportunities in the state.	51261

SCIENCE AND TECHNOLOGY COLLABORATION

51262

The Department of Development shall work in close	51263
collaboration with the Board of Regents, the Air Quality	51264
Development Authority, and the Third Frontier Commission in	51265
relation to appropriation items and programs referred to as	51266
Alignment Programs in the following paragraph, and other	51267
technology-related appropriations and programs in the Department	51268
of Development, Air Quality Development Authority, and the Board	51269
of Regents as these agencies may designate, to ensure	51270
implementation of a coherent state strategy with respect to	51271
science and technology.	51272

"Alignment Programs" means appropriation items 195-401,	51273
Thomas Edison Program; 898-402, Coal Development Office; 195-422,	51274
Third Frontier Action Fund; 898-604, Coal Research and Development	51275
Fund; 235-433, Economic Growth Challenge; 235-508, Air Force	51276
Institute of Technology; 235-510, Ohio Supercomputer Center;	51277
235-451, Eminent Scholars; 235-527, Ohio Aerospace Institute;	51278
235-535, Ohio Agricultural Research and Development Center;	51279
235-553, Dayton Area Graduate Studies Institute; 235-554,	51280
Priorities in Collaborative Graduate Education; 235-556, Ohio	51281
Academic Resources Network; 195-435, Biomedical Research and	51282
Technology Transfer Trust; 195-687, Third Frontier Research &	51283
Development Projects; CAP-068, Third Frontier Project; and	51284
195-692, Research & Development Taxable Bond Projects.	51285

Consistent with the recommendations of the Governor's	51286
Commission on Higher Education and the Economy, Alignment Programs	51287
shall be managed and administered in accordance with the following	51288
objectives: (1) to build on existing competitive research	51289
strengths; (2) to encourage new and emerging discoveries and	51290
commercialization of products and ideas that will benefit the Ohio	51291
economy; and (3) to assure improved collaboration among Alignment	51292
Programs with programs administered by the Third Frontier	51293
Commission and with other state programs that are intended to	51294
improve economic growth and job creation. As directed by the Third	51295
Frontier Commission, Alignment Program managers shall report to	51296
the Commission or the Third Frontier Advisory Board regarding the	51297
contributions of their programs to achieving these objectives.	51298

Each Alignment Program shall be reviewed annually by the	51299
Third Frontier Commission with respect to its development of	51300
complementary relationships within a combined state science and	51301
technology investment portfolio, and with respect to its overall	51302
contribution to the state's science and technology strategy,	51303
including the adoption of appropriately consistent criteria for:	51304
(1) the scientific merit of activities supported by the program;	51305
(2) the relevance of the program's activities to commercial	51306
opportunities in the private sector; (3) the private sector's	51307
involvement in a process that continually evaluates commercial	51308
opportunities to use the work supported by the program; and (4)	51309
the ability of the program and recipients of grant funding from	51310
the program to engage in activities that are collaborative,	51311
complementary, and efficient with respect to the expenditures of	51312
state funds. Each Alignment Program shall provide an annual report	51313
to the Third Frontier Commission that discusses existing, planned,	51314
or possible collaborations between programs and between recipients	51315
of grant funding related to technology, development,	51316
commercialization, and the support of Ohio's economic development.	51317
The annual review conducted by the Third Frontier Commission shall	51318
be a comprehensive review of the entire state science and	51319
technology program portfolio rather than a review of individual	51320
programs.	51321

Applicants for Third Frontier and Alignment Programs funding	51322
shall identify their requirements for high-performance computing	51323
facilities and services, including both hardware and software, in	51324
all proposals. If an applicant's requirements exceed approximately	51325
$100,000 for a proposal, the Ohio Supercomputer Center shall	51326
convene a panel of experts. The panel shall review the proposal to	51327
determine whether the proposal's requirements can be met through	51328
Ohio Supercomputer Center facilities or through other means and	51329
report such information to the Third Frontier Commission.	51330

To ensure that the state receives the maximum benefit from	51331
its investment in the Third Frontier Project and the Third	51332
Frontier Network, organizations receiving Third Frontier awards	51333
and Alignment Programs awards shall, as appropriate, be expected	51334
to have a connection to the Third Frontier Network that enables	51335
them and their collaborators to achieve award objectives through	51336
the Third Frontier Network.	51337

Section 263.10.70.  INTERNATIONAL TRADE

51338

The foregoing appropriation item 195-432, International	51339
Trade, shall be used to operate and to maintain Ohio's	51340
out-of-state trade offices.	51341

The Director of Development may enter into contracts with	51342
foreign nationals to staff foreign offices. The contracts may be	51343
paid in local currency or United States currency and shall be	51344
exempt from section 127.16 of the Revised Code. The director also	51345
may establish foreign currency accounts under section 122.05 of	51346
the Revised Code for the payment of expenses related to the	51347
operation and maintenance of the foreign trade offices.	51348

The foregoing appropriation item 195-432, International	51349
Trade, shall be used to fund the International Trade Division and	51350
to assist Ohio manufacturers and agricultural producers in	51351
exporting to foreign countries in conjunction with the Department	51352
of Agriculture.	51353

Of the foregoing appropriation item 195-432, International	51354
Trade, up to $35,000 may be used to purchase gifts for	51355
representatives of foreign governments or dignitaries of foreign	51356
countries.	51357

Section 263.10.80.  OHIO INVESTMENT IN TRAINING PROGRAM

51358

The foregoing appropriation items 195-434, Investment in	51359
Training Grants, and 195-667, Investment in Training Expansion,	51360
shall be used to promote training through grants for the	51361
reimbursement of eligible training expenses.	51362

Section 263.10.90. CDBG OPERATING MATCH

51363

The foregoing appropriation item 195-497, CDBG Operating	51364
Match, shall be used to provide matching funds as requested by the	51365
United States Department of Housing and Urban Development to	51366
administer the federally funded Community Development Block Grant	51367
(CDBG) program.	51368

STATE OPERATING MATCH

51369

The foregoing appropriation item 195-498, State Match Energy,	51370
shall be used to provide matching funds as required by the United	51371
States Department of Energy to administer the federally funded	51372
State Energy Plan.	51373

Section 263.20.10. TRAVEL AND TOURISM GRANTS

51374

The foregoing appropriation item 195-507, Travel and Tourism	51375
Grants, shall be used to provide grants to local organizations to	51376
support various local travel and tourism events in Ohio.	51377

Of the foregoing appropriation item 195-507, Travel and	51378
Tourism Grants, $250,000 in each fiscal year shall be used for the	51379
Freedom Center.	51380

Of the foregoing appropriation item 195-507, Travel and	51381
Tourism Grants, $400,000 in each fiscal year shall be used for the	51382
State Film Bureau.	51383

Of the foregoing appropriation item 195-507, Travel and	51384
Tourism Grants, $50,000 in each fiscal year shall be used for the	51385
Cleveland Film Bureau.	51386

Of the foregoing appropriation item 195-507, Travel and	51387
Tourism Grants, $50,000 in each fiscal year shall be used for the	51388
Cincinnati Film Bureau.	51389

Of the foregoing appropriation item 195-507, Travel and	51390
Tourism Grants, up to $500,000 in each fiscal year shall be used	51391
for grants to The International Center for the Preservation of	51392
Wild Animals.	51393

Section 263.20.20. THIRD FRONTIER RESEARCH & DEVELOPMENT	51394
GENERAL OBLIGATION DEBT SERVICE	51395

The foregoing appropriation item 195-905, Third Frontier	51396
Research & Development General Obligation Debt Service, shall be	51397
used to pay all debt service and related financing costs during	51398
the period from July 1, 2007, to June 30, 2009, on obligations	51399
issued for research and development purposes under sections 151.01	51400
and 151.10 of the Revised Code.	51401

JOB READY SITE DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE

51402

The foregoing appropriation item 195-912, Job Ready Site	51403
Development General Obligation Debt Service, shall be used to pay	51404
all debt service and related financing costs during the period	51405
from July 1, 2007, to June 30, 2009, on obligations issued for job	51406
ready site development purposes under sections 151.01 and 151.11	51407
of the Revised Code.	51408

Section 263.20.30. SUPPORTIVE SERVICES

51409

The Director of Development may assess divisions of the	51410
department for the cost of central service operations. An	51411
assessment shall be based on a plan submitted to and approved by	51412
the Office of Budget and Management by August 1, 2007, and shall	51413
contain the characteristics of administrative ease and uniform	51414
application.	51415

A division's payments shall be credited to the Supportive	51416
Services Fund (Fund 135) using an intrastate transfer voucher.	51417

WORKFORCE GUARANTEE PROGRAM

51418

The foregoing appropriation item 195-668, Workforce Guarantee	51419
Program, shall be used for the Workforce Guarantee Program.	51420

Benefited employers must create at least 20 high-paying,	51421
full-time jobs over a one-year period and must demonstrate prior	51422
to the commitment of state funds that the availability of those	51423
skilled workers is a major factor in the employer's decision to	51424
locate or expand in Ohio. Customized training activities are	51425
eligible for funding through the Workforce Guarantee Program.	51426

The Director of Development, under Chapter 119. of the	51427
Revised Code, shall adopt, and may amend or rescind, rules the	51428
Director finds necessary for the implementation and successful	51429
operation of the Workforce Guarantee Program.	51430

ECONOMIC DEVELOPMENT CONTINGENCY

51431

Of the foregoing appropriation item 195-677, Economic	51432
Development Contingency, up to $19,400,000 shall be used by the	51433
Third Frontier Commission in fiscal year 2009 for biomedical	51434
research and technology transfer purposes under sections 184.01 to	51435
184.03 of the Revised Code.	51436

DIRECT COST RECOVERY EXPENDITURES

51437

The foregoing appropriation item 195-636, Direct Cost	51438
Recovery Expenditures, shall be used for conference and	51439
subscription fees and other reimbursable costs. Revenues to the	51440
General Reimbursement Fund (Fund 685) shall consist of fees and	51441
other moneys charged for conferences, subscriptions, and other	51442
administrative costs that are not central service costs.	51443

Section 263.20.40. HEAP WEATHERIZATION

51444

Fifteen per cent of the federal funds received by the state	51445
for the Home Energy Assistance Block Grant shall be deposited in	51446
appropriation item 195-614, HEAP Weatherization (Fund 3K9), and	51447
shall be used to provide home weatherization services in the	51448
state.	51449

STATE SPECIAL PROJECTS

51450

The foregoing fund, Fund 4F2, State Special Projects Fund,	51451
shall be used for the deposit of private-sector funds from utility	51452
companies, for the deposit of fees assessed under division (A)(14)	51453
of section 122.011 of the Revised Code, and for the deposit of	51454
other miscellaneous state funds. Private-sector moneys shall be	51455
used to (1) pay the expenses of verifying the income-eligibility	51456
of HEAP applicants, (2) market economic development opportunities	51457
in the state, and (3) leverage additional federal funds. Fees	51458
assessed under division (A)(14) of section 122.011 of the Revised	51459
Code shall be used to support the Brownfield Revolving Loan	51460
Program. State funds shall be used to match federal housing grants	51461
for the homeless and to market economic development opportunities	51462
in the state.	51463

Section 263.20.50.  TAX INCENTIVE PROGRAMS OPERATING

51464

On July 1, 2007, or as soon thereafter as possible, the	51465
Director of Budget and Management shall transfer the cash balance	51466
in the Job Creation Tax Credit Operating Fund (Fund 4S1) to the	51467
Tax Incentive Programs Operating Fund (Fund 4S0). The Director	51468
shall cancel any existing encumbrances against appropriation item	51469
195-634, Job Creation Tax Credit Operating (Fund 4S1), and	51470
re-establish them against appropriation item 195-630, Tax	51471
Incentive Programs Operating (Fund 4S0). The amounts of the	51472
re-established encumbrances are hereby appropriated.	51473

Section 263.20.60.  MINORITY BUSINESS ENTERPRISE LOAN

51474

All repayments from the Minority Development Financing	51475
Advisory Board Loan Program and the Ohio Mini-Loan Guarantee	51476
Program shall be deposited in the State Treasury to the credit of	51477
the Minority Business Enterprise Loan Fund (Fund 4W1).	51478

All operating costs of administering the Minority Business	51479
Enterprise Loan Fund shall be paid from the Minority Business	51480
Enterprise Loan Fund (Fund 4WI).	51481

MINORITY BUSINESS BONDING FUND

51482

Notwithstanding Chapters 122., 169., and 175. of the Revised	51483
Code and other provisions of Am. Sub. H.B. 283 of the 123rd	51484
General Assembly, the Director of Development may, upon the	51485
recommendation of the Minority Development Financing Advisory	51486
Board, pledge up to $10,000,000 in the FY 2008-2009 biennium of	51487
unclaimed funds administered by the Director of Commerce and	51488
allocated to the Minority Business Bonding Program under section	51489
169.05 of the Revised Code. The transfer of any cash by the	51490
Director of Budget and Management from the Department of	51491
Commerce's Unclaimed Funds Fund (Fund 543) to the Department of	51492
Development's Minority Business Bonding Fund (Fund 449) shall	51493
occur, if requested by the Director of Development, only if such	51494
funds are needed for payment of losses arising from the Minority	51495
Business Bonding Program, and only after proceeds of the initial	51496
transfer of $2,700,000 by the Controlling Board to the Minority	51497
Business Bonding Program has been used for that purpose. Moneys	51498
transferred by the Director of Budget and Management from the	51499
Department of Commerce for this purpose may be moneys in custodial	51500
funds held by the Treasurer of State. If expenditures are required	51501
for payment of losses arising from the Minority Business Bonding	51502
Program, such expenditures shall be made from appropriation item	51503
195-623, Minority Business Bonding Contingency in the Minority	51504
Business Bonding Fund, and such amounts are appropriated.	51505

Section 263.20.70. ECONOMIC DEVELOPMENT FINANCING OPERATING

51506

The foregoing appropriation item 195-625, Economic	51507
Development Financing Operating, shall be used for the operating	51508
expenses of financial assistance programs authorized under Chapter	51509
166. of the Revised Code and under sections 122.43 and 122.45 of	51510
the Revised Code.	51511

ALTERNATIVE FUEL TRANSPORTATION

51512

The foregoing appropriation item 195-679, Alternative Fuel	51513
Transportation, shall be used by the Director of Development to	51514
make grants under the Alternative Fuel Transportation Grant Fund	51515
Program in accordance with section 122.075 of the Revised Code,	51516
and for administrative costs associated with the program.	51517

Of the foregoing appropriation item 195-679, Alternative Fuel	51518
Transportation, up to $1,000,000 in each fiscal year shall be used	51519
to encourage retail gas stations to provide E85 and B20 (or	51520
higher) fuel to customers in accordance with section 122.075 of	51521
the Revised Code.	51522

LOW INCOME ENERGY ASSISTANCE

51523

The foregoing appropriation item 195-659, Low Income Energy	51524
Assistance, shall be used to provide payments to regulated	51525
electric utility companies for low-income customers enrolled in	51526
Percentage of Income Payment Plan (PIPP) electric accounts, to	51527
fund targeted energy efficiency and customer education services to	51528
PIPP customers, and to cover the department's administrative costs	51529
related to Universal Service Fund Programs. If it is determined	51530
that additional appropriations are necessary to provide payments	51531
to regulated utility companies for low income customers enrolled	51532
in PIPP electric accounts, such amounts are hereby appropriated.	51533

ADVANCED ENERGY FUND

51534

The foregoing appropriation item 195-660, Advanced Energy	51535
Programs, shall be used to provide financial assistance to	51536
customers for eligible advanced energy projects for residential,	51537
commercial and industrial business, local government, educational	51538
institution, nonprofit, and agriculture customers, and to pay for	51539
the program's administrative costs as provided in the Revised Code	51540
and rules adopted by the Director of Development.	51541

Of the foregoing appropriation item 195-660, Advanced Energy	51542
Programs, up to $1,000,000 over the biennium shall be used for	51543
methane digester projects.	51544

TRANSFER FROM THE ADVANCED ENERGY FUND TO THE INDUSTRIAL SITE	51545
IMPROVEMENTS FUND	51546

Notwithstanding Chapters 122. and 4928. of the Revised Code	51547
and any other law to the contrary, the Director of Budget and	51548
Management shall transfer $4,500,000 in cash in fiscal year 2008	51549
and $4,500,000 in cash in fiscal year 2009 from the Advanced	51550
Energy Fund (Fund 5M5) to the Industrial Site Improvements Fund	51551
(Fund 5AR).	51552

Moneys in Fund 5AR, Industrial Site Improvements, shall be	51553
used by the Director of Development to make grants to eligible	51554
counties for the improvement of commercial or industrial areas	51555
within those counties under section 122.951 of the Revised Code.	51556

GLOBAL ANALYST SETTLEMENT AGREEMENTS PAYMENTS

51557

All payments received by the state pursuant to a series of	51558
settlements with ten brokerage firms reached with the United	51559
States Securities and Exchange Commission, the National	51560
Association of Securities Dealers, the New York Stock Exchange,	51561
the New York Attorney General, and other state regulators	51562
(henceforth referred to as the "Global Analysts Settlement	51563
Agreements"), shall be deposited into the state treasury to the	51564
credit of the Economic Development Contingency Fund (Fund 5Y6),	51565
which is hereby created in the state treasury. The fund shall be	51566
used by the Director of Development to support economic	51567
development projects for which appropriations would not otherwise	51568
be available, and shall be subject to the submission of a request	51569
to the Controlling Board by the Director outlining the planned use	51570
of the funds, and the subsequent approval of the request by the	51571
Controlling Board.	51572

VOLUME CAP ADMINISTRATION

51573

The foregoing appropriation item 195-654, Volume Cap	51574
Administration, shall be used for expenses related to the	51575
administration of the Volume Cap Program. Revenues received by the	51576
Volume Cap Administration Fund (Fund 617) shall consist of	51577
application fees, forfeited deposits, and interest earned from the	51578
custodial account held by the Treasurer of State.	51579

INNOVATION OHIO LOAN FUND

51580

The foregoing appropriation item 195-664, Innovation Ohio,	51581
shall be used to provide for innovation Ohio purposes, including	51582
loan guarantees and loans under Chapter 166. and particularly	51583
sections 166.12 to 166.16 of the Revised Code.	51584

RESEARCH AND DEVELOPMENT

51585

The foregoing appropriation item 195-665, Research and	51586
Development, shall be used to provide for research and development	51587
purposes, including loans, under Chapter 166. and particularly	51588
sections 166.17 to 166.21 of the Revised Code.	51589

Section 263.20.80. FACILITIES ESTABLISHMENT FUND

51590

The foregoing appropriation item 195-615, Facilities	51591
Establishment (Fund 037), shall be used for the purposes of the	51592
Facilities Establishment Fund under Chapter 166. of the Revised	51593
Code.	51594

Notwithstanding Chapter 166. of the Revised Code, an amount	51595
not to exceed $1,800,000 in cash each fiscal year may be	51596
transferred from the Facilities Establishment Fund (Fund 037) to	51597
the Economic Development Financing Operating Fund (Fund 451). The	51598
transfer is subject to Controlling Board approval under division	51599
(B) of section 166.03 of the Revised Code.	51600

Notwithstanding Chapter 166. of the Revised Code, an amount	51601
not to exceed $5,475,000 in cash each fiscal year may be	51602
transferred during the biennium from the Facilities Establishment	51603
Fund (Fund 037) to the Urban Redevelopment Loans Fund (Fund 5D2)	51604
for the purpose of removing barriers to urban core redevelopment.	51605
The Director of Development shall develop program guidelines for	51606
the transfer and release of funds, including, but not limited to,	51607
the completion of all appropriate environmental assessments before	51608
state assistance is committed to a project.	51609

Notwithstanding Chapter 166. of the Revised Code, an amount	51610
not to exceed $3,000,000 in cash each fiscal year may be	51611
transferred from the Facilities Establishment Fund (Fund 037) to	51612
the Rural Industrial Park Loan Fund (Fund 4Z6). The transfer is	51613
subject to Controlling Board approval under section 166.03 of the	51614
Revised Code.	51615

ALTERNATIVE FUEL TRANSPORTATION GRANT FUND

51616

Notwithstanding Chapter 166. of the Revised Code, an amount	51617
not to exceed $1,000,000 in cash each fiscal year shall be	51618
transferred from moneys in the Facilities Establishment Fund (Fund	51619
037) to the Alternative Fuel Transportation Grant Fund (Fund 5CG)	51620
in the Department of Development.	51621

RURAL DEVELOPMENT INITIATIVE FUND

51622

(A)(1) The Rural Development Initiative Fund (Fund 5S8) is	51623
entitled to receive moneys from the Facilities Establishment Fund	51624
(Fund 037). The Director of Development may make grants from the	51625
Rural Development Initiative Fund as specified in division (A)(2)	51626
of this section to eligible applicants in Appalachian counties and	51627
in rural counties in the state that are designated as distressed	51628
under section 122.25 of the Revised Code. Preference shall be	51629
given to eligible applicants located in Appalachian counties	51630
designated as distressed by the federal Appalachian Regional	51631
Commission. The Rural Development Initiative Fund (Fund 5S8) shall	51632
cease to exist after June 30, 2009. All moneys remaining in the	51633
Fund after that date shall revert to the Facilities Establishment	51634
Fund (Fund 037).	51635

(2) The Director of Development shall make grants from the	51636
Rural Development Initiative Fund (Fund 5S8) only to eligible	51637
applicants who also qualify for and receive funding under the	51638
Rural Industrial Park Loan Program as specified in sections 122.23	51639
to 122.27 of the Revised Code. Eligible applicants shall use the	51640
grants for the purposes specified in section 122.24 of the Revised	51641
Code. All projects supported by grants from the fund are subject	51642
to Chapter 4115. of the Revised Code as specified in division (E)	51643
of section 166.02 of the Revised Code. The Director shall develop	51644
program guidelines for the transfer and release of funds. The	51645
release of grant moneys to an eligible applicant is subject to	51646
Controlling Board approval.	51647

(B) Notwithstanding Chapter 166. of the Revised Code, the	51648
Director of Budget and Management may transfer an amount not to	51649
exceed $3,000,000 in cash each fiscal year on an as-needed basis	51650
at the request of the Director of Development from the Facilities	51651
Establishment Fund (Fund 037) to the Rural Development Initiative	51652
Fund (Fund 5S8). The transfer is subject to Controlling Board	51653
approval under section 166.03 of the Revised Code.	51654

CAPITAL ACCESS LOAN PROGRAM

51655

The foregoing appropriation item 195-628, Capital Access Loan	51656
Program, shall be used for operating, program, and administrative	51657
expenses of the program. Funds of the Capital Access Loan Program	51658
shall be used to assist participating financial institutions in	51659
making program loans to eligible businesses that face barriers in	51660
accessing working capital and obtaining fixed--asset financing.	51661

Notwithstanding Chapter 166. of the Revised Code, the	51662
Director of Budget and Management may transfer an amount not to	51663
exceed $3,000,000 in cash each fiscal year on an as-needed basis	51664
at the request of the Director of Development from the Facilities	51665
Establishment Fund (Fund 037) to the Capital Access Loan Program	51666
Fund (Fund 5S9). The transfer is subject to Controlling Board	51667
approval under section 166.03 of the Revised Code.	51668

Section 263.20.90. CLEAN OHIO OPERATING EXPENSES

51669

The foregoing appropriation item 195-663, Clean Ohio	51670
Operating, shall be used by the Department of Development in	51671
administering sections 122.65 to 122.658 of the Revised Code.	51672

THIRD FRONTIER OPERATING

51673

The foregoing appropriation item 195-686, Third Frontier	51674
Operating, shall be used for operating expenses incurred by the	51675
Department of Development in administering sections 184.10 to	51676
184.20 of the Revised Code.	51677

THIRD FRONTIER RESEARCH & DEVELOPMENT PROJECTS

51678

The foregoing appropriation item 195-687, Third Frontier	51679
Research & Development Projects, shall be used by the Department	51680
of Development to fund selected projects pursuant to sections	51681
184.10 to 184.20 of the Revised Code.	51682

Notwithstanding sections 184.10 to 184.20 of the Revised	51683
Code, of the foregoing appropriation item 195-687, Third Frontier	51684
Research & Development Projects, up to $20,000,000 in fiscal year	51685
2008 shall be used by the Office of Information Technology, in	51686
partnership with the Ohio Supercomputer Center's OSCnet, to	51687
acquire the equipment and services necessary to migrate state	51688
agencies' network to the existing OSCnet network backbone. This	51689
state network shall be known as the NextGen Network.	51690

Notwithstanding sections 184.10 to 184.20 of the Revised	51691
Code, at the direction of the Director of Budget and Management up	51692
to $18,000,000 in each fiscal year from appropriation item	51693
195-687, Third Frontier Research & Development Projects, and	51694
appropriation item 195-692, Research & Development Taxable Bond	51695
Projects, shall be used to fund the Research Incentive Program in	51696
the Board of Regents.	51697

On or before June 30, 2008, any unencumbered balance of the	51698
foregoing appropriation item 195-687, Third Frontier Research &	51699
Development Projects, for fiscal year 2008 is hereby appropriated	51700
for the same purpose for fiscal year 2009.	51701

AUTHORITY TO ISSUE AND SELL ORIGINAL OBLIGATIONS

51702

The Ohio Public Facilities Commission, upon request of the	51703
Department of Development, is hereby authorized to issue and sell,	51704
in accordance with Section 2p of Article VIII, Ohio Constitution,	51705
and particularly sections 151.01 and 151.10 of the Revised Code,	51706
original obligations of the State of Ohio in an aggregate amount	51707
not to exceed $150,000,000. The authorized obligations shall be	51708
issued and sold from time to time and in amounts necessary to	51709
ensure sufficient moneys to the credit of the Third Frontier	51710
Research & Development Fund (Fund 011) to pay costs of research	51711
and development projects.	51712

JOB READY SITE OPERATING

51713

The foregoing appropriation item 195-688, Job Ready Site	51714
Operating, shall be used for operating expenses incurred by the	51715
Department of Development in administering sections 122.085 to	51716
122.0820 of the Revised Code. Operating expenses include, but are	51717
not limited to, certain expenses of the District Public Works	51718
Integrating Committees, audit and accountability activities, and	51719
costs associated with formal certifications verifying that site	51720
infrastructure is in place and is functional.	51721

Section 263.30.10. UNCLAIMED FUNDS TRANSFER

51722

(A) Notwithstanding division (A) of section 169.05 of the	51723
Revised Code, upon the request of the Director of Budget and	51724
Management, the Director of Commerce, prior to June 30, 2008,	51725
shall transfer to the Job Development Initiatives Fund (Fund 5AD)	51726
an amount not to exceed $9,275,000 in cash of the unclaimed funds	51727
that have been reported by the holders of unclaimed funds under	51728
section 169.05 of the Revised Code, regardless of the allocation	51729
of the unclaimed funds described under that section.	51730

Notwithstanding division (A) of section 169.05 of the Revised	51731
Code, upon the request of the Director of Budget and Management,	51732
the Director of Commerce, prior to June 30, 2009, shall transfer	51733
to the Job Development Initiatives Fund (Fund 5AD) an amount not	51734
to exceed $28,675,000 in cash of the unclaimed funds that have	51735
been reported by the holders of unclaimed funds under section	51736
169.05 of the Revised Code, regardless of the allocation of the	51737
unclaimed funds described under that section.	51738

(B) Notwithstanding division (A) of section 169.05 of the	51739
Revised Code, upon the request of the Director of Budget and	51740
Management, the Director of Commerce, prior to June 30, 2008,	51741
shall transfer to the State Special Projects Fund (Fund 4F2) an	51742
amount not to exceed $2,500,000 of the unclaimed funds that have	51743
been reported by the holders of unclaimed funds under section	51744
169.05 of the Revised Code, regardless of the allocation of the	51745
unclaimed funds described under that section.	51746

Notwithstanding division (A) of section 169.05 of the Revised	51747
Code, upon the request of the Director of Budget and Management,	51748
the Director of Commerce, prior to June 30, 2009, shall transfer	51749
to the State Special Projects Fund (Fund 4F2) an amount not to	51750
exceed $2,500,000 in cash of the unclaimed funds that have been	51751
reported by the holders of unclaimed funds under section 169.05 of	51752
the Revised Code, regardless of the allocation of the unclaimed	51753
funds described under that section.	51754

Section 263.30.20. WORKFORCE DEVELOPMENT

51755

The Director of Development and the Director of Job and	51756
Family Services may enter into one or more interagency agreements	51757
between the two departments, hire staff, transfer staff, assign	51758
duties to staff, enter into contracts, transfer assets, and take	51759
other actions the directors consider necessary to provide services	51760
and assistance as necessary to integrate workforce development	51761
into a larger economic development strategy, to implement the	51762
recommendations of the Workforce Policy Board, and to perform	51763
activities related to the transition of the administration of	51764
employment programs identified by the board. Subject to the	51765
approval of the Director of Budget and Management, the Department	51766
of Development and the Department of Job and Family Services may	51767
expend funds to support the recommendations of the Workforce	51768
Policy Board in the area of integration of employment functions as	51769
described in this paragraph and to provide implementation and	51770
transition activities from the appropriations to those	51771
departments.	51772

Section 265.10.  OBD OHIO BOARD OF DIETETICS

51773

General Services Fund Group

51774

4K9	860-609		Operating Expenses		$	342,501		$	348,964		51775
TOTAL GSF General Services Fund											51776
Group					$	342,501		$	348,964		51777
TOTAL ALL BUDGET FUND GROUPS					$	342,501		$	348,964		51778

Section 267.10. CDR COMMISSION ON DISPUTE RESOLUTION AND	51780
CONFLICT MANAGEMENT	51781

General Revenue Fund

51782

GRF	145-401		Commission Operations		$	470,000		$	470,000		51783
TOTAL GRF General Revenue Fund					$	470,000		$	470,000		51784

General Services Fund Group

51785

4B6	145-601		Dispute Resolution Programs		$	140,000		$	140,000		51786
TOTAL GSF General Services Fund Group					$	140,000		$	140,000		51787

TOTAL ALL BUDGET FUND GROUPS

$

610,000

$

610,000

51788

Section 269.10. EDU DEPARTMENT OF EDUCATION

51790

General Revenue Fund

51791

GRF	200-100		Personal Services		$	11,533,494		$	12,110,169		51792
GRF	200-320		Maintenance and Equipment		$	4,574,479		$	4,803,203		51793
GRF	200-408		Early Childhood Education		$	29,002,195		$	31,502,195		51794
GRF	200-410		Educator Training		$	18,828,817		$	19,828,817		51795
GRF	200-416		Career-Technical Education Match		$	2,233,195		$	2,233,195		51796
GRF	200-420		Computer/Application/ Network Development		$	5,536,362		$	5,793,700		51797
GRF	200-421		Alternative Education Programs		$	13,482,665		$	13,482,665		51798
GRF	200-422		School Management Assistance		$	2,460,572		$	2,460,572		51799
GRF	200-424		Policy Analysis		$	576,000		$	611,000		51800
GRF	200-425		Tech Prep Consortia Support		$	2,069,217		$	2,069,217		51801
GRF	200-426		Ohio Educational Computer Network		$	30,446,197		$	30,446,197		51802
GRF	200-427		Academic Standards		$	11,514,730		$	11,514,730		51803
GRF	200-431		School Improvement Initiatives		$	12,270,150		$	12,955,150		51804
GRF	200-433		Literacy Improvement-Professional Development		$	15,915,000		$	15,915,000		51805
GRF	200-437		Student Assessment		$	79,150,819		$	78,387,144		51806
GRF	200-439		Accountability/Report Cards		$	8,096,040		$	8,223,540		51807
GRF	200-442		Child Care Licensing		$	1,302,495		$	1,302,495		51808
GRF	200-446		Education Management Information System		$	16,110,510		$	16,586,082		51809
GRF	200-447		GED Testing		$	1,544,360		$	1,544,360		51810
GRF	200-448		Educator Preparation		$	1,651,000		$	1,651,000		51811
GRF	200-455		Community Schools		$	1,533,661		$	1,533,661		51812
GRF	200-502		Pupil Transportation		$	424,783,117		$	429,030,948		51813
GRF	200-503		Bus Purchase Allowance		$	14,000,000		$	14,000,000		51814
GRF	200-505		School Lunch Match		$	8,998,025		$	8,998,025		51815
GRF	200-509		Adult Literacy Education		$	8,669,738		$	8,669,738		51816
GRF	200-511		Auxiliary Services		$	131,740,457		$	135,692,670		51817
GRF	200-514		Postsecondary Adult Career-Technical Education		$	19,481,875		$	19,481,875		51818
GRF	200-521		Gifted Pupil Program		$	47,608,030		$	48,008,613		51819
GRF	200-532		Nonpublic Administrative Cost Reimbursement		$	59,810,517		$	61,604,832		51820
GRF	200-536		Ohio Core Support		$	9,700,000		$	15,200,000		51821
GRF	200-537		Entry Year for Principals		$	800,000		$	800,000		51822
GRF	200-540		Special Education Enhancements		$	138,619,945		$	139,756,839		51823
GRF	200-545		Career-Technical Education Enhancements		$	9,298,651		$	9,373,926		51824
GRF	200-550		Foundation Funding		$	5,761,699,328		$	6,034,943,246		51825
GRF	200-566		Literacy Improvement-Classroom Grants		$	12,062,336		$	12,062,336		51826
GRF	200-578		Violence Prevention and School Safety		$	1,218,555		$	1,218,555		51827
GRF	200-901		Property Tax Allocation - Education		$	794,583,404		$	850,868,654		51828
GRF	200-906		Tangible Tax Exemption - Education		$	21,415,244		$	10,707,622		51829
TOTAL GRF General Revenue Fund					$	7,734,321,180		$	8,075,371,971		51830

General Services Fund Group

51831

138	200-606		Computer Services-Operational Support		$	7,600,091		$	7,600,091		51832
4D1	200-602		Ohio Prevention/Education Resource Center		$	832,000		$	832,000		51833
4L2	200-681		Teacher Certification and Licensure		$	5,966,032		$	6,323,994		51834
452	200-638		Miscellaneous Educational Services		$	273,166		$	279,992		51835
5H3	200-687		School District Solvency Assistance		$	18,000,000		$	18,000,000		51836
596	200-656		Ohio Career Information System		$	529,761		$	529,761		51837
TOTAL GSF General Services											51838
Fund Group					$	33,201,050		$	33,565,838		51839

Federal Special Revenue Fund Group

51840

3AF	200-603		Schools Medicaid Administrative Claims		$	486,000		$	639,000		51841
3BK	200-628		Longitudinal Data Systems		$	1,795,570		$	307,050		51842
3BV	200-636		Character Education		$	700,000		$	700,000		51843
3CF	200-644		Foreign Language Assistance		$	85,000		$	285,000		51844
3CG	200-646		Teacher Incentive Fund		$	6,552,263		$	3,994,338		51845
3C5	200-661		Early Childhood Education		$	18,989,779		$	18,989,779		51846
3D1	200-664		Drug Free Schools		$	13,347,966		$	13,347,966		51847
3D2	200-667		Honors Scholarship Program		$	6,573,968		$	6,665,000		51848
3H9	200-605		Head Start Collaboration Project		$	275,000		$	275,000		51849
3L6	200-617		Federal School Lunch		$	244,714,211		$	249,903,970		51850
3L7	200-618		Federal School Breakfast		$	63,927,606		$	69,041,814		51851
3L8	200-619		Child/Adult Food Programs		$	69,280,946		$	70,691,653		51852
3L9	200-621		Career-Technical Education Basic Grant		$	48,029,701		$	48,029,701		51853
3M0	200-623		ESEA Title 1A		$	415,000,000		$	420,000,000		51854
3M1	200-678		Innovative Education		$	5,369,100		$	5,363,706		51855
3M2	200-680		Individuals with Disabilities Education Act		$	500,000,000		$	405,000,000		51856
3S2	200-641		Education Technology		$	10,000,000		$	5,000,000		51857
3T4	200-613		Public Charter Schools		$	13,850,827		$	14,212,922		51858
3Y2	200-688		21st Century Community Learning Centers		$	30,681,554		$	30,681,554		51859
3Y4	200-632		Reading First		$	35,215,798		$	31,215,798		51860
3Y6	200-635		Improving Teacher Quality		$	102,692,685		$	102,698,246		51861
3Y7	200-689		English Language Acquisition		$	8,000,000		$	8,000,000		51862
3Y8	200-639		Rural and Low Income Technical Assistance		$	1,500,000		$	1,500,000		51863
3Z2	200-690		State Assessments		$	12,883,799		$	12,883,799		51864
3Z3	200-645		Consolidated Federal Grant Administration		$	8,500,000		$	8,500,000		51865
309	200-601		Educationally Disadvantaged Programs		$	12,750,000		$	8,750,000		51866
366	200-604		Adult Basic Education		$	19,425,000		$	20,396,250		51867
367	200-607		School Food Services		$	5,849,748		$	6,088,737		51868
368	200-614		Veterans' Training		$	710,373		$	745,892		51869
369	200-616		Career-Technical Education Federal Enhancement		$	5,000,000		$	5,000,000		51870
370	200-624		Education of Exceptional Children		$	1,811,520		$	575,454		51871
374	200-647		Troops to Teachers		$	100,000		$	100,000		51872
378	200-660		Learn and Serve		$	1,561,954		$	1,561,954		51873
TOTAL FED Federal Special											51874
Revenue Fund Group					$	1,665,660,368		$	1,571,144,583		51875

State Special Revenue Fund Group

51876

4R7	200-695		Indirect Operational Support		$	5,449,748		$	5,810,464		51877
4V7	200-633		Interagency Operational Support		$	392,100		$	376,423		51878
454	200-610		Guidance and Testing		$	400,000		$	400,000		51879
455	200-608		Commodity Foods		$	24,000,000		$	24,000,000		51880
5BB	200-696		State Action for Education Leadership		$	1,250,000		$	1,250,000		51881
5BJ	200-626		Half-Mill Maintenance Equalization		$	10,700,000		$	10,700,000		51882
5U2	200-685		National Education Statistics		$	300,000		$	300,000		51883
5W2	200-663		Early Learning Initiative		$	2,200,000		$	2,200,000		51884
598	200-659		Auxiliary Services Reimbursement		$	1,328,910		$	1,328,910		51885
620	200-615		Educational Improvement Grants		$	3,000,000		$	3,000,000		51886
TOTAL SSR State Special Revenue											51887
Fund Group					$	49,020,758		$	49,365,797		51888

Lottery Profits Education Fund Group

51889

017	200-612		Foundation Funding		$	635,198,000		$	667,900,000		51890
017	200-682		Lease Rental Payment Reimbursement		$	22,702,000		$	0		51891
TOTAL LPE Lottery Profits											51892
Education Fund Group					$	657,900,000		$	667,900,000		51893

Revenue Distribution Fund Group

51894

047	200-909		School District Property Tax Replacement-Business		$	611,596,856		$	763,316,819		51895
053	200-900		School District Property Tax Replacement-Utility		$	91,123,523		$	91,123,523		51896
TOTAL RDF Revenue Distribution											51897
Fund Group					$	702,720,379		$	854,440,342		51898
TOTAL ALL BUDGET FUND GROUPS					$	10,842,823,735		$	11,251,788,531		51899

Section 269.10.10. PERSONAL SERVICES

51901

The foregoing appropriation item 200-100, Personal Services,	51902
may be used to pay fees for the Department's membership in the	51903
Education Commission of the States, an interstate nonprofit,	51904
nonpartisan organization that supports states with the development	51905
of education policy.	51906

Of the foregoing appropriation item 200-100, Personal	51907
Services, up to $25,000 may be expended in each fiscal year for	51908
the State Board of Education to pay for outside professionals to	51909
help inform the Board on topics of education policy.	51910

MAINTENANCE AND EQUIPMENT

51911

Of the foregoing appropriation item 200-320, Maintenance and	51912
Equipment, up to $25,000 may be expended in each fiscal year for	51913
State Board of Education out-of-state travel.	51914

Section 269.10.20. EARLY CHILDHOOD EDUCATION

51915

The Department of Education shall distribute the foregoing	51916
appropriation item 200-408, Early Childhood Education, to pay the	51917
costs of early childhood education programs.	51918

(A) As used in this section:

51919

(1) "Provider" means a city, local, exempted village, or	51920
joint vocational school district, or an educational service	51921
center.	51922

(2) In the case of a city, local, or exempted village school	51923
district, "new eligible provider" means a district that is	51924
eligible for poverty-based assistance under section 3317.029 of	51925
the Revised Code.	51926

(3) "Eligible child" means a child who is at least three	51927
years of age, is not of the age to be eligible for kindergarten,	51928
and whose family earns not more than two hundred per cent of the	51929
federal poverty guidelines.	51930

(B) In each fiscal year, up to two per cent of the total	51931
appropriation may be used by the Department for program support	51932
and technical assistance. The Department shall distribute the	51933
remainder of the appropriation in each fiscal year to serve	51934
eligible children.	51935

(C) The Department shall provide an annual report to the	51936
Governor, the Speaker of the House of Representatives, and the	51937
President of the Senate and post the report to the Department's	51938
web site, regarding early childhood education programs operated	51939
under this section and the early learning program guidelines for	51940
school readiness.	51941

(D) After setting aside the amounts to make payments due from	51942
the previous fiscal year, in fiscal year 2008, the Department	51943
shall distribute funds first to recipients of funds for early	51944
childhood education programs under Section 206.09.06 of Am. Sub.	51945
H.B. 66 of the 126th General Assembly in the previous fiscal year	51946
and the balance to new eligible providers of early childhood	51947
education programs under this section. However, the total amount	51948
of funds distributed in fiscal year 2008 to all providers that	51949
received funds for early childhood education programs in fiscal	51950
year 2007 shall not exceed $18,622,151, unless the number of new	51951
eligible providers that notifies the Department of their interest	51952
in establishing early childhood education programs is insufficient	51953
to expend all available funding. In that case, the Department may	51954
direct available funding to providers that received funds for	51955
early childhood education programs in fiscal year 2007 for	51956
purposes of program expansion, improvement, or special projects to	51957
promote quality and innovation.	51958

After setting aside the amounts to make payments due from the	51959
previous fiscal year, in fiscal year 2009, the Department shall	51960
distribute funds first to providers of early childhood education	51961
programs under this section in the previous fiscal year and the	51962
balance to new eligible providers. However, the total amount of	51963
funds distributed in fiscal year 2009 to all providers that	51964
received funds for early childhood education programs in fiscal	51965
year 2007 shall not exceed $18,622,151, unless the number of	51966
providers that received funding in fiscal year 2008 and new	51967
eligible providers that notify the Department of their interest in	51968
establishing early childhood education programs is insufficient to	51969
expend all available funding. In that case, the Department may	51970
direct available funding to providers that received funds for	51971
early childhood education programs in fiscal year 2007 or 2008 for	51972
purposes of program expansion, improvement, or special projects to	51973
promote quality and innovation.	51974

In each of fiscal years 2008 and 2009, if funding is	51975
insufficient to serve all new eligible providers that notify the	51976
Department of their interest in establishing early childhood	51977
education programs, the Department shall determine which of those	51978
providers will receive funds using a selection process that first	51979
gives preference to providers that, as of March 15, 2007, did not	51980
offer early childhood education programs, but that had offered	51981
early childhood education programs or public preschool programs	51982
for some time after June 30, 2000, and second to providers that	51983
demonstrate a need for early childhood education programs, as	51984
determined by the Department. Demonstration of need shall include	51985
having higher rates of eligible children to be served.	51986

Awards under this section shall be distributed on a per-pupil	51987
basis, and in accordance with division (H) of this section. The	51988
Department may adjust the per-pupil amount so that the per-pupil	51989
amount multiplied by the number of eligible children enrolled and	51990
receiving services, as defined by the Department, reported on the	51991
first day of December or the first business day following that	51992
date equals the amount allocated under this section.	51993

(E) Costs for developing and administering an early childhood	51994
education program may not exceed fifteen per cent of the total	51995
approved costs of the program.	51996

All providers shall maintain such fiscal control and	51997
accounting procedures as may be necessary to ensure the	51998
disbursement of, and accounting for, these funds. The control of	51999
funds provided in this program, and title to property obtained	52000
therefrom, shall be under the authority of the approved provider	52001
for purposes provided in the program unless, as described in	52002
division (J) of this section, the program waives its right for	52003
funding or a program's funding is eliminated or reduced due to its	52004
inability to meet financial or early learning program guidelines	52005
for school readiness. The approved provider shall administer and	52006
use such property and funds for the purposes specified.	52007

(F) The Department may examine a provider's financial and	52008
program records. If the financial practices of the program are not	52009
in accordance with standard accounting principles or do not meet	52010
financial standards outlined under division (E) of this section,	52011
or if the program fails to substantially meet the early learning	52012
program guidelines for school readiness or exhibits below average	52013
performance as measured against the guidelines, the early	52014
childhood education program shall propose and implement a	52015
corrective action plan that has been approved by the Department.	52016
The approved corrective action plan shall be signed by the chief	52017
executive officer and the executive of the official governing body	52018
of the provider. The corrective action plan shall include a	52019
schedule for monitoring by the Department. Such monitoring may	52020
include monthly reports, inspections, a timeline for correction of	52021
deficiencies, and technical assistance to be provided by the	52022
Department or obtained by the early childhood education program.	52023
The Department may withhold funding pending corrective action. If	52024
an early childhood education program fails to satisfactorily	52025
complete a corrective action plan, the Department may deny	52026
expansion funding to the program or withdraw all or part of the	52027
funding to the program and establish a new eligible provider	52028
through a selection process established by the Department.	52029

(G) Each early childhood education program shall do all of	52030
the following:	52031

(1) Meet teacher qualification requirements prescribed by	52032
section 3301.311 of the Revised Code;	52033

(2) Align curriculum to the early learning content standards;

52034

(3) Meet any assessment requirements prescribed by section	52035
3301.0715 of the Revised Code that are applicable to the program;	52036

(4) Require teachers, except teachers enrolled and working to	52037
obtain a degree pursuant to section 3301.311 of the Revised Code,	52038
to attend a minimum of twenty hours every two years of	52039
professional development as prescribed by the Department regarding	52040
the implementation of early learning program guidelines for school	52041
readiness;	52042

(5) Document and report child progress;

52043

(6) Meet and report compliance with the early learning	52044
program guidelines for school readiness;	52045

(7) Participate in early language and literacy classroom	52046
observation evaluation studies.	52047

(H) This division applies only to early childhood education	52048
programs established on or after March 15, 2007.	52049

Per-pupil funding for programs subject to this division shall	52050
be sufficient to provide eligible children with services for	52051
one-half of the statewide average length of the school day, as	52052
determined by the Department, for one hundred eighty-two days each	52053
school year. Nothing in this section shall be construed to	52054
prohibit program providers from utilizing other funds to serve	52055
eligible children in programs that exceed the statewide average	52056
length of the school day or that exceed one hundred eighty-two	52057
days in a school year.	52058

(I) Each provider shall develop a sliding fee scale based on	52059
family incomes and shall charge families who earn more than the	52060
federal poverty guidelines for the early childhood education	52061
program.	52062

(J) If an early childhood education program voluntarily	52063
waives its right for funding, or has its funding eliminated for	52064
not meeting financial standards or the early learning program	52065
guidelines for school readiness, the provider shall transfer	52066
control of title to property, equipment, and remaining supplies	52067
obtained through the program to providers designated by the	52068
Department and return any unexpended funds to the Department along	52069
with any reports prescribed by the Department. The funding made	52070
available from a program that waives its right for funding or has	52071
its funding eliminated or reduced may be used by the Department	52072
for new grant awards or expansion grants. The Department may award	52073
new grants or expansion grants to eligible providers who apply.	52074
The eligible providers who apply must do so in accordance with the	52075
selection process established by the Department.	52076

(K) As used in this section, "early learning program	52077
guidelines for school readiness" means the guidelines established	52078
by the Department pursuant to division (C)(3) of Section 206.09.54	52079
of Am. Sub. H.B. 66 of the 126th General Assembly.	52080

Section 269.10.30. EDUCATOR TRAINING

52081

The foregoing appropriation item 200-410, Educator Training,	52082
shall be used to fund professional development programs in Ohio.	52083
The Department of Education shall, when possible, incorporate	52084
cultural competency as a component of professional development and	52085
actively promote the development of cultural competency in the	52086
operation of its professional development programs. As used in	52087
this section, "cultural competency" has the meaning specified by	52088
the Educator Standards Board under section 3319.61 of the Revised	52089
Code.	52090

Of the foregoing appropriation item 200-410, Educator	52091
Training, up to $9,250,000 in fiscal year 2008 and up to	52092
$10,250,000 in fiscal year 2009 shall be used by the Department of	52093
Education to provide grants to pay $2,225 of the application fee	52094
in order to assist teachers from public and chartered nonpublic	52095
schools applying for the first time to the National Board for	52096
Professional Teaching Standards for professional teaching	52097
certificates or licenses that the board offers. These moneys shall	52098
be used to pay up to the first 400 applications in each fiscal	52099
year received by the Department. This set aside shall also be used	52100
to recognize and reward teachers who become certified by the	52101
National Board for Professional Teaching Standards under section	52102
3319.55 of the Revised Code. Up to $300,000 in each fiscal year of	52103
this set aside may be used by the Department to pay for costs	52104
associated with activities to support candidates through the	52105
application and certification process. Up to $39,500 of this set	52106
aside in each fiscal year may be used to support the application	52107
fee for candidates participating in the Take One program for	52108
beginning teachers in years two and three.	52109

Of the foregoing appropriation item 200-410, Educator	52110
Training, up to $8,715,817 in each fiscal year shall be allocated	52111
for entry year teacher programs. These funds shall be used to	52112
support mentoring services and performance assessments of	52113
beginning teachers in school districts and chartered nonpublic	52114
schools.	52115

Of the foregoing appropriation item 200-410, Educator	52116
Training, up to $200,000 in each fiscal year shall be used to	52117
provide technical assistance and grants for districts to develop	52118
local knowledge/skills-based compensation systems. Each district	52119
receiving grants shall issue an annual report to the Department of	52120
Education detailing the use of the funds and the impact of the	52121
system developed by the district.	52122

Of the foregoing appropriation item 200-410, Educator	52123
Training, up to $350,000 in each fiscal year shall be used for	52124
training and professional development of school administrators,	52125
school treasurers, and school business officials.	52126

Of the foregoing appropriation item 200-410, Educator	52127
Training, up to $63,000 in each fiscal year shall be used to	52128
support the Ohio University Leadership Program.	52129

Of the foregoing appropriation item 200-410, Educator	52130
Training, $250,000 in each fiscal year shall be used to support	52131
the Ohio School Leadership Institute.	52132

Section 269.10.40. CAREER-TECHNICAL EDUCATION MATCH

52133

The foregoing appropriation item 200-416, Career-Technical	52134
Education Match, shall be used by the Department of Education to	52135
provide vocational administration matching funds under 20 U.S.C.	52136
2311.	52137

COMPUTER/APPLICATION/NETWORK DEVELOPMENT

52138

The foregoing appropriation item 200-420,	52139
Computer/Application/Network Development, shall be used to support	52140
the development and implementation of information technology	52141
solutions designed to improve the performance and services of the	52142
Department of Education. Funds may be used for personnel,	52143
maintenance, and equipment costs related to the development and	52144
implementation of these technical system projects. Implementation	52145
of these systems shall allow the Department to provide greater	52146
levels of assistance to school districts and to provide more	52147
timely information to the public, including school districts,	52148
administrators, and legislators. Funds may also be used to support	52149
data-driven decision-making and differentiated instruction, as	52150
well as to communicate academic content standards and curriculum	52151
models to schools through web-based applications.	52152

Section 269.10.50. ALTERNATIVE EDUCATION PROGRAMS

52153

There is hereby created the Alternative Education Advisory	52154
Council, which shall consist of one representative from each of	52155
the following agencies: the Ohio Department of Education; the	52156
Department of Youth Services; the Ohio Department of Alcohol and	52157
Drug Addiction Services; the Department of Mental Health; the	52158
Office of the Governor or, at the Governor's discretion, the	52159
Office of the Lieutenant Governor; the Office of the Attorney	52160
General; and the Office of the Auditor of State.	52161

Of the foregoing appropriation item 200-421, Alternative	52162
Education Programs, up to $6,227,310 in each fiscal year shall be	52163
used for the renewal of successful implementation grants and for	52164
competitive matching grants to the 21 urban school districts as	52165
defined in division (O) of section 3317.02 of the Revised Code as	52166
it existed prior to July 1, 1998, and up to $6,161,074 in each	52167
fiscal year shall be used for the renewal of successful	52168
implementation grants and for competitive matching grants to rural	52169
and suburban school districts for alternative educational programs	52170
for existing and new at-risk and delinquent youth. Programs shall	52171
be focused on youth in one or more of the following categories:	52172
those who have been expelled or suspended, those who have dropped	52173
out of school or who are at risk of dropping out of school, those	52174
who are habitually truant or disruptive, or those on probation or	52175
on parole from a Department of Youth Services facility. Grants	52176
shall be awarded according to the criteria established by the	52177
Alternative Education Advisory Council in 1999. Grants shall be	52178
awarded only to programs in which the grant will not serve as the	52179
program's primary source of funding. These grants shall be	52180
administered by the Department of Education.	52181

The Department of Education may waive compliance with any	52182
minimum education standard established under section 3301.07 of	52183
the Revised Code for any alternative school that receives a grant	52184
under this section on the grounds that the waiver will enable the	52185
program to more effectively educate students enrolled in the	52186
alternative school.	52187

Of the foregoing appropriation item 200-421, Alternative	52188
Education Programs, up to $422,281 in each fiscal year may be used	52189
for program administration, monitoring, technical assistance,	52190
support, research, and evaluation. Any unexpended balance may be	52191
used to provide additional matching grants to urban, suburban, or	52192
rural school districts as outlined above.	52193

Of the foregoing appropriation item 200-421, Alternative	52194
Education Programs, $247,000 in each fiscal year shall be used to	52195
contract with the Center for Learning Excellence at The Ohio State	52196
University to provide technical support for the project and the	52197
completion of formative and summative evaluation of the grants.	52198

Of the foregoing appropriation item 200-421, Alternative	52199
Education Programs, $75,000 in each fiscal year shall be used to	52200
support the Toledo Tech Academy.	52201

Of the foregoing appropriation item 200-421, Alternative	52202
Education Programs, $100,000 in each fiscal year shall be used for	52203
the Youth Opportunities United, Inc.	52204

Of the foregoing appropriation item 200-421, Alternative	52205
Education Programs, $250,000 in each fiscal year shall be used to	52206
support Amer-I-Can.	52207

Section 269.10.60. SCHOOL MANAGEMENT ASSISTANCE

52208

Of the foregoing appropriation item 200-422, School	52209
Management Assistance, up to $815,000 in each fiscal year may be	52210
used by the Department of Education for expenses incurred by the	52211
Auditor of State in consultation with the Department for the	52212
Auditor of State's role relating to fiscal caution, fiscal watch,	52213
and fiscal emergency activities as defined in Chapter 3316. of the	52214
Revised Code and may also be used to conduct performance audits	52215
with priority given to districts in fiscal distress. Expenses	52216
include duties related to the completion of performance audits for	52217
school districts that the Superintendent of Public Instruction	52218
determines are employing fiscal practices or experiencing	52219
budgetary conditions that could produce a state of fiscal watch or	52220
fiscal emergency.	52221

Of the foregoing appropriation item 200-422, School	52222
Management Assistance, up to $250,000 in each fiscal year shall be	52223
used by the Department of Education to work with school districts	52224
and entities that serve school districts to develop and deploy	52225
analytical tools that allow districts and other stakeholders to	52226
analyze more thoroughly district spending patterns in order to	52227
promote more effective and efficient use of resources. Quarterly	52228
updates of the progress for implementation of these tools shall be	52229
provided to the Governor, and the Department shall give due	52230
diligence to implementing these tools in the shortest reasonable	52231
timeline.	52232

The remainder of foregoing appropriation item 200-422, School	52233
Management Assistance, shall be used by the Department of	52234
Education to provide fiscal technical assistance and inservice	52235
education for school district management personnel and to	52236
administer, monitor, and implement the fiscal watch and fiscal	52237
emergency provisions under Chapter 3316. of the Revised Code.	52238

Section 269.10.70. POLICY ANALYSIS

52239

The foregoing appropriation item 200-424, Policy Analysis,	52240
shall be used by the Department of Education to support a system	52241
of administrative, statistical, and legislative education	52242
information to be used for policy analysis. Staff supported by	52243
this appropriation shall administer the development of reports,	52244
analyses, and briefings to inform education policymakers of	52245
current trends in education practice, efficient and effective use	52246
of resources, and evaluation of programs to improve education	52247
results. The database shall be kept current at all times. These	52248
research efforts shall be used to supply information and analysis	52249
of data to the General Assembly and other state policymakers,	52250
including the Office of Budget and Management and the Legislative	52251
Service Commission.	52252

The Department of Education may use funding from this	52253
appropriation item to purchase or contract for the development of	52254
software systems or contract for policy studies that will assist	52255
in the provision and analysis of policy-related information.	52256
Funding from this appropriation item also may be used to monitor	52257
and enhance quality assurance for research-based policy analysis	52258
and program evaluation to enhance the effective use of education	52259
information to inform education policymakers.	52260

TECH PREP CONSORTIA SUPPORT

52261

The foregoing appropriation item 200-425, Tech Prep Consortia	52262
Support, shall be used by the Department of Education to support	52263
state-level activities designed to support, promote, and expand	52264
tech prep programs. Use of these funds shall include, but not be	52265
limited to, administration of grants, program evaluation,	52266
professional development, curriculum development, assessment	52267
development, program promotion, communications, and statewide	52268
coordination of tech prep consortia.	52269

Section 269.10.80. OHIO EDUCATIONAL COMPUTER NETWORK

52270

The foregoing appropriation item 200-426, Ohio Educational	52271
Computer Network, shall be used by the Department of Education to	52272
maintain a system of information technology throughout Ohio and to	52273
provide technical assistance for such a system in support of the	52274
State Education Technology Plan under section 3301.07 of the	52275
Revised Code.	52276

Of the foregoing appropriation item 200-426, Ohio Educational	52277
Computer Network, up to $18,136,691 in each fiscal year shall be	52278
used by the Department of Education to support connection of all	52279
public school buildings and participating chartered nonpublic	52280
schools to the state's education network, to each other, and to	52281
the Internet. In each fiscal year the Department of Education	52282
shall use these funds to assist information technology centers or	52283
school districts with the operational costs associated with this	52284
connectivity. The Department of Education shall develop a formula	52285
and guidelines for the distribution of these funds to information	52286
technology centers or individual school districts. As used in this	52287
section, "public school building" means a school building of any	52288
city, local, exempted village, or joint vocational school	52289
district, any community school established under Chapter 3314. of	52290
the Revised Code, any educational service center building used for	52291
instructional purposes, the Ohio School for the Deaf and the Ohio	52292
School for the Blind, or high schools chartered by the Ohio	52293
Department of Youth Services and high schools operated by Ohio	52294
Department of Rehabilitation and Corrections' Ohio Central School	52295
System.	52296

Of the foregoing appropriation item 200-426, Ohio Educational	52297
Computer Network, up to $2,469,223 in each fiscal year shall be	52298
used for the Union Catalog and InfOhio Network and to support the	52299
provision of electronic resources with priority given to resources	52300
that support the teaching of state academic content standards in	52301
all public schools. Consideration shall be given by the Department	52302
of Education to coordinating the allocation of these moneys with	52303
the efforts of Libraries Connect Ohio, whose members include	52304
OhioLINK, the Ohio Public Information Network, and the State	52305
Library of Ohio.	52306

Of the foregoing appropriation item 200-426, Ohio Educational	52307
Computer Network, up to $8,338,468 in each fiscal year shall be	52308
used, through a formula and guidelines devised by the Department,	52309
to subsidize the activities of designated information technology	52310
centers, as defined by State Board of Education rules, to provide	52311
school districts and chartered nonpublic schools with	52312
computer-based student and teacher instructional and	52313
administrative information services, including approved	52314
computerized financial accounting, and to ensure the effective	52315
operation of local automated administrative and instructional	52316
systems.	52317

The remainder of appropriation item 200-426, Ohio Educational	52318
Computer Network, shall be used to support development,	52319
maintenance, and operation of a network of uniform and compatible	52320
computer-based information and instructional systems. This	52321
technical assistance shall include, but not be restricted to,	52322
development and maintenance of adequate computer software systems	52323
to support network activities. In order to improve the efficiency	52324
of network activities, the Department and information technology	52325
centers may jointly purchase equipment, materials, and services	52326
from funds provided under this appropriation for use by the	52327
network and, when considered practical by the Department, may	52328
utilize the services of appropriate state purchasing agencies.	52329

Section 269.10.90. ACADEMIC STANDARDS

52330

Of the foregoing appropriation item 200-427, Academic	52331
Standards, up to $747,912 in each fiscal year shall be used to	52332
provide funds to school districts that have one or more teachers	52333
participating in the teachers-on-loan program.	52334

Of the foregoing appropriation item 200-427, Academic	52335
Standards, $150,000 in each fiscal year shall be used by the	52336
Department in combination with funding earmarked for this purpose	52337
in the Board of Regents' budget under appropriation item 235-321,	52338
Operating Expenses. Such funding shall be used to support Ohio's	52339
Partnership for Continued Learning at the direction of the Office	52340
of the Governor. Ohio's Partnership for Continued Learning	52341
replaces and broadens the former Joint Council of the Department	52342
of Education and the Board of Regents. The Partnership shall	52343
advise and make recommendations to promote collaboration among	52344
relevant state entities in an effort to help local communities	52345
develop coherent and successful "P-16" learning systems. The	52346
Governor, or the Governor's designee, shall serve as the	52347
chairperson.	52348

Of the foregoing appropriation item 200-427, Academic	52349
Standards, $1,000,000 in each fiscal year shall be used for	52350
Project Lead the Way leadership and management oversight and	52351
initial and continuing support of Project Lead the Way workforce	52352
development programs in participating school districts.	52353

Of the foregoing appropriation item 200-427, Academic	52354
Standards, up to $2,600,000 in each fiscal year shall be used for	52355
mathematics initiatives that include, but are not limited to,	52356
intensive teacher professional development institutes that focus	52357
on classroom implementation of the mathematics standards.	52358

Of the foregoing appropriation item 200-427, Academic	52359
Standards, $200,000 in each fiscal year may be used to support the	52360
Ohio Resource Center for Math and Science.	52361

Of the foregoing appropriation item 200-427, Academic	52362
Standards, up to $282,000 in each fiscal year shall be used for	52363
the JASON Expedition project that provides statewide access to	52364
JASON Expedition content. Funds shall be used to provide	52365
professional development training for teachers participating in	52366
the project, statewide management, and a seventy-five per cent	52367
subsidy for statewide licensing of JASON Expedition content with	52368
priority given to content aligned with state academic content	52369
standards for approximately 90,000 middle school students	52370
statewide.	52371

Of the foregoing appropriation item 200-427, Academic	52372
Standards, $285,000 in each fiscal year shall be used for science	52373
initiatives that include, but are not limited to, the Ohio Science	52374
Institute (OSCI).	52375

The remainder of appropriation item 200-427, Academic	52376
Standards, shall be used by the Department of Education to	52377
develop, revise, and communicate to school districts academic	52378
content standards and curriculum models. The Department may also	52379
use the remainder to develop program models that demonstrate how	52380
the academic content standards can be implemented in high school	52381
classrooms and to offer online continuing education courses.	52382

Section 269.20.10. SCHOOL IMPROVEMENT INITIATIVES

52383

Of the foregoing appropriation item 200-431, School	52384
Improvement Initiatives, $450,000 in each fiscal year shall be	52385
used for Ohio's Rural Appalachian Leadership Development	52386
Initiative.	52387

Of the foregoing appropriation item 200-431, School	52388
Improvement Initiatives, up to $601,165 in each fiscal year shall	52389
be used by the Department of Education to support educational	52390
media centers to provide Ohio public schools with instructional	52391
resources and services with priority given to resources and	52392
services aligned with state academic content standards.	52393

Of the foregoing appropriation item 200-431, School	52394
Improvement Initiatives, up to $800,000 in each fiscal year shall	52395
be used to support districts in the development and implementation	52396
of their continuous improvement plans as required in section	52397
3302.04 of the Revised Code and to provide technical assistance	52398
and support in accordance with Title I of the "No Child Left	52399
Behind Act of 2001," 115 Stat. 1425, 20 U.S.C. 6317. This funding	52400
shall serve as a supplement to the funds provided under division	52401
(J) of section 3317.029 of the Revised Code, which represents	52402
state support for school improvement initiatives that assist	52403
school districts in closing the achievement gap.	52404

Of the foregoing appropriation item 200-431, School	52405
Improvement Initiatives, up to $315,000 in each fiscal year shall	52406
be used to reduce the dropout rate by addressing the academic and	52407
social problems of inner-city students through Project GRAD.	52408

Of the foregoing appropriation item 200-431, School	52409
Improvement Initiatives, $3,503,985 in fiscal year 2008 and	52410
$4,253,985 in fiscal year 2009 shall be used in conjunction with	52411
funding provided in the Board of Regents' budget under	52412
appropriation item 235-434, College Readiness and Access, to	52413
create early college high schools, which are small, autonomous	52414
schools that blend high school and college into a coherent	52415
educational program. The funds shall be distributed according to	52416
guidelines established by the Department of Education and the	52417
Board of Regents.	52418

Of the foregoing appropriation item 200-431, School	52419
Improvement Initiatives, up to $4,935,000 in each fiscal year	52420
shall be used in partnership with nonprofit groups with expertise	52421
in converting existing large urban high schools into small,	52422
personalized high schools. Districts eligible for such funding	52423
include the Urban 21 high schools, as defined in division (O) of	52424
section 3317.02 of the Revised Code as it existed prior to July 1,	52425
1998.	52426

Of the foregoing appropriation item 200-431, School	52427
Improvement Initiatives, up to $65,000 in fiscal year 2008 shall	52428
be provided to Southern State Community College for the Pilot	52429
Post-Secondary Enrollment Options Program with Miami Trace High	52430
School.	52431

Of the foregoing appropriation item 200-431, School	52432
Improvement Initiatives, $1,000,000 in each fiscal year shall be	52433
used to support Jobs for Ohio Graduates (JOG). The Department of	52434
Education shall require a two-to-one match of local funding to	52435
state funding before releasing these funds to JOG.	52436

Of the foregoing appropriation item 200-431, School	52437
Improvement Initiatives, up to $600,000 in each fiscal year shall	52438
be used by the Department of Education to support start-up costs	52439
for gaining business and industry credentialing program	52440
accreditation and to support the development of a data collection	52441
system across the numerous industry test providers. Funds shall	52442
also be used to help subsidize the cost of student participation	52443
in industry assessments, provide research on industry assessments	52444
for alignment to industry-established content standards, provide	52445
professional development opportunities for educators, and prepare	52446
schools and adult centers to organize for credential alignment and	52447
delivery.	52448

Section 269.20.20. LITERACY IMPROVEMENT-PROFESSIONAL	52449
DEVELOPMENT	52450

Of the foregoing appropriation item 200-433, Literacy	52451
Improvement-Professional Development, up to $9,790,000 in each	52452
fiscal year shall be used for educator training in literacy for	52453
classroom teachers, administrators, and literacy specialists.	52454

Of the foregoing appropriation item 200-433, Literacy	52455
Improvement-Professional Development, up to $5,000,000 in each	52456
fiscal year shall be used to support literacy professional	52457
development partnerships between the Department of Education,	52458
higher education institutions, literacy networks, and school	52459
districts.	52460

Of the foregoing appropriation item 200-433, Literacy	52461
Improvement–Professional Development, up to $900,000 in each	52462
fiscal year shall be used by the Department of Education to fund	52463
the Reading Recovery Training Network, to cover the cost of	52464
release time for the teacher trainers, and to provide grants to	52465
districts to implement other reading improvement programs on a	52466
pilot basis. Funds from this set-aside also may be used to conduct	52467
evaluations of the impact and effectiveness of Reading Recovery	52468
and other reading improvement programs.	52469

The remainder of appropriation item 200-433, Literacy	52470
Improvement-Professional Development, shall be used by the	52471
Department of Education to provide administrative support of	52472
literacy professional development programs, but the Department may	52473
also use the remainder to contract with an external evaluator on	52474
the effectiveness of literacy professional development initiatives	52475
in the academic achievement of students.	52476

STUDENT ASSESSMENT

52477

The foregoing appropriation item 200-437, Student Assessment,	52478
shall be used to develop, field test, print, distribute, score,	52479
report results, and support other associated costs for the tests	52480
required under sections 3301.0710 and 3301.0711 of the Revised	52481
Code and for similar purposes as required by section 3301.27 of	52482
the Revised Code. If funds remain in this appropriation after	52483
these purposes have been fulfilled, the Department may use the	52484
remainder of the appropriation to develop end-of-course exams.	52485

Section 269.20.30. ACCOUNTABILITY/REPORT CARDS

52486

Of the foregoing appropriation item 200-439,	52487
Accountability/Report Cards, up to $3,028,540 in each fiscal year	52488
shall be used to train district and regional specialists and	52489
district educators in the use of the value-added progress	52490
dimension. This funding shall be used in consultation with a	52491
credible nonprofit organization with expertise in value-added	52492
progress dimensions.	52493

The remainder of appropriation item 200-439,	52494
Accountability/Report Cards, shall be used by the Department to	52495
incorporate a statewide pilot value-added progress dimension into	52496
performance ratings for school districts and for the development	52497
of an accountability system that includes the preparation and	52498
distribution of school report cards under section 3302.03 of the	52499
Revised Code.	52500

CHILD CARE LICENSING

52501

The foregoing appropriation item 200-442, Child Care	52502
Licensing, shall be used by the Department of Education to license	52503
and to inspect preschool and school-age child care programs under	52504
sections 3301.52 to 3301.59 of the Revised Code.	52505

Section 269.20.40. EDUCATION MANAGEMENT INFORMATION SYSTEM

52506

The foregoing appropriation item 200-446, Education	52507
Management Information System, shall be used by the Department of	52508
Education to improve the Education Management Information System	52509
(EMIS).	52510

Of the foregoing appropriation item 200-446, Education	52511
Management Information System, up to $1,338,620 in fiscal year	52512
2008 and up to $1,372,085 in fiscal year 2009 shall be distributed	52513
to designated information technology centers for costs relating to	52514
processing, storing, and transferring data for the effective	52515
operation of the EMIS. These costs may include, but are not	52516
limited to, personnel, hardware, software development,	52517
communications connectivity, professional development, and support	52518
services, and to provide services to participate in the State	52519
Education Technology Plan pursuant to section 3301.07 of the	52520
Revised Code.	52521

Of the foregoing appropriation item 200-446, Education	52522
Management Information System, up to $8,256,569 in fiscal year	52523
2008 and up to $8,462,984 in fiscal year 2009 shall be distributed	52524
on a per-pupil basis to school districts, community schools	52525
established under Chapter 3314. of the Revised Code, educational	52526
service centers, joint vocational school districts, and any other	52527
education entity that reports data through EMIS. From this	52528
funding, each school district or community school established	52529
under Chapter 3314. of the Revised Code with enrollment greater	52530
than 100 students and each vocational school district shall	52531
receive a minimum of $5,000 in each fiscal year. Each school	52532
district or community school established under Chapter 3314. of	52533
the Revised Code with enrollment between one and one hundred and	52534
each educational service center and each county board of MR/DD	52535
that submits data through EMIS shall receive $3,000 in each fiscal	52536
year. This subsidy shall be used for costs relating to reporting,	52537
processing, storing, transferring, and exchanging data necessary	52538
to meet requirements of the Department of Education's data system.	52539

The remainder of appropriation item 200-446, Education	52540
Management Information System, shall be used to develop and	52541
support a common core of data definitions and standards as adopted	52542
by the Education Data Advisory Council, including the ongoing	52543
development and maintenance of the data dictionary and data	52544
warehouse. In addition, such funds shall be used to support the	52545
development and implementation of data standards and the design,	52546
development, and implementation of a new data exchange system.	52547

Any provider of software meeting the standards approved by	52548
the Education Data Advisory Council shall be designated as an	52549
approved vendor and may enter into contracts with local school	52550
districts, community schools, information technology centers, or	52551
other educational entities for the purpose of collecting and	52552
managing data required under Ohio's education management	52553
information system (EMIS) laws. On an annual basis, the Department	52554
of Education shall convene an advisory group of school districts,	52555
community schools, and other education-related entities to review	52556
the Education Management Information System data definitions and	52557
data format standards. The advisory group shall recommend changes	52558
and enhancements based upon surveys of its members, education	52559
agencies in other states, and current industry practices, to	52560
reflect best practices, align with federal initiatives, and meet	52561
the needs of school districts.	52562

School districts and community schools not implementing a	52563
common and uniform set of data definitions and data format	52564
standards for Education Management Information System purposes	52565
shall have all EMIS funding withheld until they are in compliance.	52566

Section 269.20.50. GED TESTING

52567

The foregoing appropriation item 200-447, GED Testing, shall	52568
be used to provide General Educational Development (GED) testing	52569
at no cost to applicants, under rules adopted by the State Board	52570
of Education. The Department of Education shall reimburse school	52571
districts and community schools, created under Chapter 3314. of	52572
the Revised Code, for a portion of the costs incurred in providing	52573
summer instructional or intervention services to students who have	52574
not graduated because of their inability to pass one or more parts	52575
of the state's Ohio Graduation Test or ninth grade proficiency	52576
test. School districts shall also provide such services to	52577
students who are residents of the district under section 3313.64	52578
of the Revised Code, but who are enrolled in chartered, nonpublic	52579
schools. The services shall be provided in the public school, in	52580
nonpublic schools, in public centers, or in mobile units located	52581
on or off the nonpublic school premises. No school district shall	52582
provide summer instructional or intervention services to nonpublic	52583
school students as authorized by this section unless such services	52584
are available to students attending the public schools within the	52585
district. No school district shall provide services for use in	52586
religious courses, devotional exercises, religious training, or	52587
any other religious activity. Chartered, nonpublic schools shall	52588
pay for any unreimbursed costs incurred by school districts for	52589
providing summer instruction or intervention services to students	52590
enrolled in chartered, nonpublic schools. School districts may	52591
provide these services to students directly or contract with	52592
postsecondary or nonprofit community-based institutions in	52593
providing instruction.	52594

Section 269.20.60. EDUCATOR PREPARATION

52595

Of the foregoing appropriation item 200-448, Educator	52596
Preparation, $100,000 in each fiscal year shall be provided in	52597
conjunction with funding in the Board of Regents' budget under	52598
appropriation item 235-435, Teacher Improvement Initiatives, to	52599
the Teacher Quality Partnership project. The Teacher Quality	52600
Partnership is a research consortium of Ohio's fifty colleges and	52601
universities providing teacher preparation programs. Funds shall	52602
be used to support a comprehensive longitudinal study of the	52603
preparation, in-school support, and effectiveness of Ohio	52604
teachers.	52605

Of the foregoing appropriation item 200-448, Educator	52606
Preparation, up to $1,551,000 in each fiscal year may be used by	52607
the Department to support the Educator Standards Board under	52608
section 3319.61 of the Revised Code as it develops and recommends	52609
to the State Board of Education standards for educator training	52610
and standards for teacher and other school leadership positions.	52611
Any remaining funds may be used by the Department to develop	52612
alternative preparation programs for school leaders.	52613

Section 269.20.70. COMMUNITY SCHOOLS

52614

Of the foregoing appropriation item 200-455, Community	52615
Schools, up to $1,308,661 in each fiscal year may be used by the	52616
Department of Education for additional services and	52617
responsibilities under section 3314.11 of the Revised Code.	52618

Of the foregoing appropriation item 200-455, Community	52619
Schools, up to $225,000 in each fiscal year may be used by the	52620
Department of Education for developing and conducting training	52621
sessions for sponsors and prospective sponsors of community	52622
schools as prescribed in division (A)(1) of section 3314.015 of	52623
the Revised Code. In developing the training sessions, the	52624
Department shall collect and disseminate examples of best	52625
practices used by sponsors of independent charter schools in Ohio	52626
and other states.	52627

Section 269.20.80. PUPIL TRANSPORTATION

52628

Of the foregoing appropriation item 200-502, Pupil	52629
Transportation, up to $830,624 in fiscal year 2008 and up to	52630
$838,930 in fiscal year 2009 may be used by the Department of	52631
Education for training prospective and experienced school bus	52632
drivers in accordance with training programs prescribed by the	52633
Department. Up to $59,870,514 in fiscal year 2008 and up to	52634
$60,469,220 in fiscal year 2009 may be used by the Department of	52635
Education for special education transportation reimbursements to	52636
school districts and county MR/DD boards for transportation	52637
operating costs as provided in division (J) of section 3317.024 of	52638
the Revised Code. The remainder of appropriation item 200-502,	52639
Pupil Transportation, shall be used for the state reimbursement of	52640
public school districts' costs in transporting pupils to and from	52641
the school they attend in accordance with the district's policy,	52642
State Board of Education standards, and the Revised Code.	52643

Notwithstanding the distribution formula outlined in division	52644
(D) of section 3317.022 of the Revised Code, each school district	52645
shall receive an additional one per cent in state funding for	52646
transportation in fiscal year 2008 over what was received in	52647
fiscal year 2007, and the local share of transportation costs that	52648
is used in the calculation of the charge-off supplement and excess	52649
cost supplement for each school district in fiscal year 2008 shall	52650
be increased by one per cent from that used in calculations in	52651
fiscal year 2007.	52652

Notwithstanding the distribution formula outlined in division	52653
(D) of section 3317.022 of the Revised Code, each school district	52654
shall receive an additional one per cent in state funding for	52655
transportation in fiscal year 2009 over what was received in	52656
fiscal year 2008, and the local share of transportation costs that	52657
is used in the calculation of the charge-off supplement and excess	52658
cost supplement for each school district in fiscal year 2009 shall	52659
be increased by one per cent from that used in calculations in	52660
fiscal year 2008.	52661

School districts not receiving state funding for	52662
transportation in fiscal year 2005 under division (D) of section	52663
3317.022 of the Revised Code shall not receive state funding for	52664
transportation in fiscal year 2008 or fiscal year 2009.	52665

Section 269.20.90. BUS PURCHASE ALLOWANCE

52666

The foregoing appropriation item 200-503, Bus Purchase	52667
Allowance, shall be distributed to school districts, educational	52668
service centers, and county MR/DD boards pursuant to rules adopted	52669
under section 3317.07 of the Revised Code. Up to 28 per cent of	52670
the amount appropriated may be used to reimburse school districts	52671
and educational service centers for the purchase of buses to	52672
transport handicapped and nonpublic school students and to county	52673
MR/DD boards, the Ohio School for the Deaf, and the Ohio School	52674
for the Blind for the purchase of buses to transport handicapped	52675
students.	52676

SCHOOL LUNCH MATCH

52677

The foregoing appropriation item 200-505, School Lunch Match,	52678
shall be used to provide matching funds to obtain federal funds	52679
for the school lunch program.	52680

Section 269.30.10.  ADULT LITERACY EDUCATION

52681

The foregoing appropriation item 200-509, Adult Literacy	52682
Education, shall be used to support adult basic and literacy	52683
education instructional programs and the State Literacy Resource	52684
Center Program.	52685

Of the foregoing appropriation item 200-509, Adult Literacy	52686
Education, up to $488,037 in each fiscal year shall be used for	52687
the support and operation of the State Literacy Resource Center.	52688

Of the foregoing appropriation item 200-509, Adult Literacy	52689
Education, up to $175,000 in each fiscal year shall be used for	52690
state reimbursement to school districts for adult high school	52691
continuing education programs under section 3313.531 of the	52692
Revised Code or for costs associated with awarding adult high	52693
school diplomas under section 3313.611 of the Revised Code.	52694

Of the foregoing appropriation item 200-509, Adult Literacy	52695
Education, $130,000 in each fiscal year shall be used to support	52696
initiatives for English as a Second Language programs. Funding	52697
shall be distributed as follows: $60,000 in each fiscal year for	52698
Jewish Community Federation of Cleveland, $25,000 in each fiscal	52699
year for Yassenoff Jewish Community Center of Columbus, $30,000 in	52700
each fiscal year for Jewish Family Services of Cincinnati, and	52701
$15,000 in each fiscal year for Jewish Family Services of Dayton.	52702

The remainder of the appropriation shall be used to continue	52703
to satisfy the state match and maintenance of effort requirements	52704
for the support and operation of the Department of	52705
Education-administered instructional grant program for adult basic	52706
and literacy education in accordance with the Department's state	52707
plan for adult basic and literacy education as approved by the	52708
State Board of Education and the Secretary of the United States	52709
Department of Education.	52710

Section 269.30.20. AUXILIARY SERVICES

52711

The foregoing appropriation item 200-511, Auxiliary Services,	52712
shall be used by the Department of Education for the purpose of	52713
implementing section 3317.06 of the Revised Code. Of the	52714
appropriation, up to $2,060,000 in fiscal year 2008 and up to	52715
$2,121,800 in fiscal year 2009 may be used for payment of the	52716
Post-Secondary Enrollment Options Program for nonpublic students.	52717
Notwithstanding section 3365.10 of the Revised Code, the	52718
Department, in accordance with Chapter 119. of the Revised Code,	52719
shall adopt rules governing the distribution method for these	52720
funds.	52721

POSTSECONDARY ADULT CAREER-TECHNICAL EDUCATION

52722

Of the foregoing appropriation item 200-514, Postsecondary	52723
Adult Career-Technical Education, $40,000 in each fiscal year	52724
shall be used for statewide coordination of the activities of the	52725
Ohio Young Farmers.	52726

The remainder of appropriation item 200-514, Postsecondary	52727
Adult Career-Technical Education, shall be used by the State Board	52728
of Education to provide postsecondary adult career-technical	52729
education under sections 3313.52 and 3313.53 of the Revised Code.	52730

Section 269.30.30. GIFTED PUPIL PROGRAM

52731

The foregoing appropriation item 200-521, Gifted Pupil	52732
Program, shall be used for gifted education units not to exceed	52733
1,110 in each fiscal year under division (L) of section 3317.024	52734
and division (F) of section 3317.05 of the Revised Code.	52735

Of the foregoing appropriation item 200-521, Gifted Pupil	52736
Program, up to $4,747,000 in fiscal year 2008 and up to $4,794,470	52737
in fiscal year 2009 may be used as an additional supplement for	52738
identifying gifted students under Chapter 3324. of the Revised	52739
Code.	52740

Of the foregoing appropriation item 200-521, Gifted Pupil	52741
Program, the Department of Education may expend up to $1,015,858	52742
in fiscal year 2008 and up to $1,026,017 in fiscal year 2009 for	52743
the Summer Honors Institute, including funding for the Martin	52744
Essex Program, which shall be awarded through a request for	52745
proposals process.	52746

NONPUBLIC ADMINISTRATIVE COST REIMBURSEMENT

52747

The foregoing appropriation item 200-532, Nonpublic	52748
Administrative Cost Reimbursement, shall be used by the Department	52749
of Education for the purpose of implementing section 3317.063 of	52750
the Revised Code.	52751

Section 269.30.40. OHIO CORE SUPPORT

52752

The foregoing appropriation item 200-536, Ohio Core Support,	52753
shall be used to support implementation of the Ohio Core Program,	52754
which requires establishment of a rigorous high school curriculum	52755
for Ohio's high school students. The Department of Education and	52756
the Board of Regents shall jointly plan and work collaboratively	52757
to guide implementation of the Ohio Core Program and to administer	52758
funding to eligible school districts, fiscal agents, individuals,	52759
and programs as determined under this section. The Department of	52760
Education and the Board of Regents shall jointly agree to the	52761
awarding and expenditure of funds appropriated in this section.	52762

Of the foregoing appropriation item 200-536, Ohio Core	52763
Support, up to $2,600,000 in fiscal year 2008 and up to $3,000,000	52764
in fiscal year 2009 shall be used to support the participation of	52765
teachers licensed in Ohio and mid-career professionals not	52766
currently employed by a school district or chartered nonpublic	52767
school or licensed to teach at the primary or secondary education	52768
levels in a twelve-month intensive training program that leads to	52769
teacher licensure in a laboratory-based science, advanced	52770
mathematics, or foreign language field at the secondary education	52771
level and employment with an Ohio school district school	52772
designated by the Department of Education as a hard to staff	52773
school.	52774

Of the foregoing appropriation item 200-536, Ohio Core	52775
Support, up to $1,500,000 in fiscal year 2008 and up to $2,100,000	52776
in fiscal year 2009 shall be used to support alternative teacher	52777
licensure programs developed by educational service centers in	52778
partnership with institutions of higher education. Participants	52779
shall be teachers licensed in Ohio and mid-career professionals	52780
not currently employed by a school district or chartered nonpublic	52781
school or licensed to teach at the primary or secondary education	52782
levels. Programs shall support teacher licensure in a	52783
laboratory-based science, advanced mathematics, or foreign	52784
language field at the secondary education level and employment	52785
with an Ohio school district school designated by the Department	52786
of Education as a hard to staff school. The programs shall be	52787
consistent with the State Board of Education's alternative	52788
licensure requirements.	52789

Of the foregoing appropriation item 200-536, Ohio Core	52790
Support, up to $3,600,000 in each fiscal year shall be distributed	52791
to school districts to be used to obtain contracted instruction	52792
with institutions of higher education in advanced mathematics,	52793
laboratory-based science, or foreign language for public high	52794
school students that results in dual high school and college	52795
credit. Costs shall be based upon reasonable expenses that	52796
institutions of higher education could incur for faculty,	52797
supplies, and other associated costs.	52798

Of the foregoing appropriation item 200-536, Ohio Core	52799
Support, up to $2,000,000 in fiscal year 2008 shall be used to	52800
support the National Aeronautics and Space Administration resource	52801
centers.	52802

Of the foregoing appropriation item 200-536, Ohio Core	52803
Support, up to $6,500,000 in fiscal year 2009 shall be distributed	52804
to public school districts for supplemental post-secondary	52805
enrollment option participation. The Partnership for Continued	52806
Learning shall make program recommendations by October 31, 2007,	52807
to the Department of Education and the Board of Regents to remove	52808
school district barriers to participation and improve the quality	52809
of course offerings, ensuring that credit earned at institutions	52810
of higher education will apply toward high school graduation	52811
requirements and associate or baccalaureate degree requirements.	52812
Eligibility requirements and grant amounts awarded to school	52813
districts in fiscal year 2009 for the program shall be determined	52814
by criteria established by the Department of Education in	52815
collaboration with the Board of Regents and the Partnership for	52816
Continued Learning.	52817

ENTRY YEAR FOR PRINCIPALS

52818

The foregoing appropriation item 200-537, Entry Year for	52819
Principals, shall be used to fund entry year principal programs.	52820
These funds shall be used to support mentoring services and	52821
performance assessments of beginning principals in school	52822
districts and chartered nonpublic schools.	52823

Section 269.30.50. SPECIAL EDUCATION ENHANCEMENTS

52824

Of the foregoing appropriation item 200-540, Special	52825
Education Enhancements, up to $2,906,875 in each fiscal year shall	52826
be used for home instruction for children with disabilities; up to	52827
$1,462,500 in each fiscal year shall be used for parent mentoring	52828
programs; and up to $2,783,396 in each fiscal year may be used for	52829
school psychology interns.	52830

Of the foregoing appropriation item 200-540, Special	52831
Education Enhancements, $750,000 in each fiscal year shall be used	52832
for the Out of School Initiative of Sinclair Community College.	52833

Of the foregoing appropriation item 200-540, Special	52834
Education Enhancements, $200,000 shall be used for a preschool	52835
special education pilot program in Bowling Green City School	52836
District.	52837

Of the foregoing appropriation item 200-540, Special	52838
Education Enhancements, $200,000 in each fiscal year shall be used	52839
to support the Bellefaire Jewish Children's Bureau.	52840

Of the foregoing appropriation item 200-540, Special	52841
Education Enhancements, up to $82,707,558 in fiscal year 2008 and	52842
up to $83,371,505 in fiscal year 2009 shall be distributed by the	52843
Department of Education to county boards of mental retardation and	52844
developmental disabilities, educational service centers, and	52845
school districts for preschool special education units and	52846
preschool supervisory units under section 3317.052 of the Revised	52847
Code. The Department may reimburse county boards of mental	52848
retardation and developmental disabilities, educational service	52849
centers, and school districts for related services as defined in	52850
rule 3301-51-11 of the Administrative Code, for preschool	52851
occupational and physical therapy services provided by a physical	52852
therapy assistant and certified occupational therapy assistant,	52853
and for an instructional assistant. To the greatest extent	52854
possible, the Department of Education shall allocate these units	52855
to school districts and educational service centers.	52856

No physical therapy assistant who provides services under	52857
this section shall fail to practice in accordance with the	52858
requirements of Chapter 4755. of the Revised Code and rules	52859
4755-27-02 and 4755-27-03 of the Administrative Code. No	52860
occupational therapy assistant who provides services under this	52861
section shall fail to practice in accordance with the requirements	52862
of Chapter 4755. of the Revised Code and rules 4755-7-01 and	52863
4755-7-03 of the Administrative Code.	52864

The Department of Education shall require school districts,	52865
educational service centers, and county MR/DD boards serving	52866
preschool children with disabilities to document child progress	52867
using research-based indicators prescribed by the Department and	52868
report results annually. The reporting dates and method shall be	52869
determined by the Department.	52870

Of the foregoing appropriation item 200-540, Special	52871
Education Enhancements, up to $315,000 in each fiscal year shall	52872
be used for the Collaborative Language and Literacy Instruction	52873
Project.	52874

The remainder of appropriation item 200-540, Special	52875
Education Enhancements, shall be used to fund special education	52876
and related services at county boards of mental retardation and	52877
developmental disabilities for eligible students under section	52878
3317.20 of the Revised Code and at institutions for eligible	52879
students under section 3317.201 of the Revised Code.	52880

Section 269.30.60. CAREER-TECHNICAL EDUCATION ENHANCEMENTS

52881

Of the foregoing appropriation item 200-545, Career-Technical	52882
Education Enhancements, up to $2,509,152 in fiscal year 2008 and	52883
up to $2,584,427 in fiscal year 2009 shall be used to fund	52884
career-technical education units at institutions.	52885

Of the foregoing appropriation item 200-545, Career-Technical	52886
Education Enhancements, up to $2,621,507 in each fiscal year shall	52887
be used by the Department of Education to fund competitive grants	52888
to tech prep consortia that expand the number of students enrolled	52889
in tech prep programs. These grant funds shall be used to directly	52890
support expanded tech prep programs, including equipment, provided	52891
to students enrolled in school districts, including joint	52892
vocational school districts, and affiliated higher education	52893
institutions.	52894

Of the foregoing appropriation item 200-545, Career-Technical	52895
Education Enhancements, up to $3,401,000 in each fiscal year shall	52896
be used by the Department of Education to support existing High	52897
Schools That Work (HSTW) sites, develop and support new sites,	52898
fund technical assistance, and support regional centers and middle	52899
school programs. The purpose of HSTW is to combine challenging	52900
academic courses and modern career-technical studies to raise the	52901
academic achievement of students. HSTW provides intensive	52902
technical assistance, focused staff development, targeted	52903
assessment services, and ongoing communications and networking	52904
opportunities.	52905

Of the foregoing appropriation item 200-545, Career-Technical	52906
Education Enhancements, up to $466,992 in each fiscal year shall	52907
be allocated for the Ohio Career Information System (OCIS) and	52908
used for the dissemination of career information data to public	52909
schools, libraries, rehabilitation centers, two- and four-year	52910
colleges and universities, and other governmental units.	52911

Of the foregoing appropriation item 200-545, Career-Technical	52912
Educational Enhancements, up to $300,000 in each fiscal year shall	52913
be used by the Department of Education to enable students in	52914
agricultural programs to enroll in a fifth quarter of instruction	52915
based on the agricultural education model of delivering work-based	52916
learning through supervised agricultural experience. The	52917
Department of Education shall determine eligibility criteria and	52918
the reporting process for the Agriculture 5th Quarter Project and	52919
shall fund as many programs as possible given the set aside.	52920

Section 269.30.70. FOUNDATION FUNDING

52921

The foregoing appropriation item 200-550, Foundation Funding,	52922
includes $75,000,000 in each fiscal year for the state education	52923
aid offset due to the change in public utility valuation as a	52924
result of Am. Sub. S.B. 3 and Am. Sub. S.B. 287, both of the 123rd	52925
General Assembly. This amount represents the total state education	52926
aid offset due to the valuation change for school districts and	52927
joint vocational school districts from all relevant appropriation	52928
line item sources. Upon certification by the Department of	52929
Education, in consultation with the Department of Taxation, to the	52930
Director of Budget and Management of the actual state aid offset,	52931
the cash transfer from Fund 053, appropriation item 200-900,	52932
School District Property Tax Replacement - Utility, shall be	52933
decreased or increased by the Director of Budget and Management to	52934
match the certification in accordance with section 5727.84 of the	52935
Revised Code.	52936

The foregoing appropriation item 200-550, Foundation Funding,	52937
includes $58,000,000 in fiscal year 2008 and $145,000,000 in	52938
fiscal year 2009 for the state education aid offset because of the	52939
changes in tangible personal property valuation as a result of Am.	52940
Sub. H.B. 66 of the 126th General Assembly. This amount represents	52941
the total state education aid offset because of the valuation	52942
change for school districts and joint vocational school districts	52943
from all relevant appropriation item sources. Upon certification	52944
by the Department of Education of the actual state education aid	52945
offset to the Director of Budget and Management, the cash transfer	52946
from Fund 047, appropriation item 200-909, School District	52947
Property Tax Replacement - Business, shall be decreased or	52948
increased by the Director of Budget and Management to match the	52949
certification in accordance with section 5751.21 of the Revised	52950
Code.	52951

Of the foregoing appropriation item 200-550, Foundation	52952
Funding, up to $425,000 shall be expended in each fiscal year for	52953
court payments under section 2151.357 of the Revised Code; an	52954
amount shall be available in each fiscal year to fund up to 225	52955
full-time equivalent approved GRADS teacher grants under division	52956
(N) of section 3317.024 of the Revised Code; an amount shall be	52957
available in each fiscal year to make payments to school districts	52958
under division (A)(3) of section 3317.022 of the Revised Code; an	52959
amount shall be available in each fiscal year to make payments to	52960
school districts under division (F) of section 3317.022 of the	52961
Revised Code; and up to $30,000,000 in each fiscal year shall be	52962
reserved for payments under sections 3317.026, 3317.027, and	52963
3317.028 of the Revised Code except that the Controlling Board may	52964
increase the $30,000,000 amount if presented with such a request	52965
from the Department of Education.	52966

Of the foregoing appropriation item 200-550, Foundation	52967
Funding, up to $19,770,000 in fiscal year 2008 and up to	52968
$20,545,200 in fiscal year 2009 shall be used to provide	52969
additional state aid to school districts for special education	52970
students under division (C)(3) of section 3317.022 of the Revised	52971
Code, except that the Controlling Board may increase these amounts	52972
if presented with such a request from the Department of Education	52973
at the final meeting of the fiscal year; up to $2,000,000 in each	52974
fiscal year shall be reserved for Youth Services tuition payments	52975
under section 3317.024 of the Revised Code; and up to $52,000,000	52976
in each fiscal year shall be reserved to fund the state	52977
reimbursement of educational service centers under section 3317.11	52978
of the Revised Code and the section of this act entitled	52979
"EDUCATIONAL SERVICE CENTERS FUNDING." An amount shall be	52980
available for special education weighted funding under division	52981
(C)(1) of section 3317.022 and division (D)(1) of section 3317.16	52982
of the Revised Code.	52983

Of the foregoing appropriation item 200-550, Foundation	52984
Funding, an amount shall be available in each fiscal year to be	52985
used by the Department of Education for transitional aid for	52986
school districts and joint vocational school districts. Funds	52987
shall be distributed under the sections of this act entitled	52988
"TRANSITIONAL AID FOR CITY, LOCAL, AND EXEMPTED VILLAGE SCHOOL	52989
DISTRICTS" and "TRANSITIONAL AID FOR JOINT VOCATIONAL SCHOOL	52990
DISTRICTS."	52991

Of the foregoing appropriation item 200-550, Foundation	52992
Funding, up to $1,000,000 in each fiscal year shall be used by the	52993
Department of Education for a program to pay for educational	52994
services for youth who have been assigned by a juvenile court or	52995
other authorized agency to any of the facilities described in	52996
division (A) of the section of this act entitled "PRIVATE	52997
TREATMENT FACILITY PROJECT."	52998

Of the foregoing appropriation item 200-550, Foundation	52999
Funding, up to $3,700,000 in each fiscal year shall be used for	53000
school breakfast programs. Of this amount, up to $900,000 shall be	53001
used in each fiscal year by the Department of Education to	53002
contract with the Children's Hunger Alliance to expand access to	53003
child nutrition programs consistent with the organization's	53004
continued ability to meet specified performance measures as	53005
detailed in the contract. Of this amount, the Children's Hunger	53006
Alliance shall use at least $150,000 in each fiscal year to	53007
subcontract with an appropriate organization or organizations to	53008
expand summer food participation in underserved areas of the	53009
state, consistent with those organizations' continued ability to	53010
meet specified performance measures as detailed in the	53011
subcontracts. The remainder of the appropriation shall be used to	53012
partially reimburse school buildings within school districts that	53013
are required to have a school breakfast program under section	53014
3313.813 of the Revised Code, at a rate decided by the Department.	53015

Of the foregoing appropriation item 200-550, Foundation	53016
Funding, up to $8,686,000 in fiscal year 2008 and up to $8,722,860	53017
in fiscal year 2009 shall be used to operate the school choice	53018
program in the Cleveland Municipal School District under sections	53019
3313.974 to 3313.979 of the Revised Code.	53020

Of the portion of the funds distributed to the Cleveland	53021
Municipal School District under this section, up to $11,901,887 in	53022
each fiscal year shall be used to operate the school choice	53023
program in the Cleveland Municipal School District under sections	53024
3313.974 to 3313.979 of the Revised Code.	53025

The remaining portion of appropriation item 200-550,	53026
Foundation Funding, shall be expended for the public schools of	53027
city, local, exempted village, and joint vocational school	53028
districts, including base-cost funding, special education speech	53029
service enhancement funding, career-technical education weight	53030
funding, career-technical education associated service funding,	53031
teacher training and experience funding, charge-off supplement,	53032
and excess cost supplement under sections 3317.022, 3317.023,	53033
3317.0216, and 3317.16 of the Revised Code.	53034

Appropriation items 200-502, Pupil Transportation, 200-521,	53035
Gifted Pupil Program, 200-540, Special Education Enhancements, and	53036
200-550, Foundation Funding, other than specific set-asides, are	53037
collectively used in each fiscal year to pay state formula aid	53038
obligations for school districts and joint vocational school	53039
districts under Chapter 3317. of the Revised Code. The first	53040
priority of these appropriation items, with the exception of	53041
specific set-asides, is to fund state formula aid obligations	53042
under Chapter 3317. of the Revised Code. It may be necessary to	53043
reallocate funds among these appropriation items or use excess	53044
funds from other general revenue fund appropriation items in the	53045
Department of Education's budget in each fiscal year, in order to	53046
meet state formula aid obligations. If it is determined that it is	53047
necessary to transfer funds among these appropriation items or to	53048
transfer funds from other General Revenue Fund appropriations in	53049
the Department of Education's budget to meet state formula aid	53050
obligations, the Department of Education shall seek approval from	53051
the Controlling Board to transfer funds as needed.	53052

Section 269.30.80. TRANSITIONAL AID FOR CITY, LOCAL, AND	53053
EXEMPTED VILLAGE SCHOOL DISTRICTS	53054

(A) The Department of Education shall distribute funds within	53055
appropriation item 200-550, Foundation Funding, for transitional	53056
aid in each fiscal year to each qualifying city, local, and	53057
exempted village school district.	53058

For fiscal years 2008 and 2009, the Department shall pay	53059
transitional aid to each city, local, or exempted village school	53060
district that experiences any decrease in its SF-3 funding for the	53061
current fiscal year from its transitional aid guarantee base for	53062
the current fiscal year. The amount of the transitional aid	53063
payment shall equal the difference between the district's SF-3	53064
funding for the current fiscal year and its transitional aid	53065
guarantee base for the current fiscal year.	53066

(B)(1) Subject to divisions (B)(3) and (4) of this section,	53067
the transitional aid guarantee base for each city, local, and	53068
exempted village school district for fiscal year 2008 equals the	53069
sum of the following as computed for fiscal year 2007, as	53070
determined based on the final reconciliation of data by the	53071
Department:	53072

(a) Base-cost funding under division (A) of section 3317.022	53073
of the Revised Code;	53074

(b) Special education and related services additional	53075
weighted funding under division (C)(1) of section 3317.022 of the	53076
Revised Code;	53077

(c) Speech services funding under division (C)(4) of section	53078
3317.022 of the Revised Code;	53079

(d) Vocational education additional weighted funding under	53080
division (E) of section 3317.022 of the Revised Code;	53081

(e) GRADS funding under division (N) of section 3317.024 of	53082
the Revised Code;	53083

(f) Adjustments for classroom teachers and educational	53084
service personnel under divisions (B), (C), and (D) of section	53085
3317.023 of the Revised Code;	53086

(g) Poverty-Based Assistance under section 3317.029 of the	53087
Revised Code;	53088

(h) Gifted education units under division (L) of section	53089
3317.024 and section 3317.05 of the Revised Code;	53090

(i) Transportation under Section 206.09.21 of Am. Sub. H.B.	53091
66 of the 126th General Assembly, as subsequently amended;	53092

(j) The excess cost supplement under division (F) of section	53093
3317.022 of the Revised Code;	53094

(k) Parity aid under section 3317.0217 of the Revised Code;

53095

(l) The reappraisal guarantee under division (C) of section	53096
3317.04 of the Revised Code;	53097

(m) The charge-off supplement under section 3317.0216 of the	53098
Revised Code;	53099

(n) Transitional aid under Section 206.09.39 of Am. Sub. H.B.	53100
66 of the 126th General Assembly, as subsequently amended.	53101

(2) Subject to divisions (B)(3) and (4) of this section, the	53102
transitional aid guarantee base for each city, local, and exempted	53103
village school district for fiscal year 2009 equals the sum of the	53104
following as computed for fiscal year 2008, as determined based on	53105
the final reconciliation of data by the Department:	53106

(a) Base-cost funding under division (A) of section 3317.022	53107
of the Revised Code;	53108

(b) Special education and related services additional	53109
weighted funding under division (C)(1) of section 3317.022 of the	53110
Revised Code;	53111

(c) Speech services funding under division (C)(4) of section	53112
3317.022 of the Revised Code;	53113

(d) Vocational education additional weighted funding under	53114
division (E) of section 3317.022 of the Revised Code;	53115

(e) GRADS funding under division (N) of section 3317.024 of	53116
the Revised Code;	53117

(f) Adjustments for classroom teachers and educational	53118
service personnel under divisions (B), (C), and (D) of section	53119
3317.023 of the Revised Code;	53120

(g) Gifted education units under division (L) of section	53121
3317.024 and section 3317.05 of the Revised Code;	53122

(h) Transportation under the section of this act entitled	53123
"PUPIL TRANSPORTATION";	53124

(i) The excess cost supplement under division (F) of section	53125
3317.022 of the Revised Code;	53126

(j) The charge-off supplement under section 3317.0216 of the	53127
Revised Code;	53128

(k) Transitional aid under this section.

53129

(3) The SF-3 funding for each fiscal year for each district	53130
is the sum of the amounts specified in divisions (B)(2)(a) to (k)	53131
of this section less any general revenue fund spending reductions	53132
ordered by the Governor under section 126.05 of the Revised Code.	53133

(4) Notwithstanding divisions (B)(1) and (2) of this section,	53134
if the Superintendent of Public Instruction determines that the	53135
transitional aid guarantee base for a given fiscal year reflects	53136
an error in formula ADM, the Superintendent may consult with the	53137
Director of Budget and Management, and then adjust the	53138
transitional aid guarantee base for that fiscal year.	53139

Section 269.30.90. TRANSITIONAL AID FOR JOINT VOCATIONAL	53140
SCHOOL DISTRICTS	53141

(A) The Department of Education shall distribute funds within	53142
appropriation item 200-550, Foundation Funding, for transitional	53143
aid in each fiscal year to each joint vocational school district	53144
that experiences a decrease in its joint vocational funding for	53145
the current fiscal year from the previous fiscal year. The	53146
Department shall distribute to each such district transitional aid	53147
in an amount equal to the decrease in the district's joint	53148
vocational funding from the previous fiscal year.	53149

(B)(1) Subject to divisions (B)(2) and (3) of this section, a	53150
district's joint vocational funding equals the sum of the	53151
following:	53152

(a) Base-cost funding under division (B) of section 3317.16	53153
of the Revised Code;	53154

(b) Special education and related services additional	53155
weighted funding under division (D)(1) of section 3317.16 of the	53156
Revised Code;	53157

(c) Speech services funding under division (D)(2) of section	53158
3317.16 of the Revised Code;	53159

(d) Vocational education additional weighted funding under	53160
division (C) of section 3317.16 of the Revised Code;	53161

(e) GRADS funding under division (N) of section 3317.024 of	53162
the Revised Code.	53163

(2) For purposes of calculating transitional aid for fiscal	53164
year 2008, a district's fiscal year 2007 joint vocational funding	53165
is the sum of the amounts described in divisions (B)(1)(a) to (e)	53166
of this section, plus any transitional aid paid to the district	53167
under Section 206.09.42 of Am. Sub. H.B. 66 of the 126th General	53168
Assembly, as subsequently amended, that the district actually	53169
received for fiscal year 2007, as determined based on the final	53170
reconciliation of data by the Department. For purposes of	53171
calculating transitional aid for fiscal year 2009, a district's	53172
fiscal year 2008 joint vocational funding is the sum of the	53173
amounts described in divisions (B)(1)(a) to (e) of this section,	53174
plus any transitional aid paid to the district under this section,	53175
that the district actually received for fiscal year 2008, as	53176
determined based on the final reconciliation of data by the	53177
Department.	53178

(3) The joint vocational funding for each fiscal year for	53179
each district is the sum of the amounts specified in divisions	53180
(B)(1)(a) to (e) and (B)(2) of this section less any general	53181
revenue fund spending reductions ordered by the Governor under	53182
section 126.05 of the Revised Code.	53183

Section 269.40.10. LITERACY IMPROVEMENT-CLASSROOM GRANTS

53184

The foregoing appropriation item 200-566, Literacy	53185
Improvement-Classroom Grants, shall be disbursed by the Department	53186
of Education to provide reading improvement grants to public	53187
schools in city, local, and exempted village school districts;	53188
community schools; and educational service centers serving	53189
kindergarten through twelfth grade students to help struggling	53190
students improve their reading skills, improve reading outcomes in	53191
low-performing schools, and help close achievement gaps.	53192

VIOLENCE PREVENTION AND SCHOOL SAFETY

53193

Of the foregoing appropriation item 200-578, Violence	53194
Prevention and School Safety, up to $224,250 in each fiscal year	53195
shall be used to fund a safe school center to provide resources	53196
for parents and for school and law enforcement personnel.	53197

The remainder of the appropriation shall be distributed based	53198
on guidelines developed by the Department of Education to enhance	53199
school safety. The guidelines shall provide a list of	53200
research-based best practices and programs from which local	53201
grantees shall select based on local needs. These practices shall	53202
include, but not be limited to, school resource officers and safe	53203
and drug free school coordinators and social-emotional development	53204
programs.	53205

Section 269.40.20. PROPERTY TAX ALLOCATION - EDUCATION

53206

The Superintendent of Public Instruction shall not request,	53207
and the Controlling Board shall not approve, the transfer of funds	53208
from appropriation item 200-901, Property Tax Allocation -	53209
Education, to any other appropriation item.	53210

The appropriation item 200-901, Property Tax Allocation -	53211
Education, is appropriated to pay for the state's costs incurred	53212
because of the homestead exemption and the property tax rollback.	53213
In cooperation with the Department of Taxation, the Department of	53214
Education shall distribute these funds directly to the appropriate	53215
school districts of the state, notwithstanding sections 321.24 and	53216
323.156 of the Revised Code, which provide for payment of the	53217
homestead exemption and property tax rollback by the Tax	53218
Commissioner to the appropriate county treasurer and the	53219
subsequent redistribution of these funds to the appropriate local	53220
taxing districts by the county auditor.	53221

Appropriation item 200-906, Tangible Tax Exemption -	53222
Education, is appropriated to pay for the state's costs incurred	53223
because of the tangible personal property tax exemption required	53224
by division (C)(3) of section 5709.01 of the Revised Code. In	53225
cooperation with the Department of Taxation, the Department of	53226
Education shall distribute to each county treasurer the total	53227
amount appearing in the notification from the county treasurer	53228
under division (G) of section 321.24 of the Revised Code, for all	53229
school districts located in the county, notwithstanding section	53230
321.24 of the Revised Code insofar as it provides for payment of	53231
the $10,000 tangible personal property tax exemption by the Tax	53232
Commissioner to the appropriate county treasurer for all local	53233
taxing districts located in the county. Pursuant to division (G)	53234
of section 321.24 of the Revised Code, the county auditor shall	53235
distribute the amount paid by the Department of Education among	53236
the appropriate school districts.	53237

Upon receipt of these amounts, each school district shall	53238
distribute the amount among the proper funds as if it had been	53239
paid as real or tangible personal property taxes. Payments for the	53240
costs of administration shall continue to be paid to the county	53241
treasurer and county auditor as provided for in sections 319.54,	53242
321.26, and 323.156 of the Revised Code.	53243

Any sums, in addition to the amounts specifically	53244
appropriated in appropriation items 200-901, Property Tax	53245
Allocation - Education, for the homestead exemption and the	53246
property tax rollback payments, and 200-906, Tangible Tax	53247
Exemption - Education, for the $10,000 tangible personal property	53248
tax exemption payments, which are determined to be necessary for	53249
these purposes, are hereby appropriated.	53250

Section 269.40.30.  TEACHER CERTIFICATION AND LICENSURE

53251

The foregoing appropriation item 200-681, Teacher	53252
Certification and Licensure, shall be used by the Department of	53253
Education in each year of the biennium to administer and support	53254
teacher certification and licensure activities.	53255

SCHOOL DISTRICT SOLVENCY ASSISTANCE

53256

Of the foregoing appropriation item 200-687, School District	53257
Solvency Assistance, $9,000,000 in each fiscal year shall be	53258
allocated to the School District Shared Resource Account and	53259
$9,000,000 in each fiscal year shall be allocated to the	53260
Catastrophic Expenditures Account. These funds shall be used to	53261
provide assistance and grants to school districts to enable them	53262
to remain solvent under section 3316.20 of the Revised Code.	53263
Assistance and grants shall be subject to approval by the	53264
Controlling Board. Any required reimbursements from school	53265
districts for solvency assistance shall be made to the appropriate	53266
account in the School District Solvency Assistance Fund (Fund	53267
5H3).	53268

Notwithstanding any provision of law to the contrary, upon	53269
the request of the Superintendent of Public Instruction, the	53270
Director of Budget and Management may make transfers to the School	53271
District Solvency Assistance Fund (Fund 5H3) from any Department	53272
of Education-administered fund or the General Revenue Fund to	53273
maintain sufficient cash balances in the School District Solvency	53274
Assistance Fund (Fund 5H3) in fiscal years 2008 and 2009. Any	53275
funds transferred are hereby appropriated. The transferred funds	53276
may be used by the Department of Education to provide assistance	53277
and grants to school districts to enable them to remain solvent	53278
and to pay unforeseeable expenses of a temporary or emergency	53279
nature that the school district is unable to pay from existing	53280
resources. The Director of Budget and Management shall notify the	53281
members of the Controlling Board of any such transfers.	53282

Section 269.40.40.  READING FIRST

53283

The foregoing appropriation item 200-632, Reading First,	53284
shall be used by school districts to administer federal diagnostic	53285
tests as well as other functions permitted by federal statute.	53286
Notwithstanding section 3301.079 of the Revised Code, federal	53287
diagnostic tests may be recognized as meeting the state diagnostic	53288
testing requirements outlined in section 3301.079 of the Revised	53289
Code.	53290

HALF-MILL MAINTENANCE EQUALIZATION

53291

The foregoing appropriation item 200-626, Half-Mill	53292
Maintenance Equalization, shall be used to make payments pursuant	53293
to section 3318.18 of the Revised Code.	53294

Section 269.40.50. START-UP FUNDS

53295

Funds appropriated for the purpose of providing start-up	53296
grants to Title IV-A Head Start and Title IV-A Head Start Plus	53297
agencies in fiscal year 2004 and fiscal year 2005 for the	53298
provision of services to children eligible for Title IV-A services	53299
under the Title IV-A Head Start or Title IV-A Head Start Plus	53300
programs shall be reimbursed to the General Revenue Fund as	53301
follows:	53302

(A) If, for fiscal year 2008, an entity that was a Title IV-A	53303
Head Start or Title IV-A Head Start Plus agency will not be an	53304
early learning agency or early learning provider, the entity shall	53305
repay the entire amount of the start-up grant it received in	53306
fiscal year 2004 and fiscal year 2005 not later than June 30,	53307
2009, in accordance with a payment schedule agreed to by the	53308
Department of Education.	53309

(B) If an entity that was a Title IV-A Head Start or Title	53310
IV-A Head Start Plus agency in fiscal year 2004 or fiscal year	53311
2005 will be an early learning agency or early learning provider	53312
in fiscal year 2008 and fiscal year 2009, the entity shall be	53313
allowed to retain any amount of the start-up grant it received.	53314

(C) Within ninety days after the effective date of this	53315
section, the Title IV-A Head Start agencies, Title IV-A Head Start	53316
Plus agencies, and the Department of Education shall determine the	53317
repayment schedule for amounts owed under division (A) of this	53318
section. These amounts shall be paid to the state not later than	53319
June 30, 2009.	53320

(D) If an entity that was a Title IV-A Head Start or Title	53321
IV-A Head Start Plus agency in fiscal year 2004 or fiscal year	53322
2005 owed the state any portion of the start-up grant amount	53323
during fiscal year 2006 or fiscal year 2007 but failed to repay	53324
the entire amount of the obligation by June 30, 2007, the entity	53325
shall be given an extension for repayment through June 30, 2009,	53326
before any amounts remaining due and payable to the state are	53327
referred to the Attorney General for collection under section	53328
131.02 of the Revised Code.	53329

(E) Any Title IV-A Head Start or Title IV-A Head Start Plus	53330
start-up grants that are retained by early learning agencies or	53331
early learning providers pursuant to this section shall be	53332
reimbursed to the General Revenue Fund when the early learning	53333
program ceases or is no longer funded from Title IV-A or if an	53334
early learning agency's or early learning provider's participation	53335
in the early learning program ceases or is terminated.	53336

Section 269.40.60. AUXILIARY SERVICES REIMBURSEMENT

53337

Notwithstanding section 3317.064 of the Revised Code, if the	53338
unobligated cash balance is sufficient, the Treasurer of State	53339
shall transfer $1,500,000 in fiscal year 2008 within thirty days	53340
after the effective date of this section, and $1,500,000 in fiscal	53341
year 2009 by August 1, 2008, from the Auxiliary Services Personnel	53342
Unemployment Compensation Fund to the Department of Education's	53343
Auxiliary Services Reimbursement Fund (Fund 598).	53344

Section 269.40.70.  LOTTERY PROFITS EDUCATION FUND

53345

Appropriation item 200-612, Foundation Funding (Fund 017),	53346
shall be used in conjunction with appropriation item 200-550,	53347
Foundation Funding (GRF), to provide payments to school districts	53348
under Chapter 3317. of the Revised Code.	53349

The Department of Education, with the approval of the	53350
Director of Budget and Management, shall determine the monthly	53351
distribution schedules of appropriation item 200-550, Foundation	53352
Funding (GRF), and appropriation item 200-612, Foundation Funding	53353
(Fund 017). If adjustments to the monthly distribution schedule	53354
are necessary, the Department of Education shall make such	53355
adjustments with the approval of the Director of Budget and	53356
Management.	53357

The Director of Budget and Management shall transfer via	53358
intrastate transfer voucher the amount appropriated under the	53359
Lottery Profits Education Fund for appropriation item 200-682,	53360
Lease Rental Payment Reimbursement, to the General Revenue Fund on	53361
a schedule determined by the director. These funds shall support	53362
the appropriation item 230-428, Lease Rental Payments (GRF), of	53363
the School Facilities Commission.	53364

Section 269.40.80.  LOTTERY PROFITS EDUCATION RESERVE FUND

53365

(A) There is hereby created the Lottery Profits Education	53366
Reserve Fund (Fund 018) in the State Treasury. Investment earnings	53367
of the Lottery Profits Education Reserve Fund shall be credited to	53368
the fund. The Superintendent of Public Instruction may certify	53369
cash balances exceeding $75,000,000 in the Lottery Profits	53370
Education Reserve Fund (Fund 018) to the Director of Budget and	53371
Management in June of any given fiscal year. Prior to making the	53372
certification, the Superintendent of Public Instruction shall	53373
determine whether the funds above the $75,000,000 threshold are	53374
needed to help pay for foundation program obligations for that	53375
fiscal year under Chapter 3317. of the Revised Code. If those	53376
funds are needed for the foundation program, the Superintendent of	53377
Public Instruction shall notify and consult with the Director of	53378
Budget and Management to determine the amount that may be	53379
transferred to the Public School Building Fund (Fund 021). Upon	53380
this determination, the Director of Budget and Management shall	53381
transfer the amount from the Lottery Profits Education Reserve	53382
Fund (Fund 018) to the Public School Building Fund (Fund 021). The	53383
amount transferred is hereby appropriated to appropriation item	53384
CAP-622, Public School Buildings.	53385

For fiscal years 2008 and 2009, notwithstanding any	53386
provisions of law to the contrary, amounts necessary to make loans	53387
authorized by sections 3317.0210, 3317.0211, and 3317.62 of the	53388
Revised Code are hereby appropriated to the Lottery Profits	53389
Education Reserve Fund (Fund 018). Loan repayments from loans made	53390
in previous years shall be deposited to the fund.	53391

(B) On July 15, 2007, or as soon as possible thereafter, the	53392
Director of the Ohio Lottery Commission shall certify to the	53393
Director of Budget and Management the amount by which lottery	53394
profit transfers received by the Lottery Profits Education Fund	53395
(Fund 017) exceeded $637,900,000 in fiscal year 2007. The	53396
Director of Budget and Management shall transfer the amount so	53397
certified, plus the cash balance in Fund 017, to the General	53398
Revenue Fund to support appropriation item 200-550, Foundation	53399
Funding.	53400

(C) On July 15, 2008, or as soon as possible thereafter, the	53401
Director of the Ohio Lottery Commission shall certify to the	53402
Director of Budget and Management the amount by which lottery	53403
profit transfers received by the Lottery Profits Education Fund	53404
(Fund 017) exceeded $657,900,000 in fiscal year 2008. The Director	53405
of Budget and Management may transfer the amount so certified,	53406
plus the cash balance in Fund 017, to the Lottery Profits	53407
Education Reserve Fund (Fund 018) or to the General Revenue Fund	53408
to support appropriation item 200-550, Foundation Funding.	53409

(D) Any amounts transferred under division (B) or (C) of this	53410
section may be made available by the Controlling Board in fiscal	53411
years 2008 or 2009, at the request of the Superintendent of Public	53412
Instruction, to provide assistance and grants to school districts	53413
to enable them to remain solvent and to pay unforeseeable expenses	53414
of a temporary or emergency nature that they are unable to pay	53415
from existing resources under section 3316.20 of the Revised Code,	53416
and to provide payments to school districts under Chapter 3317. of	53417
the Revised Code.	53418

Section 269.40.90. GENERAL REVENUE FUND TRANSFERS TO SCHOOL	53419
DISTRICT PROPERTY TAX REPLACEMENT - BUSINESS (FUND 047)	53420

Notwithstanding any provision of law to the contrary, in	53421
fiscal year 2008 and fiscal year 2009 the Director of Budget and	53422
Management may make temporary transfers between the General	53423
Revenue Fund and the School District Property Tax Replacement –	53424
Business Fund (Fund 047) in the Department of Education to ensure	53425
sufficient balances in the School District Property Tax	53426
Replacement - Business Fund (Fund 047) and to replenish the	53427
General Revenue Fund for such transfers.	53428

Section 269.50.10. SCHOOL DISTRICT PROPERTY TAX REPLACEMENT -	53429
BUSINESS	53430

The foregoing appropriation item, 200-909, School District	53431
Property Tax Replacement – Business, in Fund 047, shall be used by	53432
the Department of Education, in consultation with the Department	53433
of Taxation, to make payments to school districts and joint	53434
vocational school districts under section 5751.21 of the Revised	53435
Code. If it is determined by the Director of Budget and Management	53436
that additional appropriations are necessary for this purpose,	53437
such amounts are hereby appropriated.	53438

SCHOOL DISTRICT PROPERTY TAX REPLACEMENT - UTILITY

53439

The foregoing appropriation item 200-900, School District	53440
Property Tax Replacement-Utility, in Fund 053, shall be used by	53441
the Department of Education, in consultation with the Department	53442
of Taxation, to make payments to school districts and joint	53443
vocational school districts under section 5727.85 of the Revised	53444
Code.	53445

*       Section 269.50.20. DISTRIBUTION FORMULAS

53446

The Department of Education shall report the following to the	53447
Director of Budget and Management and the Legislative Service	53448
Commission:	53449

(A) Changes in formulas for distributing state	53450
appropriations, including administratively defined formula	53451
factors;	53452

(B) Discretionary changes in formulas for distributing	53453
federal appropriations;	53454

(C) Federally mandated changes in formulas for distributing	53455
federal appropriations.	53456

Any such changes shall be reported two weeks prior to the	53457
effective date of the change.	53458

Section 269.50.30.  EDUCATIONAL SERVICE CENTERS FUNDING

53459

(A) As used in this section:

53460

(1) "Internet- or computer-based community school" has the	53461
same meaning as in section 3314.02 of the Revised Code.	53462

(2) "Service center ADM" has the same meaning as in section	53463
3317.11 of the Revised Code.	53464

(B) Notwithstanding division (F) of section 3317.11 of the	53465
Revised Code, no funds shall be provided under that division to an	53466
educational service center in either fiscal year for any pupils of	53467
a city or exempted village school district unless an agreement to	53468
provide services under section 3313.843 of the Revised Code was	53469
entered into by January 1, 1997, except that funds shall be	53470
provided to an educational service center for any pupils of a city	53471
school district if the agreement to provide services was entered	53472
into within one year of the date upon which such district changed	53473
from a local school district to a city school district.	53474

(C) Notwithstanding any provision of the Revised Code to the	53475
contrary, an educational service center that sponsors a community	53476
school under Chapter 3314. of the Revised Code in either fiscal	53477
year may include the students of that community school in its	53478
service center ADM for purposes of state funding under division	53479
(F) of section 3317.11 of the Revised Code, unless the community	53480
school is an Internet- or computer-based community school. A	53481
service center shall include the community school students in its	53482
service center ADM only to the extent that the students are not	53483
already so included, and only in accordance with guidelines issued	53484
by the Department of Education. If the students of a community	53485
school sponsored by an educational service center are included in	53486
the service center ADM of another educational service center,	53487
those students shall be removed from the service center ADM of the	53488
other educational service center and added to the service center	53489
ADM of the community school's sponsoring service center. The	53490
General Assembly authorizes this procedure as an incentive for	53491
educational service centers to take over sponsorship of community	53492
schools from the State Board of Education as the State Board's	53493
sponsorship is phased out in accordance with Sub. H.B. 364 of the	53494
124th General Assembly. No student of an Internet- or	53495
computer-based community school shall be counted in the service	53496
center ADM of any educational service center. The Department shall	53497
pay educational service centers under division (F) of section	53498
3317.11 of the Revised Code for community school students included	53499
in their service center ADMs under this division only if	53500
sufficient funds earmarked within appropriation item 200-550,	53501
Foundation Funding, for payments under that division remain after	53502
first paying for students attributable to their local and client	53503
school districts, in accordance with divisions (B) and (D) of this	53504
section.	53505

(D) If insufficient funds are earmarked within appropriation	53506
item 200-550, Foundation Funding, for payments under division (F)	53507
of section 3317.11 of the Revised Code and division (C) of this	53508
section in fiscal year 2008 or fiscal year 2009, the Department	53509
shall prioritize the distribution of the earmarked funds as	53510
follows:	53511

(1) The Department shall first distribute to each educational	53512
service center the per-student amount specified in division (F) of	53513
section 3317.11 of the Revised Code for each student in its	53514
service center ADM attributable to the local school districts	53515
within the service center's territory.	53516

(2) The Department shall distribute the remaining funds in	53517
each fiscal year to each educational service center for the	53518
students in its service center ADM attributable to each city and	53519
exempted village school district that had entered into an	53520
agreement with an educational service center for that fiscal year	53521
under section 3313.843 of the Revised Code by January 1, 1997, up	53522
to the per-student amount specified in division (F) of section	53523
3317.11 of the Revised Code. If insufficient funds remain to pay	53524
each service center the full amount specified in division (F) of	53525
that section for each such student, the Department shall	53526
distribute the remaining funds to each service center	53527
proportionally, on a per-student basis for each such student,	53528
unless that proportional per-student amount exceeds the amount	53529
specified in division (F)(1) of that section. In that case, the	53530
Department shall distribute the per-student amount specified in	53531
division (F)(1) of that section to each service center for each	53532
such student and shall distribute the remainder proportionally, on	53533
a per-student basis for each such student, to the multi-county	53534
service centers described in division (F)(2) of that section.	53535

(3) If the Department has paid each service center under	53536
divisions (D)(1) and (2) of this section, the full amount	53537
specified in division (F) of section 3317.11 of the Revised Code	53538
for each student attributable to its local school districts and	53539
its client school districts described in division (D)(2) of this	53540
section the Department shall distribute any remaining funds	53541
proportionally, on a per-student basis, to each service center	53542
that sponsors a community school, other than an Internet- or	53543
computer-based community school, for the students included in the	53544
service center ADM under division (C) of this section. These	53545
payments shall not exceed per student the amount specified in	53546
division (F) of section 3317.11 of the Revised Code.	53547

*       Section 269.50.40. For the school year commencing July 1,	53548
2007, or the school year commencing July 1, 2008, or both, the	53549
Superintendent of Public Instruction may waive for the board of	53550
education of any school district the ratio of teachers to pupils	53551
in kindergarten through fourth grade required under paragraph	53552
(A)(3) of rule 3301-35-05 of the Administrative Code if the	53553
following conditions apply:	53554

(A) The board of education requests the waiver.

53555

(B) After the Department of Education conducts an on-site	53556
evaluation of the district related to meeting the required ratio,	53557
the board of education demonstrates to the satisfaction of the	53558
Superintendent of Public Instruction that providing the facilities	53559
necessary to meet the required ratio during the district's regular	53560
school hours with pupils in attendance would impose an extreme	53561
hardship on the district.	53562

(C) The board of education provides assurances that are	53563
satisfactory to the Superintendent of Public Instruction that the	53564
board will act in good faith to meet the required ratio as soon as	53565
possible.	53566

Section 269.50.50.  PRIVATE TREATMENT FACILITY PROJECT

53567

(A) As used in this section:

53568

(1) The following are "participating residential treatment	53569
centers":	53570

(a) Private residential treatment facilities that have	53571
entered into a contract with the Department of Youth Services to	53572
provide services to children placed at the facility by the	53573
Department and which, in fiscal year 2008 or fiscal year 2009 or	53574
both, the Department pays through appropriation item 470-401, Care	53575
and Custody;	53576

(b) Abraxas, in Shelby;

53577

(c) Paint Creek, in Bainbridge;

53578

(d) Act One, in Akron;

53579

(e) Friars Club, in Cincinnati.

53580

(2) "Education program" means an elementary or secondary	53581
education program or a special education program and related	53582
services.	53583

(3) "Served child" means any child receiving an education	53584
program pursuant to division (B) of this section.	53585

(4) "School district responsible for tuition" means a city,	53586
exempted village, or local school district that, if tuition	53587
payment for a child by a school district is required under law	53588
that existed in fiscal year 1998, is the school district required	53589
to pay that tuition.	53590

(5) "Residential child" means a child who resides in a	53591
participating residential treatment center and who is receiving an	53592
educational program under division (B) of this section.	53593

(B) A youth who is a resident of the state and has been	53594
assigned by a juvenile court or other authorized agency to a	53595
residential treatment facility specified in division (A) of this	53596
section shall be enrolled in an approved educational program	53597
located in or near the facility. Approval of the educational	53598
program shall be contingent upon compliance with the criteria	53599
established for such programs by the Department of Education. The	53600
educational program shall be provided by a school district or	53601
educational service center, or by the residential facility itself.	53602
Maximum flexibility shall be given to the residential treatment	53603
facility to determine the provider. In the event that a voluntary	53604
agreement cannot be reached and the residential facility does not	53605
choose to provide the educational program, the educational service	53606
center in the county in which the facility is located shall	53607
provide the educational program at the treatment center to	53608
children under twenty-two years of age residing in the treatment	53609
center.	53610

(C) Any school district responsible for tuition for a	53611
residential child shall, notwithstanding any conflicting provision	53612
of the Revised Code regarding tuition payment, pay tuition for the	53613
child for fiscal year 2008 and fiscal year 2009 to the education	53614
program provider and in the amount specified in this division. If	53615
there is no school district responsible for tuition for a	53616
residential child and if the participating residential treatment	53617
center to which the child is assigned is located in the city,	53618
exempted village, or local school district that, if the child were	53619
not a resident of that treatment center, would be the school	53620
district where the child is entitled to attend school under	53621
sections 3313.64 and 3313.65 of the Revised Code, that school	53622
district, notwithstanding any conflicting provision of the Revised	53623
Code, shall pay tuition for the child for fiscal year 2008 and	53624
fiscal year 2009 under this division unless that school district	53625
is providing the educational program to the child under division	53626
(B) of this section.	53627

A tuition payment under this division shall be made to the	53628
school district, educational service center, or residential	53629
treatment facility providing the educational program to the child.	53630

The amount of tuition paid shall be:

53631

(1) The amount of tuition determined for the district under	53632
division (A) of section 3317.08 of the Revised Code;	53633

(2) In addition, for any student receiving special education	53634
pursuant to an individualized education program as defined in	53635
section 3323.01 of the Revised Code, a payment for excess costs.	53636
This payment shall equal the actual cost to the school district,	53637
educational service center, or residential treatment facility of	53638
providing special education and related services to the student	53639
pursuant to the student's individualized education program, minus	53640
the tuition paid for the child under division (C)(1) of this	53641
section.	53642

A school district paying tuition under this division shall	53643
not include the child for whom tuition is paid in the district's	53644
average daily membership certified under division (A) of section	53645
3317.03 of the Revised Code.	53646

(D) In each of fiscal years 2008 and 2009, the Department of	53647
Education shall reimburse, from appropriations made for the	53648
purpose, a school district, educational service center, or	53649
residential treatment facility, whichever is providing the	53650
service, that has demonstrated that it is in compliance with the	53651
funding criteria for each served child for whom a school district	53652
must pay tuition under division (C) of this section. The amount of	53653
the reimbursement shall be the formula amount specified in section	53654
3317.022 of the Revised Code, except that the department shall	53655
proportionately reduce this reimbursement if sufficient funds are	53656
not available to pay this amount to all qualified providers.	53657

(E) Funds provided to a school district, educational service	53658
center, or residential treatment facility under this section shall	53659
be used to supplement, not supplant, funds from other public	53660
sources for which the school district, service center, or	53661
residential treatment facility is entitled or eligible.	53662

(F) The Department of Education shall track the utilization	53663
of funds provided to school districts, educational service	53664
centers, and residential treatment facilities under this section	53665
and monitor the effect of the funding on the educational programs	53666
they provide in participating residential treatment facilities.	53667
The department shall monitor the programs for educational	53668
accountability.	53669

Section 269.50.60.  SCHOOL DISTRICT PARTICIPATION IN NATIONAL	53670
ASSESSMENT OF EDUCATION PROGRESS	53671

The General Assembly intends for the Superintendent of Public	53672
Instruction to provide for school district participation in the	53673
administration of the National Assessment of Education Progress in	53674
accordance with section 3301.27 of the Revised Code. Each school	53675
and school district selected for participation by the	53676
Superintendent of Public Instruction shall participate.	53677

Section 269.50.70. DEPARTMENT OF EDUCATION APPROPRIATION	53678
TRANSFERS FOR STUDENT ASSESSMENT	53679

In fiscal year 2008 and fiscal year 2009, if the	53680
Superintendent of Public Instruction determines that additional	53681
funds are needed to fully fund the requirements of Am. Sub. H.B. 3	53682
of the 125th General Assembly and this act for assessments of	53683
student performance, the Superintendent of Public Instruction may	53684
recommend the reallocation of unspent and unencumbered	53685
appropriations within the Department of Education to the General	53686
Revenue Fund appropriation item 200-437, Student Assessment, to	53687
the Director of Budget and Management. If the Director of Budget	53688
and Management determines that such a reallocation is required,	53689
the Director of Budget and Management may transfer unspent and	53690
unencumbered funds within the Department of Education as necessary	53691
to appropriation item 200-437, Student Assessment. If these	53692
unspent and unencumbered funds are not sufficient to fully fund	53693
the assessment requirements in fiscal year 2008 or fiscal year	53694
2009, the Superintendent of Public Instruction may request that	53695
the Controlling Board transfer up to $9,000,000 cash from the	53696
Lottery Profits Education Reserve Fund (Fund 018) to the General	53697
Revenue Fund and appropriate these transferred funds to	53698
appropriation item 200-437, Student Assessment.	53699

Section 269.50.80.  (A) As used in this section:

53700

(1) "IEP" has the same meaning as in section 3314.08 of the	53701
Revised Code.	53702

(2) "SBH student" means a student receiving special education	53703
and related services for severe behavior handicap conditions	53704
pursuant to an IEP.	53705

(B) This section applies only to a community school	53706
established under Chapter 3314. of the Revised Code that in each	53707
of fiscal years 2008 and 2009 enrolls a number of SBH students	53708
equal to at least fifty per cent of the total number of students	53709
enrolled in the school in the applicable fiscal year.	53710

(C) In addition to any payments made under section 3314.08 of	53711
the Revised Code, in each of fiscal years 2008 and 2009, the	53712
Department of Education shall pay to a community school to which	53713
this section applies a subsidy equal to the difference between the	53714
aggregate amount calculated and paid in that fiscal year to the	53715
community school for special education and related services	53716
additional weighted costs for the SBH students enrolled in the	53717
school and the aggregate amount that would have been calculated	53718
for the school for special education and related services	53719
additional weighted costs for those same students in fiscal year	53720
2001. If the difference is a negative number, the amount of the	53721
subsidy shall be zero.	53722

(D) The amount of any subsidy paid to a community school	53723
under this section shall not be deducted from the school district	53724
in which any of the students enrolled in the community school are	53725
entitled to attend school under section 3313.64 or 3313.65 of the	53726
Revised Code. The amount of any subsidy paid to a community school	53727
under this section shall be paid from funds appropriated to the	53728
Department of Education in appropriation item 200-550, Foundation	53729
Funding.	53730

Section 269.50.90. EARMARK ACCOUNTABILITY

53731

At the request of the Superintendent of Public Instruction,	53732
any entity that receives a budget earmark under the Department of	53733
Education shall submit annually to the chairpersons of the	53734
committees of the House of Representatives and the Senate	53735
primarily concerned with education and to the Department of	53736
Education a report that includes a description of the services	53737
supported by the funds, a description of the results achieved by	53738
those services, an analysis of the effectiveness of the program,	53739
and an opinion as to the program's applicability to other school	53740
districts. For an earmarked entity that received state funds from	53741
an earmark in the prior fiscal year, no funds shall be provided by	53742
the Department of Education to an earmarked entity for a fiscal	53743
year until its report for the prior fiscal year has been	53744
submitted.	53745

Section 269.60.10.  No community school established under	53746
Chapter 3314. of the Revised Code that was not open for operation	53747
as of May 1, 2005, shall operate from a home, as defined in	53748
section 3313.64 of the Revised Code.	53749

Section 269.60.20. Not later than December 31, 2008, the	53750
State Board of Education shall adopt the most recent standards for	53751
physical education in grades kindergarten through twelve developed	53752
by the National Association for Sport and Physical Education. The	53753
Superintendent of Public Instruction shall appoint a physical	53754
education coordinator, who shall provide guidance and oversight	53755
for school districts in following the physical education	53756
standards, in addition to performing other duties assigned by the	53757
Superintendent. The Superintendent shall determine that the person	53758
appointed as coordinator is qualified for the position, as	53759
demonstrated by possessing an adequate combination of education,	53760
licensure, and experience. The Superintendent shall allocate money	53761
from the Department of Education's existing appropriations to pay	53762
the cost of the position of the physical education coordinator.	53763

The Department shall transmit the physical education	53764
standards, and information regarding revisions to the standards,	53765
to school districts in electronic form. If the Department is	53766
unable to transmit the information in electronic form, the	53767
Department shall use any other reasonable means of transmitting	53768
the information that requires the least expense.	53769

Nothing in this section requires any school district to	53770
adopt, utilize, or meet all or any part of the physical education	53771
standards adopted under this section.	53772

Section 269.60.30. PLAN TO MOVE ADULT EDUCATION PROGRAMS TO	53773
BOARD OF REGENTS	53774

The Department of Education shall work collaboratively with	53775
the Board of Regents and the Governor's Workforce Policy Board to	53776
develop a plan that moves the adult education and career programs	53777
from the Department of Education to the Board of Regents for the	53778
purpose of improving education and technical skills for adult	53779
learners through enhanced course offerings and training	53780
opportunities. The plan shall be submitted to the Governor by	53781
November 30, 2007. The movement of adult education and career	53782
programs from the Department of Education to the Board of Regents	53783
shall occur by July 1, 2008.	53784

On or after July 1, 2008, notwithstanding any provision of	53785
law to the contrary, the Director of Budget and Management may	53786
take the actions described in this section made necessary by the	53787
movement of adult education and career programs from the	53788
Department of Education to the Board of Regents. These actions may	53789
include budget changes made necessary by administrative	53790
reorganization, program transfers, the creation of new funds, the	53791
creation of new appropriation items, and the consolidation of	53792
funds. The Director may transfer cash balances between funds as	53793
needed. At the request of the Director, the Superintendent of	53794
Public Instruction shall certify to the Director an estimate of	53795
the amount of the cash balance to be transferred to the receiving	53796
fund. The Director may transfer the estimated amount to the Board	53797
of Regents when needed to make payments. Not more than thirty days	53798
after certifying the estimated amount, the Superintendent of	53799
Public Instruction shall certify the final amount to the Director.	53800
The Director then shall transfer the difference between any amount	53801
previously transferred and the certified final amount. The	53802
Director may cancel encumbrances and re-establish encumbrances or	53803
parts of encumbrances as needed in the appropriate fund and	53804
appropriation item for the same purpose and to the same vendor.	53805
The funds necessary to re-establish those encumbrances in a	53806
different fund or appropriation item within or between the Board	53807
of Regents and the Department of Education are hereby	53808
appropriated. The Director shall reduce each year's appropriation	53809
balances by the amount of the encumbrances canceled in their	53810
respective funds and appropriation items. Any fiscal year 2008	53811
unencumbered or unallocated appropriation balances may be	53812
transferred to the appropriate item to be used for the same	53813
purposes, as determined by the Director.	53814

Section 271.10.  ELC OHIO ELECTIONS COMMISSION

53815

General Revenue Fund

53816

GRF	051-321		Operating Expenses		$	411,623		$	423,975		53817
TOTAL GRF General Revenue Fund					$	411,623		$	423,975		53818

General Services Fund Group

53819

4P2	051-601		Ohio Elections								53820
			Commission Fund		$	255,000		$	255,000		53821
TOTAL GSF General Services Fund Group					$	255,000		$	255,000		53822
TOTAL ALL BUDGET FUND GROUPS					$	666,623		$	678,975		53823

Section 273.10. FUN STATE BOARD OF EMBALMERS AND FUNERAL	53825
DIRECTORS	53826

General Services Fund Group

53827

4K9	881-609		Operating Expenses		$	628,641		$	646,602		53828
TOTAL GSF General Services											53829
Fund Group					$	628,641		$	646,602		53830
TOTAL ALL BUDGET FUND GROUPS					$	628,641		$	646,602		53831

Section 275.10.  PAY EMPLOYEE BENEFITS FUNDS

53833

Accrued Leave Liability Fund Group

53834

806	995-666		Accrued Leave Fund		$	69,584,560		$	76,038,787		53835
807	995-667		Disability Fund		$	40,104,713		$	39,309,838		53836
TOTAL ALF Accrued Leave Liability											53837
Fund Group					$	109,689,273		$	115,348,625		53838

Agency Fund Group

53839

124	995-673		Payroll Deductions		$	2,125,000,000		$	2,175,000,000		53840
808	995-668		State Employee Health Benefit Fund		$	499,240,000		$	550,922,742		53841
809	995-669		Dependent Care Spending Account		$	2,969,635		$	2,969,635		53842
810	995-670		Life Insurance Investment Fund		$	2,113,589		$	2,229,834		53843
811	995-671		Parental Leave Benefit Fund		$	3,994,806		$	4,234,495		53844
813	995-672		Health Care Spending Account		$	12,000,000		$	12,000,000		53845
TOTAL AGY Agency Fund Group					$	2,645,318,030		$	2,747,356,706		53846

TOTAL ALL BUDGET FUND GROUPS

$

2,755,007,303

$

2,862,705,331

53847

ACCRUED LEAVE LIABILITY FUND

53848

The foregoing appropriation item 995-666, Accrued Leave Fund,	53849
shall be used to make payments from the Accrued Leave Liability	53850
Fund (Fund 806), pursuant to section 125.211 of the Revised Code.	53851
If it is determined by the Director of Budget and Management that	53852
additional amounts are necessary, the amounts are appropriated.	53853

STATE EMPLOYEE DISABILITY LEAVE BENEFIT FUND

53854

The foregoing appropriation item 995-667, Disability Fund,	53855
shall be used to make payments from the State Employee Disability	53856
Leave Benefit Fund (Fund 807), pursuant to section 124.83 of the	53857
Revised Code. If it is determined by the Director of Budget and	53858
Management that additional amounts are necessary, the amounts are	53859
appropriated.	53860

PAYROLL WITHHOLDING FUND

53861

The foregoing appropriation item 995-673, Payroll Deductions,	53862
shall be used to make payments from the Payroll Withholding Fund	53863
(Fund 124). If it is determined by the Director of Budget and	53864
Management that additional appropriation amounts are necessary,	53865
such amounts are hereby appropriated.	53866

STATE EMPLOYEE HEALTH BENEFIT FUND

53867

The foregoing appropriation item 995-668, State Employee	53868
Health Benefit Fund, shall be used to make payments from the State	53869
Employee Health Benefit Fund (Fund 808), pursuant to section	53870
124.87 of the Revised Code. If it is determined by the Director of	53871
Budget and Management that additional amounts are necessary, the	53872
amounts are appropriated.	53873

DEPENDENT CARE SPENDING ACCOUNT

53874

The foregoing appropriation item 995-669, Dependent Care	53875
Spending Account, shall be used to make payments from the	53876
Dependent Care Spending Account (Fund 809) to employees eligible	53877
for dependent care expenses. If it is determined by the Director	53878
of Budget and Management that additional amounts are necessary,	53879
the amounts are appropriated.	53880

LIFE INSURANCE INVESTMENT FUND

53881

The foregoing appropriation item 995-670, Life Insurance	53882
Investment Fund, shall be used to make payments from the Life	53883
Insurance Investment Fund (Fund 810) for the costs and expenses of	53884
the state's life insurance benefit program pursuant to section	53885
125.212 of the Revised Code. If it is determined by the Director	53886
of Budget and Management that additional amounts are necessary,	53887
the amounts are appropriated.	53888

PARENTAL LEAVE BENEFIT FUND

53889

The foregoing appropriation item 995-671, Parental Leave	53890
Benefit Fund, shall be used to make payments from the Parental	53891
Leave Benefit Fund (Fund 811) to employees eligible for parental	53892
leave benefits pursuant to section 124.137 of the Revised Code. If	53893
it is determined by the Director of Budget and Management that	53894
additional amounts are necessary, the amounts are appropriated.	53895

HEALTH CARE SPENDING ACCOUNT

53896

There is hereby established in the State Treasury the Health	53897
Care Spending Account Fund (Fund 813). The foregoing appropriation	53898
item 995-672, Health Care Spending Account, shall be used to make	53899
payments from the fund. The fund shall be under the supervision of	53900
the Department of Administrative Services and shall be used to	53901
make payments pursuant to state employees' participation in a	53902
flexible spending account for non-reimbursed health care expenses	53903
and pursuant to Section 125 of the Internal Revenue Code. All	53904
income derived from the investment of the fund shall accrue to the	53905
fund. If it is determined by the Director of Administrative	53906
Services that additional appropriation amounts are necessary, the	53907
Director of Administrative Services may request that the Director	53908
of Budget and Management increase such amounts. Such amounts are	53909
hereby appropriated.	53910

At the request of the Director of Administrative Services,	53911
the Director of Budget and Management shall transfer up to	53912
$145,000 from the General Revenue Fund to the Health Care Spending	53913
Account Fund during fiscal years 2008 and 2009. This cash shall be	53914
transferred as needed to provide adequate cash flow for the Health	53915
Care Spending Account Fund during fiscal year 2008 and fiscal year	53916
2009. If funds are available at the end of fiscal years 2008 and	53917
2009, the Director of Budget and Management shall transfer cash up	53918
to the amount previously transferred in the respective year, plus	53919
interest income, back from the Health Care Spending Account (Fund	53920
813) to the General Revenue Fund.	53921

Section 277.10.  ERB STATE EMPLOYMENT RELATIONS BOARD

53922

General Revenue Fund

53923

GRF	125-321		Operating Expenses		$	3,258,803		$	3,382,847		53924
TOTAL GRF General Revenue Fund					$	3,258,803		$	3,382,847		53925

General Services Fund Group

53926

572	125-603		Training and Publications		$	75,541		$	75,541		53927
TOTAL GSF General Services											53928
Fund Group					$	75,541		$	75,541		53929
TOTAL ALL BUDGET FUND GROUPS					$	3,334,344		$	3,458,388		53930

Section 279.10. ENG STATE BOARD OF ENGINEERS AND SURVEYORS

53932

General Services Fund Group

53933

4K9	892-609		Operating Expenses		$	1,058,881		$	1,058,881		53934
TOTAL GSF General Services											53935
Fund Group					$	1,058,881		$	1,058,881		53936
TOTAL ALL BUDGET FUND GROUPS					$	1,058,881		$	1,058,881		53937

Section 281.10. EPA ENVIRONMENTAL PROTECTION AGENCY

53939

General Services Fund Group

53940

199	715-602		Laboratory Services		$	1,158,574		$	1,173,574		53941
219	715-604		Central Support Indirect		$	16,474,276		$	17,000,962		53942
4A1	715-640		Operating Expenses		$	3,369,731		$	3,369,731		53943
TOTAL GSF General Services											53944
Fund Group					$	21,002,581		$	21,544,267		53945

Federal Special Revenue Fund Group

53946

3BU	715-684		Water Quality Protection		$	6,515,000		$	6,310,000		53947
3F2	715-630		Revolving Loan Fund - Operating		$	563,536		$	775,600		53948
3F3	715-632		Federally Supported Cleanup and Response		$	2,550,000		$	2,550,000		53949
3F5	715-641		Nonpoint Source Pollution Management		$	7,550,000		$	7,595,000		53950
3K4	715-634		DOD Monitoring and Oversight		$	858,250		$	898,825		53951
3N4	715-657		DOE Monitoring and Oversight		$	1,071,678		$	1,110,270		53952
3T3	715-669		Drinking Water SRF		$	2,843,923		$	2,977,998		53953
3V7	715-606		Agencywide Grants		$	500,000		$	500,000		53954
353	715-612		Public Water Supply		$	3,388,619		$	3,388,618		53955
354	715-614		Hazardous Waste Management - Federal		$	4,203,891		$	4,203,891		53956
357	715-619		Air Pollution Control - Federal		$	6,823,949		$	6,823,950		53957
362	715-605		Underground Injection Control - Federal		$	111,874		$	111,874		53958
TOTAL FED Federal Special Revenue											53959
Fund Group					$	36,980,720		$	37,246,026		53960

State Special Revenue Fund Group

53961

4J0	715-638		Underground Injection Control		$	458,418		$	458,418		53962
4K2	715-648		Clean Air - Non Title V		$	3,690,821		$	4,066,558		53963
4K3	715-649		Solid Waste		$	13,932,845		$	14,282,845		53964
4K4	715-650		Surface Water Protection		$	12,685,000		$	13,815,000		53965
4K5	715-651		Drinking Water Protection		$	8,169,553		$	8,867,732		53966
4P5	715-654		Cozart Landfill		$	149,728		$	149,728		53967
4R5	715-656		Scrap Tire Management		$	6,000,000		$	6,000,000		53968
4R9	715-658		Voluntary Action Program		$	1,032,098		$	1,032,098		53969
4T3	715-659		Clean Air - Title V Permit Program		$	18,924,098		$	18,833,584		53970
4U7	715-660		Construction & Demolition Debris		$	881,561		$	881,561		53971
5BC	715-617		Clean Ohio		$	741,646		$	741,646		53972
5BC	715-622		Local Air Pollution Control		$	1,026,369		$	1,026,369		53973
5BC	715-624		Surface Water		$	8,797,413		$	8,797,413		53974
5BC	715-667		Groundwater		$	1,093,741		$	1,093,741		53975
5BC	715-672		Air Pollution Control		$	5,199,290		$	5,199,290		53976
5BC	715-673		Drinking Water		$	2,550,250		$	2,550,250		53977
5BC	715-675		Hazardous Waste		$	100,847		$	100,847		53978
5BC	715-676		Assistance and Prevention		$	700,302		$	700,302		53979
5BC	715-677		Laboratory		$	1,216,333		$	1,216,333		53980
5BC	715-678		Corrective Actions		$	1,179,775		$	1,179,775		53981
5BT	715-679		C&DD Groundwater Monitoring		$	571,560		$	693,267		53982
5BY	715-681		Auto Emissions Test		$	14,817,105		$	15,057,814		53983
5CD	715-682		Clean Diesel School Buses		$	600,000		$	600,000		53984
5DW	715-683		Automotive Mercury Switch Program		$	60,000		$	60,000		53985
5H4	715-664		Groundwater Support		$	2,503,933		$	2,715,340		53986
5N2	715-613		Dredge and Fill		$	30,000		$	30,000		53987
500	715-608		Immediate Removal Special Account		$	557,257		$	573,903		53988
503	715-621		Hazardous Waste Facility Management		$	11,711,473		$	12,200,240		53989
505	715-623		Hazardous Waste Cleanup		$	13,333,179		$	14,147,498		53990
505	715-674		Clean Ohio Environmental Review		$	109,725		$	109,725		53991
541	715-670		Site Specific Cleanup		$	34,650		$	34,650		53992
542	715-671		Risk Management Reporting		$	146,188		$	146,188		53993
592	715-627		Anti Tampering Settlement		$	9,707		$	9,707		53994
6A1	715-645		Environmental Education		$	1,500,000		$	1,500,000		53995
602	715-626		Motor Vehicle Inspection and Maintenance		$	157,697		$	128,876		53996
644	715-631		ER Radiological Safety		$	286,114		$	286,114		53997
660	715-629		Infectious Waste Management		$	100,000		$	100,000		53998
676	715-642		Water Pollution Control Loan Administration		$	4,964,625		$	4,964,625		53999
678	715-635		Air Toxic Release		$	210,622		$	210,622		54000
679	715-636		Emergency Planning		$	2,628,647		$	2,628,647		54001
696	715-643		Air Pollution Control Administration		$	750,000		$	750,000		54002
699	715-644		Water Pollution Control Administration		$	750,000		$	750,000		54003
TOTAL SSR State Special Revenue Fund Group					$	144,362,570		$	148,690,706		54004

Clean Ohio Revitalization Fund Group

54005

5S1	715-607		Clean Ohio - Operating		$	208,174		$	208,174		54006
TOTAL CLF Clean Ohio Revitalization Fund Group					$	208,174		$	208,174		54007
TOTAL ALL BUDGET FUND GROUPS					$	202,554,045		$	207,689,173		54008

AUTOMOBILE EMISSIONS TESTING PROGRAM OPERATION AND OVERSIGHT

54009

The Ohio Environmental Protection Agency (EPA) shall use the	54010
foregoing appropriation item 715-681, Auto Emissions Test, in the	54011
Auto Emissions Test Fund (Fund 5BY), for the operation, and Ohio	54012
EPA's costs for oversight, of the auto emissions testing program.	54013
For purposes of continuing testing beyond December 31, 2007, the	54014
Director of Environmental Protection may extend an existing	54015
contract with the contractor who is implementing the testing	54016
program pursuant to section 3704.14 of the Revised Code for a	54017
period of two years.	54018

The funds identified in this section shall not be used (1) to	54019
pay for the testing costs of any dealers to provide certificates	54020
for vehicles being purchased by individuals who reside in areas	54021
where the E-Check program is operated or (2) to pay for more than	54022
one passing or three total free tests for any vehicle in a	54023
three-hundred-sixty-five-day period. When state funds may not be	54024
used to pay for testing costs, the cost of testing and retesting	54025
paid by an individual or a business for any vehicle shall cover	54026
the cost of the test. Testing and other fees charged by the	54027
contractor shall be submitted to and approved by the Director of	54028
Environmental Protection.	54029

WATER QUALITY PROTECTION FUND

54030

On July 1, 2007, or as soon thereafter as possible, the	54031
Director of Environmental Protection shall certify to the Director	54032
of Budget and Management the cash balance in Fund 3F4, Water	54033
Quality Management. The Director of Budget and Management shall	54034
transfer the amount certified from Fund 3F4 to Fund 3BU, Water	54035
Quality Protection. Any existing encumbrances in appropriation	54036
item 715-633, Water Quality Management (Fund 3F4), shall be	54037
cancelled and re-established against appropriation item 715-684,	54038
Water Quality Protection (Fund 3BU). The amounts of the	54039
re-established encumbrances are hereby appropriated, and Fund 3F4	54040
is abolished.	54041

On July 1, 2007, or as soon thereafter as possible, the	54042
Director of Environmental Protection shall certify to the Director	54043
of Budget and Management the cash balance in Fund 3J1, Urban	54044
Stormwater. The Director of Budget and Management shall transfer	54045
the amount certified from Fund 3J1 to Fund 3BU, Water Quality	54046
Protection. Any existing encumbrances in appropriation item	54047
715-620, Urban Stormwater (Fund 3J1), shall be cancelled and	54048
re-established against appropriation item 715-684, Water Quality	54049
Protection (Fund 3BU). The amounts of the re-established	54050
encumbrances are hereby appropriated, and Fund 3J1 is abolished.	54051

On July 1, 2007, or as soon thereafter as possible, the	54052
Director of Environmental Protection shall certify to the Director	54053
of Budget and Management the cash balance in Fund 3J5, Maumee	54054
River. The Director of Budget and Management shall transfer the	54055
amount certified from Fund 3J5 to Fund 3BU, Water Quality	54056
Protection. Any existing encumbrances in appropriation item	54057
715-615, Maumee River (Fund 3J5), shall be cancelled and	54058
re-established against appropriation item 715-684, Water Quality	54059
Protection (Fund 3BU). The amounts of the re-established	54060
encumbrances are hereby appropriated, and Fund 3J5 is abolished.	54061

On July 1, 2007, or as soon thereafter as possible, the	54062
Director of Environmental Protection shall certify to the Director	54063
of Budget and Management the cash balance in Fund 3K2, Clean Water	54064
Act 106 (Fund 3K2). The Director of Budget and Management shall	54065
transfer the amount certified from Fund 3K2 to Fund 3BU, Water	54066
Quality Protection. Any existing encumbrances in appropriation	54067
item 715-628, Clean Water Act 106, shall be cancelled and	54068
re-established against appropriation item 715-684, Water Quality	54069
Protection (Fund 3BU). The amounts of the re-established	54070
encumbrances are hereby appropriated, and Fund 3K2 is abolished.	54071

On July 1, 2007, or as soon thereafter as possible, the	54072
Director of Environmental Protection shall certify to the Director	54073
of Budget and Management the cash balance in Fund 3K6, Remedial	54074
Action Plan. The Director of Budget and Management shall transfer	54075
the amount certified from Fund 3K6 to Fund 3BU, Water Quality	54076
Protection. Any existing encumbrances in appropriation item	54077
715-639, Remedial Action Plan (Fund 3K6), shall be cancelled and	54078
re-established against appropriation item 715-684, Water Quality	54079
Protection (Fund 3BU). The amounts of the re-established	54080
encumbrances are hereby appropriated, and Fund 3K6 is abolished.	54081

On July 1, 2007, or as soon thereafter as possible, the	54082
Director of Environmental Protection shall certify to the Director	54083
of Budget and Management the cash balance in Fund 352, Wastewater	54084
Pollution. The Director of Budget and Management shall transfer	54085
the amount certified from Fund 352 to Fund 3BU, Water Quality	54086
Protection. Any existing encumbrances in appropriation item	54087
715-611, Wastewater Pollution (Fund 352), shall be cancelled and	54088
re-established against appropriation item 715-684, Water Quality	54089
Protection (Fund 3BU). The amounts of the re-established	54090
encumbrances are hereby appropriated, and Fund 352 is abolished.	54091

On July 1, 2007, or as soon thereafter as possible, the	54092
Director of Environmental Protection shall certify to the Director	54093
of Budget and Management the cash balance in Fund 358, 205-J	54094
Federal Planning. The Director of Budget and Management shall	54095
transfer the amount certified from Fund 358 to Fund 3BU, Water	54096
Quality Protection. Any existing encumbrances in appropriation	54097
item 715-625, 205-J Federal Planning (Fund 358), shall be	54098
cancelled and re-established against appropriation item 715-684,	54099
Water Quality Protection (Fund 3BU). The amounts of the	54100
re-established encumbrances are hereby appropriated, and Fund 358	54101
is abolished.	54102

CASH TRANSFER FOR AUTOMOTIVE MERCURY SWITCH PROGRAM

54103

Upon the request of the Director of Environmental Protection,	54104
the Director of Budget and Management shall transfer up to $60,000	54105
in cash from the Environmental Protection Fund (Fund 5BC) to the	54106
Automotive Mercury Switch Program Fund (Fund 5DW), in each year of	54107
the fiscal years 2008-2009 biennium.	54108

Section 283.10. EBR ENVIRONMENTAL REVIEW APPEALS COMMISSION

54109

General Revenue Fund

54110

GRF	172-321		Operating Expenses		$	574,375		$	573,575		54111
TOTAL GRF General Revenue Fund					$	574,375		$	573,575		54112
TOTAL ALL BUDGET FUND GROUPS					$	574,375		$	573,575		54113

Section 285.10. ETC ETECH OHIO

54115

General Revenue Fund

54116

GRF	935-321		Operations		$	6,830,918		$	6,830,921		54117
GRF	935-401		Statehouse News Bureau		$	244,400		$	244,400		54118
GRF	935-402		Ohio Government Telecommunications Services		$	716,417		$	716,417		54119
GRF	935-403		Technical Operations		$	3,597,390		$	3,597,389		54120
GRF	935-404		Telecommunications Operating Subsidy		$	3,632,413		$	3,632,413		54121
GRF	935-406		Technical and Instructional Professional Development		$	7,601,351		$	7,601,351		54122
GRF	935-539		Educational Technology		$	4,139,551		$	4,139,551		54123
TOTAL GRF General Revenue Fund					$	26,762,440		$	26,762,442		54124

General Services Fund Group

54125

4F3	935-603		Affiliate Services		$	1,000,000		$	1,000,000		54126
4T2	935-605		Government Television/Telecommunications Operating		$	25,000		$	25,000		54127
5D4	935-640		Conference/Special Purposes		$	1,821,817		$	1,821,817		54128
TOTAL GSF General Services Fund Group					$	2,846,817		$	2,846,817		54129

Federal Special Revenue Fund Group

54130

3S3	935-606		Enhancing Education Technology		$	589,363		$	589,363		54131
TOTAL FED Federal Special Revenue Fund Group					$	589,363		$	589,363		54132

State Special Revenue Fund Group

54133

4W9	935-630		Telecommunity		$	25,000		$	25,000		54134
4X1	935-634		Distance Learning		$	50,000		$	50,000		54135
5T3	935-607		Gates Foundation Grants		$	200,000		$	200,000		54136
TOTAL SSR State Special Revenue Fund Group					$	275,000		$	275,000		54137
TOTAL ALL BUDGET FUND GROUPS					$	30,473,620		$	30,473,622		54138

Section 285.20. TOWERS

54140

(A) eTech Ohio currently owns eighteen towers and owns or	54141
leases an interest in the land upon which the towers are located	54142
at the following sites: Akron/Nimisila, Butler, Carey, Carmel	54143
Church, Celina College, Corner/Oxford, Conneaut/Ashtabula,	54144
Fairborn/Wright State, Lancaster, London, Loudonville, Mansfield,	54145
Maplewood, Millersburg, Thompson, Warrensville Heights,	54146
Wilberforce/Central State University, and Wooster. All rights,	54147
privileges, ownership, and control of the towers shall be	54148
transferred to the Office of Information Technology by July 1,	54149
2007, or as soon as possible thereafter. Where the land upon which	54150
the towers are located is leased by eTech Ohio, eTech Ohio hereby	54151
relinquishes its right on any such lease and the Office of	54152
Information Technology shall be substituted as the lessee of the	54153
premises by July 1, 2007, or as soon as possible thereafter, under	54154
the same terms, provisions, and conditions as specified in each	54155
lease agreement, subject to the lessor's consent. Where the land	54156
upon which the towers are located is owned by eTech Ohio, all	54157
rights, privileges, ownership, and control of the land shall be	54158
transferred to the Office of Information Technology by July 1,	54159
2007, or as soon as possible thereafter. The transfers and	54160
assignments of the eighteen tower site designations are subject to	54161
eTech Ohio's continued right to use the towers for transmission	54162
and broadcasting purposes and subject to the completion of any	54163
legal surveys of the premises on which the towers are located as	54164
deemed necessary by the Office of Real Estate Services.	54165

(B) The Governor is hereby authorized to execute deeds or	54166
leases in the name of the state, granting or leasing all of the	54167
state's right, title, and interest in the parcels described	54168
herein, and as necessary to implement division (A) of this	54169
section.	54170

(C) Renewable leases and deeds to implement division (A) of	54171
this section shall be prepared by the Auditor of State with the	54172
assistance of the Attorney General, executed by the Governor,	54173
countersigned by the Secretary of State, sealed with the Great	54174
Seal of the State, and presented for recording in the Office of	54175
the Auditor of State. Each deed or lease shall be delivered to the	54176
original grantor or lessor of each property for recording in the	54177
office of the appropriate county recorder.	54178

Section 285.30. TELECOMMUNICATIONS

54179

STATEHOUSE NEWS BUREAU

54180

The foregoing appropriation item 935-401, Statehouse News	54181
Bureau, shall be used solely to support the operations of the Ohio	54182
Statehouse News Bureau.	54183

OHIO GOVERNMENT TELECOMMUNICATIONS STUDIO

54184

The foregoing appropriation item 935-402, Ohio Government	54185
Telecommunications Services, shall be used solely to support the	54186
operations of Ohio Government Telecommunications Services.	54187

TECHNICAL OPERATIONS

54188

The foregoing appropriation item 935-403, Technical	54189
Operations, shall be used by eTech Ohio to pay expenses of eTech	54190
Ohio's network infrastructure, which includes the television and	54191
radio transmission infrastructure and infrastructure that shall	54192
link all public K-12 classrooms to each other and the Internet,	54193
and provide access to voice, video, and data educational resources	54194
for students and teachers.	54195

TELECOMMUNICATIONS OPERATING SUBSIDY

54196

The foregoing appropriation item 935-404, Telecommunications	54197
Operating Subsidy, shall be distributed by eTech Ohio to Ohio's	54198
qualified public educational television stations, radio reading	54199
services, and educational radio stations to support their	54200
operations. The funds shall be distributed pursuant to an	54201
allocation formula used by the Ohio Educational Telecommunications	54202
Network Commission unless and until a substitute formula is	54203
developed by eTech Ohio in consultation with Ohio's qualified	54204
public educational television stations, radio reading services,	54205
and educational radio stations.	54206

Section 285.40. TECHNICAL AND INSTRUCTIONAL PROFESSIONAL	54207
DEVELOPMENT	54208

The foregoing appropriation item 935-406, Technical and	54209
Instructional Professional Development, shall be used by eTech	54210
Ohio to make grants or provide services to qualifying public	54211
schools, including the State School for the Blind, the State	54212
School for the Deaf, and the Department of Youth Services, for the	54213
provision of hardware, software, telecommunications services, and	54214
staff development to support educational uses of technology in the	54215
classroom.	54216

Of the foregoing appropriation item 935-406, Technical and	54217
Instructional Professional Development, up to $1,000,000 in each	54218
fiscal year shall be used to implement and support the Ohio	54219
Students Choosing On-line Resources for Educational Success (Ohio	54220
SCORES) initiative that increases the educational options	54221
available to students in mathematics, advanced laboratory-based	54222
science, and foreign language. eTech Ohio shall work	54223
collaboratively with the Department of Education and the Board of	54224
Regents on this initiative.	54225

Of the foregoing appropriation item 935-406, Technical and	54226
Instructional Professional Development, up to $200,000 in each	54227
fiscal year shall be used by eTech Ohio to provide competitive	54228
professional development grants to school districts. Grant	54229
proposals shall focus on developing innovative programs that	54230
enhance the abilities of teachers to use innovative methods for	54231
integrating technology to implement state academic content	54232
standards in classroom lessons. Grant requirements and awards	54233
shall be approved by eTech Ohio, with priority given to school	54234
districts designated in academic emergency, academic watch, or	54235
continuous improvement. eTech Ohio shall develop a web site to	54236
share information learned through these programs with school	54237
districts statewide. The web site shall be linked with the Ohio	54238
Department of Education's Instructional Management System.	54239

Of the foregoing appropriation item 935-406, Technical and	54240
Instructional Professional Development, up to $1,260,000 in each	54241
fiscal year shall be allocated equally among the 12 Ohio	54242
educational television stations and used with the advice and	54243
approval of eTech Ohio. Funds shall be used for the production of	54244
interactive instructional programming series with priority given	54245
to resources aligned with state academic content standards in	54246
consultation with the Ohio Department of Education and for	54247
teleconferences to support eTech Ohio. The programming shall be	54248
targeted to the needs of the poorest two hundred school districts	54249
as determined by the district's adjusted valuation per pupil as	54250
defined in former section 3317.0213 of the Revised Code as that	54251
section existed prior to June 30, 2005.	54252

The remainder of appropriation item 935-406, Technical and	54253
Instructional Professional Development, shall be used by eTech	54254
Ohio for professional development for teachers and administrators	54255
for the use of educational technology. eTech Ohio may make grants	54256
to provide technical assistance and professional development on	54257
the use of educational technology to school districts.	54258

Eligible recipients of grants include regional training	54259
centers, educational service centers, information technology	54260
centers, educational technology centers, institutions of higher	54261
education, public television stations, special education resource	54262
centers, area media centers, or other nonprofit educational	54263
organizations. In addition, services provided through these grants	54264
may include use of private entities subcontracting through the	54265
grant recipient.	54266

Grants shall be made to entities on a contractual basis with	54267
eTech Ohio. Contracts shall include provisions that demonstrate	54268
how services will benefit technology use in the public schools,	54269
and in particular how services will support eTech Ohio's efforts	54270
to integrate technology in the public schools. Contracts shall	54271
specify the scope of assistance being offered and the potential	54272
number of professionals who will be served. Contracting entities	54273
may be awarded more than one grant at a time. Grants shall be	54274
awarded in a manner consistent with the goals and priorities of	54275
eTech Ohio. Special emphasis in the award of grants shall be	54276
placed on collaborative efforts among service providers.	54277

Application for grants from appropriation item 935-406,	54278
Technical and Instructional Professional Development, shall be	54279
consistent with a school district's technology plan that shall	54280
meet the minimum specifications for school district technology	54281
plans as prescribed by eTech Ohio. Funds allocated through these	54282
grants may be combined with funds received through other state or	54283
federal grants for technology so long as the school district's	54284
technology plan specifies the use of these funds.	54285

Section 285.50. EDUCATION TECHNOLOGY

54286

The foregoing appropriation item 935-539, Education	54287
Technology, shall be used to provide funding to suppliers of	54288
information services to school districts for the provision of	54289
hardware, software, and staff development in support of	54290
educational uses of technology in the classroom as prescribed by	54291
the State Plan for Technology pursuant to section 3301.07 of the	54292
Revised Code, and to support assistive technology for children and	54293
youth with disabilities.	54294

Of the foregoing appropriation item 935-539, Education	54295
Technology, up to $4,139,551 in each fiscal year shall be used by	54296
eTech Ohio to contract with educational television to provide Ohio	54297
public schools with instructional resources and services with	54298
priority given to resources and services aligned with state	54299
academic content standards and such resources and services shall	54300
be based upon the advice and approval of eTech Ohio, based on a	54301
formula used by the Ohio SchoolNet Commission unless and until a	54302
substitute formula is developed by eTech Ohio in consultation with	54303
Ohio's educational technology agencies and noncommercial	54304
educational television stations.	54305

Resources may include, but not be limited to, the following:	54306
prerecorded video materials (including videotape, laser discs, and	54307
CD-ROM discs); computer software for student use or student access	54308
to electronic communication, databases, spreadsheet, and word	54309
processing capability; live student courses or courses delivered	54310
electronically; automated media systems; and instructional and	54311
professional development materials for teachers. eTech Ohio shall	54312
collaborate with public television stations and cooperate with	54313
education technology agencies in the acquisition, development, and	54314
delivery of these educational resources to ensure high-quality and	54315
educational soundness at the lowest possible cost. Delivery of	54316
these resources may utilize a variety of technologies, with a	54317
preference given to a high speed integrated information network	54318
that can transport video, voice, data, and graphics	54319
simultaneously.	54320

Services shall include presentations and technical assistance	54321
that will help students and teachers integrate educational	54322
materials that support curriculum objectives, match specific	54323
learning styles, and are appropriate for individual interests and	54324
ability levels.	54325

The instructional resources and services shall be made	54326
available for purchase by chartered nonpublic schools or by school	54327
districts for the benefit of pupils attending chartered nonpublic	54328
schools.	54329

eTech Ohio shall monitor the developments of technology,	54330
coordinate with the Office of Information Technology, and assure	54331
the most effective and highest quality operation of eTech Ohio	54332
networks. All efforts may be aligned with the State's ongoing	54333
efforts to coordinate appropriate network operations through the	54334
Office of Information Technology and through the Third Frontier	54335
Network.	54336

Section 285.60. TELECOMMUNITY

54337

The foregoing appropriation item 935-630, Telecommunity,	54338
shall be distributed by eTech Ohio on a grant basis to eligible	54339
school districts to establish "distance learning" through	54340
interactive video technologies in the school district. Per	54341
agreements with eight Ohio local telephone companies ALLTEL Ohio,	54342
CENTURY Telephone of Ohio, Chillicothe Telephone Company,	54343
Cincinnati Bell Telephone Company, Orwell Telephone Company,	54344
Sprint North Central Telephone, VERIZON, and Western Reserve	54345
Telephone Company, school districts are eligible for funds if they	54346
are within one of the listed telephone company service areas.	54347
Funds to administer the program shall be expended by eTech Ohio up	54348
to the amount specified in agreements with the listed telephone	54349
companies.	54350

Within thirty days after the effective date of this section,	54351
the Director of Budget and Management shall transfer to Fund 4W9	54352
in the State Special Revenue Fund Group any investment earnings	54353
from moneys paid by any telephone company as part of any	54354
settlement agreement between the listed companies and the Public	54355
Utilities Commission in fiscal years 1996 and beyond.	54356

DISTANCE LEARNING

54357

The foregoing appropriation item 935-634, Distance Learning,	54358
shall be distributed by eTech Ohio on a grant basis to eligible	54359
school districts to establish "distance learning" in the school	54360
district. Per the agreement with Ameritech, school districts are	54361
eligible for funds if they are within an Ameritech service area.	54362
Funds to administer the program shall be expended by eTech Ohio up	54363
to the amount specified in the agreement with Ameritech.	54364

Within thirty days after the effective date of this section,	54365
the Director of Budget and Management shall transfer to Fund 4X1	54366
in the State Special Revenue Fund Group any investment earnings	54367
from moneys paid by any telephone company as part of a settlement	54368
agreement between the company and the Public Utilities Commission	54369
in fiscal year 1995.	54370

GATES FOUNDATION GRANTS

54371

The foregoing appropriation item 935-607, Gates Foundation	54372
Grants, shall be used by eTech Ohio to provide professional	54373
development to school district principals, superintendents, and	54374
other administrative staff for the use of education technology.	54375

Section 287.10. ETH OHIO ETHICS COMMISSION

54376

General Revenue Fund

54377

GRF	146-321		Operating Expenses		$	1,863,028		$	1,902,275		54378
TOTAL GRF General Revenue Fund					$	1,863,028		$	1,902,275		54379

General Services Fund Group

54380

4M6	146-601		Operating Expenses		$	432,543		$	432,543		54381
TOTAL GSF General Services											54382
Fund Group					$	432,543		$	432,543		54383
TOTAL ALL BUDGET FUND GROUPS					$	2,295,571		$	2,334,818		54384

Section 289.10. EXP OHIO EXPOSITIONS COMMISSION

54386

General Revenue Fund

54387

GRF	723-403		Junior Fair Subsidy		$	400,000		$	400,000		54388
TOTAL GRF General Revenue Fund					$	400,000		$	400,000		54389

State Special Revenue Fund Group

54390

4N2	723-602		Ohio State Fair Harness Racing		$	520,000		$	520,000		54391
506	723-601		Operating Expenses		$	13,643,315		$	13,643,315		54392
640	723-603		State Fair Reserve		$	125,337		$	0		54393
TOTAL SSR State Special Revenue											54394
Fund Group					$	14,288,652		$	14,163,315		54395
TOTAL ALL BUDGET FUND GROUPS					$	14,688,652		$	14,563,315		54396

STATE FAIR RESERVE

54397

The foregoing appropriation item 723-603, State Fair Reserve,	54398
shall serve as a budget reserve fund for the Ohio Expositions	54399
Commission in the event of a significant decline in attendance	54400
because of inclement weather or extraordinary circumstances during	54401
the Ohio State Fair resulting in a loss of revenue. The State Fair	54402
Reserve Fund (Fund 640) may be used by the Ohio Expositions	54403
Commission to pay bills resulting from the Ohio State Fair only if	54404
all the following criteria are met:	54405

(A) Admission revenues for the 2007 Ohio State Fair are less	54406
than $2,025,000 or the admission revenues for the 2008 Ohio State	54407
Fair are less than $2,065,000 because of inclement weather or	54408
extraordinary circumstances. These amounts are ninety per cent of	54409
the projected revenues for each year.	54410

(B) The Ohio Expositions Commission declares a state of	54411
fiscal exigency and requests release of funds from the Director of	54412
Budget and Management.	54413

(C) The Director of Budget and Management releases the funds.	54414
The Director of Budget and Management may approve or disapprove	54415
the request for release of funds, may increase or decrease the	54416
amount of release, and may place conditions as the Director	54417
considers necessary on the use of the released funds. The Director	54418
of Budget and Management may transfer the appropriation from	54419
fiscal year 2008 to fiscal year 2009 as needed.	54420

In the event that the Ohio Expositions Commission faces a	54421
temporary cash shortage that will preclude it from meeting current	54422
obligations, the Commission may request the Director of Budget and	54423
Management to approve use of the State Fair Reserve Fund (Fund	54424
640) to meet those obligations. The request shall include a plan	54425
describing how the Commission will eliminate the cash shortage. If	54426
the Director of Budget and Management approves the expenditures,	54427
the Commission shall reimburse the State Fair Reserve Fund (Fund	54428
640) by the thirtieth day of June of that same fiscal year through	54429
an intrastate transfer voucher. The amount reimbursed is hereby	54430
appropriated.	54431

Section 291.10.  GOV OFFICE OF THE GOVERNOR

54432

General Revenue Fund

54433

GRF	040-321		Operating Expenses		$	3,754,045		$	3,754,045		54434
GRF	040-403		Federal Relations		$	435,443		$	435,443		54435
GRF	040-408		Office of Veterans' Affairs		$	287,000		$	298,000		54436
TOTAL GRF General Revenue Fund					$	4,476,488		$	4,487,488		54437

General Services Fund Group

54438

5AK	040-607		Federal Relations		$	365,149		$	365,149		54439
TOTAL GSF General Services Fund Group					$	365,149		$	365,149		54440

TOTAL ALL BUDGET FUND GROUPS

$

4,841,637

$

4,852,637

54441

APPOINTMENT OF LEGAL COUNSEL FOR THE GOVERNOR

54442

The Governor may expend a portion of the foregoing	54443
appropriation item 040-321, Operating Expenses, to hire or appoint	54444
legal counsel to be used in proceedings involving the Governor in	54445
the Governor's official capacity or the Governor's office only,	54446
without the approval of the Attorney General, notwithstanding	54447
sections 109.02 and 109.07 of the Revised Code.	54448

FEDERAL RELATIONS

54449

A portion of the foregoing appropriation items 040-403,	54450
Federal Relations, and 040-607, Federal Relations, may be used to	54451
support Ohio's membership in national or regional associations.	54452

The Office of the Governor may charge any state agency of the	54453
executive branch using an intrastate transfer voucher such amounts	54454
necessary to defray the costs incurred for the conduct of federal	54455
relations associated with issues that can be attributed to the	54456
agency. Amounts collected shall be deposited to the Office of the	54457
Governor Federal Relations Fund (Fund 5AK).	54458

Section 293.10. DOH DEPARTMENT OF HEALTH

54459

General Revenue Fund

54460

GRF	440-407		Animal Borne Disease and Prevention		$	2,452,101		$	2,452,101		54461
GRF	440-412		Cancer Incidence Surveillance System		$	1,002,619		$	1,002,619		54462
GRF	440-413		Local Health Department Support		$	3,786,794		$	3,786,794		54463
GRF	440-416		Child and Family Health Services		$	8,947,874		$	9,047,874		54464
GRF	440-418		Immunizations		$	9,400,615		$	9,400,615		54465
GRF	440-437		Healthy Ohio		$	1,502,618		$	2,855,553		54466
GRF	440-444		AIDS Prevention and Treatment		$	7,158,127		$	7,158,127		54467
GRF	440-446		Infectious Disease Prevention		$	200,000		$	200,000		54468
GRF	440-451		Lab and Public Health Prevention Programs		$	6,085,250		$	6,085,250		54469
GRF	440-452		Child and Family Health Services Match		$	1,024,017		$	1,024,017		54470
GRF	440-453		Health Care Quality Assurance		$	10,253,728		$	10,253,728		54471
GRF	440-454		Local Environmental Health		$	889,752		$	889,752		54472
GRF	440-459		Help Me Grow		$	10,923,397		$	15,039,347		54473
GRF	440-505		Medically Handicapped Children		$	10,791,784		$	10,791,784		54474
GRF	440-507		Targeted Health Care Services Over 21		$	1,681,023		$	1,681,023		54475
GRF	440-511		Uncompensated Care and Emergency Medical Assistance		$	0		$	3,500,000		54476
TOTAL GRF General Revenue Fund					$	76,099,699		$	85,168,584		54477

General Services Fund Group

54478

142	440-646		Agency Health Services		$	3,461,915		$	3,461,915		54479
211	440-613		Central Support Indirect Costs		$	28,884,707		$	28,884,707		54480
473	440-622		Lab Operating Expenses		$	4,954,045		$	4,954,045		54481
683	440-633		Employee Assistance Program		$	1,208,214		$	1,208,214		54482
698	440-634		Nurse Aide Training		$	170,000		$	170,000		54483
TOTAL GSF General Services											54484
Fund Group					$	38,678,881		$	38,678,881		54485

Federal Special Revenue Fund Group

54486

320	440-601		Maternal Child Health Block Grant		$	29,025,635		$	29,025,635		54487
387	440-602		Preventive Health Block Grant		$	7,826,659		$	7,826,659		54488
389	440-604		Women, Infants, and Children		$	230,077,451		$	230,077,451		54489
391	440-606		Medicaid/Medicare		$	24,850,959		$	24,850,959		54490
392	440-618		Federal Public Health Programs		$	136,778,215		$	136,778,215		54491
TOTAL FED Federal Special Revenue											54492
Fund Group					$	428,558,919		$	428,558,919		54493

State Special Revenue Fund Group

54494

4D6	440-608		Genetics Services		$	3,317,000		$	3,317,000		54495
4F9	440-610		Sickle Cell Disease Control		$	1,035,344		$	1,035,344		54496
4G0	440-636		Heirloom Birth Certificate		$	5,000		$	5,000		54497
4G0	440-637		Birth Certificate Surcharge		$	5,000		$	5,000		54498
4L3	440-609		Miscellaneous Expenses		$	446,468		$	446,468		54499
4T4	440-603		Child Highway Safety		$	233,894		$	233,894		54500
4V6	440-641		Save Our Sight		$	1,767,994		$	1,767,994		54501
470	440-647		Fee Supported Programs		$	27,946,243		$	25,905,140		54502
471	440-619		Certificate of Need		$	869,000		$	898,000		54503
477	440-627		Medically Handicapped Children Audit		$	3,693,016		$	3,693,016		54504
5B5	440-616		Quality, Monitoring, and Inspection		$	838,479		$	838,479		54505
5CN	440-645		Choose Life		$	75,000		$	75,000		54506
5C0	440-615		Alcohol Testing and Permit		$	1,455,405		$	1,455,405		54507
5D6	440-620		Second Chance Trust		$	1,054,951		$	1,054,951		54508
5EC	440-650		Health Emergency		$	15,312,500		$	0		54509
5ED	440-651		Smoke Free Indoor Air		$	800,000		$	800,000		54510
5G4	440-639		Adoption Services		$	20,000		$	20,000		54511
5L1	440-623		Nursing Facility Technical Assistance Program		$	664,282		$	698,595		54512
610	440-626		Radiation Emergency Response		$	850,000		$	850,000		54513
666	440-607		Medically Handicapped Children - County Assessments		$	14,320,687		$	14,320,687		54514
TOTAL SSR State Special Revenue											54515
Fund Group					$	74,710,263		$	57,419,973		54516

Holding Account Redistribution Fund Group

54517

R14	440-631		Vital Statistics		$	70,000		$	70,000		54518
R48	440-625		Refunds, Grants Reconciliation, and Audit Settlements		$	20,000		$	20,000		54519
TOTAL 090 Holding Account											54520
Redistribution Fund Group					$	90,000		$	90,000		54521
TOTAL ALL BUDGET FUND GROUPS					$	618,137,762		$	609,916,357		54522

Section 293.20. CHILD AND FAMILY HEALTH SERVICES

54524

Of the foregoing appropriation item 440-416, Child and Family	54525
Health Services, not more than $1,700,000 in each fiscal year	54526
shall be used for women's health services.	54527

Of the foregoing appropriation item 440-416, Child and Family	54528
Health Services, not more than $270,000 shall be used in each	54529
fiscal year for the OPTIONS dental care access program.	54530

Of the foregoing appropriation item 440-416, Child and Family	54531
Health Services, not more than $1,400,000 in each fiscal year	54532
shall be used by federally qualified health centers and federally	54533
designated look-alikes to provide services to uninsured low-income	54534
persons.	54535

Of the foregoing appropriation item 440-416, Child and Family	54536
Health Services, $10,000 in each fiscal year shall be allocated to	54537
the Jewish Family Services in Cleveland, $10,000 in each fiscal	54538
year shall be allocated to the Jewish Family Services in	54539
Cincinnati, $10,000 shall be allocated in each fiscal year to the	54540
Jewish Family Services in Columbus, and $10,000 in each fiscal	54541
year shall be allocated to the Wexner Heritage Village in Columbus	54542
for interpreters for health care.	54543

Of the foregoing appropriation item 440-416, Child and Family	54544
Health Services, $10,000 in each fiscal year shall be provided to	54545
the Jewish Family Services in Dayton, $5,000 in each fiscal year	54546
shall be provided to the Jewish Community Center in Akron, $5,000	54547
in each fiscal year shall be provided to the Jewish Community	54548
Center in Sylvania, $2,500 in each fiscal year shall be provided	54549
to the Jewish Community Center in Youngstown, and $2,500 in each	54550
fiscal year shall be provided to the Jewish Community Center in	54551
Canton.	54552

Of the foregoing appropriation item 440-416, Child and Family	54553
Health Services, $16,667 in each fiscal year shall be allocated to	54554
the Yassenoff Jewish Community Center, $16,667 in each fiscal year	54555
shall be allocated to the Jewish Community Center in Cincinnati,	54556
and $16,666 in each fiscal year shall be allocated to the Jewish	54557
Community Center in Cleveland for children's health and nutrition	54558
camp programs.	54559

Section 293.30. HEALTHY OHIO

54560

The Department of Health may use appropriation item 440-437,	54561
Healthy Ohio, to complete an inventory of prevention programs so	54562
that it may better target prevention funding, to fund programs to	54563
decrease minority health disparities, and to fund care	54564
coordination models to improve health outcomes for individuals	54565
with catastrophic health conditions.	54566

HIV/AIDS PREVENTION/TREATMENT

54567

Of the foregoing appropriation item 440-444, AIDS Prevention	54568
and Treatment, not more than $6.7 million in each fiscal year	54569
shall be used to assist persons with HIV/AIDS in acquiring	54570
HIV-related medications.	54571

INFECTIOUS DISEASE PREVENTION

54572

The foregoing appropriation item 440-446, Infectious Disease	54573
Prevention, shall be used for the purchase of drugs for sexually	54574
transmitted diseases.	54575

HELP ME GROW

54576

The foregoing appropriation item 440-459, Help Me Grow, shall	54577
be used by the Department of Health to distribute subsidies to	54578
counties to implement the Help Me Grow Program. Appropriation item	54579
440-459, Help Me Grow, may be used in conjunction with Temporary	54580
Assistance for Needy Families from the Department of Job and	54581
Family Services, Early Intervention funding from the Department of	54582
Mental Retardation and Developmental Disabilities, and in	54583
conjunction with other early childhood funds and services to	54584
promote the optimal development of young children. Local contracts	54585
shall be developed between local departments of job and family	54586
services and family and children first councils for the	54587
administration of TANF funding for the Help Me Grow Program. The	54588
Department of Health shall enter into an interagency agreement	54589
with the Department of Education, Department of Mental Retardation	54590
and Developmental Disabilities, Department of Job and Family	54591
Services, and Department of Mental Health to ensure that all early	54592
childhood programs and initiatives are coordinated and school	54593
linked.	54594

TARGETED HEALTH CARE SERVICES OVER 21

54595

In each fiscal year, of the foregoing appropriation item	54596
440-507, Targeted Health Care Services Over 21, $731,023 shall be	54597
used to administer the cystic fibrosis program and implement the	54598
Hemophilia Insurance Premium Payment Program.	54599

Of the foregoing appropriation item 440-507, Targeted Health	54600
Care Services Over 21, $900,000 in each fiscal year shall be used	54601
to provide essential medications and to pay the copayments for	54602
drugs approved by the Department of Health and covered by Medicare	54603
Part D that are dispensed to Bureau for Children with Medical	54604
Handicaps (BCMH) participants for the cystic fibrosis program.	54605

UNCOMPENSATED CARE AND EMERGENCY MEDICAL

54606

The foregoing appropriation item 440-511, Uncompensated Care	54607
and Emergency Medical Assistance, shall be used to fund programs	54608
that provide health care without ability to pay. This is not an	54609
entitlement program and services are offered only to the extent	54610
that funding is available.	54611

GENETICS SERVICES

54612

The foregoing appropriation item 440-608, Genetics Services	54613
(Fund 4D6), shall be used by the Department of Health to	54614
administer programs authorized by sections 3701.501 and 3701.502	54615
of the Revised Code. None of these funds shall be used to counsel	54616
or refer for abortion, except in the case of a medical emergency.	54617

MEDICALLY HANDICAPPED CHILDREN AUDIT

54618

The Medically Handicapped Children Audit Fund (Fund 477)	54619
shall receive revenue from audits of hospitals and recoveries from	54620
third-party payers. Moneys may be expended for payment of audit	54621
settlements and for costs directly related to obtaining recoveries	54622
from third-party payers and for encouraging Medically Handicapped	54623
Children's Program recipients to apply for third-party benefits.	54624
Moneys also may be expended for payments for diagnostic and	54625
treatment services on behalf of medically handicapped children, as	54626
defined in division (A) of section 3701.022 of the Revised Code,	54627
and Ohio residents who are twenty-one or more years of age and who	54628
are suffering from cystic fibrosis or hemophilia. Moneys may also	54629
be expended for administrative expenses incurred in operating the	54630
Medically Handicapped Children's Program.	54631

CASH TRANSFER FROM LIQUOR CONTROL FUND TO ALCOHOL TESTING AND	54632
PERMIT FUND	54633

The Director of Budget and Management, pursuant to a plan	54634
submitted by the Department of Health, or as otherwise determined	54635
by the Director of Budget and Management, shall set a schedule to	54636
transfer cash from the Liquor Control Fund (Fund 043) to the	54637
Alcohol Testing and Permit Fund (Fund 5C0) to meet the operating	54638
needs of the Alcohol Testing and Permit program.	54639

The Director of Budget and Management shall transfer to the	54640
Alcohol Testing and Permit Fund (Fund 5C0) from the Liquor Control	54641
Fund (Fund 043) created in section 4301.12 of the Revised Code	54642
such amounts at such times as determined by the transfer schedule.	54643

MEDICALLY HANDICAPPED CHILDREN - COUNTY ASSESSMENTS

54644

The foregoing appropriation item 440-607, Medically	54645
Handicapped Children - County Assessments (Fund 666), shall be	54646
used to make payments under division (E) of section 3701.023 of	54647
the Revised Code.	54648

Section 293.40. NURSING FACILITY TECHNICAL ASSISTANCE PROGRAM

54649

The Director of Budget and Management shall transfer, on July	54650
1, 2007, or as soon as possible thereafter, cash from Fund 4E3,	54651
Resident Protection Fund, in the Ohio Department of Job and Family	54652
Services, to Fund 5L1, Nursing Facility Technical Assistance	54653
Program Fund, in the Ohio Department of Health, to be used under	54654
section 3721.026 of the Revised Code. The transfers shall equal	54655
$410,111 in fiscal year 2008 and $698,595 in fiscal year 2009.	54656

CASH TRANSFER FROM FEDERAL PUBLIC HEALTH PROGRAMS FUND TO	54657
AGENCY HEALTH SERVICES FUND	54658

As soon as possible on or after July 1, 2007, the Director of	54659
Health shall certify to the Director of Budget and Management the	54660
amount of cash to be transferred from the Federal Public Health	54661
Programs Fund (Fund 392) to the Agency Health Services Fund (Fund	54662
142) to meet the operating needs of the Vital Statistics Program.	54663
The Director of Budget and Management shall transfer the amount	54664
certified.	54665

Section 295.10. HEF HIGHER EDUCATIONAL FACILITY COMMISSION

54666

Agency Fund Group

54667

461	372-601		Operating Expenses		$	16,819		$	16,819		54668
TOTAL AGY Agency Fund Group					$	16,819		$	16,819		54669
TOTAL ALL BUDGET FUND GROUPS					$	16,819		$	16,819		54670

Section 297.10. SPA COMMISSION ON HISPANIC/LATINO AFFAIRS

54672

General Revenue Fund

54673

GRF	148-100		Personal Services		$	160,121		$	167,156		54674
GRF	148-200		Maintenance		$	40,000		$	40,000		54675
GRF	148-402		Community Projects		$	500,000		$	500,000		54676
TOTAL GRF General Revenue Fund					$	700,121		$	707,156		54677

General Services Fund Group

54678

601	148-602		Gifts and Miscellaneous		$	20,000		$	20,000		54679
TOTAL GSF General Services											54680
Fund Group					$	20,000		$	20,000		54681
TOTAL ALL BUDGET FUND GROUPS					$	720,121		$	727,156		54682

Section 299.10. OHS OHIO HISTORICAL SOCIETY

54684

General Revenue Fund

54685

GRF	360-501		Operating Subsidy		$	3,349,244		$	3,349,252		54686
GRF	360-502		Site and Museum Operations		$	8,501,781		$	8,501,788		54687
GRF	360-504		Ohio Preservation Office		$	417,516		$	415,381		54688
GRF	360-505		National Afro-American Museum		$	762,433		$	762,433		54689
GRF	360-506		Hayes Presidential Center		$	514,323		$	514,323		54690
GRF	360-508		State Historical Grants		$	75,000		$	75,000		54691
TOTAL GRF General Revenue Fund					$	13,620,297		$	13,618,177		54692
TOTAL ALL BUDGET FUND GROUPS					$	13,620,297		$	13,618,177		54693

SUBSIDY APPROPRIATION

54694

Upon approval by the Director of Budget and Management, the	54695
foregoing appropriation items shall be released to the Ohio	54696
Historical Society in quarterly amounts that in total do not	54697
exceed the annual appropriations. The funds and fiscal records of	54698
the society for fiscal years 2008 and 2009 shall be examined by	54699
independent certified public accountants approved by the Auditor	54700
of State, and a copy of the audited financial statements shall be	54701
filed with the Office of Budget and Management. The society shall	54702
prepare and submit to the Office of Budget and Management the	54703
following:	54704

(A) An estimated operating budget for each fiscal year of the	54705
biennium. The operating budget shall be submitted at or near the	54706
beginning of each calendar year.	54707

(B) Financial reports, indicating actual receipts and	54708
expenditures for the fiscal year to date. These reports shall be	54709
filed at least semiannually during the fiscal biennium.	54710

The foregoing appropriations shall be considered to be the	54711
contractual consideration provided by the state to support the	54712
state's offer to contract with the Ohio Historical Society under	54713
section 149.30 of the Revised Code.	54714

HAYES PRESIDENTIAL CENTER

54715

If a United States government agency, including, but not	54716
limited to, the National Park Service, chooses to take over the	54717
operations or maintenance of the Hayes Presidential Center, in	54718
whole or in part, the Ohio Historical Society shall make	54719
arrangements with the National Park Service or other United States	54720
government agency for the efficient transfer of operations or	54721
maintenance.	54722

HISTORICAL GRANTS

54723

Of the foregoing appropriation item 360-508, State Historical	54724
Grants, $75,000 in each fiscal year shall be distributed to the	54725
Hebrew Union College in Cincinnati.	54726

PROCESSING FEES

54727

The Ohio Historical Society shall not charge or retain an	54728
administrative, service, or processing fee for distributing money	54729
that the General Assembly appropriates to the Society for grants	54730
or subsidies that the Society provides to other entities for their	54731
site-related programs.	54732

Section 301.10.  REP OHIO HOUSE OF REPRESENTATIVES

54733

General Revenue Fund

54734

GRF	025-321		Operating Expenses		$	20,574,568		$	20,574,568		54735
TOTAL GRF General Revenue Fund					$	20,574,568		$	20,574,568		54736

General Services Fund Group

54737

103	025-601		House Reimbursement		$	1,433,664		$	1,433,664		54738
4A4	025-602		Miscellaneous Sales		$	37,849		$	37,849		54739
TOTAL GSF General Services											54740
Fund Group					$	1,471,513		$	1,471,513		54741
TOTAL ALL BUDGET FUND GROUPS					$	22,046,081		$	22,046,081		54742

OPERATING EXPENSES

54743

On July 1, 2007, or as soon as possible thereafter, the Chief	54744
Administrative Officer of the House of Representatives shall	54745
certify to the Director of Budget and Management the total fiscal	54746
year 2007 unencumbered appropriations in appropriation item	54747
025-321, Operating Expenses. The Chief Administrative Officer may	54748
direct the Director of Budget and Management to transfer an amount	54749
not to exceed the total fiscal year 2007 unencumbered	54750
appropriations to fiscal year 2008 for use within appropriation	54751
item 025-321, Operating Expenses. Additional appropriation	54752
authority equal to the amount certified by the Chief	54753
Administrative Officer is hereby appropriated to appropriation	54754
item 025-321, Operating Expenses, in fiscal year 2008.	54755

On July 1, 2008, or as soon as possible thereafter, the Chief	54756
Administrative Officer of the House of Representatives shall	54757
certify to the Director of Budget and Management the total fiscal	54758
year 2008 unencumbered appropriations in appropriation item	54759
025-321, Operating Expenses. The Chief Administrative Officer may	54760
direct the Director of Budget and Management to transfer an amount	54761
not to exceed the total fiscal year 2008 unencumbered	54762
appropriations to fiscal year 2009 for use within appropriation	54763
item 025-321, Operating Expenses. Additional appropriation	54764
authority equal to the amount certified by the Chief	54765
Administrative Officer is hereby appropriated to appropriation	54766
item 025-321, Operating Expenses, in fiscal year 2009.	54767

Section 303.10. HFA OHIO HOUSING FINANCE AGENCY

54768

Agency Fund Group

54769

5AZ	997-601		Housing Finance Agency Personal Services		$	9,750,953		$	10,237,491		54770
TOTAL AGY Agency Fund Group					$	9,750,953		$	10,237,491		54771
TOTAL ALL BUDGET FUND GROUPS					$	9,750,953		$	10,237,491		54772

Section 305.10. IGO OFFICE OF THE INSPECTOR GENERAL

54774

General Revenue Fund

54775

GRF	965-321		Operating Expenses		$	1,367,372		$	1,437,901		54776
TOTAL GRF General Revenue Fund					$	1,367,372		$	1,437,901		54777

General Services Fund Group

54778

4Z3	965-602		Special Investigations		$	375,000		$	375,000		54779
TOTAL GSF General Services Fund Group					$	375,000		$	375,000		54780
TOTAL ALL BUDGET FUND GROUPS					$	1,742,372		$	1,812,901		54781

Section 307.10.  INS DEPARTMENT OF INSURANCE

54783

Federal Special Revenue Fund Group

54784

3U5	820-602		OSHIIP Operating Grant		$	1,100,000		$	1,100,000		54785
TOTAL FED Federal Special											54786
Revenue Fund Group					$	1,100,000		$	1,100,000		54787

State Special Revenue Fund Group

54788

554	820-601		Operating Expenses - OSHIIP		$	553,750		$	569,269		54789
554	820-606		Operating Expenses		$	23,350,236		$	23,802,797		54790
555	820-605		Examination		$	7,639,581		$	7,868,768		54791
TOTAL SSR State Special Revenue											54792
Fund Group					$	31,543,567		$	32,240,834		54793
TOTAL ALL BUDGET FUND GROUPS					$	32,643,567		$	33,340,834		54794

MARKET CONDUCT EXAMINATION

54795

When conducting a market conduct examination of any insurer	54796
doing business in this state, the Superintendent of Insurance may	54797
assess the costs of the examination against the insurer. The	54798
superintendent may enter into consent agreements to impose	54799
administrative assessments or fines for conduct discovered that	54800
may be violations of statutes or rules administered by the	54801
superintendent. All costs, assessments, or fines collected shall	54802
be deposited to the credit of the Department of Insurance	54803
Operating Fund (Fund 554).	54804

EXAMINATIONS OF DOMESTIC FRATERNAL BENEFIT SOCIETIES

54805

The Director of Budget and Management, at the request of the	54806
Superintendent of Insurance, may transfer funds from the	54807
Department of Insurance Operating Fund (Fund 554), established by	54808
section 3901.021 of the Revised Code, to the Superintendent's	54809
Examination Fund (Fund 555), established by section 3901.071 of	54810
the Revised Code, only for expenses incurred in examining domestic	54811
fraternal benefit societies as required by section 3921.28 of the	54812
Revised Code.	54813

Section 309.10. JFS DEPARTMENT OF JOB AND FAMILY SERVICES

54814

General Revenue Fund

54815

GRF	600-321		Support Services								54816
			State		$	54,527,933		$	56,246,413		54817
			Federal		$	11,247,619		$	12,096,738		54818
			Support Services Total		$	65,775,552		$	68,343,151		54819
GRF	600-410		TANF State		$	272,619,061		$	272,619,061		54820
GRF	600-413		Child Care Match/Maintenance of Effort		$	84,120,596		$	84,120,596		54821
GRF	600-416		Computer Projects								54822
			State		$	122,501,181		$	124,740,533		54823
			Federal		$	22,814,573		$	22,706,905		54824
			Computer Projects Total		$	145,315,754		$	147,447,438		54825
GRF	600-420		Child Support Administration		$	8,791,446		$	10,891,446		54826
GRF	600-421		Office of Family Stability		$	4,864,932		$	4,864,932		54827
GRF	600-423		Office of Children and Families		$	6,737,630		$	6,737,630		54828
GRF	600-425		Office of Ohio Health Plans								54829
			State		$	24,483,853		$	24,433,988		54830
			Federal		$	25,381,429		$	25,431,294		54831
			Office of Ohio Health Plans Total		$	49,865,282		$	49,865,282		54832
GRF	600-502		Administration - Local		$	34,014,103		$	34,014,103		54833
GRF	600-511		Disability Financial Assistance		$	24,028,480		$	25,335,908		54834
GRF	600-512		Non-TANF Disaster Assistance		$	1,000,000		$	1,000,000		54835
GRF	600-521		Entitlement Administration - Local		$	131,214,401		$	131,214,401		54836
GRF	600-523		Children and Families Services		$	78,515,135		$	78,515,135		54837
GRF	600-525		Health Care/Medicaid								54838
			State		$	3,535,477,365		$	3,781,240,317		54839
			Federal		$	5,366,236,631		$	6,056,895,195		54840
			Health Care Total		$	8,901,713,996		$	9,838,135,512		54841
GRF	600-526		Medicare Part D		$	254,397,401		$	271,854,640		54842
GRF	600-528		Adoption Services								54843
			State		$	40,043,266		$	43,978,301		54844
			Federal		$	44,081,243		$	49,196,065		54845
			Adoption Services Total		$	84,124,509		$	93,174,366		54846
TOTAL GRF General Revenue Fund											54847
			State		$	4,677,336,783		$	4,951,807,404		54848
			Federal		$	5,469,761,495		$	6,166,326,197		54849
			GRF Total		$	10,147,098,278		$	11,118,133,601		54850

General Services Fund Group

54851

4A8	600-658		Child Support Collections		$	26,680,794		$	26,680,794		54852
4R4	600-665		BCII Services/Fees		$	36,974		$	36,974		54853
5BG	600-653		Managed Care Assessment		$	210,655,034		$	222,667,304		54854
5C9	600-671		Medicaid Program Support		$	80,120,048		$	80,120,048		54855
5DL	600-639		Medicaid Revenue and Collections		$	51,966,785		$	56,296,844		54856
5N1	600-677		County Technologies		$	1,000,000		$	1,000,000		54857
5P5	600-692		Health Care Services		$	93,000,000		$	62,000,000		54858
613	600-645		Training Activities		$	135,000		$	135,000		54859
TOTAL GSF General Services											54860
Fund Group					$	463,594,635		$	448,936,964		54861

Federal Special Revenue Fund Group

54862

3AW	600-675		Faith Based Initiatives		$	1,000,000		$	1,000,000		54863
3A2	600-641		Emergency Food Distribution		$	2,900,000		$	3,500,000		54864
3D3	600-648		Children's Trust Fund Federal		$	2,040,524		$	2,040,524		54865
3F0	600-623		Health Care Federal		$	1,209,188,383		$	1,211,196,561		54866
3F0	600-650		Hospital Care Assurance Match		$	343,239,047		$	343,239,047		54867
3G5	600-655		Interagency Reimbursement		$	1,469,763,073		$	1,513,855,965		54868
3H7	600-617		Child Care Federal		$	207,269,463		$	200,167,593		54869
3N0	600-628		IV-E Foster Care Maintenance		$	153,963,142		$	153,963,142		54870
3S5	600-622		Child Support Projects		$	534,050		$	534,050		54871
3V0	600-688		Workforce Investment Act		$	232,568,453		$	233,082,144		54872
3V4	600-678		Federal Unemployment Programs		$	147,411,858		$	152,843,414		54873
3V4	600-679		Unemployment Compensation Review Commission - Federal		$	3,092,890		$	3,191,862		54874
3V6	600-689		TANF Block Grant		$	1,037,739,200		$	1,085,861,099		54875
3W3	600-659		TANF/Title XX Transfer		$	9,782,101		$	6,200,000		54876
327	600-606		Child Welfare		$	48,514,502		$	47,947,309		54877
331	600-686		Federal Operating		$	53,963,318		$	56,263,225		54878
384	600-610		Food Stamps and State Administration		$	160,237,060		$	153,147,118		54879
385	600-614		Refugee Services		$	10,196,547		$	11,057,826		54880
395	600-616		Special Activities/Child and Family Services		$	5,723,131		$	5,717,151		54881
396	600-620		Social Services Block Grant		$	114,479,464		$	114,474,085		54882
396	600-651		Second Harvest Food Banks		$	5,500,000		$	5,500,000		54883
397	600-626		Child Support		$	303,661,307		$	303,538,962		54884
398	600-627		Adoption Maintenance/ Administration		$	318,172,168		$	317,483,676		54885
TOTAL FED Federal Special Revenue											54886
Fund Group					$	5,840,939,681		$	5,925,804,753		54887

State Special Revenue Fund Group

54888

198	600-647		Children's Trust Fund		$	6,788,522		$	6,788,522		54889
4A9	600-607		Unemployment Compensation Administration Fund		$	12,273,062		$	12,188,996		54890
4A9	600-694		Unemployment Compensation Review Commission		$	1,726,938		$	1,811,004		54891
4E3	600-605		Nursing Home Assessments		$	4,759,914		$	4,759,914		54892
4E7	600-604		Child and Family Services Collections		$	300,000		$	300,000		54893
4J5	600-613		Nursing Facility Bed Assessments		$	34,613,984		$	34,613,984		54894
4J5	600-618		Residential State Supplement Payments		$	15,700,000		$	15,700,000		54895
4K1	600-621		ICF/MR Bed Assessments		$	19,332,437		$	19,332,437		54896
4R3	600-687		Banking Fees		$	800,000		$	800,000		54897
4Z1	600-625		HealthCare Compliance		$	10,000,000		$	10,000,000		54898
5DB	600-637		Military Injury Grants		$	2,000,000		$	2,000,000		54899
5ES	600-630		Food Assistance		$	500,000		$	500,000		54900
5F2	600-667		Building Consolidation		$	250,000		$	250,000		54901
5F3	600-668		Building Consolidation		$	1,000,000		$	1,000,000		54902
5Q9	600-619		Supplemental Inpatient Hospital Payments		$	56,125,998		$	56,125,998		54903
5R2	600-608		Medicaid-Nursing Facilities		$	175,000,000		$	175,000,000		54904
5S3	600-629		MR/DD Medicaid Administration and Oversight		$	1,620,960		$	1,620,960		54905
5U3	600-654		Health Care Services Administration		$	9,867,284		$	12,000,349		54906
5U6	600-663		Children and Family Support		$	4,928,718		$	4,928,718		54907
5Z9	600-672		TANF Quality Control Reinvestments		$	520,971		$	546,254		54908
651	600-649		Hospital Care Assurance Program Fund		$	231,893,404		$	231,893,404		54909
TOTAL SSR State Special Revenue											54910
Fund Group					$	590,002,192		$	592,160,540		54911

Agency Fund Group

54912

192	600-646		Support Intercept - Federal		$	110,000,000		$	110,000,000		54913
5B6	600-601		Food Stamp Intercept		$	2,000,000		$	2,000,000		54914
583	600-642		Support Intercept - State		$	16,000,000		$	16,000,000		54915
TOTAL AGY Agency Fund Group					$	128,000,000		$	128,000,000		54916

Holding Account Redistribution Fund Group

54917

R12	600-643		Refunds and Audit Settlements		$	3,600,000		$	3,600,000		54918
R13	600-644		Forgery Collections		$	10,000		$	10,000		54919
TOTAL 090 Holding Account Redistribution Fund Group					$	3,610,000		$	3,610,000		54920
TOTAL ALL BUDGET FUND GROUPS					$	17,173,244,786		$	18,216,645,858		54921

Section 309.20. SUPPORT SERVICES

54923

Section 309.20.10. GOVERNOR'S OFFICE OF FAITH-BASED AND	54924
COMMUNITY INITIATIVES	54925

Of the foregoing appropriation item 600-321, Support	54926
Services, up to $312,500 per fiscal year may be used to support	54927
the activities of the Governor's Office of Faith-Based and	54928
Community Initiatives.	54929

Section 309.20.20. OHIO BENEFIT BANK

54930

Of the foregoing appropriation item 600-321, Support	54931
Services, up to $299,276 in fiscal year 2008 and up to $472,366 in	54932
fiscal year 2009 shall be used to support the Ohio Benefit Bank, a	54933
web-enabled, counselor-assisted program for low and	54934
moderate-income Ohioans.	54935

Section 309.20.30. AGENCY FUND GROUP

54936

The Agency Fund Group and Holding Account Redistribution Fund	54937
Group shall be used to hold revenues until the appropriate fund is	54938
determined or until the revenues are directed to the appropriate	54939
governmental agency other than the Department of Job and Family	54940
Services. If it is determined that additional appropriation	54941
authority is necessary, such amounts are hereby appropriated.	54942

Section 309.30. MEDICAID

54943

Section 309.30.10. HEALTH CARE/MEDICAID

54944

The foregoing appropriation item 600-525, Health	54945
Care/Medicaid, shall not be limited by section 131.33 of the	54946
Revised Code.	54947

Section 309.30.20. FISCAL YEAR 2008 MEDICAID REIMBURSEMENT	54948
SYSTEM FOR NURSING FACILITIES	54949

(A) As used in this section:

54950

"Franchise permit fee," "Medicaid days," "nursing facility,"	54951
and "provider" have the same meanings as in section 5111.20 of the	54952
Revised Code.	54953

"Nursing facility services" means nursing facility services	54954
covered by the Medicaid program that a nursing facility provides	54955
to a resident of the nursing facility who is a Medicaid recipient	54956
eligible for Medicaid-covered nursing facility services.	54957

(B) Except as otherwise provided by this section, the	54958
provider of a nursing facility that has a valid Medicaid provider	54959
agreement on June 30, 2007, and a valid Medicaid provider	54960
agreement during fiscal year 2008 shall be paid, for nursing	54961
facility services the nursing facility provides during fiscal year	54962
2008, the rate calculated for the nursing facility under sections	54963
5111.20 to 5111.33 of the Revised Code with the following	54964
adjustments:	54965

(1) The cost per case mix-unit calculated under section	54966
5111.231 of the Revised Code, the rate for ancillary and support	54967
costs calculated under section 5111.24 of the Revised Code, the	54968
rate for capital costs calculated under section 5111.25 of the	54969
Revised Code, and the rate for tax costs calculated under section	54970
5111.242 of the Revised Code shall each be adjusted as follows:	54971

(a) Increase the cost and rates so calculated by two per	54972
cent;	54973

(b) Increase the cost and rates determined under division	54974
(B)(1)(a) of this section by two per cent;	54975

(c) Increase the cost and rates determined under division	54976
(B)(1)(b) of this section by one per cent.	54977

(2) The mean payment used in the calculation of the quality	54978
incentive payment made under section 5111.244 of the Revised Code	54979
shall be, weighted by Medicaid days, three dollars and three cents	54980
per Medicaid day.	54981

(C) If the rate determined for a nursing facility under	54982
division (B) of this section for nursing facility services	54983
provided during fiscal year 2008 is more than one hundred one and	54984
seventy-five one-hundredths per cent of the rate the provider is	54985
paid for nursing facility services the nursing facility provides	54986
on June 30, 2007, the Department of Job and Family Services shall	54987
reduce the nursing facility's fiscal year 2008 rate so that the	54988
rate is not more than one hundred one and seventy-five hundredths	54989
per cent of the nursing facility's rate for June 30, 2007. If the	54990
rate determined for a nursing facility under division (B) of this	54991
section for nursing facility services provided during fiscal year	54992
2008 is less than ninety-eight and twenty-five hundredths per cent	54993
of the rate the provider is paid for nursing facility services the	54994
nursing facility provides on June 30, 2007, the Department shall	54995
increase the nursing facility's fiscal year 2008 rate so that the	54996
rate is not less than ninety-eight and twenty-five hundredths per	54997
cent of the nursing facility's rate for June 30, 2007.	54998

(D) If the United States Centers for Medicare and Medicaid	54999
Services requires that the franchise permit fee be reduced or	55000
eliminated, the Department of Job and Family Services shall reduce	55001
the amount it pays providers of nursing facility services under	55002
this section as necessary to reflect the loss to the state of the	55003
revenue and federal financial participation generated from the	55004
franchise permit fee.	55005

(E) The Department of Job and Family Services shall follow	55006
this section in determining the rate to be paid to the provider of	55007
a nursing facility that has a valid Medicaid provider agreement on	55008
June 30, 2007, and a valid Medicaid provider agreement during	55009
fiscal year 2008 notwithstanding anything to the contrary in	55010
sections 5111.20 to 5111.33 of the Revised Code.	55011

Section 309.30.30.  FISCAL YEAR 2009 MEDICAID REIMBURSEMENT	55012
SYSTEM FOR NURSING FACILITIES	55013

(A) As used in this section:

55014

"Franchise permit fee," "Medicaid days," "nursing facility,"	55015
and "provider" have the same meanings as in section 5111.20 of the	55016
Revised Code.	55017

"Nursing facility services" means nursing facility services	55018
covered by the Medicaid program that a nursing facility provides	55019
to a resident of the nursing facility who is a Medicaid recipient	55020
eligible for Medicaid-covered nursing facility services.	55021

(B) Except as otherwise provided by this section, the	55022
provider of a nursing facility that has a valid Medicaid provider	55023
agreement on June 30, 2008, and a valid Medicaid provider	55024
agreement during fiscal year 2009 shall be paid, for nursing	55025
facility services the nursing facility provides during fiscal year	55026
2009, the rate calculated for the nursing facility under sections	55027
5111.20 to 5111.33 of the Revised Code with the following	55028
adjustments:	55029

(1) The cost per case mix-unit calculated under section	55030
5111.231 of the Revised Code, the rate for ancillary and support	55031
costs calculated under section 5111.24 of the Revised Code, the	55032
rate for capital costs calculated under section 5111.25 of the	55033
Revised Code, and the rate for tax costs calculated under section	55034
5111.242 of the Revised Code shall each be adjusted as follows:	55035

(a) Increase the cost and rates so calculated by two per	55036
cent;	55037

(b) Increase the cost and rates determined under division	55038
(B)(1)(a) of this section by two per cent;	55039

(c) Increase the cost and rates determined under division	55040
(B)(1)(b) of this section by one per cent;	55041

(d) Increase the cost and rates determined under division	55042
(B)(1)(c) of this section by one half of a per cent.	55043

(2) The mean payment used in the calculation of the quality	55044
incentive payment made under section 5111.244 of the Revised Code	55045
shall be, weighted by Medicaid days, three dollars and five cents	55046
per Medicaid day.	55047

(C) If the rate determined for a nursing facility under	55048
division (B) of this section for nursing facility services	55049
provided during fiscal year 2009 is more than one hundred one and	55050
one-half per cent of the rate the provider is paid for nursing	55051
facility services the nursing facility provides on June 30, 2008,	55052
the Department of Job and Family Services shall reduce the nursing	55053
facility's fiscal year 2009 rate so that the rate is not more than	55054
one hundred one and one-half per cent of the nursing facility's	55055
rate for June 30, 2008. If the rate determined for a nursing	55056
facility under division (B) of this section for nursing facility	55057
services provided during fiscal year 2009 is less than	55058
ninety-eight and one-half per cent of the rate the provider is	55059
paid for nursing facility services the nursing facility provides	55060
on June 30, 2008, the Department shall increase the nursing	55061
facility's fiscal year 2009 rate so that the rate is not less than	55062
ninety-eight and one-half per cent of the nursing facility's rate	55063
for June 30, 2008.	55064

(D) If the United States Centers for Medicare and Medicaid	55065
Services requires that the franchise permit fee be reduced or	55066
eliminated, the Department of Job and Family Services shall reduce	55067
the amount it pays providers of nursing facility services under	55068
this section as necessary to reflect the loss to the state of the	55069
revenue and federal financial participation generated from the	55070
franchise permit fee.	55071

(E) The Department of Job and Family Services shall follow	55072
this section in determining the rate to be paid to the provider of	55073
a nursing facility that has a valid Medicaid provider agreement on	55074
June 30, 2008, and a valid Medicaid provider agreement during	55075
fiscal year 2009 notwithstanding anything to the contrary in	55076
sections 5111.20 to 5111.33 of the Revised Code.	55077

Section 309.30.40. FISCAL YEARS 2008 AND 2009 MEDICAID	55078
REIMBURSEMENT SYSTEM FOR ICFs/MR	55079

(A) As used in this section:

55080

"Intermediate care facility for the mentally retarded" has	55081
the same meaning as in section 5111.20 of the Revised Code.	55082

"Medicaid days" means all days during which a resident who is	55083
a Medicaid recipient occupies a bed in an intermediate care	55084
facility for the mentally retarded that is included in the	55085
facility's Medicaid-certified capacity. Therapeutic or hospital	55086
leave days for which payment is made under section 5111.33 of the	55087
Revised Code are considered Medicaid days proportionate to the	55088
percentage of the intermediate care facility for the mentally	55089
retarded's per resident per day rate paid for those days.	55090

"Per diem rate" means the per diem rate calculated pursuant	55091
to sections 5111.20 to 5111.33 of the Revised Code.	55092

(B) Notwithstanding sections 5111.20 to 5111.33 of the	55093
Revised Code, rates paid to intermediate care facilities for the	55094
mentally retarded under the Medicaid program shall be subject to	55095
the following limitations:	55096

(1) For fiscal year 2008, the mean total per diem rate for	55097
all intermediate care facilities for the mentally retarded in the	55098
state, weighted by May 2007 Medicaid days and calculated as of	55099
July 1, 2007, shall not exceed $266.14.	55100

(2) For fiscal year 2009, the mean total per diem rate for	55101
all intermediate care facilities for the mentally retarded in the	55102
state, weighted by May 2008 Medicaid days and calculated as of	55103
July 1, 2008, shall not exceed $271.46.	55104

(3) If the mean total per diem rate for all intermediate care	55105
facilities for the mentally retarded in the state for fiscal year	55106
2008 or 2009, weighted by Medicaid days as specified in division	55107
(B)(1) or (2) of this section, as appropriate, and calculated as	55108
of the first day of July of the calendar year in which the fiscal	55109
year begins, exceeds the amount specified in division (B)(1) or	55110
(2) of this section, as applicable, the Department of Job and	55111
Family Services shall reduce the total per diem rate for each	55112
intermediate care facility for the mentally retarded in the state	55113
by a percentage that is equal to the percentage by which the mean	55114
total per diem rate exceeds the amount specified in division	55115
(B)(1) or (2) of this section for that fiscal year.	55116

(4) Subsequent to any reduction required by division (B)(3)	55117
of this section, the rate of an intermediate care facility for the	55118
mentally retarded shall not be subject to any adjustments	55119
authorized by sections 5111.20 to 5111.33 of the Revised Code	55120
during the remainder of the year.	55121

Section 309.30.50. HOME FIRST PROGRAM

55122

(A) As used in this section:

55123

(1) "Area agency on aging" has the same meaning as in section	55124
173.14 of the Revised Code.	55125

(2) "Long-Term Care Consultation Program" means the program	55126
the Department of Aging is required to develop under section	55127
173.42 of the Revised Code.	55128

(3) "Long-Term Care Consultation Program administrator" or	55129
"administrator" means the Department of Aging or, if the	55130
Department contracts with an area agency on aging or other entity	55131
to administer the Long-Term Care Consultation Program for a	55132
particular area, that agency or entity.	55133

(4) "Nursing facility" has the same meaning as in section	55134
5111.20 of the Revised Code.	55135

(5) "PASSPORT program" means the program created under	55136
section 173.40 of the Revised Code.	55137

(B) Each month during fiscal years 2008 and 2009, each area	55138
agency on aging shall determine whether individuals who reside in	55139
the area that the area agency on aging serves and are on a waiting	55140
list for the PASSPORT program have been admitted to a nursing	55141
facility. If an area agency on aging determines that such an	55142
individual has been admitted to a nursing facility, the agency	55143
shall notify the Long-Term Care Consultation Program administrator	55144
serving the area in which the individual resides about the	55145
determination. The administrator shall determine whether the	55146
PASSPORT program is appropriate for the individual and whether the	55147
individual would rather participate in the PASSPORT program than	55148
continue residing in the nursing facility. If the administrator	55149
determines that the PASSPORT program is appropriate for the	55150
individual and the individual would rather participate in the	55151
PASSPORT program than continue residing in the nursing facility,	55152
the administrator shall so notify the Department of Aging. On	55153
receipt of the notice from the administrator, the Department of	55154
Aging shall approve the enrollment of the individual in the	55155
PASSPORT program regardless of whether other individuals who are	55156
not in a nursing facility are ahead of the individual on the	55157
PASSPORT program's waiting list. Each quarter, the Department of	55158
Aging shall certify to the Director of Budget and Management the	55159
increase in costs of the PASSPORT program based on the total	55160
expenditures made for the individuals enrolled in the PASSPORT	55161
program pursuant to this section.	55162

(C) On a quarterly basis, on receipt of the certified	55163
expenditures, the Director of Budget and Management may do all of	55164
the following:	55165

(1) Transfer the state share of the amount of the actual	55166
expenditures from GRF appropriation item 600-525, Health	55167
Care/Medicaid, to GRF appropriation item 490-403, PASSPORT;	55168

(2) Increase the appropriation in Ohio Department of Aging	55169
Fund 3C4, appropriation item 490-607, PASSPORT, by the federal	55170
share of the amount of the actual expenditures;	55171

(3) Increase the appropriation in JFS Fund 3G5, appropriation	55172
item 600-655, Interagency Reimbursement, by the federal share of	55173
the amount of the actual expenditures.	55174

The funds that the Director of Budget and Management	55175
transfers and increases under this division are hereby	55176
appropriated.	55177

(D) The individuals placed in the PASSPORT program pursuant	55178
to this section shall be in addition to the individuals placed in	55179
the PASSPORT program during fiscal years 2008 and 2009 based on	55180
the amount of money that is in GRF appropriation item 490-403,	55181
PASSPORT; Fund 4J4, appropriation item 490-610,	55182
PASSPORT/Residential State Supplement; Fund 4U9, appropriation	55183
item 490-602, PASSPORT Fund; and Fund 3C4, appropriation item	55184
490-607, PASSPORT, before any transfers to GRF appropriation item	55185
490-403, PASSPORT, and Fund 3C4, appropriation item 490-607,	55186
PASSPORT, are made under this section.	55187

Section 309.30.60. MEDICAID COVERAGE OF CHIROPRACTIC SERVICES

55188

(A) As used in this section, "adult Medicaid recipient" means	55189
a Medicaid recipient twenty-two years of age or older.	55190

(B) For fiscal years 2008 and 2009 and subject to division	55191
(C) of this section, the Medicaid Program shall cover chiropractic	55192
services for adult Medicaid recipients in an amount, duration, and	55193
scope specified in rules that the Director of Job and Family	55194
Services shall adopt under section 5111.02 of the Revised Code.	55195

(C) The Medicaid Program's coverage of chiropractic services	55196
under this section shall be limited as follows:	55197

(1) Fifteen visits per adult Medicaid recipient per fiscal	55198
year;	55199

(2) The total costs of coverage under this section may not	55200
exceed $5,000,000 per fiscal year.	55201

Section 309.30.70. MONEY FOLLOWS THE PERSON

55202

The Director of Budget and Management may do any of the	55203
following in support of any home and community based services	55204
waiver program:	55205

(A) Create new funds and account appropriation items to	55206
support and track funds associated with a unified long-term care	55207
budget;	55208

(B) Transfer funds among affected agencies and adjust	55209
corresponding appropriation levels;	55210

(C) Develop a reporting mechanism to show clearly how the	55211
funds are being transferred and expended.	55212

*       Section 309.30.80. MEDICAID ELIGIBILITY FOR PARENTS

55213

The Director of Job and Family Services shall, not later than	55214
ninety days after the effective date of this section, submit to	55215
the United States Secretary of Health and Human Services an	55216
amendment to the state Medicaid plan to increase to one hundred	55217
per cent of the federal poverty guidelines the family income	55218
specified in division (A)(2) of section 5111.019 of the Revised	55219
Code. The increase shall be implemented not earlier than ninety	55220
days after the effective date of this section.	55221

Section 309.30.90. MEDICAID ELIGIBILITY FOR PREGNANT WOMEN

55222

The Director of Job and Family Services shall, not later than	55223
ninety days after the effective date of this section, submit to	55224
the United States Secretary of Health and Human Services an	55225
amendment to the state Medicaid plan to increase to two hundred	55226
per cent of the federal poverty guidelines the income limit	55227
specified in division (A)(2) of section 5111.014 of the Revised	55228
Code. The increase shall be implemented not earlier than January	55229
1, 2008.	55230

Section 309.31.10. MEDICARE PART D

55231

The foregoing appropriation item 600-526, Medicare Part D,	55232
may be used by the Department of Job and Family Services for the	55233
implementation and operation of the Medicare Part D requirements	55234
contained in the "Medicare Prescription Drug, Improvement, and	55235
Modernization Act of 2003," Pub. L. No. 108-173, as amended. Upon	55236
the request of the Department of Job and Family Services, the	55237
Director of Budget and Management may increase the state share of	55238
appropriations in either appropriation item 600-525, Health	55239
Care/Medicaid, or appropriation item 600-526, Medicare Part D,	55240
with a corresponding decrease in the state share of the other	55241
appropriation item to allow the Department of Job and Family	55242
Services to implement and operate the new Medicare Part D	55243
requirements. If the state share of appropriation item 600-525,	55244
Health Care/Medicaid, is adjusted, the Director of Budget and	55245
Management shall adjust the federal share accordingly.	55246

Section 309.31.20. RESIDENT PROTECTION FUND

55247

If the Director of Budget and Management determines that the	55248
Resident Protection Fund created in section 5111.62 of the Revised	55249
Code has a cash balance, less encumbrances and appropriations, of	55250
more than $2,000,000, the Department of Job and Family Services or	55251
its designee may issue a competitive request for grant proposals	55252
to support projects that will benefit the residents of nursing	55253
facilities that have been found to have deficiencies. The	55254
directors of Job and Family Services, Health, and Aging or their	55255
designees shall determine priority categories for funding, make	55256
awards, and determine which of the three agencies should	55257
administer each grant. Based on these determinations, the Director	55258
of Budget and Management may transfer cash and appropriations	55259
matching the amount of each award to the appropriate agency. Any	55260
such transfers are hereby appropriated.	55261

Section 309.31.30. OHIO ACCESS SUCCESS PROJECT

55262

Notwithstanding any limitations in sections 3721.51 and	55263
3721.56 of the Revised Code, in each fiscal year, cash from Fund	55264
4J5, Home and Community-Based Services for the Aged, in excess of	55265
the amounts needed for the transfers may be used by the Department	55266
of Job and Family Services for the following purposes: (A) up to	55267
$1.0 million in each fiscal year to fund the state share of audits	55268
of nursing facilities and intermediate care facilities for the	55269
mentally retarded; and (B) up to $350,000 in each fiscal year to	55270
provide one-time transitional benefits under the Ohio Access	55271
Success Project that the Director of Job and Family Services may	55272
establish under section 5111.88 of the Revised Code.	55273

Section 309.31.40.  TRANSFER OF FUNDS TO THE DEPARTMENT OF	55274
AGING	55275

The Department of Job and Family Services shall transfer,	55276
through intrastate transfer vouchers, cash from Fund 4J5, Home and	55277
Community-Based Services for the Aged, to Fund 4J4, PASSPORT, in	55278
the Department of Aging. The sum of the transfers shall be	55279
$33,263,984 in each fiscal year. The transfer may occur on a	55280
quarterly basis or on a schedule developed and agreed to by both	55281
departments.	55282

Section 309.31.50. PROVIDER FRANCHISE FEE OFFSETS

55283

(A) At least quarterly, the Director of Job and Family	55284
Services shall certify to the Director of Budget and Management	55285
both of the following:	55286

(1) The amount of offsets withheld under section 3721.541 of	55287
the Revised Code from payments made from the General Revenue Fund.	55288

(2) The amount of offsets withheld under section 5112.341 of	55289
the Revised Code from payments made from the General Revenue Fund.	55290

(B) The Director of Budget and Management may transfer cash	55291
from the General Revenue Fund to all of the following:	55292

(1) Fund 4J5, Home and Community Based Services/Aged Fund, or	55293
Fund 5R2, Nursing Facility Stabilization Fund, in accordance with	55294
sections 3721.56 and 3721.561 of the Revised Code;	55295

(2) Fund 4K1, ICF/MR Bed Assessments.

55296

(C) Amounts transferred pursuant to this section are hereby	55297
appropriated.	55298

Section 309.31.60. TRANSFER OF FUNDS TO THE DEPARTMENT OF	55299
MENTAL RETARDATION AND DEVELOPMENTAL DISABILITIES	55300

The Department of Job and Family Services shall transfer,	55301
through intrastate transfer vouchers, cash from Fund 4K1, ICF/MR	55302
Bed Assessments, to Fund 4K8, Home and Community-Based Services,	55303
in the Department of Mental Retardation and Developmental	55304
Disabilities. The amount transferred shall equal $12,000,000 in	55305
each fiscal year. The transfer may occur on a quarterly basis or	55306
on a schedule developed and agreed to by both departments.	55307

Section 309.31.70. FUNDING FOR TRANSITION WAIVER SERVICES

55308

Notwithstanding any limitations contained in sections 5112.31	55309
and 5112.37 of the Revised Code, in each fiscal year, cash from	55310
Fund 4K1, ICF/MR Bed Assessments, in excess of the amounts needed	55311
for transfers to Fund 4K8, Home and Community-Based Services, in	55312
the Department of Mental Retardation and Developmental	55313
Disabilities, may be used by the Department of Job and Family	55314
Services to cover costs of care provided to participants in a	55315
waiver with an ICF/MR level of care requirement administered by	55316
the Department of Job and Family Services.	55317

Section 309.31.80. PAYMENTS FROM THE DEPARTMENT OF EDUCATION	55318
FOR MEDICAID SERVICES	55319

At the request of the Director of Job and Family Services,	55320
the Director of Budget and Management may increase the	55321
appropriation in appropriation item 600-639, Medicaid Revenue and	55322
Collections, by the amounts paid to the department pursuant to	55323
section 3317.023 of the Revised Code.	55324

Section 309.31.90. HOSPITAL CARE ASSURANCE MATCH

55325

Appropriation item 600-650, Hospital Care Assurance Match,	55326
shall be used by the Department of Job and Family Services solely	55327
for distributing funds to hospitals under section 5112.08 of the	55328
Revised Code.	55329

Section 309.32.10. HEALTH CARE SERVICES ADMINISTRATION FUND

55330

Of the amount received by the Department of Job and Family	55331
Services during fiscal year 2008 and fiscal year 2009 from the	55332
first installment of assessments paid under section 5112.06 of the	55333
Revised Code and intergovernmental transfers made under section	55334
5112.07 of the Revised Code, the Director of Job and Family	55335
Services shall deposit $350,000 in each fiscal year into the state	55336
treasury to the credit of the Health Care Services Administration	55337
Fund (Fund 5U3).	55338

Section 309.32.20. MEDICAID PROGRAM SUPPORT FUND - STATE

55339

The foregoing appropriation item 600-671, Medicaid Program	55340
Support, shall be used by the Department of Job and Family	55341
Services to pay for Medicaid services and contracts. The	55342
Department may also deposit to Fund 5C9 revenues received from	55343
other state agencies for Medicaid services under the terms of	55344
interagency agreements between the Department and other state	55345
agencies, and all funds the Department recovers because the	55346
benefits a person received under the disability medical assistance	55347
program established in section 5115.10 of the Revised Code were	55348
determined to be covered by the Medicaid Program established under	55349
Chapter 5111. of the Revised Code.	55350

Section 309.32.30. TRANSFERS OF IMD/DSH CASH TO THE	55351
DEPARTMENT OF MENTAL HEALTH	55352

The Department of Job and Family Services shall transfer,	55353
through intrastate transfer voucher, cash from Fund 5C9, Medicaid	55354
Program Support, to the Department of Mental Health's Fund 4X5,	55355
OhioCare, in accordance with an interagency agreement that	55356
delegates authority from the Department of Job and Family Services	55357
to the Department of Mental Health to administer specified	55358
Medicaid services.	55359

Section 309.32.40. PRESCRIPTION DRUG REBATE FUND

55360

The foregoing appropriation item 600-692, Health Care	55361
Services, shall be used by the Department of Job and Family	55362
Services to pay for Medicaid services and contracts.	55363

Section 309.32.50. DISABILITY DETERMINATION PROCESS

55364

Based on the recommendations made by the Disability	55365
Determination Consolidation Study Council, the Rehabilitation	55366
Services Commission and the Department of Job and Family Services	55367
shall work together to reduce the duplication of activities	55368
performed by each agency and develop a systems interface so that	55369
medical information for mutual clients may be transferred between	55370
the agencies.	55371

Section 309.40. FAMILY STABILITY

55372

Section 309.40.10. WAIVER OF FOOD STAMP WORK REQUIREMENTS

55373

Pursuant to 7 U.S.C. 2015(o)(4)(A)(i), the Department of Job	55374
and Family Services shall request that the United States Secretary	55375
of Agriculture waive the applicability of the work requirement of	55376
7 U.S.C. 2015(o)(2) during fiscal years 2008 and 2009 to food	55377
stamp benefit recipients who reside in a county of this state that	55378
the Department determines has an unemployment rate of over 10 per	55379
cent or does not have a sufficient number of jobs to provide	55380
employment for the recipients.	55381

Section 309.40.20. FOOD STAMPS TRANSFER

55382

On July 1, 2007, or as soon as possible thereafter, the	55383
Director of Budget and Management may transfer up to $1,000,000 in	55384
cash from Fund 384, Food Stamp-Federal, to Fund 5ES, Food Stamp	55385
Programs.	55386

Section 309.40.30. OHIO ASSOCIATION OF SECOND HARVEST FOOD	55387
BANKS	55388

As used in this section, "federal poverty guidelines" has the	55389
same meaning as in section 5101.46 of the Revised Code.	55390

Notwithstanding section 5101.46 of the Revised Code, the	55391
Department of Job and Family Services shall provide $5,500,000 in	55392
each fiscal year from the foregoing appropriation item 600-651,	55393
Second Harvest Food Banks, to the Ohio Association of Second	55394
Harvest Food Banks. The Department shall enter into a grant	55395
agreement with the Ohio Association of Second Harvest Food Banks	55396
to allow for the purchase of food products and the distribution of	55397
those food products to agencies participating in the emergency	55398
food distribution program. Notwithstanding section 5101.46 of the	55399
Revised Code, the grant may permit the Ohio Association of Second	55400
Harvest Food Banks to use up to 5 per cent of the annual funding	55401
for administrative costs. As soon as possible after entering into	55402
a grant agreement at the beginning of each fiscal year, the	55403
Department may advance grant funds to the grantee under section	55404
5101.10 of the Revised Code and in accordance with federal law.	55405

Prior to entering into the grant agreement, the Ohio	55406
Association of Second Harvest Food Banks shall submit to the	55407
Department for approval a plan for the distribution of the food	55408
products to local food distribution agencies. If the plan meets	55409
the requirements and conditions established by the Department, the	55410
plan shall be incorporated into the grant agreement. The grant	55411
agreement shall also require the Ohio Association of Second	55412
Harvest Food Banks to ensure that local agencies will limit	55413
participation of individuals and families who receive any of the	55414
food products purchased with these funds to those who have an	55415
income at or below 200 per cent of the federal poverty guidelines.	55416
The Department and the Ohio Association of Second Harvest Food	55417
Banks shall agree on reporting requirements to be incorporated	55418
into the grant agreement, including a statement of expected	55419
performance outcomes from the Ohio Association of Second Harvest	55420
Food Banks and a requirement for their evaluation of their success	55421
in achieving those outcomes.	55422

Section 309.40.33. CHILD SUPPORT COLLECTIONS/TANF MOE

55423

The foregoing appropriation item 600-658, Child Support	55424
Collections, shall be used by the Department of Job and Family	55425
Services to meet the TANF maintenance of effort requirements of 42	55426
U.S.C. 609(a)(7). When the state is assured that it will meet the	55427
maintenance of effort requirement, the Department of Job and	55428
Family Services may use funds from appropriation item 600-658,	55429
Child Support Collections, to support child support activities.	55430

Section 309.40.40. TANF INITIATIVES

55431

The Department of Job and Family Services, in accordance with	55432
sections 5101.80 and 5101.801 of the Revised Code, shall take the	55433
steps necessary, through interagency agreement, adoption of rules,	55434
or otherwise as determined by the Department, to implement and	55435
administer the Title IV-A programs identified in this section.	55436

KINSHIP PERMANENCY INCENTIVE PROGRAM

55437

Of the foregoing appropriation item 600-689, TANF Block Grant	55438
(Fund 3V6), up to $10 million per fiscal year shall be used to	55439
support the activities of the Kinship Permanency Incentive Program	55440
created under section 5101.802 of the Revised Code.	55441

The Department of Job and Family Services shall prepare	55442
reports concerning both of the following:	55443

(A) Stability and permanency outcomes for children for whom	55444
incentive payments are made under the Kinship Permanency Incentive	55445
Program;	55446

(B) The total amount of payments made under the Program,	55447
patterns of expenditures made per child under the Program, and	55448
cost savings realized through the Program from placement with	55449
kinship caregivers rather than other out-of-home placements.	55450

The Department shall submit a report to the Governor, the	55451
Speaker and Minority Leader of the House of Representatives, and	55452
the President and Minority Leader of the Senate not later than	55453
December 31, 2008, and December 31, 2010.	55454

Section 309.40.50. KINSHIP PERMANENCY INCENTIVE PROGRAM	55455
ELIGIBILITY INCREASE	55456

The amendments made by this act to section 5101.802 of the	55457
Revised Code shall not affect the eligibility of any kinship	55458
caregiver whose eligibility was established before the effective	55459
date of this section.	55460

OHIO ALLIANCE OF BOYS AND GIRLS CLUBS

55461

Of the foregoing appropriation item 600-689, TANF Block Grant	55462
(Fund 3V6), the Department of Job and Family Services shall use up	55463
to $600,000 in each fiscal year to support expenditures of the	55464
Ohio Alliance of Boys and Girls Clubs pursuant to section 5101.801	55465
of the Revised Code to provide after-school programs that protect	55466
at-risk children and enable youth to become responsible adults.	55467
The Ohio Alliance of Boys and Girls Clubs shall provide	55468
nutritional meals, snacks, and educational, youth development, and	55469
career development services to TANF eligible children	55470
participating in programs and activities operated by eligible Boys	55471
and Girls Clubs.	55472

The Department of Job and Family Services and the Ohio	55473
Alliance of Boys and Girls Clubs shall agree on reporting	55474
requirements to be incorporated into the grant agreement.	55475

CHILDREN'S HUNGER ALLIANCE

55476

Of the foregoing appropriation item 600-689, TANF Block Grant	55477
(Fund 3V6), up to $500,000 in each fiscal year shall be reimbursed	55478
to the Children's Hunger Alliance pursuant to section 5101.801 of	55479
the Revised Code for Child Nutrition Program outreach efforts.	55480

SCHOOL READINESS ENRICHMENT

55481

Of the foregoing appropriation item 600-689, TANF Block Grant	55482
(Fund 3V6), up to $6,500,000 in each fiscal year shall be used for	55483
TANF eligible activities pursuant to section 5101.801 of the	55484
Revised Code to provide intervention services to prepare children	55485
for kindergarten.	55486

FOOD BANKS

55487

Of the foregoing appropriation item 600-689, TANF Block Grant	55488
(Fund 3V6), up to $1,500,000 in each fiscal year shall be used to	55489
reimburse the Ohio network of food banks pursuant to section	55490
5101.801 of the Revised Code for purchases and distribution of	55491
food products.	55492

GOVERNOR'S OFFICE OF FAITH-BASED AND COMMUNITY INITIATIVES

55493

Of the foregoing appropriation item 600-689, TANF Block Grant	55494
(Fund 3V6), up to $13,000,000 in each fiscal year shall be used to	55495
reimburse the Governor's Office for Faith-Based and Community	55496
Initiatives pursuant to section 5101.801 of the Revised Code for	55497
projects designed to serve the state's most vulnerable citizens.	55498

ADOPTION PROMOTION

55499

Of the foregoing appropriation item 600-689, TANF Block Grant	55500
(Fund 3V6), up to $5,000,000 in each fiscal year shall be used for	55501
TANF eligible activities pursuant to section 5101.801 of the	55502
Revised Code to provide additional support for initiatives aimed	55503
at increasing the number of adoptions including recruiting,	55504
promoting, and supporting adoptive families.	55505

INDEPENDENT LIVING INITIATIVES

55506

Of the foregoing appropriation item 600-689, TANF Block Grant	55507
(Fund 3V6), up to $2,500,000 in each fiscal year shall be used for	55508
TANF eligible activities pursuant to section 5101.801 of the	55509
Revised Code to support the independent living initiative,	55510
including life skills training and work supports for older	55511
children in foster care and those who have recently aged out of	55512
foster care.	55513

CLOSING THE ACHIEVEMENT GAP

55514

Of the foregoing appropriation item 600-689, TANF Block Grant	55515
(Fund 3V6), up to $10,000,000 in each fiscal year shall be used	55516
for TANF eligible activities pursuant to section 5101.801 of the	55517
Revised Code to provide intervention services aimed at improving	55518
the African-American male graduation rate.	55519

HOME ENERGY ASSISTANCE PROGRAM

55520

The Department of Job and Family Services shall transfer,	55521
through intrastate transfer voucher, $45,000,000 in cash in fiscal	55522
year 2008 and $15,000,000 in fiscal year 2009 from Fund 3V6, TANF	55523
Block Grant, to Fund 3BJ, TANF Heating Assistance, in the	55524
Department of Development, in accordance with an interagency	55525
agreement. The Departments of Job and Family Services and	55526
Development shall enter into an interagency agreement for	55527
providing reimbursement to the Department of Development to	55528
administer the Title IV-A funded Home Energy Assistance Program	55529
(HEAP), which provides assistance with home energy fuel costs to	55530
needy families with children.	55531

Section 309.40.60. EARLY LEARNING INITIATIVE

55532

(A) As used in this section:

55533

(1) "Title IV-A services" means benefits and services that	55534
are allowable under Title IV-A of the "Social Security Act," as	55535
specified in 42 U.S.C. 604(a), except that they shall not be	55536
benefits and services included in the term "assistance" as defined	55537
in 45 C.F.R. 260.31(a) and shall be benefits and services that are	55538
excluded from the definition of the term "assistance" under 45	55539
C.F.R. 260.31(b).	55540

(2) "Title IV-A funds" means funds provided under the	55541
temporary assistance for needy families block grant established by	55542
Title IV-A of the "Social Security Act," 110 Stat. 2113 (1996), 42	55543
U.S.C. 601, as amended.	55544

(3) "Eligible child" means a child who is at least three	55545
years of age but not of compulsory school age or enrolled in	55546
kindergarten, is eligible for Title IV-A services, and whose	55547
family income at the time of application does not exceed one	55548
hundred eighty-five per cent of the federal poverty line in fiscal	55549
year 2008 or two hundred per cent of the federal poverty line in	55550
fiscal year 2009.	55551

(4) "Early learning program" means a program for eligible	55552
children that is funded with Title IV-A funds and provides Title	55553
IV-A services, according to the purposes listed in 45 C.F.R.	55554
260.20(c), that are early learning services, as defined by	55555
pursuant to division (D)(1) of this section.	55556

(5) "Early learning provider" means an entity that is	55557
receiving Title IV-A funds to operate an early learning program.	55558

(6) "Early learning agency" means an early learning provider	55559
or an entity that has entered into an agreement with an early	55560
learning provider requiring the early learning provider to operate	55561
an early learning program on behalf of the entity.	55562

(7) "Federal poverty line" has the same meaning as in section	55563
5104.01 of the Revised Code.	55564

(8) "Of compulsory school age" has the same meaning as in	55565
section 3321.01 of the Revised Code.	55566

(B) The Early Learning Initiative is hereby established. The	55567
Department of Education and the Department of Job and Family	55568
Services shall administer the Initiative in accordance with	55569
sections 5101.80 and 5101.801 of the Revised Code. The Initiative	55570
shall provide early learning services to eligible children. Early	55571
learning programs may provide early learning services on a	55572
full-day basis, a part-day basis, or both a full-day and part-day	55573
basis.	55574

(C) The Department of Job and Family Services shall do both	55575
of the following:	55576

(1) Reimburse early learning agencies for Title IV-A services	55577
provided to eligible children according to the terms of the	55578
contract and the rules adopted under division (C)(2) of this	55579
section;	55580

(2) In consultation with the Department of Education, adopt	55581
rules in accordance with Chapter 119. of the Revised Code to	55582
implement the Early Learning Initiative. The rules shall include	55583
all of the following:	55584

(a) Provisions regarding the establishment of co-payments for	55585
families of eligible children whose family income is more than one	55586
hundred sixty-five per cent of the federal poverty line but equal	55587
to or less than the maximum amount of family income authorized for	55588
an eligible child as defined in division (A)(3) of this section;	55589

(b) An exemption from co-payment requirements for families	55590
whose family income is equal to or less than one hundred	55591
sixty-five per cent of the federal poverty line;	55592

(c) A definition of "enrollment" for the purpose of	55593
compensating early learning agencies;	55594

(d) Provisions that establish compensation rates for early	55595
learning agencies based on the enrollment of eligible children.	55596

(D) The Department of Education shall do all of the	55597
following:	55598

(1) Define the early learning services that will be provided	55599
to eligible children through the Early Learning Initiative;	55600

(2) In consultation with the Department of Job and Family	55601
Services, develop an application form and criteria for the	55602
selection of early learning agencies. The criteria shall require	55603
an early learning agency, or each early learning provider with	55604
which the agency has entered into an agreement for the operation	55605
of an early learning program on the agency's behalf, to be	55606
licensed or certified by the Department of Education under	55607
sections 3301.52 to 3301.59 of the Revised Code or by the	55608
Department of Job and Family Services under Chapter 5104. of the	55609
Revised Code;	55610

(3) Establish early learning program guidelines for school	55611
readiness to assess the operation of early learning programs.	55612

(E) Any entity that seeks to be an early learning agency	55613
shall apply to the Department of Education by a deadline	55614
established by the Department. The Department of Education shall	55615
select entities that meet the criteria established under division	55616
(D)(2) of this section to be early learning agencies. Upon	55617
selection of an entity to be an early learning agency, the	55618
Department of Education shall designate the number of eligible	55619
children the agency may enroll. The Department of Education shall	55620
notify the Department of Job and Family Services of the number so	55621
designated.	55622

(F) The Department of Education and the Department of Job and	55623
Family Services shall enter into a contract with each early	55624
learning agency selected under division (E) of this section. The	55625
requirements of section 127.16 of the Revised Code do not apply to	55626
contracts entered into under this section. The contract shall	55627
outline the terms and conditions applicable to the provision of	55628
Title IV-A services for eligible children and shall include at	55629
least the following:	55630

(1) The respective duties of the early learning agency, the	55631
Department of Education, and the Department of Job and Family	55632
Services;	55633

(2) Requirements applicable to the allowable use of and	55634
accountability for Title IV-A compensation paid under the	55635
contract;	55636

(3) Reporting requirements, including a requirement that the	55637
early learning provider inform the Department of Education when	55638
the provider learns that a kindergarten eligible child will not be	55639
enrolled in kindergarten;	55640

(4) The compensation schedule payable under the contract;

55641

(5) Audit requirements;

55642

(6) Provisions for suspending, modifying, or terminating the	55643
contract.	55644

(G) If an early learning agency, or an early learning	55645
provider operating an early learning program on the agency's	55646
behalf, substantially fails to meet the early learning program	55647
guidelines for school readiness or exhibits below average	55648
performance, as determined by the Department of Education, the	55649
agency shall develop and implement a corrective action plan. The	55650
Department of Education shall approve the corrective action plan	55651
prior to implementation.	55652

(H) If an early learning agency fails to implement a	55653
corrective action plan under division (G) of this section, the	55654
Department of Education may direct the Department of Job and	55655
Family Services to either withhold funding or request that the	55656
Department of Job and Family Services suspend or terminate the	55657
contract with the agency.	55658

(I) Each early learning program shall do all of the	55659
following:	55660

(1) Meet teacher qualification requirements prescribed by	55661
section 3301.311 of the Revised Code;	55662

(2) Align curriculum to the early learning content standards;

55663

(3) Meet any assessment requirements prescribed by section	55664
3301.0715 of the Revised Code that apply to the program;	55665

(4) Require teachers, except teachers enrolled and working to	55666
obtain a degree pursuant to section 3301.311 of the Revised Code,	55667
to attend a minimum of twenty hours per biennium of professional	55668
development as prescribed by the Department of Education regarding	55669
the implementation of early learning program guidelines for school	55670
readiness;	55671

(5) Document and report child progress;

55672

(6) Meet and report compliance with the early learning	55673
program guidelines for school success;	55674

(7) Participate in early language and literacy classroom	55675
observation evaluation studies.	55676

(J) Each county Department of Job and Family Services shall	55677
determine eligibility for Title IV-A services for children seeking	55678
to enroll in an early learning program within fifteen days after	55679
receipt of a completed application in accordance with rules	55680
adopted under this section.	55681

(K) The provision of early learning services in an early	55682
learning program shall not prohibit or otherwise prevent an	55683
individual from obtaining certificates for payment under division	55684
(C) of section 5104.32 of the Revised Code.	55685

(L) Notwithstanding section 126.07 of the Revised Code:

55686

(1) Any fiscal year 2008 contract executed prior to July 1,	55687
2007, between the Departments of Job and Family Services and	55688
Education and an early learning agency that was not an early	55689
learning agency as of June 30, 2007, shall be deemed to be	55690
effective as of July 1, 2007, upon issuance of a state purchase	55691
order, even if the purchase order is approved at some later date.	55692

(2) Any fiscal year 2008 contract executed between the	55693
Departments of Job and Family Services and Education and an early	55694
learning agency that had a valid contract for early learning	55695
services on June 30, 2007, shall be deemed to be effective as of	55696
July 1, 2007, upon the issuance of a state purchase order, even if	55697
the purchase order is approved at some later date.	55698

(3) Any fiscal year 2009 contract executed prior to July 1,	55699
2008, between the Departments of Job and Family Services and	55700
Education and an early learning agency that was not an early	55701
learning agency as of June 30, 2008, shall be deemed to be	55702
effective as of July 1, 2008, upon issuance of a state purchase	55703
order, even if the purchase order is approved at some later date.	55704

(4) Any fiscal year 2009 contract executed between the	55705
Departments of Job and Family Services and Education and an early	55706
learning agency that had a valid contract for early learning	55707
services on June 30, 2008, shall be deemed to be effective as of	55708
July 1, 2008, upon the issuance of a state purchase order, even if	55709
the purchase order is approved at some later date.	55710

(M) Of the foregoing appropriation item 600-689, TANF Block	55711
Grant (Fund 3V6), up to $125,256,000 shall be used in each fiscal	55712
year to compensate early learning agencies under this section. The	55713
Departments of Job and Family Services and Education shall	55714
contract for up to 12,000 enrollment slots for eligible children	55715
in each fiscal year through the Early Learning Initiative.	55716

(N) Of the foregoing appropriation item 600-689, TANF Block	55717
Grant (Fund 3V6), up to $800,000 in each fiscal year may be used	55718
by the Department of Job and Family Services for administration of	55719
the Early Learning Initiative.	55720

(O) Up to $2,200,000 in each fiscal year may be used by the	55721
Department of Education to perform administrative functions for	55722
the Early Learning Initiative. The Department of Job and Family	55723
Services shall transfer, through intrastate transfer vouchers,	55724
cash from Fund 3V6, TANF Block Grant, to Fund 5W2, Early Learning	55725
Initiative, in the Department of Education. The amount transferred	55726
shall not exceed $2,200,000 in fiscal year 2008 and $2,200,000 in	55727
fiscal year 2009. The transfer shall occur on a reimbursement	55728
basis on a schedule developed and agreed to by both departments.	55729

Section 309.50. CHILDREN AND FAMILIES

55730

Section 309.50.10. CHILD WELFARE TRAINING INITIATIVE

55731

In each fiscal year, the Department of Job and Family	55732
Services shall grant $50,000 from appropriation item 600-528,	55733
Adoption Services, and $150,000 from appropriation item 600-606,	55734
Child Welfare (Fund 327), to the National Center for Adoption Law	55735
and Policy to fund a multi-disciplinary child welfare training	55736
initiative. The Department of Job and Family Services shall	55737
coordinate with the National Center for Adoption Law and Policy to	55738
determine the focus of the training provided each year.	55739

ADOPTION LAWSITE INITIATIVE

55740

In each fiscal year, the Department of Job and Family	55741
Services shall grant $37,500 from appropriation item 600-528,	55742
Adoption Services, and $112,500 from appropriation item 600-606,	55743
Child Welfare (Fund 327), to the National Center for Adoption Law	55744
and Policy to fund expansion of the Adoption LawSite Initiative.	55745

Section 309.50.20. CHILDREN'S TRUST FUND

55746

Notwithstanding sections 3109.13 to 3109.18 of the Revised	55747
Code, in each fiscal year, the Director of Budget and Management	55748
shall transfer $1,500,000 cash from the Children's Trust Fund	55749
(Fund 198) in the Department of Job and Family Services to the	55750
Partnerships for Success Fund (Fund 5BH) in the Department of	55751
Youth Services.	55752

Section 309.70. WORKFORCE DEVELOPMENT

55753

Section 309.70.10. TRANSFER TO THE MILITARY INJURY RELIEF	55754
FUND	55755

In each year of the biennium, the Director of Job and Family	55756
Services shall certify to the Director of Budget and Management	55757
the total amount of incentive grants deposited into Fund 331,	55758
Federal Operating, on behalf of state and county employees and	55759
other individuals, entities, and persons with exemplary service to	55760
veterans under an approved employment service delivery program	55761
defined in the "Jobs for Veterans Act," 116 Stat. 2033 (2002), as	55762
approved by the United States Department of Labor. The Director of	55763
Budget and Management shall transfer cash equal to the amount	55764
certified by the Director of Job and Family Services from Fund 331	55765
to Fund 5DB, Military Injury Grants. The transferred funds shall	55766
be used to support grants to eligible individuals under section	55767
5101.98 of the Revised Code and rules adopted in accordance with	55768
that section.	55769

Section 309.70.20. WORKFORCE DEVELOPMENT GRANT AGREEMENT

55770

The Department of Job and Family Services may use	55771
appropriations from appropriation item 600-688, Workforce	55772
Investment Act, to provide financial assistance for workforce	55773
development activities included in a grant agreement entered into	55774
by the department in accordance with section 5101.20 of the	55775
Revised Code.	55776

OHIO STATE APPRENTICESHIP COUNCIL

55777

Of the foregoing appropriation item 600-688, Workforce	55778
Investment Act, up to $1,900,000 in fiscal year 2008 and up to	55779
$2,200,000 in fiscal year 2009 may be used to support the	55780
activities of the Ohio State Apprenticeship Council.	55781

YOUTH EMPLOYMENT PROGRAMS

55782

Of the foregoing appropriation item 600-688, Workforce	55783
Investment Act, up to $6,000,000 over the biennium shall be used	55784
for competitive grants to eight major urban centers and four other	55785
locations, at least two of which are rural, to provide strategies	55786
and programs that meet the needs of at-risk youth. The program	55787
shall target youth who have disengaged from the education system	55788
and youthful offenders who will be returning to their communities.	55789
Eligible grant applications include governmental units, workforce	55790
investment boards, and not-for-profit and for-profit entities.	55791
Grant funds may be used for youth wages and benefits, supervisory	55792
costs, training and support costs, and infrastructure expenses.	55793
Grant funds may not be used for construction or renovation of	55794
facilities.	55795

Section 309.80. UNEMPLOYMENT COMPENSATION

55796

Section 309.80.10. EMPLOYER SURCHARGE

55797

The surcharge and the interest on the surcharge amounts due	55798
for calendar years 1988, 1989, and 1990 as required by Am. Sub.	55799
H.B. 171 of the 117th General Assembly, Am. Sub. H.B. 111 of the	55800
118th General Assembly, and section 4141.251 of the Revised Code	55801
as it existed prior to its repeal by Sub. H.B. 478 of the 122nd	55802
General Assembly, again shall be assessed and collected by,	55803
accounted for, and made available to the Department of Job and	55804
Family Services in the same manner as set forth in section	55805
4141.251 of the Revised Code as it existed prior to its repeal by	55806
Sub. H.B. 478 of the 122nd General Assembly, notwithstanding the	55807
repeal of the surcharge for calendar years after 1990, pursuant to	55808
Sub. H.B. 478 of the 122nd General Assembly, except that amounts	55809
received by the Director on or after July 1, 2001, shall be	55810
deposited into the Unemployment Compensation Special	55811
Administrative Fund (Fund 4A9) established pursuant to section	55812
4141.11 of the Revised Code.	55813

Section 309.80.20.  FEDERAL UNEMPLOYMENT PROGRAMS

55814

All unexpended funds remaining at the end of fiscal year 2007	55815
that were appropriated and made available to the state under	55816
section 903(d) of the Social Security Act, as amended, in the	55817
foregoing appropriation item 600-678, Federal Unemployment	55818
Programs (Fund 3V4), are hereby appropriated to the Department of	55819
Job and Family Services. Upon the request of the Director of Job	55820
and Family Services, the Director of Budget and Management may	55821
increase the appropriation for fiscal year 2008 by the amount	55822
remaining unspent from the fiscal year 2007 appropriation and may	55823
increase the appropriation for fiscal year 2009 by the amount	55824
remaining unspent from the fiscal year 2008 appropriation. The	55825
appropriation shall be used under the direction of the Department	55826
of Job and Family Services to pay for administrative activities	55827
for the Unemployment Insurance Program, employment services, and	55828
other allowable expenditures under section 903(d) of the Social	55829
Security Act, as amended.	55830

The amounts obligated pursuant to this section shall not	55831
exceed at any time the amount by which the aggregate of the	55832
amounts transferred to the account of the state under section	55833
903(d) of the Social Security Act, as amended, exceeds the	55834
aggregate of the amounts obligated for administration and paid out	55835
for benefits and required by law to be charged against the amounts	55836
transferred to the account of the state.	55837

Section 311.10.  JCO JUDICIAL CONFERENCE OF OHIO

55838

General Revenue Fund

55839

GRF	018-321		Operating Expenses		$	1,269,430		$	1,329,193		55840
TOTAL GRF General Revenue Fund					$	1,269,430		$	1,329,193		55841

General Services Fund Group

55842

403	018-601		Ohio Jury Instructions		$	350,000		$	350,000		55843
TOTAL GSF General Services Fund Group					$	350,000		$	350,000		55844
TOTAL ALL BUDGET FUND GROUPS					$	1,619,430		$	1,679,193		55845

STATE COUNCIL OF UNIFORM STATE LAWS

55846

Notwithstanding section 105.26 of the Revised Code, of the	55847
foregoing appropriation item 018-321, Operating Expenses, up to	55848
$71,000 in fiscal year 2008 and up to $73,000 in fiscal year 2009	55849
may be used to pay the expenses of the State Council of Uniform	55850
State Laws, including membership dues to the National Conference	55851
of Commissioners on Uniform State Laws.	55852

OHIO JURY INSTRUCTIONS FUND

55853

The Ohio Jury Instructions Fund (Fund 403) shall consist of	55854
grants, royalties, dues, conference fees, bequests, devises, and	55855
other gifts received for the purpose of supporting costs incurred	55856
by the Judicial Conference of Ohio in dispensing educational and	55857
informational data to the state's judicial system. Fund 403 shall	55858
be used by the Judicial Conference of Ohio to pay expenses	55859
incurred in dispensing educational and informational data to the	55860
state's judicial system. All moneys accruing to Fund 403 in excess	55861
of $350,000 in fiscal year 2008 and in excess of $350,000 in	55862
fiscal year 2009 are hereby appropriated for the purposes	55863
authorized.	55864

No money in the Ohio Jury Instructions Fund shall be	55865
transferred to any other fund by the Director of Budget and	55866
Management or the Controlling Board.	55867

Section 313.10.  JSC THE JUDICIARY/SUPREME COURT

55868

General Revenue Fund

55869

GRF	005-321		Operating Expenses - Judiciary/Supreme Court		$	127,778,192		$	133,144,970		55870
GRF	005-401		State Criminal Sentencing Council		$	331,500		$	336,770		55871
GRF	005-406		Law-Related Education		$	229,290		$	236,172		55872
GRF	005-409		Ohio Courts Technology Initiative		$	4,000,000		$	6,500,000		55873
GRF	005-502		Commission for Legal Education Opportunity		$	250,000		$	350,000		55874
TOTAL GRF General Revenue Fund					$	132,588,982		$	140,567,912		55875

General Services Fund Group

55876

672	005-601		Continuing Judicial Education		$	136,000		$	140,000		55877
TOTAL GSF General Services Fund Group					$	136,000		$	140,000		55878

Federal Special Revenue Fund Group

55879

3J0	005-603		Federal Grants		$	1,518,491		$	1,467,693		55880
TOTAL FED Federal Special Revenue Fund Group					$	1,518,491		$	1,467,693		55881

State Special Revenue Fund Group

55882

4C8	005-605		Attorney Services		$	3,841,416		$	3,936,058		55883
5T8	005-609		Grants and Awards		$	100,000		$	100,000		55884
6A8	005-606		Supreme Court Admissions		$	1,496,633		$	1,541,532		55885
TOTAL SSR State Special Revenue Fund Group					$	5,438,049		$	5,577,590		55886
TOTAL ALL BUDGET FUND GROUPS					$	139,681,522		$	147,753,195		55887

LAW-RELATED EDUCATION

55888

The foregoing appropriation item 005-406, Law-Related	55889
Education, shall be distributed directly to the Ohio Center for	55890
Law-Related Education for the purposes of providing continuing	55891
citizenship education activities to primary and secondary	55892
students, expanding delinquency prevention programs, increasing	55893
activities for at-risk youth, and accessing additional public and	55894
private money for new programs.	55895

OHIO COURTS TECHNOLOGY INITIATIVE

55896

The foregoing appropriation item 005-409, Ohio Courts	55897
Technology Initiative, shall be used to fund an initiative by the	55898
Supreme Court to facilitate the exchange of information and	55899
warehousing of data by and between Ohio courts and other justice	55900
system partners through the creation of an Ohio Courts Network,	55901
the delivery of technology services to courts throughout the	55902
state, including the provision of hardware, software, and the	55903
development and implementation of educational and training	55904
programs for judges and court personnel, and the creation and	55905
operation of the Commission on Technology and the Courts by the	55906
Supreme Court for the promulgation of statewide rules, policies,	55907
and uniform standards, and to aid in the orderly adoption and	55908
comprehensive use of technology in Ohio courts.	55909

COMMISSION FOR LEGAL EDUCATION OPPORTUNITY

55910

The foregoing appropriation item 005-502, Commission for	55911
Legal Education Opportunity, shall be used to fund activities of	55912
the Commission for Legal Education Opportunity created by the	55913
Chief Justice of the Supreme Court of Ohio for purposes of	55914
assisting minority, low-income, and educationally disadvantaged	55915
college graduates in transition to legal education. Moneys	55916
appropriated to the Commission for Legal Education Opportunity may	55917
be used to establish and provide intensive course study designed	55918
to prepare eligible college graduates for law education, provide	55919
annual stipends for students who successfully complete the course	55920
of study and are admitted to and maintain satisfactory academic	55921
standing in an Ohio law school, and pay the administrative costs	55922
associated with the program.	55923

CONTINUING JUDICIAL EDUCATION

55924

The Continuing Judicial Education Fund (Fund 672) shall	55925
consist of fees paid by judges and court personnel for attending	55926
continuing education courses and other gifts and grants received	55927
for the purpose of continuing judicial education. The foregoing	55928
appropriation item 005-601, Continuing Judicial Education, shall	55929
be used to pay expenses for continuing education courses for	55930
judges and court personnel. If it is determined by the	55931
Administrative Director of the Supreme Court that additional	55932
appropriations are necessary, the amounts are hereby appropriated.	55933

No money in the Continuing Judicial Education Fund shall be	55934
transferred to any other fund by the Director of Budget and	55935
Management or the Controlling Board. Interest earned on moneys in	55936
the Continuing Judicial Education Fund shall be credited to the	55937
fund.	55938

FEDERAL GRANTS

55939

The Federal Grants Fund (Fund 3J0) shall consist of grants	55940
and other moneys awarded to the Supreme Court (The Judiciary) by	55941
the United States Government or other entities that receive the	55942
moneys directly from the United States Government and distribute	55943
those moneys to the Supreme Court (The Judiciary). The foregoing	55944
appropriation item 005-603, Federal Grants, shall be used in a	55945
manner consistent with the purpose of the grant or award. If it is	55946
determined by the Administrative Director of the Supreme Court	55947
that additional appropriations are necessary, the amounts are	55948
hereby appropriated.	55949

No money in the Federal Grants Fund shall be transferred to	55950
any other fund by the Director of Budget and Management or the	55951
Controlling Board. However, interest earned on moneys in the	55952
Federal Grants Fund shall be credited or transferred to the	55953
General Revenue Fund.	55954

ATTORNEY SERVICES

55955

The Attorney Services Fund (Fund 4C8), formerly known as the	55956
Attorney Registration Fund, shall consist of moneys received by	55957
the Supreme Court (The Judiciary) pursuant to the Rules for the	55958
Government of the Bar of Ohio. In addition to funding other	55959
activities considered appropriate by the Supreme Court, the	55960
foregoing appropriation item 005-605, Attorney Services, may be	55961
used to compensate employees and to fund appropriate activities of	55962
the following offices established by the Supreme Court: the Office	55963
of Disciplinary Counsel, the Board of Commissioners on Grievances	55964
and Discipline, the Clients' Security Fund, and the Attorney	55965
Services Division. If it is determined by the Administrative	55966
Director of the Supreme Court that additional appropriations are	55967
necessary, the amounts are hereby appropriated.	55968

No moneys in the Attorney Services Fund shall be transferred	55969
to any other fund by the Director of Budget and Management or the	55970
Controlling Board. Interest earned on moneys in the Attorney	55971
Services Fund shall be credited to the fund.	55972

GRANTS AND AWARDS

55973

The Grants and Awards Fund (Fund 5T8) shall consist of grants	55974
and other moneys awarded to the Supreme Court (The Judiciary) by	55975
the State Justice Institute, the Division of Criminal Justice	55976
Services, or other entities. The foregoing appropriation item	55977
005-609, Grants and Awards, shall be used in a manner consistent	55978
with the purpose of the grant or award. If it is determined by the	55979
Administrative Director of the Supreme Court that additional	55980
appropriations are necessary, the amounts are hereby appropriated.	55981

No moneys in the Grants and Awards Fund shall be transferred	55982
to any other fund by the Director of Budget and Management or the	55983
Controlling Board. However, interest earned on moneys in the	55984
Grants and Awards Fund shall be credited or transferred to the	55985
General Revenue Fund.	55986

SUPREME COURT ADMISSIONS

55987

The foregoing appropriation item 005-606, Supreme Court	55988
Admissions, shall be used to compensate Supreme Court employees	55989
who are primarily responsible for administering the attorney	55990
admissions program under the Rules for the Government of the Bar	55991
of Ohio, and to fund any other activities considered appropriate	55992
by the court. Moneys shall be deposited into the Supreme Court	55993
Admissions Fund (Fund 6A8) under the Supreme Court Rules for the	55994
Government of the Bar of Ohio. If it is determined by the	55995
Administrative Director of the Supreme Court that additional	55996
appropriations are necessary, the amounts are hereby appropriated.	55997

No moneys in the Supreme Court Admissions Fund shall be	55998
transferred to any other fund by the Director of Budget and	55999
Management or the Controlling Board. Interest earned on moneys in	56000
the Supreme Court Admissions Fund shall be credited to the fund.	56001

FUND ELIMINATION

56002

Effective July 1, 2007, or as soon as practicable thereafter,	56003
the Director of Budget and Management shall transfer the cash	56004
balance in the Commission on Continuing Legal Education Fund (Fund	56005
643) to the Attorney Services Fund (Fund 4C8). The director shall	56006
cancel any existing encumbrances against appropriation item	56007
005-607, Commission on Continuing Legal Education, and	56008
re-establish them against appropriation item 005-605, Attorney	56009
Services. The amounts of the re-established encumbrances are	56010
hereby appropriated. Upon completion of these transfers, the	56011
Commission on Continuing Legal Education Fund (Fund 643) is hereby	56012
abolished.	56013

Section 315.10.  LEC LAKE ERIE COMMISSION

56014

State Special Revenue Fund Group

56015

4C0	780-601		Lake Erie Protection Fund		$	450,000		$	450,000		56016
5D8	780-602		Lake Erie Resources Fund		$	387,000		$	388,000		56017
TOTAL SSR State Special Revenue											56018
Fund Group					$	837,000		$	838,000		56019
TOTAL ALL BUDGET FUND GROUPS					$	837,000		$	838,000		56020

CASH TRANSFER

56021

Not later than the thirtieth day of November of each fiscal	56022
year, the Executive Director of the Ohio Lake Erie Office, with	56023
the approval of the Lake Erie Commission, shall certify to the	56024
Director of Budget and Management the cash balance in the Lake	56025
Erie Resources Fund (Fund 5D8) in excess of amounts needed to meet	56026
operating expenses of the Lake Erie Office. The Lake Erie Office	56027
may request the Director of Budget and Management to transfer up	56028
to the certified amount from the Lake Erie Resources Fund (Fund	56029
5D8) to the Lake Erie Protection Fund (Fund 4C0). The Director of	56030
Budget and Management may transfer the requested amount, or the	56031
Director may transfer a different amount up to the certified	56032
amount. Cash transferred shall be used for the purposes described	56033
in division (A) of section 1506.23 of the Revised Code. The amount	56034
transferred by the director is hereby appropriated to the	56035
foregoing appropriation item 780-601, Lake Erie Protection Fund,	56036
which shall be increased by the amount transferred.	56037

Section 317.10.  LRS LEGAL RIGHTS SERVICE

56038

General Revenue Fund

56039

GRF	054-321		Support Services		$	198,075		$	198,075		56040
GRF	054-401		Ombudsman		$	291,247		$	291,247		56041
TOTAL GRF General Revenue Fund					$	489,322		$	489,322		56042

General Services Fund Group

56043

5M0	054-610		Program Support		$	81,352		$	81,352		56044
5M0	054-617		Martin Settlement		$	150,000		$	0		56045
TOTAL GSF General Services											56046
Fund Group					$	231,352		$	81,352		56047

Federal Special Revenue Fund Group

56048

3AG	054-613		Protection and Advocacy - Voter Accessibility		$	115,000		$	115,000		56049
3B8	054-603		Protection and Advocacy - Mentally Ill		$	1,089,999		$	1,089,999		56050
3CA	054-615		Work Incentives Planning and Assistance		$	355,000		$	355,000		56051
3N3	054-606		Protection and Advocacy - Individual Rights		$	560,000		$	560,000		56052
3N9	054-607		Assistive Technology		$	160,000		$	160,000		56053
3R9	054-604		Family Support Collaborative		$	55,000		$	55,000		56054
3R9	054-616		Developmental Disability Publications		$	130,000		$	130,000		56055
3T2	054-609		Client Assistance Program		$	435,000		$	435,000		56056
3X1	054-611		Protection and Advocacy for Beneficiaries of Social Security		$	235,001		$	235,001		56057
3Z6	054-612		Traumatic Brain Injury		$	70,000		$	70,000		56058
305	054-602		Protection and Advocacy - Developmentally Disabled		$	1,500,000		$	1,500,000		56059
TOTAL FED Federal Special Revenue											56060
Fund Group					$	4,705,000		$	4,705,000		56061

State Special Revenue Fund Group

56062

5AE	054-614		Grants and Contracts		$	100,000		$	100,000		56063
TOTAL SSR State Special Revenue Fund Group					$	100,000		$	100,000		56064
TOTAL ALL BUDGET FUND GROUPS					$	5,525,674		$	5,375,674		56065

MARTIN CONSENT ORDER COMPLIANCE

56066

To comply with the Martin Consent Order, on July 1, 2007, or	56067
as soon as possible thereafter, the Director of Budget and	56068
Management shall transfer $150,000 in cash from the General	56069
Revenue Fund to the Program Income Fund (Fund 5MO).	56070

Section 319.10.  JLE JOINT LEGISLATIVE ETHICS COMMITTEE

56071

General Revenue Fund

56072

GRF	028-321		Legislative Ethics Committee		$	550,000		$	550,000		56073
TOTAL GRF General Revenue Fund					$	550,000		$	550,000		56074

General Services Fund Group

56075

4G7	028-601		Joint Legislative Ethics Committee		$	100,000		$	100,000		56076
TOTAL GSF General Services Fund Group					$	100,000		$	100,000		56077
TOTAL ALL BUDGET FUND GROUPS					$	650,000		$	650,000		56078

Section 321.10. LSC LEGISLATIVE SERVICE COMMISSION

56079

General Revenue Fund

56080

GRF	035-321		Operating Expenses		$	16,186,691		$	16,186,691		56081
GRF	035-402		Legislative Interns		$	1,022,120		$	1,022,120		56082
GRF	035-405		Correctional Institution Inspection Committee		$	393,900		$	393,900		56083
GRF	035-409		National Associations		$	460,560		$	460,560		56084
GRF	035-410		Legislative Information Systems		$	3,661,250		$	3,661,250		56085
TOTAL GRF General Revenue Fund					$	21,724,521		$	21,724,521		56086

General Services Fund Group

56087

4F6	035-603		Legislative Budget Services		$	154,025		$	154,025		56088
410	035-601		Sale of Publications		$	25,250		$	25,250		56089
5EF	035-607		House and Senate Telephone Usage		$	30,000		$	30,000		56090
TOTAL GSF General Services											56091
Fund Group					$	209,275		$	209,275		56092
TOTAL ALL BUDGET FUND GROUPS					$	21,933,796		$	21,933,796		56093

JOINT LEGISLATIVE COMMITTEE ON MEDICAID TECHNOLOGY AND REFORM

56094

Of the foregoing appropriation item 035-321, Operating	56095
Expenses, $100,000 in each fiscal year shall be used for costs	56096
associated with employing an executive director for the Joint	56097
Legislative Committee on Medicaid Technology and Reform as	56098
authorized by division (C) of section 101.391 of the Revised Code.	56099

Section 323.10.  LIB STATE LIBRARY BOARD

56100

General Revenue Fund

56101

GRF	350-321		Operating Expenses		$	6,298,677		$	6,298,677		56102
GRF	350-400		Ohio Public Library Information Network		$	4,330,000		$	4,330,000		56103
GRF	350-401		Ohioana Rental Payments		$	124,816		$	124,816		56104
GRF	350-501		Library for the Blind-Cincinnati		$	535,615		$	535,615		56105
GRF	350-502		Regional Library Systems		$	1,010,441		$	1,010,441		56106
GRF	350-503		Library for the Blind-Cleveland		$	805,642		$	805,642		56107
TOTAL GRF General Revenue Fund					$	13,105,191		$	13,105,191		56108

General Services Fund Group

56109

139	350-602		Intra-Agency Service Charges		$	9,000		$	9,000		56110
4S4	350-604		Ohio Public Library Information Network Technology		$	3,000,000		$	3,000,000		56111
459	350-602		Library Service Charges		$	2,708,092		$	2,708,092		56112
TOTAL GSF General Services											56113
Fund Group					$	5,717,092		$	5,717,092		56114

Federal Special Revenue Fund Group

56115

313	350-601		LSTA Federal		$	5,691,792		$	5,691,792		56116
TOTAL FED Federal Special Revenue											56117
Fund Group					$	5,691,792		$	5,691,792		56118
TOTAL ALL BUDGET FUND GROUPS					$	24,514,075		$	24,514,075		56119

OHIOANA RENTAL PAYMENTS

56120

The foregoing appropriation item 350-401, Ohioana Rental	56121
Payments, shall be used to pay the rental expenses of the Martha	56122
Kinney Cooper Ohioana Library Association pursuant to section	56123
3375.61 of the Revised Code.	56124

LIBRARY FOR THE BLIND-CINCINNATI

56125

The foregoing appropriation item 350-501, Library for the	56126
Blind-Cincinnati, shall be used for the Talking Book program,	56127
which assists the blind and disabled.	56128

REGIONAL LIBRARY SYSTEMS

56129

The foregoing appropriation item 350-502, Regional Library	56130
Systems, shall be used to support regional library systems	56131
eligible for funding under sections 3375.83 and 3375.90 of the	56132
Revised Code.	56133

LIBRARY FOR THE BLIND-CLEVELAND

56134

The foregoing appropriation item 350-503, Library for the	56135
Blind-Cleveland, shall be used for the Talking Book program, which	56136
assists the blind and disabled.	56137

OHIO PUBLIC LIBRARY INFORMATION NETWORK

56138

The foregoing appropriation items 350-604, Ohio Public	56139
Library Information Network Technology, and 350-400, Ohio Public	56140
Library Information Network, shall be used for an information	56141
telecommunications network linking public libraries in the state	56142
and such others as may be certified as participants by the Ohio	56143
Public Library Information Network Board.	56144

The Ohio Public Library Information Network Board shall	56145
consist of eleven members appointed by the State Library Board	56146
from among the staff of public libraries and past and present	56147
members of boards of trustees of public libraries, based on the	56148
recommendations of the Ohio library community. The Ohio Public	56149
Library Information Network Board, in consultation with the State	56150
Library, shall develop a plan of operations for the network. The	56151
board may make decisions regarding use of the foregoing	56152
appropriation items 350-400, Ohio Public Library Information	56153
Network, and 350-604, Ohio Public Library Information Network	56154
Technology, may receive and expend grants to carry out the	56155
operations of the network in accordance with state law and the	56156
authority to appoint and fix the compensation of a director and	56157
necessary staff. The State Library shall be the fiscal agent for	56158
the network and shall have fiscal accountability for the	56159
expenditure of funds. The Ohio Public Library Information Network	56160
Board members shall be reimbursed for actual travel and necessary	56161
expenses incurred in carrying out their responsibilities.	56162

In order to limit access to obscene and illegal materials	56163
through internet use at Ohio Public Library Information Network	56164
(OPLIN) terminals, local libraries with OPLIN computer terminals	56165
shall adopt policies that control access to obscene and illegal	56166
materials. These policies may include use of technological systems	56167
to select or block certain internet access. The OPLIN shall	56168
condition provision of its funds, goods, and services on	56169
compliance with these policies. The OPLIN Board shall also adopt	56170
and communicate specific recommendations to local libraries on	56171
methods to control such improper usage. These methods may include	56172
each library implementing a written policy controlling such	56173
improper use of library terminals and requirements for parental	56174
involvement or written authorization for juvenile internet usage.	56175

Of the foregoing appropriation item 350-400, Ohio Public	56176
Library Information Network, up to $100,000 in each fiscal year	56177
shall be used to help local libraries purchase or maintain filters	56178
to screen out obscene and illegal internet materials.	56179

The OPLIN Board shall research and assist or advise local	56180
libraries with regard to emerging technologies and methods that	56181
may be effective means to control access to obscene and illegal	56182
materials. The OPLIN Executive Director shall biannually provide	56183
written reports to the Governor, the Speaker and Minority Leader	56184
of the House of Representatives, and the President and Minority	56185
Leader of the Senate on any steps being taken by OPLIN and public	56186
libraries in the state to limit and control such improper usage as	56187
well as information on technological, legal, and law enforcement	56188
trends nationally and internationally affecting this area of	56189
public access and service.	56190

The Ohio Public Library Information Network, INFOhio, and	56191
OhioLINK shall, to the extent feasible, coordinate and cooperate	56192
in their purchase or other acquisition of the use of electronic	56193
databases for their respective users and shall contribute funds in	56194
an equitable manner to such effort.	56195

Section 325.10.  LCO LIQUOR CONTROL COMMISSION

56196

Liquor Control Fund Group

56197

043	970-321		Operating Expenses		$	743,093		$	772,524		56198
TOTAL LCF Liquor Control Fund Group					$	743,093		$	772,524		56199
TOTAL ALL BUDGET FUND GROUPS					$	743,093		$	772,524		56200

Section 327.10.  LOT STATE LOTTERY COMMISSION

56202

General Services Fund Group

56203

231	950-604		Charitable Gaming Oversight		$	2,253,000		$	2,378,000		56204
TOTAL GSF General Services Fund Group					$	2,253,000		$	2,378,000		56205

State Lottery Fund Group

56206

044	950-100		Personal Services		$	25,945,116		$	27,085,265		56207
044	950-200		Maintenance		$	18,748,274		$	18,693,328		56208
044	950-300		Equipment		$	2,554,500		$	2,446,500		56209
044	950-402		Advertising Contracts		$	21,250,000		$	21,250,000		56210
044	950-403		Gaming Contracts		$	50,419,360		$	51,250,704		56211
044	950-500		Problem Gambling Subsidy		$	335,000		$	335,000		56212
044	950-601		Direct Prize Payments		$	147,716,286		$	147,716,286		56213
871	950-602		Annuity Prizes		$	151,724,305		$	151,724,305		56214
TOTAL SLF State Lottery Fund											56215
Group					$	418,692,841		$	420,501,388		56216
TOTAL ALL BUDGET FUND GROUPS					$	420,945,841		$	422,879,388		56217

OPERATING EXPENSES

56218

Notwithstanding sections 127.14 and 131.35 of the Revised	56219
Code, the Controlling Board may, at the request of the State	56220
Lottery Commission, authorize additional appropriations for	56221
operating expenses of the State Lottery Commission from the State	56222
Lottery Fund up to a maximum of 15 per cent of anticipated total	56223
revenue accruing from the sale of lottery tickets.	56224

DIRECT PRIZE PAYMENTS

56225

Any amounts, in addition to the amounts appropriated in	56226
appropriation item 950-601, Direct Prize Payments, that the	56227
Director of the State Lottery Commission determines to be	56228
necessary to fund prizes, bonuses, and commissions are hereby	56229
appropriated.	56230

ANNUITY PRIZES

56231

With the approval of the Office of Budget and Management, the	56232
State Lottery Commission shall transfer cash from the State	56233
Lottery Fund Group (Fund 044) to the Deferred Prizes Trust Fund	56234
(Fund 871) in an amount sufficient to fund deferred prizes. The	56235
Treasurer of State, from time to time, shall credit the Deferred	56236
Prizes Trust Fund (Fund 871) the pro rata share of interest earned	56237
by the Treasurer of State on invested balances.	56238

Any amounts, in addition to the amounts appropriated in	56239
appropriation item 950-602, Annuity Prizes, that the Director of	56240
the State Lottery Commission determines to be necessary to fund	56241
deferred prizes and interest earnings are hereby appropriated.	56242

TRANSFERS TO THE LOTTERY PROFITS EDUCATION FUND

56243

The Ohio Lottery Commission shall transfer an amount greater	56244
than or equal to $657,900,000 in fiscal year 2008 and $667,900,000	56245
in fiscal year 2009 to the Lottery Profits Education Fund.	56246
Transfers from the Commission to the Lottery Profits Education	56247
Fund shall represent the estimated net income from operations for	56248
the Commission in fiscal year 2008 and fiscal year 2009. Transfers	56249
by the Commission to the Lottery Profits Education Fund shall be	56250
administered as the statutes direct.	56251

Section 329.10. MHC MANUFACTURED HOMES COMMISSION

56252

General Services Fund Group

56253

4K9	996-609		Operating Expenses		$	418,122		$	434,671		56254
TOTAL GSF General Services											56255
Fund Group					$	418,122		$	434,671		56256
TOTAL ALL BUDGET FUND GROUPS					$	418,122		$	434,671		56257

Section 331.10. MED STATE MEDICAL BOARD

56259

General Services Fund Group

56260

5C6	883-609		Operating Expenses		$	7,883,145		$	8,225,945		56261
TOTAL GSF General Services											56262
Fund Group					$	7,883,145		$	8,225,945		56263
TOTAL ALL BUDGET FUND GROUPS					$	7,883,145		$	8,225,945		56264

Section 333.10. AMB MEDICAL TRANSPORTATION BOARD

56266

General Services Fund Group

56267

4K9	915-604		Operating Expenses		$	471,450		$	473,450		56268
TOTAL GSF General Services											56269
Fund Group					$	471,450		$	473,450		56270
TOTAL ALL BUDGET FUND GROUPS					$	471,450		$	473,450		56271

CASH TRANSFER TO OCCUPATIONAL LICENSING AND REGULATORY FUND	56272
(FUND 4K9)	56273

Effective July 1, 2007, or as soon as practicable thereafter,	56274
the Director of Budget and Management may transfer the cash	56275
balance in the Ohio Medical Transportation Trust Fund (Fund 4N1),	56276
created in division (B) of section 4766.05 of the Revised Code, to	56277
the Occupational Licensing and Regulatory Fund (Fund 4K9), created	56278
in section 4743.05 of the Revised Code. The director shall cancel	56279
any existing encumbrances against appropriation item 915-601,	56280
Operating Expenses, and re-establish them against appropriation	56281
item 915-604, Operating Expenses. The amounts of the	56282
re-established encumbrances are hereby appropriated. Upon	56283
completion of these transfers, the Ohio Medical Transportation	56284
Trust Fund (Fund 4N1) is hereby abolished.	56285

Section 335.10.  DMH DEPARTMENT OF MENTAL HEALTH

56286

General Services Fund Group

56287

151	336-601		Office of Support Services		$	134,060,000		$	148,998,000		56288
TOTAL General Services Fund Group					$	134,060,000		$	148,998,000		56289

Division of Mental Health--

56290

Psychiatric Services to Correctional Facilities

56291

General Revenue Fund

56292

GRF	332-401		Forensic Services		$	4,338,858		$	4,338,858		56293
TOTAL GRF General Revenue Fund					$	4,338,858		$	4,338,858		56294

Section 335.10.10. FORENSIC SERVICES

56296

The foregoing appropriation item 332-401, Forensic Services,	56297
shall be used to provide psychiatric services to courts of common	56298
pleas. The appropriation shall be allocated through community	56299
mental health boards to certified community agencies and shall be	56300
distributed according to the criteria delineated in rule	56301
5122:32-01 of the Administrative Code. These community forensic	56302
funds may also be used to provide forensic training to community	56303
mental health boards and to forensic psychiatry residency programs	56304
in hospitals operated by the Department of Mental Health and to	56305
provide evaluations of patients of forensic status in facilities	56306
operated by the Department of Mental Health prior to conditional	56307
release to the community.	56308

In addition, appropriation item 332-401, Forensic Services,	56309
may be used to support projects involving mental health, substance	56310
abuse, courts, and law enforcement to identify and develop	56311
appropriate alternative services to incarceration for nonviolent	56312
mentally ill offenders, and to provide specialized re-entry	56313
services to offenders leaving prisons and jails. Funds may also be	56314
utilized to provide forensic monitoring and tracking in addition	56315
to community programs serving persons of forensic status on	56316
conditional release or probation.	56317

Section 335.20. Division of Mental Health--

56318

Administration and Statewide Programs

56319

General Revenue Fund

56320

GRF	333-321		Central Administration		$	23,853,906		$	23,853,906		56321
GRF	333-402		Resident Trainees		$	1,364,919		$	1,364,919		56322
GRF	333-403		Pre-Admission Screening Expenses		$	650,135		$	650,135		56323
GRF	333-415		Lease-Rental Payments		$	23,767,400		$	20,504,500		56324
GRF	333-416		Research Program Evaluation		$	1,001,551		$	1,001,551		56325
TOTAL GRF General Revenue Fund					$	50,637,911		$	47,375,011		56326

General Services Fund Group

56327

149	333-609		Central Office Operating		$	1,200,000		$	1,200,000		56328
TOTAL General Services Fund Group					$	1,200,000		$	1,200,000		56329

Federal Special Revenue Fund Group

56330

3A6	333-608		Community & Hospital Services		$	140,000		$	140,000		56331
3A7	333-612		Social Services Block Grant		$	25,000		$	25,000		56332
3A8	333-613		Federal Grant - Administration		$	4,888,105		$	4,888,105		56333
3A9	333-614		Mental Health Block Grant - Administration		$	748,470		$	748,470		56334
3B1	333-635		Community Medicaid Expansion		$	13,691,682		$	13,691,682		56335
324	333-605		Medicaid/Medicare		$	154,500		$	154,500		56336
TOTAL Federal Special Revenue											56337
Fund Group					$	19,647,757		$	19,647,757		56338

State Special Revenue Fund Group

56339

232	333-621		Family and Children First Administration		$	625,000		$	625,000		56340
4X5	333-607		Behavioral Health Medicaid Services		$	3,000,634		$	3,000,634		56341
5V2	333-611		Non-Federal Miscellaneous		$	580,000		$	560,000		56342
485	333-632		Mental Health Operating		$	134,233		$	134,233		56343
TOTAL State Special Revenue											56344
Fund Group					$	4,339,867		$	4,319,867		56345
TOTAL ALL BUDGET FUND GROUPS					$	75,825,535		$	72,542,635		56346

Section 335.20.10. RESIDENCY TRAINEESHIP PROGRAMS

56348

The foregoing appropriation item 333-402, Resident Trainees,	56349
shall be used to fund training agreements entered into by the	56350
Department of Mental Health for the development of curricula and	56351
the provision of training programs to support public mental health	56352
services.	56353

Section 335.20.20. PRE-ADMISSION SCREENING EXPENSES

56354

The foregoing appropriation item 333-403, Pre-Admission	56355
Screening Expenses, shall be used to pay for costs to ensure that	56356
uniform statewide methods for pre-admission screening are in place	56357
to perform assessments for persons who have severe mental illness	56358
and are referred for long-term Medicaid certified nursing facility	56359
placement. Pre-admission screening includes the following	56360
activities: pre-admission assessment, consideration of continued	56361
stay requests, discharge planning and referral, and adjudication	56362
of appeals and grievance procedures.	56363

Section 335.20.30. LEASE-RENTAL PAYMENTS

56364

The foregoing appropriation item 333-415, Lease-Rental	56365
Payments, shall be used to meet all payments during the period	56366
from July 1, 2007, to June 30, 2009, by the Department of Mental	56367
Health under leases and agreements made under section 154.20 of	56368
the Revised Code. These appropriations are the source of funds	56369
pledged for bond service charges on obligations issued pursuant to	56370
Chapter 154. of the Revised Code.	56371

Section 335.20.40. BEHAVIORAL HEALTH MEDICAID SERVICES

56372

The Department of Mental Health shall administer specified	56373
Medicaid Services as delegated by the Department of Job and Family	56374
Services in an interagency agreement. The foregoing appropriation	56375
item 333-607, Behavioral Health Medicaid Services, may be used to	56376
make payments for free-standing psychiatric hospital inpatient	56377
services as defined in an interagency agreement with the	56378
Department of Job and Family Services.	56379

Section 335.30. DIVISION OF MENTAL HEALTH - HOSPITALS

56380

General Revenue Fund

56381

GRF	334-408		Community and Hospital Mental Health Services		$	400,324,545		$	400,324,545		56382
GRF	334-410		System Reform		$	0		$	5,000,000		56383
GRF	334-506		Court Costs		$	976,652		$	976,652		56384
TOTAL GRF General Revenue Fund					$	401,301,197		$	406,301,197		56385

General Services Fund Group

56386

149	334-609		Hospital - Operating Expenses		$	33,800,000		$	33,800,000		56387
150	334-620		Special Education		$	120,930		$	120,930		56388
TOTAL GSF General Services											56389
Fund Group					$	33,920,930		$	33,920,930		56390

Federal Special Revenue Fund Group

56391

3A6	334-608		Subsidy for Federal Grants		$	586,224		$	586,224		56392
3A8	334-613		Federal Letter of Credit		$	200,000		$	200,000		56393
3B0	334-617		Adult Basic and Literary Education		$	182,334		$	182,334		56394
3B1	334-635		Hospital Medicaid Expansion		$	2,000,000		$	2,000,000		56395
324	334-605		Medicaid/Medicare		$	34,500,000		$	50,500,000		56396
TOTAL FED Federal Special Revenue											56397
Fund Group					$	37,468,558		$	53,468,558		56398

State Special Revenue Fund Group

56399

485	334-632		Mental Health Operating		$	3,100,000		$	3,100,000		56400
692	334-636		Community Mental Health Board Risk Fund		$	80,000		$	80,000		56401
TOTAL SSR State Special Revenue											56402
Fund Group					$	3,180,000		$	3,180,000		56403
TOTAL ALL BUDGET FUND GROUPS					$	475,870,685		$	496,870,685		56404

Section 335.30.10. SYSTEM REFORM

56406

Following receipt of a review performed by the Office of	56407
Budget and Management, the Director of Mental Health shall develop	56408
a plan for the use of appropriation item 334-410, System Reform.	56409
Following approval of the plan by the Director of Budget and	56410
Management, the Department of Mental Health may begin expending	56411
the dollars appropriated to appropriation item 334-410, System	56412
Reform.	56413

Section 335.30.20. COMMUNITY MENTAL HEALTH BOARD RISK FUND

56414

The foregoing appropriation item 334-636, Community Mental	56415
Health Board Risk Fund, shall be used to make payments under	56416
section 5119.62 of the Revised Code.	56417

Section 335.40. DIVISION OF MENTAL HEALTH - COMMUNITY SUPPORT	56418
SERVICES	56419

General Revenue Fund

56420

GRF	335-404		Behavioral Health Services-Children		$	8,076,153		$	8,711,153		56421
GRF	335-405		Family & Children First		$	2,260,000		$	2,260,000		56422
GRF	335-419		Community Medication Subsidy		$	7,959,798		$	7,959,798		56423
GRF	335-505		Local Mental Health Systems of Care		$	99,687,868		$	99,687,868		56424
TOTAL GRF General Revenue Fund					$	117,983,819		$	118,618,819		56425

General Services Fund Group

56426

4P9	335-604		Community Mental Health Projects		$	250,000		$	250,000		56427
TOTAL GSF General Services											56428
Fund Group					$	250,000		$	250,000		56429

Federal Special Revenue Fund Group

56430

3A6	335-608		Federal Miscellaneous		$	2,178,699		$	2,178,699		56431
3A7	335-612		Social Services Block Grant		$	8,657,288		$	8,657,288		56432
3A8	335-613		Federal Grant - Community Mental Health Board Subsidy		$	2,595,040		$	2,595,040		56433
3A9	335-614		Mental Health Block Grant		$	14,969,400		$	14,969,400		56434
3B1	335-635		Community Medicaid Expansion		$	299,614,455		$	316,699,716		56435
TOTAL FED Federal Special Revenue Fund Group					$	328,014,882		$	345,100,143		56436

State Special Revenue Fund Group

56437

5AU	335-615		Behavioral Healthcare		$	6,690,000		$	6,690,000		56438
632	335-616		Community Capital Replacement		$	350,000		$	350,000		56439
TOTAL SSR State Special Revenue Fund Group					$	7,040,000		$	7,040,000		56440

TOTAL ALL BUDGET FUND GROUPS					$	453,288,701		$	471,008,962		56441
DEPARTMENT TOTAL											56442
GENERAL REVENUE FUND					$	574,261,785		$	576,633,885		56443
DEPARTMENT TOTAL											56444
GENERAL SERVICES FUND GROUP					$	169,430,930		$	184,368,930		56445
DEPARTMENT TOTAL											56446
FEDERAL SPECIAL REVENUE											56447
FUND GROUP					$	385,131,197		$	418,216,458		56448
DEPARTMENT TOTAL											56449
STATE SPECIAL REVENUE FUND GROUP					$	14,559,867		$	14,539,867		56450
DEPARTMENT TOTAL											56451
TOTAL DEPARTMENT OF MENTAL HEALTH					$	1,143,383,779		$	1,193,759,140		56452

Section 335.40.10. BEHAVIORAL HEALTH - CHILDREN

56454

The foregoing appropriation item 335-404, Behavioral Health	56455
Services-Children, shall be used to provide behavioral health	56456
services for children and their families. Behavioral health	56457
services include mental health and alcohol and other drug	56458
treatment services and other necessary supports.	56459

Of the foregoing appropriation item 335-404, Behavioral	56460
Health Services-Children, an amount up to $4.5 million in fiscal	56461
year 2008 and $5.5 million in fiscal year 2009 shall be	56462
distributed to local Alcohol, Drug Addiction, and Mental Health	56463
Boards; Community Mental Health Boards; and Alcohol and Drug	56464
Addiction Boards, based upon a distribution formula and guidance	56465
defined by a team of state and local stakeholders appointed by the	56466
Ohio Family and Children First Cabinet Council. This team shall	56467
include, but not be limited to, all of the following:	56468

(A) At least one representative from each of the Departments	56469
of Alcohol and Drug Addiction Services, Mental Health, Education,	56470
Health, Job and Family Services, Mental Retardation and	56471
Developmental Disabilities, and the Department of Youth Services;	56472

(B) At least one person representing local public children's	56473
services agencies;	56474

(C) At least one person representing juvenile courts;

56475

(D) At least one person representing local Alcohol, Drug	56476
Addiction, and Mental Health Boards; Community Mental Health	56477
Boards; and Alcohol and Drug Addiction Boards;	56478

(E) At least one person representing local Family and	56479
Children First Council Coordinators;	56480

(F) At least one family representative.

56481

Funds may be used to support the following services and	56482
activities as determined by local Alcohol, Drug Addiction, and	56483
Mental Health Boards; Community Mental Health Boards; and Alcohol	56484
and Drug Addiction Boards and local family and children first	56485
councils and aligned with county service coordination mechanism as	56486
described in division (C) of section 121.37 of the Revised Code:	56487

(A) Mental health services provided by the Ohio Department of	56488
Mental Health certified agencies and alcohol and other drug	56489
services provided by Department of Alcohol and Drug Addiction	56490
Services certified agencies;	56491

(B) Services and supports for children and their families	56492
that further the implementation of their individual service plans;	56493

(C) Treatment services in out-of-home settings, including	56494
residential facilities, when other alternatives are not available	56495
or feasible;	56496

(D) Administrative support for efforts associated with this	56497
initiative;	56498

(E) These funds shall not be used to supplant existing	56499
efforts.	56500

Of the foregoing appropriation item 335-404, Behavioral	56501
Health Services-Children, an amount up to $1.0 million in fiscal	56502
year 2008 and $1.0 million in fiscal year 2009 shall be used to	56503
support projects, as determined by the Ohio Family and Children	56504
First Cabinet Council, in select areas around the state to focus	56505
on improving behavioral health juvenile justice services.	56506

Of the foregoing appropriation item 335-405, Family &	56507
Children First, an amount up to $500,000 in fiscal year 2008 and	56508
$500,000 in fiscal year 2009 shall be used for children for whom	56509
the primary focus of treatment is not a mental health or alcohol	56510
or drug addiction disorder and require services or supports to	56511
assist those needs through the County Family and Children First	56512
Council.	56513

Section 335.40.20. COMMUNITY MEDICATION SUBSIDY

56514

The foregoing appropriation item 335-419, Community	56515
Medication Subsidy, shall be used to provide subsidized support	56516
for psychotropic medication needs of indigent citizens in the	56517
community to reduce unnecessary hospitalization because of lack of	56518
medication and to provide subsidized support for methadone costs.	56519

Section 335.40.30. LOCAL MENTAL HEALTH SYSTEMS OF CARE

56520

The foregoing appropriation item 335-505, Local Mental Health	56521
Systems of Care, shall be used for mental health services provided	56522
by community mental health boards in accordance with a community	56523
mental health plan submitted under section 340.03 of the Revised	56524
Code and as approved by the Department of Mental Health.	56525

Of the foregoing appropriation, not less than $34,818,917 in	56526
fiscal year 2008 and not less than $34,818,917 in fiscal year 2009	56527
shall be distributed by the Department of Mental Health on a per	56528
capita basis to community mental health boards.	56529

Of the foregoing appropriation, $100,000 in each fiscal year	56530
shall be used to fund family and consumer education and support.	56531

Section 335.40.40. RATE STRUCTURE STUDY GROUP

56532

The Director of Mental Health shall convene a study group	56533
made up of state and county representatives and members of the	56534
provider communities to review the current provider rate structure	56535
for mental health services and make recommendations.	56536

Section 337.10.  DMR DEPARTMENT OF MENTAL RETARDATION AND	56537
DEVELOPMENTAL DISABILITIES	56538

Section 337.20.  GENERAL ADMINISTRATION AND STATEWIDE	56539
SERVICES	56540

General Revenue Fund

56541

GRF	320-321		Central Administration		$	9,638,610		$	9,638,610		56542
GRF	320-412		Protective Services		$	2,792,322		$	2,792,322		56543
GRF	320-415		Lease-Rental Payments		$	23,767,400		$	20,504,500		56544
TOTAL GRF General Revenue Fund					$	36,198,332		$	32,935,432		56545

General Services Fund Group

56546

4B5	320-640		Training and Service Development		$	100,000		$	100,000		56547
TOTAL GSF General Services											56548
Fund Group					$	100,000		$	100,000		56549

Federal Special Revenue Fund Group

56550

3A5	320-613		DD Council		$	2,705,004		$	2,743,630		56551
TOTAL FED Federal Special Revenue											56552
Fund Group					$	2,705,004		$	2,743,630		56553

State Special Revenue Fund Group											56554
5S2	590-622		Medicaid Administration & Oversight		$	11,003,855		$	11,472,335		56555
TOTAL SSR State Special Revenue											56556
Fund Group					$	11,003,855		$	11,472,335		56557
TOTAL ALL GENERAL ADMINISTRATION											56558
AND STATEWIDE SERVICES											56559
BUDGET FUND GROUPS					$	50,007,191		$	47,251,397		56560

Section 337.20.10. LEASE-RENTAL PAYMENTS

56561

The foregoing appropriation item 320-415, Lease-Rental	56562
Payments, shall be used to meet all payments at the time they are	56563
required to be made during the period from July 1, 2007, to June	56564
30, 2009, by the Department of Mental Retardation and	56565
Developmental Disabilities under leases and agreements made under	56566
section 154.20 of the Revised Code. These appropriations are the	56567
source of funds pledged for bond service charges or obligations	56568
issued pursuant to Chapter 154. of the Revised Code.	56569

Section 337.30. COMMUNITY SERVICES

56570

General Revenue Fund

56571

GRF	322-413		Residential and Support Services		$	6,753,881		$	6,753,881		56572
GRF	322-416		Medicaid Waiver - State Match		$	113,692,413		$	113,692,413		56573
GRF	322-501		County Boards Subsidies		$	90,067,913		$	90,067,913		56574
GRF	322-503		Tax Equity		$	14,000,000		$	14,000,000		56575
GRF	322-504		Martin Settlement		$	6,159,766		$	29,036,451		56576
TOTAL GRF General Revenue Fund					$	230,673,973		$	253,550,658		56577

General Services Fund Group

56578

488	322-603		Provider Audit Refunds		$	10,000		$	10,000		56579
TOTAL GSF General Services											56580
Fund Group					$	10,000		$	10,000		56581

Federal Special Revenue Fund Group

56582

3G6	322-639		Medicaid Waiver - Federal		$	456,311,171		$	506,618,829		56583
3M7	322-650		CAFS Medicaid		$	4,278,713		$	0		56584
325	322-612		Community Social Service Programs		$	11,186,114		$	11,164,639		56585
TOTAL FED Federal Special Revenue											56586
Fund Group					$	471,775,998		$	517,783,468		56587

State Special Revenue Fund Group

56588

4K8	322-604		Medicaid Waiver - State Match		$	12,000,000		$	12,000,000		56589
5DJ	322-625		Targeted Case Management Match		$	11,082,857		$	11,470,757		56590
5DJ	322-626		Targeted Case Management Services		$	27,548,737		$	28,512,943		56591
5EV	322-627		Program Fees		$	20,000		$	20,000		56592
5H0	322-619		Medicaid Repayment		$	10,000		$	10,000		56593
5Z1	322-624		County Board Waiver Match		$	116,000,000		$	126,000,000		56594
TOTAL SSR State Special Revenue											56595
Fund Group					$	166,661,594		$	178,013,700		56596
TOTAL ALL COMMUNITY SERVICES											56597
BUDGET FUND GROUPS					$	869,121,565		$	949,357,826		56598

Section 337.30.10. RESIDENTIAL AND SUPPORT SERVICES

56600

The Department of Mental Retardation and Developmental	56601
Disabilities may designate a portion of appropriation item	56602
322-413, Residential and Support Services, for Sermak Class	56603
Services used to implement the requirements of the agreement	56604
settling the condecree in Sermak v. Manuel, Case No. c-2-80-220,	56605
United States District Court for the Southern District of Ohio,	56606
Eastern Division.	56607

Section 337.30.20. OTHER RESIDENTIAL AND SUPPORT SERVICE	56608
PROGRAMS	56609

Notwithstanding Chapters 5123. and 5126. of the Revised Code,	56610
the Department of Mental Retardation and Developmental	56611
Disabilities may develop residential and support service programs	56612
funded by appropriation item 322-413, Residential and Support	56613
Services; and appropriation item 322-416, Medicaid Waiver - State	56614
Match, and the appropriation for supported living in appropriation	56615
item 322-501, County Board Subsidy, that enable persons with	56616
mental retardation and developmental disabilities to live in the	56617
community. Notwithstanding Chapter 5121. and section 5123.122 of	56618
the Revised Code, the Department may waive the support collection	56619
requirements of those statutes for persons in community programs	56620
developed by the Department under this section. The Department	56621
shall adopt rules under Chapter 119. of the Revised Code or may	56622
use existing rules for the implementation of these programs.	56623

Section 337.30.30. MEDICAID WAIVER - STATE MATCH (GRF)

56624

The purposes for which the foregoing appropriation item	56625
322-416, Medicaid Waiver - State Match, shall be used include the	56626
following:	56627

(A) Home and community-based waiver services under Title XIX	56628
of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301,	56629
as amended.	56630

(B) Services contracted by county boards of mental	56631
retardation and developmental disabilities.	56632

(C) To pay the nonfederal share of the cost of one or more	56633
new intermediate care facility for the mentally retarded certified	56634
beds in a county where the county board of mental retardation and	56635
developmental disabilities does not initiate or support the	56636
development or certification of such beds, if the Director of	56637
Mental Retardation and Developmental Disabilities is required by	56638
this act to transfer to the Director of Job and Family Services	56639
funds to pay such nonfederal share.	56640

The Department of Mental Retardation and Developmental	56641
Disabilities may designate a portion of appropriation item	56642
322-416, Medicaid Waiver - State Match, to county boards of mental	56643
retardation and developmental disabilities that have greater need	56644
for various residential and support services because of a low	56645
percentage of residential and support services development in	56646
comparison to the number of individuals with mental retardation or	56647
developmental disabilities in the county.	56648

Section 337.30.40. STATE SUBSIDY TO COUNTY MR/DD BOARDS

56649

The Department of Mental Retardation and Developmental	56650
Disabilities shall use the foregoing appropriation item 322-501,	56651
County Boards Subsidy, to pay each county board of mental	56652
retardation and developmental disabilities in each fiscal year of	56653
the biennium an amount that is equal to the amount such board	56654
received in fiscal year 2007 from former appropriation items	56655
322-417, Supported Living; 322-451, Family Support Services;	56656
322-452, Service and Support Administration; and 322-501, County	56657
Boards Subsidies.	56658

County boards shall use the subsidy for early childhood	56659
services and adult services provided under section 5126.05 of the	56660
Revised Code, family support services provided under section	56661
5126.11 of the Revised Code, service and support administration	56662
provided under section 5126.15 of the Revised Code, and supported	56663
living services provided under sections 5126.40 to 5126.47 of the	56664
Revised Code.	56665

In the event that the appropriation in appropriation item	56666
322-501, County Board Subsidy, for fiscal year 2008 or fiscal year	56667
2009 is greater than the subsidy paid by the Department for fiscal	56668
year 2007, the Department and county boards shall develop a	56669
formula for allocating the additional appropriation to each county	56670
board to support priorities determined by the Department and	56671
county boards.	56672

The Department shall distribute this subsidy to county boards	56673
in quarterly installments of equal amounts. The installments shall	56674
be made not later than the thirtieth day of September, the	56675
thirty-first day of December, the thirty-first day of March, and	56676
thirtieth day of June.	56677

The Department also may use the foregoing appropriation item	56678
322-501, County Boards Subsidy, to pay the nonfederal share of the	56679
cost of one or more new intermediate care facility for the	56680
mentally retarded certified beds in a county where the county	56681
board of mental retardation and developmental disabilities	56682
initiates or supports the development or certification of such	56683
beds, if the Director of Mental Retardation and Developmental	56684
Disabilities is required by this act to transfer to the Director	56685
of Job and Family Services funds to pay such nonfederal share.	56686

Section 337.30.50. MEDICAID WAIVER - STATE MATCH (FUND 4K8)

56687

The foregoing appropriation item 322-604, Medicaid Waiver -	56688
State Match (Fund 4K8), shall be used as state matching funds for	56689
the home and community-based waivers.	56690

Section 337.30.60. TARGETED CASE MANAGEMENT SERVICES

56691

County boards of mental retardation and developmental	56692
disabilities shall pay the nonfederal portion of targeted case	56693
management costs to the Department of Mental Retardation and	56694
Developmental Disabilities. The Director of Mental Retardation and	56695
Developmental Disabilities shall withhold any amount owed to the	56696
Department from subsequent disbursements from any appropriation	56697
item or money otherwise due to a nonpaying county.	56698

The Departments of Mental Retardation and Developmental	56699
Disabilities and Job and Family Services may enter into an	56700
interagency agreement under which the Department of Mental	56701
Retardation and Developmental Disabilities shall pay the	56702
Department of Job and Family Services the nonfederal portion of	56703
the cost of targeted case management services paid by county	56704
boards and the Department of Job and Family Services shall pay the	56705
total cost of targeted case management claims.	56706

Section 337.30.70.  TRANSFER TO PROGRAM FEE FUND

56707

On July 1, 2007, or as soon as possible thereafter, the	56708
Director of Mental Retardation and Developmental Disabilities	56709
shall certify to the Director of Budget and Management the amount	56710
of cash that has been deposited into Fund 4B5,	56711
Conference/Training, pursuant to sections 5123.19 and 5126.25 of	56712
the Revised Code, less the amount that has been expended from Fund	56713
4B5 to operate the Certification and Registration Program	56714
established under section 5126.25 of the Revised Code and to	56715
license and inspect residential facilities as outlined in section	56716
5123.19 of the Revised Code. The certified amount shall not	56717
include amounts deposited into Fund 4B5 for training and	56718
conferences conducted by the Department of Mental Retardation and	56719
Developmental Disabilities. Upon receipt of the certification, the	56720
Director of Budget and Management shall transfer cash equal to the	56721
amount certified and all associated liabilities and obligations to	56722
Fund 5EV, Program Fee Fund, in the Department of Mental	56723
Retardation and Developmental Disabilities.	56724

Section 337.30.80.  DEVELOPMENTAL CENTER BILLING FOR SERVICES

56725

Developmental centers of the Department of Mental Retardation	56726
and Developmental Disabilities may provide services to persons	56727
with mental retardation or developmental disabilities living in	56728
the community or to providers of services to these persons. The	56729
Department may develop a method for recovery of all costs	56730
associated with the provisions of these services.	56731

Section 337.40. RESIDENTIAL FACILITIES

56732

General Revenue Fund

56733

GRF	323-321		Developmental Center and Residential Facilities Operation Expenses		$	102,796,851		$	102,796,851		56734
TOTAL GRF General Revenue Fund					$	102,796,851		$	102,796,851		56735

General Services Fund Group

56736

152	323-609		Developmental Center and Residential Operating Services		$	912,177		$	912,177		56737
TOTAL GSF General Services											56738
Fund Group					$	912,177		$	912,177		56739

Federal Special Revenue Fund Group

56740

3A4	323-605		Developmental Center and Residential Facility Services and Support		$	136,299,536		$	137,555,308		56741
TOTAL FED Federal Special Revenue											56742
Fund Group					$	136,299,536		$	137,555,308		56743

State Special Revenue Fund Group

56744

221	322-620		Supplement Service Trust		$	150,000		$	150,000		56745
489	323-632		Developmental Center Direct Care Support		$	14,543,764		$	14,671,616		56746
TOTAL SSR State Special Revenue											56747
Fund Group					$	14,693,764		$	14,821,616		56748
TOTAL ALL RESIDENTIAL FACILITIES											56749
BUDGET FUND GROUPS					$	254,702,328		$	256,085,952		56750

DEPARTMENT TOTAL											56751
GENERAL REVENUE FUND					$	369,669,156		$	389,282,941		56752
DEPARTMENT TOTAL											56753
GENERAL SERVICES FUND GROUP					$	1,022,177		$	1,022,177		56754
DEPARTMENT TOTAL											56755
FEDERAL SPECIAL REVENUE FUND GROUP					$	610,780,538		$	658,082,406		56756
DEPARTMENT TOTAL											56757
STATE SPECIAL REVENUE FUND GROUP					$	192,359,213		$	204,307,651		56758
TOTAL DEPARTMENT OF MENTAL											56759
RETARDATION AND DEVELOPMENTAL											56760
DISABILITIES					$	1,173,831,084		$	1,252,695,175		56761

Section 337.40.10. TRANSFER OF FUNDS FOR DEVELOPMENTAL CENTER	56763
PHARMACY PROGRAMS	56764

The Department of Mental Retardation and Developmental	56765
Disabilities shall pay the Department of Job and Family Services	56766
quarterly, through intrastate transfer voucher, the nonfederal	56767
share of Medicaid prescription drug claim costs for all	56768
developmental centers paid by the Department of Job and Family	56769
Services.	56770

Section 337.40.20. NONFEDERAL MATCH FOR ACTIVE TREATMENT	56771
SERVICES	56772

Any county funds received by the Department from county	56773
boards for active treatment shall be deposited in Fund 489, Mental	56774
Retardation Operating.	56775

Section 337.40.30. NONFEDERAL SHARE OF NEW ICF/MR BEDS

56776

(A) As used in this section:

56777

(1) "Family support services," "home and community-based	56778
services," "service and support administration," and "supported	56779
living" have the same meaning as in section 5126.01 of the Revised	56780
Code.	56781

(2) "Intermediate care facility for the mentally retarded"	56782
has the same meaning as in section 5111.20 of the Revised Code.	56783

(B) If one or more new beds obtain certification as an	56784
intermediate care facility for the mentally retarded bed on or	56785
after July 1, 2007, the Director of Mental Retardation and	56786
Developmental Disabilities shall transfer funds to the Department	56787
of Job and Family Services to pay the nonfederal share of the cost	56788
under the Medicaid Program for those beds. The Director shall use	56789
only the following funds for the transfer:	56790

(1) If the beds are located in a county served by a county	56791
board of mental retardation and developmental disabilities that	56792
does not initiate or support the beds' certification, funds	56793
appropriated to the Department of Mental Retardation and	56794
Developmental Disabilities for home and community-based services	56795
and supported living for which the Director is authorized to make	56796
allocations to county boards;	56797

(2) If the beds are located in a county served by a county	56798
board that initiates or supports the beds' certification, funds	56799
appropriated to the Department for family support services,	56800
service and support administration, and other services for which	56801
the Director is authorized to make allocations to counties.	56802

(C) The funds that the Director transfers under division	56803
(B)(2) of this section shall be funds that the Director has	56804
allocated to the county board serving the county in which the beds	56805
are located unless the amount of the allocation is insufficient to	56806
pay the entire nonfederal share of the cost under the Medicaid	56807
Program for those beds. If the allocation is insufficient, the	56808
Director shall use as much of such funds allocated to other	56809
counties as is needed to make up the difference.	56810

Section 339.10.  MIH COMMISSION ON MINORITY HEALTH

56811

General Revenue Fund

56812

GRF	149-321		Operating Expenses		$	614,194		$	652,740		56813
GRF	149-501		Minority Health Grants		$	670,965		$	1,670,965		56814
GRF	149-502		Lupus Program		$	136,126		$	136,126		56815
TOTAL GRF General Revenue Fund					$	1,421,285		$	2,459,831		56816

Federal Special Revenue Fund Group

56817

3J9	149-602		Federal Grants		$	457,486		$	320,297		56818
TOTAL FED Federal Special Revenue											56819
Fund Group					$	457,486		$	320,297		56820

State Special Revenue Fund Group

56821

4C2	149-601		Minority Health Conference		$	150,000		$	150,000		56822
TOTAL SSR State Special Revenue											56823
Fund Group					$	150,000		$	150,000		56824
TOTAL ALL BUDGET FUND GROUPS					$	2,028,771		$	2,930,128		56825

Section 341.10. CRB MOTOR VEHICLE COLLISION REPAIR	56827
REGISTRATION BOARD	56828

General Service Fund Group

56829

4K9	865-601		Operating Expenses		$	334,995		$	334,995		56830
TOTAL GSF General Services											56831
Fund Group					$	334,995		$	334,995		56832
TOTAL ALL BUDGET FUND GROUPS					$	334,995		$	334,995		56833

CASH TRANSFER TO OCCUPATIONAL LICENSING AND REGULATORY FUND	56834
(FUND 4K9)	56835

Effective July 1, 2007, or as soon as possible thereafter,	56836
the Director of Budget and Management may transfer the cash	56837
balance in the Motor Vehicle Collision Repair Registration Fund	56838
(Fund 5H9), created in division (A) of section 4775.08 of the	56839
Revised Code, to the Occupational Licensing and Regulatory Fund	56840
(Fund 4K9), created in section 4743.05 of the Revised Code. The	56841
Director may cancel any existing encumbrances against	56842
appropriation item 865-609, Operating Expenses – CRB, in Fund 5H9,	56843
and re-establish them against appropriation item 865-601,	56844
Operating Expenses, in Fund 4K9. The amounts of the re-established	56845
encumbrances are hereby appropriated. The Motor Vehicle Collision	56846
Repair Registration Fund (Fund 5H9), created in division (A) of	56847
section 4775.08 of the Revised Code, is hereby abolished.	56848

Section 343.10. DNR DEPARTMENT OF NATURAL RESOURCES

56849

General Revenue Fund

56850

GRF	725-401		Wildlife-GRF Central Support		$	2,705,950		$	2,800,930		56851
GRF	725-404		Fountain Square Rental Payments - OBA		$	1,094,900		$	1,081,200		56852
GRF	725-407		Conservation Reserve Enhancement Program		$	1,000,000		$	1,000,000		56853
GRF	725-413		Lease Rental Payments		$	19,589,400		$	18,316,200		56854
GRF	725-423		Stream and Ground Water Gauging		$	311,910		$	311,910		56855
GRF	725-425		Wildlife License Reimbursement		$	500,000		$	400,000		56856
GRF	725-456		Canal Lands		$	332,859		$	332,859		56857
GRF	725-502		Soil and Water Districts		$	9,836,436		$	9,836,436		56858
GRF	725-903		Natural Resources General Obligation Debt Service		$	24,713,800		$	25,723,000		56859
GRF	727-321		Division of Forestry		$	8,541,511		$	8,541,511		56860
GRF	728-321		Division of Geological Survey		$	1,889,707		$	1,889,707		56861
GRF	729-321		Office of Information Technology		$	440,895		$	440,895		56862
GRF	730-321		Division of Parks and Recreation		$	39,874,841		$	39,874,841		56863
GRF	733-321		Division of Water		$	3,207,619		$	3,257,619		56864
GRF	736-321		Division of Engineering		$	3,118,703		$	3,118,703		56865
GRF	737-321		Division of Soil and Water		$	4,074,788		$	4,074,788		56866
GRF	738-321		Division of Real Estate and Land Management		$	2,291,874		$	2,291,874		56867
GRF	741-321		Division of Natural Areas and Preserves		$	3,114,874		$	3,119,894		56868
GRF	744-321		Division of Mineral Resources Management		$	3,068,167		$	3,068,167		56869
TOTAL GRF General Revenue Fund					$	129,708,234		$	129,480,534		56870

General Services Fund Group

56871

155	725-601		Departmental Projects		$	2,259,402		$	2,260,021		56872
157	725-651		Central Support Indirect		$	6,228,950		$	6,528,675		56873
204	725-687		Information Services		$	4,676,627		$	4,676,627		56874
207	725-690		Real Estate Services		$	64,000		$	64,000		56875
223	725-665		Law Enforcement Administration		$	2,230,485		$	2,358,307		56876
227	725-406		Parks Projects Personnel		$	110,000		$	110,000		56877
4D5	725-618		Recycled Materials		$	50,000		$	50,000		56878
4S9	725-622		NatureWorks Personnel		$	525,000		$	525,000		56879
4X8	725-662		Water Resources Council		$	125,000		$	125,000		56880
430	725-671		Canal Lands		$	1,150,082		$	1,150,082		56881
508	725-684		Natural Resources Publications		$	148,527		$	148,280		56882
510	725-631		Maintenance - State-owned Residences		$	353,611		$	303,611		56883
516	725-620		Water Management		$	2,913,618		$	2,931,513		56884
635	725-664		Fountain Square Facilities Management		$	3,609,835		$	3,640,398		56885
697	725-670		Submerged Lands		$	751,342		$	772,011		56886
TOTAL GSF General Services											56887
Fund Group					$	25,196,479		$	25,643,525		56888

Federal Special Revenue Fund Group

56889

3B3	725-640		Federal Forest Pass-Thru		$	225,000		$	225,000		56890
3B4	725-641		Federal Flood Pass-Thru		$	490,000		$	490,000		56891
3B5	725-645		Federal Abandoned Mine Lands		$	14,307,664		$	14,307,667		56892
3B6	725-653		Federal Land and Water Conservation Grants		$	2,000,000		$	2,000,000		56893
3B7	725-654		Reclamation - Regulatory		$	2,107,291		$	2,107,292		56894
3P0	725-630		Natural Areas and Preserves - Federal		$	215,000		$	215,000		56895
3P1	725-632		Geological Survey - Federal		$	655,000		$	720,000		56896
3P2	725-642		Oil and Gas-Federal		$	226,961		$	234,509		56897
3P3	725-650		Coastal Management - Federal		$	2,643,323		$	1,691,237		56898
3P4	725-660		Water - Federal		$	316,304		$	316,734		56899
3R5	725-673		Acid Mine Drainage Abatement/Treatment		$	1,999,998		$	2,025,001		56900
3Z5	725-657		REALM-Federal		$	1,850,000		$	1,850,000		56901
332	725-669		Federal Mine Safety Grant		$	258,102		$	258,102		56902
TOTAL FED Federal Special Revenue											56903
Fund Group					$	27,294,643		$	26,440,542		56904

State Special Revenue Fund Group

56905

4J2	725-628		Injection Well Review		$	67,578		$	68,933		56906
4M7	725-631		Wildfire Suppression		$	70,000		$	0		56907
4M7	725-686		Wildfire Suppression		$	100,000		$	100,000		56908
4U6	725-668		Scenic Rivers Protection		$	407,100		$	407,100		56909
5BV	725-683		Soil and Water Districts		$	1,850,000		$	1,850,000		56910
5B3	725-674		Mining Regulation		$	28,850		$	28,850		56911
5K1	725-626		Urban Forestry Grant		$	10,000		$	12,000		56912
5P2	725-634		Wildlife Boater Angler Administration		$	3,500,000		$	3,500,000		56913
509	725-602		State Forest		$	5,070,946		$	5,211,924		56914
511	725-646		Ohio Geological Mapping		$	815,179		$	724,310		56915
512	725-605		State Parks Operations		$	27,314,288		$	27,314,288		56916
512	725-680		Parks Facilities Maintenance		$	2,576,240		$	2,576,240		56917
514	725-606		Lake Erie Shoreline		$	917,113		$	757,113		56918
518	725-643		Oil and Gas Permit Fees		$	2,574,378		$	2,586,568		56919
518	725-677		Oil and Gas Well Plugging		$	800,000		$	800,000		56920
521	725-627		Off-Road Vehicle Trails		$	198,490		$	143,490		56921
522	725-656		Natural Areas and Preserves		$	1,550,670		$	1,550,670		56922
526	725-610		Strip Mining Administration Fee		$	1,932,491		$	1,903,871		56923
527	725-637		Surface Mining Administration		$	1,852,842		$	1,946,591		56924
529	725-639		Unreclaimed Land Fund		$	2,892,516		$	2,024,257		56925
531	725-648		Reclamation Forfeiture		$	2,062,234		$	2,062,237		56926
532	725-644		Litter Control and Recycling		$	6,280,681		$	6,280,681		56927
586	725-633		Scrap Tire Program		$	1,000,000		$	1,000,000		56928
615	725-661		Dam Safety		$	548,223		$	595,416		56929
TOTAL SSR State Special Revenue											56930
Fund Group					$	64,419,819		$	63,444,539		56931

Clean Ohio Fund Group

56932

061	725-405		Clean Ohio Operating		$	155,000		$	155,000		56933
TOTAL CLF Clean Ohio Fund Group					$	155,000		$	155,000		56934

Wildlife Fund Group

56935

015	740-401		Division of Wildlife Conservation		$	53,706,000		$	54,906,000		56936
815	725-636		Cooperative Management Projects		$	120,449		$	120,449		56937
816	725-649		Wetlands Habitat		$	966,885		$	966,885		56938
817	725-655		Wildlife Conservation Checkoff Fund		$	5,000,000		$	5,000,000		56939
818	725-629		Cooperative Fisheries Research		$	1,500,000		$	1,500,000		56940
819	725-685		Ohio River Management		$	128,584		$	128,584		56941
TOTAL WLF Wildlife Fund Group					$	61,421,918		$	62,621,918		56942

Waterways Safety Fund Group

56943

086	725-414		Waterways Improvement		$	3,925,075		$	4,062,452		56944
086	725-418		Buoy Placement		$	52,182		$	52,182		56945
086	725-501		Waterway Safety Grants		$	137,867		$	137,867		56946
086	725-506		Watercraft Marine Patrol		$	576,153		$	576,153		56947
086	725-513		Watercraft Educational Grants		$	366,643		$	366,643		56948
086	739-401		Division of Watercraft		$	19,626,681		$	20,166,681		56949
5AW	725-682		Watercraft Revolving Loans		$	1,000,000		$	1,000,000		56950
TOTAL WSF Waterways Safety Fund											56951
Group					$	25,684,601		$	26,361,978		56952

Holding Account Redistribution Fund Group

56953

R17	725-659		Performance Cash Bond Refunds		$	279,263		$	279,263		56954
R43	725-624		Forestry		$	1,950,188		$	2,007,977		56955
TOTAL 090 Holding Account											56956
Redistribution Fund Group					$	2,229,451		$	2,287,240		56957

Accrued Leave Liability Fund Group

56958

4M8	725-675		FOP Contract		$	20,844		$	20,844		56959
TOTAL ALF Accrued Leave											56960
Liability Fund Group					$	20,844		$	20,844		56961
TOTAL ALL BUDGET FUND GROUPS					$	336,130,989		$	336,456,120		56962

Section 343.20. CENTRAL SUPPORT INDIRECT

56964

With the exception of the Division of Wildlife, whose direct	56965
and indirect central support charges shall be paid out of the	56966
General Revenue Fund from the foregoing appropriation item	56967
725-401, Wildlife-GRF Central Support, the Department of Natural	56968
Resources, with approval of the Director of Budget and Management,	56969
shall utilize a methodology for determining each division's	56970
payments into the Central Support Indirect Fund (Fund 157). The	56971
methodology used shall contain the characteristics of	56972
administrative ease and uniform application in compliance with	56973
federal grant requirements. It may include direct cost charges for	56974
specific services provided. Payments to the Central Support	56975
Indirect Fund (Fund 157) shall be made using an intrastate	56976
transfer voucher.	56977

Section 343.30. FOUNTAIN SQUARE

56978

The foregoing appropriation item 725-404, Fountain Square	56979
Rental Payments - OBA, shall be used by the Department of Natural	56980
Resources to meet all payments required to be made to the Ohio	56981
Building Authority during the period from July 1, 2007, to June	56982
30, 2009, pursuant to leases and agreements with the Ohio Building	56983
Authority under section 152.42 of the Revised Code. These	56984
appropriations are the source of funds pledged for bond service	56985
charges on obligations issued pursuant to Chapter 152. of the	56986
Revised Code.	56987

The Director of Natural Resources, using intrastate transfer	56988
vouchers, shall make payments to the General Revenue Fund from	56989
funds other than the General Revenue Fund to reimburse the General	56990
Revenue Fund for the other funds' shares of the lease rental	56991
payments to the Ohio Building Authority. The transfers from the	56992
non-General Revenue funds shall be made within 10 days of the	56993
payment to the Ohio Building Authority for the actual amounts	56994
necessary to fulfill the leases and agreements pursuant to section	56995
152.241 of the Revised Code.	56996

The foregoing appropriation item 725-664, Fountain Square	56997
Facilities Management (Fund 635), shall be used for payment of	56998
repairs, renovation, utilities, property management, and building	56999
maintenance expenses for the Fountain Square Complex. Cash	57000
transferred by intrastate transfer vouchers from various	57001
department funds and rental income received by the Department of	57002
Natural Resources shall be deposited into the Fountain Square	57003
Facilities Management Fund (Fund 635).	57004

LEASE RENTAL PAYMENTS

57005

The foregoing appropriation item 725-413, Lease Rental	57006
Payments, shall be used to meet all payments at the times they are	57007
required to be made during the period from July 1, 2007, to June	57008
30, 2009, by the Department of Natural Resources pursuant to	57009
leases and agreements made under section 154.22 of the Revised	57010
Code. These appropriations are the source of funds pledged for	57011
bond service charges or obligations issued pursuant to Chapter	57012
154. of the Revised Code.	57013

NATURAL RESOURCES GENERAL OBLIGATION DEBT SERVICE

57014

The foregoing appropriation item 725-903, Natural Resources	57015
General Obligation Debt Service, shall be used to pay all debt	57016
service and related financing costs during the period July 1,	57017
2007, to June 30, 2009, on obligations issued under sections	57018
151.01 and 151.05 of the Revised Code.	57019

Section 343.40. WILDLIFE LICENSE REIMBURSEMENT

57020

Notwithstanding the limits of the transfer from the General	57021
Revenue Fund to the Wildlife Fund, as adopted in section 1533.15	57022
of the Revised Code, up to the amount available in appropriation	57023
item 725-425, Wildlife License Reimbursement, may be transferred	57024
from the General Revenue Fund to the Wildlife Fund (Fund 015).	57025
Pursuant to the certification of the Director of Budget and	57026
Management of the amount of foregone revenue in accordance with	57027
section 1533.15 of the Revised Code, the foregoing appropriation	57028
item in the General Revenue Fund, appropriation item 725-425,	57029
Wildlife License Reimbursement, shall be used to reimburse the	57030
Wildlife Fund (Fund 015) for the cost of hunting and fishing	57031
licenses and permits issued after June 30, 1990, to individuals	57032
who are exempted under the Revised Code from license, permit, and	57033
stamp fees.	57034

CANAL LANDS

57035

The foregoing appropriation item 725-456, Canal Lands, shall	57036
be used to transfer funds to the Canal Lands Fund (Fund 430) to	57037
provide operating expenses for the State Canal Lands Program. The	57038
transfer shall be made using an intrastate transfer voucher and	57039
shall be subject to the approval of the Director of Budget and	57040
Management.	57041

SOIL AND WATER DISTRICTS

57042

In addition to state payments to soil and water conservation	57043
districts authorized by section 1515.10 of the Revised Code, the	57044
Department of Natural Resources may pay to any soil and water	57045
conservation district, from authority in appropriation item	57046
725-502, Soil and Water Districts, an annual amount not to exceed	57047
$30,000, upon receipt of a request and justification from the	57048
district and approval by the Ohio Soil and Water Conservation	57049
Commission. The county auditor shall credit the payments to the	57050
special fund established under section 1515.10 of the Revised Code	57051
for the local soil and water conservation district. Moneys	57052
received by each district shall be expended for the purposes of	57053
the district. The foregoing appropriation item 725-683, Soil and	57054
Water Districts, shall be expended for the purposes described	57055
above, except that the funding source for this appropriation shall	57056
be a fee applied on the disposal of construction and demolition	57057
debris as provided in section 1515.14 of the Revised Code, as	57058
amended by this act.	57059

STATE PARK DEPRECIATION RESERVE

57060

The foregoing appropriation item 725-680, Parks Facilities	57061
Maintenance, shall be used by the Division of Parks and Recreation	57062
to maintain state park revenue-producing facilities in the best	57063
economic operating condition and to repair and replace equipment	57064
used in the operation of state park revenue producing facilities.	57065

OIL AND GAS WELL PLUGGING

57066

The foregoing appropriation item 725-677, Oil and Gas Well	57067
Plugging, shall be used exclusively for the purposes of plugging	57068
wells and to properly restore the land surface of idle and orphan	57069
oil and gas wells pursuant to section 1509.071 of the Revised	57070
Code. No funds from the appropriation item shall be used for	57071
salaries, maintenance, equipment, or other administrative	57072
purposes, except for those costs directly attributed to the	57073
plugging of an idle or orphan well. Appropriation authority from	57074
this appropriation item shall not be transferred to any other fund	57075
or line item.	57076

LITTER CONTROL AND RECYCLING

57077

Of the foregoing appropriation item, 725-644, Litter Control	57078
and Recycling, not more than $1,500,000 may be used in each fiscal	57079
year for the administration of the Recycling and Litter Prevention	57080
program.	57081

CLEAN OHIO OPERATING EXPENSES

57082

The foregoing appropriation item 725-405, Clean Ohio	57083
Operating, shall be used by the Department of Natural Resources in	57084
administering section 1519.05 of the Revised Code.	57085

WATERCRAFT MARINE PATROL

57086

Of the foregoing appropriation item 739-401, Division of	57087
Watercraft, not more than $200,000 in each fiscal year shall be	57088
expended for the purchase of equipment for marine patrols	57089
qualifying for funding from the Department of Natural Resources	57090
pursuant to section 1547.67 of the Revised Code. Proposals for	57091
equipment shall accompany the submission of documentation for	57092
receipt of a marine patrol subsidy pursuant to section 1547.67 of	57093
the Revised Code and shall be loaned to eligible marine patrols	57094
pursuant to a cooperative agreement between the Department of	57095
Natural Resources and the eligible marine patrol.	57096

WATERCRAFT REVOLVING LOAN PROGRAM

57097

Upon certification by the Director of Natural Resources, the	57098
Director of Budget and Management shall transfer an amount not to	57099
exceed $1,000,000 in fiscal year 2008 and not to exceed $1,000,000	57100
in fiscal year 2009 so certified from the Waterways Safety Fund	57101
(Fund 086) to the Watercraft Revolving Loans Fund (Fund 5AW). The	57102
moneys shall be used pursuant to sections 1547.721 to 1547.726 of	57103
the Revised Code.	57104

PARKS CAPITAL EXPENSES FUND

57105

The Director of Natural Resources shall submit to the	57106
Director of Budget and Management the estimated design,	57107
engineering, and planning costs of capital-related work to be done	57108
by Department of Natural Resources staff for parks projects. If	57109
the Director of Budget and Management approves the estimated	57110
costs, the Director may release appropriations from appropriation	57111
item 725-406, Parks Projects Personnel, for those purposes. Upon	57112
release of the appropriations, the Department of Natural Resources	57113
shall pay for these expenses from the Parks Capital Expenses Fund	57114
(Fund 227). Expenses paid from Fund 227 shall be reimbursed by the	57115
Parks and Recreation Improvement Fund (Fund 035) using an	57116
intrastate transfer voucher.	57117

CAPITAL EXPENSES FUND

57118

The Department of Natural Resources shall periodically	57119
prepare and submit to the Director of Budget and Management the	57120
estimated design, planning, and engineering costs of	57121
capital-related work to be done by the Department of Natural	57122
Resources for each project. Based on the estimates, the Director	57123
of Budget and Management may release appropriations from	57124
appropriation item CAP-753, Project Planning, within the Ohio	57125
Parks and Natural Resources Fund (Fund 031) to pay for design,	57126
planning, and engineering costs incurred by the Department of	57127
Natural Resources for the projects. Upon release of the	57128
appropriations by the Director of Budget and Management, the	57129
Department of Natural Resources shall pay for these expenses from	57130
the Capital Expenses Fund (Fund 4S9), and shall be reimbursed by	57131
the Ohio Parks and Natural Resources Fund (Fund 031) using an	57132
intrastate voucher.	57133

FUND CONSOLIDATION

57134

On July 1, 2007, or as soon thereafter as possible, the	57135
Director of Budget and Management shall transfer the cash balance	57136
as certified by the Director of Natural Resources from the Federal	57137
Forestry Fund (Fund 328) to the State Forest Fund (Fund 509). The	57138
Director shall cancel any remaining outstanding encumbrances	57139
against appropriation item 725-603, Forestry-Federal, and	57140
re-establish them against appropriation item 725-602, State	57141
Forest. The amounts of any encumbrances canceled and	57142
re-established are hereby appropriated.	57143

On July 1, 2007, or as soon thereafter as possible, the	57144
Director of Budget and Management shall transfer the cash balance	57145
as certified by the Director of Natural Resources from the REALM	57146
Support Services Fund (Fund 206) to the Fountain Square Facilities	57147
Management Fund (Fund 635). The Director shall cancel any	57148
remaining outstanding encumbrances against appropriation item	57149
725-689, REALM Support Services, and re-establish them against	57150
appropriation item 725-664, Fountain Square Facilities Management.	57151
The amounts of any encumbrances canceled and re-established are	57152
hereby appropriated.	57153

STATE PARK OPERATING

57154

All proceeds from insurance companies and any other sources	57155
for the replacement and construction of the Lake Hope Lodge and	57156
its appurtances shall be deposited into the State Park Operating	57157
Fund (Fund 512).	57158

Section 345.10.  NUR STATE BOARD OF NURSING

57159

General Services Fund Group

57160

4K9	884-609		Operating Expenses		$	5,661,280		$	5,661,280		57161
5P8	884-601		Nursing Special Issues		$	5,000		$	5,000		57162
5AC	884-602		Nurse Education Grant Program		$	1,450,000		$	1,450,000		57163
TOTAL GSF General Services											57164
Fund Group					$	7,116,280		$	7,116,280		57165
TOTAL ALL BUDGET FUND GROUPS					$	7,116,280		$	7,116,280		57166

NURSING SPECIAL ISSUES

57167

The foregoing appropriation item 884-601, Nursing Special	57168
Issues (Fund 5P8), shall be used to pay the costs the Board of	57169
Nursing incurs in implementing section 4723.062 of the Revised	57170
Code.	57171

Section 347.10. PYT OCCUPATIONAL THERAPY, PHYSICAL THERAPY,	57172
AND ATHLETIC TRAINERS BOARD	57173

General Services Fund Group

57174

4K9	890-609		Operating Expenses		$	892,241		$	963,984		57175
TOTAL GSF General Services Fund Group					$	892,241		$	963,984		57176
TOTAL ALL BUDGET FUND GROUPS					$	892,241		$	963,984		57177

Section 349.10. OLA OHIOANA LIBRARY ASSOCIATION

57179

General Revenue Fund

57180

GRF	355-501		Library Subsidy		$	200,000		$	200,000		57181
TOTAL GRF General Revenue Fund					$	200,000		$	200,000		57182
TOTAL ALL BUDGET FUND GROUPS					$	200,000		$	200,000		57183

Section 351.10. ODB OHIO OPTICAL DISPENSERS BOARD

57185

General Services Fund Group

57186

4K9	894-609		Operating Expenses		$	333,656		$	345,324		57187
TOTAL GSF General Services											57188
Fund Group					$	333,656		$	345,324		57189
TOTAL ALL BUDGET FUND GROUPS					$	333,656		$	345,324		57190

Section 353.10. OPT STATE BOARD OF OPTOMETRY

57192

General Services Fund Group

57193

4K9	885-609		Operating Expenses		$	344,571		$	351,071		57194
TOTAL GSF General Services											57195
Fund Group					$	344,571		$	351,071		57196
TOTAL ALL BUDGET FUND GROUPS					$	344,571		$	351,071		57197

Section 355.10. OPP STATE BOARD OF ORTHOTICS, PROSTHETICS,	57199
AND PEDORTHICS	57200

General Services Fund Group

57201

4K9	973-609		Operating Expenses		$	111,300		$	116,260		57202
TOTAL GSF General Services											57203
Fund Group					$	111,300		$	116,260		57204
TOTAL ALL BUDGET FUND GROUPS					$	111,300		$	116,260		57205

Section 357.10.  PBR STATE PERSONNEL BOARD OF REVIEW

57206

General Revenue Fund

57207

GRF	124-321		Operating		$	1,148,181		$	1,201,643		57208
TOTAL GRF General Revenue Fund					$	1,148,181		$	1,201,643		57209

General Services Fund Group

57210

636	124-601		Records and Reporting Support		$	15,000		$	15,000		57211
TOTAL GSF General Services											57212
Fund Group					$	15,000		$	15,000		57213
TOTAL ALL BUDGET FUND GROUPS					$	1,163,181		$	1,216,643		57214

Section 359.10.  UST PETROLEUM UNDERGROUND STORAGE TANK

57216

Agency Fund Group

57217

691	810-632		PUSTRCB Staff		$	1,116,658		$	1,169,181		57218
TOTAL AGY Agency Fund Group					$	1,116,658		$	1,169,181		57219
TOTAL ALL BUDGET FUND GROUPS					$	1,116,658		$	1,169,181		57220

Section 361.10.  PRX STATE BOARD OF PHARMACY

57222

General Services Fund Group

57223

4A5	887-605		Drug Law Enforcement		$	75,550		$	75,550		57224
4K9	887-609		Operating Expenses		$	4,874,572		$	5,251,032		57225
TOTAL GSF General Services Fund Group					$	4,950,122		$	5,326,582		57226

Federal Special Revenue Fund Group

57227

3BC	887-604		Dangerous Drugs Database		$	558,531		$	491,405		57228
TOTAL FED Federal Special Revenue Fund Group					$	558,531		$	491,405		57229
TOTAL ALL BUDGET FUND GROUPS					$	5,508,653		$	5,817,987		57230

Section 363.10. PSY STATE BOARD OF PSYCHOLOGY

57232

General Services Fund Group

57233

4K9	882-609		Operating Expenses		$	586,565		$	586,565		57234
TOTAL GSF General Services											57235
Fund Group					$	586,565		$	586,565		57236
TOTAL ALL BUDGET FUND GROUPS					$	586,565		$	586,565		57237

Section 365.10.  PUB OHIO PUBLIC DEFENDER COMMISSION

57239

General Revenue Fund

57240

GRF	019-321		Public Defender Administration		$	1,287,404		$	1,347,070		57241
GRF	019-401		State Legal Defense Services		$	5,914,023		$	6,120,592		57242
GRF	019-403		Multi-County: State Share		$	766,402		$	762,727		57243
GRF	019-404		Trumbull County - State Share		$	244,816		$	243,650		57244
GRF	019-405		Training Account		$	31,324		$	31,324		57245
GRF	019-501		County Reimbursement		$	29,834,251		$	29,572,857		57246
TOTAL GRF General Revenue Fund					$	38,078,220		$	38,078,220		57247

General Services Fund Group

57248

101	019-602		Inmate Legal Assistance		$	33,338		$	34,638		57249
407	019-604		County Representation		$	219,800		$	227,500		57250
408	019-605		Client Payments		$	611,537		$	476,760		57251
5CX	019-617		Civil Case Filing Fee		$	409,237		$	598,400		57252
TOTAL GSF General Services											57253
Fund Group					$	1,273,912		$	1,337,298		57254

Federal Special Revenue Fund Group

57255

3S8	019-608		Federal Representation		$	350,948		$	364,917		57256
TOTAL FED Federal Special Revenue											57257
Fund Group					$	350,948		$	364,917		57258

State Special Revenue Fund Group

57259

4C7	019-601		Multi-County: County Share		$	2,181,300		$	2,288,200		57260
4X7	019-610		Trumbull County - County Share		$	696,800		$	731,000		57261
574	019-606		Civil Legal Aid		$	40,000,000		$	40,000,000		57262
TOTAL SSR State Special Revenue											57263
Fund Group					$	42,878,100		$	43,019,200		57264
TOTAL ALL BUDGET FUND GROUPS					$	82,581,180		$	82,799,635		57265

INDIGENT DEFENSE OFFICE

57266

The foregoing appropriation items 019-404, Trumbull County -	57267
State Share, and 019-610, Trumbull County - County Share, shall be	57268
used to support an indigent defense office for Trumbull County.	57269

MULTI-COUNTY OFFICE

57270

The foregoing appropriation items 019-403, Multi-County:	57271
State Share, and 019-601, Multi-County: County Share, shall be	57272
used to support the Office of the Ohio Public Defender's	57273
Multi-County Branch Office Program.	57274

TRAINING ACCOUNT

57275

The foregoing appropriation item 019-405, Training Account,	57276
shall be used by the Ohio Public Defender to provide legal	57277
training programs at no cost for private appointed counsel who	57278
represent at least one indigent defendant at no cost and for state	57279
and county public defenders and attorneys who contract with the	57280
Ohio Public Defender to provide indigent defense services.	57281

FEDERAL REPRESENTATION

57282

The foregoing appropriation item 019-608, Federal	57283
Representation, shall be used to receive reimbursements from the	57284
federal courts when the Ohio Public Defender provides	57285
representation in federal court cases and to support	57286
representation in such cases.	57287

Section 367.10. DHS DEPARTMENT OF PUBLIC SAFETY

57288

General Revenue Fund

57289

GRF	763-403		Operating Expenses - EMA		$	6,664,697		$	6,664,697		57290
GRF	768-424		Operating Expenses - CJS		$	814,478		$	814,478		57291
GRF	769-321		Food Stamp Trafficking Enforcement Operations		$	752,000		$	752,000		57292
TOTAL GRF General Revenue Fund					$	8,231,175		$	8,231,175		57293

TOTAL ALL BUDGET FUND GROUPS

$

8,231,175

$

8,231,175

57294

OHIO TASK FORCE ONE - URBAN SEARCH AND RESCUE UNIT

57295

Of the foregoing appropriation item 763-403, Operating	57296
Expenses - EMA, $200,000 in each fiscal year shall be used to fund	57297
the Ohio Task Force One - Urban Search and Rescue Unit and other	57298
urban search and rescue programs around the state to create a	57299
stronger search and rescue capability statewide.	57300

EMA HOMELAND SECURITY GRANT

57301

Of the foregoing appropriation item 763-403, Operating	57302
Expenses - EMA, $2,500,000 in each fiscal year shall be used for a	57303
grant to the Ohio United Way for implementation of the 211	57304
Initiative. The Ohio United Way shall develop a funding plan that	57305
includes programmatic, infrastructure, and administrative costs.	57306
Moneys shall be released upon submission of the plan to the Ohio	57307
Emergency Management Agency.	57308

Section 369.10. PUC PUBLIC UTILITIES COMMISSION OF OHIO

57309

General Services Fund Group

57310

5F6	870-622		Utility and Railroad Regulation		$	32,820,027		$	33,804,627		57311
5F6	870-624		NARUC/NRRI Subsidy		$	158,000		$	158,000		57312
5F6	870-625		Motor Transportation Regulation		$	4,635,413		$	4,772,765		57313
TOTAL GSF General Services											57314
Fund Group					$	37,613,440		$	38,735,392		57315

Federal Special Revenue Fund Group

57316

3V3	870-604		Commercial Vehicle Information Systems/Networks		$	300,000		$	300,000		57317
333	870-601		Gas Pipeline Safety		$	597,957		$	597,959		57318
350	870-608		Motor Carrier Safety		$	7,137,534		$	7,351,660		57319
TOTAL FED Federal Special Revenue											57320
Fund Group					$	8,035,491		$	8,249,619		57321

State Special Revenue Fund Group

57322

4A3	870-614		Grade Crossing Protection Devices-State		$	1,349,757		$	1,349,757		57323
4L8	870-617		Pipeline Safety-State		$	187,621		$	187,621		57324
4S6	870-618		Hazardous Material Registration		$	464,325		$	464,325		57325
4S6	870-621		Hazardous Materials Base State Registration		$	373,346		$	373,346		57326
4U8	870-620		Civil Forfeitures		$	284,986		$	284,986		57327
5BP	870-623		Wireless 9-1-1 Administration		$	26,875,000		$	13,375,000		57328
559	870-605		Public Utilities Territorial Administration		$	4,000		$	4,000		57329
560	870-607		Public Utilities Investigations		$	100,000		$	100,000		57330
561	870-606		Power Siting Board		$	404,651		$	404,652		57331
638	870-611		Biomass Energy Program		$	40,000		$	40,000		57332
661	870-612		Hazardous Materials Transportation		$	900,000		$	900,000		57333
TOTAL SSR State Special Revenue											57334
Fund Group					$	30,983,686		$	17,483,687		57335

Agency Fund Group

57336

4G4	870-616		Base State Registration Program		$	2,000,000		$	0		57337
TOTAL AGY Agency Fund Group					$	2,000,000		$	0		57338
TOTAL ALL BUDGET FUND GROUPS					$	78,632,617		$	64,468,698		57339

COMMERCIAL VEHICLE INFORMATION SYSTEMS AND NETWORKS PROJECT

57340

The fund created by section 4923.26 of the Revised Code is	57341
the same fund, with a new name, as the Commercial Vehicle	57342
Information Systems and Networks Fund (Fund 3V3).	57343

ENHANCED AND WIRELESS ENHANCED 9-1-1

57344

The foregoing appropriation item 870-623, Wireless 9-1-1	57345
Administration, shall be used pursuant to section 4931.63 of the	57346
Revised Code.	57347

Section 371.10. PWC PUBLIC WORKS COMMISSION

57348

General Revenue Fund

57349

GRF	150-904		Conservation General Obligation Debt Service		$	14,847,200		$	19,779,200		57350
GRF	150-907		State Capital Improvements		$	177,513,600		$	188,696,300		57351
			General Obligation Debt Service								57352
TOTAL GRF General Revenue Fund					$	192,360,800		$	208,475,500		57353

Clean Ohio Fund Group

57354

056	150-403		Clean Ohio Operating Expenses		$	301,537		$	311,509		57355
TOTAL 056 Clean Ohio Fund Group					$	301,537		$	311,509		57356
TOTAL ALL BUDGET FUND GROUPS					$	192,662,337		$	208,787,009		57357

CONSERVATION GENERAL OBLIGATION DEBT SERVICE

57358

The foregoing appropriation item 150-904, Conservation	57359
General Obligation Debt Service, shall be used to pay all debt	57360
service and related financing costs during the period from July 1,	57361
2007, through June 30, 2009, at the times they are required to be	57362
made for obligations issued under sections 151.01 and 151.09 of	57363
the Revised Code.	57364

STATE CAPITAL IMPROVEMENTS GENERAL OBLIGATION DEBT SERVICE

57365

The foregoing appropriation item 150-907, State Capital	57366
Improvements General Obligation Debt Service, shall be used to pay	57367
all debt service and related financing costs during the period	57368
from July 1, 2007, to June 30, 2009, at the times they are	57369
required to be made for obligations issued under sections 151.01	57370
and 151.08 of the Revised Code.	57371

REIMBURSEMENT TO THE GENERAL REVENUE FUND

57372

(A) On or before July 15, 2009, the Director of the Public	57373
Works Commission shall certify to the Director of Budget and	57374
Management the following:	57375

(1) The total amount disbursed from appropriation item	57376
700-409, Farmland Preservation, during the fiscal year 2008-2009	57377
biennium; and	57378

(2) The amount of interest earnings that have been credited	57379
to the Clean Ohio Conservation Fund (Fund 056) that are in excess	57380
of the amount needed for other purposes as calculated by the	57381
Director of the Public Works Commission.	57382

(B) If the Director of Budget and Management determines under	57383
division (A)(2) of this section that there are excess interest	57384
earnings, the Director of Budget and Management shall, on or	57385
before July 15, 2009, transfer the excess interest earnings to the	57386
General Revenue Fund in an amount equal to the total amount	57387
disbursed under division (A)(1) of this section from the Clean	57388
Ohio Conservation Fund.	57389

CLEAN OHIO OPERATING EXPENSES

57390

The foregoing appropriation item 150-403, Clean Ohio	57391
Operating Expenses, shall be used by the Ohio Public Works	57392
Commission in administering sections 164.20 to 164.27 of the	57393
Revised Code.	57394

Section 373.10.  RAC STATE RACING COMMISSION

57395

State Special Revenue Fund Group

57396

5C4	875-607		Simulcast Horse Racing Purse		$	16,000,000		$	16,000,000		57397
562	875-601		Thoroughbred Race Fund		$	3,100,000		$	3,100,000		57398
563	875-602		Standardbred Development Fund		$	2,600,000		$	2,600,000		57399
564	875-603		Quarterhorse Development Fund		$	1,000		$	1,000		57400
565	875-604		Racing Commission Operating		$	4,487,599		$	4,487,599		57401
TOTAL SSR State Special Revenue											57402
Fund Group					$	26,188,599		$	26,188,599		57403

Holding Account Redistribution Fund Group

57404

R21	875-605		Bond Reimbursements		$	212,900		$	212,900		57405
TOTAL 090 Holding Account Redistribution											57406
Fund Group					$	212,900		$	212,900		57407
TOTAL ALL BUDGET FUND GROUPS					$	26,401,499		$	26,401,499		57408

Section 375.10. BOR BOARD OF REGENTS

57410

General Revenue Fund

57411

GRF	235-321		Operating Expenses		$	3,141,351		$	3,141,351		57412
GRF	235-401		Lease Rental Payments		$	203,177,900		$	136,017,500		57413
GRF	235-402		Sea Grants		$	231,925		$	231,925		57414
GRF	235-406		Articulation and Transfer		$	2,900,000		$	2,900,000		57415
GRF	235-408		Midwest Higher Education Compact		$	95,000		$	95,000		57416
GRF	235-409		Information System		$	1,175,172		$	1,175,172		57417
GRF	235-414		State Grants and Scholarship Administration		$	1,707,881		$	1,707,881		57418
GRF	235-415		Jobs Challenge		$	9,348,300		$	9,348,300		57419
GRF	235-417		Ohio Learning Network		$	3,119,496		$	3,119,496		57420
GRF	235-418		Access Challenge		$	78,342,183		$	78,694,875		57421
GRF	235-420		Success Challenge		$	53,653,973		$	53,653,973		57422
GRF	235-428		Appalachian New Economy Partnership		$	1,176,068		$	1,176,068		57423
GRF	235-433		Economic Growth Challenge		$	17,186,194		$	17,186,194		57424
GRF	235-434		College Readiness and Access		$	12,655,425		$	12,655,425		57425
GRF	235-435		Teacher Improvement Initiatives		$	4,697,506		$	11,197,506		57426
GRF	235-436		AccelerateOhio		$	2,500,000		$	5,000,000		57427
GRF	235-451		Eminent Scholars		$	0		$	1,370,988		57428
GRF	235-455		EnterpriseOhio Network		$	1,373,941		$	1,373,941		57429
GRF	235-474		Area Health Education Centers Program Support		$	1,571,756		$	1,571,756		57430
GRF	235-501		State Share of Instruction		$	1,589,096,031		$	1,589,096,031		57431
GRF	235-502		Student Support Services		$	795,790		$	795,790		57432
GRF	235-503		Ohio Instructional Grants		$	42,533,966		$	18,315,568		57433
GRF	235-504		War Orphans Scholarships		$	4,812,321		$	4,812,321		57434
GRF	235-507		OhioLINK		$	6,887,824		$	6,887,824		57435
GRF	235-508		Air Force Institute of Technology		$	1,925,345		$	1,925,345		57436
GRF	235-509		Women in Transition		$	200,000		$	200,000		57437
GRF	235-510		Ohio Supercomputer Center		$	4,271,195		$	4,271,195		57438
GRF	235-511		Cooperative Extension Service		$	25,644,863		$	25,644,863		57439
GRF	235-513		Ohio University Voinovich Center		$	669,082		$	669,082		57440
GRF	235-515		Case Western Reserve University School of Medicine		$	3,011,271		$	3,011,271		57441
GRF	235-518		Capitol Scholarship Program		$	125,000		$	125,000		57442
GRF	235-519		Family Practice		$	4,548,470		$	4,548,470		57443
GRF	235-520		Shawnee State Supplement		$	2,502,323		$	2,577,393		57444
GRF	235-521		The Ohio State University Glenn Institute		$	619,082		$	619,082		57445
GRF	235-524		Police and Fire Protection		$	171,959		$	171,959		57446
GRF	235-525		Geriatric Medicine		$	750,110		$	750,110		57447
GRF	235-526		Primary Care Residencies		$	2,245,688		$	2,245,688		57448
GRF	235-527		Ohio Aerospace Institute		$	1,764,957		$	1,764,957		57449
GRF	235-530		Academic Scholarships		$	7,800,000		$	7,800,000		57450
GRF	235-531		Student Choice Grants		$	17,985,376		$	17,985,376		57451
GRF	235-535		Ohio Agricultural Research and Development Center		$	36,674,292		$	36,674,292		57452
GRF	235-536		The Ohio State University Clinical Teaching		$	13,565,885		$	13,565,885		57453
GRF	235-537		University of Cincinnati Clinical Teaching		$	11,157,756		$	11,157,756		57454
GRF	235-538		University of Toledo Clinical Teaching		$	8,696,866		$	8,696,866		57455
GRF	235-539		Wright State University Clinical Teaching		$	4,225,107		$	4,225,107		57456
GRF	235-540		Ohio University Clinical Teaching		$	4,084,540		$	4,084,540		57457
GRF	235-541		Northeastern Ohio Universities College of Medicine Clinical Teaching		$	4,200,945		$	4,200,945		57458
GRF	235-547		School of International Business		$	450,000		$	450,000		57459
GRF	235-552		Capital Component		$	19,306,442		$	19,306,442		57460
GRF	235-553		Dayton Area Graduate Studies Institute		$	2,806,599		$	2,806,599		57461
GRF	235-554		Priorities in Collaborative Graduate Education		$	2,355,548		$	2,355,548		57462
GRF	235-555		Library Depositories		$	1,696,458		$	1,696,458		57463
GRF	235-556		Ohio Academic Resources Network		$	3,727,223		$	3,727,223		57464
GRF	235-558		Long-term Care Research		$	211,047		$	211,047		57465
GRF	235-561		Bowling Green State University Canadian Studies Center		$	100,015		$	100,015		57466
GRF	235-563		Ohio College Opportunity Grant		$	139,974,954		$	151,113,781		57467
GRF	235-567		Central State University Speed to Scale		$	4,400,000		$	3,800,000		57468
GRF	235-568		Higher Education Compact		$	79,454,801		$	112,825,818		57469
GRF	235-572		The Ohio State University Clinic Support		$	1,277,019		$	1,277,019		57470
GRF	235-583		Urban University Program		$	5,550,937		$	5,550,937		57471
GRF	235-587		Rural University Projects		$	1,147,889		$	1,147,889		57472
GRF	235-596		Hazardous Materials Program		$	360,435		$	360,435		57473
GRF	235-599		National Guard Scholarship Program		$	16,611,063		$	16,611,063		57474
GRF	235-909		Higher Education General Obligation Debt Service		$	172,722,400		$	208,747,200		57475
TOTAL GRF General Revenue Fund					$	2,651,172,945		$	2,650,527,541		57476

General Services Fund Group

57477

220	235-614		Program Approval and Reauthorization		$	800,000		$	800,000		57478
456	235-603		Sales and Services		$	700,000		$	700,000		57479
TOTAL GSF General Services											57480
Fund Group					$	1,500,000		$	1,500,000		57481

Federal Special Revenue Fund Group

57482

3BG	235-626		Star Schools		$	2,980,865		$	2,990,746		57483
3H2	235-608		Human Services Project		$	3,000,000		$	3,000,000		57484
3H2	235-622		Medical Collaboration Network		$	3,346,144		$	3,346,144		57485
3N6	235-605		State Student Incentive Grants		$	2,196,680		$	2,196,680		57486
3T0	235-610		National Health Service Corps - Ohio Loan Repayment		$	250,000		$	250,000		57487
312	235-609		Tech Prep		$	183,850		$	183,850		57488
312	235-611		Gear-up Grant		$	3,300,000		$	3,300,000		57489
312	235-612		Carl D. Perkins Grant/Plan Administration		$	112,960		$	112,960		57490
312	235-617		Improving Teacher Quality Grant		$	3,200,000		$	3,200,000		57491
312	235-621		Science Education Network		$	1,686,970		$	1,686,970		57492
TOTAL FED Federal Special Revenue											57493
Fund Group					$	20,257,469		$	20,267,350		57494

State Special Revenue Fund Group

57495

4E8	235-602		Higher Educational Facility Commission Administration		$	50,000		$	45,000		57496
4P4	235-604		Physician Loan Repayment		$	476,870		$	476,870		57497
649	235-607		The Ohio State University Highway/Transportation Research		$	760,000		$	760,000		57498
682	235-606		Nursing Loan Program		$	893,000		$	893,000		57499
5DT	235-627		American Diploma Project		$	250,000		$	0		57500
TOTAL SSR State Special Revenue											57501
Fund Group					$	2,429,870		$	2,174,870		57502
TOTAL ALL BUDGET FUND GROUPS					$	2,675,360,284		$	2,674,469,761		57503

Section 375.10.10. OPERATING EXPENSES

57505

Of the foregoing appropriation item 235-321, Operating	57506
Expenses, up to $150,000 in each fiscal year shall be used in	57507
conjunction with funding provided in the Department of Education	57508
budget under appropriation item 200-427, Academic Standards, to	57509
fund the operations of Ohio's Partnership for Continued Learning.	57510
The Partnership shall advise and make recommendations to promote	57511
collaboration among relevant state entities in an effort to help	57512
local communities develop coherent and successful "P-16" learning	57513
systems. The Director of Budget and Management may transfer any	57514
unencumbered fiscal year 2008 balance to fiscal year 2009 to	57515
support the activities of the Partnership.	57516

Section 375.10.20. LEASE RENTAL PAYMENTS

57517

The foregoing appropriation item 235-401, Lease Rental	57518
Payments, shall be used to meet all payments at the times they are	57519
required to be made during the period from July 1, 2007, to June	57520
30, 2009, by the Board of Regents under leases and agreements made	57521
under section 154.21 of the Revised Code. These appropriations are	57522
the source of funds pledged for bond service charges or	57523
obligations issued pursuant to Chapter 154. of the Revised Code.	57524

Section 375.10.30. SEA GRANTS

57525

The foregoing appropriation item 235-402, Sea Grants, shall	57526
be disbursed to the Ohio State University and shall be used to	57527
conduct research on fish in Lake Erie.	57528

Section 375.10.40. ARTICULATION AND TRANSFER

57529

The foregoing appropriation item 235-406, Articulation and	57530
Transfer, shall be used by the Board of Regents to maintain and	57531
expand the work of the Articulation and Transfer Council to	57532
develop a system of transfer policies to ensure that students at	57533
state institutions of higher education can transfer and have	57534
coursework apply to their majors and degrees at any other state	57535
institution of higher education without unnecessary duplication or	57536
institutional barriers under sections 3333.16, 3333.161, and	57537
3333.162 of the Revised Code. The Board of Regents shall, in	57538
consultation with the Governor and the Department of Education,	57539
convene a work group to establish coursework for content knowledge	57540
and teacher competencies for early care and education degrees to	57541
support articulation and transfer of coursework, certifications,	57542
and credit earned across state-supported institutions of higher	57543
education.	57544

Of the foregoing appropriation item 235-406, Articulation and	57545
Transfer, $200,000 in each fiscal year shall be used to support	57546
the work of the Articulation and Transfer Council under division	57547
(B) of section 3333.162 of the Revised Code.	57548

Section 375.10.50. MIDWEST HIGHER EDUCATION COMPACT

57549

The foregoing appropriation item 235-408, Midwest Higher	57550
Education Compact, shall be distributed by the Board of Regents	57551
under section 3333.40 of the Revised Code.	57552

Section 375.10.60. INFORMATION SYSTEM

57553

The foregoing appropriation item 235-409, Information System,	57554
shall be used by the Board of Regents to operate the higher	57555
education information data system known as the Higher Education	57556
Information System.	57557

Section 375.10.70. STATE GRANTS AND SCHOLARSHIP	57558
ADMINISTRATION	57559

The foregoing appropriation item 235-414, State Grants and	57560
Scholarship Administration, shall be used by the Board of Regents	57561
to administer the following student financial aid programs: Ohio	57562
Instructional Grant, Ohio College Opportunity Grant, Ohio Student	57563
Choice Grant, Ohio Academic Scholarship, Ohio War Orphans'	57564
Scholarship, Nurse Education Assistance Loan Program, Regents	57565
Graduate/Professional Fellowship, Ohio Safety Officers College	57566
Memorial Fund, Capitol Scholarship Program, and any other student	57567
financial aid programs created by the General Assembly. The	57568
appropriation item also shall be used to administer the federal	57569
Leveraging Educational Assistance Partnership (LEAP) and Special	57570
Leveraging Educational Assistance Partnership (SLEAP) programs and	57571
other student financial aid programs created by Congress and to	57572
provide fiscal services for the Ohio National Guard Scholarship	57573
Program, the Physician Loan Repayment Program, and the Dentist	57574
Loan Repayment Program.	57575

Section 375.10.80. JOBS CHALLENGE

57576

Funds appropriated to the foregoing appropriation item	57577
235-415, Jobs Challenge, shall be distributed to state-assisted	57578
community and technical colleges, regional campuses of	57579
state-assisted universities, and other organizationally distinct	57580
and identifiable member campuses of the EnterpriseOhio Network in	57581
support of noncredit job-related training. In each fiscal year,	57582
$2,770,773 shall be distributed as performance grants to	57583
EnterpriseOhio Network campuses based upon each campus's	57584
documented performance according to criteria established by the	57585
Board of Regents for assessment, training, and related services to	57586
businesses, industries, and public sector organizations.	57587

Of the foregoing appropriation item 235-415, Jobs Challenge,	57588
$2,819,345 in each fiscal year shall be allocated to the Targeted	57589
Industries Training Grant Program to attract, develop, and retain	57590
business and industry strategically important to the state's	57591
economy and regional priorities.	57592

Of the foregoing appropriation item 235-415, Jobs Challenge,	57593
$3,758,182 in each fiscal year shall be allocated to the Higher	57594
Skills Incentives Program to promote and deliver coordinated	57595
assessment and comprehensive training to local employers and to	57596
reward EnterpriseOhio Network campuses for the amount of	57597
non-credit skill upgrading services provided to Ohio employers and	57598
employees. The funds shall be distributed to campuses in	57599
proportion to each campus's share of noncredit job-related	57600
training revenues received by all campuses for the previous fiscal	57601
year.	57602

Section 375.10.90. OHIO LEARNING NETWORK

57603

The foregoing appropriation item 235-417, Ohio Learning	57604
Network, shall be used by the Board of Regents to support the	57605
continued implementation of the Ohio Learning Network, a statewide	57606
collaborative that delivers adult education including degree	57607
completion, workforce training, and professional development using	57608
online and distance education initiatives. The funds shall be used	57609
by the Ohio Learning Network to develop and promote learning and	57610
assessment through the use of technology, to test and provide	57611
advice on emerging learning-directed technologies, and to	57612
facilitate cost-effectiveness through shared educational	57613
technology investments.	57614

Section 375.20.10. ACCESS CHALLENGE

57615

In each fiscal year, the foregoing appropriation item	57616
235-418, Access Challenge, shall be distributed to Ohio's	57617
state-assisted access colleges and universities. For the purposes	57618
of this allocation, "access campuses" includes state-assisted	57619
community colleges, state community colleges, technical colleges,	57620
Shawnee State University, Central State University, Cleveland	57621
State University, the regional campuses of state-assisted	57622
universities, and, where they are organizationally distinct and	57623
identifiable, the community-technical colleges located at the	57624
University of Cincinnati, Youngstown State University, and the	57625
University of Akron.	57626

The purpose of Access Challenge is to reduce the student	57627
share of costs for resident undergraduates enrolled in lower	57628
division undergraduate courses at Ohio's access campuses. The	57629
long-term goal is to make the student share of costs for these	57630
students equivalent to the student share of costs for resident	57631
undergraduate students enrolled throughout Ohio's public colleges	57632
and universities. Access Challenge appropriations shall be used in	57633
both years of the biennium to sustain, as much as possible, the	57634
tuition restraint or tuition reduction that was achieved with	57635
Access Challenge allocations in prior years.	57636

In fiscal year 2008, Access Challenge subsidies shall be	57637
distributed by the Board of Regents to eligible access campuses on	57638
the basis of the average of each campus's share of fiscal year	57639
2005 and 2006 all-terms subsidy-eligible General Studies FTEs. In	57640
fiscal year 2009, Access Challenge subsidies shall be distributed	57641
by the Board of Regents to eligible access campuses on the basis	57642
of the average of each campus's share of fiscal year 2006 and 2007	57643
all-terms subsidy-eligible General Studies FTEs.	57644

For purposes of this calculation, Cleveland State	57645
University's enrollments shall be adjusted by the ratio of the sum	57646
of subsidy-eligible lower-division FTE student enrollments	57647
eligible for access funding to the sum of subsidy-eligible General	57648
Studies FTE student enrollments at Central State University and	57649
Shawnee State University, and for the following universities and	57650
their regional campuses: the Ohio State University, Ohio	57651
University, Kent State University, Bowling Green State University,	57652
Miami University, the University of Cincinnati, the University of	57653
Akron, and Wright State University.	57654

Of the foregoing appropriation item 235-418, Access	57655
Challenge, $11,756,414 in fiscal year 2008 and $12,109,106 in	57656
fiscal year 2009 shall be used by Central State University to keep	57657
undergraduate fees below the statewide average, consistent with	57658
its mission of service to many first-generation college students	57659
from groups historically underrepresented in higher education and	57660
from families with limited incomes.	57661

Section 375.20.20. SUCCESS CHALLENGE

57662

The foregoing appropriation item 235-420, Success Challenge,	57663
shall be used by the Board of Regents to promote degree completion	57664
by students enrolled at a main campus of a state-assisted	57665
university.	57666

Of the foregoing appropriation item 235-420, Success	57667
Challenge, 66.67 per cent of the appropriation in each fiscal year	57668
shall be distributed to state-assisted university main campuses in	57669
proportion to each campus's share of the total statewide	57670
bachelor's degrees granted by university main campuses to	57671
"at-risk" students. In fiscal years 2008 and 2009, an "at-risk"	57672
student means any undergraduate student who was eligible to	57673
receive an Ohio need-based financial aid award during the past ten	57674
years. An eligible institution shall not receive its share of this	57675
distribution until it has submitted a plan that addresses how the	57676
subsidy will be used to better serve at-risk students and increase	57677
their likelihood of successful completion of a bachelor's degree	57678
program. The Board of Regents shall disseminate to all	57679
state-supported institutions of higher education all such plans	57680
submitted by institutions that received Success Challenge funds.	57681

Of the foregoing appropriation item 235-420, Success	57682
Challenge, 33.33 per cent of the appropriation in each fiscal year	57683
shall be distributed to university main campuses in proportion to	57684
each campus's share of the total bachelor's degrees granted by	57685
university main campuses to undergraduate students who completed	57686
their bachelor's degrees in a "timely manner" in the previous	57687
fiscal year. For purposes of this section, "timely manner" means	57688
the normal time it would take for a full-time degree-seeking	57689
undergraduate student to complete the student's degree. Generally,	57690
for such students pursuing a bachelor's degree, "timely manner"	57691
means four years. Exceptions to this general rule shall be	57692
permitted for students enrolled in programs specifically designed	57693
to be completed in a longer time period. The Board of Regents	57694
shall collect data to assess the timely completion statistics by	57695
university main campuses.	57696

Section 375.20.30. APPALACHIAN NEW ECONOMY PARTNERSHIP

57697

The foregoing appropriation item 235-428, Appalachian New	57698
Economy Partnership, shall be distributed to Ohio University to	57699
continue a multi-campus and multi-agency coordinated effort to	57700
link Appalachia to the new economy. Ohio University shall use	57701
these funds to provide leadership in the development and	57702
implementation of initiatives in the areas of entrepreneurship,	57703
management, education, and technology.	57704

Section 375.20.40. ECONOMIC GROWTH CHALLENGE

57705

The foregoing appropriation item 235-433, Economic Growth	57706
Challenge, shall be used to enhance the basic research	57707
capabilities of Ohio's public and private institutions of higher	57708
education, support improved graduate programs throughout the	57709
state, and promote the transfer of technology developed by	57710
colleges and universities to private industry to further the	57711
economic goals of the state.	57712

Of the foregoing appropriation item 235-433, Economic Growth	57713
Challenge, $12,000,000 in each fiscal year shall be used for the	57714
Research Incentive Program to enhance the basic research	57715
capabilities of public colleges and universities and accredited	57716
Ohio institutions of higher education holding certificates of	57717
authorization issued under section 1713.02 of the Revised Code, in	57718
order to strengthen academic research for pursuing Ohio's economic	57719
development goals. The Board of Regents, in consultation with the	57720
colleges and universities, shall administer the Research Incentive	57721
Program and utilize a means of matching, on a fractional basis,	57722
external funds attracted in the previous year by institutions for	57723
basic research. The program may include incentives for increasing	57724
the amount of external research funds coming to eligible	57725
institutions and for focusing research efforts upon critical state	57726
needs. Colleges and universities shall submit for review and	57727
approval to the Board of Regents plans for the institutional	57728
allocation of state dollars received through the program. The	57729
institutional plans shall provide the rationale for the allocation	57730
in terms of the strategic targeting of funds for academic and	57731
state purposes, for strengthening research programs, for	57732
increasing the amount of external research funds, and shall	57733
include an evaluation process to provide results of the increased	57734
support. Institutional plans for the use of Research Incentive	57735
funding must demonstrate a significant investment in Third	57736
Frontier activities funded at the institution. For a college or	57737
university with multiple Third Frontier grants, as much as ten per	57738
cent of that institution's Research Incentive funding may be	57739
invested in Third Frontier Project-related activities. Each	57740
institutional plan for the investment of Research Incentive moneys	57741
shall report on existing, planned, or possible relationships with	57742
other state science and technology programs and funding recipients	57743
in order to further ongoing statewide science and technology	57744
collaboration objectives. The Board of Regents shall submit a	57745
biennial report of progress to the General Assembly.	57746

In each fiscal year, both those state-assisted doctoral	57747
degree-granting universities and those accredited Ohio	57748
institutions of higher education holding certificates of	57749
authorization under section 1713.02 of the Revised Code may elect	57750
to participate in the Innovation Incentive Plan designed to	57751
enhance doctoral programs and areas of research that have the	57752
greatest potential to attract preeminent researchers and build	57753
research capacity; enhance regional or state economic growth by	57754
creating new products and services to be commercialized; and	57755
complement Ohio's Third Frontier Project.	57756

In each fiscal year, funding for the Innovation Incentive	57757
Program shall be generated from those state-assisted doctoral	57758
degree-granting universities electing to set aside a portion of	57759
their allocation of the doctoral reserve as provided in	57760
appropriation item 235-501, State Share of Instruction, and state	57761
matching funds provided in appropriation item 235-433, Economic	57762
Growth Challenge. Additionally, those accredited Ohio institutions	57763
of higher education holding certificates of authorization under	57764
section 1713.02 of the Revised Code electing to participate in the	57765
Innovation Incentive Program shall be required to set aside an	57766
amount comparable to the state-assisted doctoral degree-granting	57767
universities. The criteria for the determination of this amount	57768
shall be developed by the Board of Regents.	57769

Of the foregoing appropriation item 235-433, Economic Growth	57770
Challenge, $4,686,194 in each fiscal year shall match funds set	57771
aside by the participating universities under the Innovation	57772
Incentive Program.	57773

The Board of Regents shall use the combined amount of each	57774
participating state-assisted university's set aside of the	57775
doctoral reserve that has been withheld, the state matching funds	57776
earmarked under appropriation item 235-433, Economic Growth	57777
Challenge, and the amount set aside by each accredited Ohio	57778
institution of higher education holding a certificate of	57779
authorization under section 1713.02 of the Revised Code electing	57780
to participate in the Innovation Incentive Program to make awards	57781
through a competitive process under the Innovation Incentive	57782
Program. Only universities electing to set aside the prescribed	57783
amount shall be eligible to compete for and receive Innovation	57784
Incentive awards. The participating universities shall use these	57785
awards to restructure their array of doctoral programs.	57786

Of the foregoing appropriation item 235-433, Economic Growth	57787
Challenge, $500,000 in each fiscal year shall be distributed for	57788
the Technology Commercialization Incentive. The purpose of the	57789
Technology Commercialization Incentive is to reward public and	57790
private colleges and universities for successful technology	57791
transfer to Ohio-based business and industry resulting in the	57792
commercialization of new products, processes, and services and the	57793
establishment of new business start-ups within the state. The	57794
Third Frontier Commission, with counsel from the Third Frontier	57795
Advisory Board, shall establish the eligibility criteria for	57796
public and private colleges and universities interested in	57797
applying for Technology Commercialization Incentive funding. To	57798
qualify for the funds, public and private colleges and	57799
universities must maintain a significant investment in their own	57800
technology-transfer and commercialization operation and	57801
capabilities, and possess a significant history of successful	57802
research partnerships with Ohio-based business and industry.	57803

Section 375.20.50. COLLEGE READINESS AND ACCESS

57804

Appropriation item 235-434, College Readiness and Access,	57805
shall be used by the Board of Regents to support programs designed	57806
to improve the academic preparation and increase the number of	57807
students that enroll and succeed in higher education such as the	57808
Ohio College Access Network, the state match for the federal	57809
Gaining Early Awareness and Readiness for Undergraduate Program,	57810
and early awareness initiatives. The appropriation item shall also	57811
be used to support innovative statewide strategies to increase	57812
student access and retention for specialized populations, and to	57813
provide for pilot projects that will contribute to improving	57814
access to higher education by specialized populations. The funds	57815
also may be used for projects that improve access for nonpublic	57816
secondary students.	57817

Of the foregoing appropriation item 235-434, College	57818
Readiness and Access, $798,684 in fiscal year 2008 and $822,645 in	57819
fiscal year 2009 shall be distributed to the Ohio Appalachian	57820
Center for Higher Education at Shawnee State University. The board	57821
of directors of the Center shall consist of the presidents of	57822
Shawnee State University, Belmont Technical College, Hocking	57823
College, Jefferson Community College, Zane State College, Rio	57824
Grande Community College, Southern State Community College, and	57825
Washington State Community College; the president of Ohio	57826
University or a designee of the president; the dean of one of the	57827
Salem, Tuscarawas, and East Liverpool regional campuses of Kent	57828
State University, as designated by the president of Kent State	57829
University; and a representative of the Board of Regents	57830
designated by the Chancellor.	57831

Of the foregoing appropriation item 235-434, College	57832
Readiness and Access, $169,553 in fiscal year 2008 and $174,640 in	57833
fiscal year 2009 shall be distributed to Miami University for the	57834
Student Achievement in Research and Scholarship (STARS) Program.	57835

Of the foregoing appropriation item 235-434, College	57836
Readiness and Access, $3,503,985 in each fiscal year shall be used	57837
in conjunction with funding provided in the Ohio Department of	57838
Education budget under appropriation item 200-431, School	57839
Improvement Initiatives, to support the Early College High School	57840
Program. The funds shall be distributed according to guidelines	57841
established by the Department of Education and the Board of	57842
Regents.	57843

Section 375.20.60.  TEACHER IMPROVEMENT INITIATIVES

57844

Appropriation item 235-435, Teacher Improvement Initiatives,	57845
shall be used by the Board of Regents to support programs such as	57846
OSI - Discovery and the Centers of Excellence in Mathematics and	57847
Science designed to raise the quality of mathematics and science	57848
teaching in primary, secondary, and post-secondary education.	57849

Of the foregoing appropriation item 235-435, Teacher	57850
Improvement Initiatives, $106,619 in each fiscal year shall be	57851
distributed to the Ohio Mathematics and Science Coalition.	57852

Of the foregoing appropriation item 234-435, Teacher	57853
Improvement Initiatives, $100,000 in each fiscal year shall be	57854
distributed to the Teacher Quality Partnerships study.	57855

Of the foregoing appropriation item 235-435, Teacher	57856
Improvement Initiatives, $874,871 in each fiscal year shall be	57857
distributed to the Ohio Resource Center for Mathematics, Science,	57858
and Reading. The funds shall be used to support a resource center	57859
for mathematics, science, and reading to be located at a	57860
state-assisted university for the purpose of identifying best	57861
educational practices in primary and secondary schools and	57862
establishing methods for communicating them to colleges of	57863
education and school districts. The Ohio Resource Center for	57864
Mathematics, Science, and Reading shall not make available	57865
resources that are inconsistent with the K-12 science standards	57866
and policies as adopted by the State Board of Education.	57867

Of the foregoing appropriation item 235-435, Teacher	57868
Improvement Initiatives, up to $2,000,000 in each fiscal year	57869
shall be used to support up to ten regional summer academies that	57870
focus on foreign language, science, mathematics, engineering, and	57871
technology and prepare eleventh and twelfth grade students	57872
enrolled in public schools to pursue college-level foreign	57873
language, mathematics, science, technology, and engineering, with	57874
a focus on secondary teaching in these disciplines. Successful	57875
completion of these academics shall result in dual high school and	57876
college credits. Costs shall be based upon reasonable expenses, as	57877
determined by the Board of Regents, that institutions of higher	57878
education may incur for faculty, supplies, and other associated	57879
costs.	57880

Of the foregoing appropriation item 235-435, Teacher	57881
Improvement Initiatives, up to $4,000,000 in fiscal year 2009	57882
shall be used to fund teacher-signing bonuses for individuals that	57883
enter the teaching profession in a public school district or	57884
school district building that has been designated a hard-to-staff	57885
school by the Department of Education. To qualify for the signing	57886
bonus, an individual must: (a) be licensed to teach; (b) be	57887
assigned to teach in foreign language, science, or mathematics;	57888
and (c) agree to teach in a hard-to-staff school for a minimum of	57889
five years. An individual may qualify for up to $20,000 in	57890
state-funded bonuses if all obligations are met. The Board of	57891
Regents shall develop this program jointly with the Department of	57892
Education and the Partnership for Continued Learning. An	57893
individual may participate in either the teacher-signing bonus	57894
program or the teacher loan-forgiveness program, but may not	57895
receive benefits from both programs. The Board of Regents shall	57896
recoup funds received by any program participant who has not	57897
fulfilled the five-year teaching obligation as described in this	57898
section.	57899

Of the foregoing appropriation item 235-435, Teacher	57900
Improvement Initiatives, up to $2,500,000 in fiscal year 2009	57901
shall be used to fund teacher loan-forgiveness for individuals	57902
that enter the teaching profession in a school district or school	57903
district building that has been designated as a hard-to-staff	57904
school by the Department of Education. To qualify for the loan	57905
forgiveness, an individual must: (a) be licensed to teach; (b) be	57906
assigned to teach in foreign language, science, or mathematics;	57907
and (c) agree to teach in a hard-to-staff school for a minimum of	57908
five years. An individual may qualify for up to $20,000 in state	57909
funded loan forgiveness if all obligations are met. The Board of	57910
Regents shall develop this program jointly with the Department of	57911
Education and the Partnership for Continued Learning. An	57912
individual may participate in either the teacher-signing bonus	57913
program or the teacher loan-forgiveness program, but may not	57914
receive benefits from both programs. The Board of Regents shall	57915
recoup funds received by any program participant who has not	57916
fulfilled the five-year teaching obligation as described in this	57917
section.	57918

Section 375.20.70. ACCELERATEOHIO

57919

The foregoing appropriation item 235-436 AccelerateOhio,	57920
shall be used by the Board of Regents, in collaboration with	57921
Ohio's public two-year campuses, to develop and implement a	57922
statewide program designed to improve the education and skills of	57923
Ohio's workforce by assisting low-income working adults in Ohio to	57924
improve their education and training. AccelerateOhio shall consist	57925
of competency-based, low-cost, noncredit, and credit-bearing	57926
modules and courses in communications, mathematics, and	57927
information technology, and other fields selected by the Board of	57928
Regents. The program shall be designed to culminate in a	57929
certificate and provide recipients with a foundation for	57930
additional post-secondary education.	57931

Section 375.20.80. EMINENT SCHOLARS

57932

The foregoing appropriation item 235-451, Eminent Scholars,	57933
shall be used by the Ohio Board of Regents to continue the Ohio	57934
Eminent Scholars Program, the purpose of which is to invest	57935
educational resources to address problems that are of vital	57936
statewide significance while fostering the growth in eminence of	57937
Ohio's academic programs. Ohio Eminent Scholars endowed chairs	57938
shall allow Ohio universities to recruit senior faculty members	57939
from outside Ohio who are nationally and internationally	57940
recognized scholars in areas of science and technology that	57941
provide the basic research platforms on which the state's	57942
technology and commercialization efforts are built. Endowment	57943
grants of approximately $685,494 to state colleges and	57944
universities and nonprofit Ohio institutions of higher education	57945
holding certificates of authorization issued under section 1713.02	57946
of the Revised Code to match endowment gifts from nonstate sources	57947
may be made in accordance with a plan established by the Ohio	57948
Board of Regents. Matching nonstate endowment gifts shall be equal	57949
to the state's endowment grant of approximately $685,494. The	57950
grants shall have as their purpose attracting and sustaining in	57951
Ohio scholar-leaders of national or international prominence; each	57952
grant shall assist in accelerating state economic growth through	57953
research that provides an essential basic science platform for	57954
commercialization efforts. Such scholar-leaders shall, among their	57955
duties, share broadly the benefits and knowledge unique to their	57956
fields of scholarship to the betterment of Ohio and its people and	57957
collaborate with other state technology programs and program	57958
recipients.	57959

All new Eminent Scholar awards made by the Board of Regents	57960
shall be associated with a Wright Center of Innovation, a	57961
Partnership Award from the Biomedical Research and Technology	57962
Transfer Trust Fund, or a Wright Capital Project.	57963

Section 375.20.90. ENTERPRISEOHIO NETWORK

57964

The foregoing appropriation item 235-455, EnterpriseOhio	57965
Network, shall be allocated by the Board of Regents to continue	57966
increasing the capabilities of the EnterpriseOhio Network to meet	57967
the ongoing training needs of Ohio employers. Funds shall support	57968
multicampus collaboration, best practice dissemination, and	57969
capacity building projects. The Regents Advisory Committee for	57970
Workforce Development, in its advisory role, shall advise in the	57971
development of plans and activities.	57972

Section 375.30.10. AREA HEALTH EDUCATION CENTERS

57973

The foregoing appropriation item 235-474, Area Health	57974
Education Centers Program Support, shall be used by the Board of	57975
Regents to support the medical school regional area health	57976
education centers' educational programs for the continued support	57977
of medical and other health professions education and for support	57978
of the Area Health Education Center Program.	57979

Of the foregoing appropriation item 235-474, Area Health	57980
Education Centers Program Support, $159,158 in each fiscal year	57981
shall be disbursed to the Ohio University College of Osteopathic	57982
Medicine to operate a mobile health care unit to serve the	57983
southeastern area of the state.	57984

Of the foregoing appropriation item 235-474, Area Health	57985
Education Centers Program Support, $119,369 in each fiscal year	57986
shall be used to support the Ohio Valley Community Health	57987
Information Network (OVCHIN) project.	57988

Section 375.30.20. STATE SHARE OF INSTRUCTION

57989

The Board of Regents shall establish procedures to allocate	57990
the foregoing appropriation item 235-501, State Share of	57991
Instruction, based on the formulas and enrollment in the	57992
instructional models set out in this section.	57993

(A) FULL-TIME EQUIVALENT (FTE) ENROLLMENTS

57994

(1) As soon as practicable during each fiscal year of the	57995
biennium ending June 30, 2009, in accordance with instructions of	57996
the Board of Regents, each state-assisted institution of higher	57997
education shall report its actual enrollment to the Board of	57998
Regents.	57999

(2) In defining the number of full-time equivalent students	58000
for state subsidy purposes, the Board of Regents shall exclude all	58001
undergraduate students who are not residents of Ohio, except those	58002
charged in-state fees in accordance with reciprocity agreements	58003
made under section 3333.17 of the Revised Code or employer	58004
contracts entered into under section 3333.32 of the Revised Code.	58005

(3) In calculating the core subsidy entitlements for Medical	58006
II models only, the Board of Regents shall use the following count	58007
of FTE students:	58008

(a) For those medical schools whose current year enrollment,	58009
including students repeating terms, is below the base enrollment,	58010
the Medical II FTE enrollment shall equal: 65 per cent of the base	58011
enrollment plus 35 per cent of the current year enrollment	58012
including students repeating terms, where the base enrollment is:	58013

	The Ohio State University		1010		58014
	University of Cincinnati		833		58015
	University of Toledo		650		58016
	Wright State University		433		58017
	Ohio University		433		58018
	Northeastern Ohio Universities College of Medicine		433		58019

(b) For those medical schools whose current year enrollment,	58020
excluding students repeating terms, is equal to or greater than	58021
the base enrollment, the Medical II FTE enrollment shall equal the	58022
base enrollment plus the FTE for repeating students.	58023

(c) Students repeating terms may be no more than five per	58024
cent of current year enrollment.	58025

(4) The state share of instruction to state-supported	58026
universities for students enrolled in law schools in fiscal year	58027
2008 and fiscal year 2009 shall be calculated by using the number	58028
of subsidy-eligible FTE law school students funded by state	58029
subsidy in fiscal year 1995 or the actual number of	58030
subsidy-eligible FTE law school students at the institution in the	58031
fiscal year, whichever is less.	58032

(B) TOTAL COSTS PER FULL-TIME EQUIVALENT STUDENT

58033

For purposes of calculating state share of instruction	58034
allocations, the total instructional costs per full-time	58035
equivalent student shall be:	58036

Model	Fiscal Year 2008	Fiscal Year 2009		58037
ARTS AND HUMANITIES 1	$7,220	$7,494		58038
ARTS AND HUMANITIES 2	9,431	9,790		58039
ARTS AND HUMANITIES 3	12,186	12,649		58040
ARTS AND HUMANITIES 4	17,836	18,514		58041
ARTS AND HUMANITIES 5	27,829	28,887		58042
ARTS AND HUMANITIES 6	34,540	35,852		58043
BUSINESS, EDUCATION & SOCIAL SCIENCES 1	6,352	6,594		58044
BUSINESS, EDUCATION & SOCIAL SCIENCES 2	7,389	7,670		58045
BUSINESS, EDUCATION & SOCIAL SCIENCES 3	8,911	9,249		58046
BUSINESS, EDUCATION & SOCIAL SCIENCES 4	10,744	11,152		58047
BUSINESS, EDUCATION & SOCIAL SCIENCES 5	17,070	17,719		58048
BUSINESS, EDUCATION & SOCIAL SCIENCES 6	21,908	22,740		58049
BUSINESS, EDUCATION & SOCIAL SCIENCES 7	26,019	27,008		58050
MEDICAL 1	43,190	44,831		58051
MEDICAL 2	47,635	49,445		58052
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 1	6,552	6,801		58053
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 2	9,196	9,545		58054
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 3	11,610	12,051		58055
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 4	14,789	15,351		58056
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 5	18,420	19,119		58057
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 6	19,990	20,750		58058
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 7	27,676	28,728		58059
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 8	35,308	36,650		58060
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 9	48,150	49,979		58061

Doctoral I and Doctoral II models shall be allocated in	58062
accordance with division (D)(1) of this section.	58063

(C) SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICAL,	58064
AND GRADUATE WEIGHTS	58065

For the purpose of implementing the recommendations of the	58066
State Share of Instruction Consultation and the Higher Education	58067
Funding Study Council that priority be given to maintaining state	58068
support for science, technology, engineering, mathematics,	58069
medicine, and graduate programs, the costs in division (B) of this	58070
section shall be weighted by the amounts provided below:	58071

Model	Fiscal Year 2008	Fiscal Year 2009		58072
ARTS AND HUMANITIES 1	1.000	1.000		58073
ARTS AND HUMANITIES 2	1.000	1.000		58074
ARTS AND HUMANITIES 3	1.000	1.000		58075
ARTS AND HUMANITIES 4	1.000	1.000		58076
ARTS AND HUMANITIES 5	1.250	1.250		58077
ARTS AND HUMANITIES 6	1.250	1.250		58078
BUSINESS, EDUCATION & SOCIAL SCIENCES 1	1.000	1.000		58079
BUSINESS, EDUCATION & SOCIAL SCIENCES 2	1.000	1.000		58080
BUSINESS, EDUCATION & SOCIAL SCIENCES 3	1.000	1.000		58081
BUSINESS, EDUCATION & SOCIAL SCIENCES 4	1.000	1.000		58082
BUSINESS, EDUCATION & SOCIAL SCIENCES 5	1.250	1.250		58083
BUSINESS, EDUCATION & SOCIAL SCIENCES 6	1.250	1.250		58084
BUSINESS, EDUCATION & SOCIAL SCIENCES 7	1.250	1.250		58085
MEDICAL 1	1.500	1.500		58086
MEDICAL 2	1.728	1.728		58087
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 1	1.000	1.000		58088
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 2	1.002	1.002		58089
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 3	1.613	1.613		58090
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 4	1.690	1.690		58091
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 5	1.420	1.420		58092
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 6	2.081	2.081		58093
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 7	1.702	1.702		58094
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 8	1.808	1.808		58095
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 9	1.341	1.341		58096

(D) CALCULATION OF STATE SHARE OF INSTRUCTION FORMULA	58097
ENTITLEMENTS AND ADJUSTMENTS	58098

(1) Of the foregoing appropriation item 235-501, State Share	58099
of Instruction, up to 10.44 per cent of the appropriation in each	58100
fiscal year shall be reserved for support of doctoral programs to	58101
implement the recommendations of the Graduate Funding Commission.	58102
The amount so reserved shall be referred to as the doctoral	58103
set-aside.	58104

The doctoral set-aside shall be allocated to universities in	58105
proportion to their share of the total number of Doctoral I	58106
equivalent FTEs as calculated on an institutional basis using the	58107
greater of the two-year or five-year FTEs for the period fiscal	58108
year 1994 through fiscal year 1998 with annualized FTEs for fiscal	58109
years 1994 through 1997 and all-term FTEs for fiscal year 1998 as	58110
adjusted to reflect the effects of doctoral review and subsequent	58111
changes in Doctoral I equivalent enrollments. For the purposes of	58112
this calculation, Doctoral I equivalent FTEs shall equal the sum	58113
of Doctoral I FTEs plus 1.5 times the sum of Doctoral II FTEs.	58114

If a university participates in the Innovation Incentive	58115
Program outlined in appropriation item 235-433, Economic Growth	58116
Challenge, in each fiscal year the Board of Regents shall withhold	58117
the university's increasing matching share required by the	58118
Innovation Incentive Program from its allocation of the doctoral	58119
set-aside.	58120

The Board of Regents shall use the combined amount of each	58121
participating state-assisted university's set aside of the	58122
doctoral reserve that has been withheld, the state matching funds	58123
earmarked under appropriation item 235-433, Economic Growth	58124
Challenge, and the amount set aside by each accredited Ohio	58125
institution of higher education holding a certificate of	58126
authorization under section 1713.02 of the Revised Code electing	58127
to participate in the Innovation Incentive Program to make awards	58128
through a competitive process under the Innovation Incentive	58129
Program. Only universities electing to set aside the prescribed	58130
amount shall be eligible to compete for and receive Innovation	58131
Incentive awards. The participating universities shall use these	58132
awards to restructure their array of doctoral programs.	58133

(2) Each campus's state share of instruction base formula	58134
earnings shall be determined as follows:	58135

(a) For each campus in each fiscal year, the instructional	58136
costs shall be determined by multiplying the amounts listed above	58137
in divisions (B) and (C) of this section by (i) average	58138
subsidy-eligible FTEs for the two-year period ending in the prior	58139
year for all models except Doctoral I and Doctoral II; and (ii)	58140
average subsidy-eligible FTEs for the five-year period ending in	58141
the prior year for all models except Doctoral I and Doctoral II.	58142

(b) The Board of Regents shall compute the two calculations	58143
listed in division (D)(2)(a) of this section and use the greater	58144
amount as each campus's instructional costs.	58145

(c) The Board of Regents shall compute a uniform state share	58146
of instructional costs by dividing the appropriations for 235-501,	58147
State Share of Instruction, less the doctoral set-aside calculated	58148
in division (D)(1) of this section, by the sum of all campuses'	58149
instructional costs as calculated in division (D)(2)(b) of this	58150
section.	58151

(d) The formula entitlement for each campus shall be	58152
determined by multiplying the uniform state share of costs	58153
calculated in division (D)(2)(c) of this section by the campus's	58154
instructional cost determined in division (D)(2)(b) of this	58155
section.	58156

(3) In addition to the doctoral set-aside allocation	58157
determined in division (D)(1) of this section and the formula	58158
entitlement determined in division (D)(2) of this section, an	58159
allocation based on fiscal year 2007 facility-based plant	58160
operations and maintenance (POM) subsidy shall be made. No campus	58161
shall be eligible for a POM allocation if the campus did not	58162
receive a net-assignable-square-foot-based (NASF) POM allocation	58163
in fiscal year 2007 and the amount of state share of instruction	58164
subsidy the campus would have received in fiscal year 2007 had the	58165
campus's calculation been based on the state share of instruction	58166
method described in this section, but using relevant fiscal year	58167
2007 data, is less than 98.5% of the campus's actual final fiscal	58168
year 2007 state share of instruction earnings.	58169

For each eligible campus, the amount of the POM allocation in	58170
each fiscal year shall be the lesser of:	58171

(a) 98.5% of the campus's actual final fiscal year 2007 state	58172
share of instruction earnings, minus the amount the campus would	58173
have received in fiscal year 2007 had the campus's calculation	58174
been based on the state share of instruction method described in	58175
this section, but using relevant fiscal year 2007 data; or	58176

(b) The actual final fiscal year 2007	58177
net-assignable-square-foot-based (NASF) POM allocation that was	58178
provided to the campus.	58179

Any POM allocations required by this division shall be funded	58180
by proportionately reducing formula entitlement earnings,	58181
including the POM allocations, for all campuses.	58182

The Board of Regents, in consultation with representatives of	58183
state-assisted colleges and universities, shall study the need for	58184
the facility-based POM allocations and make recommendations for	58185
changes by June 30, 2008.	58186

(4) ANNUAL STATE SHARE OF INSTRUCTION FUNDING GUARANTEE

58187

In addition to and after the other adjustment noted above, in	58188
each fiscal year, no campus shall receive a state share of	58189
instruction allocation that is less than 100 per cent of the prior	58190
year's state share of instruction amount. Funds shall be made	58191
available to fund this guarantee provision by recalculating the	58192
uniform state share as described in division (D)(2)(c) of this	58193
section by subtracting guarantee funds and the doctoral set-aside	58194
from the total appropriations for appropriation item 235-501,	58195
State Share of Instruction.	58196

(5) CAPITAL COMPONENT DEDUCTION

58197

After all other adjustments have been made, state share of	58198
instruction earnings shall be reduced for each campus by the	58199
amount, if any, by which debt service charged in Am. H.B. 748 of	58200
the 121st General Assembly, Am. Sub. H.B. 850 of the 122nd General	58201
Assembly, Am. Sub. H.B. 640 of the 123rd General Assembly, H.B.	58202
675 of the 124th General Assembly, Am. Sub. H.B. 16 of the 126th	58203
General Assembly, and Am. Sub. H.B. 699 of the 126th General	58204
Assembly for that campus exceeds that campus's capital component	58205
earnings. The sum of the amounts deducted shall be transferred to	58206
appropriation item 235-552, Capital Component, in each fiscal	58207
year.	58208

(E) EXCEPTIONAL CIRCUMSTANCES

58209

Adjustments may be made to the state share of instruction	58210
payments and other subsidies distributed by the Board of Regents	58211
to state-assisted colleges and universities for exceptional	58212
circumstances. No adjustments for exceptional circumstances may be	58213
made without the recommendation of the Chancellor and the approval	58214
of the Controlling Board.	58215

(F) APPROPRIATION REDUCTIONS TO THE STATE SHARE OF	58216
INSTRUCTION	58217

The standard provisions of the state share of instruction	58218
calculation as described in the preceding sections of temporary	58219
law shall apply to any reductions made to appropriation item	58220
235-501, State Share of Instruction, before the Board of Regents	58221
has formally approved the final allocation of the state share of	58222
instruction funds for any fiscal year.	58223

Any reductions made to appropriation item 235-501, State	58224
Share of Instruction, after the Board of Regents has formally	58225
approved the final allocation of the state share of instruction	58226
funds for any fiscal year, shall be uniformly applied to each	58227
campus in proportion to its share of the final allocation.	58228

(G) DISTRIBUTION OF STATE SHARE OF INSTRUCTION

58229

The state share of instruction payments to the institutions	58230
shall be in substantially equal monthly amounts during the fiscal	58231
year, unless otherwise determined by the Director of Budget and	58232
Management pursuant to section 126.09 of the Revised Code.	58233
Payments during the first six months of the fiscal year shall be	58234
based upon the state share of instruction appropriation estimates	58235
made for the various institutions of higher education according to	58236
Board of Regents enrollment estimates. Payments during the last	58237
six months of the fiscal year shall be distributed after approval	58238
of the Controlling Board upon the request of the Board of Regents.	58239

Section 375.30.30.  HIGHER EDUCATION - BOARD OF TRUSTEES

58240

Funds appropriated for instructional subsidies at colleges	58241
and universities may be used to provide such branch or other	58242
off-campus undergraduate courses of study and such master's degree	58243
courses of study as may be approved by the Board of Regents.	58244

In providing instructional and other services to students,	58245
boards of trustees of state-assisted institutions of higher	58246
education shall supplement state subsidies by income from charges	58247
to students. Each board shall establish the fees to be charged to	58248
all students, including an instructional fee for educational and	58249
associated operational support of the institution and a general	58250
fee for noninstructional services, including locally financed	58251
student services facilities used for the benefit of enrolled	58252
students. The instructional fee and the general fee shall	58253
encompass all charges for services assessed uniformly to all	58254
enrolled students. Each board may also establish special purpose	58255
fees, service charges, and fines as required; such special purpose	58256
fees and service charges shall be for services or benefits	58257
furnished individual students or specific categories of students	58258
and shall not be applied uniformly to all enrolled students.	58259
Except for the board of trustees of Miami University, in	58260
implementing the pilot tuition restructuring plan recognized in	58261
Section 89.05 of Am. Sub. H.B. 95 of the 125th General Assembly	58262
and again recognized by this act, a tuition surcharge shall be	58263
paid by all students who are not residents of Ohio.	58264

The board of trustees of a state-assisted institution of	58265
higher education shall not authorize a waiver or nonpayment of	58266
instructional fees or general fees for any particular student or	58267
any class of students other than waivers specifically authorized	58268
by law or approved by the Chancellor. This prohibition is not	58269
intended to limit the authority of boards of trustees to provide	58270
for payments to students for services rendered the institution,	58271
nor to prohibit the budgeting of income for staff benefits or for	58272
student assistance in the form of payment of such instructional	58273
and general fees. This prohibition is not intended to limit the	58274
authority of the board of trustees of Miami University in	58275
providing financial assistance to students in implementing the	58276
pilot tuition restructuring plan recognized in Section 89.05 of	58277
Am. Sub. H.B. 95 of the 125th General Assembly and again	58278
recognized by this act.	58279

Except for Miami University, in implementing the pilot	58280
tuition restructuring plan recognized in Section 89.05 of Am. Sub.	58281
H.B. 95 of the 125th General Assembly and again recognized by this	58282
act, each state-assisted institution of higher education in its	58283
statement of charges to students shall separately identify the	58284
instructional fee, the general fee, the tuition charge, and the	58285
tuition surcharge. Fee charges to students for instruction shall	58286
not be considered to be a price of service but shall be considered	58287
to be an integral part of the state government financing program	58288
in support of higher educational opportunity for students.	58289

In providing the appropriations in support of instructional	58290
services at state-assisted institutions of higher education and	58291
the appropriations for other instruction it is the intent of the	58292
General Assembly that faculty members shall devote a proper and	58293
judicious part of their work week to the actual instruction of	58294
students. Total class credit hours of production per quarter per	58295
full-time faculty member is expected to meet the standards set	58296
forth in the budget data submitted by the Board of Regents.	58297

The authority of government vested by law in the boards of	58298
trustees of state-assisted institutions of higher education shall	58299
in fact be exercised by those boards. Boards of trustees may	58300
consult extensively with appropriate student and faculty groups.	58301
Administrative decisions about the utilization of available	58302
resources, about organizational structure, about disciplinary	58303
procedure, about the operation and staffing of all auxiliary	58304
facilities, and about administrative personnel shall be the	58305
exclusive prerogative of boards of trustees. Any delegation of	58306
authority by a board of trustees in other areas of responsibility	58307
shall be accompanied by appropriate standards of guidance	58308
concerning expected objectives in the exercise of such delegated	58309
authority and shall be accompanied by periodic review of the	58310
exercise of this delegated authority to the end that the public	58311
interest, in contrast to any institutional or special interest,	58312
shall be served.	58313

Section 375.30.40. STUDENT SUPPORT SERVICES

58314

The foregoing appropriation item 235-502, Student Support	58315
Services, shall be distributed by the Board of Regents to Ohio's	58316
state-assisted colleges and universities that incur	58317
disproportionate costs in the provision of support services to	58318
disabled students.	58319

Section 375.30.50. OHIO INSTRUCTIONAL GRANTS

58320

In each fiscal year, instructional grants for all eligible	58321
full-time students who have attended a college, university, or	58322
proprietary school and have completed coursework for college	58323
credit, excluding early college high school and post-secondary	58324
enrollment option students, prior to academic year 2006-2007,	58325
shall be made using the tables under section 3333.12 of the	58326
Revised Code.	58327

Of the foregoing appropriation item 235-503, Ohio	58328
Instructional Grants, an amount in each fiscal year shall be used	58329
to make the payments authorized by division (C) of section 3333.26	58330
of the Revised Code to the institutions described in that	58331
division. In addition, an amount in each fiscal year shall be used	58332
to reimburse the institutions described in division (B) of section	58333
3333.26 of the Revised Code for the cost of the waivers required	58334
by that division.	58335

The unencumbered balance of appropriation item 235-503, Ohio	58336
Instructional Grants, at the end of fiscal year 2008 shall be	58337
transferred to fiscal year 2009 for use under the same	58338
appropriation item. The amounts transferred are hereby	58339
appropriated.	58340

Section 375.30.60.  WAR ORPHANS SCHOLARSHIPS

58341

The foregoing appropriation item 235-504, War Orphans	58342
Scholarships, shall be used to reimburse state-assisted	58343
institutions of higher education for waivers of instructional fees	58344
and general fees provided by them, to provide grants to	58345
institutions that have received a certificate of authorization	58346
from the Ohio Board of Regents under Chapter 1713. of the Revised	58347
Code, in accordance with the provisions of section 5910.04 of the	58348
Revised Code, and to fund additional scholarship benefits provided	58349
by section 5910.032 of the Revised Code.	58350

Section 375.30.70. OHIOLINK

58351

The foregoing appropriation item 235-507, OhioLINK, shall be	58352
used by the Board of Regents to support OhioLINK, the state's	58353
electronic library information and retrieval system, which	58354
provides access statewide to an extensive set of electronic	58355
databases and resources and the library holdings of all of Ohio's	58356
public colleges and universities, 44 private colleges, and the	58357
State Library of Ohio.	58358

Section 375.30.80. AIR FORCE INSTITUTE OF TECHNOLOGY

58359

The foregoing appropriation item 235-508, Air Force Institute	58360
of Technology, shall be used to strengthen the research and	58361
educational linkages between the Wright Patterson Air Force Base	58362
and institutions of higher education in Ohio. Of the foregoing	58363
appropriation item 235-508, Air Force Institute of Technology,	58364
$1,233,588 in each fiscal year shall be used for research projects	58365
that connect the Air Force Research Laboratories with university	58366
partners. The institute shall provide annual reports to the Third	58367
Frontier Commission, that discuss existing, planned, or possible	58368
collaborations between programs and funding recipients related to	58369
technology, research development, commercialization, and support	58370
for Ohio's economic development.	58371

Of the foregoing appropriation item 235-508, Air Force	58372
Institute of Technology, $691,757 in each fiscal year shall be	58373
used to match federal dollars to support technology	58374
commercialization and job creation. The Development Research	58375
Corporation shall use the funds to create or expand Ohio-based	58376
technology and commercial development collaborations in areas that	58377
are a priority in Ohio's third frontier initiative between	58378
industry, academia, and government.	58379

Section 375.30.90.  OHIO SUPERCOMPUTER CENTER

58380

The foregoing appropriation item 235-510, Ohio Supercomputer	58381
Center, shall be used by the Board of Regents to support the	58382
operation of the Ohio Super Computer Center, located at The Ohio	58383
State University, as a statewide resource available to Ohio	58384
research universities both public and private. It is also intended	58385
that the center be made accessible to private industry as	58386
appropriate. Policies of the center shall be established by a	58387
governance committee, representative of Ohio's research	58388
universities and private industry, to be appointed by the	58389
Chancellor of the Board of Regents and established for this	58390
purpose.	58391

Funds shall be used, in part, to support the Ohio	58392
Supercomputer Center's Computational Science Initiative which	58393
includes its industrial outreach program, Blue Collar Computing,	58394
and its School of Computational Science. These collaborations	58395
between the Ohio Supercomputer Center and Ohio's colleges and	58396
universities shall be aimed at making Ohio a leader in using	58397
computer modeling to promote economic development.	58398

Of the foregoing appropriation item 235-510, Ohio	58399
Supercomputer Center, $250,000 in each fiscal year shall be used	58400
to support the Super Computer Center's activities in Beavercreek.	58401

Section 375.40.10.  COOPERATIVE EXTENSION SERVICE

58402

The foregoing appropriation item 235-511, Cooperative	58403
Extension Service, shall be disbursed through the Board of Regents	58404
to The Ohio State University in monthly payments, unless otherwise	58405
determined by the Director of Budget and Management under section	58406
126.09 of the Revised Code.	58407

Of the foregoing appropriation item 235-511, Cooperative	58408
Extension Service, $178,271 in each fiscal year shall be used for	58409
additional staffing for county agents for expanded 4-H activities.	58410
Of the foregoing appropriation item 235-511, Cooperative Extension	58411
Service, $178,271 in each fiscal year shall be used by the	58412
Cooperative Extension Service, through the Enterprise Center for	58413
Economic Development in cooperation with other agencies, for a	58414
public-private effort to create and operate a small business	58415
economic development program to enhance the development of	58416
alternatives to the growing of tobacco, and implement, through	58417
applied research and demonstration, the production and marketing	58418
of other high-value crops and value-added products. Of the	58419
foregoing appropriation item 235-511, Cooperative Extension	58420
Service, $55,179 in each fiscal year shall be used for farm labor	58421
mediation and education programs, $182,515 in each fiscal year	58422
shall be used to support the Ohio State University Marion	58423
Enterprise Center, and $772,931 in each fiscal year shall be used	58424
to support the Ohio Watersheds Initiative.	58425

Section 375.40.20.  OHIO UNIVERSITY VOINOVICH CENTER

58426

The foregoing appropriation item 235-513, Ohio University	58427
Voinovich Center, shall be used by the Board of Regents to support	58428
the operations of Ohio University's Voinovich Center.	58429

Section 375.40.30. PERFORMANCE STANDARDS FOR MEDICAL	58430
EDUCATION	58431

The Board of Regents, in consultation with the state-assisted	58432
medical colleges, shall develop performance standards for medical	58433
education. Special emphasis in the standards shall be placed on	58434
attempting to ensure that at least 50 per cent of the aggregate	58435
number of students enrolled in state-assisted medical colleges	58436
continue to enter residency as primary care physicians. Primary	58437
care physicians are general family practice physicians, general	58438
internal medicine practitioners, and general pediatric care	58439
physicians. The Board of Regents shall monitor medical school	58440
performance in relation to their plans for reaching the 50 per	58441
cent systemwide standard for primary care physicians.	58442

Section 375.40.40. CASE WESTERN RESERVE UNIVERSITY SCHOOL OF	58443
MEDICINE	58444

The foregoing appropriation item 235-515, Case Western	58445
Reserve University School of Medicine, shall be disbursed to Case	58446
Western Reserve University through the Board of Regents in	58447
accordance with agreements entered into under section 3333.10 of	58448
the Revised Code, provided that the state support per full-time	58449
medical student shall not exceed that provided to full-time	58450
medical students at state universities.	58451

Section 375.40.50.  CAPITOL SCHOLARSHIP PROGRAM

58452

The foregoing appropriation item 235-518, Capitol Scholarship	58453
Program, shall be used by the Board of Regents to provide	58454
scholarships to undergraduates of Ohio's four-year public and	58455
private institutions of higher education participating in the	58456
Washington Center Internship Program. A scholarship of $1,800	58457
shall be awarded to students enrolled in an institution operating	58458
on a quarter system, and a scholarship of $2,300 shall be awarded	58459
to students enrolled in an institution operating on a semester	58460
system. The number of scholarships awarded shall be limited by the	58461
amounts appropriated in fiscal years 2008 and 2009. The Washington	58462
Center shall provide a minimum of $1,300 per student in matching	58463
scholarships.	58464

Section 375.40.60. FAMILY PRACTICE

58465

The Board of Regents shall develop plans consistent with	58466
existing criteria and guidelines as may be required for the	58467
distribution of appropriation item 235-519, Family Practice.	58468

Section 375.40.70. SHAWNEE STATE SUPPLEMENT

58469

The foregoing appropriation item 235-520, Shawnee State	58470
Supplement, shall be used by Shawnee State University as detailed	58471
by both of the following:	58472

(A) To allow Shawnee State University to keep its	58473
undergraduate fees below the statewide average, consistent with	58474
its mission of service to an economically depressed Appalachian	58475
region;	58476

(B) To allow Shawnee State University to employ new faculty	58477
to develop and teach in new degree programs that meet the needs of	58478
Appalachians.	58479

Section 375.40.80.  OSU GLENN INSTITUTE

58480

The foregoing appropriation item 235-521, The Ohio State	58481
University Glenn Institute, shall be used by the Board of Regents	58482
to support the operations of the Ohio State University's Glenn	58483
Institute.	58484

Section 375.40.90. POLICE AND FIRE PROTECTION

58485

The foregoing appropriation item 235-524, Police and Fire	58486
Protection, shall be used for police and fire services in the	58487
municipalities of Kent, Athens, Oxford, Fairborn, Bowling Green,	58488
Portsmouth, Xenia Township (Greene County), Rootstown Township,	58489
and the City of Nelsonville that may be used to assist these local	58490
governments in providing police and fire protection for the	58491
central campus of the state-affiliated university located therein.	58492
Each participating municipality and township shall receive at	58493
least $5,000 in each fiscal year. Funds shall be distributed	58494
according to the method employed by the Board of Regents in the	58495
previous biennium.	58496

Section 375.50.10.  GERIATRIC MEDICINE

58497

The Board of Regents shall develop plans consistent with	58498
existing criteria and guidelines as may be required for the	58499
distribution of appropriation item 235-525, Geriatric Medicine.	58500

Section 375.50.20.  PRIMARY CARE RESIDENCIES

58501

The Board of Regents shall develop plans consistent with	58502
existing criteria and guidelines as may be required for the	58503
distribution of appropriation item 235-526, Primary Care	58504
Residencies.	58505

The foregoing appropriation item 235-526, Primary Care	58506
Residencies, shall be distributed in each fiscal year of the	58507
biennium, based on whether or not the institution has submitted	58508
and gained approval for a plan. If the institution does not have	58509
an approved plan, it shall receive five per cent less funding per	58510
student than it would have received from its annual allocation.	58511
The remaining funding shall be distributed among those	58512
institutions that meet or exceed their targets.	58513

Section 375.50.30. OHIO AEROSPACE INSTITUTE

58514

The foregoing appropriation item 235-527, Ohio Aerospace	58515
Institute, shall be distributed by the Board of Regents under	58516
section 3333.042 of the Revised Code.	58517

The Board of Regents, in consultation with the Third Frontier	58518
Commission, shall develop a plan for providing for appropriate,	58519
value-added participation of the Ohio Aerospace Institute in Third	58520
Frontier Project proposals and grants.	58521

Section 375.50.40. ACADEMIC SCHOLARSHIPS

58522

The foregoing appropriation item 235-530, Academic	58523
Scholarships, shall be used to provide academic scholarships to	58524
students under section 3333.22 of the Revised Code.	58525

Section 375.50.50. STUDENT CHOICE GRANTS

58526

The foregoing appropriation item 235-531, Student Choice	58527
Grants, shall be used to support supplemental need-based grants	58528
under section 3333.27 of the Revised Code.	58529

Section 375.50.60. OHIO AGRICULTURAL RESEARCH AND DEVELOPMENT	58530
CENTER	58531

The foregoing appropriation item 235-535, Ohio Agricultural	58532
Research and Development Center, shall be disbursed through the	58533
Board of Regents to The Ohio State University in monthly payments,	58534
unless otherwise determined by the Director of Budget and	58535
Management under section 126.09 of the Revised Code. The Ohio	58536
Agricultural Research and Development Center shall not be required	58537
to remit payment to The Ohio State University during the biennium	58538
ending June 30, 2009, for cost reallocation assessments. The cost	58539
reallocation assessments include, but are not limited to, any	58540
assessment on state appropriations to the Center.	58541

The Ohio Agricultural Research and Development Center, an	58542
entity of the College of Food, Agricultural, and Environmental	58543
Sciences of The Ohio State University, shall further its mission	58544
of enhancing Ohio's economic development and job creation by	58545
continuing to internally allocate on a competitive basis	58546
appropriated funding of programs based on demonstrated	58547
performance. Academic units, faculty, and faculty-driven programs	58548
shall be evaluated and rewarded consistent with agreed-upon	58549
performance expectations as called for in the College's	58550
Expectations and Criteria for Performance Assessment.	58551

Of the foregoing appropriation item 235-535, Ohio	58552
Agricultural Research and Development Center, $467,578 in each	58553
fiscal year shall be used to purchase equipment.	58554

Of the foregoing appropriation item 235-535, Ohio	58555
Agricultural Research and Development Center, $822,592 in each	58556
fiscal year shall be distributed to the Piketon Agricultural	58557
Research and Extension Center.	58558

Of the foregoing appropriation item 235-535, Ohio	58559
Agricultural Research and Development Center, $216,471 in each	58560
fiscal year shall be distributed to the	58561
Raspberry/Strawberry-Ellagic Acid Research program at The Ohio	58562
State University Medical College in cooperation with The Ohio	58563
State University College of Agriculture.	58564

Of the foregoing appropriation item 235-535, Ohio	58565
Agricultural Research and Development Center, $43,294 in each	58566
fiscal year shall be used to support the Ohio Berry Administrator.	58567

Of the foregoing appropriation item 235-535, Ohio	58568
Agricultural Research and Development Center, $86,588 in each	58569
fiscal year shall be used for the development of agricultural	58570
crops and products not currently in widespread production in Ohio,	58571
in order to increase the income and viability of family farmers.	58572

Of the foregoing appropriation item 235-535, Ohio	58573
Agricultural Research and Development Center, $127,500 in each	58574
fiscal year shall be distributed to Wilmington College for the	58575
commercialization of agricultural products.	58576

Section 375.50.70. STATE UNIVERSITY CLINICAL TEACHING

58577

The foregoing appropriation items 235-536, The Ohio State	58578
University Clinical Teaching; 235-537, University of Cincinnati	58579
Clinical Teaching; 235-538, University of Toledo Clinical	58580
Teaching; 235-539, Wright State University Clinical Teaching;	58581
235-540, Ohio University Clinical Teaching; and 235-541,	58582
Northeastern Ohio Universities College of Medicine Clinical	58583
Teaching, shall be distributed through the Board of Regents.	58584

Of the foregoing appropriation item 235-539, Wright State	58585
University Clinical Teaching, $124,644 in each fiscal year of the	58586
biennium shall be for the use of Wright State University's Ellis	58587
Institute for Clinical Teaching Studies to operate the clinical	58588
facility to serve the Greater Dayton area.	58589

Section 375.50.80. SCHOOL OF INTERNATIONAL BUSINESS

58590

Of the foregoing appropriation item 235-547, School of	58591
International Business, $250,000 in each fiscal year shall be used	58592
for the continued development and support of the School of	58593
International Business of the state universities of northeast	58594
Ohio. The money shall go to The University of Akron. These funds	58595
shall be used by the university to establish a School of	58596
International Business located at The University of Akron. It may	58597
confer with Kent State University, Youngstown State University,	58598
and Cleveland State University as to the curriculum and other	58599
matters regarding the school.	58600

Of the foregoing appropriation item 235-547, School of	58601
International Business, $100,000 in each fiscal year shall be used	58602
by the University of Toledo College of Business for expansion of	58603
its international business programs.	58604

Of the foregoing appropriation item 235-547, School of	58605
International Business, $100,000 in each fiscal year shall be used	58606
to support the Ohio State University BioMEMS program.	58607

Section 375.50.90. CAPITAL COMPONENT

58608

The foregoing appropriation item 235-552, Capital Component,	58609
shall be used by the Board of Regents to implement the capital	58610
funding policy for state-assisted colleges and universities	58611
established in Am. H.B. 748 of the 121st General Assembly.	58612
Appropriations from this item shall be distributed to all campuses	58613
for which the estimated campus debt service attributable to new	58614
qualifying capital projects is less than the campus's	58615
formula-determined capital component allocation. Campus	58616
allocations shall be determined by subtracting the estimated	58617
campus debt service attributable to new qualifying capital	58618
projects from the campus's formula-determined capital component	58619
allocation. Moneys distributed from this appropriation item shall	58620
be restricted to capital-related purposes.	58621

Any campus for which the estimated campus debt service	58622
attributable to qualifying capital projects is greater than the	58623
campus's formula-determined capital component allocation shall	58624
have the difference subtracted from its State Share of Instruction	58625
allocation in each fiscal year. The sum of all such amounts shall	58626
be transferred from appropriation item 235-501, State Share of	58627
Instruction, to appropriation item 235-552, Capital Component.	58628

Section 375.60.10. DAYTON AREA GRADUATE STUDIES INSTITUTE

58629

The foregoing appropriation item 235-553, Dayton Area	58630
Graduate Studies Institute, shall be used by the Board of Regents	58631
to support the Dayton Area Graduate Studies Institute, an	58632
engineering graduate consortium of three universities in the	58633
Dayton area: Wright State University, the University of Dayton,	58634
and the Air Force Institute of Technology, with the participation	58635
of the University of Cincinnati and The Ohio State University.	58636

Of the foregoing appropriation item 235-553, Dayton Area	58637
Graduate Studies Institute, $350,000 in each fiscal year shall be	58638
used by the Development Research Corporation to support	58639
collaborative research and technology commercialization	58640
initiatives in Ohio.	58641

Section 375.60.20. PRIORITIES IN COLLABORATIVE GRADUATE	58642
EDUCATION	58643

The foregoing appropriation item 235-554, Priorities in	58644
Collaborative Graduate Education, shall be used by the Board of	58645
Regents to support improvements in the Ph.D. computer science	58646
programs at state-assisted universities that the Board of Regents	58647
identifies as vital to the state's economic strategy. Each fiscal	58648
year, participating institutions shall collectively submit for	58649
Board of Regents approval a plan describing how they will work	58650
collaboratively to improve the quality of their graduate programs	58651
and how the funds are to be used for this purpose. The	58652
collaborative effort shall be coordinated by the Ohio	58653
Supercomputer Center as part of its School of Computational	58654
Science.	58655

Section 375.60.30. LIBRARY DEPOSITORIES

58656

The foregoing appropriation item, 235-555, Library	58657
Depositories, shall be distributed to the state's five regional	58658
depository libraries for the cost-effective storage of and access	58659
to lesser-used materials in university library collections. The	58660
distribution of funds shall be coordinated by the Board of	58661
Regents.	58662

Section 375.60.40. OHIO ACADEMIC RESOURCES NETWORK (OARNET)

58663

The foregoing appropriation item 235-556, Ohio Academic	58664
Resources Network, shall be used to support the operations of the	58665
Ohio Academic Resources Network, which shall include support for	58666
Ohio's state-assisted colleges and universities in maintaining and	58667
enhancing network connections and in using new network	58668
technologies to improve research, education, and economic	58669
development programs. The network shall give priority to	58670
supporting the Third Frontier Network and allocating bandwidth to	58671
programs directly supporting Ohio's economic development.	58672

Section 375.60.50. LONG-TERM CARE RESEARCH

58673

The foregoing appropriation item 235-558, Long-term Care	58674
Research, shall be disbursed to Miami University for long-term	58675
care research.	58676

Section 375.60.60. BOWLING GREEN STATE UNIVERSITY CANADIAN	58677
STUDIES CENTER	58678

The foregoing appropriation item 235-561, Bowling Green State	58679
University Canadian Studies Center, shall be used by the Canadian	58680
Studies Center at Bowling Green State University to study	58681
opportunities for Ohio and Ohio businesses to benefit from the	58682
Free Trade Agreement between the United States and Canada.	58683

Section 375.60.70.  OHIO COLLEGE OPPORTUNITY GRANT PHASE-IN

58684

The foregoing appropriation item 235-563, Ohio College	58685
Opportunity Grant, shall be used by the Board of Regents to begin	58686
to award needs-based financial aid to students based on the United	58687
States Department of Education's method of determining financial	58688
need. Students who enrolled in a public, private, or proprietary	58689
post-secondary institution of higher education for the first time	58690
in academic year 2006-2007, excluding early college high school	58691
and post-secondary enrollment option participants, shall be	58692
eligible to receive aid based on their expected family	58693
contributions as calculated by the United States Department of	58694
Education, according to section 3333.122 of the Revised Code.	58695

Eligible expenditures from the foregoing appropriation item	58696
235-563, Ohio College Opportunity Grant, shall be claimed each	58697
fiscal year to help meet the state's TANF maintenance of effort	58698
requirement. The Chancellor of the Board of Regents and the	58699
Director of Job and Family Services shall enter into an	58700
interagency agreement to carry out this paragraph, which shall	58701
include, but not be limited to, developing reporting guidelines	58702
for these expenditures.	58703

Section 375.60.80. CENTRAL STATE UNIVERSITY SPEED TO SCALE

58704

The foregoing appropriation 235-567, Central State University	58705
Speed to Scale, shall be used to achieve the goals of the Speed to	58706
Scale Plan, which include increasing student enrollment through	58707
freshman recruitment and transferred students, increasing the	58708
proportion of in-state students to 80 per cent of the total	58709
student population, and increasing the student retention rates	58710
between the first and second year of college. The goals shall be	58711
accomplished by targeting student retention, improved articulation	58712
agreements with two-year campuses, and strategic partnerships with	58713
research institutions to improve the quality of Central State	58714
University's offering of science, technology, engineering,	58715
mathematics, and medical instruction.	58716

This is hereby created the Speed to Scale Task Force that	58717
shall meet not less than quarterly to discuss progress of the	58718
plan, including performance on accountability metrics, issues	58719
experienced in planned efforts, and to monitor and support the	58720
creation of partnerships with other state institutions of higher	58721
education. The Task Force shall consist of the president of	58722
Central State University or the president's designee, the	58723
president of Sinclair Community College or the president's	58724
designee, the president of Cincinnati State Technical and	58725
Community College or the president's designee, the president of	58726
Cuyahoga Community College or the president's designee, The Ohio	58727
State University or the president's designee, the president of the	58728
University of Cincinnati or the president's designee, one	58729
representative from the Board of Regents, one member of the House	58730
of Representatives appointed by the Speaker of the House of	58731
Representatives, one member of the Senate appointed by the	58732
President of the Senate, the Director of Budget and Management or	58733
the director's designee, and a representative of the Governor's	58734
Office as appointed by the Governor.	58735

On the thirtieth day of June of each fiscal year, Central	58736
State University and the Speed to Scale Task Force shall jointly	58737
submit to the Governor, the Director of Budget and Management, the	58738
Speaker of the House of Representatives, the President of the	58739
Senate, and the Board of Regents a report describing the status of	58740
their progress on the accountability metrics included in the Speed	58741
to Scale plan.	58742

Section 375.60.90. HIGHER EDUCATION COMPACT

58743

The Board of Regents shall establish a Higher Education	58744
Compact for the purpose of increasing cooperation between the	58745
state and state-supported institutions of higher education,	58746
increasing efficiencies through collaboration in higher education,	58747
and making higher education more affordable at state-supported	58748
institutions of higher education. Participation in the compact	58749
shall require that state-supported institutions of higher	58750
education demonstrate one per cent savings through identified	58751
internal efficiencies in fiscal year 2008 and three per cent	58752
savings through identified internal efficiencies in fiscal year	58753
2009, as certified by the Chancellor of the Board of Regents.	58754
Participation in the compact shall also require that the boards of	58755
trustees of state-supported institutions of higher education	58756
restrain in-state undergraduate instructional and general fee	58757
increases. For the 2007-2008 academic year, a compact	58758
participating institution shall not increase its in-state	58759
undergraduate instructional and general fees over the amount	58760
charged in the 2006-2007 academic year. For the 2008-2009 academic	58761
year, a compact participating institution shall not increase its	58762
in-state undergraduate instructional and general fees by more than	58763
three per cent over the amount charged in the 2007-2008 academic	58764
year.	58765

These limitations shall not apply to increases required to	58766
comply with institutional covenants related to their obligations	58767
or to meet unfunded legal mandates or legally binding obligations	58768
incurred or commitments made prior to the effective date of this	58769
section with respect to which the institution had identified such	58770
fee increases as the source of funds. Any increase required by	58771
such covenants and any such mandates, obligations, or commitments	58772
shall be reported by the Board of Regents to the Controlling	58773
Board. These limitations may also be modified by the Board of	58774
Regents, with the approval of the Controlling Board, to respond to	58775
exceptional circumstances as identified by the Board of Regents.	58776

In consultation with state-supported institutions of higher	58777
education, the Chancellor of the Board of Regents shall establish	58778
a plan for the compact, review and certify the participation of	58779
state-supported institutions of higher education in the compact,	58780
distribute funds to state-supported institutions of higher	58781
education, and report on the compact to the Governor, the Speaker	58782
of the House of Representatives, the President of the Senate, and	58783
the minority leaders of the House of Representatives and the	58784
Senate.	58785

The foregoing appropriation item 235-568, Higher Education	58786
Compact, shall be distributed to state-supported institutions of	58787
higher education based upon each institution's proportional share	58788
of the state share of instruction funding provided under	58789
appropriation item 200-501, State Share of Instruction, and their	58790
adherence to the criteria set forth in the compact, as verified by	58791
the Chancellor of the Board of Regents. Any excess appropriations	58792
resulting from institutions not participating in the compact to	58793
the extent necessary to earn full amounts of their eligible	58794
allocations may be reallocated and disbursed by the Chancellor of	58795
the Board of Regents to institutions participating in the compact	58796
and achieving higher savings through internal efficiencies than	58797
required by the compact, as certified by the Chancellor of the	58798
Board of Regents. The Chancellor of the Board of Regents may set	58799
efficiency goals and adjust monthly payments in accordance with	58800
the adherence of each participating institution to the compact.	58801

Section 375.70.10. THE OHIO STATE UNIVERSITY CLINIC SUPPORT

58802

The foregoing appropriation item 235-572, The Ohio State	58803
University Clinic Support, shall be distributed through the Board	58804
of Regents to The Ohio State University for support of dental and	58805
veterinary medicine clinics.	58806

Section 375.70.20. URBAN UNIVERSITY PROGRAM

58807

Universities receiving funds from the foregoing appropriation	58808
item 235-583, Urban University Program, that are used to support	58809
an ongoing university unit shall certify periodically in a manner	58810
approved by the Board of Regents that program funds are being	58811
matched on a one-to-one basis with equivalent resources. Overhead	58812
support may not be used to meet this requirement. Where Urban	58813
University Program funds are being used to support an ongoing	58814
university unit, matching funds shall come from continuing rather	58815
than one-time sources. At each participating state-assisted	58816
institution of higher education, matching funds shall be within	58817
the substantial control of the individual designated by the	58818
institution's president as the Urban University Program	58819
representative.	58820

Of the foregoing appropriation item 235-583, Urban University	58821
Program, $117,215 in each fiscal year shall be used to support the	58822
Center for the Interdisciplinary Study of Education and the Urban	58823
Child at Cleveland State University. These funds shall be	58824
distributed according to rules adopted by the Board of Regents and	58825
shall be used by the center for interdisciplinary activities	58826
targeted toward increasing the chance of lifetime success of the	58827
urban child, including interventions beginning with the prenatal	58828
period. The primary purpose of the center is to study issues in	58829
urban education and to systematically map directions for new	58830
approaches and new solutions by bringing together a cadre of	58831
researchers, scholars, and professionals representing the social,	58832
behavioral, education, and health disciplines.	58833

Of the foregoing appropriation item 235-583, Urban University	58834
Program, $1,433,037 in each fiscal year shall be distributed by	58835
the Board of Regents to Cleveland State University in support of	58836
the Maxine Goodman Levin College of Urban Affairs.	58837

Of the foregoing appropriation item 235-583, Urban University	58838
Program, $1,433,037 in each fiscal year shall be distributed to	58839
the Northeast Ohio Research Consortium, the Urban Linkages	58840
Program, and the Urban Research Technical Assistance Grant	58841
Program. The distribution among the three programs shall be	58842
determined by the chair of the Urban University Program.	58843

Of the foregoing appropriation item 235-583, Urban University	58844
Program, $247,453 in each fiscal year shall be used to support a	58845
public communication outreach program (WCPN). The primary purpose	58846
of the program shall be to develop a relationship between	58847
Cleveland State University and nonprofit communications entities.	58848

Of the foregoing appropriation item 235-583, Urban University	58849
Program, $169,310 in each fiscal year shall be used to support the	58850
Kent State University Learning and Technology Project. This	58851
project is a kindergarten through university collaboration between	58852
schools surrounding Kent State University's eight campuses in	58853
northeast Ohio and corporate partners who will assist in	58854
development and delivery.	58855

The Kent State University Project shall provide a faculty	58856
member who has a full-time role in the development of	58857
collaborative activities and teacher instructional programming	58858
between Kent State University and the K-12th grade schools that	58859
surround its eight campuses; appropriate student support staff to	58860
facilitate these programs and joint activities; and hardware and	58861
software to schools that will make possible the delivery of	58862
instruction to pre-service and in-service teachers, and their	58863
students, in their own classrooms or school buildings. This shall	58864
involve the delivery of low-bandwidth streaming video and	58865
web-based technologies in a distributed instructional model.	58866

Of the foregoing appropriation item 235-583, Urban University	58867
Program, $65,119 in each fiscal year shall be used to support the	58868
Ameritech Classroom/Center for Research at Kent State University.	58869

Of the foregoing appropriation item 235-583, Urban University	58870
Program, $723,547 in each fiscal year shall be used to support the	58871
Polymer Distance Learning Project at the University of Akron.	58872

Of the foregoing appropriation item 235-583, Urban University	58873
Program, $32,560 in each fiscal year shall be distributed to the	58874
Kent State University/Cleveland Design Center program.	58875

Of the foregoing appropriation item 235-583, Urban University	58876
Program, $513,886 in each fiscal year shall be used to support the	58877
Bliss Institute of Applied Politics at the University of Akron.	58878

Of the foregoing appropriation item 235-583, Urban University	58879
Program, $10,851 in each fiscal year shall be used for the	58880
Advancing-Up Program at the University of Akron.	58881

Of the foregoing appropriation item 235-583, Urban University	58882
Program, $139,777 in each fiscal year shall be used to support the	58883
Strategic Economic Research Collaborative at the University of	58884
Toledo Urban Affairs Center.	58885

Of the foregoing appropriation item 235-583, Urban University	58886
Program, $139,777 in each fiscal year shall be used to support the	58887
Institute for Collaborative Research and Public Humanities at The	58888
Ohio State University.	58889

Of the foregoing appropriation item 235-583, Urban University	58890
Program, $300,368 in each fiscal year shall be used to support the	58891
Medina County University Center.	58892

Of the foregoing appropriation item 235-583, Urban University	58893
Program, $150,000 in each fiscal year shall be used to support the	58894
Ohio State University African American Studies program.	58895

Of the foregoing appropriation item 235-583, Urban University	58896
Program, $75,000 in each fiscal year shall be used to support	58897
education and technical training at the P.E. Henderson Sr. Center.	58898

Section 375.70.30. RURAL UNIVERSITY PROJECTS

58899

Of the foregoing appropriation item 235-587, Rural University	58900
Projects, Bowling Green State University shall receive $263,783 in	58901
each fiscal year, Miami University shall receive $245,320 in each	58902
fiscal year, and Ohio University shall receive $575,015 in each	58903
fiscal year. These funds shall be used to support the Institute	58904
for Local Government Administration and Rural Development at Ohio	58905
University, the Center for Public Management and Regional Affairs	58906
at Miami University, and the Center for Regional Development at	58907
Bowling Green State University.	58908

A small portion of the funds provided to Ohio University	58909
shall also be used for the Institute for Local Government	58910
Administration and Rural Development State and Rural Policy	58911
Partnership with the Governor's Office of Appalachia and the	58912
Appalachian delegation of the General Assembly.	58913

Of the foregoing appropriation item 235-587, Rural University	58914
Projects, $15,942 in each fiscal year shall be used to support the	58915
Washington State Community College day care center.	58916

Of the foregoing appropriation item 235-587, Rural University	58917
Projects, $47,829 in each fiscal year shall be used to support the	58918
COAD/ILGARD/GOA Appalachian Leadership Initiative.	58919

Section 375.70.40. HAZARDOUS MATERIALS PROGRAM

58920

The foregoing appropriation item 235-596, Hazardous Materials	58921
Program, shall be disbursed to Cleveland State University for the	58922
operation of a program to certify firefighters for the handling of	58923
hazardous materials. Training shall be available to all Ohio	58924
firefighters.	58925

Of the foregoing appropriation item 235-596, Hazardous	58926
Materials Program, $177,337 in each fiscal year shall be used to	58927
support the Center for the Interdisciplinary Study of Education	58928
and Leadership in Public Service at Cleveland State University.	58929
These funds shall be distributed by the Board of Regents and shall	58930
be used by the center targeted toward increasing the role of	58931
special populations in public service and not-for-profit	58932
organizations. The primary purpose of the center is to study	58933
issues in public service and to guide strategies for attracting	58934
new communities into public service occupations by bringing	58935
together a cadre of researchers, scholars, and professionals	58936
representing the public administration, social behavioral, and	58937
education disciplines.	58938

Section 375.70.50. NATIONAL GUARD SCHOLARSHIP PROGRAM

58939

The Board of Regents shall disburse funds from appropriation	58940
item 235-599, National Guard Scholarship Program, at the direction	58941
of the Adjutant General. During each fiscal year, the Board of	58942
Regents, within ten days of cancellation, may certify to the	58943
Director of Budget and Management the amount of canceled	58944
prior-year encumbrances in appropriation item 235-599, National	58945
Guard Scholarship Program. Upon receipt of the certification, the	58946
Director of Budget and Management may transfer an amount up to the	58947
certified amount from the General Revenue Fund to the National	58948
Guard Scholarship Reserve Fund (Fund 5BM). Upon the request of the	58949
Adjutant General, the Board of Regents shall seek Controlling	58950
Board approval to establish appropriations in item 235-623,	58951
National Guard Scholarship Reserve Fund. The Board of Regents	58952
shall disburse funds from appropriation item 235-623, National	58953
Guard Scholarship Reserve Fund, at the direction of the Adjutant	58954
General.	58955

*       Section 375.70.60. PLEDGE OF FEES

58956

Any new pledge of fees, or new agreement for adjustment of	58957
fees, made in the biennium ending June 30, 2009, to secure bonds	58958
or notes of a state-assisted institution of higher education for a	58959
project for which bonds or notes were not outstanding on the	58960
effective date of this section shall be effective only after	58961
approval by the Board of Regents, unless approved in a previous	58962
biennium.	58963

Section 375.70.70. HIGHER EDUCATION GENERAL OBLIGATION DEBT	58964
SERVICE	58965

The foregoing appropriation item 235-909, Higher Education	58966
General Obligation Debt Service, shall be used to pay all debt	58967
service and related financing costs at the times they are required	58968
to be made for obligations issued during the period from July 1,	58969
2007, to June 30, 2009, under sections 151.01 and 151.04 of the	58970
Revised Code.	58971

Section 375.70.80. SALES AND SERVICES

58972

The Board of Regents is authorized to charge and accept	58973
payment for the provision of goods and services. Such charges	58974
shall be reasonably related to the cost of producing the goods and	58975
services. No charges may be levied for goods or services that are	58976
produced as part of the routine responsibilities or duties of the	58977
Board. All revenues received by the Board of Regents shall be	58978
deposited into Fund 456, and may be used by the Board of Regents	58979
to pay for the costs of producing the goods and services.	58980

Section 375.70.90.  OHIO HIGHER EDUCATIONAL FACILITY	58981
COMMISSION SUPPORT	58982

The foregoing appropriation item 235-602, Higher Educational	58983
Facility Commission Administration, shall be used by the Board of	58984
Regents for operating expenses related to the Board of Regents'	58985
support of the activities of the Ohio Higher Educational Facility	58986
Commission. Upon the request of the chancellor, the Director of	58987
Budget and Management shall transfer up to $50,000 cash in fiscal	58988
year 2008 and up to $45,000 cash in fiscal year 2009 from Fund 461	58989
to Fund 4E8.	58990

Section 375.80.10. PHYSICIAN LOAN REPAYMENT

58991

The foregoing appropriation item 235-604, Physician Loan	58992
Repayment, shall be used in accordance with sections 3702.71 to	58993
3702.81 of the Revised Code.	58994

Section 375.80.20. NURSING LOAN PROGRAM

58995

The foregoing appropriation item 235-606, Nursing Loan	58996
Program, shall be used to administer the nurse education	58997
assistance program. Up to $159,600 in fiscal year 2008 and	58998
$167,580 in fiscal year 2009 may be used for operating expenses	58999
associated with the program. Any additional funds needed for the	59000
administration of the program are subject to Controlling Board	59001
approval.	59002

Section 375.80.30. REPAYMENT OF RESEARCH FACILITY INVESTMENT	59003
FUND MONEYS	59004

Notwithstanding any provision of law to the contrary, all	59005
repayments of Research Facility Investment Fund loans shall be	59006
made to the Bond Service Trust Fund. All Research Facility	59007
Investment Fund loan repayments made prior to the effective date	59008
of this section shall be transferred by the Director of Budget and	59009
Management to the Bond Service Trust Fund within sixty days after	59010
the effective date of this section.	59011

Campuses shall make timely repayments of Research Facility	59012
Investment Fund loans, according to the schedule established by	59013
the Board of Regents. In the case of late payments, the Board of	59014
Regents may deduct from an institution's periodic subsidy	59015
distribution an amount equal to the amount of the overdue payment	59016
for that institution, transfer such amount to the Bond Service	59017
Trust Fund, and credit the appropriate institution for the	59018
repayment.	59019

Section 375.80.40. VETERANS' PREFERENCES

59020

The Board of Regents shall work with the Governor's Office of	59021
Veterans' Affairs to develop specific veterans' preference	59022
guidelines for higher education institutions. These guidelines	59023
shall ensure that the institutions' hiring practices are in	59024
accordance with the intent of Ohio's veterans' preference laws.	59025

Section 375.80.50. STATE NEED-BASED FINANCIAL AID	59026
RECONCILIATION	59027

By the first day of August in each fiscal year, or as soon	59028
thereafter as possible, the Ohio Board of Regents shall certify to	59029
the Director of Budget and Management the amount necessary to pay	59030
any outstanding prior year obligations to higher education	59031
institutions for the state's need-based financial aid programs.	59032
The amounts certified are hereby appropriated to appropriation	59033
item 235-618, State Need-based Financial Aid Reconciliation, from	59034
revenues received in the State Need-based Financial Aid	59035
Reconciliation Fund (Fund 5Y5).	59036

Section 375.80.60. TRANSFERS TO STATE NEED-BASED FINANCIAL	59037
AID PROGRAMS	59038

In each fiscal year of the biennium, if the Chancellor of the	59039
Board of Regents determines that additional funds are needed to	59040
support the distribution of state need-based financial aid in	59041
accordance with sections 3333.12 and 3333.122 of the Revised Code,	59042
the Chancellor shall recommend the reallocation of unencumbered	59043
and unobligated appropriation balances of General Revenue Fund	59044
appropriation items in the Board of Regents to GRF appropriation	59045
items 235-503, Ohio Instructional Grants, and 235-563, Ohio	59046
College Opportunity Grant. If the Director of Budget and	59047
Management determines that such a reallocation is required, the	59048
Director may transfer those identified unencumbered and	59049
unobligated funds in the Board of Regents as necessary to GRF	59050
appropriation items 235-503, Ohio Instructional Grants, and	59051
235-563, Ohio College Opportunity Grant. The amounts transferred	59052
to appropriation items 235-503, Ohio Instructional Grants, and	59053
235-563, Ohio College Opportunity Grant, are hereby appropriated.	59054
If those unencumbered and unobligated funds are not sufficient to	59055
support the distribution of state need-based financial aid in	59056
accordance with sections 3333.12 and 3333.122 of the Revised Code	59057
in each fiscal year, the Director of Budget and Management may	59058
increase the appropriation from the General Revenue Fund of	59059
appropriation items 235-503, Ohio Instructional Grants, and	59060
235-563, Ohio College Opportunity Grant, in each fiscal year. The	59061
combined increase to appropriation items 235-503, Ohio	59062
Instructional Grants, and 235-563, Ohio College Opportunity Grant,	59063
authorized under this section shall not exceed $5,000,000 in total	59064
for the purpose of need-based financial aid in each fiscal year of	59065
the biennium.	59066

Section 377.10.  DRC DEPARTMENT OF REHABILITATION AND	59067
CORRECTION	59068

General Revenue Fund											59069
GRF	501-321		Institutional Operations		$	892,162,864		$	928,980,197		59070
GRF	501-403		Prisoner Compensation		$	8,599,255		$	8,599,255		59071
GRF	501-405		Halfway House		$	41,214,205		$	41,214,205		59072
GRF	501-406		Lease Rental Payments		$	107,607,100		$	109,224,900		59073
GRF	501-407		Community Nonresidential Programs		$	16,514,626		$	16,547,367		59074
GRF	501-408		Community Misdemeanor Programs		$	9,313,076		$	9,313,076		59075
GRF	501-501		Community Residential Programs - CBCF		$	57,104,132		$	57,104,132		59076
GRF	502-321		Mental Health Services		$	75,112,063		$	78,405,363		59077
GRF	503-321		Parole and Community Operations		$	79,296,672		$	82,739,767		59078
GRF	504-321		Administrative Operations		$	27,599,198		$	28,703,273		59079
GRF	505-321		Institution Medical Services		$	199,073,620		$	198,337,805		59080
GRF	506-321		Institution Education Services		$	23,784,868		$	24,847,502		59081
GRF	507-321		Institution Recovery Services		$	7,319,028		$	7,664,520		59082
TOTAL GRF General Revenue Fund					$	1,544,700,707		$	1,591,681,362		59083

General Services Fund Group

59084

148	501-602		Services and Agricultural		$	104,485,807		$	108,290,058		59085
200	501-607		Ohio Penal Industries		$	39,395,391		$	40,845,414		59086
4B0	501-601		Sewer Treatment Services		$	2,331,003		$	2,407,018		59087
4D4	501-603		Prisoner Programs		$	20,967,703		$	20,967,703		59088
4L4	501-604		Transitional Control		$	2,051,451		$	2,051,451		59089
4S5	501-608		Education Services		$	4,564,072		$	4,564,072		59090
483	501-605		Property Receipts		$	393,491		$	393,491		59091
5AF	501-609		State and Non-Federal Awards		$	262,718		$	262,718		59092
5H8	501-617		Offender Financial Responsibility		$	2,500,000		$	2,500,000		59093
5L6	501-611		Information Technology Services		$	3,741,980		$	3,741,980		59094
571	501-606		Training Academy Receipts		$	75,190		$	75,190		59095
593	501-618		Laboratory Services		$	5,799,999		$	5,799,999		59096
TOTAL GSF General Services Fund Group					$	186,568,805		$	191,899,094		59097

Federal Special Revenue Fund Group

59098

3S1	501-615		Truth-In-Sentencing Grants		$	8,709,142		$	8,709,142		59099
323	501-619		Federal Grants		$	12,198,353		$	12,198,353		59100
3CJ	501-621		Medicaid Inpatient Services		$	11,600,000		$	15,500,000		59101
TOTAL FED Federal Special Revenue											59102
Fund Group					$	32,507,495		$	36,407,495		59103

TOTAL ALL BUDGET FUND GROUPS

$

1,763,777,007

$

1,819,987,951

59104

OHIO BUILDING AUTHORITY LEASE PAYMENTS

59105

The foregoing appropriation item 501-406, Lease Rental	59106
Payments, shall be used to meet all payments during the period	59107
from July 1, 2007, to June 30, 2009, under the primary leases and	59108
agreements for those buildings made under Chapter 152. of the	59109
Revised Code. These appropriations are the source of funds pledged	59110
for bond service charges or obligations issued pursuant to Chapter	59111
152. of the Revised Code.	59112

PRISONER COMPENSATION

59113

Money from the foregoing appropriation item 501-403, Prisoner	59114
Compensation, shall be transferred on a quarterly basis by	59115
intrastate transfer voucher to the Services and Agricultural Fund	59116
(Fund 148) for the purposes of paying prisoner compensation.	59117

HIV/AIDS TESTING REENTRY PILOT PROGRAM

59118

Of the foregoing appropriation item 505-321, Institution	59119
Medical Services, up to $250,000 in each fiscal year shall be used	59120
for the HIV/AIDS testing re-entry pilot program at the Mansfield	59121
Correctional Institution. Prior to a prisoner's release from	59122
custody at the Mansfield Correctional Institution under the	59123
control of the Department of Rehabilitation and Correction, the	59124
department shall examine and test a prisoner for HIV infection and	59125
any sexually transmitted disease. The department may examine and	59126
test involuntarily a prisoner who refuses to be tested.	59127

Section 379.10. RSC REHABILITATION SERVICES COMMISSION

59128

General Revenue Fund

59129

GRF	415-100		Personal Services		$	8,851,468		$	8,851,468		59130
GRF	415-402		Independent Living Council		$	450,000		$	450,000		59131
GRF	415-406		Assistive Technology		$	47,531		$	47,531		59132
GRF	415-431		Office for People with Brain Injury		$	226,012		$	226,012		59133
GRF	415-502		System Reform		$	0		$	230,000		59134
GRF	415-506		Services for People with Disabilities		$	15,059,541		$	15,059,541		59135
GRF	415-508		Services for the Deaf		$	50,000		$	50,000		59136
TOTAL GRF General Revenue Fund					$	24,684,552		$	24,914,552		59137

General Services Fund Group

59138

4W5	415-606		Program Management Expenses		$	18,123,188		$	18,557,040		59139
467	415-609		Business Enterprise Operating Expenses		$	1,632,082		$	1,632,082		59140
TOTAL GSF General Services											59141
Fund Group					$	19,755,270		$	20,189,122		59142

Federal Special Revenue Fund Group

59143

3L1	415-601		Social Security Personal Care Assistance		$	3,743,740		$	3,743,740		59144
3L1	415-608		Social Security Vocational Rehabilitation		$	2,256,260		$	2,256,260		59145
3L4	415-612		Federal Independent Living Centers or Services		$	648,908		$	648,908		59146
3L4	415-615		Federal - Supported Employment		$	884,451		$	796,006		59147
3L4	415-617		Independent Living/Vocational Rehabilitation Programs		$	1,490,944		$	1,490,944		59148
317	415-620		Disability Determination		$	82,808,006		$	87,546,215		59149
379	415-616		Federal - Vocational Rehabilitation		$	122,484,545		$	123,638,578		59150
TOTAL FED Federal Special											59151
Revenue Fund Group					$	214,316,854		$	220,120,651		59152

State Special Revenue Fund Group

59153

4L1	415-619		Services for Rehabilitation		$	3,765,337		$	4,500,000		59154
468	415-618		Third Party Funding		$	906,910		$	906,910		59155
TOTAL SSR State Special											59156
Revenue Fund Group					$	4,672,247		$	5,406,910		59157
TOTAL ALL BUDGET FUND GROUPS					$	263,428,923		$	270,631,235		59158

INDEPENDENT LIVING COUNCIL

59159

The foregoing appropriation item 415-402, Independent Living	59160
Council, shall be used to fund the operations of the State	59161
Independent Living Council and shall be used to support state	59162
independent living centers and independent living services under	59163
Title VII of the Independent Living Services and Centers for	59164
Independent Living of the Rehabilitation Act Amendments of 1992,	59165
106 Stat. 4344, 29 U.S.C. 796d.	59166

OFFICE FOR PEOPLE WITH BRAIN INJURY

59167

Of the foregoing appropriation item 415-431, Office for	59168
People with Brain Injury, up to $50,000 in each fiscal year shall	59169
be used for the state match for a federal grant awarded through	59170
the Traumatic Brain Injury Act, Pub. L. No. 104-166, and up to	59171
$50,000 in each fiscal year shall be provided to the Brain Injury	59172
Trust Fund. The remaining appropriation shall be used to plan and	59173
coordinate head-injury-related services provided by state agencies	59174
and other government or private entities, to assess the needs for	59175
such services, and to set priorities in this area.	59176

SYSTEM REFORM

59177

Following receipt of a performance review performed by the	59178
Office of Budget and Management, the Director of the	59179
Rehabilitation Services Commission shall develop a plan for the	59180
use of appropriation item 415-502, System Reform. Following	59181
approval of the plan by the Director of Budget and Management, the	59182
Rehabilitation Services Commission may begin expending the dollars	59183
appropriated to appropriation item 415-502, System Reform.	59184

VOCATIONAL REHABILITATION SERVICES

59185

The foregoing appropriation item 415-506, Services for People	59186
with Disabilities, shall be used as state matching funds to	59187
provide vocational rehabilitation services to eligible consumers.	59188

PROGRAM MANAGEMENT EXPENSES

59189

The foregoing appropriation item 415-606, Program Management	59190
Expenses, shall be used to support the administrative functions of	59191
the commission related to the provision of vocational	59192
rehabilitation, disability determination services, and ancillary	59193
programs.	59194

INDEPENDENT LIVING/VOCATIONAL REHABILITATION PROGRAMS

59195

The foregoing appropriation item 415-617, Independent	59196
Living/Vocational Rehabilitation Programs, shall be used to	59197
support vocational rehabilitation programs.	59198

SOCIAL SECURITY REIMBURSEMENT FUNDS

59199

Reimbursement funds received from the Social Security	59200
Administration, United States Department of Health and Human	59201
Services, for the costs of providing services and training to	59202
return disability recipients to gainful employment shall be used	59203
in the Social Security Reimbursement Fund (Fund 3L1), to the	59204
extent funds are available, as follows:	59205

(A) Appropriation item 415-601, Social Security Personal Care	59206
Assistance, to provide personal care services in accordance with	59207
section 3304.41 of the Revised Code;	59208

(B) Appropriation item 415-608, Social Security Vocational	59209
Rehabilitation, to provide vocational rehabilitation services to	59210
individuals with severe disabilities who are Social Security	59211
beneficiaries, to enable them to achieve competitive employment.	59212
This appropriation item also includes funds to assist the Personal	59213
Care Assistance Program to pay its share of indirect costs as	59214
mandated by federal OMB Circular A-87.	59215

Section 381.10. RCB RESPIRATORY CARE BOARD

59216

General Services Fund Group

59217

4K9	872-609		Operating Expenses		$	491,628		$	481,768		59218
TOTAL GSF General Services											59219
Fund Group					$	491,628		$	481,768		59220
TOTAL ALL BUDGET FUND GROUPS					$	491,628		$	481,768		59221

Section 383.10. RDF REVENUE DISTRIBUTION FUNDS

59223

Volunteer Firefighters' Dependents Fund

59224

085	800-900		Volunteer Firefighters' Dependents Fund		$	300,000		$	300,000		59225
TOTAL 085 Volunteer Firefighters'											59226
Dependents Fund					$	300,000		$	300,000		59227
Agency Fund Group											59228
062	110-962		Resort Area Excise Tax		$	1,000,000		$	1,000,000		59229
063	110-963		Permissive Tax Distribution		$	1,778,662,000		$	1,849,000,000		59230
067	110-967		School District Income Tax		$	325,000,000		$	350,000,000		59231
4P8	001-698		Cash Management Improvement Fund		$	3,050,000		$	3,100,000		59232
608	001-699		Investment Earnings		$	250,000,000		$	250,000,000		59233
TOTAL AGY Agency Fund Group					$	2,357,712,000		$	2,453,100,000		59234

Holding Account Redistribution

59235

R45	110-617		International Fuel Tax Distribution		$	50,000,000		$	50,000,000		59236
TOTAL 090 Holding Account Redistribution Fund					$	50,000,000		$	50,000,000		59237
Revenue Distribution Fund Group											59238
049	038-900		Indigent Drivers Alcohol Treatment		$	1,797,000		$	1,832,000		59239
050	762-900		International Registration Plan Distribution		$	54,475,631		$	55,565,143		59240
051	762-901		Auto Registration Distribution		$	500,000,000		$	539,000,000		59241
054	110-954		Local Government Property Tax Replacement - Utility		$	93,250,000		$	95,125,000		59242
060	110-960		Gasoline Excise Tax Fund		$	375,000,000		$	375,000,000		59243
064	110-964		Local Government Revenue Assistance		$	42,400,000		$	0		59244
065	110-965		Library/Local Government Support Fund		$	207,200,000		$	0		59245
066	800-900		Undivided Liquor Permits		$	13,500,000		$	13,500,000		59246
068	110-968		State and Local Government Highway Distribution		$	240,250,000		$	242,500,000		59247
069	110-969		Local Government Fund		$	298,700,000		$	0		59248
081	110-981		Local Government Property Tax Replacement-Business		$	262,500,000		$	366,800,000		59249
082	110-982		Horse Racing Tax		$	125,000		$	130,000		59250
083	700-900		Ohio Fairs Fund		$	2,277,000		$	2,325,000		59251
091	110-991		Local Communities		$	430,600,000		$	782,800,000		59252
092	110-992		Local Libraries		$	251,700,000		$	462,800,000		59253
TOTAL RDF Revenue Distribution											59254
Fund Group					$	2,773,774,631		$	2,937,377,143		59255
TOTAL ALL BUDGET FUND GROUPS					$	5,181,786,631		$	5,440,777,143		59256

ADDITIONAL APPROPRIATIONS

59257

Appropriation items in this section shall be used for the	59258
purpose of administering and distributing the designated revenue	59259
distribution funds according to the Revised Code. If it is	59260
determined that additional appropriations are necessary for this	59261
purpose, such amounts are appropriated.	59262

GENERAL REVENUE FUND TRANSFERS TO LOCAL GOVERNMENT PROPERTY	59263
TAX REPLACEMENT – BUSINESS (FUND 081)	59264

Notwithstanding any provision of law to the contrary, in	59265
fiscal year 2008 and fiscal year 2009, the Director of Budget and	59266
Management may transfer from the General Revenue Fund to the Local	59267
Government Property Tax Replacement – Business (Fund 081) in the	59268
Revenue Distribution Fund, those amounts necessary to reimburse	59269
local taxing units under section 5751.22 of the Revised Code.	59270
Also, in fiscal year 2008 and fiscal year 2009, the Director of	59271
Budget and Management may make temporary transfers from the	59272
General Revenue Fund to ensure sufficient balances in the Local	59273
Government Property Tax Replacement - Business Fund (Fund 081) and	59274
to replenish the General Revenue Fund for such transfers.	59275

Section 385.10. SAN BOARD OF SANITARIAN REGISTRATION

59276

General Services Fund Group

59277

4K9	893-609		Operating Expenses		$	138,551		$	138,551		59278
TOTAL GSF General Services											59279
Fund Group					$	138,551		$	138,551		59280
TOTAL ALL BUDGET FUND GROUPS					$	138,551		$	138,551		59281

Section 387.10.  OSB OHIO STATE SCHOOL FOR THE BLIND

59283

General Revenue Fund

59284

GRF	226-100		Personal Services		$	7,093,127		$	7,519,318		59285
GRF	226-200		Maintenance		$	704,154		$	704,154		59286
GRF	226-300		Equipment		$	113,288		$	113,288		59287
TOTAL GRF General Revenue Fund					$	7,910,569		$	8,336,760		59288

General Services Fund Group

59289

4H8	226-602		School Improvement Grants		$	37,514		$	37,514		59290
TOTAL GSF General Services											59291
Fund Group					$	37,514		$	37,514		59292

Federal Special Revenue Fund Group

59293

3P5	226-643		Medicaid Services Reimbursement		$	50,000		$	50,000		59294
310	226-626		Multi-Handicapped Student Support		$	2,527,105		$	2,527,105		59295
TOTAL FED Federal Special											59296
Revenue Fund Group					$	2,577,105		$	2,577,105		59297

State Special Revenue Fund Group

59298

4M5	226-601		Work Study and Donations		$	217,397		$	217,397		59299
TOTAL SSR State Special Revenue											59300
Fund Group					$	217,397		$	217,397		59301
TOTAL ALL BUDGET FUND GROUPS					$	10,742,585		$	11,168,776		59302

Section 389.10.  OSD OHIO SCHOOL FOR THE DEAF

59304

General Revenue Fund

59305

GRF	221-100		Personal Services		$	8,775,363		$	9,263,862		59306
GRF	221-200		Maintenance		$	1,033,092		$	1,033,092		59307
GRF	221-300		Equipment		$	222,500		$	222,500		59308
TOTAL GRF General Revenue Fund					$	10,030,955		$	10,519,454		59309

General Services Fund Group

59310

4M1	221-602		School Improvement Grants		$	38,000		$	38,000		59311
TOTAL GSF General Services											59312
Fund Group					$	38,000		$	38,000		59313

Federal Special Revenue Fund Group

59314

3AD	221-604		VREAL Ohio		$	25,000		$	25,000		59315
3R0	221-684		Medicaid Services		$	34,999		$	34,999		59316
			Reimbursement								59317
3Y1	221-686		Federal Early Childhood Grant		$	250,000		$	250,000		59318
311	221-625		Statewide Outreach		$	2,470,135		$	2,470,135		59319
TOTAL FED Federal Special											59320
Revenue Fund Group					$	2,780,134		$	2,780,134		59321

State Special Revenue Fund Group

59322

4M0	221-601		Work Study and Donations		$	95,000		$	95,000		59323
5H6	221-609		Preschool Program Support		$	127,832		$	125,358		59324
TOTAL SSR State Special Revenue											59325
Fund Group					$	222,832		$	220,358		59326
TOTAL ALL BUDGET FUND GROUPS					$	13,071,921		$	13,557,946		59327

Section 391.10.  SFC SCHOOL FACILITIES COMMISSION

59329

General Revenue Fund

59330

GRF	230-428		Lease Rental Payments		$	22,702,000		$	0		59331
GRF	230-908		Common Schools General Obligation Debt Service		$	284,768,400		$	339,648,300		59332
TOTAL GRF General Revenue Fund					$	307,470,400		$	339,648,300		59333

State Special Revenue Fund Group

59334

5E3	230-644		Operating Expenses		$	7,749,813		$	7,786,197		59335
TOTAL SSR State Special Revenue											59336
Fund Group					$	7,749,813		$	7,786,197		59337
TOTAL ALL BUDGET FUND GROUPS					$	315,220,213		$	347,434,497		59338

Section 391.20. LEASE RENTAL PAYMENTS

59340

The foregoing appropriation item 230-428, Lease Rental	59341
Payments, shall be used to meet all payments at the times they are	59342
required to be made during the period from July 1, 2007, to June	59343
30, 2009, by the Ohio School Facilities Commission under leases	59344
and agreements made under section 3318.26 of the Revised Code.	59345

COMMON SCHOOLS GENERAL OBLIGATION DEBT SERVICE

59346

The foregoing appropriation item 230-908, Common Schools	59347
General Obligation Debt Service, shall be used to pay all debt	59348
service and related financing costs at the times they are required	59349
to be made for obligations issued during the period from July 1,	59350
2007, through June 30, 2009, under sections 151.01 and 151.03 of	59351
the Revised Code.	59352

OPERATING EXPENSES

59353

The foregoing appropriation item 230-644, Operating Expenses,	59354
shall be used by the Ohio School Facilities Commission to carry	59355
out its responsibilities under this section and Chapter 3318. of	59356
the Revised Code.	59357

In both fiscal years 2008 and 2009, the Executive Director of	59358
the Ohio School Facilities Commission shall certify on a quarterly	59359
basis to the Director of Budget and Management the amount of cash	59360
from interest earnings to be transferred from the School Building	59361
Assistance Fund (Fund 032), the Public School Building Fund (Fund	59362
021), and the Educational Facilities Trust Fund (Fund N87) to the	59363
Ohio School Facilities Commission Fund (Fund 5E3). The amount	59364
transferred from the School Building Assistance Fund (Fund 032)	59365
may not exceed investment earnings credited to the fund, less any	59366
amount required to be paid for federal arbitrage rebate purposes.	59367

SCHOOL FACILITIES ENCUMBRANCES AND REAPPROPRIATION

59368

At the request of the Executive Director of the Ohio School	59369
Facilities Commission, the Director of Budget and Management may	59370
cancel encumbrances for school district projects from a previous	59371
biennium if the district has not raised its local share of project	59372
costs within one year of receiving Controlling Board approval	59373
under section 3318.05 of the Revised Code. The Executive Director	59374
of the Ohio School Facilities Commission shall certify the amounts	59375
of the canceled encumbrances to the Director of Budget and	59376
Management on a quarterly basis. The amounts of the canceled	59377
encumbrances are hereby appropriated.	59378

Section 391.30. EXTREME ENVIRONMENTAL CONTAMINATION OF SCHOOL	59379
FACILITIES	59380

Notwithstanding any other provision of law to the contrary,	59381
the Ohio School Facilities Commission may provide assistance under	59382
the Exceptional Needs School Facilities Program established in	59383
section 3318.37 of the Revised Code to any school district, and	59384
not exclusively to a school district in the lowest seventy-five	59385
per cent of adjusted valuation per pupil on the current ranking of	59386
school districts established under section 3317.02 of the Revised	59387
Code, for the purpose of the relocation or replacement of school	59388
facilities required as a result of extreme environmental	59389
contamination.	59390

The Ohio School Facilities Commission shall contract with an	59391
independent environmental consultant to conduct a study and to	59392
report to the commission as to the seriousness of the	59393
environmental contamination, whether the contamination violates	59394
applicable state and federal standards, and whether the facilities	59395
are no longer suitable for use as school facilities. The	59396
commission then shall make a determination regarding funding for	59397
the relocation or replacement of the school facilities. If the	59398
federal government or other public or private entity provides	59399
funds for restitution of costs incurred by the state or school	59400
district in the relocation or replacement of the school	59401
facilities, the school district shall use such funds in excess of	59402
the school district's share to refund the state for the state's	59403
contribution to the environmental contamination portion of the	59404
project. The school district may apply an amount of such	59405
restitution funds up to an amount equal to the school district's	59406
portion of the project, as defined by the commission, toward	59407
paying its portion of that project to reduce the amount of bonds	59408
the school district otherwise must issue to receive state	59409
assistance under sections 3318.01 to 3318.20 of the Revised Code.	59410

Section 391.40.  CANTON CITY SCHOOL DISTRICT PROJECT

59411

(A) The Ohio School Facilities Commission may commit up to	59412
thirty-five million dollars to the Canton City School District for	59413
construction of a facility described in this section, in lieu of a	59414
high school that would otherwise be authorized under Chapter 3318.	59415
of the Revised Code. The Commission shall not commit funds under	59416
this section unless all of the following conditions are met:	59417

(1) The District has entered into a cooperative agreement	59418
with a state-assisted technical college.	59419

(2) The District has received an irrevocable commitment of	59420
additional funding from nonpublic sources.	59421

(3) The facility is intended to serve both secondary and	59422
postsecondary instructional purposes.	59423

(B) The Commission shall enter into an agreement with the	59424
District for the construction of the facility authorized under	59425
this section that is separate from and in addition to the	59426
agreement required for the District's participation in the	59427
Classroom Facilities Assistance Program under section 3318.08 of	59428
the Revised Code. Notwithstanding that section and sections	59429
3318.03, 3318.04, and 3318.083 of the Revised Code, the additional	59430
agreement shall provide, but not be limited to, the following:	59431

(1) The Commission shall not have any oversight	59432
responsibilities over the construction of the facility.	59433

(2) The facility need not comply with the specifications for	59434
plans and materials for high schools adopted by the Commission.	59435

(3) The Commission may decrease the basic project cost that	59436
would otherwise be calculated for a high school under Chapter	59437
3318. of the Revised Code.	59438

(4) The state shall not share in any increases in the basic	59439
project cost for the facility above the amount authorized under	59440
this section.	59441

All other provisions of Chapter 3318. of the Revised Code	59442
apply to the approval and construction of a facility authorized	59443
under this section.	59444

The state funds committed to the facility authorized by this	59445
section shall be part of the total amount the state commits to the	59446
Canton City School District under Chapter 3318. of the Revised	59447
Code. All additional state funds committed to the Canton City	59448
School District for classroom facilities assistance shall be	59449
subject to all provisions of Chapter 3318. of the Revised Code.	59450

Section 391.50. CAREER-TECHNICAL LOAN PROGRAM

59451

Within thirty days after the effective date of this section,	59452
or as soon as possible thereafter, the Executive Director of the	59453
Ohio School Facilities Commission shall certify the cash balance	59454
in the Career-Technical School Building Assistance Fund (Fund 020)	59455
to the Director of Budget and Management, who shall transfer that	59456
amount to the Public School Building Fund (Fund 021) and abolish	59457
the Career-Technical School Building Assistance Fund (Fund 020).	59458

All repayments of current loans approved under section	59459
3318.48 of the Revised Code, which is repealed by this act, shall	59460
be deposited to the credit of the Public School Building Fund	59461
(Fund 021). Should a district fail to submit the annual	59462
installment of the loan repayment within sixty days after the due	59463
date, the Department of Education, upon the request of the	59464
Executive Director of the Ohio School Facilities Commission, shall	59465
deduct the amount of the installment from payments due to a	59466
district under Chapter 3317. of the Revised Code or from any other	59467
funds appropriated to the district by the General Assembly, and	59468
shall transfer that amount to the Commission to the credit of the	59469
Public School Building Fund (Fund 021).	59470

Section 393.10. SOS SECRETARY OF STATE

59471

General Revenue Fund

59472

GRF	050-321		Operating Expenses		$	2,585,000		$	2,585,000		59473
GRF	050-403		Election Statistics		$	103,936		$	103,936		59474
GRF	050-407		Pollworkers Training		$	277,997		$	277,997		59475
GRF	050-409		Litigation Expenditures		$	4,652		$	4,652		59476
TOTAL GRF General Revenue Fund					$	2,971,585		$	2,971,585		59477

General Services Fund Group

59478

4S8	050-610		Board of Voting Machine Examiners		$	7,200		$	7,200		59479
412	050-609		Notary Commission		$	685,249		$	685,249		59480
413	050-601		Information Systems		$	119,955		$	119,955		59481
414	050-602		Citizen Education Fund		$	55,712		$	55,712		59482
TOTAL General Services Fund Group					$	868,116		$	868,116		59483

Federal Special Revenue Fund Group

59484

3AH	050-614		Election Reform/Health and Human Services		$	1,000,000		$	1,000,000		59485
3AS	050-616		2005 HAVA Voting Machines		$	3,750,000		$	3,750,000		59486
3X4	050-612		Ohio Center/Law Related Educational Grant		$	41,000		$	41,000		59487
TOTAL FED Federal Special Revenue											59488
Fund Group					$	4,791,000		$	4,791,000		59489

State Special Revenue Fund Group

59490

5N9	050-607		Technology Improvements		$	129,565		$	129,565		59491
599	050-603		Business Services Operating Expenses		$	13,761,734		$	13,761,734		59492
TOTAL SSR State Special Revenue											59493
Fund Group					$	13,891,299		$	13,891,299		59494

Holding Account Redistribution Fund Group

59495

R01	050-605		Uniform Commercial Code Refunds		$	30,000		$	30,000		59496
R02	050-606		Corporate/Business Filing Refunds		$	85,000		$	85,000		59497
TOTAL 090 Holding Account											59498
Redistribution Fund Group					$	115,000		$	115,000		59499
TOTAL ALL BUDGET FUND GROUPS					$	22,637,000		$	22,637,000		59500

BOARD OF VOTING MACHINE EXAMINERS

59501

The foregoing appropriation item 050-610, Board of Voting	59502
Machine Examiners, shall be used to pay for the services and	59503
expenses of the members of the Board of Voting Machine Examiners,	59504
and for other expenses that are authorized to be paid from the	59505
Board of Voting Machine Examiners Fund, which is created in	59506
section 3506.05 of the Revised Code. Moneys not used shall be	59507
returned to the person or entity submitting the equipment for	59508
examination. If it is determined that additional appropriations	59509
are necessary, such amounts are appropriated.	59510

2005 HAVA VOTING MACHINES

59511

On July 1, 2008, or as soon as possible thereafter, the	59512
Director of Budget and Management shall transfer any remaining	59513
unexpended, unencumbered appropriations in Fund 3AS, appropriation	59514
item 050-616, 2005 HAVA Voting Machines, for use in fiscal year	59515
2009. The transferred amount is hereby appropriated.	59516

On July 1, 2008, or as soon as possible thereafter, the	59517
Director of Budget and Management shall transfer any remaining	59518
unexpended, unencumbered appropriations in Fund 3AH, appropriation	59519
item 050-614, Election Reform/Health and Human Services Fund, for	59520
use in fiscal year 2009. The transferred amount is hereby	59521
appropriated.	59522

Ongoing interest earnings from the federal Election	59523
Reform/Health and Human Services Fund (Fund 3AH) and the 2005 HAVA	59524
Voting Machines Fund (Fund 3AS) shall be credited to the	59525
respective funds and distributed in accordance with the terms of	59526
the grant under which the money is received.	59527

HOLDING ACCOUNT REDISTRIBUTION GROUP

59528

The foregoing appropriation items 050-605 and 050-606,	59529
Holding Account Redistribution Fund Group, shall be used to hold	59530
revenues until they are directed to the appropriate accounts or	59531
until they are refunded. If it is determined that additional	59532
appropriations are necessary, such amounts are appropriated.	59533

Section 395.10.  SEN THE OHIO SENATE

59534

General Revenue Fund

59535

GRF	020-321		Operating Expenses		$	11,778,439		$	11,778,439		59536
TOTAL GRF General Revenue Fund					$	11,778,439		$	11,778,439		59537

General Services Fund Group

59538

102	020-602		Senate Reimbursement		$	448,465		$	448,465		59539
409	020-601		Miscellaneous Sales		$	34,497		$	34,497		59540
TOTAL GSF General Services											59541
Fund Group					$	482,962		$	482,962		59542
TOTAL ALL BUDGET FUND GROUPS					$	12,261,401		$	12,261,401		59543

OPERATING EXPENSES

59544

On July 1, 2007, or as soon as possible thereafter, the Clerk	59545
of the Senate shall certify to the Director of Budget and	59546
Management the total fiscal year 2007 unencumbered appropriations	59547
in appropriation item 020-321, Operating Expenses. The Clerk may	59548
direct the Director of Budget and Management to transfer an amount	59549
not to exceed the total fiscal year 2007 unencumbered	59550
appropriations to fiscal year 2008 for use within appropriation	59551
item 020-321, Operating Expenses. Additional appropriation	59552
authority equal to the amount certified by the Clerk is hereby	59553
appropriated to appropriation item 020-321, Operating Expenses, in	59554
fiscal year 2008.	59555

On July 1, 2008, or as soon as possible thereafter, the Clerk	59556
of the Senate shall certify to the Director of Budget and	59557
Management the total fiscal year 2008 unencumbered appropriations	59558
in appropriation item 020-321, Operating Expenses. The Clerk may	59559
direct the Director of Budget and Management to transfer an amount	59560
not to exceed the total fiscal year 2008 unencumbered	59561
appropriations to fiscal year 2009 for use within appropriation	59562
item 020-321, Operating Expenses. Additional appropriation	59563
authority equal to the amount certified by the Clerk is hereby	59564
appropriated to appropriation item 020-321, Operating Expenses, in	59565
fiscal year 2009.	59566

Section 397.10. CSF COMMISSIONERS OF THE SINKING FUND

59567

Debt Service Fund Group

59568

070	155-905		Third Frontier Research & Development Bond Retirement Fund		$	14,349,500		$	25,023,400		59569
072	155-902		Highway Capital Improvement Bond Retirement Fund		$	202,694,900		$	205,139,500		59570
073	155-903		Natural Resources Bond Retirement Fund		$	24,713,800		$	25,723,000		59571
074	155-904		Conservation Projects Bond Service Fund		$	14,847,200		$	19,779,200		59572
076	155-906		Coal Research and Development Bond Retirement Fund		$	7,232,400		$	8,192,500		59573
077	155-907		State Capital Improvement Bond Retirement Fund		$	178,713,600		$	189,296,300		59574
078	155-908		Common Schools Bond Retirement Fund		$	292,268,400		$	342,148,300		59575
079	155-909		Higher Education Bond Retirement Fund		$	175,972,400		$	210,372,200		59576
090	155-912		Job Ready Site Development Bond Retirement Fund		$	4,359,400		$	8,232,500		59577
TOTAL DSF Debt Service Fund Group					$	915,151,600		$	1,033,906,900		59578
TOTAL ALL BUDGET FUND GROUPS					$	915,151,600		$	1,033,906,900		59579

ADDITIONAL APPROPRIATIONS

59580

Appropriation items in this section are for the purpose of	59581
paying debt service and financing costs on bonds or notes of the	59582
state issued under the Ohio Constitution and acts of the General	59583
Assembly. If it is determined that additional appropriations are	59584
necessary for this purpose, such amounts are hereby appropriated.	59585

Section 399.10. SOA SOUTHERN OHIO AGRICULTURAL AND COMMUNITY	59586
DEVELOPMENT FOUNDATION	59587

General Revenue Fund

59588

GRF	945-321		Operating Expenses		$	0		$	475,220		59589
GRF	945-501		Southern Ohio Agricultural and Community Development Foundation		$	0		$	7,513,251		59590
TOTAL GRF General Revenue Fund					$	0		$	7,988,471		59591
TOTAL ALL BUDGET FUND GROUPS					$	0		$	7,988,471		59592

SOUTHERN OHIO AGRICULTURAL AND COMMUNITY DEVELOPMENT	59593
FOUNDATION	59594

The foregoing appropriation item 945-321, Operating Expenses,	59595
shall be used for the operating expenses of the Southern Ohio	59596
Agricultural and Community Development Foundation in administering	59597
programs under section 183.15 of the Revised Code.	59598

The foregoing appropriation item 945-501, Southern Ohio	59599
Agricultural and Community Development Foundation, shall be used	59600
by the Southern Ohio Agricultural and Community Development	59601
Foundation for programs administered under section 183.15 of the	59602
Revised Code.	59603

Section 401.10. SPE BOARD OF SPEECH-LANGUAGE PATHOLOGY &	59604
AUDIOLOGY	59605

General Services Fund Group

59606

4K9	886-609		Operating Expenses		$	430,600		$	453,000		59607
TOTAL GSF General Services											59608
Fund Group					$	430,600		$	453,000		59609
TOTAL ALL BUDGET FUND GROUPS					$	430,600		$	453,000		59610

Section 403.10. BTA BOARD OF TAX APPEALS

59612

General Revenue Fund

59613

GRF	116-321		Operating Expenses		$	2,247,476		$	2,369,363		59614
TOTAL GRF General Revenue Fund					$	2,247,476		$	2,369,363		59615
TOTAL ALL BUDGET FUND GROUPS					$	2,247,476		$	2,369,363		59616

Section 405.10. TAX DEPARTMENT OF TAXATION

59618

General Revenue Fund

59619

GRF	110-321		Operating Expenses		$	92,040,062		$	92,440,062		59620
GRF	110-404		Tobacco Settlement Enforcement		$	0		$	328,034		59621
GRF	110-412		Child Support Administration		$	71,680		$	71,680		59622
GRF	110-901		Property Tax Allocation - Taxation		$	446,953,165		$	478,613,618		59623
GRF	110-906		Tangible Tax Exemption - Taxation		$	9,177,962		$	4,588,981		59624
TOTAL GRF General Revenue Fund					$	548,242,869		$	576,042,375		59625

General Services Fund Group

59626

433	110-602		Tape File Account		$	125,000		$	140,000		59627
5BQ	110-629		Commercial Activity Tax Administration		$	6,000,000		$	6,000,000		59628
5W4	110-625		Centralized Tax Filing and Payment		$	400,000		$	200,000		59629
5W7	110-627		Exempt Facility Administration		$	100,000		$	150,000		59630
5CZ	110-631		Vendor's License Application		$	1,000,000		$	1,000,000		59631
TOTAL GSF General Services											59632
Fund Group					$	7,625,000		$	7,490,000		59633

State Special Revenue Fund Group

59634

4C6	110-616		International Registration Plan		$	706,855		$	706,855		59635
4R6	110-610		Tire Tax Administration		$	125,000		$	150,000		59636
435	110-607		Local Tax Administration		$	17,250,000		$	17,250,000		59637
436	110-608		Motor Vehicle Audit		$	1,200,000		$	1,200,000		59638
437	110-606		Litter Tax and Natural Resource Tax Administration		$	675,000		$	800,000		59639
438	110-609		School District Income Tax		$	3,600,000		$	3,600,000		59640
5N5	110-605		Municipal Income Tax Administration		$	500,000		$	500,000		59641
5N6	110-618		Kilowatt Hour Tax Administration		$	125,000		$	175,000		59642
5V7	110-622		Motor Fuel Tax Administration		$	4,700,000		$	5,000,000		59643
5V8	110-623		Property Tax Administration		$	13,500,000		$	13,500,000		59644
639	110-614		Cigarette Tax Enforcement		$	100,000		$	100,000		59645
642	110-613		Ohio Political Party Distributions		$	600,000		$	600,000		59646
688	110-615		Local Excise Tax Administration		$	210,000		$	180,000		59647
TOTAL SSR State Special Revenue											59648
Fund Group					$	43,291,855		$	43,761,855		59649

Agency Fund Group

59650

095	110-995		Municipal Income Tax		$	21,000,000		$	21,000,000		59651
425	110-635		Tax Refunds		$	1,565,900,000		$	1,546,800,000		59652
TOTAL AGY Agency Fund Group					$	1,586,900,000		$	1,567,800,000		59653

Holding Account Redistribution Fund Group

59654

R10	110-611		Tax Distributions		$	50,000		$	50,000		59655
R11	110-612		Miscellaneous Income Tax Receipts		$	50,000		$	50,000		59656
TOTAL 090 Holding Account											59657
Redistribution Fund Group					$	100,000		$	100,000		59658
TOTAL ALL BUDGET FUND GROUPS					$	2,186,159,724		$	2,195,194,230		59659

HOMESTEAD EXEMPTION, PROPERTY TAX ROLLBACK, AND TANGIBLE TAX	59660
EXEMPTION	59661

The foregoing appropriation item 110-901, Property Tax	59662
Allocation - Taxation, is hereby appropriated to pay for the	59663
state's costs incurred because of the Homestead Exemption, the	59664
Manufactured Home Property Tax Rollback, and the Property Tax	59665
Rollback. The Tax Commissioner shall distribute these funds	59666
directly to the appropriate local taxing districts, except for	59667
school districts, notwithstanding the provisions in sections	59668
321.24 and 323.156 of the Revised Code, which provide for payment	59669
of the Homestead Exemption, the Manufactured Home Property Tax	59670
Rollback, and Property Tax Rollback by the Tax Commissioner to the	59671
appropriate county treasurer and the subsequent redistribution of	59672
these funds to the appropriate local taxing districts by the	59673
county auditor.	59674

The foregoing appropriation item 110-906, Tangible Tax	59675
Exemption - Taxation, is hereby appropriated to pay for the	59676
state's costs incurred because of the tangible personal property	59677
tax exemption required by division (C)(3) of section 5709.01 of	59678
the Revised Code. The Tax Commissioner shall distribute to each	59679
county treasurer the total amount appearing in the notification	59680
from the county treasurer under division (G) of section 321.24 of	59681
the Revised Code for all local taxing districts located in the	59682
county except for school districts, notwithstanding the provision	59683
in section 321.24 of the Revised Code which provides for payment	59684
of the $10,000 tangible personal property tax exemption by the Tax	59685
Commissioner to the appropriate county treasurer for all local	59686
taxing districts located in the county including school districts.	59687
The county auditor shall distribute the amount paid by the Tax	59688
Commissioner among the appropriate local taxing districts except	59689
for school districts under division (G) of section 321.24 of the	59690
Revised Code.	59691

Upon receipt of these amounts, each local taxing district	59692
shall distribute the amount among the proper funds as if it had	59693
been paid as real or tangible personal property taxes. Payments	59694
for the costs of administration shall continue to be paid to the	59695
county treasurer and county auditor as provided for in sections	59696
319.54, 321.26, and 323.156 of the Revised Code.	59697

Any sums, in addition to the amounts specifically	59698
appropriated in appropriation items 110-901, Property Tax	59699
Allocation - Taxation, for the Homestead Exemption, the	59700
Manufactured Home Property Tax Rollback, and the Property Tax	59701
Rollback payments, and 110-906, Tangible Tax Exemption - Taxation,	59702
for the $10,000 tangible personal property tax exemption payments,	59703
which are determined to be necessary for these purposes, are	59704
hereby appropriated.	59705

MUNICIPAL INCOME TAX

59706

The foregoing appropriation item 110-995, Municipal Income	59707
Tax, shall be used to make payments to municipal corporations	59708
under section 5745.05 of the Revised Code. If it is determined	59709
that additional appropriations are necessary to make these	59710
payments, such amounts are hereby appropriated.	59711

TAX REFUNDS

59712

The foregoing appropriation item 110-635, Tax Refunds, shall	59713
be used to pay refunds under section 5703.052 of the Revised Code.	59714
If it is determined that additional appropriations are necessary	59715
for this purpose, such amounts are hereby appropriated.	59716

INTERNATIONAL REGISTRATION PLAN AUDIT

59717

The foregoing appropriation item 110-616, International	59718
Registration Plan, shall be used under section 5703.12 of the	59719
Revised Code for audits of persons with vehicles registered under	59720
the International Registration Plan.	59721

TRAVEL EXPENSES FOR THE STREAMLINED SALES TAX PROJECT

59722

Of the foregoing appropriation item 110-607, Local Tax	59723
Administration, the Tax Commissioner may disburse funds, if	59724
available, for the purposes of paying travel expenses incurred by	59725
members of Ohio's delegation to the Streamlined Sales Tax Project,	59726
as appointed under section 5740.02 of the Revised Code. Any travel	59727
expense reimbursement paid for by the Department of Taxation shall	59728
be done in accordance with applicable state laws and guidelines.	59729

LITTER CONTROL TAX ADMINISTRATION FUND

59730

Notwithstanding section 5733.12 of the Revised Code, during	59731
the period from July 1, 2007, to June 30, 2008, the amount of	59732
$675,000, and during the period from July 1, 2008, to June 30,	59733
2009, the amount of $800,000, received by the Tax Commissioner	59734
under Chapter 5733. of the Revised Code, shall be credited to the	59735
Litter Control Tax Administration Fund (Fund 437).	59736

CENTRALIZED TAX FILING AND PAYMENT FUND

59737

The Director of Budget and Management, under a plan submitted	59738
by the Tax Commissioner, or as otherwise determined by the	59739
Director of Budget and Management, shall set a schedule to	59740
transfer cash from the General Revenue Fund to the credit of the	59741
Centralized Tax Filing and Payment Fund (Fund 5W4). The transfers	59742
of cash shall not exceed $600,000 in the biennium.	59743

COMMERCIAL ACTIVITY TAX ADMINISTRATION FUND

59744

The foregoing appropriation item 110-629, Commercial Activity	59745
Tax Administration Fund (Fund 5BQ), shall be used to pay expenses	59746
incurred by the Department of Taxation to implement and administer	59747
the Commercial Activity Tax under Chapter 5751. of the Revised	59748
Code.	59749

Notwithstanding section 3734.9010, division (B)(2)(c) of	59750
section 4505.09, division (B) of section 5703.12, section 5703.80,	59751
division (C)(6) of section 5727.81, sections 5733.122 and	59752
5735.053, division (C) of section 5739.21, section 5745.03,	59753
section 5743.024, section 5743.15, division (C) of section	59754
5747.03, and section 5747.113 of the Revised Code or any other	59755
provisions to the contrary, any residual cash balances determined	59756
and certified by the Tax Commissioner to the Director of Budget	59757
and Management shall be transferred on July 1, 2007, or as soon as	59758
possible thereafter, to the Commercial Activities Tax	59759
Administration Fund (Fund 5BQ).	59760

TOBACCO SETTLEMENT ENFORCEMENT

59761

The foregoing appropriation item 110-404, Tobacco Settlement	59762
Enforcement, shall be used by the Tax Commissioner to pay costs	59763
incurred in the enforcement of divisions (F) and (G) of section	59764
5743.03 of the Revised Code.	59765

Section 407.10.  DOT DEPARTMENT OF TRANSPORTATION

59766

Transportation Modes

59767

General Revenue Fund

59768

GRF	775-451		Public Transportation - State		$	20,300,000		$	20,300,000		59769
GRF	776-465		Ohio Rail Development Commission		$	4,700,000		$	4,700,000		59770
GRF	776-466		Railroad Crossing/Grade Separation		$	789,600		$	789,600		59771
GRF	777-471		Airport Improvements - State		$	5,793,985		$	1,794,003		59772
TOTAL GRF General Revenue Fund					$	31,583,585		$	27,583,603		59773
TOTAL ALL BUDGET FUND GROUPS					$	31,583,585		$	27,583,603		59774

AIRPORT IMPROVEMENTS

59775

Of the foregoing appropriation item 777-471, Airport	59776
Improvements - State, $2,500,000 in fiscal year 2008 shall be used	59777
for Dayton Concourse D Air Travel and Support.	59778

Of the foregoing appropriation item 777-471, Airport	59779
Improvements - State, $1,500,000 in fiscal year 2008 shall be used	59780
for air travel and support and economic development of statewide	59781
airports. The Directors of Development and Transportation may	59782
enter into one or more interagency agreements between their two	59783
departments as necessary to implement a statewide strategy to	59784
enhance Ohio's airports as centers of regional economic	59785
development.	59786

Section 409.10.  TOS TREASURER OF STATE

59787

General Revenue Fund

59788

GRF	090-321		Operating Expenses		$	9,313,195		$	9,313,195		59789
GRF	090-401		Office of the Sinking		$	537,223		$	537,223		59790
			Fund								59791
GRF	090-402		Continuing Education		$	448,843		$	448,843		59792
GRF	090-524		Police and Fire		$	14,000		$	12,000		59793
			Disability Pension Fund								59794
GRF	090-534		Police & Fire Ad Hoc Cost		$	140,000		$	130,000		59795
			of Living								59796
GRF	090-554		Police and Fire Survivor		$	910,000		$	865,000		59797
			Benefits								59798
GRF	090-575		Police and Fire Death		$	20,000,000		$	20,000,000		59799
			Benefits								59800
TOTAL GRF General Revenue Fund					$	31,363,261		$	31,306,261		59801

General Services Fund Group

59802

4E9	090-603		Securities Lending Income		$	3,164,000		$	3,314,000		59803
577	090-605		Investment Pool		$	550,000		$	550,000		59804
			Reimbursement								59805
605	090-609		Treasurer of State		$	350,000		$	350,000		59806
			Administrative Fund								59807
TOTAL GSF General Services											59808
Fund Group					$	4,064,000		$	4,214,000		59809

State Special Revenue Fund Group

59810

5C5	090-602		County Treasurer Education		$	135,000		$	135,000		59811
TOTAL SSR State Special Revenue											59812
Fund Group					$	135,000		$	135,000		59813

Agency Fund Group

59814

425	090-635		Tax Refunds		$	31,000,000		$	31,000,000		59815
TOTAL Agency Fund Group					$	31,000,000		$	31,000,000		59816
TOTAL ALL BUDGET FUND GROUPS					$	66,562,261		$	66,655,261		59817

Section 409.10.10.  OFFICE OF THE SINKING FUND

59819

The foregoing appropriation item 090-401, Office of the	59820
Sinking Fund, shall be used for financing and other costs incurred	59821
by or on behalf of the Commissioners of the Sinking Fund, the Ohio	59822
Public Facilities Commission or its secretary, or the Treasurer of	59823
State, with respect to State of Ohio general obligation bonds or	59824
notes, including, but not limited to, printing, advertising,	59825
delivery, rating fees and the procurement of ratings, professional	59826
publications, membership in professional organizations, and	59827
services referred to in division (D) of section 151.01 of the	59828
Revised Code. The General Revenue Fund shall be reimbursed for	59829
such costs by intrastate transfer voucher pursuant to a	59830
certification by the Office of the Sinking Fund of the actual	59831
amounts used. The amounts necessary to make such reimbursements	59832
are appropriated from the general obligation bond retirement funds	59833
created by the Constitution and laws to the extent such costs are	59834
incurred.	59835

POLICE AND FIRE DEATH BENEFIT FUND

59836

The foregoing appropriation item 090-575, Police and Fire	59837
Death Benefits, shall be disbursed quarterly by the Treasurer of	59838
State at the beginning of each quarter of each fiscal year to the	59839
Board of Trustees of the Ohio Police and Fire Pension Fund. The	59840
Treasurer of State shall certify such amounts quarterly to the	59841
Director of Budget and Management. By the twentieth day of June of	59842
each fiscal year, the Board of Trustees of the Ohio Police and	59843
Fire Pension Fund shall certify to the Treasurer of State the	59844
amount disbursed in the current fiscal year to make the payments	59845
required by section 742.63 of the Revised Code and shall return to	59846
the Treasurer of State moneys received from this appropriation	59847
item but not disbursed.	59848

TAX REFUNDS

59849

The foregoing appropriation item 090-635, Tax Refunds, shall	59850
be used to pay refunds under section 5703.052 of the Revised Code.	59851
If the Director of Budget and Management determines that	59852
additional amounts are necessary for this purpose, such amounts	59853
are hereby appropriated.	59854

Section 411.10.  TTA OHIO TUITION TRUST AUTHORITY

59855

State Special Revenue Fund Group

59856

5AM	095-603		Index Savings Plan		$	2,376,852		$	2,425,777		59857
5DC	095-604		Banking Products		$	1,631,283		$	1,648,123		59858
5P3	095-602		Variable College Savings Fund		$	2,031,354		$	2,063,596		59859
645	095-601		Operating Expenses		$	872,086		$	881,169		59860
TOTAL SSR State Special Revenue											59861
Fund Group					$	6,911,575		$	7,018,665		59862
TOTAL ALL BUDGET FUND GROUPS					$	6,911,575		$	7,018,665		59863

Section 413.10. OVH OHIO VETERANS' HOME

59865

General Revenue Fund

59866

GRF	430-100		Personal Services		$	22,985,261		$	24,303,903		59867
GRF	430-200		Maintenance		$	7,835,544		$	8,458,613		59868
GRF	430-402		Hall of Fame		$	125,000		$	125,000		59869
TOTAL GRF General Revenue Fund					$	30,945,805		$	32,887,516		59870

General Services Fund Group

59871

484	430-603		Veterans Home Services		$	375,880		$	375,880		59872
TOTAL GSF General Services Fund Group					$	375,880		$	375,880		59873

Federal Special Revenue Fund Group

59874

3BX	430-609		Medicare Services		$	1,446,807			1,446,807		59875
3L2	430-601		Veterans Home Operations - Federal		$	15,290,320		$	15,410,471		59876
TOTAL FED Federal Special Revenue											59877
Fund Group					$	16,737,127		$	16,857,278		59878

State Special Revenue Fund Group

59879

4E2	430-602		Veterans Home Operating		$	8,530,800		$	8,530,800		59880
604	430-604		Veterans Home Improvement		$	770,096		$	770,096		59881
TOTAL SSR State Special Revenue											59882
Fund Group					$	9,300,896		$	9,300,896		59883
TOTAL ALL BUDGET FUND GROUPS					$	57,359,708		$	59,421,570		59884

Section 415.10. VET VETERANS' ORGANIZATIONS

59886

General Revenue Fund

59887

VAP AMERICAN EX-PRISONERS OF WAR

59888

GRF

743-501

State Support

$

25,030

$

25,030

59889

VAN ARMY AND NAVY UNION, USA, INC.

59890

GRF

746-501

State Support

$

55,012

$

55,012

59891

VKW KOREAN WAR VETERANS

59892

GRF

747-501

State Support

$

49,453

$

49,453

59893

VJW JEWISH WAR VETERANS

59894

GRF

748-501

State Support

$

29,715

$

29,715

59895

VCW CATHOLIC WAR VETERANS

59896

GRF

749-501

State Support

$

57,990

$

57,990

59897

VPH MILITARY ORDER OF THE PURPLE HEART

59898

GRF

750-501

State Support

$

56,377

$

56,377

59899

VVV VIETNAM VETERANS OF AMERICA

59900

GRF

751-501

State Support

$

185,954

$

185,954

59901

VAL AMERICAN LEGION OF OHIO

59902

GRF

752-501

State Support

$

302,328

$

302,328

59903

VII AMVETS

59904

GRF

753-501

State Support

$

287,919

$

287,919

59905

VAV DISABLED AMERICAN VETERANS

59906

GRF

754-501

State Support

$

216,308

$

216,308

59907

VMC MARINE CORPS LEAGUE

59908

GRF

756-501

State Support

$

115,972

$

115,972

59909

V37 37TH DIVISION AEF VETERANS' ASSOCIATION

59910

GRF

757-501

State Support

$

5,946

$

5,946

59911

VFW VETERANS OF FOREIGN WARS

59912

GRF

758-501

State Support

$

246,615

$

246,615

59913

TOTAL GRF General Revenue Fund					$	1,634,619		$	1,634,619		59914
TOTAL ALL BUDGET FUND GROUPS					$	1,634,619		$	1,634,619		59915

RELEASE OF FUNDS

59916

The foregoing appropriation items 743-501, 746-501, 747-501,	59917
748-501, 749-501, 750-501, 751-501, 752-501, 753-501, 754-501,	59918
756-501, 757-501, and 758-501, State Support, shall be released	59919
upon approval by the Director of Budget and Management.	59920

CENTRAL OHIO UNITED SERVICES ORGANIZATION

59921

Of the foregoing appropriation item 751-501, State Support,	59922
Vietnam Veterans of America, $50,000 in each fiscal year shall be	59923
used to support the activities of the Central Ohio USO.	59924

VAL AMERICAN LEGION OF OHIO

59925

Of the foregoing appropriation item 752-501, State Support,	59926
VAL American Legion, at least $50,000 in each fiscal year shall be	59927
used to fund service officer expenses.	59928

VETERANS SERVICE COMMISSION EDUCATION

59929

Of the foregoing appropriation item 753-501, State Support,	59930
AMVETS, up to $20,000 in each fiscal year may be used to provide	59931
moneys to the Association of County Veterans Service Commissioners	59932
to reimburse its member county veterans service commissions for	59933
costs incurred in carrying out educational and outreach duties	59934
required under divisions (E) and (F) of section 5901.03 of the	59935
Revised Code. The Director of Budget and Management shall release	59936
these funds upon the presentation of an itemized receipt, approved	59937
by the Governor's Office of Veterans Affairs, from the association	59938
for reasonable and appropriate expenses incurred while performing	59939
these duties. The association shall establish uniform procedures	59940
for reimbursing member commissions.	59941

VII AMVETS

59942

Of the foregoing appropriation item 753-501, State Support,	59943
AMVETS, at least $50,000 shall be used in each fiscal year to fund	59944
service officer expenses.	59945

VAV DISABLED AMERICAN VETERANS

59946

Of the foregoing appropriation item 754-501, State Support,	59947
VAV Disabled American Veterans, at least $50,000 in each fiscal	59948
year shall be used to fund service officer expenses.	59949

VMC MARINE CORPS LEAGUE

59950

Of the foregoing appropriation item 756-501, State Support,	59951
VMC Marine Corps League, at least $30,000 in each fiscal year	59952
shall be used to fund service officer expenses.	59953

VFW VETERANS OF FOREIGN WARS

59954

Of the foregoing appropriation item 758-501, State Support,	59955
VFW Veterans of Foreign Wars, at least $50,000 in each fiscal year	59956
shall be used to fund service officer expenses.	59957

Section 417.10. DVM STATE VETERINARY MEDICAL BOARD

59958

General Services Fund Group

59959

4K9	888-609		Operating Expenses		$	322,740		$	327,312		59960
TOTAL GSF General Services											59961
Fund Group					$	322,740		$	327,312		59962
TOTAL ALL BUDGET FUND GROUPS					$	322,740		$	327,312		59963

Section 419.10. DYS DEPARTMENT OF YOUTH SERVICES

59965

General Revenue Fund

59966

GRF	470-401		RECLAIM Ohio		$	186,338,297		$	190,599,131		59967
GRF	470-412		Lease Rental Payments		$	24,207,700		$	24,208,700		59968
GRF	470-510		Youth Services		$	18,558,587		$	18,558,587		59969
GRF	472-321		Parole Operations		$	15,356,904		$	15,764,729		59970
GRF	477-321		Administrative Operations		$	14,754,420		$	14,754,419		59971
TOTAL GRF General Revenue Fund					$	259,215,908		$	263,885,566		59972

General Services Fund Group

59973

175	470-613		Education Reimbursement		$	9,985,035		$	10,550,725		59974
4A2	470-602		Child Support		$	328,657		$	328,657		59975
4G6	470-605		General Operational Funds		$	49,713		$	50,955		59976
4G6	470-631		SCALE Program		$	100,000		$	100,000		59977
479	470-609		Employee Food Service		$	137,666		$	137,666		59978
5BN	470-629		E-Rate Program		$	200,000		$	200,000		59979
TOTAL GSF General Services											59980
Fund Group					$	10,801,071		$	11,368,003		59981

Federal Special Revenue Fund Group

59982

3BH	470-630		Federal Juvenile Programs FFY 06		$	100,000		$	50,000		59983
3BT	470-634		Federal Juvenile Programs		$	300,000		$	50,000		59984
3BY	470-635		Federal Juvenile Programs FFY 07		$	903,350		$	350,000		59985
3BZ	470-636		Federal Juvenile Programs FFY 08		$	0		$	653,350		59986
3V5	470-604		Juvenile Justice/Delinquency Prevention		$	2,750,000		$	2,750,000		59987
3Z9	470-626		Federal Juvenile Programs FFY 05		$	142,253		$	0		59988
321	470-601		Education		$	5,202,160		$	5,473,109		59989
321	470-603		Juvenile Justice Prevention		$	51,000		$	30,000		59990
321	470-606		Nutrition		$	2,908,369		$	2,981,078		59991
321	470-610		Rehabilitation Programs		$	36,000		$	36,000		59992
321	470-614		Title IV-E Reimbursements		$	6,162,670		$	6,316,737		59993
321	470-617		Americorps Programs		$	463,700		$	463,700		59994
321	470-633		Project Re-entry		$	1,017,843		$	1,017,843		59995
TOTAL FED Federal Special Revenue											59996
Fund Group					$	20,037,345		$	20,171,817		59997

State Special Revenue Fund Group

59998

147	470-612		Vocational Education		$	2,074,710		$	2,141,823		59999
5BH	470-628		Partnerships for Success		$	1,500,000		$	1,500,000		60000
TOTAL SSR State Special Revenue											60001
Fund Group					$	3,574,710		$	3,641,823		60002
TOTAL ALL BUDGET FUND GROUPS					$	293,629,034		$	299,067,209		60003

RECLAIM OHIO

60004

Of the foregoing appropriation item 470-401, RECLAIM Ohio,	60005
$25,000 in each fiscal year shall be distributed directly to the	60006
Lighthouse Youth Services Wrap-Around Program.	60007

OHIO BUILDING AUTHORITY LEASE PAYMENTS

60008

The foregoing appropriation item 470-412, Lease Rental	60009
Payments, in the Department of Youth Services, shall be used to	60010
meet all payments to the Ohio Building Authority for the period	60011
from July 1, 2007, to June 30, 2009, under the leases and	60012
agreements for facilities made under Chapter 152. of the Revised	60013
Code. This appropriation is the source of funds pledged for bond	60014
service charges on related obligations issued pursuant to Chapter	60015
152. of the Revised Code.	60016

EDUCATION REIMBURSEMENT

60017

The foregoing appropriation item 470-613, Education	60018
Reimbursement, shall be used to fund the operating expenses of	60019
providing educational services to youth supervised by the	60020
Department of Youth Services. Operating expenses include, but are	60021
not limited to, teachers' salaries, maintenance costs, and	60022
educational equipment. This appropriation item may be used for	60023
capital expenses related to the education program.	60024

EMPLOYEE FOOD SERVICE AND EQUIPMENT

60025

Notwithstanding section 125.14 of the Revised Code, the	60026
foregoing appropriation item 470-609, Employee Food Service, may	60027
be used to purchase any food operational items with funds received	60028
into the fund from reimbursement for state surplus property.	60029

Section 503.03. PERSONAL SERVICE EXPENSES

60030

Unless otherwise prohibited by law, any appropriation from	60031
which personal service expenses are paid shall bear the employer's	60032
share of public employees' retirement, workers' compensation,	60033
disabled workers' relief, and all group insurance programs; the	60034
costs of centralized accounting, centralized payroll processing,	60035
and related personnel reports and services; the cost of the Office	60036
of Collective Bargaining; the cost of the Personnel Board of	60037
Review; the cost of the Employee Assistance Program; the cost of	60038
the affirmative action and equal employment opportunity programs	60039
administered by the Department of Administrative Services; the	60040
costs of interagency information management infrastructure; and	60041
the cost of administering the state employee merit system as	60042
required by section 124.07 of the Revised Code. These costs shall	60043
be determined in conformity with the appropriate sections of law	60044
and paid in accordance with procedures specified by the Office of	60045
Budget and Management. Expenditures from appropriation item	60046
070-601, Public Audit Expense - Local Government, in Fund 422 may	60047
be exempted from the requirements of this section.	60048

Section 503.06. SATISFACTION OF JUDGMENTS AND SETTLEMENTS	60049
AGAINST THE STATE	60050

Except as otherwise provided in this section, an	60051
appropriation in this act or any other act may be used for the	60052
purpose of satisfying judgments, settlements, or administrative	60053
awards ordered or approved by the Court of Claims or by any other	60054
court of competent jurisdiction in connection with civil actions	60055
against the state. This authorization does not apply to	60056
appropriations to be applied to or used for payment of guarantees	60057
by or on behalf of the state, or for payments under lease	60058
agreements relating to, or debt service on, bonds, notes, or other	60059
obligations of the state. Notwithstanding any other statute to the	60060
contrary, this authorization includes appropriations from funds	60061
into which proceeds of direct obligations of the state are	60062
deposited only to the extent that the judgment, settlement, or	60063
administrative award is for, or represents, capital costs for	60064
which the appropriation may otherwise be used and is consistent	60065
with the purpose for which any related obligations were issued or	60066
entered into. Nothing contained in this section is intended to	60067
subject the state to suit in any forum in which it is not	60068
otherwise subject to suit, and is not intended to waive or	60069
compromise any defense or right available to the state in any suit	60070
against it.	60071

Section 503.09. CAPITAL PROJECT SETTLEMENTS

60072

This section specifies an additional and supplemental	60073
procedure to provide for payments of judgments and settlements if	60074
the Director of Budget and Management determines, pursuant to	60075
division (C)(4) of section 2743.19 of the Revised Code, that	60076
sufficient unencumbered moneys do not exist in the particular	60077
appropriation to pay the amount of a final judgment rendered	60078
against the state or a state agency, including the settlement of a	60079
claim approved by a court, in an action upon and arising out of a	60080
contractual obligation for the construction or improvement of a	60081
capital facility if the costs under the contract were payable in	60082
whole or in part from a state capital projects appropriation. In	60083
such a case, the director may either proceed pursuant to division	60084
(C)(4) of section 2743.19 of the Revised Code or apply to the	60085
Controlling Board to increase an appropriation or create an	60086
appropriation out of any unencumbered moneys in the state treasury	60087
to the credit of the capital projects fund from which the initial	60088
state appropriation was made. The Controlling Board may approve or	60089
disapprove the application as submitted or modified. The amount of	60090
an increase in appropriation or new appropriation specified in an	60091
application approved by the Controlling Board is hereby	60092
appropriated from the applicable capital projects fund and made	60093
available for the payment of the judgment or settlement.	60094

If the director does not make the application authorized by	60095
this section or the Controlling Board disapproves the application,	60096
and the director does not make application under division (C)(4)	60097
of section 2743.19 of the Revised Code, the director shall for the	60098
purpose of making that payment make a request to the General	60099
Assembly as provided for in division (C)(5) of that section.	60100

Section 503.12. RE-ISSUANCE OF VOIDED WARRANTS

60101

In order to provide funds for the reissuance of voided	60102
warrants under section 117.47 of the Revised Code, there is hereby	60103
appropriated, out of moneys in the state treasury from the fund	60104
credited as provided in section 117.47 of the Revised Code, that	60105
amount sufficient to pay such warrants when approved by the Office	60106
of Budget and Management.	60107

Section 503.15.  REAPPROPRIATION OF UNEXPENDED ENCUMBERED	60108
BALANCES OF OPERATING APPROPRIATIONS	60109

An unexpended balance of an operating appropriation or	60110
reappropriation that a state agency lawfully encumbered prior to	60111
the close of a fiscal year is reappropriated on the first day of	60112
July of the following fiscal year from the fund from which it was	60113
originally appropriated or reappropriated for the following period	60114
and shall remain available only for the purpose of discharging the	60115
encumbrance:	60116

(A) For an encumbrance for personal services, maintenance,	60117
equipment, or items for resale, other than an encumbrance for an	60118
item of special order manufacture not available on term contract	60119
or in the open market or for reclamation of land or oil and gas	60120
wells for a period of not more than five months from the end of	60121
the fiscal year;	60122

(B) For an encumbrance for an item of special order	60123
manufacture not available on term contract or in the open market,	60124
for a period of not more than five months from the end of the	60125
fiscal year or, with the written approval of the Director of	60126
Budget and Management, for a period of not more than twelve months	60127
from the end of the fiscal year;	60128

(C) For an encumbrance for reclamation of land or oil and gas	60129
wells, for a period ending when the encumbered appropriation is	60130
expended or for a period of two years, whichever is less;	60131

(D) For an encumbrance for any other expense, for such period	60132
as the director approves, provided such period does not exceed two	60133
years.	60134

Any operating appropriations for which unexpended balances	60135
are reappropriated beyond a five-month period from the end of the	60136
fiscal year by division (B) of this section shall be reported to	60137
the Controlling Board by the Director of Budget and Management by	60138
the thirty-first day of December of each year. The report on each	60139
such item shall include the item, the cost of the item, and the	60140
name of the vendor. The report shall be updated on a quarterly	60141
basis for encumbrances remaining open.	60142

Upon the expiration of the reappropriation period set out in	60143
divisions (A), (B), (C), or (D) of this section, a reappropriation	60144
made by this section lapses, and the Director of Budget and	60145
Management shall cancel the encumbrance of the unexpended	60146
reappropriation not later than the end of the weekend following	60147
the expiration of the reappropriation period.	60148

Notwithstanding the preceding paragraph, with the approval of	60149
the Director of Budget and Management, an unexpended balance of an	60150
encumbrance that was reappropriated on the first day of July by	60151
this section for a period specified in division (C) or (D) of this	60152
section and that remains encumbered at the close of the fiscal	60153
biennium is hereby reappropriated on the first day of July of the	60154
following fiscal biennium from the fund from which it was	60155
originally appropriated or reappropriated for the applicable	60156
period specified in division (C) or (D) of this section and shall	60157
remain available only for the purpose of discharging the	60158
encumbrance.	60159

The Director of Budget and Management may correct accounting	60160
errors committed by the staff of the Office of Budget and	60161
Management, such as re-establishing encumbrances or appropriations	60162
cancelled in error, during the cancellation of operating	60163
encumbrances in November and of nonoperating encumbrances in	60164
December.	60165

If the Controlling Board approved a purchase, that approval	60166
remains in effect so long as the appropriation used to make that	60167
purchase remains encumbered.	60168

Section 503.18. APPROPRIATIONS RELATED TO CASH TRANSFERS AND	60169
RE-ESTABLISHMENT OF ENCUMBRANCES	60170

Any cash transferred by the Director of Budget and Management	60171
under section 126.15 of the Revised Code is hereby appropriated.	60172
Any amounts necessary to re-establish appropriations or	60173
encumbrances under section 126.15 of the Revised Code are hereby	60174
appropriated.	60175

Section 503.21. INCOME TAX DISTRIBUTION TO COUNTIES

60176

There are hereby appropriated out of any moneys in the state	60177
treasury to the credit of the General Revenue Fund, which are not	60178
otherwise appropriated, funds sufficient to make any payment	60179
required by division (B)(2) of section 5747.03 of the Revised	60180
Code.	60181

Section 503.24. EXPENDITURES AND APPROPRIATION INCREASES	60182
APPROVED BY THE CONTROLLING BOARD	60183

Any money that the Controlling Board approves for expenditure	60184
or any increase in appropriation authority that the Controlling	60185
Board approves under sections 127.14, 131.35, and 131.39 of the	60186
Revised Code or any other provision of law is hereby appropriated	60187
for the period ending June 30, 2009.	60188

Section 503.27. FUNDS RECEIVED FOR USE OF GOVERNOR'S	60189
RESIDENCE	60190

If the Governor's Residence Fund (Fund 4H2) receives payment	60191
for use of the residence pursuant to section 107.40 of the Revised	60192
Code, the amounts so received are hereby appropriated to	60193
appropriation item 100-604, Governor's Residence Gift.	60194

Section 506.03. UTILITY RADIOLOGICAL SAFETY BOARD ASSESSMENTS

60195

The maximum amounts that may be assessed against nuclear	60196
electric utilities under division (B)(2) of section 4937.05 of the	60197
Revised Code are as follows:	60198

			FY 2008		FY 2009		60199
Department of Agriculture							60200
	Fund 4E4 Utility Radiological Safety		$73,059		$73,059		60201
Department of Health							60202
	Fund 610 Radiation Emergency Response		$850,000		$850,000		60203
Environmental Protection Agency							60204
	Fund 644 ER Radiological Safety		$286,114		$286,114		60205
Emergency Management Agency							60206
	Fund 657 Utility Radiological Safety		$1,260,000		$1,260,000		60207

Section 512.03. TRANSFERS TO THE GENERAL REVENUE FUND FROM	60208
NON-GRF FUNDS	60209

Notwithstanding any other provision of law to the contrary,	60210
during fiscal years 2008 and 2009, the Director of Budget and	60211
Management is hereby authorized to transfer cash from non-General	60212
Revenue Fund funds that are not constitutionally restricted to the	60213
General Revenue Fund. The total amount of cash transfers made	60214
pursuant to this section to the General Revenue Fund during fiscal	60215
years 2008 and 2009 shall not exceed $70,000,000.	60216

Section 512.06. TRANSFERS TO THE GENERAL REVENUE FUND OF	60217
INTEREST EARNED	60218

Notwithstanding any provision of Ohio law to the contrary,	60219
the Director of Budget and Management, through June 30, 2009, may	60220
transfer interest earned by any fund in the Central Accounting	60221
System to the General Revenue Fund. This section does not apply to	60222
funds whose source of revenue is restricted or protected by the	60223
Constitution of this state, federal tax law, or the "Cash	60224
Management Improvement Act of 1990" 104 Stat. 1058 (1990), 31	60225
U.S.C. 6501 et seq., as amended.	60226

Section 512.09. CORPORATE AND UCC FILING FUND TRANSFER TO GRF

60227

Not later than the first day of June in each year of the	60228
biennium, the Director of Budget and Management shall transfer	60229
$500,000 from the Corporate and Uniform Commercial Code Filing	60230
Fund to the General Revenue Fund.	60231

Section 512.21. GRF TRANSFER TO FUND 5N4, OAKS PROJECT	60232
IMPLEMENTATION	60233

On July 1, 2007, or as soon thereafter as possible, the	60234
Director of Budget and Management shall transfer an amount not to	60235
exceed $2,200,725 in cash from the General Revenue Fund to Fund	60236
5N4, OAKS Project Implementation. On July 1, 2008, or as soon	60237
thereafter as possible, the Director of Budget and Management	60238
shall transfer an amount not to exceed $2,092,779 in cash from the	60239
General Revenue Fund to Fund 5N4, OAKS Project Implementation.	60240

Section 512.31. TEMPORARY TRANSFER TO THE OAKS SUPPORT	60241
ORGANIZATION FUND	60242

Notwithstanding any provision of law to the contrary, in	60243
fiscal year 2008, the Director of Budget and Management may	60244
transfer an amount not to exceed $1,000,000 in cash from the Human	60245
Resources Services Fund (Fund 125) to the OAKS Support	60246
Organization Fund (Fund 5EB). These amounts shall support the	60247
establishment of the OAKS Support Organization. Amounts	60248
transferred to the OAKS Support Organization Fund and interest	60249
earnings on these amounts transferred during fiscal year 2008	60250
shall be returned to the Human Resources Services Fund not later	60251
than January 1, 2008. Upon certification of the total amount	60252
transferred from Fund 125 to Fund 5EB, the Director of Budget and	60253
Management shall transfer cash in the amount certified from Fund	60254
5EB to Fund 125.	60255

Section 512.34. TRANSFER FROM EDUCATION FACILITIES ENDOWMENT	60256
FUND	60257

Notwithstanding division (G) of section 183.27 of the Revised	60258
Code, the Director of Budget and Management shall transfer	60259
$40,000,000 cash in fiscal year 2007 from the Education Facilities	60260
Endowment Fund (Fund P87) to the Public School Building Fund (Fund	60261
021). The amounts transferred are hereby appropriated to the Ohio	60262
School Facilities Commission for the purposes of appropriation	60263
item CAP-622, Public School Buildings.	60264

Section 512.37. TRANSFER TO ENERGY STRATEGY DEVELOPMENT FUND

60265

On July 1, 2007, and on July 1, 2008, or as soon thereafter	60266
as possible, the Director of Budget and Management may transfer	60267
cash from the funds specified below, in the amount specified	60268
below, to the Energy Strategy Development Fund, which is hereby	60269
created in the state treasury. The fund may accept contributions	60270
and transfers made to the fund. The funds shall be used to develop	60271
energy initiatives, projects, and policy.	60272

Agency	Fund	FY 2008	FY 2009		60273
Department of Administrative Services	117	$35,000	$35,000		60274
Department of Agriculture	3J4	$35,000	$35,000		60275
Department of Development	4H4	$32,447	$0		60276
Department of Development	135	$0	$35,000		60277
Environmental Protection Agency	219	$35,000	$35,000		60278
Department of Natural Resources	157	$35,000	$35,000		60279
Department of Transportation	002	$50,000	$50,000		60280

Section 512.41. For purposes of sections 109.93, 111.18, and	60281
173.85 of the Revised Code, as amended by this act, the Director	60282
of Budget and Management, in collaboration with the Treasurer of	60283
State, may take any action necessary to establish funds in the	60284
state treasury that were previously held in the custody of the	60285
Treasurer of State, including, but not limited to, the transfer of	60286
cash from the custodial funds to the state treasury and the	60287
establishment of appropriations and encumbrances to support	60288
outstanding obligations. The amounts necessary to support	60289
outstanding obligations are hereby appropriated. Agencies may	60290
request additional appropriation authority from the Controlling	60291
Board as necessary.	60292

Section 515.03. TRANSFER OF OFFICE OF INFORMATION TECHNOLOGY	60293
TO OFFICE OF BUDGET AND MANAGEMENT	60294

(A) Effective July 1, 2007, the State Chief Information	60295
Officer shall report to the Director of Budget and Management. All	60296
actions of the State Chief Information Officer thereafter shall be	60297
subject to the approval of the Director of Budget and Management.	60298
The State Chief Information Officer shall continue to perform all	60299
the duties, powers, and obligations of the State Chief Information	60300
Officer and the Office of Information Technology provided for by	60301
law. To allow for the administrative reorganization and program	60302
transfer, the operation of the Office of Information Technology	60303
shall remain within the Department of Administrative Services	60304
through June 30, 2008. Notwithstanding any section of the Revised	60305
Code, funds appropriated in this act to the Department of	60306
Administrative Services for the Office of Information Technology	60307
and the employees and assets of the Office of Information	60308
Technology in the Department shall be used by the Department as	60309
directed by the State Chief Information Officer for the continued	60310
operation of the Office of Information Technology. Effective July	60311
1, 2008, the operations of the Office of Information Technology in	60312
the Department of Administrative Services cease.	60313

(B) Employees of the Office of Information Technology in the	60314
Department of Administrative Services shall be transferred to the	60315
Office of Budget and Management. The State Chief Information	60316
Officer and the Directors of Administrative Services and the	60317
Office of Budget and Management may identify employees of the	60318
Department of Administrative Services who provide administrative	60319
support to the Office of Information Technology and who shall be	60320
transferred to the Office of Budget and Management. Both of these	60321
transfers shall take effect on the first day of the first pay	60322
period for fiscal year 2009 and are subject to the lay-off	60323
provisions of sections 124.321 to 124.328 of the Revised Code.	60324

(C) Effective July 1, 2008, all funding, assets, and records	60325
of the Office of Information Technology in the Department of	60326
Administrative Services shall be transferred to the Office of	60327
Budget and Management.	60328

(D) Any matter commenced but not completed by the Office of	60329
Information Technology in the Department of Administrative	60330
Services on July 1, 2008, shall be completed by the Office of	60331
Information Technology in the Office of Budget and Management, as	60332
appropriate, in the same manner, and with the same effect, as if	60333
completed by the Office of Information Technology in the	60334
Department of Administrative Services. Any validation, cure,	60335
right, privilege, remedy, obligation, or liability of the Office	60336
of Information Technology is not lost or impaired by reason of the	60337
transfer and shall be administered by the State Chief Information	60338
Officer and Office of Information Technology in the Office of	60339
Budget and Management.	60340

(E) All rules, orders, policies, directives, and	60341
determinations of the State Chief Information Officer and the	60342
Office of Information Technology in the Department of	60343
Administrative Services continue in effect as rules, orders,	60344
policies, directives, and determinations of the State Chief	60345
Information Officer and the Office of Information Technology in	60346
the Office of Budget and Management until modified or rescinded by	60347
the Officer, Office, or the Director of Budget and Management. At	60348
the request of the State Chief Information Officer or the Director	60349
of Budget and Management, and if necessary to ensure the integrity	60350
of the numbering of the Administrative Code, the Director of the	60351
Legislative Service Commission shall renumber rules of the Office	60352
of Information Technology to reflect the transfer to the Office of	60353
Budget and Management.	60354

(F) Effective July 1, 2008, whenever the Department of	60355
Administrative Services, the Office of Information Technology, or	60356
the State Chief Information Officer is referred to in any law,	60357
contract, or other document in relation to statewide information	60358
technology, the reference shall be deemed to refer to the Office	60359
of Budget and Management or the Office of Information Technology	60360
in the Office of Budget and Management.	60361

(G) Effective July 1, 2008, any action or proceeding or	60362
adjudication that is related to the Office of Information	60363
Technology in the Department of Administrative Services and that	60364
is pending shall not be affected by the transfer and shall be	60365
prosecuted or defended in the name of the Director of Budget and	60366
Management or the Office of Budget and Management. In all such	60367
actions and proceedings the Director or the Office, upon	60368
application to the court or agency, shall be substituted as a	60369
party.	60370

(H) On and after July 1, 2008, notwithstanding any provision	60371
of law to the contrary, the Director of Budget and Management is	60372
authorized to take the actions described in this section with	60373
respect to budget changes made necessary by the transfer,	60374
including administrative reorganization, program transfers, the	60375
creation of new funds, the creation of new appropriation items,	60376
and the consolidation of funds as authorized by this act. The	60377
Director may make any transfer of cash balances between funds. At	60378
the request of the Director of Budget and Management, the State	60379
Chief Information Officer shall certify to the Director an	60380
estimate of the amount of the cash balance to be transferred to	60381
the receiving fund. The Director may transfer the estimated amount	60382
when needed to make payments. Not more than thirty days after	60383
certifying the estimated amount, the State Chief Information	60384
Officer shall certify the final amount to the Director. The	60385
Director shall transfer the difference between any amount	60386
previously transferred and the certified final amount. The	60387
Director may cancel encumbrances or parts of encumbrances and	60388
re-establish encumbrances or parts of encumbrances as needed in	60389
the appropriate fund and appropriation item for the same purpose	60390
and to the same vendor. As determined by the Director, the	60391
appropriation authority necessary to re-establish those	60392
encumbrances in a different fund or appropriation item in or	60393
between the Office of Budget and Management and the Department of	60394
Administrative Services is hereby authorized. The Director shall	60395
reduce each year's appropriation balances by the amount of the	60396
encumbrances canceled in their respective funds and appropriation	60397
items. Any fiscal year 2008 unencumbered or unallocated	60398
appropriation balances may be transferred to the appropriate item	60399
to be used for the same purposes, as determined by the Director.	60400

Section 515.06. TRANSFER OF PRINTING SERVICES FROM THE OFFICE	60401
OF INFORMATION TECHNOLOGY	60402

Effective July 1, 2007, or the earliest date thereafter	60403
agreed to by the Director of Budget and Management and the	60404
Director of Administrative Services, the Office of Information	60405
Technology printing office currently located on Integrity Drive in	60406
Columbus shall become part of the Department of Administrative	60407
Services. The functions, assets, and liabilities, including, but	60408
not limited to, records, regardless of form or medium, leases, and	60409
contracts, of the printing office are transferred to the	60410
Department of Administrative Services. The Department of	60411
Administrative Services is thereupon and thereafter successor to,	60412
assumes the obligations of, and otherwise constitutes the	60413
continuation of the printing office. The functions of the printing	60414
office are thereupon and thereafter transferred to the Department	60415
of Administrative Services.	60416

Any business commenced but not completed by the printing	60417
office by the date of the transfer shall be completed by the	60418
Department of Administrative Services, in the same manner, and	60419
with the same effect, as if completed by the printing office. No	60420
validation, cure, right, privilege, remedy, obligation, or	60421
liability is lost or impaired by reason of the transfer and shall	60422
be administered by the Department of Administrative Services. All	60423
the printing office's rules, orders, and determinations continue	60424
in effect as rules, orders, and determinations of the Department	60425
of Administrative Services, until modified or rescinded by the	60426
Department of Administrative Services. If necessary to ensure the	60427
integrity of the Administrative Code rule numbering system, the	60428
Director of the Legislative Service Commission shall renumber the	60429
printing office's rules to reflect their transfer to the	60430
Department of Administrative Services.	60431

Employees of the Office of Information Technology designated	60432
as staff in the printing office shall be transferred to the	60433
Department of Administrative Services. Subject to the layoff	60434
provisions of sections 124.321 to 124.328 of the Revised Code, the	60435
layoff provisions of the contract between the state and all	60436
bargaining units affected, the employees transferred to the	60437
Department of Administrative Services retain their positions and	60438
all benefits accruing thereto.	60439

No judicial or administrative action or proceeding to which	60440
the printing office is a party that is pending on July 1, 2007, or	60441
such later date as may be established by the Director of the	60442
Office of Information Technology and the Director of	60443
Administrative Services, is affected by the transfer of functions.	60444
The action or proceeding shall be prosecuted or defended in the	60445
name of the Director of Administrative Services. On application to	60446
the court or agency, the Director of Administrative Services shall	60447
be substituted for the Director of the Office of Information	60448
Technology as a party to the action or proceeding.	60449

On and after July 1, 2007, notwithstanding any provision of	60450
law to the contrary, the Director of Budget and Management shall	60451
take the actions with respect to budget changes made necessary by	60452
the transfer, including administrative reorganization, program	60453
transfers, the creation of new funds, and the consolidation of	60454
funds as authorized by this section. The Director of Budget and	60455
Management may cancel encumbrances and re-establish encumbrances	60456
or parts of encumbrances as needed in fiscal year 2008 in the	60457
appropriate fund and appropriation item for the same purpose and	60458
for payment to the same vendor. The Director of Budget and	60459
Management as determined necessary, may re-establish encumbrances	60460
in fiscal year 2008 in a different fund or appropriation item in	60461
an agency or between agencies. The re-established encumbrances are	60462
hereby appropriated. The Director of Budget and Management shall	60463
reduce each year's appropriation balances by the amount of the	60464
encumbrance canceled in their respective funds and appropriation	60465
items.	60466

Not later than sixty days after the transfer of the printing	60467
office to the Department of Administrative Services, the Director	60468
of the Office of Information Technology shall certify to the	60469
Director of Budget and Management the amount of cash associated	60470
with printing services supported by Fund 133, IT Services Delivery	60471
Fund. Upon receipt of the certification, the Director of Budget	60472
and Management shall transfer cash from Fund 133, IT Services	60473
Delivery Fund, to Fund 210, State Printing Fund. This amount is	60474
hereby appropriated.	60475

Section 515.09. TRANSFER OF MAIL AND FULFILLMENT SERVICES	60476
FROM THE DEPARTMENT OF JOB AND FAMILY SERVICES	60477

Effective July 1, 2007, or the earliest date thereafter	60478
agreed to by the Director of Job and Family Services and the	60479
Director of Administrative Services, the Department of Job and	60480
Family Services mail and fulfillment office, currently located on	60481
Integrity Drive in Columbus shall become part of the Department of	60482
Administrative Services. The functions, assets, and liabilities,	60483
including, but not limited to, records, regardless of form or	60484
medium, leases, and contracts, of the mail and fulfillment office	60485
is transferred to the Department of Administrative Services. The	60486
Department of Administrative Services is thereupon and thereafter	60487
successor to, assumes the obligations of, and otherwise	60488
constitutes the continuation of the mail and fulfillment office.	60489
The functions of the mail and fulfillment office are thereupon and	60490
thereafter transferred to the Department of Administrative	60491
Services.	60492

Any business commenced but not completed by the mail and	60493
fulfillment office by the date of transfer shall be completed by	60494
the Department of Administrative Services, in the same manner, and	60495
with the same effect, as if completed by the mail and fulfillment	60496
office. No validation, cure, right, privilege, remedy, obligation,	60497
or liability is lost or impaired by reason of the transfer and	60498
shall be administered by the Department of Administrative	60499
Services. All of the mail and fulfillment office's rules, orders,	60500
and determinations continue in effect as rules, orders, and	60501
determinations of the Department of Administrative Services, until	60502
modified or rescinded by the Department of Administrative	60503
Services. If necessary to ensure the integrity of the	60504
Administrative Code rule numbering system, the Director of the	60505
Legislative Service Commission shall renumber the mail and	60506
fulfillment office's rules to reflect their transfer to the	60507
Department of Administrative Services.	60508

Employees of the Department of Job and Family Services	60509
designated as staff in the mail and fulfillment office shall be	60510
transferred to the Department of Administrative Services. Subject	60511
to the layoff provisions of sections 124.321 to 124.328 of the	60512
Revised Code, and to provisions of the contract between the state	60513
and all bargaining units affected, the employees transferred to	60514
the Department of Administrative Services retain their positions	60515
and all benefits accruing thereto.	60516

No judicial or administrative action or proceeding to which	60517
the mail and fulfillment office is a party that is pending on July	60518
1, 2007, or such later date as may be established by the Director	60519
of Job and Family Services and the Director of Administrative	60520
Services, is affected by the transfer of functions. The action or	60521
proceeding shall be prosecuted or defended in the name of the	60522
Director of Administrative Services. On application to the court	60523
or agency, the Director of Administrative Services shall be	60524
substituted for the Director of Job and Family Services as a party	60525
to the action or proceeding.	60526

On and after July 1, 2007, notwithstanding any provision of	60527
law to the contrary, the Director of Budget and Management shall	60528
take the actions with respect to budget changes made necessary by	60529
the transfer, including administrative reorganization, program	60530
transfers, the creation of new funds, and the consolidation of	60531
funds as authorized by this section. The Director of Budget and	60532
Management may cancel encumbrances and re-establish encumbrances	60533
or parts of encumbrances as needed in fiscal year 2008 in the	60534
appropriate fund and appropriation item for the same purpose and	60535
for payment to the same vendor. The Director of Budget and	60536
Management, as determined necessary, may re-establish encumbrances	60537
in fiscal year 2008 in a different fund or appropriation item in	60538
an agency or between agencies. The re-established encumbrances are	60539
hereby appropriated. The Director of Budget and Management shall	60540
reduce each year's appropriation balances by the amount of the	60541
encumbrance canceled in their respective funds and appropriation	60542
items.	60543

The Director of Job and Family Services and the Director of	60544
Administrative Services shall enter into an interagency agreement	60545
establishing terms and timetables for the implementation of this	60546
section. The interagency agreement shall include provisions for	60547
credits to the Department of Job and Family Services for prepaid	60548
postage, agreements for the credit, transfer, or reimbursement of	60549
funds to the Department of Job and Family Services to comply with	60550
terms and conditions applicable to federal funds expended by the	60551
department for the purchase, maintenance, and operation of	60552
equipment, agreements for ongoing operations in compliance with	60553
federal requirements applicable to Department of Job and Family	60554
Services programs that utilize the mail and fulfillment services,	60555
transfer of or sharing of lease agreements, and any other	60556
agreements that the Director of Job and Family Services and the	60557
Director of Administrative Services determine to be necessary for	60558
the successful implementation of this section.	60559

Not later than sixty days after the transfer of the mail and	60560
fulfillment office to the Department of Administrative Services,	60561
the Director of Job and Family Services shall certify to the	60562
Director of Budget and Management the amount of any unexpended	60563
balance of appropriations made to the department to support the	60564
office. Upon receipt of the certification, the Director of Budget	60565
and Management shall transfer the appropriations and cash to Fund	60566
210, State Printing Fund.	60567

Section 518.03. BUDGET ADJUSTMENTS TO REFLECT TOBACCO	60568
SECURITIZATION	60569

(A) Notwithstanding any other provision of law to the	60570
contrary, the Director of Budget and Management, periodically on	60571
any date following the issuance of the tobacco obligations	60572
authorized in section 183.51 of the Revised Code and through June	60573
30, 2009, may:	60574

(1) Determine the amount of appropriation items 235-909,	60575
Higher Education General Obligation Debt Service, and 230-908,	60576
Common Schools General Obligation Debt Service, that are in excess	60577
of the amounts needed to pay all debt service and financing costs	60578
on those obligations payable from each of those items and transfer	60579
all or any portion of that excess appropriation to appropriation	60580
item 200-901, Property Tax Allocation-Education, or 110-901,	60581
Property Tax Allocation-Taxation, or both together as needed for	60582
the purposes of making the state's property tax relief payments to	60583
school districts and counties.	60584

(2) Determine the amount by which interest earnings credited	60585
to Fund 034, Higher Education Improvement Fund, and Fund 032,	60586
School Building Program Assistance Fund, from the investment of	60587
the net proceeds of those tobacco obligations exceed the amount	60588
needed to satisfy appropriations from those funds, transfer all or	60589
part of that excess cash balance to the General Revenue Fund, and	60590
increase appropriation item 200-901, Property Tax	60591
Allocation-Education, or 110-901, Property Tax	60592
Allocation-Taxation, or both together, by up to the amount of cash	60593
so transferred to the General Revenue Fund.	60594

(3) Determine the amount of capital appropriation in CAP-770,	60595
School Building Assistance Program, transfer cash to Fund 5E3,	60596
School Facilities Commission, an amount that is necessary to fully	60597
expend the amount of net proceeds deposited into Fund 032, School	60598
Building Program Assistance Fund, from the issuance of those	60599
tobacco obligations and increase the appropriations for CAP-770	60600
and appropriation item 230-644, Operating Expenses-School	60601
Facilities Commission, by the necessary amount.	60602

(4) Determine the amount of additional capital appropriations	60603
necessary to fully expend the amount of net proceeds deposited	60604
from the issuance of those tobacco obligations into Fund 034,	60605
Higher Education Improvement Fund.	60606

(5) Reduce the amount of authorization to issue and sell	60607
general obligations to pay the costs of capital facilities for a	60608
system of common schools throughout the state granted to the Ohio	60609
Public Facilities Commission by prior acts of the General Assembly	60610
to reflect the amount of net proceeds of those tobacco obligations	60611
deposited into Fund 034, Higher Education Improvement Fund, that	60612
are intended to replace general obligations for the purpose.	60613

(6) Reduce the amount of authorization to issue and sell	60614
general obligations to pay the costs of capital facilities for	60615
state-supported and state-assisted institutions of higher	60616
education granted to the Ohio Public Facilities Commission by	60617
prior acts of the General Assembly to reflect the amount of net	60618
proceeds of those tobacco obligations deposited into Fund 034,	60619
Higher Education Improvement Fund, that are intended to replace	60620
general obligations for the purpose.	60621

(B) When any of the determinations, transfers, and increases	60622
or decreases in appropriations and authorizations described in	60623
division (A) of this section have been completed, the Office of	60624
Budget and Management shall make a report to the Controlling Board	60625
at its next regularly scheduled meeting.	60626

Section 518.06. GENERAL OBLIGATION DEBT SERVICE PAYMENTS

60627

Certain appropriations are in this act for the purpose of	60628
paying debt service and financing costs on general obligation	60629
bonds or notes of the state issued pursuant to the Ohio	60630
Constitution and acts of the General Assembly. If it is determined	60631
that additional appropriations are necessary for this purpose,	60632
such amounts are hereby appropriated.	60633

Section 518.09.  LEASE PAYMENTS TO OPFC, OBA, AND TREASURER	60634
OF STATE	60635

Certain appropriations are in this act for the purpose of	60636
making lease rental payments pursuant to leases and agreements	60637
relating to bonds or notes issued by the Ohio Building Authority	60638
or the Treasurer of State or, previously, by the Ohio Public	60639
Facilities Commission, pursuant to the Ohio Constitution and acts	60640
of the General Assembly. If it is determined that additional	60641
appropriations are necessary for this purpose, such amounts are	60642
hereby appropriated.	60643

Section 518.12. AUTHORIZATION FOR TREASURER OF STATE AND OBM	60644
TO EFFECTUATE CERTAIN DEBT SERVICE PAYMENTS	60645

The Office of Budget and Management shall initiate and	60646
process disbursements from general obligation and lease rental	60647
payment appropriation items during the period from July 1, 2007,	60648
to June 30, 2009, relating to bonds or notes issued under Sections	60649
2i, 2k, 2l, 2m, 2n, 2o, 2p and 15 of Article VIII, Ohio	60650
Constitution, and Chapters 151. and 154. of the Revised Code.	60651
Disbursements shall be made upon certification by the Treasurer of	60652
State, Office of the Sinking Fund, of the dates and the amounts	60653
due on those dates.	60654

Section 521.03.  STATE AND LOCAL REBATE AUTHORIZATION

60655

There is hereby appropriated, from those funds designated by	60656
or pursuant to the applicable proceedings authorizing the issuance	60657
of state obligations, amounts computed at the time to represent	60658
the portion of investment income to be rebated or amounts in lieu	60659
of or in addition to any rebate amount to be paid to the federal	60660
government in order to maintain the exclusion from gross income	60661
for federal income tax purposes of interest on those state	60662
obligations under section 148(f) of the Internal Revenue Code.	60663

Rebate payments shall be approved and vouchered by the Office	60664
of Budget and Management.	60665

Section 521.06. STATEWIDE INDIRECT COST RECOVERY

60666

Whenever the Director of Budget and Management determines	60667
that an appropriation made to a state agency from a fund of the	60668
state is insufficient to provide for the recovery of statewide	60669
indirect costs under section 126.12 of the Revised Code, the	60670
amount required for such purpose is hereby appropriated from the	60671
available receipts of such fund.	60672

Section 521.07.  GRF TRANSFERS ON BEHALF OF THE STATEWIDE	60673
INDIRECT COST ALLOCATION PLAN	60674

The total transfers made from the General Revenue Fund by the	60675
Director of Budget and Management under this section shall not	60676
exceed the amounts transferred into the General Revenue Fund under	60677
division (B) of section 126.12 of the Revised Code.	60678

The director of an agency may certify to the Director of	60679
Budget and Management the amount of expenses not allowed to be	60680
included in the Statewide Indirect Cost Allocation Plan under	60681
federal regulations, from any fund included in the Statewide	60682
Indirect Cost Allocation Plan, prepared as required by section	60683
126.12 of the Revised Code.	60684

Upon determining that no alternative source of funding is	60685
available to pay for such expenses, the Director of Budget and	60686
Management may transfer from the General Revenue Fund into the	60687
fund for which the certification is made, up to the amount of the	60688
certification. The director of the agency receiving such funds	60689
shall include, as part of the next budget submission prepared	60690
under section 126.02 of the Revised Code, a request for funding	60691
for such activities from an alternative source such that further	60692
federal disallowances would not be required.	60693

Section 521.08.  FEDERAL GOVERNMENT INTEREST REQUIREMENTS

60694

Notwithstanding any provision of law to the contrary, on or	60695
before the first day of September of each fiscal year, the	60696
Director of Budget and Management, in order to reduce the payment	60697
of adjustments to the federal government, as determined by the	60698
plan prepared under division (A) of section 126.12 of the Revised	60699
Code, may designate such funds as the director considers necessary	60700
to retain their own interest earnings.	60701

Section 521.12.  FEDERAL CASH MANAGEMENT IMPROVEMENT ACT

60702

Pursuant to the plan for compliance with the Federal Cash	60703
Management Improvement Act required by section 131.36 of the	60704
Revised Code, the Director of Budget and Management may cancel and	60705
re-establish all or part of encumbrances in like amounts within	60706
the funds identified by the plan. The amounts necessary to	60707
re-establish all or part of encumbrances are hereby appropriated.	60708

AUTO EMISSIONS TESTING PROGRAM

60709

On July 1 of each fiscal year or as soon as possible	60710
thereafter the Director of Budget and Management shall transfer	60711
$14,817,105 for use in fiscal year 2008 and $15,057,814 for use in	60712
fiscal year 2009 from the Highway Operating Fund (Fund 002) to the	60713
Auto Emissions Test Fund (Fund 5BY) in the budget of the Ohio	60714
Environmental Protection Agency for the operation and costs for	60715
oversight of the auto emissions testing program. This cash	60716
transfer represents Congestion Mitigation and Air Quality (CMAQ)	60717
program moneys within the Department of Transportation for use by	60718
the auto emissions testing program (E-check) by the Ohio	60719
Environmental Protection Agency. The allocation shall not reduce	60720
the total amount of such moneys designated for metropolitan	60721
planning organizations.	60722

Section 521.18. STATE SPECIAL PROJECTS

60723

The foregoing fund, Fund 4F2, State Special Projects, shall	60724
be used for the deposit of private-sector funds from utility	60725
companies and fees assessed under division (A)(14) of section	60726
122.011 of the Revised Code and for the deposit of other	60727
miscellaneous state funds. Private-sector moneys shall be used to:	60728
(1) Pay the expenses of verifying the income-eligibility of HEAP	60729
applicants, (2) Market economic development opportunities in the	60730
state, and (3) Leverage additional federal funds. Fees assessed	60731
under division (A)(14) of section 122.011 of the Revised Code	60732
shall be used to support the Brownfield Revolving Loan Fund	60733
Program. State funds shall be used to market economic development	60734
opportunities in the state.	60735

Section 606.05. That Section 611.03 of Am. Sub. H.B. 66 of	60736
the 126th General Assembly be amended to read as follows:	60737

Sec. 611.03. DELAYED IMPLEMENTATION OF CENTRALIZED PUBLIC	60738
SCHOOL EMPLOYEES' HEALTH CARE BENEFITS SYSTEM	60739

Notwithstanding the amendments made to sections 9.833, 9.90,	60740
3311.19, 3313.12, 3313.202, 3313.33, 4117.03, and 4117.08 of the	60741
Revised Code by this actAm. Sub. H.B. 66 of the 126th General	60742
Assembly and the enactment of section 9.901 of the Revised Code by	60743
thisthat same act, the following amendments to a section or	60744
enactment of provisions shall not take effect unless and until the	60745
General Assembly, by subsequent enactment of law, confirms those	60746
amendments and provisions, orders their implementation, and makes	60747
such other specifications pertaining to that implementation as is	60748
then necessary:	60749

(A) All amendments to sections 9.833, 9.90, 3311.19, 3313.12,	60750
3313.202, 3313.33, 4117.03, and 4117.08 of the Revised Code.	60751

(B) The following provisions of section 9.901 of the Revised	60752
Code as enacted:	60753

(1) Division (A)(1);

60754

(2) The provision that authorizes the soliciting of bids in	60755
division (A)(3);	60756

(3) Division (F), except for the provision that creates the	60757
school employees health care fund in the state treasury;	60758

(4) Division (I)(1);

60759

(5) Division (I)(5);

60760

(6) Division (J), except for the provision that authorizes	60761
the School Employees Health Care Board to contract with the	60762
Department of Administrative Services for central services and	60763
reimburse the Department for such services;	60764

(7) Division (K);

60765

(8) Division (L); and

60766

(9) Division (M).

60767

(C) The provision in Section 203.12.02 of this actSection	60768
207.10.10 of the ....... 127th General Assembly that extends the	60769
duties of the executive director and assistant tonecessary staff	60770
of the School Employees Health Care Board to the Public School	60771
Employee Health Insurance Program being proposed for establishment	60772
and the provision requiring the reimbursement of the General	60773
Revenue Fund of $2,700,000an amount equal to the total	60774
expenditures made and obligations incurred under appropriation	60775
item 100-403, Public School Employee Benefits, by the School	60776
Employees Health Care Fund pending a future determination of the	60777
sufficiency of premium payments. (Section 207.10.10 of this act	60778
replaces and is successor to Section 203.12.02 of Am. Sub. H.B. 66	60779
of the 126th General Assembly.)	60780

Section 606.06. That existing Section 611.03 of Am. Sub. H.B.	60781
66 of the 126th General Assembly is hereby repealed.	60782

Section 606.11. That Section 235.30 of Am. Sub. H.B. 530 of	60783
the 126th General Assembly, as amended by Sub. H.B. 251 of the	60784
126th General Assembly, be amended to read as follows:	60785

Reappropriations

Sec. 235.30.  DAS DEPARTMENT OF ADMINISTRATIVE SERVICES

60786

CAP-809		Hazardous Substance Abatement		$	1,609,476		60787
CAP-811		Health/EPA Laboratory Facilities		$	1,116,354		60788
CAP-822		Americans with Disabilities Act		$	1,598,416		60789
CAP-826		Office Services Building Renovation		$	86,483		60790
CAP-827		Statewide Communications System		$	16,943,803		60791
CAP-834		Capital Project Management System		$	1,157,600		60792
CAP-835		Energy Conservation Projects		$	4,490,085		60793
CAP-837		Major Computer Purchases		$	1,476,068		60794
CAP-838		SOCC Renovations		$	1,399,122		60795
CAP-844		Hamilton State/Local Government Center - Planning		$	57,500		60796
CAP-849		Facility Planning and Development		$	3,492,200		60797
CAP-850		Education Building Renovations		$	14,649		60798
CAP-852		North High Building Complex Renovations		$	11,534,496		60799
CAP-855		Office Space Planning		$	5,274,502		60800
CAP-856		Governor's Residence Security Update		$	6,433		60801
CAP-859		eSecure Ohio		$	2,626,921		60802
CAP-860		Structured Cabling		$	403,518		60803
CAP-864		eGovernment Infrastructure		$	1,297,400		60804
CAP-865		DAS Building Security		$	140,852		60805
CAP-866		OH*1 Network		$	4,000,000		60806
CAP-867		Lausche Building Connector		$	1,307,200		60807
CAP-868		Riversouth Development		$	18,500,000		60808
Total Department of Administrative Services				$	78,533,078		60809

HAZARDOUS SUBSTANCE ABATEMENT IN STATE FACILITIES

60810

The foregoing appropriation item CAP-809, Hazardous Substance	60811
Abatement, shall be used to fund the removal of asbestos, PCB,	60812
radon gas, and other contamination hazards from state facilities.	60813

Prior to the release of funds for asbestos abatement, the	60814
Department of Administrative Services shall review proposals from	60815
state agencies to use these funds for asbestos abatement projects	60816
based on criteria developed by the Department of Administrative	60817
Services. Upon a determination by the Department of Administrative	60818
Services that the requesting agency cannot fund the asbestos	60819
abatement project or other toxic materials removal through	60820
existing capital and operating appropriations, the Department may	60821
request the release of funds for such projects by the Controlling	60822
Board. State agencies intending to fund asbestos abatement or	60823
other toxic materials removal through existing capital and	60824
operating appropriations shall notify the Director of	60825
Administrative Services of the nature and scope prior to	60826
commencing the project.	60827

Only agencies that have received appropriations for capital	60828
projects from the Administrative Building Fund (Fund 026) are	60829
eligible to receive funding from this item. Public school	60830
districts are not eligible.	60831

IMPLEMENTATION OF AMERICANS WITH DISABILITIES ACT

60832

The foregoing appropriation item CAP-822, Americans with	60833
Disabilities Act, shall be used to renovate state-owned facilities	60834
to provide access for physically disabled persons in accordance	60835
with Title II of the Americans with Disabilities Act.	60836

Prior to the release of funds for renovation, state agencies	60837
shall perform self-evaluations of state-owned facilities	60838
identifying barriers to access to service. State agencies shall	60839
prioritize access barriers and develop a transition plan for the	60840
removal of these barriers. The Department of Administrative	60841
Services shall review proposals from state agencies to use these	60842
funds for Americans with Disabilities Act renovations.	60843

Only agencies that have received appropriations for capital	60844
projects from the Administrative Building Fund (Fund 026) are	60845
eligible to receive funding from this item. Public school	60846
districts are not eligible.	60847

MARCS STEERING COMMITTEE AND STATEWIDE COMMUNICATIONS SYSTEM

60848

There is hereby continued a Multi-Agency Radio Communications	60849
System (MARCS) Steering Committee consisting of the designees of	60850
the Directors of the Office of Information Technology, Public	60851
Safety, Natural Resources, Transportation, Rehabilitation and	60852
Correction, and Budget and Management. The Director of the Office	60853
of Information Technology or the Director's designee shall chair	60854
the Committee. The Committee shall provide assistance to the	60855
Director of the Office of Information Technology for effective and	60856
efficient implementation of the MARCS system as well as develop	60857
policies for the ongoing management of the system. Upon dates	60858
prescribed by the Directors of the Office of Information	60859
Technology and Budget and Management, the MARCS Steering Committee	60860
shall report to the Directors on the progress of MARCS	60861
implementation and the development of policies related to the	60862
system.	60863

The foregoing appropriation item CAP-827, Statewide	60864
Communications System, shall be used to purchase or construct the	60865
components of MARCS that are not specific to any one agency. The	60866
equipment may include, but is not limited to, multi-agency	60867
equipment at the Emergency Operations Center/Joint Dispatch	60868
Facility, computer and telecommunication equipment used for the	60869
functioning and integration of the system, communications towers,	60870
tower sites, tower equipment, and linkages among towers and	60871
between towers and the State of Ohio Network for Integrated	60872
Communication (SONIC) system. The Director of the Office of	60873
Information TechnologyState Chief Information Officer shall, with	60874
the concurrence of the MARCS Steering Committee, determine the	60875
specific use of funds.	60876

The amount reappropriated for the foregoing appropriation	60877
item CAP-827, Statewide Communications System, is the unencumbered	60878
and unallotted balance as of June 30, 2006, in appropriation item	60879
CAP-827, Statewide Communications System, plus $623,665.11.	60880

Spending from this appropriation item shall not be subject to	60881
Chapters 123. and 153. of the Revised Code.	60882

ENERGY CONSERVATION PROJECTS

60883

The foregoing appropriation item CAP-835, Energy Conservation	60884
Projects, shall be used to perform energy conservation	60885
renovations, including the United States Environmental Protection	60886
Agency's Energy Star Program, in state-owned facilities. Prior to	60887
the release of funds for renovation, state agencies shall have	60888
performed a comprehensive energy audit for each project. The	60889
Department of Administrative Services shall review and approve	60890
proposals from state agencies to use these funds for energy	60891
conservation. Public school districts and state-supported and	60892
state-assisted institutions of higher education are not eligible	60893
for funding from this item.	60894

The amount reappropriated for the foregoing appropriation	60895
item CAP-835, Energy Conservation Projects, is the unencumbered	60896
and unallotted balance as of June 30, 2006, in appropriation item	60897
CAP-835, Energy Conservation Projects, plus $3,600,000.	60898

NORTH HIGH BUILDING COMPLEX RENOVATIONS

60899

The amount reappropriated for the foregoing appropriation	60900
item CAP-852, North High Building Complex Renovations, is the	60901
unencumbered and unallotted balance as of June 30, 2006, in	60902
appropriation item CAP-852, North High Building Complex	60903
Renovations, plus the sum of the unencumbered and unallotted	60904
balance for appropriation item CAP-813, Heer Building Renovation	60905
as of June 30, 2006.	60906

Section 606.12. That existing Section 235.30 of Am. Sub. H.B.	60907
530 of the 126th General Assembly, as amended by Sub. H.B. 251 of	60908
the 126th General Assembly is hereby repealed.	60909

Section 606.18. That Sections 227.10, 235.20.20, 235.30.70,	60910
and 329.10 of Am. Sub. H.B. 699 of the 126th General Assembly be	60911
amended to read as follows:	60912

Sec. 227.10. All items set forth in this section are hereby	60913
appropriated out of any moneys in the state treasury to the credit	60914
of the Cultural and Sports Facilities Building Fund (Fund 030),	60915
that are not otherwise appropriated.	60916

Appropriations

AFC CULTURAL FACILITIES COMMISSION

60917

CAP-734		Hayes Center Renov & Repairs		$	300,000		60918
CAP-745		Renovations and Repairs		$	850,000		60919
CAP-763		Historic Site Signage		$	250,000		60920
CAP-770		Serpent Mound Improvements		$	340,000		60921
CAP-781		Information Technology Project		$	364,000		60922
CAP-784		Center Rehabilitation		$	1,035,000		60923
CAP-803		Digitization of Collections		$	300,000		60924
CAP-809		Exhibit Replace/Orientation		$	415,000		60925
CAP-910		Collections Facility Planning		$	1,240,000		60926
CAP-911		W.P. Snyder Restoration		$	876,000		60927
CAP-912		Lockington Locks Restoration		$	172,000		60928

CAP-913		Huntington Park		$	7,000,000		60929
CAP-914		Schuster Center for the Performing Arts		$	5,500,000		60930
CAP-916		Cincinnati Symphony Orchestra - Riverbend		$	3,000,000		60931
CAP-917		Marina District Amphitheatre		$	2,900,000		60932
CAP-918		Cincinnati Museum Center		$	2,000,000		60933
CAP-919		National Underground Railroad Freedom Center		$	2,000,000		60934
CAP-920		Cincinnati Sports Facility Improvements		$	2,000,000		60935
CAP-921		Pro Football Hall of Fame		$	1,650,000		60936
CAP-922		Heritage Center of Dayton Manufacturing & Entrepreneurship		$	1,300,000		60937
CAP-923		Western Reserve Historical Society		$	1,000,000		60938
CAP-925		COSI Columbus		$	1,000,000		60939
CAP-926		Columbus Museum of Art		$	1,000,000		60940
CAP-927		Mason ATP Tennis Center		$	1,300,000		60941
CAP-928		Stan Hywet Hall and Gardens		$	1,175,000		60942
CAP-929		Akron Art Museum		$	1,000,000		60943
CAP-930		Sauder Village		$	830,000		60944
CAP-931		Horvitz Center for the Arts		$	750,000		60945
CAP-932		Ensemble Theatre		$	750,000		60946
CAP-933		Voice of America Museum		$	750,000		60947
CAP-934		Cleveland Steamship Mather		$	600,000		60948
CAP-935		Cuyahoga County Soldiers' and Sailors Monument		$	500,000		60949
CAP-936		King-Lincoln Arts & Entertainment District		$	500,000		60950
CAP-937		Art Academy of Cincinnati		$	500,000		60951
CAP-938		Great Lakes Historical Society		$	500,000		60952
CAP-939		McKinley Museum		$	425,000		60953
CAP-940		Charles A. Eulett Education Center and Appalachian Museum		$	300,000		60954
CAP-942		Davis Shai Historical Facility		$	300,000		60955
CAP-943		Massillon Museum		$	275,000		60956
CAP-944		The Mandel Center		$	250,000		60957
CAP-945		Worthington Arts Center		$	250,000		60958
CAP-946		CCAD		$	250,000		60959
CAP-947		BalletMet		$	250,000		60960
CAP-948		Stambaugh Hall Improvements		$	250,000		60961
CAP-949		Youngstown Symphony Orchestra		$	250,000		60962
CAP-950		Wood County Historical Center & Museum		$	220,000		60963
CAP-951		Harding Memorial		$	210,000		60964
CAP-952		Cincinnati Ballet		$	200,000		60965
CAP-953		City of Avon Stadium Complex		$	200,000		60966
CAP-954		Renaissance Performing Arts Center		$	200,000		60967
CAP-956		Oxford Arts Center Historic Renovation		$	174,000		60968
CAP-957		Wayne County Historical Society - Lincoln Highway		$	170,000		60969
CAP-958		Maumee Valley Historical Society		$	150,000		60970
CAP-959		Trumbull County Historical Society		$	150,000		60971
CAP-960		First Lunar Flight Project		$	25,000		60972
CAP-961		Holmes County Historical Society Improvements		$	140,000		60973
CAP-962		Canal Winchester Historical Society		$	125,000		60974
CAP-963		Ukrainian Museum		$	100,000		60975
CAP-964		Gordon Square Arts District		$	100,000		60976
CAP-965		Moreland Theatre Renovation		$	100,000		60977
CAP-966		Karamu House		$	100,000		60978
CAP-967		Symmes Township Historical Society - Ross House		$	100,000		60979
CAP-968		Springfield Veterans Park Amphitheatre		$	100,000		60980
CAP-969		Gallia County Historical Genealogical Society		$	100,000		60981
CAP-970		Gallia County French Art Colony		$	100,000		60982
CAP-971		The Octagon House		$	100,000		60983
CAP-972		Vinton County Stages - Pavilion Project		$	100,000		60984
CAP-973		County Line Historical Society (Wayne/Holmes)		$	100,000		60985
CAP-974		Paul Brown Museum		$	75,000		60986
CAP-975		The Works - Ohio Center for History, Art and Technology		$	75,000		60987
CAP-976		Van Wert Historical Society		$	70,000		60988
CAP-977		Indian Mill Renovations		$	66,000		60989
CAP-978		Hale Farm & Village		$	50,000		60990
CAP-979		Howe House Historic Site		$	50,000		60991
CAP-980		Beavercreek Community Theatre		$	50,000		60992
CAP-981		Jamestown Opera House		$	50,000		60993
CAP-982		Johnny Appleseed Museum		$	50,000		60994
CAP-983		Vinton County Historical Society - Alice's House Project		$	50,000		60995
CAP-984		Woodward Opera House		$	50,000		60996
CAP-985		Little Brown Jug Facility Improvements		$	50,000		60997
CAP-986		Applecreek Historical Society		$	50,000		60998
CAP-987		Wyandot Historic Building Renovation		$	50,000		60999
CAP-988		Galion Historic Big Four Depot Restoration		$	30,000		61000
CAP-989		Bucyrus Historic Depot Renovations		$	30,000		61001
CAP-990		Myers Historical Stagecoach Inn Renovation		$	25,000		61002
CAP-991		Arts West Performing Arts Center		$	25,000		61003
CAP-992		Chester Academy Historic Building		$	25,000		61004
CAP-993		Portland Civil War Museum and Historic Displays		$	25,000		61005
CAP-994		Morgan County Historic Opera House		$	25,000		61006
CAP-996		Crawford Antique Museum		$	9,000		61007
CAP-997		Monroe City Historical Society Building Repairs		$	5,000		61008
CAP-998		Wright-Dunbar Historical		$	250,000		61009
CAP-041		Cleveland Playhouse		$	200,000		61010
CAP-081		Hip Klotz Memorial Facility Improvements		$	150,000		61011
CAP-082		Music Hall Garage		$	1,000,000		61012
CAP-083		AB Graham Center		$	40,000		61013
CAP-084		Bradford Ohio Railroad Museum Restoration		$	30,000		61014
CAP-085		WACO Aircraft Museum		$	30,000		61015
CAP-086		Fort Recovery Renovations		$	100,000		61016
CAP-087		Columbus Children's Hospital Amphitheater		$	1,000,000		61017
Total Cultural Facilities Commission				$	55,296,000		61018
TOTAL Cultural and Sports Facilities Building Fund				$	55,296,000		61019

CAPITAL DONATIONS FUND CERTIFICATIONS AND APPROPRIATIONS

61020

The Executive Director of the Cultural Facilities Commission	61021
shall certify to the Director of Budget and Management the amount	61022
of cash receipts and related investment income, irrevocable	61023
letters of credit from a bank, or certification of the	61024
availability of funds that have been received from a county or a	61025
municipal corporation for deposit into the Capital Donations Fund	61026
and are related to an anticipated project. These amounts are	61027
hereby appropriated to appropriation item CAP-702, Capital	61028
Donations. Prior to certifying these amounts to the Director, the	61029
Executive Director shall make a written agreement with the	61030
participating entity on the necessary cash flows required for the	61031
anticipated construction or equipment acquisition project.	61032

Appropriations

Sec. 235.20.20. CLS CLEVELAND STATE UNIVERSITY

61033

CAP-023		Basic Renovations		$	3,796,031		61034
CAP-125		College of Education		$	10,115,719		61035
CAP-148		Cleveland Institute of Art		$	1,000,000		61036
CAP-163		Anthropology Department Renovations/Relocation		$	400,000		61037
CAP-164		Chester Building Annex Demolition		$	921,583		61038
CAP-165		Bakers Building Renovations		$	1,328,583		61039
CAP-166		Playhouse Square Center - Hanna Theatre		$	750,000		61040
CAP-167		Cleveland State University Windtower Generator Project		$	400,000		61041
CAP-168		Kenston Wind Turbine Project in Geauga (CSU Engineering Department)		$	300,000		61042
CAP-169		Cleveland Museum of Art		$	3,000,000		61043
Total Cleveland State University				$	22,011,916 18,261,916		61044

Appropriations

Sec. 235.30.70. CCC CUYAHOGA COMMUNITY COLLEGE

61046

CAP-031		Basic Renovations		$	3,866,782		61047
CAP-095		Collegewide Asset Protection and Building Codes Upgrade		$	2,411,797		61048
CAP-099		Hospitality Management Program		$	4,000,000		61049
CAP-100		Theater/Auditorium Renovations		$	4,036,552		61050
CAP-101		Nursing Clinical Simulation Center		$	250,000		61051
CAP-102		Rock and Roll Hall of Fame Archives		$	200,000		61052
CAP-166		Playhouse Square Center - Hanna Theatre		$	750,000		61053
CAP-169		Cleveland Museum of Art		$	3,000,000		61054
Total Cuyahoga Community College				$	14,765,131 18,515,131		61055

Sec. 329.10. OHIO ADMINISTRATIVE KNOWLEDGE SYSTEM PROJECT

61057

The Ohio Administrative Knowledge System (OAKS) shall be an	61058
enterprise resource planning system that replaces the state's	61059
central services infrastructure systems, including the Central	61060
Accounting System, the Human Resources/Payroll System, the Capital	61061
Improvements Projects Tracking System, the Fixed Assets Management	61062
System, and the Procurement System. The Department of	61063
Administrative Services, in conjunction with the Office of Budget	61064
and Management,Office of Information Technology may acquire the	61065
system, including, but not limited to, the enterprise resource	61066
planning software and installation and implementation thereof	61067
pursuant to Chapter 125. of the Revised Code. Any lease-purchase	61068
arrangement utilized under Chapter 125. of the Revised Code,	61069
including any fractionalized interest therein as defined in	61070
division (N) of section 133.01 of the Revised Code, shall provide	61071
at the end of the lease period that OAKS shall become the property	61072
of the state.	61073

Section 606.19. That existing Sections 227.10, 235.20.20,	61074
235.30.70, and 329.10 of Am. Sub. H.B. 699 of the 126th General	61075
Assembly are hereby repealed.	61076

*       Section 609.05. That Section 4 of Am. Sub. H.B. 516 of the	61077
125th General Assembly, as amended by both Am. Sub. H.B. 66 and	61078
Sub. S.B. 124 of the 126th General Assembly, be amended to read as	61079
follows:	61080

Sec. 4. The following agencies shall be retained pursuant to	61081
division (D) of section 101.83 of the Revised Code and shall	61082
expire on December 31, 2010:	61083

		REVISED CODE OR			61084
		UNCODIFIED			61085
AGENCY NAME		SECTION			61086

Administrator, Interstate Compact on Mental Health		5119.50		61087
Administrator, Interstate Compact on		5103.20		61088
Placement of Children				61089
Advisory Board of Governor's Office of Faith-Based and Community Initiatives		107.12		61090
Advisory Boards to the EPA for Air Pollution		121.13		61091
Advisory Boards to the EPA for Water Pollution		121.13		61092
Advisory Committee of the State Veterinary Medical Licensing Board		4741.03(D)(3)		61093
Advisory Committee on Livestock Exhibitions		901.71		61094
Advisory Council on Amusement Ride Safety		1711.51		61095
Advisory Board of Directors for Prison Labor		5145.162		61096
Advisory Council for Each Wild, Scenic, or Recreational River Area		1517.18		61097
Advisory Councils or Boards for State Departments		107.18 or 121.13		61098
Advisory Group to the Ohio Water Resources Council		1521.19(C)		61099
Alzheimer's Disease Task Force		173.04(F)		61100
AMBER Alert Advisory Committee		5502.521		61101
Apprenticeship Council		4139.02		61102
Armory Board of Control		5911.09		61103
Automated Title Processing Board		4505.09(C)(1)		61104
Banking Commission		1123.01		61105
Board of Directors of the Ohio Health Reinsurance Program		3924.08		61106
Board of Voting Machine Examiners		3506.05(B)		61107
Brain Injury Advisory Committee		3304.231		61108
Capitol Square Review and Advisory Board		105.41		61109
Child Support Guideline Advisory Council		3119.024		61110
Children's Trust Fund Board		3109.15		61111
Citizens Advisory Committee (BMV)		4501.025		61112
Citizen's Advisory Councils (Dept. of Mental Retardation and Developmental Disabilities)		5123.092		61113
Clean Ohio Trail Advisory Board		1519.06		61114
Coastal Resources Advisory Council		1506.12		61115
Commission on African-American Males		4112.12		61116
Commission on Hispanic-Latino Affairs		121.31		61117
Commission on Minority Health		3701.78		61118
Committee on Prescriptive Governance		4723.49		61119
Commodity Advisory Commission		926.32		61120
Community Mental Retardation and Developmental Disabilities Trust Fund Advisory Council		5123.353		61121
Community Oversight Council		3311.77		61122
Compassionate Care Task Force		Section 3, H.B. 474, 124th GA		61123
Continuing Education Committee (for Sheriffs)		109.80		61124
Coordinating Committee, Agricultural Commodity Marketing Programs		924.14		61125
Council on Alcohol and Drug Addiction Services		3793.09		61126
Council on Unreclaimed Strip Mined Lands		1513.29		61127
Council to Advise on the Establishment and Implementation of the Birth Defects Information System		3705.34		61128
County Sheriffs' Standard Car-Marking and Uniform Commission		311.25		61129
Credit Union Council		1733.329		61130
Criminal Sentencing Advisory Committee		181.22		61131
Day-Care Advisory Council		5104.08		61132
Dentist Loan Repayment Advisory Board		3702.92		61133
Development Financing Advisory Council		122.40		61134
Education Commission of the States (Interstate Compact for Education)		3301.48		61135
Electrical Safety Inspector Advisory Committee		3783.08		61136
Emergency Response Commission		3750.02		61137
Engineering Experiment Station Advisory Committee		3335.27		61138
Environmental Education Council		3745.21		61139
EPA Advisory Boards or Councils		121.13		61140
Farmland Preservation Advisory Board		901.23		61141
Financial Planning & Supervision Commission for Municipal Corporation, County, or Township		118.05		61142
Financial Planning & Supervision Commission for School District		3316.05		61143
Forestry Advisory Council		1503.40		61144
Governance Authority for a State University or College		3345.75		61145
Governor's Advisory Council on Physical Fitness, Wellness, & Sports		3701.77		61146
Governor's Council on People with Disabilities		3303.41		61147
Governor's Residence Advisory Commission		107.40		61148
Great Lakes Commission (Great Lakes Basin Compact)		6161.01		61149
Gubernatorial Transition Committee		107.29		61150
Head Start Partnership Study Council		Section 41.35, H.B. 95, 125th GA		61151
Hemophilia Advisory Subcommittee		3701.0210		61152
Housing Trust Fund Advisory Committee		175.25		61153
Industrial Commission Nominating Council		4121.04		61154
Industrial Technology and Enterprise Advisory Council		122.29		61155
Infant Hearing Screening Subcommittee		3701.507		61156
Insurance Agent Education Advisory Council		3905.483		61157
Interagency Council on Hispanic/Latino Affairs		121.32(J)		61158
Interstate Mining Commission (Interstate Mining Compact)		1514.30		61159
Interstate Rail Passenger Advisory Council (Interstate High Speed Intercity Rail Passenger Network Compact)		4981.35		61160
Joint Council on MR/DD		101.37		61161
Joint Select Committee on Volume Cap		133.021		61162
Labor-Management Government Advisory Council		4121.70		61163
Legal Rights Service Commission		5123.60		61164
Legislative Task Force on Redistricting, Reapportionment, and Demographic Research		103.51		61165
Maternal and Child Health Council		3701.025		61166
Medically Handicapped Children's Medical Advisory Council		3701.025		61167
Midwest Interstate Passenger Rail Compact Commission (Ohio members)		4981.361		61168
Military Activation Task Force		5902.15		61169
Milk Sanitation Board		917.03		61170
Mine Subsidence Insurance Governing Board		3929.51		61171
Minority Development Financing Board		122.72		61172
Multi-Agency Radio Communications Systems Steering Committee		Sec. 21, H.B. 790, 120th GA		61173
Multidisciplinary Council		3746.03		61174
Muskingum River Advisory Council		1501.25		61175
National Museum of Afro-American History and Culture Planning Committee		149.303		61176
Ohio Advisory Council for the Aging		173.03		61177
Ohio Aerospace & Defense Advisory Council		122.98		61178
Ohio Arts Council		3379.02		61179
Ohio Business Gateway Steering Committee		5703.57		61180
Ohio Cemetery Dispute Resolution Commission		4767.05		61181
Ohio Civil Rights Commission Advisory Agencies and Conciliation Councils		4112.04(B)		61182
Ohio Commercial Insurance Joint Underwriting Association Board Of Governors		3930.03		61183
Ohio Commercial Market Assistance Plan Executive Committee		3930.02		61184
Ohio Commission on Dispute Resolution and Conflict Management		179.02		61185
Ohio Commission to Reform Medicaid		Section 59.29, H.B. 95, 125th GA		61186
Ohio Community Service Council		121.40		61187
Ohio Council for Interstate Adult Offender Supervision		5149.22		61188
Ohio Cultural Facilities Commission		3383.02		61189
Ohio Developmental Disabilities Council		5123.35		61190
Ohio Expositions Commission		991.02		61191
Ohio Family and Children First Cabinet Council		121.37		61192
Ohio Geology Advisory Council		1505.11		61193
Ohio Grape Industries Committee		924.51		61194
Ohio Hepatitis C Advisory Commission		3701.92		61195
Ohio Historic Site Preservation Advisory Board		149.301		61196
Ohio Historical Society Board of Trustees		149.30		61197
Ohio Judicial Conference		105.91		61198
Ohio Lake Erie Commission		1506.21		61199
Ohio Medical Malpractice Commission		Section 4, S.B. 281, 124th GA and Section 3, S.B. 86, 125th GA		61200
Ohio Medical Quality Foundation		3701.89		61201
Ohio Parks and Recreation Council		1541.40		61202
Ohio Peace Officer Training Commission		109.71		61203
Ohio Public Defender Commission		120.01		61204
Ohio Public Library Information Network Board		Sec. 69, H.B. 117, 121st GA, as amended by H.B. 284, 121st GA		61205
Ohio Quarter Horse Development Commission		3769.086		61206
Ohio Small Government Capital Improvements Commission		164.02		61207
Ohio Soil and Water Conservation Commission		1515.02		61208
Ohio Standardbred Development Commission		3769.085		61209
Ohio Steel Industry Advisory Council		122.97		61210
Ohio Teacher Education and Licensure Advisory Council		3319.28(D)		61211
Ohio Thoroughbred Racing Advisory Committee		3769.084		61212
Ohio Tuition Trust Authority		3334.03		61213
Ohio University College of Osteopathic Medicine Advisory Committee		3337.10		61214
Ohio Vendors Representative Committee		3304.34		61215
Ohio War Orphans Scholarship Board		5910.02		61216
Ohio Water Advisory Council		1521.031		61217
Ohio Water Resources Council		1521.19		61218
Ohioana Library Association, Martha Kinney Cooper Memorial		3375.62		61219
Oil and Gas Commission		1509.35		61220
Operating Committee, Agricultural Commodity Marketing Programs		924.07		61221
Organized Crime Investigations Commission		177.01		61222
Pharmacy and Therapeutics Committee of the Dept. of Job and Family Services		5111.81		61223
Physician Loan Repayment Advisory Board		3702.81		61224
Power Siting Board		4906.02		61225
Prequalification Review Board		5525.07		61226
Private Water Systems Advisory Council		3701.346		61227
Public Employment Risk Reduction Advisory Commission		4167.02		61228
Public Health Council		3701.33		61229
Public Utilities Commission Nominating Council		4901.021		61230
Public Utility Property Tax Study Committee		5727.85		61231
Radiation Advisory Council		3748.20		61232
Reclamation Commission		1513.05		61233
Recreation and Resources Commission		1501.04		61234
Recycling and Litter Prevention Advisory Council		1502.04		61235
Rehabilitation Services Commission Consumer Advisory Committee		3304.24		61236
Savings & Loans Associations & Savings Banks Board		1181.16		61237
Schools and Ministerial Lands Divestiture Committee		501.041		61238
Second Chance Trust Fund Advisory Committee		2108.17		61239
Services Committee of the Workers' Compensation System		4121.06		61240
Small Business Stationary Source Technical and Environmental Compliance Assistance Council		3704.19		61241
Solid Waste Management Advisory Council		3734.51		61242
State Agency Coordinating Group		1521.19		61243
State Board of Emergency Medical Services Subcommittees		4765.04		61244
State Council of Uniform State Laws		105.21		61245
State Committee for the Purchase of Products and Services Provided by Persons with Severe Disabilities		4115.32		61246
State Criminal Sentencing Commission		181.21		61247
State Fire Commission		3737.81		61248
State Racing Commission		3769.02		61249
State Victims Assistance Advisory Committee		109.91		61250
Student Tuition Recovery Authority		3332.081		61251
Tax Credit Authority		122.17		61252
Technical Advisory Committee to Assist the Director of the Ohio Coal Development Office		1551.35		61253
Technical Advisory Council on Oil and Gas		1509.38		61254
Transportation Review Advisory Council		5512.07		61255
Unemployment Compensation Review Commission		4141.06		61256
Unemployment Compensation Advisory Council		4141.08		61257
Utility Radiological Safety Board		4937.02		61258
Vehicle Management Commission		125.833		61259
Veterans Advisory Committee		5902.02(K)		61260
Volunteer Fire Fighters' Dependents Fund Boards (Private and Public)		146.02		61261
Water and Sewer Commission		1525.11(C)		61262
Waterways Safety Council		1547.73		61263
Wildlife Council		1531.03		61264
Workers' Compensation System Oversight Commission		4121.12		61265
Workers' Compensation Oversight Commission Nominating Committee		4121.123		61266

*       Section 609.06. That existing Section 4 of Am. Sub. H.B. 516	61267
of the 125th General Assembly, as amended by both Am. Sub. H.B. 66	61268
and Sub. S.B. 124 of the 126th General Assembly, is hereby	61269
repealed.	61270

Section 621.05. That Section 153 of Am. Sub. H.B. 117 of the	61271
121st General Assembly, as most recently amended by Am. Sub. H.B.	61272
66 of the 126th General Assembly, be amended to read as follows:	61273

Sec. 153.  (A) Sections 5112.01, 5112.03, 5112.04, 5112.05,	61274
5112.06, 5112.07, 5112.08, 5112.09, 5112.10, 5112.11, 5112.18,	61275
5112.19, 5112.21, and 5112.99 of the Revised Code are hereby	61276
repealed, effective October 16, 20072009.	61277

(B) Any money remaining in the Legislative Budget Services	61278
Fund on October 16, 20072009, the date that section 5112.19 of	61279
the Revised Code is repealed by division (A) of this section,	61280
shall be used solely for the purposes stated in then former	61281
section 5112.19 of the Revised Code. When all money in the	61282
Legislative Budget Services Fund has been spent after then former	61283
section 5112.19 of the Revised Code is repealed under division (A)	61284
of this section, the fund shall cease to exist.	61285

Section 621.06. That existing Section 153 of Am. Sub. H.B.	61286
117 of the 121st General Assembly, as most recently amended by Am.	61287
Sub. H.B. 66 of the 126th General Assembly, is hereby repealed.	61288

Section 703.03.  ATTORNEY GENERAL REVIEW OF SELECTION PROCESS	61289
FOR OUTSIDE COUNSEL	61290

On July 1, 2007, or as soon as practicable thereafter, the	61291
Attorney General shall undertake a review of the selection process	61292
for outside counsel for the state and shall review all options for	61293
recovering cost savings from respective state agencies to which	61294
counsel is provided, including options for charging state agencies	61295
for a portion of the savings realized. After undertaking such	61296
review, the Attorney General may develop, in consultation with the	61297
Director of Budget and Management, a cost savings method that	61298
accurately accounts for costs savings realized from the outside	61299
counsel selection process and may implement the method, subject to	61300
the approval of the Director of Budget and Management. If a method	61301
is implemented, the Attorney General shall report, not later than	61302
the thirtieth day of June in each of fiscal years 2008 and 2009,	61303
on its method and certify its continued accuracy to the Director	61304
of Budget and Management, the Speaker of the House of	61305
Representatives, the President of the Senate, the Minority Leader	61306
of the House of Representatives, the Minority Leader of the	61307
Senate, and the Legislative Service Commission.	61308

Section 706.03. (A) As used in this section, "appointing	61309
authority" has the same meaning as in section 124.01 of the	61310
Revised Code, and "exempt employee" has the same meaning as in	61311
section 124.152 of the Revised Code.	61312

(B) Notwithstanding section 124.181 of the Revised Code, both	61313
of the following apply:	61314

(1) In cases where no vacancy exists, an appointing authority	61315
may, with the written consent of an exempt employee, assign duties	61316
of a higher classification to that exempt employee for a period of	61317
time not to exceed two years, and that exempt employee shall	61318
receive compensation at a rate commensurate with the duties of the	61319
higher classification.	61320

(2) If necessary, exempt employees who are assigned to duties	61321
within their agency to maintain operations during the Ohio	61322
Administrative Knowledge System (OAKS) implementation may agree to	61323
a temporary assignment that exceeds the two-year limit.	61324

*       Section 755.03. The Director of Transportation may conduct a	61325
twelve-month pilot project to be completed not later than June 30,	61326
2009, for energy price risk management by entering into a contract	61327
with a qualified provider of energy risk management services. The	61328
contract may include rate analysis, negotiation services, market	61329
and regulatory analysis, budget and financial analysis, and	61330
mitigation strategies for volatile energy sources, including	61331
natural gas, gasoline, oil, and diesel fuel, but shall not include	61332
energy procurement and shall not subject more than thirty per cent	61333
of the Department's annual energy needs to the risk management	61334
services. The Director shall select the energy risk management	61335
services provider through a qualifications-based selection	61336
process, subject to Controlling Board approval. The contract shall	61337
specify that the Department may share the analysis and services of	61338
the energy risk management services provider with all state	61339
agencies and operations. The Director may use revenues from the	61340
state motor vehicle fuel tax or other funds appropriated by the	61341
General Assembly for the pilot project to pay amounts due under	61342
the contract and shall deposit any amounts received under the	61343
contract into the Highway Operating Fund created under section	61344
5735.291 of the Revised Code.	61345

Section 757.03. (A) Beginning in July 2007 and ending in	61346
November 2007, on or before the seventh day of each month, the Tax	61347
Commissioner shall determine and certify to the Director of Budget	61348
and Management the amount to be credited from each tax source	61349
under divisions (B), (C), and (D) of this section to the Local	61350
Government Fund, the Library and Local Government Support Fund,	61351
and the Local Government Revenue Assistance Fund.	61352

(B) Notwithstanding sections 5727.45, 5727.84, 5733.12,	61353
5739.21, 5741.03, and 5747.03 of the Revised Code or any other	61354
provision of law to the contrary, for each month in the period	61355
beginning July 1, 2007, and ending November 30, 2007, tax revenues	61356
credited to the Local Government Fund, the Library and Local	61357
Government Support Fund, and the Local Government Revenue	61358
Assistance Fund under those sections shall instead be credited as	61359
follows:	61360

(1) An amount shall first be credited to the Local Government	61361
Fund as prescribed under division (C) of this section;	61362

(2) An amount shall next be credited to the Local Government	61363
Revenue Assistance Fund as prescribed under division (C) of this	61364
section;	61365

(3) An amount shall next be credited to the Library and Local	61366
Government Support Fund as prescribed under division (D) of this	61367
section.	61368

(C) Receipts from the corporation franchise, sales and use,	61369
public utility excise, kilowatt-hour, and personal income taxes	61370
shall be credited to the Local Government Fund and the Local	61371
Government Revenue Assistance Fund as follows:	61372

(1) In July 2007, the amount that was credited in July 2006;

61373

(2) In August 2007, the amount that was credited in August	61374
2006;	61375

(3) In September 2007, the amount that was credited in	61376
September 2006;	61377

(4) In October 2007, the amount that was credited in October	61378
2006;	61379

(5) In November 2007, the amount that was credited in	61380
November 2006.	61381

(D) Receipts from the personal income tax shall be credited	61382
to the Library and Local Government Support Fund as follows:	61383

(1) In July 2007, the amount that was credited in July 2006;

61384

(2) In August 2007, the amount that was credited in August	61385
2006;	61386

(3) In September 2007, the amount that was credited in	61387
September 2006;	61388

(4) In October 2007, the amount that was credited in October	61389
2006;	61390

(5) In November 2007, the amount that was credited in	61391
November 2006.	61392

(E)(1) To the extent the amounts required to be credited to	61393
the Local Government Fund, the Library and Local Government	61394
Support Fund, and the Local Government Revenue Assistance Fund	61395
under divisions (C) and (D) of this section exceed the amounts	61396
that otherwise would have been credited to those funds under	61397
sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 5747.03	61398
of the Revised Code, amounts required to be credited to the	61399
General Revenue Fund under those sections shall be reduced	61400
accordingly.	61401

(2) To the extent the amounts required to be credited to the	61402
Local Government Fund, the Library and Local Government Support	61403
Fund, and the Local Government Revenue Assistance Fund under	61404
divisions (C) and (D) of this section are less than the amounts	61405
that otherwise would have been credited to those funds under	61406
sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 5747.03	61407
of the Revised Code, amounts required to be credited to the	61408
General Revenue Fund under those sections shall be increased	61409
accordingly.	61410

(F) The total amount credited each month under this section	61411
to the Local Government Fund, the Library and Local Government	61412
Support Fund, and the Local Government Revenue Assistance Fund	61413
shall be distributed on or before the tenth day of the immediately	61414
succeeding month as follows:	61415

(1) Each county undivided Local Government Fund shall receive	61416
a distribution from the Local Government Fund that is based upon	61417
its proportionate share of the total amount received by it from	61418
the fund in the same month during the preceding calendar year.	61419

(2) Each municipal corporation receiving a direct	61420
distribution from the Local Government Fund shall receive a	61421
distribution that is based upon its proportionate share of the	61422
total amount received by it from the fund in the same month during	61423
the preceding calendar year.	61424

(3) Each county undivided Local Government Revenue Assistance	61425
Fund shall receive a distribution from the Local Government	61426
Revenue Assistance Fund that is based upon its proportionate share	61427
of the total amount received by it from the fund in the same month	61428
during the preceding calendar year.	61429

(4) Each county undivided Library and Local Government	61430
Support Fund shall receive a distribution from the Library and	61431
Local Government Support Fund that is based upon its proportionate	61432
share of the total amount received by it from the fund in the same	61433
month during the preceding calendar year.	61434

(G) Distributions shall not be made in accordance with	61435
sections 5747.47 and 5747.50 of the Revised Code until January 1,	61436
2008.	61437

(H) Notwithstanding section 5747.47 of the Revised Code, the	61438
Tax Commissioner is not required to issue the certification	61439
required by that section to be made in December 2007 for calendar	61440
year 2007. The Tax Commissioner may, as the Commissioner considers	61441
appropriate, provide to each county auditor additional revised	61442
estimates or other information relating to distributions in 2007,	61443
2008, or 2009 at any time during the period beginning July 1,	61444
2007, and ending June 30, 2009.	61445

(I)(1) Notwithstanding division (A) of section 131.51 of the	61446
Revised Code, on or before January 5, 2008, the Director of Budget	61447
and Management shall credit to the Local Communities Fund an	61448
amount equal to three and sixty-five one-hundredths per cent of	61449
total tax revenues credited to the General Revenue Fund during	61450
December 2007. In determining the total tax revenues credited to	61451
the General Revenue Fund during that month, transfers made from	61452
the General Revenue Fund during that month to the Local Government	61453
Fund, the Local Government Revenue Assistance Fund, and the	61454
Library and Local Government Support Fund shall be disregarded.	61455
Moneys credited to the Local Communities Fund under division	61456
(I)(1) of this section shall be distributed in January 2008 in	61457
accordance with section 5747.50 of the Revised Code.	61458

(2) Notwithstanding division (B) of section 131.51 of the	61459
Revised Code, on or before January 5, 2008, the Director of Budget	61460
and Management shall credit to the Local Libraries Fund an amount	61461
equal to two and two-tenths per cent of total tax revenues	61462
credited to the General Revenue Fund during December 2007. In	61463
determining the total tax revenues credited to the General Revenue	61464
Fund during that month, transfers made from the General Revenue	61465
Fund during that month to the Local Government Fund, the Local	61466
Government Revenue Assistance Fund, and the Library and Local	61467
Government Support Fund shall be disregarded. Moneys credited to	61468
the Local Libraries Fund under division (I)(2) of this section	61469
shall be distributed in January 2008 in accordance with section	61470
5747.47 of the Revised Code.	61471

Section 757.04. Notwithstanding sections 5747.46 and 5747.47	61472
of the Revised Code or any other provision of law to the contrary,	61473
a county's actual Library and Local Government Support Fund total	61474
entitlement for the 2007 distribution year shall equal the amount	61475
that was distributed to the county's Library and Local Government	61476
Support Fund from the Library and Local Government Support Fund	61477
during the 2007 calendar year. Each county's resulting calendar	61478
year 2007 Library and Local Government Support Fund entitlement	61479
shall be used by the Tax Commissioner for purposes of determining	61480
the guaranteed share of the Local Libraries Fund in section	61481
5747.46 of the Revised Code for the 2008 distribution year and	61482
shall be used by the Commissioner in making:	61483

(A) The calendar year 2008 estimated entitlements of the	61484
Local Libraries Fund required by section 5747.47 of the Revised	61485
Code to be certified to county auditors in July 2007, December	61486
2007, and June 2008; and	61487

(B) The calendar year 2008 actual Local Libraries Fund	61488
entitlement computations required by section 5747.47 of the	61489
Revised Code to be certified to county auditors in December 2008.	61490

Section 757.07. For tax years 2007 and thereafter, telephone,	61491
telegraph, and interexchange telecommunications companies, as	61492
defined in section 5727.01 of the Revised Code, shall list taxable	61493
property at the percentage of true value required in Chapter 5711.	61494
of the Revised Code. For purposes of assigning taxable valuation	61495
to each taxing district for those years, the Tax Commissioner	61496
shall continue to use the apportionment provisions of Chapter	61497
5727. of the Revised Code. However, such property shall be listed	61498
by the county auditor and certified to the county treasurer for	61499
collection under the provisions applicable to the general tax list	61500
of personal property and not upon the tax list and duplicate of	61501
real and public utility personal property.	61502

Section 757.10. The Department of Administrative Services, in	61503
conjunction with the Department of Taxation, may acquire the State	61504
Taxation Revenue and Accounting System (STARS) pursuant to Chapter	61505
125. of the Revised Code, including, but not limited to, the	61506
application software and installation and implementation thereof,	61507
for the use of the Department of Taxation. STARS is an integrated	61508
tax collection and audit system that will replace all of the	61509
state's existing separate tax software and administration systems	61510
for the various taxes collected by the state. Any lease-purchase	61511
arrangement used under Chapter 125. of the Revised Code to acquire	61512
STARS, including any fractionalized interests therein as defined	61513
in division (N) of section 133.01 of the Revised Code, must	61514
provide that at the end of the lease period, STARS becomes the	61515
property of the state.	61516

Section 803.03. The amendment by this act of sections	61517
3119.022, 3119.023, 3119.29, and 3119.30 of the Revised Code first	61518
applies on February 1, 2008, or on the effective date of	61519
regulations defining "reasonable cost" issued by the United States	61520
Secretary of Health and Human Services, whichever is later.	61521

Section 803.06. (A) The amendment by this act of sections	61522
323.151, 323.152, 323.153, and 323.154 of the Revised Code applies	61523
to tax year 2007 and thereafter. Notwithstanding division (A)(3)	61524
of section 323.153 of the Revised Code, a person whose homestead	61525
first becomes eligible for the tax reduction under section 323.152	61526
of the Revised Code or who is entitled to an increased reduction	61527
by virtue of the amendment by this act of sections 323.151,	61528
323.152, 323.153, and 323.154 of the Revised Code for tax year	61529
2007 shall apply for that reduction or increase not later than one	61530
hundred twenty days after the effective date of this section.	61531

(B) The amendment by this act of sections 4503.064, 4503.065,	61532
4503.066, and 4503.067 of the Revised Code applies to tax year	61533
2007 and thereafter. Notwithstanding division (A)(2) of section	61534
4503.066 of the Revised Code, a person whose manufactured or	61535
mobile home first becomes eligible for the tax reduction under	61536
section 4503.065 of the Revised Code or who is entitled to an	61537
increased reduction by virtue of the amendment by this act of	61538
sections 4503.064, 4503.065, 4503.066, and 4503.067 of the Revised	61539
Code shall apply for the reduction or increase not later than one	61540
hundred twenty days after the effective date of this section.	61541

Section 803.09. The amendment or enactment by this act of	61542
section 4505.06, division (B)(23) of section 5739.02, and sections	61543
5739.029, 5739.033, and 5739.213 of the Revised Code apply to	61544
sales described in division (A) of section 5739.029 of the Revised	61545
Code on or after August 1, 2007.	61546

Section 806.03. The sections and items of law contained in	61547
this act, and their applications, are severable. If any section or	61548
item of law contained in this act, or if any application of any	61549
section or item of law contained in this act, is held invalid, the	61550
invalidity does not affect other sections or items of law	61551
contained in this act and their applications that can be given	61552
effect without the invalid section or item of law or application.	61553

Section 809.03. An item of law, other than an amending,	61554
enacting, or repealing clause, that composes the whole or part of	61555
an uncodified section contained in this act has no effect after	61556
June 30, 2009, unless its context clearly indicates otherwise.	61557

Section 812.03. Except as otherwise specifically provided in	61558
this act, the codified sections of law amended or enacted in this	61559
act, and the items of law of which the codified sections of law	61560
amended or enacted in this act are composed, are subject to the	61561
referendum. Therefore, under Ohio Constitution, Article II,	61562
Section 1c and section 1.471 of the Revised Code, the codified	61563
sections of law amended or enacted by this act, and the items of	61564
law of which the codified sections of law as amended or enacted by	61565
this act are composed, take effect on the ninety-first day after	61566
this act is filed with the Secretary of State. If, however, a	61567
referendum petition is filed against any such codified section of	61568
law as amended or enacted by this act, or against any item of law	61569
of which any such codified section of law as amended or enacted by	61570
this act is composed, the codified section of law as amended or	61571
enacted, or item of law, unless rejected at the referendum, takes	61572
effect at the earliest time permitted by law.	61573

Section 812.06. Except as otherwise specifically provided in	61574
this act, the repeal by this act of a codified section of law is	61575
subject to the referendum. Therefore, under Ohio Constitution,	61576
Article II, Section 1c and section 1.471 of the Revised Code, the	61577
repeal by this act of a codified section of law takes effect on	61578
the ninety-first day after this act is filed with the Secretary of	61579
State. If, however, a referendum petition is filed against any	61580
such repeal, the repeal, unless rejected at the referendum, takes	61581
effect at the earliest time permitted by law.	61582

Section 812.09. The sections of law amended, enacted, or	61583
repealed by this act that are listed in this section are subject	61584
to the referendum. Therefore, under Ohio Constitution, Article II,	61585
Section 1c and section 1.471 of the Revised Code, the sections,	61586
and the items of law of which they are composed, take effect as	61587
specified in this section. If, however, a referendum petition is	61588
filed against any such section as amended, enacted, or repealed,	61589
or against any item of law of which any such section as amended or	61590
enacted is composed, the section as amended, enacted, or repealed	61591
goes into effect at the earliest time permitted by law that is on	61592
or after the effective date specified in this section.	61593

Section 5111.014 of the Revised Code takes effect January 1,	61594
2008.	61595

Sections 3317.05, 3321.01, and 5101.213 of the Revised Code	61596
take effect July 1, 2008.	61597

Section 812.12. Uncodified sections of law amended or enacted	61598
in this act, and items of law contained within the uncodified	61599
sections of law amended or enacted in this act, that are marked	61600
with an asterisk are subject to the referendum. Therefore, under	61601
Ohio Constitution, Article II, Section 1c and section 1.471 of the	61602
Revised Code, the uncodified sections and items of law marked with	61603
an asterisk take effect on the ninety-first day after this act is	61604
filed with the Secretary of State. If, however, a referendum	61605
petition is filed against an uncodified section or item of law	61606
marked with an asterisk, the uncodified section or item of law	61607
marked with an asterisk, unless rejected at the referendum, takes	61608
effect at the earliest time permitted by law.	61609

If the amending and existing repeal clauses commanding the	61610
amendment of an uncodified section of law are both marked with	61611
asterisks, the uncodified section as amended is deemed also to	61612
have been marked with an asterisk.	61613

An asterisk marking an uncodified section or item of law has	61614
the form*.	61615

This section defines the meaning and form of, but is not	61616
itself to be considered marked with, an asterisk.	61617

Section 815.03. The sections of law amended or enacted by	61618
this act that are listed in this section, and the items of law of	61619
which such sections as amended or enacted by this act are	61620
composed, are not subject to the referendum. Therefore, under Ohio	61621
Constitution, Article II, Section 1d and section 1.471 of the	61622
Revised Code, such sections as amended or enacted by this act, and	61623
the items of law of which such sections as amended or enacted by	61624
this act are composed, go into immediate effect when this act	61625
becomes law.	61626

Sections 122.051, 122.071, 122.076, 122.17, 122.171, 122.174,	61627
122.602, 124.152, 126.24, 126.40, 127.16, 173.35, 183.01, 183.021,	61628
183.17, 183.33, 183.34, 183.35, 183.51, 183.52, 340.03, 1503.05,	61629
2927.023, 3119.022, 3119.023, 3119.29, 3119.30, 3301.0711,	61630
3310.41, 3313.615, 3313.98, 3314.013, 3314.014, 3314.015, 3314.02,	61631
3314.021, 3314.024, 3314.027, 3314.03, 3314.04, 3314.074, 3314.08,	61632
3314.19, 3314.21, 3314.27, 3317.01, 3317.012, 3317.013, 3317.014,	61633
3317.015, 3317.016, 3317.017, 3317.021, 3317.022, 3317.023,	61634
3317.024, 3317.025, 3317.029, 3317.0216, 3317.0217, 3317.03,	61635
3317.04, 3317.08, 3317.16, 3317.20, 3317.201, 3319.081, 3319.17,	61636
3365.01, 3702.68 (3702.59), 3704.03, 3704.14, 3721.51, 3721.541,	61637
3721.56, 3735.672, 3773.35, 3773.36, 4301.43, 4503.10, 4513.263,	61638
4723.621, 4723.63, 4723.64, 4723.65, 4723.66, 4743.05, 4766.05,	61639
4775.08, 5101.802, 5101.98, 5111.871, 5111.8814, 5112.341,	61640
5119.611, 5123.01, 5123.033, 5123.045, 5123.0414, 5123.0415,	61641
5123.051, 5123.16, 5123.161, 5123.162, 5123.163, 5123.164,	61642
5123.165, 5123.166, 5123.167, 5123.168, 5123.169, 5123.19,	61643
5123.196, 5123.198, 5123.20, 5123.211, 5123.38, 5123.41, 5123.51,	61644
5123.605, 5123.99, 5126.046, 5126.057, 5126.11, 5126.12, 5126.15,	61645
5126.18, 5126.19, 5126.25, 5126.40, 5126.42, 5126.43, 5126.45,	61646
5126.47, 5709.68, 5747.46, 5747.47, 5747.50, 5747.501, 5747.51,	61647
5747.52, 5747.53, 5747.54, 5747.55, 5751.21, 5907.15, 5907.16, and	61648
6111.0381 of the Revised Code.	61649

Section 815.06. The repeal by this act of the sections of law	61650
listed in this section is not subject to the referendum.	61651
Therefore, under Ohio Constitution, Article II, Section 1d and	61652
section 1.471 of the Revised Code, the repeals go into immediate	61653
effect when this act becomes law.	61654

Sections 183.02, 183.27, 183.32, 3310.01, 3310.02, 3310.03,	61655
3310.04, 3310.05, 3310.06, 3310.07, 3310.08, 3310.09, 3310.10,	61656
3310.11, 3310.12, 3310.13, 3310.14, 3310.17, 3319.0810, 5123.16,	61657
5123.182, 5123.199, 5126.053, 5126.431, 5126.44, 5126.451,	61658
5747.61, 5747.62, and 5747.63 of the Revised Code.	61659

The version of section 3702.68 of the Revised Code that was	61660
scheduled to take effect July 1, 2007.	61661

Section 815.09. The sections of law amended, enacted, or	61662
repealed by this act that are listed in this section are not	61663
subject to the referendum. Therefore, under Ohio Constitution,	61664
Article II, Section 1d and section 1.471 of the Revised Code, the	61665
sections as amended, enacted, or repealed, and the items of law of	61666
which as amended or enacted they are composed, go into effect as	61667
specified in this section.	61668

Sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and	61669
5747.03 of the Revised Code take effect December 1, 2007.	61670

Sections 118.01, 118.08, 118.17, 118.20, 118.23, 127.14,	61671
131.44, 131.51, 133.10, 133.25, 135.35, 135.352, 152.31, 164.05,	61672
164.051, 307.021, 307.6910, 321.08, 709.191, 742.301, 3375.05,	61673
3375.121, 3375.40, 3375.85, 4123.35, 5139.27, 5139.271, 5705.28,	61674
5705.281, 5705.29, 5705.30, 5705.31, 5705.32, 5705.321, 5705.37,	61675
5709.882, 5715.36, 5719.041, 5725.151, 5725.24, 5747.48, and	61676
6121.043 of the Revised Code take effect January 1, 2008.	61677

Section 815.12. Except as otherwise specifically provided in	61678
this act, the uncodified sections of law amended or enacted in	61679
this act, and the items of law of which the uncodified sections of	61680
law amended or enacted in this act are composed, are not subject	61681
to the referendum. Therefore, under Ohio Constitution, Article II,	61682
Section 1d and section 1.471 of the Revised Code, the uncodified	61683
sections of law amended or enacted in this act, and the items of	61684
law of which the uncodified sections of laws amended or enacted in	61685
this act are composed, go into immediate effect when this act	61686
becomes law.	61687

Section 818.03. The amendment or enactment by this act of the	61688
sections of law listed in this section provides for or is	61689
essential to implementation of a tax levy. Therefore, under Ohio	61690
Constitution, Article II, Section 1d, the amendments and	61691
enactments, and the items of which they are composed, are not	61692
subject to the referendum and go into immediate effect when this	61693
act becomes law.	61694

Sections 133.01, 319.202, 319.54, 322.01, 323.151, 323.152,	61695
323.153, 323.154, 325.31, 1548.06, 4503.06, 4503.061, 4503.064,	61696
4503.065, 4503.066, 4503.067, 4505.06, 4519.55, 5703.80, 5739.02,	61697
5739.029, 5739.033, 5739.12, 5739.213, 5741.02, 5743.01, 5743.20,	61698
5745.02, 5745.05, 5745.13, 5748.01, 5748.02, 5748.022, and 5751.23	61699
of the Revised Code.	61700

Section 818.06. The repeal by this act of the sections of law	61701
listed in this section provides for or is essential to	61702
implementation of a tax levy. Therefore, under Ohio Constitution,	61703
Article II, Section 1d, the repeals are not subject to the	61704
referendum and go into immediate effect when this act becomes law.	61705

Section 5743.331 of the Revised Code.

61706

Section 821.03. (A) Except as otherwise provided in division	61707
(B) of this section, the amendments by this act to the version of	61708
section 127.16 of the Revised Code that is scheduled to take	61709
effect July 1, 2007, are not subject to the referendum. Therefore,	61710
under Ohio Constitution, Article II, Section 1d and section 1.471	61711
of the Revised Code, the amendments are entitled to go into	61712
immediate effect. However, the amendments shall take effect July	61713
1, 2007.	61714

(B) The amendment by this act to division (D)(2) of that	61715
section is subject to the referendum. Therefore, under Ohio	61716
Constitution, Article II, Section 1c and section 1.471 of the	61717
Revised Code, the amendment takes effect on the ninety-first day	61718
after this act is filed with the Secretary of State. If, however,	61719
a referendum petition is filed against the amendment, the	61720
amendment, unless rejected at the referendum, takes effect at the	61721
earliest time permitted by law.	61722

Section 821.06. (A) Except as otherwise provided in division	61723
(B) of this section, the amendments by this act to section 3317.02	61724
of the Revised Code are not subject to the referendum. Therefore,	61725
under Ohio Constitution, Article II, Section 1d and section 1.471	61726
of the Revised Code, the amendments go into immediate effect.	61727

(B) The amendment to section 3317.02 of the Revised Code that	61728
substitutes the term "state education aid" for the term "SF-3	61729
payment" is subject to the referendum. Therefore, under Ohio	61730
Constitution, Article II, Section 1c and section 1.471 of the	61731
Revised Code, the amendment takes effect on the ninety-first day	61732
after this act is filed with the Secretary of State. If, however,	61733
a referendum petition is filed against the amendment, the	61734
amendment, unless rejected at the referendum, takes effect at the	61735
earliest time permitted by law.	61736

Section 821.09. (A) Except as otherwise provided in division	61737
(B) of this section, the amendments by this act to section 5104.30	61738
of the Revised Code are subject to the referendum. Therefore,	61739
under Ohio Constitution, Article II, Section 1c and section 1.471	61740
of the Revised Code, the amendments take effect on the	61741
ninety-first day after this act is filed with the Secretary of	61742
State. If, however, a referendum petition is filed against the	61743
amendments, the amendments, unless rejected at the referendum,	61744
take effect at the earliest time permitted by law.	61745

(B) The amendments to section 5104.30 of the Revised Code	61746
that add divisions (C)(3)(d) and (F) are not subject to the	61747
referendum. Therefore, under Ohio Constitution, Article II,	61748
Section 1d and section 1.471 of the Revised Code, the amendments	61749
go into immediate effect.	61750

Section 821.12. (A) Except as otherwise provided in division	61751
(B) of this section, the amendments by this act to section 5111.20	61752
of the Revised Code are subject to the referendum. Therefore,	61753
under Ohio Constitution, Article II, Section 1c and section 1.471	61754
of the Revised Code, the amendments take effect on the	61755
ninety-first day after this act is filed with the Secretary of	61756
State. If, however, a referendum petition is filed against the	61757
amendments, the amendments, unless rejected at the referendum,	61758
take effect at the earliest time permitted by law.	61759

(B) The amendment to division (H)(3)(a) of section 5111.20 of	61760
the Revised Code is not subject to the referendum. Therefore,	61761
under Ohio Constitution, Article II, Section 1d and section 1.471	61762
of the Revised Code, the amendment goes into immediate effect.	61763

Section 821.15. (A) Except as otherwise provided in division	61764
(B) of this section, the amendments by this act to section	61765
5126.055 of the Revised Code are subject to the referendum.	61766
Therefore, under Ohio Constitution, Article II, Section 1c and	61767
section 1.471 of the Revised Code, the amendments take effect on	61768
the ninety-first day after this act is filed with the Secretary of	61769
State. If, however, a referendum petition is filed against the	61770
amendments, the amendments, unless rejected at the referendum,	61771
take effect at the earliest time permitted by law.	61772

(B) The amendment to section 5126.055 of the Revised Code	61773
that strikes through "5123.16" and inserts "5123.161" is not	61774
subject to the referendum. Therefore, under Ohio Constitution,	61775
Article II, Section 1d and section 1.471 of the Revised Code, the	61776
amendment goes into immediate effect.	61777

Section 821.18. (A) Except as otherwise provided in division	61778
(B) of this section, the amendments by this act to section 5727.87	61779
of the Revised Code provide for or are essential to implementation	61780
of a tax levy. Therefore, under Ohio Constitution, Article II,	61781
Section 1d, the amendments are not subject to the referendum and	61782
go into immediate effect when this act becomes law.	61783

(B) The amendment to division (A)(2)(b) of section 5727.87 of	61784
the Revised Code is subject to the referendum. Therefore, under	61785
Ohio Constitution, Article II, Section 1c and section 1.471 of the	61786
Revised Code, the amendment takes effect on the ninety-first day	61787
after this act is filed with the Secretary of State. If, however,	61788
a referendum petition is filed against the amendment, the	61789
amendment, unless rejected at the referendum, takes effect at the	61790
earliest time permitted by law.	61791

Section 821.21. If the amendment or enactment in this act of	61792
a codified or uncodified section of law is subject to the	61793
referendum, the corresponding indications in the amending,	61794
enacting, or existing repeal clauses commanding the amendment or	61795
enactment also are subject to the referendum, along with the	61796
amendment or enactment. If the amendment or enactment by this act	61797
of a codified or uncodified section of law is not subject to the	61798
referendum, the corresponding indications in the amending,	61799
enacting, or existing repeal clauses commanding the amendment or	61800
enactment also are not subject to the referendum, the same as the	61801
amendment or enactment.	61802

Section 824.03. The General Assembly, applying the principle	61803
stated in division (B) of section 1.52 of the Revised Code that	61804
amendments are to be harmonized if reasonably capable of	61805
simultaneous operation, finds that the following sections,	61806
presented in this act as composites of the sections as amended by	61807
the acts indicated, are the resulting versions of the sections in	61808
effect prior to the effective date of the sections as presented in	61809
this act:	61810

Section 109.572 of the Revised Code is presented in this act	61811
as a composite of the section as amended by both Am. Sub. S.B. 185	61812
and Am. Sub. S.B. 238 of the 126th General Assembly. Section	61813
111.18 of the Revised Code is presented in this act as a composite	61814
of the section as amended by both Am. Sub. H.B. 94 and Am. Sub.	61815
S.B. 74 of the 124th General Assembly. Section 323.153 of the	61816
Revised Code is presented in this act as a composite of the	61817
section as amended by both Am. H.B. 595 and Am. Sub. H.B. 672 of	61818
the 123rd General Assembly. Section 2921.42 of the Revised Code is	61819
presented in this act as a composite of the section as amended by	61820
both Sub. H.B. 150 and Am. Sub. H.B. 285 of the 120th General	61821
Assembly. Section 3301.0714 of the Revised Code is presented in	61822
this act as a composite of the section as amended by Am. Sub. H.B.	61823
79, Am. Sub. H.B. 137, Am. Sub. H.B. 276, and Am. Sub. H.B. 530 of	61824
the 126th General Assembly. Section 3314.03 of the Revised Code is	61825
presented in this act as a composite of the section as amended by	61826
Am. Sub. H.B. 79, Am. Sub. H.B. 137, Sub. H.B. 184, Am. Sub. H.B.	61827
276, Sub. H.B. 422, Am. Sub. H.B. 530, Sub. S.B. 164, and Am. Sub.	61828
S.B. 311 of the 126th General Assembly. Section 3314.014 of the	61829
Revised Code is presented in this act as a composite of the	61830
section as amended by both Am. Sub. H.B. 79 and Am. Sub. H.B. 276	61831
of the 126th General Assembly. Section 3317.03 of the Revised Code	61832
is presented in this act as a composite of the section as amended	61833
by both Am. Sub. H.B. 79 and Am. Sub. H.B. 699 of the 126th	61834
General Assembly. Section 4115.04 of the Revised Code is presented	61835
in this act as a composite of the section as amended by both Sub.	61836
H.B. 443 and Am. Sub. H.B. 699 of the 126th General Assembly.	61837
Section 5107.05 of the Revised Code is presented in this act as a	61838
composite of the section as amended by Am. Sub. H.B. 283, H.B.	61839
471, and Sub. S.B. 245, all of the 123rd General Assembly, and Am.	61840
Sub. H.B. 66 of the 126th General Assembly. Section 5705.31 of the	61841
Revised Code is presented in this act as a composite of the	61842
section as amended by both Sub. H.B. 129 and Am. Sub. S.B. 5 of	61843
the 124th General Assembly. Section 5748.01 of the Revised Code is	61844
presented in this act as a composite of the section as amended by	61845
both Sub. H.B. 73 and Am. Sub. H.B. 699 of the 126th General	61846
Assembly. Section 5748.02 of the Revised Code is presented in this	61847
act as a composite of the section as amended by both Am. Sub. H.B.	61848
3 and Am. Sub. H.B. 530 of the 126th General Assembly. Section 4	61849
of Am. Sub. H.B. 516 of the 125th General Assembly is presented in	61850
this act as a composite of the section as amended by both Am. Sub.	61851
H.B. 66 and Sub. S.B. 124 of the 126th General Assembly.	61852

The finding in this section takes effect at the same time as	61853
the section referenced in the finding takes effect.	61854

Section 824.03. The General Assembly, applying the principle	61855
stated in division (B) of section 1.52 of the Revised Code that	61856
amendments are to be harmonized if reasonably capable of	61857
simultaneous operation, finds that the following sections,	61858
presented in this act as composites of the sections as amended by	61859
the acts indicated, are the resulting versions of the sections in	61860
effect prior to the effective date of the sections as presented in	61861
this act:	61862

Section 109.572 of the Revised Code as amended by both Am.	61863
Sub. S.B. 185 and Am. Sub. S.B. 238 of the 126th General Assembly.	61864

Section 111.18 of the Revised Code as amended by both Am.	61865
Sub. H.B. 94 and Am. Sub. S.B. 74 of the 124th General Assembly.	61866

Section 323.153 of the Revised Code as amended by both Am.	61867
H.B. 595 and Am. Sub. H.B. 672 of the 123rd General Assembly.	61868

Section 2921.42 of the Revised Code as amended by both Sub.	61869
H.B. 150 and Am. Sub. H.B. 285 of the 120th General Assembly.	61870

Section 3301.0714 of the Revised Code as amended by Am. Sub.	61871
H.B. 79, Am. Sub. H.B. 137, Am. Sub. H.B. 276, and Am. Sub. H.B.	61872
530 of the 126th General Assembly.	61873

Section 3314.014 of the Revised Code as amended by both Am.	61874
Sub. H.B. 79 and Am. Sub. H.B. 276 of the 126th General Assembly.	61875

Section 3314.03 of the Revised Code as amended by Am. Sub.	61876
H.B. 79, Am. Sub. H.B. 137, Sub. H.B. 184, Am. Sub. H.B. 276, Sub.	61877
H.B. 422, Am. Sub. H.B. 530, Sub. S.B. 164, and Am. Sub. S.B. 311	61878
of the 126th General Assembly.	61879

Section 3317.03 of the Revised Code as amended by both Am.	61880
Sub. H.B. 79 and Am. Sub. H.B. 699 of the 126th General Assembly.	61881

Section 4115.04 of the Revised Code as amended by both Sub.	61882
H.B. 443 and Am. Sub. H.B. 699 of the 126th General Assembly.	61883

Section 5107.05 of the Revised Code as amended by Am. Sub.	61884
H.B. 283, H.B. 471, and Sub. S.B. 245, all of the 123rd General	61885
Assembly, and Am. Sub. H.B. 66 of the 126th General Assembly.	61886

Section 5705.31 of the Revised Code as amended by both Sub.	61887
H.B. 129 and Am. Sub. S.B. 5 of the 124th General Assembly.	61888

Section 5748.01 of the Revised Code as amended by both Sub.	61889
H.B. 73 and Am. Sub. H.B. 699 of the 126th General Assembly.	61890

Section 5748.02 of the Revised Code as amended by both Am.	61891
Sub. H.B. 3 and Am. Sub. H.B. 530 of the 126th General Assembly.	61892

Section 4 of Am. Sub. H.B. 516 of the 125th General Assembly	61893
as amended by both Am. Sub. H.B. 66 and Sub. S.B. 124 of the 126th	61894
General Assembly.	61895

The finding in this section takes effect at the same time as	61896
the section referenced in the finding takes effect.	61897

Section 824.06. Sections 340.03 and 5119.611 of the Revised	61898
Code are amended by this act and also by Am. Sub. H.B. 699 of the	61899
126th General Assembly, effective July 1, 2007. The amendments of	61900
Am. Sub. H.B. 699 are included in this act but are not intended to	61901
be effective until July 1, 2007.	61902