As Pending in House Finance and Appropriations Committee

127th General Assembly
Regular Session
2007-2008
Sub. H. B. No. 119


Representative Dolan 



A BILL
To amend sections 9.821, 9.822, 9.823, 9.83, 107.12, 1
107.40, 109.57, 109.572, 109.93, 111.18, 118.01, 2
118.08, 118.17, 118.20, 118.23, 119.07, 120.33, 3
122.17, 122.171, 122.602, 124.152, 125.45, 125.93, 4
125.96, 125.97, 125.98, 126.07, 126.08, 126.16, 5
126.21, 126.22, 127.14, 127.16, 131.44, 133.01, 6
133.10, 133.25, 135.35, 135.352, 151.08, 151.40, 7
152.31, 156.02, 164.03, 164.05, 164.051, 164.08, 8
164.09, 166.08, 173.04, 173.35, 173.71, 173.85, 9
173.86, 174.03, 174.06, 183.01, 183.021, 183.17, 10
183.33, 183.34, 183.35, 307.021, 307.37, 307.695, 11
307.6910, 307.98, 307.981, 308.04, 317.08, 12
319.202, 319.281, 319.54, 321.08, 322.01, 323.151, 13
323.152, 323.153, 323.154, 325.31, 329.04, 329.05, 14
329.14, 340.03, 505.376, 517.08, 521.01, 709.191, 15
711.05, 711.10, 711.131, 718.13, 742.301, 1503.05, 16
1504.02, 1506.01, 1506.99, 1521.01, 1521.20, 17
1521.21, 1521.22, 1521.23, 1521.24, 1521.25, 18
1521.26, 1521.27, 1521.28, 1521.29, 1521.99, 19
1531.06, 1531.35, 1548.06, 1555.08, 1557.03, 20
1901.34, 2151.362, 2913.40, 2921.42, 2927.023, 21
2935.03, 3109.04, 3109.041, 3119.022, 3119.023, 22
3119.27, 3119.29, 3119.30, 3125.12, 3301.0711, 23
3301.0714, 3301.53, 3302.03, 3302.10, 3311.24, 24
3313.41, 3313.615, 3313.64, 3313.646, 3313.66, 25
3313.661, 3313.98, 3314.015, 3314.02, 3314.03, 26
3314.074, 3314.08, 3314.26, 3317.01, 3317.012, 27
3317.013, 3317.014, 3317.015, 3317.016, 3317.017, 28
3317.02, 3317.021, 3317.022, 3317.023, 3317.024, 29
3317.025, 3317.026, 3317.027, 3317.028, 3317.029, 30
3317.0216, 3317.0217, 3317.03, 3317.04, 3317.05, 31
3317.06, 3317.08, 3317.16, 3317.20, 3317.201, 32
3318.12, 3318.15, 3318.26, 3319.55, 3321.01, 33
3323.01, 3323.11, 3327.05, 3333.04, 3333.122, 34
3333.38, 3357.01, 3365.01, 3375.05, 3375.121, 35
3375.40, 3375.85, 3381.04, 3501.17, 3701.74, 36
3701.741, 3701.83, 3702.52, 3702.5211, 3702.5212, 37
3702.5213, 3702.57, 3702.68, 3704.03, 3704.14, 38
3705.24, 3709.09, 3709.091, 3721.51, 3721.541, 39
3721.56, 3734.57, 3735.672, 3745.11, 3746.04, 40
3769.087, 3770.03, 3770.06, 3905.36, 4123.35, 41
4141.09, 4301.43, 4503.06, 4503.061, 4503.064, 42
4503.065, 4503.066, 4503.067, 4503.10, 4503.102, 43
4503.35, 4505.06, 4513.263, 4513.35, 4519.55, 44
4717.07, 4723.621, 4723.63, 4723.64, 4723.65, 45
4723.66, 4731.142, 4731.22, 4736.01, 4743.05, 46
4755.03, 4766.05, 4775.08, 4921.40, 5101.162, 47
5101.21, 5101.211, 5101.212, 5101.213, 5101.24, 48
5101.242, 5101.244, 5101.24, 5101.47, 5101.50, 49
5101.571, 5101.572, 5101.58, 5101.59, 5101.802, 50
5101.98, 5104.30, 5107.02, 5107.03, 5107.05, 51
5107.10, 5107.12, 5107.14, 5107.16, 5107.17, 52
5107.281, 5107.30, 5107.36, 5107.41, 5107.42, 53
5111.01, 5111.014, 5111.016, 5111.019, 5111.0112, 54
5111.023, 5111.03, 5111.06, 5111.084, 5111.10, 55
5111.101, 5111.163, 5111.17, 5111.20, 5111.871, 56
5111.8814, 5111.95, 5111.96, 5112.341, 5115.12, 57
5119.611, 5123.01, 5123.043, 5123.045, 5123.051, 58
5123.19, 5123.196, 5123.198, 5123.20, 5123.211, 59
5123.38, 5123.41, 5123.51, 5123.99, 5126.038, 60
5126.042, 5126.046, 5126.055, 5126.057, 5126.06, 61
5126.11, 5126.12, 5126.15, 5126.18, 5126.19, 62
5126.25, 5126.40, 5126.42, 5126.43, 5126.45, 63
5126.47, 5139.27, 5139.271, 5139.43, 5302.30, 64
5528.54, 5531.10, 5537.04, 5537.16, 5537.99, 65
5705.28, 5705.281, 5705.29, 5705.30, 5705.31, 66
5705.32, 5705.321, 5705.37, 5709.68, 5709.882, 67
5715.36, 5719.041, 5725.151, 5725.24, 5727.45, 68
5727.84, 5727.85, 5727.87, 5733.01, 5733.12, 69
5733.98, 5739.02, 5739.033, 5739.12, 5739.21, 70
5741.02, 5741.03, 5743.01, 5743.20, 5743.331, 71
5745.02, 5745.05, 5745.13, 5747.03, 5747.46, 72
5747.47, 5747.48, 5747.50, 5747.501, 5747.51, 73
5747.52, 5747.53, 5747.54, 5747.55, 5747.98, 74
5748.01, 5748.02, 5748.021, 5748.04, 5748.08, 75
5751.20, 5751.21, 5751.23, 5907.15, 6109.21, 76
6111.04, 6111.44, 6121.04, 6121.043, and 6131.23; 77
to amend, for the purpose of adopting new section 78
numbers as indicated in parentheses, sections 79
1521.20 (1506.38), 1521.21 (1506.39), 1521.22 80
(1506.40), 1521.23 (1506.41), 1521.24 (1506.42), 81
1521.25 (1506.43), 1521.26 (1506.44), 1521.27 82
(1506.45), 1521.28 (1506.46), 1521.29 (1506.47), 83
1521.30 (1506.48), 3702.63 (3702.591), 3702.68 84
(3702.59), 5101.521 (9.15), 5111.95 (5111.033), 85
and 5111.96 (5111.034); to enact new sections 86
3318.47, 5101.521, and 5123.16 and sections 87
122.051, 122.071, 122.076, 122.174, 126.24, 88
126.40, 131.51, 183.51, 183.52, 901.261, 991.08, 89
3123.23, 3301.162, 3310.51 to 3310.63, 3314.016, 90
3314.086, 3314.087, 3314.19, 3317.161, 3323.052, 91
3327.17, 3333.50, 3345.02, 3353.20, 3353.21, 92
3353.22, 3353.23, 3353.24, 3353.25, 3353.26, 93
3353.27, 3353.28, 3353.29, 3353.30, 3357.13, 94
3701.135, 4766.22, 4923.26, 5101.52, 5101.522, 95
5101.523, 5101.524, 5101.525, 5101.526, 5101.527, 96
5101.528, 5101.529, 5101.541, 5101.573, 5101.574, 97
5101.575, 5101.591, 5107.04, 5111.0119, 5111.028, 98
5111.031, 5111.032, 5111.102, 5111.84, 5111.861, 99
5114.01, 5114.02, 5114.03, 5114.04, 5114.05, 100
5123.033, 5123.0414, 5123.0415, 5123.161, 101
5123.162, 5123.163, 5123.164, 5123.165, 5123.166, 102
5123.167, 5123.168, 5123.169, 5123.605, 5323.011, 103
5533.91, 5733.48, 5739.029, 5739.213, 5747.77, 104
5748.022, 5907.16, and 6111.0381; to repeal 105
sections 125.95, 183.02, 183.27, 183.32, 3318.47, 106
3318.48, 3318.49, 3333.29, 3702.68, 3718.01, 107
3718.02, 3718.021, 3718.03, 3718.04, 3718.05, 108
3718.06, 3718.07, 3718.08, 3718.09, 3718.10, 109
3718.99, 4911.021, 5111.161, 5123.16, 5123.182, 110
5123.199, 5126.035, 5126.036, 5126.053, 5126.431, 111
5126.44, 5126.451, 5747.61, 5747.62, 5747.63, and 112
6111.441 of the Revised Code; to amend Section 113
310.10 of Am. Sub. H.B. 67 of the 127th General 114
Assembly; to amend Section 252.70 of Am. Sub. H.B. 115
530 of the 126th General Assembly, to amend 116
Section 153 of Am. Sub. H.B. 117 of the 121st 117
General Assembly, as subsequently amended, to 118
amend the version of section 127.16 of the Revised 119
Code that is scheduled to take effect July 1, 120
2007, and to repeal the version of section 3702.68 121
of the Revised Code that was to have taken effect 122
July 1, 2007, to make operating appropriations for 123
the biennium beginning July 1, 2007, and ending 124
June 30, 2009, and to provide authorization and 125
conditions for the operation of state programs; to 126
confirm and order implementation of sections 127
9.833, 9.90, 3311.19, 3313.12, 3313.202, 3313.33, 128
4117.03, and 4117.08 and to confirm and order 129
complete implementation of section 9.901 of the 130
Revised Code as the sections result from Am. Sub. 131
H.B. 66 of the 126th General Assembly; to repeal 132
Section 611.03 of Am. Sub. H.B. 66 of the 126th 133
General Assembly; and to amend sections 9.90, 134
9.901, 3313.202, 3313.33, and 4117.03 of the 135
Revised Code to make other specifications 136
pertaining to that implementation as have become 137
necessary; and to terminate operation of section 138
5101.213 of the Revised Code on July 1, 2008, by 139
repealing the section on that date.140


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

       Section 101.01. That sections 9.821, 9.822, 9.823, 9.83, 141
107.12, 107.40, 109.57, 109.572, 109.93, 111.18, 118.01, 118.08, 142
118.17, 118.20, 118.23, 119.07, 120.33, 122.17, 122.171, 122.602, 143
124.152, 125.45, 125.93, 125.96, 125.97, 125.98, 126.07, 126.08, 144
126.16, 126.21, 126.22, 127.14, 127.16, 131.44, 133.01, 133.10, 145
133.25, 135.35, 135.352, 151.08, 151.40, 152.31, 156.02, 164.03, 146
164.05, 164.051, 164.08, 164.09, 166.08, 173.04, 173.35, 173.71, 147
173.85, 173.86, 174.03, 174.06, 183.01, 183.021, 183.17, 183.33, 148
183.34, 183.35, 307.021, 307.37, 307.695, 307.6910, 307.98, 149
307.981, 308.04, 317.08, 319.202, 319.281, 319.54, 321.08, 322.01, 150
323.151, 323.152, 323.153, 323.154, 325.31, 329.04, 329.05, 151
329.14, 340.03, 505.376, 517.08, 521.01, 709.191, 711.05, 711.10, 152
711.131, 718.13, 742.301, 1503.05, 1504.02, 1506.01, 1506.99, 153
1521.01, 1521.20, 1521.21, 1521.22, 1521.23, 1521.24, 1521.25, 154
1521.26, 1521.27, 1521.28, 1521.29, 1521.99, 1531.06, 1531.35, 155
1548.06, 1555.08, 1557.03, 1901.34, 2151.362, 2913.40, 2921.42, 156
2927.023, 2935.03, 3109.04, 3109.041, 3119.022, 3119.023, 3119.27, 157
3119.29, 3119.30, 3125.12, 3301.0711, 3301.0714, 3301.53, 3302.03, 158
3302.10, 3311.24, 3313.41, 3313.615, 3313.64, 3313.646, 3313.66, 159
3313.661, 3313.98, 3314.015, 3314.02, 3314.03, 3314.074, 3314.08, 160
3314.26, 3317.01, 3317.012, 3317.013, 3317.014, 3317.015, 161
3317.016, 3317.017, 3317.02, 3317.021, 3317.022, 3317.023, 162
3317.024, 3317.025, 3317.026, 3317.027, 3317.028, 3317.029, 163
3317.0216, 3317.0217, 3317.03, 3317.04, 3317.05, 3317.06, 3317.08, 164
3317.16, 3317.20, 3317.201, 3318.12, 3318.15, 3318.26, 3319.55, 165
3321.01, 3323.01, 3323.11, 3327.05, 3333.04, 3333.122, 3333.38, 166
3357.01, 3365.01, 3375.05, 3375.121, 3375.40, 3375.85, 3381.04, 167
3501.17, 3701.74, 3701.741, 3701.83, 3702.52, 3702.5211, 168
3702.5212, 3702.5213, 3702.57, 3702.68, 3704.03, 3704.14, 3705.24, 169
3709.09, 3709.091, 3721.51, 3721.541, 3721.56, 3734.57, 3735.672, 170
3745.11, 3746.04, 3769.087, 3770.03, 3770.06, 3905.36, 4123.35, 171
4141.09, 4301.43, 4503.06, 4503.061, 4503.064, 4503.065, 4503.066, 172
4503.067, 4503.10, 4503.102, 4503.35, 4505.06, 4513.263, 4513.35, 173
4519.55, 4717.07, 4723.621, 4723.63, 4723.64, 4723.65, 4723.66, 174
4731.142, 4731.22, 4736.01, 4743.05, 4755.03, 4766.05, 4775.08, 175
4921.40, 5101.162, 5101.21, 5101.211, 5101.212, 5101.213, 5101.24, 176
5101.242, 5101.244, 5101.26, 5101.47, 5101.50, 5101.571, 5101.572, 177
5101.58, 5101.59, 5101.802, 5101.98, 5104.30, 5107.02, 5107.03, 178
5107.05, 5107.10, 5107.12, 5107.14, 5107.16, 5107.17, 5107.281, 179
5107.30, 5107.36, 5107.41, 5107.42, 5111.01, 5111.014, 5111.016, 180
5111.019, 5111.0112, 5111.023, 5111.03, 5111.06, 5111.084, 181
5111.10, 5111.101, 5111.163, 5111.17, 5111.20, 5111.871, 182
5111.8814, 5111.95, 5111.96, 5112.341, 5115.12, 5119.611, 5123.01, 183
5123.043, 5123.045, 5123.051, 5123.19, 5123.196, 5123.198, 184
5123.20, 5123.211, 5123.38, 5123.41, 5123.51, 5123.99, 5126.038, 185
5126.042, 5126.046, 5126.055, 5126.057, 5126.06, 5126.11, 5126.12, 186
5126.15, 5126.18, 5126.19, 5126.25, 5126.40, 5126.42, 5126.43, 187
5126.45, 5126.47, 5139.27, 5139.271, 5139.43, 5302.30, 5528.54, 188
5531.10, 5537.04, 5537.16, 5537.99, 5705.28, 5705.281, 5705.29, 189
5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 5709.68, 5709.882, 190
5715.36, 5719.041, 5725.151, 5725.24, 5727.45, 5727.84, 5727.85, 191
5727.87, 5733.01, 5733.12, 5733.98, 5739.02, 5739.033, 5739.12, 192
5739.21, 5741.02, 5741.03, 5743.01, 5743.20, 5743.331, 5745.02, 193
5745.05, 5745.13, 5747.03, 5747.46, 5747.47, 5747.48, 5747.50, 194
5747.501, 5747.51, 5747.52, 5747.53, 5747.54, 5747.55, 5747.98, 195
5748.01, 5748.02, 5748.021, 5748.04, 5748.08, 5751.20, 5751.21, 196
5751.23, 5907.15, 6109.21, 6111.04, 6111.44, 6121.04, 6121.043, 197
and 6131.23 be amended; sections 1521.20 (1506.38), 1521.21 198
(1506.39), 1521.22 (1506.40), 1521.23 (1506.41), 1521.24 199
(1506.42), 1521.25 (1506.43), 1521.26 (1506.44), 1521.27 200
(1506.45), 1521.28 (1506.46), 1521.29 (1506.47), 1521.30 201
(1506.48), 3702.63 (3702.591), 3702.68 (3702.59), 5101.521 (9.15), 202
5111.95 (5111.033), and 5111.96 (5111.034) be amended for the 203
purpose of adopting new section numbers as indicated in 204
parentheses; and new sections 3318.47, 5101.521, and 5123.16 and 205
sections 122.051, 122.071, 122.076, 122.174, 126.24, 126.40, 206
131.51, 183.51, 183.52, 901.261, 991.08, 3123.23, 3301.162, 207
3310.51, 3310.52, 3310.53, 3310.54, 3310.55, 3310.56, 3310.57, 208
3310.58, 3310.59, 3310.60, 3310.61, 3310.62, 3310.63, 3314.016, 209
3314.086, 3314.087, 3314.19, 3317.161, 3323.052, 3327.17, 3333.50, 210
3345.02, 3353.20, 3353.21, 3353.22, 3353.23, 3353.24, 3353.25, 211
3353.26, 3353.27, 3353.28, 3353.29, 3353.30, 3357.13, 3701.135, 212
4766.22, 4923.26, 5101.52, 5101.522, 5101.523, 5101.524, 5101.525, 213
5101.526, 5101.527, 5101.528, 5101.529, 5101.541, 5101.573, 214
5101.574, 5101.575, 5101.591, 5107.04, 5111.0119, 5111.028, 215
5111.031, 5111.032, 5111.102, 5111.84, 5111.861, 5123.033, 216
5123.0414, 5123.0415, 5123.161, 5123.162, 5123.163, 5123.164, 217
5123.165, 5123.166, 5123.167, 5123.168, 5123.169, 5123.605, 218
5323.011, 5533.91, 5733.48, 5739.029, 5739.213, 5747.77, 5748.022, 219
5907.16, and 6111.0381 of the Revised Code be enacted to read as 220
follows:221

       Sec. 5101.521.        Sec. 9.15.  When the body of a dead person is found 222
in a township or municipal corporation, and such person was not an223
inmate of a correctional, benevolent, or charitable institution of224
this state, and the body is not claimed by any person for private225
interment or cremation at the person's own expense, or delivered226
for the purpose of medical or surgical study or dissection in227
accordance with section 1713.34 of the Revised Code, it shall be228
disposed of as follows:229

       (A) If the person was a legal resident of the county, the230
proper officers of the township or municipal corporation in which231
the person's body was found shall cause it to be buried or232
cremated at the expense of the township or municipal corporation233
in which the person had a legal residence at the time of death.234

       (B) If the person had a legal residence in any other county235
of the state at the time of death, the superintendent of the236
county home of the county in which such body was found shall cause237
it to be buried or cremated at the expense of the township or238
municipal corporation in which the person had a legal residence at239
the time of death.240

       (C) If the person was an inmate of a correctional institution 241
of the county or a patient or resident of a benevolent institution 242
of the county, the person had no legal residence in the state, or 243
the person's legal residence is unknown, the superintendent shall 244
cause the person to be buried or cremated at the expense of the 245
county.246

       Such officials shall provide, at the grave of the person or,247
if the person's cremated remains are buried, at the grave of the248
person's cremated remains, a stone or concrete marker on which the249
person's name and age, if known, and date of death shall be250
inscribed.251

       A political subdivision is not relieved of its duty to bury252
or cremate a person at its expense under this section when the253
body is claimed by an indigent person.254

       Sec. 9.821.  (A) The department of administrative services255
shall direct and manage for state agencies all risk management and256
insurance programs authorized under section 9.822 of the Revised257
Code.258

       (B) The office of risk management is hereby established259
within the department of administrative services. The director of260
administrative services, or a deputy director appointed by the261
director, shall control and supervise the office.262

       (C) The office may take any of the following actions that it263
determines to be in the best interests of the state:264

       (1) Provide all insurance coverages for the state, including, 265
but not limited to, automobile liability, casualty, property, 266
public liability, and, except as provided in division (C)(6) of 267
this section, fidelity bond insurancebonding. The cost of268
insurance coverage shall be paid from appropriations made to the269
state agencies that the office has designated to receive the270
coverage.271

       (2) Provide coverage of legal expenses that are necessary and 272
related to the legal defense of claims against the state;273

       (3) Purchase insurance policies consistent with sections274
125.01 to 125.111 of the Revised Code, develop and administer275
self-insurance programs, or do both;276

       (4) Consolidate and combine state insurance coverages;277

       (5) Provide technical services in risk management and278
insurance to state agencies;279

       (6)(a) Establish and administer a self-insured fidelity bond280
program for a particular class or subclass of state officer,281
employee, or agent, if, prior to the establishment and282
administration of this program, the director does both of the283
following:284

       (i) Holds a hearing in accordance with Chapter 119. of the285
Revised Code to determine whether fidelity bond insurance for that286
particular class or subclass of state officer, employee, or agent287
is available in the voluntary market;288

       (ii) If, as a result of that hearing, the director determines 289
that fidelity bond insurance for a particular class or subclass of 290
state officer, employee, or agent is unavailable in the voluntary 291
market and that the absence of this insurance threatens the 292
operation of state government and will be detrimental to the 293
general welfare of the citizens of this state, adopts rules in 294
accordance with Chapter 119. of the Revised Code to establish 295
standards and procedures governing the establishment,296
administration, and termination of the fidelity bond program for297
that particular class or subclass of state officer, employee, or298
agent.299

       (b) Division (C)(6)(a) of this section does not apply to any300
self-insured blanket fidelity bond program that, on September 20,301
1993, has been established pursuant to section 9.831 of the302
Revised Code.303

       (7) Except as provided in division (C)(6) of this section,304
adoptAdopt and publish, in accordance with section 111.15 of the305
Revised Code, necessary rules and procedures governing the306
administration of the state's insurance and risk management307
activities.308

       (D) No state agency, except a state agency exempted under309
section 125.02 or 125.04 of the Revised Code from the department's310
purchasing authority, shall purchase any insurance described in311
this section except as authorized by the department, when the 312
office of risk management determines that the purchase is in the 313
best interest of the state pursuant to division (C)(1) of this 314
section, and in accordance with terms, conditions, and procurement 315
methods established by the department.316

       (E) With respect to any civil action, demand, or claim317
against the state that could be filed in the court of claims,318
nothing in sections 9.82 to 9.823 of the Revised Code shall be319
interpreted to permit the settlement or compromise of those civil320
actions, demands, or claims, except in the manner provided in321
Chapter 2743. of the Revised Code.322

       Sec. 9.822.  (A) The department of administrative services323
through the office of risk management shall establish an insurance324
plan or plans that may provide for self-insurance or the purchase325
of insurance, or both, for anyeither of the following purposes:326

       (1) Insuring state real and personal property against losses327
occasioned by fire, windstorm, or other accidents and perils;328

       (2) Insuring the state and its officers and employees against 329
liability resulting from any civil action, demand, or claim 330
against the state or its officers and employees arising out of any 331
act or omission of an officer or employee in the performance of 332
official duties, except acts and omissions for which333
indemnification is prohibited under section 9.87 of the Revised334
Code;.335

       (3) Insuring(B) The department of administrative services 336
through the office of risk management shall establish one or more 337
insurance plans that provide for the purchase of insurance for the 338
purpose of insuring the state through the fidelity bonding of339
state officers, employees, and agents who are required by law to340
provide a fidelity bond. Nothing in this section shall be 341
construed to allow the department of administrative services 342
through the office of risk management to administer the state's 343
fidelity bonding program through a program of self-insurance.344

       (B)(1) Prior to the establishment of any self-insured345
fidelity bond program for a particular class or subclass of state346
officer, employee, or agent authorized pursuant to division (A)(3)347
of this section, the director of administrative services shall348
follow the procedures for holding a hearing and adopting rules set349
forth in division (C)(6)(a) of section 9.821 of the Revised Code.350

       (2) Division (B)(1) of this section does not apply to any351
self-insured blanket fidelity bond program that, on September 20,352
1993, has been established pursuant to section 9.831 of the353
Revised Code.354

       (3) The director shall prepare annually a written report355
detailing any self-insured fidelity bond program established356
pursuant to division (A)(3) of this section. The report shall357
include, but is not limited to, information relating to premiums358
collected, income from recovery, loss experience, and359
administrative costs of the program. A copy of the report,360
together with a copy of those portions of the most recent reports361
submitted under division (D) of section 9.823 of the Revised Code 362
that pertain to any such self-insured fidelity bond program, shall363
be submitted to the speaker of the house of representatives and364
the president of the senate by the last day of March of each year.365

       Sec. 9.823.  (A) All contributions collected by the director 366
of administrative services under division (E) of this section 367
shall be deposited into the state treasury to the credit of the 368
risk management reserve fund, which is hereby created. The fund 369
shall be used to provide insurance and self-insurance for the 370
state under sectionsections 9.822 and 9.83 of the Revised Code. 371
All investment earnings of the fund shall be credited to it.372

       (B) The director, through the office of risk management,373
shall operate the risk management reserve fund on an actuarially374
sound basis.375

       (C) Reserves shall be maintained in the risk management376
reserve fund in any amount that is necessary and adequate, in the377
exercise of sound and prudent actuarial judgment, to cover378
potential liability claims, expenses, fees, or damages. Money in379
the fund may be applied to the payment of liability claims that380
are filed against the state in the court of claims and determined381
in the manner provided for under Chapter 2743. of the Revised382
Code. The director may procure the services of a qualified383
actuarial firm for the purpose of recommending the specific amount 384
of money that would be required to maintain adequate reserves for 385
a given period of time.386

       (D) A report of the amounts reserved and disbursements made 387
from the reserves, together with a written report of a competent 388
property and casualty actuary, shall be submitted, on or before 389
the last day of March for the preceding calendar year, to the 390
speaker of the house of representatives and the president of the 391
senate. The actuary shall certify the adequacy of the rates of 392
contributions, the sufficiency of excess insurance, and whether 393
the amounts reserved conform to the requirements of this section, 394
are computed in accordance with accepted loss reserving standards, 395
and are fairly stated in accordance with sound loss reserving 396
principles. The report shall include disbursements made for the 397
administration of the fund, including claims paid, cost of legal 398
representation of state agencies and employees, and fees paid to 399
consultants.400

       (E) The director shall collect from each state agency or any 401
participating state body its contribution to the risk management 402
reserve fund for the purpose of purchasing insurance or 403
administering self-insurance programs for coverages authorized404
under sectionsections 9.822 and 9.83 of the Revised Code. The 405
contribution shall be determined by the director, with the 406
approval of the director of budget and management, and shall be 407
based upon actuarial assumptions and the relative risk and loss 408
experience of each state agency or participating state body. The 409
contribution shall further include a reasonable sum to cover the 410
department's administrative costs.411

       Sec. 9.83.  (A) The state and any political subdivision may 412
procure a policy or policies of insurance insuring its officers 413
and employees against liability for injury, death, or loss to 414
person or property that arises out of the operation of an415
automobile, truck, motor vehicle with auxiliary equipment,416
self-propelling equipment or trailer, aircraft, or watercraft by417
the officers or employees while engaged in the course of their418
employment or official responsibilities for the state or the419
political subdivision. The state is authorized to expend funds to 420
pay judgments that are rendered in any court against its officers 421
or employees and that result from such operation, and is422
authorized to expend funds to compromise claims for liability423
against its officers or employees that result from such operation. 424
No insurer shall deny coverage under such a policy, and the state 425
shall not refuse to pay judgments or compromise claims, on the 426
ground that an automobile, truck, motor vehicle with auxiliary 427
equipment, self-propelling equipment or trailer, aircraft, or 428
watercraft was not being used in the course of an officer's or 429
employee's employment or official responsibilities for the state 430
or a political subdivision unless the officer or employee who was 431
operating an automobile, truck, motor vehicle with auxiliary 432
equipment, or self-propelling equipment or trailer is convicted of 433
a violation of section 124.71 of the Revised Code as a result of 434
the same events.435

       (B) Funds shall be reserved as necessary, in the exercise of 436
sound and prudent actuarial judgment, to cover potential expense, 437
fees, damage, loss, or other liability. The superintendent of 438
insuranceoffice of risk management may recommend or, if the state439
requests of the superintendentoffice of risk management, shall 440
recommend, a specific amount for any period of time that, in the 441
superintendent's opinion of the office of risk management, 442
represents such a judgment.443

       (C) Nothing in this section shall be construed to require the 444
department of administrative services to purchase liability445
insurance for all state vehicles in a single policy of insurance446
or to cover all state vehicles under a single plan of447
self-insurance.448

       (D) Insurance procured by the state pursuant to this section 449
shall be procured as provided in section 125.03 of the Revised 450
Code.451

       (E) For purposes of liability insurance procured under this452
section to cover the operation of a motor vehicle by a prisoner 453
for whom the insurance is procured, "employee" includes a prisoner 454
in the custody of the department of rehabilitation and correction 455
who is enrolled in a work program that is established by the 456
department pursuant to section 5145.16 of the Revised Code and in 457
which the prisoner is required to operate a motor vehicle, as 458
defined in section 4509.01 of the Revised Code, and who is engaged 459
in the operation of a motor vehicle in the course of the work 460
program.461

       (F) There is hereby created in the state treasury the vehicle 462
liability fund. All contributions collected by the director of 463
administrative services under division (I) of this section shall 464
be deposited into the fund. The fund shall be used to provide 465
insurance and self-insurance for the state under this section. All 466
investment earnings of the fund shall be credited to itrisk 467
management reserve fund created in section 9.823 of the Revised 468
Code to the credit of the vehicle liability program.469

       (G) The director of administrative services, through the 470
office of risk management, shall operate the vehicle liability 471
fund on an actuarially sound basis.472

       (H) Reserves shall be maintained in the vehicle liability473
risk management reserve fund to the credit of the vehicle 474
liability program in any amount that is necessary and adequate, in 475
the exercise of sound and prudent actuarial judgment, to cover 476
potential liability claims, expenses, fees, or damages. Money in 477
the fund may be applied to the payment of liability claims that 478
are filed against the state in the court of claims and determined 479
in the manner provided in Chapter 2743. of the Revised Code. The 480
director of administrative services may procure the services of a 481
qualified actuarial firm for the purpose of recommending the 482
specific amount of money that is required to maintain adequate 483
reserves for a specified period of time.484

       (I)(H) The director of administrative services shall collect 485
from each state agency or any participating state body its 486
contribution to the vehicle liability fundprogram for the purpose 487
of purchasing insurance or administering self-insurance programs 488
for coverage authorized under this section. The amount of the 489
contribution shall be determined by the director, with the 490
approval of the director of budget and management. It shall be 491
based upon actuarial assumptions and the relative risk and loss 492
experience of each state agency or participating state body. The 493
amount of the contribution also shall include a reasonable sum to 494
cover administrative costs of the department of administrative 495
services. The amounts collected pursuant to this division shall be 496
deposited in the risk management reserve fund to the credit of the 497
vehicle liability program.498

       Sec. 107.12. (A) As used in this section, "organization" 499
means a faith-based or other organization that is exempt from 500
federal income taxation under section 501(c)(3) of the Internal 501
Revenue Code of 1986, 100 Stat. 2085, 26 U.S.C. 1, as amended, and 502
provides charitable services to needy residents of this state.503

       (B) There is hereby established within the office of the 504
governor the governor's office of faith-based and community 505
initiatives. The office shall:506

       (1) Serve as a clearinghouse of information on federal, 507
state, and local funding for charitable services performed by 508
organizations;509

       (2) Encourage organizations to seek public funding for their 510
charitable services;511

       (3) Act as a liaison between state agencies and 512
organizations;513

       (4) Advise the governor, general assembly, and the advisory 514
board of the governor's office of faith-based community 515
initiatives on the barriers that exist to collaboration between 516
organizations and governmental entities and on ways to remove the 517
barriers.518

       (C) The governor shall appoint an executive assistant to 519
manage the office and perform or oversee the performance of the 520
duties of the office.521

       (D)(1) There is hereby created the advisory board of the 522
governor's office of faith-based and community initiatives. The 523
board shall consist of members appointed as follows:524

       (a) The directors of aging, alcohol and drug addiction525
services, rehabilitation and correction, health, job and family 526
services, mental health, and youth services shall each appoint to527
the board one employee of that director's department.528

       (b) The speaker of the house of representatives shall appoint 529
to the board two members of the house of representatives, not more 530
than one of whom shall be from the same political party and at 531
least one of whom shall be from the legislative black caucus. The 532
speaker of the house of representatives shall consult with the 533
president of the legislative black caucus in making the 534
legislative black caucus member appointment. The president of the 535
senate shall appoint to the board two members of the senate, not 536
more than one of whom shall be from the same political party.537

       (c) The governor, speaker of the house of representatives,538
and president of the senate shall each appoint to the board three 539
representatives of the nonprofit, faith-based and other nonprofit540
community.541

       (2) The appointments to the board shall be made within thirty 542
days after the effective date of this section. Terms of the office 543
shall be one year. Any vacancy that occurs on the board shall be 544
filled in the same manner as the original appointment. The members 545
of the board shall serve without compensation.546

       (3) At its initial meeting, the board shall elect a547
chairperson. The chairperson shall be a member of the board who is 548
a member of the house of representatives.549

       (E) The board shall do both of the following:550

       (1) Provide direction, guidance, and oversight to the office;551

       (2) Publish a report of its activities on or before the first 552
day of August of each year, and deliver copies of the report to 553
the governor, the speaker and minority leader of the house of 554
representatives, and the president and minority leader of the 555
senate.556

       (F) No member of the board or organization that the member is 557
affiliated or involved with is eligible to receive any grant that 558
the office administers or assists in administering.559

       Sec. 107.40.  (A) There is hereby created the governor's 560
residence advisory commission. The commission shall provide for 561
the preservation, restoration, acquisition, and conservation of 562
all decorations, objects of art, chandeliers, china, silver, 563
statues, paintings, furnishings, accouterments, and other 564
aesthetic materials that have been acquired, donated, loaned, or 565
otherwise obtained by the state for the governor's residence and 566
that have been approved by the commission. In addition, the 567
commission shall provide for the maintenance of plants that have 568
been acquired, donated, loaned, or otherwise obtained by the state 569
for the governor's residence and that have been approved by the 570
commission.571

       (B) The commission shall be responsible for the care, 572
provision, repair, and placement of furnishings and other objects 573
and accessories of the grounds and public areas of the first story 574
of the governor's residence and for the care and placement of 575
plants on the grounds. In exercising this responsibility, the 576
commission shall preserve and seek to further establish all of the 577
following:578

       (1) The authentic ambiance and decor of the historic era 579
during which the governor's residence was constructed;580

       (2) The grounds as a representation of Ohio's natural 581
ecosystems;582

       (3) The heritage garden for all of the following purposes:583

        (a) To preserve, sustain, and encourage the use of native 584
flora throughout the state;585

        (b) To replicate the state's physiographic regions, plant 586
communities, and natural landscapes;587

        (c) To serve as an educational garden that demonstrates the 588
artistic, industrial, political, horticultural, and geologic 589
history of the state through the use of plants;590

        (d) To serve as a reservoir of rare species of plants from 591
the physiographic regions of the state.592

        These duties shall not affect the obligation of the 593
department of administrative services to provide for theand adopt 594
policies and procedures regarding the use, general maintenance,595
and operating expenses of the governor's residence.596

       (C) The commission shall consist of eleven members. One 597
member shall be the director of administrative services or the 598
director's designee, who shall serve during the director's term of 599
office and shall serve as chairperson. One member shall be the 600
director of the Ohio historical society or the director's 601
designee, who shall serve during the director's term of office and 602
shall serve as vice-chairperson. One member shall represent the 603
Columbus landmarks foundation. One member shall represent the604
Bexley historical society. One member shall be the mayor of the 605
city of Bexley, who shall serve during the mayor's term of office. 606
One member shall be the chief executive officer of the Franklin 607
park conservatory joint recreation district, who shall serve 608
during the term of employment as chief executive officer. The609
remaining five members shall be appointed by the governor with the 610
advice and consent of the senate. The five members appointed by 611
the governor shall be persons with knowledge of Ohio history, 612
architecture, decorative arts, or historic preservation, and one 613
of those members shall have knowledge of landscape architecture, 614
garden design, horticulture, and plants native to this state.615

       (D) Of the initial appointees, the representative of the616
Columbus landmarks foundation shall serve for a term expiring617
December 31, 1996, and the representative of the Bexley historical 618
society shall serve for a term expiring December 31, 1997. Of the 619
five members appointed by the governor, three shall serve for 620
terms ending December 31, 1998, and two shall serve for terms 621
ending December 31, 1999. Thereafter, each term shall be for four 622
years, commencing on the first day of January and ending on the 623
last day of December. The member having knowledge of landscape 624
architecture, garden design, horticulture, and plants native to 625
this state initially shall be appointed upon the first vacancy on 626
the commission occurring on or after June 30, 2006.627

        Each member shall hold office from the date of the member's628
appointment until the end of the term for which the member was629
appointed. Any member appointed to fill a vacancy occurring prior 630
to the end of the term for which the member's predecessor was 631
appointed shall hold office for the remainder of the term. Any 632
member shall continue in office subsequent to the expiration of 633
the term until the member's successor takes office.634

       (E) Six members of the commission constitute a quorum, and 635
the affirmative vote of six members is required for approval of 636
any action by the commission.637

       (F) After each initial member of the commission has been 638
appointed, the commission shall meet and select one member as 639
secretary and another as treasurer. Organizational meetings of the 640
commission shall be held at the time and place designated by call 641
of the chairperson. Meetings of the commission may be held 642
anywhere in the state and shall be in compliance with Chapters 643
121. and 149. of the Revised Code. The commission may adopt, 644
pursuant to section 111.15 of the Revised Code, rules necessary to 645
carry out the purposes of this section.646

       (G) Members of the commission shall serve without 647
remuneration, but shall be compensated for actual and necessary 648
expenses incurred in the performance of their official duties.649

       (H) All expenses incurred in carrying out this section are 650
payable solely from money accrued under this section or 651
appropriated for these purposes by the general assembly, and the 652
commission shall incur no liability or obligation beyond such 653
money.654

       (I) TheExcept as otherwise provided in this division, the655
commission may accept any payment for the use of the governor's 656
residence or may accept any donation, gift, bequest, or devise for 657
the governor's residence or as an endowment for the maintenance 658
and care of the garden on the grounds of the governor's residence 659
in furtherance of its duties. The commission shall not accept any 660
donation, gift, bequest, or devise from a person, individual, or 661
member of an individual's immediate family if the person or 662
individual is receiving payments under a contract with the state 663
or a state agency for the purchase of supplies, services, or 664
equipment or for the construction, reconstruction, improvement, 665
enlargement, alteration, repair, painting, or decoration of a 666
public improvement, except for payments received under an 667
employment contract or a collective bargaining agreement. Any 668
revenue received by the commission shall be deposited into the 669
governor's residence fund, which is hereby established in the 670
state treasury, for use by the commission in accordance with the 671
performance of its duties. All investment earnings of the fund 672
shall be credited to the fund. Title to all property acquired by 673
the commission shall be taken in the name of the state and shall 674
be held for the use and benefit of the commission.675

       (J) Nothing in this section limits the ability of a person or 676
other entity to purchase decorations, objects of art, chandeliers, 677
china, silver, statues, paintings, furnishings, accouterments, 678
plants, or other aesthetic materials for placement in the 679
governor's residence or on the grounds of the governor's residence 680
or donation to the commission. No such object or plant, however, 681
shall be placed on the grounds or public areas of the first story 682
of the governor's residence without the consent of the commission.683

       (K) The heritage garden established under this section shall 684
be officially known as "the heritage garden at the Ohio governor's 685
residence."686

        (L) As used in this section, "heritage garden" means the 687
botanical garden of native plants established at the governor's 688
residence.689

       Sec. 109.57.  (A)(1) The superintendent of the bureau of690
criminal identification and investigation shall procure from 691
wherever procurable and file for record photographs, pictures, 692
descriptions, fingerprints, measurements, and other information 693
that may be pertinent of all persons who have been convicted of 694
committing within this state a felony, any crime constituting a 695
misdemeanor on the first offense and a felony on subsequent696
offenses, or any misdemeanor described in division (A)(1)(a) or 697
(A)(10)(a) of section 109.572 of the Revised Code, of all children 698
under eighteen years of age who have been adjudicated delinquent 699
children for committing within this state an act that would be a 700
felony or an offense of violence if committed by an adult or who 701
have been convicted of or pleaded guilty to committing within this 702
state a felony or an offense of violence, and of all well-known 703
and habitual criminals. The person in charge of any county, 704
multicounty, municipal, municipal-county, or multicounty-municipal 705
jail or workhouse, community-based correctional facility, halfway 706
house, alternative residential facility, or state correctional 707
institution and the person in charge of any state institution 708
having custody of a person suspected of having committed a felony, 709
any crime constituting a misdemeanor on the first offense and a 710
felony on subsequent offenses, or any misdemeanor described in 711
division (A)(1)(a) or (A)(10)(a) of section 109.572 of the Revised 712
Code or having custody of a child under eighteen years of age with 713
respect to whom there is probable cause to believe that the child 714
may have committed an act that would be a felony or an offense of 715
violence if committed by an adult shall furnish such material to 716
the superintendent of the bureau. Fingerprints, photographs, or 717
other descriptive information of a child who is under eighteen 718
years of age, has not been arrested or otherwise taken into 719
custody for committing an act that would be a felony or an offense 720
of violence if committed by an adult, has not been adjudicated a 721
delinquent child for committing an act that would be a felony or 722
an offense of violence if committed by an adult, has not been 723
convicted of or pleaded guilty to committing a felony or an724
offense of violence, and is not a child with respect to whom there 725
is probable cause to believe that the child may have committed an 726
act that would be a felony or an offense of violence if committed 727
by an adult shall not be procured by the superintendent or 728
furnished by any person in charge of any county, multicounty, 729
municipal, municipal-county, or multicounty-municipal jail or 730
workhouse, community-based correctional facility, halfway house, 731
alternative residential facility, or state correctional 732
institution, except as authorized in section 2151.313 of the 733
Revised Code.734

       (2) Every clerk of a court of record in this state, other 735
than the supreme court or a court of appeals, shall send to the736
superintendent of the bureau a weekly report containing a summary 737
of each case involving a felony, involving any crime constituting 738
a misdemeanor on the first offense and a felony on subsequent 739
offenses, involving a misdemeanor described in division (A)(1)(a) 740
or (A)(10)(a) of section 109.572 of the Revised Code, or involving 741
an adjudication in a case in which a child under eighteen years of 742
age was alleged to be a delinquent child for committing an act 743
that would be a felony or an offense of violence if committed by744
an adult. The clerk of the court of common pleas shall include in 745
the report and summary the clerk sends under this division all 746
information described in divisions (A)(2)(a) to (f) of this 747
section regarding a case before the court of appeals that is 748
served by that clerk. The summary shall be written on the standard 749
forms furnished by the superintendent pursuant to division (B) of 750
this section and shall include the following information:751

       (a) The incident tracking number contained on the standard 752
forms furnished by the superintendent pursuant to division (B) of 753
this section;754

       (b) The style and number of the case;755

       (c) The date of arrest;756

       (d) The date that the person was convicted of or pleaded 757
guilty to the offense, adjudicated a delinquent child for 758
committing the act that would be a felony or an offense of 759
violence if committed by an adult, found not guilty of the760
offense, or found not to be a delinquent child for committing an 761
act that would be a felony or an offense of violence if committed 762
by an adult, the date of an entry dismissing the charge, an entry 763
declaring a mistrial of the offense in which the person is 764
discharged, an entry finding that the person or child is not 765
competent to stand trial, or an entry of a nolle prosequi, or the 766
date of any other determination that constitutes final resolution 767
of the case;768

       (e) A statement of the original charge with the section of 769
the Revised Code that was alleged to be violated;770

       (f) If the person or child was convicted, pleaded guilty, or 771
was adjudicated a delinquent child, the sentence or terms of 772
probation imposed or any other disposition of the offender or the 773
delinquent child.774

       If the offense involved the disarming of a law enforcement 775
officer or an attempt to disarm a law enforcement officer, the 776
clerk shall clearly state that fact in the summary, and the 777
superintendent shall ensure that a clear statement of that fact is 778
placed in the bureau's records.779

       (3) The superintendent shall cooperate with and assist780
sheriffs, chiefs of police, and other law enforcement officers in 781
the establishment of a complete system of criminal identification 782
and in obtaining fingerprints and other means of identification of 783
all persons arrested on a charge of a felony, any crime 784
constituting a misdemeanor on the first offense and a felony on 785
subsequent offenses, or a misdemeanor described in division786
(A)(1)(a) or (A)(10)(a) of section 109.572 of the Revised Code and 787
of all children under eighteen years of age arrested or otherwise 788
taken into custody for committing an act that would be a felony or 789
an offense of violence if committed by an adult. The790
superintendent also shall file for record the fingerprint 791
impressions of all persons confined in a county, multicounty,792
municipal, municipal-county, or multicounty-municipal jail or 793
workhouse, community-based correctional facility, halfway house,794
alternative residential facility, or state correctional 795
institution for the violation of state laws and of all children 796
under eighteen years of age who are confined in a county, 797
multicounty, municipal, municipal-county, or multicounty-municipal 798
jail or workhouse, community-based correctional facility, halfway 799
house, alternative residential facility, or state correctional800
institution or in any facility for delinquent children for 801
committing an act that would be a felony or an offense of violence 802
if committed by an adult, and any other information that the 803
superintendent may receive from law enforcement officials of the 804
state and its political subdivisions.805

       (4) The superintendent shall carry out Chapter 2950. of the806
Revised Code with respect to the registration of persons who are 807
convicted of or plead guilty to either a sexually oriented offense 808
that is not a registration-exempt sexually oriented offense or a 809
child-victim oriented offense and with respect to all other duties 810
imposed on the bureau under that chapter.811

       (5) The bureau shall perform centralized recordkeeping 812
functions for criminal history records and services in this state 813
for purposes of the national crime prevention and privacy compact 814
set forth in section 109.571 of the Revised Code and is the 815
criminal history record repository as defined in that section for 816
purposes of that compact. The superintendent or the 817
superintendent's designee is the compact officer for purposes of 818
that compact and shall carry out the responsibilities of the 819
compact officer specified in that compact.820

       (B) The superintendent shall prepare and furnish to every821
county, multicounty, municipal, municipal-county, or822
multicounty-municipal jail or workhouse, community-based 823
correctional facility, halfway house, alternative residential 824
facility, or state correctional institution and to every clerk of 825
a court in this state specified in division (A)(2) of this section 826
standard forms for reporting the information required under 827
division (A) of this section. The standard forms that the 828
superintendent prepares pursuant to this division may be in a 829
tangible format, in an electronic format, or in both tangible 830
formats and electronic formats.831

       (C) The superintendent may operate a center for electronic, 832
automated, or other data processing for the storage and retrieval 833
of information, data, and statistics pertaining to criminals and 834
to children under eighteen years of age who are adjudicated835
delinquent children for committing an act that would be a felony 836
or an offense of violence if committed by an adult, criminal 837
activity, crime prevention, law enforcement, and criminal justice, 838
and may establish and operate a statewide communications network 839
to gather and disseminate information, data, and statistics for 840
the use of law enforcement agencies. The superintendent may 841
gather, store, retrieve, and disseminate information, data, and 842
statistics that pertain to children who are under eighteen years 843
of age and that are gathered pursuant to sections 109.57 to 109.61 844
of the Revised Code together with information, data, and845
statistics that pertain to adults and that are gathered pursuant 846
to those sections. In addition to any other authorized use of 847
information, data, and statistics of that nature, the 848
superintendent or the superintendent's designee may provide and 849
exchange the information, data, and statistics pursuant to the 850
national crime prevention and privacy compact as described in 851
division (A)(5) of this section.852

       (D) The information and materials furnished to the853
superintendent pursuant to division (A) of this section and854
information and materials furnished to any board or person under855
division (F) or (G) of this section are not public records under 856
section 149.43 of the Revised Code.857

       (E) The attorney general shall adopt rules, in accordance858
with Chapter 119. of the Revised Code, setting forth the procedure 859
by which a person may receive or release information gathered by 860
the superintendent pursuant to division (A) of this section. A 861
reasonable fee may be charged for this service. If a temporary 862
employment service submits a request for a determination of 863
whether a person the service plans to refer to an employment864
position has been convicted of or pleaded guilty to an offense865
listed in division (A)(1), (3), (4), (5), or (6) of section 866
109.572 of the Revised Code, the request shall be treated as a 867
single request and only one fee shall be charged.868

       (F)(1) As used in division (F)(2) of this section, "head869
start agency" means an entity in this state that has been approved 870
to be an agency for purposes of subchapter II of the "Community 871
Economic Development Act," 95 Stat. 489 (1981), 42 U.S.C.A. 9831, 872
as amended.873

       (2)(a) In addition to or in conjunction with any request that874
is required to be made under section 109.572, 2151.86, 3301.32, or875
3301.541, division (C) of section 3310.58, or section 3319.39, 876
3701.881, 5104.012, 5104.013, 5123.081, 5126.28, 5126.281, or 877
5153.111 of the Revised Code, the board of education of any school 878
district; the director of mental retardation and developmental 879
disabilities; any county board of mental retardation and 880
developmental disabilities; any entity under contract with a881
county board of mental retardation and developmental disabilities; 882
the chief administrator of any chartered nonpublic school; the 883
chief administrator of a registered private provider that is not 884
also a chartered nonpublic school; the chief administrator of any 885
home health agency; the chief administrator of or person operating 886
any child day-care center, type A family day-care home, or type B 887
family day-care home licensed or certified under Chapter 5104. of 888
the Revised Code; the administrator of any type C family day-care889
home certified pursuant to Section 1 of Sub. H.B. 62 of the 121st890
general assembly or Section 5 of Am. Sub. S.B. 160 of the 121st891
general assembly; the chief administrator of any head start 892
agency; or the executive director of a public children services 893
agency may request that the superintendent of the bureau 894
investigate and determine, with respect to any individual who has 895
applied for employment in any position after October 2, 1989, or 896
any individual wishing to apply for employment with a board of 897
education may request, with regard to the individual, whether the 898
bureau has any information gathered under division (A) of this 899
section that pertains to that individual. On receipt of the 900
request, the superintendent shall determine whether that 901
information exists and, upon request of the person, board, or 902
entity requesting information, also shall request from the federal 903
bureau of investigation any criminal records it has pertaining to 904
that individual. The superintendent or the superintendent's 905
designee also may request criminal history records from other 906
states or the federal government pursuant to the national crime 907
prevention and privacy compact set forth in section 109.571 of the 908
Revised Code. Within thirty days of the date that the 909
superintendent receives a request, the superintendent shall send 910
to the board, entity, or person a report of any information that 911
the superintendent determines exists, including information 912
contained in records that have been sealed under section 2953.32 913
of the Revised Code, and, within thirty days of its receipt, shall 914
send the board, entity, or person a report of any information 915
received from the federal bureau of investigation, other than 916
information the dissemination of which is prohibited by federal 917
law.918

       (b) When a board of education or a registered private 919
provider is required to receive information under this section as 920
a prerequisite to employment of an individual pursuant to division 921
(C) of section 3310.58 or section 3319.39 of the Revised Code, it 922
may accept a certified copy of records that were issued by the 923
bureau of criminal identification and investigation and that are924
presented by an individual applying for employment with the925
district in lieu of requesting that information itself. In such a 926
case, the board or provider shall accept the certified copy issued 927
by the bureau in order to make a photocopy of it for that 928
individual's employment application documents and shall return the 929
certified copy to the individual. In a case of that nature, a 930
district or provider only shall accept a certified copy of records 931
of that nature within one year after the date of their issuance by 932
the bureau.933

       (3) The state board of education may request, with respect to 934
any individual who has applied for employment after October 2,935
1989, in any position with the state board or the department of936
education, any information that a school district board of937
education is authorized to request under division (F)(2) of this 938
section, and the superintendent of the bureau shall proceed as if 939
the request has been received from a school district board of 940
education under division (F)(2) of this section.941

       (4) When the superintendent of the bureau receives a request 942
for information under section 3319.291 of the Revised Code, the 943
superintendent shall proceed as if the request has been received 944
from a school district board of education under division (F)(2) of 945
this section.946

       (5) When a recipient of a classroom reading improvement grant 947
paid under section 3301.86 of the Revised Code requests, with 948
respect to any individual who applies to participate in providing 949
any program or service funded in whole or in part by the grant, 950
the information that a school district board of education is 951
authorized to request under division (F)(2)(a) of this section, 952
the superintendent of the bureau shall proceed as if the request 953
has been received from a school district board of education under 954
division (F)(2)(a) of this section.955

       (G) In addition to or in conjunction with any request that is 956
required to be made under section 3701.881, 3712.09, 3721.121, or 957
3722.151 of the Revised Code with respect to an individual who has 958
applied for employment in a position that involves providing 959
direct care to an older adult, the chief administrator of a home 960
health agency, hospice care program, home licensed under Chapter 961
3721. of the Revised Code, adult day-care program operated 962
pursuant to rules adopted under section 3721.04 of the Revised 963
Code, or adult care facility may request that the superintendent 964
of the bureau investigate and determine, with respect to any 965
individual who has applied after January 27, 1997, for employment 966
in a position that does not involve providing direct care to an 967
older adult, whether the bureau has any information gathered under 968
division (A) of this section that pertains to that individual.969

       In addition to or in conjunction with any request that is 970
required to be made under section 173.27 of the Revised Code with 971
respect to an individual who has applied for employment in a 972
position that involves providing ombudsperson services to 973
residents of long-term care facilities or recipients of 974
community-based long-term care services, the state long-term care 975
ombudsperson, ombudsperson's designee, or director of health may 976
request that the superintendent investigate and determine, with 977
respect to any individual who has applied for employment in a 978
position that does not involve providing such ombudsperson 979
services, whether the bureau has any information gathered under 980
division (A) of this section that pertains to that applicant.981

       In addition to or in conjunction with any request that is 982
required to be made under section 173.394 of the Revised Code with 983
respect to an individual who has applied for employment in a 984
position that involves providing direct care to an individual, the 985
chief administrator of a community-based long-term care agency may 986
request that the superintendent investigate and determine, with 987
respect to any individual who has applied for employment in a 988
position that does not involve providing direct care, whether the 989
bureau has any information gathered under division (A) of this 990
section that pertains to that applicant.991

       On receipt of a request under this division, the992
superintendent shall determine whether that information exists993
and, on request of the individual requesting information, shall 994
also request from the federal bureau of investigation any criminal 995
records it has pertaining to the applicant. The superintendent or 996
the superintendent's designee also may request criminal history 997
records from other states or the federal government pursuant to 998
the national crime prevention and privacy compact set forth in 999
section 109.571 of the Revised Code. Within thirty days of the 1000
date a request is received, the superintendent shall send to the 1001
requester a report of any information determined to exist, 1002
including information contained in records that have been sealed 1003
under section 2953.32 of the Revised Code, and, within thirty days 1004
of its receipt, shall send the requester a report of any1005
information received from the federal bureau of investigation,1006
other than information the dissemination of which is prohibited by 1007
federal law.1008

       (H) Information obtained by a government entity or person 1009
under this section is confidential and shall not be released or 1010
disseminated.1011

       (I) The superintendent may charge a reasonable fee for1012
providing information or criminal records under division (F)(2) or 1013
(G) of this section.1014

       (J) As used in this section, "registered private provider" 1015
means a nonpublic school or entity registered with the 1016
superintendent of public instruction under section 3310.41 of the 1017
Revised Code to participate in the autism scholarship program or 1018
section 3310.58 of the Revised Code to participate in the special 1019
education scholarship pilot program.1020

       Sec. 109.572. (A)(1) Upon receipt of a request pursuant to 1021
section 121.08, 3301.32, 3301.541, 3319.39, 5104.012, or 5104.013 1022
of the Revised Code, a completed form prescribed pursuant to 1023
division (C)(1) of this section, and a set of fingerprint 1024
impressions obtained in the manner described in division (C)(2) of 1025
this section, the superintendent of the bureau of criminal 1026
identification and investigation shall conduct a criminal records 1027
check in the manner described in division (B) of this section to 1028
determine whether any information exists that indicates that the 1029
person who is the subject of the request previously has been 1030
convicted of or pleaded guilty to any of the following:1031

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1032
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1033
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1034
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1035
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 1036
2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 2919.24, 2919.25, 1037
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.04, 2925.05, 1038
2925.06, or 3716.11 of the Revised Code, felonious sexual 1039
penetration in violation of former section 2907.12 of the Revised 1040
Code, a violation of section 2905.04 of the Revised Code as it 1041
existed prior to July 1, 1996, a violation of section 2919.23 of 1042
the Revised Code that would have been a violation of section 1043
2905.04 of the Revised Code as it existed prior to July 1, 1996, 1044
had the violation been committed prior to that date, or a 1045
violation of section 2925.11 of the Revised Code that is not a 1046
minor drug possession offense;1047

       (b) A violation of an existing or former law of this state, 1048
any other state, or the United States that is substantially 1049
equivalent to any of the offenses listed in division (A)(1)(a) of 1050
this section.1051

       (2) On receipt of a request pursuant to section 5123.081 of 1052
the Revised Code with respect to an applicant for employment in 1053
any position with the department of mental retardation and 1054
developmental disabilities, pursuant to section 5126.28 of the 1055
Revised Code with respect to an applicant for employment in any 1056
position with a county board of mental retardation and 1057
developmental disabilities, or pursuant to section 5126.281 of the 1058
Revised Code with respect to an applicant for employment in a 1059
direct services position with an entity contracting with a county 1060
board for employment, a completed form prescribed pursuant to 1061
division (C)(1) of this section, and a set of fingerprint 1062
impressions obtained in the manner described in division (C)(2) of 1063
this section, the superintendent of the bureau of criminal 1064
identification and investigation shall conduct a criminal records 1065
check. The superintendent shall conduct the criminal records check 1066
in the manner described in division (B) of this section to 1067
determine whether any information exists that indicates that the 1068
person who is the subject of the request has been convicted of or 1069
pleaded guilty to any of the following:1070

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1071
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1072
2903.341, 2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03, 1073
2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 1074
2907.21, 2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 1075
2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 1076
2919.22, 2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 1077
2925.03, or 3716.11 of the Revised Code;1078

       (b) An existing or former municipal ordinance or law of this 1079
state, any other state, or the United States that is substantially 1080
equivalent to any of the offenses listed in division (A)(2)(a) of 1081
this section.1082

       (3) On receipt of a request pursuant to section 173.27, 1083
173.394, 3712.09, 3721.121, or 3722.151 of the Revised Code, a 1084
completed form prescribed pursuant to division (C)(1) of this 1085
section, and a set of fingerprint impressions obtained in the 1086
manner described in division (C)(2) of this section, the 1087
superintendent of the bureau of criminal identification and 1088
investigation shall conduct a criminal records check with respect 1089
to any person who has applied for employment in a position for 1090
which a criminal records check is required by those sections. The 1091
superintendent shall conduct the criminal records check in the 1092
manner described in division (B) of this section to determine 1093
whether any information exists that indicates that the person who 1094
is the subject of the request previously has been convicted of or 1095
pleaded guilty to any of the following:1096

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1097
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1098
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05, 1099
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31, 1100
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 1101
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 1102
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36, 1103
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13, 1104
2925.22, 2925.23, or 3716.11 of the Revised Code;1105

       (b) An existing or former law of this state, any other state, 1106
or the United States that is substantially equivalent to any of 1107
the offenses listed in division (A)(3)(a) of this section.1108

       (4) On receipt of a request pursuant to section 3701.881 of 1109
the Revised Code with respect to an applicant for employment with 1110
a home health agency as a person responsible for the care, 1111
custody, or control of a child, a completed form prescribed 1112
pursuant to division (C)(1) of this section, and a set of 1113
fingerprint impressions obtained in the manner described in 1114
division (C)(2) of this section, the superintendent of the bureau 1115
of criminal identification and investigation shall conduct a 1116
criminal records check. The superintendent shall conduct the 1117
criminal records check in the manner described in division (B) of 1118
this section to determine whether any information exists that 1119
indicates that the person who is the subject of the request 1120
previously has been convicted of or pleaded guilty to any of the 1121
following:1122

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1123
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1124
2905.01, 2905.02, 2905.04, 2905.05, 2907.02, 2907.03, 2907.04, 1125
2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.21, 1126
2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 1127
2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1128
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1129
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code or a 1130
violation of section 2925.11 of the Revised Code that is not a 1131
minor drug possession offense;1132

       (b) An existing or former law of this state, any other state, 1133
or the United States that is substantially equivalent to any of 1134
the offenses listed in division (A)(4)(a) of this section.1135

       (5) On receipt of a request pursuant to section 5111.95 or 1136
5111.965111.032, 5111.033, or 5111.034 of the Revised Code with 1137
respect to an applicant for employment with a waiver agency 1138
participating in a department of job and family services 1139
administered home and community-based waiver program or an 1140
independent provider participating in a department administered 1141
home and community-based waiver program in a position that 1142
involves providing home and community-based waiver services to 1143
consumers with disabilities, a completed form prescribed pursuant 1144
to division (C)(1) of this section, and a set of fingerprint 1145
impressions obtained in the manner described in division (C)(2) of 1146
this section, the superintendent of the bureau of criminal 1147
identification and investigation shall conduct a criminal records 1148
check. The superintendent shall conduct the criminal records check 1149
in the manner described in division (B) of this section to 1150
determine whether any information exists that indicates that the 1151
person who is the subject of the request previously has been 1152
convicted of or, has pleaded guilty to, or has been found eligible 1153
for intervention in lieu of conviction for any of the following:1154

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1155
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 1156
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 1157
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 1158
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 1159
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 1160
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 1161
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,1162
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,1163
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 1164
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 1165
3716.11 of the Revised Code, felonious sexual penetration in 1166
violation of former section 2907.12 of the Revised Code, a 1167
violation of section 2905.04 of the Revised Code as it existed 1168
prior to July 1, 1996, a violation of section 2919.23 of the 1169
Revised Code that would have been a violation of section 2905.04 1170
of the Revised Code as it existed prior to July 1, 1996, had the 1171
violation been committed prior to that date;1172

       (b) An existing or former law of this state, any other state, 1173
or the United States that is substantially equivalent to any of 1174
the offenses listed in division (A)(5)(a) of this section.1175

       (6) On receipt of a request pursuant to section 3701.881 of 1176
the Revised Code with respect to an applicant for employment with 1177
a home health agency in a position that involves providing direct 1178
care to an older adult, a completed form prescribed pursuant to 1179
division (C)(1) of this section, and a set of fingerprint 1180
impressions obtained in the manner described in division (C)(2) of 1181
this section, the superintendent of the bureau of criminal 1182
identification and investigation shall conduct a criminal records 1183
check. The superintendent shall conduct the criminal records check 1184
in the manner described in division (B) of this section to 1185
determine whether any information exists that indicates that the 1186
person who is the subject of the request previously has been 1187
convicted of or pleaded guilty to any of the following:1188

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1189
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1190
2905.01, 2905.02, 2905.11, 2905.12, 2907.02, 2907.03, 2907.05, 1191
2907.06, 2907.07, 2907.08, 2907.09, 2907.12, 2907.25, 2907.31, 1192
2907.32, 2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 1193
2911.12, 2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 1194
2913.31, 2913.40, 2913.43, 2913.47, 2913.51, 2919.25, 2921.36, 1195
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.11, 2925.13, 1196
2925.22, 2925.23, or 3716.11 of the Revised Code;1197

       (b) An existing or former law of this state, any other state, 1198
or the United States that is substantially equivalent to any of 1199
the offenses listed in division (A)(6)(a) of this section.1200

       (7) When conducting a criminal records check upon a request 1201
pursuant to section 3319.39 of the Revised Code for an applicant 1202
who is a teacher, in addition to the determination made under 1203
division (A)(1) of this section, the superintendent shall 1204
determine whether any information exists that indicates that the 1205
person who is the subject of the request previously has been 1206
convicted of or pleaded guilty to any offense specified in section 1207
3319.31 of the Revised Code.1208

       (8) On a request pursuant to section 2151.86 of the Revised 1209
Code, a completed form prescribed pursuant to division (C)(1) of 1210
this section, and a set of fingerprint impressions obtained in the 1211
manner described in division (C)(2) of this section, the 1212
superintendent of the bureau of criminal identification and 1213
investigation shall conduct a criminal records check in the manner 1214
described in division (B) of this section to determine whether any 1215
information exists that indicates that the person who is the 1216
subject of the request previously has been convicted of or pleaded 1217
guilty to any of the following:1218

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1219
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1220
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1221
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1222
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02, 1223
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1224
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1225
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code, a 1226
violation of section 2905.04 of the Revised Code as it existed 1227
prior to July 1, 1996, a violation of section 2919.23 of the 1228
Revised Code that would have been a violation of section 2905.04 1229
of the Revised Code as it existed prior to July 1, 1996, had the 1230
violation been committed prior to that date, a violation of 1231
section 2925.11 of the Revised Code that is not a minor drug 1232
possession offense, or felonious sexual penetration in violation 1233
of former section 2907.12 of the Revised Code;1234

       (b) A violation of an existing or former law of this state, 1235
any other state, or the United States that is substantially 1236
equivalent to any of the offenses listed in division (A)(8)(a) of 1237
this section.1238

       (9) When conducting a criminal records check on a request 1239
pursuant to section 5104.013 of the Revised Code for a person who 1240
is an owner, licensee, or administrator of a child day-care center 1241
or type A family day-care home, an authorized provider of a 1242
certified type B family day-care home, or an adult residing in a 1243
type A or certified type B home, or when conducting a criminal 1244
records check or a request pursuant to section 5104.012 of the 1245
Revised Code for a person who is an applicant for employment in a 1246
center, type A home, or certified type B home, the superintendent, 1247
in addition to the determination made under division (A)(1) of 1248
this section, shall determine whether any information exists that 1249
indicates that the person has been convicted of or pleaded guilty 1250
to any of the following:1251

       (a) A violation of section 2913.02, 2913.03, 2913.04, 1252
2913.041, 2913.05, 2913.06, 2913.11, 2913.21, 2913.31, 2913.32, 1253
2913.33, 2913.34, 2913.40, 2913.41, 2913.42, 2913.43, 2913.44, 1254
2913.441, 2913.45, 2913.46, 2913.47, 2913.48, 2913.49, 2921.11, 1255
2921.13, or 2923.01 of the Revised Code, a violation of section 1256
2923.02 or 2923.03 of the Revised Code that relates to a crime 1257
specified in this division or division (A)(1)(a) of this section, 1258
or a second violation of section 4511.19 of the Revised Code 1259
within five years of the date of application for licensure or 1260
certification.1261

       (b) A violation of an existing or former law of this state, 1262
any other state, or the United States that is substantially 1263
equivalent to any of the offenses or violations described in 1264
division (A)(9)(a) of this section.1265

       (10) Upon receipt of a request pursuant to section 5153.111 1266
of the Revised Code, a completed form prescribed pursuant to 1267
division (C)(1) of this section, and a set of fingerprint 1268
impressions obtained in the manner described in division (C)(2) of 1269
this section, the superintendent of the bureau of criminal 1270
identification and investigation shall conduct a criminal records 1271
check in the manner described in division (B) of this section to 1272
determine whether any information exists that indicates that the 1273
person who is the subject of the request previously has been 1274
convicted of or pleaded guilty to any of the following:1275

       (a) A violation of section 2903.01, 2903.02, 2903.03, 1276
2903.04, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 2903.34, 1277
2905.01, 2905.02, 2905.05, 2907.02, 2907.03, 2907.04, 2907.05, 1278
2907.06, 2907.07, 2907.08, 2907.09, 2907.21, 2907.22, 2907.23, 1279
2907.25, 2907.31, 2907.32, 2907.321, 2907.322, 2907.323, 2909.02, 1280
2909.03, 2911.01, 2911.02, 2911.11, 2911.12, 2919.12, 2919.22, 1281
2919.24, 2919.25, 2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 1282
2925.04, 2925.05, 2925.06, or 3716.11 of the Revised Code, 1283
felonious sexual penetration in violation of former section 1284
2907.12 of the Revised Code, a violation of section 2905.04 of the 1285
Revised Code as it existed prior to July 1, 1996, a violation of 1286
section 2919.23 of the Revised Code that would have been a 1287
violation of section 2905.04 of the Revised Code as it existed 1288
prior to July 1, 1996, had the violation been committed prior to 1289
that date, or a violation of section 2925.11 of the Revised Code 1290
that is not a minor drug possession offense;1291

       (b) A violation of an existing or former law of this state, 1292
any other state, or the United States that is substantially 1293
equivalent to any of the offenses listed in division (A)(10)(a) of 1294
this section.1295

       (11) On receipt of a request for a criminal records check 1296
from an individual pursuant to section 4749.03 or 4749.06 of the 1297
Revised Code, accompanied by a completed copy of the form 1298
prescribed in division (C)(1) of this section and a set of 1299
fingerprint impressions obtained in a manner described in division 1300
(C)(2) of this section, the superintendent of the bureau of 1301
criminal identification and investigation shall conduct a criminal 1302
records check in the manner described in division (B) of this 1303
section to determine whether any information exists indicating 1304
that the person who is the subject of the request has been 1305
convicted of or pleaded guilty to a felony in this state or in any 1306
other state. If the individual indicates that a firearm will be 1307
carried in the course of business, the superintendent shall 1308
require information from the federal bureau of investigation as 1309
described in division (B)(2) of this section. The superintendent 1310
shall report the findings of the criminal records check and any 1311
information the federal bureau of investigation provides to the 1312
director of public safety.1313

       (12) On receipt of a request pursuant to section 1322.03, 1314
1322.031, or 4763.05 of the Revised Code, a completed form 1315
prescribed pursuant to division (C)(1) of this section, and a set 1316
of fingerprint impressions obtained in the manner described in 1317
division (C)(2) of this section, the superintendent of the bureau 1318
of criminal identification and investigation shall conduct a 1319
criminal records check with respect to any person who has applied 1320
for a license, permit, or certification from the department of 1321
commerce or a division in the department. The superintendent shall 1322
conduct the criminal records check in the manner described in 1323
division (B) of this section to determine whether any information 1324
exists that indicates that the person who is the subject of the 1325
request previously has been convicted of or pleaded guilty to any 1326
of the following: a violation of section 2913.02, 2913.11, 1327
2913.31, 2913.51, or 2925.03 of the Revised Code; any other 1328
criminal offense involving theft, receiving stolen property, 1329
embezzlement, forgery, fraud, passing bad checks, money 1330
laundering, or drug trafficking, or any criminal offense involving 1331
money or securities, as set forth in Chapters 2909., 2911., 2913., 1332
2915., 2921., 2923., and 2925. of the Revised Code; or any 1333
existing or former law of this state, any other state, or the 1334
United States that is substantially equivalent to those offenses.1335

       (13) Not later than thirty days after the date the 1336
superintendent receives the request, completed form, and 1337
fingerprint impressions, the superintendent shall send the person, 1338
board, or entity that made the request any information, other than 1339
information the dissemination of which is prohibited by federal 1340
law, the superintendent determines exists with respect to the 1341
person who is the subject of the request that indicates that the 1342
person previously has been convicted of or pleaded guilty to any 1343
offense listed or described in division (A)(1), (2), (3), (4), 1344
(5), (6), (7), (8), (9), (10), (11), or (12) of this section, as 1345
appropriate. The superintendent shall send the person, board, or 1346
entity that made the request a copy of the list of offenses 1347
specified in division (A)(1), (2), (3), (4), (5), (6), (7), (8), 1348
(9), (10), (11), or (12) of this section, as appropriate. If the 1349
request was made under section 3701.881 of the Revised Code with 1350
regard to an applicant who may be both responsible for the care, 1351
custody, or control of a child and involved in providing direct 1352
care to an older adult, the superintendent shall provide a list of 1353
the offenses specified in divisions (A)(4) and (6) of this 1354
section.1355

       (B) The superintendent shall conduct any criminal records 1356
check requested under section 121.08, 173.27, 173.394, 1322.03, 1357
1322.031, 2151.86, 3301.32, 3301.541, 3319.39, 3701.881, 3712.09, 1358
3721.121, 3722.151, 4749.03, 4749.06, 4763.05, 5104.012, 5104.013, 1359
5111.95, 5111.965111.032, 5111.033, 5111.034, 5123.081, 5126.28, 1360
5126.281, or 5153.111 of the Revised Code as follows:1361

       (1) The superintendent shall review or cause to be reviewed 1362
any relevant information gathered and compiled by the bureau under 1363
division (A) of section 109.57 of the Revised Code that relates to 1364
the person who is the subject of the request, including any 1365
relevant information contained in records that have been sealed 1366
under section 2953.32 of the Revised Code;1367

       (2) If the request received by the superintendent asks for 1368
information from the federal bureau of investigation, the 1369
superintendent shall request from the federal bureau of 1370
investigation any information it has with respect to the person 1371
who is the subject of the request and shall review or cause to be 1372
reviewed any information the superintendent receives from that 1373
bureau.1374

        (3) The superintendent or the superintendent's designee may 1375
request criminal history records from other states or the federal 1376
government pursuant to the national crime prevention and privacy 1377
compact set forth in section 109.571 of the Revised Code.1378

       (C)(1) The superintendent shall prescribe a form to obtain 1379
the information necessary to conduct a criminal records check from 1380
any person for whom a criminal records check is required by 1381
section 121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86, 1382
3301.32, 3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 1383
4749.03, 4749.06, 4763.05, 5104.012, 5104.013, 5111.95, 5111.961384
5111.032, 5111.033, 5111.034, 5123.081, 5126.28, 5126.281, or 1385
5153.111 of the Revised Code. The form that the superintendent 1386
prescribes pursuant to this division may be in a tangible format, 1387
in an electronic format, or in both tangible and electronic 1388
formats.1389

       (2) The superintendent shall prescribe standard impression 1390
sheets to obtain the fingerprint impressions of any person for 1391
whom a criminal records check is required by section 121.08, 1392
173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541, 1393
3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 4749.06, 1394
4763.05, 5104.012, 5104.013, 5111.95, 5111.965111.032, 5111.033, 1395
5111.034, 5123.081, 5126.28, 5126.281, or 5153.111 of the Revised 1396
Code. Any person for whom a records check is required by any of 1397
those sections shall obtain the fingerprint impressions at a 1398
county sheriff's office, municipal police department, or any other 1399
entity with the ability to make fingerprint impressions on the 1400
standard impression sheets prescribed by the superintendent. The 1401
office, department, or entity may charge the person a reasonable 1402
fee for making the impressions. The standard impression sheets the 1403
superintendent prescribes pursuant to this division may be in a 1404
tangible format, in an electronic format, or in both tangible and 1405
electronic formats.1406

       (3) Subject to division (D) of this section, the 1407
superintendent shall prescribe and charge a reasonable fee for 1408
providing a criminal records check requested under section 121.08, 1409
173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 3301.541, 1410
3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 4749.06, 1411
4763.05, 5104.012, 5104.013, 5111.95, 5111.965111.032, 5111.033, 1412
5111.034, 5123.081, 5126.28, 5126.281, or 5153.111 of the Revised 1413
Code. The person making a criminal records request under section 1414
121.08, 173.27, 173.394, 1322.03, 1322.031, 2151.86, 3301.32, 1415
3301.541, 3319.39, 3701.881, 3712.09, 3721.121, 3722.151, 4749.03, 1416
4749.06, 4763.05, 5104.012, 5104.013, 5111.95, 5111.96, 5123.081, 1417
5126.28, 5126.281, or 5153.111 of the Revised Code shall pay the 1418
fee prescribed pursuant to this division. A person making a 1419
request under section 3701.881 of the Revised Code for a criminal 1420
records check for an applicant who may be both responsible for the 1421
care, custody, or control of a child and involved in providing 1422
direct care to an older adult shall pay one fee for the request. 1423
In the case of a request under section 5111.033 of the Revised 1424
Code, the fee shall be paid in the manner specified in that 1425
section.1426

       (4) The superintendent of the bureau of criminal 1427
identification and investigation may prescribe methods of 1428
forwarding fingerprint impressions and information necessary to 1429
conduct a criminal records check, which methods shall include, but 1430
not be limited to, an electronic method.1431

       (D) A determination whether any information exists that 1432
indicates that a person previously has been convicted of or 1433
pleaded guilty to any offense listed or described in division 1434
(A)(1)(a) or (b), (A)(2)(a) or (b), (A)(3)(a) or (b), (A)(4)(a) or 1435
(b), (A)(5)(a) or (b), (A)(6)(a) or (b), (A)(7), (A)(8)(a) or (b), 1436
(A)(9)(a) or (b), (A)(10)(a) or (b), or (A)(12) of this section 1437
that is made by the superintendent with respect to information 1438
considered in a criminal records check in accordance with this 1439
section is valid for the person who is the subject of the criminal 1440
records check for a period of one year from the date upon which 1441
the superintendent makes the determination. During the period in 1442
which the determination in regard to a person is valid, if another 1443
request under this section is made for a criminal records check 1444
for that person, the superintendent shall provide the information 1445
that is the basis for the superintendent's initial determination 1446
at a lower fee than the fee prescribed for the initial criminal 1447
records check.1448

       (E) When the superintendent receives a request for 1449
information from a registered private provider, the superintendent 1450
shall proceed as if the request has been received from a school 1451
district board of education under section 3319.39 of the Revised 1452
Code. The superintendent shall apply division (A)(7) of this 1453
section to any such request for an applicant who is a teacher.1454

       (F) As used in this section:1455

       (1) "Criminal records check" means any criminal records check 1456
conducted by the superintendent of the bureau of criminal 1457
identification and investigation in accordance with division (B) 1458
of this section.1459

       (2) "Home and community-based waiver services" and "waiver 1460
agency" have the same meanings as in section 5111.95 of the 1461
Revised Code.1462

       (3) "Independent provider" has the same meaning as in section 1463
5111.96 of the Revised Code.1464

       (4) "Minor drug possession offense" has the same meaning as 1465
in section 2925.01 of the Revised Code.1466

       (5)(3) "Older adult" means a person age sixty or older.1467

       (4) "Registered private provider" means a nonpublic school or 1468
entity registered with the superintendent of public instruction 1469
under section 3310.41 of the Revised Code to participate in the 1470
autism scholarship program or section 3310.58 of the Revised Code 1471
to participate in the special education scholarship pilot program.1472

       Sec. 109.93.  The attorney general education fund is hereby 1473
created in the custody of the treasurer of state treasury. The 1474
fund shall consist of gifts and grants received by the attorney 1475
general for the purposes of the fund. The fund shall be 1476
administered by the attorney general and shall be used to support 1477
various educational programs. These educational programs may 1478
include programs for consumer protection, victims of crime, 1479
environmental protection, drug abuse, child abuse, peace officer 1480
training, crime prevention, and law. The fund may also be used to 1481
pay costs associated with the solicitation of gifts and grants for 1482
the purposes of the fund, and the costs of administering the fund. 1483
The fund shall not be used to replace money spent by local 1484
programs for similar purposes.1485

       Sec. 111.18.  (A) The secretary of state shall keep a record1486
of all fees collected by the secretary of state and, subject to1487
division (B) of section 1309.528 of the Revised Code and except as 1488
otherwise provided in the Revised Code, shall pay them into the1489
state treasury to the credit of the corporate and uniform1490
commercial code filing fund created by section 1309.528 of the1491
Revised Code.1492

       (B) The secretary of state may implement alternative payment1493
programs that permit payment of any fee charged by the secretary1494
of state by means other than cash, check, money order, or credit1495
card; an alternative payment program may include, but is not1496
limited to, one that permits a fee to be paid by electronic means1497
of transmission. Fees paid under an alternative payment program1498
shall be deposited to the credit of the secretary of state1499
alternative payment program fund, which is hereby created. The1500
secretary of state alternative payment program fund shall be in1501
the custody of the treasurer of state but shall not be part of the1502
state treasury. Any investment income of the secretary of state1503
alternative payment program fund shall be credited to that fund1504
and used to operate the alternative payment program. Within two1505
working days following the deposit of funds to the credit of the1506
secretary of state alternative payment program fund, the secretary1507
of state shall pay those funds into the state treasury to the1508
credit of the corporate and uniform commercial code filing fund,1509
subject to division (B) of section 1309.401 of the Revised Code1510
and except as otherwise provided in the Revised Code.1511

       The secretary of state shall adopt rules necessary to carry1512
out the purposes of this division.1513

       Sec. 118.01.  As used in this chapter:1514

       (A) "Advance tax payment notes" means the notes authorized by 1515
section 118.24 of the Revised Code.1516

       (B) "Appropriation measure" means any appropriation measure, 1517
amendment of an appropriation measure, or supplement to an 1518
appropriation measure of a municipal corporation, county, or 1519
township referred to in sections 5705.38 and 5705.40 of the 1520
Revised Code and any other action of a municipal corporation, 1521
county, or township authorizing expenditure of money not1522
previously included in any appropriation measure.1523

       (C) "Bond anticipation notes" means notes issued in1524
anticipation of the issuance of bonds.1525

       (D) "Certificate of estimated resources" means the official 1526
certificate of estimated resources of the county budget commission 1527
and amendments of the certificate certified to the municipal 1528
corporation, county, or township as provided for in Chapter 5705. 1529
of the Revised Code.1530

       (E) "Commission" means a financial planning and supervision 1531
commission created by section 118.05 of the Revised Code with 1532
respect to a municipal corporation, county, or township.1533

       (F) "Construction funds" means proceeds from the sale of debt 1534
obligations restricted by law or pursuant to the proceedings for 1535
the issuance of such debt obligations to use for permanent1536
improvements as defined in division (E) of section 5705.01 of the1537
Revised Code, including acquisition, construction, or extension of 1538
public utilities, and moneys from any other sources restricted to 1539
such purpose.1540

       (G) "County auditor" means the county auditor with whom tax1541
budgets of the municipal corporation, county, or township are to 1542
be filed in accordance with section 5705.30 of the Revised Code.1543

       (H) "County budget commission" means the county budget1544
commission to which the tax budget of the municipal corporation, 1545
county, or township is to be submitted in accordance with section 1546
5705.31 of the Revised Code.1547

       (I) "Current revenue notes" means debt obligations described 1548
in section 133.10 or Chapter 5705. of the Revised Code or any 1549
other debt obligations issued to obtain funds for current1550
operating expenses.1551

       (J) "Debt limits" means the limitations on net indebtedness 1552
provided in sections 133.05, 133.07, and 133.09 of the Revised 1553
Code, and also includes the limitation, known as the "indirect 1554
debt limit," upon the issuance of unvoted bonds, notes, or 1555
certificates of indebtedness resulting from the ten-mill 1556
limitation provided for in section 5705.02 of the Revised Code.1557

       (K) "Debt obligations" means bonds, notes, certificates of1558
indebtedness, bond anticipation notes, current revenue notes,1559
local government fund notes, local communities fund notes, or 1560
other obligations issued or incurred in borrowing money, or to 1561
renew, refund, fund, or refinance, or issued in exchange for, such 1562
obligations, and any interest coupons pertaining thereto other 1563
than bonds or other obligations issued under authority of Section 1564
13 of Article VIII, Ohio Constitution.1565

       (L) "Default" means failure to pay the principal of or the1566
interest on a debt obligation, or failure to make other payment to 1567
be made to the holder or owner of a debt obligation, in the full 1568
amount and at the time provided for in the contractual commitment 1569
with respect thereto, unless the time for such payment has been 1570
extended by the owner or holder of the debt obligation without 1571
penalty or premium and without the effect of subjecting the 1572
municipal corporation, county, or township to the initiation of 1573
remedies pertaining to such debt obligation or other debt 1574
obligations.1575

       (M) "Deficit fund" means the general fund or any special fund 1576
that, as at the time indicated, has a deficit balance or a balance 1577
that is less than the amount required to be in such fund pursuant 1578
to law or pursuant to contractual requirements, demonstrating that 1579
over a period of time expenditures charged or chargeable to the 1580
fund have exceeded moneys credited to the fund, or that moneys 1581
credited to the fund have not been in the amounts required by law 1582
or contractual requirements.1583

       (N) "Effective financial accounting and reporting system"1584
means an accounting and reporting system fully in compliance with1585
the requirements prescribed by and pursuant to Chapter 117. of the 1586
Revised Code, with such modifications and supplements as are to be 1587
provided pursuant to this chapter in order to meet and deal with 1588
the fiscal emergency, provide to the auditor of state, the1589
commission, the financial supervisor, and the county budget1590
commission the information needed to carry out their functions,1591
and better ensure the implementation of the financial plan.1592

       (O) "Financial plan" means the financial plan approved by the 1593
commission in accordance with section 118.06 of the Revised Code, 1594
as it may from time to time be amended in accordance with this 1595
chapter.1596

       (P) "Financial supervisor" means the auditor of state.1597

       (Q) "Fiscal emergency" means the existence of fiscal1598
emergency conditions determined as provided in section 118.04 of1599
the Revised Code.1600

       (R) "Fiscal emergency conditions" means any of the events or 1601
occurrences described in section 118.03 of the Revised Code.1602

       (S) "Fiscal emergency period" means the period of time1603
commencing on the date when the determination of a fiscal1604
emergency is made by the auditor of state pursuant to section1605
118.04 of the Revised Code and ending when the determination of1606
termination is made and certified pursuant to section 118.27 of1607
the Revised Code.1608

       (T) "Fiscal watch" means the existence of fiscal watch 1609
conditions as determined in accordance with section 118.022 of the 1610
Revised Code.1611

       (U) "Fiscal officer" means the fiscal officer of the1612
municipal corporation, county, or township as defined in division 1613
(D) of section 5705.01 of the Revised Code.1614

       (V) "Fringe benefits" means expenditures for goods and1615
services furnished to municipal, county, or township officers or1616
employees by the municipal corporation, county, or township,1617
including, but not limited to, such benefits as food, temporary 1618
housing, and clothing, and the provision of pension, retirement, 1619
disability, hospitalization, health care, insurance, or other 1620
benefits to employees requiring the advance payment of money other 1621
than directly to employees or other beneficiaries, or the deposit 1622
or reservation of money for such purpose.1623

       (W) "General fund" means the fund referred to in division (A) 1624
of section 5705.09 of the Revised Code.1625

       (X) "General fund budget" means aggregate revenues available 1626
in the general fund during the applicable fiscal year as shown by 1627
the certificate of estimated resources.1628

       (Y) "Mayor" means the officer of the municipal corporation 1629
designated as such by law or the chief executive officer under the 1630
charter of the municipal corporation.1631

       (Z) "Payroll" means compensation due and payable to employees 1632
of the municipal corporation, county, or township, other than 1633
fringe benefits.1634

       (AA) "Revenue estimates" means the estimates of revenue1635
receipts to the credit of the general fund and special funds as1636
estimated and supplemented, modified, or amended by the municipal 1637
corporation, county, or township, or the county budget commission.1638

       (BB) "Special funds" means any of the funds, other than the 1639
general fund, referred to in sections 5705.09 and 5705.12 of the 1640
Revised Code, and includes any fund created from the issuance of 1641
debt obligations pursuant to Section 3 or 12 of Article XVIII,1642
Ohio Constitution, and any fund created in connection with the1643
issuance of debt obligations to provide moneys for the payment of1644
principal or interest, reserves therefor, or reserves or funds for 1645
repair, maintenance, or improvements.1646

       (CC) "Tax budget" means the tax budget provided for in1647
section 5705.28 of the Revised Code.1648

       Sec. 118.08.  (A) The members of the financial planning and1649
supervision commission shall serve without compensation, but shall1650
be paid by the commission their necessary and actual expenses1651
incurred while engaged in the business of the commission.1652

       (B) All expenses incurred for services rendered by the1653
financial supervisor for a period of twenty-four months shall be1654
paid by the commission pursuant to an appropriation made by the1655
general assembly for this purpose. Expenses incurred for services1656
rendered by the financial supervisor beyond this period shall be1657
borne by the municipal corporation, county, or township unless the1658
director of budget and management waives the costs and allows1659
payment in accordance with the following:1660

       (1) If the continued performance of the financial supervisor1661
is required for a period of twenty-five to thirty months, the1662
municipal corporation, county, or township is responsible for1663
twenty per cent of the compensation due.1664

       (2) If the continued performance of the financial supervisor1665
is required for a period of thirty-one to thirty-six months, the1666
municipal corporation, county, or township is responsible for1667
fifty per cent of the compensation due.1668

       (3) If the continued performance of the financial supervisor1669
is required for a period of thirty-seven months or more, the1670
municipal corporation, county, or township is responsible for one1671
hundred per cent of the compensation due except as otherwise1672
provided in division (B)(4) of this section.1673

       (4) If the continued performance of the financial supervisor1674
has been required longer than eight fiscal years for any municipal1675
corporation, county, or township declared to be in a fiscal1676
emergency prior to fiscal year 1996, that municipal corporation,1677
county, or township is responsible for fifty per cent of the1678
compensation due in its ninth fiscal year while in fiscal1679
emergency and one hundred per cent of the compensation due in its1680
tenth fiscal year and every fiscal year thereafter while in fiscal 1681
emergency.1682

       (C) If the municipal corporation, county, or township fails1683
to make any payment to the financial supervisor as required by1684
this chapter, the financial supervisor may certify to the county1685
auditor the amount due, and that amount shall be withheld from the1686
municipal corporation, county, or township from any fund or funds1687
in the custody of the county auditor for distribution to the1688
municipal corporation, county, or township, except for those1689
reserved for payment of local government fund or local communities1690
fund notes. Upon receiving the certification from the financial 1691
supervisor, the county auditor shall draw a voucher for the amount 1692
against those fund or funds in favor of the financial supervisor.1693

       Sec. 118.17.  (A) During a fiscal emergency period and with 1694
the approval of the financial planning and supervision commission, 1695
a municipal corporation, county, or township may issue local 1696
governmentcommunities fund notes, in anticipation of amounts to 1697
be allocated to it pursuant to division (B) of section 5747.50 of 1698
the Revised Code or to be apportioned to it under section 5747.51 1699
or 5747.53 of the Revised Code in a future year or years, for a 1700
period of no more than eight calendar years. The principal amount 1701
of the notes and interest on the notes due and payable in any year 1702
shall not exceed fifty per cent of the total amount of local 1703
government fund or local communities fund moneys so allocated or 1704
apportioned to the municipal corporation, county, or township for1705
the year preceding the year in which the notes are issued. The1706
notes may mature in semiannual or annual installments in such1707
amounts as may be fixed by the commission, and need not mature in1708
substantially equal semiannual or annual installments. The notes1709
of a municipal corporation may be authorized and issued, subject 1710
to the approval of the commission, in the manner provided in 1711
sections 717.15 and 717.16 of the Revised Code, except that, 1712
notwithstanding division (A)(2) of section 717.16 of the Revised 1713
Code, the rate or rates of interest payable on the notes shall be 1714
the prevailing market rate or rates as determined and approved by 1715
the commission, and except that they shall not be issued in 1716
anticipation of bonds, shall not constitute general obligations of 1717
the municipal corporation, and shall not pledge the full faith and 1718
credit of the municipal corporation.1719

       (B) The principal and interest on the notes provided for in 1720
this section shall be payable, as provided in this section, solely 1721
from the portion of the local governmentcommunities fund that 1722
would otherwise be apportioned to the municipal corporation,1723
county, or township and shall not be payable from or constitute a 1724
pledge of or claim upon, or require the levy, collection, or 1725
application of, any unvoted ad valorem property taxes or other 1726
taxes, or in any manner occupy any portion of the indirect debt 1727
limit.1728

       (C) Local governmentcommunities fund notes may be issued 1729
only to the extent needed to achieve one or more of the following 1730
objectives of the financial plan:1731

       (1) Satisfying any contractual or noncontractual judgments, 1732
past due accounts payable, and all past due and payable payroll 1733
and fringe benefits to be taken into account under section 118.03 1734
of the Revised Code;1735

       (2) Restoring to construction funds or other restricted funds 1736
any money applied from such funds to uses not within the purposes 1737
of such funds and which could not be transferred to such use under 1738
section 5705.14 of the Revised Code;1739

       (3) Eliminating deficit balances in all deficit funds,1740
including funds that may be used to pay operating expenses.1741

       In addition to the objectives set forth in divisions (C)(1)1742
to (3) of this section, local governmentcommunities fund notes 1743
may be issued and the proceeds of those notes may be used for the 1744
purpose of retiring or replacing other moneys used to retire 1745
current revenue notes issued pursuant to section 118.23 of the 1746
Revised Code to the extent that the proceeds of the current 1747
revenue notes have been or are to be used directly or to replace 1748
other moneys used to achieve one or more of the objectives of the 1749
financial plan specified in divisions (C)(1) to (3) of this 1750
section. Upon authorization of the local governmentcommunities1751
fund notes by the legislative authority of the municipal 1752
corporation, county, or township, the proceeds of the local1753
governmentcommunities fund notes and the proceeds of any such 1754
current revenue notes shall be deemed to be appropriated, to the 1755
extent that the proceeds have been or are to be so used, for the1756
purposes for which the revenues anticipated by any such current1757
revenue notes are collected and appropriated within the meaning of 1758
section 133.10 of the Revised Code.1759

       (D) The need for an issue of local governmentcommunities1760
fund notes for such purposes shall be determined by taking into1761
consideration other money and sources of moneys available therefor 1762
under this chapter or other provisions of law, and calculating the 1763
respective amounts needed therefor in accordance with section 1764
118.03 of the Revised Code, including the deductions or offsets 1765
therein provided, for determining that a fiscal emergency 1766
condition exists, and by eliminating any duplication of amounts 1767
thereunder. The respective amounts needed to achieve such 1768
objectives and the resulting aggregate net amount shall be1769
determined initially by a certification of the fiscal officer as1770
and to the extent approved by the financial supervisor. The1771
principal amount of such notes shall not exceed the aggregate net1772
amount needed for such purposes. The aggregate amount of all1773
issues of such notes shall not exceed three times the average of1774
the allocation or apportionment to the municipal corporation, 1775
county, or township of moneys from the local government1776
communities fund in each of the three fiscal years preceding the 1777
fiscal year in which the notes are issued.1778

       (E) The proceeds of the sale of local governmentcommunities1779
fund notes shall be appropriated by the municipal corporation, 1780
county, or township for and shall be applied only to the purposes, 1781
and in the respective amounts for those purposes, set forth in the 1782
certification given pursuant to division (D) of this section, as 1783
the purposes and amounts may be modified in the approval by the 1784
commission provided for in this section. The proceeds shall be 1785
deposited in separate accounts with a fiscal agent designated in 1786
the resolution referred to in division (F) of this section and 1787
released only for such respective purposes in accordance with the 1788
procedures set forth in division (D) of section 118.20 of the 1789
Revised Code. Any amounts not needed for such purposes shall be 1790
deposited with the fiscal agent designated to receive deposits for 1791
payment of the principal of and interest due on the notes.1792

       (F) An application for approval by the financial planning and 1793
supervision commission of an issue of local governmentcommunities1794
fund notes shall be authorized by a preliminary resolution adopted 1795
by the legislative authority. The resolution may authorize the1796
application as a part of the initial submission of the financial1797
plan for approval or as a part of any proposed amendment to an1798
approved financial plan or at any time after the approval of a1799
financial plan, or amendment to a financial plan, that proposes1800
the issue of such notes. The preliminary resolution shall1801
designate a fiscal agent for the deposit of the proceeds of the1802
sale of the notes, and shall contain a covenant of the municipal 1803
corporation, county, or township to comply with this chapter and 1804
the financial plan.1805

       The commission shall review and evaluate the application and 1806
supporting certification and financial supervisor action, and1807
shall thereupon certify its approval or disapproval, or1808
modification and approval, of the application.1809

       The commission shall certify the amounts, maturities,1810
interest rates, and terms of issue of the local government1811
communities fund notes approved by the commission and the purposes 1812
to which the proceeds of the sale of the notes will be applied in 1813
respective amounts.1814

       The commission shall certify a copy of its approval, of the1815
preliminary resolution, and of the related certification and1816
action of the financial supervisor to the fiscal officer, the1817
financial supervisor, the county budget commission, the county1818
auditor, the county treasurer, and the fiscal agent designated to1819
receive and disburse the proceeds of the sale of the notes.1820

       (G) Upon the sale of any local governmentcommunities fund 1821
notes issued under this section, the commission shall determine a1822
schedule for the deposit of local governmentcommunities fund 1823
distributions that are pledged for the payment of the principal of 1824
and interest on the notes with the fiscal agent or trustee 1825
designated in the agreement between the municipal corporation, 1826
county, or township and the holders of the notes to receive and 1827
disburse the distributions. The amounts to be deposited shall be 1828
adequate to provide for the payment of principal and interest on 1829
the notes when due and to pay all other proper charges, costs, or 1830
expenses pertaining thereto.1831

       The amount of the local governmentcommunities fund moneys 1832
apportioned to the municipal corporation, county, or township that 1833
is to be so deposited in each year shall not be included in the 1834
tax budget and appropriation measures of the municipal 1835
corporation, county, or township, or in certificates of estimated 1836
revenues, for that year.1837

       The commission shall certify the schedule to the officers1838
designated in division (F) of this section.1839

       (H) Deposit of amounts with the fiscal agent or trustee1840
pursuant to the schedule determined by the commission shall be1841
made from local governmentcommunities fund distributions to or 1842
apportioned to the municipal corporation, county, or township as 1843
provided in this division. The apportionment of local government1844
communities fund moneys to the municipal corporation, county, or 1845
township for any year from the undivided local government1846
communities fund shall be determined as to the municipal 1847
corporation, county, or township without regard to the amounts to 1848
be deposited with the fiscal agent or trustee in that year in1849
accordance with division (G) of this section. After the amount of 1850
the undivided local governmentcommunities fund apportioned to the1851
municipal corporation, county, or township for a calendar year is 1852
determined, the county auditor and the county treasurer shall 1853
withhold from each monthly amount to be distributed to the 1854
municipal corporation, county, or township from the undivided1855
local governmentcommunities fund, and transmit to the fiscal 1856
agent or trustee for deposit, one-twelfth of the amount scheduled 1857
for deposit in that year pursuant to division (G) of this section.1858

       (I) If the commission approves the application, the municipal 1859
corporation, county, or township may proceed with the issuance of 1860
the notes as approved by the commission.1861

       All notes issued under authority of this section are lawful1862
investments for the entities enumerated in division (A)(1) of1863
section 133.03 of the Revised Code and are eligible as security1864
for the repayment of the deposit of public moneys.1865

       Upon the issuance of any notes under this section, the fiscal 1866
officer of the municipal corporation, county, or township shall 1867
certify the fact of the issuance to the county auditor and shall 1868
also certify to the county auditor the last calendar year in which 1869
any of the notes are scheduled to mature.1870

       (J) After the legislative authority of the municipal1871
corporation, county, or township has passed an ordinance or 1872
resolution authorizing the issuance of local government1873
communities fund notes and subsequent to the commission's1874
preliminary or final approval of the ordinance or resolution, the 1875
director of law, prosecuting attorney, or other chief legal 1876
officer of the municipal corporation, county, or township shall1877
certify a sample of the form and content of a note to be used to1878
issue the local governmentcommunities fund notes to the 1879
commission. The commission shall determine whether the sample note 1880
is consistent with this section and the ordinance or resolution 1881
authorizing the issuance of the local governmentcommunities fund 1882
notes, and if the sample note is found to be consistent with this 1883
section and the ordinance, the commission shall approve the sample 1884
note for use by the municipal corporation, county, or township. 1885
The form and content of the notes to be used by the municipal 1886
corporation, county, or township in issuing the local government1887
communities fund notes may be modified at any time subsequent to 1888
the commission's approval of the sample note upon the approval of 1889
the commission and the director of law, prosecuting attorney, or 1890
other chief legal officer of the municipal corporation, county, or 1891
township. The failure of the director of law, prosecuting 1892
attorney, or other chief legal officer of the municipal 1893
corporation, county, or township to make the certification 1894
required by this division shall not subject that legal officer to 1895
removal pursuant to the Revised Code or the charter of a municipal 1896
corporation. If the director of law, prosecuting attorney, or1897
other chief legal officer fails or refuses to make the1898
certification required by this division, or if any officer of the1899
municipal corporation, county, or township fails or refuses to 1900
take any action required by this section or the ordinance or 1901
resolution authorizing the issuance or sale of local government1902
communities fund notes, the mayor of the municipal corporation or 1903
the board of county commissioners or board of township trustees 1904
may cause the commencement of a mandamus action in the supreme 1905
court against the director of law, prosecuting attorney, or other 1906
chief legal officer to secure the certification required by this 1907
division or other action required by this section or the ordinance 1908
or resolution. If an adjudication of the matters that could be 1909
adjudicated in validation proceedings under section 133.70 of the 1910
Revised Code is necessary to a determination of the mandamus 1911
action, the mayor, the board of county commissioners, or the board 1912
of township trustees or the mayor's or board's legal counsel shall 1913
name and cause to be served as defendants to the mandamus action 1914
all of the following:1915

       (1) The director of law, prosecuting attorney, or other chief 1916
legal officer, or other official of the municipal corporation, 1917
county, or township, whose failure or refusal to act necessitated 1918
the action;1919

       (2) The municipal corporation, through its mayor, or the 1920
board of county commissioners or board of township trustees;1921

       (3) The financial planning and supervision commission,1922
through its chairperson;1923

       (4) The prosecuting attorney and auditor of each county in1924
which the municipal corporation, county, or township is located, 1925
in whole or in part;1926

       (5) The auditor of state;1927

       (6) The property owners, taxpayers, citizens of the municipal 1928
corporation, county, or township and others having or claiming any 1929
right, title, or interest in any property or funds to be affected 1930
by the issuance of the local governmentcommunities fund notes by 1931
the municipal corporation, county, or township, or otherwise 1932
affected in any way thereby.1933

       Service upon all defendants described in division (J)(6) of1934
this section shall be by publication three times, with at least1935
six days between each publication, in a newspaper of general1936
circulation in Franklin county and a newspaper of general1937
circulation in the county or counties where the municipal 1938
corporation, county, or township is located. The publication and 1939
the notice shall indicate that the nature of the action is in 1940
mandamus, the name of the parties to the action, and that the 1941
action may result in the validation of the subject local 1942
governmentcommunities fund notes. Authorization to commence such 1943
an action by the legislative authority of the municipal 1944
corporation, county, or township is not required.1945

       A copy of the complaint in the mandamus action shall be1946
served personally or by certified mail upon the attorney general. 1947
If the attorney general has reason to believe that the complaint1948
is defective, insufficient, or untrue, or if in the attorney1949
general's opinion the issuance of the local governmentcommunities1950
fund notes is not lawful or has not been duly authorized, defense 1951
shall be made to the complaint as the attorney general considers 1952
proper.1953

       (K) The action in mandamus authorized by division (J) of this 1954
section shall take priority over all other civil cases pending in 1955
the court, except habeas corpus, and shall be determined with the 1956
least possible delay. The supreme court may determine that the 1957
local governmentcommunities fund notes will be consistent with 1958
the purpose and effects, including not occupying the indirect debt 1959
limit, provided for in this section and will be validly issued and 1960
acquired. Such a determination shall include a finding of 1961
validation of the subject local governmentcommunities fund notes 1962
if the court specifically finds that:1963

       (1) The complaint in mandamus, or subsequent pleadings,1964
include appropriate allegations required by division (C) of1965
section 133.70 of the Revised Code, and that the proceeding is in1966
lieu of an action to validate under section 133.70 of the Revised1967
Code;1968

       (2) All parties described in divisions (J)(1) to (6) of this 1969
section have been duly served with notice or are otherwise1970
properly before the court;1971

       (3) Notice of the action has been published as required by1972
division (J) of this section;1973

       (4) The effect of validation is required to provide a1974
complete review and determination of the controversy in mandamus,1975
and to avoid duplication of litigation, danger of inconsistent1976
results, or inordinate delay in light of the fiscal emergency, or 1977
that a disposition in the mandamus action would, as a practical 1978
matter, be dispositive of any subsequent validation proceedings 1979
under section 133.70 of the Revised Code.1980

       (L) Any decision that includes a finding of validation has1981
the same effect as a validation order established by an action1982
under section 133.70 of the Revised Code.1983

       (M) Divisions (J) and (K) of this section do not prevent a1984
municipal corporation, county, or township from using section 1985
133.70 of the Revised Code to validate local government1986
communities fund notes by the filing of a petition for validation 1987
in the court of common pleas of the county in which the municipal 1988
corporation, county, or township is located, in whole or in part.1989

       (N) It is hereby determined by the general assembly that a1990
validation action authorized by section 133.70 of the Revised Code 1991
is not an adequate remedy at law with respect to a municipal 1992
corporation, county, or township that is a party to a mandamus 1993
action pursuant to divisions (J) and (K) of this section and in 1994
which a fiscal emergency condition has been determined to exist 1995
pursuant to section 118.04 of the Revised Code because of, but not 1996
limited to, the following reasons:1997

       (1) It is urgently necessary for such a municipal1998
corporation, county, or township to take prompt action to issue 1999
local governmentcommunities fund notes for the purposes provided 2000
in division (C) of this section;2001

       (2) The potentially ruinous effect upon the fiscal condition 2002
of a municipal corporation, county, or township by the passage of 2003
the time required to adjudicate such a separate validation action 2004
and any appeals thereof;2005

       (3) The reasons stated in division (K)(4) of this section.2006

       Sec. 118.20.  Pursuant to section 118.19 of the Revised Code:2007

       (A) The ordinance or resolution authorizing the debt 2008
obligations may provide for the pledge of, and covenants to levy, 2009
charge, collect, deposit, and apply ad valorem property taxes, 2010
income taxes, excises, utility revenues, local government2011
communities fund receipts, permit and license fees, and any other 2012
receipts from taxes, permits, licenses, fines, or other sources of 2013
revenue of the municipal corporation, county, or township; accrued2014
and capitalized interest and premium from the proceeds of the sale 2015
of the debt obligations, lawfully available for the purpose, to 2016
the payment of the debt service and costs of issuing, carrying, 2017
redeeming, and retiring such debt obligations; covenants in 2018
respect of the establishment, investment, segregation, and 2019
maintenance of any funds or reserves in connection with the debt 2020
obligations and any other funds of the municipal corporation, 2021
county, or township. No pledge may be made in a manner which2022
impairs the contract rights of the holders of any outstanding debt 2023
obligations.2024

       (B) The ordinance or resolution authorizing the debt 2025
obligations may designate a fiscal agent for the debt obligations, 2026
or the fiscal agent may be designated by other ordinance or 2027
resolution of the legislative authority of the municipal 2028
corporation, county, or township. The fiscal agent may be a 2029
purchaser of such debt obligations or other debt obligations of 2030
the municipal corporation, county, or township.2031

       (C) The ordinance or resolution authorizing the debt 2032
obligations may provide for immediate or periodic deposit of 2033
pledged receipts or a portion thereof in one or more separate bank 2034
accounts, funds, or other accounts established with the fiscal 2035
agent. Provision may be made therein for pledged receipts that are 2036
collected by the state, the county, the township, or any agency 2037
for the municipal corporation, county, or township to be2038
transferred by the appropriate officer of the state or county or2039
agency having charge of the collection or distribution of such2040
pledged receipts directly to the fiscal agent for deposit under2041
the ordinance or resolution. Such officers of the state and county 2042
or agent shall transfer such pledged receipts in accordance with 2043
this section and the ordinance. The fiscal agent shall disburse 2044
funds so held for payments when due in accordance with the 2045
ordinance or resolution, including the transfer of funds to paying 2046
agents for the debt obligations at the times and in the amounts 2047
required. Until needed for such purposes, the fiscal agent shall 2048
invest the funds on behalf of the municipal corporation, county, 2049
or township in obligations that are lawful for the investment of 2050
public funds of the municipal corporation, county, or township, 2051
including provisions for such investments in a municipal charter, 2052
in the manner provided for in the ordinance or resolution. Funds 2053
held by the fiscal agent and all moneys and securities therein and 2054
pledged receipts payable thereto in accordance with the ordinance 2055
or resolution are hereby declared to be property of the municipal 2056
corporation, county, or township devoted to essential governmental 2057
purposes and accordingly shall not be applied to any purpose other 2058
than as provided herein and shall not be subject to any order, 2059
judgment, lien, execution, attachment, setoff, or counterclaim by 2060
any creditor of the municipal corporation, county, or township 2061
other than a creditor for whose benefit such fund is established 2062
and maintained and who is entitled thereto under and pursuant to 2063
this section.2064

       (D) The ordinance or resolution authorizing the debt 2065
obligations shall provide that proceeds of the debt obligations 2066
shall be deposited with a fiscal agent in a special and separate 2067
bank account and held in trust and expended only for the object or 2068
purpose for which such debt obligations were issued. A copy of the 2069
ordinance or resolution authorizing the debt obligations shall be 2070
filed with such fiscal agent at or prior to the time the proceeds 2071
are made available to the municipal corporation, county, or 2072
township. No moneys shall be withdrawn from such account unless 2073
there is filed with such fiscal agent a written requisition of the 2074
fiscal officer of the municipal corporation, county, or township 2075
or the fiscal officer's authorized deputy, setting forth the item 2076
number of the requisition or the account to be charged, the name 2077
of the person to whom payment is due, the amount to be paid, a 2078
statement to the effect that the obligation in the stated amount 2079
has been incurred by the municipal corporation, county, or2080
township and is a proper charge against such account, and such 2081
other information as may be required by the ordinance or2082
resolution. Pending such withdrawals, the moneys shall be 2083
invested for and on behalf of the municipal corporation, county, 2084
or township by the fiscal agent in obligations which are lawful 2085
for the investment of public funds of the municipal corporation, 2086
county, or township, including provisions for such investments in 2087
a municipal charter, in the manner as provided for in the2088
ordinance or resolution.2089

       (E) Amounts held by fiscal agents shall be accounted for in 2090
the appropriate special funds of the municipal corporation, 2091
county, or township as if held in the treasury of the municipal 2092
corporation, county, or township, and the fiscal agents shall2093
provide such information to the municipal corporation, county, or 2094
township as is necessary for the purpose.2095

       (F) The ordinance or resolution authorizing the debt 2096
obligations may contain covenants of the municipal corporation, 2097
county, or township to protect and safeguard the security and 2098
rights of the holders of such debt obligations, and without 2099
limiting the generality of the foregoing, such ordinance or 2100
resolution may contain covenants as to:2101

       (1) Establishment and maintenance of the funds to be held by 2102
fiscal agents as provided in this section and section 118.23 of 2103
the Revised Code, the times, amounts, and levels for deposits to 2104
such funds, and the obligations in which the proceeds of such2105
funds may be invested pending their use, subject to such2106
limitations on investment of public funds otherwise provided for2107
by law or pursuant to the charter of a municipal corporation;2108

       (2) The appointment, rights, powers, and duties of the fiscal 2109
agent, including limiting or abrogating the right of the holders 2110
to appoint a trustee pursuant to section 118.21 of the Revised 2111
Code and vesting in the fiscal agent all or any of such rights, 2112
powers, and duties, in trust;2113

       (3) The execution of a credit agreement with the fiscal agent 2114
for the benefit of holders of such debt obligations and for the 2115
benefit of any other holders of other debt obligations of the2116
municipal corporation, county, or township then outstanding, 2117
provided, however, that such benefit conferred on such holders of 2118
such outstanding debt obligations shall not be deemed to restrict, 2119
preclude, or otherwise impair any rights that such holders 2120
otherwise may assert;2121

       (4) Filings, review, and correction of tax budgets,2122
appropriation measures, annual reports, audits, and other matters2123
of financial record;2124

       (5) Compliance with the provisions of this chapter and the2125
financial plan and other laws applicable to the municipal 2126
corporation, county, or township including Chapters 133. and 5705. 2127
of the Revised Code, and with further restrictions on the powers, 2128
rights, and duties of the municipal corporation, county, or 2129
township necessary, appropriate, or desirable for the proper,2130
provident, and efficient management of financial affairs that the2131
municipal corporation, county, or township, with the approval of 2132
the commission or, when authorized by the commission, the 2133
financial supervisor, determines will assure prompt payment when 2134
due of its debt obligations;2135

       (6) Conditions that would give rise to an event of default2136
under the terms of such ordinance and actions and remedies that2137
the fiscal agent may take or assert on behalf of the holders of2138
such debt obligations;2139

       (7) Restrictions on the issuance of other debt obligations.2140

       Sec. 118.23.  (A) This section shall be applicable to current 2141
revenue notes approved by the financial planning and supervision 2142
commission or, when authorized by the commission, the financial 2143
supervisor pursuant to section 118.15 of the Revised Code and 2144
issued by a municipal corporation, county, or township pursuant to 2145
section 133.10 of the Revised Code and this section during a 2146
fiscal emergency period.2147

       (B) In the case of the issuance of such current revenue notes 2148
in anticipation of ad valorem property taxes, the county auditors 2149
of the counties in which the municipal corporation, county, or 2150
township is located, at the time of and from each distribution to 2151
the municipality of the proceeds of the anticipated taxes, 2152
including any payments from the state pursuant to sections 321.24 2153
and 323.156 of the Revised Code, whether such distribution be in 2154
the form of an advance or settlement that would otherwise have 2155
been paid to a fund or funds of the municipal corporation, county, 2156
or township, shall draw a separate warrant for payment to the 2157
county auditor for deposit in a special account to be held and 2158
applied pursuant to this section by the county auditor as fiscal 2159
agent and entitled "....... (insert name of municipal corporation, 2160
county, or township) current tax revenue note retirement account," 2161
that portion of such distribution as provided for in the ordinance 2162
or resolution authorizing such notes pursuant to this section.2163

       (C) In the case of the issuance of such current revenue notes 2164
in anticipation of revenues other than ad valorem property taxes, 2165
the ordinance or resolution authorizing such notes shall provide 2166
for the times and amounts of deposits with the fiscal agent by the2167
municipal corporation, county, or township of moneys from the 2168
revenues anticipated that shall be deposited in a special account 2169
to be held and applied by the fiscal agent pursuant to this 2170
section and entitled ".......... (insert name of municipal 2171
corporation, county, or township) current revenue note retirement2172
account." Such ordinance or resolution may provide for the direct 2173
deposit to such account by the auditor of state and the county 2174
auditor or county auditors of the receiving counties, as 2175
appropriate, of such portions as therein specified of local 2176
governmentcommunities fund distribution to be made to the 2177
municipal corporation, county, or township.2178

       (D) The moneys in the accounts provided for in divisions (B) 2179
and (C) of this section are pledged and shall be used, so long as 2180
any portion of the debt service on such notes payable from the 2181
respective account is unpaid, solely for the purpose of paying 2182
such debt service, and for any reserves for debt service provided 2183
for in the ordinance or resolution authorizing such debt2184
obligations. If accumulated payments into either account produce 2185
an amount less than that needed to make a timely payment of debt 2186
service or to such reserves, the full amount needed to make up any 2187
such deficiency shall be paid, in the case of the current tax 2188
revenue note retirement account, by the county auditor into such 2189
account from the last distribution or distributions to the2190
municipal corporation, county, or township of the proceeds of the 2191
anticipated taxes to be received prior to the date of such 2192
payment, and in the case of the current revenue note retirement 2193
account, by the fiscal officer from the anticipated revenues 2194
received prior to the date of such payment.2195

       (E) The amounts to be deposited in each respective account2196
pursuant to divisions (B), (C), and (D) of this section must be2197
sufficient, in time and amount, to pay the principal of and2198
interest on current notes payable from such account at their2199
stated payment dates and to develop and maintain the required2200
amounts in any such reserves.2201

       (F) The municipal corporation, county, or township shall not 2202
be entitled to receive from the fiscal agent any moneys held in 2203
the current tax revenue note retirement account or current revenue 2204
note retirement account, except that any surplus moneys remaining 2205
in either such account after the payment in full of the debt 2206
service on the notes payable therefrom shall be paid to the 2207
municipal corporation, county, or township, to be used for any 2208
lawful purpose of the municipal corporation, county, or township 2209
for which the anticipated revenues themselves might have been 2210
used.2211

       (G) Current revenue notes of a municipal corporation, county, 2212
or township issued during a fiscal emergency period may mature on 2213
or before the thirty-first day of December of the calendar year in 2214
which issued, may, when issued in anticipation of the collection 2215
of current tax revenues, anticipate one-half of the amount that 2216
the budget commission estimates the subdivision will receive from 2217
all property taxes that are to be distributed to the subdivision 2218
from all settlements of taxes that are to be made in the remainder 2219
of that year, other than taxes to be received for the payment of2220
debt charges, and less all advances, and may, if issued during the 2221
last two months of the calendar year in which the fiscal emergency 2222
period commenced, anticipate one-half the estimated amount of ad 2223
valorem property taxes levied in that year for the tax budget of 2224
the following year which were authorized to be levied by the 2225
municipal charter or otherwise authorized by vote of the 2226
electorate of the municipal corporation, county, or township and 2227
may mature not later than the thirty-first day of December of the 2228
year following the year in which such notes are issued, 2229
notwithstanding section 133.10 of the Revised Code.2230

       (H) Pursuant to section 118.19 of the Revised Code, the2231
municipal corporation, county, or township may utilize any of the 2232
special provisions of sections 118.20 to 118.22 of the Revised 2233
Code in connection with such current revenue notes.2234

       (I) Before any such current revenue notes may be authorized, 2235
the municipal corporation, county, or township shall submit to the 2236
commission and the commission or, when authorized by the 2237
commission, the financial supervisor shall approve:2238

       (1) A schedule of projected revenues and expenses of the2239
municipal corporation, county, or township during the period in 2240
which such notes would be outstanding, demonstrating an 2241
anticipated cash flow deficit during such period, the amount of 2242
such anticipated cash flow deficit, and the necessity for the 2243
issuance of such current revenue notes to avoid the occurrence of 2244
such a cash flow deficit;2245

       (2) The terms of the proposed notes, including the interest 2246
rate or rates to be paid thereon;2247

       (3) The schedule, showing times, amounts, and sources of2248
payment, for deposits into the account from which such notes are2249
to be paid;2250

       (4) Other documents and data required under section 118.15 of 2251
the Revised Code.2252

       Sec. 119.07.  Except when a statute prescribes a notice and2253
the persons to whom it shall be given, in all cases in which2254
section 119.06 of the Revised Code requires an agency to afford an 2255
opportunity for a hearing prior to the issuance of an order, the 2256
agency shall give notice to the party informing himthe party of 2257
histhe party's right to a hearing. Notice shall be given by 2258
registered or certified mail, return receipt requested, and shall 2259
include the charges or other reasons for the proposed action, the 2260
law or rule directly involved, and a statement informing the party 2261
that hethe party is entitled to a hearing if hethe party2262
requests it within thirty days of the time of mailing the notice. 2263
The notice shall also inform the party that at the hearing hethe 2264
party may appear in person, by histhe party's attorney, or by2265
such other representative as is permitted to practice before the2266
agency, or may present histhe party's position, arguments, or2267
contentions in writing and that at the hearing hethe party may 2268
present evidence and examine witnesses appearing for and against 2269
himthe party. A copy of the notice shall be mailed to attorneys 2270
or other representatives of record representing the party. This 2271
paragraph does not apply to situations in which such section 2272
provides for a hearing only when it is requested by the party.2273

       When a statute specifically permits the suspension of a2274
license without a prior hearing, notice of the agency's order2275
shall be sent to the party by registered or certified mail, return 2276
receipt requested, not later than the business day next succeeding 2277
such order. The notice shall state the reasons for the agency's2278
action, cite the law or rule directly involved, and state that the 2279
party will be afforded a hearing if hethe party requests it2280
within thirty days of the time of mailing the notice. A copy of 2281
the notice shall be mailed to attorneys or other representatives 2282
of record representing the party.2283

       Whenever a party requests a hearing in accordance with this2284
section and section 119.06 of the Revised Code, the agency shall2285
immediately set the date, time, and place for the hearing and2286
forthwith notify the party thereof. The date set for the hearing2287
shall be within fifteen days, but not earlier than seven days,2288
after the party has requested a hearing, unless otherwise agreed2289
to by both the agency and the party.2290

       When any notice sent by registered or certified mail, as 2291
required by sections 119.01 to 119.13 of the Revised Code, is 2292
returned because of failure of delivery the agency shall send the 2293
notice by ordinary mail to the party at the party's last known 2294
address and shall obtain a certificate of mailing. Service by 2295
ordinary mail is complete when the certificate of mailing is 2296
obtained. If a notice sent by ordinary mail is returned showing 2297
failure of delivery, the agency shall notify the attorneys or 2298
other representatives of record representing the party of the 2299
failure of delivery and serve a copy of the notice upon them, by 2300
ordinary or registered or certified mail; if ordinary mail is 2301
used, the agency shall obtain a certificate of mailing. Service 2302
upon the attorneys or other representatives of record is complete 2303
when the notice is mailed. If there are no attorneys or other 2304
representatives of record representing the party, the agency 2305
either shall make personal delivery of the notice by an employee 2306
or agent of the agency or shall cause a summary of the substantive 2307
provisions of the notice to be published once a week for three2308
consecutive weeks in a newspaper of general circulation in the2309
county where the last known place of residence or businessaddress2310
of the party is located. When notice is given by publication, a 2311
copy of the newspapera proof of publication affidavit, with the 2312
first publication of the notice markedset forth in the affidavit,2313
shall be mailed by ordinary mail to the party at the party's last 2314
known address and the notice shall be deemed received as of the 2315
date of the last publication. An employee or agent of the agency 2316
may make personal delivery of the notice upon a party at any time.2317

       Refusal of delivery by personal service or by mail is not 2318
failure of delivery. Failure of delivery occurs only when, with 2319
reasonable diligence, a party cannot be found to make personal 2320
service of a notice, or if a mailed notice is returned by the 2321
postal authorities marked undeliverable, addressee unknown, or 2322
forwarding address unknown or expired. A party's last known 2323
address is the mailing address of the party appearing in the 2324
records of the agency.2325

       The failure of an agency to give the notices for any hearing 2326
required by sections 119.01 to 119.13 of the Revised Code in the 2327
manner provided in this section shall invalidate any order entered 2328
pursuant to the hearing.2329

       Sec. 120.33.  (A) In lieu of using a county public defender2330
or joint county public defender to represent indigent persons in2331
the proceedings set forth in division (A) of section 120.16 of the2332
Revised Code, the board of county commissioners of any county may2333
adopt a resolution to pay counsel who are either personally2334
selected by the indigent person or appointed by the court. The2335
resolution shall include those provisions the board of county2336
commissioners considers necessary to provide effective2337
representation of indigent persons in any proceeding for which2338
counsel is provided under this section. The resolution shall2339
include provisions for contracts with any municipal corporation2340
under which the municipal corporation shall reimburse the county2341
for counsel appointed to represent indigent persons charged with2342
violations of the ordinances of the municipal corporation.2343

       (1) In a county that adopts a resolution to pay counsel, an2344
indigent person shall have the right to do either of the2345
following:2346

       (a) To select the person's own personal counsel to represent2347
the person in any proceeding included within the provisions of the2348
resolution;2349

       (b) To request the court to appoint counsel to represent the2350
person in such a proceeding.2351

       (2) The court having jurisdiction over the proceeding in a2352
county that adopts a resolution to pay counsel shall, after2353
determining that the person is indigent and entitled to legal2354
representation under this section, do either of the following:2355

       (a) By signed journal entry recorded on its docket, enter the 2356
name of the lawyer selected by the indigent person as counsel of 2357
record;2358

       (b) Appoint counsel for the indigent person if the person has 2359
requested the court to appoint counsel and, by signed journal2360
entry recorded on its dockets, enter the name of the lawyer2361
appointed for the indigent person as counsel of record.2362

       (3) The board of county commissioners shall establish a2363
schedule of fees by case or on an hourly basis to be paid to2364
counsel for legal services provided pursuant to a resolution2365
adopted under this section. Prior to establishing the schedule,2366
the board of county commissioners shall request the bar2367
association or associations of the county to submit a proposed2368
schedule. The schedule submitted shall be subject to the review,2369
amendment, and approval of the board of county commissioners.2370

       (4) Counsel selected by the indigent person or appointed by2371
the court at the request of an indigent person in a county that2372
adopts a resolution to pay counsel, except for counsel appointed2373
to represent a person charged with any violation of an ordinance2374
of a municipal corporation that has not contracted with the county2375
commissioners for the payment of appointed counsel, shall be paid2376
by the county and shall receive the compensation and expenses the2377
court approves. Each request for payment shall be accompanied by a 2378
financial disclosure form and an affidavit of indigency that are2379
completed by the indigent person on forms prescribed by the state2380
public defender. Compensation and expenses shall not exceed the2381
amounts fixed by the board of county commissioners in the schedule2382
adopted pursuant to division (A)(3) of this section. No court2383
shall approve compensation and expenses that exceed the amount2384
fixed pursuant to division (A)(3) of this section.2385

       The fees and expenses approved by the court shall not be2386
taxed as part of the costs and shall be paid by the county.2387
However, if the person represented has, or may reasonably be2388
expected to have, the means to meet some part of the cost of the2389
services rendered to the person, the person shall pay the county2390
an amount that the person reasonably can be expected to pay. 2391
Pursuant to section 120.04 of the Revised Code, the county shall2392
pay to the state public defender a percentage of the payment2393
received from the person in an amount proportionate to the2394
percentage of the costs of the person's case that were paid to the2395
county by the state public defender pursuant to this section. The2396
money paid to the state public defender shall be credited to the2397
client payment fund created pursuant to division (B)(5) of section2398
120.04 of the Revised Code.2399

       The county auditor shall draw a warrant on the county2400
treasurer for the payment of counsel in the amount fixed by the2401
court, plus the expenses the court fixes and certifies to the2402
auditor. The county auditor shall report periodically, but not2403
less than annually, to the board of county commissioners and to2404
the Ohiostate public defender commission the amounts paid out 2405
pursuant to the approval of the court. The board of county 2406
commissioners, after review and approval of the auditor's report, 2407
or the county auditor, with permission from and notice to the 2408
board of county commissioners, may then certify it to the state 2409
public defender for reimbursement. If a request for reimbursement 2410
is not accompanied by a financial disclosure form and an affidavit 2411
of indigency completed by the indigent person on forms prescribed 2412
by the state public defender and the court does not certify by 2413
electronic signature as prescribed by the state public defender 2414
that a financial disclosure form and affidavit of indigency have 2415
been completed by the indigent person and are available for 2416
inspection, the state public defender shall not pay the requested2417
reimbursement. If a request for the reimbursement of the cost of2418
counsel in any case is not received by the state public defender2419
within ninety days after the end of the calendar month in which2420
the case is finally disposed of by the court, unless the county2421
has requested and the state public defender has granted an2422
extension of the ninety-day limit, the state public defender shall2423
not pay the requested reimbursement. The state public defender2424
shall also review the report and, in accordance with the2425
standards, guidelines, and maximums established pursuant to2426
divisions (B)(7) and (8) of section 120.04 of the Revised Code,2427
prepare a voucher for fifty per cent of the total cost of each2428
county appointed counsel system in the period of time covered by2429
the certified report and a voucher for fifty per cent of the costs2430
and expenses that are reimbursable under section 120.35 of the2431
Revised Code, if any, or, if the amount of money appropriated by2432
the general assembly to reimburse counties for the operation of2433
county public defender offices, joint county public defender2434
offices, and county appointed counsel systems is not sufficient to2435
pay fifty per cent of the total cost of all of the offices and2436
systems other than costs and expenses that are reimbursable under2437
section 120.35 of the Revised Code, for the lesser amount required2438
by section 120.34 of the Revised Code.2439

       (5) If any county appointed counsel system fails to maintain2440
the standards for the conduct of the system established by the2441
rules of the Ohio public defender commission pursuant to divisions2442
(B) and (C) of section 120.03 or the standards established by the2443
state public defender pursuant to division (B)(7) of section2444
120.04 of the Revised Code, the Ohio public defender commission2445
shall notify the board of county commissioners of the county that2446
the county appointed counsel system has failed to comply with its2447
rules or the standards of the state public defender. Unless the2448
board of county commissioners corrects the conduct of its2449
appointed counsel system to comply with the rules and standards2450
within ninety days after the date of the notice, the state public2451
defender may deny all or part of the county's reimbursement from2452
the state provided for in division (A)(4) of this section.2453

       (B) In lieu of using a county public defender or joint county 2454
public defender to represent indigent persons in the proceedings 2455
set forth in division (A) of section 120.16 of the Revised Code, 2456
and in lieu of adopting the resolution and following the procedure 2457
described in division (A) of this section, the board of county 2458
commissioners of any county may contract with the state public 2459
defender for the state public defender's legal representation of 2460
indigent persons. A contract entered into pursuant to this 2461
division may provide for payment for the services provided on a 2462
per case, hourly, or fixed contract basis.2463

       (C) If a court appoints an attorney pursuant to this section2464
to represent a petitioner in a postconviction relief proceeding2465
under section 2953.21 of the Revised Code, the petitioner has2466
received a sentence of death, and the proceeding relates to that2467
sentence, the attorney who represents the petitioner in the2468
proceeding pursuant to the appointment shall be certified under2469
Rule 20 of the Rules of Superintendence for the Courts of Ohio to 2470
represent indigent defendants charged with or convicted of an2471
offense for which the death penalty can be or has been imposed.2472

       Sec.  122.051.  There is hereby created in the state treasury 2473
the international trade cooperative projects fund. The fund shall 2474
consist of moneys received from private and nonprofit 2475
organizations involved in cooperative agreements related to 2476
import/export and direct foreign investment activities and cash 2477
transfers from other state agencies or any state or local 2478
government to encourage, promote, and assist trade and commerce 2479
between this state and foreign nations, pursuant to section 122.05 2480
and division (E) of section 122.04 of the Revised Code.2481

       Sec. 122.071. There is hereby created in the state treasury 2482
the travel and tourism cooperative projects fund consisting of all 2483
grants, gifts, and contributions made to the director of 2484
development for marketing and promotion of travel and tourism 2485
within this state pursuant to division (F) of section 122.04 and 2486
section 122.07 of the Revised Code.2487

       Sec. 122.076. There is hereby created in the state treasury 2488
the energy projects fund consisting of nonfederal revenue that is 2489
remitted to the director of development for the purpose of energy 2490
projects. Money in the fund shall be used by the department of 2491
development for energy projects and to pay the costs incurred in 2492
administering the energy projects.2493

       Sec. 122.17.  (A) As used in this section:2494

       (1) "Full-time employee" means an individual who is employed 2495
for consideration for at least an average of thirty-five hours a 2496
week or who renders any other standard of service generally 2497
accepted by custom or specified by contract as full-time 2498
employment, or who is employed for consideration for such time or 2499
renders such service but is on active duty reserve or Ohio 2500
national guard service.2501

       (2) "New employee" means one of the following:2502

       (a) A full-time employee first employed by a taxpayer in the 2503
project that is the subject of the agreement after the taxpayer 2504
enters into a tax credit agreement with the tax credit authority 2505
under this section;2506

       (b) A full-time employee first employed by a taxpayer in the 2507
project that is the subject of the tax credit after the tax credit 2508
authority approves a project for a tax credit under this section 2509
in a public meeting, as long as the taxpayer enters into the tax 2510
credit agreement prepared by the department of development after 2511
such meeting within sixty days after receiving the agreement from 2512
the department. If the taxpayer fails to enter into the agreement 2513
within sixty days, "new employee" has the same meaning as under 2514
division (A)(2)(a) of this section. A full-time employee may be 2515
considered a "new employee" of a taxpayer, despite previously 2516
having been employed by a related member of the taxpayer, if all 2517
of the following apply:2518

       (i) The related member is a party to the tax credit agreement 2519
at the time the employee is first employed with the taxpayer;2520

       (ii) The related member will remain subject to the tax 2521
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied 2522
under Chapter 5751. of the Revised Code for the remainder of the 2523
term of the tax credit, and the tax credit is taken against 2524
liability for that same tax through the remainder of the term of 2525
the tax credit; and2526

       (iii) The employee was considered a new employee of the 2527
related member prior to employment with the taxpayer.2528

       Under division (A)(2)(a) or (b) of this section, if the tax2529
credit authority determines it appropriate, "new employee" also2530
may include an employee re-hired or called back from lay-off to2531
work in a new facility or on a new product or service established2532
or produced by the taxpayer after entering into the agreement2533
under this section or after the tax credit authority approves the2534
tax credit in a public meeting. Except as otherwise provided in 2535
this paragraph, "new employee" does not include any employee of 2536
the taxpayer who was previously employed in this state by a 2537
related member of the taxpayer and whose employment was shifted to 2538
the taxpayer after the taxpayer entered into the tax credit 2539
agreement or after the tax credit authority approved the credit in 2540
a public meeting, or any employee of the taxpayer for which the 2541
taxpayer has been granted a certificate under division (B) of 2542
section 5709.66 of the Revised Code. However, if the taxpayer is 2543
engaged in the enrichment and commercialization of uranium or 2544
uranium products or is engaged in research and development 2545
activities related thereto and if the tax credit authority 2546
determines it appropriate, "new employee" may include an employee 2547
of the taxpayer who was previously employed in this state by a 2548
related member of the taxpayer and whose employment was shifted to 2549
the taxpayer after the taxpayer entered into the tax credit 2550
agreement or after the tax credit authority approved the credit in 2551
a public meeting. "New employee" does not include an employee of 2552
the taxpayer who is employed in an employment position that was2553
relocated to a project from other operations of the taxpayer in2554
this state or from operations of a related member of the taxpayer 2555
in this state. In addition, "new employee" does not include a 2556
child, grandchild, parent, or spouse, other than a spouse who is 2557
legally separated from the individual, of any individual who is an 2558
employee of the taxpayer and who has a direct or indirect 2559
ownership interest of at least five per cent in the profits, 2560
capital, or value of the taxpayer. Such ownership interest shall 2561
be determined in accordance with section 1563 of the Internal 2562
Revenue Code and regulations prescribed thereunder.2563

       (3) "New income tax revenue" means the total amount withheld 2564
under section 5747.06 of the Revised Code by the taxpayer during 2565
the taxable year, or during the calendar year that includes the 2566
tax period, from the compensation of new employees for the tax 2567
levied under Chapter 5747. of the Revised Code.2568

       (4) "Related member" has the same meaning as under division 2569
(A)(6) of section 5733.042 of the Revised Code without regard to 2570
division (B) of that section.2571

       (B) The tax credit authority may make grants under this2572
section to foster job creation in this state. Such a grant shall2573
take the form of a refundable credit allowed against the tax2574
imposed by section 5725.18, 5729.03, 5733.06, or 5747.02 or levied 2575
under Chapter 5751. of the Revised Code. The credit shall be 2576
claimed for the taxable years or tax periods specified in the2577
taxpayer's agreement with the tax credit authority under division2578
(D) of this section. With respect to taxes imposed under section 2579
5733.06 or 5747.02 or Chapter 5751. of the Revised Code, the 2580
credit shall be claimed in the order required under section 2581
5733.98, 5747.98, or 5751.98 of the Revised Code. The amount of 2582
the credit available for a taxable year or for a calendar year 2583
that includes a tax period equals the new income tax revenue for 2584
that year multiplied by the percentage specified in the agreement 2585
with the tax credit authority. Any credit granted under this 2586
section against the tax imposed by section 5733.06 or 5747.02 of 2587
the Revised Code, to the extent not fully utilized against such 2588
tax for taxable years ending prior to 2008, shall automatically be 2589
converted without any action taken by the tax credit authority to 2590
a credit against the tax levied under Chapter 5751. of the Revised 2591
Code for tax periods beginning on or after July 1, 2008, provided 2592
that the person to whom the credit was granted is subject to such 2593
tax. The converted credit shall apply to those calendar years in 2594
which the remaining taxable years specified in the agreement end.2595

       (C) A taxpayer or potential taxpayer who proposes a project 2596
to create new jobs in this state may apply to the tax credit 2597
authority to enter into an agreement for a tax credit under this 2598
section. The director of development shall prescribe the form of 2599
the application. After receipt of an application, the authority 2600
may enter into an agreement with the taxpayer for a credit under 2601
this section if it determines all of the following:2602

       (1) The taxpayer's project will create new jobs in this2603
state;2604

       (2) The taxpayer's project is economically sound and will2605
benefit the people of this state by increasing opportunities for2606
employment and strengthening the economy of this state;2607

       (3) Receiving the tax credit is a major factor in the2608
taxpayer's decision to go forward with the project.2609

       (D) An agreement under this section shall include all of the 2610
following:2611

       (1) A detailed description of the project that is the subject 2612
of the agreement;2613

       (2) The term of the tax credit, which shall not exceed 2614
fifteen years, and the first taxable year, or first calendar year 2615
that includes a tax period, for which the credit may be claimed;2616

       (3) A requirement that the taxpayer shall maintain operations 2617
at the project location for at least twice the number of years as 2618
the term of the tax credit;2619

       (4) The percentage, as determined by the tax credit2620
authority, of new income tax revenue that will be allowed as the2621
amount of the credit for each taxable year or for each calendar 2622
year that includes a tax period;2623

       (5) A specific method for determining how many new employees 2624
are employed during a taxable year or during a calendar year that 2625
includes a tax period;2626

       (6) A requirement that the taxpayer annually shall report to 2627
the director of development the number of new employees, the new 2628
income tax revenue withheld in connection with the new employees, 2629
and any other information the director needs to perform the 2630
director's duties under this section;2631

       (7) A requirement that the director of development annually 2632
shall verify the amounts reported under division (D)(6) of this 2633
section, and after doing so shall issue a certificate to the 2634
taxpayer stating that the amounts have been verified;2635

       (8)(a) A provision requiring that the taxpayer, except as 2636
otherwise provided in division (D)(8)(b) of this section, shall 2637
not relocate employment positions from elsewhere in this state to 2638
the project site that is the subject of the agreement for the 2639
lesser of five years from the date the agreement is entered into 2640
or the number of years the taxpayer is entitled to claim the tax 2641
credit.2642

       (b) The taxpayer may relocate employment positions from 2643
elsewhere in this state to the project site that is the subject of 2644
the agreement if the director of development determines both of 2645
the following:2646

       (i) That the site from which the employment positions would 2647
be relocated is inadequate to meet market and industry conditions, 2648
expansion plans, consolidation plans, or other business 2649
considerations affecting the taxpayer;2650

       (ii) That the legislative authority of the county, township, 2651
or municipal corporation from which the employment positions would2652
be relocated has been notified of the relocation.2653

       For purposes of this section, the movement of an employment 2654
position from one political subdivision to another political 2655
subdivision shall be considered a relocation of an employment 2656
position, but the transfer of an individual employee from one 2657
political subdivision to another political subdivision shall not 2658
be considered a relocation of an employment position as long as 2659
the individual's employment position in the first political 2660
subdivision is refilled.2661

       (E) If a taxpayer fails to meet or comply with any condition 2662
or requirement set forth in a tax credit agreement, the tax credit 2663
authority may amend the agreement to reduce the percentage or term 2664
of the tax credit. The reduction of the percentage or term shall 2665
take effect (1) in the taxable year immediately following the 2666
taxable year in which the authority amends the agreement or the 2667
director of development notifies the taxpayer in writing of such 2668
failure, or (2) in the first tax period beginning in the calendar 2669
year immediately following the calendar year in which the 2670
authority amends the agreement or the director notifies the 2671
taxpayer in writing of such failure. If the taxpayer fails to 2672
annually report any of the information required by division (D)(6) 2673
of this section within the time required by the director, the 2674
reduction of the percentage or term may take effect in the current 2675
taxable year. If the taxpayer relocates employment positions in 2676
violation of the provision required under division (D)(8)(a) of 2677
this section, the taxpayer shall not claim the tax credit under 2678
section 5733.0610 of the Revised Code for any tax years following 2679
the calendar year in which the relocation occurs, or shall not 2680
claim the tax credit under section 5725.32, 5729.032, or 5747.058 2681
of the Revised Code for the taxable year in which the relocation 2682
occurs and any subsequent taxable years, and shall not claim the 2683
tax credit under division (A) of section 5751.50 of the Revised 2684
Code for any tax period in the calendar year in which the 2685
relocation occurs and any subsequent tax periods.2686

       (F) Projects that consist solely of point-of-final-purchase 2687
retail facilities are not eligible for a tax credit under this 2688
section. If a project consists of both point-of-final-purchase 2689
retail facilities and nonretail facilities, only the portion of 2690
the project consisting of the nonretail facilities is eligible for 2691
a tax credit and only the new income tax revenue from new 2692
employees of the nonretail facilities shall be considered when 2693
computing the amount of the tax credit. If a warehouse facility is 2694
part of a point-of-final-purchase retail facility and supplies 2695
only that facility, the warehouse facility is not eligible for a 2696
tax credit. Catalog distribution centers are not considered2697
point-of-final-purchase retail facilities for the purposes of this 2698
division, and are eligible for tax credits under this section.2699

       (G) Financial statements and other information submitted to 2700
the department of development or the tax credit authority by an 2701
applicant or recipient of a tax credit under this section, and any 2702
information taken for any purpose from such statements or2703
information, are not public records subject to section 149.43 of2704
the Revised Code. However, the chairperson of the authority may2705
make use of the statements and other information for purposes of2706
issuing public reports or in connection with court proceedings2707
concerning tax credit agreements under this section. Upon the2708
request of the tax commissioner or, if the applicant or recipient 2709
is an insurance company, upon the request of the superintendent of 2710
insurance, the chairperson of the authority shall provide to the 2711
commissioner or superintendent any statement or information2712
submitted by an applicant or recipient of a tax credit in2713
connection with the credit. The commissioner or superintendent 2714
shall preserve the confidentiality of the statement or 2715
information.2716

       (H) A taxpayer claiming a credit under this section shall2717
submit to the tax commissioner or, if the taxpayer is an insurance 2718
company, to the superintendent of insurance, a copy of the 2719
director of development's certificate of verification under 2720
division (D)(7) of this section with the taxpayer's tax report or 2721
return for the taxable year or for the calendar year that includes 2722
the tax period. Failure to submit a copy of the certificate with 2723
the report or return does not invalidate a claim for a credit if 2724
the taxpayer submits a copy of the certificate to the commissioner 2725
or superintendent within sixty days after the commissioner or 2726
superintendent requests it.2727

       (I) The director of development, after consultation with the 2728
tax commissioner and the superintendent of insurance and in 2729
accordance with Chapter 119. of the Revised Code, shall adopt 2730
rules necessary to implement this section. The rules may provide 2731
for recipients of tax credits under this section to be charged 2732
fees to cover administrative costs of the tax credit program. The 2733
fees collected shall be credited to the tax incentive programs 2734
operating fund created in section 122.174 of the Revised Code. At 2735
the time the director gives public notice under division (A) of 2736
section 119.03 of the Revised Code of the adoption of the rules, 2737
the director shall submit copies of the proposed rules to the 2738
chairpersons of the standing committees on economic development in 2739
the senate and the house of representatives.2740

       (J) For the purposes of this section, a taxpayer may include 2741
a partnership, a corporation that has made an election under 2742
subchapter S of chapter one of subtitle A of the Internal Revenue 2743
Code, or any other business entity through which income flows as a 2744
distributive share to its owners. A credit received under this 2745
section by a partnership, S-corporation, or other such business 2746
entity shall be apportioned amongmay elect to pass the credit 2747
received under this section through to the persons to whom the 2748
income or profit of the partnership, S-corporation, or other2749
entity is distributed,. The election shall be made on the annual 2750
report required under division (D)(6) of this section. The 2751
election applies to and is irrevocable for the credit for which 2752
the report is submitted. If the election is made, the credit shall 2753
be apportioned among those persons in the same proportions as 2754
those in which the income or profit is distributed.2755

       (K) If the director of development determines that a taxpayer 2756
who has received a credit under this section is not complying with 2757
the requirement under division (D)(3) of this section, the 2758
director shall notify the tax credit authority of the2759
noncompliance. After receiving such a notice, and after giving the 2760
taxpayer an opportunity to explain the noncompliance, the tax2761
credit authority may require the taxpayer to refund to this state2762
a portion of the credit in accordance with the following:2763

       (1) If the taxpayer maintained operations at the project2764
location for at least one and one-half times the number of years2765
of the term of the tax credit, an amount not exceeding twenty-five 2766
per cent of the sum of any previously allowed credits under this 2767
section;2768

       (2) If the taxpayer maintained operations at the project2769
location for at least the number of years of the term of the tax2770
credit, an amount not exceeding fifty per cent of the sum of any2771
previously allowed credits under this section;2772

       (3) If the taxpayer maintained operations at the project2773
location for less than the number of years of the term of the tax2774
credit, an amount not exceeding one hundred per cent of the sum of 2775
any previously allowed credits under this section.2776

       In determining the portion of the tax credit to be refunded2777
to this state, the tax credit authority shall consider the effect2778
of market conditions on the taxpayer's project and whether the2779
taxpayer continues to maintain other operations in this state. 2780
After making the determination, the authority shall certify the2781
amount to be refunded to the tax commissioner or superintendent of 2782
insurance, as appropriate. If the amount is certified to the 2783
commissioner, the commissioner shall make an assessment for that 2784
amount against the taxpayer under Chapter 5733., 5747., or 5751. 2785
of the Revised Code. If the amount is certified to the 2786
superintendent, the superintendent shall make an assessment for 2787
that amount against the taxpayer under Chapter 5725. or 5729. of 2788
the Revised Code. The time limitations on assessments under those 2789
chapters do not apply to an assessment under this division, but 2790
the commissioner or superintendent, as appropriate, shall make the 2791
assessment within one year after the date the authority certifies 2792
to the commissioner or superintendent the amount to be refunded.2793

       (L) On or before the thirty-first day of March each year, the 2794
director of development shall submit a report to the governor, the 2795
president of the senate, and the speaker of the house of 2796
representatives on the tax credit program under this section. The 2797
report shall include information on the number of agreements that 2798
were entered into under this section during the preceding calendar 2799
year, a description of the project that is the subject of each 2800
such agreement, and an update on the status of projects under 2801
agreements entered into before the preceding calendar year.2802

       (M) There is hereby created the tax credit authority, which 2803
consists of the director of development and four other members 2804
appointed as follows: the governor, the president of the senate, 2805
and the speaker of the house of representatives each shall appoint 2806
one member who shall be a specialist in economic development; the 2807
governor also shall appoint a member who is a specialist in 2808
taxation. Of the initial appointees, the members appointed by the 2809
governor shall serve a term of two years; the members appointed by 2810
the president of the senate and the speaker of the house of 2811
representatives shall serve a term of four years. Thereafter, 2812
terms of office shall be for four years. Initial appointments to 2813
the authority shall be made within thirty days after January 13,2814
1993. Each member shall serve on the authority until the end of 2815
the term for which the member was appointed. Vacancies shall be 2816
filled in the same manner provided for original appointments. Any 2817
member appointed to fill a vacancy occurring prior to the 2818
expiration of the term for which the member's predecessor was 2819
appointed shall hold office for the remainder of that term. 2820
Members may be reappointed to the authority. Members of the 2821
authority shall receive their necessary and actual expenses while 2822
engaged in the business of the authority. The director of 2823
development shall serve as chairperson of the authority, and the 2824
members annually shall elect a vice-chairperson from among 2825
themselves. Three members of the authority constitute a quorum to 2826
transact and vote on the business of the authority. The majority 2827
vote of the membership of the authority is necessary to approve 2828
any such business, including the election of the vice-chairperson.2829

       The director of development may appoint a professional 2830
employee of the department of development to serve as the 2831
director's substitute at a meeting of the authority. The director 2832
shall make the appointment in writing. In the absence of the 2833
director from a meeting of the authority, the appointed substitute 2834
shall serve as chairperson. In the absence of both the director 2835
and the director's substitute from a meeting, the vice-chairperson2836
shall serve as chairperson.2837

       (N) For purposes of the credits granted by this section 2838
against the taxes imposed under sections 5725.18 and 5729.03 of 2839
the Revised Code, "taxable year" means the period covered by the 2840
taxpayer's annual statement to the superintendent of insurance.2841

       Sec. 122.171. (A) As used in this section:2842

       (1) "Capital investment project" means a plan of investment2843
at a project site for the acquisition, construction, renovation,2844
or repair of buildings, machinery, or equipment, or for2845
capitalized costs of basic research and new product development2846
determined in accordance with generally accepted accounting2847
principles, but does not include any of the following:2848

       (a) Payments made for the acquisition of personal property2849
through operating leases;2850

       (b) Project costs paid before January 1, 2002;2851

       (c) Payments made to a related member as defined in section2852
5733.042 of the Revised Code or to an elected consolidated 2853
taxpayer or a combined taxpayer as defined in section 5751.01 of 2854
the Revised Code.2855

       (2) "Eligible business" means a business with Ohio operations 2856
satisfying all of the following:2857

       (a) Employed an average of at least one thousand employees in 2858
full-time employment positions at a project site during each of2859
the twelve months preceding the application for a tax credit under2860
this section; and2861

       (b) On or after January 1, 2002, has made payments for the2862
capital investment project of either of the following:2863

        (i) At least two hundred million dollars in the aggregate at 2864
the project site during a period of three consecutive calendar2865
years including the calendar year that includes a day of the2866
taxpayer's taxable year or tax period with respect to which the 2867
credit is granted;2868

       (ii) If the average wage of all full-time employment 2869
positions at the project site is greater than four hundred per 2870
cent of the federal minimum wage, at least one hundred million 2871
dollars in the aggregate at the project site during a period of 2872
three consecutive calendar years including the calendar year that 2873
includes a day of the taxpayer's taxable year or tax period with 2874
respect to which the credit is granted.2875

       (c) Is engaged at the project site primarily as a2876
manufacturer or is providing significant corporate administrative2877
functions;2878

        (d) Has had a capital investment project reviewed and2879
approved by the tax credit authority as provided in divisions (C),2880
(D), and (E) of this section.2881

       (3) "Full-time employment position" means a position of2882
employment for consideration for at least an average of 2883
thirty-five hours a week that has been filled for at least one 2884
hundred eighty days immediately preceding the filing of an2885
application under this section and for at least one hundred eighty 2886
days during each taxable year or each calendar year that includes 2887
a tax period with respect to which the credit is granted, or is 2888
employed in such position for consideration for such time, but is 2889
on active duty reserve or Ohio national guard service.2890

       (4) "Manufacturer" has the same meaning as in section2891
5739.011 of the Revised Code.2892

        (5) "Project site" means an integrated complex of facilities2893
in this state, as specified by the tax credit authority under this2894
section, within a fifteen-mile radius where a taxpayer is 2895
primarily operating as an eligible business.2896

       (6) "Applicable corporation" means a corporation satisfying 2897
all of the following:2898

       (a)(i) For the entire taxable year immediately preceding the 2899
tax year, the corporation develops software applications primarily 2900
to provide telecommunication billing and information services 2901
through outsourcing or licensing to domestic or international 2902
customers.2903

       (ii) Sales and licensing of software generated at least six 2904
hundred million dollars in revenue during the taxable year 2905
immediately preceding the tax year the corporation is first 2906
entitled to claim the credit provided under division (B) of this 2907
section.2908

       (b) For the entire taxable year immediately preceding the tax 2909
year, the corporation or one or more of its related members 2910
provides customer or employee care and technical support for 2911
clients through one or more contact centers within this state, and 2912
the corporation and its related members together have a daily 2913
average, based on a three-hundred-sixty-five-day year, of at least 2914
five hundred thousand successful customer contacts through one or 2915
more of their contact centers, wherever located.2916

       (c) The corporation is eligible for the credit under division 2917
(B) of this section for the tax year.2918

       (7) "Related member" has the same meaning as in section 2919
5733.042 of the Revised Code as that section existed on the 2920
effective date of its amendment by Am. Sub. H.B. 215 of the 122nd 2921
general assembly, September 29, 1997.2922

       (8) "Successful customer contact" means a contact with an end 2923
user via telephone, including interactive voice recognition or 2924
similar means, where the contact culminates in a conversation or 2925
connection other than a busy signal or equipment busy.2926

       (9) "Telecommunications" means all forms of 2927
telecommunications service as defined in section 5739.01 of the 2928
Revised Code, and includes services in wireless, wireline, cable, 2929
broadband, internet protocol, and satellite.2930

       (10)(a) "Applicable difference" means the difference between 2931
the tax for the tax year under Chapter 5733. of the Revised Code 2932
applying the law in effect for that tax year, and the tax for that 2933
tax year if section 5733.042 of the Revised Code applied as that 2934
section existed on the effective date of its amendment by Am. Sub. 2935
H.B. 215 of the 122nd general assembly, September 29, 1997, 2936
subject to division (A)(10)(b) of this section.2937

       (b) If the tax rate set forth in division (B) of section 2938
5733.06 of the Revised Code for the tax year is less than eight 2939
and one-half per cent, the tax calculated under division 2940
(A)(10)(a) of this section shall be computed by substituting a tax 2941
rate of eight and one-half per cent for the rate set forth in 2942
division (B) of section 5733.06 of the Revised Code for the tax 2943
year.2944

       (c) If the resulting difference is negative, the applicable 2945
tax difference for the tax year shall be zero.2946

       (B) The tax credit authority created under section 122.17 of2947
the Revised Code may grant tax credits under this section for the2948
purpose of fostering job retention in this state. Upon application 2949
by an eligible business and upon consideration of the2950
recommendation of the director of budget and management, tax2951
commissioner, and director of development under division (C) of2952
this section, the tax credit authority may grant to an eligible2953
business a nonrefundable credit against the tax imposed by section2954
5733.06 or 5747.02 of the Revised Code for a period up to fifteen2955
taxable years and against the tax levied by Chapter 5751. of the 2956
Revised Code for a period of up to fifteen calendar years. The 2957
credit shall be in an amount not exceeding seventy-five per cent 2958
of the Ohio income tax withheld from the employees of the eligible 2959
business occupying full-time employment positions at the project 2960
site during the calendar year that includes the last day of such 2961
business' taxable year or tax period with respect to which the2962
credit is granted. The amount of the credit shall not be based on2963
the Ohio income tax withheld from full-time employees for a2964
calendar year prior to the calendar year in which the minimum 2965
investment requirement referred to in division (A)(2)(b) of this 2966
section is completed. The credit shall be claimed only for the 2967
taxable years or tax periods specified in the eligible business' 2968
agreement with the tax credit authority under division (E) of this 2969
section, but in no event shall the credit be claimed for a taxable 2970
year or tax period terminating before the date specified in the2971
agreement. Any credit granted under this section against the tax 2972
imposed by section 5733.06 or 5747.02 of the Revised Code, to the 2973
extent not fully utilized against such tax for taxable years 2974
ending prior to 2008, shall automatically be converted without any 2975
action taken by the tax credit authority to a credit against the 2976
tax levied under Chapter 5751. of the Revised Code for tax periods 2977
beginning on or after July 1, 2008, provided that the person to 2978
whom the credit was granted is subject to such tax. The converted 2979
credit shall apply to those calendar years in which the remaining 2980
taxable years specified in the agreement end.2981

       The credit computed under this division is in addition to any 2982
credit allowed under division (M) of this section which the tax 2983
credit authority may also include in the agreement.2984

       Any unused portion of a tax credit may be carried forward for2985
not more than three additional years after the year for which the2986
credit is granted.2987

       (C) A taxpayer that proposes a capital investment project to2988
retain jobs in this state may apply to the tax credit authority to2989
enter into an agreement for a tax credit under this section. The2990
director of development shall prescribe the form of the2991
application. After receipt of an application, the authority shall2992
forward copies of the application to the director of budget and2993
management, the tax commissioner, and the director of development,2994
each of whom shall review the application to determine the2995
economic impact the proposed project would have on the state and2996
the affected political subdivisions and shall submit a summary of2997
their determinations and recommendations to the authority. 2998

       (D) Upon review of the determinations and recommendations2999
described in division (C) of this section, the tax credit3000
authority may enter into an agreement with the taxpayer for a3001
credit under this section if the authority determines all of the 3002
following:3003

       (1) The taxpayer's capital investment project will result in3004
the retention of full-time employment positions in this state.3005

       (2) The taxpayer is economically sound and has the ability to 3006
complete the proposed capital investment project.3007

       (3) The taxpayer intends to and has the ability to maintain3008
operations at the project site for at least twice the term of the3009
credit.3010

       (4) Receiving the credit is a major factor in the taxpayer's3011
decision to begin, continue with, or complete the project.3012

       (5) The political subdivisions in which the project is3013
located have agreed to provide substantial financial support to3014
the project.3015

       (E) An agreement under this section shall include all of the3016
following:3017

       (1) A detailed description of the project that is the subject 3018
of the agreement, including the amount of the investment, the 3019
period over which the investment has been or is being made, and 3020
the number of full-time employment positions at the project site.3021

       (2) The method of calculating the number of full-time3022
employment positions as specified in division (A)(3) of this3023
section.3024

       (3) The term and percentage of the tax credit, and the first 3025
year for which the credit may be claimed.3026

       (4) A requirement that the taxpayer maintain operations at3027
the project site for at least twice the number of years as the3028
term of the credit.3029

       (5) A requirement that the taxpayer retain a specified number 3030
of full-time employment positions at the project site and within 3031
this state for the term of the credit, including a requirement 3032
that the taxpayer continue to employ at least one thousand 3033
employees in full-time employment positions at the project site 3034
during the entire term of any agreement, subject to division 3035
(E)(7) of this section.3036

       (6) A requirement that the taxpayer annually report to the3037
director of development the number of full-time employment3038
positions subject to the credit, the amount of tax withheld from3039
employees in those positions, the amount of the payments made for3040
the capital investment project, and any other information the3041
director needs to perform the director's duties under this3042
section.3043

       (7) A requirement that the director of development annually3044
review the annual reports of the taxpayer to verify the3045
information reported under division (E)(6) of this section and3046
compliance with the agreement. Upon verification, the director3047
shall issue a certificate to the taxpayer stating that the3048
information has been verified and identifying the amount of the3049
credit for the taxable year. Unless otherwise specified by the tax 3050
credit authority in a resolution and included as part of the 3051
agreement, the director shall not issue a certificate for any year 3052
in which the total number of filled full-time employment positions 3053
for each day of the calendar year divided by three hundred 3054
sixty-five is less than ninety per cent of the full-time 3055
employment positions specified in division (E)(5) of this section. 3056
In determining the number of full-time employment positions, no 3057
position shall be counted that is filled by an employee who is 3058
included in the calculation of a tax credit under section 122.17 3059
of the Revised Code.3060

       (8)(a) A provision requiring that the taxpayer, except as3061
otherwise provided in division (E)(8)(b) of this section, shall3062
not relocate employment positions from elsewhere in this state to3063
the project site that is the subject of the agreement for the3064
lesser of five years from the date the agreement is entered into3065
or the number of years the taxpayer is entitled to claim the3066
credit.3067

       (b) The taxpayer may relocate employment positions from3068
elsewhere in this state to the project site that is the subject of3069
the agreement if the director of development determines both of3070
the following:3071

       (i) That the site from which the employment positions would3072
be relocated is inadequate to meet market and industry conditions,3073
expansion plans, consolidation plans, or other business3074
considerations affecting the taxpayer;3075

       (ii) That the legislative authority of the county, township,3076
or municipal corporation from which the employment positions would3077
be relocated has been notified of the relocation.3078

       For purposes of this section, the movement of an employment3079
position from one political subdivision to another political3080
subdivision shall be considered a relocation of an employment3081
position unless the movement is confined to the project site. The3082
transfer of an individual employee from one political subdivision3083
to another political subdivision shall not be considered a3084
relocation of an employment position as long as the individual's3085
employment position in the first political subdivision is3086
refilled.3087

       (9) A waiver by the taxpayer of any limitations periods3088
relating to assessments or adjustments resulting from the3089
taxpayer's failure to comply with the agreement.3090

       (F) If a taxpayer fails to meet or comply with any condition3091
or requirement set forth in a tax credit agreement, the tax credit3092
authority may amend the agreement to reduce the percentage or term3093
of the credit. The reduction of the percentage or term shall take3094
effect (1) in the taxable year immediately following the taxable 3095
year in which the authority amends the agreement or the director 3096
of development notifies the taxpayer in writing of such failure, 3097
or (2) in the first tax period beginning in the calendar year 3098
immediately following the calendar year in which the authority 3099
amends the agreement or the director notifies the taxpayer in 3100
writing of such failure. If the taxpayer fails to annually report 3101
any of the information required by division (E)(6) of this section 3102
within the time required by the director, the reduction of the 3103
percentage or term may take effect in the current taxable year. If 3104
the taxpayer relocates employment positions in violation of the 3105
provision required under division (D)(8)(a) of this section, the 3106
taxpayer shall not claim the tax credit under section 5733.0610 of 3107
the Revised Code for any tax years following the calendar year in3108
which the relocation occurs, shall not claim the tax credit under 3109
section 5747.058 of the Revised Code for the taxable year in which 3110
the relocation occurs and any subsequent taxable years, and shall 3111
not claim the tax credit under division (A) of section 5751.50 of 3112
the Revised Code for the tax period in which the relocation occurs 3113
and any subsequent tax periods.3114

       (G) Financial statements and other information submitted to3115
the department of development or the tax credit authority by an3116
applicant for or recipient of a tax credit under this section, and3117
any information taken for any purpose from such statements or3118
information, are not public records subject to section 149.43 of3119
the Revised Code. However, the chairperson of the authority may3120
make use of the statements and other information for purposes of3121
issuing public reports or in connection with court proceedings3122
concerning tax credit agreements under this section. Upon the3123
request of the tax commissioner, the chairperson of the authority3124
shall provide to the commissioner any statement or other3125
information submitted by an applicant for or recipient of a tax3126
credit in connection with the credit. The commissioner shall3127
preserve the confidentiality of the statement or other3128
information.3129

       (H) A taxpayer claiming a tax credit under this section shall 3130
submit to the tax commissioner a copy of the director of3131
development's certificate of verification under division (E)(7) of3132
this section with the taxpayer's tax report or return for the 3133
taxable year or for the calendar year that includes the tax 3134
period. Failure to submit a copy of the certificate with the 3135
report or return does not invalidate a claim for a credit if the 3136
taxpayer submits a copy of the certificate to the commissioner 3137
within sixty days after the commissioner requests it.3138

       (I) For the purposes of this section, a taxpayer may include3139
a partnership, a corporation that has made an election under3140
subchapter S of chapter one of subtitle A of the Internal Revenue3141
Code, or any other business entity through which income flows as a3142
distributive share to its owners. A tax credit received under this 3143
section by a partnership, S-corporation, or other such business 3144
entity shall be apportioned amongmay elect to pass the credit 3145
received under this section through to the persons to whom the3146
income or profit of the partnership, S-corporation, or other3147
entity is distributed,. The election shall be made on the annual 3148
report required under division (E)(6) of this section. The 3149
election applies to and is irrevocable for the credit for which 3150
the report is submitted. If the election is made, the credit shall 3151
be apportioned among those persons in the same proportions as 3152
those in which the income or profit is distributed.3153

       (J) If the director of development determines that a taxpayer 3154
that received a tax credit under this section is not complying 3155
with the requirement under division (E)(4) of this section, the3156
director shall notify the tax credit authority of the3157
noncompliance. After receiving such a notice, and after giving the 3158
taxpayer an opportunity to explain the noncompliance, the3159
authority may terminate the agreement and require the taxpayer to3160
refund to the state all or a portion of the credit claimed in3161
previous years, as follows:3162

        (1) If the taxpayer maintained operations at the project site 3163
for less than the term of the credit, the amount required to be 3164
refunded shall not exceed the amount of any tax credits previously 3165
allowed and received under this section.3166

        (2) If the taxpayer maintained operations at the project site 3167
longer than the term of the credit but less than one and one-half 3168
times the term of the credit, the amount required to be refunded 3169
shall not exceed fifty per cent of the sum of any tax credits 3170
previously allowed and received under this section.3171

        (3) If the taxpayer maintained operations at the project site 3172
for at least one and one-half times the term of the credit but 3173
less than twice the term of the credit, the amount required to be 3174
refunded shall not exceed twenty-five per cent of the sum of any 3175
tax credits previously allowed and received under this section.3176

       In determining the portion of the credit to be refunded to3177
this state, the authority shall consider the effect of market3178
conditions on the taxpayer's project and whether the taxpayer3179
continues to maintain other operations in this state. After making 3180
the determination, the authority shall certify the amount to be 3181
refunded to the tax commissioner. The commissioner shall make an 3182
assessment for that amount against the taxpayer under Chapter 3183
5733., 5747., or 5751. of the Revised Code. The time limitations3184
on assessments under those chapters do not apply to an assessment 3185
under this division, but the commissioner shall make the 3186
assessment within one year after the date the authority certifies 3187
to the commissioner the amount to be refunded.3188

       If the director of development determines that a taxpayer3189
that received a tax credit under this section has reduced the3190
number of employees agreed to under division (E)(5) of this3191
section by more than ten per cent, the director shall notify the3192
tax credit authority of the noncompliance. After receiving such3193
notice, and after providing the taxpayer an opportunity to explain3194
the noncompliance, the authority may amend the agreement to reduce3195
the percentage or term of the tax credit. The reduction in the3196
percentage or term shall take effect in the taxable year, or in 3197
the calendar year that includes the tax period, in which the 3198
authority amends the agreement.3199

       (K) The director of development, after consultation with the3200
tax commissioner and in accordance with Chapter 119. of the3201
Revised Code, shall adopt rules necessary to implement this3202
section. The rules may provide for recipients of tax credits under 3203
this section to be charged fees to cover administrative costs of 3204
the tax credit program. The fees collected shall be credited to 3205
the tax incentive programs operating fund created in section 3206
122.174 of the Revised Code. At the time the director gives public 3207
notice under division (A) of section 119.03 of the Revised Code of 3208
the adoption of the rules, the director shall submit copies of the 3209
proposed rules to the chairpersons of the standing committees on 3210
economic development in the senate and the house of3211
representatives.3212

       (L) On or before the thirty-first day of March of each year,3213
the director of development shall submit a report to the governor,3214
the president of the senate, and the speaker of the house of3215
representatives on the tax credit program under this section. The3216
report shall include information on the number of agreements that3217
were entered into under this section during the preceding calendar3218
year, a description of the project that is the subject of each3219
such agreement, and an update on the status of projects under3220
agreements entered into before the preceding calendar year.3221

       (M)(1) A nonrefundable credit shall be allowed to an 3222
applicable corporation and its related members in an amount equal 3223
to the applicable difference. The credit is in addition to the 3224
credit granted to the corporation or related members under 3225
division (B) of this section. The credit is subject to divisions 3226
(B) to (E) and division (J) of this section.3227

       (2) A person qualifying as an applicable corporation under 3228
this section for a tax year does not necessarily qualify as an 3229
applicable corporation for any other tax year. No person is 3230
entitled to the credit allowed under division (M) of this section 3231
for the tax year immediately following the taxable year during 3232
which the person fails to meet the requirements in divisions 3233
(A)(6)(a)(i) and (A)(6)(b) of this section. No person is entitled 3234
to the credit allowed under division (M) of this section for any 3235
tax year for which the person is not eligible for the credit 3236
provided under division (B) of this section.3237

       Sec. 122.174.  There is hereby created in the state treasury 3238
the tax incentive programs operating fund. Money collected 3239
pursuant to division (I) of section 121.17, division (K) of 3240
section 122.171, division (C) of section 3735.672, and division 3241
(C) of section 5709.68 of the Revised Code shall be credited to 3242
the fund. The director of development shall use money in the fund 3243
to pay expenses related to the administration of the tax credit 3244
programs authorized by sections 122.17, 122.171, 3735.672, and 3245
5709.68 of the Revised Code.3246

       Sec. 122.602.  (A) There is hereby created in the department3247
of development the capital access loan program to assist3248
participating financial institutions in making program loans to3249
eligible businesses that face barriers in accessing working3250
capital and obtaining fixed asset financing. In administering the3251
program, the director of development may do any of the following:3252

       (1) Receive and accept grants, gifts, and contributions of3253
money, property, labor, and other things of value to be held,3254
used, and applied only for the purpose for which the grants,3255
gifts, and contributions are made, from individuals, private and3256
public corporations, the United States or any agency of the United3257
States, the state or any agency of the state, or any political3258
subdivision of the state;3259

       (2) Agree to repay any contribution of money or return any3260
property contributed or the value of that property at the times,3261
in the amounts, and on the terms and conditions, excluding the3262
payment of interest, that the director consents to at the time a3263
contribution is made; and evidence obligations by notes, bonds, or3264
other written instruments;3265

       (3) Adopt rules under Chapter 119. of the Revised Code to3266
carry out the purposes of the program specified in sections 122.603267
to 122.605 of the Revised Code;3268

       (4) Engage in all other acts, and enter into contracts and3269
execute all instruments, necessary or appropriate to carry out the3270
purposes specified in sections 122.60 to 122.605 of the Revised3271
Code.3272

       (B) The director shall determine the eligibility of a3273
financial institution to participate in the program and may set a3274
limit on the number of financial institutions that may participate3275
in the program.3276

       (C) To be considered eligible by the director to participate3277
in the program, a financial institution shall enter into a3278
participation agreement with the department that sets out the3279
terms and conditions under which the department will deposit3280
moneys from the fund into the financial institution's program3281
reserve account, specifies the criteria for loan qualification3282
under the program, and contains any additional terms the director3283
considers necessary.3284

       (D) After receiving the certification required under division3285
(C) of section 122.603 of the Revised Code, the director may 3286
disburse moneys from the fund to a participating financial3287
institution for deposit in its program reserve account if the3288
director determines that the capital access loan involved meets3289
all of the following criteria:3290

       (1) It will be made to an eligible business.3291

       (2) It will be used by the eligible business for a project,3292
activity, or enterprise that fosters economic development.3293

       (3) It will not be made in order to enroll in the program3294
prior debt that is not covered under the program and that is owed3295
or was previously owed by an eligible business to the financial3296
institution.3297

       (4) It will not be utilized for a project or development3298
related to the on-site construction or purchase of residential3299
housing.3300

       (5) It will not be used to finance passive real estate3301
ownership.3302

       (6) It conforms to the requirements of divisions (E), (F),3303
(G), (H), and (I) of this section, and to the rules adopted by the3304
director under division (A)(3) of this section.3305

       (E) The director shall not approve a capital access loan to3306
an eligible business that exceeds two hundred fifty thousand3307
dollars for working capital or five hundred thousand dollars for3308
the purchase of fixed assets. An eligible business may apply for3309
the maximum amount of both working capital and the purchase of3310
fixed assets in the same capital access loan.3311

       (F) A financial institution may apply to the director for the3312
approval of a capital access loan to any business that is owned or3313
operated by a person that has previously defaulted under any state3314
financial assistance program.3315

       (G) Eligible businesses that apply for a capital access loan3316
shall comply with section 9.66 of the Revised Code.3317

       (H) A financial institution may apply to the director for the3318
approval of a capital access loan that refinances a nonprogram3319
loan made by another financial institution.3320

       (I) The director shall not approve a capital access loan that3321
refinances a nonprogram loan made by the same financial3322
institution, unless the amount of the refinanced loan exceeds the3323
existing debt, in which case only the amount exceeding the3324
existing debt is eligible for a loan under the program.3325

       (J) The director shall not approve any capital access loan3326
made after June 30, 2007, or enter into a participation agreement3327
with any financial institution after that date.3328

       Sec. 124.152.  (A)(1) Except as provided in divisions (A)(2) 3329
and (3) of this section, each exempt employee shall be paid a 3330
salary or wage in accordance with schedule E-1 or schedule E-2 of 3331
division (B), (C), or (D) of this section, as applicable.3332

       (2) Each exempt employee who holds a position in the 3333
unclassified civil service pursuant to division (A)(26) or (30) of 3334
section 124.11 of the Revised Code may be paid a salary or wage in 3335
accordance with schedule E-1, schedule E-1 for step seven only, or 3336
schedule E-2 of division (B) or, (C), (D), (E), (F), or (G) of 3337
this section, as applicable.3338

       (3)(a) Except as provided in division (A)(3)(b) of this 3339
section, each exempt employee who was paid a salary or wage at 3340
step 7 in the employee's pay range on June 28, 2003, in accordance 3341
with the applicable schedule E-1 of former section 124.152 of the 3342
Revised Code and who continued to be so paid on June 29, 2003, 3343
shall be paid a salary or wage in the corresponding pay range in 3344
schedule E-1 for step seven only of division (C)(E), (F), or (G)3345
of this section, as applicable, for as long as the employee 3346
remains in the position the employee held as of July 1, 2003.3347

       (b) Except as provided in division (A)(3)(c) of this section, 3348
if an exempt employee who is being paid a salary or wage in 3349
accordance with schedule E-1 for step seven only of division 3350
(C)(E), (F), or (G) of this section, as applicable, moves to 3351
another position, the employee shall not receive a salary or wage 3352
for that position or any other position in the future in 3353
accordance with that schedule.3354

        (c) If an exempt employee who is being paid a salary or wage 3355
in accordance with schedule E-1 for step seven only of division 3356
(C)(E), (F), or (G) of this section, as applicable, moves to 3357
another position assigned to pay range 12 or above, the appointing 3358
authority has the discretion tomay assign the employee to be paid 3359
a salary or wage in the appropriate pay range for that position in 3360
accordance with the applicable schedule E-1 for step seven only, 3361
provided that the appointing authority so notifies the director of 3362
administrative services in writing at the time the employee is 3363
appointed to that position.3364

        (B) Beginning on the first day of the pay period that3365
includes July 1, 2006, each exempt employee who must be paid in 3366
accordance with schedule E-1 or schedule E-2 of this section shall3367
be paid a salary or wage in accordance with the following schedule 3368
of rates:3369

Schedule E-13370

Pay Ranges and Step Values
3371

Step Step Step Step Step Step 3372
Range 1 2 3 4 5 6 3373
1 Hourly 9.40 9.82 10.24 10.68 3374
Annually 19552 20426 21299 22214 3375
2 Hourly 11.40 11.88 12.40 12.94 3376
Annually 23712 24710 25792 26915 3377
3 Hourly 11.94 12.48 13.03 13.60 3378
Annually 24835 25958 27102 28288 3379
4 Hourly 12.54 13.10 13.72 14.34 3380
Annually 26083 27248 28538 29827 3381
5 Hourly 13.15 13.75 14.34 14.97 3382
Annually 27352 28600 29827 31138 3383
6 Hourly 13.86 14.43 15.07 15.69 3384
Annually 28829 30014 31346 32635 3385
7 Hourly 14.72 15.27 15.88 16.44 17.08 3386
Annually 30618 31762 33030 34195 35526 3387
8 Hourly 15.56 16.24 16.95 17.71 18.46 3388
Annually 32365 33779 35256 36837 38397 3389
9 Hourly 16.60 17.46 18.32 19.23 20.21 3390
Annually 34528 36317 38106 39998 42037 3391
10 Hourly 17.91 18.89 19.90 21.05 22.18 3392
Annually 37253 39291 41392 43784 46134 3393
11 Hourly 19.50 20.64 21.84 23.06 24.38 3394
Annually 40560 42931 45427 47965 50710 3395
12 Hourly 21.51 22.72 23.94 25.27 26.68 28.13 3396
Annually 44741 47258 49795 52562 55494 58510 3397
13 Hourly 23.71 25.01 26.39 27.80 29.36 30.96 3398
Annually 49317 52021 54891 57824 61069 64397 3399
14 Hourly 26.08 27.55 29.03 30.62 32.35 34.15 3400
Annually 54246 57304 60382 63690 67288 71032 3401
15 Hourly 28.64 30.25 31.96 33.72 35.59 37.55 3402
Annually 59571 62920 66477 70138 74027 78104 3403
16 Hourly 31.58 33.33 35.17 37.14 39.19 41.43 3404
Annually 65686 69326 73154 77251 81515 86174 3405
17 Hourly 34.80 36.72 38.78 40.92 43.20 45.61 3406
Annually 72384 76378 80662 85114 89856 94869 3407
18 Hourly 38.35 40.47 42.75 45.10 47.60 50.26 3408
Annually 79768 84178 88920 93808 99008 104541 3409

Schedule E-23410

Range Minimum Maximum 3411
41 Hourly 16.23 34.77 3412
Annually 33758 72322 3413
42 Hourly 17.89 38.41 3414
Annually 37211 79893 3415
43 Hourly 19.70 42.30 3416
Annually 40976 87984 3417
44 Hourly 21.73 46.21 3418
Annually 45198 96117 3419
45 Hourly 24.01 50.44 3420
Annually 49941 104915 3421
46 Hourly 26.43 55.13 3422
Annually 54974 114670 3423
47 Hourly 29.14 60.16 3424
Annually 60611 125133 3425
48 Hourly 32.14 65.65 3426
Annually 66851 136552 3427
49 Hourly 35.44 70.89 3428
Annually 73715 147451 3429

       (C) Beginning on the first day of the pay period that 3430
includes July 1, 2007, each exempt employee who must be paid in 3431
accordance with schedule E-1 or schedule E-2 of this section shall 3432
be paid a salary or wage in accordance with the following schedule 3433
of rates:3434

Step Step Step Step Step Step 3435
Range 1 2 3 4 5 6 3436
1 Hourly 9.73 10.16 10.60 11.05 3437
Annually 20238 21133 22048 22984 3438
2 Hourly 11.80 12.30 12.83 13.39 3439
Annually 24544 25584 26686 27851 3440
3 Hourly 12.36 12.92 13.49 14.08 3441
Annually 25709 26874 28059 29286 3442
4 Hourly 12.98 13.56 14.20 14.84 3443
Annually 26998 28205 29536 30867 3444
5 Hourly 13.61 14.23 14.84 15.49 3445
Annually 28309 29598 30867 32219 3446
6 Hourly 14.35 14.94 15.60 16.24 3447
Annually 29848 31075 32448 33779 3448
7 Hourly 15.24 15.80 16.44 17.02 17.68 3449
Annually 31699 32864 34195 35402 36774 3450
8 Hourly 16.10 16.81 17.54 18.33 19.11 3451
Annually 33488 34965 36483 38126 39749 3452
9 Hourly 17.18 18.07 18.96 19.90 20.92 3453
Annually 35734 37586 39437 41392 43514 3454
10 Hourly 18.54 19.55 20.60 21.79 22.96 3455
Annually 38563 40664 42848 45323 47757 3456
11 Hourly 20.18 21.36 22.60 23.87 25.23 3457
Annually 41974 44429 47008 49650 52478 3458
12 Hourly 22.26 23.52 24.78 26.15 27.61 29.11 3459
Annually 46301 48922 51542 54392 57429 60549 3460
13 Hourly 24.54 25.89 27.31 28.77 30.39 32.04 3461
Annually 51043 53851 56805 59842 63211 66643 3462
14 Hourly 26.99 28.51 30.05 31.69 33.48 35.35 3463
Annually 56139 59301 62504 65915 69638 73528 3464
15 Hourly 29.64 31.31 33.08 34.90 36.84 38.86 3465
Annually 61651 65125 68806 72592 76627 80829 3466
16 Hourly 32.69 34.50 36.40 38.44 40.56 42.88 3467
Annually 67995 71760 75712 79955 84365 89190 3468
17 Hourly 36.02 38.01 40.14 42.35 44.71 47.21 3469
Annually 74922 79061 83491 88088 92997 98197 3470
18 Hourly 39.69 41.89 44.25 46.68 49.27 52.02 3471
Annually 82555 87131 92040 97094 102482 108202 3472



Range Minimum Maximum 3474
41 Hourly 16.23 35.99 3475
Annually 33758 74859 3476
42 Hourly 17.89 39.75 3477
Annually 37211 82680 3478
43 Hourly 19.70 43.78 3479
Annually 40976 91062 3480
44 Hourly 21.73 47.83 3481
Annually 45198 99486 3482
45 Hourly 24.01 52.21 3483
Annually 49941 108597 3484
46 Hourly 26.43 57.06 3485
Annually 54974 118685 3486
47 Hourly 29.14 62.27 3487
Annually 60611 129522 3488
48 Hourly 32.14 67.95 3489
Annually 66851 141336 3490
49 Hourly 35.44 73.37 3491
Annually 73715 152610 3492

       (D) Beginning on the first day of the pay period that 3493
includes July 1, 2008, each exempt employee who must be paid in 3494
accordance with schedule E-1 or schedule E-2 of this section shall 3495
be paid a salary or wage in accordance with the following schedule 3496
of rates:3497

Step Step Step Step Step Step 3498
Range 1 2 3 4 5 6 3499
1 Hourly 10.07 10.52 10.97 11.44 3500
Annually 20946 21882 22818 23795 3501
2 Hourly 12.21 12.73 13.28 13.86 3502
Annually 25397 26478 27622 28829 3503
3 Hourly 12.79 13.37 13.96 14.57 3504
Annually 26603 27810 29037 30306 3505
4 Hourly 13.43 14.03 14.70 15.36 3506
Annually 27934 29182 30576 31949 3507
5 Hourly 14.09 14.73 15.36 16.03 3508
Annually 29307 30638 31949 33342 3509
6 Hourly 14.85 15.46 16.15 16.81 3510
Annually 30888 32157 33592 34965 3511
7 Hourly 15.77 16.35 17.02 17.62 18.30 3512
Annually 32802 34008 35402 36650 38064 3513
8 Hourly 16.66 17.40 18.15 18.97 19.78 3514
Annually 34653 36192 37752 39458 41142 3515
9 Hourly 17.78 18.70 19.62 20.60 21.65 3516
Annually 36982 38896 40810 42848 45032 3517
10 Hourly 19.19 20.23 21.32 22.55 23.76 3518
Annually 39915 42078 44346 46904 49421 3519
11 Hourly 20.89 22.11 23.39 24.71 26.11 3520
Annually 43451 45989 48651 51397 54309 3521
12 Hourly 23.04 24.34 25.65 27.07 28.58 30.13 3522
Annually 47923 50627 53352 56306 59446 62670 3523
13 Hourly 25.40 26.80 28.27 29.78 31.45 33.16 3524
Annually 52832 55744 58802 61942 65416 68973 3525
14 Hourly 27.93 29.51 31.10 32.80 34.65 36.59 3526
Annually 58094 61381 64688 68224 72072 76107 3527
15 Hourly 30.68 32.41 34.24 36.12 38.13 40.22 3528
Annually 63814 67413 71219 75130 79310 83658 3529
16 Hourly 33.83 35.71 37.67 39.79 41.98 44.38 3530
Annually 70366 74277 78354 82763 87318 92310 3531
17 Hourly 37.28 39.34 41.54 43.83 46.27 48.86 3532
Annually 77542 81827 86403 91166 96242 101629 3533
18 Hourly 41.08 43.36 45.80 48.31 50.99 53.84 3534
Annually 85446 90189 95264 100485 106059 111987 3535



Range Minimum Maximum 3537
41 Hourly 16.23 37.25 3538
Annually 33758 77480 3539
42 Hourly 17.89 41.14 3540
Annually 37211 85571 3541
43 Hourly 19.70 45.31 3542
Annually 40976 94245 3543
44 Hourly 21.73 49.50 3544
Annually 45198 102960 3545
45 Hourly 24.01 54.04 3546
Annually 49941 112403 3547
46 Hourly 26.43 59.06 3548
Annually 54974 122845 3549
47 Hourly 29.14 64.45 3550
Annually 60611 134056 3551
48 Hourly 32.14 70.33 3552
Annually 66851 146286 3553
49 Hourly 35.44 75.94 3554
Annually 73715 157955 3555

       (E) Beginning on the first day of the pay period that 3556
includes July 1, 2006, each exempt employee who must be paid in 3557
accordance with schedule E-1 for step seven only shall be paid a 3558
salary or wage in accordance with the following schedule of rates:3559

Schedule E-1 for Step Seven Only3560

Pay Ranges and Step Seven Values
3561

Range 3562
12 Hourly 29.68 3563
Annually 61734 3564
13 Hourly 32.66 3565
Annually 67933 3566
14 Hourly 36.01 3567
Annually 74901 3568
15 Hourly 39.61 3569
Annually 82389 3570
16 Hourly 43.70 3571
Annually 90896 3572
17 Hourly 48.13 3573
Annually 100110 3574
18 Hourly 53.02 3575
Annually 110282 3576

       (D)(F) Beginning on the first day of the pay period that 3577
includes July 1, 2007, each exempt employee who must be paid in 3578
accordance with schedule E-1 for step seven only shall be paid a 3579
salary or wage in accordance with the following schedule of rates:3580

Range 3581
12 Hourly 30.72 3582
Annually 63898 3583
13 Hourly 33.80 3584
Annually 70304 3585
14 Hourly 37.27 3586
Annually 77522 3587
15 Hourly 41.00 3588
Annually 85280 3589
16 Hourly 45.23 3590
Annually 94078 3591
17 Hourly 49.81 3592
Annually 103605 3593
18 Hourly 54.88 3594
Annually 114150 3595

       (G) Beginning on the first day of the pay period that 3596
includes July 1, 2008, each exempt employee who must be paid in 3597
accordance with salary schedule E-1 for step seven only shall be 3598
paid a salary or wage in accordance with the following schedule of 3599
rates:3600

Range 3601
12 Hourly 31.80 3602
Annually 66144 3603
13 Hourly 34.98 3604
Annually 72758 3605
14 Hourly 38.57 3606
Annually 80226 3607
15 Hourly 42.44 3608
Annually 88275 3609
16 Hourly 46.81 3610
Annually 97365 3611
17 Hourly 51.55 3612
Annually 107224 3613
18 Hourly 56.80 3614
Annually 118144 3615

       (H) As used in this section, "exempt employee" means a3616
permanent full-time or permanent part-time employee paid directly3617
by warrant of the director of budget and management whose position 3618
is included in the job classification plan established under 3619
division (A) of section 124.14 of the Revised Code but who is not 3620
considered a public employee for the purposes of Chapter 4117. of 3621
the Revised Code. As used in this section, "exempt employee" also 3622
includes a permanent full-time or permanent part-time employee of 3623
the secretary of state, auditor of state, treasurer of state, or3624
attorney general who has not been placed in an appropriate3625
bargaining unit by the state employment relations board.3626

       Sec. 125.45.  The department of administrative services shall 3627
maintain facilities to perform office reproduction services for 3628
all boards, commissions, or departments except for the bureau of 3629
workers' compensation. Upon written application to the department 3630
of administrative services, permission may be granted to a board, 3631
commission, or department to perform such services outside the 3632
central facility and such permission shall state the extent of the 3633
services which the department, board, or commission shall perform.3634

       Office reproduction services using stencils, masters, or3635
plates are restricted to duplicating equipment not larger than3636
seventeen by twenty-two inches. Not to exceed five thousand press 3637
impressions shall be produced of any such order except that up to 3638
one thousand production copies may be produced of any item3639
consisting of multiple pages and except that over five thousand, 3640
but not more than ten thousand, press impressions may be produced 3641
if the director of administrative services determines that there 3642
is an emergency due to the timing of service delivery or another 3643
factor that may cause financial hardship to the state.3644

       Nothing in this section precludes the bureau from entering3645
into a contract with the department of administrative services for 3646
the department to perform office reproduction services for the 3647
bureau.3648

       Neither the department nor any otherNo state agency, other 3649
than the department of administrative services, shall perform 3650
printing or office reproduction services for political 3651
subdivisions.3652

       Sec. 125.93.  The state forms management program shall do 3653
each of the following:3654

       (A) Assist state agencies in establishing internal forms3655
management capabilities;3656

       (B) Study, develop, coordinate, and initiate forms of3657
interagency and common administrative usage, and establish basic3658
design and specification criteria to standardize state forms;3659

       (C) Assist state agencies to design economical forms;3660

       (D)(C) Assist, train, and instruct state agencies and their3661
forms management representatives in forms management techniques,3662
and provide direct forms management assistance to new state3663
agencies as they are created;3664

       (E) Maintain a central forms repository of all state forms to3665
facilitate standardization of the forms, eliminate redundant3666
forms, and provide a central source of information on forms usage3667
and availability.3668

       Sec. 125.96.  The director of administrative services may3669
adopt, amend, or rescind rules necessary to carry out the powers3670
and duties imposed upon the state forms management program and 3671
state agencies by sections 125.92 to 125.98 of the Revised Code. 3672
The director shall adopt, and may amend or rescind, rules3673
providing each of the following:3674

       (A) After a date to be determined by the state forms 3675
management program, no state agency shall utilize any form, other 3676
than a form subject to division (B) of section 125.95 of the 3677
Revised Code, the management of which has not been delegated to 3678
the agency by the program under division (A) of that section or 3679
been approved by the program.3680

       (B) The notice required by section 125.97 of the Revised Code 3681
shall appear in a standard place and a standard manner on each 3682
form to which the notice applies, and shall include specified 3683
indicia of approval by the state forms management program.3684

       (C) Any form required by a state agency on an emergency basis 3685
may be given interim approval by the state forms management 3686
program if the form is accompanied by a letter from the director 3687
or other head of the agency setting forth the nature of the 3688
emergency and requesting interim approval.3689

       Sec. 125.97.  All forms, other than those forms subject to 3690
division (B) of section 125.95 of the Revised Code, used to obtain 3691
information from private business, agriculture, or local 3692
governments, except those forms used by the tax commissioner for 3693
administration of taxes and programs, shall contain a conspicuous 3694
notice on the first page setting forth the authorization for the 3695
form and stating whether providing the information sought is 3696
required or voluntary, and any penalties that apply to failure to 3697
provide the information.3698

       Sec. 125.98.  (A) Each state agency shall appoint a forms3699
management representative, who may be from existing personnel. The 3700
appointee shall cooperate with, and provide other necessary 3701
assistance to, the director of administrative services and the 3702
state forms management program in implementing the program. A 3703
forms management representative shall do all of the following:3704

       (1) Manage the agency's forms management program and 3705
cooperate with and provide other necessary assistance to the 3706
director of administrative services in implementing the state 3707
forms management program;3708

       (2) Monitor the use and reproduction of all forms to ensure 3709
that all policies, procedures, guidelines, and standards 3710
established by the agency and the director of administrative 3711
services are followed;3712

       (3) Ensure that every form used by the agency is presented to 3713
the state forms management program for registration prior to its 3714
reproduction;3715

       (4) Maintain a master forms file history file, in numeric 3716
order, of all agency forms;3717

       (5) Verify and update theall historical information on all 3718
forms in the agency's central forms repository database.3719

       (B) Any state agency, as defined in section 1.60 of the 3720
Revised Code, not included within the definition of a state agency 3721
in section 125.91 of the Revised Code may elect to participate in 3722
the state forms management program. The program may provide to any 3723
such agency any service required or authorized by sections 125.92 3724
to 125.98 of the Revised Code to be performed for a state agency.3725

       Sec. 126.07. NoExcept as provided in division (B) of 3726
section 126.21 of the Revised Code, no contract, agreement, or 3727
obligation involving the expenditure of money chargeable to an3728
appropriation, nor any resolution or order for the expenditure of3729
money chargeable to an appropriation, shall be valid and3730
enforceable unless the director of budget and management first3731
certifies that there is a balance in the appropriation not already 3732
obligated to pay existing obligations, in an amount at least equal 3733
to the portion of the contract, agreement, obligation, resolution, 3734
or order to be performed in the current fiscal year. Any written3735
contract or agreement entered into by the state shall contain a3736
clause stating that the obligations of the state are subject to3737
this section.3738

       The chief administrative officer of a state agency is 3739
responsible for the preaudit and approval of expenditures and 3740
other transactions of the agency. In order to makeinitiate the 3741
making of a payment from the state treasury, the person in a state3742
agency who requests that the payment be made shall first submit to 3743
the directorchief administrative officer of the agency all 3744
invoices, claims, vouchers, and other evidentiary matter3745
documentation related to the payment. If the director approves 3746
payment to be made, the director shall draw a warrant as provided 3747
in section 126.35 of the Revised Code.The chief administrative 3748
officer shall examine each voucher and all other documentation 3749
required to support the voucher and determine whether they meet 3750
all the requirements established by the director of budget and 3751
management for making the payment. If they do meet those 3752
requirements, the chief administrative officer shall certify to 3753
the director the approval of the chief administrative officer for 3754
payment.3755

        Prior to drawing a warrant as provided in section 126.35 of 3756
the Revised Code, the director may review and audit the voucher, 3757
any documentation accompanying the voucher, and any other 3758
documentation related to the transaction that the director may 3759
require to determine if the transaction is in accordance with law.3760
The director shall not approve payment to be made if the director 3761
finds that there is not an unobligated balance in the 3762
appropriation for the payment, that the payment is not for a valid 3763
claim against the state that is legally due, or that insufficient 3764
evidentiary matterdocumentation has been submitted. If the 3765
director does not approve payment, the director shall notify the 3766
agency of the reasons the director has not given approval.3767

       In approving payments to be made under this section, the3768
director, upon receipt of certification from the director of job 3769
and family services pursuant to section 4141.231 of the Revised 3770
Code, shall withhold from amounts otherwise payable to a person 3771
who is the subject of the director of jobs and family services'3772
certification, the amount certified to be due and unpaid to the3773
director of job and family services, and shall approve for payment 3774
to the director of job and family services, the amount withheld.3775

       As used in this section and in section 126.21 of the Revised 3776
Code, "chief administrative officer" means either of the 3777
following:3778

       (A) The director of the agency or, in the case of a state 3779
agency without a director, the equivalent officer of that agency;3780

       (B) The designee of the chief administrative officer for the 3781
purposes of such sections.3782

       Sec. 126.08.  The director of budget and management may3783
exercise control over the financial transactions of state3784
agencies, including approving, disapproving, voiding, or 3785
invalidating encumbrances or transactions, except those in the 3786
judicial and legislative branches, by:3787

       (A) Requiring encumbrancing documents or any other financial 3788
information to be submitted to the director, where such submission 3789
is prescribed by law or where the director considers such 3790
submission necessary to evaluate the legality of a proposedan3791
expenditure, and by approving or disapproving any encumbrance3792
requested, except that the director shall not disapprove any3793
encumbrancing document submitted by the attorney general, auditor3794
of state, secretary of state, or treasurer of state unless there3795
is an insufficient unobligated balance in the appropriation or the 3796
encumbrance does not meet all other legal requirements. Those 3797
portions of an appropriation that are encumbered are not available 3798
for expenditure for any purpose other than that indicated on the 3799
encumbrancing document. If any requirements of the director 3800
regarding the submission of encumbrancing documents or other 3801
financial information are not complied with, or if any3802
encumbrancing document is disapproved in whole or in part, the3803
director shall notify the submitting agency thereof and shall not3804
authorize payment unless the reasons for disapproval are3805
corrected.3806

       (B) Requiring the allocation and allotment of any3807
appropriation by quarter or by any other period of time.3808

       (C) Reporting to the attorney general for such action, civil 3809
or criminal, as the attorney general considers necessary, all 3810
facts showing improper payment of public money or misappropriation 3811
of public property;3812

       (D) By adopting rules for carrying into effect any powers3813
granted by this chapter.3814

       Sec. 126.16.  (A) This section is in implementation of 3815
division (D) of Section 17 of Article VIII, Ohio Constitution, for 3816
purposes of issuing direct obligations of the state subject to 3817
that section.3818

       (B) For purposes of the computation of debt service under3819
Section 17 of Article VIII, Ohio Constitution, there shall be 3820
included debt service payable on bonds that are direct obligations 3821
of the state issued under Article VIII, Ohio Constitution, and on 3822
those bonds anticipated by bond anticipation notes, to the extent 3823
that debt service on those bonds is anticipated to be paid from 3824
the state general revenue fund or net state lottery proceeds. 3825
Examples of bonds the debt service on which is not anticipated to 3826
be paid from either of those sources are bonds of the state issued 3827
for highway purposes pursuant to Section 2i or 2m of Article VIII, 3828
Ohio Constitution, which, although general obligations of the 3829
state, have been and are anticipated to be paid from highway user 3830
receipts and not from the general revenue fund or net state 3831
lottery proceeds.3832

       (C) If there is no separate constitutional or statutory 3833
provision applicable for the purpose, debt service on bonds 3834
anticipated by bond anticipation notes shall be estimated as 3835
provided in division (C) of this section. That amount, to be 3836
certified either by the issuing authority of the particular notes 3837
or by the governor or the governor's designee pursuant to division 3838
(E) of this section, shall be the estimated amount that would have 3839
been payable on bonds maturing serially in each fiscal year after3840
the fiscal year of the issuance of the notes over the maximum 3841
period of maturity for the bonds authorized in the particular3842
governing constitutional or statutory provision, as if those bonds 3843
had been issued without the prior issuance of the notes, and 3844
computed on a substantially level debt service basis applying an 3845
interest rate or rates certified to be market rates at the time of 3846
issuance of the notes.3847

       (D) In the case of bonds issued to refund or retire bonds, 3848
the debt service on the new bonds shall be counted and the debt 3849
service on the bonds being refunded or retired shall not be 3850
counted.3851

       (E) The governor, or the governor's designee for the purpose,3852
shall determine and certify the fiscal year amounts required to be 3853
applied or set aside for payment of debt service, including debt 3854
service on any variable rate bonds, the securities to which that 3855
debt service relates, the total office of budget and management 3856
estimated revenues of the state for the general revenue fund and 3857
from net state lottery proceeds during the particular fiscal year, 3858
and any other financial data necessary or appropriate for the3859
purpose of the computations under division (A) of Section 17 of3860
Article VIII, Ohio Constitution, and this section. Those 3861
determinations and certifications shall be filed with the director 3862
of budget and management, the treasurer of state, and the issuing3863
authority for the particular obligations, at or prior to the time 3864
those securities are issued. The governor's designee for the 3865
purpose may be the director or assistant director of budget and 3866
management, or any employee or official of the governor's office.3867

       (F) For purposes of this section, "securities," "interest or3868
interest equivalent," and "outstanding" have the same meanings as 3869
in section 133.01 of the Revised Code, and "debt service" means 3870
principal, including any mandatory sinking fund deposits and 3871
mandatory redemption payments, and interest or interest equivalent 3872
payable on securities, as those payments are stated to come due 3873
and to be payable.3874

       (G)(1) As used in this division, "avoided obligations" means 3875
direct obligations of the state that are not issued because the 3876
capital facilities they would have financed are instead paid for 3877
with the proceeds of obligations issued under division (C) of 3878
section 183.51 of the Revised Code.3879

       (2) For purposes of computing the limitation on issuing 3880
direct obligations of the state under this section and Section 17 3881
of Article VIII, Ohio Constitution, any avoided obligations shall 3882
be considered as having been issued. The fiscal year amounts that 3883
would have been required to be applied or set aside for payment of 3884
debt service over the maximum period of maturity of the avoided 3885
obligations had the avoided obligations been issued shall be 3886
included in the computations.3887

       Sec. 126.21.  (A) The director of budget and management shall 3888
do all of the following:3889

       (1) Keep all necessary accounting records;3890

       (2) Prescribe and maintain the accounting system of the state 3891
and establish appropriate accounting procedures and charts of 3892
accounts;3893

       (3) Establish procedures for the use of written, electronic,3894
optical, or other communications media for approving and reviewing3895
payment vouchers;3896

       (4) Reconcile, in the case of any variation between the3897
amount of any appropriation and the aggregate amount of items of3898
the appropriation, with the advice and assistance of the state3899
agency affected by it and the legislative service commission,3900
totals so as to correspond in the aggregate with the total3901
appropriation. In the case of a conflict between the item and the3902
total of which it is a part, the item shall be considered the3903
intended appropriation.3904

       (5) Evaluate on an ongoing basis and, if necessary, recommend 3905
improvements to the internal controls used in state agencies;3906

       (6) Authorize the establishment of petty cash accounts. The3907
director of budget and management may withdraw approval for any3908
petty cash account and require the officer in charge to return to3909
the state treasury any unexpended balance shown by the officer's3910
accounts to be on hand. Any officer who is issued a warrant for3911
petty cash shall render a detailed account of the expenditures of3912
the petty cash and shall report when requested the balance of3913
petty cash on hand at any time.3914

       (7) Process orders, invoices, vouchers, claims, and payrolls3915
and prepare financial reports and statements;3916

       (8) Perform extensions, reviews, and compliance checks prior3917
to or after approving a payment as the director considers3918
necessary;3919

       (9) Issue the official comprehensive annual financial report3920
of the state. The report shall cover all funds of the state3921
reporting entity and shall include basic financial statements and3922
required supplementary information prepared in accordance with3923
generally accepted accounting principles and other information as3924
the director provides. All state agencies, authorities,3925
institutions, offices, retirement systems, and other component3926
units of the state reporting entity as determined by the director3927
shall furnish the director whatever financial statements and other3928
information the director requests for the report, in the form, at3929
the times, covering the periods, and with the attestation the3930
director prescribes. The information for state institutions of3931
higher education, as defined in section 3345.011 of the Revised3932
Code, shall be submitted to the directorchancellor by the Ohio 3933
board of regents. The board shall establish a due date by which 3934
each such institution shall submit the information to the board, 3935
but no such date shall be later than one hundred twenty days after 3936
the end of the state fiscal year unless a later date is approved 3937
by the director.3938

       (B) In addition to the director's duties under division (A)3939
of this section, the director of budget and management may3940
establish and administer one or more state payment card programs3941
that permit or require state agencies to use a payment card to3942
purchase equipment, materials, supplies, or services in accordance3943
with guidelines issued by the director. The chief administrative 3944
officer of a state agency that uses a payment card for such 3945
purposes shall ensure that purchases made with the card are made 3946
in accordance with the guidelines issued by the director and do 3947
not exceed the unexpended, unencumbered, unobligated balance in 3948
the appropriation to be charged for the purchase. State agencies 3949
may only participate in only those state payment card programs 3950
that the director establishes pursuant to this section.3951

       (C) In addition to the director's duties under divisions (A) 3952
and (B) of this section, the director may enter into any contract 3953
or agreement necessary for and incidental to the performance of 3954
the director's duties or the duties of the office of budget and 3955
management.3956

       Sec. 126.22.  The director of budget and management may:3957

       (A) Perform accounting services for and design and implement3958
accounting systems with state agencies;3959

       (B) Provide other accounting services, including the 3960
maintenance and periodic auditing of the financial records of and 3961
submission of vouchers by state agencies, provision of assistance 3962
in the analysis of the financial position of state agencies, and3963
preparation and submission of reports;3964

       (C) Change any accounting code appearing in appropriations 3965
acts of the general assembly.3966

       Sec. 126.24. The OAKS support organization fund is hereby 3967
created in the state treasury for the purpose of paying the 3968
operating expenses of the state's enterprise resource planning 3969
system. The fund shall consist of cash transfers from the 3970
accounting and budgeting fund and the human resources services 3971
fund, and other revenues designated to support the operating costs 3972
of the Ohio administrative knowledge system. All investment 3973
earnings of the fund shall be credited to the fund.3974

       Sec. 126.40. There is hereby created in the state treasury 3975
the forgery recovery fund. The fund shall consist of all moneys 3976
collected by the attorney general from the resolution of cases of 3977
fraud or forgery involving warrants issued by the director of the 3978
office of budget and management. The director shall use the fund 3979
to pay costs associated with the reissue of state warrants to 3980
payees whose warrants were fraudulently redeemed.3981

       Sec. 127.14.  The controlling board may, at the request of3982
any state agency or the director of budget and management,3983
authorize, with respect to the provisions of any appropriation3984
act:3985

       (A) Transfers of all or part of an appropriation within but 3986
not between state agencies, except such transfers as the director 3987
of budget and management is authorized by law to make, provided 3988
that no transfer shall be made by the director for the purpose of 3989
effecting new or changed levels of program service not authorized 3990
by the general assembly;3991

       (B) Transfers of all or part of an appropriation from one3992
fiscal year to another;3993

       (C) Transfers of all or part of an appropriation within or3994
between state agencies made necessary by administrative3995
reorganization or by the abolition of an agency or part of an3996
agency;3997

       (D) Transfers of all or part of cash balances in excess of3998
needs from any fund of the state to the general revenue fund or to 3999
such other fund of the state to which the money would have been 4000
credited in the absence of the fund from which the transfers are 4001
authorized to be made, except that the controlling board may not 4002
authorize such transfers from the accrued leave liability fund, 4003
auto registration distribution fund, budget stabilization fund, 4004
development bond retirement fund, facilities establishment fund, 4005
gasoline excise tax fund, general revenue fund, higher education 4006
improvement fund, highway improvement bond retirement fund, 4007
highway obligations bond retirement fund, highway capital4008
improvement fund, highway operating fund, horse racing tax fund, 4009
improvements bond retirement fund, library and local government 4010
supportlibraries fund, liquor control fund, local government4011
communities fund, local transportation improvement program fund,4012
mental health facilities improvement fund, Ohio fairs fund, parks4013
and recreation improvement fund, public improvements bond4014
retirement fund, school district income tax fund, state agency 4015
facilities improvement fund, state and local government highway 4016
distribution fund, state highway safety fund, state lottery fund, 4017
undivided liquor permit fund, Vietnam conflict compensation bond 4018
retirement fund, volunteer fire fighters' dependents fund, 4019
waterways safety fund, wildlife fund, workers' compensation fund, 4020
or any fund not specified in this division that the director of 4021
budget and management determines to be a bond fund or bond 4022
retirement fund;4023

       (E) Transfers of all or part of those appropriations included 4024
in the emergency purposes account of the controlling board;4025

       (F) Temporary transfers of all or part of an appropriation or 4026
other moneys into and between existing funds, or new funds, as may 4027
be established by law when needed for capital outlays for which 4028
notes or bonds will be issued;4029

       (G) Transfer or release of all or part of an appropriation to 4030
a state agency requiring controlling board approval of such4031
transfer or release as provided by law;4032

       (H) Temporary transfer of funds included in the emergency4033
purposes appropriation of the controlling board. Such temporary4034
transfers may be made subject to conditions specified by the4035
controlling board at the time temporary transfers are authorized.4036
No transfers shall be made under this division for the purpose of4037
effecting new or changed levels of program service not authorized4038
by the general assembly.4039

       As used in this section, "request" means an application by a 4040
state agency or the director of budget and management seeking some 4041
action by the controlling board.4042

       When authorizing the transfer of all or part of an 4043
appropriation under this section, the controlling board may 4044
authorize the transfer to an existing appropriation item and the 4045
creation of and transfer to a new appropriation item.4046

       Whenever there is a transfer of all or part of funds included 4047
in the emergency purposes appropriation by the controlling board, 4048
pursuant to division (E) of this section, the state agency or the 4049
director of budget and management receiving such transfer shall 4050
keep a detailed record of the use of the transferred funds. At the 4051
earliest scheduled meeting of the controlling board following the 4052
accomplishment of the purposes specified in the request originally 4053
seeking the transfer, or following the total expenditure of the 4054
transferred funds for the specified purposes, the state agency or 4055
the director of budget and management shall submit a report on the 4056
expenditure of such funds to the board. The portion of any 4057
appropriation so transferred which is not required to accomplish 4058
the purposes designated in the original request to the controlling 4059
board shall be returned to the proper appropriation of the 4060
controlling board at this time.4061

       Notwithstanding any provisions of law providing for the4062
deposit of revenues received by a state agency to the credit of a4063
particular fund in the state treasury, whenever there is a4064
temporary transfer of funds included in the emergency purposes4065
appropriation of the controlling board pursuant to division (H) of 4066
this section, revenues received by any state agency receiving such 4067
a temporary transfer of funds shall, as directed by the4068
controlling board, be transferred back to the emergency purposes4069
appropriation.4070

       The board may delegate to the director of budget and4071
management authority to approve transfers among items of4072
appropriation under division (A) of this section.4073

       Sec. 127.16.  (A) Upon the request of either a state agency4074
or the director of budget and management and after the controlling4075
board determines that an emergency or a sufficient economic reason4076
exists, the controlling board may approve the making of a purchase4077
without competitive selection as provided in division (B) of this4078
section.4079

       (B) Except as otherwise provided in this section, no state4080
agency, using money that has been appropriated to it directly,4081
shall:4082

       (1) Make any purchase from a particular supplier, that would4083
amount to fifty thousand dollars or more when combined with both4084
the amount of all disbursements to the supplier during the fiscal4085
year for purchases made by the agency and the amount of all4086
outstanding encumbrances for purchases made by the agency from the4087
supplier, unless the purchase is made by competitive selection or4088
with the approval of the controlling board;4089

       (2) Lease real estate from a particular supplier, if the4090
lease would amount to seventy-five thousand dollars or more when4091
combined with both the amount of all disbursements to the supplier4092
during the fiscal year for real estate leases made by the agency4093
and the amount of all outstanding encumbrances for real estate4094
leases made by the agency from the supplier, unless the lease is4095
made by competitive selection or with the approval of the4096
controlling board.4097

       (C) Any person who authorizes a purchase in violation of4098
division (B) of this section shall be liable to the state for any4099
state funds spent on the purchase, and the attorney general shall4100
collect the amount from the person.4101

       (D) Nothing in division (B) of this section shall be4102
construed as:4103

       (1) A limitation upon the authority of the director of4104
transportation as granted in sections 5501.17, 5517.02, and4105
5525.14 of the Revised Code;4106

       (2) Applying to medicaid provider agreements under Chapter4107
5111. of the Revised Code or payments or provider agreements under 4108
the disability medical assistance program established under 4109
Chapter 5115. of the Revised Code;4110

       (3) Applying to the purchase of examinations from a sole4111
supplier by a state licensing board under Title XLVII of the4112
Revised Code;4113

       (4) Applying to entertainment contracts for the Ohio state4114
fair entered into by the Ohio expositions commission, provided4115
that the controlling board has given its approval to the4116
commission to enter into such contracts and has approved a total4117
budget amount for such contracts as agreed upon by commission4118
action, and that the commission causes to be kept itemized records4119
of the amounts of money spent under each contract and annually4120
files those records with the clerk of the house of representatives4121
and the clerk of the senate following the close of the fair;4122

       (5) Limiting the authority of the chief of the division of4123
mineral resources management to contract for reclamation work with4124
an operator mining adjacent land as provided in section 1513.27 of4125
the Revised Code;4126

       (6) Applying to investment transactions and procedures of any 4127
state agency, except that the agency shall file with the board the 4128
name of any person with whom the agency contracts to make, broker, 4129
service, or otherwise manage its investments, as well as the 4130
commission, rate, or schedule of charges of such person with4131
respect to any investment transactions to be undertaken on behalf4132
of the agency. The filing shall be in a form and at such times as4133
the board considers appropriate.4134

       (7) Applying to purchases made with money for the per cent4135
for arts program established by section 3379.10 of the Revised4136
Code;4137

       (8) Applying to purchases made by the rehabilitation services 4138
commission of services, or supplies, that are provided to persons 4139
with disabilities, or to purchases made by the commission in 4140
connection with the eligibility determinations it makes for4141
applicants of programs administered by the social security4142
administration;4143

       (9) Applying to payments by the department of job and family4144
services under section 5111.13 of the Revised Code for group4145
health plan premiums, deductibles, coinsurance, and other4146
cost-sharing expenses;4147

       (10) Applying to any agency of the legislative branch of the4148
state government;4149

       (11) Applying to agreements or contracts entered into under4150
section 5101.11, 5101.20, 5101.201, 5101.21, or 5101.214 of the 4151
Revised Code;4152

       (12) Applying to purchases of services by the adult parole4153
authority under section 2967.14 of the Revised Code or by the4154
department of youth services under section 5139.08 of the Revised4155
Code;4156

       (13) Applying to dues or fees paid for membership in an4157
organization or association;4158

       (14) Applying to purchases of utility services pursuant to4159
section 9.30 of the Revised Code;4160

       (15) Applying to purchases made in accordance with rules4161
adopted by the department of administrative services of motor4162
vehicle, aviation, or watercraft fuel, or emergency repairs of4163
such vehicles;4164

       (16) Applying to purchases of tickets for passenger air4165
transportation;4166

       (17) Applying to purchases necessary to provide public4167
notifications required by law or to provide notifications of job4168
openings;4169

       (18) Applying to the judicial branch of state government;4170

       (19) Applying to purchases of liquor for resale by the4171
division of liquor control;4172

       (20) Applying to purchases of motor courier and freight4173
services made in accordance with department of administrative4174
services rules;4175

       (21) Applying to purchases from the United States postal4176
service and purchases of stamps and postal meter replenishment4177
from vendors at rates established by the United States postal4178
service;4179

       (22) Applying to purchases of books, periodicals, pamphlets,4180
newspapers, maintenance subscriptions, and other published4181
materials;4182

       (23) Applying to purchases from other state agencies,4183
including state-assisted institutions of higher education;4184

       (24) Limiting the authority of the director of environmental4185
protection to enter into contracts under division (D) of section4186
3745.14 of the Revised Code to conduct compliance reviews, as4187
defined in division (A) of that section;4188

       (25) Applying to purchases from a qualified nonprofit agency4189
pursuant to sections 125.60 to 125.6012 or 4115.31 to 4115.35 of 4190
the Revised Code;4191

       (26) Applying to payments by the department of job and family4192
services to the United States department of health and human4193
services for printing and mailing notices pertaining to the tax4194
refund offset program of the internal revenue service of the4195
United States department of the treasury;4196

       (27) Applying to contracts entered into by the department of4197
mental retardation and developmental disabilities under sections4198
section 5123.18, 5123.182, and 5123.199 of the Revised Code;4199

       (28) Applying to payments made by the department of mental4200
health under a physician recruitment program authorized by section4201
5119.101 of the Revised Code;4202

       (29) Applying to contracts entered into with persons by the4203
director of commerce for unclaimed funds collection and remittance4204
efforts as provided in division (F) of section 169.03 of the4205
Revised Code. The director shall keep an itemized accounting of4206
unclaimed funds collected by those persons and amounts paid to4207
them for their services.4208

       (30) Applying to purchases made by a state institution of4209
higher education in accordance with the terms of a contract4210
between the vendor and an inter-university purchasing group4211
comprised of purchasing officers of state institutions of higher4212
education;4213

       (31) Applying to the department of job and family services'4214
purchases of health assistance services under the children's4215
health insurance program part I provided for under section 5101.504216
of the Revised Code or the children's health insurance program4217
part II provided for under section 5101.51 of the Revised Code;4218

       (32) Applying to payments by the attorney general from the4219
reparations fund to hospitals and other emergency medical4220
facilities for performing medical examinations to collect physical4221
evidence pursuant to section 2907.28 of the Revised Code;4222

       (33) Applying to contracts with a contracting authority or4223
administrative receiver under division (B) of section 5126.056 of 4224
the Revised Code;4225

       (34) Applying to reimbursements paid to the United States 4226
department of veterans affairs for pharmaceutical and patient 4227
supply purchases made on behalf of the Ohio veterans' home agency;4228

       (35) Applying to agreements entered into with terminal 4229
distributors of dangerous drugs under section 5110.20 of the 4230
Revised Code.4231

       (E) Notwithstanding division (B)(1) of this section, the4232
cumulative purchase threshold shall be seventy-five thousand4233
dollars for the departments of mental retardation and4234
developmental disabilities, mental health, rehabilitation and4235
correction, and youth services.4236

       (F) When determining whether a state agency has reached the4237
cumulative purchase thresholds established in divisions (B)(1),4238
(B)(2), and (E) of this section, all of the following purchases by4239
such agency shall not be considered:4240

       (1) Purchases made through competitive selection or with4241
controlling board approval;4242

       (2) Purchases listed in division (D) of this section;4243

       (3) For the purposes of the thresholds of divisions (B)(1)4244
and (E) of this section only, leases of real estate.4245

       (G) As used in this section, "competitive selection,"4246
"purchase," "supplies," and "services" have the same meanings as4247
in section 125.01 of the Revised Code.4248

       Sec. 131.44.  (A) As used in this section:4249

       (1) "Surplus revenue" means the excess, if any, of the total 4250
fund balance over the required year-end balance.4251

       (2) "Total fund balance" means the sum of the unencumbered4252
balance in the general revenue fund on the last day of the4253
preceding fiscal year plus the balance in the budget stabilization 4254
fund.4255

       (3) "Required year-end balance" means the sum of the4256
following:4257

       (a) Five per cent of the general revenue fund revenues for 4258
the preceding fiscal year;4259

       (b) "Ending fund balance," which means one-half of one per 4260
cent of general revenue fund revenues for the preceding fiscal 4261
year;4262

       (c) "Carryover balance," which means, with respect to a 4263
fiscal biennium, the excess, if any, of the estimated general 4264
revenue fund appropriation and transfer requirement for the second 4265
fiscal year of the biennium over the estimated general revenue 4266
fund revenue for that fiscal year;4267

       (d) "Capital appropriation reserve," which means the amount, 4268
if any, of general revenue fund capital appropriations made for 4269
the current biennium that the director of budget and management 4270
has determined will be encumbered or disbursed;4271

       (e) "Income tax reduction impact reserve," which means an 4272
amount equal to the reduction projected by the director of budget 4273
and management in income tax revenue in the current fiscal year 4274
attributable to the previous reduction in the income tax rate made 4275
by the tax commissioner pursuant to division (B) of section 4276
5747.02 of the Revised Code.4277

       (4) "Estimated general revenue fund appropriation and4278
transfer requirement" means the most recent adjusted4279
appropriations made by the general assembly from the general4280
revenue fund and includes both of the following:4281

       (a) Appropriations made and transfers of appropriations from 4282
the first fiscal year to the second fiscal year of the biennium in 4283
provisions of acts of the general assembly signed by the governor 4284
but not yet effective;4285

       (b) Transfers of appropriation from the first fiscal year to 4286
the second fiscal year of the biennium approved by the controlling 4287
board.4288

       (5) "Estimated general revenue fund revenue" means the most 4289
recent such estimate available to the director of budget and 4290
management.4291

       (B)(1) Not later than the thirty-first day of July each year, 4292
the director of budget and management shall determine the surplus 4293
revenue that existed on the preceding thirtieth day of June and 4294
transfer from the general revenue fund, to the extent of the 4295
unobligated, unencumbered balance on the preceding thirtieth day 4296
of June in excess of one-half of one per cent of the general4297
revenue fund revenues in the preceding fiscal year, the following:4298

       (a) First, to the budget stabilization fund, any amount 4299
necessary for the balance of the budget stabilization fund to 4300
equal five per cent of the general revenue fund revenues of the 4301
preceding fiscal year;4302

       (b) Then, to the income tax reduction fund, which is hereby 4303
created in the state treasury, an amount equal to the surplus 4304
revenue.4305

       (2) Not later than the thirty-first day of July each year, 4306
the director shall determine the percentage that the balance in 4307
the income tax reduction fund is of the amount of revenue that the4308
director estimates will be received from the tax levied under4309
section 5747.02 of the Revised Code in the current fiscal year 4310
without regard to any reduction under division (B) of that 4311
section. If that percentage exceeds thirty-five one hundredths of 4312
one per cent, the director shall certify the percentage to the tax 4313
commissioner not later than the thirty-first day of July.4314

       (C) The director of budget and management shall transfer 4315
money in the income tax reduction fund to the general revenue 4316
fund, the local governmentcommunities fund, and the library and4317
local government supportlibraries fund, and the local government 4318
revenue assistance fund as necessary to offset revenue reductions 4319
resulting from the reductions in taxes required under division (B) 4320
of section 5747.02 of the Revised Code in the respective amounts 4321
and percentages prescribed by divisionsdivision (A)(1), (2), and 4322
(4) of section 5747.03 and divisions (A) and (B) of section 133.514323
of the Revised Code as if the amount transferred had been 4324
collected as taxes under Chapter 5747. of the Revised Code. If no 4325
reductions in taxes are made under that division that affect 4326
revenue received in the current fiscal year, the director shall 4327
not transfer money from the income tax reduction fund to the 4328
general revenue fund, the local governmentcommunities fund, and4329
the library and local government supportlibraries fund, and the 4330
local government revenue assistance fund.4331

       Sec. 131.51.  (A) Beginning January 2008, on or before the 4332
fifth day of each month, the director of budget and management 4333
shall credit to the local communities fund, which is hereby 4334
created in the state treasury, three and sixty-eight one 4335
hundredths per cent of total tax revenue credited to the general 4336
revenue fund during the preceding month. In determining the total 4337
tax revenue credited to the general revenue fund during the 4338
preceding month, the director shall include amounts transferred 4339
from that fund during the preceding month pursuant to divisions 4340
(A) and (B) of this section. Money shall be distributed from the 4341
local communities fund as required under section 5747.50 of the 4342
Revised Code during the same month in which it is credited to the 4343
fund.4344

       (B) Beginning January 2008, on or before the fifth day of 4345
each month, the director of budget and management shall credit to 4346
the local libraries fund, which is hereby created in the state 4347
treasury, two and twenty-two one hundredths per cent of the total 4348
tax revenue credited to the general revenue fund during the 4349
preceding month. In determining the total tax revenue credited to 4350
the general revenue fund during the preceding month, the director 4351
shall include amounts transferred from that fund during the 4352
preceding month pursuant to divisions (A) and (B) of this section. 4353
Money shall be distributed from the local libraries fund as 4354
required under section 5747.47 of the Revised Code during the same 4355
month in which it is credited to the fund.4356

       (C) The director of budget and management shall develop a 4357
schedule identifying the specific tax revenue sources to be used 4358
to make the monthly transfers required under divisions (A) and (B) 4359
of this section. The director may, from time to time, revise the 4360
schedule as the director considers necessary.4361

       Sec. 133.01.  As used in this chapter, in sections 9.95,4362
9.96, and 2151.655 of the Revised Code, in other sections of the4363
Revised Code that make reference to this chapter unless the4364
context does not permit, and in related proceedings, unless4365
otherwise expressly provided:4366

       (A) "Acquisition" as applied to real or personal property4367
includes, among other forms of acquisition, acquisition by4368
exercise of a purchase option, and acquisition of interests in4369
property, including, without limitation, easements and4370
rights-of-way, and leasehold and other lease interests initially4371
extending or extendable for a period of at least sixty months.4372

       (B) "Anticipatory securities" means securities, including4373
notes, issued in anticipation of the issuance of other securities.4374

       (C) "Board of elections" means the county board of elections4375
of the county in which the subdivision is located. If the4376
subdivision is located in more than one county, "board of4377
elections" means the county board of elections of the county that4378
contains the largest portion of the population of the subdivision4379
or that otherwise has jurisdiction in practice over and4380
customarily handles election matters relating to the subdivision.4381

       (D) "Bond retirement fund" means the bond retirement fund4382
provided for in section 5705.09 of the Revised Code, and also4383
means a sinking fund or any other special fund, regardless of the4384
name applied to it, established by or pursuant to law or the4385
proceedings for the payment of debt charges. Provision may be made 4386
in the applicable proceedings for the establishment in a bond4387
retirement fund of separate accounts relating to debt charges on4388
particular securities, or on securities payable from the same or4389
common sources, and for the application of moneys in those4390
accounts only to specified debt charges on specified securities or4391
categories of securities. Subject to law and any provisions in the 4392
applicable proceedings, moneys in a bond retirement fund or4393
separate account in a bond retirement fund may be transferred to4394
other funds and accounts.4395

       (E) "Capitalized interest" means all or a portion of the4396
interest payable on securities from their date to a date stated or4397
provided for in the applicable legislation, which interest is to4398
be paid from the proceeds of the securities.4399

       (F) "Chapter 133. securities" means securities authorized by4400
or issued pursuant to or in accordance with this chapter.4401

       (G) "County auditor" means the county auditor of the county4402
in which the subdivision is located. If the subdivision is located 4403
in more than one county, "county auditor" means the county auditor 4404
of the county that contains the highest amount of the tax4405
valuation of the subdivision or that otherwise has jurisdiction in4406
practice over and customarily handles property tax matters4407
relating to the subdivision. In the case of a county that has4408
adopted a charter, "county auditor" means the officer who4409
generally has the duties and functions provided in the Revised4410
Code for a county auditor.4411

       (H) "Credit enhancement facilities" means letters of credit,4412
lines of credit, stand-by, contingent, or firm securities purchase4413
agreements, insurance, or surety arrangements, guarantees, and4414
other arrangements that provide for direct or contingent payment4415
of debt charges, for security or additional security in the event4416
of nonpayment or default in respect of securities, or for making4417
payment of debt charges to and at the option and on demand of4418
securities holders or at the option of the issuer or upon certain4419
conditions occurring under put or similar arrangements, or for4420
otherwise supporting the credit or liquidity of the securities,4421
and includes credit, reimbursement, marketing, remarketing,4422
indexing, carrying, interest rate hedge, and subrogation4423
agreements, and other agreements and arrangements for payment and4424
reimbursement of the person providing the credit enhancement4425
facility and the security for that payment and reimbursement.4426

       (I) "Current operating expenses" or "current expenses" means4427
the lawful expenditures of a subdivision, except those for4428
permanent improvements and for payments of debt charges of the4429
subdivision.4430

       (J) "Debt charges" means the principal, including any4431
mandatory sinking fund deposits and mandatory redemption payments,4432
interest, and any redemption premium, payable on securities as4433
those payments come due and are payable. The use of "debt charges" 4434
for this purpose does not imply that any particular securities 4435
constitute debt within the meaning of the Ohio Constitution or 4436
other laws.4437

       (K) "Financing costs" means all costs and expenses relating4438
to the authorization, including any required election, issuance,4439
sale, delivery, authentication, deposit, custody, clearing,4440
registration, transfer, exchange, fractionalization, replacement,4441
payment, and servicing of securities, including, without4442
limitation, costs and expenses for or relating to publication and4443
printing, postage, delivery, preliminary and final official4444
statements, offering circulars, and informational statements,4445
travel and transportation, underwriters, placement agents,4446
investment bankers, paying agents, registrars, authenticating4447
agents, remarketing agents, custodians, clearing agencies or4448
corporations, securities depositories, financial advisory4449
services, certifications, audits, federal or state regulatory4450
agencies, accounting and computation services, legal services and4451
obtaining approving legal opinions and other legal opinions,4452
credit ratings, redemption premiums, and credit enhancement4453
facilities. Financing costs may be paid from any moneys available4454
for the purpose, including, unless otherwise provided in the4455
proceedings, from the proceeds of the securities to which they4456
relate and, as to future financing costs, from the same sources4457
from which debt charges on the securities are paid and as though4458
debt charges.4459

       (L) "Fiscal officer" means the following, or, in the case of4460
absence or vacancy in the office, a deputy or assistant authorized4461
by law or charter to act in the place of the named officer, or if4462
there is no such authorization then the deputy or assistant4463
authorized by legislation to act in the place of the named officer4464
for purposes of this chapter, in the case of the following4465
subdivisions:4466

       (1) A county, the county auditor;4467

       (2) A municipal corporation, the city auditor or village4468
clerk or clerk-treasurer, or the officer who, by virtue of a4469
charter, has the duties and functions provided in the Revised Code4470
for the city auditor or village clerk or clerk-treasurer;4471

       (3) A school district, the treasurer of the board of4472
education;4473

       (4) A regional water and sewer district, the secretary of the 4474
board of trustees;4475

       (5) A joint township hospital district, the treasurer of the4476
district;4477

       (6) A joint ambulance district, the clerk of the board of4478
trustees;4479

       (7) A joint recreation district, the person designated4480
pursuant to section 755.15 of the Revised Code;4481

       (8) A detention facility district or a district organized4482
under section 2151.65 of the Revised Code or a combined district4483
organized under sections 2152.41 and 2151.65 of the Revised Code,4484
the county auditor of the county designated by law to act as the4485
auditor of the district;4486

       (9) A township, a fire district organized under division (C)4487
of section 505.37 of the Revised Code, or a township police4488
district, the fiscal officer of the township;4489

       (10) A joint fire district, the clerk of the board of4490
trustees of that district;4491

       (11) A regional or county library district, the person4492
responsible for the financial affairs of that district;4493

       (12) A joint solid waste management district, the fiscal4494
officer appointed by the board of directors of the district under4495
section 343.01 of the Revised Code;4496

       (13) A joint emergency medical services district, the person4497
appointed as fiscal officer pursuant to division (D) of section4498
307.053 of the Revised Code;4499

       (14) A fire and ambulance district, the person appointed as4500
fiscal officer under division (B) of section 505.375 of the4501
Revised Code;4502

       (15) A subdivision described in division (MM)(17) of this4503
section, the officer who is designated by law as or performs the4504
functions of its chief fiscal officer.4505

       (M) "Fiscal year" has the same meaning as in section 9.34 of4506
the Revised Code.4507

       (N) "Fractionalized interests in public obligations" means4508
participations, certificates of participation, shares, or other4509
instruments or agreements, separate from the public obligations4510
themselves, evidencing ownership of interests in public4511
obligations or of rights to receive payments of, or on account of,4512
principal or interest or their equivalents payable by or on behalf4513
of an obligor pursuant to public obligations.4514

       (O) "Fully registered securities" means securities in4515
certificated or uncertificated form, registered as to both4516
principal and interest in the name of the owner.4517

       (P) "Fund" means to provide for the payment of debt charges4518
and expenses related to that payment at or prior to retirement by4519
purchase, call for redemption, payment at maturity, or otherwise.4520

       (Q) "General obligation" means securities to the payment of4521
debt charges on which the full faith and credit and the general4522
property taxing power, including taxes within the tax limitation4523
if available to the subdivision, of the subdivision are pledged.4524

       (R) "Interest" or "interest equivalent" means those payments4525
or portions of payments, however denominated, that constitute or4526
represent consideration for forbearing the collection of money, or4527
for deferring the receipt of payment of money to a future time.4528

       (S) "Internal Revenue Code" means the "Internal Revenue Code4529
of 1986," 100 Stat. 2085, 26 U.S.C.A. 1 et seq., as amended, and4530
includes any laws of the United States providing for application4531
of that code.4532

       (T) "Issuer" means any public issuer and any nonprofit4533
corporation authorized to issue securities for or on behalf of any4534
public issuer.4535

       (U) "Legislation" means an ordinance or resolution passed by4536
a majority affirmative vote of the then members of the taxing4537
authority unless a different vote is required by charter4538
provisions governing the passage of the particular legislation by4539
the taxing authority.4540

       (V) "Mandatory sinking fund redemption requirements" means4541
amounts required by proceedings to be deposited in a bond4542
retirement fund for the purpose of paying in any year or fiscal4543
year by mandatory redemption prior to stated maturity the4544
principal of securities that is due and payable, except for4545
mandatory prior redemption requirements as provided in those4546
proceedings, in a subsequent year or fiscal year.4547

       (W) "Mandatory sinking fund requirements" means amounts4548
required by proceedings to be deposited in a year or fiscal year4549
in a bond retirement fund for the purpose of paying the principal4550
of securities that is due and payable in a subsequent year or4551
fiscal year.4552

       (X) "Net indebtedness" has the same meaning as in division4553
(A) of section 133.04 of the Revised Code.4554

       (Y) "Obligor," in the case of securities or fractionalized4555
interests in public obligations issued by another person the debt4556
charges or their equivalents on which are payable from payments4557
made by a public issuer, means that public issuer.4558

       (Z) "One purpose" relating to permanent improvements means4559
any one permanent improvement or group or category of permanent4560
improvements for the same utility, enterprise, system, or project,4561
development or redevelopment project, or for or devoted to the4562
same general purpose, function, or use or for which4563
self-supporting securities, based on the same or different sources4564
of revenues, may be issued or for which special assessments may be4565
levied by a single ordinance or resolution. "One purpose"4566
includes, but is not limited to, in any case any off-street4567
parking facilities relating to another permanent improvement, and:4568

       (1) Any number of roads, highways, streets, bridges,4569
sidewalks, and viaducts;4570

       (2) Any number of off-street parking facilities;4571

       (3) In the case of a county, any number of permanent4572
improvements for courthouse, jail, county offices, and other4573
county buildings, and related facilities;4574

       (4) In the case of a school district, any number of4575
facilities and buildings for school district purposes, and related4576
facilities.4577

       (AA) "Outstanding," referring to securities, means securities 4578
that have been issued, delivered, and paid for, except any of the 4579
following:4580

       (1) Securities canceled upon surrender, exchange, or4581
transfer, or upon payment or redemption;4582

       (2) Securities in replacement of which or in exchange for4583
which other securities have been issued;4584

       (3) Securities for the payment, or redemption or purchase for 4585
cancellation prior to maturity, of which sufficient moneys or4586
investments, in accordance with the applicable legislation or4587
other proceedings or any applicable law, by mandatory sinking fund4588
redemption requirements, mandatory sinking fund requirements, or4589
otherwise, have been deposited, and credited for the purpose in a4590
bond retirement fund or with a trustee or paying or escrow agent,4591
whether at or prior to their maturity or redemption, and, in the4592
case of securities to be redeemed prior to their stated maturity,4593
notice of redemption has been given or satisfactory arrangements4594
have been made for giving notice of that redemption, or waiver of4595
that notice by or on behalf of the affected security holders has4596
been filed with the subdivision or its agent for the purpose.4597

       (BB) "Paying agent" means the one or more banks, trust4598
companies, or other financial institutions or qualified persons,4599
including an appropriate office or officer of the subdivision,4600
designated as a paying agent or place of payment of debt charges4601
on the particular securities.4602

       (CC) "Permanent improvement" or "improvement" means any4603
property, asset, or improvement certified by the fiscal officer,4604
which certification is conclusive, as having an estimated life or4605
period of usefulness of five years or more, and includes, but is4606
not limited to, real estate, buildings, and personal property and4607
interests in real estate, buildings, and personal property,4608
equipment, furnishings, and site improvements, and reconstruction,4609
rehabilitation, renovation, installation, improvement,4610
enlargement, and extension of property, assets, or improvements so4611
certified as having an estimated life or period of usefulness of4612
five years or more. The acquisition of all the stock ownership of4613
a corporation is the acquisition of a permanent improvement to the4614
extent that the value of that stock is represented by permanent4615
improvements. A permanent improvement for parking, highway, road,4616
and street purposes includes resurfacing, but does not include4617
ordinary repair.4618

       (DD) "Person" has the same meaning as in section 1.59 of the4619
Revised Code and also includes any federal, state, interstate,4620
regional, or local governmental agency, any subdivision, and any4621
combination of those persons.4622

       (EE) "Proceedings" means the legislation, certifications,4623
notices, orders, sale proceedings, trust agreement or indenture,4624
mortgage, lease, lease-purchase agreement, assignment, credit4625
enhancement facility agreements, and other agreements,4626
instruments, and documents, as amended and supplemented, and any4627
election proceedings, authorizing, or providing for the terms and4628
conditions applicable to, or providing for the security or sale or4629
award of, public obligations, and includes the provisions set4630
forth or incorporated in those public obligations and proceedings.4631

       (FF) "Public issuer" means any of the following that is4632
authorized by law to issue securities or enter into public4633
obligations:4634

       (1) The state, including an agency, commission, officer,4635
institution, board, authority, or other instrumentality of the4636
state;4637

       (2) A taxing authority, subdivision, district, or other local 4638
public or governmental entity, and any combination or consortium, 4639
or public division, district, commission, authority, department, 4640
board, officer, or institution, thereof;4641

       (3) Any other body corporate and politic, or other public4642
entity.4643

       (GG) "Public obligations" means both of the following:4644

       (1) Securities;4645

       (2) Obligations of a public issuer to make payments under4646
installment sale, lease, lease purchase, or similar agreements,4647
which obligations bear interest or interest equivalent.4648

       (HH) "Refund" means to fund and retire outstanding4649
securities, including advance refunding with or without payment or4650
redemption prior to maturity.4651

       (II) "Register" means the books kept and maintained by the4652
registrar for registration, exchange, and transfer of registered4653
securities.4654

       (JJ) "Registrar" means the person responsible for keeping the 4655
register for the particular registered securities, designated by 4656
or pursuant to the proceedings.4657

       (KK) "Securities" means bonds, notes, certificates of4658
indebtedness, commercial paper, and other instruments in writing,4659
including, unless the context does not admit, anticipatory4660
securities, issued by an issuer to evidence its obligation to4661
repay money borrowed, or to pay interest, by, or to pay at any4662
future time other money obligations of, the issuer of the4663
securities, but not including public obligations described in4664
division (GG)(2) of this section.4665

       (LL) "Self-supporting securities" means securities or4666
portions of securities issued for the purpose of paying costs of4667
permanent improvements to the extent that receipts of the4668
subdivision, other than the proceeds of taxes levied by that4669
subdivision, derived from or with respect to the improvements or4670
the operation of the improvements being financed, or the4671
enterprise, system, project, or category of improvements of which4672
the improvements being financed are part, are estimated by the4673
fiscal officer to be sufficient to pay the current expenses of4674
that operation or of those improvements or enterprise, system,4675
project, or categories of improvements and the debt charges4676
payable from those receipts on securities issued for the purpose.4677
Until such time as the improvements or increases in rates and4678
charges have been in operation or effect for a period of at least4679
six months, the receipts therefrom, for purposes of this4680
definition, shall be those estimated by the fiscal officer, except4681
that those receipts may include, without limitation, payments made4682
and to be made to the subdivision under leases or agreements in4683
effect at the time the estimate is made. In the case of an4684
operation, improvements, or enterprise, system, project, or4685
category of improvements without at least a six-month history of4686
receipts, the estimate of receipts by the fiscal officer, other4687
than those to be derived under leases and agreements then in4688
effect, shall be confirmed by the taxing authority.4689

       (MM) "Subdivision" means any of the following:4690

       (1) A county, including a county that has adopted a charter4691
under Article X, Ohio Constitution;4692

       (2) A municipal corporation, including a municipal4693
corporation that has adopted a charter under Article XVIII, Ohio4694
Constitution;4695

       (3) A school district;4696

       (4) A regional water and sewer district organized under4697
Chapter 6119. of the Revised Code;4698

       (5) A joint township hospital district organized under4699
section 513.07 of the Revised Code;4700

       (6) A joint ambulance district organized under section 505.71 4701
of the Revised Code;4702

       (7) A joint recreation district organized under division (C)4703
of section 755.14 of the Revised Code;4704

       (8) A detention facility district organized under section4705
2152.41, a district organized under section 2151.65, or a combined4706
district organized under sections 2152.41 and 2151.65 of the4707
Revised Code;4708

       (9) A township police district organized under section 505.48 4709
of the Revised Code;4710

       (10) A township;4711

       (11) A joint fire district organized under section 505.371 of 4712
the Revised Code;4713

       (12) A county library district created under section 3375.194714
or a regional library district created under section 3375.28 of4715
the Revised Code;4716

       (13) A joint solid waste management district organized under4717
section 343.01 or 343.012 of the Revised Code;4718

       (14) A joint emergency medical services district organized4719
under section 307.052 of the Revised Code;4720

       (15) A fire and ambulance district organized under section4721
505.375 of the Revised Code;4722

       (16) A fire district organized under division (C) of section4723
505.37 of the Revised Code;4724

       (17) Any other political subdivision or taxing district or4725
other local public body or agency authorized by this chapter or4726
other laws to issue Chapter 133. securities.4727

       (NN) "Taxing authority" means in the case of the following4728
subdivisions:4729

       (1) A county, a county library district, or a regional4730
library district, the board or boards of county commissioners, or4731
other legislative authority of a county that has adopted a charter4732
under Article X, Ohio Constitution, but with respect to such a4733
library district acting solely as agent for the board of trustees4734
of that district;4735

       (2) A municipal corporation, the legislative authority;4736

       (3) A school district, the board of education;4737

       (4) A regional water and sewer district, a joint ambulance4738
district, a joint recreation district, a fire and ambulance4739
district, or a joint fire district, the board of trustees of the4740
district;4741

       (5) A joint township hospital district, the joint township4742
hospital board;4743

       (6) A detention facility district or a district organized4744
under section 2151.65 of the Revised Code, a combined district4745
organized under sections 2152.41 and 2151.65 of the Revised Code,4746
or a joint emergency medical services district, the joint board of4747
county commissioners;4748

       (7) A township, a fire district organized under division (C)4749
of section 505.37 of the Revised Code, or a township police4750
district, the board of township trustees;4751

       (8) A joint solid waste management district organized under4752
section 343.01 or 343.012 of the Revised Code, the board of4753
directors of the district;4754

       (9) A subdivision described in division (MM)(17) of this4755
section, the legislative or governing body or official.4756

       (OO) "Tax limitation" means the "ten-mill limitation" as4757
defined in section 5705.02 of the Revised Code without diminution4758
by reason of section 5705.313 of the Revised Code or otherwise,4759
or, in the case of a municipal corporation or county with a4760
different charter limitation on property taxes levied to pay debt4761
charges on unvoted securities, that charter limitation. Those4762
limitations shall be respectively referred to as the "ten-mill4763
limitation" and the "charter tax limitation."4764

       (PP) "Tax valuation" means the aggregate of the valuations of 4765
property subject to ad valorem property taxation by the4766
subdivision on the real property, personal property, and public4767
utility property tax lists and duplicates most recently certified4768
for collection, and shall be calculated without deductions of the4769
valuations of otherwise taxable property exempt in whole or in4770
part from taxation by reason of exemptions of certain amounts of4771
taxable value under division (C) of section 5709.01 or, tax 4772
reductions under section 323.152 of the Revised Code, or similar 4773
laws now or in the future in effect.4774

       For purposes of section 133.06 of the Revised Code, "tax 4775
valuation" shall not include the valuation of tangible personal 4776
property used in business, telephone or telegraph property, 4777
interexchange telecommunications company property, or personal 4778
property owned or leased by a railroad company and used in 4779
railroad operations listed under or described in section 5711.22, 4780
division (B) or (F) of section 5727.111, or section 5727.12 of the 4781
Revised Code.4782

       (QQ) "Year" means the calendar year.4783

       (RR) "Administrative agent," "agent," "commercial paper,"4784
"floating rate interest structure," "indexing agent," "interest 4785
rate hedge," "interest rate period," "put arrangement," and 4786
"remarketing agent" have the same meanings as in section 9.98 of 4787
the Revised Code.4788

       (SS) "Sales tax supported" means obligations to the payment4789
of debt charges on which an additional sales tax or additional4790
sales taxes have been pledged by the taxing authority of a county4791
pursuant to section 133.081 of the Revised Code.4792

       Sec. 133.10.  (A) In anticipation of the collection of4793
current property tax revenues in and for any fiscal year, the4794
taxing authority of any subdivision may issue securities, but the4795
aggregate principal amount of such securities shall not exceed4796
one-half of the amount that the budget commission estimates the4797
subdivision will receive from property taxes in that fiscal year4798
and prior to the last day of the sixth month following the month4799
in which the securities are issued, other than taxes to be4800
received for the payment of debt charges or allocated to debt4801
charges on securities issued pursuant to division (C) of this4802
section, and less all advances. When a partial, semiannual, or4803
final property tax settlement is delayed, securities may also be4804
issued in anticipation of the receipt of property taxes levied or4805
collected for debt charges to the extent necessary to meet such4806
debt charges but not in excess of such estimated receipts, less4807
all advances. The securities issued pursuant to this division (A) 4808
shall mature not later than the last day of the sixth month4809
following the month in which the securities are issued and in any4810
case not later than the last day of the fiscal year in which they4811
are issued.4812

       (B) In anticipation of the collection of current revenues in 4813
and for any fiscal year from any source or combination of sources, 4814
including distributions of any federal or state moneys, other than 4815
the proceeds of property taxes levied by the subdivision, the 4816
taxing authority of any subdivision may issue securities, but the 4817
aggregate principal amount of such securities shall not exceed 4818
one-half of the amount estimated by the fiscal officer to be 4819
received by the subdivision from such sources during the remainder 4820
of such fiscal year, less advances and prior collections.4821

       (C) In anticipation of the collection of current property tax 4822
revenues in and for any fiscal year, the taxing authority of a 4823
county, municipal corporation, township, or school district may4824
issue securities, but the aggregate principal amount of those4825
securities and of any securities issued pursuant to division (A)4826
of this section outstanding at the time of issuance shall not4827
exceed one-half of the amount that the budget commission estimates 4828
the subdivision will receive from all property taxes that are to 4829
be distributed to the subdivision from all settlements of taxes 4830
that are to be made in the remainder of that fiscal year, other 4831
than taxes to be received for the payment of debt charges, and 4832
less all advances.4833

       (D) When the tax settlement scheduled under division (B) of 4834
section 321.24 of the Revised Code is delayed pursuant to division 4835
(E) of that section, the taxing authority of a school district may 4836
issue property tax anticipation securities against the taxes to be 4837
included in that settlement, but the aggregate principal amount of 4838
all securities outstanding against those taxes shall not exceed 4839
ninety per cent of the amount estimated to be received from that 4840
settlement by the budget commission, other than taxes to be 4841
received for the payment of debt charges, and less all advances. 4842
The securities issued pursuant to this division (D) shall mature 4843
on or before the next ensuing thirty-first day of August.4844

       (E) This division applies to all securities authorized by4845
this section.4846

       (1) The amounts from the sources anticipated needed to pay4847
debt charges and financing costs shall be considered appropriated4848
for that purpose, and other appropriations from those sources by4849
the taxing authority shall be limited to the balance available4850
after deducting the amount to pay those debt charges and financing 4851
costs. The portions of those amounts as received and to be applied 4852
to those debt charges shall be deposited and set aside in an 4853
account for the purpose in the bond retirement fund in the amounts 4854
and at the times required to pay those debt charges as provided 4855
for by the authorizing legislation or otherwise provided by law.4856

       (2) Except as otherwise provided in division (H) of this 4857
section, the securities shall not be issued prior to the first day 4858
and, except as otherwise provided in divisions (A) and (D) of this 4859
section, shall mature not later than the last day of the fiscal 4860
year for which the revenues are anticipated.4861

       (3) The proceeds of the principal amount of the securities4862
shall be used only for the purposes for which the amounts4863
anticipated were levied, collected, distributed, and appropriated, 4864
and for financing costs related to those securities.4865

       (4) Property taxes include distributions from the state in4866
payment of credits against or partial exemptions from, or4867
reduction of, property taxes.4868

       (5) If for any reason debt charges on securities authorized 4869
by this section are not paid by the subdivision in the fiscal year 4870
when due, the taxing authority of the subdivision shall include in 4871
its next annual appropriation measure an amount sufficient to pay 4872
those debt charges, and the county auditor and county treasurer 4873
shall withhold, in a custodial account, amounts due the 4874
subdivision from the sources anticipated until such amount is 4875
accumulated by those officers and they directly pay or provide, 4876
through the paying agent or otherwise, for the payment of those 4877
debt charges.4878

       (F) The authority to issue securities under divisions (A) and 4879
(B) of this section may be exercised by any board of library4880
trustees of a public library, or board of park commissioners of a4881
township, to which the budget commission has allotted a share of4882
the local governmentcommunities fund under section 5747.51 of the 4883
Revised Code or of the library and local government support4884
libraries fund under section 5707.051 of the Revised Code.4885

       (G) The taxing authority of a school district issuing4886
securities under division (A), (C), or (D) of this section shall4887
in the legislation authorizing the securities affirm the levy of,4888
or covenant to levy, the anticipated property taxes to be4889
collected in the following year.4890

       (H) The taxing authority of a school district may issue4891
securities authorized by this section on or after the tenth day 4892
preceding the first day of the fiscal year for which the revenues 4893
are anticipated; provided, that if the taxing authority of a 4894
school district issues securities authorized by this section prior 4895
to the first day of the fiscal year for which the revenues are 4896
anticipated:4897

       (1) None of the proceeds received by the school district from 4898
the sale of the securities shall be considered available for 4899
appropriation prior to the first day of the fiscal year for which 4900
the revenues are anticipated; and4901

       (2) None of the proceeds received by the school district from 4902
the sale of the securities shall be expended prior to the first 4903
day of the fiscal year for which the revenues are anticipated.4904

       Sec. 133.25.  (A) After the issuance of general obligation4905
securities or of securities to which section 133.24 of the Revised 4906
Code applies, the taxing authority of the subdivision shall 4907
include in its annual tax budget, and levy a property tax in a 4908
sufficient amount, with any other moneys available for the4909
purpose, to pay the debt charges on the securities payable from4910
property taxes. The necessary property tax rate shall be included 4911
in the fiscal year tax budget that is certified by the subdivision 4912
to the county budget commission, and, if within the ten-mill 4913
limitation, shall be without diminution by reason of section 4914
5705.313 of the Revised Code or any similar provisions.4915

       (B) If the taxing authority determines it to be necessary or 4916
appropriate, and if not prohibited by other law, legislation4917
relating to Chapter 133. securities may, or that legislation may4918
provide for proceedings that may, contain or provide for any one4919
or more or combination of the following:4920

       (1) The pledge to the payment of debt charges of, and related 4921
covenants to levy, charge, collect, deposit, and apply, receipts 4922
of the subdivision lawfully available for the purpose, referred to 4923
in this division (B) as pledged receipts, including, without 4924
limitation, ad valorem property taxes as permitted by law, income 4925
taxes, excises, utility and service revenues, local government4926
communities fund, school foundation, and moneys described in4927
Section 5a of Article XII, Ohio Constitution, and any other4928
receipts from taxes, excises, permits, licenses, fines, or other4929
sources of revenue of or of revenue distributions to the4930
subdivision, and covenants for the establishment, investment,4931
segregation, and maintenance of any funds or reserves in4932
connection with the securities. No pledge or covenant may be made 4933
that impairs the express contract rights of the holders of4934
outstanding securities of the subdivision.4935

       (2) Designation of a bank or trust company authorized to4936
exercise corporate trust powers in this state as a fiscal agent4937
for the securities, which fiscal agent may be a purchaser of any4938
securities and fiscal agent for any other securities of the4939
subdivision, and provision for the periodic deposit of pledged4940
receipts in one or more separate bank accounts, funds, or other4941
accounts established with the fiscal agent, including provision4942
for pledged receipts collected or paid by the state or another4943
subdivision to be transferred, by the appropriate officer of the4944
state or other subdivision having charge of the distribution of4945
the pledged receipts to the subdivision, directly to the fiscal4946
agent for such deposit, which officers shall transfer such pledged 4947
receipts in accordance with this division and the legislation. The 4948
fiscal agent shall disburse moneys so held in accordance with the 4949
legislation, including the transfer of moneys to paying agents or 4950
to persons providing credit enhancement facilities at the times 4951
and in the amounts required. Until needed for that purpose, and 4952
subject to any limitations in the legislation, the fiscal agent 4953
shall either deposit such moneys on behalf of the subdivision in 4954
an institution that is eligible to become a public depository 4955
pursuant to section 135.03 of the Revised Code or invest the 4956
moneys on behalf of the subdivision in obligations that are under 4957
applicable law lawful for the investment of the particular moneys. 4958
Divisions (D), (E), and (G) of section 135.04 and sections 135.08 4959
and 135.09 of the Revised Code do not apply to any such deposits 4960
or investments. Amounts so held and received by a fiscal agent 4961
shall be accounted for in the appropriate special funds of the 4962
subdivision as if held in the treasury of the subdivision, and the 4963
fiscal agent shall provide such information to the subdivision and 4964
to the auditor of state as is necessary for the purpose.4965

       (3) Covenants of the subdivision and other provisions to4966
protect and safeguard the security and rights of the holders of4967
the securities and of the providers of any credit enhancement4968
facilities and provisions for defeasance, including, without4969
limiting the generality of the foregoing, such covenants and4970
provisions as to:4971

       (a) Establishment and maintenance of the funds to be held by 4972
a fiscal agent as provided in this division, the times, amounts, 4973
and levels for deposit to such funds, and the obligations in which 4974
the proceeds of such funds may be invested pending their use, 4975
subject to limitations on investment of public funds otherwise 4976
provided for by law or charter or by the legislation;4977

       (b) The appointment, rights, powers, and duties of the fiscal 4978
agent, and vesting in the fiscal agent all or any of those rights, 4979
powers, and duties in trust;4980

       (c) Compliance with the provisions of this chapter and other 4981
laws applicable to the payment of debt charges on securities of 4982
the subdivision, including Chapter 5705. of the Revised Code;4983

       (d) Conditions that would give rise to an event of default4984
under the terms of the legislation, and actions and remedies that4985
any fiscal agent may take or assert on behalf of the holders of4986
the securities.4987

       (4) As rights and remedies of the holders of securities, in 4988
addition to any other rights and remedies under law, but subject 4989
to the terms of the legislation and of any credit enhancement 4990
facility, provision that if the subdivision defaults in the 4991
payment of debt charges on the securities and such default4992
continues for a period of thirty days, or if the subdivision fails 4993
or refuses to comply with the requirements of this chapter or the 4994
applicable proceedings, or defaults in any contract made with the 4995
holders of those securities, the holders of not less than 4996
twenty-five per cent in principal amount of the outstanding4997
securities of that issue may appoint a trustee, who may be the4998
fiscal agent, to represent those holders for the purposes provided 4999
in this division (B)(4). That trustee may, and upon written 5000
request of the holders of not less than twenty-five per cent in 5001
principal amount of those securities then outstanding shall, in 5002
its own name exercise all or any of the powers of such holders 5003
under division (B)(3) of this section and in addition may:5004

       (a) Bring action for payment of any debt charges then due on 5005
the securities;5006

       (b) By mandamus or other action or proceeding enforce all5007
rights of the holders of the securities, including any right to5008
require the subdivision to assess, levy, charge, collect, and5009
apply pledged receipts adequate to carry out the provisions of the 5010
legislation and any agreement with those holders and to perform 5011
its duties under the legislation and this chapter;5012

       (c) Bring action upon the securities;5013

       (d) By action, require the subdivision to account as if it5014
were the trustee of an express trust for the holders of the5015
securities;5016

       (e) By action, enjoin any acts or things that may be unlawful 5017
or in violation of the rights of the holders of those securities;5018

       (f) Except in the case of securities payable from a property 5019
tax, declare all securities of the issue due and payable, and if 5020
all defaults are subsequently corrected, then, with the consent of 5021
the holders of not less than ten per cent in principal amount of 5022
those securities then outstanding, rescind and annul that 5023
declaration and its consequences.5024

       In addition to the foregoing, the trustee shall have all of5025
the powers necessary or appropriate for the exercise of any5026
functions specifically set forth in this section or the5027
legislation or incident to the general representation of the5028
holders of those securities in the enforcement and protection of5029
their rights.5030

       (5) Contracts or other arrangements for credit enhancement5031
facilities, which may be with a fiscal agent. The costs of or5032
under credit enhancement facilities may be paid from any moneys of 5033
the subdivision lawfully available for the purpose. The credit 5034
enhancement facility may be for the benefit of holders of the 5035
particular securities and of any other securities of the5036
subdivision. Any such benefit conferred with respect to other5037
securities shall not be deemed to restrict, preclude, or otherwise 5038
impair any rights that those holders otherwise may assert.5039

       (C) Unless otherwise provided in the proceedings, the holders 5040
of not less than ten per cent in principal amount of the5041
particular securities at the time outstanding, whether or not then 5042
due and payable or reduced to judgment and either on their own 5043
behalf or on behalf of all persons similarly situated, may:5044

       (1) By mandamus, mandatory or other injunction, or any other 5045
order, writ, process, or decree, or by any other action or5046
proceeding, enforce all contractual or other rights of such5047
holders, including any right to require the subdivision to assess, 5048
levy, charge, collect, and apply the pledged receipts pledged to 5049
carry out the provisions of any agreement with such holders and 5050
perform its duties under the legislation and this chapter;5051

       (2) In the case of default in payment of debt charges on5052
their securities, commence an action upon their securities to5053
require the subdivision to account as if it were the trustee of an 5054
express trust for those holders or to enjoin any acts or things 5055
that may be unlawful or in violation of the rights of those 5056
holders.5057

       (D) The state pledges to and agrees with the holders of5058
Chapter 133. securities that the state will not, by enacting any5059
law or adopting any rule, repeal, revoke, repudiate, limit, alter, 5060
stay, suspend, or otherwise reduce, rescind, or impair the power 5061
or duty of a subdivision to exercise, perform, carry out, and 5062
fulfill its responsibilities or covenants under this chapter or 5063
legislation or agreements as to its Chapter 133. securities,5064
including a credit enhancement facility, passed or entered into5065
pursuant to this chapter, or repeal, revoke, repudiate, limit,5066
alter, stay, suspend, or otherwise reduce, rescind, or impair the5067
rights and remedies of any such holders fully to enforce such5068
responsibilities, covenants, and agreements or to enforce the5069
pledge and agreement of the state contained in this division, or5070
otherwise exercise any sovereign power materially impairing or5071
materially inconsistent with the provisions of such legislation,5072
covenants, and agreements. The general assembly determines and5073
declares that the provisions of this chapter and the powers and5074
duties of subdivisions authorized and imposed under this chapter5075
are proper, reasonable, and appropriate means by which the state5076
can and should exercise and has exercised its duties and powers5077
under the Ohio Constitution, and that those provisions are5078
necessary and in the public interest and a proper means to better5079
provide for the security for, and market reception for the5080
purchase of, those securities. This pledge and agreement shall be 5081
of no force and effect as to securities that are not outstanding. 5082
This pledge and agreement by the state may be temporarily 5083
suspended upon the declaration of martial law in the subdivision 5084
in the event of circumstances deriving directly out of a natural 5085
disaster, such as an earthquake or major conflagration or flood 5086
but not a snowstorm or civil disturbance, or out of military 5087
invasions or civil insurrections, but not strikes or crises 5088
created by financial or economic events. Payment for securities by 5089
the original and subsequent holders shall be deemed conclusive 5090
evidence of valuable consideration received by the state and 5091
subdivision for this pledge and agreement, and any action by the 5092
state contrary to or inconsistent with this division is void as 5093
applied to those securities. The state hereby grants any such 5094
benefited holder the right to sue the state and enforce this 5095
pledge and agreement, and waives all rights of defense based on 5096
sovereign immunity or sovereign power in such an action or suit, 5097
it being expressly determined and declared that the continued 5098
integrity of the contract of any such holder is essential to the 5099
continued right of the subdivision to issue and pay debt charges 5100
on securities as a subdivision of the state. Nothing in this 5101
division requires the state to continue any particular level of 5102
appropriations of moneys, or precludes the state from authorizing 5103
the subdivision to exercise, or the subdivision from exercising, 5104
subject to approval of the tax commissioner, any power provided by 5105
law to seek application of laws then in effect under the 5106
bankruptcy provisions of the United States Constitution but in any 5107
case providing for debt charges as provided in section 133.36 of 5108
the Revised Code, or to preclude the state from further exercise 5109
of any of its powers and responsibilities under the Ohio5110
Constitution.5111

       (E) Moneys and investments held by the subdivision or a5112
paying agent or a fiscal agent, and all receipts of the5113
subdivision, needed and allocated to payment of debt charges or5114
payments by the subdivision under credit enhancement facilities,5115
are property of the subdivision devoted to essential governmental5116
purposes and accordingly shall not be applied to any purpose other 5117
than as provided in this chapter and in the legislation, and shall 5118
not be subject to any order, judgment, lien, execution,5119
attachment, setoff, or counterclaim by any creditor or judgment5120
creditor, as a result of a tort judgment or otherwise, of the5121
subdivision other than the holders of the securities or the5122
provider of the credit enhancement facility who are entitled5123
thereto pursuant to this chapter and the legislation.5124

       Sec. 135.35.  (A) The investing authority shall deposit or5125
invest any part or all of the county's inactive moneys and shall5126
invest all of the money in the county library and local government 5127
supportlibraries fund when required by section 135.352 of the5128
Revised Code. The following classifications of securities and5129
obligations are eligible for such deposit or investment:5130

       (1) United States treasury bills, notes, bonds, or any other 5131
obligation or security issued by the United States treasury, any 5132
other obligation guaranteed as to principal or interest by the 5133
United States, or any book entry, zero-coupon United States 5134
treasury security that is a direct obligation of the United 5135
States.5136

       Nothing in the classification of eligible securities and 5137
obligations set forth in divisions (A)(2) to (11) of this section 5138
shall be construed to authorize any investment in stripped 5139
principal or interest obligations of such eligible securities and 5140
obligations.5141

       (2) Bonds, notes, debentures, or any other obligations or5142
securities issued by any federal government agency or5143
instrumentality, including but not limited to, the federal5144
national mortgage association, federal home loan bank, federal 5145
farm credit bank, federal home loan mortgage corporation, 5146
government national mortgage association, and student loan 5147
marketing association. All federal agency securities shall be 5148
direct issuances of federal government agencies or5149
instrumentalities.5150

       (3) Time certificates of deposit or savings or deposit5151
accounts, including, but not limited to, passbook accounts, in any 5152
eligible institution mentioned in section 135.32 of the Revised 5153
Code;5154

       (4) Bonds and other obligations of this state or the 5155
political subdivisions of this state, provided that such political 5156
subdivisions are located wholly or partly within the same county 5157
as the investing authority;5158

       (5) No-load money market mutual funds consisting exclusively 5159
of obligations described in division (A)(1) or (2) of this section 5160
and repurchase agreements secured by such obligations, provided 5161
that investments in securities described in this division are made 5162
only through eligible institutions mentioned in section 135.32 of 5163
the Revised Code;5164

       (6) The Ohio subdivision's fund as provided in section 135.45 5165
of the Revised Code;5166

       (7) Securities lending agreements with any eligible 5167
institution mentioned in section 135.32 of the Revised Code that 5168
is a member of the federal reserve system or federal home loan 5169
bank or with any recognized United States government securities 5170
dealer meeting the description in division (J)(1) of this section, 5171
under the terms of which agreements the investing authority lends 5172
securities and the eligible institution or dealer agrees to 5173
simultaneously exchange similar securities or cash, equal value 5174
for equal value.5175

       Securities and cash received as collateral for a securities 5176
lending agreement are not inactive moneys of the county or moneys 5177
of a county library and local government supportlibraries fund. 5178
The investment of cash collateral received pursuant to a 5179
securities lending agreement may be invested only in instruments 5180
specified by the investing authority in the written investment 5181
policy described in division (K) of this section.5182

       (8) Up to twenty-five per cent of the county's total average 5183
portfolio in either of the following investments:5184

       (a) Commercial paper notes issued by an entity that is5185
defined in division (D) of section 1705.01 of the Revised Code and 5186
that has assets exceeding five hundred million dollars, to which 5187
notes all of the following apply:5188

       (i) The notes are rated at the time of purchase in the 5189
highest classification established by at least two nationally 5190
recognized standard rating services.5191

       (ii) The aggregate value of the notes does not exceed ten per5192
cent of the aggregate value of the outstanding commercial paper of 5193
the issuing corporation.5194

       (iii) The notes mature not later than two hundred seventy 5195
days after purchase.5196

       (b) Bankers acceptances of banks that are insured by the 5197
federal deposit insurance corporation and to which both of the 5198
following apply:5199

       (i) The obligations are eligible for purchase by the federal5200
reserve system.5201

       (ii) The obligations mature not later than one hundred eighty5202
days after purchase.5203

       No investment shall be made pursuant to division (A)(8) of 5204
this section unless the investing authority has completed 5205
additional training for making the investments authorized by 5206
division (A)(8) of this section. The type and amount of additional 5207
training shall be approved by the auditor of state and may be 5208
conducted by or provided under the supervision of the auditor of 5209
state.5210

       (9) Up to fifteen per cent of the county's total average5211
portfolio in notes issued by corporations that are incorporated5212
under the laws of the United States and that are operating within5213
the United States, or by depository institutions that are doing5214
business under authority granted by the United States or any state5215
and that are operating within the United States, provided both of5216
the following apply:5217

        (a) The notes are rated in the second highest or higher 5218
category by at least two nationally recognized standard rating 5219
services at the time of purchase.5220

        (b) The notes mature not later than two years after purchase.5221

        (10) No-load money market mutual funds rated in the highest 5222
category at the time of purchase by at least one nationally 5223
recognized standard rating service and consisting exclusively of 5224
obligations described in division (A)(1), (2), or (6) of section5225
135.143 of the Revised Code;5226

        (11) Debt interests rated at the time of purchase in the 5227
three highest categories by two nationally recognized standard 5228
rating services and issued by foreign nations diplomatically 5229
recognized by the United States government. All interest and 5230
principal shall be denominated and payable in United States funds. 5231
The investments made under division (A)(11) of this section shall 5232
not exceed in the aggregate one per cent of a county's total 5233
average portfolio.5234

       The investing authority shall invest under division (A)(11)5235
of this section in a debt interest issued by a foreign nation only5236
if the debt interest is backed by the full faith and credit of5237
that foreign nation, there is no prior history of default, and the5238
debt interest matures not later than five years after purchase. 5239
For purposes of division (A)(11) of this section, a debt interest 5240
is rated in the three highest categories by two nationally 5241
recognized standard rating services if either the debt interest 5242
itself or the issuer of the debt interest is rated, or is 5243
implicitly rated, at the time of purchase in the three highest 5244
categories by two nationally recognized standard rating services.5245

       (B) Nothing in the classifications of eligible obligations 5246
and securities set forth in divisions (A)(1) to (11) of this 5247
section shall be construed to authorize investment in a 5248
derivative, and no investing authority shall invest any county 5249
inactive moneys or any moneys in a county library and local 5250
government supportlibraries fund in a derivative. For purposes of 5251
this division, "derivative" means a financial instrument or5252
contract or obligation whose value or return is based upon or 5253
linked to another asset or index, or both, separate from the 5254
financial instrument, contract, or obligation itself. Any 5255
security, obligation, trust account, or other instrument that is 5256
created from an issue of the United States treasury or is created 5257
from an obligation of a federal agency or instrumentality or is 5258
created from both is considered a derivative instrument. An 5259
eligible investment described in this section with a variable5260
interest rate payment, based upon a single interest payment or 5261
single index comprised of other eligible investments provided for 5262
in division (A)(1) or (2) of this section, is not a derivative, 5263
provided that such variable rate investment has a maximum maturity 5264
of two years. A treasury inflation-protected security shall not be 5265
considered a derivative, provided the security matures not later 5266
than five years after purchase.5267

       (C) Except as provided in division (D) of this section, any 5268
investment made pursuant to this section must mature within five5269
years from the date of settlement, unless the investment is 5270
matched to a specific obligation or debt of the county or to a 5271
specific obligation or debt of a political subdivision of this 5272
state located wholly or partly within the county, and the 5273
investment is specifically approved by the investment advisory5274
committee.5275

       (D) The investing authority may also enter into a written5276
repurchase agreement with any eligible institution mentioned in 5277
section 135.32 of the Revised Code or any eligible securities5278
dealer pursuant to division (J) of this section, under the terms 5279
of which agreement the investing authority purchases and the 5280
eligible institution or dealer agrees unconditionally to 5281
repurchase any of the securities listed in divisions (B)(1) to 5282
(5), except letters of credit described in division (B)(2), of5283
section 135.18 of the Revised Code. The market value of securities 5284
subject to an overnight written repurchase agreement must exceed 5285
the principal value of the overnight written repurchase agreement 5286
by at least two per cent. A written repurchase agreement must 5287
exceed the principal value of the overnight written repurchase 5288
agreement, by at least two per cent. A written repurchase5289
agreement shall not exceed thirty days, and the market value of 5290
securities subject to a written repurchase agreement must exceed 5291
the principal value of the written repurchase agreement by at5292
least two per cent and be marked to market daily. All securities 5293
purchased pursuant to this division shall be delivered into the5294
custody of the investing authority or the qualified custodian of 5295
the investing authority or an agent designated by the investing 5296
authority. A written repurchase agreement with an eligible 5297
securities dealer shall be transacted on a delivery versus payment 5298
basis. The agreement shall contain the requirement that for each 5299
transaction pursuant to the agreement the participating 5300
institution shall provide all of the following information:5301

       (1) The par value of the securities;5302

       (2) The type, rate, and maturity date of the securities;5303

       (3) A numerical identifier generally accepted in the5304
securities industry that designates the securities.5305

       No investing authority shall enter into a written repurchase5306
agreement under the terms of which the investing authority agrees 5307
to sell securities owned by the county to a purchaser and agrees 5308
with that purchaser to unconditionally repurchase those 5309
securities.5310

       (E) No investing authority shall make an investment under 5311
this section, unless the investing authority, at the time of 5312
making the investment, reasonably expects that the investment can5313
be held until its maturity. The investing authority's written 5314
investment policy shall specify the conditions under which an 5315
investment may be redeemed or sold prior to maturity.5316

       (F) No investing authority shall pay a county's inactive 5317
moneys or moneys of a county library and local government support5318
libraries fund into a fund established by another subdivision, 5319
treasurer, governing board, or investing authority, if that fund 5320
was established by the subdivision, treasurer, governing board, or 5321
investing authority for the purpose of investing or depositing the 5322
public moneys of other subdivisions. This division does not apply 5323
to the payment of public moneys into either of the following:5324

       (1) The Ohio subdivision's fund pursuant to division (A)(6) 5325
of this section;5326

       (2) A fund created solely for the purpose of acquiring, 5327
constructing, owning, leasing, or operating municipal utilities 5328
pursuant to the authority provided under section 715.02 of the 5329
Revised Code or Section 4 of Article XVIII, Ohio Constitution.5330

       For purposes of division (F) of this section, "subdivision" 5331
includes a county.5332

       (G) The use of leverage, in which the county uses its current5333
investment assets as collateral for the purpose of purchasing 5334
other assets, is prohibited. The issuance of taxable notes for the 5335
purpose of arbitrage is prohibited. Contracting to sell securities 5336
not owned by the county, for the purpose of purchasing such 5337
securities on the speculation that bond prices will decline, is 5338
prohibited.5339

       (H) Any securities, certificates of deposit, deposit5340
accounts, or any other documents evidencing deposits or5341
investments made under authority of this section shall be issued5342
in the name of the county with the county treasurer or investing5343
authority as the designated payee. If any such deposits or5344
investments are registrable either as to principal or interest, or 5345
both, they shall be registered in the name of the treasurer.5346

       (I) The investing authority shall be responsible for the5347
safekeeping of all documents evidencing a deposit or investment5348
acquired under this section, including, but not limited to,5349
safekeeping receipts evidencing securities deposited with a5350
qualified trustee, as provided in section 135.37 of the Revised5351
Code, and documents confirming the purchase of securities under5352
any repurchase agreement under this section shall be deposited5353
with a qualified trustee, provided, however, that the qualified5354
trustee shall be required to report to the investing authority,5355
auditor of state, or an authorized outside auditor at any time5356
upon request as to the identity, market value, and location of the 5357
document evidencing each security, and that if the participating 5358
institution is a designated depository of the county for the 5359
current period of designation, the securities that are the subject 5360
of the repurchase agreement may be delivered to the treasurer or 5361
held in trust by the participating institution on behalf of the 5362
investing authority.5363

       Upon the expiration of the term of office of an investing5364
authority or in the event of a vacancy in the office for any5365
reason, the officer or the officer's legal representative shall 5366
transfer and deliver to the officer's successor all documents5367
mentioned in this division for which the officer has been5368
responsible for safekeeping. For all such documents transferred 5369
and delivered, the officer shall be credited with, and the 5370
officer's successor shall be charged with, the amount of moneys 5371
evidenced by such documents.5372

       (J)(1) All investments, except for investments in securities5373
described in divisions (A)(5) and (6) of this section, shall be 5374
made only through a member of the national association of 5375
securities dealers, through a bank, savings bank, or savings and 5376
loan association regulated by the superintendent of financial 5377
institutions, or through an institution regulated by the 5378
comptroller of the currency, federal deposit insurance 5379
corporation, or board of governors of the federal reserve system.5380

       (2) Payment for investments shall be made only upon the 5381
delivery of securities representing such investments to the 5382
treasurer, investing authority, or qualified trustee. If the 5383
securities transferred are not represented by a certificate, 5384
payment shall be made only upon receipt of confirmation of 5385
transfer from the custodian by the treasurer, governing board, or 5386
qualified trustee.5387

       (K)(1) Except as otherwise provided in division (K)(2) of5388
this section, no investing authority shall make an investment or 5389
deposit under this section, unless there is on file with the 5390
auditor of state a written investment policy approved by the 5391
investing authority. The policy shall require that all entities 5392
conducting investment business with the investing authority shall 5393
sign the investment policy of that investing authority. All5394
brokers, dealers, and financial institutions, described in 5395
division (J)(1) of this section, initiating transactions with the 5396
investing authority by giving advice or making investment 5397
recommendations shall sign the investing authority's investment 5398
policy thereby acknowledging their agreement to abide by the5399
policy's contents. All brokers, dealers, and financial 5400
institutions, described in division (J)(1) of this section, 5401
executing transactions initiated by the investing authority, 5402
having read the policy's contents, shall sign the investment 5403
policy thereby acknowledging their comprehension and receipt.5404

       (2) If a written investment policy described in division 5405
(K)(1) of this section is not filed on behalf of the county with 5406
the auditor of state, the investing authority of that county shall 5407
invest the county's inactive moneys and moneys of the county 5408
library and local government supportlibraries fund only in time 5409
certificates of deposits or savings or deposit accounts pursuant 5410
to division (A)(3) of this section, no-load money market mutual 5411
funds pursuant to division (A)(5) of this section, or the Ohio 5412
subdivision's fund pursuant to division (A)(6) of this section.5413

       (L)(1) The investing authority shall establish and maintain 5414
an inventory of all obligations and securities acquired by the 5415
investing authority pursuant to this section. The inventory shall5416
include a description of each obligation or security, including 5417
type, cost, par value, maturity date, settlement date, and any 5418
coupon rate.5419

       (2) The investing authority shall also keep a complete record 5420
of all purchases and sales of the obligations and securities made 5421
pursuant to this section.5422

       (3) The investing authority shall maintain a monthly 5423
portfolio report and issue a copy of the monthly portfolio report 5424
describing such investments to the county investment advisory 5425
committee, detailing the current inventory of all obligations and 5426
securities, all transactions during the month that affected the 5427
inventory, any income received from the obligations and 5428
securities, and any investment expenses paid, and stating the 5429
names of any persons effecting transactions on behalf of the 5430
investing authority.5431

       (4) The monthly portfolio report shall be a public record and 5432
available for inspection under section 149.43 of the Revised Code.5433

       (5) The inventory and the monthly portfolio report shall be 5434
filed with the board of county commissioners.5435

       (M) An investing authority may enter into a written 5436
investment or deposit agreement that includes a provision under 5437
which the parties agree to submit to nonbinding arbitration to 5438
settle any controversy that may arise out of the agreement, 5439
including any controversy pertaining to losses of public moneys 5440
resulting from investment or deposit. The arbitration provision 5441
shall be set forth entirely in the agreement, and the agreement 5442
shall include a conspicuous notice to the parties that any party 5443
to the arbitration may apply to the court of common pleas of the 5444
county in which the arbitration was held for an order to vacate,5445
modify, or correct the award. Any such party may also apply to the 5446
court for an order to change venue to a court of common pleas 5447
located more than one hundred miles from the county in which the 5448
investing authority is located.5449

       For purposes of this division, "investment or deposit 5450
agreement" means any agreement between an investing authority and 5451
a person, under which agreement the person agrees to invest, 5452
deposit, or otherwise manage, on behalf of the investing 5453
authority, a county's inactive moneys or moneys in a county 5454
library and local government supportlibraries fund, or agrees to 5455
provide investment advice to the investing authority.5456

       (N) An investment held in the county portfolio on September5457
27, 1996, that was a legal investment under the law as it existed5458
before September 27, 1996, may be held until maturity, or if the 5459
investment does not have a maturity date the investment may be 5460
held until five years from September 27, 1996, regardless of 5461
whether the investment would qualify as a legal investment under 5462
the terms of this section as amended.5463

       Sec. 135.352.  The investment authority shall invest all 5464
moneys in the county library and local government support5465
libraries fund that are not distributed due to an appeal of the 5466
budget commission's allocation of such fund. Interest earned on5467
such investments shall be credited to the fund and distributed in 5468
accordance with section 5747.48 of the Revised Code.5469

       Sec. 151.08.  This section applies to obligations as defined 5470
in this section.5471

       (A) As used in this section:5472

       (1) "Capital facilities" or "capital improvement projects" 5473
means the acquisition, construction, reconstruction, improvement, 5474
planning, and equipping of roads and bridges, waste water 5475
treatment systems, water supply systems, solid waste disposal 5476
facilities, flood control systems, and storm water and sanitary 5477
collection, storage, and treatment facilities, including real5478
property, interests in real property, facilities, and equipment 5479
related or incidental to those facilities.5480

       (2) "Costs of capital facilities" include related direct 5481
administrative expenses and allocable portions of direct costs of 5482
the Ohio public works commission and the local subdivision.5483

       (3) "Local subdivision" means any county, municipal 5484
corporation, township, sanitary district, or regional water and 5485
sewer district.5486

       (4) "Obligations" means obligations as defined in section 5487
151.01 of the Revised Code issued to pay costs of capital 5488
facilities.5489

       (B)(1) The issuing authority shall issue obligations to pay 5490
costs of financing or assisting in the financing of the capital5491
improvement projects of local subdivisions pursuant to Section 2m 5492
of Article VIII, Ohio Constitution, section 151.01 of the Revised 5493
Code, and this section. Not more than one hundred twenty million 5494
dollars principal amount of obligations, plus the principal amount 5495
of obligations that in any prior fiscal years could have been, but 5496
were not, issued within that one-hundred-twenty-million dollar5497
fiscal year limit, may be issued in any fiscal year. Not more than 5498
one billion two hundred million dollars principal amount of 5499
obligations pursuant to Section 2m of Article VIII, Ohio 5500
Constitution may be issued for the purposes of this section and 5501
division (B)(2) of section 164.09 of the Revised Code.5502

       (2) The issuing authority shall issue obligations to pay 5503
costs of financing or assisting in the financing of the capital 5504
improvement projects of local subdivisions pursuant to Section 2p 5505
of Article VIII, Ohio Constitution, section 151.01 of the Revised 5506
Code, and this section. Not more than one hundred twenty million 5507
dollars in principal amount of such obligations may be issued in 5508
any of the first five fiscal years of issuance and not more than 5509
one hundred fifty million dollars in principal amount of such 5510
obligations may be issued in any of the next five fiscal years, 5511
plus in each case the principal amount of such obligations that in 5512
any prior fiscal year could have been but were not issued within 5513
those fiscal year limits. No obligations shall be issued for the 5514
purposes of this section pursuant to Section 2p of Article VIII, 5515
Ohio Constitution, until at least one billion one hundred 5516
ninety-nine million five hundred thousand dollars aggregate 5517
principal amount of obligations have been issued pursuant to 5518
Section 2m of Article VIII, Ohio Constitution. Not more than one 5519
billion three hundred fifty million dollars principal amount of 5520
obligations may be issued pursuant to Section 2p of Article VIII, 5521
Ohio Constitution for the purposes of this section.5522

       (C) Net proceeds of obligations shall be deposited into the 5523
state capital improvements fund created by section 164.08 of the 5524
Revised Code.5525

       (D) There is hereby created in the state treasury the "state5526
capital improvements bond service fund." All moneys received by 5527
the state and required by the bond proceedings, consistent with 5528
this section and section 151.01 of the Revised Code, to be 5529
deposited, transferred, or credited to the bond service fund, and 5530
all other moneys transferred or allocated to or received for the 5531
purposes of that fund, shall be deposited and credited to the bond 5532
service fund, subject to any applicable provisions of the bond 5533
proceedings but without necessity for any act of appropriation. 5534
During the period beginning with the date of the first issuance of 5535
obligations and continuing during the time that any obligations 5536
are outstanding in accordance with their terms, so long as moneys 5537
in the bond service fund are insufficient to pay debt service when 5538
due on those obligations payable from that fund (except the 5539
principal amounts of bond anticipation notes payable from the 5540
proceeds of renewal notes or bonds anticipated) and due in the 5541
particular fiscal year, a sufficient amount of revenues of the 5542
state is committed and, without necessity for further act of5543
appropriation, shall be paid to the bond service fund for the 5544
purpose of paying that debt service when due.5545

       Sec. 151.40. (A) As used in this section:5546

       (1) "Bond proceedings" includes any trust agreements, and any 5547
amendments or supplements to them, as authorized by this section.5548

       (2) "Costs of revitalization projects" includes related5549
direct administrative expenses and allocable portions of the5550
direct costs of those projects of the department of development or5551
the environmental protection agency.5552

       (3) "Issuing authority" means the treasurer of state.5553

       (4) "Obligations" means obligations as defined in section5554
151.01 of the Revised Code issued to pay the costs of projects for5555
revitalization purposes as referred to in division (A)(2) of5556
Section 2o of Article VIII, Ohio Constitution.5557

       (5) "Pledged liquor profits" means all receipts of the state5558
representing the gross profit on the sale of spirituous liquor, as5559
referred to in division (B)(4) of section 4301.10 of the Revised5560
Code, after paying all costs and expenses of the division of5561
liquor control and providing an adequate working capital reserve5562
for the division of liquor control as provided in that division,5563
but excluding the sum required by the second paragraph of section5564
4301.12 of the Revised Code, as it was in effect on May 2, 1980,5565
to be paid into the state treasury.5566

       (6) "Pledged receipts" means, as and to the extent provided5567
in bond proceedings:5568

       (a) Pledged liquor profits. The pledge of pledged liquor5569
profits to obligations is subject to the priority of the pledge of5570
those profits to obligations issued and to be issued pursuant to 5571
Chapter 166. of the Revised Code.5572

       (b) Moneys accruing to the state from the lease, sale, or5573
other disposition or use of revitalization projects or from the5574
repayment, including any interest, of loans or advances made from5575
net proceeds;5576

       (c) Accrued interest received from the sale of obligations;5577

       (d) Income from the investment of the special funds;5578

       (e) Any gifts, grants, donations, or pledges, and receipts5579
therefrom, available for the payment of debt service;5580

       (f) Additional or any other specific revenues or receipts5581
lawfully available to be pledged, and pledged, pursuant to further5582
authorization by the general assembly, to the payment of debt5583
service.5584

       (B)(1) The issuing authority shall issue obligations of the5585
state to pay costs of revitalization projects pursuant to division5586
(B)(2) of Section 2o of Article VIII, Ohio Constitution, section5587
151.01 of the Revised Code as applicable to this section, and this5588
section. The issuing authority, upon the certification to it by5589
the clean Ohio council of the amount of moneys needed in and for5590
the purposes of the clean Ohio revitalization fund created by5591
section 122.658 of the Revised Code, shall issue obligations in5592
the amount determined by the issuing authority to be required for5593
those purposes. Not more than two hundred million dollars 5594
principal amount of obligations issued under this section for 5595
revitalization purposes may be outstanding at any one time. Not 5596
more than fifty million dollars principal amount of obligations, 5597
plus the principal amount of obligations that in any prior fiscal 5598
year could have been, but were not issued within the 5599
fifty-million-dollar fiscal year limit, may be issued in any 5600
fiscal year.5601

       (2) The provisions and authorizations in section 151.01 of 5602
the Revised Code apply to the obligations and the bond proceedings 5603
except as otherwise provided or provided for in those obligations 5604
and bond proceedings.5605

       (C) Net proceeds of obligations shall be deposited in the5606
clean Ohio revitalization fund created in section 122.658 of the5607
Revised Code.5608

       (D) There is hereby created the revitalization projects bond5609
service fund, which shall be in the custody of the treasurer of5610
state, but shall be separate and apart from and not a part of the5611
state treasury. All money received by the state and required by5612
the bond proceedings, consistent with section 151.01 of the5613
Revised Code and this section, to be deposited, transferred, or5614
credited to the bond service fund, and all other money transferred5615
or allocated to or received for the purposes of that fund, shall5616
be deposited and credited to the bond service fund, subject to any5617
applicable provisions of the bond proceedings, but without5618
necessity for any act of appropriation. During the period5619
beginning with the date of the first issuance of obligations and5620
continuing during the time that any obligations are outstanding in5621
accordance with their terms, so long as moneys in the bond service5622
fund are insufficient to pay debt service when due on those5623
obligations payable from that fund, except the principal amounts5624
of bond anticipation notes payable from the proceeds of renewal5625
notes or bonds anticipated, and due in the particular fiscal year,5626
a sufficient amount of pledged receipts is committed and, without5627
necessity for further act of appropriation, shall be paid to the5628
bond service fund for the purpose of paying that debt service when5629
due.5630

       (E) The issuing authority may pledge all, or such portion as5631
the issuing authority determines, of the pledged receipts to the5632
payment of the debt service charges on obligations issued under5633
this section, and for the establishment and maintenance of any5634
reserves, as provided in the bond proceedings, and make other5635
provisions in the bond proceedings with respect to pledged5636
receipts as authorized by this section, which provisions are5637
controlling notwithstanding any other provisions of law pertaining5638
to them.5639

       (F) The issuing authority may covenant in the bond5640
proceedings, and such covenants shall be controlling5641
notwithstanding any other provision of law, that the state and5642
applicable officers and state agencies, including the general5643
assembly, so long as any obligations issued under this section are5644
outstanding, shall maintain statutory authority for and cause to5645
be charged and collected wholesale or retail prices for spirituous5646
liquor sold by the state or its agents so that the available5647
pledged receipts are sufficient in time and amount to meet debt5648
service payable from pledged liquor profits and for the5649
establishment and maintenance of any reserves and other5650
requirements provided for in the bond proceedings.5651

       (G) Obligations may be further secured, as determined by the5652
issuing authority, by a trust agreement between the state and a5653
corporate trustee, which may be any trust company or bank having5654
its principala place of business within the state. Any trust5655
agreement may contain the resolution or order authorizing the5656
issuance of the obligations, any provisions that may be contained5657
in any bond proceedings, and other provisions that are customary5658
or appropriate in an agreement of that type, including, but not5659
limited to:5660

       (1) Maintenance of each pledge, trust agreement, or other5661
instrument comprising part of the bond proceedings until the state5662
has fully paid or provided for the payment of debt service on the5663
obligations secured by it;5664

       (2) In the event of default in any payments required to be5665
made by the bond proceedings, enforcement of those payments or5666
agreements by mandamus, the appointment of a receiver, suit in5667
equity, action at law, or any combination of them;5668

       (3) The rights and remedies of the holders or owners of5669
obligations and of the trustee and provisions for protecting and5670
enforcing them, including limitations on rights of individual5671
holders and owners.5672

       (H) The obligations shall not be general obligations of the5673
state and the full faith and credit, revenue, and taxing power of5674
the state shall not be pledged to the payment of debt service on5675
them. The holders or owners of the obligations shall have no right5676
to have any moneys obligated or pledged for the payment of debt5677
service except as provided in this section and in the applicable5678
bond proceedings. The rights of the holders and owners to payment5679
of debt service are limited to all or that portion of the pledged5680
receipts, and those special funds, pledged to the payment of debt5681
service pursuant to the bond proceedings in accordance with this5682
section, and each obligation shall bear on its face a statement to5683
that effect.5684

       Sec. 152.31.  The Ohio building authority may construct and5685
operate capital facilities for the housing of branches and 5686
agencies of state government, municipal corporations, counties, or 5687
other governmental entities, in any municipal corporation when the 5688
municipal corporation and the authority agree on a location and 5689
all of the following occur:5690

       (A) Two or more of such agencies or governmental entities5691
submit to the authority an application requesting the authority to 5692
construct and operate capital facilities and expressing their 5693
intent to become the initial tenants of the capital facilities and 5694
to thereby occupy all of its available office space;5695

       (B) Any municipal corporation, county, township, or other5696
governmental entities joining in the submission of an application5697
pursuant to division (A) of this section further submits a lease5698
committing it to occupy, for a period equal to the greater of 5699
twenty consecutive years from the date of initial occupancy or the 5700
term of any bonds issued by the authority for the capital 5701
facilities, the capital facilities that, through the application, 5702
it expressed its intent to initially occupy, and obligating it to 5703
pay such rent as the authority determines to be appropriate. 5704
Notwithstanding any other section of the Revised Code, any 5705
governmental entity may enter into such a lease and any such lease 5706
is legally sufficient to obligate the governmental entity for the 5707
term stated therein. Any such lease shall constitute an agreement 5708
described in division (E) of section 152.24 of the Revised Code.5709

       If rental payments required by a lease established pursuant5710
to this division are not paid in accordance with the provision of5711
such a lease, the funds which would otherwise be apportioned to5712
the lessees from the county undivided local governmentcommunities5713
fund, pursuant to sections 5747.51 to 5747.53 of the Revised Code,5714
shall be reduced by the amount of rent payable to the authority.5715
The county treasurer shall immediately pay the amount of such5716
reductions to the authority.5717

       All rents charged by the authority for occupancy of such a5718
capital facility shall be fixed and expended pursuant to section 5719
152.16 of the Revised Code. Any lease with the department of5720
administrative services with respect to such a capital facility 5721
may provide for rental payments that satisfy the requirements of5722
section 152.16 of the Revised Code, but the amount of any rentals5723
paid by other tenants in the capital facility pursuant to leases 5724
with the authority shall be credited against such rental payments 5725
of the department of administrative services. Any lease with the5726
department of administrative services or a using state agency may5727
provide for the payment of rental payments that satisfy the 5728
requirements of section 152.16 of the Revised Code prior to 5729
initial occupancy of such capital facility. In the process of 5730
inviting bids and awarding contracts, the authority shall be 5731
guided by the procedures set forth in sections 153.01 to 153.20 of 5732
the Revised Code. Any provision of sections 152.21, 152.22, and 5733
152.26 of the Revised Code that applies to capital facilities 5734
described in section 152.19 of the Revised Code also applies to 5735
the capital facilities described in this section unless it is 5736
inconsistent with this section.5737

       Sec. 156.02.  The director of administrative services may5738
contract with an energy services company, contractor, architect,5739
professional engineer, or other person experienced in the design5740
and implementation of energy conservation measures for a report5741
containing an analysis and recommendations pertaining to the5742
implementation of energy conservation measures that would5743
significantly reduce energy consumption and operating costs in any 5744
buildings owned by the state and, upon request of its board of 5745
trustees or managing authority, any building owned by an 5746
institution of higher education as defined in section 3345.12 of 5747
the Revised Code. The report shall include estimates of all costs 5748
of such measures, including the costs of design, engineering, 5749
installation, maintenance, repairs, and debt service, and 5750
estimates of the amounts by which energy consumption and operating 5751
costs would be reduced. The cost of each report requested by the 5752
board or managing authority of an institution of higher education 5753
shall be paid by the institution of higher education.5754

       Sec. 164.03.  For the purpose of allocating the funds made5755
available to finance public infrastructure capital improvement 5756
projects of local subdivisions through the issuance of general 5757
obligations of the state of Ohio pursuant to Section 2k or, 2m, or 5758
2p of Article VIII, Ohio Constitution, the state is divided into 5759
the following districts:5760

       District one. Cuyahoga county shall constitute district one.5761

       District two. Hamilton county shall constitute district two.5762

       District three. Franklin county shall constitute district 5763
three.5764

       District four. Montgomery county shall constitute district 5765
four.5766

       District five. Defiance, Erie, Fulton, Henry, Ottawa,5767
Paulding, Sandusky, Williams, and Wood counties shall constitute5768
district five.5769

       District six. Mahoning and Trumbull counties shall constitute 5770
district six.5771

       District seven. Ashtabula, Geauga, Lake, and Portage counties 5772
shall constitute district seven.5773

       District eight. Summit county shall constitute district5774
eight.5775

       District nine. Lorain, Huron, and Medina counties shall5776
constitute district nine.5777

       District ten. Butler, Clermont, Clinton, and Warren counties 5778
shall constitute district ten.5779

       District eleven. Champaign, Clark, Darke, Greene, Madison,5780
Miami, Preble, and Union counties shall constitute district5781
eleven.5782

       District twelve. Lucas county shall constitute district5783
twelve.5784

       District thirteen. Allen, Auglaize, Hancock, Logan, Mercer, 5785
Putnam, Shelby, and Van Wert counties shall constitute district 5786
thirteen.5787

       District fourteen. Carroll, Columbiana, Coshocton, Guernsey, 5788
Harrison, Holmes, Jefferson, and Tuscarawas counties shall 5789
constitute district fourteen.5790

       District fifteen. Adams, Brown, Fayette, Gallia, Highland,5791
Jackson, Lawrence, Pike, Ross, Scioto, and Vinton counties shall5792
constitute district fifteen.5793

       District sixteen. Ashland, Crawford, Hardin, Marion,5794
Richland, Seneca, Wayne, and Wyandot counties shall constitute5795
district sixteen.5796

       District seventeen. Delaware, Fairfield, Knox, Licking,5797
Morrow, and Pickaway counties shall constitute district seventeen.5798

       District eighteen. Athens, Belmont, Hocking, Meigs, Monroe, 5799
Morgan, Muskingum, Noble, Perry, and Washington counties shall 5800
constitute district eighteen.5801

       District nineteen. Stark county shall constitute district5802
nineteen.5803

       Sec. 164.05.  (A) The director of the Ohio public works5804
commission shall do all of the following:5805

       (1) Approve requests for financial assistance from district 5806
public works integrating committees and enter into agreements with 5807
one or more local subdivisions to provide loans, grants, and local 5808
debt support and credit enhancements for a capital improvement 5809
project if the director determines that:5810

       (a) The project is an eligible project pursuant to this5811
chapter;5812

       (b) The financial assistance for the project has been5813
properly approved and requested by the district committee of the5814
district which includes the recipient of the loan or grant;5815

       (c) The amount of the financial assistance, when added to all 5816
other financial assistance provided during the fiscal year for 5817
projects within the district, does not exceed that district's5818
allocation of money from the state capital improvements fund for5819
that fiscal year;5820

       (d) The district committee has provided such documentation5821
and other evidence as the director may require that the district5822
committee has satisfied the requirements of section 164.06 or5823
164.14 of the Revised Code;5824

       (e) The portion of a district's annual allocation which the 5825
director approves in the form of loans and local debt support and 5826
credit enhancements for eligible projects is consistent with5827
divisions (E) and (F) of this section.5828

       (2) Authorize payments to local subdivisions or their5829
contractors for costs incurred for capital improvement projects5830
which have been approved pursuant to this chapter. All requests5831
for payments shall be submitted to the director on forms and in5832
accordance with procedures specified in rules adopted by the5833
director pursuant to division (A)(4) of this section.5834

       (3) Retain the services of or employ financial consultants, 5835
engineers, accountants, attorneys, and such other employees as the 5836
director determines are necessary to carry out the director's 5837
duties under this chapter and fix the compensation for their 5838
services;5839

       (4) Adopt rules establishing the procedures for making5840
applications, reviewing, approving, and rejecting projects for5841
which assistance is authorized under this chapter, and any other5842
rules needed to implement the provisions of this chapter. Such5843
rules shall be adopted under Chapter 119. of the Revised Code.5844

       (5) Provide information and other assistance to local5845
subdivisions and district public works integrating committees in5846
developing their requests for financial assistance for capital5847
improvements under this chapter and encourage cooperation and5848
coordination of requests and the development of multisubdivision5849
and multidistrict projects in order to maximize the benefits that5850
may be derived by districts from each year's allocation;5851

       (6) Require local subdivisions, to the extent practicable, to 5852
use Ohio products, materials, services, and labor in connection 5853
with any capital improvement project financed in whole or in part 5854
under this chapter;5855

       (7) Notify the director of budget and management of all5856
approved projects, and supply all information necessary to track5857
approved projects through the state accounting system;5858

       (8) Appoint the administrator of the Ohio small government5859
capital improvements commission;5860

       (9) Do all other acts, enter into contracts, and execute all 5861
instruments necessary or appropriate to carry out this chapter;5862

       (10) Develop a standardized methodology for evaluating5863
capital improvement needs which will be used by local subdivisions 5864
in preparing the plans required by division (C) of section 164.06 5865
of the Revised Code. The director shall develop this methodology 5866
not later than July 1, 1991.5867

       (11) Establish a program to provide local subdivisions with 5868
technical assistance in preparing project applications. The5869
program shall be designed to assist local subdivisions that lack5870
the financial or technical resources to prepare project5871
applications on their own.5872

       (B) When the director of the Ohio public works commission5873
decides to conditionally approve or disapprove projects, the5874
director's decisions and the reasons for which they are made shall 5875
be made in writing. These written decisions shall be conclusive 5876
for the purposes of the validity and enforceability of such 5877
determinations.5878

       (C) Fees, charges, rates of interest, times of payment of5879
interest and principal, and other terms, conditions, and5880
provisions of and security for financial assistance provided5881
pursuant to the provisions of this chapter shall be such as the5882
director determines to be appropriate. If any payments required by 5883
a loan agreement entered into pursuant to this chapter are not5884
paid, the funds which would otherwise be apportioned to the local5885
subdivision from the county undivided local governmentcommunities5886
fund, pursuant to sections 5747.51 to 5747.53 of the Revised Code, 5887
may, at the direction of the director of the Ohio public works5888
commission, be reduced by the amount payable. The county treasurer 5889
shall, at the direction of the director, pay the amount of such 5890
reductions to the state capital improvements revolving loan fund. 5891
The director may renegotiate a loan repayment schedule with a 5892
local subdivision whose payments from the county undivided local 5893
governmentcommunities fund could be reduced pursuant to this5894
division, but such a renegotiation may occur only one time with5895
respect to any particular loan agreement.5896

       (D) Grants approved for the repair and replacement of5897
existing infrastructure pursuant to this chapter shall not exceed5898
ninety per cent of the estimated total cost of the capital5899
improvement project. Grants approved for new or expanded5900
infrastructure shall not exceed fifty per cent of the estimated5901
cost of the new or expansion elements of the capital improvement5902
project. A local subdivision share of the estimated cost of a5903
capital improvement may consist of any of the following:5904

       (1) The reasonable value, as determined by the director or5905
the administrator, of labor, materials, and equipment that will be 5906
contributed by the local subdivision in performing the capital5907
improvement project;5908

       (2) Moneys received by the local subdivision in any form from 5909
an authority, commission, or agency of the United States for use 5910
in performing the capital improvement project;5911

       (3) Loans made to the local subdivision under this chapter;5912

       (4) Engineering costs incurred by the local subdivision in5913
performing engineering activities related to the project.5914

       A local subdivision share of the cost of a capital5915
improvement shall not include any amounts awarded to it from the5916
local transportation improvement program fund created in section5917
164.14 of the Revised Code.5918

       (E) The following portion of a district public works5919
integrating committee's annual allocation share pursuant to5920
section 164.08 of the Revised Code may be awarded to subdivisions5921
only in the form of interest-free, low-interest, market rate of5922
interest, or blended-rate loans:5923

YEAR IN WHICH PORTION USED FOR 5924
MONEYS ARE ALLOCATED LOANS 5925
Year 1 0% 5926
Year 2 0% 5927
Year 3 10% 5928
Year 4 12% 5929
Year 5 15% 5930
Year 6 20% 5931
Year 7, 8, 9, and 10 22% 5932

       (F) The following portion of a district public works5933
integrating committee's annual allocation pursuant to section5934
164.08 of the Revised Code shall be awarded to subdivisions in the 5935
form of local debt supported and credit enhancements:5936

PORTIONS USED FOR 5937
YEAR IN WHICH LOCAL DEBT SUPPORT 5938
MONEYS ARE ALLOCATED AND CREDIT ENHANCEMENTS 5939
Year 1 0% 5940
Year 2 0% 5941
Year 3 3% 5942
Year 4 5% 5943
Year 5 5% 5944
Year 6 7% 5945
Year 7 7% 5946
Year 8 8% 5947
Year 9 8% 5948
Year 10 8% 5949

       (G) For the period commencing on March 29, 1988 and ending on 5950
June 30, 1993, for the period commencing July 1, 1993, and ending 5951
June 30, 1999, and for each five-year period thereafter, the total 5952
amount of financial assistance awarded under sections 164.01 to 5953
164.08 of the Revised Code for capital improvement projects 5954
located wholly or partially within a county shall be equal to at 5955
least thirty per cent of the amount of what the county would have 5956
been allocated from the obligations authorized to be sold under 5957
this chapter during each period, if such amounts had been 5958
allocable to each county on a per capita basis.5959

       (H) The amount of the annual allocations made pursuant to5960
divisions (B)(1) and (6) of section 164.08 of the Revised Code5961
which can be used for new or expanded infrastructure is limited as 5962
follows:5963

PORTION WHICH MAY 5964
YEAR IN WHICH BE USED FOR NEW OR 5965
MONEYS ARE ALLOCATED EXPANSION INFRASTRUCTURE 5966
Year 1 5% 5967
Year 2 5% 5968
Year 3 10% 5969
Year 4 10% 5970
Year 5 10% 5971
Year 6 15% 5972
Year 7 15% 5973
Year 8 20% 5974
Year 9 20% 5975
Year 10 and each year 5976
thereafter 20% 5977

       (I) The following portion of a district public works5978
integrating committee's annual allocation share pursuant to 5979
section 164.08 of the Revised Code shall be awarded to 5980
subdivisions in the form of interest-free, low-interest, market 5981
rate of interest, or blended-rate loans, or local debt support and 5982
credit enhancements:5983

PORTION USED FOR LOANS 5984
YEAR IN WHICH OR LOCAL DEBT SUPPORT 5985
MONEYS ARE ALLOCATED AND CREDIT ENHANCEMENTS 5986
Year 11 and each year 5987
thereafter 20% 5988

       (J) No project shall be approved under this section unless 5989
the project is designed to have a useful life of at least seven 5990
years. In addition, the average useful life of all projects for 5991
which grants or loans are awarded in each district during a 5992
program year shall not be less than twenty years.5993

       Sec. 164.051.  (A) The administrator of the Ohio small5994
government capital improvements commission shall review projects5995
submitted to himthe administrator by subcommittees of district5996
public works integrating committees in accordance with section 5997
164.06 of the Revised Code. If hethe administrator determines 5998
that a project satisfies the criteria of division (B) of that 5999
section, while taking into consideration the special needs of 6000
villages and townships, the administrator shall recommend to the 6001
Ohio small government capital improvements commission that the 6002
project be approved. If hethe administrator determines that a 6003
project should not be approved or that a decision on the project 6004
should be delayed, such determinations and an explanation should 6005
also be sent to the Ohio small government capital improvements 6006
commission for final resolution.6007

       (B) With respect to projects which the Ohio small government 6008
capital improvements commission approves, the administrator is 6009
authorized to:6010

       (1) Enter into agreements to provide financial assistance in 6011
the form of loans, grants, or local debt support and credit6012
enhancements to villages or townships with populations in the6013
unincorporated areas of the township of less than five thousand;6014

       (2) Authorize payments to such villages or townships or their 6015
contractors for the costs incurred for capital improvement6016
projects which have been approved in accordance with this chapter. 6017
All requests for payments shall be submitted to the administrator 6018
on forms and in accordance with procedures specified in rules 6019
adopted pursuant to division (A)(4) of section 164.05 of the 6020
Revised Code.6021

       (3) Notify the director of budget and management of all6022
approved projects, and supply all information necessary to track6023
the approved projects through the state accounting system.6024

       (4) Do all other acts and enter into contracts and execute6025
all instruments necessary or appropriate to carry out this6026
section.6027

       (C) Fees, charges, rates of interest, times of payment of6028
interest and principal, and other terms, conditions, and6029
provisions of and security for financial assistance provided6030
pursuant to the provisions of this section shall be such as the6031
administrator determines to be appropriate. If any payments6032
required by a loan agreement entered into pursuant to this section 6033
are not paid, the funds which would otherwise be apportioned to 6034
the local subdivision from the county undivided local government6035
communities fund, pursuant to sections 5747.51 to 5747.53 of the 6036
Revised Code, may, at the direction of the Ohio small government 6037
capital improvements commission, be reduced by the amount payable. 6038
The county treasurer shall, at the direction of the commission, 6039
pay the amount of such reductions to the state capital 6040
improvements revolving loan fund. Subject to the approval of the 6041
Ohio small government capital improvements commission, the 6042
administrator may renegotiate a loan repayment schedule with a 6043
local subdivision whose payments from the county undivided local 6044
governmentcommunities fund could be reduced pursuant to this6045
division, but such a renegotiation may occur only one time with6046
respect to any particular loan agreement.6047

       Sec. 164.08.  (A) Except as provided in sections 151.01 and 6048
151.08 or section 164.09 of the Revised Code, the net proceeds of 6049
obligations issued and sold by the treasurer of state pursuant to 6050
section 164.09 of the Revised Code before September 30, 2000, or 6051
pursuant to sections 151.01 and 151.08 of the Revised Code, for 6052
the purpose of financing or assisting in the financing of the cost 6053
of public infrastructure capital improvement projects of local 6054
subdivisions, as provided for in Section 2k or, 2m, or 2p of 6055
Article VIII, Ohio Constitution, and this chapter, shall be paid 6056
into the state capital improvements fund, which is hereby created 6057
in the state treasury. Investment earnings on moneys in the fund 6058
shall be credited to the fund.6059

       (B) Each program year the amount of obligations authorized by 6060
the general assembly in accordance with sections 151.01 and 151.086061
or section 164.09 of the Revised Code, excluding the proceeds of 6062
refunding or renewal obligations, shall be allocated by the 6063
director of the Ohio public works commission as follows:6064

       (1) First, twelve million dollars of the amount of6065
obligations authorized shall be allocated to provide financial6066
assistance to villages and to townships with populations in the6067
unincorporated areas of the township of less than five thousand6068
persons, for capital improvements in accordance with section6069
164.051 and division (D) of section 164.06 of the Revised Code. As 6070
used in division (B)(1) of this section, "capital improvements" 6071
includes resurfacing and improving roads.6072

       (2) Following the allocation required by division (B)(1) of 6073
this section, the director may allocate two million five hundred 6074
thousand dollars of the authorized obligations to provide 6075
financial assistance to local subdivisions for capital improvement 6076
projects which in the judgment of the director of the Ohio public 6077
works commission are necessary for the immediate preservation of 6078
the health, safety, and welfare of the citizens of the local 6079
subdivision requesting assistance.6080

       (3) For the second, third, fourth, and fifth years that6081
obligations are authorized and are available for allocation under6082
this chapter, one million dollars shall be allocated to the sewer6083
and water fund created in section 1525.11 of the Revised Code.6084
Money from this allocation shall be transferred to that fund when6085
needed to support specific payments from that fund.6086

       (4) For program years twelve and fourteen that obligations 6087
are authorized and available for allocation under this chapter, 6088
two million dollars each program year shall be allocated to the 6089
small county capital improvement program for use in providing 6090
financial assistance under division (F) of section 164.02 of the 6091
Revised Code.6092

       (5) After the allocation required by division (B)(3) of this 6093
section is made, the director shall determine the amount of the 6094
remaining obligations authorized to be issued and sold that each 6095
county would receive if such amounts were allocated on a per6096
capita basis each year. If a county's per capita share for the6097
year would be less than three hundred thousand dollars, the6098
director shall allocate to the district in which that county is6099
located an amount equal to the difference between three hundred6100
thousand dollars and the county's per capita share.6101

       (6) After making the allocation required by division (B)(5) 6102
of this section, the director shall allocate the remaining amount 6103
to each district on a per capita basis.6104

       (C)(1) There is hereby created in the state treasury the6105
state capital improvements revolving loan fund, into which shall6106
be deposited all repayments of loans made to local subdivisions6107
for capital improvements pursuant to this chapter. Investment 6108
earnings on moneys in the fund shall be credited to the fund.6109

       (2) There may also be deposited in the state capital6110
improvements revolving loan fund moneys obtained from federal or6111
private grants, or from other sources, which are to be used for6112
any of the purposes authorized by this chapter. Such moneys shall 6113
be allocated each year in accordance with division (B)(6) of this 6114
section.6115

       (3) Moneys deposited into the state capital improvements 6116
revolving loan fund shall be used to make loans for the purpose of 6117
financing or assisting in the financing of the cost of capital6118
improvement projects of local subdivisions.6119

       (4) Investment earnings credited to the state capital 6120
improvements revolving loan fund that exceed the amounts required 6121
to meet estimated federal arbitrage rebate requirements shall be 6122
used to pay costs incurred by the public works commission in 6123
administering this section. Investment earnings credited to the 6124
state capital improvements revolving loan fund that exceed the 6125
amounts required to pay for the administrative costs and estimated 6126
rebate requirements shall be allocated to each district on a per 6127
capita basis.6128

       (5) Each program year, loan repayments received and on 6129
deposit in the state capital improvements revolving loan fund 6130
shall be allocated as follows:6131

       (a) Each district public works integrating committee shall be 6132
allocated an amount equal to the sum of all loan repayments made 6133
to the state capital improvements revolving loan fund by local 6134
subdivisions that are part of the district. Moneys not used in a 6135
program year may be used in the next program year in the same 6136
manner and for the same purpose as originally allocated.6137

       (b) Loan repayments made pursuant to projects approved under 6138
division (B)(1) of this section shall be used to make loans in 6139
accordance with section 164.051 and division (D) of section 164.06 6140
of the Revised Code. Allocations for this purpose made pursuant to 6141
division (C)(5) of this section shall be in addition to the 6142
allocation provided in division (B)(1) of this section.6143

       (c) Loan repayments made pursuant to projects approved under 6144
division (B)(2) of this section shall be used to make loans in 6145
accordance with division (B)(2) of this section. Allocations for 6146
this purpose made pursuant to division (C)(5) of this section 6147
shall be in addition to the allocation provided in division (B)(2) 6148
of this section.6149

       (d) Loans made from the state capital improvements revolving 6150
loan fund shall not be limited in their usage by divisions (E), 6151
(F), (G), (H), and (I) of section 164.05 of the Revised Code.6152

       (D) Investment earnings credited to the state capital6153
improvements fund that exceed the amounts required to meet6154
estimated federal arbitrage rebate requirements shall be used to6155
pay costs incurred by the public works commission in administering 6156
sections 164.01 to 164.12 of the Revised Code.6157

       (E) The director of the Ohio public works commission shall6158
notify the director of budget and management of the amounts6159
allocated pursuant to this section and such information shall be6160
entered into the state accounting system. The director of budget6161
and management shall establish appropriation line items as needed6162
to track these allocations.6163

       (F) If the amount of a district's allocation in a program6164
year exceeds the amount of financial assistance approved for the6165
district by the commission for that year, the remaining portion of 6166
the district's allocation shall be added to the district's6167
allocation pursuant to division (B) of this section for the next6168
succeeding year for use in the same manner and for the same6169
purposes as it was originally allocated, except that any portion6170
of a district's allocation which was available for use on new or6171
expanded infrastructure pursuant to division (H) of section 164.05 6172
of the Revised Code shall be available in succeeding years only 6173
for the repair and replacement of existing infrastructure.6174

       (G) When an allocation based on population is made by the6175
director pursuant to division (B) of this section, the director 6176
shall use the most recent decennial census statistics, and shall 6177
not make any reallocations based upon a change in a district's 6178
population.6179

       Sec. 164.09.  (A) The issuer is authorized to issue and sell, 6180
as provided in this section and in amounts from time to time 6181
authorized by the general assembly, general obligations of this 6182
state for the purpose of financing or assisting in the financing 6183
of the costs of public infrastructure capital improvements for 6184
local subdivisions. The full faith and credit, revenues, and 6185
taxing power of the state are and shall be pledged to the timely 6186
payment of bond service charges on outstanding obligations, all in 6187
accordance with Section 2k or 2m of Article VIII, Ohio 6188
Constitution and sections 164.09 to 164.12 of the Revised Code, 6189
excluding from that pledge fees, excises, or taxes relating to the 6190
registration, operation, or use of vehicles on the public 6191
highways, or to fuels used for propelling those vehicles, and so 6192
long as such obligations are outstanding there shall be levied and 6193
collected excises and taxes, excluding those excepted above, in 6194
amounts sufficient to pay the bond service charges on such 6195
obligations and costs relating to credit facilities.6196

       (B)(1) The total principal amount of obligations issued 6197
pursuant to Section 2k of Article VIII, Ohio Constitution shall6198
not exceed one billion two hundred million dollars, and not more6199
than one hundred twenty million dollars in principal amount of6200
obligations may be issued in any calendar year, all determined as6201
provided in sections 164.09 to 164.12 of the Revised Code.6202

       (2) The total principal amount of obligations issued for the 6203
purposes of this section pursuant to Section 2m of Article VIII, 6204
Ohio Constitution, shall not exceed one billion two hundred 6205
million dollars. Not more than one hundred twenty million dollars 6206
in principal amount of such obligations, plus the principal amount 6207
of such obligations that in any prior fiscal years could have been 6208
but were not issued within the one-hundred-twenty-million-dollar 6209
fiscal year limit, may be issued in any fiscal year. No 6210
obligations shall be issued for the purposes of this section 6211
pursuant to Section 2m of Article VIII, Ohio Constitution, until 6212
at least one billion one hundred ninety-nine million five hundred 6213
thousand dollars aggregate principal amount of obligations have 6214
been issued pursuant to Section 2k of Article VIII, Ohio 6215
Constitution. The amounts specified under division (B)(2) of this 6216
section shall be determined as provided in sections 164.09 to 6217
164.12 of the Revised Code.6218

       (C) Each issue of obligations shall be authorized by order of 6219
the issuer. The bond proceedings shall provide for the principal 6220
amount or maximum principal amount of obligations of an issue, and 6221
shall provide for or authorize the manner or agency for 6222
determining the principal maturity or maturities, not exceeding 6223
the earlier of thirty years from the date of issuance of the 6224
particular obligations or thirty years from the date the debt 6225
represented by the particular obligations was originally6226
contracted, the interest rate or rates, the date of and the dates6227
of payment of interest on the obligations, their denominations,6228
and the establishment within or without the state of a place or6229
places of payment of bond service charges. Sections 9.96 and 9.98 6230
to 9.983 of the Revised Code are applicable to the obligations. 6231
The purpose of the obligations may be stated in the bond 6232
proceedings as "financing or assisting in the financing of local 6233
subdivisions capital improvement projects."6234

       (D) The proceeds of the obligations, except for any portion 6235
to be deposited in special funds, or in escrow funds for the 6236
purpose of refunding outstanding obligations, all as may be6237
provided in the bond proceedings, shall be deposited to the state6238
capital improvements fund established by section 164.08 of the6239
Revised Code.6240

       (E) The issuer may appoint paying agents, bond registrars,6241
securities depositories, and transfer agents, and may retain the6242
services of financial advisers and accounting experts, and retain6243
or contract for the services of marketing, remarketing, indexing,6244
and administrative agents, other consultants, and independent6245
contractors, including printing services, as are necessary in the6246
issuer's judgment to carry out sections 164.01 to 164.12 of the6247
Revised Code. Financing costs are payable, as provided in the bond 6248
proceedings, from the proceeds of the obligations, from special 6249
funds, or from other moneys available for the purpose.6250

       (F) The bond proceedings, including any trust agreement, may 6251
contain additional provisions customary or appropriate to the6252
financing or to the obligations or to particular obligations,6253
including but not limited to:6254

       (1) The redemption of obligations prior to maturity at the6255
option of the state or of the holder or upon the occurrence of6256
certain conditions at such price or prices and under such terms6257
and conditions as are provided in the bond proceedings;6258

       (2) The form of and other terms of the obligations;6259

       (3) The establishment, deposit, investment, and application 6260
of special funds, and the safeguarding of moneys on hand or on 6261
deposit, without regard to Chapter 131. or 135. of the Revised 6262
Code, but subject to any special provisions of this section with 6263
respect to particular funds or moneys, and provided that any bank 6264
or trust company that acts as a depository of any moneys in 6265
special funds may furnish such indemnifying bonds or may pledge 6266
such securities as required by the issuer;6267

       (4) Any or every provision of the bond proceedings binding6268
upon the issuer and such state agency or local subdivision,6269
officer, board, commission, authority, agency, department, or6270
other person or body as may from time to time have the authority6271
under law to take such actions as may be necessary to perform all6272
or any part of the duty required by such provision;6273

       (5) The maintenance of each pledge, any trust agreement, or 6274
other instrument comprising part of the bond proceedings until the 6275
state has fully paid or provided for the payment of the bond6276
service charges on the obligations or met other stated conditions;6277

       (6) In the event of default in any payments required to be6278
made by the bond proceedings, or any other agreement of the issuer 6279
made as a part of a contract under which the obligations were 6280
issued or secured, the enforcement of such payments or agreements 6281
by mandamus, suit in equity, action at law, or any combination of 6282
the foregoing;6283

       (7) The rights and remedies of the holders of obligations and 6284
of the trustee under any trust agreement, and provisions for6285
protecting and enforcing them, including limitations on rights of6286
individual holders of obligations;6287

       (8) The replacement of any obligations that become mutilated 6288
or are destroyed, lost, or stolen;6289

       (9) Provision for the funding, refunding, or advance6290
refunding or other provision for payment of obligations which will 6291
then no longer be outstanding for purposes of this section or of 6292
the bond proceedings;6293

       (10) Any provision that may be made in bond proceedings or a 6294
trust agreement, including provision for amendment of the bond 6295
proceedings;6296

       (11) Such other provisions as the issuer determines,6297
including limitations, conditions, or qualifications relating to6298
any of the foregoing;6299

       (12) Any other or additional agreements with the holders of 6300
the obligations relating to the obligations or the security for 6301
the obligations.6302

       (G) The great seal of the state or a facsimile of that seal 6303
may be affixed to or printed on the obligations. The obligations 6304
requiring signature by the issuer shall be signed by or bear the 6305
facsimile signature of the issuer as provided in the bond 6306
proceedings. Any obligations may be signed by the person who, on 6307
the date of execution, is the authorized signer although on the 6308
date of such obligations such person was not the issuer. In case 6309
the person whose signature or a facsimile of whose signature 6310
appears on any obligation ceases to be the issuer before delivery 6311
of the obligation, such signature or facsimile is nevertheless 6312
valid and sufficient for all purposes as if the person had 6313
remained the member until such delivery, and in case the seal to 6314
be affixed to or printed on obligations has been changed after the 6315
seal has been affixed to or a facsimile of the seal has been6316
printed on the obligations, that seal or facsimile seal shall6317
continue to be sufficient as to those obligations and obligations6318
issued in substitution or exchange therefor.6319

       (H) The obligations are negotiable instruments and securities 6320
under Chapter 1308. of the Revised Code, subject to the provisions 6321
of the bond proceedings as to registration. Obligations may be 6322
issued in coupon or in fully registered form, or both, as the 6323
issuer determines. Provision may be made for the registration of 6324
any obligations with coupons attached as to principal alone or as 6325
to both principal and interest, their exchange for obligations so 6326
registered, and for the conversion or reconversion into 6327
obligations with coupons attached of any obligations registered as 6328
to both principal and interest, and for reasonable charges for 6329
such registration, exchange, conversion, and reconversion. Pending 6330
preparation of definitive obligations, the issuer may issue 6331
interim receipts or certificates which shall be exchanged for such 6332
definitive obligations.6333

       (I) Obligations may be sold at public sale or at private6334
sale, and at such price at, above, or below par, as determined by6335
the issuer in the bond proceedings.6336

       (J) In the discretion of the issuer, obligations may be6337
secured additionally by a trust agreement between the state and a6338
corporate trustee which may be any trust company or bank having6339
its principala place of business within the state. Any trust6340
agreement may contain the order authorizing the issuance of the6341
obligations, any provisions that may be contained in the bond6342
proceedings, and other provisions that are customary or6343
appropriate in an agreement of the type.6344

       (K) Except to the extent that their rights are restricted by 6345
the bond proceedings, any holder of obligations, or a trustee6346
under the bond proceedings, may by any suitable form of legal6347
proceedings protect and enforce any rights under the laws of this6348
state or granted by the bond proceedings. Such rights include the 6349
right to compel the performance of all duties of the issuer and 6350
the state. Each duty of the issuer and the issuer's employees, and 6351
of each state agency and local public entity and its officers, 6352
members, or employees, undertaken pursuant to the bond 6353
proceedings, is hereby established as a duty of the issuer, and of 6354
each such agency, local subdivision, officer, member, or employee 6355
having authority to perform such duty, specifically enjoined by 6356
the law and resulting from an office, trust, or station within the 6357
meaning of section 2731.01 of the Revised Code. The persons who 6358
are at the time the issuer, or the issuer's employees, are not 6359
liable in their personal capacities on any obligations or any 6360
agreements of or with the issuer relating to obligations or under 6361
the bond proceedings.6362

       (L) Obligations are lawful investments for banks, societies 6363
for savings, savings and loan associations, deposit guarantee 6364
associations, trust companies, trustees, fiduciaries, insurance 6365
companies, including domestic for life and domestic not for life, 6366
trustees or other officers having charge of sinking and bond 6367
retirement or other special funds of political subdivisions and 6368
taxing districts of this state, the commissioners of the sinking 6369
fund, the administrator of workers' compensation, the state6370
teachers retirement system, the public employees retirement6371
system, the school employees retirement system, and the Ohio 6372
police and fire pension fund, notwithstanding any other provisions 6373
of the Revised Code or rules adopted pursuant thereto by any state 6374
agency with respect to investments by them, and are also 6375
acceptable as security for the deposit of public moneys.6376

       (M) Unless otherwise provided in any applicable bond6377
proceedings, moneys to the credit of or in the special funds6378
established by or pursuant to this section may be invested by or6379
on behalf of the issuer only in notes, bonds, or other direct6380
obligations of the United States or of any agency or6381
instrumentality of the United States, in obligations of this state 6382
or any political subdivision of this state, in certificates of 6383
deposit of any national bank located in this state and any bank, 6384
as defined in section 1101.01 of the Revised Code, subject to6385
inspection by the superintendent of financial institutions, in the 6386
Ohio subdivision's fund established pursuant to section 135.45 of 6387
the Revised Code, in no-front-end-load money market mutual funds6388
consisting exclusively of direct obligations of the United States6389
or of an agency or instrumentality of the United States, and in 6390
repurchase agreements, including those issued by any fiduciary, 6391
secured by direct obligations of the United States or an agency or6392
instrumentality of the United States, and in collective investment 6393
funds established in accordance with section 1111.14 of the 6394
Revised Code and consisting exclusively of direct obligations of 6395
the United States or of an agency or instrumentality of the United6396
States, notwithstanding division (A)(1)(c) of that section. The 6397
income from investments shall be credited to such special funds or 6398
otherwise as the issuer determines in the bond proceedings, and 6399
the investments may be sold or exchanged at such times as the 6400
issuer determines or authorizes.6401

       (N) Unless otherwise provided in any applicable bond6402
proceedings, moneys to the credit of or in a special fund shall be 6403
disbursed on the order of the issuer, provided that no such order 6404
is required for the payment from the bond service fund or other 6405
special fund when due of bond service charges or required payments 6406
under credit facilities.6407

       (O) The issuer may covenant in the bond proceedings, and any 6408
such covenants shall be controlling notwithstanding any other6409
provision of law, that the state and the applicable officers and6410
agencies of the state, including the general assembly, so long as 6411
any obligations are outstanding in accordance with their terms, 6412
shall maintain statutory authority for and cause to be charged and 6413
collected taxes, excises, and other receipts of the state so that 6414
the receipts to the bond service fund shall be sufficient in6415
amounts to meet bond service charges and for the establishment and 6416
maintenance of any reserves and other requirements, including6417
payment of financing costs, provided for in the bond proceedings.6418

       (P) The obligations, and the transfer of, and the interest6419
and other income from, including any profit made on the sale,6420
transfer, or other disposition of, the obligations shall at all6421
times be free from taxation, direct or indirect, within the state.6422

       (Q) Unless a judicial action or proceeding challenging the6423
validity of obligations is commenced by personal service on the6424
treasurer of state prior to the initial delivery of an issue of6425
the obligations, the obligations of that issue and the bond6426
proceedings pertaining to that issue are incontestable and those6427
obligations shall be conclusively considered to be and to have6428
been issued, secured, payable, sold, executed, and delivered, and6429
the bond proceedings relating to them taken, in conformity with6430
law if all of the following apply to the obligations:6431

       (1) They state that they are issued under the provisions of 6432
this section and comply on their face with those provisions;6433

       (2) They are issued within the limitations prescribed by this 6434
section;6435

       (3) Their purchase price has been paid in full;6436

       (4) They state that all the bond proceedings were held in6437
compliance with law, which statement creates a conclusive6438
presumption that the bond proceedings were held in compliance with 6439
all laws, including section 121.22 of the Revised Code, where 6440
applicable, and rules.6441

       (R) This section applies only with respect to obligations 6442
issued and delivered before September 30, 2000.6443

       Sec. 166.08.  (A) As used in this chapter:6444

       (1) "Bond proceedings" means the resolution, order, trust6445
agreement, indenture, lease, and other agreements, amendments and6446
supplements to the foregoing, or any one or more or combination6447
thereof, authorizing or providing for the terms and conditions6448
applicable to, or providing for the security or liquidity of,6449
obligations issued pursuant to this section, and the provisions6450
contained in such obligations.6451

       (2) "Bond service charges" means principal, including6452
mandatory sinking fund requirements for retirement of obligations,6453
and interest, and redemption premium, if any, required to be paid6454
by the state on obligations.6455

       (3) "Bond service fund" means the applicable fund and6456
accounts therein created for and pledged to the payment of bond6457
service charges, which may be, or may be part of, the economic6458
development bond service fund created by division (S) of this6459
section including all moneys and investments, and earnings from6460
investments, credited and to be credited thereto.6461

       (4) "Issuing authority" means the treasurer of state, or the6462
officer who by law performs the functions of such officer.6463

       (5) "Obligations" means bonds, notes, or other evidence of6464
obligation including interest coupons pertaining thereto, issued6465
pursuant to this section.6466

       (6) "Pledged receipts" means all receipts of the state6467
representing the gross profit on the sale of spirituous liquor, as6468
referred to in division (B)(4) of section 4301.10 of the Revised6469
Code, after paying all costs and expenses of the division of6470
liquor control and providing an adequate working capital reserve6471
for the division of liquor control as provided in that division,6472
but excluding the sum required by the second paragraph of section6473
4301.12 of the Revised Code, as in effect on May 2, 1980, to be6474
paid into the state treasury; moneys accruing to the state from6475
the lease, sale, or other disposition, or use, of project6476
facilities, and from the repayment, including interest, of loans6477
made from proceeds received from the sale of obligations; accrued6478
interest received from the sale of obligations; income from the6479
investment of the special funds; and any gifts, grants, donations,6480
and pledges, and receipts therefrom, available for the payment of6481
bond service charges.6482

       (7) "Special funds" or "funds" means, except where the6483
context does not permit, the bond service fund, and any other6484
funds, including reserve funds, created under the bond6485
proceedings, and the economic development bond service fund6486
created by division (S) of this section to the extent provided in6487
the bond proceedings, including all moneys and investments, and6488
earnings from investment, credited and to be credited thereto.6489

       (B) Subject to the limitations provided in section 166.11 of6490
the Revised Code, the issuing authority, upon the certification by6491
the director of development to the issuing authority of the amount6492
of moneys or additional moneys needed in the facilities6493
establishment fund, the loan guarantee fund, the innovation Ohio 6494
loan fund, the innovation Ohio loan guarantee fund, or the 6495
research and development loan fund for the purpose of paying, or 6496
making loans for, allowable costs from the facilities 6497
establishment fund, allowable innovation costs from the innovation 6498
Ohio loan fund, or allowable costs from the research and 6499
development loan fund, or needed for capitalized interest, for 6500
funding reserves, and for paying costs and expenses incurred in 6501
connection with the issuance, carrying, securing, paying,6502
redeeming, or retirement of the obligations or any obligations6503
refunded thereby, including payment of costs and expenses relating6504
to letters of credit, lines of credit, insurance, put agreements,6505
standby purchase agreements, indexing, marketing, remarketing and6506
administrative arrangements, interest swap or hedging agreements,6507
and any other credit enhancement, liquidity, remarketing, renewal,6508
or refunding arrangements, all of which are authorized by this6509
section, or providing moneys for the loan guarantee fund or the6510
innovation Ohio loan guarantee fund, as provided in this chapter6511
or needed for the purposes of funds established in accordance with6512
or pursuant to sections 122.35, 122.42, 122.54, 122.55, 122.56,6513
122.561, 122.57, and 122.80 of the Revised Code which are within6514
the authorization of Section 13 of Article VIII, Ohio6515
Constitution, shall issue obligations of the state under this6516
section in the required amount; provided that such obligations may6517
be issued to satisfy the covenants in contracts of guarantee made 6518
under section 166.06 or 166.15 of the Revised Code,6519
notwithstanding limitations otherwise applicable to the issuance6520
of obligations under this section. The proceeds of such6521
obligations, except for the portion to be deposited in special6522
funds, including reserve funds, as may be provided in the bond6523
proceedings, shall as provided in the bond proceedings be6524
deposited by the director of development to the facilities6525
establishment fund, the loan guarantee fund, the innovation Ohio 6526
loan guarantee fund, the innovation Ohio loan fund, or the 6527
research and development loan fund. Bond proceedings for project 6528
financing obligations may provide that the proceeds derived from 6529
the issuance of such obligations shall be deposited into such fund 6530
or funds provided for in the bond proceedings and, to the extent6531
provided for in the bond proceedings, such proceeds shall be 6532
deemed to have been deposited into the facilities establishment 6533
fund and transferred to such fund or funds. The issuing authority 6534
may appoint trustees, paying agents, and transfer agents and may 6535
retain the services of financial advisors, accounting experts, and 6536
attorneys, and retain or contract for the services of marketing, 6537
remarketing, indexing, and administrative agents, other 6538
consultants, and independent contractors, including printing 6539
services, as are necessary in the issuing authority's judgment to 6540
carry out this section. The costs of such services are allowable 6541
costs payable from the facilities establishment fund or the 6542
research and development loan fund or allowable innovation costs 6543
payable from the innovation Ohio loan fund.6544

       (C) The holders or owners of such obligations shall have no6545
right to have moneys raised by taxation obligated or pledged, and6546
moneys raised by taxation shall not be obligated or pledged, for6547
the payment of bond service charges. Such holders or owners shall6548
have no rights to payment of bond service charges from any moneys6549
accruing to the state from the lease, sale, or other disposition,6550
or use, of project facilities, or from payment of the principal of6551
or interest on loans made, or fees charged for guarantees made, or6552
from any money or property received by the director, treasurer of6553
state, or the state under Chapter 122. of the Revised Code, or6554
from any other use of the proceeds of the sale of the obligations,6555
and no such moneys may be used for the payment of bond service6556
charges, except for accrued interest, capitalized interest, and6557
reserves funded from proceeds received upon the sale of the6558
obligations and except as otherwise expressly provided in the6559
applicable bond proceedings pursuant to written directions by the6560
director. The right of such holders and owners to payment of bond6561
service charges is limited to all or that portion of the pledged6562
receipts and those special funds pledged thereto pursuant to the6563
bond proceedings in accordance with this section, and each such6564
obligation shall bear on its face a statement to that effect.6565

       (D) Obligations shall be authorized by resolution or order of 6566
the issuing authority and the bond proceedings shall provide for 6567
the purpose thereof and the principal amount or amounts, and shall 6568
provide for or authorize the manner or agency for determining the 6569
principal maturity or maturities, not exceeding twenty-five years 6570
from the date of issuance, the interest rate or rates or the 6571
maximum interest rate, the date of the obligations and the dates 6572
of payment of interest thereon, their denomination, and the 6573
establishment within or without the state of a place or places of 6574
payment of bond service charges. Sections 9.98 to 9.983 of the 6575
Revised Code are applicable to obligations issued under this 6576
section, subject to any applicable limitation under section 166.11 6577
of the Revised Code. The purpose of such obligations may be stated 6578
in the bond proceedings in terms describing the general purpose or 6579
purposes to be served. The bond proceedings also shall provide, 6580
subject to the provisions of any other applicable bond6581
proceedings, for the pledge of all, or such part as the issuing6582
authority may determine, of the pledged receipts and the6583
applicable special fund or funds to the payment of bond service6584
charges, which pledges may be made either prior or subordinate to6585
other expenses, claims, or payments, and may be made to secure the6586
obligations on a parity with obligations theretofore or thereafter6587
issued, if and to the extent provided in the bond proceedings. The6588
pledged receipts and special funds so pledged and thereafter6589
received by the state are immediately subject to the lien of such6590
pledge without any physical delivery thereof or further act, and6591
the lien of any such pledges is valid and binding against all6592
parties having claims of any kind against the state or any6593
governmental agency of the state, irrespective of whether such6594
parties have notice thereof, and shall create a perfected security6595
interest for all purposes of Chapter 1309. of the Revised Code,6596
without the necessity for separation or delivery of funds or for6597
the filing or recording of the bond proceedings by which such6598
pledge is created or any certificate, statement or other document6599
with respect thereto; and the pledge of such pledged receipts and6600
special funds is effective and the money therefrom and thereof may6601
be applied to the purposes for which pledged without necessity for6602
any act of appropriation. Every pledge, and every covenant and6603
agreement made with respect thereto, made in the bond proceedings6604
may therein be extended to the benefit of the owners and holders6605
of obligations authorized by this section, and to any trustee6606
therefor, for the further security of the payment of the bond6607
service charges.6608

       (E) The bond proceedings may contain additional provisions as 6609
to:6610

       (1) The redemption of obligations prior to maturity at the6611
option of the issuing authority at such price or prices and under6612
such terms and conditions as are provided in the bond proceedings;6613

       (2) Other terms of the obligations;6614

       (3) Limitations on the issuance of additional obligations;6615

       (4) The terms of any trust agreement or indenture securing6616
the obligations or under which the same may be issued;6617

       (5) The deposit, investment and application of special funds, 6618
and the safeguarding of moneys on hand or on deposit, without 6619
regard to Chapter 131. or 135. of the Revised Code, but subject to 6620
any special provisions of this chapter, with respect to particular 6621
funds or moneys, provided that any bank or trust company which 6622
acts as depository of any moneys in the special funds may furnish 6623
such indemnifying bonds or may pledge such securities as required 6624
by the issuing authority;6625

       (6) Any or every provision of the bond proceedings being6626
binding upon such officer, board, commission, authority, agency,6627
department, or other person or body as may from time to time have6628
the authority under law to take such actions as may be necessary6629
to perform all or any part of the duty required by such provision;6630

       (7) Any provision that may be made in a trust agreement or6631
indenture;6632

       (8) Any other or additional agreements with the holders of6633
the obligations, or the trustee therefor, relating to the6634
obligations or the security therefor, including the assignment of6635
mortgages or other security obtained or to be obtained for loans6636
under section 122.43, 166.07, or 166.16 of the Revised Code.6637

       (F) The obligations may have the great seal of the state or a 6638
facsimile thereof affixed thereto or printed thereon. The6639
obligations and any coupons pertaining to obligations shall be6640
signed or bear the facsimile signature of the issuing authority. 6641
Any obligations or coupons may be executed by the person who, on6642
the date of execution, is the proper issuing authority although on6643
the date of such bonds or coupons such person was not the issuing6644
authority. If the issuing authority whose signature or a facsimile 6645
of whose signature appears on any such obligation or coupon ceases 6646
to be the issuing authority before delivery thereof, such 6647
signature or facsimile is nevertheless valid and sufficient for 6648
all purposes as if the former issuing authority had remained the 6649
issuing authority until such delivery; and if the seal to be6650
affixed to obligations has been changed after a facsimile of the6651
seal has been imprinted on such obligations, such facsimile seal6652
shall continue to be sufficient as to such obligations and6653
obligations issued in substitution or exchange therefor.6654

       (G) All obligations are negotiable instruments and securities 6655
under Chapter 1308. of the Revised Code, subject to the provisions 6656
of the bond proceedings as to registration. The obligations may be 6657
issued in coupon or in registered form, or both, as the issuing 6658
authority determines. Provision may be made for the registration 6659
of any obligations with coupons attached thereto as to principal 6660
alone or as to both principal and interest, their exchange for 6661
obligations so registered, and for the conversion or reconversion 6662
into obligations with coupons attached thereto of any obligations 6663
registered as to both principal and interest, and for reasonable 6664
charges for such registration, exchange, conversion, and 6665
reconversion.6666

       (H) Obligations may be sold at public sale or at private6667
sale, as determined in the bond proceedings.6668

       Obligations issued to provide moneys for the loan guarantee6669
fund or the innovation Ohio loan guarantee fund may, as determined6670
by the issuing authority, be sold at private sale, and without6671
publication of a notice of sale.6672

       (I) Pending preparation of definitive obligations, the6673
issuing authority may issue interim receipts or certificates which6674
shall be exchanged for such definitive obligations.6675

       (J) In the discretion of the issuing authority, obligations6676
may be secured additionally by a trust agreement or indenture6677
between the issuing authority and a corporate trustee which may be6678
any trust company or bank having its principala place of business6679
within the state. Any such agreement or indenture may contain the6680
resolution or order authorizing the issuance of the obligations,6681
any provisions that may be contained in any bond proceedings, and6682
other provisions which are customary or appropriate in an6683
agreement or indenture of such type, including, but not limited6684
to:6685

       (1) Maintenance of each pledge, trust agreement, indenture,6686
or other instrument comprising part of the bond proceedings until6687
the state has fully paid the bond service charges on the6688
obligations secured thereby, or provision therefor has been made;6689

       (2) In the event of default in any payments required to be6690
made by the bond proceedings, or any other agreement of the6691
issuing authority made as a part of the contract under which the6692
obligations were issued, enforcement of such payments or agreement6693
by mandamus, the appointment of a receiver, suit in equity, action6694
at law, or any combination of the foregoing;6695

       (3) The rights and remedies of the holders of obligations and 6696
of the trustee, and provisions for protecting and enforcing them, 6697
including limitations on rights of individual holders of6698
obligations;6699

       (4) The replacement of any obligations that become mutilated6700
or are destroyed, lost, or stolen;6701

       (5) Such other provisions as the trustee and the issuing6702
authority agree upon, including limitations, conditions, or6703
qualifications relating to any of the foregoing.6704

       (K) Any holders of obligations or trustees under the bond6705
proceedings, except to the extent that their rights are restricted6706
by the bond proceedings, may by any suitable form of legal6707
proceedings, protect and enforce any rights under the laws of this6708
state or granted by such bond proceedings. Such rights include the 6709
right to compel the performance of all duties of the issuing6710
authority, the director of development, or the division of liquor6711
control required by this chapter or the bond proceedings; to6712
enjoin unlawful activities; and in the event of default with6713
respect to the payment of any bond service charges on any6714
obligations or in the performance of any covenant or agreement on6715
the part of the issuing authority, the director of development, or6716
the division of liquor control in the bond proceedings, to apply6717
to a court having jurisdiction of the cause to appoint a receiver6718
to receive and administer the pledged receipts and special funds,6719
other than those in the custody of the treasurer of state, which6720
are pledged to the payment of the bond service charges on such6721
obligations or which are the subject of the covenant or agreement,6722
with full power to pay, and to provide for payment of bond service6723
charges on, such obligations, and with such powers, subject to the6724
direction of the court, as are accorded receivers in general6725
equity cases, excluding any power to pledge additional revenues or6726
receipts or other income or moneys of the issuing authority or the6727
state or governmental agencies of the state to the payment of such6728
principal and interest and excluding the power to take possession6729
of, mortgage, or cause the sale or otherwise dispose of any6730
project facilities.6731

       Each duty of the issuing authority and the issuing6732
authority's officers and employees, and of each governmental6733
agency and its officers, members, or employees, undertaken6734
pursuant to the bond proceedings or any agreement or lease,6735
lease-purchase agreement, or loan made under authority of this6736
chapter, and in every agreement by or with the issuing authority,6737
is hereby established as a duty of the issuing authority, and of6738
each such officer, member, or employee having authority to perform6739
such duty, specifically enjoined by the law resulting from an6740
office, trust, or station within the meaning of section 2731.01 of6741
the Revised Code.6742

       The person who is at the time the issuing authority, or the6743
issuing authority's officers or employees, are not liable in their6744
personal capacities on any obligations issued by the issuing6745
authority or any agreements of or with the issuing authority.6746

       (L) The issuing authority may authorize and issue obligations 6747
for the refunding, including funding and retirement, and advance 6748
refunding with or without payment or redemption prior to maturity, 6749
of any obligations previously issued by the issuing authority. 6750
Such obligations may be issued in amounts sufficient for payment 6751
of the principal amount of the prior obligations, any redemption 6752
premiums thereon, principal maturities of any such obligations 6753
maturing prior to the redemption of the remaining obligations on a 6754
parity therewith, interest accrued or to accrue to the maturity 6755
dates or dates of redemption of such obligations, and any 6756
allowable costs including expenses incurred or to be incurred in 6757
connection with such issuance and such refunding, funding, and 6758
retirement. Subject to the bond proceedings therefor, the portion 6759
of proceeds of the sale of obligations issued under this division 6760
to be applied to bond service charges on the prior obligations 6761
shall be credited to an appropriate account held by the trustee 6762
for such prior or new obligations or to the appropriate account in 6763
the bond service fund for such obligations. Obligations authorized 6764
under this division shall be deemed to be issued for those 6765
purposes for which such prior obligations were issued and are 6766
subject to the provisions of this section pertaining to other 6767
obligations, except as otherwise provided in this section; 6768
provided that, unless otherwise authorized by the general 6769
assembly, any limitations imposed by the general assembly pursuant 6770
to this section with respect to bond service charges applicable to 6771
the prior obligations shall be applicable to the obligations 6772
issued under this division to refund, fund, advance refund or 6773
retire such prior obligations.6774

       (M) The authority to issue obligations under this section6775
includes authority to issue obligations in the form of bond6776
anticipation notes and to renew the same from time to time by the6777
issuance of new notes. The holders of such notes or interest6778
coupons pertaining thereto shall have a right to be paid solely6779
from the pledged receipts and special funds that may be pledged to6780
the payment of the bonds anticipated, or from the proceeds of such6781
bonds or renewal notes, or both, as the issuing authority provides6782
in the resolution or order authorizing such notes. Such notes may6783
be additionally secured by covenants of the issuing authority to6784
the effect that the issuing authority and the state will do such6785
or all things necessary for the issuance of such bonds or renewal6786
notes in appropriate amount, and apply the proceeds thereof to the6787
extent necessary, to make full payment of the principal of and6788
interest on such notes at the time or times contemplated, as6789
provided in such resolution or order. For such purpose, the6790
issuing authority may issue bonds or renewal notes in such6791
principal amount and upon such terms as may be necessary to6792
provide funds to pay when required the principal of and interest6793
on such notes, notwithstanding any limitations prescribed by or6794
for purposes of this section. Subject to this division, all6795
provisions for and references to obligations in this section are6796
applicable to notes authorized under this division.6797

       The issuing authority in the bond proceedings authorizing the6798
issuance of bond anticipation notes shall set forth for such bonds6799
an estimated interest rate and a schedule of principal payments6800
for such bonds and the annual maturity dates thereof, and for6801
purposes of any limitation on bond service charges prescribed6802
under division (A) of section 166.11 of the Revised Code, the6803
amount of bond service charges on such bond anticipation notes is6804
deemed to be the bond service charges for the bonds anticipated6805
thereby as set forth in the bond proceedings applicable to such6806
notes, but this provision does not modify any authority in this6807
section to pledge receipts and special funds to, and covenant to6808
issue bonds to fund, the payment of principal of and interest and6809
any premium on such notes.6810

       (N) Obligations issued under this section are lawful6811
investments for banks, societies for savings, savings and loan6812
associations, deposit guarantee associations, trust companies,6813
trustees, fiduciaries, insurance companies, including domestic for6814
life and domestic not for life, trustees or other officers having6815
charge of sinking and bond retirement or other special funds of6816
political subdivisions and taxing districts of this state, the6817
commissioners of the sinking fund of the state, the administrator6818
of workers' compensation, the state teachers retirement system,6819
the public employees retirement system, the school employees6820
retirement system, and the Ohio police and fire pension fund,6821
notwithstanding any other provisions of the Revised Code or rules6822
adopted pursuant thereto by any governmental agency of the state6823
with respect to investments by them, and are also acceptable as6824
security for the deposit of public moneys.6825

       (O) Unless otherwise provided in any applicable bond6826
proceedings, moneys to the credit of or in the special funds6827
established by or pursuant to this section may be invested by or6828
on behalf of the issuing authority only in notes, bonds, or other6829
obligations of the United States, or of any agency or6830
instrumentality of the United States, obligations guaranteed as to6831
principal and interest by the United States, obligations of this6832
state or any political subdivision of this state, and certificates6833
of deposit of any national bank located in this state and any6834
bank, as defined in section 1101.01 of the Revised Code, subject6835
to inspection by the superintendent of banks. If the law or the6836
instrument creating a trust pursuant to division (J) of this6837
section expressly permits investment in direct obligations of the6838
United States or an agency of the United States, unless expressly6839
prohibited by the instrument, such moneys also may be invested in6840
no-front-end-load money market mutual funds consisting exclusively6841
of obligations of the United States or an agency of the United6842
States and in repurchase agreements, including those issued by the6843
fiduciary itself, secured by obligations of the United States or6844
an agency of the United States; and in common trust funds6845
established in accordance with section 1111.20 of the Revised Code6846
and consisting exclusively of any such securities, notwithstanding6847
division (A)(4) of that section. The income from such investments6848
shall be credited to such funds as the issuing authority6849
determines, and such investments may be sold at such times as the6850
issuing authority determines or authorizes.6851

       (P) Provision may be made in the applicable bond proceedings6852
for the establishment of separate accounts in the bond service6853
fund and for the application of such accounts only to the6854
specified bond service charges on obligations pertinent to such6855
accounts and bond service fund and for other accounts therein6856
within the general purposes of such fund. Unless otherwise6857
provided in any applicable bond proceedings, moneys to the credit6858
of or in the several special funds established pursuant to this6859
section shall be disbursed on the order of the treasurer of state,6860
provided that no such order is required for the payment from the6861
bond service fund when due of bond service charges on obligations.6862

       (Q) The issuing authority may pledge all, or such portion as6863
the issuing authority determines, of the pledged receipts to the6864
payment of bond service charges on obligations issued under this6865
section, and for the establishment and maintenance of any6866
reserves, as provided in the bond proceedings, and make other6867
provisions therein with respect to pledged receipts as authorized6868
by this chapter, which provisions are controlling notwithstanding6869
any other provisions of law pertaining thereto.6870

       (R) The issuing authority may covenant in the bond6871
proceedings, and any such covenants are controlling6872
notwithstanding any other provision of law, that the state and6873
applicable officers and governmental agencies of the state,6874
including the general assembly, so long as any obligations are6875
outstanding, shall:6876

       (1) Maintain statutory authority for and cause to be charged6877
and collected wholesale and retail prices for spirituous liquor6878
sold by the state or its agents so that the pledged receipts are6879
sufficient in amount to meet bond service charges, and the6880
establishment and maintenance of any reserves and other6881
requirements provided for in the bond proceedings, and, as6882
necessary, to meet covenants contained in contracts of guarantee6883
made under section 166.06 of the Revised Code;6884

       (2) Take or permit no action, by statute or otherwise, that6885
would impair the exemption from federal income taxation of the6886
interest on the obligations.6887

       (S) There is hereby created the economic development bond6888
service fund, which shall be in the custody of the treasurer of6889
state but shall be separate and apart from and not a part of the6890
state treasury. All moneys received by or on account of the6891
issuing authority or state agencies and required by the applicable6892
bond proceedings, consistent with this section, to be deposited,6893
transferred, or credited to a bond service fund or the economic6894
development bond service fund, and all other moneys transferred or6895
allocated to or received for the purposes of the fund, shall be6896
deposited and credited to such fund and to any separate accounts6897
therein, subject to applicable provisions of the bond proceedings,6898
but without necessity for any act of appropriation. During the6899
period beginning with the date of the first issuance of6900
obligations and continuing during such time as any such6901
obligations are outstanding, and so long as moneys in the6902
pertinent bond service funds are insufficient to pay all bond6903
services charges on such obligations becoming due in each year, a6904
sufficient amount of the gross profit on the sale of spirituous6905
liquor included in pledged receipts are committed and shall be6906
paid to the bond service fund or economic development bond service6907
fund in each year for the purpose of paying the bond service6908
charges becoming due in that year without necessity for further6909
act of appropriation for such purpose and notwithstanding anything6910
to the contrary in Chapter 4301. of the Revised Code. The6911
economic development bond service fund is a trust fund and is6912
hereby pledged to the payment of bond service charges to the6913
extent provided in the applicable bond proceedings, and payment6914
thereof from such fund shall be made or provided for by the6915
treasurer of state in accordance with such bond proceedings6916
without necessity for any act of appropriation.6917

       (T) The obligations, the transfer thereof, and the income6918
therefrom, including any profit made on the sale thereof, shall at6919
all times be free from taxation within the state.6920

       Sec. 173.04.  (A) As used in this section, "respite care"6921
means short-term, temporary care or supervision provided to a6922
person who has Alzheimer's disease in the absence of the person6923
who normally provides that care or supervision.6924

       (B) TheThrough the internet web site maintained by the 6925
department of aging, the director of aging shall develop and6926
disseminate new training materials or disseminate existing6927
Alzheimer's disease training materials for licensed physicians, 6928
registered nurses, licensed practical nurses, administrators of 6929
health care programs, social workers, and other health care and 6930
social service personnel who participate or assist in the care or 6931
treatment of persons who have Alzheimer's disease. The training 6932
materials disseminated through the web site may be developed by 6933
the director or obtained from other sources.6934

       (C) To the extent funds are available, the director shall6935
administer respite care programs and other supportive services for 6936
persons who have Alzheimer's disease and their families or care 6937
givers. Respite care programs shall be approved by the director 6938
and shall be provided for the following purposes:6939

       (1) Giving persons who normally provide care or supervision 6940
for a person who has Alzheimer's disease relief from the stresses 6941
and responsibilities that result from providing such care;6942

       (2) Preventing or reducing inappropriate institutional care 6943
and enabling persons who have Alzheimer's disease to remain at 6944
home as long as possible.6945

       (D) The director may provide services under this section to 6946
persons with Alzheimer's disease and their families regardless of 6947
the age of the persons with Alzheimer's disease.6948

       (E) The director shall adopt rules in accordance with Chapter 6949
119. of the Revised Code governing respite care programs and other 6950
supportive services, the distribution of funds, and the purpose 6951
for which funds may be utilized under this section.6952

       (F) The director may create an Alzheimer's disease task force 6953
to advise the director on the rights of persons with Alzheimer's 6954
disease and on the development and evaluation of education and 6955
training programs, home care programs, respite care programs, and 6956
long-term care initiatives as they relate to Alzheimer's disease. 6957
If a task force is created, the members shall include 6958
representatives of the Alzheimer's disease association and other 6959
organizations the director considers appropriate.6960

       Sec. 173.35.  (A) As used in this section, "PASSPORT6961
administrative agency" means an entity under contract with the6962
department of aging to provide administrative services regarding6963
the PASSPORT program created under section 173.40 of the Revised6964
Code.6965

       (B) The department of aging shall administer the residential6966
state supplement program under which the state supplements the6967
supplemental security income payments received by aged, blind, or6968
disabled adults under Title XVI of the "Social Security Act," 496969
Stat. 620 (1935), 42 U.S.C.A., as amended. Residential state6970
supplement payments shall be used for the provision of6971
accommodations, supervision, and personal care services to6972
supplemental security income recipients who the department6973
determines are at risk of needing institutional care.6974

       (C) For an individual to be eligible for residential state6975
supplement payments, all of the following must be the case:6976

       (1) Except as provided by division (G) of this section, the6977
individual must reside in one of the following:6978

       (a) An adult foster home certified under section 173.36 of6979
the Revised Code;6980

       (b) A home or facility, other than a nursing home or nursing6981
home unit of a home for the aging, licensed by the department of6982
health under Chapter 3721. or 3722. of the Revised Code and 6983
certified in accordance with standards established by the director 6984
of aging under division (D)(2) of this section;6985

       (c) A community alternative home licensed under section6986
3724.03 of the Revised Code and certified in accordance with 6987
standards established by the director of aging under division 6988
(D)(2) of this section;6989

       (d) A residential facility as defined in division6990
(A)(1)(d)(ii) of section 5119.22 of the Revised Code licensed by6991
the department of mental health and certified in accordance with 6992
standards established by the director of aging under division 6993
(D)(2) of this section;6994

       (e) An apartment or room used to provide community mental6995
health housing services certified by the department of mental6996
health under section 5119.611 of the Revised Code and approved by 6997
a board of alcohol, drug addiction, and mental health services6998
under division (A)(14) of section 340.03 of the Revised Code and 6999
certified in accordance with standards established by the director 7000
of aging under division (D)(2) of this section.7001

       (2) Effective July 1, 2000, a PASSPORT administrative agency7002
must have determined that the environment in which the individual7003
will be living while receiving the payments is appropriate for the7004
individual's needs. If the individual is eligible for supplemental 7005
security income payments or social security disability insurance 7006
benefits because of a mental disability, the PASSPORT7007
administrative agency shall refer the individual to a community 7008
mental health agency for the community mental health agency to 7009
issue in accordance with section 340.091 of the Revised Code a 7010
recommendation on whether the PASSPORT administrative agency 7011
should determine that the environment in which the individual will 7012
be living while receiving the payments is appropriate for the7013
individual's needs. Division (C)(2) of this section does not apply7014
to an individual receiving residential state supplement payments 7015
on June 30, 2000, until the individual's first eligibility7016
redetermination after that date.7017

       (3) The individual satisfies all eligibility requirements7018
established by rules adopted under division (D) of this section.7019

       (D)(1) The directors of aging and job and family services 7020
shall adopt rules in accordance with section 111.15 of the Revised 7021
Code as necessary to implement the residential state supplement7022
program.7023

       To the extent permitted by Title XVI of the "Social Security7024
Act," and any other provision of federal law, the director of job7025
and family services shall adopt rules establishing standards for7026
adjusting the eligibility requirements concerning the level of7027
impairment a person must have so that the amount appropriated for7028
the program by the general assembly is adequate for the number of7029
eligible individuals. The rules shall not limit the eligibility of 7030
disabled persons solely on a basis classifying disabilities as7031
physical or mental. The director of job and family services also7032
shall adopt rules that establish eligibility standards for aged,7033
blind, or disabled individuals who reside in one of the homes or7034
facilities specified in division (C)(1) of this section but who,7035
because of their income, do not receive supplemental security7036
income payments. The rules may provide that these individuals may7037
include individuals who receive other types of benefits,7038
including, social security disability insurance benefits provided7039
under Title II of the "Social Security Act," 49 Stat. 620 (1935),7040
42 U.S.C.A. 401, as amended. Notwithstanding division (B) of this7041
section, such payments may be made if funds are available for7042
them.7043

       The director of aging shall adopt rules establishing the7044
method to be used to determine the amount an eligible individual7045
will receive under the program. The amount the general assembly7046
appropriates for the program shall be a factor included in the7047
method that department establishes.7048

       (2) The director of aging shall adopt rules in accordance 7049
with Chapter 119. of the Revised Code establishing standards for 7050
certification of living facilities described in division (C)(1) of 7051
this section.7052

        The directors of aging and mental health shall enter into an 7053
agreement to certify facilities that apply for certification and 7054
meet the standards established by the director of aging under this 7055
division.7056

       (E) The county department of job and family services of the7057
county in which an applicant for the residential state supplement7058
program resides shall determine whether the applicant meets income7059
and resource requirements for the program.7060

       (F) The department of aging shall maintain a waiting list of7061
any individuals eligible for payments under this section but not7062
receiving them because moneys appropriated to the department for7063
the purposes of this section are insufficient to make payments to7064
all eligible individuals. An individual may apply to be placed on7065
the waiting list even though the individual does not reside in one7066
of the homes or facilities specified in division (C)(1) of this7067
section at the time of application. TheIndividuals on the waiting 7068
list who reside in a community setting not required to be licensed 7069
or certified shall have their eligibility for the payments 7070
assessed before other individuals on the waiting list.7071

       The director of aging, by rules adopted in accordance with 7072
Chapter 119. of the Revised Code, shall specify procedures and 7073
requirements for placing an individual on the waiting list. 7074
Individuals on the waiting list who reside in a community setting 7075
not required to be licensed or certified shall have their7076
eligibility for the payments assessed before other individuals on 7077
the waiting list.7078

       The director may adopt rules giving priority to individuals 7079
placed on the waiting list on or after July 1, 2006, who receive 7080
supplemental security income benefits under Title XVI of the 7081
"Social Security Act," 86 Stat. 1475 (1972), 42 U.S.C. 1381, as 7082
amended. The rules shall not affect the place on the waiting list 7083
of any person who was on the list on July 1, 2006.7084

       (G) An individual in a licensed or certified living7085
arrangement receiving state supplementation on November 15, 1990,7086
under former section 5101.531 of the Revised Code shall not become7087
ineligible for payments under this section solely by reason of the7088
individual's living arrangement as long as the individual remains7089
in the living arrangement in which the individual resided on7090
November 15, 1990.7091

       (H) The department of aging shall notify each person denied7092
approval for payments under this section of the person's right to7093
a hearing. On request, the hearing shall be provided by the7094
department of job and family services in accordance with section7095
5101.35 of the Revised Code.7096

       Sec. 173.71.  As used in sections 173.71 to 173.91 of the 7097
Revised Code:7098

       (A) "Children's health insurance program" means the 7099
children's health insurance program part I and, part II, and part 7100
III established under sections 5101.50 to 5101.51105101.029 of 7101
the Revised Code.7102

       (B) "Disability medical assistance program" means the program 7103
established under section 5115.10 of the Revised Code.7104

       (C) "Medicaid program" or "medicaid" means the medical 7105
assistance program established under Chapter 5111. of the Revised 7106
Code.7107

       (D) "National drug code number" means the number registered 7108
for a drug pursuant to the listing system established by the 7109
United States food and drug administration under the "Drug Listing 7110
Act of 1972," 86 Stat. 559, 21 U.S.C. 360, as amended.7111

       (E) "Ohio's best Rx program participant" or "participant" 7112
means an individual determined eligible for the Ohio's best Rx 7113
program and included under an Ohio's best Rx program enrollment 7114
card.7115

       (F) "Participating manufacturer" means a drug manufacturer 7116
participating in the Ohio's best Rx program pursuant to a 7117
manufacturer agreement entered into under section 173.81 of the 7118
Revised Code.7119

       (G) "Participating terminal distributor" means a terminal 7120
distributor of dangerous drugs participating in the Ohio's best Rx 7121
program pursuant to an agreement entered into under section 173.79 7122
of the Revised Code.7123

       (H) "Political subdivision" has the same meaning as in 7124
section 9.23 of the Revised Code.7125

       (I) "State agency" has the same meaning as in section 9.23 of 7126
the Revised Code.7127

       (J) "Terminal distributor of dangerous drugs" has the same 7128
meaning as in section 4729.01 of the Revised Code.7129

       (K) "Third-party payer" has the same meaning as in section 7130
3901.38 of the Revised Code.7131

       (L) "Trade secret" has the same meaning as in section 1333.61 7132
of the Revised Code.7133

       (M) "Usual and customary charge" means the amount a 7134
participating terminal distributor or the drug mail order system 7135
included in the Ohio's best Rx program pursuant to section 173.78 7136
of the Revised Code charges when a drug included in the program is 7137
purchased by an individual who does not receive a discounted price 7138
for the drug pursuant to any drug discount program, including the 7139
Ohio's best Rx program or a pharmacy assistance program 7140
established by any person or government entity, and for whom no 7141
third-party payer or program funded in whole or part with state or 7142
federal funds is responsible for all or part of the cost of the 7143
drug.7144

       Sec. 173.85.  (A) The Ohio's best Rx program fund is hereby 7145
created. The fund shall be in the custody of the treasurer of 7146
state, but shall not be part of the state treasury. The fund shall 7147
consist of the following:7148

       (1) Manufacturer payments made by participating manufacturers 7149
pursuant to agreements entered into under section 173.81 of the 7150
Revised Code;7151

       (2) Administrative fees, if an administrative fee is 7152
determined by the department of aging in rules adopted under 7153
section 173.83 of the Revised Code;7154

       (3) Any amounts donated to the fund and accepted by the 7155
department;7156

        (4) The fund's investment earnings.7157

       (B) Money in the Ohio's best Rx program fund shall be used to 7158
make payments under section 173.801 of the Revised Code and to 7159
make transfers to the Ohio's best Rx administration fund in 7160
accordance with section 173.86 of the Revised Code.7161

       Sec. 173.86.  (A) The Ohio's best Rx administration fund is 7162
hereby created in the state treasury. The treasurer of state7163
director of budget and management shall transfer from the Ohio's 7164
best Rx program fund to the Ohio's best Rx administration fund 7165
amounts equal to the following:7166

       (1) Amounts resulting from application of the program 7167
administration percentage, if a program administration percentage 7168
is determined by the department of aging in rules adopted under 7169
section 173.83 of the Revised Code;7170

       (2) The amount of the administrative fees charged Ohio's best 7171
Rx participants, if an administrative fee is determined by the 7172
department of aging in rules adopted under section 173.83 of the 7173
Revised Code;7174

       (3) The amount of any donations credited to the Ohio's best 7175
Rx program fund;7176

        (4) The amount of investment earnings credited to the Ohio's 7177
best Rx program fund.7178

       The treasurer of statedirector of budget and management7179
shall make the transfers in accordance with a schedule developed 7180
by the treasurer of statedirector and the department of aging.7181

       (B) The department of aging shall use money in the Ohio's 7182
best Rx administration fund to pay the administrative costs of the 7183
Ohio's best Rx program, including, but not limited to, costs 7184
associated with contracted services, staff, outreach activities, 7185
computers and network services, and the Ohio's best Rx program 7186
council. If the fund includes an amount that exceeds the amount 7187
necessary to pay the administrative costs of the program, the 7188
department may use the excess amount to pay the cost of subsidies 7189
provided to Ohio's best Rx program participants under any subsidy 7190
program established pursuant to section 173.861 of the Revised 7191
Code.7192

       Sec. 174.03.  (A) The department of development and the Ohio7193
housing finance agency shall each develop programs under which, in7194
accordance with rules adopted under this section, they may make7195
grants, loans, loan guarantees, and loan subsidies to counties,7196
municipal corporations, townships, local housing authorities, and7197
nonprofit organizations and may make loans, loan guarantees, and7198
loan subsidies to private developers and private lenders to assist 7199
in activities that provide housing and housing assistance for 7200
specifically targeted low- and moderate-income families and 7201
individuals. There is no minimum housing project size for awards 7202
under this division for any project that is developed for a 7203
special needs population and that is supported by a social service 7204
agency where the housing project is located. Activities for which 7205
grants, loans, loan guarantees, and loan subsidies may be made7206
under this section include all of the following:7207

       (1) Acquiring, financing, constructing, leasing,7208
rehabilitating, remodeling, improving, and equipping publicly or7209
privately owned housing;7210

       (2) Providing supportive services related to housing and the7211
homeless, including housing counseling. Not more than twenty per7212
cent of the current year appropriation authority for the low- and7213
moderate-income housing trust fund that remains after the award of 7214
funds made pursuant to divisions (A)(1), (A)(2), and (A)(3) of 7215
section 174.02 of the Revised Code, shall be awarded in any fiscal7216
year for supportive services.7217

       (3) Providing rental assistance payments or other project7218
operating subsidies that lower tenant rents.7219

       (B) Activities listed under division (A) of this section may 7220
include emergency shelter care programs for unaccompanied youth 7221
seventeen years of age and younger.7222

       (C) Grants, loans, loan guarantees, and loan subsidies may be7223
made to counties, municipal corporations, townships, and nonprofit7224
organizations for the additional purposes of providing technical7225
assistance, design and finance services and consultation, and7226
payment of pre-development and administrative costs related to any7227
of the activities listed above.7228

       (C)(D) In developing programs under this section, the7229
department and the agency shall invite, accept, and consider7230
public comment, and recommendations from the housing trust fund7231
advisory committee created under section 174.06 of the Revised7232
Code, on how the programs should be designed to most effectively7233
benefit low- and moderate-income families and individuals. The7234
programs developed under this section shall respond collectively7235
to housing and housing assistance needs of low- and7236
moderate-income families and individuals statewide.7237

       (D)(E) The department and the agency, in accordance with7238
Chapter 119. of the Revised Code, shall each adopt rules to 7239
administer programs developed under this section. The rules shall 7240
prescribe procedures and forms that counties, municipal 7241
corporations, townships, local housing authorities, and nonprofit 7242
organizations shall use in applying for grants, loans, loan7243
guarantees, and loan subsidies and that private developers and 7244
private lenders shall use in applying for loans, loan guarantees, 7245
and loan subsidies; eligibility criteria for the receipt of funds;7246
procedures for reviewing and granting or denying applications;7247
procedures for paying out funds; conditions on the use of funds;7248
procedures for monitoring the use of funds; and procedures under7249
which a recipient shall be required to repay funds that are7250
improperly used. The rules shall do both of the following:7251

       (1) Require each recipient of a grant or loan made from the7252
low- and moderate-income housing trust fund for activities that 7253
provide, or assist in providing, a rental housing project, to7254
reasonably ensure that the rental housing project will remain7255
affordable to those families and individuals targeted for the7256
rental housing project for the useful life of the rental housing7257
project or for thirty years, whichever is longer;7258

       (2) Require each recipient of a grant or loan made from the7259
low- and moderate-income housing trust fund for activities that 7260
provide, or assist in providing, a housing project to prepare and 7261
implement a plan to reasonably assist any families and individuals 7262
displaced by the housing project in obtaining decent affordable 7263
housing.7264

       (E)(F) In prescribing eligibility criteria and conditions for7265
the use of funds, neither the department nor the agency is limited 7266
to the criteria and conditions specified in this section and each7267
may prescribe additional eligibility criteria and conditions that7268
relate to the purposes for which grants, loans, loan guarantees,7269
and loan subsidies may be made. However, the department and agency 7270
are limited by the following specifically targeted low- and7271
moderate-income guidelines:7272

       (1) Not less than seventy-five per cent of the money granted7273
and loaned under this section in any fiscal year shall be for7274
activities that provide affordable housing and housing assistance 7275
to families and individuals whose incomes are equal to or less 7276
than fifty per cent of the median income for the county in which 7277
they live, as determined by the department under section 174.04 7278
of the Revised Code.7279

       (2) Any money granted and loaned under this section in any 7280
fiscal year that is not granted or loaned pursuant to division 7281
(E)(F)(1) of this section shall be for activities that provide7282
affordable housing and housing assistance to families and7283
individuals whose incomes are equal to or less than eighty per 7284
cent of the median income for the county in which they live, as7285
determined by the department under section 174.04 of the Revised7286
Code.7287

       (F)(G) In making grants, loans, loan guarantees, and loan7288
subsidies under this section, the department and the agency shall7289
give preference to viable projects and activities that benefit 7290
those families and individuals whose incomes are equal to or less 7291
than thirty-five per cent of the median income for the county in 7292
which they live, as determined by the department under section 7293
174.04 of the Revised Code.7294

       (G)(H) The department and the agency shall monitor the 7295
programs developed under this section to ensure that money granted 7296
and loaned under this section is not used in a manner that 7297
violates division (H) of section 4112.02 of the Revised Code or 7298
discriminates against families with children.7299

       Sec. 174.06.  (A) There is hereby created the housing trust7300
fund advisory committee. The committee consists of fourteen7301
members the governor appoints as follows to represent 7302
organizations committed to housing and housing assistance for low- 7303
and moderate-income persons:7304

       (1) One member to represent lenders.7305

       (2) One member to represent for-profit builders and7306
developers.7307

       (3) One member to represent the families and individuals 7308
included in the income groups targeted for housing and housing 7309
assistance under divisions (E) and (F) and (G) of section 174.03 7310
of the Revised Code.7311

       (4) One member to represent religious, civic, or social7312
service organizations.7313

       (5) One member to represent counties.7314

       (6) One member to represent municipal corporations.7315

       (7) One member to represent townships.7316

       (8) One member to represent local housing authorities.7317

       (9) One member to represent fair housing organizations.7318

       (10) Three members to represent nonprofit organizations.7319

       (11) One member to represent real estate brokers licensed 7320
under Chapter 4735. of the Revised Code.7321

       (12) One member to represent the for-profit rental housing 7322
industry.7323

       (B)(1) Terms of office are for four years, with each term7324
ending on the same day of the same month as did the term that it7325
succeeds. Each member shall hold office from the date of 7326
appointment until the end of the term for which the member was 7327
appointed. Vacancies shall be filled in the manner prescribed for 7328
the original appointment. A member appointed to fill a vacancy7329
occurring prior to the expiration of a term shall hold office for 7330
the remainder of that term. A member shall continue in office 7331
subsequent to the expiration of a term until a successor takes 7332
office or until a period of sixty days has elapsed, whichever 7333
occurs first.7334

       (2) The governor may remove a member for misfeasance, 7335
malfeasance, or willful neglect of duty.7336

       (C)(1) The committee shall select a chairperson from among 7337
its members. The committee shall meet at least once each calendar7338
year and upon the call of the chair. Members of the committee 7339
serve without compensation, but shall be reimbursed for reasonable 7340
and necessary expenses incurred in the discharge of duties.7341

       (2) The department of development shall provide the committee7342
with a meeting place, supplies, and staff assistance as the 7343
committee requests.7344

       (D) The committee shall assist the department and the Ohio7345
housing finance agency in defining housing needs and priorities, 7346
recommend to the department and agency at least annually how the 7347
programs developed under section 174.02 of the Revised Code should 7348
be designed to most effectively benefit low- and moderate-income 7349
persons, consider an allocation of funds for projects of fifteen 7350
units or less, and advise the director of development on whether 7351
and how to reallocate money in the low- and moderate-income 7352
housing trust fund under division (B) of section 174.02 of the 7353
Revised Code.7354

       Sec. 183.01.  As used in this chapter:7355

       (A) "Tobacco master settlement agreement" means the 7356
settlement agreement (and related documents) entered into on 7357
November 23, 1998 by the state and leading United States tobacco 7358
product manufacturers.7359

       (B) "Net amounts credited to the tobacco master settlement7360
agreement fund" means all amounts credited to the tobacco master 7361
settlement agreement fund during a fiscal year, minus all amounts7362
required to be transferred under section 183.02 of the Revised7363
Code to the education facilities trust fund, the education 7364
facilities endowment fund, and the income tax reduction fund 7365
during the fiscal year. In addition, in fiscal year 2000, "net 7366
amounts credited to the tobacco master settlement agreement fund" 7367
does not include amounts credited to the tobacco use prevention7368
and cessation trust fund, law enforcement improvements trust fund, 7369
and southern Ohio agricultural and community development trust 7370
fund from the first payment received that year.7371

       (C) "Southern Ohio" includes any county in this state where 7372
tobacco has traditionally been grown.7373

       Sec. 183.021.  (A) No money from the tobacco master7374
settlement agreement fund, as that fund existed prior to the 7375
repeal of section 183.02 of the Revised Code by H.B. 119 of the 7376
127th general assembly, shall be expended to do any of the7377
following:7378

       (1) Hire an executive agency lobbyist, as defined under7379
section 121.60 of the Revised Code, or a legislative agent, as7380
defined under section 101.70 of the Revised Code;7381

       (2) Support or oppose candidates, ballot questions,7382
referendums, or ballot initiatives.7383

       (B) Nothing in this section prohibits any of the following7384
from advocating on behalf of the specific objectives of a program7385
funded under this chapter:7386

       (1) The members of the board of trustees, executive director, 7387
or employees of the tobacco use prevention and control foundation;7388

       (2) The members of the board of trustees, executive director, 7389
or employees of the southern Ohio agricultural and community7390
development foundation;7391

       (3) The members or employees of the third frontier commission 7392
or the members of the third frontier advisory board.7393

       Sec. 183.17.  The fiscal year of the southern Ohio7394
agricultural and community development foundation shall be the7395
same as the fiscal year of the state.7396

       Within ninety days after the end of each fiscal year, the7397
foundation shall submit to the governor and the general assembly7398
both of the following:7399

       (A) A report of the activities of the foundation during the7400
preceding fiscal year. The report shall also contain an7401
independent evaluation of the progress being made by the7402
foundation in carrying out its duties.7403

       (B) A financial report of the foundation for the preceding7404
year, which shall include both:7405

       (1) Information on the amount and percentage of overhead and7406
administrative expenditures compared to programmatic expenditures;7407

       (2) An independent auditor's report on the basic financial7408
statements and required supplementary information of the7409
foundation. Such financial statements shall be prepared in7410
conformity with generally accepted accounting principles7411
prescribed for governmental entities.7412

       On or before July 1, 2010, the foundation shall report to the7413
governor and the general assembly on the progress that the7414
foundation has made in replacing the production of tobacco in7415
southern Ohio with the production of other agricultural products7416
and in mitigating the adverse economic impact of reduced tobacco7417
production in the region. If the foundation concludes that a need7418
for additional funding still exists, the foundation may request7419
that provision be made for a portion of the payments credited to7420
the tobacco master settlement agreement fund to continue to be7421
transferred to the southern Ohio agricultural and community7422
development trust fund.7423

       Sec. 183.33.  No money shall be appropriated or transferred 7424
from the general revenue fund to the tobacco master settlement 7425
agreement fund, tobacco use prevention and cessation trust fund, 7426
tobacco use prevention and control endowment fund, law enforcement7427
improvements trust fund, southern Ohio agricultural and community7428
development trust fund, southern Ohio agricultural and community7429
development foundation endowment fund, Ohio's public health7430
priorities trust fund, biomedical research and technology transfer7431
trust fund, education facilities trust fund, education facilities7432
endowment fund, or education technology trust fund. In addition,7433
no money shall be otherwise appropriated or transferred from the7434
general revenue fund for the use of the tobacco use prevention and7435
control foundation or the southern Ohio agricultural and community7436
development foundation.7437

       Sec. 183.34. There is hereby created in the state treasury7438
the tobacco settlement oversight, administration, and enforcement7439
fund, to which shall be creditedconsist of amounts transferred 7440
under division (I) of section 183.02 of the Revised Code prior to 7441
the repeal of that section by H.B. 119 of the 127th general 7442
assembly. The attorney general shall use the fund to pay costs 7443
incurred in the oversight, administration, and enforcement of the 7444
tobacco master settlement agreement.7445

       Sec. 183.35. There is hereby created in the state treasury7446
the tobacco settlement enforcement fund, to which shall be7447
creditedconsist of amounts transferred under division (J) of 7448
section 183.02 of the Revised Code prior to the repeal of that 7449
section by H.B. 119 of the 127th general assembly. The tax 7450
commissioner shall use the fund to pay costs incurred in the 7451
enforcement of divisions (F) and (G) of section 5743.03 of the 7452
Revised Code.7453

       Sec. 183.51. (A) As used in this section and in the 7454
applicable bond proceedings unless otherwise provided:7455

       (1) "Bond proceedings" means the resolutions, orders, 7456
indentures, purchase and sale and trust and other agreements 7457
including any amendments or supplements to them, and credit 7458
enhancement facilities, and amendments and supplements to them, or 7459
any one or more or combination of them, authorizing, awarding, or 7460
providing for the terms and conditions applicable to or providing 7461
for the security or liquidity of, the particular obligations, and 7462
the provisions contained in those obligations.7463

       (2) "Bond service fund" means the bond service fund created 7464
in the bond proceedings for the obligations.7465

       (3) "Capital facilities" means, as applicable, capital 7466
facilities or projects as referred to in sections 151.03, 151.04, 7467
152.09, 152.33, 154.20, or 154.22 of the Revised Code.7468

       (4) "Cost of capital facilities" has the same meaning as in 7469
section 151.01, 152.09, or 154.01 of the Revised Code, as 7470
applicable.7471

       (5) "Credit enhancement facilities," "financing costs," and 7472
"interest" or "interest equivalent" have the same meanings as in 7473
section 133.01 of the Revised Code.7474

       (6) "Debt service" means principal, including any mandatory 7475
sinking fund or redemption requirements for retirement of 7476
obligations, interest and other accreted amounts, interest 7477
equivalent, and any redemption premium, payable on obligations. If 7478
not prohibited by the applicable bond proceedings, "debt service" 7479
may include costs relating to credit enhancement facilities that 7480
are related to and represent, or are intended to provide a source 7481
of payment of or limitation on, other debt service.7482

       (7) "Improvement fund" means, as applicable, the school 7483
building program assistance fund created in section 3318.25 of the 7484
Revised Code, the higher education improvement fund created in 7485
section 154.21 of the Revised Code, the mental health facilities 7486
improvement fund created in section 154.20 of the Revised Code, 7487
the parks and recreation improvement fund created in section 7488
154.22 of the Revised Code, the administrative building fund 7489
created in section 123.10 of the Revised Code, and the adult 7490
correctional building fund referred to in section 5120.105 of the 7491
Revised Code.7492

       (8) "Issuing authority" means the Ohio tobacco settlement 7493
financing authority created in section 183.52 of the Revised Code.7494

       (9) "Net proceeds" means amounts received from the sale of 7495
obligations, excluding amounts used to refund or retire 7496
outstanding obligations, amounts required to be deposited into 7497
special funds pursuant to the applicable bond proceedings, and 7498
amounts to be used to pay financing costs.7499

       (10) "Obligations" means bonds, notes, or other evidences of 7500
obligation of the issuing authority, including any appertaining 7501
interest coupons, issued by the issuing authority under this 7502
section and Section 2i of Article VIII, Ohio Constitution, for the 7503
purpose of providing funds to the state, in exchange for the 7504
assignment and sale described in division (B) of this section, for 7505
the purpose of paying costs of capital facilities for: (a) housing 7506
branches and agencies of state government, including but not 7507
limited to facilities for housing state agencies, for a system of 7508
common schools throughout the state, and for use as state 7509
correctional facilities or county, multicounty, municipal-county, 7510
and multicounty-municipal jail facilities or workhouses; (b) 7511
state-supported or state-assisted institutions of higher 7512
education; (c) mental hygiene and retardation; and (d) parks and 7513
recreation.7514

       (11) "Pledged receipts" means, as and to the extent provided 7515
for in the applicable bond proceedings:7516

       (a) Pledged tobacco settlement receipts;7517

       (b) Accrued interest received from the sale of obligations;7518

       (c) Income from the investment of the special funds;7519

       (d) Additional or any other specific revenues or receipts 7520
lawfully available to be pledged, and pledged, pursuant to the 7521
bond proceedings, including but not limited to amounts received 7522
under credit enhancement facilities, to the payment of debt 7523
service.7524

       (12) "Pledged tobacco settlement receipts" means all amounts 7525
received by the issuing authority pursuant to division (B) of this 7526
section.7527

       (13) "Principal amount" means the aggregate of the amount as 7528
stated or provided for in the applicable bond proceedings as the 7529
amount on which interest or interest equivalent on particular 7530
obligations is initially calculated. "Principal amount" does not 7531
include any premium paid to the issuing authority by the initial 7532
purchaser of the obligations. "Principal amount" of a capital 7533
appreciation bond, as defined in division (C) of section 3334.01 7534
of the Revised Code, means its original face amount and not its 7535
accreted value, and "principal amount" of a zero coupon bond, as 7536
defined in division (J) of section 3334.01 of the Revised Code, 7537
means the discounted offering price at which the bond is initially 7538
sold to the public, disregarding any purchase price discount to 7539
the original purchaser, if provided in or for pursuant to the bond 7540
proceedings.7541

       (14) "Special funds" or "funds," unless the context indicates 7542
otherwise, means the bond service fund, and any other funds, 7543
including any reserve funds, created under the bond proceedings 7544
and stated to be special funds in those proceedings, including 7545
moneys and investments, and earnings from investments, credited 7546
and to be credited to the particular fund. "Special funds" does 7547
not include any improvement fund or investment earnings on amounts 7548
in any improvement fund, or other funds created by the bond 7549
proceedings that are not stated by those proceedings to be special 7550
funds.7551

       (B) The state may assign and sell to the issuing authority, 7552
and the issuing authority may accept and purchase, all or a 7553
portion of the amounts to be received by the state under the 7554
tobacco master settlement agreement for a purchase price payable 7555
by the issuing authority to the state consisting of the net 7556
proceeds of obligations and any residual interest, if any. Any 7557
such assignment and sale shall be irrevocable in accordance with 7558
its terms during the period any obligations secured by amounts so 7559
assigned and sold are outstanding under the applicable bond 7560
proceedings, and shall constitute a contractual obligation to the 7561
holders or owners of those obligations. Any such assignment and 7562
sale shall also be treated as an absolute transfer and true sale 7563
for all purposes, and not as a pledge or other security interest. 7564
The characterization of any such assignment and sale as a true 7565
sale and absolute transfer shall not be negated or adversely 7566
affected by only a portion of the amounts to be received under the 7567
tobacco master settlement agreement being transferred, the 7568
acquisition or retention by the state of a residual interest, the 7569
participation of any state officer or employee as a member or 7570
officer of, or providing staff support to, the issuing authority, 7571
any responsibility of an officer or employee of the state for 7572
collecting the amounts to be received under the tobacco master 7573
settlement agreement or otherwise enforcing that agreement or 7574
retaining any legal title to or interest in any portion of the 7575
amounts to be received under that agreement for the purpose of 7576
these collection activities, any characterization of the issuing 7577
authority or its obligations for purposes of accounting, taxation, 7578
or securities regulation, or by any other factors whatsoever. A 7579
true sale shall exist under this section regardless of whether the 7580
issuing authority has any recourse against the state or any other 7581
term of the bond proceedings or the treatment or characterization 7582
of the transfer as a financing for any purpose. Upon and following 7583
the assignment and sale, the state shall not have any right, 7584
title, or interest in the portion of the receipts under the 7585
tobacco master settlement agreement so assigned and sold, other 7586
than any residual interest that may be described in the applicable 7587
bond proceedings for those obligations, and that portion, if any, 7588
shall be the property of the issuing authority and not of the 7589
state, and shall be paid directly to the issuing authority, and 7590
shall be owned, received, held, and disbursed by the issuing 7591
authority and not by the state, and the state shall: (1) not agree 7592
to any amendment of the tobacco master settlement agreement that 7593
materially and adversely affects the issuing authority's ability 7594
to receive the portion of the receipts under the tobacco master 7595
settlement agreement assigned and sold to the issuing authority, 7596
(2) enforce by the attorney general in the manner and as otherwise 7597
set forth in any bond proceedings the rights of the issuing 7598
authority to receive the receipts under the tobacco master 7599
settlement agreement assigned and sold to the issuing authority to 7600
the full extent permitted by the tobacco master settlement 7601
agreement, (3) not limit or alter the rights of the issuing 7602
authority to fulfill the terms of its agreements with the holders 7603
or owners of obligations outstanding under the bond proceedings, 7604
(4) not in any way impair the rights and remedies of the holders 7605
or owners of obligations outstanding under the bond proceedings or 7606
the security for those obligations; provided, that nothing in this 7607
section shall be construed to preclude the state from regulating 7608
or permitting the regulation of smoking or from taxing and 7609
regulating the sale of cigarettes or other tobacco products; and 7610
(5) not fail to enforce Chapter 1346. of the Revised Code. Nothing 7611
in this section shall be construed as in any way modifying or 7612
limiting the responsibility and power of the attorney general to 7613
administer, protect, and discharge all duties, rights, and 7614
obligations of the state under the tobacco master settlement 7615
agreement or Chapter 1346. of the Revised Code.7616

       The governor and the director of budget and management, in 7617
consultation with the attorney general, on behalf of the state, 7618
and any member or officer of the issuing authority as authorized 7619
by that issuing authority, on behalf of the issuing authority, may 7620
take any action and execute any documents, including any purchase 7621
and sale agreements, necessary to effect the assignment and sale 7622
and the acceptance of the assignment and title to the receipts 7623
including, providing irrevocable direction to the escrow agent 7624
acting under the tobacco master settlement agreement to transfer 7625
directly to the issuing authority the amounts to be received under 7626
that agreement that are subject to such assignment and sale. Any 7627
purchase and sale agreement or other bond proceedings may contain 7628
the terms and conditions established by the state and the issuing 7629
authority to carry out and effectuate the purposes of this 7630
section, including, without limitation, covenants binding the 7631
state in favor of the issuing authority and its assignees and the 7632
owners of the obligations. Any such purchase and sale agreement 7633
shall be sufficient to effectuate such purchase and sale without 7634
regard to any other laws governing other property sales or 7635
financial transactions by the state.7636

       Not later than two years following the date on which there 7637
are no longer any obligations outstanding under the bond 7638
proceedings, all assets of the issuing authority shall vest in the 7639
state, the issuing authority shall execute any necessary 7640
assignments or instruments, including any assignment of any right, 7641
title, or ownership to the state for receipt of amounts under the 7642
tobacco master settlement agreement, and the issuing authority 7643
shall be dissolved.7644

       (C) The issuing authority is authorized to issue and to sell 7645
obligations as provided in this section. The aggregate principal 7646
amount of obligations issued under this section shall not exceed 7647
six billion dollars, exclusive of obligations issued under 7648
divisions (N)(1) of this section to refund, renew, or advance 7649
refund other obligations issued or incurred. At least seventy-five 7650
per cent of the aggregate net proceeds of the obligations issued 7651
under the authority of this section, exclusive of obligations 7652
issued to refund, renew, or advance refund other obligations, 7653
shall be paid to the state for deposit into the school building 7654
program assistance fund created in section 3318.25 of the Revised 7655
Code.7656

       (D) Each issue of obligations shall be authorized by 7657
resolution or order of the issuing authority. The bond proceedings 7658
shall provide for or authorize the manner for determining the 7659
principal amount or maximum principal amount of obligations of an 7660
issue, the principal maturity or maturities, the interest rate or 7661
rates, the date of and the dates of payment of interest on the 7662
obligations, their denominations, and the place or places of 7663
payment of debt service which may be within or outside the state. 7664
Unless otherwise provided by law, the latest principal maturity 7665
may not be later than the earlier of the thirty-first day of 7666
December of the fiftieth calendar year after the year of issuance 7667
of the particular obligations or of the fiftieth calendar year 7668
after the year in which the original obligation to pay was issued 7669
or entered into. Sections 9.96, 9.98, 9.981, 9.982, and 9.983 of 7670
the Revised Code apply to the obligations.7671

       The purpose of the obligations may be stated in the bond 7672
proceedings in general terms, such as, as applicable, "paying 7673
costs of capital facilities for a system of common schools," 7674
"paying costs of facilities for state-supported and state-assisted 7675
institutions of higher education," "paying the cost of capital 7676
facilities for housing of branches and agencies of state 7677
government, including capital facilities for the purpose of 7678
housing personnel, equipment, or functions, or any combination 7679
thereof that the state agencies are responsible for housing," 7680
"paying costs of capital facilities for use as state correctional 7681
facilities or county, multicounty, municipal-county, and 7682
multicounty-municipal jail facilities or workhouses, or as single 7683
county or district community-based correctional facilities," 7684
"paying costs of capital facilities for mental hygiene and 7685
retardation," and "paying costs of capital facilities for parks 7686
and recreation." Unless otherwise provided in the bond 7687
proceedings, the net proceeds from the issuance of the obligations 7688
shall be paid to the state for deposit into the applicable 7689
improvement fund. Notwithstanding division (B)(4) of section 7690
3318.38 of the Revised Code, net proceeds of obligations deposited 7691
into the school building program assistance fund created in 7692
section 3318.25 of the Revised Code may be used to pay basic 7693
project costs under section 3318.38 of the Revised Code at the 7694
times determined by the Ohio school facilities commission without 7695
regard to whether those expenditures are in proportion to the 7696
state's and the school district's respective shares of that basic 7697
project cost. As used in the preceding sentence, "Ohio school 7698
facilities commission" and "basic project costs" have the same 7699
meanings as in section 3318.01 of the Revised Code.7700

       (E) The issuing authority may, without need for any other 7701
approval, appoint or provide for the appointment of paying agents, 7702
bond registrars, securities depositories, credit enhancement 7703
providers or counterparties, clearing corporations, and transfer 7704
agents, and retain or contract for the services of underwriters, 7705
investment bankers, financial advisers, accounting experts, 7706
marketing, remarketing, indexing, and administrative agents, other 7707
consultants, and independent contractors, including printing 7708
services, as are necessary in the judgment of the issuing 7709
authority to carry out the issuing authority's functions under 7710
this section and section 183.52 of the Revised Code. The issuing 7711
authority also may without need for any other approval retain or 7712
contract for the services of attorneys and other professionals for 7713
that purpose. Financing costs are payable, as may be provided in 7714
the bond proceedings, from the proceeds of the obligations, from 7715
special funds, or from other moneys available for the purpose, 7716
including as to future financing costs, from the pledged receipts.7717

       (F) The issuing authority may irrevocably pledge and assign 7718
all, or such portion as the issuing authority determines, of the 7719
pledged receipts to the payment of the debt service charges on 7720
obligations issued under this section, and for the establishment 7721
and maintenance of any reserves, as provided in the bond 7722
proceedings, and make other provisions in the bond proceedings 7723
with respect to pledged receipts as authorized by this section, 7724
which provisions are controlling notwithstanding any other 7725
provisions of law pertaining to them. Any and all pledged receipts 7726
received by the issuing authority and required by the bond 7727
proceedings, consistent with this section, to be deposited, 7728
transferred, or credited to the bond service fund, and all other 7729
money transferred or allocated to or received for the purposes of 7730
that fund, shall be deposited and credited to the bond service 7731
fund created in the bond proceedings for the obligations, subject 7732
to any applicable provisions of those bond proceedings, but 7733
without necessity for any act of appropriation. Those pledged 7734
receipts shall immediately be subject to the lien of that pledge 7735
without any physical delivery thereof or further act, and shall 7736
not be subject to other court judgments. The lien of the pledge of 7737
those pledged receipts shall be valid and binding against all 7738
parties having claims of any kind against the issuing authority, 7739
irrespective of whether those parties have notice thereof. The 7740
pledge shall create a perfected security interest for all purposes 7741
of Chapter 1309. of the Revised Code and a perfected lien for 7742
purposes of any other interest, all without the necessity for 7743
separation or delivery of funds or for the filing or recording of 7744
the applicable bond proceedings by which that pledge is created or 7745
any certificate, statement, or other document with respect 7746
thereto. The pledge of the pledged receipts shall be effective and 7747
the money therefrom and thereof may be applied to the purposes for 7748
which pledged.7749

       (G) The issuing authority may covenant in the bond 7750
proceedings, and such covenants shall be controlling, and shall be 7751
binding upon the state if and when made, notwithstanding any other 7752
provision of law, that (1) the state and applicable officers and 7753
state agencies, including the general assembly, so long as any 7754
obligations issued under this section are outstanding, shall 7755
maintain statutory authority for, and cause to be collected and 7756
paid directly to the issuing authority or its assignee, the 7757
pledged receipts for the payment of debt service on obligations 7758
and for the establishment and maintenance of any reserves and 7759
other requirements provided for in the bond proceedings, (2) the 7760
state shall enforce by the attorney general, in the manner and as 7761
otherwise set forth in any bond proceedings, the provisions of the 7762
tobacco master settlement agreement that require payment of 7763
amounts to the state that have been assigned and sold to the 7764
issuing authority, and (3) the state shall not fail to enforce 7765
Chapter 1346. of the Revised Code.7766

       (H) Obligations may be further secured, as determined by the 7767
issuing authority, by an indenture or a trust agreement between 7768
the issuing authority and a corporate trustee, which may be any 7769
trust company or bank having a place of business within the state. 7770
Any indenture or trust agreement may contain the resolution or 7771
order authorizing the issuance of the obligations, any provisions 7772
that may be contained in any bond proceedings, and other 7773
provisions that are customary or appropriate in an agreement of 7774
that type, including, but not limited to:7775

       (1) Maintenance of each pledge, indenture, trust agreement, 7776
or other instrument comprising part of the bond proceedings until 7777
the issuing authority has fully paid or provided for the payment 7778
of debt service on the obligations secured by it;7779

       (2) In the event of default in any payments required to be 7780
made by the bond proceedings, enforcement of those payments or 7781
agreements by mandamus, the appointment of a receiver, suit in 7782
equity, action at law, or any combination of them;7783

       (3) The rights and remedies of the holders or owners of 7784
obligations and of the trustee and provisions for protecting and 7785
enforcing them, including limitations on rights of individual 7786
holders and owners.7787

       (I) The bond proceedings may contain additional provisions 7788
customary or appropriate to the financing or to the obligations or 7789
to particular obligations including, but not limited to, 7790
provisions for:7791

       (1) The redemption of obligations prior to maturity at the 7792
option of the issuing authority or of the holder or upon the 7793
occurrence of certain conditions, and at a particular price or 7794
prices and under particular terms and conditions;7795

       (2) The form of and other terms of the obligations;7796

       (3) The establishment, deposit, investment, and application 7797
of special funds, and the safeguarding of moneys on hand or on 7798
deposit, in lieu of the applicability of provisions of Chapter 7799
131. or 135. of the Revised Code, but subject to any special 7800
provisions of this section with respect to the application of 7801
particular funds or moneys. Any financial institution that acts as 7802
a depository of any moneys in special funds or other funds under 7803
the bond proceedings may furnish indemnifying bonds or pledge 7804
securities as required by the issuing authority.7805

       (4) Any or every provision of the bond proceedings being 7806
binding upon the issuing authority and upon such governmental 7807
agency or entity, officer, board, authority, agency, department, 7808
institution, district, or other person or body as may from time to 7809
time be authorized to take actions as may be necessary to perform 7810
all or any part of the duty required by the provision;7811

       (5) The maintenance of each pledge or instrument comprising 7812
part of the bond proceedings until the issuing authority has fully 7813
paid or provided for the payment of the debt service on the 7814
obligations or met other stated conditions;7815

       (6) In the event of default in any payments required to be 7816
made by the bond proceedings, or by any other agreement of the 7817
issuing authority made as part of a contract under which the 7818
obligations were issued or secured, including a credit enhancement 7819
facility, the enforcement of those payments by mandamus, a suit in 7820
equity, an action at law, or any combination of those remedial 7821
actions;7822

       (7) The rights and remedies of the holders or owners of 7823
obligations or of book-entry interests in them, and of third 7824
parties under any credit enhancement facility, and provisions for 7825
protecting and enforcing those rights and remedies, including 7826
limitations on rights of individual holders or owners;7827

       (8) The replacement of mutilated, destroyed, lost, or stolen 7828
obligations;7829

       (9) The funding, refunding, or advance refunding, or other 7830
provision for payment, of obligations that will then no longer be 7831
outstanding for purposes of this section or of the applicable bond 7832
proceedings;7833

       (10) Amendment of the bond proceedings;7834

       (11) Payment of the expenses of the enforcement activity of 7835
the attorney general and others referred to in division (G)(2) of 7836
this section from the amounts received by the state under the 7837
tobacco master settlement agreement assigned and sold to the 7838
issuing authority under division (B) of this section;7839

       (12) Any other or additional agreements with the owners of 7840
obligations, and such other provisions as the issuing authority 7841
determines, including limitations, conditions, or qualifications, 7842
relating to any of the foregoing or the activities of the issuing 7843
authority in connection therewith.7844

       The issuing authority shall not, and shall covenant in the 7845
bond proceedings that it shall not, be authorized to and shall not 7846
file a voluntary petition under the United States Bankruptcy Code, 7847
11 U.S.C. 101 et seq., as amended, or voluntarily commence any 7848
similar bankruptcy proceeding under state law including, without 7849
limitation, consenting to the appointment of a receiver or trustee 7850
or making a general or specific assignment for the benefit of 7851
creditors, and neither any public officer or any organization, 7852
entity, or other person shall authorize the issuing authority to 7853
be or become a debtor under the United States Bankruptcy Code or 7854
take any of those actions under the United States Bankruptcy Code 7855
or state law. The state hereby covenants, and the issuing 7856
authority shall covenant, with the holders or owners of the 7857
obligations, that the state shall not permit the issuing authority 7858
to file a voluntary petition under the United States Bankruptcy 7859
Code or take any of those actions under the United States 7860
Bankruptcy Code or state law during the period obligations are 7861
outstanding and for any additional period for which the issuing 7862
authority covenants in the bond proceedings, which additional 7863
period may, but need not, be a period of three hundred sixty-seven 7864
days or more.7865

       (J) The obligations requiring execution by or for the issuing 7866
authority shall be signed as provided in the bond proceedings, and 7867
may bear the official seal of the issuing authority or a facsimile 7868
thereof. Any obligation may be signed by the individual who, on 7869
the date of execution, is the authorized signer even though, on 7870
the date of the obligations, that individual is not an authorized 7871
signer. In case the individual whose signature or facsimile 7872
signature appears on any obligation ceases to be an authorized 7873
signer before delivery of the obligation, that signature or 7874
facsimile is nevertheless valid and sufficient for all purposes as 7875
if that individual had remained the authorized signer until 7876
delivery.7877

       (K) Obligations are investment securities under Chapter 1308. 7878
of the Revised Code. Obligations may be issued in bearer or in 7879
registered form, registrable as to principal alone or as to both 7880
principal and interest, or both, or in certificated or 7881
uncertificated form, as the issuing authority determines. 7882
Provision may be made for the exchange, conversion, or transfer of 7883
obligations and for reasonable charges for registration, exchange, 7884
conversion, and transfer. Pending preparation of final 7885
obligations, the issuing authority may provide for the issuance of 7886
interim instruments to be exchanged for the final obligations.7887

       (L) Obligations may be sold at public sale or at private 7888
sale, in such manner, and at such price at, above, or below par, 7889
all as determined by and provided by the issuing authority in the 7890
bond proceedings.7891

       (M) Except to the extent that rights are restricted by the 7892
bond proceedings, any owner of obligations or provider of or 7893
counterparty to a credit enhancement facility may by any suitable 7894
form of legal proceedings protect and enforce any rights relating 7895
to obligations or that facility under the laws of this state or 7896
granted by the bond proceedings. Those rights include the right to 7897
compel the performance of all applicable duties of the issuing 7898
authority and the state. Each duty of the issuing authority and 7899
that issuing authority's officers, staff, and employees, and of 7900
each state entity or agency, or using district or using 7901
institution, and its officers, members, staff, or employees, 7902
undertaken pursuant to the bond proceedings, is hereby established 7903
as a duty of the entity or individual having authority to perform 7904
that duty, specifically enjoined by law and resulting from an 7905
office, trust, or station within the meaning of section 2731.01 of 7906
the Revised Code. The individuals who are from time to time the 7907
issuing authority, members or officers of the issuing authority, 7908
or those members' designees acting pursuant to section 183.52 of 7909
the Revised Code, or the issuing authority's officers, staff, or 7910
employees, are not liable in their personal capacities on any 7911
obligations or otherwise under the bond proceedings.7912

       (N)(1) Subject to any applicable limitations in division (C) 7913
of this section, the issuing authority may also authorize and 7914
provide for the issuance of:7915

       (a) Obligations in the form of bond anticipation notes, and 7916
may authorize and provide for the renewal of those notes from time 7917
to time by the issuance of new notes. The holders of notes or 7918
appertaining interest coupons have the right to have debt service 7919
on those notes paid solely from the moneys and special funds, and 7920
all or any portion of the pledged receipts, that are or may be 7921
pledged to that payment, including the proceeds of bonds or 7922
renewal notes or both, as the issuing authority provides in the 7923
bond proceedings authorizing the notes. Notes may be additionally 7924
secured by covenants of the issuing authority to the effect that 7925
the issuing authority will do all things necessary for the 7926
issuance of bonds or renewal notes in such principal amount and 7927
upon such terms as may be necessary to provide moneys to pay when 7928
due the debt service on the notes, and apply their proceeds to the 7929
extent necessary, to make full and timely payment of debt service 7930
on the notes as provided in the applicable bond proceedings. In 7931
the bond proceedings authorizing the issuance of bond anticipation 7932
notes the issuing authority shall set forth for the bonds 7933
anticipated an estimated schedule of annual principal payments the 7934
latest of which shall be no later than provided in division (D) of 7935
this section. While the notes are outstanding there shall be 7936
deposited, as shall be provided in the bond proceedings for those 7937
notes, from the sources authorized for payment of debt service on 7938
the bonds, amounts sufficient to pay the principal of the bonds 7939
anticipated as set forth in that estimated schedule during the 7940
time the notes are outstanding, which amounts shall be used solely 7941
to pay the principal of those notes or of the bonds anticipated.7942

       (b) Obligations for the refunding, including funding and 7943
retirement, and advance refunding, with or without payment or 7944
redemption prior to maturity, of any obligations previously issued 7945
under this section and any bonds or notes previously issued for 7946
the purpose of paying costs of capital facilities for: (i) 7947
state-supported or state-assisted institutions of higher education 7948
as authorized by sections 151.01 and 151.04 of the Revised Code, 7949
pursuant to Sections 2i and 2n of Article VIII, Ohio Constitution; 7950
(ii) housing branches and agencies of state government, including 7951
but not limited to facilities for housing state agencies as 7952
authorized by section 152.09 of the Revised Code, pursuant to 7953
Section 2i of Article VIII, Ohio Constitution, for a system of 7954
common schools throughout the state as authorized by sections 7955
151.01 and 151.03 of the Revised Code, pursuant to Sections 2i and 7956
2n of Article VIII, Ohio Constitution, and for use as state 7957
correctional facilities or county, multicounty, municipal-county, 7958
and multicounty-municipal jail facilities or workhouses as 7959
authorized by section 152.33 of the Revised Code, pursuant to 7960
Section 2i of Article VIII, Ohio Constitution; (iii) mental 7961
hygiene and retardation as authorized by sections 154.01 and 7962
154.20 of the Revised Code, pursuant to Section 2i of Article 7963
VIII, Ohio Constitution; and (iv) parks and recreation as 7964
authorized by sections 154.01 and 154.22 of the Revised Code, 7965
pursuant to Section 2i of Article VIII, Ohio Constitution. 7966
Refunding obligations may be issued in amounts sufficient to pay 7967
or to provide for repayment of the principal amount, including 7968
principal amounts maturing prior to the redemption of the 7969
remaining prior obligations or bonds or notes, any redemption 7970
premium, and interest accrued or to accrue to the maturity or 7971
redemption date or dates, payable on the prior obligations or 7972
bonds or notes, and related financing costs and any expenses 7973
incurred or to be incurred in connection with that issuance and 7974
refunding. Subject to the applicable bond proceedings, the portion 7975
of the proceeds of the sale of refunding obligations issued under 7976
division (N)(1)(b) of this section to be applied to debt service 7977
on the prior obligations or bonds or notes shall be credited to an 7978
appropriate separate account in the bond service fund and held in 7979
trust for the purpose by the issuing authority or by a corporate 7980
trustee, and may be invested as provided in the bond proceedings. 7981
Obligations authorized under this division shall be considered to 7982
be issued for those purposes for which the prior obligations or 7983
bonds or notes were issued.7984

       (2) The principal amount of refunding, advance refunding, or 7985
renewal obligations issued pursuant to division (N) of this 7986
section shall be in addition to the amount authorized in division 7987
(C) of this section.7988

       (O) Obligations are lawful investments for banks, savings and 7989
loan associations, credit union share guaranty corporations, trust 7990
companies, trustees, fiduciaries, insurance companies, including 7991
domestic for life and domestic not for life, trustees or other 7992
officers having charge of sinking and bond retirement or other 7993
special funds of the state and political subdivisions and taxing 7994
districts of this state, notwithstanding any other provisions of 7995
the Revised Code or rules adopted pursuant to those provisions by 7996
any state agency with respect to investments by them, and are also 7997
acceptable as security for the repayment of the deposit of public 7998
moneys. The exemptions from taxation in Ohio as provided for in 7999
particular sections of the Ohio Constitution and section 5709.76 8000
of the Revised Code apply to the obligations.8001

       (P)(1) Unless otherwise provided or provided for in any 8002
applicable bond proceedings, moneys to the credit of or in a 8003
special fund shall be disbursed on the order of the issuing 8004
authority. No such order is required for the payment, from the 8005
bond service fund or other special fund, when due of debt service 8006
or required payments under credit enhancement facilities.8007

       (2) Payments received by the issuing authority under interest 8008
rate hedges entered into as credit enhancement facilities under 8009
this section shall be deposited as provided in the applicable bond 8010
proceedings.8011

       (Q) The obligations shall not be general obligations of the 8012
state and the full faith and credit, revenue, and taxing power of 8013
the state shall not be pledged to the payment of debt service on 8014
them. The holders or owners of the obligations shall have no right 8015
to have any moneys obligated or pledged for the payment of debt 8016
service except as provided in this section and in the applicable 8017
bond proceedings. The rights of the holders and owners to payment 8018
of debt service are limited to all or that portion of the pledged 8019
receipts, and those special funds, pledged to the payment of debt 8020
service pursuant to the bond proceedings in accordance with this 8021
section, and each obligation shall bear on its face a statement to 8022
that effect.8023

       (R) Each bond service fund is a trust fund and is hereby 8024
pledged to the payment of debt service on the applicable 8025
obligations. Payment of that debt service shall be made or 8026
provided for by the issuing authority in accordance with the bond 8027
proceedings without necessity for any act of appropriation. The 8028
bond proceedings may provide for the establishment of separate 8029
accounts in the bond service fund and for the application of those 8030
accounts only to debt service on specific obligations, and for 8031
other accounts in the bond service fund within the general 8032
purposes of that fund.8033

       (S) Subject to the bond proceedings pertaining to any 8034
obligations then outstanding in accordance with their terms, the 8035
issuing authority may in the bond proceedings pledge all, or such 8036
portion as the issuing authority determines, of the moneys in the 8037
bond service fund to the payment of debt service on particular 8038
obligations, and for the establishment and maintenance of any 8039
reserves for payment of particular debt service.8040

       (T)(1) Unless otherwise provided in any applicable bond 8041
proceedings, moneys to the credit of special funds may be invested 8042
by or on behalf of the issuing authority only in one or more of 8043
the following:8044

       (a) Notes, bonds, or other direct obligations of the United 8045
States or of any agency or instrumentality of the United States, 8046
or in no-front-end-load money market mutual funds consisting 8047
exclusively of those obligations, or in repurchase agreements, 8048
including those issued by any fiduciary, secured by those 8049
obligations, or in collective investment funds consisting 8050
exclusively of those obligations;8051

       (b) Obligations of this state or any political subdivision of 8052
this state;8053

       (c) Certificates of deposit of any national bank located in 8054
this state and any bank, as defined in section 1101.01 of the 8055
Revised Code, subject to inspection by the superintendent of 8056
financial institutions;8057

       (d) The treasurer of state's pooled investment program under 8058
section 135.45 of the Revised Code;8059

       (e) Other investment agreements or repurchase agreements that 8060
are consistent with the ratings on the obligations.8061

       (2) The income from investments referred to in division 8062
(T)(1) of this section shall be credited to special funds or 8063
otherwise as the issuing authority determines in the bond 8064
proceedings. Those investments may be sold or exchanged at times 8065
as the issuing authority determines, provides for, or authorizes.8066

       (U) The treasurer of state shall have responsibility for 8067
keeping records, making reports, and making payments, relating to 8068
any arbitrage rebate requirements under the applicable bond 8069
proceedings.8070

       Sec. 183.52.  (A) There is hereby created a body, both 8071
corporate and politic, constituting an agency and instrumentality 8072
of this state and performing essential functions of the state, to 8073
be known as the Ohio tobacco settlement financing authority, which 8074
in that name may contract and be contracted with, sue and be sued, 8075
and exercise all other authority vested in that authority by this 8076
section and section 183.51 of the Revised Code. The authority is 8077
created for the sole purpose of purchasing and receiving any 8078
assignment of the tobacco settlement receipts and issuing 8079
obligations, all as provided for in section 183.51 of the Revised 8080
Code, to provide financing of essential functions and facilities. 8081
The property of the authority and its income and operations shall 8082
be exempt from taxation involving the state or by the state and 8083
any political subdivision of the state. All income of the 8084
authority, after the payment of necessary expenses, shall accrue 8085
to the state.8086

       (B) The authority shall consist of, in each case ex officio, 8087
the governor, the director of budget and management, the tax 8088
commissioner, the treasurer of state, the attorney general, and 8089
the auditor of state. The governor shall serve as the chair of the 8090
authority, the director of budget and management shall serve as 8091
its secretary, and the authority shall have such other officers as 8092
it determines, who may but need not be members of the authority. 8093
Four members of the authority constitute a quorum and the 8094
affirmative vote of four members is necessary for any action taken 8095
by vote of the authority. No vacancy in the membership of the 8096
authority shall impair the rights of a quorum by such vote to 8097
exercise all the rights and perform all the duties of the 8098
authority. Each of the members above identified may designate an 8099
employee or officer of their office to attend meetings of the 8100
authority when that member is absent or unable for any reason to 8101
attend and that designee, when present, shall be counted in 8102
determining whether a quorum is present at any meeting and may 8103
vote and participate in all proceedings and actions of the 8104
authority. A designee may not execute or cause a facsimile 8105
signature to be placed on any obligation. That designation shall 8106
be in writing, executed by the designating member, and be filed 8107
with the secretary of the authority. A designation may be changed 8108
from time to time by a similar written designation. The authority 8109
may delegate to such of its members, officers, employees, or staff 8110
as it determines those powers and duties as it deems appropriate. 8111
No member of the authority or designee shall, by reason of being 8112
or serving as a member of the authority, be required to abstain 8113
from action in any other capacity as an incumbent of a state 8114
office or position or from any action as a member of the authority 8115
in any matter affecting or in any way pertaining to both that 8116
office or position and the authority, or for any purpose be deemed 8117
to be disqualified from either such office or position or as a 8118
member of the authority by reason of so acting or to have violated 8119
any law by reason thereof. The authority may adopt and alter 8120
bylaws and rules for the conduct of its affairs, including 8121
provisions for meetings, and for the manner in which its powers 8122
and functions are to be exercised and embodied, and may adopt and 8123
alter at will an official seal to be affixed to official 8124
documents, provided that the failure to affix any such seal shall 8125
not affect the legality of such documents. Members of the 8126
authority shall receive no added compensation for their services 8127
as such members but may be reimbursed, as determined by the 8128
authority, for their necessary and actual expenses incurred in the 8129
conduct of the authority's business. The office of budget and 8130
management shall provide staff support to the authority.8131

       Notwithstanding the existence of common management, the 8132
authority shall be treated and accounted for as a separate and 8133
independent legal entity with its separate purposes as set forth 8134
in this section and section 183.51 of the Revised Code. The 8135
assets, liabilities, and funds of the authority shall not be 8136
consolidated or commingled with those of the state, and contracts 8137
entered into by the authority shall be entered into in the name of 8138
the authority and not in the name of the state.8139

       (C) In connection with the exercise of its powers pursuant to 8140
this section and section 183.51 of the Revised Code, the authority 8141
may enter into contracts and execute all instruments necessary or 8142
incidental to the performance of the issuing authority's duties 8143
and the execution of the issuing authority's powers and do all 8144
other acts necessary or proper to the fulfillment of the issuing 8145
authority's purposes and to carry out the powers expressly granted 8146
in this section and section 183.51 of the Revised Code.8147

       Sec. 307.021.  (A) It is hereby declared to be a public8148
purpose and function of the state, and a matter of urgent8149
necessity, that the state acquire, construct, or renovate capital8150
facilities for use as county, multicounty, municipal-county, and8151
multicounty-municipal jail facilities or workhouses, as8152
single-county or district community-based correctional facilities8153
authorized under section 2301.51 of the Revised Code, as minimum8154
security misdemeanant jails under sections 341.34 and 753.21 of8155
the Revised Code, and as single-county or joint-county juvenile8156
facilities authorized under section 2151.65 of the Revised Code in 8157
order to comply with constitutional standards and laws for the8158
incarceration of alleged and convicted offenders against state and 8159
local laws, and for use as county family court centers. For these 8160
purposes, counties and municipal corporations are designated as 8161
state agencies to perform duties of the state in relation to such 8162
facilities, workhouses, jails, and centers, and such facilities, 8163
workhouses, jails, and centers are designated as state capital 8164
facilities. The Ohio building authority is authorized to issue 8165
revenue obligations under sections 152.09 to 152.33 of the Revised 8166
Code to pay all or part of the cost of such state capital 8167
facilities as are designated by law.8168

       The office of the sheriff, due to its responsibilities8169
concerning alleged and convicted offenders against state laws, is8170
designated as the state agency having jurisdiction over such jail, 8171
workhouse, community-based correctional, or county minimum8172
security misdemeanant jail capital facilities in any one county or 8173
over any district community-based correctional facilities. The 8174
corrections commission, due to its responsibilities in relation to 8175
such offenders, is designated as the state agency having 8176
jurisdiction over any such multicounty, municipal-county, or 8177
multicounty-municipal jail, workhouse, or correctional capital8178
facilities. The office of the chief of police or marshal of a8179
municipal corporation, due to its responsibilities concerning8180
certain alleged and convicted criminal offenders, is designated as 8181
the state agency having jurisdiction over any such municipal8182
corporation minimum security misdemeanant jail capital facilities8183
in the municipal corporation. The juvenile court, as defined in8184
section 2151.011 of the Revised Code, is designated as the branch8185
of state government having jurisdiction over any such family court 8186
center or single-county or joint-county juvenile capital8187
facilities. It is hereby determined and declared that such capital 8188
facilities are for the purpose of housing such state agencies, 8189
their functions, equipment, and personnel.8190

       (B) The capital facilities provided for in this section may 8191
be included in capital facilities in which one or more8192
governmental entities are participating or in which other8193
facilities of the county or counties, or any municipal8194
corporations, are included pursuant to section 152.31 or 152.33 of 8195
the Revised Code or in an agreement between any county or counties 8196
and any municipal corporation or municipal corporations for 8197
participating in the joint construction, acquisition, or8198
improvement of public works, public buildings, or improvements8199
benefiting the parties in the same manner as set forth in section8200
153.61 of the Revised Code.8201

       (C) A county or counties or a municipal corporation or8202
municipal corporations may contribute to the cost of capital8203
facilities authorized under this section.8204

       (D) A county or counties, and any municipal corporations,8205
shall lease capital facilities described in this section that are8206
constructed, reconstructed, otherwise improved, or financed by the 8207
Ohio building authority pursuant to sections 152.09 to 152.33 of 8208
the Revised Code for the use of the county or counties and any8209
municipal corporations, and may enter into other agreements8210
ancillary to the construction, reconstruction, improvement,8211
financing, leasing, or operation of such capital facilities,8212
including, but not limited to, any agreements required by the8213
applicable bond proceedings authorized by sections 152.09 to8214
152.33 of the Revised Code.8215

       Such lease may obligate the county or counties and any8216
municipal corporation, as using state agencies under Chapter 152.8217
of the Revised Code, to occupy and operate such capital facilities 8218
for such period of time as may be specified by law and to pay such 8219
rent as the authority determines to be appropriate.8220
Notwithstanding any other section of the Revised Code, any county8221
or counties or municipal corporation may enter into such a lease,8222
and any such lease is legally sufficient to obligate the political 8223
subdivision for the term stated in the lease. Any such lease 8224
constitutes an agreement described in division (E) of section 8225
152.24 of the Revised Code.8226

       (E) If rental payments required from the county or counties 8227
or municipal corporation by a lease established pursuant to this 8228
section are not paid in accordance with such lease, the funds 8229
which otherwise would be apportioned to the lessees from the 8230
county undivided local governmentcommunities fund, pursuant to 8231
sections 5747.51 to 5747.53 of the Revised Code, shall be reduced 8232
by the amount of rent payable to the authority. The county 8233
treasurer immediately shall pay the amount of such reductions to 8234
the authority.8235

       (F) Any lease of capital facilities authorized by this8236
section, the rentals of which are payable in whole or in part from 8237
appropriations made by the general assembly, is governed by8238
division (D) of section 152.24 of the Revised Code. Such rentals8239
constitute available receipts as defined in section 152.09 of the8240
Revised Code and may be pledged for the payment of bond service8241
charges as provided in section 152.10 of the Revised Code.8242

       (G) Any provision of section 152.21, 152.22, or 152.26 of the 8243
Revised Code that applies to buildings and facilities described in 8244
section 152.19 of the Revised Code also applies to the buildings 8245
and facilities described in this section, unless it is 8246
inconsistent with this section.8247

       Sec. 307.37. (A) As used in division (B)(3) of this section, 8248
"proposed new construction" means a proposal to erect, construct, 8249
repair, alter, redevelop, or maintain a single-family, two-family, 8250
or three-family dwelling or any structure that is regulated by the 8251
Ohio building code.8252

       (B)(1)(a) The board of county commissioners may adopt local 8253
residential building regulations governing residential buildings 8254
as defined in section 3781.06 of the Revised Code, to be enforced 8255
within the unincorporated area of the county or within districts 8256
the board establishes in any part of the unincorporated area. No 8257
local residential building regulation shall differ from the state 8258
residential building code the board of building standards 8259
establishes pursuant to Chapter 3781. of the Revised Code unless 8260
the regulation addresses subject matter not addressed by the state 8261
residential building code or is adopted pursuant to section 8262
3781.01 of the Revised Code.8263

       (b) The board of county commissioners may, by resolution, 8264
adopt, administer, and enforce within the unincorporated area of 8265
the county, or within districts the board establishes in the 8266
unincorporated area, an existing structures code pertaining to the 8267
repair and continued maintenance of structures and the premises of 8268
those structures provided that the existing structures code 8269
governs subject matter not addressed by, and is not in conflict 8270
with, the state residential building code adopted pursuant to 8271
Chapter 3781. of the Revised Code. The board may adopt by 8272
incorporation by reference a model or standard code prepared and 8273
promulgated by the state, any agency of this state, or any private 8274
organization that publishes a recognized or standard existing 8275
structures code.8276

       (c) The board shall assign the duties of administering and 8277
enforcing any local residential building regulations or existing 8278
structures code to a county officer or employee who is trained and 8279
qualified for those duties and shall establish by resolution the 8280
minimum qualifications necessary to perform those duties.8281

       (2) The board may adopt regulations for participation in the 8282
national flood insurance program as defined in section 1521.01 of 8283
the Revised Code and regulations for the purposes of section 8284
1506.04 or 1506.07 of the Revised Code governing the prohibition, 8285
location, erection, construction, redevelopment, or floodproofing 8286
of new buildings or structures, substantial improvements to 8287
existing buildings or structures, or other development in 8288
unincorporated territory within flood hazard areas identified 8289
under the "Flood Disaster Protection Act of 1973," 87 Stat. 975, 8290
42 U.S.C.A. 4002, as amended, or within Lake Erie coastal erosion 8291
areas identified under section 1506.06 of the Revised Code, 8292
including, but not limited to, residential, commercial, 8293
institutional, or industrial buildings or structures or other 8294
permanent structures, as defined in section 1506.01 of the Revised 8295
Code. Rules adopted under division (B)(2) of this section shall 8296
not conflict with the state residential and nonresidential8297
building codes adopted pursuant to section 3781.10 of the Revised 8298
Code.8299

       (3)(a) A board may adopt regulations that provide for a 8300
review of the specific effects of a proposed new construction on8301
existing surface or subsurface drainage. The regulations may8302
require reasonable drainage mitigation and reasonable alteration 8303
of a proposed new construction before a building permit is issued 8304
in order to prevent or correct any adverse effects that the 8305
proposed new construction may have on existing surface or 8306
subsurface drainage. The regulations shall not be inconsistent 8307
with, more stringent than, or broader in scope than standards 8308
adopted by the natural resource conservation service in the United 8309
States department of agriculture concerning drainage or rules 8310
adopted by the environmental protection agency for reducing, 8311
controlling, or mitigating storm water runoff from construction 8312
sites, where applicable. The regulations shall allow a person who 8313
is registered under Chapter 4703. or 4733. of the Revised Code to 8314
prepare and submit relevant plans and other documents for review, 8315
provided that the person is authorized to prepare the plans and 8316
other documents pursuant to the person's registration.8317

       (b) If regulations are adopted under division (B)(3) of this8318
section, the board shall specify in the regulations a procedure8319
for the review of the specific effects of a proposed new8320
construction on existing surface or subsurface drainage. The8321
procedure shall include at a minimum all of the following:8322

       (i) A meeting at which the proposed new construction shall be8323
examined for those specific effects. The meeting shall be held8324
within thirty days after an application for a building permit is8325
filed or a review is requested unless the applicant agrees in 8326
writing to extend that time period or to postpone the meeting to 8327
another date, time, or place. The meeting shall be scheduled 8328
within five days after an application for a building permit is 8329
filed or a review is requested.8330

        (ii) Written notice of the date, time, and place of that8331
meeting, sent by regular mail to the applicant. The written notice 8332
shall be mailed at least seven days before the scheduled meeting 8333
date.8334

        (iii) Completion of the review by the board of county8335
commissioners not later than thirty days after the application for8336
a building permit is filed or a review is requested unless the 8337
applicant has agreed in writing to extend that time period or 8338
postpone the meeting to a later time, in which case the review 8339
shall be completed not later than two days after the date of the 8340
meeting. A complete review shall include the issuance of any order 8341
of the board of county commissioners regarding necessary 8342
reasonable drainage mitigation and necessary reasonable 8343
alterations to the proposed new construction to prevent or correct 8344
any adverse effects on existing surface or subsurface drainage so 8345
long as those alterations comply with the state residential and 8346
nonresidential building codes adopted pursuant to section 3781.10 8347
of the Revised Code. If the review is not completed within the8348
thirty-day period or an extended or postponed period that the8349
applicant has agreed to, the proposed new construction shall be8350
deemed to have no adverse effects on existing surface or8351
subsurface drainage, and those effects shall not be a valid basis8352
for the denial of a building permit.8353

        (iv) A written statement, provided to the applicant at the8354
meeting or in an order for alterations to a proposed new8355
construction, informing the applicant of the right to seek8356
appellate review of the denial of a building permit under division8357
(B)(3)(b)(iii) of this section by filing a petition in accordance8358
with Chapter 2506. of the Revised Code.8359

        (c) The regulations may authorize the board, after obtaining 8360
the advice of the county engineer, to enter into an agreement with 8361
the county engineer or another qualified person or entity to carry 8362
out any necessary inspections and make evaluations about what, if 8363
any, alterations are necessary to prevent or correct any adverse8364
effects that a proposed new construction may have on existing8365
surface or subsurface drainage.8366

       (d) Regulations adopted pursuant to division (B)(3) of this8367
section shall not apply to any property that a platting authority 8368
has approved under section 711.05, 711.09, or 711.10 of the 8369
Revised Code and shall not govern the same subject matter as the 8370
state residential or nonresidential building codes adopted 8371
pursuant to section 3781.10 of the Revised Code.8372

       (e) As used in division (B)(3) of this section, "subsurface8373
drainage" does not include a household sewage treatmentdisposal8374
system as defined in section 3709.091 of the Revised Code.8375

       (C)(1) Any regulation, code, or amendment may be adopted 8376
under this section only after a public hearing at not fewer than 8377
two regular or special sessions of the board. The board shall 8378
cause notice of any public hearing to be published in a newspaper 8379
of general circulation in the county once a week for the two 8380
consecutive weeks immediately preceding the hearing, except that 8381
if the board posts the hearing notice on the board's internet site 8382
on the world wide web, the board need publish only one notice of 8383
the hearing in a newspaper of general circulation if that 8384
newspaper notice includes the board's internet site and a 8385
statement that the notice is also posted on the internet site. Any 8386
notice of a public hearing shall include the time, date, and place 8387
of the hearing.8388

       (2) Any proposed regulation, code, or amendment shall be made 8389
available to the public at the board office. The regulations or 8390
amendments shall take effect on the thirty-first day following the 8391
date of their adoption.8392

       (D)(1) No person shall violate any regulation, code, or 8393
amendment the board adopts under sections 307.37 to 307.40 of the 8394
Revised Code.8395

       (2) Each day during which an illegal location, erection,8396
construction, floodproofing, repair, alteration, development,8397
redevelopment, or maintenance continues may be considered a8398
separate offense.8399

       (E) Regulations or amendments the board adopts pursuant to 8400
this section, with the exception of an existing structures code, 8401
do not affect buildings or structures that exist or on which8402
construction has begun on or before the date the board adopts the 8403
regulation or amendment.8404

       (F)(1) The board may create a building department and employ 8405
the personnel it determines necessary to administer and enforce 8406
any local residential building regulations or existing structures 8407
code the board adopts pursuant to this section. The building 8408
department may enforce the state residential and nonresidential 8409
building codes adopted pursuant to Chapter 3781. of the Revised 8410
Code if the building department is certified pursuant to section 8411
3781.10 of the Revised Code to enforce those codes.8412

        (2) The board may direct the building department, upon 8413
certification, to exercise enforcement authority and to accept and8414
approve plans pursuant to sections 3781.03 and 3791.04 of the8415
Revised Code for the class of building for which the department 8416
and personnel are certified.8417

       Sec. 307.695.  (A) As used in this section:8418

       (1) "Arena" means any structure designed and constructed for 8419
the purpose of providing a venue for public entertainment and 8420
recreation by the presentation of concerts, sporting and athletic 8421
events, and other events and exhibitions, including facilities 8422
intended to house or provide a site for one or more athletic or 8423
sports teams or activities, spectator facilities, parking 8424
facilities, walkways, and auxiliary facilities, real and personal 8425
property, property rights, easements, leasehold estates, and 8426
interests that may be appropriate for, or used in connection with, 8427
the operation of the arena.8428

       (2) "Convention center" means any structure expressly 8429
designed and constructed for the purposes of presenting 8430
conventions, public meetings, and exhibitions and includes parking 8431
facilities that serve the center and any personal property used in 8432
connection with any such structure or facilities.8433

       (3) "Eligible county" means a county having a population of 8434
at least four hundred thousand but not more than eight hundred 8435
thousand according to the 2000 federal decennial census and that 8436
directly borders the geographic boundaries of another state.8437

        (4) "Entity" means a nonprofit corporation, a municipal 8438
corporation, a port authority created under Chapter 4582. of the 8439
Revised Code, or a convention facilities authority created under 8440
Chapter 351. of the Revised Code.8441

       (5) "Lodging taxes" means excise taxes levied under division 8442
(A)(1), (A)(2), or (C) of section 5739.09 of the Revised Code and 8443
the revenues arising therefrom.8444

       (6) "Nonprofit corporation" means a nonprofit corporation 8445
that is organized under the laws of this state and that includes 8446
within the purposes for which it is incorporated the authorization 8447
to lease and operate facilities such as a convention center or an 8448
arena or a combination of an arena and convention center.8449

       (7) "Project" means acquiring, constructing, reconstructing, 8450
renovating, rehabilitating, expanding, adding to, equipping, 8451
furnishing or otherwise improving an arena, a convention center, 8452
or a combination of an arena and convention center. For purposes 8453
of this section, a project is a permanent improvement for one 8454
purpose under Chapter 133. of the Revised Code.8455

       (8) "Project revenues" means money received by an eligiblea8456
county with a population of four hundred thousand or more, other 8457
than money from taxes or from the proceeds of securities secured 8458
by taxes, in connection with, derived from, related to, or 8459
resulting from a project, including, but not limited to, rentals 8460
and other payments received under a lease or agreement with 8461
respect to the project, ticket charges or surcharges for admission 8462
to events at a project, charges or surcharges for parking for 8463
events at a project, charges for the use of a project or any 8464
portion of a project, including suites and seating rights, the 8465
sale of naming rights for the project or a portion of the project, 8466
unexpended proceeds of any county revenue bonds issued for the 8467
project, and any income and profit from the investment of the 8468
proceeds of any such revenue bonds or any project revenues.8469

       (9) "Chapter 133. securities," "debt charges," "general 8470
obligation," "legislation," "one purpose," "outstanding," 8471
"permanent improvement," "person," and "securities" have the 8472
meanings given to those terms in section 133.01 of the Revised 8473
Code.8474

       (B) A board of county commissioners may enter into an8475
agreement with a convention and visitors' bureau operating in the8476
county under which:8477

       (1) The bureau agrees to construct and equip a convention8478
center in the county and to pledge and contribute from the tax8479
revenues received by it under division (A) of section 5739.09 of8480
the Revised Code, not more than such portion thereof that it is8481
authorized to pledge and contribute for the purpose described in8482
division (C) of this section; and8483

       (2) The board agrees to levy a tax under division (C) of8484
section 5739.09 of the Revised Code and pledge and contribute the8485
revenues therefrom for the purpose described in division (C) of8486
this section.8487

       (C) The purpose of the pledges and contributions described in 8488
divisions (B)(1) and (2) of this section is payment of principal, 8489
interest, and premium, if any, on bonds and notes issued by or for 8490
the benefit of the bureau to finance the construction and 8491
equipping of a convention center. The pledges and contributions 8492
provided for in the agreement shall be for the period stated in 8493
the agreement. Revenues determined from time to time by the board 8494
to be needed to cover the real and actual costs of administering 8495
the tax imposed by division (C) of section 5739.09 of the Revised 8496
Code may not be pledged or contributed. The agreement shall 8497
provide that any such bonds and notes shall be secured by a trust8498
agreement between the bureau or other issuer acting for the8499
benefit of the bureau and a corporate trustee that is a trust8500
company or bank having the powers of a trust company within or8501
without the state, and the trust agreement shall pledge or assign8502
to the retirement of the bonds or notes, all moneys paid by the8503
county under this section. A tax the revenues from which are8504
pledged under an agreement entered into by a board of county8505
commissioners under this section shall not be subject to8506
diminution by initiative or referendum, or diminution by statute,8507
unless provision is made therein for an adequate substitute8508
therefor reasonably satisfactory to the trustee under the trust8509
agreement that secures the bonds and notes.8510

       (D) A pledge of money by a county under division (B) of this 8511
section shall not be indebtedness of the county for purposes of 8512
Chapter 133. of the Revised Code.8513

       (E) If the terms of the agreement so provide, the board of8514
county commissioners may acquire and lease real property to the8515
convention bureau as the site of the convention center. The lease 8516
shall be on such terms as are set forth in the agreement. The 8517
purchase and lease are not subject to the limitations of sections 8518
307.02 and 307.09 of the Revised Code.8519

       (F) In addition to the authority granted to a board of county 8520
commissioners under divisions (B) to (E) of this section, a board 8521
of county commissioners in a county with a population of one 8522
million two hundred thousand or more, or a county with a 8523
population greater than four hundred thousand but less than five 8524
hundred thousand, may establish and provide local funding options 8525
for constructing and equipping a convention center.8526

       (G) The board of county commissioners of an eligiblea county 8527
with a population of four hundred thousand or more may undertake, 8528
finance, operate, and maintain a project. The board may lease a 8529
project to an entity on terms that the board determines to be in 8530
the best interest of the county and in furtherance of the public 8531
purpose of the project; the lease may be for a term of thirty-five 8532
years or less and may provide for an option of the entity to renew 8533
the lease for a term of thirty-five years or less. The board may 8534
enter into an agreement with an entity with respect to a project 8535
on terms that the board determines to be in the best interest of 8536
the county and in furtherance of the public purpose of the 8537
project. To the extent provided for in an agreement or a lease 8538
with an entity, the board may authorize the entity to administer 8539
on behalf of the board any contracts for the project. The board 8540
may enter into an agreement providing for the sale to a person of 8541
naming rights to a project or portion of a project, for a period, 8542
for consideration, and on other terms and conditions that the 8543
board determines to be in the best interest of the county and in 8544
furtherance of the public purpose of the project. The board may 8545
enter into an agreement with a person owning or operating a 8546
professional athletic or sports team providing for the use by that 8547
person of a project or portion of a project for that team's 8548
offices, training, practices, and home games for a period, for 8549
consideration, and on other terms and conditions that the board 8550
determines to be in the best interest of the county and in 8551
furtherance of the public purpose of the project. The board may 8552
establish ticket charges or surcharges for admission to events at 8553
a project, charges or surcharges for parking for events at a 8554
project, and charges for the use of a project or any portion of a 8555
project, including suites and seating rights, and may, as 8556
necessary, enter into agreements related thereto with persons for 8557
a period, for consideration, and on other terms and conditions 8558
that the board determines to be in the best interest of the county 8559
and in furtherance of the public purpose of the project. A lease 8560
or agreement authorized by this division is not subject to 8561
sections 307.02, 307.09, and 307.12 of the Revised Code.8562

       (H) Notwithstanding any contrary provision in Chapter 5739. 8563
of the Revised Code, after adopting a resolution declaring it to 8564
be in the best interest of the county to undertake a project as 8565
described in division (G) of this section, the board of county 8566
commissioners of an eligible county may adopt a resolution 8567
enacting or increasing any lodging taxes within the limits 8568
specified in Chapter 5739. of the Revised Code with respect to 8569
those lodging taxes and amending any prior resolution under which 8570
any of its lodging taxes have been imposed in order to provide 8571
that those taxes, after deducting the real and actual costs of 8572
administering the taxes and any portion of the taxes returned to 8573
any municipal corporation or township as provided in division 8574
(A)(1) of section 5739.09 of the Revised Code, shall be used by 8575
the board for the purposes of undertaking, financing, operating, 8576
and maintaining the project, including paying debt charges on any 8577
securities issued by the board under division (I) of this section, 8578
or to make contributions to the convention and visitors' bureau 8579
operating within the county, or to promote, advertise, and market 8580
the region in which the county is located, all as the board may 8581
determine and make appropriations for from time to time, subject 8582
to the terms of any pledge to the payment of debt charges on 8583
outstanding general obligation securities or special obligation 8584
securities authorized under division (I) of this section. A 8585
resolution adopted under division (H) of this section shall be 8586
adopted not earlier than January 15, 2007, and not later than 8587
January 15, 2008.8588

       A resolution adopted under division (H) of this section may 8589
direct the board of elections to submit the question of enacting 8590
or increasing lodging taxes, as the case may be, to the electors 8591
of the county at a special election held on the date specified by 8592
the board in the resolution, provided that the election occurs not 8593
less than seventy-five days after a certified copy of the 8594
resolution is transmitted to the board of elections and no later 8595
than January 15, 2008. A resolution submitted to the electors 8596
under this division shall not go into effect unless it is approved 8597
by a majority of those voting upon it. A resolution adopted under 8598
division (H) of this section that is not submitted to the electors 8599
of the county for their approval or disapproval is subject to a 8600
referendum as provided in sections 305.31 to 305.41 of the Revised 8601
Code.8602

       A resolution adopted under division (H) of this section takes 8603
effect upon its adoption, unless the resolution is submitted to 8604
the electors of the county for their approval or disapproval, in 8605
which case the resolution takes effect on the date the board of 8606
county commissioners receives notification from the board of 8607
elections of the affirmative vote. Lodging taxes received after 8608
the effective date of the resolution may be used for the purposes 8609
described in division (H) of this section, except that lodging 8610
taxes that have been pledged to the payment of debt charges on any 8611
bonds or notes issued by or for the benefit of a convention and 8612
visitors' bureau under division (C) of this section shall be used 8613
exclusively for that purpose until such time as the bonds or notes 8614
are no longer outstanding under the trust agreement securing those 8615
bonds or notes.8616

       (I)(1) The board of county commissioners of an eligiblea8617
county with a population of four hundred thousand or more may 8618
issue the following securities of the county for the purpose of 8619
paying costs of the project, refunding any outstanding county 8620
securities issued for that purpose, refunding any outstanding 8621
bonds or notes issued by or for the benefit of the bureau under 8622
division (C) of this section, or for any combination of those 8623
purposes:8624

       (a) General obligation securities issued under Chapter 133. 8625
of the Revised Code. The resolution authorizing these securities 8626
may include covenants to appropriate annually from lawfully 8627
available lodging taxes, and to continue to levy and collect those 8628
lodging taxes in, amounts necessary to meet the debt charges on 8629
those securities.8630

       (b) Special obligation securities issued under Chapter 133. 8631
of the Revised Code that are secured only by lawfully available 8632
lodging taxes and any other taxes and revenues pledged to pay the 8633
debt charges on those securities, except ad valorem property 8634
taxes. The resolution authorizing those securities shall include a 8635
pledge of and covenants to appropriate annually from lawfully 8636
available lodging taxes and any other taxes and revenues pledged 8637
for such purpose, and to continue to collect any of those revenues 8638
pledged for such purpose and to levy and collect those lodging 8639
taxes and any other taxes pledged for such purpose, in amounts 8640
necessary to meet the debt charges on those securities. The pledge 8641
is valid and binding from the time the pledge is made, and the 8642
lodging taxes so pledged and thereafter received by the county are 8643
immediately subject to the lien of the pledge without any physical 8644
delivery of the lodging taxes or further act. The lien of any 8645
pledge is valid and binding as against all parties having claims 8646
of any kind in tort, contract, or otherwise against the county, 8647
regardless of whether such parties have notice of the lien. 8648
Neither the resolution nor any trust agreement by which a pledge 8649
is created or further evidenced is required to be filed or 8650
recorded except in the records of the board. The special 8651
obligation securities shall contain a statement on their face to 8652
the effect that they are not general obligation securities, and, 8653
unless paid from other sources, are payable from the pledged 8654
lodging taxes.8655

       (c) Revenue securities authorized under section 133.08 of the 8656
Revised Code and issued under Chapter 133. of the Revised Code 8657
that are secured only by lawfully available project revenues 8658
pledged to pay the debt charges on those securities.8659

       (2) The securities described in division (I)(1) of this 8660
section are subject to Chapter 133. of the Revised Code.8661

       (3) Section 133.34 of the Revised Code, except for division 8662
(A) of that section, applies to the issuance of any refunding 8663
securities authorized under this division. In lieu of division (A) 8664
of section 133.34 of the Revised Code, the board of county 8665
commissioners shall establish the maturity date or dates, the 8666
interest payable on, and other terms of refunding securities as it 8667
considers necessary or appropriate for their issuance, provided 8668
that the final maturity of refunding securities shall not exceed 8669
by more than ten years the final maturity of any bonds refunded by 8670
refunding securities.8671

       (4) The board may not repeal, rescind, or reduce all or any 8672
portion of any lodging taxes pledged to the payment of debt 8673
charges on any outstanding special obligation securities 8674
authorized under this division, and no portion of any lodging 8675
taxes that is pledged, or that the board has covenanted to levy, 8676
collect, and appropriate annually to pay debt charges on any 8677
outstanding securities authorized under this division is subject 8678
to repeal, rescission, or reduction by the electorate of the 8679
county.8680

       Sec. 307.6910. (A) As used in this section, "contracting8681
subdivision" means any political subdivision or taxing district8682
that enters into an agreement with a board of county commissioners8683
as authorized by this section.8684

       (B) A board of county commissioners may enter into an8685
agreement with the legislative authority of one or more political8686
subdivisions or taxing districts located wholly or partially8687
within the territorial boundaries of the county providing for both8688
of the following:8689

       (1) Authorization for the board of county commissioners to8690
receive funds due the political subdivision or taxing district8691
from the county treasury, other than funds raised by taxes levied8692
by the political subdivision or taxing district, including, but8693
not limited to, the political subdivision's or taxing district's8694
share of the undivided local governmentcommunities fund, provided 8695
those received funds may lawfully be applied to the purpose for 8696
which money is owed to the county;8697

       (2) The crediting of the funds so received by the county8698
against money owed to it by the political subdivision or taxing8699
district.8700

       The agreement shall be in writing and include the signature8701
of an authorized officer or representative of the county and of8702
the political subdivision or taxing district.8703

       (C) Upon entering into an agreement, the board of county8704
commissioners shall cause two copies of the agreement, certified8705
by an authorized officer or representative of the county and of8706
the contracting subdivision, to be transmitted to the county8707
auditor. The county auditor shall forward one copy of the8708
agreement to the county treasurer and shall present the other copy8709
of the agreement to the county budget commission. The county8710
budget commission shall give effect to the agreement in8711
determining or revising the amounts to be credited to the funds of8712
the county and the contracting subdivision in the official or8713
amended official certificate of estimated resources under sections8714
5705.35 and 5705.36 of the Revised Code.8715

       (D) The county auditor may rely on the certified agreement8716
entered into under division (B) of this section for the purpose of8717
making a certification under division (D) of section 5705.41 of8718
the Revised Code for a county contract or order of money incurred8719
on behalf of the contracting subdivision if the county auditor8720
finds that the amount credited to the county under division (B)(2)8721
of this section is available in the amount and at the time8722
necessary to meet the obligation.8723

       (E) The county auditor and county treasurer, in carrying out8724
their statutory duties regarding the crediting and distribution of8725
money to the funds of the parties to agreements entered into under8726
this section, shall give effect to any such agreements certified8727
to the county auditor under this section. A certified agreement8728
shall not affect the time at which moneys otherwise would be8729
available by law to the parties to the agreement.8730

       (F) The terms of an agreement entered into under this section 8731
may be enforced in the court of common pleas of the county that is 8732
a party to the agreement in an action for a writ of mandamus. For 8733
purposes of that action, it shall be deemed that the legislative 8734
authority of the contracting subdivision has a duty to allow 8735
payments to the county as specified in the agreement, that the 8736
board of county commissioners of the county has a duty to receive 8737
those payments in the manner specified in the agreement, and that 8738
those duties are specifically enjoined by law and result from an 8739
office, trust, or station.8740

       Sec. 307.98. BoardsAs used in this section, "county 8741
grantee" has the same meaning as in section 5101.21 of the Revised 8742
Code.8743

        Each board of county commissioners mayand each other county 8744
grantee of the county shall jointly enter into one or more written 8745
fiscalgrant agreements with the director of job and family 8746
services in accordance with section 5101.21 of the Revised Code. 8747
If a board enters into a fiscal agreement, theThe board of county 8748
commissioners shall enter into the agreement on behalf of the 8749
county family services agencies, other than a county family 8750
services agency that is a county signer as defined in section 8751
5101.21 of the Revised Codegrantee.8752

       Sec. 307.981.  (A)(1) As used in the Revised Code:8753

       (a) "County family services agency" means all of the8754
following:8755

       (i) A child support enforcement agency;8756

       (ii) A county department of job and family services;8757

       (iii) A public children services agency.8758

       (b) "Family services duty" means a duty state law requires or 8759
allows a county family services agency to assume, including 8760
financial and general administrative duties. "Family services 8761
duty" does not include a duty funded by the United States 8762
department of labor.8763

       (2) As used in sections 307.981 to 307.989 of the Revised 8764
Code, "private entity" means an entity other than a government 8765
entity.8766

       (B) To the extent permitted by federal law, including, when 8767
applicable, subpart F of 5 C.F.R. part 900, and subject to any 8768
limitations established by the Revised Code, including division 8769
(H) of this section, a board of county commissioners may designate 8770
any private or government entity within this state to serve as any 8771
of the following:8772

       (1) A child support enforcement agency;8773

       (2) A county department of job and family services;8774

       (3) A public children services agency;8775

       (4) A county department of job and family services and one 8776
other of those county family services agencies;8777

       (5) All three of those county family services agencies.8778

       (C) To the extent permitted by federal law, including, when 8779
applicable, subpart F of 5 C.F.R. part 900, and subject to any 8780
limitations of the Revised Code, including division (H) of this 8781
section, a board of county commissioners may change the8782
designation it makes under division (B) of this section by8783
designating another private or government entity.8784

       (D) If a designation under division (B) or (C) of this 8785
section constitutes a change from the designation in a fiscal8786
grant agreement between the director of job and family services 8787
and the board under sections 307.98 and 5101.21 of the Revised 8788
Code, the director may require that the director and board amend 8789
the fiscalgrant agreement and that the board provide the director 8790
written assurances that the newly designated private or government 8791
entity will meet or exceed all requirements of the family services 8792
duties the entity is to assume.8793

       (E) Not less than sixty days before a board of county 8794
commissioners designates an entity under division (B) or (C) of 8795
this section, the board shall notify the director of job and 8796
family services and publish notice in a newspaper of general8797
circulation in the county of the board's intention to make the8798
designation and reasons for the designation.8799

       (F) A board of county commissioners shall enter into a 8800
written contract with each entity it designates under division (B) 8801
or (C) of this section specifying the entity's responsibilities 8802
and standards the entity is required to meet.8803

       (G) This section does not require a board of county8804
commissioners to abolish the child support enforcement agency,8805
county department of job and family services, or public children 8806
services agency serving the county on October 1, 1997, and 8807
designate a different private or government entity to serve as the 8808
county's child support enforcement agency, county department of 8809
job and family services, or public children services agency.8810

       (H) If a county children services board appointed under 8811
section 5153.03 of the Revised Code serves as a public children 8812
services agency for a county, the board of county commissioners 8813
may not redesignate the public children services agency unless the 8814
board of county commissioners does all of the following:8815

       (1) Notifies the county children services board of its intent 8816
to redesignate the public children services agency. In its8817
notification, the board of county commissioners shall provide the 8818
county children services board a written explanation of the 8819
administrative, fiscal, or performance considerations causing the 8820
board of county commissioners to seek to redesignate the public 8821
children services agency.8822

       (2) Provides the county children services board an 8823
opportunity to comment on the proposed redesignation before the 8824
redesignation occurs;8825

       (3) If the county children services board, not more than8826
sixty days after receiving the notice under division (H)(1) of 8827
this section, notifies the board of county commissioners that the 8828
county children services board has voted to oppose the 8829
redesignation, votes unanimously to proceed with the 8830
redesignation.8831

       Sec. 308.04.  Within sixty days after a regional airport 8832
authority has been created under section 308.03 of the Revised 8833
Code, the board of trustees for such regional airport authority 8834
shall be appointed as provided in the resolution creating it.8835

       Each member of the board of trustees, before entering upon 8836
histhe member's official duties, shall take and subscribe to an 8837
oath or affirmation that hethe member will honestly, faithfully, 8838
and impartially perform the duties of his office, and that hethe 8839
member will not be interested directly or indirectly in any 8840
contract let by the regional airport authority. Any contract let 8841
by the regional airport authority in which a member of the board 8842
of trustees is directly or indirectly interested is void and 8843
unenforceable.8844

       After each member of the board has taken the oath as 8845
prescribed by this section the board shall meet and organize by 8846
electing one of its members as president and another as 8847
vice-president, who shall hold their respective offices until the 8848
next annual meeting of the board as provided in its bylaws. At 8849
each annual meeting thereafter the board shall elect from its 8850
membership a president and a vice-president who shall serve for a 8851
term of one year.8852

       The board shall appoint and fix the compensation of a 8853
secretary-treasurer, who shall not be a member of the board and 8854
who shall serve at the pleasure of the board.8855

       Sec. 317.08. (A) Except as provided in divisions (C) and (D) 8856
of this section, the county recorder shall keep six separate sets8857
of records as follows:8858

       (1) A record of deeds, in which shall be recorded all deeds8859
and other instruments of writing for the absolute and8860
unconditional sale or conveyance of lands, tenements, and8861
hereditaments; all notices as provided in sections 5301.47 to8862
5301.56 of the Revised Code; all judgments or decrees in actions8863
brought under section 5303.01 of the Revised Code; all8864
declarations and bylaws, and all amendments to declarations and8865
bylaws, as provided in Chapter 5311. of the Revised Code;8866
affidavits as provided in sections 5301.252 and 5301.56 of the 8867
Revised Code; all certificates as provided in section 5311.17 of 8868
the Revised Code; all articles dedicating archaeological preserves8869
accepted by the director of the Ohio historical society under8870
section 149.52 of the Revised Code; all articles dedicating nature8871
preserves accepted by the director of natural resources under8872
section 1517.05 of the Revised Code; all agreements for the8873
registration of lands as archaeological or historic landmarks8874
under section 149.51 or 149.55 of the Revised Code; all8875
conveyances of conservation easements and agricultural easements8876
under section 5301.68 of the Revised Code; all instruments8877
extinguishing agricultural easements under section 901.21 or8878
5301.691 of the Revised Code or pursuant to terms of such an8879
easement granted to a charitable organization under section8880
5301.68 of the Revised Code; all instruments or orders described8881
in division (B)(2)(b) of section 5301.56 of the Revised Code; all 8882
no further action letters issued under section 122.654 or 3746.11 8883
of the Revised Code; all covenants not to sue issued under section8884
3746.12 of the Revised Code, including all covenants not to sue 8885
issued pursuant to section 122.654 of the Revised Code; any8886
restrictions on the use of property contained in a no further8887
action letter issued under section 122.654 of the Revised Code,8888
any restrictions on the use of property identified pursuant to8889
division (C)(3)(a) of section 3746.10 of the Revised Code, and any 8890
restrictions on the use of property contained in a deed or other 8891
instrument as provided in division (E) or (F) of section 3737.882 8892
of the Revised Code; any easement executed or granted under 8893
section 3734.22, 3734.24, 3734.25, or 3734.26 of the Revised Code; 8894
any environmental covenant entered into in accordance with 8895
sections 5301.80 to 5301.92 of the Revised Code; all memoranda of 8896
trust, as described in division (A) of section 5301.255 of the 8897
Revised Code, that describe specific real property; and all 8898
agreements entered into under division (A) of section 1521.268899
1506.44 of the Revised Code;8900

       (2) A record of mortgages, in which shall be recorded all of8901
the following:8902

       (a) All mortgages, including amendments, supplements,8903
modifications, and extensions of mortgages, or other instruments8904
of writing by which lands, tenements, or hereditaments are or may8905
be mortgaged or otherwise conditionally sold, conveyed, affected,8906
or encumbered;8907

       (b) All executory installment contracts for the sale of land8908
executed after September 29, 1961, that by their terms are not8909
required to be fully performed by one or more of the parties to8910
them within one year of the date of the contracts;8911

       (c) All options to purchase real estate, including8912
supplements, modifications, and amendments of the options, but no8913
option of that nature shall be recorded if it does not state a8914
specific day and year of expiration of its validity;8915

       (d) Any tax certificate sold under section 5721.33 of the8916
Revised Code, or memorandum of it, that is presented for filing of 8917
record.8918

       (3) A record of powers of attorney, including all memoranda8919
of trust, as described in division (A) of section 5301.255 of the8920
Revised Code, that do not describe specific real property;8921

       (4) A record of plats, in which shall be recorded all plats8922
and maps of town lots, of the subdivision of town lots, and of8923
other divisions or surveys of lands, any center line survey of a8924
highway located within the county, the plat of which shall be8925
furnished by the director of transportation or county engineer,8926
and all drawings and amendments to drawings, as provided in8927
Chapter 5311. of the Revised Code;8928

       (5) A record of leases, in which shall be recorded all8929
leases, memoranda of leases, and supplements, modifications, and8930
amendments of leases and memoranda of leases;8931

       (6) A record of declarations executed pursuant to section8932
2133.02 of the Revised Code and durable powers of attorney for8933
health care executed pursuant to section 1337.12 of the Revised8934
Code.8935

       (B) All instruments or memoranda of instruments entitled to8936
record shall be recorded in the proper record in the order in8937
which they are presented for record. The recorder may index, keep, 8938
and record in one volume unemployment compensation liens, internal 8939
revenue tax liens and other liens in favor of the United States as 8940
described in division (A) of section 317.09 of the Revised Code, 8941
personal tax liens, mechanic's liens, agricultural product liens, 8942
notices of liens, certificates of satisfaction or partial release 8943
of estate tax liens, discharges of recognizances, excise and 8944
franchise tax liens on corporations, broker's liens, and liens8945
provided for in sections 1513.33, 1513.37, 3752.13, 5111.022, and8946
5311.18 of the Revised Code.8947

       The recording of an option to purchase real estate, including8948
any supplement, modification, and amendment of the option, under8949
this section shall serve as notice to any purchaser of an interest8950
in the real estate covered by the option only during the period of8951
the validity of the option as stated in the option.8952

       (C) In lieu of keeping the six separate sets of records8953
required in divisions (A)(1) to (6) of this section and the8954
records required in division (D) of this section, a county8955
recorder may record all the instruments required to be recorded by8956
this section in two separate sets of record books. One set shall8957
be called the "official records" and shall contain the instruments8958
listed in divisions (A)(1), (2), (3), (5), and (6) and (D) of this 8959
section. The second set of records shall contain the instruments 8960
listed in division (A)(4) of this section.8961

       (D) Except as provided in division (C) of this section, the8962
county recorder shall keep a separate set of records containing8963
all corrupt activity lien notices filed with the recorder pursuant8964
to section 2923.36 of the Revised Code and a separate set of8965
records containing all medicaid fraud lien notices filed with the8966
recorder pursuant to section 2933.75 of the Revised Code.8967

       Sec. 319.202.  Before the county auditor indorses any real8968
property conveyance or manufactured or mobile home conveyance 8969
presented to the auditor pursuant to section 319.20 of the Revised 8970
Code or registers any manufactured or mobile home conveyance8971
pursuant to section 4503.061 of the Revised Code, the grantee or 8972
the grantee's representative shall submit in triplicate a 8973
statement, prescribed by the tax commissioner, and other 8974
information as the county auditor may require, declaring the value 8975
of real property or manufactured or mobile home conveyed, except8976
that when the transfer is exempt under division (F)(G)(3) of 8977
section 319.54 of the Revised Code only a statement of the reason 8978
for the exemption shall be required. Each statement submitted 8979
under this section shall contain the information required under 8980
divisions (A) and (B) of this section.8981

       (A) Each statement submitted under this section shall either:8982

       (1) Contain an affirmation by the grantee that the grantor8983
has been asked by the grantee or the grantee's representative 8984
whether to the best of the grantor's knowledge either the8985
preceding or the current year's taxes on the real property or the 8986
current or following year's taxes on the manufactured or mobile 8987
home conveyed will be reduced under division (A) of section 8988
323.152 or under section 4503.065 of the Revised Code and that the 8989
grantor indicated that to the best of the grantor's knowledge the 8990
taxes will not be so reduced; or8991

       (2) Be accompanied by a sworn or affirmed instrument stating:8992

       (a) To the best of the grantor's knowledge the real property 8993
or the manufactured or mobile home that is the subject of the8994
conveyance is eligible for and will receive a reduction in taxes 8995
for or payable in the current year under division (A) of section 8996
323.152 or under section 4503.065 of the Revised Code and that the 8997
reduction or reductions will be reflected in the grantee's taxes;8998

       (b) The estimated amount of such reductions that will be8999
reflected in the grantee's taxes;9000

       (c) That the grantor and the grantee have considered and9001
accounted for the total estimated amount of such reductions to the 9002
satisfaction of both the grantee and the grantor. The auditor 9003
shall indorse the instrument, return it to the grantee or the 9004
grantee's representative, and provide a copy of the indorsed 9005
instrument to the grantor or the grantor's representative.9006

       (B) Each statement submitted under this section shall either:9007

       (1) Contain an affirmation by the grantee that the grantor9008
has been asked by the grantee or the grantee's representative 9009
whether to the best of the grantor's knowledge the real property 9010
conveyed qualified for the current agricultural use valuation 9011
under section 5713.30 of the Revised Code either for the preceding 9012
or the current year and that the grantor indicated that to the 9013
best of the grantor's knowledge the property conveyed was not so9014
qualified; or9015

       (2) Be accompanied by a sworn or affirmed instrument stating:9016

       (a) To the best of the grantor's knowledge the real property 9017
conveyed was qualified for the current agricultural use valuation 9018
under section 5713.30 of the Revised Code either for the preceding 9019
or the current year;9020

       (b) To the extent that the property will not continue to9021
qualify for the current agricultural use valuation either for the9022
current or the succeeding year, that the property will be subject9023
to a recoupment charge equal to the tax savings in accordance with 9024
section 5713.34 of the Revised Code;9025

       (c) That the grantor and the grantee have considered and9026
accounted for the total estimated amount of such recoupment, if9027
any, to the satisfaction of both the grantee and the grantor. The 9028
auditor shall indorse the instrument, forward it to the grantee or 9029
the grantee's representative, and provide a copy of the indorsed9030
instrument to the grantor or the grantor's representative.9031

       (C) The grantor shall pay the fee required by division9032
(F)(G)(3) of section 319.54 of the Revised Code; and, in the event9033
the board of county commissioners of the county has levied a real9034
property or a manufactured home transfer tax pursuant to Chapter 9035
322. of the Revised Code, the amount required by the real property 9036
or manufactured home transfer tax so levied. If the conveyance is 9037
exempt from the fee provided for in division (F)(G)(3) of section 9038
319.54 of the Revised Code and the tax, if any, levied pursuant to 9039
Chapter 322. of the Revised Code, the reason for such exemption 9040
shall be shown on the statement. "Value" means, in the case of any 9041
deed or certificate of title not a gift in whole or part, the 9042
amount of the full consideration therefor, paid or to be paid for 9043
the real estate or manufactured or mobile home described in the9044
deed or title, including the amount of any mortgage or vendor's 9045
lien thereon. If property sold under a land installment contract 9046
is conveyed by the seller under such contract to a third party and 9047
the contract has been of record at least twelve months prior to 9048
the date of conveyance, "value" means the unpaid balance owed to 9049
the seller under the contract at the time of the conveyance, but 9050
the statement shall set forth the amount paid under such contract 9051
prior to the date of conveyance. In the case of a gift in whole 9052
or part, "value" means the estimated price the real estate or 9053
manufactured or mobile home described in the deed or certificate 9054
of title would bring in the open market and under the then 9055
existing and prevailing market conditions in a sale between a 9056
willing seller and a willing buyer, both conversant with the 9057
property and with prevailing general price levels. No person shall 9058
willfully falsify the value of property conveyed.9059

       (D) The auditor shall indorse each conveyance on its face to 9060
indicate the amount of the conveyance fee and compliance with this 9061
section. The auditor shall retain the original copy of the9062
statement of value, forward to the tax commissioner one copy on9063
which shall be noted the most recent assessed value of the9064
property, and furnish one copy to the grantee or the grantee's 9065
representative.9066

       (E) In order to achieve uniform administration and collection 9067
of the transfer fee required by division (F)(G)(3) of section 9068
319.54 of the Revised Code, the tax commissioner shall adopt and 9069
promulgate rules for the administration and enforcement of the 9070
levy and collection of such fee.9071

       Sec. 319.281.  The county auditor shall place on the general9072
tax list and duplicate compiled in accordance with section 319.289073
of the Revised Code the amount certified by the health9074
commissioner of a city or general health district pursuant to9075
section 3709.091 of the Revised Code of any unpaid operation9076
permit or inspection fee for a household sewage treatmentdisposal9077
system or a small flow on-site sewage treatment system or any 9078
other unpaid fee levied under Chapter 3718. of the Revised Code9079
and any accrued late payment penalties, together with any fee 9080
charged by the county auditor for placing the amount on the 9081
general tax list and duplicate and for the expenses of its9082
collection. The amount placed on the general tax list and9083
duplicate shall be a lien on the real property on which the9084
household sewage treatmentdisposal system or small flow on-site 9085
sewage treatment system is located from the date the amount was 9086
placed on the tax list and duplicate, and shall be charged and 9087
collected in the same manner as taxes on the list.9088

       Sec. 319.54.  (A) On all moneys collected by the county9089
treasurer on any tax duplicate of the county, other than estate9090
tax duplicates, and on all moneys received as advance payments of9091
personal property and classified property taxes, the county9092
auditor, on settlement with the treasurer and tax commissioner, on 9093
or before the date prescribed by law for such settlement or any 9094
lawful extension of such date, shall be allowed as compensation 9095
for the county auditor's services the following percentages:9096

       (1) On the first one hundred thousand dollars, two and9097
one-half per cent;9098

       (2) On the next two million dollars, eight thousand three9099
hundred eighteen ten-thousandths of one per cent;9100

       (3) On the next two million dollars, six thousand six hundred 9101
fifty-five ten-thousandths of one per cent;9102

       (4) On all further sums, one thousand six hundred sixty-three 9103
ten-thousandths of one per cent.9104

       If any settlement is not made on or before the date9105
prescribed by law for such settlement or any lawful extension of9106
such date, the aggregate compensation allowed to the auditor shall 9107
be reduced one per cent for each day such settlement is delayed 9108
after the prescribed date. No penalty shall apply if the auditor 9109
and treasurer grant all requests for advances up to ninety per 9110
cent of the settlement pursuant to section 321.34 of the Revised 9111
Code. The compensation allowed in accordance with this section on 9112
settlements made before the dates prescribed by law, or the 9113
reduced compensation allowed in accordance with this section on 9114
settlements made after the date prescribed by law or any lawful 9115
extension of such date, shall be apportioned ratably by the 9116
auditor and deducted from the shares or portions of the revenue 9117
payable to the state as well as to the county, townships,9118
municipal corporations, and school districts.9119

       (B) For the purpose of compensating county auditors for the 9120
expenses associated with the increased number of applications for 9121
reductions in real property taxes under sections 323.152 and 9122
4503.065 of the Revised Code that results from the amendment of 9123
those sections by H.B. 119 of the 127th general assembly, there 9124
shall be paid from the general revenue fund to each county auditor 9125
each year an amount equal to one per cent of the total annual 9126
amount of property tax relief reimbursement paid to that county 9127
under sections 323.156 and 4503.068 of the Revised Code.9128

        (C) From all moneys collected by the county treasurer on any 9129
tax duplicate of the county, other than estate tax duplicates, and 9130
on all moneys received as advance payments of personal property 9131
and classified property taxes, there shall be paid into the county 9132
treasury to the credit of the real estate assessment fund created 9133
by section 325.31 of the Revised Code, an amount to be determined 9134
by the county auditor, which shall not exceed the following 9135
percentages:9136

       (1) On the first one hundred thousand dollars, three and9137
one-half per cent;9138

       (2) On the next three million dollars, one and three-eighths 9139
per cent;9140

       (3) On the next three million dollars, one per cent;9141

       (4) On all further sums not exceeding one hundred fifty9142
million dollars, three-quarters of one per cent;9143

       (5) On amounts exceeding one hundred fifty million dollars, 9144
six-tenths of one per cent.9145

       Such compensation shall be apportioned ratably by the auditor 9146
and deducted from the shares or portions of the revenue payable to 9147
the state as well as to the county, townships, municipal 9148
corporations, and school districts.9149

       (C)(D) Each county auditor shall receive four per cent of the9150
amount of tax collected and paid into the county treasury, on9151
property omitted and placed by the county auditor on the tax9152
duplicate.9153

       (D)(E) On all estate tax moneys collected by the county9154
treasurer, the county auditor, on settlement semiannually with the 9155
tax commissioner, shall be allowed, as compensation for the9156
auditor's services under Chapter 5731. of the Revised Code, the 9157
following percentages:9158

       (1) Four per cent on the first one hundred thousand dollars;9159

       (2) One-half of one per cent on all additional sums.9160

       Such percentages shall be computed upon the amount collected 9161
and reported at each semiannual settlement, and shall be for the 9162
use of the general fund of the county.9163

       (E)(F) On all cigarette license moneys collected by the9164
county treasurer, the county auditor, on settlement semiannually9165
with the treasurer, shall be allowed as compensation for the9166
auditor's services in the issuing of such licenses one-half of one 9167
per cent of such moneys, to be apportioned ratably and deducted 9168
from the shares of the revenue payable to the county and 9169
subdivisions, for the use of the general fund of the county.9170

       (F)(G) The county auditor shall charge and receive fees as9171
follows:9172

       (1) For deeds of land sold for taxes to be paid by the9173
purchaser, five dollars;9174

       (2) For the transfer or entry of land, lot, or part of lot, 9175
or the transfer or entry on or after January 1, 2000, of a used 9176
manufactured home or mobile home as defined in section 5739.0210 9177
of the Revised Code, fifty cents for each transfer or entry, to be 9178
paid by the person requiring it;9179

       (3) For receiving statements of value and administering9180
section 319.202 of the Revised Code, one dollar, or ten cents for 9181
each one hundred dollars or fraction of one hundred dollars, 9182
whichever is greater, of the value of the real property 9183
transferred or, for sales occurring on or after January 1, 2000, 9184
the value of the used manufactured home or used mobile home, as 9185
defined in section 5739.0210 of the Revised Code, transferred, 9186
except no fee shall be charged when the transfer is made:9187

       (a) To or from the United States, this state, or any9188
instrumentality, agency, or political subdivision of the United9189
States or this state;9190

       (b) Solely in order to provide or release security for a debt 9191
or obligation;9192

       (c) To confirm or correct a deed previously executed and9193
recorded;9194

       (d) To evidence a gift, in trust or otherwise and whether9195
revocable or irrevocable, between husband and wife, or parent and9196
child or the spouse of either;9197

       (e) On sale for delinquent taxes or assessments;9198

       (f) Pursuant to court order, to the extent that such transfer 9199
is not the result of a sale effected or completed pursuant to such 9200
order;9201

       (g) Pursuant to a reorganization of corporations or9202
unincorporated associations or pursuant to the dissolution of a9203
corporation, to the extent that the corporation conveys the9204
property to a stockholder as a distribution in kind of the9205
corporation's assets in exchange for the stockholder's shares in9206
the dissolved corporation;9207

       (h) By a subsidiary corporation to its parent corporation for 9208
no consideration, nominal consideration, or in sole consideration 9209
of the cancellation or surrender of the subsidiary's stock;9210

       (i) By lease, whether or not it extends to mineral or mineral 9211
rights, unless the lease is for a term of years renewable forever;9212

       (j) When the value of the real property or the manufactured 9213
or mobile home or the value of the interest that is conveyed does 9214
not exceed one hundred dollars;9215

       (k) Of an occupied residential property, including a 9216
manufactured or mobile home, being transferred to the builder of a 9217
new residence or to the dealer of a new manufactured or mobile 9218
home when the former residence is traded as part of the 9219
consideration for the new residence or new manufactured or mobile 9220
home;9221

       (l) To a grantee other than a dealer in real property or in 9222
manufactured or mobile homes, solely for the purpose of, and as a 9223
step in, the prompt sale of the real property or manufactured or 9224
mobile home to others;9225

       (m) To or from a person when no money or other valuable and 9226
tangible consideration readily convertible into money is paid or 9227
to be paid for the real estate or manufactured or mobile home and9228
the transaction is not a gift;9229

       (n) Pursuant to division (B) of section 317.22 of the Revised9230
Code, or section 2113.61 of the Revised Code, between spouses or 9231
to a surviving spouse pursuant to section 5302.17 of the Revised 9232
Code as it existed prior to April 4, 1985, between persons 9233
pursuant to section 5302.17 or 5302.18 of the Revised Code on or 9234
after April 4, 1985, to a person who is a surviving, survivorship 9235
tenant pursuant to section 5302.17 of the Revised Code on or after 9236
April 4, 1985, or pursuant to section 5309.45 of the Revised Code;9237

       (o) To a trustee acting on behalf of minor children of the9238
deceased;9239

       (p) Of an easement or right-of-way when the value of the9240
interest conveyed does not exceed one thousand dollars;9241

       (q) Of property sold to a surviving spouse pursuant to9242
section 2106.16 of the Revised Code;9243

       (r) To or from an organization exempt from federal income9244
taxation under section 501(c)(3) of the "Internal Revenue Code of9245
1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended, provided such9246
transfer is without consideration and is in furtherance of the9247
charitable or public purposes of such organization;9248

       (s) Among the heirs at law or devisees, including a surviving 9249
spouse, of a common decedent, when no consideration in money is 9250
paid or to be paid for the real property or manufactured or mobile9251
home;9252

       (t) To a trustee of a trust, when the grantor of the trust9253
has reserved an unlimited power to revoke the trust;9254

       (u) To the grantor of a trust by a trustee of the trust, when 9255
the transfer is made to the grantor pursuant to the exercise of 9256
the grantor's power to revoke the trust or to withdraw trust 9257
assets;9258

       (v) To the beneficiaries of a trust if the fee was paid on9259
the transfer from the grantor of the trust to the trustee or if 9260
the transfer is made pursuant to trust provisions which became 9261
irrevocable at the death of the grantor;9262

       (w) To a corporation for incorporation into a sports facility 9263
constructed pursuant to section 307.696 of the Revised Code;9264

       (x) Between persons pursuant to section 5302.18 of the 9265
Revised Code.9266

       The auditor shall compute and collect the fee. The auditor9267
shall maintain a numbered receipt system, as prescribed by the tax 9268
commissioner, and use such receipt system to provide a receipt to 9269
each person paying a fee. The auditor shall deposit the receipts 9270
of the fees on conveyances in the county treasury daily to the 9271
credit of the general fund of the county.9272

       The real property transfer fee provided for in division 9273
(F)(G)(3) of this section shall be applicable to any conveyance of 9274
real property presented to the auditor on or after January 1, 9275
1968, regardless of its time of execution or delivery.9276

       The transfer fee for a used manufactured home or used mobile 9277
home shall be computed by and paid to the county auditor of the 9278
county in which the home is located immediately prior to the 9279
transfer.9280

       Sec. 321.08.  The county treasurer shall enter on histhe9281
treasurer's account each day the money received for advance 9282
payments of taxes and taxes charged on the general and special 9283
duplicates of the current year in the following manner:9284

       (A) Collections of estate tax to be credited to the 9285
"undivided estate tax fund;"9286

       (B) Collections of classified property taxes, including 9287
interest and penalties thereon, shall be credited to the county 9288
library and local government supportlibraries fund and 9289
distributed in accordance with section 5747.48 of the Revised 9290
Code;9291

       (C) Collections of other taxes and assessments of whatever 9292
kind to be credited to the undivided general tax fund.9293

       Sec. 322.01.  As used in sections 322.01 to 322.07 of the 9294
Revised Code:9295

       (A) "Value" means, in the case of any deed not a gift in9296
whole or part, the amount of the full consideration therefor, paid 9297
or to be paid for the real estate described in the deed, including 9298
the amount of any liens thereon, with the following exceptions:9299

       (1) The amount owed on a debt secured by a mortgage which has 9300
been of record at least twelve months prior to the date of the 9301
conveyance and which is assumed by the purchaser;9302

       (2) The difference between the full amount of consideration 9303
and the unpaid balance owed to the seller at the time of the 9304
conveyance of property to a third party under a land installment 9305
contract that has been of record at least twelve months prior to 9306
the date of conveyance.9307

       (B) "Value" means, in the case of a manufactured or mobile 9308
home that is not a gift in whole or in part, the amount of the 9309
full consideration paid or to be paid for the home, including the 9310
amounts of any liens thereon.9311

       (C) "Value" means, in the case of a gift in whole or part,9312
the estimated price the real estate described in the deed, or the 9313
manufactured or mobile home, would bring in the open market and 9314
under the then existing and prevailing market conditions in a sale 9315
between a willing seller and a willing buyer, both conversant with 9316
the property and with prevailing general price levels.9317

       (D) "Deed" means any deed, instrument, or writing by which9318
any real property or any interest in real property is granted,9319
assigned, transferred, or otherwise conveyed except that it does9320
not include any deed, instrument, or writing which grants,9321
assigns, transfers, or otherwise conveys any real property or9322
interests in real property exempted from the fee required by9323
division (F)(G)(3) of section 319.54 of the Revised Code.9324

       (E) "Manufactured home" has the same meaning as in division 9325
(C)(4) of section 3781.06 of the Revised Code.9326

       (F) "Mobile home" has the same meaning as in division (O) of 9327
section 4501.01 of the Revised Code.9328

       Sec. 323.151.  As used in sections 323.151 to 323.159 of the9329
Revised Code:9330

       (A) "Homestead" means either of the following:9331

       (1) A dwelling, including a unit in a multiple-unit dwelling9332
and a manufactured home or mobile home taxed as real property9333
pursuant to division (B) of section 4503.06 of the Revised Code,9334
owned and occupied as a home by an individual whose domicile is in9335
this state and who has not acquired ownership from a person, other9336
than the individual's spouse, related by consanguinity or affinity9337
for the purpose of qualifying for the real property tax reduction9338
provided in section 323.152 of the Revised Code.9339

       (2) A unit in a housing cooperative that is occupied as a9340
home, but not owned, by an individual whose domicile is in this9341
state.9342

       The homestead shall include so much of the land surrounding9343
it, not exceeding one acre, as is reasonably necessary for the use9344
of the dwelling or unit as a home. An owner includes a holder of9345
one of the several estates in fee, a vendee in possession under a9346
purchase agreement or a land contract, a mortgagor, a life tenant,9347
one or more tenants with a right of survivorship, tenants in9348
common, and a settlor of a revocable inter vivos trust holding the9349
title to a homestead occupied by the settlor as of right under the9350
trust. The tax commissioner shall adopt rules for the uniform9351
classification and valuation of real property or portions of real9352
property as homesteads.9353

       (B) "Sixty-five years of age or older" means a person who has 9354
attained age sixty-four prior to the first day of January of the 9355
year of application for reduction in real estate taxes.9356

       (C) "Total income" means the adjusted gross income of the9357
owner and the owner's spouse for the year preceding the year in9358
which application for a reduction in taxes is made, as determined9359
under the "Internal Revenue Code of 1986," 100 Stat. 2085, 269360
U.S.C.A. 1, as amended, adjusted as follows:9361

       (1) Subtract the amount of disability benefits included in9362
adjusted gross income, but not to exceed fifty-two hundred9363
dollars;9364

       (2) Add old age and survivors benefits received pursuant to9365
the "Social Security Act" that are not included in adjusted gross9366
income;9367

       (3) Add retirement, pension, annuity, or other retirement9368
payments or benefits not included in adjusted gross income;9369

       (4) Add tier I and tier II railroad retirement benefits9370
received pursuant to the "Railroad Retirement Act," 50 Stat. 307,9371
45 U.S.C.A. 228;9372

       (5) Add interest on federal, state, and local government9373
obligations;9374

       (6) For a person who received the homestead exemption for a9375
prior year on the basis of being permanently and totally disabled9376
and whose current application for the exemption is made on the9377
basis of age, subtract the following amount:9378

       (a) If the person received disability benefits that were not9379
included in adjusted gross income in the year preceding the first9380
year in which the person applied for the exemption on the basis of9381
age, subtract an amount equal to the disability benefits the9382
person received in that preceding year, to the extent included in9383
total income in the current year and not subtracted under division9384
(C)(1) of this section in the current year;9385

       (b) If the person received disability benefits that were9386
included in adjusted gross income in the year preceding the first9387
year in which the person applied for the exemption on the basis of9388
age, subtract an amount equal to the amount of disability benefits9389
that were subtracted pursuant to division (C)(1) of this section9390
in that preceding year, to the extent included in total income in9391
the current year and not subtracted under division (C)(1) of this9392
section in the current year.9393

       Disability benefits that are paid by the department of9394
veterans affairs or a branch of the armed forces of the United9395
States on account of an injury or disability shall not be included9396
in total income.9397

       (D) "Old age and survivors benefits received pursuant to the9398
'Social Security Act'" or "tier I railroad retirement benefits9399
received pursuant to the 'Railroad Retirement Act'" means:9400

       (1) For those persons receiving the homestead exemption for9401
the first time for tax years 1976 and earlier, old age benefits9402
payable under the social security or railroad retirement laws in9403
effect on December 31, 1975, except in those cases where a change9404
in social security or railroad retirement benefits would result in9405
a reduction in income.9406

       (2) For those persons receiving the homestead exemption for9407
the first time for tax years 1977 and thereafter, old age benefits9408
payable under the social security or railroad retirement laws in9409
effect on the last day of the calendar year prior to the year for9410
which the homestead exemption is first received, or, if no such9411
benefits are payable that year, old age benefits payable the first9412
succeeding year in which old age benefits under the social9413
security or railroad retirement laws are payable, except in those9414
cases where a change in social security or railroad retirement9415
benefits results in a reduction in income.9416

       (3) The lesser of:9417

       (a) Survivors benefits payable under the social security or9418
railroad retirement laws in effect on the last day of the calendar9419
year prior to the year for which the homestead exemption is first9420
received, or, if no such benefits are payable that year, survivors9421
benefits payable the first succeeding year in which survivors9422
benefits are payable; or9423

       (b) Old age benefits of the deceased spouse, as determined9424
under division (D)(1) or (2) of this section, upon which the9425
surviving spouse's survivors benefits are based under the social9426
security or railroad retirement laws, except in those cases where9427
a change in benefits would cause a reduction in income.9428

       Survivors benefits are those described in division (D)(3)(b)9429
of this section only if the deceased spouse received old age9430
benefits in the year in which the deceased spouse died. If the9431
deceased spouse did not receive old age benefits in the year in9432
which the deceased spouse died, then survivors benefits are those9433
described in division (D)(3)(a) of this section.9434

       (E) "Permanently and totally disabled" means a person who9435
has, on the first day of January of the year of application for9436
reduction in real estate taxes, some impairment in body or mind9437
that makes the person unable to work at any substantially9438
remunerative employment that the person is reasonably able to9439
perform and that will, with reasonable probability, continue for9440
an indefinite period of at least twelve months without any present9441
indication of recovery therefrom or has been certified as9442
permanently and totally disabled by a state or federal agency9443
having the function of so classifying persons.9444

       (F)(D) "Housing cooperative" means a housing complex of at9445
least two hundred fifty units that is owned and operated by a9446
nonprofit corporation that issues a share of the corporation's9447
stock to an individual, entitling the individual to live in a unit9448
of the complex, and collects a monthly maintenance fee from the9449
individual to maintain, operate, and pay the taxes of the complex.9450

       Sec. 323.152.  In addition to the reduction in taxes required9451
under section 319.302 of the Revised Code, taxes shall be reduced9452
as provided in divisions (A) and (B) of this section.9453

       (A)(1) Division (A) of this section applies to any of the9454
following:9455

       (a) A person who is permanently and totally disabled;9456

       (b) A person who is sixty-five years of age or older;9457

       (c) A person who is the surviving spouse of a deceased person 9458
who was permanently and totally disabled or sixty-five years of 9459
age or older and who applied and qualified for a reduction in 9460
taxes under this division in the year of death, provided the9461
surviving spouse is at least fifty-nine but not sixty-five or more 9462
years of age on the date the deceased spouse dies.9463

       (2) Real property taxes on a homestead owned and occupied, or 9464
a homestead in a housing cooperative occupied, by a person to whom 9465
division (A) of this section applies shall be reduced for each 9466
year for which the owner obtains a certificate of reduction from 9467
the county auditor under section 323.154 of the Revised Code or 9468
for which the occupant obtains a certificate of reduction in9469
accordance with section 323.159 of the Revised Code. The reduction9470
shall equal the amount obtained by multiplying the tax rate for 9471
the tax year for which the certificate is issued by the reduction 9472
in taxable value shown in the following schedule:9473

Reduce Taxable Value 9474
Total Income by the Lesser of: 9475

$11,900 or less $5,000 or seventy-five per cent 9476
More than $11,900 but not more than $17,500 $3,000 or sixty per cent 9477
More than $17,500 but not more than $23,000 $1,000 or twenty-five per cent 9478
More than $23,000 -0- 9479

       (3) Each calendar year, the tax commissioner shall adjust the 9480
foregoing schedule by completing the following calculations in 9481
September of each year:9482

       (a) Determine the percentage increase in the gross domestic9483
product deflator determined by the bureau of economic analysis of9484
the United States department of commerce from the first day of 9485
January of the preceding calendar year to the last day of December 9486
of the preceding calendar year;9487

       (b) Multiply that percentage increase by each of the total9488
income amounts, and by each dollar amount by which taxable value9489
is reduced, for the current tax year;9490

       (c) Add the resulting product to each of the total income9491
amounts, and to each of the dollar amounts by which taxable value9492
is reduced, for the current tax year;9493

       (d)(i) Except as provided in division (A)(3)(d)(ii) of this 9494
section, round the resulting sum to the nearest multiple of one9495
hundred dollars;9496

       (ii) If rounding the resulting sum to the nearest multiple of 9497
one hundred dollars under division (A)(3)(d)(i) of this section 9498
does not increase the dollar amounts by which taxable value is 9499
reduced, the resulting sum instead shall be rounded to the nearest 9500
multiple of ten dollars.9501

       The commissioner shall certify the amounts resulting from the9502
adjustment to each county auditor not later than the first day of9503
December each year. The certified amounts apply to the following9504
tax year. The commissioner shall not make the adjustment in any9505
calendar year in which the amounts resulting from the adjustment9506
would be less than the total income amounts, or less than the9507
dollar amounts by which taxable value is reduced, for the current9508
tax yeargreater of the reduction granted for tax year 2006, if 9509
the taxpayer received a reduction for tax year 2006, or the 9510
product of the following:9511

       (a) Twenty-five thousand dollars of the true value of the 9512
property in money;9513

       (b) The assessment percentage established by the tax 9514
commissioner under division (B) of section 5715.01 of the Revised 9515
Code, not to exceed thirty-five per cent;9516

       (c) The effective tax rate on residential/agricultural real 9517
property, where "effective tax rate" is defined as in division 9518
(B)(3) of section 319.301 of the Revised Code, and where 9519
"residential/agricultural real property" is defined as in section 9520
5713.041 of the Revised Code.9521

       (B) To provide a partial exemption, real property taxes on 9522
any homestead, and manufactured home taxes on any manufactured or 9523
mobile home on which a manufactured home tax is assessed pursuant 9524
to division (D)(2) of section 4503.06 of the Revised Code, shall 9525
be reduced for each year for which the owner obtains a certificate 9526
of reduction from the county auditor under section 323.154 of the9527
Revised Code. The amount of the reduction shall equal two and 9528
one-half per cent of the amount of taxes to be levied on the9529
homestead or the manufactured or mobile home after applying9530
section 319.301 of the Revised Code.9531

       (C) The reductions granted by this section do not apply to9532
special assessments or respread of assessments levied against the9533
homestead, and if there is a transfer of ownership subsequent to9534
the filing of an application for a reduction in taxes, such9535
reductions are not forfeited for such year by virtue of such9536
transfer.9537

       (D) The reductions in taxable value referred to in this9538
section shall be applied solely as a factor for the purpose of9539
computing the reduction of taxes under this section and shall not9540
affect the total value of property in any subdivision or taxing9541
district as listed and assessed for taxation on the tax lists and9542
duplicates, or any direct or indirect limitations on indebtedness9543
of a subdivision or taxing district. If after application of9544
sections 5705.31 and 5705.32 of the Revised Code, including the9545
allocation of all levies within the ten-mill limitation to debt9546
charges to the extent therein provided, there would be9547
insufficient funds for payment of debt charges not provided for by9548
levies in excess of the ten-mill limitation, the reduction of9549
taxes provided for in sections 323.151 to 323.159 of the Revised9550
Code shall be proportionately adjusted to the extent necessary to9551
provide such funds from levies within the ten-mill limitation.9552

       (E) No reduction shall be made on the taxes due on the9553
homestead of any person convicted of violating division (C) or (D)9554
of section 323.153 of the Revised Code for a period of three years9555
following the conviction.9556

       Sec. 323.153.  (A) To obtain a reduction in real property9557
taxes under division (A) or (B) of section 323.152 of the Revised9558
Code or in manufactured home taxes under division (B) of section9559
323.152 of the Revised Code, the owner shall file an application9560
with the county auditor of the county in which the owner's9561
homestead is located.9562

       To obtain a reduction in real property taxes under division9563
(A) of section 323.152 of the Revised Code, the occupant of a9564
homestead in a housing cooperative shall file an application with9565
the nonprofit corporation that owns and operates the housing9566
cooperative, in accordance with this paragraph. Not later than the 9567
first day of March each year, the corporation shall obtain9568
applications from the county auditor's office and provide one to9569
each new occupant. Not later than the first day of May, any9570
occupant who may be eligible for a reduction in taxes under9571
division (A) of section 323.152 of the Revised Code shall submit9572
the completed application to the corporation. Not later than the9573
fifteenth day of May, the corporation shall file all completed9574
applications, and the information required by division (B) of9575
section 323.159 of the Revised Code, with the county auditor of9576
the county in which the occupants' homesteads are located. 9577
Continuing applications shall be furnished to an occupant in the9578
manner provided in division (C)(4) of this section.9579

       (1) An application for reduction based upon a physical9580
disability shall be accompanied by a certificate signed by a9581
physician, and an application for reduction based upon a mental9582
disability shall be accompanied by a certificate signed by a9583
physician or psychologist licensed to practice in this state,9584
attesting to the fact that the applicant is permanently and9585
totally disabled. The certificate shall be in a form that the tax9586
commissioner requires and shall include the definition of9587
permanently and totally disabled as set forth in section 323.1519588
of the Revised Code. An application for reduction based upon a9589
disability certified as permanent and total by a state or federal9590
agency having the function of so classifying persons shall be9591
accompanied by a certificate from that agency. Such an9592

       An application for a reduction under division (A) of section 9593
323.152 of the Revised Code constitutes a continuing application 9594
for a reduction in taxes for each year in which the dwelling is 9595
the applicant's homestead and the amount of the reduction in 9596
taxable value to which the applicant is entitled does not exceed 9597
either the amount or percentage of the reduction to which the 9598
applicant was entitled for the year in which the application was 9599
first filed.9600

       (2) An application for a reduction in taxes under division9601
(B) of section 323.152 of the Revised Code shall be filed only if9602
the homestead or manufactured or mobile home was transferred in9603
the preceding year or did not qualify for and receive the9604
reduction in taxes under that division for the preceding tax year. 9605
The application for homesteads transferred in the preceding year9606
shall be incorporated into any form used by the county auditor to9607
administer the tax law in respect to the conveyance of real9608
property pursuant to section 319.20 of the Revised Code or of used9609
manufactured homes or used mobile homes as defined in section9610
5739.0210 of the Revised Code. The owner of a manufactured or9611
mobile home who has elected under division (D)(4) of section9612
4503.06 of the Revised Code to be taxed under division (D)(2) of9613
that section for the ensuing year may file the application at the9614
time of making that election. The application shall contain a9615
statement that failure by the applicant to affirm on the9616
application that the dwelling on the property conveyed is the9617
applicant's homestead prohibits the owner from receiving the9618
reduction in taxes until a proper application is filed within the9619
period prescribed by division (A)(3) of this section. Such an9620
application constitutes a continuing application for a reduction9621
in taxes for each year in which the dwelling is the applicant's9622
homestead.9623

       (3) Failure to receive a new application filed under division 9624
(A)(1) or (2) or notification under division (C) of this section 9625
after a certificate of reduction has been issued under section 9626
323.154 of the Revised Code, or failure to receive a new9627
application filed under division (A)(1) or notification under9628
division (C) of this section after a certificate of reduction has9629
been issued under section 323.159 of the Revised Code, is9630
prima-facie evidence that the original applicant is entitled to9631
the reduction in taxes calculated on the basis of the information9632
contained in the original application. The original application9633
and any subsequent application, including any late application,9634
shall be in the form of a signed statement and shall be filed9635
after the first Monday in January and not later than the first9636
Monday in June. The original application and any subsequent9637
application for a reduction in real property taxes shall be filed9638
in the year for which the reduction is sought. The original9639
application and any subsequent application for a reduction in9640
manufactured home taxes shall be filed in the year preceding the9641
year for which the reduction is sought. The statement shall be on9642
a form, devised and supplied by the tax commissioner, which shall9643
require no more information than is necessary to establish the9644
applicant's eligibility for the reduction in taxes and the amount9645
of the reduction, and, for a certificate of reduction issued under9646
section 323.154 of the Revised Code, shall include an affirmation9647
by the applicant that ownership of the homestead was not acquired9648
from a person, other than the applicant's spouse, related to the9649
owner by consanguinity or affinity for the purpose of qualifying9650
for the real property or manufactured home tax reduction provided9651
for in division (A) or (B) of section 323.152 of the Revised Code. 9652
The form shall contain a statement that conviction of willfully9653
falsifying information to obtain a reduction in taxes or failing9654
to comply with division (C) of this section results in the9655
revocation of the right to the reduction for a period of three9656
years. In the case of an application for a reduction in taxes9657
under division (A) of section 323.152 of the Revised Code, the9658
form shall contain a statement that signing the application9659
constitutes a delegation of authority by the applicant to the9660
county auditor to examine any financial records relating to income9661
earned by the applicant as stated on the application for the9662
purpose of determining a possible violation of division (D) or (E)9663
of this section.9664

       (B) A late application for a tax reduction for the year9665
preceding the year in which an original application is filed, or9666
for a reduction in manufactured home taxes for the year in which9667
an original application is filed, may be filed with the original9668
application. If the county auditor determines the information9669
contained in the late application is correct, the auditor shall9670
determine the amount of the reduction in taxes to which the9671
applicant would have been entitled for the preceding tax year had9672
the applicant's application been timely filed and approved in that9673
year.9674

       The amount of such reduction shall be treated by the auditor9675
as an overpayment of taxes by the applicant and shall be refunded9676
in the manner prescribed in section 5715.22 of the Revised Code9677
for making refunds of overpayments. On the first day of July of9678
each year, the county auditor shall certify the total amount of9679
the reductions in taxes made in the current year under this9680
division to the tax commissioner, who shall treat the full amount9681
thereof as a reduction in taxes for the preceding tax year and9682
shall make reimbursement to the county therefor in the manner9683
prescribed by section 323.156 of the Revised Code, from money9684
appropriated for that purpose.9685

       (C)(1) If, in any year after an application has been filed9686
under division (A)(1) or (2) of this section, the owner does not9687
qualify for a reduction in taxes on the homestead or on the9688
manufactured or mobile home set forth on such application, or9689
qualifies for a reduction in taxes that is to be based upon a9690
reduction in taxable value less than either the percentage or9691
amount of the reduction in taxable value to which the owner was9692
entitled in the year the application was filed, the owner shall9693
notify the county auditor that the owner is not qualified for a9694
reduction in taxes or file a new application under division (A)(1)9695
or (2) of this section.9696

       (2) If, in any year after an application has been filed under9697
division (A)(1) of this section, the occupant of a homestead in a9698
housing cooperative does not qualify for a reduction in taxes on 9699
the homestead, the occupant shall notify the county auditor that 9700
the occupant is not qualified for a reduction in taxes or file a 9701
new application under division (A)(1) of this section.9702

       (3) If the county auditor or county treasurer discovers that9703
the owner of property not entitled to the reduction in taxes under9704
division (B) of section 323.152 of the Revised Code failed to9705
notify the county auditor as required by division (C)(1) of this9706
section, a charge shall be imposed against the property in the9707
amount by which taxes were reduced under that division for each9708
tax year the county auditor ascertains that the property was not9709
entitled to the reduction and was owned by the current owner.9710
Interest shall accrue in the manner prescribed by division (B) of9711
section 323.121 or division (G)(2) of section 4503.06 of the9712
Revised Code on the amount by which taxes were reduced for each9713
such tax year as if the reduction became delinquent taxes at the9714
close of the last day the second installment of taxes for that tax9715
year could be paid without penalty. The county auditor shall9716
notify the owner, by ordinary mail, of the charge, of the owner's9717
right to appeal the charge, and of the manner in which the owner9718
may appeal. The owner may appeal the imposition of the charge and9719
interest by filing an appeal with the county board of revision not9720
later than the last day prescribed for payment of real and public9721
utility property taxes under section 323.12 of the Revised Code9722
following receipt of the notice and occurring at least ninety days9723
after receipt of the notice. The appeal shall be treated in the9724
same manner as a complaint relating to the valuation or assessment9725
of real property under Chapter 5715. of the Revised Code. The9726
charge and any interest shall be collected as other delinquent9727
taxes.9728

       (4) Each year during January, the county auditor shall9729
furnish by ordinary mail a continuing application to each person9730
issued a certificate of reduction under section 323.154 or 323.1599731
of the Revised Code with respect to a reduction in taxes under9732
division (A) of section 323.152 of the Revised Code. The9733
continuing application shall be used to report changes in total9734
income that would have the effect of increasing or decreasing the9735
reduction in taxable value to which the person is entitled,9736
changes in ownership or occupancy of the homestead, including9737
changes in or revocation of a revocable inter vivos trust, changes9738
in disability, and other changes in the information earlier9739
furnished the auditor relative to the reduction in taxes on the9740
property. The continuing application shall be returned to the9741
auditor not later than the first Monday in June; provided, that if9742
such changes do not affect the status of the homestead exemption9743
or the amount of the reduction to which the owner is entitled9744
under division (A) of section 323.152 of the Revised Code or to9745
which the occupant is entitled under section 323.159 of the9746
Revised Code, the application does not need to be returned.9747

       (5) Each year during February, the county auditor, except as9748
otherwise provided in this paragraph, shall furnish by ordinary9749
mail an original application to the owner, as of the first day of9750
January of that year, of a homestead or a manufactured or mobile9751
home that transferred during the preceding calendar year and that9752
qualified for and received a reduction in taxes under division (B)9753
of section 323.152 of the Revised Code for the preceding tax year. 9754
In order to receive the reduction under that division, the owner9755
shall file the application with the county auditor not later than9756
the first Monday in June. If the application is not timely filed,9757
the auditor shall not grant a reduction in taxes for the homestead9758
for the current year, and shall notify the owner that the9759
reduction in taxes has not been granted, in the same manner9760
prescribed under section 323.154 of the Revised Code for9761
notification of denial of an application. Failure of an owner to9762
receive an application does not excuse the failure of the owner to9763
file an original application. The county auditor is not required9764
to furnish an application under this paragraph for any homestead9765
for which application has previously been made on a form9766
incorporated into any form used by the county auditor to9767
administer the tax law in respect to the conveyance of real9768
property or of used manufactured homes or used mobile homes, and9769
an owner who previously has applied on such a form is not required9770
to return an application furnished under this paragraph.9771

       (D) No person shall knowingly make a false statement for the9772
purpose of obtaining a reduction in the person's real property or9773
manufactured home taxes under section 323.152 of the Revised Code.9774

       (E) No person shall knowingly fail to notify the county9775
auditor of changes required by division (C) of this section that9776
have the effect of maintaining or securing a reduction in taxable9777
value of homestead property or a reduction in taxes in excess of9778
the reduction allowed under section 323.152 of the Revised Code.9779

       (F) No person shall knowingly make a false statement or9780
certification attesting to any person's physical or mental9781
condition for purposes of qualifying such person for tax relief9782
pursuant to sections 323.151 to 323.159 of the Revised Code.9783

       Sec. 323.154.  On or before the day the county auditor has9784
completed the duties imposed by sections 319.30 to 319.302 of the9785
Revised Code, the auditor shall issue a certificate of reduction 9786
in taxes in triplicate for each person who has complied with 9787
section 323.153 of the Revised Code and whose homestead, as9788
defined in division (A)(1) of section 323.151 of the Revised Code, 9789
or manufactured or mobile home the auditor finds is entitled to a 9790
reduction in real property or manufactured home taxes for that 9791
year under section 323.152 of the Revised Code. Except as provided 9792
in section 323.159 of the Revised Code, in the case of a homestead 9793
entitled to a reduction under division (A) of that section, the 9794
certificate shall state the taxable value of the homestead on the 9795
first day of January of that year, the amount of the reduction in 9796
taxable value and the total reduction in taxes for that year under 9797
that section, the tax rate that is applicable against such 9798
homestead for that year, and any other information the tax 9799
commissioner requires. In the case of a homestead or a9800
manufactured or mobile home entitled to a reduction under division 9801
(B) of that section, the certificate shall state the total amount 9802
of the reduction in taxes for that year under that section and any 9803
other information the tax commissioner requires. The certificate 9804
for reduction in taxes shall be on a form approved by the 9805
commissioner. Upon issuance of such a certificate, the county 9806
auditor shall forward one copy and the original to the county 9807
treasurer and retain one copy. The county auditor also shall 9808
record the amount of reduction in taxes in the appropriate column 9809
on the general tax list and duplicate of real and public utility 9810
property and on the manufactured home tax list.9811

       If an application, late application, or continuing9812
application is not approved, or if the county auditor otherwise9813
determines that a homestead or a manufactured or mobile home does 9814
not qualify for a reduction in taxes under division (A) or (B) of 9815
section 323.152 of the Revised Code, the auditor shall notify the 9816
applicant of the reasons for denial not later than the first 9817
Monday in October. If an applicant believes that the application 9818
for reduction has been improperly denied or that the reduction is 9819
for less than that to which the applicant is entitled, the 9820
applicant may file an appeal with the county board of revision not 9821
later than the date of closing of the collection for the first 9822
half of real and public utility property taxes or manufactured 9823
home taxes. The appeal shall be treated in the same manner as a 9824
complaint relating to the valuation or assessment of real property 9825
under Chapter 5715. of the Revised Code.9826

       Sec. 325.31.  (A) On the first business day of each month,9827
and at the end of the officer's term of office, each officer named 9828
in section 325.27 of the Revised Code shall pay into the county9829
treasury, to the credit of the general county fund, on the warrant 9830
of the county auditor, all fees, costs, penalties, percentages, 9831
allowances, and perquisites collected by the officer's office 9832
during the preceding month or part thereof for official services, 9833
except the fees allowed the county auditor by division (B)(C) of9834
section 319.54 of the Revised Code, which shall be paid into the9835
county treasury to the credit of the real estate assessment fund9836
hereby created.9837

       (B) Moneys to the credit of the real estate assessment fund 9838
may be expended, upon appropriation by the board of county9839
commissioners, for the purpose of defraying one or more of the 9840
following:9841

       (1) The cost incurred by the county auditor in assessing real 9842
estate pursuant to Chapter 5713. of the Revised Code and 9843
manufactured and mobile homes pursuant to Chapter 4503. of the 9844
Revised Code;9845

       (2) At the county auditor's discretion, costs and expenses 9846
incurred by the county auditor in preparing the list of real and 9847
public utility property, in administering laws related to the 9848
taxation of real property and the levying of special assessments 9849
on real property, including administering reductions under 9850
Chapters 319. and 323. and section 4503.065 of the Revised Code, 9851
and to support assessments of real property in any administrative 9852
or judicial proceeding;9853

        (3) At the county auditor's discretion, the expenses incurred 9854
by the county board of revision under Chapter 5715. of the Revised 9855
Code;9856

       (4) At the county auditor's discretion, the expenses incurred 9857
by the county auditor for geographic information systems, mapping 9858
programs, and technological advances in those or similar systems 9859
or programs;9860

       (5) At the county auditor's discretion, expenses incurred by 9861
the county auditor in compiling the general tax list of tangible 9862
personal property and administering tangible personal property 9863
taxes under Chapters 5711. and 5719. of the Revised Code;9864

       (6) At the county auditor's discretion, costs, expenses, and 9865
fees incurred by the county auditor in the administration of 9866
estate taxes under Chapter 5731. of the Revised Code and the 9867
amounts incurred under section 5731.41 of the Revised Code.9868

       Any expenditures made from the real estate assessment fund 9869
shall comply with rules that the tax commissioner adopts under 9870
division (O) of section 5703.05 of the Revised Code. Those rules 9871
shall include a requirement that a copy of any appraisal plans, 9872
progress of work reports, contracts, or other documents required 9873
to be filed with the tax commissioner shall be filed also with the 9874
board of county commissioners.9875

       The board of county commissioners shall not transfer moneys9876
required to be deposited in the real estate assessment fund to any 9877
other fund. Following an assessment of real property pursuant to 9878
Chapter 5713. of the Revised Code, or an assessment of a9879
manufactured or mobile home pursuant to Chapter 4503. of the 9880
Revised Code, any moneys not expended for the purpose of defraying 9881
the cost incurred in assessing real estate or manufactured or 9882
mobile homes or for the purpose of defraying the expenses 9883
described in divisions (B)(2), (3), (4), (5), and (6) of this 9884
section, and thereby remaining to the credit of the real estate 9885
assessment fund, shall be apportioned ratably and distributed to 9886
those taxing authorities that contributed to the fund. However, no 9887
such distribution shall be made if the amount of such unexpended 9888
moneys remaining to the credit of the real estate assessment fund 9889
does not exceed five thousand dollars.9890

       (C) None of the officers named in section 325.27 of the9891
Revised Code shall collect any fees from the county. Each of such 9892
officers shall, at the end of each calendar year, make and file a 9893
sworn statement with the board of county commissioners of all such 9894
fees, costs, penalties, percentages, allowances, and perquisites 9895
which have been due in the officer's office and unpaid for more 9896
than one year prior to the date such statement is required to be 9897
made.9898

       Sec. 329.04.  (A) The county department of job and family9899
services shall have, exercise, and perform the following powers9900
and duties:9901

       (1) Perform any duties assigned by the state department of9902
job and family services regarding the provision of public family9903
services, including the provision of the following services to9904
prevent or reduce economic or personal dependency and to9905
strengthen family life:9906

       (a) Services authorized by a Title IV-A program, as defined 9907
in section 5101.80 of the Revised Code;9908

       (b) Social services authorized by Title XX of the "Social9909
Security Act" and provided for by section 5101.46 or 5101.461 of 9910
the Revised Code;9911

       (c) If the county department is designated as the child9912
support enforcement agency, services authorized by Title IV-D of9913
the "Social Security Act" and provided for by Chapter 3125. of9914
the Revised Code. The county department may perform the services9915
itself or contract with other government entities, and, pursuant9916
to division (C) of section 2301.35 and section 2301.42 of the9917
Revised Code, private entities, to perform the Title IV-D9918
services.9919

       (d) Duties assigned under section 5111.98 of the Revised 9920
Code.9921

       (2) Administer disability financial assistance, as required 9922
by the state department of job and family services under section 9923
5115.03 of the Revised Code;9924

       (3) Administer disability medical assistance, as required by 9925
the state department of job and family services under section 9926
5115.13 of the Revised Code;9927

       (4) Administer burials insofar as the administration of9928
burials was, prior to September 12, 1947, imposed upon the board9929
of county commissioners and if otherwise required by state law;9930

       (5) Cooperate with state and federal authorities in any9931
matter relating to family services and to act as the agent of such9932
authorities;9933

       (6) Submit an annual account of its work and expenses to the9934
board of county commissioners and to the state department of job9935
and family services at the close of each fiscal year;9936

       (7) Exercise any powers and duties relating to family9937
services duties or workforce development activities imposed upon 9938
the county department of job and family services by law, by 9939
resolution of the board of county commissioners, or by order of 9940
the governor, when authorized by law, to meet emergencies during 9941
war or peace;9942

       (8) Determine the eligibility for medical assistance of9943
recipients of aid under Title XVI of the "Social Security Act";9944

       (9) If assigned by the state director of job and family9945
services under section 5101.515 or 5101.525 of the Revised Code,9946
determine applicants' eligibility for health assistance under the9947
children's health insurance program part II or part III;9948

       (10) Enter into a plan of cooperation with the board of9949
county commissioners under section 307.983, consult with the board9950
in the development of the transportation work plan developed under9951
section 307.985, establish with the board procedures under section9952
307.986 for providing services to children whose families relocate9953
frequently, and comply with the contracts the board enters into9954
under sections 307.981 and 307.982 of the Revised Code that affect9955
the county department;9956

       (11) For the purpose of complying with a fiscalgrant9957
agreement the board of county commissioners enters into under9958
sectionsections 307.98 and 5101.21 of the Revised Code, exercise 9959
the powers and perform the duties the fiscalgrant agreement 9960
assigns to the county department;9961

       (12) If the county department is designated as the workforce9962
development agency, provide the workforce development activities9963
specified in the contract required by section 330.05 of the9964
Revised Code.9965

       (B) The powers and duties of a county department of job and9966
family services are, and shall be exercised and performed, under9967
the control and direction of the board of county commissioners.9968
The board may assign to the county department any power or duty of9969
the board regarding family services duties and workforce 9970
development activities. If the new power or duty necessitates the 9971
state department of job and family services changing its federal 9972
cost allocation plan, the county department may not implement the 9973
power or duty unless the United States department of health and 9974
human services approves the changes.9975

       Sec. 329.05.  The county department of job and family9976
services may administer or assist in administering any state or9977
local family services duty in addition to those mentioned in9978
section 329.04 of the Revised Code, supported wholly or in part by9979
public funds from any source provided by agreement between the9980
board of county commissioners and the officer, department, board,9981
or agency in which the administration of such activity is vested.9982
Such officer, department, board, or agency may enter into such9983
agreement and confer upon the county department of job and family9984
services, to the extent and in particulars specified in the9985
agreement, the performance of any duties and the exercise of any9986
powers imposed upon or vested in such officer, board, department,9987
or agency, with respect to the administration of such activity.9988
Such agreement shall be in the form of a resolution of the board9989
of county commissioners, accepted in writing by the other party to9990
the agreement, and filed in the office of the county auditor, and9991
when so filed, shall have the effect of transferring the exercise9992
of the powers and duties to which the agreement relates and shall9993
exempt the other party from all further responsibility for the9994
exercise of the powers and duties so transferred, during the life9995
of the agreement.9996

       Such agreement shall be coordinated and not conflict with a 9997
fiscalgrant agreement entered into under sectionsections 307.98 9998
and 5101.21, a contract entered into under section 307.981 or 9999
307.982, a plan of cooperation entered into under section 307.983, 10000
a regional plan of cooperation entered into under section 307.984, 10001
a transportation work plan developed under section 307.985, or 10002
procedures for providing services to children whose families 10003
relocate frequently established under section 307.986 of the 10004
Revised Code. It may be revoked at the option of either party, by 10005
a resolution or order of the revoking party filed in the office of 10006
the auditor. Such revocation shall become effective at the end of 10007
the fiscal year occurring at least six months following the filing 10008
of the resolution or order. In the absence of such an express 10009
revocation so filed, the agreement shall continue indefinitely.10010

       This section does not permit a county department of job and10011
family services to manage or control hospitals, humane societies,10012
detention facilities, jails or probation departments of courts, or 10013
veterans service commissions.10014

       Sec. 329.14.  (A) An individual whose household income does 10015
not exceed onetwo hundred fifty per cent of the federal poverty 10016
line is eligible to participate in an individual development 10017
account program established by the county department of job and 10018
family services of the county in which the individual resides. An 10019
eligible individual seeking to be a participant in the program 10020
shall enter into an agreement with the fiduciary organization 10021
administering the program. The agreement shall specify the terms 10022
and conditions of uses of funds deposited, financial documentation10023
required to be maintained by the participant, expectations and10024
responsibilities of the participant, and services to be provided 10025
by the fiduciary organization.10026

       (B) A participant may deposit earned income, as defined in 26 10027
U.S.C. 911(d)(2), as amended, into the account. The fiduciary10028
organization may deposit into the account an amount not exceeding 10029
twicefour times the amount deposited by the participant except 10030
that a fiduciary organization may not, pursuant to an agreement 10031
with an employer, deposit an amount into an account held by a 10032
participant who is employed by the employer. An account may have 10033
no more than ten thousand dollars in it at any time.10034

       (C) Notwithstanding eligibility requirements established in 10035
or pursuant to Chapter 5107., 5108., or 5111. of the Revised Code, 10036
to the extent permitted by federal statutes and regulations, money 10037
in an individual development account, including interest, is 10038
exempt from consideration in determining whether the participant 10039
or a member of the participant's assistance group is eligible for10040
assistance under Chapter 5107., 5108., or 5111. of the Revised10041
Code and the amount of assistance the participant or assistance 10042
group is eligible to receive.10043

       (D)(1) Except as provided in division (D)(2) of this section, 10044
an individual development account program participant may use 10045
money in the account only for the following purposes:10046

       (a) Postsecondary educational expenses paid directly from the 10047
account to an eligible education institution or vendor;10048

       (b) Qualified acquisition expenses of a principal residence, 10049
as defined in 26 U.S.C. 1034, as amended, paid directly from the10050
account to the person or government entity to which the expenses 10051
are due;10052

       (c) Qualified business capitalization expenses made in10053
accordance with a qualified business plan that has been approved 10054
by a financial institution or by a nonprofit microenterprise 10055
program having demonstrated business expertise and paid directly10056
from the account to the person to whom the expenses are due.10057

       (2) A fiduciary organization shall permit a participant to 10058
withdraw money deposited by the participant if it is needed to 10059
deal with a personal emergency of the participant or a member of 10060
the participant's family or household. Withdrawal shall result in 10061
the loss of any matching funds in an amount equal to the amount of 10062
the withdrawal.10063

       (3) Regardless of the reason for the withdrawal, a withdrawal 10064
from an individual development account may be made only with the 10065
approval of the fiduciary organization.10066

       Sec. 340.03.  (A) Subject to rules issued by the director of10067
mental health after consultation with relevant constituencies as10068
required by division (A)(11) of section 5119.06 of the Revised10069
Code, with regard to mental health services, the board of alcohol,10070
drug addiction, and mental health services shall:10071

       (1) Serve as the community mental health planning agency for10072
the county or counties under its jurisdiction, and in so doing it10073
shall:10074

       (a) Evaluate the need for facilities and community mental10075
health services;10076

       (b) In cooperation with other local and regional planning and 10077
funding bodies and with relevant ethnic organizations, assess the 10078
community mental health needs, set priorities, and develop plans 10079
for the operation of facilities and community mental health10080
services;10081

       (c) In accordance with guidelines issued by the director of10082
mental health after consultation with board representatives,10083
develop and submit to the department of mental health, no later10084
than six months prior to the conclusion of the fiscal year in10085
which the board's current plan is scheduled to expire, a community10086
mental health plan listing community mental health needs,10087
including the needs of all residents of the district now residing10088
in state mental institutions and severely mentally disabled10089
adults, children, and adolescents; all children subject to a10090
determination made pursuant to section 121.38 of the Revised Code;10091
and all the facilities and community mental health services that10092
are or will be in operation or provided during the period for10093
which the plan will be in operation in the service district to10094
meet such needs.10095

       The plan shall include, but not be limited to, a statement of10096
which of the services listed in section 340.09 of the Revised Code10097
the board intends to make available. The board must include crisis 10098
intervention services for individuals in an emergency situation in 10099
the plan and explain how the board intends to make such services 10100
available. The plan must also include an explanation of how the 10101
board intends to make any payments that it may be required to pay 10102
under section 5119.62 of the Revised Code, a statement of the10103
inpatient and community-based services the board proposes that the10104
department operate, an assessment of the number and types of10105
residential facilities needed, such other information as the10106
department requests, and a budget for moneys the board expects to10107
receive. The board shall also submit an allocation request for10108
state and federal funds. Within sixty days after the department's10109
determination that the plan and allocation request are complete,10110
the department shall approve or disapprove the plan and request,10111
in whole or in part, according to the criteria developed pursuant10112
to section 5119.61 of the Revised Code. The department's statement 10113
of approval or disapproval shall specify the inpatient and the 10114
community-based services that the department will operate for the 10115
board. Eligibility10116

       Eligibility for state and federal funding shall be contingent 10117
upon an approved plan or relevant part of a plan. The department 10118
may provide state and federal funding for services included in a 10119
plan only if the services are for individuals whose focus of 10120
treatment or prevention is a mental disorder according to the 10121
edition of the American psychiatric association's diagnostic and 10122
statistical manual of mental disorders that is current at the time 10123
the funding is provided. This shall include such services for 10124
individuals who have a mental disorder and a co-occurring 10125
substance use disorder, substance-induced disorder, chronic 10126
dementing organic mental disorder, mental retardation, or 10127
developmental disability. The department may not provide state or 10128
federal funding under a plan for a service for individuals whose 10129
focus of treatment or prevention is solely a substance use 10130
disorder, substance-induced disorder, chronic dementing organic 10131
mental disorder, mental retardation, or developmental disability.10132

       If the director disapproves all or part of any plan, the10133
director shall inform the board of the reasons for the disapproval10134
and of the criteria that must be met before the plan may be10135
approved. The director shall provide the board an opportunity to10136
present its case on behalf of the plan. The director shall give10137
the board a reasonable time in which to meet the criteria, and10138
shall offer the board technical assistance to help it meet the10139
criteria.10140

       If the approval of a plan remains in dispute thirty days10141
prior to the conclusion of the fiscal year in which the board's10142
current plan is scheduled to expire, the board or the director may10143
request that the dispute be submitted to a mutually agreed upon10144
third-party mediator with the cost to be shared by the board and10145
the department. The mediator shall issue to the board and the10146
department recommendations for resolution of the dispute. Prior to10147
the conclusion of the fiscal year in which the current plan is10148
scheduled to expire, the director, taking into consideration the10149
recommendations of the mediator, shall make a final determination10150
and approve or disapprove the plan, in whole or in part.10151

       If a board determines that it is necessary to amend a plan or10152
an allocation request that has been approved under division10153
(A)(1)(c) of this section, the board shall submit a proposed10154
amendment to the director. The director may approve or disapprove10155
all or part of the amendment. If the director does not approve all 10156
or part of the amendment within thirty days after it is submitted, 10157
the amendment or part of it shall be considered to have been 10158
approved. The director shall inform the board of the reasons for10159
disapproval of all or part of an amendment and of the criteria10160
that must be met before the amendment may be approved. The10161
director shall provide the board an opportunity to present its10162
case on behalf of the amendment. The director shall give the board 10163
a reasonable time in which to meet the criteria, and shall offer 10164
the board technical assistance to help it meet the criteria.10165

       The board shall implement the plan approved by the10166
department.10167

       (d) Receive, compile, and transmit to the department of10168
mental health applications for state reimbursement;10169

       (e) Promote, arrange, and implement working agreements with10170
social agencies, both public and private, and with judicial10171
agencies.10172

       (2) Investigate, or request another agency to investigate,10173
any complaint alleging abuse or neglect of any person receiving10174
services from a community mental health agency as defined in10175
section 5122.01 of the Revised Code, or from a residential10176
facility licensed under section 5119.22 of the Revised Code. If10177
the investigation substantiates the charge of abuse or neglect,10178
the board shall take whatever action it determines is necessary to10179
correct the situation, including notification of the appropriate10180
authorities. Upon request, the board shall provide information10181
about such investigations to the department.10182

       (3) For the purpose of section 5119.611 of the Revised Code,10183
cooperate with the director of mental health in visiting and10184
evaluating whether the services of a community mental health10185
agency satisfy the certification standards established by rules10186
adopted under that section;10187

       (4) In accordance with criteria established under division10188
(G) of section 5119.61 of the Revised Code, review and evaluate10189
the quality, effectiveness, and efficiency of services provided10190
through its community mental health plan and submit its findings10191
and recommendations to the department of mental health;10192

       (5) In accordance with section 5119.22 of the Revised Code,10193
review applications for residential facility licenses and10194
recommend to the department of mental health approval or10195
disapproval of applications;10196

       (6) Audit, in accordance with rules adopted by the auditor of 10197
state pursuant to section 117.20 of the Revised Code, at least10198
annually all programs and services provided under contract with10199
the board. In so doing, the board may contract for or employ the10200
services of private auditors. A copy of the fiscal audit report10201
shall be provided to the director of mental health, the auditor of10202
state, and the county auditor of each county in the board's10203
district.10204

       (7) Recruit and promote local financial support for mental10205
health programs from private and public sources;10206

       (8)(a) Enter into contracts with public and private10207
facilities for the operation of facility services included in the10208
board's community mental health plan and enter into contracts with10209
public and private community mental health agencies for the10210
provision of community mental health services that are listed in 10211
section 340.09 of the Revised Code and included in the board's 10212
community mental health plan. The board may not contract with a 10213
community mental health agency to provide community mental health 10214
services included in the board's community mental health plan 10215
unless the services are certified by the director of mental health 10216
under section 5119.611 of the Revised Code. Section 307.86 of the 10217
Revised Code does not apply to contracts entered into under this 10218
division. In contracting with a community mental health agency, a 10219
board shall consider the cost effectiveness of services provided 10220
by that agency and the quality and continuity of care, and may 10221
review cost elements, including salary costs, of the services to 10222
be provided. A utilization review process shall be established as 10223
part of the contract for services entered into between a board and 10224
a community mental health agency. The board may establish this 10225
process in a way that is most effective and efficient in meeting 10226
local needs. In the case of a contract with a community mental 10227
health facility, as defined in section 5111.023 of the Revised 10228
Code, to provide services listed in division (B) of that section, 10229
the contract shall provide for the facility to be paid in 10230
accordance with the contract entered into between the departments 10231
of job and family services and mental health under section 10232
5111.91 of the Revised Code and any rules adopted under division 10233
(A) of section 5119.61 of the Revised Code.10234

       If either the board or a facility or community mental health10235
agency with which the board contracts under division (A)(8)(a) of 10236
this section proposes not to renew the contract or proposes10237
substantial changes in contract terms, the other party shall be10238
given written notice at least one hundred twenty days before the10239
expiration date of the contract. During the first sixty days of10240
this one hundred twenty-day period, both parties shall attempt to10241
resolve any dispute through good faith collaboration and10242
negotiation in order to continue to provide services to persons in10243
need. If the dispute has not been resolved sixty days before the10244
expiration date of the contract, either party may notify the10245
department of mental health of the unresolved dispute. The10246
director may require both parties to submit the dispute to a third10247
party with the cost to be shared by the board and the facility or10248
community mental health agency. The third party shall issue to the 10249
board, the facility or agency, and the department recommendations 10250
on how the dispute may be resolved twenty days prior to the 10251
expiration date of the contract, unless both parties agree to a 10252
time extension. The director shall adopt rules establishing the 10253
procedures of this dispute resolution process.10254

       (b) With the prior approval of the director of mental health, 10255
a board may operate a facility or provide a community mental 10256
health service as follows, if there is no other qualified private 10257
or public facility or community mental health agency that is10258
immediately available and willing to operate such a facility or10259
provide the service:10260

       (i) In an emergency situation, any board may operate a10261
facility or provide a community mental health service in order to10262
provide essential services for the duration of the emergency;10263

       (ii) In a service district with a population of at least one10264
hundred thousand but less than five hundred thousand, a board may10265
operate a facility or provide a community mental health service10266
for no longer than one year;10267

       (iii) In a service district with a population of less than10268
one hundred thousand, a board may operate a facility or provide a10269
community mental health service for no longer than one year,10270
except that such a board may operate a facility or provide a10271
community mental health service for more than one year with the10272
prior approval of the director and the prior approval of the board10273
of county commissioners, or of a majority of the boards of county10274
commissioners if the district is a joint-county district.10275

       The director shall not give a board approval to operate a10276
facility or provide a community mental health service under10277
division (A)(8)(b)(ii) or (iii) of this section unless the10278
director determines that it is not feasible to have the department10279
operate the facility or provide the service.10280

       The director shall not give a board approval to operate a10281
facility or provide a community mental health service under10282
division (A)(8)(b)(iii) of this section unless the director10283
determines that the board will provide greater administrative10284
efficiency and more or better services than would be available if10285
the board contracted with a private or public facility or10286
community mental health agency.10287

       The director shall not give a board approval to operate a10288
facility previously operated by a person or other government10289
entity unless the board has established to the director's10290
satisfaction that the person or other government entity cannot10291
effectively operate the facility or that the person or other10292
government entity has requested the board to take over operation10293
of the facility. The director shall not give a board approval to10294
provide a community mental health service previously provided by a10295
community mental health agency unless the board has established to10296
the director's satisfaction that the agency cannot effectively10297
provide the service or that the agency has requested the board10298
take over providing the service.10299

       The director shall review and evaluate a board's operation of 10300
a facility and provision of community mental health service under10301
division (A)(8)(b) of this section.10302

       Nothing in division (A)(8)(b) of this section authorizes a10303
board to administer or direct the daily operation of any facility10304
or community mental health agency, but a facility or agency may10305
contract with a board to receive administrative services or staff10306
direction from the board under the direction of the governing body10307
of the facility or agency.10308

       (9) Approve fee schedules and related charges or adopt a unit 10309
cost schedule or other methods of payment for contract services 10310
provided by community mental health agencies in accordance with 10311
guidelines issued by the department as necessary to comply with 10312
state and federal laws pertaining to financial assistance;10313

       (10) Submit to the director and the county commissioners of10314
the county or counties served by the board, and make available to10315
the public, an annual report of the programs under the10316
jurisdiction of the board, including a fiscal accounting;10317

       (11) Establish, to the extent resources are available, a10318
community support system, which provides for treatment, support,10319
and rehabilitation services and opportunities. The essential10320
elements of the system include, but are not limited to, the10321
following components in accordance with section 5119.06 of the10322
Revised Code:10323

       (a) To locate persons in need of mental health services to10324
inform them of available services and benefits mechanisms;10325

       (b) Assistance for clients to obtain services necessary to10326
meet basic human needs for food, clothing, shelter, medical care,10327
personal safety, and income;10328

       (c) Mental health care, including, but not limited to,10329
outpatient, partial hospitalization, and, where appropriate,10330
inpatient care;10331

       (d) Emergency services and crisis intervention;10332

       (e) Assistance for clients to obtain vocational services and10333
opportunities for jobs;10334

       (f) The provision of services designed to develop social,10335
community, and personal living skills;10336

       (g) Access to a wide range of housing and the provision of10337
residential treatment and support;10338

       (h) Support, assistance, consultation, and education for10339
families, friends, consumers of mental health services, and10340
others;10341

       (i) Recognition and encouragement of families, friends,10342
neighborhood networks, especially networks that include racial and10343
ethnic minorities, churches, community organizations, and10344
meaningful employment as natural supports for consumers of mental10345
health services;10346

       (j) Grievance procedures and protection of the rights of10347
consumers of mental health services;10348

       (k) Case management, which includes continual individualized10349
assistance and advocacy to ensure that needed services are offered10350
and procured.10351

       (12) Designate the treatment program, agency, or facility for 10352
each person involuntarily committed to the board pursuant to10353
Chapter 5122. of the Revised Code and authorize payment for such10354
treatment. The board shall provide the least restrictive and most10355
appropriate alternative that is available for any person10356
involuntarily committed to it and shall assure that the services10357
listed in section 340.09 of the Revised Code are available to10358
severely mentally disabled persons residing within its service10359
district. The board shall establish the procedure for authorizing10360
payment for services, which may include prior authorization in10361
appropriate circumstances. The board may provide for services10362
directly to a severely mentally disabled person when life or10363
safety is endangered and when no community mental health agency is10364
available to provide the service.10365

       (13) Establish a method for evaluating referrals for10366
involuntary commitment and affidavits filed pursuant to section10367
5122.11 of the Revised Code in order to assist the probate10368
division of the court of common pleas in determining whether there10369
is probable cause that a respondent is subject to involuntary10370
hospitalization and what alternative treatment is available and10371
appropriate, if any;10372

       (14) Ensure that apartments or rooms built, subsidized,10373
renovated, rented, owned, or leased by the board or a community10374
mental health agency have been approved as meeting minimum fire10375
safety standards and that persons residing in the rooms or10376
apartments are receiving appropriate and necessary services,10377
including culturally relevant services, from a community mental10378
health agency. This division does not apply to residential10379
facilities licensed pursuant to section 5119.22 of the Revised10380
Code.10381

       (15) Establish a mechanism for involvement of consumer10382
recommendation and advice on matters pertaining to mental health10383
services in the alcohol, drug addiction, and mental health service10384
district;10385

       (16) Perform the duties under section 3722.18 of the Revised10386
Code required by rules adopted under section 5119.61 of the10387
Revised Code regarding referrals by the board or mental health10388
agencies under contract with the board of individuals with mental10389
illness or severe mental disability to adult care facilities and10390
effective arrangements for ongoing mental health services for the10391
individuals. The board is accountable in the manner specified in10392
the rules for ensuring that the ongoing mental health services are10393
effectively arranged for the individuals.10394

       (B) The board shall establish such rules, operating10395
procedures, standards, and bylaws, and perform such other duties10396
as may be necessary or proper to carry out the purposes of this10397
chapter.10398

       (C) A board of alcohol, drug addiction, and mental health10399
services may receive by gift, grant, devise, or bequest any10400
moneys, lands, or property for the benefit of the purposes for10401
which the board is established, and may hold and apply it10402
according to the terms of the gift, grant, or bequest. All money10403
received, including accrued interest, by gift, grant, or bequest10404
shall be deposited in the treasury of the county, the treasurer of10405
which is custodian of the alcohol, drug addiction, and mental10406
health services funds to the credit of the board and shall be10407
available for use by the board for purposes stated by the donor or10408
grantor.10409

       (D) No board member or employee of a board of alcohol, drug10410
addiction, and mental health services shall be liable for injury10411
or damages caused by any action or inaction taken within the scope10412
of the board member's official duties or the employee's10413
employment, whether or not such action or inaction is expressly10414
authorized by this section, section 340.033, or any other section10415
of the Revised Code, unless such action or inaction constitutes10416
willful or wanton misconduct. Chapter 2744. of the Revised Code10417
applies to any action or inaction by a board member or employee of10418
a board taken within the scope of the board member's official10419
duties or employee's employment. For the purposes of this10420
division, the conduct of a board member or employee shall not be10421
considered willful or wanton misconduct if the board member or10422
employee acted in good faith and in a manner that the board member10423
or employee reasonably believed was in or was not opposed to the10424
best interests of the board and, with respect to any criminal10425
action or proceeding, had no reasonable cause to believe the10426
conduct was unlawful.10427

       (E) The meetings held by any committee established by a board 10428
of alcohol, drug addiction, and mental health services shall be 10429
considered to be meetings of a public body subject to section10430
121.22 of the Revised Code.10431

       Sec. 505.376.  When any expenditure of a fire and ambulance10432
district, other than for the compensation of district employees,10433
exceeds twenty-fivefifty thousand dollars, the contract for the 10434
expenditure shall be in writing and made with the lowest and best10435
bidder after advertising for not less than two nor more than four 10436
consecutive weeks in a newspaper of general circulation within the 10437
district. The bids shall be opened and shall be publicly read by 10438
the clerk of the district, or the clerk's designee, at the time, 10439
date, and place specified in the advertisement to bidders or the10440
specifications. The time, date, and place of bid openings may be10441
extended to a later date by the board of trustees of the district,10442
provided that written or oral notice of the change shall be given10443
to all persons who have received or requested specifications no10444
later than ninety-six hours prior to the original time and date10445
fixed for the opening.10446

       Each bid on any contract shall contain the full name of every10447
person interested in the bid. If the bid is for a contract for the 10448
construction, demolition, alteration, repair, or reconstruction of 10449
an improvement, it shall meet the requirements of section 153.54 10450
of the Revised Code. If the bid is for any other contract, it 10451
shall be accompanied by a sufficient bond or certified check, 10452
cashier's check, or money order on a solvent bank or savings and 10453
loan association that, if the bid is accepted, a contract will be10454
entered into and the performance of it will be properly secured. 10455
If the bid for work embraces both labor and material, it shall be 10456
separately stated, with the price of the labor and the material.10457
The board may reject any and all bids. The contract shall be10458
between the district and the bidder, and the district shall pay10459
the contract price in cash. When a bonus is offered for completion 10460
of a contract prior to a specified date, the board may exact a 10461
prorated penalty in like sum for each day of delay beyond the 10462
specified date. When there is reason to believe there is collusion 10463
or combination among bidders, the bids of those concerned shall 10464
be rejected.10465

       Sec. 517.08.  The proceeds arising from the sale of cemetery 10466
lots under section 517.07 of the Revised Code shall be used in 10467
maintaining, improving, beautifying, and embellishing such 10468
grounds, except that upon unanimous consent of the board of 10469
township trustees, such proceeds may be used in the purchase or 10470
appropriation of additional land for cemetery purposes in 10471
accordance with sections 517.01 and 517.13 of the Revised Code; 10472
and the board of township trustees may build and maintain proper 10473
and secure fences around all such cemeteries, to be paid for from 10474
the township funds.10475

       Sec. 521.01.  (A) As used in this chapter, "private sewage10476
collection tile" means any tile, ditch, pipe, or other improvement10477
installed by a private person to receive and convey sewage and10478
sewage effluent from at least five household sewage treatment10479
disposal systems, as those systems are defined in rules adopted by 10480
the public health council under section 3718.013701.34 of the 10481
Revised Code.10482

       (B) A board of township trustees may maintain and repair10483
private sewage collection tiles located within a township road10484
right-of-way in the township, where the expenditure from the10485
township general fund for materials to maintain and repair the10486
tiles does not exceed two hundred dollars for any one project. No10487
maintenance or repair shall be performed that is paid for from the10488
township general fund under this division until the board adopts a10489
resolution authorizing the maintenance or repair. If material10490
costs would exceed two hundred dollars, the board may proceed10491
under this chapter to maintain and repair the tiles by assessing 10492
the cost against property based on the special benefits the 10493
property receives from the project.10494

       Sec. 709.191.  In lieu of making any of the payments required 10495
by section 709.19 of the Revised Code and for any proposed 10496
annexation which does not require payments under that section, the 10497
legislative authority of a municipal corporation which proposes to 10498
annex unincorporated territory of a township may enter into an 10499
agreement with the board of township trustees of the township in 10500
which the territory to be annexed is located, whereby the 10501
municipal corporation agrees to make an annual payment to the 10502
township to compensate for lost tax revenues. The agreement shall 10503
set forth the amount of the annual payment and the number of 10504
payments to be made.10505

       If a municipal corporation fails to make an annual payment10506
pursuant to an agreement entered into under this section, the10507
board of township trustees shall notify the county budget10508
commission in writing of the amount owed by the municipal10509
corporation to the township. The county budget commission shall10510
reduce the amount apportioned to the municipal corporation from10511
the undivided local governmentcommunities fund pursuant to 10512
section 5747.51 or 5747.53 of the Revised Code by the amount of 10513
the payment due the township under the municipal-township 10514
agreement and shall increase, by an amount equal to this 10515
reduction, the amount apportioned to the township from the 10516
undivided local governmentcommunities fund.10517

       Sec. 711.05.  (A) Upon the submission of a plat for approval,10518
in accordance with section 711.041 of the Revised Code, the board10519
of county commissioners shall certify on it the date of the10520
submission. Within five days of submission of the plat, the board 10521
shall schedule a meeting to consider the plat and send a written 10522
notice by regular mail to the fiscal officer of the board of 10523
township trustees of the township in which the plat is located and 10524
the board of health of the health district in which the plat is 10525
located. The notice shall inform the trustees and the board of 10526
health of the submission of the plat and of the date, time, and 10527
location of any meeting at which the board of county commissioners 10528
will consider or act upon the proposed plat. The meeting shall 10529
take place within thirty days of submission of the plat, and no10530
meeting shall be held until at least seven days have passed from10531
the date the notice was sent by the board of county commissioners. 10532
The approval of the board required by section 711.041 of the 10533
Revised Code or the refusal to approve shall take place within 10534
thirty days from the date of submission or such further time as 10535
the applying party may agree to in writing; otherwise, the plat is 10536
deemed approved and may be recorded as if bearing such approval.10537

       (B) The board may adopt general rules governing plats and 10538
subdivisions of land falling within its jurisdiction, to secure 10539
and provide for the coordination of the streets within the 10540
subdivision with existing streets and roads or with existing 10541
county highways, for the proper amount of open spaces for traffic, 10542
circulation, and utilities, and for the avoidance of future 10543
congestion of population detrimental to the public health, safety, 10544
or welfare, but shall not impose a greater minimum lot area than 10545
forty-eight hundred square feet. Before the board may amend or10546
adopt rules, it shall notify all the townships in the county of10547
the proposed amendments or rules by regular mail at least thirty10548
days before the public meeting at which the proposed amendments or 10549
rules are to be considered.10550

       The rules may require the boardcounty department of health 10551
to review and comment on a plat before the board of county 10552
commissioners acts upon it and may also require proof of 10553
compliance with any applicable zoning resolutions, and with 10554
household sewage treatment rules adopted under section 3718.02 of 10555
the Revised Code, as a basis for approval of a plat. Where under 10556
section 711.101 of the Revised Code the board of county10557
commissioners has set up standards and specifications for the10558
construction of streets, utilities, and other improvements for10559
common use, the general rules may require the submission of10560
appropriate plans and specifications for approval. The board shall 10561
not require the person submitting the plat to alter the plat or 10562
any part of it as a condition for approval, as long as the plat is 10563
in accordance with general rules governing plats and subdivisions 10564
of land, adopted by the board as provided in this section, in 10565
effect at the time the plat was submitted and the plat is in 10566
accordance with any standards and specifications set up under 10567
section 711.101 of the Revised Code, in effect at the time the 10568
plat was submitted.10569

       (C) The ground of refusal to approve any plat, submitted in 10570
accordance with section 711.041 of the Revised Code, shall be 10571
stated upon the record of the board, and, within sixty days 10572
thereafter, the person submitting any plat that the board refuses 10573
to approve may file a petition in the court of common pleas of the 10574
county in which the land described in the plat is situated to 10575
review the action of the board. A board of township trustees is 10576
not entitled to appeal a decision of the board of county 10577
commissioners under this section.10578

       Sec. 711.10. (A) Whenever a county planning commission or a10579
regional planning commission adopts a plan for the major streets10580
or highways of the county or region, no plat of a subdivision of10581
land within the county or region, other than land within a10582
municipal corporation or land within three miles of a city or one10583
and one-half miles of a village as provided in section 711.09 of10584
the Revised Code, shall be recorded until it is approved by the10585
county or regional planning commission under division (C) of this10586
section and the approval is endorsed in writing on the plat.10587

       (B) A county or regional planning commission may require the10588
submission of a preliminary plan for each plat sought to be10589
recorded. If the commission requires this submission, it shall10590
provide for a review process for the preliminary plan. Under this10591
review process, the planning commission shall give its approval,10592
its approval with conditions, or its disapproval of each10593
preliminary plan. The commission's decision shall be in writing,10594
shall be under the signature of the secretary of the commission,10595
and shall be issued within thirty-five business days after the10596
submission of the preliminary plan to the commission. The10597
disapproval of a preliminary plan shall state the reasons for the10598
disapproval. A decision of the commission under this division is10599
preliminary to and separate from the commission's decision to10600
approve, conditionally approve, or refuse to approve a plat under10601
division (C) of this section.10602

        (C) Within five calendar days after the submission of a plat 10603
for approval under this division, the county or regional planning10604
commission shall schedule a meeting to consider the plat and send10605
a notice by regular mail or by electronic mail to the fiscal 10606
officer of the board of township trustees of the township in which 10607
the plat is located and the board of health of the health district 10608
in which the plat is located. The notice shall inform the trustees 10609
and the board of health of the submission of the plat and of the 10610
date, time, and location of any meeting at which the county or 10611
regional planning commission will consider or act upon the plat. 10612
The meeting shall take place within thirty calendar days after 10613
submission of the plat, and no meeting shall be held until at10614
least seven calendar days have passed from the date the planning 10615
commission sent the notice.10616

       The approval of the county or regional planning commission,10617
the commission's conditional approval as described in this10618
division, or the refusal of the commission to approve shall be10619
endorsed on the plat within thirty calendar days after the 10620
submission of the plat for approval under this division or within 10621
such further time as the applying party may agree to in writing; 10622
otherwise that plat is deemed approved, and the certificate of the 10623
commission as to the date of the submission of the plat for 10624
approval under this division and the failure to take action on it 10625
within that time shall be sufficient in lieu of the written 10626
endorsement or evidence of approval required by this division.10627

       A county or regional planning commission may grant 10628
conditional approval under this division to a plat by requiring a 10629
person submitting the plat to alter the plat or any part of it, 10630
within a specified period after the end of the thirty calendar 10631
days, as a condition for final approval under this division. Once 10632
all the conditions have been met within the specified period, the10633
commission shall cause its final approval under this division to 10634
be endorsed on the plat. No plat shall be recorded until it is 10635
endorsed with the commission's final or unconditional approval 10636
under this division.10637

       The ground of refusal of approval of any plat submitted under10638
this division, including citation of or reference to the rule10639
violated by the plat, shall be stated upon the record of the10640
county or regional planning commission. Within sixty calendar days10641
after the refusal under this division, the person submitting any 10642
plat that the commission refuses to approve under this division 10643
may file a petition in the court of common pleas of the proper 10644
county, and the proceedings on the petition shall be governed by10645
section 711.09 of the Revised Code as in the case of the refusal 10646
of a planning authority to approve a plat. A board of township 10647
trustees is not entitled to appeal a decision of the commission 10648
under this division.10649

       A county or regional planning commission shall adopt general10650
rules, of uniform application, governing plats and subdivisions of10651
land falling within its jurisdiction, to secure and provide for10652
the proper arrangement of streets or other highways in relation to10653
existing or planned streets or highways or to the county or10654
regional plan, for adequate and convenient open spaces for10655
traffic, utilities, access of firefighting apparatus, recreation,10656
light, and air, and for the avoidance of congestion of population.10657
The rules may provide for their modification by the commission in 10658
specific cases where unusual topographical and other exceptional 10659
conditions require the modification. The rules may require the 10660
boardcounty department of health to review and comment on a plat 10661
before the commission acts upon it and also may require proof of 10662
compliance with any applicable zoning resolutions, and with 10663
household sewage treatment rules adopted under section 3718.02 of 10664
the Revised Code, as a basis for approval of a plat.10665

       Before adoption of its rules or amendment of its rules, the10666
commission shall hold a public hearing on the adoption or 10667
amendment. Notice of the public hearing shall be sent to all 10668
townships in the county or region by regular mail or electronic10669
mail at least thirty business days before the hearing. No county 10670
or regional planning commission shall adopt any rules requiring 10671
actual construction of streets or other improvements or facilities 10672
or assurance of that construction as a condition precedent to the 10673
approval of a plat of a subdivision unless the requirements have 10674
first been adopted by the board of county commissioners after a 10675
public hearing. A copy of the rules shall be certified by the 10676
planning commission to the county recorders of the appropriate 10677
counties.10678

       After a county or regional street or highway plan has been10679
adopted as provided in this section, the approval of plats and10680
subdivisions provided for in this section shall be in lieu of any10681
approvals provided for in other sections of the Revised Code, 10682
insofar as the territory within the approving jurisdiction of the 10683
county or regional planning commission, as provided in this10684
section, is concerned. Approval of a plat shall not be an10685
acceptance by the public of the dedication of any street, highway,10686
or other way or open space shown upon the plat.10687

       No county or regional planning commission shall require a 10688
person submitting a plat to alter the plat or any part of it as 10689
long as the plat is in accordance with the general rules governing 10690
plats and subdivisions of land, adopted by the commission as 10691
provided in this section, in effect at the time the plat is 10692
submitted.10693

       A county or regional planning commission and a city or10694
village planning commission, or platting commissioner or10695
legislative authority of a village, with subdivision regulation10696
jurisdiction over unincorporated territory within the county or10697
region may cooperate and agree by written agreement that the10698
approval of a plat by the city or village planning commission, or10699
platting commissioner or legislative authority of a village, as10700
provided in section 711.09 of the Revised Code, shall be10701
conditioned upon receiving advice from or approval by the county10702
or regional planning commission.10703

       (D) As used in this section, "business day" means a day of 10704
the week excluding Saturday, Sunday, or a legal holiday as defined 10705
in section 1.14 of the Revised Code.10706

       Sec. 711.131.  (A) Notwithstanding sections 711.001 to 711.13 10707
of the Revised Code and except as provided in division (C) of this 10708
section, unless the rules adopted under section 711.05, 711.09, or 10709
711.10 of the Revised Code are amended pursuant to division (B) of 10710
this section, a proposed division of a parcel of land along an10711
existing public street, not involving the opening, widening, or10712
extension of any street or road, and involving no more than five10713
lots after the original tract has been completely subdivided, may10714
be submitted to the planning authority having approving 10715
jurisdiction of plats under section 711.05, 711.09, or 711.10 of 10716
the Revised Code for approval without plat. If the authority 10717
acting through a properly designated representative finds that a10718
proposed division is not contrary to applicable platting,10719
subdividing, zoning, health, sanitary, or access management10720
regulations,or regulations adopted under division (B)(3) of 10721
section 307.37 of the Revised Code regarding existing surface or 10722
subsurface drainage, or household sewage treatment rules adopted 10723
under section 3718.02 of the Revised Code, including, but not 10724
limited to, rules governing household sewage disposal systems, it 10725
shall approve the proposed division within seven business days 10726
after its submission and, on presentation of a conveyance of the 10727
parcel, shall stamp the conveyance "approved by (planning 10728
authority); no plat required" and have it signed by its clerk, 10729
secretary, or other official as may be designated by it. The 10730
planning authority may require the submission of a sketch and 10731
other information that is pertinent to its determination under 10732
this division.10733

       (B) For a period of up to two years after the effective date10734
of this amendmentApril 15, 2005, the rules adopted under section 10735
711.05, 711.09, or 711.10 of the Revised Code may be amended 10736
within that period to authorize the planning authority involved to 10737
approve proposed divisions of parcels of land without plat under10738
this division. If an authority so amends its rules, it may approve 10739
no more than five lots without a plat from an original tract as 10740
that original tract exists on the effective date of the amendment 10741
to the rules. The authority shall make the findings and approve a 10742
proposed division in the time and manner specified in division (A) 10743
of this section.10744

       (C) This section does not apply to parcels subject to section 10745
711.133 of the Revised Code.10746

       (D) As used in this section:10747

       (1), "Businessbusiness day" means a day of the week 10748
excluding Saturday, Sunday, or a legal holiday as defined in 10749
section 1.14 of the Revised Code.10750

       (2) "Household sewage disposal system" has the same meaning10751
as in section 3709.091 of the Revised Code.10752

       Sec. 718.13. (A) Any information gained as a result of10753
returns, investigations, hearings, or verifications required or10754
authorized by this chapter or by a charter or ordinance of a10755
municipal corporation levying an income tax pursuant to this10756
chapter is confidential, and no person shall disclose such10757
information except in accordance with a proper judicial order or10758
in connection with the performance of that person's official10759
duties or the official business of the municipal corporation as10760
authorized by this chapter or the charter or ordinance authorizing 10761
the levy. The tax administrator of the municipal corporation may 10762
furnish copies of returns filed under this chapter to the internal 10763
revenue service and to the tax commissioner.10764

       (B) This section does not prohibit the legislative authority 10765
of a municipal corporation, by ordinance or resolution, from 10766
authorizing the tax administrator to publish statistics in a form 10767
that does not disclose information with respect to particular 10768
taxpayers.10769

       Sec. 742.301.  Each employer shall promptly pay the amount10770
due on the accrued liability on the dates fixed by the board of10771
trustees of the Ohio police and fire pension fund. Upon 10772
certification by the board that payment of an employer's accrued 10773
liability has not been paid within thirty days following the date 10774
a payment is due, a penalty of five per cent of the amount due 10775
shall be assessed against such employer. If the payment and 10776
penalty have not been paid within ninety days following the date a 10777
payment is due, annual interest at six per cent shall be assessed 10778
against the payment and penalty from the date that the payment is 10779
due.10780

       Upon certification by the board to the superintendent of 10781
liquor control or the county auditor of an amount due from any 10782
employer who is subject to this chapter by reason of such 10783
employer's delinquency in making payments on the accrued 10784
liability, the amount due shall be withheld from the employer from 10785
liquor control permit fees to be distributed to that employer 10786
according to Chapter 4301. of the Revised Code or from the local 10787
governmentcommunities fund allocated for distribution to that 10788
employer by the county budget commission in accordance with 10789
Chapter 5739. of the Revised Code. Upon receipt of the 10790
certification from the board, the superintendent or county auditor 10791
shall provide for payment against such funds in favor of the Ohio 10792
police and fire pension fund for the certified amount due and any 10793
penalty and interest thereon.10794

       Sec. 901.261. The director of agriculture, in conducting 10795
investigations, inquiries, or hearings, may assess the party to an 10796
action that is brought before the department of agriculture 10797
pursuant to Chapter 119. of the Revised Code the actual costs 10798
incurred by the department for depositions, investigations, 10799
issuance and service of subpoenas, witness fees, employment of a 10800
stenographer and hearing officer, and the production of books, 10801
accounts, papers, records, documents, and testimony if the 10802
applicable hearing officer determines that the party to the action 10803
has failed to comply with any chapter of the Revised Code or any 10804
rule adopted under any of those chapters that is administered by 10805
the director or if the hearing officer determines that the action 10806
was frivolous conduct by the party. Assessment of costs under this 10807
section may be appealed to a court of competent jurisdiction.10808

       Sec. 991.08. The Ohio expositions commission shall use not 10809
less than thirty-five per cent of the revenue that it receives 10810
from lease payments and parking fees related to events held at the 10811
Columbus crew stadium, as it is named on the effective date of 10812
this section, for the purpose of improving and maintaining parking 10813
facilities that are utilized for events at the stadium.10814

       Sec. 1503.05.  (A) The chief of the division of forestry may10815
sell timber and other forest products from the state forest and 10816
state forest nurseries whenever the chief considers such a sale 10817
desirable and, with the approval of the attorney general and the 10818
director of natural resources, may sell portions of the state 10819
forest lands when such a sale is advantageous to the state.10820

       (B) Except as otherwise provided in this section, a timber 10821
sale agreement shall not be executed unless the person or 10822
governmental entity bidding on the sale executes and files a 10823
surety bond conditioned on completion of the timber sale in 10824
accordance with the terms of the agreement in an amount equal to 10825
twenty-five per cent of the highest value cutting section. All 10826
bonds shall be given in a form prescribed by the chief and shall 10827
run to the state as obligee.10828

       The chief shall not approve any bond until it is personally10829
signed and acknowledged by both principal and surety, or as to10830
either by the attorney in fact thereof, with a certified copy of 10831
the power of attorney attached. The chief shall not approve the 10832
bond unless there is attached a certificate of the superintendent 10833
of insurance that the company is authorized to transact a fidelity10834
and surety business in this state.10835

       In lieu of a bond, the bidder may deposit any of the10836
following:10837

       (1) Cash in an amount equal to the amount of the bond;10838

       (2) United States government securities having a par value10839
equal to or greater than the amount of the bond;10840

       (3) Negotiable certificates of deposit or irrevocable letters 10841
of credit issued by any bank organized or transacting business in 10842
this state having a par value equal to or greater than the amount 10843
of the bond.10844

       The cash or securities shall be deposited on the same terms10845
as bonds. If one or more certificates of deposit are deposited in 10846
lieu of a bond, the chief shall require the bank that issued any 10847
of the certificates to pledge securities of the aggregate market 10848
value equal to the amount of the certificate or certificates that 10849
is in excess of the amount insured by the federal deposit 10850
insurance corporation. The securities to be pledged shall be those 10851
designated as eligible under section 135.18 of the Revised Code. 10852
The securities shall be security for the repayment of the 10853
certificate or certificates of deposit.10854

       Immediately upon a deposit of cash, securities, certificates 10855
of deposit, or letters of credit, the chief shall deliver them to 10856
the treasurer of state, who shall hold them in trust for the 10857
purposes for which they have been deposited. The treasurer of 10858
state is responsible for the safekeeping of the deposits. A bidder 10859
making a deposit of cash, securities, certificates of deposit, or 10860
letters of credit may withdraw and receive from the treasurer of 10861
state, on the written order of the chief, all or any portion of 10862
the cash, securities, certificates of deposit, or letters of 10863
credit upon depositing with the treasurer of state cash, other 10864
United States government securities, or other negotiable 10865
certificates of deposit or irrevocable letters of credit issued by 10866
any bank organized or transacting business in this state, equal in 10867
par value to the par value of the cash, securities, certificates 10868
of deposit, or letters of credit withdrawn.10869

       A bidder may demand and receive from the treasurer of state10870
all interest or other income from any such securities or10871
certificates as it becomes due. If securities so deposited with10872
and in the possession of the treasurer of state mature or are10873
called for payment by their issuer, the treasurer of state, at the 10874
request of the bidder who deposited them, shall convert the 10875
proceeds of the redemption or payment of the securities into other 10876
United States government securities, negotiable certificates of 10877
deposit, or cash as the bidder designates.10878

       When the chief finds that a person or governmental agency has 10879
failed to comply with the conditions of the person's or10880
governmental agency's bond, the chief shall make a finding of that 10881
fact and declare the bond, cash, securities, certificates, or 10882
letters of credit forfeited. The chief thereupon shall certify the 10883
total forfeiture to the attorney general, who shall proceed to 10884
collect the amount of the bond, cash, securities, certificates, or 10885
letters of credit.10886

       In lieu of total forfeiture, the surety, at its option, may10887
cause the timber sale to be completed or pay to the treasurer of10888
state the cost thereof.10889

       All moneys collected as a result of forfeitures of bonds,10890
cash, securities, certificates, and letters of credit under this10891
section shall be credited to the state forest fund created in this 10892
section.10893

       (C) The chief may grant easements and leases on portions of 10894
the state forest lands and state forest nurseries under terms that 10895
are advantageous to the state, and the chief may grant mineral 10896
rights on a royalty basis on those lands and nurseries, with the 10897
approval of the attorney general and the director.10898

       (D) All moneys received from the sale of state forest lands, 10899
or in payment for easements or leases on or as rents from those10900
lands or from state forest nurseries, shall be paid into the state10901
treasury to the credit of the state forest fund, which is hereby 10902
created. In addition, all moneys received from federal grants, 10903
payments, and reimbursements, from the sale of reforestation tree 10904
stock, from the sale of forest products, other than standing 10905
timber, and from the sale of minerals taken from the state forest 10906
lands and state forest nurseries, together with royalties from 10907
mineral rights, shall be paid into the state treasury to the 10908
credit of the state forest fund. Any other revenues derived from 10909
the operation of the state forests and related facilities or 10910
equipment also shall be paid into the state treasury to the credit 10911
of the state forest fund, as shall contributions received for the 10912
issuance of Smokey Bear license plates under section 4503.574 of 10913
the Revised Code and any other moneys required by law to be 10914
deposited in the fund.10915

        The state forest fund shall not be expended for any purpose 10916
other than the administration, operation, maintenance, 10917
development, or utilization of the state forests, forest 10918
nurseries, and forest programs, for facilities or equipment 10919
incident to them, or for the further purchase of lands for state 10920
forest or forest nursery purposes and, in the case of 10921
contributions received pursuant to section 4503.574 of the Revised 10922
Code, for fire prevention purposes.10923

        All moneys received from the sale of standing timber taken 10924
from state forest lands and state forest nurseries shall be 10925
deposited into the state treasury to the credit of the forestry 10926
holding account redistribution fund, which is hereby created. The 10927
moneys shall remain in the fund until they are redistributed in 10928
accordance with this division.10929

        The redistribution shall occur at least once each year. To 10930
begin the redistribution, the chief first shall determine the10931
amount of all standing timber sold from state forest lands and 10932
state forest nurseries, together with the amount of the total sale 10933
proceeds, in each county, in each township within the county, and 10934
in each school district within the county. The chief next shall 10935
determine the amount of the direct costs that the division of 10936
forestry incurred in association with the sale of that standing 10937
timber. The amount of the direct costs shall be subtracted from 10938
the amount of the total sale proceeds and shall be transferred 10939
from the forestry holding account redistribution fund to the state 10940
forest fund.10941

        The remaining amount of the total sale proceeds equals the 10942
net value of the standing timber that was sold. The chief shall 10943
determine the net value of standing timber sold from state forest 10944
lands and state forest nurseries in each county, in each township 10945
within the county, and in each school district within the county 10946
and shall send to each county treasurer a copy of the 10947
determination at the time that moneys are paid to the county 10948
treasurer under this division.10949

        Twenty-five per cent of the net value of standing timber sold 10950
from state forest lands and state forest nurseries located in a 10951
county shall be transferred from the forestry holding account 10952
redistribution fund to the state forest fund. Ten per cent of that 10953
net value shall be transferred from the forestry holding account 10954
redistribution fund to the general revenue fund. The remaining 10955
sixty-five per cent of the net value shall be transferred from the 10956
forestry holding account redistribution fund and paid to the 10957
county treasurer for the use of the general fund of that county.10958

       The county auditor shall do all of the following:10959

       (1) Retain for the use of the general fund of the county 10960
one-fourth of the amount received by the county under division (D) 10961
of this section;10962

       (2) Pay into the general fund of any township located within 10963
the county and containing such lands and nurseries one-fourth of 10964
the amount received by the county from standing timber sold from 10965
lands and nurseries located in the township;10966

       (3) Request the board of education of any school district 10967
located within the county and containing such lands and nurseries 10968
to identify which fund or funds of the district should receive the 10969
moneys available to the school district under division (D)(3) of 10970
this section. After receiving notice from the board, the county 10971
auditor shall pay into the fund or funds so identified one-half of 10972
the amount received by the county from standing timber sold from 10973
lands and nurseries located in the school district, distributed10974
proportionately as identified by the board.10975

       The division of forestry shall not supply logs, lumber, or 10976
other forest products or minerals, taken from the state forest 10977
lands or state forest nurseries, to any other agency or 10978
subdivision of the state unless payment is made therefor in the 10979
amount of the actual prevailing value thereof. This section is 10980
applicable to the moneys so received.10981

       Sec. 1504.02.  (A) The division of real estate and land10982
management shall do all of the following:10983

       (1) Except as otherwise provided in the Revised Code,10984
coordinate and conduct all real estate functions for the10985
department of natural resources, including at least acquisitions10986
by purchase, lease, gift, devise, bequest, appropriation, or10987
otherwise; grants through sales, leases, exchanges, easements, and 10988
licenses; inventories of land; and other related general10989
management duties;10990

       (2) Assist the department and its divisions by providing10991
department-wide planning, including at least master planning,10992
comprehensive planning, capital improvements planning, and special 10993
purpose planning such as trails coordination and planning under 10994
section 1519.03 of the Revised Code;10995

       (3) On behalf of the director of natural resources,10996
administer the coastal management program established under10997
sections 1506.01 to 1506.03 and 1506.05 to 1506.09 of the Revised10998
Code and consult with and provide coordination among state10999
agencies, political subdivisions, the United States and agencies11000
of it, and interstate, regional, and areawide agencies to assist11001
the director in executing the director's duties and11002
responsibilities under that program and to assist the department 11003
as the lead agency for the development and implementation of the 11004
program;11005

       (4) On behalf of the director, administer sections 1506.1011006
and 1506.11 and sections 1506.31 to 1506.36 of the Revised Code;11007

       (5) Cooperate with the United States and agencies of it and 11008
with political subdivisions in administering federal recreation 11009
moneys under the "Land and Water Conservation Fund Act of 1965," 11010
78 Stat. 897, 16 U.S.C.A. 4601-8, as amended; prepare and 11011
distribute the statewide comprehensive outdoor recreation plan; 11012
and administer the state recreational vehicle fund created in 11013
section 4519.11 of the Revised Code;11014

       (6)(4)(a) Support the geographic information system needs for11015
the department as requested by the director, which shall include,11016
but not be limited to, all of the following:11017

       (i) Assisting in the training and education of department11018
resource managers, administrators, and other staff in the11019
application and use of geographic information system technology;11020

       (ii) Providing technical support to the department in the11021
design, preparation of data, and use of appropriate geographic11022
information system applications in order to help solve resource11023
related problems and to improve the effectiveness and efficiency11024
of department delivered services;11025

       (iii) Creating, maintaining, and documenting spatial digital 11026
data bases for the division and for other divisions as assigned by 11027
the director.11028

       (b) Provide information to and otherwise assist government11029
officials, planners, and resource managers in understanding land11030
use planning and resource management;11031

       (c) Provide continuing assistance to local government11032
officials and others in natural resource digital data base11033
development and in applying and utilizing the geographic11034
information system for land use planning, current agricultural use 11035
value assessment, development reviews, coastal management, and 11036
other resource management activities;11037

       (d) Coordinate and administer the remote sensing needs of the 11038
department, including the collection and analysis of aerial11039
photography, satellite data, and other data pertaining to land,11040
water, and other resources of the state;11041

       (e) Prepare and publish maps and digital data relating to the 11042
state's land use and land cover over time on a local, regional, 11043
and statewide basis;11044

       (f) Locate and distribute hard copy maps, digital data,11045
aerial photography, and other resource data and information to11046
government agencies and the public.11047

       (7)(5) Prepare special studies and execute any other duties,11048
functions, and responsibilities requested by the director.11049

       (B) The division may do any of the following:11050

       (1) Coordinate such environmental matters concerning the11051
department and the state as are necessary to comply with the11052
"National Environmental Policy Act of 1969," 83 Stat. 852, 4211053
U.S.C.A. 4321, as amended, the "Intergovernmental Cooperation Act11054
of 1968," 82 Stat. 1098, 31 U.S.C.A. 6506, and the "Federal Water11055
Pollution Control Act," 91 Stat. 1566 (1977), 33 U.S.C.A. 1251, as 11056
amended, and regulations adopted under those acts;11057

       (2) With the approval of the director, coordinate and 11058
administer compensatory mitigation grant programs and other 11059
programs for streams and wetlands as approved in accordance with 11060
certifications and permits issued under sections 401 and 404 of 11061
the "Federal Water Pollution Control Act", 91 Stat. 1566(1977), 33 11062
U.S.C.A. 1251, as amended, by the environmental protection agency 11063
and the United States army corps of engineers;11064

       (3) Administer any state or federally funded grant program11065
that is related to natural resources and recreation as considered11066
necessary by the director.11067

       Sec. 1506.01.  As used in this chapter:11068

       (A) "Coastal area" means the waters of Lake Erie, the islands 11069
in the lake, and the lands under and adjacent to the lake, 11070
including transitional areas, wetlands, and beaches. The coastal 11071
area extends in Lake Erie to the international boundary line 11072
between the United States and Canada and landward only to the 11073
extent necessary to include shorelands, the uses of which have a 11074
direct and significant impact on coastal waters as determined by 11075
the director of natural resources.11076

       (B) "Coastal management program" means the comprehensive11077
action of the state and its political subdivisions cooperatively11078
to preserve, protect, develop, restore, or enhance the resources11079
of the coastal area and to ensure wise use of the land and water11080
resources of the coastal area, giving attention to natural,11081
cultural, historic, and aesthetic values; agricultural,11082
recreational, energy, and economic needs; and the national11083
interest. "Coastal management program" includes the establishment 11084
of objectives, policies, standards, and criteria concerning, 11085
without limitation, protection of air, water, wildlife, rare and 11086
endangered species, wetlands and natural areas, and other natural 11087
resources in the coastal area; management of coastal development 11088
and redevelopment; preservation and restoration of historic, 11089
cultural, and aesthetic coastal features; and public access to the 11090
coastal area for recreation purposes.11091

       (C) "Coastal management program document" means a11092
comprehensive statement consisting of, without limitation, text,11093
maps, and illustrations that is adopted by the director in11094
accordance with this chapter, describes the objectives, policies,11095
standards, and criteria of the coastal management program for11096
guiding public and private uses of lands and waters in the coastal 11097
area, lists the governmental agencies, including, without11098
limitation, state agencies, involved in implementing the coastal11099
management program, describes their applicable policies and11100
programs, and cites the statutes and rules under which they may11101
adopt and implement those policies and programs.11102

       (D) "Person" means any agency of this state, any political11103
subdivision of this state or of the United States, and any legal11104
entity defined as a person under section 1.59 of the Revised Code.11105

       (E) "Director" means the director of natural resources or the 11106
director's designee.11107

       (F) "Permanent structure" means any residential, commercial, 11108
industrial, institutional, or agricultural building, any mobile 11109
home as defined in division (O) of section 4501.01 of the Revised 11110
Code, any manufactured home as defined in division (C)(4) of 11111
section 3781.06 of the Revised Code, and any septic system that 11112
receives sewage from a single-family, two-family, or three-family 11113
dwelling, but does not include any recreational vehicle as defined 11114
in section 4501.01 of the Revised Code.11115

       (G) "State agency" or "agency of the state" has the same11116
meaning as "agency" as defined in section 111.15 of the Revised11117
Code.11118

       (H) "Coastal flood hazard area" means any territory within11119
the coastal area that has been identified as a flood hazard area11120
under the "Flood Disaster Protection Act of 1973," 87 Stat. 975,11121
42 U.S.C.A. 4002, as amended.11122

       (I) "Coastal erosion area" means any territory included in11123
Lake Erie coastal erosion areas identified by the director under 11124
section 1506.06 of the Revised Code.11125

       (J) "Conservancy district" means a conservancy district that 11126
is established under Chapter 6101. of the Revised Code.11127

       (K) "Park board" means the board of park commissioners of a 11128
park district that is created under Chapter 1545. of the Revised 11129
Code.11130

       (L) "Erosion control structure" means a structure that is 11131
designed solely and specifically to reduce or control erosion of 11132
the shore along or near Lake Erie, including, without limitation, 11133
revetments, seawalls, bulkheads, certain breakwaters, and similar 11134
structures.11135

       (M) "Shore structure" includes, but is not limited to, 11136
beaches; groins; revetments; bulkheads; seawalls; breakwaters; 11137
certain dikes designated by the chief of the division of water; 11138
piers; docks; jetties; wharves; marinas; boat ramps; any 11139
associated fill or debris used as part of the construction of 11140
shore structures that may affect shore erosion, wave action, or 11141
inundation; and fill or debris that is placed along or near the 11142
shore, including bluffs, banks, or beach ridges, for the purpose 11143
of stabilizing slopes.11144

       Sec. 1521.20.        Sec. 1506.38.  The chiefdirector of the division of 11145
waternatural resources shall act as the erosion agent of the 11146
state for the purpose of cooperating with the secretary of the 11147
army, acting through the chief of engineers of the United States 11148
army corps of engineers in the department of defense. The chief11149
director shall cooperate with the secretary in carrying out, and 11150
may conduct, investigations and studies of conditions along the11151
shorelines of Lake Erie and of the bays and projections therefrom, 11152
and of the islands therein, within the territorial waters of the 11153
state, with a view to devising and perfecting economical and 11154
effective methods and works for preventing, correcting, and 11155
controlling shore erosion and damage therefrom and controlling the 11156
inundation of improved property by the waters of Lake Erie, its 11157
bays, and associated inlets.11158

       Sec. 1521.21.        Sec. 1506.39.  The chiefdirector of the division of11159
waternatural resources, in the discharge of the chief's11160
director's duties under sections 1507.201506.38 to 1507.3011161
1506.48 of the Revised Code, may call to the chief'sdirector's11162
assistance, temporarily, any engineers or other employees in any 11163
state department, or in the Ohio state university or other11164
educational institutions financed wholly or in part by the state,11165
for the purpose of devising the most effective and economical11166
methods of controlling shore erosion and damage from it and 11167
controlling the inundation of improved property by the waters of 11168
Lake Erie and its bays and associated inlets.11169

       Such engineers and employees shall not receive any additional 11170
compensation over that which they receive from the departments or 11171
institutions by which they are employed, but they shall be11172
reimbursed for their actual necessary expenses incurred while11173
working under the direction of the chiefdirector on erosion and11174
inundation projects.11175

       Sec. 1521.22.        Sec. 1506.40. No person shall construct a beach,11176
groin, or other structure to control erosion, wave action, or11177
inundation along or near the Ohio shoreline of Lake Erie, 11178
including related islands, bays, and inlets, without first 11179
obtaining a shore structure permit from the chief of the division11180
director of water. Thenatural resources.11181

       The application for a shore structure permit shall include 11182
detailed plans and specifications prepared by a professional 11183
engineer registered under Chapter 4733. of the Revised Code. An 11184
applicant shall provide appropriate evidence of compliance with 11185
any applicable provisions of this chapter and Chapters 1505. and 11186
1506.1521. of the Revised Code, as determined by the chief11187
director. A temporary shore structure permit may be issued by the 11188
chief or an authorized representative of the chiefdirector if it11189
is determined necessary to safeguard life, health, or property.11190

       Each application or reapplication for a permit under this 11191
section shall be accompanied by a non-refundable fee as the chief11192
director shall prescribe by rule.11193

       If the application is approved, the chiefdirector shall 11194
issue a permit to the applicant authorizing construction of the 11195
project. If requested in writing by the applicant within thirty 11196
days of issuance of a notice of disapproval of the application, 11197
the chiefdirector shall conduct an adjudication hearing under 11198
Chapter 119. of the Revised Code, except sections 119.12 and 11199
119.121 of the Revised Code. After reviewing the record of the 11200
hearing, the chiefdirector shall issue a final order approving 11201
the application, disapproving it, or approving it conditioned on 11202
the making of specified revisions in the plans and specifications.11203

       The chiefdirector, by rule, shall limit the period during 11204
which a construction permit issued under this section is valid and 11205
shall establish reapplication requirements governing a 11206
construction permit that expires before construction is completed.11207

       In accordance with Chapter 119. of the Revised Code, the 11208
chiefdirector shall adopt, and may amend or rescind, such rules 11209
as are necessary for the administration, implementation, and 11210
enforcement of this section.11211

       Sec. 1521.23.        Sec. 1506.41.  All moneys derived from the granting 11212
of permits and leases under section 1505.07 of the Revised Code 11213
for the removal of sand, gravel, stone, gas, oil, and other 11214
minerals and substances from and under the bed of Lake Erie and 11215
from applications for shore structure permits submitted under 11216
section 1521.221506.40 of the Revised Code shall be paid into the 11217
state treasury to the credit of the permit and lease fund, which 11218
is hereby created. Notwithstanding any section of the Revised Code 11219
relating to the distribution or crediting of fines for violations 11220
of the Revised Code, all fines imposed under division (A) of11221
section 1505.99 of the Revised Code and under division (C) of 11222
section 1521.991506.99 of the Revised Code shall be paid into 11223
that fund. The fund shall be administered by the department of 11224
natural resources for the protection of Lake Erie shores and11225
waters; investigation and control of erosion; the planning,11226
development, and construction of facilities for recreational use 11227
of Lake Erie; implementation of section 1521.221506.40 of the 11228
Revised Code; preparation of the state shore erosion plan under 11229
section 1521.291506.47 of the Revised Code; and state 11230
administration of Lake Erie coastal erosion areas under sections 11231
1506.06 and 1506.07 of the Revised Code.11232

       Sec. 1521.24.        Sec. 1506.42.  The state, acting through the chief11233
director of the division of waternatural resources, subject to 11234
section 1521.281506.46 of the Revised Code, may enter into 11235
agreements with counties, townships, municipal corporations, park 11236
boards, and conservancy districts, other political subdivisions, 11237
or any state departments or divisions for the purpose of 11238
constructing and maintaining projects to control erosion along the 11239
Ohio shoreline of Lake Erie and in any rivers and bays that are11240
connected with Lake Erie and any other watercourses that flow into 11241
Lake Erie. Such projects also may be constructed on any Lake Erie11242
island that is situated within the boundaries of the state.11243

       The cost of such shore erosion projects that are for the11244
benefit of public littoral property shall be prorated on the basis 11245
of two-thirds of the total cost to the state through11246
appropriations made to the divisiondepartment of waternatural 11247
resources and one-third of the cost to the counties, townships, 11248
municipal corporations, park boards, conservancy districts, or 11249
other political subdivisions.11250

       If a shore erosion emergency is declared by the governor, the 11251
state, acting through the chiefdirector, may spend whatever state 11252
funds are available to alleviate shore erosion, without11253
participation by any political subdivision, regardless of whether11254
the project will benefit public or private littoral property.11255

       A board of county commissioners, acting for the county over 11256
which it has jurisdiction, may enter into and carry out agreements 11257
with the chiefdirector for the construction and maintenance of 11258
projects to control shore erosion. In providing the funds for the 11259
county's proportionate share of the cost of constructing and 11260
maintaining the projects referred to in this section, the board 11261
shall be governed by and may issue and refund bonds in accordance 11262
with Chapter 133. of the Revised Code.11263

       A municipal corporation or a township, acting through the11264
legislative authority or the board of township trustees, may enter 11265
into and carry out agreements with the chiefdirector for the 11266
purpose of constructing and maintaining projects to control shore11267
erosion. In providing the funds for the municipal corporation's or 11268
township's proportionate share of the cost of constructing and 11269
maintaining the projects referred to in this section, a municipal 11270
corporation or township may issue and refund bonds in accordance 11271
with Chapter 133. of the Revised Code. The contract shall be 11272
executed on behalf of the municipal corporation or township by the 11273
mayor, city manager, or other chief executive officer who has the 11274
authority to act for the municipal corporation or township.11275

       Conservancy districts may enter into and carry out agreements 11276
with the chiefdirector, in accordance with the intent of this 11277
section, under the powers conferred upon conservancy districts 11278
under Chapter 6101. of the Revised Code.11279

       Park boards may enter into and carry out agreements with the 11280
chiefdirector, in accordance with the intent of this section, and 11281
issue bonds for that purpose under the powers conferred upon park 11282
districts under Chapter 1545. of the Revised Code.11283

       The chiefdirector shall approve and supervise all projects11284
that are to be constructed in accordance with this section. The11285
chiefdirector shall not proceed with the construction of any11286
project until all funds that are to be paid by the county, 11287
township, municipal corporation, park board, or conservancy 11288
district, in accordance with the terms of the agreement entered 11289
into between the chiefdirector and the county, township, 11290
municipal corporation, park board, or conservancy district, are in 11291
the chief'sdirector's possession and deposited in the shore 11292
erosion fund, which is hereby created in the state treasury. If 11293
the chiefdirector finds it to be in the best interests of the 11294
state to construct projects as set forth in this section by the 11295
state itself, without the financial contribution of counties, 11296
townships, municipal corporations, park boards, or conservancy 11297
districts, the chiefdirector may construct the projects.11298

       In deciding whether to assist a county or municipal11299
corporation in constructing and maintaining a project under this11300
section, the state, acting through the chiefdirector, shall11301
consider, among other factors, whether the county or municipal11302
corporation has adopted or is in the process of adopting a Lake11303
Erie coastal erosion area resolution or ordinance under division11304
(D) of section 1506.07 of the Revised Code.11305

       All projects constructed by the state in conformity with11306
sections 1521.201506.38 to 1521.281506.46 of the Revised Code 11307
shall be constructed subject to sections 153.01 to 153.20 of the 11308
Revised Code, except that the state architect and engineer is not11309
required to prepare the plans and specifications for those11310
projects.11311

       Sec. 1521.25.        Sec. 1506.43.  The chiefdirector of the division of 11312
waternatural resources may enter into a contract with any county, 11313
township, municipal corporation, conservancy district, or park 11314
board that has an agreement with the state in accordance with 11315
section 1521.241506.42 of the Revised Code for the construction 11316
of a shore erosion project. No contract shall be let until all 11317
money that is to be paid by the political subdivision entering 11318
into the agreement has been deposited in the shore erosion fund 11319
created in that section 1521.24 of the Revised Code, and no 11320
contract shall be valid until approved by the director of natural11321
resources.11322

       Sec. 1521.26.        Sec. 1506.44.  (A) A board of county commissioners 11323
may use a loan obtained under division (C) of this section to 11324
provide financial assistance to any person who owns real property 11325
in a coastal erosion area, as defined in section 1506.01 of the11326
Revised Code, and who has received a permit under section 1521.2211327
1506.40 of the Revised Code to construct an erosion control 11328
structure in that coastal erosion area. The board shall enter into 11329
an agreement with the person that complies with all of the 11330
following requirements:11331

       (1) The agreement shall identify the person's real property 11332
for which the erosion control structure is being constructed and 11333
shall include a legal description of that property and a reference 11334
to the volume and page of the deed record in which the title of 11335
that person to that property is recorded.11336

       (2) In accordance with rules adopted by the Ohio water11337
development authority under division (V) of section 6121.04 of the11338
Revised Code for the purposes of division (C) of this section and 11339
pursuant to an agreement between the board and the authority under 11340
that division, the board shall agree to cause payments to be made 11341
by the authority to the contractor hired by the person to 11342
construct an erosion control structure in amounts not to exceed 11343
the total amount specified in the agreement between the board and 11344
the person.11345

       (3) The person shall agree to pay to the board, or to the 11346
authority as the assignee pursuant to division (C) of this 11347
section, the total amount of the payments plus administrative or 11348
other costs of the board or the authority at times, in 11349
installments, and bearing interest as specified in the agreement.11350

       The agreement may contain additional provisions that the 11351
board determines necessary to safeguard the interests of the 11352
county or to comply with an agreement entered into under division 11353
(C) of this section.11354

       (B) Upon entering into an agreement under division (A) of 11355
this section, the board shall do all of the following:11356

       (1) Cause the agreement to be recorded in the county deed 11357
records in the office of the county recorder of the county in 11358
which the real property is situated. Failure to record the 11359
agreement does not affect the validity of the agreement or the 11360
collection of any amounts due under the agreement.11361

       (2) Establish by resolution an erosion control repayment fund 11362
into which shall be deposited all amounts collected under division 11363
(B)(3) of this section. Moneys in that fund shall be used by the 11364
board for the repayment of the loan and for administrative or 11365
other costs of the board or the authority as specified in an 11366
agreement entered into under division (C) of this section. If the 11367
amount of money in the fund is inadequate to repay the loan when 11368
due, the board of county commissioners, by resolution, may advance 11369
money from any other fund in order to repay the loan if that use 11370
of the money from the other fund is not in conflict with law. If 11371
the board so advances money in order to repay the loan, the board11372
subsequently shall reimburse each fund from which the board 11373
advances money with moneys from the erosion control repayment 11374
fund.11375

       (3) Bill and collect all amounts when due under the agreement 11376
entered into under division (A) of this section. The board shall 11377
certify amounts not paid when due to the county auditor, who shall 11378
enter the amounts on the real property tax list and duplicate 11379
against the property identified under division (A)(1) of this 11380
section. The amounts not paid when due shall be a lien on that 11381
property from the date on which the amounts are placed on the tax 11382
list and duplicate and shall be collected in the same manner as 11383
other taxes.11384

       (C) A board may apply to the authority for a loan for the 11385
purpose of entering into agreements under division (A) of this 11386
section. The loan shall be for an amount and on the terms 11387
established in an agreement between the board and the authority. 11388
The board may assign any agreements entered into under division 11389
(A) of this section to the authority in order to provide for the 11390
repayment of the loan and may pledge any lawfully available 11391
revenues to the repayment of the loan, provided that no moneys 11392
raised by taxation shall be obligated or pledged by the board for 11393
the repayment of the loan. Any agreement with the authority11394
pursuant to this division is not subject to Chapter 133. of the 11395
Revised Code or any requirements or limitations established in 11396
that chapter.11397

       (D) The authority, as assignee of any agreement pursuant to 11398
division (C) of this section, may enforce and compel the board and 11399
the county auditor by mandamus pursuant to Chapter 2731. of the 11400
Revised Code to comply with division (B) of this section in a 11401
timely manner.11402

       (E) The construction of an erosion control structure by a11403
contractor hired by an individual homeowner, group of individual 11404
homeowners, or homeowners association that enters into an 11405
agreement with a board under division (A) of this section is not a 11406
public improvement, as defined in section 4115.03 of the Revised 11407
Code, and is not subject to competitive bidding or public bond 11408
laws.11409

       Sec. 1521.27.        Sec. 1506.45.  The state, or any county, township,11410
municipal corporation, conservancy district, or park board that 11411
has entered into a contract under section 1521.251506.43 of the 11412
Revised Code, may acquire lands by gift or devise, purchase, or 11413
appropriation. In case of appropriation, the proceedings shall be 11414
instituted in the name of the state or the political subdivision 11415
and shall be conducted in the manner provided for the 11416
appropriation of private property by the state or the political 11417
subdivision insofar as those proceedings are applicable. Either 11418
the fee or any lesser interest may be acquired as the state or the 11419
political subdivision considers advisable.11420

       Sec. 1521.28.        Sec. 1506.46.  Any action taken by the chiefdirector11421
of the division of waternatural resources under sections 1521.2011422
1506.38 to 1521.301506.48 of the Revised Code shall not be deemed 11423
in conflict with certain powers and duties conferred upon and11424
delegated to federal agencies and to municipal corporations under 11425
Section 7 of Article XVIII, Ohio Constitution, or as provided by 11426
sections 721.04 to 721.11 of the Revised Code.11427

       Sec. 1521.29.        Sec. 1506.47.  The chiefdirector of the division of 11428
waternatural resources, in cooperation with appropriate offices 11429
and divisions, including the division of geological survey, may11430
prepare a plan for the management of shore erosion in the state 11431
along Lake Erie, its bays, and associated inlets, revise the plan11432
whenever it can be made more effective, and make the plan 11433
available for public inspection. In the preparation of the plan, 11434
the chiefdirector may employ such existing plans as are 11435
available.11436

       The chiefdirector also may establish a program to provide 11437
technical assistance on shore erosion control measures to 11438
municipal corporations, counties, townships, conservancy 11439
districts, park boards, and shoreline property owners.11440

       Sec. 1521.30.        Sec. 1506.48.  Upon application of any owner of real11441
property damaged or destroyed by shore erosion, the county auditor 11442
of the county in which the real property is situated shall cause a 11443
reappraisal to be made and shall place the property on the tax 11444
list at its true value in money.11445

       Whenever the county auditor finds that ninety per cent or 11446
more of the area of any littoral parcel of land appearing upon the 11447
tax duplicate has been eroded and lies within the natural 11448
boundaries of Lake Erie and that the remainder of the parcel, if 11449
any, has no taxable value, the auditor may certify that finding to 11450
the county board of revision. Upon consideration thereof, the11451
board may authorize removal of the parcel from the tax duplicate 11452
and cancellation of all current and delinquent taxes, assessments, 11453
interest, and penalties charged against the parcel.11454

       Sec. 1506.99.  (A) Whoever violates division (A) of section 11455
1506.09 of the Revised Code shall be fined not less than one 11456
hundred nor more than five hundred dollars for each offense.11457

       (B) Whoever violates division (K) of section 1506.32 of the 11458
Revised Code is guilty of a misdemeanor of the third degree.11459

       (C) Whoever violates sections 1506.38 to 1506.48 of the 11460
Revised Code shall be fined not less than one hundred dollars nor 11461
more than five hundred dollars for each offense. Each day of 11462
violation constitutes a separate offense.11463

       Sec. 1521.01.  As used in sections 1521.01 to 1521.05,and11464
1521.13 to 1521.18, and 1521.20 to 1521.30 of the Revised Code:11465

       (A) "Consumptive use," "diversion," "Lake Erie drainage11466
basin," "other great lakes states and provinces," "water11467
resources," and "waters of the state" have the same meanings as in 11468
section 1501.30 of the Revised Code.11469

       (B) "Well" means any excavation, regardless of design or11470
method of construction, created for any of the following purposes:11471

       (1) Removing ground water from or recharging water into an11472
aquifer, excluding subsurface drainage systems installed to11473
enhance agricultural crop production or urban or suburban11474
landscape management or to control seepage in dams, dikes, and11475
levees;11476

       (2) Determining the quantity, quality, level, or movement of 11477
ground water in or the stratigraphy of an aquifer, excluding11478
borings for instrumentation in dams, dikes, levees, or highway11479
embankments;11480

       (3) Removing or exchanging heat from ground water, excluding 11481
horizontal trenches that are installed for water source heat pump 11482
systems.11483

       (C) "Aquifer" means a consolidated or unconsolidated geologic 11484
formation or series of formations that are hydraulically11485
interconnected and that have the ability to receive, store, or11486
transmit water.11487

       (D) "Ground water" means all water occurring in an aquifer.11488

       (E) "Ground water stress area" means a definable geographic 11489
area in which ground water quantity is being affected by human 11490
activity or natural forces to the extent that continuous11491
availability of supply is jeopardized by withdrawals.11492

       (F) "Person" has the same meaning as in section 1.59 of the 11493
Revised Code and also includes the United States, the state, any 11494
political subdivision of the state, and any department, division, 11495
board, commission, agency, or instrumentality of the United 11496
States, the state, or a political subdivision of the state.11497

       (G) "State agency" or "agency of the state" has the same11498
meaning as "agency" in section 111.15 of the Revised Code.11499

       (H) "Development" means any artificial change to improved or11500
unimproved real estate, including the construction of buildings11501
and other structures, any substantial improvement of a structure, 11502
mining, dredging, filling, grading, paving, excavating, and11503
drilling operations, and storage of equipment or materials.11504

       (I) "Floodplain" means the area adjoining any river, stream, 11505
watercourse, or lake that has been or may be covered by flood 11506
water.11507

       (J) "Floodplain management" means the implementation of an11508
overall program of corrective and preventive measures for reducing 11509
flood damage, including the collection and dissemination of flood 11510
information, construction of flood control works, nonstructural 11511
flood damage reduction techniques, and adoption of rules, 11512
ordinances, or resolutions governing development in floodplains.11513

       (K) "One-hundred-year flood" means a flood having a one per 11514
cent chance of being equaled or exceeded in any given year.11515

       (L) "One-hundred-year floodplain" means that portion of a11516
floodplain inundated by a one-hundred-year flood.11517

       (M) "Structure" means a walled and roofed building,11518
including, without limitation, gas or liquid storage tanks, mobile 11519
homes, and manufactured homes.11520

       (N) "Substantial improvement" means any reconstruction,11521
rehabilitation, addition, or other improvement of a structure, the 11522
cost of which equals or exceeds fifty per cent of the market value 11523
of the structure before the start of construction of the11524
improvement. "Substantial improvement" includes repairs to11525
structures that have incurred substantial damage regardless of the 11526
actual repair work performed. "Substantial improvement" does not 11527
include either of the following:11528

       (1) Any project for the improvement of a structure to correct 11529
existing violations of state or local health, sanitary, or safety 11530
code specifications that have been identified by the state or 11531
local code enforcement official having jurisdiction and that are 11532
the minimum necessary to ensure safe living conditions;11533

       (2) Any alteration of an historic structure designated or11534
listed pursuant to federal or state law, provided that the11535
alteration will not preclude the structure's continued listing or11536
designation as an historic structure.11537

       (O) "Shore structure" includes, but is not limited to: 11538
beaches; groins; revetments; bulkheads; seawalls; breakwaters; 11539
certain dikes designated by the chief of the division of water; 11540
piers; docks; jetties; wharves; marinas; boat ramps; any 11541
associated fill or debris used as part of the construction of 11542
shore structures that may affect shore erosion, wave action, or 11543
inundation; and fill or debris placed along or near the shore, 11544
including bluffs, banks, or beach ridges, for the purpose of 11545
stabilizing slopes.11546

       (P) "Substantial damage" means damage of any origin that is 11547
sustained by a structure if the cost of restoring the structure to 11548
its condition prior to the damage would equal or exceed fifty per 11549
cent of the market value of the structure before the damage 11550
occurred.11551

       (Q)(P) "National flood insurance program" means the national 11552
flood insurance program established in the "National Flood 11553
Insurance Act of 1968," 82 Stat. 572, 42 U.S.C. 4001, as amended, 11554
and regulations adopted under it.11555

       (R)(Q) "Conservancy district" means a conservancy district11556
established under Chapter 6101. of the Revised Code.11557

       (S) "Park board" means the board of park commissioners of a 11558
park district created under Chapter 1545. of the Revised Code.11559

       (T) "Erosion control structure" means anything that is 11560
designed primarily to reduce or control erosion of the shore along 11561
or near lake erie, including, but not limited to, revetments, 11562
seawalls, bulkheads, certain breakwaters designated by the chief, 11563
and similar structures. "Erosion control structure" does not 11564
include wharves, piers, docks, marinas, boat ramps, and other 11565
similar structures.11566

       Sec. 1521.99.  (A) Whoever violates division (E)(1) of 11567
section 1521.05 or division (E)(1) of section 1521.16 of the 11568
Revised Code is guilty of a misdemeanor of the fourth degree.11569

       (B) Whoever violates section 1521.06 or 1521.062 of the 11570
Revised Code shall be fined not less than one hundred dollars nor 11571
more than one thousand dollars for each offense. Each day of 11572
violation constitutes a separate offense.11573

       (C) Whoever violates sections 1521.20 to 1521.30 of the11574
Revised Code shall be fined not less than one hundred dollars nor 11575
more than one thousand dollars for each offense. Each day of11576
violation constitutes a separate offense.11577

       Sec. 1531.06.  (A) The chief of the division of wildlife,11578
with the approval of the director of natural resources, may11579
acquire by gift, lease, purchase, or otherwise lands or surface11580
rights upon lands and waters or surface rights upon waters for11581
wild animals, fish or game management, preservation, propagation,11582
and protection, outdoor and nature activities, public fishing and11583
hunting grounds, and flora and fauna preservation. The chief, with 11584
the approval of the director, may receive by grant, devise,11585
bequest, donation, or assignment evidences of indebtedness, the11586
proceeds of which are to be used for the purchase of such lands or11587
surface rights upon lands and waters or surface rights upon11588
waters.11589

       (B)(1) The chief shall adopt rules for the protection of11590
state-owned or leased lands and waters and property under the11591
division's control against wrongful use or occupancy that will11592
ensure the carrying out of the intent of this section, protect11593
those lands, waters, and property from depredations, and preserve11594
them from molestation, spoilation, destruction, or any improper11595
use or occupancy thereof, including rules with respect to11596
recreational activities and for the government and use of such11597
lands, waters, and property.11598

       (2) The chief may adopt rules benefiting wild animals, fish11599
or game management, preservation, propagation, and protection,11600
outdoor and nature activities, public fishing and hunting grounds,11601
and flora and fauna preservation, and regulating the taking and11602
possession of wild animals on any lands or waters owned or leased11603
or under the division's supervision and control and, for a11604
specified period of years, may prohibit or recall the taking and11605
possession of any wild animal on any portion of such lands or11606
waters. The division clearly shall define and mark the boundaries11607
of the lands and waters owned or leased or under its supervision11608
and control upon which the taking of any wild animal is11609
prohibited.11610

       (C) The chief, with the approval of the director, may acquire11611
by gift, lease, or purchase land for the purpose of establishing11612
state fish hatcheries and game farms and may erect on it buildings 11613
or structures that are necessary.11614

       The title to or lease of such lands and waters shall be taken11615
by the chief in the name of the state. The lease or purchase price 11616
of all such lands and waters may be paid from hunting and trapping 11617
and fishing licenses and any other funds.11618

       (D) To provide more public recreation, stream and lake11619
agreements for public fishing only may be obtained under rules11620
adopted by the chief.11621

       (E) The chief, with the approval of the director, may11622
establish user fees for the use of special public facilities or11623
participation in special activities on lands and waters11624
administered by the division. The special facilities and11625
activities may include hunting or fishing on special designated11626
public lands and waters intensively managed or stocked with11627
artificially propagated game birds or fish, field trial11628
facilities, wildlife nature centers, firearm ranges, boat mooring11629
facilities, camping sites, and other similar special facilities11630
and activities. The chief shall determine whether the user fees11631
are refundable and shall ensure that that information is provided11632
at the time the user fees are paid.11633

       (F) The chief, with the approval of the director, may enter11634
into lease agreements for rental of concessions or other special11635
projects situated on state-owned or leased lands or waters or11636
other property under the division's control. The chief shall set11637
and collect the fees for concession rentals or other special11638
projects; regulate through contracts between the division and11639
concessionaires the sale of tangible objects at concessions or11640
other special projects; and keep a record of all such fee payments11641
showing the amount received, from whom received, and for what11642
purpose the fee was collected.11643

       (G) The chief may sell or donate conservation-related items11644
or items that promote wildlife conservation, including, but not11645
limited to, stamps, pins, badges, books, bulletins, maps,11646
publications, calendars, and any other educational article or11647
artifact pertaining to wild animals; sell confiscated or forfeited11648
items; and sell surplus structures and equipment, and timber or11649
crops from lands owned, administered, leased, or controlled by the11650
division. The chief, with the approval of the director, also may 11651
engage in campaigns and special events that promote wildlife 11652
conservation by selling or donating wildlife-related materials, 11653
memberships, and other items of promotional value.11654

       (H) The chief may sell, lease, or transfer minerals or11655
mineral rights, with the approval of the director, when the chief11656
and the director determine it to be in the best interest of the11657
state. Upon approval of the director, the chief may make, execute, 11658
and deliver contracts, including leases, to mine, drill, or 11659
excavate iron ore, stone, coal, petroleum, gas, salt, and other11660
minerals upon and under lands owned by the state and administered11661
by the division to any person who complies with the terms of such11662
a contract. No such contract shall be valid for more than fifty11663
years from its effective date. Consideration for minerals and11664
mineral rights shall be by rental or royalty basis as prescribed11665
by the chief and payable as prescribed by contract. Moneys11666
collected under this division shall be paid into the state11667
treasury to the credit of the wildlife habitat fund created in11668
section 1531.33 of the Revised Code. Contracts entered into under11669
this division also may provide for consideration for minerals or11670
mineral rights in the form of acquisition of lands as provided11671
under divisions (A) and (C) of this section.11672

       (I) All moneys received under divisions (E), (F), and (G) of11673
this section shall be paid into the state treasury to the credit11674
of a fund that shall be used for the purposes outlined in section11675
1533.15 of the Revised Code and for the management of other wild11676
animals for their ecological and nonconsumptive recreational value11677
or benefit.11678

       (J) The chief, with the approval of the director, may barter11679
or sell wild animals to other states, state or federal agencies,11680
and conservation or zoological organizations. Moneys received from 11681
the sale of wild animals shall be deposited into the wild animal 11682
fund created in section 1531.34 of the Revised Code.11683

       (K) The chief shall adopt rules establishing standards and11684
guidelines for the administration of contraceptive chemicals to11685
noncaptive wild animals. The rules may specify chemical delivery11686
methods and devices and monitoring requirements.11687

       The chief shall establish criteria for the issuance of and11688
shall issue permits for the administration of contraceptive11689
chemicals to noncaptive wild animals. No person shall administer11690
contraceptive chemicals to noncaptive wild animals without a11691
permit issued by the chief.11692

       (L) All fees set by the chief under this section shall be11693
approved by the wildlife council.11694

       Sec. 1531.35.  The wildlife boater angler fund is hereby11695
created in the state treasury. The fund shall consist of money11696
credited to the fund pursuant to section 5735.051 of the Revised11697
Code and other money contributed to the division of wildlife for11698
the purposes of the fund. The fund shall be used for boating11699
access construction, improvements, and maintenance, and to pay for 11700
equipment and personnel costs involved with those activities, on 11701
lakes on which the operation of gasoline-powered watercraft is11702
permissible. However, not more than two hundred thousand dollars 11703
of the annual expenditures from the fund may be used to pay for 11704
the equipment and personnel costs.11705

       Sec. 1548.06.  (A)(1) Application for a certificate of title 11706
for a watercraft or outboard motor shall be made upon a form 11707
prescribed by the chief of the division of watercraft and shall be 11708
sworn to before a notary public or other officer empowered to 11709
administer oaths. The application shall be filed with the clerk of 11710
any court of common pleas. An application for a certificate of 11711
title may be filed electronically by any electronic means approved 11712
by the chief in any county with the clerk of the court of common11713
pleas of that county. The application shall be accompanied by the 11714
fee prescribed in section 1548.10 of the Revised Code. The fee 11715
shall be retained by the clerk who issues the certificate of title 11716
and shall be distributed in accordance with that section. If a 11717
clerk of a court of common pleas, other than the clerk of the 11718
court of common pleas of an applicant's county of residence,11719
issues a certificate of title to the applicant, the clerk shall11720
transmit data related to the transaction to the automated title11721
processing system.11722

       (2) If a certificate of title previously has been issued for 11723
the watercraft or outboard motor, the application for a11724
certificate of title also shall be accompanied by the certificate11725
of title duly assigned unless otherwise provided in this chapter. 11726
If a certificate of title previously has not been issued for the 11727
watercraft or outboard motor in this state, the application, 11728
unless otherwise provided in this chapter, shall be accompanied by 11729
a manufacturer's or importer's certificate; by a sworn statement 11730
of ownership if the watercraft or outboard motor was purchased by 11731
the applicant on or before October 9, 1963, or if the watercraft 11732
is less than fourteen feet long with a permanently affixed 11733
mechanical means of propulsion and was purchased by the applicant 11734
on or before January 1, 2000; or by a certificate of title, bill 11735
of sale, or other evidence of ownership required by the law of 11736
another state from which the watercraft or outboard motor was 11737
brought into this state. Evidence of ownership of a watercraft or 11738
outboard motor for which an Ohio certificate of title previously 11739
has not been issued and which watercraft or outboard motor does 11740
not have permanently affixed to it a manufacturer's serial number11741
shall be accompanied by the certificate of assignment of a hull 11742
identification number assigned by the chief as provided in section 11743
1548.07 of the Revised Code.11744

       (3) The clerk shall retain the evidence of title presented by11745
the applicant and on which the certificate of title is issued,11746
except that, if an application for a certificate of title is filed11747
electronically, by a vendor on behalf of a purchaser of a11748
watercraft or outboard motor, the clerk shall retain the completed11749
electronic record to which the vendor converted the certificate of11750
title application and other required documents. The chief, after 11751
consultation with the attorney general, shall adopt rules that 11752
govern the location at which, and the manner in which, are stored 11753
the actual application and all other documents relating to the 11754
sale of a watercraft or outboard motor when a vendor files the11755
application for a certificate of title electronically on behalf of11756
a purchaser.11757

       (B) The clerk shall use reasonable diligence in ascertaining11758
whether the facts in the application are true by checking the11759
application and documents accompanying it or the electronic record 11760
to which a vendor converted the application and accompanying 11761
documents with the records of watercraft and outboard motors in 11762
the clerk's office. If the clerk is satisfied that the applicant 11763
is the owner of the watercraft or outboard motor and that the 11764
application is in the proper form, the clerk shall issue a11765
physical certificate of title over the clerk's signature and 11766
sealed with the clerk's seal unless the applicant specifically 11767
requests the clerk not to issue a physical certificate of title 11768
and instead to issue an electronic certificate of title. However, 11769
if the evidence indicates and an investigation shows that one or 11770
more Ohio titles already exist for the watercraft or outboard 11771
motor, the chief may cause the redundant title or titles to be 11772
canceled.11773

       (C) In the case of the sale of a watercraft or outboard motor 11774
by a vendor to a general purchaser or user, the certificate of 11775
title shall be obtained in the name of the purchaser by the vendor 11776
upon application signed by the purchaser. In all other cases, the 11777
certificate shall be obtained by the purchaser. In all cases of 11778
transfer of watercraft or outboard motors, the application for 11779
certificate of title shall be filed within thirty days after the 11780
later of the date of purchase or assignment of ownership of the 11781
watercraft or outboard motor. If the application for certificate 11782
of title is not filed within thirty days after the later of the 11783
date of purchase or assignment of ownership of the watercraft or 11784
outboard motor, the clerk shall charge a late penalty fee of five 11785
dollars in addition to the fee prescribed by section 1548.10 of 11786
the Revised Code. The clerk shall retain the entire amount of each 11787
late penalty fee.11788

       (D) The clerk shall refuse to accept an application for 11789
certificate of title unless the applicant either tenders with the 11790
application payment of all taxes levied by or pursuant to Chapter 11791
5739. or 5741. of the Revised Code based on the applicant's county 11792
of residence less, in the case of a sale by a vendor, any discount 11793
to which the vendor is entitled under section 5739.12 of the 11794
Revised Code, or submits any of the following:11795

       (1) A receipt issued by the tax commissioner or a clerk of 11796
courts showing payment of the tax;11797

       (2) A copy of the unit certificate of exemption completed by 11798
the purchaser at the time of sale as provided in section 5739.03 11799
of the Revised Code;11800

       (3) An exemption certificate, in a form prescribed by the tax 11801
commissioner, that specifies why the purchase is not subject to 11802
the tax imposed by Chapter 5739. or 5741. of the Revised Code.11803

       Payment of the tax shall be in accordance with rules issued 11804
by the tax commissioner, and the clerk shall issue a receipt in 11805
the form prescribed by the tax commissioner to any applicant who 11806
tenders payment of the tax with the application for the11807
certificate of title.11808

       (E)(1) For receiving and disbursing the taxes paid to the 11809
clerk by a resident of the clerk's county, the clerk may retain a 11810
poundage fee of one and one one-hundredth per cent of the taxes 11811
collected, which shall be paid into the certificate of title 11812
administration fund created by section 325.33 of the Revised Code. 11813
The clerk shall not retain a poundage fee from payments of taxes 11814
by persons who do not reside in the clerk's county.11815

       (2) A clerk, however, may retain from the taxes paid to the11816
clerk an amount equal to the poundage fees associated with11817
certificates of title issued by other clerks of courts of common11818
pleas to applicants who reside in the first clerk's county. The11819
chief of the division of watercraft, in consultation with the tax11820
commissioner and the clerks of the courts of common pleas, shall11821
develop a report from the automated title processing system that11822
informs each clerk of the amount of the poundage fees that the11823
clerk is permitted to retain from those taxes because of11824
certificates of title issued by the clerks of other counties to11825
applicants who reside in the first clerk's county.11826

       (F) In the case of casual sales of watercraft or outboard 11827
motors that are subject to the tax imposed by Chapter 5739. or 11828
5741. of the Revised Code, the purchase price for the purpose of 11829
determining the tax shall be the purchase price on an affidavit 11830
executed and filed with the clerk by the vendor on a form to be 11831
prescribed by the chief, which shall be prima-facie evidence of 11832
the price for the determination of the tax. In addition to the 11833
information required by section 1548.08 of the Revised Code, each 11834
certificate of title shall contain in bold lettering the following 11835
notification and statements: "WARNING TO TRANSFEROR AND TRANSFEREE 11836
(SELLER AND BUYER). You are required by law to state the true 11837
selling price. A false statement is a violation of section 2921.13 11838
of the Revised Code and is punishable by six months imprisonment 11839
or a fine of up to one thousand dollars, or both. All transfers 11840
are audited by the department of taxation. The seller and buyer 11841
must provide any information requested by the department of 11842
taxation. The buyer may be assessed any additional tax found to be 11843
due."11844

        (G) Each county clerk of courts shall forward to the 11845
treasurer of state all sales and use tax collections resulting 11846
from sales of titled watercraft and outboard motors during a 11847
calendar week on or before the Friday following the close of that 11848
week. If, on any Friday, the offices of the clerk of courts or the 11849
state are not open for business, the tax shall be forwarded to the 11850
treasurer of state on or before the next day on which the offices 11851
are open. Every remittance of tax under this division shall be 11852
accompanied by a remittance report in such form as the tax 11853
commissioner prescribes. Upon receipt of a tax remittance and 11854
remittance report, the treasurer of state shall date stamp the 11855
report and forward it to the tax commissioner. If the tax due for 11856
any week is not remitted by a clerk of courts as required under 11857
this division, the clerk shall forfeit the poundage fees for the 11858
sales made during that week. The treasurer of state may require 11859
the clerks of courts to transmit tax collections and remittance 11860
reports electronically.11861

       (H) For purposes of a transfer of a certificate of title, if 11862
the clerk is satisfied that a secured party has discharged a lien 11863
but has not canceled the lien notation with a clerk, the clerk may 11864
cancel the lien notation on the automated title processing system 11865
and notify the clerk of the county of origin.11866

       (I) Every clerk shall have the capability to transact by 11867
electronic means all procedures and transactions relating to the 11868
issuance of watercraft or outboard motor certificates of title 11869
that are described in the Revised Code as being accomplished by 11870
electronic means.11871

       Sec. 1555.08.  (A) Subject to the limitations provided in11872
Section 15 of Article VIII, Ohio Constitution, the commissioners11873
of the sinking fund, upon certification by the director of the11874
Ohio coal development office of the amount of moneys or additional 11875
moneys needed in the coal research and development fund for the 11876
purpose of making grants or loans for allowable costs, or needed 11877
for capitalized interest, for funding reserves, and for paying 11878
costs and expenses incurred in connection with the issuance, 11879
carrying, securing, paying, redeeming, or retirement of the 11880
obligations or any obligations refunded thereby, including payment 11881
of costs and expenses relating to letters of credit, lines of 11882
credit, insurance, put agreements, standby purchase agreements, 11883
indexing, marketing, remarketing and administrative arrangements, 11884
interest swap or hedging agreements, and any other credit 11885
enhancement, liquidity, remarketing, renewal, or refunding11886
arrangements, all of which are authorized by this section, or11887
providing moneys for loan guarantees, shall issue obligations of11888
the state under this section in amounts authorized by the general11889
assembly; provided that such obligations may be issued to the11890
extent necessary to satisfy the covenants in contracts of11891
guarantee made under section 1555.05 of the Revised Code to issue11892
obligations to meet such guarantees, notwithstanding limitations11893
otherwise applicable to the issuance of obligations under this11894
section except the one-hundred-million-dollar limitation provided11895
in Section 15 of Article VIII, Ohio Constitution. The proceeds of 11896
such obligations, except for the portion to be deposited in the 11897
coal research and development bond service fund as may be provided 11898
in the bond proceedings, shall as provided in the bond proceedings 11899
be deposited in the coal research and development fund. The 11900
commissioners of the sinking fund may appoint trustees, paying 11901
agents, and transfer agents and may retain the services of 11902
financial advisors, accounting experts, and attorneys, and retain 11903
or contract for the services of marketing, remarketing, indexing, 11904
and administrative agents, other consultants, and independent 11905
contractors, including printing services, as are necessary in 11906
their judgment to carry out this section.11907

       (B) The full faith and credit of the state of Ohio is hereby 11908
pledged to obligations issued under this section. The right of the 11909
holders and owners to payment of bond service charges is limited 11910
to all or that portion of the moneys pledged thereto pursuant to 11911
the bond proceedings in accordance with this section, and each 11912
such obligation shall bear on its face a statement to that effect.11913

       (C) Obligations shall be authorized by resolution of the11914
commissioners of the sinking fund on request of the director of11915
the Ohio coal development office as provided in section 1555.02 of 11916
the Revised Code and the bond proceedings shall provide for the 11917
purpose thereof and the principal amount or amounts, and shall 11918
provide for or authorize the manner or agency for determining the 11919
principal maturity or maturities, not exceeding forty years from 11920
the date of issuance, the interest rate or rates or the maximum 11921
interest rate, the date of the obligations and the dates of 11922
payment of interest thereon, their denomination, and the11923
establishment within or without the state of a place or places of11924
payment of bond service charges. Sections 9.98 to 9.983 of the11925
Revised Code apply to obligations issued under this section. The 11926
purpose of such obligations may be stated in the bond proceedings 11927
in terms describing the general purpose or purposes to be served. 11928
The bond proceedings shall also provide, subject to the provisions 11929
of any other applicable bond proceedings, for the pledge of all, 11930
or such part as the commissioners of the sinking fund may 11931
determine, of the moneys credited to the coal research and 11932
development bond service fund to the payment of bond service 11933
charges, which pledges may be made either prior or subordinate to 11934
other expenses, claims, or payments and may be made to secure the 11935
obligations on a parity with obligations theretofore or thereafter 11936
issued, if and to the extent provided in the bond proceedings. The 11937
moneys so pledged and thereafter received by the state are 11938
immediately subject to the lien of such pledge without any 11939
physical delivery thereof or further act, and the lien of any such 11940
pledges is valid and binding against all parties having claims of 11941
any kind against the state or any governmental agency of the 11942
state, irrespective of whether such parties have notice thereof, 11943
and shall create a perfected security interest for all purposes of 11944
Chapter 1309. of the Revised Code, without the necessity for 11945
separation or delivery of funds or for the filing or recording of 11946
the bond proceedings by which such pledge is created or any 11947
certificate, statement or other document with respect thereto; and 11948
the pledge of such moneys is effective and the money therefrom and 11949
thereof may be applied to the purposes for which pledged without11950
necessity for any act of appropriation. Every pledge, and every11951
covenant and agreement made with respect thereto, made in the bond 11952
proceedings may therein be extended to the benefit of the owners 11953
and holders of obligations authorized by this section, and to any 11954
trustee therefor, for the further security of the payment of the 11955
bond service charges.11956

       (D) The bond proceedings may contain additional provisions as 11957
to:11958

       (1) The redemption of obligations prior to maturity at the11959
option of the commissioners of the sinking fund at such price or11960
prices and under such terms and conditions as are provided in the11961
bond proceedings;11962

       (2) Other terms of the obligations;11963

       (3) Limitations on the issuance of additional obligations;11964

       (4) The terms of any trust agreement or indenture securing11965
the obligations or under which the obligations may be issued;11966

       (5) The deposit, investment, and application of the coal11967
research and development bond service fund, and the safeguarding11968
of moneys on hand or on deposit, without regard to Chapter 131. or 11969
135. of the Revised Code, but subject to any special provisions of 11970
this chapter, with respect to particular moneys; provided, that 11971
any bank or trust company which acts as depository of any moneys 11972
in the fund may furnish such indemnifying bonds or may pledge such 11973
securities as required by the commissioners of the sinking fund;11974

       (6) Any other provision of the bond proceedings being binding 11975
upon the commissioners of the sinking fund, or such other body or 11976
person as may from time to time have the authority under law to 11977
take such actions as may be necessary to perform all or any part 11978
of the duty required by such provision;11979

       (7) Any provision which may be made in a trust agreement or 11980
indenture;11981

       (8) Any other or additional agreements with the holders of11982
the obligations, or the trustee therefor, relating to the11983
obligations or the security therefor, including the assignment of11984
mortgages or other security obtained or to be obtained for loans11985
under this chapter.11986

       (E) The obligations may have the great seal of the state or a 11987
facsimile thereof affixed thereto or printed thereon. The11988
obligations shall be signed by such members of the commissioners11989
of the sinking fund as are designated in the resolution11990
authorizing the obligations or bear the facsimile signatures of11991
such members. Any coupons attached to the obligations shall bear11992
the facsimile signature of the treasurer of state. Any obligations 11993
may be executed by the persons who, on the date of execution, are 11994
the commissioners although on the date of such bonds the persons 11995
were not the commissioners. Any coupons may be executed by the 11996
person who, on the date of execution, is the treasurer of state 11997
although on the date of such coupons the person was not the 11998
treasurer of state. In case any officer or commissioner whose 11999
signature or a facsimile of whose signature appears on any such 12000
obligations or any coupons ceases to be such officer or 12001
commissioner before delivery thereof, such signature or facsimile 12002
is nevertheless valid and sufficient for all purposes as if the 12003
individual had remained such officer or commissioner until such 12004
delivery; and in case the seal to be affixed to obligations has 12005
been changed after a facsimile of the seal has been imprinted on 12006
such obligations, such facsimile seal shall continue to be12007
sufficient as to such obligations and obligations issued in12008
substitution or exchange therefor.12009

       (F) All obligations except loan guarantees are negotiable12010
instruments and securities under Chapter 1308. of the Revised12011
Code, subject to the provisions of the bond proceedings as to12012
registration. The obligations may be issued in coupon or in12013
registered form, or both, as the commissioners of the sinking fund 12014
determine. Provision may be made for the registration of any 12015
obligations with coupons attached thereto as to principal alone or 12016
as to both principal and interest, their exchange for obligations 12017
so registered, and for the conversion or reconversion into 12018
obligations with coupons attached thereto of any obligations12019
registered as to both principal and interest, and for reasonable12020
charges for such registration, exchange, conversion, and12021
reconversion.12022

       (G) Obligations may be sold at public sale or at private12023
sale, as determined in the bond proceedings.12024

       (H) Pending preparation of definitive obligations, the12025
commissioners of the sinking fund may issue interim receipts or12026
certificates which shall be exchanged for such definitive12027
obligations.12028

       (I) In the discretion of the commissioners of the sinking12029
fund, obligations may be secured additionally by a trust agreement 12030
or indenture between the commissioners and a corporate trustee, 12031
which may be any trust company or bank having its principala12032
place of business within the state. Any such agreement or 12033
indenture may contain the resolution authorizing the issuance of 12034
the obligations, any provisions that may be contained in any bond 12035
proceedings, and other provisions that are customary or12036
appropriate in an agreement or indenture of such type, including,12037
but not limited to:12038

       (1) Maintenance of each pledge, trust agreement, indenture, 12039
or other instrument comprising part of the bond proceedings until 12040
the state has fully paid the bond service charges on the 12041
obligations secured thereby, or provision therefor has been made;12042

       (2) In the event of default in any payments required to be12043
made by the bond proceedings, or any other agreement of the12044
commissioners of the sinking fund made as a part of the contract12045
under which the obligations were issued, enforcement of such12046
payments or agreement by mandamus, the appointment of a receiver,12047
suit in equity, action at law, or any combination of the12048
foregoing;12049

       (3) The rights and remedies of the holders of obligations and 12050
of the trustee, and provisions for protecting and enforcing them, 12051
including limitations on rights of individual holders of12052
obligations;12053

       (4) The replacement of any obligations that become mutilated 12054
or are destroyed, lost, or stolen;12055

       (5) Such other provisions as the trustee and the12056
commissioners of the sinking fund agree upon, including12057
limitations, conditions, or qualifications relating to any of the12058
foregoing.12059

       (J) Any holder of obligations or a trustee under the bond12060
proceedings, except to the extent that the holder's rights are 12061
restricted by the bond proceedings, may by any suitable form of 12062
legal proceedings protect and enforce any rights under the laws of 12063
this state or granted by such bond proceedings. Such rights 12064
include the right to compel the performance of all duties of the12065
commissioners of the sinking fund, the Ohio air quality 12066
development authority, or the Ohio coal development office 12067
required by this chapter and Chapter 1551. of the Revised Code or 12068
the bond proceedings; to enjoin unlawful activities; and in the 12069
event of default with respect to the payment of any bond service 12070
charges on any obligations or in the performance of any covenant 12071
or agreement on the part of the commissioners, the authority, or 12072
the office in the bond proceedings, to apply to a court having 12073
jurisdiction of the cause to appoint a receiver to receive and 12074
administer the moneys pledged, other than those in the custody of 12075
the treasurer of state, that are pledged to the payment of the 12076
bond service charges on such obligations or that are the subject 12077
of the covenant or agreement, with full power to pay, and to 12078
provide for payment of bond service charges on, such obligations, 12079
and with such powers, subject to the direction of the court, as 12080
are accorded receivers in general equity cases, excluding any 12081
power to pledge additional revenues or receipts or other income or12082
moneys of the commissioners of the sinking fund or the state or12083
governmental agencies of the state to the payment of such12084
principal and interest and excluding the power to take possession12085
of, mortgage, or cause the sale or otherwise dispose of any12086
project.12087

       Each duty of the commissioners of the sinking fund and their 12088
employees, and of each governmental agency and its officers, 12089
members, or employees, undertaken pursuant to the bond proceedings 12090
or any grant, loan, or loan guarantee agreement made under 12091
authority of this chapter, and in every agreement by or with the 12092
commissioners, is hereby established as a duty of the12093
commissioners, and of each such officer, member, or employee12094
having authority to perform such duty, specifically enjoined by12095
the law resulting from an office, trust, or station within the12096
meaning of section 2731.01 of the Revised Code.12097

       The persons who are at the time the commissioners of the12098
sinking fund, or their employees, are not liable in their personal 12099
capacities on any obligations issued by the commissioners or any 12100
agreements of or with the commissioners.12101

       (K) Obligations issued under this section are lawful12102
investments for banks, societies for savings, savings and loan12103
associations, deposit guarantee associations, trust companies,12104
trustees, fiduciaries, insurance companies, including domestic for 12105
life and domestic not for life, trustees or other officers having 12106
charge of sinking and bond retirement or other special funds of 12107
political subdivisions and taxing districts of this state, the 12108
commissioners of the sinking fund of the state, the administrator 12109
of workers' compensation, the state teachers retirement system, 12110
the public employees retirement system, the school employees 12111
retirement system, and the Ohio police and fire pension fund, 12112
notwithstanding any other provisions of the Revised Code or rules 12113
adopted pursuant thereto by any governmental agency of the state 12114
with respect to investments by them, and are also acceptable as 12115
security for the deposit of public moneys.12116

       (L) If the law or the instrument creating a trust pursuant to 12117
division (I) of this section expressly permits investment in12118
direct obligations of the United States or an agency of the United 12119
States, unless expressly prohibited by the instrument, such moneys 12120
also may be invested in no-front-end-load money market mutual 12121
funds consisting exclusively of obligations of the United States 12122
or an agency of the United States and in repurchase agreements, 12123
including those issued by the fiduciary itself, secured by 12124
obligations of the United States or an agency of the United12125
States; and in collective investment funds established in 12126
accordance with section 1111.14 of the Revised Code and consisting 12127
exclusively of any such securities, notwithstanding division 12128
(A)(1)(c) of that section. The income from such investments shall 12129
be credited to such funds as the commissioners of the sinking fund 12130
determine, and such investments may be sold at such times as the 12131
commissioners determine or authorize.12132

       (M) Provision may be made in the applicable bond proceedings 12133
for the establishment of separate accounts in the bond service 12134
fund and for the application of such accounts only to the 12135
specified bond service charges on obligations pertinent to such 12136
accounts and bond service fund and for other accounts therein 12137
within the general purposes of such fund. Moneys to the credit of 12138
the bond service fund shall be disbursed on the order of the 12139
treasurer of state; provided, that no such order is required for 12140
the payment from the bond service fund when due of bond service 12141
charges on obligations.12142

       (N) The commissioners of the sinking fund may pledge all, or 12143
such portion as they determine, of the receipts of the bond12144
service fund to the payment of bond service charges on obligations 12145
issued under this section, and for the establishment and 12146
maintenance of any reserves, as provided in the bond proceedings, 12147
and make other provisions therein with respect to pledged receipts 12148
as authorized by this chapter, which provisions control 12149
notwithstanding any other provisions of law pertaining thereto.12150

       (O) The commissioners of the sinking fund may covenant in the 12151
bond proceedings, and any such covenants control notwithstanding 12152
any other provision of law, that the state and applicable officers 12153
and governmental agencies of the state, including the general 12154
assembly, so long as any obligations are outstanding, shall:12155

       (1) Maintain statutory authority for and cause to be levied 12156
and collected taxes so that the pledged receipts are sufficient in 12157
amount to meet bond service charges, and the establishment and 12158
maintenance of any reserves and other requirements provided for in 12159
the bond proceedings, and, as necessary, to meet covenants 12160
contained in any loan guarantees made under this chapter;12161

       (2) Take or permit no action, by statute or otherwise, that 12162
would impair the exemption from federal income taxation of the 12163
interest on the obligations.12164

       (P) All moneys received by or on account of the state and 12165
required by the applicable bond proceedings, consistent with this 12166
section, to be deposited, transferred, or credited to the coal 12167
research and development bond service fund, and all other moneys 12168
transferred or allocated to or received for the purposes of the 12169
fund, shall be credited to such fund and to any separate accounts 12170
therein, subject to applicable provisions of the bond proceedings, 12171
but without necessity for any act of appropriation. During the 12172
period beginning with the date of the first issuance of 12173
obligations and continuing during such time as any such12174
obligations are outstanding, and so long as moneys in the bond12175
service fund are insufficient to pay all bond service charges on12176
such obligations becoming due in each year, a sufficient amount of 12177
moneys of the state are committed and shall be paid to the bond12178
service fund in each year for the purpose of paying the bond12179
service charges becoming due in that year without necessity for12180
further act of appropriation for such purpose. The bond service12181
fund is a trust fund and is hereby pledged to the payment of bond12182
service charges to the extent provided in the applicable bond12183
proceedings, and payment thereof from such fund shall be made or12184
provided for by the treasurer of state in accordance with such12185
bond proceedings without necessity for any act of appropriation.12186
All investment earnings of the fund shall be credited to the fund.12187

       (Q) For purposes of establishing the limitations contained in 12188
Section 15 of Article VIII, Ohio Constitution, the "principal12189
amount" refers to the aggregate of the offering price of the bonds 12190
or notes. "Principal amount" does not refer to the aggregate value 12191
at maturity or redemption of the bonds or notes.12192

       (R) This section applies only with respect to obligations 12193
issued and delivered prior to September 30, 2000.12194

       Sec. 1557.03.  (A)(1) The commissioners of the sinking fund 12195
are authorized to issue and sell, as provided in this section and 12196
in amounts from time to time authorized by the general assembly, 12197
general obligations of this state for the purpose of financing or 12198
assisting in the financing of the costs of projects. The full 12199
faith and credit, revenues, and taxing power of the state are and 12200
shall be pledged to the timely payment of debt charges on 12201
outstanding obligations, all in accordance with Section 2l of 12202
Article VIII, Ohio Constitution, and Chapter 1557. of the Revised12203
Code, excluding from that pledge fees, excises, or taxes relating 12204
to the registration, operation, or use of vehicles on the public 12205
highways, or to fuels used for propelling those vehicles, and so 12206
long as such obligations are outstanding there shall be levied and 12207
collected excises and taxes, excluding those excepted above, in 12208
amount sufficient to pay the debt charges on such obligations and12209
financing costs relating to credit enhancement facilities.12210

       (2) For meetings of the commissioners of the sinking fund12211
pertaining to the obligations under this chapter, each of the12212
commissioners may designate an employee or officer of that12213
commissioner's office to attend meetings when that commissioner is 12214
absent for any reason, and such designee, when present, shall be 12215
counted in determining whether a quorum is present at any meeting 12216
and may vote and participate in all proceedings and actions of the 12217
commissioners at that meeting pertaining to the obligations, 12218
provided, that such designee shall not execute or cause a 12219
facsimile of the designee's signature to be placed on any12220
obligation, or execute any trust agreement or indenture of the12221
commissioners. Such designation shall be in writing, executed by12222
the designating member, and shall be filed with the secretary of12223
the commissioners and such designation may be changed from time to 12224
time by a similar written designation.12225

       (B) The total principal amount of obligations outstanding at 12226
any one time shall not exceed two hundred million dollars, and not 12227
more than fifty million dollars in principal amount of obligations 12228
to pay costs of projects may be issued in any fiscal year, all 12229
determined as provided in Chapter 1557. of the Revised Code.12230

       (C) The state may participate by grants or contributions in 12231
financing projects under this section made by local government12232
entities. Of the proceeds of the first two hundred million dollars 12233
principal amount in obligations issued under this section to pay 12234
costs of projects, at least twenty per cent shall be allocated in 12235
accordance with section 1557.06 of the Revised Code to grants or 12236
contributions to local government entities. The director of budget 12237
and management shall establish and maintain records in such manner 12238
as to show that the proceeds credited to the Ohio parks and 12239
natural resources fund have been expended for the purposes and in 12240
accordance with the limitations set forth herein.12241

       (D) Each issue of obligations shall be authorized by12242
resolution of the commissioners of the sinking fund. The bond12243
proceedings shall provide for the principal amount or maximum12244
principal amount of obligations of an issue, and shall provide for 12245
or authorize the manner or agency for determining the principal 12246
maturity or maturities, not exceeding the earlier of twenty-five 12247
years from the date the debt represented by the particular 12248
obligations was originally contracted, the interest rate or rates, 12249
the date of and the dates of payment of interest on the 12250
obligations, their denominations, and the establishment within or 12251
without the state of a place or places of payment of debt charges. 12252
Sections 9.96 and 9.98 to 9.983 of the Revised Code are applicable 12253
to the obligations. The purpose of the obligations may be stated 12254
in the bond proceedings as "financing or assisting in the 12255
financing of projects as provided in Section 2l of Article VIII, 12256
Ohio Constitution."12257

       (E) The proceeds of the obligations, except for any portion 12258
to be deposited in special funds, or in escrow funds for the 12259
purpose of refunding outstanding obligations, all as may be12260
provided in the bond proceedings, shall be deposited in the Ohio12261
parks and natural resources fund established by section 1557.02 of 12262
the Revised Code.12263

       (F) The commissioners of the sinking fund may appoint paying 12264
agents, bond registrars, securities depositories, and transfer 12265
agents, and may retain the services of financial advisers and 12266
accounting experts, and retain or contract for the services of 12267
marketing, remarketing, indexing, and administrative agents, other 12268
consultants, and independent contractors, including printing 12269
services, as are necessary in the judgment of the commissioners to 12270
carry out this chapter of the Revised Code. Financing costs are 12271
payable, as provided in the bond proceedings, from the proceeds of 12272
the obligations, from special funds, or from other moneys 12273
available for the purpose.12274

       (G) The bond proceedings, including any trust agreement, may 12275
contain additional provisions customary or appropriate to the12276
financing or to the obligations or to particular obligations,12277
including, but not limited to:12278

       (1) The redemption of obligations prior to maturity at the12279
option of the state or of the holder or upon the occurrence of12280
certain conditions at such price or prices and under such terms12281
and conditions as are provided in the bond proceedings;12282

       (2) The form of and other terms of the obligations;12283

       (3) The establishment, deposit, investment, and application 12284
of special funds, and the safeguarding of moneys on hand or on 12285
deposit, without regard to Chapter 131. or 135. of the Revised 12286
Code, provided that any bank or trust company that acts as a 12287
depository of any moneys in special funds may furnish such12288
indemnifying bonds or may pledge such securities as required by12289
the commissioners of the sinking fund;12290

       (4) Any or every provision of the bond proceedings binding12291
upon the commissioners of the sinking fund and such state agency12292
or local government entities, officer, board, commission,12293
authority, agency, department, or other person or body as may from 12294
time to time have the authority under law to take such actions as 12295
may be necessary to perform all or any part of the duty required 12296
by such provision;12297

       (5) The maintenance of each pledge, any trust agreement, or 12298
other instrument composing part of the bond proceedings until the 12299
state has fully paid or provided for the payment of the debt12300
charges on the obligations or met other stated conditions;12301

       (6) In the event of default in any payments required to be12302
made by the bond proceedings, or any other agreement of the12303
commissioners of the sinking fund made as part of a contract under 12304
which the obligations were issued or secured, the enforcement of 12305
such payments or agreements by mandamus, suit in equity, action at 12306
law, or any combination of the foregoing;12307

       (7) The rights and remedies of the holders of obligations and 12308
of the trustee under any trust agreement, and provisions for12309
protecting and enforcing them, including limitations on rights of12310
individual holders of obligations;12311

       (8) The replacement of any obligations that become mutilated 12312
or are destroyed, lost, or stolen;12313

       (9) Provision for the funding, refunding, or advance12314
refunding or other provision for payment of obligations which will 12315
then no longer be or be deemed to be outstanding for purposes of 12316
this section or of the bond proceedings;12317

       (10) Any provision that may be made in bond proceedings or a 12318
trust agreement, including provision for amendment of the bond 12319
proceedings;12320

       (11) Such other provisions as the commissioners of the12321
sinking fund determine, including limitations, conditions, or12322
qualifications relating to any of the foregoing;12323

       (12) Any other or additional agreements with the holders of 12324
the obligations relating to the obligations or the security for 12325
the obligations.12326

       (H) The great seal of the state or a facsimile of that seal 12327
may be affixed to or printed on the obligations. The obligations 12328
shall be signed by or bear the facsimile signatures of two or more 12329
of the commissioners of the sinking fund as provided in the bond 12330
proceedings. Any obligations may be signed by the person who, on 12331
the date of execution, is the authorized signer although on the 12332
date of such obligations such person was not a commissioner. In 12333
case the individual whose signature or a facsimile of whose 12334
signature appears on any obligation ceases to be a commissioner 12335
before delivery of the obligation, such signature or facsimile is 12336
nevertheless valid and sufficient for all purposes as if the 12337
individual had remained the member until such delivery, and in 12338
case the seal to be affixed to or printed on obligations has been 12339
changed after the seal has been affixed to or a facsimile of the 12340
seal has been printed on the obligations, that seal or facsimile 12341
seal shall continue to be sufficient as to those obligations and 12342
obligations issued in substitution or exchange therefor.12343

       (I) Obligations may be issued in coupon or in fully12344
registered form, or both, as the commissioners of the sinking fund 12345
determine. Provision may be made for the registration of any 12346
obligations with coupons attached as to principal alone or as to 12347
both principal and interest, their exchange for obligations so12348
registered, and for the conversion or reconversion into12349
obligations with coupons attached of any obligations registered as 12350
to both principal and interest, and for reasonable charges for12351
such registration, exchange, conversion, and reconversion. Pending 12352
preparation of definitive obligations, the commissioners of the 12353
sinking fund may issue interim receipts or certificates which 12354
shall be exchanged for such definitive obligations.12355

       (J) Obligations may be sold at public sale or at private12356
sale, and at such price at, above, or below par, as determined by12357
the commissioners of the sinking fund in the bond proceedings.12358

       (K) In the discretion of the commissioners of the sinking12359
fund, obligations may be secured additionally by a trust agreement 12360
between the state and a corporate trustee which may be any trust 12361
company or bank having its principala place of business within 12362
the state. Any trust agreement may contain the resolution12363
authorizing the issuance of the obligations, any provisions that12364
may be contained in the bond proceedings, and other provisions12365
that are customary or appropriate in an agreement of the type.12366

       (L) Except to the extent that their rights are restricted by 12367
the bond proceedings, any holder of obligations, or a trustee12368
under the bond proceedings, may by any suitable form of legal12369
proceedings protect and enforce any rights under the laws of this12370
state or granted by the bond proceedings. Such rights include the 12371
right to compel the performance of all duties of the commissioners 12372
and the state. Each duty of the commissioners and employees of the 12373
commissioners, and of each state agency and local public entity 12374
and its officers, members, or employees, undertaken pursuant to 12375
the bond proceedings, is hereby established as a duty of the 12376
commissioners, and of each such agency, local government entity, 12377
officer, member, or employee having authority to perform such 12378
duty, specifically enjoined by the law and resulting from an 12379
office, trust, or station within the meaning of section 2731.01 of 12380
the Revised Code. The persons who are at the time the 12381
commissioners, or employees of the commissioners, are not liable 12382
in their personal capacities on any obligations or any agreements 12383
of or with the commissioners relating to obligations or under the 12384
bond proceedings.12385

       (M) Obligations are lawful investments for banks, societies 12386
for savings, savings and loan associations, deposit guarantee 12387
associations, trust companies, trustees, fiduciaries, insurance 12388
companies, including domestic for life and domestic not for life, 12389
trustees or other officers having charge of sinking and bond 12390
retirement or other special funds of political subdivisions and 12391
taxing districts of this state, the commissioners of the sinking 12392
fund, the administrator of workers' compensation, the state 12393
teachers retirement system, the public employees retirement 12394
system, the school employees retirement system, and the Ohio 12395
police and fire pension fund, notwithstanding any other provisions 12396
of the Revised Code or rules adopted pursuant thereto by any state 12397
agency with respect to investments by them, and are also 12398
acceptable as security for the deposit of public moneys.12399

       (N) Unless otherwise provided in any applicable bond12400
proceedings, moneys to the credit of or in the special funds12401
established by or pursuant to this section may be invested by or12402
on behalf of the commissioners of the sinking fund only in notes,12403
bonds, or other direct obligations of the United States or of any12404
agency or instrumentality of the United States, in obligations of 12405
this state or any political subdivision of this state, in 12406
certificates of deposit of any national bank located in this state 12407
and any bank, as defined in section 1101.01 of the Revised Code, 12408
subject to inspection by the superintendent of financial12409
institutions, in the Ohio subdivision's fund established pursuant 12410
to section 135.45 of the Revised Code, in no-front-end-load money 12411
market mutual funds consisting exclusively of direct obligations 12412
of the United States or of an agency or instrumentality of the 12413
United States, and in repurchase agreements, including those 12414
issued by any fiduciary, secured by direct obligations of the 12415
United States or an agency or instrumentality of the United 12416
States, and in collective investment funds established in12417
accordance with section 1111.14 of the Revised Code and consisting 12418
exclusively of direct obligations of the United States or of an 12419
agency or instrumentality of the United States, notwithstanding12420
division (A)(1)(c) of that section. The income from investments12421
shall be credited to such special funds or otherwise as the12422
commissioners of the sinking fund determine in the bond12423
proceedings, and the investments may be sold or exchanged at such12424
times as the commissioners determine or authorize.12425

       (O) Unless otherwise provided in any applicable bond12426
proceedings, moneys to the credit of or in a special fund shall be 12427
disbursed on the order of the commissioners of the sinking fund, 12428
provided that no such order is required for the payment from the 12429
bond service fund or other special fund when due of debt charges 12430
or required payments under credit enhancement facilities.12431

       (P) The commissioners of the sinking fund may covenant in the 12432
bond proceedings, and any such covenants shall be controlling12433
notwithstanding any other provision of law, that the state and the 12434
applicable officers and agencies of the state, including the12435
general assembly, so long as any obligations are outstanding in 12436
accordance with their terms, shall maintain statutory authority 12437
for and cause to be charged and collected taxes, excises, and 12438
other receipts of the state so that the receipts to the bond 12439
service fund shall be sufficient in amounts to meet debt charges 12440
and for the establishment and maintenance of any reserves and 12441
other requirements, including payment of the costs of credit12442
enhancement facilities, provided for in the bond proceedings.12443

       (Q) The obligations, the transfer thereof, and the interest, 12444
other accreted amounts, and other income therefrom, including any 12445
profit made on the sale thereof, at all times shall be free from 12446
taxation, direct or indirect, within the state.12447

       (R) This section applies only with respect to obligations 12448
issued and delivered before September 30, 2000.12449

       Sec. 1901.34.  (A) Except as provided in divisions (B) and12450
(D) of this section, the village solicitor, city director of law,12451
or similar chief legal officer for each municipal corporation12452
within the territory of a municipal court shall prosecute all12453
cases brought before the municipal court for criminal offenses12454
occurring within the municipal corporation for which that person12455
is the solicitor, director of law, or similar chief legal officer.12456
Except as provided in division (B) of this section, the village12457
solicitor, city director of law, or similar chief legal officer of12458
the municipal corporation in which a municipal court is located12459
shall prosecute all criminal cases brought before the court12460
arising in the unincorporated areas within the territory of the12461
municipal court.12462

       (B) The Auglaize county, Brown county, Clermont county, 12463
Hocking county, Holmes county, Jackson county, Morrow county, 12464
Ottawa county, and Portage county prosecuting attorneys shall 12465
prosecute in municipal court all violations of state law arising 12466
in their respective counties. The Carroll county, Crawford county, 12467
Hamilton county, Madison county, and Wayne county prosecuting 12468
attorneys and beginning January 1, 2008, the Erie county 12469
prosecuting attorney shall prosecute all violations of state law12470
arising within the unincorporated areas of their respective12471
counties. The Columbiana county prosecuting attorney shall12472
prosecute in the Columbiana county municipal court all violations12473
of state law arising in the county, except for violations arising12474
in the municipal corporation of East Liverpool, Liverpool12475
township, or St. Clair township. The Darke county prosecuting 12476
attorney shall prosecute in the Darke county municipal court all 12477
violations of state law arising in the county, except for 12478
violations of state law arising in the municipal corporation of 12479
Greenville and violations of state law arising in the village of 12480
Versailles. The Greene county prosecuting attorney may, with the 12481
concurrence of the Greene county board of county commissioners, 12482
prosecute in the Fairborn municipal courtmay provide for the 12483
prosecution of all violations of state law arising within the 12484
unincorporated areas of Bath and Beavercreek townships in Greene 12485
county and prosecute in the Xenia municipal court all violations 12486
of state law arising within the unincorporated areas of 12487
Ceasarcreek, Cedarville, Jefferson, Miami, New Jasper, Ross, 12488
Silvercreek, Spring Valley, Sugarcreek, and Xenia townships12489
territorial jurisdiction of any municipal court located in Greene 12490
county.12491

       The prosecuting attorney of any county given the duty of12492
prosecuting in municipal court violations of state law shall12493
receive no additional compensation for assuming these additional12494
duties, except that the prosecuting attorney of Hamilton, Portage,12495
and Wayne counties shall receive compensation at the rate of four12496
thousand eight hundred dollars per year, and the prosecuting12497
attorney of Auglaize county shall receive compensation at the rate12498
of one thousand eight hundred dollars per year, each payable from12499
the county treasury of the respective counties in semimonthly12500
installments.12501

       (C) The village solicitor, city director of law, or similar12502
chief legal officer shall perform the same duties, insofar as they12503
are applicable to the village solicitor, city director of law, or12504
similar chief legal officer, as are required of the prosecuting12505
attorney of the county. The village solicitor, city director of12506
law, similar chief legal officer or any assistants who may be12507
appointed shall receive for such services additional compensation12508
to be paid from the treasury of the county as the board of county12509
commissioners prescribes.12510

       (D) The(1) Subject to division (D)(2) of this section, the12511
prosecuting attorney of any county, other than Auglaize, Brown, 12512
Clermont, Hocking, Holmes, Jackson, Morrow, Ottawa, or Portage12513
county, may enter into an agreement with any municipal corporation12514
in the county in which the prosecuting attorney serves pursuant to12515
which the prosecuting attorney prosecutes all criminal cases12516
brought before the municipal court that has territorial12517
jurisdiction over that municipal corporation for criminal offenses12518
occurring within the municipal corporation. The prosecuting12519
attorney of Auglaize, Brown, Clermont, Hocking, Holmes, Jackson,12520
Morrow, Ottawa, or Portage county may enter into an agreement with 12521
any municipal corporation in the county in which the prosecuting12522
attorney serves pursuant to which the respective prosecuting12523
attorney prosecutes all cases brought before the Auglaize county,12524
Brown county, Clermont county, Hocking county, Holmes county, 12525
Jackson county, Morrow county, Ottawa county, or Portage county 12526
municipal court for violations of the ordinances of the municipal12527
corporation or for criminal offenses other than violations of12528
state law occurring within the municipal corporation. For12529
prosecuting these cases, the prosecuting attorney and the12530
municipal corporation may agree upon a fee to be paid by the12531
municipal corporation, which fee shall be paid into the county12532
treasury, to be used to cover expenses of the office of the12533
prosecuting attorney.12534

       (2) Any agreement entered into by the Greene county 12535
prosecuting attorney under division (D)(1) of this section is 12536
subject to the authority under division (B) of this section of the 12537
Greene county board of county commissioners to provide for the 12538
prosecution of violations of state law in municipal courts located 12539
in Greene county.12540

       Sec. 2151.362. (A)(1) In the manner prescribed by division 12541
(C)(1) or (2) of section 3313.64 of the Revised Code, as 12542
applicable, the court, at the time of making any order that 12543
removes a child from the child's own home or that vests legal or 12544
permanent custody of the child in a person other than the child's 12545
parent or a government agency, shall determine the school district 12546
that is to bear the cost of educating the child. The court shall 12547
make the determination a part of the order that provides for the 12548
child's placement or commitment. That school district shall bear 12549
the cost of educating the child unless and until the court 12550
modifies its orderdepartment of education determines that a 12551
different district shall be responsible for bearing that cost12552
pursuant to division (A)(2) of this section. The court's order 12553
shall state that the determination of which school district is 12554
responsible to bear the cost of educating the child is subject to 12555
re-determination by the department pursuant to that division.12556

        (2) If, while the child is in the custody of a person other 12557
than the child's parent or a government agency, the department of 12558
education notifies the courtdetermines that the place of 12559
residence of the child's parent has changed since the court issued 12560
its initial order, the courtdepartment may modify its order to12561
name a different school district to bear the cost of educating the 12562
child. The department may submit the notice to the court upon 12563
receipt,shall make this new determination, and any future 12564
determinations, based on evidence received from the school 12565
district initially orderedcurrently responsible to bear the cost 12566
of educating the child, of evidence acceptable to the department. 12567
If the department finds that the evidence demonstrates to its 12568
satisfaction that the residence of the child's parent has changed 12569
since the court issued its initial order. In the notice to the 12570
court, the department shall recommend to the court whether a 12571
different district should be ordered to bear the cost of educating 12572
the child and, if so, which district should be so ordered. The12573
under division (A)(1) of this section, or since the department 12574
last made a determination under division (A)(2) of this section, 12575
the department shall recommend to the courtname the district in 12576
which the child's parent currently resides or, if the parent's 12577
residence is not known, the district in which the parent's last 12578
known residence is located. If the department cannot determine any 12579
Ohio district in which the parent currently resides or has 12580
resided, the school district designated in the initial court order 12581
under division (A)(1) of this section, or in the most recent 12582
determination made by the department under division (A)(2) of this 12583
section, shall continue to bear the cost of educating the child.12584

       The court may consider the content of a notice by the 12585
department of education under division (A)(2) of this section as 12586
conclusive evidence as to which school district should bear the 12587
cost of educating the child and may amend its order accordingly.12588

       (B) Whenever a child is placed in a detention facility12589
established under section 2152.41 of the Revised Code or a12590
juvenile facility established under section 2151.65 of the Revised12591
Code, the child's school district as determined by the court or 12592
the department, in the same manner as prescribed in division (A) 12593
of this section, shall pay the cost of educating the child based 12594
on the per capita cost of the educational facility within the 12595
detention home or juvenile facility.12596

       (C) Whenever a child is placed by the court in a private12597
institution, school, or residential treatment center or any other12598
private facility, the state shall pay to the court a subsidy to12599
help defray the expense of educating the child in an amount equal12600
to the product of the daily per capita educational cost of the12601
private facility, as determined pursuant to this section, and the12602
number of days the child resides at the private facility, provided12603
that the subsidy shall not exceed twenty-five hundred dollars per12604
year per child. The daily per capita educational cost of a private 12605
facility shall be determined by dividing the actual program cost12606
of the private facility or twenty-five hundred dollars, whichever 12607
is less, by three hundred sixty-five days or by three hundred 12608
sixty-six days for years that include February twenty-ninth. The12609
state shall pay seventy-five per cent of the total subsidy for 12610
each year quarterly to the court. The state may adjust the 12611
remaining twenty-five per cent of the total subsidy to be paid to 12612
the court for each year to an amount that is less than twenty-five 12613
per cent of the total subsidy for that year based upon the12614
availability of funds appropriated to the department of education 12615
for the purpose of subsidizing courts that place a child in a 12616
private institution, school, or residential treatment center or 12617
any other private facility and shall pay that adjusted amount to 12618
the court at the end of the year.12619

       Sec. 2913.40.  (A) As used in this section:12620

       (1) "Statement or representation" means any oral, written,12621
electronic, electronic impulse, or magnetic communication that is12622
used to identify an item of goods or a service for which12623
reimbursement may be made under the medical assistance program or12624
that states income and expense and is or may be used to determine12625
a rate of reimbursement under the medical assistance program.12626

       (2) "Medical assistance program" means the program12627
established by the department of job and family services to12628
provide medical assistance under section 5111.01 of the Revised12629
Code and the medicaid program of Title XIX of the "Social Security12630
Act," 49 Stat. 620 (1935), 42 U.S.C. 301, as amended.12631

       (3) "Provider" means any person who has signed a provider12632
agreement with the department of job and family services to12633
provide goods or services pursuant to the medical assistance12634
program or any person who has signed an agreement with a party to12635
such a provider agreement under which the person agrees to provide12636
goods or services that are reimbursable under the medical12637
assistance program.12638

       (4) "Provider agreement" means an oral or written agreement12639
between the department of job and family services and a person in12640
which the person agrees to provide goods or services under the12641
medical assistance program.12642

       (5) "Recipient" means any individual who receives goods or12643
services from a provider under the medical assistance program.12644

       (6) "Records" means any medical, professional, financial, or12645
business records relating to the treatment or care of any12646
recipient, to goods or services provided to any recipient, or to12647
rates paid for goods or services provided to any recipient and any12648
records that are required by the rules of the director of job and12649
family services to be kept for the medical assistance program.12650

       (B) No person shall knowingly make or cause to be made a12651
false or misleading statement or representation for use in12652
obtaining reimbursement from the medical assistance program.12653

       (C) No person, with purpose to commit fraud or knowing that12654
the person is facilitating a fraud, shall do either of the12655
following:12656

       (1) Contrary to the terms of the person's provider agreement,12657
charge, solicit, accept, or receive for goods or services that the12658
person provides under the medical assistance program any property,12659
money, or other consideration in addition to the amount of12660
reimbursement under the medical assistance program and the 12661
person's provider agreement for the goods or services and any 12662
deductibles or co-paymentscost-sharing expenses authorized by 12663
section 5111.0112 of the Revised Code or rules adopted pursuant to 12664
section 5111.01, 5111.011, or 5111.02 of the Revised Code.12665

       (2) Solicit, offer, or receive any remuneration, other than12666
any deductibles or co-paymentscost-sharing expenses authorized by 12667
section 5111.0112 of the Revised Code or rules adopted under12668
section 5111.01, 5111.011, or 5111.02 of the Revised Code, in cash 12669
or in kind, including, but not limited to, a kickback or rebate, 12670
in connection with the furnishing of goods or services for which 12671
whole or partial reimbursement is or may be made under the medical 12672
assistance program.12673

       (D) No person, having submitted a claim for or provided goods 12674
or services under the medical assistance program, shall do either 12675
of the following for a period of at least six years after a12676
reimbursement pursuant to that claim, or a reimbursement for those12677
goods or services, is received under the medical assistance12678
program:12679

       (1) Knowingly alter, falsify, destroy, conceal, or remove any 12680
records that are necessary to fully disclose the nature of all12681
goods or services for which the claim was submitted, or for which12682
reimbursement was received, by the person;12683

       (2) Knowingly alter, falsify, destroy, conceal, or remove any 12684
records that are necessary to disclose fully all income and12685
expenditures upon which rates of reimbursements were based for the12686
person.12687

       (E) Whoever violates this section is guilty of medicaid12688
fraud. Except as otherwise provided in this division, medicaid12689
fraud is a misdemeanor of the first degree. If the value of12690
property, services, or funds obtained in violation of this section12691
is five hundred dollars or more and is less than five thousand12692
dollars, medicaid fraud is a felony of the fifth degree. If the12693
value of property, services, or funds obtained in violation of12694
this section is five thousand dollars or more and is less than one12695
hundred thousand dollars, medicaid fraud is a felony of the fourth12696
degree. If the value of the property, services, or funds obtained12697
in violation of this section is one hundred thousand dollars or12698
more, medicaid fraud is a felony of the third degree.12699

       (F) Upon application of the governmental agency, office, or12700
other entity that conducted the investigation and prosecution in a12701
case under this section, the court shall order any person who is12702
convicted of a violation of this section for receiving any12703
reimbursement for furnishing goods or services under the medical12704
assistance program to which the person is not entitled to pay to12705
the applicant its cost of investigating and prosecuting the case. 12706
The costs of investigation and prosecution that a defendant is12707
ordered to pay pursuant to this division shall be in addition to12708
any other penalties for the receipt of that reimbursement that are12709
provided in this section, section 5111.03 of the Revised Code, or12710
any other provision of law.12711

       (G) The provisions of this section are not intended to be12712
exclusive remedies and do not preclude the use of any other12713
criminal or civil remedy for any act that is in violation of this12714
section.12715

       Sec. 2921.42.  (A) No public official shall knowingly do any 12716
of the following:12717

       (1) Authorize, or employ the authority or influence of his12718
the public official's office to secure authorization of any public 12719
contract in which hethe public official, a member of histhe 12720
public official's family, or any of histhe public official's12721
business associates has an interest;12722

       (2) Authorize, or employ the authority or influence of his12723
the public official's office to secure the investment of public 12724
funds in any share, bond, mortgage, or other security, with 12725
respect to which hethe public official, a member of histhe 12726
public official's family, or any of histhe public official's12727
business associates either has an interest, is an underwriter, or 12728
receives any brokerage, origination, or servicing fees;12729

       (3) During histhe public official's term of office or within12730
one year thereafter, occupy any position of profit in the 12731
prosecution of a public contract authorized by himthe public 12732
official or by a legislative body, commission, or board of which 12733
hethe public official was a member at the time of authorization, 12734
unless the contract was let by competitive bidding to the lowest 12735
and best bidder;12736

       (4) Have an interest in the profits or benefits of a public 12737
contract entered into by or for the use of the political12738
subdivision or governmental agency or instrumentality with which12739
hethe public official is connected;12740

       (5) Have an interest in the profits or benefits of a public 12741
contract that is not let by competitive bidding if required by law 12742
and that involves more than one hundred fifty dollars.12743

       (B) In the absence of bribery or a purpose to defraud, a12744
public official, member of hisa public official's family, or any 12745
of hisa public official's business associates shall not be 12746
considered as having an interest in a public contract or the 12747
investment of public funds, if all of the following apply:12748

       (1) The interest of that person is limited to owning or12749
controlling shares of the corporation, or being a creditor of the12750
corporation or other organization, that is the contractor on the12751
public contract involved, or that is the issuer of the security in 12752
which public funds are invested;12753

       (2) The shares owned or controlled by that person do not12754
exceed five per cent of the outstanding shares of the corporation, 12755
and the amount due that person as creditor does not exceed five 12756
per cent of the total indebtedness of the corporation or other 12757
organization;12758

       (3) That person, prior to the time the public contract is12759
entered into, files with the political subdivision or governmental 12760
agency or instrumentality involved, an affidavit giving histhat 12761
person's exact status in connection with the corporation or other 12762
organization.12763

       (C) This section does not apply to a public contract in which 12764
a public official, member of hisa public official's family, or 12765
one of hisa public official's business associates has an 12766
interest, when all of the following apply:12767

       (1) The subject of the public contract is necessary supplies 12768
or services for the political subdivision or governmental agency 12769
or instrumentality involved;12770

       (2) The supplies or services are unobtainable elsewhere for 12771
the same or lower cost, or are being furnished to the political 12772
subdivision or governmental agency or instrumentality as part of a 12773
continuing course of dealing established prior to the public 12774
official's becoming associated with the political subdivision or 12775
governmental agency or instrumentality involved;12776

       (3) The treatment accorded the political subdivision or12777
governmental agency or instrumentality is either preferential to12778
or the same as that accorded other customers or clients in similar 12779
transactions;12780

       (4) The entire transaction is conducted at arm's length, with 12781
full knowledge by the political subdivision or governmental agency 12782
or instrumentality involved, of the interest of the public12783
official, member of histhe public official's family, or business 12784
associate, and the public official takes no part in the 12785
deliberations or decision of the political subdivision or 12786
governmental agency or instrumentality with respect to the public 12787
contract.12788

       (D) Division (A)(4) of this section does not prohibit12789
participation by a public employee in any housing program funded12790
by public moneys if the public employee otherwise qualifies for12791
the program and does not use the authority or influence of histhe12792
public employee's office or employment to secure benefits from the 12793
program and if the moneys are to be used on the primary residence 12794
of the public employee. Such participation does not constitute an 12795
unlawful interest in a public contract in violation of this 12796
section.12797

       (E) Whoever violates this section is guilty of having an12798
unlawful interest in a public contract. Violation of division12799
(A)(1) or (2) of this section is a felony of the fourth degree.12800
Violation of division (A)(3), (4), or (5) of this section is a12801
misdemeanor of the first degree.12802

       (F) It is not a violation of this section for a prosecuting 12803
attorney to appoint assistants and employees in accordance with 12804
sections 309.06 and 2921.421 of the Revised Code, for a chief 12805
legal officer of a municipal corporation or an official designated 12806
as prosecutor in a municipal corporation to appoint assistants and 12807
employees in accordance with sections 733.621 and 2921.421 of the 12808
Revised Code, or for a township law director appointed under 12809
section 504.15 of the Revised Code to appoint assistants and 12810
employees in accordance with sections 504.151 and 2921.421 of the 12811
Revised Code.12812

       (F)(G) This section does not apply to a public contract in12813
which a township trustee in a township with a population of five12814
thousand or less in its unincorporated area, a member of the12815
township trustee's family, or one of histhe township trustee's12816
business associates has an interest, if all of the following 12817
apply:12818

       (1) The subject of the public contract is necessary supplies 12819
or services for the township and the amount of the contract is 12820
less than five thousand dollars per year;12821

       (2) The supplies or services are being furnished to the12822
township as part of a continuing course of dealing established12823
before the township trustee held that office with the township;12824

       (3) The treatment accorded the township is either12825
preferential to or the same as that accorded other customers or12826
clients in similar transactions;12827

       (4) The entire transaction is conducted with full knowledge 12828
by the township of the interest of the township trustee, member of 12829
histhe township trustee's family, or histhe township trustee's12830
business associate.12831

       (G)(H) Any public contract in which a public official, a 12832
member of the public official's family, or any of the public 12833
official's business associates has an interest in violation of 12834
this section is void and unenforceable. Any contract securing the 12835
investment of public funds in which a public official, a member of 12836
the public official's family, or any of the public official's 12837
business associates has an interest, is an underwriter, or 12838
receives any brokerage, origination, or servicing fees and that 12839
was entered into in violation of this section is void and 12840
unenforceable.12841

       (I) As used in this section:12842

       (1) "Public contract" means any of the following:12843

       (a) The purchase or acquisition, or a contract for the12844
purchase or acquisition, of property or services by or for the use 12845
of the state, any of its political subdivisions, or any agency or 12846
instrumentality of either, including the employment of an 12847
individual by the state, any of its political subdivisions, or any 12848
agency or instrumentality of either;12849

       (b) A contract for the design, construction, alteration,12850
repair, or maintenance of any public property.12851

       (2) "Chief legal officer" has the same meaning as in section 12852
733.621 of the Revised Code.12853

       Sec. 2927.023.  (A) As used in this section "authorized 12854
recipient of tobacco products" means a person who is:12855

       (1) Licensed as a cigarette wholesale dealer under section 12856
5743.15 of the Revised Code;12857

       (2) Licensed as a distributor of tobacco products under 12858
section 5743.61 of the Revised Coderetail dealer as long as the 12859
person purchases cigarettes with the appropriate tax stamp 12860
affixed;12861

       (3) An export warehouse proprietor as defined in section 5702 12862
of the Internal Revenue Code;12863

       (4) An operator of a customs bonded warehouse under 19 U.S.C. 12864
1311 or 19 U.S.C. 1555;12865

       (5) An officer, employee, or agent of the federal government 12866
or of this state acting in the person's official capacity;12867

       (6) A department, agency, instrumentality, or political 12868
subdivision of the federal government or of this state;12869

       (7) A person having a consent for consumer shipment issued by 12870
the tax commissioner under section 5743.71 of the Revised Code.12871

       The purpose of this section is to prevent the sale of 12872
cigarettes to minors and to ensure compliance with the Master 12873
Settlement Agreement, as defined in section 1346.01 of the Revised 12874
Code.12875

       (B)(1) No person shall cause to be shipped any cigarettes to 12876
any person in this state other than an authorized recipient of 12877
tobacco products.12878

       (2) No common carrier, contract carrier, or other person 12879
shall knowingly transport cigarettes to any person in this state 12880
that the carrier or other person reasonably believes is not an 12881
authorized recipient of tobacco products. If cigarettes are 12882
transported to a home or residence, it shall be presumed that the 12883
common carrier, contract carrier, or other person knew that the 12884
person to whom the cigarettes were delivered was not an authorized 12885
recipient of tobacco products.12886

       (C) No person engaged in the business of selling cigarettes 12887
who ships or causes to be shipped cigarettes to any person in this 12888
state in any container or wrapping other than the original 12889
container or wrapping of the cigarettes shall fail to plainly and 12890
visibly mark the exterior of the container or wrapping in which 12891
the cigarettes are shipped with the words "cigarettes."12892

       (D) A court shall impose a fine of up to one thousand dollars 12893
for each violation of division (B)(1), (B)(2), or (C) of this 12894
section.12895

       Sec. 2935.03.  (A)(1) A sheriff, deputy sheriff, marshal,12896
deputy marshal, municipal police officer, township constable,12897
police officer of a township or joint township police district,12898
member of a police force employed by a metropolitan housing12899
authority under division (D) of section 3735.31 of the Revised12900
Code, member of a police force employed by a regional transit12901
authority under division (Y) of section 306.35 of the Revised12902
Code, state university law enforcement officer appointed under12903
section 3345.04 of the Revised Code, veterans' home police officer 12904
appointed under section 5907.02 of the Revised Code, special 12905
police officer employed by a port authority under section 4582.04 12906
or 4582.28 of the Revised Code, or a special police officer 12907
employed by a municipal corporation at a municipal airport, or 12908
other municipal air navigation facility, that has scheduled 12909
operations, as defined in section 119.3 of Title 14 of the Code of 12910
Federal Regulations, 14 C.F.R. 119.3, as amended, and that is 12911
required to be under a security program and is governed by12912
aviation security rules of the transportation security12913
administration of the United States department of transportation12914
as provided in Parts 1542. and 1544. of Title 49 of the Code of12915
Federal Regulations, as amended, shall arrest and detain, until a12916
warrant can be obtained, a person found violating, within the12917
limits of the political subdivision, metropolitan housing12918
authority housing project, regional transit authority facilities12919
or areas of a municipal corporation that have been agreed to by a12920
regional transit authority and a municipal corporation located12921
within its territorial jurisdiction, college, university,12922
veterans' home operated under Chapter 5907. of the Revised Code, 12923
port authority, or municipal airport or other municipal air 12924
navigation facility, in which the peace officer is appointed, 12925
employed, or elected, a law of this state, an ordinance of a 12926
municipal corporation, or a resolution of a township.12927

       (2) A peace officer of the department of natural resources or 12928
an individual designated to perform law enforcement duties under 12929
section 511.232, 1545.13, or 6101.75 of the Revised Code shall 12930
arrest and detain, until a warrant can be obtained, a person found 12931
violating, within the limits of the peace officer's or12932
individual's territorial jurisdiction, a law of this state.12933

       (3) The house sergeant at arms if the house sergeant at arms12934
has arrest authority pursuant to division (E)(1) of section12935
101.311 of the Revised Code and an assistant house sergeant at12936
arms shall arrest and detain, until a warrant can be obtained, a12937
person found violating, within the limits of the sergeant at 12938
arms's or assistant sergeant at arms's territorial jurisdiction12939
specified in division (D)(1)(a) of section 101.311 of the Revised 12940
Code or while providing security pursuant to division (D)(1)(f) of 12941
section 101.311 of the Revised Code, a law of this state, an 12942
ordinance of a municipal corporation, or a resolution of a 12943
township.12944

       (B)(1) When there is reasonable ground to believe that an12945
offense of violence, the offense of criminal child enticement as12946
defined in section 2905.05 of the Revised Code, the offense of12947
public indecency as defined in section 2907.09 of the Revised12948
Code, the offense of domestic violence as defined in section12949
2919.25 of the Revised Code, the offense of violating a protection12950
order as defined in section 2919.27 of the Revised Code, the12951
offense of menacing by stalking as defined in section 2903.211 of12952
the Revised Code, the offense of aggravated trespass as defined in12953
section 2911.211 of the Revised Code, a theft offense as defined12954
in section 2913.01 of the Revised Code, or a felony drug abuse12955
offense as defined in section 2925.01 of the Revised Code, has12956
been committed within the limits of the political subdivision,12957
metropolitan housing authority housing project, regional transit12958
authority facilities or those areas of a municipal corporation12959
that have been agreed to by a regional transit authority and a12960
municipal corporation located within its territorial jurisdiction,12961
college, university, veterans' home operated under Chapter 5907. 12962
of the Revised Code, port authority, or municipal airport or other 12963
municipal air navigation facility, in which the peace officer is 12964
appointed, employed, or elected or within the limits of the 12965
territorial jurisdiction of the peace officer, a peace officer 12966
described in division (A) of this section may arrest and detain 12967
until a warrant can be obtained any person who the peace officer12968
has reasonable cause to believe is guilty of the violation.12969

       (2) For purposes of division (B)(1) of this section, the12970
execution of any of the following constitutes reasonable ground to12971
believe that the offense alleged in the statement was committed12972
and reasonable cause to believe that the person alleged in the12973
statement to have committed the offense is guilty of the12974
violation:12975

       (a) A written statement by a person alleging that an alleged12976
offender has committed the offense of menacing by stalking or12977
aggravated trespass;12978

       (b) A written statement by the administrator of the12979
interstate compact on mental health appointed under section12980
5119.51 of the Revised Code alleging that a person who had been12981
hospitalized, institutionalized, or confined in any facility under12982
an order made pursuant to or under authority of section 2945.37,12983
2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or 2945.402 of the12984
Revised Code has escaped from the facility, from confinement in a12985
vehicle for transportation to or from the facility, or from12986
supervision by an employee of the facility that is incidental to12987
hospitalization, institutionalization, or confinement in the12988
facility and that occurs outside of the facility, in violation of12989
section 2921.34 of the Revised Code;12990

       (c) A written statement by the administrator of any facility12991
in which a person has been hospitalized, institutionalized, or12992
confined under an order made pursuant to or under authority of12993
section 2945.37, 2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or12994
2945.402 of the Revised Code alleging that the person has escaped12995
from the facility, from confinement in a vehicle for12996
transportation to or from the facility, or from supervision by an12997
employee of the facility that is incidental to hospitalization,12998
institutionalization, or confinement in the facility and that12999
occurs outside of the facility, in violation of section 2921.34 of13000
the Revised Code.13001

       (3)(a) For purposes of division (B)(1) of this section, a13002
peace officer described in division (A) of this section has13003
reasonable grounds to believe that the offense of domestic13004
violence or the offense of violating a protection order has been13005
committed and reasonable cause to believe that a particular person13006
is guilty of committing the offense if any of the following13007
occurs:13008

       (i) A person executes a written statement alleging that the13009
person in question has committed the offense of domestic violence13010
or the offense of violating a protection order against the person13011
who executes the statement or against a child of the person who13012
executes the statement.13013

       (ii) No written statement of the type described in division13014
(B)(3)(a)(i) of this section is executed, but the peace officer,13015
based upon the peace officer's own knowledge and observation of13016
the facts and circumstances of the alleged incident of the offense13017
of domestic violence or the alleged incident of the offense of13018
violating a protection order or based upon any other information,13019
including, but not limited to, any reasonably trustworthy13020
information given to the peace officer by the alleged victim of13021
the alleged incident of the offense or any witness of the alleged13022
incident of the offense, concludes that there are reasonable13023
grounds to believe that the offense of domestic violence or the13024
offense of violating a protection order has been committed and13025
reasonable cause to believe that the person in question is guilty13026
of committing the offense.13027

       (iii) No written statement of the type described in division13028
(B)(3)(a)(i) of this section is executed, but the peace officer13029
witnessed the person in question commit the offense of domestic13030
violence or the offense of violating a protection order.13031

       (b) If pursuant to division (B)(3)(a) of this section a peace 13032
officer has reasonable grounds to believe that the offense of 13033
domestic violence or the offense of violating a protection order 13034
has been committed and reasonable cause to believe that a13035
particular person is guilty of committing the offense, it is the13036
preferred course of action in this state that the officer arrest13037
and detain that person pursuant to division (B)(1) of this section13038
until a warrant can be obtained.13039

       If pursuant to division (B)(3)(a) of this section a peace13040
officer has reasonable grounds to believe that the offense of13041
domestic violence or the offense of violating a protection order13042
has been committed and reasonable cause to believe that family or13043
household members have committed the offense against each other,13044
it is the preferred course of action in this state that the13045
officer, pursuant to division (B)(1) of this section, arrest and13046
detain until a warrant can be obtained the family or household13047
member who committed the offense and whom the officer has13048
reasonable cause to believe is the primary physical aggressor.13049
There is no preferred course of action in this state regarding any13050
other family or household member who committed the offense and13051
whom the officer does not have reasonable cause to believe is the13052
primary physical aggressor, but, pursuant to division (B)(1) of13053
this section, the peace officer may arrest and detain until a13054
warrant can be obtained any other family or household member who13055
committed the offense and whom the officer does not have13056
reasonable cause to believe is the primary physical aggressor.13057

       (c) If a peace officer described in division (A) of this13058
section does not arrest and detain a person whom the officer has13059
reasonable cause to believe committed the offense of domestic13060
violence or the offense of violating a protection order when it is13061
the preferred course of action in this state pursuant to division13062
(B)(3)(b) of this section that the officer arrest that person, the13063
officer shall articulate in the written report of the incident13064
required by section 2935.032 of the Revised Code a clear statement13065
of the officer's reasons for not arresting and detaining that13066
person until a warrant can be obtained.13067

       (d) In determining for purposes of division (B)(3)(b) of this 13068
section which family or household member is the primary physical 13069
aggressor in a situation in which family or household members have 13070
committed the offense of domestic violence or the offense of 13071
violating a protection order against each other, a peace officer13072
described in division (A) of this section, in addition to any 13073
other relevant circumstances, should consider all of the13074
following:13075

       (i) Any history of domestic violence or of any other violent13076
acts by either person involved in the alleged offense that the13077
officer reasonably can ascertain;13078

       (ii) If violence is alleged, whether the alleged violence was 13079
caused by a person acting in self-defense;13080

       (iii) Each person's fear of physical harm, if any, resulting13081
from the other person's threatened use of force against any person13082
or resulting from the other person's use or history of the use of13083
force against any person, and the reasonableness of that fear;13084

       (iv) The comparative severity of any injuries suffered by the 13085
persons involved in the alleged offense.13086

       (e)(i) A peace officer described in division (A) of this13087
section shall not require, as a prerequisite to arresting or13088
charging a person who has committed the offense of domestic13089
violence or the offense of violating a protection order, that the13090
victim of the offense specifically consent to the filing of13091
charges against the person who has committed the offense or sign a13092
complaint against the person who has committed the offense.13093

       (ii) If a person is arrested for or charged with committing13094
the offense of domestic violence or the offense of violating a13095
protection order and if the victim of the offense does not13096
cooperate with the involved law enforcement or prosecuting13097
authorities in the prosecution of the offense or, subsequent to13098
the arrest or the filing of the charges, informs the involved law13099
enforcement or prosecuting authorities that the victim does not13100
wish the prosecution of the offense to continue or wishes to drop13101
charges against the alleged offender relative to the offense, the13102
involved prosecuting authorities, in determining whether to13103
continue with the prosecution of the offense or whether to dismiss13104
charges against the alleged offender relative to the offense and13105
notwithstanding the victim's failure to cooperate or the victim's13106
wishes, shall consider all facts and circumstances that are13107
relevant to the offense, including, but not limited to, the13108
statements and observations of the peace officers who responded to13109
the incident that resulted in the arrest or filing of the charges13110
and of all witnesses to that incident.13111

       (f) In determining pursuant to divisions (B)(3)(a) to (g) of13112
this section whether to arrest a person pursuant to division13113
(B)(1) of this section, a peace officer described in division (A)13114
of this section shall not consider as a factor any possible13115
shortage of cell space at the detention facility to which the13116
person will be taken subsequent to the person's arrest or any13117
possibility that the person's arrest might cause, contribute to,13118
or exacerbate overcrowding at that detention facility or at any13119
other detention facility.13120

       (g) If a peace officer described in division (A) of this13121
section intends pursuant to divisions (B)(3)(a) to (g) of this13122
section to arrest a person pursuant to division (B)(1) of this13123
section and if the officer is unable to do so because the person13124
is not present, the officer promptly shall seek a warrant for the13125
arrest of the person.13126

       (h) If a peace officer described in division (A) of this13127
section responds to a report of an alleged incident of the offense13128
of domestic violence or an alleged incident of the offense of13129
violating a protection order and if the circumstances of the13130
incident involved the use or threatened use of a deadly weapon or13131
any person involved in the incident brandished a deadly weapon13132
during or in relation to the incident, the deadly weapon that was13133
used, threatened to be used, or brandished constitutes contraband,13134
and, to the extent possible, the officer shall seize the deadly13135
weapon as contraband pursuant to Chapter 2981. of the Revised13136
Code. Upon the seizure of a deadly weapon pursuant to division13137
(B)(3)(h) of this section, section 2981.12 of the Revised Code13138
shall apply regarding the treatment and disposition of the deadly13139
weapon. For purposes of that section, the "underlying criminal13140
offense" that was the basis of the seizure of a deadly weapon13141
under division (B)(3)(h) of this section and to which the deadly13142
weapon had a relationship is any of the following that is13143
applicable:13144

       (i) The alleged incident of the offense of domestic violence13145
or the alleged incident of the offense of violating a protection13146
order to which the officer who seized the deadly weapon responded;13147

       (ii) Any offense that arose out of the same facts and13148
circumstances as the report of the alleged incident of the offense13149
of domestic violence or the alleged incident of the offense of13150
violating a protection order to which the officer who seized the13151
deadly weapon responded.13152

       (4) If, in the circumstances described in divisions (B)(3)(a) 13153
to (g) of this section, a peace officer described in division (A) 13154
of this section arrests and detains a person pursuant to division 13155
(B)(1) of this section, or if, pursuant to division (B)(3)(h) of 13156
this section, a peace officer described in division (A) of this 13157
section seizes a deadly weapon, the officer, to the extent13158
described in and in accordance with section 9.86 or 2744.03 of the 13159
Revised Code, is immune in any civil action for damages for13160
injury, death, or loss to person or property that arises from or13161
is related to the arrest and detention or the seizure.13162

       (C) When there is reasonable ground to believe that a13163
violation of division (A)(1), (2), (3), (4), or (5) of section 13164
4506.15 or a violation of section 4511.19 of the Revised Code has 13165
been committed by a person operating a motor vehicle subject to13166
regulation by the public utilities commission of Ohio under Title13167
XLIX of the Revised Code, a peace officer with authority to13168
enforce that provision of law may stop or detain the person whom13169
the officer has reasonable cause to believe was operating the13170
motor vehicle in violation of the division or section and, after13171
investigating the circumstances surrounding the operation of the13172
vehicle, may arrest and detain the person.13173

       (D) If a sheriff, deputy sheriff, marshal, deputy marshal,13174
municipal police officer, member of a police force employed by a13175
metropolitan housing authority under division (D) of section13176
3735.31 of the Revised Code, member of a police force employed by13177
a regional transit authority under division (Y) of section 306.3513178
of the Revised Code, special police officer employed by a port13179
authority under section 4582.04 or 4582.28 of the Revised Code,13180
special police officer employed by a municipal corporation at a13181
municipal airport or other municipal air navigation facility13182
described in division (A) of this section, township constable,13183
police officer of a township or joint township police district,13184
state university law enforcement officer appointed under section13185
3345.04 of the Revised Code, peace officer of the department of13186
natural resources, individual designated to perform law13187
enforcement duties under section 511.232, 1545.13, or 6101.75 of13188
the Revised Code, the house sergeant at arms if the house sergeant13189
at arms has arrest authority pursuant to division (E)(1) of13190
section 101.311 of the Revised Code, or an assistant house13191
sergeant at arms is authorized by division (A) or (B) of this13192
section to arrest and detain, within the limits of the political13193
subdivision, metropolitan housing authority housing project,13194
regional transit authority facilities or those areas of a13195
municipal corporation that have been agreed to by a regional13196
transit authority and a municipal corporation located within its13197
territorial jurisdiction, port authority, municipal airport or13198
other municipal air navigation facility, college, or university in13199
which the officer is appointed, employed, or elected or within the13200
limits of the territorial jurisdiction of the peace officer, a13201
person until a warrant can be obtained, the peace officer, outside13202
the limits of that territory, may pursue, arrest, and detain that13203
person until a warrant can be obtained if all of the following13204
apply:13205

       (1) The pursuit takes place without unreasonable delay after13206
the offense is committed;13207

       (2) The pursuit is initiated within the limits of the13208
political subdivision, metropolitan housing authority housing13209
project, regional transit authority facilities or those areas of a13210
municipal corporation that have been agreed to by a regional13211
transit authority and a municipal corporation located within its13212
territorial jurisdiction, port authority, municipal airport or13213
other municipal air navigation facility, college, or university in13214
which the peace officer is appointed, employed, or elected or13215
within the limits of the territorial jurisdiction of the peace13216
officer;13217

       (3) The offense involved is a felony, a misdemeanor of the13218
first degree or a substantially equivalent municipal ordinance, a13219
misdemeanor of the second degree or a substantially equivalent13220
municipal ordinance, or any offense for which points are13221
chargeable pursuant to section 4510.036 of the Revised Code.13222

       (E) In addition to the authority granted under division (A)13223
or (B) of this section:13224

       (1) A sheriff or deputy sheriff may arrest and detain, until13225
a warrant can be obtained, any person found violating section13226
4503.11, 4503.21, or 4549.01, sections 4549.08 to 4549.12, section13227
4549.62, or Chapter 4511. or 4513. of the Revised Code on the13228
portion of any street or highway that is located immediately13229
adjacent to the boundaries of the county in which the sheriff or13230
deputy sheriff is elected or appointed.13231

       (2) A member of the police force of a township police13232
district created under section 505.48 of the Revised Code, a13233
member of the police force of a joint township police district13234
created under section 505.481 of the Revised Code, or a township13235
constable appointed in accordance with section 509.01 of the13236
Revised Code, who has received a certificate from the Ohio peace13237
officer training commission under section 109.75 of the Revised13238
Code, may arrest and detain, until a warrant can be obtained, any13239
person found violating any section or chapter of the Revised Code13240
listed in division (E)(1) of this section, other than sections13241
4513.33 and 4513.34 of the Revised Code, on the portion of any13242
street or highway that is located immediately adjacent to the13243
boundaries of the township police district or joint township13244
police district, in the case of a member of a township police13245
district or joint township police district police force, or the13246
unincorporated territory of the township, in the case of a13247
township constable. However, if the population of the township13248
that created the township police district served by the member's13249
police force, or the townships that created the joint township13250
police district served by the member's police force, or the13251
township that is served by the township constable, is sixty13252
thousand or less, the member of the township police district or13253
joint police district police force or the township constable may13254
not make an arrest under division (E)(2) of this section on a13255
state highway that is included as part of the interstate system.13256

       (3) A police officer or village marshal appointed, elected,13257
or employed by a municipal corporation may arrest and detain,13258
until a warrant can be obtained, any person found violating any13259
section or chapter of the Revised Code listed in division (E)(1)13260
of this section on the portion of any street or highway that is13261
located immediately adjacent to the boundaries of the municipal13262
corporation in which the police officer or village marshal is13263
appointed, elected, or employed.13264

       (4) A peace officer of the department of natural resources or 13265
an individual designated to perform law enforcement duties under 13266
section 511.232, 1545.13, or 6101.75 of the Revised Code may13267
arrest and detain, until a warrant can be obtained, any person13268
found violating any section or chapter of the Revised Code listed13269
in division (E)(1) of this section, other than sections 4513.3313270
and 4513.34 of the Revised Code, on the portion of any street or13271
highway that is located immediately adjacent to the boundaries of13272
the lands and waters that constitute the territorial jurisdiction13273
of the peace officer.13274

       (F)(1) A department of mental health special police officer13275
or a department of mental retardation and developmental13276
disabilities special police officer may arrest without a warrant13277
and detain until a warrant can be obtained any person found13278
committing on the premises of any institution under the13279
jurisdiction of the particular department a misdemeanor under a13280
law of the state.13281

       A department of mental health special police officer or a13282
department of mental retardation and developmental disabilities13283
special police officer may arrest without a warrant and detain13284
until a warrant can be obtained any person who has been13285
hospitalized, institutionalized, or confined in an institution13286
under the jurisdiction of the particular department pursuant to or13287
under authority of section 2945.37, 2945.371, 2945.38, 2945.39,13288
2945.40, 2945.401, or 2945.402 of the Revised Code and who is13289
found committing on the premises of any institution under the13290
jurisdiction of the particular department a violation of section13291
2921.34 of the Revised Code that involves an escape from the13292
premises of the institution.13293

       (2)(a) If a department of mental health special police13294
officer or a department of mental retardation and developmental13295
disabilities special police officer finds any person who has been13296
hospitalized, institutionalized, or confined in an institution13297
under the jurisdiction of the particular department pursuant to or13298
under authority of section 2945.37, 2945.371, 2945.38, 2945.39,13299
2945.40, 2945.401, or 2945.402 of the Revised Code committing a13300
violation of section 2921.34 of the Revised Code that involves an13301
escape from the premises of the institution, or if there is13302
reasonable ground to believe that a violation of section 2921.3413303
of the Revised Code has been committed that involves an escape13304
from the premises of an institution under the jurisdiction of the13305
department of mental health or the department of mental13306
retardation and developmental disabilities and if a department of13307
mental health special police officer or a department of mental13308
retardation and developmental disabilities special police officer13309
has reasonable cause to believe that a particular person who has13310
been hospitalized, institutionalized, or confined in the13311
institution pursuant to or under authority of section 2945.37,13312
2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or 2945.402 of the13313
Revised Code is guilty of the violation, the special police13314
officer, outside of the premises of the institution, may pursue,13315
arrest, and detain that person for that violation of section13316
2921.34 of the Revised Code, until a warrant can be obtained, if13317
both of the following apply:13318

       (i) The pursuit takes place without unreasonable delay after13319
the offense is committed;13320

       (ii) The pursuit is initiated within the premises of the13321
institution from which the violation of section 2921.34 of the13322
Revised Code occurred.13323

       (b) For purposes of division (F)(2)(a) of this section, the13324
execution of a written statement by the administrator of the13325
institution in which a person had been hospitalized,13326
institutionalized, or confined pursuant to or under authority of13327
section 2945.37, 2945.371, 2945.38, 2945.39, 2945.40, 2945.401, or13328
2945.402 of the Revised Code alleging that the person has escaped13329
from the premises of the institution in violation of section13330
2921.34 of the Revised Code constitutes reasonable ground to13331
believe that the violation was committed and reasonable cause to13332
believe that the person alleged in the statement to have committed13333
the offense is guilty of the violation.13334

       (G) As used in this section:13335

       (1) A "department of mental health special police officer"13336
means a special police officer of the department of mental health13337
designated under section 5119.14 of the Revised Code who is13338
certified by the Ohio peace officer training commission under13339
section 109.77 of the Revised Code as having successfully13340
completed an approved peace officer basic training program.13341

       (2) A "department of mental retardation and developmental13342
disabilities special police officer" means a special police13343
officer of the department of mental retardation and developmental13344
disabilities designated under section 5123.13 of the Revised Code13345
who is certified by the Ohio peace officer training council under13346
section 109.77 of the Revised Code as having successfully13347
completed an approved peace officer basic training program.13348

       (3) "Deadly weapon" has the same meaning as in section13349
2923.11 of the Revised Code.13350

       (4) "Family or household member" has the same meaning as in13351
section 2919.25 of the Revised Code.13352

       (5) "Street" or "highway" has the same meaning as in section13353
4511.01 of the Revised Code.13354

       (6) "Interstate system" has the same meaning as in section13355
5516.01 of the Revised Code.13356

       (7) "Peace officer of the department of natural resources"13357
means an employee of the department of natural resources who is a13358
natural resources law enforcement staff officer designated13359
pursuant to section 1501.013 of the Revised Code, a forest officer 13360
designated pursuant to section 1503.29 of the Revised Code, a 13361
preserve officer designated pursuant to section 1517.10 of the 13362
Revised Code, a wildlife officer designated pursuant to section13363
1531.13 of the Revised Code, a park officer designated pursuant to 13364
section 1541.10 of the Revised Code, or a state watercraft officer13365
designated pursuant to section 1547.521 of the Revised Code.13366

       (8) "Portion of any street or highway" means all lanes of the 13367
street or highway irrespective of direction of travel, including 13368
designated turn lanes, and any berm, median, or shoulder.13369

       Sec. 3109.04.  (A) In any divorce, legal separation, or13370
annulment proceeding and in any proceeding pertaining to the13371
allocation of parental rights and responsibilities for the care of13372
a child, upon hearing the testimony of either or both parents and13373
considering any mediation report filed pursuant to section13374
3109.052 of the Revised Code and in accordance with sections 13375
3127.01 to 3127.53 of the Revised Code, the court shall allocate13376
the parental rights and responsibilities for the care of the minor13377
children of the marriage. Subject to division (D)(2) of this13378
section, the court may allocate the parental rights and13379
responsibilities for the care of the children in either of the13380
following ways:13381

       (1) If neither parent files a pleading or motion in13382
accordance with division (G) of this section, if at least one13383
parent files a pleading or motion under that division but no13384
parent who filed a pleading or motion under that division also13385
files a plan for shared parenting, or if at least one parent files13386
both a pleading or motion and a shared parenting plan under that13387
division but no plan for shared parenting is in the best interest13388
of the children, the court, in a manner consistent with the best13389
interest of the children, shall allocate the parental rights and13390
responsibilities for the care of the children primarily to one of13391
the parents, designate that parent as the residential parent and13392
the legal custodian of the child, and divide between the parents13393
the other rights and responsibilities for the care of the13394
children, including, but not limited to, the responsibility to13395
provide support for the children and the right of the parent who13396
is not the residential parent to have continuing contact with the13397
children.13398

       (2) If at least one parent files a pleading or motion in13399
accordance with division (G) of this section and a plan for shared13400
parenting pursuant to that division and if a plan for shared13401
parenting is in the best interest of the children and is approved13402
by the court in accordance with division (D)(1) of this section,13403
the court may allocate the parental rights and responsibilities13404
for the care of the children to both parents and issue a shared13405
parenting order requiring the parents to share all or some of the13406
aspects of the physical and legal care of the children in13407
accordance with the approved plan for shared parenting. If the13408
court issues a shared parenting order under this division and it13409
is necessary for the purpose of receiving public assistance, the13410
court shall designate which one of the parents' residences is to13411
serve as the child's home. The child support obligations of the13412
parents under a shared parenting order issued under this division13413
shall be determined in accordance with Chapters 3119., 3121.,13414
3123., and 3125. of the Revised Code.13415

       (B)(1) When making the allocation of the parental rights and13416
responsibilities for the care of the children under this section13417
in an original proceeding or in any proceeding for modification of13418
a prior order of the court making the allocation, the court shall13419
take into account that which would be in the best interest of the13420
children. In determining the child's best interest for purposes of 13421
making its allocation of the parental rights and responsibilities 13422
for the care of the child and for purposes of resolving any issues 13423
related to the making of that allocation, the court, in its 13424
discretion, may and, upon the request of either party, shall 13425
interview in chambers any or all of the involved children 13426
regarding their wishes and concerns with respect to the13427
allocation.13428

       (2) If the court interviews any child pursuant to division13429
(B)(1) of this section, all of the following apply:13430

       (a) The court, in its discretion, may and, upon the motion of 13431
either parent, shall appoint a guardian ad litem for the child.13432

       (b) The court first shall determine the reasoning ability of13433
the child. If the court determines that the child does not have13434
sufficient reasoning ability to express the child's wishes and13435
concern with respect to the allocation of parental rights and13436
responsibilities for the care of the child, it shall not determine13437
the child's wishes and concerns with respect to the allocation. If 13438
the court determines that the child has sufficient reasoning13439
ability to express the child's wishes or concerns with respect to13440
the allocation, it then shall determine whether, because of13441
special circumstances, it would not be in the best interest of the13442
child to determine the child's wishes and concerns with respect to13443
the allocation. If the court determines that, because of special13444
circumstances, it would not be in the best interest of the child13445
to determine the child's wishes and concerns with respect to the13446
allocation, it shall not determine the child's wishes and concerns13447
with respect to the allocation and shall enter its written13448
findings of fact and opinion in the journal. If the court13449
determines that it would be in the best interests of the child to13450
determine the child's wishes and concerns with respect to the13451
allocation, it shall proceed to make that determination.13452

       (c) The interview shall be conducted in chambers, and no13453
person other than the child, the child's attorney, the judge, any13454
necessary court personnel, and, in the judge's discretion, the13455
attorney of each parent shall be permitted to be present in the13456
chambers during the interview.13457

       (3) No person shall obtain or attempt to obtain from a child13458
a written or recorded statement or affidavit setting forth the13459
child's wishes and concerns regarding the allocation of parental13460
rights and responsibilities concerning the child. No court, in13461
determining the child's best interest for purposes of making its13462
allocation of the parental rights and responsibilities for the13463
care of the child or for purposes of resolving any issues related13464
to the making of that allocation, shall accept or consider a13465
written or recorded statement or affidavit that purports to set13466
forth the child's wishes and concerns regarding those matters.13467

       (C) Prior to trial, the court may cause an investigation to13468
be made as to the character, family relations, past conduct,13469
earning ability, and financial worth of each parent and may order13470
the parents and their minor children to submit to medical,13471
psychological, and psychiatric examinations. The report of the13472
investigation and examinations shall be made available to either13473
parent or the parent's counsel of record not less than five days13474
before trial, upon written request. The report shall be signed by13475
the investigator, and the investigator shall be subject to13476
cross-examination by either parent concerning the contents of the13477
report. The court may tax as costs all or any part of the expenses 13478
for each investigation.13479

       If the court determines that either parent previously has13480
been convicted of or pleaded guilty to any criminal offense13481
involving any act that resulted in a child being a neglected13482
child, that either parent previously has been determined to be the13483
perpetrator of the neglectful act that is the basis of an13484
adjudication that a child is a neglected child, or that there is13485
reason to believe that either parent has acted in a manner13486
resulting in a child being a neglected child, the court shall13487
consider that fact against naming that parent the residential13488
parent and against granting a shared parenting decree. When the13489
court allocates parental rights and responsibilities for the care13490
of children or determines whether to grant shared parenting in any13491
proceeding, it shall consider whether either parent or any member 13492
of the household of either parent has been convicted of or pleaded 13493
guilty to a violation of section 2919.25 of the Revised Code or a 13494
sexually oriented offense involving a victim who at the time of 13495
the commission of the offense was a member of the family or 13496
household that is the subject of the proceeding, has been 13497
convicted of or pleaded guilty to any sexually oriented offense or 13498
other offense involving a victim who at the time of the commission 13499
of the offense was a member of the family or household that is the 13500
subject of the proceeding and caused physical harm to the victim 13501
in the commission of the offense, or has been determined to be the 13502
perpetrator of the abusive act that is the basis of an 13503
adjudication that a child is an abused child. If the court 13504
determines that either parent has been convicted of or pleaded 13505
guilty to a violation of section 2919.25 of the Revised Code or a 13506
sexually oriented offense involving a victim who at the time of 13507
the commission of the offense was a member of the family or 13508
household that is the subject of the proceeding, has been 13509
convicted of or pleaded guilty to any sexually oriented offense or 13510
other offense involving a victim who at the time of the commission 13511
of the offense was a member of the family or household that is the 13512
subject of the proceeding and caused physical harm to the victim 13513
in the commission of the offense, or has been determined to be the 13514
perpetrator of the abusive act that is the basis of an 13515
adjudication that a child is an abused child, it may designate 13516
that parent as the residential parent and may issue a shared 13517
parenting decree or order only if it determines that it is in the 13518
best interest of the child to name that parent the residential 13519
parent or to issue a shared parenting decree or order and it makes 13520
specific written findings of fact to support its determination.13521

       (D)(1)(a) Upon the filing of a pleading or motion by either13522
parent or both parents, in accordance with division (G) of this13523
section, requesting shared parenting and the filing of a shared13524
parenting plan in accordance with that division, the court shall13525
comply with division (D)(1)(a)(i), (ii), or (iii) of this section,13526
whichever is applicable:13527

       (i) If both parents jointly make the request in their13528
pleadings or jointly file the motion and also jointly file the13529
plan, the court shall review the parents' plan to determine if it13530
is in the best interest of the children. If the court determines13531
that the plan is in the best interest of the children, the court13532
shall approve it. If the court determines that the plan or any13533
part of the plan is not in the best interest of the children, the13534
court shall require the parents to make appropriate changes to the13535
plan to meet the court's objections to it. If changes to the plan13536
are made to meet the court's objections, and if the new plan is in13537
the best interest of the children, the court shall approve the13538
plan. If changes to the plan are not made to meet the court's13539
objections, or if the parents attempt to make changes to the plan13540
to meet the court's objections, but the court determines that the13541
new plan or any part of the new plan still is not in the best13542
interest of the children, the court may reject the portion of the13543
parents' pleadings or deny their motion requesting shared13544
parenting of the children and proceed as if the request in the13545
pleadings or the motion had not been made. The court shall not13546
approve a plan under this division unless it determines that the13547
plan is in the best interest of the children.13548

       (ii) If each parent makes a request in the parent's pleadings 13549
or files a motion and each also files a separate plan, the court 13550
shall review each plan filed to determine if either is in the best 13551
interest of the children. If the court determines that one of the 13552
filed plans is in the best interest of the children, the court may 13553
approve the plan. If the court determines that neither filed plan 13554
is in the best interest of the children, the court may order each 13555
parent to submit appropriate changes to the parent's plan or both 13556
of the filed plans to meet the court's objections, or may select 13557
one of the filed plans and order each parent to submit appropriate 13558
changes to the selected plan to meet the court's objections. If 13559
changes to the plan or plans are submitted to meet the court's 13560
objections, and if any of the filed plans with the changes is in 13561
the best interest of the children, the court may approve the plan 13562
with the changes. If changes to the plan or plans are not 13563
submitted to meet the court's objections, or if the parents submit 13564
changes to the plan or plans to meet the court's objections but 13565
the court determines that none of the filed plans with the 13566
submitted changes is in the best interest of the children, the 13567
court may reject the portion of the parents' pleadings or deny 13568
their motions requesting shared parenting of the children and 13569
proceed as if the requests in the pleadings or the motions had not 13570
been made. If the court approves a plan under this division, 13571
either as originally filed or with submitted changes, or if the 13572
court rejects the portion of the parents' pleadings or denies 13573
their motions requesting shared parenting under this division and 13574
proceeds as if the requests in the pleadings or the motions had 13575
not been made, the court shall enter in the record of the case 13576
findings of fact and conclusions of law as to the reasons for the 13577
approval or the rejection or denial. Division (D)(1)(b) of this 13578
section applies in relation to the approval or disapproval of a 13579
plan under this division.13580

       (iii) If each parent makes a request in the parent's13581
pleadings or files a motion but only one parent files a plan, or13582
if only one parent makes a request in the parent's pleadings or13583
files a motion and also files a plan, the court in the best13584
interest of the children may order the other parent to file a plan13585
for shared parenting in accordance with division (G) of this13586
section. The court shall review each plan filed to determine if13587
any plan is in the best interest of the children. If the court13588
determines that one of the filed plans is in the best interest of13589
the children, the court may approve the plan. If the court13590
determines that no filed plan is in the best interest of the13591
children, the court may order each parent to submit appropriate13592
changes to the parent's plan or both of the filed plans to meet13593
the court's objections or may select one filed plan and order each13594
parent to submit appropriate changes to the selected plan to meet13595
the court's objections. If changes to the plan or plans are13596
submitted to meet the court's objections, and if any of the filed13597
plans with the changes is in the best interest of the children,13598
the court may approve the plan with the changes. If changes to the 13599
plan or plans are not submitted to meet the court's objections, or 13600
if the parents submit changes to the plan or plans to meet the 13601
court's objections but the court determines that none of the filed 13602
plans with the submitted changes is in the best interest of the13603
children, the court may reject the portion of the parents'13604
pleadings or deny the parents' motion or reject the portion of the 13605
parents' pleadings or deny their motions requesting shared13606
parenting of the children and proceed as if the request or13607
requests or the motion or motions had not been made. If the court13608
approves a plan under this division, either as originally filed or13609
with submitted changes, or if the court rejects the portion of the13610
pleadings or denies the motion or motions requesting shared13611
parenting under this division and proceeds as if the request or13612
requests or the motion or motions had not been made, the court13613
shall enter in the record of the case findings of fact and13614
conclusions of law as to the reasons for the approval or the13615
rejection or denial. Division (D)(1)(b) of this section applies in 13616
relation to the approval or disapproval of a plan under this13617
division.13618

       (b) The approval of a plan under division (D)(1)(a)(ii) or13619
(iii) of this section is discretionary with the court. The court13620
shall not approve more than one plan under either division and13621
shall not approve a plan under either division unless it13622
determines that the plan is in the best interest of the children.13623
If the court, under either division, does not determine that any13624
filed plan or any filed plan with submitted changes is in the best13625
interest of the children, the court shall not approve any plan.13626

       (c) Whenever possible, the court shall require that a shared13627
parenting plan approved under division (D)(1)(a)(i), (ii), or13628
(iii) of this section ensure the opportunity for both parents to13629
have frequent and continuing contact with the child, unless13630
frequent and continuing contact with any parent would not be in13631
the best interest of the child.13632

       (d) If a court approves a shared parenting plan under13633
division (D)(1)(a)(i), (ii), or (iii) of this section, the13634
approved plan shall be incorporated into a final shared parenting13635
decree granting the parents the shared parenting of the children.13636
Any final shared parenting decree shall be issued at the same time13637
as and shall be appended to the final decree of dissolution,13638
divorce, annulment, or legal separation arising out of the action13639
out of which the question of the allocation of parental rights and13640
responsibilities for the care of the children arose.13641

       No provisional shared parenting decree shall be issued in13642
relation to any shared parenting plan approved under division13643
(D)(1)(a)(i), (ii), or (iii) of this section. A final shared13644
parenting decree issued under this division has immediate effect13645
as a final decree on the date of its issuance, subject to13646
modification or termination as authorized by this section.13647

       (2) If the court finds, with respect to any child under13648
eighteen years of age, that it is in the best interest of the13649
child for neither parent to be designated the residential parent13650
and legal custodian of the child, it may commit the child to a13651
relative of the child or certify a copy of its findings, together13652
with as much of the record and the further information, in13653
narrative form or otherwise, that it considers necessary or as the13654
juvenile court requests, to the juvenile court for further13655
proceedings, and, upon the certification, the juvenile court has13656
exclusive jurisdiction.13657

       (E)(1)(a) The court shall not modify a prior decree13658
allocating parental rights and responsibilities for the care of13659
children unless it finds, based on facts that have arisen since13660
the prior decree or that were unknown to the court at the time of13661
the prior decree, that a change has occurred in the circumstances13662
of the child, the child's residential parent, or either of the13663
parents subject to a shared parenting decree, and that the13664
modification is necessary to serve the best interest of the child.13665
In applying these standards, the court shall retain the13666
residential parent designated by the prior decree or the prior13667
shared parenting decree, unless a modification is in the best13668
interest of the child and one of the following applies:13669

       (i) The residential parent agrees to a change in the13670
residential parent or both parents under a shared parenting decree13671
agree to a change in the designation of residential parent.13672

       (ii) The child, with the consent of the residential parent or 13673
of both parents under a shared parenting decree, has been13674
integrated into the family of the person seeking to become the13675
residential parent.13676

       (iii) The harm likely to be caused by a change of environment 13677
is outweighed by the advantages of the change of environment to 13678
the child.13679

       (b) One or both of the parents under a prior decree13680
allocating parental rights and responsibilities for the care of13681
children that is not a shared parenting decree may file a motion13682
requesting that the prior decree be modified to give both parents13683
shared rights and responsibilities for the care of the children.13684
The motion shall include both a request for modification of the13685
prior decree and a request for a shared parenting order that13686
complies with division (G) of this section. Upon the filing of the 13687
motion, if the court determines that a modification of the prior 13688
decree is authorized under division (E)(1)(a) of this section, the 13689
court may modify the prior decree to grant a shared parenting 13690
order, provided that the court shall not modify the prior decree 13691
to grant a shared parenting order unless the court complies with 13692
divisions (A) and (D)(1) of this section and, in accordance with 13693
those divisions, approves the submitted shared parenting plan and 13694
determines that shared parenting would be in the best interest of 13695
the children.13696

       (2) In addition to a modification authorized under division13697
(E)(1) of this section:13698

       (a) Both parents under a shared parenting decree jointly may13699
modify the terms of the plan for shared parenting approved by the13700
court and incorporated by it into the shared parenting decree.13701
Modifications under this division may be made at any time. The13702
modifications to the plan shall be filed jointly by both parents13703
with the court, and the court shall include them in the plan,13704
unless they are not in the best interest of the children. If the13705
modifications are not in the best interests of the children, the13706
court, in its discretion, may reject the modifications or make13707
modifications to the proposed modifications or the plan that are13708
in the best interest of the children. Modifications jointly13709
submitted by both parents under a shared parenting decree shall be13710
effective, either as originally filed or as modified by the court,13711
upon their inclusion by the court in the plan. Modifications to13712
the plan made by the court shall be effective upon their inclusion13713
by the court in the plan.13714

       (b) The court may modify the terms of the plan for shared13715
parenting approved by the court and incorporated by it into the13716
shared parenting decree upon its own motion at any time if the13717
court determines that the modifications are in the best interest13718
of the children or upon the request of one or both of the parents13719
under the decree. Modifications under this division may be made at 13720
any time. The court shall not make any modification to the plan 13721
under this division, unless the modification is in the best13722
interest of the children.13723

       (c) The court may terminate a prior final shared parenting13724
decree that includes a shared parenting plan approved under13725
division (D)(1)(a)(i) of this section upon the request of one or13726
both of the parents or whenever it determines that shared13727
parenting is not in the best interest of the children. The court13728
may terminate a prior final shared parenting decree that includes13729
a shared parenting plan approved under division (D)(1)(a)(ii) or13730
(iii) of this section if it determines, upon its own motion or13731
upon the request of one or both parents, that shared parenting is13732
not in the best interest of the children. If modification of the13733
terms of the plan for shared parenting approved by the court and13734
incorporated by it into the final shared parenting decree is13735
attempted under division (E)(2)(a) of this section and the court13736
rejects the modifications, it may terminate the final shared13737
parenting decree if it determines that shared parenting is not in13738
the best interest of the children.13739

       (d) Upon the termination of a prior final shared parenting13740
decree under division (E)(2)(c) of this section, the court shall13741
proceed and issue a modified decree for the allocation of parental13742
rights and responsibilities for the care of the children under the13743
standards applicable under divisions (A), (B), and (C) of this13744
section as if no decree for shared parenting had been granted and13745
as if no request for shared parenting ever had been made.13746

       (F)(1) In determining the best interest of a child pursuant13747
to this section, whether on an original decree allocating parental13748
rights and responsibilities for the care of children or a13749
modification of a decree allocating those rights and13750
responsibilities, the court shall consider all relevant factors,13751
including, but not limited to:13752

       (a) The wishes of the child's parents regarding the child's13753
care;13754

       (b) If the court has interviewed the child in chambers13755
pursuant to division (B) of this section regarding the child's13756
wishes and concerns as to the allocation of parental rights and13757
responsibilities concerning the child, the wishes and concerns of13758
the child, as expressed to the court;13759

       (c) The child's interaction and interrelationship with the13760
child's parents, siblings, and any other person who may13761
significantly affect the child's best interest;13762

       (d) The child's adjustment to the child's home, school, and13763
community;13764

       (e) The mental and physical health of all persons involved in 13765
the situation;13766

       (f) The parent more likely to honor and facilitate13767
court-approved parenting time rights or visitation and13768
companionship rights;13769

       (g) Whether either parent has failed to make all child13770
support payments, including all arrearages, that are required of13771
that parent pursuant to a child support order under which that13772
parent is an obligor;13773

       (h) Whether either parent or any member of the household of 13774
either parent previously has been convicted of or pleaded guilty 13775
to any criminal offense involving any act that resulted in a child 13776
being an abused child or a neglected child; whether either parent, 13777
in a case in which a child has been adjudicated an abused child or 13778
a neglected child, previously has been determined to be the 13779
perpetrator of the abusive or neglectful act that is the basis of 13780
an adjudication; whether either parent or any member of the 13781
household of either parent previously has been convicted of or 13782
pleaded guilty to a violation of section 2919.25 of the Revised 13783
Code or a sexually oriented offense involving a victim who at the 13784
time of the commission of the offense was a member of the family 13785
or household that is the subject of the current proceeding;13786
whether either parent or any member of the household of either 13787
parent previously has been convicted of or pleaded guilty to any 13788
offense involving a victim who at the time of the commission of 13789
the offense was a member of the family or household that is the 13790
subject of the current proceeding and caused physical harm to the 13791
victim in the commission of the offense; and whether there is 13792
reason to believe that either parent has acted in a manner 13793
resulting in a child being an abused child or a neglected child;13794

       (i) Whether the residential parent or one of the parents13795
subject to a shared parenting decree has continuously and13796
willfully denied the other parent's right to parenting time in13797
accordance with an order of the court;13798

       (j) Whether either parent has established a residence, or is13799
planning to establish a residence, outside this state.13800

       (2) In determining whether shared parenting is in the best13801
interest of the children, the court shall consider all relevant13802
factors, including, but not limited to, the factors enumerated in13803
division (F)(1) of this section, the factors enumerated in section 13804
3119.23 of the Revised Code, and all of the following factors:13805

       (a) The ability of the parents to cooperate and make13806
decisions jointly, with respect to the children;13807

       (b) The ability of each parent to encourage the sharing of13808
love, affection, and contact between the child and the other13809
parent;13810

       (c) Any history of, or potential for, child abuse, spouse13811
abuse, other domestic violence, or parental kidnapping by either13812
parent;13813

       (d) The geographic proximity of the parents to each other, as 13814
the proximity relates to the practical considerations of shared13815
parenting;13816

       (e) The recommendation of the guardian ad litem of the child, 13817
if the child has a guardian ad litem.13818

       (3) When allocating parental rights and responsibilities for13819
the care of children, the court shall not give preference to a13820
parent because of that parent's financial status or condition.13821

       (G) Either parent or both parents of any children may file a13822
pleading or motion with the court requesting the court to grant13823
both parents shared parental rights and responsibilities for the13824
care of the children in a proceeding held pursuant to division (A)13825
of this section. If a pleading or motion requesting shared13826
parenting is filed, the parent or parents filing the pleading or13827
motion also shall file with the court a plan for the exercise of13828
shared parenting by both parents. If each parent files a pleading13829
or motion requesting shared parenting but only one parent files a13830
plan or if only one parent files a pleading or motion requesting13831
shared parenting and also files a plan, the other parent as13832
ordered by the court shall file with the court a plan for the13833
exercise of shared parenting by both parents. The plan for shared13834
parenting shall be filed with the petition for dissolution of13835
marriage, if the question of parental rights and responsibilities13836
for the care of the children arises out of an action for13837
dissolution of marriage, or, in other cases, at a time at least13838
thirty days prior to the hearing on the issue of the parental13839
rights and responsibilities for the care of the children. A plan13840
for shared parenting shall include provisions covering all factors13841
that are relevant to the care of the children, including, but not13842
limited to, provisions covering factors such as physical living13843
arrangements, child support obligations, provision for the13844
children's medical and dental care, school placement, and the13845
parent with which the children will be physically located during13846
legal holidays, school holidays, and other days of special13847
importance.13848

       (H) If an appeal is taken from a decision of a court that13849
grants or modifies a decree allocating parental rights and13850
responsibilities for the care of children, the court of appeals13851
shall give the case calendar priority and handle it expeditiously.13852

       (I) Upon receipt of an order to active military service in 13853
the uniformed services, a parent who is subject to an order 13854
allocating parental rights and responsibilities or in relation to 13855
whom an action to allocate parental rights and responsibilities is 13856
pending and who is ordered to active military service shall notify 13857
the other parent who is subject to the order or in relation to 13858
whom the case is pending of the order to active military service. 13859
Either parent may apply to the court for a hearing to expedite an 13860
allocation or modification proceeding. The application shall 13861
include the date on which the active military service begins.13862

       The court shall schedule a hearing upon receipt of the 13863
application and hold the hearing not later than thirty days after 13864
receipt of the application, except that the court shall give the 13865
case calendar priority and handle the case expeditiously if 13866
exigent circumstances exist in the case.13867

       The court shall not modify a prior decree allocating parental 13868
rights and responsibilities unless the court determines by clear 13869
and convincing evidence that there has been a change in 13870
circumstances of the child, the child's residential parent, or 13871
either of the parents subject to a shared parenting decree, and 13872
that modification is necessary to serve the best interest of the 13873
child. The court shall not consider active military service in the 13874
uniformed services in determining whether a change in 13875
circumstances exists under this section.13876

       Nothing in this division shall prevent a court from issuing a 13877
temporary order allocating or modifying parental rights and 13878
responsibilities for the duration of the parent's active military 13879
service.13880

       (J) As used in this section:13881

       (1) "Abused child" has the same meaning as in section 13882
2151.031 of the Revised Code, and "neglected.13883

       (2) "Active military service" means the performance of active 13884
military duty by a member of the uniformed services for a period 13885
of more than thirty days.13886

       (3) "Neglected child" has the same meaning as in section 13887
2151.03 of the Revised Code.13888

       (2)(4) "Sexually oriented offense" has the same meaning as in 13889
section 2950.01 of the Revised Code.13890

       (5) "Uniformed services" means the United States armed 13891
forces, army national guard and air national guard when engaged in 13892
active duty for training, or the commissioned corps of the United 13893
States public health service.13894

       (J)(K) As used in the Revised Code, "shared parenting" means13895
that the parents share, in the manner set forth in the plan for13896
shared parenting that is approved by the court under division13897
(D)(1) and described in division (K)(L)(6) of this section, all or13898
some of the aspects of physical and legal care of their children.13899

       (K)(L) For purposes of the Revised Code:13900

       (1) A parent who is granted the care, custody, and control of 13901
a child under an order that was issued pursuant to this section13902
prior to April 11, 1991, and that does not provide for shared13903
parenting has "custody of the child" and "care, custody, and13904
control of the child" under the order, and is the "residential13905
parent," the "residential parent and legal custodian," or the13906
"custodial parent" of the child under the order.13907

       (2) A parent who primarily is allocated the parental rights13908
and responsibilities for the care of a child and who is designated13909
as the residential parent and legal custodian of the child under13910
an order that is issued pursuant to this section on or after April13911
11, 1991, and that does not provide for shared parenting has13912
"custody of the child" and "care, custody, and control of the13913
child" under the order, and is the "residential parent," the13914
"residential parent and legal custodian," or the "custodial13915
parent" of the child under the order.13916

       (3) A parent who is not granted custody of a child under an13917
order that was issued pursuant to this section prior to April 11,13918
1991, and that does not provide for shared parenting is the13919
"parent who is not the residential parent," the "parent who is not13920
the residential parent and legal custodian," or the "noncustodial13921
parent" of the child under the order.13922

       (4) A parent who is not primarily allocated the parental13923
rights and responsibilities for the care of a child and who is not13924
designated as the residential parent and legal custodian of the13925
child under an order that is issued pursuant to this section on or13926
after April 11, 1991, and that does not provide for shared13927
parenting is the "parent who is not the residential parent," the13928
"parent who is not the residential parent and legal custodian," or13929
the "noncustodial parent" of the child under the order.13930

       (5) Unless the context clearly requires otherwise, if an13931
order is issued by a court pursuant to this section and the order13932
provides for shared parenting of a child, both parents have13933
"custody of the child" or "care, custody, and control of the13934
child" under the order, to the extent and in the manner specified13935
in the order.13936

       (6) Unless the context clearly requires otherwise and except13937
as otherwise provided in the order, if an order is issued by a13938
court pursuant to this section and the order provides for shared13939
parenting of a child, each parent, regardless of where the child13940
is physically located or with whom the child is residing at a13941
particular point in time, as specified in the order, is the13942
"residential parent," the "residential parent and legal13943
custodian," or the "custodial parent" of the child.13944

       (7) Unless the context clearly requires otherwise and except13945
as otherwise provided in the order, a designation in the order of13946
a parent as the residential parent for the purpose of determining13947
the school the child attends, as the custodial parent for purposes13948
of claiming the child as a dependent pursuant to section 152(e) of13949
the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A.13950
1, as amended, or as the residential parent for purposes of13951
receiving public assistance pursuant to division (A)(2) of this13952
section, does not affect the designation pursuant to division13953
(K)(L)(6) of this section of each parent as the "residential 13954
parent," the "residential parent and legal custodian," or the 13955
"custodial parent" of the child.13956

       (L)(M) The court shall require each parent of a child to file 13957
an affidavit attesting as to whether the parent, and the members 13958
of the parent's household, have been convicted of or pleaded 13959
guilty to any of the offenses identified in divisions (C) and 13960
(F)(1)(h) of this section.13961

       Sec. 3109.041.  (A) Parties to any custody decree issued13962
pursuant to section 3109.04 of the Revised Code prior to the13963
effective date of this amendmentApril 11, 1991, may file a motion 13964
with the court that issued the decree requesting the issuance of a 13965
shared parenting decree in accordance with division (G) of section 13966
3109.04 of the Revised Code. Upon the filing of the motion, the 13967
court shall determine whether to grant the parents shared rights 13968
and responsibilities for the care of the children in accordance 13969
with divisions (A), (D)(1), and (E)(1), and (I) of section 3109.04 13970
of the Revised Code.13971

       (B) A custody decree issued pursuant to section 3109.04 of13972
the Revised Code prior to the effective date of this amendment13973
April 11, 1991, that granted joint care, custody, and control of 13974
the children to the parents shall not be affected or invalidated 13975
by, and shall not be construed as being affected or invalidated 13976
by, the provisions of section 3109.04 of the Revised Code relative 13977
to the granting of a shared parenting decree or a decree 13978
allocating parental rights and responsibilities for the care of 13979
children on and after the effective date of this amendmentApril 13980
11, 1991. The decree issued prior to the effective date of this 13981
amendmentApril 11, 1991 shall remain in full force and effect,13982
subject to modification or termination pursuant to section 3109.04 13983
of the Revised Code as that section exists on and after the 13984
effective date of this amendmentApril 11, 1991.13985

       (C) As used in this section, "joint custody" and "joint care, 13986
custody, and control" have the same meaning as "shared parenting."13987

       Sec. 3119.022.  When a court or child support enforcement13988
agency calculates the amount of child support to be paid pursuant13989
to a child support order in a proceeding in which one parent is13990
the residential parent and legal custodian of all of the children13991
who are the subject of the child support order or in which the13992
court issues a shared parenting order, the court or agency shall13993
use a worksheet identical in content and form to the following:13994

CHILD SUPPORT COMPUTATION WORKSHEET
13995

SOLE RESIDENTIAL PARENT OR SHARED PARENTING ORDER
13996

Name of parties ................................................13997

Case No. .......................................................13998

Number of minor children .......................................13999

The following parent was designated as residential parent and14000
legal custodian: ...... mother ...... father ...... shared14001

Column I Column II Column III 14002
Father Mother Combined 14003
INCOME: 14004
1.a. Annual gross income from 14005
employment or, when 14006
determined appropriate 14007
by the court or agency, 14008
average annual gross income 14009
from employment over a 14010
reasonable period of years. 14011
(Exclude overtime, bonuses, 14012
self-employment income, or 14013
commissions)............... $...... $...... 14014
b. Amount of overtime, 14015
bonuses, and commissions 14016
(year 1 representing the 14017
most recent year) 14018

Father Mother 14019
Yr. 3 $.......... Yr. 3 $.......... 14020
(Three years ago) (Three years ago) 14021
Yr. 2 $.......... Yr. 2 $.......... 14022
(Two years ago) (Two years ago) 14023
Yr. 1 $.......... Yr. 1 $.......... 14024
(Last calendar year) (Last calendar year) 14025
Average $......... Average $......... 14026

(Include in Col. I and/or 14027
Col. II the average of the 14028
three years or the year 1 14029
amount, whichever is less, 14030
if there exists a reasonable 14031
expectation that the total 14032
earnings from overtime and/or 14033
bonuses during the current 14034
calendar year will meet or 14035
exceed the amount that is 14036
the lower of the average 14037
of the three years or the 14038
year 1 amount. If, however, 14039
there exists a reasonable 14040
expectation that the total 14041
earnings from overtime/ 14042
bonuses during the current 14043
calendar year will be less 14044
than the lower of the average 14045
of the 3 years or the year 1 14046
amount, include only the 14047
amount reasonably expected 14048
to be earned this year.)... $...... $...... 14049
14050
2. For self-employment income: 14051
a. Gross receipts from 14052
business................... $...... $...... 14053
b. Ordinary and necessary 14054
business expenses.......... $...... $...... 14055
c. 5.6% of adjusted gross 14056
income or the actual 14057
marginal difference between 14058
the actual rate paid by the 14059
self-employed individual 14060
and the F.I.C.A. rate ..... $...... $...... 14061
d. Adjusted gross income from 14062
self-employment (subtract 14063
the sum of 2b and 2c from 14064
2a)........................ $...... $...... 14065
14066
3. Annual income from interest 14067
and dividends (whether or 14068
not taxable)............... $...... $...... 14069
14070
4. Annual income from 14071
unemployment compensation... $...... $...... 14072
14073
5. Annual income from workers' 14074
compensation, disability 14075
insurance benefits, or social 14076
security disability/ 14077
retirement benefits........ $...... $...... 14078
14079
6. Other annual income 14080
(identify)................. $...... $...... 14081
14082
7.a. Total annual gross income 14083
(add lines 1a, 1b, 2d, and 14084
3-6)....................... $...... $...... 14085
b. Health care maximum (multiply 14086
line 7a by 5%) $...... $...... 14087
14088
ADJUSTMENTS TO INCOME: 14089
8. Adjustment for minor children 14090
born to or adopted by either 14091
parent and another parent who 14092
are living with this parent; 14093
adjustment does not apply 14094
to stepchildren (number of 14095
children times federal income 14096
tax exemption less child 14097
support received, not to 14098
exceed the federal tax 14099
exemption)................. $...... $...... 14100
14101
9. Annual court-ordered support 14102
paid for other children.... $...... $...... 14103
14104
10. Annual court-ordered spousal 14105
support paid to any spouse 14106
or former spouse........... $...... $...... 14107
14108
11. Amount of local income taxes 14109
actually paid or estimated 14110
to be paid................. $...... $...... 14111
14112
12. Mandatory work-related 14113
deductions such as union 14114
dues, uniform fees, etc. 14115
(not including taxes, social 14116
security, or retirement)... $...... $...... 14117
14118
13. Total gross income 14119
adjustments (add lines 14120
8 through 12).............. $...... $...... 14121
14122
14. Adjusted annual gross 14123
income (subtract line 13 14124
from line 7a).............. $...... $...... 14125
14126
15. Combined annual income that 14127
is basis for child support 14128
order (add line 14, Col. I 14129
and Col. II)................ $...... 14130
14131
16. Percentage of parent's 14132
income to total income 14133
a. Father (divide line 14, 14134
Col. I, by line 15, Col. 14135
III).......................% 14136
b. Mother (divide line 14, 14137
Col. II, by line 15, Col. 14138
III).......................% 14139
14140
17. Basic combined child 14141
support obligation (refer 14142
to schedule, first column, 14143
locate the amount nearest 14144
to the amount on line 15, 14145
Col. III, then refer to 14146
column for number of 14147
children in this family. 14148
If the income of the 14149
parents is more than one 14150
sum but less than another, 14151
you may calculate the 14152
difference.)............... $...... 14153
14154
18. Annual support obligation per parent 14155
a. Father (multiply line 17, 14156
Col. III, by line 16a)..... $...... 14157
b. Mother (multiply line 17, 14158
Col. III, by line 16b)..... $...... 14159
14160
19. Annual child care expenses 14161
for children who are the 14162
subject of this order that 14163
are work-, employment 14164
training-, or education- 14165
related, as approved by 14166
the court or agency 14167
(deduct tax credit from 14168
annual cost, whether or 14169
not claimed).............. $...... $...... 14170
14171
20. Marginal, out-of-pocket 14172
costs, necessary to provide 14173
for health insurance for 14174
the children who are the 14175
subject of this order 14176
Actual out-of-pocket 14177
health insurance cost 14178
to parent for the children 14179
who are the subject of 14180
this order, if the parent 14181
is ordered to provide 14182
health insurance ........ $...... $...... 14183
14184
21. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14185

Father (only if obligor Mother (only if obligor 14186
or shared parenting) or shared parenting) 14187
a. Additions: line 16a b. Additions: line 16b 14188
times sum of amounts times sum of amounts 14189
shown on line 19, Col. II shown on line 19, Col. I 14190
and line 20, Col. II and line 20, Col. I 14191
$...................... $...................... 14192
c. Subtractions: line 16b d. Subtractions: line 16a 14193
times sum of amounts times sum of amounts 14194
shown on line 19, Col. I shown on line 19, Col. II 14195
and line 20, Col. I and line 20, Col. II 14196
$....................... $....................... 14197

14198
22. OBLIGATION AFTER ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14199
a. Father: line 18a plus or 14200
minus the difference between 14201
line 21a minus line 21c 14202
$...... 14203
b. Mother: line 18b plus or 14204
minus the difference between 14205
line 21b minus line 21d 14206
$...... 14207
  14208
23. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS PROVIDED: 14209
a. (Line 22a or 22b, whichever 14210
line corresponds to the 14211
parent who is the obligor). $...... 14212
b. Any non-means-tested 14213
benefits, including social 14214
security and veterans' 14215
benefits, paid to and 14216
received by a child or a 14217
person on behalf of the 14218
child due to death, 14219
disability, or retirement 14220
of the parent............... $...... 14221
c. Actual annual obligation 14222
(subtract line 23b from 14223
line 23a)................... $...... 14224
  14225
24. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS NOT PROVIDED: 14226

Father (only if obligor Mother (only if obligor 14227
or shared parenting) or shared parenting) 14228
a. Additions: line 16a times b. Additions: line 16b times 14229
amount shown on line 19, amount shown on line 19, 14230
Col. II Col. I 14231
$...................... $...................... 14232
c. Subtractions: line 16b d. Subtractions: line 16a 14233
times amount shown on times amount shown on 14234
line 19, Col. I line 19, Col. II 14235
$....................... $....................... 14236
  14237

25. OBLIGATION AFTER ADJUSTMENTS TO CHILD SUPPORT 14238
WHEN HEALTH INSURANCE IS NOT PROVIDED: 14239
a. Father: line 18a plus or minus the difference between line 24a minus line 24c 14240
$...... 14241
b. Mother: line 18b plus or minus the difference between line 24b and 24d 14242
$...... 14243
  14244
26. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS NOT PROVIDED: 14245
a. (Line 25a or 25b, whichever line corresponds to the parent who is the 14246
obligor) $...... 14247
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 14248
parent $...... 14249
c. Actual annual obligation (subtract line 26b from line 14250
26a $...... 14251

  14252
27.a. Deviation from sole residential parent support amount shown 14253
on line 23c if amount would be unjust or inappropriate: (see 14254
section 3119.23 of the Revised Code.) (Specific facts and 14255
monetary value must be stated.) 14256
14257
14258
14259
14260
b. Deviation from shared parenting order: (see sections 3119.23 14261
and 3119.24 of the Revised Code.) (Specific facts including 14262
amount of time children spend with each parent, ability of 14263
each parent to maintain adequate housing for children, and 14264
each parent's expenses for children must be stated to justify 14265
deviation.) 14266
14267
14268
14269
14270

WHEN HEALTH INSURANCE IS PROVIDED WHEN HEALTH INSURANCE IS NOT PROVIDED 14271
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) 14272
$...... $...... Father/Mother, OBLIGOR 14273
14274
26 29. FOR DECREE: Child support per month (divide obligor's annual share, line 25 28, by 12) plus any processing charge 14275
$...... $...... 14276
14277
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 14278
line 7b $...... 14279
14280
31. FOR DECREE: Cash medical support per month (divide 14281
line 30 by 12) $...... 14282

Prepared by: 14283
Counsel: .................... Pro se: ................. 14284
(For mother/father) 14285
CSEA: ....................... Other: .................. 14286

Worksheet Has Been Reviewed and Agreed To:
14287

........................... ........................... 14288
Mother Date 14289
........................... ........................... 14290
Father Date 14291

       Sec. 3119.023.  When a court or child support enforcement14292
agency calculates the amount of child support to be paid pursuant14293
to a court child support order in a proceeding in which the14294
parents have split parental rights and responsibilities with14295
respect to the children who are the subject of the child support14296
order, the court or child support enforcement agency shall use a14297
worksheet that is identical in content and form to the following:14298

CHILD SUPPORT COMPUTATION WORKSHEET
14299

SPLIT PARENTAL RIGHTS AND RESPONSIBILITIES
14300

Name of parties ................................................14301

Case No. .......................................................14302

Number of minor children .......................................14303

Number of minor children with mother .......... father .........14304

Column I Column II Column III 14305
Father Mother Combined 14306
INCOME: 14307
1.a. Annual gross income from 14308
employment or, when 14309
determined appropriate 14310
by the court or agency, 14311
average annual gross income 14312
from employment over a 14313
reasonable period of years. 14314
(Exclude overtime, bonuses, 14315
self-employment income, or 14316
commissions)............... $...... $...... 14317
b. Amount of overtime, 14318
bonuses, and commissions 14319
(year 1 representing the 14320
most recent year) 14321

Father Mother 14322
Yr. 3 $.......... Yr. 3 $.......... 14323
(Three years ago) (Three years ago) 14324
Yr. 2 $.......... Yr. 2 $.......... 14325
(Two years ago) (Two years ago) 14326
Yr. 1 $.......... Yr. 1 $.......... 14327
(Last calendar year) (Last calendar year) 14328
Average $.......... $............ 14329

(Include in Col. I and/or 14330
Col. II the average of the 14331
three years or the year 1 14332
amount, whichever is less, 14333
if there exists a reasonable 14334
expectation that the total 14335
earnings from overtime and/or 14336
bonuses during the current 14337
calendar year will meet or 14338
exceed the amount that is 14339
the lower of the average 14340
of the three years or the 14341
year 1 amount. If, however, 14342
there exists a reasonable 14343
expectation that the total 14344
earnings from overtime/ 14345
bonuses during the current 14346
calendar year will be less 14347
than the lower of the average 14348
of the 3 years or the year 1 14349
amount, include only the 14350
amount reasonably expected 14351
to be earned this year.)... $...... $...... 14352
14353
2. For self-employment income 14354
a. Gross receipts from 14355
business................... $...... $...... 14356
b. Ordinary and necessary 14357
business expenses.......... $...... $...... 14358
c. 5.6% of adjusted gross 14359
income or the actual 14360
marginal difference between 14361
the actual rate paid by the 14362
self-employed individual 14363
and the F.I.C.A. rate ..... $...... $...... 14364
d. Adjusted gross income from 14365
self-employment (subtract 14366
the sum of 2b and 2c from 14367
2a)........................ $...... $...... 14368
14369
3. Annual income from interest 14370
and dividends (whether or 14371
not taxable)............... $...... $...... 14372
14373
4. Annual income from 14374
unemployment compensation... $...... $...... 14375
14376
5. Annual income from workers' 14377
compensation, disability 14378
insurance benefits or social 14379
security disability 14380
retirement benefits........ $...... $...... 14381
14382
6. Other annual income 14383
(identify)................. $...... $...... 14384
14385
7.a. Total annual gross income 14386
(add lines 1a, 1b, 2d, and 14387
3-6)....................... $...... $...... 14388
b. Health care maximum 14389
(multiply line 7a 14390
by 5%) $...... $...... 14391
14392
ADJUSTMENTS TO INCOME: 14393
8. Adjustment for minor children 14394
born to or adopted by either 14395
parent and another parent who 14396
are living with this parent; 14397
adjustment does not apply 14398
to stepchildren (number of 14399
children times federal income 14400
tax exemption less child 14401
support received, not to 14402
exceed the federal tax 14403
exemption)................. $...... $...... 14404
14405
9. Annual court-ordered support 14406
paid for other children.... $...... $...... 14407
14408
10. Annual court-ordered spousal 14409
support paid to any spouse 14410
or former spouse........... $...... $...... 14411
14412
11. Amount of local income taxes 14413
actually paid or estimated 14414
to be paid................. $...... $...... 14415
14416
12. Mandatory work-related 14417
deductions such as union 14418
dues, uniform fees, etc. 14419
(not including taxes, social 14420
security, or retirement)... $...... $...... 14421
14422
13. Total gross income 14423
adjustments (add lines 14424
8 through 12).............. $...... $...... 14425
14426
14. Adjusted annual gross 14427
income (subtract line 13 14428
from 7a).................... $...... $...... 14429
14430
15. Combined annual income that 14431
is basis for child support 14432
order (add line 14, Col. I 14433
and Col. II)................ $...... 14434
14435
16. Percentage of parent's 14436
income to total income 14437
a. Father (divide line 14, 14438
Col. I, by line 15, Col. 14439
III).......................% 14440
b. Mother (divide line 14, 14441
Col. II, by line 15, Col. 14442
III).......................% 14443
14444
17. Basic combined child 14445
support obligation (refer 14446
to schedule, first column, 14447
locate the amount nearest 14448
to the amount on line 15, 14449
Col. III, then refer to 14450
column for number of 14451
children with this parent. 14452
If the income of the 14453
parents is more than one 14454
sum but less than another, 14455
you may calculate the 14456
difference)................ 14457
14458

For children For children 14459
for whom the for whom the 14460
mother is the father is the 14461
residential residential 14462
parent and parent and 14463
legal custodian legal custodian 14464
$............ $............ 14465

14466
18. Annual support obligation per parent 14467
a. Of father for children for 14468
whom mother is the 14469
residential parent and 14470
legal custodian (multiply 14471
line 17, Col. I, by line 14472
16a)....................... $...... 14473
b. Of mother for children for 14474
whom the father is the 14475
residential parent and 14476
legal custodian (multiply 14477
line 17, Col. II, by line 14478
16b)....................... $...... 14479
14480
19. Annual child care expenses 14481
for children who are the 14482
subject of this order that 14483
are work-, employment 14484
training-, or education- 14485
related, as approved by 14486
the court or agency 14487
(deduct tax credit from 14488
annual cost whether or 14489
not claimed)............... Paid by Paid by 14490
father mother 14491
$...... $...... 14492
14493
20. Marginal, out-of-pocket 14494
costs, necessary to provide 14495
for health insurance for 14496
the children who are the 14497
subject of this order........ 14498
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 14499
insurance Paid by Paid by 14500
father mother 14501
$...... $...... 14502
14503
21. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS PROVIDED: 14504

Father Mother 14505
a. Additions: line 16a b. Additions: line 16b 14506
times sum of amounts times sum of amounts 14507
shown on line 19, Col. II shown on line 19, Col. I 14508
and line 20, Col. II and line 20, Col. I 14509
$...................... $...................... 14510
c. Subtractions: line 16b d. Subtractions: line 16a 14511
times sum of amounts times sum of amounts 14512
shown on line 19, Col. I shown on line 19, Col. II 14513
and line 20, Col. I and line 20, Col. II 14514
$....................... $....................... 14515

  14516
22. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS PROVIDED: 14517
a. Father: line 18a plus line 14518
21a minus line 21c (if the 14519
amount on line 21c is 14520
greater than or equal to 14521
the amount on line 21a-- 14522
enter the number on line 14523
18a in Col. I).............. $...... 14524
b. Any non-means-tested 14525
benefits, including social 14526
security and veterans' 14527
benefits, paid to and 14528
received by children for 14529
whom the mother is the 14530
residential parent and 14531
legal custodian or a person 14532
on behalf of those children 14533
due to death, disability, 14534
or retirement of the 14535
father..................... $...... 14536
c. Actual annual obligation of 14537
father (subtract line 22b 14538
from line 22a)............. $...... 14539
d. Mother: line 18b plus line 14540
21b minus line 21d (if the 14541
amount on line 21d is 14542
greater than or equal to 14543
the amount on line 14544
21b--enter the number on 14545
line 18b in Col. II)....... $...... 14546
e. Any non-means-tested 14547
benefits, including social 14548
security and veterans' 14549
benefits, paid to and 14550
received by children for 14551
whom the father is the 14552
residential parent and 14553
legal custodian or a person 14554
on behalf of those children 14555
due to death, disability, 14556
or retirement of the 14557
mother...................... $...... 14558
f. Actual annual obligation 14559
of mother (subtract line 22e 14560
from line 22d).............. $...... 14561
g. Actual annual obligation 14562
payable (subtract lesser 14563
actual annual obligation 14564
from greater actual annual 14565
obligation using amounts in 14566
lines 22c and 22f to 14567
determine net child support 14568
payable).................... $...... $...... 14569
14570
23. ADJUSTMENTS TO CHILD SUPPORT WHEN HEALTH INSURANCE IS NOT PROVIDED: 14571

Father Mother 14572
a. Additions: line 16a times amount shown on line 19, Col. II b. Additions: line 16b times amount shown on line 19, Col. I 14573
$.......... $.......... 14574
c. Subtractions: line 16b times amount shown on line 19, Col. I d. Subtractions: line 16a times amount shown on line 19, Col. II 14575
$.......... $.......... 14576

  14577
24. ACTUAL ANNUAL OBLIGATION WHEN HEALTH INSURANCE IS NOT PROVIDED: 14578
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 14579
Col. I) $...... 14580
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 14581
retirement of the father $...... 14582
c. Actual annual obligation of the father (subtract line 24b 14583
from line 24a) $...... 14584
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) 14585
$...... 14586
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 14587
$...... 14588
f. Actual annual obligation of the mother (subtract line 24e 14589
from line 24d) $...... 14590
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) 14591
$...... $...... 14592
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 14593
$...... $...... 14594

  14595
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.) 14596
14597
14598
14599
14600

  WHEN HEALTH INSURANCE IS PROVIDED WHEN HEALTH INSURANCE IS NOT PROVIDED 14601
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.) 14602
$...... $...... Father/Mother, OBLIGOR 14603
14604
25 27. FOR DECREE: Child support per month (divide obligor's annual share, line 24 26, by 12) plus any processing charge 14605
$...... $...... 14606
14607
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) 14608
$...... 14609
14610
29. FOR DECREE: Cash medical support per month (divide line 28 by 12) 14611
$...... 14612

Prepared by: 14613
Counsel: .................... Pro se: ................. 14614
       (For mother/father) 14615
CSEA: ....................... Other: .................. 14616

Worksheet Has Been Reviewed and Agreed To:
14617

........................... ........................... 14618
Mother Date 14619
........................... ........................... 14620
Father Date 14621

       Sec. 3119.27. (A) A court that issues or modifies a court14622
support order, or an administrative agency that issues or modifies14623
an administrative child support order, shall impose on the obligor14624
under the support order a processing charge that is the greater of14625
two per cent of the support payment to be collected under a14626
support order or one dollar per month. No court or agency may call 14627
the charge a poundage fee.14628

       (B) In each child support case that is a Title IV-D case, the 14629
department of job and family services shall claim twenty-five 14630
dollars from the processing charge described in division (A) of 14631
this section for federal reporting purposes if the obligee has 14632
never received assistance under Title IV-A and the department has 14633
collected at least five hundred dollars of child support for the 14634
obligee. The director of job and family services shall adopt rules 14635
under Chapter 119. of the Revised Code to implement this division, 14636
and the department shall implement this division not later than 14637
March 31, 2008.14638

       (C) As used in this section:14639

       (1) "Annual" means the period as defined in regulations 14640
issued by the United States secretary of health and human services 14641
to implement the Deficit Reduction Act of 2005 (P.L. 109-171).14642

       (2) "Title IV-A" has the same meaning as in section 5107.02 14643
of the Revised Code.14644

       (3) "Title IV-D case" has the same meaning as in section 14645
3125.01 of the Revised Code.14646

       Sec. 3119.29. (A) As used in this section and sections 14647
3119.30 to 3119.56 of the Revised Code:14648

       (A)(1) "Cash medical support" means an amount ordered to be 14649
paid in a child support order toward the cost of health insurance 14650
provided by a public entity, another parent, or person with whom 14651
the child resides, through employment or otherwise, or for other 14652
medical cost not covered by insurance.14653

       (2) "Federal poverty line" has the same meaning as defined in 14654
section 5104.01 of the Revised Code.14655

       (3) "Health care" means such medical support that includes 14656
coverage under a health insurance plan, payment of costs of 14657
premiums, co-payments, and deductibles, or payment for medical 14658
expenses incurred on behalf of the child.14659

       (4) "Health insurance coverage" means accessible health 14660
insurance that provides primary care services within either thirty 14661
miles or thirty minutes driving time from the residence of the 14662
child subject to the child support order.14663

       (5) "Health plan administrator" means any entity authorized14664
under Title XXXIX of the Revised Code to engage in the business of14665
insurance in this state, any health insuring corporation, any14666
legal entity that is self-insured and provides benefits to its14667
employees or members, and the administrator of any such entity or14668
corporation.14669

       (B)(6) "National medical support notice" means a form 14670
required by the "Child Support Performance and Incentive Act of 14671
1998," P.L. 105-200, 112 Stat. 659, 42 U.S.C. 666(a)(19), as 14672
amended, and jointly developed and promulgated by the secretary of 14673
health and human services and the secretary of labor in federal 14674
regulations adopted under that act as modified by the department 14675
of job and family services under section 3119.291 of the Revised 14676
Code.14677

       (C)(7) "Person required to provide health insurance coverage"14678
means the obligor, obligee, or both, required by the court under a14679
court child support order or by the child support enforcement14680
agency under an administrative child support order to provide14681
health insurance coverage pursuant to section 3119.30 of the14682
Revised Code.14683

       (8) Subject to division (B) of this section, "reasonable 14684
cost" means the cost of private family health insurance that does 14685
not exceed an amount equal to five per cent of the annual gross 14686
income of the person responsible for the health care of the 14687
children subject to the child support order.14688

       (9) "Title XIX" has the same meaning as defined in section 14689
5111.20 of the Revised Code.14690

       (B) If the United States secretary of health and human 14691
services issues a regulation defining "reasonable cost" or a 14692
similar term or phrase relevant to the provisions in child support 14693
orders relating to the provision of health care for children 14694
subject to the orders, and if that definition is substantively 14695
different from the meaning of "reasonable cost" as defined in 14696
division (A) of this section, "reasonable cost" as used in this 14697
section shall have the meaning as defined by the United States 14698
secretary of health and human services.14699

       Sec. 3119.30. (A) In any action or proceeding in which a 14700
child support order is issued or modified, the court, with respect 14701
to court child support orders, and the child support enforcement14702
agency, with respect to administrative child support orders, shall14703
determine the person responsible for the health care of the14704
children subject to the child support order. The determination 14705
shall be based on information provided to the court or to the 14706
child support enforcement agency under section 3119.31 of the 14707
Revised Code. The order shall include one of the following:14708

       (A) A requirement that the obligor under the child support14709
order obtain health insurance coverage for the children if14710
coverage is available at a reasonable cost through a group policy,14711
contract, or plan offered by the obligor's employer or through any14712
other group policy, contract, or plan available to the obligor and14713
is not available for a more reasonable cost through a group14714
policy, contract, or plan available to the obligee;14715

       (B)(1) A requirement that the obligee obtain health insurance14716
coverage for the children if coverage is available through a group14717
policy, contract, or plan offered by the obligee's employer or14718
through any other group policy, contract, or plan available to the14719
obligee and is available at a more reasonable cost than coverage14720
is available to the obligor;14721

       (C)(2) A requirement that the obligor under the child support 14722
order obtain health insurance coverage for the children if 14723
coverage is available at a reasonable cost through any group 14724
policy, contract, or plan available to the obligor and, in the 14725
alternative, if the court or child support enforcement agency 14726
determines that health insurance coverage is not available at a 14727
reasonable cost to the obligee or obligor, and that the gross 14728
income of the obligor is over one hundred fifty per cent of the 14729
federal poverty line, pay cash medical support that is five per 14730
cent of the obligor's annual gross income to either the office of 14731
child support in the department of job and family services to 14732
defray the cost of expenditures under Title XIX to provide health 14733
care for the children, or the obligee if the children are not 14734
receiving assistance under Title XIX;14735

       (3) If health insurance coverage for the children is not14736
available at a reasonable cost through a group policy, contract,14737
or plan offered by the obligor's or obligee's employer or through14738
any other group policy, contract, or plan available to the obligor14739
or the obligee, a requirement that the obligor and the obligee14740
share liability for the cost of the medical and health care needs14741
of the children, under an equitable formula established by the14742
court, with respect to a court child support order, or the child14743
support enforcement agency, with respect to an administrative14744
child support order, with appropriate offset of the amount of any 14745
cash medical payment ordered pursuant to division (A)(2) of this 14746
section, and a requirement that if, after the issuance of the 14747
order, health insurance coverage for the children becomes14748
available at a reasonable cost through a group policy, contract,14749
or plan offered by the obligor's or obligee's employer or through14750
any other group policy, contract, or plan available to the obligor14751
or obligee, the obligor or obligee to whom the coverage becomes14752
available immediately inform the court, with respect to a court14753
child support order, or the child support enforcement agency, with14754
respect to an administrative child support order;14755

       (D)(4) A requirement that both the obligor and the obligee14756
obtain health insurance coverage for the children if coverage is14757
available for the children at a reasonable cost to both the14758
obligor and the obligee and dual coverage would provide for 14759
coordination of medical benefits without unnecessary duplication 14760
of coverage.14761

       (B) The court, with respect to court child support orders, 14762
and the child support enforcement agency, with respect to 14763
administrative child support orders, may determine and include in 14764
an order issued under division (A) of this section that longer 14765
travel times are permissible if residents in part or all of the 14766
service area customarily travel distances farther than thirty 14767
miles or thirty minutes driving time or that primary care services 14768
are accessible only by public transportation.14769

       Sec. 3123.23. (A) The director of job and family services 14770
shall adopt rules under Chapter 119. of the Revised Code to 14771
implement a program to collect arrearages owed under child support 14772
orders from insurance claims, settlements, awards, and payments 14773
based on information obtained pursuant to Title IV-D of the Social 14774
Security Act, 42 U.S.C. 652.14775

       (B) Any insurer and any director, agent, or employee 14776
authorized to act on behalf of an insurer, that releases 14777
information or makes a disclosure in accordance with rules adopted 14778
pursuant to this section shall be immune from liability in a civil 14779
action for harm resulting from the disclosure.14780

       (C) As used in this section, "insurer" has the same meaning 14781
as in section 3901.32 of the Revised Code.14782

       Sec. 3125.12.  Each child support enforcement agency shall 14783
enter into a plan of cooperation with the board of county 14784
commissioners under section 307.983 of the Revised Code and comply 14785
with each fiscalgrant agreement the board enters into under 14786
sectionsections 307.98 and 5101.21 and contracts the board enters 14787
into under sections 307.981 and 307.982 of the Revised Code that 14788
affect the agency.14789

       Sec. 3301.0711.  (A) The department of education shall:14790

       (1) Annually furnish to, grade, and score all tests required14791
by section 3301.0710 of the Revised Code to be administered by14792
city, local, exempted village, and joint vocational school14793
districts, except that each district shall score any test 14794
administered pursuant to division (B)(10) of this section. Each 14795
test so furnished shall include the data verification code of the 14796
student to whom the test will be administered, as assigned 14797
pursuant to division (D)(2) of section 3301.0714 of the Revised 14798
Code. In furnishing the practice versions of Ohio graduation tests 14799
prescribed by division (F) of section 3301.0710 of the Revised 14800
Code, the department shall make the tests available on its web 14801
site for reproduction by districts. In awarding contracts for 14802
grading tests, the department shall give preference to Ohio-based 14803
entities employing Ohio residents.14804

       (2) Adopt rules for the ethical use of tests and prescribing14805
the manner in which the tests prescribed by section 3301.0710 of14806
the Revised Code shall be administered to students.14807

       (B) Except as provided in divisions (C) and (J) of this14808
section, the board of education of each city, local, and exempted14809
village school district shall, in accordance with rules adopted14810
under division (A) of this section:14811

       (1) Administer the reading test prescribed under division 14812
(A)(1)(a) of section 3301.0710 of the Revised Code twice annually 14813
to all students in the third grade who have not attained the score14814
designated for that test under division (A)(2)(c) of section14815
3301.0710 of the Revised Code.14816

       (2) Administer the mathematics test prescribed under division 14817
(A)(1)(a) of section 3301.0710 of the Revised Code at least once 14818
annually to all students in the third grade.14819

       (3) Administer the tests prescribed under division (A)(1)(b)14820
of section 3301.0710 of the Revised Code at least once annually to 14821
all students in the fourth grade.14822

       (4) Administer the tests prescribed under division (A)(1)(c)14823
of section 3301.0710 of the Revised Code at least once annually to14824
all students in the fifth grade.14825

       (5) Administer the tests prescribed under division (A)(1)(d) 14826
of section 3301.0710 of the Revised Code at least once annually to 14827
all students in the sixth grade.14828

       (6) Administer the tests prescribed under division (A)(1)(e)14829
of section 3301.0710 of the Revised Code at least once annually to 14830
all students in the seventh grade.14831

       (7) Administer the tests prescribed under division (A)(1)(f)14832
of section 3301.0710 of the Revised Code at least once annually to14833
all students in the eighth grade.14834

       (8) Except as provided in division (B)(9) of this section,14835
administer any test prescribed under division (B) of section14836
3301.0710 of the Revised Code as follows:14837

       (a) At least once annually to all tenth grade students and at14838
least twice annually to all students in eleventh or twelfth grade 14839
who have not yet attained the score on that test designated under 14840
that division;14841

       (b) To any person who has successfully completed the14842
curriculum in any high school or the individualized education14843
program developed for the person by any high school pursuant to14844
section 3323.08 of the Revised Code but has not received a high14845
school diploma and who requests to take such test, at any time14846
such test is administered in the district.14847

       (9) In lieu of the board of education of any city, local, or14848
exempted village school district in which the student is also14849
enrolled, the board of a joint vocational school district shall14850
administer any test prescribed under division (B) of section14851
3301.0710 of the Revised Code at least twice annually to any 14852
student enrolled in the joint vocational school district who has14853
not yet attained the score on that test designated under that14854
division. A board of a joint vocational school district may also14855
administer such a test to any student described in division14856
(B)(8)(b) of this section.14857

       (10) If the district has been declared to be under an 14858
academic watch or in a state of academic emergency pursuant to 14859
section 3302.03 of the Revised Code or has a three-year average 14860
graduation rate of not more than seventy-five per cent, administer 14861
each test prescribed by division (F) of section 3301.0710 of the 14862
Revised Code in September to all ninth grade students, beginning 14863
in the school year that starts July 1, 2005.14864

       (C)(1)(a) Any student receiving special education services14865
under Chapter 3323. of the Revised Code may be excused from taking14866
any particular test required to be administered under this section 14867
if the individualized education program developed for the student 14868
pursuant to section 3323.08 of the Revised Code excuses the 14869
student from taking that test and instead specifies an alternate 14870
assessment method approved by the department of education as 14871
conforming to requirements of federal law for receipt of federal 14872
funds for disadvantaged pupils. To the extent possible, the 14873
individualized education program shall not excuse the student from 14874
taking a test unless no reasonable accommodation can be made to 14875
enable the student to take the test.14876

       (b) Any alternate assessment approved by the department for a 14877
student under this division shall produce measurable results14878
comparable to those produced by the tests which the alternate14879
assessments are replacing in order to allow for the student's14880
assessment results to be included in the data compiled for a14881
school district or building under section 3302.03 of the Revised 14882
Code.14883

       (c) Any student enrolled in a chartered nonpublic school who 14884
has been identified, based on an evaluation conducted in14885
accordance with section 3323.03 of the Revised Code or section 50414886
of the "Rehabilitation Act of 1973," 87 Stat. 355, 29 U.S.C.A.14887
794, as amended, as a child with a disability shall be excused14888
from taking any particular test required to be administered under14889
this section if a plan developed for the student pursuant to rules14890
adopted by the state board excuses the student from taking that14891
test. In the case of any student so excused from taking a test,14892
the chartered nonpublic school shall not prohibit the student from14893
taking the test.14894

       (2) A district board may, for medical reasons or other good14895
cause, excuse a student from taking a test administered under this14896
section on the date scheduled, but any such test shall be14897
administered to such excused student not later than nine days14898
following the scheduled date. The board shall annually report the14899
number of students who have not taken one or more of the tests14900
required by this section to the state board of education not later14901
than the thirtieth day of June.14902

       (3) As used in this division, "limited English proficient 14903
student" has the same meaning as in 20 U.S.C. 7801.14904

       No school district board shall excuse any limited English 14905
proficient student from taking any particular test required to be 14906
administered under this section, except that any limited English 14907
proficient student who has been enrolled in United States schools 14908
for less than one full school year shall not be required to take 14909
any such reading or writing test. However, no board shall prohibit 14910
a limited English proficient student who is not required to take a 14911
test under this division from taking the test. A board may permit 14912
any limited English proficient student to take any test required 14913
to be administered under this section with appropriate 14914
accommodations, as determined by the department. For each limited 14915
English proficient student, each school district shall annually 14916
assess that student's progress in learning English, in accordance 14917
with procedures approved by the department.14918

       The governing authority of a chartered nonpublic school may 14919
excuse a limited English proficient student from taking any test 14920
administered under this section. However, no governing authority 14921
shall prohibit a limited English proficient student from taking 14922
the test.14923

       (D)(1) In the school year next succeeding the school year in14924
which the tests prescribed by division (A)(1) or (B) of section14925
3301.0710 of the Revised Code or former division (A)(1), (A)(2), 14926
or (B) of section 3301.0710 of the Revised Code as it existed 14927
prior to September 11, 2001, are administered to any student, the 14928
board of education of any school district in which the student is14929
enrolled in that year shall provide to the student intervention14930
services commensurate with the student's test performance,14931
including any intensive intervention required under section14932
3313.608 of the Revised Code, in any skill in which the student14933
failed to demonstrate at least a score at the proficient level on 14934
the test.14935

       (2) Following any administration of the tests prescribed by 14936
division (F) of section 3301.0710 of the Revised Code to ninth 14937
grade students, each school district that has a three-year average 14938
graduation rate of not more than seventy-five per cent shall 14939
determine for each high school in the district whether the school 14940
shall be required to provide intervention services to any students 14941
who took the tests. In determining which high schools shall 14942
provide intervention services based on the resources available, 14943
the district shall consider each school's graduation rate and 14944
scores on the practice tests. The district also shall consider the 14945
scores received by ninth grade students on the reading and 14946
mathematics tests prescribed under division (A)(1)(f) of section 14947
3301.0710 of the Revised Code in the eighth grade in determining 14948
which high schools shall provide intervention services.14949

       Each high school selected to provide intervention services 14950
under this division shall provide intervention services to any 14951
student whose test results indicate that the student is failing to 14952
make satisfactory progress toward being able to attain scores at 14953
the proficient level on the Ohio graduation tests. Intervention 14954
services shall be provided in any skill in which a student 14955
demonstrates unsatisfactory progress and shall be commensurate 14956
with the student's test performance. Schools shall provide the 14957
intervention services prior to the end of the school year, during 14958
the summer following the ninth grade, in the next succeeding 14959
school year, or at any combination of those times.14960

       (E) Except as provided in section 3313.608 of the Revised14961
Code and division (M) of this section, no school district board of14962
education shall utilize any student's failure to attain a14963
specified score on any test administered under this section as a14964
factor in any decision to deny the student promotion to a higher14965
grade level. However, a district board may choose not to promote14966
to the next grade level any student who does not take any test14967
administered under this section or make up such test as provided14968
by division (C)(2) of this section and who is not exempt from the 14969
requirement to take the test under division (C)(3) of this 14970
section.14971

       (F) No person shall be charged a fee for taking any test14972
administered under this section.14973

       (G)(1) Each school district board shall submitdesignate one 14974
location for the collection of tests administered in the spring 14975
under division (B)(1) of this section and the tests administered 14976
under divisions (B)(2) to (7) of this section. Each district board 14977
shall submit the tests to the entity with which the department 14978
contracts for the scoring of the tests as follows:14979

        (a) If the district's total enrollment in grades kindergarten 14980
through twelve during the first full school week of October was 14981
less than two thousand five hundred, not later than the Friday 14982
after the tests are administered, except that;14983

       (b) If the district's total enrollment in grades kindergarten 14984
through twelve during the first full school week of October was 14985
two thousand five hundred or more, but less than seven thousand, 14986
not later than the Monday after the tests are administered;14987

        (c) If the district's total enrollment in grades kindergarten 14988
through twelve during the first full school week of October was 14989
seven thousand or more, not later than the Tuesday after the tests 14990
are administered.14991

        However, any such test that a student takes during the 14992
make-up period described in division (C)(2) of this section shall 14993
be submitted not later than the Friday following the day the 14994
student takes the test.14995

        (2) The department or an entity with which the department 14996
contracts for the scoring of the test shall send to each school 14997
district board a list of the individual test scores of all persons 14998
taking any test prescribed by division (A)(1) or (B) of section 14999
3301.0710 of the Revised Code within sixty days after its 15000
administration, but in no case shall the scores be returned later 15001
than the fifteenth day of June following the administration. For 15002
any tests administered under this section by a joint vocational 15003
school district, the department or entity shall also send to each 15004
city, local, or exempted village school district a list of the 15005
individual test scores of any students of such city, local, or 15006
exempted village school district who are attending school in the 15007
joint vocational school district.15008

       (H) Individual test scores on any tests administered under15009
this section shall be released by a district board only in15010
accordance with section 3319.321 of the Revised Code and the rules15011
adopted under division (A) of this section. No district board or15012
its employees shall utilize individual or aggregate test results15013
in any manner that conflicts with rules for the ethical use of15014
tests adopted pursuant to division (A) of this section.15015

       (I) Except as provided in division (G) of this section, the15016
department or an entity with which the department contracts for 15017
the scoring of the test shall not release any individual test 15018
scores on any test administered under this section. The state 15019
board of education shall adopt rules to ensure the protection of 15020
student confidentiality at all times. The rules may require the 15021
use of the data verification codes assigned to students pursuant 15022
to division (D)(2) of section 3301.0714 of the Revised Code to 15023
protect the confidentiality of student test scores.15024

       (J) Notwithstanding division (D) of section 3311.52 of the15025
Revised Code, this section does not apply to the board of15026
education of any cooperative education school district except as15027
provided under rules adopted pursuant to this division.15028

       (1) In accordance with rules that the state board of15029
education shall adopt, the board of education of any city,15030
exempted village, or local school district with territory in a15031
cooperative education school district established pursuant to15032
divisions (A) to (C) of section 3311.52 of the Revised Code may15033
enter into an agreement with the board of education of the 15034
cooperative education school district for administering any test15035
prescribed under this section to students of the city, exempted15036
village, or local school district who are attending school in the15037
cooperative education school district.15038

       (2) In accordance with rules that the state board of15039
education shall adopt, the board of education of any city,15040
exempted village, or local school district with territory in a15041
cooperative education school district established pursuant to15042
section 3311.521 of the Revised Code shall enter into an agreement15043
with the cooperative district that provides for the administration15044
of any test prescribed under this section to both of the15045
following:15046

       (a) Students who are attending school in the cooperative15047
district and who, if the cooperative district were not15048
established, would be entitled to attend school in the city,15049
local, or exempted village school district pursuant to section15050
3313.64 or 3313.65 of the Revised Code;15051

       (b) Persons described in division (B)(8)(b) of this section.15052

       Any testing of students pursuant to such an agreement shall15053
be in lieu of any testing of such students or persons pursuant to15054
this section.15055

       (K)(1) Any chartered nonpublic school may participate in the15056
testing program by administering any of the tests prescribed by15057
section 3301.0710 or 3301.0712 of the Revised Code if the chief15058
administrator of the school specifies which tests the school15059
wishes to administer. Such specification shall be made in writing 15060
to the superintendent of public instruction prior to the first day 15061
of August of any school year in which tests are administered and15062
shall include a pledge that the nonpublic school will administer15063
the specified tests in the same manner as public schools are15064
required to do under this section and rules adopted by the15065
department.15066

       (2) The department of education shall furnish the tests15067
prescribed by section 3301.0710 or 3301.0712 of the Revised Code 15068
to any chartered nonpublic school electing to participate under 15069
this division.15070

       (L)(1) The superintendent of the state school for the blind15071
and the superintendent of the state school for the deaf shall15072
administer the tests described by section 3301.0710 of the Revised15073
Code. Each superintendent shall administer the tests in the same15074
manner as district boards are required to do under this section15075
and rules adopted by the department of education and in conformity15076
with division (C)(1)(a) of this section.15077

       (2) The department of education shall furnish the tests15078
described by section 3301.0710 of the Revised Code to each15079
superintendent.15080

       (M) Notwithstanding division (E) of this section, a school15081
district may use a student's failure to attain a score in at least 15082
the basic range on the mathematics test described by division 15083
(A)(1)(a) of section 3301.0710 of the Revised Code or on any of 15084
the tests described by division (A)(1)(b), (c), (d), (e), or (f) 15085
of section 3301.0710 of the Revised Code as a factor in retaining 15086
that student in the current grade level.15087

       (N)(1) In the manner specified in divisions (N)(3) to (5) of 15088
this section, the tests required by section 3301.0710 of the15089
Revised Code shall become public records pursuant to section15090
149.43 of the Revised Code on the first day of July following the15091
school year that the test was administered.15092

       (2) The department may field test proposed test questions15093
with samples of students to determine the validity, reliability,15094
or appropriateness of test questions for possible inclusion in a15095
future year's test. The department also may use anchor questions 15096
on tests to ensure that different versions of the same test are of 15097
comparable difficulty.15098

       Field test questions and anchor questions shall not be 15099
considered in computing test scores for individual students. Field 15100
test questions and anchor questions may be included as part of the 15101
administration of any test required by section 3301.0710 of the 15102
Revised Code.15103

       (3) Any field test question or anchor question administered 15104
under division (N)(2) of this section shall not be a public 15105
record. Such field test questions and anchor questions shall be15106
redacted from any tests which are released as a public record 15107
pursuant to division (N)(1) of this section.15108

       (4) This division applies to the tests prescribed by division 15109
(A) of section 3301.0710 of the Revised Code.15110

       (a) The first administration of each test, as specified in 15111
section 3301.0712 of the Revised Code, shall be a public record.15112

       (b) For subsequent administrations of each test, not less 15113
than forty per cent of the questions on the test that are used to 15114
compute a student's score shall be a public record. The department 15115
shall determine which questions will be needed for reuse on a 15116
future test and those questions shall not be public records and 15117
shall be redacted from the test prior to its release as a public 15118
record.15119

       (5) Each test prescribed by division (B) of section 3301.0710 15120
of the Revised Code that is administered in the spring shall be a 15121
public record. Each test prescribed by that division that is 15122
administered in the fall or summer shall not be a public record.15123

       (O) As used in this section:15124

        (1) "Three-year average" means the average of the most recent 15125
consecutive three school years of data.15126

        (2) "Dropout" means a student who withdraws from school 15127
before completing course requirements for graduation and who is 15128
not enrolled in an education program approved by the state board 15129
of education or an education program outside the state. "Dropout" 15130
does not include a student who has departed the country.15131

        (3) "Graduation rate" means the ratio of students receiving a 15132
diploma to the number of students who entered ninth grade four 15133
years earlier. Students who transfer into the district are added 15134
to the calculation. Students who transfer out of the district for 15135
reasons other than dropout are subtracted from the calculation. If 15136
a student who was a dropout in any previous year returns to the 15137
same school district, that student shall be entered into the 15138
calculation as if the student had entered ninth grade four years 15139
before the graduation year of the graduating class that the 15140
student joins.15141

       Sec. 3301.0714.  (A) The state board of education shall adopt 15142
rules for a statewide education management information system. The 15143
rules shall require the state board to establish guidelines for 15144
the establishment and maintenance of the system in accordance with 15145
this section and the rules adopted under this section. The 15146
guidelines shall include:15147

       (1) Standards identifying and defining the types of data in15148
the system in accordance with divisions (B) and (C) of this15149
section;15150

       (2) Procedures for annually collecting and reporting the data 15151
to the state board in accordance with division (D) of this15152
section;15153

       (3) Procedures for annually compiling the data in accordance15154
with division (G) of this section;15155

       (4) Procedures for annually reporting the data to the public15156
in accordance with division (H) of this section.15157

       (B) The guidelines adopted under this section shall require15158
the data maintained in the education management information system15159
to include at least the following:15160

       (1) Student participation and performance data, for each15161
grade in each school district as a whole and for each grade in15162
each school building in each school district, that includes:15163

       (a) The numbers of students receiving each category of15164
instructional service offered by the school district, such as15165
regular education instruction, vocational education instruction,15166
specialized instruction programs or enrichment instruction that is15167
part of the educational curriculum, instruction for gifted15168
students, instruction for handicapped students, and remedial15169
instruction. The guidelines shall require instructional services15170
under this division to be divided into discrete categories if an15171
instructional service is limited to a specific subject, a specific15172
type of student, or both, such as regular instructional services15173
in mathematics, remedial reading instructional services,15174
instructional services specifically for students gifted in15175
mathematics or some other subject area, or instructional services15176
for students with a specific type of handicap. The categories of15177
instructional services required by the guidelines under this15178
division shall be the same as the categories of instructional15179
services used in determining cost units pursuant to division15180
(C)(3) of this section.15181

       (b) The numbers of students receiving support or15182
extracurricular services for each of the support services or15183
extracurricular programs offered by the school district, such as15184
counseling services, health services, and extracurricular sports15185
and fine arts programs. The categories of services required by the 15186
guidelines under this division shall be the same as the categories 15187
of services used in determining cost units pursuant to division 15188
(C)(4)(a) of this section.15189

       (c) Average student grades in each subject in grades nine15190
through twelve;15191

       (d) Academic achievement levels as assessed by the testing of 15192
student achievement under sections 3301.0710 and 3301.0711 of the 15193
Revised Code;15194

       (e) The number of students designated as having a15195
handicapping condition pursuant to division (C)(1) of section15196
3301.0711 of the Revised Code;15197

       (f) The numbers of students reported to the state board15198
pursuant to division (C)(2) of section 3301.0711 of the Revised15199
Code;15200

       (g) Attendance rates and the average daily attendance for the 15201
year. For purposes of this division, a student shall be counted as 15202
present for any field trip that is approved by the school 15203
administration.15204

       (h) Expulsion rates;15205

       (i) Suspension rates;15206

       (j) The percentage of students receiving corporal punishment;15207

       (k) Dropout rates;15208

       (l) Rates of retention in grade;15209

       (m) For pupils in grades nine through twelve, the average15210
number of carnegie units, as calculated in accordance with state15211
board of education rules;15212

       (n) Graduation rates, to be calculated in a manner specified15213
by the department of education that reflects the rate at which15214
students who were in the ninth grade three years prior to the15215
current year complete school and that is consistent with15216
nationally accepted reporting requirements;15217

       (o) Results of diagnostic assessments administered to15218
kindergarten students as required under section 3301.0715 of the15219
Revised Code to permit a comparison of the academic readiness of15220
kindergarten students. However, no district shall be required to15221
report to the department the results of any diagnostic assessment15222
administered to a kindergarten student if the parent of that15223
student requests the district not to report those results.15224

       (2) Personnel and classroom enrollment data for each school15225
district, including:15226

       (a) The total numbers of licensed employees and nonlicensed15227
employees and the numbers of full-time equivalent licensed15228
employees and nonlicensed employees providing each category of15229
instructional service, instructional support service, and15230
administrative support service used pursuant to division (C)(3) of15231
this section. The guidelines adopted under this section shall15232
require these categories of data to be maintained for the school15233
district as a whole and, wherever applicable, for each grade in15234
the school district as a whole, for each school building as a15235
whole, and for each grade in each school building.15236

       (b) The total number of employees and the number of full-time 15237
equivalent employees providing each category of service used 15238
pursuant to divisions (C)(4)(a) and (b) of this section, and the 15239
total numbers of licensed employees and nonlicensed employees and 15240
the numbers of full-time equivalent licensed employees and15241
nonlicensed employees providing each category used pursuant to15242
division (C)(4)(c) of this section. The guidelines adopted under15243
this section shall require these categories of data to be15244
maintained for the school district as a whole and, wherever15245
applicable, for each grade in the school district as a whole, for15246
each school building as a whole, and for each grade in each school15247
building.15248

       (c) The total number of regular classroom teachers teaching15249
classes of regular education and the average number of pupils15250
enrolled in each such class, in each of grades kindergarten15251
through five in the district as a whole and in each school15252
building in the school district.15253

       (d) The number of master teachers employed by each school 15254
district and each school building, once a definition of master 15255
teacher has been developed by the educator standards board 15256
pursuant to section 3319.61 of the Revised Code.15257

       (3)(a) Student demographic data for each school district,15258
including information regarding the gender ratio of the school15259
district's pupils, the racial make-up of the school district's15260
pupils, the number of limited English proficient students in the 15261
district, and an appropriate measure of the number of the school15262
district's pupils who reside in economically disadvantaged15263
households. The demographic data shall be collected in a manner to 15264
allow correlation with data collected under division (B)(1) of15265
this section. Categories for data collected pursuant to division15266
(B)(3) of this section shall conform, where appropriate, to15267
standard practices of agencies of the federal government.15268

       (b) With respect to each student entering kindergarten,15269
whether the student previously participated in a public preschool15270
program, a private preschool program, or a head start program, and15271
the number of years the student participated in each of these15272
programs.15273

       (4) Any data required to be collected pursuant to federal 15274
law.15275

       (C) The education management information system shall include 15276
cost accounting data for each district as a whole and for each 15277
school building in each school district. The guidelines adopted 15278
under this section shall require the cost data for each school 15279
district to be maintained in a system of mutually exclusive cost 15280
units and shall require all of the costs of each school district 15281
to be divided among the cost units. The guidelines shall require 15282
the system of mutually exclusive cost units to include at least 15283
the following:15284

       (1) Administrative costs for the school district as a whole.15285
The guidelines shall require the cost units under this division15286
(C)(1) to be designed so that each of them may be compiled and15287
reported in terms of average expenditure per pupil in formula ADM15288
in the school district, as determined pursuant to section 3317.0315289
of the Revised Code.15290

       (2) Administrative costs for each school building in the15291
school district. The guidelines shall require the cost units under 15292
this division (C)(2) to be designed so that each of them may be 15293
compiled and reported in terms of average expenditure per15294
full-time equivalent pupil receiving instructional or support15295
services in each building.15296

       (3) Instructional services costs for each category of15297
instructional service provided directly to students and required15298
by guidelines adopted pursuant to division (B)(1)(a) of this15299
section. The guidelines shall require the cost units under15300
division (C)(3) of this section to be designed so that each of15301
them may be compiled and reported in terms of average expenditure15302
per pupil receiving the service in the school district as a whole15303
and average expenditure per pupil receiving the service in each15304
building in the school district and in terms of a total cost for15305
each category of service and, as a breakdown of the total cost, a15306
cost for each of the following components:15307

       (a) The cost of each instructional services category required 15308
by guidelines adopted under division (B)(1)(a) of this section 15309
that is provided directly to students by a classroom teacher;15310

       (b) The cost of the instructional support services, such as15311
services provided by a speech-language pathologist, classroom15312
aide, multimedia aide, or librarian, provided directly to students15313
in conjunction with each instructional services category;15314

       (c) The cost of the administrative support services related15315
to each instructional services category, such as the cost of15316
personnel that develop the curriculum for the instructional15317
services category and the cost of personnel supervising or15318
coordinating the delivery of the instructional services category.15319

       (4) Support or extracurricular services costs for each15320
category of service directly provided to students and required by15321
guidelines adopted pursuant to division (B)(1)(b) of this section.15322
The guidelines shall require the cost units under division (C)(4)15323
of this section to be designed so that each of them may be15324
compiled and reported in terms of average expenditure per pupil15325
receiving the service in the school district as a whole and15326
average expenditure per pupil receiving the service in each15327
building in the school district and in terms of a total cost for15328
each category of service and, as a breakdown of the total cost, a15329
cost for each of the following components:15330

       (a) The cost of each support or extracurricular services15331
category required by guidelines adopted under division (B)(1)(b)15332
of this section that is provided directly to students by a15333
licensed employee, such as services provided by a guidance15334
counselor or any services provided by a licensed employee under a15335
supplemental contract;15336

       (b) The cost of each such services category provided directly 15337
to students by a nonlicensed employee, such as janitorial15338
services, cafeteria services, or services of a sports trainer;15339

       (c) The cost of the administrative services related to each15340
services category in division (C)(4)(a) or (b) of this section,15341
such as the cost of any licensed or nonlicensed employees that15342
develop, supervise, coordinate, or otherwise are involved in15343
administering or aiding the delivery of each services category.15344

       (D)(1) The guidelines adopted under this section shall15345
require school districts to collect information about individual15346
students, staff members, or both in connection with any data15347
required by division (B) or (C) of this section or other reporting15348
requirements established in the Revised Code. The guidelines may 15349
also require school districts to report information about15350
individual staff members in connection with any data required by15351
division (B) or (C) of this section or other reporting15352
requirements established in the Revised Code. The guidelines shall 15353
not authorize school districts to request social security numbers 15354
of individual students. The guidelines shall prohibit the15355
reporting under this section of a student's name, address, and15356
social security number to the state board of education or the15357
department of education. The guidelines shall also prohibit the15358
reporting under this section of any personally identifiable15359
information about any student, except for the purpose of assigning15360
the data verification code required by division (D)(2) of this15361
section, to any other person unless such person is employed by the15362
school district or the information technology center operated 15363
under section 3301.075 of the Revised Code and is authorized by 15364
the district or technology center to have access to such15365
information or is employed by an entity with which the department 15366
contracts for the scoring of tests administered under section 15367
3301.0711 or 3301.0712 of the Revised Code. The guidelines may15368
require school districts to provide the social security numbers of15369
individual staff members.15370

       (2) The guidelines shall provide for each school district or15371
community school to assign a data verification code that is unique15372
on a statewide basis over time to each student whose initial Ohio15373
enrollment is in that district or school and to report all15374
required individual student data for that student utilizing such15375
code. The guidelines shall also provide for assigning data15376
verification codes to all students enrolled in districts or15377
community schools on the effective date of the guidelines15378
established under this section.15379

       Individual student data shall be reported to the department15380
through the information technology centers utilizing the code but, 15381
except as provided in section 3310.11 of the Revised Code, at no15382
time shall the state board or the department have access to15383
information that would enable any data verification code to be15384
matched to personally identifiable student data.15385

       Each school district shall ensure that the data verification15386
code is included in the student's records reported to any15387
subsequent school district or community school in which the15388
student enrolls. Any such subsequent district or school shall 15389
utilize the same identifier in its reporting of data under this 15390
section.15391

       The director of health shall request and receive, pursuant to 15392
sections 3301.0723 and 3701.62 of the Revised Code, a data 15393
verification code for a child who is receiving services under 15394
division (A)(2) of section 3701.61 of the Revised Code. 15395

       A school district or community school shall submit to the 15396
eTech Ohio commission the data verification code for each of its 15397
enrolled students who is also enrolled in a course offered through 15398
the clearinghouse established under section 3353.21 of the Revised 15399
Code.15400

       (E) The guidelines adopted under this section may require15401
school districts to collect and report data, information, or15402
reports other than that described in divisions (A), (B), and (C)15403
of this section for the purpose of complying with other reporting15404
requirements established in the Revised Code. The other data,15405
information, or reports may be maintained in the education15406
management information system but are not required to be compiled15407
as part of the profile formats required under division (G) of this15408
section or the annual statewide report required under division (H)15409
of this section.15410

       (F) Beginning with the school year that begins July 1, 1991,15411
the board of education of each school district shall annually15412
collect and report to the state board, in accordance with the15413
guidelines established by the board, the data required pursuant to15414
this section. A school district may collect and report these data15415
notwithstanding section 2151.357 or 3319.321 of the Revised Code.15416

       (G) The state board shall, in accordance with the procedures15417
it adopts, annually compile the data reported by each school15418
district pursuant to division (D) of this section. The state board 15419
shall design formats for profiling each school district as a whole 15420
and each school building within each district and shall compile 15421
the data in accordance with these formats. These profile formats 15422
shall:15423

       (1) Include all of the data gathered under this section in a15424
manner that facilitates comparison among school districts and15425
among school buildings within each school district;15426

       (2) Present the data on academic achievement levels as15427
assessed by the testing of student achievement maintained pursuant 15428
to division (B)(1)(d) of this section.15429

       (H)(1) The state board shall, in accordance with the15430
procedures it adopts, annually prepare a statewide report for all15431
school districts and the general public that includes the profile15432
of each of the school districts developed pursuant to division (G)15433
of this section. Copies of the report shall be sent to each school 15434
district.15435

       (2) The state board shall, in accordance with the procedures15436
it adopts, annually prepare an individual report for each school15437
district and the general public that includes the profiles of each15438
of the school buildings in that school district developed pursuant15439
to division (G) of this section. Copies of the report shall be15440
sent to the superintendent of the district and to each member of15441
the district board of education.15442

       (3) Copies of the reports received from the state board under 15443
divisions (H)(1) and (2) of this section shall be made available 15444
to the general public at each school district's offices. Each 15445
district board of education shall make copies of each report15446
available to any person upon request and payment of a reasonable15447
fee for the cost of reproducing the report. The board shall15448
annually publish in a newspaper of general circulation in the15449
school district, at least twice during the two weeks prior to the15450
week in which the reports will first be available, a notice15451
containing the address where the reports are available and the15452
date on which the reports will be available.15453

       (I) Any data that is collected or maintained pursuant to this 15454
section and that identifies an individual pupil is not a public 15455
record for the purposes of section 149.43 of the Revised Code.15456

       (J) As used in this section:15457

       (1) "School district" means any city, local, exempted15458
village, or joint vocational school district.15459

       (2) "Cost", "cost" means any expenditure for operating 15460
expenses made by a school district excluding any expenditures for 15461
debt retirement except for payments made to any commercial lending15462
institution for any loan approved pursuant to section 3313.483 of15463
the Revised Code.15464

       (K) Any person who removes data from the information system15465
established under this section for the purpose of releasing it to15466
any person not entitled under law to have access to such15467
information is subject to section 2913.42 of the Revised Code15468
prohibiting tampering with data.15469

       (L) Any time the department of education determines that a15470
school district has taken any of the actions described under15471
division (L)(1), (2), or (3) of this section, it shall make a15472
report of the actions of the district, send a copy of the report15473
to the superintendent of such school district, and maintain a copy15474
of the report in its files:15475

       (1) The school district fails to meet any deadline15476
established pursuant to this section for the reporting of any data15477
to the education management information system;15478

       (2) The school district fails to meet any deadline15479
established pursuant to this section for the correction of any15480
data reported to the education management information system;15481

       (3) The school district reports data to the education15482
management information system in a condition, as determined by the15483
department, that indicates that the district did not make a good15484
faith effort in reporting the data to the system.15485

       Any report made under this division shall include15486
recommendations for corrective action by the school district.15487

       Upon making a report for the first time in a fiscal year, the15488
department shall withhold ten per cent of the total amount due15489
during that fiscal year under Chapter 3317. of the Revised Code to15490
the school district to which the report applies. Upon making a15491
second report in a fiscal year, the department shall withhold an15492
additional twenty per cent of such total amount due during that15493
fiscal year to the school district to which the report applies.15494
The department shall not release such funds unless it determines15495
that the district has taken corrective action. However, no such15496
release of funds shall occur if the district fails to take15497
corrective action within forty-five days of the date upon which 15498
the report was made by the department.15499

       (1) In accordance with division (L)(2) of this section, the 15500
department of education may sanction any school district that 15501
reports incomplete or inaccurate data, reports data that does not 15502
conform to data requirements and descriptions published by the 15503
department, fails to report data in a timely manner, or otherwise 15504
does not make a good faith effort to report data as required by 15505
this section.15506

       (2) If the department decides to sanction a school district 15507
under this division, the department shall take the following 15508
sequential actions:15509

       (a) Notify the district in writing that the department has 15510
determined that data has not been reported as required under this 15511
section and require the district to review its data submission and 15512
submit corrected data by a deadline established by the department. 15513
The department also may require the district to develop a 15514
corrective action plan, which shall include provisions for the 15515
district to provide mandatory staff training on data reporting 15516
procedures.15517

       (b) Withhold up to ten per cent of the total amount due to 15518
the district under Chapter 3317. of the Revised Code for the 15519
current fiscal year and, if not previously required under division 15520
(L)(2)(a) of this section, require the district to develop a 15521
corrective action plan in accordance with that division;15522

       (c) Withhold an additional amount of up to twenty per cent of 15523
the total amount due to the district under Chapter 3317. of the 15524
Revised Code for the current fiscal year;15525

       (d) Direct department staff or an outside entity to 15526
investigate the district's data reporting practices and make 15527
recommendations for subsequent actions. The recommendations may 15528
include one or more of the following actions:15529

       (i) Arrange for an audit of the district's data reporting 15530
practices by department staff or an outside entity;15531

       (ii) Conduct a site visit and evaluation of the district;15532

       (iii) Withhold an additional amount of up to thirty per cent 15533
of the total amount due to the district under Chapter 3317. of the 15534
Revised Code for the current fiscal year;15535

       (iv) Continue monitoring the district's data reporting;15536

       (v) Assign department staff to supervise the district's data 15537
management system;15538

       (vi) Conduct an investigation to determine whether to suspend 15539
or revoke the license of any district employee in accordance with 15540
division (N) of this section;15541

       (vii) Indicate on the report card issued for the district 15542
under section 3302.03 of the Revised Code that the district has 15543
been sanctioned for failing to report data as required by this 15544
section;15545

       (viii) If incomplete or inaccurate data submitted by the 15546
district likely caused the district to receive a higher 15547
performance rating than it deserved under section 3302.03 of the 15548
Revised Code, issue a revised report card for the district;15549

       (ix) Any other action designed to correct the district's data 15550
reporting problems.15551

       (3) Any time the department takes an action against a school 15552
district under division (L)(2) of this section, the department 15553
shall make a report of the circumstances that prompted the action. 15554
The department shall send a copy of the report to the district 15555
superintendent and maintain a copy of the report in its files.15556

       (4) If any action taken under division (L)(2) of this section 15557
resolves a school district's data reporting problems to the 15558
department's satisfaction, the department shall not take any 15559
further actions described by that division. If the department 15560
withheld funds from the district under that division, the 15561
department may release those funds to the district, except that if 15562
the department withheld funding under division (L)(2)(c) of this 15563
section, the department shall not release the funds withheld under 15564
division (L)(2)(b) of this section and, if the department withheld 15565
funding under division (L)(2)(d) of this section, the department 15566
shall not release the funds withheld under division (L)(2)(b) or 15567
(c) of this section.15568

       (5) Notwithstanding anything in this section to the contrary, 15569
the department may use its own staff or an outside entity to 15570
conduct an audit of a school district's data reporting practices 15571
any time the department has reason to believe the district has not 15572
made a good faith effort to report data as required by this 15573
section. If any audit conducted by an outside entity under 15574
division (L)(2)(d)(i) or (5) of this section confirms that a 15575
district has not made a good faith effort to report data as 15576
required by this section, the district shall reimburse the 15577
department for the full cost of the audit. The department may 15578
withhold funds due to the district under Chapter 3317. of the 15579
Revised Code for this purpose.15580

       (6) Prior to issuing a revised report card for a school 15581
district under division (L)(2)(d)(viii) of this section, the 15582
department may hold a hearing to provide the district with an 15583
opportunity to demonstrate that it made a good faith effort to 15584
report data as required by this section. The hearing shall be 15585
conducted by a referee appointed by the department. Based on the 15586
information provided in the hearing, the referee shall recommend 15587
whether the department should issue a revised report card for the 15588
district. If the referee affirms the department's contention that 15589
the district did not make a good faith effort to report data as 15590
required by this section, the district shall bear the full cost of 15591
conducting the hearing and of issuing any revised report card.15592

       (7) If the department determines that any inaccurate data 15593
reported under this section caused a school district to receive 15594
excess funds under Chapter 3317. of the Revised Code in any fiscal 15595
year, the district shall reimburse the department an amount equal 15596
to the excess funds, in accordance with a payment schedule 15597
determined by the department. The department may withhold funds 15598
due to the district under Chapter 3317. of the Revised Code for 15599
this purpose.15600

       (8) Any school district that has funds withheld under 15601
division (L)(2) of this section may appeal the withholding in 15602
accordance with Chapter 119. of the Revised Code.15603

       (9) In all cases of a disagreement between the department and 15604
a school district regarding the appropriateness of an action taken 15605
under division (L)(2) of this section, the burden of proof shall 15606
be on the district to demonstrate that it made a good faith effort 15607
to report data as required by this section.15608

       (M) No information technology center or school district shall 15609
acquire, change, or update its student administration software 15610
package to manage and report data required to be reported to the 15611
department unless it converts to a student software package that 15612
is certified by the department.15613

       (N) The state board of education, in accordance with sections 15614
3319.31 and 3319.311 of the Revised Code, may suspend or revoke a 15615
license as defined under division (A) of section 3319.31 of the 15616
Revised Code that has been issued to any school district employee 15617
found to have willfully reported erroneous, inaccurate, or 15618
incomplete data to the education management information system.15619

       (O) No person shall release or maintain any information about 15620
any student in violation of this section. Whoever violates this 15621
division is guilty of a misdemeanor of the fourth degree.15622

       (P) The department shall disaggregate the data collected15623
under division (B)(1)(o) of this section according to the race and15624
socioeconomic status of the students assessed. No data collected15625
under that division shall be included on the report cards required15626
by section 3302.03 of the Revised Code.15627

       (Q) If the department cannot compile any of the information15628
required by division (C)(5) of section 3302.03 of the Revised Code15629
based upon the data collected under this section, the department15630
shall develop a plan and a reasonable timeline for the collection15631
of any data necessary to comply with that division.15632

       Sec. 3301.162. (A) If the governing authority of a chartered 15633
nonpublic school intends to close the school, the governing 15634
authority shall notify all of the following of that intent prior 15635
to closing the school:15636

       (1) The department of education;15637

        (2) The school district that receives auxiliary services 15638
funding under division (I) of section 3317.024 of the Revised Code 15639
on behalf of the students enrolled in the school;15640

        (3) The accrediting association that most recently accredited 15641
the school for purposes of chartering the school in accordance 15642
with the rules of the state board of education, if applicable.15643

        The notice shall include the school year and, if possible, 15644
the actual date the school will close.15645

        (B) The chief administrator of each chartered nonpublic 15646
school that closes shall deposit the school's records with the 15647
school district that received auxiliary services funding under 15648
division (I) of section 3317.024 of the Revised Code on behalf of 15649
the students enrolled in the school.15650

       The school district that receives the records may charge for 15651
and receive a one-time reimbursement from auxiliary services 15652
funding under division (I) of section 3317.024 of the Revised Code 15653
for costs the district incurred to store the records.15654

       Sec. 3301.53.  (A) Not later than July 1, 1988, theThe state15655
board of education, in consultation with the director of job and15656
family services, shall formulate and prescribe by rule adopted15657
under Chapter 119. of the Revised Code minimum standards to be15658
applied to preschool programs operated by school district boards15659
of education, county MR/DD boards, or eligible nonpublic schools. 15660
The rules shall include the following:15661

       (1) Standards ensuring that the preschool program is located15662
in a safe and convenient facility that accommodates the enrollment15663
of the program, is of the quality to support the growth and15664
development of the children according to the program objectives,15665
and meets the requirements of section 3301.55 of the Revised Code;15666

       (2) Standards ensuring that supervision, discipline, and15667
programs will be administered according to established objectives15668
and procedures;15669

       (3) Standards ensuring that preschool staff members and15670
nonteaching employees are recruited, employed, assigned,15671
evaluated, and provided inservice education without discrimination15672
on the basis of age, color, national origin, race, or sex; and15673
that preschool staff members and nonteaching employees are15674
assigned responsibilities in accordance with written position15675
descriptions commensurate with their training and experience;15676

       (4) A requirement that boards of education intending to15677
establish a preschool program on or after March 17, 1989,15678
demonstrate a need for a preschool program that is not being met15679
by any existing program providing child care, prior to15680
establishing the program;15681

       (5) Requirements that children participating in preschool15682
programs have been immunized to the extent considered appropriate15683
by the state board to prevent the spread of communicable disease;15684

       (6) Requirements that the parents of preschool children15685
complete the emergency medical authorization form specified in15686
section 3313.712 of the Revised Code.15687

       (B) The state board of education in consultation with the15688
director of job and family services shall ensure that the rules15689
adopted by the state board under sections 3301.52 to 3301.58 of15690
the Revised Code are consistent with and meet or exceed the15691
requirements of Chapter 5104. of the Revised Code with regard to15692
child day-care centers. The state board and the director of job15693
and family services shall review all such rules at least once15694
every five years.15695

       (C) On or before January 1, 1992, theThe state board of15696
education, in consultation with the director of job and family15697
services, shall adopt rules for school child programs that are15698
consistent with and meet or exceed the requirements of the rules15699
adopted for school child day-care centers under Chapter 5104. of15700
the Revised Code.15701

       Sec. 3302.03.  (A) Annually the department of education shall 15702
report for each school district and each school building in a 15703
district all of the following:15704

       (1) The extent to which the school district or building meets 15705
each of the applicable performance indicators created by the state15706
board of education under section 3302.02 of the Revised Code and 15707
the number of applicable performance indicators that have been15708
achieved;15709

       (2) The performance index score of the school district or 15710
building;15711

       (3) Whether the school district or building has made adequate 15712
yearly progress;15713

       (4) Whether the school district or building is excellent, 15714
effective, needs continuous improvement, is under an academic15715
watch, or is in a state of academic emergency.15716

       (B) Except as otherwise provided in divisiondivisions (B)(6) 15717
and (7) of this section:15718

       (1) A school district or building shall be declared excellent 15719
if it fulfills one of the following requirements:15720

       (a) It makes adequate yearly progress and either meets at 15721
least ninety-four per cent of the applicable state performance 15722
indicators or has a performance index score established by the 15723
department.15724

       (b) It has failed to make adequate yearly progress for not 15725
more than two consecutive years and either meets at least 15726
ninety-four per cent of the applicable state performance 15727
indicators or has a performance index score established by the 15728
department.15729

       (2) A school district or building shall be declared effective 15730
if it fulfills one of the following requirements:15731

       (a) It makes adequate yearly progress and either meets at 15732
least seventy-five per cent but less than ninety-four per cent of15733
the applicable state performance indicators or has a performance 15734
index score established by the department.15735

       (b) It does not make adequate yearly progress and either 15736
meets at least seventy-five per cent of the applicable state 15737
performance indicators or has a performance index score 15738
established by the department, except that if it does not make 15739
adequate yearly progress for three consecutive years, it shall be 15740
declared in need of continuous improvement.15741

       (3) A school district or building shall be declared to be in15742
need of continuous improvement if it fulfills one of the following 15743
requirements:15744

       (a) It makes adequate yearly progress, meets less than 15745
seventy-five per cent of the applicable state performance 15746
indicators, and has a performance index score established by the 15747
department.15748

       (b) It does not make adequate yearly progress and either 15749
meets at least fifty per cent but less than seventy-five per cent 15750
of the applicable state performance indicators or has a 15751
performance index score established by the department.15752

       (4) A school district or building shall be declared to be15753
under an academic watch if it does not make adequate yearly 15754
progress and either meets at least thirty-one per cent but less 15755
than fifty per cent of the applicable state performance indicators 15756
or has a performance index score established by the department.15757

       (5) A school district or building shall be declared to be in15758
a state of academic emergency if it does not make adequate yearly 15759
progress, does not meet at least thirty-one per cent of the15760
applicable state performance indicators, and has a performance 15761
index score established by the department.15762

       (6) When designating performance ratings for school districts 15763
and buildings under divisions (B)(1) to (5) of this section, the 15764
department shall not assign a school district or building a lower 15765
designation from its previous year's designation based solely on 15766
one subgroup not making adequate yearly progress.15767

       (7) Division (B)(7) of this section does not apply to any 15768
community school established under Chapter 3314. of the Revised 15769
Code in which a majority of the students are enrolled in a dropout 15770
prevention and recovery program.15771

        A school district or building shall not be assigned a higher 15772
performance rating than in need of continuous improvement if at 15773
least ten per cent but not more than fifteen per cent of the 15774
enrolled students do not take all achievement tests prescribed for 15775
their grade level under section 3301.0710 of the Revised Code from 15776
which they are not excused pursuant to division (C)(1) or (3) of 15777
section 3301.0711 of the Revised Code. A school district or 15778
building shall not be assigned a higher performance rating than 15779
under an academic watch if more than fifteen per cent but not more 15780
than twenty per cent of the enrolled students do not take all 15781
achievement tests prescribed for their grade level under section 15782
3301.0710 of the Revised Code from which they are not excused 15783
pursuant to division (C)(1) or (3) of section 3301.0711 of the 15784
Revised Code. A school district or building shall not be assigned 15785
a higher performance rating than in a state of academic emergency 15786
if more than twenty per cent of the enrolled students do not take 15787
all achievement tests prescribed for their grade level under 15788
section 3301.0710 of the Revised Code from which they are not 15789
excused pursuant to division (C)(1) or (3) of section 3301.0711 of 15790
the Revised Code.15791

       (C)(1) The department shall issue annual report cards for15792
each school district, each building within each district, and for15793
the state as a whole reflecting performance on the indicators15794
created by the state board under section 3302.02 of the Revised15795
Code, the performance index score, and adequate yearly progress.15796

       (2) The department shall include on the report card for each15797
district information pertaining to any change from the previous15798
year made by the school district or school buildings within the15799
district on any performance indicator.15800

       (3) When reporting data on student performance, the15801
department shall disaggregate that data according to the following15802
categories:15803

       (a) Performance of students by age group;15804

       (b) Performance of students by race and ethnic group;15805

       (c) Performance of students by gender;15806

       (d) Performance of students grouped by those who have been15807
enrolled in a district or school for three or more years;15808

       (e) Performance of students grouped by those who have been15809
enrolled in a district or school for more than one year and less15810
than three years;15811

       (f) Performance of students grouped by those who have been15812
enrolled in a district or school for one year or less;15813

       (g) Performance of students grouped by those who are15814
economically disadvantaged;15815

       (h) Performance of students grouped by those who are enrolled15816
in a conversion community school established under Chapter 3314.15817
of the Revised Code;15818

       (i) Performance of students grouped by those who are 15819
classified as limited English proficient;15820

       (j) Performance of students grouped by those who have 15821
disabilities;15822

       (k) Performance of students grouped by those who are 15823
classified as migrants;15824

       (l) Performance of students grouped by those who are 15825
identified as gifted pursuant to Chapter 3324. of the Revised 15826
Code.15827

       The department may disaggregate data on student performance15828
according to other categories that the department determines are15829
appropriate. To the extent possible, the department shall 15830
disaggregate data on student performance according to any 15831
combinations of two or more of the categories listed in divisions 15832
(C)(3)(a) to (l) of this section that it deems relevant.15833

       In reporting data pursuant to division (C)(3) of this15834
section, the department shall not include in the report cards any15835
data statistical in nature that is statistically unreliable or15836
that could result in the identification of individual students. 15837
For this purpose, the department shall not report student 15838
performance data for any group identified in division (C)(3) of 15839
this section that contains less than ten students.15840

       (4) The department may include with the report cards any15841
additional education and fiscal performance data it deems15842
valuable.15843

       (5) The department shall include on each report card a list15844
of additional information collected by the department that is15845
available regarding the district or building for which the report15846
card is issued. When available, such additional information shall15847
include student mobility data disaggregated by race and15848
socioeconomic status, college enrollment data, and the reports15849
prepared under section 3302.031 of the Revised Code.15850

       The department shall maintain a site on the world wide web.15851
The report card shall include the address of the site and shall15852
specify that such additional information is available to the15853
public at that site. The department shall also provide a copy of15854
each item on the list to the superintendent of each school15855
district. The district superintendent shall provide a copy of any15856
item on the list to anyone who requests it.15857

       (6)(a) This division does not apply to conversion community 15858
schools that primarily enroll students between sixteen and 15859
twenty-two years of age who dropped out of high school or are at 15860
risk of dropping out of high school due to poor attendance, 15861
disciplinary problems, or suspensions.15862

       For any district that sponsors a conversion community school 15863
under Chapter 3314. of the Revised Code, the department shall 15864
combine data regarding the academic performance of students15865
enrolled in the community school with comparable data from the15866
schools of the district for the purpose of calculating the15867
performance of the district as a whole on the report card issued15868
for the district.15869

       (b) Any district that leases a building to a community school 15870
located in the district or that enters into an agreement with a 15871
community school located in the district whereby the district and 15872
the school endorse each other's programs may elect to have data 15873
regarding the academic performance of students enrolled in the 15874
community school combined with comparable data from the schools of 15875
the district for the purpose of calculating the performance of the 15876
district as a whole on the district report card. Any district that 15877
so elects shall annually file a copy of the lease or agreement 15878
with the department.15879

       (7) The department shall include on each report card the 15880
percentage of teachers in the district or building who are highly 15881
qualified, as defined by the "No Child Left Behind Act of 2001," 15882
and a comparison of that percentage with the percentages of such 15883
teachers in similar districts and buildings.15884

       (8) The department shall include on the report card the 15885
number of master teachers employed by each district and each 15886
building once the data is available from the education management 15887
information system established under section 3301.0714 of the 15888
Revised Code.15889

       (D)(1) In calculating reading, writing, mathematics, social15890
studies, or science proficiency or achievement test passage rates15891
used to determine school district or building performance under15892
this section, the department shall include all students taking a 15893
test with accommodation or to whom an alternate assessment is 15894
administered pursuant to division (C)(1) or (3) of section 15895
3301.0711 of the Revised Code.15896

        (2) In calculating performance index scores, rates of 15897
achievement on the performance indicators established by the state 15898
board under section 3302.02 of the Revised Code, and adequate 15899
yearly progress for school districts and buildings under this 15900
section, the department shall do all of the following:15901

       (a) Include for each district or building only those students 15902
who are included in the ADM certified for the first full school 15903
week of October and are continuously enrolled in the district or 15904
building through the time of the spring administration of any test 15905
prescribed by section 3301.0710 of the Revised Code that is 15906
administered to the student's grade level;15907

       (b) Include cumulative totals from both the fall and spring 15908
administrations of the third grade reading achievement test;15909

       (c) Except as required by the "No Child Left Behind Act of 15910
2001" for the calculation of adequate yearly progress, exclude for 15911
each district or building any limited English proficient student 15912
who has been enrolled in United States schools for less than one 15913
full school year.15914

       Sec. 3302.10.  (A) Beginning July 1, 2007, the superintendent 15915
of public instruction shallmay establish an academic distress 15916
commission for eachany school district that has been declared to 15917
be in a state of academic emergency pursuant to section 3302.03 of 15918
the Revised Code and has failed to make adequate yearly progress 15919
for four or more consecutive school years. Each commission shall 15920
assist the district for which it was established in improving the 15921
district's academic performance.15922

       Each commission is a body both corporate and politic, 15923
constituting an agency and instrumentality of the state and 15924
performing essential governmental functions of the state. A 15925
commission shall be known as the "academic distress commission for 15926
............... (name of school district)," and, in that name, may 15927
exercise all authority vested in such a commission by this 15928
section. A separate commission shall be established for each 15929
school district designated by the superintendent of public 15930
instruction.15931

       (B) Each academic distress commission shall consist of five 15932
voting members, three of whom shall be appointed by the 15933
superintendent of public instruction and two of whom shall be 15934
residents of the applicable school district appointed by the 15935
president of the district board of education of the applicable 15936
school district. When a school district becomes subject to this 15937
section, the superintendent of public instruction shall provide 15938
written notification of that fact to the district board of 15939
education and shall request the president of the district board to 15940
submit to the superintendent of public instruction, in writing, 15941
the names of the president's appointees to the commission. The 15942
superintendent of public instruction and the president of the 15943
district board shall make appointments to the commission within 15944
thirty days after the district is notified that it is subject to 15945
this section.15946

        Members of the commission shall serve at the pleasure of 15947
their appointing authority during the life of the commission. In 15948
the event of the death, resignation, incapacity, removal, or 15949
ineligibility to serve of a member, the appointing authority shall 15950
appoint a successor within fifteen days after the vacancy occurs. 15951
Members shall serve without compensation, but shall be paid by the 15952
commission their necessary and actual expenses incurred while 15953
engaged in the business of the commission.15954

       (C) Immediately after appointment of the initial members of 15955
an academic distress commission, the superintendent of public 15956
instruction shall call the first meeting of the commission and 15957
shall cause written notice of the time, date, and place of that 15958
meeting to be given to each member of the commission at least 15959
forty-eight hours in advance of the meeting. The first meeting 15960
shall include an overview of the commission's roles and 15961
responsibilities, the requirements of section 2921.42 and Chapter 15962
102. of the Revised Code as they pertain to commission members, 15963
the requirements of section 121.22 of the Revised Code, and the 15964
provisions of division (F) of this section. At its first meeting, 15965
the commission shall adopt temporary bylaws in accordance with 15966
division (D) of this section to govern its operations until the 15967
adoption of permanent bylaws.15968

        The superintendent of public instruction shall designate a 15969
chairperson for the commission from among the members appointed by 15970
the superintendent. The chairperson shall call and conduct 15971
meetings, set meeting agendas, and serve as a liaison between the 15972
commission and the district board of education. The chairperson 15973
also shall appoint a secretary, who shall not be a member of the 15974
commission.15975

        The department of education shall provide administrative 15976
support for the commission, provide data requested by the 15977
commission, and inform the commission of available state resources 15978
that could assist the commission in its work.15979

        (D) Each academic distress commission may adopt and alter 15980
bylaws and rules, which shall not be subject to section 111.15 or 15981
Chapter 119. of the Revised Code, for the conduct of its affairs 15982
and for the manner, subject to this section, in which its powers 15983
and functions shall be exercised and embodied.15984

        (E) Three members of an academic distress commission 15985
constitute a quorum of the commission. The affirmative vote of 15986
three members of the commission is necessary for any action taken 15987
by vote of the commission. No vacancy in the membership of the 15988
commission shall impair the rights of a quorum by such vote to 15989
exercise all the rights and perform all the duties of the 15990
commission. Members of the commission are not disqualified from 15991
voting by reason of the functions of any other office they hold 15992
and are not disqualified from exercising the functions of the 15993
other office with respect to the school district, its officers, or 15994
the commission.15995

        (F) The members of an academic distress commission, the 15996
superintendent of public instruction, and any person authorized to 15997
act on behalf of or assist them shall not be personally liable or 15998
subject to any suit, judgment, or claim for damages resulting from 15999
the exercise of or failure to exercise the powers, duties, and 16000
functions granted to them in regard to their functioning under 16001
this section, but the commission, superintendent of public 16002
instruction, and such other persons shall be subject to mandamus 16003
proceedings to compel performance of their duties under this 16004
section.16005

        (G) The members of an academic distress commission are not 16006
subject to section 102.02 of the Revised Code, except that a 16007
member who is subject to that section by virtue of holding another 16008
office or position shall comply with that section with respect to 16009
that other office or position. However, each member of the 16010
commission shall file with the Ohio ethics commission a signed 16011
written statement setting forth the general nature of sales of 16012
goods, property, or services or of loans to the applicable school 16013
district, in which the commission member has a pecuniary interest 16014
or in which any member of the commission member's immediate 16015
family, as defined in section 102.01 of the Revised Code, or any 16016
corporation, partnership, or enterprise of which the commission 16017
member is an officer, director, or partner, or of which the 16018
commission member or a member of the commission member's immediate 16019
family owns more than a five per cent interest, has a pecuniary 16020
interest, and of which sale, loan, or interest the commission 16021
member has knowledge. The statement shall be supplemented from 16022
time to time to reflect changes in the general nature of any such 16023
sales or loans.16024

        (H) Meetings of each academic distress commission shall be 16025
subject to section 121.22 of the Revised Code.16026

        (I)(1) Within one hundred twenty days after the first meeting 16027
of an academic distress commission, the commission shall adopt an 16028
academic recovery plan to improve academic performance in the 16029
school district. The plan shall address academic problems at both 16030
the district and school levels. The plan shall include the 16031
following:16032

        (a) Short-term and long-term actions to be taken to improve 16033
the district's academic performance, including any actions 16034
required by section 3302.04 of the Revised Code;16035

        (b) The sequence and timing of the actions described in 16036
division (I)(1)(a) of this section and the persons responsible for 16037
implementing the actions;16038

        (c) Resources that will be applied toward improvement 16039
efforts;16040

        (d) Procedures for monitoring and evaluating improvement 16041
efforts;16042

        (e) Requirements for reporting to the commission and the 16043
district board of education on the status of improvement efforts.16044

        (2) The commission may amend the academic recovery plan 16045
subsequent to adoption. The commission shall update the plan at 16046
least annually.16047

        (3) The commission shall submit the academic recovery plan it 16048
adopts or updates to the superintendent of public instruction for 16049
approval immediately following its adoption or updating. The 16050
superintendent shall evaluate the plan and either approve or 16051
disapprove it within thirty days after its submission. If the plan 16052
is disapproved, the superintendent shall recommend modifications 16053
that will render it acceptable. No academic distress commission 16054
shall implement an academic recovery plan unless the 16055
superintendent has approved it.16056

        (4) County, state, and school district officers and employees 16057
shall assist the commission diligently and promptly in the 16058
implementation of the academic recovery plan.16059

        (J) Each academic distress commission shall seek input from 16060
the district board of education regarding ways to improve the 16061
district's academic performance, but any decision of the 16062
commission related to any authority granted to the commission 16063
under this section shall be final.16064

       The commission may do any of the following:16065

       (1) Appoint school building administrators and reassign 16066
administrative personnel;16067

       (2) Terminate the contracts of administrators or 16068
administrative personnel. The commission shall not be required to 16069
comply with section 3319.16 of the Revised Code with respect to 16070
any contract terminated under this division.16071

       (3) Contract with a private entity to perform school or 16072
district management functions;16073

       (4) Establish a budget for the district and approve district 16074
appropriations and expenditures, unless a financial planning and 16075
supervision commission has been established for the district 16076
pursuant to section 3316.05 of the Revised Code.16077

       (D)(K) If the board of education of a district for which an 16078
academic distress commission has been established under this 16079
section renews any collective bargaining agreement under Chapter 16080
4117. of the Revised Code during the existence of the commission, 16081
the district board shall not enter into any agreement that would 16082
render any decision of the commission unenforceable. Section 16083
3302.08 of the Revised Code does not apply to this division.16084

       Notwithstanding any provision to the contrary in Chapter 16085
4117. of the Revised Code, if the board of education has entered 16086
into a collective bargaining agreement after the effective date of 16087
this sectionSeptember 29, 2005, that contains stipulations 16088
relinquishing one or more of the rights or responsibilities listed 16089
in division (C) of section 4117.08 of the Revised Code, those 16090
stipulations are not enforceable and the district board shall 16091
resume holding those rights or responsibilities as if it had not 16092
relinquished them in that agreement until such time as both the 16093
academic distress commission ceases to exist and the district 16094
board agrees to relinquish those rights or responsibilities in a 16095
new collective bargaining agreement. The provisions of this 16096
paragraph apply to a collective bargaining agreement entered into 16097
after the effective date of this sectionSeptember 29, 2005, and 16098
those provisions are deemed to be part of that agreement 16099
regardless of whether the district satisfied the conditions 16100
prescribed in division (A) of this section at the time the 16101
district entered into that agreement.16102

       (E)(L) An academic distress commission shall cease to exist 16103
when the district for which it was established receives a 16104
performance rating under section 3302.03 of the Revised Code of in 16105
need of continuous improvement or better for two out of the three 16106
prior school years; however, the superintendent of public 16107
instruction may dissolve the commission earlier if the 16108
superintendent determines that the district can perform adequately 16109
without the supervision of the commission. Upon termination of the 16110
commission, the department of education shall compile a final 16111
report of the commission's activities to assist other academic 16112
distress commissions in the conduct of their functions.16113

       Sec. 3310.51.  As used in sections 3310.51 to 3310.63 of the 16114
Revised Code:16115

       (A) "Alternative public provider" means either of the 16116
following providers that agrees to enroll a child in the 16117
provider's special education program to implement the child's 16118
individualized education program and to which the eligible 16119
applicant owes fees for the services provided to the child:16120

        (1) A school district that is not the school district in 16121
which the child is entitled to attend school or the child's school 16122
district of residence, if different;16123

        (2) A public entity other than a school district.16124

        (B) "Applicable special education weight" means the multiple 16125
specified in section 3317.013 of the Revised Code for a handicap 16126
described in that section.16127

       (C) "Category one through six special education ADM" means 16128
the respective categories prescribed in divisions (F)(1) to (6) of 16129
section 3317.02 of the Revised Code.16130

       (D) "Eligible applicant" means any of the following:16131

       (1) Either of the natural or adoptive parents of a qualified 16132
special education child, except as otherwise specified in this 16133
division. When the marriage of the natural or adoptive parents of 16134
the student has been terminated by a divorce, dissolution of 16135
marriage, or annulment, or when the natural or adoptive parents of 16136
the student are living separate and apart under a legal separation 16137
decree, and a court has issued an order allocating the parental 16138
rights and responsibilities with respect to the child, "eligible 16139
applicant" means the residential parent as designated by the 16140
court. If the court issues a shared parenting decree, "eligible 16141
applicant" means either parent. "Eligible applicant" does not mean 16142
a parent whose custodial rights have been terminated.16143

       (2) The custodian of a qualified special education child, 16144
when a court has granted temporary, legal, or permanent custody of 16145
the child to an individual other than either of the natural or 16146
adoptive parents of the child or to a government agency;16147

       (3) The guardian of a qualified special education child, when 16148
a court has appointed a guardian for the child;16149

       (4) The grandparent of a qualified special education child, 16150
when the grandparent is the child's attorney in fact under a power 16151
of attorney executed under sections 3109.51 to 3109.62 of the 16152
Revised Code or when the grandparent has executed a caregiver 16153
authorization affidavit under sections 3109.65 to 3109.73 of the 16154
Revised Code;16155

       (5) The surrogate parent appointed for a qualified special 16156
education child pursuant to division (B) of section 3323.05 and 16157
section 3323.051 of the Revised Code;16158

       (6) A qualified special education child, if the child does 16159
not have a custodian or guardian and the child is at least 16160
eighteen years of age.16161

       (E) "Entitled to attend school" means entitled to attend 16162
school in a school district under sections 3313.64 and 3313.65 of 16163
the Revised Code.16164

       (F) "Formula ADM" and "formula amount" have the same meanings 16165
as in section 3317.02 of the Revised Code.16166

       (G) "Handicapped child," "individualized education program," 16167
and "special education program" have the same meanings as in 16168
section 3323.01 of the Revised Code.16169

       (H) "Qualified special education child" is a child for whom 16170
all of the following conditions apply:16171

       (1) The child is at least five years of age and less than 16172
twenty-two years of age;16173

       (2) The school district in which the child is entitled to 16174
attend school, or the child's school district of residence if 16175
different, has identified the child as a handicapped child;16176

       (3) The school district in which the child is entitled to 16177
attend school, or the child's school district of residence if 16178
different, has developed an individualized education program under 16179
Chapter 3323. of the Revised Code for the child;16180

       (4) The child either:16181

       (a) Was enrolled in the schools of the school district in 16182
which the child is entitled to attend school in any grade from 16183
kindergarten through twelve in the school year prior to the school 16184
year in which a scholarship is first sought for the child;16185

       (b) Is eligible to enter school in any grade kindergarten 16186
through twelve in the school district in which the child is 16187
entitled to attend school in the school year in which a 16188
scholarship is first sought for the child.16189

       (I) "Registered private provider" means a nonpublic school or 16190
other nonpublic entity that has been registered by the 16191
superintendent of public instruction under section 3310.58 of the 16192
Revised Code.16193

       (J) "Scholarship" means a scholarship awarded under the 16194
special education scholarship pilot program pursuant to sections 16195
3310.51 to 3310.63 of the Revised Code.16196

       (K) "School district of residence" has the same meaning as in 16197
section 3323.01 of the Revised Code. A community school 16198
established under Chapter 3314. of the Revised Code is not a 16199
"school district of residence" for purposes of sections 3310.51 to 16200
3310.63 of the Revised Code.16201

       (L) "School year" has the same meaning as in section 3313.62 16202
of the Revised Code.16203

       Sec. 3310.52.  (A) The special education scholarship pilot 16204
program is hereby established. Under the program, in fiscal years 16205
2008 through 2013, subject to division (B) of this section, the 16206
department of education annually shall pay a scholarship to an 16207
alternative public provider or a registered private provider on 16208
behalf of an eligible applicant for services provided for a 16209
qualified special education child. The scholarship shall be used 16210
only to pay all or part of the fees for the child to attend the 16211
special education program operated by the alternative public 16212
provider or registered private provider to implement the child's 16213
individualized education program in lieu of the child's attending 16214
the special education program operated by the school district in 16215
which the child is entitled to attend school.16216

       (B) The number of scholarships awarded under the pilot 16217
program in any fiscal year shall not exceed three per cent of the 16218
total number of students residing in the state identified as 16219
handicapped children during the previous fiscal year.16220

       Sec. 3310.53.  (A) Except for development of the child's 16221
individualized education program, as specified in division (B) of 16222
this section, the school district in which a qualified special 16223
education child is entitled to attend school and the child's 16224
school district of residence, if different, are not obligated to 16225
provide the child with a free appropriate public education under 16226
Chapter 3323. of the Revised Code for as long as the child 16227
continues to attend the special education program operated by 16228
either an alternative public provider or a registered private 16229
provider for which a scholarship is awarded under the special 16230
education scholarship pilot program. If at any time, the eligible 16231
applicant for the child decides no longer to accept scholarship 16232
payments and enrolls the child in the special education program of 16233
the school district in which the child is entitled to attend 16234
school, that district shall provide the child with a free 16235
appropriate public education under Chapter 3323. of the Revised 16236
Code.16237

       (B) Each eligible applicant and each qualified special 16238
education child have a continuing right to the development of an 16239
individualized education program for the child that complies with 16240
Chapter 3323. of the Revised Code, 20 U.S.C. 1400 et seq., and 16241
administrative rules or guidelines adopted by the Ohio department 16242
of education or the United States department of education. The 16243
school district in which a qualified special education child is 16244
entitled to attend school, or the child's school district of 16245
residence if different, shall develop each individualized 16246
education program for the child in accordance with those 16247
provisions.16248

        (C) Each school district shall notify an eligible applicant 16249
of the applicant's and qualified special education child's rights 16250
under sections 3310.51 to 3310.63 of the Revised Code by providing 16251
to each eligible applicant the comparison document prescribed in 16252
section 3323.052 of the Revised Code. An eligible applicant's 16253
receipt of that document, as acknowledged in a format prescribed 16254
by the department of education, shall constitute notice that the 16255
eligible applicant has been informed of those rights. Upon receipt 16256
of that document, subsequent acceptance of a scholarship 16257
constitutes the eligible applicant's informed consent to the 16258
provisions of sections 3310.51 to 3310.63 of the Revised Code.16259

       Sec. 3310.54.  As prescribed in divisions (A)(2)(h), 16260
(B)(3)(g), and (B)(5) to (10) of section 3317.03 of the Revised 16261
Code, a qualified special education child in any of grades 16262
kindergarten through twelve for whom a scholarship is awarded 16263
under the special education scholarship pilot program shall be 16264
counted in the formula ADM and category one through six special 16265
education ADM, as appropriate, of the school district in which the 16266
child is entitled to attend school. A qualified special education 16267
child shall not be counted in the formula ADM or category one 16268
through six special education ADM of any other school district.16269

       Sec. 3310.55.  The department of education shall deduct from 16270
the amounts paid to each school district under Chapter 3317. of 16271
the Revised Code, and, if necessary, sections 321.24 and 323.156 16272
of the Revised Code, the aggregate amount of scholarships paid 16273
under section 3310.57 of the Revised Code for qualified special 16274
education children included in the formula ADM and the category 16275
one through six special education ADM of that school district.16276

       Sec. 3310.56.  The amount of the scholarship awarded and paid 16277
on behalf of an eligible applicant for services for a qualified 16278
special education child under the special education scholarship 16279
pilot program in each school year shall be the lesser of the 16280
following:16281

       (A) The amount of fees charged for that school year by the 16282
alternative public provider or registered private provider;16283

       (B) The sum of the amounts calculated under divisions (B)(1) 16284
and (2) of this section:16285

        (1) The sum of the formula amount plus the per pupil amount 16286
of the base funding supplements specified in divisions (C)(1) to 16287
(4) of section 3317.012 of the Revised Code.16288

       (2) The formula amount times the applicable special education 16289
weight for the child's disability.16290

       Sec. 3310.57.  The department of education shall make 16291
periodic payments to an alternative public provider or a 16292
registered private provider on behalf of an eligible applicant for 16293
services for each qualified special education child for whom a 16294
scholarship has been awarded. The total of all payments made on 16295
behalf of an applicant in each school year shall not exceed the 16296
amount calculated for the child under section 3310.56 of the 16297
Revised Code.16298

       The scholarship amount shall be proportionately reduced in 16299
the case of a child who is not enrolled in the special education 16300
program of an alternative public provider or a registered private 16301
provider for the entire school year.16302

       In accordance with division (A) of section 3310.62 of the 16303
Revised Code, the department shall make no payments on behalf of 16304
an applicant for a first-time scholarship for a qualified special 16305
education child while any administrative or judicial mediation or 16306
proceedings with respect to the content of the child's 16307
individualized education program are pending.16308

       Sec. 3310.58.  No nonpublic school or entity shall receive 16309
payments for services for a qualified special education child 16310
under the special education scholarship pilot program until the 16311
school or entity registers with the superintendent of public 16312
instruction. The superintendent shall register and designate as a 16313
registered private provider any nonpublic school or entity that 16314
meets the following requirements:16315

       (A) The special education program operated by the school or 16316
entity meets the minimum education standards established by the 16317
state board of education.16318

       (B) The school or entity does not discriminate on the basis 16319
of race, ethnicity, national origin, religion, sex, disability, 16320
age, or ancestry.16321

       (C) If the school or entity is not chartered by the state 16322
board under section 3301.16 of the Revised Code, the school or 16323
entity agrees to comply with section 3319.39 of the Revised Code 16324
as if it were a school district.16325

       (D) The teaching and nonteaching professionals employed by 16326
the school or entity, or employed by any subcontractors of the 16327
school or entity, hold credentials determined by the state board 16328
to be appropriate for the qualified special education children 16329
enrolled in the special education program it operates.16330

       (E) The school or entity meets applicable health and safety 16331
standards established by law for school buildings.16332

       (F) The school or entity agrees to retain on file 16333
documentation as required by the department of education.16334

       (G) The school or entity demonstrates fiscal soundness to the 16335
satisfaction of the department.16336

       (H) The school or entity agrees to meet other requirements 16337
established by rule of the state board under section 3310.63 of 16338
the Revised Code.16339

       Sec. 3310.59.  The superintendent of public instruction shall 16340
revoke the registration of any school or entity if, after a 16341
hearing, the superintendent determines that the school or entity 16342
is in violation of any provision of section 3310.58 of the Revised 16343
Code.16344

       Sec. 3310.60.  A qualified special education child attending 16345
a special education program at an alternative public provider or a 16346
registered private provider with a scholarship shall be entitled 16347
to transportation to and from that program in the manner 16348
prescribed by law for any handicapped child attending a nonpublic 16349
special education program.16350

       Sec. 3310.61.  An eligible applicant on behalf of a child who 16351
currently attends a public special education program under a 16352
contract, compact, or other bilateral agreement, or on behalf of a 16353
child who currently attends a community school, shall not be 16354
prohibited from applying for and accepting a scholarship so that 16355
the applicant may withdraw the child from that program or 16356
community school and use the scholarship for the child to attend a 16357
special education program operated by an alternative public 16358
provider or a registered private provider.16359

       Sec. 3310.62.  (A) A scholarship under the special education 16360
scholarship pilot program shall not be awarded for the first time 16361
to an eligible applicant on behalf of a qualified special 16362
education child while the child's individualized education program 16363
is being developed by the school district in which the child is 16364
entitled to attend school, or by the child's school district of 16365
residence if different, or while any administrative or judicial 16366
mediation or proceedings with respect to the content of that 16367
individualized education program are pending.16368

       (B) Development of individualized education programs 16369
subsequent to the one developed for the child the first time a 16370
scholarship was awarded on behalf of the child and the 16371
prosecuting, by the eligible applicant on behalf of the child, of 16372
administrative or judicial mediation or proceedings with respect 16373
to any of those subsequent individualized education programs do 16374
not affect the applicant's and the child's continued eligibility 16375
for scholarship payments.16376

        (C) In the case of any child for whom a scholarship has been 16377
awarded, if the school district in which the child is entitled to 16378
attend school has agreed to provide some services for the child 16379
under an agreement entered into with the eligible applicant or 16380
with the alternative public provider or registered private 16381
provider implementing the child's individualized education 16382
program, or if the district is required by law to provide some 16383
services for the child, including transportation services under 16384
sections 3310.60 and 3327.01 of the Revised Code, the district 16385
shall not discontinue the services it is providing pending 16386
completion of any administrative proceedings regarding those 16387
services. The prosecuting, by the eligible applicant on behalf of 16388
the child, of administrative proceedings regarding the services 16389
provided by the district does not affect the applicant's and the 16390
child's continued eligibility for scholarship payments.16391

       (D) The department of education shall continue to make 16392
payments to the alternative public provider or registered private 16393
provider on behalf of the eligible applicant under section 3310.57 16394
of the Revised Code while either of the following are pending:16395

        (1) Administrative or judicial mediation or proceedings with 16396
respect to a subsequent individualized education program for the 16397
child referred to in division (B) of this section;16398

        (2) Administrative proceedings regarding services provided by 16399
the district under division (C) of this section.16400

       Sec. 3310.63. The state board of education shall adopt rules 16401
in accordance with Chapter 119. of the Revised Code prescribing 16402
procedures necessary to implement sections 3310.51 to 3310.62 of 16403
the Revised Code including, but not limited to, procedures and 16404
deadlines for parents to apply for scholarships, standards for 16405
registered private providers, and procedures for registration of 16406
private providers.16407

       Sec. 3311.24.  (A)(1) Except as provided in division (B) of16408
this section, if the board of education of a city, exempted16409
village, or local school district deems it advisableshall file 16410
with the state board of education a proposal to transfer territory 16411
from such district to an adjoining city, exempted village, or 16412
local school district, or if ain any of the following 16413
circumstances:16414

       (a) The district board deems the transfer advisable;16415

       (b) A petition, signed by seventy-five per cent of the16416
qualified electors residing within that portion of a city,16417
exempted village, or local school district proposed to be16418
transferred voting at the last general election, requests such a 16419
transfer, the;16420

       (c) If no qualified electors reside in that portion of the 16421
district proposed to be transferred, a petition, signed by 16422
seventy-five per cent of the owners of parcels of real property on 16423
the tax duplicate within that portion of the district, requests 16424
such a transfer.16425

       (2) The board of education of the district in which such 16426
proposal originates shall file such proposal, together with a map 16427
showing the boundaries of the territory proposed to be 16428
transferred, with the state board of education prior to the first 16429
day of April in any even-numbered year. The state board of 16430
education may, if it is advisable, provide for a hearing in any 16431
suitable place in any of the school districts affected by such 16432
proposed transfer of territory. The state board of education or 16433
its representatives shall preside at any such hearing.16434

       (3) A board of education of a city, exempted village, or 16435
local school district that receives a petition of transfer signed 16436
by electors of the district under this division (A)(1)(b) of this 16437
section shall cause the board of elections to check the 16438
sufficiency of signatures on the petition. A board of education of 16439
a city, exempted village, or local school district that receives a 16440
petition of transfer signed by owners of parcels of real property 16441
under division (A)(1)(c) of this section shall cause the county 16442
auditor to check the sufficiency of signatures on the petition.16443

       (4) Not later than the first day of September the state board16444
of education shall either approve or disapprove a proposed16445
transfer of territory filed with it as provided by this section16446
and shall notify, in writing, the boards of education of the16447
districts affected by such proposed transfer of territory of its16448
decision.16449

       If the decision of the state board of education is an16450
approval of the proposed transfer of territory then the board of16451
education of the district in which the territory is located shall, 16452
within thirty days after receiving the state board of education's 16453
decision, adopt a resolution transferring the territory and shall 16454
forthwith submit a copy of such resolution to the treasurer of the 16455
board of education of the city, exempted village, or local school 16456
district to which the territory is transferred. Such transfer 16457
shall not be complete however, until:16458

       (1)(a) A resolution accepting the transfer has been passed by16459
a majority vote of the full membership of the board of education16460
of the city, exempted village, or local school district to which16461
the territory is transferred;16462

       (2)(b) An equitable division of the funds and indebtedness16463
between the districts involved has been made by the board of16464
education making the transfer;16465

       (3)(c) A map showing the boundaries of the territory16466
transferred has been filed, by the board of education accepting16467
the transfer, with the county auditor of each county affected by16468
the transfer.16469

       When such transfer is complete the legal title of the school 16470
property in the territory transferred shall be vested in the board 16471
of education or governing board of the school district to which 16472
the territory is transferred.16473

       (B) Whenever the transfer of territory pursuant to this16474
section is initiated by a board of education, the board shall,16475
before filing a proposal for transfer with the state board of16476
education under this section, make a good faith effort to16477
negotiate the terms of transfer with any other school district16478
whose territory would be affected by the transfer. Before the16479
state board may hold a hearing on the transfer, or approve or16480
disapprove any such transfer, it must receive the following:16481

       (1) A resolution requesting approval of the transfer, passed 16482
by the school district submitting the proposal;16483

       (2) Evidence determined to be sufficient by the state board 16484
to show that good faith negotiations have taken place or that the 16485
district requesting the transfer has made a good faith effort to 16486
hold such negotiations;16487

       (3) If any negotiations took place, a statement signed by all 16488
boards that participated in the negotiations, listing the terms 16489
agreed on and the points on which no agreement could be reached.16490

       Negotiations held pursuant to this section shall be governed 16491
by the rules adopted by the state board under division (D) of 16492
section 3311.06 of the Revised Code. Districts involved in a 16493
transfer under division (B) of this section may agree to share 16494
revenues from the property included in the territory to be16495
transferred, establish cooperative programs between the16496
participating districts, and establish mechanisms for the16497
settlement of any future boundary disputes.16498

       Sec. 3313.41.  (A) Except as provided in divisions (C), (D), 16499
(F), and (G) of this section, when a board of education decides to16500
dispose of real or personal property that it owns in its corporate16501
capacity and that exceeds in value ten thousand dollars, it shall16502
sell the property at public auction, after giving at least thirty16503
days' notice of the auction by publication in a newspaper of16504
general circulation or by posting notices in five of the most16505
public places in the school district in which the property, if it16506
is real property, is situated, or, if it is personal property, in16507
the school district of the board of education that owns the16508
property. The board may offer real property for sale as an entire16509
tract or in parcels.16510

       (B) When the board of education has offered real or personal16511
property for sale at public auction at least once pursuant to16512
division (A) of this section, and the property has not been sold,16513
the board may sell it at a private sale. Regardless of how it was16514
offered at public auction, at a private sale, the board shall, as16515
it considers best, sell real property as an entire tract or in16516
parcels, and personal property in a single lot or in several lots.16517

       (C) If a board of education decides to dispose of real or16518
personal property that it owns in its corporate capacity and that16519
exceeds in value ten thousand dollars, it may sell the property to16520
the adjutant general; to any subdivision or taxing authority as16521
respectively defined in divisions (A) and (C) of section 5705.0116522
of the Revised Code, township park district, board of park16523
commissioners established under Chapter 755. of the Revised Code,16524
or park district established under Chapter 1545. of the Revised16525
Code; to a wholly or partially tax-supported university,16526
university branch, or college; or to the board of trustees of a16527
school district library, upon such terms as are agreed upon. The16528
sale of real or personal property to the board of trustees of a16529
school district library is limited, in the case of real property,16530
to a school district library within whose boundaries the real16531
property is situated, or, in the case of personal property, to a16532
school district library whose boundaries lie in whole or in part16533
within the school district of the selling board of education.16534

       (D) When a board of education decides to trade as a part or16535
an entire consideration, an item of personal property on the16536
purchase price of an item of similar personal property, it may16537
trade the same upon such terms as are agreed upon by the parties16538
to the trade.16539

       (E) The president and the treasurer of the board of education 16540
shall execute and deliver deeds or other necessary instruments of 16541
conveyance to complete any sale or trade under this section.16542

       (F) When a board of education has identified a parcel of real16543
property that it determines is needed for school purposes, the16544
board may, upon a majority vote of the members of the board,16545
acquire that property by exchanging real property that the board16546
owns in its corporate capacity for the identified real property or16547
by using real property that the board owns in its corporate16548
capacity as part or an entire consideration for the purchase price16549
of the identified real property. Any exchange or acquisition made16550
pursuant to this division shall be made by a conveyance executed16551
by the president and the treasurer of the board.16552

       (G)(1) When a school district board of education decides to16553
dispose of real property suitable for use as classroom space,16554
prior to disposing of that property under divisions (A) to (F) of 16555
this section, it shall first offer that property for sale to the 16556
governing authorities of the start-up community schools16557
established under Chapter 3314. of the Revised Code located within 16558
the territory of the school district, at a price that is not 16559
higher than the appraised fair market value of that property. If 16560
more than one community school governing authority accepts the16561
offer made by the school district board, the board shall sell the16562
property to the governing authority that accepted the offer first16563
in time. If no community school governing authority accepts the16564
offer within sixty days after the offer is made by the school16565
district board, the board may dispose of the property in the16566
applicable manner prescribed under divisions (A) to (F) of this16567
section.16568

       (2) When a school district board of education has not used 16569
real propertyat least seventy-five per cent of a building16570
suitable for classroom space for academic instruction, 16571
administration, storage, or any other educational purpose for one 16572
fullat least seventy-five per cent of a school year and has not 16573
adopted a resolution outlining a plan for using at least 16574
seventy-five per cent of that propertybuilding for any of those 16575
purposes withinacademic instruction for at least seventy-five per 16576
cent of the next three school yearsyear, it shall offer that 16577
propertybuilding for sale to the governing authorities of the 16578
start-up community schools established under Chapter 3314. of the 16579
Revised Code located within the territory of the school district, 16580
at a price that is not higher than the appraised fair market value 16581
of that property. If more than one community school governing 16582
authority accepts the offer made by the school district board, the 16583
board shall sell the property to the governing authority that 16584
accepted the offer first in time.16585

       (H) When a school district board of education has property 16586
that the board, by resolution, finds is not needed for school 16587
district use, is obsolete, or is unfit for the use for which it 16588
was acquired, the board may donate that property in accordance 16589
with this division if the fair market value of the property is, in 16590
the opinion of the board, two thousand five hundred dollars or 16591
less.16592

        The property may be donated to an eligible nonprofit 16593
organization that is located in this state and is exempt from 16594
federal income taxation pursuant to 26 U.S.C. 501(a) and (c)(3). 16595
Before donating any property under this division, the board shall 16596
adopt a resolution expressing its intent to make unneeded, 16597
obsolete, or unfit-for-use school district property available to 16598
these organizations. The resolution shall include guidelines and 16599
procedures the board considers to be necessary to implement the 16600
donation program and shall indicate whether the school district 16601
will conduct the donation program or the board will contract with 16602
a representative to conduct it. If a representative is known when 16603
the resolution is adopted, the resolution shall provide contact 16604
information such as the representative's name, address, and 16605
telephone number.16606

       The resolution shall include within its procedures a16607
requirement that any nonprofit organization desiring to obtain16608
donated property under this division shall submit a written notice16609
to the board or its representative. The written notice shall16610
include evidence that the organization is a nonprofit organization 16611
that is located in this state and is exempt from federal income 16612
taxation pursuant to 26 U.S.C. 501(a) and (c)(3); a description of 16613
the organization's primary purpose; a description of the type or 16614
types of property the organization needs; and the name, address, 16615
and telephone number of a person designated by the organization's 16616
governing board to receive donated property and to serve as its 16617
agent.16618

       After adoption of the resolution, the board shall publish, in16619
a newspaper of general circulation in the school district, notice 16620
of its intent to donate unneeded, obsolete, or unfit-for-use 16621
school district property to eligible nonprofit organizations. The 16622
notice shall include a summary of the information provided in the 16623
resolution and shall be published at least twice. The second and 16624
any subsequent notice shall be published not less than ten nor 16625
more than twenty days after the previous notice. A similar notice 16626
also shall be posted continually in the board's office, and, if 16627
the school district maintains a web site on the internet, the 16628
notice shall be posted continually at that web site.16629

       The board or its representatives shall maintain a list of all16630
nonprofit organizations that notify the board or its16631
representative of their desire to obtain donated property under16632
this division and that the board or its representative determines16633
to be eligible, in accordance with the requirements set forth in 16634
this section and in the donation program's guidelines and 16635
procedures, to receive donated property.16636

       The board or its representative also shall maintain a list of16637
all school district property the board finds to be unneeded, 16638
obsolete, or unfit for use and to be available for donation under 16639
this division. The list shall be posted continually in a 16640
conspicuous location in the board's office, and, if the school 16641
district maintains a web site on the internet, the list shall be 16642
posted continually at that web site. An item of property on the 16643
list shall be donated to the eligible nonprofit organization that 16644
first declares to the board or its representative its desire to 16645
obtain the item unless the board previously has established, by 16646
resolution, a list of eligible nonprofit organizations that shall 16647
be given priority with respect to the item's donation. Priority 16648
may be given on the basis that the purposes of a nonprofit 16649
organization have a direct relationship to specific school 16650
district purposes of programs provided or administered by the 16651
board. A resolution giving priority to certain nonprofit 16652
organizations with respect to the donation of an item of property 16653
shall specify the reasons why the organizations are given that 16654
priority.16655

       Members of the board shall consult with the Ohio ethics 16656
commission, and comply with Chapters 102. and 2921. of the Revised 16657
Code, with respect to any donation under this division to a 16658
nonprofit organization of which a board member, any member of a 16659
board member's family, or any business associate of a board member 16660
is a trustee, officer, board member, or employee.16661

       Sec. 3313.615.  This section shall apply to diplomas awarded16662
after September 15, 2006, to students who are required to take the16663
five Ohio graduation tests prescribed by division (B) of section16664
3301.0710 of the Revised Code.16665

       (A) As an alternative to the requirement that a person attain 16666
the scores designated under division (B) of section 3301.0710 of 16667
the Revised Code on all the tests required under that division in 16668
order to be eligible for a high school diploma or an honors 16669
diploma under sections 3313.61, 3313.612, or 3325.08 of the16670
Revised Code or for a diploma of adult education under section16671
3313.611 of the Revised Code, a person who has attained at least16672
the applicable scores designated under division (B) of section16673
3301.0710 of the Revised Code on all but one of the tests required16674
by that division and from which the person was not excused or16675
exempted, pursuant to division (H) or (L) of section 3313.61,16676
division (B)(1) of section 3313.612, or section 3313.532 of the16677
Revised Code, may be awarded a diploma or honors diploma if the16678
person has satisfied all of the following conditions:16679

       (1) On the one test required under division (B) of section16680
3301.0710 of the Revised Code for which the person failed to16681
attain the designated score, the person missed that score by ten16682
points or less;16683

       (2) Has a ninety-seven per cent school attendance rate in16684
each of the last four school years, excluding any excused16685
absences;16686

       (3) Has not been expelled from school under section 3313.6616687
of the Revised Code in any of the last four school years;16688

       (4) Has a grade point average of at least 2.5 out of 4.0, or16689
its equivalent as designated in rules adopted by the state board16690
of education, in the subject area of the test required under16691
division (B) of section 3301.0710 of the Revised Code for which16692
the person failed to attain the designated score;16693

       (5) Has completed the high school curriculum requirements16694
prescribed in section 3313.603 of the Revised Code or has 16695
qualified under division (D) or (F) of that section;16696

       (6) Has taken advantage of any intervention programs provided 16697
by the school district or school in the subject area described in 16698
division (A)(4) of this section and has a ninety-seven per cent 16699
attendance rate, excluding any excused absences, in any of those 16700
programs that are provided at times beyond the normal school day, 16701
school week, or school year or has received comparable 16702
intervention services from a source other than the school district 16703
or school;16704

       (7) Holds a letter recommending graduation from each of the16705
person's high school teachers in the subject area described in16706
division (A)(4) of this section and from the person's high school16707
principal.16708

       (B) The state board of education shall establish rules16709
designating grade point averages equivalent to the average16710
specified in division (A)(4) of this section for use by school16711
districts and schools with different grading systems.16712

       (C) Any student who is exempt from attaining the applicable 16713
score designated under division (B) of section 3301.0710 of the 16714
Revised Code on the Ohio graduation test in social studies 16715
pursuant to division (H) of section 3313.61 or division (B)(2) of 16716
section 3313.612 of the Revised Code shall not qualify for a high 16717
school diploma under this section, unless, notwithstanding the 16718
exemption, the student attains the applicable score on that test. 16719
If the student attains the applicable score on that test, the 16720
student may qualify for a diploma under this section in the same 16721
manner as any other student who is required to take the five Ohio 16722
graduation tests prescribed by division (B) of section 3301.0710 16723
of the Revised Code.16724

       Sec. 3313.64.  (A) As used in this section and in section16725
3313.65 of the Revised Code:16726

       (1)(a) Except as provided in division (A)(1)(b) of this 16727
section, "parent" means either parent, unless the parents are16728
separated or divorced or their marriage has been dissolved or16729
annulled, in which case "parent" means the parent who is the16730
residential parent and legal custodian of the child. When a child16731
is in the legal custody of a government agency or a person other16732
than the child's natural or adoptive parent, "parent" means the16733
parent with residual parental rights, privileges, and16734
responsibilities. When a child is in the permanent custody of a16735
government agency or a person other than the child's natural or16736
adoptive parent, "parent" means the parent who was divested of16737
parental rights and responsibilities for the care of the child and16738
the right to have the child live with the parent and be the legal16739
custodian of the child and all residual parental rights,16740
privileges, and responsibilities.16741

       (b) When a child is the subject of a power of attorney16742
executed under sections 3109.51 to 3109.62 of the Revised Code,16743
"parent" means the grandparent designated as attorney in fact 16744
under the power of attorney. When a child is the subject of a 16745
caretaker authorization affidavit executed under sections 3109.64 16746
to 3109.73 of the Revised Code, "parent" means the grandparent 16747
that executed the affidavit.16748

       (2) "Legal custody," "permanent custody," and "residual16749
parental rights, privileges, and responsibilities" have the same16750
meanings as in section 2151.011 of the Revised Code.16751

       (3) "School district" or "district" means a city, local, or16752
exempted village school district and excludes any school operated16753
in an institution maintained by the department of youth services.16754

       (4) Except as used in division (C)(2) of this section, "home" 16755
means a home, institution, foster home, group home, or other 16756
residential facility in this state that receives and cares for 16757
children, to which any of the following applies:16758

       (a) The home is licensed, certified, or approved for such16759
purpose by the state or is maintained by the department of youth16760
services.16761

       (b) The home is operated by a person who is licensed,16762
certified, or approved by the state to operate the home for such16763
purpose.16764

       (c) The home accepted the child through a placement by a16765
person licensed, certified, or approved to place a child in such a16766
home by the state.16767

       (d) The home is a children's home created under section16768
5153.21 or 5153.36 of the Revised Code.16769

       (5) "Agency" means all of the following:16770

       (a) A public children services agency;16771

       (b) An organization that holds a certificate issued by the16772
Ohio department of job and family services in accordance with the16773
requirements of section 5103.03 of the Revised Code and assumes16774
temporary or permanent custody of children through commitment,16775
agreement, or surrender, and places children in family homes for16776
the purpose of adoption;16777

       (c) Comparable agencies of other states or countries that16778
have complied with applicable requirements of section 2151.39, or16779
sections 5103.20 to 5103.22 of the Revised Code.16780

       (6) A child is placed for adoption if either of the following 16781
occurs:16782

       (a) An agency to which the child has been permanently16783
committed or surrendered enters into an agreement with a person16784
pursuant to section 5103.16 of the Revised Code for the care and16785
adoption of the child.16786

       (b) The child's natural parent places the child pursuant to16787
section 5103.16 of the Revised Code with a person who will care16788
for and adopt the child.16789

       (7) "Handicapped preschool child" means a handicapped child,16790
as defined by division (A) of section 3323.01 of the Revised Code,16791
who is at least three years of age but is not of compulsory school16792
age, as defined in section 3321.01 of the Revised Code, and who is16793
not currently enrolled in kindergarten.16794

       (8) "Child," unless otherwise indicated, includes handicapped16795
preschool children.16796

       (9) "Active duty" means active duty pursuant to an executive 16797
order of the president of the United States, an act of the 16798
congress of the United States, or section 5919.29 or 5923.21 of 16799
the Revised Code.16800

       (B) Except as otherwise provided in section 3321.01 of the16801
Revised Code for admittance to kindergarten and first grade, a16802
child who is at least five but under twenty-two years of age and16803
any handicapped preschool child shall be admitted to school as16804
provided in this division.16805

       (1) A child shall be admitted to the schools of the school16806
district in which the child's parent resides.16807

       (2) A child who does not reside in the district where the16808
child's parent resides shall be admitted to the schools of the16809
district in which the child resides if any of the following16810
applies:16811

       (a) The child is in the legal or permanent custody of a16812
government agency or a person other than the child's natural or16813
adoptive parent.16814

       (b) The child resides in a home.16815

       (c) The child requires special education.16816

       (3) A child who is not entitled under division (B)(2) of this 16817
section to be admitted to the schools of the district where the 16818
child resides and who is residing with a resident of this state 16819
with whom the child has been placed for adoption shall be admitted16820
to the schools of the district where the child resides unless 16821
either of the following applies:16822

       (a) The placement for adoption has been terminated.16823

       (b) Another school district is required to admit the child16824
under division (B)(1) of this section.16825

       Division (B) of this section does not prohibit the board of16826
education of a school district from placing a handicapped child16827
who resides in the district in a special education program outside16828
of the district or its schools in compliance with Chapter 3323. of16829
the Revised Code.16830

       (C) A district shall not charge tuition for children admitted 16831
under division (B)(1) or (3) of this section. If the district 16832
admits a child under division (B)(2) of this section, tuition 16833
shall be paid to the district that admits the child as follows:16834

       (1) If the child receives special education in accordance16835
with Chapter 3323. of the Revised Code, the school district of 16836
residence, as defined in section 3323.01 of the Revised Code, 16837
shall pay tuition for the child in accordance with section 16838
3323.091, 3323.13, 3323.14, or 3323.141 of the Revised Code 16839
regardless of who has custody of the child or whether the child 16840
resides in a home.16841

       (2) For a child that does not receive special education in 16842
accordance with Chapter 3323. of the Revised Code, except as 16843
otherwise provided in division (C)(2)(d) of this section, if the 16844
child is in the permanent or legal custody of a government agency 16845
or person other than the child's parent, tuition shall be paid by:16846

       (a) The district in which the child's parent resided at the16847
time the court removed the child from home or at the time the16848
court vested legal or permanent custody of the child in the person16849
or government agency, whichever occurred first;16850

       (b) If the parent's residence at the time the court removed16851
the child from home or placed the child in the legal or permanent16852
custody of the person or government agency is unknown, tuition16853
shall be paid by the district in which the child resided at the16854
time the child was removed from home or placed in legal or16855
permanent custody, whichever occurred first;16856

       (c) If a school district cannot be established under division 16857
(C)(2)(a) or (b) of this section, tuition shall be paid by the 16858
district determined as required by section 2151.362 of the Revised 16859
Code by the court at the time it vests custody of the child in the 16860
person or government agency;16861

       (d) If at the time the court removed the child from home or16862
vested legal or permanent custody of the child in the person or16863
government agency, whichever occurred first, one parent was in a16864
residential or correctional facility or a juvenile residential16865
placement and the other parent, if living and not in such a16866
facility or placement, was not known to reside in this state,16867
tuition shall be paid by the district determined under division16868
(D) of section 3313.65 of the Revised Code as the district16869
required to pay any tuition while the parent was in such facility16870
or placement;16871

       (e) If the court has modified its order as to which district16872
department of education has determined, pursuant to division 16873
(A)(2) of section 2151.362 of the Revised Code, that a school 16874
district other than the one named in the court's initial order, or 16875
in a prior determination of the department, is responsible to bear 16876
the cost of educating the child pursuant to division (A)(2) of 16877
section 2151.362 of the Revised Code, the district so determined 16878
toshall be responsible for that cost in the order so modified.16879

       (3) If the child is not in the permanent or legal custody of16880
a government agency or person other than the child's parent and16881
the child resides in a home, tuition shall be paid by one of the16882
following:16883

       (a) The school district in which the child's parent resides;16884

       (b) If the child's parent is not a resident of this state,16885
the home in which the child resides.16886

       (D) Tuition required to be paid under divisions (C)(2) and16887
(3)(a) of this section shall be computed in accordance with16888
section 3317.08 of the Revised Code. Tuition required to be paid16889
under division (C)(3)(b) of this section shall be computed in16890
accordance with section 3317.081 of the Revised Code. If a home16891
fails to pay the tuition required by division (C)(3)(b) of this16892
section, the board of education providing the education may16893
recover in a civil action the tuition and the expenses incurred in16894
prosecuting the action, including court costs and reasonable16895
attorney's fees. If the prosecuting attorney or city director of16896
law represents the board in such action, costs and reasonable16897
attorney's fees awarded by the court, based upon the prosecuting16898
attorney's, director's, or one of their designee's time spent16899
preparing and presenting the case, shall be deposited in the16900
county or city general fund.16901

       (E) A board of education may enroll a child free of any16902
tuition obligation for a period not to exceed sixty days, on the16903
sworn statement of an adult resident of the district that the16904
resident has initiated legal proceedings for custody of the child.16905

       (F) In the case of any individual entitled to attend school16906
under this division, no tuition shall be charged by the school16907
district of attendance and no other school district shall be16908
required to pay tuition for the individual's attendance.16909
Notwithstanding division (B), (C), or (E) of this section:16910

       (1) All persons at least eighteen but under twenty-two years16911
of age who live apart from their parents, support themselves by16912
their own labor, and have not successfully completed the high16913
school curriculum or the individualized education program16914
developed for the person by the high school pursuant to section16915
3323.08 of the Revised Code, are entitled to attend school in the16916
district in which they reside.16917

       (2) Any child under eighteen years of age who is married is16918
entitled to attend school in the child's district of residence.16919

       (3) A child is entitled to attend school in the district in16920
which either of the child's parents is employed if the child has a16921
medical condition that may require emergency medical attention.16922
The parent of a child entitled to attend school under division16923
(F)(3) of this section shall submit to the board of education of16924
the district in which the parent is employed a statement from the16925
child's physician certifying that the child's medical condition16926
may require emergency medical attention. The statement shall be16927
supported by such other evidence as the board may require.16928

       (4) Any child residing with a person other than the child's16929
parent is entitled, for a period not to exceed twelve months, to16930
attend school in the district in which that person resides if the16931
child's parent files an affidavit with the superintendent of the16932
district in which the person with whom the child is living resides16933
stating all of the following:16934

       (a) That the parent is serving outside of the state in the16935
armed services of the United States;16936

       (b) That the parent intends to reside in the district upon16937
returning to this state;16938

       (c) The name and address of the person with whom the child is 16939
living while the parent is outside the state.16940

       (5) Any child under the age of twenty-two years who, after16941
the death of a parent, resides in a school district other than the16942
district in which the child attended school at the time of the16943
parent's death is entitled to continue to attend school in the16944
district in which the child attended school at the time of the16945
parent's death for the remainder of the school year, subject to16946
approval of that district board.16947

       (6) A child under the age of twenty-two years who resides16948
with a parent who is having a new house built in a school district16949
outside the district where the parent is residing is entitled to16950
attend school for a period of time in the district where the new16951
house is being built. In order to be entitled to such attendance,16952
the parent shall provide the district superintendent with the16953
following:16954

       (a) A sworn statement explaining the situation, revealing the 16955
location of the house being built, and stating the parent's16956
intention to reside there upon its completion;16957

       (b) A statement from the builder confirming that a new house16958
is being built for the parent and that the house is at the16959
location indicated in the parent's statement.16960

       (7) A child under the age of twenty-two years residing with a16961
parent who has a contract to purchase a house in a school district 16962
outside the district where the parent is residing and who is 16963
waiting upon the date of closing of the mortgage loan for the16964
purchase of such house is entitled to attend school for a period16965
of time in the district where the house is being purchased. In16966
order to be entitled to such attendance, the parent shall provide16967
the district superintendent with the following:16968

       (a) A sworn statement explaining the situation, revealing the 16969
location of the house being purchased, and stating the parent's 16970
intent to reside there;16971

       (b) A statement from a real estate broker or bank officer16972
confirming that the parent has a contract to purchase the house,16973
that the parent is waiting upon the date of closing of the16974
mortgage loan, and that the house is at the location indicated in16975
the parent's statement.16976

       The district superintendent shall establish a period of time16977
not to exceed ninety days during which the child entitled to16978
attend school under division (F)(6) or (7) of this section may16979
attend without tuition obligation. A student attending a school16980
under division (F)(6) or (7) of this section shall be eligible to16981
participate in interscholastic athletics under the auspices of16982
that school, provided the board of education of the school16983
district where the student's parent resides, by a formal action,16984
releases the student to participate in interscholastic athletics16985
at the school where the student is attending, and provided the16986
student receives any authorization required by a public agency or16987
private organization of which the school district is a member16988
exercising authority over interscholastic sports.16989

       (8) A child whose parent is a full-time employee of a city,16990
local, or exempted village school district, or of an educational16991
service center, may be admitted to the schools of the district16992
where the child's parent is employed, or in the case of a child16993
whose parent is employed by an educational service center, in the16994
district that serves the location where the parent's job is16995
primarily located, provided the district board of education16996
establishes such an admission policy by resolution adopted by a16997
majority of its members. Any such policy shall take effect on the16998
first day of the school year and the effective date of any16999
amendment or repeal may not be prior to the first day of the17000
subsequent school year. The policy shall be uniformly applied to17001
all such children and shall provide for the admission of any such17002
child upon request of the parent. No child may be admitted under17003
this policy after the first day of classes of any school year.17004

       (9) A child who is with the child's parent under the care of17005
a shelter for victims of domestic violence, as defined in section17006
3113.33 of the Revised Code, is entitled to attend school free in17007
the district in which the child is with the child's parent, and no17008
other school district shall be required to pay tuition for the17009
child's attendance in that school district.17010

       The enrollment of a child in a school district under this17011
division shall not be denied due to a delay in the school17012
district's receipt of any records required under section 3313.67217013
of the Revised Code or any other records required for enrollment. 17014
Any days of attendance and any credits earned by a child while17015
enrolled in a school district under this division shall be17016
transferred to and accepted by any school district in which the17017
child subsequently enrolls. The state board of education shall17018
adopt rules to ensure compliance with this division.17019

       (10) Any child under the age of twenty-two years whose parent17020
has moved out of the school district after the commencement of17021
classes in the child's senior year of high school is entitled,17022
subject to the approval of that district board, to attend school17023
in the district in which the child attended school at the time of17024
the parental move for the remainder of the school year and for one17025
additional semester or equivalent term. A district board may also17026
adopt a policy specifying extenuating circumstances under which a17027
student may continue to attend school under division (F)(10) of17028
this section for an additional period of time in order to17029
successfully complete the high school curriculum for the17030
individualized education program developed for the student by the17031
high school pursuant to section 3323.08 of the Revised Code.17032

       (11) As used in this division, "grandparent" means a parent17033
of a parent of a child. A child under the age of twenty-two years17034
who is in the custody of the child's parent, resides with a17035
grandparent, and does not require special education is entitled to17036
attend the schools of the district in which the child's17037
grandparent resides, provided that, prior to such attendance in17038
any school year, the board of education of the school district in17039
which the child's grandparent resides and the board of education17040
of the school district in which the child's parent resides enter17041
into a written agreement specifying that good cause exists for17042
such attendance, describing the nature of this good cause, and17043
consenting to such attendance.17044

       In lieu of a consent form signed by a parent, a board of17045
education may request the grandparent of a child attending school17046
in the district in which the grandparent resides pursuant to17047
division (F)(11) of this section to complete any consent form17048
required by the district, including any authorization required by17049
sections 3313.712, 3313.713, 3313.716, and 3313.718 of the Revised 17050
Code. Upon request, the grandparent shall complete any consent 17051
form required by the district. A school district shall not incur 17052
any liability solely because of its receipt of a consent form from 17053
a grandparent in lieu of a parent.17054

       Division (F)(11) of this section does not create, and shall17055
not be construed as creating, a new cause of action or substantive17056
legal right against a school district, a member of a board of17057
education, or an employee of a school district. This section does17058
not affect, and shall not be construed as affecting, any17059
immunities from defenses to tort liability created or recognized17060
by Chapter 2744. of the Revised Code for a school district,17061
member, or employee.17062

       (12) A child under the age of twenty-two years is entitled to 17063
attend school in a school district other than the district in17064
which the child is entitled to attend school under division (B),17065
(C), or (E) of this section provided that, prior to such17066
attendance in any school year, both of the following occur:17067

       (a) The superintendent of the district in which the child is17068
entitled to attend school under division (B), (C), or (E) of this17069
section contacts the superintendent of another district for17070
purposes of this division;17071

       (b) The superintendents of both districts enter into a17072
written agreement that consents to the attendance and specifies17073
that the purpose of such attendance is to protect the student's17074
physical or mental well-being or to deal with other extenuating17075
circumstances deemed appropriate by the superintendents.17076

       While an agreement is in effect under this division for a17077
student who is not receiving special education under Chapter 3323.17078
of the Revised Code and notwithstanding Chapter 3327. of the17079
Revised Code, the board of education of neither school district17080
involved in the agreement is required to provide transportation17081
for the student to and from the school where the student attends.17082

       A student attending a school of a district pursuant to this17083
division shall be allowed to participate in all student17084
activities, including interscholastic athletics, at the school17085
where the student is attending on the same basis as any student17086
who has always attended the schools of that district while of17087
compulsory school age.17088

       (13) All school districts shall comply with the17089
"McKinney-Vento Homeless Assistance Act," 42 U.S.C.A. 11431 et17090
seq., for the education of homeless children. Each city, local,17091
and exempted village school district shall comply with the17092
requirements of that act governing the provision of a free,17093
appropriate public education, including public preschool, to each17094
homeless child.17095

       When a child loses permanent housing and becomes a homeless17096
person, as defined in 42 U.S.C.A. 11481(5), or when a child who is17097
such a homeless person changes temporary living arrangements, the17098
child's parent or guardian shall have the option of enrolling the17099
child in either of the following:17100

       (a) The child's school of origin, as defined in 42 U.S.C.A.17101
11432(g)(3)(C);17102

       (b) The school that is operated by the school district in17103
which the shelter where the child currently resides is located and17104
that serves the geographic area in which the shelter is located.17105

       (14) A child under the age of twenty-two years who resides 17106
with a person other than the child's parent is entitled to attend 17107
school in the school district in which that person resides if both 17108
of the following apply:17109

       (a) That person has been appointed, through a military power 17110
of attorney executed under section 574(a) of the "National Defense 17111
Authorization Act for Fiscal Year 1994," 107 Stat. 1674 (1993), 10 17112
U.S.C. 1044b, or through a comparable document necessary to 17113
complete a family care plan, as the parent's agent for the care, 17114
custody, and control of the child while the parent is on active 17115
duty as a member of the national guard or a reserve unit of the 17116
armed forces of the United States or because the parent is a 17117
member of the armed forces of the United States and is on a duty 17118
assignment away from the parent's residence.17119

       (b) The military power of attorney or comparable document 17120
includes at least the authority to enroll the child in school.17121

        The entitlement to attend school in the district in which the 17122
parent's agent under the military power of attorney or comparable 17123
document resides applies until the end of the school year in which 17124
the military power of attorney or comparable document expires.17125

       (G) A board of education, after approving admission, may17126
waive tuition for students who will temporarily reside in the17127
district and who are either of the following:17128

       (1) Residents or domiciliaries of a foreign nation who17129
request admission as foreign exchange students;17130

       (2) Residents or domiciliaries of the United States but not17131
of Ohio who request admission as participants in an exchange17132
program operated by a student exchange organization.17133

       (H) Pursuant to sections 3311.211, 3313.90, 3319.01, 3323.04, 17134
3327.04, and 3327.06 of the Revised Code, a child may attend 17135
school or participate in a special education program in a school 17136
district other than in the district where the child is entitled to 17137
attend school under division (B) of this section.17138

       (I)(1) Notwithstanding anything to the contrary in this 17139
section or section 3313.65 of the Revised Code, a child under 17140
twenty-two years of age may attend school in the school district 17141
in which the child, at the end of the first full week of October 17142
of the school year, was entitled to attend school as otherwise 17143
provided under this section or section 3313.65 of the Revised 17144
Code, if at that time the child was enrolled in the schools of the 17145
district but since that time the child or the child's parent has 17146
relocated to a new address located outside of that school district 17147
and within the same county as the child's or parent's address 17148
immediately prior to the relocation. The child may continue to 17149
attend school in the district, and at the school to which the 17150
child was assigned at the end of the first full week of October of 17151
the current school year, for the balance of the school year. 17152
Division (I)(1) of this section applies only if both of the 17153
following conditions are satisfied:17154

       (a) The board of education of the school district in which 17155
the child was entitled to attend school at the end of the first 17156
full week in October and of the district to which the child or 17157
child's parent has relocated each has adopted a policy to enroll 17158
children described in division (I)(1) of this section.17159

       (b) The child's parent provides written notification of the 17160
relocation outside of the school district to the superintendent of 17161
each of the two school districts.17162

       (2) At the beginning of the school year following the school 17163
year in which the child or the child's parent relocated outside of 17164
the school district as described in division (I)(1) of this 17165
section, the child is not entitled to attend school in the school 17166
district under that division.17167

       (3) Any person or entity owing tuition to the school district 17168
on behalf of the child at the end of the first full week in 17169
October, as provided in division (C) of this section, shall 17170
continue to owe such tuition to the district for the child's 17171
attendance under division (I)(1) of this section for the lesser of 17172
the balance of the school year or the balance of the time that the 17173
child attends school in the district under division (I)(1) of this 17174
section.17175

       (4) A pupil who may attend school in the district under 17176
division (I)(1) of this section shall be entitled to 17177
transportation services pursuant to an agreement between the 17178
district and the district in which the child or child's parent has 17179
relocated unless the districts have not entered into such 17180
agreement, in which case the child shall be entitled to 17181
transportation services in the same manner as a pupil attending 17182
school in the district under interdistrict open enrollment as 17183
described in division (H) of section 3313.981 of the Revised Code, 17184
regardless of whether the district has adopted an open enrollment 17185
policy as described in division (B)(1)(b) or (c) of section 17186
3313.98 of the Revised Code.17187

       (J) This division does not apply to a child receiving special 17188
education.17189

       A school district required to pay tuition pursuant to17190
division (C)(2) or (3) of this section or section 3313.65 of the17191
Revised Code shall have an amount deducted under division (F) of17192
section 3317.023 of the Revised Code equal to its own tuition rate17193
for the same period of attendance. A school district entitled to17194
receive tuition pursuant to division (C)(2) or (3) of this section17195
or section 3313.65 of the Revised Code shall have an amount17196
credited under division (F) of section 3317.023 of the Revised17197
Code equal to its own tuition rate for the same period of17198
attendance. If the tuition rate credited to the district of17199
attendance exceeds the rate deducted from the district required to17200
pay tuition, the department of education shall pay the district of17201
attendance the difference from amounts deducted from all17202
districts' payments under division (F) of section 3317.023 of the17203
Revised Code but not credited to other school districts under such17204
division and from appropriations made for such purpose. The17205
treasurer of each school district shall, by the fifteenth day of17206
January and July, furnish the superintendent of public instruction17207
a report of the names of each child who attended the district's17208
schools under divisions (C)(2) and (3) of this section or section17209
3313.65 of the Revised Code during the preceding six calendar17210
months, the duration of the attendance of those children, the17211
school district responsible for tuition on behalf of the child,17212
and any other information that the superintendent requires.17213

       Upon receipt of the report the superintendent, pursuant to17214
division (F) of section 3317.023 of the Revised Code, shall deduct17215
each district's tuition obligations under divisions (C)(2) and (3)17216
of this section or section 3313.65 of the Revised Code and pay to17217
the district of attendance that amount plus any amount required to17218
be paid by the state.17219

       (K) In the event of a disagreement, the superintendent of17220
public instruction shall determine the school district in which17221
the parent resides.17222

       (L) Nothing in this section requires or authorizes, or shall17223
be construed to require or authorize, the admission to a public17224
school in this state of a pupil who has been permanently excluded17225
from public school attendance by the superintendent of public17226
instruction pursuant to sections 3301.121 and 3313.662 of the17227
Revised Code.17228

       (M) In accordance with division (B)(1) of this section, a 17229
child whose parent is a member of the national guard or a reserve 17230
unit of the armed forces of the United States and is called to 17231
active duty, or a child whose parent is a member of the armed 17232
forces of the United States and is ordered to a temporary duty 17233
assignment outside of the district, may continue to attend school 17234
in the district in which the child's parent lived before being 17235
called to active duty or ordered to a temporary duty assignment 17236
outside of the district, as long as the child's parent continues 17237
to be a resident of that district, and regardless of where the 17238
child lives as a result of the parent's active duty status or 17239
temporary duty assignment. However, the district is not 17240
responsible for providing transportation for the child if the 17241
child lives outside of the district as a result of the parent's 17242
active duty status or temporary duty assignment.17243

       Sec. 3313.646.  (A) The board of education of a school17244
district, except a cooperative education district established17245
pursuant to section 3311.521 of the Revised Code, may establish17246
and operate a preschool program except that no such program shall17247
be established after March 17, 1989, unless both of the following17248
apply at the time the program is established:17249

       (1) The, provided the board has demonstrated a need for the 17250
program.17251

       (2) Unless it is a cooperative education district established 17252
pursuant to divisions (A) to (C) of section 3311.52 of the Revised 17253
Code, the school district is eligible for moneys distributed by 17254
the department of education pursuant to section 3317.029 of the 17255
Revised Code. A board may use school funds in support of preschool 17256
programs. The board shall maintain, operate, and admit children to 17257
any such program pursuant to rules adopted by such board and the 17258
rules of the state board of education adopted under sections 17259
3301.52 to 3301.57 of the Revised Code.17260

       A board of education may establish fees or tuition, which may 17261
be graduated in proportion to family income, for participation in 17262
a preschool program. In cases where payment of fees or tuition 17263
would create a hardship for the child's parent or guardian, the 17264
board may waive any such fees or tuition.17265

       (B) No board of education that is not receiving funds under 17266
the "Head Start Act," 95 Stat. 489 (1981), 42 U.S.C.A. 9831, on 17267
March 17, 1989, shall compete for funds under the "Head Start Act" 17268
with any grantee receiving funds under that act.17269

       (C) A board of education may contract with any of the17270
following preschool providers to provide preschool programs, other 17271
than programs for units described by divisions (B) and (C) of17272
section 3317.05 of the Revised Code, for children of the school17273
district:17274

       (1) Any organization receiving funds under the "Head Start17275
Act";17276

       (2) Any nonsectarian eligible nonpublic school as defined in 17277
division (H) of section 3301.52 of the Revised Code;17278

       (3) Any child care provider licensed under Chapter 5104. of 17279
the Revised Code.17280

       Boards may contract to provide preschool programs only with17281
such organizations whose staff meet the requirements of rules17282
adopted under section 3301.53 of the Revised Code or those of the17283
child development associate credential established by the national 17284
association for the education of young children.17285

       (D) A contract entered into under division (C) of this17286
section may provide for the board of education to lease school17287
facilities to the preschool provider or to furnish transportation, 17288
utilities, or staff for the preschool program.17289

       (E) The treasurer of any board of education operating a17290
preschool program pursuant to this section shall keep an account17291
of all funds used to operate the program in the same manner as he17292
the treasurer would any other funds of the district pursuant to 17293
this chapter.17294

       Sec. 3313.66.  (A) Except as provided under division (B)(2)17295
of this section, the superintendent of schools of a city, exempted17296
village, or local school district, or the principal of a public17297
school may suspend a pupil from school for not more than ten17298
school days. The board of education of a city, exempted village,17299
or local school district may adopt a policy granting assistant17300
principals and other administrators the authority to suspend a17301
pupil from school for a period of time as specified in the policy17302
of the board of education, not to exceed ten school days. If at17303
the time a suspension is imposed there are fewer than ten school17304
days remaining in the school year in which the incident that gives17305
rise to the suspension takes place, the superintendent may apply17306
any remaining part or all of the period of the suspension to the17307
following school year. Except in the case of a pupil given an17308
in-school suspension, no pupil shall be suspended unless prior to17309
the suspension such superintendent or principal does both of the17310
following:17311

       (1) Gives the pupil written notice of the intention to17312
suspend the pupil and the reasons for the intended suspension and,17313
if the proposed suspension is based on a violation listed in17314
division (A) of section 3313.662 of the Revised Code and if the17315
pupil is sixteen years of age or older, includes in the notice a17316
statement that the superintendent may seek to permanently exclude17317
the pupil if the pupil is convicted of or adjudicated a delinquent17318
child for that violation;17319

       (2) Provides the pupil an opportunity to appear at an17320
informal hearing before the principal, assistant principal,17321
superintendent, or superintendent's designee and challenge the17322
reason for the intended suspension or otherwise to explain the17323
pupil's actions.17324

       (B)(1) Except as provided under division (B)(2), (3), or (4)17325
of this section, the superintendent of schools of a city, exempted17326
village, or local school district may expel a pupil from school17327
for a period not to exceed the greater of eighty school days or17328
the number of school days remaining in the semester or term in17329
which the incident that gives rise to the expulsion takes place,17330
unless the expulsion is extended pursuant to division (F) of this17331
section. If at the time an expulsion is imposed there are fewer17332
than eighty school days remaining in the school year in which the17333
incident that gives rise to the expulsion takes place, the17334
superintendent may apply any remaining part or all of the period17335
of the expulsion to the following school year.17336

       (2)(a) Unless a pupil is permanently excluded pursuant to17337
section 3313.662 of the Revised Code, the superintendent of17338
schools of a city, exempted village, or local school district17339
shall expel a pupil from school for a period of one year for17340
bringing a firearm to a school operated by the board of education17341
of the district or onto any other property owned or controlled by17342
the board, except that the superintendent may reduce this17343
requirement on a case-by-case basis in accordance with the policy17344
adopted by the board under section 3313.661 of the Revised Code.17345

       (b) The superintendent of schools of a city, exempted17346
village, or local school district may expel a pupil from school17347
for a period of one year for bringing a firearm to an17348
interscholastic competition, an extracurricular event, or any17349
other school program or activity that is not located in a school17350
or on property that is owned or controlled by the district. The17351
superintendent may reduce this disciplinary action on a17352
case-by-case basis in accordance with the policy adopted by the17353
board under section 3313.661 of the Revised Code.17354

       (c) Any expulsion pursuant to division (B)(2) of this section 17355
shall extend, as necessary, into the school year following the 17356
school year in which the incident that gives rise to the expulsion 17357
takes place. As used in this division, "firearm" has the same 17358
meaning as provided pursuant to the "Gun-Free Schools Act of17359
1994," 108115 Stat. 2701762, 20 U.S.C. 8001(a)(2)7151.17360

       (3) The board of education of a city, exempted village, or17361
local school district may adopt a resolution authorizing the17362
superintendent of schools to expel a pupil from school for a17363
period not to exceed one year for bringing a knife to a school17364
operated by the board, onto any other property owned or controlled17365
by the board, or to an interscholastic competition, an17366
extracurricular event, or any other program or activity sponsored17367
by the school district or in which the district is a participant,17368
or for possessing a firearm or knife at a school, on any other17369
property owned or controlled by the board, or at an17370
interscholastic competition, an extracurricular event, or any17371
other school program or activity, which firearm or knife was17372
initially brought onto school board property by another person.17373
The resolution may authorize the superintendent to extend such an17374
expulsion, as necessary, into the school year following the school17375
year in which the incident that gives rise to the expulsion takes17376
place.17377

       (4) The board of education of a city, exempted village, or17378
local school district may adopt a resolution establishing a policy17379
under section 3313.661 of the Revised Code that authorizes the17380
superintendent of schools to expel a pupil from school for a17381
period not to exceed one year for committing an act that is a17382
criminal offense when committed by an adult and that results in17383
serious physical harm to persons as defined in division (A)(5) of17384
section 2901.01 of the Revised Code or serious physical harm to17385
property as defined in division (A)(6) of section 2901.01 of the17386
Revised Code while the pupil is at school, on any other property17387
owned or controlled by the board, or at an interscholastic17388
competition, an extracurricular event, or any other school program17389
or activity. Any expulsion under this division shall extend, as17390
necessary, into the school year following the school year in which17391
the incident that gives rise to the expulsion takes place.17392

       (5) The board of education of any city, exempted village, or17393
local school district may adopt a resolution establishing a policy17394
under section 3313.661 of the Revised Code that authorizes the17395
superintendent of schools to expel a pupil from school for a17396
period not to exceed one year for making a bomb threat to a school17397
building or to any premises at which a school activity is17398
occurring at the time of the threat. Any expulsion under this17399
division shall extend, as necessary, into the school year17400
following the school year in which the incident that gives rise to17401
the expulsion takes place.17402

       (6) No pupil shall be expelled under division (B)(1), (2),17403
(3), (4), or (5) of this section unless, prior to the pupil's17404
expulsion, the superintendent does both of the following:17405

       (a) Gives the pupil and the pupil's parent, guardian, or17406
custodian written notice of the intention to expel the pupil;17407

       (b) Provides the pupil and the pupil's parent, guardian,17408
custodian, or representative an opportunity to appear in person17409
before the superintendent or the superintendent's designee to17410
challenge the reasons for the intended expulsion or otherwise to17411
explain the pupil's actions.17412

       The notice required in this division shall include the17413
reasons for the intended expulsion, notification of the17414
opportunity of the pupil and the pupil's parent, guardian,17415
custodian, or representative to appear before the superintendent17416
or the superintendent's designee to challenge the reasons for the17417
intended expulsion or otherwise to explain the pupil's action, and17418
notification of the time and place to appear. The time to appear17419
shall not be earlier than three nor later than five school days17420
after the notice is given, unless the superintendent grants an17421
extension of time at the request of the pupil or the pupil's17422
parent, guardian, custodian, or representative. If an extension is 17423
granted after giving the original notice, the superintendent shall 17424
notify the pupil and the pupil's parent, guardian, custodian, or17425
representative of the new time and place to appear. If the 17426
proposed expulsion is based on a violation listed in division (A) 17427
of section 3313.662 of the Revised Code and if the pupil is 17428
sixteen years of age or older, the notice shall include a17429
statement that the superintendent may seek to permanently exclude17430
the pupil if the pupil is convicted of or adjudicated a delinquent17431
child for that violation.17432

       (7) A superintendent of schools of a city, exempted village,17433
or local school district shall initiate expulsion proceedings17434
pursuant to this section with respect to any pupil who has17435
committed an act warranting expulsion under the district's policy17436
regarding expulsion even if the pupil has withdrawn from school17437
for any reason after the incident that gives rise to the hearing17438
but prior to the hearing or decision to impose the expulsion. If,17439
following the hearing, the pupil would have been expelled for a17440
period of time had the pupil still been enrolled in the school,17441
the expulsion shall be imposed for the same length of time as on a17442
pupil who has not withdrawn from the school.17443

       (C) If a pupil's presence poses a continuing danger to17444
persons or property or an ongoing threat of disrupting the17445
academic process taking place either within a classroom or17446
elsewhere on the school premises, the superintendent or a17447
principal or assistant principal may remove a pupil from17448
curricular activities or from the school premises, and a teacher17449
may remove a pupil from curricular activities under the teacher's17450
supervision, without the notice and hearing requirements of17451
division (A) or (B) of this section. As soon as practicable after17452
making such a removal, the teacher shall submit in writing to the17453
principal the reasons for such removal.17454

       If a pupil is removed under this division from a curricular17455
activity or from the school premises, written notice of the17456
hearing and of the reason for the removal shall be given to the17457
pupil as soon as practicable prior to the hearing, which shall be17458
held within three school days from the time the initial removal is17459
ordered. The hearing shall be held in accordance with division (A) 17460
of this section unless it is probable that the pupil may be17461
subject to expulsion, in which case a hearing in accordance with17462
division (B) of this section shall be held, except that the17463
hearing shall be held within three school days of the initial17464
removal. The individual who ordered, caused, or requested the17465
removal to be made shall be present at the hearing.17466

       If the superintendent or the principal reinstates a pupil in17467
a curricular activity under the teacher's supervision prior to the17468
hearing following a removal under this division, the teacher, upon17469
request, shall be given in writing the reasons for such17470
reinstatement.17471

       (D) The superintendent or principal, within one school day17472
after the time of a pupil's expulsion or suspension, shall notify17473
in writing the parent, guardian, or custodian of the pupil and the17474
treasurer of the board of education of the expulsion or17475
suspension. The notice shall include the reasons for the expulsion 17476
or suspension, notification of the right of the pupil or the 17477
pupil's parent, guardian, or custodian to appeal the expulsion or 17478
suspension to the board of education or to its designee, to be17479
represented in all appeal proceedings, to be granted a hearing17480
before the board or its designee in order to be heard against the17481
suspension or expulsion, and to request that the hearing be held17482
in executive session, notification that the expulsion may be17483
subject to extension pursuant to division (F) of this section if17484
the pupil is sixteen years of age or older, and notification that17485
the superintendent may seek the pupil's permanent exclusion if the17486
suspension or expulsion was based on a violation listed in17487
division (A) of section 3313.662 of the Revised Code that was17488
committed when the child was sixteen years of age or older and if17489
the pupil is convicted of or adjudicated a delinquent child for17490
that violation.17491

       In accordance with the policy adopted by the board of 17492
education under section 3313.661 of the Revised Code, the notice 17493
provided under this division shall specify the manner and date by 17494
which the pupil or the pupil's parent, guardian, or custodian 17495
shall notify the board of the pupil's, parent's, guardian's, or 17496
custodian's intent to appeal the expulsion or suspension to the 17497
board or its designee.17498

       Any superintendent expelling a pupil under this section for17499
more than twenty school days or for any period of time if the17500
expulsion will extend into the following semester or school year17501
shall, in the notice required under this division, provide the17502
pupil and the pupil's parent, guardian, or custodian with17503
information about services or programs offered by public and17504
private agencies that work toward improving those aspects of the17505
pupil's attitudes and behavior that contributed to the incident17506
that gave rise to the pupil's expulsion. The information shall17507
include the names, addresses, and phone numbers of the appropriate17508
public and private agencies.17509

       (E) A pupil or the pupil's parent, guardian, or custodian may 17510
appeal the pupil's expulsion by a superintendent or suspension by 17511
a superintendent, principal, assistant principal, or other17512
administrator to the board of education or to its designee. If the 17513
pupil or the pupil's parent, guardian, or custodian intends to 17514
appeal the expulsion or suspension to the board or its designee, 17515
the pupil or the pupil's parent, guardian, or custodian shall 17516
notify the board in the manner and by the date specified in the 17517
notice provided under division (D) of this section. The pupil or 17518
the pupil's parent, guardian, or custodian may be represented in17519
all appeal proceedings and shall be granted a hearing before the17520
board or its designee in order to be heard against the suspension17521
or expulsion. At the request of the pupil or of the pupil's17522
parent, guardian, custodian, or attorney, the board or its 17523
designee may hold the hearing in executive session but shall act 17524
upon the suspension or expulsion only at a public meeting. The 17525
board, by a majority vote of its full membership or by the action 17526
of its designee, may affirm the order of suspension or expulsion,17527
reinstate the pupil, or otherwise reverse, vacate, or modify the17528
order of suspension or expulsion.17529

       The board or its designee shall make a verbatim record of17530
hearings held under this division. The decisions of the board or17531
its designee may be appealed under Chapter 2506. of the Revised17532
Code.17533

       This section shall not be construed to require notice and17534
hearing in accordance with division (A), (B), or (C) of this17535
section in the case of normal disciplinary procedures in which a17536
pupil is removed from a curricular activity for a period of less17537
than one school day and is not subject to suspension or expulsion.17538

       (F)(1) If a pupil is expelled pursuant to division (B) of17539
this section for committing any violation listed in division (A)17540
of section 3313.662 of the Revised Code and the pupil was sixteen17541
years of age or older at the time of committing the violation, if17542
a complaint, indictment, or information is filed alleging that the17543
pupil is a delinquent child based upon the commission of the17544
violation or the pupil is prosecuted as an adult for the17545
commission of the violation, and if the resultant juvenile court17546
or criminal proceeding is pending at the time that the expulsion17547
terminates, the superintendent of schools that expelled the pupil17548
may file a motion with the court in which the proceeding is17549
pending requesting an order extending the expulsion for the lesser17550
of an additional eighty days or the number of school days17551
remaining in the school year. Upon the filing of the motion, the17552
court immediately shall schedule a hearing and give written notice17553
of the time, date, and location of the hearing to the17554
superintendent and to the pupil and the pupil's parent, guardian,17555
or custodian. At the hearing, the court shall determine whether17556
there is reasonable cause to believe that the pupil committed the17557
alleged violation that is the basis of the expulsion and, upon17558
determining that reasonable cause to believe the pupil committed17559
the violation does exist, shall grant the requested extension.17560

       (2) If a pupil has been convicted of or adjudicated a17561
delinquent child for a violation listed in division (A) of section17562
3313.662 of the Revised Code for an act that was committed when17563
the child was sixteen years of age or older, if the pupil has been17564
expelled pursuant to division (B) of this section for that17565
violation, and if the board of education of the school district of17566
the school from which the pupil was expelled has adopted a17567
resolution seeking the pupil's permanent exclusion, the17568
superintendent may file a motion with the court that convicted the17569
pupil or adjudicated the pupil a delinquent child requesting an17570
order to extend the expulsion until an adjudication order or other17571
determination regarding permanent exclusion is issued by the17572
superintendent of public instruction pursuant to section 3301.12117573
and division (D) of section 3313.662 of the Revised Code. Upon the 17574
filing of the motion, the court immediately shall schedule a17575
hearing and give written notice of the time, date, and location of17576
the hearing to the superintendent of the school district, the17577
pupil, and the pupil's parent, guardian, or custodian. At the17578
hearing, the court shall determine whether there is reasonable17579
cause to believe the pupil's continued attendance in the public17580
school system may endanger the health and safety of other pupils17581
or school employees and, upon making that determination, shall17582
grant the requested extension.17583

       (G) The failure of the superintendent or the board of17584
education to provide the information regarding the possibility of17585
permanent exclusion in the notice required by divisions (A), (B),17586
and (D) of this section is not jurisdictional, and the failure17587
shall not affect the validity of any suspension or expulsion17588
procedure that is conducted in accordance with this section or the17589
validity of a permanent exclusion procedure that is conducted in17590
accordance with sections 3301.121 and 3313.662 of the Revised17591
Code.17592

       (H) With regard to suspensions and expulsions pursuant to17593
divisions (A) and (B) of this section by the board of education of17594
any city, exempted village, or local school district, this section17595
shall apply to any student, whether or not the student is enrolled17596
in the district, attending or otherwise participating in any17597
curricular program provided in a school operated by the board or17598
provided on any other property owned or controlled by the board.17599

       (I) Whenever a student is expelled under this section, the17600
expulsion shall result in removal of the student from the17601
student's regular school setting. However, during the period of17602
the expulsion, the board of education of the school district that17603
expelled the student or any board of education admitting the17604
student during that expulsion period may provide educational17605
services to the student in an alternative setting.17606

       (J)(1) Notwithstanding sections 3109.51 to 3109.80, 3313.64, 17607
and 3313.65 of the Revised Code, any school district, after 17608
offering an opportunity for a hearing, may temporarily deny17609
admittance to any pupil if one of the following applies:17610

       (a) The pupil has been suspended from the schools of another17611
district under division (A) of this section and the period of17612
suspension, as established under that division, has not expired;17613

       (b) The pupil has been expelled from the schools of another17614
district under division (B) of this section and the period of the17615
expulsion, as established under that division or as extended under17616
division (F) of this section, has not expired.17617

       If a pupil is temporarily denied admission under this17618
division, the pupil shall be admitted to school in accordance with 17619
sections 3109.51 to 3109.80, 3313.64, or 3313.65 of the Revised 17620
Code no later than upon expiration of the suspension or expulsion 17621
period, as applicable.17622

       (2) Notwithstanding sections 3109.51 to 3109.80, 3313.64, and 17623
3313.65 of the Revised Code, any school district, after offering 17624
an opportunity for a hearing, may temporarily deny admittance to 17625
any pupil if the pupil has been expelled or otherwise removed for 17626
disciplinary purposes from a public school in another state and 17627
the period of expulsion or removal has not expired. If a pupil is17628
temporarily denied admission under this division, the pupil shall 17629
be admitted to school in accordance with sections 3109.51 to 17630
3109.80, 3313.64, or 3313.65 of the Revised Code no later than the 17631
earlier of the following:17632

       (a) Upon expiration of the expulsion or removal period17633
imposed by the out-of-state school;17634

       (b) Upon expiration of a period established by the district,17635
beginning with the date of expulsion or removal from the17636
out-of-state school, that is no greater than the period of17637
expulsion that the pupil would have received under the policy17638
adopted by the district under section 3313.661 of the Revised Code17639
had the offense that gave rise to the expulsion or removal by the17640
out-of-state school been committed while the pupil was enrolled in17641
the district.17642

       (K) As used in this section:17643

       (1) "Permanently exclude" and "permanent exclusion" have the17644
same meanings as in section 3313.662 of the Revised Code.17645

       (2) "In-school suspension" means the pupil will serve all of17646
the suspension in a school setting.17647

       Sec. 3313.661.  (A) The board of education of each city,17648
exempted village, and local school district shall adopt a policy17649
regarding suspension, expulsion, removal, and permanent exclusion17650
that specifies the types of misconduct for which a pupil may be17651
suspended, expelled, or removed. The types of misconduct may17652
include misconduct by a pupil that occurs off of property owned or17653
controlled by the district but that is connected to activities or17654
incidents that have occurred on property owned or controlled by17655
that district and misconduct by a pupil that, regardless of where17656
it occurs, is directed at a district official or employee, or the17657
property of such official or employee. The policy shall specify17658
the reasons for which the superintendent of the district may17659
reduce the expulsion requirement in division (B)(2) of section17660
3313.66 of the Revised Code. If a board of education adopts a17661
resolution pursuant to division (B)(3) of section 3313.66 of the17662
Revised Code, the policy shall define the term "knife" or17663
"firearm," as applicable, for purposes of expulsion under that17664
resolution and shall specify any reasons for which the17665
superintendent of the district may reduce any required expulsion17666
period on a case-by-case basis. If a board of education adopts a17667
resolution pursuant to division (B)(4) or (5) of section 3313.6617668
of the Revised Code, the policy shall specify any reasons for17669
which the superintendent of the district may reduce any required17670
expulsion period on a case-by-case basis. The policy also shall17671
set forth the acts listed in section 3313.662 of the Revised Code17672
for which a pupil may be permanently excluded.17673

       The policy adopted under this division shall specify the date 17674
and manner by which a pupil or a pupil's parent, guardian, or 17675
custodian may notify the board of the pupil's, parent's, 17676
guardian's, or custodian's intent to appeal an expulsion or 17677
suspension to the board or its designee pursuant to division (E) 17678
of section 3313.66 of the Revised Code. In the case of any 17679
expulsion, the policy shall not specify a date that is less than 17680
fourteen days after the date of the notice provided to the pupil 17681
or the pupil's parent, guardian, or custodian under division (D) 17682
of that section.17683

       A copy of the policy shall be posted in a central location in17684
the school and made available to pupils upon request. No pupil17685
shall be suspended, expelled, or removed except in accordance with17686
the policy adopted by the board of education of the school17687
district in which the pupil attends school, and no pupil shall be17688
permanently excluded except in accordance with sections 3301.12117689
and 3313.662 of the Revised Code.17690

       (B) A board of education may establish a program and adopt17691
guidelines under which a superintendent may require a pupil to17692
perform community service in conjunction with a suspension or17693
expulsion imposed under section 3313.66 of the Revised Code or in17694
place of a suspension or expulsion imposed under section 3313.6617695
of the Revised Code except for an expulsion imposed pursuant to17696
division (B)(2) of that section. If a board adopts guidelines17697
under this division, they shall permit, except with regard to an17698
expulsion pursuant to division (B)(2) of section 3313.66 of the17699
Revised Code, a superintendent to impose a community service17700
requirement beyond the end of the school year in lieu of applying17701
the suspension or expulsion into the following school year. Any17702
guidelines adopted shall be included in the policy adopted under17703
this section.17704

       (C) The written policy of each board of education that is17705
adopted pursuant to section 3313.20 of the Revised Code shall be17706
posted in a central location in each school that is subject to the17707
policy and shall be made available to pupils upon request.17708

       (D) Any policy, program, or guideline adopted by a board of17709
education under this section with regard to suspensions or17710
expulsions pursuant to division (A) or (B) of section 3313.66 of17711
the Revised Code shall apply to any student, whether or not the17712
student is enrolled in the district, attending or otherwise17713
participating in any curricular program provided in a school17714
operated by the board or provided on any other property owned or17715
controlled by the board.17716

       (E) As used in this section, "permanently exclude" and17717
"permanent exclusion" have the same meanings as in section17718
3313.662 of the Revised Code.17719

       Sec. 3313.98.  Notwithstanding division (D) of section17720
3311.19 and division (D) of section 3311.52 of the Revised Code,17721
the provisions of this section and sections 3313.981 to 3313.98317722
of the Revised Code that apply to a city school district do not17723
apply to a joint vocational or cooperative education school17724
district unless expressly specified.17725

       (A) As used in this section and sections 3313.981 to 3313.983 17726
of the Revised Code:17727

       (1) "Parent" means either of the natural or adoptive parents 17728
of a student, except under the following conditions:17729

       (a) When the marriage of the natural or adoptive parents of 17730
the student has been terminated by a divorce, dissolution of17731
marriage, or annulment or the natural or adoptive parents of the17732
student are living separate and apart under a legal separation17733
decree and the court has issued an order allocating the parental17734
rights and responsibilities with respect to the student, "parent"17735
means the residential parent as designated by the court except17736
that "parent" means either parent when the court issues a shared17737
parenting decree.17738

       (b) When a court has granted temporary or permanent custody 17739
of the student to an individual or agency other than either of the 17740
natural or adoptive parents of the student, "parent" means the 17741
legal custodian of the child.17742

       (c) When a court has appointed a guardian for the student,17743
"parent" means the guardian of the student.17744

       (2) "Native student" means a student entitled under section 17745
3313.64 or 3313.65 of the Revised Code to attend school in a 17746
district adopting a resolution under this section.17747

       (3) "Adjacent district" means a city, exempted village, or 17748
local school district having territory that abuts the territory of 17749
a district adopting a resolution under this section.17750

       (4) "Adjacent district student" means a student entitled17751
under section 3313.64 or 3313.65 of the Revised Code to attend17752
school in an adjacent district.17753

       (5) "Adjacent district joint vocational student" means an 17754
adjacent district student who enrolls in a city, exempted village, 17755
or local school district pursuant to this section and who also 17756
enrolls in a joint vocational school district that does not 17757
contain the territory of the district for which that student is a 17758
native student and does contain the territory of the city,17759
exempted village, or local district in which the student enrolls.17760

       (6) "Formula amount" has the same meaning as in section 17761
3317.02 of the Revised Code.17762

       (7) "Adjusted formula amount" means the greater of the 17763
following:17764

       (a) The fiscal year 2005 formula amount multiplied by the 17765
fiscal year 2005 cost-of-doing-business factor for a district 17766
defined in the version of section 3317.02 of the Revised Code in 17767
effect that year;17768

       (b) The sum of (the current formula amount times the current 17769
cost-of-doing-business factor as defined in section 3317.02 of the 17770
Revised Code) plus the per pupil amount of the base funding 17771
supplements specified in divisions (C)(1) to (4) of section 17772
3317.012 of the Revised Code.17773

       (8) "Poverty line" means the poverty line established by the 17774
director of the United States office of management and budget as 17775
revised by the director of the office of community services in17776
accordance with section 673(2) of the "Community Services Block17777
Grant Act," 95 Stat. 1609, 42 U.S.C.A. 9902, as amended.17778

       (9) "IEP" means an individualized education program defined 17779
by division (E) of section 3323.01 of the Revised Code.17780

       (10) "Other district" means a city, exempted village, or 17781
local school district having territory outside of the territory of 17782
a district adopting a resolution under this section.17783

       (11) "Other district student" means a student entitled under 17784
section 3313.64 or 3313.65 of the Revised Code to attend school in 17785
an other district.17786

       (12) "Other district joint vocational student" means a17787
student who is enrolled in any city, exempted village, or local17788
school district and who also enrolls in a joint vocational school 17789
district that does not contain the territory of the district for 17790
which that student is a native student in accordance with a policy 17791
adopted under section 3313.983 of the Revised Code.17792

       (B)(1) The board of education of each city, local, and17793
exempted village school district shall adopt a resolution17794
establishing for the school district one of the following 17795
policies:17796

       (a) A policy that entirely prohibits the enrollment of 17797
students from adjacent districts or other districts, other than 17798
students for whom tuition is paid in accordance with section 17799
3317.08 of the Revised Code;17800

       (b) A policy that permits enrollment of students from all 17801
adjacent districts in accordance with policy statements contained 17802
in the resolution;17803

       (c) A policy that permits enrollment of students from all 17804
other districts in accordance with policy statements contained in 17805
the resolution.17806

       (2) A policy permitting enrollment of students from adjacent17807
or from other districts, as applicable, shall provide for all of 17808
the following:17809

       (a) Application procedures, including deadlines for17810
application and for notification of students and the17811
superintendent of the applicable district whenever an adjacent or 17812
other district student's application is approved.17813

       (b) Procedures for admitting adjacent or other district 17814
applicants free of any tuition obligation to the district's 17815
schools, including, but not limited to:17816

       (i) The establishment of district capacity limits by grade17817
level, school building, and education program;17818

       (ii) A requirement that all native students wishing to be17819
enrolled in the district will be enrolled and that any adjacent or 17820
other district students previously enrolled in the district shall17821
receive preference over first-time applicants;17822

       (iii) Procedures to ensure that an appropriate racial balance 17823
is maintained in the district schools.17824

       (C) Except as provided in section 3313.982 of the Revised17825
Code, the procedures for admitting adjacent or other district17826
students, as applicable, shall not include:17827

       (1) Any requirement of academic ability, or any level of17828
athletic, artistic, or other extracurricular skills;17829

       (2) Limitations on admitting applicants because of17830
handicapping conditions, except that a board may refuse to admit a 17831
student receiving services under Chapter 3323. of the Revised 17832
Code, if the services described in the student's IEP are not 17833
available in the district's schools;17834

       (3) A requirement that the student be proficient in the17835
English language;17836

       (4) Rejection of any applicant because the student has been 17837
subject to disciplinary proceedings, except that if an applicant 17838
has been suspended or expelled by the student's district for ten 17839
consecutive days or more in the term for which admission is sought 17840
or in the term immediately preceding the term for which admission 17841
is sought, the procedures may include a provision denying 17842
admission of such applicant.17843

       (D)(1) Each school board permitting only enrollment of 17844
adjacent district students shall provide information about the17845
policy adopted under this section, including the application17846
procedures and deadlines, to the superintendent and the board of17847
education of each adjacent district and, upon request, to the17848
parent of any adjacent district student.17849

       (2) Each school board permitting enrollment of other district 17850
students shall provide information about the policy adopted under 17851
this section, including the application procedures and deadlines, 17852
upon request, to the board of education of any other school 17853
district or to the parent of any student anywhere in the state.17854

       (E) Any school board shall accept all credits toward17855
graduation earned in adjacent or other district schools by an17856
adjacent or other district student or a native student.17857

       (F)(1) No board of education may adopt a policy discouraging 17858
or prohibiting its native students from applying to enroll in the 17859
schools of an adjacent or any other district that has adopted a 17860
policy permitting such enrollment, except that:17861

       (a) A district may object to the enrollment of a native17862
student in an adjacent or other district in order to maintain an17863
appropriate racial balance.17864

       (b) The board of education of a district receiving funds17865
under 64 Stat. 1100 (1950), 20 U.S.C.A. 236 et seq., as amended,17866
may adopt a resolution objecting to the enrollment of its native17867
students in adjacent or other districts if at least ten per cent 17868
of its students are included in the determination of the United 17869
States secretary of education made under section 20 U.S.C.A. 17870
238(a).17871

       (2) If a board objects to enrollment of native students under 17872
this division, any adjacent or other district shall refuse to17873
enroll such native students unless tuition is paid for the 17874
students in accordance with section 3317.08 of the Revised Code. 17875
An adjacent or other district enrolling such students may not 17876
receive funding for those students in accordance with section 17877
3313.981 of the Revised Code.17878

       (G) The state board of education shall monitor school17879
districts to ensure compliance with this section and the17880
districts' policies. The board may adopt rules requiring uniform17881
application procedures, deadlines for application, notification17882
procedures, and record-keeping requirements for all school boards17883
that adopt policies permitting the enrollment of adjacent or other17884
district students, as applicable. If the state board adopts such 17885
rules, no school board shall adopt a policy that conflicts with 17886
those rules.17887

       (H) A resolution adopted by a board of education under this 17888
section that entirely prohibits the enrollment of students from 17889
adjacent and from other school districts does not abrogate any17890
agreement entered into under section 3313.841 or 3313.92 of the 17891
Revised Code or any contract entered into under section 3313.90 of 17892
the Revised Code between the board of education adopting the17893
resolution and the board of education of any adjacent or other17894
district or prohibit these boards of education from entering into 17895
any such agreement or contract.17896

       (I) Nothing in this section shall be construed to permit or 17897
require the board of education of a city, exempted village, or17898
local school district to exclude any native student of the17899
district from enrolling in the district.17900

       Sec. 3314.015.  (A) The department of education shall be17901
responsible for the oversight of sponsors of the community schools17902
established under this chapter and shall provide technical17903
assistance to schools and sponsors in their compliance with17904
applicable laws and the terms of the contracts entered into under17905
section 3314.03 of the Revised Code and in the development and17906
start-up activities of those schools. In carrying out its duties17907
under this section, the department shall do all of the following:17908

        (1) In providing technical assistance to proposing parties,17909
governing authorities, and sponsors, conduct training sessions and17910
distribute informational materials;17911

       (2) Approve entities to be sponsors of community schools and17912
monitor the effectiveness of those sponsors in their oversight of17913
the schools with which they have contracted;17914

        (3) By December thirty-first of each year, issue a report to 17915
the governor, the speaker of the house of representatives, the17916
president of the senate, and the chairpersons of the house and17917
senate committees principally responsible for education matters17918
regarding the effectiveness of academic programs, operations, and17919
legal compliance and of the financial condition of all community17920
schools established under this chapter;17921

        (4) From time to time, make legislative recommendations to17922
the general assembly designed to enhance the operation and17923
performance of community schools.17924

        (B)(1) No entity listed in division (C)(1) of section 3314.02 17925
of the Revised Code shall enter into a preliminary agreement under 17926
division (C)(2) of section 3314.02 of the Revised Code until it 17927
has received approval from the department of education to sponsor 17928
community schools under this chapter and has entered into a 17929
written agreement with the department regarding the manner in 17930
which the entity will conduct such sponsorship. The department 17931
shall adopt in accordance with Chapter 119. of the Revised Code 17932
rules containing criteria, procedures, and deadlines for17933
processing applications for such approval, for oversight of17934
sponsors, for revocation of the approval of sponsors, and for17935
entering into written agreements with sponsors. The rules shall17936
require an entity to submit evidence of the entity's ability and17937
willingness to comply with the provisions of division (D) of17938
section 3314.03 of the Revised Code. The rules also shall require 17939
entities approved as sponsors on and after June 30, 2005, to 17940
demonstrate a record of financial responsibility and successful 17941
implementation of educational programs. If an entity seeking 17942
approval on or after June 30, 2005, to sponsor community schools 17943
in this state sponsors or operates schools in another state, at 17944
least one of the schools sponsored or operated by the entity must 17945
be comparable to or better than the performance of Ohio schools in 17946
a state of academic watchneed of continuous improvement under 17947
section 3302.03 of the Revised Code, as determined by the 17948
department.17949

       An entity that sponsors community schools may enter into 17950
preliminary agreements and sponsor schools as follows, provided 17951
each school and the contract for sponsorship meets the 17952
requirements of this chapter:17953

       (a) An entity that sponsored fifty or fewer schools that were 17954
open for operation as of May 1, 2005, may sponsor not more than 17955
fifty schools.17956

       (b) An entity that sponsored more than fifty but not more 17957
than seventy-five schools that were open for operation as of May 17958
1, 2005, may sponsor not more than the number of schools the 17959
entity sponsored that were open for operation as of May 1, 2005.17960

       (c) Until June 30, 2006, an entity that sponsored more than 17961
seventy-five schools that were open for operation as of May 1, 17962
2005, may sponsor not more than the number of schools the entity 17963
sponsored that were open for operation as of May 1, 2005. After 17964
June 30, 2006, such an entity may sponsor not more than 17965
seventy-five schools.17966

        Upon approval of an entity to be a sponsor under this 17967
division, the department shall notify the entity of the number of 17968
schools the entity may sponsor.17969

       The limit imposed on an entity to which division (B)(1) of 17970
this section applies shall be decreased by one for each school 17971
sponsored by the entity that permanently closes.17972

       If at any time an entity exceeds the number of schools it may 17973
sponsor under this division, the department shall assist the 17974
schools in excess of the entity's limit in securing new sponsors. 17975
If a school is unable to secure a new sponsor, the department 17976
shall assume sponsorship of the school in accordance with division 17977
(C) of this section. Those schools for which another sponsor or 17978
the department assumes sponsorship shall be the schools that most 17979
recently entered into contracts with the entity under section 17980
3314.03 of the Revised Code.17981

       (2) The department of education shall determine, pursuant to17982
criteria adopted by rule of the department, whether the mission17983
proposed to be specified in the contract of a community school to17984
be sponsored by a state university board of trustees or the17985
board's designee under division (C)(1)(e) of section 3314.02 of17986
the Revised Code complies with the requirements of that division.17987
Such determination of the department is final.17988

       (3) The department of education shall determine, pursuant to17989
criteria adopted by rule of the department, if any tax-exempt17990
entity under section 501(c)(3) of the Internal Revenue Code that17991
is proposed to be a sponsor of a community school is an17992
education-oriented entity for purpose of satisfying the condition17993
prescribed in division (C)(1)(f)(iii) of section 3314.02 of the17994
Revised Code. Such determination of the department is final.17995

       (C) If at any time the state board of education finds that a17996
sponsor is not in compliance or is no longer willing to comply17997
with its contract with any community school or with the17998
department's rules for sponsorship, the state board or designee17999
shall conduct a hearing in accordance with Chapter 119. of the18000
Revised Code on that matter. If after the hearing, the state board 18001
or designee has confirmed the original finding, the department of 18002
education may revoke the sponsor's approval to sponsor community 18003
schools and may assume the sponsorship of any schools with which 18004
the sponsor has contracted until the earlier of the expiration of 18005
two school years or until a new sponsor as described in division 18006
(C)(1) of section 3314.02 of the Revised Code is secured by the 18007
school's governing authority. The department may extend the term 18008
of the contract in the case of a school for which it has assumed 18009
sponsorship under this division as necessary to accommodate the 18010
term of the department's authorization to sponsor the school 18011
specified in this division.18012

       (D) The decision of the department to disapprove an entity18013
for sponsorship of a community school or to revoke approval for18014
such sponsorship, as provided in division (C) of this section, may18015
be appealed by the entity in accordance with section 119.12 of the18016
Revised Code.18017

       (E) The department shall adopt procedures for use by a 18018
community school governing authority and sponsor when the school 18019
permanently closes and ceases operation, which shall include at 18020
least procedures for data reporting to the department, handling of 18021
student records, distribution of assets in accordance with section 18022
3314.074 of the Revised Code, and other matters related to ceasing 18023
operation of the school.18024

       (F) In carrying out its duties under this chapter, the18025
department shall not impose requirements on community schools or18026
their sponsors that are not permitted by law or duly adopted18027
rules.18028

       Sec. 3314.016.  (A) After June 30, 2007, a new community 18029
school may be established under this chapter only if the school's 18030
governing authority enters into a contract with an operator that 18031
manages other schools in the United States that perform at a level 18032
higher than academic watch. The governing authority of the 18033
community school may sign a contract with an operator only if the 18034
operator has fewer contracts with the governing authorities of 18035
community schools established under this chapter after June 30, 18036
2007, than the number of schools managed by the operator in the 18037
United States that perform at a level higher than academic watch, 18038
as determined by the department of education.18039

        (B) Notwithstanding division (A) of this section, the 18040
governing authority of a start-up school sponsored by an entity 18041
described in divisions (C)(1)(b) to (f) of section 3314.02 of the 18042
Revised Code may establish one additional school serving the same 18043
grade levels and providing the same educational program as the 18044
current start-up school and may open that additional school in the 18045
2007-2008 school year, if both of the following conditions are 18046
met:18047

        (1) The governing authority entered into another contract 18048
with the same sponsor or a different sponsor described in 18049
divisions (C)(1)(b) to (f) of section 3314.02 of the Revised Code 18050
and filed a copy of that contract with the superintendent of 18051
public instruction prior to March 15, 2006.18052

        (2) The governing authority's current school satisfies all of 18053
the following conditions:18054

        (a) The school currently is rated as excellent or effective 18055
pursuant to section 3302.03 of the Revised Code.18056

        (b) The school made adequate yearly progress, as defined in 18057
section 3302.01 of the Revised Code, for the previous school year.18058

        (c) The school has been in operation for at least four school 18059
years.18060

        (d) The school is not managed by an operator.18061

       Sec. 3314.02.  (A) As used in this chapter:18062

       (1) "Sponsor" means an entity listed in division (C)(1) of18063
this section, which has been approved by the department of 18064
education to sponsor community schools and with which the18065
governing authority of the proposed community school enters into a18066
contract pursuant to this section.18067

       (2) "Pilot project area" means the school districts included18068
in the territory of the former community school pilot project18069
established by former Section 50.52 of Am. Sub. H.B. No. 215 of18070
the 122nd general assembly.18071

       (3) "Challenged school district" means any of the following:18072

       (a) A school district that is part of the pilot project area;18073

       (b) A school district that is either in a state of academic18074
emergency or in a state of academic watch under section 3302.03 of18075
the Revised Code;18076

       (c) A big eight school district.18077

       (4) "Big eight school district" means a school district that18078
for fiscal year 1997 had both of the following:18079

       (a) A percentage of children residing in the district and18080
participating in the predecessor of Ohio works first greater than18081
thirty per cent, as reported pursuant to section 3317.10 of the18082
Revised Code;18083

       (b) An average daily membership greater than twelve thousand, 18084
as reported pursuant to former division (A) of section 3317.03 of 18085
the Revised Code.18086

       (5) "New start-up school" means a community school other than18087
one created by converting all or part of an existing public18088
school, as designated in the school's contract pursuant to18089
division (A)(17) of section 3314.03 of the Revised Code.18090

       (6) "Urban school district" means one of the state's18091
twenty-one urban school districts as defined in division (O) of18092
section 3317.02 of the Revised Code as that section existed prior18093
to July 1, 1998.18094

       (7) "Internet- or computer-based community school" means a18095
community school established under this chapter in which the18096
enrolled students work primarily from their residences on18097
assignments in nonclassroom-based learning opportunities provided 18098
via an internet- or other computer-based instructional method that 18099
does not rely on regular classroom instruction or via 18100
comprehensive instructional methods that include internet-based, 18101
other computer-based, and noncomputer-based learning 18102
opportunities.18103

       (B) Any person or group of individuals may initially propose18104
under this division the conversion of all or a portion of a public18105
school to a community school. The proposal shall be made to the18106
board of education of the city, local, or exempted village school18107
district in which the public school is proposed to be converted.18108
Upon receipt of a proposal, a board may enter into a preliminary18109
agreement with the person or group proposing the conversion of the18110
public school, indicating the intention of the board of education18111
to support the conversion to a community school. A proposing18112
person or group that has a preliminary agreement under this18113
division may proceed to finalize plans for the school, establish a18114
governing authority for the school, and negotiate a contract with18115
the board of education. Provided the proposing person or group18116
adheres to the preliminary agreement and all provisions of this18117
chapter, the board of education shall negotiate in good faith to18118
enter into a contract in accordance with section 3314.03 of the18119
Revised Code and division (C) of this section.18120

       (C)(1) Any person or group of individuals may propose under18121
this division the establishment of a new start-up school to be18122
located in a challenged school district. The proposal may be made18123
to any of the following entities:18124

       (a) The board of education of the district in which the18125
school is proposed to be located;18126

       (b) The board of education of any joint vocational school18127
district with territory in the county in which is located the18128
majority of the territory of the district in which the school is18129
proposed to be located;18130

       (c) The board of education of any other city, local, or18131
exempted village school district having territory in the same18132
county where the district in which the school is proposed to be18133
located has the major portion of its territory;18134

       (d) The governing board of any educational service center, as 18135
long as the proposed school will be located in a county within the 18136
territory of the service center or in a county contiguous to such 18137
county;18138

        (e) A sponsoring authority designated by the board of18139
trustees of any of the thirteen state universities listed in 18140
section 3345.011 of the Revised Code or the board of trustees 18141
itself as long as a mission of the proposed school to be specified 18142
in the contract under division (A)(2) of section 3314.03 of the 18143
Revised Code and as approved by the department of education under 18144
division (B)(2) of section 3314.015 of the Revised Code will be 18145
the practical demonstration of teaching methods, educational18146
technology, or other teaching practices that are included in the18147
curriculum of the university's teacher preparation program18148
approved by the state board of education;18149

        (f) Any qualified tax-exempt entity under section 501(c)(3) 18150
of the Internal Revenue Code as long as all of the following 18151
conditions are satisfied:18152

        (i) The entity has been in operation for at least five years 18153
prior to applying to be a community school sponsor.18154

        (ii) The entity has assets of at least five hundred thousand 18155
dollars and a demonstrated record of financial responsibility.18156

        (iii) The department of education has determined that the18157
entity is an education-oriented entity under division (B)(3) of18158
section 3314.015 of the Revised Code and the entity has a 18159
demonstrated record of successful implementation of educational 18160
programs.18161

       (iv) The entity is not a community school.18162

        Any entity described in division (C)(1) of this section may 18163
enter into a preliminary agreement pursuant to division (C)(2) of 18164
this section with the proposing person or group.18165

       (2) A preliminary agreement indicates the intention of an 18166
entity described in division (C)(1) of this section to sponsor the 18167
community school. A proposing person or group that has such a 18168
preliminary agreement may proceed to finalize plans for the 18169
school, establish a governing authority as described in division 18170
(E) of this section for the school, and negotiate a contract with 18171
the entity. Provided the proposing person or group adheres to the18172
preliminary agreement and all provisions of this chapter, the 18173
entity shall negotiate in good faith to enter into a contract in 18174
accordance with section 3314.03 of the Revised Code.18175

       (3) A new start-up school that is established in a school18176
district while that district is either in a state of academic18177
emergency or in a state of academic watch under section 3302.03 of18178
the Revised Code may continue in existence once the school18179
district is no longer in a state of academic emergency or academic18180
watch, provided there is a valid contract between the school and a18181
sponsor.18182

       (4) A copy of every preliminary agreement entered into under18183
this division shall be filed with the superintendent of public18184
instruction.18185

       (D) A majority vote of the board of a sponsoring entity and a18186
majority vote of the members of the governing authority of a18187
community school shall be required to adopt a contract and convert18188
the public school to a community school or establish the new18189
start-up school. Beginning September 29, 2005, adoption of the 18190
contract shall occur not later than the fifteenth day of March, 18191
and signing of the contract shall occur not later than the 18192
fifteenth day of May, prior to the school year in which the school 18193
will open. The governing authority shall notify the department of 18194
education when the contract has been signed. Subject to sections 18195
3314.013 and, 3314.014, and 3314.016 of the Revised Code, an 18196
unlimited number of community schools may be established in any 18197
school district provided that a contract is entered into for each 18198
community school pursuant to this chapter.18199

       (E)(1) As used in this division, "immediate relatives" are18200
limited to spouses, children, parents, grandparents, siblings, and18201
in-laws.18202

        Each new start-up community school established under this18203
chapter shall be under the direction of a governing authority18204
which shall consist of a board of not less than five individuals .18205

        No person shall serve on the governing authority or operate 18206
the community school under contract with the governing authority 18207
so long as the person owes the state any money or is in a dispute 18208
over whether the person owes the state any money concerning the 18209
operation of a community school that has closed.18210

       (2) No person shall serve on the governing authorities of 18211
more than two start-up community schools at the same time.18212

       (3) No present or former member, or immediate relative of a 18213
present or former member, of the governing authority of any 18214
community school established under this chapter shall be an owner, 18215
employee, or consultant of any nonprofit or for-profit operator of 18216
a community school, as defined in section 3314.014 of the Revised 18217
Code, unless at least one year has elapsed since the conclusion of 18218
the person's membership.18219

       (F) Nothing in this chapter shall be construed to permit the18220
establishment of a community school in more than one school18221
district under the same contract.18222

       (G)(1) A new start-up school that is established prior to 18223
August 15, 2003, in an urban school district that is not also a 18224
big-eight school district may continue to operate after that date 18225
and the contract between the school's governing authority and the 18226
school's sponsor may be renewed, as provided under this chapter, 18227
after that date, but no additional new start-up schools may be 18228
established in such a district unless the district is a challenged 18229
school district as defined in this section as it exists on and 18230
after that date.18231

       (2) A community school that was established prior to June 29, 18232
1999, and is located in a county contiguous to the pilot project 18233
area and in a school district that is not a challenged school 18234
district may continue to operate after that date, provided the 18235
school complies with all provisions of this chapter. The contract 18236
between the school's governing authority and the school's sponsor 18237
may be renewed, but no additional start-up community school may be 18238
established in that district unless the district is a challenged 18239
school district.18240

       (3) Any educational service center that, on the effective 18241
date of this amendment, sponsors a community school that is not 18242
located in a county within the territory of the service center or 18243
in a county contiguous to such county may continue to sponsor that 18244
community school only until the expiration of the contract between 18245
the service center and the school's governing authority. The 18246
community school may continue to operate after the expiration of 18247
that contract, provided the school secures a new sponsor, as 18248
described in division (C)(1) of this section as it exists on and 18249
after the effective date of this amendment, and the school's 18250
governing authority enters into a contract with the new sponsor.18251

       Sec. 3314.03.  A copy of every contract entered into under 18252
this section shall be filed with the superintendent of public 18253
instruction.18254

       (A) Each contract entered into between a sponsor and the 18255
governing authority of a community school shall specify the 18256
following:18257

       (1) That the school shall be established as either of the18258
following:18259

       (a) A nonprofit corporation established under Chapter 1702.18260
of the Revised Code, if established prior to April 8, 2003;18261

       (b) A public benefit corporation established under Chapter18262
1702. of the Revised Code, if established after April 8, 2003;18263

       (2) The education program of the school, including the18264
school's mission, the characteristics of the students the school18265
is expected to attract, the ages and grades of students, and the18266
focus of the curriculum;18267

       (3) The academic goals to be achieved and the method of18268
measurement that will be used to determine progress toward those18269
goals, which shall include the statewide achievement tests;18270

       (4) Performance standards by which the success of the school18271
will be evaluated by the sponsor;18272

       (5) The admission standards of section 3314.06 of the Revised 18273
Code and, if applicable, section 3314.061 of the Revised Code;18274

       (6)(a) Dismissal procedures;18275

       (b) A requirement that the governing authority adopt an18276
attendance policy that includes a procedure for automatically18277
withdrawing a student from the school if the student without a18278
legitimate excuse fails to participate in one hundred five 18279
consecutive hours of the learning opportunities offered to the18280
student.18281

       (7) The ways by which the school will achieve racial and18282
ethnic balance reflective of the community it serves;18283

       (8) Requirements for financial audits by the auditor of 18284
state. The contract shall require financial records of the school 18285
to be maintained in the same manner as are financial records of 18286
school districts, pursuant to rules of the auditor of state, and 18287
the audits shall be conducted in accordance with section 117.10 of 18288
the Revised Code.18289

       (9) The facilities to be used and their locations;18290

       (10) Qualifications of teachers, including a requirement that 18291
the school's classroom teachers be licensed in accordance with 18292
sections 3319.22 to 3319.31 of the Revised Code, except that a 18293
community school may engage noncertificated persons to teach up to 18294
twelve hours per week pursuant to section 3319.301 of the Revised 18295
Code;18296

       (11) That the school will comply with the following18297
requirements:18298

       (a) The school will provide learning opportunities to a18299
minimum of twenty-five students for a minimum of nine hundred18300
twenty hours per school year;18301

       (b) The governing authority will purchase liability18302
insurance, or otherwise provide for the potential liability of the18303
school;18304

       (c) The school will be nonsectarian in its programs,18305
admission policies, employment practices, and all other18306
operations, and will not be operated by a sectarian school or18307
religious institution;18308

       (d) The school will comply with sections 9.90, 9.91, 109.65,18309
121.22, 149.43, 2151.357, 2151.421, 2313.18, 3301.0710, 3301.0711,18310
3301.0712, 3301.0715, 3313.472, 3313.50, 3313.536, 3313.608, 18311
3313.6012, 3313.6013, 3313.6014, 3313.643, 3313.648, 3313.66, 18312
3313.661, 3313.662, 3313.666, 3313.667, 3313.67, 3313.671,18313
3313.672, 3313.673, 3313.69, 3313.71, 3313.716, 3313.718, 3313.80,18314
3313.96, 3319.073, 3319.313, 3319.314, 3319.315, 3319.321, 18315
3319.39, 3321.01, 3321.13, 3321.14, 3321.17, 3321.18, 3321.19, 18316
3321.191, 3327.10, 4111.17, 4113.52, and 5705.391 and Chapters 18317
117., 1347., 2744., 3365., 3742., 4112., 4123., 4141., and 4167. 18318
of the Revised Code as if it were a school district and will 18319
comply with section 3301.0714 of the Revised Code in the manner 18320
specified in section 3314.17 of the Revised Code;18321

       (e) The school shall comply with Chapter 102. and section 18322
2921.42 of the Revised Code;18323

       (f) The school will comply with sections 3313.61, 3313.611,18324
and 3313.614 of the Revised Code, except that for students who 18325
enter ninth grade for the first time before July 1, 2010, the18326
requirement in sections 3313.61 and 3313.611 of the Revised Code 18327
that a person must successfully complete the curriculum in any 18328
high school prior to receiving a high school diploma may be met by 18329
completing the curriculum adopted by the governing authority of 18330
the community school rather than the curriculum specified in Title 18331
XXXIII of the Revised Code or any rules of the state board of 18332
education. Beginning with students who enter ninth grade for the 18333
first time on or after July 1, 2010, the requirement in sections 18334
3313.61 and 3313.611 of the Revised Code that a person must 18335
successfully complete the curriculum of a high school prior to 18336
receiving a high school diploma shall be met by completing the 18337
Ohio core curriculum prescribed in division (C) of section 18338
3313.603 of the Revised Code, unless the person qualifies under 18339
division (D) or (F) of that section. Each school shall comply with 18340
the plan for awarding high school credit based on demonstration of 18341
subject area competency, adopted by the state board of education 18342
under division (J) of section 3313.603 of the Revised Code.18343

       (g) The school governing authority will submit within four 18344
months after the end of each school year a report of its 18345
activities and progress in meeting the goals and standards of18346
divisions (A)(3) and (4) of this section and its financial status18347
to the sponsor and the parents of all students enrolled in the18348
school.18349

       (h) The school, unless it is an internet- or computer-based 18350
community school, will comply with section 3313.801 of the Revised 18351
Code as if it were a school district.18352

       (12) Arrangements for providing health and other benefits to18353
employees;18354

       (13) The length of the contract, which shall begin at the18355
beginning of an academic year. No contract shall exceed five years18356
unless such contract has been renewed pursuant to division (E) of 18357
this section.18358

       (14) The governing authority of the school, which shall be18359
responsible for carrying out the provisions of the contract;18360

       (15) A financial plan detailing an estimated school budget18361
for each year of the period of the contract and specifying the18362
total estimated per pupil expenditure amount for each such year.18363
The plan shall specify for each year the base formula amount that18364
will be used for purposes of funding calculations under section18365
3314.08 of the Revised Code. This base formula amount for any year 18366
shall not exceed the formula amount defined under section 3317.0218367
of the Revised Code. The plan may also specify for any year a 18368
percentage figure to be used for reducing the per pupil amount of 18369
the subsidy calculated pursuant to section 3317.029 of the Revised 18370
Code the school is to receive that year under section 3314.08 of 18371
the Revised Code.18372

       (16) Requirements and procedures regarding the disposition of18373
employees of the school in the event the contract is terminated or 18374
not renewed pursuant to section 3314.07 of the Revised Code;18375

       (17) Whether the school is to be created by converting all or 18376
part of an existing public school or is to be a new start-up18377
school, and if it is a converted public school, specification of18378
any duties or responsibilities of an employer that the board of18379
education that operated the school before conversion is delegating18380
to the governing board of the community school with respect to all18381
or any specified group of employees provided the delegation is not18382
prohibited by a collective bargaining agreement applicable to such18383
employees;18384

       (18) Provisions establishing procedures for resolving18385
disputes or differences of opinion between the sponsor and the18386
governing authority of the community school;18387

       (19) A provision requiring the governing authority to adopt a 18388
policy regarding the admission of students who reside outside the 18389
district in which the school is located. That policy shall comply 18390
with the admissions procedures specified in sections 3314.06 and 18391
3314.061 of the Revised Code and, at the sole discretion of the 18392
authority, shall do one of the following:18393

       (a) Prohibit the enrollment of students who reside outside18394
the district in which the school is located;18395

       (b) Permit the enrollment of students who reside in districts18396
adjacent to the district in which the school is located;18397

       (c) Permit the enrollment of students who reside in any other18398
district in the state.18399

       (20) A provision recognizing the authority of the department18400
of education to take over the sponsorship of the school in18401
accordance with the provisions of division (C) of section 3314.01518402
of the Revised Code;18403

       (21) A provision recognizing the sponsor's authority to18404
assume the operation of a school under the conditions specified in18405
division (B) of section 3314.073 of the Revised Code;18406

        (22) A provision recognizing both of the following:18407

       (a) The authority of public health and safety officials to18408
inspect the facilities of the school and to order the facilities18409
closed if those officials find that the facilities are not in18410
compliance with health and safety laws and regulations;18411

       (b) The authority of the department of education as the18412
community school oversight body to suspend the operation of the18413
school under section 3314.072 of the Revised Code if the18414
department has evidence of conditions or violations of law at the18415
school that pose an imminent danger to the health and safety of18416
the school's students and employees and the sponsor refuses to18417
take such action;18418

        (23) A description of the learning opportunities that will be 18419
offered to students including both classroom-based and18420
non-classroom-based learning opportunities that is in compliance18421
with criteria for student participation established by the18422
department under division (L)(2) of section 3314.08 of the Revised18423
Code;18424

       (24) The school will comply with section 3302.04 of the 18425
Revised Code, including division (E) of that section to the extent 18426
possible, except that any action required to be taken by a school 18427
district pursuant to that section shall be taken by the sponsor of 18428
the school. However, the sponsor shall not be required to take any 18429
action described in division (F) of that section.18430

       (25) Beginning in the 2006-2007 school year, the school will 18431
open for operation not later than the thirtieth day of September 18432
each school year, unless the mission of the school as specified 18433
under division (A)(2) of this section is solely to serve dropouts. 18434
In its initial year of operation, if the school fails to open by 18435
the thirtieth day of September, or within one year after the 18436
adoption of the contract pursuant to division (D) of section 18437
3314.02 of the Revised Code if the mission of the school is solely 18438
to serve dropouts, the contract shall be void.18439

       (B) The community school shall also submit to the sponsor a18440
comprehensive plan for the school. The plan shall specify the18441
following:18442

       (1) The process by which the governing authority of the18443
school will be selected in the future;18444

       (2) The management and administration of the school;18445

       (3) If the community school is a currently existing public18446
school, alternative arrangements for current public school18447
students who choose not to attend the school and teachers who18448
choose not to teach in the school after conversion;18449

       (4) The instructional program and educational philosophy of18450
the school;18451

       (5) Internal financial controls.18452

       (C) A contract entered into under section 3314.02 of the18453
Revised Code between a sponsor and the governing authority of a18454
community school may provide for the community school governing18455
authority to make payments to the sponsor, which is hereby18456
authorized to receive such payments as set forth in the contract18457
between the governing authority and the sponsor. The total amount18458
of such payments for oversight and monitoring of the school shall18459
not exceed three per cent of the total amount of payments for18460
operating expenses that the school receives from the state.18461

       (D) The contract shall specify the duties of the sponsor18462
which shall be in accordance with the written agreement entered18463
into with the department of education under division (B) of18464
section 3314.015 of the Revised Code and shall include the18465
following:18466

        (1) Monitor the community school's compliance with all laws18467
applicable to the school and with the terms of the contract;18468

        (2) Monitor and evaluate the academic and fiscal performance 18469
and the organization and operation of the community school on at 18470
least an annual basis;18471

        (3) Report on an annual basis the results of the evaluation18472
conducted under division (D)(2) of this section to the department18473
of education and to the parents of students enrolled in the18474
community school;18475

        (4) Provide technical assistance to the community school in 18476
complying with laws applicable to the school and terms of the18477
contract;18478

        (5) Take steps to intervene in the school's operation to18479
correct problems in the school's overall performance, declare the18480
school to be on probationary status pursuant to section 3314.07318481
of the Revised Code, suspend the operation of the school pursuant18482
to section 3314.072 of the Revised Code, or terminate the contract18483
of the school pursuant to section 3314.07 of the Revised Code as18484
determined necessary by the sponsor;18485

        (6) Have in place a plan of action to be undertaken in the18486
event the community school experiences financial difficulties or18487
closes prior to the end of a school year.18488

        (E) Upon the expiration of a contract entered into under this 18489
section, the sponsor of a community school may, with the approval 18490
of the governing authority of the school, renew that contract for18491
a period of time determined by the sponsor, but not ending earlier18492
than the end of any school year, if the sponsor finds that the18493
school's compliance with applicable laws and terms of the contract18494
and the school's progress in meeting the academic goals prescribed18495
in the contract have been satisfactory. Any contract that is 18496
renewed under this division remains subject to the provisions of 18497
sections 3314.07, 3314.072, and 3314.073 of the Revised Code.18498

       (F) If a community school fails to open for operation within 18499
one year after the contract entered into under this section is 18500
adopted pursuant to division (D) of section 3314.02 of the Revised 18501
Code or permanently closes prior to the expiration of the 18502
contract, the contract shall be void and the school shall not 18503
enter into a contract with any other sponsor. A school shall not 18504
be considered permanently closed because the operations of the 18505
school have been suspended pursuant to section 3314.072 of the 18506
Revised Code. Any contract that becomes void under this division 18507
shall not count toward any statewide limit on the number of such 18508
contracts prescribed by section 3314.013 of the Revised Code.18509

       Sec. 3314.074. Divisions (A) and (B) of this section apply18510
only to the extent permitted under Chapter 1702. of the Revised18511
Code.18512

       (A) If any community school established under this chapter18513
permanently closes and ceases its operation as a community school,18514
the assets of that school shall be distributed first to the18515
retirement funds of employees of the school, employees of the18516
school, and private creditors who are owed compensation, and then18517
any remaining funds shall be paid to the state treasury to the18518
credit of the general revenue funddepartment of education for 18519
redistribution to the school districts in which the students who 18520
were enrolled in the school at the time it ceased operation were 18521
entitled to attend school under section 3313.64 or 3313.65 of the 18522
Revised Code. The amount distributed to each school district shall 18523
be proportional to the district's share of the total enrollment in 18524
the community school.18525

       (B) If a community school closes and ceases to operate as a18526
community school and the school has received computer hardware or18527
software from the former Ohio SchoolNet commission or the eTech 18528
Ohio commission, such hardware or software shall be returned to 18529
the eTech Ohio commission, and the eTech Ohio commission shall 18530
redistribute the hardware and software, to the extent such18531
redistribution is possible, to school districts in conformance18532
with the provisions of the programs operated and administered by18533
the eTech Ohio commission.18534

       (C) If the assets of the school are insufficient to pay all18535
persons or entities to whom compensation is owed, the18536
prioritization of the distribution of the assets to individual18537
persons or entities within each class of payees may be determined18538
by decree of a court in accordance with this section and Chapter18539
1702. of the Revised Code.18540

       Sec. 3314.08.  (A) As used in this section:18541

       (1) "Base formula amount" means the amount specified as such18542
in a community school's financial plan for a school year pursuant18543
to division (A)(15) of section 3314.03 of the Revised Code.18544

       (2) "Cost-of-doing-business factor" has the same meaning as18545
in section 3317.02 of the Revised Code.18546

       (3) "IEP" means an individualized education program as18547
defined in section 3323.01 of the Revised Code.18548

       (4)(3) "Applicable special education weight" means the18549
multiple specified in section 3317.013 of the Revised Code for a 18550
handicap described in that section.18551

       (5)(4) "Applicable vocational education weight" means:18552

       (a) For a student enrolled in vocational education programs18553
or classes described in division (A) of section 3317.014 of the18554
Revised Code, the multiple specified in that division;18555

       (b) For a student enrolled in vocational education programs18556
or classes described in division (B) of section 3317.014 of the18557
Revised Code, the multiple specified in that division.18558

       (6)(5) "Entitled to attend school" means entitled to attend18559
school in a district under section 3313.64 or 3313.65 of the18560
Revised Code.18561

       (7)(6) A community school student is "included in the 18562
poverty student count" of a school district if the student is 18563
entitled to attend school in the district and the student's family 18564
receives assistance under the Ohio works first program.18565

       (8)(7) "Poverty-based assistance reduction factor" means the18566
percentage figure, if any, for reducing the per pupil amount of 18567
poverty-based assistance a community school is entitled to receive 18568
pursuant to divisions (D)(5) and (6)to (9) of this section in any 18569
year, as specified in the school's financial plan for the year 18570
pursuant to division (A)(15) of section 3314.03 of the Revised 18571
Code.18572

       (9)(8) "All-day kindergarten" has the same meaning as in18573
section 3317.029 of the Revised Code.18574

       (10) "SF-3 payment" means the sum of the payments to a school 18575
district in a fiscal year under divisions (A), (C)(1), (C)(4), 18576
(D), (E), and (F) of section 3317.022, divisions (G), (L), and (N) 18577
of section 3317.024, and sections 3317.029, 3317.0216, 3317.0217, 18578
3317.04, 3317.05, 3317.052, and 3317.053 of the Revised Code after 18579
making the adjustments required by sections 3313.981 and 3313.979, 18580
divisions (B), (C), (D), (E), (K), (L), (M), (N), and (O) of 18581
section 3317.023, and division (C) of section 3317.20(9) "State 18582
education aid" has the same meaning as in section 5751.20 of the 18583
Revised Code.18584

       (B) The state board of education shall adopt rules requiring18585
both of the following:18586

       (1) The board of education of each city, exempted village,18587
and local school district to annually report the number of18588
students entitled to attend school in the district who are18589
enrolled in grades one through twelve in a community school18590
established under this chapter, the number of students entitled to18591
attend school in the district who are enrolled in kindergarten in18592
a community school, the number of those kindergartners who are18593
enrolled in all-day kindergarten in their community school, and18594
for each child, the community school in which the child is18595
enrolled.18596

       (2) The governing authority of each community school18597
established under this chapter to annually report all of the18598
following:18599

       (a) The number of students enrolled in grades one through18600
twelve and the number of students enrolled in kindergarten in the18601
school who are not receiving special education and related18602
services pursuant to an IEP;18603

       (b) The number of enrolled students in grades one through18604
twelve and the number of enrolled students in kindergarten, who18605
are receiving special education and related services pursuant to18606
an IEP;18607

       (c) The number of students reported under division (B)(2)(b)18608
of this section receiving special education and related services18609
pursuant to an IEP for a handicap described in each of divisions18610
(A) to (F) of section 3317.013 of the Revised Code;18611

       (d) The full-time equivalent number of students reported18612
under divisions (B)(2)(a) and (b) of this section who are enrolled18613
in vocational education programs or classes described in each of18614
divisions (A) and (B) of section 3317.014 of the Revised Code that18615
are provided by the community school;18616

       (e) Twenty per cent of the number of students reported under18617
divisions (B)(2)(a) and (b) of this section who are not reported18618
under division (B)(2)(d) of this section but who are enrolled in18619
vocational education programs or classes described in each of18620
divisions (A) and (B) of section 3317.014 of the Revised Code at a18621
joint vocational school district under a contract between the18622
community school and the joint vocational school district and are18623
entitled to attend school in a city, local, or exempted village18624
school district whose territory is part of the territory of the18625
joint vocational district;18626

       (f) The number of enrolled preschool handicapped students18627
receiving special education services in a state-funded unit;18628

       (g) The community school's base formula amount;18629

       (h) For each student, the city, exempted village, or local18630
school district in which the student is entitled to attend school;18631

       (i) Any poverty-based assistance reduction factor that 18632
applies to a school year.18633

       (C) From the SF-3 payment made tostate education aid 18634
calculated for a city, exempted village, or local school district 18635
and, if necessary, from the payment made to the district under18636
sections 321.24 and 323.156 of the Revised Code, the department of 18637
education shall annually subtract the sum of the amounts described 18638
in divisions (C)(1) to (9) of this section. However, when 18639
deducting payments on behalf of students enrolled in internet- or 18640
computer-based community schools, the department shall deduct only 18641
those amounts described in divisions (C)(1) and (2) of this 18642
section. Furthermore, the aggregate amount deducted under this 18643
division shall not exceed the sum of the district's SF-3 payment18644
state education aid and its payment under sections 321.24 and 18645
323.156 of the Revised Code.18646

       (1) An amount equal to the sum of the amounts obtained when,18647
for each community school where the district's students are18648
enrolled, the number of the district's students reported under18649
divisions (B)(2)(a), (b), and (e) of this section who are enrolled 18650
in grades one through twelve, and one-half the number of students18651
reported under those divisions who are enrolled in kindergarten,18652
in that community school is multiplied by the greater of the 18653
following:18654

       (a) The fiscal year 2005 base formula amount of that 18655
community school as adjusted by the school district's fiscal year 18656
2005 cost-of-doing-business factor;18657

       (b) The sum of (the current base formula amount of that 18658
community school times the school district's current 18659
cost-of-doing-business factor) plus the per pupil amount of the 18660
base funding supplements specified in divisions (C)(1) to (4) of 18661
section 3317.012 of the Revised Code.18662

       (2) The sum of the amounts calculated under divisions18663
(C)(2)(a) and (b) of this section:18664

       (a) For each of the district's students reported under18665
division (B)(2)(c) of this section as enrolled in a community18666
school in grades one through twelve and receiving special18667
education and related services pursuant to an IEP for a handicap18668
described in section 3317.013 of the Revised Code, the product of18669
the applicable special education weight times the community18670
school's base formula amount;18671

       (b) For each of the district's students reported under18672
division (B)(2)(c) of this section as enrolled in kindergarten in18673
a community school and receiving special education and related18674
services pursuant to an IEP for a handicap described in section18675
3317.013 of the Revised Code, one-half of the amount calculated as18676
prescribed in division (C)(2)(a) of this section.18677

       (3) For each of the district's students reported under18678
division (B)(2)(d) of this section for whom payment is made under18679
division (D)(4) of this section, the amount of that payment;18680

       (4) An amount equal to the sum of the amounts obtained when,18681
for each community school where the district's students are18682
enrolled, the number of the district's students enrolled in that18683
community school who are included in the district's poverty 18684
student count is multiplied by the per pupil amount of 18685
poverty-based assistance the school district receives that year 18686
pursuant to division (B) or (C) of section 3317.029 of the Revised18687
Code, as adjusted by any poverty-based assistance reduction factor 18688
of that community school. If the district receives poverty-based 18689
assistance under division (B) of that section, the per pupil18690
amount of that aid is the quotient of the amount the district18691
received under that division divided by the district's poverty 18692
student count, as defined in that section. If the district 18693
receives poverty-based assistance under division (C) of section18694
3317.029 of the Revised Code, theThe per pupil amount of that aid 18695
for the district shall be calculated by the department.18696

       (5) An amount equal to the sum of the amounts obtained when,18697
for each community school where the district's students are18698
enrolled, the district's per pupil amount of aid received under18699
division (E) of section 3317.029 of the Revised Code, as adjusted18700
by any poverty-based assistance reduction factor of the community 18701
school, is multiplied by the sum of the following:18702

       (a) The number of the district's students reported under18703
division (B)(2)(a) of this section who are enrolled in grades one18704
to three in that community school and who are not receiving18705
special education and related services pursuant to an IEP;18706

       (b) One-half of the district's students who are enrolled in18707
all-day or any other kindergarten class in that community school18708
and who are not receiving special education and related services18709
pursuant to an IEP;18710

       (c) One-half of the district's students who are enrolled in18711
all-day kindergarten in that community school and who are not18712
receiving special education and related services pursuant to an18713
IEP.18714

       The district's per pupil amount of aid under division (E) of18715
section 3317.029 of the Revised Code is the quotient of the amount18716
the district received under that division divided by the18717
district's kindergarten through third grade ADM, as defined in18718
that section.18719

       (6) An amount equal to the sum of the amounts obtained when, 18720
for each community school where the district's students are 18721
enrolled, the district's per pupil amount received under division 18722
(F) of section 3317.029 of the Revised Code, as adjusted by any 18723
poverty-based assistance reduction factor of that community 18724
school, is multiplied by the number of the district's students 18725
enrolled in the community school who are identified as 18726
limited-English proficient.18727

       (7) An amount equal to the sum of the amounts obtained when, 18728
for each community school where the district's students are 18729
enrolled, the district's per pupil amount received under division 18730
(G) of section 3317.029 of the Revised Code, as adjusted by any 18731
poverty-based assistance reduction factor of that community 18732
school, is multiplied by the sum of the following:18733

       (a) The number of the district's students enrolled in grades 18734
one through twelve in that community school;18735

       (b) One-half of the number of the district's students 18736
enrolled in kindergarten in that community school.18737

       The district's per pupil amount under division (G) of section 18738
3317.029 of the Revised Code is the district's amount per teacher 18739
calculated under division (G)(1) or (2) of that section divided by 18740
17, times a multiple of 0.40 in fiscal year 2006 and 0.70 in 18741
fiscal year 2007.18742

       (8) An amount equal to the sum of the amounts obtained when, 18743
for each community school where the district's students are 18744
enrolled, the district's per pupil amount received under divisions 18745
(H) and (I) of section 3317.029 of the Revised Code, as adjusted 18746
by any poverty-based assistance reduction factor of that community 18747
school, is multiplied by the sum of the following:18748

       (a) The number of the district's students enrolled in grades 18749
one through twelve in that community school;18750

       (b) One-half of the number of the district's students 18751
enrolled in kindergarten in that community school.18752

       The district's per pupil amount under divisions (H) and (I) 18753
of section 3317.029 of the Revised Code is the amount calculated 18754
under each division divided by the district's formula ADM, as 18755
defined in section 3317.02 of the Revised Code.18756

       (9) An amount equal to the per pupil state parity aid funding 18757
calculated for the school district under either division (C) or 18758
(D) of section 3317.0217 of the Revised Code multiplied by the sum 18759
of the number of students in grades one through twelve, and 18760
one-half of the number of students in kindergarten, who are 18761
entitled to attend school in the district and are enrolled in a 18762
community school as reported under division (B)(1) of this 18763
section.18764

       (D) The department shall annually pay to a community school18765
established under this chapter the sum of the amounts described in 18766
divisions (D)(1) to (10) of this section. However, the department 18767
shall calculate and pay to each internet- or computer-based 18768
community school only the amounts described in divisions (D)(1) to 18769
(3) of this section. Furthermore, the sum of the payments to all 18770
community schools under divisions (D)(1), (2), and (4) to (10) of 18771
this section for the students entitled to attend school in any 18772
particular school district shall not exceed the sum of that 18773
district's SF-3 paymentstate education aid and its payment under 18774
sections 321.24 and 323.156 of the Revised Code. If the sum of the 18775
payments calculated under those divisions for the students 18776
entitled to attend school in a particular school district exceeds 18777
the sum of that district's SF-3 paymentstate education aid and 18778
its payment under sections 321.24 and 323.156 of the Revised Code, 18779
the department shall calculate and apply a proration factor to the 18780
payments to all community schools under those divisions for the 18781
students entitled to attend school in that district.18782

       (1) Subject to section 3314.085 of the Revised Code, an 18783
amount equal to the sum of the amounts obtained when the number of 18784
students enrolled in grades one through twelve, plus one-half of 18785
the kindergarten students in the school, reported under divisions 18786
(B)(2)(a), (b), and (e) of this section who are not receiving 18787
special education and related services pursuant to an IEP for a 18788
handicap described in section 3317.013 of the Revised Code is18789
multiplied by the greater of the following:18790

       (a) The community school's fiscal year 2005 base formula18791
amount, as adjusted by the fiscal year 2005 cost-of-doing-business 18792
factor of the school district in which the student is entitled to 18793
attend school;18794

       (b) The sum of (the community school's current base formula 18795
amount times the current cost-of-doing-business factor of the 18796
school district in which the student is entitled to attend school)18797
plus the per pupil amount of the base funding supplements 18798
specified in divisions (C)(1) to (4) of section 3317.012 of the 18799
Revised Code.18800

       (2) Prior to fiscal year 2007, the greater of the amount 18801
calculated under division (D)(2)(a) or (b) of this section, and in 18802
fiscal year 2007 and thereafter, the amount calculated under 18803
division (D)(2)(b) of this section:18804

       (a) The aggregate amount that the department paid to the18805
community school in fiscal year 1999 for students receiving18806
special education and related services pursuant to IEPs, excluding18807
federal funds and state disadvantaged pupil impact aid funds;18808

       (b) The sum of the amounts calculated under divisions18809
(D)(2)(b)(i) and (ii) of this section:18810

       (i) For each student reported under division (B)(2)(c) of18811
this section as enrolled in the school in grades one through18812
twelve and receiving special education and related services18813
pursuant to an IEP for a handicap described in section 3317.013 of 18814
the Revised Code, the following amount:18815

the greater of (the community school's fiscal year 2005
18816

base formula amount X the fiscal year 2005
18817

cost-of-doing-business factor of the district
18818

where the student is entitled to attend school)
18819

or [
(the school's
current
base formula amount
times
18820

the current cost-of-doing-business factor of the school district
18821

where the student is entitled to attend school)
plus
18822

the per pupil amount of the base funding supplements specified in
18823

divisions (C)(1) to (4) of section 3317.012 of the Revised Code
]
)
18824

+ (the applicable special education weight X the
18825

community school's base formula amount);
18826

       (ii) For each student reported under division (B)(2)(c) of18827
this section as enrolled in kindergarten and receiving special18828
education and related services pursuant to an IEP for a handicap18829
described in section 3317.013 of the Revised Code, one-half of the18830
amount calculated under the formula prescribed in division18831
(D)(2)(b)(i) of this section.18832

       (3) An amount received from federal funds to provide special18833
education and related services to students in the community18834
school, as determined by the superintendent of public instruction.18835

       (4) For each student reported under division (B)(2)(d) of18836
this section as enrolled in vocational education programs or18837
classes that are described in section 3317.014 of the Revised18838
Code, are provided by the community school, and are comparable as18839
determined by the superintendent of public instruction to school18840
district vocational education programs and classes eligible for18841
state weighted funding under section 3317.014 of the Revised Code,18842
an amount equal to the applicable vocational education weight18843
times the community school's base formula amount times the18844
percentage of time the student spends in the vocational education18845
programs or classes.18846

       (5) An amount equal to the sum of the amounts obtained when,18847
for each school district where the community school's students are18848
entitled to attend school, the number of that district's students18849
enrolled in the community school who are included in the18850
district's poverty student count is multiplied by the per pupil18851
amount of poverty-based assistance that school district receives 18852
that year pursuant to division (B) or (C) of section 3317.029 of 18853
the Revised Code, as adjusted by any poverty-based assistance 18854
reduction factor of the community school. The per pupil amount of18855
aid shall be determined as described in division (C)(4) of this18856
section.18857

       (6) An amount equal to the sum of the amounts obtained when,18858
for each school district where the community school's students are18859
entitled to attend school, the district's per pupil amount of aid18860
received under division (E) of section 3317.029 of the Revised18861
Code, as adjusted by any poverty-based assistance reduction 18862
factor of the community school, is multiplied by the sum of the18863
following:18864

       (a) The number of the district's students reported under18865
division (B)(2)(a) of this section who are enrolled in grades one18866
to three in that community school and who are not receiving18867
special education and related services pursuant to an IEP;18868

       (b) One-half of the district's students who are enrolled in18869
all-day or any other kindergarten class in that community school18870
and who are not receiving special education and related services18871
pursuant to an IEP;18872

       (c) One-half of the district's students who are enrolled in18873
all-day kindergarten in that community school and who are not18874
receiving special education and related services pursuant to an18875
IEP.18876

       The district's per pupil amount of aid under division (E) of18877
section 3317.029 of the Revised Code shall be determined as18878
described in division (C)(5) of this section.18879

       (7) An amount equal to the sum of the amounts obtained when, 18880
for each school district where the community school's students are 18881
entitled to attend school, the number of that district's students 18882
enrolled in the community school who are identified as 18883
limited-English proficient is multiplied by the district's per 18884
pupil amount received under division (F) of section 3317.029 of 18885
the Revised Code, as adjusted by any poverty-based assistance 18886
reduction factor of the community school.18887

       (8) An amount equal to the sum of the amounts obtained when, 18888
for each school district where the community school's students are 18889
entitled to attend school, the district's per pupil amount 18890
received under division (G) of section 3317.029 of the Revised 18891
Code, as adjusted by any poverty-based assistance reduction factor 18892
of the community school, is multiplied by the sum of the 18893
following:18894

       (a) The number of the district's students enrolled in grades 18895
one through twelve in that community school;18896

       (b) One-half of the number of the district's students 18897
enrolled in kindergarten in that community school.18898

       The district's per pupil amount under division (G) of section 18899
3317.029 of the Revised Code shall be determined as described in 18900
division (C)(7) of this section.18901

       (9) An amount equal to the sum of the amounts obtained when, 18902
for each school district where the community school's students are 18903
entitled to attend school, the district's per pupil amount 18904
received under divisions (H) and (I) of section 3317.029 of the 18905
Revised Code, as adjusted by any poverty-based assistance 18906
reduction factor of the community school, is multiplied by the sum 18907
of the following:18908

       (a) The number of the district's students enrolled in grades 18909
one through twelve in that community school;18910

       (b) One-half of the number of the district's students 18911
enrolled in kindergarten in that community school.18912

       The district's per pupil amount under divisions (H) and (I) 18913
of section 3317.029 of the Revised Code shall be determined as 18914
described in division (C)(8) of this section.18915

       (10) An amount equal to the sum of the amounts obtained when, 18916
for each school district where the community school's students are 18917
entitled to attend school, the district's per pupil amount of 18918
state parity aid funding calculated under either division (C) or 18919
(D) of section 3317.0217 of the Revised Code is multiplied by the 18920
sum of the number of that district's students enrolled in grades 18921
one through twelve, and one-half of the number of that district's 18922
students enrolled in kindergarten, in the community school as 18923
reported under division (B)(2)(a) and (b) of this section.18924

       (E)(1) If a community school's costs for a fiscal year for a18925
student receiving special education and related services pursuant18926
to an IEP for a handicap described in divisions (B) to (F) of18927
section 3317.013 of the Revised Code exceed the threshold18928
catastrophic cost for serving the student as specified in division18929
(C)(3)(b) of section 3317.022 of the Revised Code, the school may18930
submit to the superintendent of public instruction documentation,18931
as prescribed by the superintendent, of all its costs for that18932
student. Upon submission of documentation for a student of the18933
type and in the manner prescribed, the department shall pay to the18934
community school an amount equal to the school's costs for the18935
student in excess of the threshold catastrophic costs.18936

       (2) The community school shall only report under division18937
(E)(1) of this section, and the department shall only pay for, the18938
costs of educational expenses and the related services provided to18939
the student in accordance with the student's individualized18940
education program. Any legal fees, court costs, or other costs18941
associated with any cause of action relating to the student may18942
not be included in the amount.18943

       (F) A community school may apply to the department of18944
education for preschool handicapped or gifted unit funding the18945
school would receive if it were a school district. Upon request of 18946
its governing authority, a community school that received unit18947
funding as a school district-operated school before it became a18948
community school shall retain any units awarded to it as a school18949
district-operated school provided the school continues to meet18950
eligibility standards for the unit.18951

       A community school shall be considered a school district and18952
its governing authority shall be considered a board of education18953
for the purpose of applying to any state or federal agency for18954
grants that a school district may receive under federal or state18955
law or any appropriations act of the general assembly. The18956
governing authority of a community school may apply to any private18957
entity for additional funds.18958

       (G) A board of education sponsoring a community school may18959
utilize local funds to make enhancement grants to the school or18960
may agree, either as part of the contract or separately, to18961
provide any specific services to the community school at no cost18962
to the school.18963

       (H) A community school may not levy taxes or issue bonds18964
secured by tax revenues.18965

       (I) No community school shall charge tuition for the18966
enrollment of any student.18967

       (J)(1)(a) A community school may borrow money to pay any18968
necessary and actual expenses of the school in anticipation of the18969
receipt of any portion of the payments to be received by the18970
school pursuant to division (D) of this section. The school may18971
issue notes to evidence such borrowing. The proceeds of the notes 18972
shall be used only for the purposes for which the anticipated 18973
receipts may be lawfully expended by the school.18974

       (b) A school may also borrow money for a term not to exceed18975
fifteen years for the purpose of acquiring facilities.18976

       (2) Except for any amount guaranteed under section 3318.50 of18977
the Revised Code, the state is not liable for debt incurred by the18978
governing authority of a community school.18979

       (K) For purposes of determining the number of students for18980
which divisions (D)(5) and (6) of this section applies in any18981
school year, a community school may submit to the department of18982
job and family services, no later than the first day of March, a18983
list of the students enrolled in the school. For each student on18984
the list, the community school shall indicate the student's name,18985
address, and date of birth and the school district where the18986
student is entitled to attend school. Upon receipt of a list under 18987
this division, the department of job and family services shall 18988
determine, for each school district where one or more students on 18989
the list is entitled to attend school, the number of students 18990
residing in that school district who were included in the18991
department's report under section 3317.10 of the Revised Code. The18992
department shall make this determination on the basis of18993
information readily available to it. Upon making this18994
determination and no later than ninety days after submission of18995
the list by the community school, the department shall report to18996
the state department of education the number of students on the18997
list who reside in each school district who were included in the18998
department's report under section 3317.10 of the Revised Code. In18999
complying with this division, the department of job and family19000
services shall not report to the state department of education any19001
personally identifiable information on any student.19002

       (L) The department of education shall adjust the amounts19003
subtracted and paid under divisions (C) and (D) of this section to19004
reflect any enrollment of students in community schools for less19005
than the equivalent of a full school year. The state board of19006
education within ninety days after April 8, 2003, shall adopt in19007
accordance with Chapter 119. of the Revised Code rules governing19008
the payments to community schools under this section including19009
initial payments in a school year and adjustments and reductions19010
made in subsequent periodic payments to community schools and19011
corresponding deductions from school district accounts as provided19012
under divisions (C) and (D) of this section. For purposes of this19013
section:19014

       (1) A student shall be considered enrolled in the community19015
school for any portion of the school year the student is19016
participating at a college under Chapter 3365. of the Revised19017
Code.19018

       (2) A student shall be considered to be enrolled in a19019
community school during a school year for the period of time 19020
beginning on the later of the date on which the school both has 19021
received documentation of the student's enrollment from a parent 19022
and the student has commenced participation in learning 19023
opportunities as defined in the contract with the sponsor, or 19024
thirty days prior to the date on which the student is entered into 19025
the education management information system established under 19026
section 3301.0714 of the Revised Code. For purposes of applying 19027
this division to a community school student, "learning19028
opportunities" shall be defined in the contract, which shall19029
describe both classroom-based and non-classroom-based learning19030
opportunities and shall be in compliance with criteria and19031
documentation requirements for student participation which shall19032
be established by the department. Any student's instruction time19033
in non-classroom-based learning opportunities shall be certified19034
by an employee of the community school. A student's enrollment19035
shall be considered to cease on the date on which any of the 19036
following occur:19037

        (a) The community school receives documentation from a parent 19038
terminating enrollment of the student.19039

        (b) The community school is provided documentation of a19040
student's enrollment in another public or private school.19041

        (c) The community school ceases to offer learning19042
opportunities to the student pursuant to the terms of the contract19043
with the sponsor or the operation of any provision of this19044
chapter.19045

        (3) A student's percentage of full-time equivalency shall be 19046
considered to be the percentage the hours of learning opportunity 19047
offered to that student is of nine hundred and twenty hours. 19048
However, no internet- or computer-based community school shall be 19049
credited for any time a student spends participating in learning 19050
opportunities beyond ten hours within any period of twenty-four 19051
consecutive hours.19052

       (M) The department of education shall reduce the amounts paid19053
under division (D) of this section to reflect payments made to19054
colleges under division (B) of section 3365.07 of the Revised19055
Code.19056

       (N)(1) No student shall be considered enrolled in any19057
internet- or computer-based community school or, if applicable to 19058
the student, in any community school that is required to provide 19059
the student with a computer pursuant to division (C) of section 19060
3314.22 of the Revised Code, unless both of the following 19061
conditions are satisfied:19062

       (a) The student possesses or has been provided with all 19063
required hardware and software materials and all such materials 19064
are operational so that the student is capable of fully 19065
participating in the learning opportunities specified in the 19066
contract between the school and the school's sponsor as required 19067
by division (A)(23) of section 3314.03 of the Revised Code;19068

       (b) The school is in compliance with division (A) of section 19069
3314.22 of the Revised Code, relative to such student.19070

       (2) In accordance with policies adopted jointly by the19071
superintendent of public instruction and the auditor of state, the19072
department shall reduce the amounts otherwise payable under19073
division (D) of this section to any community school that includes 19074
in its program the provision of computer hardware and software 19075
materials to any student, if such hardware and software materials 19076
have not been delivered, installed, and activated for each such 19077
student in a timely manner or other educational materials or19078
services have not been provided according to the contract between19079
the individual community school and its sponsor.19080

       The superintendent of public instruction and the auditor of19081
state shall jointly establish a method for auditing any community19082
school to which this division pertains to ensure compliance with19083
this section.19084

       The superintendent, auditor of state, and the governor shall19085
jointly make recommendations to the general assembly for19086
legislative changes that may be required to assure fiscal and19087
academic accountability for such schools.19088

       (O)(1) The department shall not withhold payments to a 19089
community school based on a challenge brought by a school district 19090
concerning the community school's enrollment and student residency 19091
reports submitted to the department without first providing the 19092
governing authority of the community school written notice stating 19093
the specific grounds for the challenge and requiring the school 19094
district to submit evidence supporting its claim that a particular 19095
student should not be included in the community school's 19096
enrollment or that payment for that student otherwise should be 19097
denied. The department also shall permit the governing authority 19098
to submit documentation the governing authority believes confirms 19099
or corrects its earlier reports that are subject to challenge. The 19100
school district bears the burden of proof. The department shall 19101
set a reasonable deadline for the school district and community 19102
school to submit documentation regarding the challenge. The 19103
department shall not withhold payments pending that deadline. The 19104
department immediately shall dismiss any challenge regarding a 19105
particular student if the department finds that the school 19106
district has not timely submitted evidence as required under this 19107
division or otherwise has not met its burden of proof or that the 19108
documentation submitted by the governing authority confirms or 19109
corrects its earlier reports regarding that student.19110

        (2) If the department finds that the school district has 19111
timely submitted evidence and has met its burden of proof and, 19112
accordingly, that the particular student for which the district 19113
brought the challenge should not be included in the community 19114
school's enrollment or that payment otherwise should be denied for 19115
that student, the department shall withhold payments to the 19116
community school for that student.19117

        If the governing authority of the community school 19118
subsequently submits documentation that the department finds 19119
confirms or corrects the earlier reports regarding that student, 19120
the department shall resume payments to the community school for 19121
that student and, if appropriate, shall include payment for the 19122
prior months that were withheld.19123

        (3) The department shall not withhold any other payments from 19124
a community school without first providing to the governing 19125
authority of the community school written notice stating the 19126
amount to be withheld, reasons for withholding, and offering an 19127
opportunity for a hearing in accordance with division (P)(2) of 19128
this section.19129

       (P)(1) If the department determines that a review of a19130
community school's enrollment is necessary, such review shall be19131
completed and written notice of the findings shall be provided to19132
the governing authority of the community school and its sponsor19133
within ninety days of the end of the community school's fiscal19134
year, unless extended for a period not to exceed thirty additional19135
days for one of the following reasons:19136

        (a) The department and the community school mutually agree to 19137
the extension.19138

        (b) Delays in data submission caused by either a community19139
school or its sponsor.19140

       (2) If the review results in a finding that additional19141
funding is owed to the school, such payment shall be made within19142
thirty days of the written notice. If the review results in a19143
finding that the community school owes moneys to the state, the19144
following procedure shall apply:19145

       (a) Within ten business days of the receipt of the notice of19146
findings, the community school may appeal the department's19147
determination to the state board of education or its designee.19148

        (b) The board or its designee shall conduct an informal19149
hearing on the matter within thirty days of receipt of such an19150
appeal and shall issue a decision within fifteen days of the19151
conclusion of the hearing.19152

        (c) If the board has enlisted a designee to conduct the19153
hearing, the designee shall certify its decision to the board. The19154
board may accept the decision of the designee or may reject the19155
decision of the designee and issue its own decision on the matter.19156

        (d) Any decision made by the board under this division is19157
final.19158

        (3) If it is decided that the community school owes moneys to 19159
the state, the department shall deduct such amount from the19160
school's future payments in accordance with guidelines issued by19161
the superintendent of public instruction.19162

       (P)(Q) The department shall not subtract from a school 19163
district's state aid account under division (C) of this section 19164
and shall not pay to a community school under division (D) of this 19165
section any amount for any of the following:19166

        (1) Any student who has graduated from the twelfth grade of a 19167
public or nonpublic high school;19168

        (2) Any student who is not a resident of the state;19169

        (3) Any student who was enrolled in the community school 19170
during the previous school year when tests were administered under 19171
section 3301.0711 of the Revised Code but did not take one or more 19172
of the tests required by that section and was not excused pursuant 19173
to division (C)(1) or (3) of that section, unless the 19174
superintendent of public instruction grants the student a waiver 19175
from the requirement to take the test and a parent is not paying 19176
tuition for the student pursuant to section 3314.26 of the Revised 19177
Code. The superintendent may grant a waiver only for good cause in 19178
accordance with rules adopted by the state board of education.19179

        (4) Any student who has attained the age of twenty-two years, 19180
except for veterans of the armed services whose attendance was 19181
interrupted before completing the recognized twelve-year course of 19182
the public schools by reason of induction or enlistment in the 19183
armed forces and who apply for enrollment in a community school 19184
not later than four years after termination of war or their 19185
honorable discharge. If, however, any such veteran elects to 19186
enroll in special courses organized for veterans for whom tuition 19187
is paid under federal law, or otherwise, the department shall not 19188
subtract from a school district's state aid account under division 19189
(C) of this section and shall not pay to a community school under 19190
division (D) of this section any amount for that veteran.19191

       Sec. 3314.086.  If the department of education is required to 19192
pay an amount under section 3353.25 of the Revised Code to a 19193
school district delivering a course included in the clearinghouse 19194
established under section 3353.21 of the Revised Code for a 19195
student enrolled in a community school established under this 19196
chapter, the department shall deduct the amount of that payment 19197
from the amount calculated for payment to the community school 19198
under section 3314.08 of the Revised Code.19199

       Sec. 3314.087.  (A) As used in this section:19200

        (1) "Career-technical program" means vocational programs or 19201
classes described in division (A) or (B) of section 3317.014 of 19202
the Revised Code in which a student is enrolled.19203

        (2) "Formula ADM," "category one or two vocational education 19204
ADM," and "FTE basis" have the same meanings as in section 3317.02 19205
of the Revised Code.19206

        (3) "Resident school district" means the city, exempted 19207
village, or local school district in which a student is entitled 19208
to attend school under section 3313.64 or 3313.65 of the Revised 19209
Code.19210

        (B) Notwithstanding anything to the contrary in this chapter 19211
or Chapter 3317. of the Revised Code, a student enrolled in a 19212
community school may simultaneously enroll in the career-technical 19213
program operated by the student's resident school district. On an 19214
FTE basis, the student's resident school district shall count the 19215
student in the category one or two vocational education ADM for 19216
the proportion of the time the student is enrolled in the 19217
district's career-technical program and, accordingly, the 19218
department of education shall calculate funds under Chapter 3317. 19219
for the district attributable to the student for the proportion of 19220
time the student attends the career-technical program. The 19221
community school shall count the student in its enrollment report 19222
under section 3314.08 of the Revised Code and shall report to the 19223
department the proportion of time that the student attends classes 19224
at the community school. The department shall pay the community 19225
school and deduct from the student's resident school district the 19226
amount computed for the student under section 3314.08 of the 19227
Revised Code in proportion to the fraction of the time on an FTE 19228
basis that the student attends classes at the community school. 19229
"Full-time equivalency" for a community school student, as defined 19230
in division (L) of section 3314.08 of the Revised Code, does not 19231
apply to the student.19232

       Sec. 3314.19.  The sponsor of each community school annually 19233
shall provide the following assurances in writing to the 19234
department of education not later than ten business days prior to 19235
the opening of the school:19236

       (A) That a current copy of the contract between the sponsor 19237
and the governing authority of the school entered into under 19238
section 3314.03 of the Revised Code has been filed with the state 19239
office of community schools established under section 3314.11 of 19240
the Revised Code and that any subsequent modifications to that 19241
contract will be filed with the office;19242

       (B) That the school has submitted to the sponsor a plan for 19243
providing special education and related services to students with 19244
disabilities and has demonstrated the capacity to provide those 19245
services in accordance with Chapter 3323. of the Revised Code and 19246
federal law;19247

       (C) That the school has a plan and procedures for 19248
administering the achievement tests and diagnostic assessments 19249
prescribed by sections 3301.0710 and 3301.0715 of the Revised 19250
Code;19251

       (D) That school personnel have the necessary training, 19252
knowledge, and resources to properly use and submit information to 19253
all databases maintained by the department for the collection of 19254
education data, including the education management information 19255
system established under section 3301.0714 of the Revised Code in 19256
accordance with methods and timelines established under section 19257
3314.17 of the Revised Code;19258

       (E) That all required information about the school has been 19259
submitted to the Ohio education directory system or any successor 19260
system;19261

       (F) That the school will enroll at least the minimum number 19262
of students required by division (A)(11)(a) of section 3314.03 of 19263
the Revised Code in the school year for which the assurances are 19264
provided;19265

       (G) That all classroom teachers are licensed in accordance 19266
with sections 3319.22 to 3319.31 of the Revised Code, except for 19267
noncertificated persons engaged to teach up to twelve hours per 19268
week pursuant to section 3319.301 of the Revised Code;19269

       (H) That the school's fiscal officer is in compliance with 19270
section 3314.011 of the Revised Code;19271

       (I) That the school has complied with section 3319.39 of the 19272
Revised Code with respect to all employees who are responsible for 19273
the care, custody, or control of a child and that the school has 19274
conducted a criminal records check of each of its governing 19275
authority members;19276

       (J) That the school holds all of the following:19277

       (1) Proof of property ownership or a lease for the facilities 19278
used by the school;19279

       (2) A certificate of occupancy;19280

       (3) Liability insurance for the school, as required by 19281
division (A)(11)(b) of section 3314.03 of the Revised Code, that 19282
the sponsor considers sufficient to indemnify the school's 19283
facilities, staff, and governing authority against risk;19284

       (4) A satisfactory health and safety inspection;19285

       (5) A satisfactory fire inspection;19286

       (6) A valid food permit, if applicable.19287

       (K) That the sponsor has conducted a pre-opening site visit 19288
to the school for the school year for which the assurances are 19289
provided;19290

       (L) That the school has designated a date it will open for 19291
the school year for which the assurances are provided that is in 19292
compliance with division (A)(25) of section 3314.03 of the Revised 19293
Code;19294

       (M) That the school has met all of the sponsor's requirements 19295
for opening and any other requirements of the sponsor.19296

       Sec. 3314.26. (A) Each internet- or computer-based community 19297
school shall withdraw from the school any student who, for two 19298
consecutive school years, has failed to participate in the spring 19299
administration of any test prescribed under section 3301.0710 or 19300
3301.0712 of the Revised Code for the student's grade level and 19301
was not excused from the test pursuant to division (C)(1) or (3) 19302
of section 3301.0711 of the Revised Code, regardless of whether a 19303
waiver was granted for the student under division (P)(Q)(3) of 19304
section 3314.08 of the Revised Code. The school shall report any 19305
such student's data verification code, as assigned pursuant to 19306
section 3301.0714 of the Revised Code, to the department of 19307
education. The department shall maintain a list of all data 19308
verification codes reported under this division and section 19309
3313.6410 of the Revised Code and provide that list to each 19310
internet- or computer-based community school and to each school to 19311
which section 3313.6410 of the Revised Code applies.19312

        (B) No internet- or computer-based community school shall 19313
receive any state funds under this chapter for any enrolled 19314
student whose data verification code appears on the list 19315
maintained by the department under division (A) of this section.19316

       Notwithstanding any provision of the Revised Code to the 19317
contrary, the parent of any such student shall pay tuition to the 19318
internet- or computer-based community school in an amount equal to 19319
the state funds the school otherwise would receive for that 19320
student, as determined by the department. An internet- or 19321
computer-based community school may withdraw any student for whom 19322
the parent does not pay tuition as required by this division.19323

       Sec. 3317.01.  As used in this section and section 3317.01119324
of the Revised Code, "school district," unless otherwise19325
specified, means any city, local, exempted village, joint19326
vocational, or cooperative education school district and any19327
educational service center.19328

       This chapter shall be administered by the state board of19329
education. The superintendent of public instruction shall19330
calculate the amounts payable to each school district and shall19331
certify the amounts payable to each eligible district to the19332
treasurer of the district as provided by this chapter. As soon as 19333
possible after such amounts are calculated, the superintendent 19334
shall certify to the treasurer of each school district the 19335
district's adjusted charge-off increase, as defined in section 19336
5705.211 of the Revised Code. No moneys shall be distributed 19337
pursuant to this chapter without the approval of the controlling 19338
board.19339

       The state board of education shall, in accordance with19340
appropriations made by the general assembly, meet the financial19341
obligations of this chapter.19342

       Annually, the department of education shall calculate and19343
report to each school district the district's total state and19344
local funds for providing an adequate basic education to the19345
district's nonhandicapped students, utilizing the determination in19346
section 3317.012 of the Revised Code. In addition, the department19347
shall calculate and report separately for each school district the19348
district's total state and local funds for providing an adequate19349
education for its handicapped students, utilizing the19350
determinations in both sections 3317.012 and 3317.013 of the19351
Revised Code.19352

       Not later than the thirty-first day of August of each fiscal19353
year, the department of education shall provide to each school19354
district and county MR/DD board a preliminary estimate of the19355
amount of funding that the department calculates the district will19356
receive under each of divisions (C)(1) and (4) of section 3317.02219357
of the Revised Code. No later than the first day of December of19358
each fiscal year, the department shall update that preliminary19359
estimate.19360

       Moneys distributed pursuant to this chapter shall be19361
calculated and paid on a fiscal year basis, beginning with the19362
first day of July and extending through the thirtieth day of June.19363
The moneys appropriated for each fiscal year shall be distributed19364
at least monthly to each school district unless otherwise provided19365
for. The state board shall submit a yearly distribution plan to19366
the controlling board at its first meeting in July. The state19367
board shall submit any proposed midyear revision of the plan to19368
the controlling board in January. Any year-end revision of the19369
plan shall be submitted to the controlling board in June. If19370
moneys appropriated for each fiscal year are distributed other19371
than monthly, such distribution shall be on the same basis for19372
each school district.19373

       The total amounts paid each month shall constitute, as nearly19374
as possible, one-twelfth of the total amount payable for the19375
entire year. 19376

       Until fiscal year 2007, paymentsPayments made during the 19377
first six months of the fiscal year may be based on an estimate of 19378
the amounts payable for the entire year. Payments made in the last 19379
six months shall be based on the final calculation of the amounts19380
payable to each school district for that fiscal year. Payments19381
made in the last six months may be adjusted, if necessary, to19382
correct the amounts distributed in the first six months, and to19383
reflect enrollment increases when such are at least three per19384
cent.19385

       Beginning in fiscal year 2007, payments shall be calculated 19386
to reflect the biannual reporting of average daily membership. In 19387
fiscal year 2007 and in each fiscal year thereafter, annualized 19388
periodic payments for each school district shall be based on the 19389
district's student counts certified pursuant to section 3317.03 of 19390
the Revised Code as follows:19391

the sum of one-half of the number of students reported
19392

for the first full week in October plus one-half of the
19393

average of the numbers reported for the first full week
19394

in October and for the first full week in February
19395

       Except as otherwise provided, payments under this chapter19396
shall be made only to those school districts in which:19397

       (A) The school district, except for any educational service19398
center and any joint vocational or cooperative education school19399
district, levies for current operating expenses at least twenty19400
mills. Levies for joint vocational or cooperative education19401
school districts or county school financing districts, limited to19402
or to the extent apportioned to current expenses, shall be19403
included in this qualification requirement. School district income 19404
tax levies under Chapter 5748. of the Revised Code, limited to or 19405
to the extent apportioned to current operating expenses, shall be19406
included in this qualification requirement to the extent19407
determined by the tax commissioner under division (D) of section19408
3317.021 of the Revised Code.19409

       (B) The school year next preceding the fiscal year for which19410
such payments are authorized meets the requirement of section19411
3313.48 or 3313.481 of the Revised Code, with regard to the19412
minimum number of days or hours school must be open for19413
instruction with pupils in attendance, for individualized19414
parent-teacher conference and reporting periods, and for19415
professional meetings of teachers. This requirement shall be19416
waived by the superintendent of public instruction if it had been19417
necessary for a school to be closed because of disease epidemic,19418
hazardous weather conditions, inoperability of school buses or19419
other equipment necessary to the school's operation, damage to a19420
school building, or other temporary circumstances due to utility19421
failure rendering the school building unfit for school use,19422
provided that for those school districts operating pursuant to19423
section 3313.48 of the Revised Code the number of days the school19424
was actually open for instruction with pupils in attendance and19425
for individualized parent-teacher conference and reporting periods19426
is not less than one hundred seventy-five, or for those school19427
districts operating on a trimester plan the number of days the19428
school was actually open for instruction with pupils in attendance19429
not less than seventy-nine days in any trimester, for those school19430
districts operating on a quarterly plan the number of days the19431
school was actually open for instruction with pupils in attendance19432
not less than fifty-nine days in any quarter, or for those school19433
districts operating on a pentamester plan the number of days the19434
school was actually open for instruction with pupils in attendance19435
not less than forty-four days in any pentamester.19436

       A school district shall not be considered to have failed to19437
comply with this division or section 3313.481 of the Revised Code19438
because schools were open for instruction but either twelfth grade19439
students were excused from attendance for up to three days or only19440
a portion of the kindergarten students were in attendance for up19441
to three days in order to allow for the gradual orientation to19442
school of such students.19443

       The superintendent of public instruction shall waive the19444
requirements of this section with reference to the minimum number19445
of days or hours school must be in session with pupils in19446
attendance for the school year succeeding the school year in which19447
a board of education initiates a plan of operation pursuant to19448
section 3313.481 of the Revised Code. The minimum requirements of19449
this section shall again be applicable to such a district19450
beginning with the school year commencing the second July19451
succeeding the initiation of one such plan, and for each school19452
year thereafter.19453

       A school district shall not be considered to have failed to19454
comply with this division or section 3313.48 or 3313.481 of the19455
Revised Code because schools were open for instruction but the19456
length of the regularly scheduled school day, for any number of19457
days during the school year, was reduced by not more than two19458
hours due to hazardous weather conditions.19459

       (C) The school district has on file, and is paying in19460
accordance with, a teachers' salary schedule which complies with19461
section 3317.13 of the Revised Code.19462

       A board of education or governing board of an educational19463
service center which has not conformed with other law and the19464
rules pursuant thereto, shall not participate in the distribution19465
of funds authorized by sections 3317.022 to 3317.0211, 3317.11,19466
3317.16, 3317.17, and 3317.19 of the Revised Code, except for good19467
and sufficient reason established to the satisfaction of the state19468
board of education and the state controlling board.19469

       All funds allocated to school districts under this chapter,19470
except those specifically allocated for other purposes, shall be19471
used to pay current operating expenses only.19472

       Sec. 3317.012. (A) The general assembly, having deliberated 19473
on the model with which to calculate the base cost of an adequate 19474
education per pupil, has made a policy decision to calculate that 19475
amount as consisting of the following building blocks:19476

       (1) Base classroom teachers;19477

        (2) Other personnel support, which includes additional 19478
teachers, such as music, arts, and physical education teachers 19479
funded by state, local, or federal funds or other funds that are 19480
above the base cost funding level, and other school personnel 19481
including administrators;19482

        (3) Nonpersonnel support.19483

        This model reflects policy decisions made by the general 19484
assembly concerning the cost of base classroom teachers, which 19485
decisions entail two policy variables: the number of students per 19486
base classroom teacher necessary for an adequate education and the 19487
average compensation for a base classroom teacher necessary for an 19488
adequate education. The model requires the general assembly to 19489
decide the amount of other personnel support necessary for an 19490
adequate education, and increase that amount from year to year by 19491
the same percentage as it increases the average compensation for 19492
base classroom teachers. The model finally requires the general 19493
assembly to decide the nonpersonnel costs necessary for an 19494
adequate education and to inflate the nonpersonnel costs from year 19495
to year using the projected inflationary measure for the gross 19496
domestic product deflator (all items) prepared by the bureau of 19497
labor statistics of the United States department of labor.19498

        (B)(1) For fiscal year 20062008, the general assembly has 19499
resolved that a ratio of one base classroom teacher per twenty 19500
students is necessary for an adequate education. The general 19501
assembly has made a policy decision that the average compensation 19502
for base classroom teachers is $53,680$56,754 for fiscal year 19503
20062008, which includes an amount for the value of fringe 19504
benefits. For fiscal year 20072009, the general assembly has 19505
resolved that a ratio of one base classroom teacher per twenty 19506
students is necessary for an adequate education. The general 19507
assembly has made a policy decision that the average compensation 19508
for base classroom teachers is $54,941$58,621 for fiscal year 19509
2009, which includes an amount for the value of fringe benefits. 19510
Based on a ratio of twenty students per base classroom teacher, 19511
these amounts equal $2,684$2,838 per pupil in fiscal year 200619512
2008 and $2,747$2,931 per pupil in fiscal year 20072009. 19513

       (2) The general assembly has made a policy decision that the 19514
per pupil cost of salary and benefits of other personnel support 19515
is $1,807$1,905 in fiscal year 20062008. Based on the percentage 19516
increase for the average compensation of base classroom teachers19517
per pupil cost of salary and benefits of other personnel support19518
from fiscal year 20062007 to fiscal year 20072008, the per pupil 19519
cost of other personnel support is $1,850$1,962 in fiscal year 19520
20072009.19521

        (3) The general assembly has made a policy decision that the 19522
per pupil cost of nonpersonnel support is $792$822 in fiscal year 19523
20062008 and $806$839 in fiscal year 20072009. The amount for 19524
fiscal year 20072009 reflects the projected inflationary measure 19525
for the gross domestic product deflator (all items) of 1.80%19526
2.00%.19527

       (4) Based on the determinations specified in divisions (B)(1) 19528
to (3) of this section, the per-pupil base cost is $5,283$5,56519529
in fiscal year 20062008 and $5,403$5,732 in fiscal year 200719530
2009.19531

        (C) In addition to the per-pupil base cost as determined 19532
under divisions (A) and (B) of this section, the general assembly 19533
determines that the following base funding supplements shall be 19534
paid to each school district:19535

       (1) Base funding for large-group academic intervention for 19536
all students, based on 25 hours per group of students per year at 19537
an hourly rate of $20.00$21.01 in fiscal year 20062008 and 19538
$20.40$21.64 in fiscal year 20072009, as follows:19539

large-group intervention units X 25 hours X hourly rate
19540

       Where:19541

       (a) "Large-group intervention units" equals the district's 19542
formula ADM divided by 20;19543

       (b) "Hourly rate" equals $20.00$21.01 in fiscal year 200619544
2008 and $20.40$21.64 in fiscal year 20072009.19545

        (2) Base funding for professional development, phased in 19546
according to the following formula:19547

district's teacher factor X 0.045 X
19548

formula amount X phase-in percentage
19549

        Where:19550

        (a) For each school district, the district's "teacher factor" 19551
is the district's formula ADM divided by 17;19552

        (b) "Phase-in percentage" equals 0.25 in fiscal year 2006 and19553
0.75 in fiscal year 2007.19554

        (3) Base funding for data-based decision making, calculated 19555
according to the following formula:19556

0.001 X formula amount X formula ADM
19557

        (4) Base funding for professional development regarding 19558
data-based decision making, calculated according to the following 19559
formula:19560

(0.20 X the district's teacher factor X 0.08 X formula amount) +
19561

(the district's principal factor X
19562

0.08 X formula amount)
19563

        Where:19564

        (a) For each school district, the district's "teacher factor" 19565
is the district's formula ADM divided by 17;19566

        (b) For each school district, the district's "principal 19567
factor" is the district's formula ADM divided by 340.19568

       (D) The general assembly intends that school districts spend 19569
the state funds calculated and paid for each component of the 19570
building blocks methodology described in divisions (B)(1) to (3) 19571
and (C)(1) to (4) of this section according to the purposes 19572
described in those divisions.19573

       Sec. 3317.013.  Except for a handicapped preschool child for 19574
whom a scholarship has been awarded under section 3310.41 of the 19575
Revised Code, this section does not apply to handicapped preschool 19576
students.19577

       Analysis of special education cost data has resulted in a19578
finding that the average special education additional cost per19579
pupil, including the costs of related services, can be expressed19580
as a multiple of the base cost per pupil calculated under section19581
3317.012 of the Revised Code. The multiples for the following19582
categories of special education programs, as these programs are19583
defined for purposes of Chapter 3323. of the Revised Code, and19584
adjusted as provided in this section, are as follows:19585

       (A) A multiple of 0.2892 for students whose primary or only19586
identified handicap is a speech and language handicap, as this19587
term is defined pursuant to Chapter 3323. of the Revised Code;19588

       (B) A multiple of 0.3691 for students identified as specific19589
learning disabled or developmentally handicapped, as these terms 19590
are defined pursuant to Chapter 3323. of the Revised Code, or 19591
other health handicapped-minor;19592

       (C) A multiple of 1.7695 for students identified as hearing19593
handicapped, vision impaired, or severe behavior handicapped, as19594
these terms are defined pursuant to Chapter 3323. of the Revised19595
Code;19596

       (D) A multiple of 2.3646 for students identified as19597
orthopedically handicapped, as this term is defined pursuant to19598
Chapter 3323. of the Revised Code or other health handicapped -19599
major;19600

       (E) A multiple of 3.1129 for students identified as19601
multihandicapped, as this term is defined pursuant to Chapter19602
3323. of the Revised Code;19603

       (F) A multiple of 4.7342 for students identified as autistic, 19604
having traumatic brain injuries, or as both visually and hearing 19605
disabled, as these terms are defined pursuant to Chapter 3323. of 19606
the Revised Code.19607

       In fiscal year 2004years 2008 and 2009, the multiples 19608
specified in divisions (A) to (F) of this section shall be 19609
adjusted by multiplying them by 0.88. In fiscal years 2005, 2006, 19610
and 2007, the multiples specified in those divisions shall be 19611
adjusted by multiplying them by 0.90.19612

       Not later than the thirtieth day of MayDecember in 2004, 19613
2005, 2006, and 2007, 2008, and 2009, the department of education19614
shall submit to the office of budget and management a report that 19615
specifies for each city, local, exempted village, and joint 19616
vocational school district the fiscal year allocation of the state 19617
and local shares of special education and related services 19618
additional weighted funding and federal special education funds 19619
passed through to the district.19620

       Not later than January 31, 2009, and the thirty-first day of 19621
January of each odd-numbered year thereafter, the department shall 19622
prepare an analysis of whether the multiples specified in this 19623
section continue to accurately reflect the cost of providing 19624
special education, including the costs of related services, for 19625
students in each of the respective categories of programs 19626
specified in this section.19627

       Sec. 3317.014.  The average vocational education additional19628
cost per pupil can be expressed as a multiple of the base cost per19629
pupil calculated under section 3317.012 of the Revised Code. the19630
The multiples for the following categories of vocational education19631
programs are as follows:19632

       (A) A multiple of 0.57 for students enrolled in vocational19633
education job-training and workforce development programs approved19634
by the department of education in accordance with rules adopted19635
under section 3313.90 of the Revised Code.19636

       (B) A multiple of 0.28 for students enrolled in vocational19637
education classes other than job-training and workforce19638
development programs.19639

       Vocational education associated services costs can be19640
expressed as a multiple of 0.05 of the base cost per pupil19641
calculated under section 3317.012 of the Revised Code.19642

       The general assembly has adjusted the multiples specified in19643
this section for calculating payments beginning in fiscal year19644
2002 in recognition that its policy change regarding the19645
application of the cost-of-doing-business factor produces a higher19646
base cost amount than would exist if no change were made to its19647
application. The adjustment maintains the same weighted costs as19648
would exist if no change were made to the application of the19649
cost-of-doing-business factor.19650

       TheBy the thirtieth day of each December, the department of 19651
education shall annually report to the governoroffice of budget 19652
and management and the general assembly the amount of weighted 19653
funding for vocational education and associated services that is19654
was spent by each city, local, exempted village, and joint 19655
vocational school district specifically for vocational educational 19656
and associated services during the previous fiscal year.19657

       Sec. 3317.015.  (A) In addition to the information certified 19658
to the department of education and the office of budget and 19659
management under division (A) of section 3317.021 of the Revised 19660
Code, the tax commissioner shall, at the same time, certify the19661
following information to the department and the office of budget 19662
and management for each city, exempted village, and local school19663
district to be used for the same purposes as described under that 19664
division:19665

       (1) The taxable value of the school district's carryover 19666
property, as defined in section 319.301 of the Revised Code, for 19667
the preceding tax year;19668

       (2) The increase in such carryover value, if any, between the 19669
second preceding tax year and the preceding tax year as used in19670
calculating the percentage reduction under section 319.301 of the 19671
Revised Code.19672

       (B) For each fiscal year the department of education shall19673
calculate each school district's recognized valuation in the 19674
following manner:19675

       (1) For a school district located in a county in which a 19676
reappraisal or triennial update occurred in the preceding tax 19677
year, the recognized valuation equals the district's total taxable 19678
value for the preceding tax year minus two-thirds times the 19679
increase in the carryover value from the second preceding tax year 19680
to the preceding tax year.19681

       (2) For a school district located in a county in which a 19682
reappraisal or triennial update occurred in the second preceding 19683
tax year, the recognized valuation equals the district's total 19684
taxable value for the preceding tax year minus one-third times the 19685
increase in the carryover value from the third preceding tax year 19686
to the second preceding tax year.19687

       (3) For a school district located in a county in which a 19688
reappraisal or triennial update occurred in the third preceding 19689
tax year, the recognized valuation equals the district's total 19690
taxable value for the preceding tax year.19691

       Sec. 3317.016. In addition to its form SF-3, or any successor 19692
to that form, the department of education shall publish on its web 19693
site a spreadsheet for each school district that specifies the 19694
constituent components of the district's "building blocks" funds, 19695
as follows:19696

       (A) For compensation of base classroom teachers, as described 19697
in division (B)(1) of section 3317.012 of the Revised Code, each 19698
spreadsheet shall specify the district's aggregate and per pupil 19699
amounts of state funds and of combined state and local funds, the 19700
average compensation decided by the general assembly for base 19701
classroom teachers, as specified in that division, and the number 19702
of base classroom teachers attributable to the district based on 19703
the student-teacher ratio decided by the general assembly, as 19704
specified in that division.19705

        (B) Each spreadsheet shall specify the district's aggregate 19706
and per pupil amounts of state funds and of combined state and 19707
local funds for each of the following:19708

        (1) Other personnel support, as described in division (B)(2) 19709
of section 3317.012 of the Revised Code;19710

        (2) Nonpersonnel support, as described in division (B)(3) of 19711
that section;19712

        (3) Academic intervention services, as described in division 19713
(C)(1) of that section;19714

        (4) Professional development, as described in division (C)(2) 19715
of that section;19716

        (5) Data-based decision making, as described in division 19717
(C)(3) of that section;19718

        (6) Professional development for data-based decision making, 19719
as described in division (C)(4) of that section.19720

        (C) Each spreadsheet shall separately specify the district's 19721
aggregate and per pupil state funds for each of the following 19722
components of poverty-based assistance under section 3317.029 of 19723
the Revised Code:19724

        (1) Poverty-based assistance guarantee payment under division 19725
(B) of that section;19726

       (2) Academic intervention funding under division (C) of that 19727
section;19728

       (3)(2) All-day kindergarten under division (D) of that 19729
section;19730

       (4) Class-size reduction(3) Increased classroom learning 19731
opportunities under division (E) of that section;19732

       (5)(4) Services to limited English proficient students under 19733
division (F) of that section;19734

       (6)(5) Professional development, under division (G) of that 19735
section;19736

       (7)(6) Dropout prevention under division (H) of that section;19737

       (8)(7) Community outreach under division (I) of that section;19738

       (8) Assistance in closing the achievement gap under division 19739
(J) of that section.19740

       Sec. 3317.017.  (A) Not later than July 1, 2006, the 19741
superintendent of public instruction shall adopt a rule under 19742
which the superintendent may issue an order with respect to the 19743
spending, by a school district declared to be under an academic 19744
watch or in a state of academic emergency under section 3302.03 of 19745
the Revised Code, of the following state building block funds 19746
intended to pay instructional-related costs:19747

       (1) State funds for compensation of base classroom teachers, 19748
as described in division (B)(1) of section 3317.012 of the Revised 19749
Code;19750

       (2) State funds for academic intervention services under 19751
division (C)(1) of section 3317.012 and division (C) of section 19752
3317.029 of the Revised Code;19753

       (3) State funds for professional development under divisions 19754
(C)(2) and (4) of section 3317.012 and division (G) of section 19755
3317.029 of the Revised Code;19756

       (4) State funds for data based decision making under division 19757
(C)(3) of section 3317.012 of the Revised Code;19758

       (5) The poverty-based assistance guarantee payment under 19759
division (B) of section 3317.029 of the Revised Code;19760

       (6) State funds for all-day kindergarten under division (D) 19761
of section 3317.029 of the Revised Code;19762

       (7)(6) State funds for class-size reductionincreased 19763
classroom learning opportunities under division (E) of section 19764
3317.029 of the Revised Code;19765

       (8)(7) State funds for services to limited English proficient 19766
students under division (F) of section 3317.029 of the Revised 19767
Code;19768

       (9)(8) State funds for dropout prevention under division (H) 19769
of section 3317.029 of the Revised Code;19770

       (10)(9) State funds for community outreach under division (I) 19771
of section 3317.029 of the Revised Code;19772

       (10) State funds for assistance in closing the achievement 19773
gap under division (J) of section 3317.029 of the Revised Code.19774

       (B) The rule shall authorize the superintendent of public 19775
instruction to issue an order that does one or a combination of 19776
the following:19777

       (1) Requires the school district to periodically report to 19778
the superintendent of public instruction on its spending of the 19779
state funds paid for each building blocks component described in 19780
divisions (A)(1) to (10) of this section;19781

       (2) Requires the district to establish a separate account for 19782
each of the building blocks components described in divisions 19783
(A)(1) to (10) of this section to which the district shall credit 19784
the state funds paid for each;19785

       (3) Directs the district's spending of any or all of the 19786
state funds paid for the components described in divisions (A)(1) 19787
to (10) of this section in accordance with the descriptions and 19788
requirements of sections 3317.012 and 3317.029 of the Revised 19789
Code.19790

       (C) The rule shall specify situations in which the 19791
superintendent may issue an order and the types of orders the 19792
superintendent will issue for each of those situations. The rule, 19793
however, shall authorize the superintendent to issue orders in 19794
situations that are not enumerated or described in the rule.19795

       (D) The board of education of each school district to which 19796
the superintendent of public instruction issues an order pursuant 19797
to the rule adopted under this section shall comply with that 19798
order.19799

       Sec. 3317.02.  As used in this chapter:19800

       (A) Unless otherwise specified, "school district" means city,19801
local, and exempted village school districts.19802

       (B) "Formula amount" means the base cost for the fiscal year19803
specified in division (B)(4) of section 3317.012 of the Revised 19804
Code.19805

       (C) "FTE basis" means a count of students based on full-time19806
equivalency, in accordance with rules adopted by the department of19807
education pursuant to section 3317.03 of the Revised Code. In19808
adopting its rules under this division, the department shall19809
provide for counting any student in category one, two, three,19810
four, five, or six special education ADM or in category one or two19811
vocational education ADM in the same proportion the student is19812
counted in formula ADM.19813

       (D) "Formula ADM" means, for a city, local, or exempted19814
village school district, the final number verified by the 19815
superintendent of public instruction, based on the number reported 19816
pursuant to division (A) of section 3317.03 of the Revised Code, 19817
andas adjusted, if so ordered, under division (K) of that 19818
section. "Formula ADM" means, for a joint vocational school 19819
district, the final number verified by the superintendent of 19820
public instruction, based on the number reported pursuant to19821
division (D) of section 3317.03 of the Revised Code. Beginning in 19822
fiscal year 2007, for payments in which formula ADM is a factor, 19823
the formula ADM for each school district for the fiscal year is 19824
the sum of one-half of the number reported for October of that 19825
fiscal year plus one-half of the average of the numbers reported 19826
for October and February of that fiscal year, as adjusted, if so 19827
ordered, under division (K) of that section.19828

       (E) "Three-year average formula ADM" means the average of19829
formula ADMs for the current and preceding twothree fiscal years.19830

       (F)(1) "Category one special education ADM" means the average19831
daily membership of handicapped children receiving special19832
education services for the handicap specified in division (A) of19833
section 3317.013 of the Revised Code and reported under division19834
(B)(5) or (D)(2)(b) of section 3317.03 of the Revised Code. 19835
Beginning in fiscal year 2007, the district's category one special 19836
education ADM for a fiscal year is the sum of one-half of the 19837
number reported for October of that fiscal year plus one-half of 19838
the average of the numbers reported for October and February of 19839
that fiscal year.19840

       (2) "Category two special education ADM" means the average19841
daily membership of handicapped children receiving special19842
education services for those handicaps specified in division (B)19843
of section 3317.013 of the Revised Code and reported under19844
division (B)(6) or (D)(2)(c) of section 3317.03 of the Revised19845
Code. Beginning in fiscal year 2007, the district's category two 19846
special education ADM for a fiscal year is the sum of one-half of 19847
the number reported for October of that fiscal year plus one-half 19848
of the average of the numbers reported for October and February of 19849
that fiscal year.19850

       (3) "Category three special education ADM" means the average19851
daily membership of students receiving special education services19852
for those handicaps specified in division (C) of section 3317.01319853
of the Revised Code, and reported under division (B)(7) or19854
(D)(2)(d) of section 3317.03 of the Revised Code. Beginning in 19855
fiscal year 2007, the district's category three special education 19856
ADM for a fiscal year is the sum of one-half of the number 19857
reported for October of that fiscal year plus one-half of the 19858
average of the numbers reported for October and February of that 19859
fiscal year.19860

       (4) "Category four special education ADM" means the average19861
daily membership of students receiving special education services19862
for those handicaps specified in division (D) of section 3317.01319863
of the Revised Code and reported under division (B)(8) or19864
(D)(2)(e) of section 3317.03 of the Revised Code. Beginning in 19865
fiscal year 2007, the district's category four special education 19866
ADM for a fiscal year is the sum of one-half of the number 19867
reported for October of that fiscal year plus one-half of the 19868
average of the numbers reported for October and February of that 19869
fiscal year.19870

       (5) "Category five special education ADM" means the average19871
daily membership of students receiving special education services19872
for the handicap specified in division (E) of section 3317.013 of19873
the Revised Code and reported under division (B)(9) or (D)(2)(f)19874
of section 3317.03 of the Revised Code. Beginning in fiscal year 19875
2007, the district's category five special education ADM for a 19876
fiscal year is the sum of one-half of the number reported for 19877
October of that fiscal year plus one-half of the average of the 19878
numbers reported for October and February of that fiscal year.19879

       (6) "Category six special education ADM" means the average19880
daily membership of students receiving special education services19881
for the handicap specified in division (F) of section 3317.013 of19882
the Revised Code and reported under division (B)(10) or (D)(2)(g)19883
of section 3317.03 of the Revised Code. Beginning in fiscal year 19884
2007, the district's category six special education ADM for a 19885
fiscal year is the sum of one-half of the number reported for 19886
October of that fiscal year plus one-half of the average of the 19887
numbers reported for October and February of that fiscal year.19888

       (7) "Category one vocational education ADM" means the average19889
daily membership of students receiving vocational education19890
services described in division (A) of section 3317.014 of the19891
Revised Code and reported under division (B)(11) or (D)(2)(h) of19892
section 3317.03 of the Revised Code. Beginning in fiscal year 19893
2007, the district's category one vocational education ADM for a 19894
fiscal year is the sum of one-half of the number reported for 19895
October of that fiscal year plus one-half of the average of the 19896
numbers reported for October and February of that fiscal year.19897

       (8) "Category two vocational education ADM" means the average19898
daily membership of students receiving vocational education19899
services described in division (B) of section 3317.014 of the19900
Revised Code and reported under division (B)(12) or (D)(2)(i) of19901
section 3317.03 of the Revised Code. Beginning in fiscal year 19902
2007, the district's category two vocational education ADM for a 19903
fiscal year is the sum of one-half of the number reported for 19904
October of that fiscal year plus one-half of the average of the 19905
numbers reported for October and February of that fiscal year.19906

       (G) "Handicapped preschool child" means a handicapped child,19907
as defined in section 3323.01 of the Revised Code, who is at least19908
age three but is not of compulsory school age, as defined in19909
section 3321.01 of the Revised Code, and who is not currently19910
enrolled in kindergarten.19911

       (H) "County MR/DD board" means a county board of mental19912
retardation and developmental disabilities.19913

       (I) "Recognized valuation" means the amount calculated for a19914
school district pursuant to section 3317.015 of the Revised Code.19915

       (J) "Transportation ADM" means the number of children19916
reported under division (B)(13) of section 3317.03 of the Revised19917
Code.19918

       (K) "Average efficient transportation use cost per student"19919
means a statistical representation of transportation costs as19920
calculated under division (D)(2) of section 3317.022 of the19921
Revised Code.19922

       (L) "Taxes charged and payable" means the taxes charged and19923
payable against real and public utility property after making the19924
reduction required by section 319.301 of the Revised Code, plus19925
the taxes levied against tangible personal property.19926

       (M)(K) "Total taxable value" means the sum of the amounts19927
certified for a city, local, exempted village, or joint vocational19928
school district under divisions (A)(1) and (2) of section 3317.02119929
of the Revised Code.19930

       (N) "Cost-of-doing-business factor" means the amount19931
indicated in division (N)(1) or (2) of this section for the county 19932
in which a city, local, exempted village, or joint vocational 19933
school district is located. If a city, local, or exempted village 19934
school district is located in more than one county, the factor is 19935
the amount indicated for the county to which the district is 19936
assigned by the state department of education. If a joint19937
vocational school district is located in more than one county, the 19938
factor is the amount indicated for the county in which the joint 19939
vocational school with the greatest formula ADM operated by the 19940
district is located.19941

       (1) In fiscal year 2006, the cost-of-doing-business factor 19942
for each county is:19943

COST-OF-DOING-BUSINESS 19944
COUNTY FACTOR AMOUNT 19945
Adams 1.00233 19946
Allen 1.01373 19947
Ashland 1.01980 19948
Ashtabula 1.02647 19949
Athens 1.00093 19950
Auglaize 1.01647 19951
Belmont 1.00427 19952
Brown 1.01180 19953
Butler 1.04307 19954
Carroll 1.00913 19955
Champaign 1.02973 19956
Clark 1.02980 19957
Clermont 1.03607 19958
Clinton 1.02193 19959
Columbiana 1.01427 19960
Coshocton 1.01153 19961
Crawford 1.01093 19962
Cuyahoga 1.04173 19963
Darke 1.02253 19964
Defiance 1.00973 19965
Delaware 1.03520 19966
Erie 1.02587 19967
Fairfield 1.02440 19968
Fayette 1.02127 19969
Franklin 1.04053 19970
Fulton 1.0220 19971
Gallia 1.00000 19972
Geauga 1.03340 19973
Greene 1.02960 19974
Guernsey 1.00440 19975
Hamilton 1.05000 19976
Hancock 1.01433 19977
Hardin 1.02373 19978
Harrison 1.00493 19979
Henry 1.02120 19980
Highland 1.00987 19981
Hocking 1.01253 19982
Holmes 1.01187 19983
Huron 1.01953 19984
Jackson 1.00920 19985
Jefferson 1.00487 19986
Knox 1.01860 19987
Lake 1.03493 19988
Lawrence 1.00540 19989
Licking 1.02540 19990
Logan 1.02567 19991
Lorain 1.03433 19992
Lucas 1.02600 19993
Madison 1.03253 19994
Mahoning 1.02307 19995
Marion 1.02040 19996
Medina 1.03573 19997
Meigs 1.00173 19998
Mercer 1.01353 19999
Miami 1.02740 20000
Monroe 1.00333 20001
Montgomery 1.03020 20002
Morgan 1.00593 20003
Morrow 1.02007 20004
Muskingum 1.00847 20005
Noble 1.00487 20006
Ottawa 1.03240 20007
Paulding 1.00767 20008
Perry 1.01067 20009
Pickaway 1.02607 20010
Pike 1.00687 20011
Portage 1.03147 20012
Preble 1.02947 20013
Putnam 1.01440 20014
Richland 1.01327 20015
Ross 1.01007 20016
Sandusky 1.02140 20017
Scioto 1.00080 20018
Seneca 1.01487 20019
Shelby 1.01853 20020
Stark 1.01700 20021
Summit 1.03613 20022
Trumbull 1.02340 20023
Tuscarawas 1.00593 20024
Union 1.03333 20025
Van Wert 1.00887 20026
Vinton 1.00633 20027
Warren 1.04387 20028
Washington 1.00400 20029
Wayne 1.02320 20030
Williams 1.01520 20031
Wood 1.02400 20032
Wyandot 1.01140 20033

       (2) In fiscal year 2007, the cost-of-doing-business factor 20034
for each county is:20035

COST-OF-DOING-BUSINESS 20036
COUNTY FACTOR AMOUNT 20037
Adams 1.00117 20038
Allen 1.00687 20039
Ashland 1.00990 20040
Ashtabula 1.01323 20041
Athens 1.00047 20042
Auglaize 1.00823 20043
Belmont 1.00213 20044
Brown 1.00590 20045
Butler 1.02153 20046
Carroll 1.00457 20047
Champaign 1.01487 20048
Clark 1.01490 20049
Clermont 1.01803 20050
Clinton 1.01097 20051
Columbiana 1.00713 20052
Coshocton 1.00577 20053
Crawford 1.00547 20054
Cuyahoga 1.02087 20055
Darke 1.01127 20056
Defiance 1.00487 20057
Delaware 1.01760 20058
Erie 1.01293 20059
Fairfield 1.01220 20060
Fayette 1.01063 20061
Franklin 1.02027 20062
Fulton 1.01100 20063
Gallia 1.00000 20064
Geauga 1.01670 20065
Greene 1.01480 20066
Guernsey 1.00220 20067
Hamilton 1.02500 20068
Hancock 1.00717 20069
Hardin 1.01187 20070
Harrison 1.00247 20071
Henry 1.01060 20072
Highland 1.00493 20073
Hocking 1.00627 20074
Holmes 1.00593 20075
Huron 1.00977 20076
Jackson 1.00460 20077
Jefferson 1.00243 20078
Knox 1.00930 20079
Lake 1.01747 20080
Lawrence 1.00270 20081
Licking 1.01270 20082
Logan 1.01283 20083
Lorain 1.01717 20084
Lucas 1.01300 20085
Madison 1.01627 20086
Mahoning 1.01153 20087
Marion 1.01020 20088
Medina 1.01787 20089
Meigs 1.00087 20090
Mercer 1.00677 20091
Miami 1.01370 20092
Monroe 1.00167 20093
Montgomery 1.01510 20094
Morgan 1.00297 20095
Morrow 1.01003 20096
Muskingum 1.00423 20097
Noble 1.00243 20098
Ottawa 1.01620 20099
Paulding 1.00383 20100
Perry 1.00533 20101
Pickaway 1.01303 20102
Pike 1.00343 20103
Portage 1.01573 20104
Preble 1.01473 20105
Putnam 1.00720 20106
Richland 1.00663 20107
Ross 1.00503 20108
Sandusky 1.01070 20109
Scioto 1.00040 20110
Seneca 1.00743 20111
Shelby 1.00927 20112
Stark 1.00850 20113
Summit 1.01807 20114
Trumbull 1.01170 20115
Tuscarawas 1.00297 20116
Union 1.01667 20117
Van Wert 1.00443 20118
Vinton 1.00317 20119
Warren 1.02193 20120
Washington 1.00200 20121
Wayne 1.01160 20122
Williams 1.00760 20123
Wood 1.01200 20124
Wyandot 1.00570 20125

       (O)(L) "Tax exempt value" of a school district means the20126
amount certified for a school district under division (A)(4) of20127
section 3317.021 of the Revised Code.20128

       (P)(M) "Potential value" of a school district means the 20129
recognized valuation of a school district plus the tax exempt20130
value of the district.20131

       (Q)(N) "District median income" means the median Ohio20132
adjusted gross income certified for a school district. On or 20133
before the first day of July of each year, the tax commissioner 20134
shall certify to the department of education and the office of 20135
budget and management for each city, exempted village, and local 20136
school district the median Ohio adjusted gross income of the 20137
residents of the school district determined on the basis of tax 20138
returns filed for the second preceding tax year by the residents 20139
of the district.20140

       (R)(O) "Statewide median income" means the median district20141
median income of all city, exempted village, and local school20142
districts in the state.20143

       (S)(P) "Income factor" for a city, exempted village, or local20144
school district means the quotient obtained by dividing that20145
district's median income by the statewide median income.20146

       (T)(Q) "Medically fragile child" means a child to whom all of20147
the following apply:20148

       (1) The child requires the services of a doctor of medicine20149
or osteopathic medicine at least once a week due to the20150
instability of the child's medical condition.20151

       (2) The child requires the services of a registered nurse on20152
a daily basis.20153

       (3) The child is at risk of institutionalization in a20154
hospital, skilled nursing facility, or intermediate care facility20155
for the mentally retarded.20156

       (U)(R) A child may be identified as "other health20157
handicapped-major" if the child's condition meets the definition20158
of "other health impaired" established in rules adopted by the20159
state board of education prior to July 1, 2001, and if either of 20160
the following apply:20161

       (1) The child is identified as having a medical condition20162
that is among those listed by the superintendent of public20163
instruction as conditions where a substantial majority of cases20164
fall within the definition of "medically fragile child." The20165
superintendent of public instruction shall issue an initial list20166
no later than September 1, 2001.20167

       (2) The child is determined by the superintendent of public20168
instruction to be a medically fragile child. A school district20169
superintendent may petition the superintendent of public20170
instruction for a determination that a child is a medically20171
fragile child.20172

       (V)(S) A child may be identified as "other health20173
handicapped-minor" if the child's condition meets the definition20174
of "other health impaired" established in rules adopted by the20175
state board of education prior to July 1, 2001, but the child's 20176
condition does not meet either of the conditions specified in 20177
division (U)(R)(1) or (2) of this section.20178

       (W) "SF-3 payment" means the sum of the payments to a school 20179
district in a fiscal year under divisions (A), (C)(1), (C)(4), 20180
(D), (E), and (F) of section 3317.022, divisions (G), (L), and (N) 20181
of section 3317.024, and sections 3317.029, 3317.0216, 3317.0217, 20182
3317.04, 3317.05, 3317.052, and 3317.053 of the Revised Code after 20183
making the adjustments required by sections 3313.981 and 3313.979 20184
of the Revised Code, divisions (B), (C), (D), (E), (K), (L), (M), 20185
(N), and (O) of section 3317.023, and division (C) of section 20186
3317.20(T) "State education aid" has the same meaning as in 20187
section 5751.20 of the Revised Code.20188

       (X)(U) "Property exemption value" means zero in fiscal year 20189
2006, and in fiscal year 2007 and each fiscal year thereafter, the 20190
amount certified for a school district under divisions (A)(6) and 20191
(7) of section 3317.021 of the Revised Code.20192

       (V) "Internet- or computer-based community school" has the 20193
same meaning as in section 3314.02 of the Revised Code.20194

       Sec. 3317.021.  (A) On or before the first day of June of20195
each year, the tax commissioner shall certify to the department of20196
education and the office of budget and management the information 20197
described in divisions (A)(1) to (8) of this section for each 20198
city, exempted village, and local school district, and the 20199
information required by divisions (A)(1) and (2) of this section 20200
for each joint vocational school district, and it shall be used, 20201
along with the information certified under division (B) of this 20202
section, in making the computations for the district under 20203
sections 3317.022, 3317.0216, and 3317.0217 or section 3317.16 of 20204
the Revised Code.20205

       (1) The taxable value of real and public utility real20206
property in the school district subject to taxation in the20207
preceding tax year, by class and by county of location.20208

       (2) The taxable value of tangible personal property,20209
including public utility personal property, subject to taxation by20210
the district for the preceding tax year.20211

       (3)(a) The total property tax rate and total taxes charged20212
and payable for the current expenses for the preceding tax year20213
and the total property tax rate and the total taxes charged and20214
payable to a joint vocational district for the preceding tax year20215
that are limited to or to the extent apportioned to current20216
expenses.20217

       (b) The portion of the amount of taxes charged and payable20218
reported for each city, local, and exempted village school20219
district under division (A)(3)(a) of this section attributable to20220
a joint vocational school district.20221

       (4) The value of all real and public utility real property in 20222
the school district exempted from taxation minus both of the20223
following:20224

       (a) The value of real and public utility real property in the 20225
district owned by the United States government and used20226
exclusively for a public purpose;20227

       (b) The value of real and public utility real property in the 20228
district exempted from taxation under Chapter 725. or 1728. or20229
section 3735.67, 5709.40, 5709.41, 5709.62, 5709.63, 5709.632,20230
5709.73, or 5709.78 of the Revised Code.20231

       (5) The total federal adjusted gross income of the residents20232
of the school district, based on tax returns filed by the20233
residents of the district, for the most recent year for which this20234
information is available.20235

       (6) The sum of the school district compensation value as 20236
indicated on the list of exempted property for the preceding tax 20237
year under section 5713.08 of the Revised Code as if such property 20238
had been assessed for taxation that year and the other 20239
compensation value for the school district, minus the amounts 20240
described in divisions (A)(6)(c) to (i) of this section. The 20241
portion of school district compensation value or other 20242
compensation value attributable to an incentive district exemption 20243
may be subtracted only once even if that incentive district 20244
satisfies more than one of the criteria in divisions (A)(6)(c) to 20245
(i) of this section.20246

       (a) "School district compensation value" means the aggregate 20247
value of real property in the school district exempted from 20248
taxation pursuant to an ordinance or resolution adopted under 20249
division (C) of section 5709.40, division (C) of section 5709.73, 20250
or division (B) of section 5709.78 of the Revised Code to the 20251
extent that the exempted value results in the charging of payments 20252
in lieu of taxes required to be paid to the school district under 20253
division (D)(1) or (2) of section 5709.40, division (D) of section 20254
5709.73, or division (C) of section 5709.78 of the Revised Code.20255

       (b) "Other compensation value" means the quotient that 20256
results from dividing (i) the dollar value of compensation 20257
received by the school district during the preceding tax year 20258
pursuant to division (B), (C), or (D) of section 5709.82 of the 20259
Revised Code and the amounts received pursuant to an agreement as 20260
specified in division (D)(2) of section 5709.40, division (D) of 20261
section 5709.73, or division (C) of section 5709.78 of the Revised 20262
Code to the extent those amounts were not previously reported or 20263
included in division (A)(6)(a) of this section, and so that any 20264
such amount is reported only once under division (A)(6)(b) of this 20265
section, in relation to exemptions from taxation granted pursuant 20266
to an ordinance or resolution adopted under division (C) of 20267
section 5709.40, division (C) of section 5709.73, or division (B) 20268
of section 5709.78 of the Revised Code, by (ii) the real property 20269
tax rate in effect for the preceding tax year for 20270
nonresidential/agricultural real property after making the 20271
reductions required by section 319.301 of the Revised Code.20272

       (c) The portion of school district compensation value or 20273
other compensation value that was exempted from taxation pursuant 20274
to such an ordinance or resolution for the preceding tax year, if 20275
the ordinance or resolution is adopted prior to January 1, 2006, 20276
and the legislative authority or board of township trustees or 20277
county commissioners, prior to January 1, 2006, executes a 20278
contract or agreement with a developer, whether for-profit or 20279
not-for-profit, with respect to the development of a project 20280
undertaken or to be undertaken and identified in the ordinance or 20281
resolution, and upon which parcels such project is being, or will 20282
be, undertaken;20283

        (d) The portion of school district compensation value that 20284
was exempted from taxation for the preceding tax year and for 20285
which payments in lieu of taxes for the preceding tax year were 20286
provided to the school district under division (D)(1) of section 20287
5709.40 of the Revised Code.20288

       (e) The portion of school district compensation value that 20289
was exempted from taxation for the preceding tax year pursuant to 20290
such an ordinance or resolution, if and to the extent that, on or 20291
before April 1, 2006, the fiscal officer of the municipal 20292
corporation that adopted the ordinance, or of the township or 20293
county that adopted the resolution, certifies and provides 20294
appropriate supporting documentation to the tax commissioner and 20295
the director of development that, based on hold-harmless 20296
provisions in any agreement between the school district and the 20297
legislative authority of the municipal corporation, board of 20298
township trustees, or board of county commissioners that was 20299
entered into on or before June 1, 2005, the ability or obligation 20300
of the municipal corporation, township, or county to repay bonds, 20301
notes, or other financial obligations issued or entered into prior 20302
to January 1, 2006, will be impaired, including obligations to or 20303
of any other body corporate and politic with whom the legislative 20304
authority of the municipal corporation or board of township 20305
trustees or county commissioners has entered into an agreement 20306
pertaining to the use of service payments derived from the 20307
improvements exempted;20308

        (f) The portion of school district compensation value that 20309
was exempted from taxation for the preceding tax year pursuant to 20310
such an ordinance or resolution, if the ordinance or resolution is 20311
adopted prior to January 1, 2006, in a municipal corporation with 20312
a population that exceeds one hundred thousand, as shown by the 20313
most recent federal decennial census, that includes a major 20314
employment center and that is adjacent to historically distressed 20315
neighborhoods, if the legislative authority of the municipal 20316
corporation that exempted the property prepares an economic 20317
analysis that demonstrates that all taxes generated within the 20318
incentive district accruing to the state by reason of improvements 20319
constructed within the district during its existence exceed the 20320
amount the state pays the school district under section 3317.022 20321
of the Revised Code attributable to such property exemption from 20322
the school district's recognized valuation. The analysis shall be 20323
submitted to and approved by the department of development prior 20324
to January 1, 2006, and the department shall not unreasonably 20325
withhold approval. 20326

        (g) The portion of school district compensation value that 20327
was exempted from taxation for the preceding tax year under such 20328
an ordinance or resolution, if the ordinance or resolution is 20329
adopted prior to January 1, 2006, and if service payments have 20330
been pledged to be used for mixed-use riverfront entertainment 20331
development in any county with a population that exceeds six 20332
hundred thousand, as shown by the most recent federal decennial 20333
census;20334

        (h) The portion of school district compensation value that 20335
was exempted from taxation for the preceding tax year under such 20336
an ordinance or resolution, if, prior to January 1, 2006, the 20337
legislative authority of a municipal corporation, board of 20338
township trustees, or board of county commissioners has pledged 20339
service payments for a designated transportation capacity project 20340
approved by the transportation review advisory council under 20341
Chapter 5512. of the Revised Code;20342

        (i) The portion of school district compensation value that 20343
was exempted from taxation for the preceding tax year under such 20344
an ordinance or resolution if the legislative authority of a 20345
municipal corporation, board of township trustees, or board of 20346
county commissioners have, by January 1, 2006, pledged proceeds 20347
for designated transportation improvement projects that involve 20348
federal funds for which the proceeds are used to meet a local 20349
share match requirement for such funding.20350

       As used in division (A)(6) of this section, "project" has the 20351
same meaning as in section 5709.40 of the Revised Code.20352

       (7) The aggregate value of real property in the school 20353
district for which an exemption from taxation is granted by an 20354
ordinance or resolution adopted on or after January 1, 2006, under 20355
Chapter 725. or 1728., sections 3735.65 to 3735.70, or section 20356
5709.62, 5709.63, 5709.632, 5709.84, or 5709.88 of the Revised 20357
Code, as indicated on the list of exempted property for the 20358
preceding tax year under section 5713.08 of the Revised Code and 20359
as if such property had been assessed for taxation that year, 20360
minus the product determined by multiplying (a) the aggregate 20361
value of the real property in the school district exempted from 20362
taxation for the preceding tax year under any of the chapters or 20363
sections specified in this division, by (b) a fraction, the 20364
numerator of which is the difference between (i) the amount of 20365
anticipated revenue such school district would have received for 20366
the preceding tax year if the real property exempted from taxation 20367
had not been exempted from taxation and (ii) the aggregate amount 20368
of payments in lieu of taxes on the exempt real property for the 20369
preceding tax year and other compensation received for the 20370
preceding tax year by the school district pursuant to any 20371
agreements entered into on or after January 1, 2006, under section 20372
5709.82 of the Revised Code between the school district and the 20373
legislative authority of a political subdivision that acted under 20374
the authority of a chapter or statute specified in this division, 20375
that were entered into in relation to such exemption, and the 20376
denominator of which is the amount of anticipated revenue such 20377
school district would have received in the preceding fiscal year 20378
if the real property exempted from taxation had not been exempted.20379

       (8) For each school district receiving payments under 20380
division (B) or (C) of section 3317.0216 of the Revised Code 20381
during the current fiscal year, as included on the most recent 20382
list of such districts sent to the tax commissioner under division 20383
(F) of that section, the following:20384

        (a) The portion of the total amount of taxes charged and 20385
payable for current expenses certified under division (A)(3)(a) of 20386
this section that is attributable to each new levy approved and 20387
charged in the preceding tax year and the respective tax rate of 20388
each of those new levies;20389

        (b) The portion of the total taxes collected for current 20390
expenses under a school district income tax adopted pursuant to 20391
section 5748.03 or 5748.08 of the Revised Code, as certified under 20392
division (A)(2) of section 3317.08 of the Revised Code, that is 20393
attributable to each new school district income tax first 20394
effective in the current taxable year or in the preceding taxable 20395
year.20396

       (B) On or before the first day of May each year, the tax20397
commissioner shall certify to the department of education and the 20398
office of budget and management the total taxable real property 20399
value of railroads and, separately, the total taxable tangible 20400
personal property value of all public utilities for the preceding 20401
tax year, by school district and by county of location.20402

       (C) If a public utility has properly and timely filed a20403
petition for reassessment under section 5727.47 of the Revised20404
Code with respect to an assessment issued under section 5727.23 of20405
the Revised Code affecting taxable property apportioned by the tax20406
commissioner to a school district, the taxable value of public20407
utility tangible personal property included in the certification20408
under divisions (A)(2) and (B) of this section for the school20409
district shall include only the amount of taxable value on the20410
basis of which the public utility paid tax for the preceding year20411
as provided in division (B)(1) or (2) of section 5727.47 of the20412
Revised Code.20413

       (D) If on the basis of the information certified under20414
division (A) of this section, the department determines that any20415
district fails in any year to meet the qualification requirement20416
specified in division (A) of section 3317.01 of the Revised Code,20417
the department shall immediately request the tax commissioner to20418
determine the extent to which any school district income tax20419
levied by the district under Chapter 5748. of the Revised Code20420
shall be included in meeting that requirement. Within five days of 20421
receiving such a request from the department, the tax commissioner 20422
shall make the determination required by this division and report 20423
the quotient obtained under division (D)(3) of this section to the 20424
department and the office of budget and management. This quotient 20425
represents the number of mills that the department shall include 20426
in determining whether the district meets the qualification 20427
requirement of division (A) of section 3317.01 of the Revised 20428
Code.20429

       The tax commissioner shall make the determination required by20430
this division as follows:20431

       (1) Multiply one mill times the total taxable value of the20432
district as determined in divisions (A)(1) and (2) of this20433
section;20434

       (2) Estimate the total amount of tax liability for the20435
current tax year under taxes levied by Chapter 5748. of the20436
Revised Code that are apportioned to current operating expenses of20437
the district;20438

       (3) Divide the amount estimated under division (D)(2) of this 20439
section by the product obtained under division (D)(1) of this20440
section.20441

       (E)(1) On or before June 1, 2006, and the first day of April 20442
of each year thereafter, the director of development shall report 20443
to the department of education and, the tax commissioner, and the 20444
director of budget and management the total amounts of payments 20445
received by each city, local, exempted village, or joint 20446
vocational school district for the preceding tax year pursuant to 20447
division (D) of section 5709.40, division (D) of section 5709.73, 20448
division (C) of section 5709.78, or division (B)(1), (B)(2), (C), 20449
or (D) of section 5709.82 of the Revised Code in relation to 20450
exemptions from taxation granted pursuant to an ordinance adopted 20451
by the legislative authority of a municipal corporation under 20452
division (C) of section 5709.40 of the Revised Code, or a 20453
resolution adopted by a board of township trustees or board of 20454
county commissioners under division (C) of section 5709.73 or 20455
division (B) of section 5709.78 of the Revised Code, respectively. 20456
On or before April 1, 2006, and the first day of March of each 20457
year thereafter, the treasurer of each city, local, exempted 20458
village, or joint vocational school district that has entered into 20459
such an agreement shall report to the director of development the 20460
total amounts of such payments the district received for the 20461
preceding tax year as provided in this section. The state board of 20462
education, in accordance with sections 3319.31 and 3319.311 of the 20463
Revised Code, may suspend or revoke the license of a treasurer 20464
found to have willfully reported erroneous, inaccurate, or 20465
incomplete data under this division.20466

       (2) On or before April 1, 2007, and the first day of April of 20467
each year thereafter, the director of development shall report to 20468
the department of education and to, the tax commissioner, and the 20469
director of budget and management the total amounts of payments 20470
received by each city, local, exempted village, or joint 20471
vocational school district for the preceding tax year pursuant to 20472
divisions (B), (C), and (D) of section 5709.82 of the Revised Code 20473
in relation to exemptions from taxation granted pursuant to 20474
ordinances or resolutions adopted on or after January 1, 2006, 20475
under Chapter 725. or 1728., sections 3735.65 to 3735.70, or 20476
section 5709.62, 5709.63, 5709.632, 5709.84, or 5709.88 of the 20477
Revised Code. On or before March 1, 2007, and the first day of 20478
March of each year thereafter, the treasurer of each city, local, 20479
exempted village, or joint vocational school district that has 20480
entered into such an agreement shall report to the director of 20481
development the total amounts of such payments the district 20482
received for the preceding tax year as provided by this section. 20483
The state board of education, in accordance with sections 3319.31 20484
and 3319.311 of the Revised Code, may suspend or revoke the 20485
license of a treasurer found to have willfully reported erroneous, 20486
inaccurate, or incomplete data under this division.20487

       Sec. 3317.022.  (A)(1) The department of education shall20488
compute and distribute state base cost funding to each eligible20489
school district for the fiscal year using the information 20490
obtained under section 3317.021 of the Revised Code in the 20491
calendar year in which the fiscal year begins.20492

       (1) Compute the following for each eligible districtformula:20493

{[
cost-of-doing-business factor X
20494

the formula amount X (formula ADM +
20495

preschool scholarship ADM)] +
20496

the sum of the base funding supplements
20497

prescribed in divisions (C)(1) to (4)
20498

of section 3317.012 of the Revised Code} -
20499

[.023 x (the sum of recognized valuation
20500

and property exemption value)]
+
20501

the amounts calculated for the district under
20502

sections 3317.029 and 3317.0217 of the Revised Code
20503

       If the difference obtained is a negative number, the20504
district's computation shall be zero.20505

       (2) Compute both of the following for each school district:20506

       (a) The difference of (i) the district's fiscal year 2005 20507
base cost payment under the version of division (A)(1) of this 20508
section in effect in fiscal year 2005, minus (ii) the amount 20509
computed for the district for the current fiscal year under 20510
current division (A)(1) of this section;20511

       (b) The following amount:20512

[(fiscal year 2005 base cost payment/fiscal
20513

year 2005 formula ADM) X
20514

(current year formula ADM + preschool scholarship ADM)]
20515

minus the amount computed for the district
20516

under current division (A)(1) of this section
20517

       If one of the amounts computed under division (A)(2)(a) or 20518
(b) of this section is a positive amount, the department shall pay 20519
the district that amount in addition to the amount calculated 20520
under division (A)(1) of this section. If both amounts are 20521
positive amounts, the department shall pay the district the lesser 20522
of the two amounts in addition to the amount calculated under 20523
division (A)(1) of this section.20524

       (3)(a) For each school district for which the tax exempt20525
value of the district equals or exceeds twenty-five per cent of20526
the potential value of the district, the department of education20527
shall calculate the difference between the district's tax exempt20528
value and twenty-five per cent of the district's potential value.20529

       (b) For each school district to which division (A)(3)(2)(a) 20530
of this section applies, the department shall adjust the 20531
recognized valuation used in the calculation under division (A)(1) 20532
of this section by subtracting from it the amount calculated under20533
division (A)(3)(2)(a) of this section.20534

       (B) As used in this section:20535

       (1) The "total special education weight" for a district means 20536
the sum of the following amounts:20537

       (a) The district's category one special education ADM20538
multiplied by the multiple specified in division (A) of section20539
3317.013 of the Revised Code;20540

       (b) The district's category two special education ADM20541
multiplied by the multiple specified in division (B) of section20542
3317.013 of the Revised Code;20543

       (c) The district's category three special education ADM20544
multiplied by the multiple specified in division (C) of section20545
3317.013 of the Revised Code;20546

       (d) The district's category four special education ADM20547
multiplied by the multiple specified in division (D) of section20548
3317.013 of the Revised Code;20549

       (e) The district's category five special education ADM20550
multiplied by the multiple specified in division (E) of section20551
3317.013 of the Revised Code;20552

       (f) The district's category six special education ADM20553
multiplied by the multiple specified in division (F) of section20554
3317.013 of the Revised Code.20555

       (2) "State share percentage" means the percentage calculated20556
for a district as follows:20557

       (a) Calculate the state base cost funding amount for the20558
district for the fiscal year under division (A) of this section.20559
If the district would not receive any state base cost funding for20560
that year under that division, the district's state share20561
percentage is zero.20562

       (b) If the district would receive state base cost funding20563
under that division, divide that amount by an amount equal to the20564
following:20565

(
Cost-of-doing-business factor X
20566

the formula amount X formula ADM) +
20567

the sum of the base funding supplements
20568

prescribed in divisions (C)(1) to (4)
20569

of section 3317.012 of the Revised Code
+
20570

the sum of the amounts calculated for the district under
20571

sections 3317.029 and 3317.0217 of the Revised Code
20572

       The resultant number is the district's state share20573
percentage.20574

       (3) "Related services" includes:20575

       (a) Child study, special education supervisors and20576
coordinators, speech and hearing services, adaptive physical20577
development services, occupational or physical therapy, teacher20578
assistants for handicapped children whose handicaps are described20579
in division (B) of section 3317.013 or division (F)(3) of section20580
3317.02 of the Revised Code, behavioral intervention, interpreter20581
services, work study, nursing services, and specialized20582
integrative services as those terms are defined by the department;20583

       (b) Speech and language services provided to any student with 20584
a handicap, including any student whose primary or only handicap 20585
is a speech and language handicap;20586

       (c) Any related service not specifically covered by other20587
state funds but specified in federal law, including but not20588
limited to, audiology and school psychological services;20589

       (d) Any service included in units funded under former20590
division (O)(1) of section 3317.0233317.024 of the Revised Code;20591

       (e) Any other related service needed by handicapped children20592
in accordance with their individualized education plans.20593

       (4) The "total vocational education weight" for a district20594
means the sum of the following amounts:20595

       (a) The district's category one vocational education ADM20596
multiplied by the multiple specified in division (A) of section20597
3317.014 of the Revised Code;20598

       (b) The district's category two vocational education ADM20599
multiplied by the multiple specified in division (B) of section20600
3317.014 of the Revised Code.20601

       (5) "Preschool scholarship ADM" means the number of 20602
handicapped preschool children reported under division (B)(3)(h) 20603
of section 3317.03 of the Revised Code.20604

       (C)(1) The department shall compute and distribute state20605
special education and related services additional weighted costs20606
funds to each school district in accordance with the following20607
formula:20608

The district's state share percentage X
20609

the formula amount for the year for which
20610

the aid is calculated X the district's
20611

total special education weight
20612

       (2) The attributed local share of special education and20613
related services additional weighted costs equals:20614

(1 - the district's state share percentage) X the district's
20615

total special education weight X the formula amount
20616

       (3)(a) The department shall compute and pay in accordance20617
with this division additional state aid to school districts for20618
students in categories two through six special education ADM. If a 20619
district's costs for the fiscal year for a student in its 20620
categories two through six special education ADM exceed the20621
threshold catastrophic cost for serving the student, the district20622
may submit to the superintendent of public instruction20623
documentation, as prescribed by the superintendent, of all its20624
costs for that student. Upon submission of documentation for a20625
student of the type and in the manner prescribed, the department20626
shall pay to the district an amount equal to the sum of the20627
following:20628

       (i) One-half of the district's costs for the student in20629
excess of the threshold catastrophic cost;20630

       (ii) The product of one-half of the district's costs for the20631
student in excess of the threshold catastrophic cost multiplied by20632
the district's state share percentage.20633

       (b) For purposes of division (C)(3)(a) of this section, the20634
threshold catastrophic cost for serving a student equals:20635

       (i) For a student in the school district's category two,20636
three, four, or five special education ADM, twenty-five thousand20637
dollars in fiscal year 2002, twenty-five thousand seven hundred20638
dollars in fiscal years 2003, 2004, and 2005, and twenty-six 20639
thousand five hundred dollars in fiscal years 2006 and 200720640
twenty-seven thousand three hundred seventy-five dollars in fiscal 20641
years 2008 and 2009;20642

       (ii) For a student in the district's category six special20643
education ADM, thirty thousand dollars in fiscal year 2002, thirty 20644
thousand eight hundred forty dollars in fiscal years 2003, 2004, 20645
and 2005, and thirty-one thousand eight hundred dollars in fiscal 20646
years 2006 and 2007thirty-two thousand eight hundred fifty 20647
dollars in fiscal years 2008 and 2009.20648

       (c) The district shall only report under division (C)(3)(a)20649
of this section, and the department shall only pay for, the costs20650
of educational expenses and the related services provided to the20651
student in accordance with the student's individualized education20652
program. Any legal fees, court costs, or other costs associated20653
with any cause of action relating to the student may not be20654
included in the amount.20655

       (4)(a) As used in this division, the "personnel allowance"20656
means thirty thousand dollars in fiscal years 2002, 2003, 2004, 20657
2005, 2006, and 20072008 and 2009.20658

       (b) For the provision of speech language pathology services 20659
to students, including students who do not have individualized 20660
education programs prepared for them under Chapter 3323. of the 20661
Revised Code, and for no other purpose, the department of 20662
education shall pay each school district an amount calculated 20663
under the following formula:20664

(formula ADM divided by 2000) X
20665

the personnel allowance X
20666

the state share percentage
20667

       (5) In any fiscal year, a school district shall spend for20668
purposes that the department designates as approved for special20669
education and related services expenses at least the amount20670
calculated as follows:20671

(
cost-of-doing-business factor X
20672

formula amount X the sum of categories
20673

one through six special education ADM) +
20674

(total special education weight X formula amount)
20675

       The purposes approved by the department for special education20676
expenses shall include, but shall not be limited to,20677
identification of handicapped children, compliance with state20678
rules governing the education of handicapped children and20679
prescribing the continuum of program options for handicapped20680
children, provision of speech language pathology services, and the 20681
portion of the school district's overall administrative and 20682
overhead costs that are attributable to the district's special 20683
education student population.20684

       The scholarships deducted from the school district's account 20685
under section 3310.41 or 3310.55 of the Revised Code shall be 20686
considered to be an approved special education and related 20687
services expense for the purpose of the school district's 20688
compliance with division (C)(5) of this section.20689

       The department shall require school districts to report data20690
annually to allow for monitoring compliance with division (C)(5)20691
of this section. The department shall annually report to the20692
governor and the general assembly the amount of money spent by20693
each school district for special education and related services.20694

       (6) In any fiscal year, a school district shall spend for the 20695
provision of speech language pathology services not less than the 20696
sum of the amount calculated under division (C)(1) of this section 20697
for the students in the district's category one special education 20698
ADM and the amount calculated under division (C)(4) of this 20699
section.20700

       The scholarships deducted from the school district's account 20701
under section 3310.55 of the Revised Code for students counted in 20702
the district's category one special education ADM shall be 20703
considered to be an approved speech language pathology services 20704
expense for the purpose of the school district's compliance with 20705
division (C)(6) of this section.20706

       (D)(1) As used in this division:20707

       (a) "Daily bus miles per student" equals the number of bus20708
miles traveled per day, divided by transportation base.20709

       (b) "Transportation base" equals total student count as20710
defined in section 3301.011 of the Revised Code, minus the number20711
of students enrolled in preschool handicapped units, plus the20712
number of nonpublic school students included in transportation20713
ADM.20714

       (c) "Transported student percentage" equals transportation20715
ADM divided by transportation base.20716

       (d) "Transportation cost per student" equals total operating20717
costs for board-owned or contractor-operated school buses divided20718
by transportation base.20719

       (2) Analysis of student transportation cost data has resulted 20720
in a finding that an average efficient transportation use cost per 20721
student can be calculated by means of a regression formula that 20722
has as its two independent variables the number of daily bus miles 20723
per student and the transported student percentage. For fiscal20724
year 1998 transportation cost data, the average efficient20725
transportation use cost per student is expressed as follows:20726

51.79027 + (139.62626 X daily bus miles per student) +
20727

(116.25573 X transported student percentage)
20728

       The department of education shall annually determine the20729
average efficient transportation use cost per student in20730
accordance with the principles stated in division (D)(2) of this20731
section, updating the intercept and regression coefficients of the20732
regression formula modeled in this division, based on an annual20733
statewide analysis of each school district's daily bus miles per20734
student, transported student percentage, and transportation cost20735
per student data. The department shall conduct the annual update20736
using data, including daily bus miles per student, transported20737
student percentage, and transportation cost per student data, from20738
the prior fiscal year. The department shall notify the office of20739
budget and management of such update by the fifteenth day of20740
February of each year.20741

       (3) In addition to funds paid under divisions (A), (C), and20742
(E) of this section, each district with a transported student20743
percentage greater than zero shall receive a payment equal to a20744
percentage of the product of the district's transportation base20745
from the prior fiscal year times the annually updated average20746
efficient transportation use cost per student, times an inflation20747
factor of two and eight tenths per cent to account for the20748
one-year difference between the data used in updating the formula20749
and calculating the payment and the year in which the payment is20750
made. The percentage shall be the following percentage of that20751
product specified for the corresponding fiscal year:20752

FISCAL YEAR PERCENTAGE 20753
2000 52.5% 20754
2001 55% 20755
2002 57.5% 20756
2003 and thereafter The greater of 60% or the district's state share percentage 20757

       The payments made under division (D)(3) of this section each20758
year shall be calculated based on all of the same prior year's20759
data used to update the formula.20760

       (4) In addition to funds paid under divisions (D)(2) and (3)20761
of this section, a school district shall receive a rough road20762
subsidy if both of the following apply:20763

       (a) Its county rough road percentage is higher than the20764
statewide rough road percentage, as those terms are defined in20765
division (D)(5) of this section;20766

       (b) Its district student density is lower than the statewide20767
student density, as those terms are defined in that division.20768

       (5) The rough road subsidy paid to each district meeting the20769
qualifications of division (D)(4) of this section shall be20770
calculated in accordance with the following formula:20771

(per rough mile subsidy X total rough road miles)
20772

X density multiplier
20773

       where:20774

       (a) "Per rough mile subsidy" equals the amount calculated in20775
accordance with the following formula:20776

0.75 - {0.75 X [(maximum rough road percentage -
20777

county rough road percentage)/(maximum rough road
20778

percentage - statewide rough road percentage)]}
20779

       (i) "Maximum rough road percentage" means the highest county20780
rough road percentage in the state.20781

       (ii) "County rough road percentage" equals the percentage of20782
the mileage of state, municipal, county, and township roads that20783
is rated by the department of transportation as type A, B, C, E2,20784
or F in the county in which the school district is located or, if20785
the district is located in more than one county, the county to20786
which it is assigned for purposes of determining its20787
cost-of-doing-business factor.20788

       (iii) "Statewide rough road percentage" means the percentage20789
of the statewide total mileage of state, municipal, county, and20790
township roads that is rated as type A, B, C, E2, or F by the20791
department of transportation.20792

       (b) "Total rough road miles" means a school district's total20793
bus miles traveled in one year times its county rough road20794
percentage.20795

       (c) "Density multiplier" means a figure calculated in20796
accordance with the following formula:20797

1 - [(minimum student density - district student
20798

density)/(minimum student density -
20799

statewide student density)]
20800

       (i) "Minimum student density" means the lowest district20801
student density in the state.20802

       (ii) "District student density" means a school district's20803
transportation base divided by the number of square miles in the20804
district.20805

       (iii) "Statewide student density" means the sum of the20806
transportation bases for all school districts divided by the sum20807
of the square miles in all school districts.20808

       (6)(a) "Total cost of transportation" is equal to the cost of 20809
transporting qualifying riders using the following types of 20810
transportation:20811

       (i) Board-owned, leased, and operated school buses;20812

       (ii) School bus service contracted from another school, 20813
including transportation in a consortium arrangement on buses 20814
managed and reported by another district or entity;20815

       (iii) Contractor-owned, leased, and operated school buses.20816

       (b) "Qualifying riders" are students transported living over 20817
one mile from school in grades kindergarten through twelve, 20818
including students with dual enrollment in a joint vocational or 20819
cooperative education district, nonpublic school students, and 20820
community school students. Only students eligible for a 20821
transportation payment under section 3327.01 of the Revised Code 20822
shall be included in this count. This count shall be determined as 20823
the average number of students transported during the first full 20824
week of October, and reported as required by the department of 20825
education. Adjustments to this count may be made only in 20826
accordance with rules adopted by the department.20827

       (c) "Nontraditional riders" are those qualifying riders being 20828
educated in a community school or a nonpublic school.20829

       (d) "Total miles" is the total miles driven for all types of 20830
transportation as listed under division (D)(1)(a) of this section.20831

       (e) "Transportation state share percentage" is the district's 20832
state share percentage, as defined in division (B)(2) of this 20833
section, as determined by the department for the district's second 20834
June state education aid payment of the previous fiscal year.20835

       (f) "Assigned bus" means a bus used for transporting regular 20836
education qualifying riders.20837

       (2) For each school district, the department shall determine 20838
the statewide average cost per student as follows:20839

       (a) Determine the district's cost per student by dividing the 20840
total costs of transportation in the previous fiscal year by total 20841
qualifying riders in the previous fiscal year for each district.20842

       (b) Exclude from the determination under division (D)(2)(a) 20843
of this section the ten districts with the highest cost per 20844
student and the ten districts with the lowest cost per student.20845

       (c) After excluding the districts as prescribed in division 20846
(D)(2)(b) of this section, determine the statewide average cost 20847
per student by dividing the aggregate statewide total costs of 20848
transportation by the aggregate statewide total qualifying riders.20849

       (3) For each school district, the department shall determine 20850
the statewide average cost per mile as follows:20851

       (a) Determine the district's cost per mile by dividing the 20852
total costs of transportation in the previous fiscal year by the 20853
total miles in the previous fiscal year for each district.20854

       (b) Exclude from the determination made under division 20855
(D)(3)(a) of this section, the ten districts with the highest cost 20856
per mile and the ten districts with the lowest cost per mile.20857

       (c) After excluding the districts as prescribed in division 20858
(D)(3)(b) of this section, determine the statewide average cost 20859
per mile by dividing the aggregate statewide total miles for all 20860
districts by the aggregate statewide total qualifying riders.20861

       (4) For each school district, the department shall determine 20862
each district's base calculation as follows:20863

       (a) Determine the per student base by multiplying the state 20864
average cost per student as determined under division (D)(2)(a) of 20865
this section by the district's current year total qualifying 20866
riders.20867

       (b) Determine the per mile base by multiplying the state 20868
average cost per mile as determined under division (D)(3)(a) of 20869
this section by the district's current year total miles.20870

       (c) Determine the current year base by multiplying the 20871
greater of the amount determined under division (D)(4)(a) or (b) 20872
of this section by the greater of sixty per cent or the district's 20873
transportation state share percentage as defined under division 20874
(D)(1) of this section.20875

       (5) For each school district, the department calculate the 20876
district's nontraditional student adjustment as follows:20877

       (a) Determine the district's nontraditional student ratio by 20878
dividing total nontraditional riders by total qualifying riders.20879

       (b) Multiply the ratio determined under division (D)(5)(a) of 20880
this section by 0.1.20881

       (c) Multiply the product calculated under division (D)(5)(b) 20882
of this section by the district's current year base.20883

       (6) If a district provides any of the types of transportation 20884
listed in division (D)(1)(a) of this section to all of its high 20885
school students, the department shall multiply the district's 20886
current year base by 0.025.20887

       (7) If a district provides any of the types of transportation 20888
listed in division (D)(1)(a) of this section to students in grades 20889
kindergarten to eight living less than two miles from school but 20890
greater than one mile from school, the district's current year 20891
base shall be multiplied by 0.025.20892

       (8) For each school district, the department shall calculate 20893
an adjustment based upon efficiency. "Efficiency" means the 20894
ability to exceed a target number of riders per assigned bus. The 20895
target value shall be recalculated each year based upon current 20896
year data, and based upon the median riders per assigned bus.20897

       (a) Each district's efficiency target shall be adjusted based 20898
upon its ridership density, using a formula that compares its 20899
ridership density with other districts, and adjusts the ridership 20900
target based upon that relative density.20901

       (b) The efficiency index for each district shall be 20902
determined by dividing each district's current year qualifying 20903
riders per assigned bus by its target riders per assigned bus.20904

       (c) The efficiency adjustment for each district shall be as 20905
follows:20906

       (i) If the district's efficiency index is greater than or 20907
equal to 1.5, the efficiency adjustment is ten per cent times the 20908
current year base.20909

       (ii) If the district's efficiency index is less than 1.5 but 20910
greater than or equal to 1.0, the district's efficiency adjustment 20911
is as follows:20912

       [(the district's efficiency index minus one) divided by five] 20913
times the current year base.20914

       (iii) If the district's efficiency index is less than 1.0, 20915
the district's efficiency adjustment is zero.20916

       (d) The department shall publish on its web site the 20917
efficiency index for each district and the details of how the 20918
index was calculated.20919

       (9) Each district shall be paid the lesser of the amount 20920
described in division (D)(9)(a) or (b) of this section:20921

       (a) The sum of the amounts determined under divisions 20922
(D)(4)(c), (5)(c), (6), (7), and (8)(c) of this section;20923

       (b) The district's total actual cost from the prior fiscal 20924
year.20925

       (10) In addition to funds paid under divisions (D)(2) to (5)20926
division (D)(9) of this section, each district shall receive in 20927
accordance with rules adopted by the state board of education a 20928
payment for students transported by means other than board-owned 20929
or contractor-operated buses and whose transportation is not 20930
funded under division (G) of section 3317.024 of the Revised Code. 20931
The rules shall include provisions for school district reporting 20932
of such students.20933

       (E)(1) The department shall compute and distribute state20934
vocational education additional weighted costs funds to each20935
school district in accordance with the following formula:20936

state share percentage X
20937

the formula amount X
20938

total vocational education weight
20939

       In any fiscal year, a school district receiving funds under20940
division (E)(1) of this section shall spend those funds only for20941
the purposes that the department designates as approved for20942
vocational education expenses. Vocational educational expenses 20943
approved by the department shall include only expenses connected 20944
to the delivery of career-technical programming to 20945
career-technical students. The department shall require the school 20946
district to report data annually so that the department may 20947
monitor the district's compliance with the requirements regarding 20948
the manner in which funding received under division (E)(1) of this 20949
section may be spent.20950

       (2) The department shall compute for each school district20951
state funds for vocational education associated services in20952
accordance with the following formula:20953

state share percentage X .05 X the formula amount X
20954

the sum of categories one and two vocational education ADM
20955

       In any fiscal year, a school district receiving funds under20956
division (E)(2) of this section, or through a transfer of funds20957
pursuant to division (L) of section 3317.023 of the Revised Code,20958
shall spend those funds only for the purposes that the department20959
designates as approved for vocational education associated20960
services expenses, which may include such purposes as20961
apprenticeship coordinators, coordinators for other vocational20962
education services, vocational evaluation, and other purposes20963
designated by the department. The department may deny payment20964
under division (E)(2) of this section to any district that the20965
department determines is not operating those services or is using20966
funds paid under division (E)(2) of this section, or through a20967
transfer of funds pursuant to division (L) of section 3317.023 of20968
the Revised Code, for other purposes.20969

       (F) The actual local share in any fiscal year for the20970
combination of special education and related services additional20971
weighted costs funding calculated under division (C)(1) of this20972
section, transportation funding calculated under divisions (D)(2)20973
and (3) of this section, and vocational education and associated20974
services additional weighted costs funding calculated under20975
divisions (E)(1) and (2) of this section shall not exceed for any20976
school district the product of three and three-tenths mills times 20977
the district's recognized valuation. The department annually shall 20978
pay each school district as an excess cost supplement any amount 20979
by which the sum of the district's attributed local shares for 20980
that funding exceeds that product. For purposes of calculating the20981
excess cost supplement:20982

       (1) The attributed local share for special education and20983
related services additional weighted costs funding is the amount20984
specified in division (C)(2) of this section.20985

       (2) The attributed local share of transportation funding20986
equals the difference of the total amount calculated for the20987
district using the formula developed under division (D)(2) of this20988
section minus the actual amount paid to the district after20989
applying the percentage specified in division (D)(3) of this20990
sectionone hundred one per cent of the district's local share of 20991
transportation funding calculated by the department for the 20992
previous fiscal year.20993

       (3) The attributed local share of vocational education and20994
associated services additional weighted costs funding is the20995
amount determined as follows:20996

(1 - state share percentage) X
20997

[(total vocational education weight X
20998

the formula amount) + the payment under
20999

division (E)(2) of this section]
21000

       Sec. 3317.023.  (A) Notwithstanding section 3317.022 of the21001
Revised Code, the amounts required to be paid to a district under21002
this chapter shall be adjusted by the amount of the computations21003
made under divisions (B) to (O)(P) of this section.21004

       As used in this section:21005

       (1) "Classroom teacher" means a licensed employee who21006
provides direct instruction to pupils, excluding teachers funded21007
from money paid to the district from federal sources; educational21008
service personnel; and vocational and special education teachers.21009

       (2) "Educational service personnel" shall not include such21010
specialists funded from money paid to the district from federal21011
sources or assigned full-time to vocational or special education21012
students and classes and may only include those persons employed21013
in the eight specialist areas in a pattern approved by the21014
department of education under guidelines established by the state21015
board of education.21016

       (3) "Annual salary" means the annual base salary stated in21017
the state minimum salary schedule for the performance of the21018
teacher's regular teaching duties that the teacher earns for21019
services rendered for the first full week of October of the fiscal21020
year for which the adjustment is made under division (C) of this21021
section. It shall not include any salary payments for supplemental 21022
teachers contracts.21023

       (4) "Regular student population" means the formula ADM plus21024
the number of students reported as enrolled in the district21025
pursuant to division (A)(1) of section 3313.981 of the Revised21026
Code; minus the number of students reported under division (A)(2)21027
of section 3317.03 of the Revised Code; minus the FTE of students21028
reported under division (B)(6), (7), (8), (9), (10), (11), or (12) 21029
of that section who are enrolled in a vocational education class 21030
or receiving special education; and minus twenty per cent of the21031
students enrolled concurrently in a joint vocational school21032
district.21033

       (5) "State share percentage" has the same meaning as in21034
section 3317.022 of the Revised Code.21035

       (6) "VEPD" means a school district or group of school21036
districts designated by the department of education as being21037
responsible for the planning for and provision of vocational21038
education services to students within the district or group.21039

       (7) "Lead district" means a school district, including a21040
joint vocational school district, designated by the department as21041
a VEPD, or designated to provide primary vocational education21042
leadership within a VEPD composed of a group of districts.21043

       (B) If the district employs less than one full-time21044
equivalent classroom teacher for each twenty-five pupils in the21045
regular student population in any school district, deduct the sum21046
of the amounts obtained from the following computations:21047

       (1) Divide the number of the district's full-time equivalent21048
classroom teachers employed by one twenty-fifth;21049

       (2) Subtract the quotient in (1) from the district's regular21050
student population;21051

       (3) Multiply the difference in (2) by seven hundred fifty-two 21052
dollars.21053

       (C) If a positive amount, add one-half of the amount obtained 21054
by multiplying the number of full-time equivalent classroom 21055
teachers by:21056

       (1) The mean annual salary of all full-time equivalent21057
classroom teachers employed by the district at their respective21058
training and experience levels minus;21059

       (2) The mean annual salary of all such teachers at their21060
respective levels in all school districts receiving payments under21061
this section.21062

       The number of full-time equivalent classroom teachers used in21063
this computation shall not exceed one twenty-fifth of the21064
district's regular student population. In calculating the21065
district's mean salary under this division, those full-time21066
equivalent classroom teachers with the highest training level21067
shall be counted first, those with the next highest training level21068
second, and so on, in descending order. Within the respective21069
training levels, teachers with the highest years of service shall21070
be counted first, the next highest years of service second, and so21071
on, in descending order.21072

       (D) This division does not apply to a school district that21073
has entered into an agreement under division (A) of section21074
3313.42 of the Revised Code. Deduct the amount obtained from the21075
following computations if the district employs fewer than five21076
full-time equivalent educational service personnel, including21077
elementary school art, music, and physical education teachers,21078
counselors, librarians, visiting teachers, school social workers,21079
and school nurses for each one thousand pupils in the regular21080
student population:21081

       (1) Divide the number of full-time equivalent educational21082
service personnel employed by the district by five21083
one-thousandths;21084

       (2) Subtract the quotient in (1) from the district's regular21085
student population;21086

       (3) Multiply the difference in (2) by ninety-four dollars.21087

       (E) If a local school district, or a city or exempted village 21088
school district to which a governing board of an educational 21089
service center provides services pursuant to section 3313.843 of 21090
the Revised Code, deduct the amount of the payment required for 21091
the reimbursement of the governing board under section 3317.11 of 21092
the Revised Code.21093

       (F)(1) If the district is required to pay to or entitled to21094
receive tuition from another school district under division (C)(2)21095
or (3) of section 3313.64 or section 3313.65 of the Revised Code,21096
or if the superintendent of public instruction is required to21097
determine the correct amount of tuition and make a deduction or21098
credit under section 3317.08 of the Revised Code, deduct and21099
credit such amounts as provided in division (J) of section 3313.6421100
or section 3317.08 of the Revised Code.21101

       (2) For each child for whom the district is responsible for21102
tuition or payment under division (A)(1) of section 3317.082 or21103
section 3323.091 of the Revised Code, deduct the amount of tuition21104
or payment for which the district is responsible.21105

       (G) If the district has been certified by the superintendent21106
of public instruction under section 3313.90 of the Revised Code as21107
not in compliance with the requirements of that section, deduct an21108
amount equal to ten per cent of the amount computed for the21109
district under section 3317.022 of the Revised Code.21110

       (H) If the district has received a loan from a commercial21111
lending institution for which payments are made by the21112
superintendent of public instruction pursuant to division (E)(3)21113
of section 3313.483 of the Revised Code, deduct an amount equal to21114
such payments.21115

       (I)(1) If the district is a party to an agreement entered21116
into under division (D), (E), or (F) of section 3311.06 or21117
division (B) of section 3311.24 of the Revised Code and is21118
obligated to make payments to another district under such an21119
agreement, deduct an amount equal to such payments if the district21120
school board notifies the department in writing that it wishes to21121
have such payments deducted.21122

       (2) If the district is entitled to receive payments from21123
another district that has notified the department to deduct such21124
payments under division (I)(1) of this section, add the amount of21125
such payments.21126

       (J) If the district is required to pay an amount of funds to21127
a cooperative education district pursuant to a provision described21128
by division (B)(4) of section 3311.52 or division (B)(8) of21129
section 3311.521 of the Revised Code, deduct such amounts as21130
provided under that provision and credit those amounts to the21131
cooperative education district for payment to the district under21132
division (B)(1) of section 3317.19 of the Revised Code.21133

       (K)(1) If a district is educating a student entitled to21134
attend school in another district pursuant to a shared education21135
contract, compact, or cooperative education agreement other than21136
an agreement entered into pursuant to section 3313.842 of the21137
Revised Code, credit to that educating district on an FTE basis 21138
both of the following:21139

       (a) An amount equal to the greater of the following:21140

       (i) The fiscal year 2005 formula amount times the fiscal year 21141
2005 cost of doing business factor of the school district where 21142
the student is entitled to attend school pursuant to section 21143
3313.64 or 3313.65 of the Revised Code;21144

       (ii) The sum of (the current formula amount times the current 21145
cost-of-doing-business factor of the school district when the 21146
student is entitled to attend school pursuant to section 3313.64 21147
or 3313.65 of the Revised Code) plus the per pupil amount of the 21148
base funding supplements specified in divisions (C)(1) to (4) of 21149
section 3317.012 of the Revised Code.21150

       (b) An amount equal to the current formula amount times the 21151
state share percentage times any multiple applicable to the 21152
student pursuant to section 3317.013 or 3317.014 of the Revised 21153
Code.21154

       (2) Deduct any amount credited pursuant to division (K)(1) of21155
this section from amounts paid to the school district in which the 21156
student is entitled to attend school pursuant to section 3313.64 21157
or 3313.65 of the Revised Code.21158

       (3) If the district is required by a shared education21159
contract, compact, or cooperative education agreement to make21160
payments to an educational service center, deduct the amounts from21161
payments to the district and add them to the amounts paid to the21162
service center pursuant to section 3317.11 of the Revised Code.21163

       (L)(1) If a district, including a joint vocational school21164
district, is a lead district of a VEPD, credit to that district21165
the amounts calculated for all the school districts within that21166
VEPD pursuant to division (E)(2) of section 3317.022 of the21167
Revised Code.21168

       (2) Deduct from each appropriate district that is not a lead21169
district, the amount attributable to that district that is21170
credited to a lead district under division (L)(1) of this section.21171

       (M) If the department pays a joint vocational school district 21172
under division (G)(4) of section 3317.16 of the Revised Code for 21173
excess costs of providing special education and related services 21174
to a handicapped student, as calculated under division (G)(2) of 21175
that section, the department shall deduct the amount of that 21176
payment from the city, local, or exempted village school district 21177
that is responsible as specified in that section for the excess 21178
costs.21179

       (N)(1) If the district reports an amount of excess cost for 21180
special education services for a child under division (C) of 21181
section 3323.14 of the Revised Code, the department shall pay that 21182
amount to the district.21183

       (2) If the district reports an amount of excess cost for 21184
special education services for a child under division (C) of 21185
section 3323.14 of the Revised Code, the department shall deduct 21186
that amount from the district of residence of that child.21187

       (O) If the department of job and family services presents to 21188
the department of education a payment request through an 21189
intrastate transfer voucher for the nonfederal share of 21190
reimbursements made to a school district for medicaid services 21191
provided by the district, the department of education shall pay 21192
the amount of that request to the department of job and family 21193
services and shall deduct the amount of that payment from the 21194
district.21195

       (P) If the department is required to pay an amount under 21196
section 3353.25 of the Revised Code to a school district 21197
delivering a course included in the clearinghouse established 21198
under section 3353.21 of the Revised Code for a student enrolled 21199
in a school district, the department shall deduct that amount from 21200
the school district in which the student is enrolled.21201

       Sec. 3317.024.  In addition to the moneys paid to eligible21202
school districts pursuant to section 3317.022 of the Revised Code,21203
moneys appropriated for the education programs in divisions (A) to21204
(I), (K), (L), and (N) of this section shall be distributed to 21205
school districts meeting the requirements of section 3317.01 of 21206
the Revised Code; in the case of divisions (G) and (L) of this21207
section, to educational service centers as provided in section21208
3317.11 of the Revised Code; in the case of divisions (D) and (J) 21209
of this section, to county MR/DD boards; in the case of division 21210
(N) of this section, to joint vocational school districts; in the21211
case of division (H) of this section, to cooperative education 21212
school districts; and in the case of division (M) of this section, 21213
to the institutions defined under section 3317.082 of the Revised 21214
Code providing elementary or secondary education programs to 21215
children other than children receiving special education under 21216
section 3323.091 of the Revised Code. The following shall be 21217
distributed monthly, quarterly, or annually as may be determined 21218
by the state board of education:21219

       (A) An amount for each island school district and each joint21220
state school district for the operation of each high school and21221
each elementary school maintained within such district and for21222
capital improvements for such schools. Such amounts shall be21223
determined on the basis of standards adopted by the state board of21224
education.21225

       (B) An amount for each school district operating classes for21226
children of migrant workers who are unable to be in attendance in21227
an Ohio school during the entire regular school year. The amounts21228
shall be determined on the basis of standards adopted by the state21229
board of education, except that payment shall be made only for21230
subjects regularly offered by the school district providing the21231
classes.21232

       (C) An amount for each school district with guidance,21233
testing, and counseling programs approved by the state board of21234
education. The amount shall be determined on the basis of21235
standards adopted by the state board of education.21236

       (D) An amount for the emergency purchase of school buses as21237
provided for in section 3317.07 of the Revised Code;21238

       (E) An amount for each school district required to pay21239
tuition for a child in an institution maintained by the department21240
of youth services pursuant to section 3317.082 of the Revised21241
Code, provided the child was not included in the calculation of21242
the district's average daily membership for the preceding school21243
year.21244

       (F) An amount for adult basic literacy education for each21245
district participating in programs approved by the state board of21246
education. The amount shall be determined on the basis of21247
standards adopted by the state board of education.21248

       (G) An amount for the approved cost of transporting eligible 21249
pupils with disabilities attending a special education program 21250
approved by the department of education whom it is impossible or21251
impractical to transport by regular school bus in the course of21252
regular route transportation provided by the district or service21253
center. No district or service center is eligible to receive a21254
payment under this division for the cost of transporting any pupil21255
whom it transports by regular school bus and who is included in21256
the district's transportation ADM. The state board of education21257
shall establish standards and guidelines for use by the department21258
of education in determining the approved cost of such21259
transportation for each district or service center.21260

       (H) An amount to each school district, including each21261
cooperative education school district, pursuant to section 3313.8121262
of the Revised Code to assist in providing free lunches to needy21263
children and an amount to assist needy school districts in21264
purchasing necessary equipment for food preparation. The amounts21265
shall be determined on the basis of rules adopted by the state21266
board of education.21267

       (I) An amount to each school district, for each pupil21268
attending a chartered nonpublic elementary or high school within21269
the district. The amount shall equal the amount appropriated for21270
the implementation of section 3317.06 of the Revised Code divided21271
by the average daily membership in grades kindergarten through21272
twelve in nonpublic elementary and high schools within the state21273
as determined during the first full week in October of each school21274
year.21275

       (J) An amount for each county MR/DD board, distributed on the 21276
basis of standards adopted by the state board of education, for 21277
the approved cost of transportation required for children21278
attending special education programs operated by the county MR/DD21279
board under section 3323.09 of the Revised Code;21280

       (K) An amount for each school district that establishes a21281
mentor teacher program that complies with rules of the state board21282
of education. No school district shall be required to establish or21283
maintain such a program in any year unless sufficient funds are21284
appropriated to cover the district's total costs for the program.21285

       (L) An amount to each school district or educational service21286
center for the total number of gifted units approved pursuant to21287
section 3317.05 of the Revised Code. The amount for each such unit 21288
shall be the sum of the minimum salary for the teacher of the21289
unit, calculated on the basis of the teacher's training level and21290
years of experience pursuant to the salary schedule prescribed in21291
the version of section 3317.13 of the Revised Code in effect prior21292
to July 1, 2001, plus fifteen per cent of that minimum salary21293
amount, plus two thousand six hundred seventy-eight dollars.21294

       (M) An amount to each institution defined under section21295
3317.082 of the Revised Code providing elementary or secondary21296
education to children other than children receiving special21297
education under section 3323.091 of the Revised Code. This amount21298
for any institution in any fiscal year shall equal the total of21299
all tuition amounts required to be paid to the institution under21300
division (A)(1) of section 3317.082 of the Revised Code.21301

       (N) A grant to each school district and joint vocational21302
school district that operates a "graduation, reality, and21303
dual-role skills" (GRADS) program for pregnant and parenting21304
students that is approved by the department. The amount of the21305
payment shall be the district's state share percentage, as defined21306
in section 3317.022 or 3317.16 of the Revised Code, times the21307
GRADS personnel allowance times the full-time-equivalent number of21308
GRADS teachers approved by the department. The GRADS personnel21309
allowance is $47,555 in fiscal years 2004, 2005, 2006, and 200721310
2008 and 2009.21311

       The state board of education or any other board of education21312
or governing board may provide for any resident of a district or21313
educational service center territory any educational service for21314
which funds are made available to the board by the United States21315
under the authority of public law, whether such funds come21316
directly or indirectly from the United States or any agency or21317
department thereof or through the state or any agency, department,21318
or political subdivision thereof.21319

       Sec. 3317.025.  On or before the first day of June of each21320
year, the tax commissioner shall certify the following information21321
to the department of education and the office of budget and 21322
management, for each school district in which the value of the 21323
property described under division (A) of this section exceeds one 21324
per cent of the taxable value of all real and tangible personal 21325
property in the district or in which is located tangible personal 21326
property designed for use or used in strip mining operations, 21327
whose taxable value exceeds five million dollars, and the taxes 21328
upon which the district is precluded from collecting by virtue of 21329
legal proceedings to determine the value of such property:21330

       (A) The total taxable value of all property in the district21331
owned by a public utility or railroad that has filed a petition21332
for reorganization under the "Bankruptcy Act," 47 Stat. 147421333
(1898), 11 U.S.C. 205, as amended, and all tangible personal21334
property in the district designed for use or used in strip mining21335
operations whose taxable value exceeds five million dollars upon21336
which have not been paid in full on or before the first day of21337
April of that calendar year all real and tangible personal21338
property taxes levied for the preceding calendar year and which21339
the district was precluded from collecting by virtue of21340
proceedings under section 205 of said act or by virtue of legal21341
proceedings to determine the tax liability of such strip mining21342
equipment;21343

       (B) The percentage of the total operating taxes charged and21344
payable for school district purposes levied against such valuation21345
for the preceding calendar year that have not been paid by such21346
date;21347

       (C) The product obtained by multiplying the value certified21348
under division (A) of this section by the percentage certified21349
under division (B) of this section. If the value certified under21350
division (A) of this section includes taxable property owned by a21351
public utility or railroad that has filed a petition for21352
reorganization under the bankruptcy act, the amount used in making21353
the calculation under this division shall be reduced by one per21354
cent of the total value of all real and tangible personal property21355
in the district or the value of the utility's or railroad's21356
property, whichever is less.21357

       Upon receipt of the certification, the department shall21358
recompute the payments required under section 3317.022 of the21359
Revised Code in the manner the payments would have been computed21360
if:21361

       (1) The amount certified under division (C) of this section21362
was not subject to taxation by the district and was not included21363
in the certification made under division (A)(1), (A)(2), or (D) of21364
section 3317.021 of the Revised Code.21365

       (2) The amount of taxes charged and payable and unpaid and21366
used to make the computation under division (B) of this section21367
had not been levied and had not been used in the computation21368
required by division (B) of section 3317.021 of the Revised Code. 21369
The department shall pay the district that amount in the ensuing21370
fiscal year in lieu of the amounts computed under section 3317.02221371
of the Revised Code.21372

       If a school district received a grant from the catastrophic21373
expenditures account pursuant to division (C) of section 3316.2021374
of the Revised Code on the basis of the same circumstances for21375
which a recomputation is made under this section, the amount of21376
the recomputation shall be reduced and transferred in accordance21377
with division (C) of section 3316.20 of the Revised Code.21378

       Sec. 3317.026.  (A) As used in this section, "refunded taxes" 21379
means taxes charged and payable from real and tangible personal 21380
property, including public utility property, that have been found 21381
to have been overpaid as the result of reductions in the taxable 21382
value of such property and that have been refunded, including any 21383
interest or penalty refunded with those taxes. If taxes are 21384
refunded over a period of time pursuant to division (B)(2), (3), 21385
or (4) of section 319.36 or division (C) of section 5727.471 of 21386
the Revised Code, the total amount of taxes required to be 21387
refunded, excluding any interest accruing after the day the21388
undertaking is entered into, shall be considered to have been21389
refunded on the day the first portion of the overpayment is paid21390
or credited.21391

       (B) Not later than the last day of February each year, each21392
county auditor shall certify to the tax commissioner, for each21393
school district in the county, the amount of refunded taxes21394
refunded in the preceding calendar year and the reductions in21395
taxable value that resulted in those refunds, except for21396
reductions in taxable value that previously have been reported to21397
the tax commissioner on an abstract. If the tax commissioner21398
determines that the amount of refunded taxes certified for a21399
school district exceeds three per cent of the total taxes charged21400
and payable for current expenses of the school district for the21401
calendar year in which those taxes were refunded, the tax21402
commissioner shall certify the reductions in taxable value that21403
resulted in those refunds on or before the first day of June to21404
the department of education and the office of budget and 21405
management. Upon receiving the certification by the tax 21406
commissioner, the department of education shall reduce the total 21407
taxable value of the school district, as defined in section21408
3317.02 of the Revised Code, by the total amount of the reductions21409
in taxable value that resulted in those refunds for the purpose of21410
computing the SF-3 paymentstate education aid for the school 21411
district for the current fiscal year. The increase in the amount 21412
of such aid resulting from the adjustment required by this section 21413
shall be paid to the school district on or before the thirty-first 21414
day of July of the following fiscal year. The payment date shall 21415
be determined by the director of budget and management. The 21416
director shall select a payment date that is not earlier than the 21417
first day of June of the current fiscal year and not later than 21418
the thirty-first day of July of the following fiscal year. The 21419
department of education shall not pay the district under this 21420
section prior to approval by the director of budget and management 21421
to make that payment.21422

       If an adjustment is made under this division in the amount of 21423
state aid paid to a school district, the tax value reductions from 21424
which that adjustment results shall not be used in recomputing aid 21425
to a school district under section 3317.027 of the Revised Code.21426

       (C) If a school district received a grant from the21427
catastrophic expenditures account pursuant to division (C) of21428
section 3316.20 of the Revised Code on the basis of the same21429
circumstances for which an adjustment is made under this section,21430
the amount of the adjustment shall be reduced and transferred in21431
accordance with division (C) of section 3316.20 of the Revised21432
Code.21433

       (D) Not later than the first day of June each year, the tax21434
commissioner shall certify to the department of education and the 21435
office of budget and management for each school district the total 21436
of the increases in taxable value above the amount of taxable 21437
value on which tax was paid, as provided in division (B)(1) or (2) 21438
of section 5727.47 of the Revised Code, as determined by the 21439
commissioner, and for which a notification was sent pursuant to 21440
section 5727.471 of the Revised Code, in the preceding calendar 21441
year. Upon receiving the certification, the department shall 21442
increase the total taxable value, as defined in section 3317.02 of 21443
the Revised Code, of the school district by the total amount of 21444
the increase in taxable value certified by the commissioner for21445
the school district for the purpose of computing the school21446
district's SF-3 paymentstate education aid for the following 21447
fiscal year.21448

       Sec. 3317.027.  On or before the fifteenth day of May of each21449
year, the tax commissioner shall certify to the department of21450
education and the office of budget and management:21451

       (A) The amount by which applications filed under section21452
5713.38 of the Revised Code or complaints filed under section21453
5715.19 of the Revised Code resulted in a reduction in the second21454
preceding year's taxable value in each school district in which21455
such a reduction occurred, and the amount by which such reduction21456
reduced the district's taxes charged and payable for such year;21457
and21458

       (B) The taxes charged and payable for the second preceding21459
tax year that were remitted under section 5713.081 of the Revised21460
Code and the taxable value against which such taxes were imposed.21461

       Upon receipt of such certifications, the department shall21462
recompute the district's SF-3 paymentstate education aid and 21463
determine the amount that the SF-3 paymentstate education aid21464
would have been paid had the taxable value not been used in the21465
computation made under division (A)(1) of section 3317.021 of the21466
Revised Code and had the taxes charged and payable not been 21467
included in the certification made under division (A)(3) of such 21468
section. The department shall calculate the amount that the 21469
remainder of the fiscal year's payments should have been for the 21470
fiscal year including the amount of the SF-3 paymentstate 21471
education aid as recomputed. The increase or decrease in the 21472
amount of aid resulting from the adjustment required under this 21473
section shall be paid to the school district on or before the 21474
thirty-first day of July of the following fiscal year. The payment 21475
date shall be determined by the director of budget and management. 21476
The director shall select a payment date that is not earlier than 21477
the first day of June of the current fiscal year and not later 21478
than the thirty-first day of July of the following fiscal year. 21479
The department of education shall not pay the district under this 21480
section prior to approval by the director of budget and management 21481
to make that payment.21482

       If a school district received a grant from the catastrophic21483
expenditures account pursuant to division (C) of section 3316.2021484
of the Revised Code on the basis of the same circumstances for21485
which a recomputation is made under this section, the amount of21486
the recomputation shall be reduced and transferred in accordance21487
with division (C) of section 3316.20 of the Revised Code.21488

       Sec. 3317.028.  (A) On or before the fifteenth day of May in21489
each calendar year prior to calendar year 2007, the tax 21490
commissioner shall determine for each school district whether the 21491
taxable value of all tangible personal property, including utility 21492
tangible personal property, subject to taxation by the district in 21493
the preceding tax year was less or greater than the taxable value 21494
of such property during the second preceding tax year. If any such 21495
decrease exceeds five per cent of the district's tangible personal 21496
property taxable value included in the total taxable value used in 21497
computing the district's SF-3 paymentstate education aid for the 21498
fiscal year that ends in the current calendar year, or if any such 21499
increase exceeds five per cent of the district's total taxable 21500
value used in computing the district's SF-3 paymentstate 21501
education aid for the fiscal year that ends in the current 21502
calendar year, the tax commissioner shall certify both of the21503
following to the department of education and the office of budget 21504
and management:21505

       (1) The taxable value of the tangible personal property21506
increase or decrease, including utility tangible personal property21507
increase or decrease, which shall be considered a change in21508
valuation;21509

       (2) The decrease or increase in taxes charged and payable on21510
such change in taxable value calculated in the same manner as in21511
division (A)(3) of section 3317.021 of the Revised Code.21512

       (B) On or before May 15, 2007, and the fifteenth day of May 21513
in each calendar year thereafter, the tax commissioner shall 21514
determine for each school district whether the taxable value of 21515
all utility tangible personal property subject to taxation by the 21516
district in the preceding tax year was less or greater than the 21517
taxable value of such property during the second preceding tax 21518
year. If any decrease exceeds five per cent of the district's 21519
tangible personal property taxable value included in the total 21520
taxable value used in the district's state aid computation for the 21521
fiscal year that ends in the current calendar year, or if any 21522
increase exceeds five per cent of the district's total taxable 21523
value used in the district's state education aid computation for 21524
the fiscal year that ends in the current calendar year, the tax 21525
commissioner shall certify both of the following to the department 21526
of education and the office of budget and management:21527

       (1) The taxable value of the utility tangible personal 21528
property increase or decrease, which shall be considered a change 21529
in valuation;21530

       (2) The decrease or increase in taxes charged and payable on 21531
such change in taxable value calculated in the same manner as in 21532
division (A)(3) of section 3317.021 of the Revised Code.21533

       (C) Upon receipt of a certification specified in this 21534
section, the department of education shall reduce or increase by 21535
the respective amounts certified and the taxable value and the 21536
taxes charged and payable that were used in computing the 21537
district's SF-3 paymentstate education aid for the fiscal year 21538
that ends in the current calendar year and shall recompute the 21539
SF-3 paymentstate education aid for such fiscal year. The 21540
department shall pay the district a sum equal to one-half of the 21541
recomputed payments in lieu of the payments otherwise required21542
under that section on or before the thirty-first day of July of 21543
the following fiscal yearto or deduct from the district an amount 21544
equal to one-half of the difference between the district's state 21545
education aid prior to the recomputation under this section and 21546
the district's recomputed state education aid. The payment date 21547
shall be determined by the director of budget and management. The 21548
director shall select a payment date that is not earlier than the 21549
first day of June of the current fiscal year and not later than 21550
the thirty-first day of July of the following fiscal year. The 21551
department of education shall not pay the district under this 21552
section prior to approval by the director of budget and management 21553
to make that payment.21554

       (D) If a school district received a grant from the21555
catastrophic expenditures account pursuant to division (C) of21556
section 3316.20 of the Revised Code on the basis of the same21557
circumstances for which a recomputation is made under this21558
section, the amount of the recomputation shall be reduced and21559
transferred in accordance with division (C) of section 3316.20 of21560
the Revised Code.21561

       Sec. 3317.029.  (A) As used in this section:21562

       (1) "Poverty percentage" means the quotient obtained by21563
dividing the five-year average number of children ages five to21564
seventeen residing in the school district and living in a family21565
receiving assistance under the Ohio works first program or an 21566
antecedent program known as TANF or ADC for the preceding five 21567
years, as certified or adjusted under section 3317.10 of the 21568
Revised Code, by the district's three-year average formula ADM.21569

       (2) "Statewide poverty percentage" means the five-year21570
average of the total number of children ages five to seventeen21571
years residing in the state and receiving assistance under the21572
Ohio works first program or an antecedent program known as TANF or21573
ADC for the preceding five years, divided by the sum of the 21574
three-year average formula ADMs for all school districts in the 21575
state.21576

       (3) "Poverty index" means the quotient obtained by dividing 21577
the school district's poverty percentage by the statewide poverty 21578
percentage.21579

       (4) "Poverty student count" means the five-year average 21580
number of children ages five to seventeen residing in the school 21581
district and living in a family receiving assistance under the 21582
Ohio works first program or an antecedent program known as TANF or 21583
ADC for the preceding five years, as certified under section 21584
3317.10 of the Revised Code.21585

       (5) "Kindergarten ADM" means the number of students reported21586
under section 3317.03 of the Revised Code as enrolled in21587
kindergarten, excluding any kindergarten students reported under 21588
division (B)(3)(e), (f), or (g) of section 3317.03 of the Revised 21589
Code.21590

       (6) "Kindergarten through third grade ADM" means the amount21591
calculated as follows:21592

       (a) Multiply the kindergarten ADM by the sum of one plus the21593
all-day kindergarten percentage;21594

       (b) Add the number of students in grades one through three;21595

       (c) Subtract from the sum calculated under division (A)(6)(b) 21596
of this section the number of special education students in grades 21597
kindergarten through three.21598

        "Kindergarten through third grade ADM" shall not include any 21599
students reported under division (B)(3)(e), (f), or (g) of section 21600
3317.03 of the Revised Code.21601

       (7) "All-day kindergarten" means a kindergarten class that is21602
in session five days per week for not less than the same number of21603
clock hours each day as for pupils in grades one through six.21604

       (8) "All-day kindergarten percentage" means the percentage of21605
a district's actual total number of students enrolled in21606
kindergarten who are enrolled in all-day kindergarten.21607

       (9) "All-day kindergarten ADM" means the number of students 21608
reported under section 3317.03 of the Revised Code as enrolled in 21609
all-day kindergarten, excluding any kindergarten students reported 21610
under division (B)(3)(e), (f), or (g) of that section.21611

       (10) "Academic distress percentage" means the quotient of the 21612
number of district-operated buildings in the school district 21613
designated under section 3302.03 of the Revised Code as in a state 21614
of academic watch or academic emergency, divided by the total 21615
number of buildings in the district that were open for instruction 21616
during the same school year to which the ratings apply.21617

       (11) "Statewide academic distress percentage" means the 21618
quotient of the statewide number of school district buildings and 21619
community schools designated under section 3302.03 of the Revised 21620
Code as in a state of academic watch or academic emergency, 21621
divided by the statewide total number of school district buildings 21622
and community schools that were open for instruction during the 21623
same school year to which the ratings apply.21624

       (12) "Academic distress index" means the quotient of the 21625
school district's academic distress percentage, divided by the 21626
statewide academic distress percentage.21627

       (13) "Buildings with the highest concentration of need" means21628
the school buildings in a district withthat meet either of the 21629
following criteria:21630

       (a) Are in school improvement status pursuant to the "No 21631
Child Left Behind Act of 2001," as defined in section 3302.01 of 21632
the Revised Code;21633

       (b) Have percentages of students in grades kindergarten21634
through three receiving assistance under Ohio works first at least 21635
as high as the district-wide percentage of students receiving such21636
assistance. However, the district shall give priority to any of 21637
those buildings that have been declared to be in a state of 21638
academic watch or academic emergency under section 3302.03 of the 21639
Revised Code.21640

        If, in any fiscal year, the information provided by the21641
department of job and family services under section 3317.10 of the21642
Revised Code is insufficient to determine the Ohio works first 21643
percentage in each building, "buildings with the highest 21644
concentration of need" has the meaning given in rules that the 21645
department of education shall adopt. The rules shall base the21646
definition of "buildings with the highest concentration of need"21647
on family income of students in grades kindergarten through three21648
in a manner that, to the extent possible with available data,21649
approximates the intent of this division and division (K) of this21650
section to designate buildings where the Ohio works first 21651
percentage in those grades equals or exceeds the district-wide21652
Ohio works first percentage.21653

       (B) In addition to the amounts required to be paid to a21654
school district under section 3317.022 of the Revised Code, the21655
The department of education shall compute and distribute tofor21656
each school district for poverty-based assistance the greater of 21657
the following:21658

       (1) The amount the district received in fiscal year 2005 for 21659
disadvantaged pupil impact aid pursuant to Section 41.10 of Am. 21660
Sub. H.B. 95 of the 125th general assembly, as amended, minus the 21661
amount deducted from the district under Section 16 of Am. Sub. 21662
S.B. 2 of the 125th general assembly that year for payments to 21663
internet- and computer-based community schools;21664

       (2) The sum of the computations made under divisions (C) to 21665
(I)(J) of this section and shall pay that sum to the district in 21666
accordance with division (A) of section 3317.022 of the Revised 21667
Code.21668

       (C) A payment for academic intervention programs, if the 21669
district's poverty index is greater than or equal to 0.25, 21670
calculated as follows:21671

       (1) If the district's poverty index is greater than or equal 21672
to 0.25, calculate the district's level one amount for large-group 21673
academic intervention for all students as follows:21674

        (a) If the district's poverty index is greater than or equal 21675
to 0.25 but less than 0.75:21676

large-group intervention units X hourly rate X
21677

level one hours X [(poverty index – 0.25)/0.5]
21678

X phase-in percentage
21679

        Where:21680

        (i) "Large-group intervention units" equals the district's 21681
formula ADM divided by 20;21682

        (ii) "Hourly rate" equals $20.00$21.01 in fiscal year 200621683
2008 and $20.40$21.64 in fiscal year 20072009;21684

        (iii) "Level one hours" equals 25 hours;21685

       (iv) "Phase-in percentage" equals 0.60 in fiscal year 2006 21686
and 1.00 in fiscal year 2007.21687

        (b) If the district's poverty index is greater than or equal 21688
to 0.75:21689

large-group intervention units X hourly rate X
21690

level one hours
X phase-in percentage
21691

        Where "large-group intervention units," "hourly rate," and21692
"level one hours," and "phase-in percentage" have the same 21693
meanings as in division (C)(1)(a) of this section.21694

        (2) If the district's poverty index is greater than or equal 21695
to 0.75, calculate the district's level two amount for 21696
medium-group academic intervention for all students as follows:21697

        (a) If the district's poverty index is greater than or equal 21698
to 0.75 but less than 1.50:21699

medium-group intervention units X hourly rate
21700

X {level one hours + [25 hours X ((poverty index – 0.75)/0.75)]}
21701

X phase-in percentage
21702

        Where:21703

       (i) "Medium group intervention units" equals the district's 21704
formula ADM divided by 15;21705

       (ii) "Hourly rate," and "level one hours," and "phase-in 21706
percentage" have the same meanings as in division (C)(1)(a) of 21707
this section.21708

        (b) If the district's poverty index is greater than or equal 21709
to 1.50:21710

medium-group intervention units X hourly rate X
21711

level two hours
X phase-in percentage
21712

        Where:21713

        (i) "Medium group intervention units" has the same meaning as 21714
in division (C)(2)(a)(i) of this section;21715

       (ii) "Hourly rate" and "phase-in percentage" havehas the 21716
same meaningsmeaning as in division (C)(1)(a) of this section;21717

        (iii) "Level two hours" equals 50 hours.21718

        (3) If the district's poverty index is greater than or equal 21719
to 1.50, calculate the district's level three amount for 21720
small-group academic intervention for impoverished students as 21721
follows:21722

        (a) If the district's poverty index is greater than or equal 21723
to 1.50 but less than 2.50:21724

small group intervention units X hourly rate X
21725

{level one hours + [level three hours X
21726

(poverty index – 1.50)]}
X phase-in percentage
21727

        Where:21728

        (i) "Small group intervention units" equals the quotient of 21729
(the district's poverty student count times 3) divided by 10;21730

       (ii) "Hourly rate," and "level one hours," and "phase-in 21731
percentage" have the same meanings as in division (C)(1)(a) of 21732
this section;21733

        (iii) "Level three hours" equals 135 hours.21734

        (b) If the district's poverty index is greater than or equal 21735
to 2.50:21736

small group intervention units X hourly rate
21737

X level three hours
X phase-in percentage
21738

        Where:21739

        (i) "Small group intervention units" has the same meaning as 21740
in division (C)(3)(a)(i) of this section;21741

       (ii) "Hourly rate" and "phase-in percentage" havehas the 21742
same meaningsmeaning as in division (C)(1)(a) of this section;21743

        (iii) "Level three hours" equals 160 hours.21744

       Any district that receives funds under division (C)(2) or (3) 21745
of this section annually shall submit to the department of 21746
education by a date established by the department a plan 21747
describing how the district will deploy those funds. The 21748
deployment measures described in that plan shall comply with any 21749
applicable spending requirements prescribed in division (J)(6) of21750
this section or with any order issued by the superintendent of 21751
public instruction under section 3317.017 of the Revised Code.21752

       (D) A payment for all-day kindergarten if the poverty index 21753
of the school district is greater than or equal to 1.0 or if the21754
district's three-year average formula ADM exceeded seventeen21755
thousand five hundred. In addition, the department shall make a 21756
payment under this division to any school district that, in a 21757
prior fiscal year, qualified for this payment and provided all-day 21758
kindergarten, regardless of changes to the district's poverty 21759
index. The department shall calculate the payment under this 21760
division by multiplying the all-day kindergarten percentage by the21761
kindergarten ADM and multiplying that product by the formula21762
amount.21763

       (E) A class-size reduction payment for increased classroom 21764
learning opportunities based on calculating the number of new21765
teachers necessary to achieve a lower student-teacher ratio, as 21766
follows:21767

       (1) Determine or calculate a formula number of teachers per21768
one thousand students based on the poverty index of the school21769
district as follows:21770

       (a) If the poverty index of the school district is less than 21771
1.0, the formula number of teachers is 50.0, which is the number 21772
of teachers per one thousand students at a student-teacher ratio21773
of twenty to one;21774

       (b) If the poverty index of the school district is greater 21775
than or equal to 1.0, but less than 1.5, the formula number of 21776
teachers is calculated as follows:21777

50.0 + {[(poverty index – 1.0)/0.5] X 16.667}
21778

       Where 50.0 is the number of teachers per one thousand21779
students at a student-teacher ratio of twenty to one; 0.5 is the 21780
interval from a poverty index of 1.0 to a poverty index of 1.5; 21781
and 16.667 is the difference in the number of teachers per one 21782
thousand students at a student-teacher ratio of fifteen to one and 21783
the number of teachers per one thousand students at a 21784
student-teacher ratio of twenty to one.21785

       (c) If the poverty index of the school district is greater 21786
than or equal to 1.5, the formula number of teachers is 66.667,21787
which is the number of teachers per one thousand students at a21788
student-teacher ratio of fifteen to one.21789

       (2) Multiply the formula number of teachers determined or21790
calculated in division (E)(1) of this section by the kindergarten21791
through third grade ADM for the district and divide that product21792
by one thousand;21793

       (3) Calculate the number of new teachers as follows:21794

       (a) Multiply the kindergarten through third grade ADM by 21795
50.0, which is the number of teachers per one thousand students at 21796
a student-teacher ratio of twenty to one, and divide that product 21797
by one thousand;21798

       (b) Subtract the quotient obtained in division (E)(3)(a) of21799
this section from the product in division (E)(2) of this section.21800

       (4) Multiply the greater of the difference obtained under21801
division (E)(3) of this section or zero by the statewide average21802
teachers compensation. For this purpose, the "statewide average 21803
teacher compensation" is $53,680$56,754 in fiscal year 2006200821804
and $54,941$58,621 in fiscal year 20072009, which includes an 21805
amount for the value of fringe benefits.21806

       (F) A payment for services to limited English proficient 21807
students, if the district's poverty index is greater than or equal 21808
to 1.0 and the proportion of its students who are limited English 21809
proficient, as reported in 2003 on its school district report 21810
issued under section 3302.03 of the Revised Code for the 2002-2003 21811
school year, is greater than or equal to 2.0%, calculated as 21812
follows:21813

       (1) If the district's poverty index is greater than or equal 21814
to 1.0, but less than 1.75, determine the amount per limited 21815
English proficient student as follows:21816

{0.125 + [0.125 X ((poverty index - 1.0)/0.75)]}
21817

X formula amount
21818

       (2) If the district's poverty index is greater than or equal 21819
to 1.75, the amount per limited English proficient student equals:21820

0.25 X formula amount
21821

       (3) Multiply the per student amount determined for the 21822
district under division (F)(1) or (2) of this section by the 21823
number of the district's limited English proficient students, 21824
times a phase-in percentage of 0.40 in fiscal year 2006 and 0.70 21825
in fiscal year 2007years 2008 and 2009. For purposes of this 21826
calculation, the number of limited English proficient students for 21827
each district shall be the number determined by the department 21828
when it calculated the district's percentage of limited English 21829
proficient students for its school district report card issued in 21830
2003 for the 2002-2003 school year.21831

       Not later than December 31, 2006, the department of education 21832
shall recommend to the general assembly and the director of budget 21833
and management a method of identifying the number of limited 21834
English proficient students for purposes of calculating payments 21835
under this division after fiscal year 2007.21836

       (G) A payment for professional development of teachers, if 21837
the district's poverty index is greater than or equal to 1.0, 21838
calculated as follows:21839

       (1) If the district's poverty index is greater than or equal 21840
to 1.0, but less than 1.75, determine the amount per teacher as 21841
follows:21842

[(poverty index – 1.0)/0.75] X 0.045 X formula amount
21843

       (2) If the district's poverty index is greater than or equal 21844
to 1.75, the amount per teacher equals:21845

0.045 X formula amount
21846

       (3) Determine the number of teachers, as follows:21847

(formula ADM/17)
21848

       (4) Multiply the per teacher amount determined for the 21849
district under division (G)(1) or (2) of this section by the 21850
number of teachers determined under division (G)(3) of this 21851
section, times a phase-in percentage of 0.40 in fiscal year 2006 21852
and 0.70 in fiscal year 2007.21853

       (H) A payment for dropout prevention, if the district is a 21854
big eight school district as defined in section 3314.02 of the 21855
Revised Code, calculated as follows:21856

0.005 X formula amount X poverty index
21857

X formula ADM
X phase-in percentage
21858

       Where "phase-in percentage" equals 0.40 in fiscal year 2006 21859
and 0.70 in fiscal year 2007.21860

       (I) An amount for community outreach, if the district is an 21861
urban school district as defined in section 3314.02 of the Revised 21862
Code, calculated as follows:21863

0.005 X formula amount X poverty index X
21864

formula ADM
X phase-in percentage
21865

       Where "phase-in percentage" equals 0.40 in fiscal year 2006 21866
and 0.70 in fiscal year 2007.21867

       (J) A payment for assistance in closing the achievement gap, 21868
if the district's poverty index is greater than or equal to 1.0 21869
and its academic distress index is greater than or equal to 1.0, 21870
as determined based on the most recent report card issued under 21871
section 3302.03 of the Revised Code prior to the beginning of the 21872
fiscal year, calculated as follows:21873

       (1) In fiscal year 2008:21874

poverty index X academic distress index X
21875

(0.0015 X formula amount) X formula ADM
21876

       (2) In fiscal year 2009:21877

       (a) If the district's academic distress percentage is less 21878
than its academic distress percentage used for the prior fiscal 21879
year:21880

poverty index X academic distress index X
21881

(0.0015 X formula amount) X formula ADM X 1.035
21882

       (b) If the district's academic distress percentage is greater 21883
than or equal to its academic distress percentage used for the 21884
prior fiscal year:21885

poverty index X academic distress index X
21886

(0.0015 X formula amount) X formula ADM
21887

       (K) This division applies only to school districts whose 21888
poverty index is 1.0 or greater.that receive more than ten 21889
thousand dollars under this section. Except as provided in 21890
division (L) of this section with respect to funds paid under 21891
division (J)(2)(b) of this section, in division (M)(2) of this 21892
section with respect to funds paid under division (D) of this 21893
section, and in division (O) of this section, each such district 21894
shall use funds paid under this section only for one or more of 21895
the following purposes:21896

       (1) Each school district subject to this division shall first 21897
utilize funds received under this section so that, when combined 21898
with other funds of the district, sufficient funds exist toTo21899
provide all-day kindergarten to at least the number of children in 21900
the district's all-day kindergarten percentage. To satisfy this 21901
requirement, a district may use funds paid under division (C), 21902
(F), (G), (H), or (I) of this section to provide all-day 21903
kindergarten in addition to the all-day kindergarten payment under 21904
division (D) of this section.ADM;21905

       (2) Except as permitted under division (J)(1) of this 21906
section, each school district shall use its payment under division 21907
(F) of this section forTo provide services to students with 21908
limited English proficiency through one or more of the following 21909
purposesactivities:21910

       (a) To hireHiring teachers for limited English proficient 21911
students or other personnel to provide intervention services for 21912
those students;21913

       (b) To contractContracting for intervention services for 21914
those students;21915

       (c) To provideProviding other services to assist those 21916
students in passing the third-grade reading achievement test, and 21917
to provide for those students the intervention services required 21918
by section 3313.608 of the Revised Code.21919

       (3) Except as permitted under division (J)(1) of this 21920
section, each school district shall use its payment under division 21921
(G) of this section forTo provide professional development of 21922
teachers or other licensed personnel providing educational 21923
services to students only in one or more of the following areas:21924

       (a) Data-based decision making;21925

       (b) Standards-based curriculum models;21926

       (c) Job-embeddedHigh quality professional development 21927
activities that are research-based, as defined in federal lawby 21928
state standards developed under section 3319.61 of the Revised 21929
Code;21930

       (d) Professional learning communities.21931

       In addition, each district that elects to use funds paid 21932
under this section for professional development shall use the 21933
payment only to implement programs identified on a list of 21934
eligible professional development programs provided by the 21935
department of education. The department annually shall provide the 21936
list to each district receiving a payment under division (G) of21937
this section. However, a district may apply to the department for 21938
a waiver to implement an alternative professional development 21939
program in one or more of the areas specified in divisions 21940
(J)(3)(a) to (c) of this section. If the department grants the 21941
waiver, the district may use its payment under division (G) of 21942
this section to implement the alternative program.21943

       (4) Except as permitted under division (J)(1) of this 21944
section, each big eight school district shall use its payment 21945
under division (H) of this section either forFor preventing 21946
at-risk students from dropping out of school, for safety and 21947
security measures described in division (J)(5)(b) of this section, 21948
for academic intervention services described in division (J)(6) of 21949
this section, or for a combination of those purposes. Not later 21950
than September 1, 20052007, the department of education shall 21951
provide each big eight school district receiving a payment under 21952
this section with a list of dropout prevention programs that it 21953
has determined are successful. The department subsequently may 21954
update the list. Each district that elects to use its payment 21955
under division (H) of this section for dropout prevention shall 21956
use the payment only to implement a dropout prevention program 21957
specified on the department's list. However, a district may apply 21958
to the department for a waiver to implement an alternative dropout 21959
prevention program. If the department grants the waiver, the 21960
district may use its payment under division (H) of this section to 21961
implement the alternative program.21962

       (5) Except as permitted under division (J)(1) of this 21963
section, each urban school district that has a poverty index 21964
greater than or equal to 1.0 shall use its payment under division 21965
(I) of this section forFor one or a combinationboth of the 21966
following purposes:21967

       (a) To hire or contract for community liaison officers, 21968
attendance or truant officers, or safety and security personnel;21969

       (b) To implement programs designed to ensure that schools are 21970
free of drugs and violence and have a disciplined environment 21971
conducive to learning;21972

       (c) To implement academic intervention services described in 21973
division (J)(6) of this section.21974

       (6) Except as permitted under division (J)(1) of this 21975
section, each school district with a poverty index greater than or 21976
equal to 1.0 shall use the amount of its payment under division 21977
(C) of this section, and may use any amount of its payment under 21978
division (H) or (I) of this section, forFor academic intervention 21979
services for students who have failed or are in danger of failing 21980
any of the tests administered pursuant to section 3301.0710 of the 21981
Revised Code, including intervention services required by section21982
3313.608 of the Revised Code. Except as permitted under division 21983
(J)(1) of this section, no district shall spend any portion of its 21984
payment under division (C) of this section for any other purpose. 21985
Notwithstanding any provision to the contrary in Chapter 4117. of 21986
the Revised Code, no collective bargaining agreement entered into 21987
after June 30, 2005, shall require use of the payment for any 21988
other purpose.21989

       (7) Except as otherwise required by division (K) or permitted 21990
under division (O) of this section, all remaining funds21991
distributed under this section to districts with a poverty index 21992
greater than or equal to 1.0 shall be utilized for the purpose of21993
the third grade guarantee. The third grade guarantee consists of21994
For increased classroom learning opportunities by increasing the21995
amount of instructional attention received per pupil in21996
kindergarten through third grade, either by reducing the ratio of21997
students to instructional personnel or by increasing the amount of21998
instruction and curriculum-related activities by extending the21999
length of the school day or the school year.22000

       School districts may implement a reduction of the ratio of22001
students to instructional personnel through any or all of the22002
following methods:22003

       (a) Reducing the number of students in a classroom taught by22004
a single teacher;22005

       (b) Employing full-time educational aides or educational22006
paraprofessionals issued a permit or license under section22007
3319.088 of the Revised Code;22008

       (c) Instituting a team-teaching method that will result in a22009
lower student-teacher ratio in a classroom.22010

       Districts may extend the school day either by increasing the22011
amount of time allocated for each class, increasing the number of22012
classes provided per day, offering optional academic-related22013
after-school programs, providing curriculum-related extra22014
curricular activities, or establishing tutoring or remedial22015
services for students who have demonstrated an educational need.22016
In accordance with section 3319.089 of the Revised Code, a22017
district extending the school day pursuant to this division may22018
utilize a participant of the work experience program who has a22019
child enrolled in a public school in that district and who is22020
fulfilling the work requirements of that program by volunteering22021
or working in that public school. If the work experience program22022
participant is compensated, the school district may use the funds22023
distributed under this section for all or part of the22024
compensation.22025

       Districts may extend the school year either through adding22026
regular days of instruction to the school calendar or by providing22027
summer programs.22028

       (K) Each district shall not expend any funds received under 22029
division (E) of this section in any school buildings that are not 22030
buildings with the highest concentration of need, unless there is 22031
a ratio of instructional personnel to students of no more than 22032
fifteen to one in each kindergarten and first grade class in all22033
buildings with the highest concentration of need. This division 22034
does not require that the funds used in buildings with the highest 22035
concentration of need be spent solely to reduce the ratio of 22036
instructional personnel to students in kindergarten and first 22037
grade. A school district may spend the funds in those buildings in 22038
any manner permitted by division (J)(7) of this section, but may22039
not spend the money in other buildings unless the fifteen-to-one 22040
ratio required by this division is attained.22041

       (L)(1) By the first day of August of each fiscal year, each22042
(8) For early childhood programs or early learning programs, as 22043
defined by the department of education, for children age three or 22044
four who are not eligible for kindergarten;22045

       (9) To furnish, free of charge, materials used in courses of 22046
instruction, except for the necessary textbooks or electronic 22047
textbooks required to be furnished without charge pursuant to 22048
section 3329.06 of the Revised Code, to pupils living in families 22049
participating in Ohio works first in accordance with section 22050
3313.642 of the Revised Code;22051

       (10) For programs designed to reduce nonacademic barriers to 22052
learning, in accordance with guidelines developed by the 22053
department of education;22054

       (11) For school nutrition programs provided pursuant to 22055
section 3313.813 of the Revised Code.22056

       However, a school district may apply to the department, in 22057
the form and manner prescribed by the department, for a waiver to 22058
spend funds paid under this section for programs not described in 22059
divisions (K)(1) to (11) of this section. The waiver application 22060
shall specify the rationale for the alternative expenditure and 22061
the intended benefits for disadvantaged students. If the 22062
department grants the waiver, the district may use funds paid 22063
under this section to implement the alternative program.22064

       (L) This division applies only to funds paid under division 22065
(J)(2)(b) of this section.22066

       (1) If applicable, each school district shall use the funds 22067
for any necessary expenses for the continued operation of a school 22068
district academic distress commission appointed under section 22069
3302.10 of the Revised Code.22070

       (2) After satisfying the requirement of division (L)(1) of 22071
this section, each district shall spend the remaining funds only 22072
for one or more of the following purposes and only in buildings 22073
with the highest concentration of need:22074

       (a) Assistance in improving student performance;22075

       (b) Professional development for teachers and administrators;22076

       (c) Assistance in recruiting and retaining teachers and 22077
administrators.22078

       (M)(1) Each school district wishing to receive any funds 22079
under division (D) of this section shall submit to the department 22080
of education an estimate of itsthe number of students attending22081
all-day kindergarten percentagewhen reporting formula ADM under 22082
section 3317.03 of the Revised Code. Each district shall update 22083
its estimate throughout the fiscal year in the form and manner 22084
required by the department, and the department shall adjust 22085
payments under this section to reflect the updates.22086

       (2) Annually by the end of December, the department of22087
education, utilizing data from the information system established22088
under section 3301.0714 of the Revised Code, shall determine for 22089
each school district subject to division (J) of this section 22090
whether in the preceding fiscal year the district's ratio of 22091
instructional personnel to students and its number of kindergarten 22092
students receiving all-day kindergarten appear reasonable, given 22093
the amounts of money the district received for that fiscal year 22094
pursuant to divisions (D) and (E) of this section. If the 22095
department is unable to verify from the data available that 22096
students are receiving reasonable amounts of instructional 22097
attention and all-day kindergarten, given the funds the district22098
has received under this section and that class-size reduction22099
funds are being used in school buildings with the highest 22100
concentration of need as required by division (K) of this section, 22101
the department shall conduct a more intensive investigation to22102
ensure that funds have been expended as required by this section. 22103
The department shall file an annual report of its findings under22104
this division with the chairpersons of the committees in each 22105
house of the general assembly dealing with finance and education.22106

        (M)(1)(2) Each school district with a poverty index less than 22107
1.0 that receives a payment under division (D) of this section 22108
shall first utilize funds received under this section so that ,22109
when combined with other funds of the district, sufficient funds22110
existdivision to provide all-day kindergarten to at least the22111
number of children in the district's all-day kindergarten22112
percentage. To satisfy this requirement, a district may use funds 22113
paid under division (C) or (I) of this section to provide all-day 22114
kindergarten in addition to the all-day kindergarten payment under 22115
division (D) of this section.22116

       (2) Except as permitted under division (M)(1) of this 22117
section, each school district with a poverty index less than 1.0 22118
that receives a payment under division (C) of this section shall 22119
use its payment under that division in accordance with all 22120
requirements of division (J)(6) of this section.22121

       (3) Except as permitted under division (M)(1) of this 22122
section, each school district with a poverty index less than 1.0 22123
that receives a payment under division (I) of this section shall 22124
use its payment under that division for one or a combination of 22125
the following purposes:22126

       (a) To hire or contract for community liaison officers, 22127
attendance or truant officers, or safety and security personnel;22128

       (b) To implement programs designed to ensure that schools are 22129
free of drugs and violence and have a disciplined environment 22130
conducive to learning;22131

       (c) To implement academic intervention services described in 22132
division (J)(6) of this section.22133

       (4) Each school district to which division (M)(1), (2), or 22134
(3) of this section applies shall expend the remaining funds 22135
received under this section, and any other district with a poverty 22136
index less than 1.0 shall expend all funds received under this22137
section, for any of the following purposes:22138

       (a) The purchase of technology for instructional purposes for 22139
remediation;22140

       (b) All-day kindergarten;22141

       (c) Reduction of class sizes in grades kindergarten through 22142
three, as described in division (J)(7) of this section;22143

       (d) Summer school remediation;22144

       (e) Dropout prevention programs approved by the department of 22145
education under division (J)(4) of this section;22146

       (f) Guaranteeing that all third graders are ready to progress 22147
to more advanced work;22148

       (g) Summer education and work programs;22149

       (h) Adolescent pregnancy programs;22150

       (i) Head start, preschool, early childhood education, or 22151
early learning programs;22152

       (j) Reading improvement and remediation programs described by 22153
the department of education;22154

       (k) Programs designed to ensure that schools are free of22155
drugs and violence and have a disciplined environment conducive to22156
learning;22157

       (l) Furnishing, free of charge, materials used in courses of 22158
instruction, except for the necessary textbooks or electronic22159
textbooks required to be furnished without charge pursuant to22160
section 3329.06 of the Revised Code, to pupils living in families22161
participating in Ohio works first in accordance with section22162
3313.642 of the Revised Code;22163

       (m) School breakfasts provided pursuant to section 3313.81322164
of the Revised Code.22165

       (N) If at any time the superintendent of public instruction22166
determines that a school district receiving funds under division22167
(D) of this section has enrolled lessfewer than the number of22168
all-day kindergarten percentagestudents reported for that fiscal 22169
year, the superintendent shall withhold from the funds otherwise 22170
due the district under this section a proportional amount as 22171
determined by the difference in the certified all-day kindergarten 22172
percentageADM and the percentage actually enrolled inactual22173
all-day kindergarten ADM.22174

       The superintendent shall also withhold an appropriate amount22175
of funds otherwise due a district for any other misuse of funds22176
not in accordance with this section.22177

       (O)(1) A district may use a portion of the funds calculated22178
for itpaid under division (D) of this section to modify or 22179
purchase classroom space to provide all-day kindergarten, if both 22180
of the following conditions are met:22181

       (a) The district certifies to the department, in a manner22182
acceptable to the department, that it has a shortage of space for22183
providing all-day kindergarten.22184

       (b) The district provides all-day kindergarten to the number22185
of children in the all-day kindergarten percentage it certified22186
under this section.22187

       (2) A district may use a portion of the funds described in22188
division (J)(7) ofpaid under this section to modify or purchase 22189
classroom space to enable it to further reduce class size in 22190
grades kindergarten through two with a goal of attaining class 22191
sizes of fifteen students per licensed teacher. To do so, the 22192
district must certify its need for additional space to the 22193
department, in a manner satisfactory to the department.22194

       (P) Not later than the thirtieth day of September each year, 22195
each school district paid under this section shall report to the 22196
department, in the form and manner prescribed by the department, 22197
how the district deployed funds received under this section in the 22198
prior fiscal year. If a school district does not meet adequate 22199
progress standards as defined by the department, the department 22200
shall make recommendations to the district for deploying funds 22201
under this section in a more effective manner.22202

       Sec. 3317.0216.  (A) As used in this section:22203

       (1) "Total taxes charged and payable for current expenses"22204
means the sum of the taxes charged and payable as certified under22205
division (A)(3)(a) of section 3317.021 of the Revised Code less22206
any amounts reported under division (A)(3)(b) of that section, and22207
the tax distribution for the preceding year under any school22208
district income tax levied by the district pursuant to Chapter22209
5748. of the Revised Code to the extent the revenue from the22210
income tax is allocated or apportioned to current expenses.22211

       (2) "Charge-off amount" means two and three-tenths per cent 22212
multiplied by (the sum of recognized valuation and property 22213
exemption value).22214

       (3) Until fiscal year 2003, the "actual local share of22215
special education, transportation, and vocational education22216
funding" for any school district means the sum of the district's22217
attributed local shares described in divisions (F)(1) to (3) of22218
section 3317.022 of the Revised Code. Beginning in fiscal year22219
2003, the "actual local share of special education,22220
transportation, and vocational education funding" means that sum22221
minus the amount of any excess cost supplement payment calculated22222
for the district under division (F) of section 3317.022 of the22223
Revised Code.22224

       (4) "Current expense revenues from the tangible property tax 22225
replacement fund" means payments received from the school district 22226
tangible property tax replacement fund or the general revenue fund 22227
under section 5751.21 of the Revised Code for fixed-rate levies 22228
for current expenses and for fixed-sum levies for current 22229
expenses, including school district emergency levies under 22230
sections 5705.194 to 5705.197 of the Revised Code.22231

       (B) Upon receiving the certifications under section 3317.02122232
of the Revised Code, the department of education shall determine22233
for each city, local, and exempted village school district whether22234
the district's charge-off amount is greater than the sum of the 22235
district's total taxes charged and payable for current expenses 22236
and current expense revenues from the tangible property tax 22237
replacement fund, and if the charge-off amount is greater, shall 22238
pay the district the amount of the difference. A payment shall not 22239
be made to any school district for which the computation under 22240
division (A) of section 3317.022 of the Revised Code equals zero.22241

       (C)(1) If a district's charge-off amount is equal to or22242
greater than the sum of its total taxes charged and payable for 22243
current expenses and current expense revenues from the tangible 22244
property tax replacement fund, the department shall, in addition 22245
to the payment required under division (B) of this section, pay 22246
the district the amount of its actual local share of special22247
education, transportation, and vocational education funding.22248

       (2) If a district's charge-off amount is less than the sum of22249
its total taxes charged and payable for current expenses and 22250
current expense revenues from the tangible property tax 22251
replacement fund, the department shall pay the district any amount 22252
by which its actual local share of special education,22253
transportation, and vocational education funding exceeds the sum 22254
of its total taxes charged and payable for current expenses and 22255
current expense revenues from the tangible property tax 22256
replacement fund minus its charge-off amount.22257

       (D) If a school district that received a payment under 22258
division (B) or (C) of this section in the prior fiscal year is 22259
ineligible for payment under those divisions in the current fiscal 22260
year, the department shall determine if the ineligibility is the 22261
result of a property tax or income tax levy approved by the 22262
district's voters to take effect in tax year 2005 or thereafter. 22263
If the department determines that is the case, and calculates that 22264
the levy causing the ineligibility exceeded by at least one mill 22265
the equivalent millage of the prior year's payment under divisions 22266
(B) and (C) of this section, the department shall make a payment 22267
to the district for the first three years that the district loses 22268
eligibility for payment under divisions (B) and (C) of this 22269
section, as follows:22270

       (1) In the first year of ineligibility, the department shall 22271
pay the district seventy-five per cent of the amount it last paid 22272
the district under divisions (B) and (C) of this section.22273

       (2) In the second year of ineligibility, the department shall 22274
pay the district fifty per cent of the amount it last paid the 22275
district under those divisions.22276

       (3) In the third year of ineligibility, the department shall 22277
pay the district twenty-five per cent of the amount it last paid 22278
the district under those divisions.22279

       (E) A district that receives payment under division (D) of 22280
this section and subsequently qualifies for payment under division 22281
(B) or (C) of this section is ineligible for future payments under 22282
division (D) of this section.22283

       (F) To enable the department of education to make the 22284
determinations and to calculate payments under division (D) of 22285
this section, on the effective date of this amendmentMarch 30, 22286
2006, and on or before the first day of March of each year 22287
thereafter, the department shall send to the tax commissioner a 22288
list of school districts receiving payments under division (B) or 22289
(C) of this section for the current fiscal year. On or before the 22290
first day of the following June, the tax commissioner shall 22291
certify to the department of education for those school districts 22292
the information required by division (A)(8) of section 3317.021 of 22293
the Revised Code.22294

       Sec. 3317.0217. ThePayment of the amount calculated for a 22295
school district under this section shall be made under division 22296
(A) of section 3317.022 of the Revised Code.22297

       The department of education shall annually compute and pay22298
state parity aid to school districts, as follows:22299

       (A) Calculate the local wealth per pupil of each school22300
district, which equals the following sum:22301

       (1) Two-thirds times the quotient of (a) the district's22302
recognized valuation divided by (b) its formula ADM; plus22303

       (2) One-third times the quotient of (a) the average of the22304
total federal adjusted gross income of the school district's22305
residents for the three years most recently reported under section22306
3317.021 of the Revised Code divided by (b) its formula ADM.22307

       (B) Rank all school districts in order of local wealth per22308
pupil, from the district with the lowest local wealth per pupil to22309
the district with the highest local wealth per pupil.22310

       (C) Compute the per pupil state parity aid funding for each 22311
eligible school district in accordance with the following formula:22312

(threshold local wealth
22313

per pupil - the district's local
22314

wealth per pupil) X
0.0075
parity millage
22315

       Where:22316

       (1) Seven and one-half mills (0.0075) is an adjustment to the 22317
original parity aid standard of nine and one-half mills, to 22318
account for the general assembly's policy decision to phase-out 22319
use of the cost-of-doing-business factor in the base cost formula22320
In fiscal year 2008, an "eligible school district" means a school 22321
district with a local wealth per pupil less than that of the 22322
school district with the four-hundred-eleventh lowest local wealth 22323
per pupil. In fiscal year 2009, an "eligible school district" 22324
means a school district with a local wealth per pupil less than 22325
that of the school district with the three-hundred-sixty-eighth 22326
lowest local wealth per pupil.22327

       (2) The "threshold local wealth per pupil" is the local22328
wealth per pupil of the school district with the22329
four-hundred-ninetieth lowest local wealth per pupil.22330

       (3) "Parity millage," in fiscal year 2008, equals 0.0080 and, 22331
in fiscal year 2009, equals 0.0085.22332

       If the result of the calculation for a school district under22333
division (C) of this section is less than zero, the district's per22334
pupil parity aid shall be zero.22335

       (D) Compute the per pupil alternative parity aid for each22336
school district that has a combination of an income factor of 1.022337
or less, a poverty index of 1.0 or greater, and a fiscal year 200522338
cost-of-doing-business factor of 1.0375 or greater, in accordance22339
with the following formula:22340

Payment percentage X $60,000 X
22341

(1 - income factor) X 4/15 X 0.023
22342

       Where:22343

       (1) "Poverty index" has the same meaning as in section 22344
3317.029 of the Revised Code.22345

       (2) "Payment percentage," for purposes of division (D) of22346
this section, equals 50% in fiscal year 2002 and 100% after fiscal22347
year 2002.22348

       (3) "Fiscal year 2005 cost-of-doing-business factor" means 22349
the cost-of-doing-business factor in effect for fiscal year 2005 22350
designated under former division (N) of section 3317.02 of the 22351
Revised Code as that division existed in fiscal year 2005.22352

       (E) Pay each district that has a combination of an income22353
factor of 1.0 or less, a poverty index of 1.0 or greater, and a 22354
fiscal year 2005 cost-of-doing-business factor of 1.0375 or 22355
greater, the greater of the following:22356

       (1) The product of the district's per pupil parity aid22357
calculated under division (C) of this section times its net 22358
formula ADM;22359

       (2) The product of its per pupil alternative parity aid22360
calculated under division (D) of this section times its net 22361
formula ADM.22362

       (F) Pay every other district the product of its per pupil22363
parity aid calculated under division (C) of this section times its 22364
net formula ADM.22365

        (G) As used in divisions (E) and (F) of this section, "net 22366
formula ADM" means formula ADM minus the number of internet- and 22367
computer-based community school students and scholarship students 22368
reported under divisions (B)(3)(e), (f), and (g) of section 22369
3317.03 of the Revised Code.22370

       Sec. 3317.03.  Notwithstanding divisions (A)(1), (B)(1), and22371
(C) of this section, except as provided in division (A)(2)(h) of 22372
this section, any student enrolled in kindergarten more than half 22373
time shall be reported as one-half student under this section.22374

       (A) The superintendent of each city and exempted village22375
school district and of each educational service center shall, for22376
the schools under the superintendent's supervision, certify to the22377
state board of education on or before the fifteenth day of October22378
in each year for the first full school week in October the formula22379
ADM. Beginning in fiscal year 2007, each superintendent also shall 22380
certify to the state board, for the schools under the 22381
superintendent's supervision, the formula ADM for the first full 22382
week in February. If a school under the superintendent's 22383
supervision is closed for one or more days during that week due to 22384
hazardous weather conditions or other circumstances described in 22385
the first paragraph of division (B) of section 3317.01 of the 22386
Revised Code, the superintendent may apply to the superintendent 22387
of public instruction for a waiver, under which the superintendent 22388
of public instruction may exempt the district superintendent from 22389
certifying the formula ADM for that school for that week and 22390
specify an alternate week for certifying the formula ADM of that 22391
school.22392

       The formula ADM shall consist of the average daily membership 22393
during such week of the sum of the following:22394

       (1) On an FTE basis, the number of students in grades22395
kindergarten through twelve receiving any educational services22396
from the district, except that the following categories of22397
students shall not be included in the determination:22398

       (a) Students enrolled in adult education classes;22399

       (b) Adjacent or other district students enrolled in the22400
district under an open enrollment policy pursuant to section22401
3313.98 of the Revised Code;22402

       (c) Students receiving services in the district pursuant to a 22403
compact, cooperative education agreement, or a contract, but who22404
are entitled to attend school in another district pursuant to22405
section 3313.64 or 3313.65 of the Revised Code;22406

       (d) Students for whom tuition is payable pursuant to sections 22407
3317.081 and 3323.141 of the Revised Code;22408

       (e) Students receiving services in the district through a 22409
scholarship awarded under either section 3310.41 or sections 22410
3310.51 to 3310.63 of the Revised Code.22411

       (2) On an FTE basis, except as provided in division (A)(2)(h) 22412
of this section, the number of students entitled to attend school 22413
in the district pursuant to section 3313.64 or 3313.65 of the22414
Revised Code, but receiving educational services in grades 22415
kindergarten through twelve from one or more of the following 22416
entities:22417

       (a) A community school pursuant to Chapter 3314. of the22418
Revised Code, including any participation in a college pursuant to22419
Chapter 3365. of the Revised Code while enrolled in such community22420
school;22421

       (b) An alternative school pursuant to sections 3313.974 to22422
3313.979 of the Revised Code as described in division (I)(2)(a) or22423
(b) of this section;22424

       (c) A college pursuant to Chapter 3365. of the Revised Code,22425
except when the student is enrolled in the college while also22426
enrolled in a community school pursuant to Chapter 3314. of the22427
Revised Code;22428

       (d) An adjacent or other school district under an open22429
enrollment policy adopted pursuant to section 3313.98 of the22430
Revised Code;22431

       (e) An educational service center or cooperative education22432
district;22433

       (f) Another school district under a cooperative education22434
agreement, compact, or contract;22435

       (g) A chartered nonpublic school with a scholarship paid 22436
under section 3310.08 of the Revised Code;22437

        (h) An alternative public provider or a registered private 22438
provider with a scholarship awarded under either section 3310.41 22439
or sections 3310.51 to 3310.63 of the Revised Code. Each such 22440
scholarship student who is enrolled in kindergarten shall be 22441
counted as one full-time-equivalent student.22442

       As used in this section, "alternative public provider" and 22443
"registered private provider" have the same meanings as in section 22444
3310.41 or 3310.51 of the Revised Code, as applicable.22445

       (3) Twenty per cent of the number of students enrolled in a 22446
joint vocational school district or under a vocational education22447
compact, excluding any students entitled to attend school in the22448
district under section 3313.64 or 3313.65 of the Revised Code who22449
are enrolled in another school district through an open enrollment22450
policy as reported under division (A)(2)(d) of this section and22451
then enroll in a joint vocational school district or under a22452
vocational education compact;22453

       (4) The number of handicapped children, other than22454
handicapped preschool children, entitled to attend school in the22455
district pursuant to section 3313.64 or 3313.65 of the Revised22456
Code who are placed by the district with a county MR/DD board, 22457
minus the number of such children placed with a county MR/DD board 22458
in fiscal year 1998. If this calculation produces a negative 22459
number, the number reported under division (A)(4) of this section 22460
shall be zero.22461

       (5) Beginning in fiscal year 2007, in the case of the report 22462
submitted for the first full week in February, or the alternative 22463
week if specified by the superintendent of public instruction, the 22464
number of students reported under division (A)(1) or (2) of this 22465
section for the first full week of the preceding October but who 22466
since that week have received high school diplomas.22467

       (B) To enable the department of education to obtain the data22468
needed to complete the calculation of payments pursuant to this22469
chapter, in addition to the formula ADM, each superintendent shall22470
report separately the following student counts for the same week 22471
for which formula ADM is certified:22472

       (1) The total average daily membership in regular day classes 22473
included in the report under division (A)(1) or (2) of this22474
section for kindergarten, and each of grades one through twelve in22475
schools under the superintendent's supervision;22476

       (2) The number of all handicapped preschool children enrolled 22477
as of the first day of December in classes in the district that 22478
are eligible for approval under division (B) of section 3317.05 22479
of the Revised Code and the number of those classes, which shall 22480
be reported not later than the fifteenth day of December, in 22481
accordance with rules adopted under that section;22482

       (3) The number of children entitled to attend school in the22483
district pursuant to section 3313.64 or 3313.65 of the Revised22484
Code who are:22485

       (a) Participating in a pilot project scholarship program22486
established under sections 3313.974 to 3313.979 of the Revised22487
Code as described in division (I)(2)(a) or (b) of this section;22488

       (b) Enrolled in a college under Chapter 3365. of the Revised 22489
Code, except when the student is enrolled in the college while 22490
also enrolled in a community school pursuant to Chapter 3314. of 22491
the Revised Code;22492

       (c) Enrolled in an adjacent or other school district under 22493
section 3313.98 of the Revised Code;22494

       (d) Enrolled in a community school established under Chapter 22495
3314. of the Revised Code that is not an internet- or 22496
computer-based community school as defined in section 3314.02 of 22497
the Revised Code, including any participation in a college22498
pursuant to Chapter 3365. of the Revised Code while enrolled in 22499
such community school;22500

       (e) Enrolled in an internet- or computer-based community 22501
school, as defined in section 3314.02 of the Revised Code, 22502
including any participation in a college pursuant to Chapter 3365. 22503
of the Revised Code while enrolled in the school;22504

        (f) Enrolled in a chartered nonpublic school with a 22505
scholarship paid under section 3310.08 of the Revised Code;22506

       (g) Enrolled in kindergarten through grade twelve in an 22507
alternative public provider or a registered private provider with 22508
a scholarship awarded under either section 3310.41 or sections 22509
3310.51 to 3310.63 of the Revised Code;22510

        (h) Enrolled as a handicapped preschool child in an 22511
alternative public provider or a registered private provider with 22512
a scholarship awarded under section 3310.41 of the Revised Code;22513

       (i) Participating in a program operated by a county MR/DD 22514
board or a state institution.22515

       (4) The number of pupils enrolled in joint vocational22516
schools;22517

       (5) The combined average daily membership of handicapped 22518
children reported under division (A)(1) or (2) of this section 22519
receiving special education services for the category one handicap 22520
described in division (A) of section 3317.013 of the Revised Code, 22521
including children attending a special education program operated 22522
by an alternative public provider or a registered private provider 22523
with a scholarship awarded under sections 3310.51 to 3310.63 of 22524
the Revised Code;22525

       (6) The combined average daily membership of handicapped 22526
children reported under division (A)(1) or (2) of this section 22527
receiving special education services for category two handicaps 22528
described in division (B) of section 3317.013 of the Revised Code, 22529
including children attending a special education program operated 22530
by an alternative public provider or a registered private provider 22531
with a scholarship awarded under sections 3310.51 to 3310.63 of 22532
the Revised Code;22533

       (7) The combined average daily membership of handicapped 22534
children reported under division (A)(1) or (2) of this section 22535
receiving special education services for category three handicaps 22536
described in division (C) of section 3317.013 of the Revised Code, 22537
including children attending a special education program operated 22538
by an alternative public provider or a registered private provider 22539
with a scholarship awarded under sections 3310.51 to 3310.63 of 22540
the Revised Code;22541

       (8) The combined average daily membership of handicapped 22542
children reported under division (A)(1) or (2) of this section 22543
receiving special education services for category four handicaps 22544
described in division (D) of section 3317.013 of the Revised Code, 22545
including children attending a special education program operated 22546
by an alternative public provider or a registered private provider 22547
with a scholarship awarded under sections 3310.51 to 3310.63 of 22548
the Revised Code;22549

       (9) The combined average daily membership of handicapped 22550
children reported under division (A)(1) or (2) of this section 22551
receiving special education services for the category five 22552
handicap described in division (E) of section 3317.013 of the 22553
Revised Code, including children attending a special education 22554
program operated by an alternative public provider or a registered 22555
private provider with a scholarship awarded under sections 3310.51 22556
to 3310.63 of the Revised Code;22557

       (10) The combined average daily membership of handicapped 22558
children reported under division (A)(1) or (2) and under division 22559
(B)(3)(h) of this section receiving special education services for 22560
category six handicaps described in division (F) of section 22561
3317.013 of the Revised Code, including children attending a 22562
special education program operated by an alternative public 22563
provider or a registered private provider with a scholarship 22564
awarded under either section 3310.41 or sections 3310.51 to 22565
3310.63 of the Revised Code;22566

       (11) The average daily membership of pupils reported under22567
division (A)(1) or (2) of this section enrolled in category one22568
vocational education programs or classes, described in division22569
(A) of section 3317.014 of the Revised Code, operated by the22570
school district or by another district, other than a joint22571
vocational school district, or by an educational service center, 22572
excluding any student reported under division (B)(3)(e) of this 22573
section as enrolled in an internet- or computer-based community 22574
school, notwithstanding division (C) of section 3317.02 of the 22575
Revised Code and division (C)(3) of this section;22576

       (12) The average daily membership of pupils reported under22577
division (A)(1) or (2) of this section enrolled in category two22578
vocational education programs or services, described in division22579
(B) of section 3317.014 of the Revised Code, operated by the22580
school district or another school district, other than a joint22581
vocational school district, or by an educational service center, 22582
excluding any student reported under division (B)(3)(e) of this 22583
section as enrolled in an internet- or computer-based community 22584
school, notwithstanding division (C) of section 3317.02 of the 22585
Revised Code and division (C)(3) of this section;22586

       (13) The average number of children transported by the school 22587
district on board-owned or contractor-owned and -operated buses,22588
reported in accordance with rules adopted by the department of 22589
education;22590

       (14)(a) The number of children, other than handicapped22591
preschool children, the district placed with a county MR/DD board22592
in fiscal year 1998;22593

       (b) The number of handicapped children, other than22594
handicapped preschool children, placed with a county MR/DD board22595
in the current fiscal year to receive special education services22596
for the category one handicap described in division (A) of section22597
3317.013 of the Revised Code;22598

       (c) The number of handicapped children, other than22599
handicapped preschool children, placed with a county MR/DD board22600
in the current fiscal year to receive special education services22601
for category two handicaps described in division (B) of section22602
3317.013 of the Revised Code;22603

       (d) The number of handicapped children, other than22604
handicapped preschool children, placed with a county MR/DD board22605
in the current fiscal year to receive special education services22606
for category three handicaps described in division (C) of section 22607
3317.013 of the Revised Code;22608

       (e) The number of handicapped children, other than22609
handicapped preschool children, placed with a county MR/DD board22610
in the current fiscal year to receive special education services22611
for category four handicaps described in division (D) of section22612
3317.013 of the Revised Code;22613

       (f) The number of handicapped children, other than22614
handicapped preschool children, placed with a county MR/DD board22615
in the current fiscal year to receive special education services22616
for the category five handicap described in division (E) of22617
section 3317.013 of the Revised Code;22618

       (g) The number of handicapped children, other than22619
handicapped preschool children, placed with a county MR/DD board22620
in the current fiscal year to receive special education services22621
for category six handicaps described in division (F) of section22622
3317.013 of the Revised Code.22623

       (C)(1) Except as otherwise provided in this section for22624
kindergarten students, the average daily membership in divisions22625
(B)(1) to (12) of this section shall be based upon the number of22626
full-time equivalent students. The state board of education shall22627
adopt rules defining full-time equivalent students and for22628
determining the average daily membership therefrom for the22629
purposes of divisions (A), (B), and (D) of this section.22630

       (2) A student enrolled in a community school established22631
under Chapter 3314. of the Revised Code shall be counted in the22632
formula ADM and, if applicable, the category one, two, three,22633
four, five, or six special education ADM of the school district in22634
which the student is entitled to attend school under section22635
3313.64 or 3313.65 of the Revised Code for the same proportion of22636
the school year that the student is counted in the enrollment of22637
the community school for purposes of section 3314.08 of the22638
Revised Code.22639

        (3) No child shall be counted as more than a total of one22640
child in the sum of the average daily memberships of a school22641
district under division (A), divisions (B)(1) to (12), or division22642
(D) of this section, except as follows:22643

       (a) A child with a handicap described in section 3317.013 of22644
the Revised Code may be counted both in formula ADM and in22645
category one, two, three, four, five, or six special education ADM 22646
and, if applicable, in category one or two vocational education22647
ADM. As provided in division (C) of section 3317.02 of the Revised 22648
Code, such a child shall be counted in category one, two, three, 22649
four, five, or six special education ADM in the same proportion 22650
that the child is counted in formula ADM.22651

       (b) A child enrolled in vocational education programs or22652
classes described in section 3317.014 of the Revised Code may be22653
counted both in formula ADM and category one or two vocational22654
education ADM and, if applicable, in category one, two, three,22655
four, five, or six special education ADM. Such a child shall be22656
counted in category one or two vocational education ADM in the22657
same proportion as the percentage of time that the child spends in22658
the vocational education programs or classes.22659

       (4) Based on the information reported under this section, the22660
department of education shall determine the total student count,22661
as defined in section 3301.011 of the Revised Code, for each22662
school district.22663

       (D)(1) The superintendent of each joint vocational school22664
district shall certify to the superintendent of public instruction22665
on or before the fifteenth day of October in each year for the22666
first full school week in October the formula ADM. Beginning in 22667
fiscal year 2007, each superintendent also shall certify to the 22668
state superintendent the formula ADM for the first full week in 22669
February. If a school operated by the joint vocational school 22670
district is closed for one or more days during that week due to 22671
hazardous weather conditions or other circumstances described in 22672
the first paragraph of division (B) of section 3317.01 of the 22673
Revised Code, the superintendent may apply to the superintendent 22674
of public instruction for a waiver, under which the superintendent 22675
of public instruction may exempt the district superintendent from 22676
certifying the formula ADM for that school for that week and 22677
specify an alternate week for certifying the formula ADM of that 22678
school.22679

       The formula ADM, except as otherwise provided in this 22680
division, shall consist of the average daily membership during 22681
such week, on an FTE basis, of the number of students receiving 22682
any educational services from the district, including students 22683
enrolled in a community school established under Chapter 3314. of 22684
the Revised Code who are attending the joint vocational district 22685
under an agreement between the district board of education and the22686
governing authority of the community school and are entitled to22687
attend school in a city, local, or exempted village school22688
district whose territory is part of the territory of the joint22689
vocational district. Beginning in fiscal year 2007, in the case of 22690
the report submitted for the first week in February, or the 22691
alternative week if specified by the superintendent of public 22692
instruction, the superintendent of the joint vocational school 22693
district may include the number of students reported under 22694
division (D)(1) of this section for the first full week of the 22695
preceding October but who since that week have received high 22696
school diplomas.22697

        The following categories of students shall not be included in 22698
the determination made under division (D)(1) of this section:22699

       (a) Students enrolled in adult education classes;22700

       (b) Adjacent or other district joint vocational students22701
enrolled in the district under an open enrollment policy pursuant22702
to section 3313.98 of the Revised Code;22703

       (c) Students receiving services in the district pursuant to a 22704
compact, cooperative education agreement, or a contract, but who22705
are entitled to attend school in a city, local, or exempted22706
village school district whose territory is not part of the22707
territory of the joint vocational district;22708

       (d) Students for whom tuition is payable pursuant to sections22709
3317.081 and 3323.141 of the Revised Code.22710

       (2) To enable the department of education to obtain the data22711
needed to complete the calculation of payments pursuant to this22712
chapter, in addition to the formula ADM, each superintendent shall22713
report separately the average daily membership included in the22714
report under division (D)(1) of this section for each of the22715
following categories of students for the same week for which 22716
formula ADM is certified:22717

       (a) Students enrolled in each grade included in the joint22718
vocational district schools;22719

       (b) Handicapped children receiving special education services22720
for the category one handicap described in division (A) of section 22721
3317.013 of the Revised Code;22722

       (c) Handicapped children receiving special education services22723
for the category two handicaps described in division (B) of 22724
section 3317.013 of the Revised Code;22725

       (d) Handicapped children receiving special education services 22726
for category three handicaps described in division (C) of section 22727
3317.013 of the Revised Code;22728

       (e) Handicapped children receiving special education services22729
for category four handicaps described in division (D) of section22730
3317.013 of the Revised Code;22731

       (f) Handicapped children receiving special education services 22732
for the category five handicap described in division (E) of22733
section 3317.013 of the Revised Code;22734

       (g) Handicapped children receiving special education services 22735
for category six handicaps described in division (F) of section 22736
3317.013 of the Revised Code;22737

       (h) Students receiving category one vocational education22738
services, described in division (A) of section 3317.014 of the22739
Revised Code;22740

       (i) Students receiving category two vocational education22741
services, described in division (B) of section 3317.014 of the22742
Revised Code.22743

       The superintendent of each joint vocational school district22744
shall also indicate the city, local, or exempted village school22745
district in which each joint vocational district pupil is entitled22746
to attend school pursuant to section 3313.64 or 3313.65 of the22747
Revised Code.22748

       (E) In each school of each city, local, exempted village,22749
joint vocational, and cooperative education school district there22750
shall be maintained a record of school membership, which record22751
shall accurately show, for each day the school is in session, the22752
actual membership enrolled in regular day classes. For the purpose 22753
of determining average daily membership, the membership figure of 22754
any school shall not include any pupils except those pupils 22755
described by division (A) of this section. The record of22756
membership for each school shall be maintained in such manner that22757
no pupil shall be counted as in membership prior to the actual22758
date of entry in the school and also in such manner that where for22759
any cause a pupil permanently withdraws from the school that pupil22760
shall not be counted as in membership from and after the date of22761
such withdrawal. There shall not be included in the membership of22762
any school any of the following:22763

       (1) Any pupil who has graduated from the twelfth grade of a22764
public or nonpublic high school;22765

       (2) Any pupil who is not a resident of the state;22766

       (3) Any pupil who was enrolled in the schools of the district 22767
during the previous school year when tests were administered under 22768
section 3301.0711 of the Revised Code but did not take one or more 22769
of the tests required by that section and was not excused pursuant 22770
to division (C)(1) or (3) of that section;22771

       (4) Any pupil who has attained the age of twenty-two years,22772
except for veterans of the armed services whose attendance was22773
interrupted before completing the recognized twelve-year course of22774
the public schools by reason of induction or enlistment in the22775
armed forces and who apply for reenrollment in the public school22776
system of their residence not later than four years after22777
termination of war or their honorable discharge.22778

       If, however, any veteran described by division (E)(4) of this22779
section elects to enroll in special courses organized for veterans22780
for whom tuition is paid under the provisions of federal laws, or22781
otherwise, that veteran shall not be included in average daily22782
membership.22783

       Notwithstanding division (E)(3) of this section, the22784
membership of any school may include a pupil who did not take a22785
test required by section 3301.0711 of the Revised Code if the22786
superintendent of public instruction grants a waiver from the22787
requirement to take the test to the specific pupil and a parent is 22788
not paying tuition for the pupil pursuant to section 3313.6410 of 22789
the Revised Code. The superintendent may grant such a waiver only 22790
for good cause in accordance with rules adopted by the state board 22791
of education.22792

       Except as provided in divisions (B)(2) and (F) of this 22793
section, the average daily membership figure of any local, city,22794
exempted village, or joint vocational school district shall be22795
determined by dividing the figure representing the sum of the22796
number of pupils enrolled during each day the school of attendance22797
is actually open for instruction during the week for which the 22798
formula ADM is being certified by the total number of days the 22799
school was actually open for instruction during that week. For 22800
purposes of state funding, "enrolled" persons are only those 22801
pupils who are attending school, those who have attended school 22802
during the current school year and are absent for authorized 22803
reasons, and those handicapped children currently receiving home 22804
instruction.22805

       The average daily membership figure of any cooperative22806
education school district shall be determined in accordance with22807
rules adopted by the state board of education.22808

       (F)(1) If the formula ADM for the first full school week in22809
February is at least three per cent greater than that certified22810
for the first full school week in the preceding October, the22811
superintendent of schools of any city, exempted village, or joint22812
vocational school district or educational service center shall22813
certify such increase to the superintendent of public instruction.22814
Such certification shall be submitted no later than the fifteenth22815
day of February. For the balance of the fiscal year, beginning22816
with the February payments, the superintendent of public22817
instruction shall use the increased formula ADM in calculating or22818
recalculating the amounts to be allocated in accordance with 22819
section 3317.022 or 3317.16 of the Revised Code. In no event shall 22820
the superintendent use an increased membership certified to the 22821
superintendent after the fifteenth day of February. Division 22822
(F)(1) of this section does not apply after fiscal year 2006.22823

       (2) If on the first school day of April the total number of22824
classes or units for handicapped preschool children that are22825
eligible for approval under division (B) of section 3317.05 of the22826
Revised Code exceeds the number of units that have been approved22827
for the year under that division, the superintendent of schools of22828
any city, exempted village, or cooperative education school22829
district or educational service center shall make the22830
certifications required by this section for that day. If the 22831
department determines additional units can be approved for the22832
fiscal year within any limitations set forth in the acts22833
appropriating moneys for the funding of such units, the department 22834
shall approve additional units for the fiscal year on the basis of 22835
such average daily membership. For each unit so approved, the 22836
department shall pay an amount computed in the manner prescribed 22837
in section 3317.052 or 3317.19 and section 3317.053 of the Revised 22838
Code.22839

       (3) If a student attending a community school under Chapter22840
3314. of the Revised Code is not included in the formula ADM22841
certified for the school district in which the student is entitled 22842
to attend school under section 3313.64 or 3313.65 of the Revised 22843
Code, the department of education shall adjust the formula ADM of 22844
that school district to include the community school student in 22845
accordance with division (C)(2) of this section, and shall 22846
recalculate the school district's payments under this chapter for 22847
the entire fiscal year on the basis of that adjusted formula ADM. 22848
This requirement applies regardless of whether the student was 22849
enrolled, as defined in division (E) of this section, in the 22850
community school during the week for which the formula ADM is 22851
being certified.22852

       (4) If a student awarded an educational choice scholarship is 22853
not included in the formula ADM of the school district from which 22854
the department deducts funds for the scholarship under section 22855
3310.08 of the Revised Code, the department shall adjust the 22856
formula ADM of that school district to include the student to the 22857
extent necessary to account for the deduction, and shall 22858
recalculate the school district's payments under this chapter for 22859
the entire fiscal year on the basis of that adjusted formula ADM. 22860
This requirement applies regardless of whether the student was 22861
enrolled, as defined in division (E) of this section, in the 22862
chartered nonpublic school, the school district, or a community 22863
school during the week for which the formula ADM is being 22864
certified.22865

       (G)(1)(a) The superintendent of an institution operating a22866
special education program pursuant to section 3323.091 of the22867
Revised Code shall, for the programs under such superintendent's22868
supervision, certify to the state board of education, in the 22869
manner prescribed by the superintendent of public instruction, 22870
both of the following:22871

       (i) The average daily membership of all handicapped children 22872
other than handicapped preschool children receiving services at 22873
the institution for each category of handicap described in 22874
divisions (A) to (F) of section 3317.013 of the Revised Code;22875

       (ii) The average daily membership of all handicapped 22876
preschool children in classes or programs approved annually by the 22877
department of education for unit funding under section 3317.05 of 22878
the Revised Code.22879

       (b) The superintendent of an institution with vocational22880
education units approved under division (A) of section 3317.05 of22881
the Revised Code shall, for the units under the superintendent's22882
supervision, certify to the state board of education the average22883
daily membership in those units, in the manner prescribed by the22884
superintendent of public instruction.22885

       (2) The superintendent of each county MR/DD board that22886
maintains special education classes under section 3317.20 of the22887
Revised Code or units approved pursuant to section 3317.05 of the 22888
Revised Code shall do both of the following:22889

       (a) Certify to the state board, in the manner prescribed by22890
the board, the average daily membership in classes under section 22891
3317.20 of the Revised Code for each school district that has22892
placed children in the classes;22893

       (b) Certify to the state board, in the manner prescribed by22894
the board, the number of all handicapped preschool children22895
enrolled as of the first day of December in classes eligible for22896
approval under division (B) of section 3317.05 of the Revised22897
Code, and the number of those classes.22898

       (3)(a) If on the first school day of April the number of22899
classes or units maintained for handicapped preschool children by22900
the county MR/DD board that are eligible for approval under22901
division (B) of section 3317.05 of the Revised Code is greater22902
than the number of units approved for the year under that22903
division, the superintendent shall make the certification required22904
by this section for that day.22905

       (b) If the department determines that additional classes or22906
units can be approved for the fiscal year within any limitations22907
set forth in the acts appropriating moneys for the funding of the22908
classes and units described in division (G)(3)(a) of this section, 22909
the department shall approve and fund additional units for the22910
fiscal year on the basis of such average daily membership. For22911
each unit so approved, the department shall pay an amount computed 22912
in the manner prescribed in sections 3317.052 and 3317.053 of the 22913
Revised Code.22914

       (H) Except as provided in division (I) of this section, when22915
any city, local, or exempted village school district provides22916
instruction for a nonresident pupil whose attendance is22917
unauthorized attendance as defined in section 3327.06 of the22918
Revised Code, that pupil's membership shall not be included in22919
that district's membership figure used in the calculation of that22920
district's formula ADM or included in the determination of any22921
unit approved for the district under section 3317.05 of the22922
Revised Code. The reporting official shall report separately the22923
average daily membership of all pupils whose attendance in the22924
district is unauthorized attendance, and the membership of each22925
such pupil shall be credited to the school district in which the22926
pupil is entitled to attend school under division (B) of section22927
3313.64 or section 3313.65 of the Revised Code as determined by22928
the department of education.22929

       (I)(1) A city, local, exempted village, or joint vocational22930
school district admitting a scholarship student of a pilot project22931
district pursuant to division (C) of section 3313.976 of the22932
Revised Code may count such student in its average daily22933
membership.22934

       (2) In any year for which funds are appropriated for pilot22935
project scholarship programs, a school district implementing a22936
state-sponsored pilot project scholarship program that year22937
pursuant to sections 3313.974 to 3313.979 of the Revised Code may 22938
count in average daily membership:22939

       (a) All children residing in the district and utilizing a22940
scholarship to attend kindergarten in any alternative school, as22941
defined in section 3313.974 of the Revised Code;22942

       (b) All children who were enrolled in the district in the22943
preceding year who are utilizing a scholarship to attend any such22944
alternative school.22945

       (J) The superintendent of each cooperative education school22946
district shall certify to the superintendent of public22947
instruction, in a manner prescribed by the state board of22948
education, the applicable average daily memberships for all22949
students in the cooperative education district, also indicating22950
the city, local, or exempted village district where each pupil is22951
entitled to attend school under section 3313.64 or 3313.65 of the22952
Revised Code.22953

       (K) If the superintendent of public instruction discovers an 22954
error in the formula ADM certified by a district superintendent, 22955
the superintendent of public instruction may order that the 22956
formula ADM used for the purposes of payments under any section of 22957
Title XXXIII of the Revised Code be adjusted in the amount of the 22958
error.22959

       Sec. 3317.04.  The amount paid to school districts in each22960
fiscal year under Chapter 3317. of the Revised Code shall not be22961
less than the following:22962

       (A) In the case of a district created under section 3311.26 22963
or 3311.37 of the Revised Code, the amount paid shall not be less, 22964
in any of the three succeeding fiscal years following the 22965
creation, than the sum of the amounts allocated under Chapter22966
3317. of the Revised Code to the districts separately in the year22967
of the creation.22968

       (B) In the case of a school district which is transferred to 22969
another school district or districts, pursuant to section 3311.22, 22970
3311.231, or 3311.38 of the Revised Code, the amount paid to the 22971
district accepting the transferred territory shall not be less, in 22972
any of the three succeeding fiscal years following the transfer, 22973
than the sum of the amounts allocated under Chapter 3317. of the 22974
Revised Code to the districts separately in the year of the 22975
consummation of the transfer.22976

       (C) In the case of any school district, the amount paid under 22977
Chapter 3317. of the Revised Code to the district in the fiscal 22978
year of distribution shall not be less than that paid under such 22979
chapter in the preceding fiscal year, less any amount paid in that 22980
preceding fiscal year under section 3317.0216 of the Revised Code, 22981
if in the calendar year ending the thirty-first day of December 22982
preceding the fiscal year of distribution, the county auditor of 22983
the county to which the district has been assigned by the 22984
department of education for administrative purposes has completed 22985
reassessment of all real estate within the county, or the tax 22986
duplicate of that county was increased by the application of a 22987
uniform taxable value per cent of true value pursuant to a rule or 22988
order of the tax commissioner and the revised valuations were 22989
entered on the tax list and duplicate. Notwithstanding sections 22990
3311.22, 3311.231, 3311.26, 3311.37, and 3311.38 of the Revised 22991
Code, this minimum guarantee is applicable only during the fiscal 22992
year immediately following the reassessment or application.22993

       (D) In the case of any school district that has territory in 22994
three or more counties, each of which contains at least twenty per 22995
cent of the district's territory, the amount paid under Chapter 22996
3317. of the Revised Code to the district in the fiscal year of 22997
distribution shall not be less than that paid under such chapter 22998
in the preceding fiscal year, less any amount paid in that 22999
preceding fiscal year under section 3317.0216 of the Revised Code, 23000
if in the calendar year ending the thirty-first day of December 23001
preceding the fiscal year of distribution, the county auditor of 23002
any such county completed reassessment of all real estate within 23003
the county, or the tax duplicate of any such county was increased 23004
by the application of a uniform taxable value per cent of true 23005
value pursuant to a rule or order of the tax commissioner and the 23006
revised valuations were entered on the tax list and duplicate. 23007
Notwithstanding sections 3311.22, 3311.231, 3311.26, 3311.37, and 23008
3311.38 of the Revised Code, this minimum guarantee is applicable 23009
only during the fiscal year immediately following the reassessment 23010
or application.23011

       Notwithstanding sections 3311.22, 3311.231, 3311.26, 3311.37, 23012
and 3311.38 of the Revised Code, the minimum guarantees prescribed 23013
by divisions (A) and (B) of this section shall not affect the 23014
amount of aid received by a school district for more than three 23015
consecutive years.23016

       Sec. 3317.05.  (A) For the purpose of calculating payments23017
under sections 3317.052 and 3317.053 of the Revised Code, the 23018
department of education shall determine for each institution, by23019
the last day of January of each year and based on information23020
certified under section 3317.03 of the Revised Code, the number of23021
vocational education units or fractions of units approved by the 23022
department on the basis of standards and rules adopted by the23023
state board of education. As used in this division, "institution" 23024
means an institution operated by a department specified in section 23025
3323.091 of the Revised Code and that provides vocational 23026
education programs under the supervision of the division of 23027
vocational education of the department that meet the standards23028
and rules for these programs, including licensure of professional23029
staff involved in the programs, as established by the state board.23030

       (B) For the purpose of calculating payments under sections23031
3317.052, 3317.053, 3317.11, and 3317.19 of the Revised Code, the 23032
department shall determine, based on information certified under23033
section 3317.03 of the Revised Code, the following by the last day23034
of January of each year for each educational service center, for23035
each school district, including each cooperative education school23036
district, for each institution eligible for payment under section23037
3323.091 of the Revised Code, and for each county MR/DD board: the23038
number of classes operated by the school district, service center,23039
institution, or county MR/DD board for handicapped preschool23040
children, or fraction thereof, including in the case of a district23041
or service center that is a funding agent, classes taught by a23042
licensed teacher employed by that district or service center under23043
section 3313.841 of the Revised Code, approved annually by the 23044
department on the basis of standards and rules adopted by the23045
state board.23046

       (C) For the purpose of calculating payments under sections23047
3317.052, 3317.053, 3317.11, and 3317.19 of the Revised Code, the 23048
department shall determine, based on information certified under23049
section 3317.03 of the Revised Code, the following by the last day23050
of January of each year for each school district, including each23051
cooperative education school district, for each institution23052
eligible for payment under section 3323.091 of the Revised Code,23053
and for each county MR/DD board: the number of preschool23054
handicapped units for related services, as defined in section 23055
3323.01 of the Revised Code, approved annually by the department 23056
on the basis of standards and rules adopted by the state board.23057

       (D) All of the arithmetical calculations made under this23058
section shall be carried to the second decimal place. The total23059
number of units for school districts, service centers, and23060
institutions approved annually under this section shall not exceed23061
the number of units included in the estimate of cost for these 23062
units and appropriations made for them by the general assembly.23063

        In the case of handicapped preschool units described in 23064
division (B) of this section, the department shall approve only23065
preschool units for children who are under age six on the 23066
thirtieth day of September of the academic year, or on the first 23067
day of August of the academic year if the school district in which 23068
the child is enrolled has adopted a resolution under division 23069
(A)(3) of section 3321.01 of the Revised Code, but not less than 23070
age three on the first day of December of the academic year, 23071
except that such a unit may include one or more children who are 23072
under age three or are age six or over on the applicable date, as 23073
reported under division (B)(2) or (G)(2)(b) of section 3317.03 of 23074
the Revised Code, if such children have been admitted to the unit 23075
pursuant to rules of the state board. The number of units for23076
county MR/DD boards and institutions eligible for payment under23077
section 3323.091 of the Revised Code approved under this section23078
shall not exceed the number that can be funded with appropriations23079
made for such purposes by the general assembly.23080

       No unit shall be approved under divisions (B) and (C) of this23081
section unless a plan has been submitted and approved under23082
Chapter 3323. of the Revised Code.23083

       (E) The department shall approve units or fractions thereof23084
for gifted children on the basis of standards and rules adopted by23085
the state board.23086

       Sec. 3317.06.  Moneys paid to school districts under division23087
(I) of section 3317.024 of the Revised Code shall be used for the23088
following independent and fully severable purposes:23089

       (A) To purchase such secular textbooks or electronic23090
textbooks as have been approved by the superintendent of public23091
instruction for use in public schools in the state and to loan23092
such textbooks or electronic textbooks to pupils attending23093
nonpublic schools within the district or to their parents and to23094
hire clerical personnel to administer such lending program. Such23095
loans shall be based upon individual requests submitted by such23096
nonpublic school pupils or parents. Such requests shall be23097
submitted to the school district in which the nonpublic school is23098
located. Such individual requests for the loan of textbooks or23099
electronic textbooks shall, for administrative convenience, be23100
submitted by the nonpublic school pupil or the pupil's parent to23101
the nonpublic school, which shall prepare and submit collective23102
summaries of the individual requests to the school district. As23103
used in this section:23104

       (1) "Textbook" means any book or book substitute that a pupil 23105
uses as a consumable or nonconsumable text, text substitute, or 23106
text supplement in a particular class or program in the school the 23107
pupil regularly attends.23108

       (2) "Electronic textbook" means computer software,23109
interactive videodisc, magnetic media, CD-ROM, computer23110
courseware, local and remote computer assisted instruction,23111
on-line service, electronic medium, or other means of conveying23112
information to the student or otherwise contributing to the23113
learning process through electronic means.23114

       (B) To provide speech and hearing diagnostic services to23115
pupils attending nonpublic schools within the district. Such23116
service shall be provided in the nonpublic school attended by the23117
pupil receiving the service.23118

       (C) To provide physician, nursing, dental, and optometric23119
services to pupils attending nonpublic schools within the23120
district. Such services shall be provided in the school attended23121
by the nonpublic school pupil receiving the service.23122

       (D) To provide diagnostic psychological services to pupils23123
attending nonpublic schools within the district. Such services23124
shall be provided in the school attended by the pupil receiving23125
the service.23126

       (E) To provide therapeutic psychological and speech and23127
hearing services to pupils attending nonpublic schools within the23128
district. Such services shall be provided in the public school, in 23129
nonpublic schools, in public centers, or in mobile units located 23130
on or off of the nonpublic premises. If such services are provided 23131
in the public school or in public centers, transportation to and 23132
from such facilities shall be provided by the school district in 23133
which the nonpublic school is located.23134

       (F) To provide guidance and counseling services to pupils23135
attending nonpublic schools within the district. Such services23136
shall be provided in the public school, in nonpublic schools, in23137
public centers, or in mobile units located on or off of the23138
nonpublic premises. If such services are provided in the public23139
school or in public centers, transportation to and from such23140
facilities shall be provided by the school district in which the23141
nonpublic school is located.23142

       (G) To provide remedial services to pupils attending23143
nonpublic schools within the district. Such services shall be23144
provided in the public school, in nonpublic schools, in public23145
centers, or in mobile units located on or off of the nonpublic23146
premises. If such services are provided in the public school or in 23147
public centers, transportation to and from such facilities shall 23148
be provided by the school district in which the nonpublic school 23149
is located.23150

       (H) To supply for use by pupils attending nonpublic schools23151
within the district such standardized tests and scoring services23152
as are in use in the public schools of the state;23153

       (I) To provide programs for children who attend nonpublic23154
schools within the district and are handicapped children as23155
defined in division (A) of section 3323.01 of the Revised Code or23156
gifted children. Such programs shall be provided in the public23157
school, in nonpublic schools, in public centers, or in mobile23158
units located on or off of the nonpublic premises. If such23159
programs are provided in the public school or in public centers,23160
transportation to and from such facilities shall be provided by23161
the school district in which the nonpublic school is located.23162

       (J) To hire clerical personnel to assist in the23163
administration of programs pursuant to divisions (B), (C), (D),23164
(E), (F), (G), and (I) of this section and to hire supervisory23165
personnel to supervise the providing of services and textbooks23166
pursuant to this section.23167

       (K) To purchase or lease any secular, neutral, and23168
nonideological computer software (including site-licensing),23169
prerecorded video laserdiscs, digital video on demand (DVD),23170
compact discs, and video cassette cartridges, wide area23171
connectivity and related technology as it relates to internet23172
access, mathematics or science equipment and materials,23173
instructional materials, and school library materials that are in23174
general use in the public schools of the state and loan such items23175
to pupils attending nonpublic schools within the district or to23176
their parents, and to hire clerical personnel to administer the23177
lending program. Only such items that are incapable of diversion23178
to religious use and that are susceptible of loan to individual23179
pupils and are furnished for the use of individual pupils shall be23180
purchased and loaned under this division. As used in this section,23181
"instructional materials" means prepared learning materials that23182
are secular, neutral, and nonideological in character and are of23183
benefit to the instruction of school children, and may include23184
educational resources and services developed by the eTech Ohio 23185
commission.23186

       (L) To purchase or lease instructional equipment, including23187
computer hardware and related equipment in general use in the23188
public schools of the state, for use by pupils attending nonpublic23189
schools within the district and to loan such items to pupils23190
attending nonpublic schools within the district or to their23191
parents, and to hire clerical personnel to administer the lending23192
program.23193

       (M) To purchase mobile units to be used for the provision of23194
services pursuant to divisions (E), (F), (G), and (I) of this23195
section and to pay for necessary repairs and operating costs23196
associated with these units.23197

       (N) To reimburse costs the district incurred to store the 23198
records of a chartered nonpublic school that closes. 23199
Reimbursements under this division shall be made one time only for 23200
each chartered nonpublic school that closes.23201

       Clerical and supervisory personnel hired pursuant to division23202
(J) of this section shall perform their services in the public23203
schools, in nonpublic schools, public centers, or mobile units23204
where the services are provided to the nonpublic school pupil,23205
except that such personnel may accompany pupils to and from the23206
service sites when necessary to ensure the safety of the children23207
receiving the services.23208

       All services provided pursuant to this section may be23209
provided under contract with educational service centers, the23210
department of health, city or general health districts, or private23211
agencies whose personnel are properly licensed by an appropriate23212
state board or agency.23213

       Transportation of pupils provided pursuant to divisions (E),23214
(F), (G), and (I) of this section shall be provided by the school23215
district from its general funds and not from moneys paid to it23216
under division (I) of section 3317.024 of the Revised Code unless23217
a special transportation request is submitted by the parent of the23218
child receiving service pursuant to such divisions. If such an23219
application is presented to the school district, it may pay for23220
the transportation from moneys paid to it under division (I) of23221
section 3317.024 of the Revised Code.23222

       No school district shall provide health or remedial services23223
to nonpublic school pupils as authorized by this section unless23224
such services are available to pupils attending the public schools23225
within the district.23226

       Materials, equipment, computer hardware or software,23227
textbooks, electronic textbooks, and health and remedial services23228
provided for the benefit of nonpublic school pupils pursuant to23229
this section and the admission of pupils to such nonpublic schools23230
shall be provided without distinction as to race, creed, color, or23231
national origin of such pupils or of their teachers.23232

       No school district shall provide services, materials, or23233
equipment that contain religious content for use in religious23234
courses, devotional exercises, religious training, or any other23235
religious activity.23236

       As used in this section, "parent" includes a person standing23237
in loco parentis to a child.23238

       Notwithstanding section 3317.01 of the Revised Code, payments23239
shall be made under this section to any city, local, or exempted23240
village school district within which is located one or more23241
nonpublic elementary or high schools and any payments made to23242
school districts under division (I) of section 3317.024 of the23243
Revised Code for purposes of this section may be disbursed without23244
submission to and approval of the controlling board.23245

       The allocation of payments for materials, equipment,23246
textbooks, electronic textbooks, health services, and remedial23247
services to city, local, and exempted village school districts23248
shall be on the basis of the state board of education's estimated23249
annual average daily membership in nonpublic elementary and high23250
schools located in the district.23251

       Payments made to city, local, and exempted village school23252
districts under this section shall be equal to specific23253
appropriations made for the purpose. All interest earned by a23254
school district on such payments shall be used by the district for23255
the same purposes and in the same manner as the payments may be23256
used.23257

       The department of education shall adopt guidelines and23258
procedures under which such programs and services shall be23259
provided, under which districts shall be reimbursed for23260
administrative costs incurred in providing such programs and23261
services, and under which any unexpended balance of the amounts23262
appropriated by the general assembly to implement this section may23263
be transferred to the auxiliary services personnel unemployment23264
compensation fund established pursuant to section 4141.47 of the23265
Revised Code. The department shall also adopt guidelines and23266
procedures limiting the purchase and loan of the items described23267
in division (K) of this section to items that are in general use23268
in the public schools of the state, that are incapable of23269
diversion to religious use, and that are susceptible to individual23270
use rather than classroom use. Within thirty days after the end of 23271
each biennium, each board of education shall remit to the23272
department all moneys paid to it under division (I) of section23273
3317.024 of the Revised Code and any interest earned on those23274
moneys that are not required to pay expenses incurred under this23275
section during the biennium for which the money was appropriated23276
and during which the interest was earned. If a board of education23277
subsequently determines that the remittal of moneys leaves the23278
board with insufficient money to pay all valid expenses incurred23279
under this section during the biennium for which the remitted23280
money was appropriated, the board may apply to the department of23281
education for a refund of money, not to exceed the amount of the23282
insufficiency. If the department determines the expenses were23283
lawfully incurred and would have been lawful expenditures of the23284
refunded money, it shall certify its determination and the amount23285
of the refund to be made to the director of job and family23286
services who shall make a refund as provided in section 4141.47 of23287
the Revised Code.23288

       Each school district shall label materials, equipment, 23289
computer hardware or software, textbooks, and electronic textbooks 23290
purchased or leased for loan to a nonpublic school under this 23291
section, acknowledging that they were purchased or leased with 23292
state funds under this section. However, a district need not label 23293
materials, equipment, computer hardware or software, textbooks, or 23294
electronic textbooks that the district determines are consumable 23295
in nature or have a value of less than two hundred dollars.23296

       Sec. 3317.08.  A board of education may admit to its schools 23297
a child it is not required by section 3313.64 or 3313.65 of the 23298
Revised Code to admit, if tuition is paid for the child.23299

       Unless otherwise provided by law, tuition shall be computed23300
in accordance with this section. A district's tuition charge for a 23301
school year shall be one of the following:23302

       (A) For any child, except a handicapped preschool child23303
described in division (B) of this section, the quotient obtained23304
by dividing the sum of the amounts described in divisions (A)(1)23305
and (2) of this section by the district's formula ADM.23306

       (1) The district's total taxes charged and payable for23307
current expenses for the tax year preceding the tax year in which23308
the school year begins as certified under division (A)(3) of23309
section 3317.021 of the Revised Code.23310

       (2) The district's total taxes collected for current expenses 23311
under a school district income tax adopted pursuant to section 23312
5748.03 or 5748.08 of the Revised Code that are disbursed to the23313
district during the fiscal year. On or before the first day of23314
June of each year, the tax commissioner shall certify the amount23315
to be used in the calculation under this division for the next23316
fiscal year to the department of education and the office of 23317
budget and management for each city, local, and exempted village 23318
school district that levies a school district income tax.23319

       (B) For any handicapped preschool child not included in a23320
unit approved under division (B) of section 3317.05 of the Revised 23321
Code, an amount computed for the school year as follows:23322

       (1) For each type of special education service provided to23323
the child for whom tuition is being calculated, determine the23324
amount of the district's operating expenses in providing that type 23325
of service to all handicapped preschool children not included in 23326
units approved under division (B) of section 3317.05 of the 23327
Revised Code;23328

       (2) For each type of special education service for which23329
operating expenses are determined under division (B)(1) of this23330
section, determine the amount of such operating expenses that was23331
paid from any state funds received under this chapter;23332

       (3) For each type of special education service for which23333
operating expenses are determined under division (B)(1) of this23334
section, divide the difference between the amount determined under 23335
division (B)(1) of this section and the amount determined under 23336
division (B)(2) of this section by the total number of handicapped 23337
preschool children not included in units approved under division 23338
(B) of section 3317.05 of the Revised Code who received that type 23339
of service;23340

       (4) Determine the sum of the quotients obtained under23341
division (B)(3) of this section for all types of special education 23342
services provided to the child for whom tuition is being 23343
calculated.23344

       The state board of education shall adopt rules defining the23345
types of special education services and specifying the operating23346
expenses to be used in the computation under this section.23347

       If any child for whom a tuition charge is computed under this 23348
section for any school year is enrolled in a district for only 23349
part of that school year, the amount of the district's tuition 23350
charge for the child for the school year shall be computed in 23351
proportion to the number of school days the child is enrolled in 23352
the district during the school year.23353

       Except as otherwise provided in division (J) of section23354
3313.64 of the Revised Code, whenever a district admits a child to 23355
its schools for whom tuition computed in accordance with this23356
section is an obligation of another school district, the amount of 23357
the tuition shall be certified by the treasurer of the board of 23358
education of the district of attendance, to the board of education 23359
of the district required to pay tuition for its approval and 23360
payment. If agreement as to the amount payable or the district 23361
required to pay the tuition cannot be reached, or the board of 23362
education of the district required to pay the tuition refuses to 23363
pay that amount, the board of education of the district of 23364
attendance shall notify the superintendent of public instruction. 23365
The superintendent shall determine the correct amount and the 23366
district required to pay the tuition and shall deduct that amount, 23367
if any, under division (G) of section 3317.023 of the Revised 23368
Code, from the district required to pay the tuition and add that 23369
amount to the amount allocated to the district attended under such 23370
division. The superintendent of public instruction shall send to 23371
the district required to pay the tuition an itemized statement 23372
showing such deductions at the time of such deduction.23373

       When a political subdivision owns and operates an airport,23374
welfare, or correctional institution or other project or facility23375
outside its corporate limits, the territory within which the23376
facility is located is exempt from taxation by the school district 23377
within which such territory is located, and there are school age 23378
children residing within such territory, the political subdivision 23379
owning such tax exempt territory shall pay tuition to the district 23380
in which such children attend school. The tuition for these 23381
children shall be computed as provided for in this section.23382

       Sec. 3317.16.  (A) As used in this section:23383

       (1) "State share percentage" means the percentage calculated23384
for a joint vocational school district as follows:23385

       (a) Calculate the state base cost funding amount for the23386
district under division (B) of this section. If the district would 23387
not receive any base cost funding for that year under that23388
division, the district's state share percentage is zero.23389

       (b) If the district would receive base cost funding under23390
that division, divide that base cost amount by an amount equal to23391
the following:23392

cost-of-doing-business factor X
23393

the formula amount X
23394

formula ADM
23395

       The resultant number is the district's state share23396
percentage.23397

       (2) The "total special education weight" for a joint23398
vocational school district shall be calculated in the same manner23399
as prescribed in division (B)(1) of section 3317.022 of the23400
Revised Code.23401

       (3) The "total vocational education weight" for a joint23402
vocational school district shall be calculated in the same manner23403
as prescribed in division (B)(4) of section 3317.022 of the23404
Revised Code.23405

       (4) The "total recognized valuation" of a joint vocational23406
school district shall be determined by adding the recognized23407
valuations of all its constituent school districts for the23408
applicable fiscal year.23409

       (5) "Resident district" means the city, local, or exempted 23410
village school district in which a student is entitled to attend 23411
school under section 3313.64 or 3313.65 of the Revised Code.23412

       (6) "Community school" means a community school established 23413
under Chapter 3314. of the Revised Code.23414

       (B) The department of education shall compute and distribute23415
state base cost funding to each joint vocational school district23416
for the fiscal year in accordance with division (B) of this 23417
section.23418

       (1) Compute the following for each eligible districtformula:23419

(
cost-of-doing-business factor X
23420

formula amount X
23421

formula ADM) -
23422

(.0005 X total recognized valuation)
23423

       If the difference obtained under this division is a negative23424
number, the district's computation shall be zero.23425

       (2) Compute both of the following for each district:23426

       (a) The difference of (i) the district's fiscal year 2005 23427
base cost payment under the version of division (B) of this 23428
section in effect in fiscal year 2005, minus (ii) the amount 23429
computed for the district for the current fiscal year under 23430
current division (B)(1) of this section;23431

       (b) The following amount:23432

[(fiscal year 2005 base cost payment/fiscal year 2005 formula
23433

ADM) X current year formula ADM] minus the amount computed for
23434

the district under current division (B)(1) of this section
23435

       If one of the amounts computed under division (B)(2)(a) or 23436
(b) of this section is a positive amount, the department shall pay 23437
the district that amount in addition to the amount calculated 23438
under division (B)(1) of this section. If both amounts are 23439
positive amounts, the department shall pay the district the lesser 23440
of the two amounts in addition to the amount calculated under 23441
division (B)(1) of this section.23442

       (C)(1) The department shall compute and distribute state23443
vocational education additional weighted costs funds to each joint23444
vocational school district in accordance with the following23445
formula:23446

state share percentage X formula amount X
23447

total vocational education weight
23448

        In each fiscal year, a joint vocational school district 23449
receiving funds under division (C)(1) of this section shall spend 23450
those funds only for the purposes the department designates as 23451
approved for vocational education expenses. Vocational educational 23452
expenses approved by the department shall include only expenses 23453
connected to the delivery of career-technical programming to 23454
career-technical students. The department shall require the joint 23455
vocational school district to report data annually so that the 23456
department may monitor the district's compliance with the 23457
requirements regarding the manner in which funding received under 23458
division (C)(1) of this section may be spent.23459

       (2) The department shall compute for each joint vocational23460
school district state funds for vocational education associated23461
services costs in accordance with the following formula:23462

state share percentage X .05 X
23463

the formula amount X the sum of
23464

categories one and two vocational
23465

education ADM
23466

       In any fiscal year, a joint vocational school district23467
receiving funds under division (C)(2) of this section, or through23468
a transfer of funds pursuant to division (L) of section 3317.02323469
of the Revised Code, shall spend those funds only for the purposes23470
that the department designates as approved for vocational23471
education associated services expenses, which may include such23472
purposes as apprenticeship coordinators, coordinators for other23473
vocational education services, vocational evaluation, and other23474
purposes designated by the department. The department may deny23475
payment under division (C)(2) of this section to any district that23476
the department determines is not operating those services or is23477
using funds paid under division (C)(2) of this section, or through23478
a transfer of funds pursuant to division (L) of section 3317.02323479
of the Revised Code, for other purposes.23480

       (D)(1) The department shall compute and distribute state23481
special education and related services additional weighted costs23482
funds to each joint vocational school district in accordance with23483
the following formula:23484

state share percentage X formula amount X
23485

total special education weight
23486

       (2)(a) As used in this division, the "personnel allowance"23487
means thirty thousand dollars in fiscal years 2002, 2003, 2004, 23488
2005, 2006, and 20072008 and 2009.23489

       (b) For the provision of speech language pathology services 23490
to students, including students who do not have individualized 23491
education programs prepared for them under Chapter 3323. of the 23492
Revised Code, and for no other purpose, the department shall pay 23493
each joint vocational school district an amount calculated under 23494
the following formula:23495

(formula ADM divided by 2000) X the personnel
23496

allowance X state share percentage
23497

       (3) In any fiscal year, a joint vocational school district 23498
shall spend for purposes that the department designates as 23499
approved for special education and related services expenses at 23500
least the amount calculated as follows:23501

(
cost-of-doing-business factor X
formula amount
23502

X the sum of categories one through
23503

six special education ADM) +
23504

(total special education weight X
23505

formula amount)
23506

       The purposes approved by the department for special education 23507
expenses shall include, but shall not be limited to, compliance 23508
with state rules governing the education of handicapped children, 23509
providing services identified in a student's individualized 23510
education program as defined in section 3323.01 of the Revised 23511
Code, provision of speech language pathology services, and the 23512
portion of the district's overall administrative and overhead 23513
costs that are attributable to the district's special education 23514
student population.23515

       The department shall require joint vocational school 23516
districts to report data annually to allow for monitoring 23517
compliance with division (D)(3) of this section. The department 23518
shall annually report to the governor and the general assembly the 23519
amount of money spent by each joint vocational school district for 23520
special education and related services.23521

       (4) In any fiscal year, a joint vocational school district 23522
shall spend for the provision of speech language pathology 23523
services not less than the sum of the amount calculated under 23524
division (D)(1) of this section for the students in the district's 23525
category one special education ADM and the amount calculated under 23526
division (D)(2) of this section.23527

       (E)(1) If a joint vocational school district's costs for a23528
fiscal year for a student in its categories two through six23529
special education ADM exceed the threshold catastrophic cost for23530
serving the student, as specified in division (C)(3)(b) of section23531
3317.022 of the Revised Code, the district may submit to the23532
superintendent of public instruction documentation, as prescribed23533
by the superintendent, of all of its costs for that student. Upon23534
submission of documentation for a student of the type and in the23535
manner prescribed, the department shall pay to the district an23536
amount equal to the sum of the following:23537

       (a) One-half of the district's costs for the student in23538
excess of the threshold catastrophic cost;23539

       (b) The product of one-half of the district's costs for the23540
student in excess of the threshold catastrophic cost multiplied by23541
the district's state share percentage.23542

       (2) The district shall only report under division (E)(1) of23543
this section, and the department shall only pay for, the costs of23544
educational expenses and the related services provided to the23545
student in accordance with the student's individualized education23546
program. Any legal fees, court costs, or other costs associated23547
with any cause of action relating to the student may not be23548
included in the amount.23549

       (F) Each fiscal year, the department shall pay each joint23550
vocational school district an amount for adult technical and23551
vocational education and specialized consultants.23552

       (G)(1) A joint vocational school district's local share of23553
special education and related services additional weighted costs23554
equals:23555

(1 - state share percentage) X
23556

Total special education weight X
23557

the formula amount
23558

       (2) For each handicapped student receiving special education 23559
and related services under an individualized education program, as 23560
defined in section 3323.01 of the Revised Code, at a joint 23561
vocational district, the resident district or, if the student is 23562
enrolled in a community school, the community school shall be 23563
responsible for the amount of any costs of providing those special 23564
education and related services to that student that exceed the sum 23565
of the amount calculated for those services attributable to that 23566
student under divisions (B), (D), (E), and (G)(1) of this section.23567

       Those excess costs shall be calculated by subtracting the sum 23568
of the following from the actual cost to provide special education 23569
and related services to the student:23570

       (a) The product of the formula amount times the 23571
cost-of-doing-business factor;23572

       (b) The product of the formula amount times the applicable 23573
multiple specified in section 3317.013 of the Revised Code;23574

       (c) Any funds paid under division (E) of this section for the 23575
student;23576

       (d) Any other funds received by the joint vocational school 23577
district under this chapter to provide special education and 23578
related services to the student, not including the amount 23579
calculated under division (G)(2) of this section.23580

       (3) The board of education of the joint vocational school 23581
district may report the excess costs calculated under division 23582
(G)(2) of this section to the department of education.23583

       (4) If the board of education of the joint vocational school 23584
district reports excess costs under division (G)(3) of this 23585
section, the department shall pay the amount of excess cost 23586
calculated under division (G)(2) of this section to the joint 23587
vocational school district and shall deduct that amount as 23588
provided in division (G)(4)(a) or (b) of this section, as 23589
applicable:23590

       (a) If the student is not enrolled in a community school, the 23591
department shall deduct the amount from the account of the 23592
student's resident district pursuant to division (M) of section 23593
3317.023 of the Revised Code.23594

       (b) If the student is enrolled in a community school, the 23595
department shall deduct the amount from the account of the 23596
community school pursuant to section 3314.083 of the Revised Code.23597

       Sec. 3317.161. If the department of education is required to 23598
pay an amount under section 3353.25 of the Revised Code to a 23599
school district delivering a course included in the clearinghouse 23600
established under section 3353.21 of the Revised Code for a 23601
student enrolled in a joint vocational school district, the 23602
department shall deduct the amount of that payment from the amount 23603
calculated for the joint vocational school district under section 23604
3317.16 of the Revised Code.23605

       Sec. 3317.20.  This section does not apply to handicapped23606
preschool children.23607

       (A) As used in this section:23608

       (1) "Applicable weight" means the multiple specified in23609
section 3317.013 of the Revised Code for a handicap described in23610
that section.23611

       (2) "Child's school district" means the school district in23612
which a child is entitled to attend school pursuant to section23613
3313.64 or 3313.65 of the Revised Code.23614

       (3) "State share percentage" means the state share percentage23615
of the child's school district as defined in section 3317.022 of23616
the Revised Code.23617

       (B) Except as provided in division (C) of this section, the23618
department shall annually pay each county MR/DD board for each 23619
handicapped child, other than a handicapped preschool child, for 23620
whom the county MR/DD board provides special education and related23621
services the greater of the amount calculated under division 23622
(B)(1) or (2) of this section:23623

       (1) (The formula amount for fiscal year 2005 X the 23624
cost-of-doing-business factor for the child's school district for 23625
fiscal year 2005) + (state share percentage for fiscal year 2005 X 23626
formula amount for fiscal year 2005 X the applicable weight);23627

       (2) (The currentan amount equal to the formula amount times 23628
the current cost-of-doing-business factor for the child's school 23629
district) + (state share percentage X current formula amount X the 23630
applicable weight).23631

       (C) If any school district places with a county MR/DD board23632
more handicapped children than it had placed with a county MR/DD23633
board in fiscal year 1998, the department shall not make a payment23634
under division (B) of this section for the number of children23635
exceeding the number placed in fiscal year 1998. The department23636
instead shall deduct from the district's payments under this23637
chapter, and pay to the county MR/DD board, an amount calculated23638
in accordance with the formula prescribed in division (B) of this23639
section for each child over the number of children placed in23640
fiscal year 1998.23641

       (D) The department shall calculate for each county MR/DD23642
board receiving payments under divisions (B) and (C) of this23643
section the following amounts:23644

       (1) The amount received by the county MR/DD board for23645
approved special education and related services units, other than23646
preschool handicapped units, in fiscal year 1998, divided by the23647
total number of children served in the units that year;23648

       (2) The product of the quotient calculated under division23649
(D)(1) of this section times the number of children for whom23650
payments are made under divisions (B) and (C) of this section.23651

       If the amount calculated under division (D)(2) of this23652
section is greater than the total amount calculated under23653
divisions (B) and (C) of this section, the department shall pay23654
the county MR/DD board one hundred per cent of the difference in23655
addition to the payments under divisions (B) and (C) of this23656
section.23657

       Sec. 3317.201. This section does not apply to handicapped 23658
preschool children.23659

       (A) As used in this section, the "total special education 23660
weight" for an institution means the sum of the following amounts:23661

       (1) The number of children reported by the institution under 23662
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23663
receiving services for a handicap described in division (A) of 23664
section 3317.013 of the Revised Code multiplied by the multiple 23665
specified in that division;23666

       (2) The number of children reported by the institution under 23667
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23668
receiving services for a handicap described in division (B) of 23669
section 3317.013 of the Revised Code multiplied by the multiple 23670
specified in that division;23671

       (3) The number of children reported by the institution under 23672
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23673
receiving services for a handicap described in division (C) of 23674
section 3317.013 of the Revised Code multiplied by the multiple 23675
specified in that division;23676

       (4) The number of children reported by the institution under 23677
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23678
receiving services for a handicap described in division (D) of 23679
section 3317.013 of the Revised Code multiplied by the multiple 23680
specified in that division;23681

       (5) The number of children reported by the institution under 23682
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23683
receiving services for a handicap described in division (E) of 23684
section 3317.013 of the Revised Code multiplied by the multiple 23685
specified in that division;23686

       (6) The number of children reported by the institution under 23687
division (G)(1)(a)(i) of section 3317.03 of the Revised Code as 23688
receiving services for a handicap described in division (F) of 23689
section 3317.013 of the Revised Code multiplied by the multiple 23690
specified in that division.23691

       (B) TheFor each fiscal year, the department of education 23692
annually shall pay each state institution required to provide 23693
special education services under division (A) of section 3323.091 23694
of the Revised Code an amount equal to the greater of:23695

       (1) The formula amount times the institution's total special 23696
education weight;23697

       (2) The aggregate amount of special education and related 23698
services unit funding the institution received for all handicapped 23699
children other than handicapped preschool children in fiscal year 23700
2005 under sections 3317.052 and 3317.053 of the Revised Code, as 23701
those sections existed prior to the effective date of this section23702
June 30, 2005.23703

       Sec. 3318.12. (A) The Ohio school facilities commission shall23704
cause to be transferred to the school district's project23705
construction fund the necessary amounts from amounts appropriated23706
by the general assembly and set aside for such purpose, from time23707
to time as may be necessary to pay obligations chargeable to such23708
fund when due. All investment earnings of a school district's23709
project construction fund shall be credited to the fund.23710

       (B)(1) The treasurer of the school district board shall 23711
disburse funds from the school district's project construction 23712
fund, including investment earnings credited to the fund, only 23713
upon the approval of the commission or the commission's designated23714
representative. The commission or the commission's designated23715
representative shall issue vouchers against such fund, in such23716
amounts, and at such times as required by the contracts for23717
construction of the project.23718

       (2) Notwithstanding anything to the contrary in division 23719
(B)(1) of this section, the school district board may, by a duly 23720
adopted resolution, choose to use all or part of the investment 23721
earnings of the district's project construction fund that are 23722
attributable to the district's contribution to the fund to pay the 23723
cost of classroom facilities or portions or components of 23724
classroom facilities that are not included in the district's basic 23725
project cost but that are related to the district's project. If 23726
the district board adopts a resolution in favor of using those 23727
investment earnings as authorized under division (B)(2) of this 23728
section, the treasurer shall disburse the amount as designated and 23729
directed by the board. However, if the district board chooses to 23730
use any part of the investment earnings for classroom facilities 23731
or portions or components of classroom facilities that are not 23732
included in the basic project cost, as authorized under division 23733
(B)(2) of this section, and, subsequently, the cost of the project 23734
exceeds the amount in the project construction fund, the district 23735
board shall restore to the project construction fund the full 23736
amount of the investment earnings used under division (B)(2) of 23737
this section before any additional state moneys shall be released 23738
for the project.23739

       (C) After the project has been completed:23740

       (1) AnyAt the discretion of the school district board, any23741
investment earnings remaining in the project construction fund 23742
that are attributable to the school district's contribution to the 23743
fund shall be transferred:23744

       (a) Retained in the project construction fund for future 23745
projects;23746

       (b) Transferred to the district's maintenance fund required23747
by division (B) of section 3318.05 or section 3318.43 of the 23748
Revised Code, and the money so transferred shall be used solely 23749
for maintaining the classroom facilities included in the project;23750

       (c) Transferred to the district's permanent improvement fund.23751

       (2) Any investment earnings remaining in the project23752
construction fund that are attributable to the state's23753
contribution to the fund shall be transferred to the commission23754
for expenditure pursuant to sections 3318.01 to 3318.20 or23755
sections 3318.40 to 3318.45 of the Revised Code.23756

       (3) Any other surplus remaining in the school district's23757
project construction fund after the project has been completed23758
shall be transferred to the commission and the school district23759
board in proportion to their respective contributions to the fund.23760
The commission shall use the money transferred to it under this23761
division for expenditure pursuant to sections 3318.01 to 3318.2023762
or sections 3318.40 to 3318.45 of the Revised Code.23763

       (D) Pursuant to appropriations of the general assembly, any23764
moneys transferred to the commission under division (C)(2) or (3)23765
of this section from a project construction fund for a project23766
under sections 3318.40 to 3318.45 of the Revised Code may be used23767
for future expenditures for projects under sections 3318.40 to23768
3318.45 of the Revised Code, notwithstanding the two per cent23769
annual limit specified in division (B) of section 3318.40 of the23770
Revised Code.23771

       Sec. 3318.15.  There is hereby created the public school23772
building fund within the state treasury consisting of any moneys23773
transferred or appropriated to the fund by the general assembly, 23774
moneys paid into or transferred in accordance with section 3318.47 23775
of the Revised Code, and any grants, gifts, or contributions 23776
received by the Ohio school facilities commission to be used for 23777
the purposes of the fund. All investment earnings of the fund 23778
shall be credited to the fund.23779

       Moneys transferred or appropriated to the fund by the general23780
assembly and moneys in the fund from grants, gifts, and23781
contributions shall be used for the purposes of Chapter 3318. of 23782
the Revised Code as prescribed by the general assembly.23783

       Sec. 3318.26.  (A) The provisions of this section apply only23784
to obligations issued by the issuing authority prior to December23785
1, 1999.23786

       (B) Subject to the limitations provided in section 3318.29 of 23787
the Revised Code, the issuing authority, upon the certification by 23788
the Ohio school facilities commission to the issuing authority of 23789
the amount of moneys or additional moneys needed in the school23790
building program assistance fund for the purposes of sections23791
3318.01 to 3318.20 and sections 3318.40 to 3318.45 of the Revised23792
Code, or needed for capitalized interest, for funding reserves,23793
and for paying costs and expenses incurred in connection with the23794
issuance, carrying, securing, paying, redeeming, or retirement of23795
the obligations or any obligations refunded thereby, including23796
payment of costs and expenses relating to letters of credit, lines23797
of credit, insurance, put agreements, standby purchase agreements,23798
indexing, marketing, remarketing and administrative arrangements,23799
interest swap or hedging agreements, and any other credit23800
enhancement, liquidity, remarketing, renewal, or refunding23801
arrangements, all of which are authorized by this section, shall23802
issue obligations of the state under this section in the required23803
amount. The proceeds of such obligations, except for obligations23804
issued to provide moneys for the school building program23805
assistance fund shall be deposited by the treasurer of state in23806
special funds, including reserve funds, as provided in the bond23807
proceedings. The issuing authority may appoint trustees, paying23808
agents, and transfer agents and may retain the services of23809
financial advisors and accounting experts and retain or contract23810
for the services of marketing, remarketing, indexing, and23811
administrative agents, other consultants, and independent23812
contractors, including printing services, as are necessary in the23813
issuing authority's judgment to carry out this section. The costs23814
of such services are payable from the school building program23815
assistance fund or any special fund determined by the issuing23816
authority.23817

       (C) The holders or owners of such obligations shall have no23818
right to have moneys raised by taxation obligated or pledged, and23819
moneys raised by taxation shall not be obligated or pledged, for23820
the payment of bond service charges. Such holders or owners shall23821
have no rights to payment of bond service charges from any money23822
or property received by the commission, treasurer of state, or the23823
state, or from any other use of the proceeds of the sale of the23824
obligations, and no such moneys may be used for the payment of23825
bond service charges, except for accrued interest, capitalized23826
interest, and reserves funded from proceeds received upon the sale23827
of the obligations and except as otherwise expressly provided in23828
the applicable bond proceedings pursuant to written directions by23829
the treasurer of state. The right of such holders and owners to23830
payment of bond service charges shall be limited to all or that23831
portion of the pledged receipts and those special funds pledged23832
thereto pursuant to the bond proceedings in accordance with this23833
section, and each such obligation shall bear on its face a23834
statement to that effect.23835

       (D) Obligations shall be authorized by resolution or order of 23836
the issuing authority and the bond proceedings shall provide for 23837
the purpose thereof and the principal amount or amounts, and shall 23838
provide for or authorize the manner or agency for determining the 23839
principal maturity or maturities, not exceeding the limits 23840
specified in section 3318.29 of the Revised Code, the interest 23841
rate or rates or the maximum interest rate, the date of the 23842
obligations and the dates of payment of interest thereon, their 23843
denomination, and the establishment within or without the state of 23844
a place or places of payment of bond service charges. Sections 23845
9.98 to 9.983 of the Revised Code are applicable to obligations 23846
issued under this section, subject to any applicable limitation 23847
under section 3318.29 of the Revised Code. The purpose of such 23848
obligations may be stated in the bond proceedings in terms23849
describing the general purpose or purposes to be served. The bond23850
proceedings shall also provide, subject to the provisions of any23851
other applicable bond proceedings, for the pledge of all, or such23852
part as the issuing authority may determine, of the pledged23853
receipts and the applicable special fund or funds to the payment23854
of bond service charges, which pledges may be made either prior or23855
subordinate to other expenses, claims, or payments, and may be23856
made to secure the obligations on a parity with obligations23857
theretofore or thereafter issued, if and to the extent provided in23858
the bond proceedings. The pledged receipts and special funds so23859
pledged and thereafter received by the state are immediately23860
subject to the lien of such pledge without any physical delivery23861
thereof or further act, and the lien of any such pledges is valid23862
and binding against all parties having claims of any kind against23863
the state or any governmental agency of the state, irrespective of23864
whether such parties have notice thereof, and shall create a23865
perfected security interest for all purposes of Chapter 1309. of23866
the Revised Code, without the necessity for separation or delivery23867
of funds or for the filing or recording of the bond proceedings by23868
which such pledge is created or any certificate, statement or23869
other document with respect thereto; and the pledge of such23870
pledged receipts and special funds is effective and the money23871
therefrom and thereof may be applied to the purposes for which23872
pledged without necessity for any act of appropriation, except as23873
required by section 3770.06 of the Revised Code. Every pledge, and 23874
every covenant and agreement made with respect thereto, made in 23875
the bond proceedings may therein be extended to the benefit of the 23876
owners and holders of obligations authorized by this section, and 23877
to any trustee therefor, for the further security of the payment 23878
of the bond service charges.23879

       (E) The bond proceedings may contain additional provisions as 23880
to:23881

       (1) The redemption of obligations prior to maturity at the23882
option of the issuing authority at such price or prices and under23883
such terms and conditions as are provided in the bond proceedings;23884

       (2) Other terms of the obligations;23885

       (3) Limitations on the issuance of additional obligations;23886

       (4) The terms of any trust agreement or indenture securing23887
the obligations or under which the same may be issued;23888

       (5) The deposit, investment and application of special funds, 23889
and the safeguarding of moneys on hand or on deposit, without 23890
regard to Chapter 131., 133., or 135. of the Revised Code, but 23891
subject to any special provisions of sections 3318.21 to 3318.29 23892
of the Revised Code, with respect to particular funds or moneys, 23893
provided that any bank or trust company that acts as depository of 23894
any moneys in the special funds may furnish such indemnifying 23895
bonds or may pledge such securities as required by the issuing 23896
authority;23897

       (6) Any or every provision of the bond proceedings being23898
binding upon such officer, board, commission, authority, agency,23899
department, or other person or body as may from time to time have23900
the authority under law to take such actions as may be necessary23901
to perform all or any part of the duty required by such provision;23902

       (7) Any provision that may be made in a trust agreement or23903
indenture;23904

       (8) The lease or sublease of any interest of the school23905
district or the state in one or more projects as defined in23906
division (C) of section 3318.01 of the Revised Code, or in one or23907
more permanent improvements, to or from the issuing authority, as23908
provided in one or more lease or sublease agreements between the23909
school or the state and the issuing authority;23910

       (9) Any other or additional agreements with the holders of23911
the obligations, or the trustee therefor, relating to the23912
obligations or the security therefor.23913

       (F) The obligations may have the great seal of the state or a 23914
facsimile thereof affixed thereto or printed thereon. The23915
obligations and any coupons pertaining to obligations shall be23916
signed or bear the facsimile signature of the issuing authority.23917
Any obligations or coupons may be executed by the person who, on23918
the date of execution, is the proper issuing authority although on23919
the date of such bonds or coupons such person was not the issuing23920
authority. In case the issuing authority whose signature or a23921
facsimile of whose signature appears on any such obligation or23922
coupon ceases to be the issuing authority before delivery thereof,23923
such signature or facsimile is nevertheless valid and sufficient23924
for all purposes as if the issuing authority had remained the23925
issuing authority until such delivery; and in case the seal to be23926
affixed to obligations has been changed after a facsimile of the23927
seal has been imprinted on such obligations, such facsimile seal23928
shall continue to be sufficient as to such obligations and23929
obligations issued in substitution or exchange therefor.23930

       (G) All obligations are negotiable instruments and securities 23931
under Chapter 1308. of the Revised Code, subject to the provisions 23932
of the bond proceedings as to registration. The obligations may be 23933
issued in coupon or in registered form, or both, as the issuing 23934
authority determines. Provision may be made for the registration 23935
of any obligations with coupons attached thereto as to principal 23936
alone or as to both principal and interest, their exchange for 23937
obligations so registered, and for the conversion or reconversion 23938
into obligations with coupons attached thereto of any obligations 23939
registered as to both principal and interest, and for reasonable 23940
charges for such registration, exchange, conversion, and 23941
reconversion.23942

       (H) Obligations may be sold at public sale or at private23943
sale, as determined in the bond proceedings.23944

       (I) Pending preparation of definitive obligations, the23945
issuing authority may issue interim receipts or certificates which23946
shall be exchanged for such definitive obligations.23947

       (J) In the discretion of the issuing authority, obligations23948
may be secured additionally by a trust agreement or indenture23949
between the issuing authority and a corporate trustee which may be23950
any trust company or bank having its principala place of business23951
within the state. Any such agreement or indenture may contain the23952
resolution or order authorizing the issuance of the obligations,23953
any provisions that may be contained in any bond proceedings, and23954
other provisions that are customary or appropriate in an agreement23955
or indenture of such type, including, but not limited to:23956

       (1) Maintenance of each pledge, trust agreement, indenture,23957
or other instrument comprising part of the bond proceedings until23958
the state has fully paid the bond service charges on the23959
obligations secured thereby, or provision therefor has been made;23960

       (2) In the event of default in any payments required to be23961
made by the bond proceedings, or any other agreement of the23962
issuing authority made as a part of the contract under which the23963
obligations were issued, enforcement of such payments or agreement23964
by mandamus, the appointment of a receiver, suit in equity, action23965
at law, or any combination of the foregoing;23966

       (3) The rights and remedies of the holders of obligations and 23967
of the trustee, and provisions for protecting and enforcing them, 23968
including limitations on rights of individual holders of23969
obligations;23970

       (4) The replacement of any obligations that become mutilated23971
or are destroyed, lost, or stolen;23972

       (5) Such other provisions as the trustee and the issuing23973
authority agree upon, including limitations, conditions, or23974
qualifications relating to any of the foregoing.23975

       (K) Any holder of obligations or a trustee under the bond23976
proceedings, except to the extent that the holder's or trustee's23977
rights are restricted by the bond proceedings, may by any suitable23978
form of legal proceedings, protect and enforce any rights under23979
the laws of this state or granted by such bond proceedings. Such23980
rights include the right to compel the performance of all duties23981
of the issuing authority, the commission, or the director of23982
budget and management required by sections 3318.21 to 3318.29 of23983
the Revised Code or the bond proceedings; to enjoin unlawful23984
activities; and in the event of default with respect to the23985
payment of any bond service charges on any obligations or in the23986
performance of any covenant or agreement on the part of the23987
issuing authority, the commission, or the director of budget and23988
management in the bond proceedings, to apply to a court having23989
jurisdiction of the cause to appoint a receiver to receive and23990
administer the pledged receipts and special funds, other than23991
those in the custody of the treasurer of state or the commission,23992
which are pledged to the payment of the bond service charges on23993
such obligations or which are the subject of the covenant or23994
agreement, with full power to pay, and to provide for payment of23995
bond service charges on, such obligations, and with such powers,23996
subject to the direction of the court, as are accorded receivers23997
in general equity cases, excluding any power to pledge additional23998
revenues or receipts or other income or moneys of the issuing23999
authority or the state or governmental agencies of the state to24000
the payment of such principal and interest and excluding the power24001
to take possession of, mortgage, or cause the sale or otherwise24002
dispose of any permanent improvement.24003

       Each duty of the issuing authority and the issuing24004
authority's officers and employees, and of each governmental24005
agency and its officers, members, or employees, undertaken24006
pursuant to the bond proceedings or any agreement or loan made24007
under authority of sections 3318.21 to 3318.29 of the Revised24008
Code, and in every agreement by or with the issuing authority, is24009
hereby established as a duty of the issuing authority, and of each24010
such officer, member, or employee having authority to perform such24011
duty, specifically enjoined by the law resulting from an office,24012
trust, or station within the meaning of section 2731.01 of the24013
Revised Code.24014

       The person who is at the time the issuing authority, or the24015
issuing authority's officers or employees, are not liable in their24016
personal capacities on any obligations issued by the issuing24017
authority or any agreements of or with the issuing authority.24018

       (L) Obligations issued under this section are lawful24019
investments for banks, societies for savings, savings and loan24020
associations, deposit guarantee associations, trust companies,24021
trustees, fiduciaries, insurance companies, including domestic for24022
life and domestic not for life, trustees or other officers having24023
charge of sinking and bond retirement or other special funds of24024
political subdivisions and taxing districts of this state, the24025
commissioners of the sinking fund of the state, the administrator24026
of workers' compensation, the state teachers retirement system,24027
the public employees retirement system, the school employees24028
retirement system, and the Ohio police and fire pension fund,24029
notwithstanding any other provisions of the Revised Code or rules24030
adopted pursuant thereto by any governmental agency of the state24031
with respect to investments by them, and also are acceptable as24032
security for the deposit of public moneys.24033

       (M) Unless otherwise provided in any applicable bond24034
proceedings, moneys to the credit of or in the special funds24035
established by or pursuant to this section may be invested by or24036
on behalf of the issuing authority only in notes, bonds, or other24037
obligations of the United States, or of any agency or24038
instrumentality of the United States, obligations guaranteed as to24039
principal and interest by the United States, obligations of this24040
state or any political subdivision of this state, and certificates24041
of deposit of any national bank located in this state and any24042
bank, as defined in section 1101.01 of the Revised Code, subject24043
to inspection by the superintendent of financial institutions. If24044
the law or the instrument creating a trust pursuant to division24045
(J) of this section expressly permits investment in direct24046
obligations of the United States or an agency of the United24047
States, unless expressly prohibited by the instrument, such moneys24048
also may be invested in no front end load money market mutual24049
funds consisting exclusively of obligations of the United States24050
or an agency of the United States and in repurchase agreements,24051
including those issued by the fiduciary itself, secured by24052
obligations of the United States or an agency of the United24053
States; and in collective investment funds established in24054
accordance with section 1111.14 of the Revised Code and consisting24055
exclusively of any such securities, notwithstanding division24056
(B)(1)(c) of that section. The income from such investments shall24057
be credited to such funds as the issuing authority determines, and24058
such investments may be sold at such times as the issuing24059
authority determines or authorizes.24060

       (N) Provision may be made in the applicable bond proceedings24061
for the establishment of separate accounts in the bond service24062
fund and for the application of such accounts only to the24063
specified bond service charges on obligations pertinent to such24064
accounts and bond service fund and for other accounts therein24065
within the general purposes of such fund. Unless otherwise24066
provided in any applicable bond proceedings, moneys to the credit24067
of or in the several special funds established pursuant to this24068
section shall be disbursed on the order of the treasurer of state,24069
provided that no such order is required for the payment from the24070
bond service fund when due of bond service charges on obligations.24071

       (O) The issuing authority may pledge all, or such portion as24072
the issuing authority determines, of the pledged receipts to the24073
payment of bond service charges on obligations issued under this24074
section, and for the establishment and maintenance of any24075
reserves, as provided in the bond proceedings, and make other24076
provisions therein with respect to pledged receipts as authorized24077
by this chapter, which provisions shall be controlling24078
notwithstanding any other provisions of law pertaining thereto.24079

       (P) The issuing authority may covenant in the bond24080
proceedings, and any such covenants shall be controlling24081
notwithstanding any other provision of law, that the state and24082
applicable officers and governmental agencies of the state,24083
including the general assembly, so long as any obligations are24084
outstanding, shall:24085

       (1) Maintain statutory authority for and cause to be operated 24086
the state lottery, including the transfers to and from the lottery 24087
profits education fund created in section 3770.06 of the Revised 24088
Code so that the pledged receipts shall be sufficient in amount to 24089
meet bond service charges, and the establishment and maintenance 24090
of any reserves and other requirements provided for in the bond 24091
proceedings;24092

       (2) Take or permit no action, by statute or otherwise, that24093
would impair the exclusion from gross income for federal income24094
tax purposes of the interest on any obligations designated by the24095
bond proceeding as tax-exempt obligations.24096

       (Q) There is hereby created the school building program bond24097
service fund, which shall be in the custody of the treasurer of24098
state but shall be separate and apart from and not a part of the24099
state treasury. All moneys received by or on account of the24100
issuing authority or state agencies and required by the applicable24101
bond proceedings, consistent with this section, to be deposited,24102
transferred, or credited to the school building program bond24103
service fund, and all other moneys transferred or allocated to or24104
received for the purposes of the fund, shall be deposited and24105
credited to such fund and to any separate accounts therein,24106
subject to applicable provisions of the bond proceedings, but24107
without necessity for any act of appropriation, except as required24108
by section 3770.06 of the Revised Code. During the period24109
beginning with the date of the first issuance of obligations and24110
continuing during such time as any such obligations are24111
outstanding, and so long as moneys in the school building program24112
bond service fund are insufficient to pay all bond service charges24113
on such obligations becoming due in each year, a sufficient amount24114
of the moneys from the lottery profits education fund included in24115
pledged receipts, subject to appropriation for such purpose as24116
provided in section 3770.06 of the Revised Code, are committed and24117
shall be paid to the school building program bond service fund in24118
each year for the purpose of paying the bond service charges24119
becoming due in that year. The school building program bond24120
service fund is a trust fund and is hereby pledged to the payment24121
of bond service charges solely on obligations issued to provide24122
moneys for the school building program assistance fund to the24123
extent provided in the applicable bond proceedings, and payment24124
thereof from such fund shall be made or provided for by the24125
treasurer of state in accordance with such bond proceedings24126
without necessity for any act of appropriation except as required24127
by section 3770.06 of the Revised Code.24128

       (R) The obligations, the transfer thereof, and the income24129
therefrom, including any profit made on the sale thereof, at all24130
times shall be free from taxation within the state.24131

       Sec. 3318.47.  (A) On the effective date of this section, the 24132
director of budget and management shall transfer any amount on 24133
hand in the fund established under former section 3318.47 of the 24134
Revised Code, as that section existed prior to the effective date 24135
of this section, into the fund established under section 3318.15 24136
of the Revised Code. 24137

       (B) On or after the effective date of this section, any 24138
amounts received from school districts in repayment of loans made 24139
under former sections 3318.47 to 3318.49, as those sections 24140
existed prior to the effective date of this section, shall be 24141
deposited into the fund established under section 3318.15 of the 24142
Revised Code.24143

       Sec. 3319.55.  (A) A grant program is hereby established to24144
recognize and reward teachers in public and chartered nonpublic 24145
schools who hold valid teaching certificates or licenses issued by 24146
the national board for professional teaching standards. The 24147
superintendent of public instruction shall administer this program 24148
in accordance with this section and rules which the state board of24149
education shall adopt in accordance with Chapter 119. of the 24150
Revised Code.24151

       In each fiscal year that the general assembly appropriates 24152
funds for purposes of this section, the superintendent of public 24153
instruction shall award a grant to each person who, by the first 24154
day of April of that year and in accordance with the rules adopted 24155
under this section, submits to the superintendent evidence 24156
indicating allboth of the following:24157

       (1) The person holds a valid certificate or license issued by 24158
the national board for professional teaching standards;24159

       (2) The person has been employed full-time as a teacher by 24160
the board of education of a school district or by a chartered 24161
nonpublic school in this state during the current school year;24162

       (3) The date the person was accepted into the national board 24163
certification or licensure program.24164

       An individual may receive a grant under this section in each 24165
fiscal year the person is eligible for a grant and submits 24166
evidence of that eligibility in accordance with this section. No 24167
person may receive a grant after the expiration of the person's 24168
initial certification or license issued by the national board.24169

       (B) The amount of the grant awarded to each eligible person 24170
under division (A) of this section in any fiscal year shall equal 24171
the following:24172

       (1) Twotwo thousand five hundred dollars for any teacher 24173
accepted as a candidate for certification or licensure by the 24174
national board on or before May 31, 2003, and issued a certificate 24175
or license by the national board on or before December 31, 2004;24176

       (2) One thousand dollars for any other teacher issued a 24177
certificate or license by the national board.24178

       However. However, if the funds appropriated for purposes of 24179
this section in any fiscal year are not sufficient to award the24180
full grant amount to each person who is eligible in that fiscal 24181
year, the superintendent shall prorate the amount of the grant 24182
awarded in that fiscal year to each eligible person.24183

       Sec. 3321.01. (A)(1) As used in this chapter, "parent,"24184
"guardian," or "other person having charge or care of a child"24185
means either parent unless the parents are separated or divorced24186
or their marriage has been dissolved or annulled, in which case24187
"parent" means the parent who is the residential parent and legal24188
custodian of the child. If the child is in the legal or permanent24189
custody of a person or government agency, "parent" means that24190
person or government agency. When a child is a resident of a home, 24191
as defined in section 3313.64 of the Revised Code, and the child's 24192
parent is not a resident of this state, "parent," "guardian," or24193
"other person having charge or care of a child" means the head of 24194
the home.24195

       A child between six and eighteen years of age is "of24196
compulsory school age" for the purpose of sections 3321.01 to24197
3321.13 of the Revised Code. A child under six years of age who24198
has been enrolled in kindergarten also shall be considered "of24199
compulsory school age" for the purpose of sections 3321.01 to24200
3321.13 of the Revised Code unless at any time the child's parent24201
or guardian, at the parent's or guardian's discretion and in24202
consultation with the child's teacher and principal, formally24203
withdraws the child from kindergarten. The compulsory school age24204
of a child shall not commence until the beginning of the term of24205
such schools, or other time in the school year fixed by the rules24206
of the board of the district in which the child resides.24207

       (2) No child shall be admitted to a kindergarten or a first24208
grade of a public school in a district in which all children are24209
admitted to kindergarten and the first grade in August or24210
September unless the child is five or six years of age,24211
respectively, by the thirtieth day of September of the year of24212
admittance, or by the first day of a term or semester other than24213
one beginning in August or September in school districts granting24214
admittance at the beginning of such term or semester, except that24215
in those school districts using or obtaining educationally24216
accepted standardized testing programs for determining entrance,24217
as approved by the board of education of such districts, the board24218
shall admit a child to kindergarten or the first grade who fails24219
to meet the age requirement, provided the child meets necessary24220
standards as determined by such standardized testing programs. If24221
the board of education has not established a standardized testing24222
program, the board shall designate the necessary standards and a24223
testing program it will accept for the purpose of admitting a24224
child to kindergarten or first grade who fails to meet the age24225
requirement. Each child who will be the proper age for entrance to 24226
kindergarten or first grade by the first day of January of the24227
school year for which admission is requested shall be so tested24228
upon the request of the child's parent.24229

       (3) Notwithstanding divisions (A)(2) and (D) of this section, 24230
beginning with the school year that starts in 2001 and continuing 24231
thereafter the board of education of any district may adopt a24232
resolution establishing the first day of August in lieu of the24233
thirtieth day of September as the required date by which students24234
must have attained the age specified in those divisions.24235

       (B) As used in divisions (C) and (D) of this section,24236
"successfully completed kindergarten" and "successful completion24237
of kindergarten" mean that the child has completed the24238
kindergarten requirements at one of the following:24239

       (1) A public or chartered nonpublic school;24240

       (2) A kindergarten class that is both of the following:24241

       (a) Offered by a day-care provider licensed under Chapter24242
5104. of the Revised Code;24243

       (b) If offered after July 1, 1991, is directly taught by a24244
teacher who holds one of the following:24245

       (i) A valid educator license issued under section 3319.22 of24246
the Revised Code;24247

       (ii) A Montessori preprimary credential or age-appropriate24248
diploma granted by the American Montessori society or the24249
association Montessori internationale;24250

       (iii) Certification determined under division (G) of this24251
section to be equivalent to that described in division24252
(B)(2)(b)(ii) of this section;24253

       (iv) Certification for teachers in nontax-supported schools24254
pursuant to section 3301.071 of the Revised Code.24255

       (C) Except as provided in division (D) of this section, no24256
school district shall admit to the first grade any child who has24257
not successfully completed kindergarten.24258

       (D) Upon request of a parent, the requirement of division (C) 24259
of this section may be waived by the district's pupil personnel 24260
services committee in the case of a child who is at least six 24261
years of age by the thirtieth day of September of the year of 24262
admittance and who demonstrates to the satisfaction of the24263
committee the possession of the social, emotional, and cognitive24264
skills necessary for first grade.24265

       The board of education of each city, local, and exempted24266
village school district shall establish a pupil personnel services24267
committee. The committee shall be composed of all of the following 24268
to the extent such personnel are either employed by the district 24269
or employed by the governing board of the educational service 24270
center within whose territory the district is located and the 24271
educational service center generally furnishes the services of24272
such personnel to the district:24273

       (1) The director of pupil personnel services;24274

       (2) An elementary school counselor;24275

       (3) An elementary school principal;24276

       (4) A school psychologist;24277

       (5) A teacher assigned to teach first grade;24278

       (6) A gifted coordinator.24279

       The responsibilities of the pupil personnel services24280
committee shall be limited to the issuing of waivers allowing24281
admittance to the first grade without the successful completion of24282
kindergarten. The committee shall have no other authority except24283
as specified in this section.24284

       (E) The scheduling of times for kindergarten classes and24285
length of the school day for kindergarten shall be determined by24286
the board of education of a city, exempted village, or local24287
school district.24288

       (F) Any kindergarten class offered by a day-care provider or24289
school described by division (B)(1) or (B)(2)(a) of this section24290
shall be developmentally appropriate.24291

       (G) Upon written request of a day-care provider described by24292
division (B)(2)(a) of this section, the department of education24293
shall determine whether certification held by a teacher employed24294
by the provider meets the requirement of division (B)(2)(b)(iii)24295
of this section and, if so, shall furnish the provider a statement24296
to that effect.24297

       Sec. 3323.01.  As used in this chapter and Chapter 3321. of24298
the Revised Code:24299

       (A) "Handicapped child" means a person under twenty-two years 24300
of age who is developmentally handicapped, hearing handicapped, 24301
speech handicapped, visually disabled, severe behavior 24302
handicapped, orthopedically handicapped, multihandicapped, other 24303
health handicapped, specific learning disabled, autistic, or 24304
traumatic brain injured, and by reason thereof requires special 24305
education.24306

       (B) "Special education program" means the required related24307
services and instruction specifically designed to meet the unique24308
needs of a handicapped child, including classroom instruction,24309
home instruction, and instruction in hospitals and institutions24310
and in other settings.24311

       (C) "Related services" means transportation, and such24312
developmental, corrective, and other supportive services as may be 24313
required to assist a handicapped child to benefit from special24314
education, including the early identification and assessment of24315
handicapped conditions in children, speech pathology and24316
audiology, psychological services, occupational and physical24317
therapy, physical education, recreation, counseling services24318
including rehabilitative counseling, and medical services, except24319
that such medical services shall be for diagnostic and evaluation24320
purposes only.24321

       (D) "Appropriate public education" means special education24322
and related services that:24323

       (1) Are provided at public expense and under public24324
supervision;24325

       (2) Meet the standards of the state board of education;24326

       (3) Include an appropriate preschool, elementary, or24327
secondary education;24328

       (4) Are provided in conformity with the individualized24329
education program required under this chapter.24330

       (E) "Individualized education program" means a written24331
statement for each handicapped child designed to meet the unique24332
needs of a handicapped child, which statement shall include:24333

       (1) A statement of the present levels of educational24334
performance of such child;24335

       (2) A statement of annual goals, including short-term24336
instructional objectives;24337

       (3) A statement of the specific educational services to be24338
provided to such child, and the extent to which such child will be 24339
able to participate in regular educational programs;24340

       (4) A statement of the transition services needed for such24341
child beginning no later than age sixteen and annually thereafter24342
(and, when determined appropriate for such child, beginning at age 24343
fourteen or younger), including, when appropriate, a statement of 24344
the interagency responsibilities and linkages before the student 24345
leaves the school setting;24346

       (5) The projected date for initiation and anticipated24347
duration of such services;24348

       (6) Appropriate objective criteria and evaluation procedures 24349
and schedules for determining, on at least an annual basis, 24350
whether instructional objectives are being achieved, and whether 24351
current placement is appropriate.24352

       (F) "Other educational agency" means a department, division, 24353
bureau, office, institution, board, commission, committee, 24354
authority, or other state or local agency, other than a school 24355
district or an agency administered by the department of mental 24356
retardation and developmental disabilities, that provides or seeks 24357
to provide special education or related services to handicapped 24358
children.24359

       (G) "School district" means a city, local, or exempted24360
village school district.24361

       (H) "Parents" means either parent. If the parents are24362
separated or divorced, "parent" means the parent who is the24363
residential parent and legal custodian of the handicapped child.24364
Except as used in division (I) of this section and in sections24365
3323.09 and 3323.141 of the Revised Code, "parents" includes a24366
child's guardian or custodian. This definition does not apply to24367
Chapter 3321. of the Revised Code.24368

       (I) As used in sections 3323.09, 3323.091, 3323.13, and24369
3323.14 of the Revised Code, "school district of residence" means:24370

       (1) The school district in which the child's parents reside;24371

       (2) If the school district specified in division (I)(1) of24372
this section cannot be determined, the last school district in24373
which the child's parents are known to have resided if the24374
parents' whereabouts are unknown;24375

       (3) If the school district specified in division (I)(2) of24376
this section cannot be determined, the school district determined24377
by the court under section 2151.362 of the Revised Code, or if no24378
district has been so determined, the school district as determined 24379
by the probate court of the county in which the child resides. The 24380
school district of residence that had been established under this 24381
section on December 12, 1983, shall remain the child's school 24382
district of residence unless a district of residence can be 24383
determined under division (I)(1) or (2) of this section.24384

       (4) Notwithstanding divisions (I)(1) to (3) of this section, 24385
if a school district is required by section 3313.65 of the Revised 24386
Code to pay tuition for a child, that district shall be the 24387
child's school district of residence.24388

       (J) "County MR/DD board" means a county board of mental24389
retardation and developmental disabilities.24390

       (K) "Handicapped preschool child" means a handicapped child 24391
who is at least three years of age but is not of compulsory school 24392
age, as defined under section 3321.01 of the Revised Code, and who 24393
is not currently enrolled in kindergarten.24394

       (L) "Transition services" means a coordinated set of24395
activities for a student, designed within an outcome-oriented24396
process, that:24397

       (1) Promotes movement from school to post-school activities, 24398
including post-secondary education; vocational training; 24399
integrated employment, including supported employment; continuing 24400
and adult education; adult services; independent living; and 24401
community participation;24402

       (2) Is based upon the individual student's needs, including 24403
taking into account the student's preferences and interests;24404

       (3) Includes instruction, community experiences, the24405
development of employment and other post-school adult living24406
objectives, and, when appropriate, acquisition of daily living24407
skills and functional vocational evaluation.24408

       (M) "Visual disability" for any individual means that one of 24409
the following applies to the individual:24410

       (1) The individual has a visual acuity of 20/200 or less in 24411
the better eye with correcting lenses or has a limited field of 24412
vision in the better eye such that the widest diameter subtends an 24413
angular distance of no greater than twenty degrees.24414

       (2) The individual has a medically indicated expectation of 24415
meeting the requirements of division (M)(1) of this section over a 24416
period of time.24417

       (3) The individual has a medically diagnosed and medically 24418
uncorrectable limitation in visual functioning that adversely 24419
affects the individual's ability to read and write standard print 24420
at levels expected of the individual's peers of comparable ability 24421
and grade level.24422

       (N) "Student with a visual disability" means any person under 24423
twenty-two years of age who has a visual disability.24424

       (O) "Instruction in braille reading and writing" means the 24425
teaching of the system of reading and writing through touch 24426
commonly known as standard English braille.24427

       Sec. 3323.052.  Not later than sixty days after the effective 24428
date of this section, the department of education shall develop a 24429
document that compares a parent's and child's rights under this 24430
chapter and 20 U.S.C. 1400 et seq. with the parent's and child's 24431
rights under the special education scholarship pilot program, 24432
established in sections 3310.51 to 3310.63 of the Revised Code, 24433
including the provisions of divisions (A) and (B) of section 24434
3310.53 of the Revised Code. The department shall revise that 24435
document as necessary to reflect any pertinent changes in state or 24436
federal statutory law, rule, or regulation enacted or adopted 24437
after the initial document is developed. The department and each 24438
school district shall ensure that the document prescribed in this 24439
section is included in, appended to, or otherwise distributed in 24440
conjunction with the notice required under 20 U.S.C. 1415(d), and 24441
any provision of the Code of Federal Regulations implementing that 24442
requirement, in the manner and at all the times specified for such 24443
notice in federal law or regulation.24444

       Sec. 3323.11.  Teachers in education programs under this 24445
chapter shall possess the usual qualifications required of special 24446
education teachersintervention specialists in the public schools.24447

       Sec. 3327.05.  (A) Except as provided in division (B) of this 24448
section, no board of education of any school district shall24449
provide transportation for any pupil who is a school resident of24450
another school district unless the pupil is enrolled pursuant to24451
section 3313.98 of the Revised Code or the board of the other24452
district has given its written consent thereto. If the board of24453
any school district files with the state board of education a24454
written complaint that transportation for resident pupils is being 24455
provided by the board of another school district contrary to this 24456
division, the state board of education shall make an investigation 24457
of such complaint. If the state board of education finds that 24458
transportation is being provided contrary to this section, it may 24459
withdraw from state funds due the offending district any part of 24460
the amount that has been approved for transportation pursuant to 24461
division (D) of section 3317.022 of the Revised Code.24462

       (B) Notwithstanding division (D) of section 3311.19 and24463
division (D) of section 3311.52 of the Revised Code, this division 24464
does not apply to any joint vocational or cooperative education 24465
school district.24466

       A board of education may provide transportation to and from24467
the nonpublic high school of attendance if both of the following24468
apply:24469

       (1) The parent, guardian, or other person in charge of the24470
pupil agrees to pay the board for all costs incurred in providing24471
the transportation that are not reimbursed pursuant to Chapter24472
3317. of the Revised Code;24473

       (2) The pupil's school district of residence does not provide 24474
transportation for public school pupils of the same grade as the 24475
pupil being transported under this division, or that district is 24476
not required under section 3327.01 of the Revised Code to 24477
transport the pupil to and from the nonpublic school because the 24478
direct travel time to the nonpublic school is more than thirty 24479
minutes.24480

       Upon receipt of the request to provide transportation, the 24481
board shall review the request and determine whether the board 24482
will accommodate the request. If the board agrees to transport the 24483
pupil, the board may transport the pupil to and from the nonpublic 24484
school and a collection point in the district, as determined by 24485
the board. If the board transports the pupil, the board may 24486
include the pupil in the district's transportation ADM reported to 24487
the department of education under section 3317.03 of the Revised 24488
Code and, accordingly, may receive a state payment under division 24489
(D) of section 3317.022 of the Revised Code for transporting the 24490
pupil.24491

       If the board declines to transport the pupil, the board, in a 24492
written communication to the parent, guardian, or other person in 24493
charge of the pupil, shall state the reasons for declining the 24494
request.24495

       Sec. 3327.17. The department of development shall establish a 24496
biodiesel school bus program under which the director of 24497
development shall make grants to school districts that use 24498
biodiesel fuel for pupil transportation to help offset incremental 24499
costs incurred by using biodiesel instead of one hundred per cent 24500
petroleum diesel.24501

        As used in this section, "biodiesel" has the same meaning as 24502
in section 122.075 of the Revised Code.24503

       Sec. 3333.04.  The Ohio board of regents shall:24504

       (A) Make studies of state policy in the field of higher24505
education and formulate a master plan for higher education for the24506
state, considering the needs of the people, the needs of the24507
state, and the role of individual public and private institutions24508
within the state in fulfilling these needs;24509

       (B)(1) Report annually to the governor and the general24510
assembly on the findings from its studies and the master plan for24511
higher education for the state;24512

       (2) Report at least semiannually to the general assembly and24513
the governor the enrollment numbers at each state-assisted24514
institution of higher education.24515

       (C) Approve or disapprove the establishment of new branches24516
or academic centers of state colleges and universities;24517

       (D) Approve or disapprove the establishment of state24518
technical colleges or any other state institution of higher24519
education;24520

       (E) Recommend the nature of the programs, undergraduate,24521
graduate, professional, state-financed research, and public24522
services which should be offered by the state colleges,24523
universities, and other state-assisted institutions of higher24524
education in order to utilize to the best advantage their24525
facilities and personnel;24526

       (F) Recommend to the state colleges, universities, and other24527
state-assisted institutions of higher education graduate or24528
professional programs, including, but not limited to, doctor of24529
philosophy, doctor of education, and juris doctor programs, that24530
could be eliminated because they constitute unnecessary24531
duplication, as shall be determined using the process developed24532
pursuant to this section, or for other good and sufficient cause. 24533
For purposes of determining the amounts of any state instructional24534
subsidies paid to these colleges, universities, and institutions,24535
the board may exclude students enrolled in any program that the24536
board has recommended for elimination pursuant to this division24537
except that the board shall not exclude any such student who24538
enrolled in the program prior to the date on which the board24539
initially commences to exclude students under this division. The24540
board of regents and these colleges, universities, and24541
institutions shall jointly develop a process for determining which24542
existing graduate or professional programs constitute unnecessary24543
duplication.24544

       (G) Recommend to the state colleges, universities, and other24545
state-assisted institutions of higher education programs which24546
should be added to their present programs;24547

       (H) Conduct studies for the state colleges, universities, and 24548
other state-assisted institutions of higher education to assist 24549
them in making the best and most efficient use of their existing 24550
facilities and personnel;24551

       (I) Make recommendations to the governor and general assembly 24552
concerning the development of state-financed capital plans for 24553
higher education; the establishment of new state colleges, 24554
universities, and other state-assisted institutions of higher 24555
education; and the establishment of new programs at the existing 24556
state colleges, universities, and other institutions of higher 24557
education;24558

       (J) Review the appropriation requests of the public community 24559
colleges and the state colleges and universities and submit to the 24560
office of budget and management and to the chairpersons of the 24561
finance committees of the house of representatives and of the 24562
senate its recommendations in regard to the biennial higher24563
education appropriation for the state, including appropriations24564
for the individual state colleges and universities and public24565
community colleges. For the purpose of determining the amounts of 24566
instructional subsidies to be paid to state-assisted colleges and 24567
universities, the board shall define "full-time equivalent24568
student" by program per academic year. The definition may take24569
into account the establishment of minimum enrollment levels in24570
technical education programs below which support allowances will24571
not be paid. Except as otherwise provided in this section, the24572
board shall make no change in the definition of "full-time24573
equivalent student" in effect on November 15, 1981, which would24574
increase or decrease the number of subsidy-eligible full-time24575
equivalent students, without first submitting a fiscal impact24576
statement to the president of the senate, the speaker of the house 24577
of representatives, the legislative service commission, and the 24578
director of budget and management. The board shall work in close 24579
cooperation with the director of budget and management in this 24580
respect and in all other matters concerning the expenditures of 24581
appropriated funds by state colleges, universities, and other 24582
institutions of higher education.24583

       (K) Seek the cooperation and advice of the officers and24584
trustees of both public and private colleges, universities, and24585
other institutions of higher education in the state in performing24586
its duties and making its plans, studies, and recommendations;24587

       (L) Appoint advisory committees consisting of persons24588
associated with public or private secondary schools, members of24589
the state board of education, or personnel of the state department24590
of education;24591

       (M) Appoint advisory committees consisting of college and24592
university personnel, or other persons knowledgeable in the field24593
of higher education, or both, in order to obtain their advice and24594
assistance in defining and suggesting solutions for the problems24595
and needs of higher education in this state;24596

       (N) Approve or disapprove all new degrees and new degree24597
programs at all state colleges, universities, and other24598
state-assisted institutions of higher education;24599

       (O) Adopt such rules as are necessary to carry out its duties 24600
and responsibilities;24601

       (P) Establish and submit to the governor and the general24602
assembly a clear and measurable set of goals and timetables for24603
their achievement for each program under the supervision of the24604
board that is designed to accomplish any of the following:24605

       (1) Increased access to higher education;24606

       (2) Job training;24607

       (3) Adult literacy;24608

       (4) Research;24609

       (5) Excellence in higher education;24610

       (6) Reduction in the number of graduate programs within the24611
same subject area.24612

       In July of each odd-numbered year, the board of regents shall24613
submit to the governor and the general assembly a report on24614
progress made toward these goals.24615

       (Q) Make recommendations to the governor and the general24616
assembly regarding the design and funding of the student financial24617
aid programs specified in sections 3333.12, 3333.122, 3333.21 to24618
3333.27, and 5910.02 of the Revised Code;24619

       (R) Participate in education-related state or federal24620
programs on behalf of the state and assume responsibility for the24621
administration of such programs in accordance with applicable24622
state or federal law;24623

       (S) Adopt rules for student financial aid programs as24624
required by sections 3333.12, 3333.122, 3333.21 to 3333.27, 24625
3333.28, 3333.29, and 5910.02 of the Revised Code, and perform any 24626
other administrative functions assigned to the board by those24627
sections;24628

       (T) Administer contracts under sections 3702.74 and 3702.7524629
of the Revised Code in accordance with rules adopted by the24630
director of health under section 3702.79 of the Revised Code;24631

       (U) Conduct enrollment audits of state-supported institutions 24632
of higher education;24633

       (V) Appoint consortiums of college and university personnel24634
to participate in the development and operation of statewide24635
collaborative efforts, including the Ohio supercomputer center,24636
the Ohio academic resources network, OhioLink, and the Ohio24637
learning network. For each consortium, the board shall designate a24638
college or university to serve as that consortium's fiscal agent,24639
financial officer, and employer. Any funds appropriated to the24640
board for consortiums shall be distributed to the fiscal agents24641
for the operation of the consortiums. A consortium shall follow24642
the rules of the college or university that serves as its fiscal24643
agent.24644

       Sec. 3333.122.  (A) As used in this section:24645

       (1) "Eligible student" means a student who is:24646

       (a) An Ohio resident who first enrolls in an undergraduate 24647
program in the 2006-2007 academic year or thereafter;24648

       (b) EnrolledIf the student first enrolled in an 24649
undergraduate program in the 2006-2007 or 2007-2008 academic year, 24650
the student is enrolled in either of the following:24651

       (i) An accredited institution of higher education in this24652
state that meets the requirements of Title VI of the Civil Rights24653
Act of 1964 and is state-assisted, is nonprofit and has a24654
certificate of authorization from the Ohio board of regents24655
pursuant to Chapter 1713. of the Revised Code, has a certificate24656
of registration from the state board of career colleges and 24657
schools and program authorization to award an associate or24658
bachelor's degree, or is a private institution exempt from24659
regulation under Chapter 3332. of the Revised Code as prescribed24660
in section 3333.046 of the Revised Code. Students who attend an24661
institution that holds a certificate of registration shall be24662
enrolled in a program leading to an associate or bachelor's degree24663
for which associate or bachelor's degree program the institution24664
has program authorization issued under section 3332.05 of the24665
Revised Code.24666

       (ii) A technical education program of at least two years24667
duration sponsored by a private institution of higher education in24668
this state that meets the requirements of Title VI of the Civil24669
Rights Act of 1964.24670

       (c) If the student first enrolled in an undergraduate program 24671
after the 2007-2008 academic year, the student is enrolled in 24672
either of the following:24673

       (i) An accredited institution of higher education in this 24674
state that meets the requirements of Title VI of the Civil Rights 24675
Act of 1964 and is state-assisted, is nonprofit and has a 24676
certificate of authorization from the board of regents pursuant to 24677
Chapter 1713. of the Revised Code, or is a private institution 24678
exempt from regulation under Chapter 3332. of the Revised Code as 24679
prescribed in section 3333.046 of the Revised Code;24680

       (ii) An education program of at least two years duration 24681
sponsored by a private institution of higher education in this 24682
state that meets the requirements of Title VI of the Civil Rights 24683
Act of 1964 and has a certificate of authorization from the board 24684
of regents pursuant to Chapter 1713. of the Revised Code.24685

       (2) A student who participated in either the early college 24686
high school program administered by the department of education or 24687
in the post-secondary enrollment options program pursuant to 24688
Chapter 3365. of the Revised Code before the 2006-2007 academic 24689
year shall not be excluded from eligibility for a need based24690
needs-based financial aid grant under this section.24691

       (3) "Resident," "expected family contribution" or "EFC," 24692
"full-time student," "three-quarters-time student," "half-time 24693
student," "one-quarter-time student," and "accredited" shall be 24694
defined by rules adopted by the board.24695

       (B) The Ohio board of regents shall establish and administer24696
a needs-based financial aid program based on the United States 24697
department of education's method of determining financial need and 24698
may adopt rules to carry out this section. The program shall be 24699
known as the Ohio college opportunity grant program. The general 24700
assembly shall support the needs-based financial aid program by 24701
such sums and in such manner as it may provide, but the board may 24702
also receive funds from other sources to support the program. If 24703
the amounts available for support of the program are inadequate to 24704
provide grants to all eligible students, preference in the payment 24705
of grants shall be given in terms of expected family contribution, 24706
beginning with the lowest expected family contribution category 24707
and proceeding upward by category to the highest expected family 24708
contribution category.24709

       A needs-based financial aid grant shall be paid to an 24710
eligible student through the institution in which the student is 24711
enrolled, except that no needs-based financial aid grant shall be 24712
paid to any person serving a term of imprisonment. Applications 24713
for such grants shall be made as prescribed by the board, and such 24714
applications may be made in conjunction with and upon the basis of 24715
information provided in conjunction with student assistance 24716
programs funded by agencies of the United States government or 24717
from financial resources of the institution of higher education. 24718
The institution shall certify that the student applicant meets the 24719
requirements set forth in divisions (A)(1)(a) and (b) of this 24720
section. Needs-based financial aid grants shall be provided to an 24721
eligible student only as long as the student is making appropriate 24722
progress toward a nursing diploma or an associate or bachelor's 24723
degree. No student shall be eligible to receive a grant for more 24724
than ten semesters, fifteen quarters, or the equivalent of five 24725
academic years. A grant made to an eligible student on the basis 24726
of less than full-time enrollment shall be based on the number of 24727
credit hours for which the student is enrolled and shall be 24728
computed in accordance with a formula adopted by the board. No 24729
student shall receive more than one grant on the basis of less 24730
than full-time enrollment.24731

       A needs-based financial aid grant shall not exceed the total24732
instructional and general charges of the institution.24733

       (C) The tables in this division prescribe the maximum grant24734
amounts covering two semesters, three quarters, or a comparable24735
portion of one academic year. Grant amounts for additional terms24736
in the same academic year shall be determined under division (D)24737
of this section.24738

       As used in the tables in division (C) of this section:24739

        (1) "Private institution" means an institution that is 24740
nonprofit and has a certificate of authorization from the Ohio 24741
board of regents pursuant to Chapter 1713. of the Revised Code.24742

        (2) "Career college" means either an institution that holds a 24743
certificate of registration from the state board of career 24744
colleges and schools or a private institution exempt from 24745
regulation under Chapter 3332. of the Revised Code as prescribed 24746
in section 3333.046 of the Revised Code.24747

       Full-time students shall be eligible to receive awards 24748
according to the following table:24749

Full-Time Enrollment
24750

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: 24751
$2,101 $2,190 $300 $600 $480 24752
2,001 2,100 402 798 642 24753
1,901 2,000 498 1,002 798 24754
1,801 1,900 600 1,200 960 24755
1,701 1,800 702 1,398 1,122 24756
1,601 1,700 798 1,602 1,278 24757
1,501 1,600 900 1,800 1,440 24758
1,401 1,500 1,002 1,998 1,602 24759
1,301 1,400 1,098 2,202 1,758 24760
1,201 1,300 1,200 2,400 1,920 24761
1,101 1,200 1,302 2,598 2,082 24762
1,001 1,100 1,398 2,802 2,238 24763
901 1,000 1,500 3,000 2,400 24764
801 900 1,602 3,198 2,562 24765
701 800 1,698 3,402 2,718 24766
601 700 1,800 3,600 2,280 24767
501 600 1,902 3,798 3,042 24768
401 500 1,998 4,002 3,198 24769
301 400 2,100 4,200 3,360 24770
201 300 2,202 4,398 3,522 24771
101 200 2,298 4,602 3,678 24772
1 100 2,400 4,800 3,840 24773
0 0 2,496 4,992 3,996 24774

       Three-quarters-time students shall be eligible to receive 24775
awards according to the following table:24776

Three-Quarters-Time Enrollment
24777

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: 24778
$2,101 $2,190 $228 $450 $360 24779
2,001 2,100 300 600 480 24780
1,901 2,000 372 750 600 24781
1,801 1,900 450 900 720 24782
1,701 1,800 528 1,050 840 24783
1,601 1,700 600 1,200 960 24784
1,501 1,600 678 1,350 1,080 24785
1,401 1,500 750 1,500 1,200 24786
1,301 1,400 822 1,650 1,320 24787
1,201 1,300 900 1,800 1,440 24788
1,101 1,200 978 1,950 1,560 24789
1,001 1,100 1,050 2,100 1,680 24790
901 1,000 1,128 2,250 1,800 24791
801 900 1,200 2,400 1,920 24792
701 800 1,272 2,550 2,040 24793
601 700 1,350 2,700 2,160 24794
501 600 1,428 2,850 2,280 24795
401 500 1,500 3,000 2,400 24796
301 400 1,578 3,150 2,520 24797
201 300 1,650 3,300 2,640 24798
101 200 1,722 3,450 2,760 24799
1 100 1,800 3,600 2,880 24800
0 0 1,872 3,744 3,000 24801

       Half-time students shall be eligible to receive awards 24802
according to the following table:24803

Half-Time Enrollment
24804

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: 24805
$2,101 $2,190 $150 $300 $240 24806
2,001 2,100 204 402 324 24807
1,901 2,000 252 504 402 24808
1,801 1,900 300 600 480 24809
1,701 1,800 354 702 564 24810
1,601 1,700 402 804 642 24811
1,501 1,600 450 900 720 24812
1,401 1,500 504 1,002 804 24813
1,301 1,400 552 1,104 882 24814
1,201 1,300 600 1,200 960 24815
1,101 1,200 654 1,302 1,044 24816
1,001 1,100 702 1,404 1,122 24817
901 1,000 750 1,500 1,200 24818
801 900 804 1,602 1,284 24819
701 800 852 1,704 1,362 24820
601 700 900 1,800 1,440 24821
501 600 954 1,902 1,524 24822
401 500 1,002 2,004 1,602 24823
301 400 1,050 2,100 1,680 24824
201 300 1,104 2,202 1,764 24825
101 200 1,152 2,304 1,842 24826
1 100 1,200 2,400 1,920 24827
0 0 1,248 2,496 1,998 24828

       One-quarter-time students shall be eligible to receive awards 24829
according to the following table:24830

One-Quarter-Time Enrollment
24831

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: 24832
$2,101 $2,190 $78 $150 $120 24833
2,001 2,100 102 198 162 24834
1,901 2,000 126 252 198 24835
1,801 1,900 150 300 240 24836
1,701 1,800 174 348 282 24837
1,601 1,700 198 402 318 24838
1,501 1,600 228 450 360 24839
1,401 1,500 252 498 402 24840
1,301 1,400 276 552 438 24841
1,201 1,300 300 600 480 24842
1,101 1,200 324 648 522 24843
1,001 1,100 348 702 558 24844
901 1,000 378 750 600 24845
801 900 402 798 642 24846
701 800 426 852 678 24847
601 700 450 900 720 24848
501 600 474 948 762 24849
401 500 498 1,002 798 24850
301 400 528 1,050 840 24851
201 300 552 1,098 882 24852
101 200 576 1,152 918 24853
1 100 600 1,200 960 24854
0 0 624 1,248 1,002 24855

       (D) For a full-time student enrolled in an eligible24856
institution for a semester or quarter in addition to the portion24857
of the academic year covered by a grant determined under division24858
(C) of this section, the maximum grant amount shall be a24859
percentage of the maximum prescribed in the applicable table of24860
that division. The maximum grant for a fourth quarter shall be24861
one-third of the maximum amount prescribed under that division.24862
The maximum grant for a third semester shall be one-half of the24863
maximum amount prescribed under that division.24864

       (E) No grant shall be made to any student in a course of24865
study in theology, religion, or other field of preparation for a24866
religious profession unless such course of study leads to an24867
accredited bachelor of arts, bachelor of science, associate of24868
arts, or associate of science degree.24869

       (F)(1) Except as provided in division (F)(2) of this section, 24870
no grant shall be made to any student for enrollment during a 24871
fiscal year in an institution with a cohort default rate24872
determined by the United States secretary of education pursuant to24873
the "Higher Education Amendments of 1986," 100 Stat. 1278, 1408,24874
20 U.S.C.A. 1085, as amended, as of the fifteenth day of June24875
preceding the fiscal year, equal to or greater than thirty per24876
cent for each of the preceding two fiscal years.24877

       (2) Division (F)(1) of this section does not apply to the24878
following:24879

       (a) Any student enrolled in an institution that under the24880
federal law appeals its loss of eligibility for federal financial24881
aid and the United States secretary of education determines its24882
cohort default rate after recalculation is lower than the rate24883
specified in division (F)(1) of this section or the secretary24884
determines due to mitigating circumstances the institution may24885
continue to participate in federal financial aid programs. The24886
board shall adopt rules requiring institutions to provide24887
information regarding an appeal to the board.24888

       (b) Any student who has previously received a grant under24889
this section who meets all other requirements of this section.24890

       (3) The board shall adopt rules for the notification of all24891
institutions whose students will be ineligible to participate in24892
the grant program pursuant to division (F)(1) of this section.24893

       (4) A student's attendance at an institution whose students24894
lose eligibility for grants under division (F)(1) of this section24895
shall not affect that student's eligibility to receive a grant24896
when enrolled in another institution.24897

       (G) Institutions of higher education that enroll students24898
receiving needs-based financial aid grants under this section 24899
shall report to the board all students who have received 24900
needs-based financial aid grants but are no longer eligible for 24901
all or part of such grants and shall refund any moneys due the 24902
state within thirty days after the beginning of the quarter or 24903
term immediately following the quarter or term in which the 24904
student was no longer eligible to receive all or part of the 24905
student's grant. There shall be an interest charge of one per cent 24906
per month on all moneys due and payable after such thirty-day 24907
period. The board shall immediately notify the office of budget 24908
and management and the legislative service commission of all24909
refunds so received.24910

       Sec. 3333.38.  (A) As used in this section:24911

       (1) "Institution of higher education" includes all of the 24912
following:24913

       (a) A state institution of higher education, as defined in 24914
section 3345.011 of the Revised Code;24915

       (b) A nonprofit institution issued a certificate of 24916
authorization by the Ohio board of regents under Chapter 1713. of 24917
the Revised Code;24918

       (c) A private institution exempt from regulation under 24919
Chapter 3332. of the Revised Code, as prescribed in section 24920
3333.046 of the Revised Code;24921

       (d) An institution of higher education with a certificate of 24922
registration from the state board of career colleges and schools 24923
under Chapter 3332. of the Revised Code.24924

       (2) "Student financial assistance supported by state funds" 24925
includes assistance granted under sections 3315.33, 3333.12, 24926
3333.122, 3333.21, 3333.26, 3333.27, 3333.28, 3333.29, 3333.372, 24927
5910.03, 5910.032, and 5919.34 of the Revised Code and any other 24928
post-secondary student financial assistance supported by state 24929
funds.24930

       (B) An individual who is convicted of, pleads guilty to, or 24931
is adjudicated a delinquent child for one of the following 24932
violations shall be ineligible to receive any student financial 24933
assistance supported by state funds at an institution of higher 24934
education for two calendar years from the time the individual 24935
applies for assistance of that nature:24936

       (1) A violation of section 2917.02 or 2917.03 of the Revised 24937
Code;24938

       (2) A violation of section 2917.04 of the Revised Code that 24939
is a misdemeanor of the fourth degree;24940

       (3) A violation of section 2917.13 of the Revised Code that 24941
is a misdemeanor of the fourth or first degree and occurs within 24942
the proximate area where four or more others are acting in a 24943
course of conduct in violation of section 2917.11 of the Revised 24944
Code.24945

       (C) If an individual is convicted of, pleads guilty to, or is 24946
adjudicated a delinquent child for committing a violation of 24947
section 2917.02 or 2917.03 of the Revised Code, and if the 24948
individual is enrolled in a state-supported institution of higher 24949
education, the institution in which the individual is enrolled 24950
shall immediately dismiss the individual. No state-supported 24951
institution of higher education shall admit an individual of that 24952
nature for one academic year after the individual applies for 24953
admission to a state-supported institution of higher education. 24954
This division does not limit or affect the ability of a 24955
state-supported institution of higher education to suspend or 24956
otherwise discipline its students.24957

       Sec. 3333.50. The Ohio board of regents, in consultation with 24958
the governor and the department of development, shall develop a 24959
critical needs rapid response system to respond quickly to 24960
critical workforce shortages in the state. Not later than ninety 24961
days after a critical workforce shortage is identified, the 24962
chancellor of the board shall submit to the governor a proposal 24963
for addressing the shortage through initiatives of the board or 24964
institutions of higher education.24965

       Sec. 3345.02. As used in this section, "state institution of 24966
higher education" has the same meaning as in section 3345.011 of 24967
the Revised Code.24968

        Beginning in the 2008-2009 academic year, each state 24969
institution of higher education shall include in each statement of 24970
estimated or actual charges owed by a student enrolled in the 24971
institution an itemized list of the instructional fees, general 24972
fees, special purpose fees, service charges, fines, and any other 24973
fees or surcharges applicable to the student.24974

       Sec. 3353.20.  As used in sections 3353.20 to 3353.30 of the 24975
Revised Code:24976

       (A) "Clearinghouse" means the clearinghouse established under 24977
section 3353.21 of the Revised Code.24978

       (B) "Data verification code" means the code assigned to a 24979
student under division (D)(2) of section 3301.0714 of the Revised 24980
Code.24981

       (C) "One-half unit" of instruction has the same meaning as in 24982
section 3313.603 of the Revised Code.24983

       (D) A "student's community school" means the community school 24984
established under Chapter 3314. of the Revised Code in which the 24985
student is enrolled instead of being enrolled in a school operated 24986
by a school district.24987

       (E) A "student's school district" means the school district 24988
operating the school in which the student is lawfully enrolled.24989

       Sec. 3353.21.  (A) The eTech Ohio commission shall establish 24990
a clearinghouse of interactive distance learning courses and other 24991
distance learning courses delivered via a computer-based method 24992
offered by school districts for sharing with other school 24993
districts and community schools for the fee set pursuant to 24994
section 3353.24 of the Revised Code. The commission shall not be 24995
responsible for the content of courses offered through the 24996
clearinghouse; however, all such courses shall be delivered only 24997
in accordance with technical specifications approved by the 24998
commission.24999

       (B) To offer a course through the clearinghouse, a school 25000
district shall apply to the commission in a form and manner 25001
prescribed by the commission. The application for each course 25002
shall describe the course of study in as much detail as required 25003
by the commission, the qualification and credentials of the 25004
teacher, the number of hours of instruction, the technology 25005
required to deliver and receive the course, the technical capacity 25006
of the school district to deliver the course, the times that the 25007
school district plans to deliver the course, and any other 25008
information required by the commission. The commission may require 25009
school districts to include in their applications information 25010
recommended by the state board of education under section 3353.30 25011
of the Revised Code.25012

       (C) The commission shall review the technical specifications 25013
of each application submitted under division (B) of this section 25014
and shall approve a course offered if the commission determines 25015
that the school district can satisfactorily deliver the course 25016
through the technology necessary for that delivery. In reviewing 25017
applications, the commission may consult with the department of 25018
education; however, the responsibility to either approve or not 25019
approve a course for the clearinghouse belongs to the commission. 25020
The commission may request additional information from a school 25021
district that submits an application under division (B) of this 25022
section, if the commission determines that such information is 25023
necessary. The commission may negotiate changes in the proposal to 25024
offer a course, if the commission determines that changes are 25025
necessary in order to approve the course.25026

       (D) The commission shall catalog each course approved for the 25027
clearinghouse, through a print or electronic medium, displaying 25028
the following:25029

       (1) Information necessary for a student and the student's 25030
parent, guardian, or custodian and the student's school district 25031
or community school to decide whether to enroll in the course;25032

       (2) Instructions for enrolling in that course, including 25033
deadlines for enrollment.25034

       Sec. 3353.22.  (A) A student who is enrolled in a school 25035
operated by a school district or in a community school may enroll 25036
in a course included in the clearinghouse only if both of the 25037
following conditions are satisfied:25038

       (1) The student's enrollment in the course is approved by the 25039
student's school district or the student's community school.25040

       (2) The student's school district or the student's community 25041
school agrees to accept for credit the grade assigned by the 25042
district that is delivering the course.25043

       (B) For each student enrolling in a course, the student's 25044
school district or the student's community school shall transmit 25045
to the eTech Ohio commission only the student's data verification 25046
code and not the student's name. The commission shall transmit 25047
that student's code to the school district delivering the course.25048

       The district delivering the course may request from the 25049
student's school district or the student's community school the 25050
student's name and other information from the student's school 25051
record. The student's school district or the student's community 25052
school shall provide the requested information only in accordance 25053
with section 3319.321 of the Revised Code.25054

       (C) The student's school district or the student's community 25055
school shall determine the manner in which and facilities at which 25056
the student shall participate in the course consistent with 25057
specifications for technology and connectivity adopted by the 25058
commission.25059

       (D) A student may withdraw from a course prior to the end of 25060
the course only by a date and in a manner prescribed by the 25061
student's school district or community school.25062

       (E) A student who is enrolled in a school operated by a 25063
school district or in a community school and who takes a course 25064
included in the clearinghouse shall be counted in the formula ADM 25065
of a school district under section 3317.03 of the Revised Code as 25066
if the student were taking the course from the student's school 25067
district or the student's community school.25068

       Sec. 3353.23.  (A) The eTech Ohio commission shall keep a 25069
record of each student enrolled in each course included in the 25070
clearinghouse using the student's data verification code.25071

       (B) The commission shall report to the department of 25072
education the data verification code for each student enrolled in 25073
a course, the name of the school district delivering the course, 25074
the name of the student's school district or the name of the 25075
student's community school, the fee for the course, and the 25076
beginning and ending date of the course.25077

       Sec. 3353.24.  (A) Unless the eTech Ohio commission sets a 25078
different fee amount pursuant to division (B) of this section, the 25079
fee for each course that is the equivalent of one-half unit of 25080
instruction offered through the clearinghouse shall be one hundred 25081
seventy-five dollars per student. The commission shall set the fee 25082
for a course that is either less than or greater than one-half 25083
unit of instruction based on the proportional amount the course is 25084
either less than or greater than one-half unit of instruction.25085

       (B) The commission, by rule adopted in accordance with 25086
Chapter 119. of the Revised Code, may set a fee for courses 25087
offered through the clearinghouse at a rate other than the one 25088
specified in division (A) of this section.25089

       (C) The commission shall proportionally reduce the fee for 25090
any student who withdraws from a course prior to the end of the 25091
course pursuant to division (D) of section 3353.22 of the Revised 25092
Code.25093

       Sec. 3353.25.  For each student enrolled in a course included 25094
in the clearinghouse, in accordance with information reported 25095
under division (B) of section 3353.23 of the Revised Code and not 25096
later than the last day of that course, the department of 25097
education shall deduct the amount of the fee for that course from 25098
the student's school district or the student's community school, 25099
under division (P) of section 3317.023 or section 3314.086 or 25100
3317.161 of the Revised Code, and shall pay that amount to the 25101
school district delivering the course.25102

       Sec. 3353.26.  The grade for a student who enrolls in a 25103
course included in the clearinghouse shall be assigned by the 25104
school district that delivers the course and shall be transmitted 25105
by that district to the student's school district or the student's 25106
community school.25107

       Sec. 3353.27.  The eTech Ohio commission may determine the 25108
manner in which a course included in the clearinghouse may be 25109
offered as a dual enrollment program as defined in section 25110
3313.6013 of the Revised Code, may be offered to students who are 25111
enrolled in nonpublic schools or are instructed at home pursuant 25112
to section 3321.04 of the Revised Code, or may be offered at times 25113
outside the normal school day or school week, including any 25114
necessary additional fees and methods of payment for a course so 25115
offered.25116

       Sec. 3353.28.  The eTech Ohio commission shall adopt rules in 25117
accordance with Chapter 119. of the Revised Code prescribing 25118
procedures for the implementation of sections 3353.20 to 3353.27 25119
of the Revised Code.25120

       Sec. 3353.29.  Nothing in sections 3353.20 to 3353.28 of the 25121
Revised Code, or in rules implementing those sections, shall 25122
prohibit a school district from offering an interactive distance 25123
learning course or other distance learning course using a 25124
computer-based method through any means other than the 25125
clearinghouse established and maintained under those sections.25126

       Sec. 3353.30.  Not later than six months after the effective 25127
date of this section, the state board of education shall adopt a 25128
resolution recommending to the eTech Ohio commission the types of 25129
information about a distance learning course that the commission 25130
might require school districts to submit with their applications 25131
to include the course in the clearinghouse.25132

       Sec. 3357.01.  As used in sections 3357.01 to 3357.19,25133
inclusive, of the Revised Code:25134

       (A) "Technical college" means an institution of education25135
beyond the high school, including an institution of higher25136
education, organized for the principal purpose of providing for25137
the residents of the technical college district, wherein such25138
college is situated, any one or more of the instructional programs 25139
defined in this section as "technical-collegetechnical college," 25140
or "adult-education technical programs," normally not exceeding 25141
two years duration and not leading to a baccalaureate degree.25142

       (B) "Technical college district" means a political25143
subdivision of the state and a body corporate with all the powers25144
of a corporation, comprised of the territory of a city school25145
district or a county, or two or more contiguous school districts25146
or counties, which meets the standards prescribed by the Ohio25147
board of regents pursuant to section 3357.02 of the Revised Code,25148
and which is organized for the purpose of establishing, owning,25149
and operating one or more technical colleges within the territory25150
of such district.25151

       (C) "Contiguous school districts or counties" means school25152
districts or counties so located that each such school district or 25153
county shares at least one boundary or a portion thereof in common 25154
with at least one other such school district or county in the 25155
group of school districts or counties referred to as being25156
"contiguous."25157

       (D) "Technical college program" means a post high school25158
curricular program provided within a technical college, planned25159
and intended to qualify students, after satisfactory completion of 25160
such a program normally two years in duration, to pursue careers 25161
in which they provide immediate technical assistance to25162
professional or managerial persons generally required to hold25163
baccalaureate or higher academic degrees in technical or25164
professional fields. The technical and professional fields25165
referred to in this section include, but are not limited to,25166
engineering and physical, medical, or other sciences.25167

       (E) "Adult-education technical program" means the25168
dissemination of post high school technical education service and25169
knowledge, for the occupational, or general educational benefit of 25170
adult persons.25171

       (F) "Charter amendment" means a change in the official plan 25172
of a technical college for the purpose of acquiring additional 25173
lands or structures, disposing of or transferring lands or 25174
structures, erecting structures, creating or abolishing technical 25175
college or adult education technical curricular programs.25176

       (G) "Baccalaureate-oriented program" means a curricular 25177
program of not more than two years' duration that is planned and 25178
intended to enable students to gain academic credit for courses 25179
comparable to first- and second-year courses offered by accredited 25180
colleges and universities. The purpose of baccalaureate-oriented 25181
coursework in technical colleges is to enable students to transfer 25182
to colleges and universities and earn baccalaureate degrees or to 25183
enable students to terminate academic study after two years with a 25184
proportionate recognition of academic achievement through receipt 25185
of an associate degree.25186

       Sec. 3357.13. As used in this section, "state institution of 25187
higher education" has the same meaning as in section 3345.011 of 25188
the Revised Code.25189

        A technical college may offer baccalaureate-oriented programs 25190
regardless of its co-location with another state institution of 25191
higher education.25192

       Sec. 3365.01.  As used in this chapter:25193

       (A) "College" means any state-assisted college or university25194
described in section 3333.041 of the Revised Code, any nonprofit25195
institution holding a certificate of authorization pursuant to25196
Chapter 1713. of the Revised Code, any private institution exempt25197
from regulation under Chapter 3332. of the Revised Code as25198
prescribed in section 3333.046 of the Revised Code, and any25199
institution holding a certificate of registration from the state25200
board of career colleges and schools and program authorization for 25201
an associate or bachelor's degree program issued under section25202
3332.05 of the Revised Code.25203

       (B) "School district," except as specified in division (G) of 25204
this section, means any school district to which a student is25205
admitted under section 3313.64, 3313.65, 3313.98, or 3317.08 of25206
the Revised Code and does not include a joint vocational or25207
cooperative education school district.25208

       (C) "Parent" has the same meaning as in section 3313.64 of25209
the Revised Code.25210

       (D) "Participant" means a student enrolled in a college under 25211
the post-secondary enrollment options program established by this 25212
chapter.25213

       (E) "Secondary grade" means the ninth through twelfth grades.25214

       (F) "School foundation payments" means the amount required to 25215
be paid to a school district for a fiscal year under Chapter 3317. 25216
of the Revised Code.25217

       (G) "Tuition base" means, with respect to a participant's25218
school district, the greater of the following:25219

       (1) The fiscal year 2005 formula amount defined in section 25220
3317.02 of the Revised Code multiplied by the district's fiscal 25221
year 2005 cost-of-doing-business factor defined in that section;25222

       (2) The sum of (the current formula amount times the current 25223
cost-of-doing-business factor defined in section 3317.02 of the 25224
Revised Code) plus the per pupil amount of the base funding 25225
supplements specified in divisions (C)(1) to (4) of section 25226
3317.012 of the Revised Code.25227

       The participant's "school district" in the case of a 25228
participant enrolled in a community school shall be the school 25229
district in which the student is entitled to attend school under25230
section 3313.64 or 3313.65 of the Revised Code.25231

       (H) "Educational program" means enrollment in one or more25232
school districts, in a nonpublic school, or in a college under25233
division (B) of section 3365.04 of the Revised Code.25234

       (I) "Nonpublic school" means a chartered or nonchartered25235
school for which minimum standards are prescribed by the state25236
board of education pursuant to division (D) of section 3301.07 of25237
the Revised Code.25238

       (J) "School year" means the year beginning on the first day25239
of July and ending on the thirtieth day of June.25240

       (K) "Community school" means any school established pursuant25241
to Chapter 3314. of the Revised Code that includes secondary25242
grades.25243

       (L) "Community school payments" means payments made by the25244
department of education to a community school pursuant to division25245
(D) of section 3314.08 of the Revised Code.25246

       Sec. 3375.05.  The board of trustees of any public library25247
receiving money from a county's library and local government25248
supportlibraries fund that desires to render public library 25249
service by means of branches, library stations, or traveling 25250
library service to the inhabitants of any school district, other 25251
than a school district situated within the territorial boundaries 25252
of the subdivision or district over which said board has 25253
jurisdiction of free public library service, may make application 25254
to the state library board, upon forms provided by said board, for 25255
the establishment of such service. Said application shall set 25256
forth the total number of people being served by said library on 25257
the date of said application; an inventory of the books owned by 25258
said library; the number of branches, library stations, and 25259
traveling library service maintained by said library on the date 25260
of said application; the number and classification of the 25261
employees of said library and such other information as the state 25262
library board deems pertinent. Such application shall be 25263
accompanied by a financial statement of the library making the 25264
application covering the two fiscal years next preceding the date 25265
of said application. Upon receipt of said application by the state25266
library board, the state librarian, or an employee of the state25267
library board designated by such librarian, shall visit the25268
library making the application for the purpose of determining25269
whether or not the establishment of branches, library stations, or 25270
traveling library service as requested in said application will 25271
promote better library service in the district covered by said 25272
application. Upon the completion of such inspection, the25273
librarian, or the person designated by the librarian to make such25274
inspection, shall prepare a written report setting forth histhe25275
librarian's or designee's recommendations pertaining to the 25276
establishment of the branches, stations, or traveling library 25277
service as set forth in the application. Such report shall be 25278
submitted to the state library board within ninety days after the 25279
receipt of such application by the state library board. Within 25280
thirty days after such report has been filed with the state 25281
library board, said board shall either approve or disapprove, in 25282
whole or in part, the establishment of branches, library stations, 25283
or traveling library service as requested in said application. The 25284
decision of the state library board shall be final. Within ten 25285
days after final action has been taken by the state library board, 25286
upon such application, the librarian shall notify in writing the 25287
board of trustees of the public library making such application of 25288
the decision of the state library board.25289

       The state library board may withdraw its approval of library 25290
service rendered by any library to the inhabitants of a school 25291
district other than the school district in which the main library 25292
of such library is located. At least thirty days before the 25293
approval of such service may be withdrawn, the state library board 25294
shall give written notice to the board of trustees of the library 25295
rendering the service and the board of education of the school 25296
district to which such service is being rendered. Such notice 25297
shall set forth the reasons for the withdrawal of the approval of 25298
such service. If the board of trustees of the library rendering 25299
such service, or the board of education of a school district to 25300
which such service is being rendered, objects to the withdrawal of 25301
such approval it may, within twenty days of the receipt of such 25302
notice, request, in writing, the state library board to hold a 25303
hearing for the purpose of hearing protests to the withdrawal of 25304
such approval. Upon the receipt of such request, the state library 25305
board shall set the time and place of such hearing which shall be 25306
held within the territorial boundaries of the school district 25307
being served by the branch, station, or traveling library service 25308
whose continued operation is in question. Such hearing shall be 25309
held not less than thirty days after the receipt by the state 25310
library board of the request for such hearing. The state library 25311
board shall take no action on the withdrawal of approval of such 25312
service until after the holding of such hearing. The decision of 25313
the state library board shall be final.25314

       Sec. 3375.121.  (A) In any municipal corporation, not located 25315
in a county library district, which has a population of not less 25316
than twenty-five thousand, and within which there is not located a 25317
main library of a township, municipal, school district,25318
association, or county free public library, a library district may 25319
be created by a resolution adopted by the legislative authority of 25320
that municipal corporation. No such resolution shall be adopted 25321
after one year from June 20, 1977. Upon the adoption of such a 25322
resolution, any branches of an existing library that are located 25323
in that municipal corporation shall become the property of the 25324
municipal library district created.25325

       The municipal corporation and the board of trustees of the25326
public library maintaining any existing branches in that municipal 25327
corporation shall forthwith take appropriate action transferring 25328
all title and interest in all real and personal property located 25329
in that municipal corporation in the name of the library district 25330
maintaining those branches in that municipal corporation to the 25331
municipal corporation adopting the appropriate resolution. Upon 25332
transfer of all title and interest in that property, the branches 25333
shall become a part of, and be operated by, the board of library 25334
trustees appointed by the mayor.25335

       (B) In any municipal corporation that has a population of25336
less than twenty-five thousand and that has not less than one25337
hundred thousand dollars available from a bequest for the25338
establishment of a municipal library, the legislative authority of 25339
that municipal corporation may adopt, within one year after June 25340
20, 1977, a resolution creating a library district. Upon the 25341
establishment of any such library district, the board of trustees 25342
of any library operating a branch library in that municipal25343
corporation shall not be required to transfer any property to the25344
newly established library.25345

       (C) The board of library trustees of any library district 25346
created under this section shall be composed of six members. Those25347
trustees shall be appointed by the mayor, to serve without25348
compensation, for a term of four years. In the first instance,25349
three of those trustees shall be appointed for a term of two25350
years, and three of them shall be appointed for a term of four 25351
years. Vacancies shall be filled by like appointment for the 25352
unexpired term. A library district created under this section 25353
shall be governed in accordance with and exercise the authority 25354
provided for in sections 3375.32 to 3375.41 of the Revised Code.25355

       Notwithstanding any contrary provision of section 3.24 of the 25356
Revised Code, the president of a board of township trustees may 25357
administer the oath of office to a person or persons representing 25358
the township on the board of library trustees of any library 25359
district created under this section, even if the geographical 25360
limits of the library district do not fall within the geographical 25361
limits of the township.25362

       (D) Any library district created under this section is25363
eligible to participate in the proceeds of the county library and25364
local government supportlibraries fund in accordance with section 25365
5705.28 of the Revised Code.25366

       (E) A municipal corporation may establish and operate a free25367
public library regardless of whether the municipal corporation is 25368
located in a county library district or school library district, 25369
if all of the following conditions are met:25370

       (1) The facility in which the library is principally located 25371
is transferred to the municipal corporation from the county 25372
library district or school library district in which it is located 25373
prior to January 1, 1996.25374

       (2) The population of the municipal corporation is less than 25375
five hundred when the library is transferred from the county 25376
library district or school library district to the municipal 25377
corporation.25378

       (3) The municipal corporation does not establish a municipal 25379
library district under this section.25380

       (4) The library does not receive any proceeds from the county 25381
library and local government supportlibraries fund under section 25382
5747.48 of the Revised Code.25383

       Sec. 3375.40.  Each board of library trustees appointed25384
pursuant to section 3375.06, 3375.10, 3375.12, 3375.15, 3375.22, 25385
or 3375.30 of the Revised Code may do the following:25386

       (A) Hold title to and have the custody of all real and25387
personal property of the free public library under its25388
jurisdiction;25389

       (B) Expend for library purposes, and in the exercise of the 25390
power enumerated in this section, all moneys, whether derived from 25391
the county library and local government supportlibraries fund or25392
otherwise, credited to the free public library under its25393
jurisdiction and generally do all things it considers necessary25394
for the establishment, maintenance, and improvement of the free 25395
public library under its jurisdiction;25396

       (C) Purchase, lease, construct, remodel, renovate, or25397
otherwise improve, equip, and furnish buildings or parts of25398
buildings and other real property, and purchase, lease, or 25399
otherwise acquire motor vehicles and other personal property, 25400
necessary for the proper maintenance and operation of the free 25401
public library under its jurisdiction, and pay their costs in 25402
installments or otherwise. Financing of these costs may be 25403
provided through the issuance of notes, through an installment 25404
sale, or through a lease-purchase agreement. Any such notes shall 25405
be issued pursuant to section 3375.404 of the Revised Code.25406

       (D) Purchase, lease, lease with an option to purchase, or25407
erect buildings or parts of buildings to be used as main25408
libraries, branch libraries, or library stations pursuant to25409
section 3375.41 of the Revised Code;25410

       (E) Establish and maintain a main library, branches, library 25411
stations, and traveling library service within the territorial 25412
boundaries of the political subdivision or district over which it 25413
has jurisdiction of free public library service;25414

       (F) Except as otherwise provided in this division, establish 25415
and maintain branches, library stations, and traveling library 25416
service in any school district, outside the territorial boundaries 25417
of the political subdivision or district over which it has 25418
jurisdiction of free public library service, upon application to 25419
and approval of the state library board, pursuant to section 25420
3375.05 of the Revised Code. The board of library trustees of any 25421
free public library maintaining branches, stations, or traveling 25422
library service, outside the territorial boundaries of the 25423
political subdivision or district over which it has jurisdiction 25424
of free public library service, on September 4, 1947, may continue 25425
to maintain and operate those branches, those stations, and that25426
traveling library service without the approval of the state25427
library board.25428

       (G) Appoint and fix the compensation of all of the employees 25429
of the free public library under its jurisdiction, pay the 25430
reasonable cost of tuition for any of its employees who enroll in 25431
a course of study the board considers essential to the duties of 25432
the employee or to the improvement of the employee's performance, 25433
and reimburse applicants for employment for any reasonable 25434
expenses they incur by appearing for a personal interview;25435

       (H) Make and publish rules for the proper operation and25436
management of the free public library and facilities under its 25437
jurisdiction, including rules pertaining to the provision of 25438
library services to individuals, corporations, or institutions 25439
that are not inhabitants of the county;25440

       (I) Assess uniform fees for the provision of services to 25441
patrons of the library, but no fee shall be assessed for the 25442
circulation of printed materials held by the library except for 25443
the assessment of fines for materials not returned in accordance 25444
with the board's rules;25445

        (J) Establish and maintain a museum in connection with and as 25446
an adjunct to the free public library under its jurisdiction;25447

       (K) By the adoption of a resolution, accept any bequest,25448
gift, or endowment upon the conditions connected with the bequest, 25449
gift, or endowment. No such bequest, gift, or endowment shall be 25450
accepted by the board if its conditions remove any portion of the 25451
free public library under the board's jurisdiction from the 25452
control of the board or if the conditions, in any manner, limit 25453
the free use of the library or any part of it by the residents of 25454
the counties in which the library is located.25455

       (L) At the end of any fiscal year, by a two-thirds vote of25456
its full membership, set aside any unencumbered surplus remaining25457
in the general fund of the free public library under its 25458
jurisdiction for any purpose, including creating or increasing a 25459
special building and repair fund, or for operating the library or 25460
acquiring equipment and supplies;25461

       (M) Procure and pay all or part of the cost of group term 25462
life, hospitalization, surgical, major medical, disability 25463
benefit, dental care, eye care, hearing aids, or prescription drug25464
insurance or coverage, or a combination of any of those types of25465
insurance or coverage, whether issued by an insurance company or a 25466
health insuring corporation duly licensed by the state, covering 25467
its employees, and, in the case of group term life,25468
hospitalization, surgical, major medical, dental care, eye care, 25469
hearing aids, or prescription drug insurance or coverage, also 25470
covering the dependents and spouses of its employees, and, in the 25471
case of disability benefits, also covering the spouses of its 25472
employees.25473

       (N) Pay reasonable dues and expenses for the free public 25474
library and library trustees in library associations.25475

       Any instrument by which real property is acquired pursuant to 25476
this section shall identify the agency of the state that has the 25477
use and benefit of the real property as specified in section 25478
5301.012 of the Revised Code.25479

       Sec. 3375.85.  An interstate library district lying partly25480
within this state may claim and be entitled to receive state aid,25481
other than aid from the library and local government support25482
libraries fund, in support of any of its functions to the same 25483
extent and in the same manner as such functions are eligible for 25484
suportsupport when carried on by entities wholly within this 25485
state. For the purposes of computing and apportioning such state 25486
aid to an interstate library district, this state will consider 25487
that portion of the area which lies within this state as an25488
independent entity for the performance of the aided function or25489
functions and compute and apportion the aid accordingly. Any25490
library association that was organized and operated prior to25491
January 1, 1968, and which pursuant to the authority granted in25492
section 3375.83 of the Revised Code, has become part of an25493
interstate library district shall be considered a library25494
association under section 5705.28 of the Revised Code and entitled 25495
to participate in the county library and local government support25496
libraries fund and other public funds. Subject to any applicable 25497
laws of this state, such a district also may apply for and be 25498
entitled to receive any federal aid for which it may be eligible.25499

       Sec. 3381.04.  (A) In lieu of the procedure set forth in25500
section 3381.03 of the Revised Code, any county with a population 25501
of five hundred thousand or more, at any time before the creation 25502
of a regional arts and cultural district under that section, may 25503
create a regional arts and cultural district by adoption of a 25504
resolution by the board of county commissioners of that county. 25505
The resolution shall state all of the following:25506

       (1) The purposes for the creation of the district;25507

        (2) That the territory of the district shall be coextensive 25508
with the territory of the county;25509

       (3) The official name by which the district shall be known;25510

       (4) The location of the principal office of the district or 25511
the manner in which the location shall be selected.25512

       (B) The district provided for in the resolution shall be 25513
created upon the adoption of the resolution by the board of county 25514
commissioners of that county. Upon the adoption of the resolution, 25515
the county and the municipal corporations and townships contained 25516
in the county shall not thereafter be a part of any other regional 25517
arts and cultural district.25518

       (C) The board of trustees of any regional arts and cultural25519
district formed in accordance with this section shall be comprised 25520
of threefive members appointed by the board of county 25521
commissioners.25522

       Sec. 3501.17.  (A) The expenses of the board of elections 25523
shall be paid from the county treasury, in pursuance of 25524
appropriations by the board of county commissioners, in the same 25525
manner as other county expenses are paid. If the board of county 25526
commissioners fails to appropriate an amount sufficient to provide 25527
for the necessary and proper expenses of the board of elections 25528
pertaining to the conduct of elections, the board of elections 25529
may apply to the court of common pleas within the county, which 25530
shall fix the amount necessary to be appropriated and the amount 25531
shall be appropriated. Payments shall be made upon vouchers of the 25532
board of elections certified to by its chairperson or acting 25533
chairperson and the director or deputy director, upon warrants of 25534
the county auditor.25535

       The board of elections shall not incur any obligation 25536
involving the expenditure of money unless there are moneys 25537
sufficient in the funds appropriated therefor to meet the 25538
obligation. If the board of elections requests a transfer of funds 25539
from one of its appropriation items to another, the board of 25540
county commissioners shall adopt a resolution providing for the 25541
transfer except as otherwise provided in section 5705.40 of the 25542
Revised Code. The expenses of the board of elections shall be 25543
apportioned among the county and the various subdivisions as 25544
provided in this section, and the amount chargeable to each 25545
subdivision shall be withheld by the auditor from the moneys 25546
payable thereto at the time of the next tax settlement. At the 25547
time of submitting budget estimates in each year, the board of 25548
elections shall submit to the taxing authority of each 25549
subdivision, upon the request of the subdivision, an estimate of 25550
the amount to be withheld from the subdivision during the next 25551
fiscal year.25552

       (B) Except as otherwise provided in division (F) of this 25553
section, the entire compensation of the members of the board of 25554
elections and of the director, deputy director, and otherregular25555
employees in the board's offices, other than compensation for 25556
overtime worked; the expenditures for the rental, furnishing, and 25557
equipping of the office of the board and for the necessary office 25558
supplies for the use of the board; the expenditures for the 25559
acquisition, repair, care, and custody of the polling places, 25560
booths, guardrails, and other equipment for polling places; the 25561
cost of pollbooks, tally sheets, maps, flags, ballot boxes, and 25562
all other permanent records and equipment; the cost of all 25563
elections held in and for the state and county; and all other 25564
expenses of the board which are not chargeable to a political 25565
subdivision in accordance with this section shall be paid in the 25566
same manner as other county expenses are paid.25567

       (C) The compensation of judges andof elections, clerks of 25568
elections, and intermittent employees in the board's offices; the25569
cost of renting, moving, heating, and lighting polling places and25570
of placing and removing ballot boxes and other fixtures and25571
equipment thereof, including voting machines, marking devices, and 25572
automatic tabulating equipment; the cost of printing and 25573
delivering ballots, cards of instructions, registration lists 25574
required under section 3503.23 of the Revised Code, and other 25575
election supplies, including the supplies required to comply with 25576
division (H) of section 3506.01 of the Revised Code; the cost of 25577
contractors engaged by the board to prepare, program, test, and 25578
operate voting machines, marking devices, and automatic tabulating 25579
equipment; and all other expenses of conducting primaries and 25580
elections in the odd-numbered years shall be charged to the 25581
subdivisions in and for which such primaries or elections are 25582
held. The charge for each primary or general election in 25583
odd-numbered years for each subdivision shall be determined in the 25584
following manner: first, the total cost of all chargeable items 25585
used in conducting such elections shall be ascertained; second, 25586
the total charge shall be divided by the number of precincts 25587
participating in such election, in order to fix the cost per 25588
precinct; third, the cost per precinct shall be prorated by the 25589
board of elections to the subdivisions conducting elections for 25590
the nomination or election of offices in such precinct; fourth, 25591
the total cost for each subdivision shall be determined by adding 25592
the charges prorated to it in each precinct within the 25593
subdivision.25594

       (D) The entire cost of special elections held on a day other25595
than the day of a primary or general election, both in25596
odd-numbered or in even-numbered years, shall be charged to the25597
subdivision. Where a special election is held on the same day as a 25598
primary or general election in an even-numbered year, the25599
subdivision submitting the special election shall be charged only25600
for the cost of ballots and advertising. Where a special election 25601
is held on the same day as a primary or general election in an 25602
odd-numbered year, the subdivision submitting the special election 25603
shall be charged for the cost of ballots and advertising for such 25604
special election, in addition to the charges prorated to such 25605
subdivision for the election or nomination of candidates in each 25606
precinct within the subdivision, as set forth in the preceding 25607
paragraph.25608

       (E) Where a special election is held on the day specified by25609
division (E) of section 3501.01 of the Revised Code for the25610
holding of a primary election, for the purpose of submitting to25611
the voters of the state constitutional amendments proposed by the25612
general assembly, and a subdivision conducts a special election on 25613
the same day, the entire cost of the special election shall be25614
divided proportionally between the state and the subdivision based 25615
upon a ratio determined by the number of issues placed on the 25616
ballot by each, except as otherwise provided in division (G) of 25617
this section. Such proportional division of cost shall be made 25618
only to the extent funds are available for such purpose from25619
amounts appropriated by the general assembly to the secretary of25620
state. If a primary election is also being conducted in the25621
subdivision, the costs shall be apportioned as otherwise provided25622
in this section.25623

       (F) When a precinct is open during a general, primary, or 25624
special election solely for the purpose of submitting to the 25625
voters a statewide ballot issue, the state shall bear the entire 25626
cost of the election in that precinct and shall reimburse the 25627
county for all expenses incurred in opening the precinct.25628

       (G) The state shall bear the entire cost of advertising in25629
newspapers statewide ballot issues, explanations of those issues, 25630
and arguments for or against those issues, as required by Section25631
1g of Article II and Section 1 of Article XVI, Ohio Constitution, 25632
and any other section of law and shall reimburse the counties for 25633
all expenses they incur for such advertising.25634

       (H) The cost of renting, heating, and lighting registration25635
places; the cost of the necessary books, forms, and supplies for25636
the conduct of registration; and the cost of printing and posting25637
precinct registration lists shall be charged to the subdivision in 25638
which such registration is held.25639

       (I) As used in this section, "statewide:25640

       (1) "Political subdivision" and "subdivision" mean any board 25641
of county commissioners, board of township trustees, legislative 25642
authority of a municipal corporation, board of education, or any 25643
other board, commission, district, or authority that is empowered 25644
to levy taxes or permitted to receive the proceeds of a tax levy, 25645
regardless of whether the entity receives tax settlement moneys as 25646
described in division (A) of this section;25647

        (2) "Statewide ballot issue" means any ballot issue, whether 25648
proposed by the general assembly or by initiative or referendum, 25649
that is submitted to the voters throughout the state.25650

       Sec. 3701.135. (A) The autism diagnosis education pilot 25651
program is hereby established in the department of health. The 25652
program shall have the following goals:25653

        (1) To educate health care professionals, teachers and other 25654
educational personnel, child care providers, parents, early 25655
intervention and developmental disabilities providers, and other 25656
community-based services providers in this state regarding the 25657
diagnosis of autism spectrum disorders, including the range of 25658
symptoms that may indicate autism spectrum disorders and screening 25659
tools;25660

       (2) To promote appropriate standards for the diagnosis of 25661
autism spectrum disorders in children, including screening tools 25662
and treatment planning for children diagnosed with autism spectrum 25663
disorders;25664

        (3) To encourage physicians and other health care 25665
professionals with expertise in screening, diagnosing, and 25666
treating autism spectrum disorders to share that information with 25667
other health care professionals in this state;25668

        (4) To encourage the regional coordination of services to 25669
facilitate the effective, timely treatment of children diagnosed 25670
with autism spectrum disorders.25671

        (B) The director of health shall contract with a public or 25672
private entity to conduct or administer the autism diagnosis 25673
education pilot program.25674

       Sec. 3701.74.  (A) As used in this section and section25675
3701.741 of the Revised Code:25676

       (1) "Ambulatory care facility" means a facility that provides25677
medical, diagnostic, or surgical treatment to patients who do not25678
require hospitalization, including a dialysis center, ambulatory25679
surgical facility, cardiac catheterization facility, diagnostic25680
imaging center, extracorporeal shock wave lithotripsy center, home25681
health agency, inpatient hospice, birthing center, radiation25682
therapy center, emergency facility, and an urgent care center.25683
"Ambulatory care facility" does not include the private office of25684
a physician or dentist, whether the office is for an individual or25685
group practice.25686

       (2) "Chiropractor" means an individual licensed under Chapter25687
4734. of the Revised Code to practice chiropractic.25688

       (3) "Emergency facility" means a hospital emergency25689
department or any other facility that provides emergency medical25690
services.25691

       (4) "Health care practitioner" means all of the following:25692

       (a) A dentist or dental hygienist licensed under Chapter25693
4715. of the Revised Code;25694

       (b) A registered or licensed practical nurse licensed under25695
Chapter 4723. of the Revised Code;25696

       (c) An optometrist licensed under Chapter 4725. of the25697
Revised Code;25698

       (d) A dispensing optician, spectacle dispensing optician,25699
contact lens dispensing optician, or spectacle-contact lens25700
dispensing optician licensed under Chapter 4725. of the Revised25701
Code;25702

       (e) A pharmacist licensed under Chapter 4729. of the Revised25703
Code;25704

       (f) A physician;25705

       (g) A physician assistant authorized under Chapter 4730. of25706
the Revised Code to practice as a physician assistant;25707

       (h) A practitioner of a limited branch of medicine issued a25708
certificate under Chapter 4731. of the Revised Code;25709

       (i) A psychologist licensed under Chapter 4732. of the25710
Revised Code;25711

       (j) A chiropractor;25712

       (k) A hearing aid dealer or fitter licensed under Chapter25713
4747. of the Revised Code;25714

       (l) A speech-language pathologist or audiologist licensed25715
under Chapter 4753. of the Revised Code;25716

       (m) An occupational therapist or occupational therapy25717
assistant licensed under Chapter 4755. of the Revised Code;25718

       (n) A physical therapist or physical therapy assistant25719
licensed under Chapter 4755. of the Revised Code;25720

       (o) A professional clinical counselor, professional25721
counselor, social worker, or independent social worker licensed,25722
or a social work assistant registered, under Chapter 4757. of the25723
Revised Code;25724

       (p) A dietitian licensed under Chapter 4759. of the Revised25725
Code;25726

       (q) A respiratory care professional licensed under Chapter25727
4761. of the Revised Code;25728

       (r) An emergency medical technician-basic, emergency medical25729
technician-intermediate, or emergency medical technician-paramedic25730
certified under Chapter 4765. of the Revised Code.25731

       (5) "Health care provider" means a hospital, ambulatory care 25732
facility, long-term care facility, pharmacy, emergency facility, 25733
or health care practitioner.25734

       (6) "Hospital" has the same meaning as in section 3727.01 of25735
the Revised Code.25736

       (7) "Long-term care facility" means a nursing home,25737
residential care facility, or home for the aging, as those terms25738
are defined in section 3721.01 of the Revised Code; an adult care25739
facility, as defined in section 3722.01 of the Revised Code; a25740
nursing facility or intermediate care facility for the mentally25741
retarded, as those terms are defined in section 5111.20 of the25742
Revised Code; a facility or portion of a facility certified as a25743
skilled nursing facility under Title XVIII of the "Social Security25744
Act," 49 Stat. 286 (1965), 42 U.S.C.A. 1395, as amended.25745

       (8) "Medical record" means data in any form that pertains to 25746
a patient's medical history, diagnosis, prognosis, or medical25747
condition and that is generated and maintained by a health care25748
provider in the process of the patient's health care treatment.25749

       (9) "Medical records company" means a person who stores,25750
locates, or copies medical records for a health care provider, or25751
is compensated for doing so by a health care provider, and charges25752
a fee for providing medical records to a patient or patient's25753
representative.25754

       (10) "Patient" means either of the following:25755

       (a) An individual who received health care treatment from a25756
health care provider;25757

       (b) A guardian, as defined in section 1337.11 of the Revised25758
Code, of an individual described in division (A)(10)(a) of this25759
section.25760

       (11) "Patient's personal representative" means a minor 25761
patient's parent or other person acting in loco parentis, a 25762
court-appointed guardian, or a person with durable power of 25763
attorney for health care for a patient, the executor or 25764
administrator of the patient's estate, or the person responsible25765
for the patient's estate if it is not to be probated. "Patient's 25766
personal representative" does not include an insurer authorized 25767
under Title XXXIX of the Revised Code to do the business of25768
sickness and accident insurance in this state, a health insuring 25769
corporation holding a certificate of authority under Chapter 1751. 25770
of the Revised Code, or any other person not named in this 25771
division.25772

       (12) "Pharmacy" has the same meaning as in section 4729.01 of25773
the Revised Code.25774

       (13) "Physician" means a person authorized under Chapter25775
4731. of the Revised Code to practice medicine and surgery,25776
osteopathic medicine and surgery, or podiatric medicine and 25777
surgery.25778

       (14) "Authorized person" means a person to whom a patient has 25779
given written authorization to act on the patient's behalf 25780
regarding the patient's medical record.25781

       (B) A patient, a patient's personal representative or an 25782
authorized person who wishes to examine or obtain a copy of part 25783
or all of a medical record shall submit to the health care 25784
provider a written request signed by the patient, personal 25785
representative, or authorized person dated not more than sixty 25786
daysone year before the date on which it is submitted. The 25787
request shall indicate whether the copy is to be sent to the 25788
requestor, physician or chiropractor, , or held for the requestor 25789
at the office of the health care provider. Within a reasonable25790
time after receiving a request that meets the requirements of this25791
division and includes sufficient information to identify the25792
record requested, a health care provider that has the patient's25793
medical records shall permit the patient to examine the record 25794
during regular business hours without charge or, on request, shall 25795
provide a copy of the record in accordance with section 3701.741 25796
of the Revised Code, except that if a physician or chiropractor 25797
who has treated the patient determines for clearly stated 25798
treatment reasons that disclosure of the requested record is 25799
likely to have an adverse effect on the patient, the health care 25800
provider shall provide the record to a physician or chiropractor 25801
designated by the patient. The health care provider shall take25802
reasonable steps to establish the identity of the person making 25803
the request to examine or obtain a copy of the patient's record.25804

       (C) If a health care provider fails to furnish a medical25805
record as required by division (B) of this section, the patient, 25806
personal representative, or authorized person who requested the25807
record may bring a civil action to enforce the patient's right of25808
access to the record.25809

       (D)(1) This section does not apply to medical records whose25810
release is covered by section 173.20 or 3721.13 of the Revised25811
Code, by Chapter 1347. or 5122. of the Revised Code, by 42 C.F.R.25812
part 2, "Confidentiality of Alcohol and Drug Abuse Patient25813
Records," or by 42 C.F.R. 483.10.25814

       (2) Nothing in this section is intended to supersede the25815
confidentiality provisions of sections 2305.24, 2305.25, 2305.251, 25816
and 2305.252 of the Revised Code.25817

       Sec. 3701.741.  (A) Through December 31, 2008, each health25818
care provider and medical records company shall provide copies of25819
medical records in accordance with this section.25820

       (B) Except as provided in divisions (C) and (E) of this25821
section, a health care provider or medical records company that25822
receives a request for a copy of a patient's medical record shall25823
charge not more than the amounts set forth in this section. 25824

       (1) If the request is made by the patient or the patient's 25825
personal representative, total costs for copies and all services 25826
related to those copies shall not exceed the sum of the following:25827

       (a) With respect to data recorded on paper, the following 25828
amounts:25829

        (i) Two dollars and fifty cents per page for the first ten 25830
pages;25831

        (ii) Fifty-one cents per page for pages eleven through fifty;25832

       (iii) Twenty cents per page for pages fifty-one and higher;25833

        (b) With respect to data recorded other than on paper, one 25834
dollar and seventy cents per page;25835

        (c) The actual cost of any related postage incurred by the 25836
health care provider or medical records company.25837

        (2) If the request is made other than by the patient or the 25838
patient's personal representative, total costs for copies and all 25839
services related to those copies shall not exceed the sum of the 25840
following:25841

       (a) An initial fee of fifteen dollars and thirty-five cents, 25842
which shall compensate for the records search;25843

       (b) With respect to data recorded on paper, the following25844
amounts:25845

       (i) One dollar and two cents per page for the first ten 25846
pages;25847

       (ii) Fifty-one cents per page for pages eleven through fifty;25848

       (iii) Twenty cents per page for pages fifty-one and higher.25849

       (c) With respect to data recorded other than on paper, one 25850
dollar and seventy cents per page;25851

       (d) The actual cost of any related postage incurred by the25852
health care provider or medical records company.25853

       (C)(1) A health care provider or medical records company 25854
shall provide one copy without charge to the following:25855

       (a) The bureau of workers' compensation, in accordance with25856
Chapters 4121. and 4123. of the Revised Code and the rules adopted25857
under those chapters;25858

       (b) The industrial commission, in accordance with Chapters25859
4121. and 4123. of the Revised Code and the rules adopted under25860
those chapters;25861

       (c) The department of job and family services or a county 25862
department of job and family services, in accordance with Chapter25863
Chapters 5101. and 5111. of the Revised Code and the rules adopted 25864
under those chapters;25865

       (d) The attorney general, in accordance with sections 2743.51 25866
to 2743.72 of the Revised Code and any rules that may be adopted 25867
under those sections;25868

       (e) A patient or patient's personal representative if the 25869
medical record is necessary to support a claim under Title II or25870
Title XVI of the "Social Security Act," 49 Stat. 620 (1935), 42 25871
U.S.C.A. 401 and 1381, as amended, and the request is accompanied 25872
by documentation that a claim has been filed.25873

       (2) Nothing in division (C)(1) of this section requires a 25874
health care provider or medical records company to provide a copy 25875
without charge to any person or entity not listed in division 25876
(C)(1) of this section.25877

       (D) Division (C) of this section shall not be construed to25878
supersede any rule of the bureau of workers' compensation, the25879
industrial commission, or the department of job and family25880
services.25881

       (E) A health care provider or medical records company may25882
enter into a contract with either of the following for the copying 25883
of medical records at a fee other than as provided in division (B) 25884
of this section:25885

       (1) A patient, a patient's personal representative, or an 25886
authorized person;25887

       (2) An insurer authorized under Title XXXIX of the Revised 25888
Code to do the business of sickness and accident insurance in this 25889
state or health insuring corporations holding a certificate of 25890
authority under Chapter 1751. of the Revised Code.25891

       (F) This section does not apply to medical records the 25892
copying of which is covered by section 173.20 of the Revised Code 25893
or by 42 C.F.R. 483.10.25894

       Sec. 3701.83.  (A) There is hereby created in the state 25895
treasury the general operations fund. Moneys in the fund shall be 25896
used for the purposes specified in sections 3701.04, 3701.344, 25897
3702.20, 3710.15, 3711.021, 3717.45, 3718.06, 3721.02, 3722.04, 25898
3729.07, 3733.04, 3733.25, 3733.43, 3748.04, 3748.05, 3748.07, 25899
3748.12, 3748.13, 3749.04, 3749.07, 4747.04, 4751.04, and 4769.09 25900
of the Revised Code.25901

       (B) The alcohol testing program fund is hereby created in the 25902
state treasury. The director of health shall use the fund to25903
administer and enforce the alcohol testing and permit program25904
authorized by section 3701.143 of the Revised Code.25905

       The fund shall receive transfers from the liquor control fund 25906
created under section 4301.12 of the Revised Code. All investment 25907
earnings of the alcohol testing program fund shall be credited to 25908
the fund.25909

       Sec. 3702.52.  The director of health shall administer a 25910
state certificate of need program in accordance with sections25911
3702.51 to 3702.62 of the Revised Code and rules adopted under25912
those sections.25913

       (A) The director shall issue rulings on whether a particular 25914
proposed project is a reviewable activity. The director shall 25915
issue a ruling not later than forty-five days after receiving a 25916
request for a ruling accompanied by the information needed to make 25917
the ruling. If the director does not issue a ruling in that time, 25918
the project shall be considered to have been ruled not a 25919
reviewable activity.25920

       (B) The director shall review applications for certificates 25921
of need. Each application shall be submitted to the director on 25922
forms prescribed by the director, shall include all information 25923
required by rules adopted under division (B) of section 3702.57 of 25924
the Revised Code, and shall be accompanied by the application fee 25925
established in rules adopted under division (G) of that section. 25926
Application25927

       Application fees received by the director under this division 25928
shall be deposited into the state treasury to the credit of the 25929
certificate of need fund, which is hereby created. The director 25930
shall use the fund only to pay the costs of administering sections 25931
3702.11 to 3702.20, 3702.30, and 3702.51 to 3702.62 of the Revised 25932
Code and rules adopted under those sections.25933

       The director shall mail to the applicant a written notice 25934
that the application meets the criteria for a complete application 25935
specified in rules adopted under section 3702.57 of the Revised 25936
Code, or a written request for additional information, not later 25937
than fifteenthirty days after receiving an application or a 25938
response to an earlier request for information. The director 25939
shall not make more than two requests for additional information.25940

       The director may conduct a public informational hearing in 25941
the course of reviewing any application for a certificate of need, 25942
and shall conduct one if requested to do so by any affected person 25943
not later than fifteen days after the director mails the notice 25944
that the application is complete. The hearing shall be conducted 25945
in the community in which the activities authorized by the25946
certificate of need would be carried out. Any affected person may 25947
testify at the hearing. The director may, with the health service 25948
agency's consent, designate a health service agency to conduct the 25949
hearing.25950

       Except during a public hearing or as necessary to comply with 25951
a subpoena issued under division (F) of this section, after a25952
notice of completeness has been received, no person shall 25953
knowingly discuss in person or by telephone the merits of the 25954
application with the director. If one or more persons request a25955
meeting in person or by telephone, the director shall make a 25956
reasonable effort to invite interested parties to the meeting or 25957
conference call.25958

       (C) Divisions (C)(1) to (7) of this section apply to 25959
certificate of need applications for which the director had not 25960
issued a written decision prior to April 20, 1995, unless the 25961
director was required, under the version of this section in effect 25962
immediately prior to June 30, 1995, to grant a certificate of need 25963
prior to June 30, 1995, because of a lack of written objections 25964
from any affected person. Divisions (C)(1) to (7) of this section25965
do not invalidate any certificate of need that the director was25966
required to grant prior to June 30, 1995, under that circumstance.25967

       (1) TheAll of the following apply to the process of granting 25968
or denying a certificate of need:25969

        (1) If the project proposed in a certificate of need 25970
application meets all of the applicable certificate of need 25971
criteria for approval under sections 3702.51 to 3702.62 of the 25972
Revised Code and the rules adopted under those sections, the25973
director shall grant a certificate of need for the entire project 25974
that is the subject of the application immediately after both of 25975
the following conditions are met:25976

       (a) The board of trustees of the health service agency of the 25977
health service area in which the reviewable activity is proposed 25978
to be conducted recommends, prior to the deadline specified in 25979
division (C)(4) of this section or any extension of it under 25980
division (C)(5) of this section, that the certificate of need be 25981
granted;25982

       (b) The director receives nodoes not receive any written 25983
objections to the application from any affected person by the 25984
later of May 20, 1995, or thirty daysthirtieth day after the25985
director mails the notice of completeness.25986

       (2) In the case of certificate of need applications under 25987
comparative review, if the projects proposed in the applications 25988
meet all of the applicable certificate of need criteria for 25989
approval under sections 3702.51 to 3702.62 of the Revised Code and 25990
the rules adopted under those sections, the director shall grant 25991
certificates of need for the entire projects that are the subject 25992
of the applications immediately after both of the following 25993
conditions are met:25994

       (a) The board of trustees of the health service agency of 25995
each health service area in which the reviewable activities are 25996
proposed to be conducted recommends, prior to the deadline 25997
specified in division (C)(4) of this section or any extension of 25998
it under division (C)(5) of this section, that certificates of 25999
need be granted for each of the reviewable activities to be26000
conducted in its health service area;26001

       (b) The director receives nodoes not receive any written 26002
objections to any of the applications from any affected person by 26003
the later of May 20, 1995, or thirty daysthirtieth day after the 26004
director mails the last notice of completeness.26005

       The director's grant of a certificate of need under division 26006
(C)(1) or (2) of this section does not affect, and sets no 26007
precedent for, the director's decision to grant or deny other 26008
applications for similar reviewable activities proposed to be 26009
conducted in the same or different health service areas.26010

       (3) If the director receives written objections to an 26011
application from any affected person by the later of May 20, 1995, 26012
or thirty daysthirtieth day after mailing the notice of 26013
completeness, regardless of the health service agency's 26014
recommendation, the director shall notify the applicant and assign 26015
a hearing examiner to conduct an adjudication hearing concerning 26016
the application in accordance with Chapter 119. of the Revised 26017
Code. In the case of applications under comparative review, if the 26018
director receives written objections to any of the applications 26019
from any affected person by the later of May 20, 1995, or thirty 26020
daysthirtieth day after the director mails the last notice of26021
completeness, regardless of the health service agencies'26022
recommendation, the director shall notify all of the applicants 26023
and appoint a hearing examiner to conduct a consolidated 26024
adjudication hearing concerning the applications in accordance26025
with Chapter 119. of the Revised Code. The hearing examiner shall 26026
be employed by or under contract with the department of health.26027

       The adjudication hearings may be conducted in the health 26028
service area in which the reviewable activity is proposed to be26029
conducted. Consolidated adjudication hearings for applications in26030
comparative review may be conducted in the geographic region in 26031
which all of the reviewable activities will be conducted. The 26032
applicant, the director, and the affected persons that filed 26033
objections to the application shall be parties to the hearing. If 26034
none of the affected persons that submitted written objections to 26035
the application appears or prosecutes the hearing, the hearing26036
examiner shall dismiss the hearing and the director shall grant a 26037
certificate of need for the entire project that is the subject of 26038
the application if the proposed project meets all of the 26039
applicable certificate of need criteria for approval under 26040
sections 3702.51 to 3702.62 of the Revised Code and the rules 26041
adopted under those sections. The affected persons bear the burden 26042
of proving by a preponderance of evidence that the project is not26043
needed or that granting the certificate would not be in accordance 26044
with sections 3702.51 to 3702.62 of the Revised Code or the rules 26045
adopted under section 3702.57 of the Revised Codethose sections.26046

       (4) Except as provided in divisions (C)(1) and (2) of this 26047
section, the director shall grant or deny certificate of need26048
applications for which an adjudication hearing is not conducted26049
under division (C)(3) of this section not later than ninetysixty26050
days after mailing the notice of completeness or, in the case of 26051
an application proposing addition of long-term care beds, not 26052
later than ninetysixty days after such other time as is specified 26053
in rules adopted under section 3702.57 of the Revised Code. The 26054
director shall grant or deny certificate of need applications for 26055
which an adjudication hearing is conducted under division (C)(3) 26056
of this section not later than thirty days after the expiration of 26057
the time for filing objections to the report and recommendation of 26058
the hearing examiner under section 119.09 of the Revised Code. The 26059
director shall base decisions concerning applications for which an 26060
adjudication hearing is conducted under division (C)(3) of this 26061
section on the report and recommendations of the hearing examiner.26062

       (5) Except as otherwise provided in division (C)(1), (2), or 26063
(6) of this section, the director or the applicant may extend the 26064
deadline prescribed in division (C)(4) of this section once, for 26065
no longer than thirty days, by written notice before the end of 26066
the original thirty-day period. An extension by the director under 26067
division (C)(5) of this section shall apply to all applications 26068
that are in comparative review.26069

       (6) No applicant in a comparative review may extend the 26070
deadline specified in division (C)(4) of this section. 26071

       (7) Except as provided in divisions (C)(1) and (2) of this 26072
section, the director may grant a certificate of need for all or 26073
part of the project that is the subject of an application. If the 26074
director does not grant or deny the certificate by the applicable26075
deadline specified in division (C)(4) of this section or any 26076
extension of it under division (C)(5) of this section, the 26077
certificate shall be considered to have been granted. The 26078
director, in reviewing certificate of need applications for solid 26079
organ transplantation services, may ask for assistance from a 26080
statewide transplantation advisory group consisting of qualified 26081
professionals and administrators. Such consultation shall not 26082
cause the review period for any application to be extended beyond 26083
the applicable deadline specified in division (C)(4) of this 26084
section or any extension of it under division (C)(5) of this 26085
section.26086

       (D)(8) In granting a certificate of need, the director shall26087
specify as the maximum capital expenditure the certificate holder26088
may obligate under the certificate a figure equal to one hundred26089
ten per cent of the approved project cost.26090

       (E)(9) In granting a certificate of need, the director may 26091
grant the certificate with conditions that must be met by the 26092
holder of the certificate.26093

       (D) The director shall monitor the activities of persons 26094
granted certificates of need concerning long-term care beds during 26095
the period beginning with the granting of the certificate of need 26096
and ending five years after implementation of the activity for 26097
which the certificate was granted.26098

       In the case of any other certificate of need, the director 26099
shall monitor the activities of persons granted certificates of 26100
need during the period beginning with the granting of the 26101
certificate of need and ending when the activity for which the 26102
certificate was granted ceases to be a reviewable activity in 26103
accordance with section 3702.511 of the Revised Code.26104

       (F)(E) When reviewing applications for certificates of need 26105
or monitoring activities of persons granted certificates of need, 26106
the director may issue and enforce, in the manner provided in 26107
section 119.09 of the Revised Code, subpoenas duces tecum to26108
compel the production of documents relevant to review of the26109
application or monitoring of the activities. In addition, the 26110
director or the director's designee, which may include a health 26111
service agency, may visit the sites where the activities are or 26112
will be conducted.26113

       (G)(F) The director may withdraw certificates of need.26114

       (H)(G) The director shall conduct, on a regular basis, health26115
system data collection and analysis activities and prepare26116
reports. The director shall make recommendations based upon these 26117
activities to the public health council concerning the adoption of 26118
appropriate rules under section 3702.57 of the Revised Code. All 26119
health care facilities and other health care providers shall 26120
submit to the director, upon request, any information that is 26121
necessary to conduct reviews of certificate of need applications 26122
and to develop recommendations for criteria for reviews, and that 26123
is prescribed by rules adopted under division (H) of section 26124
3702.57 of the Revised Code.26125

       (I)(H) Any decision to grant or deny a certificate of need26126
shall consider the special needs and circumstances resulting from26127
moral and ethical values and the free exercise of religious rights 26128
of health care facilities administered by religious organizations, 26129
and the special needs and circumstances of children's hospitals, 26130
inner city hospitals, and small rural hospitals.26131

       Sec. 3702.5211.  Notwithstanding any conflicting provision of26132
sections 3702.51 to 3702.683702.62 of the Revised Code, the 26133
veterans' home operated under Chapter 5907. of the Revised Code 26134
that is located in Sandusky, including the Secrest nursing home 26135
and Giffin care facility, is not required to obtain a certificate 26136
of need for the addition of up to fifty-two additional nursing 26137
home beds to be licensed under Chapter 3721. of the Revised Code 26138
if the additional beds are placed in service prior to June 30, 26139
1999.26140

       Sec. 3702.5212.  (A) This section applies to each long-term 26141
care facility that meets the following requirements:26142

       (1) The facility has been in continuous operation for not 26143
less than one hundred twenty years prior to the effective date of 26144
this section;26145

       (2) The facility is located in an inner city area;26146

       (3) The facility is operating as a nonprofit entity organized 26147
under Chapter 1702. of the Revised Code or the nonprofit law of 26148
another state.26149

       (B) Notwithstanding any conflicting provision of sections 26150
3702.51 to 3702.683702.62 of the Revised Code, the owner or 26151
operator of a long-term care facility described in division (A) of26152
this section is not required to obtain a certificate of need for 26153
the addition of up to thirty long-term care beds to be licensed 26154
under Chapter 3721. of the Revised Code. The exemption shall apply26155
only as long as the beds are owned and operated by the facility to 26156
which the exemption is granted.26157

       Sec. 3702.5213. Notwithstanding any conflicting provision of26158
sections 3702.51 to 3702.683702.62 of the Revised Code, the 26159
veterans' home operated under Chapter 5907. of the Revised Code 26160
that is located in Brown county is not required to obtain a 26161
certificate of need for the addition of up to one hundred 26162
sixty-eight additional nursing home beds to be licensed under 26163
Chapter 3721. of the Revised Code if the additional beds are 26164
placed in service prior to December 31, 2004.26165

       Sec. 3702.57.  (A) The public health council shall adopt26166
rules establishing procedures and criteria for reviews of26167
applications for certificates of need and issuance, denial, or26168
withdrawal of certificates.26169

       (1) The rules shall require that, in addition to any other 26170
applicable review requirements of sections 3702.51 to 3702.62 of 26171
the Revised Code and rules adopted thereunder, any application for 26172
a certificate of need from an osteopathic hospital be reviewed on 26173
the basis of the need for and the availability in the community of 26174
services and hospitals for osteopathic physicians and their 26175
patients, and in terms of its impact on existing and proposed 26176
institutional training programs for doctors of osteopathy and 26177
doctors of medicine at the student, internship, and residency 26178
training levels.26179

       (2) In adopting rules that establish criteria for reviews of 26180
applications of certificates of need, the council shall consider 26181
the availability of and need for long-term care beds to provide 26182
care and treatment to persons diagnosed as having traumatic brain 26183
injuries and shall prescribe criteria for reviewing applications 26184
that propose to add long-term care beds to provide care and 26185
treatment to persons diagnosed as having traumatic brain injuries.26186

       (3) The criteria for reviews of applications for certificates 26187
of need shall relate to the need for the reviewable activity and 26188
shall pertain to all of the following matters:26189

       (a) The impact of the reviewable activity on the cost and26190
quality of health services in the relevant geographic area,26191
including, but not limited, to the historical and projected26192
utilization of the services to which the application pertains and26193
the effect of the reviewable activity on utilization of other26194
providers of similar services;26195

       (b) The quality of the services to be provided as the result 26196
of the activity, as evidenced by the historical performance of the 26197
persons that will be involved in providing the services and by the 26198
provisions that are proposed in the application to ensure quality, 26199
including but not limited to adequate available personnel, 26200
available ancillary and support services, available equipment, 26201
size and configuration of physical plant, and relations with other 26202
providers;26203

       (c) The impact of the reviewable activity on the availability 26204
and accessibility of the type of services proposed in the 26205
application to the population of the relevant geographic area, and 26206
the level of access to the services proposed in the application 26207
that will be provided to medically underserved individuals such as 26208
recipients of public assistance and individuals who have no health 26209
insurance or whose health insurance is insufficient;26210

       (d) The activity's short- and long-term financial feasibility 26211
and cost-effectiveness, the impact of the activity on the26212
applicant's costs and charges, and a comparison of the applicant's 26213
costs and charges with those of providers of similar services in 26214
the applicant's proposed service area;26215

       (e) The advantages, disadvantages, and costs of alternatives 26216
to the reviewable activity;26217

       (f) The impact of the activity on all other providers of 26218
similar services in the health service area or other relevant 26219
geographic area, including the impact on their utilization, market 26220
share, and financial status;26221

       (g) The historical performance of the applicant and related 26222
or affiliated parties in complying with previously granted 26223
certificates of need and any applicable certification,26224
accreditation, or licensure requirements;26225

       (h) The relationship of the activity to the current edition 26226
of the state health resources plan issued under section 3702.521 26227
of the Revised Code;26228

       (i) The historical performance of the applicant and related 26229
or affiliated parties in providing cost-effective health care 26230
services;26231

       (j) The special needs and circumstances of the applicant or 26232
population proposed to be served by the proposed project, 26233
including research activities, prevalence of particular diseases, 26234
unusual demographic characteristics, cost-effective contractual 26235
affiliations, and other special circumstances;26236

       (k) The appropriateness of the zoning status of the proposed 26237
site of the activity;26238

       (l) The participation by the applicant in research conducted 26239
by the United States food and drug administration or clinical 26240
trials sponsored by the national institutes of health.26241

       (4) The criteria for reviews of applications may include 26242
formulas for determining need for beds and services.26243

       (a) The criteria prescribing formulas shall not, either by26244
themselves or in conjunction with any established occupancy26245
guidelines, require, as a condition of being granted a certificate 26246
of need, that a hospital reduce its complement of registered beds 26247
or discontinue any service that is not related to the service or 26248
project for which the certificate of need is sought.26249

       (b) With respect to applications to conduct reviewable26250
activities that are affected directly by the inpatient occupancy26251
of a health care facility, including addition, relocation, or26252
recategorization of beds or renovation or other construction26253
activities relating to inpatient services, the rules shall26254
prescribe criteria for determining whether the scope of the26255
proposed project is appropriate in light of the historical and26256
reasonably projected occupancy rates for the beds related to the26257
project.26258

       (c) Any rules prescribing criteria that establish ratios of 26259
beds, services, or equipment to population shall specify the bases 26260
for establishing the ratios or mitigating factors or exceptions to26261
the ratios.26262

       (B) The council shall adopt rules specifying all of the26263
following:26264

       (1) Information that must be provided in applications for26265
certificates of need, which shall include a plan for obligating 26266
the capital expenditure or implementing the proposed project on a 26267
timely basis in accordance with section 3702.525 of the Revised 26268
Code;26269

       (2) Procedures for reviewing applications for completeness of 26270
information;26271

       (3) Criteria for determining that the application is 26272
complete.26273

       (C) The council shall adopt rules specifying requirements26274
that holders of certificates of need must meet in order for the26275
certificates to remain valid and establishing definitions and26276
requirements for obligation of capital expenditures and26277
implementation of projects authorized by certificates of need.26278

       (D) The council shall adopt rules establishing criteria and 26279
procedures under which the director of health may withdraw a26280
certificate of need if the holder fails to meet requirements for26281
continued validity of the certificate.26282

       (E) The council shall adopt rules establishing procedures26283
under which the department of health shall monitor project 26284
implementation activities of holders of certificates of need. The 26285
rules adopted under this division also may establish procedures 26286
for monitoring implementation activities of persons that have 26287
received nonreviewability rulings.26288

       (F) The council shall adopt rules establishing procedures26289
under which the director of health shall review certificates of26290
need whose holders exceed or appear likely to exceed an 26291
expenditure maximum specified in a certificate.26292

       (G) The council shall adopt rules establishing certificate of 26293
need application fees sufficient to pay the costs incurred by the 26294
department for administering sections 3702.51 to 3702.62 of the 26295
Revised Code and to pay health service agencies for the functions 26296
they perform under division (D)(5) of section 3702.58 of the 26297
Revised Code. Unless rules are adopted under this division 26298
establishing different application fees, the application fee for a 26299
project not involving a capital expenditure shall be three 26300
thousand dollars and the application fee for a project involving a 26301
capital expenditure shall be nine-tenths of one per cent of the 26302
capital expenditure proposed subject to a minimum of three 26303
thousand dollars and a maximum of twenty thousand dollars.26304

       (H) The council shall adopt rules specifying information that 26305
is necessary to conduct reviews of certificate of need26306
applications and to develop recommendations for criteria for26307
reviews that health care facilities and other health care26308
providers are to submit to the director under division (H)(G) of 26309
section 3702.52 of the Revised Code.26310

       (I) The council shall adopt rules defining "affiliated 26311
person,""related person," and "ultimate controlling interest" for 26312
purposes of section 3702.524 of the Revised Code.26313

       (J) The council shall adopt rules prescribing requirements 26314
for holders of certificates of need to demonstrate to the director 26315
under section 3702.526 of the Revised Code that reasonable 26316
progress is being made toward completion of the reviewable26317
activity and establishing standards by which the director shall 26318
determine whether reasonable progress is being made.26319

       (K) The council shall adopt rules defining high-risk cardiac26320
catheterization patients. High-risk patients shall include 26321
patients with significant ischemic syndromes or unstable 26322
myocardial infarction, patients who need intervention such as 26323
angioplasty or bypass surgery, patients who may require difficult 26324
or complex catheterization procedures such as transeptal 26325
assessment of valvular dysfunction, patients with critical aortic 26326
stenosis or congestive heart failure, and other patients specified 26327
by the council.26328

       (L) The public health council shall adopt all rules under26329
divisions (A) to (K) of this section in accordance with Chapter 26330
119. of the Revised Code. The council may adopt other rules as 26331
necessary to carry out the purposes of sections 3702.51 to 3702.62 26332
of the Revised Code.26333

       Sec. 3702.68.        Sec. 3702.59.  (A) Notwithstanding any conflicting 26334
provision of sections 3702.51 to 3702.62 of the Revised Code, 26335
other than the provisions of sections 3702.5210, 3702.5211, 26336
3702.5212, and 3702.5213 of the Revised Code, both of the 26337
following apply under the certificate of need program:26338

        (1) Divisions (B) to (E) of this section appliesapply to the 26339
review of certificate of need applications during the period 26340
beginning July 1, 1993, and ending June 30, 20072009.26341

       As used in this section, "existing health care facility" has 26342
the same meaning as in section 3702.51 of the Revised Code(2) 26343
Beginning July 1, 2009, the director of health shall not accept 26344
for review under section 3702.52 of the Revised Code any 26345
application for a certificate of need to recategorize hospital 26346
beds as described in section 3702.522 of the Revised Code.26347

       (B)(1) Except as provided in division (B)(2) of this section, 26348
the director of health shall neither grant nor deny any26349
application for a certificate of need submitted prior to July 1,26350
1993, if the application was for any of the following and the26351
director had not issued a written decision concerning the26352
application prior to that date:26353

       (a) Approval of beds in a new health care facility or an26354
increase of beds in an existing health care facility, if the beds26355
are proposed to be licensed as nursing home beds under Chapter26356
3721. of the Revised Code;26357

       (b) Approval of beds in a new county home or new county26358
nursing home as defined in section 5155.31 of the Revised Code, or26359
an increase of beds in an existing county home or existing county26360
nursing home, if the beds are proposed to be certified as skilled26361
nursing facility beds under Title XVIII or nursing facility beds26362
under Title XIX of the "Social Security Act," 49 Stat. 620 (1935),26363
42 U.S.C.A. 301, as amended;26364

       (c) Recategorization of hospital beds as described in section 26365
3702.522 of the Revised Code, an increase of hospital beds26366
registered pursuant to section 3701.07 of the Revised Code as26367
long-term care beds or skilled nursing facility beds, or a26368
recategorization of hospital beds that would result in an increase26369
of beds registered pursuant to that section as long-term care beds26370
or skilled nursing facility beds.26371

       On July 1, 1993, the director shall return each such26372
application to the applicant and, notwithstanding section 3702.5226373
of the Revised Code regarding the uses of the certificate of need26374
fund, shall refund to the applicant the application fee paid under26375
that section. Applications returned under division (B)(1) of this26376
section may be resubmitted in accordance with section 3702.52 of26377
the Revised Code no sooner than July 1, 20072009.26378

       (2) The director shall continue to review and shall issue a26379
decision regarding any application submitted prior to July 1,26380
1993, to increase beds for either of the purposes described in26381
division (B)(1)(a) or (b) of this section if the proposed increase26382
in beds is attributable solely to a replacement or relocation of26383
existing beds within the same county. The director shall authorize 26384
under such an application no additional beds beyond those being 26385
replaced or relocated.26386

       (C)(1) Except as provided in division (C)(2) of this section, 26387
the director, during the period beginning July 1, 1993, and ending26388
June 30, 20072009, shall not accept for review under section26389
3702.52 of the Revised Code any application for a certificate of26390
need for any of the purposes described in divisions (B)(1)(a) to26391
(c) of this section.26392

       (2)(a) The director shall accept for review any application26393
for either of the purposes described in division (B)(1)(a) or (b)26394
of this section if the proposed increase in beds is attributable26395
solely to a replacement or relocation of existing beds from an 26396
existing health care facility within the same county. The director 26397
shall authorize under such an application no additional beds 26398
beyond those being replaced or relocated.26399

        The director shall not approve an application for a 26400
certificate of need for addition of long-term care beds to an 26401
existing health care facility by relocation of beds or for the 26402
development of a new health care facility by relocation of beds 26403
unless all of the following conditions are met:26404

        (i) The existing health care facility to which the beds are 26405
being relocated has no waivers for life safety code waivers26406
deficiencies, no state fire code violations, and no state building 26407
code violations, or the project identified in the application 26408
proposes to correct all life safety code deficiencies for which a 26409
waiver has been granted, all state fire code violations, and all 26410
state building code violations at the existing health care 26411
facility to which the beds are being relocated;26412

        (ii) During the sixty-month period preceding the filing of 26413
the application, no notice of proposed revocation of the 26414
facility's license was issued under section 3721.03 of the Revised 26415
Code to the operator of the existing facility to which the beds 26416
are being relocated or to any health care facility owned or 26417
operated by the applicant or any principal participant in the same 26418
corporation or other business;26419

       (iii) Neither the existing health care facility to which the 26420
beds are being relocated nor any health care facility owned or 26421
operated by the applicant or any principal participant in the same 26422
corporation or other business has had a long-standing pattern of 26423
violations of this chapter or deficiencies that caused one or more 26424
residents physical, emotional, mental, or psychosocial harm.26425

        (b) The director also shall accept for review any application 26426
for the conversion of infirmary beds to long-term care beds if the 26427
infirmary meets all of the following conditions:26428

       (i) Is operated exclusively by a religious order;26429

       (ii) Provides care exclusively to members of religious orders 26430
who take vows of celibacy and live by virtue of their vows within 26431
the orders as if related;26432

       (iii) Was providing care exclusively to members of such a 26433
religious order on January 1, 1994.26434

       (D) The director shall issue a decision regarding any case26435
remanded by a court as the result of a decision issued by the26436
director prior to July 1, 1993, to grant, deny, or withdraw a26437
certificate of need for any of the purposes described in divisions26438
(B)(1)(a) to (c) of this section.26439

       (E) The director shall not project the need for beds listed26440
in division (B)(1) of this section for the period beginning July26441
1, 1993, and ending June 30, 20072009.26442

       This section is an interim section effective until July 1, 26443
2007.26444

       Sec. 3702.63.        Sec. 3702.591.  As specified in former Section 11 of 26445
Am. Sub. S.B. 50 of the 121st general assembly, as amended by Am. 26446
Sub. H.B. 405 of the 124th general assembly, all of the following 26447
apply:26448

       (A) The removal of former divisions (E) and (F) of section 26449
3702.52 of the Revised Code by Sections 1 and 2 of Am. Sub. S.B. 26450
50 of the 121st general assembly does not release the holders of26451
certificates of need issued under those divisions from complying 26452
with any conditions on which the granting of the certificates of 26453
need was based, including the requirement of former division 26454
(E)(6) of that section that the holders not enter into provider 26455
agreements under Chapter 5111. of the Revised Code and Title XIX 26456
of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301, 26457
as amended, for at least ten years following initial licensure of26458
the long-term care facilities for which the certificates were 26459
granted.26460

       (B) The repeal of section 3702.55 of the Revised Code by 26461
Section 2 of Am. Sub. S.B. 50 of the 121st general assembly does26462
not release the holders of certificates of need issued under that26463
section from complying with any conditions on which the granting26464
of the certificates of need was based, other than the requirement26465
of division (A)(6) of that section that the holders not seek26466
certification under Title XVIII of the "Social Security Act" for 26467
beds recategorized under the certificates. That repeal also does 26468
not eliminate the requirement that the director of health revoke 26469
the licensure of the beds under Chapter 3721. of the Revised Code 26470
if a person to which their ownership is transferred fails, as 26471
required by division (A)(6) of the repealed section, to file26472
within ten days after the transfer a sworn statement not to seek 26473
certification under Title XIX of the "Social Security Act" for 26474
beds recategorized under the certificates of need.26475

       (C) The repeal of section 3702.56 of the Revised Code by 26476
Section 2 of Am. Sub. S.B. 50 of the 121st general assembly does26477
not release the holders of certificates of need issued under that26478
section from complying with any conditions on which the granting26479
of the certificates of need was based.26480

       Sec. 3704.03.  The director of environmental protection may26481
do any of the following:26482

       (A) Develop programs for the prevention, control, and26483
abatement of air pollution;26484

       (B) Advise, consult, contract, and cooperate with any26485
governmental or private agency in the furtherance of the purposes26486
of this chapter;26487

       (C) Encourage, participate in, or conduct studies,26488
investigations, and research relating to air pollution, collect26489
and disseminate information, and conduct education and training26490
programs relating to the causes, prevention, control, and26491
abatement of air pollution;26492

       (D) Adopt, modify, and rescind rules prescribing ambient air 26493
quality standards for the state as a whole or for various areas of 26494
the state that are consistent with and no more stringent than the 26495
national ambient air quality standards in effect under the federal 26496
Clean Air Act;26497

       (E) Adopt, modify, suspend, and rescind rules for the26498
prevention, control, and abatement of air pollution, including26499
rules prescribing for the state as a whole or for various areas of 26500
the state emission standards for air contaminants, and other26501
necessary rules for the purpose of achieving and maintaining26502
compliance with ambient air quality standards in all areas within26503
the state as expeditiously as practicable, but not later than any26504
deadlines applicable under the federal Clean Air Act; rules for26505
the prevention or control of the emission of hazardous or toxic26506
air contaminants; rules prescribing fugitive dust limitations and26507
standards that are related, on an areawide basis, to attainment26508
and maintenance of ambient air quality standards; rules26509
prescribing shade, density, or opacity limitations and standards26510
for emissions, provided that with regard to air contaminant26511
sources for which there are particulate matter emission standards26512
in addition to a shade, density, or opacity rule, upon26513
demonstration by such a source of compliance with those other26514
standards, the shade, density, or opacity rule shall provide for26515
establishment of a shade, density, or opacity limitation for that26516
source that does not require the source to reduce emissions below26517
the level specified by those other standards; rules for the26518
prevention or control of odors and air pollution nuisances; rules26519
that prevent significant deterioration of air quality to the26520
extent required by the federal Clean Air Act; rules for the26521
protection of visibility as required by the federal Clean Air Act; 26522
and rules prescribing open burning limitations and standards. In 26523
adopting, modifying, suspending, or rescinding any such rules, the 26524
director, to the extent consistent with the federal Clean Air Act, 26525
shall hear and give consideration to evidence relating to all of 26526
the following:26527

       (1) Conditions calculated to result from compliance with the 26528
rules, the overall cost within this state of compliance with the 26529
rules, and their relation to benefits to the people of the state 26530
to be derived from that compliance;26531

       (2) The quantity and characteristics of air contaminants, the 26532
frequency and duration of their presence in the ambient air, and 26533
the dispersion and dilution of those contaminants;26534

       (3) Topography, prevailing wind directions and velocities,26535
physical conditions, and other factors that may or may combine to26536
affect air pollution.26537

       Consistent with division (K) of section 3704.036 of the26538
Revised Code, the director shall consider alternative emission26539
limits proposed by the owner or operator of an air contaminant26540
source that is subject to an emission limit established in rules26541
adopted under this division and shall accept those alternative26542
emission limits that the director determines to be equivalent to26543
emission limits established in rules adopted under this division.26544

       (F)(1) Adopt, modify, suspend, and rescind rules consistent26545
with the purposes of this chapter prohibiting the location,26546
installation, construction, or modification of any air contaminant 26547
source or any machine, equipment, device, apparatus, or physical 26548
facility intended primarily to prevent or control the emission of 26549
air contaminants unless an installation permit therefor has been 26550
obtained from the director or the director's authorized 26551
representative.26552

       (2) Applications for installation permits shall be26553
accompanied by plans, specifications, construction schedules, and26554
such other pertinent information and data, including data on26555
ambient air quality impact and a demonstration of best available26556
technology, as the director may require. Installation permits26557
shall be issued for a period specified by the director and are26558
transferable. The director shall specify in each permit the26559
applicable emission standards and that the permit is conditioned26560
upon payment of the applicable fees as required by section 3745.11 26561
of the Revised Code and upon the right of the director's 26562
authorized representatives to enter upon the premises of the26563
person to whom the permit has been issued, at any reasonable time 26564
and subject to safety requirements of the person in control of the 26565
premises, for the purpose of determining compliance with such 26566
standards, this chapter, the rules adopted thereunder, and the 26567
conditions of any permit, variance, or order issued thereunder. 26568
Each proposed new or modified air contaminant source shall provide 26569
such notice of its proposed installation or modification to other 26570
states as is required under the federal Clean Air Act. 26571
Installation permits shall include the authorization to operate 26572
sources installed and operated in accordance with terms and 26573
conditions of the installation permits for a period not to exceed 26574
one year from commencement of operation, which authorization shall 26575
constitute an operating permit under division (G) of this section 26576
and rules adopted under it.26577

       No installation permit shall be required for activities that 26578
are subject to and in compliance with a plant-wide applicability 26579
limit issued by the director in accordance with rules adopted 26580
under this section.26581

       No installation permit shall be issued except in accordance26582
with all requirements of this chapter and rules adopted26583
thereunder. No application shall be denied or permit revoked or26584
modified without a written order stating the findings upon which26585
denial, revocation, or modification is based. A copy of the order 26586
shall be sent to the applicant or permit holder by certified mail.26587

       (3) Not later than two years after the effective date of this 26588
amendmentAugust 3, 2006, the director shall adopt a rule in 26589
accordance with Chapter 119. of the Revised Code specifying that a 26590
permit to install is required only for new or modified air 26591
contaminant sources that emit any of the following air 26592
contaminants:26593

       (a) An air contaminant or precursor of an air contaminant for 26594
which a national ambient air quality standard has been adopted 26595
under the federal Clean Air Act;26596

       (b) An air contaminant for which the air contaminant source 26597
is regulated under the federal Clean Air Act;26598

       (c) An air contaminant that presents, or may present, through 26599
inhalation or other routes of exposure, a threat of adverse human 26600
health effects, including, but not limited to, substances that are 26601
known to be, or may reasonably be anticipated to be, carcinogenic, 26602
mutagenic, teratogenic, or neurotoxic, that cause reproductive 26603
dysfunction, or that are acutely or chronically toxic, or a threat 26604
of adverse environmental effects whether through ambient 26605
concentrations, bioaccumulation, deposition, or otherwise, and 26606
that is identified in the rule by chemical name and chemical 26607
abstract service number.26608

       The director may modify the rule adopted under division 26609
(F)(3)(c) of this section for the purpose of adding or deleting 26610
air contaminants. For each air contaminant that is contained in or 26611
deleted from the rule adopted under division (F)(3)(c) of this 26612
section, the director shall include in a notice accompanying any 26613
proposed or final rule an explanation of the director's 26614
determination that the air contaminant meets the criteria 26615
established in that division and should be added to, or no longer 26616
meets the criteria and should be deleted from, the list of air 26617
contaminants. The explanation shall include an identification of 26618
the scientific evidence on which the director relied in making the 26619
determination. Until adoption of the rule under division (F)(3)(c) 26620
of this section, nothing shall affect the director's authority to 26621
issue, deny, modify, or revoke permits to install under this 26622
chapter and rules adopted under it.26623

       (4)(a) Applications for permits to install new or modified 26624
air contaminant sources shall contain sufficient information 26625
regarding air contaminants for which the director may require a 26626
permit to install to determine conformity with the environmental 26627
protection agency's document entitled "Review of New Sources of 26628
Air Toxics Emissions, Option A," dated May 1986, which the 26629
director shall use to evaluate toxic emissions from new or 26630
modified air contaminant sources. The director shall make copies 26631
of the document available to the public upon request at no cost 26632
and post the document on the environmental protection agency's web 26633
site. Any inconsistency between the document and division (F)(4) 26634
of this section shall be resolved in favor of division (F)(4) of 26635
this section.26636

       (b) The maximum acceptable ground level concentration of an 26637
air contaminant shall be calculated in accordance with the 26638
document entitled "Review of New Sources of Air Toxics Emissions, 26639
Option A." Modeling shall be conducted to determine the increase 26640
in the ground level concentration of an air contaminant beyond the 26641
facility's boundary caused by the emissions from a new or modified 26642
source that is the subject of an application for a permit to 26643
install. Modeling shall be based on the maximum hourly rate of 26644
emissions from the source using information including, but not 26645
limited to, any emission control devices or methods, operational 26646
restrictions, stack parameters, and emission dispersion devices or 26647
methods that may affect ground level concentrations, either 26648
individually or in combination. The director shall determine 26649
whether the activities for which a permit to install is sought 26650
will cause an increase in the ground level concentration of one or 26651
more relevant air contaminants beyond the facility's boundary by 26652
an amount in excess of the maximum acceptable ground level 26653
concentration. In making the determination as to whether the 26654
maximum acceptable ground level concentration will be exceeded, 26655
the director shall give consideration to the modeling conducted 26656
under division (F)(4)(b) of this section and other relevant 26657
information submitted by the applicant.26658

       (c) If the modeling conducted under division (F)(4)(b) of 26659
this section with respect to an application for a permit to 26660
install demonstrates that the maximum ground level concentration 26661
from a new or modified source will be greater than or equal to 26662
eighty per cent, but less than one hundred per cent of the maximum 26663
acceptable ground level concentration for an air contaminant, the 26664
director may establish terms and conditions in the permit to 26665
install for the air contaminant source that will require the owner 26666
or operator of the air contaminant source to maintain emissions of 26667
that air contaminant commensurate with the modeled level, which 26668
shall be expressed as allowable emissions per day. In order to 26669
calculate the allowable emissions per day, the director shall 26670
multiply the hourly emission rate modeled under division (F)(4)(b) 26671
of this section to determine the ground level concentration by the 26672
operating schedule that has been identified in the permit to 26673
install application. Terms and conditions imposed under division 26674
(F)(4)(c) of this section are not federally enforceable 26675
requirements and, if included in a Title V permit, shall be placed 26676
in the portion of the permit that is only enforceable by the 26677
state.26678

       (d) If the modeling conducted under division (F)(4)(b) of 26679
this section with respect to an application for a permit to 26680
install demonstrates that the maximum ground level concentration 26681
from a new or modified source will be less than eighty per cent of 26682
the maximum acceptable ground level concentration, the owner or 26683
operator of the source annually shall report to the director, on a 26684
form prescribed by the director, whether operations of the source 26685
are consistent with the information regarding the operations that 26686
was used to conduct the modeling with regard to the permit to 26687
install application. The annual report to the director shall be in 26688
lieu of an emission limit or other permit terms and conditions 26689
imposed pursuant to division (F)(4) of this section. The director 26690
may consider any significant departure from the operations of the 26691
source described in the permit to install application that results 26692
in greater emissions than the emissions rate modeled to determine 26693
the ground level concentration as a modification and require the 26694
owner or operator to submit a permit to install application for 26695
the increased emissions. The requirements established in division 26696
(F)(4)(d) of this section are not federally enforceable 26697
requirements and, if included in a Title V permit, shall be placed 26698
in the portion of the permit that is only enforceable by the 26699
state.26700

       (e) Division (F)(4) of this section and the document entitled 26701
"Review of New Sources of Air Toxics Emissions, Option A" shall 26702
not be included in the state implementation plan under section 110 26703
of the federal Clean Air Act and do not apply to an air 26704
contaminant source that is subject to a maximum achievable control 26705
technology standard or residual risk standard under section 112 of 26706
the federal Clean Air Act, to a particular air contaminant 26707
identified under 40 C.F.R. 51.166, division (b)(23), for which the 26708
director has determined that the owner or operator of the source 26709
is required to install best available control technology for that 26710
particular air contaminant, or to a particular air contaminant for 26711
which the director has determined that the source is required to 26712
meet the lowest achievable emission rate, as defined in 40 C.F.R. 26713
part 51, Appendix S, for that particular air contaminant.26714

       (f)(i) Division (F)(4) of this section and the document 26715
entitled "Review of New Sources of Air Toxics Emissions, Option A" 26716
do not apply to parking lots, storage piles, storage tanks, 26717
transfer operations, grain silos, grain dryers, emergency 26718
generators, gasoline dispensing operations, air contaminant 26719
sources that emit air contaminants solely from the combustion of 26720
fossil fuels, or the emission of wood dust, sand, glass dust, coal 26721
dust, silica, and grain dust.26722

       (ii) Notwithstanding division (F)(4)(f)(i) of this section, 26723
the director may require an individual air contaminant source that 26724
is within one of the source categories identified in division 26725
(F)(4)(f)(i) of this section to submit information in an 26726
application for a permit to install a new or modified source in 26727
order to determine the source's conformity to the document if the 26728
director has information to conclude that the particular new or 26729
modified source will potentially cause an increase in ground level 26730
concentration beyond the facility's boundary that exceeds the 26731
maximum acceptable ground level concentration as set forth in the 26732
document.26733

       (iii) The director may adopt rules in accordance with Chapter 26734
119. of the Revised Code that are consistent with the purposes of 26735
this chapter and that add to or delete from the source category 26736
exemptions established in division (F)(4)(f)(i) of this section.26737

       (5) Not later than one year after the effective date of this 26738
amendmentAugust 3, 2006, the director shall adopt rules in 26739
accordance with Chapter 119. of the Revised Code specifying 26740
activities that do not, by themselves, constitute beginning actual 26741
construction activities related to the installation or 26742
modification of an air contaminant source for which a permit to 26743
install is required such as the grading and clearing of land, 26744
on-site storage of portable parts and equipment, and the 26745
construction of foundations or buildings that do not themselves 26746
emit air contaminants. The rules also shall allow specified 26747
initial activities that are part of the installation or 26748
modification of an air contaminant source, such as the 26749
installation of electrical and other utilities for the source, 26750
prior to issuance of a permit to install, provided that the owner 26751
or operator of the source has filed a complete application for a 26752
permit to install, the director or the director's designee has 26753
determined that the application is complete, and the owner or 26754
operator of the source has notified the director that this 26755
activity will be undertaken prior to the issuance of a permit to 26756
install. Any activity that is undertaken by the source under those 26757
rules shall be at the risk of the owner or operator. The rules 26758
shall not apply to activities that are precluded prior to permit 26759
issuance under section 111, section 112, Part C of Title I, and 26760
Part D of Title I of the federal Clean Air Act.26761

       (G) Adopt, modify, suspend, and rescind rules prohibiting the 26762
operation or other use of any new, modified, or existing air26763
contaminant source unless an operating permit has been obtained26764
from the director or the director's authorized representative, or 26765
the air contaminant source is being operated in compliance with 26766
the conditions of a variance issued pursuant to division (H) of 26767
this section. Applications for operating permits shall be 26768
accompanied by such plans, specifications, and other pertinent 26769
information as the director may require. Operating permits may be 26770
issued for a period determined by the director not to exceed five26771
ten years, are renewable, and are transferable. The director shall 26772
specify in each operating permit that the permit is conditioned 26773
upon payment of the applicable fees as required by section 3745.11 26774
of the Revised Code and upon the right of the director's 26775
authorized representatives to enter upon the premises of the 26776
person to whom the permit has been issued, at any reasonable time 26777
and subject to safety requirements of the person in control of the 26778
premises, for the purpose of determining compliance with this 26779
chapter, the rules adopted thereunder, and the conditions of any 26780
permit, variance, or order issued thereunder. Operating permits 26781
may be denied or revoked for failure to comply with this chapter 26782
or the rules adopted thereunder. An operating permit shall be 26783
issued only upon a showing satisfactory to the director or the26784
director's representative that the air contaminant source is being26785
operated in compliance with applicable emission standards and 26786
other rules or upon submission of a schedule of compliance 26787
satisfactory to the director for a source that is not in 26788
compliance with all applicable requirements at the time of permit 26789
issuance, provided that the compliance schedule shall be 26790
consistent with and at least as stringent as that contained in any 26791
judicial consent decree or administrative order to which the air 26792
contaminant source is subject. The rules shall provide for the 26793
issuance of conditional operating permits for such reasonable 26794
periods as the director may determine to allow the holder of an 26795
installation permit, who has constructed, installed, located, or 26796
modified a new air contaminant source in accordance with the 26797
provisions of an installation permit, to make adjustments or 26798
modifications necessary to enable the new air contaminant source 26799
to comply with applicable emission standards and other rules. 26800
Terms and conditions of operating permits issued pursuant to this 26801
division shall be federally enforceable for the purpose of 26802
establishing the potential to emit of a stationary source and 26803
shall be expressly designated as federally enforceable. Any such26804
federally enforceable restrictions on a source's potential to emit 26805
shall include both an annual limit and a short-term limit of not 26806
more than thirty days for each pollutant to be restricted together 26807
with adequate methods for establishing compliance with the 26808
restrictions. In other respects, operating permits issued pursuant 26809
to this division are enforceable as state law only. No application 26810
shall be denied or permit revoked or modified without a written 26811
order stating the findings upon which denial, revocation, or 26812
modification is based. A copy of the order shall be sent to the 26813
applicant or permit holder by certified mail.26814

       (H) Adopt, modify, and rescind rules governing the issuance, 26815
revocation, modification, or denial of variances that authorize 26816
emissions in excess of the applicable emission standards.26817

       No variance shall be issued except pursuant to those rules.26818
The rules shall prescribe conditions and criteria in furtherance26819
of the purposes of this chapter and consistent with the federal26820
Clean Air Act governing eligibility for issuance of variances,26821
which shall include all of the following:26822

       (1) Provisions requiring consistency of emissions authorized 26823
by a variance with timely attainment and maintenance of ambient 26824
air quality standards;26825

       (2) Provisions prescribing the classes and categories of air 26826
contaminants and air contaminant sources for which variances may 26827
be issued;26828

       (3) Provisions defining the circumstances under which an26829
applicant shall demonstrate that compliance with applicable26830
emission standards is technically infeasible, economically26831
unreasonable, or impossible because of conditions beyond the26832
control of the applicant;26833

       (4) Other provisions prescribed in furtherance of the goals 26834
of this chapter.26835

       The rules shall prohibit the issuance of variances from any26836
emission limitation that was applicable to a source pursuant to an 26837
installation permit and shall prohibit issuance of variances that 26838
conflict with the federal Clean Air Act.26839

       Applications for variances shall be accompanied by such26840
information as the director may require. In issuing variances, the 26841
director may order the person to whom a variance is issued to26842
furnish plans and specifications and such other information and26843
data, including interim reports, as the director may require and26844
to proceed to take such action within such time as the director26845
may determine to be appropriate and reasonable to prevent,26846
control, or abate the person's existing emissions of air26847
contaminants. The director shall specify in each variance that the 26848
variance is conditioned upon payment of the applicable fees as 26849
required by section 3745.11 of the Revised Code and upon the right 26850
of the director's authorized representatives to enter upon the 26851
premises of the person to whom the variance has been issued, at 26852
any reasonable time and subject to safety requirements of the 26853
person in control of the premises, for the purpose of determining 26854
compliance with this chapter, the rules adopted thereunder, and 26855
the conditions of any permit, variance, or order issued 26856
thereunder.26857

       The director may hold a public hearing on an application for 26858
a variance or renewal thereof at a location in the county where 26859
the variance is sought. The director shall give not less than 26860
twenty days' notice of the hearing to the applicant by certified 26861
mail and cause at least one publication of notice in a newspaper 26862
with general circulation in the county where the variance is 26863
sought. The director shall keep available for public inspection at 26864
the principal office of the environmental protection agency a 26865
current schedule of pending applications for variances and a 26866
current schedule of pending variance hearings. The director shall 26867
make a complete stenographic record of testimony and other 26868
evidence submitted at the hearing. The director shall make a 26869
written determination to issue, renew, or deny the variance and 26870
shall enter the determination and the basis therefor into the 26871
record of the hearing. The director shall issue, renew, or deny an 26872
application for a variance or renewal thereof, or issue a proposed 26873
action upon the application pursuant to section 3745.07 of the 26874
Revised Code, within six months of the date upon which the 26875
director receives a complete application with all pertinent 26876
information and data required by the director.26877

       Any variance granted pursuant to rules adopted under this26878
division shall be for a period specified by the director, not to26879
exceed three years, and may be renewed from time to time on such26880
terms and for such periods, not to exceed three years each, as the 26881
director determines to be appropriate. A variance may be revoked, 26882
or renewal denied, for failure to comply with conditions specified 26883
in the variance. No variance shall be issued, denied, revoked, or 26884
modified without a written order stating the findings upon which 26885
the issuance, denial, revocation, or modification is based. A copy 26886
of the order shall be sent to the applicant or variance holder by 26887
certified mail.26888

       (I) Require the owner or operator of an air contaminant26889
source to install, employ, maintain, and operate such emissions,26890
ambient air quality, meteorological, or other monitoring devices26891
or methods as the director shall prescribe; to sample those26892
emissions at such locations, at such intervals, and in such manner 26893
as the director prescribes; to maintain records and file periodic 26894
reports with the director containing information as to location, 26895
size, and height of emission outlets, rate, duration, and 26896
composition of emissions, and any other pertinent information the 26897
director prescribes; and to provide such written notice to other 26898
states as the director shall prescribe. In requiring monitoring 26899
devices, records, and reports, the director, to the extent 26900
consistent with the federal Clean Air Act, shall give26901
consideration to technical feasibility and economic reasonableness 26902
and allow reasonable time for compliance. For sources where a 26903
specific monitoring, record-keeping, or reporting requirement is 26904
specified for a particular air contaminant from a particular air 26905
contaminant source in an applicable regulation adopted by the 26906
United States environmental protection agency under the federal 26907
Clean Air Act or in an applicable rule adopted by the director, 26908
the director shall not impose an additional requirement in a 26909
permit that is a different monitoring, record-keeping, or 26910
reporting requirement other than the requirement specified in the 26911
applicable regulation or rule for that air contaminant except as 26912
otherwise agreed to by the owner or operator of the air 26913
contaminant source and the director. If two or more regulations or 26914
rules impose different monitoring, record-keeping, or reporting 26915
requirements for the same air contaminant from the same air 26916
contaminant source, the director may impose permit terms and 26917
conditions that consolidate or streamline the monitoring, 26918
record-keeping, or reporting requirements in a manner that 26919
conforms with each applicable requirement. To the extent 26920
consistent with the federal Clean Air Act and except as otherwise 26921
agreed to by the owner or operator of an air contaminant source 26922
and the director, the director shall not require an operating 26923
restriction that has the practical effect of increasing the 26924
stringency of an existing applicable emission limitation or 26925
standard.26926

       (J) Establish, operate, and maintain monitoring stations and 26927
other devices designed to measure air pollution and enter into 26928
contracts with any public or private agency for the establishment, 26929
operation, or maintenance of such stations and devices;26930

       (K) By rule adopt procedures for giving reasonable public26931
notice and conducting public hearings on any plans for the26932
prevention, control, and abatement of air pollution that the26933
director is required to submit to the federal government;26934

       (L) Through any employee, agent, or authorized representative 26935
of the director or the environmental protection agency, enter upon 26936
private or public property, including improvements thereon, at any 26937
reasonable time, to make inspections, take samples, conduct tests, 26938
and examine records or reports pertaining to any emission of air 26939
contaminants and any monitoring equipment or methods and to 26940
determine if there are any actual or potential emissions from such 26941
premises and, if so, to determine the sources, amounts, contents, 26942
and extent of those emissions, or to ascertain whether there is 26943
compliance with this chapter, any orders issued or rules adopted 26944
thereunder, or any other determination of the director. The 26945
director, at reasonable times, may have access to and copy any 26946
such records. If entry or inspection authorized by this division 26947
is refused, hindered, or thwarted, the director or the director's 26948
authorized representative may by affidavit apply for, and any 26949
judge of a court of record may issue, an appropriate inspection 26950
warrant necessary to achieve the purposes of this chapter within 26951
the court's territorial jurisdiction.26952

       (M) Accept and administer gifts or grants from the federal26953
government and from any other source, public or private, for26954
carrying out any of the functions under this chapter;26955

       (N) Obtain necessary scientific, technical, and laboratory26956
services;26957

       (O) Establish advisory boards in accordance with section26958
121.13 of the Revised Code;26959

       (P) Delegate to any city or general health district or26960
political subdivision of the state any of the director's 26961
enforcement and monitoring powers and duties, other than 26962
rule-making powers, as the director elects to delegate, and in 26963
addition employ, compensate, and prescribe the powers and duties 26964
of such officers, employees, and consultants as are necessary to 26965
enable the director to exercise the authority and perform duties26966
imposed upon the director by law. Technical and other services 26967
shall be performed, insofar as practical, by personnel of the26968
environmental protection agency.26969

       (Q) Certify to the government of the United States or any26970
agency thereof that an industrial air pollution facility is in26971
conformity with the state program or requirements for control of26972
air pollution whenever such certificate is required for a taxpayer 26973
pursuant to any federal law or requirements;26974

       (R) Issue, modify, or revoke orders requiring abatement of or 26975
prohibiting emissions that violate applicable emission standards 26976
or other requirements of this chapter and rules adopted26977
thereunder, or requiring emission control devices or measures in26978
order to comply with applicable emission standards or other26979
requirements of this chapter and rules adopted thereunder. Any26980
such order shall require compliance with applicable emission26981
standards by a specified date and shall not conflict with any26982
requirement of the federal Clean Air Act. In the making of such26983
orders, the director, to the extent consistent with the federal26984
Clean Air Act, shall give consideration to, and base the26985
determination on, evidence relating to the technical feasibility26986
and economic reasonableness of compliance with such orders and26987
their relation to benefits to the people of the state to be26988
derived from such compliance. If, under the federal Clean Air Act, 26989
any such order shall provide for the posting of a bond or surety 26990
to secure compliance with the order as a condition of issuance of 26991
the order, the order shall so provide, but only to the extent 26992
required by the federal Clean Air Act.26993

       (S) To the extent provided by the federal Clean Air Act,26994
adopt, modify, and rescind rules providing for the administrative26995
assessment and collection of monetary penalties, not in excess of26996
those required pursuant to the federal Clean Air Act, for failure26997
to comply with any emission limitation or standard, compliance26998
schedule, or other requirement of any rule, order, permit, or26999
variance issued or adopted under this chapter or required under27000
the applicable implementation plan whether or not the source is27001
subject to a federal or state consent decree. The director may27002
require the submission of compliance schedules, calculations of27003
penalties for noncompliance, and related information. Any orders, 27004
payments, sanctions, or other requirements imposed pursuant to 27005
rules adopted under this division shall be in addition to any 27006
other permits, orders, payments, sanctions, or other requirements 27007
established under this chapter and shall not affect any civil or 27008
criminal enforcement proceedings brought under any provision of 27009
this chapter or any other provision of state or local law. This 27010
division does not apply to any requirement of this chapter 27011
regarding the prevention or abatement of odors.27012

       (T) Require new or modified air contaminant sources to 27013
install best available technology, but only in accordance with 27014
this division. With respect to permits issued pursuant to division 27015
(F) of this section beginning three years after the effective date 27016
of this amendmentAugust 3, 2006, best available technology for 27017
air contaminant sources and air contaminants emitted by those 27018
sources that are subject to standards adopted under section 112, 27019
Part C of Title I, and Part D of Title I of the federal Clean Air 27020
Act shall be equivalent to and no more stringent than those 27021
standards. For an air contaminant or precursor of an air 27022
contaminant for which a national ambient air quality standard has 27023
been adopted under the federal Clean Air Act, best available 27024
technology only shall be required to the extent required by rules 27025
adopted under Chapter 119. of the Revised Code for permit to 27026
install applications filed three or more years after the effective 27027
date of this amendmentAugust 3, 2006.27028

       Best available technology requirements established in rules 27029
adopted under this division shall be expressed only in one of the 27030
following ways that is most appropriate for the applicable source 27031
or source categories:27032

       (1) Work practices;27033

       (2) Source design characteristics or design efficiency of 27034
applicable air contaminant control devices;27035

       (3) Raw material specifications or throughput limitations 27036
averaged over a twelve-month rolling period;27037

       (4) Monthly allowable emissions averaged over a twelve-month 27038
rolling period.27039

       Best available technology requirements shall not apply to an 27040
air contaminant source that has the potential to emit, taking into 27041
account air pollution controls installed on the source, less than 27042
ten tons per year of emissions of an air contaminant or precursor 27043
of an air contaminant for which a national ambient air quality 27044
standard has been adopted under the federal Clean Air Act. In 27045
addition, best available technology requirements established in 27046
rules adopted under this division shall not apply to any existing, 27047
new, or modified air contaminant source that is subject to a 27048
plant-wide applicability limit that has been approved by the 27049
director. Further, best available technology requirements 27050
established in rules adopted under this division shall not apply 27051
to general permits issued prior to January 1, 2006, under rules 27052
adopted under this chapter.27053

       For permits to install issued three or more years after the 27054
effective date of this amendmentAugust 3, 2006, any new or 27055
modified air contaminant source that has the potential to emit, 27056
taking into account air pollution controls installed on the 27057
source, ten or more tons per year of volatile organic compounds or 27058
nitrogen oxides shall meet, at a minimum, the requirements of any 27059
applicable reasonably available control technology rule in effect 27060
as of January 1, 2006, regardless of the location of the source.27061

       (U) Consistent with section 507 of the federal Clean Air Act, 27062
adopt, modify, suspend, and rescind rules for the establishment of 27063
a small business stationary source technical and environmental 27064
compliance assistance program as provided in section 3704.18 of 27065
the Revised Code;27066

       (V) Provide for emissions trading, marketable permits,27067
auctions of emission rights, and economic incentives that would27068
reduce the cost or increase the efficiency of achieving a27069
specified level of environmental protection;27070

       (W) Provide for the construction of an air contaminant source 27071
prior to obtaining a permit to install pursuant to division (F) of 27072
this section if the applicant demonstrates that the source will be 27073
installed to comply with all applicable emission limits and will 27074
not adversely affect public health or safety or the environment 27075
and if the director determines that such an action will avoid an 27076
unreasonable hardship on the owner or operator of the source. Any 27077
such determination shall be consistent with the federal Clean Air 27078
Act.27079

       (X) Exercise all incidental powers, including adoption of27080
rules, required to carry out this chapter.27081

       The environmental protection agency shall develop a plan to27082
control air pollution resulting from state-operated facilities and 27083
property.27084

       Sec. 3704.14. (A) The director of environmental protection 27085
shall continue to implement an enhanced motor vehicle inspection 27086
and maintenance program for a period of two years beginning on 27087
January 1, 20062008, and ending on December 31, 20072009, in 27088
counties in which a motor vehicle inspection and maintenance 27089
program is federally mandated. The program shall be substantially 27090
similar to the enhanced program implemented in those counties 27091
under a contract that is scheduled to expire on December 31, 200527092
2007. The program, at a minimum, shall do all of the following:27093

        (1) Comply with the federal Clean Air Act;27094

        (2) Provide for the extension of a contract for a period of 27095
two years, beginning on January 1, 20062008, and ending on 27096
December 31, 20072009, with the contractor who conducted the 27097
enhanced motor vehicle inspection and maintenance program in those 27098
federally mandated counties where the program was in operation on 27099
January 3, 2006, pursuant to a contract entered into under former 27100
section 3704.14 of the Revised Code as that section existed prior 27101
to its repeal and reenactment by Am. Sub. H.B. 66 of the 126th 27102
General Assemblywith the state;27103

        (3) Provide for the issuance of inspection certificates;27104

        (4) Provide for a new car exemption for motor vehicles four 27105
years old or newer and provide that a new motor vehicle is exempt 27106
for four years regardless of whether legal title to the motor 27107
vehicle is transferred during that period.27108

        (B) The director shall not implement a motor vehicle 27109
inspection and maintenance program in any county other than a 27110
county in which a motor vehicle inspection and maintenance program 27111
is federally mandated.27112

       (C) The director shall adopt rules in accordance with Chapter 27113
119. of the Revised Code that the director determines are 27114
necessary to implement this section. The director may continue to 27115
implement and enforce rules pertaining to the enhanced motor 27116
vehicle inspection and maintenance program previously implemented 27117
under former section 3704.14 of the Revised Code as that section 27118
existed prior to its repeal and reenactment by Am. Sub. H.B. 66 of 27119
the 126th general assembly, provided that the rules do not 27120
conflict with this section.27121

       (D)(C) There is hereby created in the state treasury the 27122
motor vehicle inspection and maintenance fund, which shall consist 27123
of money received by the director from any fees for inspections 27124
that are established in rules adopted under this section. The 27125
director shall use money in the fund solely for the 27126
implementation, supervision, administration, operation, and 27127
enforcement of the enhanced motor vehicle inspection and 27128
maintenance program established under this section.27129

       (E)(D) The enhanced motor vehicle inspection and maintenance 27130
program established under this section expires on December 31, 27131
20072009, and shall not be continued beyond that date unless 27132
otherwise federally mandated.27133

       (E) Notwithstanding divisions (A) to (D) of this section, the 27134
director shall not implement an enhanced motor vehicle inspection 27135
and maintenance program and no such program shall be operated in 27136
an area of the state where such a program was not in operation on 27137
January 3, 2006, pursuant to a contract entered into by this state 27138
unless both of following apply:27139

       (1) The program is required in the approved state 27140
implementation plan; and27141

       (2) After January 3, 2006, the United States environmental 27142
protection agency has expressly notified the director in writing 27143
that the failure to operate the program in a specific area will 27144
result in the imposition of sanctions under the federal Clean Air 27145
Act.27146

       Sec. 3705.24.  (A)(1) The public health council shall, in 27147
accordance with section 111.15 of the Revised Code, adopt rules 27148
prescribing fees for the following services provided by the state 27149
office of vital statistics:27150

       (a) Except as provided in division (A)(4) of this section:27151

       (i) A certified copy of a vital record or a certification of 27152
birth;27153

       (ii) A search by the office of vital statistics of its files 27154
and records pursuant to a request for information, regardless of 27155
whether a copy of a record is provided;27156

       (iii) A copy of a record provided pursuant to a request;27157

       (b) Replacement of a birth certificate following an adoption, 27158
legitimation, paternity determination or acknowledgement, or court 27159
order;27160

       (c) Filing of a delayed registration of a vital record;27161

       (d) Amendment of a vital record that is requested later than 27162
one year after the filing date of the vital record;27163

       (e) Any other documents or services for which the public 27164
health council considers the charging of a fee appropriate.27165

       (2) Fees prescribed under division (A)(1)(a) of this section 27166
shall not be less than seven dollars.27167

       (3) Fees prescribed under division (A)(1) of this section 27168
shall be collected in addition to any fees required by sections 27169
3109.14 and 3705.242 of the Revised Code.27170

       (4) Fees prescribed under division (A) of this section shall 27171
not apply to certifications issued under division (H) of this 27172
section or copies provided under section 3705.241 of the Revised 27173
Code.27174

       (B) In addition to the fees prescribed under division (A) of 27175
this section or section 3709.09 of the Revised Code, the office of 27176
vital statistics or the board of health of a city or general 27177
health district shall charge a five-dollar fee for each certified 27178
copy of a vital record and each certification of birth. This fee 27179
shall be deposited in the general operations fund created under 27180
section 3701.83 of the Revised Code and be used solely towardto 27181
support the operations, the modernization, and the automation of 27182
the system of vital records program in this state. A board of 27183
health shall forward all fees collected under this division to the 27184
department of health not later than thirty days after the end of 27185
each calendar quarter.27186

       (C) Except as otherwise provided in division (H) of this 27187
section, and except as provided in section 3705.241 of the Revised 27188
Code, fees collected by the director of health under sections 27189
3705.01 to 3705.29 of the Revised Code shall be paid into the 27190
state treasury to the credit of the general operations fund27191
created by section 3701.83 of the Revised Code. Except as 27192
provided in division (B) of this section, money generated by the 27193
fees shall be used only for administration and enforcement of this 27194
chapter and the rules adopted under it. Amounts submitted to the27195
department of health for copies of vital records or services in 27196
excess of the fees imposed by this section shall be dealt with as 27197
follows:27198

       (1) An overpayment of two dollars or less shall be retained 27199
by the department and deposited in the state treasury to the27200
credit of the general operations fund created by section 3701.83 27201
of the Revised Code.27202

       (2) An overpayment in excess of two dollars shall be returned 27203
to the person who made the overpayment.27204

       (D) If a local registrar is a salaried employee of a city or 27205
a general health district, any fees the local registrar receives 27206
pursuant to section 3705.23 of the Revised Code shall be paid into27207
the general fund of the city or the health fund of the general 27208
health district.27209

       Each local registrar of vital statistics, or each health27210
district where the local registrar is a salaried employee of the27211
district, shall be entitled to a fee for each birth, fetal death,27212
death, or military service certificate properly and completely27213
made out and registered with the local registrar or district and27214
correctly copied and forwarded to the office of vital statistics 27215
in accordance with the population of the primary registration 27216
district at the last federal census. The fee for each birth, fetal 27217
death, death, or military service certificate shall be:27218

       (1) In primary registration districts of over two hundred27219
fifty thousand, twenty cents;27220

       (2) In primary registration districts of over one hundred27221
twenty-five thousand and less than two hundred fifty thousand,27222
sixty cents;27223

       (3) In primary registration districts of over fifty thousand 27224
and less than one hundred twenty-five thousand, eighty cents;27225

       (4) In primary registration districts of less than fifty27226
thousand, one dollar.27227

       (E) The director of health shall annually certify to the27228
county treasurers of the several counties the number of birth, 27229
fetal death, death, and military service certificates registered27230
from their respective counties with the names of the local27231
registrars and the amounts due each registrar and health district27232
at the rates fixed in this section. Such amounts shall be paid by 27233
the treasurer of the county in which the registration districts 27234
are located. No fees shall be charged or collected by registrars 27235
except as provided by this chapter and section 3109.14 of the 27236
Revised Code.27237

       (F) A probate judge shall be paid a fee of fifteen cents for 27238
each certified abstract of marriage prepared and forwarded by the 27239
probate judge to the department of health pursuant to section 27240
3705.21 of the Revised Code. The fee shall be in addition to the 27241
fee paid for a marriage license and shall be paid by the 27242
applicants for the license.27243

       (G) The clerk of a court of common pleas shall be paid a fee 27244
of one dollar for each certificate of divorce, dissolution, and 27245
annulment of marriage prepared and forwarded by the clerk to the27246
department pursuant to section 3705.21 of the Revised Code. The27247
fee for the certified abstract of divorce, dissolution, or27248
annulment of marriage shall be added to the court costs allowed in 27249
these cases.27250

       (H) The fee for an heirloom certification of birth issued27251
pursuant to division (B)(2) of section 3705.23 of the Revised Code 27252
shall be an amount prescribed by rule by the director of health 27253
plus any fee required by section 3109.14 of the Revised Code. In 27254
setting the amount of the fee, the director shall establish a 27255
surcharge in addition to an amount necessary to offset the expense27256
of processing heirloom certifications of birth. The fee prescribed27257
by the director of health pursuant to this division shall be 27258
deposited into the state treasury to the credit of the heirloom 27259
certification of birth fund which is hereby created. Money 27260
credited to the fund shall be used by the office of vital 27261
statistics to offset the expense of processing heirloom27262
certifications of birth. However, the money collected for the 27263
surcharge, subject to the approval of the controlling board, shall 27264
be used for the purposes specified by the family and children 27265
first council pursuant to section 121.37 of the Revised Code.27266

       Sec. 3709.09.  (A) The board of health of a city or general 27267
health district may, by rule, establish a uniform system of fees 27268
to pay the costs of any services provided by the board.27269

       The fee for issuance of a certified copy of a vital record or 27270
a certification of birth shall not be less than the fee prescribed 27271
for the same service under division (A)(1) of section 3705.24 of 27272
the Revised Code and shall include the fees required by division 27273
(B) of section 3705.24 and section 3109.14 of the Revised Code.27274

       Fees for services provided by the board for purposes 27275
specified in sections 3701.344, 3711.05, 3718.06, 3729.07, 27276
3730.03, 3733.04, 3733.25, and 3749.04 of the Revised Code shall 27277
be established in accordance with rules adopted under division (B) 27278
of this section. The district advisory council, in the case of a 27279
general health district, and the legislative authority of the 27280
city, in the case of a city health district, may disapprove any 27281
fee established by the board of health under this division, and 27282
any such fee, as disapproved, shall not be charged by the board of 27283
health.27284

       (B) The public health council shall adopt rules under section 27285
111.15 of the Revised Code that establish fee categories and 27286
uniform methodologies for use in calculating the costs of services 27287
provided for purposes specified in sections 3701.344, 3711.05, 27288
3718.06, 3729.07, 3730.03, 3733.04, 3733.25, and 3749.04 of the 27289
Revised Code. In adopting the rules, the public health council 27290
shall consider recommendations it receives from advisory boards 27291
established either by statute or the director of health for 27292
entities subject to the fees.27293

       (C) At least thirty days prior to establishing a fee for a27294
service provided by the board for a purpose specified in section27295
3701.344, 3711.05, 3718.06, 3729.07, 3730.03, 3733.04, 3733.25, or 27296
3749.04 of the Revised Code, a board of health shall notify any 27297
entity that would be affected by the proposed fee of the amount of 27298
the proposed fee.27299

       Sec. 3709.091.  (A) As used in this section:27300

       (1) "Household sewage treatmentdisposal system" means any27301
sewage disposal or treatment system, or part of such a system, for 27302
a single-family, two-family, or three-family dwelling that 27303
receives sewage.27304

       (2) "Sewage" means any liquid waste containing animal or27305
vegetable matter in suspension or solution that originates from 27306
humans and human activities. "Sewage" includes liquids containing 27307
household chemicals in solution commonly discharged from a 27308
residence or from commercial, institutional, or other similar 27309
facilities.27310

       (3) "Small flow on-site sewage treatment system" means a 27311
system, other than a household sewage treatment system, that 27312
treats not more than one thousand gallons of sewage per day and 27313
that does not require a national pollutant discharge elimination 27314
system permit issued under section 6111.03 of the Revised Code or 27315
an injection well drilling or operating permit issued under 27316
section 6111.043 of the Revised Codewater closets, urinals, 27317
lavatories, bathtubs, laundry tubs or devices, floor drains, 27318
drinking fountains, or other sanitary fixtures and may include 27319
liquid containing chemicals in solution.27320

       (B) If any owner, leaseholder, or assignee of real property27321
fails to pay a fee as required by rule of a board of health of a27322
city or general health district pursuant to section 3709.09 of the27323
Revised Code for an operation permit for, or for inspection of, a27324
household sewage treatmentdisposal system or a small flow on-site 27325
sewage treatment system located on the real property, the health 27326
commissioner of the city or general health district or the 27327
commissioner's designated representative shall notify the owner, 27328
leaseholder, or assignee of the real property of the amount of the 27329
fee and any accrued penalties for late payment of the fee. The 27330
notice shall state, in boldface letters: "You have 30 days to 27331
object to the amount of the unpaid operation permit or inspection 27332
fee for your household sewage treatmentdisposal system or small 27333
flow on-site sewage treatment system, as applicable, as designated 27334
in this notice, which may include accrued penalties for late 27335
payment of the fee. If you do not pay this amount as instructed 27336
herein within 30 days of receipt of this notice or object to this 27337
amount during that time period in accordance with the procedures 27338
set forth herein, the amount will be placed as a lien on your real27339
property." The notice also shall explain how the owner, 27340
leaseholder, or assignee may pay the amount, or object to the 27341
amount in accordance with the procedures established by divisions 27342
(C) and (D) of this section.27343

       Notice to the owner, leaseholder, or assignee shall be made27344
by either of the following:27345

       (1) Certified mail, overnight delivery service, hand27346
delivery, or any other method that includes written evidence of27347
receipt;27348

       (2) The sheriff of the county in which the owner,27349
leaseholder, or assignee to be served resides, in one or more of27350
the methods provided in the Ohio Rules of Civil Procedure. The27351
sheriff may charge reasonable fees for that service.27352

       (C) Not later than thirty days after receipt under division27353
(B) of this section of notification of the amount of an unpaid27354
operation permit or inspection fee and any accrued late payment27355
penalties, the owner, leaseholder, or assignee may object to the27356
amount by delivering a written notice of objection to the health27357
commissioner by any of the means provided for in division (B)(1)27358
of this section. Not later than sixty days after receipt of the27359
notice of objection, the county prosecutor, on behalf of the city27360
or general health district, may file a civil action in the court27361
of common pleas against the owner, leaseholder, or assignee. If27362
the county prosecutor fails to commence suit within the sixty-day27363
period, or if the action is commenced, but dismissed with27364
prejudice before adjudication, the unpaid fee and any accrued late27365
payment penalties are void and cannot be placed on the general tax27366
list and duplicate as a lien against the real property.27367

       (D) If, in accordance with division (C) of this section, the27368
owner, leaseholder, or assignee objects to the amount of the27369
unpaid operation permit or inspection fee and any accrued late27370
payment penalties and the county prosecutor commences suit and27371
prevails in the action, the owner, leaseholder, or assignee27372
objecting shall pay the amount of the fee, any accrued late27373
payment penalties, and the costs of the action, as determined by27374
the court.27375

       (E) If the owner, leaseholder, or assignee on which the27376
notice required by division (B) of this section was served does27377
not pay to the city or general health district the amount of an27378
unpaid operation permit or inspection fee and any accrued late27379
payment penalties within thirty days after receipt of the notice,27380
or does not object to the amount in the manner provided in27381
division (C) of this section, the health commissioner of the city27382
or general health district or the commissioner's designated27383
representative may certify, on or before the first Monday of27384
September, the amount of the unpaid fee and any accrued late27385
payment penalties to the county auditor to be placed on the27386
general tax list and duplicate as provided in section 319.281 of27387
the Revised Code.27388

       Sec. 3721.51.  The department of job and family services27389
shall do all of the following:27390

       (A) Subject to division (C) of this section and for the 27391
purposes specified in sections 3721.56 and 3721.561 of the Revised 27392
Code, determine an annual franchise permit fee on each nursing 27393
home in an amount equal to six dollars and twenty-five cents for 27394
fiscal years 2006 and 2007 and one dollar for each fiscal year27395
thereafter, multiplied by the product of the following:27396

       (1) The number of beds licensed as nursing home beds, plus27397
any other beds certified as skilled nursing facility beds under27398
Title XVIII or nursing facility beds under Title XIX on the first27399
day of May of the calendar year in which the fee is determined27400
pursuant to division (A) of section 3721.53 of the Revised Code;27401

       (2) The number of days in the fiscal year beginning on the 27402
first day of July of the calendar year in which the fee is27403
determined pursuant to division (A) of section 3721.53 of the27404
Revised Code.27405

       (B) Subject to division (C) of this section and for the 27406
purposes specified in sections 3721.56 and 3721.561 of the Revised 27407
Code, determine an annual franchise permit fee on each hospital in 27408
an amount equal to six dollars and twenty-five cents for fiscal 27409
years 2006 and 2007 and one dollar for each fiscal year27410
thereafter, multiplied by the product of the following:27411

       (1) The number of beds registered pursuant to section 3701.07 27412
of the Revised Code as skilled nursing facility beds or long-term 27413
care beds, plus any other beds licensed as nursing home beds under 27414
section 3721.02 or 3721.09 of the Revised Code, on the first day 27415
of May of the calendar year in which the fee is determined 27416
pursuant to division (A) of section 3721.53 of the Revised Code;27417

       (2) The number of days in the fiscal year beginning on the 27418
first day of July of the calendar year in which the fee is27419
determined pursuant to division (A) of section 3721.53 of the27420
Revised Code.27421

       (C) If the United States centers for medicare and medicaid27422
services determines that the franchise permit fee established by27423
sections 3721.50 to 3721.58 of the Revised Code is an27424
impermissible health care related tax under section 1903(w) of the27425
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 1396b(w), as27426
amended, take all necessary actions to cease implementation of 27427
sections 3721.50 to 3721.58 of the Revised Code in accordance with 27428
rules adopted under section 3721.58 of the Revised Code.27429

       Sec. 3721.541.  (A) In addition to assessing a penalty 27430
pursuant to section 3721.54 of the Revised Code, the department of 27431
job and family services may do either or both of the following if 27432
a nursing facility or hospital fails to pay the full amount of a 27433
franchise permit fee installment when due:27434

        (1) WithholdOffset an amount less than or equal to the 27435
installment and penalty assessed under section 3721.54 of the 27436
Revised Code from a medicaid payment due the nursing facility or 27437
hospital until the nursing facility or hospital pays the 27438
installment and penalty;27439

        (2) Terminate the nursing facility or hospital's medicaid 27440
provider agreement.27441

        (B) The department may withholdoffset a medicaid payment 27442
under division (A)(1) of this section without providing notice to 27443
the nursing facility or hospital and without conducting an 27444
adjudication under Chapter 119. of the Revised Code.27445

       Sec. 3721.56.  There is hereby created in the state treasury 27446
the home- and community-based services for the aged fund. Sixteen 27447
per cent of all payments and penalties paid by nursing homes and 27448
hospitals under sections 3721.53 and 3721.54 of the Revised Code27449
for fiscal years 2006 and 2007, and all such payments and 27450
penalties paid for subsequent fiscal years, shall be deposited 27451
into the fund. The departments of job and family services and 27452
aging shall use the moneys in the fund to fund the following in27453
accordance with rules adopted under section 3721.58 of the Revised27454
Code:27455

       (A) The medicaid program established under Chapter 5111. of 27456
the Revised Code, including the PASSPORT program established under 27457
section 173.40 of the Revised Code;27458

       (B) The residential state supplement program established27459
under section 173.35 of the Revised Code.27460

       Sec. 3734.57.  (A) The following fees are hereby levied on 27461
the transfer or disposal of solid wastes in this state:27462

       (1) One dollar per ton on and after July 1, 2003, through 27463
June 30, 20082010, one-half of the proceeds of which shall be 27464
deposited in the state treasury to the credit of the hazardous 27465
waste facility management fund created in section 3734.18 of the 27466
Revised Code and one-half of the proceeds of which shall be 27467
deposited in the state treasury to the credit of the hazardous 27468
waste clean-up fund created in section 3734.28 of the Revised 27469
Code;27470

       (2) An additional one dollar per ton on and after July 1, 27471
2003, through June 30, 20082010, the proceeds of which shall be 27472
deposited in the state treasury to the credit of the solid waste 27473
fund, which is hereby created. The environmental protection agency 27474
shall use money in the solid waste fund to pay the costs of 27475
administering and enforcing the laws pertaining to solid wastes, 27476
infectious wastes, and construction and demolition debris, 27477
including, without limitation, ground water evaluations related to 27478
solid wastes, infectious wastes, and construction and demolition 27479
debris, under this chapter and Chapter 3714. of the Revised Code 27480
and any rules adopted under them, providing compliance assistance 27481
to small businesses, and paying a share of the administrative 27482
costs of the environmental protection agency pursuant to section 27483
3745.014 of the Revised Code.27484

        (3) An additional one dollar and fifty cents per ton on and 27485
after July 1, 2005, through June 30, 20082010, the proceeds of 27486
which shall be deposited in the state treasury to the credit of 27487
the environmental protection fund created in section 3745.015 of 27488
the Revised Code.27489

       In the case of solid wastes that are taken to a solid waste 27490
transfer facility located in this state prior to being transported 27491
for disposal at a solid waste disposal facility located in this 27492
state or outside of this state, the fees levied under this 27493
division shall be collected by the owner or operator of the 27494
transfer facility as a trustee for the state. The amount of fees 27495
required to be collected under this division at such a transfer 27496
facility shall equal the total tonnage of solid wastes received at 27497
the facility multiplied by the fees levied under this division. In 27498
the case of solid wastes that are not taken to a solid waste 27499
transfer facility located in this state prior to being transported 27500
to a solid waste disposal facility, the fees shall be collected by 27501
the owner or operator of the solid waste disposal facility as a 27502
trustee for the state. The amount of fees required to be collected 27503
under this division at such a disposal facility shall equal the 27504
total tonnage of solid wastes received at the facility that was 27505
not previously taken to a solid waste transfer facility located in 27506
this state multiplied by the fees levied under this division. Fees 27507
levied under this division do not apply to materials separated 27508
from a mixed waste stream for recycling by a generator or 27509
materials removed from the solid waste stream through recycling, 27510
as "recycling" is defined in rules adopted under section 3734.02 27511
of the Revised Code.27512

       The owner or operator of a solid waste transfer facility or 27513
disposal facility, as applicable, shall prepare and file with the 27514
director of environmental protection each month a return 27515
indicating the total tonnage of solid wastes received at the27516
facility during that month and the total amount of the fees 27517
required to be collected under this division during that month. In 27518
addition, the owner or operator of a solid waste disposal facility 27519
shall indicate on the return the total tonnage of solid wastes 27520
received from transfer facilities located in this state during 27521
that month for which the fees were required to be collected by the 27522
transfer facilities. The monthly returns shall be filed on a form 27523
prescribed by the director. Not later than thirty days after the 27524
last day of the month to which a return applies, the owner or 27525
operator shall mail to the director the return for that month 27526
together with the fees required to be collected under this 27527
division during that month as indicated on the return. If the 27528
return is filed and the amount of the fees due is paid in a timely 27529
manner as required in this division, the owner or operator may 27530
retain a discount of three-fourths of one per cent of the total 27531
amount of the fees that are required to be paid as indicated on 27532
the return.27533

        The owner or operator may request an extension of not more 27534
than thirty days for filing the return and remitting the fees,27535
provided that the owner or operator has submitted such a request 27536
in writing to the director together with a detailed description of 27537
why the extension is requested, the director has received the 27538
request not later than the day on which the return is required to 27539
be filed, and the director has approved the request. If the fees 27540
are not remitted within thirty days after the last day of the 27541
month to which the return applies or are not remitted by the last 27542
day of an extension approved by the director, the owner or 27543
operator shall not retain the three-fourths of one per cent 27544
discount and shall pay an additional ten per cent of the amount of 27545
the fees for each month that they are late. For purposes of 27546
calculating the late fee, the first month in which fees are late 27547
begins on the first day after the deadline has passed for timely 27548
submitting the return and fees, and one additional month shall be 27549
counted every thirty days thereafter.27550

       The owner or operator of a solid waste facility may request a 27551
refund or credit of fees levied under this division and remitted 27552
to the director that have not been paid to the owner or operator. 27553
Such a request shall be made only if the fees have not been 27554
collected by the owner or operator, have become a debt that has 27555
become worthless or uncollectable for a period of six months or 27556
more, and may be claimed as a deduction, including a deduction 27557
claimed if the owner or operator keeps accounts on an accrual 27558
basis, under the "Internal Revenue Code of 1954," 68A Stat. 50, 26 27559
U.S.C. 166, as amended, and regulations adopted under it. Prior to 27560
making a request for a refund or credit, an owner or operator 27561
shall make reasonable efforts to collect the applicable fees. A 27562
request for a refund or credit shall not include any costs 27563
resulting from those efforts to collect unpaid fees.27564

       A request for a refund or credit of fees shall be made in 27565
writing, on a form prescribed by the director, and shall be 27566
supported by evidence that may be required in rules adopted by the 27567
director under this chapter. After reviewing the request, and if 27568
the request and evidence submitted with the request indicate that 27569
a refund or credit is warranted, the director shall grant a refund 27570
to the owner or operator or shall permit a credit to be taken by 27571
the owner or operator on a subsequent monthly return submitted by 27572
the owner or operator. The amount of a refund or credit shall not 27573
exceed an amount that is equal to ninety days' worth of fees owed 27574
to an owner or operator by a particular debtor of the owner or 27575
operator. A refund or credit shall not be granted by the director 27576
to an owner or operator more than once in any twelve-month period 27577
for fees owed to the owner or operator by a particular debtor.27578

       If, after receiving a refund or credit from the director, an 27579
owner or operator receives payment of all or part of the fees, the 27580
owner or operator shall remit the fees with the next monthly 27581
return submitted to the director together with a written 27582
explanation of the reason for the submittal.27583

        For purposes of computing the fees levied under this division 27584
or division (B) of this section, any solid waste transfer or 27585
disposal facility that does not use scales as a means of 27586
determining gate receipts shall use a conversion factor of three 27587
cubic yards per ton of solid waste or one cubic yard per ton for 27588
baled waste, as applicable.27589

       The fees levied under this division and divisions (B) and (C)27590
of this section are in addition to all other applicable fees and27591
taxes and shall be paid by the customer or a political subdivision 27592
to the owner or operator of a solid waste transfer or disposal 27593
facility notwithstanding the existence of any provision in a 27594
contract that the customer or a political subdivision may have 27595
with the owner or operator or with a transporter of waste to the 27596
facility that would not require or allow such payment.27597

       (B) For the purposes specified in division (G) of this 27598
section, the solid waste management policy committee of a county27599
or joint solid waste management district may levy fees upon the 27600
following activities:27601

       (1) The disposal at a solid waste disposal facility located27602
in the district of solid wastes generated within the district;27603

       (2) The disposal at a solid waste disposal facility within27604
the district of solid wastes generated outside the boundaries of27605
the district, but inside this state;27606

       (3) The disposal at a solid waste disposal facility within27607
the district of solid wastes generated outside the boundaries of27608
this state.27609

        The solid waste management plan of the county or joint27610
district approved under section 3734.521 or 3734.55 of the Revised27611
Code and any amendments to it, or the resolution adopted under27612
this division, as appropriate, shall establish the rates of the27613
fees levied under divisions (B)(1), (2), and (3) of this section,27614
if any, and shall specify whether the fees are levied on the basis27615
of tons or cubic yards as the unit of measurement. A solid waste27616
management district that levies fees under this division on the 27617
basis of cubic yards shall do so in accordance with division (A) 27618
of this section.27619

        The fee levied under division (B)(1) of this section shall be 27620
not less than one dollar per ton nor more than two dollars per 27621
ton, the fee levied under division (B)(2) of this section shall be 27622
not less than two dollars per ton nor more than four dollars per 27623
ton, and the fee levied under division (B)(3) of this section 27624
shall be not more than the fee levied under division (B)(1) of 27625
this section.27626

       Prior to the approval of the solid waste management plan of a 27627
district under section 3734.55 of the Revised Code, the solid27628
waste management policy committee of a district may levy fees27629
under this division by adopting a resolution establishing the27630
proposed amount of the fees. Upon adopting the resolution, the27631
committee shall deliver a copy of the resolution to the board of27632
county commissioners of each county forming the district and to27633
the legislative authority of each municipal corporation and27634
township under the jurisdiction of the district and shall prepare27635
and publish the resolution and a notice of the time and location27636
where a public hearing on the fees will be held. Upon adopting the 27637
resolution, the committee shall deliver written notice of the27638
adoption of the resolution; of the amount of the proposed fees;27639
and of the date, time, and location of the public hearing to the27640
director and to the fifty industrial, commercial, or institutional27641
generators of solid wastes within the district that generate the27642
largest quantities of solid wastes, as determined by the27643
committee, and to their local trade associations. The committee27644
shall make good faith efforts to identify those generators within27645
the district and their local trade associations, but the27646
nonprovision of notice under this division to a particular27647
generator or local trade association does not invalidate the27648
proceedings under this division. The publication shall occur at27649
least thirty days before the hearing. After the hearing, the27650
committee may make such revisions to the proposed fees as it27651
considers appropriate and thereafter, by resolution, shall adopt27652
the revised fee schedule. Upon adopting the revised fee schedule,27653
the committee shall deliver a copy of the resolution doing so to27654
the board of county commissioners of each county forming the27655
district and to the legislative authority of each municipal27656
corporation and township under the jurisdiction of the district.27657
Within sixty days after the delivery of a copy of the resolution27658
adopting the proposed revised fees by the policy committee, each27659
such board and legislative authority, by ordinance or resolution,27660
shall approve or disapprove the revised fees and deliver a copy of27661
the ordinance or resolution to the committee. If any such board or 27662
legislative authority fails to adopt and deliver to the policy27663
committee an ordinance or resolution approving or disapproving the27664
revised fees within sixty days after the policy committee27665
delivered its resolution adopting the proposed revised fees, it27666
shall be conclusively presumed that the board or legislative27667
authority has approved the proposed revised fees. The committee 27668
shall determine if the resolution has been ratified in the same 27669
manner in which it determines if a draft solid waste management 27670
plan has been ratified under division (B) of section 3734.55 of 27671
the Revised Code.27672

       The committee may amend the schedule of fees levied pursuant27673
to a resolution adopted and ratified under this division by 27674
adopting a resolution establishing the proposed amount of the 27675
amended fees. The committee may repeal the fees levied pursuant to 27676
such a resolution by adopting a resolution proposing to repeal 27677
them. Upon adopting such a resolution, the committee shall proceed 27678
to obtain ratification of the resolution in accordance with this 27679
division.27680

       Not later than fourteen days after declaring the new fees to 27681
be ratified or the fees to be repealed under this division, the 27682
committee shall notify by certified mail the owner or operator of 27683
each solid waste disposal facility that is required to collect the27684
fees of the ratification and the amount of the fees or of the 27685
repeal of the fees. Collection of any fees shall commence or 27686
collection of repealed fees shall cease on the first day of the 27687
second month following the month in which notification is sent to 27688
the owner or operator.27689

       Fees levied under this division also may be established, 27690
amended, or repealed by a solid waste management policy committee 27691
through the adoption of a new district solid waste management 27692
plan, the adoption of an amended plan, or the amendment of the 27693
plan or amended plan in accordance with sections 3734.55 and 27694
3734.56 of the Revised Code or the adoption or amendment of a 27695
district plan in connection with a change in district composition 27696
under section 3734.521 of the Revised Code.27697

       Not later than fourteen days after the director issues an27698
order approving a district's solid waste management plan, amended 27699
plan, or amendment to a plan or amended plan that establishes, 27700
amends, or repeals a schedule of fees levied by the district, the 27701
committee shall notify by certified mail the owner or operator of 27702
each solid waste disposal facility that is required to collect the 27703
fees of the approval of the plan or amended plan, or the amendment 27704
to the plan, as appropriate, and the amount of the fees, if any. 27705
In the case of an initial or amended plan approved under section 27706
3734.521 of the Revised Code in connection with a change in 27707
district composition, other than one involving the withdrawal of a 27708
county from a joint district, the committee, within fourteen days27709
after the change takes effect pursuant to division (G) of that27710
section, shall notify by certified mail the owner or operator of27711
each solid waste disposal facility that is required to collect the27712
fees that the change has taken effect and of the amount of the27713
fees, if any. Collection of any fees shall commence or collection 27714
of repealed fees shall cease on the first day of the second month 27715
following the month in which notification is sent to the owner or 27716
operator.27717

       If, in the case of a change in district composition involving27718
the withdrawal of a county from a joint district, the director27719
completes the actions required under division (G)(1) or (3) of27720
section 3734.521 of the Revised Code, as appropriate, forty-five27721
days or more before the beginning of a calendar year, the policy27722
committee of each of the districts resulting from the change that27723
obtained the director's approval of an initial or amended plan in27724
connection with the change, within fourteen days after the27725
director's completion of the required actions, shall notify by27726
certified mail the owner or operator of each solid waste disposal27727
facility that is required to collect the district's fees that the27728
change is to take effect on the first day of January immediately27729
following the issuance of the notice and of the amount of the fees27730
or amended fees levied under divisions (B)(1) to (3) of this27731
section pursuant to the district's initial or amended plan as so27732
approved or, if appropriate, the repeal of the district's fees by 27733
that initial or amended plan. Collection of any fees set forth in27734
such a plan or amended plan shall commence on the first day of27735
January immediately following the issuance of the notice. If such 27736
an initial or amended plan repeals a schedule of fees, collection 27737
of the fees shall cease on that first day of January.27738

       If, in the case of a change in district composition involving27739
the withdrawal of a county from a joint district, the director27740
completes the actions required under division (G)(1) or (3) of27741
section 3734.521 of the Revised Code, as appropriate, less than27742
forty-five days before the beginning of a calendar year, the27743
director, on behalf of each of the districts resulting from the27744
change that obtained the director's approval of an initial or27745
amended plan in connection with the change proceedings, shall27746
notify by certified mail the owner or operator of each solid waste27747
disposal facility that is required to collect the district's fees27748
that the change is to take effect on the first day of January27749
immediately following the mailing of the notice and of the amount27750
of the fees or amended fees levied under divisions (B)(1) to (3)27751
of this section pursuant to the district's initial or amended plan27752
as so approved or, if appropriate, the repeal of the district's 27753
fees by that initial or amended plan. Collection of any fees set 27754
forth in such a plan or amended plan shall commence on the first 27755
day of the second month following the month in which notification 27756
is sent to the owner or operator. If such an initial or amended27757
plan repeals a schedule of fees, collection of the fees shall27758
cease on the first day of the second month following the month in27759
which notification is sent to the owner or operator.27760

        If the schedule of fees that a solid waste management 27761
district is levying under divisions (B)(1) to (3) of this section 27762
is amended or repealed, the fees in effect immediately prior to 27763
the amendment or repeal shall continue to be collected until 27764
collection of the amended fees commences or collection of the 27765
repealed fees ceases, as applicable, as specified in this 27766
division. In the case of a change in district composition, money 27767
so received from the collection of the fees of the former27768
districts shall be divided among the resulting districts in27769
accordance with division (B) of section 343.012 of the Revised27770
Code and the agreements entered into under division (B) of section27771
343.01 of the Revised Code to establish the former and resulting27772
districts and any amendments to those agreements.27773

       For the purposes of the provisions of division (B) of this27774
section establishing the times when newly established or amended27775
fees levied by a district are required to commence and the27776
collection of fees that have been amended or repealed is required27777
to cease, "fees" or "schedule of fees" includes, in addition to27778
fees levied under divisions (B)(1) to (3) of this section, those27779
levied under section 3734.573 or 3734.574 of the Revised Code.27780

       (C) For the purposes of defraying the added costs to a27781
municipal corporation or township of maintaining roads and other27782
public facilities and of providing emergency and other public27783
services, and compensating a municipal corporation or township for27784
reductions in real property tax revenues due to reductions in real27785
property valuations resulting from the location and operation of a27786
solid waste disposal facility within the municipal corporation or27787
township, a municipal corporation or township in which such a27788
solid waste disposal facility is located may levy a fee of not27789
more than twenty-five cents per ton on the disposal of solid27790
wastes at a solid waste disposal facility located within the27791
boundaries of the municipal corporation or township regardless of27792
where the wastes were generated.27793

       The legislative authority of a municipal corporation or27794
township may levy fees under this division by enacting an27795
ordinance or adopting a resolution establishing the amount of the27796
fees. Upon so doing the legislative authority shall mail a27797
certified copy of the ordinance or resolution to the board of27798
county commissioners or directors of the county or joint solid27799
waste management district in which the municipal corporation or27800
township is located or, if a regional solid waste management27801
authority has been formed under section 343.011 of the Revised27802
Code, to the board of trustees of that regional authority, the27803
owner or operator of each solid waste disposal facility in the27804
municipal corporation or township that is required to collect the27805
fee by the ordinance or resolution, and the director of27806
environmental protection. Although the fees levied under this27807
division are levied on the basis of tons as the unit of27808
measurement, the legislative authority, in its ordinance or27809
resolution levying the fees under this division, may direct that27810
the fees be levied on the basis of cubic yards as the unit of27811
measurement based upon a conversion factor of three cubic yards27812
per ton generally or one cubic yard per ton for baled wastes.27813

       Not later than five days after enacting an ordinance or27814
adopting a resolution under this division, the legislative27815
authority shall so notify by certified mail the owner or operator27816
of each solid waste disposal facility that is required to collect27817
the fee. Collection of any fee levied on or after March 24, 1992,27818
shall commence on the first day of the second month following the27819
month in which notification is sent to the owner or operator.27820

       (D)(1) The fees levied under divisions (A), (B), and (C) of27821
this section do not apply to the disposal of solid wastes that:27822

       (a) Are disposed of at a facility owned by the generator of27823
the wastes when the solid waste facility exclusively disposes of27824
solid wastes generated at one or more premises owned by the27825
generator regardless of whether the facility is located on a27826
premises where the wastes are generated;27827

       (b) Are disposed of at facilities that exclusively dispose of 27828
wastes that are generated from the combustion of coal, or from the 27829
combustion of primarily coal in combination with scrap tires, that 27830
is not combined in any way with garbage at one or more premises 27831
owned by the generator.27832

       (2) Except as provided in section 3734.571 of the Revised27833
Code, any fees levied under division (B)(1) of this section apply27834
to solid wastes originating outside the boundaries of a county or27835
joint district that are covered by an agreement for the joint use27836
of solid waste facilities entered into under section 343.02 of the27837
Revised Code by the board of county commissioners or board of27838
directors of the county or joint district where the wastes are27839
generated and disposed of.27840

       (3) When solid wastes, other than solid wastes that consist27841
of scrap tires, are burned in a disposal facility that is an27842
incinerator or energy recovery facility, the fees levied under27843
divisions (A), (B), and (C) of this section shall be levied upon27844
the disposal of the fly ash and bottom ash remaining after burning27845
of the solid wastes and shall be collected by the owner or27846
operator of the sanitary landfill where the ash is disposed of.27847

       (4) When solid wastes are delivered to a solid waste transfer 27848
facility, the fees levied under divisions (B) and (C) of this 27849
section shall be levied upon the disposal of solid wastes 27850
transported off the premises of the transfer facility for disposal 27851
and shall be collected by the owner or operator of the solid waste 27852
disposal facility where the wastes are disposed of.27853

       (5) The fees levied under divisions (A), (B), and (C) of this 27854
section do not apply to sewage sludge that is generated by a waste 27855
water treatment facility holding a national pollutant discharge 27856
elimination system permit and that is disposed of through 27857
incineration, land application, or composting or at another 27858
resource recovery or disposal facility that is not a landfill.27859

       (6) The fees levied under divisions (A), (B), and (C) of this 27860
section do not apply to solid wastes delivered to a solid waste 27861
composting facility for processing. When any unprocessed solid 27862
waste or compost product is transported off the premises of a 27863
composting facility and disposed of at a landfill, the fees levied 27864
under divisions (A), (B), and (C) of this section shall be27865
collected by the owner or operator of the landfill where the27866
unprocessed waste or compost product is disposed of.27867

       (7) When solid wastes that consist of scrap tires are27868
processed at a scrap tire recovery facility, the fees levied under27869
divisions (A), (B), and (C) of this section shall be levied upon27870
the disposal of the fly ash and bottom ash or other solid wastes27871
remaining after the processing of the scrap tires and shall be27872
collected by the owner or operator of the solid waste disposal27873
facility where the ash or other solid wastes are disposed of.27874

       (8) The director of environmental protection may issue an 27875
order exempting from the fees levied under this section solid 27876
wastes, including, but not limited to, scrap tires, that are 27877
generated, transferred, or disposed of as a result of a contract 27878
providing for the expenditure of public funds entered into by the 27879
administrator or regional administrator of the United States 27880
environmental protection agency, the director of environmental 27881
protection, or the director of administrative services on behalf 27882
of the director of environmental protection for the purpose of 27883
remediating conditions at a hazardous waste facility, solid waste 27884
facility, or other location at which the administrator or regional 27885
administrator or the director of environmental protection has 27886
reason to believe that there is a substantial threat to public 27887
health or safety or the environment or that the conditions are 27888
causing or contributing to air or water pollution or soil 27889
contamination. An order issued by the director of environmental 27890
protection under division (D)(8) of this section shall include a 27891
determination that the amount of the fees not received by a solid 27892
waste management district as a result of the order will not 27893
adversely impact the implementation and financing of the 27894
district's approved solid waste management plan and any approved 27895
amendments to the plan. Such an order is a final action of the 27896
director of environmental protection.27897

       (E) The fees levied under divisions (B) and (C) of this27898
section shall be collected by the owner or operator of the solid27899
waste disposal facility where the wastes are disposed of as a27900
trustee for the county or joint district and municipal corporation27901
or township where the wastes are disposed of. Moneys from the fees 27902
levied under division (B) of this section shall be forwarded to 27903
the board of county commissioners or board of directors of the27904
district in accordance with rules adopted under division (H) of27905
this section. Moneys from the fees levied under division (C) of27906
this section shall be forwarded to the treasurer or such other27907
officer of the municipal corporation as, by virtue of the charter,27908
has the duties of the treasurer or to the fiscal officer of the 27909
township, as appropriate, in accordance with those rules.27910

       (F) Moneys received by the treasurer or other officer of the 27911
municipal corporation under division (E) of this section shall be 27912
paid into the general fund of the municipal corporation. Moneys 27913
received by the fiscal officer of the township under that division27914
shall be paid into the general fund of the township. The treasurer 27915
or other officer of the municipal corporation or the township 27916
fiscal officer, as appropriate, shall maintain separate records of 27917
the moneys received from the fees levied under division (C) of 27918
this section.27919

       (G) Moneys received by the board of county commissioners or27920
board of directors under division (E) of this section or section27921
3734.571, 3734.572, 3734.573, or 3734.574 of the Revised Code27922
shall be paid to the county treasurer, or other official acting in27923
a similar capacity under a county charter, in a county district or27924
to the county treasurer or other official designated by the board27925
of directors in a joint district and kept in a separate and27926
distinct fund to the credit of the district. If a regional solid27927
waste management authority has been formed under section 343.01127928
of the Revised Code, moneys received by the board of trustees of27929
that regional authority under division (E) of this section shall27930
be kept by the board in a separate and distinct fund to the credit27931
of the district. Moneys in the special fund of the county or joint 27932
district arising from the fees levied under division (B) of this 27933
section and the fee levied under division (A) of section 3734.573 27934
of the Revised Code shall be expended by the board of county 27935
commissioners or directors of the district in accordance with the 27936
district's solid waste management plan or amended plan approved 27937
under section 3734.521, 3734.55, or 3734.56 of the Revised Code 27938
exclusively for the following purposes:27939

       (1) Preparation of the solid waste management plan of the27940
district under section 3734.54 of the Revised Code, monitoring27941
implementation of the plan, and conducting the periodic review and27942
amendment of the plan required by section 3734.56 of the Revised27943
Code by the solid waste management policy committee;27944

       (2) Implementation of the approved solid waste management27945
plan or amended plan of the district, including, without27946
limitation, the development and implementation of solid waste27947
recycling or reduction programs;27948

       (3) Providing financial assistance to boards of health within 27949
the district, if solid waste facilities are located within the 27950
district, for enforcement of this chapter and rules, orders, and 27951
terms and conditions of permits, licenses, and variances adopted 27952
or issued under it, other than the hazardous waste provisions of 27953
this chapter and rules adopted and orders and terms and conditions 27954
of permits issued under those provisions;27955

       (4) Providing financial assistance to each county within the27956
district to defray the added costs of maintaining roads and other27957
public facilities and of providing emergency and other public27958
services resulting from the location and operation of a solid27959
waste facility within the county under the district's approved27960
solid waste management plan or amended plan;27961

       (5) Pursuant to contracts entered into with boards of health27962
within the district, if solid waste facilities contained in the27963
district's approved plan or amended plan are located within the27964
district, for paying the costs incurred by those boards of health27965
for collecting and analyzing samples from public or private water27966
wells on lands adjacent to those facilities;27967

       (6) Developing and implementing a program for the inspection27968
of solid wastes generated outside the boundaries of this state27969
that are disposed of at solid waste facilities included in the27970
district's approved solid waste management plan or amended plan;27971

       (7) Providing financial assistance to boards of health within 27972
the district for the enforcement of section 3734.03 of the Revised 27973
Code or to local law enforcement agencies having jurisdiction 27974
within the district for enforcing anti-littering laws and 27975
ordinances;27976

       (8) Providing financial assistance to boards of health of27977
health districts within the district that are on the approved list27978
under section 3734.08 of the Revised Code to defray the costs to27979
the health districts for the participation of their employees27980
responsible for enforcement of the solid waste provisions of this27981
chapter and rules adopted and orders and terms and conditions of27982
permits, licenses, and variances issued under those provisions in27983
the training and certification program as required by rules27984
adopted under division (L) of section 3734.02 of the Revised Code;27985

       (9) Providing financial assistance to individual municipal27986
corporations and townships within the district to defray their27987
added costs of maintaining roads and other public facilities and27988
of providing emergency and other public services resulting from27989
the location and operation within their boundaries of a27990
composting, energy or resource recovery, incineration, or27991
recycling facility that either is owned by the district or is27992
furnishing solid waste management facility or recycling services27993
to the district pursuant to a contract or agreement with the board27994
of county commissioners or directors of the district;27995

       (10) Payment of any expenses that are agreed to, awarded, or27996
ordered to be paid under section 3734.35 of the Revised Code and27997
of any administrative costs incurred pursuant to that section. In27998
the case of a joint solid waste management district, if the board27999
of county commissioners of one of the counties in the district is28000
negotiating on behalf of affected communities, as defined in that28001
section, in that county, the board shall obtain the approval of28002
the board of directors of the district in order to expend moneys28003
for administrative costs incurred.28004

       Prior to the approval of the district's solid waste28005
management plan under section 3734.55 of the Revised Code, moneys28006
in the special fund of the district arising from the fees shall be28007
expended for those purposes in the manner prescribed by the solid28008
waste management policy committee by resolution.28009

       Notwithstanding division (G)(6) of this section as it existed28010
prior to October 29, 1993, or any provision in a district's solid28011
waste management plan prepared in accordance with division28012
(B)(2)(e) of section 3734.53 of the Revised Code as it existed28013
prior to that date, any moneys arising from the fees levied under28014
division (B)(3) of this section prior to January 1, 1994, may be28015
expended for any of the purposes authorized in divisions (G)(1) to28016
(10) of this section.28017

       (H) The director shall adopt rules in accordance with Chapter 28018
119. of the Revised Code prescribing procedures for collecting and 28019
forwarding the fees levied under divisions (B) and (C) of this 28020
section to the boards of county commissioners or directors of 28021
county or joint solid waste management districts and to the 28022
treasurers or other officers of municipal corporations and the 28023
fiscal officers of townships. The rules also shall prescribe the28024
dates for forwarding the fees to the boards and officials and may28025
prescribe any other requirements the director considers necessary28026
or appropriate to implement and administer divisions (A), (B), and28027
(C) of this section.28028

       Sec. 3735.672.  (A) On or before the thirty-first day of28029
March each year, a legislative authority that has entered into an28030
agreement with a party under section 3735.671 of the Revised Code28031
shall submit to the director of development and the board of28032
education of each school district of which a municipal corporation 28033
or township to which such an agreement applies is a part a report 28034
on all such agreements in effect during the preceding calendar 28035
year. The report shall include the following information:28036

       (1) The designation, assigned by the director of development, 28037
of each community reinvestment area within the municipal 28038
corporation or county, and the total population of each area 28039
according to the most recent data available;28040

       (2) The number of agreements and the number of full-time28041
employees subject to those agreements within each area, each28042
according to the most recent data available and identified and28043
categorized by the appropriate standard industrial code, and the28044
rate of unemployment in the municipal corporation or county in28045
which the area is located for each year since the area was28046
certified;28047

       (3) The number of agreements approved and executed during the 28048
calendar year for which the report is submitted, the total number 28049
of agreements in effect on the thirty-first day of December of the 28050
preceding calendar year, the number of agreements that expired 28051
during the calendar year for which the report is submitted, and 28052
the number of agreements scheduled to expire during the calendar 28053
year in which the report is submitted. For each agreement that 28054
expired during the calendar year for which the report is 28055
submitted, the legislative authority shall include the amount of 28056
taxes exempted under the agreement.28057

       (4) The number of agreements receiving compliance reviews by 28058
the tax incentive review council in the municipal corporation or 28059
county during the calendar year for which the report is submitted, 28060
including all of the following information:28061

       (a) The number of agreements the terms of which the party has 28062
complied with, indicating separately for each such agreement the 28063
value of the real property exempted pursuant to the agreement and 28064
a comparison of the stipulated and actual schedules for hiring new 28065
employees, for retaining existing employees, and for the amount of 28066
payroll of the party attributable to these employees;28067

       (b) The number of agreements the terms of which a party has 28068
failed to comply with, indicating separately for each such28069
agreement the value of the real and personal property exempted28070
pursuant to the agreement and a comparison of the stipulated and28071
actual schedules for hiring new employees, for retaining existing28072
employees, and for the amount of payroll of the enterprise28073
attributable to these employees;28074

       (c) The number of agreements about which the tax incentive28075
review council made recommendations to the legislative authority,28076
and the number of such recommendations that have not been28077
followed;28078

       (d) The number of agreements rescinded during the calendar28079
year for which the report is submitted.28080

       (5) The number of parties subject to agreements that expanded 28081
within each area, including the number of new employees hired and 28082
existing employees retained by that party, and the number of new 28083
parties subject to agreements that established within each area, 28084
including the number of new employees hired by each party;28085

       (6) For each agreement in effect during any part of the28086
preceding year, the number of employees employed by the party at28087
the property that is the subject of the agreement immediately28088
prior to formal approval of the agreement, the number of employees 28089
employed by the party at that property on the thirty-first day of 28090
December of the preceding year, the payroll of the party for the 28091
preceding year, the amount of taxes paid on real property that was 28092
exempted under the agreement, and the amount of such taxes that 28093
were not paid because of the exemption.28094

       (B) Upon the failure of a municipal corporation or county to 28095
comply with division (A) of this section:28096

       (1) Beginning on the first day of April of the calendar year 28097
in which the municipal corporation or county fails to comply with 28098
that division, the municipal corporation or county shall not enter 28099
into any agreements under section 3735.671 of the Revised Code 28100
until the municipal corporation or county has complied with28101
division (A) of this section.28102

       (2) On the first day of each ensuing calendar month until the 28103
municipal corporation or county complies with that division, the 28104
director of development shall either order the proper county28105
auditor to deduct from the next succeeding payment of taxes to the 28106
municipal corporation or county under section 321.31, 321.32,28107
321.33, or 321.34 of the Revised Code an amount equal to five28108
hundred dollars for each calendar month the municipal corporation28109
or county fails to comply with that division, or order the county28110
auditor to deduct such an amount from the next succeeding payment28111
to the municipal corporation or county from the undivided local28112
governmentcommunities fund under section 5747.51 of the Revised 28113
Code. At the time such a payment is made, the county auditor shall 28114
comply with the director's order by issuing a warrant, drawn on 28115
the fund from which such money would have been paid, to the 28116
director of development, who shall deposit the warrant into the 28117
state community reinvestment area program administration fund 28118
created in division (C) of this section.28119

       (C) The director, by rule, shall establish the state's28120
application fee for applications submitted to a municipal28121
corporation or county to enter into an agreement under section28122
3735.671 of the Revised Code. In establishing the amount of the28123
fee, the director shall consider the state's cost of administering 28124
the community reinvestment area program, including the cost of 28125
reviewing the reports required under division (A) of this section. 28126
The director may change the amount of the fee at such times and in 28127
such increments as hethe director considers necessary. Any 28128
municipal corporation or county that receives an application shall 28129
collect the application fee and remit the fee for deposit in the 28130
state treasury to the credit of the state community reinvestment 28131
area program administration fund, which is hereby created. Money 28132
credited to the fund shall be used by the department of 28133
development to pay the costs of administering the community 28134
reinvestment area program, including the cost of reviewing the 28135
reports required under division (A) of this sectiontax incentive 28136
programs operating fund created in section 122.174 of the Revised 28137
Code.28138

       Sec. 3745.11.  (A) Applicants for and holders of permits,28139
licenses, variances, plan approvals, and certifications issued by28140
the director of environmental protection pursuant to Chapters28141
3704., 3734., 6109., and 6111. of the Revised Code shall pay a fee28142
to the environmental protection agency for each such issuance and28143
each application for an issuance as provided by this section. No28144
fee shall be charged for any issuance for which no application has28145
been submitted to the director.28146

       (B) Each person who is issued a permit to install prior to 28147
July 1, 2003, pursuant to rules adopted under division (F) of 28148
section 3704.03 of the Revised Code shall pay the fees specified 28149
in the following schedules:28150

       (1) Fuel-burning equipment (boilers)28151

Input capacity (maximum)   28152
(million British thermal units per hour) Permit to install 28153

Greater than 0, but less than 10 $ 200 28154
10 or more, but less than 100     400 28155
100 or more, but less than 300     800 28156
300 or more, but less than 500    1500 28157
500 or more, but less than 1000    2500 28158
1000 or more, but less than 5000  4000 28159
5000 or more  6000 28160

       Units burning exclusively natural gas, number two fuel oil, 28161
or both shall be assessed a fee that is one-half of the applicable 28162
amount established in division (F)(1) of this section.28163

       (2) Incinerators28164

Input capacity (pounds per hour) Permit to install 28165

0 to 100 $ 100 28166
101 to 500     400 28167
501 to 2000     750 28168
2001 to 20,000    1000 28169
more than 20,000    2500 28170

       (3)(a) Process28171

Process weight rate (pounds per hour) Permit to install 28172

0 to 1000 $ 200 28173
1001 to 5000     400 28174
5001 to 10,000     600 28175
10,001 to 50,000     800 28176
more than 50,000    1000 28177

       In any process where process weight rate cannot be28178
ascertained, the minimum fee shall be assessed.28179

       (b) Notwithstanding division (B)(3)(a) of this section, any 28180
person issued a permit to install pursuant to rules adopted under 28181
division (F) of section 3704.03 of the Revised Code shall pay the 28182
fees established in division (B)(3)(c) of this section for a 28183
process used in any of the following industries, as identified by 28184
the applicable four-digit standard industrial classification code 28185
according to the Standard Industrial Classification Manual 28186
published by the United States office of management and budget in 28187
the executive office of the president, 1972, as revised:28188

       1211 Bituminous coal and lignite mining;28189

       1213 Bituminous coal and lignite mining services;28190

       1411 Dimension stone;28191

       1422 Crushed and broken limestone;28192

       1427 Crushed and broken stone, not elsewhere classified;28193

       1442 Construction sand and gravel;28194

       1446 Industrial sand;28195

       3281 Cut stone and stone products;28196

       3295 Minerals and earth, ground or otherwise treated.28197

       (c) The fees established in the following schedule apply to 28198
the issuance of a permit to install pursuant to rules adopted 28199
under division (F) of section 3704.03 of the Revised Code for a 28200
process listed in division (B)(3)(b) of this section:28201

Process weight rate (pounds per hour) Permit to install 28202

0 to 1000 $ 200 28203
10,001 to 50,000   300 28204
50,001 to 100,000   400 28205
100,001 to 200,000   500 28206
200,001 to 400,000   600 28207
400,001 or more   700 28208

       (4) Storage tanks28209

Gallons (maximum useful capacity) Permit to install 28210

0 to 20,000 $ 100 28211
20,001 to 40,000   150 28212
40,001 to 100,000   200 28213
100,001 to 250,000   250 28214
250,001 to 500,000   350 28215
500,001 to 1,000,000     500 28216
1,000,001 or greater     750 28217

       (5) Gasoline/fuel dispensing facilities28218

For each gasoline/fuel dispensing Permit to install 28219
facility $ 100 28220

       (6) Dry cleaning facilities28221

For each dry cleaning facility Permit to install 28222
(includes all units at the facility) $ 100 28223

       (7) Registration status28224

For each source covered Permit to install 28225
by registration status $  75 28226

       (C)(1) Except as otherwise provided in division (C)(2) of28227
this section, beginning July 1, 1994, each person who owns or28228
operates an air contaminant source and who is required to apply28229
for and obtain a Title V permit under section 3704.036 of the28230
Revised Code shall pay the fees set forth in division (C)(1) of28231
this section. For the purposes of that division, total emissions28232
of air contaminants may be calculated using engineering28233
calculations, emissions factors, material balance calculations, or28234
performance testing procedures, as authorized by the director.28235

       The following fees shall be assessed on the total actual28236
emissions from a source in tons per year of the regulated28237
pollutants particulate matter, sulfur dioxide, nitrogen oxides,28238
organic compounds, and lead:28239

       (a) Fifteen dollars per ton on the total actual emissions of28240
each such regulated pollutant during the period July through28241
December 1993, to be collected no sooner than July 1, 1994;28242

       (b) Twenty dollars per ton on the total actual emissions of28243
each such regulated pollutant during calendar year 1994, to be28244
collected no sooner than April 15, 1995;28245

       (c) Twenty-five dollars per ton on the total actual emissions 28246
of each such regulated pollutant in calendar year 1995, and each 28247
subsequent calendar year, to be collected no sooner than the 28248
fifteenth day of April of the year next succeeding the calendar 28249
year in which the emissions occurred.28250

       The fees levied under division (C)(1) of this section do not28251
apply to that portion of the emissions of a regulated pollutant at28252
a facility that exceed four thousand tons during a calendar year.28253

       (2) The fees assessed under division (C)(1) of this section28254
are for the purpose of providing funding for the Title V permit28255
program.28256

       (3) The fees assessed under division (C)(1) of this section28257
do not apply to emissions from any electric generating unit28258
designated as a Phase I unit under Title IV of the federal Clean28259
Air Act prior to calendar year 2000. Those fees shall be assessed28260
on the emissions from such a generating unit commencing in28261
calendar year 2001 based upon the total actual emissions from the28262
generating unit during calendar year 2000 and shall continue to be28263
assessed each subsequent calendar year based on the total actual28264
emissions from the generating unit during the preceding calendar28265
year.28266

       (4) The director shall issue invoices to owners or operators28267
of air contaminant sources who are required to pay a fee assessed28268
under division (C) or (D) of this section. Any such invoice shall28269
be issued no sooner than the applicable date when the fee first28270
may be collected in a year under the applicable division, shall28271
identify the nature and amount of the fee assessed, and shall28272
indicate that the fee is required to be paid within thirty days28273
after the issuance of the invoice.28274

       (D)(1) Except as provided in division (D)(3) of this section, 28275
from January 1, 1994, through December 31, 2003, each person who 28276
owns or operates an air contaminant source; who is required to 28277
apply for a permit to operate pursuant to rules adopted under 28278
division (G), or a variance pursuant to division (H), of section 28279
3704.03 of the Revised Code; and who is not required to apply for 28280
and obtain a Title V permit under section 3704.036 of the Revised 28281
Code shall pay a single fee based upon the sum of the actual 28282
annual emissions from the facility of the regulated pollutants28283
particulate matter, sulfur dioxide, nitrogen oxides, organic 28284
compounds, and lead in accordance with the following schedule:28285

Total tons per year 28286
of regulated pollutants Annual fee 28287
emitted per facility 28288
More than 0, but less than 50    $ 75 28289
50 or more, but less than 100     300 28290
100 or more     700 28291

       (2) Except as provided in division (D)(3) of this section, 28292
beginning January 1, 2004, each person who owns or operates an air 28293
contaminant source; who is required to apply for a permit to 28294
operate pursuant to rules adopted under division (G), or a 28295
variance pursuant to division (H), of section 3704.03 of the 28296
Revised Code; and who is not required to apply for and obtain a 28297
Title V permit under section 3704.03 of the Revised Code shall pay 28298
a single fee based upon the sum of the actual annual emissions 28299
from the facility of the regulated pollutants particulate matter, 28300
sulfur dioxide, nitrogen oxides, organic compounds, and lead in 28301
accordance with the following schedule:28302

Total tons per year 28303
of regulated pollutants Annual fee 28304
emitted per facility 28305
More than 0, but less than 10    $ 100 28306
10 or more, but less than 50      200 28307
50 or more, but less than 100      300 28308
100 or more      700 28309

       (3)(a) As used in division (D) of this section, "synthetic28310
minor facility" means a facility for which one or more permits to28311
install or permits to operate have been issued for the air28312
contaminant sources at the facility that include terms and28313
conditions that lower the facility's potential to emit air28314
contaminants below the major source thresholds established in28315
rules adopted under section 3704.036 of the Revised Code.28316

       (b) Beginning January 1, 2000, through June 30, 20082010,28317
each person who owns or operates a synthetic minor facility shall28318
pay an annual fee based on the sum of the actual annual emissions28319
from the facility of particulate matter, sulfur dioxide, nitrogen28320
dioxide, organic compounds, and lead in accordance with the28321
following schedule:28322

Combined total tons 28323
per year of all regulated Annual fee 28324
pollutants emitted per facility 28325

Less than 10 $ 170 28326
10 or more, but less than 20   340 28327
20 or more, but less than 30   670 28328
30 or more, but less than 40 1,010 28329
40 or more, but less than 50 1,340 28330
50 or more, but less than 60 1,680 28331
60 or more, but less than 70 2,010 28332
70 or more, but less than 80 2,350 28333
80 or more, but less than 90 2,680 28334
90 or more, but less than 100 3,020 28335
100 or more 3,350 28336

       (4) The fees assessed under division (D)(1) of this section28337
shall be collected annually no sooner than the fifteenth day of28338
April, commencing in 1995. The fees assessed under division 28339
(D)(2) of this section shall be collected annually no sooner than 28340
the fifteenth day of April, commencing in 2005. The fees assessed 28341
under division (D)(3) of this section shall be collected no sooner 28342
than the fifteenth day of April, commencing in 2000. The fees 28343
assessed under division (D) of this section in a calendar year28344
shall be based upon the sum of the actual emissions of those28345
regulated pollutants during the preceding calendar year. For the 28346
purpose of division (D) of this section, emissions of air28347
contaminants may be calculated using engineering calculations, 28348
emission factors, material balance calculations, or performance 28349
testing procedures, as authorized by the director. The director, 28350
by rule, may require persons who are required to pay the fees 28351
assessed under division (D) of this section to pay those fees28352
biennially rather than annually.28353

       (E)(1) Consistent with the need to cover the reasonable costs 28354
of the Title V permit program, the director annually shall28355
increase the fees prescribed in division (C)(1) of this section by28356
the percentage, if any, by which the consumer price index for the28357
most recent calendar year ending before the beginning of a year28358
exceeds the consumer price index for calendar year 1989. Upon28359
calculating an increase in fees authorized by division (E)(1) of28360
this section, the director shall compile revised fee schedules for28361
the purposes of division (C)(1) of this section and shall make the28362
revised schedules available to persons required to pay the fees28363
assessed under that division and to the public.28364

       (2) For the purposes of division (E)(1) of this section:28365

       (a) The consumer price index for any year is the average of28366
the consumer price index for all urban consumers published by the28367
United States department of labor as of the close of the28368
twelve-month period ending on the thirty-first day of August of28369
that year.28370

       (b) If the 1989 consumer price index is revised, the director 28371
shall use the revision of the consumer price index that is most 28372
consistent with that for calendar year 1989.28373

       (F) Each person who is issued a permit to install pursuant to 28374
rules adopted under division (F) of section 3704.03 of the Revised 28375
Code on or after July 1, 2003, shall pay the fees specified in the 28376
following schedules:28377

       (1) Fuel-burning equipment (boilers, furnaces, or process 28378
heaters used in the process of burning fuel for the primary 28379
purpose of producing heat or power by indirect heat transfer)28380

Input capacity (maximum) 28381
(million British thermal units per hour) Permit to install 28382
Greater than 0, but less than 10    $ 200 28383
10 or more, but less than 100      400 28384
100 or more, but less than 300     1000 28385
300 or more, but less than 500     2250 28386
500 or more, but less than 1000     3750 28387
1000 or more, but less than 5000     6000 28388
5000 or more     9000 28389

       Units burning exclusively natural gas, number two fuel oil,28390
or both shall be assessed a fee that is one-half the applicable28391
amount shown in division (F)(1) of this section.28392

       (2) Combustion turbines and stationary internal combustion 28393
engines designed to generate electricity28394

Generating capacity (mega watts) Permit to install 28395
0 or more, but less than 10    $  25 28396
10 or more, but less than 25      150 28397
25 or more, but less than 50      300 28398
50 or more, but less than 100      500 28399
100 or more, but less than 250     1000 28400
250 or more     2000 28401

       (3) Incinerators28402

Input capacity (pounds per hour) Permit to install 28403
0 to 100    $ 100 28404
101 to 500      500 28405
501 to 2000     1000 28406
2001 to 20,000     1500 28407
more than 20,000     3750 28408

       (4)(a) Process28409

Process weight rate (pounds per hour) Permit to install 28410
0 to 1000    $ 200 28411
1001 to 5000      500 28412
5001 to 10,000      750 28413
10,001 to 50,000     1000 28414
more than 50,000     1250 28415

       In any process where process weight rate cannot be28416
ascertained, the minimum fee shall be assessed. A boiler, furnace, 28417
combustion turbine, stationary internal combustion engine, or 28418
process heater designed to provide direct heat or power to a 28419
process not designed to generate electricity shall be assessed a 28420
fee established in division (F)(4)(a) of this section. A 28421
combustion turbine or stationary internal combustion engine 28422
designed to generate electricity shall be assessed a fee 28423
established in division (F)(2) of this section.28424

       (b) Notwithstanding division (F)(4)(a) of this section, any28425
person issued a permit to install pursuant to rules adopted under28426
division (F) of section 3704.03 of the Revised Code shall pay the28427
fees set forth in division (F)(4)(c) of this section for a process28428
used in any of the following industries, as identified by the28429
applicable two-digit, three-digit, or four-digit standard 28430
industrial classification code according to the Standard 28431
Industrial Classification Manual published by the United States 28432
office of management and budget in the executive office of the 28433
president, 1987, as revised:28434

        Major group 10, metal mining;28435

       Major group 12, coal mining;28436

       Major group 14, mining and quarrying of nonmetallic minerals;28437

       Industry group 204, grain mill products;28438

       2873 Nitrogen fertilizers;28439

       2874 Phosphatic fertilizers;28440

       3281 Cut stone and stone products;28441

       3295 Minerals and earth, ground or otherwise treated;28442

       4221 Grain elevators (storage only);28443

       5159 Farm related raw materials;28444

       5261 Retail nurseries and lawn and garden supply stores.28445

       (c) The fees set forth in the following schedule apply to the 28446
issuance of a permit to install pursuant to rules adopted under 28447
division (F) of section 3704.03 of the Revised Code for a process 28448
identified in division (F)(4)(b) of this section:28449

Process weight rate (pounds per hour) Permit to install 28450
0 to 10,000   $  200 28451
10,001 to 50,000      400 28452
50,001 to 100,000      500 28453
100,001 to 200,000      600 28454
200,001 to 400,000      750 28455
400,001 or more      900 28456

       (5) Storage tanks28457

Gallons (maximum useful capacity) Permit to install 28458
0 to 20,000   $  100 28459
20,001 to 40,000      150 28460
40,001 to 100,000      250 28461
100,001 to 500,000      400 28462
500,001 or greater      750 28463

       (6) Gasoline/fuel dispensing facilities28464

For each gasoline/fuel 28465
dispensing facility (includes all Permit to install 28466
units at the facility)     $ 100 28467

       (7) Dry cleaning facilities28468

For each dry cleaning 28469
facility (includes all units Permit to install 28470
at the facility)     $ 100 28471

       (8) Registration status28472

For each source covered Permit to install 28473
by registration status     $  75 28474

       (G) An owner or operator who is responsible for an asbestos28475
demolition or renovation project pursuant to rules adopted under28476
section 3704.03 of the Revised Code shall pay the fees set forth28477
in the following schedule:28478

Action Fee 28479
Each notification $75 28480
Asbestos removal $3/unit 28481
Asbestos cleanup $4/cubic yard 28482

For purposes of this division, "unit" means any combination of28483
linear feet or square feet equal to fifty.28484

       (H) A person who is issued an extension of time for a permit28485
to install an air contaminant source pursuant to rules adopted28486
under division (F) of section 3704.03 of the Revised Code shall28487
pay a fee equal to one-half the fee originally assessed for the28488
permit to install under this section, except that the fee for such28489
an extension shall not exceed two hundred dollars.28490

       (I) A person who is issued a modification to a permit to28491
install an air contaminant source pursuant to rules adopted under28492
section 3704.03 of the Revised Code shall pay a fee equal to28493
one-half of the fee that would be assessed under this section to28494
obtain a permit to install the source. The fee assessed by this28495
division only applies to modifications that are initiated by the28496
owner or operator of the source and shall not exceed two thousand28497
dollars.28498

       (J) Notwithstanding division (B) or (F) of this section, a28499
person who applies for or obtains a permit to install pursuant to28500
rules adopted under division (F) of section 3704.03 of the Revised28501
Code after the date actual construction of the source began shall28502
pay a fee for the permit to install that is equal to twice the fee28503
that otherwise would be assessed under the applicable division28504
unless the applicant received authorization to begin construction28505
under division (W) of section 3704.03 of the Revised Code. This28506
division only applies to sources for which actual construction of28507
the source begins on or after July 1, 1993. The imposition or28508
payment of the fee established in this division does not preclude28509
the director from taking any administrative or judicial28510
enforcement action under this chapter, Chapter 3704., 3714.,28511
3734., or 6111. of the Revised Code, or a rule adopted under any28512
of them, in connection with a violation of rules adopted under28513
division (F) of section 3704.03 of the Revised Code.28514

       As used in this division, "actual construction of the source"28515
means the initiation of physical on-site construction activities28516
in connection with improvements to the source that are permanent28517
in nature, including, without limitation, the installation of28518
building supports and foundations and the laying of underground28519
pipework.28520

       (K) Fifty cents per ton of each fee assessed under division28521
(C) of this section on actual emissions from a source and received28522
by the environmental protection agency pursuant to that division28523
shall be deposited into the state treasury to the credit of the28524
small business assistance fund created in section 3706.19 of the28525
Revised Code. The remainder of the moneys received by the division 28526
pursuant to that division and moneys received by the agency 28527
pursuant to divisions (D), (F), (G), (H), (I), and (J) of this 28528
section shall be deposited in the state treasury to the credit of 28529
the clean air fund created in section 3704.035 of the Revised 28530
Code.28531

       (L)(1)(a) Except as otherwise provided in division (L)(1)(b)28532
or (c) of this section, a person issued a water discharge permit28533
or renewal of a water discharge permit pursuant to Chapter 6111.28534
of the Revised Code shall pay a fee based on each point source to28535
which the issuance is applicable in accordance with the following28536
schedule:28537

Design flow discharge (gallons per day) Fee  28538
0 to 1000 $  0 28539
1,001 to 5000 100 28540
5,001 to 50,000 200 28541
50,001 to 100,000 300 28542
100,001 to 300,000 525 28543
over 300,000 750 28544

       (b) Notwithstanding the fee schedule specified in division28545
(L)(1)(a) of this section, the fee for a water discharge permit28546
that is applicable to coal mining operations regulated under28547
Chapter 1513. of the Revised Code shall be two hundred fifty28548
dollars per mine.28549

       (c) Notwithstanding the fee schedule specified in division28550
(L)(1)(a) of this section, the fee for a water discharge permit28551
for a public discharger identified by I in the third character of28552
the permittee's NPDES permit number shall not exceed seven hundred28553
fifty dollars.28554

       (2) A person applying for a plan approval for a wastewater28555
treatment works pursuant to section 6111.44, 6111.45, or 6111.4628556
of the Revised Code shall pay a fee of one hundred dollars plus28557
sixty-five one-hundredths of one per cent of the estimated project28558
cost through June 30, 20082010, and one hundred dollars plus28559
two-tenths of one per cent of the estimated project cost on and28560
after July 1, 20082010, except that the total fee shall not28561
exceed fifteen thousand dollars through June 30, 20082010, and28562
five thousand dollars on and after July 1, 20082010. The fee28563
shall be paid at the time the application is submitted.28564

       (3) A person issued a modification of a water discharge28565
permit shall pay a fee equal to one-half the fee that otherwise28566
would be charged for a water discharge permit, except that the fee28567
for the modification shall not exceed four hundred dollars.28568

       (4) A person who has entered into an agreement with the28569
director under section 6111.14 of the Revised Code shall pay an28570
administrative service fee for each plan submitted under that28571
section for approval that shall not exceed the minimum amount28572
necessary to pay administrative costs directly attributable to28573
processing plan approvals. The director annually shall calculate28574
the fee and shall notify all persons who have entered into28575
agreements under that section, or who have applied for agreements,28576
of the amount of the fee.28577

       (5)(a)(i) Not later than January 30, 20062008, and January28578
30, 20072009, a person holding an NPDES discharge permit issued28579
pursuant to Chapter 6111. of the Revised Code with an average28580
daily discharge flow of five thousand gallons or more shall pay a28581
nonrefundable annual discharge fee. Any person who fails to pay28582
the fee at that time shall pay an additional amount that equals28583
ten per cent of the required annual discharge fee.28584

       (ii) The billing year for the annual discharge fee28585
established in division (L)(5)(a)(i) of this section shall consist28586
of a twelve-month period beginning on the first day of January of28587
the year preceding the date when the annual discharge fee is due.28588
In the case of an existing source that permanently ceases to28589
discharge during a billing year, the director shall reduce the28590
annual discharge fee, including the surcharge applicable to28591
certain industrial facilities pursuant to division (L)(5)(c) of28592
this section, by one-twelfth for each full month during the28593
billing year that the source was not discharging, but only if the28594
person holding the NPDES discharge permit for the source notifies28595
the director in writing, not later than the first day of October28596
of the billing year, of the circumstances causing the cessation of28597
discharge.28598

       (iii) The annual discharge fee established in division28599
(L)(5)(a)(i) of this section, except for the surcharge applicable28600
to certain industrial facilities pursuant to division (L)(5)(c) of28601
this section, shall be based upon the average daily discharge flow28602
in gallons per day calculated using first day of May through28603
thirty-first day of October flow data for the period two years28604
prior to the date on which the fee is due. In the case of NPDES28605
discharge permits for new sources, the fee shall be calculated28606
using the average daily design flow of the facility until actual28607
average daily discharge flow values are available for the time28608
period specified in division (L)(5)(a)(iii) of this section. The28609
annual discharge fee may be prorated for a new source as described28610
in division (L)(5)(a)(ii) of this section.28611

       (b) An NPDES permit holder that is a public discharger shall28612
pay the fee specified in the following schedule:28613

Average daily Fee due by 28614
discharge flow January 30, 28615
2006 2008, and 28616
January 30, 2007 2009 28617

5,000 to 49,999 $ 200 28618
50,000 to 100,000 500 28619
100,001 to 250,000 1,050 28620
250,001 to 1,000,000 2,600 28621
1,000,001 to 5,000,000 5,200 28622
5,000,001 to 10,000,000 10,350 28623
10,000,001 to 20,000,000 15,550 28624
20,000,001 to 50,000,000 25,900 28625
50,000,001 to 100,000,000 41,400 28626
100,000,001 or more 62,100 28627

       Public dischargers owning or operating two or more publicly28628
owned treatment works serving the same political subdivision, as28629
"treatment works" is defined in section 6111.01 of the Revised28630
Code, and that serve exclusively political subdivisions having a28631
population of fewer than one hundred thousand shall pay an annual28632
discharge fee under division (L)(5)(b) of this section that is28633
based on the combined average daily discharge flow of the28634
treatment works.28635

       (c) An NPDES permit holder that is an industrial discharger,28636
other than a coal mining operator identified by P in the third28637
character of the permittee's NPDES permit number, shall pay the28638
fee specified in the following schedule:28639

Average daily Fee due by 28640
discharge flow January 30, 28641
2006 2008, and 28642
January 30, 2007 2009 28643

5,000 to 49,999 $ 250 28644
50,000 to 250,000 1,200 28645
250,001 to 1,000,000 2,950 28646
1,000,001 to 5,000,000 5,850 28647
5,000,001 to 10,000,000 8,800 28648
10,000,001 to 20,000,000 11,700 28649
20,000,001 to 100,000,000 14,050 28650
100,000,001 to 250,000,000 16,400 28651
250,000,001 or more 18,700 28652

       In addition to the fee specified in the above schedule, an28653
NPDES permit holder that is an industrial discharger classified as28654
a major discharger during all or part of the annual discharge fee28655
billing year specified in division (L)(5)(a)(ii) of this section28656
shall pay a nonrefundable annual surcharge of seven thousand five28657
hundred dollars not later than January 30, 20062008, and not 28658
later than January 30, 20072009. Any person who fails to pay the28659
surcharge at that time shall pay an additional amount that equals 28660
ten per cent of the amount of the surcharge.28661

       (d) Notwithstanding divisions (L)(5)(b) and (c) of this28662
section, a public discharger identified by I in the third28663
character of the permittee's NPDES permit number and an industrial28664
discharger identified by I, J, L, V, W, X, Y, or Z in the third28665
character of the permittee's NPDES permit number shall pay a28666
nonrefundable annual discharge fee of one hundred eighty dollars28667
not later than January 30, 20062008, and not later than January28668
30, 20072009. Any person who fails to pay the fee at that time28669
shall pay an additional amount that equals ten per cent of the28670
required fee.28671

       (6) Each person obtaining a national pollutant discharge28672
elimination system general or individual permit for municipal28673
storm water discharge shall pay a nonrefundable storm water28674
discharge fee of one hundred dollars per square mile of area28675
permitted. The fee shall not exceed ten thousand dollars and shall 28676
be payable on or before January 30, 2004, and the thirtieth day of 28677
January of each year thereafter. Any person who fails to pay the 28678
fee on the date specified in division (L)(6) of this section shall 28679
pay an additional amount per year equal to ten per cent of the 28680
annual fee that is unpaid.28681

       (7) The director shall transmit all moneys collected under28682
division (L) of this section to the treasurer of state for deposit28683
into the state treasury to the credit of the surface water28684
protection fund created in section 6111.038 of the Revised Code.28685

       (8) As used in division (L) of this section:28686

       (a) "NPDES" means the federally approved national pollutant28687
discharge elimination system program for issuing, modifying,28688
revoking, reissuing, terminating, monitoring, and enforcing28689
permits and imposing and enforcing pretreatment requirements under28690
Chapter 6111. of the Revised Code and rules adopted under it.28691

       (b) "Public discharger" means any holder of an NPDES permit28692
identified by P in the second character of the NPDES permit number28693
assigned by the director.28694

       (c) "Industrial discharger" means any holder of an NPDES28695
permit identified by I in the second character of the NPDES permit28696
number assigned by the director.28697

       (d) "Major discharger" means any holder of an NPDES permit28698
classified as major by the regional administrator of the United28699
States environmental protection agency in conjunction with the28700
director.28701

       (M) Through June 30, 20082010, a person applying for a28702
license or license renewal to operate a public water system under28703
section 6109.21 of the Revised Code shall pay the appropriate fee28704
established under this division at the time of application to the28705
director. Any person who fails to pay the fee at that time shall28706
pay an additional amount that equals ten per cent of the required28707
fee. The director shall transmit all moneys collected under this28708
division to the treasurer of state for deposit into the drinking28709
water protection fund created in section 6109.30 of the Revised28710
Code.28711

        Except as provided in division (M)(4) of this section, fees 28712
required under this division shall be calculated and paid in 28713
accordance with the following schedule:28714

       (1) For the initial license required under division (A)(1) of 28715
section 6109.21 of the Revised Code for any public water system28716
that is a community water system as defined in section 6109.01 of28717
the Revised Code, and for each license renewal required for such a28718
system prior to January 31, 20082010, the fee is:28719

Number of service connections Fee amount 28720
Not more than 49    $ 112 28721
50 to 99      176 28722

Number of service connections Average cost per connection 28723
100 to 2,499 $ 1.92 28724
2,500 to 4,999   1.48 28725
5,000 to 7,499   1.42 28726
7,500 to 9,999   1.34 28727
10,000 to 14,999   1.16 28728
15,000 to 24,999   1.10 28729
25,000 to 49,999   1.04 28730
50,000 to 99,999   .92 28731
100,000 to 149,999   .86 28732
150,000 to 199,999   .80 28733
200,000 or more   .76 28734

       A public water system may determine how it will pay the total28735
amount of the fee calculated under division (M)(1) of this28736
section, including the assessment of additional user fees that may28737
be assessed on a volumetric basis.28738

       As used in division (M)(1) of this section, "service28739
connection" means the number of active or inactive pipes,28740
goosenecks, pigtails, and any other fittings connecting a water28741
main to any building outlet.28742

       (2) For the initial license required under division (A)(2) of 28743
section 6109.21 of the Revised Code for any public water system28744
that is not a community water system and serves a nontransient28745
population, and for each license renewal required for such a28746
system prior to January 31, 20082010, the fee is:28747

Population served Fee amount 28748
Fewer than 150 $    112 28749
150 to 299      176 28750
300 to 749      384 28751
750 to 1,499      628 28752
1,500 to 2,999    1,268 28753
3,000 to 7,499    2,816 28754
7,500 to 14,999    5,510 28755
15,000 to 22,499    9,048 28756
22,500 to 29,999   12,430 28757
30,000 or more   16,820 28758

       As used in division (M)(2) of this section, "population28759
served" means the total number of individuals receiving water from28760
the water supply during a twenty-four-hour period for at least28761
sixty days during any calendar year. In the absence of a specific28762
population count, that number shall be calculated at the rate of28763
three individuals per service connection.28764

       (3) For the initial license required under division (A)(3) of 28765
section 6109.21 of the Revised Code for any public water system28766
that is not a community water system and serves a transient28767
population, and for each license renewal required for such a28768
system prior to January 31, 20082010, the fee is:28769

  Number of wells supplying system Fee amount 28770
1 $112 28771
2  112 28772
3  176 28773
4  278 28774
5  568 28775
System designated as using a 28776
surface water source  792 28777

       As used in division (M)(3) of this section, "number of wells28778
supplying system" means those wells that are physically connected28779
to the plumbing system serving the public water system.28780

       (4) A public water system designated as using a surface water 28781
source shall pay a fee of seven hundred ninety-two dollars or the 28782
amount calculated under division (M)(1) or (2) of this section, 28783
whichever is greater.28784

       (N)(1) A person applying for a plan approval for a public28785
water supply system under section 6109.07 of the Revised Code28786
shall pay a fee of one hundred fifty dollars plus thirty-five 28787
hundredths of one per cent of the estimated project cost, except 28788
that the total fee shall not exceed twenty thousand dollars 28789
through June 30, 20082010, and fifteen thousand dollars on and 28790
after July 1, 20082010. The fee shall be paid at the time the 28791
application is submitted.28792

       (2) A person who has entered into an agreement with the28793
director under division (A)(2) of section 6109.07 of the Revised28794
Code shall pay an administrative service fee for each plan28795
submitted under that section for approval that shall not exceed28796
the minimum amount necessary to pay administrative costs directly28797
attributable to processing plan approvals. The director annually28798
shall calculate the fee and shall notify all persons that have28799
entered into agreements under that division, or who have applied28800
for agreements, of the amount of the fee.28801

       (3) Through June 30, 20082010, the following fee, on a per28802
survey basis, shall be charged any person for services rendered by28803
the state in the evaluation of laboratories and laboratory28804
personnel for compliance with accepted analytical techniques and28805
procedures established pursuant to Chapter 6109. of the Revised28806
Code for determining the qualitative characteristics of water:28807

microbiological 28808
MMO-MUG $2,000 28809
MF 2,100 28810
MMO-MUG and MF 2,550 28811
organic chemical 5,400 28812
trace metals 5,400 28813
standard chemistry 2,800 28814
limited chemistry 1,550 28815

       On and after July 1, 20082010, the following fee, on a per28816
survey basis, shall be charged any such person:28817

microbiological $ 1,650 28818
organic chemicals 3,500 28819
trace metals 3,500 28820
standard chemistry 1,800 28821
limited chemistry 1,000 28822

The fee for those services shall be paid at the time the request28823
for the survey is made. Through June 30, 2008 2010, an individual28824
laboratory shall not be assessed a fee under this division more28825
than once in any three-year period unless the person requests the 28826
addition of analytical methods or analysts, in which case the 28827
person shall pay eighteen hundred dollars for each additional 28828
survey requested.28829

       As used in division (N)(3) of this section:28830

        (a) "MF" means microfiltration.28831

        (b) "MMO" means minimal medium ONPG.28832

        (c) "MUG" means 4-methylumbelliferyl-beta-D-glucuronide.28833

        (d) "ONPG" means o-nitrophenyl-beta-D-galactopyranoside.28834

       The director shall transmit all moneys collected under this28835
division to the treasurer of state for deposit into the drinking28836
water protection fund created in section 6109.30 of the Revised28837
Code.28838

        (O) Any person applying to the director for examination for 28839
certification as an operator of a water supply system or 28840
wastewater system under Chapter 6109. or 6111. of the Revised 28841
Code, at the time the application is submitted, shall pay an 28842
application fee of forty-five dollars through November 30, 200828843
2010, and twenty-five dollars on and after December 1, 20082010. 28844
Upon approval from the director that the applicant is eligible to 28845
take the examination therefor, the applicant shall pay a fee in 28846
accordance with the following schedule through November 30, 200828847
2010:28848

Class A operator $35 28849
Class I operator  60 28850
Class II operator  75 28851
Class III operator  85 28852
Class IV operator  100 28853

       On and after December 1, 20082010, the applicant shall pay a 28854
fee in accordance with the following schedule:28855

Class A operator $25 28856
Class I operator $45 28857
Class II operator  55 28858
Class III operator  65 28859
Class IV operator  75 28860

       A person shall pay a biennial certification renewal fee for 28861
each applicable class of certification in accordance with the 28862
following schedule:28863

Class A operator $25 28864
Class I operator  35 28865
Class II operator  45 28866
Class III operator  55 28867
Class IV operator  65 28868

        If a certification renewal fee is received by the director 28869
more than thirty days, but not more than one year after the 28870
expiration date of the certification, the person shall pay a 28871
certification renewal fee in accordance with the following 28872
schedule:28873

Class A operator $45 28874
Class I operator  55 28875
Class II operator  65 28876
Class III operator  75 28877
Class IV operator  85 28878

       A person who requests a replacement certificate shall pay a 28879
fee of twenty-five dollars at the time the request is made.28880

       The director shall transmit all moneys collected under this28881
division to the treasurer of state for deposit into the drinking28882
water protection fund created in section 6109.30 of the Revised28883
Code.28884

       (P) Any person submitting an application for an industrial 28885
water pollution control certificate under section 6111.31 of the 28886
Revised Code, as that section existed before its repeal by H.B. 95 28887
of the 125th general assembly, shall pay a nonrefundable fee of 28888
five hundred dollars at the time the application is submitted. The 28889
director shall transmit all moneys collected under this division 28890
to the treasurer of state for deposit into the surface water 28891
protection fund created in section 6111.038 of the Revised Code. A 28892
person paying a certificate fee under this division shall not pay 28893
an application fee under division (S)(1) of this section. On and 28894
after June 26, 2003, persons shall file such applications and pay 28895
the fee as required under sections 5709.20 to 5709.27 of the 28896
Revised Code, and proceeds from the fee shall be credited as 28897
provided in section 5709.212 of the Revised Code.28898

       (Q) Except as otherwise provided in division (R) of this28899
section, a person issued a permit by the director for a new solid28900
waste disposal facility other than an incineration or composting28901
facility, a new infectious waste treatment facility other than an28902
incineration facility, or a modification of such an existing28903
facility that includes an increase in the total disposal or28904
treatment capacity of the facility pursuant to Chapter 3734. of28905
the Revised Code shall pay a fee of ten dollars per thousand cubic28906
yards of disposal or treatment capacity, or one thousand dollars,28907
whichever is greater, except that the total fee for any such28908
permit shall not exceed eighty thousand dollars. A person issued a 28909
modification of a permit for a solid waste disposal facility or an 28910
infectious waste treatment facility that does not involve an28911
increase in the total disposal or treatment capacity of the28912
facility shall pay a fee of one thousand dollars. A person issued28913
a permit to install a new, or modify an existing, solid waste28914
transfer facility under that chapter shall pay a fee of two28915
thousand five hundred dollars. A person issued a permit to install 28916
a new or to modify an existing solid waste incineration or28917
composting facility, or an existing infectious waste treatment28918
facility using incineration as its principal method of treatment,28919
under that chapter shall pay a fee of one thousand dollars. The28920
increases in the permit fees under this division resulting from28921
the amendments made by Amended Substitute House Bill 592 of the28922
117th general assembly do not apply to any person who submitted an28923
application for a permit to install a new, or modify an existing,28924
solid waste disposal facility under that chapter prior to28925
September 1, 1987; any such person shall pay the permit fee28926
established in this division as it existed prior to June 24, 1988.28927
In addition to the applicable permit fee under this division, a28928
person issued a permit to install or modify a solid waste facility28929
or an infectious waste treatment facility under that chapter who28930
fails to pay the permit fee to the director in compliance with28931
division (V) of this section shall pay an additional ten per cent28932
of the amount of the fee for each week that the permit fee is28933
late.28934

       Permit and late payment fees paid to the director under this28935
division shall be credited to the general revenue fund.28936

       (R)(1) A person issued a registration certificate for a scrap 28937
tire collection facility under section 3734.75 of the Revised Code 28938
shall pay a fee of two hundred dollars, except that if the 28939
facility is owned or operated by a motor vehicle salvage dealer 28940
licensed under Chapter 4738. of the Revised Code, the person shall 28941
pay a fee of twenty-five dollars.28942

       (2) A person issued a registration certificate for a new28943
scrap tire storage facility under section 3734.76 of the Revised28944
Code shall pay a fee of three hundred dollars, except that if the28945
facility is owned or operated by a motor vehicle salvage dealer28946
licensed under Chapter 4738. of the Revised Code, the person shall28947
pay a fee of twenty-five dollars.28948

       (3) A person issued a permit for a scrap tire storage28949
facility under section 3734.76 of the Revised Code shall pay a fee28950
of one thousand dollars, except that if the facility is owned or28951
operated by a motor vehicle salvage dealer licensed under Chapter28952
4738. of the Revised Code, the person shall pay a fee of fifty28953
dollars.28954

       (4) A person issued a permit for a scrap tire monocell or28955
monofill facility under section 3734.77 of the Revised Code shall28956
pay a fee of ten dollars per thousand cubic yards of disposal28957
capacity or one thousand dollars, whichever is greater, except28958
that the total fee for any such permit shall not exceed eighty28959
thousand dollars.28960

       (5) A person issued a registration certificate for a scrap28961
tire recovery facility under section 3734.78 of the Revised Code28962
shall pay a fee of one hundred dollars.28963

       (6) A person issued a permit for a scrap tire recovery28964
facility under section 3734.78 of the Revised Code shall pay a fee28965
of one thousand dollars.28966

       (7) In addition to the applicable registration certificate or 28967
permit fee under divisions (R)(1) to (6) of this section, a person 28968
issued a registration certificate or permit for any such scrap 28969
tire facility who fails to pay the registration certificate or 28970
permit fee to the director in compliance with division (V) of this 28971
section shall pay an additional ten per cent of the amount of the 28972
fee for each week that the fee is late.28973

       (8) The registration certificate, permit, and late payment28974
fees paid to the director under divisions (R)(1) to (7) of this28975
section shall be credited to the scrap tire management fund28976
created in section 3734.82 of the Revised Code.28977

       (S)(1) Except as provided by divisions (L), (M), (N), (O),28978
(P), and (S)(2) of this section, division (A)(2) of section28979
3734.05 of the Revised Code, section 3734.79 of the Revised Code,28980
and rules adopted under division (T)(1) of this section, any28981
person applying for a registration certificate under section28982
3734.75, 3734.76, or 3734.78 of the Revised Code or a permit,28983
variance, or plan approval under Chapter 3734. of the Revised Code28984
shall pay a nonrefundable fee of fifteen dollars at the time the28985
application is submitted.28986

       Except as otherwise provided, any person applying for a28987
permit, variance, or plan approval under Chapter 6109. or 6111. of28988
the Revised Code shall pay a nonrefundable fee of one hundred28989
dollars at the time the application is submitted through June 30, 28990
20082010, and a nonrefundable fee of fifteen dollars at the time28991
the application is submitted on and after July 1, 20082010.28992
Through June 30, 20082010, any person applying for a national28993
pollutant discharge elimination system permit under Chapter 6111.28994
of the Revised Code shall pay a nonrefundable fee of two hundred28995
dollars at the time of application for the permit. On and after28996
July 1, 20082010, such a person shall pay a nonrefundable fee of28997
fifteen dollars at the time of application.28998

       In addition to the application fee established under division28999
(S)(1) of this section, any person applying for a national29000
pollutant discharge elimination system general storm water29001
construction permit shall pay a nonrefundable fee of twenty29002
dollars per acre for each acre that is permitted above five acres29003
at the time the application is submitted. However, the per acreage 29004
fee shall not exceed three hundred dollars. In addition, any 29005
person applying for a national pollutant discharge elimination29006
system general storm water industrial permit shall pay a29007
nonrefundable fee of one hundred fifty dollars at the time the29008
application is submitted.29009

       The director shall transmit all moneys collected under29010
division (S)(1) of this section pursuant to Chapter 6109. of the29011
Revised Code to the treasurer of state for deposit into the29012
drinking water protection fund created in section 6109.30 of the29013
Revised Code.29014

       The director shall transmit all moneys collected under29015
division (S)(1) of this section pursuant to Chapter 6111. of the29016
Revised Code to the treasurer of state for deposit into the29017
surface water protection fund created in section 6111.038 of the29018
Revised Code.29019

       If a registration certificate is issued under section29020
3734.75, 3734.76, or 3734.78 of the Revised Code, the amount of29021
the application fee paid shall be deducted from the amount of the29022
registration certificate fee due under division (R)(1), (2), or29023
(5) of this section, as applicable.29024

       If a person submits an electronic application for a 29025
registration certificate, permit, variance, or plan approval for 29026
which an application fee is established under division (S)(1) of 29027
this section, the person shall pay the applicable application fee 29028
as expeditiously as possible after the submission of the 29029
electronic application. An application for a registration 29030
certificate, permit, variance, or plan approval for which an 29031
application fee is established under division (S)(1) of this 29032
section shall not be reviewed or processed until the applicable 29033
application fee, and any other fees established under this 29034
division, are paid.29035

       (2) Division (S)(1) of this section does not apply to an29036
application for a registration certificate for a scrap tire29037
collection or storage facility submitted under section 3734.75 or29038
3734.76 of the Revised Code, as applicable, if the owner or29039
operator of the facility or proposed facility is a motor vehicle29040
salvage dealer licensed under Chapter 4738. of the Revised Code.29041

       (T) The director may adopt, amend, and rescind rules in29042
accordance with Chapter 119. of the Revised Code that do all of29043
the following:29044

       (1) Prescribe fees to be paid by applicants for and holders29045
of any license, permit, variance, plan approval, or certification29046
required or authorized by Chapter 3704., 3734., 6109., or 6111. of29047
the Revised Code that are not specifically established in this29048
section. The fees shall be designed to defray the cost of29049
processing, issuing, revoking, modifying, denying, and enforcing29050
the licenses, permits, variances, plan approvals, and29051
certifications.29052

       The director shall transmit all moneys collected under rules29053
adopted under division (T)(1) of this section pursuant to Chapter29054
6109. of the Revised Code to the treasurer of state for deposit29055
into the drinking water protection fund created in section 6109.3029056
of the Revised Code.29057

       The director shall transmit all moneys collected under rules29058
adopted under division (T)(1) of this section pursuant to Chapter29059
6111. of the Revised Code to the treasurer of state for deposit29060
into the surface water protection fund created in section 6111.03829061
of the Revised Code.29062

       (2) Exempt the state and political subdivisions thereof,29063
including education facilities or medical facilities owned by the29064
state or a political subdivision, or any person exempted from29065
taxation by section 5709.07 or 5709.12 of the Revised Code, from29066
any fee required by this section;29067

       (3) Provide for the waiver of any fee, or any part thereof,29068
otherwise required by this section whenever the director29069
determines that the imposition of the fee would constitute an29070
unreasonable cost of doing business for any applicant, class of29071
applicants, or other person subject to the fee;29072

       (4) Prescribe measures that the director considers necessary29073
to carry out this section.29074

       (U) When the director reasonably demonstrates that the direct 29075
cost to the state associated with the issuance of a permit to 29076
install, license, variance, plan approval, or certification29077
exceeds the fee for the issuance or review specified by this29078
section, the director may condition the issuance or review on the29079
payment by the person receiving the issuance or review of, in29080
addition to the fee specified by this section, the amount, or any29081
portion thereof, in excess of the fee specified under this29082
section. The director shall not so condition issuances for which29083
fees are prescribed in divisions (B)(7) and (L)(1)(b) of this29084
section.29085

       (V) Except as provided in divisions (L), (M), and (P) of this 29086
section or unless otherwise prescribed by a rule of the director 29087
adopted pursuant to Chapter 119. of the Revised Code, all fees 29088
required by this section are payable within thirty days after the 29089
issuance of an invoice for the fee by the director or the29090
effective date of the issuance of the license, permit, variance,29091
plan approval, or certification. If payment is late, the person29092
responsible for payment of the fee shall pay an additional ten per29093
cent of the amount due for each month that it is late.29094

       (W) As used in this section, "fuel-burning equipment,"29095
"fuel-burning equipment input capacity," "incinerator,"29096
"incinerator input capacity," "process," "process weight rate,"29097
"storage tank," "gasoline dispensing facility," "dry cleaning29098
facility," "design flow discharge," and "new source treatment29099
works" have the meanings ascribed to those terms by applicable29100
rules or standards adopted by the director under Chapter 3704. or29101
6111. of the Revised Code.29102

       (X) As used in divisions (B), (C), (D), (E), (F), (H), (I),29103
and (J) of this section, and in any other provision of this29104
section pertaining to fees paid pursuant to Chapter 3704. of the29105
Revised Code:29106

       (1) "Facility," "federal Clean Air Act," "person," and "Title29107
V permit" have the same meanings as in section 3704.01 of the29108
Revised Code.29109

       (2) "Title V permit program" means the following activities29110
as necessary to meet the requirements of Title V of the federal29111
Clean Air Act and 40 C.F.R. part 70, including at least:29112

       (a) Preparing and adopting, if applicable, generally29113
applicable rules or guidance regarding the permit program or its29114
implementation or enforcement;29115

       (b) Reviewing and acting on any application for a Title V29116
permit, permit revision, or permit renewal, including the29117
development of an applicable requirement as part of the processing29118
of a permit, permit revision, or permit renewal;29119

       (c) Administering the permit program, including the29120
supporting and tracking of permit applications, compliance29121
certification, and related data entry;29122

       (d) Determining which sources are subject to the program and29123
implementing and enforcing the terms of any Title V permit, not29124
including any court actions or other formal enforcement actions;29125

       (e) Emission and ambient monitoring;29126

       (f) Modeling, analyses, or demonstrations;29127

       (g) Preparing inventories and tracking emissions;29128

       (h) Providing direct and indirect support to small business29129
stationary sources to determine and meet their obligations under29130
the federal Clean Air Act pursuant to the small business29131
stationary source technical and environmental compliance29132
assistance program required by section 507 of that act and29133
established in sections 3704.18, 3704.19, and 3706.19 of the29134
Revised Code.29135

       (Y)(1) Except as provided in divisions (Y)(2), (3), and (4)29136
of this section, each sewage sludge facility shall pay a29137
nonrefundable annual sludge fee equal to three dollars and fifty29138
cents per dry ton of sewage sludge, including the dry tons of29139
sewage sludge in materials derived from sewage sludge, that the29140
sewage sludge facility treats or disposes of in this state. The29141
annual volume of sewage sludge treated or disposed of by a sewage29142
sludge facility shall be calculated using the first day of January29143
through the thirty-first day of December of the calendar year29144
preceding the date on which payment of the fee is due.29145

       (2)(a) Except as provided in division (Y)(2)(d) of this29146
section, each sewage sludge facility shall pay a minimum annual29147
sewage sludge fee of one hundred dollars.29148

       (b) The annual sludge fee required to be paid by a sewage29149
sludge facility that treats or disposes of exceptional quality29150
sludge in this state shall be thirty-five per cent less per dry29151
ton of exceptional quality sludge than the fee assessed under29152
division (Y)(1) of this section, subject to the following29153
exceptions:29154

       (i) Except as provided in division (Y)(2)(d) of this section, 29155
a sewage sludge facility that treats or disposes of exceptional 29156
quality sludge shall pay a minimum annual sewage sludge fee of one 29157
hundred dollars.29158

       (ii) A sewage sludge facility that treats or disposes of29159
exceptional quality sludge shall not be required to pay the annual29160
sludge fee for treatment or disposal in this state of exceptional29161
quality sludge generated outside of this state and contained in29162
bags or other containers not greater than one hundred pounds in29163
capacity.29164

       A thirty-five per cent reduction for exceptional quality29165
sludge applies to the maximum annual fees established under29166
division (Y)(3) of this section.29167

       (c) A sewage sludge facility that transfers sewage sludge to29168
another sewage sludge facility in this state for further treatment29169
prior to disposal in this state shall not be required to pay the29170
annual sludge fee for the tons of sewage sludge that have been29171
transferred. In such a case, the sewage sludge facility that29172
disposes of the sewage sludge shall pay the annual sludge fee.29173
However, the facility transferring the sewage sludge shall pay the29174
one-hundred-dollar minimum fee required under division (Y)(2)(a)29175
of this section.29176

       In the case of a sewage sludge facility that treats sewage29177
sludge in this state and transfers it out of this state to another29178
entity for disposal, the sewage sludge facility in this state29179
shall be required to pay the annual sludge fee for the tons of29180
sewage sludge that have been transferred.29181

       (d) A sewage sludge facility that generates sewage sludge29182
resulting from an average daily discharge flow of less than five29183
thousand gallons per day is not subject to the fees assessed under29184
division (Y) of this section.29185

       (3) No sewage sludge facility required to pay the annual29186
sludge fee shall be required to pay more than the maximum annual29187
fee for each disposal method that the sewage sludge facility uses.29188
The maximum annual fee does not include the additional amount that29189
may be charged under division (Y)(5) of this section for late29190
payment of the annual sludge fee. The maximum annual fee for the29191
following methods of disposal of sewage sludge is as follows:29192

       (a) Incineration: five thousand dollars;29193

       (b) Preexisting land reclamation project or disposal in a29194
landfill: five thousand dollars;29195

       (c) Land application, land reclamation, surface disposal, or29196
any other disposal method not specified in division (Y)(3)(a) or29197
(b) of this section: twenty thousand dollars.29198

       (4)(a) In the case of an entity that generates sewage sludge29199
or a sewage sludge facility that treats sewage sludge and29200
transfers the sewage sludge to an incineration facility for29201
disposal, the incineration facility, and not the entity generating29202
the sewage sludge or the sewage sludge facility treating the29203
sewage sludge, shall pay the annual sludge fee for the tons of29204
sewage sludge that are transferred. However, the entity or29205
facility generating or treating the sewage sludge shall pay the29206
one-hundred-dollar minimum fee required under division (Y)(2)(a)29207
of this section.29208

       (b) In the case of an entity that generates sewage sludge and 29209
transfers the sewage sludge to a landfill for disposal or to a29210
sewage sludge facility for land reclamation or surface disposal,29211
the entity generating the sewage sludge, and not the landfill or29212
sewage sludge facility, shall pay the annual sludge fee for the29213
tons of sewage sludge that are transferred.29214

       (5) Not later than the first day of April of the calendar29215
year following March 17, 2000, and each first day of April29216
thereafter, the director shall issue invoices to persons who are29217
required to pay the annual sludge fee. The invoice shall identify29218
the nature and amount of the annual sludge fee assessed and state29219
the first day of May as the deadline for receipt by the director29220
of objections regarding the amount of the fee and the first day of29221
July as the deadline for payment of the fee.29222

       Not later than the first day of May following receipt of an29223
invoice, a person required to pay the annual sludge fee may submit29224
objections to the director concerning the accuracy of information29225
regarding the number of dry tons of sewage sludge used to29226
calculate the amount of the annual sludge fee or regarding whether29227
the sewage sludge qualifies for the exceptional quality sludge29228
discount established in division (Y)(2)(b) of this section. The29229
director may consider the objections and adjust the amount of the29230
fee to ensure that it is accurate.29231

       If the director does not adjust the amount of the annual29232
sludge fee in response to a person's objections, the person may29233
appeal the director's determination in accordance with Chapter29234
119. of the Revised Code.29235

       Not later than the first day of June, the director shall29236
notify the objecting person regarding whether the director has29237
found the objections to be valid and the reasons for the finding.29238
If the director finds the objections to be valid and adjusts the29239
amount of the annual sludge fee accordingly, the director shall29240
issue with the notification a new invoice to the person29241
identifying the amount of the annual sludge fee assessed and29242
stating the first day of July as the deadline for payment.29243

       Not later than the first day of July, any person who is29244
required to do so shall pay the annual sludge fee. Any person who29245
is required to pay the fee, but who fails to do so on or before29246
that date shall pay an additional amount that equals ten per cent29247
of the required annual sludge fee.29248

       (6) The director shall transmit all moneys collected under29249
division (Y) of this section to the treasurer of state for deposit29250
into the surface water protection fund created in section 6111.03829251
of the Revised Code. The moneys shall be used to defray the costs29252
of administering and enforcing provisions in Chapter 6111. of the29253
Revised Code and rules adopted under it that govern the use,29254
storage, treatment, or disposal of sewage sludge.29255

       (7) Beginning in fiscal year 2001, and every two years29256
thereafter, the director shall review the total amount of moneys29257
generated by the annual sludge fees to determine if that amount 29258
exceeded six hundred thousand dollars in either of the two29259
preceding fiscal years. If the total amount of moneys in the fund29260
exceeded six hundred thousand dollars in either fiscal year, the29261
director, after review of the fee structure and consultation with29262
affected persons, shall issue an order reducing the amount of the29263
fees levied under division (Y) of this section so that the29264
estimated amount of moneys resulting from the fees will not exceed29265
six hundred thousand dollars in any fiscal year.29266

       If, upon review of the fees under division (Y)(7) of this29267
section and after the fees have been reduced, the director29268
determines that the total amount of moneys collected and29269
accumulated is less than six hundred thousand dollars, the29270
director, after review of the fee structure and consultation with29271
affected persons, may issue an order increasing the amount of the29272
fees levied under division (Y) of this section so that the29273
estimated amount of moneys resulting from the fees will be29274
approximately six hundred thousand dollars. Fees shall never be29275
increased to an amount exceeding the amount specified in division29276
(Y)(7) of this section.29277

       Notwithstanding section 119.06 of the Revised Code, the29278
director may issue an order under division (Y)(7) of this section29279
without the necessity to hold an adjudicatory hearing in29280
connection with the order. The issuance of an order under this29281
division is not an act or action for purposes of section 3745.0429282
of the Revised Code.29283

       (8) As used in division (Y) of this section:29284

       (a) "Sewage sludge facility" means an entity that performs29285
treatment on or is responsible for the disposal of sewage sludge.29286

       (b) "Sewage sludge" means a solid, semi-solid, or liquid29287
residue generated during the treatment of domestic sewage in a29288
treatment works as defined in section 6111.01 of the Revised Code.29289
"Sewage sludge" includes, but is not limited to, scum or solids29290
removed in primary, secondary, or advanced wastewater treatment29291
processes. "Sewage sludge" does not include ash generated during29292
the firing of sewage sludge in a sewage sludge incinerator, grit29293
and screenings generated during preliminary treatment of domestic29294
sewage in a treatment works, animal manure, residue generated29295
during treatment of animal manure, or domestic septage.29296

       (c) "Exceptional quality sludge" means sewage sludge that29297
meets all of the following qualifications:29298

       (i) Satisfies the class A pathogen standards in 40 C.F.R.29299
503.32(a);29300

       (ii) Satisfies one of the vector attraction reduction29301
requirements in 40 C.F.R. 503.33(b)(1) to (b)(8);29302

       (iii) Does not exceed the ceiling concentration limitations29303
for metals listed in table one of 40 C.F.R. 503.13;29304

       (iv) Does not exceed the concentration limitations for metals 29305
listed in table three of 40 C.F.R. 503.13.29306

       (d) "Treatment" means the preparation of sewage sludge for29307
final use or disposal and includes, but is not limited to,29308
thickening, stabilization, and dewatering of sewage sludge.29309

       (e) "Disposal" means the final use of sewage sludge,29310
including, but not limited to, land application, land reclamation,29311
surface disposal, or disposal in a landfill or an incinerator.29312

       (f) "Land application" means the spraying or spreading of29313
sewage sludge onto the land surface, the injection of sewage29314
sludge below the land surface, or the incorporation of sewage29315
sludge into the soil for the purposes of conditioning the soil or29316
fertilizing crops or vegetation grown in the soil.29317

       (g) "Land reclamation" means the returning of disturbed land29318
to productive use.29319

       (h) "Surface disposal" means the placement of sludge on an29320
area of land for disposal, including, but not limited to,29321
monofills, surface impoundments, lagoons, waste piles, or29322
dedicated disposal sites.29323

       (i) "Incinerator" means an entity that disposes of sewage29324
sludge through the combustion of organic matter and inorganic29325
matter in sewage sludge by high temperatures in an enclosed29326
device.29327

       (j) "Incineration facility" includes all incinerators owned29328
or operated by the same entity and located on a contiguous tract29329
of land. Areas of land are considered to be contiguous even if29330
they are separated by a public road or highway.29331

       (k) "Annual sludge fee" means the fee assessed under division29332
(Y)(1) of this section.29333

       (l) "Landfill" means a sanitary landfill facility, as defined29334
in rules adopted under section 3734.02 of the Revised Code, that29335
is licensed under section 3734.05 of the Revised Code.29336

       (m) "Preexisting land reclamation project" means a29337
property-specific land reclamation project that has been in29338
continuous operation for not less than five years pursuant to29339
approval of the activity by the director and includes the29340
implementation of a community outreach program concerning the29341
activity.29342

       Sec. 3746.04.  Within one year after September 28, 1994, the29343
director of environmental protection, in accordance with Chapter 29344
119. of the Revised Code and with the advice of the 29345
multidisciplinary council appointed under section 3746.03 of the 29346
Revised Code, shall adopt, and subsequently may amend, suspend, or 29347
rescind, rules that do both of the following:29348

       (A) Revise the rules adopted under Chapters 3704., 3714.,29349
3734., 6109., and 6111. of the Revised Code to incorporate the29350
provisions necessary to conform those rules to the requirements of 29351
this chapter. The amended rules adopted under this division also 29352
shall establish response times for all submittals to the29353
environmental protection agency required under this chapter or29354
rules adopted under it.29355

       (B) Establish requirements and procedures that are reasonably 29356
necessary for the implementation and administration of this 29357
chapter, including, without limitation, all of the following:29358

       (1) Appropriate generic numerical clean-up standards for the 29359
treatment or removal of soils, sediments, and water media for29360
hazardous substances and petroleum. The rules shall establish29361
separate generic numerical clean-up standards based upon the29362
intended use of properties after the completion of voluntary29363
actions, including industrial, commercial, and residential uses29364
and such other categories of land use as the director considers to 29365
be appropriate. The generic numerical clean-up standards29366
established for each category of land use shall be the29367
concentration of each contaminant that may be present on a29368
property that shall ensure protection of public health and safety29369
and the environment for the reasonable exposure for that category29370
of land use. When developing the standards, the director shall29371
consider such factors as all of the following:29372

       (a) Scientific information, including, without limitation,29373
toxicological information and realistic assumptions regarding29374
human and environmental exposure to hazardous substances or29375
petroleum;29376

       (b) Climatic factors;29377

       (c) Human activity patterns;29378

       (d) Current statistical techniques;29379

       (e) For petroleum at industrial property, alternatives to the 29380
use of total petroleum hydrocarbons.29381

       The generic numerical clean-up standards established in the 29382
rules adopted under division (B)(1) of this section shall be 29383
consistent with and equivalent in scope, content, and coverage to 29384
any applicable standard established by federal environmental laws 29385
and regulations adopted under them, including, without limitation,29386
the "Federal Water Pollution Control Act Amendments of 1972," 8629387
Stat. 886, 33 U.S.C.A. 1251, as amended; the "Resource29388
Conservation and Recovery Act of 1976," 90 Stat. 2806, 42 U.S.C.A. 29389
6921, as amended; the "Toxic Substances Control Act," 90 Stat. 29390
2003 (1976), 15 U.S.C.A. 2601, as amended; the "Comprehensive 29391
Environmental Response, Compensation, and Liability Act of 1980," 29392
94 Stat. 2779, 42 U.S.C.A. 9601, as amended; and the "Safe 29393
Drinking Water Act," 88 Stat. 1660 (1974), 42 U.S.C.A. 300f, as 29394
amended.29395

       In order for the rules adopted under division (B)(1) of this 29396
section to require that any such federal environmental standard 29397
apply to a property, the property shall meet the requirements of 29398
the particular federal statute or regulation involved in the 29399
manner specified by the statute or regulation.29400

       The generic numerical clean-up standards for petroleum at29401
commercial or residential property shall be the standards29402
established in rules adopted under division (B) of section29403
3737.882 of the Revised Code.29404

       (2)(a) Procedures for performing property-specific risk29405
assessments that would be performed at a property to demonstrate29406
that the remedy evaluated in a risk assessment results in29407
protection of public health and safety and the environment instead 29408
of complying with the generic numerical clean-up standards 29409
established in the rules adopted under division (B)(1) of this 29410
section. The risk assessment procedures shall describe a29411
methodology to establish, on a property-specific basis, allowable29412
levels of contamination to remain at a property to ensure29413
protection of public health and safety and the environment on the29414
property and off the property when the contamination is emanating29415
off the property, taking into account all of the following:29416

       (i) The implementation of treatment, storage, or disposal, or 29417
a combination thereof, of hazardous substances or petroleum;29418

       (ii) The existence of institutional controls or activity and 29419
use limitations that eliminate or mitigate exposure to hazardous 29420
substances or petroleum through the restriction of access to 29421
hazardous substances or petroleum;29422

       (iii) The existence of engineering controls that eliminate or 29423
mitigate exposure to hazardous substances or petroleum through29424
containment of, control of, or restrictions of access to hazardous 29425
substances or petroleum, including, without limitation, fences, 29426
cap systems, cover systems, and landscaping.29427

       (b) The risk assessment procedures and levels of acceptable 29428
risk set forth in the rules adopted under division (B)(2) of this 29429
section shall be based upon all of the following:29430

       (i) Scientific information, including, without limitation,29431
toxicological information and actual or proposed human and29432
environmental exposure;29433

       (ii) Locational and climatic factors;29434

       (iii) Surrounding land use and human activities;29435

       (iv) Differing levels of remediation that may be required29436
when an existing land use is continued compared to when a29437
different land use follows the remediation.29438

       (c) Any standards established pursuant to rules adopted under 29439
division (B)(2) of this section shall be no more stringent than 29440
standards established under the environmental statutes of this 29441
state and rules adopted under them for the same contaminant in the 29442
same environmental medium that are in effect at the time the risk 29443
assessment is conducted.29444

       (3) Minimum standards for phase I property assessments. The 29445
standards shall specify the information needed to demonstrate that 29446
there is no reason to believe that contamination exists on a29447
property. The rules adopted under division (B)(3) of this section, 29448
at a minimum, shall require that a phase I property assessment 29449
include all of the following:29450

       (a) A review and analysis of deeds, mortgages, easements of 29451
record, and similar documents relating to the chain of title to 29452
the property that are publicly available or that are known to and 29453
reasonably available to the owner or operator;29454

       (b) A review and analysis of any previous environmental29455
assessments, property assessments, environmental studies, or29456
geologic studies of the property and any land within two thousand29457
feet of the boundaries of the property that are publicly available 29458
or that are known to and reasonably available to the owner or 29459
operator;29460

       (c) A review of current and past environmental compliance29461
histories of persons who owned or operated the property;29462

       (d) A review of aerial photographs of the property that29463
indicate prior uses of the property;29464

       (e) Interviews with managers of activities conducted at the 29465
property who have knowledge of environmental conditions at the 29466
property;29467

       (f) Conducting an inspection of the property consisting of a 29468
walkover;29469

       (g) Identifying the current and past uses of the property,29470
adjoining tracts of land, and the area surrounding the property,29471
including, without limitation, interviews with persons who reside29472
or have resided, or who are or were employed, within the area29473
surrounding the property regarding the current and past uses of29474
the property and adjacent tracts of land.29475

       The rules adopted under division (B)(3) of this section shall 29476
establish criteria to determine when a phase II property29477
assessment shall be conducted when a phase I property assessment29478
reveals facts that establish a reason to believe that hazardous29479
substances or petroleum have been treated, stored, managed, or29480
disposed of on the property if the person undertaking the phase I29481
property assessment wishes to obtain a covenant not to sue under29482
section 3746.12 of the Revised Code.29483

       (4) Minimum standards for phase II property assessments. The 29484
standards shall specify the information needed to demonstrate that 29485
any contamination present at the property does not exceed29486
applicable standards or that the remedial activities conducted at29487
the property have achieved compliance with applicable standards.29488
The rules adopted under division (B)(4) of this section, at a29489
minimum, shall require that a phase II property assessment include 29490
all of the following:29491

       (a) A review and analysis of all documentation prepared in29492
connection with a phase I property assessment conducted within the 29493
one hundred eighty days before the phase II property assessment 29494
begins. The rules adopted under division (B)(4)(a) of this section 29495
shall require that if a period of more than one hundred eighty 29496
days has passed between the time that the phase I assessment of 29497
the property was completed and the phase II assessment begins, the 29498
phase II assessment shall include a reasonable inquiry into the 29499
change in the environmental condition of the property during the 29500
intervening period.29501

       (b) Quality assurance objectives for measurements taken in29502
connection with a phase II assessment;29503

       (c) Sampling procedures to ensure the representative sampling 29504
of potentially contaminated environmental media;29505

       (d) Quality assurance and quality control requirements for29506
samples collected in connection with phase II assessments;29507

       (e) Analytical and data assessment procedures;29508

       (f) Data objectives to ensure that samples collected in29509
connection with phase II assessments are biased toward areas where 29510
information indicates that contamination by hazardous substances 29511
or petroleum is likely to exist.29512

       (5) Standards governing the conduct of certified29513
professionals, criteria and procedures for the certification of29514
professionals to issue no further action letters under section29515
3746.11 of the Revised Code, and criteria for the suspension and29516
revocation of those certifications. The director shall take an 29517
action regarding a certification as a final action. The issuance, 29518
denial, renewal, suspension, and revocation of those 29519
certifications are subject to Chapter 3745. of the Revised Code, 29520
except that, in lieu of publishing an action regarding a 29521
certification in a newspaper of general circulation as required in 29522
section 3745.07 of the Revised Code, such an action shall be 29523
published on the environmental protection agency's web site and in 29524
the agency's weekly review not later than fifteen days after the 29525
date of the issuance, denial, renewal, suspension, or revocation 29526
of the certification and not later than thirty days before a 29527
hearing or public meeting concerning the action.29528

       The rules adopted under division (B)(5) of this section shall 29529
do all of the following:29530

       (a) Provide for the certification of environmental29531
professionals to issue no further action letters pertaining to29532
investigations and remedies in accordance with the criteria and29533
procedures set forth in the rules. The rules adopted under29534
division (B)(5)(a) of this section shall do at least all of the29535
following:29536

       (i) Authorize the director to consider such factors as an29537
environmental professional's previous performance record regarding 29538
such investigations and remedies and the environmental29539
professional's environmental compliance history when determining 29540
whether to certify the environmental professional;29541

       (ii) Ensure that an application for certification is reviewed 29542
in a timely manner;29543

       (iii) Require the director to certify any environmental 29544
professional who the director determines complies with those 29545
criteria;29546

       (iv) Require the director to deny certification for any 29547
environmental professional who does not comply with those 29548
criteria.29549

       (b) Establish an annual fee to be paid by environmental29550
professionals certified pursuant to the rules adopted under29551
division (B)(5)(a) of this section. The fee shall be established29552
at an amount calculated to defray the costs to the agency for the 29553
required reviews of the qualifications of environmental 29554
professionals for certification and for the issuance of the 29555
certifications.29556

       (c) Develop a schedule for and establish requirements29557
governing the review by the director of the credentials of29558
environmental professionals who were deemed to be certified29559
professionals under division (D) of section 3746.07 of the Revised 29560
Code in order to determine if they comply with the criteria 29561
established in rules adopted under division (B)(5) of this 29562
section. The rules adopted under division (B)(5)(c) of this29563
section shall do at least all of the following:29564

       (i) Ensure that the review is conducted in a timely fashion;29565

       (ii) Require the director to certify any such environmental29566
professional who the director determines complies with those29567
criteria;29568

       (iii) Require any such environmental professional initially 29569
to pay the fee established in the rules adopted under division 29570
(B)(5)(b) of this section at the time that the environmental 29571
professional is so certified by the director;29572

       (iv) Establish a time period within which any such 29573
environmental professional who does not comply with those criteria 29574
may obtain the credentials that are necessary for certification;29575

       (v) Require the director to deny certification for any such 29576
environmental professional who does not comply with those criteria29577
and who fails to obtain the necessary credentials within the 29578
established time period.29579

       (d) Require that any information submitted to the director29580
for the purposes of the rules adopted under division (B)(5)(a) or 29581
(c) of this section comply with division (A) of section 3746.20 of 29582
the Revised Code;29583

       (e) Authorize the director to suspend or revoke the29584
certification of an environmental professional if the director 29585
finds that the environmental professional's performance has 29586
resulted in the issuance of no further action letters under 29587
section 3746.11 of the Revised Code that are not consistent with 29588
applicable standards or finds that the certified environmental 29589
professional has not substantially complied with section 3746.31 29590
of the Revised Code;29591

       (f) Authorize the director to suspend for a period of not29592
more than five years or to permanently revoke a certified29593
environmental professional's certification for any violation of or29594
failure to comply with an ethical standard established in rules 29595
adopted under division (B)(5) of this section;29596

       (g) Require the director to revoke the certification of an29597
environmental professional if the director finds that the29598
environmental professional falsified any information on the 29599
environmental professional's application for certification29600
regarding the environmental professional's credentials or29601
qualifications or any other information generated for the purposes 29602
of or use under this chapter or rules adopted under it;29603

       (h) Require the director permanently to revoke the29604
certification of an environmental professional who has violated or 29605
is violating division (A) of section 3746.18 of the Revised Code;29606

       (i) Preclude the director from revoking the certification of 29607
an environmental professional who only conducts investigations and 29608
remedies at property contaminated solely with petroleum unless the 29609
director first consults with the director of commerce.29610

       (6) Criteria and procedures for the certification of29611
laboratories to perform analyses under this chapter and rules29612
adopted under it. The director shall take an action regarding a 29613
certification as a final action. The issuance, denial, renewal,29614
suspension, and revocation of those certifications are subject to 29615
Chapter 3745. of the Revised Code, and the director of 29616
environmental protection shall take any such action regarding a 29617
certification as a final actionexcept that, in lieu of publishing 29618
an action regarding a certification in a newspaper of general 29619
circulation as required in section 3745.07 of the Revised Code, 29620
such an action shall be published on the environmental protection 29621
agency's web site and in the agency's weekly review not later than 29622
fifteen days after the date of the issuance, denial, renewal, 29623
suspension, or revocation of the certification and not later than 29624
thirty days before a hearing or public meeting concerning the 29625
action.29626

       The rules adopted under division (B)(6) of this section shall 29627
do all of the following:29628

       (a) Provide for the certification to perform analyses of29629
laboratories in accordance with the criteria and procedures29630
established in the rules adopted under division (B)(6)(a) of this29631
section and establish an annual fee to be paid by those29632
laboratories. The fee shall be established at an amount calculated 29633
to defray the costs to the agency for the review of the 29634
qualifications of those laboratories for certification and for the 29635
issuance of the certifications. The rules adopted under division 29636
(B)(6)(a) of this section may provide for the certification of 29637
those laboratories to perform only particular types or categories 29638
of analyses, specific test parameters or group of test parameters, 29639
or a specific matrix or matrices under this chapter.29640

       (b) Develop a schedule for and establish requirements29641
governing the review by the director of the operations of29642
laboratories that were deemed to be certified laboratories under29643
division (E) of section 3746.07 of the Revised Code in order to29644
determine if they comply with the criteria established in rules29645
adopted under division (B)(6) of this section. The rules adopted29646
under division (B)(6)(b) of this section shall do at least all of29647
the following:29648

       (i) Ensure that the review is conducted in a timely fashion;29649

       (ii) Require the director to certify any such laboratory that 29650
the director determines complies with those criteria;29651

       (iii) Require any such laboratory initially to pay the fee29652
established in the rules adopted under division (B)(6)(a) of this29653
section at the time that the laboratory is so certified by the29654
director;29655

       (iv) Establish a time period within which any such laboratory 29656
that does not comply with those criteria may make changes in its 29657
operations necessary for the performance of analyses under this 29658
chapter and rules adopted under it in order to be certified by the 29659
director;29660

       (v) Require the director to deny certification for any such 29661
laboratory that does not comply with those criteria and that fails 29662
to make the necessary changes in its operations within the29663
established time period.29664

       (c) Require that any information submitted to the director29665
for the purposes of the rules adopted under division (B)(6)(a) or 29666
(b) of this section comply with division (A) of section 3746.20 of 29667
the Revised Code;29668

       (d) Authorize the director to suspend or revoke the29669
certification of a laboratory if the director finds that the29670
laboratory's performance has resulted in the issuance of no 29671
further action letters under section 3746.11 of the Revised Code 29672
that are not consistent with applicable standards;29673

       (e) Authorize the director to suspend or revoke the29674
certification of a laboratory if the director finds that the29675
laboratory falsified any information on its application for 29676
certification regarding its credentials or qualifications;29677

       (f) Require the director permanently to revoke the29678
certification of a laboratory that has violated or is violating29679
division (A) of section 3746.18 of the Revised Code.29680

       (7) Information to be included in a no further action letter 29681
prepared under section 3746.11 of the Revised Code, including, 29682
without limitation, all of the following:29683

       (a) A summary of the information required to be submitted to 29684
the certified environmental professional preparing the no further29685
action letter under division (C) of section 3746.10 of the Revised 29686
Code;29687

       (b) Notification that a risk assessment was performed in29688
accordance with rules adopted under division (B)(2) of this29689
section if such an assessment was used in lieu of generic29690
numerical clean-up standards established in rules adopted under29691
division (B)(1) of this section;29692

       (c) The contaminants addressed at the property, if any, their 29693
source, if known, and their levels prior to remediation;29694

       (d) The identity of any other person who performed work to29695
support the request for the no further action letter as provided29696
in division (B)(2) of section 3746.10 of the Revised Code and the29697
nature and scope of the work performed by that person;29698

       (e) A list of the data, information, records, and documents 29699
relied upon by the certified environmental professional in29700
preparing the no further action letter.29701

       (8) Methods for determining fees to be paid for the following 29702
services provided by the agency under this chapter and rules 29703
adopted under it:29704

       (a) Site- or property-specific technical assistance in29705
developing or implementing plans in connection with a voluntary29706
action;29707

       (b) Reviewing applications for and issuing consolidated29708
standards permits under section 3746.15 of the Revised Code and29709
monitoring compliance with those permits;29710

       (c) Negotiating, preparing, and entering into agreements29711
necessary for the implementation and administration of this29712
chapter and rules adopted under it;29713

       (d) Reviewing no further action letters, issuing covenants29714
not to sue, and monitoring compliance with any terms and29715
conditions of those covenants and with operation and maintenance29716
agreements entered into pursuant to those covenants, including,29717
without limitation, conducting audits of properties where29718
voluntary actions are being or were conducted under this chapter29719
and rules adopted under it.29720

       The fees established pursuant to the rules adopted under29721
division (B)(8) of this section shall be at a level sufficient to29722
defray the direct and indirect costs incurred by the agency for29723
the administration and enforcement of this chapter and rules29724
adopted under it other than the provisions regarding the29725
certification of professionals and laboratories.29726

       (9) Criteria for selecting the no further action letters29727
issued under section 3746.11 of the Revised Code that will be29728
audited under section 3746.17 of the Revised Code, and the scope29729
and procedures for conducting those audits. The rules adopted29730
under division (B)(9) of this section, at a minimum, shall require 29731
the director to establish priorities for auditing no further 29732
action letters to which any of the following applies:29733

       (a) The letter was prepared by an environmental professional 29734
who was deemed to be a certified professional under division (D) 29735
of section 3746.07 of the Revised Code, but who does not comply 29736
with the criteria established in rules adopted under division 29737
(B)(5) of this section as determined pursuant to rules adopted 29738
under division (B)(5)(d) of this section;29739

       (b) The letter was submitted fraudulently;29740

       (c) The letter was prepared by a certified environmental 29741
professional whose certification subsequently was revoked in 29742
accordance with rules adopted under division (B)(5) of this 29743
section, or analyses were performed for the purposes of the no 29744
further action letter by a certified laboratory whose 29745
certification subsequently was revoked in accordance with rules 29746
adopted under division (B)(6) of this section;29747

       (d) A covenant not to sue that was issued pursuant to the29748
letter was revoked under this chapter;29749

       (e) The letter was for a voluntary action that was conducted 29750
pursuant to a risk assessment in accordance with rules adopted 29751
under division (B)(2) of this section;29752

       (f) The letter was for a voluntary action that included as29753
remedial activities engineering controls or institutional controls 29754
or activity and use limitations authorized under section 3746.05 29755
of the Revised Code.29756

       The rules adopted under division (B)(9) of this section shall 29757
provide for random audits of no further action letters to which 29758
the rules adopted under divisions (B)(9)(a) to (f) of this section 29759
do not apply.29760

       (10) A classification system to characterize ground water29761
according to its capability to be used for human use and its29762
impact on the environment and a methodology that shall be used to29763
determine when ground water that has become contaminated from29764
sources on a property for which a covenant not to sue is requested 29765
under section 3746.11 of the Revised Code shall be remediated to 29766
the standards established in the rules adopted under division 29767
(B)(1) or (2) of this section.29768

       (a) In adopting rules under division (B)(10) of this section 29769
to characterize ground water according to its capability for human 29770
use, the director shall consider all of the following:29771

       (i) The presence of legally enforceable, reliable29772
restrictions on the use of ground water, including, without29773
limitation, local rules or ordinances;29774

       (ii) The presence of regional commingled contamination from 29775
multiple sources that diminishes the quality of ground water;29776

       (iii) The natural quality of ground water;29777

       (iv) Regional availability of ground water and reasonable29778
alternative sources of drinking water;29779

       (v) The productivity of the aquifer;29780

       (vi) The presence of restrictions on the use of ground water 29781
implemented under this chapter and rules adopted under it;29782

       (vii) The existing use of ground water.29783

       (b) In adopting rules under division (B)(10) of this section 29784
to characterize ground water according to its impacts on the 29785
environment, the director shall consider both of the following:29786

       (i) The risks posed to humans, fauna, surface water,29787
sediments, soil, air, and other resources by the continuing29788
presence of contaminated ground water;29789

       (ii) The availability and feasibility of technology to remedy 29790
ground water contamination.29791

       (11) Governing the application for and issuance of variances 29792
under section 3746.09 of the Revised Code;29793

       (12)(a) In the case of voluntary actions involving29794
contaminated ground water, specifying the circumstances under29795
which the generic numerical clean-up standards established in29796
rules adopted under division (B)(1) of this section and standards29797
established through a risk assessment conducted pursuant to rules29798
adopted under division (B)(2) of this section shall be29799
inapplicable to the remediation of contaminated ground water and29800
under which the standards for remediating contaminated ground29801
water shall be established on a case-by-case basis prior to the29802
commencement of the voluntary action pursuant to rules adopted29803
under division (B)(12)(b) of this section;29804

       (b) Criteria and procedures for the case-by-case29805
establishment of standards for the remediation of contaminated29806
ground water under circumstances in which the use of the generic29807
numerical clean-up standards and standards established through a29808
risk assessment are precluded by the rules adopted under division29809
(B)(12)(a) of this section. The rules governing the procedures for 29810
the case-by-case development of standards for the remediation of 29811
contaminated ground water shall establish application, public29812
participation, adjudication, and appeals requirements and29813
procedures that are equivalent to the requirements and procedures29814
established in section 3746.09 of the Revised Code and rules29815
adopted under division (B)(11) of this section, except that the29816
procedural rules shall not require an applicant to make the29817
demonstrations set forth in divisions (A)(1) to (3) of section29818
3746.09 of the Revised Code.29819

       (13) A definition of the evidence that constitutes sufficient 29820
evidence for the purpose of division (A)(5) of section 3746.02 of 29821
the Revised Code.29822

       At least thirty days before filing the proposed rules29823
required to be adopted under this section with the secretary of29824
state, director of the legislative service commission, and joint29825
committee on agency rule review in accordance with divisions (B)29826
and (H) of section 119.03 of the Revised Code, the director of29827
environmental protection shall hold at least one public meeting on 29828
the proposed rules in each of the five districts into which the 29829
agency has divided the state for administrative purposes.29830

       Sec. 3769.087.  (A) In addition to the commission of eighteen29831
per cent retained by each permit holder as provided in section29832
3769.08 of the Revised Code, each permit holder shall retain an29833
additional amount equal to four per cent of the total of all29834
moneys wagered on each racing day on all wagering pools other than 29835
win, place, and show, of which amount retained an amount equal to 29836
three per cent of the total of all moneys wagered on each racing 29837
day on those pools shall be paid by check, draft, or money order 29838
to the tax commissioner, as a tax. Subject to the restrictions29839
contained in divisions (B), (C), and (M) of section 3769.08 of the 29840
Revised Code, from such additional moneys paid to the tax 29841
commissioner:29842

       (1) Four-sixths shall be allocated to fund distribution as29843
provided in division (M) of section 3769.08 of the Revised Code.29844

       (2) One-twelfth shall be paid into the Ohio fairs fund29845
created by section 3769.082 of the Revised Code.29846

       (3) One-twelfth of the additional moneys paid to the tax29847
commissioner by thoroughbred racing permit holders shall be paid29848
into the Ohio thoroughbred race fund created by section 3769.08329849
of the Revised Code.29850

       (4) One-twelfth of the additional moneys paid to the tax29851
commissioner by harness horse racing permit holders shall be paid29852
to the Ohio standardbred development fund created by section29853
3769.085 of the Revised Code.29854

       (5) One-twelfth of the additional moneys paid to the tax29855
commissioner by quarter horse racing permit holders shall be paid29856
to the Ohio quarter horse development fund created by section29857
3769.086 of the Revised Code.29858

       (6) One-sixth shall be paid into the state racing commission29859
operating fund created by section 3769.03 of the Revised Code.29860

       The remaining one per cent that is retained of the total of29861
all moneys wagered on each racing day on all pools other than win,29862
place, and show, shall be retained by racing permit holders, and,29863
except as otherwise provided in section 3769.089 of the Revised29864
Code, racing permit holders shall use one-half for purse money and29865
retain one-half.29866

       (B) In addition to the commission of eighteen per cent29867
retained by each permit holder as provided in section 3769.08 of29868
the Revised Code and the additional amount retained by each permit29869
holder as provided in division (A) of this section, each permit29870
holder shall retain an additional amount equal to one-half of one 29871
per cent of the total of all moneys wagered on each racing day on29872
all wagering pools other than win, place, and show. Except as 29873
provided in division (C) of this section, from theThe additional 29874
amount retained under this division, each permit holder shall 29875
retain an amount equal to one-quarter of one per cent of the total 29876
of all moneys wagered on each racing day on all pools other than 29877
win, place, and show and shall pay that amountshall be paid by29878
check, draft, or money order to the tax commissioner, as a tax.29879
The tax commissioner shall pay the amount of the tax received29880
under this division to the state racing commission operating fund29881
created by section 3769.03 of the Revised Code.29882

        Except as provided in division (C) of this section, the 29883
remaining one-quarter of one per cent that is retained from the 29884
total of all moneys wagered on each racing day on all pools other 29885
than win, place, and show shall be retained by the permit holder, 29886
and the permit holder shall use one-half for purse money and 29887
retain one-half.29888

       (C) During the period commencing on July 1, 2006, and ending 29889
on and including June 30, 2007, the additional amount retained by 29890
each permit holder under division (B) of this section shall be 29891
paid by check, draft, or money order to the tax commissioner, as a 29892
tax. The tax commissioner shall pay the amount of the tax received 29893
under this division to the state racing commission operating fund 29894
created by section 3769.03 of the Revised Code.29895

       Sec. 3770.03.  (A) The state lottery commission shall29896
promulgate rules under which a statewide lottery may be conducted. 29897
The rules shall be promulgated pursuant to Chapter 119. of the29898
Revised Code, except that instant game rules shall be promulgated29899
pursuant to section 111.15 of the Revised Code but are not subject29900
to division (D) of that section. Subjects covered in these rules29901
shall include, but need not be limited to, the following:29902

       (1) The type of lottery to be conducted;29903

       (2) The prices of tickets in the lottery;29904

       (3) The number, nature, and value of prize awards, the manner 29905
and frequency of prize drawings, and the manner in which prizes 29906
shall be awarded to holders of winning tickets. No rule shall 29907
authorize drawings on a Sunday for any lottery game unless the 29908
rule is approved by an executive order of the governor.29909

       (B) The commission shall promulgate rules, in addition to29910
those described in division (A) of this section, pursuant to29911
Chapter 119. of the Revised Code under which a statewide lottery29912
and statewide joint lottery games may be conducted. Subjects29913
covered in these rules shall include, but not be limited to, the29914
following:29915

       (1) The locations at which lottery tickets may be sold and29916
the manner in which they are to be sold. These rules may authorize29917
the sale of lottery tickets by commission personnel or other 29918
licensed individuals from traveling show wagons at the state fair, 29919
and at any other expositions the director of the commission29920
considers acceptable. These rules shall prohibit commission29921
personnel or other licensed individuals from soliciting from an29922
exposition the right to sell lottery tickets at that exposition,29923
but shall allow commission personnel or other licensed individuals29924
to sell lottery tickets at an exposition if the exposition29925
requests commission personnel or licensed individuals to do so. 29926
These rules may also address the accessibility of sales agent29927
locations to commission products in accordance with the "Americans29928
with Disabilities Act of 1990," 104 Stat. 327, 42 U.S.C.A. 1210129929
et seq.29930

       (2) The manner in which lottery sales revenues are to be29931
collected, including authorization for the director to impose29932
penalties for failure by lottery sales agents to transfer revenues29933
to the commission in a timely manner;29934

       (3) The amount of compensation to be paid licensed lottery29935
sales agents;29936

       (4) The substantive criteria for the licensing of lottery29937
sales agents consistent with section 3770.05 of the Revised Code,29938
and procedures for revoking or suspending their licenses29939
consistent with Chapter 119. of the Revised Code. If29940
circumstances, such as the nonpayment of funds owed by a lottery29941
sales agent, or other circumstances related to the public safety,29942
convenience, or trust, require immediate action, the director may29943
suspend a license without affording an opportunity for a prior29944
hearing under section 119.07 of the Revised Code.29945

       (5) Special game rules to implement any agreements signed by29946
the governor that the director enters into with other lottery29947
jurisdictions under division (J) of section 3770.02 of the Revised29948
Code to conduct statewide joint lottery games. The rules shall29949
require that the entire net proceeds of those games that remain,29950
after associated operating expenses, prize disbursements, lottery29951
sales agent bonuses, commissions, and reimbursements, and any29952
other expenses necessary to comply with the agreements or the29953
rules are deducted from the gross proceeds of those games, be29954
transferred to the lottery profits education fund under division29955
(B) of section 3770.06 of the Revised Code.29956

       (C) The commission may promulgate rules, in addition to those 29957
described in divisions (A) and (B) of this section, that establish 29958
standards governing the display of advertising and celebrity 29959
images on lottery tickets and on other items that are used in the 29960
conduct of, or to promote, the statewide lottery and statewide 29961
joint lottery games. Any revenue derived from the sale of 29962
advertising displayed on lottery tickets and on those other items 29963
shall be considered, for purposes of section 3770.06 of the 29964
Revised Code, to be related proceeds in connection with the 29965
statewide lottery or gross proceeds from statewide joint lottery 29966
games, as applicable.29967

       (D)(1) The commission shall meet with the director at least 29968
once each month and shall convene other meetings at the request of 29969
the chairperson or any five of the members. No action taken by the 29970
commission shall be binding unless at least five of the members 29971
present vote in favor of the action. A written record shall be 29972
made of the proceedings of each meeting and shall be transmitted 29973
forthwith to the governor, the president of the senate, the senate 29974
minority leader, the speaker of the house of representatives, and 29975
the house minority leader.29976

       (2) The director shall present to the commission a report29977
each month, showing the total revenues, prize disbursements, and29978
operating expenses of the state lottery for the preceding month.29979
As soon as practicable after the end of each fiscal year, the29980
commission shall prepare and transmit to the governor and the29981
general assembly a report of lottery revenues, prize29982
disbursements, and operating expenses for the preceding fiscal29983
year and any recommendations for legislation considered necessary29984
by the commission.29985

       Sec. 3770.06.  (A) There is hereby created the state lottery29986
gross revenue fund, which shall be in the custody of the treasurer29987
of state but shall not be part of the state treasury. All gross29988
revenues received from sales of lottery tickets, fines, fees, and29989
related proceeds in connection with the statewide lottery and all29990
gross proceeds from statewide joint lottery games shall be29991
deposited into the fund. The treasurer of state shall invest any29992
portion of the fund not needed for immediate use in the same29993
manner as, and subject to all provisions of law with respect to29994
the investment of, state funds. The treasurer of state shall29995
disburse money from the fund on order of the director of the state29996
lottery commission or the director's designee.29997

       Except for gross proceeds from statewide joint lottery games,29998
all revenues of the state lottery gross revenue fund that are not29999
paid to holders of winning lottery tickets, that are not required30000
to meet short-term prize liabilities, that are not credited to30001
lottery sales agents in the form of bonuses, commissions, or30002
reimbursements, that are not paid to financial institutions to30003
reimburse those institutions for sales agent nonsufficient funds,30004
and that are collected from sales agents for remittance to30005
insurers under contract to provide sales agent bonding services30006
shall be transferred to the state lottery fund, which is hereby30007
created in the state treasury. In addition, all revenues of the30008
state lottery gross revenue fund that represent the gross proceeds30009
from the statewide joint lottery games and that are not paid to30010
holders of winning lottery tickets, that are not required to meet30011
short-term prize liabilities, that are not credited to lottery30012
sales agents in the form of bonuses, commissions, or30013
reimbursements, and that are not necessary to cover operating30014
expenses associated with those games or to otherwise comply with30015
the agreements signed by the governor that the director enters30016
into under division (J) of section 3770.02 of the Revised Code or30017
the rules the commission adopts under division (B)(5) of section30018
3770.03 of the Revised Code shall be transferred to the state30019
lottery fund. All investment earnings of the fund shall be30020
credited to the fund. Moneys shall be disbursed from the fund30021
pursuant to vouchers approved by the director. Total disbursements 30022
for monetary prize awards to holders of winning lottery tickets in 30023
connection with the statewide lottery and purchases of goods and 30024
services awarded as prizes to holders of winning lottery tickets 30025
shall be of an amount equal to at least fifty per cent of the 30026
total revenue accruing from the sale of lottery tickets.30027

       (B) Pursuant to Section 6 of Article XV, Ohio Constitution,30028
there is hereby established in the state treasury the lottery30029
profits education fund. Whenever, in the judgment of the director30030
of budget and management, the amount to the credit of the state30031
lottery fund that does not represent proceeds from statewide joint30032
lottery games is in excess of that needed to meet the maturing30033
obligations of the commission and as working capital for its30034
further operations, the director shall transfer the excess to the30035
lottery profits education fund in connection with the statewide30036
lottery. In addition, whenever, in the judgment of the director of 30037
budget and management, the amount to the credit of the state30038
lottery fund that represents proceeds from statewide joint lottery30039
games equals the entire net proceeds of those games as described30040
in division (B)(5) of section 3770.03 of the Revised Code and the30041
rules adopted under that division, the director shall transfer30042
those proceeds to the lottery profits education fund. There shall30043
also be credited to the fund any repayments of moneys loaned from30044
the educational excellence investment fund. Investment earnings of 30045
the lottery profits education fund shall be credited to the fund.30046

       The lottery profits education fund shall be used solely for30047
the support of elementary, secondary, vocational, and special30048
education programs as determined in appropriations made by the30049
general assembly, or as provided in applicable bond proceedings30050
for the payment of debt service on obligations issued to pay costs30051
of capital facilities, including those for a system of common30052
schools throughout the state pursuant to section 2n of Article30053
VIII, Ohio Constitution. When determining the availability of30054
money in the lottery profits education fund, the director of30055
budget and management may consider all balances and estimated30056
revenues of the fund.30057

       From the amounts that the director of budget and management30058
transfers in any fiscal year from the state lottery fund to the30059
lottery profits education fund, the director shall transfer the30060
initial ten million dollars of those amounts from the lottery30061
profits education fund to the school building program bond service30062
fund created in division (Q) of section 3318.26 of the Revised30063
Code to be pledged for the purpose of paying bond service charges30064
as defined in division (C) of section 3318.21 of the Revised Code30065
on one or more issuances of obligations, which obligations are30066
issued to provide moneys for the school building program30067
assistance fund created in section 3318.25 of the Revised Code.30068

       (C) There is hereby established in the state treasury the30069
deferred prizes trust fund. With the approval of the director of30070
budget and management, an amount sufficient to fund annuity prizes30071
shall be transferred from the state lottery fund and credited to30072
the trust fund. The treasurer of state shall credit all earnings30073
arising from investments purchased under this division to the30074
trust fund. Within sixty days after the end of each fiscal year, 30075
the treasurer of state shall certify to the director of budget and 30076
management whether the actuarial amount of the trust fund is 30077
sufficient over the fund's life for continued funding of all 30078
remaining deferred prize liabilities as of the last day of the 30079
fiscal year just ended. Also, within that sixty days, the director 30080
of budget and management shall certify the amount of investment 30081
earnings necessary to have been credited to the trust fund during 30082
the fiscal year just ending to provide for such continued funding 30083
of deferred prizes. Any earnings credited in excess of thisthe 30084
latter certified amount shall be transferred to the lottery 30085
profits education fund.30086

       To provide all or a part of the amounts necessary to fund30087
deferred prizes awarded by the commission in connection with the30088
statewide lottery, the treasurer of state, in consultation with30089
the commission, may invest moneys contained in the deferred prizes30090
trust fund which represents proceeds from the statewide lottery in30091
obligations of the type permitted for the investment of state30092
funds but whose maturities are thirty years or less.30093
Notwithstanding the requirements of any other section of the30094
Revised Code, to provide all or part of the amounts necessary to30095
fund deferred prizes awarded by the commission in connection with30096
statewide joint lottery games, the treasurer of state, in30097
consultation with the commission, may invest moneys in the trust30098
fund which represent proceeds derived from the statewide joint30099
lottery games in accordance with the rules the commission adopts30100
under division (B)(5) of section 3770.03 of the Revised Code.30101
Investments of the trust fund are not subject to the provisions of 30102
division (A)(10) of section 135.143 of the Revised Code limiting 30103
to twenty-five per cent the amount of the state's total average30104
portfolio that may be invested in debt interests and limiting to30105
one-half of one per cent the amount that may be invested in debt30106
interests of a single issuer.30107

       All purchases made under this division shall be effected on a30108
delivery versus payment method and shall be in the custody of the30109
treasurer of state.30110

       The treasurer of state may retain an investment advisor, if30111
necessary. The commission shall pay any costs incurred by the30112
treasurer of state in retaining an investment advisor.30113

       (D) The auditor of state shall conduct annual audits of all30114
funds and any other audits as the auditor of state or the general30115
assembly considers necessary. The auditor of state may examine all 30116
records, files, and other documents of the commission, and records 30117
of lottery sales agents that pertain to their activities as 30118
agents, for purposes of conducting authorized audits.30119

       The state lottery commission shall establish an internal30120
audit program before the beginning of each fiscal year, subject to30121
the approval of the auditor of state. At the end of each fiscal30122
year, the commission shall prepare and submit an annual report to30123
the auditor of state for the auditor of state's review and30124
approval, specifying the internal audit work completed by the end30125
of that fiscal year and reporting on compliance with the annual30126
internal audit program. The form and content of the report shall30127
be prescribed by the auditor of state under division (C) of30128
section 117.20 of the Revised Code.30129

       (E) Whenever, in the judgment of the director of budget and30130
management, an amount of net state lottery proceeds is necessary30131
to be applied to the payment of debt service on obligations, all30132
as defined in sections 151.01 and 151.03 of the Revised Code, the30133
director shall transfer that amount directly from the state30134
lottery fund or from the lottery profits education fund to the30135
bond service fund defined in those sections. The provisions of30136
this division are subject to any prior pledges or obligation of30137
those amounts to the payment of bond service charges as defined in30138
division (C) of section 3318.21 of the Revised Code, as referred30139
to in division (B) of this section.30140

       Sec. 3905.36.  (A) Except as provided in divisions (B) and 30141
(C) of this section, every insured association, company,30142
corporation, or other person that enters, directly or indirectly,30143
into any agreements with any insurance company, association,30144
individual, firm, underwriter, or Lloyd's, not authorized to do30145
business in this state, whereby the insured shall procure,30146
continue, or renew contracts of insurance covering subjects of30147
insurance resident, located, or to be performed within this state,30148
with such unauthorized insurance company, association, individual,30149
firm, underwriter, or Lloyd's, for which insurance there is a30150
gross premium, membership fee, assessment, dues, or other 30151
consideration charged or collected, shall annually, on or before 30152
the thirty-first day of January, return to the superintendent of30153
insurance a statement under oath showing the name and address of30154
the insured, name and address of the insurer, subject of the30155
insurance, general description of the coverage, and amount of30156
gross premium, fee, assessment, dues, or other consideration for30157
such insurance for the preceding twelve-month period and shall at30158
the same time pay to the treasurer of state a tax of five per cent30159
of such gross premium, fee, assessment, dues, or other30160
consideration, after a deduction for return premium, if any, as30161
calculated on a form prescribed by the treasurer of state. All30162
taxes collected under this section by the treasurer of state shall30163
be paid into the general revenue fund. If the tax is not paid when30164
due, the tax shall be increased by a penalty of twenty-five per30165
cent. An interest charge computed as set forth in section30166
5725.221 of the Revised Code shall be made on the entire sum of30167
the tax plus penalty, which interest shall be computed from the30168
date the tax is due until it is paid. For purposes of this30169
section, payment is considered made when it is received by the30170
treasurer of state, irrespective of any United States postal30171
service marking or other stamp or mark indicating the date on30172
which the payment may have been mailed.30173

       (B) This section does not apply to:30174

       (1) Transactions in this state involving a policy solicited,30175
written, and delivered outside this state covering only subjects30176
of insurance not resident, located, or to be performed in this30177
state at the time of issuance, provided such transactions are30178
subsequent to the issuance of the policy;30179

       (2) Attorneys-at-law acting on behalf of their clients in the 30180
adjustment of claims or losses;30181

       (3) Transactions involving policies issued by a captive 30182
insurer. For this purpose, a "captive insurer" means any of the 30183
following:30184

        (a) An insurer owned by one or more individuals or 30185
organizations, whose exclusive purpose is to insure risks of one 30186
or more of the parent organizations or individual owners and risks 30187
of one or more affiliates of the parent organizations or 30188
individual owners;30189

        (b) In the case of groups and associations, insurers owned by 30190
the group or association whose exclusive purpose is to insure 30191
risks of members of the group or association and affiliates of the 30192
members;30193

        (c) Other types of insurers, licensed and operated in 30194
accordance with the captive insurance laws of their jurisdictions 30195
of domicile and operated in a manner so as to self-insure risks of 30196
their owners and insureds.30197

       (4) Professional or, medical liability, or other insurance 30198
procured by a hospital organized under Chapter 3701. of the 30199
Revised Code or on behalf of an entity that manufactures, 30200
packages, and sells, as more than fifty per cent of the entity's 30201
business, pharmaceutical products for human use where the 30202
production, packaging, and sale of such products are subject to 30203
regulation by an agency of the United States;30204

       (5) Insurance with an initial policy period of more than 30205
three years and that is procured to cover known events related to 30206
environmental remediation that occurred prior to the effective 30207
date of that insurance.30208

        (C) In transactions that are subject to sections 3905.30 to 30209
3905.35 of the Revised Code, each person licensed under section 30210
3905.30 of the Revised Code shall pay to the treasurer of state, 30211
on or before the thirty-first day of January of each year, five 30212
per cent of the balance of the gross premiums charged for 30213
insurance placed or procured under the license after a deduction 30214
for return premiums, as reported on a form prescribed by the30215
treasurer of state. The tax shall be collected from the insured by 30216
the surplus line broker who placed or procured the policy of30217
insurance at the time the policy is delivered to the insured. No 30218
license issued under section 3905.30 of the Revised Code shall be 30219
renewed until payment is made. If the tax is not paid when due, 30220
the tax shall be increased by a penalty of twenty-five per cent. 30221
An interest charge computed as set forth in section 5725.221 of 30222
the Revised Code shall be made on the entire sum of the tax plus 30223
penalty, which interest shall be computed from the date the tax is 30224
due until it is paid. For purposes of this section, payment is30225
considered made when it is received by the treasurer of state,30226
irrespective of any United States postal service marking or other30227
stamp or mark indicating the date on which the payment may have30228
been mailed.30229

       Sec. 4123.35.  (A) Except as provided in this section, every 30230
employer mentioned in division (B)(2) of section 4123.01 of the 30231
Revised Code, and every publicly owned utility shall pay30232
semiannually in the months of January and July into the state30233
insurance fund the amount of annual premium the administrator of30234
workers' compensation fixes for the employment or occupation of30235
the employer, the amount of which premium to be paid by each30236
employer to be determined by the classifications, rules, and rates30237
made and published by the administrator. The employer shall pay30238
semiannually a further sum of money into the state insurance fund30239
as may be ascertained to be due from the employer by applying the30240
rules of the administrator, and a receipt or certificate30241
certifying that payment has been made, along with a written notice 30242
as is required in section 4123.54 of the Revised Code, shall be 30243
mailed immediately to the employer by the bureau of workers' 30244
compensation. The receipt or certificate is prima-facie evidence 30245
of the payment of the premium, and the proper posting of the 30246
notice constitutes the employer's compliance with the notice 30247
requirement mandated in section 4123.54 of the Revised Code.30248

       The bureau of workers' compensation shall verify with the30249
secretary of state the existence of all corporations and30250
organizations making application for workers' compensation30251
coverage and shall require every such application to include the30252
employer's federal identification number.30253

       An employer as defined in division (B)(2) of section 4123.0130254
of the Revised Code who has contracted with a subcontractor is30255
liable for the unpaid premium due from any subcontractor with30256
respect to that part of the payroll of the subcontractor that is30257
for work performed pursuant to the contract with the employer.30258

       Division (A) of this section providing for the payment of30259
premiums semiannually does not apply to any employer who was a30260
subscriber to the state insurance fund prior to January 1, 1914,30261
or who may first become a subscriber to the fund in any month30262
other than January or July. Instead, the semiannual premiums shall 30263
be paid by those employers from time to time upon the expiration 30264
of the respective periods for which payments into the fund have 30265
been made by them.30266

       The administrator shall adopt rules to permit employers to30267
make periodic payments of the semiannual premium due under this30268
division. The rules shall include provisions for the assessment of 30269
interest charges, where appropriate, and for the assessment of30270
penalties when an employer fails to make timely premium payments.30271
An employer who timely pays the amounts due under this division is30272
entitled to all of the benefits and protections of this chapter.30273
Upon receipt of payment, the bureau immediately shall mail a30274
receipt or certificate to the employer certifying that payment has30275
been made, which receipt is prima-facie evidence of payment.30276
Workers' compensation coverage under this chapter continues30277
uninterrupted upon timely receipt of payment under this division.30278

       Every public employer, except public employers that are30279
self-insuring employers under this section, shall comply with30280
sections 4123.38 to 4123.41, and 4123.48 of the Revised Code in30281
regard to the contribution of moneys to the public insurance fund.30282

       (B) Employers who will abide by the rules of the30283
administrator and who may be of sufficient financial ability to30284
render certain the payment of compensation to injured employees or30285
the dependents of killed employees, and the furnishing of medical,30286
surgical, nursing, and hospital attention and services and30287
medicines, and funeral expenses, equal to or greater than is30288
provided for in sections 4123.52, 4123.55 to 4123.62, and 4123.6430289
to 4123.67 of the Revised Code, and who do not desire to insure30290
the payment thereof or indemnify themselves against loss sustained30291
by the direct payment thereof, upon a finding of such facts by the30292
administrator, may be granted the privilege to pay individually30293
compensation, and furnish medical, surgical, nursing, and hospital30294
services and attention and funeral expenses directly to injured30295
employees or the dependents of killed employees, thereby being30296
granted status as a self-insuring employer. The administrator may30297
charge employers who apply for the status as a self-insuring30298
employer a reasonable application fee to cover the bureau's costs30299
in connection with processing and making a determination with30300
respect to an application.30301

       All employers granted status as self-insuring employers shall 30302
demonstrate sufficient financial and administrative ability to 30303
assure that all obligations under this section are promptly met. 30304
The administrator shall deny the privilege where the employer is30305
unable to demonstrate the employer's ability to promptly meet all30306
the obligations imposed on the employer by this section.30307

       (1) The administrator shall consider, but is not limited to,30308
the following factors, where applicable, in determining the30309
employer's ability to meet all of the obligations imposed on the30310
employer by this section:30311

       (a) The employer employs a minimum of five hundred employees30312
in this state;30313

       (b) The employer has operated in this state for a minimum of30314
two years, provided that an employer who has purchased, acquired,30315
or otherwise succeeded to the operation of a business, or any part30316
thereof, situated in this state that has operated for at least two30317
years in this state, also shall qualify;30318

       (c) Where the employer previously contributed to the state30319
insurance fund or is a successor employer as defined by bureau30320
rules, the amount of the buyout, as defined by bureau rules;30321

       (d) The sufficiency of the employer's assets located in this30322
state to insure the employer's solvency in paying compensation30323
directly;30324

       (e) The financial records, documents, and data, certified by30325
a certified public accountant, necessary to provide the employer's30326
full financial disclosure. The records, documents, and data30327
include, but are not limited to, balance sheets and profit and30328
loss history for the current year and previous four years.30329

       (f) The employer's organizational plan for the administration 30330
of the workers' compensation law;30331

       (g) The employer's proposed plan to inform employees of the30332
change from a state fund insurer to a self-insuring employer, the30333
procedures the employer will follow as a self-insuring employer,30334
and the employees' rights to compensation and benefits; and30335

       (h) The employer has either an account in a financial30336
institution in this state, or if the employer maintains an account30337
with a financial institution outside this state, ensures that30338
workers' compensation checks are drawn from the same account as30339
payroll checks or the employer clearly indicates that payment will30340
be honored by a financial institution in this state.30341

       The administrator may waive the requirements of divisions30342
(B)(1)(a) and (b) of this section and the requirement of division30343
(B)(1)(e) of this section that the financial records, documents,30344
and data be certified by a certified public accountant. The30345
administrator shall adopt rules establishing the criteria that an30346
employer shall meet in order for the administrator to waive the30347
requirement of division (B)(1)(e) of this section. Such rules may30348
require additional security of that employer pursuant to division30349
(E) of section 4123.351 of the Revised Code.30350

       The administrator shall not grant the status of self-insuring30351
employer to the state, except that the administrator may grant the30352
status of self-insuring employer to a state institution of higher30353
education, excluding its hospitals, that meets the requirements of30354
division (B)(2) of this section.30355

       (2) When considering the application of a public employer,30356
except for a board of county commissioners described in division30357
(G) of section 4123.01 of the Revised Code, a board of a county30358
hospital, or a publicly owned utility, the administrator shall30359
verify that the public employer satisfies all of the following30360
requirements as the requirements apply to that public employer:30361

       (a) For the two-year period preceding application under this30362
section, the public employer has maintained an unvoted debt30363
capacity equal to at least two times the amount of the current30364
annual premium established by the administrator under this chapter30365
for that public employer for the year immediately preceding the30366
year in which the public employer makes application under this30367
section.30368

       (b) For each of the two fiscal years preceding application30369
under this section, the unreserved and undesignated year-end fund30370
balance in the public employer's general fund is equal to at least30371
five per cent of the public employer's general fund revenues for30372
the fiscal year computed in accordance with generally accepted30373
accounting principles.30374

       (c) For the five-year period preceding application under this 30375
section, the public employer, to the extent applicable, has30376
complied fully with the continuing disclosure requirements30377
established in rules adopted by the United States securities and30378
exchange commission under 17 C.F.R. 240.15c 2-12.30379

       (d) For the five-year period preceding application under this 30380
section, the public employer has not had its local government or 30381
local communities fund distribution withheld on account of the 30382
public employer being indebted or otherwise obligated to the 30383
state.30384

       (e) For the five-year period preceding application under this 30385
section, the public employer has not been under a fiscal watch or 30386
fiscal emergency pursuant to section 118.023, 118.04, or 3316.03 30387
of the Revised Code.30388

       (f) For the public employer's fiscal year preceding30389
application under this section, the public employer has obtained30390
an annual financial audit as required under section 117.10 of the30391
Revised Code, which has been released by the auditor of state30392
within seven months after the end of the public employer's fiscal30393
year.30394

       (g) On the date of application, the public employer holds a30395
debt rating of Aa3 or higher according to Moody's investors30396
service, inc., or a comparable rating by an independent rating30397
agency similar to Moody's investors service, inc.30398

       (h) The public employer agrees to generate an annual30399
accumulating book reserve in its financial statements reflecting30400
an actuarially generated reserve adequate to pay projected claims30401
under this chapter for the applicable period of time, as30402
determined by the administrator.30403

       (i) For a public employer that is a hospital, the public30404
employer shall submit audited financial statements showing the30405
hospital's overall liquidity characteristics, and the30406
administrator shall determine, on an individual basis, whether the30407
public employer satisfies liquidity standards equivalent to the30408
liquidity standards of other public employers.30409

       (j) Any additional criteria that the administrator adopts by30410
rule pursuant to division (E) of this section.30411

       The administrator shall not approve the application of a30412
public employer, except for a board of county commissioners30413
described in division (G) of section 4123.01 of the Revised Code,30414
a board of a county hospital, or publicly owned utility, who does30415
not satisfy all of the requirements listed in division (B)(2) of30416
this section.30417

       (C) A board of county commissioners described in division (G) 30418
of section 4123.01 of the Revised Code, as an employer, that will 30419
abide by the rules of the administrator and that may be of30420
sufficient financial ability to render certain the payment of30421
compensation to injured employees or the dependents of killed30422
employees, and the furnishing of medical, surgical, nursing, and30423
hospital attention and services and medicines, and funeral30424
expenses, equal to or greater than is provided for in sections30425
4123.52, 4123.55 to 4123.62, and 4123.64 to 4123.67 of the Revised30426
Code, and that does not desire to insure the payment thereof or30427
indemnify itself against loss sustained by the direct payment30428
thereof, upon a finding of such facts by the administrator, may be30429
granted the privilege to pay individually compensation, and30430
furnish medical, surgical, nursing, and hospital services and30431
attention and funeral expenses directly to injured employees or30432
the dependents of killed employees, thereby being granted status30433
as a self-insuring employer. The administrator may charge a board30434
of county commissioners described in division (G) of section30435
4123.01 of the Revised Code that applies for the status as a30436
self-insuring employer a reasonable application fee to cover the30437
bureau's costs in connection with processing and making a30438
determination with respect to an application. All employers30439
granted such status shall demonstrate sufficient financial and30440
administrative ability to assure that all obligations under this30441
section are promptly met. The administrator shall deny the30442
privilege where the employer is unable to demonstrate the30443
employer's ability to promptly meet all the obligations imposed on30444
the employer by this section. The administrator shall consider,30445
but is not limited to, the following factors, where applicable, in30446
determining the employer's ability to meet all of the obligations30447
imposed on the board as an employer by this section:30448

       (1) The board as an employer employs a minimum of five30449
hundred employees in this state;30450

       (2) The board has operated in this state for a minimum of two 30451
years;30452

       (3) Where the board previously contributed to the state30453
insurance fund or is a successor employer as defined by bureau30454
rules, the amount of the buyout, as defined by bureau rules;30455

       (4) The sufficiency of the board's assets located in this30456
state to insure the board's solvency in paying compensation30457
directly;30458

       (5) The financial records, documents, and data, certified by30459
a certified public accountant, necessary to provide the board's30460
full financial disclosure. The records, documents, and data30461
include, but are not limited to, balance sheets and profit and30462
loss history for the current year and previous four years.30463

       (6) The board's organizational plan for the administration of 30464
the workers' compensation law;30465

       (7) The board's proposed plan to inform employees of the30466
proposed self-insurance, the procedures the board will follow as a30467
self-insuring employer, and the employees' rights to compensation30468
and benefits;30469

       (8) The board has either an account in a financial30470
institution in this state, or if the board maintains an account30471
with a financial institution outside this state, ensures that30472
workers' compensation checks are drawn from the same account as30473
payroll checks or the board clearly indicates that payment will be30474
honored by a financial institution in this state;30475

       (9) The board shall provide the administrator a surety bond30476
in an amount equal to one hundred twenty-five per cent of the30477
projected losses as determined by the administrator.30478

       (D) The administrator shall require a surety bond from all30479
self-insuring employers, issued pursuant to section 4123.351 of30480
the Revised Code, that is sufficient to compel, or secure to30481
injured employees, or to the dependents of employees killed, the30482
payment of compensation and expenses, which shall in no event be30483
less than that paid or furnished out of the state insurance fund30484
in similar cases to injured employees or to dependents of killed30485
employees whose employers contribute to the fund, except when an30486
employee of the employer, who has suffered the loss of a hand,30487
arm, foot, leg, or eye prior to the injury for which compensation30488
is to be paid, and thereafter suffers the loss of any other of the30489
members as the result of any injury sustained in the course of and30490
arising out of the employee's employment, the compensation to be30491
paid by the self-insuring employer is limited to the disability 30492
suffered in the subsequent injury, additional compensation, if30493
any, to be paid by the bureau out of the surplus created by30494
section 4123.34 of the Revised Code.30495

       (E) In addition to the requirements of this section, the30496
administrator shall make and publish rules governing the manner of30497
making application and the nature and extent of the proof required30498
to justify a finding of fact by the administrator as to granting30499
the status of a self-insuring employer, which rules shall be30500
general in their application, one of which rules shall provide30501
that all self-insuring employers shall pay into the state30502
insurance fund such amounts as are required to be credited to the30503
surplus fund in division (B) of section 4123.34 of the Revised30504
Code. The administrator may adopt rules establishing requirements30505
in addition to the requirements described in division (B)(2) of30506
this section that a public employer shall meet in order to qualify30507
for self-insuring status.30508

       Employers shall secure directly from the bureau central30509
offices application forms upon which the bureau shall stamp a30510
designating number. Prior to submission of an application, an30511
employer shall make available to the bureau, and the bureau shall30512
review, the information described in division (B)(1) of this30513
section, and public employers shall make available, and the bureau30514
shall review, the information necessary to verify whether the30515
public employer meets the requirements listed in division (B)(2)30516
of this section. An employer shall file the completed application30517
forms with an application fee, which shall cover the costs of30518
processing the application, as established by the administrator,30519
by rule, with the bureau at least ninety days prior to the30520
effective date of the employer's new status as a self-insuring30521
employer. The application form is not deemed complete until all30522
the required information is attached thereto. The bureau shall30523
only accept applications that contain the required information.30524

       (F) The bureau shall review completed applications within a30525
reasonable time. If the bureau determines to grant an employer the 30526
status as a self-insuring employer, the bureau shall issue a30527
statement, containing its findings of fact, that is prepared by30528
the bureau and signed by the administrator. If the bureau30529
determines not to grant the status as a self-insuring employer,30530
the bureau shall notify the employer of the determination and30531
require the employer to continue to pay its full premium into the30532
state insurance fund. The administrator also shall adopt rules30533
establishing a minimum level of performance as a criterion for30534
granting and maintaining the status as a self-insuring employer30535
and fixing time limits beyond which failure of the self-insuring30536
employer to provide for the necessary medical examinations and30537
evaluations may not delay a decision on a claim.30538

       (G) The administrator shall adopt rules setting forth30539
procedures for auditing the program of self-insuring employers.30540
The bureau shall conduct the audit upon a random basis or whenever30541
the bureau has grounds for believing that a self-insuring employer30542
is not in full compliance with bureau rules or this chapter.30543

       The administrator shall monitor the programs conducted by30544
self-insuring employers, to ensure compliance with bureau30545
requirements and for that purpose, shall develop and issue to30546
self-insuring employers standardized forms for use by the30547
self-insuring employer in all aspects of the self-insuring30548
employers' direct compensation program and for reporting of30549
information to the bureau.30550

       The bureau shall receive and transmit to the self-insuring30551
employer all complaints concerning any self-insuring employer. In30552
the case of a complaint against a self-insuring employer, the30553
administrator shall handle the complaint through the30554
self-insurance division of the bureau. The bureau shall maintain a 30555
file by employer of all complaints received that relate to the30556
employer. The bureau shall evaluate each complaint and take30557
appropriate action.30558

       The administrator shall adopt as a rule a prohibition against30559
any self-insuring employer from harassing, dismissing, or30560
otherwise disciplining any employee making a complaint, which rule30561
shall provide for a financial penalty to be levied by the30562
administrator payable by the offending self-insuring employer.30563

       (H) For the purpose of making determinations as to whether to 30564
grant status as a self-insuring employer, the administrator may30565
subscribe to and pay for a credit reporting service that offers30566
financial and other business information about individual30567
employers. The costs in connection with the bureau's subscription30568
or individual reports from the service about an applicant may be30569
included in the application fee charged employers under this30570
section.30571

       (I) The administrator, notwithstanding other provisions of30572
this chapter, may permit a self-insuring employer to resume30573
payment of premiums to the state insurance fund with appropriate30574
credit modifications to the employer's basic premium rate as such30575
rate is determined pursuant to section 4123.29 of the Revised30576
Code.30577

       (J) On the first day of July of each year, the administrator30578
shall calculate separately each self-insuring employer's30579
assessments for the safety and hygiene fund, administrative costs30580
pursuant to section 4123.342 of the Revised Code, and for the30581
portion of the surplus fund under division (B) of section 4123.3430582
of the Revised Code that is not used for handicapped30583
reimbursement, on the basis of the paid compensation attributable30584
to the individual self-insuring employer according to the30585
following calculation:30586

       (1) The total assessment against all self-insuring employers30587
as a class for each fund and for the administrative costs for the30588
year that the assessment is being made, as determined by the30589
administrator, divided by the total amount of paid compensation30590
for the previous calendar year attributable to all amenable30591
self-insuring employers;30592

       (2) Multiply the quotient in division (J)(1) of this section30593
by the total amount of paid compensation for the previous calendar30594
year that is attributable to the individual self-insuring employer30595
for whom the assessment is being determined. Each self-insuring30596
employer shall pay the assessment that results from this30597
calculation, unless the assessment resulting from this calculation30598
falls below a minimum assessment, which minimum assessment the30599
administrator shall determine on the first day of July of each30600
year with the advice and consent of the workers' compensation30601
oversight commission, in which event, the self-insuring employer30602
shall pay the minimum assessment.30603

       In determining the total amount due for the total assessment30604
against all self-insuring employers as a class for each fund and30605
the administrative assessment, the administrator shall reduce30606
proportionately the total for each fund and assessment by the30607
amount of money in the self-insurance assessment fund as of the30608
date of the computation of the assessment.30609

       The administrator shall calculate the assessment for the30610
portion of the surplus fund under division (B) of section 4123.3430611
of the Revised Code that is used for handicapped reimbursement in30612
the same manner as set forth in divisions (J)(1) and (2) of this30613
section except that the administrator shall calculate the total30614
assessment for this portion of the surplus fund only on the basis30615
of those self-insuring employers that retain participation in the30616
handicapped reimbursement program and the individual self-insuring30617
employer's proportion of paid compensation shall be calculated30618
only for those self-insuring employers who retain participation in30619
the handicapped reimbursement program. The administrator, as the30620
administrator determines appropriate, may determine the total30621
assessment for the handicapped portion of the surplus fund in30622
accordance with sound actuarial principles.30623

       The administrator shall calculate the assessment for the30624
portion of the surplus fund under division (B) of section 4123.3430625
of the Revised Code that under division (D) of section 4121.66 of30626
the Revised Code is used for rehabilitation costs in the same30627
manner as set forth in divisions (J)(1) and (2) of this section,30628
except that the administrator shall calculate the total assessment30629
for this portion of the surplus fund only on the basis of those30630
self-insuring employers who have not made the election to make30631
payments directly under division (D) of section 4121.66 of the30632
Revised Code and an individual self-insuring employer's proportion30633
of paid compensation only for those self-insuring employers who30634
have not made that election.30635

       The administrator shall calculate the assessment for the 30636
portion of the surplus fund under division (B) of section 4123.34 30637
of the Revised Code that is used for reimbursement to a 30638
self-insuring employer under division (H) of section 4123.512 of 30639
the Revised Code in the same manner as set forth in divisions 30640
(J)(1) and (2) of this section except that the administrator shall 30641
calculate the total assessment for this portion of the surplus 30642
fund only on the basis of those self-insuring employers that 30643
retain participation in reimbursement to the self-insuring 30644
employer under division (H) of section 4123.512 of the Revised 30645
Code and the individual self-insuring employer's proportion of 30646
paid compensation shall be calculated only for those self-insuring 30647
employers who retain participation in reimbursement to the 30648
self-insuring employer under division (H) of section 4123.512 of 30649
the Revised Code.30650

       An employer who no longer is a self-insuring employer in this30651
state or who no longer is operating in this state, shall continue30652
to pay assessments for administrative costs and for the portion of30653
the surplus fund under division (B) of section 4123.34 of the30654
Revised Code that is not used for handicapped reimbursement, based30655
upon paid compensation attributable to claims that occurred while30656
the employer was a self-insuring employer within this state.30657

       (K) There is hereby created in the state treasury the30658
self-insurance assessment fund. All investment earnings of the30659
fund shall be deposited in the fund. The administrator shall use30660
the money in the self-insurance assessment fund only for30661
administrative costs as specified in section 4123.341 of the30662
Revised Code.30663

       (L) Every self-insuring employer shall certify, in affidavit30664
form subject to the penalty for perjury, to the bureau the amount30665
of the self-insuring employer's paid compensation for the previous30666
calendar year. In reporting paid compensation paid for the30667
previous year, a self-insuring employer shall exclude from the30668
total amount of paid compensation any reimbursement the30669
self-insuring employer receives in the previous calendar year from30670
the surplus fund pursuant to section 4123.512 of the Revised Code30671
for any paid compensation. The self-insuring employer also shall30672
exclude from the paid compensation reported any amount recovered30673
under section 4123.931 of the Revised Code and any amount that is30674
determined not to have been payable to or on behalf of a claimant30675
in any final administrative or judicial proceeding. The30676
self-insuring employer shall exclude such amounts from the paid30677
compensation reported in the reporting period subsequent to the30678
date the determination is made. The administrator shall adopt30679
rules, in accordance with Chapter 119. of the Revised Code, that 30680
provide for all of the following:30681

       (1) Establishing the date by which self-insuring employers 30682
must submit such information and the amount of the assessments 30683
provided for in division (J) of this section for employers who 30684
have been granted self-insuring status within the last calendar 30685
year;30686

       (2) If an employer fails to pay the assessment when due, the 30687
administrator may add a late fee penalty of not more than five 30688
hundred dollars to the assessment plus an additional penalty 30689
amount as follows:30690

       (a) For an assessment from sixty-one to ninety days past due, 30691
the prime interest rate, multiplied by the assessment due;30692

       (b) For an assessment from ninety-one to one hundred twenty 30693
days past due, the prime interest rate plus two per cent, 30694
multiplied by the assessment due;30695

       (c) For an assessment from one hundred twenty-one to one 30696
hundred fifty days past due, the prime interest rate plus four per 30697
cent, multiplied by the assessment due;30698

       (d) For an assessment from one hundred fifty-one to one 30699
hundred eighty days past due, the prime interest rate plus six per 30700
cent, multiplied by the assessment due;30701

       (e) For an assessment from one hundred eighty-one to two 30702
hundred ten days past due, the prime interest rate plus eight per 30703
cent, multiplied by the assessment due;30704

       (f) For each additional thirty-day period or portion thereof 30705
that an assessment remains past due after it has remained past due 30706
for more than two hundred ten days, the prime interest rate plus 30707
eight per cent, multiplied by the assessment due.30708

        (3) An employer may appeal a late fee penalty and penalty 30709
assessment to the administrator.30710

        For purposes of this division, "prime interest rate" means 30711
the average bank prime rate, and the administrator shall determine 30712
the prime interest rate in the same manner as a county auditor 30713
determines the average bank prime rate under section 929.02 of the 30714
Revised Code.30715

       The administrator shall include any assessment and penalties 30716
that remain unpaid for previous assessment periods in the 30717
calculation and collection of any assessments due under this 30718
division or division (J) of this section.30719

       (M) As used in this section, "paid compensation" means all30720
amounts paid by a self-insuring employer for living maintenance30721
benefits, all amounts for compensation paid pursuant to sections30722
4121.63, 4121.67, 4123.56, 4123.57, 4123.58, 4123.59, 4123.60, and30723
4123.64 of the Revised Code, all amounts paid as wages in lieu of30724
such compensation, all amounts paid in lieu of such compensation30725
under a nonoccupational accident and sickness program fully funded30726
by the self-insuring employer, and all amounts paid by a30727
self-insuring employer for a violation of a specific safety30728
standard pursuant to Section 35 of Article II, Ohio Constitution30729
and section 4121.47 of the Revised Code.30730

       (N) Should any section of this chapter or Chapter 4121. of30731
the Revised Code providing for self-insuring employers'30732
assessments based upon compensation paid be declared30733
unconstitutional by a final decision of any court, then that30734
section of the Revised Code declared unconstitutional shall revert30735
back to the section in existence prior to November 3, 1989,30736
providing for assessments based upon payroll.30737

       (O) The administrator may grant a self-insuring employer the30738
privilege to self-insure a construction project entered into by30739
the self-insuring employer that is scheduled for completion within30740
six years after the date the project begins, and the total cost of30741
which is estimated to exceed one hundred million dollars or, for30742
employers described in division (R) of this section, if the30743
construction project is estimated to exceed twenty-five million30744
dollars. The administrator may waive such cost and time criteria30745
and grant a self-insuring employer the privilege to self-insure a30746
construction project regardless of the time needed to complete the30747
construction project and provided that the cost of the30748
construction project is estimated to exceed fifty million dollars.30749
A self-insuring employer who desires to self-insure a construction30750
project shall submit to the administrator an application listing30751
the dates the construction project is scheduled to begin and end,30752
the estimated cost of the construction project, the contractors30753
and subcontractors whose employees are to be self-insured by the30754
self-insuring employer, the provisions of a safety program that is30755
specifically designed for the construction project, and a30756
statement as to whether a collective bargaining agreement30757
governing the rights, duties, and obligations of each of the30758
parties to the agreement with respect to the construction project30759
exists between the self-insuring employer and a labor30760
organization.30761

       A self-insuring employer may apply to self-insure the30762
employees of either of the following:30763

       (1) All contractors and subcontractors who perform labor or30764
work or provide materials for the construction project;30765

       (2) All contractors and, at the administrator's discretion, a 30766
substantial number of all the subcontractors who perform labor or 30767
work or provide materials for the construction project.30768

       Upon approval of the application, the administrator shall30769
mail a certificate granting the privilege to self-insure the30770
construction project to the self-insuring employer. The30771
certificate shall contain the name of the self-insuring employer30772
and the name, address, and telephone number of the self-insuring30773
employer's representatives who are responsible for administering30774
workers' compensation claims for the construction project. The30775
self-insuring employer shall post the certificate in a conspicuous30776
place at the site of the construction project.30777

       The administrator shall maintain a record of the contractors30778
and subcontractors whose employees are covered under the30779
certificate issued to the self-insured employer. A self-insuring30780
employer immediately shall notify the administrator when any30781
contractor or subcontractor is added or eliminated from inclusion30782
under the certificate.30783

       Upon approval of the application, the self-insuring employer30784
is responsible for the administration and payment of all claims30785
under this chapter and Chapter 4121. of the Revised Code for the30786
employees of the contractor and subcontractors covered under the30787
certificate who receive injuries or are killed in the course of30788
and arising out of employment on the construction project, or who30789
contract an occupational disease in the course of employment on30790
the construction project. For purposes of this chapter and Chapter 30791
4121. of the Revised Code, a claim that is administered and paid 30792
in accordance with this division is considered a claim against the 30793
self-insuring employer listed in the certificate. A contractor or 30794
subcontractor included under the certificate shall report to the 30795
self-insuring employer listed in the certificate, all claims that 30796
arise under this chapter and Chapter 4121. of the Revised Code in 30797
connection with the construction project for which the certificate 30798
is issued.30799

       A self-insuring employer who complies with this division is30800
entitled to the protections provided under this chapter and30801
Chapter 4121. of the Revised Code with respect to the employees of30802
the contractors and subcontractors covered under a certificate30803
issued under this division for death or injuries that arise out30804
of, or death, injuries, or occupational diseases that arise in the30805
course of, those employees' employment on that construction30806
project, as if the employees were employees of the self-insuring30807
employer, provided that the self-insuring employer also complies30808
with this section. No employee of the contractors and30809
subcontractors covered under a certificate issued under this30810
division shall be considered the employee of the self-insuring30811
employer listed in that certificate for any purposes other than30812
this chapter and Chapter 4121. of the Revised Code. Nothing in30813
this division gives a self-insuring employer authority to control30814
the means, manner, or method of employment of the employees of the30815
contractors and subcontractors covered under a certificate issued30816
under this division.30817

       The contractors and subcontractors included under a30818
certificate issued under this division are entitled to the30819
protections provided under this chapter and Chapter 4121. of the30820
Revised Code with respect to the contractor's or subcontractor's30821
employees who are employed on the construction project which is30822
the subject of the certificate, for death or injuries that arise30823
out of, or death, injuries, or occupational diseases that arise in30824
the course of, those employees' employment on that construction30825
project.30826

       The contractors and subcontractors included under a30827
certificate issued under this division shall identify in their30828
payroll records the employees who are considered the employees of30829
the self-insuring employer listed in that certificate for purposes30830
of this chapter and Chapter 4121. of the Revised Code, and the30831
amount that those employees earned for employment on the30832
construction project that is the subject of that certificate.30833
Notwithstanding any provision to the contrary under this chapter30834
and Chapter 4121. of the Revised Code, the administrator shall30835
exclude the payroll that is reported for employees who are30836
considered the employees of the self-insuring employer listed in30837
that certificate, and that the employees earned for employment on30838
the construction project that is the subject of that certificate,30839
when determining those contractors' or subcontractors' premiums or30840
assessments required under this chapter and Chapter 4121. of the30841
Revised Code. A self-insuring employer issued a certificate under30842
this division shall include in the amount of paid compensation it30843
reports pursuant to division (L) of this section, the amount of30844
paid compensation the self-insuring employer paid pursuant to this30845
division for the previous calendar year.30846

       Nothing in this division shall be construed as altering the30847
rights of employees under this chapter and Chapter 4121. of the30848
Revised Code as those rights existed prior to September 17, 1996.30849
Nothing in this division shall be construed as altering the rights30850
devolved under sections 2305.31 and 4123.82 of the Revised Code as30851
those rights existed prior to September 17, 1996.30852

       As used in this division, "privilege to self-insure a30853
construction project" means privilege to pay individually30854
compensation, and to furnish medical, surgical, nursing, and30855
hospital services and attention and funeral expenses directly to30856
injured employees or the dependents of killed employees.30857

       (P) A self-insuring employer whose application is granted30858
under division (O) of this section shall designate a safety30859
professional to be responsible for the administration and30860
enforcement of the safety program that is specifically designed30861
for the construction project that is the subject of the30862
application.30863

       A self-insuring employer whose application is granted under30864
division (O) of this section shall employ an ombudsperson for the30865
construction project that is the subject of the application. The30866
ombudsperson shall have experience in workers' compensation or the30867
construction industry, or both. The ombudsperson shall perform all 30868
of the following duties:30869

       (1) Communicate with and provide information to employees who 30870
are injured in the course of, or whose injury arises out of30871
employment on the construction project, or who contract an30872
occupational disease in the course of employment on the30873
construction project;30874

       (2) Investigate the status of a claim upon the request of an30875
employee to do so;30876

       (3) Provide information to claimants, third party30877
administrators, employers, and other persons to assist those30878
persons in protecting their rights under this chapter and Chapter30879
4121. of the Revised Code.30880

       A self-insuring employer whose application is granted under30881
division (O) of this section shall post the name of the safety30882
professional and the ombudsperson and instructions for contacting30883
the safety professional and the ombudsperson in a conspicuous30884
place at the site of the construction project.30885

       (Q) The administrator may consider all of the following when30886
deciding whether to grant a self-insuring employer the privilege30887
to self-insure a construction project as provided under division30888
(O) of this section:30889

       (1) Whether the self-insuring employer has an organizational30890
plan for the administration of the workers' compensation law;30891

       (2) Whether the safety program that is specifically designed30892
for the construction project provides for the safety of employees30893
employed on the construction project, is applicable to all30894
contractors and subcontractors who perform labor or work or30895
provide materials for the construction project, and has as a30896
component, a safety training program that complies with standards30897
adopted pursuant to the "Occupational Safety and Health Act of30898
1970," 84 Stat. 1590, 29 U.S.C.A. 651, and provides for continuing30899
management and employee involvement;30900

       (3) Whether granting the privilege to self-insure the30901
construction project will reduce the costs of the construction30902
project;30903

       (4) Whether the self-insuring employer has employed an30904
ombudsperson as required under division (P) of this section;30905

       (5) Whether the self-insuring employer has sufficient surety30906
to secure the payment of claims for which the self-insuring30907
employer would be responsible pursuant to the granting of the30908
privilege to self-insure a construction project under division (O)30909
of this section.30910

       (R) As used in divisions (O), (P), and (Q), "self-insuring30911
employer" includes the following employers, whether or not they30912
have been granted the status of being a self-insuring employer30913
under division (B) of this section:30914

        (1) A state institution of higher education;30915

        (2) A school district;30916

        (3) A county school financing district;30917

        (4) An educational service center;30918

        (5) A community school established under Chapter 3314. of the 30919
Revised Code.30920

        (S) As used in this section:30921

       (1) "Unvoted debt capacity" means the amount of money that a30922
public employer may borrow without voter approval of a tax levy;30923

       (2) "State institution of higher education" means the state30924
universities listed in section 3345.011 of the Revised Code,30925
community colleges created pursuant to Chapter 3354. of the30926
Revised Code, university branches created pursuant to Chapter30927
3355. of the Revised Code, technical colleges created pursuant to30928
Chapter 3357. of the Revised Code, and state community colleges30929
created pursuant to Chapter 3358. of the Revised Code.30930

       Sec. 4141.09.  (A) There is hereby created an unemployment30931
compensation fund to be administered by the state without30932
liability on the part of the state beyond the amounts paid into30933
the fund and earned by the fund. The unemployment compensation30934
fund shall consist of all contributions, payments in lieu of30935
contributions described in sections 4141.241 and 4141.242 of the30936
Revised Code, reimbursements of the federal share of extended30937
benefits described in section 4141.301 of the Revised Code,30938
collected under sections 4141.01 to 4141.46 of the Revised Code,30939
together with all interest earned upon any moneys deposited with30940
the secretary of the treasury of the United States to the credit30941
of the account of this state in the unemployment trust fund30942
established and maintained pursuant to section 904 of the "Social30943
Security Act," any property or securities acquired through the use30944
of moneys belonging to the fund, and all earnings of such property30945
or securities. The unemployment compensation fund shall be used to 30946
pay benefits and refunds as provided by such sections and for no 30947
other purpose.30948

       (B) The treasurer of state shall be the custodian of the30949
unemployment compensation fund and shall administer such fund in30950
accordance with the directions of the director of job and family30951
services. All disbursements therefrom shall be paid by the30952
treasurer of state on warrants drawn by the director. Such30953
warrants may bear the facsimile signature of the director printed30954
thereon and that of a deputy or other employee of the director30955
charged with the duty of keeping the account of the unemployment30956
compensation fund and with the preparation of warrants for the30957
payment of benefits to the persons entitled thereto. Moneys in the 30958
clearing and benefit accounts shall not be commingled with other 30959
state funds, except as provided in division (C) of this section, 30960
but shall be maintained in separate accounts on the books of the 30961
depositary bank. Such money shall be secured by the depositary 30962
bank to the same extent and in the same manner as required by 30963
sections 135.01 to 135.21 of the Revised Code; and collateral 30964
pledged for this purpose shall be kept separate and distinct from 30965
any collateral pledged to secure other funds of this state. All 30966
sums recovered for losses sustained by the unemployment 30967
compensation fund shall be deposited therein. The treasurer of 30968
state shall be liable on the treasurer's official bond for the 30969
faithful performance of the treasurer's duties in connection with 30970
the unemployment compensation fund, such liability to exist in 30971
addition to any liability upon any separate bond.30972

       (C) The treasurer of state shall maintain within the30973
unemployment compensation fund three separate accounts which shall30974
be a clearing account, an unemploymenta trust fund account, and a30975
benefit account. All moneys payable to the unemployment30976
compensation fund, upon receipt thereof by the director, shall be30977
forwarded to the treasurer of state, who shall immediately deposit30978
them in the clearing account. Refunds of contributions, or30979
payments in lieu of contributions, payable pursuant to division30980
(E) of this section may be paid from the clearing account upon30981
warrants signed by a deputy or other employee of the director30982
charged with the duty of keeping the record of the clearing30983
account and with the preparation of warrants for the payment of30984
refunds to persons entitled thereto. After clearance thereof, all30985
moneys in the clearing account shall be deposited with the30986
secretary of the treasury of the United States to the credit of30987
the account of this state in the unemployment trust fund30988
established and maintained pursuant to section 904 of the "Social30989
Security Act," in accordance with requirements of the "Federal30990
Unemployment Tax Act," 53 Stat. 183 (1939), 26 U.S.C.A. 3301,30991
3304(a)(3), any law in this state relating to the deposit,30992
administration, release, or disbursement of moneys in the30993
possession or custody of this state to the contrary30994
notwithstanding. The benefit account shall consist of all moneys30995
requisitioned from this state's account in the unemployment trust30996
fund. Federal funds, other than funds received by the director30997
under divisions (I) and (J) of this section, received for payment30998
of federal benefits may be deposited, at the director's 30999
discretion, into the benefit account. Any funds deposited into the 31000
benefit account shall be disbursed solely for payment of benefits 31001
under a federal program administered by this state. Moneys so31002
requisitioned shall be used solely for the payment of benefits and 31003
for no other purpose. Moneys in the clearing and benefit accounts 31004
may be deposited by the treasurer of state, under the direction of 31005
the director, in any bank or public depositary in which general 31006
funds of the state may be deposited, but no public deposit 31007
insurance charge or premium shall be paid out of the fund.31008

       (D) Moneys shall be requisitioned from this state's account31009
in the unemployment trust fund solely for the payment of benefits31010
and in accordance with regulations prescribed by the director. The31011
director shall requisition from the unemployment trust fund such31012
amounts, not exceeding the amount standing to this state's account31013
therein, as are deemed necessary for the payment of benefits for a31014
reasonable future period. Upon receipt thereof, the treasurer of31015
state shall deposit such moneys in the benefit account.31016
Expenditures of such money in the benefit account and refunds from31017
the clearing account shall not require specific appropriations or31018
other formal release by state officers of money in their custody.31019
Any balance of moneys requisitioned from the unemployment trust31020
fund which remains unclaimed or unpaid in the benefit account31021
after the expiration of the period for which such sums were31022
requisitioned shall either be deducted from estimates for and may31023
be utilized for the payment of benefits during succeeding periods,31024
or, in the discretion of the director, shall be redeposited with31025
the secretary of the treasury of the United States to the credit31026
of this state's account in the unemployment trust fund, as31027
provided in division (C) of this section. Unclaimed or unpaid31028
federal funds redeposited with the secretary of the treasury of31029
the United States shall be credited to the appropriate federal31030
account.31031

       (E) No claim for an adjustment or a refund on contribution,31032
payment in lieu of contributions, interest, or forfeiture alleged31033
to have been erroneously or illegally assessed or collected, or31034
alleged to have been collected without authority, and no claim for31035
an adjustment or a refund of any sum alleged to have been31036
excessive or in any manner wrongfully collected shall be allowed31037
unless an application, in writing, therefor is made within four31038
years from the date on which such payment was made. If the31039
director determines that such contribution, payment in lieu of31040
contributions, interest, or forfeiture, or any portion thereof, 31041
was erroneously collected, the director shall allow such employer 31042
to make an adjustment thereof without interest in connection with31043
subsequent contribution payments, or payments in lieu of31044
contributions, by the employer, or the director may refund said31045
amount, without interest, from the clearing account of the31046
unemployment compensation fund, except as provided in division (B)31047
of section 4141.11 of the Revised Code. For like cause and within31048
the same period, adjustment or refund may be so made on the31049
director's own initiative. An overpayment of contribution, payment 31050
in lieu of contributions, interest, or forfeiture for which an 31051
employer has not made application for refund prior to the date of 31052
sale of the employer's business shall accrue to the employer's 31053
successor in interest.31054

       An application for an adjustment or a refund, or any portion31055
thereof, that is rejected is binding upon the employer unless,31056
within thirty days after the mailing of a written notice of31057
rejection to the employer's last known address, or, in the absence31058
of mailing of such notice, within thirty days after the delivery31059
of such notice, the employer files an application for a review and31060
redetermination setting forth the reasons therefor. The director31061
shall promptly examine the application for review and31062
redetermination, and if a review is granted, the employer shall be31063
promptly notified thereof, and shall be granted an opportunity for31064
a prompt hearing.31065

       (F) If the director finds that contributions have been paid31066
to the director in error, and that such contributions should have31067
been paid to a department of another state or of the United States31068
charged with the administration of an unemployment compensation31069
law, the director may upon request by such department or upon the31070
director's own initiative transfer to such department the amount31071
of such contributions, less any benefits paid to claimants whose31072
wages were the basis for such contributions. The director may31073
request and receive from such department any contributions or31074
adjusted contributions paid in error to such department which31075
should have been paid to the director.31076

       (G) In accordance with section 303(c)(3) of the Social31077
Security Act, and section 3304(a)(17) of the Internal Revenue Code31078
of 1954 for continuing certification of Ohio unemployment31079
compensation laws for administrative grants and for tax credits,31080
any interest required to be paid on advances under Title XII of31081
the Social Security Act shall be paid in a timely manner and shall31082
not be paid, directly or indirectly, by an equivalent reduction in31083
the Ohio unemployment taxes or otherwise, by the state from31084
amounts in the unemployment compensation fund.31085

       (H) The treasurer of state, under the direction of the31086
director and in accordance with the "Cash Management Improvement31087
Act of 1990," 104 Stat. 1061, 31 U.S.C.A. 335, 6503, shall deposit31088
amounts of interest earned by the state on funds in the benefit31089
account established pursuant to division (C) of this section into31090
the department of job and family services banking fees fund, which31091
is hereby created in the state treasury for the purpose of paying31092
related banking costs incurred by the state for the period for31093
which the interest is calculated, except that if the deposited31094
interest exceeds the banking costs incurred by the state for the31095
period for which the interest is calculated, the treasurer of31096
state shall deposit the excess interest into the unemployment31097
trust fund.31098

       (I) The treasurer of state, under the direction of the31099
director, shall deposit federal funds received by the director for 31100
the payment of benefits, job search, relocation, transportation, 31101
and subsistence allowances pursuant to the "Trade Act of 1974," 8831102
Stat. 1978, 19 U.S.C.A. 2101, as amended; the "North American Free 31103
Trade Implementation Act of 1993," 107 Stat. 2057, 19 U.S.C.A. 31104
3301, as amended; and the "Trade Act of 2002," 116 Stat. 993, 19 31105
U.S.C.A. 3801, as amended, into the Trade Act benefit account, 31106
which is hereby created for the purpose of making payments 31107
specified under those acts.31108

       (J) The treasurer of state, under the direction of the31109
director, shall deposit federal funds received by the director for 31110
training and administration and for payment of benefits, job 31111
search, relocation, transportation, and subsistence allowances31112
pursuant to the "Trade Act of 1974," 88 Stat. 1978, 19 U.S.C.A. 31113
2101, as amended; the "North American Free Trade Agreement31114
Implementation Act," 107 Stat. 2057 (1993), 19 U.S.C.A. 3301, as 31115
amended; and the "Trade Act of 2002," 116 Stat. 993, 19 U.S.C.A. 31116
3801, as amended, into the Trade Act training and administration 31117
account, which is hereby created for the purpose of making 31118
payments specified under those acts. The treasurer of state, under 31119
the direction of the director, may transfer funds from the Trade 31120
Act training and administration account to the benefit account for 31121
the purpose of making any payments directly to claimants for 31122
benefits, job search, relocation, transportation, and subsistence 31123
allowances, as specified by those acts.31124

       Sec. 4301.43.  (A) As used in sections 4301.43 to 4301.50 of31125
the Revised Code:31126

       (1) "Gallon" or "wine gallon" means one hundred twenty-eight31127
fluid ounces.31128

       (2) "Sale" or "sell" includes exchange, barter, gift,31129
distribution, and, except with respect to A-4 permit holders,31130
offer for sale.31131

       (B) For the purposes of providing revenues for the support of 31132
the state and encouraging the grape industries in the state, a tax 31133
is hereby levied on the sale or distribution of wine in Ohio,31134
except for known sacramental purposes, at the rate of thirty cents31135
per wine gallon for wine containing not less than four per cent of31136
alcohol by volume and not more than fourteen per cent of alcohol31137
by volume, ninety-eight cents per wine gallon for wine containing31138
more than fourteen per cent but not more than twenty-one per cent31139
of alcohol by volume, one dollar and eight cents per wine gallon31140
for vermouth, and one dollar and forty-eight cents per wine gallon31141
for sparkling and carbonated wine and champagne, the tax to be31142
paid by the holders of A-2 and B-5 permits or by any other person31143
selling or distributing wine upon which no tax has been paid. From31144
the tax paid under this section on wine, vermouth, and sparkling31145
and carbonated wine and champagne, the treasurer of state shall31146
credit to the Ohio grape industries fund created under section31147
924.54 of the Revised Code a sum equal to one cent per gallon for31148
each gallon upon which the tax is paid.31149

       (C) For the purpose of providing revenues for the support of31150
the state, there is hereby levied a tax on prepared and bottled31151
highballs, cocktails, cordials, and other mixed beverages at the31152
rate of one dollar and twenty cents per wine gallon to be paid by31153
holders of A-4 permits or by any other person selling or31154
distributing those products upon which no tax has been paid. Only31155
one sale of the same article shall be used in computing the amount31156
of tax due. The tax on mixed beverages to be paid by holders of31157
A-4 permits under this section shall not attach until the31158
ownership of the mixed beverage is transferred for valuable31159
consideration to a wholesaler or retailer, and no payment of the31160
tax shall be required prior to that time.31161

       (D) During the period of July 1, 20052007, through June 30, 31162
20072009, from the tax paid under this section on wine, vermouth, 31163
and sparkling and carbonated wine and champagne, the treasurer of31164
state shall credit to the Ohio grape industries fund created under31165
section 924.54 of the Revised Code a sum equal to two cents per31166
gallon upon which the tax is paid. The amount credited under this31167
division is in addition to the amount credited to the Ohio grape31168
industries fund under division (B) of this section.31169

       (E) For the purpose of providing revenues for the support of31170
the state, there is hereby levied a tax on cider at the rate of31171
twenty-four cents per wine gallon to be paid by the holders of A-231172
and B-5 permits or by any other person selling or distributing31173
cider upon which no tax has been paid. Only one sale of the same31174
article shall be used in computing the amount of the tax due.31175

       Sec. 4503.06.  (A) The owner of each manufactured or mobile31176
home that has acquired situs in this state shall pay either a real31177
property tax pursuant to Title LVII of the Revised Code or a31178
manufactured home tax pursuant to division (C) of this section.31179

       (B) The owner of a manufactured or mobile home shall pay real 31180
property taxes if either of the following applies:31181

       (1) The manufactured or mobile home acquired situs in the31182
state or ownership in the home was transferred on or after January31183
1, 2000, and all of the following apply:31184

       (a) The home is affixed to a permanent foundation as defined31185
in division (C)(5) of section 3781.06 of the Revised Code.31186

       (b) The home is located on land that is owned by the owner of 31187
the home.31188

       (c) The certificate of title has been inactivated by the31189
clerk of the court of common pleas that issued it, pursuant to31190
division (H) of section 4505.11 of the Revised Code.31191

       (2) The manufactured or mobile home acquired situs in the31192
state or ownership in the home was transferred before January 1,31193
2000, and all of the following apply:31194

       (a) The home is affixed to a permanent foundation as defined31195
in division (C)(5) of section 3781.06 of the Revised Code.31196

       (b) The home is located on land that is owned by the owner of 31197
the home.31198

       (c) The owner of the home has elected to have the home taxed31199
as real property and, pursuant to section 4505.11 of the Revised31200
Code, has surrendered the certificate of title to the auditor of31201
the county containing the taxing district in which the home has31202
its situs, together with proof that all taxes have been paid.31203

       (d) The county auditor has placed the home on the real31204
property tax list and delivered the certificate of title to the31205
clerk of the court of common pleas that issued it and the clerk31206
has inactivated the certificate.31207

       (C)(1) Any mobile or manufactured home that is not taxed as31208
real property as provided in division (B) of this section is31209
subject to an annual manufactured home tax, payable by the owner,31210
for locating the home in this state. The tax as levied in this31211
section is for the purpose of supplementing the general revenue31212
funds of the local subdivisions in which the home has its situs31213
pursuant to this section.31214

       (2) The year for which the manufactured home tax is levied31215
commences on the first day of January and ends on the following31216
thirty-first day of December. The state shall have the first lien31217
on any manufactured or mobile home on the list for the amount of31218
taxes, penalties, and interest charged against the owner of the31219
home under this section. The lien of the state for the tax for a31220
year shall attach on the first day of January to a home that has31221
acquired situs on that date. The lien for a home that has not31222
acquired situs on the first day of January, but that acquires31223
situs during the year, shall attach on the next first day of31224
January. The lien shall continue until the tax, including any31225
penalty or interest, is paid.31226

       (3)(a) The situs of a manufactured or mobile home located in31227
this state on the first day of January is the local taxing31228
district in which the home is located on that date.31229

       (b) The situs of a manufactured or mobile home not located in31230
this state on the first day of January, but located in this state31231
subsequent to that date, is the local taxing district in which the 31232
home is located thirty days after it is acquired or first enters 31233
this state.31234

       (4) The tax is collected by and paid to the county treasurer31235
of the county containing the taxing district in which the home has31236
its situs.31237

       (D) The manufactured home tax shall be computed and assessed31238
by the county auditor of the county containing the taxing district31239
in which the home has its situs as follows:31240

       (1) On a home that acquired situs in this state prior to31241
January 1, 2000:31242

       (a) By multiplying the assessable value of the home by the31243
tax rate of the taxing district in which the home has its situs,31244
and deducting from the product thus obtained any reduction31245
authorized under section 4503.065 of the Revised Code. The tax31246
levied under this formula shall not be less than thirty-six31247
dollars, unless the home qualifies for a reduction in assessable31248
value under section 4503.065 of the Revised Code, in which case31249
there shall be no minimum tax and the tax shall be the amount31250
calculated under this division.31251

       (b) The assessable value of the home shall be forty per cent31252
of the amount arrived at by the following computation:31253

       (i) If the cost to the owner, or market value at time of31254
purchase, whichever is greater, of the home includes the31255
furnishings and equipment, such cost or market value shall be31256
multiplied according to the following schedule:31257

For the first calendar year 31258
in which the 31259
home is owned by the 31260
current owner x 80% 31261
2nd calendar year x 75% 31262
3rd " x 70% 31263
4th " x 65% 31264
5th " x 60% 31265
6th " x 55% 31266
7th " x 50% 31267
8th " x 45% 31268
9th " x 40% 31269
10th and each year thereafter x 35% 31270

       The first calendar year means any period between the first31271
day of January and the thirty-first day of December of the first31272
year.31273

       (ii) If the cost to the owner, or market value at the time of 31274
purchase, whichever is greater, of the home does not include the 31275
furnishings and equipment, such cost or market value shall be31276
multiplied according to the following schedule:31277

For the first calendar year 31278
in which the 31279
home is owned by the 31280
current owner x 95% 31281
2nd calendar year x 90% 31282
3rd " x 85% 31283
4th " x 80% 31284
5th " x 75% 31285
6th " x 70% 31286
7th " x 65% 31287
8th " x 60% 31288
9th " x 55% 31289
10th and each year thereafter x 50% 31290

       The first calendar year means any period between the first31291
day of January and the thirty-first day of December of the first31292
year.31293

       (2) On a home in which ownership was transferred or that31294
first acquired situs in this state on or after January 1, 2000:31295

       (a) By multiplying the assessable value of the home by the31296
effective tax rate, as defined in section 323.08 of the Revised31297
Code, for residential real property of the taxing district in31298
which the home has its situs, and deducting from the product thus31299
obtained the reductions required or authorized under section31300
319.302, division (B) of section 323.152, or section 4503.065 of31301
the Revised Code.31302

       (b) The assessable value of the home shall be thirty-five per 31303
cent of its true value as determined under division (L) of this 31304
section.31305

       (3) On or before the fifteenth day of January each year, the 31306
county auditor shall record the assessable value and the amount of31307
tax on the manufactured or mobile home on the tax list and deliver31308
a duplicate of the list to the county treasurer. In the case of an 31309
emergency as defined in section 323.17 of the Revised Code, the31310
tax commissioner, by journal entry, may extend the times for31311
delivery of the duplicate for an additional fifteen days upon31312
receiving a written application from the county auditor regarding31313
an extension for the delivery of the duplicate, or from the county31314
treasurer regarding an extension of the time for the billing and31315
collection of taxes. The application shall contain a statement31316
describing the emergency that will cause the unavoidable delay and31317
must be received by the tax commissioner on or before the last day31318
of the month preceding the day delivery of the duplicate is31319
otherwise required. When an extension is granted for delivery of31320
the duplicate, the time period for payment of taxes shall be31321
extended for a like period of time. When a delay in the closing of 31322
a tax collection period becomes unavoidable, the tax commissioner, 31323
upon application by the county auditor and county treasurer, may 31324
order the time for payment of taxes to be extended if the tax 31325
commissioner determines that penalties have accrued or would 31326
otherwise accrue for reasons beyond the control of the taxpayers 31327
of the county. The order shall prescribe the final extended date 31328
for payment of taxes for that collection period.31329

       (4) After January 1, 1999, the owner of a manufactured or31330
mobile home taxed pursuant to division (D)(1) of this section may31331
elect to have the home taxed pursuant to division (D)(2) of this31332
section by filing a written request with the county auditor of the31333
taxing district in which the home is located on or before the31334
first day of December of any year. Upon the filing of the request, 31335
the county auditor shall determine whether all taxes levied under 31336
division (D)(1) of this section have been paid, and if those taxes 31337
have been paid, the county auditor shall tax the manufactured or31338
mobile home pursuant to division (D)(2) of this section commencing 31339
in the next tax year.31340

       (5) A manufactured or mobile home that acquired situs in this 31341
state prior to January 1, 2000, shall be taxed pursuant to31342
division (D)(2) of this section if no manufactured home tax had31343
been paid for the home and the home was not exempted from taxation31344
pursuant to division (E) of this section for the year for which31345
the taxes were not paid.31346

       (6)(a) Immediately upon receipt of any manufactured home tax31347
duplicate from the county auditor, but not less than twenty days31348
prior to the last date on which the first one-half taxes may be31349
paid without penalty as prescribed in division (F) of this31350
section, the county treasurer shall cause to be prepared and31351
mailed or delivered to each person charged on that duplicate with31352
taxes, or to an agent designated by such person, the tax bill31353
prescribed by the tax commissioner under division (D)(7) of this31354
section. When taxes are paid by installments, the county31355
treasurer shall mail or deliver to each person charged on such31356
duplicate or the agent designated by that person a second tax bill31357
showing the amount due at the time of the second tax collection.31358
The second half tax bill shall be mailed or delivered at least31359
twenty days prior to the close of the second half tax collection31360
period. A change in the mailing address of any tax bill shall be31361
made in writing to the county treasurer. Failure to receive a bill 31362
required by this section does not excuse failure or delay to pay 31363
any taxes shown on the bill or, except as provided in division31364
(B)(1) of section 5715.39 of the Revised Code, avoid any penalty,31365
interest, or charge for such delay.31366

       (b) After delivery of the copy of the delinquent manufactured31367
home tax list under division (H) of this section, the county31368
treasurer may prepare and mail to each person in whose name a home 31369
is listed an additional tax bill showing the total amount of 31370
delinquent taxes charged against the home as shown on the list.31371
The tax bill shall include a notice that the interest charge31372
prescribed by division (G) of this section has begun to accrue.31373

       (7) Each tax bill prepared and mailed or delivered under31374
division (D)(6) of this section shall be in the form and contain31375
the information required by the tax commissioner. The commissioner 31376
may prescribe different forms for each county and may authorize 31377
the county auditor to make up tax bills and tax receipts to be 31378
used by the county treasurer. The tax bill shall not contain or 31379
be mailed or delivered with any information or material that is 31380
not required by this section or that is not authorized by section 31381
321.45 of the Revised Code or by the tax commissioner. In addition 31382
to the information required by the commissioner, each tax bill 31383
shall contain the following information:31384

       (a) The taxes levied and the taxes charged and payable31385
against the manufactured or mobile home;31386

       (b) The following notice: "Notice: If the taxes are not paid 31387
within sixty days after the county auditor delivers the delinquent 31388
manufactured home tax list to the county treasurer, you and your 31389
home may be subject to collection proceedings for tax31390
delinquency." Failure to provide such notice has no effect upon31391
the validity of any tax judgment to which a home may be subjected.31392

       (c) In the case of manufactured or mobile homes taxed under31393
division (D)(2) of this section, the following additional31394
information:31395

       (i) The effective tax rate. The words "effective tax rate"31396
shall appear in boldface type.31397

       (ii) The following notice: "Notice: If the taxes charged31398
against this home have been reduced by the 2-1/2 per cent tax31399
reduction for residences occupied by the owner but the home is not31400
a residence occupied by the owner, the owner must notify the31401
county auditor's office not later than March 31 of the year for31402
which the taxes are due. Failure to do so may result in the owner31403
being convicted of a fourth degree misdemeanor, which is31404
punishable by imprisonment up to 30 days, a fine up to $250, or31405
both, and in the owner having to repay the amount by which the31406
taxes were erroneously or illegally reduced, plus any interest31407
that may apply.31408

       If the taxes charged against this home have not been reduced31409
by the 2-1/2 per cent tax reduction and the home is a residence31410
occupied by the owner, the home may qualify for the tax reduction. 31411
To obtain an application for the tax reduction or further31412
information, the owner may contact the county auditor's office at31413
.......... (insert the address and telephone number of the county31414
auditor's office)."31415

       (E)(1) A manufactured or mobile home is not subject to this31416
section when any of the following applies:31417

       (a) It is taxable as personal property pursuant to section31418
5709.01 of the Revised Code. Any manufactured or mobile home that31419
is used as a residence shall be subject to this section and shall31420
not be taxable as personal property pursuant to section 5709.01 of31421
the Revised Code.31422

       (b) It bears a license plate issued by any state other than31423
this state unless the home is in this state in excess of an31424
accumulative period of thirty days in any calendar year.31425

       (c) The annual tax has been paid on the home in this state31426
for the current year.31427

       (d) The tax commissioner has determined, pursuant to section31428
5715.27 of the Revised Code, that the property is exempt from31429
taxation, or would be exempt from taxation under Chapter 5709. of31430
the Revised Code if it were classified as real property.31431

       (2) A travel trailer or park trailer, as these terms are31432
defined in section 4501.01 of the Revised Code, is not subject to31433
this section if it is unused or unoccupied and stored at the31434
owner's normal place of residence or at a recognized storage31435
facility.31436

       (3) A travel trailer or park trailer, as these terms are31437
defined in section 4501.01 of the Revised Code, is subject to this31438
section and shall be taxed as a manufactured or mobile home if it31439
has a situs longer than thirty days in one location and is31440
connected to existing utilities, unless either of the following31441
applies:31442

       (a) The situs is in a state facility or a camping or park31443
area as defined in division (C), (Q), (S), or (V) of section 31444
3729.01 of the Revised Code.31445

       (b) The situs is in a camping or park area that is a tract of 31446
land that has been limited to recreational use by deed or zoning 31447
restrictions and subdivided for sale of five or more individual 31448
lots for the express or implied purpose of occupancy by either 31449
self-contained recreational vehicles as defined in division (T) of 31450
section 3729.01 of the Revised Code or by dependent recreational 31451
vehicles as defined in division (D) of section 3729.01 of the 31452
Revised Code.31453

       (F) Except as provided in division (D)(3) of this section,31454
the manufactured home tax is due and payable as follows:31455

       (1) When a manufactured or mobile home has a situs in this31456
state, as provided in this section, on the first day of January,31457
one-half of the amount of the tax is due and payable on or before31458
the first day of March and the balance is due and payable on or31459
before the thirty-first day of July. At the option of the owner of 31460
the home, the tax for the entire year may be paid in full on the 31461
first day of March.31462

       (2) When a manufactured or mobile home first acquires a situs31463
in this state after the first day of January, no tax is due and 31464
payable for that year.31465

       (G)(1)(a) Except as otherwise provided in division (G)(1)(b) 31466
of this section, if one-half of the current taxes charged under 31467
this section against a manufactured or mobile home, together with 31468
the full amount of any delinquent taxes, are not paid on or before 31469
the first day of March in that year, or on or before the last day 31470
for such payment as extended pursuant to section 4503.063 of the 31471
Revised Code, a penalty of ten per cent shall be charged against 31472
the unpaid balance of such half of the current taxes. If the total 31473
amount of all such taxes is not paid on or before the thirty-first 31474
day of July, next thereafter, or on or before the last day for 31475
payment as extended pursuant to section 4503.063 of the Revised 31476
Code, a like penalty shall be charged on the balance of the total 31477
amount of the unpaid current taxes.31478

       (b) After a valid delinquent tax contract that includes31479
unpaid current taxes from a first-half collection period described31480
in division (F) of this section has been entered into under31481
section 323.31 of the Revised Code, no ten per cent penalty shall31482
be charged against such taxes after the second-half collection31483
period while the delinquent tax contract remains in effect. On the 31484
day a delinquent tax contract becomes void, the ten per cent 31485
penalty shall be charged against such taxes and shall equal the 31486
amount of penalty that would have been charged against unpaid 31487
current taxes outstanding on the date on which the second-half 31488
penalty would have been charged thereon under division (G)(1)(a) 31489
of this section if the contract had not been in effect.31490

       (2)(a) On the first day of the month following the last day31491
the second installment of taxes may be paid without penalty31492
beginning in 2000, interest shall be charged against and computed31493
on all delinquent taxes other than the current taxes that became31494
delinquent taxes at the close of the last day such second31495
installment could be paid without penalty. The charge shall be for 31496
interest that accrued during the period that began on the31497
preceding first day of December and ended on the last day of the31498
month that included the last date such second installment could be31499
paid without penalty. The interest shall be computed at the rate31500
per annum prescribed by section 5703.47 of the Revised Code and31501
shall be entered as a separate item on the delinquent manufactured31502
home tax list compiled under division (H) of this section.31503

       (b) On the first day of December beginning in 2000, the31504
interest shall be charged against and computed on all delinquent31505
taxes. The charge shall be for interest that accrued during the31506
period that began on the first day of the month following the last31507
date prescribed for the payment of the second installment of taxes31508
in the current year and ended on the immediately preceding last31509
day of November. The interest shall be computed at the rate per31510
annum prescribed by section 5703.47 of the Revised Code and shall31511
be entered as a separate item on the delinquent manufactured home31512
tax list.31513

       (c) After a valid undertaking has been entered into for the31514
payment of any delinquent taxes, no interest shall be charged31515
against such delinquent taxes while the undertaking remains in31516
effect in compliance with section 323.31 of the Revised Code. If a 31517
valid undertaking becomes void, interest shall be charged against 31518
the delinquent taxes for the periods that interest was not31519
permitted to be charged while the undertaking was in effect. The31520
interest shall be charged on the day the undertaking becomes void31521
and shall equal the amount of interest that would have been31522
charged against the unpaid delinquent taxes outstanding on the31523
dates on which interest would have been charged thereon under31524
divisions (G)(1) and (2) of this section had the undertaking not31525
been in effect.31526

       (3) If the full amount of the taxes due at either of the31527
times prescribed by division (F) of this section is paid within31528
ten days after such time, the county treasurer shall waive the31529
collection of and the county auditor shall remit one-half of the31530
penalty provided for in this division for failure to make that31531
payment by the prescribed time.31532

       (4) The treasurer shall compile and deliver to the county31533
auditor a list of all tax payments the treasurer has received as31534
provided in division (G)(3) of this section. The list shall31535
include any information required by the auditor for the remission31536
of the penalties waived by the treasurer. The taxes so collected31537
shall be included in the settlement next succeeding the settlement31538
then in process.31539

       (H)(1) Beginning in 2000, the county auditor shall compile31540
annually a "delinquent manufactured home tax list" consisting of31541
homes the county treasurer's records indicate have taxes that were31542
not paid within the time prescribed by divisions (D)(3) and (F) of31543
this section, have taxes that remain unpaid from prior years, or31544
have unpaid tax penalties or interest that have been assessed.31545

       (2) Within thirty days after the settlement under division31546
(H)(2) of section 321.24 of the Revised Code beginning in 2000,31547
the county auditor shall deliver a copy of the delinquent31548
manufactured home tax list to the county treasurer. The auditor31549
shall update and publish the delinquent manufactured home tax list31550
annually in the same manner as delinquent real property tax lists31551
are published. The county auditor shall apportion the cost of31552
publishing the list among taxing districts in proportion to the31553
amount of delinquent manufactured home taxes so published that31554
each taxing district is entitled to receive upon collection of31555
those taxes.31556

       (3) When taxes, penalties, or interest are charged against a31557
person on the delinquent manufactured home tax list and are not 31558
paid within sixty days after the list is delivered to the county 31559
treasurer, the county treasurer shall, in addition to any other 31560
remedy provided by law for the collection of taxes, penalties, and 31561
interest, enforce collection of such taxes, penalties, and 31562
interest by civil action in the name of the treasurer against the 31563
owner for the recovery of the unpaid taxes following the 31564
procedures for the recovery of delinquent real property taxes in 31565
sections 323.25 to 323.28 of the Revised Code. The action may be 31566
brought in municipal or county court, provided the amount charged 31567
does not exceed the monetary limitations for original jurisdiction 31568
for civil actions in those courts.31569

       It is sufficient, having made proper parties to the suit, for31570
the county treasurer to allege in the treasurer's bill of31571
particulars or petition that the taxes stand chargeable on the 31572
books of the county treasurer against such person, that they are 31573
due and unpaid, and that such person is indebted in the amount of 31574
taxes appearing to be due the county. The treasurer need not set 31575
forth any other matter relating thereto. If it is found on the 31576
trial of the action that the person is indebted to the state, 31577
judgment shall be rendered in favor of the county treasurer 31578
prosecuting the action. The judgment debtor is not entitled to the 31579
benefit of any law for stay of execution or exemption of property 31580
from levy or sale on execution in the enforcement of the judgment.31581

       Upon the filing of an entry of confirmation of sale or an31582
order of forfeiture in a proceeding brought under this division,31583
title to the manufactured or mobile home shall be in the31584
purchaser. The clerk of courts shall issue a certificate of title31585
to the purchaser upon presentation of proof of filing of the entry31586
of confirmation or order and, in the case of a forfeiture,31587
presentation of the county auditor's certificate of sale.31588

       (I) The total amount of taxes collected shall be distributed31589
in the following manner: four per cent shall be allowed as31590
compensation to the county auditor for the county auditor's31591
service in assessing the taxes; two per cent shall be allowed as31592
compensation to the county treasurer for the services the county31593
treasurer renders as a result of the tax levied by this section.31594
Such amounts shall be paid into the county treasury, to the credit31595
of the county general revenue fund, on the warrant of the county31596
auditor. Fees to be paid to the credit of the real estate31597
assessment fund shall be collected pursuant to division (B)(C) of31598
section 319.54 of the Revised Code and paid into the county31599
treasury, on the warrant of the county auditor. The balance of the 31600
taxes collected shall be distributed among the taxing subdivisions 31601
of the county in which the taxes are collected and paid in the 31602
same ratio as those taxes were collected for the benefit of the 31603
taxing subdivision. The taxes levied and revenues collected under 31604
this section shall be in lieu of any general property tax and any 31605
tax levied with respect to the privilege of using or occupying a 31606
manufactured or mobile home in this state except as provided in31607
sections 4503.04 and 5741.02 of the Revised Code.31608

       (J) An agreement to purchase or a bill of sale for a31609
manufactured home shall show whether or not the furnishings and31610
equipment are included in the purchase price.31611

       (K) If the county treasurer and the county prosecuting31612
attorney agree that an item charged on the delinquent manufactured31613
home tax list is uncollectible, they shall certify that31614
determination and the reasons to the county board of revision. If31615
the board determines the amount is uncollectible, it shall certify31616
its determination to the county auditor, who shall strike the item31617
from the list.31618

       (L)(1) The county auditor shall appraise at its true value31619
any manufactured or mobile home in which ownership is transferred31620
or which first acquires situs in this state on or after January 1,31621
2000, and any manufactured or mobile home the owner of which has31622
elected, under division (D)(4) of this section, to have the home31623
taxed under division (D)(2) of this section. The true value shall31624
include the value of the home, any additions, and any fixtures,31625
but not any furnishings in the home. In determining the true value 31626
of a manufactured or mobile home, the auditor shall consider all31627
facts and circumstances relating to the value of the home,31628
including its age, its capacity to function as a residence, any31629
obsolete characteristics, and other factors that may tend to prove31630
its true value.31631

       (2)(a) If a manufactured or mobile home has been the subject31632
of an arm's length sale between a willing seller and a willing31633
buyer within a reasonable length of time prior to the31634
determination of true value, the county auditor shall consider the 31635
sale price of the home to be the true value for taxation purposes.31636

       (b) The sale price in an arm's length transaction between a31637
willing seller and a willing buyer shall not be considered the31638
true value of the home if either of the following occurred after31639
the sale:31640

       (i) The home has lost value due to a casualty.31641

       (ii) An addition or fixture has been added to the home.31642

       (3) The county auditor shall have each home viewed and 31643
appraised at least once in each six-year period in the same year 31644
in which real property in the county is appraised pursuant to 31645
Chapter 5713. of the Revised Code, and shall update the appraised 31646
values in the third calendar year following the appraisal. The 31647
person viewing or appraising a home may enter the home to 31648
determine by actual view any additions or fixtures that have been 31649
added since the last appraisal. In conducting the appraisals and 31650
establishing the true value, the auditor shall follow the 31651
procedures set forth for appraising real property in sections 31652
5713.01 and 5713.03 of the Revised Code.31653

       (4) The county auditor shall place the true value of each 31654
home on the manufactured home tax list upon completion of an31655
appraisal.31656

       (5)(a) If the county auditor changes the true value of a31657
home, the auditor shall notify the owner of the home in writing,31658
delivered by mail or in person. The notice shall be given at least 31659
thirty days prior to the issuance of any tax bill that reflects 31660
the change. Failure to receive the notice does not invalidate any31661
proceeding under this section.31662

       (b) Any owner of a home or any other person or party listed31663
in division (A)(1) of section 5715.19 of the Revised Code may file31664
a complaint against the true value of the home as appraised under31665
this section. The complaint shall be filed with the county auditor 31666
on or before the thirty-first day of March of the current tax year31667
or the date of closing of the collection for the first half of 31668
manufactured home taxes for the current tax year, whichever is 31669
later. The auditor shall present to the county board of revision 31670
all complaints filed with the auditor under this section. The 31671
board shall hear and investigate the complaint and may take action 31672
on it as provided under sections 5715.11 to 5715.19 of the Revised 31673
Code.31674

       (c) If the county board of revision determines, pursuant to a31675
complaint against the valuation of a manufactured or mobile home31676
filed under this section, that the amount of taxes, assessments,31677
or other charges paid was in excess of the amount due based on the31678
valuation as finally determined, then the overpayment shall be31679
refunded in the manner prescribed in section 5715.22 of the31680
Revised Code.31681

       (d) Payment of all or part of a tax under this section for31682
any year for which a complaint is pending before the county board31683
of revision does not abate the complaint or in any way affect the31684
hearing and determination thereof.31685

       (M) If the county auditor determines that any tax or other 31686
charge or any part thereof has been erroneously charged as a 31687
result of a clerical error as defined in section 319.35 of the 31688
Revised Code, the county auditor shall call the attention of the 31689
county board of revision to the erroneous charges. If the board 31690
finds that the taxes or other charges have been erroneously 31691
charged or collected, it shall certify the finding to the auditor. 31692
Upon receipt of the certification, the auditor shall remove the 31693
erroneous charges on the manufactured home tax list or delinquent 31694
manufactured home tax list in the same manner as is prescribed in 31695
section 319.35 of the Revised Code for erroneous charges against 31696
real property, and refund any erroneous charges that have been 31697
collected, with interest, in the same manner as is prescribed in 31698
section 319.36 of the Revised Code for erroneous charges against 31699
real property.31700

       (N) As used in this section and section 4503.061 of the31701
Revised Code:31702

       (1) "Manufactured home taxes" includes taxes, penalties, and31703
interest charged under division (C) or (G) of this section and any31704
penalties charged under division (G) or (H)(5) of section 4503.06131705
of the Revised Code.31706

       (2) "Current taxes" means all manufactured home taxes charged31707
against a manufactured or mobile home that have not appeared on 31708
the manufactured home tax list for any prior year. Current taxes 31709
become delinquent taxes if they remain unpaid after the last day31710
prescribed for payment of the second installment of current taxes31711
without penalty, whether or not they have been certified31712
delinquent.31713

       (3) "Delinquent taxes" means:31714

       (a) Any manufactured home taxes that were charged against a31715
manufactured or mobile home for a prior year, including any31716
penalties or interest charged for a prior year, and that remain31717
unpaid;31718

       (b) Any current manufactured home taxes charged against a31719
manufactured or mobile home that remain unpaid after the last day31720
prescribed for payment of the second installment of current taxes31721
without penalty, whether or not they have been certified31722
delinquent, including any penalties or interest.31723

       Sec. 4503.061.  (A) All manufactured and mobile homes shall31724
be listed on either the real property tax list or the manufactured31725
home tax list of the county in which the home has situs. Each31726
owner shall follow the procedures in this section to identify the31727
home to the county auditor of the county containing the taxing31728
district in which the home has situs so that the auditor may place31729
the home on the appropriate tax list.31730

       (B) When a manufactured or mobile home first acquires situs31731
in this state and is subject to real property taxation pursuant to31732
division (B)(1) or (2) of section 4503.06 of the Revised Code, the31733
owner shall present to the auditor of the county containing the31734
taxing district in which the home has its situs the certificate of31735
title for the home, together with proof that all taxes due have31736
been paid and proof that a relocation notice was obtained for the31737
home if required under this section. Upon receiving the31738
certificate of title and the required proofs, the auditor shall31739
place the home on the real property tax list and proceed to treat31740
the home as other properties on that list. After the auditor has31741
placed the home on the tax list of real and public utility31742
property, the auditor shall deliver the certificate of title to31743
the clerk of the court of common pleas that issued it pursuant to31744
section 4505.11 of the Revised Code, and the clerk shall31745
inactivate the certificate of title.31746

       (C)(1) When a manufactured or mobile home subject to a31747
manufactured home tax is relocated to or first acquires situs in31748
any county that has adopted a permanent manufactured home31749
registration system, as provided in division (F) of this section,31750
the owner, within thirty days after the home is relocated or first31751
acquires situs under section 4503.06 of the Revised Code, shall31752
register the home with the county auditor of the county containing31753
the taxing district in which the home has its situs. For the first 31754
registration in each county of situs, the owner or vendee in31755
possession shall present to the county auditor an Ohio certificate31756
of title, certified copy of the certificate of title, or31757
memorandum certificate of title as such are required by law, and31758
proof, as required by the county auditor, that the home, if it has31759
previously been occupied and is being relocated, has been31760
previously registered, that all taxes due and required to be paid31761
under division (H)(1) of this section before a relocation notice31762
may be issued have been paid, and that a relocation notice was31763
obtained for the home if required by division (H) of this section. 31764
If the owner or vendee does not possess the Ohio certificate of31765
title, certified copy of the certificate of title, or memorandum31766
certificate of title at the time the owner or vendee first31767
registers the home in a county, the county auditor shall register31768
the home without presentation of the document, but the owner or31769
vendee shall present the certificate of title, certified copy of31770
the certificate of title, or memorandum certificate of title to31771
the county auditor within fourteen days after the owner or vendee31772
obtains possession of the document.31773

       (2) When a manufactured or mobile home is registered for the31774
first time in a county and when the total tax due has been paid as31775
required by division (F) of section 4503.06 of the Revised Code or31776
divisions (E) and (H) of this section, the county treasurer shall31777
note by writing or by a stamp on the certificate of title,31778
certified copy of certificate of title, or memorandum certificate31779
of title that the home has been registered and that the taxes due,31780
if any, have been paid for the preceding five years and for the31781
current year. The treasurer shall then issue a certificate31782
evidencing registration and a decal to be displayed on the street31783
side of the home. The certificate is valid in any county in this31784
state during the year for which it is issued.31785

       (3) For each year thereafter, the county treasurer shall31786
issue a tax bill stating the amount of tax due under section31787
4503.06 of the Revised Code, as provided in division (D)(6) of31788
that section. When the total tax due has been paid as required by31789
division (F) of that section, the county treasurer shall issue a 31790
certificate evidencing registration that shall be valid in any 31791
county in this state during the year for which the certificate is 31792
issued.31793

       (4) The permanent decal issued under this division is valid31794
during the period of ownership, except that when a manufactured31795
home is relocated in another county the owner shall apply for a31796
new registration as required by this section and section 4503.0631797
of the Revised Code.31798

       (D)(1) All owners of manufactured or mobile homes subject to31799
the manufactured home tax being relocated to or having situs in a31800
county that has not adopted a permanent registration system, as31801
provided in division (F) of this section, shall register the home31802
within thirty days after the home is relocated or first acquires31803
situs under section 4503.06 of the Revised Code and thereafter31804
shall annually register the home with the county auditor of the31805
county containing the taxing district in which the home has its31806
situs.31807

       (2) Upon the annual registration, the county treasurer shall 31808
issue a tax bill stating the amount of annual manufactured home 31809
tax due under section 4503.06 of the Revised Code, as provided in 31810
division (D)(6) of that section. When a manufactured or mobile 31811
home is registered and when the tax for the current one-half year 31812
has been paid as required by division (F) of that section, the 31813
county treasurer shall issue a certificate evidencing registration 31814
and a decal. The certificate and decal are valid in any county in 31815
this state during the year for which they are issued. The decal 31816
shall be displayed on the street side of the home.31817

       (3) For the first annual registration in each county of31818
situs, the county auditor shall require the owner or vendee to31819
present an Ohio certificate of title, certified copy of the31820
certificate of title, or memorandum certificate of title as such31821
are required by law, and proof, as required by the county auditor,31822
that the manufactured or mobile home has been previously31823
registered, if such registration was required, that all taxes due31824
and required to be paid under division (H)(1) of this section31825
before a relocation notice may be issued have been paid, and that31826
a relocation notice was obtained for the home if required by31827
division (H) of this section. If the owner or vendee does not31828
possess the Ohio certificate of title, certified copy of the31829
certificate of title, or memorandum certificate of title at the31830
time the owner or vendee first registers the home in a county, the31831
county auditor shall register the home without presentation of the31832
document, but the owner or vendee shall present the certificate of31833
title, certified copy of the certificate of title, or memorandum31834
certificate of title to the county auditor within fourteen days31835
after the owner or vendee obtains possession of the document. When31836
the county treasurer receives the tax payment, the county31837
treasurer shall note by writing or by a stamp on the certificate31838
of title, certified copy of the certificate of title, or31839
memorandum certificate of title that the home has been registered31840
for the current year and that the manufactured home taxes due, if31841
any, have been paid for the preceding five years and for the31842
current year.31843

       (4) For subsequent annual registrations, the auditor may31844
require the owner or vendee in possession to present an Ohio31845
certificate of title, certified copy of the certificate of title,31846
or memorandum certificate of title to the county treasurer upon31847
payment of the manufactured home tax that is due.31848

       (E)(1) Upon the application to transfer ownership of a31849
manufactured or mobile home for which manufactured home taxes are31850
paid pursuant to division (C) of section 4503.06 of the Revised31851
Code the clerk of the court of common pleas shall not issue any31852
certificate of title that does not contain or have attached both31853
of the following:31854

       (a) An endorsement of the county treasurer stating that the31855
home has been registered for each year of ownership and that all31856
manufactured home taxes imposed pursuant to section 4503.06 of the31857
Revised Code have been paid or that no tax is due;31858

       (b) An endorsement of the county auditor that the31859
manufactured home transfer tax imposed pursuant to section 322.0631860
of the Revised Code and any fees imposed under division (F)(G) of31861
section 319.54 of the Revised Code have been paid.31862

       (2) If all the taxes have not been paid, the clerk shall31863
notify the vendee to contact the county treasurer of the county31864
containing the taxing district in which the home has its situs at31865
the time of the proposed transfer. The county treasurer shall then 31866
collect all the taxes that are due for the year of the transfer 31867
and all previous years not exceeding a total of five years. The 31868
county treasurer shall distribute that part of the collection owed 31869
to the county treasurer of other counties if the home had its 31870
situs in another county during a particular year when the unpaid 31871
tax became due and payable. The burden to prove the situs of the 31872
home in the years that the taxes were not paid is on the 31873
transferor of the home. Upon payment of the taxes, the county 31874
auditor shall remove all remaining taxes from the manufactured 31875
home tax list and the delinquent manufactured home tax list, and 31876
the county treasurer shall release all liens for such taxes. The 31877
clerk of courts shall issue a certificate of title, free and clear 31878
of all liens for manufactured home taxes, to the transferee of the 31879
home.31880

       (3) Once the transfer is complete and the certificate of31881
title has been issued, the transferee shall register the31882
manufactured or mobile home pursuant to division (C) or (D) of31883
this section with the county auditor of the county containing the31884
taxing district in which the home remains after the transfer or,31885
if the home is relocated to another county, with the county31886
auditor of the county to which the home is relocated. The31887
transferee need not pay the annual tax for the year of acquisition31888
if the original owner has already paid the annual tax for that31889
year.31890

       (F) The county auditor may adopt a permanent registration31891
system and issue a permanent decal with the first registration as31892
prescribed by the tax commissioner.31893

       (G) When any manufactured or mobile home required to be31894
registered by this section is not registered, the county auditor31895
shall impose a penalty of one hundred dollars upon the owner and31896
deposit the amount to the credit of the county real estate31897
assessment fund to be used to pay the costs of administering this31898
section and section 4503.06 of the Revised Code. If unpaid, the31899
penalty shall constitute a lien on the home and shall be added by31900
the county auditor to the manufactured home tax list for31901
collection.31902

       (H)(1) Except as otherwise provided in this division, before 31903
moving a manufactured or mobile home on public roads from one 31904
address within this state to another address within or outside 31905
this state, the owner of the home shall obtain a relocation 31906
notice, as provided by this section, from the auditor of the 31907
county in which the home is located if the home is currently 31908
subject to taxation pursuant to section 4503.06 of the Revised 31909
Code. The auditor shall charge five dollars for the notice, and31910
deposit the amount to the credit of the county real estate 31911
assessment fund to be used to pay the costs of administering this 31912
section and section 4503.06 of the Revised Code. The auditor shall 31913
not issue a relocation notice unless all taxes owed on the home 31914
under section 4503.06 of the Revised Code that were first charged 31915
to the home during the period of ownership of the owner seeking 31916
the relocation notice have been paid. If the home is being moved 31917
by a new owner of the home or by a party taking repossession of 31918
the home, the auditor shall not issue a relocation notice unless 31919
all of the taxes due for the preceding five years and for the 31920
current year have been paid. A relocation notice issued by a 31921
county auditor is valid until the last day of December of the year 31922
in which it was issued.31923

       If the home is being moved by a sheriff, police officer,31924
constable, bailiff, or manufactured home park operator, as defined31925
in section 3733.01 of the Revised Code, or any agent of any of31926
these persons, for purposes of removal from a manufactured home31927
park and storage, sale, or destruction under section 1923.14 of31928
the Revised Code, the auditor shall issue a relocation notice31929
without requiring payment of any taxes owed on the home under31930
section 4503.06 of the Revised Code.31931

       (2) If a manufactured or mobile home is not yet subject to31932
taxation under section 4503.06 of the Revised Code, the owner of31933
the home shall obtain a relocation notice from the dealer of the31934
home. Within thirty days after the manufactured or mobile home is31935
purchased, the dealer of the home shall provide the auditor of the31936
county in which the home is to be located written notice of the31937
name of the purchaser of the home, the registration number or31938
vehicle identification number of the home, and the address or31939
location to which the home is to be moved. The county auditor31940
shall provide to each manufactured and mobile home dealer, without31941
charge, a supply of relocation notices to be distributed to31942
purchasers pursuant to this section.31943

       (3) The notice shall be in the form of a one-foot square31944
yellow sign with the words "manufactured home relocation notice"31945
printed prominently on it. The name of the owner of the home, the31946
home's registration number or vehicle identification number, the31947
county and the address or location to which the home is being31948
moved, and the county in which the notice is issued shall also be31949
entered on the notice.31950

       (4) The relocation notice must be attached to the rear of the 31951
home when the home is being moved on a public road. Except as31952
provided in divisions (H)(1) and (5) of this section, no person 31953
shall drive a motor vehicle moving a manufactured or mobile home 31954
on a public road from one address to another address within this 31955
state unless a relocation notice is attached to the rear of the 31956
home.31957

       (5) If the county auditor determines that a manufactured or31958
mobile home has been moved without a relocation notice as required31959
under this division, the auditor shall impose a penalty of one31960
hundred dollars upon the owner of the home and upon the person who31961
moved the home and deposit the amount to the credit of the county31962
real estate assessment fund to pay the costs of administering this31963
section and section 4503.06 of the Revised Code. If the home was31964
relocated from one county in this state to another county in this31965
state and the county auditor of the county to which the home was31966
relocated imposes the penalty, that county auditor, upon31967
collection of the penalty, shall cause an amount equal to the 31968
penalty to be transmitted from the county real estate assessment 31969
fund to the county auditor of the county from which the home was 31970
relocated, who shall deposit the amount to the credit of the 31971
county real estate assessment fund. If the penalty on the owner is 31972
unpaid, the penalty shall constitute a lien on the home and the 31973
auditor shall add the penalty to the manufactured home tax list 31974
for collection. If the county auditor determines that a dealer 31975
that has sold a manufactured or mobile home has failed to timely31976
provide the information required under this division, the auditor31977
shall impose a penalty upon the dealer in the amount of one31978
hundred dollars. The penalty shall be credited to the county real31979
estate assessment fund and used to pay the costs of administering31980
this section and section 4503.06 of the Revised Code.31981

       (I) Whoever violates division (H)(4) of this section is31982
guilty of a minor misdemeanor.31983

       Sec. 4503.064.  As used in sections 4503.064 to 4503.069 of31984
the Revised Code:31985

       (A) "Sixty-five years of age or older" means a person who31986
will be age sixty-five or older in the calendar year following the 31987
year of application for reduction in the assessable value of the 31988
person's manufactured or mobile home.31989

       (B) "Total income" means the adjusted gross income of the31990
owner and the owner's spouse for the year preceding the year in 31991
which application for a reduction in taxes is made, as determined 31992
under the "Internal Revenue Code of 1986," 100 Stat. 2085, 26 31993
U.S.C.A. 1, as amended, adjusted as follows:31994

       (1) Subtract the amount of disability benefits included in31995
adjusted gross income but not to exceed five thousand two hundred31996
dollars;31997

       (2) Add old age and survivors benefits received pursuant to 31998
the "Social Security Act" that are not included in adjusted gross 31999
income;32000

       (3) Add retirement, pension, annuity, or other retirement32001
payments or benefits not included in adjusted gross income;32002

       (4) Add tier I and II railroad retirement benefits received 32003
pursuant to the "Railroad Retirement Act," 50 Stat. 307, 45 U.S.C. 32004
228;32005

       (5) Add interest on federal, state, and local government32006
obligations;32007

       (6) For a person who received the homestead exemption for a 32008
prior year on the basis of being permanently and totally disabled 32009
and whose current application for the exemption is made on the 32010
basis of age, subtract the following amount:32011

       (a) If the person received disability benefits that were not32012
included in adjusted gross income in the year preceding the first 32013
year in which the person applied for the exemption on the basis of 32014
age, subtract an amount equal to the disability benefits the 32015
person received in that preceding year, to the extent included in 32016
total income in the current year and not subtracted under division32017
(B)(1) of this section in the current year;32018

       (b) If the person received disability benefits that were 32019
included in adjusted gross income in the year preceding the first 32020
year in which the person applied for the exemption on the basis of 32021
age, subtract an amount equal to the amount of disability benefits 32022
that were subtracted pursuant to division (B)(1) of this section 32023
in that preceding year, to the extent included in total income in 32024
the current year and not subtracted under division (B)(1) of this32025
section in the current year.32026

       Disability benefits that are paid by the department of 32027
veterans affairs or a branch of the armed forces of the United 32028
States on account of an injury or disability shall not be included 32029
in total income.32030

       (C) "Old age and survivors benefits received pursuant to the 32031
'Social Security Act'" or "tier I railroad retirement benefits 32032
received pursuant to the 'Railroad Retirement Act'" means:32033

       (1) The old age benefits payable under the social security or 32034
railroad retirement laws in effect on the last day of the calendar 32035
year preceding the year in which the applicant's application for 32036
reduction is first successfully made, or, if no such benefits are 32037
payable that year, old age benefits payable the first succeeding 32038
year in which old age benefits under the social security or 32039
railroad retirement laws are payable, except in those cases where 32040
a change in social security or railroad retirement benefits 32041
results in a reduction in income.32042

       (2) The lesser of:32043

       (a) Survivors benefits payable under the social security or 32044
railroad retirement laws in effect on the last day of the calendar 32045
year preceding the year in which the applicant's application for 32046
reduction is first successfully made, or, if no such benefits are 32047
payable that year, survivors benefits payable the first succeeding 32048
year in which survivors benefits are payable; or32049

       (b) Old age benefits of the deceased spouse, as determined32050
under division (C)(1) of this section, upon which the surviving32051
spouse's survivors benefits are based under the social security or 32052
railroad retirement laws, except in those cases where a change in 32053
benefits would cause a reduction in income.32054

       Survivors benefits are those described in division (C)(2)(b) 32055
of this section only if the deceased spouse received old age 32056
benefits in the year in which the deceased died. If the deceased 32057
spouse did not receive old age benefits in the year in which the 32058
deceased died, then survivors benefits are those described in 32059
division (C)(2)(a) of this section.32060

       (D) "Permanently and totally disabled" means a person who, on 32061
the first day of January of the year of application, including32062
late application, for reduction in the assessable value of a32063
manufactured or mobile home, has some impairment in body or mind 32064
that makes the person unable to work at any substantially 32065
remunerative employment which the person is reasonably able to 32066
perform and which will, with reasonable probability, continue for 32067
an indefinite period of at least twelve months without any present 32068
indication of recovery therefrom or has been certified as 32069
permanently and totally disabled by a state or federal agency 32070
having the function of so classifying persons.32071

       (E)(C) "Homestead exemption" means the reduction in taxes32072
allowed under division (A) of section 323.152 of the Revised Code32073
for the year in which an application is filed under section32074
4503.066 of the Revised Code.32075

       (F)(D) "Manufactured home" has the meaning given in division32076
(C)(4) of section 3781.06 of the Revised Code, and includes a32077
structure consisting of two manufactured homes that were purchased 32078
either together or separately and are combined to form a single 32079
dwelling, but does not include a manufactured home that is taxed 32080
as real property pursuant to division (B) of section 4503.06 of 32081
the Revised Code.32082

       (G)(E) "Mobile home" has the meaning given in division (O) of 32083
section 4501.01 of the Revised Code and includes a structure32084
consisting of two mobile homes that were purchased together or32085
separately and combined to form a single dwelling, but does not 32086
include a mobile home that is taxed as real property pursuant to 32087
division (B) of section 4503.06 of the Revised Code.32088

       (H)(F) "Late application" means an application filed with an32089
original application under division (A)(3) of section 4503.066 of32090
the Revised Code.32091

       Sec. 4503.065.  (A) This section applies to any of the32092
following:32093

       (1) An individual who is permanently and totally disabled;32094

       (2) An individual who is sixty-five years of age or older;32095

       (3) An individual who is the surviving spouse of a deceased32096
person who was permanently and totally disabled or sixty-five32097
years of age or older and who applied and qualified for a32098
reduction in assessable value under this section in the year of32099
death, provided the surviving spouse is at least fifty-nine but32100
not sixty-five or more years of age on the date the deceased32101
spouse dies.32102

       (B)(1) The manufactured home tax on a manufactured or mobile32103
home that is paid pursuant to division (C) of section 4503.06 of32104
the Revised Code and that is owned and occupied as a home by an32105
individual whose domicile is in this state and to whom this32106
section applies, shall be reduced for any tax year for which the32107
owner obtains a certificate of reduction from the county auditor32108
under section 4503.067 of the Revised Code, provided the32109
individual did not acquire ownership from a person, other than the32110
individual's spouse, related by consanguinity or affinity for the32111
purpose of qualifying for the reduction in assessable value. An32112
owner includes a settlor of a revocable inter vivos trust holding32113
the title to a manufactured or mobile home occupied by the settlor32114
as of right under the trust. The reduction shall equal the amount32115
obtained by multiplying the tax rate for the tax year for which32116
the certificate is issued by the reduction in assessable value32117
shown in the following schedule.32118

Reduce Assessable Value 32119
Total Income by the Lesser of: 32120
Column A Column B 32121

$11,900 or less $5,000 or seventy-five per cent 32122
More than $11,900 but not more than $17,500 $3,000 or sixty per cent 32123
More than $17,500 but not more than $23,000 $1,000 or twenty-five per cent 32124
More than $23,000 -0- 32125

       (2) Each calendar year, the tax commissioner shall adjust the 32126
foregoing schedule by completing the following calculations in 32127
September of each year:32128

       (a) Determine the percentage increase in the gross domestic32129
product deflator determined by the bureau of economic analysis of32130
the United States department of commerce from the first day of 32131
January of the preceding calendar year to the last day of December 32132
of the preceding calendar year;32133

       (b) Multiply that percentage increase by each of the total32134
income amounts, and by each dollar amount by which assessable32135
value is reduced, for the ensuing tax year;32136

       (c) Add the resulting product to each of the total income32137
amounts, and to each of the dollar amounts by which assessable32138
value is reduced, for the ensuing tax year;32139

       (d)(i) Except as provided in division (B)(2)(d)(ii) of this 32140
section, round the resulting sum to the nearest multiple of one32141
hundred dollars;32142

       (ii) If rounding the resulting sum to the nearest multiple of 32143
one hundred dollars under division (B)(2)(d)(i) of this section 32144
does not increase the dollar amounts by which assessable value is 32145
reduced, the resulting sum instead shall be rounded to the nearest 32146
multiple of ten dollars.32147

       The commissioner shall certify the amounts resulting from the32148
adjustment to each county auditor not later than the first day of32149
December each year. The certified amounts apply to the second32150
ensuing tax year. The commissioner shall not make the adjustment32151
in any calendar year in which the amounts resulting from the32152
adjustment would be less than the total income amounts, or less32153
than the dollar amounts by which assessable value is reduced, for32154
the ensuing tax yeargreater of the reduction granted for tax year 32155
2006, if the taxpayer received a reduction for tax year 2006, or 32156
the product of the following:32157

       (1) Twenty-five thousand dollars of the true value of the 32158
property in money;32159

        (2) The assessment percentage established by the tax 32160
commissioner under division (B) of section 5715.01 of the Revised 32161
Code, not to exceed thirty-five per cent;32162

        (3) The effective tax rate on residential/agricultural real 32163
property, where "effective tax rate" is defined as in division 32164
(B)(3) of section 319.301 of the Revised Code, and where 32165
"residential/agricultural real property" is defined as in section 32166
5713.041 of the Revised Code.32167

       (C) If the owner or the spouse of the owner of a manufactured 32168
or mobile home is eligible for a homestead exemption on the land 32169
upon which the home is located, the reduction in assessable value32170
to which the owner or spouse is entitled under this section shall 32171
not exceed the difference between the reduction in assessable 32172
value to which the owner or spouse is entitled under column A of 32173
the above scheduledivision (B) of this section and the amount of 32174
the reduction in taxable value that was used to computeunder the32175
homestead exemption.32176

       (D) No reduction shall be made on the assessable value of32177
with respect to the home of any person convicted of violating 32178
division (C) or (D) of section 4503.066 of the Revised Code for a 32179
period of three years following the conviction.32180

       Sec. 4503.066.  (A)(1) To obtain a tax reduction in the32181
assessable value of a manufactured or mobile home under section32182
4503.065 of the Revised Code, the owner of the home shall file an32183
application with the county auditor of the county in which the32184
home is located. An application for reduction in assessable value32185
taxes based upon a physical disability shall be accompanied by a32186
certificate signed by a physician, and an application for32187
reduction in assessable valuetaxes based upon a mental disability 32188
shall be accompanied by a certificate signed by a physician or32189
psychologist licensed to practice in this state. The certificate32190
shall attest to the fact that the applicant is permanently and32191
totally disabled, shall be in a form that the department of32192
taxation requires, and shall include the definition of totally and32193
permanently disabled as set forth in section 4503.064 of the32194
Revised Code. An application for reduction in assessable value32195
taxes based upon a disability certified as permanent and total by 32196
a state or federal agency having the function of so classifying32197
persons shall be accompanied by a certificate from that agency.32198

       (2) Each application shall constitute a continuing32199
application for a reduction in assessable valuetaxes for each 32200
year in which the manufactured or mobile home is occupied by the 32201
applicant and in which the amount of the reduction in assessable 32202
value does not exceed either the amount or per cent of the32203
reduction for the year in which the application was first filed. 32204
Failure to receive a new application or notification under 32205
division (B) of this section after a certificate of reduction has 32206
been issued under section 4503.067 of the Revised Code is 32207
prima-facie evidence that the original applicant is entitled to 32208
the reduction in assessable value calculated on the basis of the 32209
information contained in the original application. The original 32210
application and any subsequent application shall be in the form of 32211
a signed statement and shall be filed not later than the first 32212
Monday in June. The statement shall be on a form, devised and 32213
supplied by the tax commissioner, that shall require no more 32214
information than is necessary to establish the applicant's 32215
eligibility for the reduction in assessable valuetaxes and the 32216
amount of the reduction to which the applicant is entitled. The 32217
form shall contain a statement that signing such application 32218
constitutes a delegation of authority by the applicant to the 32219
county auditor to examine any financial records that relate to 32220
income earned by the applicant as stated on the application for 32221
the purpose of determining eligibility under, or possible 32222
violation of, division (C) or (D) of this section. The form also 32223
shall contain a statement that conviction of willfully falsifying 32224
information to obtain a reduction in assessable valuetaxes or 32225
failing to comply with division (B) of this section shall result 32226
in the revocation of the right to the reduction for a period of 32227
three years.32228

       (3) A late application for a reduction in assessable value32229
taxes for the year preceding the year for which an original 32230
application is filed may be filed with an original application. If 32231
the auditor determines that the information contained in the late32232
application is correct, the auditor shall determine both the32233
amount of the reduction in assessable valuetaxes to which the 32234
applicant would have been entitled for the current tax year had 32235
the application been timely filed and approved in the preceding 32236
year, and the amount the taxes levied under section 4503.06 of the32237
Revised Code for the current year would have been reduced as a32238
result of the reduction in assessable value. When an applicant is32239
permanently and totally disabled on the first day of January of32240
the year in which the applicant files a late application, the32241
auditor, in making the determination of the amounts of the32242
reduction in assessable value and taxes under division (A)(3) of32243
this section, is not required to determine that the applicant was32244
permanently and totally disabled on the first day of January of32245
the preceding year.32246

       The amount of the reduction in taxes pursuant to a late32247
application shall be treated as an overpayment of taxes by the32248
applicant. The auditor shall credit the amount of the overpayment32249
against the amount of the taxes or penalties then due from the32250
applicant, and, at the next succeeding settlement, the amount of32251
the credit shall be deducted from the amount of any taxes or32252
penalties distributable to the county or any taxing unit in the32253
county that has received the benefit of the taxes or penalties32254
previously overpaid, in proportion to the benefits previously32255
received. If, after the credit has been made, there remains a32256
balance of the overpayment, or if there are no taxes or penalties32257
due from the applicant, the auditor shall refund that balance to32258
the applicant by a warrant drawn on the county treasurer in favor32259
of the applicant. The treasurer shall pay the warrant from the32260
general fund of the county. If there is insufficient money in the32261
general fund to make the payment, the treasurer shall pay the32262
warrant out of any undivided manufactured or mobile home taxes32263
subsequently received by the treasurer for distribution to the32264
county or taxing district in the county that received the benefit32265
of the overpaid taxes, in proportion to the benefits previously32266
received, and the amount paid from the undivided funds shall be32267
deducted from the money otherwise distributable to the county or32268
taxing district in the county at the next or any succeeding32269
distribution. At the next or any succeeding distribution after32270
making the refund, the treasurer shall reimburse the general fund32271
for any payment made from that fund by deducting the amount of32272
that payment from the money distributable to the county or other32273
taxing unit in the county that has received the benefit of the32274
taxes, in proportion to the benefits previously received. On the32275
second Monday in September of each year, the county auditor shall32276
certify the total amount of the reductions in taxes made in the32277
current year under division (A)(3) of this section to the tax32278
commissioner who shall treat that amount as a reduction in taxes32279
for the current tax year and shall make reimbursement to the32280
county of that amount in the manner prescribed in section 4503.06832281
of the Revised Code, from moneys appropriated for that purpose.32282

       (B) If in any year after an application has been filed under32283
division (A) of this section the owner no longer qualifies for the32284
reduction in assessable valuetaxes for which the owner was issued 32285
a certificate or qualifies for a reduction that is less than 32286
either the per cent or amount of the reduction to which the owner32287
was entitled in the year the application was filed, the owner 32288
shall notify the county auditor that the owner is not qualified 32289
for a reduction in the assessable value of the home or file a new32290
application under division (A) of this sectiontaxes.32291

       During January of each year, the county auditor shall furnish32292
each person issued a certificate of reduction in value, by32293
ordinary mail, a form on which to report any changes in total32294
income that would have the effect of increasing or decreasing the32295
reduction to which the person is entitled, changes in ownership of32296
the home, including changes in or revocation of a revocable inter32297
vivos trust, changes in disability, and other changes in the32298
information earlier furnished the auditor relative to the32299
application. The form shall be completed and returned to the32300
auditor not later than the first Monday in June if the changes32301
would affect the level of reduction in assessable value.32302

       (C) No person shall knowingly make a false statement for the32303
purpose of obtaining a reduction in assessable valuetaxes under32304
section 4503.065 of the Revised Code.32305

       (D) No person shall knowingly fail to notify the county32306
auditor of any change required by division (B) of this section32307
that has the effect of maintaining or securing a reduction in32308
assessable value of the home in excess of the reduction allowed32309
taxes under section 4503.065 of the Revised Code.32310

       (E) No person shall knowingly make a false statement or32311
certification attesting to any person's physical or mental32312
condition for purposes of qualifying such person for tax relief32313
pursuant to sections 4503.064 to 4503.069 of the Revised Code.32314

       (F) Whoever violates division (C), (D), or (E) of this32315
section is guilty of a misdemeanor of the fourth degree.32316

       Sec. 4503.067.  (A) At the same time the tax bill for the 32317
first half of the tax year is issued, the county auditor shall 32318
issue a certificate of reduction in assessable value oftaxes for32319
a manufactured or mobile home in triplicate for each person who 32320
has complied with section 4503.066 of the Revised Code and been 32321
found by the auditor to be entitled to a reduction of assessable 32322
valuein taxes for the succeeding tax year. The certificate shall 32323
set forth the assessable value of the home calculated under 32324
section 4503.06 of the Revised Code and the amount of the 32325
reduction in assessable value of the hometaxes calculated under 32326
section 4503.065 of the Revised Code. Upon issuance of the 32327
certificate, the auditor shall reduce the assessable value of32328
manufactured home tax levied on the home for the succeeding tax32329
year by the required amount and forward the original and one copy 32330
of the certificate to the county treasurer. The auditor shall 32331
retain one copy of the certificate. The treasurer shall retain the 32332
original certificate and forward the remaining copy to the32333
recipient with the tax bill delivered pursuant to division (D)(6) 32334
of section 4503.06 of the Revised Code.32335

       (B) If the application or a continuing application is not32336
approved, the auditor shall notify the applicant of the reasons32337
for denial no later than the first Monday in October. If a person 32338
believes that the person's application for reduction in assessable 32339
value of a hometaxes has been improperly denied or is for less 32340
than that to which the person is entitled, the person may file an 32341
appeal with the county board of revision no later than the 32342
thirty-first day of January of the following calendar year. The 32343
appeal shall be treated in the same manner as a complaint relating 32344
to the valuation or assessment of real property under Chapter 32345
5715. of the Revised Code.32346

       Sec. 4503.10.  (A) The owner of every snowmobile, off-highway 32347
motorcycle, and all-purpose vehicle required to be registered 32348
under section 4519.02 of the Revised Code shall file an32349
application for registration under section 4519.03 of the Revised32350
Code. The owner of a motor vehicle, other than a snowmobile,32351
off-highway motorcycle, or all-purpose vehicle, that is not32352
designed and constructed by the manufacturer for operation on a32353
street or highway may not register it under this chapter except32354
upon certification of inspection pursuant to section 4513.02 of32355
the Revised Code by the sheriff, or the chief of police of the32356
municipal corporation or township, with jurisdiction over the32357
political subdivision in which the owner of the motor vehicle32358
resides. Except as provided in section 4503.103 of the Revised32359
Code, every owner of every other motor vehicle not previously32360
described in this section and every person mentioned as owner in32361
the last certificate of title of a motor vehicle that is operated32362
or driven upon the public roads or highways shall cause to be32363
filed each year, by mail or otherwise, in the office of the32364
registrar of motor vehicles or a deputy registrar, a written or32365
electronic application or a preprinted registration renewal notice32366
issued under section 4503.102 of the Revised Code, the form of32367
which shall be prescribed by the registrar, for registration for32368
the following registration year, which shall begin on the first32369
day of January of every calendar year and end on the thirty-first32370
day of December in the same year. Applications for registration32371
and registration renewal notices shall be filed at the times32372
established by the registrar pursuant to section 4503.101 of the32373
Revised Code. A motor vehicle owner also may elect to apply for or 32374
renew a motor vehicle registration by electronic means using32375
electronic signature in accordance with rules adopted by the32376
registrar. Except as provided in division (J) of this section,32377
applications for registration shall be made on blanks furnished by32378
the registrar for that purpose, containing the following32379
information:32380

       (1) A brief description of the motor vehicle to be32381
registered, including the year, make, model, and vehicle 32382
identification number, and, in the case of commercial cars, the 32383
gross weight of the vehicle fully equipped computed in the manner 32384
prescribed in section 4503.08 of the Revised Code;32385

       (2) The name and residence address of the owner, and the32386
township and municipal corporation in which the owner resides;32387

       (3) The district of registration, which shall be determined32388
as follows:32389

       (a) In case the motor vehicle to be registered is used for32390
hire or principally in connection with any established business or32391
branch business, conducted at a particular place, the district of32392
registration is the municipal corporation in which that place is32393
located or, if not located in any municipal corporation, the32394
county and township in which that place is located.32395

       (b) In case the vehicle is not so used, the district of32396
registration is the municipal corporation or county in which the32397
owner resides at the time of making the application.32398

       (4) Whether the motor vehicle is a new or used motor vehicle;32399

       (5) The date of purchase of the motor vehicle;32400

       (6) Whether the fees required to be paid for the registration 32401
or transfer of the motor vehicle, during the preceding 32402
registration year and during the preceding period of the current 32403
registration year, have been paid. Each application for32404
registration shall be signed by the owner, either manually or by32405
electronic signature, or pursuant to obtaining a limited power of32406
attorney authorized by the registrar for registration, or other32407
document authorizing such signature. If the owner elects to apply32408
for or renew the motor vehicle registration with the registrar by32409
electronic means, the owner's manual signature is not required.32410

       (7) The owner's social security number, if assigned, or,32411
where a motor vehicle to be registered is used for hire or32412
principally in connection with any established business, the32413
owner's federal taxpayer identification number. The bureau of32414
motor vehicles shall retain in its records all social security32415
numbers provided under this section, but the bureau shall not32416
place social security numbers on motor vehicle certificates of32417
registration.32418

       (B) Except as otherwise provided in this division, each time 32419
an applicant first registers a motor vehicle in the applicant's 32420
name, the applicant shall present for inspection a physical32421
certificate of title or memorandum certificate showing title to32422
the motor vehicle to be registered in the name of the applicant if 32423
a physical certificate of title or memorandum certificate has been 32424
issued by a clerk of a court of common pleas. If, under sections 32425
4505.021, 4505.06, and 4505.08 of the Revised Code, a clerk 32426
instead has issued an electronic certificate of title for the 32427
applicant's motor vehicle, that certificate may be presented for 32428
inspection at the time of first registration in a manner 32429
prescribed by rules adopted by the registrar. An applicant is not 32430
required to present a certificate of title to an electronic motor 32431
vehicle dealer acting as a limited authority deputy registrar in 32432
accordance with rules adopted by the registrar. When a motor 32433
vehicle inspection and maintenance program is in effect under 32434
section 3704.14 of the Revised Code and rules adopted under it, 32435
each application for registration for a vehicle required to be 32436
inspected under that section and those rules shall be accompanied 32437
by an inspection certificate for the motor vehicle issued in 32438
accordance with that section. The application shall be refused if 32439
any of the following applies:32440

       (1) The application is not in proper form.32441

       (2) The application is prohibited from being accepted by32442
division (D) of section 2935.27, division (A) of section 2937.221,32443
division (A) of section 4503.13, division (B) of section 4510.22,32444
or division (B)(1) of section 4521.10 of the Revised Code.32445

       (3) A certificate of title or memorandum certificate of title 32446
is required but does not accompany the application or, in the case 32447
of an electronic certificate of title, is required but is not 32448
presented in a manner prescribed by the registrar's rules.32449

       (4) All registration and transfer fees for the motor vehicle, 32450
for the preceding year or the preceding period of the current 32451
registration year, have not been paid.32452

       (5) The owner or lessee does not have an inspection32453
certificate for the motor vehicle as provided in section 3704.1432454
of the Revised Code, and rules adopted under it, if that section32455
is applicable.32456

       This section does not require the payment of license or32457
registration taxes on a motor vehicle for any preceding year, or32458
for any preceding period of a year, if the motor vehicle was not32459
taxable for that preceding year or period under sections 4503.02,32460
4503.04, 4503.11, 4503.12, and 4503.16 or Chapter 4504. of the32461
Revised Code. When a certificate of registration is issued upon32462
the first registration of a motor vehicle by or on behalf of the32463
owner, the official issuing the certificate shall indicate the32464
issuance with a stamp on the certificate of title or memorandum32465
certificate or, in the case of an electronic certificate of title,32466
an electronic stamp or other notation as specified in rules32467
adopted by the registrar, and with a stamp on the inspection32468
certificate for the motor vehicle, if any. The official also shall 32469
indicate, by a stamp or by other means the registrar prescribes, 32470
on the registration certificate issued upon the first registration 32471
of a motor vehicle by or on behalf of the owner the odometer 32472
reading of the motor vehicle as shown in the odometer statement 32473
included in or attached to the certificate of title. Upon each 32474
subsequent registration of the motor vehicle by or on behalf of 32475
the same owner, the official also shall so indicate the odometer 32476
reading of the motor vehicle as shown on the immediately preceding32477
certificate of registration.32478

       The registrar shall include in the permanent registration32479
record of any vehicle required to be inspected under section32480
3704.14 of the Revised Code the inspection certificate number from32481
the inspection certificate that is presented at the time of32482
registration of the vehicle as required under this division.32483

       (C)(1) Commencing with each registration renewal with an 32484
expiration date on or after October 1, 2003, and for each initial 32485
application for registration received on and after that date, the 32486
registrar and each deputy registrar shall collect an additional 32487
fee of eleven dollars for each application for registration and 32488
registration renewal received. The additional fee is for the 32489
purpose of defraying the department of public safety's costs 32490
associated with the administration and enforcement of the motor 32491
vehicle and traffic laws of Ohio. Each deputy registrar shall 32492
transmit the fees collected under division (C)(1) of this section 32493
in the time and manner provided in this section. The registrar 32494
shall deposit all moneys received under division (C)(1) of this 32495
section into the state highway safety fund established in section 32496
4501.06 of the Revised Code.32497

       (2) In addition, a charge of twenty-five cents shall be made32498
for each reflectorized safety license plate issued, and a single32499
charge of twenty-five cents shall be made for each county32500
identification sticker or each set of county identification32501
stickers issued, as the case may be, to cover the cost of32502
producing the license plates and stickers, including material,32503
manufacturing, and administrative costs. Those fees shall be in32504
addition to the license tax. If the total cost of producing the32505
plates is less than twenty-five cents per plate, or if the total32506
cost of producing the stickers is less than twenty-five cents per32507
sticker or per set issued, any excess moneys accruing from the32508
fees shall be distributed in the same manner as provided by32509
section 4501.04 of the Revised Code for the distribution of32510
license tax moneys. If the total cost of producing the plates32511
exceeds twenty-five cents per plate, or if the total cost of32512
producing the stickers exceeds twenty-five cents per sticker or32513
per set issued, the difference shall be paid from the license tax32514
moneys collected pursuant to section 4503.02 of the Revised Code.32515

       (D) Each deputy registrar shall be allowed a fee of two32516
dollars and seventy-five cents commencing on July 1, 2001, three32517
dollars and twenty-five cents commencing on January 1, 2003, and32518
three dollars and fifty cents commencing on January 1, 2004, for32519
each application for registration and registration renewal notice32520
the deputy registrar receives, which shall be for the purpose of32521
compensating the deputy registrar for the deputy registrar's32522
services, and such office and rental expenses, as may be necessary32523
for the proper discharge of the deputy registrar's duties in the32524
receiving of applications and renewal notices and the issuing of32525
registrations.32526

       (E) Upon the certification of the registrar, the county32527
sheriff or local police officials shall recover license plates32528
erroneously or fraudulently issued.32529

       (F) Each deputy registrar, upon receipt of any application32530
for registration or registration renewal notice, together with the32531
license fee and any local motor vehicle license tax levied32532
pursuant to Chapter 4504. of the Revised Code, shall transmit that32533
fee and tax, if any, in the manner provided in this section,32534
together with the original and duplicate copy of the application,32535
to the registrar. The registrar, subject to the approval of the32536
director of public safety, may deposit the funds collected by32537
those deputies in a local bank or depository to the credit of the32538
"state of Ohio, bureau of motor vehicles." Where a local bank or32539
depository has been designated by the registrar, each deputy32540
registrar shall deposit all moneys collected by the deputy32541
registrar into that bank or depository not more than one business32542
day after their collection and shall make reports to the registrar32543
of the amounts so deposited, together with any other information,32544
some of which may be prescribed by the treasurer of state, as the32545
registrar may require and as prescribed by the registrar by rule.32546
The registrar, within three days after receipt of notification of32547
the deposit of funds by a deputy registrar in a local bank or32548
depository, shall draw on that account in favor of the treasurer32549
of state. The registrar, subject to the approval of the director32550
and the treasurer of state, may make reasonable rules necessary32551
for the prompt transmittal of fees and for safeguarding the32552
interests of the state and of counties, townships, municipal32553
corporations, and transportation improvement districts levying32554
local motor vehicle license taxes. The registrar may pay service32555
charges usually collected by banks and depositories for such32556
service. If deputy registrars are located in communities where32557
banking facilities are not available, they shall transmit the fees32558
forthwith, by money order or otherwise, as the registrar, by rule32559
approved by the director and the treasurer of state, may32560
prescribe. The registrar may pay the usual and customary fees for32561
such service.32562

       (G) This section does not prevent any person from making an32563
application for a motor vehicle license directly to the registrar32564
by mail, by electronic means, or in person at any of the32565
registrar's offices, upon payment of a service fee of two dollars32566
and seventy-five cents commencing on July 1, 2001, three dollars32567
and twenty-five cents commencing on January 1, 2003, and three32568
dollars and fifty cents commencing on January 1, 2004, for each32569
application.32570

       (H) No person shall make a false statement as to the district 32571
of registration in an application required by division (A) of this 32572
section. Violation of this division is falsification under section 32573
2921.13 of the Revised Code and punishable as specified in that 32574
section.32575

       (I)(1) Where applicable, the requirements of division (B) of32576
this section relating to the presentation of an inspection32577
certificate issued under section 3704.14 of the Revised Code and32578
rules adopted under it for a motor vehicle, the refusal of a32579
license for failure to present an inspection certificate, and the32580
stamping of the inspection certificate by the official issuing the32581
certificate of registration apply to the registration of and32582
issuance of license plates for a motor vehicle under sections32583
4503.102, 4503.12, 4503.14, 4503.15, 4503.16, 4503.171, 4503.172,32584
4503.19, 4503.40, 4503.41, 4503.42, 4503.43, 4503.44, 4503.46,32585
4503.47, and 4503.51 of the Revised Code.32586

       (2)(a) The registrar shall adopt rules ensuring that each32587
owner registering a motor vehicle in a county where a motor32588
vehicle inspection and maintenance program is in effect under32589
section 3704.14 of the Revised Code and rules adopted under it32590
receives information about the requirements established in that32591
section and those rules and about the need in those counties to32592
present an inspection certificate with an application for32593
registration or preregistration.32594

       (b) Upon request, the registrar shall provide the director of 32595
environmental protection, or any person that has been awarded a32596
contract under division (D) of section 3704.14 of the Revised32597
Code, an on-line computer data link to registration information32598
for all passenger cars, noncommercial motor vehicles, and32599
commercial cars that are subject to that section. The registrar32600
also shall provide to the director of environmental protection a32601
magnetic data tape containing registration information regarding32602
passenger cars, noncommercial motor vehicles, and commercial cars32603
for which a multi-year registration is in effect under section32604
4503.103 of the Revised Code or rules adopted under it, including,32605
without limitation, the date of issuance of the multi-year32606
registration, the registration deadline established under rules32607
adopted under section 4503.101 of the Revised Code that was32608
applicable in the year in which the multi-year registration was32609
issued, and the registration deadline for renewal of the32610
multi-year registration.32611

       (J) Application for registration under the international32612
registration plan, as set forth in sections 4503.60 to 4503.66 of32613
the Revised Code, shall be made to the registrar on forms32614
furnished by the registrar. In accordance with international32615
registration plan guidelines and pursuant to rules adopted by the32616
registrar, the forms shall include the following:32617

       (1) A uniform mileage schedule;32618

       (2) The gross vehicle weight of the vehicle or combined gross 32619
vehicle weight of the combination vehicle as declared by the32620
registrant;32621

       (3) Any other information the registrar requires by rule.32622

       Sec. 4503.102.  (A) The registrar of motor vehicles shall32623
adopt rules to establish a centralized system of motor vehicle32624
registration renewal by mail or by electronic means. Any person32625
owning a motor vehicle that was registered in the person's name32626
during the preceding registration year shall renew the32627
registration of the motor vehicle not more than ninety days prior32628
to the expiration date of the registration either by mail or by32629
electronic means through the centralized system of registration32630
established under this section, or in person at any office of the32631
registrar or at a deputy registrar's office.32632

       (B)(1) No less than forty-five days prior to the expiration32633
date of any motor vehicle registration, the registrar shall mail a32634
renewal notice to the person in whose name the motor vehicle is32635
registered. The renewal notice shall clearly state that the32636
registration of the motor vehicle may be renewed by mail or32637
electronic means through the centralized system of registration or32638
in person at any office of the registrar or at a deputy32639
registrar's office and shall be preprinted with information32640
including, but not limited to, the owner's name and residence32641
address as shown in the records of the bureau of motor vehicles, a32642
brief description of the motor vehicle to be registered, notice of32643
the license taxes and fees due on the motor vehicle, the toll-free32644
telephone number of the registrar as required under division32645
(D)(1) of section 4503.031 of the Revised Code, and any additional32646
information the registrar may require by rule. The renewal notice32647
shall be sent by regular mail to the owner's last known address as32648
shown in the records of the bureau of motor vehicles.32649

       (2) If the application for renewal of the registration of a32650
motor vehicle is prohibited from being accepted by the registrar32651
or a deputy registrar by division (D) of section 2935.27, division32652
(A) of section 2937.221, division (A) of section 4503.13, division32653
(B) of section 4510.22, or division (B)(1) of section 4521.10 of32654
the Revised Code, the registrar is not required to send a renewal32655
notice to the vehicle owner or vehicle lessee.32656

       (C) The owner of the motor vehicle shall verify the32657
information contained in the notice, sign it either manually or by32658
electronic means, and return it, either by mail or electronic32659
means, or the owner may take it in person to any office of the32660
registrar or of a deputy registrar, together with a financial32661
transaction device number, when permitted by rule of the32662
registrar, check, or money order in the amount of the registration32663
taxes and fees payable on the motor vehicle and a mail fee of two32664
dollars and seventy-five cents commencing on July 1, 2001, three32665
dollars and twenty-five cents commencing on January 1, 2003, and32666
three dollars and fifty cents commencing on January 1, 2004, plus32667
postage as indicated on the notice, if the registration is renewed32668
by mail, and an inspection certificate for the motor vehicle as32669
provided in section 3704.14 of the Revised Code. If the motor32670
vehicle owner chooses to renew the motor vehicle registration by32671
electronic means, the owner shall proceed in accordance with the32672
rules the registrar adopts.32673

       (D) If all registration and transfer fees for the motor32674
vehicle for the preceding year or the preceding period of the32675
current registration year have not been paid, if division (D) of32676
section 2935.27, division (A) of section 2937.221, division (A) of32677
section 4503.13, division (B) of section 4510.22, or division32678
(B)(1) of section 4521.10 of the Revised Code prohibits acceptance32679
of the renewal notice, or if the owner or lessee does not have an32680
inspection certificate for the motor vehicle as provided in32681
section 3704.14 of the Revised Code, if that section is32682
applicable, the license shall be refused, and the registrar or32683
deputy registrar shall so notify the owner. This section does not32684
require the payment of license or registration taxes on a motor32685
vehicle for any preceding year, or for any preceding period of a32686
year, if the motor vehicle was not taxable for that preceding year32687
or period under section 4503.02, 4503.04, 4503.11, 4503.12, or32688
4503.16 or Chapter 4504. of the Revised Code.32689

       (E)(1) Failure to receive a renewal notice does not relieve a 32690
motor vehicle owner from the responsibility to renew the32691
registration for the motor vehicle. Any person who has a motor32692
vehicle registered in this state and who does not receive a32693
renewal notice as provided in division (B) of this section prior32694
to the expiration date of the registration shall request an32695
application for registration from the registrar or a deputy32696
registrar and sign the application manually or by electronic means32697
and submit the application and pay any applicable license taxes32698
and fees to the registrar or deputy registrar.32699

       (2) If the owner of a motor vehicle submits an application32700
for registration and the registrar is prohibited by division (D)32701
of section 2935.27, division (A) of section 2937.221, division (A)32702
of section 4503.13, division (B) of section 4510.22, or division32703
(B)(1) of section 4521.10 of the Revised Code from accepting the32704
application, the registrar shall return the application and the32705
payment to the owner. If the owner of a motor vehicle submits a32706
registration renewal application to the registrar by electronic32707
means and the registrar is prohibited from accepting the32708
application as provided in this division, the registrar shall32709
notify the owner of this fact and deny the application and return32710
the payment or give a credit on the financial transaction device32711
account of the owner in the manner the registrar prescribes by32712
rule adopted pursuant to division (A) of this section.32713

       (F) Every deputy registrar shall post in a prominent place at 32714
the deputy's office a notice informing the public of the mail32715
registration system required by this section and also shall post a32716
notice that every owner of a motor vehicle and every chauffeur32717
holding a certificate of registration is required to notify the32718
registrar in writing of any change of residence within ten days32719
after the change occurs. The notice shall be in such form as the32720
registrar prescribes by rule.32721

       (G) The two dollars and seventy-five cents fee collected from 32722
July 1, 2001, through December 31, 2002, the three dollars and 32723
twenty-five cents fee collected from January 1, 2003, through32724
December 31, 2003, and the three dollars and fifty cents fee32725
collected after January 1, 2004, plus postage and any financial32726
transaction device surcharge collected by the registrar for32727
registration by mail, shall be paid to the credit of the state32728
bureau of motor vehicles fund established by section 4501.25 of32729
the Revised Code.32730

       (H)(1) Pursuant to section 113.40 of the Revised Code, the32731
registrar may implement a program permitting payment of motor32732
vehicle registration taxes and fees, driver's license and32733
commercial driver's license fees, and any other taxes, fees,32734
penalties, or charges imposed or levied by the state by means of a32735
financial transaction device. The registrar may adopt rules as32736
necessary for this purpose.32737

       (2) Not later than December 31, 2007, the registrar shall 32738
adopt rules to implement a program permitting payment in person at 32739
the office of a deputy registrar of all motor vehicle registration 32740
taxes and fees, driver's licenses and commercial driver's license 32741
fees, and any other taxes, fees, penalties, or charges imposed or 32742
levied by the state by means of a financial transaction device. A 32743
deputy registrar may choose, but in no case shall be required, to 32744
participate in this program.32745

       (I) For persons who reside in counties where tailpipe32746
emissions inspections are required under the motor vehicle32747
inspection and maintenance program, the notice required by32748
division (B) of this section shall also include the toll-free32749
telephone number maintained by the Ohio environmental protection32750
agency to provide information concerning the locations of32751
emissions testing centers.32752

       Sec. 4503.35. (A) The motor vehicles furnished by the state 32753
for use by the elective state officials, and motor vehicles owned 32754
and operated by political subdivisions of the state, are exempt 32755
from section 4503.23 of the Revised Code.32756

       (B) The motorfollowing vehicles are exempt from section 32757
4503.23 of the Revised Code:32758

       (1) Motor vehicles operated by troopers of the state highway 32759
patrol, and motor;32760

       (2) Motor vehicles operated by or on behalf of any person 32761
whose responsibilities include involvement in authorized civil or 32762
criminal investigations requiring that the presence and identity 32763
of the vehicle occupants be undisclosed, are exempt from section 32764
4503.23 of the Revised Code;32765

       (3) Motor vehicles used to assist crime victims when a state 32766
agency determines that the situation warrants it.32767

       Sec. 4505.06.  (A)(1) Application for a certificate of title 32768
shall be made in a form prescribed by the registrar of motor 32769
vehicles and shall be sworn to before a notary public or other 32770
officer empowered to administer oaths. The application shall be 32771
filed with the clerk of any court of common pleas. An application 32772
for a certificate of title may be filed electronically by any32773
electronic means approved by the registrar in any county with the 32774
clerk of the court of common pleas of that county. Any payments 32775
required by this chapter shall be considered as accompanying any 32776
electronically transmitted application when payment actually is 32777
received by the clerk. Payment of any fee or taxes may be made by 32778
electronic transfer of funds.32779

       (2) The application for a certificate of title shall be 32780
accompanied by the fee prescribed in section 4505.09 of the 32781
Revised Code. The fee shall be retained by the clerk who issues32782
the certificate of title and shall be distributed in accordance32783
with that section. If a clerk of a court of common pleas, other32784
than the clerk of the court of common pleas of an applicant's32785
county of residence, issues a certificate of title to the32786
applicant, the clerk shall transmit data related to the 32787
transaction to the automated title processing system.32788

       (3) If a certificate of title previously has been issued for 32789
a motor vehicle in this state, the application for a certificate 32790
of title also shall be accompanied by that certificate of title 32791
duly assigned, unless otherwise provided in this chapter. If a 32792
certificate of title previously has not been issued for the motor 32793
vehicle in this state, the application, unless otherwise provided 32794
in this chapter, shall be accompanied by a manufacturer's or 32795
importer's certificate or by a certificate of title of another 32796
state from which the motor vehicle was brought into this state. If 32797
the application refers to a motor vehicle last previously 32798
registered in another state, the application also shall be 32799
accompanied by the physical inspection certificate required by 32800
section 4505.061 of the Revised Code. If the application is made 32801
by two persons regarding a motor vehicle in which they wish to 32802
establish joint ownership with right of survivorship, they may do 32803
so as provided in section 2131.12 of the Revised Code. If the 32804
applicant requests a designation of the motor vehicle in 32805
beneficiary form so that upon the death of the owner of the motor 32806
vehicle, ownership of the motor vehicle will pass to a designated 32807
transfer-on-death beneficiary or beneficiaries, the applicant may 32808
do so as provided in section 2131.13 of the Revised Code. A person 32809
who establishes ownership of a motor vehicle that is transferable 32810
on death in accordance with section 2131.13 of the Revised Code 32811
may terminate that type of ownership or change the designation of 32812
the transfer-on-death beneficiary or beneficiaries by applying for 32813
a certificate of title pursuant to this section. The clerk shall32814
retain the evidence of title presented by the applicant and on32815
which the certificate of title is issued, except that, if an 32816
application for a certificate of title is filed electronically by 32817
an electronic motor vehicle dealer on behalf of the purchaser of a 32818
motor vehicle, the clerk shall retain the completed electronic 32819
record to which the dealer converted the certificate of title 32820
application and other required documents. The registrar, after 32821
consultation with the attorney general, shall adopt rules that 32822
govern the location at which, and the manner in which, are stored 32823
the actual application and all other documents relating to the 32824
sale of a motor vehicle when an electronic motor vehicle dealer 32825
files the application for a certificate of title electronically on 32826
behalf of the purchaser.32827

       The clerk shall use reasonable diligence in ascertaining 32828
whether or not the facts in the application for a certificate of 32829
title are true by checking the application and documents 32830
accompanying it or the electronic record to which a dealer32831
converted the application and accompanying documents with the32832
records of motor vehicles in the clerk's office. If the clerk is32833
satisfied that the applicant is the owner of the motor vehicle and 32834
that the application is in the proper form, the clerk, within five 32835
business days after the application is filed and except as 32836
provided in section 4505.021 of the Revised Code, shall issue a32837
physical certificate of title over the clerk's signature and 32838
sealed with the clerk's seal, unless the applicant specifically 32839
requests the clerk not to issue a physical certificate of title32840
and instead to issue an electronic certificate of title. For 32841
purposes of the transfer of a certificate of title, if the clerk 32842
is satisfied that the secured party has duly discharged a lien 32843
notation but has not canceled the lien notation with a clerk, the 32844
clerk may cancel the lien notation on the automated title 32845
processing system and notify the clerk of the county of origin.32846

       (4) In the case of the sale of a motor vehicle to a general32847
buyer or user by a dealer, by a motor vehicle leasing dealer32848
selling the motor vehicle to the lessee or, in a case in which the32849
leasing dealer subleased the motor vehicle, the sublessee, at the 32850
end of the lease agreement or sublease agreement, or by a32851
manufactured home broker, the certificate of title shall be 32852
obtained in the name of the buyer by the dealer, leasing dealer,32853
or manufactured home broker, as the case may be, upon application 32854
signed by the buyer. The certificate of title shall be issued, or 32855
the process of entering the certificate of title application 32856
information into the automated title processing system if a 32857
physical certificate of title is not to be issued shall be 32858
completed, within five business days after the application for 32859
title is filed with the clerk. If the buyer of the motor vehicle 32860
previously leased the motor vehicle and is buying the motor 32861
vehicle at the end of the lease pursuant to that lease, the 32862
certificate of title shall be obtained in the name of the buyer by 32863
the motor vehicle leasing dealer who previously leased the motor 32864
vehicle to the buyer or by the motor vehicle leasing dealer who 32865
subleased the motor vehicle to the buyer under a sublease 32866
agreement.32867

       In all other cases, except as provided in section 4505.032 32868
and division (D)(2) of section 4505.11 of the Revised Code, such 32869
certificates shall be obtained by the buyer.32870

       (5)(a)(i) If the certificate of title is being obtained in32871
the name of the buyer by a motor vehicle dealer or motor vehicle32872
leasing dealer and there is a security interest to be noted on the32873
certificate of title, the dealer or leasing dealer shall submit32874
the application for the certificate of title and payment of the32875
applicable tax to a clerk within seven business days after the32876
later of the delivery of the motor vehicle to the buyer or the32877
date the dealer or leasing dealer obtains the manufacturer's or32878
importer's certificate, or certificate of title issued in the name32879
of the dealer or leasing dealer, for the motor vehicle. Submission32880
of the application for the certificate of title and payment of the32881
applicable tax within the required seven business days may be32882
indicated by postmark or receipt by a clerk within that period.32883

       (ii) Upon receipt of the certificate of title with the32884
security interest noted on its face, the dealer or leasing dealer32885
shall forward the certificate of title to the secured party at the32886
location noted in the financing documents or otherwise specified32887
by the secured party.32888

       (iii) A motor vehicle dealer or motor vehicle leasing dealer32889
is liable to a secured party for a late fee of ten dollars per day32890
for each certificate of title application and payment of the32891
applicable tax that is submitted to a clerk more than seven32892
business days but less than twenty-one days after the later of the32893
delivery of the motor vehicle to the buyer or the date the dealer32894
or leasing dealer obtains the manufacturer's or importer's32895
certificate, or certificate of title issued in the name of the32896
dealer or leasing dealer, for the motor vehicle and, from then on,32897
twenty-five dollars per day until the application and applicable32898
tax are submitted to a clerk.32899

       (b) In all cases of transfer of a motor vehicle, the32900
application for certificate of title shall be filed within thirty 32901
days after the assignment or delivery of the motor vehicle. If an 32902
application for a certificate of title is not filed within the 32903
period specified in division (A)(5)(b) of this section, the clerk 32904
shall collect a fee of five dollars for the issuance of the 32905
certificate, except that no such fee shall be required from a 32906
motor vehicle salvage dealer, as defined in division (A) of 32907
section 4738.01 of the Revised Code, who immediately surrenders 32908
the certificate of title for cancellation. The fee shall be in 32909
addition to all other fees established by this chapter, and shall 32910
be retained by the clerk. The registrar shall provide, on the 32911
certificate of title form prescribed by section 4505.07 of the 32912
Revised Code, language necessary to give evidence of the date on 32913
which the assignment or delivery of the motor vehicle was made.32914

       (6) As used in division (A) of this section, "lease32915
agreement," "lessee," and "sublease agreement" have the same32916
meanings as in section 4505.04 of the Revised Code.32917

       (B)(1) The clerk, except as provided in this section, shall 32918
refuse to accept for filing any application for a certificate of 32919
title and shall refuse to issue a certificate of title unless the 32920
dealer or manufactured home broker or the applicant, in cases in 32921
which the certificate shall be obtained by the buyer, submits with 32922
the application payment of the tax levied by or pursuant to 32923
Chapters 5739. and 5741. of the Revised Code based on the 32924
purchaser's county of residence. Upon payment of the tax in 32925
accordance with division (E) of this section, the clerk shall 32926
issue a receipt prescribed by the registrar and agreed upon by the 32927
tax commissioner showing payment of the tax or a receipt issued by 32928
the commissioner showing the payment of the tax. When submitting 32929
payment of the tax to the clerk, a dealer shall retain any 32930
discount to which the dealer is entitled under section 5739.12 of 32931
the Revised Code.32932

       (2) For receiving and disbursing such taxes paid to the clerk32933
by a resident of the clerk's county, the clerk may retain a 32934
poundage fee of one and one one-hundredth per cent, and the clerk32935
shall pay the poundage fee into the certificate of title 32936
administration fund created by section 325.33 of the Revised Code.32937
The clerk shall not retain a poundage fee from payments of taxes 32938
by persons who do not reside in the clerk's county.32939

       A clerk, however, may retain from the taxes paid to the clerk32940
an amount equal to the poundage fees associated with certificates32941
of title issued by other clerks of courts of common pleas to32942
applicants who reside in the first clerk's county. The registrar,32943
in consultation with the tax commissioner and the clerks of the32944
courts of common pleas, shall develop a report from the automated32945
title processing system that informs each clerk of the amount of32946
the poundage fees that the clerk is permitted to retain from those32947
taxes because of certificates of title issued by the clerks of32948
other counties to applicants who reside in the first clerk's32949
county.32950

       (3) In the case of casual sales of motor vehicles, as defined 32951
in section 4517.01 of the Revised Code, the price for the purpose 32952
of determining the tax shall be the purchase price on the assigned 32953
certificate of title executed by the seller and filed with the 32954
clerk by the buyer on a form to be prescribed by the registrar, 32955
which shall be prima-facie evidence of the amount for the 32956
determination of the tax.32957

       (4) Each county clerk shall forward to the treasurer of state 32958
all sales and use tax collections resulting from sales of motor 32959
vehicles, off-highway motorcycles, and all-purpose vehicles during 32960
a calendar week on or before the Friday following the close of 32961
that week. If, on any Friday, the offices of the clerk of courts 32962
or the state are not open for business, the tax shall be forwarded 32963
to the treasurer of state on or before the next day on which the 32964
offices are open. Every remittance of tax under division (B)(4) of 32965
this section shall be accompanied by a remittance report in such 32966
form as the tax commissioner prescribes. Upon receipt of a tax 32967
remittance and remittance report, the treasurer of state shall 32968
date stamp the report and forward it to the tax commissioner. If 32969
the tax due for any week is not remitted by a clerk of courts as 32970
required under division (B)(4) of this section, the commissioner 32971
may require the clerk to forfeit the poundage fees for the sales 32972
made during that week. The treasurer of state may require the 32973
clerks of courts to transmit tax collections and remittance 32974
reports electronically.32975

       (C)(1) If the transferor indicates on the certificate of 32976
title that the odometer reflects mileage in excess of the designed 32977
mechanical limit of the odometer, the clerk shall enter the phrase 32978
"exceeds mechanical limits" following the mileage designation. If 32979
the transferor indicates on the certificate of title that the 32980
odometer reading is not the actual mileage, the clerk shall enter 32981
the phrase "nonactual: warning - odometer discrepancy" following 32982
the mileage designation. The clerk shall use reasonable care in 32983
transferring the information supplied by the transferor, but is 32984
not liable for any errors or omissions of the clerk or those of 32985
the clerk's deputies in the performance of the clerk's duties 32986
created by this chapter.32987

       The registrar shall prescribe an affidavit in which the 32988
transferor shall swear to the true selling price and, except as 32989
provided in this division, the true odometer reading of the motor 32990
vehicle. The registrar may prescribe an affidavit in which the 32991
seller and buyer provide information pertaining to the odometer 32992
reading of the motor vehicle in addition to that required by this 32993
section, as such information may be required by the United States 32994
secretary of transportation by rule prescribed under authority of 32995
subchapter IV of the "Motor Vehicle Information and Cost Savings 32996
Act," 86 Stat. 961 (1972), 15 U.S.C. 1981.32997

       (2) Division (C)(1) of this section does not require the 32998
giving of information concerning the odometer and odometer reading 32999
of a motor vehicle when ownership of a motor vehicle is being 33000
transferred as a result of a bequest, under the laws of intestate 33001
succession, to a survivor pursuant to section 2106.18, 2131.12, or 33002
4505.10 of the Revised Code, to a transfer-on-death beneficiary or 33003
beneficiaries pursuant to section 2131.13 of the Revised Code, in33004
connection with the creation of a security interest or for a 33005
vehicle with a gross vehicle weight rating of more than sixteen 33006
thousand pounds.33007

       (D) When the transfer to the applicant was made in some other 33008
state or in interstate commerce, the clerk, except as provided in 33009
this section, shall refuse to issue any certificate of title 33010
unless the tax imposed by or pursuant to Chapter 5741. of the 33011
Revised Code based on the purchaser's county of residence has been 33012
paid as evidenced by a receipt issued by the tax commissioner, or 33013
unless the applicant submits with the application payment of the 33014
tax. Upon payment of the tax in accordance with division (E) of 33015
this section, the clerk shall issue a receipt prescribed by the 33016
registrar and agreed upon by the tax commissioner, showing payment 33017
of the tax.33018

       For receiving and disbursing such taxes paid to the clerk by 33019
a resident of the clerk's county, the clerk may retain a poundage 33020
fee of one and one one-hundredth per cent. The clerk shall not 33021
retain a poundage fee from payments of taxes by persons who do not 33022
reside in the clerk's county.33023

       A clerk, however, may retain from the taxes paid to the clerk33024
an amount equal to the poundage fees associated with certificates33025
of title issued by other clerks of courts of common pleas to33026
applicants who reside in the first clerk's county. The registrar,33027
in consultation with the tax commissioner and the clerks of the33028
courts of common pleas, shall develop a report from the automated33029
title processing system that informs each clerk of the amount of33030
the poundage fees that the clerk is permitted to retain from those33031
taxes because of certificates of title issued by the clerks of33032
other counties to applicants who reside in the first clerk's33033
county.33034

       When the vendor is not regularly engaged in the business of 33035
selling motor vehicles, the vendor shall not be required to 33036
purchase a vendor's license or make reports concerning those33037
sales.33038

       (E) The clerk shall accept any payment of a tax in cash, or 33039
by cashier's check, certified check, draft, money order, or teller 33040
check issued by any insured financial institution payable to the 33041
clerk and submitted with an application for a certificate of title 33042
under division (B) or (D) of this section. The clerk also may 33043
accept payment of the tax by corporate, business, or personal 33044
check, credit card, electronic transfer or wire transfer, debit 33045
card, or any other accepted form of payment made payable to the 33046
clerk. The clerk may require bonds, guarantees, or letters of 33047
credit to ensure the collection of corporate, business, or 33048
personal checks. Any service fee charged by a third party to a 33049
clerk for the use of any form of payment may be paid by the clerk 33050
from the certificate of title administration fund created in 33051
section 325.33 of the Revised Code, or may be assessed by the 33052
clerk upon the applicant as an additional fee. Upon collection, 33053
the additional fees shall be paid by the clerk into that 33054
certificate of title administration fund.33055

       The clerk shall make a good faith effort to collect any 33056
payment of taxes due but not made because the payment was returned 33057
or dishonored, but the clerk is not personally liable for the 33058
payment of uncollected taxes or uncollected fees. The clerk shall 33059
notify the tax commissioner of any such payment of taxes that is 33060
due but not made and shall furnish the information to the 33061
commissioner that the commissioner requires. The clerk shall 33062
deduct the amount of taxes due but not paid from the clerk's 33063
periodic remittance of tax payments, in accordance with procedures 33064
agreed upon by the tax commissioner. The commissioner may collect 33065
taxes due by assessment in the manner provided in section 5739.13 33066
of the Revised Code.33067

       Any person who presents payment that is returned or 33068
dishonored for any reason is liable to the clerk for payment of a 33069
penalty over and above the amount of the taxes due. The clerk 33070
shall determine the amount of the penalty, and the penalty shall33071
be no greater than that amount necessary to compensate the clerk 33072
for banking charges, legal fees, or other expenses incurred by the 33073
clerk in collecting the returned or dishonored payment. The 33074
remedies and procedures provided in this section are in addition 33075
to any other available civil or criminal remedies. Subsequently 33076
collected penalties, poundage fees, and title fees, less any title33077
fee due the state, from returned or dishonored payments collected33078
by the clerk shall be paid into the certificate of title 33079
administration fund. Subsequently collected taxes, less poundage33080
fees, shall be sent by the clerk to the treasurer of state at the 33081
next scheduled periodic remittance of tax payments, with 33082
information as the commissioner may require. The clerk may abate 33083
all or any part of any penalty assessed under this division.33084

       (F) In the following cases, the clerk shall accept for filing 33085
an application and shall issue a certificate of title without 33086
requiring payment or evidence of payment of the tax:33087

       (1) When the purchaser is this state or any of its political 33088
subdivisions, a church, or an organization whose purchases are 33089
exempted by section 5739.02 of the Revised Code;33090

       (2) When the transaction in this state is not a retail sale 33091
as defined by section 5739.01 of the Revised Code;33092

       (3) When the purchase is outside this state or in interstate 33093
commerce and the purpose of the purchaser is not to use, store, or 33094
consume within the meaning of section 5741.01 of the Revised Code;33095

       (4) When the purchaser is the federal government;33096

       (5) When the motor vehicle was purchased outside this state 33097
for use outside this state;33098

       (6) When the motor vehicle is purchased by a nonresident of 33099
this state for immediate removal from this state, and will be 33100
permanently titled and registered in another state, as provided by 33101
division (B)(23) of section 5739.02under the circumstances 33102
described in division (B) of section 5739.029 of the Revised Code,33103
and upon presentation of a copy of the affidavit provided by that 33104
section, and a copy of the exemption certificate provided by 33105
section 5739.03 of the Revised Code.33106

       (G) An application, as prescribed by the registrar and agreed 33107
to by the tax commissioner, shall be filled out and sworn to by 33108
the buyer of a motor vehicle in a casual sale. The application 33109
shall contain the following notice in bold lettering: "WARNING TO 33110
TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You are required by 33111
law to state the true selling price. A false statement is in 33112
violation of section 2921.13 of the Revised Code and is punishable 33113
by six months' imprisonment or a fine of up to one thousand 33114
dollars, or both. All transfers are audited by the department of 33115
taxation. The seller and buyer must provide any information 33116
requested by the department of taxation. The buyer may be assessed 33117
any additional tax found to be due."33118

       (H) For sales of manufactured homes or mobile homes occurring 33119
on or after January 1, 2000, the clerk shall accept for filing, 33120
pursuant to Chapter 5739. of the Revised Code, an application for 33121
a certificate of title for a manufactured home or mobile home 33122
without requiring payment of any tax pursuant to section 5739.02, 33123
5741.021, 5741.022, or 5741.023 of the Revised Code, or a receipt 33124
issued by the tax commissioner showing payment of the tax. For 33125
sales of manufactured homes or mobile homes occurring on or after 33126
January 1, 2000, the applicant shall pay to the clerk an 33127
additional fee of five dollars for each certificate of title 33128
issued by the clerk for a manufactured or mobile home pursuant to 33129
division (H) of section 4505.11 of the Revised Code and for each 33130
certificate of title issued upon transfer of ownership of the 33131
home. The clerk shall credit the fee to the county certificate of 33132
title administration fund, and the fee shall be used to pay the 33133
expenses of archiving those certificates pursuant to division (A) 33134
of section 4505.08 and division (H)(3) of section 4505.11 of the 33135
Revised Code. The tax commissioner shall administer any tax on a 33136
manufactured or mobile home pursuant to Chapters 5739. and 5741. 33137
of the Revised Code.33138

       (I) Every clerk shall have the capability to transact by 33139
electronic means all procedures and transactions relating to the 33140
issuance of motor vehicle certificates of title that are described 33141
in the Revised Code as being accomplished by electronic means.33142

       Sec. 4513.263.  (A) As used in this section and in section33143
4513.99 of the Revised Code:33144

       (1) "Automobile" means any commercial tractor, passenger car, 33145
commercial car, or truck that is required to be factory-equipped 33146
with an occupant restraining device for the operator or any 33147
passenger by regulations adopted by the United States secretary of 33148
transportation pursuant to the "National Traffic and Motor Vehicle 33149
Safety Act of 1966," 80 Stat. 719, 15 U.S.C.A. 1392.33150

       (2) "Occupant restraining device" means a seat safety belt,33151
shoulder belt, harness, or other safety device for restraining a33152
person who is an operator of or passenger in an automobile and33153
that satisfies the minimum federal vehicle safety standards33154
established by the United States department of transportation.33155

       (3) "Passenger" means any person in an automobile, other than 33156
its operator, who is occupying a seating position for which an 33157
occupant restraining device is provided.33158

       (4) "Commercial tractor," "passenger car," and "commercial33159
car" have the same meanings as in section 4501.01 of the Revised33160
Code.33161

       (5) "Vehicle" and "motor vehicle," as used in the definitions 33162
of the terms set forth in division (A)(4) of this section, have 33163
the same meanings as in section 4511.01 of the Revised Code.33164

       (6) "Tort action" means a civil action for damages for 33165
injury, death, or loss to person or property. "Tort action" 33166
includes a product liability claim, as defined in section 2307.71 33167
of the Revised Code, and an asbestos claim, as defined in section 33168
2307.91 of the Revised Code, but does not include a civil action 33169
for damages for breach of contract or another agreement between 33170
persons.33171

       (B) No person shall do any of the following:33172

       (1) Operate an automobile on any street or highway unless33173
that person is wearing all of the available elements of a properly33174
adjusted occupant restraining device, or operate a school bus that33175
has an occupant restraining device installed for use in its33176
operator's seat unless that person is wearing all of the available33177
elements of the device, as properly adjusted;33178

       (2) Operate an automobile on any street or highway unless33179
each passenger in the automobile who is subject to the requirement33180
set forth in division (B)(3) of this section is wearing all of the33181
available elements of a properly adjusted occupant restraining33182
device;33183

       (3) Occupy, as a passenger, a seating position on the front33184
seat of an automobile being operated on any street or highway33185
unless that person is wearing all of the available elements of a33186
properly adjusted occupant restraining device;33187

       (4) Operate a taxicab on any street or highway unless all33188
factory-equipped occupant restraining devices in the taxicab are33189
maintained in usable form.33190

       (C) Division (B)(3) of this section does not apply to a33191
person who is required by section 4511.81 of the Revised Code to33192
be secured in a child restraint device. Division (B)(1) of this33193
section does not apply to a person who is an employee of the33194
United States postal service or of a newspaper home delivery33195
service, during any period in which the person is engaged in the33196
operation of an automobile to deliver mail or newspapers to33197
addressees. Divisions (B)(1) and (3) of this section do not apply33198
to a person who has an affidavit signed by a physician licensed to33199
practice in this state under Chapter 4731. of the Revised Code or33200
a chiropractor licensed to practice in this state under Chapter33201
4734. of the Revised Code that states that the person has a33202
physical impairment that makes use of an occupant restraining33203
device impossible or impractical.33204

       (D) Notwithstanding any provision of law to the contrary, no33205
law enforcement officer shall cause an operator of an automobile33206
being operated on any street or highway to stop the automobile for33207
the sole purpose of determining whether a violation of division33208
(B) of this section has been or is being committed or for the sole33209
purpose of issuing a ticket, citation, or summons for a violation33210
of that nature or causing the arrest of or commencing a33211
prosecution of a person for a violation of that nature, and no law33212
enforcement officer shall view the interior or visually inspect33213
any automobile being operated on any street or highway for the33214
sole purpose of determining whether a violation of that nature has33215
been or is being committed.33216

       (E) All fines collected for violations of division (B) of33217
this section, or for violations of any ordinance or resolution of33218
a political subdivision that is substantively comparable to that33219
division, shall be forwarded to the treasurer of state for deposit33220
as follows:33221

       (1) Eight per cent shall be deposited into the seat belt33222
education fund, which is hereby created in the state treasury, and33223
shall be used by the department of public safety to establish a33224
seat belt education program.33225

       (2) Eight per cent shall be deposited into the elementary33226
school program fund, which is hereby created in the state33227
treasury, and shall be used by the department of public safety to33228
establish and administer elementary school programs that encourage33229
seat safety belt use.33230

       (3) Two per cent shall be deposited into the Ohio medical 33231
transportation trustoccupational licensing and regulatory fund 33232
created by section 4766.054743.05 of the Revised Code.33233

       (4) Twenty-eight per cent shall be deposited into the trauma33234
and emergency medical services fund, which is hereby created in33235
the state treasury, and shall be used by the department of public33236
safety for the administration of the division of emergency medical33237
services and the state board of emergency medical services.33238

       (5) Fifty-four per cent shall be deposited into the trauma33239
and emergency medical services grants fund, which is hereby33240
created in the state treasury, and shall be used by the state33241
board of emergency medical services to make grants, in accordance33242
with section 4765.07 of the Revised Code and rules the board33243
adopts under section 4765.11 of the Revised Code.33244

       (F)(1) Subject to division (F)(2) of this section, the33245
failure of a person to wear all of the available elements of a33246
properly adjusted occupant restraining device in violation of 33247
division (B)(1) or (3) of this section or the failure of a person 33248
to ensure that each minor who is a passenger of an automobile33249
being operated by that person is wearing all of the available33250
elements of a properly adjusted occupant restraining device in33251
violation of division (B)(2) of this section shall not be33252
considered or used by the trier of fact in a tort action as33253
evidence of negligence or contributory negligence. But, the trier 33254
of fact may determine based on evidence admitted consistent with 33255
the Ohio rulesRules of evidenceEvidence that the failure 33256
contributed to the harm alleged in the tort action and may 33257
diminish a recovery of compensatory damages that represents 33258
noneconomic loss, as defined in section 2307.011 of the Revised 33259
Code, in a tort action that could have been recovered but for the 33260
plaintiff's failure to wear all of the available elements of a 33261
properly adjusted occupant restraining device. Evidence of that 33262
failure shall not be used as a basis for a criminal prosecution of 33263
the person other than a prosecution for a violation of this 33264
section; and shall not be admissible as evidence in a criminal 33265
action involving the person other than a prosecution for a 33266
violation of this section.33267

       (2) If, at the time of an accident involving a passenger car33268
equipped with occupant restraining devices, any occupant of the33269
passenger car who sustained injury or death was not wearing an33270
available occupant restraining device, was not wearing all of the33271
available elements of such a device, or was not wearing such a33272
device as properly adjusted, then, consistent with the Rules of33273
Evidence, the fact that the occupant was not wearing the available33274
occupant restraining device, was not wearing all of the available33275
elements of such a device, or was not wearing such a device as33276
properly adjusted is admissible in evidence in relation to any33277
claim for relief in a tort action to the extent that the claim for33278
relief satisfies all of the following:33279

       (a) It seeks to recover damages for injury or death to the33280
occupant.33281

       (b) The defendant in question is the manufacturer, designer,33282
distributor, or seller of the passenger car.33283

       (c) The claim for relief against the defendant in question is 33284
that the injury or death sustained by the occupant was enhanced or 33285
aggravated by some design defect in the passenger car or that the 33286
passenger car was not crashworthy.33287

       (G)(1) Whoever violates division (B)(1) of this section shall 33288
be fined thirty dollars.33289

       (2) Whoever violates division (B)(3) of this section shall be 33290
fined twenty dollars.33291

       (3) Except as otherwise provided in this division, whoever33292
violates division (B)(4) of this section is guilty of a minor33293
misdemeanor. If the offender previously has been convicted of or33294
pleaded guilty to a violation of division (B)(4) of this section,33295
whoever violates division (B)(4) of this section is guilty of a33296
misdemeanor of the third degree.33297

       Sec. 4513.35.  (A) All fines collected under sections 4511.01 33298
to 4511.78, 4511.99, and 4513.01 to 4513.37 of the Revised Code 33299
shall be paid into the county treasury and, with the exception of 33300
that portion distributed under section 3375.53 of the Revised 33301
Code, shall be placed to the credit of the fund for the 33302
maintenance and repair of the highways within that county, except 33303
that:33304

       (1) All fines for violations of division (B) of section33305
4513.263 shall be delivered to the treasurer of state as provided33306
in division (E) of section 4513.263 of the Revised Code.33307

       (2) All fines collected from, or moneys arising from bonds33308
forfeited by, persons apprehended or arrested by state highway33309
patrolmen shall be distributed as provided in section 5503.04 of33310
the Revised Code.33311

       (3)(a) Subject to division (E) of section 4513.263 of the33312
Revised Code and except as otherwise provided in division33313
(A)(3)(b) of this section, one-half of all fines collected from,33314
and one-half of all moneys arising from bonds forfeited by,33315
persons apprehended or arrested by a township constable or other33316
township police officer shall be paid to the township treasury to33317
be placed to the credit of the general fund.33318

       (b) All fines collected from, and all moneys arising from33319
bonds forfeited by, persons apprehended or arrested by a township33320
constable or other township police officer pursuant to division33321
(B)(2) of section 4513.39 of the Revised Code for a violation of33322
section 4511.21 of the Revised Code or any other law, ordinance,33323
or regulation pertaining to speed that occurred on a highway33324
included as part of the interstate system, as defined in section33325
5516.01 of the Revised Code, shall be paid into the county33326
treasury and be credited as provided in the first paragraph of33327
this section.33328

       (B) Notwithstanding any other provision of this section or of 33329
any other section of the Revised Code:33330

       (1) All fines collected from, and all moneys arising from33331
bonds forfeited by, persons arrested under division (E)(1) or (2) 33332
of section 2935.03 of the Revised Code are deemed to be collected, 33333
and to arise, from arrests made within the jurisdiction in which 33334
the arresting officer is appointed, elected, or employed, for 33335
violations of one of the sections or chapters of the Revised Code 33336
listed in division (E)(1) of that section and shall be distributed 33337
accordingly.33338

       (2) All fines collected from, and all moneys arising from33339
bonds forfeited by, persons arrested under division (E)(3) of 33340
section 2935.03 of the Revised Code are deemed to be collected,33341
and to arise, from arrests made within the jurisdiction in which33342
the arresting officer is appointed, elected, or employed, for33343
violations of municipal ordinances that are substantially33344
equivalent to one of the sections or one of the provisions of one33345
of the chapters of the Revised Code listed in division (E)(1) of 33346
that section and for violations of one of the sections or one of 33347
the provisions of one of the chapters of the Revised Code listed 33348
in division (E)(1) of that section, and shall be distributed 33349
accordingly.33350

       Sec. 4519.55.  Application for a certificate of title for an 33351
off-highway motorcycle or all-purpose vehicle shall be made upon a 33352
form prescribed by the registrar of motor vehicles and shall be 33353
sworn to before a notary public or other officer empowered to 33354
administer oaths. The application shall be filed with the clerk of 33355
any court of common pleas. An application for a certificate of33356
title may be filed electronically by any electronic means approved 33357
by the registrar in any county with the clerk of the court of 33358
common pleas of that county.33359

       If an application for a certificate of title is filed 33360
electronically by an electronic dealer on behalf of the purchaser 33361
of an off-highway motorcycle or all-purpose vehicle, the clerk 33362
shall retain the completed electronic record to which the dealer 33363
converted the certificate of title application and other required 33364
documents. The registrar, after consultation with the attorney 33365
general, shall adopt rules that govern the location at which, and 33366
the manner in which, are stored the actual application and all 33367
other documents relating to the sale of an off-highway motorcycle 33368
or all-purpose vehicle when an electronic dealer files the 33369
application for a certificate of title electronically on behalf of 33370
the purchaser.33371

       The application shall be accompanied by the fee prescribed in 33372
section 4519.59 of the Revised Code. The fee shall be retained by 33373
the clerk who issues the certificate of title and shall be33374
distributed in accordance with that section. If a clerk of a33375
court of common pleas, other than the clerk of the court of common 33376
pleas of an applicant's county of residence, issues a certificate 33377
of title to the applicant, the clerk shall transmit data related 33378
to the transaction to the automated title processing system.33379

       If a certificate of title previously has been issued for an 33380
off-highway motorcycle or all-purpose vehicle, the application 33381
also shall be accompanied by the certificate of title duly 33382
assigned, unless otherwise provided in this chapter. If a 33383
certificate of title previously has not been issued for the 33384
off-highway motorcycle or all-purpose vehicle, the application, 33385
unless otherwise provided in this chapter, shall be accompanied by 33386
a manufacturer's or importer's certificate; by a sworn statement 33387
of ownership; or by a certificate of title, bill of sale, or other 33388
evidence of ownership required by law of another state from which 33389
the off-highway motorcycle or all-purpose vehicle was brought into 33390
this state. The registrar, in accordance with Chapter 119. of the 33391
Revised Code, shall prescribe the types of additional 33392
documentation sufficient to establish proof of ownership, 33393
including, but not limited to, receipts from the purchase of parts 33394
or components, photographs, and affidavits of other persons.33395

       For purposes of the transfer of a certificate of title, if 33396
the clerk is satisfied that a secured party has duly discharged a 33397
lien notation but has not canceled the lien notation with a clerk, 33398
the clerk may cancel the lien notation on the automated title 33399
processing system and notify the clerk of the county of origin.33400

       In the case of the sale of an off-highway motorcycle or 33401
all-purpose vehicle by a dealer to a general purchaser or user, 33402
the certificate of title shall be obtained in the name of the 33403
purchaser by the dealer upon application signed by the purchaser. 33404
In all other cases, the certificate shall be obtained by the 33405
purchaser. In all cases of transfer of an off-highway motorcycle 33406
or all-purpose vehicle, the application for certificate of title 33407
shall be filed within thirty days after the later of the date of 33408
purchase or assignment of ownership of the off-highway motorcycle 33409
or all-purpose vehicle. If the application for certificate of 33410
title is not filed within thirty days after the later of the date 33411
of purchase or assignment of ownership of the off-highway 33412
motorcycle or all-purpose vehicle, the clerk shall charge a late 33413
filing fee of five dollars in addition to the fee prescribed by 33414
section 4519.59 of the Revised Code. The clerk shall retain the 33415
entire amount of each late filing fee.33416

       Except in the case of an off-highway motorcycle or 33417
all-purpose vehicle purchased prior to July 1, 1999, the clerk33418
shall refuse to accept an application for certificate of title33419
unless the applicant either tenders with the application payment33420
of all taxes levied by or pursuant to Chapter 5739. or 5741. of33421
the Revised Code based on the purchaser's county of residence, or 33422
submits either of the following:33423

       (A) A receipt issued by the tax commissioner or a clerk of 33424
courts showing payment of the tax;33425

       (B) An exemption certificate, in any form prescribed by the 33426
tax commissioner, that specifies why the purchase is not subject 33427
to the tax imposed by Chapter 5739. or 5741. of the Revised Code.33428

       Payment of the tax shall be made in accordance with division 33429
(E) of section 4505.06 of the Revised Code and any rules issued by 33430
the tax commissioner. When a dealer submits payment of the tax to 33431
the clerk, the dealer shall retain any discount to which the 33432
dealer is entitled under section 5739.12 of the Revised Code. The 33433
clerk shall issue a receipt in the form prescribed by the tax 33434
commissioner to any applicant who tenders payment of the tax with 33435
the application for a certificate of title. If the application for 33436
a certificate of title is for an off-highway motorcycle or 33437
all-purpose vehicle purchased prior to July 1, 1999, the clerk 33438
shall accept the application without payment of the taxes levied 33439
by or pursuant to Chapter 5739. or 5741. of the Revised Code or33440
presentation of either of the items listed in division (A) or (B) 33441
of this section.33442

       For receiving and disbursing such taxes paid to the clerk by33443
a resident of the clerk's county, the clerk may retain a poundage 33444
fee of one and one-hundredth per cent of the taxes collected, 33445
which shall be paid into the certificate of title administration 33446
fund created by section 325.33 of the Revised Code. The clerk33447
shall not retain a poundage fee from payments of taxes by persons33448
who do not reside in the clerk's county.33449

       A clerk, however, may retain from the taxes paid to the clerk33450
an amount equal to the poundage fees associated with certificates33451
of title issued by other clerks of courts of common pleas to33452
applicants who reside in the first clerk's county. The registrar,33453
in consultation with the tax commissioner and the clerks of the33454
courts of common pleas, shall develop a report from the automated33455
title processing system that informs each clerk of the amount of33456
the poundage fees that the clerk is permitted to retain from those33457
taxes because of certificates of title issued by the clerks of33458
other counties to applicants who reside in the first clerk's33459
county.33460

       In the case of casual sales of off-highway motorcycles or 33461
all-purpose vehicles that are subject to the tax imposed by 33462
Chapter 5739. or 5741. of the Revised Code, the purchase price for 33463
the purpose of determining the tax shall be the purchase price on 33464
an affidavit executed and filed with the clerk by the seller on a 33465
form to be prescribed by the registrar, which shall be prima-facie 33466
evidence of the price for the determination of the tax.33467

       In addition to the information required by section 4519.57 of 33468
the Revised Code, each certificate of title shall contain in bold 33469
lettering the following notification and statements: "WARNING TO 33470
TRANSFEROR AND TRANSFEREE (SELLER AND BUYER): You are required by 33471
law to state the true selling price. A false statement is in 33472
violation of section 2921.13 of the Revised Code and is punishable 33473
by six months imprisonment or a fine of up to one thousand 33474
dollars, or both. All transfers are audited by the department of 33475
taxation. The seller and buyer must provide any information 33476
requested by the department of taxation. The buyer may be assessed 33477
any additional tax found to be due."33478

       The clerk shall forward all payments of taxes, less poundage33479
fees, to the treasurer of state in a manner to be prescribed by 33480
the tax commissioner and shall furnish information to the 33481
commissioner as the commissioner may require.33482

       Every clerk shall have the capability to transact by 33483
electronic means all procedures and transactions relating to the 33484
issuance of certificates of title for off-highway motorcycles and 33485
all-purpose vehicles that are described in the Revised Code as 33486
being accomplished by electronic means.33487

       Sec. 4766.22.  (A) Not later than forty-five days after the 33488
end of each fiscal year, the Ohio medical transportation board 33489
shall submit a report to the governor and general assembly that 33490
provides all of the following information for that fiscal year:33491

       (1) The number of each of the following the board issued:33492

       (a) Basic life-support organization licenses;33493

       (b) Intermediate life-support organization licenses;33494

       (c) Advanced life-support organization licenses;33495

       (d) Mobile intensive care unit organization licenses;33496

       (e) Ambulette service licenses;33497

       (f) Air medical service organization licenses;33498

       (g) Ambulance permits;33499

       (h) Nontransport vehicle permits;33500

       (i) Ambulette vehicle permits;33501

       (j) Rotorcraft air ambulance permits;33502

       (k) Fixed wing air ambulance permits.33503

       (2) The amount of fees the board collected for issuing and 33504
renewing each type of license and permit specified in division 33505
(A)(1) of this section;33506

       (3) The number of inspections the board or a third party on 33507
the board's behalf conducted in connection with each type of 33508
license and permit specified in division (A)(1) of this section 33509
and the amount of fees the board collected for the inspections;33510

       (4) The number of complaints that were submitted to the 33511
board;33512

       (5) The number of investigations the board conducted under 33513
section 4766.11 of the Revised Code;33514

       (6) The number of adjudication hearings the board held and 33515
the outcomes of the adjudications;33516

       (7) The amount of penalties the board imposed and collected 33517
under section 4766.08 of the Revised Code;33518

       (8) Other information the board determines reflects the 33519
board's operations.33520

       (B) The board shall post the annual report required by this 33521
section on its web site and make it available to the public on 33522
request.33523

       Sec. 4717.07.  (A) The board of embalmers and funeral33524
directors shall charge and collect the following fees:33525

       (1) For the initial issuance or biennial renewal of an 33526
embalmer's or funeral director's license, one hundred forty 33527
dollars;33528

       (2) For the issuance of an embalmer or funeral director33529
registration, twenty-five dollars;33530

       (3) For filing an embalmer or funeral director certificate of33531
apprenticeship, ten dollars;33532

       (4) For the application to take the examination for a license 33533
to practice as an embalmer or funeral director, or to retake a 33534
section of the examination, thirty-five dollars;33535

       (5) For the initial issuance of a license to operate a33536
funeral home, two hundred fifty dollars and biennial renewal of a 33537
license to operate a funeral home, two hundred fifty dollars;33538

       (6) For the reinstatement of a lapsed embalmer's or funeral33539
director's license, the renewal fee prescribed in division33540
(A)(5)(1) of this section plus fifty dollars for each month or33541
portion of a month the license is lapsed until reinstatement;33542

       (7) For the reinstatement of a lapsed license to operate a33543
funeral home, the renewal fee prescribed in division (A)(6)(5) of33544
this section plus fifty dollars for each month or portion of a33545
month the license is lapsed until reinstatement;33546

       (8) For the initial issuance of a license to operate an33547
embalming facility, two hundred dollars and biennial renewal of a33548
license to operate an embalming facility, two hundred dollars;33549

       (9) For the reinstatement of a lapsed license to operate an33550
embalming facility, the renewal fee prescribed in division33551
(A)(9)(8) of this section plus fifty dollars for each month or33552
portion of a month the license is lapsed until reinstatement;33553

       (10) For the initial issuance of a license to operate a33554
crematory facility, two hundred dollars and biennial renewal of a33555
license to operate a crematory facility, two hundred dollars;33556

       (11) For the reinstatement of a lapsed license to operate a33557
crematory facility, the renewal fee prescribed in division33558
(A)(11)(10) of this section plus fifty dollars for each month or33559
portion of a month the license is lapsed until reinstatement;33560

       (12) For the issuance of a duplicate of a license issued33561
under this chapter, four dollars.33562

       (B) In addition to the fees set forth in division (A) of this 33563
section, an applicant shall pay the examination fee assessed by 33564
any examining agency the board uses for any section of an33565
examination required under this chapter.33566

       (C) Subject to the approval of the controlling board, the33567
board of embalmers and funeral directors may establish fees in33568
excess of the amounts set forth in this section, provided that33569
these fees do not exceed the amounts set forth in this section by33570
more than fifty per cent.33571

       Sec. 4723.621.  The medication aide advisory council created 33572
under section 4723.62 of the Revised Code shall make 33573
recommendations to the board of nursing with respect to all of the 33574
following:33575

       (A) The design and operation of the medication aide pilot 33576
program conducted under section 4723.63 of the Revised Code, 33577
including a method of collecting data through reports submitted by 33578
participating nursing homes and residential care facilities;33579

       (B) The content of the course of instruction required to 33580
obtain certification as a medication aide, including the 33581
examination to be used to evaluate the ability to administer 33582
prescription medications safely and the score that must be 33583
attained to pass the examination;33584

       (C) Whether medication aides may administer prescription 33585
medications through a gastrostomy or jejunostomy tube and the 33586
amount and type of training a medication aide needs to be 33587
adequately prepared to administer prescription medications through 33588
a gastrostomy or jejunostomy tube;33589

       (D) Protection of the health and welfare of the residents of 33590
nursing homes and residential care facilities participating in the 33591
pilot program and using medication aides pursuant to section 33592
4723.64 of the Revised Code on or after July 1, 2007;33593

       (E) The board's adoption of rules under section 4723.69 of 33594
the Revised Code;33595

       (F) Any other issue the council considers relevant to the use 33596
of medication aides in nursing homes and residential care 33597
facilities.33598

       Sec. 4723.63.  (A) In consultation with the medication aide 33599
advisory council established under section 4723.62 of the Revised 33600
Code, the board of nursing shall conduct a pilot program for the 33601
use of medication aides in nursing homes and residential care 33602
facilities. The board shall conduct the pilot program in a manner 33603
consistent with human protection and other ethical concerns 33604
typically associated with research studies involving live 33605
subjects. The pilot program shall be commenced not later than May 33606
1, 2006, and shall be conducted until July 1, 2007end on the 33607
thirty-first day after the report required by division (F)(2) of 33608
this section is submitted in accordance with that division.33609

        During the period the pilot program is conducted, a nursing 33610
home or residential care facility participating in the pilot 33611
program may use one or more medication aides to administer 33612
prescription medications to its residents, subject to bothall of 33613
the following conditions:33614

        (1) Each individual used as a medication aide must hold a 33615
current, valid medication aide certificate issued by the board of 33616
nursing under this chapter.33617

        (2) The nursing home or residential care facility shall 33618
ensure that the requirements of section 4723.67 of the Revised 33619
Code are met.33620

       (3) The nursing home or residential care facility shall 33621
submit to the board, not later than the thirty-first day after the 33622
day the board makes its request under division (F)(1)(a) of this 33623
section, the data required by division (F)(1)(a) of this section.33624

       (B) The board, in consultation with the medication aide 33625
advisory council, shall do all of the following not later than 33626
February 1, 2006:33627

       (1) Design the pilot program;33628

       (2) Establish standards to govern medication aides and the 33629
nursing homes and residential care facilities participating in the 33630
pilot program, including standards for the training of medication 33631
aides and the staff of participating nursing homes and residential 33632
care facilities;33633

       (3) Establish standards to protect the health and safety of 33634
the residents of the nursing homes and residential care facilities 33635
participating in the program;33636

       (4) Implement a process for selecting the nursing homes and 33637
residential care facilities to participate in the program.33638

       (C)(1) A nursing home or residential care facility may 33639
volunteer to participate in the pilot program by submitting an 33640
application to the board on a form prescribed and provided by the 33641
board. From among the applicants, the board shall select eighty 33642
nursing homes and forty residential care facilities to participate 33643
in the pilot program. When the board denies an application, it 33644
shall notify, in writing, the president and minority leader of the 33645
senate and the speaker and minority leader of the house of 33646
representatives of the denial and the reasons for the denial.33647

       (2) To be eligible to participate, a nursing home or 33648
residential care facility shall agree to observe the standards 33649
established by the board for the use of medication aides. A 33650
nursing home is eligible to participate only if the department of 33651
health has found in the two most recent surveyssurvey or 33652
inspectionsinspection of the home that the home is free from 33653
deficiencies related to the administration of medication. A 33654
residential care facility is eligible to participate only if the 33655
department has found that the facility is free from deficiencies 33656
related to the provision of skilled nursing care or the 33657
administration of medication.33658

       (D) As a condition of participation in the pilot program, a 33659
nursing home and residential care facility selected by the board 33660
shall pay the participation fee established in rules adopted under 33661
section 4723.69 of the Revised Code. The participation fee is not 33662
reimbursable under the medicaid program established under Chapter 33663
5111. of the Revised Code.33664

       (E) On receipt of evidence found credible by the board that 33665
continued participation by a nursing home or residential care 33666
facility poses an imminent danger, risk of serious harm, or 33667
jeopardy to a resident of the home or facility, the board may 33668
terminate the authority of the home or facility to participate in 33669
the pilot program.33670

       (F)(1) With the assistance of the medication aide advisory 33671
council, the board shall conduct an evaluation of the pilot 33672
program. In conducting the evaluation, the board shall do all of 33673
the following:33674

       (a) Request from each nursing home and residential care 33675
facility participating in the pilot program, on the ninety-first 33676
day after the day the board issues a medication aide certificate 33677
under section 4723.651 of the Revised Code to the seventy-fifth 33678
individual, the data the board requires participating nursing 33679
homes and residential care facilities to report under rules the 33680
board adopts under section 4723.69 of the Revised Code.33681

       (b) Assess whether medication aides are able to administer 33682
prescription medications safely to nursing home and residential 33683
care facility residents;33684

       (b)(c) Determine the financial implications of using 33685
medication aides in nursing homes and residential care facilities;33686

       (c)(d) Consider any other issue the board or council 33687
considers relevant to the evaluation.33688

       (2) Not later than March 1, 2007the one hundred eighty-first 33689
day after the day the board issues a medication aide certificate 33690
under section 4723.651 of the Revised Code to the seventy-fifth 33691
individual, the board shall prepare a report of its findings and 33692
recommendations derived from the evaluation of the pilot program. 33693
The board shall submit the report to the governor, president and 33694
minority leader of the senate, speaker and minority leader of the 33695
house of representatives, and director of health.33696

       (G) The board shall, on the day it issues a medication aide 33697
certificate to the seventy-fifth individual, post a notice on its 33698
web site indicating the date on which any nursing home or 33699
residential care facility may use medication aides in accordance 33700
with section 4723.64 of the Revised Code.33701

       Sec. 4723.64.  On and after July 1, 2007the thirty-first day 33702
following the board of nursing's submission of the report required 33703
by division (F)(2) of section 4723.63 of the Revised Code, any 33704
nursing home or residential care facility may use one or more 33705
medication aides to administer prescription medications to its 33706
residents, subject to both of the following conditions:33707

        (A) Each individual used as a medication aide must hold a 33708
current, valid medication aide certificate issued by the board of 33709
nursing under this chapter.33710

        (B) The nursing home or residential care facility shall 33711
ensure that the requirements of section 4723.67 of the Revised 33712
Code are met.33713

       Sec. 4723.65.  (A) An individual seeking certification as a 33714
medication aide shall apply to the board of nursing on a form 33715
prescribed and provided by the board. If the application is 33716
submitted on or after July 1, 2007the day any nursing home or 33717
residential care facility may initially use medication aides as 33718
specified in section 4723.64 of the Revised Code, the application 33719
shall be accompanied by the certification fee established in rules 33720
adopted under section 4723.69 of the Revised Code.33721

       (B)(1) Except as provided in division (B)(2) of this section, 33722
an applicant for a medication aide certificate shall submit a 33723
request to the bureau of criminal identification and investigation 33724
for a criminal records check. The request shall be on the form 33725
prescribed pursuant to division (C)(1) of section 109.572 of the 33726
Revised Code and shall be accompanied by a standard impression 33727
sheet to obtain fingerprints prescribed pursuant to division 33728
(C)(2) of that section. The request shall also be accompanied by 33729
the fee prescribed pursuant to division (C)(3) of section 109.572 33730
of the Revised Code. On receipt of the completed form, the 33731
completed impression sheet, and the fee, the bureau shall conduct 33732
a criminal records check of the applicant. On completion of the 33733
criminal records check, the bureau shall send the results of the 33734
check to the board. An applicant requesting a criminal records 33735
check under this division who has not lived in this state for at 33736
least five years shall ask the superintendent of the bureau of 33737
criminal identification and investigation to also request that the 33738
federal bureau of investigation provide the superintendent with 33739
any information it has with respect to the applicant.33740

       (2) If a criminal records check of an applicant was completed 33741
pursuant to section 3721.121 of the Revised Code not more than 33742
five years prior to the date the application is submitted, the 33743
applicant may include a certified copy of the criminal records 33744
check completed pursuant to that section and is not required to 33745
comply with division (B)(1) of this section.33746

       (3) A criminal records check provided to the board in 33747
accordance with division (B)(1) or (B)(2) of this section shall 33748
not be made available to any person or for any purpose other than 33749
the following:33750

       (a) The results may be made available to any person for use 33751
in determining whether the individual who is the subject of the 33752
check should be issued a medication aide certificate.33753

       (b) The results may be made available to the person who is 33754
the subject of the check or a representative of that person.33755

       Sec. 4723.66.  (A) A person or government entity seeking 33756
approval to provide a medication aide training program shall apply 33757
to the board of nursing on a form prescribed and provided by the 33758
board. If the application is submitted on or after July 1, 200733759
the day any nursing home or residential care facility may 33760
initially use medication aides as specified in section 4723.64 of 33761
the Revised Code, the application shall be accompanied by the fee 33762
established in rules adopted under section 4723.69 of the Revised 33763
Code.33764

       (B) The board shall approve the applicant to provide a 33765
medication aide training program if the content of the course of 33766
instruction to be provided by the program meets the standards 33767
specified by the board in rules adopted under section 4723.69 of 33768
the Revised Code and includes all of the following:33769

       (1) At least seventy clock-hours of instruction, including 33770
both classroom instruction on medication administration and at 33771
least twenty clock-hours of supervised clinical practice in 33772
medication administration;33773

       (2) A mechanism for evaluating whether an individual's 33774
reading, writing, and mathematical skills are sufficient for the 33775
individual to be able to administer prescription medications 33776
safely;33777

       (3) An examination that tests the ability to administer 33778
prescription medications safely and that meets the requirements 33779
established by the board in rules adopted under section 4723.69 of 33780
the Revised Code.33781

       (C) The board may deny, suspend, or revoke the approval 33782
granted to the provider of a medication aide training program for 33783
reasons specified in rules adopted under section 4723.69 of the 33784
Revised Code. All actions taken by the board to deny, suspend, or 33785
revoke the approval of a training program shall be taken in 33786
accordance with Chapter 119. of the Revised Code.33787

       Sec. 4731.142.  (A) Except as provided in division (B) of33788
this section, an individual must demonstrate proficiency in spoken 33789
English, by passing an examination specified by the state medical 33790
board, to receive a certificate to practice issued under section33791
4731.14 of the Revised Code if the individual's eligibility for 33792
the certificate is based in part on certification from the33793
educational commission for foreign medical graduates and 33794
fulfillment of the undergraduate requirements established by 33795
section 4731.09 of the Revised Code at an institution outside the 33796
United States. The individual may demonstrate such proficiency by33797
obtaining a score of forty or higher on the test of spoken English 33798
conducted by the educational testing serviceThe board shall adopt 33799
rules specifying an acceptable examination and establishing the 33800
minimum score that demonstrates proficiency in spoken English.33801

       (B) An individual is not required to demonstrate proficiency 33802
in spoken English in accordance with division (A) of this section 33803
if the individual was required to demonstrate such proficiency as 33804
a condition of certification from the educational commission for 33805
foreign medical graduates.33806

       Sec. 4731.22.  (A) The state medical board, by an affirmative 33807
vote of not fewer than six of its members, may revoke or may33808
refuse to grant a certificate to a person found by the board to33809
have committed fraud during the administration of the examination 33810
for a certificate to practice or to have committed fraud, 33811
misrepresentation, or deception in applying for or securing any 33812
certificate to practice or certificate of registration issued by 33813
the board.33814

       (B) The board, by an affirmative vote of not fewer than six33815
members, shall, to the extent permitted by law, limit, revoke, or33816
suspend an individual's certificate to practice, refuse to33817
register an individual, refuse to reinstate a certificate, or33818
reprimand or place on probation the holder of a certificate for33819
one or more of the following reasons:33820

       (1) Permitting one's name or one's certificate to practice or33821
certificate of registration to be used by a person, group, or33822
corporation when the individual concerned is not actually33823
directing the treatment given;33824

       (2) Failure to maintain minimal standards applicable to the33825
selection or administration of drugs, or failure to employ33826
acceptable scientific methods in the selection of drugs or other33827
modalities for treatment of disease;33828

       (3) Selling, giving away, personally furnishing, prescribing, 33829
or administering drugs for other than legal and legitimate 33830
therapeutic purposes or a plea of guilty to, a judicial finding of 33831
guilt of, or a judicial finding of eligibility for intervention in33832
lieu of conviction of, a violation of any federal or state law 33833
regulating the possession, distribution, or use of any drug;33834

       (4) Willfully betraying a professional confidence.33835

       For purposes of this division, "willfully betraying a33836
professional confidence" does not include providing any33837
information, documents, or reports to a child fatality review33838
board under sections 307.621 to 307.629 of the Revised Code and33839
does not include the making of a report of an employee's use of a33840
drug of abuse, or a report of a condition of an employee other33841
than one involving the use of a drug of abuse, to the employer of33842
the employee as described in division (B) of section 2305.33 of33843
the Revised Code. Nothing in this division affects the immunity33844
from civil liability conferred by that section upon a physician33845
who makes either type of report in accordance with division (B) of33846
that section. As used in this division, "employee," "employer,"33847
and "physician" have the same meanings as in section 2305.33 of33848
the Revised Code.33849

       (5) Making a false, fraudulent, deceptive, or misleading33850
statement in the solicitation of or advertising for patients; in33851
relation to the practice of medicine and surgery, osteopathic33852
medicine and surgery, podiatric medicine and surgery, or a limited 33853
branch of medicine; or in securing or attempting to secure any 33854
certificate to practice or certificate of registration issued by 33855
the board.33856

       As used in this division, "false, fraudulent, deceptive, or33857
misleading statement" means a statement that includes a33858
misrepresentation of fact, is likely to mislead or deceive because33859
of a failure to disclose material facts, is intended or is likely33860
to create false or unjustified expectations of favorable results,33861
or includes representations or implications that in reasonable33862
probability will cause an ordinarily prudent person to33863
misunderstand or be deceived.33864

       (6) A departure from, or the failure to conform to, minimal33865
standards of care of similar practitioners under the same or33866
similar circumstances, whether or not actual injury to a patient33867
is established;33868

       (7) Representing, with the purpose of obtaining compensation33869
or other advantage as personal gain or for any other person, that33870
an incurable disease or injury, or other incurable condition, can33871
be permanently cured;33872

       (8) The obtaining of, or attempting to obtain, money or33873
anything of value by fraudulent misrepresentations in the course33874
of practice;33875

       (9) A plea of guilty to, a judicial finding of guilt of, or a 33876
judicial finding of eligibility for intervention in lieu of33877
conviction for, a felony;33878

       (10) Commission of an act that constitutes a felony in this33879
state, regardless of the jurisdiction in which the act was33880
committed;33881

       (11) A plea of guilty to, a judicial finding of guilt of, or33882
a judicial finding of eligibility for intervention in lieu of33883
conviction for, a misdemeanor committed in the course of practice;33884

       (12) Commission of an act in the course of practice that33885
constitutes a misdemeanor in this state, regardless of the33886
jurisdiction in which the act was committed;33887

       (13) A plea of guilty to, a judicial finding of guilt of, or33888
a judicial finding of eligibility for intervention in lieu of33889
conviction for, a misdemeanor involving moral turpitude;33890

       (14) Commission of an act involving moral turpitude that33891
constitutes a misdemeanor in this state, regardless of the33892
jurisdiction in which the act was committed;33893

       (15) Violation of the conditions of limitation placed by the33894
board upon a certificate to practice;33895

       (16) Failure to pay license renewal fees specified in this33896
chapter;33897

       (17) Except as authorized in section 4731.31 of the Revised33898
Code, engaging in the division of fees for referral of patients,33899
or the receiving of a thing of value in return for a specific33900
referral of a patient to utilize a particular service or business;33901

       (18) Subject to section 4731.226 of the Revised Code,33902
violation of any provision of a code of ethics of the American33903
medical association, the American osteopathic association, the33904
American podiatric medical association, or any other national33905
professional organizations that the board specifies by rule. The33906
state medical board shall obtain and keep on file current copies33907
of the codes of ethics of the various national professional33908
organizations. The individual whose certificate is being suspended 33909
or revoked shall not be found to have violated any provision of a 33910
code of ethics of an organization not appropriate to the33911
individual's profession.33912

       For purposes of this division, a "provision of a code of33913
ethics of a national professional organization" does not include33914
any provision that would preclude the making of a report by a33915
physician of an employee's use of a drug of abuse, or of a33916
condition of an employee other than one involving the use of a33917
drug of abuse, to the employer of the employee as described in33918
division (B) of section 2305.33 of the Revised Code. Nothing in33919
this division affects the immunity from civil liability conferred33920
by that section upon a physician who makes either type of report33921
in accordance with division (B) of that section. As used in this33922
division, "employee," "employer," and "physician" have the same33923
meanings as in section 2305.33 of the Revised Code.33924

       (19) Inability to practice according to acceptable and33925
prevailing standards of care by reason of mental illness or33926
physical illness, including, but not limited to, physical33927
deterioration that adversely affects cognitive, motor, or33928
perceptive skills.33929

       In enforcing this division, the board, upon a showing of a33930
possible violation, may compel any individual authorized to33931
practice by this chapter or who has submitted an application33932
pursuant to this chapter to submit to a mental examination,33933
physical examination, including an HIV test, or both a mental and33934
a physical examination. The expense of the examination is the33935
responsibility of the individual compelled to be examined. Failure33936
to submit to a mental or physical examination or consent to an HIV33937
test ordered by the board constitutes an admission of the33938
allegations against the individual unless the failure is due to33939
circumstances beyond the individual's control, and a default and33940
final order may be entered without the taking of testimony or33941
presentation of evidence. If the board finds an individual unable33942
to practice because of the reasons set forth in this division, the33943
board shall require the individual to submit to care, counseling,33944
or treatment by physicians approved or designated by the board, as33945
a condition for initial, continued, reinstated, or renewed33946
authority to practice. An individual affected under this division33947
shall be afforded an opportunity to demonstrate to the board the33948
ability to resume practice in compliance with acceptable and33949
prevailing standards under the provisions of the individual's33950
certificate. For the purpose of this division, any individual who33951
applies for or receives a certificate to practice under this33952
chapter accepts the privilege of practicing in this state and, by33953
so doing, shall be deemed to have given consent to submit to a33954
mental or physical examination when directed to do so in writing33955
by the board, and to have waived all objections to the33956
admissibility of testimony or examination reports that constitute33957
a privileged communication.33958

       (20) Except when civil penalties are imposed under section33959
4731.225 or 4731.281 of the Revised Code, and subject to section33960
4731.226 of the Revised Code, violating or attempting to violate,33961
directly or indirectly, or assisting in or abetting the violation33962
of, or conspiring to violate, any provisions of this chapter or33963
any rule promulgated by the board.33964

       This division does not apply to a violation or attempted33965
violation of, assisting in or abetting the violation of, or a33966
conspiracy to violate, any provision of this chapter or any rule33967
adopted by the board that would preclude the making of a report by33968
a physician of an employee's use of a drug of abuse, or of a33969
condition of an employee other than one involving the use of a33970
drug of abuse, to the employer of the employee as described in33971
division (B) of section 2305.33 of the Revised Code. Nothing in33972
this division affects the immunity from civil liability conferred33973
by that section upon a physician who makes either type of report33974
in accordance with division (B) of that section. As used in this33975
division, "employee," "employer," and "physician" have the same33976
meanings as in section 2305.33 of the Revised Code.33977

       (21) The violation of section 3701.79 of the Revised Code or 33978
of any abortion rule adopted by the public health council pursuant 33979
to section 3701.341 of the Revised Code;33980

       (22) Any of the following actions taken by the agency33981
responsible for regulating the practice of medicine and surgery,33982
osteopathic medicine and surgery, podiatric medicine and surgery,33983
or the limited branches of medicine in another jurisdiction, for33984
any reason other than the nonpayment of fees: the limitation,33985
revocation, or suspension of an individual's license to practice;33986
acceptance of an individual's license surrender; denial of a33987
license; refusal to renew or reinstate a license; imposition of33988
probation; or issuance of an order of censure or other reprimand;33989

       (23) The violation of section 2919.12 of the Revised Code or33990
the performance or inducement of an abortion upon a pregnant woman33991
with actual knowledge that the conditions specified in division33992
(B) of section 2317.56 of the Revised Code have not been satisfied33993
or with a heedless indifference as to whether those conditions33994
have been satisfied, unless an affirmative defense as specified in33995
division (H)(2) of that section would apply in a civil action33996
authorized by division (H)(1) of that section;33997

       (24) The revocation, suspension, restriction, reduction, or33998
termination of clinical privileges by the United States department33999
of defense or department of veterans affairs or the termination or34000
suspension of a certificate of registration to prescribe drugs by34001
the drug enforcement administration of the United States34002
department of justice;34003

       (25) Termination or suspension from participation in the34004
medicare or medicaid programs by the department of health and34005
human services or other responsible agency for any act or acts34006
that also would constitute a violation of division (B)(2), (3),34007
(6), (8), or (19) of this section;34008

       (26) Impairment of ability to practice according to34009
acceptable and prevailing standards of care because of habitual or34010
excessive use or abuse of drugs, alcohol, or other substances that34011
impair ability to practice.34012

       For the purposes of this division, any individual authorized34013
to practice by this chapter accepts the privilege of practicing in34014
this state subject to supervision by the board. By filing an34015
application for or holding a certificate to practice under this34016
chapter, an individual shall be deemed to have given consent to34017
submit to a mental or physical examination when ordered to do so34018
by the board in writing, and to have waived all objections to the34019
admissibility of testimony or examination reports that constitute34020
privileged communications.34021

       If it has reason to believe that any individual authorized to34022
practice by this chapter or any applicant for certification to34023
practice suffers such impairment, the board may compel the34024
individual to submit to a mental or physical examination, or both.34025
The expense of the examination is the responsibility of the34026
individual compelled to be examined. Any mental or physical34027
examination required under this division shall be undertaken by a34028
treatment provider or physician who is qualified to conduct the34029
examination and who is chosen by the board.34030

       Failure to submit to a mental or physical examination ordered34031
by the board constitutes an admission of the allegations against34032
the individual unless the failure is due to circumstances beyond34033
the individual's control, and a default and final order may be34034
entered without the taking of testimony or presentation of34035
evidence. If the board determines that the individual's ability to 34036
practice is impaired, the board shall suspend the individual's34037
certificate or deny the individual's application and shall require34038
the individual, as a condition for initial, continued, reinstated,34039
or renewed certification to practice, to submit to treatment.34040

       Before being eligible to apply for reinstatement of a34041
certificate suspended under this division, the impaired34042
practitioner shall demonstrate to the board the ability to resume34043
practice in compliance with acceptable and prevailing standards of34044
care under the provisions of the practitioner's certificate. The34045
demonstration shall include, but shall not be limited to, the34046
following:34047

       (a) Certification from a treatment provider approved under34048
section 4731.25 of the Revised Code that the individual has34049
successfully completed any required inpatient treatment;34050

       (b) Evidence of continuing full compliance with an aftercare34051
contract or consent agreement;34052

       (c) Two written reports indicating that the individual's34053
ability to practice has been assessed and that the individual has34054
been found capable of practicing according to acceptable and34055
prevailing standards of care. The reports shall be made by34056
individuals or providers approved by the board for making the34057
assessments and shall describe the basis for their determination.34058

       The board may reinstate a certificate suspended under this34059
division after that demonstration and after the individual has34060
entered into a written consent agreement.34061

       When the impaired practitioner resumes practice, the board34062
shall require continued monitoring of the individual. The34063
monitoring shall include, but not be limited to, compliance with34064
the written consent agreement entered into before reinstatement or34065
with conditions imposed by board order after a hearing, and, upon34066
termination of the consent agreement, submission to the board for34067
at least two years of annual written progress reports made under34068
penalty of perjury stating whether the individual has maintained34069
sobriety.34070

       (27) A second or subsequent violation of section 4731.66 or34071
4731.69 of the Revised Code;34072

       (28) Except as provided in division (N) of this section:34073

       (a) Waiving the payment of all or any part of a deductible or 34074
copayment that a patient, pursuant to a health insurance or health 34075
care policy, contract, or plan that covers the individual's34076
services, otherwise would be required to pay if the waiver is used34077
as an enticement to a patient or group of patients to receive34078
health care services from that individual;34079

       (b) Advertising that the individual will waive the payment of 34080
all or any part of a deductible or copayment that a patient,34081
pursuant to a health insurance or health care policy, contract, or34082
plan that covers the individual's services, otherwise would be34083
required to pay.34084

       (29) Failure to use universal blood and body fluid34085
precautions established by rules adopted under section 4731.051 of34086
the Revised Code;34087

       (30) Failure to provide notice to, and receive acknowledgment 34088
of the notice from, a patient when required by section 4731.143 of 34089
the Revised Code prior to providing nonemergency professional 34090
services, or failure to maintain that notice in the patient's 34091
file;34092

       (31) Failure of a physician supervising a physician assistant 34093
to maintain supervision in accordance with the requirements of 34094
Chapter 4730. of the Revised Code and the rules adopted under that 34095
chapter;34096

       (32) Failure of a physician or podiatrist to enter into a34097
standard care arrangement with a clinical nurse specialist,34098
certified nurse-midwife, or certified nurse practitioner with whom34099
the physician or podiatrist is in collaboration pursuant to34100
section 4731.27 of the Revised Code or failure to fulfill the34101
responsibilities of collaboration after entering into a standard34102
care arrangement;34103

       (33) Failure to comply with the terms of a consult agreement34104
entered into with a pharmacist pursuant to section 4729.39 of the34105
Revised Code;34106

       (34) Failure to cooperate in an investigation conducted by34107
the board under division (F) of this section, including failure to34108
comply with a subpoena or order issued by the board or failure to34109
answer truthfully a question presented by the board at a34110
deposition or in written interrogatories, except that failure to34111
cooperate with an investigation shall not constitute grounds for34112
discipline under this section if a court of competent jurisdiction34113
has issued an order that either quashes a subpoena or permits the34114
individual to withhold the testimony or evidence in issue;34115

       (35) Failure to supervise an acupuncturist in accordance with34116
Chapter 4762. of the Revised Code and the board's rules for34117
supervision of an acupuncturist;34118

       (36) Failure to supervise an anesthesiologist assistant in34119
accordance with Chapter 4760. of the Revised Code and the board's34120
rules for supervision of an anesthesiologist assistant;34121

       (37) Assisting suicide as defined in section 3795.01 of the34122
Revised Code.34123

       (C) Disciplinary actions taken by the board under divisions34124
(A) and (B) of this section shall be taken pursuant to an34125
adjudication under Chapter 119. of the Revised Code, except that34126
in lieu of an adjudication, the board may enter into a consent34127
agreement with an individual to resolve an allegation of a34128
violation of this chapter or any rule adopted under it. A consent34129
agreement, when ratified by an affirmative vote of not fewer than34130
six members of the board, shall constitute the findings and order34131
of the board with respect to the matter addressed in the34132
agreement. If the board refuses to ratify a consent agreement, the 34133
admissions and findings contained in the consent agreement shall 34134
be of no force or effect.34135

       If the board takes disciplinary action against an individual34136
under division (B) of this section for a second or subsequent plea34137
of guilty to, or judicial finding of guilt of, a violation of34138
section 2919.123 of the Revised Code, the disciplinary action34139
shall consist of a suspension of the individual's certificate to34140
practice for a period of at least one year or, if determined34141
appropriate by the board, a more serious sanction involving the34142
individual's certificate to practice. Any consent agreement34143
entered into under this division with an individual that pertains34144
to a second or subsequent plea of guilty to, or judicial finding34145
of guilt of, a violation of that section shall provide for a34146
suspension of the individual's certificate to practice for a34147
period of at least one year or, if determined appropriate by the34148
board, a more serious sanction involving the individual's34149
certificate to practice.34150

       (D) For purposes of divisions (B)(10), (12), and (14) of this34151
section, the commission of the act may be established by a finding 34152
by the board, pursuant to an adjudication under Chapter 119. of 34153
the Revised Code, that the individual committed the act. The board34154
does not have jurisdiction under those divisions if the trial 34155
court renders a final judgment in the individual's favor and that 34156
judgment is based upon an adjudication on the merits. The board 34157
has jurisdiction under those divisions if the trial court issues 34158
an order of dismissal upon technical or procedural grounds.34159

       (E) The sealing of conviction records by any court shall have34160
no effect upon a prior board order entered under this section or 34161
upon the board's jurisdiction to take action under this section34162
if, based upon a plea of guilty, a judicial finding of guilt, or a34163
judicial finding of eligibility for intervention in lieu of34164
conviction, the board issued a notice of opportunity for a hearing34165
prior to the court's order to seal the records. The board shall34166
not be required to seal, destroy, redact, or otherwise modify its34167
records to reflect the court's sealing of conviction records.34168

       (F)(1) The board shall investigate evidence that appears to34169
show that a person has violated any provision of this chapter or34170
any rule adopted under it. Any person may report to the board in a 34171
signed writing any information that the person may have that34172
appears to show a violation of any provision of this chapter or34173
any rule adopted under it. In the absence of bad faith, any person 34174
who reports information of that nature or who testifies before the 34175
board in any adjudication conducted under Chapter 119. of the 34176
Revised Code shall not be liable in damages in a civil action as a 34177
result of the report or testimony. Each complaint or allegation of 34178
a violation received by the board shall be assigned a case number 34179
and shall be recorded by the board.34180

       (2) Investigations of alleged violations of this chapter or34181
any rule adopted under it shall be supervised by the supervising34182
member elected by the board in accordance with section 4731.02 of34183
the Revised Code and by the secretary as provided in section34184
4731.39 of the Revised Code. The president may designate another34185
member of the board to supervise the investigation in place of the34186
supervising member. No member of the board who supervises the34187
investigation of a case shall participate in further adjudication34188
of the case.34189

       (3) In investigating a possible violation of this chapter or34190
any rule adopted under this chapter, the board may administer34191
oaths, order the taking of depositions, issue subpoenas, and34192
compel the attendance of witnesses and production of books,34193
accounts, papers, records, documents, and testimony, except that a34194
subpoena for patient record information shall not be issued34195
without consultation with the attorney general's office and34196
approval of the secretary and supervising member of the board.34197
Before issuance of a subpoena for patient record information, the34198
secretary and supervising member shall determine whether there is34199
probable cause to believe that the complaint filed alleges a34200
violation of this chapter or any rule adopted under it and that34201
the records sought are relevant to the alleged violation and34202
material to the investigation. The subpoena may apply only to34203
records that cover a reasonable period of time surrounding the34204
alleged violation.34205

       On failure to comply with any subpoena issued by the board34206
and after reasonable notice to the person being subpoenaed, the34207
board may move for an order compelling the production of persons34208
or records pursuant to the Rules of Civil Procedure.34209

       A subpoena issued by the board may be served by a sheriff,34210
the sheriff's deputy, or a board employee designated by the board.34211
Service of a subpoena issued by the board may be made by34212
delivering a copy of the subpoena to the person named therein,34213
reading it to the person, or leaving it at the person's usual34214
place of residence. When the person being served is a person whose 34215
practice is authorized by this chapter, service of the subpoena 34216
may be made by certified mail, restricted delivery, return receipt 34217
requested, and the subpoena shall be deemed served on the date 34218
delivery is made or the date the person refuses to accept 34219
delivery.34220

       A sheriff's deputy who serves a subpoena shall receive the34221
same fees as a sheriff. Each witness who appears before the board34222
in obedience to a subpoena shall receive the fees and mileage34223
provided for witnesses in civil cases in the courts of common34224
pleas.34225

       (4) All hearings and investigations of the board shall be34226
considered civil actions for the purposes of section 2305.252 of34227
the Revised Code.34228

       (5) Information received by the board pursuant to an34229
investigation is confidential and not subject to discovery in any34230
civil action.34231

       The board shall conduct all investigations and proceedings in34232
a manner that protects the confidentiality of patients and persons34233
who file complaints with the board. The board shall not make34234
public the names or any other identifying information about34235
patients or complainants unless proper consent is given or, in the34236
case of a patient, a waiver of the patient privilege exists under34237
division (B) of section 2317.02 of the Revised Code, except that34238
consent or a waiver of that nature is not required if the board34239
possesses reliable and substantial evidence that no bona fide34240
physician-patient relationship exists.34241

       The board may share any information it receives pursuant to34242
an investigation, including patient records and patient record34243
information, with law enforcement agencies, other licensing34244
boards, and other governmental agencies that are prosecuting,34245
adjudicating, or investigating alleged violations of statutes or34246
administrative rules. An agency or board that receives the34247
information shall comply with the same requirements regarding34248
confidentiality as those with which the state medical board must34249
comply, notwithstanding any conflicting provision of the Revised34250
Code or procedure of the agency or board that applies when it is34251
dealing with other information in its possession. In a judicial34252
proceeding, the information may be admitted into evidence only in34253
accordance with the Rules of Evidence, but the court shall require34254
that appropriate measures are taken to ensure that confidentiality34255
is maintained with respect to any part of the information that34256
contains names or other identifying information about patients or34257
complainants whose confidentiality was protected by the state34258
medical board when the information was in the board's possession.34259
Measures to ensure confidentiality that may be taken by the court34260
include sealing its records or deleting specific information from34261
its records.34262

       (6) On a quarterly basis, the board shall prepare a report34263
that documents the disposition of all cases during the preceding34264
three months. The report shall contain the following information34265
for each case with which the board has completed its activities:34266

       (a) The case number assigned to the complaint or alleged34267
violation;34268

       (b) The type of certificate to practice, if any, held by the34269
individual against whom the complaint is directed;34270

       (c) A description of the allegations contained in the34271
complaint;34272

       (d) The disposition of the case.34273

       The report shall state how many cases are still pending and34274
shall be prepared in a manner that protects the identity of each34275
person involved in each case. The report shall be a public record34276
under section 149.43 of the Revised Code.34277

       (G) If the secretary and supervising member determine that34278
there is clear and convincing evidence that an individual has34279
violated division (B) of this section and that the individual's34280
continued practice presents a danger of immediate and serious harm34281
to the public, they may recommend that the board suspend the34282
individual's certificate to practice without a prior hearing.34283
Written allegations shall be prepared for consideration by the34284
board.34285

       The board, upon review of those allegations and by an34286
affirmative vote of not fewer than six of its members, excluding34287
the secretary and supervising member, may suspend a certificate34288
without a prior hearing. A telephone conference call may be34289
utilized for reviewing the allegations and taking the vote on the34290
summary suspension.34291

       The board shall issue a written order of suspension by34292
certified mail or in person in accordance with section 119.07 of34293
the Revised Code. The order shall not be subject to suspension by34294
the court during pendency of any appeal filed under section 119.1234295
of the Revised Code. If the individual subject to the summary34296
suspension requests an adjudicatory hearing by the board, the date34297
set for the hearing shall be within fifteen days, but not earlier34298
than seven days, after the individual requests the hearing, unless34299
otherwise agreed to by both the board and the individual.34300

       Any summary suspension imposed under this division shall34301
remain in effect, unless reversed on appeal, until a final34302
adjudicative order issued by the board pursuant to this section34303
and Chapter 119. of the Revised Code becomes effective. The board34304
shall issue its final adjudicative order within sixtyseventy-five34305
days after completion of its hearing. A failure to issue the order34306
within sixtyseventy-five days shall result in dissolution of the 34307
summary suspension order but shall not invalidate any subsequent, 34308
final adjudicative order.34309

       (H) If the board takes action under division (B)(9), (11), or 34310
(13) of this section and the judicial finding of guilt, guilty34311
plea, or judicial finding of eligibility for intervention in lieu34312
of conviction is overturned on appeal, upon exhaustion of the34313
criminal appeal, a petition for reconsideration of the order may34314
be filed with the board along with appropriate court documents.34315
Upon receipt of a petition of that nature and supporting court34316
documents, the board shall reinstate the individual's certificate34317
to practice. The board may then hold an adjudication under Chapter 34318
119. of the Revised Code to determine whether the individual34319
committed the act in question. Notice of an opportunity for a 34320
hearing shall be given in accordance with Chapter 119. of the 34321
Revised Code. If the board finds, pursuant to an adjudication held 34322
under this division, that the individual committed the act or if34323
no hearing is requested, the board may order any of the sanctions34324
identified under division (B) of this section.34325

       (I) The certificate to practice issued to an individual under34326
this chapter and the individual's practice in this state are34327
automatically suspended as of the date of the individual's second34328
or subsequent plea of guilty to, or judicial finding of guilt of,34329
a violation of section 2919.123 of the Revised Code, or the date 34330
the individual pleads guilty to, is found by a judge or jury to be 34331
guilty of, or is subject to a judicial finding of eligibility for 34332
intervention in lieu of conviction in this state or treatment or 34333
intervention in lieu of conviction in another jurisdiction for any 34334
of the following criminal offenses in this state or a34335
substantially equivalent criminal offense in another jurisdiction: 34336
aggravated murder, murder, voluntary manslaughter, felonious 34337
assault, kidnapping, rape, sexual battery, gross sexual 34338
imposition, aggravated arson, aggravated robbery, or aggravated 34339
burglary. Continued practice after suspension shall be considered 34340
practicing without a certificate.34341

       The board shall notify the individual subject to the34342
suspension by certified mail or in person in accordance with34343
section 119.07 of the Revised Code. If an individual whose34344
certificate is automatically suspended under this division fails 34345
to make a timely request for an adjudication under Chapter 119. of 34346
the Revised Code, the board shall do whichever of the following is 34347
applicable:34348

       (1) If the automatic suspension under this division is for a34349
second or subsequent plea of guilty to, or judicial finding of34350
guilt of, a violation of section 2919.123 of the Revised Code, the34351
board shall enter an order suspending the individual's certificate34352
to practice for a period of at least one year or, if determined34353
appropriate by the board, imposing a more serious sanction34354
involving the individual's certificate to practice.34355

       (2) In all circumstances in which division (I)(1) of this 34356
section does not apply, enter a final order permanently revoking 34357
the individual's certificate to practice.34358

       (J) If the board is required by Chapter 119. of the Revised34359
Code to give notice of an opportunity for a hearing and if the34360
individual subject to the notice does not timely request a hearing34361
in accordance with section 119.07 of the Revised Code, the board34362
is not required to hold a hearing, but may adopt, by an34363
affirmative vote of not fewer than six of its members, a final34364
order that contains the board's findings. In that final order, the 34365
board may order any of the sanctions identified under division (A) 34366
or (B) of this section.34367

       (K) Any action taken by the board under division (B) of this34368
section resulting in a suspension from practice shall be34369
accompanied by a written statement of the conditions under which34370
the individual's certificate to practice may be reinstated. The34371
board shall adopt rules governing conditions to be imposed for34372
reinstatement. Reinstatement of a certificate suspended pursuant34373
to division (B) of this section requires an affirmative vote of34374
not fewer than six members of the board.34375

       (L) When the board refuses to grant a certificate to an34376
applicant, revokes an individual's certificate to practice,34377
refuses to register an applicant, or refuses to reinstate an34378
individual's certificate to practice, the board may specify that34379
its action is permanent. An individual subject to a permanent34380
action taken by the board is forever thereafter ineligible to hold34381
a certificate to practice and the board shall not accept an34382
application for reinstatement of the certificate or for issuance34383
of a new certificate.34384

       (M) Notwithstanding any other provision of the Revised Code,34385
all of the following apply:34386

       (1) The surrender of a certificate issued under this chapter34387
shall not be effective unless or until accepted by the board.34388
Reinstatement of a certificate surrendered to the board requires34389
an affirmative vote of not fewer than six members of the board.34390

       (2) An application for a certificate made under the34391
provisions of this chapter may not be withdrawn without approval34392
of the board.34393

       (3) Failure by an individual to renew a certificate of34394
registration in accordance with this chapter shall not remove or34395
limit the board's jurisdiction to take any disciplinary action34396
under this section against the individual.34397

       (N) Sanctions shall not be imposed under division (B)(28) of34398
this section against any person who waives deductibles and34399
copayments as follows:34400

       (1) In compliance with the health benefit plan that expressly 34401
allows such a practice. Waiver of the deductibles or copayments 34402
shall be made only with the full knowledge and consent of the plan 34403
purchaser, payer, and third-party administrator. Documentation of34404
the consent shall be made available to the board upon request.34405

       (2) For professional services rendered to any other person34406
authorized to practice pursuant to this chapter, to the extent34407
allowed by this chapter and rules adopted by the board.34408

       (O) Under the board's investigative duties described in this34409
section and subject to division (F) of this section, the board34410
shall develop and implement a quality intervention program34411
designed to improve through remedial education the clinical and34412
communication skills of individuals authorized under this chapter34413
to practice medicine and surgery, osteopathic medicine and34414
surgery, and podiatric medicine and surgery. In developing and34415
implementing the quality intervention program, the board may do34416
all of the following:34417

       (1) Offer in appropriate cases as determined by the board an34418
educational and assessment program pursuant to an investigation34419
the board conducts under this section;34420

       (2) Select providers of educational and assessment services,34421
including a quality intervention program panel of case reviewers;34422

       (3) Make referrals to educational and assessment service34423
providers and approve individual educational programs recommended34424
by those providers. The board shall monitor the progress of each34425
individual undertaking a recommended individual educational34426
program.34427

       (4) Determine what constitutes successful completion of an34428
individual educational program and require further monitoring of34429
the individual who completed the program or other action that the34430
board determines to be appropriate;34431

       (5) Adopt rules in accordance with Chapter 119. of the34432
Revised Code to further implement the quality intervention34433
program.34434

       An individual who participates in an individual educational34435
program pursuant to this division shall pay the financial34436
obligations arising from that educational program.34437

       Sec. 4736.01.  As used in this chapter:34438

       (A) "Environmental health science" means the aspect of public 34439
health science that includes, but is not limited to, the following 34440
bodies of knowledge: air quality, food quality and protection, 34441
hazardous and toxic substances, consumer product safety, housing, 34442
institutional health and safety, community noise control, 34443
radiation protection, recreational facilities, solid and liquid 34444
waste management, vector control, drinking water quality, milk 34445
sanitation, and rabies control.34446

       (B) "Sanitarian" means a person who performs for compensation 34447
educational, investigational, technical, or administrative duties 34448
requiring specialized knowledge and skills in the field of 34449
environmental health science.34450

       (C) "Registered sanitarian" means a person who is registered34451
as a sanitarian in accordance with this chapter.34452

       (D) "Sanitarian-in-training" means a person who is registered 34453
as a sanitarian-in-training in accordance with this chapter.34454

       (E) "Practice of environmental health" means consultation,34455
instruction, investigation, inspection, or evaluation by an34456
employee of a city health district, a general health district, the 34457
environmental protection agency, the department of health, or the 34458
department of agriculture requiring specialized knowledge,34459
training, and experience in the field of environmental health34460
science, with the primary purpose of improving or conducting34461
administration or enforcement under any of the following:34462

       (1) Chapter 911., 913., 917., 3717., 3718., 3721., 3729., or34463
3733. of the Revised Code;34464

       (2) Chapter 3734. of the Revised Code as it pertains to solid 34465
waste;34466

       (3) Section 955.26, 3701.344, 3707.01, or 3707.03, sections 34467
3707.38 to 3707.99, or section 3715.21 of the Revised Code;34468

       (4) Rules adopted under section 3701.34 of the Revised Code34469
pertaining to home sewage, rabies control, or swimming pools;34470

       (5) Rules adopted under section 3701.935 of the Revised Code 34471
for school health and safety network inspections and rules adopted 34472
under section 3707.26 of the Revised Code for sanitary 34473
inspections.34474

       "Practice of environmental health" does not include sampling,34475
testing, controlling of vectors, reporting of observations, or34476
other duties that do not require application of specialized34477
knowledge and skills in environmental health science performed34478
under the supervision of a registered sanitarian.34479

       The state board of sanitarian registration may further define34480
environmental health science in relation to specific functions in34481
the practice of environmental health through rules adopted by the34482
board under Chapter 119. of the Revised Code.34483

       Sec. 4743.05.  Except as otherwise provided in sections34484
4701.20, 4723.062, 4723.082, and 4729.65 of the Revised Code, all 34485
money collected under Chapters 3773., 4701., 4703., 4709., 4713., 34486
4715., 4717., 4723., 4725., 4729., 4732., 4733., 4734., 4736., 34487
4741., 4753., 4755., 4757., 4758., 4759., 4761., 4766., 4771., 34488
4775., 4779., and 4781. of the Revised Code shall be paid into the 34489
state treasury to the credit of the occupational licensing and 34490
regulatory fund, which is hereby created for use in administering 34491
such chapters.34492

       At the end of each quarter, the director of budget and34493
management shall transfer from the occupational licensing and34494
regulatory fund to the nurse education assistance fund created in34495
section 3333.28 of the Revised Code the amount certified to the34496
director under division (B) of section 4723.08 of the Revised34497
Code.34498

       At the end of each quarter, the director shall transfer from34499
the occupational licensing and regulatory fund to the certified34500
public accountant education assistance fund created in section34501
4701.26 of the Revised Code the amount certified to the director34502
under division (H)(2) of section 4701.10 of the Revised Code.34503

       Sec. 4755.03. AllExcept as provided in section 4755.99 of 34504
the Revised Code, all fees and fines collected and assessed under 34505
this chapter by the appropriate section of the Ohio occupational 34506
therapy, physical therapy, and athletic trainers board, shall be 34507
deposited into the state treasury to the credit of the 34508
occupational licensing and regulatory fund.34509

       Sec. 4766.05.  (A) The Ohio medical transportation board34510
shall establish by rule a license fee, a permit fee for each34511
ambulance, ambulette, rotorcraft air ambulance, fixed wing air 34512
ambulance, and nontransport vehicle owned or leased by the34513
licensee that is or will be used as provided in section 4766.07 of 34514
the Revised Code, and fees for renewals of licenses and permits, 34515
taking into consideration the actual costs incurred by the board 34516
in carrying out its duties under this chapter. However, the fee 34517
for each license and each renewal of a license shall not exceed 34518
one hundred dollars, and the fee for each permit and each renewal 34519
of a permit shall not exceed one hundred dollars for each34520
ambulance, rotorcraft air ambulance, fixed wing air ambulance, and34521
nontransport vehicle. The fee for each permit and each renewal of34522
a permit shall be twenty-five dollars for each ambulette for one34523
year after the effective date of this amendmentMarch 9, 2004.34524
Thereafter, the board shall determine by rule the fee, which shall 34525
not exceed fifty dollars, for each permit and each renewal of a 34526
permit for each ambulette. For purposes of establishing fees, 34527
"actual costs" includes the costs of salaries, expenses, 34528
inspection equipment, supervision, and program administration.34529

       (B) The board shall deposit all fees and other moneys34530
collected pursuant to sections 4766.04, 4766.07, and 4766.08 of34531
the Revised Code in the state treasury to the credit of the Ohio 34532
medical transportation trustoccupational licensing and regulatory34533
fund, which is hereby created by section 4743.05 of the Revised 34534
Code. All moneys from the fund shall be used solely for the34535
salaries and expenses of the board incurred in implementing and34536
enforcing this chapter.34537

       (C) The board, subject to the approval of the controlling34538
board, may establish fees in excess of the maximum amounts allowed34539
under division (A) of this section, but such fees shall not exceed34540
those maximum amounts by more than fifty per cent.34541

       Sec. 4775.08.  (A) The initial and annual renewal fee for a34542
motor vehicle collision repair registration certificate and for a34543
temporary motor vehicle collision repair registration certificate34544
is one hundred fifty dollars for each business location at which34545
the motor vehicle collision repair operator conducts business as34546
an operator, except that the board of motor vehicle collision34547
repair registration, with the approval of the controlling board,34548
may establish fees in excess of or less than that amount, provided34549
that such fees do not exceed or are not less than that amount by34550
more than fifty per cent.34551

       The board shall adjust the fees as necessary in order to34552
provide for the expenses associated with carrying out this chapter34553
without causing an excessive build-up of surplus funds in the34554
motor vehicle collision repair registration fund, which is hereby34555
created in the state treasury.34556

       (B) If the board has notified or attempted to notify a motor34557
vehicle collision repair operator that the operator is required to34558
be registered under this chapter, and the operator fails to34559
register, the initial fee for the registration of such an34560
unregistered operator for each business location at which the34561
operator conducts business as an operator, is the initial fee then34562
in effect plus an additional amount equal to the initial fee then34563
in effect for each calendar year that the operator is not34564
registered after the board has notified or attempted to notify the34565
operator.34566

       (C) The board shall deposit all fees and fines collected34567
under this chapter into the motor vehicle collision repair34568
registration fund. The board shall use the fund solely for the34569
administration and enforcement of this chapteroccupational 34570
licensing and regulatory fund created by section 4743.05 of the 34571
Revised Code.34572

       Sec. 4921.40.  In accordance with section 4921.04 of the34573
Revised Code, the public utilities commission may adopt rules:34574

       (A) Providing for binding estimates by motor transportation 34575
companies engaged, for hire, in the business of transporting 34576
household goods over a public highway in this state;34577

       (B) Providing for guaranteed-not-to-exceed estimates by such 34578
motor transportation companies;34579

       (C) Requiring such motor transportation companies to include 34580
their certificate number in all advertising, written estimates, 34581
and contracts related to the transportation of household goods in 34582
this state;34583

       (D) As are necessary and proper to carry out this chapter 34584
with respect to such motor transportation companies;34585

        (E) Providing for the enforcement of the consumer protection 34586
provisions of Title 49 of the United States Code related to the 34587
delivery and transportation of household goods in interstate 34588
commerce, as permitted by 49 U.S.C. 14710. Any fine or penalty 34589
imposed as a result of such enforcement shall be deposited into 34590
the state treasury to the credit of the general revenue fund.34591

       Sec. 4923.26. There is hereby created in the state treasury 34592
the federal commercial vehicle transportation systems fund. The 34593
fund shall consist of money received from the United States 34594
department of transportation's commercial vehicle intelligent 34595
transportation systems infrastructure deployment program. The 34596
public utilities commission shall use the fund to deploy the Ohio 34597
commercial vehicle information systems networks project and to 34598
improve safety of motor carrier operations through electronic 34599
exchange of data by means of on-highway electronic systems.34600

       Sec. 5101.162.  Subject to available federal funds and 34601
appropriations made by the general assembly, the department of job 34602
and family services may, at its sole discretion, use available 34603
federal funds to reimburse county expenditures for county 34604
administration of food stamps or medicaid even though the county 34605
expenditures meet or exceed the maximum allowable reimbursement34606
amount established by rules adopted under section 5101.161 of the34607
Revised Code if the board of county commissioners has entered into 34608
a fiscal agreement with the director of job and family services 34609
under section 5101.21 of the Revised Code. The director may adopt34610
internal management rules in accordance with section 111.15 of the 34611
Revised Code to implement this section.34612

       Sec. 5101.21.  (A) As used in this section, "county signer34613
sections 5101.21 to 5101.212 of the Revised Code:34614

       (1) "County grantee" means all of the following:34615

       (1)(a) A board of county commissioners;34616

       (2)(b) A county children services board appointed under 34617
section 5153.03 of the Revised Code if required by division (B) of 34618
this section to enter into a fiscal agreement;34619

       (3)(c) A county elected official that is a child support 34620
enforcement agency if required by division (B) of this section to 34621
enter into a fiscal agreement.34622

       (2) "County subgrant" means a grant that a county grantee 34623
awards to another entity.34624

       (3) "County subgrant agreement" means an agreement between a 34625
county grantee and another entity under which the county grantee 34626
awards the other entity one or more county subgrants.34627

        (4) "Fiscal biennial period" means a two-year period 34628
beginning on the first day of July of an odd-numbered year and 34629
ending on the last day of June of the next odd-numbered year.34630

        (5) "Grant" means an award for one or more family services 34631
duties of federal financial assistance that a federal agency 34632
provides in the form of money, or property in lieu of money, to 34633
the department of job and family services and that the department 34634
awards to a county grantee. "Grant" may include state funds the 34635
department awards to a county grantee to match the federal 34636
financial assistance. "Grant" does not mean either of the 34637
following:34638

        (a) Technical assistance that provides services instead of 34639
money;34640

        (b) Other assistance provided in the form of revenue sharing, 34641
loans, loan guarantees, interest subsidies, or insurance.34642

       (6) "Grant agreement" means an agreement between the 34643
department of job and family services and a county grantee under 34644
which the department awards the county grantee one or more grants. 34645

       (B) TheEffective July 1, 2008, the director of job and 34646
family services may award grants to counties only through grant 34647
agreements entered into under this section.34648

       (C) The director shall enter into one or more written fiscal34649
grant agreements with boards ofthe county commissioners under 34650
which financial assistance is awarded for family services duties 34651
included in the agreementsgrantees of each county. Boards of 34652
county commissioners shall select which family services duties to 34653
include in a fiscal agreement. If a board of county commissioners 34654
elects to include family services duties of a public children 34655
services agency and a county children services board appointed 34656
under section 5153.03 of the Revised Code serves as the county's 34657
public children services agency, the board of county commissioners 34658
and county children services board shall jointly enter into the 34659
fiscal agreement with the director. If a board of county 34660
commissioners elects to include family services duties of a child 34661
support enforcement agency and the entity designated under former 34662
section 2301.35 of the Revised Code prior to October 1, 1997, or 34663
designated under section 307.981 of the Revised Code as the 34664
county's child support enforcement agency is an elected official 34665
of the county, the board of county commissioners and county 34666
elected officialIf a county has multiple county grantees, the 34667
director shall jointly enter into the fiscalgrant agreement with 34668
the directorall of the county grantees. The initial grant 34669
agreement shall be entered into not later than January 31, 2008, 34670
and shall be in effect for fiscal year 2009. Except as provided in 34671
rules adopted under this section, subsequent grant agreements 34672
shall be entered into before the first day of each successive 34673
fiscal biennial period and shall be in effect for that fiscal 34674
biennial period or, in the case of a grant agreement entered into 34675
after the first day of a fiscal biennial period and except as 34676
provided by section 5101.211 of the Revised Code, for the 34677
remainder of the fiscal biennial period. A fiscalgrant agreement 34678
shall do all of the following:34679

       (1) Comply with all of the conditions, requirements, and 34680
restrictions applicable to the family services duties for which 34681
the grants included in the agreement are awarded, including the 34682
conditions, requirements, and restrictions established by the 34683
department, federal or state law, state plans for receipt of 34684
federal financial participation, agreements between the department 34685
and a federal agency, and executive orders issued by the governor;34686

        (2) Establish terms and conditions governing the 34687
accountability for and use of the grants included in the grant 34688
agreement;34689

        (3) Specify theboth of the following:34690

       (a) The family services duties included in the agreement and 34691
thefor which the grants included in the agreement are awarded;34692

       (b) The private and government entities designated under 34693
section 307.981 of the Revised Code to serve as the county family 34694
services agencies performing the family services duties;34695

       (2)(4) Provide for the department of job and family services 34696
to award financial assistance for the family services duties34697
grants included in the agreement in accordance with a methodology 34698
for determining the amount of the award established by rules 34699
adopted under division (D) of this section;34700

       (3)(5) Specify the form of the award of financial assistance34701
grants which may be an allocation,a cash draw, reimbursement, 34702
property, advance, working capital advance, or, to the extent 34703
authorized by an appropriation made by the general assembly and to 34704
the extent practicable and not in conflict with a federal or state 34705
law, a consolidated funding allocation for two or more family 34706
services duties included in the agreementother forms specified in 34707
rules adopted under this section;34708

       (4)(6) Provide that the award of financial assistance is34709
grants are subject to the availability of federal funds and 34710
appropriations made by the general assembly;34711

       (5)(7) Specify annual financial, administrative, or other 34712
incentive awards, if any, to be provided in accordance with 34713
section 5101.23 of the Revised Code;34714

       (6)(8) Include the assurance of each county signergrantee34715
that the county signergrantee will do all of the following:34716

       (a) Ensure that the financial assistance awarded undergrants 34717
included in the agreement isare used, and the family services 34718
duties included infor which the agreementgrants are awarded are 34719
performed, in accordance with conditions, requirements for, and 34720
restrictions applicable to the duties established by the 34721
department, a federal or state law, or any of the following that 34722
concern the family services duties included in the fiscal 34723
agreement and are published under section 5101.212 of the Revised 34724
Code: state plans for receipt of federal financial participation, 34725
grant agreements between the department and a federal agency, and 34726
executive orders issued by the governor;34727

       (b) Ensure that the board and county family services agencies 34728
utilizeUtilize a financial management system and other 34729
accountability mechanisms for the financial assistancegrants34730
awarded under the agreement that meet requirements the department 34731
establishes;34732

       (c) Require the county family services agencies to do bothDo 34733
all of the following with regard to a county subgrant:34734

       (i) Award the subgrant through a written county subgrant 34735
agreement that requires the entity awarded the county subgrant to 34736
comply with all conditions, requirements, and restrictions 34737
applicable to the county grantee regarding the grant that the 34738
county grantee subgrants to the entity, including the conditions, 34739
requirements, and restrictions of this section;34740

        (ii) Monitor all private and government entitiesthe entity34741
that receive a payment from financial assistanceis awarded under34742
the agreementsubgrant to ensure that eachthe entity uses the 34743
paymentsubgrant in accordance with conditions, requirements for, 34744
and restrictions applicable to the family services duties included 34745
infor which the agreementsubgrant is awarded;34746

       (ii)(iii) Take action to recover paymentssubgrants that are 34747
not used in accordance with the conditions, requirements for, or 34748
restrictions applicable to the family services duties included in34749
for which the agreementsubgrant is awarded.34750

       (d) Require county family services agencies to promptly34751
Promptly reimburse the department the amount that represents the 34752
amount an agencythe county grantee is responsible for, pursuant 34753
to action the department takes under division (C) of section 34754
5101.24 of the Revised Code, of funds the department pays to any 34755
entity because of an adverse audit finding, adverse quality 34756
control finding, final disallowance of federal financial 34757
participation, or other sanction or penalty;34758

       (e) Require county family services agencies to takeTake34759
prompt corrective action, including paying amounts resulting from 34760
an adverse finding, sanction, or penalty, if the department, 34761
auditor of state, federal agency, or other entity authorized by 34762
federal or state law to determine compliance with the conditions,34763
requirements for, and restrictions applicable to a family services 34764
duty for which a grant included in the agreement is awarded34765
determines compliance has not been achieved;34766

        (f) Ensure that any matching funds, regardless of the source, 34767
that the county grantee manages are clearly identified and used in 34768
accordance with federal and state laws and the agreement.34769

       (7)(9) Provide for the department taking action pursuant to 34770
division (C) of section 5101.24 of the Revised Code if authorized 34771
by division (B)(1), (2), (3), or (4) of that section;34772

       (8)(10) Provide for timely audits required by federal and 34773
state law and require prompt release of audit findings and prompt 34774
action to correct problems identified in an audit;34775

       (9) Comply with all of the requirements for the family 34776
services duties that are included in the agreement and have been 34777
established by the department, federal or state law, or any of the 34778
following that concern the family services duties included in the 34779
fiscal agreement and are published under section 5101.212 of the 34780
Revised Code: state plans for receipt of federal financial 34781
participation, grant agreements between the department and a 34782
federal agency, and executive orders issued by the governor;34783

       (10)(11) Provide for dispute resolutionadministrative review34784
procedures in accordance with section 5101.24 of the Revised Code;34785

       (11)(12) Establish the method of amending or terminating the 34786
agreement and an expedited process for correcting terms or 34787
conditions of the agreement that the director and each county 34788
signergrantee agree are erroneous;34789

       (12) Except as provided in rules adopted under division (D) 34790
of this section, begin on the first day of July of an odd-numbered 34791
year and end on the last day of June of the next odd-numbered 34792
year.34793

       (C)(D) A grant agreement does not have to be amended for a 34794
county grantee to be required to comply with a new or amended 34795
condition, requirement, or restriction for a family services duty 34796
established by federal or state law, state plan for receipt of 34797
federal financial participation, agreement between the department 34798
and a federal agency, or executive order issued by the governor.34799

        (E) The department shall make payments authorized by a fiscal34800
grant agreement on vouchers it prepares and may include any funds 34801
appropriated or allocated to it for carrying out family services 34802
duties for which a grant included in the agreement is awarded, 34803
including funds for personal services and maintenance.34804

       (D)(F)(1) The director shall adopt rules in accordance with 34805
section 111.15 of the Revised Code governing fiscalgrant34806
agreements. The director shall adopt the rules as if they were 34807
internal management rules. Before adopting the rules, the director 34808
shall give the public an opportunity to review and comment on the 34809
proposed rules. The rules shall establish methodologies to be used 34810
to determine the amount of financial assistance to be awarded 34811
underthe grants included in the agreements. The rules also shall 34812
establish terms and conditions under which an agreement may be 34813
entered into after the first day of July of an odd-numbered yeara 34814
fiscal biennial period. The rules may do any or all of the 34815
following:34816

       (a) Govern the award of grants included in grant agreements, 34817
including the establishment of allocations, and restrictions on, 34818
the form of the grants and the distribution of the grants;34819

       (b) Specify allowable uses of financial assistance awarded 34820
underthe grants included in the agreements;34821

       (c) Establish reporting, cash management, audit, and other 34822
requirements the director determines are necessary to provide 34823
accountability for the use of financial assistance awarded under34824
the grants included in the agreements and determine compliance 34825
with conditions, requirements, and restrictions established by the 34826
department, a federal or state law, or any of the following that 34827
concern the family services duties included in the agreements and 34828
are published under section 5101.212 of the Revised Code: state 34829
plans for receipt of federal financial participation, grant34830
agreements between the department and a federal entityagency, and 34831
executive orders issued by the governor.34832

       (2) A requirement of a fiscalgrant agreement established by 34833
a rule adopted under this division is applicable to a fiscalgrant34834
agreement without having to be restated in the fiscalgrant34835
agreement. A requirement established by a grant agreement is 34836
applicable to the grant agreement without having to be restated in 34837
a rule.34838

       Sec. 5101.211. (A) Except as provided in division (B) of 34839
this section, theThe director of job and family services may 34840
provide for a fiscalgrant agreement entered into under section 34841
5101.21 of the Revised Code to have a retroactive effective date 34842
of the first day of July of an odd-numbered year if both of the 34843
following are the case:34844

       (1)(A) The agreement is entered into after that date and 34845
before the last day of that July.34846

       (2)(B) The board of county commissioners requests the 34847
retroactive effective date and provides the director good cause 34848
satisfactory to the director for the reason the agreement was not 34849
entered into on or before the first day of that July.34850

       (B) The director may provide for a fiscal agreement to have a 34851
retroactive effective date of July 1, 2003, if both of the 34852
following are the case:34853

       (1) The agreement is entered into after July 1, 2003, and 34854
before August 29, 2003.34855

       (2) The board of county commissioners requests the 34856
retroactive effective date.34857

       Sec. 5101.212.  The department of job and family services 34858
shall publish in a manner accessible to the public all of the 34859
following that concern family services duties for which grants34860
included in fiscalgrant agreements entered into under section 34861
5101.21 of the Revised Code are awarded: state plans for receipt 34862
of federal financial participation, grant agreements between the 34863
department and a federal agency, and executive orders issued by 34864
the governor. The department may publish the materials 34865
electronically or otherwise.34866

       Sec. 5101.213.  (A) Except as provided in section 5101.211 of 34867
the Revised Code, if a fiscal agreement under section 5101.21 of 34868
the Revised Code between the director of job and family services 34869
and a board of county commissioners is not in effectUntil July 1, 34870
2008, all of the following apply:34871

       (1) TheFor each board of county commissioners, the34872
department of job and family services shall award to the county 34873
the board serves financial assistance for family services duties 34874
in accordance with a methodology for determining the amount of the 34875
award established by rules adopted under division (B) of this 34876
section.34877

       (2) The financial assistance may be provided in the form of 34878
allocations, cash draws, reimbursements, and property but may not 34879
be made in the form of a consolidated funding allocation.34880

       (3) The award of the financial assistance is subject to the 34881
availability of federal funds and appropriations made by the 34882
general assembly.34883

       (4) The county family services agencies performing the family 34884
services duties for which the financial assistance is awarded 34885
shall do all of the following:34886

       (a) Use the financial assistance, and perform the family 34887
services duties, in accordance with requirements for the duties 34888
established by the department, a federal or state law, or any of 34889
the following that concern the duties: state plans for receipt of 34890
federal financial participation, grant agreements between the 34891
department and a federal agency, and executive orders issued by 34892
the governor;34893

       (b) Utilize a financial management system and other 34894
accountability mechanisms for the financial assistance that meet 34895
requirements the department establishes;34896

       (c) Monitor all private and government entities that receive 34897
a payment from the financial assistance to ensure that each entity 34898
uses the payment in accordance with requirements for the family 34899
services duties and take action to recover payments that are not 34900
used in accordance with the requirements for the family services 34901
duties;34902

       (d) Promptly reimburse the department the amount that 34903
represents the amount an agency is responsible for, pursuant to 34904
action the department takes under division (C) of section 5101.24 34905
of the Revised Code, of funds the department pays to any entity 34906
because of an adverse audit finding, adverse quality control 34907
finding, final disallowance of federal financial participation, or 34908
other sanction or penalty;34909

       (e) Take prompt corrective action, including paying amounts 34910
resulting from an adverse finding, sanction, or penalty, if the 34911
department, auditor of state, federal agency, or other entity 34912
authorized by federal or state law to determine compliance with 34913
requirements for a family services duty determines compliance has 34914
not been achieved.34915

       (B) The director shall adopt rules in accordance with section 34916
111.15 of the Revised Code as necessary to implement this section. 34917
The director shall adopt the rules as if they were internal 34918
management rules. Before adopting the rules, the director shall 34919
give the public an opportunity to review and comment on the 34920
proposed rules. The rules shall establish methodologies to be used 34921
to determine the amount of financial assistance to be awarded and 34922
may do any or all of the following:34923

       (1) Govern the establishment of funding allocations;34924

       (2) Specify allowable uses of financial assistance the 34925
department awards under this section;34926

       (3) Establish reporting, cash management, audit, and other 34927
requirements the director determines are necessary to provide 34928
accountability for the use of the financial assistance and 34929
determine compliance with requirements established by the 34930
department, a federal or state law, or any of the following that 34931
concern the family services duties for which the financial 34932
assistance is awarded: state plans for receipt of federal 34933
financial participation, grant agreements between the department 34934
and a federal entity, and executive orders issued by the governor.34935

       Sec. 5101.24.  (A) As used in this section, "responsible 34936
entitycounty grantee" means a board of county commissioners or a 34937
county family services agency, whichever county grantee, as 34938
defined in section 5101.21 of the Revised Code, the director of 34939
job and family services determines is appropriate to take action 34940
against under division (C) of this section.34941

       (B) Regardless of whether a family services duty is performed 34942
by a county family services agency, private or government entity 34943
pursuant to a contract entered into under section 307.982 of the 34944
Revised Code or division (C)(2) of section 5153.16 of the Revised 34945
Code, or private or government provider of a family service duty, 34946
the department of job and family services may take action under34947
division (C) of this section against the responsible entitycounty 34948
grantee if the department determines any of the following are the 34949
case:34950

       (1) A requirement of a fiscalgrant agreement entered into 34951
under section 5101.21 of the Revised Code that includes a grant 34952
for the family services duty, including a requirement for fiscal34953
grant agreements established by rules adopted under that section, 34954
is not complied with;34955

       (2) A county family services agency fails to develop, submit 34956
to the department, or comply with a corrective action plan under 34957
division (B) of section 5101.221 of the Revised Code, or the 34958
department disapproves the agency's corrective action plan 34959
developed under division (B) of section 5101.221 of the Revised 34960
Code;34961

        (3) A requirement for the family services duty established by 34962
the department or any of the following is not complied with: a 34963
federal or state law, state plan for receipt of federal financial 34964
participation, grant agreement between the department and a 34965
federal agency, or executive order issued by the governor;34966

       (4) The responsible entitycounty grantee is solely or 34967
partially responsible, as determined by the director of job and 34968
family services, for an adverse audit finding, adverse quality 34969
control finding, final disallowance of federal financial 34970
participation, or other sanction or penalty regarding the family 34971
services duty.34972

       (C) The department may take one or more of the following 34973
actions against the responsible entitycounty grantee when 34974
authorized by division (B)(1), (2), (3), or (4) of this section:34975

       (1) Require the responsible entitycounty grantee to comply 34976
with a corrective action plan pursuant to a time schedule 34977
specified by the department. The corrective action plan shall be 34978
established or approved by the department and shall not require a 34979
county family services agencygrantee to commit resources to the 34980
plan.34981

       (2) Require the responsible entitycounty grantee to comply 34982
with a corrective action plan pursuant to a time schedule 34983
specified by the department. The corrective action plan shall be 34984
established or approved by the department and require a county 34985
family services agencygrantee to commit to the plan existing 34986
resources identified by the agency.34987

        (3) Require the responsible entitycounty grantee to do one 34988
of the following:34989

       (a) Share with the department a final disallowance of federal34990
financial participation or other sanction or penalty;34991

       (b) Reimburse the department the final amount the department 34992
pays to the federal government or another entity that represents 34993
the amount the responsible entitycounty grantee is responsible 34994
for of an adverse audit finding, adverse quality control finding, 34995
final disallowance of federal financial participation, or other 34996
sanction or penalty issued by the federal government, auditor of 34997
state, or other entity;34998

       (c) Pay the federal government or another entity the final 34999
amount that represents the amount the responsible entitycounty 35000
grantee is responsible for of an adverse audit finding, adverse 35001
quality control finding, final disallowance of federal financial 35002
participation, or other sanction or penalty issued by the federal 35003
government, auditor of state, or other entity;35004

       (d) Pay the department the final amount that represents the 35005
amount the responsible entitycounty grantee is responsible for of 35006
an adverse audit finding or adverse quality control finding.35007

       (4) Impose an administrative sanction issued by the 35008
department against the responsible entitycounty grantee. A35009
sanction may be increased if the department has previously taken 35010
action against the responsible entity under this division.35011

       (5) Perform, or contract with a government or private entity 35012
for the entity to perform, the family services duty until the 35013
department is satisfied that the responsible entitycounty grantee35014
ensures that the duty will be performed satisfactorily. If the 35015
department performs or contracts with an entity to perform a35016
family services duty under division (C)(5) of this section, the35017
department may do either or both of the following:35018

       (a) Spend funds in the county treasury appropriated by the 35019
board of county commissioners for the duty;35020

       (b) Withhold funds allocated or reimbursements due to the 35021
responsible entitycounty grantee for the duty and spend the funds 35022
for the duty. 35023

       (6) Request that the attorney general bring mandamus35024
proceedings to compel the responsible entitycounty grantee to 35025
take or cease the action that causes division (B)(1), (2), (3), or 35026
(4) of this section to apply. The attorney general shall bring 35027
mandamus proceedings in the Franklin county court of appeals at 35028
the department's request.35029

       (7) If the department takes action under this division 35030
because of division (B)(3) of this section, temporarily withhold 35031
funds allocated or reimbursement due to the responsible entity35032
county grantee until the department determines that the 35033
responsible entitycounty grantee is in compliance with the 35034
requirement. The department shall release the funds when the 35035
department determines that compliance has been achieved.35036

       (D) If the department proposes to take action against the 35037
responsible entitycounty grantee under division (C) of this35038
section, the department shall notify the responsible entitycounty 35039
grantee, director of the appropriate county family services 35040
agency, and county auditor. The notice shall be in writing and 35041
specify the action the department proposes to take. The department 35042
shall send the notice by regular United States mail.35043

        Except as provided by division (E) of this section, the 35044
responsible entitycounty grantee may request an administrative 35045
review of a proposed action in accordance with administrative 35046
review procedures the department shall establish. The 35047
administrative review procedures shall comply with all of the 35048
following:35049

       (1) A request for an administrative review shall state 35050
specifically all of the following:35051

       (a) The proposed action specified in the notice from the 35052
department for which the review is requested;35053

       (b) The reason why the responsible entitycounty grantee35054
believes the proposed action is inappropriate;35055

       (c) All facts and legal arguments that the responsible entity35056
county grantee wants the department to consider;35057

       (d) The name of the person who will serve as the responsible 35058
entity'scounty grantee's representative in the review.35059

       (2) If the department's notice specifies more than one 35060
proposed action and the responsible entitycounty grantee does not 35061
specify all of the proposed actions in its request pursuant to 35062
division (D)(1)(a) of this section, the proposed actions not 35063
specified in the request shall not be subject to administrative 35064
review and the parts of the notice regarding those proposed 35065
actions shall be final and binding on the responsible entity35066
county grantee.35067

       (3) In the case of a proposed action under division (C)(1) of35068
this section, the responsible entitycounty grantee shall have 35069
fifteen calendar days after the department mails the notice to the 35070
responsible entitycounty grantee to send a written request to the 35071
department for an administrative review. If it receives such a35072
request within the required time, the department shall postpone35073
taking action under division (C)(1) of this section for fifteen 35074
calendar days following the day it receives the request or 35075
extended period of time provided for in division (D)(5) of this 35076
section to allow a representative of the department and a 35077
representative of the responsible entitycounty grantee an 35078
informal opportunity to resolve any dispute during that 35079
fifteen-day or extended period.35080

       (4) In the case of a proposed action under division (C)(2), 35081
(3), (4), (5), or (7) of this section, the responsible entity35082
county grantee shall have thirty calendar days after the 35083
department mails the notice to the responsible entitycounty 35084
grantee to send a written request to the department for an 35085
administrative review. If it receives such a request within the 35086
required time, the department shall postpone taking action under 35087
division (C)(2), (3), (4), (5), or (7) of this section for thirty 35088
calendar days following the day it receives the request or 35089
extended period of time provided for in division (D)(5) of this 35090
section to allow a representative of the department and a 35091
representative of the responsible entitycounty grantee an 35092
informal opportunity to resolve any dispute during that thirty-day 35093
or extended period.35094

       (5) If the informal opportunity provided in division (D)(3) 35095
or (4) of this section does not result in a written resolution to 35096
the dispute within the fifteen- or thirty-day period, the director 35097
of job and family services and representative of the responsible 35098
entitycounty grantee may enter into a written agreement extending 35099
the time period for attempting an informal resolution of the 35100
dispute under division (D)(3) or (4) of this section.35101

        (6) In the case of a proposed action under division (C)(3) of 35102
this section, the responsible entitycounty grantee may not 35103
include in its request disputes over a finding, final disallowance 35104
of federal financial participation, or other sanction or penalty 35105
issued by the federal government, auditor of state, or entity 35106
other than the department.35107

       (7) If the responsible entitycounty grantee fails to request 35108
an administrative review within the required time, the responsible 35109
entitycounty grantee loses the right to request an administrative 35110
review of the proposed actions specified in the notice and the 35111
notice becomes final and binding on the responsible entitycounty 35112
grantee.35113

       (8) If the informal opportunity provided in division (D)(3) 35114
or (4) of this section does not result in a written resolution to 35115
the dispute within the time provided by division (D)(3), (4), or 35116
(5) of this section, the director shall appoint an administrative 35117
review panel to conduct the administrative review. The review 35118
panel shall consist of department employees and one director or 35119
other representative of the type of county family services agency 35120
that is responsible for the kind of family services duty that is 35121
the subject of the dispute and serves a different county than the 35122
county served by the responsible entitycounty grantee. No 35123
individual involved in the department's proposal to take action 35124
against the responsible entitycounty grantee may serve on the 35125
review panel. The review panel shall review the responsible 35126
entity'scounty grantee's request. The review panel may require 35127
that the department or responsible entitycounty grantee submit 35128
additional information and schedule and conduct an informal 35129
hearing to obtain testimony or additional evidence. A review of a 35130
proposal to take action under division (C)(3) of this section 35131
shall be limited solely to the issue of the amount the responsible 35132
entitycounty grantee shall share with the department, reimburse 35133
the department, or pay to the federal government, department, or 35134
other entity under division (C)(3) of this section. The review 35135
panel is not required to make a stenographic record of its hearing 35136
or other proceedings.35137

       (9) After finishing an administrative review, an 35138
administrative review panel appointed under division (D)(8) of 35139
this section shall submit a written report to the director setting 35140
forth its findings of fact, conclusions of law, and 35141
recommendations for action. The director may approve, modify, or 35142
disapprove the recommendations. If the director modifies or 35143
disapproves the recommendations, the director shall state the 35144
reasons for the modification or disapproval and the actions to be 35145
taken against the responsible entitycounty grantee.35146

       (10) The director's approval, modification, or disapproval 35147
under division (D)(9) of this section shall be final and binding 35148
on the responsible entitycounty grantee and shall not be subject 35149
to further departmental review.35150

       (E) The responsible entitycounty grantee is not entitled to 35151
an administrative review under division (D) of this section for 35152
any of the following:35153

       (1) An action taken under division (C)(6) of this section;35154

       (2) An action taken under section 5101.242 of the Revised 35155
Code;35156

       (3) An action taken under division (C)(3) of this section if 35157
the federal government, auditor of state, or entity other than the 35158
department has identified the responsible county family services 35159
agencygrantee as being solely or partially responsible for an 35160
adverse audit finding, adverse quality control finding, final 35161
disallowance of federal financial participation, or other sanction 35162
or penalty;35163

       (4) An adjustment to an allocation, cash draw, advance, or 35164
reimbursement to a responsible county family services agency35165
grantee that the department determines necessary for budgetary 35166
reasons;35167

       (5) Withholding of a cash draw or reimbursement due to 35168
noncompliance with a reporting requirement established in rules 35169
adopted under section 5101.243 of the Revised Code.35170

       (F) This section does not apply to other actions the 35171
department takes against the responsible entitycounty grantee35172
pursuant to authority granted by another state law unless the 35173
other state law requires the department to take the action in 35174
accordance with this section.35175

       (G) The director of job and family services may adopt rules 35176
in accordance with Chapter 119. of the Revised Code as necessary 35177
to implement this section.35178

       Sec. 5101.242.  The department of job and family services may 35179
certify a claim to the attorney general under section 131.02 of 35180
the Revised Code for the attorney general to take action under 35181
that section against a responsible county grantee or responsible 35182
entity to recover any funds that the department determines the 35183
responsible county grantee or responsible entity owes the 35184
department for actions taken under division (C)(2), (3), (4), or 35185
(5) of section 5101.24 or 5101.241 of the Revised Code.35186

       Sec. 5101.244.  If a county family services agency submits an 35187
expenditure report to the department of job and family services 35188
and the department subsequently determines that a grant awarded to 35189
a county grantee in a grant agreement entered into under section 35190
5101.21 of the Revised Code, an allocation, advance, or 35191
reimbursement the department makes to thea county family services35192
agency, or a cash draw thea county family services agency makes, 35193
for an expenditure exceeds the allowable amount for the 35194
expendituregrant, allocation, advance, reimbursement, or cash 35195
draw, the department may adjust, offset, withhold, or reduce an 35196
allocation, cash draw, advance, reimbursement, or other financial 35197
assistance to the county grantee or county family services agency 35198
as necessary to recover the amount of the excess grant,35199
allocation, advance, reimbursement, or cash draw. The department 35200
is not required to make the adjustment, offset, withholding, or 35201
reduction in accordance with section 5101.24 of the Revised Code.35202

       The director of job and family services may adopt rules under 35203
section 111.15 of the Revised Code as necessary to implement this 35204
section. The director shall adopt the rules as if they were 35205
internal management rules.35206

       Sec. 5101.26.  As used in this section and in sections35207
5101.27 to 5101.30 of the Revised Code:35208

       (A) "County agency" means a county department of job and35209
family services or a public children services agency.35210

       (B) "Fugitive felon" means an individual who is fleeing to35211
avoid prosecution, or custody or confinement after conviction,35212
under the laws of the place from which the individual is fleeing,35213
for a crime or an attempt to commit a crime that is a felony under35214
the laws of the place from which the individual is fleeing or, in35215
the case of New Jersey, a high misdemeanor, regardless of whether35216
the individual has departed from the individual's usual place of35217
residence.35218

       (C) "Information" means records as defined in section 149.011 35219
of the Revised Code, any other documents in any format, and data 35220
derived from records and documents that are generated, acquired, 35221
or maintained by the department of job and family services, a 35222
county agency, or an entity performing duties on behalf of the35223
department or a county agency.35224

       (D) "Law enforcement agency" means the state highway patrol,35225
an agency that employs peace officers as defined in section 109.7135226
of the Revised Code, the adult parole authority, a county35227
department of probation, a prosecuting attorney, the attorney35228
general, similar agencies of other states, federal law enforcement35229
agencies, and postal inspectors. "Law enforcement agency" includes 35230
the peace officers and other law enforcement officers employed by 35231
the agency.35232

       (E) "Medical assistance provided under a public assistance 35233
program" means medical assistance provided under the programs 35234
established under sections 5101.49, 5101.50 to 5101.503, and35235
5101.51 to 5101.5110, and 5101.52 to 5101.529, Chapters 5111. and 35236
5115., or any other provision of the Revised Code.35237

        (F) "Public assistance" means financial assistance, medical35238
assistance, or social services provided under a program35239
administered by the department of job and family services or a35240
county agency pursuant to Chapter 329., 5101., 5104., 5107.,35241
5108., 5111., or 5115. of the Revised Code or an executive order35242
issued under section 107.17 of the Revised Code.35243

       (G) "Public assistance recipient" means an applicant for or35244
recipient or former recipient of public assistance.35245

       Sec. 5101.47.  (A) Except as provided in division (B) of this 35246
section, the director of job and family services may accept 35247
applications, determine eligibility, redetermine eligibility, and 35248
perform related administrative activities for one or more of the 35249
following:35250

       (1) The medicaid program established by Chapter 5111. of the35251
Revised Code;35252

       (2) The children's health insurance program parts I and, II, 35253
and III provided for under sections 5101.50 and, 5101.51, and 35254
5101.52 of the Revised Code;35255

       (3) Publicly funded child care provided under Chapter 5104.35256
of the Revised Code;35257

       (4) The food stamp program administered by the department of 35258
job and family services pursuant to section 5101.54 of the Revised 35259
Code;35260

       (5) Other programs the director determines are supportive of35261
children, adults, or families;35262

       (6) Other programs regarding which the director determines 35263
administrative cost savings and efficiency may be achieved through 35264
the department accepting applications, determining eligibility, 35265
redetermining eligibility, or performing related administrative 35266
activities.35267

       (B) If federal law requires a face-to-face interview to 35268
complete an eligibility determination for a program specified in 35269
or pursuant to division (A) of this section, the face-to-face 35270
interview shall not be conducted by the department of job and 35271
family services.35272

       (C) Subject to division (B) of this section, if the director 35273
elects to accept applications, determine eligibility, redetermine 35274
eligibility, and perform related administrative activities for a 35275
program specified in or pursuant to division (A) of this section,35276
both of the following apply:35277

       (1) An individual seeking services under the program may 35278
apply for the program to the director or to the entity that state 35279
law governing the program authorizes to accept applications for 35280
the program.35281

       (2) The director is subject to federal statutes and 35282
regulations and state statutes and rules that require, permit, or 35283
prohibit an action regarding accepting applications, determining 35284
or redetermining eligibility, and performing related 35285
administrative activities for the program.35286

       (D) The director may adopt rules as necessary to implement 35287
this section.35288

       Sec. 5101.50.  (A) As used in this section and in sections35289
5101.515101.50 to 5101.51105101.529 of the Revised Code:35290

       (1) "Children's health insurance program" means the program 35291
authorized by Title XXI of the "Social Security Act," 111 Stat.35292
552 (1997), 42 U.S.C.A. 1397aa.35293

       (2) "Federal poverty guidelines" has the same meaning as in35294
section 5101.46 of the Revised Code.35295

       (B) The director of job and family services may continue to35296
operate the children's health insurance program initially35297
authorized by an executive order issued under section 107.17 of35298
the Revised Code as long as federal financial participation is35299
available for the program. If operated, the program shall provide35300
health assistance to uninsured individuals under nineteen years of35301
age with family incomes not exceeding one hundred fifty per cent35302
of the federal poverty guidelines. In accordance with 42 U.S.C.A.35303
1397aa, the director may provide for the health assistance to meet35304
the requirements of 42 U.S.C.A. 1397cc, to be provided under the35305
medicaid program established under Chapter 5111. of the Revised35306
Code, or to be a combination of both.35307

       Sec. 5101.52.  In accordance with federal law governing the 35308
children's health insurance program, the director of job and 35309
family services may submit a state child health plan to the United 35310
States secretary of health and human services to provide, except 35311
as provided in section 5101.526 of the Revised Code, health 35312
assistance to uninsured individuals under nineteen years of age 35313
with family incomes above two hundred per cent of the federal 35314
poverty guidelines but not exceeding three hundred per cent of the 35315
federal poverty guidelines. If the director submits the plan, the 35316
director shall stipulate in the plan that the health assistance 35317
will be available only while federal financial participation is 35318
available for it and that health assistance shall not begin before 35319
January 1, 2008.35320

       Sec. 5101.521.  Health assistance provided under section 35321
5101.52 of the Revised Code shall be known as the children's 35322
health insurance program part III.35323

       Sec. 5101.522.  If the director of job and family services 35324
submits a state child health plan to the United States secretary 35325
of health and human services under section 5101.52 of the Revised 35326
Code and the secretary approves the plan, the director shall 35327
implement the children's health insurance program part III in 35328
accordance with the plan. The director may adopt rules in 35329
accordance with Chapter 119. of the Revised Code as necessary for 35330
the efficient administration of the program, including rules that 35331
establish all of the following:35332

       (A) The conditions under which health assistance services 35333
will be reimbursed;35334

       (B) The method of reimbursement applicable to services 35335
reimbursable under the program;35336

       (C) The amount of reimbursement, or the method by which the 35337
amount is to be determined, for each reimbursable service.35338

       Sec. 5101.523.  The director of job and family services may 35339
contract with a government entity or person to perform the 35340
director's administrative duties regarding the children's health 35341
insurance program part III, other than the duty to submit a state 35342
child health plan to the United States secretary of health and 35343
human services under section 5101.52 of the Revised Code and the 35344
duty to adopt rules under section 5101.522 of the Revised Code.35345

       Sec. 5101.524.  In accordance with 42 U.S.C. 1397aa, the 35346
director of job and family services shall provide for health 35347
assistance under the children's health insurance program part III 35348
to meet the requirements of 42 U.S.C. 1397cc.35349

       Sec. 5101.525.  The director of job and family services may 35350
determine applicants' eligibility for the children's health 35351
insurance program part III by any of the following means:35352

       (A) Using employees of the department of job and family 35353
services;35354

       (B) Assigning the duty to county departments of job and 35355
family services;35356

       (C) Contracting with a government entity or person.35357

       Sec. 5101.526.  If the director of job and family services 35358
determines that federal financial participation for the children's 35359
health insurance program part III is insufficient to provide 35360
health assistance to all the individuals the director anticipates 35361
are eligible for the program, the director may refuse to accept 35362
new applications for the program or may make the program's 35363
eligibility requirements more restrictive.35364

       Sec. 5101.527.  To the extent permitted by 42 U.S.C. 35365
1397cc(e), and to reflect appropriate parental responsibility and 35366
deter the crowding out of private health insurance, the director 35367
of job and family services shall require an individual receiving 35368
health assistance under the children's health insurance program 35369
part III to pay one or more of the following cost-sharing expenses 35370
as a term of participation in the program: a premium, deductible, 35371
coinsurance payment, copayment, or any other cost-sharing expense. 35372
A cost-sharing expense required under this section shall be 35373
established by rule adopted in accordance with Chapter 119. of the 35374
Revised Code.35375

       Sec. 5101.528.  The director of job and family services shall 35376
establish an appeal process for individuals aggrieved by a 35377
decision made regarding eligibility for the children's health 35378
insurance program part III. The process may be identical to, 35379
similar to, or different from the appeal process established by 35380
section 5101.35 of the Revised Code.35381

       Sec. 5101.529.  A completed application for the medicaid 35382
program under Chapter 5111. of the Revised Code shall be treated 35383
as an application for health assistance under the children's 35384
health insurance program part III if the application is for an 35385
assistance group that includes a child under nineteen years of age 35386
and is denied.35387

       Sec. 5101.541. The food stamp program fund is hereby created 35388
in the state treasury. The fund shall consist of federal 35389
reimbursement for food stamp program administrative expenses and 35390
other food stamp program expenses. The department of job and 35391
family services shall use the money credited to the fund to pay 35392
for food stamp program administrative expenses and other food 35393
stamp program expenses.35394

       Sec. 5101.571.  As used in sections 5101.571 to 5101.5935395
5101.591 of the Revised Code:35396

       (A) "Information" means all of the following:35397

       (1) An individual's name, address, date of birth, and social 35398
security number;35399

       (2) The group or plan number, or other identifier, assigned 35400
by a third party to a policy held by an individual or a plan in 35401
which the individual participates and the nature of the coverage;35402

       (3) Any other data the director of job and family services 35403
specifies in rules adopted under section 5101.591 of the Revised 35404
Code.35405

       (B) "Medical assistance" means medical items or services 35406
provided under any of the following:35407

        (1) Medicaid, as defined in section 5111.01 of the Revised 35408
Code;35409

       (2) The children's health insurance program part I, part II, 35410
and part III established under sections 5101.50 to 5101.529 of the 35411
Revised Code;35412

       (3) The disability medical assistance program established 35413
under Chapter 5115. of the Revised Code.35414

       (C) "Medical support" means support specified as support for 35415
the purpose of medical care by order of a court or administrative 35416
agency.35417

       (B) "Third party"(D) "Public assistance" means medical 35418
assistance or assistance under the Ohio works first program 35419
established under Chapter 5107. of the Revised Code.35420

       (E)(1) Subject to division (E)(2) of this section, and except 35421
as provided in division (E)(3) of this section, "third party"35422
means any health insurer as defined in section 3924.41 of the 35423
Revised Code, individual, entity, or public or private program, 35424
that is or may be liable to pay all or part of the medical cost of 35425
injury, disease, or disability of an applicant or recipient. 35426
"Third party" includes any such insurer, individual, entity, or 35427
program that would have been obligated to pay for the service, 35428
even when such third party limits or excludes payments in the case 35429
of an individual who is eligible for medicaid.all of the 35430
following:35431

       (a) A person authorized to engage in the business of sickness 35432
and accident insurance under Title XXXIX of the Revised Code;35433

       (b) A person or governmental entity providing coverage for 35434
medical services or items to individuals on a self-insurance 35435
basis;35436

       (c) A health insuring corporation as defined in section 35437
1751.01 of the Revised Code;35438

       (d) A group health plan as defined in 29 U.S.C. 1167;35439

       (e) A service benefit plan as referenced in 42 U.S.C. 35440
1396a(a)(25);35441

       (f) A managed care organization;35442

       (g) A pharmacy benefit manager;35443

       (h) A third party administrator;35444

       (i) Any other person or governmental entity that is, by law, 35445
contract, or agreement, responsible for the payment or processing 35446
of a claim for a medical item or service for a public assistance 35447
recipient or participant.35448

       (2) Except when otherwise provided by 42 U.S.C. 1395y(b), a 35449
person or governmental entity listed in division (E)(1) of this 35450
section is a third party even if the person or governmental entity 35451
limits or excludes payments for a medical item or service in the 35452
case of a public assistance recipient. 35453

       (3) "Third party" does not include the program for medically 35454
handicapped children established under section 3701.023 of the 35455
Revised Code.35456

       Sec. 5101.572. Upon the request of the department of job and35457
family services, any(A) A third party as defined in section 35458
5101.571 of the Revised Code shall cooperate with the department 35459
of job and family services in identifying individuals for the 35460
purpose of establishing third party liability pursuant to Title 35461
XIX of the Social Security Act, as amended. The35462

       (B) In furtherance of the requirement in division (A) of this 35463
section and to allow the department to determine any period that 35464
the individual or the individual's spouse or dependent may have 35465
been covered by the third party and the nature of the coverage, a 35466
third party shall provide, as the department so chooses, 35467
information or access to information, or both, in the third 35468
party's electronic data system on the department's request and in 35469
accordance with division (C) of this section.35470

       (C)(1) If the department chooses to receive information 35471
directly, the third party shall provide the information under all 35472
of the following circumstances:35473

       (a) In a medium, format, and manner prescribed by the 35474
director of job and family services in rules adopted under section 35475
5101.591 of the Revised Code;35476

       (b) Free of charge;35477

       (c) Not later than the end of the thirtieth day after the 35478
department makes its request, unless a different time is agreed to 35479
by the director in writing.35480

       (2) If the department chooses to receive access to 35481
information, the third party shall provide access by a method 35482
prescribed by the director of job and family services in rules 35483
adopted under section 5101.591 of the Revised Code. In 35484
facilitating access, the department may enter into a trading 35485
partner agreement with the third party to permit the exchange of 35486
information via "ASC X 12N 270/271 Health Care Eligibility Benefit 35487
Inquiry and Response" transactions.35488

       (D) All of the following apply with respect to information 35489
provided by a third party to the department under this section:35490

       (1) The information is confidential and not a public record 35491
under section 149.43 of the Revised Code.35492

       (2) The release of information to the department is not to be 35493
considered a violation of any right of confidentiality or contract 35494
that the third party may have with covered persons including, but 35495
not limited to, contractees, beneficiaries, heirs, assignees, and 35496
subscribers.35497

       (3) The third party is immune from any liability that it may 35498
otherwise incur through its release of information to the 35499
department.35500

       The department of job and family services shall limit its use 35501
of information gained from third parties to purposes directly35502
connected with the administration of the medicaid program. No35503

       (E) No third party shall disclose to other parties or make 35504
use of any information regarding recipients of aid under Chapter 35505
5107. or 5111. of the Revised Code that it obtains from the 35506
department of job and family services, except in the manner 35507
provided for by the director of job and family services in 35508
administrative rules. Any information provided by a third party to 35509
the department of job and family services shall not be considered 35510
a violation of any right of confidentiality or contract that the 35511
third party may have with covered persons including, but not 35512
limited to, contractees, beneficiaries, heirs, assignees, and 35513
subscribers. The third party is immune from any liability that it 35514
may otherwise incur through its release of information to the 35515
department of job and family services.35516

       Sec. 5101.573. (A) Subject to division (B) of this section, a 35517
third party shall do all of the following:35518

       (1) Accept the department of job and family services' right 35519
of recovery under section 5101.58 of the Revised Code and the 35520
assignment of rights to the department that are described in 35521
section 5101.59 of the Revised Code.35522

       (2) Respond to an inquiry by the department regarding a claim 35523
for payment of a medical item or service that was submitted to the 35524
third party not later than six years after the date of the 35525
provision of such medical item or service;35526

       (3) Pay a claim described in division (A)(2) of this section;35527

       (4) Not deny a claim submitted by the department solely on 35528
the basis of the date of submission of the claim, type or format 35529
of the claim form, or a failure by the medical assistance 35530
recipient who is the subject of the claim to present proper 35531
documentation of coverage at the time of service, if both of the 35532
following are true:35533

       (a) The claim was submitted by the department not later than 35534
six years after the date of the provision of the medical item or 35535
service;35536

       (b) An action by the department to enforce its right of 35537
recovery under section 5101.58 of the Revised Code on the claim 35538
was commenced not later than six years after the department's 35539
submission of the claim.35540

       (B) For purposes of the requirements in division (A) of this 35541
section, a third party shall treat a managed care organization as 35542
the department for a claim in which both of the following are 35543
true:35544

       (1) The individual who is the subject of the claim received a 35545
medical item or service through a managed care organization that 35546
has entered into a contract with the department of job and family 35547
services under section 5111.16 of the Revised Code;35548

       (2) The department has assigned its right of recovery for the 35549
claim to the managed care organization.35550

       Sec. 5101.574.  No third party shall consider whether an 35551
individual is eligible for or receives medical assistance when 35552
either of the following applies:35553

       (A) The individual seeks to obtain a policy or enroll in a 35554
plan or program operated or administered by the third party;35555

       (B) The individual, or a person or governmental entity on the 35556
individual's behalf, seeks payment for a medical item or service 35557
provided to the individual.35558

       Sec. 5101.575. If a third party violates section 5101.572, 35559
5101.573, or 5101.574 of the Revised Code, a governmental entity 35560
that is responsible for issuing a license, certificate of 35561
authority, registration, or approval that authorizes the third 35562
party to do business in this state shall, in accordance with 35563
Chapter 119. of the Revised Code, deny, revoke, or terminate, as 35564
determined to be appropriate by the governmental entity, the 35565
license, certificate, registration, or approval of the third 35566
party. In addition, the attorney general may petition a court of 35567
common pleas to enjoin the violation.35568

       Sec. 5101.58. As used in this section and section 5101.59 of 35569
the Revised Code, "public assistance" means aid provided under 35570
Chapter 5111. or 5115. of the Revised Code and participation in 35571
the Ohio works first program established under Chapter 5107. of 35572
the Revised Code.35573

       (A) The acceptance of public assistance gives aan automatic35574
right of recovery to the department of job and family services and35575
a county department of job and family services against the35576
liability of a third party for the cost of medical services and 35577
care arising out of injury, disease, or disabilityassistance paid 35578
on behalf of the public assistance recipient or participant. When 35579
an action or claim is brought against a third party by a public 35580
assistance recipient or participant, the entire amount of any 35581
payment, settlement or compromise of the action or claim, or any 35582
court award or judgment, is subject to the recovery right of the35583
department of job and family services or county department of job 35584
and family services. Except in the case of a recipient or 35585
participant who receives medical services or careassistance35586
through a managed care organization, the department's or county 35587
department's claim shall not exceed the amount of medical expenses35588
assistance paid by the departmentsa department on behalf of the 35589
recipient or participant. InA payment, settlement, compromise, 35590
judgment, or award that excludes the cost of medical assistance 35591
paid for by a department shall not preclude a department from 35592
enforcing its rights under this section.35593

       (B) In the case of a recipient or participant who receives 35594
medical services or careassistance through a managed care 35595
organization, the amount of the department's or county 35596
department's claim shall be the amount the managed care 35597
organization pays for medical services or careassistance rendered 35598
to the recipient or participant, even if that amount is more than 35599
the amount the departments paya department pays to the managed 35600
care organization for the recipient's or participant's medical 35601
services or care. Any settlement, compromise, judgment, or award35602
that excludes the cost of medical services or care shall not35603
preclude the departments from enforcing their rights under this35604
sectionassistance.35605

       Prior to initiating any(C) A recipient or participant, and 35606
the recipient's or participant's attorney, if any, shall cooperate 35607
with the departments. In furtherance of this requirement, the 35608
recipient or participant, or the recipient's or participant's 35609
attorney, if any, shall, not later than thirty days after 35610
initiating informal recovery activity or filing a legal recovery 35611
action, the recipient or participant, or the recipient's or 35612
participant's representative, shall discloseagainst a third 35613
party, provide written notice of the activity or action to the 35614
appropriate department or departments as follows:35615

       (1) To only the department of job and family services when 35616
medical assistance under medicaid has been paid;35617

       (2) To the department of job and family services and the 35618
appropriate county department of job and family services when 35619
medical assistance under the disability medical assistance program 35620
or medical assistance under the nonfederal medical assistance 35621
program has been paid.35622

       (D) The written notice that must be given under division (C) 35623
of this section shall disclose the identity and address of any 35624
third party against whom the recipient or participant has or may 35625
have a right of recovery. Disclosure shall be made to the 35626
department of job and family services when medical expenses have 35627
been paid pursuant to Chapter 5111. or 5115. of the Revised Code. 35628
Disclosure shall be made to both the department of job and family 35629
services and the appropriate county department of job and family 35630
services when medical expenses have been paid pursuant to Chapter 35631
5115. of the Revised Code. No35632

       (E) No settlement, compromise, judgment, or award or any 35633
recovery in any action or claim by a recipient or participant 35634
where the departments have a right of recovery shall be made final 35635
without first giving the appropriate departments written notice as 35636
described in division (C) of this section and a reasonable 35637
opportunity to perfect their rights of recovery. If the35638
departments are not given the appropriate written notice, the 35639
recipient or participant isand, if there is one, the recipient's 35640
or participant's attorney, are liable to reimburse the departments 35641
for the recovery received to the extent of medical payments made 35642
by the departments. The35643

       (F) The departments shall be permitted to enforce their 35644
recovery rights against the third party even though they accepted 35645
prior payments in discharge of their rights under this section if, 35646
at the time the departments received such payments, they were not 35647
aware that additional medical expenses had been incurred but had 35648
not yet been paid by the departments. The third party becomes 35649
liable to the department of job and family services or county35650
department of job and family services as soon as the third party 35651
is notified in writing of the valid claims for recovery under this35652
section.35653

       The(G)(1) Subject to division (G)(2) of this section, the35654
right of recovery of a department does not apply to that portion35655
of any judgment, award, settlement, or compromise of a claim, to 35656
the extent of attorneys' fees, costs, or other expenses incurred 35657
by a recipient or participant in securing the judgment, award, 35658
settlement, or compromise, or to the extent of medical, surgical, 35659
and hospital expenses paid by such recipient or participant from 35660
the recipient's or participant's own resources. Attorney fees and 35661
costs or other expenses in securing any recovery shall not be 35662
assessed against any claims of the departments.35663

       To(2) Reasonable attorneys' fees, not to exceed one-third of 35664
the total judgment, award, settlement, or compromise, plus costs 35665
and other expenses incurred by the recipient or participant in 35666
securing the judgment, award, settlement, or compromise, shall 35667
first be deducted from the total judgment, award, settlement, or 35668
compromise. After fees, costs, and other expenses are deducted 35669
from the total judgment, award, settlement, or compromise, the 35670
department of job and family services or appropriate county 35671
department of job and family services shall receive no less than 35672
one-half of the remaining amount, or the actual amount of medical 35673
assistance paid, whichever is less.35674

       (H) A right of recovery created by this section may be 35675
enforced separately or jointly by the department of job and family 35676
services or the appropriate county department of job and family 35677
services. To enforce their recovery rights, the departments may do35678
any of the following:35679

       (A)(1) Intervene or join in any action or proceeding brought35680
by the recipient or participant or on the recipient's or 35681
participant's behalf against any third party who may be liable for 35682
the cost of medical services and care arising out of the 35683
recipient's or participant's injury, disease, or disability35684
assistance paid;35685

       (B)(2) Institute and pursue legal proceedings against any35686
third party who may be liable for the cost of medical services and 35687
care arising out of the recipient's or participant's injury, 35688
disease, or disabilityassistance paid;35689

       (C)(3) Initiate legal proceedings in conjunction with theany35690
injured, diseased, or disabled recipient or participant or the 35691
recipient's or participant's legalattorney or representative.35692

       Recovery rights created by this section may be enforced35693
separately or jointly by the department of job and family services 35694
and the county department of job and family services.35695

       (I) A recipient or participant shall not assess attorney 35696
fees, costs, or other expenses against the department of job and 35697
family services or a county department of job and family services 35698
when the department or county department enforces its right of 35699
recovery created by this section.35700

       (J) The right of recovery given to the department under this35701
section does not include rights to support from any other person35702
assigned to the state under sections 5107.20 and 5115.07 of the 35703
Revised Code, but includes payments made by a third party under 35704
contract with a person having a duty to support.35705

       The director of job and family services may adopt rules in 35706
accordance with Chapter 119. of the Revised Code the department 35707
considers necessary to implement this section.35708

       Sec. 5101.59.  (A) The application for, or acceptance of,35709
public assistance constitutes an automatic assignment of certain 35710
rights to the department of job and family services. This 35711
assignment includes the rights of the applicant, recipient, or35712
participant and also the rights of any other member of the 35713
assistance group for whom the applicant, recipient, or participant 35714
can legally make an assignment.35715

       (B) Pursuant to this section, the applicant, recipient, or 35716
participant assigns to the department any rights to medical 35717
support available to the applicant, recipient, or participant or 35718
for other members of the assistance group under an order of a 35719
court or administrative agency, and any rights to payments from 35720
anyby a liable third party liable to pay for the cost of medical 35721
care and services arising out of injury, disease, or disability of 35722
the applicant, recipient, participant, or other members of the35723
assistance groupassistance paid on behalf of a public assistance 35724
recipient or participant. The recipient or participant shall 35725
cooperate with the department in obtaining such payments.35726

       Medicare benefits shall not be assigned pursuant to this35727
section. Benefits assigned to the department by operation of this 35728
section are directly reimbursable to the department by liable 35729
third parties.35730

       (B)(C) Refusal by the applicant, recipient, or participant to 35731
cooperate in obtaining medical support and paymentsassistance 35732
paid for self or any other member of the assistance group renders 35733
the applicant, recipient, or participant ineligible for public35734
assistance, unless cooperation is waived by the department. 35735
Eligibility shall continue for any individual who cannot legally 35736
assign the individual's own rights and who would have been35737
eligible for public assistance but for the refusal to assign the 35738
individual's rights or to cooperate as required by this section by 35739
another person legally able to assign the individual's rights.35740

       (D) If the applicant, recipient, or participant or any member 35741
of the assistance group becomes ineligible for public assistance, 35742
the department shall restore to the applicant, recipient, 35743
participant, or member of the assistance group any future rights 35744
to benefits assigned under this section.35745

       (E) The rights of assignment given to the department under 35746
this section do not include rights to support assigned under 35747
section 5107.20 or 5115.07 of the Revised Code.35748

       (C) The director of job and family services may adopt rules 35749
in accordance with Chapter 119. of the Revised Code to implement 35750
this section, including rules that specify what constitutes 35751
cooperating with efforts to obtain medical support and payments 35752
and when the cooperation requirement may be waived.35753

       Sec. 5101.591. (A) Except as provided in division (B) of this 35754
section, the director of job and family services may adopt rules 35755
in accordance with Chapter 119. of the Revised Code to implement 35756
sections 5101.571 to 5101.59 of the Revised Code, including rules 35757
that specify what constitutes cooperating with efforts to obtain 35758
support or payments, or medical assistance payments, and when 35759
cooperation may be waived.35760

       (B) The department shall adopt rules in accordance with 35761
Chapter 119. of the Revised Code to do all of the following:35762

       (1) For purposes of the definition of "information" in 35763
division (A) of section 5101.571 of the Revised Code, any data 35764
other than the data specified in that division that should be 35765
included in the definition.35766

       (2) For purposes of division (C)(1)(a) of section 5101.572 of 35767
the Revised Code, the medium, format, and manner in which a third 35768
party must provide information to the department.35769

       (3) For purposes of division (C)(2) of section 5101.572 of 35770
the Revised Code, the method by which a third party must provide 35771
the department with access to information.35772

       Sec. 5101.802.  (A) As used in this section:35773

        (1) "Custodian," "guardian," and "minor child" have the same 35774
meanings as in section 5107.02 of the Revised Code.35775

       (2) "Federal poverty guidelines" has the same meaning as in 35776
section 5101.46 of the Revised Code.35777

        (3) "Kinship caregiver" has the same meaning as in section 35778
5101.85 of the Revised Code.35779

        (B) Subject to division (E) of section 5101.801 of the 35780
Revised Code, there is hereby created the kinship permanency 35781
incentive program to promote permanency for a minor child in the 35782
legal and physical custody of a kinship caregiver. The program 35783
shall provide an initial one-time incentive payment to the kinship 35784
caregiver to defray the costs of initial placement of the minor 35785
child in the kinship caregiver's home. The program may provide 35786
additional permanency incentive payments for the minor child at 35787
six month intervals for a total period not to exceed thirty-six 35788
months.35789

        (C) A kinship caregiver may participate in the program if all 35790
of the following requirements are met:35791

        (1) The kinship caregiver applies to a public children 35792
services agency in accordance with the application process 35793
established in rules authorized by division (E) of this section;35794

        (2) The minor child the kinship caregiver is caring for is a 35795
child with special needs as that term is defined in rules adopted 35796
under section 5153.163 of the Revised Code;35797

       (3) ANot earlier than July 1, 2005, a juvenile court has 35798
adjudicated the minor child to be an abused, neglected, dependent, 35799
or unruly child and determined that it is in the child's best 35800
interest to be in theissues an order granting legal custody ofto35801
the kinship caregiver, or thea probate court has determined that 35802
it is in the child's best interest to be in the guadianship of35803
grants guardianship to the kinship caregiver, except that a 35804
temporary court order is not sufficient to meet this requirement;35805

        (4)(3) The kinship caregiver is either the minor child's 35806
custodian or guardian;35807

       (5)(4) The minor child resides with the kinship caregiver 35808
pursuant to a placement approval process established in rules 35809
authorized by division (E) of this section;35810

       (6) The(5) Excluding any income excluded under rules adopted 35811
under division (E) of this section, the gross income of the 35812
kinship caregiver's family, including the minor child, does not 35813
exceed twothree hundred per cent of the federal poverty 35814
guidelines.35815

        (D) Public children services agencies shall make initial and 35816
ongoing eligibility determinations for the kinship permanency 35817
incentive program in accordance with rules authorized by division 35818
(E) of this section. The director of job and family services shall 35819
supervise public children services agencies' duties under this 35820
section.35821

        (E) The director of job and family services shall adopt rules 35822
under division (C) of section 5101.801 of the Revised Code as 35823
necessary to implement the kinship permanency incentive program. 35824
The rules shall establish all of the following:35825

        (1) The application process for the program;35826

        (2) The placement approval process through which a minor 35827
child is placed with a kinship caregiver for the kinship caregiver 35828
to be eligible for the program;35829

        (3) The initial and ongoing eligibility determination process 35830
for the program, including the computation of income eligibility;35831

        (4) The amount of the incentive payments provided under the 35832
program;35833

        (5) The method by which the incentive payments are provided 35834
to a kinship caregiver;.35835

       (6) Anything else the director considers necessary to 35836
implement the program.35837

       (F) The director shall begin implementation of the kinship 35838
permanency incentive program no later than January 1, 2006.35839

       Sec. 5101.98.  (A) There is hereby created in the state 35840
treasury the military injury relief fund, which shall consist of 35841
money contributed to it under section 5747.113 of the Revised 35842
Code, of incentive grants authorized by the "Jobs for Veterans 35843
Act," 116 Stat. 2033 (2002), and of contributions made directly to 35844
it. Any person or entity may contribute directly to the fund in 35845
addition to or independently of the income tax refund contribution 35846
system established in section 5747.113 of the Revised Code.35847

       (B) Upon application, the director of job and family services 35848
shall grant money in the fund to individuals injured while in 35849
active service as a member of the armed forces of the United 35850
States and while serving under operation Iraqi freedom or 35851
operation enduring freedom and to individuals diagnosed with 35852
post-traumatic stress disorder while serving, or after having 35853
served, in operation Iraqi freedom or operation enduring freedom.35854

       (C) An individual who receives a grant under this section is 35855
not precluded from receiving one or more additional grants under 35856
this section andduring the same state fiscal year but is not 35857
precluded from being considered for or receiving other assistance 35858
offered by the department of job and family services.35859

       (D) The director shall adopt rules under Chapter 119. of the 35860
Revised Code establishing:35861

       (1) Forms and procedures by which individuals may apply for a 35862
grant under this section;35863

       (2) Criteria for reviewing, evaluating, and rankingapproving 35864
or denying grant applications;35865

       (3) Criteria for determining the amount of grants awarded 35866
under this section; and35867

       (4) Definitions and standards applicable to determining 35868
whether an individual meets the requirements established in 35869
division (B) of this section;35870

       (5) The process for appealing eligibility determinations; and35871

       (6) Any other rules necessary to administer the grant program 35872
established in this section.35873

       (E) An eligibility determination, a grant approval, or a 35874
grant denial made under this section may not be appealed under 35875
Chapter 119., section 5101.35, or any other provision of the 35876
Revised Code.35877

       Sec. 5104.30.  (A) The department of job and family services 35878
is hereby designated as the state agency responsible for35879
administration and coordination of federal and state funding for35880
publicly funded child care in this state. Publicly funded child 35881
care shall be provided to the following:35882

       (1) Recipients of transitional child care as provided under 35883
section 5104.34 of the Revised Code;35884

       (2) Participants in the Ohio works first program established 35885
under Chapter 5107. of the Revised Code;35886

       (3) Individuals who would be participating in the Ohio works35887
first program if not for a sanction under section 5107.16 of the 35888
Revised Code and who continue to participate in a work activity, 35889
developmental activity, or alternative work activity pursuant to 35890
an assignment under section 5107.42 of the Revised Code;35891

       (4) A family receiving publicly funded child care on October 35892
1, 1997, until the family's income reaches one hundred fifty per 35893
cent of the federal poverty line;35894

       (5) Subject to available funds, other individuals determined 35895
eligible in accordance with rules adopted under section 5104.38 of 35896
the Revised Code.35897

       The department shall apply to the United States department of 35898
health and human services for authority to operate a coordinated 35899
program for publicly funded child care, if the director of job and 35900
family services determines that the application is necessary. For 35901
purposes of this section, the department of job and family 35902
services may enter into agreements with other state agencies that 35903
are involved in regulation or funding of child care. The 35904
department shall consider the special needs of migrant workers 35905
when it administers and coordinates publicly funded child care and 35906
shall develop appropriate procedures for accommodating the needs 35907
of migrant workers for publicly funded child care.35908

       (B) The department of job and family services shall 35909
distribute state and federal funds for publicly funded child care,35910
including appropriations of state funds for publicly funded child 35911
care and appropriations of federal funds available under the child 35912
care block grant act, Title IV-A, and Title XX. The department may 35913
use any state funds appropriated for publicly funded child care as 35914
the state share required to match any federal funds appropriated 35915
for publicly funded child care.35916

       (C) In the use of federal funds available under the child 35917
care block grant act, all of the following apply:35918

       (1) The department may use the federal funds to hire staff to 35919
prepare any rules required under this chapter and to administer 35920
and coordinate federal and state funding for publicly funded child 35921
care.35922

       (2) Not more than five per cent of the aggregate amount of 35923
the federal funds received for a fiscal year may be expended for 35924
administrative costs.35925

       (3) The department shall allocate and use at least four per 35926
cent of the federal funds for the following:35927

       (a) Activities designed to provide comprehensive consumer 35928
education to parents and the public;35929

       (b) Activities that increase parental choice;35930

       (c) Activities, including child care resource and referral 35931
services, designed to improve the quality, and increase the 35932
supply, of child care;35933

       (d) Establishing a voluntary child care quality-rating 35934
program in which participation in the program may allow a child 35935
day-care center or type A or B family day-care home to be eligible 35936
for grants, technical assistance, training, or other assistance 35937
and become eligible for unrestricted monetary awards for 35938
maintaining a quality rating.35939

       (4) The department shall ensure that the federal funds will 35940
be used only to supplement, and will not be used to supplant, 35941
federal, state, and local funds available on the effective date of 35942
the child care block grant act for publicly funded child care and 35943
related programs. A county department of job and family services 35944
may purchase child care from funds obtained through any other 35945
means.35946

       (D) The department shall encourage the development of35947
suitable child care throughout the state, especially in areas with 35948
high concentrations of recipients of public assistance and35949
families with low incomes. The department shall encourage the 35950
development of suitable child care designed to accommodate the 35951
special needs of migrant workers. On request, the department, 35952
through its employees or contracts with state or community child 35953
care resource and referral service organizations, shall provide 35954
consultation to groups and individuals interested in developing 35955
child care. The department of job and family services may enter 35956
into interagency agreements with the department of education, the 35957
board of regents, the department of development, and other state 35958
agencies and entities whenever the cooperative efforts of the 35959
other state agencies and entities are necessary for the department 35960
of job and family services to fulfill its duties and 35961
responsibilities under this chapter.35962

       The department shall develop and maintain a registry of 35963
persons providing child care. The director shall adopt rules 35964
pursuant to Chapter 119. of the Revised Code establishing 35965
procedures and requirements for the registry's administration.35966

       (E)(1) The director shall adopt rules in accordance with35967
Chapter 119. of the Revised Code establishing both of the 35968
following:35969

       (a) Reimbursement ceilings for providers of publicly funded 35970
child care;35971

       (b) A procedure for reimbursing and paying providers of35972
publicly funded child care.35973

       (2) In establishing reimbursement ceilings under division 35974
(E)(1)(a) of this section, the director shall do all of the 35975
following:35976

       (a) Use the information obtained under division (B)(3) of 35977
section 5104.04 of the Revised Code;35978

       (b) Establish an enhanced reimbursement ceiling for providers 35979
who provide child care for caretaker parents who work 35980
nontraditional hours;35981

       (c) For a type B family day-care home provider that has 35982
received limited certification pursuant to rules adopted under35983
division (G)(1) of section 5104.011 of the Revised Code, establish 35984
a reimbursement ceiling that is the following:35985

        (i) If the provider is a person described in division 35986
(G)(1)(a) of section 5104.011 of the Revised Code, seventy-five 35987
per cent of the reimbursement ceiling that applies to a type B 35988
family day-care home certified by the same county department of 35989
job and family services pursuant to section 5104.11 of the Revised 35990
Code;35991

       (ii) If the provider is a person described in division 35992
(G)(1)(b) of section 5104.011 of the Revised Code, sixty per cent 35993
of the reimbursement ceiling that applies to a type B family 35994
day-care home certified by the same county department pursuant to 35995
section 5104.11 of the Revised Code.35996

       (3) In establishing reimbursement ceilings under division 35997
(E)(1)(a) of this section, the director may establish different 35998
reimbursement ceilings based on any of the following:35999

        (a) Geographic location of the provider;36000

        (b) Type of care provided;36001

        (c) Age of the child served;36002

        (d) Special needs of the child served;36003

        (e) Whether the expanded hours of service are provided;36004

        (f) Whether weekend service is provided;36005

        (g) Whether the provider has exceeded the minimum 36006
requirements of state statutes and rules governing child care;36007

        (h) Any other factors the director considers appropriate.36008

       (F) Not later than September 1, 2007, the director shall 36009
adopt rules in accordance with Chapter 119. of the Revised Code to 36010
implement the voluntary child care quality-rating program 36011
described in division (C)(3)(d) of this section.36012

       Sec. 5107.02.  As used in this chapter:36013

       (A) "Adult" means an individual who is not a minor child.36014

       (B) "Assistance group" means a group of individuals treated36015
as a unit for purposes of determining eligibility for and the36016
amount of assistance provided under Ohio works first.36017

       (C) "Custodian" means an individual who has legal custody, as36018
defined in section 2151.011 of the Revised Code, of a minor child36019
or comparable status over a minor child created by a court of36020
competent jurisdiction in another state.36021

       (D) "Guardian" means an individual that is granted authority36022
by a probate court pursuant to Chapter 2111. of the Revised Code,36023
or a court of competent jurisdiction in another state, to exercise36024
parental rights over a minor child to the extent provided in the36025
court's order and subject to residual parental rights of the minor36026
child's parents.36027

       (E) "LEAP program" means the learning, earning, and parenting 36028
program conducted under section 5107.30 of the Revised Code.36029

       (F) "Minor child" means either of the following:36030

       (1) An individual who has not attained age eighteen;36031

       (2) An individual who has not attained age nineteen and is a36032
full-time student in a secondary school or in the equivalent level36033
of vocational or technical training.36034

       (F)(G) "Minor head of household" means a minor child who is 36035
either of the following:36036

       (1) Is married, at least six months pregnant, and a member of 36037
an assistance group that does not include an adult;36038

       (2) Is married and is a parent of a child included in the 36039
same assistance group that does not include an adult.36040

       (G)(H) "Ohio works first" means the program established by36041
this chapter known as temporary assistance for needy families in36042
Title IV-A.36043

       (H)(I) "Payment standard" means the amount specified in rules36044
adopted under section 5107.05 of the Revised Code that is the36045
maximum amount of cash assistance an assistance group may receive36046
under Ohio works first from state and federal funds.36047

       (I)(J) "Specified relative" means the following individuals36048
who are age eighteen or older:36049

       (1) The following individuals related by blood or adoption:36050

       (a) Grandparents, including grandparents with the prefix36051
"great," "great-great," or "great-great-great";36052

       (b) Siblings;36053

       (c) Aunts, uncles, nephews, and nieces, including such36054
relatives with the prefix "great," "great-great," "grand," or36055
"great-grand";36056

       (d) First cousins and first cousins once removed.36057

       (2) Stepparents and stepsiblings;36058

       (3) Spouses and former spouses of individuals named in36059
division (I)(J)(1) or (2) of this section.36060

       (J)(K) "Title IV-A" or "Title IV-D" means Title IV-A or Title36061
IV-D of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.36062
301, as amended.36063

       Sec. 5107.03.  There is hereby established the Ohio works 36064
first program. The department of job and family services shall 36065
administer the program, as long as federal funds are provided for 36066
the program, in accordance with Title IV-A, federal regulations, 36067
state law, the Title IV-A state plan submitted to the United 36068
States secretary of health and human services under section 36069
5101.80 of the Revised Code, amendments to the plan, and federal 36070
waivers granted by the United States secretary.36071

       The department shall make all cash assistance payments for36072
Ohio works first from funds appropriated for the Ohio works first 36073
program. A county department of job and family services may use36074
county funds to increase the amount of cash assistance an36075
assistance group receives. An increase in the amount of cash 36076
assistance that results from such a use of county funds shall not 36077
be included as countable income, gross earned income, or gross 36078
unearned income of the assistance group.36079

       Sec. 5107.04. As used in this section, "cost-of-living 36080
adjustment" means the cost-of-living adjustment made by the United 36081
States commissioner of social security under 42 U.S.C. 415(i) for 36082
benefits provided under Title II of the "Social Security Act of 36083
1935."36084

       The department of job and family services shall make all cash 36085
assistance payments for Ohio works first from funds appropriated 36086
for the Ohio works first program. The amount of a cash assistance 36087
payment the department is to make to an assistance group shall be 36088
determined in accordance with rules adopted under section 5107.05 36089
of the Revised Code and shall not exceed the payment standard. The 36090
department shall increase the payment standard on January 1, 2009, 36091
and the first day of each January thereafter by the cost-of-living 36092
adjustment made in the immediately preceding December.36093

       A county department of job and family services may use county 36094
funds to increase the amount of cash assistance an assistance 36095
group receives. An increase in the amount of cash assistance that 36096
results from such a use of county funds shall not be included as 36097
countable income, gross earned income, or gross unearned income of 36098
the assistance group.36099

       Sec. 5107.05.  The director of job and family services shall36100
adopt rules to implement this chapter. The rules shall be36101
consistent with Title IV-A, Title IV-D, federal regulations, state 36102
law, the Title IV-A state plan submitted to the United States 36103
secretary of health and human services under section 5101.80 of 36104
the Revised Code, amendments to the plan, and waivers granted by 36105
the United States secretary. Rules governing eligibility, program 36106
participation, and other applicant and participant requirements 36107
shall be adopted in accordance with Chapter 119. of the Revised 36108
Code. Rules governing financial and other administrative 36109
requirements applicable to the department of job and family 36110
services and county departments of job and family services shall 36111
be adopted in accordance with section 111.15 of the Revised Code.36112

       (A) The rules shall specify, establish, or govern all of the36113
following:36114

       (1) A payment standard for Ohio works first based on federal 36115
and state appropriations that is increased in accordance with 36116
section 5107.04 of the Revised Code;36117

       (2) TheFor the purpose of section 5107.04 of the Revised 36118
Code, the method of determining the amount of cash assistance an 36119
assistance group receives under Ohio works first;36120

       (3) Requirements for initial and continued eligibility for 36121
Ohio works first, including requirements regarding income,36122
citizenship, age, residence, and assistance group composition. 36123
The rules regarding income shall specify what is countable income, 36124
gross earned income, and gross unearned income for the purpose of 36125
section 5107.10 of the Revised Code.;36126

       (4) For the purpose of section 5107.12 of the Revised Code, 36127
application and verification procedures, including the minimum 36128
information an application must contain. If there are at least two 36129
telephone numbers available that a county department of human 36130
services can call to contact members of an assistance group, which 36131
may include the telephone number of an individual who can contact 36132
an assistance group member for the county department, the minimum 36133
information shall include at least those two telephone numbers.;36134

       (5) The extent to which a participant of Ohio works first 36135
must notify, pursuant to section 5107.12 of the Revised Code, a 36136
county department of job and family services of additional income 36137
not previously reported to the county department;36138

       (6) For the purpose of section 5107.16 of the Revised Code, 36139
standards for the determination of good cause for failure or 36140
refusal to comply in full with a provision of a self-sufficiency 36141
contract;36142

       (7) The department of job and family services providing 36143
written notice of a sanction under section 5107.161 of the Revised 36144
Code;36145

       (7)(8) Requirements for the collection and distribution of36146
support payments owed participants of Ohio works first pursuant to36147
section 5107.20 of the Revised Code;36148

       (8)(9) For the purpose of section 5107.22 of the Revised 36149
Code, what constitutes cooperating in establishing a minor child's 36150
paternity or establishing, modifying, or enforcing a child support 36151
order and good cause for failure or refusal to cooperate. The rule 36152
shall be consistent with 42 U.S.C.A. 654(29).;36153

       (9)(10) The requirements governing the LEAP program provided 36154
for under section 5107.30 of the Revised Code, including the 36155
definitions of "equivalent of a high school diploma" and "good 36156
cause," and the incentives provided under the LEAP program;36157

       (10)(11) If the director implements section 5107.301 of the 36158
Revised Code, the requirements governing the award provided under 36159
that section, including the form that the award is to take and 36160
requirements an individual must satisfy to receive the award;36161

       (11)(12) Circumstances under which a county department of job 36162
and family services may exempt a minor head of household or adult 36163
from participating in a work activity or developmental activity 36164
for all or some of the weekly hours otherwise required by section 36165
5107.43 of the Revised Code. Circumstances shall include that a 36166
school or place of work is closed due to a holiday or weather or 36167
other emergency and that an employer grants the minor head of 36168
household or adult leave for illness or earned vacation.36169

       (12)(13) The maximum amount of time the department will36170
subsidize positions created by state agencies and political36171
subdivisions under division (C) of section 5107.52 of the Revised 36172
Code. 36173

       (B) The rules adopted under division (A)(3) of this section 36174
regarding income shall specify what is countable income, gross 36175
earned income, and gross unearned income for the purpose of 36176
section 5107.10 of the Revised Code.36177

       The rules adopted under division (A)(9) of this section shall 36178
be consistent with 42 U.S.C. 654(29). 36179

       The rules adopted under division (A)(12) of this section 36180
shall specify that the circumstances include that a school or 36181
place of work is closed due to a holiday or weather or other 36182
emergency and that an employer grants the minor head of household 36183
or adult leave for illness or earned vacation.36184

       (C) The rules may provide that a county department of job and 36185
family services is not required to take action under section 36186
5107.76 of the Revised Code to recover an erroneous payment that 36187
is below an amount the department specifies.36188

       Sec. 5107.10.  (A) As used in this section:36189

       (1) "Countable income," "gross earned income," and "gross36190
unearned income" have the meanings established in rules adopted36191
under section 5107.05 of the Revised Code.36192

       (2) "Federal poverty guidelines" has the same meaning as in 36193
section 5101.46 of the Revised Code, except that references to a 36194
person's family in the definition shall be deemed to be references 36195
to the person's assistance group.36196

       (3) "Gross income" means gross earned income and gross36197
unearned income.36198

       (4) "Initial eligibility threshold" means the higher of the 36199
following:36200

       (a) Fifty per cent of the federal poverty guidelines;36201

       (b) The gross income maximum for initial eligibility for Ohio 36202
works first as that maximum was set by division (D)(1)(a) of this 36203
section on the day before the effective date of this amendment.36204

       (5) "Strike" means continuous concerted action in failing to36205
report to duty; willful absence from one's position; or stoppage36206
of work in whole from the full, faithful, and proper performance36207
of the duties of employment, for the purpose of inducing,36208
influencing, or coercing a change in wages, hours, terms, and36209
other conditions of employment. "Strike" does not include a36210
stoppage of work by employees in good faith because of dangerous36211
or unhealthful working conditions at the place of employment that36212
are abnormal to the place of employment.36213

       (B) Under the Ohio works first program, an assistance group36214
shall receive, except as otherwise provided by this chapter,36215
time-limited cash assistance. In the case of an assistance group36216
that includes a minor head of household or adult, assistance shall36217
be provided in accordance with the self-sufficiency contract36218
entered into under section 5107.14 of the Revised Code.36219

       (C) To be eligible to participate in Ohio works first, an36220
assistance group must meet all of the following requirements:36221

       (1) The assistance group, except as provided in division (E)36222
of this section, must include at least one of the following:36223

       (a) A minor child who, except as provided in section 5107.2436224
of the Revised Code, resides with a parent, or specified relative36225
caring for the child, or, to the extent permitted by Title IV-A36226
and federal regulations adopted until Title IV-A, resides with a36227
guardian or custodian caring for the child;36228

       (b) A parent residing with and caring for the parent's minor36229
child who receives supplemental security income under Title XVI of36230
the "Social Security Act," 86 Stat. 1475 (1972), 42 U.S.C.A. 1383,36231
as amended, or federal, state, or local adoption assistance;36232

       (c) A specified relative residing with and caring for a minor 36233
child who is related to the specified relative in a manner that 36234
makes the specified relative a specified relative and receives 36235
supplemental security income or federal, state, or local foster 36236
care or adoption assistance;36237

       (d) A woman at least six months pregnant.36238

       (2) The assistance group must meet the income requirements36239
established by division (D) of this section.36240

       (3) No member of the assistance group may be involved in a36241
strike.36242

       (4) The assistance group must satisfy the requirements for36243
Ohio works first established by this chapter and sections 5101.58, 36244
5101.59, and 5101.83 of the Revised Code.36245

       (5) The assistance group must meet requirements for Ohio36246
works first established by rules adopted under section 5107.05 of36247
the Revised Code.36248

       (D)(1) Except as provided in division (D)(4) of this section, 36249
to determine whether an assistance group is initially eligible to 36250
participate in Ohio works first, a county department of job and 36251
family services shall do the following:36252

       (a) Determine whether the assistance group's gross income36253
exceeds the initial eligibility thresholdfifty per cent of the 36254
federal poverty guidelines. In making this determination, the 36255
county department shall disregard amounts that federal statutes or 36256
regulations and sections 5101.17 and 5117.10 of the Revised Code 36257
require be disregarded. The assistance group is ineligible to 36258
participate in Ohio works first if the assistance group's gross 36259
income, less the amounts disregarded, exceeds the initial 36260
eligibility thresholdfifty per cent of the federal poverty 36261
guidelines.36262

       (b) If the assistance group's gross income, less the amounts36263
disregarded pursuant to division (D)(1)(a) of this section, does36264
not exceed the initial eligibility thresholdfifty per cent of the 36265
federal poverty guidelines, determine whether the assistance36266
group's countable income is less than the payment standard. The 36267
assistance group is ineligible to participate in Ohio works first 36268
if the assistance group's countable income equals or exceeds the 36269
payment standard.36270

       (2) For the purpose of determining whether an assistance 36271
group meets the income requirement established by division 36272
(D)(1)(a) of this section, the annual revision that the United 36273
States department of health and human services makes to the 36274
federal poverty guidelines shall go into effect on the first day 36275
of July of the year for which the revision is made.36276

       (3) To determine whether an assistance group participating in 36277
Ohio works first continues to be eligible to participate, a county 36278
department of job and family services shall determine whether the 36279
assistance group's countable income continues to be less than the 36280
payment standard. In making this determination, the county 36281
department shall disregard the first two hundred fifty dollars and 36282
fifty per cent of the remainder of the assistance group's gross 36283
earned income. No amounts shall be disregarded from the assistance36284
group's gross unearned income. The assistance group ceases to be 36285
eligible to participate in Ohio works first if its countable 36286
income, less the amounts disregarded, equals or exceeds the 36287
payment standard.36288

       (4) If an assistance group reapplies to participate in Ohio36289
works first not more than four months after ceasing to36290
participate, a county department of job and family services shall36291
use the income requirement established by division (D)(3) of this36292
section to determine eligibility for resumed participation rather36293
than the income requirement established by division (D)(1) of this36294
section.36295

       (E)(1) An assistance group may continue to participate in36296
Ohio works first even though a public children services agency36297
removes the assistance group's minor children from the assistance36298
group's home due to abuse, neglect, or dependency if the agency36299
does both of the following:36300

       (a) Notifies the county department of job and family services 36301
at the time the agency removes the children that it believes the 36302
children will be able to return to the assistance group within six 36303
months;36304

       (b) Informs the county department at the end of each of the36305
first five months after the agency removes the children that the36306
parent, guardian, custodian, or specified relative of the children36307
is cooperating with the case plans prepared for the children under36308
section 2151.412 of the Revised Code and that the agency is making36309
reasonable efforts to return the children to the assistance group.36310

       (2) An assistance group may continue to participate in Ohio36311
works first pursuant to division (E)(1) of this section for not36312
more than six payment months. This division does not affect the36313
eligibility of an assistance group that includes a woman at least36314
six months pregnant.36315

       Sec. 5107.12.  An assistance group seeking to participate in 36316
the Ohio works first program shall apply to a county department of 36317
job and family services using an application containing36318
information the director of job and family services requires 36319
pursuant to rules adopted under section 5107.05 of the Revised 36320
Code and any additional information the county department36321
requires. If cash assistance under the program is to be paid by 36322
the director of budget and management through the medium of direct36323
deposit as provided by section 329.03 of the Revised Code, the 36324
application shall be accompanied by information the director needs 36325
to make direct deposits.36326

       When a county department receives an application for 36327
participation in Ohio works first, it shall promptly make an 36328
investigation and record of the circumstances of the applicant in 36329
order to ascertain the facts surrounding the application and to 36330
obtain such other information as may be required. Upon the 36331
completion of the investigation, the county department shall 36332
determine as soon as possible whether the applicant is eligible to 36333
participate, the amount of cash assistance the applicant should 36334
receive, and the approximate date when participation shall begin. 36335
The county department shall not delay making the determination of 36336
whether the applicant is eligible to participate on the basis that 36337
the individuals required by section 5107.14 of the Revised Code to 36338
enter into a written self-sufficiency contract with the county 36339
department have not yet done that. The amount of cash assistance 36340
so determined shall be certified to the department of job and 36341
family services in such form as the department shall prescribe. 36342
Warrants, direct deposits, or debit cards shall be delivered or 36343
made payable in the manner the department may prescribe.36344

       To the extent required by rules adopted under section 5107.05 36345
of the Revised Code, a participant of Ohio works first shall 36346
notify the county department immediately upon the receipt or36347
possession of additional income not previously reported to the 36348
county department. Any failure to so notify a county department 36349
shall be regarded as prima-facie evidence of an intent to defraud.36350

       Sec. 5107.14. (A) An assistance group is ineligible to36351
participate in Ohio works first unless the minor head of household36352
or each adult member of the assistance group, not later than36353
thirty days after applying for or undergoing a redetermination of36354
eligibility for the program, entersthe following enter into a 36355
written self-sufficiency contract with the county department of36356
job and family services not later than thirty days after the 36357
assistance group applies for or undergoes a redetermination of 36358
eligibility for the program:36359

       (1) Each adult member of the assistance group;36360

       (2) The assistance group's minor head of household unless the 36361
minor head of household is participating in the LEAP program. The36362

       (B) A self-sufficiency contract shall set forth the rights 36363
and responsibilities of the assistance group as applicants for and36364
participants of the program, including work responsibilities36365
established under sections 5107.40 to 5107.69 of the Revised Code36366
and other requirements designed to assist the assistance group in36367
achieving self sufficiency and personal responsibility. The county 36368
department shall provide without charge a copy of the contract to 36369
each assistance group member who signs it.36370

       EachOhio works first. Each self-sufficiency contract shall 36371
include, based on appraisals conducted under section 5107.41 of 36372
the Revised Code and assessments conducted under section 5107.7036373
of the Revised Code, the following:36374

       (A)(1) The assistance group's plan, developed under section36375
5107.41 of the Revised Code, to achieve the goal of self36376
sufficiency and personal responsibility through unsubsidized36377
employment within the time limit for participating in Ohio works36378
first established by section 5107.18 of the Revised Code;36379

       (B)(2) Work activities, developmental activities, and36380
alternative work activities to which members of the assistance36381
group are assigned under sections 5107.40 to 5107.69 of the36382
Revised Code;36383

       (C)(3) The responsibility of a caretaker member of the36384
assistance group to cooperate in establishing a minor child's36385
paternity and establishing, modifying, and enforcing a support36386
order for the child in accordance with section 5107.22 of the36387
Revised Code;36388

       (D)(4) Other responsibilities that members of the assistance36389
group must satisfy to participate in Ohio works first and the36390
consequences for failure or refusal to satisfy the36391
responsibilities;36392

       (E)(5) An agreement that the assistance group will comply 36393
with the conditions of participating in Ohio works first 36394
established by this chapter and sections 5101.58, 5101.59, and 36395
5101.83 of the Revised Code;36396

       (F)(6) Assistance and services the county department will36397
provide to the assistance group;36398

       (G)(7) Assistance and services the child support enforcement36399
agency and public children services agency will provide to the36400
assistance group pursuant to a plan of cooperation entered into36401
under section 307.983 of the Revised Code;36402

       (H)(8) Other provisions designed to assist the assistance36403
group in achieving self sufficiency and personal responsibility;36404

       (I)(9) Procedures for assessing whether responsibilities are36405
being satisfied and whether the contract should be amended;36406

       (J)(10) Procedures for amending the contract.36407

       (C) No self-sufficiency contract shall include provisions 36408
regarding the LEAP program.36409

       (D) The county department shall provide without charge a copy 36410
of the self-sufficiency contract to each assistance group member 36411
who signs it.36412

       Sec. 5107.16.  (A) If a member of an assistance group fails 36413
or refuses, without good cause, to comply in full with a provision 36414
of a self-sufficiency contract entered into under section 5107.14 36415
of the Revised Code, a county department of job and family36416
services shall sanction the assistance group as follows:36417

       (1) For a first failure or refusal, the county department36418
shall deny or terminate the assistance group's eligibility to36419
participate in Ohio works first for one payment month or until the 36420
failure or refusal ceases, whichever is longer;36421

       (2) For a second failure or refusal, the county department 36422
shall deny or terminate the assistance group's eligibility to36423
participate in Ohio works first for three payment months or until 36424
the failure or refusal ceases, whichever is longer;36425

       (3) For a third or subsequent failure or refusal, the county 36426
department shall deny or terminate the assistance group's36427
eligibility to participate in Ohio works first for six payment36428
months or until the failure or refusal ceases, whichever is36429
longer.36430

       (B) Each county departmentThe director of job and family 36431
services shall establish standards for the determination of good 36432
cause for failure or refusal to comply in full with a provision of 36433
a self-sufficiency contract in rules adopted under section 5107.05 36434
of the Revised Code.36435

       (1) In the case of a failure or refusal to participate in a 36436
work activity, developmental activity, or alternative work36437
activity under sections 5107.40 to 5107.69 of the Revised Code, 36438
good cause shall include, except as provided in division (B)(2) of 36439
this section, the following:36440

       (a) Failure of the county department to place the member in 36441
an activity;36442

       (b) Failure of the county department to provide for the 36443
assistance group to receive support services the county department 36444
determines under section 5107.66 of the Revised Code to be 36445
necessary. In determining whether good cause exists, a county 36446
department shall determine that day care is a necessary support 36447
service if a single custodial parent caring for a minor child 36448
under age six proves a demonstrated inability, as determined by 36449
the county department, to obtain needed child care for one or more 36450
of the following reasons:36451

       (i) Unavailability of appropriate child care within a 36452
reasonable distance from the parent's home or work site;36453

       (ii) Unavailability or unsuitability of informal child care 36454
by a relative or under other arrangements;36455

       (iii) Unavailability of appropriate and affordable formal 36456
child care arrangements.36457

       (2) Good cause does not exist if the member of the assistance 36458
group is placed in a work activity established under section 36459
5107.58 of the Revised Code and exhausts the support services 36460
available for that activity.36461

       (C) When a state hearing under division (B) of section36462
5101.35 of the Revised Code or an administrative appeal under 36463
division (C) of that section is held regarding a sanction under 36464
this section, the hearing officer, director of job and family 36465
services, or director's designee shall base the decision in the 36466
hearing or appeal on the county department's standards of good 36467
cause for failure or refusal to comply in full with a provision of 36468
a self-sufficiency contract, if the county department provides the 36469
hearing officer, director, or director's designee a copy of the 36470
county department's good cause standards.36471

       (D) After sanctioning an assistance group under division (A) 36472
of this section, a county department of job and family services 36473
shall continue to work with the assistance group to provide the 36474
member of the assistance group who caused the sanction an 36475
opportunity to demonstrate to the county department a willingness 36476
to cease the failure or refusal to comply with the 36477
self-sufficiency contract.36478

       (E)(D) An adult eligible for medical assistancemedicaid36479
pursuant to division (A)(1)(a) of section 5111.01 of the Revised36480
Code who is sanctioned under division (A)(3) of this section for a 36481
failure or refusal, without good cause, to comply in full with a 36482
provision of a self-sufficiency contract related to work36483
responsibilities under sections 5107.40 to 5107.69 of the Revised 36484
Code loses eligibility for medical assistancemedicaid unless the 36485
adult is otherwise eligible for medical assistancemedicaid36486
pursuant to another division of section 5111.01 of the Revised36487
Code.36488

       (F) An assistance group that would be participating in Ohio 36489
works first if not for a sanction under this section shall36490
continue to be eligible for all of the following:36491

       (1) Publicly funded child care in accordance with division36492
(A)(3) of section 5104.30 of the Revised Code;36493

       (2) Support services in accordance with section 5107.66 of 36494
the Revised Code;36495

       (3) To the extent permitted by the "Fair Labor Standards Act 36496
of 1938," 52 Stat. 1060, 29 U.S.C.A. 201, as amended, to 36497
participate in work activities, developmental activities, and 36498
alternative work activities in accordance with sections 5107.40 to 36499
5107.69 of the Revised Code.36500

       Sec. 5107.17.  An assistance group that resumes participation 36501
in Ohio works first following a sanction under section 5107.16 of 36502
the Revised Code is not required to do either of the following:36503

       (A) Reapply under section 5107.12 of the Revised Code, unless 36504
it is the assistance group's regularly scheduled time for an 36505
eligibility redetermination;36506

       (B) Enter into a new self-sufficiency contract under section36507
5107.14 of the Revised Code, unless the county department of job 36508
and family services determines it is time for a new appraisal 36509
under section 5107.41 of the Revised Code or the assistance 36510
group's circumstances have changed in a manner necessitating an 36511
amendment to the self-sufficiency contract as determined using 36512
procedures included in the contract under division (I)(B)(9) of 36513
section 5107.14 of the Revised Code.36514

       Sec. 5107.281.  A participant of Ohio works first who is 36515
enrolled in a school district in a county that is participating in 36516
the learnfare program and is not younger than age six but not 36517
older than age nineteen shall participate in the learnfare program36518
unless one of the following is the case:36519

       (A) The participant is not yet eligible for enrollment in36520
first grade;36521

       (B) The participant is subject to the LEAP program under 36522
section 5107.30 of the Revised Code;36523

       (C) The participant has received one of the following:36524

       (1) A high school diploma;36525

       (2) A certificate stating that the participant has achieved36526
the equivalent of a high school education as measured by scores36527
obtained on the tests of general educational development as36528
published by the American council on education.36529

       (D) The participant has been excused from school attendance36530
pursuant to section 3321.04 of the Revised Code;36531

       (E) If child care services for a member of the participant's 36532
household are necessary for the participant to attend school, 36533
child care licensed or certified under Chapter 5104. of the 36534
Revised Code or under sections 3301.52 to 3301.59 of the Revised 36535
Code and transportation to and from the child care are not36536
available;36537

       (F) The participant has been adjudicated a delinquent or36538
unruly child pursuant to section 2151.28 of the Revised Code.36539

       Sec. 5107.30.  (A) As used in this section:36540

       (1) "Equivalent of a high school diploma" and "good cause" 36541
have the meanings established in rules adopted under section 36542
5107.05 of the Revised Code.36543

       (2) "LEAP program" means the learning, earning, and parenting 36544
program.36545

       (3) "Participating teen" means an individual to whom all of 36546
the following apply:36547

       (a) The individual is a participant of Ohio works first;36548

       (b) The individual is under age eighteen or is age eighteen 36549
and in school and is a natural or adoptive parent or is pregnant;36550

       (c) The individual is subject to the LEAP program's 36551
requirements.36552

       (4)(3) "School" means an educational program that is designed36553
to lead to the attainment of a high school diploma or the36554
equivalent of a high school diploma.36555

       (B) The director of job and family services may conduct a 36556
program titled the "LEAP program" in accordance with rules adopted 36557
under section 5107.05 of the Revised Code. The purpose of the LEAP 36558
program is to encourage teens to complete school.36559

        Every participating teen shall attend school in accordance 36560
with the requirements governing the LEAP program unless the 36561
participating teen shows good cause for not attending school. The 36562
department shall provide, in addition to the cash assistance 36563
payment provided under Ohio works first, an incentive payment, in 36564
an amount determined by the department, to every participating 36565
teen who attends school in accordance with the requirements 36566
governing the LEAP program. In addition to the incentive payment, 36567
the department may provide other incentives to participating teens 36568
who attend school in accordance with the LEAP program's 36569
requirements. The department shall reduce the cash assistance36570
payment, in an amount determined by the department, under Ohio 36571
works first to every participating teen who fails or refuses, 36572
without good cause, to meet the LEAP program's requirements.36573

        Every participating teen shall enter into a written agreement 36574
with the county department of job and family services that 36575
specifies all of the following:36576

       (1) The participating teen, to be eligible to receive the 36577
incentive payment and other incentives, if any, under this 36578
section, must meet the requirements of the LEAP program.36579

       (2) The incentive payment and other incentives, if any, will 36580
be provided if the participating teen meets the requirements of 36581
the LEAP program.36582

       (3) The participating teen's cash assistance payment under 36583
Ohio works first will be reduced if the participating teen fails 36584
or refuses without good cause to attend school in accordance with 36585
the requirements governing the LEAP program.36586

       (C) A minor head of household who is participating36587
household's participation in the LEAP program shall be considered 36588
to be participating in a work activity for the purpose of sections 36589
5107.40 to 5107.69counted in determining whether a county 36590
department of job and family services meets the requirement of 36591
section 5107.44 of the Revised Code. However, the minor head of 36592
household is not subject to the requirements or sanctions of those 36593
sections.36594

       (D) Subject to the availability of funds, county departments 36595
of job and family services shall provide for participating teens 36596
to receive support services the county department determines to be 36597
necessary for LEAP participation. Support services may include 36598
publicly funded child care under Chapter 5104. of the Revised 36599
Code, transportation, and other services.36600

       Sec. 5107.36.  An individual is not eligible to participate 36601
inineligible for assistance under Ohio works first if either of 36602
the following apply:36603

       (A) The individual is a fugitive felon as defined in section 36604
5101.20 of the Revised Code;36605

       (B) The individual is violating a condition of probation, a36606
community control sanction, parole, or a post-release control 36607
sanction imposed under federal or state law.36608

       Sec. 5107.41.  As soon as possible after an assistance group 36609
submits an application to participate in Ohio works first, the 36610
county department of job and family services that receives the36611
application shall schedule and conduct an appraisal of each member 36612
of the assistance group who is a minor head of household or adult, 36613
other than a minor head of household participating in the LEAP 36614
program. The appraisal may include an evaluation of the 36615
employment, educational, physiological, and psychological 36616
abilities or liabilities, or both, of the minor head of household 36617
or adult. At the appraisal, the county department shall develop36618
with the minor head of household or adult a plan for the 36619
assistance group to achieve the goal of self sufficiency and 36620
personal responsibility through unsubsidized employment within the 36621
time limit for participating in the Ohio works first program 36622
established by section 5107.18 of the Revised Code. The plan shall 36623
include assignments to one or more work activities, developmental36624
activities, or alternative work activities in accordance with36625
section 5107.42 of the Revised Code. The county department shall 36626
include the plan in the self-sufficiency contract entered into 36627
under section 5107.14 of the Revised Code. 36628

       The county department shall conduct more appraisals of the 36629
minor head of household or adult at times the county department 36630
determines. 36631

       If the minor head of household or adult claims to have a36632
medically determinable physiological or psychological impairment, 36633
illness, or disability, the county department may require that the 36634
minor head of household or adult undergo an independent medical or 36635
psychological examination at a time and place reasonably 36636
convenient to the minor head of household or adult.36637

       Sec. 5107.42.  (A) Except as provided in divisions (B) and 36638
(C) of this section, county departments of job and family services 36639
shall assign each minor head of household and adult participating 36640
in Ohio works first, other than a minor head of household 36641
participating in the LEAP program, to one or more work activities 36642
and developmental activities.36643

       If a county department assigns a minor head of household or 36644
adult to the work activity established under division (H) of36645
section 5107.60 of the Revised Code, the county department shall 36646
make reasonable efforts to assign the minor head of household or 36647
adult to at least one other work activity at the same time. If a 36648
county department assigns a minor head of household or adult to 36649
the work activity established under section 5107.58 of the Revised 36650
Code, the county department shall assign the minor head of 36651
household or adult to at least one other work activity at the same 36652
time.36653

       A county department may not assign a minor head of household 36654
or adult to a work activity established under division (D) of 36655
section 5107.60 of the Revised Code for more than twelve months.36656

       (B) If a county department determines that a minor head of 36657
household or adult has a temporary or permanent barrier to 36658
participation in a work activity, it may assign the minor head of 36659
household or adult to one or more alternative work activities 36660
instead of assigning the minor head of household or adult to one 36661
or more work activities or developmental activities. A county 36662
department may not assign more than twenty per cent of minor heads 36663
of household and adults participating in Ohio works first to an36664
alternative work activity. 36665

       County departments shall establish standards for determining 36666
whether a minor head of household or adult has a temporary or 36667
permanent barrier to participating in a work activity. The 36668
following are examples of circumstances that a county department 36669
may consider when it develops its standards:36670

       (1) A minor head of household or adult provides the county 36671
department documented evidence that one or more members of the 36672
assistance group have been the victim of domestic violence and are 36673
in imminent danger of suffering continued domestic violence;36674

       (2) A minor head of household or adult is actively 36675
participating in an alcohol or drug addiction program certified by 36676
the department of alcohol and drug addiction services under 36677
section 3793.06 of the Revised Code; 36678

       (3) An assistance group is homeless.36679

       (C) A county department may exempt a minor head of household 36680
or adult who is unmarried and caring for a minor child under 36681
twelve months of age from the work requirements of sections 36682
5107.40 to 5107.69 of the Revised Code for not more than twelve36683
months. While exempt, the minor head of household or adult shall 36684
be disregarded in determining whether the county department is 36685
meeting the requirement of section 5107.44 of the Revised Code. 36686
The county department shall assign the exempt minor head of 36687
household or adult to at least one developmental activity for a 36688
number of hours a week the county department determines. The 36689
county department may assign the exempt minor head of household or 36690
adult to one or more work activities, in addition to developmental 36691
activities, for a number of hours the county department 36692
determines. Division (B) of section 5107.43 of the Revised Code 36693
does not apply to the exempt minor head of household or adult. 36694

       (D) A county department may reassign a minor head of 36695
household or adult when the county department determines 36696
reassignment will aid the assistance group in achieving self 36697
sufficiency and personal responsibility and shall make 36698
reassignments when circumstances requiring reassignment occur, 36699
including when a temporary barrier to participating in a work 36700
activity is eliminated. 36701

       A county department shall include assignments in the36702
self-sufficiency contract entered into under section 5107.14 of36703
the Revised Code and shall amend the contract when a reassignment 36704
is made to include the reassignment in the contract.36705

       Sec. 5111.01.  As used in this chapter, "medical assistance36706
program" or "medicaid" means the program that is authorized by36707
this chapter and provided by the department of job and family36708
services under this chapter, Title XIX of the "Social Security36709
Act," 79 Stat. 286 (1965), 42 U.S.C.A. 1396, as amended, and the 36710
waivers of Title XIX requirements granted to the department by the 36711
health care financing administrationcenters for medicare and 36712
medicaid services of the United States department of health and36713
human services.36714

       The department of job and family services shall act as the36715
single state agency to supervise the administration of the36716
medicaid program. As the single state agency, the department shall 36717
comply with 42 C.F.R. 431.10(e). The department's rules governing 36718
medicaid are binding on other agencies that administer components 36719
of the medicaid program. No agency may establish, by rule or 36720
otherwise, a policy governing medicaid that is inconsistent with a 36721
medicaid policy established, in rule or otherwise, by the director 36722
of job and family services.36723

       (A) The department of job and family services may provide36724
medical assistance under the medicaid program as long as federal36725
funds are provided for such assistance, to the following:36726

       (1) Families with children that meet either of the following36727
conditions:36728

       (a) The family meets the income, resource, and family36729
composition requirements in effect on July 16, 1996, for the36730
former aid to dependent children program as those requirements36731
were established by Chapter 5107. of the Revised Code, federal36732
waivers granted pursuant to requests made under former section36733
5101.09 of the Revised Code, and rules adopted by the department36734
or any changes the department makes to those requirements in36735
accordance with paragraph (a)(2) of section 114 of the "Personal36736
Responsibility and Work Opportunity Reconciliation Act of 1996,"36737
110 Stat. 2177, 42 U.S.C.A. 1396u-1, for the purpose of36738
implementing section 5111.019 of the Revised Code. An adult loses36739
eligibility for medical assistance under division (A)(1)(a) of36740
this section pursuant to division (E)(D) of section 5107.16 of the36741
Revised Code.36742

       (b) The family does not meet the requirements specified in36743
division (A)(1)(a) of this section but is eligible for medical36744
assistance pursuant to section 5101.18 of the Revised Code.36745

       (2) Aged, blind, and disabled persons who meet the following36746
conditions:36747

       (a) Receive federal aid under Title XVI of the "Social36748
Security Act," or are eligible for but are not receiving such aid,36749
provided that the income from all other sources for individuals36750
with independent living arrangements shall not exceed one hundred36751
seventy-five dollars per month. The income standards hereby36752
established shall be adjusted annually at the rate that is used by36753
the United States department of health and human services to36754
adjust the amounts payable under Title XVI.36755

       (b) Do not receive aid under Title XVI, but meet any of the36756
following criteria:36757

       (i) Would be eligible to receive such aid, except that their36758
income, other than that excluded from consideration as income36759
under Title XVI, exceeds the maximum under division (A)(2)(a) of36760
this section, and incurred expenses for medical care, as36761
determined under federal regulations applicable to section 209(b)36762
of the "Social Security Amendments of 1972," 86 Stat. 1381, 4236763
U.S.C.A. 1396a(f), as amended, equal or exceed the amount by which36764
their income exceeds the maximum under division (A)(2)(a) of this36765
section;36766

       (ii) Received aid for the aged, aid to the blind, or aid for36767
the permanently and totally disabled prior to January 1, 1974, and36768
continue to meet all the same eligibility requirements;36769

       (iii) Are eligible for medical assistance pursuant to section36770
5101.18 of the Revised Code.36771

       (3) Persons to whom federal law requires, as a condition of36772
state participation in the medicaid program, that medical36773
assistance be provided;36774

       (4) Persons under age twenty-one who meet the income36775
requirements for the Ohio works first program established under36776
Chapter 5107. of the Revised Code but do not meet other36777
eligibility requirements for the program. The director shall36778
adopt rules in accordance with Chapter 119. of the Revised Code36779
specifying which Ohio works first requirements shall be waived for36780
the purpose of providing medicaid eligibility under division36781
(A)(4) of this section.36782

       (B) If sufficient funds are appropriated for such purpose by 36783
the general assemblythe medical assistance program, the 36784
department may provide medical assistance to persons in groups 36785
designated by federal law as groups to which a state, at its 36786
option, may provide medical assistance under the medicaid program.36787

       (C) The department may expand eligibility for medical36788
assistance to include individuals under age nineteen with family36789
incomes at or below one hundred fifty per cent of the federal36790
poverty guidelines, except that the eligibility expansion shall36791
not occur unless the department receives the approval of the36792
federal government. The department may implement the eligibility36793
expansion authorized under this division on any date selected by36794
the department, but not sooner than January 1, 1998.36795

       (D) In addition to any other authority or requirement to36796
adopt rules under this chapter, the director may adopt rules in36797
accordance with section 111.15 of the Revised Code as the director36798
considers necessary to establish standards, procedures, and other36799
requirements regarding the provision of medical assistance. The36800
rules may establish requirements to be followed in applying for36801
medical assistance, making determinations of eligibility for36802
medical assistance, and verifying eligibility for medical36803
assistance. The rules may include special conditions as the36804
department determines appropriate for making applications,36805
determining eligibility, and verifying eligibility for any medical36806
assistance that the department may provide pursuant to division36807
(C) of this section and section 5111.014 or 5111.019 of the36808
Revised Code.36809

       Sec. 5111.014.  (A) The director of job and family services 36810
shall submit to the United States secretary of health and human 36811
services an amendment to the state medicaid plan to make an 36812
individual who meets all of the following requirements eligible 36813
for medicaid:36814

       (1) The individual is pregnant;36815

       (2) The individual's family income does not exceed onetwo36816
hundred fifty per cent of the federal poverty guidelines;36817

       (3) The individual satisfies all relevant requirements 36818
established by rules adopted under division (D) of section 5111.01 36819
of the Revised Code.36820

       (B) If approved by the United States secretary of health and 36821
human services, the director of job and family services shall 36822
implement the medicaid plan amendment submitted under division (A) 36823
of this section as soon as possible after receipt of notice of the 36824
approval, but not sooner than January 1, 20002008.36825

       Sec. 5111.016. (A) As used in this section, "healthcheck" has36826
the same meaning as in section 3313.714 of the Revised Code.36827

       (B) In accordance with federal law and regulations, theThe36828
department of job and family services shall establishadopt rules 36829
in accordance with Chapter 119. of the Revised Code establishing a36830
combination of written and oral methods designed to provide 36831
information about healthcheck to all persons eligible for the 36832
program or their parents or guardians. The department shall ensure 36833
that its methods of providing information are effective. The 36834
methods shall comply with federal law and regulations.36835

       Each county department of job and family services or other36836
entity that distributes or accepts applications for medical 36837
assistance shall prominently display in a conspicuous place the 36838
following notice:36839

       "Under state and federal law, if you are a Medicaid36840
recipient, your child is entitled to a thorough medical36841
examination provided through Healthcheck. Once this examination is 36842
completed, your child is entitled to receive, at no cost to you, 36843
any service determined to be medically necessary."that complies 36844
with the rules adopted under this division.36845

       Sec. 5111.019. (A) The director of job and family services36846
shall submit to the United States secretary of health and human36847
services an amendment to the state medicaid plan to make an36848
individual eligible for medicaid who meets all of the following 36849
requirements eligible for medicaid for the amount of time provided 36850
by division (B) of this section:36851

       (1)(A) The individual is the parent of a child under nineteen36852
years of age and resides with the child;36853

       (2)(B) The individual's family income does not exceed ninety 36854
per cent of the federal poverty guidelines;36855

       (3)(C) The individual is not otherwise eligible for medicaid;36856

       (4)(D) The individual satisfies all relevant requirements36857
established by rules adopted under division (D) of section 5111.0136858
of the Revised Code.36859

       (B) An individual is eligible to receive medicaid under this36860
section for a period that does not exceed two years beginning on36861
the date on which eligibility is established.36862

       Sec. 5111.0112.  (A) Not later than July 1, 2006, theThe36863
director of job and family services shall institute a copayment36864
cost-sharing program under the medicaid program. To the extent 36865
permitted by federal law, the copaymentIn instituting the 36866
cost-sharing program, the director shall comply with federal law. 36867
The cost-sharing program shall establish a copayment requirement 36868
for onlyat least dental services, vision services, nonemergency 36869
emergency department services, and prescription drugs, other than 36870
generic drugs. The cost-sharing program shall establish 36871
requirements regarding premiums, enrollment fees, deductions, and 36872
similar charges. The director shall adopt rules under section 36873
5111.02 of the Revised Code governing the copayment program.36874

       (B) The copaymentcost-sharing program shall, to the extent 36875
permitted by federal law, provide for all of the following with 36876
regard to any providers participating in the medicaid program:36877

        (1) No provider shall refuse to provide a service to a 36878
medicaid recipient who is unable to pay a required copayment for 36879
the service.36880

        (2) Division (B)(1) of this section shall not be considered 36881
to do either of the following with regard to a medicaid recipient 36882
who is unable to pay a required copayment:36883

       (a) Relieve the medicaid recipient from the obligation to pay 36884
a copayment;36885

        (b) Prohibit the provider from attempting to collect an 36886
unpaid copayment.36887

        (3) Except as provided in division (C) of this section, no 36888
provider shall waive a medicaid recipient's obligation to pay the 36889
provider a copayment.36890

        (4) No provider or drug manufacturer, including the 36891
manufacturer's representative, employee, independent contractor, 36892
or agent, shall pay any copayment on behalf of a medicaid 36893
recipient.36894

        (5) If it is the routine business practice of the provider to 36895
refuse service to any individual who owes an outstanding debt to 36896
the provider, the provider may consider an unpaid copayment 36897
imposed by the copaymentcost-sharing program as an outstanding 36898
debt and may refuse service to a medicaid recipient who owes the 36899
provider an outstanding debt. If the provider intends to refuse 36900
service to a medicaid recipient who owes the provider an 36901
outstanding debt, the provider shall notify the individual of the 36902
provider's intent to refuse services.36903

       (C) In the case of a provider that is a hospital, the 36904
copaymentcost-sharing program shall permit the hospital to take 36905
action to collect a copayment by providing, at the time services 36906
are rendered to a medicaid recipient, notice that a copayment may 36907
be owed. If the hospital provides the notice and chooses not to 36908
take any further action to pursue collection of the copayment, the 36909
prohibition against waiving copayments specified in division 36910
(B)(3) of this section does not apply.36911

       (D) The department of job and family services may work with a 36912
state agency that is administering, pursuant to a contract entered 36913
into under section 5111.91 of the Revised Code, one or more 36914
components of the medicaid program or one or more aspects of a 36915
component as necessary for the state agency to apply the 36916
cost-sharing program to the components or aspects of the medicaid 36917
program that the state agency administers.36918

       Sec. 5111.0119.  (A) The director of job and family services 36919
shall submit to the United States secretary of health and human 36920
services an amendment to the state medicaid plan to establish the 36921
medicaid buy-in program in accordance with 42 U.S.C. 36922
1396a(a)(10)(A)(ii)(XV) and (XVI).36923

       (B) The director of job and family services shall adopt rules 36924
under section 5111.011 of the Revised Code to implement this 36925
section.36926

       Sec. 5111.023.  (A) As used in this section:36927

       (1) "Community mental health facility" means a community 36928
mental health facility that has a quality assurance program 36929
accredited by the joint commission on accreditation of healthcare 36930
organizations or is certified by the department of mental health 36931
or department of job and family services.36932

        (2) "Mental health professional" means a person qualified to 36933
work with mentally ill persons under the standards established by 36934
the director of mental health pursuant to section 5119.611 of the 36935
Revised Code.36936

        (B) The state medicaid plan shall include provision of the36937
following mental health services when provided by community mental 36938
health facilities:36939

       (1) Outpatient mental health services, including, but not36940
limited to, preventive, diagnostic, therapeutic, rehabilitative,36941
and palliative interventions rendered to individuals in an36942
individual or group setting by a mental health professional in36943
accordance with a plan of treatment appropriately established,36944
monitored, and reviewed;36945

       (2) Partial-hospitalization mental health services of three36946
to fourteen hours per service day, rendered by persons directly36947
supervised by a mental health professional;36948

       (3) Unscheduled, emergency mental health services of a kind36949
ordinarily provided to persons in crisis when rendered by persons36950
supervised by a mental health professional;36951

       (4) Subject to receipt of federal approval, assertive 36952
community treatment and intensive home-based mental health 36953
services.36954

       (C) The comprehensive annual plan shall certify the36955
availability of sufficient unencumbered community mental health36956
state subsidy and local funds to match federal medicaid 36957
reimbursement funds earned by community mental health facilities. 36958

       (D) The department of job and family services shall enter36959
into a separate contract with the department of mental health 36960
under section 5111.91 of the Revised Code with regard to the 36961
component of the medicaid program provided for by this section.36962

       (E) Not later than July 21, 2006, the department of job and 36963
family services shall request federal approval to provide 36964
assertive community treatment and intensive home-based mental 36965
health services under medicaid pursuant to this section.36966

       (F) On receipt of federal approval sought under division (E) 36967
of this section, the director of job and family services shall 36968
adopt rules in accordance with Chapter 119. of the Revised Code 36969
for assertive community treatment and intensive home-based mental 36970
health services provided under medicaid pursuant to this section. 36971
The director shall consult with the department of mental health in 36972
adopting the rules.36973

       Sec. 5111.028. (A) Pursuant to section 5111.02 of the Revised 36974
Code, the director of job and family services shall adopt rules 36975
establishing the use of time-limited provider agreements under the 36976
medicaid program. Under the rules, each provider agreement shall 36977
expire three years from the effective date of the agreement.36978

        (B) The rules for use of time-limited provider agreements 36979
shall include a process for re-enrollment of providers. All of the 36980
following apply to the re-enrollment process:36981

       (1) The department may terminate a time-limited provider 36982
agreement or deny re-enrollment when a provider fails to file an 36983
application for re-enrollment within the time and in the manner 36984
required under the re-enrollment process.36985

       (2) If a provider files an application for re-enrollment 36986
within the time and in the manner required under the re-enrollment 36987
process, but the provider agreement expires before the department 36988
acts on the application or before the effective date of the 36989
department's decision on the application, the provider may 36990
continue operating under the terms of the expired provider 36991
agreement until the effective date of the department's decision.36992

       (3) A decision by the department to approve an application 36993
for re-enrollment becomes effective on the date of the 36994
department's decision. A decision by the department to deny 36995
re-enrollment shall take effect not sooner than thirty days after 36996
the date the department mails written notice of the decision to 36997
the provider. The department shall specify in the notice the date 36998
on which the provider is required to cease operating under the 36999
provider agreement.37000

       (C) Pursuant to section 5111.06 of the Revised Code, the 37001
department is not required to take the actions specified in 37002
division (B)(1) of this section by issuing an order pursuant to an 37003
adjudication conducted in accordance with Chapter 119. of the 37004
Revised Code.37005

       Sec. 5111.03.  (A) No provider of services or goods37006
contracting with the department of job and family services37007
pursuant to the medicaid program shall, by deception, obtain or 37008
attempt to obtain payments under this chapter to which the 37009
provider is not entitled pursuant to the provider agreement, or 37010
the rules of the federal government or the department of job and 37011
family services relating to the program. No provider shall 37012
willfully receive payments to which the provider is not entitled, 37013
or willfully receive payments in a greater amount than that to 37014
which the provider is entitled; nor shall any provider falsify any 37015
report or document required by state or federal law, rule, or 37016
provider agreement relating to medicaid payments. As used in this 37017
section, a provider engages in "deception" when the provider, 37018
acting with actual knowledge of the representation or information 37019
involved, acting in deliberate ignorance of the truth or falsity 37020
of the representation or information involved, or acting in 37021
reckless disregard of the truth or falsity of the representation 37022
or information involved, deceives another or causes another to be 37023
deceived by any false or misleading representation, by withholding 37024
information, by preventing another from acquiring information, or 37025
by any other conduct, act, or omission that creates, confirms, or 37026
perpetuates a false impression in another, including a false 37027
impression as to law, value, state of mind, or other objective or 37028
subjective fact. No proof of specific intent to defraud is 37029
required to show, for purposes of this section, that a provider 37030
has engaged in deception.37031

       (B) Any provider who violates division (A) of this section37032
shall be liable, in addition to any other penalties provided by37033
law, for all of the following civil penalties:37034

       (1) Payment of interest on the amount of the excess payments 37035
at the maximum interest rate allowable for real estate mortgages 37036
under section 1343.01 of the Revised Code on the date the payment 37037
was made to the provider for the period from the date upon which 37038
payment was made, to the date upon which repayment is made to the 37039
state;37040

       (2) Payment of an amount equal to three times the amount of 37041
any excess payments;37042

       (3) Payment of a sum of not less than five thousand dollars 37043
and not more than ten thousand dollars for each deceptive claim or 37044
falsification;37045

       (4) All reasonable expenses which the court determines have 37046
been necessarily incurred by the state in the enforcement of this 37047
section.37048

       (C) As used in this division, "intermediate care facility for 37049
the mentally retarded" and "nursing facility" have the same 37050
meanings given in section 5111.20 of the Revised Code.37051

       In addition to the civil penalties provided in division (B) 37052
of this section, the director of job and family services, upon the 37053
conviction of, or the entry of a judgment in either a criminal or 37054
civil action against, a medicaid provider or its owner, officer, 37055
authorized agent, associate, manager, or employee in an action 37056
brought pursuant to section 109.85 of the Revised Code, shall 37057
terminate the provider agreement between the department and the 37058
provider and stop reimbursement to the provider for services 37059
rendered for a period of up to five years from the date of 37060
conviction or entry of judgment. As used in this chapterdivision, 37061
"owner" means any person having at least five per cent ownership 37062
in the medicaid provider. No such provider, owner, officer, 37063
authorized agent, associate, manager, or employee shall own or 37064
provide services to any other medicaid provider or risk contractor 37065
or arrange for, render, or order services for medicaid recipients 37066
during the period of termination as provided in division (C) of 37067
this section, nor, during the period of termination as provided in 37068
division (C) of this section, shall such provider, owner, officer, 37069
authorized agent, associate, manager, or employee receive 37070
reimbursement in the form of direct payments from the department 37071
or indirect payments of medicaid funds in the form of salary, 37072
shared fees, contracts, kickbacks, or rebates from or through any 37073
participating provider or risk contractor. The provider agreement 37074
shall not be terminated or reimbursement terminated if the 37075
provider or owner can demonstrate that the provider or owner did 37076
not directly or indirectly sanction the action of its authorized 37077
agent, associate, manager, or employee that resulted in the 37078
conviction or entry of a judgment in a criminal or civil action 37079
brought pursuant to section 109.85 of the Revised Code. Nothing in 37080
this division prohibits any owner, officer, authorized agent, 37081
associate, manager, or employee of a medicaid provider from 37082
entering into a medicaid provider agreement if the person can 37083
demonstrate that the person had no knowledge of an action of the 37084
medicaid provider the person was formerly associated with that 37085
resulted in the conviction or entry of a judgment in a criminal or 37086
civil action brought pursuant to section 109.85 of the Revised 37087
Code.37088

        Nursing facility or intermediate care facility for the 37089
mentally retarded providers whose agreements are terminated 37090
pursuant to this section may continue to receive reimbursement for 37091
up to thirty days after the effective date of the termination if 37092
the provider makes reasonable efforts to transfer recipients to 37093
another facility or to alternate care and if federal funds are 37094
provided for such reimbursement.37095

       (D) For any reason permitted or required by federal law, the 37096
director of job and family services may deny a provider agreement 37097
or terminate a provider agreement.37098

       For any reason permitted or required by federal law, the 37099
director may exclude an individual, provider of services or goods, 37100
or other entity from participation in the medicaid program. No 37101
individual, provider, or entity excluded under this division shall 37102
own or provide services to any other medicaid provider or risk 37103
contractor or arrange for, render, or order services for medicaid 37104
recipients during the period of exclusion, nor, during the period 37105
of exclusion, shall such individual, provider, or entity receive 37106
reimbursement in the form of direct payments from the department 37107
or indirect payments of medicaid funds in the form of salary, 37108
shared fees, contracts, kickbacks, or rebates from or through any 37109
participating provider or risk contractor. An excluded individual, 37110
provider, or entity may request a reconsideration of the 37111
exclusion. The director shall adopt rules in accordance with 37112
Chapter 119. of the Revised Code governing the process for 37113
requesting a reconsideration.37114

       Nothing in this division limits the applicability of section 37115
5111.06 of the Revised Code to a medicaid provider.37116

       (E) Any provider of services or goods contracting with the37117
department of job and family services pursuant to Title XIX of the37118
"Social Security Act," who, without intent, obtains payments under 37119
this chapter in excess of the amount to which the provider is37120
entitled, thereby becomes liable for payment of interest on the37121
amount of the excess payments at the maximum real estate mortgage37122
rate on the date the payment was made to the provider for the37123
period from the date upon which payment was made to the date upon37124
which repayment is made to the state.37125

       (E)(F) The attorney general on behalf of the state may37126
commence proceedings to enforce this section in any court of37127
competent jurisdiction; and the attorney general may settle or37128
compromise any case brought under this section with the approval37129
of the department of job and family services. Notwithstanding any 37130
other provision of law providing a shorter period of limitations, 37131
the attorney general may commence a proceeding to enforce this37132
section at any time within six years after the conduct in37133
violation of this section terminates.37134

       (F)(G) The authority, under state and federal law, of the37135
department of job and family services or a county department of 37136
job and family services to recover excess payments made to a 37137
provider is not limited by the availability of remedies under 37138
sections 5111.11 and 5111.12 of the Revised Code for recovering 37139
benefits paid on behalf of recipients of medical assistance.37140

       The penalties under this chapter apply to any overpayment,37141
billing, or falsification occurring on and after April 24, 1978.37142
All moneys collected by the state pursuant to this section shall37143
be deposited in the state treasury to the credit of the general37144
revenue fund.37145

       Sec. 5111.031. (A) As used in this section:37146

       (1) "Independent provider" has the same meaning as in section 37147
5111.034 of the Revised Code.37148

       (2) "Intermediate care facility for the mentally retarded" 37149
and "nursing facility" have the same meanings as in section 37150
5111.20 of the Revised Code.37151

       (3) "Noninstitutional medicaid provider" means any person or 37152
entity with a medicaid provider agreement other than a hospital, 37153
nursing facility, or intermediate care facility for the mentally 37154
retarded.37155

       (4) "Owner" means any person having at least five per cent 37156
ownership in a noninstitutional medicaid provider.37157

       (B) Notwithstanding any provision of this chapter to the 37158
contrary, the department of job and family services shall take 37159
action under this section against a noninstitutional medicaid 37160
provider or its owner, officer, authorized agent, associate, 37161
manager, or employee.37162

       (C) Except as provided in division (D) of this section and in 37163
rules adopted by the department under division (H) of this 37164
section, on receiving notice and a copy of an indictment that is 37165
issued on or after the effective date of this section and charges 37166
a noninstitutional medicaid provider or its owner, officer, 37167
authorized agent, associate, manager, or employee with committing 37168
an offense specified in division (E) of this section, the 37169
department shall suspend the provider agreement held by the 37170
noninstitutional medicaid provider. Subject to division (D) of 37171
this section, the department shall also terminate medicaid 37172
reimbursement to the provider for services rendered.37173

       The suspension shall continue in effect until the proceedings 37174
in the criminal case are completed through conviction, dismissal 37175
of the indictment, plea, or finding of not guilty. If the 37176
department commences a process to terminate the suspended provider 37177
agreement, the suspension shall continue in effect until the 37178
termination process is concluded. Pursuant to section 5111.06 of 37179
the Revised Code, the department is not required to take action 37180
under this division by issuing an order pursuant to an 37181
adjudication conducted in accordance with Chapter 119. of the 37182
Revised Code.37183

       When subject to a suspension under this division, a provider, 37184
owner, officer, authorized agent, associate, manager, or employee 37185
shall not own or provide services to any other medicaid provider 37186
or risk contractor or arrange for, render, or order services for 37187
medicaid recipients during the period of suspension. During the 37188
period of suspension, the provider, owner, officer, authorized 37189
agent, associate, manager, or employee shall not receive 37190
reimbursement in the form of direct payments from the department 37191
or indirect payments of medicaid funds in the form of salary, 37192
shared fees, contracts, kickbacks, or rebates from or through any 37193
participating provider or risk contractor.37194

       (D)(1) The department shall not suspend a provider agreement 37195
or terminate medicaid reimbursement under division (C) of this 37196
section if the provider or owner can demonstrate that the provider 37197
or owner did not directly or indirectly sanction the action of its 37198
authorized agent, associate, manager, or employee that resulted in 37199
the indictment.37200

       (2) The termination of medicaid reimbursement applies only to 37201
payments for medicaid services rendered subsequent to the date on 37202
which the notice required under division (F) of this section is 37203
sent. Claims for reimbursement for medicaid services rendered by 37204
the provider prior to the issuance of the notice may be subject to 37205
prepayment review procedures whereby the department reviews claims 37206
to determine whether they are supported by sufficient 37207
documentation, are in compliance with state and federal statutes 37208
and rules, and are otherwise complete.37209

       (E)(1) In the case of a noninstitutional medicaid provider 37210
that is not an independent provider, the suspension of a provider 37211
agreement under division (C) of this section applies when an 37212
indictment charges a person with committing an act that would be a 37213
felony or misdemeanor under the laws of this state and the act 37214
relates to or results from either of the following:37215

       (a) Furnishing or billing for medical care, services, or 37216
supplies under the medicaid program;37217

       (b) Participating in the performance of management or 37218
administrative services relating to furnishing medical care, 37219
services, or supplies under the medicaid program.37220

       (2) In the case of a noninstitutional medicaid provider that 37221
is an independent provider, the suspension of a provider agreement 37222
under division (C) of this section applies when an indictment 37223
charges a person with committing an act that would constitute one 37224
of the offenses specified in division (D) of section 5111.034 of 37225
the Revised Code.37226

       (F) Not later than five days after suspending a provider 37227
agreement under division (C) of this section, the department shall 37228
send notice of the suspension to the affected provider or owner. 37229
In providing the notice, the department shall do all of the 37230
following:37231

       (1) Describe the indictment that was the cause of the 37232
suspension, without necessarily disclosing specific information 37233
concerning any ongoing civil or criminal investigation;37234

       (2) State that the suspension will continue in effect until 37235
the proceedings in the criminal case are completed through 37236
conviction, dismissal of the indictment, plea, or finding of not 37237
guilty and, if the department commences a process to terminate the 37238
suspended provider agreement, until the termination process is 37239
concluded;37240

       (3) Inform the provider or owner of the opportunity to submit 37241
to the department, not later than thirty days after receiving the 37242
notice, a request for a reconsideration pursuant to division (G) 37243
of this section. 37244

       (G)(1) A noninstitutional medicaid provider or owner subject 37245
to a suspension under this section may request a reconsideration. 37246
The request shall be made not later than thirty days after receipt 37247
of the notice provided under division (F) of this section. The 37248
reconsideration is not subject to an adjudication hearing pursuant 37249
to Chapter 119. of the Revised Code.37250

       (2) In requesting a reconsideration, the provider or owner 37251
shall submit written information and documents to the department. 37252
The information and documents may pertain to any of the following 37253
issues:37254

       (a) Whether the determination to suspend the provider 37255
agreement was based on a mistake of fact, other than the validity 37256
of the indictment;37257

       (b) Whether any offense charged in the indictment resulted 37258
from an offense specified in division (E) of this section;37259

       (c) Whether the provider or owner can demonstrate that the 37260
provider or owner did not directly or indirectly sanction the 37261
action of its authorized agent, associate, manager, or employee 37262
that resulted in the indictment.37263

       (3) The department shall review the information and documents 37264
submitted in a request for reconsideration. After the review, the 37265
suspension may be affirmed, reversed, or modified, in whole or in 37266
part. The department shall notify the affected provider or owner 37267
of the results of the review. The review and notification of its 37268
results shall be completed not later than forty-five days after 37269
receiving the information and documents submitted in a request for 37270
reconsideration.37271

       (H) The department may adopt rules in accordance with Chapter 37272
119. of the Revised Code to implement this section. The rules may 37273
specify circumstances under which the department would not suspend 37274
a provider agreement pursuant to this section.37275

       Sec. 5111.032. (A) As used in this section:37276

       (1) "Criminal records check" has the same meaning as in 37277
section 109.572 of the Revised Code.37278

       (2) "Department" includes a designee of the department of job 37279
and family services.37280

       (3) "Owner" means a person who has an ownership interest in a 37281
provider in an amount designated by the department of job and 37282
family services in rules adopted under this section.37283

       (4) "Provider" means a person, institution, or entity that 37284
has a provider agreement with the department of job and family 37285
services pursuant to Title XIX of the "Social Security Act," 49 37286
State. 620 (1965), 42 U.S.C. 1396, as amended.37287

       (B)(1) Except as provided in division (B)(2) of this section, 37288
the department of job and family services may require that any 37289
provider, applicant to be a provider, employee or prospective 37290
employee of a provider, owner or prospective owner of a provider, 37291
officer or prospective officer of a provider, or board member or 37292
prospective board member of a provider submit to a criminal 37293
records check as a condition of obtaining a provider agreement, 37294
continuing to hold a provider agreement, being employed by a 37295
provider, having an ownership interest in a provider, or being an 37296
officer or board member of a provider. The department may 37297
designate the categories of persons who are subject to the 37298
criminal records check requirement. The department shall designate 37299
the times at which the criminal records checks must be conducted.37300

       (2) The section does not apply to providers, applicants to be 37301
providers, employees of a provider, or prospective employees of a 37302
provider who are subject to criminal records checks under section 37303
5111.033 or 5111.034 of the Revised Code.37304

       (C)(1) The department shall inform each provider or applicant 37305
to be a provider whether the provider or applicant is subject to a 37306
criminal records check requirement under division (B) of this 37307
section. For providers, the information shall be given at times 37308
designated in rules adopted under this section. For applicants to 37309
be providers, the information shall be given at the time of 37310
initial application. When the information is given, the department 37311
shall specify which of the provider's or applicant's employees or 37312
prospective employees, owners or prospective owners, officers or 37313
prospective officers, or board members or prospective board 37314
members are subject to the criminal records check requirement.37315

       (2) At times designated in rules adopted under this section, 37316
a provider that is subject to the criminal records check 37317
requirement shall inform each person specified by the department 37318
under division (C)(1) of this section that the person is required, 37319
as applicable, to submit to a criminal records check for final 37320
consideration for employment in a full-time, part-time, or 37321
temporary position; as a condition of continued employment; or as 37322
a condition of becoming or continuing to be an officer, board 37323
member or owner of a provider.37324

       (D)(1) If a provider or applicant to be a provider is subject 37325
to a criminal records check under this section, the department 37326
shall require the conduct of a criminal records check by the 37327
superintendent of the bureau of criminal identification and 37328
investigation. If a provider or applicant to be a provider for 37329
whom a criminal records check is required does not present proof 37330
of having been a resident of this state for the five-year period 37331
immediately prior to the date the criminal records check is 37332
requested or provide evidence that within that five-year period 37333
the superintendent has requested information about the individual 37334
from the federal bureau of investigation in a criminal records 37335
check, the department shall require the provider or applicant to 37336
request that the superintendent obtain information from the 37337
federal bureau of investigation as part of the criminal records 37338
check of the provider or applicant. Even if a provider or 37339
applicant for whom a criminal records check request is required 37340
presents proof of having been a resident of this state for the 37341
five-year period, the department may require that the provider or 37342
applicant request that the superintendent obtain information from 37343
the federal bureau of investigation and include it in the criminal 37344
records check of the provider or applicant.37345

       (2) A provider shall require the conduct of a criminal 37346
records check by the superintendent with respect to each of the 37347
persons specified by the department under division (C)(1) of this 37348
section. If the person for whom a criminal records check is 37349
required does not present proof of having been a resident of this 37350
state for the five-year period immediately prior to the date the 37351
criminal records check is requested or provide evidence that 37352
within that five-year period the superintendent of the bureau of 37353
criminal identification and investigation has requested 37354
information about the individual from the federal bureau of 37355
investigation in a criminal records check, the individual shall 37356
request that the superintendent obtain information from the 37357
federal bureau of investigation as part of the criminal records 37358
check of the individual. Even if an individual for whom a criminal 37359
records check request is required presents proof of having been a 37360
resident of this state for the five-year period, the department 37361
may require the provider to request that the superintendent obtain 37362
information from the federal bureau of investigation and include 37363
it in the criminal records check of the person.37364

       (E)(1) Criminal records checks required under this section 37365
for providers or applicants to be providers shall be obtained as 37366
follows:37367

       (a) The department shall provide each provider or applicant 37368
information about accessing and completing the form prescribed 37369
pursuant to division (C)(1) of section 109.572 of the Revised Code 37370
and the standard fingerprint impression sheet prescribed pursuant 37371
to division (C)(2) of that section.37372

       (b) The provider or applicant shall submit the required form 37373
and one complete set of fingerprint impressions directly to the 37374
superintendent for purposes of conducting the criminal records 37375
check using the applicable methods prescribed by division (C) of 37376
section 109.572 of the Revised Code. The applicant or provider 37377
shall pay all fees associated with obtaining the criminal records 37378
check.37379

       (c) The superintendent shall conduct the criminal records 37380
check in accordance with section 109.572 of the Revised Code. The 37381
provider or applicant shall instruct the superintendent to submit 37382
the report of the criminal records check directly to the director 37383
of job and family services.37384

       (2) Criminal records checks required under this section for 37385
persons specified by the department under division (C)(1) of this 37386
section shall be obtained as follows:37387

       (a) The provider shall give to each person subject to 37388
criminal records check requirement information about accessing and 37389
completing the form prescribed pursuant to division (C)(1) of 37390
section 109.572 of the Revised Code and the standard fingerprint 37391
impression sheet prescribed pursuant to division (C)(2) of that 37392
section.37393

       (b) The person shall submit the required form and one 37394
complete set of fingerprint impressions directly to the 37395
superintendent for purposes of conducting the criminal records 37396
check using the applicable methods prescribed by division (C) of 37397
section 109.572 of the Revised Code. The person shall pay all fees 37398
associated with obtaining the criminal records check.37399

       (c) The superintendent shall conduct the criminal records 37400
check in accordance with section 109.572 of the Revised Code. The 37401
person subject to the criminal records check shall instruct the 37402
superintendent to submit the report of the criminal records check 37403
directly to the provider. The department may require the provider 37404
to submit the report to the department.37405

       (F) If a provider or applicant to be a provider is given the 37406
information specified in division (E)(1)(a) of this section but 37407
fails to obtain a criminal records check, the department shall, as 37408
applicable, terminate the provider agreement or deny the 37409
application to be a provider.37410

       If a person is given the information specified in division 37411
(E)(2)(a) of this section but fails to obtain a criminal records 37412
check, the provider shall not, as applicable, permit the person to 37413
be an employee, owner, officer, or board member of the provider.37414

       (G) Except as provided in rules adopted under division (J) of 37415
this section, the department shall terminate the provider 37416
agreement of a provider or the department shall not issue a 37417
provider agreement to an applicant if the provider or applicant is 37418
subject to a criminal records check under this section and the 37419
provider or applicant has been convicted of, has pleaded guilty 37420
to, or has been found eligible for intervention in lieu of 37421
conviction for any of the following:37422

       (1) A violation of section 2903.01, 2903.02, 2903.03, 37423
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 37424
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 37425
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 37426
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 37427
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 37428
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 37429
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11, 37430
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02, 37431
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 37432
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 37433
3716.11 of the Revised Code, felonious sexual penetration in 37434
violation of former section 2907.12 of the Revised Code, a 37435
violation of section 2905.04 of the Revised Code as it existed 37436
prior to July 1, 1996, a violation of section 2919.23 of the 37437
Revised Code that would have been a violation of section 2905.04 37438
of the Revised Code as it existed prior to July 1, 1996, had the 37439
violation been committed prior to that date;37440

       (2) An existing or former law of this state, any other state, 37441
or the United States that is substantially equivalent to any of 37442
the offenses listed in division (D)(1) of this section.37443

       (H)(1)(a) Except as provided in rules adopted under division 37444
(J) of this section and subject to division (H)(2) of this 37445
section, no provider shall permit a person to be an employee, 37446
owner, officer, or board member of the provider if the person is 37447
subject to a criminal records check under this section and the 37448
person has been convicted of, has pleaded guilty to, or has been 37449
found eligible for intervention in lieu of conviction for any of 37450
the offenses specified in division (G)(1) or (2) of this section.37451

       (b) No provider shall employ a person who has been excluded 37452
from participating in the medicaid program, the medicare program 37453
operated pursuant to Title XVIII of the "Social Security Act," or 37454
any other federal health care program.37455

       (2)(a) A provider may employ conditionally a person for whom 37456
a criminal records check is required under this section prior to 37457
obtaining the results of a criminal records check regarding the 37458
person, but only if the person submits a request for a criminal 37459
records check not later than five business days after the 37460
individual begins conditional employment.37461

       (b) A provider that employs a person conditionally under 37462
authority of division (H)(2)(a) of this section shall terminate 37463
the person's employment if the results of the criminal records 37464
check request are not obtained within the period ending sixty days 37465
after the date the request is made. Regardless of when the results 37466
of the criminal records check are obtained, if the results 37467
indicate that the individual has been convicted of, has pleaded 37468
guilty to, or has been found eligible for intervention in lieu of 37469
conviction for any of the offenses specified in division (G)(1) or 37470
(2) of this section, the provider shall terminate the person's 37471
employment unless the provider chooses to employ the individual 37472
pursuant to division (J) of this section.37473

       (I) The report of a criminal records check conducted pursuant 37474
to this section is not a public record for the purposes of section 37475
149.43 of the Revised Code and shall not be made available to any 37476
person other than the following:37477

       (1) The person who is the subject of the criminal records 37478
check or the person's representative;37479

       (2) The director of job and family services and the staff of 37480
the department in the administration of the medicaid program;37481

       (3) A court, hearing officer, or other necessary individual 37482
involved in a case dealing with the denial or termination of a 37483
provider agreement;37484

       (4) A court, hearing officer, or other necessary individual 37485
involved in a case dealing with a person's denial of employment, 37486
termination of employment, or employment or unemployment benefits.37487

       (J) The department may adopt rules in accordance with Chapter 37488
119. of the Revised Code to implement this section. The rules may 37489
specify circumstances under which the department may continue a 37490
provider agreement or issue a provider agreement to an applicant 37491
when the provider or applicant has been convicted of, has pleaded 37492
guilty to, or has been found eligible for intervention in lieu of 37493
conviction for any of the offenses specified in division (G)(1) or 37494
(2) of this section. The rules may also specify circumstances 37495
under which a provider may permit a person to be an employee, 37496
owner, officer, or board member of the provider, when the person 37497
has been convicted of, has pleaded guilty to, or has been found 37498
eligible for intervention in lieu of conviction for any of the 37499
offenses specified in division (G)(1) or (2) of this section.37500

       Sec. 5111.95.        Sec. 5111.033.  (A) As used in this section:37501

       (1) "Applicant" means a person who is under final 37502
consideration for employment or, after the effective date of this 37503
sectionSeptember 26, 2003, an existing employee with a waiver 37504
agency in a full-time, part-time, or temporary position that 37505
involves providing home and community-based waiver services to a 37506
person with disabilities. "Applicant" also means an existing 37507
employee with a waiver agency in a full-time, part-time, or 37508
temporary position that involves providing home and 37509
community-based waiver services to a person with disabilities 37510
after the effective date of this sectionSeptember 26, 2003.37511

       (2) "Criminal records check" has the same meaning as in 37512
section 109.572 of the Revised Code.37513

       (3) "Waiver agency" means a person or government entity that 37514
is not certified under the medicare program and is accredited by 37515
the community health accreditation program or the joint commission 37516
on accreditation of health care organizations or a company that 37517
provides home and community-based waiver services to persons with 37518
disabilities through department of job and family services 37519
administered home and community-based waiver programs.37520

       (4) "Home and community-based waiver services" means services 37521
furnished under the provision of 42 C.F.R. 441, subpart G, that 37522
permit individuals to live in a home setting rather than a nursing 37523
facility or hospital. Home and community-based waiver services are 37524
approved by the centers for medicare and medicaid for specific 37525
populations and are not otherwise available under the medicaid 37526
state plan.37527

       (B)(1) The chief administrator of a waiver agency shall 37528
require each applicant to request that the superintendent of the 37529
bureau of criminal identification and investigation conduct a 37530
criminal records check with respect to eachthe applicant. If an 37531
applicant for whom a criminal records check request is required 37532
under this division does not present proof of having been a 37533
resident of this state for the five-year period immediately prior 37534
to the date the criminal records check is requested or provide 37535
evidence that within that five-year period the superintendent has 37536
requested information about the applicant from the federal bureau 37537
of investigation in a criminal records check, the chief 37538
administrator shall require the applicant to request that the 37539
superintendent obtain information from the federal bureau of 37540
investigation as part of the criminal records check of the 37541
applicant. Even if an applicant for whom a criminal records check 37542
request is required under this division presents proof of having 37543
been a resident of this state for the five-year period, the chief 37544
administrator may require the applicant to request that the 37545
superintendent include information from the federal bureau of 37546
investigation in the criminal records check.37547

       (2) A person required by division (B)(1) of this section to 37548
request a criminal records checkThe chief administrator shall do 37549
both ofprovide the following:37550

       (a) Provide to each applicant for whom a criminal records 37551
check request is required under division (B)(1) of this section a 37552
copy of:37553

       (a) Information about accessing, completing, and forwarding 37554
to the superintendent of the bureau of criminal identification and 37555
investigation the form prescribed pursuant to division (C)(1) of 37556
section 109.572 of the Revised Code and athe standard fingerprint 37557
impression sheet prescribed pursuant to division (C)(2) of that 37558
section, and obtain the completed form and impression sheet from 37559
the applicant;37560

       (b) Forward the completed form and impression sheet to the 37561
superintendent of the bureau of criminal identification and 37562
investigationWritten notification that the applicant is to 37563
instruct the superintendent to submit the completed report of the 37564
criminal records check directly to the chief administrator.37565

       (3) An applicant provided the form and fingerprint impression 37566
sheet under division (B)(2)(a) of this section who fails to 37567
complete the form or provide fingerprint impressionsgiven 37568
information and notification under divisions (B)(2)(a) and (b) of 37569
this section who fails to access, complete, and forward to the 37570
superintendent the form or the standard fingerprint impression 37571
sheet, or who fails to instruct the superintendent to submit the 37572
completed report of the criminal records check directly to the 37573
chief administrator, shall not be employed in any position in a 37574
waiver agency for which a criminal records check is required by 37575
this section.37576

       (C)(1) Except as provided in rules adopted by the department 37577
of job and family services in accordance with division (F) of this 37578
section and subject to division (C)(2) of this section, no waiver 37579
agency shall employ a person in a position that involves providing 37580
home and community-based waiver services to persons with 37581
disabilities if the person has been convicted of or, has pleaded 37582
guilty to, or has been found eligible for intervention in lieu of 37583
conviction for any of the following:37584

       (a) A violation of section 2903.01, 2903.02, 2903.03, 37585
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 37586
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 37587
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 37588
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 37589
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 37590
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 37591
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,37592
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,37593
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 37594
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 37595
3716.11 of the Revised Code, felonious sexual penetration in 37596
violation of former section 2907.12 of the Revised Code, a 37597
violation of section 2905.04 of the Revised Code as it existed 37598
prior to July 1, 1996, a violation of section 2919.23 of the 37599
Revised Code that would have been a violation of section 2905.04 37600
of the Revised Code as it existed prior to July 1, 1996, had the 37601
violation been committed prior to that date;37602

       (b) An existing or former law of this state, any other state, 37603
or the United States that is substantially equivalent to any of 37604
the offenses listed in division (C)(1)(a) of this section.37605

       (2)(a) A waiver agency may employ conditionally an applicant 37606
for whom a criminal records check request is required under 37607
division (B) of this section prior to obtaining the results of a 37608
criminal records check regarding the individual, provided that the 37609
agency shall require the individual to request a criminal records 37610
check regarding the individual in accordance with division (B)(1) 37611
of this section not later than five business days after the 37612
individual begins conditional employment.37613

       (b) A waiver agency that employs an individual conditionally 37614
under authority of division (C)(2)(a) of this section shall 37615
terminate the individual's employment if the results of the 37616
criminal records check request under division (B) of this section, 37617
other than the results of any request for information from the 37618
federal bureau of investigation, are not obtained within the 37619
period ending sixty days after the date the request is made. 37620
Regardless of when the results of the criminal records check are 37621
obtained, if the results indicate that the individual has been 37622
convicted of or, has pleaded guilty to, or has been found eligible 37623
for intervention in lieu of conviction for any of the offenses 37624
listed or described in division (C)(1) of this section, the agency 37625
shall terminate the individual's employment unless the agency 37626
chooses to employ the individual pursuant to division (F) of this 37627
section.37628

       (D)(1) Each waiver agency shall pay to the bureau of criminal 37629
identification and investigation theThe fee prescribed pursuant 37630
to division (C)(3) of section 109.572 of the Revised Code for each 37631
criminal records check conducted pursuant to a request made under 37632
division (B) of this section shall be paid to the bureau of 37633
criminal identification and investigation by the applicant or the 37634
waiver agency.37635

       (2) AIf a waiver agency pays the fee, it may charge anthe37636
applicant a fee not exceeding the amount the agency pays under 37637
division (D)(1) of this section. An agency may collect a fee only 37638
if the agency notifies the person at the time of initial 37639
application for employment of the amount of the fee and that, 37640
unless the fee is paid, the person will not be considered for 37641
employment.37642

       (E) The report of any criminal records check conducted 37643
pursuant to a request made under this section is not a public 37644
record for the purposes of section 149.43 of the Revised Code and 37645
shall not be made available to any person other than the 37646
following:37647

       (1) The individual who is the subject of the criminal records 37648
check or the individual's representative;37649

       (2) The chief administrator of the agency requesting the 37650
criminal records check or the administrator's representative;37651

       (3) An administrator at the department;37652

       (4) A court, hearing officer, or other necessary individual 37653
involved in a case dealing with a denial of employment of the 37654
applicant or dealing with employment or unemployment benefits of 37655
the applicant.37656

       (F) The department shall adopt rules in accordance with 37657
Chapter 119. of the Revised Code to implement this section. The 37658
rules shall specify circumstances under which a waiver agency may 37659
employ a person who has been convicted of or, has pleaded guilty 37660
to, or has been found eligible for intervention in lieu of 37661
conviction for an offense listed or described in division (C)(1) 37662
of this section but meets personal character standards set by the 37663
department.37664

       (G) The chief administrator of a waiver agency shall inform 37665
each person, at the time of initial application for a position 37666
that involves providing home and community-based waiver services 37667
to a person with a disability, that the person is required to 37668
provide a set of fingerprint impressions and that a criminal 37669
records check is required to be conducted if the person comes 37670
under final consideration for employment.37671

       (H)(1) A person who, on the effective date of this section37672
September 26, 2003, is an employee of a waiver agency in a 37673
full-time, part-time, or temporary position that involves 37674
providing home and community-based waiver services to a person 37675
with disabilities shall comply with this section within sixty days 37676
after the effective date of this sectionSeptember 26, 2003,37677
unless division (H)(2) of this section applies.37678

       (2) This section shall not apply to a person to whom all of 37679
the following apply:37680

       (a) On the effective date of this sectionSeptember 26, 2003, 37681
the person is an employee of a waiver agency in a full-time, 37682
part-time, or temporary position that involves providing home and 37683
community-based waiver services to a person with disabilities.37684

       (b) The person previously had been the subject of a criminal 37685
background check relating to that position; 37686

       (c) The person has been continuously employed in that 37687
position since that criminal background check had been conducted.37688

       Sec. 5111.96.        Sec. 5111.034.  (A) As used in this section:37689

       (1) "Anniversary date" means the later of the effective date 37690
of the provider agreement relating to the independent provider or 37691
sixty days after the effective date of this sectionSeptember 26, 37692
2003.37693

       (2) "Criminal records check" has the same meaning as in 37694
section 109.572 of the Revised Code.37695

       (3) "The departmentDepartment" meansincludes a designee of37696
the department of job and family services or its designee.37697

       (4) "Independent provider" means a person who is submitting 37698
an application for a provider agreement or who has a provider 37699
agreement as an independent provider in a department of job and 37700
family services administered home and community-based services 37701
program providing home and community-based waiver services to 37702
consumers with disabilities.37703

       (5) "Home and community-based waiver services" has the same 37704
meaning as in section 5111.955111.033 of the Revised Code.37705

       (B)(1) The department of job and family services shall inform 37706
each independent provider, at the time of initial application for 37707
a provider agreement that involves providing home and 37708
community-based waiver services to consumers with disabilities, 37709
that the independent provider is required to provide a set of 37710
fingerprint impressions and that a criminal records check is 37711
required to be conducted if the person is to become an independent 37712
provider in a department administered home and community-based 37713
waiver program.37714

       (2) Beginning on the effective date of this sectionSeptember 37715
26, 2003, the department shall inform each enrolled medicaid 37716
independent provider on or before time of the anniversary date of 37717
the provider agreement that involves providing home and 37718
community-based waiver services to consumers with disabilities 37719
that the independent provider is required to provide a set of 37720
fingerprint impressions and that a criminal records check is 37721
required to be conducted.37722

       (C)(1) The department shall require the independent provider 37723
to complete a criminal records check prior to entering into a 37724
provider agreement with the independent provider and at least 37725
annually thereafter. If an independent provider for whom a 37726
criminal records check is required under this division does not 37727
present proof of having been a resident of this state for the 37728
five-year period immediately prior to the date the criminal 37729
records check is requested or provide evidence that within that 37730
five-year period the superintendent of the bureau of criminal 37731
identification and investigation has requested information about 37732
the applicantindependent provider from the federal bureau of 37733
investigation in a criminal records check, the department shall 37734
request that the independent provider obtain through the 37735
superintendent a criminal records request from the federal bureau 37736
of investigation as part of the criminal records check of the 37737
independent provider. Even if an independent provider for whom a 37738
criminal records check request is required under this division 37739
presents proof of having been a resident of this state for the 37740
five-year period, the department may request that the independent 37741
provider obtain information through the superintendent from the 37742
federal bureau of investigation in the criminal records check.37743

       (2) The department shall do both ofprovide the following:37744

       (a) Provide information to each independent provider for whom 37745
a criminal records check request is required under division (C)(1) 37746
of this section about requesting a copy of:37747

       (a) Information about accessing, completing, and forwarding 37748
to the superintendent of the bureau of criminal identification and 37749
investigation the form prescribed pursuant to division (C)(1) of 37750
section 109.572 of the Revised Code and athe standard fingerprint 37751
impression sheet prescribed pursuant to division (C)(2) of that 37752
section, and obtain the completed form and impression sheet and 37753
fee from the independent provider;37754

       (b) Forward the completed form, impression sheet, and fee to 37755
the superintendent of the bureau of criminal identification and 37756
investigationWritten notification that the independent provider 37757
is to instruct the superintendent to submit the completed report 37758
of the criminal records check directly to the department.37759

       (3) An independent provider given information about obtaining 37760
the form and fingerprint impression sheet under division (C)(2)(a) 37761
of this section who fails to complete the form or provide 37762
fingerprint impressionsand notification under divisions (C)(2)(a) 37763
and (b) of this section who fails to access, complete, and forward 37764
to the superintendent the form or the standard fingerprint 37765
impression sheet, or who fails to instruct the superintendent to 37766
submit the completed report of the criminal records check directly 37767
to the department, shall not be approved as an independent 37768
provider.37769

       (D) Except as provided in rules adopted by the department in 37770
accordance with division (G) of this section, the department shall 37771
not issue a new provider agreement to, and shall terminate an 37772
existing provider agreement of, an independent provider if the 37773
person has been convicted of or, has pleaded guilty to, or has 37774
been found eligible for intervention in lieu of conviction for any 37775
of the following:37776

       (1) A violation of section 2903.01, 2903.02, 2903.03, 37777
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 37778
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 37779
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 37780
2907.21, 2907.22, 2907.23, 2907.24, 2907.25, 2907.31, 2907.32, 37781
2907.321, 2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 37782
2911.13, 2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 37783
2913.40, 2913.43, 2913.47, 2913.48, 2913.49, 2913.51, 2917.11,37784
2919.12, 2919.22, 2919.24, 2919.25, 2921.13, 2921.36, 2923.02,37785
2923.12, 2923.13, 2923.161, 2923.32, 2925.02, 2925.03, 2925.04, 37786
2925.05, 2925.06, 2925.11, 2925.13, 2925.14, 2925.22, 2925.23, or 37787
3716.11 of the Revised Code, felonious sexual penetration in 37788
violation of former section 2907.12 of the Revised Code, a 37789
violation of section 2905.04 of the Revised Code as it existed 37790
prior to July 1, 1996, a violation of section 2919.23 of the 37791
Revised Code that would have been a violation of section 2905.04 37792
of the Revised Code as it existed prior to July 1, 1996, had the 37793
violation been committed prior to that date;37794

       (2) An existing or former law of this state, any other state, 37795
or the United States that is substantially equivalent to any of 37796
the offenses listed in division (D)(1) of this section.37797

       (E) Each independent provider shall pay to the bureau of 37798
criminal identification and investigation the fee prescribed 37799
pursuant to division (C)(3) of section 109.572 of the Revised Code 37800
for each criminal records check conducted pursuant to a request 37801
made under division (C) of this section.37802

       (F) The report of any criminal records check conducted by the 37803
bureau of criminal identification and investigation in accordance 37804
with section 109.572 of the Revised Code and pursuant to a request 37805
made under division (C) of this section is not a public record for 37806
the purposes of section 149.43 of the Revised Code and shall not 37807
be made available to any person other than the following:37808

       (1) The person who is the subject of the criminal records 37809
check or the person's representative;37810

       (2) TheAn administrator at the department who is requesting 37811
the criminal records check or the administrator's representative;37812

       (3) AnyA court, hearing officer, or other necessary 37813
individual involved in a case dealing with a denial or termination 37814
of a provider agreement related to the criminal records check.37815

       (G) The department shall adopt rules in accordance with 37816
Chapter 119. of the Revised Code to implement this section. The 37817
rules shall specify circumstances under which the department may 37818
either issue a provider agreement to an independent provider who37819
or allow an independent provider to maintain an existing provider 37820
agreement when the independent provider has been convicted of or, 37821
has pleaded guilty to, or has been found eligible for intervention 37822
in lieu of conviction for an offense listed or described in 37823
division (C)(1) of this section but meets personal character 37824
standards set by the department.37825

       Sec. 5111.06.  (A)(1) As used in this section and in sections 37826
5111.061 and 5111.062 of the Revised Code:37827

       (a) "Provider" means any person, institution, or entity that37828
furnishes medicaid services under a provider agreement with the37829
department of job and family services pursuant to Title XIX of the37830
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as37831
amended.37832

       (b) "Party" has the same meaning as in division (G) of37833
section 119.01 of the Revised Code.37834

       (c) "Adjudication" has the same meaning as in division (D) of 37835
section 119.01 of the Revised Code.37836

       (2) This section does not apply to any action taken by the37837
department of job and family services under sections 5111.35 to37838
5111.62 of the Revised Code.37839

       (B) Except as provided in division (D) of this section and 37840
section 5111.914 of the Revised Code, the department shall do 37841
either of the following by issuing an order pursuant to an 37842
adjudication conducted in accordance with Chapter 119. of the 37843
Revised Code:37844

       (1) Enter into or refuse to enter into a provider agreement37845
with a provider, or suspend, terminate, renew, or refuse to renew37846
an existing provider agreement with a provider;37847

       (2) Take any action based upon a final fiscal audit of a37848
provider.37849

       (C) Any party who is adversely affected by the issuance of an 37850
adjudication order under division (B) of this section may appeal 37851
to the court of common pleas of Franklin county in accordance with 37852
section 119.12 of the Revised Code.37853

       (D) The department is not required to comply with division37854
(B)(1) of this section whenever any of the following occur:37855

       (1) The terms of a provider agreement require the provider to 37856
havehold a license, permit, or certificate or maintain a 37857
certification issued by an official, board, commission, 37858
department, division, bureau, or other agency of state or federal37859
government other than the department of job and family services,37860
and the license, permit, or certificate, or certification has been 37861
denied or, revoked, not renewed, suspended, or otherwise limited.37862

       (2) The terms of a provider agreement require the provider to 37863
hold a license, permit, or certificate or maintain certification 37864
issued by an official, board, commission, department, division, 37865
bureau, or other agency of state or federal government other than 37866
the department of job and family services, and the provider has 37867
not obtained the license, permit, certificate, or certification.37868

       (3) The provider agreement is denied, terminated, or not 37869
renewed due to the termination, refusal to renew, or denial of a 37870
license, permit, certificate, or certification by an official, 37871
board, commission, department, division, bureau, or other agency 37872
of this state other than the department of job and family 37873
services, notwithstanding the fact that the provider may hold a 37874
license, permit, certificate, or certification from an official, 37875
board, commission, department, division, bureau, or other agency 37876
of another state.37877

       (2)(4) The provider agreement is denied, terminated, or not37878
renewed pursuant to division (C) or (E)(F) of section 5111.03 of 37879
the Revised Code;37880

       (3)(5) The provider agreement is denied, terminated, or not37881
renewed due to the provider's termination, suspension, or37882
exclusion from the medicare program established under Title XVIII37883
of the "Social Security Act," and the termination, suspension, or37884
exclusion is binding on the provider's participation in the37885
medicaid program;37886

       (4)(6) The provider agreement is denied, terminated, or not37887
renewed due to the provider's pleading guilty to or being37888
convicted of a criminal activity materially related to either the37889
medicare or medicaid program;37890

       (5)(7) The provider agreement is denied, terminated, or37891
suspended as a result of action by the United States department of37892
health and human services and that action is binding on the37893
provider's participation in the medicaid program;37894

       (6)(8) The provider agreement is suspended pursuant to 37895
section 5111.031 of the Revised Code pending indictment of the 37896
provider.37897

       (9) The provider agreement is denied, terminated, or not 37898
renewed because the provider has been convicted of one of the 37899
offenses that caused the provider agreement to be suspended 37900
pursuant to section 5111.031 of the Revised Code.37901

       (10) The provider agreement is terminated or an application 37902
for re-enrollment is denied because the provider has failed to 37903
apply for re-enrollment within the time or in the manner specified 37904
for re-enrollment pursuant to section 5111.028 of the Revised 37905
Code.37906

       (11) The provider agreement is terminated or not renewed 37907
because the provider has not billed or otherwise submitted a 37908
medicaid claim to the department for two years or longer, and the 37909
department has determined that the provider has moved from the 37910
address on record with the department without leaving an active 37911
forwarding address with the department.37912

       In the case of a provider described in division (D)(6)(11) of 37913
this section, the department may terminate or not renew the 37914
provider agreement by sending a notice explaining the department's 37915
proposed action to the address on record with the department. The 37916
notice may be sent by regular mail.37917

       (E) The department may withhold payments for services37918
rendered by a medicaid provider under the medical assistance37919
program during the pendency of proceedings initiated under37920
division (B)(1) of this section. If the proceedings are initiated37921
under division (B)(2) of this section, the department may withhold37922
payments only to the extent that they equal amounts determined in37923
a final fiscal audit as being due the state. This division does37924
not apply if the department fails to comply with section 119.07 of37925
the Revised Code, requests a continuance of the hearing, or does37926
not issue a decision within thirty days after the hearing is37927
completed. This division does not apply to nursing facilities and37928
intermediate care facilities for the mentally retarded as defined 37929
in section 5111.20 of the Revised Code.37930

       Sec. 5111.084.  There is hereby established the pharmacy and37931
therapeutics committee of the department of job and family37932
services. The committee shall consist of nine members and shall be 37933
appointed by the director of job and family services. The37934
membership of the committee shall include: three pharmacists37935
licensed under Chapter 4729. of the Revised Code; two doctors of37936
medicine and two doctors of osteopathy licensed under Chapter37937
4731. of the Revised Code; a registered nurse licensed under37938
Chapter 4723. of the Revised Code; and a pharmacologist who has a37939
doctoral degree. At least one of the members who is a doctor of 37940
medicine or doctor of osteopathy shall be a psychiatrist. The 37941
committee shall elect one of its members as chairperson.37942

       Sec. 5111.10.  The director of job and family services may 37943
conduct reviews of the medicaid program. The reviews may include 37944
physical inspections of records and sites where medicaid-funded 37945
services are provided and interviews of providers and recipients 37946
of the services. If the director determines pursuant to a review 37947
that a person or government entity has violated a rule governing 37948
the medicaid program, the director may establish a corrective 37949
action plan for the violator and impose fiscal, administrative, or 37950
both types of sanctions on the violator in accordance with rules 37951
governing the medicaid program. Such action to be taken against a 37952
responsible entity, as defined in section 5101.24 of the Revised 37953
Code, shall be taken in accordance with that section.37954

       Sec. 5111.101. (A) As used in this section, "federal;37955

        "Agent" and "contractor" include any agent, contractor, 37956
subcontractor, or other person who, on behalf of an entity, 37957
furnishes or authorizes the furnishing of health care items or 37958
services under the medicaid program, performs billing or coding 37959
functions, or is involved in monitoring of health care that an 37960
entity provides.37961

       "Employee" includes any officer or employee (including 37962
management employees) of an entity.37963

       "Entity" includes a governmental entity or an organization, 37964
unit, corporation, partnership, or other business arrangement, 37965
including any medicaid managed care organization, irrespective of 37966
the form of business structure or arrangement by which it exists, 37967
whether for-profit or not-for-profit. "Entity" does not include a 37968
government entity that administers one or more components of the 37969
medicaid program, unless the government entity receives medicaid 37970
payments for providing items or services.37971

       "Federal health care programs" has the same meaning as in 42 37972
U.S.C. 1320a-7b(f).37973

       (B) Each person and government entity that receives or makes 37974
medicaidin a federal fiscal year payments in a calendar year that 37975
totalunder the medicaid program, either through the state 37976
medicaid plan or a federal medicaid waiver, totaling at least five 37977
million dollars or more shall, as a condition of receiving such 37978
payments, do all of the following not later than the first day of 37979
the succeeding calendar year:37980

       (1) Provide each of the person or government entity's37981
Establish written policies for all of the entity's employees 37982
(including management employees), contractors, and agents,that 37983
provide detailed, written information about the role of all of the 37984
following in preventing and detecting fraud, waste, and abuse in 37985
federal health care programs:37986

       (a) Federal false claims law under 31 U.S.C. 3729 to 3733;37987

       (b) Federal administrative remedies for false claims and 37988
statements available under 31 U.S.C. 3801 to 3812;37989

       (c) Sections 124.341, 2913.40, 2913.401, and 2921.13 of the 37990
Revised Code and any other state laws pertaining to civil or 37991
criminal penalties for false claims and statements;37992

       (d) Whistleblower protections under the laws specified in 37993
divisions (B)(1)(a) to (c) of this section.37994

       (2) Include inas part of the written information provided 37995
underpolicies required by division (B)(1) of this section 37996
detailed information aboutprovisions regarding the person or 37997
government entity's policies and procedures for preventing and 37998
detecting fraud, waste, and abuse.37999

       (3) IncludeDisseminate the written policies required by 38000
division (B)(1) of this section to each of the entity's employees, 38001
contractors, and agents in a paper or electronic form and make the 38002
written policies readily available to the entity's employees, 38003
contractors, and agents.38004

       (4) If the entity has an employee handbook, include in the 38005
person or government entity's employee handbook a specific 38006
discussion of the laws specified in division (B)(1) of this 38007
section, the rights of employees to be protected as 38008
whistleblowers, and the person or government entity's policies and 38009
procedures for preventing and detecting fraud, waste, and abuse.38010

       (5) Require the entity's contractors and agents to adopt the 38011
entity's written policies required by division (B)(1) of this 38012
section.38013

       (C) An entity that furnishes items or services at multiple 38014
locations or under multiple contractual or other payment 38015
arrangements is required to comply with division (B) of this 38016
section if the entity receives in a federal fiscal year medicaid 38017
payments totaling in the aggregate at least five million dollars. 38018
This applies regardless of whether the entity submits claims for 38019
medicaid payments using multiple provider identification or tax 38020
identification numbers.38021

       Sec. 5111.102. As used in this section, "state agency" has 38022
the same meaning as in section 9.23 of the Revised Code.38023

       No provision of Title LI of the Revised Code or any other law 38024
of this state that incorporates any provision of federal Medicaid 38025
law, Title XIX of the Social Security Act, 79 Stat. 286 (1965), 42 38026
U.S.C. 1396, or that may be construed as requiring the state, a 38027
state agency, or any state official or employee to comply with 38028
that federal provision, shall be construed as creating a cause of 38029
action to enforce such state law beyond the causes of action 38030
available under federal law for enforcement of the provision of 38031
federal law.38032

       Sec. 5111.163.  (A) As used in this section:38033

       (1) "Emergency services" has the same meaning as in section 38034
1932(b)(2) of the "Social Security Act," 79 Stat. 286 (1965), 42 38035
U.S.C. 1396u-2(b)(2), as amended.38036

       (2) "Medicaid managed care organization" has the same meaning 38037
as in section 5111.162 of the Revised Code.38038

       (3) "Provider" has the same meaning as in section 5111.06 of 38039
the Revised Codemeans any person, institution, or entity that 38040
furnishes emergency services to a medicaid recipient enrolled in a 38041
medicaid managed care organization, regardless of whether the 38042
person, institution, or entity has a provider agreement with the 38043
department of job and family services pursuant to Title XIX of the 38044
"Social Security Act."38045

       (B) When a participant in the care management system 38046
established under section 5111.16 of the Revised Code is enrolled 38047
in a medicaid managed care organization and receives emergency 38048
services on or after January 1, 2007, from a provider that is not 38049
under contract with the organization, the provider shall accept 38050
from the organization, as payment in full, not more than the 38051
amounts (less any payments for indirect costs of medical education 38052
and direct costs of graduate medical education) that the provider 38053
could collect if the participant received medicaid other than 38054
through enrollment in a managed care organization.38055

       Sec. 5111.17.  (A) The department of job and family services38056
may enter into contracts with managed care organizations, 38057
including health insuring corporations, under which the 38058
organizations are authorized to provide, or arrange for the 38059
provision of, health care services to medical assistance 38060
recipients who are required or permitted to obtain health care 38061
services through managed care organizations as part of the care 38062
management system established under section 5111.16 of the 38063
Revised Code.38064

       (B) The department shall develop and implement a financial 38065
incentive program to improve and reward positive health outcomes 38066
through the managed care organization contracts entered into under 38067
this section. In developing and implementing the program, the 38068
department may take into consideration the recommendations 38069
regarding the program made by the medicaid care management working 38070
group created under section 5111.161(1) For purposes of making 38071
payments to health insuring corporations under contract pursuant 38072
to this section, the department shall develop, certify, and 38073
implement actuarially sound capitation rates, as defined in 42 38074
C.F.R. 438.6. In taking these actions, the department shall comply 38075
with all applicable requirements of 42 C.F.R. 438.6 and Title XIX 38076
of the "Social Security Act," 79 Stat. 286 (1965), 42 U.S.C. 38077
1396b(m), as amended.38078

       (2) Before the department may submit proposed capitation 38079
rates for approval by the United States centers for medicare and 38080
medicaid services, the department shall submit the proposed rates 38081
to the superintendent of insurance for review. On each submission, 38082
the superintendent shall conduct a review of the proposed rates 38083
and provide written notice to the department of the results of the 38084
review.38085

       (3) The department may not submit the proposed rates for 38086
approval by the centers for medicare and medicaid services unless 38087
the superintendent specifies in the results of the review that the 38088
proposed rates will do none of the following with respect to the 38089
health insuring corporation that will receive payments according 38090
to the proposed rates:38091

       (a) Negatively impact the financial solvency of the health 38092
insuring corporation; 38093

       (b) Cause a change in the health insuring corporation's RBC 38094
levels, as defined in section 3903.81 of the Revised Code;38095

       (c) Require that an application for a certificate of 38096
authority include the parent company's guaranty, as specified in 38097
division (A)(27) of section 1751.03 of the Revised Code.38098

       (C) The director of job and family services may adopt rules38099
in accordance with Chapter 119. of the Revised Code to implement38100
this section.38101

       Sec. 5111.20.  As used in sections 5111.20 to 5111.34 of the38102
Revised Code:38103

       (A) "Allowable costs" are those costs determined by the38104
department of job and family services to be reasonable and do not38105
include fines paid under sections 5111.35 to 5111.61 and section38106
5111.99 of the Revised Code.38107

       (B) "Ancillary and support costs" means all reasonable costs 38108
incurred by a nursing facility other than direct care costs or 38109
capital costs. "Ancillary and support costs" includes, but is not 38110
limited to, costs of activities, social services, pharmacy 38111
consultants, habilitation supervisors, qualified mental 38112
retardation professionals, program directors, medical and 38113
habilitation records, program supplies, incontinence supplies, 38114
food, enterals, dietary supplies and personnel, laundry, 38115
housekeeping, security, administration, medical equipment, 38116
utilities, liability insurance, bookkeeping, purchasing 38117
department, human resources, communications, travel, dues, license 38118
fees, subscriptions, home office costs not otherwise allocated, 38119
legal services, accounting services, minor equipment, maintenance 38120
and repairs, help-wanted advertising, informational advertising, 38121
start-up costs, organizational expenses, other interest, property 38122
insurance, employee training and staff development, employee 38123
benefits, payroll taxes, and workers' compensation premiums or 38124
costs for self-insurance claims and related costs as specified in 38125
rules adopted by the director of job and family services under 38126
section 5111.02 of the Revised Code, for personnel listed in this 38127
division. "Ancillary and support costs" also means the cost of 38128
equipment, including vehicles, acquired by operating lease 38129
executed before December 1, 1992, if the costs are reported as 38130
administrative and general costs on the facility's cost report for 38131
the cost reporting period ending December 31, 1992.38132

       (C) "Capital costs" means costs of ownership and, in the case 38133
of an intermediate care facility for the mentally retarded, costs 38134
of nonextensive renovation.38135

       (1) "Cost of ownership" means the actual expense incurred for 38136
all of the following:38137

       (a) Depreciation and interest on any capital assets that cost 38138
five hundred dollars or more per item, including the following:38139

       (i) Buildings;38140

       (ii) Building improvements that are not approved as38141
nonextensive renovations under section 5111.251 of the Revised 38142
Code;38143

       (iii) Except as provided in division (B) of this section, 38144
equipment;38145

       (iv) In the case of an intermediate care facility for the 38146
mentally retarded, extensive renovations;38147

       (v) Transportation equipment.38148

       (b) Amortization and interest on land improvements and38149
leasehold improvements;38150

       (c) Amortization of financing costs;38151

       (d) Except as provided in division (K) of this section, lease 38152
and rent of land, building, and equipment.38153

       The costs of capital assets of less than five hundred dollars38154
per item may be considered capital costs in accordance with a38155
provider's practice.38156

       (2) "Costs of nonextensive renovation" means the actual38157
expense incurred by an intermediate care facility for the mentally 38158
retarded for depreciation or amortization and interest on38159
renovations that are not extensive renovations.38160

       (D) "Capital lease" and "operating lease" shall be construed38161
in accordance with generally accepted accounting principles.38162

       (E) "Case-mix score" means the measure determined under38163
section 5111.232 of the Revised Code of the relative direct-care38164
resources needed to provide care and habilitation to a resident of38165
a nursing facility or intermediate care facility for the mentally38166
retarded.38167

       (F)(1) "Date of licensure," for a facility originally 38168
licensed as a nursing home under Chapter 3721. of the Revised 38169
Code, means the date specific beds were originally licensed as38170
nursing home beds under that chapter, regardless of whether they 38171
were subsequently licensed as residential facility beds under 38172
section 5123.19 of the Revised Code. For a facility originally 38173
licensed as a residential facility under section 5123.19 of the 38174
Revised Code, "date of licensure" means the date specific beds 38175
were originally licensed as residential facility beds under that38176
section.38177

       (1) If nursing home beds licensed under Chapter 3721. of the38178
Revised Code or residential facility beds licensed under section38179
5123.19 of the Revised Code were not required by law to be38180
licensed when they were originally used to provide nursing home or38181
residential facility services, "date of licensure" means the date38182
the beds first were used to provide nursing home or residential38183
facility services, regardless of the date the present provider38184
obtained licensure.38185

       (2) If a facility adds nursing home beds or residential38186
facility beds or extensively renovates all or part of the facility38187
after its original date of licensure, it will have a different38188
date of licensure for the additional beds or extensively renovated38189
portion of the facility, unless the beds are added in a space that38190
was constructed at the same time as the previously licensed beds38191
but was not licensed under Chapter 3721. or section 5123.19 of the38192
Revised Code at that time.38193

       (2) The definition of "date of licensure" in this section 38194
applies in determinations of the medicaid reimbursement rate for a 38195
nursing facility or intermediate care facility for the mentally 38196
retarded but does not apply in determinations of the franchise 38197
permit fee for a nursing facility or intermediate care facility 38198
for the mentally retarded.38199

       (G) "Desk-reviewed" means that costs as reported on a cost38200
report submitted under section 5111.26 of the Revised Code have38201
been subjected to a desk review under division (A) of section38202
5111.27 of the Revised Code and preliminarily determined to be38203
allowable costs.38204

       (H) "Direct care costs" means all of the following:38205

       (1)(a) Costs for registered nurses, licensed practical38206
nurses, and nurse aides employed by the facility;38207

       (b) Costs for direct care staff, administrative nursing38208
staff, medical directors, respiratory therapists, and except as 38209
provided in division (H)(2) of this section, other persons holding 38210
degrees qualifying them to provide therapy;38211

       (c) Costs of purchased nursing services;38212

       (d) Costs of quality assurance;38213

       (e) Costs of training and staff development, employee38214
benefits, payroll taxes, and workers' compensation premiums or38215
costs for self-insurance claims and related costs as specified in38216
rules adopted by the director of job and family services in38217
accordance with Chapter 119. of the Revised Code, for personnel38218
listed in divisions (H)(1)(a), (b), and (d) of this section;38219

       (f) Costs of consulting and management fees related to direct 38220
care;38221

       (g) Allocated direct care home office costs.38222

       (2) In addition to the costs specified in division (H)(1) of 38223
this section, for nursing facilities only, direct care costs 38224
include costs of habilitation staff (other than habilitation 38225
supervisors), medical supplies, emergency oxygen, habilitation 38226
supplies, and universal precautions supplies.38227

       (3) In addition to the costs specified in division (H)(1) of38228
this section, for intermediate care facilities for the mentally38229
retarded only, direct care costs include both of the following:38230

       (a) Costs for physical therapists and physical therapy38231
assistants, occupational therapists and occupational therapy38232
assistants, speech therapists, audiologists, habilitation staff 38233
(including habilitation supervisors), qualified mental retardation 38234
professionals, program directors, social services staff, 38235
activities staff, off-site day programming, psychologists and 38236
psychology assistants, and social workers and counselors;38237

       (b) Costs of training and staff development, employee38238
benefits, payroll taxes, and workers' compensation premiums or38239
costs for self-insurance claims and related costs as specified in38240
rules adopted under section 5111.02 of the Revised Code, for 38241
personnel listed in division (H)(3)(a) of this section.38242

       (4) Costs of other direct-care resources that are specified38243
as direct care costs in rules adopted under section 5111.02 of the 38244
Revised Code.38245

       (I) "Fiscal year" means the fiscal year of this state, as38246
specified in section 9.34 of the Revised Code.38247

       (J) "Franchise permit fee" means the following:38248

       (1) In the context of nursing facilities, the fee imposed by 38249
sections 3721.50 to 3721.58 of the Revised Code;38250

       (2) In the context of intermediate care facilities for the 38251
mentally retarded, the fee imposed by sections 5112.30 to 5112.39 38252
of the Revised Code.38253

        (K) "Indirect care costs" means all reasonable costs incurred 38254
by an intermediate care facility for the mentally retarded other38255
than direct care costs, other protected costs, or capital costs.38256
"Indirect care costs" includes but is not limited to costs of38257
habilitation supplies, pharmacy consultants, medical and38258
habilitation records, program supplies, incontinence supplies,38259
food, enterals, dietary supplies and personnel, laundry,38260
housekeeping, security, administration, liability insurance,38261
bookkeeping, purchasing department, human resources,38262
communications, travel, dues, license fees, subscriptions, home38263
office costs not otherwise allocated, legal services, accounting38264
services, minor equipment, maintenance and repairs, help-wanted38265
advertising, informational advertising, start-up costs,38266
organizational expenses, other interest, property insurance,38267
employee training and staff development, employee benefits,38268
payroll taxes, and workers' compensation premiums or costs for38269
self-insurance claims and related costs as specified in rules38270
adopted under section 5111.02 of the Revised Code, for personnel38271
listed in this division. Notwithstanding division (C)(1) of this38272
section, "indirect care costs" also means the cost of equipment,38273
including vehicles, acquired by operating lease executed before38274
December 1, 1992, if the costs are reported as administrative and38275
general costs on the facility's cost report for the cost reporting 38276
period ending December 31, 1992.38277

       (L) "Inpatient days" means all days during which a resident,38278
regardless of payment source, occupies a bed in a nursing facility38279
or intermediate care facility for the mentally retarded that is38280
included in the facility's certified capacity under Title XIX. 38281
Therapeutic or hospital leave days for which payment is made under 38282
section 5111.33 of the Revised Code are considered inpatient days 38283
proportionate to the percentage of the facility's per resident per 38284
day rate paid for those days.38285

       (M) "Intermediate care facility for the mentally retarded"38286
means an intermediate care facility for the mentally retarded38287
certified as in compliance with applicable standards for the 38288
medicaid program by the director of health in accordance with 38289
Title XIX.38290

       (N) "Maintenance and repair expenses" means, except as38291
provided in division (BB)(2) of this section, expenditures that38292
are necessary and proper to maintain an asset in a normally38293
efficient working condition and that do not extend the useful life 38294
of the asset two years or more. "Maintenance and repair expenses"38295
includes but is not limited to the cost of ordinary repairs such38296
as painting and wallpapering.38297

       (O) "Medicaid days" means all days during which a resident 38298
who is a Medicaid recipient eligible for nursing facility services 38299
occupies a bed in a nursing facility that is included in the 38300
nursing facility's certified capacity under Title XIX. Therapeutic 38301
or hospital leave days for which payment is made under section 38302
5111.33 of the Revised Code are considered Medicaid days 38303
proportionate to the percentage of the nursing facility's per 38304
resident per day rate paid for those days.38305

        (P) "Nursing facility" means a facility, or a distinct part38306
of a facility, that is certified as a nursing facility by the38307
director of health in accordance with Title XIX and is not an 38308
intermediate care facility for the mentally retarded. "Nursing 38309
facility" includes a facility, or a distinct part of a facility, 38310
that is certified as a nursing facility by the director of health 38311
in accordance with Title XIX and is certified as a skilled nursing38312
facility by the director in accordance with Title XVIII.38313

       (Q) "Operator" means the person or government entity 38314
responsible for the daily operating and management decisions for a 38315
nursing facility or intermediate care facility for the mentally 38316
retarded.38317

       (R) "Other protected costs" means costs incurred by an 38318
intermediate care facility for the mentally retarded for medical38319
supplies; real estate, franchise, and property taxes; natural gas,38320
fuel oil, water, electricity, sewage, and refuse and hazardous38321
medical waste collection; allocated other protected home office38322
costs; and any additional costs defined as other protected costs38323
in rules adopted under section 5111.02 of the Revised Code.38324

       (S)(1) "Owner" means any person or government entity that has38325
at least five per cent ownership or interest, either directly,38326
indirectly, or in any combination, in any of the following 38327
regarding a nursing facility or intermediate care facility for the 38328
mentally retarded:38329

       (a) The land on which the facility is located;38330

       (b) The structure in which the facility is located;38331

       (c) Any mortgage, contract for deed, or other obligation 38332
secured in whole or in part by the land or structure on or in 38333
which the facility is located;38334

       (d) Any lease or sublease of the land or structure on or in 38335
which the facility is located.38336

       (2) "Owner" does not mean a holder of a debenture or bond 38337
related to the nursing facility or intermediate care facility for 38338
the mentally retarded and purchased at public issue or a regulated 38339
lender that has made a loan related to the facility unless the 38340
holder or lender operates the facility directly or through a 38341
subsidiary.38342

       (T) "Patient" includes "resident."38343

       (U) Except as provided in divisions (U)(1) and (2) of this38344
section, "per diem" means a nursing facility's or intermediate38345
care facility for the mentally retarded's actual, allowable costs38346
in a given cost center in a cost reporting period, divided by the38347
facility's inpatient days for that cost reporting period.38348

       (1) When calculating indirect care costs for the purpose of38349
establishing rates under section 5111.241 of the Revised Code,38350
"per diem" means an intermediate care facility for the mentally 38351
retarded's actual, allowable indirect care costs in a cost 38352
reporting period divided by the greater of the facility's 38353
inpatient days for that period or the number of inpatient days the 38354
facility would have had during that period if its occupancy rate 38355
had been eighty-five per cent.38356

       (2) When calculating capital costs for the purpose of38357
establishing rates under section 5111.251 of the Revised Code,38358
"per diem" means a facility's actual, allowable capital costs in a 38359
cost reporting period divided by the greater of the facility's 38360
inpatient days for that period or the number of inpatient days the 38361
facility would have had during that period if its occupancy rate 38362
had been ninety-five per cent.38363

       (V) "Provider" means an operator with a provider agreement.38364

       (W) "Provider agreement" means a contract between the38365
department of job and family services and the operator of a 38366
nursing facility or intermediate care facility for the mentally 38367
retarded for the provision of nursing facility services or 38368
intermediate care facility services for the mentally retarded 38369
under the medicaid program.38370

       (X) "Purchased nursing services" means services that are38371
provided in a nursing facility by registered nurses, licensed38372
practical nurses, or nurse aides who are not employees of the38373
facility.38374

       (Y) "Reasonable" means that a cost is an actual cost that is38375
appropriate and helpful to develop and maintain the operation of38376
patient care facilities and activities, including normal standby38377
costs, and that does not exceed what a prudent buyer pays for a38378
given item or services. Reasonable costs may vary from provider to 38379
provider and from time to time for the same provider.38380

       (Z) "Related party" means an individual or organization that, 38381
to a significant extent, has common ownership with, is associated 38382
or affiliated with, has control of, or is controlled by, the 38383
provider.38384

       (1) An individual who is a relative of an owner is a related38385
party.38386

       (2) Common ownership exists when an individual or individuals 38387
possess significant ownership or equity in both the provider and 38388
the other organization. Significant ownership or equity exists 38389
when an individual or individuals possess five per cent ownership 38390
or equity in both the provider and a supplier. Significant 38391
ownership or equity is presumed to exist when an individual or 38392
individuals possess ten per cent ownership or equity in both the 38393
provider and another organization from which the provider 38394
purchases or leases real property.38395

       (3) Control exists when an individual or organization has the 38396
power, directly or indirectly, to significantly influence or38397
direct the actions or policies of an organization.38398

       (4) An individual or organization that supplies goods or38399
services to a provider shall not be considered a related party if38400
all of the following conditions are met:38401

       (a) The supplier is a separate bona fide organization.38402

       (b) A substantial part of the supplier's business activity of 38403
the type carried on with the provider is transacted with others38404
than the provider and there is an open, competitive market for the38405
types of goods or services the supplier furnishes.38406

       (c) The types of goods or services are commonly obtained by38407
other nursing facilities or intermediate care facilities for the38408
mentally retarded from outside organizations and are not a basic38409
element of patient care ordinarily furnished directly to patients38410
by the facilities.38411

       (d) The charge to the provider is in line with the charge for 38412
the goods or services in the open market and no more than the38413
charge made under comparable circumstances to others by the38414
supplier.38415

       (AA) "Relative of owner" means an individual who is related38416
to an owner of a nursing facility or intermediate care facility38417
for the mentally retarded by one of the following relationships:38418

       (1) Spouse;38419

       (2) Natural parent, child, or sibling;38420

       (3) Adopted parent, child, or sibling;38421

       (4) Stepparent, stepchild, stepbrother, or stepsister;38422

       (5) Father-in-law, mother-in-law, son-in-law,38423
daughter-in-law, brother-in-law, or sister-in-law;38424

       (6) Grandparent or grandchild;38425

       (7) Foster caregiver, foster child, foster brother, or foster 38426
sister.38427

       (BB) "Renovation" and "extensive renovation" mean:38428

       (1) Any betterment, improvement, or restoration of an 38429
intermediate care facility for the mentally retarded started 38430
before July 1, 1993, that meets the definition of a renovation or 38431
extensive renovation established in rules adopted by the director 38432
of job and family services in effect on December 22, 1992.38433

       (2) In the case of betterments, improvements, and38434
restorations of intermediate care facilities for the mentally 38435
retarded started on or after July 1, 1993:38436

       (a) "Renovation" means the betterment, improvement, or38437
restoration of an intermediate care facility for the mentally 38438
retarded beyond its current functional capacity through a 38439
structural change that costs at least five hundred dollars per 38440
bed. A renovation may include betterment, improvement, 38441
restoration, or replacement of assets that are affixed to the 38442
building and have a useful life of at least five years. A 38443
renovation may include costs that otherwise would be considered 38444
maintenance and repair expenses if they are an integral part of 38445
the structural change that makes up the renovation project.38446
"Renovation" does not mean construction of additional space for 38447
beds that will be added to a facility's licensed or certified 38448
capacity.38449

       (b) "Extensive renovation" means a renovation that costs more 38450
than sixty-five per cent and no more than eighty-five per cent of 38451
the cost of constructing a new bed and that extends the useful 38452
life of the assets for at least ten years.38453

       For the purposes of division (BB)(2) of this section, the38454
cost of constructing a new bed shall be considered to be forty38455
thousand dollars, adjusted for the estimated rate of inflation38456
from January 1, 1993, to the end of the calendar year during which 38457
the renovation is completed, using the consumer price index for38458
shelter costs for all urban consumers for the north central38459
region, as published by the United States bureau of labor38460
statistics.38461

       The department of job and family services may treat a38462
renovation that costs more than eighty-five per cent of the cost38463
of constructing new beds as an extensive renovation if the38464
department determines that the renovation is more prudent than38465
construction of new beds.38466

       (CC) "Title XIX" means Title XIX of the "Social Security 38467
Act," 79 Stat. 286 (1965), 42 U.S.C. 1396, as amended.38468

        (DD) "Title XVIII" means Title XVIII of the "Social Security 38469
Act," 79 Stat. 286 (1965), 42 U.S.C. 1395, as amended.38470

       Sec. 5111.84. The director of job and family services may not 38471
submit a request to the United States secretary of health and 38472
human services for a medicaid waiver under section 1115 of the 38473
"Social Security Act of 1935," 42 U.S.C. 1315, unless the director 38474
provides the speaker of the house of representatives and president 38475
of the senate written notice of director's intent to submit the 38476
request at least ten days before the date the director submits the 38477
request to the United States secretary. The notice shall include a 38478
detailed explanation of the medicaid waiver the director proposes 38479
to seek.38480

       Sec. 5111.861.  (A) "Home and community-based services 38481
medicaid waiver component" has the same meaning as in section 38482
5111.851 of the Revised Code.38483

       (B) The director shall submit a request to the United States 38484
secretary of health and human services to approve amendments to 38485
one or more home and community-based services medicaid waiver 38486
components to do one or more of the following:38487

       (1) Allow a participant receiving services under a component 38488
to retain eligibility for those services while participating in 38489
the medicaid buy-in program established under section 5111.0119 of 38490
the Revised Code.38491

       (2) Make changes to one or more components so that the 38492
component or components contains one or more features of the 38493
medicaid buy-in program established under section 5111.0119 of the 38494
Revised Code.38495

       Sec. 5111.871.  The department of job and family services38496
shall enter into a contract with the department of mental38497
retardation and developmental disabilities under section 5111.9138498
of the Revised Code with regard to one or more of the components 38499
of the medicaid program established by the department of job and 38500
family services under one or more of the medicaid waivers sought 38501
under section 5111.87 of the Revised Code. The contract shall38502
provide for the department of mental retardation and developmental38503
disabilities to administer the components in accordance with the 38504
terms of the waivers. The directors of job and family services and 38505
mental retardation and developmental disabilities shall adopt38506
rules in accordance with Chapter 119. of the Revised Code38507
governing the components.38508

       If the department of mental retardation and developmental38509
disabilities or the department of job and family services denies38510
an individual's application for home and community-based services38511
provided under any of these medicaid components, the department 38512
that denied the services shall give timely notice to the 38513
individual that the individual may request a hearing under section 38514
5101.35 of the Revised Code.38515

       The departments of mental retardation and developmental38516
disabilities and job and family services may approve, reduce,38517
deny, or terminate a service included in the individualized38518
service plan developed for a medicaid recipient eligible for home38519
and community-based services provided under any of these medicaid 38520
components. The departments shall consider the recommendations a38521
county board of mental retardation and developmental disabilities38522
makes under division (A)(1)(c) of section 5126.055 of the Revised38523
Code. If either department approves, reduces, denies, or38524
terminates a service, that department shall give timely notice to38525
the medicaid recipient that the recipient may request a hearing38526
under section 5101.35 of the Revised Code.38527

       If supported living or residential services, as defined in38528
section 5126.01 of the Revised Code, areis to be provided as a 38529
service under any of these components, any person or government 38530
entity with a current, valid medicaid provider agreement and a 38531
current, valid license under section 5123.19 or certificate under 38532
section 5123.16 or 5126.4315123.161 of the Revised Code may 38533
provide the servicesservice.38534

       If a service is to be provided under any of these components 38535
by a residential facility, as defined in section 5123.19 of the 38536
Revised Code, any person or government entity with a current, 38537
valid medicaid provider agreement and a current, valid license 38538
under section 5123.19 of the Revised Code may provide the service.38539

       Sec. 5111.8814.  An intermediate care facility for the 38540
mentally retarded that converts in whole to providing home and 38541
community-based services under the ICF/MR conversion pilot program 38542
shall either be licensed as a residential facility under section 38543
5123.19 of the Revised Code or certified to provide supported 38544
living under section 5126.4315123.161 of the Revised Code. If an 38545
intermediate care facility for the mentally retarded converts in 38546
part to providing such home and community-based services, the 38547
distinct part of the facility that provides the home and 38548
community-based services shall either be licensed as a residential 38549
facility under section 5123.19 of the Revised Code or certified to 38550
provide supported living under section 5126.4315123.161 of the 38551
Revised Code. The facility or distinct part of the facility shall 38552
be licensed as a residential facility rather than certified to 38553
provide supported living if it meets the definition of 38554
"residential facility" in section 5123.19 of the Revised Code.38555

       Sec. 5112.341.  (A) In addition to assessing a penalty 38556
pursuant to section 5112.34 of the Revised Code, the department of 38557
job and family services may do either or both of the following if 38558
an intermediate care facility for the mentally retarded fails to 38559
pay the full amount of a franchise permit fee installment when 38560
due:38561

        (1) WithholdOffset an amount less than or equal to the 38562
installment and penalty assessed under section 5112.34 of the 38563
Revised Code from a medicaid payment due the facility until the 38564
facility pays the installment and penalty;38565

        (2) Terminate the facility's medicaid provider agreement.38566

        (B) The department may withholdoffset a medicaid payment 38567
under division (A)(1) of this section without providing notice to 38568
the intermediate care facility for the mentally retarded and 38569
without conducting an adjudication under Chapter 119. of the 38570
Revised Code.38571

       Sec. 5115.12. (A) The director of job and family services 38572
shall adopt rules in accordance with section 111.15 of the Revised 38573
Code governing the disability medical assistance program. The 38574
rules may establish or specify any or all of the following:38575

       (1) Income, resource, citizenship, age, residence, living 38576
arrangement, and other eligibility requirements;38577

        (2) Health services to be included in the program;38578

        (3) The maximum authorized amount, scope, duration, or limit 38579
of payment for services;38580

        (4) Limits on the length of time an individual may receive 38581
disability medical assistance;38582

        (5) Limits on the total number of individuals in the state 38583
who may receive disability medical assistance;38584

       (6) Limits on the number and types of providers eligible to 38585
be reimbursed for services provided to individuals enrolled in the 38586
program.38587

        (B) For purposes of limiting the cost of the disability 38588
medical assistance program, the director may do either of the 38589
following:38590

       (1) Adopt rules in accordance with section 111.15 of the 38591
Revised Code that revise the program's eligibility requirements; 38592
the maximum authorized amount, scope, duration, or limit of 38593
payment for services included in the program; or any other 38594
requirement or standard established or specified by rules adopted 38595
under division (A) of this section or under section 5115.10 of the 38596
Revised Code;38597

       (2) Suspend acceptance of applications for disability medical 38598
assistance. While a suspension is in effect, no person shall 38599
receive a determination or redetermination of eligibility for 38600
disability medical assistance unless the person was receiving the 38601
assistance during the month immediately preceding the suspension's 38602
effective date or the person submitted an application prior to the 38603
suspension's effective date and receives a determination of 38604
eligibility based on that application. The director may adopt 38605
rules in accordance with section 111.15 of the Revised Code 38606
establishing requirements and specifying procedures applicable to 38607
the suspension of acceptance of applications.38608

       Sec. 5119.611. (A) A community mental health agency that 38609
seeks certification of its community mental health services shall 38610
submit an application to the director of mental health. On receipt 38611
of the application, the director may visit and shall evaluate the 38612
agency to determine whether its services satisfy the standards 38613
established by rules adopted under division (D)(C) of this 38614
section. The director shall make the evaluation, and, if the 38615
director visits the agency, shall make the visit, in cooperation 38616
with the board of alcohol, drug addiction, and mental health 38617
services with which the agency seeks to contract under division 38618
(A)(8)(a) of section 340.03 of the Revised Code.38619

        Subject to divisions (B) and (C) of this sectionIf the 38620
director determines that a community mental health agency's 38621
services satisfy the standards and the agency has paid the fee 38622
required under division (B) of this section, the director shall38623
certify a community mental health agency'sthe services that the 38624
director determines satisfy the standards.38625

       If the director determines that a community mental health38626
agency's services do not satisfy the standards, the director shall38627
identify the areas of noncompliance, specify what action is38628
necessary to satisfy the standards, and offer technical assistance38629
to the board of alcohol, drug addiction, and mental health38630
services so that the board may assist the agency in satisfying the38631
standards. The director shall give the agency a reasonable time38632
within which to demonstrate that its services satisfy the38633
standards or to bring the services into compliance with the38634
standards. If the director concludes that the services continue to 38635
fail to satisfy the standards, the director may request that the 38636
board reallocate the funds for the community mental health38637
services the agency was to provide to another community mental38638
health agency whose community mental health services satisfy the38639
standards. If the board does not reallocate those funds in a38640
reasonable period of time, the director may withhold state and38641
federal funds for the community mental health services and38642
allocate those funds directly to a community mental health agency38643
whose community mental health services satisfy the standards.38644

       (B) Each community mental health agency seeking certification 38645
of its community mental health services under this section shall 38646
pay a fee for the certification review required by this section. 38647
Fees shall be paid into the sale of goods and services fund 38648
created pursuant to section 5119.161 of the Revised Code.38649

       (C) The director may certify a community mental health 38650
service only if the service is for individuals whose focus of 38651
treatment is a mental disorder according to the edition of the 38652
American psychiatric association's diagnostic and statistical 38653
manual of mental disorders that is current at the time the 38654
director issues the certification, including such services for 38655
individuals who have a mental disorder and a co-occurring 38656
substance use disorder, substance induced disorder, chronic 38657
dementing organic mental disorder, mental retardation, or 38658
developmental disability. The director may not certify a service 38659
that is for individuals whose focus of treatment is solely a 38660
substance use disorder, substance-induced disorder, chronic 38661
dementing organic mental disorder, mental retardation, or 38662
developmental disability.38663

       (D) The director shall adopt rules in accordance with Chapter 38664
119. of the Revised Code to implement this section. The rules 38665
shall do all of the following:38666

       (1) Establish certification standards for community mental38667
health services, including assertive community treatment and 38668
intensive home-based mental health services, that are consistent 38669
with nationally recognized applicable standards and facilitate 38670
participation in federal assistance programs. The rules shall 38671
include as certification standards only requirements that improve 38672
the quality of services or the health and safety of clients of 38673
community mental health services. The standards shall address at a38674
minimum all of the following:38675

       (a) Reporting major unusual incidents to the director;38676

       (b) Procedures for applicants for and clients of community38677
mental health services to file grievances and complaints;38678

       (c) Seclusion;38679

       (d) Restraint;38680

       (e) Development of written policies addressing the rights of38681
clients, including all of the following:38682

       (i) The right to a copy of the written policies addressing38683
client rights;38684

       (ii) The right at all times to be treated with consideration38685
and respect for the client's privacy and dignity;38686

       (iii) The right to have access to the client's own38687
psychiatric, medical, or other treatment records unless access is38688
specifically restricted in the client's treatment plan for clear38689
treatment reasons;38690

       (iv) The right to have a client rights officer provided by38691
the agency or board of alcohol, drug addiction, and mental health38692
services advise the client of the client's rights, including the38693
client's rights under Chapter 5122. of the Revised Code if the38694
client is committed to the agency or board.38695

       (2) Establish standards for qualifications of mental health38696
professionals as defined in section 340.02 of the Revised Code and38697
personnel who provide the community mental health services;38698

       (3) Establish the process for certification of community38699
mental health services;38700

       (4) Set the amount of certification review fees based on a38701
portion of the cost of performing the review;38702

       (5) Specify the type of notice and hearing to be provided38703
prior to a decision on whether to reallocate funds.38704

       Sec. 5123.01.  As used in this chapter:38705

       (A) "Chief medical officer" means the licensed physician38706
appointed by the managing officer of an institution for the38707
mentally retarded with the approval of the director of mental38708
retardation and developmental disabilities to provide medical38709
treatment for residents of the institution.38710

       (B) "Chief program director" means a person with special38711
training and experience in the diagnosis and management of the38712
mentally retarded, certified according to division (C) of this38713
section in at least one of the designated fields, and appointed by38714
the managing officer of an institution for the mentally retarded38715
with the approval of the director to provide habilitation and care38716
for residents of the institution.38717

       (C) "Comprehensive evaluation" means a study, including a38718
sequence of observations and examinations, of a person leading to38719
conclusions and recommendations formulated jointly, with38720
dissenting opinions if any, by a group of persons with special38721
training and experience in the diagnosis and management of persons38722
with mental retardation or a developmental disability, which group38723
shall include individuals who are professionally qualified in the38724
fields of medicine, psychology, and social work, together with38725
such other specialists as the individual case may require.38726

       (D) "Education" means the process of formal training and38727
instruction to facilitate the intellectual and emotional38728
development of residents.38729

       (E) "Habilitation" means the process by which the staff of38730
the institution assists the resident in acquiring and maintaining38731
those life skills that enable the resident to cope more38732
effectively with the demands of the resident's own person and of38733
the resident's environment and in raising the level of the38734
resident's physical, mental, social, and vocational efficiency.38735
Habilitation includes but is not limited to programs of formal,38736
structured education and training.38737

       (F) "Health officer" means any public health physician,38738
public health nurse, or other person authorized or designated by a38739
city or general health district.38740

       (G) "Home and community-based services" means medicaid-funded 38741
home and community-based services specified in division (B)(1) of 38742
section 5111.87 of the Revised Code provided under the medicaid 38743
waiver components the department of mental retardation and38744
developmental disabilities administers pursuant to section38745
5111.871 of the Revised Code.38746

       (H) "Indigent person" means a person who is unable, without38747
substantial financial hardship, to provide for the payment of an38748
attorney and for other necessary expenses of legal representation,38749
including expert testimony.38750

       (I) "Institution" means a public or private facility, or a38751
part of a public or private facility, that is licensed by the38752
appropriate state department and is equipped to provide38753
residential habilitation, care, and treatment for the mentally38754
retarded.38755

       (J) "Licensed physician" means a person who holds a valid38756
certificate issued under Chapter 4731. of the Revised Code38757
authorizing the person to practice medicine and surgery or38758
osteopathic medicine and surgery, or a medical officer of the38759
government of the United States while in the performance of the38760
officer's official duties.38761

       (K) "Managing officer" means a person who is appointed by the38762
director of mental retardation and developmental disabilities to38763
be in executive control of an institution for the mentally38764
retarded under the jurisdiction of the department.38765

       (L) "Medicaid" has the same meaning as in section 5111.01 of38766
the Revised Code.38767

       (M) "Medicaid case management services" means case management 38768
services provided to an individual with mental retardation or 38769
other developmental disability that the state medicaid plan 38770
requires.38771

       (N) "Mentally retarded person" means a person having38772
significantly subaverage general intellectual functioning existing38773
concurrently with deficiencies in adaptive behavior, manifested38774
during the developmental period.38775

       (O) "Mentally retarded person subject to institutionalization38776
by court order" means a person eighteen years of age or older who38777
is at least moderately mentally retarded and in relation to whom,38778
because of the person's retardation, either of the following38779
conditions exist:38780

       (1) The person represents a very substantial risk of physical 38781
impairment or injury to self as manifested by evidence that the 38782
person is unable to provide for and is not providing for the 38783
person's most basic physical needs and that provision for those38784
needs is not available in the community;38785

       (2) The person needs and is susceptible to significant38786
habilitation in an institution.38787

       (P) "A person who is at least moderately mentally retarded"38788
means a person who is found, following a comprehensive evaluation,38789
to be impaired in adaptive behavior to a moderate degree and to be38790
functioning at the moderate level of intellectual functioning in38791
accordance with standard measurements as recorded in the most38792
current revision of the manual of terminology and classification38793
in mental retardation published by the American association on38794
mental retardation.38795

       (Q) As used in this division, "substantial functional38796
limitation," "developmental delay," and "established risk" have38797
the meanings established pursuant to section 5123.011 of the38798
Revised Code.38799

       "Developmental disability" means a severe, chronic disability38800
that is characterized by all of the following:38801

       (1) It is attributable to a mental or physical impairment or38802
a combination of mental and physical impairments, other than a38803
mental or physical impairment solely caused by mental illness as38804
defined in division (A) of section 5122.01 of the Revised Code.38805

       (2) It is manifested before age twenty-two.38806

       (3) It is likely to continue indefinitely.38807

       (4) It results in one of the following:38808

       (a) In the case of a person under three years of age, at38809
least one developmental delay or an established risk;38810

       (b) In the case of a person at least three years of age but38811
under six years of age, at least two developmental delays or an38812
established risk;38813

       (c) In the case of a person six years of age or older, a38814
substantial functional limitation in at least three of the38815
following areas of major life activity, as appropriate for the38816
person's age: self-care, receptive and expressive language,38817
learning, mobility, self-direction, capacity for independent38818
living, and, if the person is at least sixteen years of age,38819
capacity for economic self-sufficiency.38820

       (5) It causes the person to need a combination and sequence38821
of special, interdisciplinary, or other type of care, treatment,38822
or provision of services for an extended period of time that is38823
individually planned and coordinated for the person.38824

       (R) "Developmentally disabled person" means a person with a38825
developmental disability.38826

       (S) "State institution" means an institution that is38827
tax-supported and under the jurisdiction of the department.38828

       (T) "Residence" and "legal residence" have the same meaning38829
as "legal settlement," which is acquired by residing in Ohio for a38830
period of one year without receiving general assistance prior to38831
July 17, 1995, under former Chapter 5113. of the Revised Code, 38832
financial assistance under Chapter 5115. of the Revised Code, or38833
assistance from a private agency that maintains records of38834
assistance given. A person having a legal settlement in the state38835
shall be considered as having legal settlement in the assistance38836
area in which the person resides. No adult person coming into this38837
state and having a spouse or minor children residing in another 38838
state shall obtain a legal settlement in this state as long as the 38839
spouse or minor children are receiving public assistance, care, or 38840
support at the expense of the other state or its subdivisions. For 38841
the purpose of determining the legal settlement of a person who is 38842
living in a public or private institution or in a home subject to 38843
licensing by the department of job and family services, the38844
department of mental health, or the department of mental 38845
retardation and developmental disabilities, the residence of the 38846
person shall be considered as though the person were residing in 38847
the county in which the person was living prior to the person's 38848
entrance into the institution or home. Settlement once acquired 38849
shall continue until a person has been continuously absent from 38850
Ohio for a period of one year or has acquired a legal residence in 38851
another state. A woman who marries a man with legal settlement in 38852
any county immediately acquires the settlement of her husband. The 38853
legal settlement of a minor is that of the parents, surviving 38854
parent, sole parent, parent who is designated the residential 38855
parent and legal custodian by a court, other adult having 38856
permanent custody awarded by a court, or guardian of the person of 38857
the minor, provided that:38858

       (1) A minor female who marries shall be considered to have38859
the legal settlement of her husband and, in the case of death of38860
her husband or divorce, she shall not thereby lose her legal38861
settlement obtained by the marriage.38862

       (2) A minor male who marries, establishes a home, and who has 38863
resided in this state for one year without receiving general38864
assistance prior to July 17, 1995, under former Chapter 5113. of38865
the Revised Code, financial assistance under Chapter 5115. of the38866
Revised Code, or assistance from a private agency that maintains38867
records of assistance given shall be considered to have obtained a38868
legal settlement in this state.38869

       (3) The legal settlement of a child under eighteen years of38870
age who is in the care or custody of a public or private child38871
caring agency shall not change if the legal settlement of the38872
parent changes until after the child has been in the home of the38873
parent for a period of one year.38874

       No person, adult or minor, may establish a legal settlement38875
in this state for the purpose of gaining admission to any state38876
institution.38877

       (U)(1) "Resident" means, subject to division (R)(2) of this38878
section, a person who is admitted either voluntarily or38879
involuntarily to an institution or other facility pursuant to38880
section 2945.39, 2945.40, 2945.401, or 2945.402 of the Revised38881
Code subsequent to a finding of not guilty by reason of insanity38882
or incompetence to stand trial or under this chapter who is under38883
observation or receiving habilitation and care in an institution.38884

       (2) "Resident" does not include a person admitted to an38885
institution or other facility under section 2945.39, 2945.40,38886
2945.401, or 2945.402 of the Revised Code to the extent that the38887
reference in this chapter to resident, or the context in which the38888
reference occurs, is in conflict with any provision of sections38889
2945.37 to 2945.402 of the Revised Code.38890

       (V) "Respondent" means the person whose detention,38891
commitment, or continued commitment is being sought in any38892
proceeding under this chapter.38893

       (W) "Working day" and "court day" mean Monday, Tuesday,38894
Wednesday, Thursday, and Friday, except when such day is a legal38895
holiday.38896

       (X) "Prosecutor" means the prosecuting attorney, village38897
solicitor, city director of law, or similar chief legal officer38898
who prosecuted a criminal case in which a person was found not38899
guilty by reason of insanity, who would have had the authority to38900
prosecute a criminal case against a person if the person had not38901
been found incompetent to stand trial, or who prosecuted a case in38902
which a person was found guilty.38903

       (Y) "Court" means the probate division of the court of common38904
pleas.38905

       (Z) "Supported living" has the same meaning as in section 38906
5126.01 of the Revised Code.38907

       Sec. 5123.033. The program fee fund is hereby created in the 38908
state treasury. All fees collected pursuant to sections 5123.161, 38909
5123.164, 5123.19, and 5126.25 of the Revised Code shall be 38910
credited to the fund. Money credited to the fund shall be used 38911
solely for the department of mental retardation and developmental 38912
disabilities' duties under sections 5123.16 to 5123.169, 5123.19, 38913
and 5126.25 of the Revised Code and to provide continuing 38914
education and professional training to employees of county boards 38915
of mental retardation and developmental disabilities for the 38916
purpose of section 5126.25 of the Revised Code and other providers 38917
of services to individuals with mental retardation or a 38918
developmental disability. If the money credited to the fund is 38919
inadequate to pay all of the department's costs in performing 38920
those duties and providing the continuing education and 38921
professional training, the department may use other available 38922
funds appropriated to the department to pay the remaining costs of 38923
performing those duties and providing the continuing education and 38924
professional training.38925

       Sec. 5123.043.  (A) The director of mental retardation and38926
developmental disabilities shall adopt rules establishing38927
procedures for administrative resolution of complaints filed under38928
division (B) of this section and section 5126.06 of the Revised38929
Code. The rules shall be adopted in accordance with Chapter 119.38930
of the Revised Code.38931

       (B) Except as provided in division (C) of this section, any38932
person or county board of mental retardation and developmental38933
disabilities that has a complaint involving any of the programs,38934
services, policies, or administrative practices of the department38935
of mental retardation and developmental disabilities or any of the38936
entities under contract with the department, may file a complaint38937
with the department. Prior to commencing a civil action regarding38938
the complaint, a person or county board shall attempt to have the38939
complaint resolved through the administrative resolution process38940
established in the rules adopted under this section. After38941
exhausting the administrative resolution process, the person or38942
county board may commence a civil action if the complaint is not38943
settled to the person's or county board's satisfaction.38944

       (C) An employee of the department may not file under this38945
section a complaint related to the terms and conditions of38946
employment for the employee.38947

       (D) This section does not apply to a conflict between a38948
county board of mental retardation and developmental disabilities38949
and a person or government entity that provides or seeks to38950
provide services to an individual with mental retardation or other38951
developmental disability. Section 5126.036 of the Revised Code38952
applies to such a conflict.38953

       Sec. 5123.045.  No person or government entity shall receive 38954
payment for providing home and community-based services unless the 38955
person or government entity is one of the following:38956

       (A) Certified under section 5123.165123.161 of the Revised 38957
Code;38958

       (B) Licensed as a residential facility under section 5123.1938959
of the Revised Code. 38960

       Sec. 5123.0414. (A) When the director of mental retardation 38961
and developmental disabilities, under section 119.07 of the 38962
Revised Code, sends a party a notice by registered mail, return 38963
receipt requested, that the director intends to take action 38964
against the party authorized by section 5123.082, 5123.166, 38965
5123.168, 5123.19, 5123.45, 5123.51, or 5126.25 of the Revised 38966
Code and the notice is returned to the director with an 38967
endorsement indicating that the notice was refused or unclaimed, 38968
the director shall resend the notice by ordinary mail to the 38969
party.38970

        (B) If the original notice was refused, the notice shall be 38971
deemed received as of the date the director resends the notice.38972

        (C) If the original notice was unclaimed, the notice shall be 38973
deemed received as of the date the director resends the notice 38974
unless, not later than thirty days after the date the director 38975
sent the original notice, the resent notice is returned to the 38976
director for failure of delivery.38977

       If the notice concerns taking action under section 5123.51 of 38978
the Revised Code and the resent notice is returned to the director 38979
for failure of delivery not later than thirty days after the date 38980
the director sent the original notice, the director shall cause 38981
the notice to be published in a newspaper of general circulation 38982
in the county of the party's last known residence or business and 38983
shall mail a dated copy of the published notice to the party at 38984
the last known address. The notice shall be deemed received as of 38985
the date of the publication.38986

        If the notice concerns taking action under section 5123.082, 38987
5123.166, 5123.168, 5123.19, 5123.45, or 5126.25 of the Revised 38988
Code and the resent notice is returned to the director for failure 38989
of delivery not later than thirty days after the date the director 38990
sent the original notice, the director shall resend the notice to 38991
the party a second time. The notice shall be deemed received as of 38992
the date the director resends the notice the second time.38993

       Sec. 5123.0415. As used in this section, "license" means a 38994
license, certificate, or evidence of registration.38995

       Each person and government entity that applies for or holds a 38996
valid license issued under section 5123.082, 5123.161, 5123.19, 38997
5123.45, 5126.25, or 5126.252 of the Revised Code shall notify the 38998
director of mental retardation and developmental disabilities of 38999
any change in the person or government entity's address.39000

       Sec. 5123.051.  (A) If the department of mental retardation 39001
and developmental disabilities determines pursuant to an audit 39002
conducted under section 5123.05 of the Revised Code or a 39003
reconciliation conducted under section 5123.18 or 5123.199 of the 39004
Revised Code that money is owed the state by a provider of a39005
service or program, the department may enter into a payment 39006
agreement with the provider. The agreement shall include the 39007
following:39008

       (1) A schedule of installment payments whereby the money owed 39009
the state is to be paid in full within a period not to exceed one 39010
year;39011

       (2) A provision that the provider may pay the entire balance 39012
owed at any time during the term of the agreement;39013

       (3) A provision that if any installment is not paid in full 39014
within forty-five days after it is due, the entire balance owed is 39015
immediately due and payable;39016

       (4) Any other terms and conditions that are agreed to by the 39017
department and the provider.39018

       (B) The department may include a provision in a payment 39019
agreement that requires the provider to pay interest on the money 39020
owed the state. The department, in its discretion, shall determine 39021
whether to require the payment of interest and, if it so requires, 39022
the rate of interest. Neither the obligation to pay interest nor 39023
the rate of interest is subject to negotiation between the 39024
department and the provider.39025

       (C) If the provider fails to pay any installment in full 39026
within forty-five days after its due date, the department shall 39027
certify the entire balance owed to the attorney general for 39028
collection under section 131.02 of the Revised Code. The 39029
department may withhold funds from payments made to a provider 39030
under section 5123.18 or 5123.199 of the Revised Code to satisfy a39031
judgment secured by the attorney general.39032

       (D) The purchase of service fund is hereby created. Money 39033
credited to the fund shall be used solely for purposes of section 39034
5123.05 of the Revised Code.39035

       Sec. 5123.16.  (A) As used in sections 5123.16 to 5123.169 of 39036
the Revised Code:39037

       (1) "Provider" means a person or government entity certified 39038
by the director of mental retardation and developmental 39039
disabilities to provide supported living.39040

       (2) "Related party" means any of the following:39041

       (a) In the case of a provider who is an individual, any of 39042
the following:39043

       (i) The spouse of the provider;39044

       (ii) A parent or stepparent of the provider or provider's 39045
spouse;39046

       (iii) A child of the provider or provider's spouse;39047

       (iv) A sibling, half sibling, or stepsibling of the provider 39048
or provider's spouse;39049

       (v) A grandparent of the provider or provider's spouse;39050

       (vi) A grandchild of the provider or provider's spouse;39051

       (vii) An employee or employer of the provider or provider's 39052
spouse.39053

       (b) In the case of a provider that is a person other than an 39054
individual, any of the following:39055

       (i) An employee of the person;39056

       (ii) An officer of the provider, including the chief 39057
executive officer, president, vice-president, secretary, and 39058
treasurer;39059

       (iii) A member of the provider's board of directors or 39060
trustees;39061

       (iv) A person owning a financial interest of five per cent or 39062
more in the provider;39063

       (v) A corporation that has a subsidiary relationship with the 39064
provider;39065

       (vi) A person or government entity that has control over the 39066
provider's day-to-day operation;39067

       (vii) A person over which the provider has control of the 39068
day-to-day operation.39069

       (c) In the case of a provider that is a government entity, 39070
any of the following:39071

       (i) An employee of the provider;39072

       (ii) An officer of the provider;39073

       (iii) A member of the provider's governing board;39074

       (iv) A government entity that has control over the provider's 39075
day-to-day operation;39076

       (v) A person or government entity over which the provider has 39077
control of the day-to-day operation.39078

       (B) No person or government entity may provide supported 39079
living without a valid supported living certificate issued by the 39080
director of mental retardation and developmental disabilities.39081

       (C) A county board of mental retardation and developmental 39082
disabilities may provide supported living only to the extent 39083
permitted by rules adopted under section 5123.169 of the Revised 39084
Code.39085

       Sec. 5123.161.  A person or government entity that seeks to 39086
provide supported living shall apply to the director of mental 39087
retardation and developmental disabilities for a supported living 39088
certificate.39089

        Except as provided in section 5123.166 of the Revised Code, 39090
the director shall issue the applicant a supported living 39091
certificate if the applicant follows the application process 39092
established in rules adopted under section 5123.169 of the Revised 39093
Code, meets the applicable certification standards established in 39094
those rules, and pays the certification fee established in those 39095
rules.39096

       Sec. 5123.162.  The director of mental retardation and 39097
developmental disabilities may conduct surveys of persons and 39098
government entities that seek a supported living certificate to 39099
determine whether the persons and government entities meet the 39100
certification standards. The director may also conduct surveys of 39101
providers to determine whether the providers continue to meet the 39102
certification standards. The director shall conduct the surveys in 39103
accordance with rules adopted under section 5123.169 of the 39104
Revised Code.39105

       The records of surveys conducted under this section are 39106
public records for the purpose of section 149.43 of the Revised 39107
Code and shall be made available on the request of any person or 39108
government entity.39109

       Sec. 5123.163.  A supported living certificate is valid for a 39110
period of time established in rules adopted under section 5123.169 39111
of the Revised Code, unless any of the following occur before the 39112
end of that period of time:39113

        (A) The director of mental retardation and developmental 39114
disabilities issues an order requiring that action be taken 39115
against the certificate holder under section 5123.166 of the 39116
Revised Code.39117

        (B) The director issues an order terminating the certificate 39118
under section 5123.168 of the Revised Code.39119

        (C) The certificate holder voluntarily surrenders the 39120
certificate to the director.39121

       Sec. 5123.164. Except as provided in section 5123.166 of the 39122
Revised Code, the director of mental retardation and developmental 39123
disabilities shall renew a supported living certificate if the 39124
certificate holder follows the renewal process established in 39125
rules adopted under section 5123.169 of the Revised Code, 39126
continues to meet the applicable certification standards 39127
established in those rules, and pays the renewal fee established 39128
in those rules.39129

       Sec. 5123.165.  (A) Except as provided in division (B) of 39130
this section, no person or government entity may provide supported 39131
living to an individual with mental retardation or a developmental 39132
disability if the person or government entity or a related party 39133
of the person or government entity also provides the individual a 39134
residence.39135

       (B) A person may provide supported living to an individual 39136
with mental retardation or a developmental disability even though 39137
the person or a related party of the person also provides the 39138
individual a residence if either of the following apply:39139

       (1) The person also resides in the residence with the 39140
individual and does not provide at any one time supported living 39141
to more than a total of three individuals with mental retardation 39142
or a developmental disability who reside in that residence;39143

       (2) The person is an association of family members related to 39144
two or more of the individuals with mental retardation or a 39145
developmental disability who reside in the residence and does not 39146
provide at any one time supported living to more than a total of 39147
four individuals with mental retardation or a developmental 39148
disability who reside in that residence.39149

       Sec. 5123.166.  (A) If good cause exists as specified in 39150
division (B) of this section and determined in accordance with 39151
procedures established in rules adopted under section 5123.169 of 39152
the Revised Code, the director of mental retardation and 39153
developmental disabilities may issue an adjudication order 39154
requiring that one of the following actions be taken against a 39155
person or government entity seeking or holding a supported living 39156
certificate:39157

       (1) Refusal to issue or renew a supported living certificate;39158

       (2) Revocation of a supported living certificate;39159

       (3) Suspension of a supported living certificate holder's 39160
authority to do either or both of the following:39161

        (a) Continue to provide supported living to one or more 39162
individuals from one or more counties who receive supported living 39163
from the certificate holder at the time the director takes the 39164
action;39165

        (b) Begin to provide supported living to one or more 39166
individuals from one or more counties who do not receive supported 39167
living from the certificate holder at the time the director takes 39168
the action.39169

       (B) The following constitute good cause for taking action 39170
under division (A) of this section against a person or government 39171
entity seeking or holding a supported living certificate:39172

       (1) The person or government entity's failure to meet or 39173
continue to meet the applicable certification standards 39174
established in rules adopted under section 5123.169 of the Revised 39175
Code;39176

       (2) The person or government entity violates section 5123.165 39177
of the Revised Code;39178

       (3) The person or government entity's failure to satisfy the 39179
requirements of section 5123.52, 5126.28, or 5126.281 of the 39180
Revised Code;39181

       (4) Misfeasance;39182

       (5) Malfeasance;39183

       (6) Nonfeasance;39184

       (7) Confirmed abuse or neglect;39185

       (8) Financial irresponsibility;39186

       (9) Other conduct the director determines is or would be 39187
injurious to individuals who receive or would receive supported 39188
living from the person or government entity.39189

       (C) Except as provided in division (D) of this section, the 39190
director shall issue an adjudication order under division (A) of 39191
this section in accordance with Chapter 119. of the Revised Code.39192

       (D)(1) The director may issue an order requiring that action 39193
specified in division (A)(3) of this section be taken before a 39194
provider is provided notice and an opportunity for a hearing if 39195
all of the following are the case:39196

       (a) The director determines such action is warranted by the 39197
provider's failure to continue to meet the applicable 39198
certification standards;39199

       (b) The director determines that the failure either 39200
represents a pattern of serious noncompliance or creates a 39201
substantial risk to the health or safety of an individual who 39202
receives or would receive supported living from the provider;39203

        (c) If the order will suspend the provider's authority to 39204
continue to provide supported living to an individual who receives 39205
supported living from the provider at the time the director issues 39206
the order, both of the following are the case:39207

        (i) The director makes the individual, or the individual's 39208
guardian, aware of the director's determination under division 39209
(D)(1)(b) of this section and the individual or guardian does not 39210
select another provider.39211

        (ii) A county board of mental retardation and developmental 39212
disabilities has filed a complaint with a probate court under 39213
section 5123.33 of the Revised Code that includes facts describing 39214
the nature of abuse or neglect that the individual has suffered 39215
due to the provider's actions that are the basis for the director 39216
making the determination under division (D)(1)(b) of this section 39217
and the probate court does not issue an order authorizing the 39218
county board to arrange services for the individual pursuant to an 39219
individualized service plan developed for the individual under 39220
section 5123.31 of the Revised Code.39221

       (2) If the director issues an order under division (D)(1) of 39222
this section, sections 119.091 to 119.13 of the Revised Code and 39223
all of the following apply:39224

       (a) The director shall send the provider notice of the order 39225
by registered mail, return receipt requested, not later than 39226
twenty-four hours after issuing the order and shall include in the 39227
notice the reasons for the order, the citation to the law or rule 39228
directly involved, and a statement that the provider will be 39229
afforded a hearing if the provider requests it within ten days of 39230
the time of receiving the notice.39231

       (b) If the provider requests a hearing within the required 39232
time and the provider has provided the director the provider's 39233
current address, the director shall immediately set, and notify 39234
the provider of, the date, time, and place for the hearing.39235

       (c) The date of the hearing shall be not later than thirty 39236
days after the director receives the provider's timely request for 39237
the hearing.39238

       (d) The hearing shall be conducted in accordance with section 39239
119.09 of the Revised Code, except for all of the following:39240

       (i) The hearing shall continue uninterrupted until its close, 39241
except for weekends, legal holidays, and other interruptions the 39242
provider and director agree to.39243

       (ii) If the director appoints a referee or examiner to 39244
conduct the hearing, the referee or examiner, not later than ten 39245
days after the date the referee or examiner receives a transcript 39246
of the testimony and evidence presented at the hearing or, if the 39247
referee or examiner does not receive the transcript or no such 39248
transcript is made, the date that the referee or examiner closes 39249
the record of the hearing, shall submit to the director a written 39250
report setting forth the referee or examiner's findings of fact 39251
and conclusions of law and a recommendation of the action the 39252
director should take.39253

       (iii) The provider may, not later than five days after the 39254
date the director, in accordance with section 119.09 of the 39255
Revised Code, sends the provider or the provider's attorney or 39256
other representative of record a copy of the referee or examiner's 39257
report and recommendation, file with the director written 39258
objections to the report and recommendation.39259

       (iv) The director shall approve, modify, or disapprove the 39260
referee or examiner's report and recommendation not earlier than 39261
six days, and not later than fifteen days, after the date the 39262
director, in accordance with section 119.09 of the Revised Code, 39263
sends a copy of the report and recommendation to the provider or 39264
the provider's attorney or other representative of record.39265

       (3) The director may lift an order issued under division 39266
(D)(1) of this section even though a hearing regarding the order 39267
is occurring or pending if the director determines that the 39268
provider has taken action eliminating the good cause for issuing 39269
the order. The hearing shall proceed unless the provider withdraws 39270
the request for the hearing in a written letter to the director.39271

       (4) The director shall lift an order issued under division 39272
(D)(1) of this section if both of the following are the case:39273

        (a) The provider provides the director a plan of compliance 39274
the director determines is acceptable.39275

        (b) The director determines that the provider has implemented 39276
the plan of compliance correctly.39277

       Sec. 5123.167.  If the director of mental retardation and 39278
developmental disabilities issues an adjudication order under 39279
section 5123.166 of the Revised Code refusing to issue a supported 39280
living certificate to a person or government entity or to renew a 39281
person or government entity's supported living certificate, 39282
neither the person or government entity nor a related party of the 39283
person or government entity may apply for another supported living 39284
certificate earlier than the date that is one year after the date 39285
the order is issued. If the director issues an adjudication order 39286
under that section revoking a person or government entity's 39287
supported living certificate, neither the person or government 39288
entity nor a related party of the person or government entity may 39289
apply for another supported living certificate earlier than the 39290
date that is five years after the date the order is issued.39291

       Sec. 5123.168. The director of mental retardation and 39292
developmental disabilities may issue an adjudication order in 39293
accordance with Chapter 119. of the Revised Code to terminate a 39294
supported living certificate if the certificate holder has not 39295
billed for supported living for twelve consecutive months.39296

       Sec. 5123.169.  The director of mental retardation and 39297
developmental disabilities shall adopt rules under Chapter 119. of 39298
the Revised Code establishing all of the following:39299

       (A) The extent to which a county board of mental retardation 39300
and developmental disabilities may provide supported living;39301

       (B) The application process for obtaining a supported living 39302
certificate under section 5123.161 of the Revised Code;39303

       (C) The certification standards a person or government entity 39304
must meet to obtain a supported living certificate to provide 39305
supported living;39306

       (D) The certification fee for a supported living certificate, 39307
which shall be deposited into the program fee fund created under 39308
section 5123.033 of the Revised Code;39309

       (E) The period of time a supported living certificate is 39310
valid;39311

       (F) The process for renewing a supported living certificate 39312
under section 5123.164 of the Revised Code;39313

       (G) The renewal fee for a supported living certificate, which 39314
shall be deposited into the program fee fund created under section 39315
5123.033 of the Revised Code;39316

       (H) Procedures for conducting surveys under section 5123.162 39317
of the Revised Code;39318

       (I) Procedures for determining whether there is good cause to 39319
take action under section 5123.166 of the Revised Code against a 39320
person or government entity seeking or holding a supported living 39321
certificate.39322

       Sec. 5123.19.  (A) As used in this section and in sections39323
5123.191, 5123.194, 5123.196, 5123.198, and 5123.20 of the Revised 39324
Code:39325

       (1)(a) "Residential facility" means a home or facility in39326
which a mentally retarded or developmentally disabled person39327
resides, except the home of a relative or legal guardian in which39328
a mentally retarded or developmentally disabled person resides, a39329
respite care home certified under section 5126.05 of the Revised39330
Code, a county home or district home operated pursuant to Chapter39331
5155. of the Revised Code, or a dwelling in which the only39332
mentally retarded or developmentally disabled residents are in an39333
independent living arrangement or are being provided supported39334
living.39335

        (b) "Intermediate care facility for the mentally retarded" 39336
means a residential facility that is considered an intermediate 39337
care facility for the mentally retarded for the purposes of 39338
Chapter 5111. of the Revised Code.39339

       (2) "Political subdivision" means a municipal corporation,39340
county, or township.39341

       (3) "Independent living arrangement" means an arrangement in39342
which a mentally retarded or developmentally disabled person39343
resides in an individualized setting chosen by the person or the39344
person's guardian, which is not dedicated principally to the39345
provision of residential services for mentally retarded or39346
developmentally disabled persons, and for which no financial39347
support is received for rendering such service from any39348
governmental agency by a provider of residential services.39349

       (4) "Supported living" has the same meaning as in section39350
5126.01 of the Revised Code.39351

       (5) "Licensee" means the person or government agency that has 39352
applied for a license to operate a residential facility and to39353
which the license was issued under this section.39354

       (5) "Related party" has the same meaning as in section 39355
5123.16 of the Revised Code except that "provider" as used in the 39356
definition of "related party" means a person or government entity 39357
that held or applied for a license to operate a residential 39358
facility, rather than a person or government entity certified to 39359
provide supported living.39360

       (B) Every person or government agency desiring to operate a39361
residential facility shall apply for licensure of the facility to39362
the director of mental retardation and developmental disabilities39363
unless the residential facility is subject to section 3721.02,39364
3722.04, 5103.03, or 5119.20 of the Revised Code. Notwithstanding39365
Chapter 3721. of the Revised Code, a nursing home that is39366
certified as an intermediate care facility for the mentally39367
retarded under Title XIX of the "Social Security Act," 79 Stat. 39368
286 (1965), 42 U.S.C.A. 1396, as amended, shall apply for 39369
licensure of the portion of the home that is certified as an39370
intermediate care facility for the mentally retarded.39371

       (C) Subject to section 5123.196 of the Revised Code, the 39372
director of mental retardation and developmental disabilities 39373
shall license the operation of residential facilities. An initial 39374
license shall be issued for a period that does not exceed one 39375
year, unless the director denies the license under division (D) of 39376
this section. A license shall be renewed for a period that does 39377
not exceed three years, unless the director refuses to renew the 39378
license under division (D) of this section. The director, when39379
issuing or renewing a license, shall specify the period for which39380
the license is being issued or renewed. A license remains valid39381
for the length of the licensing period specified by the director,39382
unless the license is terminated, revoked, or voluntarily39383
surrendered.39384

       (D) If it is determined that an applicant or licensee is not 39385
in compliance with a provision of this chapter that applies to39386
residential facilities or the rules adopted under such a39387
provision, the director may deny issuance of a license, refuse to39388
renew a license, terminate a license, revoke a license, issue an39389
order for the suspension of admissions to a facility, issue an39390
order for the placement of a monitor at a facility, issue an order39391
for the immediate removal of residents, or take any other action39392
the director considers necessary consistent with the director's39393
authority under this chapter regarding residential facilities. In39394
the director's selection and administration of the sanction to be39395
imposed, all of the following apply:39396

       (1) The director may deny, refuse to renew, or revoke a39397
license, if the director determines that the applicant or licensee39398
has demonstrated a pattern of serious noncompliance or that a39399
violation creates a substantial risk to the health and safety of39400
residents of a residential facility.39401

       (2) The director may terminate a license if more than twelve39402
consecutive months have elapsed since the residential facility was39403
last occupied by a resident or a notice required by division 39404
(J)(K) of this section is not given.39405

       (3) The director may issue an order for the suspension of39406
admissions to a facility for any violation that may result in39407
sanctions under division (D)(1) of this section and for any other39408
violation specified in rules adopted under division (G)(H)(2) of 39409
this section. If the suspension of admissions is imposed for a39410
violation that may result in sanctions under division (D)(1) of39411
this section, the director may impose the suspension before39412
providing an opportunity for an adjudication under Chapter 119. of39413
the Revised Code. The director shall lift an order for the39414
suspension of admissions when the director determines that the39415
violation that formed the basis for the order has been corrected.39416

       (4) The director may order the placement of a monitor at a39417
residential facility for any violation specified in rules adopted39418
under division (G)(H)(2) of this section. The director shall lift39419
the order when the director determines that the violation that39420
formed the basis for the order has been corrected.39421

       (5) If the director determines that two or more residential39422
facilities owned or operated by the same person or government39423
entity are not being operated in compliance with a provision of39424
this chapter that applies to residential facilities or the rules39425
adopted under such a provision, and the director's findings are39426
based on the same or a substantially similar action, practice,39427
circumstance, or incident that creates a substantial risk to the39428
health and safety of the residents, the director shall conduct a39429
survey as soon as practicable at each residential facility owned39430
or operated by that person or government entity. The director may39431
take any action authorized by this section with respect to any39432
facility found to be operating in violation of a provision of this39433
chapter that applies to residential facilities or the rules39434
adopted under such a provision.39435

       (6) When the director initiates license revocation39436
proceedings, no opportunity for submitting a plan of correction39437
shall be given. The director shall notify the licensee by letter39438
of the initiation of the proceedings. The letter shall list the39439
deficiencies of the residential facility and inform the licensee39440
that no plan of correction will be accepted. The director shall39441
also notify each affected resident, the resident's guardian if the39442
resident is an adult for whom a guardian has been appointed, the39443
resident's parent or guardian if the resident is a minor, and the39444
county board of mental retardation and developmental disabilities39445
send a copy of the letter to the county board of mental 39446
retardation and developmental disabilities. The county board shall 39447
send a copy of the letter to each of the following:39448

        (a) Each resident who receives services from the licensee;39449

        (b) The guardian of each resident who receives services from 39450
the licensee if the resident has a guardian;39451

        (c) The parent or guardian of each resident who receives 39452
services from the licensee if the resident is a minor.39453

       (7) Pursuant to rules which shall be adopted in accordance39454
with Chapter 119. of the Revised Code, the director may order the39455
immediate removal of residents from a residential facility39456
whenever conditions at the facility present an immediate danger of39457
physical or psychological harm to the residents.39458

       (8) In determining whether a residential facility is being39459
operated in compliance with a provision of this chapter that39460
applies to residential facilities or the rules adopted under such39461
a provision, or whether conditions at a residential facility39462
present an immediate danger of physical or psychological harm to39463
the residents, the director may rely on information obtained by a39464
county board of mental retardation and developmental disabilities39465
or other governmental agencies.39466

       (9) In proceedings initiated to deny, refuse to renew, or39467
revoke licenses, the director may deny, refuse to renew, or revoke39468
a license regardless of whether some or all of the deficiencies39469
that prompted the proceedings have been corrected at the time of39470
the hearing.39471

       (E) The director shall establish a program under which public 39472
notification may be made when the director has initiated license 39473
revocation proceedings or has issued an order for the suspension 39474
of admissions, placement of a monitor, or removal of residents. 39475
The director shall adopt rules in accordance with Chapter 119. of 39476
the Revised Code to implement this division. The rules shall 39477
establish the procedures by which the public notification will be 39478
made and specify the circumstances for which the notification must 39479
be made. The rules shall require that public notification be made 39480
if the director has taken action against the facility in the 39481
eighteen-month period immediately preceding the director's latest 39482
action against the facility and the latest action is being taken 39483
for the same or a substantially similar violation of a provision 39484
of this chapter that applies to residential facilities or the 39485
rules adopted under such a provision. The rules shall specify a 39486
method for removing or amending the public notification if the39487
director's action is found to have been unjustified or the39488
violation at the residential facility has been corrected.39489

       (F)(1) Except as provided in division (F)(2) of this section,39490
appeals from proceedings initiated to impose a sanction under 39491
division (D) of this section shall be conducted in accordance with 39492
Chapter 119. of the Revised Code.39493

       (2) Appeals from proceedings initiated to order the39494
suspension of admissions to a facility shall be conducted in39495
accordance with Chapter 119. of the Revised Code, unless the order39496
was issued before providing an opportunity for an adjudication, in39497
which case all of the following apply:39498

       (a) The licensee may request a hearing not later than ten39499
days after receiving the notice specified in section 119.07 of the39500
Revised Code.39501

       (b) If a timely request for a hearing that includes the 39502
licensee's current address is made, the hearing shall commence not 39503
later than thirty days after the department receives the request.39504

       (c) After commencing, the hearing shall continue39505
uninterrupted, except for Saturdays, Sundays, and legal holidays,39506
unless other interruptions are agreed to by the licensee and the39507
director.39508

       (d) If the hearing is conducted by a hearing examiner, the39509
hearing examiner shall file a report and recommendations not later39510
than ten days after the last of the following:39511

       (i) The close of the hearing;39512

       (ii) If a transcript of the proceedings is ordered, the 39513
hearing examiner receives the transcript;39514

        (iii) If post-hearing briefs are timely filed, the hearing 39515
examiner receives the briefs.39516

       (e) A copy of the written report and recommendation of the 39517
hearing examiner shall be sent, by certified mail, to the licensee 39518
and the licensee's attorney, if applicable, not later than five 39519
days after the report is filed.39520

        (f) Not later than five days after the hearing examiner files 39521
the report and recommendations, the licensee may file objections 39522
to the report and recommendations.39523

       (f)(g) Not later than fifteen days after the hearing examiner39524
files the report and recommendations, the director shall issue an39525
order approving, modifying, or disapproving the report and39526
recommendations.39527

       (g)(h) Notwithstanding the pendency of the hearing, the39528
director shall lift the order for the suspension of admissions39529
when the director determines that the violation that formed the39530
basis for the order has been corrected.39531

       (G) Neither a person or government agency whose application 39532
for a license to operate a residential facility is denied nor a 39533
related party of the person or government agency may apply for a 39534
license to operate a residential facility before the date that is 39535
one year after the date of the denial. Neither a licensee whose 39536
residential facility license is revoked nor a related party of the 39537
licensee may apply for a residential facility license before the 39538
date that is five years after the date of the revocation.39539

        (H) In accordance with Chapter 119. of the Revised Code, the39540
director shall adopt and may amend and rescind rules for licensing39541
and regulating the operation of residential facilities, including 39542
intermediate care facilities for the mentally retarded. The rules 39543
for intermediate care facilities for the mentally retarded may 39544
differ from those for other residential facilities. The rules39545
shall establish and specify the following:39546

       (1) Procedures and criteria for issuing and renewing39547
licenses, including procedures and criteria for determining the39548
length of the licensing period that the director must specify for39549
each license when it is issued or renewed;39550

       (2) Procedures and criteria for denying, refusing to renew,39551
terminating, and revoking licenses and for ordering the suspension39552
of admissions to a facility, placement of a monitor at a facility,39553
and the immediate removal of residents from a facility;39554

       (3) Fees for issuing and renewing licenses, which shall be 39555
deposited into the program fee fund created under section 5123.033 39556
of the Revised Code;39557

       (4) Procedures for surveying residential facilities;39558

       (5) Requirements for the training of residential facility39559
personnel;39560

       (6) Classifications for the various types of residential39561
facilities;39562

       (7) Certification procedures for licensees and management39563
contractors that the director determines are necessary to ensure39564
that they have the skills and qualifications to properly operate39565
or manage residential facilities;39566

       (8) The maximum number of persons who may be served in a39567
particular type of residential facility;39568

       (9) Uniform procedures for admission of persons to and39569
transfers and discharges of persons from residential facilities;39570

       (10) Other standards for the operation of residential39571
facilities and the services provided at residential facilities;39572

       (11) Procedures for waiving any provision of any rule adopted 39573
under this section.39574

       (H)(I) Before issuing a license, the director of the39575
department or the director's designee shall conduct a survey of39576
the residential facility for which application is made. The39577
director or the director's designee shall conduct a survey of each 39578
licensed residential facility at least once during the period the 39579
license is valid and may conduct additional inspections as needed. 39580
A survey includes but is not limited to an on-site examination and39581
evaluation of the residential facility, its personnel, and the39582
services provided there.39583

       In conducting surveys, the director or the director's39584
designee shall be given access to the residential facility; all 39585
records, accounts, and any other documents related to the 39586
operation of the facility; the licensee; the residents of the 39587
facility; and all persons acting on behalf of, under the control 39588
of, or in connection with the licensee. The licensee and all 39589
persons on behalf of, under the control of, or in connection with 39590
the licensee shall cooperate with the director or the director's39591
designee in conducting the survey.39592

       Following each survey, unless the director initiates a 39593
license revocation proceeding, the director or the director's 39594
designee shall provide the licensee with a report listing any 39595
deficiencies, specifying a timetable within which the licensee 39596
shall submit a plan of correction describing how the deficiencies 39597
will be corrected, and, when appropriate, specifying a timetable 39598
within which the licensee must correct the deficiencies. After a 39599
plan of correction is submitted, the director or the director's39600
designee shall approve or disapprove the plan. A copy of the 39601
report and any approved plan of correction shall be provided to 39602
any person who requests it.39603

       The director shall initiate disciplinary action against any39604
department employee who notifies or causes the notification to any39605
unauthorized person of an unannounced survey of a residential 39606
facility by an authorized representative of the department.39607

       (I)(J) In addition to any other information which may be39608
required of applicants for a license pursuant to this section, the39609
director shall require each applicant to provide a copy of an39610
approved plan for a proposed residential facility pursuant to39611
section 5123.042 of the Revised Code. This division does not apply39612
to renewal of a license.39613

       (J)(K) A licensee shall notify the owner of the building in39614
which the licensee's residential facility is located of any39615
significant change in the identity of the licensee or management39616
contractor before the effective date of the change if the licensee39617
is not the owner of the building.39618

       Pursuant to rules which shall be adopted in accordance with39619
Chapter 119. of the Revised Code, the director may require39620
notification to the department of any significant change in the39621
ownership of a residential facility or in the identity of the39622
licensee or management contractor. If the director determines that 39623
a significant change of ownership is proposed, the director shall39624
consider the proposed change to be an application for development39625
by a new operator pursuant to section 5123.042 of the Revised Code39626
and shall advise the applicant within sixty days of the39627
notification that the current license shall continue in effect or39628
a new license will be required pursuant to this section. If the39629
director requires a new license, the director shall permit the39630
facility to continue to operate under the current license until39631
the new license is issued, unless the current license is revoked,39632
refused to be renewed, or terminated in accordance with Chapter39633
119. of the Revised Code.39634

       (K)(L) A county board of mental retardation and developmental39635
disabilities, the legal rights service, and any interested person39636
may file complaints alleging violations of statute or department39637
rule relating to residential facilities with the department. All39638
complaints shall be in writing and shall state the facts39639
constituting the basis of the allegation. The department shall not 39640
reveal the source of any complaint unless the complainant agrees 39641
in writing to waive the right to confidentiality or until so 39642
ordered by a court of competent jurisdiction.39643

       The department shall adopt rules in accordance with Chapter 39644
119. of the Revised Code establishing procedures for the receipt, 39645
referral, investigation, and disposition of complaints filed with 39646
the department under this division.39647

       (L)(M) The department shall establish procedures for the39648
notification of interested parties of the transfer or interim care39649
of residents from residential facilities that are closing or are39650
losing their license.39651

       (M)(N) Before issuing a license under this section to a39652
residential facility that will accommodate at any time more than39653
one mentally retarded or developmentally disabled individual, the39654
director shall, by first class mail, notify the following:39655

       (1) If the facility will be located in a municipal39656
corporation, the clerk of the legislative authority of the39657
municipal corporation;39658

       (2) If the facility will be located in unincorporated39659
territory, the clerk of the appropriate board of county39660
commissioners and the fiscal officer of the appropriate board of 39661
township trustees.39662

       The director shall not issue the license for ten days after39663
mailing the notice, excluding Saturdays, Sundays, and legal39664
holidays, in order to give the notified local officials time in39665
which to comment on the proposed issuance.39666

       Any legislative authority of a municipal corporation, board39667
of county commissioners, or board of township trustees that39668
receives notice under this division of the proposed issuance of a39669
license for a residential facility may comment on it in writing to39670
the director within ten days after the director mailed the notice,39671
excluding Saturdays, Sundays, and legal holidays. If the director39672
receives written comments from any notified officials within the39673
specified time, the director shall make written findings39674
concerning the comments and the director's decision on the39675
issuance of the license. If the director does not receive written39676
comments from any notified local officials within the specified39677
time, the director shall continue the process for issuance of the39678
license.39679

       (N)(O) Any person may operate a licensed residential facility39680
that provides room and board, personal care, habilitation39681
services, and supervision in a family setting for at least six but39682
not more than eight persons with mental retardation or a39683
developmental disability as a permitted use in any residential39684
district or zone, including any single-family residential district39685
or zone, of any political subdivision. These residential39686
facilities may be required to comply with area, height, yard, and39687
architectural compatibility requirements that are uniformly39688
imposed upon all single-family residences within the district or39689
zone.39690

       (O)(P) Any person may operate a licensed residential facility 39691
that provides room and board, personal care, habilitation39692
services, and supervision in a family setting for at least nine39693
but not more than sixteen persons with mental retardation or a39694
developmental disability as a permitted use in any multiple-family39695
residential district or zone of any political subdivision, except39696
that a political subdivision that has enacted a zoning ordinance39697
or resolution establishing planned unit development districts may39698
exclude these residential facilities from those districts, and a39699
political subdivision that has enacted a zoning ordinance or39700
resolution may regulate these residential facilities in39701
multiple-family residential districts or zones as a conditionally39702
permitted use or special exception, in either case, under39703
reasonable and specific standards and conditions set out in the39704
zoning ordinance or resolution to:39705

       (1) Require the architectural design and site layout of the39706
residential facility and the location, nature, and height of any39707
walls, screens, and fences to be compatible with adjoining land39708
uses and the residential character of the neighborhood;39709

       (2) Require compliance with yard, parking, and sign39710
regulation;39711

       (3) Limit excessive concentration of these residential39712
facilities.39713

       (P)(Q) This section does not prohibit a political subdivision39714
from applying to residential facilities nondiscriminatory39715
regulations requiring compliance with health, fire, and safety39716
regulations and building standards and regulations.39717

       (Q)(R) Divisions (N)(O) and (O)(P) of this section are not39718
applicable to municipal corporations that had in effect on June39719
15, 1977, an ordinance specifically permitting in residential39720
zones licensed residential facilities by means of permitted uses,39721
conditional uses, or special exception, so long as such ordinance39722
remains in effect without any substantive modification.39723

       (R)(S)(1) The director may issue an interim license to39724
operate a residential facility to an applicant for a license under39725
this section if either of the following is the case:39726

       (a) The director determines that an emergency exists 39727
requiring immediate placement of persons in a residential39728
facility, that insufficient licensed beds are available, and that 39729
the residential facility is likely to receive a permanent license 39730
under this section within thirty days after issuance of the 39731
interim license.39732

       (b) The director determines that the issuance of an interim39733
license is necessary to meet a temporary need for a residential39734
facility.39735

       (2) To be eligible to receive an interim license, an39736
applicant must meet the same criteria that must be met to receive39737
a permanent license under this section, except for any differing39738
procedures and time frames that may apply to issuance of a39739
permanent license.39740

       (3) An interim license shall be valid for thirty days and may39741
be renewed by the director for a period not to exceed one hundred 39742
fifty days.39743

       (4) The director shall adopt rules in accordance with Chapter 39744
119. of the Revised Code as the director considers necessary to 39745
administer the issuance of interim licenses.39746

       (S)(T) Notwithstanding rules adopted pursuant to this section39747
establishing the maximum number of persons who may be served in a39748
particular type of residential facility, a residential facility39749
shall be permitted to serve the same number of persons being39750
served by the facility on the effective date of the rules or the39751
number of persons for which the facility is authorized pursuant to 39752
a current application for a certificate of need with a letter of 39753
support from the department of mental retardation and39754
developmental disabilities and which is in the review process39755
prior to April 4, 1986.39756

       (T)(U) The director or the director's designee may enter at39757
any time, for purposes of investigation, any home, facility, or39758
other structure that has been reported to the director or that the39759
director has reasonable cause to believe is being operated as a39760
residential facility without a license issued under this section.39761

       The director may petition the court of common pleas of the39762
county in which an unlicensed residential facility is located for39763
an order enjoining the person or governmental agency operating the39764
facility from continuing to operate without a license. The court39765
may grant the injunction on a showing that the person or39766
governmental agency named in the petition is operating a39767
residential facility without a license. The court may grant the39768
injunction, regardless of whether the residential facility meets39769
the requirements for receiving a license under this section.39770

       Sec. 5123.196. (A) Except as provided in division (F) of this 39771
section, the director of mental retardation and developmental 39772
disabilities shall not issue a license under section 5123.19 of 39773
the Revised Code on or after July 1, 2003, if issuance will result 39774
in there being more beds in all residential facilities licensed 39775
under that section than is permitted under division (B) of this 39776
section.39777

       (B) Except as provided in division (D) of this section, the 39778
maximum number of beds for the purpose of division (A) of this 39779
section shall not exceed ten thousand eight hundred thirty-eight 39780
minus, except as provided in division (C) of this section, both of 39781
the following:39782

       (1) The number of such beds that cease to be residential 39783
facility beds on or after July 1, 2003, because a residential 39784
facility license is revoked, terminated, or not renewed for any 39785
reason or is surrendered in accordance with section 5123.19 of the 39786
Revised Code and after the issuance of an adjudication order 39787
pursuant to Chapter 119. of the Revised Code;39788

       (2) The number of such beds for which a licensee voluntarily 39789
converts to use for supported living on or after July 1, 2003.39790

       (C) The director is not required to reduce the maximum number 39791
of beds pursuant to division (B) of this section by a bed that 39792
ceases to be a residential facility bed if the director determines 39793
that the bed is needed to provide services to an individual with 39794
mental retardation or a developmental disability who resided in 39795
the residential facility in which the bed was located unless the 39796
reason the bed ceases to be a residential facility bed is because 39797
it is converted to providing home and community-based services 39798
under the ICF/MR conversion pilot program that is authorized by a 39799
waiver sought under division (B)(1) of section 5111.88 of the 39800
Revised Code.39801

       (D) The director shall increase the number of beds determined 39802
under division (B) of this section if necessary to enable the 39803
operator of a residential facility to do either of the following:39804

       (1) Obtain a residential facility license as required by 39805
section 5111.8814 of the Revised Code;39806

       (2) Reconvert beds to providing ICF/MR services under section 39807
5111.8811 of the Revised Code.39808

       (E) The director shall maintain an up-to-date written record 39809
of the maximum number of residential facility beds provided for by 39810
division (B) of this section.39811

       (F) The director may issue an interim license under division 39812
(R)(S) of section 5123.19 of the Revised Code and issue, pursuant 39813
to rules adopted under division (G)(H)(11) of that section, a 39814
waiver allowing a residential facility to admit more residents 39815
than the facility is licensed to admit regardless of whether the 39816
interim license or waiver will result in there being more beds in 39817
all residential facilities licensed under that section than is 39818
permitted under division (B) of this section.39819

       Sec. 5123.198. (A) As used in this section, "date of the 39820
commitment" means the date that an individual specified in 39821
division (B) of this section begins to reside in a state-operated 39822
intermediate care facility for the mentally retarded after being 39823
committed to the facility pursuant to sections 5123.71 to 5123.76 39824
of the Revised Code.39825

       (B) Except as provided in division (C) of this section, 39826
whenever a resident of a residential facility is committed to a 39827
state-operated intermediate care facility for the mentally 39828
retarded pursuant to sections 5123.71 to 5123.76 of the Revised 39829
Code, the department of mental retardation and developmental 39830
disabilities, pursuant to an adjudication order issued in 39831
accordance with Chapter 119. of the Revised Code, shall reduce by 39832
one the number of residents for which the facility in which the 39833
resident resided is licensed. 39834

       (C) The department shall not reduce under division (B) of 39835
this section the number of residents for which a residential 39836
facility is licensed if any of the following are the case:39837

       (1) The resident of the residential facility who is committed 39838
to a state-operated intermediate care facility for the mentally 39839
retarded resided in the residential facility because of the 39840
closure, on or after the effective date of this sectionJune 26, 39841
2003, of another state-operated intermediate care facility for the 39842
mentally retarded;39843

       (2) The residential facility admits within ninety days of the 39844
date of the commitment an individual who resides on the date of 39845
the commitment in a state-operated intermediate care facility for 39846
the mentally retarded or another residential facility;39847

       (3) The department fails to do either of the following within 39848
ninety days of the date of the commitment:39849

       (a) Identify an individual to whom all of the following 39850
applies:39851

       (i) Resides on the date of the commitment in a state-operated 39852
intermediate care facility for the mentally retarded or another 39853
residential facility;39854

       (ii) Has indicated to the department an interest in 39855
relocating to the residential facility or has a parent or guardian 39856
who has indicated to the department an interest for the individual 39857
to relocate to the residential facility;39858

       (iii) The department determines the individual has needs that 39859
the residential facility can meet.39860

       (b) Provide the residential facility with information about 39861
the individual identified under division (C)(2)(a) of this section 39862
that the residential facility needs in order to determine whether 39863
the facility can meet the individual's needs.39864

       (4) If the department completes the actions specified in 39865
divisions (C)(3)(a) and (b) of this section not later than ninety 39866
days after the date of the commitment and except as provided in 39867
division (D) of this section, the residential facility does all of 39868
the following not later than ninety days after the date of the 39869
commitment:39870

       (a) Evaluates the information provided by the department;39871

       (b) Assesses the identified individual's needs;39872

       (c) Determines that the residential facility cannot meet the 39873
identified individual's needs.39874

       (5) If the department completes the actions specified in 39875
divisions (C)(3)(a) and (b) of this section not later than ninety 39876
days after the date of the commitment and the residential facility 39877
determines that the residential facility can meet the identified 39878
individual's needs, the individual, or a parent or guardian of the 39879
individual, refuses placement in the residential facility.39880

       (D) The department may reduce under division (B) of this 39881
section the number of residents for which a residential facility 39882
is licensed even though the residential facility completes the 39883
actions specified in division (C)(4) of this section not later 39884
than ninety days after the date of the commitment if all of the 39885
following are the case:39886

       (1) The department disagrees with the residential facility's 39887
determination that the residential facility cannot meet the 39888
identified individual's needs.39889

       (2) The department issues a written decision pursuant to the 39890
uniform procedures for admissions, transfers, and discharges 39891
established by rules adopted under division (G)(H)(9) of section 39892
5123.19 of the Revised Code that the residential facility should 39893
admit the identified individual.39894

       (3) After the department issues the written decision 39895
specified in division (D)(2) of this section, the residential 39896
facility refuses to admit the identified individual.39897

       (E) A residential facility that admits, refuses to admit, 39898
transfers, or discharges a resident under this section shall 39899
comply with the uniform procedures for admissions, transfers, and 39900
discharges established by rules adopted under division (G)(H)(9) 39901
of section 5123.19 of the Revised Code.39902

       (F) The department of mental retardation and developmental 39903
disabilities may notify the department of job and family services 39904
of any reduction under this section in the number of residents for 39905
which a residential facility that is an intermediate care facility 39906
for the mentally retarded is licensed. On receiving the notice, 39907
the department of job and family services may transfer to the 39908
department of mental retardation and developmental disabilities 39909
the savings in the nonfederal share of medicaid expenditures for 39910
each fiscal year after the year of the commitment to be used for 39911
costs of the resident's care in the state-operated intermediate 39912
care facility for the mentally retarded. In determining the amount 39913
saved, the department of job and family services shall consider 39914
medicaid payments for the remaining residents of the facility in 39915
which the resident resided.39916

       Sec. 5123.20. As used in this section, "supported living"39917
has the same meaning as in section 5126.01 of the Revised Code.39918

       No person or government agency shall operate a residential39919
facility or receive a mentally retarded or developmentally39920
disabled person as a resident of a residential facility unless the 39921
facility is licensed under section 5123.19 of the Revised Code, 39922
and no person or governmental agency shall operate a respite care 39923
home or receive a mentally retarded or developmentally disabled 39924
person in a respite care home unless the home is certified under 39925
section 5126.05 of the Revised Code.39926

       No person or government agency shall provide supported living 39927
unless that person or government agency is certified under section 39928
5126.431 of the Revised Code.39929

       Sec. 5123.211.  (A) As used in this section, "residential39930
services" and "supported living" havehas the same meanings39931
meaning as in section 5126.01 of the Revised Code.39932

       (B) The department of mental retardation and developmental39933
disabilities shall provide or arrange provision of residential39934
services for each person who, on or after July 1, 1989, ceases to39935
be a resident of a state institution because of closure of the39936
institution or a reduction in the institution's population by39937
forty per cent or more within a period of one year. The services39938
shall be provided in the county in which the person chooses to39939
reside and shall consist of one of the following as determined39940
appropriate by the department in consultation with the county39941
board of mental retardation and developmental disabilities of the39942
county in which the services are to be provided:39943

       (1) Residential services provided pursuant to section 5123.18 39944
of the Revised Code;39945

       (2) Supported living provided pursuant to section 5123.182 of 39946
the Revised Code;39947

       (3) Residential services for which reimbursement is made39948
under the medical assistance program established under section39949
5111.01 of the Revised Code;39950

       (4)(3) Residential services provided in a manner or setting39951
approved by the director of mental retardation and developmental39952
disabilities.39953

       (C) Not less than six months prior to closing a state39954
institution or reducing a state institution's population by forty39955
per cent or more within a period of one year, the department shall 39956
identify those counties in which individuals leaving the39957
institution have chosen to reside and notify the county boards of39958
mental retardation and developmental disabilities in those39959
counties of the need to develop the services specified in division 39960
(B) of this section. The notice shall specify the number of 39961
individuals requiring services who plan to reside in the county 39962
and indicate the amount of funds the department will use to 39963
provide or arrange services for those individuals.39964

       (D) In each county in which one or more persons receive39965
residential services pursuant to division (B) of this section, the 39966
department shall provide or arrange provision of residential39967
services, or shall distribute moneys to the county board of mental 39968
retardation and developmental disabilities to provide or arrange 39969
provision of residential services, for an equal number of persons 39970
with mental retardation or developmental disabilities in that 39971
county who the county board has determined need residential39972
services but are not receiving them.39973

       Sec. 5123.38. (A) Except as provided in division (B) and (C) 39974
of this section, if an individual receiving supported living or 39975
home and community-based services, as defined in section 5126.01 39976
of the Revised Code, funded by a county board of mental 39977
retardation and developmental disabilities is committed to a 39978
state-operated intermediate care facility for the mentally 39979
retarded pursuant to sections 5123.71 to 5123.76 of the Revised 39980
Code, the department of mental retardation and developmental 39981
disabilities shall use the funds otherwise allocated to the county 39982
board as the nonfederal share of medicaid expenditures for the 39983
individual's care in the state-operated facility.39984

       (B) Division (A) of this section does not apply if the county 39985
board, not later than ninety days after the date of the commitment 39986
of a person receiving supported services, commences funding of 39987
supported living for an individual who resides in a state-operated 39988
intermediate care facility for the mentally retarded on the date 39989
of the commitment or another eligible individual designated by the 39990
department.39991

       (C) Division (A) of this section does not apply if the county 39992
board, not later than ninety days after the date of the commitment 39993
of a person receiving home and community-based services, commences 39994
funding of home and community-based services for an individual who 39995
resides in a state-operated intermediate care facility for the 39996
mentally retarded on the date of the commitment or another 39997
eligible individual designated by the department.39998

       Sec. 5123.41.  As used in this section and sections 5123.4239999
to 5123.47 of the Revised Code:40000

       (A) "Adult services" has the same meaning as in section40001
5126.01 of the Revised Code.40002

       (B) "Certified home and community-based services provider"40003
means a person or government entity certified under section 40004
5123.16 of the Revised Code.40005

       (C) "Certified supported living provider" means a person or40006
government entity certified under section 5126.4315123.161 of the 40007
Revised Code.40008

       (D)(C) "Drug" has the same meaning as in section 4729.01 of40009
the Revised Code.40010

       (E)(D) "Family support services" has the same meaning as in40011
section 5126.01 of the Revised Code.40012

       (F)(E) "Health-related activities" means the following:40013

       (1) Taking vital signs;40014

       (2) Application of clean dressings that do not require health40015
assessment;40016

       (3) Basic measurement of bodily intake and output;40017

       (4) Oral suctioning;40018

       (5) Use of glucometers;40019

       (6) External urinary catheter care;40020

       (7) Emptying and replacing colostomy bags;40021

       (8) Collection of specimens by noninvasive means.40022

       (G)(F) "Licensed health professional authorized to prescribe40023
drugs" has the same meaning as in section 4729.01 of the Revised40024
Code.40025

       (H) "Medicaid" has the same meaning as in section 5111.01 of40026
the Revised Code.40027

       (I)(G) "MR/DD personnel" means the employees and the workers40028
under contract who provide specialized services to individuals40029
with mental retardation and developmental disabilities. "MR/DD40030
personnel" includes those who provide the services as follows:40031

       (1) Through direct employment with the department of mental40032
retardation and developmental disabilities or a county board of40033
mental retardation and developmental disabilities;40034

       (2) Through an entity under contract with the department of40035
mental retardation and developmental disabilities or a county40036
board of mental retardation and developmental disabilities;40037

       (3) Through direct employment or by being under contract with 40038
private entities, including private entities that operate40039
residential facilities.40040

       (J)(H) "Nursing delegation" means the process established in40041
rules adopted by the board of nursing pursuant to Chapter 4723. of40042
the Revised Code under which a registered nurse or licensed40043
practical nurse acting at the direction of a registered nurse40044
transfers the performance of a particular nursing activity or task40045
to another person who is not otherwise authorized to perform the40046
activity or task.40047

       (K)(I) "Prescribed medication" means a drug that is to be40048
administered according to the instructions of a licensed health40049
professional authorized to prescribe drugs.40050

       (L)(J) "Residential facility" means a facility licensed under40051
section 5123.19 of the Revised Code or subject to section 5123.19240052
of the Revised Code.40053

       (M)(K) "Specialized services" has the same meaning as in40054
section 5123.50 of the Revised Code.40055

       (N)(L) "Tube feeding" means the provision of nutrition to an40056
individual through a gastrostomy tube or a jejunostomy tube.40057

       Sec. 5123.51.  (A) In addition to any other action required 40058
by sections 5123.61 and 5126.31 of the Revised Code, the40059
department of mental retardation and developmental disabilities 40060
shall review each report the department receives of abuse or 40061
neglect of an individual with mental retardation or a 40062
developmental disability or misappropriation of an individual's 40063
property that includes an allegation that an MR/DD employee 40064
committed or was responsible for the abuse, neglect, or 40065
misappropriation. The department shall review a report it receives 40066
from a public children services agency only after the agency40067
completes its investigation pursuant to section 2151.421 of the40068
Revised Code. On receipt of a notice under section 2930.061 or 40069
5123.541 of the Revised Code, the department shall review the 40070
notice.40071

       (B) The department shall do both of the following:40072

       (1) Investigate the allegation or adopt the findings of an 40073
investigation or review of the allegation conducted by another 40074
person or government entity and determine whether there is a 40075
reasonable basis for the allegation;40076

       (2) If the department determines that there is a reasonable 40077
basis for the allegation, conduct an adjudication pursuant to 40078
Chapter 119. of the Revised Code.40079

       (C)(1) The department shall appoint an independent hearing 40080
officer to conduct any hearing conducted pursuant to division 40081
(B)(2) of this section, except that, if the hearing is regarding 40082
an employee of the department who is represented by a union, the 40083
department and a representative of the union shall jointly select 40084
the hearing officer.40085

       (2)(a) Except as provided in division (C)(2)(b) of this 40086
section, no hearing shall be conducted under division (B)(2) of 40087
this section until any criminal proceeding or collective 40088
bargaining arbitration concerning the same allegation has40089
concluded.40090

       (b) The department may conduct a hearing pursuant to division 40091
(B)(2) of this section before a criminal proceeding concerning the 40092
same allegation is concluded if both of the following are the 40093
case:40094

        (i) The department notifies the prosecutor responsible for 40095
the criminal proceeding that the department proposes to conduct a 40096
hearing.40097

        (ii) The prosecutor consents to the hearing.40098

       (3) In conducting a hearing pursuant to division (B)(2) of 40099
this section, the hearing officer shall do all of the following:40100

       (a) Determine whether there is clear and convincing evidence 40101
that the MR/DD employee has done any of the following:40102

       (i) Misappropriated property of one or more individuals with 40103
mental retardation or a developmental disability that has a value, 40104
either separately or taken together, of one hundred dollars or 40105
more;40106

       (ii) Misappropriated property of an individual with mental 40107
retardation or a developmental disability that is designed to be 40108
used as a check, draft, negotiable instrument, credit card, charge 40109
card, or device for initiating an electronic fund transfer at a 40110
point of sale terminal, automated teller machine, or cash 40111
dispensing machine;40112

       (iii) Knowingly abused such an individual;40113

       (iv) Recklessly abused or neglected such an individual, with40114
resulting physical harm;40115

       (v) Negligently abused or neglected such an individual, with40116
resulting serious physical harm;40117

       (vi) Recklessly neglected such an individual, creating a 40118
substantial risk of serious physical harm;40119

       (vii) Engaged in sexual conduct or had sexual contact with an 40120
individual with mental retardation or another developmental 40121
disability who was not the MR/DD employee's spouse and for whom 40122
the MR/DD employee was employed or under a contract to provide 40123
care;40124

       (viii) Unreasonably failed to make a report pursuant to 40125
division (C) of section 5123.61 of the Revised Code when the 40126
employee knew or should have known that the failure would result 40127
in a substantial risk of harm to an individual with mental 40128
retardation or a developmental disability.40129

       (b) Give weight to the decision in any collective bargaining40130
arbitration regarding the same allegation;40131

        (c) Give weight to any relevant facts presented at the 40132
hearing.40133

       (D)(1) Unless the director of mental retardation and40134
developmental disabilities determines that there are extenuating 40135
circumstances and except as provided in division (E) of this 40136
section, if the director, after considering all of the factors 40137
listed in division (C)(3) of this section, finds that there is 40138
clear and convincing evidence that an MR/DD employee has done one 40139
or more of the things described in division (C)(3)(a) of this 40140
section the director shall include the name of the employee in the 40141
registry established under section 5123.52 of the Revised Code.40142

       (2) Extenuating circumstances the director must consider 40143
include the use of physical force by an MR/DD employee that was 40144
necessary as self-defense.40145

       (3) If the director includes an MR/DD employee in the 40146
registry established under section 5123.52 of the Revised Code, 40147
the director shall notify the employee, the person or government 40148
entity that employs or contracts with the employee, the individual 40149
with mental retardation or a developmental disability who was the 40150
subject of the report and that individual's legal guardian, if 40151
any, the attorney general, and the prosecuting attorney or other40152
law enforcement agency. If the MR/DD employee holds a license,40153
certificate, registration, or other authorization to engage in a 40154
profession issued pursuant to Title XLVII of the Revised Code, the 40155
director shall notify the appropriate agency, board, department, 40156
or other entity responsible for regulating the employee's 40157
professional practice.40158

       (4) If an individual whose name appears on the registry is 40159
involved in a court proceeding or arbitration arising from the 40160
same facts as the allegation resulting in the individual's 40161
placement on the registry, the disposition of the proceeding or 40162
arbitration shall be noted in the registry next to the 40163
individual's name.40164

       (E) In the case of an allegation concerning an employee of 40165
the department, after the hearing conducted pursuant to division 40166
(B)(2) of this section, the director of health or that director's 40167
designee shall review the decision of the hearing officer to 40168
determine whether the standard described in division (C)(3) of 40169
this section has been met. If the director or designee determines 40170
that the standard has been met and that no extenuating40171
circumstances exist, the director or designee shall notify the 40172
director of mental retardation and developmental disabilities that 40173
the MR/DD employee is to be included in the registry established 40174
under section 5123.52 of the Revised Code. If the director of 40175
mental retardation and developmental disabilities receives such 40176
notification, the director shall include the MR/DD employee in the40177
registry and shall provide the notification described in division 40178
(D)(3) of this section.40179

       (F) If the department is required by Chapter 119. of the 40180
Revised Code to give notice of an opportunity for a hearing and 40181
the MR/DD employee subject to the notice does not timely request a 40182
hearing in accordance with section 119.07 or 5123.0414 of the 40183
Revised Code, the department is not required to hold a hearing.40184

       (G) Files and records of investigations conducted pursuant to 40185
this section are not public records as defined in section 149.43 40186
of the Revised Code, but, on request, the department shall provide40187
copies of those files and records to the attorney general, a 40188
prosecuting attorney, or a law enforcement agency.40189

       Sec. 5123.605. There is hereby created in the state treasury 40190
the program income fund. Revenue generated from settlements, 40191
gifts, donations, and other sources of legal rights service 40192
program income shall be credited to the fund. The program income 40193
fund shall be used to support legal rights service programs for 40194
purposes from which the income was derived and for the general 40195
support of legal rights service programs.40196

       Sec. 5123.99.  (A) Whoever violates section 5123.16 or40197
5123.20 of the Revised Code is guilty of a misdemeanor of the 40198
first degree.40199

       (B) Whoever violates division (C), (E), or (G)(3) of section 40200
5123.61 of the Revised Code is guilty of a misdemeanor of the 40201
fourth degree or, if the abuse or neglect constitutes a felony, a 40202
misdemeanor of the second degree. In addition to any other 40203
sanction or penalty authorized or required by law, if a person who 40204
is convicted of or pleads guilty to a violation of division (C), 40205
(E), or (G)(3) of section 5123.61 of the Revised Code is an MR/DD 40206
employee, as defined in section 5123.50 of the Revised Code, the 40207
offender shall be eligible to be included in the registry 40208
regarding misappropriation, abuse, neglect, or other specified 40209
misconduct by MR/DD employees established under section 5123.52 of 40210
the Revised Code.40211

       (C) Whoever violates division (A) of section 5123.604 of the 40212
Revised Code is guilty of a misdemeanor of the second degree.40213

       (D) Whoever violates division (B) of section 5123.604 of the 40214
Revised Code shall be fined not more than one thousand dollars. 40215
Each violation constitutes a separate offense.40216

       Sec. 5126.038.  (A)(1) As used in this section, "professional 40217
services" means all of the following services provided on behalf 40218
of a county board of mental retardation and developmental 40219
disabilities, members or employees of a county board, or both:40220

       (a)(1) Lobbying and other governmental affairs services;40221

       (b)(2) Legal services other than the legal services provided 40222
by a county prosecutor or provided for the purpose of collective 40223
bargaining;40224

       (c)(3) Public relation services;40225

       (d)(4) Consulting services;40226

       (e)(5) Personnel training services, not including tuition or 40227
professional growth reimbursement programs for county board 40228
members or employees.40229

       (2) "Professional services" does not mean services provided 40230
pursuant to a service contract as defined in section 5126.035 of 40231
the Revised Code.40232

       (B) Each county board of mental retardation and developmental 40233
disabilities shall submit to the board of county commissioners of 40234
each county that is served by the county board, in accordance with 40235
the normal budget process and as part of its budget request, a 40236
list identifying the total expenditures projected for any of the 40237
following:40238

       (1) Any membership dues of the members or employees of the 40239
county board, in any organization, association, or other entity;40240

       (2) Any professional services of the county board, its 40241
members or employees, or both;40242

       (3) Any training of the members or employees of the county 40243
board.40244

       Sec. 5126.042.  (A) As used in this section, "emergency" 40245
means any situation that creates for an individual with mental 40246
retardation or developmental disabilities a risk of substantial 40247
self-harm or substantial harm to others if action is not taken40248
within thirty days. An "emergency" may include one or more of the 40249
following situations:40250

       (1) Loss of present residence for any reason, including legal40251
action;40252

       (2) Loss of present caretaker for any reason, including40253
serious illness of the caretaker, change in the caretaker's40254
status, or inability of the caretaker to perform effectively for40255
the individual;40256

       (3) Abuse, neglect, or exploitation of the individual;40257

       (4) Health and safety conditions that pose a serious risk to40258
the individual or others of immediate harm or death;40259

       (5) Change in the emotional or physical condition of the40260
individual that necessitates substantial accommodation that cannot40261
be reasonably provided by the individual's existing caretaker.40262

       (B) If a county board of mental retardation and developmental 40263
disabilities determines that available resources are not 40264
sufficient to meet the needs of all individuals who request40265
programs and services and may be offered the programs and40266
services, it shall establish waiting lists for services. The board 40267
may establish priorities for making placements on its waiting 40268
lists according to an individual's emergency status and shall 40269
establish priorities in accordance with divisions (D) and (E) of 40270
this section.40271

       The individuals who may be placed on a waiting list include40272
individuals with a need for services on an emergency basis and40273
individuals who have requested services for which resources are40274
not available.40275

       Except for an individual who is to receive priority for40276
services pursuant to division (D)(3) of this section, an40277
individual who currently receives a service but would like to40278
change to another service shall not be placed on a waiting list40279
but shall be placed on a service substitution list. The board40280
shall work with the individual, service providers, and all40281
appropriate entities to facilitate the change in service as40282
expeditiously as possible. The board may establish priorities for40283
making placements on its service substitution lists according to40284
an individual's emergency status.40285

       In addition to maintaining waiting lists and service40286
substitution lists, a board shall maintain a long-term service40287
planning registry for individuals who wish to record their40288
intention to request in the future a service they are not40289
currently receiving. The purpose of the registry is to enable the40290
board to document requests and to plan appropriately. The board40291
may not place an individual on the registry who meets the40292
conditions for receipt of services on an emergency basis.40293

       (C) A county board shall establish a separate waiting list40294
for each of the following categories of services, and may40295
establish separate waiting lists within the waiting lists:40296

       (1) Early childhood services;40297

       (2) Educational programs for preschool and school age40298
children;40299

       (3) Adult services;40300

       (4) Service and support administration;40301

       (5) Residential services and supported living;40302

       (6) Transportation services;40303

       (7) Other services determined necessary and appropriate for40304
persons with mental retardation or a developmental disability40305
according to their individual habilitation or service plans;40306

       (8) Family support services provided under section 5126.11 of 40307
the Revised Code.40308

       (D) Except as provided in division (G) of this section, a40309
county board shall do, as priorities, all of the following in40310
accordance with the assessment component, approved under section40311
5123.046 of the Revised Code, of the county board's plan developed40312
under section 5126.054 of the Revised Code:40313

       (1) For the purpose of obtaining additional federal medicaid40314
funds for home and community-based services and medicaid case40315
management services, do both of the following:40316

       (a) Give an individual who is eligible for home and40317
community-based services and meets both of the following40318
requirements priority over any other individual on a waiting list40319
established under division (C) of this section for home and40320
community-based services that include supported living,40321
residential services, or family support services:40322

       (i) Is twenty-two years of age or older;40323

       (ii) Receives supported living or family support services.40324

       (b) Give an individual who is eligible for home and40325
community-based services and meets both of the following40326
requirements priority over any other individual on a waiting list40327
established under division (C) of this section for home and40328
community-based services that include adult services:40329

       (i) Resides in the individual's own home or the home of the40330
individual's family and will continue to reside in that home after40331
enrollment in home and community-based services;40332

       (ii) Receives adult services from the county board.40333

       (2) As federal medicaid funds become available pursuant to40334
division (D)(1) of this section, give an individual who is40335
eligible for home and community-based services and meets any of40336
the following requirements priority for such services over any40337
other individual on a waiting list established under division (C)40338
of this section:40339

       (a) Does not receive residential services or supported40340
living, either needs services in the individual's current living40341
arrangement or will need services in a new living arrangement, and40342
has a primary caregiver who is sixty years of age or older;40343

       (b) Is less than twenty-two years of age and has at least one 40344
of the following service needs that are unusual in scope or40345
intensity:40346

       (i) Severe behavior problems for which a behavior support40347
plan is needed;40348

       (ii) An emotional disorder for which anti-psychotic40349
medication is needed;40350

       (iii) A medical condition that leaves the individual40351
dependent on life-support medical technology;40352

       (iv) A condition affecting multiple body systems for which a40353
combination of specialized medical, psychological, educational, or40354
habilitation services are needed;40355

       (v) A condition the county board determines to be comparable40356
in severity to any condition described in divisiondivisions40357
(D)(2)(b)(i) to (iv) of this section and places the individual at40358
significant risk of institutionalization.40359

       (c) Is twenty-two years of age or older, does not receive40360
residential services or supported living, and is determined by the40361
county board to have intensive needs for home and community-based40362
services on an in-home or out-of-home basis.40363

       (3) In fiscal years 2002 and 2003, give an individual who is40364
eligible for home and community-based services, resides in an40365
intermediate care facility for the mentally retarded or nursing40366
facility, chooses to move to another setting with the help of home40367
and community-based services, and has been determined by the40368
department of mental retardation and developmental disabilities to40369
be capable of residing in the other setting, priority over any40370
other individual on a waiting list established under division (C)40371
of this section for home and community-based services who does not40372
meet these criteria. The department of mental retardation and40373
developmental disabilities shall identify the individuals to40374
receive priority under division (D)(3) of this section, assess the40375
needs of the individuals, and notify the county boards that are to40376
provide the individuals priority under division (D)(3) of this40377
section of the individuals identified by the department and the40378
individuals' assessed needs.40379

       (E) Except as provided in division (G) of this section and 40380
for a number of years and beginning on a date specified in rules 40381
adopted under division (K) of this section, a county board shall 40382
give an individual who is eligible for home and community-based 40383
services, resides in a nursing facility, and chooses to move to 40384
another setting with the help of home and community-based 40385
services, priority over any other individual on a waiting list 40386
established under division (C) of this section for home and 40387
community-based services who does not meet these criteria.40388

       (F) If two or more individuals on a waiting list established40389
under division (C) of this section for home and community-based40390
services have priority for the services pursuant to division40391
(D)(1) or (2) or (E) of this section, a county board may use,40392
until December 31, 20072009, criteria specified in rules adopted 40393
under division (K)(2) of this section in determining the order in 40394
which the individuals with priority will be offered the services.40395
Otherwise, the county board shall offer the home and40396
community-based services to such individuals in the order they are40397
placed on the waiting list.40398

       (G)(1) No individual may receive priority for services40399
pursuant to division (D) or (E) of this section over an individual40400
placed on a waiting list established under division (C) of this40401
section on an emergency status.40402

       (2) No more than four hundred individuals in the state may40403
receive priority for services during the 20062008 and 2007200940404
biennium pursuant to division (D)(2)(b) of this section.40405

       (3) No more than a total of seventy-five individuals in the40406
state may receive priority for services during state fiscal years40407
2002 and 2003 pursuant to division (D)(3) of this section.40408

       (4) No more than forty individuals in the state may receive 40409
priority for services pursuant to division (E) of this section for 40410
each year that priority category is in effect as specified in 40411
rules adopted under division (K) of this section.40412

       (H) Prior to establishing any waiting list under this40413
section, a county board shall develop and implement a policy for40414
waiting lists that complies with this section and rules adopted40415
under division (K) of this section.40416

       Prior to placing an individual on a waiting list, the county40417
board shall assess the service needs of the individual in40418
accordance with all applicable state and federal laws. The county40419
board shall place the individual on the appropriate waiting list40420
and may place the individual on more than one waiting list. The40421
county board shall notify the individual of the individual's40422
placement and position on each waiting list on which the40423
individual is placed.40424

       At least annually, the county board shall reassess the40425
service needs of each individual on a waiting list. If it40426
determines that an individual no longer needs a program or40427
service, the county board shall remove the individual from the40428
waiting list. If it determines that an individual needs a program40429
or service other than the one for which the individual is on the40430
waiting list, the county board shall provide the program or40431
service to the individual or place the individual on a waiting40432
list for the program or service in accordance with the board's40433
policy for waiting lists.40434

       When a program or service for which there is a waiting list40435
becomes available, the county board shall reassess the service40436
needs of the individual next scheduled on the waiting list to40437
receive that program or service. If the reassessment demonstrates40438
that the individual continues to need the program or service, the40439
board shall offer the program or service to the individual. If it40440
determines that an individual no longer needs a program or40441
service, the county board shall remove the individual from the40442
waiting list. If it determines that an individual needs a program40443
or service other than the one for which the individual is on the40444
waiting list, the county board shall provide the program or40445
service to the individual or place the individual on a waiting40446
list for the program or service in accordance with the board's40447
policy for waiting lists. The county board shall notify the40448
individual of the individual's placement and position on the40449
waiting list on which the individual is placed.40450

       (I) A child subject to a determination made pursuant to40451
section 121.38 of the Revised Code who requires the home and40452
community-based services provided through a medicaid component40453
that the department of mental retardation and developmental40454
disabilities administers under section 5111.871 of the Revised40455
Code shall receive services through that medicaid component. For40456
all other services, a child subject to a determination made40457
pursuant to section 121.38 of the Revised Code shall be treated as40458
an emergency by the county boards and shall not be subject to a40459
waiting list.40460

       (J) Not later than the fifteenth day of March of each40461
even-numbered year, each county board shall prepare and submit to40462
the director of mental retardation and developmental disabilities40463
its recommendations for the funding of services for individuals40464
with mental retardation and developmental disabilities and its40465
proposals for reducing the waiting lists for services.40466

       (K)(1) The department of mental retardation and developmental40467
disabilities shall adopt rules in accordance with Chapter 119. of40468
the Revised Code governing waiting lists established under this40469
section. The rules shall include procedures to be followed to40470
ensure that the due process rights of individuals placed on40471
waiting lists are not violated.40472

       (2) As part of the rules adopted under this division, the40473
department shall adopt rules establishing criteria a county board 40474
may use under division (F) of this section in determining the 40475
order in which individuals with priority for home and 40476
community-based services will be offered the services. The rules 40477
shall also specify conditions under which a county board, when 40478
there is no individual with priority for home and community-based 40479
services pursuant to division (D)(1) or (2) or (E) of this section 40480
available and appropriate for the services, may offer the services 40481
to an individual on a waiting list for the services but not given 40482
such priority for the services. The rules adopted under division 40483
(K)(2) of this section shall cease to have effect December 31, 40484
20072009.40485

       (3) As part of the rules adopted under this division, the 40486
department shall adopt rules specifying both of the following for 40487
the priority category established under division (E) of this 40488
section:40489

        (a) The number of years, which shall not exceed five, that 40490
the priority category will be in effect;40491

        (b) The date that the priority category is to go into effect.40492

        (L) The following shall take precedence over the applicable40493
provisions of this section:40494

       (1) Medicaid rules and regulations;40495

       (2) Any specific requirements that may be contained within a40496
medicaid state plan amendment or waiver program that a county40497
board has authority to administer or with respect to which it has40498
authority to provide services, programs, or supports.40499

       Sec. 5126.046. (A) Each county board of mental retardation40500
and developmental disabilities that has medicaid local40501
administrative authority under division (A) of section 5126.055 of40502
the Revised Code for habilitation, vocational, or community40503
employment services provided as part of home and community-based40504
services shall create a list of all persons and government40505
entities eligible to provide such habilitation, vocational, or40506
community employment services. If the county board chooses and is40507
eligible to provide such habilitation, vocational, or community40508
employment services, the county board shall include itself on the40509
list. The county board shall make the list available to each40510
individual with mental retardation or other developmental40511
disability who resides in the county and is eligible for such40512
habilitation, vocational, or community employment services. The40513
county board shall also make the list available to such40514
individuals' families.40515

       An individual with mental retardation or other developmental40516
disability who is eligible for habilitation, vocational, or40517
community employment services may choose the provider of the40518
services.40519

       A county board that has medicaid local administrative40520
authority under division (A) of section 5126.055 of the Revised40521
Code for habilitation, vocational, and community employment40522
services provided as part of home and community-based services40523
shall pay the nonfederal share of the habilitation, vocational,40524
and community employment services when required by section 40525
5126.057 of the Revised Code. The department of mental retardation 40526
and developmental disabilities shall pay the nonfederal share of 40527
such habilitation, vocational, and community employment services 40528
when required by section 5123.047 of the Revised Code.40529

       (B) Each month, the department of mental retardation and40530
developmental disabilities shall create a list of all persons and40531
government entities eligible to provide residential services and40532
supported living. The department shall include on the list all40533
residential facilities licensed under section 5123.19 of the40534
Revised Code and all supported living providers certified under40535
section 5126.4315123.161 of the Revised Code. The department 40536
shall distribute the monthly lists to county boards that have 40537
local administrative authority under division (A) of section 40538
5126.055 of the Revised Code for residential services and 40539
supported living provided as part of home and community-based 40540
services. A county board that receives a list shall make it 40541
available to each individual with mental retardation or other 40542
developmental disability who resides in the county and is eligible 40543
for such residential services or supported living. The county 40544
board shall also make the list available to the families of those 40545
individuals.40546

       An individual who is eligible for residential services or40547
supported living may choose the provider of the residential40548
services or supported living.40549

       A county board that has medicaid local administrative40550
authority under division (A) of section 5126.055 of the Revised40551
Code for residential services and supported living provided as40552
part of home and community-based services shall pay the nonfederal40553
share of the residential services and supported living when40554
required by section 5126.057 of the Revised Code. The department40555
shall pay the nonfederal share of the residential services and40556
supported living when required by section 5123.047 of the Revised40557
Code.40558

       (C) If a county board that has medicaid local administrative40559
authority under division (A) of section 5126.055 of the Revised40560
Code for home and community-based services violates the right40561
established by this section of an individual to choose a provider40562
that is qualified and willing to provide services to the40563
individual, the individual shall receive timely notice that the40564
individual may request a hearing under section 5101.35 of the40565
Revised Code.40566

       (D) The departments of mental retardation and developmental40567
disabilities and job and family services shall adopt rules in40568
accordance with Chapter 119. of the Revised Code governing the40569
implementation of this section. The rules shall include procedures 40570
for individuals to choose their service providers. The rules shall 40571
not be limited by a provider selection system established under 40572
section 5126.42 of the Revised Code, including any pool of 40573
providers created pursuant to a provider selection system.40574

       Sec. 5126.055.  (A) Except as provided in section 5126.056 40575
of the Revised Code, a county board of mental retardation and40576
developmental disabilities has medicaid local administrative40577
authority to, and shall, do all of the following for an individual40578
with mental retardation or other developmental disability who40579
resides in the county that the county board serves and seeks or40580
receives home and community-based services:40581

       (1) Perform assessments and evaluations of the individual. As 40582
part of the assessment and evaluation process, the county board40583
shall do all of the following:40584

       (a) Make a recommendation to the department of mental40585
retardation and developmental disabilities on whether the40586
department should approve or deny the individual's application for40587
the services, including on the basis of whether the individual40588
needs the level of care an intermediate care facility for the40589
mentally retarded provides;40590

       (b) If the individual's application is denied because of the40591
county board's recommendation and the individual requests a40592
hearing under section 5101.35 of the Revised Code, present, with40593
the department of mental retardation and developmental40594
disabilities or department of job and family services, whichever40595
denies the application, the reasons for the recommendation and40596
denial at the hearing;40597

       (c) If the individual's application is approved, recommend to 40598
the departments of mental retardation and developmental40599
disabilities and job and family services the services that should40600
be included in the individual's individualized service plan and,40601
if either department approves, reduces, denies, or terminates a40602
service included in the individual's individualized service plan40603
under section 5111.871 of the Revised Code because of the county40604
board's recommendation, present, with the department that made the40605
approval, reduction, denial, or termination, the reasons for the40606
recommendation and approval, reduction, denial, or termination at40607
a hearing under section 5101.35 of the Revised Code.40608

       (2) If the individual has been identified by the department40609
of mental retardation and developmental disabilities as an40610
individual to receive priority for home and community-based40611
services pursuant to division (D)(3) of section 5126.042 of the40612
Revised Code, assist the department in expediting the transfer of40613
the individual from an intermediate care facility for the mentally40614
retarded or nursing facility to the home and community-based40615
services;40616

       (3) In accordance with the rules adopted under section40617
5126.046 of the Revised Code, perform the county board's duties40618
under that section regarding assisting the individual's right to40619
choose a qualified and willing provider of the services and, at a40620
hearing under section 5101.35 of the Revised Code, present40621
evidence of the process for appropriate assistance in choosing40622
providers;40623

       (4) Unless the county board provides the services under40624
division (A)(5) of this section, contract with the person or40625
government entity the individual chooses in accordance with40626
section 5126.046 of the Revised Code to provide the services if40627
the person or government entity is qualified and agrees to provide40628
the services. The contract shall contain all the provisions40629
required by section 5126.035 of the Revised Code and require the40630
provider to agree to furnish, in accordance with the provider's40631
medicaid provider agreement and for the authorized reimbursement40632
rate, the services the individual requires.40633

       (5) If the county board is certified under section 5123.1640634
5123.161 of the Revised Code to provide the services and agrees to40635
provide the services to the individual and the individual chooses40636
the county board to provide the services, furnish, in accordance40637
with the county board's medicaid provider agreement and for the40638
authorized reimbursement rate, the services the individual40639
requires;40640

       (6)(5) Monitor the services provided to the individual and40641
ensure the individual's health, safety, and welfare. The40642
monitoring shall include quality assurance activities. If the40643
county board provides the services, the department of mental40644
retardation and developmental disabilities shall also monitor the40645
services.40646

       (7)(6) Develop, with the individual and the provider of the40647
individual's services, an effective individualized service plan40648
that includes coordination of services, recommend that the40649
departments of mental retardation and developmental disabilities40650
and job and family services approve the plan, and implement the40651
plan unless either department disapproves it;40652

       (8)(7) Have an investigative agent conduct investigations 40653
under section 5126.313 of the Revised Code that concern the 40654
individual;40655

       (9)(8) Have a service and support administrator perform the40656
duties under division (B)(9) of section 5126.15 of the Revised40657
Code that concern the individual.40658

       (B) A county board shall perform its medicaid local40659
administrative authority under this section in accordance with all40660
of the following:40661

       (1) The county board's plan that the department of mental40662
retardation and developmental disabilities approves under section40663
5123.046 of the Revised Code;40664

       (2) All applicable federal and state laws;40665

       (3) All applicable policies of the departments of mental40666
retardation and developmental disabilities and job and family40667
services and the United States department of health and human40668
services;40669

       (4) The department of job and family services' supervision40670
under its authority under section 5111.01 of the Revised Code to40671
act as the single state medicaid agency;40672

       (5) The department of mental retardation and developmental40673
disabilities' oversight.40674

       (C) The departments of mental retardation and developmental40675
disabilities and job and family services shall communicate with40676
and provide training to county boards regarding medicaid local40677
administrative authority granted by this section. The40678
communication and training shall include issues regarding audit40679
protocols and other standards established by the United States40680
department of health and human services that the departments40681
determine appropriate for communication and training. County40682
boards shall participate in the training. The departments shall40683
assess the county board's compliance against uniform standards40684
that the departments shall establish.40685

       (D) A county board may not delegate its medicaid local40686
administrative authority granted under this section but may40687
contract with a person or government entity, including a council40688
of governments, for assistance with its medicaid local40689
administrative authority. A county board that enters into such a40690
contract shall notify the director of mental retardation and40691
developmental disabilities. The notice shall include the tasks and40692
responsibilities that the contract gives to the person or40693
government entity. The person or government entity shall comply in 40694
full with all requirements to which the county board is subject40695
regarding the person or government entity's tasks and40696
responsibilities under the contract. The county board remains40697
ultimately responsible for the tasks and responsibilities.40698

       (E) A county board that has medicaid local administrative40699
authority under this section shall, through the departments of40700
mental retardation and developmental disabilities and job and40701
family services, reply to, and cooperate in arranging compliance40702
with, a program or fiscal audit or program violation exception40703
that a state or federal audit or review discovers. The department40704
of job and family services shall timely notify the department of40705
mental retardation and developmental disabilities and the county40706
board of any adverse findings. After receiving the notice, the40707
county board, in conjunction with the department of mental40708
retardation and developmental disabilities, shall cooperate fully40709
with the department of job and family services and timely prepare40710
and send to the department a written plan of correction or40711
response to the adverse findings. The county board is liable for40712
any adverse findings that result from an action it takes or fails40713
to take in its implementation of medicaid local administrative40714
authority.40715

       (F) If the department of mental retardation and developmental 40716
disabilities or department of job and family services determines 40717
that a county board's implementation of its medicaid local 40718
administrative authority under this section is deficient, the 40719
department that makes the determination shall require that county 40720
board do the following:40721

       (1) If the deficiency affects the health, safety, or welfare40722
of an individual with mental retardation or other developmental40723
disability, correct the deficiency within twenty-four hours;40724

       (2) If the deficiency does not affect the health, safety, or40725
welfare of an individual with mental retardation or other40726
developmental disability, receive technical assistance from the40727
department or submit a plan of correction to the department that40728
is acceptable to the department within sixty days and correct the40729
deficiency within the time required by the plan of correction.40730

       Sec. 5126.057. (A) A county board of mental retardation and40731
developmental disabilities that has medicaid local administrative40732
authority under division (A) of section 5126.055 of the Revised40733
Code for home and community-based services shall pay the40734
nonfederal share of medicaid expenditures for such services40735
provided to an individual with mental retardation or other40736
developmental disability who the county board determines under40737
section 5126.041 of the Revised Code is eligible for county board40738
services unless division (B)(2) or (3) of section 5123.047 of the 40739
Revised Code requires the department of mental retardation and40740
developmental disabilities to pay the nonfederal share.40741

       A county board that provides medicaid case management 40742
services shall pay the nonfederal share of medicaid expenditures 40743
for such services provided to an individual with mental 40744
retardation or other developmental disability who the county board 40745
determines under section 5126.041 of the Revised Code is eligible 40746
for county board services.40747

       (B) A county board may use the following funds to pay the40748
nonfederal share of the services that the county board is required40749
by division (A) of this section to pay:40750

       (1) To the extent consistent with the levy that generated the 40751
taxes, the following taxes:40752

       (a) Taxes levied pursuant to division (L) of section 5705.1940753
of the Revised Code and section 5705.222 of the Revised Code;40754

       (b) Taxes levied under section 5705.191 of the Revised Code40755
that the board of county commissioners allocates to the county40756
board to pay the nonfederal share of the services.40757

       (2) Funds that the department of mental retardation and40758
developmental disabilities distributes to the county board under40759
sections 5126.11, 5126.12, 5126.15,section 5126.18, and 5126.4440760
of the Revised Code;40761

        (3) Earned federal revenue funds the county board receives40762
for medicaid services the county board provides pursuant to the40763
county board's valid medicaid provider agreement;40764

       (4) Funds that the department of mental retardation and 40765
developmental disabilities distributes to the county board as 40766
subsidy payments.40767

       (C) If by December 31, 2001, the United States secretary of40768
health and human services approves at least five hundred more40769
slots for home and community-based services for calendar year 200240770
than were available for calendar year 2001, each county board40771
shall provide, by the last day of calendar year 2001, assurances40772
to the department of mental retardation and developmental40773
disabilities that the county board will have for calendar year40774
2002 at least one-third of the value of one-half, effective mill40775
levied in the county the preceding year available to pay the40776
nonfederal share of the services that the county board is required40777
by division (A) of this section to pay.40778

       If by December 31, 2002, the United States secretary approves40779
at least five hundred more slots for home and community-based40780
services for calendar year 2003 than were available for calendar40781
year 2002, each county board shall provide, by the last day of40782
calendar year 2002, assurances to the department that the county40783
board will have for calendar year 2003 at least two-thirds of the40784
value of one-half, effective mill levied in the county the40785
preceding year available to pay the nonfederal share of the40786
services that the county board is required by division (A) of this40787
section to pay.40788

       If by December 31, 2003, the United States secretary approves40789
at least five hundred more slots for home and community-based40790
services for calendar year 2004 than were available for calendar40791
year 2003, each county board shall provide, by the last day of40792
calendar year 2003 and each calendar year thereafter, assurances40793
to the department that the county board will have for calendar40794
year 2004 and each calendar year thereafter at least the value of40795
one-half, effective mill levied in the county the preceding year40796
available to pay the nonfederal share of the services that the40797
county board is required by division (A) of this section to pay.40798

       (D) Each year, each county board shall adopt a resolution40799
specifying the amount of funds it will use in the next year to pay40800
the nonfederal share of the services that the county board is40801
required by division (A) of this section to pay. The amount40802
specified shall be adequate to assure that the services will be40803
available in the county in a manner that conforms to all40804
applicable state and federal laws. A county board shall state in40805
its resolution that the payment of the nonfederal share represents40806
an ongoing financial commitment of the county board. A county40807
board shall adopt the resolution in time for the county auditor to40808
make the determination required by division (E) of this section.40809

       (E) Each year, a county auditor shall determine whether the40810
amount of funds a county board specifies in the resolution it40811
adopts under division (D) of this section will be available in the40812
following year for the county board to pay the nonfederal share of40813
the services that the county board is required by division (A) of40814
this section to pay. The county auditor shall make the40815
determination not later than the last day of the year before the40816
year in which the funds are to be used.40817

       Sec. 5126.06.  (A) Except as provided in division (B) of this 40818
section and section 5126.036 of the Revised Code, any person who 40819
has a complaint involving any of the programs, services, policies, 40820
or administrative practices of a county board of mental40821
retardation and developmental disabilities or any of the entities40822
under contract with the county board, may file a complaint with40823
the board. Prior to commencing a civil action regarding the40824
complaint, a person shall attempt to have the complaint resolved40825
through the administrative resolution process established in the40826
rules adopted under section 5123.043 of the Revised Code. After40827
exhausting the administrative resolution process, the person may40828
commence a civil action if the complaint is not settled to the40829
person's satisfaction.40830

       (B) An employee of a county board may not file under this40831
section a complaint related to the terms and conditions of40832
employment of the employee.40833

       Sec. 5126.11.  (A) As used in this section, "respite care"40834
means appropriate, short-term, temporary care that is provided to40835
a mentally retarded or developmentally disabled person to sustain40836
the family structure or to meet planned or emergency needs of the40837
family.40838

       (B) Subject to rules adopted by the director of mental40839
retardation and developmental disabilities, and subject to the40840
availability of money from state and federal sources, the county40841
board of mental retardation and developmental disabilities shall40842
establish a family support services program. Under such a program, 40843
the board shall make payments to an individual with mental 40844
retardation or other developmental disability or the family of an 40845
individual with mental retardation or other developmental40846
disability who desires to remain in and be supported in the family40847
home. Payments shall be made for all or part of costs incurred or40848
estimated to be incurred for services that would promote40849
self-sufficiency and normalization, prevent or reduce40850
inappropriate institutional care, and further the unity of the40851
family by enabling the family to meet the special needs of the40852
individual and to live as much like other families as possible.40853
Payments may be made in the form of reimbursement for expenditures40854
or in the form of vouchers to be used to purchase services.40855

       (C) Payment shall not be made under this section to an40856
individual or the individual's family if the individual is living40857
in a residential facility that is providing residential services40858
under contract with the department of mental retardation and40859
developmental disabilities or a county board.40860

       (D) Payments may be made for the following services:40861

       (1) Respite care, in or out of the home;40862

       (2) Counseling, supervision, training, and education of the40863
individual, the individual's caregivers, and members of the40864
individual's family that aid the family in providing proper care40865
for the individual, provide for the special needs of the family,40866
and assist in all aspects of the individual's daily living;40867

       (3) Special diets, purchase or lease of special equipment, or 40868
modifications of the home, if such diets, equipment, or40869
modifications are necessary to improve or facilitate the care and40870
living environment of the individual;40871

       (4) Providing support necessary for the individual's40872
continued skill development, including such services as40873
development of interventions to cope with unique problems that may40874
occur within the complexity of the family, enrollment of the40875
individual in special summer programs, provision of appropriate40876
leisure activities, and other social skills development40877
activities;40878

       (5) Any other services that are consistent with the purposes40879
specified in division (B) of this section and specified in the40880
individual's service plan.40881

       (E) In order to be eligible for payments under a family40882
support services program, the individual or the individual's40883
family must reside in the county served by the county board, and40884
the individual must be in need of habilitation. Payments shall be40885
adjusted for income in accordance with the payment schedule40886
established in rules adopted under this section. Payments shall be 40887
made only after the county board has taken into account all other 40888
available assistance for which the individual or family is40889
eligible.40890

       (F) Before incurring expenses for a service for which payment 40891
will be sought under a family support services program, the 40892
individual or family shall apply to the county board for a40893
determination of eligibility and approval of the service. The40894
service need not be provided in the county served by the county40895
board. After being determined eligible and receiving approval for40896
the service, the individual or family may incur expenses for the40897
service or use the vouchers received from the county board for the40898
purchase of the service.40899

       If the county board refuses to approve a service, an appeal40900
may be made in accordance with rules adopted by the department40901
under this section.40902

       (G) To be reimbursed for expenses incurred for approved40903
services, the individual or family shall submit to the county40904
board a statement of the expenses incurred accompanied by any40905
evidence required by the board. To redeem vouchers used to40906
purchase approved services, the entity that provided the service40907
shall submit to the county board evidence that the service was40908
provided and a statement of the charges. The county board shall40909
make reimbursements and redeem vouchers no later than forty-five40910
days after it receives the statements and evidence required by40911
this division.40912

       (H) A county board shall consider the following objectives in 40913
carrying out a family support services program:40914

       (1) Enabling individuals to return to their families from an40915
institution under the jurisdiction of the department of mental40916
retardation and developmental disabilities;40917

       (2) Enabling individuals found to be subject to40918
institutionalization by court order under section 5123.76 of the40919
Revised Code to remain with their families with the aid of40920
payments provided under this section;40921

       (3) Providing services to eligible children and adults40922
currently residing in the community;40923

       (4) Providing services to individuals with developmental40924
disabilities who are not receiving other services from the board.40925

       (I) The director shall adopt, and may amend and rescind,40926
rules for the implementation of family support services programs40927
by county boards. Such rules shall include the following:40928

       (1) A payment schedule adjusted for income;40929

       (2) A formula for distributing to county boards the money40930
appropriated for family support services;40931

       (3) Standards for supervision, training, and quality control40932
in the provision of respite care services;40933

       (4)(3) Eligibility standards and procedures for providing40934
temporary emergency respite care;40935

       (5)(4) Procedures for hearing and deciding appeals made under40936
division (F) of this section;40937

       (6) Requirements to be followed by county boards regarding40938
reports submitted under division (K) of this section.40939

       Rules adopted under divisionsdivision (I)(1) and (2) of this40940
section shall be adopted in accordance with section 111.15 of the40941
Revised Code. Rules adopted under divisions (I)(3)(2) to (6)(4) of40942
this section shall be adopted in accordance with Chapter 119. of40943
the Revised Code.40944

       (J) All individuals certified by the superintendent of the40945
county board as eligible for temporary emergency respite care in40946
accordance with rules adopted under this section shall be40947
considered eligible for temporary emergency respite care for not40948
more than five days to permit the determination of eligibility for40949
family support services. The requirements of divisions (E) and (F) 40950
of this section do not apply to temporary emergency respite care.40951

       (K) The department of mental retardation and developmental 40952
disabilities shall distribute to county boards money appropriated 40953
for family support services in quarterly installments of equal 40954
amounts. The installments shall be made not later than the 40955
thirtieth day of September, the thirty-first day of December, the 40956
thirty-first day of March, and the thirtieth day of June. A county 40957
board shall use no more than seven per cent of the funds for 40958
administrative costs. Each county board shall submit reports to 40959
the department on payments made under this section. The reports 40960
shall be submitted at those times and in the manner specified in 40961
rules adopted under this section.40962

       (L) The county board shall not be required to make payments40963
for family support services at a level that exceeds available40964
state and federal funds for such payments.40965

       Sec. 5126.12.  (A) As used in this section:40966

       (1) "Approved school age class" means a class operated by a40967
county board of mental retardation and developmental disabilities40968
and funded by the department of education under section 3317.20 of 40969
the Revised Code.40970

       (2) "Approved preschool unit" means a class or unit operated40971
by a county board of mental retardation and developmental40972
disabilities and approved under division (B) of section 3317.05 of 40973
the Revised Code.40974

       (3) "Active treatment" means a continuous treatment program,40975
which includes aggressive, consistent implementation of a program40976
of specialized and generic training, treatment, health services,40977
and related services, that is directed toward the acquisition of40978
behaviors necessary for an individual with mental retardation or40979
other developmental disability to function with as much40980
self-determination and independence as possible and toward the40981
prevention of deceleration, regression, or loss of current optimal40982
functional status.40983

       (4) "Eligible for active treatment" means that an individual40984
with mental retardation or other developmental disability resides40985
in an intermediate care facility for the mentally retarded40986
certified under Title XIX of the "Social Security Act," 79 Stat. 40987
286 (1965), 42 U.S.C. 1396, as amended; resides in a state40988
institution operated by the department of mental retardation and40989
developmental disabilities; or is enrolled in home and40990
community-based services.40991

       (5) "Traditional adult services" means vocational and40992
nonvocational activities conducted within a sheltered workshop or40993
adult activity center or supportive home services.40994

       (B) Each county board of mental retardation and developmental 40995
disabilities shall certify to the director of mental retardation 40996
and developmental disabilities all of the following:40997

       (1) On or before the fifteenth day of October, the average40998
daily membership for the first full week of programs and services40999
during October receiving:41000

       (a) Early childhood services provided pursuant to section41001
5126.05 of the Revised Code for children who are less than three41002
years of age on the thirtieth day of September of the academic41003
year;41004

       (b) Special education for handicapped children in approved41005
school age classes;41006

       (c) Adult services for persons sixteen years of age and older 41007
operated pursuant to section 5126.05 and division (B) of section 41008
5126.051 of the Revised Code. Separate counts shall be made for41009
the following:41010

       (i) Persons enrolled in traditional adult services who are41011
eligible for but not enrolled in active treatment;41012

       (ii) Persons enrolled in traditional adult services who are41013
eligible for and enrolled in active treatment;41014

       (iii) Persons enrolled in traditional adult services but who41015
are not eligible for active treatment;41016

       (iv) Persons participating in community employment services.41017
To be counted as participating in community employment services, a41018
person must have spent an average of no less than ten hours per41019
week in that employment during the preceding six months.41020

       (d) Other programs in the county for individuals with mental41021
retardation and developmental disabilities that have been approved41022
for payment of subsidy by the department of mental retardation and41023
developmental disabilities.41024

       The membership in each such program and service in the county41025
shall be reported on forms prescribed by the department of mental41026
retardation and developmental disabilities.41027

       The department of mental retardation and developmental41028
disabilities shall adopt rules defining full-time equivalent41029
enrollees and for determining the average daily membership41030
therefrom, except that certification of average daily membership41031
in approved school age classes shall be in accordance with rules41032
adopted by the state board of education. The average daily41033
membership figure shall be determined by dividing the amount41034
representing the sum of the number of enrollees in each program or41035
service in the week for which the certification is made by the41036
number of days the program or service was offered in that week. No41037
enrollee may be counted in average daily membership for more than41038
one program or service.41039

       (2) By the fifteenth day of December, the number of children41040
enrolled in approved preschool units on the first day of December;41041

       (3) On or before the thirtieth day of MarchApril, an 41042
itemized report of all income and operating expenditures for the41043
immediately preceding calendar year, in the format specified by41044
the department of mental retardation and developmental41045
disabilities;41046

       (4) By the fifteenth day of February, a report of the total41047
annual cost per enrollee for operation of programs and services in41048
the preceding calendar year. The report shall include a grand41049
total of all programs operated, the cost of the individual41050
programs, and the sources of funds applied to each program.41051

       (5) That each required certification and report is in41052
accordance with rules established by the department of mental41053
retardation and developmental disabilities and the state board of41054
education for the operation and subsidization of the programs and41055
services.41056

       (C) To compute payments under this section to the board for41057
the fiscal year, the department of mental retardation and41058
developmental disabilities shall use the certification of average41059
daily membership required by division (B)(1) of this section41060
exclusive of the average daily membership in any approved school41061
age class and the number in any approved preschool unit.41062

       (D) The department shall pay each county board for each41063
fiscal year an amount equal to nine hundred fifty dollars times41064
the certified number of persons who on the first day of December41065
of the academic year are under three years of age and are not in41066
an approved preschool unit. For persons who are at least age41067
sixteen and are not in an approved school age class, the41068
department shall pay each county board for each fiscal year the41069
following amounts:41070

       (1) One thousand dollars times the certified average daily41071
membership of persons enrolled in traditional adult services who41072
are eligible for but not enrolled in active treatment;41073

       (2) One thousand two hundred dollars times the certified41074
average daily membership of persons enrolled in traditional adult41075
services who are eligible for and enrolled in active treatment;41076

       (3) No less than one thousand five hundred dollars times the41077
certified average daily membership of persons enrolled in41078
traditional adult services but who are not eligible for active41079
treatment;41080

       (4) No less than one thousand five hundred dollars times the41081
certified average daily membership of persons participating in41082
community employment services.41083

       (E) The department shall distribute this subsidy to county41084
boards in quarterly installments of equal amounts. The41085
installments shall be made not later than the thirtieth day of 41086
September, the thirty-first day of December, the thirty-first day 41087
of March, and the thirtieth day of June.41088

       (F) The director of mental retardation and developmental41089
disabilities shall make efforts to obtain increases in the41090
subsidies for early childhood services and adult services so that41091
the amount of the subsidies is equal to at least fifty per cent of41092
the statewide average cost of those services minus any applicable41093
federal reimbursements for those services. The director shall41094
advise the director of budget and management of the need for any41095
such increases when submitting the biennial appropriations request41096
for the department.41097

       (G) In determining the reimbursement of a county board for41098
the provision of service and support administration, family41099
support services, and other services required or approved by the41100
director for which children three through twenty-one years of age41101
are eligible, the department shall include the average daily41102
membership in approved school age or preschool units. The41103
department, in accordance with this section and upon receipt and41104
approval of the certification required by this section and any41105
other information it requires to enable it to determine a board's41106
payments, shall pay the agency providing the specialized training41107
the amounts payable under this section.41108


       Sec. 5126.15.  (A) A county board of mental retardation and41110
developmental disabilities shall provide service and support41111
administration to each individual three years of age or older who41112
is eligible for service and support administration if the41113
individual requests, or a person on the individual's behalf41114
requests, service and support administration. A board shall41115
provide service and support administration to each individual41116
receiving home and community-based services. A board may provide,41117
in accordance with the service coordination requirements of 3441118
C.F.R. 303.23, service and support administration to an individual41119
under three years of age eligible for early intervention services41120
under 34 C.F.R. part 303. A board may provide service and support41121
administration to an individual who is not eligible for other41122
services of the board. Service and support administration shall be41123
provided in accordance with rules adopted under section 5126.08 of41124
the Revised Code.41125

       A board may provide service and support administration by41126
directly employing service and support administrators or by41127
contracting with entities for the performance of service and41128
support administration. Individuals employed or under contract as41129
service and support administrators shall not be in the same41130
collective bargaining unit as employees who perform duties that41131
are not administrative.41132

       Individuals employed by a board as service and support41133
administrators shall not be assigned responsibilities for41134
implementing other services for individuals and shall not be41135
employed by or serve in a decision-making or policy-making41136
capacity for any other entity that provides programs or services41137
to individuals with mental retardation or developmental41138
disabilities. An individual employed as a conditional status41139
service and support administrator shall perform the duties of41140
service and support administration only under the supervision of a41141
management employee who is a service and support administration41142
supervisor.41143

       (B) The individuals employed by or under contract with a41144
board to provide service and support administration shall do all41145
of the following:41146

       (1) Establish an individual's eligibility for the services of 41147
the county board of mental retardation and developmental41148
disabilities;41149

       (2) Assess individual needs for services;41150

       (3) Develop individual service plans with the active41151
participation of the individual to be served, other persons41152
selected by the individual, and, when applicable, the provider41153
selected by the individual, and recommend the plans for approval41154
by the department of mental retardation and developmental41155
disabilities when services included in the plans are funded41156
through medicaid;41157

       (4) Establish budgets for services based on the individual's41158
assessed needs and preferred ways of meeting those needs;41159

       (5) Assist individuals in making selections from among the41160
providers they have chosen;41161

       (6) Ensure that services are effectively coordinated and41162
provided by appropriate providers;41163

       (7) Establish and implement an ongoing system of monitoring41164
the implementation of individual service plans to achieve41165
consistent implementation and the desired outcomes for the41166
individual;41167

       (8) Perform quality assurance reviews as a distinct function41168
of service and support administration;41169

       (9) Incorporate the results of quality assurance reviews and41170
identified trends and patterns of unusual incidents and major41171
unusual incidents into amendments of an individual's service plan41172
for the purpose of improving and enhancing the quality and41173
appropriateness of services rendered to the individual;41174

       (10) Ensure that each individual receiving services has a41175
designated person who is responsible on a continuing basis for41176
providing the individual with representation, advocacy, advice,41177
and assistance related to the day-to-day coordination of services41178
in accordance with the individual's service plan. The service and41179
support administrator shall give the individual receiving services41180
an opportunity to designate the person to provide daily41181
representation. If the individual declines to make a designation,41182
the administrator shall make the designation. In either case, the41183
individual receiving services may change at any time the person41184
designated to provide daily representation.41185

       (C) Subject to available funds, the department of mental41186
retardation and developmental disabilities shall pay a county41187
board an annual subsidy for service and support administration.41188
The amount of the subsidy shall be equal to the greater of twenty41189
thousand dollars or two hundred dollars times the board's41190
certified average daily membership. The payments shall be made in 41191
quarterly installments of equal amounts, which shall be made no41192
later than the thirtieth day of September, the thirty-first day of 41193
December, the thirty-first day of March, and the thirtieth day of 41194
June. Funds received shall be used solely for service and support41195
administration.41196


       Sec. 5126.18.  (A) As used in this section:41198

       (1) "County board" means a county board of mental retardation 41199
and developmental disabilities.41200

       (2) Notwithstanding section 5126.01 of the Revised Code,41201
"adult services" means the following services, as they are41202
identified on individual information forms submitted by county41203
boards to the department of mental retardation and developmental41204
disabilities for the purpose of subsidies paid to county boards41205
under section 5126.12 of the Revised Code, provided to an 41206
individual with mental retardation or other developmental41207
disability who is at least twenty-two years of age:41208

       (a) Assessment;41209

       (b) Home service;41210

       (c) Adult program;41211

       (d) Community employment services;41212

       (e) Retirement.41213

       (3) "Adult services enrollment" means a county board's41214
average daily membership in adult services, exclusive of such41215
services provided to individuals served solely through service and41216
support administration provided pursuant to section 5126.15 of the41217
Revised Code or family support services provided pursuant to41218
section 5126.11 of the Revised Code.41219

       (4) "Taxable value" means the taxable value of a county board41220
certified under division (B)(1) of this section.41221

       (5) "Per-mill yield" of a county board means the quotient41222
obtained by dividing (a) the taxable value of the county board by41223
(b) one thousand.41224

       (6) "Local adult services cost" means a county board's41225
expenditures for adult services, excluding all federal and state41226
reimbursements and subsidy allocations received by such boards and41227
expended for such services, as certified under section 5126.12 of41228
the Revised Code.41229

       (7) "Statewide average millage" means one thousand multiplied 41230
by the quotient obtained by dividing (a) the total of the local 41231
adult services costs of all county boards by (b) the total of the 41232
taxable values of all county boards.41233

       (8) "County yield" of a county board means the product41234
obtained by multiplying (a) the statewide average millage by (b)41235
the per-mill yield of the county board.41236

       (9) "County yield per enrollee" of a county board means the41237
quotient obtained by dividing (a) the county yield of the county41238
board by (b) the adult enrollment of the county board.41239

       (10) "Statewide yield per enrollee" means the quotient41240
obtained by dividing (a) the sum of the county yields of all41241
county boards by (b) the sum of the adult enrollments of all41242
county boards.41243

       (11) "Local tax effort for adult services" of a county board41244
means one thousand multiplied by the quotient obtained by dividing41245
(a) the local adult services cost of the county board by (b) the41246
taxable value of the county board.41247

       (12) "Funding percentage" for a fiscal year means the41248
percentage that the amount appropriated to the department for the41249
purpose of making payments under this section in the fiscal year41250
is of the amount computed under division (C)(3) of this section41251
for the fiscal year.41252

       (13) "Funding-adjusted required millage" for a fiscal year41253
means the statewide average millage multiplied by the funding41254
percentage for that fiscal year.41255

       (B)(1) On the request of the director of mental retardation41256
and developmental disabilities, the tax commissioner shall provide41257
to the department of mental retardation and developmental41258
disabilities information specifying the taxable value of property41259
on each county's tax list of real and public utility property and41260
tax list of personal property for the most recent tax year for41261
which such information is available. The director may request any41262
other tax information necessary for the purposes of this section.41263

       (2) On the request of the director, each county board shall41264
report the county board's adult services enrollment and local41265
adult services cost.41266

       (C) Each year, the department of mental retardation and41267
developmental disabilities shall compute the following:41268

       (1) For each county board, the amount, if any, by which the41269
statewide yield per enrollee exceeds the county yield per41270
enrollee;41271

       (2) For each county board, the amount of any excess computed41272
under division (C)(1) of this section multiplied by the adult41273
services enrollment of the county board;41274

       (3) The sum of the amounts computed under division (C)(2) of41275
this section for all county boards.41276

       (D) From money appropriated for the purpose, the department 41277
shall provide for payment to each county board of the amount41278
computed for that county board under division (C)(2) of this41279
section, subject to any reduction or adjustment under division41280
(E), (F), or (G) of this section. The department shall make the 41281
payments in quarterly installments of equal amounts. The 41282
installments shall be made not later than the thirtieth day of 41283
September, thirty-first day of December, thirty-first day of 41284
March, and thirtieth day of June.41285

       (E) If a county board's local tax effort for adult services41286
is less than the funding-adjusted required millage, the director41287
shall reduce the amount of payment otherwise computed under41288
division (C)(2) of this section so that the amount paid, after the41289
reduction, is the same percentage of the amount computed under41290
division (C)(2) of this section as the county board's local tax41291
effort for adult services is of the funding-adjusted required41292
millage.41293

       If the director reduces the amount of a county board's41294
payment under this division, the department, not later than the41295
fifteenth day of July, shall notify the county board of the41296
reduction and the amount of the reduction. The notice shall41297
include a statement that the county board may request to be41298
exempted from the reduction by filing a request with the director,41299
in the manner and form prescribed by the director, within41300
twenty-one days after such notification is issued. The board may41301
present evidence of its attempt to obtain passage of levies or any41302
other extenuating circumstances the board considers relevant. If41303
the county board requests a hearing before the director to present41304
such evidence, the director shall conduct a hearing on the request41305
unless the director exempts the board from the reduction on the41306
basis of the evidence presented in the request filed by the board.41307
Upon receiving a properly and timely filed request for exemption,41308
but not later than the thirty-first day of August, the director41309
shall determine whether the county board shall be exempted from41310
all or a part of the reduction. The director may exempt the board41311
from all or part of the reduction if the director finds that the41312
board has made good faith efforts to obtain passage of tax levies41313
or that there are extenuating circumstances.41314

       (F) If a payment is reduced under division (E) of this41315
section and the director does not exempt the county board from the41316
reduction, the amount of the reduction shall be apportioned among41317
all county boards entitled to payments under this section for41318
which payments were not so reduced. The amount apportioned to each 41319
county board shall be proportionate to the amount of the board's 41320
payment as computed under division (C)(2) of this section.41321

       (G) If, for any fiscal year, the amount appropriated to the41322
department for the purpose of this section is less than the amount41323
computed under division (C)(3) of this section for the fiscal41324
year, the department shall adjust the amount of each payment as41325
computed under divisions (C)(2), (E), and (F) of this section by41326
multiplying that amount by the funding percentage.41327

       (H) The payments authorized by this section are supplemental41328
to all other funds that may be received by a county board. A41329
county board shall use the payments solely to pay the nonfederal41330
share of medicaid expenditures that division (A) of section41331
5126.057 of the Revised Code requires the county board to pay.41332

       Sec. 5126.19.  (A) The director of mental retardation and41333
developmental disabilities may grant temporary funding from the41334
community mental retardation and developmental disabilities trust41335
fund based on allocations to county boards of mental retardation41336
and developmental disabilities. The director may distribute all or 41337
part of the funding directly to a county board, the persons who41338
provide the services for which the funding is granted, or persons41339
with mental retardation or developmental disabilities who are to41340
receive those services.41341

       (B) Funding granted under division (A) of this section shall41342
be granted according to the availability of moneys in the fund and41343
priorities established by the director. Funding may be granted for 41344
any of the following purposes:41345

       (1) Behavioral or short-term interventions for persons with41346
mental retardation or developmental disabilities that assist them41347
in remaining in the community by preventing institutionalization;41348

       (2) Emergency respite care services, as defined in section41349
5126.11 of the Revised Code;41350

       (3) Family support services provided under section 5126.11 of 41351
the Revised Code;41352

       (4) Supported living, as defined in section 5126.01 of the41353
Revised Code;41354

       (5) Staff training for county board employees, employees of41355
providers of residential services as defined in section 5126.01 of41356
the Revised Code, and other personnel under contract with a county41357
board, to provide the staff with necessary training in serving41358
mentally retarded or developmentally disabled persons in the41359
community;41360

       (6) Short-term provision of early childhood services provided 41361
under section 5126.05, adult services provided under sections 41362
5126.05 and 5126.051, and service and support administration 41363
provided under section 5126.15 of the Revised Code, when local41364
moneys are insufficient to meet the need for such services due to41365
the successive failure within a two-year period of three or more41366
proposed levies for the services;41367

       (7) Contracts with providers of residential services to41368
maintain persons with mental retardation and developmental41369
disabilities in their programs and avoid institutionalization.41370

       (C) If the trust fund contains more than ten million dollars41371
on the first day of July the director shall use one million41372
dollars for payments under section 5126.12 of the Revised Code,41373
one million dollars for payments under section 5126.18 of the41374
Revised Code, and two million dollars for payments under section41375
5126.44 of the Revised Codesubsidies to county boards for 41376
supported living, and one million dollars for subsidies to county 41377
boards for early childhood services and adult services provided 41378
under section 5126.05 of the Revised Code. Distributions of funds41379
under this division shall be made prior to August 31 of the state41380
fiscal year in which the funds are available. The funds shall be 41381
allocated to a county board in an amount equal to the same41382
percentage of the total amount allocated to the county board the 41383
immediately preceding state fiscal year.41384

       (D) In addition to making grants under division (A) of this41385
section, the director may use money available in the trust fund41386
for the same purposes that rules adopted under section 5123.041341387
of the Revised Code provide for money in the state MR/DD risk fund41388
and the state insurance against MR/DD risk fund, both created41389
under that section, to be used.41390

       Sec. 5126.25.  (A) The director of mental retardation and41391
developmental disabilities shall adopt rules in accordance with41392
Chapter 119. of the Revised Code establishing uniform standards41393
and procedures for the certification of persons for employment by41394
county boards of mental retardation and developmental disabilities41395
as superintendents, management employees, and professional41396
employees and uniform standards and procedures for the41397
registration of persons for employment by county boards as41398
registered service employees. As part of the rules, the director41399
may establish continuing education and professional training41400
requirements for renewal of certificates and evidence of41401
registration and shall establish such requirements for renewal of41402
an investigative agent certificate. In the rules, the director41403
shall establish certification standards for employment in the41404
position of investigative agent that require an individual to have41405
or obtain no less than an associate degree from an accredited41406
college or university or have or obtain comparable experience or41407
training. The director shall not adopt rules that require any41408
service employee to have or obtain a bachelor's or higher degree.41409

       The director shall adopt the rules in a manner that provides41410
for the issuance of certificates and evidence of registration41411
according to categories, levels, and grades. The rules shall41412
describe each category, level, and grade.41413

       The rules adopted under this division shall apply to persons41414
employed or seeking employment in a position that includes41415
directly providing, or supervising persons who directly provide,41416
services or instruction to or on behalf of individuals with mental41417
retardation or developmental disabilities, except that the rules41418
shall not apply to persons who hold a valid license issued under41419
Chapter 3319. of the Revised Code and perform no duties other than41420
teaching or supervision of a teaching program or persons who hold41421
a valid license or certificate issued under Title XLVII of the41422
Revised Code and perform only those duties governed by the license41423
or certificate. The rules shall specify the positions that require41424
certification or registration. The rules shall specify that the41425
position of investigative agent requires certification.41426

       (B) The director shall adopt rules in accordance with Chapter 41427
119. of the Revised Code establishing standards for approval of 41428
courses of study to prepare persons to meet certification 41429
requirements. The director shall approve courses of study meeting 41430
the standards and provide for the inspection of the courses to 41431
ensure the maintenance of satisfactory training procedures. The 41432
director shall approve courses of study only if given by a state 41433
university or college as defined in section 3345.32 of the Revised 41434
Code, a state university or college of another state, or an 41435
institution that has received a certificate of authorization to 41436
confer degrees from the board of regents pursuant to Chapter 1713. 41437
of the Revised Code or from a comparable agency of another state.41438

       (C) Each applicant for a certificate for employment or41439
evidence of registration for employment by a county board shall41440
apply to the department of mental retardation and developmental41441
disabilities on forms that the director of the department shall41442
prescribe and provide. The application shall be accompanied by the 41443
application fee established in rules adopted under this section.41444

       (D) The director shall issue a certificate for employment to41445
each applicant who meets the standards for certification41446
established under this section and shall issue evidence of41447
registration for employment to each applicant who meets the41448
standards for registration established under this section. Each41449
certificate or evidence of registration shall state the category,41450
level, and grade for which it is issued.41451

       The director shall issue, renew, deny, suspend, or revoke41452
certificates and evidence of registration in accordance with rules41453
adopted under this section. The director shall deny, suspend, or41454
revoke a certificate or evidence of registration if the director41455
finds, pursuant to an adjudication conducted in accordance with41456
Chapter 119. of the Revised Code, that the applicant for or holder41457
of the certificate or evidence of registration is guilty of41458
intemperate, immoral, or other conduct unbecoming to the41459
applicant's or holder's position, or is guilty of incompetence or41460
negligence within the scope of the applicant's or holder's duties.41461
The director shall deny or revoke a certificate or evidence of41462
registration if the director finds, pursuant to an adjudication41463
conducted in accordance with Chapter 119. of the Revised Code,41464
that the applicant for or holder of the certificate or evidence of41465
registration has been convicted of or pleaded guilty to any of the41466
offenses described in division (E) of section 5126.28 of the41467
Revised Code, unless the individual meets standards for41468
rehabilitation that the director establishes in the rules adopted41469
under that section. Evidence supporting such allegations shall be41470
presented to the director in writing and the director shall41471
provide prompt notice of the allegations to the person who is the41472
subject of the allegations. A denial, suspension, or revocation41473
may be appealed in accordance with procedures the director shall41474
establish in the rules adopted under this section.41475

       (E)(1) A person holding a valid certificate under this41476
section on the effective date of any rules adopted under this41477
section that increase certification standards shall have such41478
period as the rules prescribe, but not less than one year after41479
the effective date of the rules, to meet the new certification41480
standards.41481

       A person who is registered under this section on the41482
effective date of any rule that changes the standards adopted41483
under this section shall have such period as the rules prescribe,41484
but not less than one year, to meet the new registration41485
standards.41486

       (2) If an applicant for a certificate for employment has not41487
completed the courses of instruction necessary to meet the41488
department's standards for certification, the department shall41489
inform the applicant of the courses the applicant must41490
successfully complete to meet the standards and shall specify the41491
time within which the applicant must complete the courses. The41492
department shall grant the applicant at least one year to complete41493
the courses and shall not require the applicant to complete more41494
than four courses in any one year. The applicant is not subject to 41495
any changes regarding the courses required for certification that 41496
are made after the department informs the applicant of the courses41497
the applicant must complete, unless the applicant does not41498
successfully complete the courses within the time specified by the41499
department.41500

       (F) A person who holds a certificate or evidence of41501
registration, other than one designated as temporary, is qualified41502
to be employed according to that certificate or evidence of41503
registration by any county board.41504

       (G) The director shall monitor county boards to ensure that41505
their employees who must be certified or registered are41506
appropriately certified or registered and performing those41507
functions they are authorized to perform under their certificate41508
or evidence of registration.41509

       (H) A county board superintendent or the superintendent's41510
designee may certify to the director that county board employees41511
who are required to meet continuing education or professional41512
training requirements as a condition of renewal of certificates or41513
evidence of registration have met the requirements. The41514
superintendent or the superintendent's designee shall maintain in41515
appropriate personnel files evidence acceptable to the director41516
that the employees have met the requirements and permit41517
representatives of the department access to the evidence on41518
request.41519

       (I) All fees collected pursuant to this section shall be41520
deposited in the state treasury to the credit of the employee41521
certification and registrationprogram fee fund, which is hereby41522
created under section 5123.033 of the Revised Code. Money credited 41523
to the fund shall be used solely for the operation of the 41524
certification and registration program established under this 41525
section and for providing continuing training to county board41526
employees.41527

       (J) Employees of entities that contract with county boards of41528
mental retardation and developmental disabilities to operate41529
programs and services for individuals with mental retardation and41530
developmental disabilities are subject to the certification and41531
registration requirements established under section 5123.082 of41532
the Revised Code.41533

       Sec. 5126.40.  (A) Sections 5126.40 to 5126.47 of the Revised 41534
Code do not apply to medicaid-funded supported living.41535

       (B) As used in this section and sections 5126.415126.40 to 41536
5126.47 of the Revised Code, "provider" means a person or41537
government entity certified by the departmentdirector of mental41538
retardation and developmental disabilities to provide supported 41539
living for individuals with mental retardation and developmental 41540
disabilities.41541

       (B) This division is in effect until July 1, 1995. By 41542
adoption of a resolution by affirmative vote of a majority of its 41543
members, a county board of mental retardation and developmental 41544
disabilities shall have authority to plan and develop supported 41545
living for individuals with mental retardation and developmental 41546
disabilities who are residents of the county and, as provided in 41547
sections 5126.41 to 5126.47 of the Revised Code, contract with 41548
providers and enter into shared funding arrangements. The board's 41549
authority under this division is effective on the department's 41550
receipt of the resolution.41551

       (C) On and after July 1, 1995, each county board shall plan 41552
and develop supported living for individuals with mental 41553
retardation and developmental disabilities who are residents of 41554
the county in accordance with sections 5126.41 to 5126.47 of the 41555
Revised Code.41556

       Sec. 5126.42.  (A) A county board of mental retardation and 41557
developmental disabilities shall establish an advisory council 41558
composed of board members or employees of the board, providers, 41559
individuals receiving supported living, and advocates for 41560
individuals receiving supported living to provide on-going41561
communication among all persons concerned with supported living.41562

       (B) The board shall develop procedures for the resolution of 41563
grievances between the board and providers or between the board 41564
and an entity with which it has a shared funding agreement.41565

       (C) The board shall develop and implement a provider41566
selection system. Each system shall enable an individual to choose 41567
to continue receiving supported living from the same providers, to 41568
select additional providers, or to choose alternative providers. 41569
Annually, the board shall review its provider selection system to 41570
determine whether it has been implemented in a manner that allows 41571
individuals fair and equitable access to providers.41572

       In developing a provider selection system, the county board41573
shall create a pool of providers for individuals to use in41574
choosing their providers of supported living. The pool shall be41575
created by placing in the pool all providers on record with the41576
board or by placing in the pool all providers approved by the41577
board through soliciting requests for proposals for supported41578
living contracts. In either case, only providers that are41579
certified by the departmentdirector of mental retardation and41580
developmental disabilities and in compliance with the quality41581
assurance standards established in rules adopted by the department41582
may be placed in the pool.41583

       If the board places all providers on record in the pool, the 41584
board shall review the pool at least annually to determine whether 41585
each provider has continued interest in being a provider and has 41586
maintained its certification by the department. At any time, an 41587
interested and certified provider may make a request to the board 41588
that it be added to the pool, and the board shall add the provider 41589
to the pool not later than seven days after receiving the request.41590

       If the board solicits requests for proposals for inclusion of 41591
providers in the pool, the board shall develop standards for41592
selecting the providers to be included. Requests for proposals41593
shall be solicited at least annually. When requests are solicited, 41594
the board shall cause legal notices to be published at least once 41595
each week for two consecutive weeks in a newspaper with general 41596
circulation within the county. The board's formal request for 41597
proposals shall include a description of any applicable contract 41598
terms, the standards that are used to select providers for 41599
inclusion in the pool, and the process the board uses to resolve 41600
disputes arising from the selection process. The board shall 41601
accept requests from any entity interested in being a provider of 41602
supported living for individuals served by the board. Requests 41603
shall be approved or denied according to the standards developed 41604
by the board. Providers that previously have been placed in the 41605
pool are not required to resubmit a request for proposal to be 41606
included in the pool, unless the board's standards have been 41607
changed.41608

       In assisting an individual in choosing a provider, the county 41609
board shall provide the individual with uniform and consistent 41610
information pertaining to each provider in the pool, including the 41611
provider evaluations conducted under section 5126.431 of the 41612
Revised Code on and after July 1, 1995. An individual may choose 41613
to receive supported living from a provider that is not included 41614
in the pool, if the provider is certified by the department41615
director of mental retardation and developmental disabilities and 41616
in compliance with the quality assurance standards established in 41617
rules adopted by the department.41618

       Sec. 5126.43.  (A) After receiving notice from the department 41619
of mental retardation and developmental disabilities of the amount 41620
of state funds to be distributed to it under section 5126.44 of 41621
the Revised Codefor planning, developing, contracting for, and 41622
providing supported living, the county board of mental retardation 41623
and developmental disabilities shall arrange for supported living41624
on behalf of and with the consent of individuals based on their 41625
individual service plans developed under section 5126.41 of the 41626
Revised Code. With the state distribution and any other money 41627
designated by the board for supported living, the board shall 41628
arrange for supported living in one or more of the following ways:41629

       (1) By contracting under section 5126.45 of the Revised Code 41630
with providers selected by the individual to be served;41631

       (2) By entering into shared funding agreements with state 41632
agencies, local public agencies, or political subdivisions at 41633
rates negotiated by the board;41634

       (3) By providing direct payment or vouchers to be used to 41635
purchase supported living, pursuant to a written contract in an41636
amount determined by the board, to the individual or a person 41637
providing the individual with protective services as defined in 41638
section 5123.55 of the Revised Code.41639

       (B) When the board contracts for supported living on behalf 41640
of an individual, theThe board may contractarrange for supported 41641
living only with providers that are certified by the department41642
director of mental retardation and developmental disabilities and 41643
are in compliance with the quality assurance standards established 41644
in rules adopted by the department. The contract terms shall be as 41645
provided in section 5126.45 of the Revised Code.41646

       When no certified provider is willing and able to provide 41647
supported living for an individual in accordance with the terms of 41648
the individual service plan for that individual, a county board 41649
may provide supported living directly, if it complies with 41650
certification and quality assurance standards established by the41651
departmentis certified by the director of mental retardation and 41652
developmental disabilities to provide supported living.41653

       A county board may, for a period not to exceed ninety days, 41654
contract for or provide supported living without meeting the 41655
requirements of this section for an individual it determines to be 41656
in emergency need of supported living. Thereafter, the individual 41657
shall choose providers in accordance with sections 5126.41 and 41658
5126.42 of the Revised Code.41659

       Sec. 5126.45.  (A) A contract between a county board of41660
mental retardation and developmental disabilities and a provider41661
of supported living shall be in writing and shall be based on the 41662
individual service plan developed by the individual under section 41663
5126.41 of the Revised Code. The plan may be submitted as an 41664
addendum to the contract. An individual receiving services 41665
pursuant to a contract shall be considered a third-party 41666
beneficiary to the contract.41667

       The board shall not contract with a provider to provide a 41668
residence to a person to whom the provider is providing other 41669
supported living services, unless one of the following applies:41670

       (1) The provider is under contract with the board for both41671
residence and services on July 17, 1990, and the contract is being 41672
renewed.41673

       (2) The provider has a contract being transferred from the 41674
state to the county board under section 5126.451 of the Revised 41675
Code and the contract is being renewed.41676

       (3) The provider lives in the residence and provides services 41677
to not more than three persons who reside in the residence at any 41678
one time.41679

       (4) The provider is an association of family members related 41680
to two or more of the persons who reside in the residence and 41681
provides services to not more than four persons who reside in the 41682
residence at any one time.41683

       (B) The contract shall be negotiated between the provider and 41684
the county board. The terms of the contract shall include at least 41685
the following:41686

       (1) The contract period and conditions for renewal;41687

       (2) The services to be provided pursuant to the individual 41688
service plan;41689

       (3) The rights and responsibilities of all parties to the 41690
contract;41691

       (4) The methods that will be used to evaluate the services 41692
delivered by the provider;41693

       (5) Procedures for contract modification that ensure all 41694
parties affected by the modification are involved and agree;41695

       (6) A process for resolving conflicts between individuals 41696
receiving services, the county board, and the provider, as 41697
applicable;41698

       (7) Procedures for the retention of applicable records;41699

       (8) Provisions for contract termination by any party involved 41700
that include requirements for an appropriate notice of intent to 41701
terminate the contract;41702

       (9) Methods to be used to document services provided;41703

       (10) Procedures for submitting reports required by the county 41704
board as a condition of receiving payment under the contract;41705

       (11) The method and schedule the board will use to make 41706
payments to the provider and whether periodic payment adjustments 41707
will be made to the provider;41708

       (12) Provisions for conducting fiscal reconciliations for 41709
payments made through methods other than a fee-for-service 41710
arrangement.41711

       (C) Payments to the provider under a supported living41712
contract must be determined by the board to be reasonable in41713
accordance with policies and procedures developed by the board.41714
Goods or services provided without charge to the provider shall41715
not be included as expenditures of the provider.41716

       (D) The board shall establish procedures for reconciling41717
expenditures and payments, other than those made under a 41718
fee-for-service arrangement, for the prior contract year when a41719
contract is not renewed and shall reconcile expenditures and41720
payments in accordance with these procedures.41721

       (E) A provider or an entity with which the board has entered 41722
into a shared funding agreement may appeal a negotiated contract 41723
or proposed shared funding rate to the county board using the 41724
procedures established by the board under section 5126.42 of the 41725
Revised Code.41726

       Sec. 5126.47.  A county board of mental retardation and41727
developmental disabilities that has adopted a resolution under41728
section 5126.40 of the Revised Code may, pursuant to a resolution41729
adopted by an affirmative vote of the majority of its members,41730
establish, by agreement with one or more other county boards of41731
mental retardation and developmental disabilities, a residential41732
services consortium to jointly provide residential services and41733
supported living. The agreement shall designate one board to41734
assume the fiscal responsibilities for the consortium. The county 41735
auditor of the designated county shall establish a community 41736
mental retardation and developmental disabilities residential 41737
services fund for the consortium. Each board that is a member of 41738
the consortium shall cause to be deposited in the fund all moneys 41739
distributed to it by the department of mental retardation and 41740
developmental disabilities under section 5126.44 of the Revised 41741
Code and any other state or federal money received for community 41742
residential services the county board has agreed to contribute to 41743
the consortium.41744

       Sec. 5139.27.  The department of youth services shall adopt41745
rules prescribing the minimum standards of construction for a41746
school, forestry camp, or other facility established under section41747
2151.65 of the Revised Code for which financial assistance may be41748
granted to assist in defraying the cost of the construction of the41749
school, forestry camp, or other facility. If an application for41750
that financial assistance is filed with the department under41751
section 2151.651 of the Revised Code, and the department finds41752
that the application is in proper form and the specifications for41753
the construction of the school, forestry camp, or other facility41754
meet the minimum standards set forth in the rules adopted by the41755
department, the department may, from moneys available to it for41756
granting financial assistance for the construction of schools,41757
forestry camps, or other facilities established under section41758
2151.65 of the Revised Code, grant financial assistance to the41759
county making the application, subject to the approval of the41760
controlling board, in an amount not to exceed one-half of the41761
county's share of the cost of construction of the school, forestry41762
camp, or other facility but not to exceed six thousand five41763
hundred dollars for each bed unit provided for in the school,41764
forestry camp, or other facility. As used in this section,41765
"construction" means the building and the initial equipping of new41766
structures and, to the extent provided for in rules adopted by the41767
department, the acquisition, remodeling, and initial equipping of41768
existing structures, excluding architect's fees and the cost of41769
land acquisition.41770

       A county that receives financial assistance under this41771
section shall not be obligated to repay the assistance to the41772
state unless the school, forestry camp, or other facility for41773
which the assistance is granted is used within the ten-year period41774
immediately following its establishment for other than the purpose41775
of rehabilitating children between the ages of twelve to eighteen41776
years, other than psychotic or mentally retarded children, who are41777
designated delinquent children, as defined in section 2152.02 of41778
the Revised Code, or unruly, as defined in section 2151.022 of the41779
Revised Code, by order of a juvenile court. If the department of41780
youth services finds that the school, forestry camp, or other41781
facility is used for other than that purpose within that ten-year41782
period, the county shall be obligated to repay the assistance to41783
the state and, through its board of county commissioners, may41784
enter into an agreement with the director of budget and management41785
for the discharge of that obligation over a period not to exceed41786
ten years in duration. Whenever a county is obligated to repay41787
that assistance to the state and its board of county commissioners41788
fails to enter into or fails to comply with an agreement for the41789
discharge of that obligation, the tax commissioner, pursuant to41790
section 5747.54 of the Revised Code, shall withhold from41791
distribution to the county from the local governmentcommunities41792
fund an amount sufficient to discharge the county from that 41793
obligation to the state.41794

       Sec. 5139.271.  Subject to the approval of the controlling41795
board, the department of youth services may grant and pay41796
financial assistance to defray the county's share of the cost of41797
acquiring or constructing a district detention facility,41798
established under section 2152.41 of the Revised Code, to any41799
county making application under section 2152.43 of the Revised41800
Code if the department finds that the application was made in41801
accordance with its rules and the facility or the specifications41802
for the facility meet minimum standards established by the41803
department. No financial assistance shall be granted for defraying 41804
the cost of architects' fees or land.41805

       The department shall adopt rules prescribing the minimum41806
standards of construction and condition of existing structures,41807
established under section 2152.41 of the Revised Code, for which41808
financial assistance is granted under this section. The department 41809
may recommend programs of education and training and the 41810
qualifications desired for personnel of a district detention41811
facility.41812

       The amount of financial assistance granted to any county41813
shall not exceed one-half of the county's share of the cost of41814
acquisition or construction of the facility. The total of all41815
state assistance for any home shall not exceed six thousand five41816
hundred dollars for each bed unit provided for in the facility.41817

       A county that receives financial assistance under this41818
section shall repay the assistance to the state if the facility41819
for which the assistance is granted is used within the ten-year41820
period immediately following its establishment for purposes other41821
than those contained in section 2152.41 of the Revised Code. A41822
board of county commissioners that uses the facility for any other 41823
purpose within that period shall enter into an agreement with the 41824
director of budget and management for the discharge of that41825
obligation over a period not to exceed ten years. If a board of41826
county commissioners fails to enter into an agreement for the41827
discharge of that obligation, or fails to comply with the terms of41828
such an agreement, the director shall direct the tax commissioner,41829
pursuant to section 5747.54 of the Revised Code, to withhold from41830
the distribution of the local governmentcommunities fund an 41831
amount sufficient to discharge the obligation.41832

       As used in this section:41833

       (A) "Construction" means the building and initial equipping41834
of new structures.41835

       (B) "Acquisition" means "acquisition" as defined in the rules 41836
of the department, which may include the purchase, remodeling, and 41837
initial equipping of existing structures.41838

       Sec. 5139.43.  (A) The department of youth services shall 41839
operate a felony delinquent care and custody program that shall be 41840
operated in accordance with the formula developed pursuant to 41841
section 5139.41 of the Revised Code, subject to the conditions 41842
specified in this section.41843

       (B)(1) Each juvenile court shall use the moneys disbursed to 41844
it by the department of youth services pursuant to division (B) of 41845
section 5139.41 of the Revised Code in accordance with the 41846
applicable provisions of division (B)(2) of this section and shall 41847
transmit the moneys to the county treasurer for deposit in 41848
accordance with this division. The county treasurer shall create 41849
in the county treasury a fund that shall be known as the felony 41850
delinquent care and custody fund and shall deposit in that fund 41851
the moneys disbursed to the juvenile court pursuant to division 41852
(B) of section 5139.41 of the Revised Code. The county treasurer 41853
also shall deposit into that fund the state subsidy funds granted 41854
to the county pursuant to section 5139.34 of the Revised Code. The 41855
moneys disbursed to the juvenile court pursuant to division (B) of 41856
section 5139.41 of the Revised Code and deposited pursuant to this41857
division in the felony delinquent care and custody fund shall not41858
be commingled with any other county funds except state subsidy 41859
funds granted to the county pursuant to section 5139.34 of the 41860
Revised Code; shall not be used for any capital construction 41861
projects; upon an order of the juvenile court and subject to 41862
appropriation by the board of county commissioners, shall be 41863
disbursed to the juvenile court for use in accordance with the 41864
applicable provisions of division (B)(2) of this section; shall 41865
not revert to the county general fund at the end of any fiscal 41866
year; and shall carry over in the felony delinquent care and 41867
custody fund from the end of any fiscal year to the next fiscal 41868
year. At the end of each fiscal year, beginning June 30, 2008, the 41869
balance in the felony delinquent care and custody fund in any 41870
county shall not exceed the total moneys allocated to the county 41871
pursuant to sections 5139.34 and 5139.41 of the Revised Code 41872
during the previous fiscal year, unless that county has applied 41873
for and been granted an exemption by the director of youth 41874
services. The department shall withhold from future payments to a 41875
county an amount equal to any moneys in the felony delinquent care 41876
and custody fund of the county that exceed the total moneys 41877
allocated pursuant to those sections to the county during the 41878
preceding fiscal year and shall reallocate the withheld amount. 41879
The department shall adopt rules for the withholding and 41880
reallocation of moneys disbursed under sections 5139.34 and 41881
5139.41 of the Revised Code and for the criteria and process for a 41882
county to obtain an exemption from the withholding requirement.41883
The moneys disbursed to the juvenile court pursuant to division41884
(B) of section 5139.41 of the Revised Code and deposited pursuant 41885
to this division in the felony delinquent care and custody fund 41886
shall be in addition to, and shall not be used to reduce, any 41887
usual annual increase in county funding that the juvenile court is 41888
eligible to receive or the current level of county funding of the 41889
juvenile court and of any programs or services for delinquent 41890
children, unruly children, or juvenile traffic offenders.41891

       (2)(a) A county and the juvenile court that serves the county41892
shall use the moneys in its felony delinquent care and custody 41893
fund in accordance with rules that the department of youth 41894
services adopts pursuant to division (D) of section 5139.04 of the 41895
Revised Code and as follows:41896

       (i) The moneys in the fund that represent state subsidy funds41897
granted to the county pursuant to section 5139.34 of the Revised 41898
Code shall be used to aid in the support of prevention, early 41899
intervention, diversion, treatment, and rehabilitation programs 41900
that are provided for alleged or adjudicated unruly children or 41901
delinquent children or for children who are at risk of becoming 41902
unruly children or delinquent children. The county shall not use 41903
for capital improvements more than fifteen per cent of the moneys 41904
in the fund that represent the applicable annual grant of those41905
state subsidy funds.41906

       (ii) The moneys in the fund that were disbursed to the 41907
juvenile court pursuant to division (B) of section 5139.41 of the 41908
Revised Code and deposited pursuant to division (B)(1) of this 41909
section in the fund shall be used to provide programs and services 41910
for the training, treatment, or rehabilitation of felony 41911
delinquents that are alternatives to their commitment to the 41912
department, including, but not limited to, community residential 41913
programs, day treatment centers, services within the home, and 41914
electronic monitoring, and shall be used in connection with 41915
training, treatment, rehabilitation, early intervention, or other 41916
programs or services for any delinquent child, unruly child, or 41917
juvenile traffic offender who is under the jurisdiction of the 41918
juvenile court. 41919

        The fund also may be used for prevention, early intervention, 41920
diversion, treatment, and rehabilitation programs that are 41921
provided for alleged or adjudicated unruly children, delinquent 41922
children, or juvenile traffic offenders or for children who are at 41923
risk of becoming unruly children, delinquent children, or juvenile 41924
traffic offenders. Consistent with division (B)(1) of this41925
section, a county and the juvenile court of a county shall not use 41926
any of those moneys for capital construction projects.41927

       (iii) The county and the juvenile court that serves the 41928
county may not use moneys in the fund for the provision of care 41929
and services for children, including, but not limited to, care and 41930
services in a detention facility, in another facility, or in 41931
out-of-home placement, unless the minimum standards that apply to 41932
the care and services and that the department prescribes in rules 41933
adopted pursuant to division (D) of section 5139.04 of the Revised 41934
Code have been satisfied.41935

       (b) Each juvenile court shall comply with division (B)(3)(d) 41936
of this section as implemented by the department. 41937

       (3) In accordance with rules adopted by the department41938
pursuant to division (D) of section 5139.04 of the Revised Code, 41939
each juvenile court and the county served by that juvenile court 41940
shall do all of the following that apply:41941

       (a) The juvenile court shall prepare an annual grant 41942
agreement and application for funding that satisfies the 41943
requirements of this section and section 5139.34 of the Revised 41944
Code and that pertains to the use, upon an order of the juvenile 41945
court and subject to appropriation by the board of county 41946
commissioners, of the moneys in its felony delinquent care and 41947
custody fund for specified programs, care, and services as 41948
described in division (B)(2)(a) of this section, shall submit that 41949
agreement and application to the county family and children first 41950
council, the regional family and children first council, or the 41951
local intersystem services to children cluster as described in41952
sections 121.37 and 121.38 of the Revised Code, whichever is 41953
applicable, and shall file that agreement and application with the41954
department for its approval. The annual grant agreement and 41955
application for funding shall include a method of ensuring equal41956
access for minority youth to the programs, care, and services 41957
specified in it.41958

       The department may approve an annual grant agreement and 41959
application for funding only if the juvenile court involved has 41960
complied with the preparation, submission, and filing requirements 41961
described in division (B)(3)(a) of this section. If the juvenile 41962
court complies with those requirements and the department approves 41963
that agreement and application, the juvenile court and the county41964
served by the juvenile court may expend the state subsidy funds41965
granted to the county pursuant to section 5139.34 of the Revised 41966
Code only in accordance with division (B)(2)(a) of this section, 41967
the rules pertaining to state subsidy funds that the department 41968
adopts pursuant to division (D) of section 5139.04 of the Revised41969
Code, and the approved agreement and application.41970

       (b) By the thirty-first day of August of each year, the 41971
juvenile court shall file with the department a report that 41972
contains all of the statistical and other information for each 41973
month of the prior state fiscal year. If the juvenile court fails 41974
to file the report required by division (B)(3)(b) of this section 41975
by the thirty-first day of August of any year, the department 41976
shall not disburse any payment of state subsidy funds to which the 41977
county otherwise is entitled pursuant to section 5139.34 of the 41978
Revised Code and shall not disburse pursuant to division (B) of 41979
section 5139.41 of the Revised Code the applicable allocation 41980
until the juvenile court fully complies with division (B)(3)(b) of 41981
this section.41982

       (c) If the department requires the juvenile court to prepare 41983
monthly statistical reports and to submit the reports on forms 41984
provided by the department, the juvenile court shall file those 41985
reports with the department on the forms so provided. If the 41986
juvenile court fails to prepare and submit those monthly 41987
statistical reports within the department's timelines, the 41988
department shall not disburse any payment of state subsidy funds 41989
to which the county otherwise is entitled pursuant to section 41990
5139.34 of the Revised Code and shall not disburse pursuant to 41991
division (B) of section 5139.41 of the Revised Code the applicable 41992
allocation until the juvenile court fully complies with division41993
(B)(3)(c) of this section. If the juvenile court fails to prepare 41994
and submit those monthly statistical reports within one hundred 41995
eighty days of the date the department establishes for their 41996
submission, the department shall not disburse any payment of state 41997
subsidy funds to which the county otherwise is entitled pursuant 41998
to section 5139.34 of the Revised Code and shall not disburse 41999
pursuant to division (B) of section 5139.41 of the Revised Code 42000
the applicable allocation, and the state subsidy funds and the 42001
remainder of the applicable allocation shall revert to the 42002
department. If a juvenile court states in a monthly statistical 42003
report that the juvenile court adjudicated within a state fiscal42004
year five hundred or more children to be delinquent children for 42005
committing acts that would be felonies if committed by adults and 42006
if the department determines that the data in the report may be 42007
inaccurate, the juvenile court shall have an independent auditor 42008
or other qualified entity certify the accuracy of the data on a 42009
date determined by the department.42010

       (d) If the department requires the juvenile court and the 42011
county to participate in a fiscal monitoring program or another 42012
monitoring program that is conducted by the department to ensure 42013
compliance by the juvenile court and the county with division (B) 42014
of this section, the juvenile court and the county shall 42015
participate in the program and fully comply with any guidelines 42016
for the performance of audits adopted by the department pursuant 42017
to that program and all requests made by the department pursuant 42018
to that program for information necessary to reconcile fiscal 42019
accounting. If an audit that is performed pursuant to a fiscal42020
monitoring program or another monitoring program described in this 42021
division determines that the juvenile court or the county used 42022
moneys in the county's felony delinquent care and custody fund for 42023
expenses that are not authorized under division (B) of this 42024
section, within forty-five days after the department notifies the 42025
county of the unauthorized expenditures, the county either shall 42026
repay the amount of the unauthorized expenditures from the county 42027
general revenue fund to the state's general revenue fund or shall42028
file a written appeal with the department. If an appeal is timely 42029
filed, the director of the department shall render a decision on 42030
the appeal and shall notify the appellant county or its juvenile 42031
court of that decision within forty-five days after the date that 42032
the appeal is filed. If the director denies an appeal, the 42033
county's fiscal agent shall repay the amount of the unauthorized 42034
expenditures from the county general revenue fund to the state's 42035
general revenue fund within thirty days after receiving the 42036
director's notification of the appeal decision. If the county 42037
fails to make the repayment within that thirty-day period and if42038
the unauthorized expenditures pertain to moneys allocated under42039
sections 5139.41 to 5139.43 of the Revised Code, the department 42040
shall deduct the amount of the unauthorized expenditures from the42041
next allocation of those moneys to the county in accordance with 42042
this section or from the allocations that otherwise would be made 42043
under those sections to the county during the next state fiscal42044
year in accordance with this section and shall return that 42045
deducted amount to the state's general revenue fund. If the county 42046
fails to make the repayment within that thirty-day period and if 42047
the unauthorized expenditures pertain to moneys granted pursuant 42048
to section 5139.34 of the Revised Code, the department shall42049
deduct the amount of the unauthorized expenditures from the next42050
annual grant to the county pursuant to that section and shall42051
return that deducted amount to the state's general revenue fund.42052

       (C) The determination of which county a reduction of the 42053
care and custody allocation will be charged against for a 42054
particular youth shall be made as outlined below for all youths 42055
who do not qualify as public safety beds. The determination of 42056
which county a reduction of the care and custody allocation will 42057
be charged against shall be made as follows until each youth is 42058
released: 42059

       (1) In the event of a commitment, the reduction shall be 42060
charged against the committing county. 42061

       (2) In the event of a recommitment, the reduction shall be 42062
charged against the original committing county until the 42063
expiration of the minimum period of institutionalization under the 42064
original order of commitment or until the date on which the youth 42065
is admitted to the department of youth services pursuant to the 42066
order of recommitment, whichever is later. Reductions of the 42067
allocation shall be charged against the county that recommitted42068
the youth after the minimum expiration date of the original42069
commitment. 42070

       (3) In the event of a revocation of a release on parole, the 42071
reduction shall be charged against the county that revokes the 42072
youth's parole.42073

       (D) A juvenile court is not precluded by its allocation 42074
amount for the care and custody of felony delinquents from 42075
committing a felony delinquent to the department of youth services 42076
for care and custody in an institution or a community corrections 42077
facility when the juvenile court determines that the commitment is 42078
appropriate. 42079

       Sec. 5302.30.  (A) As used in this section:42080

       (1) "Good faith" means honesty in fact in a transaction42081
involving the transfer of residential real property.42082

       (2) "Land installment contract" has the same meaning as in42083
section 5313.01 of the Revised Code.42084

       (3) "Political subdivision" and "state" have the same42085
meanings as in section 2744.01 of the Revised Code.42086

       (4) "Residential real property" means real property that is42087
improved by a building or other structure that has one to four42088
dwelling units.42089

       (B)(1) Except as provided in division (B)(2) of this section, 42090
this section applies to any transfer of residential real property 42091
that occurs on or after July 1, 1993, by sale, land installment 42092
contract, lease with option to purchase, exchange, or lease for a 42093
term of ninety-nine years and renewable forever. For purposes of 42094
this section, a transfer occurs when the initial contract for 42095
transfer is executed, regardless of when legal title is 42096
transferred, and references in this section to transfer offers and 42097
transfer agreements refer to offers and agreements in respect of 42098
the initial contract for transfer.42099

       (2) This section does not apply to any transfer of42100
residential real property that is any of the following:42101

       (a) A transfer pursuant to court order, including, but not42102
limited to, a transfer ordered by a probate court during the42103
administration of a decedent's estate, a transfer pursuant to a42104
writ of execution, a transfer by a trustee in bankruptcy, a42105
transfer as a result of the exercise of the power of eminent42106
domain, and a transfer that results from a decree for specific42107
performance of a contract or other agreement between persons;42108

       (b) A transfer to a mortgagee by a mortgagor by deed in lieu42109
of foreclosure or in satisfaction of the mortgage debt;42110

       (c) A transfer to a beneficiary of a deed of trust by a42111
trustor in default;42112

       (d) A transfer by a foreclosure sale that follows a default42113
in the satisfaction of an obligation secured by a mortgage;42114

       (e) A transfer by a sale under a power of sale following a42115
default in the satisfaction of an obligation that is secured by a42116
deed of trust or another instrument containing a power of sale;42117

       (f) A transfer by a mortgagee, or a beneficiary under a deed42118
of trust, who has acquired the residential real property at a sale42119
conducted pursuant to a power of sale under a mortgage or a deed42120
of trust or who has acquired the residential real property by a42121
deed in lieu of foreclosure;42122

       (g) A transfer by a fiduciary in the course of the42123
administration of a decedent's estate, a guardianship, a42124
conservatorship, or a trust;42125

       (h) A transfer from one co-owner to one or more other42126
co-owners;42127

       (i) A transfer made to the transferor's spouse or to one or42128
more persons in the lineal line of consanguinity of one or more of42129
the transferors;42130

       (j) A transfer between spouses or former spouses as a result42131
of a decree of divorce, dissolution of marriage, annulment, or42132
legal separation or as a result of a property settlement agreement42133
incidental to a decree of divorce, dissolution of marriage,42134
annulment, or legal separation;42135

       (k) A transfer to or from the state, a political subdivision42136
of the state, or another governmental entity;42137

       (l) A transfer that involves newly constructed residential42138
real property that previously has not been inhabited;42139

       (m) A transfer to a transferee who has occupied the property42140
as a personal residence for one or more years immediately prior to42141
the transfer;42142

       (n) A transfer from a transferor who both has not occupied42143
the property as a personal residence within one year immediately42144
prior to the transfer and has acquired the property through42145
inheritance or devise.42146

       (C) Except as provided in division (B)(2) of this section and 42147
subject to divisions (E) and (F) of this section, every person who 42148
intends to transfer any residential real property on or after July 42149
1, 1993, by sale, land installment contract, lease with option to 42150
purchase, exchange, or lease for a term of ninety-nine years and 42151
renewable forever shall complete all applicable items in a 42152
property disclosure form prescribed under division (D) of this 42153
section and shall deliver in accordance with division (I) of this 42154
section a signed and dated copy of the completed form to each 42155
prospective transferee or prospective transferee's agent as soon 42156
as is practicable.42157

       (D)(1) Prior to July 1, 1993, the director of commerce, by42158
rule adopted in accordance with Chapter 119. of the Revised Code,42159
shall prescribe the disclosure form to be completed by42160
transferors. The form prescribed by the director shall be designed 42161
to permit the transferor to disclose material matters relating to 42162
the physical condition of the property to be transferred, 42163
including, but not limited to, the source of water supply to the 42164
property; the nature of the sewer system serving the property; the 42165
condition of the structure of the property, including the roof, 42166
foundation, walls, and floors; the presence of hazardous materials 42167
or substances, including lead-based paint, asbestos, 42168
urea-formaldehyde foam insulation, and radon gas; and any material 42169
defects in the property that are within the actual knowledge of 42170
the transferor.42171

       The form also shall set forth a statement of the purpose of42172
the form, including statements substantially similar to the42173
following: that the form constitutes a statement of the conditions 42174
of the property and of information concerning the property 42175
actually known by the transferor; that, unless the transferee is 42176
otherwise advised in writing, the transferor, other than having 42177
lived at or owning the property, possesses no greater knowledge 42178
than that which could be obtained by a careful inspection of the 42179
property by a potential transferee; that the statement is not a 42180
warranty of any kind by the transferor or by any agent or subagent 42181
representing the transferor in this transaction; that the 42182
statement is not a substitute for any inspections; that the 42183
transferee is encouraged to obtain the transferee's own 42184
professional inspection; that the representations are made by the 42185
transferor and are not the representations of the transferor's 42186
agent or subagent; and that the form and the representations 42187
contained therein are provided by the transferor exclusively to 42188
potential transferees in a transfer made by the transferor, and 42189
are not made to transferees in any subsequent transfers.42190

       The form shall include instructions to the transferor for42191
completing the form, space in which the transferor or transferors42192
shall sign and date the form, and space in which the transferee or42193
transferees shall sign and date the form acknowledging receipt of42194
a copy of the form and stating that the transferee or transferees42195
understand the purpose of the form as stated thereon.42196

       (2) Not later than January 1, 2006, the director shall revise 42197
the disclosure form to include a statement that information on the 42198
operation and maintenance of the type of sewage treatment system42199
serving the property is available from the department of health or 42200
the board of health of the health district in which the property 42201
is located.42202

       As used in this section, "sewage treatment system" has the 42203
same meaning as in section 3718.01 of the Revised Code.42204

       (E)(1) Each disclosure of an item of information that is42205
required to be made in the property disclosure form prescribed42206
under division (D) of this section in connection with particular42207
residential real property and each act that may be performed in42208
making any disclosure of an item of information shall be made or42209
performed in good faith.42210

       (2) If an item of information is unknown to the transferor of 42211
residential real property at the time the item is required to be 42212
disclosed in the property disclosure form and if the approximation 42213
is not used for the purpose of circumventing or otherwise evading 42214
divisions (C) and (D) of this section, the transferor may make a 42215
good faith approximation of the item of information.42216

       (F)(1) A transferor of residential real property is not42217
liable in damages in a civil action for injury, death, or loss to42218
person or property that allegedly arises from any error in,42219
inaccuracy of, or omission of any item of information required to42220
be disclosed in the property disclosure form if the error,42221
inaccuracy, or omission was not within the transferor's actual42222
knowledge.42223

       (2) If any item of information that is disclosed in the42224
property disclosure form is rendered inaccurate after the delivery 42225
of the form to the transferee of residential real property or the 42226
transferee's agent as a result of any act, occurrence, or42227
agreement, the subsequent inaccuracy does not cause, and shall not 42228
be construed as causing, the transferor of the residential real 42229
property to be in noncompliance with the requirements of divisions 42230
(C) and (D) of this section.42231

       (G) Any disclosure of an item of information in the property42232
disclosure form prescribed under division (D) of this section may 42233
be amended in writing by the transferor of residential real 42234
property at any time following the delivery of the form in 42235
accordance with divisions (C) and (I) of this section. The 42236
amendment shall be subject to this section.42237

       (H) Except as provided in division (B)(2) of this section,42238
every prospective transferee of residential real property who42239
receives in accordance with division (C) of this section a signed42240
and dated copy of a completed property disclosure form as42241
prescribed under division (D) of this section shall acknowledge 42242
receipt of the form by doing both of the following:42243

       (1) Signing and dating a copy of the form;42244

       (2) Delivering a signed and dated copy of the form to the42245
transferor or the transferor's agent or subagent.42246

       (I) The transferor's delivery under division (C) of this42247
section of a property disclosure form as prescribed under division 42248
(D) of this section and the prospective transferee's delivery 42249
under division (H) of this section of an acknowledgment of receipt 42250
of that form shall be made by personal delivery to the other party 42251
or the other party's agent or subagent, by ordinary mail or42252
certified mail, return receipt requested, or by facsimile42253
transmission. For the purposes of the delivery requirements of42254
this section, the delivery of a property disclosure form to a42255
prospective co-transferee of residential real property or a42256
prospective co-transferee's agent shall be considered delivery to42257
the other prospective transferees unless otherwise provided by42258
contract.42259

       (J) The specification of items of information that must be42260
disclosed in the property disclosure form as prescribed under42261
division (D)(1) of this section does not limit or abridge, and42262
shall not be construed as limiting or abridging, any obligation to42263
disclose an item of information that is created by any other42264
provision of the Revised Code or the common law of this state or42265
that may exist in order to preclude fraud, either by42266
misrepresentation, concealment, or nondisclosure in a transaction42267
involving the transfer of residential real property. The42268
disclosure requirements of this section do not bar, and shall not42269
be construed as barring, the application of any legal or equitable42270
defense that a transferor of residential real property may assert42271
in a civil action commenced against the transferor by a42272
prospective or actual transferee of that property.42273

       (K)(1) Except as provided in division (K)(2) of this section, 42274
but subject to divisions (J) and (L) of this section, a transfer 42275
of residential real property that is subject to this section shall 42276
not be invalidated because of the failure of the transferor to 42277
provide to the transferee in accordance with division (C) of this 42278
section a completed property disclosure form as prescribed under 42279
division (D) of this section.42280

       (2) Subject to division (K)(3)(c) of this section, if a42281
transferee of residential real property that is subject to this42282
section receives a property disclosure form or an amendment of42283
that form as described in division (G) of this section after the42284
transferee has entered into a transfer agreement with respect to42285
the property, the transferee, after receipt of the form or42286
amendment, may rescind the transfer agreement in a written,42287
signed, and dated document that is delivered to the transferor or 42288
the transferor's agent or subagent in accordance with divisions42289
(K)(3)(a) and (b) of this section, without incurring any legal42290
liability to the transferor because of the rescission, including,42291
but not limited to, a civil action for specific performance of the42292
transfer agreement. Upon the rescission of the transfer agreement, 42293
the transferee is entitled to the return of, and the transferor 42294
shall return, any deposits made by the transferee in connection 42295
with the proposed transfer of the residential real property.42296

       (3)(a) Subject to division (K)(3)(b) of this section, a42297
rescission of a transfer agreement under division (K)(2) of this42298
section only may occur if the transferee's written, signed, and42299
dated document of rescission is delivered to the transferor or the 42300
transferor's agent or subagent within three business days42301
following the date on which the transferee or the transferee's42302
agent receives the property disclosure form prescribed under 42303
division (D) of this section or the amendment of that form as 42304
described in division (G) of this section.42305

       (b) A transferee may not rescind a transfer agreement under42306
division (K)(2) of this section unless the transferee rescinds the42307
transfer agreement by the earlier of the date that is thirty days42308
after the date upon which the transferor accepted the transferee's 42309
transfer offer or the date of the closing of the transfer of the 42310
residential real property.42311

       (c) A transferee of residential real property may waive the42312
right of rescission of a transfer agreement described in division42313
(K)(2) of this section.42314

       (d) A rescission of a transfer agreement is not permissible42315
under division (K)(2) of this section if a transferee of42316
residential real property that is subject to this section receives42317
a property disclosure form as prescribed under division (D) of 42318
this section or an amendment of that form as described in division 42319
(G) of this section prior to the transferee's submission to the 42320
transferor or the transferor's agent or subagent of a transfer 42321
offer and the transferee's entry into a transfer agreement with 42322
respect to the property.42323

       (4) If a transferee of residential real property subject to42324
this section does not receive a property disclosure form from the 42325
transferor after the transferee has submitted to the transferor or 42326
the transferor's agent or subagent a transfer offer and has42327
entered into a transfer agreement with respect to the property,42328
the transferee may rescind the transfer agreement in a written,42329
signed, and dated document that is delivered to the transferor or 42330
the transferor's agent or subagent in accordance with division 42331
(K)(4) of this section without incurring any legal liability to 42332
the transferor because of the rescission, including, but not 42333
limited to, a civil action for specific performance of the 42334
transfer agreement. Upon the rescission of the transfer agreement, 42335
the transferee is entitled to the return of, and the transferor 42336
shall return, any deposits made by the transferee in connection 42337
with the proposed transfer of the residential real property. A 42338
transferee may not rescind a transfer agreement under division 42339
(K)(4) of this section unless the transferee rescinds the transfer42340
agreement by the earlier of the date that is thirty days after the42341
date upon which the transferor accepted the transferee's transfer42342
offer or the date of the closing of the transfer of the42343
residential real property.42344

       (L) The right of rescission of a transfer agreement described 42345
in division (K)(2) of this section or the absence of that right 42346
does not affect, and shall not be construed as affecting, any 42347
other legal causes of action or other remedies that a transferee 42348
or prospective transferee of residential real property may possess 42349
against the transferor of that property.42350

       Sec. 5323.011. Sections 5323.01, 5323.02, 5323.03, 5323.04, 42351
and 5323.99 of the Revised Code do not apply in a county unless 42352
the board of county commissioners adopts a resolution declaring 42353
that the sections apply in the county. The board may not adopt 42354
such a resolution unless it has found that the benefit from 42355
compliance with the sections will exceed the cost to the county 42356
and its people and to persons traveling, working, or doing 42357
business in the county. The board may not declare that fewer than 42358
all the sections apply in the county.42359

       The board of county commissioners may repeal a resolution 42360
that has been adopted under the first paragraph of this section. 42361
The board may not adopt such a resolution unless it has found that 42362
the cost of continued compliance with the sections exceeds the 42363
benefit to the county and its people and to persons traveling, 42364
working, or doing business in the county. Upon the repeal, the 42365
duties of an owner of residential rental property to comply with 42366
and of the county auditor to accept compliance with sections 42367
5323.01, 5323.02, 5323.03, 5323.04, and 5323.99 of the Revised 42368
Code are tolled.42369

       An owner of residential rental property in a county is not 42370
required to comply with, and the auditor of a county is not 42371
required to accept compliance with, sections 5323.01, 5323.02, 42372
5323.03, 5323.04, and 5323.99 of the Revised Code unless the board 42373
of county commissioners has adopted a resolution declaring that 42374
the sections apply in the county and the resolution continues in 42375
effect.42376

       Sec. 5528.54.  (A) The commissioners of the sinking fund are42377
authorized to issue and sell, as provided in this section and in42378
amounts from time to time authorized by the general assembly,42379
general obligations of this state for the purpose of financing or42380
assisting in the financing of the costs of projects. The full42381
faith and credit, revenues, and taxing power of the state are and42382
shall be pledged to the timely payment of bond service charges on42383
outstanding obligations, all in accordance with Section 2m of42384
Article VIII, Ohio Constitution, and sections 5528.51 to 5528.5342385
of the Revised Code, and so long as such obligations are42386
outstanding there shall be levied and collected excises, taxes,42387
and other revenues in amounts sufficient to pay the bond service42388
charges on such obligations and costs relating to credit42389
enhancement facilities.42390

       (B) Not more than two hundred twenty million dollars42391
principal amount of obligations, plus the principal amount of42392
obligations that in any prior fiscal years could have been, but42393
were not issued within that two-hundred-twenty-million-dollar42394
fiscal year limit, may be issued in any fiscal year, and not more42395
thatthan one billion two hundred million dollars principal amount 42396
of obligations may be outstanding at any one time, all determined 42397
as provided in sections 5528.51 to 5528.53 of the Revised Code.42398

       (C) The state may participate in financing projects by42399
grants, loans, or contributions to local government entities.42400

       (D) Each issue of obligations shall be authorized by42401
resolution of the commissioners. The bond proceedings shall42402
provide for the principal amount or maximum principal amount of42403
obligations of an issue, and shall provide for or authorize the42404
manner for determining the principal maturity or maturities, not42405
exceeding the earlier of thirty years from the date of issuance of42406
the particular obligations or thirty years from the date the debt42407
represented by the particular obligations was originally42408
contracted, the interest rate or rates, the date of and the dates42409
of payment of interest on the obligations, their denominations,42410
and the establishment within or outside the state of a place or42411
places of payment of bond service charges. Sections 9.96, 9.98,42412
9.981, 9.982, and 9.983 of the Revised Code are applicable to the42413
obligations. The purpose of the obligations may be stated in the42414
bond proceedings as "financing or assisting in the financing of42415
highway capital improvement projects as provided in Section 2m of42416
Article VIII, Ohio Constitution."42417

       (E) The proceeds of the obligations, except for any portion42418
to be deposited into special funds, or into escrow funds for the42419
purpose of refunding outstanding obligations, all as may be42420
provided in the bond proceedings, shall be deposited into the42421
highway capital improvement fund established by section 5528.53 of42422
the Revised Code.42423

       (F) The commissioners may appoint or provide for the42424
appointment of paying agents, bond registrars, securities42425
depositories, and transfer agents, and may retain the services of42426
financial advisers and accounting experts, and retain or contract42427
for the services of marketing, remarketing, indexing, and42428
administrative agents, other consultants, and independent42429
contractors, including printing services, as are necessary in the42430
judgment of the commissioners to carry out sections 5528.51 to42431
5528.53 of the Revised Code. Financing costs are payable, as42432
provided in the bond proceedings, from the proceeds of the42433
obligations, from special funds, or from other moneys available42434
for the purpose.42435

       (G) The bond proceedings, including any trust agreement, may42436
contain additional provisions customary or appropriate to the42437
financing or to the obligations or to particular obligations42438
including, but not limited to:42439

       (1) The redemption of obligations prior to maturity at the42440
option of the state or of the holder or upon the occurrence of42441
certain conditions at such price or prices and under such terms42442
and conditions as are provided in the bond proceedings;42443

       (2) The form of and other terms of the obligations;42444

       (3) The establishment, deposit, investment, and application42445
of special funds, and the safeguarding of moneys on hand or on42446
deposit, in lieu of otherwise applicable provisions of Chapter42447
131. or 135. of the Revised Code, but subject to any special42448
provisions of this section with respect to particular funds or42449
moneys, and provided that any bank or trust company that acts as a42450
depository of any moneys in special funds may furnish such42451
indemnifying bonds or may pledge such securities as required by42452
the commissioners;42453

       (4) Any or every provision of the bond proceedings binding42454
upon the commissioners and such state agency or local government42455
entities, officer, board, commission, authority, agency,42456
department, or other person or body as may from time to time have42457
the authority under law to take such actions as may be necessary42458
to perform all or any part of the duty required by such provision;42459

       (5) The maintenance of each pledge, any trust agreement, or42460
other instrument composing part of the bond proceedings until the42461
state has fully paid or provided for the payment of the bond42462
service charges on the obligations or met other stated conditions;42463

       (6) In the event of default in any payments required to be42464
made by the bond proceedings, or any other agreement of the42465
commissioners made as part of a contract under which the42466
obligations were issued or secured, the enforcement of such42467
payments or agreements by mandamus, suit in equity, action at law,42468
or any combination of the foregoing;42469

       (7) The rights and remedies of the holders of obligations and 42470
of the trustee under any trust agreement, and provisions for42471
protecting and enforcing them, including limitations on rights of42472
individual holders of obligations;42473

       (8) The replacement of any obligations that become mutilated42474
or are destroyed, lost, or stolen;42475

       (9) Provision for the funding, refunding, or advance42476
refunding or other provision for payment of obligations that will42477
then no longer be outstanding for purposes of sections 5528.51 to42478
5528.56 of the Revised Code or of the bond proceedings;42479

       (10) Any provision that may be made in bond proceedings or a42480
trust agreement, including provision for amendment of the bond42481
proceedings;42482

       (11) Any other or additional agreements with the holders of42483
the obligations relating to any of the foregoing;42484

       (12) Such other provisions as the commissioners determine,42485
including limitations, conditions, or qualifications relating to42486
any of the foregoing.42487

       (H) The great seal of the state or a facsimile of that seal42488
may be affixed to or printed on the obligations. The obligations42489
requiring signatures by the commissioners shall be signed by or42490
bear the facsimile signatures of two or more of the commissioners42491
as provided in the bond proceedings. Any obligations may be signed 42492
by the person who, on the date of execution, is the authorized 42493
signer although on the date of such obligations such person was 42494
not a commissioner. In case the individual whose signature or a 42495
facsimile of whose signature appears on any obligation ceases to 42496
be a commissioner before delivery of the obligation, such 42497
signature or facsimile is nevertheless valid and sufficient for 42498
all purposes as if that individual had remained the member until 42499
such delivery, and in case the seal to be affixed to or printed on 42500
obligations has been changed after the seal has been affixed to or 42501
a facsimile of the seal has been printed on the obligations, that 42502
seal or facsimile seal shall continue to be sufficient as to those 42503
obligations and obligations issued in substitution or exchange 42504
therefor.42505

       (I) The obligations are negotiable instruments and securities42506
under Chapter 1308. of the Revised Code, subject to the provisions 42507
of the bond proceedings as to registration. Obligations may be 42508
issued in coupon or in fully registered form, or both, as the 42509
commissioners determine. Provision may be made for the 42510
registration of any obligations with coupons attached as to42511
principal alone or as to both principal and interest, their42512
exchange for obligations so registered, and for the conversion or42513
reconversion into obligations with coupons attached of any42514
obligations registered as to both principal and interest, and for42515
reasonable charges for such registration, exchange, conversion,42516
and reconversion. Pending preparation of definitive obligations,42517
the commissioners may issue interim receipts or certificates which42518
shall be exchanged for such definitive obligations.42519

       (J) Obligations may be sold at public sale or at private42520
sale, and at such price at, above, or below par, as determined by42521
the commissioners in the bond proceedings.42522

       (K) In the discretion of the commissioners, obligations may42523
be secured additionally by a trust agreement between the state and42524
a corporate trustee which may be any trust company or bank having42525
its principala place of business within the state. Any trust42526
agreement may contain the resolution authorizing the issuance of42527
the obligations, any provisions that may be contained in the bond42528
proceedings, and other provisions that are customary or42529
appropriate in an agreement of the type.42530

       (L) Except to the extent that their rights are restricted by42531
the bond proceedings, any holder of obligations, or a trustee42532
under the bond proceedings may by any suitable form of legal42533
proceedings protect and enforce any rights under the laws of this42534
state or granted by the bond proceedings. Such rights include the42535
right to compel the performance of all duties of the commissioners42536
and the state. Each duty of the commissioners and its employees,42537
and of each state agency and local government entity and its42538
officers, members, or employees, undertaken pursuant to the bond42539
proceedings, is hereby established as a duty of the commissioners,42540
and of each such agency, local government entity, officer, member,42541
or employee having authority to perform such duty, specifically42542
enjoined by the law and resulting from an office, trust, or42543
station within the meaning of section 2731.01 of the Revised Code. 42544
The persons who are at the time the commissioners of the sinking42545
fund, or its employees, are not liable in their personal42546
capacities on any obligations or any agreements of or with the42547
commissioners relating to obligations or under the bond42548
proceedings.42549

       (M) Obligations are lawful investments for banks, societies42550
for savings, savings and loan associations, deposit guarantee42551
associations, trust companies, trustees, fiduciaries, insurance42552
companies, including domestic for life and domestic not for life,42553
trustees or other officers having charge of sinking and bond42554
retirement or other special funds of political subdivisions and42555
taxing districts of this state, the commissioners of the sinking42556
fund, the administrator of workers' compensation, subject to the42557
approval of the workers' compensation board and the industrial42558
commission, the state teachers retirement system, the public42559
employees retirement system, the school employees retirement42560
system, and the Ohio police and fire pension fund, notwithstanding42561
any other provisions of the Revised Code or rules adopted pursuant42562
thereto by any state agency with respect to investments by them,42563
and are also acceptable as security for the deposit of public42564
moneys.42565

       (N) Unless otherwise provided in any applicable bond42566
proceedings, moneys to the credit of or in the special funds42567
established by or pursuant to this section may be invested by or42568
on behalf of the commissioners only in notes, bonds, or other42569
direct obligations of the United States or of any agency or42570
instrumentality thereof, in obligations of this state or any42571
political subdivision of this state, in certificates of deposit of42572
any national bank located in this state and any bank, as defined42573
in section 1101.01 of the Revised Code, subject to inspection by42574
the superintendent of financial institutions, in the Ohio42575
subdivision's fund established pursuant to section 135.45 of the42576
Revised Code, in no-front-end-load money market mutual funds42577
consisting exclusively of direct obligations of the United States42578
or of an agency or instrumentality thereof, and in repurchase42579
agreements, including those issued by any fiduciary, secured by42580
direct obligations of the United States or an agency or42581
instrumentality thereof, and in common trust funds established in42582
accordance with section 1109.20 of the Revised Code and consisting42583
exclusively of direct obligations of the United States or of an42584
agency or instrumentality thereof, notwithstanding division (A)(4)42585
of that section. The income from investments shall be credited to42586
such special funds or otherwise as the commissioners determine in42587
the bond proceedings, and the investments may be sold or exchanged42588
at such times as the commissioners determine or authorize.42589

       (O) Unless otherwise provided in any applicable bond42590
proceedings, moneys to the credit of or in a special fund shall be42591
disbursed on the order of the commissioners, provided that no such42592
order is required for the payment from the bond service fund or42593
other special fund when due of bond service charges or required42594
payments under credit enhancement facilities.42595

       (P) The commissioners may covenant in the bond proceedings,42596
and any such covenants shall be controlling notwithstanding any42597
other provision of law, that the state and the applicable officers42598
and agencies of the state, including the general assembly, shall,42599
so long as any obligations are outstanding in accordance with42600
their terms, maintain statutory authority for and cause to be42601
charged and collected taxes, excises, and other receipts of the42602
state so that the receipts to the bond service fund shall be42603
sufficient in amounts to meet bond service charges and for the42604
establishment and maintenance of any reserves and other42605
requirements, including payment of financing costs, provided for42606
in the bond proceedings.42607

       (Q) The obligations, and the transfer of, and the interest,42608
interest equivalent, and other income and accreted amounts from,42609
including any profit made on the sale, exchange, or other42610
disposition of, the obligations shall at all times be free from42611
taxation, direct or indirect, within the state.42612

       (R) This section applies only with respect to obligations42613
issued and delivered prior to September 30, 2000.42614

       Sec. 5531.10.  (A) As used in this chapter:42615

       (1) "Bond proceedings" means the resolution, order, trust42616
agreement, indenture, lease, lease-purchase agreements, and other42617
agreements, amendments and supplements to the foregoing, or any 42618
one or more or combination thereof, authorizing or providing for 42619
the terms and conditions applicable to, or providing for the 42620
security or liquidity of, obligations issued pursuant to this 42621
section, and the provisions contained in such obligations.42622

       (2) "Bond service charges" means principal, including42623
mandatory sinking fund requirements for retirement of obligations, 42624
and interest, and redemption premium, if any, required to be paid 42625
by the state on obligations.42626

       (3) "Bond service fund" means the applicable fund and42627
accounts therein created for and pledged to the payment of bond42628
service charges, which may be, or may be part of, the state 42629
infrastructure bank revenue bond service fund created by division 42630
(R) of this section including all moneys and investments, and 42631
earnings from investments, credited and to be credited thereto.42632

       (4) "Issuing authority" means the treasurer of state, or the 42633
officer who by law performs the functions of the treasurer of 42634
state.42635

       (5) "Obligations" means bonds, notes, or other evidence of42636
obligation including interest coupons pertaining thereto, issued42637
pursuant to this section.42638

       (6) "Pledged receipts" means moneys accruing to the state 42639
from the lease, lease-purchase, sale, or other disposition, or 42640
use, of qualified projects, and from the repayment, including42641
interest, of loans made from proceeds received from the sale of42642
obligations; accrued interest received from the sale of42643
obligations; income from the investment of the special funds; any 42644
gifts, grants, donations, and pledges, and receipts therefrom, 42645
available for the payment of bond service charges; and any amounts42646
in the state infrastructure bank pledged to the payment of such 42647
charges. If the amounts in the state infrastructure bank are 42648
insufficient for the payment of such charges, "pledged receipts" 42649
also means moneys that are apportioned by the United States 42650
secretary of transportation under United States Code, Title XXIII, 42651
as amended, or any successor legislation, or under any other 42652
federal law relating to aid for highways, and that are to be 42653
received as a grant by the state, to the extent the state is not 42654
prohibited by state or federal law from using such moneys and the 42655
moneys are pledged to the payment of such bond service charges.42656

       (7) "Special funds" or "funds" means, except where the42657
context does not permit, the bond service fund, and any other42658
funds, including reserve funds, created under the bond42659
proceedings, and the state infrastructure bank revenue bond 42660
service fund created by division (R) of this section to the extent42661
provided in the bond proceedings, including all moneys and 42662
investments, and earnings from investment, credited and to be 42663
credited thereto.42664

       (8) "State infrastructure project" means any public42665
transportation project undertaken by the state, including, but not 42666
limited to, all components of any such project, as described in 42667
division (D) of section 5531.09 of the Revised Code.42668

       (9) "District obligations" means bonds, notes, or other 42669
evidence of obligation including interest coupons pertaining 42670
thereto, issued to finance a qualified project by a transportation 42671
improvement district created pursuant to section 5540.02 of the 42672
Revised Code, of which the principal, including mandatory sinking 42673
fund requirements for retirement of such obligations, and interest 42674
and redemption premium, if any, are payable by the department of 42675
transportation.42676

       (B) The issuing authority, after giving written notice to the 42677
director of budget and management and upon the certification by 42678
the director of transportation to the issuing authority of the 42679
amount of moneys or additional moneys needed either for state 42680
infrastructure projects or to provide financial assistance for any42681
of the purposes for which the state infrastructure bank may be 42682
used under section 5531.09 of the Revised Code, or needed for 42683
capitalized interest, funding reserves, and paying costs and 42684
expenses incurred in connection with the issuance, carrying, 42685
securing, paying, redeeming, or retirement of the obligations or 42686
any obligations refunded thereby, including payment of costs and42687
expenses relating to letters of credit, lines of credit,42688
insurance, put agreements, standby purchase agreements, indexing,42689
marketing, remarketing and administrative arrangements, interest42690
swap or hedging agreements, and any other credit enhancement,42691
liquidity, remarketing, renewal, or refunding arrangements, all of 42692
which are authorized by this section, shall issue obligations of 42693
the state under this section in the required amount. The proceeds 42694
of such obligations, except for the portion to be deposited in 42695
special funds, including reserve funds, as may be provided in the 42696
bond proceedings, shall as provided in the bond proceedings be 42697
credited to the infrastructure bank obligations fund of the state 42698
infrastructure bank created by section 5531.09 of the Revised Code 42699
and disbursed as provided in the bond proceedings for such 42700
obligations. The issuing authority may appoint trustees, paying42701
agents, transfer agents, and authenticating agents, and may retain 42702
the services of financial advisors, accounting experts, and 42703
attorneys, and retain or contract for the services of marketing, 42704
remarketing, indexing, and administrative agents, other 42705
consultants, and independent contractors, including printing 42706
services, as are necessary in the issuing authority's judgment to 42707
carry out this section. The costs of such services are payable 42708
from funds of the state infrastructure bank.42709

       (C) The holders or owners of such obligations shall have no 42710
right to have moneys raised by taxation by the state of Ohio 42711
obligated or pledged, and moneys so raised shall not be obligated 42712
or pledged, for the payment of bond service charges. The right of 42713
such holders and owners to the payment of bond service charges is 42714
limited to all or that portion of the pledged receipts and those 42715
special funds pledged thereto pursuant to the bond proceedings for 42716
such obligations in accordance with this section, and each such 42717
obligation shall bear on its face a statement to that effect. 42718
Moneys received as repayment of loans made by the state 42719
infrastructure bank pursuant to section 5531.09 of the Revised 42720
Code shall not be considered moneys raised by taxation by the 42721
state of Ohio regardless of the source of the moneys.42722

       (D) Obligations shall be authorized by order of the issuing 42723
authority and the bond proceedings shall provide for the purpose 42724
thereof and the principal amount or amounts, and shall provide for 42725
or authorize the manner or agency for determining the principal 42726
maturity or maturities, not exceeding twenty-five years from the 42727
date of issuance, the interest rate or rates or the maximum 42728
interest rate, the date of the obligations and the dates of 42729
payment of interest thereon, their denomination, and the 42730
establishment within or without the state of a place or places of 42731
payment of bond service charges. Sections 9.98 to 9.983 of the 42732
Revised Code are applicable to obligations issued under this 42733
section. The purpose of such obligations may be stated in the bond 42734
proceedings in terms describing the general purpose or purposes to 42735
be served. The bond proceedings also shall provide, subject to the 42736
provisions of any other applicable bond proceedings, for the 42737
pledge of all, or such part as the issuing authority may42738
determine, of the pledged receipts and the applicable special fund 42739
or funds to the payment of bond service charges, which pledges may 42740
be made either prior or subordinate to other expenses, claims, or 42741
payments, and may be made to secure the obligations on a parity 42742
with obligations theretofore or thereafter issued, if and to the 42743
extent provided in the bond proceedings. The pledged receipts and 42744
special funds so pledged and thereafter received by the state 42745
immediately are subject to the lien of such pledge without any 42746
physical delivery thereof or further act, and the lien of any such 42747
pledges is valid and binding against all parties having claims of 42748
any kind against the state or any governmental agency of the 42749
state, irrespective of whether such parties have notice thereof, 42750
and shall create a perfected security interest for all purposes of 42751
Chapter 1309. of the Revised Code, without the necessity for 42752
separation or delivery of funds or for the filing or recording of 42753
the bond proceedings by which such pledge is created or any 42754
certificate, statement, or other document with respect thereto; 42755
and the pledge of such pledged receipts and special funds is 42756
effective and the money therefrom and thereof may be applied to 42757
the purposes for which pledged without necessity for any act of 42758
appropriation. Every pledge, and every covenant and agreement 42759
made with respect thereto, made in the bond proceedings may 42760
therein be extended to the benefit of the owners and holders of 42761
obligations authorized by this section, and to any trustee 42762
therefor, for the further security of the payment of the bond 42763
service charges.42764

       (E) The bond proceedings may contain additional provisions as 42765
to:42766

       (1) The redemption of obligations prior to maturity at the42767
option of the issuing authority at such price or prices and under42768
such terms and conditions as are provided in the bond proceedings;42769

       (2) Other terms of the obligations;42770

       (3) Limitations on the issuance of additional obligations;42771

       (4) The terms of any trust agreement or indenture securing42772
the obligations or under which the same may be issued;42773

       (5) The deposit, investment, and application of special42774
funds, and the safeguarding of moneys on hand or on deposit,42775
without regard to Chapter 131. or 135. of the Revised Code, but42776
subject to any special provisions of this section with respect to 42777
particular funds or moneys, provided that any bank or trust42778
company which acts as depository of any moneys in the special42779
funds may furnish such indemnifying bonds or may pledge such42780
securities as required by the issuing authority;42781

       (6) Any or every provision of the bond proceedings being42782
binding upon such officer, board, commission, authority, agency,42783
department, or other person or body as may from time to time have42784
the authority under law to take such actions as may be necessary42785
to perform all or any part of the duty required by such provision;42786

       (7) Any provision that may be made in a trust agreement or42787
indenture;42788

       (8) Any other or additional agreements with the holders of42789
the obligations, or the trustee therefor, relating to the42790
obligations or the security therefor, including the assignment of42791
mortgages or other security relating to financial assistance for 42792
qualified projects under section 5531.09 of the Revised Code.42793

       (F) The obligations may have the great seal of the state or a 42794
facsimile thereof affixed thereto or printed thereon. The42795
obligations and any coupons pertaining to obligations shall be42796
signed or bear the facsimile signature of the issuing authority. 42797
Any obligations or coupons may be executed by the person who, on42798
the date of execution, is the proper issuing authority although on 42799
the date of such bonds or coupons such person was not the issuing 42800
authority. In case the issuing authority whose signature or a 42801
facsimile of whose signature appears on any such obligation or 42802
coupon ceases to be the issuing authority before delivery thereof, 42803
such signature or facsimile nevertheless is valid and sufficient 42804
for all purposes as if the former issuing authority had remained 42805
the issuing authority until such delivery; and in case the seal to 42806
be affixed to obligations has been changed after a facsimile of 42807
the seal has been imprinted on such obligations, such facsimile 42808
seal shall continue to be sufficient as to such obligations and 42809
obligations issued in substitution or exchange therefor.42810

       (G) All obligations are negotiable instruments and securities 42811
under Chapter 1308. of the Revised Code, subject to the provisions 42812
of the bond proceedings as to registration. The obligations may be 42813
issued in coupon or in registered form, or both, as the issuing 42814
authority determines. Provision may be made for the registration 42815
of any obligations with coupons attached thereto as to principal 42816
alone or as to both principal and interest, their exchange for 42817
obligations so registered, and for the conversion or reconversion 42818
into obligations with coupons attached thereto of any obligations 42819
registered as to both principal and interest, and for reasonable 42820
charges for such registration, exchange, conversion, and 42821
reconversion.42822

       (H) Obligations may be sold at public sale or at private42823
sale, as determined in the bond proceedings.42824

       (I) Pending preparation of definitive obligations, the42825
issuing authority may issue interim receipts or certificates which 42826
shall be exchanged for such definitive obligations.42827

       (J) In the discretion of the issuing authority, obligations 42828
may be secured additionally by a trust agreement or indenture 42829
between the issuing authority and a corporate trustee which may be 42830
any trust company or bank having its principala place of business 42831
within the state. Any such agreement or indenture may contain the 42832
order authorizing the issuance of the obligations, any provisions 42833
that may be contained in any bond proceedings, and other 42834
provisions which are customary or appropriate in an agreement or 42835
indenture of such type, including, but not limited to:42836

       (1) Maintenance of each pledge, trust agreement, indenture, 42837
or other instrument comprising part of the bond proceedings until 42838
the state has fully paid the bond service charges on the 42839
obligations secured thereby, or provision therefor has been made;42840

       (2) In the event of default in any payments required to be42841
made by the bond proceedings, or any other agreement of the42842
issuing authority made as a part of the contract under which the42843
obligations were issued, enforcement of such payments or agreement 42844
by mandamus, the appointment of a receiver, suit in equity, action 42845
at law, or any combination of the foregoing;42846

       (3) The rights and remedies of the holders of obligations and 42847
of the trustee, and provisions for protecting and enforcing them, 42848
including limitations on the rights of individual holders of42849
obligations;42850

       (4) The replacement of any obligations that become mutilated 42851
or are destroyed, lost, or stolen;42852

       (5) Such other provisions as the trustee and the issuing42853
authority agree upon, including limitations, conditions, or42854
qualifications relating to any of the foregoing.42855

       (K) Any holder of obligations or a trustee under the bond42856
proceedings, except to the extent that the holder's or trustee's 42857
rights are restricted by the bond proceedings, may by any suitable 42858
form of legal proceedings, protect and enforce any rights under 42859
the laws of this state or granted by such bond proceedings. Such 42860
rights include the right to compel the performance of all duties 42861
of the issuing authority and the director of transportation 42862
required by the bond proceedings or sections 5531.09 and 5531.10 42863
of the Revised Code; to enjoin unlawful activities; and in the42864
event of default with respect to the payment of any bond service 42865
charges on any obligations or in the performance of any covenant 42866
or agreement on the part of the issuing authority or the director 42867
of transportation in the bond proceedings, to apply to a court 42868
having jurisdiction of the cause to appoint a receiver to receive 42869
and administer the pledged receipts and special funds, other than 42870
those in the custody of the treasurer of state, which are pledged 42871
to the payment of the bond service charges on such obligations or 42872
which are the subject of the covenant or agreement, with full 42873
power to pay, and to provide for payment of bond service charges 42874
on, such obligations, and with such powers, subject to the 42875
direction of the court, as are accorded receivers in general 42876
equity cases, excluding any power to pledge additional revenues or 42877
receipts or other income or moneys of the state or local42878
governmental entities, or agencies thereof, to the payment of such 42879
principal and interest and excluding the power to take possession 42880
of, mortgage, or cause the sale or otherwise dispose of any 42881
project facilities.42882

       Each duty of the issuing authority and the issuing42883
authority's officers and employees, and of each state or local42884
governmental agency and its officers, members, or employees, 42885
undertaken pursuant to the bond proceedings or any loan, loan42886
guarantee, lease, lease-purchase agreement, or other agreement 42887
made under authority of section 5531.09 of the Revised Code, and 42888
in every agreement by or with the issuing authority, is hereby 42889
established as a duty of the issuing authority, and of each such 42890
officer, member, or employee having authority to perform such 42891
duty, specifically enjoined by the law resulting from an office, 42892
trust, or station within the meaning of section 2731.01 of the 42893
Revised Code.42894

       The person who is at the time the issuing authority, or the42895
issuing authority's officers or employees, are not liable in their 42896
personal capacities on any obligations issued by the issuing 42897
authority or any agreements of or with the issuing authority.42898

       (L) The issuing authority may authorize and issue obligations 42899
for the refunding, including funding and retirement, and advance 42900
refunding with or without payment or redemption prior to maturity, 42901
of any obligations previously issued by the issuing authority or 42902
district obligations. Such refunding obligations may be issued in 42903
amounts sufficient for payment of the principal amount of the 42904
prior obligations or district obligations, any redemption premiums 42905
thereon, principal maturities of any such obligations or district 42906
obligations maturing prior to the redemption of the remaining42907
obligations or district obligations on a parity therewith, 42908
interest accrued or to accrue to the maturity dates or dates of 42909
redemption of such obligations or district obligations, and any 42910
expenses incurred or to be incurred in connection with such 42911
issuance and such refunding, funding, and retirement. Subject to 42912
the bond proceedings therefor, the portion of proceeds of the sale 42913
of refunding obligations issued under this division to be applied 42914
to bond service charges on the prior obligations or district 42915
obligations shall be credited to an appropriate account held by 42916
the trustee for such prior or new obligations or to the 42917
appropriate account in the bond service fund for such obligations 42918
or district obligations. Obligations authorized under this 42919
division shall be deemed to be issued for those purposes for which 42920
such prior obligations or district obligations were issued and are 42921
subject to the provisions of this section pertaining to other 42922
obligations, except as otherwise provided in this section. The42923
last maturity of obligations authorized under this division shall 42924
not be later than twenty-five years from the date of issuance of 42925
the original securities issued for the original purpose.42926

       (M) The authority to issue obligations under this section42927
includes authority to issue obligations in the form of bond42928
anticipation notes and to renew the same from time to time by the42929
issuance of new notes. The holders of such notes or interest42930
coupons pertaining thereto shall have a right to be paid solely42931
from the pledged receipts and special funds that may be pledged to 42932
the payment of the bonds anticipated, or from the proceeds of such 42933
bonds or renewal notes, or both, as the issuing authority provides 42934
in the order authorizing such notes. Such notes may be 42935
additionally secured by covenants of the issuing authority to the 42936
effect that the issuing authority and the state will do such or 42937
all things necessary for the issuance of such bonds or renewal 42938
notes in the appropriate amount, and apply the proceeds thereof to 42939
the extent necessary, to make full payment of the principal of and 42940
interest on such notes at the time or times contemplated, as 42941
provided in such order. For such purpose, the issuing authority 42942
may issue bonds or renewal notes in such principal amount and upon 42943
such terms as may be necessary to provide funds to pay when 42944
required the principal of and interest on such notes, 42945
notwithstanding any limitations prescribed by or for purposes of 42946
this section. Subject to this division, all provisions for and 42947
references to obligations in this section are applicable to notes 42948
authorized under this division.42949

       The issuing authority in the bond proceedings authorizing the 42950
issuance of bond anticipation notes shall set forth for such bonds 42951
an estimated interest rate and a schedule of principal payments 42952
for such bonds and the annual maturity dates thereof.42953

       (N) Obligations issued under this section are lawful42954
investments for banks, societies for savings, savings and loan42955
associations, deposit guarantee associations, trust companies,42956
trustees, fiduciaries, insurance companies, including domestic for 42957
life and domestic not for life, trustees or other officers having 42958
charge of sinking and bond retirement or other special funds of 42959
political subdivisions and taxing districts of this state, the 42960
commissioners of the sinking fund of the state, the administrator 42961
of workers' compensation, the state teachers retirement system, 42962
the public employees retirement system, the school employees 42963
retirement system, and the Ohio police and fire pension fund, 42964
notwithstanding any other provisions of the Revised Code or rules 42965
adopted pursuant thereto by any agency of the state with respect 42966
to investments by them, and are also acceptable as security for 42967
the deposit of public moneys.42968

       (O) Unless otherwise provided in any applicable bond42969
proceedings, moneys to the credit of or in the special funds42970
established by or pursuant to this section may be invested by or42971
on behalf of the issuing authority only in notes, bonds, or other42972
obligations of the United States, or of any agency or42973
instrumentality of the United States, obligations guaranteed as to 42974
principal and interest by the United States, obligations of this 42975
state or any political subdivision of this state, and certificates 42976
of deposit of any national bank located in this state and any 42977
bank, as defined in section 1101.01 of the Revised Code, subject 42978
to inspection by the superintendent of financial institutions. If 42979
the law or the instrument creating a trust pursuant to division 42980
(J) of this section expressly permits investment in direct 42981
obligations of the United States or an agency of the United 42982
States, unless expressly prohibited by the instrument, such moneys 42983
also may be invested in no-front-end-load money market mutual 42984
funds consisting exclusively of obligations of the United States 42985
or an agency of the United States and in repurchase agreements, 42986
including those issued by the fiduciary itself, secured by 42987
obligations of the United States or an agency of the United 42988
States; and in collective investment funds as defined in division 42989
(A) of section 1111.01 of the Revised Code and consisting 42990
exclusively of any such securities. The income from such 42991
investments shall be credited to such funds as the issuing 42992
authority determines, and such investments may be sold at such 42993
times as the issuing authority determines or authorizes.42994

       (P) Provision may be made in the applicable bond proceedings 42995
for the establishment of separate accounts in the bond service 42996
fund and for the application of such accounts only to the 42997
specified bond service charges on obligations pertinent to such 42998
accounts and bond service fund and for other accounts therein 42999
within the general purposes of such fund. Unless otherwise 43000
provided in any applicable bond proceedings, moneys to the credit 43001
of or in the several special funds established pursuant to this 43002
section shall be disbursed on the order of the treasurer of state, 43003
provided that no such order is required for the payment from the 43004
bond service fund when due of bond service charges on obligations.43005

       (Q)(1) The issuing authority may pledge all, or such portion43006
as the issuing authority determines, of the pledged receipts to43007
the payment of bond service charges on obligations issued under43008
this section, and for the establishment and maintenance of any43009
reserves, as provided in the bond proceedings, and make other43010
provisions therein with respect to pledged receipts as authorized43011
by this chapter, which provisions are controlling notwithstanding43012
any other provisions of law pertaining thereto.43013

       (2) An action taken under division (Q)(2) of this section 43014
does not limit the generality of division (Q)(1) of this section, 43015
and is subject to division (C) of this section and, if and to the 43016
extent otherwise applicable, Section 13 of Article VIII, Ohio 43017
Constitution. The bond proceedings may contain a covenant that, in 43018
the event the pledged receipts primarily pledged and required to 43019
be used for the payment of bond service charges on obligations 43020
issued under this section, and for the establishment and 43021
maintenance of any reserves, as provided in the bond proceedings, 43022
are insufficient to make any such payment in full when due, or to43023
maintain any such reserve, the director of transportation shall so 43024
notify the governor, and shall determine to what extent, if any, 43025
the payment may be made or moneys may be restored to the reserves 43026
from lawfully available moneys previously appropriated for that 43027
purpose to the department of transportation. The covenant also 43028
may provide that if the payments are not made or the moneys are 43029
not immediately and fully restored to the reserves from such 43030
moneys, the director shall promptly submit to the governor and to 43031
the director of budget and management a written request for either 43032
or both of the following:43033

       (a) That the next biennial budget submitted by the governor 43034
to the general assembly include an amount to be appropriated from 43035
lawfully available moneys to the department for the purpose of and 43036
sufficient for the payment in full of bond service charges 43037
previously due and for the full replenishment of the reserves;43038

       (b) That the general assembly be requested to increase43039
appropriations from lawfully available moneys for the department 43040
in the current biennium sufficient for the purpose of and for the 43041
payment in full of bond service charges previously due and to come 43042
due in the biennium and for the full replenishment of the 43043
reserves.43044

       The director of transportation shall include with such 43045
requests a recommendation that the payment of the bond service 43046
charges and the replenishment of the reserves be made in the 43047
interest of maximizing the benefits of the state infrastructure43048
bank. Any such covenant shall not obligate or purport to obligate 43049
the state to pay the bond service charges on such bonds or notes 43050
or to deposit moneys in a reserve established for such payments 43051
other than from moneys that may be lawfully available and 43052
appropriated for that purpose during the then-current biennium.43053

       (R) There is hereby created the state infrastructure bank 43054
revenue bond service fund, which shall be in the custody of the 43055
treasurer of state but shall not be a part of the state treasury. 43056
All moneys received by or on account of the issuing authority or 43057
state agencies and required by the applicable bond proceedings, 43058
consistent with this section, to be deposited, transferred, or 43059
credited to the bond service fund, and all other moneys 43060
transferred or allocated to or received for the purposes of the43061
fund, shall be deposited and credited to such fund and to any43062
separate accounts therein, subject to applicable provisions of the 43063
bond proceedings, but without necessity for any act of43064
appropriation. The state infrastructure bank revenue bond service 43065
fund is a trust fund and is hereby pledged to the payment of bond 43066
service charges to the extent provided in the applicable bond 43067
proceedings, and payment thereof from such fund shall be made or 43068
provided for by the treasurer of state in accordance with such 43069
bond proceedings without necessity for any act of appropriation.43070

       (S) The obligations issued pursuant to this section, the 43071
transfer thereof, and the income therefrom, including any profit 43072
made on the sale thereof, shall at all times be free from taxation 43073
within this state.43074

       Sec. 5533.91. That part of the road known as state route 43075
number forty-four, located within Lake county and commencing at 43076
the intersection of that state route and state route number two 43077
and extending in a northerly direction and ending at headlands 43078
beach state park, shall be known as the "LCpl Andy Nowacki 43079
Memorial Highway."43080

       The director of transportation may erect suitable markers 43081
along the highway indicating its name.43082

       Sec. 5537.04.  (A) The Ohio turnpike commission may do any of 43083
the following:43084

       (1) Adopt bylaws for the regulation of its affairs and the43085
conduct of its business;43086

       (2) Adopt an official seal, which shall not be the great seal 43087
of the state and which need not be in compliance with section 5.10 43088
of the Revised Code;43089

       (3) Maintain a principal office and suboffices at such places 43090
within the state as it designates;43091

       (4) Sue and be sued in its own name, plead and be impleaded, 43092
provided any actions against the commission shall be brought in 43093
the court of common pleas of the county in which the principal 43094
office of the commission is located, or in the court of common 43095
pleas of the county in which the cause of action arose if that 43096
county is located within this state, and all summonses,43097
exceptions, and notices of every kind shall be served on the43098
commission by leaving a copy thereof at its principal office with43099
the secretary-treasurer or executive director of the commission;43100

       (5) Construct, maintain, repair, police, and operate the43101
turnpike system, and establish rules for the use of any turnpike43102
project;43103

       (6) Issue revenue bonds of the state, payable solely from43104
pledged revenues, as provided in this chapter, for the purpose of43105
paying any part of the cost of constructing any one or more43106
turnpike projects;43107

       (7) Fix, and revise from time to time, and charge and collect 43108
tolls;43109

       (8) Acquire, hold, and dispose of property in the exercise of 43110
its powers and the performance of its duties under this chapter;43111

       (9) Designate the locations and establish, limit, and control 43112
such points of ingress to and egress from each turnpike project as 43113
are necessary or desirable in the judgment of the commission and 43114
of the director of transportation to ensure the proper operation 43115
and maintenance of that project, and prohibit entrance to such a 43116
project from any point not so designated;43117

       (10) Make and enter into all contracts and agreements43118
necessary or incidental to the performance of its duties and the43119
execution of its powers under this chapter, including 43120
participation in a multi-jurisdiction electronic toll collection 43121
agreement and collection or remittance of tolls, fees, or other 43122
charges to or from entities or agencies that participate in such 43123
an agreement;43124

       (11) Employ or retain or contract for the services of43125
consulting engineers, superintendents, managers, and any other43126
engineers, construction and accounting experts, financial43127
advisers, trustees, marketing, remarketing, and administrative43128
agents, attorneys, and other employees, independent contractors,43129
or agents that are necessary in its judgment and fix their43130
compensation, provided all such expenses shall be payable solely43131
from the proceeds of bonds or from revenues of the Ohio turnpike43132
system;43133

       (12) Receive and accept from any federal agency, subject to 43134
the approval of the governor, and from any other governmental43135
agency grants for or in aid of the construction, reconstruction,43136
repair, renovation, maintenance, or operation of any turnpike43137
project, and receive and accept aid or contributions from any43138
source or person of money, property, labor, or other things of43139
value, to be held, used, and applied only for the purposes for43140
which such grants and contributions are made;43141

       (13) Provide coverage for its employees under Chapters 4123. 43142
and 4141. of the Revised Code;43143

        (14) Fix and revise by rule, from time to time, such permit 43144
fees, processing fees, or administrative charges for the 43145
prepayment, deferred payment, or nonpayment of tolls and use of 43146
electronic tolling equipment or other commission property.43147

       (B) The commission may do all acts necessary or proper to43148
carry out the powers expressly granted in this chapter.43149

       Sec. 5537.16.  (A) The Ohio turnpike commission may adopt43150
such bylaws and rules as it considers advisable for the control43151
and regulation of traffic on any turnpike project, for the43152
protection and preservation of property under its jurisdiction and 43153
control, and for the maintenance and preservation of good order 43154
within the property under its control, and for the purpose of 43155
establishing owner or operator liability for failure to comply 43156
with toll collection rules. The rules of the commission with 43157
respect to the speed, axle loads, vehicle loads, and vehicle 43158
dimensions of vehicles on turnpike projects, including the 43159
issuance of a special permit by the commission to allow the 43160
operation on any turnpike project of a motor vehicle transporting 43161
two or fewer steel coils, shall apply notwithstanding sections 43162
4511.21 to 4511.24, 4513.34, and Chapter 5577. of the Revised 43163
Code. Such bylaws and rules shall be published in a newspaper of 43164
general circulation in Franklin county, and in such other manner 43165
as the commission prescribes.43166

       (B) Such rules shall provide that public police officers43167
shall be afforded ready access, while in the performance of their43168
official duty, to all property under the jurisdiction of the43169
commission and without the payment of tolls.43170

       (C) No person shall violate any such bylaws or rules of the 43171
commission. All43172

       (D)(1) All fines collected for the violation of applicable 43173
laws of the state and the bylaws and rules of the commission or 43174
moneys arising from bonds forfeited for such violation shall be 43175
disposed of in accordance with section 5503.04 of the Revised 43176
Code.43177

       (2) All fees or charges assessed by the commission against an 43178
owner or operator of a vehicle as a civil violation for failure to 43179
comply with toll collection rules shall be revenues of the 43180
commission.43181

       Sec. 5537.99. Whoever(A) Except as provided in division (B) 43182
of this section, whoever violates division (C) of section 5537.16 43183
of the Revised Code is guilty of a minor misdemeanor on a first 43184
offense; on each subsequent offense such person is guilty of a 43185
misdemeanor of the fourth degree.43186

       (B) Whoever violates division (C) of section 5537.16 of the 43187
Revised Code when the violation is a civil violation for failure 43188
to comply with toll collection rules is subject to a fee or charge 43189
established by the commission by rule.43190

       Sec. 5705.28.  (A) Except as provided in division (B)(1) or43191
(2) of this section or in section 5705.281 of the Revised Code, 43192
the taxing authority of each subdivision or other taxing unit 43193
shall adopt a tax budget for the next succeeding fiscal year:43194

       (1) On or before the fifteenth day of January in the case of 43195
a school district;43196

       (2) On or before the fifteenth day of July in the case of all 43197
other subdivisions and taxing units.43198

       (B)(1) Before the first day of June in each year, the board43199
of trustees of a school library district entitled to participate43200
in any appropriation or revenue of a school district or to have a 43201
tax proposed by the board of education of a school district shall 43202
file with the board of education of the school district a tax 43203
budget for the ensuing fiscal year. On or before the fifteenth day 43204
of July in each year, the board of education of a school district 43205
to which a school library district tax budget was submitted under 43206
this division shall adopt such tax budget on behalf of the library43207
district, but such budget shall not be part of the school43208
district's tax budget.43209

       (2)(a) The taxing authority of a taxing unit that does not 43210
levy a tax is not required to adopt a tax budget pursuant to 43211
division (A) of this section. Instead, on or before the fifteenth 43212
day of July each year, such taxing authority shall adopt an 43213
operating budget for the taxing unit for the ensuing fiscal year. 43214
The operating budget shall include an estimate of receipts from 43215
all sources, a statement of all taxing unit expenses that are 43216
anticipated to occur, and the amount required for debt charges 43217
during the fiscal year. The operating budget is not required to be 43218
filed with the county auditor or the county budget commission.43219

       (b) Except for this section and sections 5705.36, 5705.38,43220
5705.40, 5705.41, 5705.43, 5705.44, and 5705.45 of the Revised43221
Code, a taxing unit that does not levy a tax is not a taxing unit 43222
for purposes of Chapter 5705. of the Revised Code. Documents 43223
prepared in accordance with such sections are not required to be 43224
filed with the county auditor or county budget commission.43225

       (c) The total appropriations from each fund of a taxing unit 43226
that does not levy a tax shall not exceed the total estimated 43227
revenue available for expenditures from the fund, and 43228
appropriations shall be made from each fund only for the purposes 43229
for which the fund is established.43230

       (C)(1) To assist in the preparation of the tax budget, the43231
head of each department, board, commission, and district authority 43232
entitled to participate in any appropriation or revenue of a 43233
subdivision shall file with the taxing authority, or in the case 43234
of a municipal corporation, with its chief executive officer, 43235
before the forty-fifth day prior to the date on which the budget 43236
must be adopted, an estimate of contemplated revenue and 43237
expenditures for the ensuing fiscal year, in such form as is43238
prescribed by the taxing authority of the subdivision or by the43239
auditor of state. The taxing authority shall include in its budget 43240
of expenditures the full amounts requested by district43241
authorities, not to exceed the amount authorized by law, if such43242
authorities may fix the amount of revenue they are to receive from 43243
the subdivision. In a municipal corporation in which a special 43244
levy for a municipal university has been authorized to be levied 43245
in excess of the ten-mill limitation, or is required by the 43246
charter of the municipal corporation, the taxing authority shall 43247
include an amount not less than the estimated yield of such levy, 43248
if such amount is requested by the board of directors of the 43249
municipal university.43250

       (2) A county board of mental retardation and developmental43251
disabilities may include within its estimate of contemplated43252
revenue and expenditures a reserve balance account in the43253
community mental retardation and developmental disabilities43254
residential services fund. The account shall contain money that is 43255
not needed to pay for current expenses for residential services 43256
and supported living but will be needed to pay for expenses for 43257
such services in the future or may be needed for unanticipated 43258
emergency expenses. On the request of the county board of mental 43259
retardation and developmental disabilities, the board of county 43260
commissioners shall include such an account in its budget of 43261
expenditures and appropriate money to the account from residential 43262
service moneys for the county board.43263

       (D) The board of trustees of any public library desiring to 43264
participate in the distribution of the county library and local 43265
government supportlibraries fund shall adopt appropriate rules43266
extending the benefits of the library service of such library to43267
all the inhabitants of the county on equal terms, unless such43268
library service is by law available to all such inhabitants, and43269
shall certify a copy of such rules to the taxing authority with43270
its estimate of contemplated revenue and expenditures. Where such 43271
rules have been so certified or where the adoption of such rules 43272
is not required, the taxing authority shall include in its budget 43273
of receipts such amounts as are specified by such board as43274
contemplated revenue from the county library and local government43275
supportlibraries fund, and in its budget of expenditures the full 43276
amounts requested therefrom by such board. No library association,43277
incorporated or unincorporated, is entitled to participate in the43278
proceeds of the county library and local government support43279
libraries fund or other public funds unless such association was 43280
organized and operating prior to January 1, 1968.43281

       Sec. 5705.281. (A) Notwithstanding section 5705.28 of the 43282
Revised Code, the county budget commission, by an affirmative vote 43283
of a majority of the commission, including an affirmative vote by 43284
the county auditor, may waive the requirement that the taxing 43285
authority of a subdivision or other taxing unit adopt a tax budget43286
as provided under section 5705.28 of the Revised Code, but shall 43287
require such a taxing authority to provide such information to the 43288
commission as may be required by the commission to perform its43289
duties under this chapter, including dividing the rates of each of43290
the subdivision's or taxing unit's tax levies as provided under43291
section 5705.04 of the Revised Code.43292

       (B)(1) Notwithstanding divisions (B)(1) and (D) of section 43293
5705.28 of the Revised Code, in any county in which a single 43294
library receives all of the county library and local government 43295
supportlibraries fund or receives all of that portion of the fund 43296
that is distributed to libraries, the county budget commission, by 43297
an affirmative vote of a majority of the commission, including an 43298
affirmative vote by the county auditor, may waive any or all of 43299
the following requirements:43300

        (a) The requirement that the board of trustees of a school 43301
library district entitled to participate in any appropriation or 43302
revenue of a school district or to have a tax proposed by the 43303
board of education of a school district file with the board of 43304
education of the school district a tax budget, and the requirement 43305
that the board of education adopt the tax budget on behalf of the 43306
library district, as provided in division (B)(1) of section 43307
5705.28 of the Revised Code;43308

        (b) The requirement that the board of trustees of a public 43309
library desiring to participate in the distribution of the county 43310
library and local government supportlibraries fund certify to the 43311
taxing authority its estimate of contemplated revenue and 43312
expenditures, and the requirement that the taxing authority 43313
include in its budget of receipts and budget of expenditures the 43314
full amounts specified or requested by the board of trustees, as 43315
provided in division (D) of section 5705.28 of the Revised Code.43316

        (2) If a county budget commission waives the requirements 43317
described in division (B)(1)(a) or (b) of this section, the 43318
commission shall require the board of trustees of the school 43319
library district or the board of trustees of the public library 43320
desiring to participate in the distribution of the county library 43321
and local government supportlibraries fund to provide to the 43322
commission any information the commission may require from the 43323
board in order for the commission to perform its duties under this 43324
chapter.43325

       Sec. 5705.29. This section does not apply to a subdivision or43326
taxing unit for which the county budget commission has waived the43327
requirement to adopt a tax budget pursuant to section 5705.281 of43328
the Revised Code. The tax budget shall present the following43329
information in such detail as is prescribed by the auditor of43330
state:43331

       (A)(1) A statement of the necessary current operating43332
expenses for the ensuing fiscal year for each department and43333
division of the subdivision, classified as to personal services43334
and other expenses, and the fund from which such expenditures are43335
to be made. Except in the case of a school district, this estimate 43336
may include a contingent expense not designated for any particular 43337
purpose, and not to exceed three per cent of the total amount of 43338
appropriations for current expenses. In the case of a school 43339
district, this estimate may include a contingent expense not 43340
designated for any particular purpose and not to exceed thirteen 43341
per cent of the total amount of appropriations for current 43342
expenses.43343

       (2) A statement of the expenditures for the ensuing fiscal43344
year necessary for permanent improvements, exclusive of any43345
expense to be paid from bond issues, classified as to the43346
improvements contemplated by the subdivision and the fund from43347
which such expenditures are to be made;43348

       (3) The amounts required for the payment of final judgments;43349

       (4) A statement of expenditures for the ensuing fiscal year43350
necessary for any purpose for which a special levy is authorized,43351
and the fund from which such expenditures are to be made;43352

       (5) Comparative statements, so far as possible, in parallel43353
columns of corresponding items of expenditures for the current43354
fiscal year and the two preceding fiscal years.43355

       (B)(1) An estimate of receipts from other sources than the43356
general property tax during the ensuing fiscal year, which shall43357
include an estimate of unencumbered balances at the end of the43358
current fiscal year, and the funds to which such estimated43359
receipts are credited;43360

       (2) The amount each fund requires from the general property43361
tax, which shall be the difference between the contemplated43362
expenditure from the fund and the estimated receipts, as provided43363
in this section. The section of the Revised Code under which the43364
tax is authorized shall be set forth.43365

       (3) Comparative statements, so far as possible, in parallel43366
columns of taxes and other revenues for the current fiscal year43367
and the two preceding fiscal years.43368

       (C)(1) The amount required for debt charges;43369

       (2) The estimated receipts from sources other than the tax43370
levy for payment of such debt charges, including the proceeds of43371
refunding bonds to be issued to refund bonds maturing in the next43372
succeeding fiscal year;43373

       (3) The net amount for which a tax levy shall be made,43374
classified as to bonds authorized and issued prior to January 1,43375
1922, and those authorized and issued subsequent to such date, and43376
as to what portion of the levy will be within and what in excess43377
of the ten-mill limitation.43378

       (D) An estimate of amounts from taxes authorized to be levied 43379
in excess of the ten-mill limitation on the tax rate, and the fund 43380
to which such amounts will be credited, together with the sections 43381
of the Revised Code under which each such tax is exempted from all 43382
limitations on the tax rate.43383

       (E)(1) A board of education may include in its budget for the 43384
fiscal year in which a levy proposed under section 5705.194,43385
5705.21, or 5705.213, or the original levy under section 5705.21243386
of the Revised Code is first extended on the tax list and43387
duplicate an estimate of expenditures to be known as a voluntary43388
contingency reserve balance, which shall not be greater than43389
twenty-five per cent of the total amount of the levy estimated to43390
be available for appropriation in such year.43391

       (2) A board of education may include in its budget for the43392
fiscal year following the year in which a levy proposed under43393
section 5705.194, 5705.21, or 5705.213, or the original levy under43394
section 5705.212 of the Revised Code is first extended on the tax43395
list and duplicate an estimate of expenditures to be known as a43396
voluntary contingency reserve balance, which shall not be greater43397
than twenty per cent of the amount of the levy estimated to be43398
available for appropriation in such year.43399

       (3) Except as provided in division (E)(4) of this section,43400
the full amount of any reserve balance the board includes in its43401
budget shall be retained by the county auditor and county43402
treasurer out of the first semiannual settlement of taxes until43403
the beginning of the next succeeding fiscal year, and thereupon,43404
with the depository interest apportioned thereto, it shall be43405
turned over to the board of education, to be used for the purposes43406
of such fiscal year.43407

       (4) A board of education, by a two-thirds vote of all members 43408
of the board, may appropriate any amount withheld as a voluntary 43409
contingency reserve balance during the fiscal year for any lawful 43410
purpose, provided that prior to such appropriation the board of 43411
education has authorized the expenditure of all amounts43412
appropriated for contingencies under section 5705.40 of the43413
Revised Code. Upon request by the board of education, the county43414
auditor shall draw a warrant on the district's account in the43415
county treasury payable to the district in the amount requested.43416

       (F)(1) A board of education may include a spending reserve in 43417
its budget for fiscal years ending on or before June 30, 2002. The 43418
spending reserve shall consist of an estimate of expenditures not 43419
to exceed the district's spending reserve balance. A district's 43420
spending reserve balance is the amount by which the designated 43421
percentage of the district's estimated personal property taxes to 43422
be settled during the calendar year in which the fiscal year ends 43423
exceeds the estimated amount of personal property taxes to be so 43424
settled and received by the district during that fiscal year. 43425
Moneys from a spending reserve shall be appropriated in accordance 43426
with section 133.301 of the Revised Code.43427

       (2) For the purposes of computing a school district's43428
spending reserve balance for a fiscal year, the designated43429
percentage shall be as follows:43430

Fiscal year ending in: Designated percentage 43431
1998 50% 43432
1999 40% 43433
2000 30% 43434
2001 20% 43435
2002 10% 43436

       (G) Except as otherwise provided in this division, the county 43437
budget commission shall not reduce the taxing authority of a 43438
subdivision as a result of the creation of a reserve balance43439
account. Except as otherwise provided in this division, the county 43440
budget commission shall not consider the amount in a reserve 43441
balance account of a township, county, or municipal corporation as 43442
an unencumbered balance or as revenue for the purposes of division43443
(E)(3) or (4) of section 5747.51 or division (E)(3) or (4) of 43444
section 5747.62 of the Revised Code. The county budget commission 43445
may require documentation of the reasonableness of the reserve 43446
balance held in any reserve balance account. The commission shall 43447
consider any amount in a reserve balance account that it 43448
determines to be unreasonable as unencumbered and as revenue for 43449
the purposes of sections 5747.51 and 5747.62 of the Revised Code 43450
and may take such amounts into consideration when determining 43451
whether to reduce the taxing authority of a subdivision.43452

       Sec. 5705.30.  This section does not apply to a subdivision43453
for which the county budget commission has waived the requirement43454
to adopt a tax budget under section 5705.281 of the Revised Code.43455

       In addition to the information required by section 5705.29 of43456
the Revised Code, the budget of each subdivision and school43457
library district shall include such other information as is43458
prescribed by the auditor of state. At least two copies of the43459
budget shall be filed in the office of the fiscal officer of the43460
subdivision for public inspection not less than ten days before43461
its adoption by the taxing authority, and such taxing authority43462
shall hold at least one public hearing thereon, of which public43463
notice shall be given by at least one publication not less than43464
ten days prior to the date of hearing in the official publication43465
of such subdivision, or in a newspaper having general circulation43466
in the subdivision. The budget, after adoption, shall be submitted43467
to the county auditor on or before the twentieth day of July, or43468
in the case of a school district, by the twentieth day of January.43469
The tax commissioner may prescribe a later date for the submission43470
of a subdivision's tax budget. Any subdivision that fails to43471
submit its budget to the county auditor on or before the twentieth43472
day of July, unless the commissioner on or before the twentieth43473
day of July prescribes a later date for submission of the budget43474
by that subdivision, shall not receive an apportionment from the43475
undivided local governmentcommunities fund distribution for the 43476
ensuing calendar year, unless upon review of the matter the 43477
commissioner determines that the budget was adopted by the 43478
subdivision on or before the fifteenth day of July, but was not 43479
submitted to the county auditor by the twentieth day of July or 43480
the later time prescribed by the commissioner because of 43481
ministerial error by the subdivision or its officers, employees, 43482
or other representatives.43483

       Sec. 5705.31.  The county auditor shall present to the county43484
budget commission the annual tax budgets submitted under sections43485
5705.01 to 5705.47 of the Revised Code, together with an estimate43486
prepared by the auditor of the amount of any state levy, the rate43487
of any school tax levy as previously determined, the tax43488
commissioner's estimate of the amount to be received in the county43489
library and local government supportlibraries fund, the tax rates 43490
provided under section 5705.281 of the Revised Code if adoption of 43491
the tax budget was waived under that section, and such other43492
information as the commission requests or the tax commissioner43493
prescribes. The budget commission shall examine such budget and43494
ascertain the total amount proposed to be raised in the county for43495
the purposes of each subdivision and other taxing units in the43496
county.43497

       The commission shall ascertain that the following levies have43498
been properly authorized and, if so authorized, shall approve them43499
without modification:43500

       (A) All levies in excess of the ten-mill limitation;43501

       (B) All levies for debt charges not provided for by levies in 43502
excess of the ten-mill limitation, including levies necessary to 43503
pay notes issued for emergency purposes;43504

       (C) The levies prescribed by division (B) of sections 742.3343505
and 742.34 of the Revised Code;43506

       (D) Except as otherwise provided in this division, a minimum43507
levy within the ten-mill limitation for the current expense and43508
debt service of each subdivision or taxing unit, which shall equal43509
two-thirds of the average levy for current expenses and debt43510
service allotted within the fifteen-mill limitation to such43511
subdivision or taxing unit during the last five years the43512
fifteen-mill limitation was in effect unless such subdivision or43513
taxing unit requests an amount requiring a lower rate. Except as43514
provided in section 5705.312 of the Revised Code, if the levies43515
required in divisions (B) and (C) of this section for the43516
subdivision or taxing unit equal or exceed the entire minimum levy43517
of the subdivision as fixed, the minimum levies of the other43518
subdivisions or taxing units shall be reduced by the commission to43519
provide for the levies and an operating levy for the subdivision.43520
Such additional levy shall be deducted from the minimum levies of43521
each of the other subdivisions or taxing units, but the operating43522
levy for a school district shall not be reduced below a figure43523
equivalent to forty-five per cent of the millage available within43524
the ten-mill limitation after all the levies in divisions (B) and43525
(C) of this section have been provided for.43526

       If a municipal corporation and a township have entered into43527
an annexation agreement under section 709.192 of the Revised Code43528
in which they agree to reallocate their shares of the minimum43529
levies established under this division and if that annexation43530
agreement is submitted along with the annual tax budget of both43531
the township and the municipal corporation, then, when determining43532
the minimum levy under this division, the auditor shall allocate,43533
to the extent possible, the minimum levy for that municipal43534
corporation and township in accordance with their annexation43535
agreement.43536

       (E) The levies prescribed by section 3709.29 of the Revised43537
Code.43538

       Divisions (A) to (E) of this section are mandatory, and43539
commissions shall be without discretion to reduce such minimum43540
levies except as provided in such divisions.43541

       If any debt charge is omitted from the budget, the commission43542
shall include it therein.43543

       Sec. 5705.32.  (A) The county budget commission shall adjust43544
the estimated amounts required from the general property tax for43545
each fund, as shown by the tax budgets or other information43546
required to be provided under section 5705.281 of the Revised43547
Code, so as to bring the tax levies required therefor within the43548
limitations specified in sections 5705.01 to 5705.47 of the43549
Revised Code, for such levies, but no levy shall be reduced below43550
a minimum fixed by law. The commission may revise and adjust the43551
estimate of balances and receipts from all sources for each fund43552
and shall determine the total appropriations that may be made43553
therefrom.43554

       (B) The commission shall fix the amount of the county library 43555
and local government supportlibraries fund to be distributed to43556
each board of public library trustees that has qualified under43557
section 5705.28 of the Revised Code for participation in the43558
proceeds of such fund. The amount paid to all libraries in the43559
county from such fund shall never be a smaller per cent of the43560
fund than the average of the percentages of the county's43561
classified taxes that were distributed to libraries in 1982, 1983,43562
and 1984, as determined by the county auditor. The commission43563
shall base the amount for distribution on the needs of such43564
library for the construction of new library buildings, parts of43565
buildings, improvements, operation, maintenance, or other43566
expenses. In determining the needs of each library board of43567
trustees, and in calculating the amount to be distributed to any43568
library board of trustees on the basis of its needs, the43569
commission shall make no reduction in its allocation from the fund43570
on account of additional revenues realized by a library from43571
increased taxes or service charges voted by its electorate, from43572
revenues received through federal or state grants, projects, or43573
programs, or from grants from private sources.43574

       (C) Notwithstanding the fact that alternative methods of43575
financing such needs are available, after fixing the amount to be43576
distributed to libraries, the commission shall fix the amount, if43577
any, of the county library and local government supportlibraries43578
fund to be distributed to each board of township park43579
commissioners, the county, and each municipal corporation in 43580
accordance with the following:43581

       (1) Each municipal corporation in the county shall receive a43582
per cent of the remainder that equals the per cent that the county43583
auditor determines the classified property taxes originating in43584
such municipal corporation in 1984 were of the total of all of the43585
county's classified property taxes in 1984. The commission may43586
deduct from this amount any amount that the budget commission43587
allows to the board of township park commissioners of a township43588
park district, the boundaries of which are coextensive with or43589
contained within the boundaries of the municipal corporation.43590

       (2) The county shall receive a per cent of the remainder that 43591
equals the per cent that the county auditor determines the43592
classified property taxes originating outside of the boundaries of43593
municipal corporations in the county in 1984 were of the total of43594
all of the county's classified property taxes in 1984. The43595
commission may deduct from this amount any amount that the budget43596
commission allows to the board of township park commissioners of a43597
township park district, the boundaries of which are not43598
coextensive with or contained within those of any municipal43599
corporation in the county.43600

       (D) The commission shall separately set forth the amounts43601
fixed and determined under divisions (B) and (C) of this section43602
in the "official certificate of estimated resources," as provided43603
in section 5705.35 of the Revised Code, and separately certify43604
such amount to the county auditor who shall be guided thereby in43605
the distribution of the county library and local government43606
supportlibraries fund for and during the fiscal year. In 43607
determining such amounts, the commission shall be guided by the 43608
estimate certified by the tax commissioner and presented by the 43609
auditor under section 5705.31 of the Revised Code, as to the total 43610
amount of revenue to be received in the county library and local 43611
government supportlibraries fund during such fiscal year.43612

       (E)(1) At least five days before the date of any meeting at43613
which the budget commission plans to discuss the distribution of43614
the county library and local government supportlibraries fund, it 43615
shall notify each legislative authority and board of public 43616
library trustees, county commissioners, and township park43617
commissioners eligible to participate in the distribution of the 43618
fund of the date, time, place, and agenda for the meeting. Any 43619
legislative authority or board entitled to notice under this 43620
division may designate an officer or employee of such legislative 43621
authority or board to whom the commission shall deliver the 43622
notice.43623

       (2) Before the final determination of the amount to be43624
allotted to each subdivision from any source, the commission shall43625
permit representatives of each subdivision and of each board of43626
public library trustees to appear before it to explain its43627
financial needs.43628

       (F) If any public library receives and expends any funds43629
allocated to it under this section for the construction of new43630
library buildings or parts of buildings, such library shall be43631
free and open to the inhabitants of the county in which it is43632
located. Any board of library trustees that receives funds under43633
this section and section 5747.48 of the Revised Code shall have43634
its financial records open for public inspection at all reasonable43635
times.43636

       Sec. 5705.321.  (A) As used in this section:43637

       (1) "City, located wholly or partially in the county, with43638
the greatest population" means the city, located wholly or43639
partially in the county, with the greatest population residing in43640
the county; however, if the county budget commission on or before43641
January 1, 1998, adopted an alternative method of apportionment43642
that was approved by the city, located partially in the county,43643
with the greatest population but not the greatest population43644
residing in the county, "city, located wholly or partially in the43645
county, with the greatest population" means the city, located43646
wholly or partially in the county, with the greatest population43647
whether residing in the county or not, if this alternative meaning43648
is adopted by action of the board of county commissioners and a43649
majority of the boards of township trustees and legislative43650
authorities of municipal corporations located wholly or partially43651
in the county.43652

       (2) "Participating political subdivision" means a municipal43653
corporation or township that satisfies all of the following:43654

       (a) It is located wholly or partially in the county.43655

       (b) It is not the city, located wholly or partially in the43656
county, with the greatest population.43657

       (c) Library and local government supportLocal libraries fund 43658
moneys are apportioned to it under the county's alternative method 43659
or formula of apportionment in the current calendar year.43660

       (B) In lieu of the method of apportionment of the county43661
library and local government supportlibraries fund provided by 43662
division (C) of section 5705.32 of the Revised Code, the county 43663
budget commission may provide for the apportionment of the fund43664
under an alternative method or on a formula basis as authorized by43665
this section.43666

       Except as otherwise provided in division (C) of this section,43667
the alternative method of apportionment shall have first been43668
approved by all of the following governmental units: the board of43669
county commissioners; the legislative authority of the city,43670
located wholly or partially in the county, with the greatest43671
population; and a majority of the boards of township trustees and43672
legislative authorities of municipal corporations, located wholly43673
or partially in the county, excluding the legislative authority of43674
the city, located wholly or partially in the county, with the43675
greatest population. In granting or denying approval for an43676
alternative method of apportionment, the board of county43677
commissioners, boards of township trustees, and legislative43678
authorities of municipal corporations shall act by motion. A43679
motion to approve shall be passed upon a majority vote of the43680
members of a board of county commissioners, board of township43681
trustees, or legislative authority of a municipal corporation,43682
shall take effect immediately, and need not be published.43683

       Any alternative method of apportionment adopted and approved43684
under this division may be revised, amended, or repealed in the43685
same manner as it may be adopted and approved. If an alternative43686
method of apportionment adopted and approved under this division43687
is repealed, the county library and local government support43688
libraries fund shall be apportioned among the subdivisions 43689
eligible to participate in the fund, commencing in the ensuing 43690
calendar year, under the apportionment provided in divisions (B) 43691
and (C) of section 5705.32 of the Revised Code, unless the repeal 43692
occurs by operation of division (C) of this section or a new 43693
method for apportionment of the fund is provided in the action of 43694
repeal.43695

       (C) This division applies only in counties in which the city,43696
located wholly or partially in the county, with the greatest43697
population has a population of twenty thousand or less and a43698
population that is less than fifteen per cent of the total43699
population of the county. In such a county, the legislative43700
authorities or boards of township trustees of two or more43701
participating political subdivisions, which together have a43702
population residing in the county that is a majority of the total43703
population of the county, each may adopt a resolution to exclude43704
the approval otherwise required of the legislative authority of43705
the city, located wholly or partially in the county, with the43706
greatest population. All of the resolutions to exclude that43707
approval shall be adopted not later than the first Monday of43708
August of the year preceding the calendar year in which43709
distributions are to be made under an alternative method of43710
apportionment.43711

       A motion granting or denying approval of an alternative43712
method of apportionment under this division shall be adopted by a43713
majority vote of the members of the board of county commissioners43714
and by a majority vote of a majority of the boards of township43715
trustees and legislative authorities of the municipal corporations43716
located wholly or partially in the county, other than the city,43717
located wholly or partially in the county, with the greatest43718
population, shall take effect immediately, and need not be43719
published. The alternative method of apportionment under this43720
division shall be adopted and approved annually, not later than43721
the first Monday of August of the year preceding the calendar year43722
in which distributions are to be made under it. A motion granting43723
approval of an alternative method of apportionment under this43724
division repeals any existing alternative method of apportionment,43725
effective with distributions to be made from the fund in the43726
ensuing calendar year. An alternative method of apportionment43727
under this division shall not be revised or amended after the43728
first Monday of August of the year preceding the calendar year in43729
which distributions are to be made under it.43730

       (D) In determining an alternative method of apportionment43731
authorized by this section, the county budget commission may43732
include in the method any factor considered to be appropriate and43733
reliable, in the sole discretion of the county budget commission.43734

       (E) On the basis of any alternative method of apportionment43735
adopted and approved as authorized by this section, as certified43736
by the auditor to the county treasurer, the county treasurer shall43737
make distribution of the money in the county library and local43738
government supportlibraries fund to each subdivision eligible to43739
participate in the fund, and the auditor, when the amount of those 43740
shares is in the custody of the treasurer in the amounts so43741
computed to be due the respective subdivisions, shall at the same43742
time certify to the tax commissioner the percentage share of the43743
county as a subdivision. All money received into the treasury of a 43744
subdivision from the county library and local government support43745
libraries fund in a county treasury shall be paid into the general 43746
fund and used for the current operating expenses of the 43747
subdivision.43748

       (F) The actions of the county budget commission taken43749
pursuant to this section are final and may not be appealed to the43750
board of tax appeals, except on the issues of abuse of discretion43751
and failure to comply with the formula.43752

       Sec. 5705.37.  The taxing authority of any subdivision that43753
is dissatisfied with any action of the county budget commission43754
may, through its fiscal officer, appeal to the board of tax43755
appeals within thirty days after the receipt by the subdivision of 43756
the official certificate or notice of the commission's action. In 43757
like manner, but through its clerk, the board of trustees of any 43758
public library, nonprofit corporation, or library association43759
maintaining a free public library that has adopted and certified43760
rules under section 5705.28 of the Revised Code, or any park43761
district may appeal to the board of tax appeals. An appeal under43762
this section shall be taken by the filing of a notice of appeal,43763
either in person or by certified mail, express mail, or authorized 43764
delivery service as provided in section 5703.056 of the Revised 43765
Code, with the board and with the commission. If notice of appeal 43766
is filed by certified mail, express mail, or authorized delivery 43767
service, date of the United States postmark placed on the sender's43768
receipt by the postal service or the date of receipt recorded by 43769
the authorized delivery service shall be treated as the date of 43770
filing. Upon receipt of the notice of appeal, the commission, by 43771
certified mail, shall notify all persons who were parties to the 43772
proceeding before the commission of the filing of the notice of 43773
appeal and shall file proof of notice with the board of tax 43774
appeals. The secretary of the commission shall forthwith certify 43775
to the board a transcript of the full and accurate record of all 43776
proceedings before the commission, together with all evidence 43777
presented in the proceedings or considered by the commission, 43778
pertaining to the action from which the appeal is taken. The 43779
secretary of the commission also shall certify to the board any 43780
additional information that the board may request.43781

       The board of tax appeals, in a de novo proceeding, shall43782
forthwith consider the matter presented to the commission, and may 43783
modify any action of the commission with reference to the budget, 43784
the estimate of revenues and balances, the allocation of the 43785
library and local government supportlibraries fund, or the fixing 43786
of tax rates. The finding of the board of tax appeals shall be43787
substituted for the findings of the commission, and shall be43788
certified to the tax commissioner, the county auditor, and the43789
taxing authority of the subdivision affected, or to the board of43790
public library trustees affected, as the action of the commission43791
under sections 5705.01 to 5705.47 of the Revised Code.43792

       This section does not give the board of tax appeals any43793
authority to place any tax levy authorized by law within the43794
ten-mill limitation outside of that limitation, or to reduce any43795
levy below any minimum fixed by law.43796

       Sec. 5709.68.  (A) On or before the thirty-first day of March 43797
each year, a municipal corporation or county that has entered into 43798
an agreement with an enterprise under section 5709.62, 5709.63, or 43799
5709.632 of the Revised Code shall submit to the director of 43800
development and the board of education of each school district of 43801
which a municipal corporation or township to which such an 43802
agreement applies is a part a report on all of those agreements in 43803
effect during the preceding calendar year. The report shall 43804
include all of the following information:43805

       (1) The designation, assigned by the director of development, 43806
of each urban jobs and enterprise zone within the municipal 43807
corporation or county, the date each zone was certified, the name 43808
of each municipal corporation or township within each zone, and 43809
the total population of each zone according to the most recent 43810
data available;43811

       (2) The number of enterprises that are subject to those43812
agreements and the number of full-time employees subject to those43813
agreements within each zone, each according to the most recent43814
data available and identified and categorized by the appropriate43815
standard industrial code, and the rate of unemployment in the43816
municipal corporation or county in which the zone is located for43817
each year since each zone was certified;43818

       (3) The number of agreements approved and executed during the 43819
calendar year for which the report is submitted, the total number 43820
of agreements in effect on the thirty-first day of December of the 43821
preceding calendar year, the number of agreements that expired 43822
during the calendar year for which the report is submitted, and 43823
the number of agreements scheduled to expire during the calendar 43824
year in which the report is submitted. For each agreement that 43825
expired during the calendar year for which the report is 43826
submitted, the municipal corporation or county shall include the 43827
amount of taxes exempted and the estimated dollar value of any 43828
other incentives provided under the agreement.43829

       (4) The number of agreements receiving compliance reviews by43830
the tax incentive review council in the municipal corporation or43831
county during the calendar year for which the report is submitted,43832
including all of the following information:43833

       (a) The number of agreements the terms of which an enterprise 43834
has complied with, indicating separately for each agreement the 43835
value of the real and personal property exempted pursuant to the 43836
agreement and a comparison of the stipulated and actual schedules 43837
for hiring new employees, for retaining existing employees, for 43838
the amount of payroll of the enterprise attributable to these 43839
employees, and for investing in establishing, expanding, 43840
renovating, or occupying a facility;43841

       (b) The number of agreements the terms of which an enterprise 43842
has failed to comply with, indicating separately for each 43843
agreement the value of the real and personal property exempted 43844
pursuant to the agreement and a comparison of the stipulated and 43845
actual schedules for hiring new employees, for retaining existing 43846
employees, for the amount of payroll of the enterprise 43847
attributable to these employees, and for investing in43848
establishing, expanding, renovating, or occupying a facility;43849

       (c) The number of agreements about which the tax incentive43850
review council made recommendations to the legislative authority43851
of the municipal corporation or county, and the number of those43852
recommendations that have not been followed;43853

       (d) The number of agreements rescinded during the calendar43854
year for which the report is submitted.43855

       (5) The number of enterprises that are subject to agreements43856
that expanded within each zone, including the number of new43857
employees hired and existing employees retained by each43858
enterprise, and the number of new enterprises that are subject to43859
agreements and that established within each zone, including the43860
number of new employees hired by each enterprise;43861

       (6)(a) The number of enterprises that are subject to43862
agreements and that closed or reduced employment at any place of43863
business within the state for the primary purpose of establishing,43864
expanding, renovating, or occupying a facility, indicating43865
separately for each enterprise the political subdivision in which43866
the enterprise closed or reduced employment at a place of business43867
and the number of full-time employees transferred and retained by43868
each such place of business;43869

       (b) The number of enterprises that are subject to agreements43870
and that closed or reduced employment at any place of business43871
outside the state for the primary purpose of establishing,43872
expanding, renovating, or occupying a facility.43873

       (7) For each agreement in effect during any part of the43874
preceding year, the number of employees employed by the enterprise43875
at the project site immediately prior to formal approval of the43876
agreement, the number of employees employed by the enterprise at43877
the project site on the thirty-first day of December of the43878
preceding year, the payroll of the enterprise for the preceding43879
year, the amount of taxes paid on tangible personal property43880
situated at the project site and the amount of those taxes that43881
were not paid because of the exemption granted under the43882
agreement, and the amount of taxes paid on real property43883
constituting the project site and the amount of those taxes that43884
were not paid because of the exemption granted under the43885
agreement. If an agreement was entered into under section 5709.632 43886
of the Revised Code with an enterprise described in division 43887
(B)(2) of that section, the report shall include the number of 43888
employee positions at all of the enterprise's locations in this 43889
state. If an agreement is conditioned on a waiver issued under 43890
division (B) of section 5709.633 of the Revised Code on the basis 43891
of the circumstance described in division (B)(3)(a) or (b) of that 43892
section, the report shall include the number of employees at the 43893
facilities referred to in division (B)(3)(a)(i) or (b)(i) of that 43894
section, respectively.43895

       (B) Upon the failure of a municipal corporation or county to43896
comply with division (A) of this section:43897

       (1) Beginning on the first day of April of the calendar year43898
in which the municipal corporation or county fails to comply with43899
that division, the municipal corporation or county shall not enter43900
into any agreements with an enterprise under section 5709.62,43901
5709.63, or 5709.632 of the Revised Code until the municipal43902
corporation or county has complied with division (A) of this43903
section.43904

       (2) On the first day of each ensuing calendar month until the 43905
municipal corporation or county complies with division (A) of this 43906
section, the director of development shall either order the proper 43907
county auditor to deduct from the next succeeding payment of taxes 43908
to the municipal corporation or county under section 321.31, 43909
321.32, 321.33, or 321.34 of the Revised Code an amount equal to 43910
one thousand dollars for each calendar month the municipal43911
corporation or county fails to comply with that division, or order 43912
the county auditor to deduct that amount from the next succeeding43913
payment to the municipal corporation or county from the undivided 43914
local governmentcommunities fund under section 5747.51 of the 43915
Revised Code. At the time such a payment is made, the county43916
auditor shall comply with the director's order by issuing a43917
warrant, drawn on the fund from which the money would have been43918
paid, to the director of development, who shall deposit the43919
warrant into the state enterprise zone program administration fund 43920
created in division (C) of this section.43921

       (C) The director, by rule, shall establish the state's43922
application fee for applications submitted to a municipal43923
corporation or county to enter into an agreement under section43924
5709.62, 5709.63, or 5709.632 of the Revised Code. In establishing 43925
the amount of the fee, the director shall consider the state's 43926
cost of administering the enterprise zone program, including the 43927
cost of reviewing the reports required under division (A) of this 43928
section. The director may change the amount of the fee at the 43929
times and in the increments the director considers necessary. Any 43930
municipal corporation or county that receives an application shall 43931
collect the application fee and remit the fee for deposit in the 43932
state treasury to the credit of the state enterprise zone program 43933
administration fund, which is hereby created. Money credited to 43934
the fund shall be used by the department of development to pay the 43935
costs of administering the enterprise zone program, including the 43936
cost of reviewing the reports required under division (A) of this 43937
sectiontax incentive programs operating fund created in section 43938
122.174 of the Revised Code.43939

       (D) On or before the thirtieth day of June each year, the43940
director of development shall certify to the tax commissioner the43941
information described under division (A)(7) of this section,43942
derived from the reports submitted to the director under this43943
section.43944

       On the basis of the information certified under this43945
division, the tax commissioner annually shall submit a report to43946
the governor, the speaker of the house of representatives, the43947
president of the senate, and the chairpersons of the ways and43948
means committees of the respective houses of the general assembly,43949
indicating for each enterprise zone the amount of state and local43950
taxes that were not required to be paid because of exemptions43951
granted under agreements entered into under section 5709.62,43952
5709.63, or 5709.632 of the Revised Code and the amount of43953
additional taxes paid from the payroll of new employees.43954

       Sec. 5709.882.  (A) On or before the thirty-first day of43955
March each year, a municipal corporation or county that has43956
entered into an agreement with an enterprise under section 5709.88 43957
of the Revised Code shall submit to the director of development 43958
and the board of education of each school district of which a 43959
municipal corporation or county to which such an agreement applies 43960
is a part a report on all such agreements in effect during the 43961
preceding calendar year. The report shall include all of the 43962
following information:43963

       (1) The number of enterprises that are subject to such43964
agreements and the number of full-time employees subject to those43965
agreements in the county or municipal corporation;43966

       (2) The number of agreements approved and executed during the 43967
calendar year for which the report is submitted, the total number 43968
of agreements in effect on the thirty-first day of December of the 43969
preceding calendar year, the number of agreements that expired 43970
during the calendar year for which the report is submitted, and 43971
the number of agreements scheduled to expire during the calendar 43972
year in which the report is submitted. For each agreement that 43973
expired during the calendar year for which the report is 43974
submitted, the municipal corporation or county shall include the 43975
amount of taxes exempted and the estimated dollar value of any 43976
other incentives provided under the agreement.43977

       (3) The number of agreements receiving compliance reviews by 43978
the tax incentive review council in the municipal corporation or 43979
county under section 5709.883 of the Revised Code during the43980
calendar year for which the report is submitted, including all of43981
the following information:43982

       (a) The number of agreements the terms of which an enterprise 43983
has complied with, indicating separately for each such agreement 43984
the value of the real and personal property exempted pursuant to 43985
the agreement and a comparison of the stipulated and actual 43986
schedules for hiring new employees, for retaining existing43987
employees, for the amount of payroll of the enterprise43988
attributable to these employees, and for remediating and investing 43989
in establishing, expanding, renovating, or occupying a facility;43990

       (b) The number of agreements the terms of which an enterprise 43991
has failed to comply with, indicating separately for each such 43992
agreement the value of the real and personal property exempted 43993
pursuant to the agreement and a comparison of the stipulated and 43994
actual schedules for hiring new employees, for retaining existing 43995
employees, for the amount of payroll of the enterprise 43996
attributable to these employees, and for remediating and investing 43997
in establishing, expanding, renovating, or occupying a facility;43998

       (c) The number of agreements about which the tax incentive43999
review council made recommendations to the legislative authority44000
of the municipal corporation or county, and the number of such44001
recommendations that have not been followed;44002

       (d) The number of agreements rescinded during the calendar44003
year for which the report is submitted.44004

       (4) The number of enterprises that are subject to agreements 44005
and the number of new employees hired and existing employees 44006
retained by each such enterprise;44007

       (5)(a) The number of enterprises that are subject to44008
agreements and that closed or reduced employment at any place of44009
business within the state for the primary purpose of remediating44010
and establishing, expanding, renovating, or occupying a facility,44011
indicating separately for each such enterprise the political44012
subdivision in which the enterprise closed or reduced employment44013
at a place of business and the number of full-time employees44014
transferred and retained by each such place of business;44015

       (b) The number of enterprises that are subject to agreements 44016
and that closed or reduced employment at any place of business 44017
outside the state for the primary purpose of remediating and 44018
establishing, expanding, renovating, or occupying a facility.44019

       (B) Upon the failure of a municipal corporation or county to 44020
comply with division (A) of this section, both of the following 44021
apply:44022

       (1) Beginning on the first day of April of the calendar year 44023
in which the municipal corporation or county fails to comply with 44024
that division, the municipal corporation or county shall not enter 44025
into any agreements with an enterprise under section 5709.88 of 44026
the Revised Code until the municipal corporation or county has 44027
complied with division (A) of this section;44028

       (2) On the first day of each ensuing calendar month until the 44029
municipal corporation or county complies with that division, the 44030
director of development shall either order the proper county44031
auditor to deduct from the next succeeding payment of taxes to the 44032
municipal corporation or county under section 321.31, 321.32,44033
321.33, or 321.34 of the Revised Code an amount equal to five44034
hundred dollars for each calendar month the municipal corporation44035
or county fails to comply with that division, or order the county44036
auditor to deduct such an amount from the next succeeding payment44037
to the municipal corporation or county from the undivided local44038
governmentcommunities fund under section 5747.51 of the Revised 44039
Code. At the time such a payment is made, the county auditor shall 44040
comply with the director's order by issuing a warrant, drawn on 44041
the fund from which such money would have been paid, to the 44042
director of development, who shall deposit the warrant into the 44043
contaminated sites development program administration fund created 44044
in division (C) of this section.44045

       (C) The director, by rule, shall establish the state's44046
application fee for applications submitted to a municipal44047
corporation or county to enter into an agreement under section44048
5709.88 of the Revised Code. In establishing the amount of the44049
fee, the director shall consider the state's cost of administering 44050
this section and section 5709.88 of the Revised Code. The director 44051
may change the amount of the fee at such times and in such 44052
increments as hethe director considers necessary. Any municipal 44053
corporation or county that receives an application shall collect 44054
the application fee and remit the fee for deposit in the state 44055
treasury to the credit of the contaminated sites development 44056
program administration fund, which is hereby created. Money 44057
credited to the fund shall be used by the department of44058
development to pay the costs of administering this section and44059
section 5709.88 of the Revised Code.44060

       Sec. 5715.36.  (A) Any expense incurred by the tax44061
commissioner as to the annual assessment of real property in any44062
taxing district shall be paid out of the treasury of the county in 44063
which such district is located upon presentation of the order of 44064
the commissioner certifying the amount thereof to the county44065
auditor, who shall thereupon issue hisa warrant therefor upon the 44066
general fund of the county and direct the warrant to the county44067
treasurer, who shall pay the same. All money paid out of the44068
county treasury under authority of this division and section44069
5703.30 of the Revised Code shall be charged against the proper44070
district, and amounts paid by the county shall be retained by the44071
auditor from funds due such district at the time of making the44072
semiannual distribution of taxes.44073

       (B) Any expense incurred by the board of tax appeals as to44074
the hearing of any appeal from a county budget commission with44075
respect to the allocation of the local government or local 44076
communities fund or the county library and local government 44077
support fund or county local libraries fund shall be paid out of 44078
the treasury of the county involved upon presentation of the order 44079
of the board certifying the amount thereof to the county auditor, 44080
who shall thereupon issue hisa warrant therefor upon the general 44081
fund of the county and direct the warrant to the county treasurer, 44082
who shall pay the same. At the time the local government or local 44083
communities fund or the county library and local government44084
support fund or county local libraries fund is distributed, all 44085
money which had been paid out of the county treasury for such 44086
expenses shall be deducted by the county auditor from the fund 44087
involved in the appeal. The amount so deducted by the county 44088
auditor shall be forthwith returned to the general fund of the 44089
county.44090

       (C) An amount equal to the sum of the expenses incurred by44091
the board of tax appeals as to any of the following shall be paid44092
out of the general fund of the county in which such property is44093
located upon presentation of the order of the board certifying the 44094
amount thereof to the county auditor, who shall thereupon issue 44095
hisa warrant therefor upon the general fund of the county and 44096
direct the warrant to the county treasurer, who shall pay the44097
same:44098

       (1) The hearing of any appeal from a county board of revision 44099
under section 5717.01 of the Revised Code;44100

       (2) An appeal from any finding, computation, determination, 44101
or order of the tax commissioner made with respect to the 44102
assessment or exemption of real property under division (B) of 44103
section 5715.61 and section 5717.02 of the Revised Code. At the 44104
time of each settlement of taxes under divisions (A) and (C) of 44105
section 321.24 of the Revised Code, there shall be deducted from 44106
the taxes included in such settlement and paid into the county 44107
general fund in the same manner as the fees allowed the county 44108
treasurer on amounts included in such settlement, the amounts paid 44109
out under this division since the preceding settlement. Each 44110
deduction shall be apportioned among the taxing districts within 44111
which the property that was the subject of the appeal is located 44112
in proportion to their relative shares of their respective taxes 44113
included in the settlement.44114

       Sec. 5719.041.  If the payment of a general personal property 44115
or classified property tax is not made on or before the last day 44116
prescribed by section 5719.03 or 5719.031 of the Revised Code, an 44117
interest charge shall begin to accrue and shall continue until all 44118
charges are paid, except that no interest charge shall accrue for 44119
or in the month in which such payment was due under such section 44120
or under the circumstances and for the period described in 44121
division (A)(2) of section 5711.33 of the Revised Code or upon 44122
delinquent taxes that are the subject of a delinquent tax contract 44123
entered into pursuant to section 5719.05 of the Revised Code.44124

       The interest charge shall accrue against the balance of such 44125
taxes and any penalty thereon outstanding that remains unpaid on 44126
the last day of each month and shall be at the rate per calendar 44127
month, rounded to the nearest one-hundredth of one per cent, equal 44128
to one-twelfth of the federal short-term rate determined by the 44129
tax commissioner under section 5703.47 of the Revised Code for the 44130
calendar year that includes the month for which the charge 44131
accrues. The charge is payable in addition to the unpaid balance 44132
of taxes and penalties on the day the charge accrues, unless the 44133
entire balance is sooner paid.44134

       If a delinquent tax contract becomes void, interest shall be 44135
charged on the day on which the contract becomes void in the 44136
amount that would have been charged had the delinquent tax 44137
contract not been entered into and shall thereafter accrue as 44138
provided in this section.44139

       Interest shall be allowed, at the same rate per calendar44140
month as is applicable that month for underpayments, on any44141
overpayment of the tax charged on a general personal property or a 44142
classified property tax duplicate, from the first day of the month 44143
following the date of the overpayment until the last day of the 44144
month preceding the date of the refund of the overpayment. The 44145
interest shall be paid from the fund or funds to which the44146
overpayment was credited.44147

       When the county treasurer makes the treasurer's annual44148
settlement with the county auditor under division (D) of section 44149
321.24 of the Revised Code, the treasurer shall certify to the 44150
auditor a list of all entries on the cumulative delinquent tax 44151
duplicate that are at that time in the process of being paid in 44152
installments under a valid delinquent tax contract. For each entry 44153
that appears on the duplicate that is not on the certified list, 44154
the auditor shall compute the full amount of interest charges 44155
which have accrued against such entry since the preceding such 44156
settlement was made and shall include such charges through the 44157
last day of the month preceding the current settlement. The 44158
auditor shall include such amounts on the tax list and duplicates 44159
prepared by the auditor as prescribed in section 5719.04 of the 44160
Revised Code unless the interest is less than one dollar, in which 44161
case it shall not be added to such tax lists and duplicates.44162

       Before the county treasurer accepts any payment of taxes44163
against which there are accrued interest charges that do not44164
appear on the delinquent tax duplicate, the treasurer shall notify 44165
the auditor who shall issue a certificate to the treasurer showing44166
the amount of such interest charges, and the treasurer shall44167
collect the amount shown on such certificate at the time of 44168
accepting payment of such taxes. If the amount of such interest 44169
charges is less than one dollar, no such certificate shall be 44170
issued. In the case of delinquent personal property taxes, the 44171
interest shown on such certificate shall be credited to the 44172
undivided general tax fund, and distributed in the same manner as 44173
the delinquent taxes upon which the interest charges accrued. In 44174
the case of delinquent classified property taxes, the interest 44175
shown on such certificate shall be credited to the county library 44176
and local government supportlibraries fund and distributed in 44177
accordance with section 5747.48 of the Revised Code. When the44178
payment of delinquent taxes is credited on the tax duplicate the44179
treasurer shall make a separate notation thereon indicating the44180
amount collected and the index number of the auditor's certificate 44181
herein prescribed.44182

       Sec. 5725.151.  (A) As used in this section, "certificate 44183
owner" has the same meaning as in section 149.311 of the Revised 44184
Code.44185

       (B) There is allowed a refundable credit against the tax 44186
imposed by section 5707.03 and assessed under section 5725.15 of 44187
the Revised Code for a dealer in intangibles subject to that tax 44188
that is a certificate owner of a rehabilitation tax credit 44189
certificate issued under section 149.311 of the Revised Code. The 44190
credit shall equal twenty-five per cent of the dollar amount 44191
indicated on the certificate. The credit shall be claimed in the 44192
calendar year specified in the certificate.44193

       (C) A dealer in intangibles claiming a credit under this 44194
section shall retain the rehabilitation tax credit certificate for 44195
four years following the end of the year in which the credit was 44196
claimed, and shall make the certificate available for inspection 44197
by the tax commissioner upon the request of the tax commissioner 44198
during that period.44199

       (D) For the purpose of division (C) of section 5725.24 of the 44200
Revised Code, reductions in the amount of taxes collected on 44201
account of credits allowed under this section shall be applied to 44202
reduce the amount credited to the general revenue fund and shall 44203
not be applied to reduce the amount to be credited to the 44204
undivided local governmentcommunities funds of the counties in 44205
which such taxes originate.44206

       Sec. 5725.24. (A) As used in this section, "qualifying44207
dealer" means a dealer in intangibles that is a qualifying dealer44208
in intangibles as defined in section 5733.45 of the Revised Code44209
or a member of a qualifying controlled group, as defined in44210
section 5733.04 of the Revised Code, of which an insurance company44211
also is a member on the first day of January of the year in and44212
for which the tax imposed by section 5707.03 of the Revised Code44213
is required to be paid by the dealer.44214

       (B) The taxes levied by section 5725.18 of the Revised Code 44215
and collected pursuant to this chapter shall be paid into the44216
state treasury to the credit of the general revenue fund.44217

       (C) The taxes levied by section 5707.03 of the Revised Code44218
on the value of shares in and capital employed by dealers in44219
intangibles other than those that are qualifying dealers shall be44220
for the use of the general revenue fund of the state and the local44221
governmentcommunities funds of the several counties in which the 44222
taxes originate as provided in this division.44223

       On or before the first day ofDuring each month onfor which 44224
there is money in the state treasury for disbursement under this 44225
division, the tax commissioner shall provide for payment to the44226
county treasurer of each county of five-eighths of the amount of44227
the taxes collected on account of shares in and capital employed 44228
by dealers in intangibles other than those that are qualifying44229
dealers, representing capital employed in the county. The balance44230
of the money received and credited on account of taxes assessed on44231
shares in and capital employed by such dealers in intangibles44232
shall be credited to the general revenue fund.44233

       Reductions in the amount of taxes collected on account of 44234
credits allowed under section 5725.151 of the Revised Code shall 44235
be applied to reduce the amount credited to the general revenue 44236
fund and shall not be applied to reduce the amount to be credited 44237
to the undivided local governmentcommunities funds of the 44238
counties in which such taxes originate.44239

       For the purpose of this division, such taxes are deemed to44240
originate in the counties in which such dealers in intangibles44241
have their offices.44242

       Money received into the treasury of a county pursuant to this44243
section shall be credited to the undivided local government44244
communities fund of the county and shall be distributed by the 44245
budget commission as provided by law.44246

       (D) All of the taxes levied under section 5707.03 of the44247
Revised Code on the value of the shares in and capital employed by44248
dealers in intangibles that are qualifying dealers shall be paid44249
into the state treasury to the credit of the general revenue fund.44250

       Sec. 5727.45. Four and two-tenthsOne hundred per cent of 44251
all excise taxes and penalties collected under sections 5727.01 to 44252
5727.62 of the Revised Code shall be credited to the local 44253
government fund for distribution in accordance with section 44254
5747.50 of the Revised Code, six-tenths of one per cent shall be 44255
credited to the local government revenue assistance fund for44256
distribution in accordance with section 5747.61 of the Revised 44257
Code, and ninety-five and two-tenths per cent shall be credited to44258
the general revenue fund.44259

       Sec. 5727.84.  (A) As used in this section and sections44260
5727.85, 5727.86, and 5727.87 of the Revised Code:44261

       (1) "School district" means a city, local, or exempted44262
village school district.44263

       (2) "Joint vocational school district" means a joint44264
vocational school district created under section 3311.16 of the44265
Revised Code, and includes a cooperative education school district44266
created under section 3311.52 or 3311.521 of the Revised Code and44267
a county school financing district created under section 3311.5044268
of the Revised Code.44269

       (3) "Local taxing unit" means a subdivision or taxing unit,44270
as defined in section 5705.01 of the Revised Code, a park district44271
created under Chapter 1545. of the Revised Code, or a township44272
park district established under section 511.23 of the Revised44273
Code, but excludes school districts and joint vocational school44274
districts.44275

       (4) "State education aid," for a school district, means the 44276
sum of state aid amounts computed for the district under divisions 44277
(A), (C)(1), (C)(4), (D), (E), and (F) of section 3317.022; 44278
divisions (B), (C), and (D) of section 3317.023; divisions (G), 44279
(L), and (N) of section 3317.024; and sections 3317.029, 44280
3317.0216, 3317.0217, 3317.04, 3317.05, 3317.052, and 3317.053 of 44281
the Revised Code; and the adjustments required by: division (C) of 44282
section 3310.08; division (C) of section 3314.08; division (D) of 44283
section 3314.13; divisions (E), (K), (L), (M), (N), and (O) of 44284
section 3317.023; division (C) of section 3317.20; and sections 44285
3313.979 and 3313.981 of the Revised Code. However, when 44286
calculating state education aid for a school district for fiscal 44287
years 20062008 and 20072009, include the amount computed for the 44288
district under Section 206.09.21269.20.80 of Am. Sub. H.B. 6611944289
of the 126th127th general assembly, as subsequently amended, 44290
instead of division (D) of section 3317.022 of the Revised Code; 44291
include amounts calculated under Section 206.09.39269.30.80 of 44292
thatthis act, as subsequently amended; and account for 44293
adjustments under division (C)(2) of section 3310.41 of the 44294
Revised Code.44295

       (5) "State education aid," for a joint vocational school 44296
district, means the sum of the state aid amounts computed for the 44297
district under division (N) of section 3317.024 and section 44298
3317.16 of the Revised Code. However, when calculating state 44299
education aid for a joint vocational school district for fiscal 44300
years 20062008 and 20072009, include the amount computed for the 44301
district under Section 206.09.42269.30.90 of Am. Sub. H.B. 6611944302
of the 126th127th general assembly, as subsequently amended.44303

        (6) "State education aid offset" means the amount determined44304
for each school district or joint vocational school district under44305
division (A)(1) of section 5727.85 of the Revised Code.44306

       (7) "Recognized valuation" has the same meaning as in section44307
3317.02 of the Revised Code.44308

       (8) "Electric company tax value loss" means the amount44309
determined under division (D) of this section.44310

       (9) "Natural gas company tax value loss" means the amount44311
determined under division (E) of this section.44312

       (10) "Tax value loss" means the sum of the electric company44313
tax value loss and the natural gas company tax value loss.44314

       (11) "Fixed-rate levy" means any tax levied on property other44315
than a fixed-sum levy.44316

       (12) "Fixed-rate levy loss" means the amount determined under44317
division (G) of this section.44318

       (13) "Fixed-sum levy" means a tax levied on property at44319
whatever rate is required to produce a specified amount of tax44320
money or levied in excess of the ten-mill limitation to pay debt44321
charges, and includes school district emergency levies imposed44322
pursuant to section 5705.194 of the Revised Code.44323

       (14) "Fixed-sum levy loss" means the amount determined under44324
division (H) of this section.44325

       (15) "Consumer price index" means the consumer price index44326
(all items, all urban consumers) prepared by the bureau of labor44327
statistics of the United States department of labor.44328

       (B) The kilowatt-hour tax receipts fund is hereby created in44329
the state treasury and shall consist of money arising from the tax44330
imposed by section 5727.81 of the Revised Code. All money in the44331
kilowatt-hour tax receipts fund shall be credited as follows:44332

       (1) Fifty-nine and nine hundred seventy-six one-thousandths44333
Sixty-three per cent, shall be credited to the general revenue 44334
fund.44335

       (2) Two and six hundred forty-six one-thousandths per cent44336
shall be credited to the local government fund, for distribution44337
in accordance with section 5747.50 of the Revised Code.44338

       (3) Three hundred seventy-eight one-thousandths per cent44339
shall be credited to the local government revenue assistance fund,44340
for distribution in accordance with section 5747.61 of the Revised44341
Code.44342

       (4) Twenty-five and four-tenths per cent shall be credited to 44343
the school district property tax replacement fund, which is hereby 44344
created in the state treasury for the purpose of making the44345
payments described in section 5727.85 of the Revised Code.44346

       (5)(3) Eleven and six-tenths per cent shall be credited to 44347
the local government property tax replacement fund, which is 44348
hereby created in the state treasury for the purpose of making the44349
payments described in section 5727.86 of the Revised Code.44350

       (C) The natural gas tax receipts fund is hereby created in44351
the state treasury and shall consist of money arising from the tax44352
imposed by section 5727.811 of the Revised Code. All money in the44353
fund shall be credited as follows:44354

       (1) Sixty-eight and seven-tenths per cent shall be credited44355
to the school district property tax replacement fund for the44356
purpose of making the payments described in section 5727.85 of the44357
Revised Code.44358

       (2) Thirty-one and three-tenths per cent shall be credited to 44359
the local government property tax replacement fund for the purpose 44360
of making the payments described in section 5727.86 of the Revised 44361
Code.44362

       (D) Not later than January 1, 2002, the tax commissioner44363
shall determine for each taxing district its electric company tax44364
value loss, which is the sum of the applicable amounts described 44365
in divisions (D)(1) to (3) of this section:44366

       (1) The difference obtained by subtracting the amount44367
described in division (D)(1)(b) from the amount described in44368
division (D)(1)(a) of this section.44369

       (a) The value of electric company and rural electric company44370
tangible personal property as assessed by the tax commissioner for44371
tax year 1998 on a preliminary assessment, or an amended44372
preliminary assessment if issued prior to March 1, 1999, and as44373
apportioned to the taxing district for tax year 1998;44374

       (b) The value of electric company and rural electric company44375
tangible personal property as assessed by the tax commissioner for44376
tax year 1998 had the property been apportioned to the taxing44377
district for tax year 2001, and assessed at the rates in effect44378
for tax year 2001.44379

       (2) The difference obtained by subtracting the amount44380
described in division (D)(2)(b) from the amount described in44381
division (D)(2)(a) of this section.44382

       (a) The three-year average for tax years 1996, 1997, and 1998 44383
of the assessed value from nuclear fuel materials and assemblies 44384
assessed against a person under Chapter 5711. of the Revised Code44385
from the leasing of them to an electric company for those 44386
respective tax years, as reflected in the preliminary assessments;44387

       (b) The three-year average assessed value from nuclear fuel44388
materials and assemblies assessed under division (D)(2)(a) of this44389
section for tax years 1996, 1997, and 1998, as reflected in the44390
preliminary assessments, using an assessment rate of twenty-five44391
per cent.44392

       (3) In the case of a taxing district having a nuclear power 44393
plant within its territory, any amount, resulting in an electric 44394
company tax value loss, obtained by subtracting the amount 44395
described in division (D)(1) of this section from the difference 44396
obtained by subtracting the amount described in division (D)(3)(b) 44397
of this section from the amount described in division (D)(3)(a) of 44398
this section.44399

        (a) The value of electric company tangible personal property 44400
as assessed by the tax commissioner for tax year 2000 on a 44401
preliminary assessment, or an amended preliminary assessment if 44402
issued prior to March 1, 2001, and as apportioned to the taxing 44403
district for tax year 2000;44404

        (b) The value of electric company tangible personal property 44405
as assessed by the tax commissioner for tax year 2001 on a 44406
preliminary assessment, or an amended preliminary assessment if 44407
issued prior to March 1, 2002, and as apportioned to the taxing 44408
district for tax year 2001.44409

       (E) Not later than January 1, 2002, the tax commissioner44410
shall determine for each taxing district its natural gas company44411
tax value loss, which is the sum of the amounts described in44412
divisions (E)(1) and (2) of this section:44413

       (1) The difference obtained by subtracting the amount44414
described in division (E)(1)(b) from the amount described in44415
division (E)(1)(a) of this section.44416

       (a) The value of all natural gas company tangible personal44417
property, other than property described in division (E)(2) of this44418
section, as assessed by the tax commissioner for tax year 1999 on44419
a preliminary assessment, or an amended preliminary assessment if44420
issued prior to March 1, 2000, and apportioned to the taxing44421
district for tax year 1999;44422

       (b) The value of all natural gas company tangible personal44423
property, other than property described in division (E)(2) of this44424
section, as assessed by the tax commissioner for tax year 1999 had44425
the property been apportioned to the taxing district for tax year44426
2001, and assessed at the rates in effect for tax year 2001.44427

       (2) The difference in the value of current gas obtained by44428
subtracting the amount described in division (E)(2)(b) from the44429
amount described in division (E)(2)(a) of this section.44430

       (a) The three-year average assessed value of current gas as44431
assessed by the tax commissioner for tax years 1997, 1998, and44432
1999 on a preliminary assessment, or an amended preliminary44433
assessment if issued prior to March 1, 2001, and as apportioned in44434
the taxing district for those respective years;44435

       (b) The three-year average assessed value from current gas44436
under division (E)(2)(a) of this section for tax years 1997, 1998,44437
and 1999, as reflected in the preliminary assessment, using an44438
assessment rate of twenty-five per cent.44439

       (F) The tax commissioner may request that natural gas44440
companies, electric companies, and rural electric companies file a44441
report to help determine the tax value loss under divisions (D)44442
and (E) of this section. The report shall be filed within thirty44443
days of the commissioner's request. A company that fails to file44444
the report or does not timely file the report is subject to the44445
penalty in section 5727.60 of the Revised Code.44446

       (G) Not later than January 1, 2002, the tax commissioner44447
shall determine for each school district, joint vocational school44448
district, and local taxing unit its fixed-rate levy loss, which is44449
the sum of its electric company tax value loss multiplied by the44450
tax rate in effect in tax year 1998 for fixed-rate levies and its44451
natural gas company tax value loss multiplied by the tax rate in44452
effect in tax year 1999 for fixed-rate levies.44453

       (H) Not later than January 1, 2002, the tax commissioner44454
shall determine for each school district, joint vocational school44455
district, and local taxing unit its fixed-sum levy loss, which is44456
the amount obtained by subtracting the amount described in44457
division (H)(2) of this section from the amount described in44458
division (H)(1) of this section:44459

       (1) The sum of the electric company tax value loss multiplied 44460
by the tax rate in effect in tax year 1998, and the natural gas 44461
company tax value loss multiplied by the tax rate in effect in tax 44462
year 1999, for fixed-sum levies for all taxing districts within44463
each school district, joint vocational school district, and local44464
taxing unit. For the years 2002 through 2006, this computation 44465
shall include school district emergency levies that existed in 44466
1998 in the case of the electric company tax value loss, and 1999 44467
in the case of the natural gas company tax value loss, and all 44468
other fixed-sum levies that existed in 1998 in the case of the 44469
electric company tax value loss and 1999 in the case of the 44470
natural gas company tax value loss and continue to be charged in 44471
the tax year preceding the distribution year. For the years 200744472
through 2016 in the case of school district emergency levies, and 44473
for all years after 2006 in the case of all other fixed-sum 44474
levies, this computation shall exclude all fixed-sum levies that44475
existed in 1998 in the case of the electric company tax value loss 44476
and 1999 in the case of the natural gas company tax value loss, 44477
but are no longer in effect in the tax year preceding the 44478
distribution year. For the purposes of this section, an emergency 44479
levy that existed in 1998 in the case of the electric company tax44480
value loss, and 1999 in the case of the natural gas company tax 44481
value loss, continues to exist in a year beginning on or after 44482
January 1, 2007, but before January 1, 2017, if, in that year, the 44483
board of education levies a school district emergency levy for an 44484
annual sum at least equal to the annual sum levied by the board in 44485
tax year 1998 or 1999, respectively, less the amount of the 44486
payment certified under this division for 2002.44487

       (2) The total taxable value in tax year 1999 less the tax44488
value loss in each school district, joint vocational school44489
district, and local taxing unit multiplied by one-fourth of one44490
mill.44491

       If the amount computed under division (H) of this section for 44492
any school district, joint vocational school district, or local 44493
taxing unit is greater than zero, that amount shall equal the 44494
fixed-sum levy loss reimbursed pursuant to division (E) of section 44495
5727.85 of the Revised Code or division (A)(2) of section 5727.86 44496
of the Revised Code, and the one-fourth of one mill that is 44497
subtracted under division (H)(2) of this section shall be44498
apportioned among all contributing fixed-sum levies in the44499
proportion of each levy to the sum of all fixed-sum levies within44500
each school district, joint vocational school district, or local44501
taxing unit.44502

       (I) Notwithstanding divisions (D), (E), (G), and (H) of this 44503
section, in computing the tax value loss, fixed-rate levy loss, 44504
and fixed-sum levy loss, the tax commissioner shall use the44505
greater of the 1998 tax rate or the 1999 tax rate in the case of44506
levy losses associated with the electric company tax value loss,44507
but the 1999 tax rate shall not include for this purpose any tax44508
levy approved by the voters after June 30, 1999, and the tax44509
commissioner shall use the greater of the 1999 or the 2000 tax44510
rate in the case of levy losses associated with the natural gas44511
company tax value loss.44512

       (J) Not later than January 1, 2002, the tax commissioner44513
shall certify to the department of education the tax value loss44514
determined under divisions (D) and (E) of this section for each44515
taxing district, the fixed-rate levy loss calculated under44516
division (G) of this section, and the fixed-sum levy loss44517
calculated under division (H) of this section. The calculations44518
under divisions (G) and (H) of this section shall separately44519
display the levy loss for each levy eligible for reimbursement.44520

       (K) Not later than September 1, 2001, the tax commissioner44521
shall certify the amount of the fixed-sum levy loss to the county44522
auditor of each county in which a school district with a fixed-sum44523
levy loss has territory.44524

       Sec. 5727.85.  (A) By the thirty-first day of July of each44525
year, beginning in 2002 and ending in 2016, the department of44526
education shall determine the following for each school district44527
and each joint vocational school district eligible for payment44528
under division (C) or (D) of this section:44529

       (1) The state education aid offset, which is the difference44530
obtained by subtracting the amount described in division (A)(1)(b)44531
of this section from the amount described in division (A)(1)(a) of44532
this section:44533

       (a) The state education aid computed for the school district44534
or joint vocational school district for the current fiscal year as 44535
of the thirty-first day of July;44536

       (b) The state education aid that would be computed for the44537
school district or joint vocational school district for the44538
current fiscal year as of the thirty-first day of July if the 44539
recognized valuation included the tax value loss for the school44540
district or joint vocational school district.44541

       (2) The greater of zero or the difference obtained by44542
subtracting the state education aid offset determined under44543
division (A)(1) of this section from the fixed-rate levy loss 44544
certified under division (J) of section 5727.84 of the Revised44545
Code for all taxing districts in each school district and joint44546
vocational school district.44547

       By the fifth day of August of each such year, the department44548
of education shall certify the amount so determined under division44549
(A)(1) of this section to the director of budget and management.44550

       (B) Not later than the thirty-first day of October of the44551
years 2006 through 2016, the department of education shall44552
determine all of the following for each school district:44553

       (1) The amount obtained by subtracting the district's state44554
education aid computed for fiscal year 2002 from the district's44555
state education aid computed for the current fiscal year;44556

       (2) The inflation-adjusted property tax loss. The44557
inflation-adjusted property tax loss equals the fixed-rate levy44558
loss, excluding the tax loss from levies within the ten-mill44559
limitation to pay debt charges, determined under division (G) of44560
section 5727.84 of the Revised Code for all taxing districts in44561
each school district, plus the product obtained by multiplying 44562
that loss by the cumulative percentage increase in the consumer 44563
price index from January 1, 2002, to the thirtieth day of June of 44564
the current year.44565

       (3) The difference obtained by subtracting the amount44566
computed under division (B)(1) from the amount of the44567
inflation-adjusted property tax loss. If this difference is zero44568
or a negative number, no further payments shall be made under44569
division (C) of this section to the school district from the44570
school district property tax replacement fund.44571

       (C) The department of education shall pay from the school44572
district property tax replacement fund to each school district all 44573
of the following:44574

       (1) In February 2002, one-half of the fixed-rate levy loss44575
certified under division (J) of section 5727.84 of the Revised44576
Code between the twenty-first and twenty-eighth days of February.44577

       (2) From August 2002 through August 2017, one-half of the44578
amount calculated for that fiscal year under division (A)(2) of44579
this section between the twenty-first and twenty-eighth days of44580
August and of February, provided the difference computed under 44581
division (B)(3) of this section is not less than or equal to zero.44582

        For taxes levied within the ten-mill limitation for debt44583
purposes in tax year 1998 in the case of electric company tax44584
value losses, and in tax year 1999 in the case of natural gas44585
company tax value losses, payments shall be made equal to one44586
hundred per cent of the loss computed as if the tax were a44587
fixed-rate levy, but those payments shall extend from fiscal year44588
2006 through fiscal year 2016.44589

       The department of education shall report to each school44590
district the apportionment of the payments among the school44591
district's funds based on the certifications under division (J) of44592
section 5727.84 of the Revised Code.44593

       (D) Not later than January 1, 2002, for all taxing districts44594
in each joint vocational school district, the tax commissioner44595
shall certify to the department of education the fixed-rate levy44596
loss determined under division (G) of section 5727.84 of the44597
Revised Code. From February 2002 to August 2016, the department44598
shall pay from the school district property tax replacement fund44599
to the joint vocational school district one-half of the amount44600
calculated for that fiscal year under division (A)(2) of this44601
section between the twenty-first and twenty-eighth days of August44602
and of February.44603

       (E)(1) Not later than January 1, 2002, for each fixed-sum44604
levy levied by each school district or joint vocational school44605
district and for each year for which a determination is made under 44606
division (H) of section 5727.84 of the Revised Code that a44607
fixed-sum levy loss is to be reimbursed, the tax commissioner44608
shall certify to the department of education the fixed-sum levy44609
loss determined under that division. The certification shall cover 44610
a time period sufficient to include all fixed-sum levies for which 44611
the tax commissioner made such a determination. The department 44612
shall pay from the school district property tax replacement fund 44613
to the school district or joint vocational school district 44614
one-half of the fixed-sum levy loss so certified for each year 44615
between the twenty-first and twenty-eighth days of August and of 44616
February.44617

       (2) Beginning in 2003, by the thirty-first day of January of44618
each year, the tax commissioner shall review the certification44619
originally made under division (E)(1) of this section. If the44620
commissioner determines that a debt levy that had been scheduled44621
to be reimbursed in the current year has expired, a revised44622
certification for that and all subsequent years shall be made to44623
the department of education.44624

       (F) If the balance of the half-mill equalization fund created 44625
under section 3318.18 of the Revised Code is insufficient to make 44626
the full amount of payments required under division (D) of that 44627
section, the department of education, at the end of the third 44628
quarter of the fiscal year, shall certify to the director of 44629
budget and management the amount of the deficiency, and the 44630
director shall transfer an amount equal to the deficiency from the 44631
school district property tax replacement fund to the half-mill 44632
equalization fund.44633

       (G) Beginning in August 2002, and ending in May 2017, the 44634
director of budget and management shall transfer from the school 44635
district property tax replacement fund to the general revenue fund 44636
each of the following:44637

       (1) Between the twenty-eighth day of August and the fifth day 44638
of September, the lesser of one-half of the amount certified for 44639
that fiscal year under division (A)(2) of this section or the44640
balance in the school district property tax replacement fund;44641

       (2) Between the first and fifth days of May, the lesser of44642
one-half of the amount certified for that fiscal year under44643
division (A)(2) of this section or the balance in the school44644
district property tax replacement fund.44645

       (H) On the first day of June each year, the director of 44646
budget and management shall transfer any balance remaining in the 44647
school district property tax replacement fund after the payments 44648
have been made under divisions (C), (D), (E), (F), and (G) of this 44649
section to the half-mill equalization fund created under section 44650
3318.18 of the Revised Code to the extent required to make any 44651
payments in the current fiscal year under that section, and shall 44652
transfer the remaining balance to the general revenue fund.44653

       (I) From fiscal year 2002 through fiscal year 2016, if the44654
total amount in the school district property tax replacement fund44655
is insufficient to make all payments under divisions (C), (D), 44656
(E), and (F) of this section at the time the payments are to be 44657
made, the director of budget and management shall transfer from 44658
the general revenue fund to the school district property tax44659
replacement fund the difference between the total amount to be44660
paid and the total amount in the school district property tax44661
replacement fund, except that no transfer shall be made by reason 44662
of a deficiency to the extent that it results from the amendment 44663
of section 5727.84 of the Revised Code by Amended Substitute House 44664
Bill No. 95 of the 125th general assembly.44665

       (J) If all of the territory of a school district or joint 44666
vocational school district is merged with an existing district, or 44667
if a part of the territory of a school district or joint 44668
vocational school district is transferred to an existing or new 44669
district, the department of education, in consultation with the 44670
tax commissioner, shall adjust the payments made under this 44671
section as follows:44672

        (1) For the merger of all of the territory of two or more 44673
districts, the fixed-rate levy loss and the fixed-sum levy loss of 44674
the successor district shall be equal to the sum of the fixed-rate 44675
levy losses and the fixed-sum levy losses for each of the 44676
districts involved in the merger.44677

        (2) For the transfer of a part of one district's territory to 44678
an existing district, the amount of the fixed-rate levy loss that 44679
is transferred to the recipient district shall be an amount equal 44680
to the transferring district's total fixed-rate levy loss times a 44681
fraction, the numerator of which is the value of electric company 44682
tangible personal property located in the part of the territory 44683
that was transferred, and the denominator of which is the total 44684
value of electric company tangible personal property located in 44685
the entire district from which the territory was transferred. The 44686
value of electric company tangible personal property under this 44687
division shall be determined for the most recent year for which 44688
data is available. Fixed-sum levy losses for both districts shall 44689
be determined under division (J)(4) of this section.44690

        (3) For the transfer of a part of the territory of one or 44691
more districts to create a new district:44692

        (a) If the new district is created on or after January 1, 44693
2000, but before January 1, 2005, the new district shall be paid 44694
its current fixed-rate levy loss through August 20082009. From 44695
February 20092010 to August 2016, the new district shall be paid 44696
the lesser of: (i) the amount calculated under division (C)(2) of 44697
this section or (ii) an amount equal to the new district's 44698
fixed-rate levy loss multiplied by the percentage prescribed by 44699
the following schedule:44700

YEAR PERCENTAGE 44701
2009 75% 44702
2010 70% 44703
2011 70% 44704
2012 60% 44705
2013 50% 44706
2014 40% 44707
2015 24% 44708
2016 11.5% 44709
2017 and thereafter 0% 44710

        Fixed-sum levy losses for the districts shall be determined 44711
under division (J)(4) of this section.44712

        (b) If the new district is created on or after January 1, 44713
2005, the new district shall be deemed not to have any fixed-rate 44714
levy loss or, except as provided in division (J)(4) of this 44715
section, fixed-sum levy loss. The district or districts from which 44716
the territory was transferred shall have no reduction in their 44717
fixed-rate levy loss, or, except as provided in division (J)(4) of 44718
this section, their fixed-sum levy loss.44719

        (4) If a recipient district under division (J)(2) of this 44720
section or a new district under division (J)(3)(a) or (b) of this 44721
section takes on debt from one or more of the districts from which 44722
territory was transferred, and any of the districts transferring 44723
the territory had fixed-sum levy losses, the department of 44724
education, in consultation with the tax commissioner, shall make 44725
an equitable division of the fixed-sum levy losses.44726

       (K) There is hereby created the public utility property tax44727
study committee, effective January 1, 2011. The committee shall44728
consist of the following seven members: the tax commissioner,44729
three members of the senate appointed by the president of the44730
senate, and three members of the house of representatives44731
appointed by the speaker of the house of representatives. The44732
appointments shall be made not later than January 31, 2011. The44733
tax commissioner shall be the chairperson of the committee.44734

       The committee shall study the extent to which each school44735
district or joint vocational school district has been compensated,44736
under sections 5727.84 and 5727.85 of the Revised Code as enacted44737
by Substitute Senate Bill No. 3 of the 123rd general assembly and44738
any subsequent acts, for the property tax loss caused by the44739
reduction in the assessment rates for natural gas, electric, and44740
rural electric company tangible personal property. Not later than44741
June 30, 2011, the committee shall issue a report of its findings,44742
including any recommendations for providing additional44743
compensation for the property tax loss or regarding remedial44744
legislation, to the president of the senate and the speaker of the44745
house of representatives, at which time the committee shall cease44746
to exist.44747

       The department of taxation and department of education shall44748
provide such information and assistance as is required for the44749
committee to carry out its duties.44750

       Sec. 5727.87.  (A) As used in this section:44751

       (1) "Administrative fees" means the dollar percentages44752
allowed by the county auditor for services or by the county44753
treasurer as fees, or paid to the credit of the real estate44754
assessment fund, under divisions (A) and (B)(C) of section 319.54 44755
and division (A) of section 321.26 of the Revised Code.44756

       (2) "Administrative fee loss" means a county's loss of44757
administrative fees due to its tax value loss, determined as44758
follows:44759

       (a) For purposes of the determination made under division (B) 44760
of this section in the years 2002 through 2006, the administrative44761
fee loss shall be computed by multiplying the amounts determined44762
for all taxing districts in the county under divisions (G) and (H)44763
of section 5727.84 of the Revised Code by nine thousand six44764
hundred fifty-nine ten-thousandths of one per cent if total taxes44765
collected in the county in 1999 exceeded one hundred fifty million 44766
dollars, or one and one thousand one hundred fifty-nine 44767
ten-thousandths of one per cent if total taxes collected in the 44768
county in 1999 were one hundred fifty million dollars or less;44769

       (b) For purposes of the determination under division (B) of44770
this section in the years 2007 through 2011, the administrative44771
fee loss shall be the lesser of the amount computed under division 44772
(A)(2)(a) of this section or the amount determined by subtracting 44773
from the dollar amount of administrative fees collected in the 44774
county in 1999, the dollar amount of administrative fees collected 44775
in the county in the current calendar year.44776

       (3) "Total taxes collected" means all money collected on any44777
tax duplicate of the county, other than the estate tax duplicates.44778
"Total taxes collected" does not include amounts received pursuant44779
to divisions (F) and (G) of section 321.24 or section 323.156 of44780
the Revised Code.44781

       (B) Not later than the thirty-first day of December of 200144782
through 2005, the tax commissioner shall certify to each county44783
auditor the tax levy losses calculated under divisions (G) and (H)44784
of section 5727.84 of the Revised Code for each school district,44785
joint vocational school district, and local taxing unit in the44786
county. Not later than the thirty-first day of January of 200244787
through 2011, the county auditor shall determine the44788
administrative fee loss for the county and apportion that loss44789
ratably among the school districts, joint vocational school44790
districts, and local taxing units on the basis of the tax levy44791
losses certified under this division.44792

       (C) On or before each of the days prescribed for the44793
settlements under divisions (A) and (C) of section 321.24 of the44794
Revised Code in the years 2002 through 2011, the county treasurer44795
shall deduct one-half of the amount apportioned to each school44796
district, joint vocational school district, and local taxing unit44797
from the portions of revenue payable to them.44798

       (D) On or before each of the days prescribed for settlements44799
under divisions (A) and (C) of section 321.24 of the Revised Code44800
in the years 2002 through 2011, the county auditor shall cause to44801
be deposited an amount equal to one-half of the amount of the44802
administrative fee loss in the same funds as if allowed as44803
administrative fees.44804

       After payment of the administrative fee loss on or before44805
August 10, 2011, all payments under this section shall cease.44806

       Sec. 5733.01.  (A) The tax provided by this chapter for44807
domestic corporations shall be the amount charged against each44808
corporation organized for profit under the laws of this state and44809
each nonprofit corporation organized pursuant to Chapter 1729. of44810
the Revised Code, except as provided in sections 5733.09 and44811
5733.10 of the Revised Code, for the privilege of exercising its44812
franchise during the calendar year in which that amount is44813
payable, and the tax provided by this chapter for foreign44814
corporations shall be the amount charged against each corporation44815
organized for profit and each nonprofit corporation organized or44816
operating in the same or similar manner as nonprofit corporations44817
organized under Chapter 1729. of the Revised Code, under the laws44818
of any state or country other than this state, except as provided44819
in sections 5733.09 and 5733.10 of the Revised Code, for the44820
privilege of doing business in this state, owning or using a part44821
or all of its capital or property in this state, holding a44822
certificate of compliance with the laws of this state authorizing44823
it to do business in this state, or otherwise having nexus in or44824
with this state under the Constitution of the United States,44825
during the calendar year in which that amount is payable.44826

       (B) A corporation is subject to the tax imposed by section44827
5733.06 of the Revised Code for each calendar year that it is so44828
organized, doing business, owning or using a part or all of its44829
capital or property, holding a certificate of compliance, or44830
otherwise having nexus in or with this state under the44831
Constitution of the United States, on the first day of January of44832
that calendar year.44833

       (C) Any corporation subject to this chapter that is not44834
subject to the federal income tax shall file its returns and44835
compute its tax liability as required by this chapter in the same44836
manner as if that corporation were subject to the federal income44837
tax.44838

       (D) For purposes of this chapter, a federally chartered44839
financial institution shall be deemed to be organized under the44840
laws of the state within which its principal office is located.44841

       (E) For purposes of this chapter, any person, as defined in 44842
section 5701.01 of the Revised Code, shall be treated as a44843
corporation if the person is classified for federal income tax44844
purposes as an association taxable as a corporation, and an equity 44845
interest in the person shall be treated as capital stock of the 44846
person.44847

       (F) For the purposes of this chapter, "disregarded entity"44848
has the same meaning as in division (D) of section 5745.01 of the44849
Revised Code.44850

       (1) A person's interest in a disregarded entity, whether held 44851
directly or indirectly, shall be treated as the person's ownership 44852
of the assets and liabilities of the disregarded entity, and the 44853
income, including gain or loss, shall be included in the person's 44854
net income under this chapter.44855

       (2) Any sale, exchange, or other disposition of the person's44856
interest in the disregarded entity, whether held directly or44857
indirectly, shall be treated as a sale, exchange, or other44858
disposition of the person's share of the disregarded entity's44859
underlying assets or liabilities, and the gain or loss from such44860
sale, exchange, or disposition shall be included in the person's44861
net income under this chapter.44862

       (3) The disregarded entity's payroll, property, and sales44863
factors shall be included in the person's factors.44864

       (G) The tax a corporation is required to pay under this 44865
chapter shall be as follows:44866

        (1)(a) For financial institutions, the greater of the minimum 44867
payment required under division (E) of section 5733.06 of the 44868
Revised Code or the difference between all taxes charged the 44869
financial institution under this chapter, without regard to 44870
division (G)(2) of this section, less any credits allowable 44871
against such tax.44872

       (b) A corporation satisfying the description in division 44873
(E)(5), (6), (7), (8), or (10) of section 5751.01 of the Revised 44874
Code that is not a financial institution, insurance company, or 44875
dealer in intangibles is subject to the taxes imposed under this 44876
chapter as a corporation and not subject to tax as a financial 44877
institution, and shall pay the greater of the minimum payment 44878
required under division (E) of section 5733.06 of the Revised Code 44879
or the difference between all the taxes charged under this 44880
chapter, without regard to division (G)(2) of this section, less 44881
any credits allowable against such tax.44882

        (2) For all corporations other than those persons described 44883
in division (G)(1)(a) or (b) of this section, the amount under 44884
division (G)(2)(a) of this section applicable to the tax year 44885
specified less the amount under division (G)(2)(b) of this 44886
section:44887

        (a)(i) For tax year 2005, the greater of the minimum payment 44888
required under division (E) of section 5733.06 of the Revised Code 44889
or the difference between all taxes charged the corporation under 44890
this chapter and any credits allowable against such tax;44891

        (ii) For tax year 2006, the greater of the minimum payment 44892
required under division (E) of section 5733.06 of the Revised Code 44893
or four-fifths of the difference between all taxes charged the 44894
corporation under this chapter and any credits allowable against 44895
such tax, except the qualifying pass-through entity tax credit 44896
described in division (A)(29) and the refundable credits described 44897
in divisions (A)(30) to (34)(35) of section 5733.98 of the Revised 44898
Code;44899

        (iii) For tax year 2007, the greater of the minimum payment 44900
required under division (E) of section 5733.06 of the Revised Code 44901
or three-fifths of the difference between all taxes charged the 44902
corporation under this chapter and any credits allowable against 44903
such tax, except the qualifying pass-through entity tax credit 44904
described in division (A)(29) and the refundable credits described 44905
in divisions (A)(30) to (34)(35) of section 5733.98 of the Revised 44906
Code;44907

        (iv) For tax year 2008, the greater of the minimum payment 44908
required under division (E) of section 5733.06 of the Revised Code 44909
or two-fifths of the difference between all taxes charged the 44910
corporation under this chapter and any credits allowable against 44911
such tax, except the qualifying pass-through entity tax credit 44912
described in division (A)(29) and the refundable credits described 44913
in divisions (A)(30) to (34)(35) of section 5733.98 of the Revised 44914
Code;44915

        (v) For tax year 2009, the greater of the minimum payment 44916
required under division (E) of section 5733.06 of the Revised Code 44917
or one-fifth of the difference between all taxes charged the 44918
corporation under this chapter and any credits allowable against 44919
such tax, except the qualifying pass-through entity tax credit 44920
described in division (A)(29) and the refundable credits described 44921
in divisions (A)(30), (31), (32), and (33), and (35) of section 44922
5733.98 of the Revised Code;44923

        (vi) For tax year 2010 and each tax year thereafter, no tax.44924

        (b) A corporation shall subtract from the amount calculated 44925
under division (G)(2)(a)(ii), (iii), (iv), or (v) of this section 44926
any qualifying pass-through entity tax credit described in 44927
division (A)(29) and any refundable credits described in divisions 44928
(A)(30) to (34)(35) of section 5733.98 of the Revised Code to 44929
which the corporation is entitled. Any unused qualifying 44930
pass-through entity tax credit is not refundable.44931

        (c) For the purposes of computing the amount of a credit that 44932
may be carried forward to a subsequent tax year under division 44933
(G)(2) of this section, a credit is utilized against the tax for a 44934
tax year to the extent the credit applies against the tax for that 44935
tax year, even if the difference is then multiplied by the 44936
applicable fraction under division (G)(2)(a) of this section.44937

       (3) Nothing in division (G) of this section eliminates or 44938
reduces the tax imposed by section 5733.41 of the Revised Code on 44939
a qualifying pass-through entity.44940

       Sec. 5733.12.  (A) Four and two-tenths per cent of allAll44941
payments received from the taxes imposed under sections 5733.0644942
and 5733.41 of the Revised Code shall be credited to the local44943
government fund for distribution in accordance with section44944
5747.50 of the Revised Code, six-tenths of one per cent shall be44945
credited to the local government revenue assistance fund for44946
distribution in accordance with section 5747.61 of the Revised44947
Code, and ninety-five and two-tenths per cent shall be credited to44948
the general revenue fund.44949

       (B) Except as otherwise provided under divisions (C) and (D)44950
of this section, an application to refund to the corporation the44951
amount of taxes imposed under section 5733.06 of the Revised Code44952
that are overpaid, paid illegally or erroneously, or paid on any44953
illegal, erroneous, or excessive assessment, with interest thereon44954
as provided by section 5733.26 of the Revised Code, shall be filed44955
with the tax commissioner, on the form prescribed by the44956
commissioner, within three years from the date of the illegal,44957
erroneous, or excessive payment of the tax, or within any44958
additional period allowed by division (C)(2) of section 5733.031,44959
division (D)(2) of section 5733.067, or division (A) of section44960
5733.11 of the Revised Code. For purposes of division (B) of this44961
section, any payment that the applicant made before the due date44962
or extended due date for filing the report to which the payment44963
relates shall be deemed to have been made on the due date or44964
extended due date.44965

       On the filing of the refund application, the commissioner44966
shall determine the amount of refund to which the applicant is44967
entitled. If the amount is not less than that claimed the44968
commissioner shall certify the amount to the director of budget44969
and management and treasurer of state for payment from the tax44970
refund fund created by section 5703.052 of the Revised Code. If44971
the amount is less than that claimed, the commissioner shall44972
proceed in accordance with section 5703.70 of the Revised Code.44973

       (C) "Ninety days" shall be substituted for "three years" in44974
division (B) of this section if the taxpayer satisfies both of the44975
following:44976

       (1) The taxpayer has applied for a refund based in whole or44977
in part upon section 5733.0611 of the Revised Code;44978

       (2) The taxpayer asserts that the imposition or collection of 44979
the tax imposed or charged by section 5733.06 of the Revised Code 44980
or any portion of such tax violates the Constitution of the United 44981
States or the Constitution of this state.44982

       (D)(1) Division (D)(2) of this section applies only if all of 44983
the following conditions are satisfied:44984

       (a) A qualifying pass-through entity pays an amount of the44985
tax imposed by section 5733.41 of the Revised Code;44986

       (b) The taxpayer is a qualifying investor as to that44987
qualifying pass-through entity;44988

       (c) The taxpayer did not claim the credit provided for in44989
section 5733.0611 of the Revised Code as to the tax described in44990
division (D)(1)(a) of this section;44991

       (d) The three-year period described in division (B) of this44992
section has ended as to the taxable year for which the taxpayer44993
otherwise would have claimed that credit.44994

       (2) A taxpayer shall file an application for refund pursuant44995
to this division within one year after the date the payment44996
described in division (D)(1)(a) of this section is made. An44997
application filed under this division shall only claim refund of44998
overpayments resulting from the taxpayer's failure to claim the44999
credit described in division (D)(1)(c) of this section. Nothing in 45000
this division shall be construed to relieve a taxpayer from45001
complying with the provisions of division (I)(14) of section45002
5733.04 of the Revised Code.45003

       Sec. 5733.48.  (A) As used in this section, "alternative 45004
fuel," "retail dealer," and "retail service station" have the same 45005
meanings as in section 5747.77 of the Revised Code.45006

       (B) There is hereby allowed a refundable credit against the 45007
tax imposed by section 5733.06 of the Revised Code for a retail 45008
dealer that sells alternative fuel. The credit may be claimed for 45009
tax years 2008 and 2009. The credit for tax year 2008 shall equal 45010
fifteen cents per gallon of alternative fuel sold and dispensed 45011
through a metered pump at the retail dealer's retail service 45012
station during any part of calendar year 2007 that is included in 45013
the dealer's taxable year ending in 2007. The credit for tax year 45014
2009 shall equal fifteen cents per gallon of alternative fuel sold 45015
and dispensed through a metered pump at the retail dealer's retail 45016
service station during any part of calendar year 2007 that is 45017
included in the dealer's taxable year ending in 2008, plus 45018
thirteen cents per gallon of alternative fuel sold and dispensed 45019
in that manner during any part of calendar year 2008 that is 45020
included in that taxable year. The credit shall be calculated 45021
separately for each retail service station owned or operated by 45022
the retail dealer.45023

       (C) The retail dealer shall claim the credit under this 45024
section in the order prescribed in section 5733.98 of the Revised 45025
Code. If the amount of the credit exceeds the amount of tax 45026
otherwise due under section 5733.06 of the Revised Code, after 45027
deducting all other credits that precede the credit allowed under 45028
this section in that order, the excess shall be refunded to the 45029
retail dealer.45030

       Sec. 5733.98.  (A) To provide a uniform procedure for45031
calculating the amount of tax imposed by section 5733.06 of the45032
Revised Code that is due under this chapter, a taxpayer shall45033
claim any credits to which it is entitled in the following order,45034
except as otherwise provided in section 5733.058 of the Revised45035
Code:45036

       (1) For tax year 2005, the credit for taxes paid by a 45037
qualifying pass-through entity allowed under section 5733.0611 of 45038
the Revised Code;45039

       (2) The credit allowed for financial institutions under45040
section 5733.45 of the Revised Code;45041

       (3) The credit for qualifying affiliated groups under section45042
5733.068 of the Revised Code;45043

       (4) The subsidiary corporation credit under section 5733.06745044
of the Revised Code;45045

       (5) The savings and loan assessment credit under section45046
5733.063 of the Revised Code;45047

       (6) The credit for recycling and litter prevention donations45048
under section 5733.064 of the Revised Code;45049

       (7) The credit for employers that enter into agreements with45050
child day-care centers under section 5733.36 of the Revised Code;45051

       (8) The credit for employers that reimburse employee child 45052
care expenses under section 5733.38 of the Revised Code;45053

       (9) The credit for maintaining railroad active grade crossing45054
warning devices under section 5733.43 of the Revised Code;45055

       (10) The credit for purchases of lights and reflectors under45056
section 5733.44 of the Revised Code;45057

       (11) The job retention credit under division (B) of section45058
5733.0610 of the Revised Code;45059

       (12) The credit for purchases of new manufacturing machinery45060
and equipment under section 5733.31 or section 5733.311 of the45061
Revised Code;45062

       (13) The second credit for purchases of new manufacturing45063
machinery and equipment under section 5733.33 of the Revised Code;45064

       (14) The job training credit under section 5733.42 of the45065
Revised Code;45066

       (15) The credit for qualified research expenses under section 45067
5733.351 of the Revised Code;45068

       (16) The enterprise zone credit under section 5709.66 of the45069
Revised Code;45070

       (17) The credit for the eligible costs associated with a45071
voluntary action under section 5733.34 of the Revised Code;45072

       (18) The credit for employers that establish on-site child45073
day-care centers under section 5733.37 of the Revised Code;45074

       (19) The ethanol plant investment credit under section45075
5733.46 of the Revised Code;45076

       (20) The credit for purchases of qualifying grape production45077
property under section 5733.32 of the Revised Code;45078

       (21) The export sales credit under section 5733.069 of the45079
Revised Code;45080

       (22) The credit for research and development and technology45081
transfer investors under section 5733.35 of the Revised Code;45082

       (23) The enterprise zone credits under section 5709.65 of the45083
Revised Code;45084

       (24) The credit for using Ohio coal under section 5733.39 of45085
the Revised Code;45086

       (25) The credit for small telephone companies under section 45087
5733.57 of the Revised Code;45088

       (26) The credit for eligible nonrecurring 9-1-1 charges under 45089
section 5733.55 of the Revised Code;45090

       (27) For tax year 2005, the credit for providing programs to 45091
aid the communicatively impaired under division (A) of section 45092
5733.56 of the Revised Code;45093

       (28) The research and development credit under section 45094
5733.352 of the Revised Code;45095

       (29) For tax years 2006 and subsequent tax years, the credit 45096
for taxes paid by a qualifying pass-through entity allowed under 45097
section 5733.0611 of the Revised Code;45098

       (30) The refundable credit for rehabilitating a historic 45099
building under section 5733.47 of the Revised Code;45100

       (31) The refundable jobs creation credit under division (A)45101
of section 5733.0610 of the Revised Code;45102

       (32) The refundable credit for tax withheld under division45103
(B)(2) of section 5747.062 of the Revised Code;45104

       (33) The refundable credit under section 5733.49 of the 45105
Revised Code for losses on loans made to the Ohio venture capital 45106
program under sections 150.01 to 150.10 of the Revised Code;45107

       (34) For tax years 2006, 2007, and 2008, the refundable 45108
credit allowable under division (B) of section 5733.56 of the 45109
Revised Code;45110

       (35) For tax years 2008 and 2009, the refundable credit for 45111
selling alternative fuel under section 5733.48 of the Revised 45112
Code.45113

       (B) For any credit except the credits enumerated in divisions 45114
(A)(30) to (34)(35) of this section, the amount of the credit for 45115
a tax year shall not exceed the tax due after allowing for any 45116
other credit that precedes it in the order required under this 45117
section. Any excess amount of a particular credit may be carried 45118
forward if authorized under the section creating that credit.45119

       Sec. 5739.02.  For the purpose of providing revenue with45120
which to meet the needs of the state, for the use of the general45121
revenue fund of the state, for the purpose of securing a thorough45122
and efficient system of common schools throughout the state, for45123
the purpose of affording revenues, in addition to those from45124
general property taxes, permitted under constitutional45125
limitations, and from other sources, for the support of local45126
governmental functions, and for the purpose of reimbursing the45127
state for the expense of administering this chapter, an excise tax45128
is hereby levied on each retail sale made in this state.45129

       (A)(1) The tax shall be collected as provided in section 45130
5739.025 of the Revised Code, provided that on and after July 1, 45131
2003, and on or before June 30, 2005, the rate of tax shall be six 45132
per cent. On and after July 1, 2005, the rate of the tax shall be 45133
five and one-half per cent. The tax applies and is collectible 45134
when the sale is made, regardless of the time when the price is 45135
paid or delivered.45136

        (2) In the case of the lease or rental, with a fixed term of 45137
more than thirty days or an indefinite term with a minimum period 45138
of more than thirty days, of any motor vehicles designed by the 45139
manufacturer to carry a load of not more than one ton, watercraft, 45140
outboard motor, or aircraft, or of any tangible personal property, 45141
other than motor vehicles designed by the manufacturer to carry a 45142
load of more than one ton, to be used by the lessee or renter 45143
primarily for business purposes, the tax shall be collected by the 45144
vendor at the time the lease or rental is consummated and shall be 45145
calculated by the vendor on the basis of the total amount to be 45146
paid by the lessee or renter under the lease agreement. If the 45147
total amount of the consideration for the lease or rental includes 45148
amounts that are not calculated at the time the lease or rental is 45149
executed, the tax shall be calculated and collected by the vendor 45150
at the time such amounts are billed to the lessee or renter. In 45151
the case of an open-end lease or rental, the tax shall be 45152
calculated by the vendor on the basis of the total amount to be 45153
paid during the initial fixed term of the lease or rental, and for 45154
each subsequent renewal period as it comes due. As used in this 45155
division, "motor vehicle" has the same meaning as in section 45156
4501.01 of the Revised Code, and "watercraft" includes an outdrive 45157
unit attached to the watercraft.45158

       A lease with a renewal clause and a termination penalty or 45159
similar provision that applies if the renewal clause is not 45160
exercised is presumed to be a sham transaction. In such a case, 45161
the tax shall be calculated and paid on the basis of the entire 45162
length of the lease period, including any renewal periods, until 45163
the termination penalty or similar provision no longer applies. 45164
The taxpayer shall bear the burden, by a preponderance of the 45165
evidence, that the transaction or series of transactions is not a 45166
sham transaction.45167

       (3) Except as provided in division (A)(2) of this section, in 45168
the case of a sale, the price of which consists in whole or in 45169
part of the lease or rental of tangible personal property, the tax 45170
shall be measured by the installments of that lease or rental.45171

       (4) In the case of a sale of a physical fitness facility 45172
service or recreation and sports club service, the price of which 45173
consists in whole or in part of a membership for the receipt of 45174
the benefit of the service, the tax applicable to the sale shall 45175
be measured by the installments thereof.45176

       (B) The tax does not apply to the following:45177

       (1) Sales to the state or any of its political subdivisions,45178
or to any other state or its political subdivisions if the laws of45179
that state exempt from taxation sales made to this state and its45180
political subdivisions;45181

       (2) Sales of food for human consumption off the premises45182
where sold;45183

       (3) Sales of food sold to students only in a cafeteria,45184
dormitory, fraternity, or sorority maintained in a private,45185
public, or parochial school, college, or university;45186

       (4) Sales of newspapers and of magazine subscriptions and45187
sales or transfers of magazines distributed as controlled45188
circulation publications;45189

       (5) The furnishing, preparing, or serving of meals without45190
charge by an employer to an employee provided the employer records45191
the meals as part compensation for services performed or work45192
done;45193

       (6) Sales of motor fuel upon receipt, use, distribution, or45194
sale of which in this state a tax is imposed by the law of this45195
state, but this exemption shall not apply to the sale of motor45196
fuel on which a refund of the tax is allowable under division (A) 45197
of section 5735.14 of the Revised Code; and the tax commissioner 45198
may deduct the amount of tax levied by this section applicable to 45199
the price of motor fuel when granting a refund of motor fuel tax 45200
pursuant to division (A) of section 5735.14 of the Revised Code 45201
and shall cause the amount deducted to be paid into the general 45202
revenue fund of this state;45203

       (7) Sales of natural gas by a natural gas company, of water45204
by a water-works company, or of steam by a heating company, if in45205
each case the thing sold is delivered to consumers through pipes45206
or conduits, and all sales of communications services by a 45207
telegraph company, all terms as defined in section 5727.01 of the 45208
Revised Code, and sales of electricity delivered through wires;45209

       (8) Casual sales by a person, or auctioneer employed directly 45210
by the person to conduct such sales, except as to such sales of45211
motor vehicles, watercraft or outboard motors required to be45212
titled under section 1548.06 of the Revised Code, watercraft45213
documented with the United States coast guard, snowmobiles, and45214
all-purpose vehicles as defined in section 4519.01 of the Revised45215
Code;45216

       (9)(a) Sales of services or tangible personal property, other45217
than motor vehicles, mobile homes, and manufactured homes, by45218
churches, organizations exempt from taxation under section45219
501(c)(3) of the Internal Revenue Code of 1986, or nonprofit45220
organizations operated exclusively for charitable purposes as45221
defined in division (B)(12) of this section, provided that the45222
number of days on which such tangible personal property or45223
services, other than items never subject to the tax, are sold does45224
not exceed six in any calendar year, except as otherwise provided 45225
in division (B)(9)(b) of this section. If the number of days on45226
which such sales are made exceeds six in any calendar year, the45227
church or organization shall be considered to be engaged in45228
business and all subsequent sales by it shall be subject to the45229
tax. In counting the number of days, all sales by groups within a45230
church or within an organization shall be considered to be sales45231
of that church or organization, except that.45232

       (b) The limitation on the number of days on which tax-exempt 45233
sales may be made by a church or organization under division 45234
(B)(9)(a) of this section does not apply to sales made by separate45235
student clubs and other groups of students of a primary or45236
secondary school, and sales made byor a parent-teacher45237
association, booster group, or similar organization that raises45238
money to support or fund curricular or extracurricular activities45239
of a primary or secondary school, shall not be considered to be45240
sales of such school, and sales by each such club, group,45241
association, or organization shall be counted separately for45242
purposes of the six-day limitation. This division does.45243

       (c) Divisions (B)(9)(a) and (b) of this section do not apply45244
to sales by a noncommercial educational radio or television45245
broadcasting station.45246

       (10) Sales not within the taxing power of this state under45247
the Constitution of the United States;45248

       (11) Except for transactions that are sales under division 45249
(B)(3)(r) of section 5739.01 of the Revised Code, the 45250
transportation of persons or property, unless the transportation 45251
is by a private investigation and security service;45252

       (12) Sales of tangible personal property or services to45253
churches, to organizations exempt from taxation under section45254
501(c)(3) of the Internal Revenue Code of 1986, and to any other45255
nonprofit organizations operated exclusively for charitable45256
purposes in this state, no part of the net income of which inures45257
to the benefit of any private shareholder or individual, and no45258
substantial part of the activities of which consists of carrying45259
on propaganda or otherwise attempting to influence legislation;45260
sales to offices administering one or more homes for the aged or45261
one or more hospital facilities exempt under section 140.08 of the45262
Revised Code; and sales to organizations described in division (D)45263
of section 5709.12 of the Revised Code.45264

       "Charitable purposes" means the relief of poverty; the45265
improvement of health through the alleviation of illness, disease,45266
or injury; the operation of an organization exclusively for the45267
provision of professional, laundry, printing, and purchasing45268
services to hospitals or charitable institutions; the operation of45269
a home for the aged, as defined in section 5701.13 of the Revised45270
Code; the operation of a radio or television broadcasting station45271
that is licensed by the federal communications commission as a45272
noncommercial educational radio or television station; the45273
operation of a nonprofit animal adoption service or a county45274
humane society; the promotion of education by an institution of45275
learning that maintains a faculty of qualified instructors,45276
teaches regular continuous courses of study, and confers a45277
recognized diploma upon completion of a specific curriculum; the45278
operation of a parent-teacher association, booster group, or45279
similar organization primarily engaged in the promotion and45280
support of the curricular or extracurricular activities of a45281
primary or secondary school; the operation of a community or area45282
center in which presentations in music, dramatics, the arts, and45283
related fields are made in order to foster public interest and45284
education therein; the production of performances in music,45285
dramatics, and the arts; or the promotion of education by an45286
organization engaged in carrying on research in, or the45287
dissemination of, scientific and technological knowledge and45288
information primarily for the public.45289

       Nothing in this division shall be deemed to exempt sales to45290
any organization for use in the operation or carrying on of a45291
trade or business, or sales to a home for the aged for use in the45292
operation of independent living facilities as defined in division45293
(A) of section 5709.12 of the Revised Code.45294

       (13) Building and construction materials and services sold to 45295
construction contractors for incorporation into a structure or45296
improvement to real property under a construction contract with45297
this state or a political subdivision of this state, or with the45298
United States government or any of its agencies; building and45299
construction materials and services sold to construction45300
contractors for incorporation into a structure or improvement to45301
real property that are accepted for ownership by this state or any45302
of its political subdivisions, or by the United States government45303
or any of its agencies at the time of completion of the structures 45304
or improvements; building and construction materials sold to 45305
construction contractors for incorporation into a horticulture 45306
structure or livestock structure for a person engaged in the 45307
business of horticulture or producing livestock; building45308
materials and services sold to a construction contractor for45309
incorporation into a house of public worship or religious45310
education, or a building used exclusively for charitable purposes45311
under a construction contract with an organization whose purpose45312
is as described in division (B)(12) of this section; building45313
materials and services sold to a construction contractor for45314
incorporation into a building under a construction contract with45315
an organization exempt from taxation under section 501(c)(3) of45316
the Internal Revenue Code of 1986 when the building is to be used45317
exclusively for the organization's exempt purposes; building and45318
construction materials sold for incorporation into the original45319
construction of a sports facility under section 307.696 of the45320
Revised Code; and building and construction materials and services45321
sold to a construction contractor for incorporation into real45322
property outside this state if such materials and services, when45323
sold to a construction contractor in the state in which the real45324
property is located for incorporation into real property in that45325
state, would be exempt from a tax on sales levied by that state;45326

       (14) Sales of ships or vessels or rail rolling stock used or45327
to be used principally in interstate or foreign commerce, and45328
repairs, alterations, fuel, and lubricants for such ships or45329
vessels or rail rolling stock;45330

       (15) Sales to persons primarily engaged in any of the 45331
activities mentioned in division (B)(42)(a) or (g) of this 45332
section, to persons engaged in making retail sales, or to persons 45333
who purchase for sale from a manufacturer tangible personal 45334
property that was produced by the manufacturer in accordance with 45335
specific designs provided by the purchaser, of packages, including 45336
material, labels, and parts for packages, and of machinery, 45337
equipment, and material for use primarily in packaging tangible 45338
personal property produced for sale, including any machinery,45339
equipment, and supplies used to make labels or packages, to 45340
prepare packages or products for labeling, or to label packages or 45341
products, by or on the order of the person doing the packaging, or 45342
sold at retail. "Packages" includes bags, baskets, cartons, 45343
crates, boxes, cans, bottles, bindings, wrappings, and other 45344
similar devices and containers, but does not include motor 45345
vehicles or bulk tanks, trailers, or similar devices attached to 45346
motor vehicles. "Packaging" means placing in a package. Division 45347
(B)(15) of this section does not apply to persons engaged in 45348
highway transportation for hire.45349

       (16) Sales of food to persons using food stamp benefits to45350
purchase the food. As used in this division, "food" has the same 45351
meaning as in the "Food Stamp Act of 1977," 91 Stat. 958, 7 U.S.C. 45352
2012, as amended, and federal regulations adopted pursuant to that 45353
act.45354

       (17) Sales to persons engaged in farming, agriculture,45355
horticulture, or floriculture, of tangible personal property for45356
use or consumption directly in the production by farming,45357
agriculture, horticulture, or floriculture of other tangible45358
personal property for use or consumption directly in the45359
production of tangible personal property for sale by farming,45360
agriculture, horticulture, or floriculture; or material and parts45361
for incorporation into any such tangible personal property for use45362
or consumption in production; and of tangible personal property45363
for such use or consumption in the conditioning or holding of45364
products produced by and for such use, consumption, or sale by45365
persons engaged in farming, agriculture, horticulture, or45366
floriculture, except where such property is incorporated into real45367
property;45368

       (18) Sales of drugs for a human being that may be dispensed 45369
only pursuant to a prescription; insulin as recognized in the 45370
official United States pharmacopoeia; urine and blood testing 45371
materials when used by diabetics or persons with hypoglycemia to 45372
test for glucose or acetone; hypodermic syringes and needles when 45373
used by diabetics for insulin injections; epoetin alfa when 45374
purchased for use in the treatment of persons with medical 45375
disease; hospital beds when purchased by hospitals, nursing homes, 45376
or other medical facilities; and medical oxygen and medical 45377
oxygen-dispensing equipment when purchased by hospitals, nursing 45378
homes, or other medical facilities;45379

       (19) Sales of prosthetic devices, durable medical equipment 45380
for home use, or mobility enhancing equipment, when made pursuant 45381
to a prescription and when such devices or equipment are for use 45382
by a human being.45383

       (20) Sales of emergency and fire protection vehicles and45384
equipment to nonprofit organizations for use solely in providing45385
fire protection and emergency services, including trauma care and45386
emergency medical services, for political subdivisions of the45387
state;45388

       (21) Sales of tangible personal property manufactured in this 45389
state, if sold by the manufacturer in this state to a retailer for 45390
use in the retail business of the retailer outside of this state 45391
and if possession is taken from the manufacturer by the purchaser45392
within this state for the sole purpose of immediately removing the 45393
same from this state in a vehicle owned by the purchaser;45394

       (22) Sales of services provided by the state or any of its45395
political subdivisions, agencies, instrumentalities, institutions,45396
or authorities, or by governmental entities of the state or any of45397
its political subdivisions, agencies, instrumentalities,45398
institutions, or authorities;45399

       (23) Sales of motor vehicles to nonresidents of this state45400
upon the presentation of an affidavit executed in this state by45401
the nonresident purchaser affirming that the purchaser is a45402
nonresident of this state, that possession of the motor vehicle is45403
taken in this state for the sole purpose of immediately removing45404
it from this state, that the motor vehicle will be permanently45405
titled and registered in another state, and that the motor vehicle45406
will not be used in this stateunder the circumstances described 45407
in division (B) of section 5739.029 of the Revised Code;45408

       (24) Sales to persons engaged in the preparation of eggs for45409
sale of tangible personal property used or consumed directly in45410
such preparation, including such tangible personal property used45411
for cleaning, sanitizing, preserving, grading, sorting, and45412
classifying by size; packages, including material and parts for45413
packages, and machinery, equipment, and material for use in45414
packaging eggs for sale; and handling and transportation equipment45415
and parts therefor, except motor vehicles licensed to operate on45416
public highways, used in intraplant or interplant transfers or45417
shipment of eggs in the process of preparation for sale, when the45418
plant or plants within or between which such transfers or45419
shipments occur are operated by the same person. "Packages"45420
includes containers, cases, baskets, flats, fillers, filler flats,45421
cartons, closure materials, labels, and labeling materials, and45422
"packaging" means placing therein.45423

       (25)(a) Sales of water to a consumer for residential use,45424
except the sale of bottled water, distilled water, mineral water,45425
carbonated water, or ice;45426

       (b) Sales of water by a nonprofit corporation engaged45427
exclusively in the treatment, distribution, and sale of water to45428
consumers, if such water is delivered to consumers through pipes45429
or tubing.45430

       (26) Fees charged for inspection or reinspection of motor45431
vehicles under section 3704.14 of the Revised Code;45432

       (27) Sales to persons licensed to conduct a food service45433
operation pursuant to section 3717.43 of the Revised Code, of45434
tangible personal property primarily used directly for the45435
following:45436

       (a) To prepare food for human consumption for sale;45437

       (b) To preserve food that has been or will be prepared for45438
human consumption for sale by the food service operator, not45439
including tangible personal property used to display food for45440
selection by the consumer;45441

       (c) To clean tangible personal property used to prepare or45442
serve food for human consumption for sale.45443

       (28) Sales of animals by nonprofit animal adoption services45444
or county humane societies;45445

       (29) Sales of services to a corporation described in division 45446
(A) of section 5709.72 of the Revised Code, and sales of tangible 45447
personal property that qualifies for exemption from taxation under 45448
section 5709.72 of the Revised Code;45449

       (30) Sales and installation of agricultural land tile, as45450
defined in division (B)(5)(a) of section 5739.01 of the Revised45451
Code;45452

       (31) Sales and erection or installation of portable grain45453
bins, as defined in division (B)(5)(b) of section 5739.01 of the45454
Revised Code;45455

       (32) The sale, lease, repair, and maintenance of, parts for,45456
or items attached to or incorporated in, motor vehicles that are45457
primarily used for transporting tangible personal property 45458
belonging to others by a person engaged in highway transportation 45459
for hire, except for packages and packaging used for the 45460
transportation of tangible personal property;45461

       (33) Sales to the state headquarters of any veterans'45462
organization in this state that is either incorporated and issued45463
a charter by the congress of the United States or is recognized by45464
the United States veterans administration, for use by the45465
headquarters;45466

       (34) Sales to a telecommunications service vendor, mobile 45467
telecommunications service vendor, or satellite broadcasting 45468
service vendor of tangible personal property and services used 45469
directly and primarily in transmitting, receiving, switching, or 45470
recording any interactive, one- or two-way electromagnetic 45471
communications, including voice, image, data, and information, 45472
through the use of any medium, including, but not limited to, 45473
poles, wires, cables, switching equipment, computers, and record 45474
storage devices and media, and component parts for the tangible 45475
personal property. The exemption provided in this division shall45476
be in lieu of all other exemptions under division (B)(42)(a) of 45477
this section to which the vendor may otherwise be entitled, based 45478
upon the use of the thing purchased in providing the 45479
telecommunications, mobile telecommunications, or satellite 45480
broadcasting service.45481

       (35)(a) Sales where the purpose of the consumer is to use or45482
consume the things transferred in making retail sales and45483
consisting of newspaper inserts, catalogues, coupons, flyers, gift45484
certificates, or other advertising material that prices and45485
describes tangible personal property offered for retail sale.45486

       (b) Sales to direct marketing vendors of preliminary45487
materials such as photographs, artwork, and typesetting that will45488
be used in printing advertising material; of printed matter that45489
offers free merchandise or chances to win sweepstake prizes and45490
that is mailed to potential customers with advertising material45491
described in division (B)(35)(a) of this section; and of equipment45492
such as telephones, computers, facsimile machines, and similar45493
tangible personal property primarily used to accept orders for45494
direct marketing retail sales.45495

       (c) Sales of automatic food vending machines that preserve45496
food with a shelf life of forty-five days or less by refrigeration45497
and dispense it to the consumer.45498

       For purposes of division (B)(35) of this section, "direct45499
marketing" means the method of selling where consumers order45500
tangible personal property by United States mail, delivery45501
service, or telecommunication and the vendor delivers or ships the45502
tangible personal property sold to the consumer from a warehouse,45503
catalogue distribution center, or similar fulfillment facility by45504
means of the United States mail, delivery service, or common45505
carrier.45506

       (36) Sales to a person engaged in the business of45507
horticulture or producing livestock of materials to be45508
incorporated into a horticulture structure or livestock structure;45509

       (37) Sales of personal computers, computer monitors, computer 45510
keyboards, modems, and other peripheral computer equipment to an 45511
individual who is licensed or certified to teach in an elementary 45512
or a secondary school in this state for use by that individual in 45513
preparation for teaching elementary or secondary school students;45514

       (38) Sales to a professional racing team of any of the45515
following:45516

       (a) Motor racing vehicles;45517

       (b) Repair services for motor racing vehicles;45518

       (c) Items of property that are attached to or incorporated in 45519
motor racing vehicles, including engines, chassis, and all other 45520
components of the vehicles, and all spare, replacement, and45521
rebuilt parts or components of the vehicles; except not including45522
tires, consumable fluids, paint, and accessories consisting of45523
instrumentation sensors and related items added to the vehicle to45524
collect and transmit data by means of telemetry and other forms of45525
communication.45526

       (39) Sales of used manufactured homes and used mobile homes,45527
as defined in section 5739.0210 of the Revised Code, made on or45528
after January 1, 2000;45529

       (40) Sales of tangible personal property and services to a45530
provider of electricity used or consumed directly and primarily in45531
generating, transmitting, or distributing electricity for use by45532
others, including property that is or is to be incorporated into45533
and will become a part of the consumer's production, transmission,45534
or distribution system and that retains its classification as45535
tangible personal property after incorporation; fuel or power used45536
in the production, transmission, or distribution of electricity;45537
and tangible personal property and services used in the repair and45538
maintenance of the production, transmission, or distribution45539
system, including only those motor vehicles as are specially45540
designed and equipped for such use. The exemption provided in this 45541
division shall be in lieu of all other exemptions in division45542
(B)(42)(a) of this section to which a provider of electricity may 45543
otherwise be entitled based on the use of the tangible personal 45544
property or service purchased in generating, transmitting, or45545
distributing electricity.45546

       (41) Sales to a person providing services under division 45547
(B)(3)(r) of section 5739.01 of the Revised Code of tangible 45548
personal property and services used directly and primarily in 45549
providing taxable services under that section.45550

       (42) Sales where the purpose of the purchaser is to do any of 45551
the following:45552

       (a) To incorporate the thing transferred as a material or a 45553
part into tangible personal property to be produced for sale by 45554
manufacturing, assembling, processing, or refining; or to use or 45555
consume the thing transferred directly in producing tangible 45556
personal property for sale by mining, including, without 45557
limitation, the extraction from the earth of all substances that 45558
are classed geologically as minerals, production of crude oil and 45559
natural gas, farming, agriculture, horticulture, or floriculture, 45560
or directly in the rendition of a public utility service, except 45561
that the sales tax levied by this section shall be collected upon 45562
all meals, drinks, and food for human consumption sold when 45563
transporting persons. Persons engaged in rendering farming, 45564
agricultural, horticultural, or floricultural services, and 45565
services in the exploration for, and production of, crude oil and 45566
natural gas, for others are deemed engaged directly in farming, 45567
agriculture, horticulture, and floriculture, or exploration for, 45568
and production of, crude oil and natural gas. This paragraph does 45569
not exempt from "retail sale" or "sales at retail" the sale of 45570
tangible personal property that is to be incorporated into a 45571
structure or improvement to real property.45572

       (b) To hold the thing transferred as security for the 45573
performance of an obligation of the vendor;45574

       (c) To resell, hold, use, or consume the thing transferred as 45575
evidence of a contract of insurance;45576

       (d) To use or consume the thing directly in commercial 45577
fishing;45578

       (e) To incorporate the thing transferred as a material or a 45579
part into, or to use or consume the thing transferred directly in 45580
the production of, magazines distributed as controlled circulation 45581
publications;45582

       (f) To use or consume the thing transferred in the production 45583
and preparation in suitable condition for market and sale of 45584
printed, imprinted, overprinted, lithographic, multilithic, 45585
blueprinted, photostatic, or other productions or reproductions of 45586
written or graphic matter;45587

       (g) To use the thing transferred, as described in section 45588
5739.011 of the Revised Code, primarily in a manufacturing 45589
operation to produce tangible personal property for sale;45590

       (h) To use the benefit of a warranty, maintenance or service 45591
contract, or similar agreement, as described in division (B)(7) of 45592
section 5739.01 of the Revised Code, to repair or maintain 45593
tangible personal property, if all of the property that is the 45594
subject of the warranty, contract, or agreement would not be 45595
subject to the tax imposed by this section;45596

       (i) To use the thing transferred as qualified research and 45597
development equipment;45598

       (j) To use or consume the thing transferred primarily in 45599
storing, transporting, mailing, or otherwise handling purchased 45600
sales inventory in a warehouse, distribution center, or similar 45601
facility when the inventory is primarily distributed outside this 45602
state to retail stores of the person who owns or controls the 45603
warehouse, distribution center, or similar facility, to retail 45604
stores of an affiliated group of which that person is a member, or 45605
by means of direct marketing. This division does not apply to 45606
motor vehicles registered for operation on the public highways. As 45607
used in this division, "affiliated group" has the same meaning as 45608
in division (B)(3)(e) of section 5739.01 of the Revised Code and 45609
"direct marketing" has the same meaning as in division (B)(35) of 45610
this section.45611

       (k) To use or consume the thing transferred to fulfill a 45612
contractual obligation incurred by a warrantor pursuant to a 45613
warranty provided as a part of the price of the tangible personal 45614
property sold or by a vendor of a warranty, maintenance or service 45615
contract, or similar agreement the provision of which is defined 45616
as a sale under division (B)(7) of section 5739.01 of the Revised 45617
Code;45618

       (l) To use or consume the thing transferred in the production 45619
of a newspaper for distribution to the public;45620

       (m) To use tangible personal property to perform a service 45621
listed in division (B)(3) of section 5739.01 of the Revised Code, 45622
if the property is or is to be permanently transferred to the 45623
consumer of the service as an integral part of the performance of 45624
the service.45625

       As used in division (B)(42) of this section, "thing" includes 45626
all transactions included in divisions (B)(3)(a), (b), and (e) of 45627
section 5739.01 of the Revised Code.45628

       (43) Sales conducted through a coin operated device that 45629
activates vacuum equipment or equipment that dispenses water, 45630
whether or not in combination with soap or other cleaning agents 45631
or wax, to the consumer for the consumer's use on the premises in 45632
washing, cleaning, or waxing a motor vehicle, provided no other 45633
personal property or personal service is provided as part of the 45634
transaction.45635

       (44) Sales of replacement and modification parts for engines, 45636
airframes, instruments, and interiors in, and paint for, aircraft 45637
used primarily in a fractional aircraft ownership program, and 45638
sales of services for the repair, modification, and maintenance of 45639
such aircraft, and machinery, equipment, and supplies primarily 45640
used to provide those services.45641

       (45) Sales of telecommunications service that is used 45642
directly and primarily to perform the functions of a call center. 45643
As used in this division, "call center" means any physical 45644
location where telephone calls are placed or received in high 45645
volume for the purpose of making sales, marketing, customer 45646
service, technical support, or other specialized business 45647
activity, and that employs at least fifty individuals that engage 45648
in call center activities on a full-time basis, or sufficient 45649
individuals to fill fifty full-time equivalent positions.45650

        (46) Sales by a telecommunications service vendor of 900 45651
service to a subscriber. This division does not apply to 45652
information services, as defined in division (FF) of section 45653
5739.01 of the Revised Code.45654

        (47) Sales of value-added non-voice data service. This 45655
division does not apply to any similar service that is not 45656
otherwise a telecommunications service.45657

       (C) For the purpose of the proper administration of this45658
chapter, and to prevent the evasion of the tax, it is presumed45659
that all sales made in this state are subject to the tax until the 45660
contrary is established.45661

       (D) The levy of this tax on retail sales of recreation and45662
sports club service shall not prevent a municipal corporation from45663
levying any tax on recreation and sports club dues or on any45664
income generated by recreation and sports club dues.45665

       (E) The tax collected by the vendor from the consumer under 45666
this chapter is not part of the price, but is a tax collection for 45667
the benefit of the state, and of counties levying an additional 45668
sales tax pursuant to section 5739.021 or 5739.026 of the Revised 45669
Code and of transit authorities levying an additional sales tax 45670
pursuant to section 5739.023 of the Revised Code. Except for the 45671
discount authorized under section 5739.12 of the Revised Code and 45672
the effects of any rounding pursuant to section 5703.055 of the 45673
Revised Code, no person other than the state or such a county or 45674
transit authority shall derive any benefit from the collection or 45675
payment of the tax levied by this section or section 5739.021, 45676
5739.023, or 5739.026 of the Revised Code.45677

       Sec. 5739.029.  (A) Notwithstanding sections 5739.02, 45678
5739.021, 5739.023, 5739.026, 5741.02, 5741.021, 5741.022, and 45679
5741.023 of the Revised Code, and except as otherwise provided in 45680
division (B) of this section, the tax due under this chapter on 45681
the sale of a motor vehicle required to be titled under Chapter 45682
4505. of the Revised Code by a motor vehicle dealer to a consumer 45683
that is a nonresident of this state shall be the sum of the tax 45684
levied under section 5739.02 of the Revised Code and the lowest 45685
total rate of tax levied by any county or transit authority under 45686
sections 5741.021, 5741.022, and 5741.023 of the Revised Code, but 45687
not to exceed six per cent, if all of the following apply:45688

       (1) The consumer intends to immediately remove the motor 45689
vehicle from this state for use outside this state;45690

       (2) Upon removal of the motor vehicle from this state, the 45691
consumer intends to title or register the vehicle in another state 45692
if such titling or registration is required;45693

       (3) The consumer executes an affidavit as required under 45694
division (C) of this section affirming the consumer's intentions 45695
under divisions (A)(1) and (2) of this section.45696

       (B) No tax is due under this section, any other section of 45697
this chapter, or Chapter 5741. of the Revised Code on a sale 45698
described under division (A) of this section if the state in which 45699
the consumer titles or registers the motor vehicle or to which the 45700
consumer removes the vehicle for use does not impose a use tax or 45701
similar excise tax on the ownership or use of motor vehicles or 45702
imposes such a tax but does not grant a credit against that tax 45703
for sales or use tax paid to this state.45704

       (C) Any nonresident consumer that purchases a motor vehicle 45705
from a motor vehicle dealer in this state under the circumstances 45706
described in divisions (A)(1) and (2) of this section shall 45707
execute an affidavit affirming the intentions described in those 45708
divisions. The affidavit shall be executed in triplicate and in 45709
the form specified by the tax commissioner. The affidavit shall be 45710
given to the motor vehicle dealer.45711

       A motor vehicle dealer that accepts in good faith an 45712
affidavit presented under this division by a nonresident consumer 45713
may rely upon the representations made in the affidavit.45714

       (D) A motor vehicle dealer making a sale subject to the tax 45715
under division (A) of this section shall collect the tax due 45716
unless the sale is subject to the exception under division (B) of 45717
this section. In the case of any sale, the dealer shall retain one 45718
copy of the affidavit and file the original and the other copy 45719
with the clerk of the court of common pleas. If tax is due under 45720
division (A) of this section, the dealer shall remit the tax 45721
collected to the clerk at the time the dealer obtains the Ohio 45722
certificate of title in the name of the consumer as required under 45723
section 4505.06 of the Revised Code. The clerk shall forward the 45724
original affidavit to the tax commissioner in the manner 45725
prescribed by the commissioner.45726

       Upon receipt of an application for certificate of title 45727
accompanied by an affidavit required by division (C) of this 45728
section, a clerk of the court of common pleas shall collect the 45729
sales tax due under division (A) of this section. The clerk shall 45730
remit the tax collected to the tax commissioner in the manner 45731
prescribed by the commissioner.45732

       (E) If a motor vehicle is purchased by a corporation 45733
described in division (B)(6) of section 5739.01 of the Revised 45734
Code, the state of residence of the consumer for the purposes of 45735
this section is the state of residence of the corporation's 45736
principal shareholder.45737

       (F) Any provision of this chapter or of Chapter 5741. of the 45738
Revised Code that is not inconsistent with this section applies to 45739
sales described in division (A) of this section.45740

       (G) As used in this section, "state," except in reference to 45741
"this state," means any state, district, commonwealth, or 45742
territory of the United States.45743

       Sec. 5739.033.  (A) Except as provided in division (B) of 45744
this section, divisions (C) to (I) of this section apply to sales 45745
made on and after May 1, 2006. Sales made before May 1, 2006, are 45746
subject to section 5739.035 of the Revised Code. On and after 45747
January 1, 2005, any vendor may irrevocably elect to comply with 45748
divisions (C) to (I) of this section for all of the vendor's sales 45749
and places of business in this state.45750

        The amount of tax due pursuant to sections 5739.02, 5739.021, 45751
5739.023, and 5739.026 of the Revised Code is the sum of the taxes 45752
imposed pursuant to those sections at the sourcing location of the 45753
sale as determined under this section or, if applicable, under 45754
division (C) of section 5739.031 or section 5739.034 of the 45755
Revised Code, or at the situs of the sale as determined under 45756
section 5739.035 of the Revised Code. This section applies only to 45757
a vendor's or seller's obligation to collect and remit sales taxes 45758
under section 5739.02, 5739.021, 5739.023, or 5739.026 of the 45759
Revised Code or use taxes under section 5741.02, 5741.021, 45760
5741.022, or 5741.023 of the Revised Code. Division (A) of this 45761
section does not apply in determining the jurisdiction for which 45762
sellers are required to collect the use tax under section 5741.05 45763
of the Revised Code. This section does not affect the obligation 45764
of a consumer to remit use taxes on the storage, use, or other 45765
consumption of tangible personal property or on the benefit 45766
realized of any service provided, to the jurisdiction of that 45767
storage, use, or consumption, or benefit realized.45768

       (B)(1) As used in this division:45769

       (a) "Delivery sale" means the taxable sale of tangible 45770
personal property or a service that is received by a consumer, or 45771
a donee designated by the consumer, in a taxing jurisdiction that 45772
is not the taxing jurisdiction in which the vendor has a fixed 45773
place of business.45774

       (b) "Agreement" has the same meaning as in section 5740.01 of 45775
the Revised Code.45776

       (c) "Governing board" has the same meaning as in section 45777
5740.02 of the Revised Code.45778

        (2)(a) A vendor with total delivery sales in calendar year 45779
2005 that are less than thirty million dollars may continue to 45780
situs its sales under section 5739.035 of the Revised Code from 45781
May 1, 2006, through April 30, 2007, except that, if the tax 45782
commissioner does not enter a determination in the commissioner's 45783
journal under division (B)(2)(b) of this section, those dates 45784
shall be May 1, 2006, through December 31, 2007.45785

       (b) On or before February 1, 2007, the tax commissioner shall 45786
determine whether certified service provider services are being 45787
provided by the governing board of the streamlined sales and use 45788
tax agreement for all delivery sales. If the commissioner 45789
determines that such services are being so provided, the 45790
commissioner shall enter the determination in the commissioner's 45791
journal and shall provide notice of the determination on the 45792
department of taxation's official internet web site. If the 45793
commissioner makes such an entry in the journal, then a vendor 45794
with total delivery sales in calendar year 2006 that are less than 45795
five million dollars may continue to situs its sales under section 45796
5739.035 of the Revised Code from May 1, 2007, through December 45797
31, 2007.45798

       (3) Beginning January 1, 2008, all vendors shall source their 45799
sales under divisions (C) to (I) of this section.45800

       (4) Once a vendor has total delivery sales that exceed the 45801
dollar amount in division (B)(2)(a) or (b) of this section, the 45802
vendor shall source its sales under divisions (C) to (I) of this 45803
section and shall continue to source its sales under those 45804
divisions, regardless of the amount of the vendor's total delivery 45805
sales in future years.45806

       (C) Except for sales, other than leases, of titled motor 45807
vehicles, titled watercraft, or titled outboard motors as provided 45808
in sectionsections 5739.029 and 5741.05 of the Revised Code, or 45809
as otherwise provided in this section and section 5739.034 of the45810
Revised Code, all sales shall be sourced as follows:45811

       (1) If the consumer or a donee designated by the consumer 45812
receives tangible personal property or a service at a vendor's45813
place of business, the sale shall be sourced to that place of 45814
business.45815

       (2) When the tangible personal property or service is not45816
received at a vendor's place of business, the sale shall be 45817
sourced to the location known to the vendor where the consumer or 45818
the donee designated by the consumer receives the tangible 45819
personal property or service, including the location indicated by45820
instructions for delivery to the consumer or the consumer's donee.45821

       (3) If divisions (C)(1) and (2) of this section do not apply, 45822
the sale shall be sourced to the location indicated by an address 45823
for the consumer that is available from the vendor's business 45824
records that are maintained in the ordinary course of the 45825
vendor's business, when use of that address does not constitute 45826
bad faith.45827

       (4) If divisions (C)(1), (2), and (3) of this section do not45828
apply, the sale shall be sourced to the location indicated by an 45829
address for the consumer obtained during the consummation of the 45830
sale, including the address associated with the consumer's payment 45831
instrument, if no other address is available, when use of that 45832
address does not constitute bad faith.45833

       (5) If divisions (C)(1), (2), (3), and (4) of this section do 45834
not apply, including in the circumstance where the vendor is45835
without sufficient information to apply any of those divisions, 45836
the sale shall be sourced to the address from which tangible 45837
personal property was shipped, or from which the service was 45838
provided, disregarding any location that merely provided the 45839
electronic transfer of the property sold or service provided.45840

       (6) As used in division (C) of this section, "receive" means45841
taking possession of tangible personal property or making first45842
use of a service. "Receive" does not include possession by a45843
shipping company on behalf of a consumer.45844

       (D)(1)(a) Notwithstanding divisions (C)(1) to (5) of this45845
section, a business consumer that is not a holder of a direct 45846
payment permit granted under section 5739.031 of the Revised Code, 45847
that purchases a digital good, computer software, except computer 45848
software received in person by a business consumer at a vendor's 45849
place of business, or a service, and that knows at the time of45850
purchase that such digital good, software, or service will be 45851
concurrently available for use in more than one taxing 45852
jurisdiction shall deliver to the vendor in conjunction with its 45853
purchase an exemption certificate claiming multiple points of use, 45854
or shall meet the requirements of division (D)(2) of this section. 45855
On receipt of the exemption certificate claiming multiple points 45856
of use, the vendor is relieved of its obligation to collect, pay, 45857
or remit the tax due, and the business consumer must pay the tax 45858
directly to the state.45859

       (b) A business consumer that delivers the exemption 45860
certificate claiming multiple points of use to a vendor may use45861
any reasonable, consistent, and uniform method of apportioning the45862
tax due on the digital good, computer software, or service that is45863
supported by the consumer's business records as they existed at45864
the time of the sale. The business consumer shall report and pay 45865
the appropriate tax to each jurisdiction where concurrent use 45866
occurs. The tax due shall be calculated as if the apportioned 45867
amount of the digital good, computer software, or service had been 45868
delivered to each jurisdiction to which the sale is apportioned 45869
under this division.45870

       (c) The exemption certificate claiming multiple points of use 45871
shall remain in effect for all future sales by the vendor to the 45872
business consumer until it is revoked in writing by the business 45873
consumer, except as to the business consumer's specific 45874
apportionment of a subsequent sale under division (D)(1)(b) of 45875
this section and the facts existing at the time of the sale.45876

       (2) When the vendor knows that a digital good, computer 45877
software, or service sold will be concurrently available for use 45878
by the business consumer in more than one jurisdiction, but the 45879
business consumer does not provide an exemption certificate 45880
claiming multiple points of use as required by division (D)(1) of 45881
this section, the vendor may work with the business consumer to 45882
produce the correct apportionment. Governed by the principles of 45883
division (D)(1)(b) of this section, the vendor and business 45884
consumer may use any reasonable, but consistent and uniform, 45885
method of apportionment that is supported by the vendor's and 45886
business consumer's books and records as they exist at the time 45887
the sale is reported for purposes of the taxes levied under this 45888
chapter. If the business consumer certifies to the accuracy of the 45889
apportionment and the vendor accepts the certification, the vendor 45890
shall collect and remit the tax accordingly. In the absence of bad 45891
faith, the vendor is relieved of any further obligation to collect 45892
tax on any transaction where the vendor has collected tax pursuant 45893
to the information certified by the business consumer.45894

        (3) When the vendor knows that the digital good, computer 45895
software, or service will be concurrently available for use in 45896
more than one jurisdiction, and the business consumer does not 45897
have a direct pay permit and does not provide to the vendor an 45898
exemption certificate claiming multiple points of use as required 45899
in division (D)(1) of this section, or certification pursuant to 45900
division (D)(2) of this section, the vendor shall collect and 45901
remit the tax based on division (C) of this section.45902

        (4) Nothing in this section shall limit a person's obligation 45903
for sales or use tax to any state in which a digital good, 45904
computer software, or service is concurrently available for use, 45905
nor limit a person's ability under local, state, or federal law, 45906
to claim a credit for sales or use taxes legally due and paid to 45907
other jurisdictions.45908

       (E) A person who holds a direct payment permit issued under45909
section 5739.031 of the Revised Code is not required to deliver an 45910
exemption certificate claiming multiple points of use to a vendor. 45911
But such permit holder shall comply with division (D)(2) of this 45912
section in apportioning the tax due on a digital good, computer 45913
software, or a service for use in business that will be 45914
concurrently available for use in more than one taxing 45915
jurisdiction.45916

       (F)(1) Notwithstanding divisions (C)(1) to (5) of this 45917
section, the consumer of direct mail that is not a holder of a 45918
direct payment permit shall provide to the vendor in conjunction 45919
with the sale either an exemption certificate claiming direct mail 45920
prescribed by the tax commissioner, or information to show the 45921
jurisdictions to which the direct mail is delivered to recipients.45922

       (2) Upon receipt of such exemption certificate, the vendor is 45923
relieved of all obligations to collect, pay, or remit the 45924
applicable tax and the consumer is obligated to pay that tax on a 45925
direct pay basis. An exemption certificate claiming direct mail 45926
shall remain in effect for all future sales of direct mail by the 45927
vendor to the consumer until it is revoked in writing.45928

       (3) Upon receipt of information from the consumer showing the 45929
jurisdictions to which the direct mail is delivered to recipients, 45930
the vendor shall collect the tax according to the delivery 45931
information provided by the consumer. In the absence of bad faith, 45932
the vendor is relieved of any further obligation to collect tax on 45933
any transaction where the vendor has collected tax pursuant to the 45934
delivery information provided by the consumer.45935

       (4) If the consumer of direct mail does not have a direct 45936
payment permit and does not provide the vendor with either an 45937
exemption certificate claiming direct mail or delivery information 45938
as required by division (F)(1) of this section, the vendor shall 45939
collect the tax according to division (C)(5) of this section. 45940
Nothing in division (F)(4) of this section shall limit a 45941
consumer's obligation to pay sales or use tax to any state to 45942
which the direct mail is delivered.45943

       (5) If a consumer of direct mail provides the vendor with 45944
documentation of direct payment authority, the consumer shall not 45945
be required to provide an exemption certificate claiming direct 45946
mail or delivery information to the vendor.45947

       (G) If the vendor provides lodging to transient guests as45948
specified in division (B)(2) of section 5739.01 of the Revised45949
Code, the sale shall be sourced to the location where the lodging 45950
is located.45951

       (H)(1) As used in this division and division (I) of this 45952
section, "transportation equipment" means any of the following:45953

        (a) Locomotives and railcars that are utilized for the 45954
carriage of persons or property in interstate commerce.45955

        (b) Trucks and truck-tractors with a gross vehicle weight 45956
rating of greater than ten thousand pounds, trailers, 45957
semi-trailers, or passenger buses that are registered through the 45958
international registration plan and are operated under authority 45959
of a carrier authorized and certificated by the United States 45960
department of transportation or another federal authority to 45961
engage in the carriage of persons or property in interstate 45962
commerce.45963

        (c) Aircraft that are operated by air carriers authorized and 45964
certificated by the United States department of transportation or 45965
another federal authority to engage in the carriage of persons or 45966
property in interstate or foreign commerce.45967

        (d) Containers designed for use on and component parts 45968
attached to or secured on the items set forth in division 45969
(H)(1)(a), (b), or (c) of this section.45970

        (2) A sale, lease, or rental of transportation equipment 45971
shall be sourced pursuant to division (C) of this section.45972

        (I)(1) A lease or rental of tangible personal property that 45973
does not require recurring periodic payments shall be sourced 45974
pursuant to division (C) of this section.45975

        (2) A lease or rental of tangible personal property that 45976
requires recurring periodic payments shall be sourced as follows:45977

        (a) In the case of a motor vehicle, other than a motor 45978
vehicle that is transportation equipment, or an aircraft, other 45979
than an aircraft that is transportation equipment, such lease or 45980
rental shall be sourced as follows:45981

        (i) An accelerated tax payment on a lease or rental taxed 45982
pursuant to division (A)(2) of section 5739.02 of the Revised Code 45983
shall be sourced to the primary property location at the time the 45984
lease or rental is consummated. Any subsequent taxable charges on 45985
the lease or rental shall be sourced to the primary property 45986
location for the period in which the charges are incurred.45987

        (ii) For a lease or rental taxed pursuant to division (A)(3) 45988
of section 5739.02 of the Revised Code, each lease or rental 45989
installment shall be sourced to the primary property location for 45990
the period covered by the installment.45991

        (b) In the case of a lease or rental of all other tangible 45992
personal property, other than transportation equipment, such lease 45993
or rental shall be sourced as follows:45994

        (i) An accelerated tax payment on a lease or rental that is 45995
taxed pursuant to division (A)(2) of section 5739.02 of the 45996
Revised Code shall be sourced pursuant to division (C) of this 45997
section at the time the lease or rental is consummated. Any 45998
subsequent taxable charges on the lease or rental shall be sourced 45999
to the primary property location for the period in which the 46000
charges are incurred.46001

        (ii) For a lease or rental that is taxed pursuant to division 46002
(A)(3) of section 5739.02 of the Revised Code, the initial lease 46003
or rental installment shall be sourced pursuant to division (C) of 46004
this section. Each subsequent installment shall be sourced to the 46005
primary property location for the period covered by the 46006
installment.46007

        (3) As used in division (I) of this section, "primary 46008
property location" means an address for tangible personal property 46009
provided by the lessee or renter that is available to the lessor 46010
or owner from its records maintained in the ordinary course of 46011
business, when use of that address does not constitute bad faith.46012

       Sec. 5739.12. (A) Each person who has or is required to have 46013
a vendor's license, on or before the twenty-third day of each46014
month, shall make and file a return for the preceding month, on46015
forms prescribed by the tax commissioner, and shall pay the tax46016
shown on the return to be due. The commissioner may require a 46017
vendor that operates from multiple locations or has multiple 46018
vendor's licenses to report all tax liabilities on one 46019
consolidated return. The return shall show the amount of tax due46020
from the vendor to the state for the period covered by the return46021
and such other information as the commissioner deems necessary for46022
the proper administration of this chapter. The commissioner may46023
extend the time for making and filing returns and paying the tax,46024
and may require that the return for the last month of any annual46025
or semiannual period, as determined by the commissioner, be a46026
reconciliation return detailing the vendor's sales activity for46027
the preceding annual or semiannual period. The reconciliation46028
return shall be filed by the last day of the month following the46029
last month of the annual or semiannual period. The commissioner46030
may remit all or any part of amounts or penalties that may become46031
due under this chapter and may adopt rules relating thereto. Such46032
return shall be filed by mailing it to the tax commissioner,46033
together with payment of the amount of tax shown to be due thereon46034
after deduction of any discount provided for under this section.46035
Remittance shall be made payable to the treasurer of state. The46036
return shall be considered filed when received by the tax46037
commissioner, and the payment shall be considered made when46038
received by the tax commissioner or when credited to an account46039
designated by the treasurer of state or the tax commissioner.46040

       (B)(1) If the return is filed and the amount of tax shown 46041
thereon to be due is paid on or before the date such return is 46042
required to be filed, the vendor shall be entitled to the 46043
followinga discount of:46044

       (1)(a) On and after July 1, 2005, and on and before June 30, 46045
2007, nine-tenths of one per cent of the amount shown to be due on 46046
the return;46047

       (2)(b) On and after July 1, 2007, three-fourths of one per 46048
cent of the amount shown to be due on the return.46049

       (2) A vendor that has selected a certified service provider 46050
as its agent shall not be entitled to the discount if the 46051
certified service provider receives a monetary allowance pursuant 46052
to section 5739.06 of the Revised Code for performing the vendor's 46053
sales and use tax functions in this state. Amounts paid to the46054
clerk of courts pursuant to section 4505.06 of the Revised Code46055
shall be subject to the applicable discount. The discount shall be 46056
in consideration for prompt payment to the clerk of courts and for46057
other services performed by the vendor in the collection of the46058
tax.46059

       (3) Vendors of watercraft or outboard motors required to be 46060
titled under section 1548.06 of the Revised Code, dealers of motor 46061
vehicles required to be titled under section 4505.06 of the 46062
Revised Code, and dealers of off-highway motorcycles or 46063
all-purpose vehicles required to be titled under section 4519.55 46064
of the Revised Code that submit to the clerk of the court of 46065
common pleas payment of the tax collected on sales of watercraft, 46066
outboard motors, motor vehicles, off-highway motorcycles, or 46067
all-purpose vehicles may, when computing the discount provided for 46068
in division (B)(1) of this section, include those sales on the 46069
return for the period in which the sales were made. If the tax 46070
reported to be due on the return is less than the discount allowed 46071
under this section, the vendor or dealer may file a claim for 46072
refund of any unused discount in the manner provided in section 46073
5739.07 of the Revised Code, provided that such refund claims may 46074
not be filed more frequently than twice per year by a vendor or 46075
dealer.46076

       (C)(1) Upon application to the commissioner, a vendor who is46077
required to file monthly returns may be relieved of the46078
requirement to report and pay the actual tax due, provided that46079
the vendor agrees to remit to the tax commissioner payment of not46080
less than an amount determined by the commissioner to be the46081
average monthly tax liability of the vendor, based upon a review46082
of the returns or other information pertaining to such vendor for46083
a period of not less than six months nor more than two years46084
immediately preceding the filing of the application. Vendors who46085
agree to the above conditions shall make and file an annual or46086
semiannual reconciliation return, as prescribed by the46087
commissioner. The reconciliation return shall be filed by mailing46088
or delivering it to the tax commissioner, together with payment of 46089
the amount of tax shown to be due thereon after deduction of any 46090
discount provided in this section. Remittance shall be made46091
payable to the treasurer of state. Failure of a vendor to comply46092
with any of the above conditions may result in immediate46093
reinstatement of the requirement of reporting and paying the46094
actual tax liability on each monthly return, and the commissioner46095
may at the commissioner's discretion deny the vendor the right to46096
report and pay based upon the average monthly liability for a46097
period not to exceed two years. The amount ascertained by the46098
commissioner to be the average monthly tax liability of a vendor46099
may be adjusted, based upon a review of the returns or other46100
information pertaining to the vendor for a period of not less than46101
six months nor more than two years preceding such adjustment.46102

       (2) The commissioner may authorize vendors whose tax 46103
liability is not such as to merit monthly returns, as ascertained 46104
by the commissioner upon the basis of administrative costs to the46105
state, to make and file returns at less frequent intervals. When46106
returns are filed at less frequent intervals in accordance with46107
such authorization, the vendor shall be allowed the discount 46108
provided in this section in consideration for prompt payment with 46109
the return, provided the return is filed together with payment of 46110
the amount of tax shown to be due thereon, at the time specified 46111
by the commissioner, but a vendor that has selected a certified 46112
service provider as its agent shall not be entitled to the 46113
discount.46114

       (D) Any vendor who fails to file a return or pay the full 46115
amount of the tax shown on the return to be due under this section 46116
and the rules of the commissioner may, for each such return the 46117
vendor fails to file or each such tax the vendor fails to pay in 46118
full as shown on the return within the period prescribed by this 46119
section and the rules of the commissioner, be required to forfeit 46120
and pay into the state treasury an additional charge not exceeding46121
fifty dollars or ten per cent of the tax required to be paid for46122
the reporting period, whichever is greater, as revenue arising46123
from the tax imposed by this chapter, and such sum may be46124
collected by assessment in the manner provided in section 5739.1346125
of the Revised Code. The commissioner may remit all or a portion46126
of the additional charge and may adopt rules relating to the 46127
imposition and remission of the additional charge.46128

       (E) If the amount required to be collected by a vendor from46129
consumers is in excess of the applicable percentage of the 46130
vendor's receipts from sales that are taxable under section 46131
5739.02 of the Revised Code, or in the case of sales subject to a 46132
tax levied pursuant to section 5739.021, 5739.023, or 5739.026 of 46133
the Revised Code, in excess of the percentage equal to the 46134
aggregate rate of such taxes and the tax levied by section 5739.02 46135
of the Revised Code, such excess shall be remitted along with the 46136
remittance of the amount of tax due under section 5739.10 of the 46137
Revised Code.46138

       (F) The commissioner, if the commissioner deems it necessary 46139
in order to insure the payment of the tax imposed by this chapter,46140
may require returns and payments to be made for other than monthly46141
periods. The returns shall be signed by the vendor or the vendor's 46142
authorized agent.46143

       (G) Any vendor required to file a return and pay the tax 46144
under this section, whose total payment equals or exceeds the46145
amount shown in division (A) of section 5739.122 of the Revised 46146
Code, shall make each payment required by this section in the 46147
second ensuing and each succeeding year by electronic funds 46148
transfer as prescribed by, and on or before the dates specified 46149
in, section 5739.122 of the Revised Code, except as otherwise46150
prescribed by that section. For a vendor that operates from 46151
multiple locations or has multiple vendor's licenses, in 46152
determining whether the vendor's total payment equals or exceeds 46153
the amount shown in division (A) of that section, the vendor's 46154
total payment amount shall be the amount of the vendor's total tax 46155
liability for the previous calendar year for all of the vendor's 46156
locations or licenses.46157

       Sec. 5739.21.  (A) Four and two-tenthsOne hundred per cent 46158
of all money deposited into the state treasury under sections 46159
5739.01 to 5739.31 of the Revised Code and not required to be 46160
distributed as provided in section 5739.102 of the Revised Code or 46161
division (B) of this section shall be credited to the local 46162
government fund for distribution in accordance with section 46163
5747.50 of the Revised Code, six-tenths of one per cent shall be 46164
credited to the local government revenue assistance fund for 46165
distribution in accordance with section 5747.61 of the Revised 46166
Code, and ninety-five and two-tenths per cent shall be credited to46167
the general revenue fund.46168

       (B)(1) In any case where any county or transit authority has46169
levied a tax or taxes pursuant to section 5739.021, 5739.023, or46170
5739.026 of the Revised Code, the tax commissioner shall, within46171
forty-five days after the end of each month, determine and certify 46172
to the director of budget and management the amount of the 46173
proceeds of such tax or taxes received during that month from 46174
billings and assessments, or associated with tax returns or 46175
reports filed during that month, to be returned to the county or 46176
transit authority levying the tax or taxes. The amount to be 46177
returned to each county and transit authority shall be a fraction 46178
of the aggregate amount of money collected with respect to each 46179
area in which one or more of such taxes are concurrently in effect 46180
with the tax levied by section 5739.02 of the Revised Code. The46181
numerator of the fraction is the rate of the tax levied by the 46182
county or transit authority and the denominator of the fraction is 46183
the aggregate rate of such taxes applicable to such area. The 46184
amount to be returned to each county or transit authority shall be 46185
reduced by the amount of any refunds of county or transit 46186
authority tax paid pursuant to section 5739.07 of the Revised Code 46187
during the same month, or transfers made pursuant to division 46188
(B)(2) of section 5703.052 of the Revised Code.46189

       (2) On a periodic basis, using the best information 46190
available, the tax commissioner shall distribute any amount of a 46191
county or transit authority tax that cannot be distributed under 46192
division (B)(1) of this section. Through audit or other means, the 46193
commissioner shall attempt to obtain the information necessary to 46194
make the distribution as provided under that division and, on 46195
receipt of that information, shall make adjustments to 46196
distributions previously made under this division.46197

       (C) The aggregate amount to be returned to any county or 46198
transit authority shall be reduced by one per cent, which shall be46199
certified directly to the credit of the local sales tax46200
administrative fund, which is hereby created in the state46201
treasury. For the purpose of determining the amount to be returned 46202
to a county and transit authority in which the rate of tax imposed 46203
by the transit authority has been reduced under section 5739.028 46204
of the Revised Code, the tax commissioner shall use the respective 46205
rates of tax imposed by the county or transit authority that 46206
results from the change in the rates authorized under that 46207
section. 46208

       (D) The director of budget and management shall transfer,46209
from the same funds and in the same proportions specified in46210
division (A) of this section, to the permissive tax distribution46211
fund created by division (B)(1) of section 4301.423 of the Revised 46212
Code and to the local sales tax administrative fund, the amounts 46213
certified by the tax commissioner. The tax commissioner shall 46214
then, on or before the twentieth day of the month in which such 46215
certification is made, provide for payment of such respective 46216
amounts to the county treasurer and to the fiscal officer of the 46217
transit authority levying the tax or taxes. The amount transferred 46218
to the local sales tax administrative fund is for use by the tax 46219
commissioner in defraying costs incurred in administering such 46220
taxes levied by a county or transit authority.46221

       Sec. 5739.213.  Notwithstanding section 5739.21 or 5741.03 of 46222
the Revised Code, the revenue collected from the tax due under 46223
section 5739.029 of the Revised Code from the rate in excess of 46224
the rate imposed under section 5739.02 of the Revised Code shall 46225
be distributed among all counties of this state as required by 46226
this section. The amount distributed to each county each year 46227
shall bear the same ratio to the amount of such revenue as the 46228
number of motor vehicle registrations in that county in the 46229
preceding calendar year bears to the total number of motor vehicle 46230
registrations in all counties in the preceding calendar year. The 46231
distribution shall be computed before the first day of May each 46232
year and applies to revenue collected from sales subject to the 46233
tax occurring between the first day of the preceding March through 46234
the last day of the following February. The amount to be so 46235
distributed to each county shall be credited to the funds of the 46236
county as provided by divisions (A) and (B) of section 5739.211 of 46237
the Revised Code in proportion to the rate of taxes apportioned to 46238
each such fund from levies under section 5739.021 or 5739.026 of 46239
the Revised Code.46240

       Sec. 5741.02.  (A)(1) For the use of the general revenue fund46241
of the state, an excise tax is hereby levied on the storage, use,46242
or other consumption in this state of tangible personal property46243
or the benefit realized in this state of any service provided. The46244
tax shall be collected as provided in section 5739.025 of the 46245
Revised Code, provided that on and after July 1, 2003, and on or 46246
before June 30, 2005, the rate of the tax shall be six per cent. 46247
On and after July 1, 2005, the rate of the tax shall be five and 46248
one-half per cent.46249

       (2) In the case of the lease or rental, with a fixed term of 46250
more than thirty days or an indefinite term with a minimum period 46251
of more than thirty days, of any motor vehicles designed by the 46252
manufacturer to carry a load of not more than one ton, watercraft, 46253
outboard motor, or aircraft, or of any tangible personal property, 46254
other than motor vehicles designed by the manufacturer to carry a 46255
load of more than one ton, to be used by the lessee or renter 46256
primarily for business purposes, the tax shall be collected by the 46257
seller at the time the lease or rental is consummated and shall be 46258
calculated by the seller on the basis of the total amount to be 46259
paid by the lessee or renter under the lease or rental agreement. 46260
If the total amount of the consideration for the lease or rental 46261
includes amounts that are not calculated at the time the lease or 46262
rental is executed, the tax shall be calculated and collected by 46263
the seller at the time such amounts are billed to the lessee or 46264
renter. In the case of an open-end lease or rental, the tax shall 46265
be calculated by the seller on the basis of the total amount to be 46266
paid during the initial fixed term of the lease or rental, and for 46267
each subsequent renewal period as it comes due. As used in this 46268
division, "motor vehicle" has the same meaning as in section 46269
4501.01 of the Revised Code, and "watercraft" includes an outdrive 46270
unit attached to the watercraft.46271

       (3) Except as provided in division (A)(2) of this section, in 46272
the case of a transaction, the price of which consists in whole or 46273
part of the lease or rental of tangible personal property, the tax 46274
shall be measured by the installments of those leases or rentals.46275

       (B) Each consumer, storing, using, or otherwise consuming in46276
this state tangible personal property or realizing in this state46277
the benefit of any service provided, shall be liable for the tax,46278
and such liability shall not be extinguished until the tax has46279
been paid to this state; provided, that the consumer shall be46280
relieved from further liability for the tax if the tax has been46281
paid to a seller in accordance with section 5741.04 of the Revised46282
Code or prepaid by the seller in accordance with section 5741.0646283
of the Revised Code.46284

       (C) The tax does not apply to the storage, use, or46285
consumption in this state of the following described tangible46286
personal property or services, nor to the storage, use, or46287
consumption or benefit in this state of tangible personal property46288
or services purchased under the following described circumstances:46289

       (1) When the sale of property or service in this state is46290
subject to the excise tax imposed by sections 5739.01 to 5739.3146291
of the Revised Code, provided said tax has been paid;46292

       (2) Except as provided in division (D) of this section,46293
tangible personal property or services, the acquisition of which,46294
if made in Ohio, would be a sale not subject to the tax imposed by46295
sections 5739.01 to 5739.31 of the Revised Code;46296

       (3) Property or services, the storage, use, or other46297
consumption of or benefit from which this state is prohibited from46298
taxing by the Constitution of the United States, laws of the46299
United States, or the Constitution of this state. This exemption46300
shall not exempt from the application of the tax imposed by this46301
section the storage, use, or consumption of tangible personal46302
property that was purchased in interstate commerce, but that has46303
come to rest in this state, provided that fuel to be used or46304
transported in carrying on interstate commerce that is stopped46305
within this state pending transfer from one conveyance to another46306
is exempt from the excise tax imposed by this section and section46307
5739.02 of the Revised Code;46308

       (4) Transient use of tangible personal property in this state 46309
by a nonresident tourist or vacationer, or a nonbusiness use 46310
within this state by a nonresident of this state, if the property 46311
so used was purchased outside this state for use outside this 46312
state and is not required to be registered or licensed under the 46313
laws of this state;46314

       (5) Tangible personal property or services rendered, upon46315
which taxes have been paid to another jurisdiction to the extent46316
of the amount of the tax paid to such other jurisdiction. Where46317
the amount of the tax imposed by this section and imposed pursuant46318
to section 5741.021, 5741.022, or 5741.023 of the Revised Code46319
exceeds the amount paid to another jurisdiction, the difference46320
shall be allocated between the tax imposed by this section and any46321
tax imposed by a county or a transit authority pursuant to section46322
5741.021, 5741.022, or 5741.023 of the Revised Code, in proportion46323
to the respective rates of such taxes.46324

       As used in this subdivision, "taxes paid to another46325
jurisdiction" means the total amount of retail sales or use tax or46326
similar tax based upon the sale, purchase, or use of tangible46327
personal property or services rendered legally, levied by and paid46328
to another state or political subdivision thereof, or to the46329
District of Columbia, where the payment of such tax does not46330
entitle the taxpayer to any refund or credit for such payment.46331

       (6) The transfer of a used manufactured home or used mobile46332
home, as defined by section 5739.0210 of the Revised Code, made on46333
or after January 1, 2000;46334

       (7) Drugs that are or are intended to be distributed free of46335
charge to a practitioner licensed to prescribe, dispense, and46336
administer drugs to a human being in the course of a professional46337
practice and that by law may be dispensed only by or upon the46338
order of such a practitioner.46339

        (8) Computer equipment and related software leased from a 46340
lessor located outside this state and initially received in this 46341
state on behalf of the consumer by a third party that will retain 46342
possession of such property for not more than ninety days and that 46343
will, within that ninety-day period, deliver such property to the 46344
consumer at a location outside this state. Division (C)(8) of this 46345
section does not provide exemption from taxation for any otherwise 46346
taxable charges associated with such property while it is in this 46347
state or for any subsequent storage, use, or consumption of such 46348
property in this state by or on behalf of the consumer.46349

       (9) Cigarettes that have a wholesale value of three hundred 46350
dollars or less used, stored, or consumed, but not for resale, in 46351
any month and in any county that shares a border with a state in 46352
which the total rate of excise tax on the sale or use of 46353
cigarettes exceeds the rate imposed under sections 5743.02 and 46354
5743.32 of the Revised Code by at least forty-five mills per 46355
cigarette.46356

       (10) Tangible personal property held for sale by a person but 46357
not for that person's own use and donated by that person, without 46358
charge or other compensation, to either of the following:46359

       (a) A nonprofit organization operated exclusively for 46360
charitable purposes in this state, no part of the net income of 46361
which inures to the benefit of any private shareholder or 46362
individual and no substantial part of the activities of which 46363
consists of carrying on propaganda or otherwise attempting to 46364
influence legislation; or46365

       (b) This state or any political subdivision of this state, 46366
but only if donated for exclusively public purposes.46367

        For the purposes of division (C)(10)(9) of this section, 46368
"charitable purposes" has the same meaning as in division (B)(12) 46369
of section 5739.02 of the Revised Code.46370

       (D) The tax applies to the storage, use, or other consumption 46371
in this state of tangible personal property or services, the 46372
acquisition of which at the time of sale was excepted under 46373
division (E) of section 5739.01 of the Revised Code from the tax 46374
imposed by section 5739.02 of the Revised Code, but which has 46375
subsequently been temporarily or permanently stored, used, or 46376
otherwise consumed in a taxable manner.46377

       (E)(1)(a) If any transaction is claimed to be exempt under46378
division (E) of section 5739.01 of the Revised Code or under46379
section 5739.02 of the Revised Code, with the exception of46380
divisions (B)(1) to (11) or (28) of section 5739.02 of the Revised46381
Code, the consumer shall provide to the seller, and the seller46382
shall obtain from the consumer, a certificate specifying the46383
reason that the transaction is not subject to the tax. The46384
certificate shall be in such form, and shall be provided either in 46385
a hard copy form or electronic form, as the tax commissioner 46386
prescribes.46387

       (b) A seller that obtains a fully completed exemption 46388
certificate from a consumer is relieved of liability for 46389
collecting and remitting tax on any sale covered by that 46390
certificate. If it is determined the exemption was improperly 46391
claimed, the consumer shall be liable for any tax due on that sale 46392
under this chapter. Relief under this division from liability does 46393
not apply to any of the following:46394

       (i) A seller that fraudulently fails to collect tax;46395

       (ii) A seller that solicits consumers to participate in the 46396
unlawful claim of an exemption;46397

       (iii) A seller that accepts an exemption certificate from a 46398
consumer that claims an exemption based on who purchases or who 46399
sells property or a service, when the subject of the transaction 46400
sought to be covered by the exemption certificate is actually 46401
received by the consumer at a location operated by the seller in 46402
this state, and this state has posted to its web site an exemption 46403
certificate form that clearly and affirmatively indicates that the 46404
claimed exemption is not available in this state;46405

       (iv) A seller that accepts an exemption certificate from a 46406
consumer who claims a multiple points of use exemption under 46407
division (D) of section 5739.033 of the Revised Code, if the item 46408
purchased is tangible personal property, other than prewritten 46409
computer software.46410

       (2) The seller shall maintain records, including exemption 46411
certificates, of all sales on which a consumer has claimed an 46412
exemption, and provide them to the tax commissioner on request.46413

       (3) If no certificate is provided or obtained within ninety 46414
days after the date on which the transaction is consummated, it 46415
shall be presumed that the tax applies. Failure to have so 46416
provided or obtained a certificate shall not preclude a seller, 46417
within one hundred twenty days after the tax commissioner gives 46418
written notice of intent to levy an assessment, from either 46419
establishing that the transaction is not subject to the tax, or 46420
obtaining, in good faith, a fully completed exemption certificate.46421

       (4) If a transaction is claimed to be exempt under division 46422
(B)(13) of section 5739.02 of the Revised Code, the contractor 46423
shall obtain certification of the claimed exemption from the 46424
contractee. This certification shall be in addition to an 46425
exemption certificate provided by the contractor to the seller. A 46426
contractee that provides a certification under this division shall 46427
be deemed to be the consumer of all items purchased by the 46428
contractor under the claim of exemption, if it is subsequently 46429
determined that the exemption is not properly claimed. The 46430
certification shall be in such form as the tax commissioner 46431
prescribes.46432

       (F) A seller who files a petition for reassessment contesting 46433
the assessment of tax on transactions for which the seller 46434
obtained no valid exemption certificates, and for which the seller 46435
failed to establish that the transactions were not subject to the 46436
tax during the one-hundred-twenty-day period allowed under46437
division (E) of this section, may present to the tax commissioner46438
additional evidence to prove that the transactions were exempt.46439
The seller shall file such evidence within ninety days of the46440
receipt by the seller of the notice of assessment, except that,46441
upon application and for reasonable cause, the tax commissioner46442
may extend the period for submitting such evidence thirty days.46443

       (G) For the purpose of the proper administration of sections46444
5741.01 to 5741.22 of the Revised Code, and to prevent the evasion46445
of the tax hereby levied, it shall be presumed that any use,46446
storage, or other consumption of tangible personal property in46447
this state is subject to the tax until the contrary is46448
established.46449

       (H) The tax collected by the seller from the consumer under 46450
this chapter is not part of the price, but is a tax collection for 46451
the benefit of the state, and of counties levying an additional 46452
use tax pursuant to section 5741.021 or 5741.023 of the Revised 46453
Code and of transit authorities levying an additional use tax 46454
pursuant to section 5741.022 of the Revised Code. Except for the 46455
discount authorized under section 5741.12 of the Revised Code and 46456
the effects of any rounding pursuant to section 5703.055 of the 46457
Revised Code, no person other than the state or such a county or 46458
transit authority shall derive any benefit from the collection of 46459
such tax.46460

       Sec. 5741.03.  (A) Four and two-tenthsOne hundred per cent 46461
of all money deposited into the state treasury under sections 46462
5741.01 to 5741.22 of the Revised Code that is not required to be46463
distributed as provided in division (B) of this section shall be46464
credited to the local government fund for distribution in46465
accordance with section 5747.50 of the Revised Code, six-tenths of 46466
one per cent shall be credited to the local government revenue 46467
assistance fund for distribution in accordance with section46468
5747.61 of the Revised Code, and ninety-five and two-tenths per 46469
cent shall be credited to the general revenue fund.46470

       (B) In any case where any county or transit authority has46471
levied a tax or taxes pursuant to section 5741.021, 5741.022, or46472
5741.023 of the Revised Code, the tax commissioner shall, within46473
forty-five days after the end of each month, determine and certify46474
to the director of budget and management the amount of the46475
proceeds of such tax or taxes from billings and assessments 46476
received during that month, or shown on tax returns or reports 46477
filed during that month, to be returned to the county or transit46478
authority levying the tax or taxes, which amounts shall be46479
determined in the manner provided in section 5739.21 of the46480
Revised Code. The director of budget and management shall46481
transfer, from the same funds and in the same proportions46482
specified in division (A) of this section, to the permissive tax46483
distribution fund created by division (B)(1) of section 4301.42346484
of the Revised Code and to the local sales tax administrative fund 46485
created by division (B)(C) of section 5739.21 of the Revised Code, 46486
the amounts certified by the tax commissioner. The tax46487
commissioner shall then, on or before the twentieth day of the46488
month in which such certification is made, provide for payment of46489
such respective amounts to the county treasurer or to the fiscal46490
officer of the transit authority levying the tax or taxes. The46491
amount transferred to the local sales tax administrative fund is46492
for use by the tax commissioner in defraying costs the46493
commissioner incurs in administering such taxes levied by a county 46494
or transit authority.46495

       Sec. 5743.01.  As used in this chapter:46496

       (A) "Person" includes individuals, firms, partnerships,46497
associations, joint-stock companies, corporations, combinations of 46498
individuals of any form, and the state and any of its political 46499
subdivisions.46500

       (B) "Wholesale dealer" includes only those persons:46501

       (1) Who bring in or cause to be brought into this state46502
unstamped cigarettes purchased directly from the manufacturer,46503
producer, or importer of cigarettes for sale in this state but46504
does not include persons who bring in or cause to be brought into46505
this state cigarettes with respect to which no evidence of tax46506
payment is required thereon as provided in section 5743.04 of the46507
Revised Code; or46508

       (2) Who are engaged in the business of selling cigarettes or 46509
tobacco products to others for the purpose of resale.46510

       "Wholesale dealer" does not include any cigarette 46511
manufacturer, export warehouse proprietor, or importer with a 46512
valid permit under 26 U.S.C. 5713 if that person sells cigarettes 46513
in this state only to wholesale dealers holding valid and current 46514
licenses under section 5743.15 of the Revised Code or to an export 46515
warehouse proprietor or another manufacturer.46516

       (C) "Retail dealer" includes:46517

       (1) In reference to dealers in cigarettes, every person other 46518
than a wholesale dealer engaged in the business of selling46519
cigarettes in this state, regardless of whether the person is 46520
located in this state or elsewhere, and regardless of quantity, 46521
amount, or number of sales;46522

       (2) In reference to dealers in tobacco products, any person 46523
in this state engaged in the business of selling tobacco products 46524
to ultimate consumers in this state, regardless of quantity, 46525
amount, or number of sales.46526

       (D) "Sale" includes exchange, barter, gift, offer for sale, 46527
and distribution, and includes transactions in interstate or 46528
foreign commerce.46529

       (E) "Cigarettes" includes any roll for smoking made wholly or 46530
in part of tobacco, irrespective of size or shape, and whether or 46531
not such tobacco is flavored, adulterated, or mixed with any other 46532
ingredient, the wrapper or cover of which is made of paper,46533
reconstituted cigarette tobacco, homogenized cigarette tobacco,46534
cigarette tobacco sheet, or any similar materials other than cigar 46535
tobacco.46536

       (F) "Package" means the individual package, box, or other46537
container in or from which retail sales of cigarettes are normally 46538
made or intended to be made.46539

       (G) "Stamp" includes an impression made by a metering device 46540
as provided for in section 5743.04 of the Revised Code.46541

       (H) "Storage" includes any keeping or retention of cigarettes 46542
or tobacco products for use or consumption in this state.46543

       (I) "Use" includes the exercise of any right or power46544
incidental to the ownership of cigarettes or tobacco products.46545

       (J) "Tobacco product" or "other tobacco product" means any 46546
product made from tobacco, other than cigarettes, that is made for 46547
smoking or chewing, or both, and snuff.46548

       (K) "Wholesale price" means the invoice price, including all 46549
federal excise taxes, at which the manufacturer of the tobacco 46550
product sells the tobacco product to unaffiliated distributors, 46551
excluding any discounts based on the method of payment of the 46552
invoice or on time of payment of the invoice. If the taxpayer buys 46553
from other than a manufacturer, "wholesale price" means the 46554
invoice price, including all federal excise taxes and excluding 46555
any discounts based on the method of payment of the invoice or on 46556
time of payment of the invoice.46557

       (L) "Distributor" means:46558

       (1) Any manufacturer who sells, barters, exchanges, or46559
distributes tobacco products to a retail dealer in the state, 46560
except when selling to a retail dealer that has filed with the 46561
manufacturer a signed statement agreeing to pay and be liable for 46562
the tax imposed by section 5743.51 of the Revised Code;46563

       (2) Any wholesale dealer located in the state who receives46564
tobacco products from a manufacturer, or who receives tobacco46565
products on which the tax imposed by this chapter has not been46566
paid;46567

       (3) Any wholesale dealer located outside the state who sells, 46568
barters, exchanges, or distributes tobacco products to a wholesale 46569
or retail dealer in the state; or46570

       (4) Any retail dealer who receives tobacco products on which 46571
the tax has not or will not be paid by another distributor, 46572
including a retail dealer that has filed a signed statement with a 46573
manufacturer in which the retail dealer agrees to pay and be 46574
liable for the tax that would otherwise be imposed on the46575
manufacturer by section 5743.51 of the Revised Code.46576

       (M) "Taxpayer" means any person liable for the tax imposed by 46577
section 5743.51, 5743.62, or 5743.63 of the Revised Code.46578

       (N) "Seller" means any person located outside this state46579
engaged in the business of selling tobacco products to consumers46580
for storage, use, or other consumption in this state.46581

       (O) "Manufacturer" means any person who manufactures and46582
sells cigarettes or tobacco products.46583

       (P) "Importer" means any person that imports is authorized, 46584
under a valid permit issued under Section 5713 of the Internal 46585
Revenue Code, to import finished cigarettes into the United 46586
States, either directly or indirectly.46587

       Sec. 5743.20.  No person shall sell any cigarettes both as a 46588
retail dealer and as a wholesale dealer at the same place of 46589
business. No person other than a licensed wholesale dealer shall 46590
sell cigarettes to a licensed retail dealer. No retail dealer 46591
shall purchase cigarettes from any person other than a licensed 46592
wholesale dealer.46593

       Subject to section 5743.031 of the Revised Code, a licensed 46594
wholesale dealer may not sell cigarettes to any person in this 46595
state other than a licensed retail dealer, except a licensed 46596
wholesale dealer may sell cigarettes to another licensed wholesale 46597
dealer if the tax commissioner has authorized the sale of the 46598
cigarettes between those wholesale dealers and the wholesale 46599
dealer that sells the cigarettes received them directly from a 46600
licensed manufacturer or licensed importer.46601

        The tax commissioner shall adopt rules governing sales of 46602
cigarettes between licensed wholesale dealers, including rules 46603
establishing criteria for authorizing such sales.46604

       No manufacturer or importer shall sell cigarettes to any 46605
person in this state other than to a licensed wholesale dealer or 46606
licensed importer. No importer shall purchase cigarettes from any 46607
person other than a licensed manufacturer or licensed importer.46608

       A retail dealer may purchase other tobacco products only from 46609
a licensed distributor. A licensed distributor may sell tobacco 46610
products only to a retail dealer, except a licensed distributor 46611
may sell tobacco products to another licensed distributor if the 46612
tax commissioner has authorized the sale of the tobacco products 46613
between those distributors and the distributor that sells the 46614
tobacco products received them directly from a manufacturer or 46615
importer of tobacco products.46616

        The tax commissioner may adopt rules governing sales of 46617
tobacco products between licensed distributors, including rules 46618
establishing criteria for authorizing such sales.46619

       The identities of licensed distributorscigarette 46620
manufacturers and importers, licensed cigarette wholesalers, 46621
licensed distributors of other tobacco products, and registered 46622
manufacturers, importers, and brokers of other tobacco products46623
are subject to public disclosure. The tax commissioner shall 46624
maintain an alphabetical list of all such distributors46625
manufacturers, importers, wholesalers, distributors, and brokers, 46626
shall post the list on a web site accessible to the public through 46627
the internet, and shall periodically update the web site posting.46628

       As used in this section, "licensed" means the manufacturer, 46629
importer, wholesale dealer, retail dealer, or distributor holds a 46630
current and valid license issued under section 5743.15 or 5743.61 46631
of the Revised Code, and "registered" means registered with the 46632
tax commissioner under section 5743.66 of the Revised Code.46633

       Sec. 5743.331.  Notwithstanding any other section in this 46634
chapter to the contrary, a person may use, store, or consume 46635
cigarettes with a wholesale value of not more than three hundred 46636
dollars in any month and not for resale in any qualifying border 46637
county without incurring liability for any tax levied under this 46638
chapter, and is not required to file any return that otherwise 46639
would be required under this chapter.46640

       As used in this section, "qualifying border county" is any 46641
county that shares a border with a state in which the total rate 46642
of excise tax on the sale or use of cigarettes exceeds the rate 46643
imposed by sections 5743.02 and 5743.32 of the Revised Code by at 46644
least forty-five mills per cigarette.46645

       Sec. 5745.02.  (A) The annual report filed under section46646
5745.03 of the Revised Code determines a taxpayer's Ohio net46647
income and the portion of Ohio net income to be apportioned to a46648
municipal corporation.46649

       (B) A taxpayer's Ohio net income is determined by multiplying 46650
the taxpayer's adjusted federal taxable income by the sum of the 46651
property factor multiplied by one-third, the payroll factor 46652
multiplied by one-third, and the sales factor multiplied by46653
one-third. If the denominator of one of the factors is zero, the46654
remaining two factors each shall be multiplied by one-half instead46655
of one-third; if the denominator of two of the factors is zero,46656
the remaining factor shall be multiplied by one. The property,46657
payroll, and sales factors shall be determined in the manner46658
prescribed by divisions (B)(1), (2), and (3) of this section.46659

       (1) The property factor is a fraction, the numerator of which46660
is the average value of the taxpayer's real and tangible personal46661
property owned or rented, and used in business in this state46662
during the taxable year, and the denominator of which is the46663
average value of all the taxpayer's real and tangible personal46664
property owned or rented, and used in business everywhere during46665
such year. Property owned by the taxpayer is valued at its46666
original cost. Property rented by the taxpayer is valued at eight46667
times the net annual rental rate. "Net annual rental rate" means46668
the annual rental rate paid by the taxpayer less any annual rental46669
rate received by the taxpayer from subrentals. The average value46670
of property shall be determined by averaging the values at the46671
beginning and the end of the taxable year, but the tax46672
commissioner may require the averaging of monthly values during46673
the taxable year, if reasonably required to reflect properly the46674
average value of the taxpayer's property.46675

       (2) The payroll factor is a fraction, the numerator of which46676
is the total amount paid in this state during the taxable year by46677
the taxpayer for compensation, and the denominator of which is the46678
total compensation paid everywhere by the taxpayer during such46679
year. Compensation means any form of remuneration paid to an46680
employee for personal services. Compensation is paid in this state 46681
if: (a) the recipient's service is performed entirely within this 46682
state, (b) the recipient's service is performed both within and 46683
without this state, but the service performed without this state 46684
is incidental to the recipient's service within this state, or (c) 46685
some of the service is performed within this state and either the 46686
base of operations, or if there is no base of operations, the 46687
place from which the service is directed or controlled is within 46688
this state, or the base of operations or the place from which the 46689
service is directed or controlled is not in any state in which 46690
some part of the service is performed, but the recipient's 46691
residence is in this state.46692

       (3) The sales factor is a fraction, the numerator of which is46693
the total sales in this state by the taxpayer during the taxable46694
year, and the denominator of which is the total sales by the46695
taxpayer everywhere during such year. Sales of electricity shall46696
be sitused to this state in the manner provided under section46697
5733.059 of the Revised Code. In determining the numerator and46698
denominator of the sales factor, receipts from the sale or other46699
disposal of a capital asset or an asset described in section 123146700
of the Internal Revenue Code shall be eliminated. Also, in46701
determining the numerator and denominator of the sales factor, in46702
the case of a reporting taxpayer owning at least eighty per cent46703
of the issued and outstanding common stock of one or more46704
insurance companies or public utilities, except an electric46705
company, a combined company, or a telephone company, or owning at46706
least twenty-five per cent of the issued and outstanding common46707
stock of one or more financial institutions, receipts received by46708
the reporting taxpayer from such utilities, insurance companies, 46709
and financial institutions shall be eliminated.46710

       For the purpose of division (B)(3) of this section, sales of46711
tangible personal property are in this state where such property46712
is received in this state by the purchaser. In the case of46713
delivery of tangible personal property by common carrier or by46714
other means of transportation, the place at which such property is46715
ultimately received after all transportation has been completed46716
shall be considered as the place at which such property is46717
received by the purchaser. Direct delivery in this state, other46718
than for purposes of transportation, to a person or firm46719
designated by a purchaser constitutes delivery to the purchaser in46720
this state, and direct delivery outside this state to a person or46721
firm designated by a purchaser does not constitute delivery to the46722
purchaser in this state, regardless of where title passes or other46723
conditions of sale.46724

       Sales, other than sales of electricity or tangible personal46725
property, are in this state if either the income-producing 46726
activity is performed solely in this state, or the 46727
income-producing activity is performed both within and without 46728
this state and a greater proportion of the income-producing 46729
activity is performed within this state than in any other state, 46730
based on costs of performance.46731

       For the purposes of division (B)(3) of this section, the tax 46732
commissioner may adopt rules to apportion sales within this state.46733

       (C) The portion of a taxpayer's Ohio net income taxable by46734
each municipal corporation imposing an income tax shall be46735
determined by multiplying the taxpayer's Ohio net income by the46736
sum of the municipal property factor multiplied by one-third, the46737
municipal payroll factor multiplied by one-third, and the46738
municipal sales factor multiplied by one-third, and subtracting46739
from the product so obtained any "municipal net operating loss46740
carryforward from prior taxable years." If the denominator of one46741
of the factors is zero, the remaining two factors each shall be46742
multiplied by one-half instead of one-third; if the denominator of46743
two of the factors is zero, the remaining factor shall be46744
multiplied by one. In calculating the "municipal net operating46745
loss carryforward from prior taxable years" for each municipal46746
corporation, net operating losses are apportioned in and out of a46747
municipal corporation for the taxable year in which the net46748
operating loss occurs in the same manner that positive net income46749
would have been so apportioned. Any net operating loss for a46750
municipal corporation may be applied to subsequent net income in46751
that municipal corporation to reduce that income to zero or until46752
the net operating loss has been fully used as a deduction. The46753
unused portion of net operating losses for each taxable year46754
apportioned to a municipal corporation may only be applied against46755
the income apportioned to that municipal corporation for five46756
subsequent taxable years. Net operating losses occurring in46757
taxable years ending before 2002 may not be subtracted under this46758
section.46759

       A taxpayer's municipal property, municipal payroll, and46760
municipal sales factors for a municipal corporation shall be46761
determined as provided in divisions (C)(1), (2), and (3) of this46762
section.46763

       (1) The municipal property factor is the quotient obtained by46764
dividing (a) the average value of real and tangible personal46765
property owned or rented by the taxpayer and used in business in46766
the municipal corporation during the taxable year by (b) the46767
average value of all of the taxpayer's real and tangible personal46768
property owned or rented and used in business during that taxable46769
year in this state. The value and average value of such property46770
shall be determined in the same manner provided in division (B)(1)46771
of this section.46772

       (2) The municipal payroll factor is the quotient obtained by46773
dividing (a) the total amount of compensation earned in the46774
municipal corporation by the taxpayer's employees during the46775
taxable year for services performed for the taxpayer and that is46776
subject to income tax withholding by the municipal corporation by46777
(b) the total amount of compensation paid by the taxpayer to its46778
employees in this state during the taxable year. Compensation has46779
the same meaning as in division (B)(2) of this section.46780

       (3) The municipal sales factor is a fraction, the numerator46781
of which is the taxpayer's total sales in a municipal corporation46782
during the taxable year, and the denominator of which is the46783
taxpayer's total sales in this state during such year.46784

       For the purpose of division (C)(3) of this section, sales of46785
tangible personal property are in the municipal corporation where46786
such property is received in the municipal corporation by the46787
purchaser. Sales of electricity directly to the consumercustomer, 46788
as defined in section 5733.059 of the Revised Code, shall be46789
considered sales of tangible personal property. In the case of the 46790
delivery of tangible personal property by common carrier or by46791
other means of transportation, the place at which such property46792
ultimately is received after all transportation has been completed46793
shall be considered as the place at which the property is received46794
by the purchaser. Direct delivery in the municipal corporation,46795
other than for purposes of transportation, to a person or firm46796
designated by a purchaser constitutes delivery to the purchaser in46797
that municipal corporation, and direct delivery outside the46798
municipal corporation to a person or firm designated by a46799
purchaser does not constitute delivery to the purchaser in that46800
municipal corporation, regardless of where title passes or other46801
conditions of sale. Sales, other than sales of tangible personal46802
property, are in the municipal corporation if either:46803

       (a) The income-producing activity is performed solely in the46804
municipal corporation;46805

       (b) The income-producing activity is performed both within46806
and without the municipal corporation and a greater proportion of46807
the income-producing activity is performed within that municipal46808
corporation than any other location in this state, based on costs46809
of performance.46810

       For the purposes of division (C)(3) of this section, the tax 46811
commissioner may adopt rules to apportion sales within each 46812
municipal corporation.46813

       (D) If a taxpayer is a combined company as defined in section46814
5727.01 of the Revised Code, the municipal property, payroll, and 46815
sales factors under division (C) of this section shall be adjusted 46816
as follows:46817

       (1) The numerator of the municipal property factor shall46818
include only the value, as determined under division (C)(1) of46819
this section, of the company's real and tangible property in the46820
municipal corporation attributed to the company's activity as an46821
electric company using the same methodology prescribed under46822
section 5727.03 of the Revised Code for taxable tangible personal46823
property.46824

       (2) The numerator of the municipal payroll factor shall46825
include only compensation paid in the municipal corporation by the46826
company to its employees for personal services rendered in the46827
company's activity as an electric company.46828

       (3) The numerator of the municipal sales factor shall include 46829
only the sales of tangible personal property and services, as 46830
determined under division (C)(3) of this section, made in the46831
municipal corporation in the course of the company's activity as46832
an electric company.46833

       (E)(1) If the provisions for apportioning adjusted federal46834
taxable income or Ohio net income under divisions (B), (C), and 46835
(D) of this section do not fairly represent business activity in 46836
this state or among municipal corporations, the tax commissioner 46837
may adopt rules for apportioning such income by an alternative46838
method that fairly represents business activity in this state or 46839
among municipal corporations.46840

       (2) If any of the factors determined under division (B), (C), 46841
or (D) of this section does not fairly represent the extent of a 46842
taxpayer's business activity in this state or among municipal46843
corporations, the taxpayer may request, or the tax commissioner46844
may require, that the taxpayer's adjusted federal taxable income46845
or Ohio net income be determined by an alternative method,46846
including any of the alternative methods enumerated in division46847
(B)(2)(d) of section 5733.05 of the Revised Code. A taxpayer46848
requesting an alternative method shall make the request in writing46849
to the tax commissioner either with the annual report, a timely46850
filed amended report, or a timely filed petition for reassessment.46851
When the tax commissioner requires or permits an alternative46852
method under division (E)(2) of this section, the tax commissioner46853
shall cause a written notice to that effect to be delivered to any46854
municipal corporation that would be affected by application of the46855
alternative method. Nothing in this division shall be construed46856
to extend any statute of limitations under this chapter.46857

       (F)(1) The tax commissioner may adopt rules providing for the 46858
combination of adjusted federal taxable incomes of taxpayers46859
satisfying the ownership or control requirements of section46860
5733.052 of the Revised Code if the tax commissioner finds that46861
such combinations are necessary to properly reflect adjusted46862
federal taxable income, Ohio net income, or the portion of Ohio46863
net income to be taxable by municipal corporations.46864

       (2) A taxpayer satisfying the ownership or control46865
requirements of section 5733.052 of the Revised Code with respect46866
to one or more other taxpayers may not combine their adjusted46867
federal taxable incomes for the purposes of this section unless46868
rules are adopted under division (F)(1) of this section allowing46869
such a combination or the tax commissioner finds that such a46870
combination is necessary to properly reflect the taxpayers'46871
adjusted federal taxable incomes, Ohio net incomes, or the portion46872
of Ohio net incomes to be subject to taxation within a municipal46873
corporation.46874

       (G) The tax commissioner may adopt rules providing for 46875
alternative apportionment methods for a telephone company.46876

       Sec. 5745.05.  (A) Prior to the first day of March, June,46877
September, and December, the tax commissioner shall certify to the46878
director of budget and management the amount to be paid to each46879
municipal corporation, as indicated on the declaration of46880
estimated tax reports and annual reports received under sections46881
5745.03 and 5745.04 of the Revised Code, less any amounts46882
previously distributed and net of any audit adjustments made by46883
the tax commissioner. Not later than the first day of March, June, 46884
September, and December, the director of budget and management 46885
shall provide for payment of the amount certified to each 46886
municipal corporation from the municipal income tax fund, plus a 46887
pro rata share of any investment earnings accruing to the fund 46888
since the previous payment under this section apportioned among 46889
municipal corporations entitled to such payments in proportion to 46890
the amount certified by the tax commissioner.46891

       (B) If the tax commissioner determines that the amount of tax46892
paid by a taxpayer and distributed to a municipal corporation46893
under this section for a taxable year exceeds the amount payable46894
to that municipal corporation under this chapter after accounting46895
for amounts remitted with the annual report and as estimated46896
taxes, the tax commissioner shall permit the taxpayer to credit46897
the excess against the taxpayer's payments to the municipal46898
corporation of estimated taxes remitted for an ensuing taxable46899
year under section 5745.04 of the Revised Code. If, upon the46900
written request of the taxpayer, the tax commissioner determines46901
that the excess to be so credited is likely to exceed the amount46902
of estimated taxes payable by the taxpayer to the municipal46903
corporation during the ensuing twelve months, the tax commissioner46904
shall so notify the municipal corporation and the municipal46905
corporation shall issue a refund of the excess to the taxpayer46906
within ninety days after receiving such a notice. Interest shall46907
accrue on the amount to be refunded and is payable to the taxpayer46908
at the rate per annum prescribed by section 5703.47 of the Revised46909
Code from the ninety-first day after the notice is received by the46910
municipal corporation until the day the refund is paid. 46911
Immediately after notifying a municipal corporation under this 46912
division of an excess to be refunded, the commissioner also shall 46913
notify the director of budget and management of the amount of the 46914
excess, and the director shall transfer from the municipal income 46915
tax administrative fund to the municipal income tax fund one and 46916
one-half per cent of the amount of the excess. The commissioner 46917
shall include the transferred amount in the computation of the 46918
amount due the municipal corporation in the next certification to 46919
the director under division (A) of this section.46920

       Sec. 5745.13.  If, upon examination of any books, records,46921
reports, or other documents of a taxpayer, the tax commissioner46922
determines that an adjustment shall be made in the portion of the46923
taxpayer's income that is to be apportioned to a municipal46924
corporation, the tax commissioner shall notify the taxpayer and,46925
if the adjustment causes an adjustment in the taxpayer's tax owed 46926
to a municipal corporation for the taxpayer's taxable year of more 46927
than five hundred dollars, shall notify each affectedthat46928
municipal corporation that the taxpayer's tax has been adjusted.46929

       Any municipal corporation to which such a notice is issued46930
may request a review and redetermination of the taxpayer's federal46931
taxable income, Ohio net income, or the portion of Ohio net income46932
apportioned to the municipal corporation by filing a petition with46933
the tax commissioner not later than sixty days after the tax46934
commissioner issues the notice. The petition shall be filed either 46935
personally or by certified mail, and shall indicate the objections 46936
of the municipal corporation.46937

       Upon receiving such a petition, if a hearing is requested the46938
tax commissioner shall assign a time and place for a hearing on46939
the petition and shall notify the petitioner of the time and place46940
of the hearing by ordinary mail. The tax commissioner may continue 46941
the hearing from time to time as necessary. The tax commissioner 46942
shall make any correction to the taxpayer's federal taxable 46943
income, Ohio net income, or apportionment of Ohio net income that 46944
the commissioner finds proper, and issue notice of any correction46945
by ordinary mail to the petitioner, to each other municipal 46946
corporation affected by the correction of the apportionment, and 46947
to the taxpayer. The tax commissioner's decision on the matter is 46948
final, and is not subject to further appeal.46949

       Sec. 5747.03.  (A) All money collected under this chapter46950
arising from the taxes imposed by section 5747.02 or 5747.41 of 46951
the Revised Code shall be credited to the general revenue fund, 46952
except that the treasurer of state shall:46953

       (1) Credit an amount equal to four and two-tenths per cent of 46954
those taxes collected under this chapter to the local government 46955
fund, which is hereby created in the state treasury, for46956
distribution in accordance with section 5747.50 of the Revised46957
Code;46958

       (2) Credit an amount equal to five and seven-tenths per cent 46959
of those taxes collected under this chapter to the library and46960
local government support fund, which is hereby created in the46961
state treasury, for distribution in accordance with section46962
5747.47 of the Revised Code;46963

       (3) At, at the beginning of each calendar quarter, credit to46964
the Ohio political party fund, pursuant to section 3517.16 of the46965
Revised Code, an amount equal to the total dollar value realized46966
from the taxpayer exercise of the income tax checkoff option on46967
tax forms processed during the preceding calendar quarter;46968

       (4) Credit an amount equal to six-tenths of one per cent of46969
those taxes collected under this chapter to the local government46970
revenue assistance fund for distribution in accordance with46971
section 5747.61 of the Revised Code.46972

       (B)(1) Following the crediting of moneys pursuant to division 46973
(A) of this section, the remainder deposited in the general 46974
revenue fund shall be distributed pursuant to division (F) of 46975
section 321.24 and section 323.156 of the Revised Code; to make 46976
subsidy payments to institutions of higher education from46977
appropriations to the Ohio board of regents; to support46978
expenditures for programs and services for the mentally ill,46979
mentally retarded, developmentally disabled, and elderly; for46980
primary and secondary education; for medical assistance; and for46981
any other purposes authorized by law, subject to the limitation46982
that at least fifty per cent of the income tax collected by the46983
state from the tax imposed by section 5747.02 of the Revised Code46984
shall be returned pursuant to Section 9 of Article XII, Ohio46985
Constitution.46986

       (2) To ensure that such constitutional requirement is46987
satisfied the tax commissioner shall, on or before the thirtieth46988
day of June of each year, from the best information available to46989
the tax commissioner, determine and certify for each county to the 46990
director of budget and management the amount of taxes collected 46991
under this chapter from the tax imposed under section 5747.02 of 46992
the Revised Code during the preceding calendar year that are 46993
required to be returned to the county by Section 9 of Article XII, 46994
Ohio Constitution. The director shall provide for payment from the46995
general revenue fund to the county in the amount, if any, that the 46996
sum of the amount so certified for that county exceeds the sum of 46997
the following:46998

       (a) The sum of the payments from the general revenue fund for 46999
the preceding calendar year credited to the credit of the county's47000
undivided income tax fund pursuant to division (F) of section47001
321.24 and section 323.156 of the Revised Code or made directly 47002
from the general revenue fund to political subdivisions located in 47003
the county;47004

       (b) The sum of the amounts from the general revenue fund47005
distributed in the county during the preceding calendar year for47006
subsidy payments to institutions of higher education from47007
appropriations to the Ohio board of regents; for programs and47008
services for mentally ill, mentally retarded, developmentally47009
disabled, and elderly persons; for primary and secondary47010
education; and for medical assistance.47011

       (c) TheIn the case of payments made by the director under 47012
this division in 2007, the total amount distributed to the county 47013
during the preceding calendar year from the local government fund 47014
and the local government revenue assistance fund, and, in the case 47015
of payments made by the director under this division in subsequent 47016
calendar years, the amount distributed to the county from the 47017
local communities fund;47018

       (d) TheIn the case of payments made by the director under 47019
this division in 2007, the total amount distributed to the county 47020
during the preceding calendar year from the library and local 47021
government support fund;47022

       (e) The amount distributed to the county during the preceding 47023
calendar year from the local government revenue assistance fund47024
and, in the case of payments made by the director under this 47025
division in subsequent calendar years, the amount distributed to 47026
the county from the local libraries fund.47027

       Payments under this division shall be credited to the47028
county's undivided income tax fund, except that, notwithstanding47029
section 5705.14 of the Revised Code, such payments may be47030
transferred by the board of county commissioners to the county47031
general fund by resolution adopted with the affirmative vote of47032
two-thirds of the members thereof.47033

       (C) All payments received in each month from taxes imposed47034
under Chapter 5748. of the Revised Code and any penalties or47035
interest thereon shall be paid into the school district income tax 47036
fund, which is hereby created in the state treasury, except that 47037
an amount equal to the following portion of such payments shall be 47038
paid into the general school district income tax administrative 47039
fund, which is hereby created in the state treasury:47040

       (1) One and three-quarters of one per cent of those received 47041
in fiscal year 1996;47042

       (2) One and one-half per cent of those received in fiscal47043
year 1997 and thereafter.47044

       Money in the school district income tax administrative fund47045
shall be used by the tax commissioner to defray costs incurred in47046
administering the school district's income tax, including the cost 47047
of providing employers with information regarding the rate of tax 47048
imposed by any school district. Any moneys remaining in the fund 47049
after such use shall be deposited in the school district income 47050
tax fund.47051

       All interest earned on moneys in the school district income 47052
tax fund shall be credited to the fund.47053

       (D)(1)(a) Within thirty days of the end of each calendar47054
quarter ending on the last day of March, June, September, and47055
December, the director of budget and management shall make a47056
payment from the school district income tax fund to each school47057
district for which school district income tax revenue was received 47058
during that quarter. The amount of the payment shall equal the 47059
balance in the school district's account at the end of that 47060
quarter.47061

       (b) After a school district ceases to levy an income tax, the47062
director of budget and management shall adjust the payments under 47063
division (D)(1)(a) of this section to retain sufficient money in47064
the school district's account to pay refunds. For the calendar 47065
quarters ending on the last day of March and December of the 47066
calendar year following the last calendar year the tax is levied, 47067
the director shall make the payments in the amount required under 47068
division (D)(1)(a) of this section. For the calendar quarter 47069
ending on the last day of June of the calendar year following the 47070
last calendar year the tax is levied, the director shall make a 47071
payment equal to nine-tenths of the balance in the account at the 47072
end of that quarter. For the calendar quarter ending on the last 47073
day of September of the calendar year following the last calendar 47074
year the tax is levied, the director shall make no payment. For 47075
the second and succeeding calendar years following the last 47076
calendar year the tax is levied, the director shall make one 47077
payment each year, within thirty days of the last day of June, in 47078
an amount equal to the balance in the district's account on the 47079
last day of June.47080

       (2) Moneys paid to a school district under this division47081
shall be deposited in its school district income tax fund. All47082
interest earned on moneys in the school district income tax fund47083
shall be apportioned by the tax commissioner pro rata among the47084
school districts in the proportions and at the times the districts 47085
are entitled to receive payments under this division.47086

       Sec. 5747.46.  As used in sections 5747.46 and 5747.47 of the 47087
Revised Code:47088

       (A) "Year's fund balance" means the amount credited to the47089
library and local government supportlibraries fund during a 47090
calendar year.47091

       (B) "Distribution year" means the calendar year during which 47092
a year's fund balance is distributed under section 5747.47 of the 47093
Revised Code.47094

       (C) "CPI" means the consumer price index for all urban47095
consumers (United States city average, all items), prepared by the 47096
United States department of labor, bureau of labor statistics.47097

       (D) "Inflation factor" means the quotient obtained by47098
dividing the CPI for May of the year preceding the distribution47099
year by the CPI for May of the second preceding year. If the the47100
quotient so obtained is less than one, the inflation factor shall47101
equal one.47102

       (E) "Population" means whichever of the following has most47103
recently been issued, as of the first day of June preceding the47104
distribution year:47105

       (1) The most recent decennial census figures that include47106
population figures for each county in the state;47107

       (2) The most current issue of "Current Population Reports:47108
Local Population Estimates" issued by the United States bureau of47109
the census that contains population estimates for each county in47110
the state and the state.47111

       (F) "County's equalization ratio for a distribution year"47112
means a percentage computed for that county as follows:47113

       (1) Square the per cent that the county's population is of47114
the state's population;47115

       (2) Divide the product so obtained by the per cent that the 47116
county's total entitlement for the preceding year is of all47117
counties' total entitlements for the preceding year;47118

       (3) Divide the quotient so obtained by the sum of the47119
quotients so obtained for all counties.47120

       (G) "Total entitlement" means, with respect to a distribution 47121
year, the sum of a county's guaranteed share plus its share of the 47122
excess.47123

       (1) "Guaranteed share" means, for a distribution year, the47124
product obtained by multiplying a county's total entitlement for47125
the preceding distribution year by the inflaction factor. If the47126
sum of the guaranteed shares for all counties exceeds the year's47127
fund balance, the guaranteed shares of all counties shall be47128
reduced by a percentage that will result in the sum of such47129
guaranteed shares being equal to the year's fund balance.47130

       (2) "Share of excess" means, for a distribution year, the47131
product obtained by multiplying a county's equalization ratio by47132
the difference between the year's fund balance and the sum of the47133
guaranteed shares for all counties. If the sum of the guaranteed47134
shares for all counties exceeds the year's fund balance the share47135
of the excess for all counties is zero.47136

       (H) "Net distribution" means the sum of the payments made to 47137
a county's library and local government supportlibraries fund 47138
during a distribution year, adjusted as follows:47139

       (1) If the county received an overpayment during the47140
preceding distribution year, add the amount of the overpayment;47141

       (2) If the county received an underpayment during the47142
preceding distribution year, deduct the amount of the47143
underpayment.47144

       (I) "Overpayment" or "underpayment" for a distribution year 47145
means the amount by which the net distribution to a county's47146
library and local government supportlibraries fund during that47147
distribution year exceeded or was less than the county's total47148
entitlement for that year.47149

       All computations made under this section shall be rounded to 47150
the nearest one-hundredth of one per cent.47151

       Sec. 5747.47. (A)(1) By the twentieth day of July of each 47152
year, the tax commissioner shall estimate and certify the 47153
following for each county to its county auditor:47154

       (a) Its guaranteed share of the ensuing year's fund balance;47155

       (b) Its share of the excess of the ensuing year's fund 47156
balance;47157

       (c) Its total entitlement.47158

       (2) In December and in June following such estimations and 47159
certifications, the commissioner shall revise such estimates and 47160
certify such revised estimates to the respective county auditors.47161

       (B) By the tenth day of each month the commissioner shall 47162
distribute the amount credited to the library and local government 47163
supportlibraries fund from taxes collected under this chapter 47164
during the preceding monthin the current month under section 47165
131.51 of the Revised Code. The distributions shall be made as 47166
follows:47167

       (1) During the first six months of each year, each county 47168
shall be paid a percentage of the balance that is the same per 47169
cent that the revised estimate of the county's total entitlement 47170
certified in December under division (A)(2) of this section is of 47171
the sum of such revised estimates of the total entitlements for 47172
all counties.47173

       (2) During the last six months, each county shall be paid a 47174
percentage of the balance that is the same per cent that the 47175
revised estimate of the county's total entitlement certified in 47176
June under division (A)(2) of this section is of the sum of such 47177
revised estimates of the total entitlements for all counties.47178

       (3) During each of the first six months of each year, the 47179
payments made to each county shall be adjusted as follows:47180

       (a) If the county received an overpayment during the 47181
preceding distribution year, reduce the sum of the payments by the 47182
amount of such overpayment. The reduction shall be apportioned 47183
over the six months.47184

       (b) If the county received an underpayment during the 47185
preceding distribution year, increase the sum of the payments by 47186
the amount of such underpayment. The increase shall be apportioned 47187
over the six months.47188

       (C) By the twentieth day of December of each year, the tax 47189
commissioner shall determine and certify to the auditor of each 47190
county each of the following with respect to the current 47191
distribution year:47192

       (1) The year's fund balance;47193

       (2) Each county's guaranteed share;47194

       (3) Each county's share of the excess;47195

       (4) Each county's total entitlement;47196

       (5) Each county's net distribution;47197

       (6) The amount by which each county's net distribution 47198
exceeded or was less than its total entitlement, which amount 47199
shall constitute the county's overpayment or underpayment for 47200
purposes of division (B)(3) of this section in the ensuing 47201
distribution year.47202

       Sec. 5747.48.  On the fifteenth day of each month, the county 47203
treasurer shall distribute the balance in the county library and47204
local government supportlibraries fund among the county, boards 47205
of public library trustees, municipal corporations, and boards of 47206
township park commissioners for which the county budget commission 47207
has fixed an allocation from the fund in that year in accordance 47208
with section 5705.32 of the Revised Code in the same proportions 47209
that each such entity's allocation as fixed by the commission is 47210
of the total of all such allocations in that year.47211

       All money received into the treasury of a municipal47212
corporation or county shall be credited to the general fund47213
therein, provided that in a municipal corporation there shall be47214
credited to the funds established under division (D) of section47215
5705.09 of the Revised Code a portion of the total amount to be47216
credited to funds of the municipal corporation, which portion47217
shall be determined by multiplying the total amount to be credited 47218
by the percentage that the funds credited under division (D) of 47219
said section in 1938 bore to all the funds credited under said 47220
section in 1938. If a municipal corporation is in default with 47221
respect to the principal or interest of any outstanding notes or 47222
bonds, the moneys distributed under this section shall be credited 47223
to the funds established under divisions (A), (B), (C), and (D) of 47224
section 5705.09 of the Revised Code, in the same proportion in 47225
which the funds derived from the levy for the previous year on the 47226
general tax list and duplicate are divided.47227

       Sec. 5747.50.  (A) As used in this section:47228

       (1) "County's proportionate share of the calendar year 2007 47229
LGF and LGRAF distributions" means the percentage computed for the 47230
county under division (B)(1)(a) of section 5747.501 of the Revised 47231
Code for use in the current calendar year.47232

       (2) "1983 share" means the sum of all payments made to a47233
county under section 5747.50 of the Revised Code during 1983 under 47234
all versions of such section that were in effect during such year 47235
plus the payments made to the county's undivided local government 47236
fund in 1983 from the tax imposed on deposits under division (C) 47237
of section 5707.03 of the Revised Code.47238

       (3) "Amount available for distribution under division (B) of 47239
this section" means for any calendar year, both of the following:47240

       (a) Nine-tenths of the difference between the amount47241
available for distribution under this section during that year and 47242
the deposit tax revenue of all counties;47243

       (b) The deposit tax revenue of all counties less six million 47244
dollars. 47245

       Each year, an amount equal to the amount available for47246
distribution under division (B) of this section shall be47247
distributed from the local government fund as provided in that47248
division. The balance in the fund available for distribution in47249
that year under this section and not available for distribution47250
under this division shall be distributed in accordance with47251
division (C) of this section. The tax commissioner shall determine 47252
in each month what proportion of that month's local government 47253
fund balance shall be distributed under division (B) of this 47254
section and what proportion shall be distributed under division 47255
(C) of this section"County's proportionate share of the total 47256
amount of the local communities fund additional revenue formula" 47257
means each county's proportionate share of the state's population 47258
as determined for and certified to the county for distributions to 47259
be made during the current calendar year under division (B)(2)(a) 47260
of section 5747.501 of the Revised Code. If prior to the first day 47261
of January of the current calendar year the federal government has 47262
issued a revision to the population figures reflected in the 47263
estimate produced pursuant to division (B)(2)(a) of section 47264
5747.501 of the Revised Code, such revised population figures 47265
shall be used for making the distributions during the current 47266
calendar year.47267

       (3) "2007 LGF and LGRAF county distribution base available in 47268
that month" means the lesser of the amounts described in division 47269
(A)(3)(a) and (b) of this section, provided that the amount shall 47270
not be less than zero:47271

       (a) The total amount available for distribution to counties 47272
from the local communities fund during the current month.47273

       (b) The total amount distributed to counties from the local 47274
government fund and the local government revenue assistance fund 47275
to counties in calendar year 2007 less the total amount 47276
distributed to counties under division (B)(1) of this section 47277
during previous months of the current calendar year.47278

       (4) "Local communities fund additional revenue distribution 47279
base available during that month" means the total amount available 47280
for distribution to counties during the month from the local 47281
communities fund, less any amounts to be distributed in that month 47282
from the local communities fund under division (B)(1) of this 47283
section, provided that the local communities fund additional 47284
revenue distribution base available during that month shall not be 47285
less than zero.47286

       (5) "Total amount available for distribution to counties" 47287
means the total amount available for distribution from the local 47288
communities fund during the current month less the total amount 47289
available for distribution to municipal corporations during the 47290
current month under division (C) of this section. 47291

       (B) On or before the tenth day of each month, the tax47292
commissioner shall provide for payment to the county treasurer of47293
each county of an amount equal to the sum of:47294

       (1) The county's proportionate share of the calendar year 47295
2007 LGF and LGRAF distributions multiplied by the 2007 LGF and 47296
LGRAF county distribution base available in that month, provided 47297
that if the 2007 LGF and LGRAF county distribution base available 47298
in that month is zero, no payment shall be made under division 47299
(B)(1) of this section for the month or the remainder of the 47300
calendar year; and47301

       (2) The county's proportionate share of the total amount of 47302
the local governmentcommunities fund additional revenue formula 47303
multiplied by the local communities fund additional revenue 47304
distribution base available for distribution during that month 47305
under this division, except as otherwise provided and in such a 47306
way that on the last day of each calendar year, each county shall 47307
have received an amount equal to its proportionate share of the 47308
amount available for distribution under this division during that 47309
year. Counties whose proportionate shares are less than their 1983 47310
shares shall receive an amount equal to their 1983 shares during 47311
the year in lieu of their proportionate shares, and the amounts 47312
required to be paid to all other counties shall be proportionately 47313
reduced to fund such deficiency. If any county receives payments 47314
in any year that exceed the amount to which it is entitled, that 47315
excess shall be deducted from the payments due the county in the 47316
ensuing calendar year and apportioned among and paid to the 47317
counties that did not receive any such excess.47318

       The amount paid to any county in any month shall not be less 47319
than twenty-five thousand dollars unless a smaller payment is 47320
required in order to avoid paying that county more during the year 47321
than the amount to which it is entitled for that year.47322

       Money received into the treasury of a county under this47323
division shall be credited to the undivided local government47324
communities fund in the treasury of the county on or before the 47325
fifteenth day of each month. TheOn or before the twentieth day of 47326
each month, the county auditor shall issue warrants against all of 47327
the undivided local governmentcommunities fund in the county 47328
treasury in the respective amounts allowed as provided in section 47329
5747.51 of the Revised Code, and the treasurer shall distribute 47330
and pay such sums to the subdivision therein. 47331

       (C)(1) As used in division (C) of this section:47332

       (a) "Total amount available for distribution to 47333
municipalities during the current month" means the product 47334
obtained by multiplying the total amount available for 47335
distribution from the local communities fund during the current 47336
month by the aggregate municipal share.47337

       (b) "Aggregate municipal share" means the quotient obtained 47338
by dividing the total amount distributed directly from the local 47339
government fund to municipal corporations during calendar year 47340
2007 by the total distributions from the local government fund and 47341
local government revenue assistance fund during calendar year 47342
2007.47343

       (2) On or before the tenth day of each month, the tax47344
commissioner shall provide for payment from the local communities 47345
fund to each municipal corporation which had in effect during the 47346
preceding calendar year a tax imposed under Chapter 718. of the 47347
Revised Code. The amount paid to each municipal corporation shall 47348
bear the samean amount equal to the product derived by 47349
multiplying the municipal corporation's percentage toof the total 47350
amount to be distributed to all such municipal corporations under 47351
this division as the total income taxes collected by such 47352
municipal corporation during the secondcalendar year preceding 47353
the year in which distribution is made bears to the total amount 47354
of such taxes collected by all municipal corporations during such 47355
period2007 by the total amount available for distribution to 47356
municipal corporations during the current month. Payments47357

       (3) Payments received by a municipal corporation under this 47358
division shall be paid into its general fund and may be used for 47359
any lawful purpose. 47360

       (4) The amount distributed to municipal corporations under 47361
this division during any calendar year shall not exceed the amount 47362
distributed directly from the local government fund to municipal 47363
corporations during calendar year 2007. If that maximum amount is 47364
reached during any month, distributions to municipal corporations 47365
in that month shall be as provided in divisions (C)(1) and (2) of 47366
this section, but no further distributions shall be made to 47367
municipal corporations under division (C) of this section during 47368
the remainder of the calendar year.47369

       (5) Upon being informed of a municipal corporation's 47370
dissolution, the tax commissioner shall cease providing for 47371
payments to that municipal corporation under division (C) of this 47372
section. The proportionate shares of the total amount available 47373
for distribution to each of the remaining municipal corporations 47374
under this division shall be increased on a pro rata basis.47375

       (D) Each municipal corporation which has in effect a tax47376
imposed under Chapter 718. of the Revised Code shall, no later47377
than the thirty-first day of August of each year, certify to the47378
tax commissioner the total amount of income taxes collected by47379
such municipal corporation pursuant to such chapter during the47380
preceding calendar year. The tax commissioner shallmay withhold47381
payment of local governmentcommunities fund moneys pursuant to 47382
division (C) of this section from any municipal corporation for 47383
failure to comply with this reporting requirement.47384

       Sec. 5747.501.  (A) ByOn or before the fifteenth47385
twenty-fifth day of DecemberJuly of each year, the tax 47386
commissioner shall estimate and certify to each county auditor the47387
amount to be paid intodistributed from the local government47388
communities fund for distribution to each undivided local 47389
communities fund during the following calendar year under section 47390
5747.50 of the Revised Code. The commissionerestimate shall then 47391
determineequal the sum of the separate amounts that would be paid 47392
to each county if the amount so certified were distributed47393
computed under divisions (A)(B)(1) and (2) of this section as 47394
follows:47395

       (1)(a) As used in this division and in section 5747.50 of the 47396
Revised Code, "deposit tax revenue" means one hundred forty-five 47397
and forty-five one-hundredths per cent of the payments made to the 47398
county's undivided local government fund in 1983 from the tax 47399
imposed on deposits under division (C) of section 5707.03 of the 47400
Revised Code.47401

       (b) Compute each county's deposit tax revenue.47402

       (c) Determine how much each county would receive if47403
nine-tenths of the difference between the amount certified under47404
division (A) of this section and the sum of all counties' deposit47405
tax revenues, less six million dollars, were allocated among the47406
counties in the following year as follows:47407

       (i) Seventy-five per cent of said amount shall be apportioned 47408
in the ratio that the total of the real, public utility, and 47409
tangible personal property tax duplicates of the municipal 47410
corporations, or parts thereof, in the county for the year next 47411
preceding the year in which the computation is made bears to the 47412
total aggregate real, public utility, and tangible personal 47413
property tax duplicates of all the municipal corporations in the 47414
state for the same year.47415

       (ii) Twenty-five per cent shall be apportioned among all the 47416
counties in the ratio that the population of the county at the 47417
last federal decennial census bears to the total population of the 47418
state.47419

       (iii) Adjust the sum of the allocations under divisions47420
(A)(1)(c)(i) and (ii) for each county so that the sum allocated to 47421
each county under those divisions is at least two hundred47422
twenty-five thousand dollars. If such an adjustment is made, the47423
sum of the apportionments to the counties for which no adjustment47424
is necessary shall be proportionately reduced so that the sum of47425
the allocations to all counties equals the amount to be allocated47426
under divisions (A)(1)(c)(i) to (iii) of this section.47427

       (d) Add the amount allocated to each county under division47428
(A)(1)(c) to its deposit tax revenue.47429

       (2) Determine how much each county would receive if47430
nine-tenths of the amount certified by the commissioner, less six47431
million dollars, were allocated in the manner prescribed by47432
division (A)(1)(c) of this section.47433

       (B) Upon the completion of the computations required by47434
division (A) of this section, the commissioner shall assign to47435
each county, the amount computed for it under division (A)(1)(d)47436
of this section or the amount computed under division (A)(2) of47437
this section, whichever is the higher amount, and compute the per47438
cent that the assigned amount for each county is of the sum of the 47439
assigned amounts for all counties. The percentage so computed 47440
shall be the proportionate share of the county for the following 47441
calendar year for purposes of making the distributions required by 47442
section 5747.50 of the Revised Code(1) The product obtained by 47443
multiplying the percentage described in division (B)(1)(a) of this 47444
section by the amount described in division (B)(1)(b) of this 47445
section.47446

       (a) Each county's proportionate share of the total amount 47447
distributed to the counties from the local government fund and the 47448
local government revenue assistance fund during calendar year 47449
2007.47450

       (b) The total amount distributed to counties from the local 47451
government fund and the local government revenue assistance fund 47452
during calendar year 2007 adjusted downward if, and to the extent 47453
that, total local communities fund distributions to counties for 47454
the following year are projected to be less than what was 47455
distributed to counties from the local government fund and local 47456
government revenue assistance fund during calendar year 2007.47457

       (2) The product obtained by multiplying the percentage 47458
described in division (B)(2)(a) of this section by the amount 47459
described in division (B)(2)(b) of this section.47460

       (a) Each county's proportionate share of the state's 47461
population as reflected in the most recent federal decennial 47462
census or the federal government's most recent census estimates, 47463
whichever represents the most recent year.47464

       (b) The amount by which total estimated distributions from 47465
the local communities fund during the immediately succeeding 47466
calendar year, less the total estimated amount to be distributed 47467
from the fund to municipal corporations under division (C) of 47468
section 5747.50 of the Revised Code during the immediately 47469
succeeding calendar year, exceed the total amount distributed to 47470
counties from the local government fund and local government 47471
revenue assistance fund during calendar year 2007.47472

       Sec. 5747.51.  (A) Within ten days afterOn or before the 47473
fifteenthtwenty-fifth day of July of each year, the tax 47474
commissioner shall make and certify to the county auditor of each 47475
county an estimate of the amount of the local government47476
communities fund to be allocated to the undivided local government47477
communities fund of each county for the ensuing calendar year and47478
the estimated amount to be received by the undivided local47479
governmentcommunities fund of each county from the taxes levied 47480
pursuant to section 5707.03 of the Revised Code for the ensuing 47481
calendar year.47482

       (B) At each annual regular session of the county budget47483
commission convened pursuant to section 5705.27 of the Revised47484
Code, each auditor shall present to the commission the certificate47485
of the commissioner, the annual tax budget and estimates, and the47486
records showing the action of the commission in its last preceding47487
regular session. The estimates shown on the certificate of the47488
commissioner of the amount to be allocated from the local47489
governmentcommunities fund and the amount to be received from47490
taxes levied pursuant to section 5707.03 of the Revised Code shall 47491
be combined into one total comprising the estimate of the47492
undivided local governmentcommunities fund of the county. The 47493
commission, after extending to the representatives of each 47494
subdivision an opportunity to be heard, under oath administered by 47495
any member of the commission, and considering all the facts and 47496
information presented to it by the auditor, shall determine the 47497
amount of the undivided local governmentcommunities fund needed 47498
by and to be apportioned to each subdivision for current operating 47499
expenses, as shown in the tax budget of the subdivision. This 47500
determination shall be made pursuant to divisions (C) to (I) of 47501
this section, unless the commission has provided for a formula 47502
pursuant to section 5747.53 of the Revised Code.47503

       Nothing in this section prevents the budget commission, for47504
the purpose of apportioning the undivided local government47505
communities fund, from inquiring into the claimed needs of any47506
subdivision as stated in its tax budget, or from adjusting claimed 47507
needs to reflect actual needs. For the purposes of this section,47508
"current operating expenses" means the lawful expenditures of a47509
subdivision, except those for permanent improvements and except47510
payments for interest, sinking fund, and retirement of bonds,47511
notes, and certificates of indebtedness of the subdivision.47512

       (C) The commission shall determine the combined total of the47513
estimated expenditures, including transfers, from the general fund47514
and any special funds other than special funds established for47515
road and bridge; street construction, maintenance, and repair;47516
state highway improvement; and gas, water, sewer, and electric47517
public utilities operated by a subdivision, as shown in the47518
subdivision's tax budget for the ensuing calendar year.47519

       (D) From the combined total of expenditures calculated47520
pursuant to division (C) of this section, the commission shall47521
deduct the following expenditures, if included in these funds in47522
the tax budget:47523

       (1) Expenditures for permanent improvements as defined in47524
division (E) of section 5705.01 of the Revised Code;47525

       (2) In the case of counties and townships, transfers to the47526
road and bridge fund, and in the case of municipalities, transfers47527
to the street construction, maintenance, and repair fund and the47528
state highway improvement fund;47529

       (3) Expenditures for the payment of debt charges;47530

       (4) Expenditures for the payment of judgments.47531

       (E) In addition to the deductions made pursuant to division47532
(D) of this section, revenues accruing to the general fund and any47533
special fund considered under division (C) of this section from47534
the following sources shall be deducted from the combined total of47535
expenditures calculated pursuant to division (C) of this section:47536

       (1) Taxes levied within the ten-mill limitation, as defined47537
in section 5705.02 of the Revised Code;47538

       (2) The budget commission allocation of estimated county47539
library and local government supportlibraries fund revenues to be47540
distributed pursuant to section 5747.48 of the Revised Code;47541

       (3) Estimated unencumbered balances as shown on the tax47542
budget as of the thirty-first day of December of the current year47543
in the general fund, but not any estimated balance in any special47544
fund considered in division (C) of this section;47545

       (4) Revenue, including transfers, shown in the general fund47546
and any special funds other than special funds established for47547
road and bridge; street construction, maintenance, and repair;47548
state highway improvement; and gas, water, sewer, and electric47549
public utilities, from all other sources except those that a47550
subdivision receives from an additional tax or service charge47551
voted by its electorate or receives from special assessment or47552
revenue bond collection. For the purposes of this division, where47553
the charter of a municipal corporation prohibits the levy of an47554
income tax, an income tax levied by the legislative authority of47555
such municipal corporation pursuant to an amendment of the charter47556
of that municipal corporation to authorize such a levy represents47557
an additional tax voted by the electorate of that municipal47558
corporation. For the purposes of this division, any measure47559
adopted by a board of county commissioners pursuant to section47560
322.02, 324.02, 4504.02, or 5739.021 of the Revised Code,47561
including those measures upheld by the electorate in a referendum47562
conducted pursuant to section 322.021, 324.021, 4504.021, or47563
5739.022 of the Revised Code, shall not be considered an47564
additional tax voted by the electorate.47565

       Subject to division (G) of section 5705.29 of the Revised47566
Code, money in a reserve balance account established by a county,47567
township, or municipal corporation under section 5705.13 of the47568
Revised Code shall not be considered an unencumbered balance or47569
revenue under division (E)(3) or (4) of this section. Money in a 47570
reserve balance account established by a township under section 47571
5705.132 of the Revised Code shall not be considered an 47572
unencumbered balance or revenue under division (E)(3) or (4) of 47573
this section.47574

       If a county, township, or municipal corporation has created47575
and maintains a nonexpendable trust fund under section 5705.131 of47576
the Revised Code, the principal of the fund, and any additions to47577
the principal arising from sources other than the reinvestment of47578
investment earnings arising from such a fund, shall not be47579
considered an unencumbered balance or revenue under division47580
(E)(3) or (4) of this section. Only investment earnings arising47581
from investment of the principal or investment of such additions47582
to principal may be considered an unencumbered balance or revenue47583
under those divisions.47584

       (F) The total expenditures calculated pursuant to division47585
(C) of this section, less the deductions authorized in divisions47586
(D) and (E) of this section, shall be known as the "relative need"47587
of the subdivision, for the purposes of this section.47588

       (G) The budget commission shall total the relative need of47589
all participating subdivisions in the county, and shall compute a47590
relative need factor by dividing the total estimate of the47591
undivided local government fund by the total relative need of all47592
participating subdivisions.47593

       (H) The relative need of each subdivision shall be multiplied 47594
by the relative need factor to determine the proportionate share 47595
of the subdivision in the undivided local governmentcommunities47596
fund of the county; provided, that the maximum proportionate share 47597
of a county shall not exceed the following maximum percentages of 47598
the total estimate of the undivided local governmentcommunities47599
fund governed by the relationship of the percentage of the 47600
population of the county that resides within municipal47601
corporations within the county to the total population of the47602
county as reported in the reports on population in Ohio by the47603
department of development as of the twentieth day of July of the47604
year in which the tax budget is filed with the budget commission:47605

Percentage of Percentage share 47606
municipal population of the county 47607
within the county: shall not exceed: 47608
Less than forty-one per cent Sixty per cent 47609
Forty-one per cent or more but less 47610
than eighty-one per cent Fifty per cent 47611
Eighty-one per cent or more Thirty per cent 47612

       Where the proportionate share of the county exceeds the47613
limitations established in this division, the budget commission47614
shall adjust the proportionate shares determined pursuant to this47615
division so that the proportionate share of the county does not47616
exceed these limitations, and it shall increase the proportionate47617
shares of all other subdivisions on a pro rata basis. In counties47618
having a population of less than one hundred thousand, not less47619
than ten per cent shall be distributed to the townships therein.47620

       (I) The proportionate share of each subdivision in the47621
undivided local governmentcommunities fund determined pursuant to 47622
division (H) of this section for any calendar year shall not be 47623
less than the product of the average of the percentages of the 47624
undivided local government fund of the county as apportioned to 47625
that subdivision for the calendar years 1968, 1969, and 1970,47626
multiplied by the total amount of the undivided local government47627
fund of the county apportioned pursuant to former section 5735.2347628
of the Revised Code for the calendar year 1970. For the purposes47629
of this division, the total apportioned amount for the calendar47630
year 1970 shall be the amount actually allocated to the county in47631
1970 from the state collected intangible tax as levied by section47632
5707.03 of the Revised Code and distributed pursuant to section47633
5725.24 of the Revised Code, plus the amount received by the47634
county in the calendar year 1970 pursuant to division (B)(1) of47635
former section 5739.21 of the Revised Code, and distributed47636
pursuant to former section 5739.22 of the Revised Code. If the47637
total amount of the undivided local governmentcommunities fund 47638
for any calendar year is less than the amount of the undivided 47639
local government fund apportioned pursuant to former section 47640
5739.23 of the Revised Code for the calendar year 1970, the 47641
minimum amount guaranteed to each subdivision for that calendar 47642
year pursuant to this division shall be reduced on a basis 47643
proportionate to the amount by which the amount of the undivided 47644
local governmentcommunities fund for that calendar year is less 47645
than the amount of the undivided local government fund apportioned 47646
for the calendar year 1970.47647

       (J) On the basis of such apportionment, the county auditor47648
shall compute the percentage share of each such subdivision in the47649
undivided local governmentcommunities fund and shall at the same 47650
time certify to the tax commissioner the percentage share of the47651
county as a subdivision. No payment shall be made from the47652
undivided local governmentcommunities fund, except in accordance 47653
with such percentage shares.47654

       Within ten days after the budget commission has made its47655
apportionment, whether conducted pursuant to section 5747.51 or47656
5747.53 of the Revised Code, the auditor shall publish a list of47657
the subdivisions and the amount each is to receive from the47658
undivided local governmentcommunities fund and the percentage 47659
share of each subdivision, in a newspaper or newspapers of 47660
countywide circulation, and send a copy of such allocation to the 47661
tax commissioner.47662

       The county auditor shall also send by certified mail, return47663
receipt requested, a copy of such allocation to the fiscal officer47664
of each subdivision entitled to participate in the allocation of47665
the undivided local governmentcommunities fund of the county.47666
This copy shall constitute the official notice of the commission47667
action referred to in section 5705.37 of the Revised Code.47668

       All money received into the treasury of a subdivision from47669
the undivided local governmentcommunities fund in a county 47670
treasury shall be paid into the general fund and used for the 47671
current operating expenses of the subdivision.47672

       If a municipal corporation maintains a municipal university,47673
such municipal university, when the board of trustees so requests47674
the legislative authority of the municipal corporation, shall47675
participate in the money apportioned to such municipal corporation47676
from the total local governmentcommunities fund, however created 47677
and constituted, in such amount as requested by the board of 47678
trustees, provided such sum does not exceed nine per cent of the 47679
total amount paid to the municipal corporation.47680

       If any public official fails to maintain the records required47681
by sections 5747.50 to 5747.55 of the Revised Code or by the rules47682
issued by the tax commissioner, the auditor of state, or the47683
treasurer of state pursuant to such sections, or fails to comply47684
with any law relating to the enforcement of such sections, the47685
local governmentcommunities fund money allocated to the county47686
shallmay be withheld until such time as the public official has47687
complied with such sections or such law or the rules issued47688
pursuant thereto.47689

       Sec. 5747.52.  The form used by the county budget commission 47690
to calculate subdivision shares of the undivided local government47691
communities fund as apportioned pursuant to section 5747.51 of the47692
Revised Code shall be as follows:47693

Calculation of (name of subdivision) share of
47694

undivided local
government
communities
fund for
47695

(name of county) county
47696

Authorized expenditure for subdivision Total 47697
1. Estimated expenditures from general fund ..... 47698
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 ..... 47699
3. Total ..... 47700
Deductions from authorized expenditures 47701
4. Expenditures for permanent improvements ..... 47702
5. Transfers to road and bridge fund (counties and townships only) ..... 47703
6. Transfers to street construction, maintenance, and repair, and state highway improvements funds ..... 47704
7. Expenditures for the payment of debt charges ..... 47705
8. Expenditures for the payment of judgments ..... 47706
9. Taxes levied inside the "ten-mill limitation" ..... 47707
10. Budget commission allocation of estimated county library and local government support libraries fund revenues ..... 47708
11. Estimated unemcumbered balances as of December 31 of current year in the general funds as stated in the tax budget ..... 47709
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 ..... 47710
13. Total ..... 47711
Calculation of subdivision share 47712
14. Relative need of subdivision (line 3 less line 13) ..... 47713
15. Relative need factor for county (total estimate of undivided local government communities fund divided by total relative need of all participating subdivisions) ..... 47714
16. Proportionate share of subdivision (relative need of subdivision multiplied by relative need factor) ..... 47715
17. After any adjustments necessary to comply with statutory maximum share allowable to county ..... 47716
18. After any adjustments necessary to comply with statutory minimum share allowable to townships ..... 47717
19. After any adjustments necessary to comply with minimum guarantee in division (I) of section 5747.51 of the Revised Code ..... 47718
20. Proportionate share of subdivision (line 16, 17, 18, or 19, whichever is appropriate) ..... 47719

       Sec. 5747.53.  (A) As used in this section:47720

       (1) "City, located wholly or partially in the county, with47721
the greatest population" means the city, located wholly or47722
partially in the county, with the greatest population residing in47723
the county; however, if the county budget commission on or before47724
January 1, 1998, adopted an alternative method of apportionment47725
that was approved by the legislative authority of the city,47726
located partially in the county, with the greatest population but47727
not the greatest population residing in the county, "city, located47728
wholly or partially in the county, with the greatest population"47729
means the city, located wholly or partially in the county, with47730
the greatest population whether residing in the county or not, if47731
this alternative meaning is adopted by action of the board of47732
county commissioners and a majority of the boards of township47733
trustees and legislative authorities of municipal corporations47734
located wholly or partially in the county. If the county budget 47735
commission adopted a method or formula for apportioning the 47736
undivided local government fund under this section as this section 47737
existed on the effective date of its amendment by H.B. 119 of the 47738
127th general assembly, and, if it were not for the amendment 47739
replacing "undivided local government fund" with "undivided local 47740
communities fund" the undivided local government fund would have 47741
been apportioned among subdivisions eligible to participate in the 47742
fund on the basis of such method or formula, then such method or 47743
formula shall be used to apportion the undivided local communities 47744
fund among subdivisions eligible to participate in the fund.47745

       (2) "Participating political subdivision" means a municipal47746
corporation or township that satisfies all of the following:47747

       (a) It is located wholly or partially in the county.47748

       (b) It is not the city, located wholly or partially in the47749
county, with the greatest population.47750

       (c) Undivided local governmentcommunities fund moneys are 47751
apportioned to it under the county's alternative method or formula 47752
of apportionment in the current calendar year.47753

       (B) In lieu of the method of apportionment of the undivided47754
local governmentcommunities fund of the county provided by47755
section 5747.51 of the Revised Code, the county budget commission47756
may provide for the apportionment of the fund under an alternative 47757
method or on a formula basis as authorized by this section.47758

       Except as otherwise provided in division (C) of this section,47759
the alternative method of apportionment shall have first been47760
approved by all of the following governmental units: the board of47761
county commissioners; the legislative authority of the city,47762
located wholly or partially in the county, with the greatest47763
population; and a majority of the boards of township trustees and47764
legislative authorities of municipal corporations, located wholly47765
or partially in the county, excluding the legislative authority of47766
the city, located wholly or partially in the county, with the47767
greatest population. In granting or denying approval for an47768
alternative method of apportionment, the board of county47769
commissioners, boards of township trustees, and legislative47770
authorities of municipal corporations shall act by motion. A47771
motion to approve shall be passed upon a majority vote of the47772
members of a board of county commissioners, board of township47773
trustees, or legislative authority of a municipal corporation,47774
shall take effect immediately, and need not be published.47775

       Any alternative method of apportionment adopted and approved47776
under this division may be revised, amended, or repealed in the47777
same manner as it may be adopted and approved. If an alternative47778
method of apportionment adopted and approved under this division47779
is repealed, the undivided local governmentcommunities fund of 47780
the county shall be apportioned among the subdivisions eligible to47781
participate in the fund, commencing in the ensuing calendar year,47782
under the apportionment provided in section 5747.52 of the Revised47783
Code, unless the repeal occurs by operation of division (C) of47784
this section or a new method for apportionment of the fund is47785
provided in the action of repeal.47786

       (C) This division applies only in counties in which the city,47787
located wholly or partially in the county, with the greatest47788
population has a population of twenty thousand or less and a47789
population that is less than fifteen per cent of the total47790
population of the county. In such a county, the legislative47791
authorities or boards of township trustees of two or more47792
participating political subdivisions, which together have a47793
population residing in the county that is a majority of the total47794
population of the county, each may adopt a resolution to exclude47795
the approval otherwise required of the legislative authority of47796
the city, located wholly or partially in the county, with the47797
greatest population. All of the resolutions to exclude that47798
approval shall be adopted not later than the first Monday of47799
August of the year preceding the calendar year in which47800
distributions are to be made under an alternative method of47801
apportionment.47802

       A motion granting or denying approval of an alternative47803
method of apportionment under this division shall be adopted by a47804
majority vote of the members of the board of county commissioners47805
and by a majority vote of a majority of the boards of township47806
trustees and legislative authorities of the municipal corporations47807
located wholly or partially in the county, other than the city,47808
located wholly or partially in the county, with the greatest47809
population, shall take effect immediately, and need not be47810
published. The alternative method of apportionment under this47811
division shall be adopted and approved annually, not later than47812
the first Monday of August of the year preceding the calendar year47813
in which distributions are to be made under it. A motion granting47814
approval of an alternative method of apportionment under this47815
division repeals any existing alternative method of apportionment,47816
effective with distributions to be made from the fund in the47817
ensuing calendar year. An alternative method of apportionment47818
under this division shall not be revised or amended after the47819
first Monday of August of the year preceding the calendar year in47820
which distributions are to be made under it.47821

       (D) In determining an alternative method of apportionment47822
authorized by this section, the county budget commission may47823
include in the method any factor considered to be appropriate and47824
reliable, in the sole discretion of the county budget commission.47825

       (E) The limitations set forth in section 5747.51 of the47826
Revised Code, stating the maximum amount that the county may47827
receive from the undivided local governmentcommunities fund and 47828
the minimum amount the townships in counties having a population 47829
of less than one hundred thousand may receive from the fund, are47830
applicable to any alternative method of apportionment authorized47831
under this section.47832

       (F) On the basis of any alternative method of apportionment47833
adopted and approved as authorized by this section, as certified47834
by the auditor to the county treasurer, the county treasurer shall47835
make distribution of the money in the undivided local government47836
communities fund to each subdivision eligible to participate in 47837
the fund, and the auditor, when the amount of those shares is in 47838
the custody of the treasurer in the amounts so computed to be due 47839
the respective subdivisions, shall at the same time certify to the 47840
tax commissioner the percentage share of the county as a 47841
subdivision. All money received into the treasury of a subdivision 47842
from the undivided local governmentcommunities fund in a county47843
treasury shall be paid into the general fund and used for the47844
current operating expenses of the subdivision. If a municipal47845
corporation maintains a municipal university, the university, when47846
the board of trustees so requests the legislative authority of the 47847
municipal corporation, shall participate in the money apportioned 47848
to the municipal corporation from the total local government47849
communities fund, however created and constituted, in the amount 47850
requested by the board of trustees, provided that amount does not47851
exceed nine per cent of the total amount paid to the municipal47852
corporation.47853

       (G) The actions of the county budget commission taken47854
pursuant to this section are final and may not be appealed to the47855
board of tax appeals, except on the issues of abuse of discretion47856
and failure to comply with the formula.47857

       Sec. 5747.54.  The tax commissioner shall not distributemay 47858
withhold distributions of local governmentcommunities fund money 47859
to any county where the county auditor has failed to certify to 47860
the tax commissioner the percentage share of the undivided local 47861
governmentcommunities fund of the county as a subdivision for the 47862
year for which distribution is to be made. The director shallof 47863
budget and management may direct the tax commissioner to withhold 47864
from sucha county the percentage of the amount distributable 47865
thereto that constitutes the share of the county as a subdivision 47866
of the local communities fund so long as such county is indebted 47867
or otherwise obligated to the state, until such indebtedness or 47868
other obligation has been duly paid, but no distribution of such 47869
percentage share of the local governmentcommunities fund shall be 47870
withheld unless an itemized statement of such indebtedness is 47871
furnished the county auditor of the county from which the 47872
indebtedness is due at least thirty days prior to the withholding 47873
of the distribution.47874

       Any indebtedness or obligation of the state to a county shall 47875
be deducted from the amount owing to the state by such county in 47876
determining the indebtedness or obligation as to which47877
distribution is withheld.47878

       Sec. 5747.55.  The action of the county budget commission47879
under sections 5747.51 and 5747.62 of the Revised Code may be47880
appealed to the board of tax appeals in the manner and with the47881
effect provided in section 5705.37 of the Revised Code, in47882
accordance with the following rules:47883

       (A) The notice of appeal shall be signed by the authorized47884
fiscal officer and shall set forth in clear and concise language:47885

       (1) A statement of the action of the budget commission47886
appealed from, and the date of the receipt by the subdivision of47887
the official certificate or notice of such action;47888

       (2) The error or errors the taxing district believes the47889
budget commission made;47890

       (3) The specific relief sought by the taxing district.47891

       (B) The notice of appeal shall have attached thereto:47892

       (1) A certified copy of the resolution of the taxing47893
authority authorizing the fiscal officer to file the appeal;47894

       (2) An exact copy of the official certificate, or notice of 47895
the action of the budget commission appealed from;47896

       (3) An exact copy of the budget request filed with the budget 47897
commission by the complaining subdivision, with the date of filing 47898
noted thereon.47899

       (C) There shall also be attached to the notice of appeal a47900
statement showing:47901

       (1) The name of the fund involved, the total amount in47902
dollars allocated, and the exact amount in dollars allocated to47903
each participating subdivision;47904

       (2) The amount in dollars which the complaining subdivision 47905
believes it should have received;47906

       (3) The name of each participating subdivision, as well as47907
the name and address of the fiscal officer thereof, that the47908
complaining subdivision believes received more than its proper47909
share of the allocation, and the exact amount in dollars of such47910
alleged over-allocation.47911

       (D) Only the participating subdivisions named pursuant to47912
division (C) of this section are to be considered as appellees47913
before the board of tax appeals and no change shall, in any47914
amount, be made in the amount allocated to participating47915
subdivisions not appellees.47916

       (E) The total of the undivided local government fund or,47917
undivided local government revenue assistance fund, or local 47918
communities fund to be allocated by the board of tax appeals upon 47919
appeal is the total of that fund allocated by the budget 47920
commission to those subdivisions which are appellants and 47921
appellees before the board of tax appeals.47922

       Sec. 5747.77.  (A) As used in this section:47923

       (1) "Alternative fuel" means E85 blend fuel or blended 47924
biodiesel.47925

       (2) "Biodiesel" means a mono-alkyl ester combustible liquid 47926
fuel that is derived from vegetable oils or animal fats, or any 47927
combination of those reagents that meets the American society for 47928
testing and materials specification for biodiesel fuel (B100) 47929
blend stock distillate fuels.47930

       (3) "Blended biodiesel" means a blend of biodiesel with 47931
petroleum based diesel fuel in which the resultant product 47932
contains not less than twenty per cent biodiesel and meets the 47933
American society for testing and materials specification for 47934
blended diesel fuel.47935

       (4) "Diesel fuel" means any liquid fuel that is capable of 47936
use in discrete form or as a blend component in the operation of 47937
engines of the diesel type.47938

       (5) "Ethanol" means fermentation ethyl alcohol derived from 47939
agricultural products, including potatoes, cereal, grains, cheese 47940
whey, and sugar beets; forest products; or other renewable 47941
resources, including residue and waste generated from the 47942
production, processing, and marketing of agricultural products, 47943
forest products, and other renewable resources that meet all of 47944
the specifications in the American society for testing and 47945
materials (ASTM) specification D 4806-88 and is denatured as 47946
specified in Parts 20 and 21 of Title 27 of the Code of Federal 47947
Regulations.47948

       (6) "E85 blend fuel" means fuel containing eighty-five per 47949
cent or more ethanol, or containing any other percentage of not 47950
less than seventy per cent ethanol if the United States department 47951
of energy determines, by rule, that the lower percentage is 47952
necessary to provide for the requirements of cold start, safety, 47953
or other vehicle functions, and that meets the American society 47954
for testing and materials specification for E85 blend fuel.47955

       (7) "Retail dealer" means any person that is a taxpayer under 47956
this chapter that owns or operates a retail service station 47957
located in this state.47958

       (8) "Retail service station" means a location from which 47959
alternative fuel is sold to the general public and is dispensed or 47960
pumped directly into motor vehicle fuel tanks for consumption.47961

       (B) For taxable years ending in 2008 or 2009, there is hereby 47962
allowed a refundable credit against the tax imposed by section 47963
5747.02 of the Revised Code for a retail dealer that sells 47964
alternative fuel. The credit for a dealer's taxable year ending in 47965
2008 shall equal fifteen cents per gallon of alternative fuel sold 47966
and dispensed through a metered pump at the retail dealer's retail 47967
service station during any part of calendar year 2007 or 2008 47968
included in that taxable year. The credit for a dealer's taxable 47969
year ending in 2009 shall equal fifteen cents per gallon of 47970
alternative fuel sold and dispensed through a metered pump at the 47971
retail dealer's retail service station during any part of calendar 47972
year 2008 included in that taxable year, plus thirteen cents per 47973
gallon of alternative fuel sold and dispensed in that manner 47974
during any part of calendar year 2009 included in that taxable 47975
year.47976

       The credit shall be calculated separately for each retail 47977
service station owned or operated by the retail dealer. The credit 47978
allowed under this section may not be claimed for alternative fuel 47979
sold or dispensed before January 1, 2008, or on or after January 47980
1, 2010.47981

       (C) The retail dealer shall claim the credit under this 47982
section in the order prescribed in section 5747.98 of the Revised 47983
Code. If the amount of the credit exceeds the amount of tax 47984
otherwise due under section 5747.02 of the Revised Code, after 47985
deducting all other credits that precede the credit allowed under 47986
this section in that order, the excess shall be refunded to the 47987
retail dealer.47988

       (D) Nothing in this section limits or disallows pass-through 47989
treatment of the credit if the retail dealer is a pass-through 47990
entity. If the retail dealer is a pass-through entity, references 47991
in other divisions of this section to "taxable year" refer to the 47992
dealer's taxable year; an equity owner of the entity that is a 47993
taxpayer may claim the owner's distributive or proportionate share 47994
of the credit for the equity owner's taxable year that includes 47995
the last day of the entity's taxable year.47996

       Sec. 5747.98.  (A) To provide a uniform procedure for47997
calculating the amount of tax due under section 5747.02 of the47998
Revised Code, a taxpayer shall claim any credits to which the47999
taxpayer is entitled in the following order:48000

       (1) The retirement income credit under division (B) of48001
section 5747.055 of the Revised Code;48002

       (2) The senior citizen credit under division (C) of section48003
5747.05 of the Revised Code;48004

       (3) The lump sum distribution credit under division (D) of48005
section 5747.05 of the Revised Code;48006

       (4) The dependent care credit under section 5747.054 of the48007
Revised Code;48008

       (5) The lump sum retirement income credit under division (C)48009
of section 5747.055 of the Revised Code;48010

       (6) The lump sum retirement income credit under division (D)48011
of section 5747.055 of the Revised Code;48012

       (7) The lump sum retirement income credit under division (E)48013
of section 5747.055 of the Revised Code;48014

       (8) The low-income credit under section 5747.056 of the 48015
Revised Code;48016

       (9) The credit for displaced workers who pay for job training 48017
under section 5747.27 of the Revised Code;48018

       (10) The campaign contribution credit under section 5747.2948019
of the Revised Code;48020

       (11) The twenty-dollar personal exemption credit under48021
section 5747.022 of the Revised Code;48022

       (12) The joint filing credit under division (G) of section48023
5747.05 of the Revised Code;48024

       (13) The nonresident credit under division (A) of section48025
5747.05 of the Revised Code;48026

       (14) The credit for a resident's out-of-state income under48027
division (B) of section 5747.05 of the Revised Code;48028

       (15) The credit for employers that enter into agreements with 48029
child day-care centers under section 5747.34 of the Revised Code;48030

       (16) The credit for employers that reimburse employee child 48031
care expenses under section 5747.36 of the Revised Code;48032

       (17) The credit for adoption of a minor child under section48033
5747.37 of the Revised Code;48034

       (18) The credit for purchases of lights and reflectors under48035
section 5747.38 of the Revised Code;48036

       (19) The job retention credit under division (B) of section48037
5747.058 of the Revised Code;48038

       (20) The credit for purchases of new manufacturing machinery48039
and equipment under section 5747.26 or section 5747.261 of the48040
Revised Code;48041

       (21) The second credit for purchases of new manufacturing48042
machinery and equipment and the credit for using Ohio coal under48043
section 5747.31 of the Revised Code;48044

       (22) The job training credit under section 5747.39 of the48045
Revised Code;48046

       (23) The enterprise zone credit under section 5709.66 of the48047
Revised Code;48048

       (24) The credit for the eligible costs associated with a48049
voluntary action under section 5747.32 of the Revised Code;48050

       (25) The credit for employers that establish on-site child48051
day-care centers under section 5747.35 of the Revised Code;48052

       (26) The ethanol plant investment credit under section48053
5747.75 of the Revised Code;48054

       (27) The credit for purchases of qualifying grape production48055
property under section 5747.28 of the Revised Code;48056

       (28) The export sales credit under section 5747.057 of the48057
Revised Code;48058

       (29) The credit for research and development and technology48059
transfer investors under section 5747.33 of the Revised Code;48060

       (30) The enterprise zone credits under section 5709.65 of the48061
Revised Code;48062

       (31) The research and development credit under section 48063
5747.331 of the Revised Code;48064

       (32) The refundable credit for rehabilitating a historic 48065
building under section 5747.76 of the Revised Code;48066

       (33) The refundable jobs creation credit under division (A)48067
of section 5747.058 of the Revised Code;48068

       (34) The refundable credit for taxes paid by a qualifying48069
entity granted under section 5747.059 of the Revised Code;48070

       (35) The refundable credits for taxes paid by a qualifying48071
pass-through entity granted under division (J) of section 5747.0848072
of the Revised Code;48073

       (36) The refundable credit for tax withheld under division48074
(B)(1) of section 5747.062 of the Revised Code;48075

       (37) The refundable credit under section 5747.80 of the 48076
Revised Code for losses on loans made to the Ohio venture capital 48077
program under sections 150.01 to 150.10 of the Revised Code;48078

       (38) The refundable credit for selling alternative fuel under 48079
section 5747.77 of the Revised Code.48080

       (B) For any credit, except the credits enumerated in 48081
divisions (A)(32) to (37)(38) of this section and the credit 48082
granted under division (I) of section 5747.08 of the Revised Code, 48083
the amount of the credit for a taxable year shall not exceed the 48084
tax due after allowing for any other credit that precedes it in 48085
the order required under this section. Any excess amount of a 48086
particular credit may be carried forward if authorized under the 48087
section creating that credit. Nothing in this chapter shall be 48088
construed to allow a taxpayer to claim, directly or indirectly, a48089
credit more than once for a taxable year.48090

       Sec. 5748.01.  As used in this chapter:48091

       (A) "School district income tax" means an income tax adopted 48092
under one of the following:48093

       (1) Former section 5748.03 of the Revised Code as it existed 48094
prior to its repeal by Amended Substitute House Bill No. 291 of 48095
the 115th general assembly;48096

       (2) Section 5748.03 of the Revised Code as enacted in48097
Substitute Senate Bill No. 28 of the 118th general assembly;48098

       (3) Section 5748.08 of the Revised Code as enacted in Amended48099
Substitute Senate Bill No. 17 of the 122nd general assembly;48100

       (4) Section 5748.021 of the Revised Code;48101

       (5) Section 5748.081 of the Revised Code.48102

       (B) "Individual" means an individual subject to the tax48103
levied by section 5747.02 of the Revised Code.48104

       (C) "Estate" means an estate subject to the tax levied by48105
section 5747.02 of the Revised Code.48106

       (D) "Taxable year" means a taxable year as defined in48107
division (M) of section 5747.01 of the Revised Code.48108

       (E) "Taxable income" means:48109

       (1) In the case of an individual, one of the following, as 48110
specified in the resolution imposing the tax:48111

       (a) Ohio adjusted gross income for the taxable year as 48112
defined in division (A) of section 5747.01 of the Revised Code, 48113
less the exemptions provided by section 5747.02 of the Revised 48114
Code;48115

       (b) Wages, salaries, tips, and other employee compensation to 48116
the extent included in Ohio adjusted gross income as defined in 48117
section 5747.01 of the Revised Code, and net earnings from 48118
self-employment, as defined in section 1402(a) of the Internal 48119
Revenue Code, to the extent included in Ohio adjusted gross 48120
income.48121

       (2) In the case of an estate, taxable income for the taxable 48122
year as defined in division (S) of section 5747.01 of the Revised 48123
Code.48124

       (F) "Resident" of the school district means:48125

       (1) An individual who is a resident of this state as defined 48126
in division (I) of section 5747.01 of the Revised Code during all 48127
or a portion of the taxable year and who, during all or a portion 48128
of such period of state residency, is domiciled in the school 48129
district or lives in and maintains a permanent place of abode in 48130
the school district;48131

       (2) An estate of a decedent who, at the time of death, was 48132
domiciled in the school district.48133

       (G) "School district income" means:48134

       (1) With respect to an individual, the portion of the taxable 48135
income of an individual that is received by the individual during 48136
the portion of the taxable year that the individual is a resident 48137
of the school district and the school district income tax is in 48138
effect in that school district. An individual may have school 48139
district income with respect to more than one school district.48140

       (2) With respect to an estate, the taxable income of the48141
estate for the portion of the taxable year that the school48142
district income tax is in effect in that school district.48143

       (H) "Taxpayer" means an individual or estate having school48144
district income upon which a school district income tax is48145
imposed.48146

       (I) "School district purposes" means any of the purposes for 48147
which a tax may be levied pursuant to section 5705.21 of the48148
Revised Code, including the combined purposes authorized by 48149
section 5705.217 of the Revised Code.48150

       Sec. 5748.02.  (A) The board of education of any school48151
district, except a joint vocational school district, may declare, 48152
by resolution, the necessity of raising annually a specified 48153
amount of money for school district purposes. The resolution shall 48154
specify whether the income that is to be subject to the tax is 48155
taxable income of individuals and estates as defined in divisions 48156
(E)(1)(a) and (2) of section 5748.01 of the Revised Code or 48157
taxable income of individuals as defined in division (E)(1)(b) of 48158
that section. A copy of the resolution shall be certified to the 48159
tax commissioner no later than eighty-five days prior to the date 48160
of the election at which the board intends to propose a levy under 48161
this section. Upon receipt of the copy of the resolution, the tax 48162
commissioner shall estimate both of the following:48163

       (1) The property tax rate that would have to be imposed in48164
the current year by the district to produce an equivalent amount48165
of money;48166

       (2) The income tax rate that would have had to have been in 48167
effect for the current year to produce an equivalent amount of48168
money from a school district income tax.48169

       Within ten days of receiving the copy of the board's48170
resolution, the commissioner shall prepare these estimates and48171
certify them to the board. Upon receipt of the certification, the 48172
board may adopt a resolution proposing an income tax under48173
division (B) of this section at the estimated rate contained in48174
the certification rounded to the nearest one-fourthone-tenth of 48175
one per cent. The commissioner's certification applies only to the48176
board's proposal to levy an income tax at the election for which48177
the board requested the certification. If the board intends to48178
submit a proposal to levy an income tax at any other election, it48179
shall request another certification for that election in the48180
manner prescribed in this division.48181

       (B)(1) Upon the receipt of a certification from the tax48182
commissioner under division (A) of this section, a majority of the 48183
members of a board of education may adopt a resolution proposing 48184
the levy of an annual tax for school district purposes on school 48185
district income. The proposed levy may be for a continuing period 48186
of time or for a specified number of years. The resolution shall 48187
set forth the purpose for which the tax is to be imposed, the rate 48188
of the tax, which shall be the rate set forth in the 48189
commissioner's certification rounded to the nearest one-fourth48190
one-tenth of one per cent, the number of years the tax will be 48191
levied or that it will be levied for a continuing period of time, 48192
the date on which the tax shall take effect, which shall be the 48193
first day of January of any year following the year in which the 48194
question is submitted, and the date of the election at which the 48195
proposal shall be submitted to the electors of the district, which 48196
shall be on the date of a primary, general, or special election 48197
the date of which is consistent with section 3501.01 of the 48198
Revised Code. The resolution shall specify whether the income that 48199
is to be subject to the tax is taxable income of individuals and 48200
estates as defined in divisions (E)(1)(a) and (2) of section 48201
5748.01 of the Revised Code or taxable income of individuals as 48202
defined in division (E)(1)(b) of that section. The specification 48203
shall be the same as the specification in the resolution adopted 48204
and certified under division (A) of this section. If48205

       If the tax is to be levied for current expenses and permanent 48206
improvements, the resolution shall apportion the annual rate of 48207
the tax. The apportionment may be the same or different for each 48208
year the tax is levied, but the respective portions of the rate 48209
actually levied each year for current expenses and for permanent 48210
improvements shall be limited by the apportionment.48211

       If the board of education currently imposes an income tax 48212
pursuant to this chapter that is due to expire and a question is 48213
submitted under this section for a proposed income tax to take48214
effect upon the expiration of the existing tax, the board may 48215
specify in the resolution that the proposed tax renews the48216
expiring tax and is not an additional income tax, provided that 48217
the tax rate being proposed is no higher than the tax rate that is 48218
currently imposed.48219

       (2) A board of education adopting a resolution under division 48220
(B)(1) of this section proposing a school district income tax for 48221
a continuing period of time and limited to the purpose of current 48222
expenses may propose in that resolution to reduce the rate or 48223
rates of one or more of the school district's property taxes 48224
levied for a continuing period of time in excess of the ten-mill 48225
limitation for the purpose of current expenses. The reduction in 48226
the rate of a property tax may be any amount, expressed in mills 48227
per one dollar in valuation, not exceeding the rate at which the 48228
tax is authorized to be levied. The reduction in the rate of a tax 48229
shall first take effect for the tax year that includes the day on 48230
which the school district income tax first takes effect, and shall 48231
continue for each tax year that both the school district income 48232
tax and the property tax levy are in effect.48233

       In addition to the matters required to be set forth in the48234
resolution under division (B)(1) of this section, a resolution48235
containing a proposal to reduce the rate of one or more property48236
taxes shall state for each such tax the maximum rate at which it48237
currently may be levied and the maximum rate at which the tax48238
could be levied after the proposed reduction, expressed in mills48239
per one dollar in valuation, and that the tax is levied for a48240
continuing period of time.48241

       If a board of education proposes to reduce the rate of one or 48242
more property taxes under division (B)(2) of this section, the48243
board, when it makes the certification required under division (A) 48244
of this section, shall designate the specific levy or levies to be 48245
reduced, the maximum rate at which each levy currently is48246
authorized to be levied, and the rate by which each levy is48247
proposed to be reduced. The tax commissioner, when making the48248
certification to the board under division (A) of this section,48249
also shall certify the reduction in the total effective tax rate48250
for current expenses for each class of property that would have48251
resulted if the proposed reduction in the rate or rates had been48252
in effect the previous tax year. As used in this paragraph,48253
"effective tax rate" has the same meaning as in section 323.08 of48254
the Revised Code.48255

       (C) A resolution adopted under division (B) of this section 48256
shall go into immediate effect upon its passage, and no48257
publication of the resolution shall be necessary other than that48258
provided for in the notice of election. Immediately after its48259
adoption and at least seventy-five days prior to the election at48260
which the question will appear on the ballot, a copy of the48261
resolution shall be certified to the board of elections of the48262
proper county, which shall submit the proposal to the electors on48263
the date specified in the resolution. The form of the ballot shall 48264
be as provided in section 5748.03 of the Revised Code. Publication 48265
of notice of the election shall be made in one or more newspapers 48266
of general circulation in the county once a week for two 48267
consecutive weeks prior to the election, and, if the board of 48268
elections operates and maintains a web site, the board of 48269
elections shall post notice of the election on its web site for 48270
thirty days prior to the election. The notice shall contain the 48271
time and place of the election and the question to be submitted to 48272
the electors. The question covered by the resolution shall be48273
submitted as a separate proposition, but may be printed on the48274
same ballot with any other proposition submitted at the same48275
election, other than the election of officers.48276

       (D) No board of education shall submit the question of a tax 48277
on school district income to the electors of the district more 48278
than twice in any calendar year. If a board submits the question 48279
twice in any calendar year, one of the elections on the question 48280
shall be held on the date of the general election.48281

       (E)(1) No board of education may submit to the electors of 48282
the district the question of a tax on school district income on 48283
the taxable income of individuals as defined in division (E)(1)(b) 48284
of section 5748.01 of the Revised Code if that tax would be in 48285
addition to an existing tax on the taxable income of individuals 48286
and estates as defined in divisions (E)(1)(a) and (2) of that 48287
section.48288

        (2) No board of education may submit to the electors of the 48289
district the question of a tax on school district income on the 48290
taxable income of individuals and estates as defined in divisions 48291
(E)(1)(a) and (2) of section 5748.01 of the Revised Code if that 48292
tax would be in addition to an existing tax on the taxable income 48293
of individuals as defined in division (E)(1)(b) of that section.48294

       Sec. 5748.021. A board of education that levies a tax under 48295
section 5748.02 of the Revised Code on the school district income 48296
of individuals and estates as defined in divisions (G) and 48297
(E)(1)(a) and (2) of section 5748.01 of the Revised Code may 48298
declare, at any time, by a resolution adopted by a majority of its 48299
members, the necessity of raising annually a specified amount of 48300
money for school district purposes by replacing the existing tax 48301
with a tax on the school district income of individuals as defined 48302
in divisions (G)(1) and (E)(1)(b) of section 5748.01 of the 48303
Revised Code. The specified amount of money to be raised annually 48304
may be the same as, or more or less than, the amount of money 48305
raised annually by the existing tax.48306

       The board shall certify a copy of the resolution to the tax 48307
commissioner not later than the eighty-fifth day before the date 48308
of the election at which the board intends to propose the 48309
replacement to the electors of the school district. Not later than 48310
the tenth day after receiving the resolution, the tax commissioner 48311
shall estimate the tax rate that would be required in the school 48312
district annually to raise the amount of money specified in the 48313
resolution. The tax commissioner shall certify the estimate to the 48314
board.48315

       Upon receipt of the tax commissioner's estimate, the board 48316
may propose, by a resolution adopted by a majority of its members, 48317
to replace the existing tax on the school district income of 48318
individuals and estates as defined in divisions (G) and (E)(1)(a) 48319
and (2) of section 5748.01 of the Revised Code with the levy of an 48320
annual tax on the school district income of individuals as defined 48321
in divisions (G)(1) and (E)(1)(b) of section 5748.01 of the 48322
Revised Code. In the resolution, the board shall specify the rate 48323
of the replacement tax, whether the replacement tax is to be 48324
levied for a specified number of years or for a continuing time, 48325
the specific school district purposes for which the replacement 48326
tax is to be levied, the date on which the replacement tax will 48327
begin to be levied, the date of the election at which the question 48328
of the replacement is to be submitted to the electors of the 48329
school district, that the existing tax will cease to be levied and 48330
the replacement tax will begin to be levied if the replacement is 48331
approved by a majority of the electors voting on the replacement, 48332
and that if the replacement is not approved by a majority of the 48333
electors voting on the replacement the existing tax will remain in 48334
effect under its original authority for the remainder of its 48335
previously approved term. The resolution goes into immediate 48336
effect upon its adoption. Publication of the resolution is not 48337
necessary, and the information that will be provided in the notice 48338
of election is sufficient notice. At least seventy-five days 48339
before the date of the election at which the question of the 48340
replacement will be submitted to the electors of the school 48341
district, the board shall certify a copy of the resolution to the 48342
board of elections.48343

       The replacement tax shall have the same specific school 48344
district purposes as the existing tax, and its rate shall be the 48345
same as the tax commissioner's estimate rounded to the nearest 48346
one-fourthone-tenth of one per cent. The replacement tax shall 48347
begin to be levied on the first day of January of the year 48348
following the year in which the question of the replacement is 48349
submitted to and approved by the electors of the school district 48350
or on the first day of January of a later year, as specified in 48351
the resolution. The date of the election shall be the date of an 48352
otherwise scheduled primary, general, or special election.48353

       The board of elections shall make arrangements to submit the 48354
question of the replacement to the electors of the school district 48355
on the date specified in the resolution. The board of elections 48356
shall publish notice of the election on the question of the 48357
replacement in one or more newspapers of general circulation in 48358
the school district once a week for four consecutive weeks. The 48359
notice shall set forth the question to be submitted to the 48360
electors and the time and place of the election thereon.48361

       The question shall be submitted to the electors of the school 48362
district as a separate proposition, but may be printed on the same 48363
ballot with other propositions that are submitted at the same 48364
election, other than the election of officers. The form of the 48365
ballot shall be substantially as follows:48366

       "Shall the existing tax of ..... (state the rate) on the 48367
school district income of individuals and estates imposed by ..... 48368
(state the name of the school district) be replaced by a tax of 48369
..... (state the rate) on the earned income of individuals 48370
residing in the school district for ..... (state the number of 48371
years the tax is to be in effect or that it will be in effect for 48372
a continuing time), beginning ..... (state the date the new tax 48373
will take effect), for the purpose of ..... (state the specific 48374
school district purposes of the tax)? If the new tax is not 48375
approved, the existing tax will remain in effect under its 48376
original authority, for the remainder of its previously approved 48377
term.48378

For replacing the existing tax with the new tax 48379
Against replacing the existing tax with the new tax  " 48380

       The board of elections shall conduct and canvass the election 48381
in the same manner as regular elections in the school district for 48382
the election of county officers. The board shall certify the 48383
results of the election to the board of education and to the tax 48384
commissioner. If a majority of the electors voting on the question 48385
vote in favor of the replacement, the existing tax shall cease to 48386
be levied, and the replacement tax shall begin to be levied, on 48387
the date specified in the ballot question. If a majority of the 48388
electors voting on the question vote against the replacement, the 48389
existing tax shall continue to be levied under its original 48390
authority, for the remainder of its previously approved term.48391

       A board of education may not submit the question of replacing 48392
a tax more than twice in a calendar year. If a board submits the 48393
question more than once, one of the elections at which the 48394
question is submitted shall be on the date of a general election.48395

       If a board of education later intends to renew a replacement 48396
tax levied under this section, it shall repeat the procedure 48397
outlined in this section to do so, the replacement tax then being 48398
levied being the "existing tax" and the renewed replacement tax 48399
being the "replacement tax."48400

       Sec. 5748.022.  A majority of the members of a board of 48401
education of a school district levying a tax under section 5748.02 48402
of the Revised Code may adopt a resolution reducing the rate of 48403
the tax by a multiple of one-tenth of one per cent.48404

       The resolution shall set forth the current rate of the tax, 48405
the reduced rate of tax that results from adoption of the 48406
resolution, the purpose or purposes for which the tax is levied, 48407
the remaining number of years the tax will be levied or that it is 48408
levied for a continuing period of time, and the date on which the 48409
reduced tax rate shall take effect, which shall be the ensuing 48410
first day of January occurring at least sixty days after a copy of 48411
the resolution is certified to the tax commissioner.48412

       Sec. 5748.04. (A) The question of the repeal of a school48413
district income tax levied for more than five years may be48414
initiated not more than once in any five-year period by filing48415
with the board of elections of the appropriate counties not later48416
than seventy-five days before the general election in any year48417
after the year in which it is approved by the electors a petition48418
requesting that an election be held on the question. The petition48419
shall be signed by qualified electors residing in the school48420
district levying the income tax equal in number to ten per cent of48421
those voting for governor at the most recent gubernatorial48422
election.48423

       The board of elections shall determine whether the petition48424
is valid, and if it so determines, it shall submit the question to48425
the electors of the district at the next general election. The48426
election shall be conducted, canvassed, and certified in the same48427
manner as regular elections for county offices in the county.48428
Notice of the election shall be published in a newspaper of48429
general circulation in the district once a week for two 48430
consecutive weeks prior to the election, and, if the board of 48431
elections operates and maintains a web site, the board of 48432
elections shall post notice of the election on its web site for 48433
thirty days prior to the election. The notice shall state the 48434
purpose, time, and place of the election. The form of the ballot 48435
cast at the election shall be as follows:48436

       "Shall the annual income tax of ..... per cent, currently48437
levied on the school district income of individuals and estates by48438
.......... (state the name of the school district) for the purpose48439
of .......... (state purpose of the tax), be repealed?48440

        48441

 For repeal of the income tax 48442
 Against repeal of the income tax  " 48443

        48444

        (B)(1) If the tax is imposed on taxable income as defined in 48445
division (E)(1)(b) of section 5748.01 of the Revised Code, the 48446
form of the ballot shall be modified by stating that the tax 48447
currently is levied on the "earned income of individuals residing 48448
in the school district" in lieu of the "school district income of 48449
individuals and estates."48450

       (2) If the rate of one or more property tax levies was 48451
reduced for the duration of the income tax levy pursuant to 48452
division (B)(2) of section 5748.02 of the Revised Code, the form 48453
of the ballot shall be modified by adding the following language48454
immediately after "repealed": ", and shall the rate of an existing 48455
tax on property for the purpose of current expenses, which rate 48456
was reduced for the duration of the income tax, be INCREASED from 48457
..... mills to ..... mills per one dollar of valuation beginning 48458
in ..... (state the first year for which the rate of the property 48459
tax will increase)." In lieu of "for repeal of the income tax" and48460
"against repeal of the income tax," the phrases "for the issue" 48461
and "against the issue," respectively, shall be substituted.48462

       (3) If the rate of more than one property tax was reduced for48463
the duration of the income tax, the ballot language shall be48464
modified accordingly to express the rates at which those taxes48465
currently are levied and the rates to which the taxes would be48466
increased.48467

       (C) The question covered by the petition shall be submitted 48468
as a separate proposition, but it may be printed on the same 48469
ballot with any other proposition submitted at the same election 48470
other than the election of officers. If a majority of the 48471
qualified electors voting on the question vote in favor of it, the 48472
result shall be certified immediately after the canvass by the 48473
board of elections to the board of education of the school 48474
district and the tax commissioner, who shall thereupon, after the 48475
current year, cease to levy the tax, except that if notes have 48476
been issued pursuant to section 5748.05 of the Revised Code the 48477
tax commissioner shall continue to levy and collect under 48478
authority of the election authorizing the levy an annual amount, 48479
rounded upward to the nearest one-fourthone-tenth of one per 48480
cent, as will be sufficient to pay the debt charges on the notes 48481
as they fall due.48482

       (D) If a school district income tax repealed pursuant to this48483
section was approved in conjunction with a reduction in the rate48484
of one or more school district property taxes as provided in48485
division (B)(2) of section 5748.02 of the Revised Code, then each48486
such property tax may be levied after the current year at the rate48487
at which it could be levied prior to the reduction, subject to any48488
adjustments required by the county budget commission pursuant to48489
Chapter 5705. of the Revised Code. Upon the repeal of a school48490
district income tax under this section, the board of education may48491
resume levying a property tax, the rate of which has been reduced48492
pursuant to a question approved under section 5748.02 of the48493
Revised Code, at the rate the board originally was authorized to48494
levy the tax. A reduction in the rate of a property tax under48495
section 5748.02 of the Revised Code is a reduction in the rate at48496
which a board of education may levy that tax only for the period48497
during which a school district income tax is levied prior to any48498
repeal pursuant to this section. The resumption of the authority48499
to levy the tax upon such a repeal does not constitute a tax48500
levied in excess of the one per cent limitation prescribed by48501
Section 2 of Article XII, Ohio Constitution, or in excess of the48502
ten-mill limitation.48503

       (E) This section does not apply to school district income tax48504
levies that are levied for five or fewer years.48505

       Sec. 5748.08.  (A) The board of education of a city, local,48506
or exempted village school district, at any time by a vote of48507
two-thirds of all its members, may declare by resolution that it48508
may be necessary for the school district to do all of the48509
following:48510

       (1) Raise a specified amount of money for school district48511
purposes by levying an annual tax on school district income;48512

       (2) Issue general obligation bonds for permanent48513
improvements, stating in the resolution the necessity and purpose48514
of the bond issue and the amount, approximate date, estimated rate48515
of interest, and maximum number of years over which the principal48516
of the bonds may be paid;48517

       (3) Levy a tax outside the ten-mill limitation to pay debt48518
charges on the bonds and any anticipatory securities;48519

       (4) Submit the question of the school district income tax and 48520
bond issue to the electors of the district at a special election.48521

       The resolution shall specify whether the income that is to be 48522
subject to the tax is taxable income of individuals and estates as 48523
defined in divisions (E)(1)(a) and (2) of section 5748.01 of the 48524
Revised Code or taxable income of individuals as defined in 48525
division (E)(1)(b) of that section.48526

       On adoption of the resolution, the board shall certify a copy48527
of it to the tax commissioner and the county auditor no later than48528
ninety days prior to the date of the special election at which the48529
board intends to propose the income tax and bond issue. Not later48530
than ten days of receipt of the resolution, the tax commissioner,48531
in the same manner as required by division (A) of section 5748.0248532
of the Revised Code, shall estimate the rates designated in 48533
divisions (A)(1) and (2) of that section and certify them to the48534
board. Not later than ten days of receipt of the resolution, the48535
county auditor shall estimate and certify to the board the average48536
annual property tax rate required throughout the stated maturity48537
of the bonds to pay debt charges on the bonds, in the same manner48538
as under division (C) of section 133.18 of the Revised Code.48539

       (B) On receipt of the tax commissioner's and county auditor's 48540
certifications prepared under division (A) of this section, the 48541
board of education of the city, local, or exempted village school 48542
district, by a vote of two-thirds of all its members, may adopt a 48543
resolution proposing for a specified number of years or for a 48544
continuing period of time the levy of an annual tax for school 48545
district purposes on school district income and declaring that the 48546
amount of taxes that can be raised within the ten-mill limitation 48547
will be insufficient to provide an adequate amount for the present 48548
and future requirements of the school district; that it is 48549
necessary to issue general obligation bonds of the school district 48550
for specified permanent improvements and to levy an additional tax48551
in excess of the ten-mill limitation to pay the debt charges on48552
the bonds and any anticipatory securities; and that the question 48553
of the bonds and taxes shall be submitted to the electors of the48554
school district at a special election, which shall not be earlier48555
than seventy-five days after certification of the resolution to48556
the board of elections, and the date of which shall be consistent48557
with section 3501.01 of the Revised Code. The resolution shall48558
specify all of the following:48559

       (1) The purpose for which the school district income tax is48560
to be imposed and the rate of the tax, which shall be the rate set48561
forth in the tax commissioner's certification rounded to the48562
nearest one-fourthone-tenth of one per cent;48563

       (2) Whether the income that is to be subject to the tax is 48564
taxable income of individuals and estates as defined in divisions 48565
(E)(1)(a) and (2) of section 5748.01 of the Revised Code or 48566
taxable income of individuals as defined in division (E)(1)(b) of 48567
that section. The specification shall be the same as the 48568
specification in the resolution adopted and certified under 48569
division (A) of this section.48570

       (3) The number of years the tax will be levied, or that it48571
will be levied for a continuing period of time;48572

       (4) The date on which the tax shall take effect, which shall48573
be the first day of January of any year following the year in48574
which the question is submitted;48575

       (5) The county auditor's estimate of the average annual48576
property tax rate required throughout the stated maturity of the48577
bonds to pay debt charges on the bonds.48578

       (C) A resolution adopted under division (B) of this section48579
shall go into immediate effect upon its passage, and no48580
publication of the resolution shall be necessary other than that48581
provided for in the notice of election. Immediately after its48582
adoption and at least seventy-five days prior to the election at48583
which the question will appear on the ballot, the board of48584
education shall certify a copy of the resolution, along with48585
copies of the auditor's estimate and its resolution under division48586
(A) of this section, to the board of elections of the proper48587
county. The board of education shall make the arrangements for the 48588
submission of the question to the electors of the school district, 48589
and the election shall be conducted, canvassed, and certified in 48590
the same manner as regular elections in the district for the48591
election of county officers.48592

       The resolution shall be put before the electors as one ballot48593
question, with a majority vote indicating approval of the school48594
district income tax, the bond issue, and the levy to pay debt48595
charges on the bonds and any anticipatory securities. The board of48596
elections shall publish the notice of the election in one or more 48597
newspapers of general circulation in the school district once a 48598
week for two consecutive weeks prior to the election and, if the 48599
board of elections operates and maintains a web site, also shall 48600
post notice of the election on its web site for thirty days prior 48601
to the election. The notice of election shall state all of the48602
following:48603

       (1) The questions to be submitted to the electors;48604

       (2) The rate of the school district income tax;48605

       (3) The principal amount of the proposed bond issue;48606

       (4) The permanent improvements for which the bonds are to be48607
issued;48608

       (5) The maximum number of years over which the principal of48609
the bonds may be paid;48610

       (6) The estimated additional average annual property tax rate 48611
to pay the debt charges on the bonds, as certified by the county 48612
auditor;48613

       (7) The time and place of the special election.48614

       (D) The form of the ballot on a question submitted to the48615
electors under this section shall be as follows:48616

       "Shall the ........ school district be authorized to do both48617
of the following:48618

       (1) Impose an annual income tax of ...... (state the proposed 48619
rate of tax) on the school district income of individuals and of 48620
estates, for ........ (state the number of years the tax would be 48621
levied, or that it would be levied for a continuing period of 48622
time), beginning ........ (state the date the tax would first take 48623
effect), for the purpose of ........ (state the purpose of the 48624
tax)?48625

       (2) Issue bonds for the purpose of ....... in the principal48626
amount of $......, to be repaid annually over a maximum period of48627
....... years, and levy a property tax outside the ten-mill48628
limitation estimated by the county auditor to average over the48629
bond repayment period ....... mills for each one dollar of tax48630
valuation, which amounts to ....... (rate expressed in cents or48631
dollars and cents, such as "36 cents" or "$1.41") for each $100 of48632
tax valuation, to pay the annual debt charges on the bonds, and to48633
pay debt charges on any notes issued in anticipation of those48634
bonds?48635

        48636

 FOR THE INCOME TAX AND BOND ISSUE 48637
 AGAINST THE INCOME TAX AND BOND ISSUE  " 48638

        48639

       (E) If the question submitted to electors proposes a school 48640
district income tax only on the taxable income of individuals as 48641
defined in division (E)(1)(b) of section 5748.01 of the Revised 48642
Code, the form of the ballot shall be modified by stating that the 48643
tax is to be levied on the "earned income of individuals residing 48644
in the school district" in lieu of the "school district income of 48645
individuals and of estates."48646

       (F) The board of elections promptly shall certify the results 48647
of the election to the tax commissioner and the county auditor of 48648
the county in which the school district is located. If a majority 48649
of the electors voting on the question vote in favor of it, the 48650
income tax and the applicable provisions of Chapter 5747. of the48651
Revised Code shall take effect on the date specified in the48652
resolution, and the board of education may proceed with issuance48653
of the bonds and with the levy and collection of the property48654
taxes to pay debt charges on the bonds, at the additional rate or48655
any lesser rate in excess of the ten-mill limitation. Any48656
securities issued by the board of education under this section are48657
Chapter 133. securities, as that term is defined in section 133.0148658
of the Revised Code.48659

       (G) After approval of a question under this section, the48660
board of education may anticipate a fraction of the proceeds of48661
the school district income tax in accordance with section 5748.0548662
of the Revised Code. Any anticipation notes under this division48663
shall be issued as provided in section 133.24 of the Revised Code,48664
shall have principal payments during each year after the year of48665
their issuance over a period not to exceed five years, and may48666
have a principal payment in the year of their issuance.48667

       (H) The question of repeal of a school district income tax48668
levied for more than five years may be initiated and submitted in48669
accordance with section 5748.04 of the Revised Code.48670

       (I) No board of education shall submit a question under this48671
section to the electors of the school district more than twice in48672
any calendar year. If a board submits the question twice in any48673
calendar year, one of the elections on the question shall be held48674
on the date of the general election.48675

       Sec. 5751.20.  (A) As used in sections 5751.20 to 5751.22 of 48676
the Revised Code:48677

       (1) "School district," "joint vocational school district," 48678
"local taxing unit," "state education aid," "recognized 48679
valuation," "fixed-rate levy," and "fixed-sum levy" have the same 48680
meanings as used in section 5727.84 of the Revised Code.48681

       (2) "State education aid" for a school district means the sum 48682
of state aid amounts computed for the district under divisions 48683
(A), (C)(1), (C)(4), (D), (E), and (F) of section 3317.022; 48684
divisions (B), (C), and (D) of section 3317.023; divisions (L) and 48685
(N) of section 3317.024; section 3317.0216; and any unit payments 48686
for gifted student services paid under sections 3317.05, 3317.052, 48687
and 3317.053 of the Revised Code; except that, for fiscal years 48688
2008 and 2009, the amount computed for the district under Section 48689
269.20.80 of H.B. 119 of the 127th general assembly and as that 48690
section subsequently may be amended shall be substituted for the 48691
amount computed under division (D) of section 3317.022 of the 48692
Revised Code, and the amount computed under Section 269.30.80 of 48693
H.B. 119 of the 127th general assembly and as that section 48694
subsequently may be amended shall be included.48695

       (3) "State education aid" for a joint vocational school 48696
district means the sum of the state aid computed for the district 48697
under division (N) of section 3317.024 and section 3317.16 of the 48698
Revised Code, except that, for fiscal years 2008 and 2009, the 48699
amount computed under Section 269.30.80 of H.B. 119 of the 127th 48700
general assembly and as that section subsequently may be amended 48701
shall be included.48702

       (4) "State education aid offset" means the amount determined 48703
for each school district or joint vocational school district under 48704
division (A)(1) of section 5751.21 of the Revised Code.48705

       (3)(5) "Machinery and equipment property tax value loss" 48706
means the amount determined under division (C)(1) of this section.48707

       (4)(6) "Inventory property tax value loss" means the amount 48708
determined under division (C)(2) of this section.48709

       (5)(7) "Furniture and fixtures property tax value loss" means 48710
the amount determined under division (C)(3) of this section.48711

       (6)(8) "Machinery and equipment fixed-rate levy loss" means 48712
the amount determined under division (D)(1) of this section.48713

       (7)(9) "Inventory fixed-rate levy loss" means the amount 48714
determined under division (D)(2) of this section.48715

       (8)(10) "Furniture and fixtures fixed-rate levy loss" means 48716
the amount determined under division (D)(3) of this section.48717

       (9)(11) "Total fixed-rate levy loss" means the sum of the 48718
machinery and equipment fixed-rate levy loss, the inventory 48719
fixed-rate levy loss, the furniture and fixtures fixed-rate levy 48720
loss, and the telephone company fixed-rate levy loss.48721

       (10)(12) "Fixed-sum levy loss" means the amount determined 48722
under division (E) of this section.48723

       (11)(13) "Machinery and equipment" means personal property 48724
subject to the assessment rate specified in division (F) of 48725
section 5711.22 of the Revised Code.48726

       (12)(14) "Inventory" means personal property subject to the 48727
assessment rate specified in division (E) of section 5711.22 of 48728
the Revised Code.48729

       (13)(15) "Furniture and fixtures" means personal property 48730
subject to the assessment rate specified in division (G) of 48731
section 5711.22 of the Revised Code.48732

       (14)(16) "Qualifying levies" are levies in effect for tax 48733
year 2004 or applicable to tax year 2005 or approved at an 48734
election conducted before September 1, 2005. For the purpose of 48735
determining the rate of a qualifying levy authorized by section 48736
5705.212 or 5705.213 of the Revised Code, the rate shall be the 48737
rate that would be in effect for tax year 2010.48738

       (15)(17) "Telephone property" means tangible personal 48739
property of a telephone, telegraph, or interexchange 48740
telecommunications company subject to an assessment rate specified 48741
in section 5727.111 of the Revised Code in tax year 2004.48742

       (16)(18) "Telephone property tax value loss" means the amount 48743
determined under division (C)(4) of this section.48744

       (17)(19) "Telephone property fixed-rate levy loss" means the 48745
amount determined under division (D)(4) of this section.48746

       (B) The commercial activities tax receipts fund is hereby 48747
created in the state treasury and shall consist of money arising 48748
from the tax imposed under this chapter. All money in that fund 48749
shall be credited for each fiscal year in the following 48750
percentages to the general revenue fund, to the school district 48751
tangible property tax replacement fund, which is hereby created in 48752
the state treasury for the purpose of making the payments 48753
described in section 5751.21 of the Revised Code, and to the local 48754
government tangible property tax replacement fund, which is hereby 48755
created in the state treasury for the purpose of making the 48756
payments described in section 5751.22 of the Revised Code, in the 48757
following percentages:48758

Fiscal year General Revenue Fund School District Tangible Property Tax Replacement Fund Local Government Tangible Property Tax Replacement Fund 48759
2006 67.7% 22.6% 9.7% 48760
2007 0% 70.0% 30.0% 48761
2008 0% 70.0% 30.0% 48762
2009 0% 70.0% 30.0% 48763
2010 0% 70.0% 30.0% 48764
2011 0% 70.0% 30.0% 48765
2012 5.3% 70.0% 24.7% 48766
2013 19.4% 70.0% 10.6% 48767
2014 14.1% 70.0% 15.9% 48768
2015 17.6% 70.0% 12.4% 48769
2016 21.1% 70.0% 8.9% 48770
2017 24.6% 70.0% 5.4% 48771
2018 28.1% 70.0% 1.9% 48772
2019 and thereafter 100% 0% 0% 48773

       (C) Not later than September 15, 2005, the tax commissioner 48774
shall determine for each school district, joint vocational school 48775
district, and local taxing unit its machinery and equipment, 48776
inventory property, furniture and fixtures property, and telephone 48777
property tax value losses, which are the applicable amounts 48778
described in divisions (C)(1), (2), (3), and (4) of this section, 48779
except as provided in division (C)(5) of this section:48780

       (1) Machinery and equipment property tax value loss is the 48781
taxable value of machinery and equipment property as reported by 48782
taxpayers for tax year 2004 multiplied by:48783

       (a) For tax year 2006, thirty-three and eight-tenths per 48784
cent;48785

       (b) For tax year 2007, sixty-one and three-tenths per cent;48786

       (c) For tax year 2008, eighty-three per cent;48787

       (d) For tax year 2009 and thereafter, one hundred per cent.48788

       (2) Inventory property tax value loss is the taxable value of 48789
inventory property as reported by taxpayers for tax year 2004 48790
multiplied by:48791

       (a) For tax year 2006, a fraction, the numerator of which is 48792
five and three-fourths and the denominator of which is 48793
twenty-three;48794

        (b) For tax year 2007, a fraction, the numerator of which is 48795
nine and one-half and the denominator of which is twenty-three;48796

        (c) For tax year 2008, a fraction, the numerator of which is 48797
thirteen and one-fourth and the denominator of which is 48798
twenty-three;48799

        (d) For tax year 2009 and thereafter a fraction, the 48800
numerator of which is seventeen and the denominator of which is 48801
twenty-three.48802

        (3) Furniture and fixtures property tax value loss is the 48803
taxable value of furniture and fixture property as reported by 48804
taxpayers for tax year 2004 multiplied by:48805

        (a) For tax year 2006, twenty-five per cent;48806

        (b) For tax year 2007, fifty per cent;48807

        (c) For tax year 2008, seventy-five per cent;48808

        (d) For tax year 2009 and thereafter, one hundred per cent.48809

       The taxable value of property reported by taxpayers used in 48810
divisions (C)(1), (2), and (3) of this section shall be such 48811
values as determined to be final by the tax commissioner as of 48812
August 31, 2005. Such determinations shall be final except for any 48813
correction of a clerical error that was made prior to August 31, 48814
2005, by the tax commissioner.48815

       (4) Telephone property tax value loss is the taxable value of 48816
telephone property as taxpayers would have reported that property 48817
for tax year 2004 if the assessment rate for all telephone 48818
property for that year were twenty-five per cent, multiplied by:48819

       (a) For tax year 2006, zero per cent;48820

       (b) For tax year 2007, zero per cent;48821

       (c) For tax year 2008, zero per cent;48822

       (d) For tax year 2009, sixty per cent;48823

       (e) For tax year 2010, eighty per cent;48824

       (f) For tax year 2011 and thereafter, one hundred per cent.48825

       (5) Division (C)(5) of this section applies to any school 48826
district, joint vocational school district, or local taxing unit 48827
in a county in which is located a facility currently or formerly 48828
devoted to the enrichment or commercialization of uranium or 48829
uranium products, and for which the total taxable value of 48830
property listed on the general tax list of personal property for 48831
any tax year from tax year 2001 to tax year 2004 was fifty per 48832
cent or less of the taxable value of such property listed on the 48833
general tax list of personal property for the next preceding tax 48834
year.48835

       In computing the fixed-rate levy losses under divisions 48836
(D)(1), (2), and (3) of this section for any school district, 48837
joint vocational school district, or local taxing unit to which 48838
division (C)(5) of this section applies, the taxable value of such 48839
property as listed on the general tax list of personal property 48840
for tax year 2000 shall be substituted for the taxable value of 48841
such property as reported by taxpayers for tax year 2004, in the 48842
taxing district containing the uranium facility, if the taxable 48843
value listed for tax year 2000 is greater than the taxable value 48844
reported by taxpayers for tax year 2004. For the purpose of making 48845
the computations under divisions (D)(1), (2), and (3) of this 48846
section, the tax year 2000 valuation is to be allocated to 48847
machinery and equipment, inventory, and furniture and fixtures 48848
property in the same proportions as the tax year 2004 values. For 48849
the purpose of the calculations in division (A) of section 5751.21 48850
of the Revised Code, the tax year 2004 taxable values shall be 48851
used.48852

       To facilitate the calculations required under division (C) of 48853
this section, the county auditor, upon request from the tax 48854
commissioner, shall provide by August 1, 2005, the values of 48855
machinery and equipment, inventory, and furniture and fixtures for 48856
all single-county personal property taxpayers for tax year 2004.48857

       (D) Not later than September 15, 2005, the tax commissioner 48858
shall determine for each tax year from 2006 through 2009 for each 48859
school district, joint vocational school district, and local 48860
taxing unit its machinery and equipment, inventory, and furniture 48861
and fixtures fixed-rate levy losses, and for each tax year from 48862
2006 through 2011 its telephone property fixed-rate levy loss, 48863
which are the applicable amounts described in divisions (D)(1), 48864
(2), (3), and (4) of this section:48865

       (1) The machinery and equipment fixed-rate levy loss is the 48866
machinery and equipment property tax value loss multiplied by the 48867
sum of the tax rates of fixed-rate qualifying levies.48868

       (2) The inventory fixed-rate loss is the inventory property 48869
tax value loss multiplied by the sum of the tax rates of 48870
fixed-rate qualifying levies.48871

        (3) The furniture and fixtures fixed-rate levy loss is the 48872
furniture and fixture property tax value loss multiplied by the 48873
sum of the tax rates of fixed-rate qualifying levies.48874

       (4) The telephone property fixed-rate levy loss is the 48875
telephone property tax value loss multiplied by the sum of the tax 48876
rates of fixed-rate qualifying levies.48877

       (E) Not later than September 15, 2005, the tax commissioner 48878
shall determine for each school district, joint vocational school 48879
district, and local taxing unit its fixed-sum levy loss. The 48880
fixed-sum levy loss is the amount obtained by subtracting the 48881
amount described in division (E)(2) of this section from the 48882
amount described in division (E)(1) of this section:48883

       (1) The sum of the machinery and equipment property tax value 48884
loss, the inventory property tax value loss, and the furniture and 48885
fixtures property tax value loss, and, for 2008 through 2017 the 48886
telephone property tax value loss of the district or unit 48887
multiplied by the sum of the fixed-sum tax rates of qualifying 48888
levies. For 2006 through 2010, this computation shall include all 48889
qualifying levies remaining in effect for the current tax year and 48890
any school district emergency levies that are qualifying levies 48891
not remaining in effect for the current year. For 2011 through 48892
2017, this computation shall include only qualifying levies 48893
remaining in effect for the current year. For purposes of this 48894
computation, a qualifying school district emergency levy remains 48895
in effect in a year after 2010 only if, for that year, the board 48896
of education levies a school district emergency levy for an annual 48897
sum at least equal to the annual sum levied by the board in tax 48898
year 2004 less the amount of the payment certified under this 48899
division for 2006.48900

       (2) The total taxable value in tax year 2004 less the sum of 48901
the machinery and equipment, inventory, furniture and fixtures, 48902
and telephone property tax value losses in each school district, 48903
joint vocational school district, and local taxing unit multiplied 48904
by one-half of one mill per dollar.48905

       (3) For the calculations in divisions (E)(1) and (2) of this 48906
section, the tax value losses are those that would be calculated 48907
for tax year 2009 under divisions (C)(1), (2), and (3) of this 48908
section and for tax year 2011 under division (C)(4) of this 48909
section.48910

       (4) To facilitate the calculation under divisions (D) and (E) 48911
of this section, not later than September 1, 2005, any school 48912
district, joint vocational school district, or local taxing unit 48913
that has a qualifying levy that was approved at an election 48914
conducted during 2005 before September 1, 2005, shall certify to 48915
the tax commissioner a copy of the county auditor's certificate of 48916
estimated property tax millage for such levy as required under 48917
division (B) of section 5705.03 of the Revised Code, which is the 48918
rate that shall be used in the calculations under such divisions.48919

       If the amount determined under division (E) of this section 48920
for any school district, joint vocational school district, or 48921
local taxing unit is greater than zero, that amount shall equal 48922
the reimbursement to be paid pursuant to division (D) of section 48923
5751.21 or division (A)(3) of section 5751.22 of the Revised Code, 48924
and the one-half of one mill that is subtracted under division 48925
(E)(2) of this section shall be apportioned among all contributing 48926
fixed-sum levies in the proportion that each levy bears to the sum 48927
of all fixed-sum levies within each school district, joint 48928
vocational school district, or local taxing unit.48929

       (F) Not later than October 1, 2005, the tax commissioner 48930
shall certify to the department of education for every school 48931
district and joint vocational school district the machinery and 48932
equipment, inventory, furniture and fixtures, and telephone 48933
property tax value losses determined under division (C) of this 48934
section, the machinery and equipment, inventory, furniture and 48935
fixtures, and telephone fixed-rate levy losses determined under 48936
division (D) of this section, and the fixed-sum levy losses 48937
calculated under division (E) of this section. The calculations 48938
under divisions (D) and (E) of this section shall separately 48939
display the levy loss for each levy eligible for reimbursement.48940

       (G) Not later than October 1, 2005, the tax commissioner 48941
shall certify the amount of the fixed-sum levy losses to the 48942
county auditor of each county in which a school district, joint 48943
vocational school district, or local taxing unit with a fixed-sum 48944
levy loss reimbursement has territory.48945

       Sec. 5751.21.  (A) Not later than the thirty-firstfifteenth48946
day of July of 2007 through 2017, the department of education 48947
shall consult with the director of budget and management and48948
determine the following for each school district and each joint 48949
vocational school district eligible for payment under division (B) 48950
of this section:48951

       (1) The state education aid offset, which is the difference 48952
obtained by subtracting the amount described in division (A)(1)(b) 48953
of this section from the amount described in division (A)(1)(a) of 48954
this section:48955

       (a) The state education aid computed for the school district 48956
or joint vocational school district for the current fiscal year as 48957
of the thirty-firstfifteenth day of July;48958

       (b) The state education aid that would be computed for the 48959
school district or joint vocational school district for the 48960
current fiscal year as of the thirty-firstfifteenth day of July 48961
if the recognized valuation included the machinery and equipment, 48962
inventory, furniture and fixtures, and telephone property tax 48963
value losses for the school district or joint vocational school 48964
district for the second preceding tax year.48965

       (2) The greater of zero or the difference obtained by 48966
subtracting the state education aid offset determined under 48967
division (A)(1) of this section from the sum of the machinery and 48968
equipment fixed-rate levy loss, the inventory fixed-rate levy 48969
loss, furniture and fixtures fixed-rate levy loss, and telephone 48970
property fixed-rate levy loss certified under division (F) of 48971
section 5751.20 of the Revised Code for all taxing districts in 48972
each school district and joint vocational school district for the 48973
second preceding tax year.48974

       By the fifthtwentieth day of AugustJuly of each such year, 48975
the department of education and the director of budget and 48976
management shall certifyagree upon the amount soto be determined 48977
under division (A)(1) of this section to the director of budget 48978
and management.48979

       (B) The department of education shall pay from the school 48980
district tangible property tax replacement fund to each school 48981
district and joint vocational school district all of the following 48982
for fixed-rate levy losses certified under division (F) of section 48983
5751.20 of the Revised Code:48984

       (1) On or before May 31, 2006, one-seventh of the total 48985
fixed-rate levy loss for tax year 2006;48986

       (2) On or before August 31, 2006, and October 31, 2006, 48987
one-half of six-sevenths of the total fixed-rate levy loss for tax 48988
year 2006;48989

       (3) On or before May 31, 2007, one-seventh of the total 48990
fixed-rate levy loss for tax year 2007;48991

       (4) On or before August 31, 2007, and October 31, 2007, 48992
forty-three per cent of the amount determined under division 48993
(A)(2) of this section for fiscal year 2008, but not less than 48994
zero, plus one-half of six-sevenths of the difference between the 48995
total fixed-rate levy loss for tax year 2007 and the total 48996
fixed-rate levy loss for tax year 2006.48997

       (5) On or before May 31, 2008, fourteen per cent of the 48998
amount determined under division (A)(2) of this section for fiscal 48999
year 2008, but not less than zero, plus one-seventh of the 49000
difference between the total fixed-rate levy loss for tax year 49001
2008 and the total fixed-rate levy loss for tax year 2006.49002

       (6) On or before August 31, 2008, and October 31, 2008, 49003
forty-three per cent of the amount determined under division 49004
(A)(2) of this section for fiscal year 2009, but not less than 49005
zero, plus one-half of six-sevenths of the difference between the 49006
total fixed-rate levy loss in tax year 2008 and the total 49007
fixed-rate levy loss in tax year 2007.49008

       (7) On or before May 31, 2009, fourteen per cent of the 49009
amount determined under division (A)(2) of this section for fiscal 49010
year 2009, but not less than zero, plus one-seventh of the 49011
difference between the total fixed-rate levy loss for tax year 49012
2009 and the total fixed-rate levy loss for tax year 2007.49013

       (8) On or before August 31, 2009, and October 31, 2009, 49014
forty-three per cent of the amount determined under division 49015
(A)(2) of this section for fiscal year 2010, but not less than 49016
zero, plus one-half of six-sevenths of the difference between the 49017
total fixed-rate levy loss in tax year 2009 and the total 49018
fixed-rate levy loss in tax year 2008.49019

       (9) On or before May 31, 2010, fourteen per cent of the 49020
amount determined under division (A)(2) of this section for fiscal 49021
year 2010, but not less than zero, plus one-seventh of the 49022
difference between the total fixed-rate levy loss in tax year 2010 49023
and the total fixed-rate levy loss in tax year 2008.49024

       (10) On or before August 31, 2010, and October 31, 2010, 49025
one-third of the amount determined under division (A)(2) of this 49026
section for fiscal year 2011, but not less than zero, plus 49027
one-half of six-sevenths of the difference between the telephone 49028
property fixed-rate levy loss for tax year 2010 and the telephone 49029
property fixed-rate levy loss for tax year 2009.49030

       (11) On or before May 31, 2011, fourteen per cent of the 49031
amount determined under division (A)(2) of this section for fiscal 49032
year 2011, but not less than zero, plus one-seventh of the 49033
difference between the telephone property fixed-rate levy loss for 49034
tax year 2011 and the telephone property fixed-rate levy loss for 49035
tax year 2009.49036

       (12) On or before August 31, 2011, October 31, 2011, and May 49037
31, 2012, the amount determined under division (A)(2) of this 49038
section multiplied by a fraction, the numerator of which is 49039
fourteen and the denominator of which is seventeen, but not less 49040
than zero, multiplied by one-third, plus one-half of six-sevenths 49041
of the difference between the telephone property fixed-rate levy 49042
loss for tax year 2011 and the telephone property fixed-rate levy 49043
loss for tax year 2010.49044

       (13) On or before May 31, 2012, fourteen per cent of the 49045
amount determined under division (A)(2) of this section for fiscal 49046
year 2012, multiplied by a fraction, the numerator of which is 49047
fourteen and the denominator of which is seventeen, plus 49048
one-seventh of the difference between the telephone property 49049
fixed-rate levy loss for tax year 2011 and the telephone property 49050
fixed-rate levy loss for tax year 2010.49051

       (14) On or before August 31, 2012, October 31, 2012, and May 49052
31, 2013, the amount determined under division (A)(2) of this 49053
section multiplied by a fraction, the numerator of which is eleven 49054
and the denominator of which is seventeen, but not less than zero, 49055
multiplied by one-third.49056

       (15) On or before August 31, 2013, October 31, 2013, and May 49057
31, 2014, the amount determined under division (A)(2) of this 49058
section multiplied by a fraction, the numerator of which is nine 49059
and the denominator of which is seventeen, but not less than zero, 49060
multiplied by one-third.49061

       (16) On or before August 31, 2014, October 31, 2014, and May 49062
31, 2015, the amount determined under division (A)(2) of this 49063
section multiplied by a fraction, the numerator of which is seven 49064
and the denominator of which is seventeen, but not less than zero, 49065
multiplied by one-third.49066

       (17) On or before August 31, 2015, October 31, 2015, and May 49067
31, 2016, the amount determined under division (A)(2) of this 49068
section multiplied by a fraction, the numerator of which is five 49069
and the denominator of which is seventeen, but not less than zero, 49070
multiplied by one-third.49071

       (18) On or before August 31, 2016, October 31, 2016, and May 49072
31, 2017, the amount determined under division (A)(2) of this 49073
section multiplied by a fraction, the numerator of which is three 49074
and the denominator of which is seventeen, but not less than zero, 49075
multiplied by one-third.49076

       (19) On or before August 31, 2017, October 31, 2017, and May 49077
31, 2018, the amount determined under division (A)(2) of this 49078
section multiplied by a fraction, the numerator of which is one 49079
and the denominator of which is seventeen, but not less than zero, 49080
multiplied by one-third.49081

       (20) After May 31, 2018, no payments shall be made under this 49082
section.49083

       The department of education shall report to each school 49084
district and joint vocational school district the apportionment of 49085
the payments among the school district's or joint vocational 49086
school district's funds based on the certifications under division 49087
(F) of section 5751.20 of the Revised Code.49088

       Any qualifying levy that is a fixed-rate levy that is not 49089
applicable to a tax year after 2010 does not qualify for any 49090
reimbursement after the tax year to which it is last applicable.49091

       (C) For taxes levied within the ten-mill limitation for debt 49092
purposes in tax year 2005, payments shall be made equal to one 49093
hundred per cent of the loss computed as if the tax were a 49094
fixed-rate levy, but those payments shall extend from fiscal year 49095
2006 through fiscal year 2018, as long as the qualifying levy 49096
continues to be used for debt purposes. If the purpose of such a 49097
qualifying levy is changed, that levy becomes subject to the 49098
payments determined in division (B) of this section.49099

       (D)(1) Not later than January 1, 2006, for each fixed-sum 49100
levy of each school district or joint vocational school district 49101
and for each year for which a determination is made under division 49102
(F) of section 5751.20 of the Revised Code that a fixed-sum levy 49103
loss is to be reimbursed, the tax commissioner shall certify to 49104
the department of education the fixed-sum levy loss determined 49105
under that division. The certification shall cover a time period 49106
sufficient to include all fixed-sum levies for which the 49107
commissioner made such a determination. The department shall pay 49108
from the school district property tax replacement fund to the 49109
school district or joint vocational school district one-third of 49110
the fixed-sum levy loss so certified for each year on or before 49111
the last day of May, August, and October of the current year.49112

       (2) Beginning in 2006, by the first day of January of each 49113
year, the tax commissioner shall review the certification 49114
originally made under division (D)(1) of this section. If the 49115
commissioner determines that a debt levy that had been scheduled 49116
to be reimbursed in the current year has expired, a revised 49117
certification for that and all subsequent years shall be made to 49118
the department of education.49119

       (E) Beginning in September 2007 and through June 2018, the 49120
director of budget and management shall transfer from the school 49121
district tangible property tax replacement fund to the general 49122
revenue fund each of the following:49123

       (1) On the first day of September, the lesser of one-fourth 49124
of the amount certifieddetermined for that fiscal year under 49125
division (A)(1) of this section or the balance in the school 49126
district tangible property tax replacement fund;49127

       (2) On the first day of December, the lesser of one-fourth of 49128
the amount certifieddetermined for that fiscal year under 49129
division (A)(1) of this section or the balance in the school 49130
district tangible property tax replacement fund;49131

       (3) On the first day of March, the lesser of one-fourth of 49132
the amount certifieddetermined for that fiscal year under 49133
division (A)(1) of this section or the balance in the school 49134
district tangible property tax replacement fund;49135

       (4) On the first day of June, the lesser of one-fourth of the 49136
amount certifieddetermined for that fiscal year under division 49137
(A)(1) of this section or the balance in the school district 49138
tangible property tax replacement fund.49139

       If, when a transfer is required under division (E)(1), (2), 49140
(3), or (4) of this section, there is not sufficient money in the 49141
school district tangible property tax replacement fund to make the 49142
transfer in the required amount, the director shall transfer the 49143
balance in the fund to the general revenue fund and may make 49144
additional transfers on later dates as determined by the director 49145
in a total amount that does not exceed one-fourth of the amount 49146
determined for the fiscal year.49147

       (F) For each of the fiscal years 2006 through 2018, if the 49148
total amount in the school district tangible property tax 49149
replacement fund is insufficient to make all payments under 49150
divisions (B), (C), and (D) of this section at the times the 49151
payments are to be made, the director of budget and management 49152
shall transfer from the general revenue fund to the school 49153
district tangible property tax replacement fund the difference 49154
between the total amount to be paid and the amount in the school 49155
district tangible property tax replacement fund. For each fiscal 49156
year after 2018, at the time payments under division (D) of this 49157
section are to be made, the director of budget and management 49158
shall transfer from the general revenue fund to the school 49159
district property tax replacement fund the amount necessary to 49160
make such payments.49161

       (G) On the fifteenth day of June of 2006 through 2011, the 49162
director of budget and management may transfer any balance in the 49163
school district tangible property tax replacement fund to the 49164
general revenue fund. At the end of fiscal years 2012 through 49165
2018, any balance in the school district tangible property tax 49166
replacement fund shall remain in the fund to be used in future 49167
fiscal years for school purposes.49168

       (H) If all of the territory of a school district or joint 49169
vocational school district is merged with another district, or if 49170
a part of the territory of a school district or joint vocational 49171
school district is transferred to an existing or newly created 49172
district, the department of education, in consultation with the 49173
tax commissioner, shall adjust the payments made under this 49174
section as follows:49175

       (1) For a merger of two or more districts, the machinery and 49176
equipment, inventory, furniture and fixtures, and telephone 49177
property fixed-rate levy losses and the fixed-sum levy losses of 49178
the successor district shall be equal to the sum of the machinery 49179
and equipment, inventory, furniture and fixtures, and telephone 49180
property fixed-rate levy losses and debt levy losses as determined 49181
in section 5751.20 of the Revised Code, for each of the districts 49182
involved in the merger.49183

       (2) If property is transferred from one district to a 49184
previously existing district, the amount of machinery and 49185
equipment, inventory, furniture and fixtures, and telephone 49186
property tax value losses and fixed-rate levy losses that shall be 49187
transferred to the recipient district shall be an amount equal to 49188
the total machinery and equipment, inventory, furniture and 49189
fixtures, and telephone property fixed-rate levy losses times a 49190
fraction, the numerator of which is the value of business tangible 49191
personal property on the land being transferred in the most recent 49192
year for which data are available, and the denominator of which is 49193
the total value of business tangible personal property in the 49194
district from which the land is being transferred in the most 49195
recent year for which data are available. For each of the first 49196
five years after the property is transferred, but not after fiscal 49197
year 2012, if the tax rate in the recipient district is less than 49198
the tax rate of the district from which the land was transferred, 49199
one-half of the payments arising from the amount of fixed-rate 49200
levy losses so transferred to the recipient district shall be paid 49201
to the recipient district and one-half of the payments arising 49202
from the fixed-rate levy losses so transferred shall be paid to 49203
the district from which the land was transferred. Fixed-rate levy 49204
losses so transferred shall be computed on the basis of the sum of 49205
the rates of fixed-rate qualifying levies of the district from 49206
which the land was transferred, notwithstanding division (D) of 49207
this section.49208

       (3) After December 31, 2004, if property is transferred from 49209
one or more districts to a district that is newly created out of 49210
the transferred property, the newly created district shall be 49211
deemed not to have any machinery and equipment, inventory, 49212
furniture and fixtures, or telephone property fixed-rate levy 49213
losses and the districts from which the property was transferred 49214
shall have no reduction in their machinery and equipment, 49215
inventory, furniture and fixtures, and telephone property 49216
fixed-rate levy losses.49217

       (4) If the recipient district under division (H)(2) of this 49218
section or the newly created district under divisions (H)(3) of 49219
this section is assuming debt from one or more of the districts 49220
from which the property was transferred and any of the districts 49221
losing the property had fixed-sum levy losses, the department of 49222
education, in consultation with the tax commissioner, shall make 49223
an equitable division of the fixed-sum levy loss reimbursements.49224

       Sec. 5751.23.  (A) As used in this section:49225

       (1) "Administrative fees" means the dollar percentages 49226
allowed by the county auditor for services or by the county 49227
treasurer as fees, or paid to the credit of the real estate 49228
assessment fund, under divisions (A) and (B)(C) of section 319.54 49229
and division (A) of section 321.26 of the Revised Code.49230

       (2) "Administrative fee loss" means a county's loss of 49231
administrative fees due to its tax value loss, determined as 49232
follows:49233

       (a) For purposes of the determination made under division (B) 49234
of this section in the years 2006 through 2010, the administrative 49235
fee loss shall be computed by multiplying the amounts determined 49236
for all taxing districts in the county under divisions (D) and (E) 49237
of section 5751.20 of the Revised Code by nine thousand six 49238
hundred fifty-nine ten-thousandths of one per cent if total taxes 49239
collected in the county in 2004 exceeded one hundred fifty million 49240
dollars, or one and one thousand one hundred fifty-nine 49241
ten-thousandths of one per cent if total taxes collected in the 49242
county in 2004 were one hundred fifty million dollars or less;49243

       (b) For purposes of the determination under division (B) of 49244
this section in the years after 2010, the administrative fee 49245
losses shall be determined by multiplying the administrative fee 49246
losses calculated for 2010 by the fractions in divisions (A)(1)(b) 49247
to (i) of section 5751.22 of the Revised Code.49248

       (3) "Total taxes collected" means all money collected on any 49249
tax duplicate of the county, other than the estate tax duplicates. 49250
"Total taxes collected" does not include amounts received pursuant 49251
to divisions (F) and (G) of section 321.24 or section 323.156 of 49252
the Revised Code.49253

       (B) Not later than December 31, 2005, the tax commissioner 49254
shall certify to each county auditor the tax levy losses 49255
calculated under divisions (D) and (E) of section 5751.20 of the 49256
Revised Code for each school district, joint vocational school 49257
district, and local taxing unit in the county. Not later than the 49258
thirty-first day of January of 2006 through 2017, the county 49259
auditor shall determine the administrative fee loss for the county 49260
and apportion that loss ratably among the school districts, joint 49261
vocational school districts, and local taxing units on the basis 49262
of the tax levy losses certified under this division.49263

       (C) On or before each of the days prescribed for the 49264
settlements under divisions (A) and (C) of section 321.24 of the 49265
Revised Code in the years 2006 through 2017, the county treasurer 49266
shall deduct one-half of the amount apportioned to each school 49267
district, joint vocational school district, and local taxing unit 49268
from the portions of revenue payable to them.49269

       (D) On or before each of the days prescribed for settlements 49270
under divisions (A) and (C) of section 321.24 of the Revised Code 49271
in the years 2006 through 2017, the county auditor shall cause to 49272
be deposited an amount equal to one-half of the amount of the 49273
administrative fee loss in the same funds as if allowed as 49274
administrative fees.49275

       Sec. 5907.15.  There is hereby created in the state treasury49276
the Ohio veterans' homes rental,and service, and medicare49277
reimbursement fund. Revenue generated from temporary use49278
agreements of a veterans' home, from the sale of meals at a home's 49279
dining halls, and from rental, lease, or sharing agreements for 49280
the use of facilities, supplies, equipment, utilities, or services49281
provided by a home, and from medicare reimbursements shall be 49282
credited to the fund. The fund shall be used only for maintenance 49283
costs of the homes and for the purchase of medications, medication 49284
services, medical supplies, and medical equipment by the homes.49285

       Sec. 5907.16. There is hereby created in the state treasury 49286
the medicare services fund. Revenue from federal reimbursement of 49287
medicare services that were provided at state veterans' homes 49288
shall be credited to the fund. The fund shall be used for paying 49289
the operating costs of the state veterans' homes.49290

       Sec. 6109.21.  (A) Except as provided in divisions (D) and49291
(E) of this section, on and after January 1, 1994, no person shall49292
operate or maintain a public water system in this state without a49293
license issued by the director of environmental protection. A49294
person who operates or maintains a public water system on January49295
1, 1994, shall obtain an initial license under this section in49296
accordance with the following schedule:49297

       (1) If the public water system is a community water system,49298
not later than January 31, 1994;49299

       (2) If the public water system is not a community water49300
system and serves a nontransient population, not later than49301
January 31, 1994;49302

       (3) If the public water system is not a community water49303
system and serves a transient population, not later than January49304
31, 1995.49305

       A person proposing to operate or maintain a new public water49306
system after January 1, 1994, in addition to complying with49307
section 6109.07 of the Revised Code and rules adopted under it,49308
shall submit an application for an initial license under this49309
section to the director prior to commencing operation of the49310
system.49311

       A license or license renewal issued under this section shall49312
be renewed annually. Such a license or license renewal shall49313
expire on the thirtieth day of January in the year following its49314
issuance. A license holder that proposes to continue operating the 49315
public water system for which the license or license renewal was 49316
issued shall apply for a license renewal at least thirty days49317
prior to that expiration date.49318

       The director shall adopt, and may amend and rescind, rules in49319
accordance with Chapter 119. of the Revised Code establishing49320
procedures governing and information to be included on49321
applications for licenses and license renewals under this section.49322
Through June 30, 20082010, each application shall be accompanied49323
by the appropriate fee established under division (M) of section49324
3745.11 of the Revised Code, provided that an applicant for an49325
initial license who is proposing to operate or maintain a new49326
public water system after January 1, 1994, shall submit a fee that49327
equals a prorated amount of the appropriate fee established under49328
that division for the remainder of the licensing year.49329

       (B) Not later than thirty days after receiving a completed49330
application and the appropriate license fee for an initial license49331
under division (A) of this section, the director shall issue the49332
license for the public water system. Not later than thirty days49333
after receiving a completed application and the appropriate49334
license fee for a license renewal under division (A) of this49335
section, the director shall do one of the following:49336

       (1) Issue the license renewal for the public water system;49337

       (2) Issue the license renewal subject to terms and conditions 49338
that the director determines are necessary to ensure compliance 49339
with this chapter and rules adopted under it;49340

       (3) Deny the license renewal if the director finds that the49341
public water system was not operated in substantial compliance49342
with this chapter and rules adopted under it.49343

       (C) The director may suspend or revoke a license or license49344
renewal issued under this section if the director finds that the49345
public water system was not operated in substantial compliance49346
with this chapter and rules adopted under it. The director shall49347
adopt, and may amend and rescind, rules in accordance with Chapter49348
119. of the Revised Code governing such suspensions and49349
revocations.49350

       (D)(1) As used in division (D) of this section, "church"49351
means a fellowship of believers, congregation, society,49352
corporation, convention, or association that is formed primarily49353
or exclusively for religious purposes and that is not formed or49354
operated for the private profit of any person.49355

       (2) This section does not apply to a church that operates or49356
maintains a public water system solely to provide water for that49357
church or for a campground that is owned by the church and49358
operated primarily or exclusively for members of the church and49359
their families. A church that, on or before March 5, 1996, has49360
obtained a license under this section for such a public water49361
system need not obtain a license renewal under this section.49362

       (E) This section does not apply to any public or nonpublic49363
school that meets minimum standards of the state board of49364
education that operates or maintains a public water system solely49365
to provide water for that school.49366

       Sec. 6111.0381. There is hereby created in the state treasury 49367
the water quality protection fund. The fund shall consist of 49368
federal grants, including grants made pursuant to the Federal 49369
Water Pollution Control Act, and contributions made to the 49370
environmental protection agency for water quality protection and 49371
restoration. The director of environmental protection shall use 49372
money in the fund for water quality protection and restoration.49373

       Sec. 6111.04.  (A) Both of the following apply except as49374
otherwise provided in division (A) or (F) of this section:49375

       (1) No person shall cause pollution or place or cause to be49376
placed any sewage, sludge, sludge materials, industrial waste, or49377
other wastes in a location where they cause pollution of any49378
waters of the state.49379

       (2) Such an action prohibited under division (A)(1) of this49380
section is hereby declared to be a public nuisance.49381

       Divisions (A)(1) and (2) of this section do not apply if the49382
person causing pollution or placing or causing to be placed wastes49383
in a location in which they cause pollution of any waters of the49384
state holds a valid, unexpired permit, or renewal of a permit,49385
governing the causing or placement as provided in sections 6111.0149386
to 6111.08 of the Revised Code or if the person's application for49387
renewal of such a permit is pending.49388

       (B) If the director of environmental protection administers a 49389
sludge management program pursuant to division (S) of section 49390
6111.03 of the Revised Code, both of the following apply except as 49391
otherwise provided in division (B) or (F) of this section:49392

       (1) No person, in the course of sludge management, shall49393
place on land located in the state or release into the air of the49394
state any sludge or sludge materials.49395

       (2) An action prohibited under division (B)(1) of this49396
section is hereby declared to be a public nuisance.49397

       Divisions (B)(1) and (2) of this section do not apply if the49398
person placing or releasing the sludge or sludge materials holds a49399
valid, unexpired permit, or renewal of a permit, governing the49400
placement or release as provided in sections 6111.01 to 6111.08 of49401
the Revised Code or if the person's application for renewal of49402
such a permit is pending.49403

       (C) No person to whom a permit has been issued shall place or49404
discharge, or cause to be placed or discharged, in any waters of49405
the state any sewage, sludge, sludge materials, industrial waste, 49406
or other wastes in excess of the permissive discharges specified 49407
under an existing permit without first receiving a permit from the 49408
director to do so.49409

       (D) No person to whom a sludge management permit has been49410
issued shall place on the land or release into the air of the49411
state any sludge or sludge materials in excess of the permissive49412
amounts specified under the existing sludge management permit49413
without first receiving a modification of the existing sludge49414
management permit or a new sludge management permit to do so from49415
the director.49416

       (E) The director may require the submission of plans,49417
specifications, and other information that the director considers49418
relevant in connection with the issuance of permits.49419

       (F) This section does not apply to any of the following:49420

       (1) Waters used in washing sand, gravel, other aggregates, or 49421
mineral products when the washing and the ultimate disposal of the 49422
water used in the washing, including any sewage, industrial waste, 49423
or other wastes contained in the waters, are entirely confined to 49424
the land under the control of the person engaged in the recovery 49425
and processing of the sand, gravel, other aggregates, or mineral 49426
products and do not result in the pollution of waters of the 49427
state;49428

       (2) Water, gas, or other material injected into a well to49429
facilitate, or that is incidental to, the production of oil, gas,49430
artificial brine, or water derived in association with oil or gas49431
production and disposed of in a well, in compliance with a permit49432
issued under Chapter 1509. of the Revised Code, or sewage,49433
industrial waste, or other wastes injected into a well in49434
compliance with an injection well operating permit. Division49435
(F)(2) of this section does not authorize, without a permit, any49436
discharge that is prohibited by, or for which a permit is required49437
by, regulation of the United States environmental protection49438
agency.49439

       (3) Application of any materials to land for agricultural49440
purposes or runoff of the materials from that application or49441
pollution by animal waste or soil sediment, including attached49442
substances, resulting from farming, silvicultural, or earthmoving49443
activities regulated by Chapter 307. or 1511. of the Revised Code. 49444
Division (F)(3) of this section does not authorize, without a 49445
permit, any discharge that is prohibited by, or for which a permit 49446
is required by, the Federal Water Pollution Control Act or 49447
regulations adopted under it.49448

       (4) The excrement of domestic and farm animals defecated on49449
land or runoff therefrom into any waters of the state. Division 49450
(F)(4) of this section does not authorize, without a permit, any 49451
discharge that is prohibited by, or for which a permit is required 49452
by, the Federal Water Pollution Control Act or regulations adopted 49453
under it.49454

       (5) On and after the date on which the United States49455
environmental protection agency approves the NPDES program49456
submitted by the director of agriculture under section 903.08 of49457
the Revised Code, any discharge that is within the scope of the 49458
approved NPDES program submitted by the director of agriculture;49459

       (6) The discharge of sewage, industrial waste, or other49460
wastes into a sewerage system tributary to a treatment works. 49461
Division (F)(6) of this section does not authorize any discharge49462
into a publicly owned treatment works in violation of a49463
pretreatment program applicable to the publicly owned treatment49464
works.49465

       (7) A household sewage treatment system or a small flow 49466
on-site sewage treatment system, as applicable, as defined in 49467
section 3718.01 of the Revised Code that is installedSeptic tanks 49468
or other disposal systems for the disposal or treatment of sewage 49469
from single-family, two-family, or three-family dwellings in 49470
compliance with Chapter 3718.the sanitary code and section 49471
3707.01 of the Revised Code and rules adopted under it. Division 49472
(F)(7) of this section does not authorize, without a permit, any 49473
discharge that is prohibited by, or for which a permit is required 49474
by, regulation of the United States environmental protection 49475
agency.49476

       (8) Exceptional quality sludge generated outside of this49477
state and contained in bags or other containers not greater than49478
one hundred pounds in capacity. As used in division (F)(8) of this 49479
section, "exceptional quality sludge" has the same meaning as in 49480
division (Y) of section 3745.11 of the Revised Code.49481

       (G) The holder of a permit issued under section 402 (a) of49482
the Federal Water Pollution Control Act need not obtain a permit49483
for a discharge authorized by the permit until its expiration49484
date. Except as otherwise provided in this division, the director 49485
of environmental protection shall administer and enforce those 49486
permits within this state and may modify their terms and 49487
conditions in accordance with division (J) of section 6111.03 of 49488
the Revised Code. On and after the date on which the United States 49489
environmental protection agency approves the NPDES program 49490
submitted by the director of agriculture under section 903.08 of 49491
the Revised Code, the director of agriculture shall administer and 49492
enforce those permits within this state that are issued for any 49493
discharge that is within the scope of the approved NPDES program 49494
submitted by the director of agriculture.49495

       Sec. 6111.44.  (A) Except as otherwise provided in division49496
(B) of this section, in section 6111.14 of the Revised Code, or in49497
rules adopted under division (G) of section 6111.03 of the Revised49498
Code, no municipal corporation, county, public institution,49499
corporation, or officer or employee thereof or other person shall49500
provide or install sewerage or treatment works for sewage, sludge,49501
or sludge materials disposal or treatment or make a change in any49502
sewerage or treatment works until the plans therefor have been49503
submitted to and approved by the director of environmental49504
protection. Sections 6111.44 to 6111.46 of the Revised Code apply49505
to sewerage and treatment works of a municipal corporation or part49506
thereof, an unincorporated community, a county sewer district, or49507
other land outside of a municipal corporation or any publicly or49508
privately owned building or group of buildings or place, used for49509
the assemblage, entertainment, recreation, education, correction,49510
hospitalization, housing, or employment of persons.49511

       In granting an approval, the director may stipulate49512
modifications, conditions, and rules that the public health and49513
prevention of pollution may require. Any action taken by the49514
director shall be a matter of public record and shall be entered49515
in the director's journal. Each period of thirty days that a49516
violation of this section continues, after a conviction for the49517
violation, constitutes a separate offense.49518

       (B) Sections 6111.45 and 6111.46 of the Revised Code and49519
division (A) of this section do not apply to any of the following:49520

       (1) Sewerage or treatment works for sewage installed or to be 49521
installed for the use of a private residence or dwelling;49522

       (2) Sewerage systems, treatment works, or disposal systems 49523
for storm water from an animal feeding facility or manure, as 49524
"animal feeding facility" and "manure" are defined in section 49525
903.01 of the Revised Code;49526

       (3) Animal waste treatment or disposal works and related49527
management and conservation practices that are subject to rules49528
adopted under division (E)(2) of section 1511.02 of the Revised49529
Code;49530

       (4) Sewerage or treatment works for the on-lot disposal or 49531
treatment of sewage from a small flow on-site sewage treatment 49532
system, as defined in section 3718.01 of the Revised Code, if the 49533
board of health of a city or general health district has notified 49534
the director of health and the director of environmental 49535
protection under section 3718.021 of the Revised Code that the 49536
board has chosen to regulate the system, provided that the board 49537
remains in compliance with the rules adopted under division 49538
(A)(13) of section 3718.02 of the Revised Code.49539

        The exclusions established in divisions (B)(2) and (3) of49540
this section do not apply to the construction or installation of 49541
disposal systems, as defined in section 6111.01 of the Revised49542
Code, that are located at an animal feeding facility and that49543
store, treat, or discharge wastewaters that do not include storm49544
water or manure or that discharge to a publicly owned treatment49545
works.49546

       Sec. 6121.04.  The Ohio water development authority may do 49547
any or all of the following:49548

       (A) Adopt bylaws for the regulation of its affairs and the 49549
conduct of its business;49550

       (B) Adopt an official seal;49551

       (C) Maintain a principal office and suboffices at places 49552
within the state that it designates;49553

       (D) Sue and plead in its own name and be sued and impleaded 49554
in its own name with respect to its contracts or torts of its 49555
members, employees, or agents acting within the scope of their 49556
employment, or to enforce its obligations and covenants made under 49557
sections 6121.06, 6121.08, and 6121.13 of the Revised Code. Any 49558
such actions against the authority shall be brought in the court 49559
of common pleas of the county in which the principal office of the 49560
authority is located or in the court of common pleas of the county 49561
in which the cause of action arose, provided that the county is 49562
located within this state, and all summonses, exceptions, and 49563
notices of every kind shall be served on the authority by leaving 49564
a copy thereof at the principal office with the person in charge 49565
thereof or with the secretary-treasurer of the authority.49566

       (E) Make loans and grants to governmental agencies for the 49567
acquisition or construction of water development projects by any 49568
such governmental agency and adopt rules and procedures for making 49569
such loans and grants;49570

       (F) Acquire, construct, reconstruct, enlarge, improve, 49571
furnish, equip, maintain, repair, operate, or lease or rent to, or 49572
contract for operation by, a governmental agency or person, water 49573
development projects, and establish rules for the use of those 49574
projects;49575

       (G) Make available the use or services of any water 49576
development project to one or more persons, one or more 49577
governmental agencies, or any combination thereof;49578

       (H) Issue water development revenue bonds and notes and water 49579
development revenue refunding bonds of the state, payable solely 49580
from revenues as provided in section 6121.06 of the Revised Code, 49581
unless the bonds are refunded by refunding bonds, for the purpose 49582
of paying any part of the cost of one or more water development 49583
projects or parts thereof;49584

       (I) Acquire by gift or purchase, hold, and dispose of real 49585
and personal property in the exercise of its powers and the 49586
performance of its duties under this chapter;49587

       (J) Acquire, in the name of the state, by purchase or 49588
otherwise, on terms and in the manner that it considers proper, or 49589
by the exercise of the right of condemnation in the manner 49590
provided by section 6121.18 of the Revised Code, public or private 49591
lands, including public parks, playgrounds, or reservations, or 49592
parts thereof or rights therein, rights-of-way, property, rights, 49593
easements, and interests that it considers necessary for carrying 49594
out this chapter, but excluding the acquisition by the exercise of 49595
the right of condemnation of any waste water facility or water 49596
management facility owned by any person or governmental agency, 49597
and compensation shall be paid for public or private lands so 49598
taken, except that a government-owned waste water facility may be 49599
appropriated in accordance with section 6121.041 of the Revised 49600
Code;49601

       (K) Adopt rules to protect augmented flow in waters of the 49602
state, to the extent augmented by a water development project, 49603
from depletion so it will be available for beneficial use, and to 49604
provide standards for the withdrawal from waters of the state of 49605
the augmented flow created by a water development project that is 49606
not returned to the waters of the state so augmented and to49607
establish reasonable charges therefor if considered necessary by 49608
the authority;49609

       (L) Make and enter into all contracts and agreements and 49610
execute all instruments necessary or incidental to the performance 49611
of its duties and the execution of its powers under this chapter 49612
in accordance with the following requirements:49613

       (1) When the cost under any such contract or agreement, other 49614
than compensation for personal services, involves an expenditure 49615
of more than twenty-five thousand dollars, the authority shall 49616
make a written contract with the lowest responsive and responsible 49617
bidder, in accordance with section 9.312 of the Revised Code, 49618
after advertisement for not less than two consecutive weeks in a49619
newspaper of general circulation in Franklin county, and in other49620
publications that the authority determines, which shall state the 49621
general character of the work and the general character of the 49622
materials to be furnished, the place where plans and 49623
specifications therefor may be examined, and the time and place of 49624
receiving bids, provided that a contract or lease for the 49625
operation of a water development project constructed and owned by 49626
the authority or an agreement for cooperation in the acquisition 49627
or construction of a water development project pursuant to section 49628
6121.13 of the Revised Code or any contract for the construction 49629
of a water development project that is to be leased by the 49630
authority to, and operated by, persons who are not governmental 49631
agencies and the cost of the project is to be amortized49632
exclusively from rentals or other charges paid to the authority by 49633
persons who are not governmental agencies is not subject to the 49634
foregoing requirements and the authority may enter into such a 49635
contract or lease or such an agreement pursuant to negotiation and 49636
upon terms and conditions and for the period that it finds to be 49637
reasonable and proper in the circumstances and in the best49638
interests of proper operation or of efficient acquisition or 49639
construction of the project.49640

       (2) Each bid for a contract for the construction, demolition, 49641
alteration, repair, or reconstruction of an improvement shall 49642
contain the full name of every person interested in it and shall 49643
meet the requirements of section 153.54 of the Revised Code.49644

       (3) Each bid for a contract except as provided in division 49645
(L)(2) of this section shall contain the full name of every person 49646
or company interested in it and shall be accompanied by a 49647
sufficient bond or certified check on a solvent bank that if the 49648
bid is accepted, a contract will be entered into and the 49649
performance thereof secured.49650

       (4) The authority may reject any and all bids.49651

       (5) A bond with good and sufficient surety, approved by the 49652
authority, shall be required of every contractor awarded a 49653
contract except as provided in division (L)(2) of this section, in 49654
an amount equal to at least fifty per cent of the contract price, 49655
conditioned upon the faithful performance of the contract.49656

       (M) Employ managers, superintendents, and other employees and 49657
retain or contract with consulting engineers, financial 49658
consultants, accounting experts, architects, attorneys, and other 49659
consultants and independent contractors that are necessary in its 49660
judgment to carry out this chapter, and fix the compensation 49661
thereof. All expenses thereof shall be payable solely from the49662
proceeds of water development revenue bonds or notes issued under 49663
this chapter, from revenues, or from funds appropriated for that 49664
purpose by the general assembly.49665

       (N) Receive and accept from any federal agency, subject to 49666
the approval of the governor, grants for or in aid of the 49667
construction of any water development project or for research and 49668
development with respect to waste water or water management 49669
facilities, and receive and accept aid or contributions from any 49670
source of money, property, labor, or other things of value, to be 49671
held, used, and applied only for the purposes for which the grants 49672
and contributions are made;49673

       (O) Engage in research and development with respect to waste 49674
water or water management facilities;49675

       (P) Purchase fire and extended coverage and liability 49676
insurance for any water development project and for the principal 49677
office and suboffices of the authority, insurance protecting the 49678
authority and its officers and employees against liability for 49679
damage to property or injury to or death of persons arising from 49680
its operations, and any other insurance the authority may agree to 49681
provide under any resolution authorizing its water development 49682
revenue bonds or in any trust agreement securing the same;49683

       (Q) Charge, alter, and collect rentals and other charges for 49684
the use or services of any water development project as provided 49685
in section 6121.13 of the Revised Code;49686

       (R) Provide coverage for its employees under Chapters 145., 49687
4123., and 4141. of the Revised Code;49688

       (S) Assist in the implementation and administration of the 49689
drinking water assistance fund and program created in section 49690
6109.22 of the Revised Code and the water pollution control loan 49691
fund and program created in section 6111.036 of the Revised Code, 49692
including, without limitation, performing or providing fiscal 49693
management for the funds and investing and disbursing moneys in 49694
the funds, and enter into all necessary and appropriate agreements 49695
with the director of environmental protection for those purposes;49696

       (T) Issue water development revenue bonds and notes of the 49697
state in principal amounts that are necessary for the purpose of 49698
raising moneys for the sole benefit of the water pollution control 49699
loan fund created in section 6111.036 of the Revised Code, 49700
including moneys to meet the requirement for providing matching 49701
moneys under division (D) of that section. The bonds and notes may49702
be secured by appropriate trust agreements and repaid from moneys 49703
credited to the fund from payments of principal and interest on 49704
loans made from the fund, as provided in division (F) of section 49705
6111.036 of the Revised Code.49706

       (U) Issue water development revenue bonds and notes of the 49707
state in principal amounts that are necessary for the purpose of 49708
raising moneys for the sole benefit of the drinking water 49709
assistance fund created in section 6109.22 of the Revised Code, 49710
including moneys to meet the requirement for providing matching 49711
moneys under divisions (B) and (F) of that section. The bonds and 49712
notes may be secured by appropriate trust agreements and repaid 49713
from moneys credited to the fund from payments of principal and 49714
interest on loans made from the fund, as provided in division (F) 49715
of section 6109.22 of the Revised Code.49716

       (V) Make loans to and enter into agreements with boards of 49717
county commissioners for the purposes of section 1521.261506.4449718
of the Revised Code and adopt rules establishing requirements and 49719
procedures for making the loans and entering into the agreements;49720

       (W) Do all acts necessary or proper to carry out the powers49721
expressly granted in this chapter.49722

       Any instrument by which real property is acquired pursuant to 49723
this section shall identify the agency of the state that has the 49724
use and benefit of the real property as specified in section 49725
5301.012 of the Revised Code.49726

       Sec. 6121.043.  If a governmental agency fails to pay any49727
charge imposed pursuant to an order issued under section 6121.04149728
of the Revised Code within sixty days of the date due, such charge 49729
shall be deducted from the amount of the undivided local49730
governmentcommunities fund to which the agency is entitled 49731
pursuant to section 5747.51 or 5747.53 of the Revised Code, and 49732
shall be paid directly to the Ohio water development authority. If 49733
a person fails to pay a charge within sixty days of the date due, 49734
the authority shall certify such charge to the county auditor, who49735
shall place the charge on the real property tax list and duplicate 49736
against the property served. Such charge becomes a lien on such 49737
property from the date it is certified by the authority, and shall 49738
be collected in the manner that taxes are ordinarily collected and 49739
forwarded to the authority.49740

       Any revenues or other moneys pledged against obligations49741
which are collected by the authority in the operation of a single49742
or regional system of waste water facilities shall first be49743
applied to the payment of debt service on such obligations. No49744
action of the authority relieves a governmental agency of any duty 49745
which it may have to pay such obligations.49746

       Sec. 6131.23.  The assessments estimated in accordance with49747
section 6131.14 of the Revised Code shall be payable in not less49748
than two semiannual installments. At the time of the final49749
hearing, in the order approving the levying of the assessments,49750
the board of county commissioners shall determine how long a49751
period of time, in semiannual installments, as taxes are paid,49752
shall be given the owners of land benefited to pay the assessments 49753
that are made for an improvement and whether or not bonds or notes 49754
shall be issued and sold in anticipation of such payments. If 49755
bonds or notes are to be issued, the interest shall be added to 49756
the assessments. If the estimated cost of the improvement does not 49757
exceed five hundred dollars, not more than two semiannual 49758
installments, as taxes are paid, shall be given to owners of lands 49759
benefited to pay the assessments that are made for the 49760
improvement. If the estimated cost of the improvement exceeds five 49761
hundred dollars, the board may determine the number of 49762
installments in which the assessments are to be paid. If any such 49763
assessment is twenty-five dollars or less, or whenever the unpaid 49764
balance of any such assessment is twenty-five dollars or less, the 49765
same shall be paid in full, and not in installments, at the time 49766
the first or next installment would otherwise become due.49767

       When assessments are payable in installments and county49768
general funds are used to pay for the improvement, the assessment49769
shall not exceed tenthirty semiannual installments, as computed 49770
by the county auditor pursuant to section 6131.49 of the Revised 49771
Code, and shall be payable upon completion of the contract.49772

       When assessments are made payable in installments and bonds49773
or notes have been sold to pay for the improvement, interest shall 49774
be added to the installments of assessments at the same rate as is 49775
drawn by the bonds or notes issued to pay for the improvements. 49776
Any owner may pay the estimated assessments on the owner's land 49777
in cash within thirty days after the final hearing without paying 49778
any interest thereon. If the legislative authority of a political 49779
subdivision chooses to pay the assessments on all parcels within 49780
the subdivision, both public and private, in one installment, it 49781
shall pass a resolution so stating and shall send the resolution, 49782
or a copy thereof, to the board of county commissioners before 49783
making the payment. The legislative authority shall pay all 49784
subsequent maintenance assessments levied under section 6137.03 of 49785
the Revised Code if it chooses to pay the construction assessments 49786
on all parcels within the subdivision.49787

       Bonds may be sold for any repayment period that the board of 49788
county commissioners may determine proper, not to exceed sixteen49789
thirty semiannual installments, except that for bonds sold by a 49790
board of county commissioners for soil and water conservation 49791
district improvements pursuant to section 1515.24 of the Revised 49792
Code, the repayment period shall not exceed thirty semiannual 49793
installments.49794

       Section 101.02. That existing sections 9.821, 9.822, 9.823, 49795
9.83, 107.12, 107.40, 109.57, 109.572, 109.93, 111.18, 118.01, 49796
118.08, 118.17, 118.20, 118.23, 119.07, 120.33, 122.17, 122.171, 49797
122.602, 124.152, 125.45, 125.93, 125.96, 125.97, 125.98, 126.07, 49798
126.08, 126.16, 126.21, 126.22, 127.14, 127.16, 131.44, 133.01, 49799
133.10, 133.25, 135.35, 135.352, 151.08, 151.40, 152.31, 156.02, 49800
164.03, 164.05, 164.051, 164.08, 164.09, 166.08, 173.04, 173.35, 49801
173.71, 173.85, 173.86, 174.03, 174.06, 183.01, 183.021, 183.17, 49802
183.33, 183.34, 183.35, 307.021, 307.37, 307.695, 307.6910, 49803
307.98, 307.981, 308.04, 317.08, 319.202, 319.281, 319.54, 321.08, 49804
322.01, 323.151, 323.152, 323.153, 323.154, 325.31, 329.04, 49805
329.05, 329.14, 340.03, 505.376, 517.08, 521.01, 709.191, 711.05, 49806
711.10, 711.131, 718.13, 742.301, 1503.05, 1504.02, 1506.01, 49807
1506.99, 1521.01, 1521.20, 1521.21, 1521.22, 1521.23, 1521.24, 49808
1521.25, 1521.26, 1521.27, 1521.28, 1521.29, 1521.30, 1521.99, 49809
1531.06, 1531.35, 1548.06, 1555.08, 1557.03, 1901.34, 2151.362, 49810
2913.40, 2921.42, 2927.023, 2935.03, 3109.04, 3109.041, 3119.022, 49811
3119.023, 3119.27, 3119.29, 3119.30, 3125.12, 3301.0711, 49812
3301.0714, 3301.53, 3302.03, 3302.10, 3311.24, 3313.41, 3313.615, 49813
3313.64, 3313.646, 3313.66, 3313.661, 3313.98, 3314.015, 3314.02, 49814
3314.03, 3314.074, 3314.08, 3314.26, 3317.01, 3317.012, 3317.013, 49815
3317.014, 3317.015, 3317.016, 3317.017, 3317.02, 3317.021, 49816
3317.022, 3317.023, 3317.024, 3317.025, 3317.026, 3317.027, 49817
3317.028, 3317.029, 3317.0216, 3317.0217, 3317.03, 3317.04, 49818
3317.05, 3317.06, 3317.08, 3317.16, 3317.20, 3317.201, 3318.12, 49819
3318.15, 3318.26, 3319.55, 3321.01, 3323.01, 3323.11, 3327.05, 49820
3333.04, 3333.122, 3333.38, 3357.01, 3365.01, 3375.05, 3375.121, 49821
3375.40, 3375.85, 3381.04, 3501.17, 3701.74, 3701.741, 3701.83, 49822
3702.52, 3702.5211, 3702.5212, 3702.5213, 3702.57, 3702.63, 49823
3702.68, 3704.03, 3704.14, 3705.24, 3709.09, 3709.091, 3721.51, 49824
3721.541, 3721.56, 3734.57, 3735.672, 3745.11, 3746.04, 3769.087, 49825
3770.03, 3770.06, 3905.36, 4123.35, 4141.09, 4301.43, 4503.06, 49826
4503.061, 4503.064, 4503.065, 4503.066, 4503.067, 4503.10, 49827
4503.102, 4503.35, 4505.06, 4513.263, 4513.35, 4519.55, 4717.07, 49828
4723.621, 4723.63, 4723.64, 4723.65, 4723.66, 4731.142, 4731.22, 49829
4736.01, 4743.05, 4755.03, 4766.05, 4775.08, 4921.40, 5101.162, 49830
5101.21, 5101.211, 5101.212, 5101.213, 5101.24, 5101.242, 49831
5101.244, 5101.26, 5101.47, 5101.50, 5101.521, 5101.571, 5101.572, 49832
5101.58, 5101.59, 5101.802, 5101.98, 5104.30, 5107.02, 5107.03, 49833
5107.05, 5107.10, 5107.12, 5107.14, 5107.16, 5107.17, 5107.281, 49834
5107.30, 5107.36, 5107.41, 5107.42, 5111.01, 5111.014, 5111.016, 49835
5111.019, 5111.0112, 5111.023, 5111.03, 5111.06, 5111.084, 49836
5111.10, 5111.101, 5111.163, 5111.17, 5111.20, 5111.871, 49837
5111.8814, 5111.95, 5111.96, 5112.341, 5115.12, 5119.611, 5123.01, 49838
5123.043, 5123.045, 5123.051, 5123.19, 5123.196, 5123.198, 49839
5123.20, 5123.211, 5123.38, 5123.41, 5123.51, 5123.99, 5126.038, 49840
5126.042, 5126.046, 5126.055, 5126.057, 5126.06, 5126.11, 5126.12, 49841
5126.15, 5126.18, 5126.19, 5126.25, 5126.40, 5126.42, 5126.43, 49842
5126.45, 5126.47, 5139.27, 5139.271, 5139.43, 5302.30, 5528.54, 49843
5531.10, 5537.04, 5537.16, 5537.99, 5705.28, 5705.281, 5705.29, 49844
5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 5709.68, 5709.882, 49845
5715.36, 5719.041, 5725.151, 5725.24, 5727.45, 5727.84, 5727.85, 49846
5727.87, 5733.01, 5733.12, 5733.98, 5739.02, 5739.033, 5739.12, 49847
5739.21, 5741.02, 5741.03, 5743.01, 5743.20, 5743.331, 5745.02, 49848
5745.05, 5745.13, 5747.03, 5747.46, 5747.47, 5747.48, 5747.50, 49849
5747.501, 5747.51, 5747.52, 5747.53, 5747.54, 5747.55, 5747.98, 49850
5748.01, 5748.02, 5748.021, 5748.04, 5748.08, 5751.20, 5751.21, 49851
5751.23, 5907.15, 6109.21, 6111.04, 6111.44, 6121.04, 6121.043, 49852
and 6131.23 of the Revised Code are hereby repealed.49853

       Section 105.01. That sections 125.95, 183.02, 183.27, 183.32, 49854
3310.01, 3310.02, 3310.03, 3310.04, 3310.05, 3310.06, 3310.07, 49855
3310.08, 3310.09, 3310.10, 3310.11, 3310.12, 3310.13, 3310.14, 49856
3310.17, 3318.47, 3318.48, 3318.49, 3333.29, 3702.68, 3718.01, 49857
3718.02, 3718.021, 3718.03, 3718.04, 3718.05, 3718.06, 3718.07, 49858
3718.08, 3718.09, 3718.10, 3718.99, 4911.021, 5111.161, 5123.16, 49859
5123.182, 5123.199, 5126.035, 5126.036, 5126.053, 5126.431, 49860
5126.44, 5126.451, 5747.61, 5747.62, 5747.63, and 6111.441 of the 49861
Revised Code are hereby repealed.49862

       Section 105.03. That the version of section 3702.68 of the 49863
Revised Code that was to have taken effect July 1, 2007, as a 49864
result of Sections 3 to 5 of Am. Sub. S.B. 50 of the 121st General 49865
Assembly, as most recently amended by Am. Sub. H.B. 66 of the 49866
126th General Assembly, is hereby repealed. It is the intent of 49867
this section to prevent the amendment of section 3702.68 of the 49868
Revised Code that was to have taken effect July 1, 2007.49869

       Section 110.07. That the version of section 127.16 of the 49870
Revised Code that is scheduled to take effect July 1, 2007, be 49871
amended to read as follows:49872

       Sec. 127.16.  (A) Upon the request of either a state agency49873
or the director of budget and management and after the controlling49874
board determines that an emergency or a sufficient economic reason49875
exists, the controlling board may approve the making of a purchase49876
without competitive selection as provided in division (B) of this49877
section.49878

       (B) Except as otherwise provided in this section, no state49879
agency, using money that has been appropriated to it directly,49880
shall:49881

       (1) Make any purchase from a particular supplier, that would49882
amount to fifty thousand dollars or more when combined with both49883
the amount of all disbursements to the supplier during the fiscal49884
year for purchases made by the agency and the amount of all49885
outstanding encumbrances for purchases made by the agency from the49886
supplier, unless the purchase is made by competitive selection or49887
with the approval of the controlling board;49888

       (2) Lease real estate from a particular supplier, if the49889
lease would amount to seventy-five thousand dollars or more when49890
combined with both the amount of all disbursements to the supplier49891
during the fiscal year for real estate leases made by the agency49892
and the amount of all outstanding encumbrances for real estate49893
leases made by the agency from the supplier, unless the lease is49894
made by competitive selection or with the approval of the49895
controlling board.49896

       (C) Any person who authorizes a purchase in violation of49897
division (B) of this section shall be liable to the state for any49898
state funds spent on the purchase, and the attorney general shall49899
collect the amount from the person.49900

       (D) Nothing in division (B) of this section shall be49901
construed as:49902

       (1) A limitation upon the authority of the director of49903
transportation as granted in sections 5501.17, 5517.02, and49904
5525.14 of the Revised Code;49905

       (2) Applying to medicaid provider agreements under Chapter49906
5111. of the Revised Code or payments or provider agreements under 49907
the disability medical assistance program established under 49908
Chapter 5115. of the Revised Code;49909

       (3) Applying to the purchase of examinations from a sole49910
supplier by a state licensing board under Title XLVII of the49911
Revised Code;49912

       (4) Applying to entertainment contracts for the Ohio state49913
fair entered into by the Ohio expositions commission, provided49914
that the controlling board has given its approval to the49915
commission to enter into such contracts and has approved a total49916
budget amount for such contracts as agreed upon by commission49917
action, and that the commission causes to be kept itemized records49918
of the amounts of money spent under each contract and annually49919
files those records with the clerk of the house of representatives49920
and the clerk of the senate following the close of the fair;49921

       (5) Limiting the authority of the chief of the division of49922
mineral resources management to contract for reclamation work with49923
an operator mining adjacent land as provided in section 1513.27 of49924
the Revised Code;49925

       (6) Applying to investment transactions and procedures of any 49926
state agency, except that the agency shall file with the board the 49927
name of any person with whom the agency contracts to make, broker, 49928
service, or otherwise manage its investments, as well as the 49929
commission, rate, or schedule of charges of such person with49930
respect to any investment transactions to be undertaken on behalf49931
of the agency. The filing shall be in a form and at such times as49932
the board considers appropriate.49933

       (7) Applying to purchases made with money for the per cent49934
for arts program established by section 3379.10 of the Revised49935
Code;49936

       (8) Applying to purchases made by the rehabilitation services 49937
commission of services, or supplies, that are provided to persons 49938
with disabilities, or to purchases made by the commission in 49939
connection with the eligibility determinations it makes for49940
applicants of programs administered by the social security49941
administration;49942

       (9) Applying to payments by the department of job and family49943
services under section 5111.13 of the Revised Code for group49944
health plan premiums, deductibles, coinsurance, and other49945
cost-sharing expenses;49946

       (10) Applying to any agency of the legislative branch of the49947
state government;49948

       (11) Applying to agreements or contracts entered into under49949
section 5101.11, 5101.20, 5101.201, 5101.21, or 5101.214 of the 49950
Revised Code;49951

       (12) Applying to purchases of services by the adult parole49952
authority under section 2967.14 of the Revised Code or by the49953
department of youth services under section 5139.08 of the Revised49954
Code;49955

       (13) Applying to dues or fees paid for membership in an49956
organization or association;49957

       (14) Applying to purchases of utility services pursuant to49958
section 9.30 of the Revised Code;49959

       (15) Applying to purchases made in accordance with rules49960
adopted by the department of administrative services of motor49961
vehicle, aviation, or watercraft fuel, or emergency repairs of49962
such vehicles;49963

       (16) Applying to purchases of tickets for passenger air49964
transportation;49965

       (17) Applying to purchases necessary to provide public49966
notifications required by law or to provide notifications of job49967
openings;49968

       (18) Applying to the judicial branch of state government;49969

       (19) Applying to purchases of liquor for resale by the49970
division of liquor control;49971

       (20) Applying to purchases of motor courier and freight49972
services made in accordance with department of administrative49973
services rules;49974

       (21) Applying to purchases from the United States postal49975
service and purchases of stamps and postal meter replenishment49976
from vendors at rates established by the United States postal49977
service;49978

       (22) Applying to purchases of books, periodicals, pamphlets,49979
newspapers, maintenance subscriptions, and other published49980
materials;49981

       (23) Applying to purchases from other state agencies,49982
including state-assisted institutions of higher education;49983

       (24) Limiting the authority of the director of environmental49984
protection to enter into contracts under division (D) of section49985
3745.14 of the Revised Code to conduct compliance reviews, as49986
defined in division (A) of that section;49987

       (25) Applying to purchases from a qualified nonprofit agency49988
pursuant to sections 125.60 to 125.6012 or 4115.31 to 4115.35 of 49989
the Revised Code;49990

       (26) Applying to payments by the department of job and family49991
services to the United States department of health and human49992
services for printing and mailing notices pertaining to the tax49993
refund offset program of the internal revenue service of the49994
United States department of the treasury;49995

       (27) Applying to contracts entered into by the department of49996
mental retardation and developmental disabilities under sections49997
section 5123.18, 5123.182, and 5123.199 of the Revised Code;49998

       (28) Applying to payments made by the department of mental49999
health under a physician recruitment program authorized by section50000
5119.101 of the Revised Code;50001

       (29) Applying to contracts entered into with persons by the50002
director of commerce for unclaimed funds collection and remittance50003
efforts as provided in division (F) of section 169.03 of the50004
Revised Code. The director shall keep an itemized accounting of50005
unclaimed funds collected by those persons and amounts paid to50006
them for their services.50007

       (30) Applying to purchases made by a state institution of50008
higher education in accordance with the terms of a contract50009
between the vendor and an inter-university purchasing group50010
comprised of purchasing officers of state institutions of higher50011
education;50012

       (31) Applying to the department of job and family services'50013
purchases of health assistance services under the children's50014
health insurance program part I provided for under section 5101.5050015
of the Revised Code or, the children's health insurance program50016
part II provided for under section 5101.51 of the Revised Code, or 50017
the children's health insurance program part III provided for 50018
under section 5101.52 of the Revised Code;50019

       (32) Applying to payments by the attorney general from the50020
reparations fund to hospitals and other emergency medical50021
facilities for performing medical examinations to collect physical50022
evidence pursuant to section 2907.28 of the Revised Code;50023

       (33) Applying to contracts with a contracting authority or50024
administrative receiver under division (B) of section 5126.056 of 50025
the Revised Code;50026

       (34) Applying to reimbursements paid to the United States 50027
department of veterans affairs for pharmaceutical and patient 50028
supply purchases made on behalf of the Ohio veterans' home agency;50029

       (35) Applying to agreements entered into with terminal 50030
distributors of dangerous drugs under section 173.79 of the 50031
Revised Code.50032

       (E) Notwithstanding division (B)(1) of this section, the50033
cumulative purchase threshold shall be seventy-five thousand50034
dollars for the departments of mental retardation and50035
developmental disabilities, mental health, rehabilitation and50036
correction, and youth services.50037

       (F) When determining whether a state agency has reached the50038
cumulative purchase thresholds established in divisions (B)(1),50039
(B)(2), and (E) of this section, all of the following purchases by50040
such agency shall not be considered:50041

       (1) Purchases made through competitive selection or with50042
controlling board approval;50043

       (2) Purchases listed in division (D) of this section;50044

       (3) For the purposes of the thresholds of divisions (B)(1)50045
and (E) of this section only, leases of real estate.50046

       (G) As used in this section, "competitive selection,"50047
"purchase," "supplies," and "services" have the same meanings as50048
in section 125.01 of the Revised Code.50049

       Section 110.08. That the existing version of section 127.16 50050
of the Revised Code that is scheduled to take effect July 1, 2007, 50051
is hereby repealed.50052

       Section 115.03. That section 5101.213 of the Revised Code is 50053
hereby repealed, effective July 1, 2008.50054

       Section 130.01. As is more completely explained in Sections 50055
130.02 and 130.03 that follow, this act, pursuant to Section 50056
611.03 of Am. Sub. H.B. 66 of the 126th General Assembly, confirms 50057
and orders implementation of the amendments and the enactment 50058
referred to in Section 611.03, the taking effect of which 50059
amendments and enactment by Am. Sub. H.B. 66 was postponed in 50060
whole or in part by Section 611.03 pending this confirmation and 50061
order.50062

       Section 130.02. (A)(1) Section 9.833 of the Revised Code is 50063
presented in division (B) of this section solely for the purpose 50064
of confirming the section and ordering its implementation as it 50065
results from Am. Sub. H.B. 46 and Am. Sub. H.B. 66 of the 126th 50066
General Assembly. Sections 3111.19, 3313.12, and 4117.08 of the 50067
Revised Code are presented in division (B) of this section solely 50068
for the purpose of confirming the sections and ordering their 50069
implementation as they result from Am. Sub. H.B. 66 of the 126th 50070
General Assembly. No other action is being taken with regard to 50071
these sections.50072

        (2) Section 9.90 of the Revised Code is presented in division 50073
(B) of this section for the purposes of confirming the section and 50074
ordering its implementation as it results from Am. Sub. H.B. 66 50075
and Sub. H.B. 193 of the 126th General Assembly and of amending 50076
the section to read as directed by this act. Section 9.901 of the 50077
Revised Code is presented in division (B) of this section for the 50078
purposes of confirming the section and ordering its complete 50079
implementation as it results from Am. Sub. H.B. 66 of the 126th 50080
General Assembly and as it was subsequently amended by Am. Sub. 50081
H.B. 530 of the 126th General Assembly and of amending the section 50082
to read as directed by this act. Sections 3313.202, 3313.33, and 50083
4117.03 of the Revised Code are presented in division (B) of this 50084
section for the purposes of confirming the sections and ordering 50085
their implementation as they result from Am. Sub. H.B. 66 of the 50086
126th General Assembly and of amending the sections to read as 50087
directed by this act.50088

        (B) Sections 9.833, 9.90, 9.901, 3311.19, 3313.12, 3313.202, 50089
3313.33, 4117.03, and 4117.08 of the Revised Code are presented in 50090
this division as explained in divisions (A)(1) and (2) of this 50091
section:50092

       Sec. 9.833.  (A) As used in this section, "political50093
subdivision" means a municipal corporation, township, county, or 50094
other body corporate and politic responsible for governmental 50095
activities in a geographic area smaller than that of the state, 50096
and agencies and instrumentalities of these entities. For purposes 50097
of this section, a school district is not a "political 50098
subdivision."50099

       (B) Political subdivisions that provide health care benefits 50100
for their officers or employees may do any of the following:50101

       (1) Establish and maintain an individual self-insurance50102
program with public moneys to provide authorized health care50103
benefits, including but not limited to, health care, prescription 50104
drugs, dental care, and vision care, in accordance with division 50105
(C) of this section;50106

       (2) Establish and maintain a health savings account program 50107
whereby employees or officers may establish and maintain health 50108
savings accounts in accordance with section 223 of the Internal 50109
Revenue Code. Public moneys may be used to pay for or fund 50110
federally qualified high deductible health plans that are linked 50111
to health savings accounts or to make contributions to health 50112
savings accounts. A health savings account program may be a part 50113
of a self-insurance program.50114

       (3) After establishing an individual self-insurance program, 50115
agree with other political subdivisions that have established 50116
individual self-insurance programs for health care benefits, that 50117
their programs will be jointly administered in a manner specified 50118
in the agreement;50119

       (4) Pursuant to a written agreement and in accordance with50120
division (C) of this section, join in any combination with other50121
political subdivisions to establish and maintain a joint50122
self-insurance program to provide health care benefits;50123

       (5) Pursuant to a written agreement, join in any combination 50124
with other political subdivisions to procure or contract for 50125
policies, contracts, or plans of insurance to provide health care 50126
benefits, which may include a health savings account program, for 50127
their officers and employees subject to the agreement;50128

       (6) Use in any combination any of the policies, contracts,50129
plans, or programs authorized under this division.50130

       (C) Except as otherwise provided in division (E) of this50131
section, the following apply to individual or joint self-insurance 50132
programs established pursuant to this section:50133

       (1) Such funds shall be reserved as are necessary, in the50134
exercise of sound and prudent actuarial judgment, to cover50135
potential cost of health care benefits for the officers and50136
employees of the political subdivision. A report of amounts so50137
reserved and disbursements made from such funds, together with a50138
written report of a member of the American academy of actuaries50139
certifying whether the amounts reserved conform to the50140
requirements of this division, are computed in accordance with50141
accepted loss reserving standards, and are fairly stated in50142
accordance with sound loss reserving principles, shall be prepared 50143
and maintained, within ninety days after the last day of the 50144
fiscal year of the entity for which the report is provided for 50145
that fiscal year, in the office of the program administrator50146
described in division (C)(3) of this section.50147

       The report required by division (C)(1) of this section shall 50148
include, but not be limited to, disbursements made for the50149
administration of the program, including claims paid, costs of the50150
legal representation of political subdivisions and employees, and50151
fees paid to consultants.50152

       The program administrator described in division (C)(3) of50153
this section shall make the report required by this division50154
available for inspection by any person at all reasonable times50155
during regular business hours, and, upon the request of such50156
person, shall make copies of the report available at cost within a 50157
reasonable period of time.50158

       (2) Each political subdivision shall reserve funds necessary 50159
for an individual or joint self-insurance program in a special 50160
fund that may be established for political subdivisions other than 50161
an agency or instrumentality pursuant to an ordinance or50162
resolution of the political subdivision and not subject to section 50163
5705.12 of the Revised Code. An agency or instrumentality shall 50164
reserve the funds necessary for an individual or joint 50165
self-insurance program in a special fund established pursuant to a 50166
resolution duly adopted by the agency's or instrumentality's 50167
governing board. The political subdivision may allocate the costs 50168
of insurance or any self-insurance program, or both, among the 50169
funds or accounts established under this division on the basis of 50170
relative exposure and loss experience.50171

       (3) A contract may be awarded, without the necessity of50172
competitive bidding, to any person, political subdivision,50173
nonprofit corporation organized under Chapter 1702. of the Revised 50174
Code, or regional council of governments created under Chapter 50175
167. of the Revised Code for purposes of administration of an 50176
individual or joint self-insurance program. No such contract shall 50177
be entered into without full, prior, public disclosure of all 50178
terms and conditions. The disclosure shall include, at a minimum, 50179
a statement listing all representations made in connection with 50180
any possible savings and losses resulting from the contract, and 50181
potential liability of any political subdivision or employee. The 50182
proposed contract and statement shall be disclosed and presented 50183
at a meeting of the political subdivision not less than one week 50184
prior to the meeting at which the political subdivision authorizes 50185
the contract.50186

       A contract awarded to a nonprofit corporation or a regional 50187
council of governments under this division may provide that all 50188
employees of the nonprofit corporation or regional council of 50189
governments and the employees of all entities related to the 50190
nonprofit corporation or regional council of governments may be 50191
covered by the individual or joint self-insurance program under 50192
the terms and conditions set forth in the contract.50193

       (4) The individual or joint self-insurance program shall50194
include a contract with a member of the American academy of50195
actuaries for the preparation of the written evaluation of the50196
reserve funds required under division (C)(1) of this section.50197

       (5) A joint self-insurance program may allocate the costs of 50198
funding the program among the funds or accounts established under 50199
this division to the participating political subdivisions on the50200
basis of their relative exposure and loss experience.50201

       (6) An individual self-insurance program may allocate the 50202
costs of funding the program among the funds or accounts 50203
established under this division to the political subdivision that 50204
established the program.50205

       (7) Two or more political subdivisions may also authorize the 50206
establishment and maintenance of a joint health care cost50207
containment program, including, but not limited to, the employment50208
of risk managers, health care cost containment specialists, and50209
consultants, for the purpose of preventing and reducing health50210
care costs covered by insurance, individual self-insurance, or 50211
joint self-insurance programs.50212

       (8) A political subdivision is not liable under a joint50213
self-insurance program for any amount in excess of amounts payable 50214
pursuant to the written agreement for the participation of the 50215
political subdivision in the joint self-insurance program. Under a 50216
joint self-insurance program agreement, a political subdivision 50217
may, to the extent permitted under the written agreement, assume 50218
the risks of any other political subdivision. A joint 50219
self-insurance program established under this section is deemed a 50220
separate legal entity for the public purpose of enabling the 50221
members of the joint self-insurance program to obtain insurance or 50222
to provide for a formalized, jointly administered self-insurance 50223
fund for its members. An entity created pursuant to this section 50224
is exempt from all state and local taxes.50225

       (9) Any political subdivision, other than an agency or 50226
instrumentality, may issue general obligation bonds, or special 50227
obligation bonds that are not payable from real or personal 50228
property taxes, and may also issue notes in anticipation of such 50229
bonds, pursuant to an ordinance or resolution of its legislative 50230
authority or other governing body for the purpose of providing 50231
funds to pay expenses associated with the settlement of claims, 50232
whether by way of a reserve or otherwise, and to pay the political 50233
subdivision's portion of the cost of establishing and maintaining 50234
an individual or joint self-insurance program or to provide for 50235
the reserve in the special fund authorized by division (C)(2) of 50236
this section.50237

       In its ordinance or resolution authorizing bonds or notes50238
under this section, a political subdivision may elect to issue50239
such bonds or notes under the procedures set forth in Chapter 133. 50240
of the Revised Code. In the event of such an election,50241
notwithstanding Chapter 133. of the Revised Code, the maturity of50242
the bonds may be for any period authorized in the ordinance or50243
resolution not exceeding twenty years, which period shall be the50244
maximum maturity of the bonds for purposes of section 133.22 of50245
the Revised Code.50246

       Bonds and notes issued under this section shall not be50247
considered in calculating the net indebtedness of the political50248
subdivision under sections 133.04, 133.05, 133.06, and 133.07 of50249
the Revised Code. Sections 9.98 to 9.983 of the Revised Code are50250
hereby made applicable to bonds or notes authorized under this50251
section.50252

       (10) A joint self-insurance program is not an insurance50253
company. Its operation does not constitute doing an insurance50254
business and is not subject to the insurance laws of this state.50255

       (D) A political subdivision may procure group life insurance 50256
for its employees in conjunction with an individual or joint 50257
self-insurance program authorized by this section, provided that 50258
the policy of group life insurance is not self-insured.50259

       (E) Divisions (C)(1), (2), and (4) of this section do not50260
apply to individual self-insurance programs in municipal50261
corporations, townships, or counties.50262

       (F) A public official or employee of a political subdivision 50263
who is or becomes a member of the governing body of the program 50264
administrator of a joint self-insurance program in which the 50265
political subdivision participates is not in violation of division 50266
(D) or (E) of section 102.03, division (C) of section 102.04, or 50267
section 2921.42 of the Revised Code as a result of either of the 50268
following:50269

       (1) The political subdivision's entering under this section 50270
into the written agreement to participate in the joint 50271
self-insurance program;50272

       (2) The political subdivision's entering under this section 50273
into any other contract with the joint self-insurance program.50274

       Sec. 9.90.  (A) The governing board of any public institution 50275
of higher education, including without limitation state 50276
universities and colleges, community college districts, university 50277
branch districts, technical college districts, and municipal 50278
universities, may, in addition to all other powers provided in the50279
Revised Code:50280

       (1) Contract for, purchase, or otherwise procure from an50281
insurer or insurers licensed to do business by the state of Ohio50282
for or on behalf of such of its employees as it may determine,50283
life insurance, or sickness, accident, annuity, endowment, health, 50284
medical, hospital, dental, or surgical coverage and benefits, or 50285
any combination thereof, by means of insurance plans or other 50286
types of coverage, family, group or otherwise, and may pay from 50287
funds under its control and available for such purpose all or any 50288
portion of the cost, premium, or charge for such insurance, 50289
coverage, or benefits. However, the governing board, in addition 50290
to or as an alternative to the authority otherwise granted by 50291
division (A)(1) of this section, may elect to procure coverage for 50292
health care services, for or on behalf of such of its employees as 50293
it may determine, by means of policies, contracts, certificates, 50294
or agreements issued by at least two health insuring corporations 50295
holding a certificate of authority under Chapter 1751. of the 50296
Revised Code and may pay from funds under the governing board's 50297
control and available for such purpose all or any portion of the 50298
cost of such coverage.50299

       (2) Make payments to a custodial account for investment in50300
regulated investment company stock for the purpose of providing50301
retirement benefits as described in section 403(b)(7) of the50302
Internal Revenue Code of 1954, as amended. Such stock shall be50303
purchased only from persons authorized to sell such stock in this50304
state.50305

       Any income of an employee deferred under divisions (A)(1) and 50306
(2) of this section in a deferred compensation program eligible 50307
for favorable tax treatment under the Internal Revenue Code of 50308
1954, as amended, shall continue to be included as regular 50309
compensation for the purpose of computing the contributions to and 50310
benefits from the retirement system of such employee. Any sum so 50311
deferred shall not be included in the computation of any federal 50312
and state income taxes withheld on behalf of any such employee.50313

       (B) All or any portion of the cost, premium, or charge50314
therefor may be paid in such other manner or combination of50315
manners as the governing board may determine, including direct 50316
payment by the employee in cases under division (A)(1) of this 50317
section, and, if authorized in writing by the employee in cases 50318
under division (A)(1) or (2) of this section, by such governing 50319
board with moneys made available by deduction from or reduction in 50320
salary or wages or by the foregoing of a salary or wage increase. 50321
Nothing in section 3917.01 or section 3917.06 of the Revised Code 50322
shall prohibit the issuance or purchase of group life insurance 50323
authorized by this section by reason of payment of premiums 50324
therefor by the governing board from its funds, and such group 50325
life insurance may be so issued and purchased if otherwise 50326
consistent with the provisions of sections 3917.01 to 3917.07 of 50327
the Revised Code.50328

       (C) The board of education of any school district may 50329
exercise any of the powers granted to the governing boards of 50330
public institutions of higher education under divisions (A) and 50331
(B) of this section, except in relation to the provision of health 50332
care benefits to employees. All health care benefits provided to 50333
persons employed by the public schools of this state shall be 50334
medicalhealth care plans designedthat contain best practices 50335
established by the school employees health care board pursuant to 50336
section 9.901 of the Revised Code.50337

       Sec. 9.901.  (A)(1) All health care benefits provided to 50338
persons employed by the public schoolsschool districts of this 50339
state shall be provided by medicalhealth care plans designedthat 50340
contain best practices established pursuant to this section by the 50341
school employees health care board. The board, in consultation 50342
with the superintendent of insurance, shall negotiate with and, in 50343
accordance with the competitive selection procedures of Chapter 50344
125. of the Revised Code, contract with one or more insurance 50345
companies authorized to do business in this state for the issuance 50346
of the plans.The plans described under this section shall be 50347
available to cover public school district employees not later than 50348
the last day of the month that is the eighteenth full month after 50349
the effective date of this amendment. The board shall release its 50350
best practices standards prior to the eighteen-month deadline. Any 50351
or all of the medicalhealth care plans designedthat contain best 50352
practices specified by the board may be self-insured. All 50353
self-insured plans adopted shall be administered by the board in 50354
accordance with this section. As used in this section, a "public 50355
school district" means a school in a city, local, exempted 50356
village, or joint vocational school district, and includes the 50357
educational service centers associated with those schools50358
districts.50359

       (2) Prior to soliciting proposals from insurance companies 50360
for the issuance of medical plans, the board shall determine what 50361
geographic regions exist in the state based on the availability of 50362
providers, networks, costs, and other factors relating to 50363
providing health care benefits. The board shall then determine 50364
what medical plans are offered by school districts and existing 50365
consortiums in the state. The board shall determine what medical 50366
plan offered by a school district or existing consortium in the 50367
region offers the lowest premium cost plan.50368

       (3) The board shall develop a request for proposals and 50369
solicit bids for medical plans for the school districts in a 50370
region similar to the existing plans. The board shall also 50371
determine the benefits offered by existing medical plans, the 50372
employees' costs, and the cost-sharing arrangements used by public 50373
schools participating in a consortium. The board shall determine 50374
what strategies are used by the existing medical plans to manage 50375
health care costs and shall study the potential benefits of state 50376
or regional consortiums of public schools offering multiple health 50377
care plans.50378

       (4) As used in this section, a:50379

       (a) A "medicalhealth care plan" includes group policies, 50380
contracts, and agreements that provide hospital, surgical, or 50381
medical expense coverage, including self-insured plans. A "medical50382
health care plan" does not include an individual plan offered to 50383
the employees of a public school district, or a plan that provides 50384
coverage only for specific disease or accidents, or a hospital 50385
indemnity, medicare supplement, or other plan that provides only 50386
supplemental benefits, paid for by the employees of a public 50387
school district.50388

       (b) A "health plan sponsor" means a public school district, a 50389
consortium of public school districts, or a council of 50390
governments.50391

       (B) The school employees health care board is hereby created. 50392
The school employees health care board shall consist of the 50393
following ninetwelve members and shall include individuals with 50394
experience with public school district benefit programs, health 50395
care industry providers, and medicalhealth care plan 50396
beneficiaries:50397

       (1) ThreeFour members appointed by the governor, one of whom 50398
shall be representative of nonadministrative public school 50399
district employees;50400

       (2) ThreeFour members appointed by the president of the 50401
senate, one of whom shall be representative of nonadministrative 50402
public school district employees;50403

       (3) ThreeFour members appointed by the speaker of the house 50404
of representatives, one of whom shall be representative of 50405
nonadministrative public school district employees.50406

       A member of the school employees health care board shall not 50407
be employed by, represent, or in any way be affiliated with a 50408
private entity that is providing services to the board, an 50409
individual school district, employers, or employees in the state 50410
of Ohio. 50411

       (C)(1) Members of the school employees health care board 50412
shall serve four-year terms; however, one of each of the initial 50413
members appointed under divisions (B)(1) to (3) of this section 50414
shall be appointed to a term of one year. The initial appointments 50415
under this section shall be made within forty-five days after 50416
September 29, 2005, but may be reappointed, except as otherwise 50417
specified in division (B) of this section.50418

       Members' terms shall end on the twenty-ninth day of 50419
September, but aA member shall continue to serve subsequent to 50420
the expiration of the member's term until a successor is 50421
appointed. Any vacancy occurring during a member's term shall be 50422
filled in the same manner as the original appointment, except that 50423
the person appointed to fill the vacancy shall be appointed to the 50424
remainder of the unexpired term.50425

       (2) Members shall serve withoutreceive compensation but50426
fixed pursuant to division (J) of section 124.15 of the Revised 50427
Code and shall be reimbursed from the school employees health care 50428
fund for actual and necessary expenses incurred in the performance 50429
of their official duties as members of the board.50430

       (3) Members may be removed by their appointing authority for 50431
misfeasance, malfeasance, incompetence, dereliction of duty, or 50432
other just cause.50433

       (D)(1) The governor shall call the first meeting of the 50434
school employees health care board. At that meeting, and annually 50435
thereafterAt the first meeting of the board after the first day 50436
of January of each calendar year, the board shall elect a 50437
chairperson and may elect members to other positions on the board 50438
as the board considers necessary or appropriate. The board shall 50439
meet at least fournine times each calendar year and shall also 50440
meet at the call of the chairperson or threefour or more board 50441
members. The chairperson shall provide reasonable advance notice 50442
of the time and place of board meetings to all members.50443

       (2) A majority of the board constitutes a quorum for the 50444
transaction of business at a board meeting. A majority vote of the 50445
members present is necessary for official action.50446

       (E) The school employees health care board shall conduct its 50447
business at open meetings; however, the records of the board are 50448
not public records for purposes of section 149.43 of the Revised 50449
Code.50450

       (F) The school employees health care fund is hereby created 50451
in the state treasury. The public schools shall pay all school 50452
employees health care board plan premiums in the manner prescribed 50453
by the school employees health care board to the board for deposit 50454
into the school employees health care fund. AllThe board shall 50455
use all funds in the school employees health care fund shall be 50456
used solely for the provision of health care benefits to public 50457
schools employees pursuant to this sectionto carry out the 50458
provisions of this section and related administrative costs. 50459
Premiums received by the board or insurance companies contracted 50460
pursuant to division (A) of this section are not subject to any 50461
state insurance premium tax.50462

       (G) The school employees health care board shall do all of 50463
the following:50464

       (1) Design multiple medicalAdopt and release a set of 50465
standards that shall be considered the best practices to which 50466
public school districts shall adhere in the selection and 50467
implementation of health care plans;50468

       (2) Develop best practices for the provision of health care 50469
benefits and subsequently approve health care plans, including 50470
regional plans, to provide, in the board's judgment, the optimal 50471
combination of coverage, cost, choice, and stability of health 50472
cost benefits. The board may establish more than one tier of 50473
premium rates for any medical plan. The board shall establish 50474
regions as necessary for the implementation of the board's medical 50475
plans. Plans and premium rates may vary across the regions 50476
established by the board.50477

       (2) Set an aggregate goalbased on the best practices 50478
developed by the board;50479

       (3) Require that the plans the health plan sponsors 50480
administer make readily available to the public all cost and 50481
design elements of the plan;50482

       (4) Determine the feasibility of procurement of selected 50483
health care benefits through consolidated systems that offer 50484
demonstrated economies of scale;50485

       (5) Work with health plan sponsors through educational 50486
outlets and consultation;50487

       (6) Maintain a commitment to transparency and public access 50488
of its meetings and activity pursuant to division (E) of this 50489
section;50490

       (7) Promote cooperation among all organizations affected by 50491
this section in identifying the elements for the successful 50492
implementation of this section;50493

       (8) Develop recommendations for employee and employer 50494
portions of premiums for the board's medicalhealth care plans so 50495
as to manage plan participation and encourage the use of 50496
value-based plan participation by employees;50497

       (3) Set(9) Develop recommendations for employer and employee 50498
plan copayments, deductibles, exclusions, limitations, 50499
formularies, premium shares, and other responsibilities;50500

       (4) Include(10) Ensure that disease management and consumer 50501
education programs, to the extent that the board determines is 50502
appropriate, are included in all medicalhealth care plans 50503
designed by the board, which programs shall include, but are not 50504
limited to, wellness programs and other measures designed to 50505
encourage the wise use of medicalhealth care plan coverage. These 50506
programs are not services or treatments for purposes of section 50507
3901.71 of the Revised Code.50508

       (5)(11) Create and distribute to the governor, the speaker of 50509
the house of representatives, and the president of the senate, an 50510
annual report covering the plan background; plan coverage options; 50511
plan administration, including procedures for monitoring and 50512
managing objectives, scope, and methodology; plan operations; 50513
employee and employer contribution rates and the relationship 50514
between the rates and the school employees health care fund 50515
balance; a means to develop and maintain identity and evaluate 50516
alternative employee and employer cost-sharing strategies; an 50517
evaluation of the effectiveness of cost-saving services and 50518
programs; an evaluation of efforts to control and manage member 50519
eligibility and to insure that proper employee and employer 50520
contributions are remitted to the trust fund; efforts to prevent 50521
and detect fraud; and efforts to manage and monitor board 50522
contracts;50523

       (6)(12) Utilize cost containment measures aligned with 50524
patient, plan, and provider management strategies in developing 50525
and managing medicalhealth care plans.50526

       (13) Prepare and disseminate to the public an annual report 50527
on the status of health plan sponsors' effectiveness in making 50528
progress to reduce the rate of increase in insurance premiums and 50529
employee out of pocket expenses, as well as progress in improving 50530
the health status of school district employees and their families.50531

       (H) The board also may develop and implement programs through 50532
its own initiative for specific health benefits to be utilized by 50533
health plan sponsors to supplement coverages offered by the school 50534
districts, including, but not limited to, prescription drugs and 50535
disease management.50536

       (I) The sections in Chapter 3923. of the Revised Code 50537
regulating public employee benefit plans are not applicable to the 50538
medicalhealth care plans designed pursuant to this section.50539

       (I)(J)(1) Public schoolsschool districts are not subject to 50540
this section prior to the release of medical plans designed 50541
pursuant tobest practices covered by this section, but shall 50542
adopt and implement board-approved best practices after the date 50543
the board releases its best practices pursuant to this section and 50544
by not later than the first day following the expiration of any 50545
collective bargaining agreement applicable to employees of the 50546
public school district that occurs after the release date. The 50547
board shall designate the specific date by which a particular 50548
public school district shall adopt and implement board-approved 50549
best practices.50550

       (2) Prior to the school employees health care board's release 50551
of the board's initial medical plans, theThe board shallmay50552
contract with anone or more independent consultantconsultants to 50553
analyze costs related to employee health care benefits provided by 50554
existing public school district plans in this state. The 50555
consultant shallconsultants may determine the benefits offered by 50556
existing medicalhealth care plans, the employees' costs, and the 50557
cost-sharing arrangements used by public schoolsschool districts50558
either participating in a consortium or by other means. The 50559
consultant shallconsultants may determine what strategies are 50560
used by the existing medicalhealth care plans to manage health 50561
care costs and shallmay study the potential benefits of state or 50562
regional consortiums of public schools offering multiple health 50563
care plans. Based on the findings of the analysis, the consultant 50564
shallconsultants may submit written recommendations to the board 50565
for the development and implementation of a successful program50566
best practices and programs for poolingimproving school 50567
districts' combined purchasing power for the acquisition of 50568
employee medicalhealth care plans. The consultant's 50569
recommendations shall address, at a minimum, all of the following 50570
issues:50571

       (a) The establishment of regions for the provision of medical 50572
plans, based on the availability of providers and plans in the 50573
state at the time that the school employees health care board is 50574
established;50575

       (b) The use of regional preferred provider and closed panel 50576
plans, health savings accounts, and alternative medical plans, to 50577
stabilize both costs and the premiums charged school districts and 50578
district employees;50579

       (c) The development of a system to obtain eligibility data 50580
and data compiled pursuant to the "Consolidated Omnibus Budget 50581
Reconciliation Act of 1985 (COBRA)," 100 Stat. 227, 29 U.S.C. 50582
1161, as amended;50583

       (d) The use of the competitive bidding process for regional 50584
medical plans;50585

       (e) The development of a timeline planning for the design and 50586
use of board medical plans by not later than December 31, 2007;50587

       (f) The use of information on claims and costs and of 50588
information reported by districts pursuant to COBRA in analyzing 50589
administrative and premium costs;50590

       (g) The experience of states that have mandated statewide 50591
medical plans for public school employees, including the 50592
implementation strategies used by those states;50593

       (h) Recommended strategies for the use of first-year roll-in 50594
premiums in the transition from district medical plans to school 50595
employees health care board plans;50596

       (i) The option of allowing school districts to join an 50597
existing regional consortium as an alternative to school employees 50598
health care board plans;50599

       (j) Mandatory and optional coverages to be offered by the 50600
board's medical plans;50601

       (k) Potential risks to the state from the use of medical 50602
plans developed pursuant to this section;50603

       (l) Any legislation needed to ensure the long-term financial 50604
solvency and stability of a health care purchasing system;50605

       (m) The potential impacts of any changes to the existing 50606
purchasing structure on all of the following:50607

       (i) Existing health care pooling and consortiums;50608

       (ii) School district employees;50609

       (iii) Individual school districts.50610

       (n) Issues that could arise when school districts transition 50611
from the existing purchasing structure to a new purchasing 50612
structure;50613

       (o) Strategies available to the board in the creation of fund 50614
reserves and the need for stop-loss insurance coverage for 50615
catastrophic losses;50616

       (p) Any legislation needed to establish and maintain medical 50617
plans designed pursuant to this section. The consultant shall 50618
submit all legislative recommendations not later than December 31, 50619
2006, in writing, to the school employees health care board and to 50620
the governor, the speaker of the house of representatives, and the 50621
president of the senate.50622

       (3) The public schools health care advisory committee is 50623
hereby created under the school employees health care board. The 50624
committee shall make recommendations to the school employees 50625
health care board related to the board's accomplishment of the 50626
duties assigned to the board under this section. The committee 50627
shall consist of eighteen members. The governor, the speaker of 50628
the house of representatives, and the president of the senate 50629
shall each appoint a representative from the Ohio education 50630
association, the Ohio school boards association, the Ohio 50631
association of school business officials, the Ohio association of 50632
health underwriters, an existing health care consortium serving 50633
public schools, and a health insuring corporation licensed to do 50634
business in Ohio and recommended by the Ohio association of health 50635
plans. The initial appointees shall be appointed to a one-year 50636
term not later than July 31, 2007, the members' term to begin on 50637
that date. Subsequentserve until December 31, 2007; subsequent50638
one-year appointments, to commence on the thirty-first day of July50639
first day of January of each year thereafter, and shall be made in 50640
the same manner. A member shall continue to serve subsequent to 50641
the expiration of the member's term until the member's successor 50642
is appointed. Any vacancy occurring during a member's term shall 50643
be filled in the same manner as the original appointment, except 50644
that the person appointed to fill the vacancy shall be appointed 50645
to the remainder of the unexpired term. The governor shall call 50646
the first meeting of each newly appointed committee. At that 50647
meeting the board shall elect a chairperson who shall call the 50648
time and place of future committee meetings. Committee members are 50649
not subject to the conditions for eligibility set by division (B) 50650
of this section for members of the school employees health care 50651
board.50652

       (4) The school employees health care board shall submit a 50653
written study to the governor and the general assembly not later 50654
than January 31, 2007, of a plan to operate in compliance with 50655
this section, and on the governance of the school employees health 50656
care board. A copy of the board's plan of operation, including 50657
audit provisions, shall accompany the report on the board's 50658
governance and the report shall include the board's 50659
recommendations on any legislation needed to enforce the 50660
recommendations of the board on implementing the provisions of 50661
this section.50662

       (5) Not later than January 15, 2009, and not later than the 50663
same day of each subsequent year, the school employees health care 50664
board shall submit a written report to the governor and each 50665
member of the general assembly, which report evaluates the 50666
performance of school employees health care board medical plans 50667
during the previous year. Districts offering employee health care 50668
benefits through a plan offered by a consortium of two or more 50669
districts, or a consortium of one or more districts and one or 50670
more political subdivisions as defined in section 9.833 of the 50671
Revised Code, representing five thousand or more employees as of 50672
January 1, 2005, may request permission from the school employees 50673
health care board to continue offering consortium plans to the 50674
districts' employees at the discretion of the board. If the board 50675
grants permission, the permission is valid for only one year but 50676
may be renewed annually thereafter upon application to an approval 50677
of the board. The board shall grant initial or continued approval 50678
upon finding, based on an actuarial evaluation of the existing 50679
consortium plan offerings, that benefit design, premium costs, 50680
administrative cost, and other factors considered by the board are 50681
equivalent to or lower than comparable costs of the board's plan 50682
options offered to the local district. Age and gender adjustments, 50683
benefit comparison adjustments, and the total cost of the 50684
consortium plan, including administration, benefit cost, stop-loss 50685
insurance, and all other expenses or information requested by the 50686
board shall be presented to the board prior to the board's 50687
decision to allow a local district to continue to offer health 50688
care benefits under a consortium plan. A district shall not 50689
participate in the consortium plan once the district has chosen to 50690
offer plans designed by the board to the district's employees and 50691
begins premium payments for deposit into the school employees 50692
health care fund.50693

       (6)If based upon an audit of a health care sponsor, the 50694
board makes a determination that the sponsor no longer meets the 50695
best practice standards adopted by the board, the board may 50696
suspend or cancel the sponsor's right to administer plans under 50697
the jurisdiction of the board. The decision of the board to 50698
suspend or cancel a sponsor's right may be appealed by the sponsor 50699
pursuant to a hearing and appeal process the board shall adopt by 50700
rule.50701

        (5) Upon a failure by a sponsor to adhere to the directives 50702
of the board, the board may request the attorney general to apply 50703
to a court having jurisdiction for any necessary orders to enforce 50704
compliance with the requirement of this section that a health care 50705
sponsor, unless otherwise allowed, shall adopt and adhere to best 50706
practices designed by the board or comply with any other 50707
requirements of this section, as the case may be. The board also 50708
may engage outside counsel if it deems necessary.50709

       (6) Upon notice by the board to the department of education 50710
that a district is not in compliance with the board's directives 50711
and a court order as described in this section, the department 50712
shall withhold any and all state financial aid and assistance to 50713
the district until the department receives notice from the board 50714
that the district is in full compliance with the board's 50715
directives and subsequent court order.50716

       (7) Any districts providing medicalhealth care plan coverage 50717
for the employees of public schools, or that have provided 50718
coverage within two years prior to September 29, 2005,school 50719
districts shall provide nonidentifiable aggregate claims data for 50720
the coverage to the school employees health care board or the 50721
department of administrative services, without charge, within 50722
thirty days after receiving a written request from the board or 50723
the department. The claims data shall include data relating to 50724
employee group benefit sets, demographics, and claims experience.50725

       (J)(K)(1) The school employees health care board may contract 50726
with other state agencies for services as the board deems 50727
necessary for the implementation and operation of this section, 50728
based on demonstrated experience and expertise in administration, 50729
management, data handling, actuarial studies, quality assurance, 50730
or for other needed services. The school employees health care 50731
board shallmay contract with the department of administrative 50732
services for central services until such time the board isdeems 50733
itself able to obtain such services from its own staff or from 50734
other sources. The board shall reimburse the department of 50735
administrative services for the reasonable cost of those services.50736

       (K)(2) The board shall hire staff as necessary to provide 50737
administrative support to the board and the public school employee 50738
health care plan program established by this section.50739

       (L) The board's administrative functions shall include, but 50740
are not limited to, the following:50741

       (1) Maintaining reserves in the school employees health care 50742
fund, reinsurance, and other measures that in the judgment of the 50743
board will result in the long-term stability and solvency of the 50744
medical plans designed by the board. The board shall bill school 50745
districts, in proportion to a district's premium payments to all 50746
premium payments paid into the school employees health care fund 50747
during the previous year, in order to maintain necessary reserves, 50748
reinsurance, and administrative and operating funds. Each school 50749
district contributing to a board medical plan shall share any 50750
losses due to the expense of claims paid by the plan. In the event 50751
of a loss, the board may bill each district an amount, in 50752
proportion to the district's premium payments to all premium 50753
payments paid into the school employees health care fund during 50754
the previous year, sufficient in total to cover the loss. The 50755
state is not liable for any obligations of the school employees 50756
health care board or the school employees health care fund, or for 50757
expenses of public schools or school districts related to the 50758
board's medical plans.50759

       (2) Providing health care information, wellness programs, and 50760
other preventive health care measures to medicalhealth care plan 50761
beneficiaries, to the extent that the board determines to be 50762
appropriate;50763

       (3) Coordinating(2) Developing requests for proposals and 50764
establishing contracts for services related to the board's medical50765
health care plans related to the benefits the board believes are 50766
in the best interests of employees of public school districts as 50767
permitted in division (H) of this section. Contracts shall be 50768
approved by the school employees health care board.50769

       (L)(M) Not less than ninety days before coverage begins for 50770
public school district employees under medicalhealth care plans 50771
designed bycontaining best practices prescribed by the school 50772
employees health care board, a public school district's board of 50773
education shall provide detailed information about the medical50774
health care plans to the employees.50775

       (M)(N) Nothing in this section shall be construed as 50776
prohibiting public schools or school districts from consulting 50777
with and compensating insurance agents and brokers for 50778
professional services. The arrangement and contracts for these 50779
services shall be a public record and disclosed along with other 50780
data required by the board.50781

       (N) The department of administrative services shall report to 50782
the governor, the speaker of the house of representatives, and the 50783
president of the senate not later than April 30, 2007, on the 50784
feasibility of achieving all of the following:50785

       (1) Designing multiple medical plans to cover persons 50786
employed by public institutions of higher education that achieve 50787
an optimal combination of coverage, cost, choice, and stability, 50788
which plans include both state and regional preferred provider 50789
plans, set employee and employer premiums, and set employee plan 50790
copayments, deductibles, exclusions, limitations, formularies, and 50791
other responsibilities. For this purpose, "public institutions of 50792
higher education" include, without limitation, state universities 50793
and colleges, state community college districts, community college 50794
districts, university branch districts, technical college 50795
districts, and municipal universities.50796

       (2) Maintaining reserves, reinsurance, and other measures to 50797
insure the long-term stability and solvency of the medical plans;50798

       (3) Providing appropriate health care information, wellness 50799
programs, and other preventive health care measures to medical 50800
plan beneficiaries;50801

       (4) Coordinating contracts for services related to the 50802
medical plans.50803

       (O)(1) Pursuant to Chapter 117. of the Revised Code, the 50804
auditor of state shall conduct all necessary and required audits 50805
of the board. In addition, annually, the auditor shall evaluate 50806
the performance of the school employee health care board best 50807
practices during the previous year and submit the results in 50808
writing to the governor and the general assembly. The auditor of 50809
state, upon request, also shall furnish to the board copies of 50810
audits of public school districts or consortia performed by the 50811
auditor of state. The auditor also shall include in the audit of 50812
the health care plans of the health plan sponsors for which the 50813
auditor has jurisdiction for a determination of adherence to the 50814
best practices established by the board.50815

       (2) Any health care provider or other vendor that contracts 50816
with a public school district or consortium to furnish health care 50817
benefits or services pursuant to a health care plan under this 50818
section, as a condition of such contract, shall agree to submit to 50819
audits the board may require to ensure compliance with the best 50820
practices of the board for the provision of such benefits or 50821
services. The board may contract with persons for independent 50822
audits of such providers or vendors. The audits shall cover the 50823
overall performance of the provider or vendor including, but not 50824
limited to, claims processing procedures and results, eligibility 50825
determination procedures and standards for health care plan 50826
participants, and adherence to best practices established by the 50827
board.50828

       Sec. 3311.19.  (A) The management and control of a joint50829
vocational school district shall be vested in the joint vocational50830
school district board of education. Where a joint vocational50831
school district is composed only of two or more local school50832
districts located in one county, or when all the participating50833
districts are in one county and the boards of such participating50834
districts so choose, the educational service center governing50835
board of the county in which the joint vocational school district50836
is located shall serve as the joint vocational school district50837
board of education. Where a joint vocational school district is50838
composed of local school districts of more than one county, or of50839
any combination of city, local, or exempted village school50840
districts or educational service centers, unless administration by50841
the educational service center governing board has been chosen by50842
all the participating districts in one county pursuant to this50843
section, the board of education of the joint vocational school50844
district shall be composed of one or more persons who are members50845
of the boards of education from each of the city or exempted50846
village school districts or members of the educational service50847
centers' governing boards affected to be appointed by the boards50848
of education or governing boards of such school districts and50849
educational service centers. In such joint vocational school50850
districts the number and terms of members of the joint vocational50851
school district board of education and the allocation of a given50852
number of members to each of the city and exempted village50853
districts and educational service centers shall be determined in50854
the plan for such district, provided that each such joint50855
vocational school district board of education shall be composed of50856
an odd number of members.50857

       (B) Notwithstanding division (A) of this section, a governing50858
board of an educational service center that has members of its50859
governing board serving on a joint vocational school district 50860
board of education may make a request to the joint vocational 50861
district board that the joint vocational school district plan be 50862
revised to provide for one or more members of boards of education 50863
of local school districts that are within the territory of the 50864
educational service district and within the joint vocational 50865
school district to serve in the place of or in addition to its 50866
educational service center governing board members. If agreement50867
is obtained among a majority of the boards of education and 50868
governing boards that have a member serving on the joint50869
vocational school district board of education and among a majority50870
of the local school district boards of education included in the50871
district and located within the territory of the educational50872
service center whose board requests the substitution or addition,50873
the state board of education may revise the joint vocational50874
school district plan to conform with such agreement.50875

       (C) If the board of education of any school district or50876
educational service center governing board included within a joint50877
vocational district that has had its board or governing board50878
membership revised under division (B) of this section requests the50879
joint vocational school district board to submit to the state50880
board of education a revised plan under which one or more joint50881
vocational board members chosen in accordance with a plan revised50882
under such division would again be chosen in the manner prescribed50883
by division (A) of this section, the joint vocational board shall50884
submit the revised plan to the state board of education, provided50885
the plan is agreed to by a majority of the boards of education50886
represented on the joint vocational board, a majority of the local50887
school district boards included within the joint vocational50888
district, and each educational service center governing board50889
affected by such plan. The state board of education may revise the 50890
joint vocational school district plan to conform with the revised 50891
plan.50892

       (D) The vocational schools in such joint vocational school50893
district shall be available to all youth of school age within the50894
joint vocational school district subject to the rules adopted by50895
the joint vocational school district board of education in regard50896
to the standards requisite to admission. A joint vocational school 50897
district board of education shall have the same powers, duties, 50898
and authority for the management and operation of such joint 50899
vocational school district as is granted by law, except by this 50900
chapter and Chapters 124., 3317., 3323., and 3331. of the Revised 50901
Code, to a board of education of a city school district, and shall 50902
be subject to all the provisions of law that apply to a city 50903
school district, except such provisions in this chapter and50904
Chapters 124., 3317., 3323., and 3331. of the Revised Code.50905

       (E) Where a governing board of an educational service center50906
has been designated to serve as the joint vocational school50907
district board of education, the educational service center50908
superintendent shall be the executive officer for the joint50909
vocational school district, and the governing board may provide50910
for additional compensation to be paid to the educational service50911
center superintendent by the joint vocational school district, but50912
the educational service center superintendent shall have no50913
continuing tenure other than that of educational service center50914
superintendent. The superintendent of schools of a joint50915
vocational school district shall exercise the duties and authority50916
vested by law in a superintendent of schools pertaining to the50917
operation of a school district and the employment and supervision50918
of its personnel. The joint vocational school district board of50919
education shall appoint a treasurer of the joint vocational school50920
district who shall be the fiscal officer for such district and who50921
shall have all the powers, duties, and authority vested by law in50922
a treasurer of a board of education. Where a governing board of an 50923
educational service center has been designated to serve as the50924
joint vocational school district board of education, such board50925
may appoint the educational service center superintendent as the50926
treasurer of the joint vocational school district.50927

       (F) Each member of a joint vocational school district board50928
of education may be paid such compensation as the board provides50929
by resolution, but it shall not exceed one hundred twenty-five50930
dollars per member for each meeting attended plus mileage, at the50931
rate per mile provided by resolution of the board, to and from50932
meetings of the board.50933

       The board may provide by resolution for the deduction of50934
amounts payable for benefits under section 3313.202 of the Revised 50935
Code.50936

       Each member of a joint vocational school district board may50937
be paid such compensation as the board provides by resolution for50938
attendance at an approved training program, provided that such50939
compensation shall not exceed sixty dollars per day for attendance50940
at a training program three hours or fewer in length and one50941
hundred twenty-five dollars a day for attendance at a training50942
program longer than three hours in length. However, no board50943
member shall be compensated for the same training program under50944
this section and section 3313.12 of the Revised Code.50945

       Sec. 3313.12.  Each member of the educational service center50946
governing board may be paid such compensation as the governing50947
board provides by resolution, provided that any such compensation50948
shall not exceed one hundred twenty-five dollars a day plus50949
mileage both ways, at the rate per mile provided by resolution of50950
the governing board, for attendance at any meeting of the board.50951
Such compensation and the expenses of the educational service50952
center superintendent, itemized and verified, shall be paid from50953
the educational service center governing board fund upon vouchers50954
signed by the president of the governing board.50955

       The board of education of any city, local, or exempted50956
village school district may provide by resolution for compensation50957
of its members, provided that such compensation shall not exceed 50958
one hundred twenty-five dollars per member for meetings attended.50959
The board may provide by resolution for the deduction of amounts50960
payable for benefits under section 3313.202 of the Revised Code.50961

       Each member of a district board or educational service center50962
governing board may be paid such compensation as the respective50963
board provides by resolution for attendance at an approved50964
training program, provided that such compensation shall not exceed50965
sixty dollars a day for attendance at a training program three50966
hours or fewer in length and one hundred twenty-five dollars a day50967
for attendance at a training program longer than three hours in50968
length.50969

       Sec. 3313.202.  Any elected or appointed member of the board 50970
of education of a school district and the dependent children and 50971
spouse of the member may be covered, at the option of the member, 50972
under any medicalhealth care plan designedcontaining best 50973
practices prescribed by the school employees health care board 50974
under section 9.901 of the Revised Code. The member shall pay all 50975
premiums for that coverage. Payments for such coverage shall be 50976
made, in advance, in a manner prescribed by the school employees 50977
health care board. The member's exercise of an option to be 50978
covered under this section shall be in writing, announced at a 50979
regular public meeting of the board of education, and recorded as 50980
a public record in the minutes of the board.50981

       Sec. 3313.33.  (A) Conveyances made by a board of education50982
shall be executed by the president and treasurer thereof.50983

       (B) Except as provided in division (C) of this section, no 50984
member of the board shall have, directly or indirectly, any50985
pecuniary interest in any contract of the board or be employed in50986
any manner for compensation by the board of which the person is a 50987
member. No contract shall be binding upon any board unless it is 50988
made or authorized at a regular or special meeting of such board.50989

       (C) A member of the board may have a pecuniary interest in a 50990
contract of the board if all of the following apply:50991

       (1) The member's pecuniary interest in that contract is that 50992
the member is employed by a political subdivision, 50993
instrumentality, or agency of the state that is contracting with 50994
the board;50995

       (2) The member does not participate in any discussion or 50996
debate regarding the contract or vote on the contract;50997

       (3) The member files with the school district treasurer an 50998
affidavit stating the member's exact employment status with the 50999
political subdivision, instrumentality, or agency contracting with 51000
the board.51001

       (D) This section does not apply where a member of the board,51002
being a shareholder of a corporation but not being an officer or51003
director thereof, owns not in excess of five per cent of the stock 51004
of such corporation. If a stockholder desires to avail self of the 51005
exception, before entering upon such contract such person shall 51006
first file with the treasurer an affidavit stating the 51007
stockholder's exact status and connection with said corporation.51008

       This section does not apply where a member of the board51009
elects to be covered by a medicalhealth care plan under section 51010
3313.202 of the Revised Code.51011

       Sec. 4117.03.  (A) Public employees have the right to:51012

       (1) Form, join, assist, or participate in, or refrain from51013
forming, joining, assisting, or participating in, except as51014
otherwise provided in Chapter 4117. of the Revised Code, any51015
employee organization of their own choosing;51016

       (2) Engage in other concerted activities for the purpose of 51017
collective bargaining or other mutual aid and protection;51018

       (3) Representation by an employee organization;51019

       (4) Bargain collectively with their public employers to51020
determine wages, hours, terms and other conditions of employment51021
and the continuation, modification, or deletion of an existing51022
provision of a collective bargaining agreement, and enter into51023
collective bargaining agreements;51024

       (5) Present grievances and have them adjusted, without the51025
intervention of the bargaining representative, as long as the51026
adjustment is not inconsistent with the terms of the collective51027
bargaining agreement then in effect and as long as the bargaining51028
representatives have the opportunity to be present at the51029
adjustment.51030

       (B) Persons on active duty or acting in any capacity as51031
members of the organized militia do not have collective bargaining 51032
rights.51033

       (C) Except as provided in division (D) of this section, 51034
nothing in Chapter 4117. of the Revised Code prohibits public 51035
employers from electing to engage in collective bargaining, to 51036
meet and confer, to hold discussions, or to engage in any other 51037
form of collective negotiations with public employees who are not 51038
subject to Chapter 4117. of the Revised Code pursuant to division 51039
(C) of section 4117.01 of the Revised Code.51040

       (D) A public employer shall not engage in collective 51041
bargaining or other forms of collective negotiations with the 51042
employees of county boards of elections referred to in division 51043
(C)(12) of section 4117.01 of the Revised Code.51044

       (E)(1) Employees of public schoolschools may bargain 51045
collectively for health care benefits; however, all health care 51046
benefits shall be provided throughinclude best practices 51047
prescribed by the school employees health care board medical 51048
plans, in accordance with section 9.901 of the Revised Code. If a 51049
school district provides its employees with health care benefits 51050
pursuant to collective bargaining, the employees shall be 51051
permitted to choose a plan option from among the school employees 51052
health care board plans agreed to during collective bargaining.51053

       (2) During collective bargaining, employees of public schools 51054
may agree to pay a higher percentage of the premium for health 51055
benefit coverage under the plans designed by the school employees 51056
health care board pursuant to section 9.901 of the Revised Code 51057
than the percentage designated as the employees' contribution 51058
level by the board. A collective bargaining agreement, however, 51059
shall not permit the employees to contribute a lesser percentage 51060
of the premium than that set as the employees' contribution level 51061
by the school employees health care board, unless, in so doing, 51062
the participating school board is able to remain in compliance 51063
with the aggregate goal set pursuant to division (G)(3) of section 51064
9.901 of the Revised Code.51065

       Sec. 4117.08.  (A) All matters pertaining to wages, hours, or 51066
terms and other conditions of employment and the continuation,51067
modification, or deletion of an existing provision of a collective 51068
bargaining agreement are subject to collective bargaining between 51069
the public employer and the exclusive representative, except as 51070
otherwise specified in this section and division (E) of section 51071
4117.03 of the Revised Code.51072

       (B) The conduct and grading of civil service examinations,51073
the rating of candidates, the establishment of eligible lists from 51074
the examinations, and the original appointments from the eligible 51075
lists are not appropriate subjects for collective bargaining.51076

       (C) Unless a public employer agrees otherwise in a collective 51077
bargaining agreement, nothing in Chapter 4117. of the Revised Code 51078
impairs the right and responsibility of each public employer to:51079

       (1) Determine matters of inherent managerial policy which51080
include, but are not limited to areas of discretion or policy such 51081
as the functions and programs of the public employer, standards of 51082
services, its overall budget, utilization of technology, and 51083
organizational structure;51084

       (2) Direct, supervise, evaluate, or hire employees;51085

       (3) Maintain and improve the efficiency and effectiveness of 51086
governmental operations;51087

       (4) Determine the overall methods, process, means, or51088
personnel by which governmental operations are to be conducted;51089

       (5) Suspend, discipline, demote, or discharge for just cause, 51090
or lay off, transfer, assign, schedule, promote, or retain51091
employees;51092

       (6) Determine the adequacy of the work force;51093

       (7) Determine the overall mission of the employer as a unit 51094
of government;51095

       (8) Effectively manage the work force;51096

       (9) Take actions to carry out the mission of the public51097
employer as a governmental unit.51098

       The employer is not required to bargain on subjects reserved 51099
to the management and direction of the governmental unit except as 51100
affect wages, hours, terms and conditions of employment, and the 51101
continuation, modification, or deletion of an existing provision 51102
of a collective bargaining agreement. A public employee or 51103
exclusive representative may raise a legitimate complaint or file 51104
a grievance based on the collective bargaining agreement.51105

       Section 130.03. Section 611.03 of Am. Sub. H.B. 66 of the 51106
126th General Assembly is hereby repealed.51107

       Section 130.04. Existing sections 9.90, 9.901, 3313.202, 51108
3313.33, and 4117.03 of the Revised Code are hereby repealed.51109

       Section 130.05. The Governor, the President of the Senate, 51110
and the Speaker of the House of Representatives each shall appoint 51111
one additional member to the School Employees Health Care Board 51112
created pursuant to section 9.901 of the Revised Code. The terms 51113
of these additional members as well as the terms of the current 51114
members shall end on December 31, 2010. Thereafter, terms of 51115
office shall be as specified in section 9.901 of the Revised Code 51116
as it results from its amendment by this act. The three additional 51117
members each shall be representative of nonadministrative public 51118
school employees.51119

       Section 201.01.  Except as otherwise provided in this act, 51120
all appropriation items in this act are appropriated out of any 51121
moneys in the state treasury to the credit of the designated fund 51122
that are not otherwise appropriated. For all appropriations made 51123
in this act, the amounts in the first column are for fiscal year 51124
2008 and the amounts in the second column are for fiscal year 51125
2009.51126

       Section 203.10.  ACC ACCOUNTANCY BOARD OF OHIO51127

General Services Fund Group51128

4J8 889-601 CPA Education Assistance $ 325,000 $ 325,000 51129
4K9 889-609 Operating Expenses $ 1,092,246 $ 1,117,000 51130
TOTAL GSF General Services Fund 51131
Group $ 1,417,246 $ 1,442,000 51132
TOTAL ALL BUDGET FUND GROUPS $ 1,417,246 $ 1,442,000 51133


       Section 205.10. ADJ ADJUTANT GENERAL51135

General Revenue Fund51136

GRF 745-401 Ohio Military Reserve $ 15,188 $ 15,188 51137
GRF 745-404 Air National Guard $ 2,246,005 $ 2,284,198 51138
GRF 745-407 National Guard Benefits $ 1,400,000 $ 1,400,000 51139
GRF 745-409 Central Administration $ 4,295,778 $ 4,460,069 51140
GRF 745-499 Army National Guard $ 5,064,836 $ 5,169,368 51141
GRF 745-502 Ohio National Guard Unit Fund $ 102,973 $ 102,973 51142
TOTAL GRF General Revenue Fund $ 13,124,780 $ 13,431,796 51143

General Services Fund Group51144

534 745-612 Property Operations/Management $ 534,304 $ 534,304 51145
536 745-620 Camp Perry/Buckeye Inn Operations $ 1,202,970 $ 1,202,970 51146
537 745-604 Ohio National Guard Facility Maintenance $ 269,826 $ 269,826 51147
TOTAL GSF General Services Fund Group $ 2,007,100 $ 2,007,100 51148

Federal Special Revenue Fund Group51149

3E8 745-628 Air National Guard Agreement $ 14,100,000 $ 14,906,820 51150
3R8 745-603 Counter Drug Operations $ 25,000 $ 25,000 51151
341 745-615 Air National Guard Base Security $ 2,497,480 $ 2,729,939 51152
342 745-616 Army National Guard Agreement $ 10,146,178 $ 10,590,050 51153
TOTAL FED Federal Special Revenue Fund Group $ 26,768,658 $ 28,251,809 51154

State Special Revenue Fund Group51155

5U8 745-613 Community Match Armories $ 220,000 $ 220,000 51156
528 745-605 Marksmanship Activities $ 128,600 $ 128,600 51157
TOTAL SSR State Special Revenue Fund Group $ 348,600 $ 348,600 51158

TOTAL ALL BUDGET FUND GROUPS $ 42,249,138 $ 44,039,305 51159

       NATIONAL GUARD BENEFITS51160

       The foregoing appropriation item 745-407, National Guard 51161
Benefits, shall be used for purposes of sections 5919.31 and 51162
5919.33 of the Revised Code, and for administrative costs of the 51163
associated programs.51164

       For active duty members of the Ohio National Guard who died 51165
after October 7, 2001, while performing active duty, the death 51166
benefit, pursuant to section 5919.33 of the Revised Code, shall be 51167
paid to the beneficiary or beneficiaries designated on the 51168
member's Servicemembers' Group Life Insurance Policy.51169

       STATE ACTIVE DUTY COSTS51170

       Of the foregoing appropriation item 745-409, Central 51171
Administration, $50,000 in each fiscal year shall be used for the 51172
purpose of paying expenses related to state active duty of members 51173
of the Ohio organized militia, in accordance with a proclamation 51174
of the Governor. Expenses include, but are not limited to, the 51175
cost of equipment, supplies, and services, as determined by the 51176
Adjutant General's Department.51177

       Section 207.10. DAS DEPARTMENT OF ADMINISTRATIVE SERVICES51178

General Revenue Fund51179

GRF 100-403 Public School Employee Benefits $ 1,425,000 $ 1,425,000 51180
GRF 100-404 CRP Procurement Program $ 255,000 $ 255,000 51181
GRF 100-405 Agency Audit Expenses $ 300,000 $ 300,000 51182
GRF 100-406 County & University Human Resources Services $ 875,000 $ 875,000 51183
GRF 100-410 Veterans' Records Conversion $ 46,170 $ 46,171 51184
GRF 100-415 OAKS Rental Payments $ 14,162,000 $ 14,165,000 51185
GRF 100-418 Web Sites and Business Gateway $ 3,270,473 $ 3,270,083 51186
GRF 100-419 IT Security Infrastructure $ 1,500,000 $ 1,500,000 51187
GRF 100-421 OAKS Project Implementation $ 375,000 $ 375,000 51188
GRF 100-433 State of Ohio Computer Center $ 4,800,000 $ 4,825,000 51189
GRF 100-439 Equal Opportunity Certification Programs $ 705,000 $ 705,000 51190
GRF 100-447 OBA - Building Rent Payments $ 107,803,008 $ 103,282,108 51191
GRF 100-448 OBA - Building Operating Payments $ 26,457,000 $ 27,303,000 51192
GRF 100-449 DAS - Building Operating Payments $ 3,769,510 $ 3,834,871 51193
GRF 100-451 Minority Affairs $ 52,927 $ 52,927 51194
GRF 100-734 Major Maintenance - State Bldgs $ 42,000 $ 42,000 51195
GRF 102-321 Construction Compliance $ 1,000,000 $ 1,000,000 51196
GRF 130-321 State Agency Support Services $ 6,000,000 $ 6,250,000 51197
TOTAL GRF General Revenue Fund $ 172,838,088 $ 169,506,160 51198

General Services Fund Group51199

112 100-616 DAS Administration $ 5,299,427 $ 5,299,427 51200
115 100-632 Central Service Agency $ 860,878 $ 928,403 51201
117 100-644 General Services Division - Operating $ 8,295,772 $ 8,540,772 51202
122 100-637 Fleet Management $ 2,182,968 $ 2,032,968 51203
125 100-622 Human Resources Division - Operating $ 19,890,614 $ 20,560,614 51204
128 100-620 Collective Bargaining $ 3,464,533 $ 3,662,534 51205
130 100-606 Risk Management Reserve $ 2,568,548 $ 2,568,548 51206
131 100-639 State Architect's Office $ 7,348,483 $ 7,544,164 51207
132 100-631 DAS Building Management $ 9,716,228 $ 10,166,228 51208
133 100-607 IT Services Delivery $ 72,539,887 $ 75,847,949 51209
188 100-649 Equal Opportunity Division - Operating $ 847,409 $ 884,650 51210
201 100-653 General Services Resale Merchandise $ 1,553,000 $ 1,553,000 51211
210 100-612 State Printing $ 5,681,421 $ 5,436,421 51212
229 100-630 IT Governance $ 17,108,546 $ 17,108,546 51213
4N6 100-617 Major IT Purchases $ 7,495,719 $ 7,495,719 51214
4P3 100-603 DAS Information Services $ 4,793,190 $ 4,958,218 51215
427 100-602 Investment Recovery $ 5,683,564 $ 5,683,564 51216
5C2 100-605 MARCS Administration $ 11,069,291 $ 11,069,291 51217
5C3 100-608 Skilled Trades $ 934,982 $ 934,982 51218
5D7 100-621 Workforce Development $ 70,000 $ 0 51219
5EB 100-635 OAKS Support Organization $ 19,132,671 $ 19,132,671 51220
5L7 100-610 Professional Development $ 3,900,000 $ 3,900,000 51221
5V6 100-619 Employee Educational Development $ 936,129 $ 936,129 51222
5X3 100-634 Centralized Gateway Enhancement $ 974,023 $ 974,023 51223
TOTAL GSF General Services Fund 51224
Group $ 212,347,283 $ 217,218,821 51225

TOTAL ALL BUDGET FUND GROUPS $ 385,185,371 $ 386,724,981 51226


       Section 207.10.10. PUBLIC SCHOOL EMPLOYEE BENEFITS51228

       The foregoing appropriation item 100-403, Public School 51229
Employee Benefits, shall be used by the School Employees Health 51230
Care Board to hire staff to provide administrative support to the 51231
Board and other lawful uses of said fund as prescribed under 51232
section 9.901 of the Revised Code. This section succeeds Section 51233
203.12.02 of Am. Sub. H.B. 66 of the 126th General Assembly.51234

       Section 207.10.20.  AGENCY AUDIT EXPENSES51235

       The foregoing appropriation item 100-405, Agency Audit51236
Expenses, shall be used for auditing expenses designated in 51237
division (A)(1) of section 117.13 of the Revised Code for those 51238
state agencies audited on a biennial basis.51239

       Section 207.10.30. OAKS RENTAL PAYMENTS51240

       The foregoing appropriation item 100-415, OAKS Rental 51241
Payments, shall be used for payments for the period from July 1, 51242
2007, through June 30, 2009, pursuant to leases and agreements 51243
entered into under Chapter 125. of the Revised Code, as 51244
supplemented by Section 403.10 of Am. Sub. H.B. 530 of the 126th 51245
General Assembly with respect to financing the costs associated 51246
with the acquisition, development, installation, and 51247
implementation of the Ohio Administrative Knowledge System. If it 51248
is determined that additional appropriations are necessary for 51249
this purpose, the amounts are hereby appropriated.51250

       Section 207.10.40. BUILDING RENT PAYMENTS51251

       The foregoing appropriation item 100-447, OBA - Building Rent51252
Payments, shall be used to meet all payments at the times they are51253
required to be made during the period from July 1, 2007, to June51254
30, 2009, by the Department of Administrative Services to the Ohio51255
Building Authority pursuant to leases and agreements under Chapter51256
152. of the Revised Code. These appropriations are the source of 51257
funds pledged for bond service charges on obligations issued 51258
pursuant to Chapter 152. of the Revised Code.51259

        The foregoing appropriation item 100-448, OBA - Building 51260
Operating Payments, shall be used to meet all payments at the 51261
times that they are required to be made during the period from51262
July 1, 2007, to June 30, 2009, by the Department of51263
Administrative Services to the Ohio Building Authority pursuant to 51264
leases and agreements under Chapter 152. of the Revised Code, but51265
limited to the aggregate amount of $53,760,000.51266

       The payments to the Ohio Building Authority are for the51267
purpose of paying the expenses of agencies that occupy space in51268
the various state facilities. The Department of Administrative51269
Services may enter into leases and agreements with the Ohio51270
Building Authority providing for the payment of these expenses.51271
The Ohio Building Authority shall report to the Department of51272
Administrative Services and the Office of Budget and Management51273
not later than five months after the start of a fiscal year the51274
actual expenses incurred by the Ohio Building Authority in51275
operating the facilities and any balances remaining from payments51276
and rentals received in the prior fiscal year. The Department of51277
Administrative Services shall reduce subsequent payments by the51278
amount of the balance reported to it by the Ohio Building51279
Authority.51280

       Section 207.10.50.  DAS - BUILDING OPERATING PAYMENTS51281

       The foregoing appropriation item 100-449, DAS - Building51282
Operating Payments, shall be used to pay the rent expenses of51283
veterans organizations pursuant to section 123.024 of the Revised51284
Code in fiscal years 2008 and 2009.51285

       The foregoing appropriation item, 100-449, DAS - Building51286
Operating Payments, may be used to provide funding for the cost of51287
property appraisals or building studies that the Department of 51288
Administrative Services may be required to obtain for property 51289
that is being sold by the state or property under consideration to 51290
be renovated or purchased by the state.51291

       Notwithstanding section 125.28 of the Revised Code, the51292
remaining portion of the appropriation may be used to pay the51293
operating expenses of state facilities maintained by the51294
Department of Administrative Services that are not billed to51295
building tenants. These expenses may include, but are not limited51296
to, the costs for vacant space and space undergoing renovation,51297
and the rent expenses of tenants that are relocated due to51298
building renovations. These payments shall be processed by the51299
Department of Administrative Services through intrastate transfer51300
vouchers and placed in the Building Management Fund (Fund 132).51301

       Section 207.10.60. CENTRAL SERVICE AGENCY FUND51302

       The Department of Administrative Services shall not allocate 51303
annual costs for maintaining an automated application for the 51304
professional licensing boards and for the costs of supporting 51305
licensing functions in excess of the amounts allocated for these 51306
purposes for fiscal year 2007. The charges shall be billed to the 51307
professional licensing boards and deposited via intrastate 51308
transfer vouchers to the credit of the Central Service Agency Fund 51309
(Fund 115).51310

       Section 207.10.70. ELIMINATION OF THE VEHICLE LIABILITY FUND 51311
ASSETS51312

       (A) Effective July 1, 2007, the Vehicle Liability Fund (Fund 51313
127) is abolished and its functions, assets, and liabilities are 51314
transferred to the Risk Management Reserve Fund (Fund 130). The 51315
Risk Management Reserve Fund is thereupon and thereafter successor 51316
to, assumes the obligations of, and otherwise constitutes the 51317
continuation of the Vehicle Liability Fund.51318

       Any business commenced but not completed with regard to the 51319
Vehicle Liability Fund on July 1, 2007, shall be completed with 51320
regard to the Risk Management Reserve Fund, in the same manner, 51321
and with the same effect, as if completed with regard to the 51322
Vehicle Liability Fund. No validation, cure, right, privilege, 51323
remedy, obligation, or liability is lost or impaired by reason of 51324
the transfer and shall be administered with regard to the Risk 51325
Management Reserve Fund. All of the rules, orders, and 51326
determinations associated with the Vehicle Liability Fund continue 51327
in effect as rules, orders, and determinations associated with the 51328
Risk Management Reserve Fund, until modified or rescinded by the 51329
Director of Administrative Services. If necessary to ensure the 51330
integrity of the Administrative Code, the Director of the 51331
Legislative Service Commission shall renumber the rules relating 51332
to the Vehicle Liability Fund to reflect its transfer to the Risk 51333
Management Reserve Fund.51334

       (B) Employees paid from the Vehicle Liability Fund shall be 51335
transferred to the Risk Management Reserve Fund or dismissed. 51336
Employees paid from the Vehicle Liability Fund so dismissed cease 51337
to hold their positions of employment on July 1, 2007. 51338

       (C) No judicial or administrative action or proceeding by 51339
which the Vehicle Liability Fund is affected that is pending on 51340
July 1, 2007, is affected by the transfer of functions under 51341
division (A) of this section. The action or proceeding shall be 51342
prosecuted or defended on behalf of the Risk Management Reserve 51343
Fund and the Risk Management Reserve Fund upon application to the 51344
court or agency shall be substituted for the Vehicle Liability 51345
Fund as affected by the action or proceeding.51346

       (D) On and after July 1, 2007, when the Vehicle Liability 51347
Fund is referred to in any statute, rule, contract, grant, or 51348
other document, the reference is hereby deemed to refer to the 51349
Risk Management Reserve Fund.51350

       Section 207.10.80. TRANSFER OF VEHICLE LIABILITY FUND ASSETS51351

       On and after July 1, 2007, notwithstanding any provision to 51352
the contrary, the Director of Budget and Management is authorized 51353
to take the actions and effectuate the budget changes made 51354
necessary by administrative reorganization, program transfers, the 51355
creation of new funds, and the consolidation of funds required for 51356
the transfer of the Vehicle Liability Fund Assets to the Risk 51357
Management Reserve Fund. The Director of Budget and Management may 51358
make any transfer of cash balances between funds. At the request 51359
of the Director of Budget and Management, the Director of 51360
Administrative Services shall certify to the Director of Budget 51361
and Management an estimate of the amount of the Vehicle Liability 51362
Fund cash balance to be transferred to the Risk Management Reserve 51363
Fund. The Director of Budget and Management may transfer the 51364
estimated amount when needed to make payments. Not more than 51365
thirty days after certifying the estimated amount, the Director of 51366
Administrative Services shall certify the final amount to the 51367
Director of Budget and Management. The Director of Budget and 51368
Management shall transfer the difference between any amount 51369
previously transferred and the certified final amount. The 51370
Director of Budget and Management may cancel encumbrances and 51371
re-establish encumbrances or parts of encumbrances of the Vehicle 51372
Liability Fund as needed in fiscal year 2008 in the Risk 51373
Management Reserve Fund for the same purposes. The appropriation 51374
authority necessary to re-establish such encumbrances in fiscal 51375
year 2008, as determined by the Director of Budget and Management, 51376
in appropriation item 100-606, Risk Management Reserve, is hereby 51377
appropriated. When re-established encumbrances or parts of 51378
re-established encumbrances of the Vehicle Liability Fund are 51379
canceled, the Director of Budget and Management shall reduce the 51380
appropriation for appropriation item 100-606, Risk Management 51381
Reserve, by the amount of the encumbrances canceled. The amounts 51382
canceled are hereby authorized. Any fiscal year 2007 unencumbered 51383
or unallotted appropriation for appropriation item 100-627, 51384
Vehicle Liability Insurance, may be transferred to appropriation 51385
item 100-606, Risk Management Reserve, to be used for the same 51386
purposes, as determined by the Director of Budget and Management. 51387
The amounts transferred are hereby appropriated.51388

       Section 207.10.90.  COLLECTIVE BARGAINING ARBITRATION 51389
EXPENSES51390

       With approval of the Director of Budget and Management, the51391
Department of Administrative Services may seek reimbursement from51392
state agencies for the actual costs and expenses the department51393
incurs in the collective bargaining arbitration process. The51394
reimbursements shall be processed through intrastate transfer51395
vouchers and placed in the Collective Bargaining Fund (Fund 128).51396

       Section 207.20.10. EQUAL OPPORTUNITY PROGRAM51397

       The Department of Administrative Services, with the approval51398
of the Director of Budget and Management, shall establish charges51399
for recovering the costs of administering the activities supported51400
by the State EEO Fund (Fund 188). These charges shall be deposited 51401
to the credit of the State EEO Fund (Fund 188) upon payment made 51402
by state agencies, state-supported or state-assisted institutions 51403
of higher education, and tax-supported agencies, municipal 51404
corporations, and other political subdivisions of the state, for 51405
services rendered.51406

       Section 207.20.20. MERCHANDISE FOR RESALE51407

       The foregoing appropriation item 100-653, General Services51408
Resale Merchandise, shall be used to account for merchandise for51409
resale, which is administered by the General Services Division. 51410
Deposits to the fund may comprise the cost of merchandise for51411
resale and shipping fees.51412

       Section 207.20.30.  DAS INFORMATION SERVICES51413

       There is hereby established in the State Treasury the DAS 51414
Information Services Fund. The foregoing appropriation item 51415
100-603, DAS Information Services, shall be used to pay the costs 51416
of providing information systems and services in the Department of 51417
Administrative Services.51418

        The Department of Administrative Services shall establish 51419
user charges for all information systems and services that are 51420
allowable in the statewide indirect cost allocation plan submitted 51421
annually to the United States Department of Health and Human 51422
Services. These charges shall comply with federal regulations and 51423
shall be deposited to the credit of the DAS Information Services 51424
Fund (Fund 4P3).51425

       Section 207.20.40. INVESTMENT RECOVERY FUND51426

       Notwithstanding division (B) of section 125.14 of the Revised51427
Code, cash balances in the Investment Recovery Fund (Fund 427) may 51428
be used to support the operating expenses of the Federal Surplus 51429
Operating Program created in sections 125.84 to 125.90 of the 51430
Revised Code.51431

       Notwithstanding division (B) of section 125.14 of the Revised51432
Code, cash balances in the Investment Recovery Fund may be used to51433
support the operating expenses of the Asset Management Services 51434
Program, including, but not limited to, the cost of establishing 51435
and maintaining procedures for inventory records for state 51436
property as described in section 125.16 of the Revised Code.51437

       Of the foregoing appropriation item 100-602, Investment51438
Recovery, up to $2,271,209 in fiscal year 2008 and up to51439
$2,353,372 in fiscal year 2009 shall be used to pay the operating51440
expenses of the State Surplus Property Program, the Surplus51441
Federal Property Program, and the Asset Management Services 51442
Program under Chapter 125. of the Revised Code and this section. 51443
If additional appropriations are necessary for the operations of 51444
these programs, the Director of Administrative Services shall seek 51445
increased appropriations from the Controlling Board under section 51446
131.35 of the Revised Code.51447

       Of the foregoing appropriation item 100-602, Investment51448
Recovery, $3,412,355 in fiscal year 2008 and $3,330,192 in fiscal51449
year 2009 shall be used to transfer proceeds from the sale of51450
surplus property from the Investment Recovery Fund to non-General51451
Revenue Funds under division (A)(2) of section 125.14 of the51452
Revised Code. If it is determined by the Director of51453
Administrative Services that additional appropriations are51454
necessary for the transfer of such sale proceeds, the Director of51455
Administrative Services may request the Director of Budget and51456
Management to increase the amounts. Such amounts are hereby51457
appropriated.51458

       Notwithstanding division (B) of section 125.14 of the Revised 51459
Code, the Director of Budget and Management, at the request of the 51460
Director of Administrative Services, shall transfer up to $500,000 51461
of the amounts held for transfer to the General Revenue Fund from 51462
the Investment Recovery Fund to the State Architect's Fund (Fund 51463
131) to provide operating cash.51464

       Section 207.20.50. MULTI-AGENCY RADIO COMMUNICATIONS SYSTEM51465

       Effective with the implementation of the Multi-Agency Radio51466
Communications System, the State Chief Information Officer shall 51467
collect user fees from participants in the system. The State Chief 51468
Information Officer, with the advice of the Multi-Agency Radio 51469
Communications System Steering Committee and the Director of 51470
Budget and Management, shall determine the amount of the fees and 51471
the manner by which the fees shall be collected. Such user charges 51472
shall comply with the applicable cost principles issued by the 51473
federal Office of Management and Budget. All moneys from user 51474
charges and fees shall be deposited in the state treasury to the 51475
credit of the Multi-Agency Radio Communications System 51476
Administration Fund (Fund 5C2), which is hereby established in the 51477
state treasury. All interest income derived from the investment of 51478
the fund shall accrue to the fund.51479

       Section 207.20.60. WORKFORCE DEVELOPMENT FUND51480

       There is hereby established in the state treasury the51481
Workforce Development Fund (Fund 5D7). The foregoing appropriation 51482
item 100-621, Workforce Development, shall be used to make 51483
payments from the fund. The fund shall be under the supervision of 51484
the Department of Administrative Services, which may adopt rules 51485
with regard to administration of the fund. The fund shall be used 51486
to pay the costs of any remaining obligations of the Workforce 51487
Development Program, in accordance with Article 37 of the contract 51488
between the State of Ohio and OCSEA/AFSCME, Local 11, abolished 51489
effective March 1, 2006. These costs include, but are not limited 51490
to, remaining grant obligations, payments for tuition 51491
reimbursement, contracted services and general overhead, and any 51492
settlement costs associated with the Statewide Cost Allocation 51493
Program (SWCAP). The program shall be administered in accordance 51494
with the contract. Revenues shall accrue to the fund as specified 51495
in the contract. The fund may be used to pay direct and indirect 51496
costs of the program that are attributable to staff, consultants, 51497
and service providers. All income derived from the investment of 51498
the fund shall accrue to the fund.51499

       If it is determined by the Director of Administrative51500
Services that additional appropriation amounts are necessary, the51501
Director of Administrative Services may request that the Director51502
of Budget and Management increase such amounts. Such amounts are 51503
hereby appropriated.51504

       Section 207.20.70. OAKS SUPPORT ORGANIZATION51505

       The foregoing appropriation item 100-635, OAKS Support 51506
Organization, shall be used by the Office of Information 51507
Technology to support the operating costs associated with the 51508
implementation and maintenance of the state's enterprise resource 51509
planning system, OAKS, consistent with its responsibilities under 51510
this section and Chapters 125. and 126. of the Revised Code. The 51511
OAKS Support Organization shall operate and maintain the human 51512
capital management and financial management modules of the state's 51513
enterprise resource planning system to support statewide human 51514
resources and financial management activities administered by the 51515
Department of Administrative Services' human resources division 51516
and the Office of Budget and Management. The OAKS Support 51517
Organization shall recover the costs to establish, operate, and 51518
maintain the OAKS system through intrastate transfer voucher 51519
billings to the Department of Administrative Services and the 51520
Office of Budget and Management. Effective July 1, 2007, the 51521
Department of Administrative Services, with the approval of the 51522
Director of Budget and Management, shall include the recovery of 51523
the costs of administering the human capital management module of 51524
the OAKS System within the human resources services payroll rate. 51525
These revenues shall be deposited to the credit of the Human 51526
Resources Services Fund (Fund 125). Amounts deposited under this 51527
section are hereby appropriated to appropriation item 100-622, 51528
Human Resources Division-Operating. Not less than quarterly, the 51529
Department of Administrative Services shall process the intrastate 51530
transfer billings to transfer cash from the Human Resources 51531
Services Fund (Fund 125) to the OAKS Support Organization Fund 51532
(Fund 5EB) to pay for the OAKS Support Organization costs.51533

       Section 207.20.80. PROFESSIONAL DEVELOPMENT FUND51534

       The foregoing appropriation item 100-610, Professional51535
Development, shall be used to make payments from the Professional51536
Development Fund (Fund 5L7) under section 124.182 of the Revised 51537
Code.51538

       Section  207.20.90.  EMPLOYEE EDUCATIONAL DEVELOPMENT51539

       There is hereby established in the state treasury the 51540
Employee Educational Development Fund (Fund 5V6). The foregoing 51541
appropriation item 100-619, Employee Educational Development, 51542
shall be used to make payments from the fund. The fund shall be 51543
used to pay the costs of the administration of educational 51544
programs per existing collective bargaining agreements with 51545
District 1199, the Health Care and Social Service Union; State 51546
Council of Professional Educators; Ohio Education Association and 51547
National Education Association; the Fraternal Order of Police Ohio 51548
Labor Council, Unit 2; and the Ohio State Troopers Association, 51549
Units 1 and 15. The fund shall be under the supervision of the 51550
Department of Administrative Services, which may adopt rules with 51551
regard to administration of the fund. The fund shall be 51552
administered in accordance with the applicable sections of the 51553
collective bargaining agreements between the State and the 51554
aforementioned unions. The Department of Administrative Services, 51555
with the approval of the Director of Budget and Management, shall 51556
establish charges for recovering the costs of administering the 51557
educational programs. Receipts for these charges shall be 51558
deposited into the Employee Educational Development Fund. All 51559
income derived from the investment of the funds shall accrue to 51560
the fund.51561

       If it is determined by the Director of Administrative 51562
Services that additional appropriation amounts are necessary, the 51563
Director of Administrative Services may request that the Director 51564
of Budget and Management increase such amounts. Such amounts are 51565
hereby appropriated with the approval of the Director of Budget 51566
and Management.51567

       Section 207.30.10. CENTRALIZED GATEWAY ENHANCEMENTS FUND51568

       (A) As used in this section, "Ohio Business Gateway" refers 51569
to the internet-based system operated by the Office of Information 51570
Technology with the advice of the Ohio Business Gateway Steering 51571
Committee established under section 5703.57 of the Revised Code. 51572
The Ohio Business Gateway is established to provide businesses a 51573
central web site where various filings and payments are submitted 51574
on-line to government. The information is then distributed to the 51575
various government entities that interact with the business 51576
community.51577

       (B) As used in this section:51578

       (1) "State Portal" refers to the official web site of the 51579
state, operated by the Office of Information Technology.51580

       (2) "Shared Hosting Environment" refers to the computerized 51581
system operated by the Office of Information Technology for the 51582
purpose of providing capability for state agencies to host web 51583
sites.51584

       (C) There is hereby created in the state treasury the 51585
Centralized Gateway Enhancements Fund (Fund 5X3). The foregoing 51586
appropriation item 100-634, Centralized Gateway Enhancements, 51587
shall be used by the Office of Information Technology to pay the 51588
costs of enhancing, expanding, and operating the infrastructure of 51589
the Ohio Business Gateway, State Portal, and Shared Hosting 51590
Environment. The State Chief Information Officer shall submit 51591
periodic spending plans to the Director of Budget and Management 51592
to justify operating transfers to the fund from the General 51593
Revenue Fund. Upon approval, the Director of Budget and Management 51594
shall transfer approved amounts to the fund, not to exceed the 51595
amount of the annual appropriation in each fiscal year. The 51596
spending plans may be based on the recommendations of the Ohio 51597
Business Gateway Steering Committee or its successor.51598

       Section 207.30.20.  MAJOR IT PURCHASES51599

       The State Chief Information Officer shall compute the amount51600
of revenue attributable to the amortization of all equipment51601
purchases and capitalized systems from appropriation item 100-607, 51602
IT Service Delivery; appropriation item 100-617, Major IT51603
Purchases; and appropriation item CAP-837, Major IT Purchases,51604
which is recovered by the Office of Information Technology as part 51605
of the rates charged by the IT Service Delivery Fund (Fund 133) 51606
created in section 125.15 of the Revised Code. The Director of 51607
Budget and Management may transfer cash in an amount not to exceed 51608
the amount of amortization computed from the IT Service Delivery 51609
Fund (Fund 133) to the Major IT Purchases Fund (Fund 4N6).51610

       Section 207.30.30. INFORMATION TECHNOLOGY ASSESSMENT51611

       The State Chief Information Officer, with the approval of the 51612
Director of Budget and Management, may establish an information51613
technology assessment for the purpose of recovering the cost of51614
selected infrastructure and statewide programs. Such assessment 51615
shall comply with applicable cost principles issued by the federal 51616
Office of Management and Budget. The information technology51617
assessment shall be charged to all organized bodies, offices, or51618
agencies established by the laws of the state for the exercise of51619
any function of state government except for the General Assembly,51620
any legislative agency, the Supreme Court, the other courts of51621
record in Ohio, or any judicial agency, the Adjutant General, the51622
Bureau of Workers' Compensation, and institutions administered by51623
a board of trustees. Any state-entity exempted by this section may51624
utilize the infrastructure or statewide program by participating51625
in the information technology assessment. All charges for the51626
information technology assessment shall be deposited to the credit51627
of the IT Governance Fund (Fund 229).51628

       Section 207.30.40.  MULTI-AGENCY RADIO COMMUNICATION SYSTEM 51629
DEBT SERVICE PAYMENTS51630

       The Director of Administrative Services, in consultation with51631
the Multi-Agency Radio Communication System (MARCS) Steering51632
Committee and the Director of Budget and Management, shall51633
determine the share of debt service payments attributable to51634
spending for MARCS components that are not specific to any one51635
agency and that shall be charged to agencies supported by the51636
motor fuel tax. Such share of debt service payments shall be51637
calculated for MARCS capital disbursements made beginning July 1,51638
1997. Within thirty days of any payment made from appropriation51639
item 100-447, OBA - Building Rent Payments, the Director of51640
Administrative Services shall certify to the Director of Budget51641
and Management the amount of this share. The Director of Budget51642
and Management shall transfer such amounts to the General Revenue51643
Fund from the State Highway Safety Fund (Fund 036) established in51644
section 4501.06 of the Revised Code.51645

       The State Chief Information Officer shall consider renting or 51646
leasing existing tower sites at reasonable or current market 51647
rates, so long as these existing sites are equipped with the 51648
technical capabilities to support the MARCS project.51649

       Section 207.30.50. DIRECTOR'S DECLARATION OF PUBLIC EXIGENCY51650

       Whenever the Director of Administrative Services declares a51651
"public exigency," as provided in division (C) of section 123.1551652
of the Revised Code, the Director shall also notify the members of51653
the Controlling Board.51654

       Section 207.30.60. GENERAL SERVICE CHARGES51655

       The Department of Administrative Services, with the approval51656
of the Director of Budget and Management, shall establish charges51657
for recovering the costs of administering the programs in the51658
General Services Fund (Fund 117) and the State Printing Fund (Fund51659
210).51660

       Section 207.30.70. STATE ENERGY SERVICES PROGRAM51661

       Within 30 days after the effective date of this section, or 51662
as soon possible thereafter, the Director of Administrative 51663
Services shall certify the remaining cash in the Federal Special 51664
Revenue Fund (Fund 307) to the Director of Budget and Management, 51665
who shall transfer that amount to the State Architect's Office 51666
(Fund 131). The cash shall be used to operate the state's energy 51667
services program.51668

       Within thirty days after the effective date of this section, 51669
or as soon as possible thereafter, the Director of Administrative 51670
Services shall certify the remaining cash in the Energy Grants 51671
Fund (Fund 5A8) to the Director of Budget and Management, who 51672
shall transfer that amount to the State Architect's Office (Fund 51673
131). The cash shall be used to operate the state's energy 51674
services program.51675

       Section 207.30.80. FEDERAL GRANTS OGRIP51676

       As soon as possible on or after July 1, 2007, the Director of 51677
Budget and Management may transfer cash in the amount of 51678
$15,072.03 from the Federal Grants OGRIP Fund (Fund 3H6) to the 51679
General Revenue Fund.51680

       Section 209.10.  AAM COMMISSION ON AFRICAN AMERICAN MALES51681

General Revenue Fund51682

GRF 036-100 Personal Services $ 235,091 $ 235,091 51683
GRF 036-200 Maintenance $ 29,000 $ 29,000 51684
GRF 036-300 Equipment $ 1,000 $ 1,000 51685
GRF 036-502 Community Projects $ 516,909 $ 1,016,909 51686
TOTAL GRF General Revenue Fund $ 782,000 $ 1,282,000 51687

State Special Revenue Fund Group51688

4H3 036-601 Commission on African American Males - Gifts/Grants $ 10,000 $ 10,000 51689
TOTAL SSR State Special Revenue Fund Group $ 10,000 $ 10,000 51690
TOTAL ALL BUDGET FUND GROUPS $ 792,000 $ 1,292,000 51691

       CAAM STRATEGIC PLAN51692

       The Commission on African American Males shall develop a 51693
strategic plan to accomplish the tasks put forth in section 51694
4112.13 of the Revised Code.51695

       On January 1, 2008, or as soon as possible thereafter, the 51696
Director of the Commission on African American Males shall submit 51697
a strategic plan for the use of $500,000 in fiscal year 2008 and 51698
$1,000,000 in fiscal year 2009 to the Governor, the President of 51699
the Senate, the Minority Leader of the Senate, the Speaker of the 51700
House of Representatives, and the Minority Leader of the House of 51701
Representatives.51702

       Not later than June 30, 2009, the Commission on African 51703
American Males shall submit a report on the impacts and outcomes 51704
of the strategic plan to the Governor, the President of the 51705
Senate, the Minority Leader of the Senate, the Speaker of the 51706
House of Representatives, and the Minority Leader of the House of 51707
Representatives.51708

       Section 211.10. JCR JOINT COMMITTEE ON AGENCY RULE REVIEW51709

General Revenue Fund51710

GRF 029-321 Operating Expenses $ 397,000 $ 403,000 51711
TOTAL GRF General Revenue Fund $ 397,000 $ 403,000 51712
TOTAL ALL BUDGET FUND GROUPS $ 397,000 $ 403,000 51713

       OPERATING51714

       The Chief Administrative Officer of the House of51715
Representatives and the Clerk of the Senate shall determine, by51716
mutual agreement, which of them shall act as fiscal agent for the51717
Joint Committee on Agency Rule Review.51718

       OPERATING EXPENSES51719

       On July 1, 2007, or as soon as possible thereafter, the 51720
designated fiscal agent shall certify to the Director of Budget 51721
and Management the total fiscal year 2007 unencumbered 51722
appropriations in appropriation item 029-321, Operating Expenses. 51723
The designated fiscal agent may direct the Director of Budget and 51724
Management to transfer an amount not to exceed the total fiscal 51725
year 2007 unencumbered appropriations to fiscal year 2008 for use 51726
in appropriation item 029-321, Operating Expenses. Additional 51727
appropriation authority equal to the amount certified by the 51728
designated fiscal agent is hereby appropriated to appropriation 51729
item 029-321, Operating Expenses, in fiscal year 2008.51730

       On July 1, 2008, or as soon as possible thereafter, the 51731
designated fiscal agent shall certify to the Director of Budget 51732
and Management the total fiscal year 2008 unencumbered 51733
appropriations in appropriation item 029-321, Operating Expenses. 51734
The designated fiscal agent may direct the Director of Budget and 51735
Management to transfer an amount not to exceed the total fiscal 51736
year 2008 unencumbered appropriations to fiscal year 2009 for use 51737
in appropriation item 029-321, Operating Expenses. Additional 51738
appropriation authority equal to the amount certified by the 51739
designated fiscal agent is hereby appropriated to appropriation 51740
item 029-321, Operating Expenses, in fiscal year 2009.51741

       Section 213.10.  AGE DEPARTMENT OF AGING51742

General Revenue Fund51743

GRF 490-321 Operating Expenses $ 2,637,571 $ 2,637,271 51744
GRF 490-403 PASSPORT $ 128,391,189 $ 158,196,465 51745
GRF 490-406 Senior Olympics $ 14,856 $ 14,856 51746
GRF 490-409 Ohio Community Service Council Operations $ 183,792 $ 183,792 51747
GRF 490-410 Long-Term Care Ombudsman $ 654,965 $ 654,965 51748
GRF 490-411 Senior Community Services $ 10,349,439 $ 10,349,439 51749
GRF 490-412 Residential State Supplement $ 9,156,771 $ 9,156,771 51750
GRF 490-414 Alzheimers Respite $ 4,131,594 $ 4,131,594 51751
GRF 490-416 JCFS Community Options $ 250,000 $ 250,000 51752
GRF 490-421 PACE $ 10,214,809 $ 10,214,809 51753
GRF 490-422 Assisted Living Waiver $ 12,554,940 $ 15,213,890 51754
GRF 490-506 National Senior Service Corps $ 335,296 $ 335,296 51755
TOTAL GRF General Revenue Fund $ 178,875,222 $ 211,339,148 51756

General Services Fund Group51757

480 490-606 Senior Community Outreach and Education $ 372,677 $ 372,677 51758
TOTAL GSF General Services Fund 51759
Group $ 372,677 $ 372,677 51760

Federal Special Revenue Fund Group51761

3C4 490-607 PASSPORT $ 301,767,486 $ 301,274,172 51762
3C4 490-621 PACE-Federal $ 14,586,135 $ 14,586,135 51763
3C4 490-622 Assisted Living-Federal $ 14,972,892 $ 21,810,442 51764
3M4 490-612 Federal Independence Services $ 62,406,819 $ 63,655,080 51765
3R7 490-617 Ohio Community Service Council Programs $ 8,870,000 $ 8,870,000 51766
322 490-618 Federal Aging Grants $ 10,000,000 $ 10,200,000 51767
TOTAL FED Federal Special Revenue 51768
Fund Group $ 412,603,332 ` 420,395,829 51769

State Special Revenue Fund Group51770

4C4 490-609 Regional Long-Term Care Ombudsman Program $ 935,000 $ 935,000 51771
4J4 490-610 PASSPORT/Residential State Supplement $ 33,491,930 $ 33,263,984 51772
4U9 490-602 PASSPORT Fund $ 4,424,969 $ 4,424,969 51773
5AA 490-673 Ohio's Best Rx Administration $ 1,184,154 $ 910,801 51774
5BA 490-620 Ombudsman Support $ 600,000 $ 600,000 51775
5K9 490-613 Long Term Care Consumers Guide $ 820,400 $ 820,400 51776
5W1 490-616 Resident Services Coordinator Program $ 330,000 $ 330,000 51777
624 490-604 OCSC Community Support $ 470,000 $ 470,000 51778
TOTAL SSR State Special Revenue 51779
Fund Group $ 42,256,453 $ 41,755,154 51780
TOTAL ALL BUDGET FUND GROUPS $ 634,107,684 $ 673,862,808 51781


       Section 213.20. PRE-ADMISSION REVIEW FOR NURSING FACILITY51783
ADMISSION51784

       Pursuant to an interagency agreement, the Department of Job 51785
and Family Services shall designate the Department of Aging to 51786
perform assessments under sections 173.42 and 5111.204 of the 51787
Revised Code. Of the foregoing appropriation item 490-403,51788
PASSPORT, the Department of Aging may use not more than $2,731,000 51789
in fiscal year 2008 and $2,813,000 in fiscal year 2009 to perform51790
the assessments for persons not eligible for Medicaid under the 51791
department's interagency agreement with the Department of Job and 51792
Family Services and to assist individuals in planning for their 51793
long-term health care needs.51794

        PASSPORT51795

       Appropriation item 490-403, PASSPORT, and the amounts set51796
aside for the PASSPORT Waiver Program in appropriation item51797
490-610, PASSPORT/Residential State Supplement, may be used to51798
assess clients regardless of Medicaid eligibility.51799

       The Director of Aging shall adopt rules under section 111.1551800
of the Revised Code governing the nonwaiver funded PASSPORT51801
program, including client eligibility.51802

       The Department of Aging shall administer the Medicaid51803
waiver-funded PASSPORT Home Care Program as delegated by the51804
Department of Job and Family Services in an interagency agreement. 51805
The foregoing appropriation item 490-403, PASSPORT, and the 51806
amounts set aside for the PASSPORT Waiver Program in appropriation 51807
item 490-610, PASSPORT/Residential State Supplement, shall be used 51808
to provide the required state match for federal Medicaid funds51809
supporting the Medicaid Waiver-funded PASSPORT Home Care Program.51810
Appropriation item 490-403, PASSPORT, and the amounts set aside51811
for the PASSPORT Waiver Program in appropriation item 490-610,51812
PASSPORT/Residential State Supplement, may also be used to support51813
the Department of Aging's administrative costs associated with51814
operating the PASSPORT program.51815

       The foregoing appropriation item 490-607, PASSPORT, shall be51816
used to provide the federal matching share for all PASSPORT51817
program costs determined by the Department of Job and Family51818
Services to be eligible for Medicaid reimbursement.51819

       OHIO COMMUNITY SERVICE COUNCIL51820

       The foregoing appropriation items 490-409, Ohio Community51821
Service Council Operations, and 490-617, Ohio Community Service 51822
Council Programs, shall be used in accordance with section 121.40 51823
of the Revised Code.51824

       LONG-TERM CARE OMBUDSMAN51825

       The foregoing appropriation item 490-410, Long-Term Care51826
Ombudsman, shall be used for a program to fund ombudsman program51827
activities as authorized in sections 173.14 to 173.27 and section 51828
173.99 of the Revised Code.51829

       SENIOR COMMUNITY SERVICES51830

       Appropriation item 490-411, Senior Community Services, shall 51831
be used for services designated by the Department of Aging,51832
including, but not limited to, home-delivered and congregate 51833
meals, transportation services, personal care services, respite 51834
services, adult day services, home repair, care coordination, and 51835
decision support systems. Service priority shall be given to low 51836
income, frail, and cognitively impaired persons 60 years of age 51837
and over. The department shall promote cost sharing by service 51838
recipients for those services funded with senior community 51839
services funds, including, when possible, sliding-fee scale 51840
payment systems based on the income of service recipients.51841

       RESIDENTIAL STATE SUPPLEMENT51842

       Under the Residential State Supplement Program, the amount51843
used to determine whether a resident is eligible for payment and51844
for determining the amount per month the eligible resident will51845
receive shall be as follows:51846

       (A) $900 for a residential care facility, as defined in51847
section 3721.01 of the Revised Code;51848

       (B) $900 for an adult group home, as defined in Chapter 3722. 51849
of the Revised Code;51850

       (C) $800 for an adult foster home, as defined in Chapter 173.51851
of the Revised Code;51852

       (D) $800 for an adult family home, as defined in Chapter51853
3722. of the Revised Code;51854

       (E) $800 for an adult community alternative home, as defined51855
in Chapter 3724. of the Revised Code;51856

       (F) $800 for an adult residential facility, as defined in51857
Chapter 5119. of the Revised Code;51858

       (G) $600 for adult community mental health housing services,51859
as defined in division (B)(5) of section 173.35 of the Revised51860
Code.51861

       The Departments of Aging and Job and Family Services shall51862
reflect these amounts in any applicable rules the departments 51863
adopt under section 173.35 of the Revised Code.51864

       TRANSFER OF RESIDENTIAL STATE SUPPLEMENT APPROPRIATIONS51865

       The Department of Aging may transfer cash by intrastate51866
transfer vouchers from the foregoing appropriation items 490-412,51867
Residential State Supplement, and 490-610, PASSPORT/Residential51868
State Supplement, to the Department of Job and Family Services'51869
Fund 4J5, Home and Community-Based Services for the Aged Fund. The 51870
funds shall be used to make benefit payments to Residential State51871
Supplement recipients.51872

       ALZHEIMERS RESPITE51873

       The foregoing appropriation item 490-414, Alzheimers Respite,51874
shall be used to fund only Alzheimer's disease services under51875
section 173.04 of the Revised Code.51876

       JCFS COMMUNITY OPTIONS51877

       The foregoing appropriation item 490-416, JCFS Community 51878
Options, shall be used for noncapital expenses related to51879
transportation services for the elderly that provide access to51880
such things as healthcare services, congregate meals,51881
socialization programs, and grocery shopping. The funds shall pass 51882
through and shall be administered by the Area Agencies on Aging. 51883
Agencies receiving funding from appropriation item 490-416, JCFS 51884
Community Options, shall coordinate services with other local 51885
service agencies. The appropriation shall be allocated to the 51886
following agencies:51887

        (A) $80,000 in both fiscal years to Cincinnati Jewish 51888
Vocational Services;51889

        (B) $70,000 in both fiscal years to Wexner Heritage Village;51890

        (C) $20,000 in both fiscal years to Yassenoff Jewish 51891
Community Center;51892

        (D) $80,000 in both fiscal years to Cleveland Jewish 51893
Community Center.51894

       ALLOCATION OF PACE SLOTS51895

       In order to effectively administer and manage growth within 51896
the PACE Program, the Director of Aging may, as the director deems 51897
appropriate and to the extent funding is available, allocate funds 51898
for the PACE Program between the PACE sites in Cleveland and 51899
Cincinnati.51900

       OHIO'S BEST RX START-UP COSTS51901

       An amount equal to the unencumbered balance in appropriation 51902
item 490-440, Ohio's Best Rx Start-up Costs, from fiscal year 2007 51903
is hereby appropriated for fiscal year 2008 into appropriation 51904
item 490-440, Ohio's Best Rx Start-up Costs.51905

       An amount equal to the remaining unencumbered balance in 51906
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, from 51907
fiscal year 2008 is hereby appropriated for fiscal year 2009 into 51908
appropriation item 490-440, Ohio's Best Rx Start-Up Costs. The 51909
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, shall 51910
be used by the Department of Aging to pay for the administrative 51911
and operational expenses of the Ohio's Best Rx Program in 51912
accordance with sections 173.71 to 173.91 of the Revised Code, 51913
including costs associated with the duties assigned by the 51914
department to the Ohio's Best Rx Program Administrator and for 51915
making payments to participating terminal distributors until 51916
sufficient cash exists to make payments from the accounts created 51917
in sections 173.85 and 173.86 of the Revised Code. Of 51918
appropriation item 490-440, Ohio's Best Rx Start-Up Costs, not 51919
more than $750,000 in each fiscal year may be used by the 51920
department for administrative and operational costs, excluding 51921
outreach, that are not associated with the Ohio's Best Rx Program 51922
Administrator or the payments to participating terminal 51923
distributors.51924

       EDUCATION AND TRAINING51925

       The foregoing appropriation item 490-606, Senior Community 51926
Outreach and Education, may be used to provide training to workers 51927
in the field of aging pursuant to division (G) of section 173.02 51928
of the Revised Code.51929

       REGIONAL LONG-TERM CARE OMBUDSMAN PROGRAM51930

       The foregoing appropriation item 490-609, Regional Long-Term51931
Care Ombudsman Program, shall be used solely to pay the costs of51932
operating the regional long-term care ombudsman programs 51933
designated by the Long-Term Care Ombudsman.51934

       PASSPORT/RESIDENTIAL STATE SUPPLEMENT51935

       Of the foregoing appropriation item 490-610,51936
PASSPORT/Residential State Supplement, up to $2,835,000 each51937
fiscal year may be used to fund the Residential State Supplement51938
Program. The remaining available funds shall be used to fund the51939
PASSPORT program.51940

       FEDERAL SUPPORTIVE SERVICES FUND51941

       On July 1, 2007, as soon as possible thereafter, the Director 51942
of Budget and Management shall transfer all assets, liabilities, 51943
revenues, and obligations associated with the Federal Aging 51944
Nutrition Fund (Fund 3M3) to the Federal Supportive Services Fund 51945
(Fund 3M4). Upon the transfer, the Federal Aging Nutrition Fund 51946
(Fund 3M3) shall cease to exist. The Director of Budget and 51947
Management shall cancel any existing encumbrances against 51948
appropriation item 490-611, Federal Aging Nutrition Fund (Fund 51949
3M3), and re-establish them against appropriation item 490-612, 51950
Federal Independence Services (Fund 3M4). The amounts of the 51951
re-established encumbrances are hereby appropriated.51952

       TRANSFER OF APPROPRIATIONS - FEDERAL INDEPENDENCE SERVICES 51953
AND FEDERAL AGING GRANTS51954

       Upon written request of the Director of Aging, the Director51955
of Budget and Management may transfer appropriation authority51956
among appropriation items 490-612, Federal Independence Services, 51957
and 490-618, Federal Aging Grants, in amounts not to exceed 30 per51958
cent of the appropriation from which the transfer is made. The51959
Department of Aging shall report a transfer to the Controlling51960
Board at the next regularly scheduled meeting of the board.51961

       TRANSFER OF RESIDENT PROTECTION FUNDS51962

       The Director of Budget and Management shall transfer $600,000 51963
per year in cash from Fund 4E3, Resident Protection Fund, in the 51964
Department of Job and Family Services, to Fund 5BA in the 51965
Department of Aging, to be used for the expansion of ombudsman 51966
services to enhance consumer involvement and person-centered care 51967
planning in nursing homes by the Office of the State Long-Term 51968
Care Ombudsman created by the Department of Aging under division 51969
(M) of section 173.01 of the Revised Code.51970

       OHIO'S BEST RX ADMINISTRATION51971

       The foregoing appropriation item 490-673, Ohio's Best Rx 51972
Administration, shall be used on an ongoing basis to cover 51973
expenses associated with the Ohio's Best Rx Program specified in 51974
section 173.86 of the Revised Code. If receipts to the fund exceed 51975
the appropriated amount, the Director of Aging may seek 51976
Controlling Board approval to increase the appropriation of this 51977
fund. Upon approval from the Controlling Board, the additional 51978
amounts are hereby appropriated.51979

       Section 215.10. AGR DEPARTMENT OF AGRICULTURE51980

General Revenue Fund51981

GRF 700-321 Operating Expenses $ 2,605,330 $ 2,605,330 51982
GRF 700-401 Animal Disease Control $ 3,574,506 $ 3,574,506 51983
GRF 700-403 Dairy Division $ 1,304,504 $ 1,304,504 51984
GRF 700-404 Ohio Proud $ 196,895 $ 196,895 51985
GRF 700-405 Animal Damage Control $ 60,000 $ 60,000 51986
GRF 700-406 Consumer Analytical Lab $ 953,906 $ 953,906 51987
GRF 700-407 Food Safety $ 865,100 $ 865,100 51988
GRF 700-409 Farmland Preservation $ 241,573 $ 241,573 51989
GRF 700-410 Plant Industry $ 150,000 $ 150,000 51990
GRF 700-411 International Trade and Market Development $ 617,524 $ 517,524 51991
GRF 700-412 Weights and Measures $ 1,300,000 $ 1,300,000 51992
GRF 700-413 Gypsy Moth Prevention $ 200,000 $ 200,000 51993
GRF 700-415 Poultry Inspection $ 325,000 $ 325,000 51994
GRF 700-418 Livestock Regulation Program $ 1,428,496 $ 1,428,496 51995
GRF 700-424 Livestock Testing and Inspections $ 115,946 $ 115,946 51996
GRF 700-499 Meat Inspection Program - State Share $ 4,696,889 $ 4,696,889 51997
GRF 700-501 County Agricultural Societies $ 483,226 $ 483,226 51998
GRF 700-503 Livestock Exhibition Fund $ 62,500 $ 62,500 51999
TOTAL GRF General Revenue Fund $ 19,181,395 $ 19,081,395 52000

General Services Fund Group52001

5DA 700-644 Laboratory Administration Support $ 1,100,000 $ 1,100,000 52002
TOTAL GSF General Services Fund Group $ 1,100,000 $ 1,100,000 52003

Federal Special Revenue Fund Group52004

3AB 700-641 Agricultural Easement $ 2,000,000 $ 2,000,000 52005
3J4 700-607 Indirect Cost $ 600,000 $ 600,000 52006
3R2 700-614 Federal Plant Industry $ 4,800,000 $ 4,800,000 52007
326 700-618 Meat Inspection Program - Federal Share $ 4,960,000 $ 4,950,000 52008
336 700-617 Ohio Farm Loan Revolving Fund $ 44,679 $ 44,679 52009
382 700-601 Cooperative Contracts $ 3,700,000 $ 3,700,000 52010
TOTAL FED Federal Special Revenue 52011
Fund Group $ 16,104,679 $ 16,094,679 52012

State Special Revenue Fund Group52013

4C9 700-605 Feed, Fertilizer, Seed, and Lime Inspection $ 1,850,000 $ 1,850,000 52014
4D2 700-609 Auction Education $ 24,601 $ 24,601 52015
4E4 700-606 Utility Radiological Safety $ 73,059 $ 73,059 52016
4P7 700-610 Food Safety Inspection $ 858,096 $ 858,096 52017
4R2 700-637 Dairy Industry Inspection $ 1,500,000 $ 1,500,000 52018
4T6 700-611 Poultry and Meat Inspection $ 47,294 $ 47,294 52019
4T7 700-613 International Trade and Market Development $ 15,000 $ 15,000 52020
494 700-612 Agricultural Commodity Marketing Program $ 250,000 $ 250,000 52021
496 700-626 Ohio Grape Industries $ 850,000 $ 849,999 52022
497 700-627 Commodity Handlers Regulatory Program $ 500,000 $ 500,000 52023
5B8 700-629 Auctioneers $ 365,390 $ 365,390 52024
5H2 700-608 Metrology Lab and Scale Certification $ 427,526 $ 427,526 52025
5L8 700-604 Livestock Management Program $ 30,000 $ 30,000 52026
578 700-620 Ride Inspection Fees $ 1,000,000 $ 1,000,001 52027
652 700-634 Animal and Consumer Analytical Laboratory $ 3,000,000 $ 3,000,000 52028
669 700-635 Pesticide Program $ 2,800,000 $ 2,800,000 52029
TOTAL SSR State Special Revenue 52030
Fund Group $ 13,590,966 $ 13,590,966 52031

Clean Ohio Fund Group52032

057 700-632 Clean Ohio Agricultural Easement $ 149,000 $ 149,000 52033
TOTAL CLR Clean Ohio Fund Group $ 149,000 $ 149,000 52034

TOTAL ALL BUDGET FUND GROUPS $ 50,126,040 $ 50,016,040 52035

       OHIO - ISRAEL AGRICULTURAL INITIATIVE52036

       Of the foregoing General Revenue Fund appropriation item 52037
700-411, International Trade and Market Development, $100,000 52038
shall be used in fiscal year 2008 for the Ohio - Israel 52039
Agricultural Initiative.52040

       COUNTY AGRICULTURAL SOCIETIES52041

       The foregoing appropriation item 700-501, County Agricultural 52042
Societies, shall be used to reimburse county and independent 52043
agricultural societies for expenses related to Junior Fair 52044
activities.52045

       LIVESTOCK EXHIBITION FUND52046

        The foregoing appropriation item 700-503, Livestock 52047
Exhibition Fund, shall be used in accordance with section 901.42 52048
of the Revised Code.52049

       CORRECTIVE CASH TRANSFER TO ANIMAL HEALTH AND FOOD SAFETY 52050
FUND52051

       On the effective date of this section, or as soon as possible 52052
thereafter, the Director of Budget and Management may transfer all 52053
cash from the Animal Industry Laboratory Fund (Fund 4V5) to the 52054
Laboratory Services Fund (Fund 652) to correct deposits that were 52055
mistakenly deposited to the Laboratory Services Fund (Fund 4V5).52056

       Section 217.10. AIR AIR QUALITY DEVELOPMENT AUTHORITY52057

General Revenue Fund52058

GRF 898-402 Coal Development Office $ 565,097 $ 589,092 52059
GRF 898-901 Coal R&D General Obligation Debt Service $ 7,232,400 $ 8,192,500 52060
TOTAL GRF General Revenue Fund $ 7,797,497 $ 8,781,592 52061

General Services Fund Group52062

5EG 898-608 Energy Strategy Development $ 307,000 $ 307,000 52063
TOTAL GSF General Services Fund $ 307,000 $ 307,000 52064

Agency Fund Group52065

4Z9 898-602 Small Business Ombudsman $ 287,146 $ 294,290 52066
5A0 898-603 Small Business Assistance $ 71,087 $ 71,087 52067
570 898-601 Operating Expenses $ 255,000 $ 264,000 52068
TOTAL AGY Agency Fund Group $ 613,233 $ 629,377 52069

Coal Research/Development Fund52070

046 898-604 Coal Research and Development Fund $ 10,000,000 $ 10,000,000 52071
TOTAL 046 Coal Research/Development Fund $ 10,000,000 $ 10,000,000 52072
TOTAL ALL BUDGET FUND GROUPS $ 18,717,730 $ 19,717,969 52073

       COAL DEVELOPMENT OFFICE52074

        The foregoing appropriation item GRF 898-402, Coal 52075
Development Office, shall be used for the administrative costs of 52076
the Coal Development Office.52077

       COAL RESEARCH AND DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE52078

        The foregoing appropriation item GRF 898-901, Coal R & D 52079
General Obligation Debt Service, shall be used to pay all debt 52080
service and related financing costs at the times they are required 52081
to be made during the period from July 1, 2007 to June 30, 2009 52082
for obligations issued under sections 151.01 and 151.07 of the 52083
Revised Code.52084

       SCIENCE AND TECHNOLOGY COLLABORATION52085

        The Air Quality Development Authority shall work in close 52086
collaboration with the Department of Development, the Board of 52087
Regents, and the Third Frontier Commission in relation to 52088
appropriation items and programs referred to as Alignment Programs 52089
in the following paragraph, and other technology-related 52090
appropriations and programs in the Department of Development, Air 52091
Quality Development Authority, and the Board of Regents as those 52092
agencies may designate, to ensure implementation of a coherent 52093
state strategy with respect to science and technology.52094

       To the extent permitted by law, the Air Quality Development 52095
Authority shall assure that coal research and development 52096
programs, proposals, and projects consider or incorporate 52097
appropriate collaborations with Third Frontier Project programs 52098
and grantees and with Alignment Programs and grantees.52099

       "Alignment Programs" means: appropriation items 195-401, 52100
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 52101
Third Frontier Action Fund; 898-604, Coal Research and Development 52102
Fund; 235-433, Economic Growth Challenge; 235-508, Air Force 52103
Institute of Technology; 235-510, Ohio Supercomputer Center; 52104
235-451, Eminent Scholars; 235-527, Ohio Aerospace Institute; 52105
235-535, Ohio Agricultural Research and Development Center; 52106
235-553, Dayton Area Graduate Studies Institute; 235-554, 52107
Priorities in Collaborative Graduate Education; 235-556, Ohio 52108
Academic Resources Network; and 195-435, Biomedical Research and 52109
Technology Transfer Trust.52110

       Consistent with the recommendations of the Governor's 52111
Commission on Higher Education and the Economy, Alignment Programs 52112
shall be managed and administered (1) to build on existing 52113
competitive research strengths, (2) to encourage new and emerging 52114
discoveries and commercialization of ideas and products that will 52115
benefit the Ohio economy, and (3) to assure improved collaboration 52116
among Alignment Programs, with programs administered by the Third 52117
Frontier Commission, and with other state programs that are 52118
intended to improve economic growth and job creation.52119

       As directed by the Third Frontier Commission, Alignment 52120
Program managers shall report to the Commission or to the Third 52121
Frontier Advisory Board on the contributions of their programs to 52122
achieving the objectives stated in the preceding paragraph.52123

       Each alignment program shall be reviewed annually by the 52124
Third Frontier Commission with respect to its development of 52125
complementary relationships within a combined state science and 52126
technology investment portfolio and its overall contribution to 52127
the state's science and technology strategy, including the 52128
adoption of appropriately consistent criteria for: (1) the 52129
scientific merit of activities supported by the program; (2) the 52130
relevance of the program's activities to commercial opportunities 52131
in the private sector; (3) the private sector's involvement in a 52132
process that continually evaluates commercial opportunities to use 52133
the work supported by the program; and (4) the ability of the 52134
program and recipients of grant funding from the program to engage 52135
in activities that are collaborative, complementary, and efficient 52136
with respect to the expenditure of state funds. Each alignment 52137
program shall provide annual reports to the Third Frontier 52138
Commission discussing existing, planned, or possible 52139
collaborations between programs and recipients of grant funding 52140
related to technology, development, commercialization, and 52141
supporting Ohio's economic development. The annual review by the 52142
Third Frontier Commission shall be a comprehensive review of the 52143
entire state science and technology program portfolio rather than 52144
a review of individual programs.52145

       Applicants for Third Frontier and Alignment Program funding 52146
shall identify their requirements for high-performance computing 52147
facilities and services, including both hardware and software, in 52148
all proposals. If an applicant's requirements exceed approximately 52149
$100,000 for a proposal, the Ohio Supercomputer Center shall 52150
convene a panel of experts. The panel shall review the proposal to 52151
determine whether the proposal's requirements can be met through 52152
Ohio Supercomputer Center facilities or through other means and 52153
report its conclusion to the Third Frontier Commission.52154

        To ensure that the state receives the maximum benefit from 52155
its investment in the Third Frontier Project and the Third 52156
Frontier Network, organizations receiving Third Frontier awards 52157
and Alignment Program awards shall, as appropriate, be expected to 52158
have a connection to the Third Frontier Network that enables them 52159
and their collaborators to achieve award objectives through the 52160
Third Frontier Network.52161

       CORRECTIVE CASH TRANSFER52162

       On the effective date of this section, or as soon as possible 52163
thereafter, the Director of Budget and Management may transfer 52164
$35,555.35 in cash from the Coal Research and Development Fund 52165
(Fund 046) into the Coal Research and Development Bond Services 52166
Fund (Fund 076) to correct deposits that were mistakenly deposited 52167
into the Coal Research and Development Fund (Fund 046).52168

       Section 219.10.  ADA DEPARTMENT OF ALCOHOL AND DRUG ADDICTION 52169
SERVICES52170

General Revenue Fund52171

GRF 038-321 Operating Expenses $ 1,071,861 $ 1,071,861 52172
GRF 038-401 Treatment Services $ 31,661,063 $ 34,661,063 52173
GRF 038-404 Prevention Services $ 1,052,127 $ 1,552,127 52174
TOTAL GRF General Revenue Fund $ 33,785,051 $ 37,285,051 52175

General Services Fund52176

5T9 038-616 Problem Gambling Services $ 285,000 $ 285,000 52177
TOTAL GSF General Services Fund Group $ 285,000 $ 285,000 52178

Federal Special Revenue Fund Group52179

3CK 038-625 TANF $ 5,000,000 $ 5,000,000 52180
3G3 038-603 Drug Free Schools $ 3,500,000 $ 3,500,000 52181
3G4 038-614 Substance Abuse Block Grant $ 73,000,000 $ 73,000,000 52182
3H8 038-609 Demonstration Grants $ 7,093,075 $ 7,093,075 52183
3J8 038-610 Medicaid $ 46,000,000 $ 46,000,000 52184
3N8 038-611 Administrative Reimbursement $ 500,000 $ 500,000 52185
TOTAL FED Federal Special Revenue 52186
Fund Group $ 135,093,075 $ 135,093,075 52187

State Special Revenue Fund Group52188

475 038-621 Statewide Treatment and Prevention $ 18,000,000 $ 18,000,000 52189
5BR 038-406 Tobacco Use Prevention and Control Program $ 205,000 $ 205,000 52190
5DH 038-620 Fetal Alcohol Spectrum Disorder $ 327,500 $ 327,500 52191
689 038-604 Education and Conferences $ 350,000 $ 350,000 52192
TOTAL SSR State Special Revenue 52193
Fund Group $ 18,882,500 $ 18,882,500 52194
TOTAL ALL BUDGET FUND GROUPS $ 188,045,626 $ 191,545,626 52195

       TREATMENT SERVICES52196

        Of the foregoing appropriation item 038-401, Treatment 52197
Services, not more than $8,190,000 shall be used by the Department 52198
of Alcohol and Drug Addiction Services for program grants for 52199
priority populations in each year of the biennium.52200

       SUBSTANCE ABUSE SERVICES FOR FAMILIES OF AT RISK CHILDREN52201

       Of the foregoing appropriation item 038-401, Treatment52202
Services, $4 million in each fiscal year shall be used to provide 52203
substance abuse services to families involved in the child welfare 52204
system under the requirements of Am. Sub. H.B. 484 of the 122nd52205
General Assembly.52206

       THERAPEUTIC COMMUNITIES52207

        Of the foregoing appropriation item 038-401, Treatment 52208
Services, $600,000 shall be used in each fiscal year for the 52209
Therapeutic Communities Program in the Department of 52210
Rehabilitation and Correction.52211

        JUVENILE AFTERCARE PROGRAM52212

       Of the foregoing appropriation item 038-401, Treatment 52213
Services, $2,500,000 shall be used in fiscal year 2009 for the 52214
Juvenile Aftercare Program to provide community-based alcohol and 52215
other drug treatment to parolees from the Department of Youth 52216
Services.52217

       SERVICES FOR TANF-ELIGIBLE INDIVIDUALS52218

       Of the foregoing appropriation item 038-625, TANF 52219
Reimbursement, an amount up to $5 million each year shall be used 52220
to reimburse counties for TANF-eligible expenditures for substance 52221
abuse prevention and treatment services to children, or their 52222
families, whose income is at or below 200 per cent of the federal52223
poverty level. The Director of Alcohol and Drug Addiction Services 52224
and the Director of Job and Family Services shall enter into an 52225
interagency agreement that meets federal requirements.52226

       PERFORMANCE REVIEW52227

        The Auditor of State shall complete a performance review of 52228
the Department of Alcohol and Drug Addiction Services. Upon 52229
completing the performance review, the Auditor of State shall 52230
submit a report of the findings of the review to the Governor, the 52231
President of the Senate, the Speaker of the House of 52232
Representatives, and the Director of Alcohol and Drug Addiction 52233
Services.52234

       Section 221.10.  ARC STATE BOARD OF EXAMINERS OF ARCHITECTS52235

General Services Fund Group52236

4K9 891-609 Operating Expenses $ 589,710 $ 527,641 52237
TOTAL GSF General Services Fund 52238
Group $ 589,710 $ 527,641 52239
TOTAL ALL BUDGET FUND GROUPS $ 589,710 $ 527,641 52240


       Section 223.10.  ART OHIO ARTS COUNCIL52242

General Revenue Fund52243

GRF 370-100 Personal Services $ 1,798,235 $ 1,798,235 52244
GRF 370-200 Maintenance $ 459,746 $ 459,746 52245
GRF 370-300 Equipment $ 82,700 $ 82,700 52246
GRF 370-502 State Program Subsidies $ 9,147,480 $ 9,147,480 52247
TOTAL GRF General Revenue Fund $ 11,488,161 $ 11,488,161 52248

General Services Fund Group52249

4B7 370-603 Percent for Art Acquisitions $ 86,366 $ 86,366 52250
460 370-602 Management Expenses and Donations $ 285,000 $ 285,000 52251
TOTAL GSF General Services Fund Group $ 371,366 $ 371,366 52252

Federal Special Revenue Fund Group52253

314 370-601 Federal Support $ 800,000 $ 800,000 52254
TOTAL FED Federal Special Revenue Fund Group $ 800,000 $ 800,000 52255
TOTAL ALL BUDGET FUND GROUPS $ 12,659,527 $ 12,659,527 52256

       PROGRAM SUBSIDIES52257

       A museum is not eligible to receive funds from appropriation52258
item 370-502, State Program Subsidies, if $8,000,000 or more in 52259
capital appropriations were appropriated by the state for the 52260
museum between January 1, 1986, and December 31, 2002.52261

       Section 225.10. ATH ATHLETIC COMMISSION52262

General Services Fund Group52263

4K9 175-609 Operating Expenses $ 255,850 $ 255,850 52264
TOTAL GSF General Services Fund Group $ 255,850 $ 255,850 52265
TOTAL ALL BUDGET FUND GROUPS $ 255,850 $ 255,850 52266


       Section 227.10. AGO ATTORNEY GENERAL52268

General Revenue Fund52269

GRF 055-321 Operating Expenses $ 54,063,833 $ 54,007,332 52270
GRF 055-404 Tobacco Settlement Enforcement $ 0 $ 723,797 52271
GRF 055-411 County Sheriffs' Pay Supplement $ 813,117 $ 842,134 52272
GRF 055-415 County Prosecutors' Pay Supplement $ 896,404 $ 923,888 52273
TOTAL GRF General Revenue Fund $ 55,773,354 $ 56,497,151 52274

General Services Fund Group52275

106 055-612 General Reimbursement $ 29,870,196 $ 29,870,196 52276
195 055-660 Workers' Compensation Section $ 8,002,720 $ 8,002,720 52277
4Y7 055-608 Title Defect Rescission $ 750,000 $ 750,000 52278
4Z2 055-609 BCI Asset Forfeiture and Cost Reimbursement $ 1,000,000 $ 1,000,000 52279
418 055-615 Charitable Foundations $ 6,919,850 $ 7,064,978 52280
420 055-603 Attorney General Antitrust $ 1,500,000 $ 1,500,000 52281
421 055-617 Police Officers' Training Academy Fee $ 2,000,000 $ 2,000,000 52282
5A9 055-618 Telemarketing Fraud Enforcement $ 7,500 $ 7,500 52283
590 055-633 Peace Officer Private Security Fund $ 98,370 $ 98,370 52284
629 055-636 Corrupt Activity Investigation and Prosecution $ 15,000 $ 15,000 52285
631 055-637 Consumer Protection Enforcement $ 2,500,000 $ 2,500,000 52286
TOTAL GSF General Services Fund 52287
Group $ 52,663,636 $ 52,808,764 52288

Federal Special Revenue Fund Group52289

3E5 055-638 Attorney General Pass-Through Funds $ 2,850,000 $ 3,030,000 52290
3R6 055-613 Attorney General Federal Funds $ 4,870,000 $ 5,115,000 52291
306 055-620 Medicaid Fraud Control $ 3,139,500 $ 3,296,500 52292
381 055-611 Civil Rights Legal Service $ 402,540 $ 402,540 52293
383 055-634 Crime Victims Assistance $ 16,000,000 $ 16,000,000 52294
TOTAL FED Federal Special Revenue 52295
Fund Group $ 27,262,040 $ 27,844,040 52296

State Special Revenue Fund Group52297

4L6 055-606 DARE $ 3,927,962 $ 3,927,962 52298
402 055-616 Victims of Crime $ 34,000,000 $ 34,000,000 52299
419 055-623 Claims Section $ 25,000,000 $ 25,000,000 52300
659 055-641 Solid and Hazardous Waste Background Investigations $ 621,159 $ 621,159 52301
TOTAL SSR State Special Revenue 52302
Fund Group $ 63,549,121 $ 63,549,121 52303

Holding Account Redistribution Fund Group52304

R04 055-631 General Holding Account $ 1,000,000 $ 1,000,000 52305
R05 055-632 Antitrust Settlements $ 1,000 $ 1,000 52306
R18 055-630 Consumer Frauds $ 750,000 $ 750,000 52307
R42 055-601 Organized Crime Commission Distributions $ 25,025 $ 25,025 52308
TOTAL 090 Holding Account 52309
Redistribution Fund Group $ 1,776,025 $ 1,776,025 52310
TOTAL ALL BUDGET FUND GROUPS $ 201,024,176 $ 202,475,101 52311

       TOBACCO SETTLEMENT ENFORCEMENT52312

       The foregoing appropriation item 055-404, Tobacco Settlement 52313
Enforcement, shall be used by the Attorney General to pay costs 52314
incurred in the oversight, administration, and enforcement of the 52315
Tobacco Master Settlement Agreement.52316

       COUNTY SHERIFFS' PAY SUPPLEMENT52317

        The foregoing appropriation item 055-411, County Sheriffs' 52318
Pay Supplement, shall be used for the purpose of supplementing the 52319
annual compensation of county sheriffs as required by section 52320
325.06 of the Revised Code.52321

       At the request of the Attorney General, the Director of 52322
Budget and Management may transfer appropriation authority from 52323
appropriation item 055-321, Operating Expenses, to appropriation 52324
item 055-411, County Sheriffs' Pay Supplement. Any appropriation 52325
authority so transferred to appropriation item 055-411, County 52326
Sheriffs' Pay Supplement, shall be used to supplement the annual 52327
compensation of county sheriffs as required by section 325.06 of 52328
the Revised Code.52329

       COUNTY PROSECUTORS' PAY SUPPLEMENT52330

       The foregoing appropriation item 055-415, County Prosecutors' 52331
Pay Supplement, shall be used for the purpose of supplementing the 52332
annual compensation of certain county prosecutors as required by 52333
section 325.111 of the Revised Code.52334

       At the request of the Attorney General, the Director of 52335
Budget and Management may transfer appropriation authority from 52336
appropriation item 055-321, Operating Expenses, to appropriation 52337
item 055-415, County Prosecutors' Pay Supplement. Any 52338
appropriation authority so transferred to appropriation item 52339
055-415, County Prosecutors' Pay Supplement, shall be used to 52340
supplement the annual compensation of county prosecutors as 52341
required by section 325.111 of the Revised Code.52342

       WORKERS' COMPENSATION SECTION52343

       The Workers' Compensation Section Fund (Fund 195) is entitled 52344
to receive payments from the Bureau of Workers' Compensation and 52345
the Ohio Industrial Commission at the beginning of each quarter of52346
each fiscal year to fund legal services to be provided to the52347
Bureau of Workers' Compensation and the Ohio Industrial Commission52348
during the ensuing quarter. The advance payment shall be subject52349
to adjustment.52350

       In addition, the Bureau of Workers' Compensation shall52351
transfer payments at the beginning of each quarter for the support52352
of the Workers' Compensation Fraud Unit.52353

       All amounts shall be mutually agreed upon by the Attorney52354
General, the Bureau of Workers' Compensation, and the Ohio52355
Industrial Commission.52356

       CORRUPT ACTIVITY INVESTIGATION AND PROSECUTION52357

       The foregoing appropriation item 055-636, Corrupt Activity52358
Investigation and Prosecution, shall be used as provided by52359
division (D)(2) of section 2923.35 of the Revised Code to dispose52360
of the proceeds, fines, and penalties credited to the Corrupt52361
Activity Investigation and Prosecution Fund, which is created in52362
division (D)(1)(b) of section 2923.35 of the Revised Code.52363

       GENERAL HOLDING ACCOUNT52364

       The foregoing appropriation item 055-631, General Holding 52365
Account, shall be used to distribute moneys under the terms of 52366
relevant court orders received from settlements in a variety of 52367
cases involving the Office of the Attorney General.52368

       ATTORNEY GENERAL PASS-THROUGH FUNDS52369

        The foregoing appropriation item 055-638, Attorney General 52370
Pass-Through Funds, shall be used to receive federal grant funds 52371
provided to the Attorney General by other state agencies, 52372
including, but not limited to, the Department of Youth Services 52373
and the Department of Public Safety.52374

        ANTITRUST SETTLEMENTS52375

       The foregoing appropriation item 055-632, Antitrust 52376
Settlements, shall be used to distribute court-ordered antitrust 52377
settlements in which the Office of Attorney General represents the 52378
state or a political subdivision under section 109.81 of the 52379
Revised Code.52380

       CONSUMER FRAUDS52381

        The foregoing appropriation item 055-630, Consumer Frauds, 52382
shall be used for distribution of moneys from court-ordered 52383
judgments against sellers in actions brought by the Office of 52384
Attorney General under sections 1334.08 and 4549.48 and division 52385
(B) of section 1345.07 of the Revised Code. These moneys shall be 52386
used to provide restitution to consumers victimized by the fraud 52387
that generated the court-ordered judgments.52388

       ORGANIZED CRIME COMMISSION DISTRIBUTIONS52389

        The foregoing appropriation item 055-601, Organized Crime 52390
Commission Distributions, shall be used by the Organized Crime 52391
Investigations Commission, as provided by section 177.011 of the 52392
Revised Code, to reimburse political subdivisions for the expenses 52393
the political subdivisions incur when their law enforcement 52394
officers participate in an organized crime task force.52395

       FUND ADJUSTMENTS52396

       On July 1, 2007, or as soon as practicable thereafter, the 52397
Director of Budget and Management shall transfer the cash balance 52398
in the Employment Services Fund (Fund 107) to the General 52399
Reimbursement Fund (Fund 106). The Director shall cancel any 52400
existing encumbrances against appropriation item 055-624, 52401
Employment Services, and re-establish them against appropriation 52402
item 055-612, General Reimbursement. The amounts of the 52403
re-established encumbrances are hereby appropriated. Upon 52404
completion of these transfers, the Employment Services Fund (Fund 52405
107) is hereby abolished.52406

       On July 1, 2007, or as soon as practicable thereafter, the 52407
Director of Budget and Management shall transfer the cash balance 52408
in the Crime Victims Compensation Fund (Fund 108) to the 52409
Reparations Fund (Fund 402). Upon completion of this transfer, the 52410
Crime Victims Compensation Fund (Fund 108) is hereby abolished.52411

       Section 229.10. AUD AUDITOR OF STATE52412

General Revenue Fund52413

GRF 070-321 Operating Expenses $ 31,469,552 $ 32,771,482 52414
GRF 070-403 Fiscal Watch/Emergency Technical Assistance $ 600,000 $ 600,000 52415
TOTAL GRF General Revenue Fund $ 32,069,552 $ 33,371,482 52416

Auditor of State Fund Group52417

109 070-601 Public Audit Expense - Intra-State $ 11,000,000 $ 11,000,000 52418
422 070-601 Public Audit Expense - Local Government $ 33,000,000 $ 34,000,000 52419
584 070-603 Training Program $ 181,250 $ 181,250 52420
675 070-605 Uniform Accounting Network $ 3,317,336 $ 3,317,336 52421
TOTAL AUD Auditor of State Fund 52422
Group $ 47,498,586 $ 48,498,586 52423
TOTAL ALL BUDGET FUND GROUPS $ 79,568,138 $ 81,870,068 52424

       FISCAL WATCH/EMERGENCY TECHNICAL ASSISTANCE52425

       The foregoing appropriation item 070-403, Fiscal52426
Watch/Emergency Technical Assistance, shall be used for expenses 52427
incurred by the Office of the Auditor of State in its role 52428
relating to fiscal watch or fiscal emergency activities under52429
Chapters 118. and 3316. of the Revised Code. Expenses include, but 52430
are not limited to, the following: duties related to the 52431
determination or termination of fiscal watch or fiscal emergency 52432
of municipal corporations, counties, or townships as outlined in 52433
Chapter 118. of the Revised Code and of school districts as 52434
outlined in Chapter 3316. of the Revised Code; development of 52435
preliminary accounting reports; performance of annual forecasts; 52436
provision of performance audits; and supervisory, accounting, or 52437
auditing services for the mentioned public entities and school 52438
districts. The unencumbered balance of appropriation item 070-403, 52439
Fiscal Watch/Emergency Technical Assistance, at the end of fiscal 52440
year 2008 is transferred to fiscal year 2009 for use under the 52441
same appropriation item.52442

       UNIFORM ACCOUNTING NETWORK/TECHNOLOGY IMPROVEMENTS FUND 52443
TRANSFER52444

       Upon the request of the Auditor of State, and subject to 52445
approval from the Controlling Board, effective July 1, 2007, or as 52446
soon thereafter as possible, the Director of Budget and Management 52447
shall transfer the appropriation balance in GRF appropriation item 52448
070-406, Uniform Accounting Network/Technology Improvements Fund, 52449
to GRF appropriation item 070-321, Operating Expenses. The 52450
Director shall cancel any existing encumbrances against GRF 52451
appropriation item 070-406, Uniform Accounting Network/Technology 52452
Improvement Fund, and re-establish them against GRF appropriation 52453
item 070-321, Operating Expenses. The amounts of the 52454
re-established encumbrances are hereby appropriated.52455

       Section 231.10. BRB BOARD OF BARBER EXAMINERS52456

General Services Fund Group52457

4K9 877-609 Operating Expenses $ 608,045 $ 628,264 52458
TOTAL GSF General Services Fund 52459
Group $ 608,045 $ 628,264 52460
TOTAL ALL BUDGET FUND GROUPS $ 608,045 $ 628,264 52461


       Section 233.10. OBM OFFICE OF BUDGET AND MANAGEMENT52463

General Revenue Fund52464

GRF 042-321 Budget Development and Implementation $ 2,026,011 $ 2,128,284 52465
GRF 042-410 National Association Dues $ 28,700 $ 29,561 52466
GRF 042-412 Audit of Auditor of State $ 60,460 $ 60,460 52467
GRF 042-413 Payment Issuance $ 1,191,802 $ 1,150,192 52468
GRF 042-416 Medicaid Agency Transition $ 0 $ 1,500,000 52469
TOTAL GRF General Revenue Fund $ 3,306,973 $ 4,868,497 52470

General Services Fund Group52471

105 042-603 State Accounting and Budgeting $ 12,115,134 $ 12,742,551 52472
TOTAL GSF General Services Fund Group $ 12,115,134 $ 12,742,551 52473

Federal Special Revenue Fund Group52474

3CM 042-606 Medicaid Agency Transition $ 0 $ 1,500,000 52475
TOTAL FED Federal Special Revenue Fund Group $ 0 $ 1,500,000 52476

State Special Revenue Fund Group52477

5N4 042-602 OAKS Project Implementation $ 2,200,725 $ 2,132,168 52478
TOTAL SSR State Special Revenue Fund Group $ 2,200,725 $ 2,132,168 52479

Agency Fund Group52480

5EH 042-604 Forgery Recovery $ 35,000 $ 35,000 52481
TOTAL AGY Agency Fund Group $ 35,000 $ 35,000 52482
TOTAL ALL BUDGET FUND GROUPS $ 17,657,832 $ 21,278,216 52483

       AUDIT COSTS52484

       Of the foregoing appropriation item 042-603, State Accounting 52485
and Budgeting, not more than $435,000 in fiscal year 2008 and52486
$445,000 in fiscal year 2009 shall be used to pay for centralized52487
audit costs associated with either Single Audit Schedules or52488
financial statements prepared in conformance with generally52489
accepted accounting principles for the state.52490

       Section 233.20. OAKS SUPPORT ORGANIZATION52491

       The OAKS Support Organization shall operate and maintain the 52492
financial management module of the state's enterprise resource 52493
planning system to support the activities of the Office of Budget 52494
and Management. The OAKS Support Organization shall recover the 52495
costs to establish and maintain the enterprise resource planning 52496
system through billings to the Office of Budget and Management.52497

       Effective July 1, 2007, the Office of Budget Management shall 52498
include the recovery of costs to administer the financial module 52499
of the OAKS System in the accounting and budgeting services 52500
payroll rate. These revenues shall be deposited to the credit of 52501
the Accounting and Budgeting Services Fund (Fund 105). Amounts 52502
deposited under this section are hereby appropriated to 52503
appropriation item 042-603, State Accounting and Budgeting. Not 52504
less than quarterly, the Office of Budget and Management shall 52505
process the intrastate transfer voucher billings to transfer the 52506
Accounting and Budgeting Services Fund (Fund 105) to the OAKS 52507
Support Organization Fund (Fund 5EB), to pay for the OAKS Support 52508
Organization Costs.52509

       TRANSFER BALANCE OF CONTINUOUS RECEIPTS FUND52510

       On or before July 31, 2007, the unencumbered cash balance in 52511
the Continuous Receipts Fund (Fund R06) shall be transferred to 52512
the Forgery Recovery Fund (Fund 5EH).52513

       Section 235.10. CSR CAPITOL SQUARE REVIEW AND ADVISORY BOARD52514

General Revenue Fund52515

GRF 874-100 Personal Services $ 1,957,000 $ 1,957,000 52516
GRF 874-320 Maintenance and Equipment $ 985,837 $ 980,837 52517
TOTAL GRF General Revenue Fund $ 2,942,837 $ 2,937,837 52518

General Services Fund Group52519

4G5 874-603 Capitol Square Education Center and Arts $ 15,000 $ 15,000 52520
4S7 874-602 Statehouse Gift Shop/Events $ 650,484 $ 650,484 52521
TOTAL GSF General Services 52522
Fund Group $ 665,484 $ 665,484 52523

Underground Parking Garage52524

208 874-601 Underground Parking Garage Operations $ 2,706,993 $ 2,706,993 52525
TOTAL UPG Underground Parking 52526
Garage $ 2,706,993 $ 2,706,993 52527
TOTAL ALL BUDGET FUND GROUPS $ 6,315,314 $ 6,310,314 52528


       Section 237.10. SCR STATE BOARD OF CAREER COLLEGES AND 52530
SCHOOLS52531

General Services Fund Group52532

4K9 233-601 Operating Expenses $ 552,300 $ 572,700 52533
TOTAL GSF General Services Fund Group $ 552,300 $ 572,700 52534
TOTAL ALL BUDGET FUND GROUPS $ 552,300 $ 572,700 52535


       Section 239.10. CDP CHEMICAL DEPENDENCY PROFESSIONALS BOARD52537

General Services Fund Group52538

4K9 930-609 Operating Expenses $ 530,864 $ 551,146 52539
TOTAL GSF General Services Fund Group $ 530,864 $ 551,146 52540
TOTAL ALL BUDGET FUND GROUPS $ 530,864 $ 551,146 52541


       Section 241.10. CHR STATE CHIROPRACTIC BOARD52543

General Services Fund Group52544

4K9 878-609 Operating Expenses $ 607,445 $ 621,621 52545
TOTAL GSF General Services Fund Group $ 607,445 $ 621,621 52546
TOTAL ALL BUDGET FUND GROUPS $ 607,445 $ 621,621 52547


       Section 243.10. CIV OHIO CIVIL RIGHTS COMMISSION52549

General Revenue Fund52550

GRF 876-321 Operating Expenses $ 7,097,134 $ 7,097,134 52551
TOTAL GRF General Revenue Fund $ 7,097,134 $ 7,097,134 52552

Federal Special Revenue Fund Group52553

334 876-601 Investigations $ 3,965,507 $ 4,602,185 52554
TOTAL FED Federal Special Revenue 52555
Fund Group $ 3,965,507 $ 4,602,185 52556

State Special Revenue Fund Group52557

217 876-604 Operations Support $ 60,000 $ 60,000 52558
TOTAL SSR State Special 52559
Revenue Fund Group $ 60,000 $ 60,000 52560
TOTAL ALL BUDGET FUND GROUPS $ 11,122,641 $ 11,759,319 52561


       Section 245.10. COM DEPARTMENT OF COMMERCE52563

General Revenue Fund52564

GRF 800-410 Labor and Worker Safety $ 2,032,396 $ 2,032,396 52565
Total GRF General Revenue Fund $ 2,032,396 $ 2,032,396 52566

General Services Fund Group52567

163 800-620 Division of Administration $ 4,323,037 $ 4,413,037 52568
163 800-637 Information Technology $ 6,650,150 $ 6,780,963 52569
5F1 800-635 Small Government Fire Departments $ 300,000 $ 300,000 52570
543 800-602 Unclaimed Funds-Operating $ 7,880,468 $ 8,049,937 52571
543 800-625 Unclaimed Funds-Claims $ 70,000,000 $ 75,000,000 52572
TOTAL GSF General Services Fund 52573
Group $ 89,153,655 $ 94,543,937 52574

Federal Special Revenue Fund Group52575

348 800-622 Underground Storage Tanks $ 195,008 $ 195,008 52576
348 800-624 Leaking Underground Storage Tanks $ 1,850,000 $ 1,850,000 52577
TOTAL FED Federal Special Revenue 52578
Fund Group $ 2,045,008 $ 2,045,008 52579

State Special Revenue Fund Group52580

4B2 800-631 Real Estate Appraisal Recovery $ 35,000 $ 35,000 52581
4H9 800-608 Cemeteries $ 273,465 $ 273,465 52582
4X2 800-619 Financial Institutions $ 2,474,414 $ 2,523,918 52583
5K7 800-621 Penalty Enforcement $ 50,000 $ 50,000 52584
544 800-612 Banks $ 6,516,507 $ 6,703,253 52585
545 800-613 Savings Institutions $ 2,244,370 $ 2,286,616 52586
546 800-610 Fire Marshal $ 13,104,393 $ 13,579,150 52587
546 800-639 Fire Department Grants $ 1,647,140 $ 1,647,140 52588
546 800-640 Homeland Security Grants $ 10,000 $ 10,000 52589
547 800-603 Real Estate Education/Research $ 250,000 $ 250,000 52590
548 800-611 Real Estate Recovery $ 50,000 $ 50,000 52591
549 800-614 Real Estate $ 3,480,038 $ 3,574,171 52592
550 800-617 Securities $ 4,312,453 $ 4,473,094 52593
552 800-604 Credit Union $ 3,521,037 $ 3,627,390 52594
553 800-607 Consumer Finance $ 5,800,445 $ 5,800,445 52595
556 800-615 Industrial Compliance $ 25,033,908 $ 25,570,011 52596
6A4 800-630 Real Estate Appraiser-Operating $ 664,006 $ 664,006 52597
653 800-629 UST Registration/Permit Fee $ 1,512,512 $ 1,467,160 52598
TOTAL SSR State Special Revenue 52599
Fund Group $ 70,979,688 $ 72,584,819 52600

Liquor Control Fund Group52601

043 800-601 Merchandising $ 440,499,979 $ 464,027,015 52602
043 800-627 Liquor Control Operating $ 15,980,724 $ 16,334,583 52603
043 800-633 Development Assistance Debt Service $ 33,678,800 $ 38,616,800 52604
043 800-636 Revitalization Debt Service $ 12,620,900 $ 15,683,300 52605
TOTAL LCF Liquor Control 52606
Fund Group $ 502,780,403 $ 534,661,698 52607
TOTAL ALL BUDGET FUND GROUPS $ 666,991,150 $ 705,867,858 52608

       SMALL GOVERNMENT FIRE DEPARTMENTS52609

       Notwithstanding section 3737.17 of the Revised Code, the52610
foregoing appropriation item 800-635, Small Government Fire52611
Departments, may be used to provide loans to private fire52612
departments.52613

       UNCLAIMED FUNDS PAYMENTS52614

       The foregoing appropriation item 800-625, Unclaimed52615
Funds-Claims, shall be used to pay claims under section 169.08 of 52616
the Revised Code. If it is determined that additional amounts are 52617
necessary, the amounts are hereby appropriated.52618

       UNCLAIMED FUNDS TRANSFERS52619

        Notwithstanding division (A) of section 169.05 of the Revised 52620
Code, prior to June 30, 2008, and upon the request of the Director 52621
of Budget and Management, the Director of Commerce shall transfer 52622
to the General Revenue Fund up to $29,275,000 of unclaimed funds 52623
that have been reported by holders of unclaimed funds under 52624
section 169.05 of the Revised Code, irrespective of the allocation 52625
of the unclaimed funds under that section.52626

        Notwithstanding division (A) of section 169.05 of the Revised 52627
Code, prior to June 30, 2009, and upon the request of the Director 52628
of Budget and Management, the Director of Commerce shall transfer 52629
to the General Revenue Fund up to $29,275,000 of unclaimed funds 52630
that have been reported by holders of unclaimed funds under 52631
section 169.05 of the Revised Code, irrespective of the allocation 52632
of the unclaimed funds under that section.52633

       CASH TRANSFER TO GENERAL REVENUE FUND52634

        Notwithstanding any other law to the contrary, the Director 52635
of Budget and Management shall transfer up to $5,700,000 in cash 52636
in fiscal year 2008 and up to $5,800,000 in cash in fiscal year 52637
2009 from the State Fire Marshal Fund (Fund 546) to the General 52638
Revenue Fund.52639

       FIRE DEPARTMENT GRANTS52640

        Of the foregoing appropriation item 800-639, Fire Department 52641
Grants, up to $760,000 in each fiscal year shall be used to make 52642
annual grants to volunteer fire departments of up to $10,000, or 52643
up to $25,000 if the volunteer fire department provides service 52644
for an area affected by a natural disaster. The grant program 52645
shall be administered by the Fire Marshal under the Department of 52646
Commerce. The Fire Marshal shall adopt rules as are necessary for 52647
the administration and operation of the grant program.52648

        Of the foregoing appropriation item 800-639, Fire Department 52649
Grants, up to $687,140 in each fiscal year shall be used as full 52650
or partial reimbursement to local units of government and fire 52651
departments for the cost of firefighter training and equipment or 52652
gear. Under rules that the department shall adopt, a local unit of 52653
government or fire department may apply to the department for a 52654
grant to cover all documented costs that are incurred to provide 52655
firefighter training and equipment or gear. The department shall 52656
make grants within the limits of the funding provided, with 52657
priority given to fire departments that serve small villages and 52658
townships.52659

        Of the foregoing appropriation item 800-639, Fire Department 52660
Grants, up to $200,000 in each fiscal year shall be used to make 52661
grants to fire departments to assist in the conversion of existing 52662
data systems to the NFIRS 5 electronic fire reporting system. 52663
Under rules that the department shall adopt, awards shall have a 52664
maximum of $50,000 per fire department and shall be based on a 52665
point system that includes factors such as consideration of the 52666
fire department's information technology and operating budgets, 52667
population and area served, number of incidents, data conversion 52668
and implementation methods, and readiness.52669

       CASH TRANSFER TO REAL ESTATE OPERATING FUND52670

        At the request of the Director of Commerce, the Director of 52671
Budget and Management may transfer up to $100,000 in cash from the 52672
Real Estate Recovery Fund (Fund 548) and up to $350,000 in cash 52673
from the Real Estate Appraiser Recovery Fund (Fund 4B2) to the 52674
Real Estate Operating Fund (Fund 549) during fiscal years 52675
2008-2009.52676

       INCREASED APPROPRIATION AUTHORITY - MERCHANDISING52677

       The foregoing appropriation item 800-601, Merchandising, 52678
shall be used under section 4301.12 of the Revised Code. If it is 52679
determined that additional amounts are necessary, the amounts are 52680
hereby appropriated.52681

        DEVELOPMENT ASSISTANCE DEBT SERVICE52682

       The foregoing appropriation item 800-633, Development 52683
Assistance Debt Service, shall be used to pay debt service and 52684
related financing costs at the times they are required to be made 52685
during the period from July 1, 2007, to June 30, 2009, for bond 52686
service charges on obligations issued under Chapter 166. of the 52687
Revised Code. If it is determined that additional appropriations 52688
are necessary for this purpose, such amounts are hereby 52689
appropriated, subject to the limitations set forth in section 52690
166.11 of the Revised Code. An appropriation for this purpose is 52691
not required, but is made in this form and in this act for record 52692
purposes only.52693

       REVITALIZATION DEBT SERVICE52694

       The foregoing appropriation item 800-636, Revitalization Debt52695
Service, shall be used to pay debt service and related financing52696
costs under sections 151.01 and 151.40 of the Revised Code during 52697
the period from July 1, 2007, to June 30, 2009. If it is 52698
determined that additional appropriations are necessary for this 52699
purpose, such amounts are hereby appropriated. The General 52700
Assembly acknowledges the priority of the pledge of a portion of 52701
receipts from that source to obligations issued and to be issued 52702
under Chapter 166. of the Revised Code.52703

       ADMINISTRATIVE ASSESSMENTS52704

       Notwithstanding any other provision of law to the contrary,52705
Fund 163, Division of Administration, is entitled to receive 52706
assessments from all operating funds of the department in 52707
accordance with procedures prescribed by the Director of Commerce 52708
and approved by the Director of Budget and Management.52709

       Section 247.10. OCC OFFICE OF CONSUMERS' COUNSEL52710

General Services Fund Group52711

5F5 053-601 Operating Expenses $ 8,498,070 $ 8,498,070 52712
TOTAL GSF General Services Fund Group $ 8,498,070 $ 8,498,070 52713
TOTAL ALL BUDGET FUND GROUPS $ 8,498,070 $ 8,498,070 52714


       Section 249.10. CEB CONTROLLING BOARD52716

General Revenue Fund52717

GRF 911-404 Mandate Assistance $ 650,000 $ 650,000 52718
GRF 911-441 Ballot Advertising Costs $ 300,000 $ 300,000 52719
TOTAL GRF General Revenue Fund $ 950,000 $ 950,000 52720
TOTAL ALL BUDGET FUND GROUPS $ 950,000 $ 950,000 52721

       BUDGET STABILIZATION FUND TRANSFERS TO THE EMERGENCY 52722
PURPOSES/CONTINGENCIES APPROPRIATION LINE ITEM52723

        Notwithstanding any other provision of law to the contrary, 52724
the Director of Budget and Management may, with Controlling Board 52725
approval, transfer up to $4,000,000 in cash, in each of fiscal 52726
years 2008 and 2009, from the Budget Stabilization Fund to the 52727
General Revenue Fund. Upon completion of the transfer, the 52728
Director of Budget and Management shall appropriate the 52729
transferred amount to appropriation item 911-401, Emergency 52730
Purposes/Contingencies. The Controlling Board may, at the request 52731
of any state agency or the Director of Budget and Management, 52732
transfer all or part of the appropriation in appropriation item 52733
911-401, Emergency Purposes/Contingencies, for the purpose of 52734
providing disaster and emergency situation aid to state agencies 52735
and political subdivisions in the event of disasters and emergency 52736
situations or for the other purposes noted in this section, 52737
including, but not limited to, costs related to the disturbance 52738
that occurred on April 11, 1993, at the Southern Ohio Correctional 52739
Facility in Lucasville, Ohio.52740

       FEDERAL SHARE52741

       In transferring appropriations to or from appropriation items52742
that have federal shares identified in this act, the Controlling52743
Board shall add or subtract corresponding amounts of federal52744
matching funds at the percentages indicated by the state and52745
federal division of the appropriations in this act. Such changes52746
are hereby appropriated.52747

       DISASTER ASSISTANCE52748

       Pursuant to requests submitted by the Department of Public52749
Safety, the Controlling Board may approve transfers from 52750
appropriation item 911-401, Emergency Purposes/Contingencies, to 52751
Department of Public Safety appropriation items to provide funding 52752
for assistance to political subdivisions and individuals made 52753
necessary by natural disasters or emergencies. Such transfers may 52754
be requested and approved prior to or following the occurrence of 52755
any specific natural disasters or emergencies in order to 52756
facilitate the provision of timely assistance.52757

       DISASTER SERVICES52758

        Pursuant to requests submitted by the Department of Public 52759
Safety, the Controlling Board may approve transfers from the 52760
Disaster Services Fund (5E2) to a Department of Public Safety fund 52761
and appropriation item to provide for assistance to political 52762
subdivisions made necessary by natural disasters or emergencies. 52763
These transfers may be requested and approved prior to the 52764
occurrence of any specific natural disasters or emergencies in 52765
order to facilitate the provision of timely assistance. The 52766
Emergency Management Agency of the Department of Public Safety 52767
shall use the funding to fund the State Disaster Relief Program 52768
for disasters that have been declared by the Governor, and the 52769
State Individual Assistance Program for disasters that have been 52770
declared by the Governor and the federal Small Business 52771
Administration. The Ohio Emergency Management Agency shall publish 52772
and make available application packets outlining procedures for 52773
the State Disaster Relief Program and the State Individual 52774
Assistance Program.52775

        The Disaster Services Fund (5E2) shall be used by the 52776
Controlling Board, pursuant to requests submitted by state 52777
agencies, to transfer cash and appropriation authority to any fund 52778
and appropriation item for the payment of state agency disaster 52779
relief program expenses for disasters declared by the Governor, 52780
if the Director of Budget and Management determines that 52781
sufficient funds exist.52782

        The unencumbered balance of the Disaster Services Fund (5E2) 52783
at the end of fiscal year 2008 is transferred to fiscal year 2009 52784
for use for the same purposes as in fiscal year 2009.52785

       SOUTHERN OHIO CORRECTIONAL FACILITY COST52786

       The Division of Criminal Justice Services in the Department 52787
of Public Safety and the Public Defender Commission may each 52788
request, upon approval of the Director of Budget and Management, 52789
additional funds from appropriation item 911-401, Emergency 52790
Purposes/Contingencies, for costs related to the disturbance that52791
occurred on April 11, 1993, at the Southern Ohio Correctional52792
Facility in Lucasville, Ohio.52793

       MANDATE ASSISTANCE52794

       (A) The foregoing appropriation item 911-404, Mandate52795
Assistance, shall be used to provide financial assistance to local52796
units of government and school districts for the cost of the 52797
following two unfunded state mandates:52798

       (1) The cost to county prosecutors for prosecuting certain52799
felonies that occur on the grounds of state institutions operated52800
by the Department of Rehabilitation and Correction and the52801
Department of Youth Services;52802

       (2) The cost to school districts of in-service training for52803
child abuse detection.52804

       (B) The Division of Criminal Justice Services in the 52805
Department of Public Safety and the Department of Education may 52806
prepare and submit to the Controlling Board one or more requests 52807
to transfer appropriations from appropriation item 911-404, 52808
Mandate Assistance. The state agencies charged with this 52809
administrative responsibility are listed below, as well as the 52810
estimated annual amounts that may be used for each program of 52811
state financial assistance.52812

ADMINISTERING ESTIMATED ANNUAL 52813
PROGRAM AGENCY AMOUNT 52814

Prosecution Costs Division of Criminal $150,000 52815
Justice Services 52816
Child Abuse Detection Training Costs Department of Education $500,000 52817

       (C) Subject to the total amount appropriated in each fiscal52818
year for appropriation item 911-404, Mandate Assistance, the 52819
Division of Criminal Justice Services in the Department of Public 52820
Safety and the Department of Education may request from the 52821
Controlling Board that amounts smaller or larger than these 52822
estimated annual amounts be transferred to each program.52823

       (D) In addition to making the initial transfers requested by52824
the Division of Criminal Justice Services in the Department of 52825
Public Safety and the Department of Education, the Controlling 52826
Board may transfer appropriations received by a state agency under 52827
this section back to appropriation item 911-404, Mandate52828
Assistance, or to the other program of state financial assistance52829
identified under this section.52830

       (E) It is expected that not all costs incurred by local units 52831
of government and school districts under each of the two programs 52832
of state financial assistance identified in this section will be 52833
fully reimbursed by the state. Reimbursement levels may vary by 52834
program and shall be based on: the relationship between the 52835
appropriation transfers requested by the Division of Criminal52836
Justice Services in the Department of Public Safety and the 52837
Department of Education and provided by the Controlling Board for 52838
each of the programs; the rules and procedures established for52839
each program by the administering state agency; and the actual 52840
costs incurred by local units of government and school districts.52841

       (F) Each of these programs of state financial assistance52842
shall be carried out as follows:52843

       (1) PROSECUTION COSTS52844

       (a) Appropriations may be transferred to the Division of52845
Criminal Justice Services in the Department of Public Safety to 52846
cover local prosecution costs for aggravated murder, murder, 52847
felonies of the first degree, and felonies of the second degree 52848
that occur on the grounds of institutions operated by the 52849
Department of Rehabilitation and Correction and the Department of 52850
Youth Services.52851

       (b) Upon a delinquency filing in juvenile court or the return 52852
of an indictment for aggravated murder, murder, or any felony of52853
the first or second degree that was committed at a Department of52854
Youth Services or a Department of Rehabilitation and Correction52855
institution, the affected county may, in accordance with rules52856
that the Division of Criminal Justice Services in the Department 52857
of Public Safety shall adopt, apply to the Division of Criminal 52858
Justice Services for a grant to cover all documented costs that 52859
are incurred by the county prosecutor's office.52860

       (c) Twice each year, the Division of Criminal Justice 52861
Services in the Department of Public Safety shall designate52862
counties to receive grants from those counties that have submitted 52863
one or more applications in compliance with the rules that have 52864
been adopted by the Division of Criminal Justice Services for the 52865
receipt of such grants. In each year's first round of grant 52866
awards, if sufficient appropriations have been made, up to a total 52867
of $100,000 may be awarded. In each year's second round of grant52868
awards, the remaining appropriations available for this purpose52869
may be awarded.52870

       (d) If for a given round of grants there are insufficient52871
appropriations to make grant awards to all the eligible counties,52872
the first priority shall be given to counties with cases involving52873
aggravated murder and murder; second priority shall be given to 52874
counties with cases involving a felony of the first degree; and 52875
third priority shall be given to counties with cases involving a52876
felony of the second degree. Within these priorities, the grant52877
awards shall be based on the order in which the applications were 52878
received, except that applications for cases involving a felony of 52879
the first or second degree shall not be considered in more than 52880
two consecutive rounds of grant awards.52881

       (2) CHILD ABUSE DETECTION TRAINING COSTS52882

       Appropriations may be transferred to the Department of52883
Education for disbursement to local school districts as full or52884
partial reimbursement for the cost of providing in-service52885
training for child abuse detection. In accordance with rules that52886
the department shall adopt, a local school district may apply to52887
the department for a grant to cover all documented costs that are52888
incurred to provide in-service training for child abuse detection.52889
The department shall make grants within the limits of the funding52890
provided.52891

       (G) Any moneys allocated within appropriation item 911-404,52892
Mandate Assistance, not fully utilized may, upon application of52893
the Ohio Public Defender Commission, and with the approval of the52894
Controlling Board, be disbursed to boards of county commissioners52895
to provide additional reimbursement for the costs incurred by 52896
counties in providing defense to indigent defendants pursuant to 52897
Chapter 120. of the Revised Code. Application for the unutilized 52898
funds shall be made by the Ohio Public Defender Commission at the 52899
first June meeting of the Controlling Board.52900

       The amount to be disbursed to each county shall be allocated52901
proportionately on the basis of the total amount of reimbursement 52902
paid to each county as a percentage of the amount of reimbursement 52903
paid to all of the counties during the most recent state fiscal 52904
year for which data is available and as calculated by the Ohio 52905
Public Defender Commission.52906

       BALLOT ADVERTISING COSTS52907

       Pursuant to requests submitted by the Ohio Ballot Board, the52908
Controlling Board shall approve transfers from the foregoing52909
appropriation item 911-441, Ballot Advertising Costs, to an Ohio52910
Ballot Board appropriation item in order to reimburse county52911
boards of elections for the cost of public notices associated with52912
statewide ballot initiatives.52913

       Section 251.10. COS STATE BOARD OF COSMETOLOGY52914

General Services Fund Group52915

4K9 879-609 Operating Expenses $ 3,533,679 $ 3,533,679 52916
TOTAL GSF General Services Fund 52917
Group $ 3,533,679 $ 3,533,679 52918
TOTAL ALL BUDGET FUND GROUPS $ 3,533,679 $ 3,533,679 52919


       Section 253.10. CSW COUNSELOR, SOCIAL WORKER, AND MARRIAGE 52921
AND FAMILY THERAPIST BOARD52922

General Services Fund Group52923

4K9 899-609 Operating Expenses $ 1,124,267 $ 1,179,774 52924
TOTAL GSF General Services Fund 52925
Group $ 1,124,267 $ 1,179,774 52926
TOTAL ALL BUDGET FUND GROUPS $ 1,124,267 $ 1,179,774 52927


       Section 255.10. CLA COURT OF CLAIMS52929

General Revenue Fund52930

GRF 015-321 Operating Expenses $ 2,758,681 $ 2,841,441 52931
TOTAL GRF General Revenue Fund $ 2,758,681 $ 2,841,441 52932

State Special Revenue Fund Group52933

5K2 015-603 CLA Victims of Crime $ 1,582,684 $ 1,582,684 52934
TOTAL SSR State Special Revenue 52935
Fund Group $ 1,582,684 $ 1,582,684 52936
TOTAL ALL BUDGET FUND GROUPS $ 4,341,365 $ 4,424,125 52937


       Section 257.10.  AFC OHIO CULTURAL FACILITIES COMMISSION52939

General Revenue Fund52940

GRF 371-321 Operating Expenses $ 176,136 $ 176,136 52941
GRF 371-401 Lease Rental Payments $ 36,604,600 $ 37,455,500 52942
TOTAL GRF General Revenue Fund $ 36,780,736 $ 37,631,636 52943

State Special Revenue Fund Group52944

4T8 371-601 Riffe Theatre Equipment Maintenance $ 81,000 $ 81,000 52945
4T8 371-603 Project Administration Services $ 983,295 $ 983,295 52946
TOTAL SSR State Special Revenue Group $ 1,064,295 $ 1,064,295 52947
TOTAL ALL BUDGET FUND GROUPS $ 37,845,031 $ 38,695,931 52948

       LEASE RENTAL PAYMENTS52949

       The foregoing appropriation item 371-401, Lease Rental 52950
Payments, shall be used to meet all payments from the Ohio 52951
Cultural Facilities Commissions to the Treasurer of State during 52952
the period from July 1, 2007, to June 30, 2009, under the primary 52953
leases and agreements for those arts and sports facilities made 52954
under Chapters 152. and 154. of the Revised Code. This 52955
appropriation is the source of funds pledged for bond service 52956
charges on related obligations issued pursuant to Chapters 152. 52957
and 154. of the Revised Code.52958

       OPERATING EXPENSES52959

       The foregoing appropriation item 371-321, Operating Expenses,52960
shall be used by the Ohio Cultural Facilities Commission to carry 52961
out its responsibilities under this section and Chapter 3383. of 52962
the Revised Code.52963

       By July 10, 2007, or as soon as possible thereafter, the 52964
Director of Budget and Management shall determine the amount of 52965
cash from interest earnings to be transferred from the Cultural 52966
and Sports Facilities Building Fund (Fund 030) to the Cultural 52967
Facilities Commission Administration Fund (Fund 4T8).52968

       By July 10, 2008, or as soon as possible thereafter, the 52969
Director of Budget and Management shall determine the amount of 52970
cash from interest earnings to be transferred from the Cultural 52971
and Sports Facilities Building Fund (Fund 030) to the Cultural 52972
Facilities Commission Administration Fund (Fund 4T8).52973

       As soon as possible after each bond issuance made on behalf 52974
of the Cultural Facilities Commission, the Director of Budget and 52975
Management shall determine the amount of cash from any premium 52976
paid on each issuance that is available to be transferred after 52977
all issuance costs have been paid from the Cultural and Sports 52978
Facilities Building Fund (Fund 030) to the Cultural Facilities 52979
Commission Administration Fund (Fund 4T8).52980

       Section 259.10.  DEN STATE DENTAL BOARD52981

General Services Fund Group52982

4K9 880-609 Operating Expenses $ 1,437,392 $ 1,528,749 52983
TOTAL GSF General Services Fund 52984
Group $ 1,437,392 $ 1,528,749 52985
TOTAL ALL BUDGET FUND GROUPS $ 1,437,392 $ 1,528,749 52986


       Section 261.10.  BDP BOARD OF DEPOSIT52988

General Services Fund Group52989

4M2 974-601 Board of Deposit $ 1,676,000 $ 1,676,000 52990
TOTAL GSF General Services Fund 52991
Group $ 1,676,000 $ 1,676,000 52992
TOTAL ALL BUDGET FUND GROUPS $ 1,676,000 $ 1,676,000 52993

       BOARD OF DEPOSIT EXPENSE FUND52994

       Upon receiving certification of expenses from the Treasurer52995
of State, the Director of Budget and Management shall transfer52996
cash from the Investment Earnings Redistribution Fund (Fund 608)52997
to the Board of Deposit Expense Fund (Fund 4M2). The latter fund52998
shall be used to pay for banking charges and fees required for the52999
operation of the State of Ohio Regular Account.53000

       Section 263.10. DEV DEPARTMENT OF DEVELOPMENT53001

General Revenue Fund53002

GRF 195-401 Thomas Edison Program $ 19,454,838 $ 17,978,483 53003
GRF 195-404 Small Business Development $ 1,740,722 $ 1,792,944 53004
GRF 195-405 Minority Business Development Division $ 1,580,291 $ 1,627,700 53005
GRF 195-407 Travel and Tourism $ 6,782,845 $ 6,762,845 53006
GRF 195-410 Defense Conversion Assistance $ 5,000,000 $ 0 53007
GRF 195-412 Rapid Outreach Grants $ 11,750,000 $ 12,102,500 53008
GRF 195-415 Economic Development Division and Regional Offices $ 5,894,975 $ 6,071,824 53009
GRF 195-416 Governor's Office of Appalachia $ 4,746,043 $ 4,746,043 53010
GRF 195-422 Third Frontier Action Fund $ 18,790,000 $ 16,790,000 53011
GRF 195-426 Clean Ohio Implementation $ 300,000 $ 309,000 53012
GRF 195-432 International Trade $ 4,650,501 $ 4,650,501 53013
GRF 195-434 Investment in Training Grants $ 12,227,500 $ 12,594,325 53014
GRF 195-436 Labor/Management Cooperation $ 836,225 $ 836,225 53015
GRF 195-497 CDBG Operating Match $ 1,072,184 $ 1,072,184 53016
GRF 195-498 State Match Energy $ 96,820 $ 96,820 53017
GRF 195-501 Appalachian Local Development Districts $ 391,482 $ 391,482 53018
GRF 195-502 Appalachian Regional Commission Dues $ 254,208 $ 254,208 53019
GRF 195-507 Travel and Tourism Grants $ 750,000 $ 785,000 53020
GRF 195-520 Ohio Main Street Program $ 250,000 $ 250,000 53021
GRF 195-905 Third Frontier Research & Development General Obligation Debt Service $ 14,349,500 $ 24,523,400 53022
GRF 195-912 Job Ready Site Development General Obligation Debt Service $ 4,359,400 $ 8,232,500 53023
TOTAL GRF General Revenue Fund $ 115,277,534 $ 121,867,984 53024

General Services Fund Group53025

135 195-684 Supportive Services $ 11,699,404 $ 11,321,444 53026
5AD 195-667 Investment in Training Expansion $ 2,000,000 $ 0 53027
5AD 195-668 Workforce Guarantee Program $ 1,000,000 $ 0 53028
5AD 195-677 Economic Development Contingency $ 5,000,000 $ 24,400,000 53029
5W5 195-690 Travel and Tourism Cooperative Projects $ 350,000 $ 350,000 53030
5W6 195-691 International Trade Cooperative Projects $ 300,000 $ 300,000 53031
685 195-636 Direct Cost Recovery Expenditures $ 800,000 $ 800,000 53032
TOTAL GSF General Services Fund 53033
Group $ 21,149,404 $ 37,171,444 53034

Federal Special Revenue Fund Group53035

3AE 195-643 Workforce Development Initiatives $ 5,839,900 $ 5,860,000 53036
3BJ 195-685 TANF Heating Assistance $ 45,000,000 $ 15,000,000 53037
3K8 195-613 Community Development Block Grant $ 65,000,000 $ 65,000,000 53038
3K9 195-611 Home Energy Assistance Block Grant $ 110,000,000 $ 110,000,000 53039
3K9 195-614 HEAP Weatherization $ 22,000,000 $ 22,000,000 53040
3L0 195-612 Community Services Block Grant $ 25,235,000 $ 25,235,000 53041
3V1 195-601 HOME Program $ 40,000,000 $ 40,000,000 53042
308 195-602 Appalachian Regional Commission $ 475,000 $ 475,000 53043
308 195-603 Housing and Urban Development $ 6,000,000 $ 6,000,000 53044
308 195-605 Federal Projects $ 27,000,000 $ 27,000,000 53045
308 195-609 Small Business Administration $ 4,296,381 $ 4,396,381 53046
308 195-618 Energy Federal Grants $ 3,400,000 $ 3,400,000 53047
335 195-610 Energy Conservation and Emerging Technology $ 2,200,000 $ 2,200,000 53048
TOTAL FED Federal Special Revenue 53049
Fund Group $ 356,446,281 $ 326,566,381 53050

State Special Revenue Fund Group53051

4F2 195-639 State Special Projects $ 518,393 $ 518,393 53052
4F2 195-676 Marketing Initiatives $ 5,000,000 $ 1,000,000 53053
4S0 195-630 Tax Incentive Programs $ 650,800 $ 650,800 53054
4W1 195-646 Minority Business Enterprise Loan $ 2,580,597 $ 2,580,597 53055
444 195-607 Water and Sewer Commission Loans $ 523,775 $ 523,775 53056
450 195-624 Minority Business Bonding Program Administration $ 53,967 $ 53,967 53057
451 195-625 Economic Development Financing Operating $ 2,483,311 $ 2,483,311 53058
5AR 195-674 Industrial Site Improvements $ 4,500,000 $ 4,500,000 53059
5CG 195-679 Alternative Fuel Transportation $ 1,500,000 $ 1,000,000 53060
5DU 195-689 Energy Projects $ 840,000 $ 840,000 53061
5M4 195-659 Low Income Energy Assistance $ 245,000,000 $ 245,000,000 53062
5M5 195-660 Advanced Energy Programs $ 17,000,000 $ 17,000,000 53063
5X1 195-651 Exempt Facility Inspection $ 25,000 $ 25,000 53064
611 195-631 Water and Sewer Administration $ 15,713 $ 15,713 53065
617 195-654 Volume Cap Administration $ 200,000 $ 200,000 53066
646 195-638 Low- and Moderate- Income Housing Trust Fund $ 53,000,000 $ 53,000,000 53067
TOTAL SSR State Special Revenue 53068
Fund Group $ 333,891,556 $ 329,391,556 53069

Facilities Establishment Fund Group53070

009 195-664 Innovation Ohio $ 50,000,000 $ 50,000,000 53071
010 195-665 Research and Development $ 50,000,000 $ 50,000,000 53072
037 195-615 Facilities Establishment $ 110,000,000 $ 110,000,000 53073
4Z6 195-647 Rural Industrial Park Loan $ 3,000,000 $ 3,000,000 53074
5D2 195-650 Urban Redevelopment Loans $ 5,475,000 $ 5,475,000 53075
5S8 195-627 Rural Development Initiative $ 3,000,000 $ 3,000,000 53076
5S9 195-628 Capital Access Loan Program $ 3,000,000 $ 3,000,000 53077
TOTAL 037 Facilities 53078
Establishment Fund Group $ 224,475,000 $ 224,475,000 53079

Clean Ohio Revitalization Fund53080

003 195-663 Clean Ohio Operating $ 625,000 $ 550,000 53081
TOTAL 003 Clean Ohio Revitalization Fund $ 625,000 $ 550,000 53082

Third Frontier Research & Development Fund Group53083

011 195-686 Third Frontier Operating $ 1,932,056 $ 1,932,056 53084
011 195-687 Third Frontier Research & Development Projects $ 94,000,000 $ 72,000,000 53085
014 195-692 Research & Development Taxable Bond Projects $ 28,000,000 $ 28,000,000 53086
TOTAL 011 Third Frontier Research & Development Fund Group $ 123,932,056 $ 101,932,056 53087

Job Ready Site Development Fund Group53088

012 195-688 Job Ready Site Operating $ 1,246,155 $ 1,246,155 53089
TOTAL 012 Job Ready Site Development Fund Group $ 1,246,155 $ 1,246,155 53090

TOTAL ALL BUDGET FUND GROUPS $ 1,177,042,986 $ 1,143,200,576 53091


       Section 263.10.10. THOMAS EDISON PROGRAM53093

       The foregoing appropriation item 195-401, Thomas Edison53094
Program, shall be used for the purposes of sections 122.28 to53095
122.38 of the Revised Code in order to provide funds for53096
cooperative public and private efforts in technological innovation53097
to promote the development and transfer of technology by and to53098
Ohio businesses that will lead to the creation of jobs. The 53099
foregoing appropriation item 195-401, Thomas Edison Program, shall 53100
not be used for the operating costs of the Department of 53101
Development.53102

       Of the foregoing appropriation item 195-401, Thomas Edison 53103
Program, $2,000,000 in fiscal year 2008 shall be used by Project 53104
Development, Inc., for technology commercialization.53105

       Section 263.10.20.  SMALL BUSINESS DEVELOPMENT53106

       The foregoing appropriation item 195-404, Small Business53107
Development, shall be used to ensure that the unique needs and53108
concerns of small businesses are addressed.53109

       The foregoing appropriation item 195-404, Small Business 53110
Development, may be used to provide grants to local organizations 53111
to support the operation of Small Business Development Centers and 53112
other local economic development activity promoting small 53113
business, including the 1st Stop Business Connection, and for the 53114
cost of administering the small business development center 53115
program. The centers shall provide technical, financial, and53116
management consultation for small business and shall facilitate53117
access to state and federal programs. These funds shall be used as53118
matching funds for grants from the United States Small Business53119
Administration and other federal agencies, pursuant to Public Law53120
No. 96-302 (1980) as amended by Public Law No. 98-395 (1984), and53121
regulations and policy guidelines for the programs under this law.53122

       MINORITY BUSINESS DEVELOPMENT DIVISION53123

       Of the foregoing appropriation item 195-405, Minority53124
Business Development Division, up to $1,060,000 but not less than 53125
$954,000 in each fiscal year shall be used to fund minority 53126
contractors and business assistance organizations. The Minority53127
Business Development Division shall determine which cities need 53128
minority contractors and business assistance organizations by 53129
utilizing United States Census Bureau data and zip codes to locate 53130
the highest concentrations of minority businesses. The Minority53131
Business Development Division also shall determine the numbers of53132
minority contractors and business assistance organizations53133
necessary and the amount of funding to be provided each. In53134
addition, the Minority Business Development Division shall53135
continue to plan and implement business conferences.53136

       Section 263.10.30. RAPID OUTREACH GRANTS53137

       The foregoing appropriation item 195-412, Rapid Outreach 53138
Grants, shall be used as an incentive for attracting and retaining 53139
business opportunities for the state. Any such business 53140
opportunity, whether new, expanding, or relocating in Ohio, is 53141
eligible for funding. The project must create or retain a 53142
significant number of jobs for Ohioans. Grant awards may be53143
considered only when (1) the project's viability hinges on an53144
award of funds from appropriation item 195-412, Rapid Outreach 53145
Grants; (2) all other public or private sources of financing have53146
been considered; or (3) the funds act as a catalyst for the53147
infusion into the project of other financing sources.53148

       The department's primary goal shall be to award funds to53149
political subdivisions of the state for off-site infrastructure53150
improvements. In order to meet the particular needs of economic53151
development in a region, the department may elect to award funds53152
directly to a business for on-site infrastructure improvements.53153
"Infrastructure improvements" mean improvements to water system53154
facilities, sewer and sewage treatment facilities, electric or gas53155
service facilities, fiber optic facilities, rail facilities, site53156
preparation, and parking facilities. The Director of Development53157
may recommend the funds be used in an alternative manner when53158
considered appropriate to meet an extraordinary economic 53159
development opportunity or need.53160

       The foregoing appropriation item 195-412, Rapid Outreach 53161
Grants, may be expended only after the submission of a request to 53162
the Controlling Board by the Department of Development outlining 53163
the planned use of the funds, and the subsequent approval of the 53164
request by the Controlling Board.53165

       The foregoing appropriation item 195-412, Rapid Outreach 53166
Grants, may be used for, but is not limited to, construction, 53167
rehabilitation, and acquisition projects for rail freight 53168
assistance as requested by the Department of Transportation. The 53169
Director of Transportation shall submit the proposed projects to 53170
the Director of Development for an evaluation of potential 53171
economic benefit.53172

       Section 263.10.40. ECONOMIC DEVELOPMENT DIVISION AND REGIONAL 53173
OFFICES53174

       The foregoing appropriation item 195-415, Economic53175
Development Division and Regional Offices, shall be used for the 53176
operating expenses of the Economic Development Division and the 53177
regional economic development offices and for grants for 53178
cooperative economic development ventures.53179

       Section 263.10.50.  GOVERNOR'S OFFICE OF APPALACHIA53180

       The foregoing appropriation item 195-416, Governor's Office53181
of Appalachia, shall be used for the administrative costs of53182
planning and liaison activities for the Governor's Office of53183
Appalachia, and to provide financial assistance to projects in 53184
Ohio's Appalachian counties.53185

       Of the foregoing appropriation item 195-416, Governor's53186
Office of Appalachia, up to $250,000 each fiscal year shall be53187
used to match federal funds from the Appalachian Regional53188
Commission to provide job training to impact the Appalachian53189
Region.53190

       Of the foregoing appropriation item 195-416, Governor's 53191
Office of Appalachia, up to $4,246,043 in each fiscal year shall 53192
be used in conjunction with other federal and state funds to 53193
provide financial assistance to projects in Ohio's Appalachian 53194
counties in order to further the goals of the Appalachian Regional 53195
Commission. The projects and project sponsors shall meet 53196
Appalachian Regional Commission eligibility requirements. Grants 53197
shall be administered by the Department of Development.53198

       Section 263.10.60. THIRD FRONTIER ACTION FUND53199

       The foregoing appropriation item 195-422, Third Frontier 53200
Action Fund, shall be used to make grants under sections 184.01 53201
and 184.02 of the Revised Code. Prior to the release of funds from 53202
appropriation item 195-422, Third Frontier Action Fund, each grant 53203
award shall be recommended for funding by the Third Frontier 53204
Commission and obtain approval from the Controlling Board.53205

       Of the foregoing appropriation item 195-422, Third Frontier 53206
Action Fund, not more than six per cent in each fiscal year shall 53207
be used for operating expenditures in administering the program.53208

       In addition to the six per cent for operating expenditures,53209
an additional administrative amount, not to exceed $1,500,00053210
within the biennium, shall be available for proposal evaluation, 53211
research and analyses, and marketing efforts considered necessary 53212
to receive and disseminate information about science and 53213
technology-related opportunities in the state.53214

       Of the foregoing appropriation item 195-422, Third Frontier 53215
Action Fund, $2,000,000 in fiscal year 2008 shall be used by 53216
Project Development, Inc., for business and job creation resulting 53217
from Third Frontier investments.53218

       SCIENCE AND TECHNOLOGY COLLABORATION53219

       The Department of Development shall work in close 53220
collaboration with the Board of Regents, the Air Quality 53221
Development Authority, and the Third Frontier Commission in 53222
relation to appropriation items and programs referred to as 53223
Alignment Programs in the following paragraph, and other 53224
technology-related appropriations and programs in the Department 53225
of Development, Air Quality Development Authority, and the Board 53226
of Regents as these agencies may designate, to ensure 53227
implementation of a coherent state strategy with respect to 53228
science and technology.53229

       "Alignment Programs" means appropriation items 195-401, 53230
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 53231
Third Frontier Action Fund; 898-604, Coal Research and Development 53232
Fund; 235-433, Economic Growth Challenge; 235-508, Air Force 53233
Institute of Technology; 235-510, Ohio Supercomputer Center; 53234
235-451, Eminent Scholars; 235-527, Ohio Aerospace Institute; 53235
235-535, Ohio Agricultural Research and Development Center; 53236
235-553, Dayton Area Graduate Studies Institute; 235-554, 53237
Priorities in Collaborative Graduate Education; 235-556, Ohio 53238
Academic Resources Network; 195-435, Biomedical Research and 53239
Technology Transfer Trust; 195-687, Third Frontier Research & 53240
Development Projects; CAP-068, Third Frontier Project; and 53241
195-692, Research & Development Taxable Bond Projects.53242

       Consistent with the recommendations of the Governor's 53243
Commission on Higher Education and the Economy, Alignment Programs 53244
shall be managed and administered in accordance with the following 53245
objectives: (1) to build on existing competitive research 53246
strengths; (2) to encourage new and emerging discoveries and 53247
commercialization of products and ideas that will benefit the Ohio 53248
economy; and (3) to assure improved collaboration among Alignment 53249
Programs with programs administered by the Third Frontier 53250
Commission and with other state programs that are intended to 53251
improve economic growth and job creation. As directed by the Third 53252
Frontier Commission, Alignment Program managers shall report to 53253
the Commission or the Third Frontier Advisory Board regarding the 53254
contributions of their programs to achieving these objectives.53255

       Each Alignment Program shall be reviewed annually by the 53256
Third Frontier Commission with respect to its development of 53257
complementary relationships within a combined state science and 53258
technology investment portfolio, and with respect to its overall 53259
contribution to the state's science and technology strategy, 53260
including the adoption of appropriately consistent criteria for: 53261
(1) the scientific merit of activities supported by the program; 53262
(2) the relevance of the program's activities to commercial 53263
opportunities in the private sector; (3) the private sector's 53264
involvement in a process that continually evaluates commercial 53265
opportunities to use the work supported by the program; and (4) 53266
the ability of the program and recipients of grant funding from 53267
the program to engage in activities that are collaborative, 53268
complementary, and efficient with respect to the expenditures of 53269
state funds. Each Alignment Program shall provide an annual report 53270
to the Third Frontier Commission that discusses existing, planned, 53271
or possible collaborations between programs and between recipients 53272
of grant funding related to technology, development, 53273
commercialization, and the support of Ohio's economic development. 53274
The annual review conducted by the Third Frontier Commission shall 53275
be a comprehensive review of the entire state science and 53276
technology program portfolio rather than a review of individual 53277
programs.53278

       Applicants for Third Frontier and Alignment Programs funding 53279
shall identify their requirements for high-performance computing 53280
facilities and services, including both hardware and software, in 53281
all proposals. If an applicant's requirements exceed approximately 53282
$100,000 for a proposal, the Ohio Supercomputer Center shall 53283
convene a panel of experts. The panel shall review the proposal to 53284
determine whether the proposal's requirements can be met through 53285
Ohio Supercomputer Center facilities or through other means and 53286
report such information to the Third Frontier Commission.53287

       To ensure that the state receives the maximum benefit from 53288
its investment in the Third Frontier Project and the Third 53289
Frontier Network, organizations receiving Third Frontier awards 53290
and Alignment Programs awards shall, as appropriate, be expected 53291
to have a connection to the Third Frontier Network that enables 53292
them and their collaborators to achieve award objectives through 53293
the Third Frontier Network.53294

       Section 263.10.70.  INTERNATIONAL TRADE53295

       The foregoing appropriation item 195-432, International53296
Trade, shall be used to operate and to maintain Ohio's53297
out-of-state trade offices.53298

       The Director of Development may enter into contracts with53299
foreign nationals to staff foreign offices. The contracts may be53300
paid in local currency or United States currency and shall be53301
exempt from section 127.16 of the Revised Code. The director also 53302
may establish foreign currency accounts under section 122.05 of 53303
the Revised Code for the payment of expenses related to the 53304
operation and maintenance of the foreign trade offices.53305

       The foregoing appropriation item 195-432, International53306
Trade, shall be used to fund the International Trade Division and53307
to assist Ohio manufacturers and agricultural producers in53308
exporting to foreign countries in conjunction with the Department53309
of Agriculture.53310

       Of the foregoing appropriation item 195-432, International53311
Trade, up to $35,000 may be used to purchase gifts for53312
representatives of foreign governments or dignitaries of foreign53313
countries.53314

       Section 263.10.80.  OHIO INVESTMENT IN TRAINING PROGRAM53315

       The foregoing appropriation items 195-434, Investment in53316
Training Grants, and 195-667, Investment in Training Expansion, 53317
shall be used to promote training through grants for the 53318
reimbursement of eligible training expenses. The release of grants 53319
for this purpose shall be subject to Controlling Board approval.53320

       Section 263.10.90. CDBG OPERATING MATCH53321

       The foregoing appropriation item 195-497, CDBG Operating 53322
Match, shall be used to provide matching funds as requested by the 53323
United States Department of Housing and Urban Development to 53324
administer the federally funded Community Development Block Grant 53325
(CDBG) program.53326

       STATE OPERATING MATCH53327

       The foregoing appropriation item 195-498, State Match Energy, 53328
shall be used to provide matching funds as required by the United 53329
States Department of Energy to administer the federally funded 53330
State Energy Plan.53331

       Section 263.10.95. DEFENSE CONVERSION ASSISTANCE53332

       Of the foregoing appropriation item 195-410, Defense 53333
Conversion Assistance, $5,000,000 in fiscal year 2008 shall be 53334
used as a state match to federal dollars for the relocation of 53335
jobs at Wright-Patterson Air Force Base and vicinity as a result 53336
of job losses from the base realignment and closure process.53337

       Section 263.20.10. TRAVEL AND TOURISM GRANTS53338

       The foregoing appropriation item 195-507, Travel and Tourism53339
Grants, shall be used to provide grants to local organizations to53340
support various local travel and tourism events in Ohio.53341

       Of the foregoing appropriation item 195-507, Travel and 53342
Tourism Grants, $50,000 in each fiscal year shall be used for the 53343
Cleveland Film Bureau.53344

       Of the foregoing appropriation item 195-507, Travel and 53345
Tourism Grants, $50,000 in each fiscal year shall be used for the 53346
Cincinnati Film Bureau.53347

       Of the foregoing appropriation item 195-507, Travel and 53348
Tourism Grants, $500,000 in each fiscal year shall be used for 53349
grants to The International Center for the Preservation of Wild 53350
Animals.53351

       Of the foregoing appropriation item 195-507, Travel and 53352
Tourism Grants, $50,000 in each fiscal year shall be used for the 53353
Greater Cleveland Sports Commission.53354

        Of the foregoing appropriation item 195-507, Travel and 53355
Tourism Grants, $50,000 in each fiscal year shall be used for the 53356
Greater Columbus Sports Commission.53357

       Of the foregoing appropriation item 195-507, Travel and 53358
Tourism Grants, $50,000 in each fiscal year shall be used for the 53359
Harbor Heritage Society/Great Lakes Science Center in support of 53360
operations of the Steamship William G. Mather Maritime Museum.53361

       Of the foregoing appropriation item 195-507, Travel and 53362
Tourism Grants, $35,000 in fiscal year 2009 shall be used for the 53363
Ohio Junior Angus Association to assist with costs associated with 53364
hosting the Eastern Regional Junior Angus Show in June 2009.53365

       Section 263.20.20. THIRD FRONTIER RESEARCH & DEVELOPMENT 53366
GENERAL OBLIGATION DEBT SERVICE53367

       The foregoing appropriation item 195-905, Third Frontier 53368
Research & Development General Obligation Debt Service, shall be 53369
used to pay all debt service and related financing costs during 53370
the period from July 1, 2007, to June 30, 2009, on obligations 53371
issued for research and development purposes under sections 151.01 53372
and 151.10 of the Revised Code.53373

       JOB READY SITE DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE53374

       The foregoing appropriation item 195-912, Job Ready Site 53375
Development General Obligation Debt Service, shall be used to pay 53376
all debt service and related financing costs during the period 53377
from July 1, 2007, to June 30, 2009, on obligations issued for job 53378
ready site development purposes under sections 151.01 and 151.11 53379
of the Revised Code.53380

       Section 263.20.30. SUPPORTIVE SERVICES53381

       The Director of Development may assess divisions of the53382
department for the cost of central service operations. An53383
assessment shall be based on a plan submitted to and approved by53384
the Office of Budget and Management by August 1, 2007, and shall 53385
contain the characteristics of administrative ease and uniform 53386
application.53387

       A division's payments shall be credited to the Supportive53388
Services Fund (Fund 135) using an intrastate transfer voucher.53389

       Of the foregoing appropriation item 195-684, Supportive 53390
Services, $50,000 in fiscal year 2008 and $35,000 in fiscal year 53391
2009 shall be used for Crawford County to hire an employee to act 53392
as a local economic development coordinator.53393

       WORKFORCE GUARANTEE PROGRAM53394

       The foregoing appropriation item 195-668, Workforce Guarantee 53395
Program, shall be used for the Workforce Guarantee Program.53396

        Benefited employers must create at least 20 high-paying, 53397
full-time jobs over a one-year period and must demonstrate prior 53398
to the commitment of state funds that the availability of those 53399
skilled workers is a major factor in the employer's decision to 53400
locate or expand in Ohio. Customized training activities are 53401
eligible for funding through the Workforce Guarantee Program.53402

       The Director of Development, under Chapter 119. of the 53403
Revised Code, shall adopt, and may amend or rescind, rules the 53404
Director finds necessary for the implementation and successful 53405
operation of the Workforce Guarantee Program.53406

       ECONOMIC DEVELOPMENT CONTINGENCY53407

       Of the foregoing appropriation item 195-677, Economic 53408
Development Contingency, up to $19,400,000 shall be used by the 53409
Third Frontier Commission in fiscal year 2009 for biomedical 53410
research and technology transfer purposes under sections 184.01 to 53411
184.03 of the Revised Code.53412

       The foregoing appropriation item 195-677, Economic 53413
Development Contingency, may be expended only after the Department 53414
of Development submits and the Controlling Board approves a 53415
request that outlines the planned use of funds to be expended.53416

       DIRECT COST RECOVERY EXPENDITURES53417

       The foregoing appropriation item 195-636, Direct Cost 53418
Recovery Expenditures, shall be used for conference and 53419
subscription fees and other reimbursable costs. Revenues to the 53420
General Reimbursement Fund (Fund 685) shall consist of fees and 53421
other moneys charged for conferences, subscriptions, and other53422
administrative costs that are not central service costs.53423

       Section 263.20.40. HEAP WEATHERIZATION53424

       Fifteen per cent of the federal funds received by the state53425
for the Home Energy Assistance Block Grant shall be deposited in 53426
appropriation item 195-614, HEAP Weatherization (Fund 3K9), and 53427
shall be used to provide home weatherization services in the 53428
state.53429

       STATE SPECIAL PROJECTS53430

       The foregoing fund, Fund 4F2, State Special Projects Fund, 53431
shall be used for the deposit of private-sector funds from utility 53432
companies and for the deposit of other miscellaneous state funds. 53433
Private-sector moneys shall be used to (1) pay the expenses of 53434
verifying the income-eligibility of HEAP applicants, (2) market 53435
economic development opportunities in the state, and (3) leverage 53436
additional federal funds. State funds shall be used to match 53437
federal housing grants for the homeless and to market economic 53438
development opportunities in the state.53439

       Section 263.20.50.  TAX INCENTIVE PROGRAMS OPERATING53440

        On July 1, 2007, or as soon thereafter as possible, the 53441
Director of Budget and Management shall transfer the cash balance 53442
in the Job Creation Tax Credit Operating Fund (Fund 4S1) to the 53443
Tax Incentive Programs Operating Fund (Fund 4S0). The Director 53444
shall cancel any existing encumbrances against appropriation item 53445
195-634, Job Creation Tax Credit Operating (Fund 4S1), and 53446
re-establish them against appropriation item 195-630, Tax 53447
Incentive Programs Operating (Fund 4S0). The amounts of the 53448
re-established encumbrances are hereby appropriated.53449

       Section 263.20.60.  MINORITY BUSINESS ENTERPRISE LOAN53450

       All repayments from the Minority Development Financing53451
Advisory Board Loan Program and the Ohio Mini-Loan Guarantee53452
Program shall be deposited in the State Treasury to the credit of53453
the Minority Business Enterprise Loan Fund (Fund 4W1).53454

       All operating costs of administering the Minority Business53455
Enterprise Loan Fund shall be paid from the Minority Business53456
Enterprise Loan Fund (Fund 4WI).53457

       MINORITY BUSINESS BONDING FUND53458

       Notwithstanding Chapters 122., 169., and 175. of the Revised53459
Code and other provisions of Am. Sub. H.B. 283 of the 123rd53460
General Assembly, the Director of Development may, upon the53461
recommendation of the Minority Development Financing Advisory53462
Board, pledge up to $10,000,000 in the FY 2008-2009 biennium of53463
unclaimed funds administered by the Director of Commerce and53464
allocated to the Minority Business Bonding Program under section 53465
169.05 of the Revised Code. The transfer of any cash by the 53466
Director of Budget and Management from the Department of53467
Commerce's Unclaimed Funds Fund (Fund 543) to the Department of53468
Development's Minority Business Bonding Fund (Fund 449) shall53469
occur, if requested by the Director of Development, only if such53470
funds are needed for payment of losses arising from the Minority53471
Business Bonding Program, and only after proceeds of the initial53472
transfer of $2,700,000 by the Controlling Board to the Minority53473
Business Bonding Program has been used for that purpose. Moneys53474
transferred by the Director of Budget and Management from the53475
Department of Commerce for this purpose may be moneys in custodial53476
funds held by the Treasurer of State. If expenditures are required 53477
for payment of losses arising from the Minority Business Bonding 53478
Program, such expenditures shall be made from appropriation item 53479
195-623, Minority Business Bonding Contingency in the Minority 53480
Business Bonding Fund, and such amounts are appropriated.53481

       Section 263.20.70. ECONOMIC DEVELOPMENT FINANCING OPERATING53482

       The foregoing appropriation item 195-625, Economic53483
Development Financing Operating, shall be used for the operating53484
expenses of financial assistance programs authorized under Chapter53485
166. of the Revised Code and under sections 122.43 and 122.45 of53486
the Revised Code.53487

       ALTERNATIVE FUEL TRANSPORTATION53488

       The foregoing appropriation item 195-679, Alternative Fuel 53489
Transportation, shall be used by the Director of Development to 53490
make grants under the Alternative Fuel Transportation Grant Fund 53491
Program in accordance with section 122.075 of the Revised Code, 53492
and for administrative costs associated with the program.53493

       Of the foregoing appropriation item 195-679, Alternative Fuel 53494
Transportation, up to $1,000,000 in each fiscal year shall be used 53495
to encourage retail gas stations to provide E85 and B20 (or 53496
higher) fuel to customers in accordance with section 122.075 of 53497
the Revised Code.53498

       LOW INCOME ENERGY ASSISTANCE53499

       The foregoing appropriation item 195-659, Low Income Energy 53500
Assistance, shall be used to provide payments to regulated 53501
electric utility companies for low-income customers enrolled in53502
Percentage of Income Payment Plan (PIPP) electric accounts, to53503
fund targeted energy efficiency and customer education services to53504
PIPP customers, and to cover the department's administrative costs53505
related to Universal Service Fund Programs. If it is determined 53506
that additional appropriations are necessary to provide payments 53507
to regulated utility companies for low income customers enrolled 53508
in PIPP electric accounts, such appropriations are subject to 53509
approval by the Controlling Board upon the submission of a request 53510
by the Department of Development.53511

       ADVANCED ENERGY FUND53512

       The foregoing appropriation item 195-660, Advanced Energy 53513
Programs, shall be used to provide financial assistance to53514
customers for eligible advanced energy projects for residential,53515
commercial and industrial business, local government, educational53516
institution, nonprofit, and agriculture customers, and to pay for53517
the program's administrative costs as provided in the Revised Code53518
and rules adopted by the Director of Development.53519

       Of the foregoing appropriation item 195-660, Advanced Energy 53520
Programs, up to $1,000,000 over the biennium shall be used for 53521
methane digester projects.53522

       Of the foregoing appropriation item 195-660, Advanced Energy 53523
Programs, up to $250,000 in each fiscal year shall be used for 53524
grants to school districts under section 3327.17 of the Revised 53525
Code.53526

       TRANSFER FROM THE ADVANCED ENERGY FUND TO THE INDUSTRIAL SITE 53527
IMPROVEMENTS FUND53528

        Notwithstanding Chapters 122. and 4928. of the Revised Code 53529
and any other law to the contrary, the Director of Budget and 53530
Management shall transfer $4,500,000 in cash in fiscal year 2008 53531
and $4,500,000 in cash in fiscal year 2009 from the Advanced 53532
Energy Fund (Fund 5M5) to the Industrial Site Improvements Fund 53533
(Fund 5AR).53534

        Moneys in Fund 5AR, Industrial Site Improvements, shall be 53535
used by the Director of Development to make grants to eligible 53536
counties for the improvement of commercial or industrial areas 53537
within those counties under section 122.951 of the Revised Code.53538

       GLOBAL ANALYST SETTLEMENT AGREEMENTS PAYMENTS53539

       All payments received by the state pursuant to a series of 53540
settlements with ten brokerage firms reached with the United 53541
States Securities and Exchange Commission, the National 53542
Association of Securities Dealers, the New York Stock Exchange, 53543
the New York Attorney General, and other state regulators 53544
(henceforth referred to as the "Global Analysts Settlement 53545
Agreements"), shall be deposited into the state treasury to the 53546
credit of the Economic Development Contingency Fund (Fund 5Y6), 53547
which is hereby created in the state treasury. The fund shall be 53548
used by the Director of Development to support economic 53549
development projects for which appropriations would not otherwise 53550
be available, and shall be subject to the submission of a request 53551
to the Controlling Board by the Director outlining the planned use 53552
of the funds, and the subsequent approval of the request by the 53553
Controlling Board.53554

       VOLUME CAP ADMINISTRATION53555

       The foregoing appropriation item 195-654, Volume Cap53556
Administration, shall be used for expenses related to the53557
administration of the Volume Cap Program. Revenues received by the 53558
Volume Cap Administration Fund (Fund 617) shall consist of53559
application fees, forfeited deposits, and interest earned from the53560
custodial account held by the Treasurer of State.53561

        INNOVATION OHIO LOAN FUND53562

        The foregoing appropriation item 195-664, Innovation Ohio, 53563
shall be used to provide for innovation Ohio purposes, including 53564
loan guarantees and loans under Chapter 166. and particularly 53565
sections 166.12 to 166.16 of the Revised Code.53566

       RESEARCH AND DEVELOPMENT53567

       The foregoing appropriation item 195-665, Research and 53568
Development, shall be used to provide for research and development 53569
purposes, including loans, under Chapter 166. and particularly 53570
sections 166.17 to 166.21 of the Revised Code.53571

       Section 263.20.80. FACILITIES ESTABLISHMENT FUND53572

       The foregoing appropriation item 195-615, Facilities53573
Establishment (Fund 037), shall be used for the purposes of the53574
Facilities Establishment Fund under Chapter 166. of the Revised53575
Code.53576

       Notwithstanding Chapter 166. of the Revised Code, an amount 53577
not to exceed $1,800,000 in cash each fiscal year may be53578
transferred from the Facilities Establishment Fund (Fund 037) to 53579
the Economic Development Financing Operating Fund (Fund 451). The 53580
transfer is subject to Controlling Board approval under division 53581
(B) of section 166.03 of the Revised Code.53582

       Notwithstanding Chapter 166. of the Revised Code, an amount 53583
not to exceed $5,475,000 in cash each fiscal year may be 53584
transferred during the biennium from the Facilities Establishment 53585
Fund (Fund 037) to the Urban Redevelopment Loans Fund (Fund 5D2) 53586
for the purpose of removing barriers to urban core redevelopment. 53587
The Director of Development shall develop program guidelines for 53588
the transfer and release of funds, including, but not limited to, 53589
the completion of all appropriate environmental assessments before 53590
state assistance is committed to a project. The transfers shall be 53591
subject to approval by the Controlling Board upon the submission 53592
of a request by the Department of Development.53593

       Notwithstanding Chapter 166. of the Revised Code, an amount 53594
not to exceed $3,000,000 in cash each fiscal year may be53595
transferred from the Facilities Establishment Fund (Fund 037) to 53596
the Rural Industrial Park Loan Fund (Fund 4Z6). The transfer is 53597
subject to Controlling Board approval under section 166.03 of the 53598
Revised Code.53599

       Notwithstanding Chapter 166. of the Revised Code, of the 53600
foregoing appropriation item 195-615, Facilities Establishment, 53601
$1,500,000 in fiscal year 2008 shall be used for business 53602
development by any current or future port authority located in 53603
Clark County.53604

       ALTERNATIVE FUEL TRANSPORTATION GRANT FUND53605

       Notwithstanding Chapter 166. of the Revised Code, an amount 53606
not to exceed $1,000,000 in cash each fiscal year shall be53607
transferred from moneys in the Facilities Establishment Fund (Fund 53608
037) to the Alternative Fuel Transportation Grant Fund (Fund 5CG) 53609
in the Department of Development.53610

       RURAL DEVELOPMENT INITIATIVE FUND53611

       (A)(1) The Rural Development Initiative Fund (Fund 5S8) is 53612
entitled to receive moneys from the Facilities Establishment Fund 53613
(Fund 037). The Director of Development may make grants from the 53614
Rural Development Initiative Fund as specified in division (A)(2) 53615
of this section to eligible applicants in Appalachian counties and 53616
in rural counties in the state that are designated as distressed 53617
under section 122.25 of the Revised Code. Preference shall be 53618
given to eligible applicants located in Appalachian counties 53619
designated as distressed by the federal Appalachian Regional 53620
Commission. The Rural Development Initiative Fund (Fund 5S8) shall 53621
cease to exist after June 30, 2009. All moneys remaining in the 53622
Fund after that date shall revert to the Facilities Establishment 53623
Fund (Fund 037).53624

       (2) The Director of Development shall make grants from the53625
Rural Development Initiative Fund (Fund 5S8) only to eligible 53626
applicants who also qualify for and receive funding under the 53627
Rural Industrial Park Loan Program as specified in sections 122.23 53628
to 122.27 of the Revised Code. Eligible applicants shall use the 53629
grants for the purposes specified in section 122.24 of the Revised 53630
Code. All projects supported by grants from the fund are subject 53631
to Chapter 4115. of the Revised Code as specified in division (E) 53632
of section 166.02 of the Revised Code. The Director shall develop 53633
program guidelines for the transfer and release of funds. The 53634
release of grant moneys to an eligible applicant is subject to 53635
Controlling Board approval.53636

       (B) Notwithstanding Chapter 166. of the Revised Code, the53637
Director of Budget and Management may transfer an amount not to 53638
exceed $3,000,000 in cash each fiscal year on an as-needed basis 53639
at the request of the Director of Development from the Facilities53640
Establishment Fund (Fund 037) to the Rural Development Initiative53641
Fund (Fund 5S8). The transfer is subject to Controlling Board53642
approval under section 166.03 of the Revised Code.53643

       CAPITAL ACCESS LOAN PROGRAM53644

       The foregoing appropriation item 195-628, Capital Access Loan53645
Program, shall be used for operating, program, and administrative53646
expenses of the program. Funds of the Capital Access Loan Program 53647
shall be used to assist participating financial institutions in 53648
making program loans to eligible businesses that face barriers in 53649
accessing working capital and obtaining fixed-asset financing.53650

       Notwithstanding Chapter 166. of the Revised Code, the53651
Director of Budget and Management may transfer an amount not to 53652
exceed $3,000,000 in cash each fiscal year on an as-needed basis 53653
at the request of the Director of Development from the Facilities53654
Establishment Fund (Fund 037) to the Capital Access Loan Program53655
Fund (Fund 5S9). The transfer is subject to Controlling Board53656
approval under section 166.03 of the Revised Code.53657

       Section 263.20.90. CLEAN OHIO OPERATING EXPENSES53658

       The foregoing appropriation item 195-663, Clean Ohio 53659
Operating, shall be used by the Department of Development in 53660
administering sections 122.65 to 122.658 of the Revised Code.53661

       THIRD FRONTIER OPERATING53662

       The foregoing appropriation item 195-686, Third Frontier 53663
Operating, shall be used for operating expenses incurred by the 53664
Department of Development in administering sections 184.10 to 53665
184.20 of the Revised Code.53666

       THIRD FRONTIER RESEARCH & DEVELOPMENT PROJECTS53667

       The foregoing appropriation item 195-687, Third Frontier 53668
Research & Development Projects, shall be used by the Department 53669
of Development to fund selected projects pursuant to sections 53670
184.10 to 184.20 of the Revised Code.53671

       Notwithstanding sections 184.10 to 184.20 of the Revised 53672
Code, of the foregoing appropriation item 195-687, Third Frontier 53673
Research & Development Projects, up to $20,000,000 in fiscal year 53674
2008 shall be used by the Office of Information Technology, in 53675
partnership with the Ohio Supercomputer Center's OSCnet, to 53676
acquire the equipment and services necessary to migrate state 53677
agencies' network to the existing OSCnet network backbone. This 53678
state network shall be known as the NextGen Network.53679

       Notwithstanding sections 184.10 to 184.20 of the Revised 53680
Code, at the direction of the Director of Budget and Management up 53681
to $18,000,000 in each fiscal year from appropriation item 53682
195-687, Third Frontier Research & Development Projects, and 53683
appropriation item 195-692, Research & Development Taxable Bond 53684
Projects, shall be used to fund the Research Incentive Program in 53685
the Board of Regents.53686

       On or before June 30, 2008, any unencumbered balance of the 53687
foregoing appropriation item 195-687, Third Frontier Research & 53688
Development Projects, for fiscal year 2008 is hereby appropriated 53689
for the same purpose for fiscal year 2009.53690

       AUTHORITY TO ISSUE AND SELL ORIGINAL OBLIGATIONS53691

       The Ohio Public Facilities Commission, upon request of the 53692
Department of Development, is hereby authorized to issue and sell, 53693
in accordance with Section 2p of Article VIII, Ohio Constitution, 53694
and particularly sections 151.01 and 151.10 of the Revised Code, 53695
original obligations of the State of Ohio in an aggregate amount 53696
not to exceed $150,000,000. The authorized obligations shall be 53697
issued and sold from time to time and in amounts necessary to 53698
ensure sufficient moneys to the credit of the Third Frontier 53699
Research & Development Fund (Fund 011) to pay costs of research 53700
and development projects.53701

       JOB READY SITE OPERATING53702

       The foregoing appropriation item 195-688, Job Ready Site 53703
Operating, shall be used for operating expenses incurred by the 53704
Department of Development in administering sections 122.085 to 53705
122.0820 of the Revised Code. Operating expenses include, but are 53706
not limited to, certain expenses of the District Public Works 53707
Integrating Committees, audit and accountability activities, and 53708
costs associated with formal certifications verifying that site 53709
infrastructure is in place and is functional.53710

       Section 263.30.10. UNCLAIMED FUNDS TRANSFER53711

       (A) Notwithstanding division (A) of section 169.05 of the 53712
Revised Code, upon the request of the Director of Budget and 53713
Management, the Director of Commerce, prior to June 30, 2008, 53714
shall transfer to the Job Development Initiatives Fund (Fund 5AD) 53715
an amount not to exceed $5,000,000 in cash of the unclaimed funds 53716
that have been reported by the holders of unclaimed funds under 53717
section 169.05 of the Revised Code, regardless of the allocation 53718
of the unclaimed funds described under that section.53719

       Notwithstanding division (A) of section 169.05 of the Revised 53720
Code, upon the request of the Director of Budget and Management, 53721
the Director of Commerce, prior to June 30, 2009, shall transfer 53722
to the Job Development Initiatives Fund (Fund 5AD) an amount not 53723
to exceed $24,400,000 in cash of the unclaimed funds that have 53724
been reported by the holders of unclaimed funds under section 53725
169.05 of the Revised Code, regardless of the allocation of the 53726
unclaimed funds described under that section.53727

       (B) Notwithstanding division (A) of section 169.05 of the 53728
Revised Code, upon the request of the Director of Budget and 53729
Management, the Director of Commerce, prior to June 30, 2008, 53730
shall transfer to the State Special Projects Fund (Fund 4F2) an 53731
amount not to exceed $2,500,000 of the unclaimed funds that have 53732
been reported by the holders of unclaimed funds under section 53733
169.05 of the Revised Code, regardless of the allocation of the 53734
unclaimed funds described under that section.53735

       Notwithstanding division (A) of section 169.05 of the Revised 53736
Code, upon the request of the Director of Budget and Management, 53737
the Director of Commerce, prior to June 30, 2009, shall transfer 53738
to the State Special Projects Fund (Fund 4F2) an amount not to 53739
exceed $2,500,000 in cash of the unclaimed funds that have been 53740
reported by the holders of unclaimed funds under section 169.05 of 53741
the Revised Code, regardless of the allocation of the unclaimed 53742
funds described under that section.53743

       Section 263.30.20. WORKFORCE DEVELOPMENT53744

       The Director of Development and the Director of Job and 53745
Family Services may enter into one or more interagency agreements 53746
between the two departments, hire staff, transfer staff, assign 53747
duties to staff, enter into contracts, transfer assets, and take 53748
other actions the directors consider necessary to provide services 53749
and assistance as necessary to integrate workforce development 53750
into a larger economic development strategy, to implement the 53751
recommendations of the Workforce Policy Board, and to perform 53752
activities related to the transition of the administration of 53753
employment programs identified by the board. Subject to the 53754
approval of the Director of Budget and Management, the Department 53755
of Development and the Department of Job and Family Services may 53756
expend funds to support the recommendations of the Workforce 53757
Policy Board in the area of integration of employment functions as 53758
described in this paragraph and to provide implementation and 53759
transition activities from the appropriations to those 53760
departments.53761

       Section 265.10.  OBD OHIO BOARD OF DIETETICS53762

General Services Fund Group53763

4K9 860-609 Operating Expenses $ 342,501 $ 348,964 53764
TOTAL GSF General Services Fund 53765
Group $ 342,501 $ 348,964 53766
TOTAL ALL BUDGET FUND GROUPS $ 342,501 $ 348,964 53767


       Section 267.10. CDR COMMISSION ON DISPUTE RESOLUTION AND 53769
CONFLICT MANAGEMENT53770

General Revenue Fund53771

GRF 145-401 Commission Operations $ 455,123 $ 460,000 53772
TOTAL GRF General Revenue Fund $ 455,123 $ 460,000 53773

General Services Fund Group53774

4B6 145-601 Dispute Resolution Programs $ 140,000 $ 140,000 53775
TOTAL GSF General Services Fund Group $ 140,000 $ 140,000 53776

TOTAL ALL BUDGET FUND GROUPS $ 595,123 $ 600,000 53777


       Section 269.10. EDU DEPARTMENT OF EDUCATION53779

General Revenue Fund53780

GRF 200-100 Personal Services $ 11,533,494 $ 12,110,169 53781
GRF 200-320 Maintenance and Equipment $ 4,549,479 $ 4,778,203 53782
GRF 200-408 Early Childhood Education $ 34,002,195 $ 36,502,195 53783
GRF 200-410 Educator Training $ 19,628,817 $ 20,628,817 53784
GRF 200-416 Career-Technical Education Match $ 2,233,195 $ 2,233,195 53785
GRF 200-420 Computer/Application/ Network Development $ 5,536,362 $ 5,793,700 53786
GRF 200-421 Alternative Education Programs $ 15,232,665 $ 13,232,665 53787
GRF 200-422 School Management Assistance $ 2,960,572 $ 2,960,572 53788
GRF 200-424 Policy Analysis $ 556,687 $ 556,687 53789
GRF 200-425 Tech Prep Consortia Support $ 2,069,217 $ 2,069,217 53790
GRF 200-426 Ohio Educational Computer Network $ 30,446,197 $ 30,446,197 53791
GRF 200-427 Academic Standards $ 10,514,730 $ 10,514,730 53792
GRF 200-431 School Improvement Initiatives $ 11,600,235 $ 12,350,235 53793
GRF 200-433 Literacy Improvement-Professional Development $ 15,815,000 $ 15,815,000 53794
GRF 200-437 Student Assessment $ 77,150,819 $ 76,387,144 53795
GRF 200-439 Accountability/Report Cards $ 8,096,040 $ 8,223,540 53796
GRF 200-442 Child Care Licensing $ 1,302,495 $ 1,302,495 53797
GRF 200-446 Education Management Information System $ 16,110,510 $ 16,586,082 53798
GRF 200-447 GED Testing $ 1,544,360 $ 1,544,360 53799
GRF 200-448 Educator Preparation $ 1,301,000 $ 1,301,000 53800
GRF 200-455 Community Schools $ 1,533,661 $ 1,533,661 53801
GRF 200-502 Pupil Transportation $ 424,783,117 $ 429,030,948 53802
GRF 200-503 Bus Purchase Allowance $ 14,000,000 $ 14,000,000 53803
GRF 200-505 School Lunch Match $ 8,998,025 $ 8,998,025 53804
GRF 200-509 Adult Literacy Education $ 8,669,738 $ 8,669,738 53805
GRF 200-511 Auxiliary Services $ 131,740,457 $ 135,692,670 53806
GRF 200-514 Postsecondary Adult Career-Technical Education $ 19,481,875 $ 19,481,875 53807
GRF 200-521 Gifted Pupil Program $ 47,608,030 $ 48,008,613 53808
GRF 200-532 Nonpublic Administrative Cost Reimbursement $ 59,810,517 $ 61,604,832 53809
GRF 200-536 Ohio Core Support $ 7,700,000 $ 15,125,000 53810
GRF 200-540 Special Education Enhancements $ 138,619,945 $ 139,756,839 53811
GRF 200-545 Career-Technical Education Enhancements $ 9,298,651 $ 9,373,926 53812
GRF 200-550 Foundation Funding $ 5,761,699,328 $ 6,034,943,246 53813
GRF 200-566 Literacy Improvement-Classroom Grants $ 12,062,336 $ 12,062,336 53814
GRF 200-578 Violence Prevention and School Safety $ 1,218,555 $ 1,218,555 53815
GRF 200-901 Property Tax Allocation - Education $ 794,583,404 $ 850,868,654 53816
GRF 200-906 Tangible Tax Exemption - Education $ 21,415,244 $ 10,707,622 53817
TOTAL GRF General Revenue Fund $ 7,735,406,952 $ 8,076,412,743 53818

General Services Fund Group53819

138 200-606 Computer Services-Operational Support $ 7,600,091 $ 7,600,091 53820
4D1 200-602 Ohio Prevention/Education Resource Center $ 832,000 $ 832,000 53821
4L2 200-681 Teacher Certification and Licensure $ 5,966,032 $ 6,323,994 53822
452 200-638 Miscellaneous Educational Services $ 273,166 $ 279,992 53823
5H3 200-687 School District Solvency Assistance $ 18,000,000 $ 18,000,000 53824
596 200-656 Ohio Career Information System $ 529,761 $ 529,761 53825
TOTAL GSF General Services 53826
Fund Group $ 33,201,050 $ 33,565,838 53827

Federal Special Revenue Fund Group53828

3AF 200-603 Schools Medicaid Administrative Claims $ 486,000 $ 639,000 53829
3BK 200-628 Longitudinal Data Systems $ 1,795,570 $ 307,050 53830
3BV 200-636 Character Education $ 700,000 $ 700,000 53831
3CF 200-644 Foreign Language Assistance $ 85,000 $ 285,000 53832
3CG 200-646 Teacher Incentive Fund $ 6,552,263 $ 3,994,338 53833
3C5 200-661 Early Childhood Education $ 18,989,779 $ 18,989,779 53834
3D1 200-664 Drug Free Schools $ 13,347,966 $ 13,347,966 53835
3D2 200-667 Honors Scholarship Program $ 6,573,968 $ 6,665,000 53836
3H9 200-605 Head Start Collaboration Project $ 275,000 $ 275,000 53837
3L6 200-617 Federal School Lunch $ 244,714,211 $ 249,903,970 53838
3L7 200-618 Federal School Breakfast $ 63,927,606 $ 69,041,814 53839
3L8 200-619 Child/Adult Food Programs $ 69,280,946 $ 70,691,653 53840
3L9 200-621 Career-Technical Education Basic Grant $ 48,029,701 $ 48,029,701 53841
3M0 200-623 ESEA Title 1A $ 415,000,000 $ 420,000,000 53842
3M1 200-678 Innovative Education $ 5,369,100 $ 5,363,706 53843
3M2 200-680 Individuals with Disabilities Education Act $ 500,000,000 $ 405,000,000 53844
3S2 200-641 Education Technology $ 10,000,000 $ 5,000,000 53845
3T4 200-613 Public Charter Schools $ 13,850,827 $ 14,212,922 53846
3Y2 200-688 21st Century Community Learning Centers $ 30,681,554 $ 30,681,554 53847
3Y4 200-632 Reading First $ 35,215,798 $ 31,215,798 53848
3Y6 200-635 Improving Teacher Quality $ 102,692,685 $ 102,698,246 53849
3Y7 200-689 English Language Acquisition $ 8,000,000 $ 8,000,000 53850
3Y8 200-639 Rural and Low Income Technical Assistance $ 1,500,000 $ 1,500,000 53851
3Z2 200-690 State Assessments $ 12,883,799 $ 12,883,799 53852
3Z3 200-645 Consolidated Federal Grant Administration $ 8,500,000 $ 8,500,000 53853
309 200-601 Educationally Disadvantaged Programs $ 12,750,000 $ 8,750,000 53854
366 200-604 Adult Basic Education $ 19,425,000 $ 20,396,250 53855
367 200-607 School Food Services $ 5,849,748 $ 6,088,737 53856
368 200-614 Veterans' Training $ 710,373 $ 745,892 53857
369 200-616 Career-Technical Education Federal Enhancement $ 5,000,000 $ 5,000,000 53858
370 200-624 Education of Exceptional Children $ 1,811,520 $ 575,454 53859
374 200-647 Troops to Teachers $ 100,000 $ 100,000 53860
378 200-660 Learn and Serve $ 1,561,954 $ 1,561,954 53861
TOTAL FED Federal Special 53862
Revenue Fund Group $ 1,665,660,368 $ 1,571,144,583 53863

State Special Revenue Fund Group53864

4R7 200-695 Indirect Operational Support $ 5,449,748 $ 5,810,464 53865
4V7 200-633 Interagency Operational Support $ 392,100 $ 376,423 53866
454 200-610 Guidance and Testing $ 400,000 $ 400,000 53867
455 200-608 Commodity Foods $ 24,000,000 $ 24,000,000 53868
5BB 200-696 State Action for Education Leadership $ 1,250,000 $ 1,250,000 53869
5BJ 200-626 Half-Mill Maintenance Equalization $ 10,700,000 $ 10,700,000 53870
5U2 200-685 National Education Statistics $ 300,000 $ 300,000 53871
5W2 200-663 Early Learning Initiative $ 2,200,000 $ 2,200,000 53872
598 200-659 Auxiliary Services Reimbursement $ 1,328,910 $ 1,328,910 53873
620 200-615 Educational Improvement Grants $ 3,000,000 $ 3,000,000 53874
TOTAL SSR State Special Revenue 53875
Fund Group $ 49,020,758 $ 49,365,797 53876

Lottery Profits Education Fund Group53877

017 200-612 Foundation Funding $ 635,198,000 $ 667,900,000 53878
017 200-682 Lease Rental Payment Reimbursement $ 22,702,000 $ 0 53879
TOTAL LPE Lottery Profits 53880
Education Fund Group $ 657,900,000 $ 667,900,000 53881

Revenue Distribution Fund Group53882

047 200-909 School District Property Tax Replacement-Business $ 611,596,856 $ 763,316,819 53883
053 200-900 School District Property Tax Replacement-Utility $ 91,123,523 $ 91,123,523 53884
TOTAL RDF Revenue Distribution 53885
Fund Group $ 702,720,379 $ 854,440,342 53886
TOTAL ALL BUDGET FUND GROUPS $ 10,843,909,507 $ 11,252,829,303 53887


       Section 269.10.10. PERSONAL SERVICES53889

        The foregoing appropriation item 200-100, Personal Services, 53890
may be used to pay fees for the Department's membership in the 53891
Education Commission of the States, an interstate nonprofit, 53892
nonpartisan organization that supports states with the development 53893
of education policy.53894

        Of the foregoing appropriation item 200-100, Personal 53895
Services, up to $25,000 may be expended in each fiscal year for 53896
the State Board of Education to pay for outside professionals to 53897
help inform the Board on topics of education policy.53898

       Section 269.10.20. EARLY CHILDHOOD EDUCATION53899

       The Department of Education shall distribute the foregoing53900
appropriation item 200-408, Early Childhood Education, to pay the 53901
costs of early childhood education programs. 53902

       (A) As used in this section:53903

       (1) "Provider" means a city, local, exempted village, or 53904
joint vocational school district, or an educational service 53905
center.53906

       (2) In the case of a city, local, or exempted village school 53907
district, "new eligible provider" means a district that is 53908
eligible for poverty-based assistance under section 3317.029 of 53909
the Revised Code.53910

       (3) "Eligible child" means a child who is at least three 53911
years of age, is not of the age to be eligible for kindergarten, 53912
and whose family earns not more than two hundred per cent of the 53913
federal poverty guidelines.53914

       (B) In each fiscal year, up to two per cent of the total53915
appropriation may be used by the Department for program support 53916
and technical assistance. The Department shall distribute the 53917
remainder of the appropriation in each fiscal year to serve 53918
eligible children.53919

       (C) The Department shall provide an annual report to the53920
Governor, the Speaker of the House of Representatives, and the53921
President of the Senate and post the report to the Department's 53922
web site, regarding early childhood education programs operated 53923
under this section and the early learning program guidelines for 53924
school readiness.53925

       (D) After setting aside the amounts to make payments due from 53926
the previous fiscal year, in fiscal year 2008, the Department 53927
shall distribute funds first to recipients of funds for early 53928
childhood education programs under Section 206.09.06 of Am. Sub. 53929
H.B. 66 of the 126th General Assembly in the previous fiscal year 53930
and the balance to new eligible providers of early childhood 53931
education programs under this section. However, the total amount 53932
of funds distributed in fiscal year 2008 to all providers that 53933
received funds for early childhood education programs in fiscal 53934
year 2007 shall not exceed $18,622,151, unless the number of new 53935
eligible providers that notifies the Department of their interest 53936
in establishing early childhood education programs is insufficient 53937
to expend all available funding. In that case, the Department may 53938
direct available funding to providers that received funds for 53939
early childhood education programs in fiscal year 2007 for 53940
purposes of program expansion, improvement, or special projects to 53941
promote quality and innovation.53942

       After setting aside the amounts to make payments due from the 53943
previous fiscal year, in fiscal year 2009, the Department shall 53944
distribute funds first to providers of early childhood education 53945
programs under this section in the previous fiscal year and the 53946
balance to new eligible providers. However, the total amount of 53947
funds distributed in fiscal year 2009 to all providers that 53948
received funds for early childhood education programs in fiscal 53949
year 2007 shall not exceed $18,622,151, unless the number of 53950
providers that received funding in fiscal year 2008 and new 53951
eligible providers that notify the Department of their interest in 53952
establishing early childhood education programs is insufficient to 53953
expend all available funding. In that case, the Department may 53954
direct available funding to providers that received funds for 53955
early childhood education programs in fiscal year 2007 or 2008 for 53956
purposes of program expansion, improvement, or special projects to 53957
promote quality and innovation.53958

       In each of fiscal years 2008 and 2009, if funding is 53959
insufficient to serve all new eligible providers that notify the 53960
Department of their interest in establishing early childhood 53961
education programs, the Department shall determine which of those 53962
providers will receive funds using a selection process that first 53963
gives preference to providers that, as of March 15, 2007, did not 53964
offer early childhood education programs, but that had offered 53965
early childhood education programs or public preschool programs 53966
for some time after June 30, 2000, and second to providers that 53967
demonstrate a need for early childhood education programs, as 53968
determined by the Department. Demonstration of need shall include 53969
having higher rates of eligible children to be served.53970

        Awards under this section shall be distributed on a per-pupil 53971
basis, and in accordance with division (H) of this section. The 53972
Department may adjust the per-pupil amount so that the per-pupil 53973
amount multiplied by the number of eligible children enrolled and 53974
receiving services, as defined by the Department, reported on the 53975
first day of December or the first business day following that 53976
date equals the amount allocated under this section.53977

       (E) Costs for developing and administering an early childhood 53978
education program may not exceed fifteen per cent of the total 53979
approved costs of the program.53980

       All providers shall maintain such fiscal control and53981
accounting procedures as may be necessary to ensure the53982
disbursement of, and accounting for, these funds. The control of53983
funds provided in this program, and title to property obtained53984
therefrom, shall be under the authority of the approved provider53985
for purposes provided in the program unless, as described in 53986
division (J) of this section, the program waives its right for 53987
funding or a program's funding is eliminated or reduced due to its 53988
inability to meet financial or early learning program guidelines 53989
for school readiness. The approved provider shall administer and 53990
use such property and funds for the purposes specified.53991

       (F) The Department may examine a provider's financial and 53992
program records. If the financial practices of the program are not 53993
in accordance with standard accounting principles or do not meet 53994
financial standards outlined under division (E) of this section, 53995
or if the program fails to substantially meet the early learning 53996
program guidelines for school readiness or exhibits below average 53997
performance as measured against the guidelines, the early 53998
childhood education program shall propose and implement a 53999
corrective action plan that has been approved by the Department. 54000
The approved corrective action plan shall be signed by the chief 54001
executive officer and the executive of the official governing body 54002
of the provider. The corrective action plan shall include a 54003
schedule for monitoring by the Department. Such monitoring may 54004
include monthly reports, inspections, a timeline for correction of 54005
deficiencies, and technical assistance to be provided by the 54006
Department or obtained by the early childhood education program. 54007
The Department may withhold funding pending corrective action. If 54008
an early childhood education program fails to satisfactorily 54009
complete a corrective action plan, the Department may deny 54010
expansion funding to the program or withdraw all or part of the 54011
funding to the program and establish a new eligible provider 54012
through a selection process established by the Department.54013

       (G) Each early childhood education program shall do all of 54014
the following:54015

       (1) Meet teacher qualification requirements prescribed by 54016
section 3301.311 of the Revised Code;54017

       (2) Align curriculum to the early learning content standards;54018

       (3) Meet any assessment requirements prescribed by section 54019
3301.0715 of the Revised Code that are applicable to the program;54020

       (4) Require teachers, except teachers enrolled and working to 54021
obtain a degree pursuant to section 3301.311 of the Revised Code, 54022
to attend a minimum of twenty hours every two years of 54023
professional development as prescribed by the Department regarding 54024
the implementation of early learning program guidelines for school 54025
readiness;54026

       (5) Document and report child progress;54027

       (6) Meet and report compliance with the early learning 54028
program guidelines for school readiness;54029

       (7) Participate in early language and literacy classroom 54030
observation evaluation studies.54031

       (H) This division applies only to early childhood education 54032
programs established on or after March 15, 2007.54033

       Per-pupil funding for programs subject to this division shall 54034
be sufficient to provide eligible children with services for 54035
one-half of the statewide average length of the school day, as 54036
determined by the Department, for one hundred eighty-two days each 54037
school year. Nothing in this section shall be construed to 54038
prohibit program providers from utilizing other funds to serve 54039
eligible children in programs that exceed the statewide average 54040
length of the school day or that exceed one hundred eighty-two 54041
days in a school year.54042

       (I) Each provider shall develop a sliding fee scale based on 54043
family incomes and shall charge families who earn more than the54044
federal poverty guidelines for the early childhood education 54045
program.54046

       (J) If an early childhood education program voluntarily 54047
waives its right for funding, or has its funding eliminated for 54048
not meeting financial standards or the early learning program 54049
guidelines for school readiness, the provider shall transfer 54050
control of title to property, equipment, and remaining supplies 54051
obtained through the program to providers designated by the 54052
Department and return any unexpended funds to the Department along 54053
with any reports prescribed by the Department. The funding made 54054
available from a program that waives its right for funding or has 54055
its funding eliminated or reduced may be used by the Department 54056
for new grant awards or expansion grants. The Department may award 54057
new grants or expansion grants to eligible providers who apply. 54058
The eligible providers who apply must do so in accordance with the 54059
selection process established by the Department.54060

       (K) As used in this section, "early learning program 54061
guidelines for school readiness" means the guidelines established 54062
by the Department pursuant to division (C)(3) of Section 206.09.54 54063
of Am. Sub. H.B. 66 of the 126th General Assembly.54064

       Section 269.10.30. EDUCATOR TRAINING54065

       The foregoing appropriation item 200-410, Educator Training, 54066
shall be used to fund professional development programs in Ohio. 54067
The Department of Education shall, when possible, incorporate 54068
cultural competency as a component of professional development and 54069
actively promote the development of cultural competency in the 54070
operation of its professional development programs. As used in 54071
this section, "cultural competency" has the meaning specified by 54072
the Educator Standards Board under section 3319.61 of the Revised 54073
Code.54074

       Of the foregoing appropriation item 200-410, Educator 54075
Training, up to $9,250,000 in fiscal year 2008 and up to 54076
$10,250,000 in fiscal year 2009 shall be used by the Department of 54077
Education to provide grants to pay $2,225 of the application fee 54078
in order to assist teachers from public and chartered nonpublic 54079
schools applying for the first time to the National Board for 54080
Professional Teaching Standards for professional teaching 54081
certificates or licenses that the board offers. These moneys shall 54082
be used to pay up to the first 400 applications in each fiscal 54083
year received by the Department. This set aside shall also be used 54084
to recognize and reward teachers who become certified by the 54085
National Board for Professional Teaching Standards under section 54086
3319.55 of the Revised Code. Up to $300,000 in each fiscal year of 54087
this set aside may be used by the Department to pay for costs 54088
associated with activities to support candidates through the 54089
application and certification process. Up to $39,500 of this set 54090
aside in each fiscal year may be used to support the application 54091
fee for candidates participating in the Take One program for 54092
beginning teachers in years two and three.54093

       Of the foregoing appropriation item 200-410, Educator 54094
Training, up to $9,515,817 in each fiscal year shall be allocated 54095
for entry year teacher and principal programs. These funds shall 54096
be used to support mentoring services and performance assessments 54097
of beginning teachers and principals in school districts and 54098
chartered nonpublic schools.54099

       Of the foregoing appropriation item 200-410, Educator 54100
Training, up to $200,000 in each fiscal year shall be used to 54101
provide technical assistance and grants for districts to develop 54102
local knowledge/skills-based compensation systems. Each district 54103
receiving grants shall issue an annual report to the Department of 54104
Education detailing the use of the funds and the impact of the 54105
system developed by the district.54106

       Of the foregoing appropriation item 200-410, Educator 54107
Training, up to $350,000 in each fiscal year shall be used for 54108
training and professional development of school administrators, 54109
school treasurers, and school business officials.54110

       Of the foregoing appropriation item 200-410, Educator 54111
Training, up to $63,000 in each fiscal year shall be used to 54112
support the Ohio University Leadership Program.54113

       Of the foregoing appropriation item 200-410, Educator 54114
Training, $250,000 in each fiscal year shall be used to support 54115
the Ohio School Leadership Institute.54116

       Section 269.10.40. CAREER-TECHNICAL EDUCATION MATCH54117

       The foregoing appropriation item 200-416, Career-Technical 54118
Education Match, shall be used by the Department of Education to 54119
provide vocational administration matching funds under 20 U.S.C. 54120
2311.54121

       COMPUTER/APPLICATION/NETWORK DEVELOPMENT54122

       The foregoing appropriation item 200-420, 54123
Computer/Application/Network Development, shall be used to support 54124
the development and implementation of information technology 54125
solutions designed to improve the performance and services of the 54126
Department of Education. Funds may be used for personnel, 54127
maintenance, and equipment costs related to the development and 54128
implementation of these technical system projects. Implementation 54129
of these systems shall allow the Department to provide greater 54130
levels of assistance to school districts and to provide more 54131
timely information to the public, including school districts, 54132
administrators, and legislators. Funds may also be used to support 54133
data-driven decision-making and differentiated instruction, as 54134
well as to communicate academic content standards and curriculum 54135
models to schools through web-based applications.54136

       Section 269.10.50. ALTERNATIVE EDUCATION PROGRAMS54137

       There is hereby created the Alternative Education Advisory54138
Council, which shall consist of one representative from each of54139
the following agencies: the Ohio Department of Education; the54140
Department of Youth Services; the Ohio Department of Alcohol and54141
Drug Addiction Services; the Department of Mental Health; the54142
Office of the Governor or, at the Governor's discretion, the54143
Office of the Lieutenant Governor; the Office of the Attorney54144
General; and the Office of the Auditor of State.54145

       Of the foregoing appropriation item 200-421, Alternative54146
Education Programs, up to $6,227,310 in each fiscal year shall be 54147
used for the renewal of successful implementation grants and for54148
competitive matching grants to the 21 urban school districts as54149
defined in division (O) of section 3317.02 of the Revised Code as54150
it existed prior to July 1, 1998, and up to $6,161,074 in each 54151
fiscal year shall be used for the renewal of successful 54152
implementation grants and for competitive matching grants to rural 54153
and suburban school districts for alternative educational programs 54154
for existing and new at-risk and delinquent youth. Programs shall 54155
be focused on youth in one or more of the following categories: 54156
those who have been expelled or suspended, those who have dropped 54157
out of school or who are at risk of dropping out of school, those 54158
who are habitually truant or disruptive, or those on probation or 54159
on parole from a Department of Youth Services facility. Grants 54160
shall be awarded according to the criteria established by the54161
Alternative Education Advisory Council in 1999. Grants shall be54162
awarded only to programs in which the grant will not serve as the54163
program's primary source of funding. These grants shall be54164
administered by the Department of Education.54165

       The Department of Education may waive compliance with any54166
minimum education standard established under section 3301.07 of54167
the Revised Code for any alternative school that receives a grant54168
under this section on the grounds that the waiver will enable the54169
program to more effectively educate students enrolled in the54170
alternative school.54171

       Of the foregoing appropriation item 200-421, Alternative54172
Education Programs, up to $422,281 in each fiscal year may be used54173
for program administration, monitoring, technical assistance,54174
support, research, and evaluation. Any unexpended balance may be54175
used to provide additional matching grants to urban, suburban, or54176
rural school districts as outlined above.54177

       Of the foregoing appropriation item 200-421, Alternative54178
Education Programs, $247,000 in each fiscal year shall be used to54179
contract with the Center for Learning Excellence at The Ohio State54180
University to provide technical support for the project and the54181
completion of formative and summative evaluation of the grants.54182

       Of the foregoing appropriation item 200-421, Alternative 54183
Education Programs, $75,000 in each fiscal year shall be used to 54184
support the Toledo Tech Academy.54185

       Of the foregoing appropriation item 200-421, Alternative 54186
Education Programs, $2,000,000 in fiscal year 2008 shall be used 54187
to support Improved Solutions for Urban Students (ISUS) in 54188
Dayton/Sinclair Youth Initiative.54189

       Of the foregoing appropriation item 200-421, Alternative 54190
Education Programs, $100,000 in each fiscal year shall be provided 54191
to the Cincinnati Arts and Technology Center to increase program 54192
support for high-risk teens and unemployed urban adults.54193

       Section 269.10.60. SCHOOL MANAGEMENT ASSISTANCE54194

       Of the foregoing appropriation item 200-422, School54195
Management Assistance, up to $1,300,000 in each fiscal year may be 54196
used by the Department of Education for expenses incurred by the 54197
Auditor of State in consultation with the Department for the 54198
Auditor of State's role relating to fiscal caution, fiscal watch, 54199
and fiscal emergency activities as defined in Chapter 3316. of the54200
Revised Code and may also be used to conduct performance audits 54201
with priority given to districts in fiscal distress. Expenses 54202
include duties related to the completion of performance audits for 54203
school districts that the Superintendent of Public Instruction 54204
determines are employing fiscal practices or experiencing 54205
budgetary conditions that could produce a state of fiscal watch or 54206
fiscal emergency.54207

       Of the foregoing appropriation item 200-422, School 54208
Management Assistance, up to $250,000 in each fiscal year shall be 54209
used by the Department of Education to work with school districts 54210
and entities that serve school districts to develop and deploy 54211
analytical tools that allow districts and other stakeholders to 54212
analyze more thoroughly district spending patterns in order to 54213
promote more effective and efficient use of resources. Quarterly 54214
updates of the progress for implementation of these tools shall be 54215
provided to the Governor, and the Department shall give due 54216
diligence to implementing these tools in the shortest reasonable 54217
timeline.54218

       The remainder of foregoing appropriation item 200-422, School54219
Management Assistance, shall be used by the Department of54220
Education to provide fiscal technical assistance and inservice54221
education for school district management personnel and to54222
administer, monitor, and implement the fiscal watch and fiscal54223
emergency provisions under Chapter 3316. of the Revised Code.54224

       Section 269.10.70. POLICY ANALYSIS54225

       The foregoing appropriation item 200-424, Policy Analysis,54226
shall be used by the Department of Education to support a system54227
of administrative, statistical, and legislative education54228
information to be used for policy analysis. Staff supported by54229
this appropriation shall administer the development of reports,54230
analyses, and briefings to inform education policymakers of54231
current trends in education practice, efficient and effective use54232
of resources, and evaluation of programs to improve education54233
results. The database shall be kept current at all times. These54234
research efforts shall be used to supply information and analysis54235
of data to the General Assembly and other state policymakers,54236
including the Office of Budget and Management and the Legislative54237
Service Commission.54238

       The Department of Education may use funding from this54239
appropriation item to purchase or contract for the development of54240
software systems or contract for policy studies that will assist54241
in the provision and analysis of policy-related information.54242
Funding from this appropriation item also may be used to monitor54243
and enhance quality assurance for research-based policy analysis54244
and program evaluation to enhance the effective use of education54245
information to inform education policymakers.54246

       TECH PREP CONSORTIA SUPPORT54247

       The foregoing appropriation item 200-425, Tech Prep Consortia 54248
Support, shall be used by the Department of Education to support 54249
state-level activities designed to support, promote, and expand 54250
tech prep programs. Use of these funds shall include, but not be 54251
limited to, administration of grants, program evaluation,54252
professional development, curriculum development, assessment54253
development, program promotion, communications, and statewide54254
coordination of tech prep consortia.54255

       Section 269.10.80. OHIO EDUCATIONAL COMPUTER NETWORK54256

       The foregoing appropriation item 200-426, Ohio Educational54257
Computer Network, shall be used by the Department of Education to54258
maintain a system of information technology throughout Ohio and to54259
provide technical assistance for such a system in support of the54260
State Education Technology Plan under section 3301.07 of the54261
Revised Code.54262

       Of the foregoing appropriation item 200-426, Ohio Educational54263
Computer Network, up to $18,136,691 in each fiscal year shall be 54264
used by the Department of Education to support connection of all 54265
public school buildings and participating chartered nonpublic 54266
schools to the state's education network, to each other, and to 54267
the Internet. In each fiscal year the Department of Education 54268
shall use these funds to assist information technology centers or 54269
school districts with the operational costs associated with this 54270
connectivity. The Department of Education shall develop a formula 54271
and guidelines for the distribution of these funds to information 54272
technology centers or individual school districts. As used in this 54273
section, "public school building" means a school building of any 54274
city, local, exempted village, or joint vocational school 54275
district, any community school established under Chapter 3314. of 54276
the Revised Code, any educational service center building used for54277
instructional purposes, the Ohio School for the Deaf and the Ohio 54278
School for the Blind, or high schools chartered by the Ohio 54279
Department of Youth Services and high schools operated by Ohio 54280
Department of Rehabilitation and Corrections' Ohio Central School 54281
System.54282

       Of the foregoing appropriation item 200-426, Ohio Educational54283
Computer Network, up to $2,469,223 in each fiscal year shall be 54284
used for the Union Catalog and InfOhio Network and to support the 54285
provision of electronic resources with priority given to resources 54286
that support the teaching of state academic content standards in 54287
all public schools. Consideration shall be given by the Department 54288
of Education to coordinating the allocation of these moneys with 54289
the efforts of Libraries Connect Ohio, whose members include 54290
OhioLINK, the Ohio Public Information Network, and the State 54291
Library of Ohio.54292

       Of the foregoing appropriation item 200-426, Ohio Educational 54293
Computer Network, up to $8,338,468 in each fiscal year shall be 54294
used, through a formula and guidelines devised by the Department, 54295
to subsidize the activities of designated information technology 54296
centers, as defined by State Board of Education rules, to provide 54297
school districts and chartered nonpublic schools with 54298
computer-based student and teacher instructional and 54299
administrative information services, including approved 54300
computerized financial accounting, and to ensure the effective 54301
operation of local automated administrative and instructional 54302
systems.54303

       The remainder of appropriation item 200-426, Ohio Educational 54304
Computer Network, shall be used to support development, 54305
maintenance, and operation of a network of uniform and compatible 54306
computer-based information and instructional systems. This 54307
technical assistance shall include, but not be restricted to, 54308
development and maintenance of adequate computer software systems 54309
to support network activities. In order to improve the efficiency 54310
of network activities, the Department and information technology 54311
centers may jointly purchase equipment, materials, and services 54312
from funds provided under this appropriation for use by the 54313
network and, when considered practical by the Department, may 54314
utilize the services of appropriate state purchasing agencies.54315

       Section 269.10.90. ACADEMIC STANDARDS54316

       Of the foregoing appropriation item 200-427, Academic 54317
Standards, $150,000 in each fiscal year shall be used by the 54318
Department in combination with funding earmarked for this purpose 54319
in the Board of Regents' budget under appropriation item 235-321, 54320
Operating Expenses. Such funding shall be used to support Ohio's 54321
Partnership for Continued Learning at the direction of the Office 54322
of the Governor. Ohio's Partnership for Continued Learning 54323
replaces and broadens the former Joint Council of the Department 54324
of Education and the Board of Regents. The Partnership shall 54325
advise and make recommendations to promote collaboration among 54326
relevant state entities in an effort to help local communities 54327
develop coherent and successful "P-16" learning systems. The 54328
Governor, or the Governor's designee, shall serve as the 54329
chairperson.54330

        Of the foregoing appropriation item 200-427, Academic 54331
Standards, $1,000,000 in each fiscal year shall be used for 54332
Project Lead the Way leadership and management oversight and 54333
initial and continuing support of Project Lead the Way workforce 54334
development programs in participating school districts.54335

        Of the foregoing appropriation item 200-427, Academic 54336
Standards, up to $2,600,000 in each fiscal year shall be used for 54337
mathematics initiatives that include, but are not limited to, 54338
intensive teacher professional development institutes that focus 54339
on classroom implementation of the mathematics standards.54340

       Of the foregoing appropriation item 200-427, Academic 54341
Standards, $200,000 in each fiscal year may be used to support the 54342
Ohio Resource Center for Math and Science.54343

       Of the foregoing appropriation item 200-427, Academic 54344
Standards, up to $282,000 in each fiscal year shall be used for 54345
the JASON Expedition project that provides statewide access to 54346
JASON Expedition content. Funds shall be used to provide 54347
professional development training for teachers participating in 54348
the project, statewide management, and a seventy-five per cent 54349
subsidy for statewide licensing of JASON Expedition content with 54350
priority given to content aligned with state academic content 54351
standards for approximately 90,000 middle school students 54352
statewide.54353

       Of the foregoing appropriation item 200-427, Academic 54354
Standards, $285,000 in each fiscal year shall be used for science 54355
initiatives that include, but are not limited to, the Ohio Science 54356
Institute (OSCI).54357

       The remainder of appropriation item 200-427, Academic 54358
Standards, shall be used by the Department of Education to 54359
develop, revise, and communicate to school districts academic 54360
content standards and curriculum models. The Department may also 54361
use the remainder to develop program models that demonstrate how 54362
the academic content standards can be implemented in high school 54363
classrooms and to offer online continuing education courses.54364

       Section 269.20.10. SCHOOL IMPROVEMENT INITIATIVES54365

       Of the foregoing appropriation item 200-431, School 54366
Improvement Initiatives, $450,000 in each fiscal year shall be 54367
used for Ohio's Rural Appalachian Leadership Development 54368
Initiative.54369

       Of the foregoing appropriation item 200-431, School54370
Improvement Initiatives, up to $800,000 in each fiscal year shall 54371
be used to support districts in the development and implementation 54372
of their continuous improvement plans as required in section 54373
3302.04 of the Revised Code and to provide technical assistance 54374
and support in accordance with Title I of the "No Child Left 54375
Behind Act of 2001," 115 Stat. 1425, 20 U.S.C. 6317. This funding 54376
shall serve as a supplement to the funds provided under division 54377
(J) of section 3317.029 of the Revised Code, which represents 54378
state support for school improvement initiatives that assist 54379
school districts in closing the achievement gap.54380

       Of the foregoing appropriation item 200-431, School 54381
Improvement Initiatives, up to $236,250 in each fiscal year shall 54382
be used to reduce the dropout rate by addressing the academic and 54383
social problems of inner-city students through Project GRAD.54384

       Of the foregoing appropriation item 200-431, School 54385
Improvement Initiatives, $3,503,985 in fiscal year 2008 and 54386
$4,253,985 in fiscal year 2009 shall be used in conjunction with 54387
funding provided in the Board of Regents' budget under 54388
appropriation item 235-434, College Readiness and Access, to 54389
create early college high schools, which are small, autonomous 54390
schools that blend high school and college into a coherent 54391
educational program. The funds shall be distributed according to 54392
guidelines established by the Department of Education and the 54393
Board of Regents.54394

        Of the foregoing appropriation item 200-431, School 54395
Improvement Initiatives, up to $4,935,000 in each fiscal year 54396
shall be used in partnership with nonprofit groups with expertise 54397
in converting existing large urban high schools into small, 54398
personalized high schools. Districts eligible for such funding 54399
include the Urban 21 high schools, as defined in division (O) of 54400
section 3317.02 of the Revised Code as it existed prior to July 1, 54401
1998.54402

       Of the foregoing appropriation item 200-431, School 54403
Improvement Initiatives, up to $75,000 in each fiscal year shall 54404
be provided to Southern State Community College for the Pilot 54405
Post-Secondary Enrollment Options Program with Miami Trace High 54406
School.54407

       Of the foregoing appropriation item 200-431, School 54408
Improvement Initiatives, $1,000,000 in each fiscal year shall be 54409
used to support Jobs for Ohio Graduates (JOG). The Department of 54410
Education shall require a two-to-one match of local funding to 54411
state funding before releasing these funds to JOG.54412

       Of the foregoing appropriation item 200-431, School 54413
Improvement Initiatives, up to $600,000 in each fiscal year shall 54414
be used by the Department of Education to support start-up costs 54415
for gaining business and industry credentialing program 54416
accreditation and to support the development of a data collection 54417
system across the numerous industry test providers. Funds shall 54418
also be used to help subsidize the cost of student participation 54419
in industry assessments, provide research on industry assessments 54420
for alignment to industry-established content standards, provide 54421
professional development opportunities for educators, and prepare 54422
schools and adult centers to organize for credential alignment and 54423
delivery.54424

       Section 269.20.20. LITERACY IMPROVEMENT-PROFESSIONAL 54425
DEVELOPMENT54426

       Of the foregoing appropriation item 200-433, Literacy54427
Improvement-Professional Development, up to $9,690,000 in each 54428
fiscal year shall be used for educator training in literacy for 54429
classroom teachers, administrators, and literacy specialists.54430

       Of the foregoing appropriation item 200-433, Literacy 54431
Improvement-Professional Development, up to $5,000,000 in each 54432
fiscal year shall be used to support literacy professional 54433
development partnerships between the Department of Education, 54434
higher education institutions, literacy networks, and school 54435
districts.54436

       Of the foregoing appropriation item 200-433, Literacy 54437
Improvement - Professional Development, up to $900,000 in each 54438
fiscal year shall be used by the Department of Education to fund 54439
the Reading Recovery Training Network, to cover the cost of 54440
release time for the teacher trainers, and to provide grants to 54441
districts to implement other reading improvement programs on a 54442
pilot basis. Funds from this set-aside also may be used to conduct 54443
evaluations of the impact and effectiveness of Reading Recovery 54444
and other reading improvement programs.54445

       The remainder of appropriation item 200-433, Literacy 54446
Improvement-Professional Development, shall be used by the 54447
Department of Education to provide administrative support of 54448
literacy professional development programs. Upon approval of the 54449
Controlling Board, the Department may also use the remainder to 54450
contract with an external evaluator on the effectiveness of 54451
literacy professional development initiatives in the academic 54452
achievement of students.54453

       STUDENT ASSESSMENT54454

       The foregoing appropriation item 200-437, Student Assessment,54455
shall be used to develop, field test, print, distribute, score,54456
report results, and support other associated costs for the tests 54457
required under sections 3301.0710 and 3301.0711 of the Revised 54458
Code and for similar purposes as required by section 3301.27 of 54459
the Revised Code. If funds remain in this appropriation after 54460
these purposes have been fulfilled, the Department may use the 54461
remainder of the appropriation to develop end-of-course exams.54462

       Section 269.20.30. ACCOUNTABILITY/REPORT CARDS54463

       Of the foregoing appropriation item 200-439, 54464
Accountability/Report Cards, up to $3,028,540 in each fiscal year 54465
shall be used to train district and regional specialists and 54466
district educators in the use of the value-added progress 54467
dimension. This funding shall be used in consultation with a 54468
credible nonprofit organization with expertise in value-added 54469
progress dimensions.54470

       The remainder of appropriation item 200-439, 54471
Accountability/Report Cards, shall be used by the Department to 54472
incorporate a statewide pilot value-added progress dimension into 54473
performance ratings for school districts and for the development 54474
of an accountability system that includes the preparation and 54475
distribution of school report cards under section 3302.03 of the 54476
Revised Code.54477

       CHILD CARE LICENSING54478

       The foregoing appropriation item 200-442, Child Care54479
Licensing, shall be used by the Department of Education to license54480
and to inspect preschool and school-age child care programs under 54481
sections 3301.52 to 3301.59 of the Revised Code.54482

       Section 269.20.40. EDUCATION MANAGEMENT INFORMATION SYSTEM54483

       The foregoing appropriation item 200-446, Education54484
Management Information System, shall be used by the Department of54485
Education to improve the Education Management Information System 54486
(EMIS).54487

       Of the foregoing appropriation item 200-446, Education54488
Management Information System, up to $1,338,620 in fiscal year 54489
2008 and up to $1,372,085 in fiscal year 2009 shall be distributed54490
to designated information technology centers for costs relating to54491
processing, storing, and transferring data for the effective54492
operation of the EMIS. These costs may include, but are not54493
limited to, personnel, hardware, software development,54494
communications connectivity, professional development, and support54495
services, and to provide services to participate in the State54496
Education Technology Plan pursuant to section 3301.07 of the54497
Revised Code.54498

       Of the foregoing appropriation item 200-446, Education54499
Management Information System, up to $8,256,569 in fiscal year 54500
2008 and up to $8,462,984 in fiscal year 2009 shall be distributed 54501
on a per-pupil basis to school districts, community schools 54502
established under Chapter 3314. of the Revised Code, educational 54503
service centers, joint vocational school districts, and any other 54504
education entity that reports data through EMIS. From this54505
funding, each school district or community school established54506
under Chapter 3314. of the Revised Code with enrollment greater54507
than 100 students and each vocational school district shall54508
receive a minimum of $5,000 in each fiscal year. Each school54509
district or community school established under Chapter 3314. of 54510
the Revised Code with enrollment between one and one hundred and 54511
each educational service center and each county board of MR/DD 54512
that submits data through EMIS shall receive $3,000 in each fiscal54513
year. This subsidy shall be used for costs relating to reporting, 54514
processing, storing, transferring, and exchanging data necessary 54515
to meet requirements of the Department of Education's data system.54516

       The remainder of appropriation item 200-446, Education 54517
Management Information System, shall be used to develop and 54518
support a common core of data definitions and standards as adopted 54519
by the Education Data Advisory Council, including the ongoing 54520
development and maintenance of the data dictionary and data 54521
warehouse. In addition, such funds shall be used to support the 54522
development and implementation of data standards and the design, 54523
development, and implementation of a new data exchange system.54524

       Any provider of software meeting the standards approved by 54525
the Education Data Advisory Council shall be designated as an 54526
approved vendor and may enter into contracts with local school 54527
districts, community schools, information technology centers, or 54528
other educational entities for the purpose of collecting and 54529
managing data required under Ohio's education management 54530
information system (EMIS) laws. On an annual basis, the Department 54531
of Education shall convene an advisory group of school districts, 54532
community schools, and other education-related entities to review 54533
the Education Management Information System data definitions and 54534
data format standards. The advisory group shall recommend changes 54535
and enhancements based upon surveys of its members, education 54536
agencies in other states, and current industry practices, to 54537
reflect best practices, align with federal initiatives, and meet 54538
the needs of school districts.54539

       School districts and community schools not implementing a 54540
common and uniform set of data definitions and data format 54541
standards for Education Management Information System purposes 54542
shall have all EMIS funding withheld until they are in compliance.54543

       Section 269.20.50. GED TESTING54544

       The foregoing appropriation item 200-447, GED Testing, shall 54545
be used to provide General Educational Development (GED) testing 54546
at no cost to applicants, under rules adopted by the State Board 54547
of Education. The Department of Education shall reimburse school 54548
districts and community schools, created under Chapter 3314. of 54549
the Revised Code, for a portion of the costs incurred in providing 54550
summer instructional or intervention services to students who have 54551
not graduated because of their inability to pass one or more parts 54552
of the state's Ohio Graduation Test or ninth grade proficiency54553
test. School districts shall also provide such services to 54554
students who are residents of the district under section 3313.64 54555
of the Revised Code, but who are enrolled in chartered, nonpublic 54556
schools. The services shall be provided in the public school, in 54557
nonpublic schools, in public centers, or in mobile units located 54558
on or off the nonpublic school premises. No school district shall 54559
provide summer instructional or intervention services to nonpublic 54560
school students as authorized by this section unless such services54561
are available to students attending the public schools within the 54562
district. No school district shall provide services for use in 54563
religious courses, devotional exercises, religious training, or 54564
any other religious activity. Chartered, nonpublic schools shall 54565
pay for any unreimbursed costs incurred by school districts for 54566
providing summer instruction or intervention services to students 54567
enrolled in chartered, nonpublic schools. School districts may 54568
provide these services to students directly or contract with 54569
postsecondary or nonprofit community-based institutions in54570
providing instruction.54571

       Section 269.20.60. EDUCATOR PREPARATION54572

        The foregoing appropriation item 200-448, Educator 54573
Preparation, may be used by the Department to support the Educator 54574
Standards Board under section 3319.61 of the Revised Code as it 54575
develops and recommends to the State Board of Education standards 54576
for educator training and standards for teacher and other school 54577
leadership positions. Any remaining funds may be used by the 54578
Department to develop alternative preparation programs for school 54579
leaders.54580

       Section 269.20.70. COMMUNITY SCHOOLS54581

       Of the foregoing appropriation item 200-455, Community54582
Schools, up to $1,308,661 in each fiscal year may be used by the 54583
Department of Education for additional services and 54584
responsibilities under section 3314.11 of the Revised Code.54585

       Of the foregoing appropriation item 200-455, Community 54586
Schools, up to $225,000 in each fiscal year may be used by the 54587
Department of Education for developing and conducting training 54588
sessions for sponsors and prospective sponsors of community 54589
schools as prescribed in division (A)(1) of section 3314.015 of 54590
the Revised Code. In developing the training sessions, the 54591
Department shall collect and disseminate examples of best 54592
practices used by sponsors of independent charter schools in Ohio 54593
and other states.54594

       Section 269.20.80. PUPIL TRANSPORTATION54595

       Of the foregoing appropriation item 200-502, Pupil54596
Transportation, up to $830,624 in fiscal year 2008 and up to 54597
$838,930 in fiscal year 2009 may be used by the Department of54598
Education for training prospective and experienced school bus54599
drivers in accordance with training programs prescribed by the54600
Department. Up to $59,870,514 in fiscal year 2008 and up to 54601
$60,469,220 in fiscal year 2009 may be used by the Department of 54602
Education for special education transportation reimbursements to 54603
school districts and county MR/DD boards for transportation 54604
operating costs as provided in division (J) of section 3317.024 of 54605
the Revised Code. The remainder of appropriation item 200-502,54606
Pupil Transportation, shall be used for the state reimbursement of54607
public school districts' costs in transporting pupils to and from54608
the school they attend in accordance with the district's policy,54609
State Board of Education standards, and the Revised Code.54610

       Notwithstanding the distribution formula outlined in division 54611
(D) of section 3317.022 of the Revised Code, each school district 54612
shall receive an additional one per cent in state funding for 54613
transportation in fiscal year 2008 over what was received in 54614
fiscal year 2007, and the local share of transportation costs that 54615
is used in the calculation of the charge-off supplement and excess 54616
cost supplement for each school district in fiscal year 2008 shall 54617
be increased by one per cent from that used in calculations in 54618
fiscal year 2007.54619

        Notwithstanding the distribution formula outlined in division 54620
(D) of section 3317.022 of the Revised Code, each school district 54621
shall receive an additional one per cent in state funding for 54622
transportation in fiscal year 2009 over what was received in 54623
fiscal year 2008, and the local share of transportation costs that 54624
is used in the calculation of the charge-off supplement and excess 54625
cost supplement for each school district in fiscal year 2009 shall 54626
be increased by one per cent from that used in calculations in 54627
fiscal year 2008.54628

        School districts not receiving state funding for 54629
transportation in fiscal year 2005 under division (D) of section 54630
3317.022 of the Revised Code shall not receive state funding for 54631
transportation in fiscal year 2008 or fiscal year 2009.54632

       Section 269.20.90. BUS PURCHASE ALLOWANCE54633

       The foregoing appropriation item 200-503, Bus Purchase54634
Allowance, shall be distributed to school districts, educational 54635
service centers, and county MR/DD boards pursuant to rules adopted 54636
under section 3317.07 of the Revised Code. Up to 28 per cent of 54637
the amount appropriated may be used to reimburse school districts 54638
and educational service centers for the purchase of buses to54639
transport handicapped and nonpublic school students and to county 54640
MR/DD boards, the Ohio School for the Deaf, and the Ohio School 54641
for the Blind for the purchase of buses to transport handicapped 54642
students.54643

       SCHOOL LUNCH MATCH54644

       The foregoing appropriation item 200-505, School Lunch Match,54645
shall be used to provide matching funds to obtain federal funds54646
for the school lunch program.54647

       Section 269.30.10.  ADULT LITERACY EDUCATION54648

       The foregoing appropriation item 200-509, Adult Literacy54649
Education, shall be used to support adult basic and literacy54650
education instructional programs and the State Literacy Resource54651
Center Program.54652

       Of the foregoing appropriation item 200-509, Adult Literacy54653
Education, up to $488,037 in each fiscal year shall be used for 54654
the support and operation of the State Literacy Resource Center.54655

       Of the foregoing appropriation item 200-509, Adult Literacy 54656
Education, up to $175,000 in each fiscal year shall be used for 54657
state reimbursement to school districts for adult high school 54658
continuing education programs under section 3313.531 of the 54659
Revised Code or for costs associated with awarding adult high 54660
school diplomas under section 3313.611 of the Revised Code.54661

       Of the foregoing appropriation item 200-509, Adult Literacy 54662
Education, $130,000 in each fiscal year shall be used to support 54663
initiatives for English as a Second Language programs. Funding 54664
shall be distributed as follows: $60,000 in each fiscal year for 54665
Jewish Community Federation of Cleveland, $25,000 in each fiscal 54666
year for Yassenoff Jewish Community Center of Columbus, $30,000 in 54667
each fiscal year for Jewish Family Services of Cincinnati, and 54668
$15,000 in each fiscal year for Jewish Family Services of Dayton.54669

       The remainder of the appropriation shall be used to continue 54670
to satisfy the state match and maintenance of effort requirements 54671
for the support and operation of the Department of 54672
Education-administered instructional grant program for adult basic 54673
and literacy education in accordance with the Department's state 54674
plan for adult basic and literacy education as approved by the 54675
State Board of Education and the Secretary of the United States 54676
Department of Education.54677

       Section 269.30.20. AUXILIARY SERVICES54678

       The foregoing appropriation item 200-511, Auxiliary Services,54679
shall be used by the Department of Education for the purpose of54680
implementing section 3317.06 of the Revised Code. Of the54681
appropriation, up to $2,060,000 in fiscal year 2008 and up to 54682
$2,121,800 in fiscal year 2009 may be used for payment of the54683
Post-Secondary Enrollment Options Program for nonpublic students. 54684
Notwithstanding section 3365.10 of the Revised Code, the 54685
Department, in accordance with Chapter 119. of the Revised Code, 54686
shall adopt rules governing the distribution method for these 54687
funds.54688

       POSTSECONDARY ADULT CAREER-TECHNICAL EDUCATION54689

       Of the foregoing appropriation item 200-514, Postsecondary 54690
Adult Career-Technical Education, $40,000 in each fiscal year 54691
shall be used for statewide coordination of the activities of the 54692
Ohio Young Farmers.54693

       The remainder of appropriation item 200-514, Postsecondary 54694
Adult Career-Technical Education, shall be used by the State Board 54695
of Education to provide postsecondary adult career-technical 54696
education under sections 3313.52 and 3313.53 of the Revised Code.54697

       Section 269.30.30. GIFTED PUPIL PROGRAM54698

       The foregoing appropriation item 200-521, Gifted Pupil54699
Program, shall be used for gifted education units not to exceed 54700
1,110 in each fiscal year under division (L) of section 3317.024 54701
and division (F) of section 3317.05 of the Revised Code.54702

       Of the foregoing appropriation item 200-521, Gifted Pupil54703
Program, up to $4,747,000 in fiscal year 2008 and up to $4,794,470 54704
in fiscal year 2009 may be used as an additional supplement for 54705
identifying gifted students under Chapter 3324. of the Revised 54706
Code.54707

       Of the foregoing appropriation item 200-521, Gifted Pupil54708
Program, the Department of Education may expend up to $1,015,85854709
in fiscal year 2008 and up to $1,026,017 in fiscal year 2009 for 54710
the Summer Honors Institute, including funding for the Martin 54711
Essex Program, which shall be awarded through a request for 54712
proposals process.54713

       NONPUBLIC ADMINISTRATIVE COST REIMBURSEMENT54714

       The foregoing appropriation item 200-532, Nonpublic54715
Administrative Cost Reimbursement, shall be used by the Department 54716
of Education for the purpose of implementing section 3317.063 of 54717
the Revised Code.54718

       Section 269.30.40. OHIO CORE SUPPORT54719

       The foregoing appropriation item 200-536, Ohio Core Support, 54720
shall be used to support implementation of the Ohio Core Program, 54721
which requires establishment of a rigorous high school curriculum 54722
for Ohio's high school students. The Department of Education and 54723
the Board of Regents shall jointly plan and work collaboratively 54724
to guide implementation of the Ohio Core Program and to administer 54725
funding to eligible school districts, fiscal agents, individuals, 54726
and programs as determined under this section. The Department of 54727
Education and the Board of Regents shall jointly agree to the 54728
awarding and expenditure of funds appropriated in this section.54729

        Of the foregoing appropriation item 200-536, Ohio Core 54730
Support, up to $2,600,000 in fiscal year 2008 and up to $3,000,000 54731
in fiscal year 2009 shall be used to support the participation of 54732
teachers licensed in Ohio and mid-career professionals not 54733
currently employed by a school district or chartered nonpublic 54734
school or licensed to teach at the primary or secondary education 54735
levels in a twelve-month intensive training program that leads to 54736
teacher licensure in a laboratory-based science, advanced 54737
mathematics, or foreign language field at the secondary education 54738
level and employment with an Ohio school district school 54739
designated by the Department of Education as a hard to staff 54740
school.54741

        Of the foregoing appropriation item 200-536, Ohio Core 54742
Support, up to $1,500,000 in fiscal year 2008 and up to $2,100,000 54743
in fiscal year 2009 shall be used to support alternative teacher 54744
licensure programs developed by educational service centers in 54745
partnership with institutions of higher education. Participants 54746
shall be teachers licensed in Ohio and mid-career professionals 54747
not currently employed by a school district or chartered nonpublic 54748
school or licensed to teach at the primary or secondary education 54749
levels. Programs shall support teacher licensure in a 54750
laboratory-based science, advanced mathematics, or foreign 54751
language field at the secondary education level and employment 54752
with an Ohio school district school designated by the Department 54753
of Education as a hard to staff school. The programs shall be 54754
consistent with the State Board of Education's alternative 54755
licensure requirements.54756

        Of the foregoing appropriation item 200-536, Ohio Core 54757
Support, up to $3,600,000 in each fiscal year shall be distributed 54758
to school districts, and to public fiscal agents on behalf of 54759
chartered nonpublic schools, to be used to obtain contracted 54760
instruction with institutions of higher education in advanced 54761
mathematics, laboratory-based science, or foreign language for 54762
public and chartered nonpublic high school students that results 54763
in dual high school and college credit. Costs shall be based upon 54764
reasonable expenses that institutions of higher education could 54765
incur for faculty, supplies, and other associated costs.54766

        Of the foregoing appropriation item 200-536, Ohio Core 54767
Support, up to $6,425,000 in fiscal year 2009 shall be distributed 54768
to public school districts for supplemental post-secondary 54769
enrollment option participation. The Partnership for Continued 54770
Learning shall make program recommendations by October 31, 2007, 54771
to the Department of Education and the Board of Regents to remove 54772
school district barriers to participation and improve the quality 54773
of course offerings, ensuring that credit earned at institutions 54774
of higher education will apply toward high school graduation 54775
requirements and associate or baccalaureate degree requirements. 54776
Eligibility requirements and grant amounts awarded to school 54777
districts in fiscal year 2009 for the program shall be determined 54778
by criteria established by the Department of Education in 54779
collaboration with the Board of Regents and the Partnership for 54780
Continued Learning.54781

       Section 269.30.50. SPECIAL EDUCATION ENHANCEMENTS54782

       Of the foregoing appropriation item 200-540, Special54783
Education Enhancements, up to $2,906,875 in each fiscal year shall 54784
be used for home instruction for children with disabilities; up to54785
$1,462,500 in each fiscal year shall be used for parent mentoring 54786
programs; and up to $2,783,396 in each fiscal year may be used for 54787
school psychology interns.54788

       Of the foregoing appropriation item 200-540, Special 54789
Education Enhancements, $750,000 in each fiscal year shall be used 54790
for the Out of School Initiative of Sinclair Community College.54791

       Of the foregoing appropriation item 200-540, Special 54792
Education Enhancements, $200,000 shall be used for a preschool 54793
special education pilot program in Bowling Green City School 54794
District.54795

       Of the foregoing appropriation item 200-540, Special 54796
Education Enhancements, $200,000 in each fiscal year shall be used 54797
to support the Bellefaire Jewish Children's Bureau.54798

        Of the foregoing appropriation item 200-540, Special54799
Education Enhancements, up to $82,707,558 in fiscal year 2008 and54800
up to $83,371,505 in fiscal year 2009 shall be distributed by the54801
Department of Education to county boards of mental retardation and54802
developmental disabilities, educational service centers, and54803
school districts for preschool special education units and54804
preschool supervisory units under section 3317.052 of the Revised 54805
Code. The Department may reimburse county boards of mental 54806
retardation and developmental disabilities, educational service 54807
centers, and school districts for related services as defined in 54808
rule 3301-51-11 of the Administrative Code, for preschool54809
occupational and physical therapy services provided by a physical54810
therapy assistant and certified occupational therapy assistant,54811
and for an instructional assistant. To the greatest extent 54812
possible, the Department of Education shall allocate these units 54813
to school districts and educational service centers.54814

       No physical therapy assistant who provides services under 54815
this section shall fail to practice in accordance with the 54816
requirements of Chapter 4755. of the Revised Code and rules 54817
4755-27-02 and 4755-27-03 of the Administrative Code. No 54818
occupational therapy assistant who provides services under this 54819
section shall fail to practice in accordance with the requirements 54820
of Chapter 4755. of the Revised Code and rules 4755-7-01 and 54821
4755-7-03 of the Administrative Code.54822

       The Department of Education shall require school districts,54823
educational service centers, and county MR/DD boards serving54824
preschool children with disabilities to document child progress54825
using research-based indicators prescribed by the Department and 54826
report results annually. The reporting dates and method shall be54827
determined by the Department.54828

       Of the foregoing appropriation item 200-540, Special 54829
Education Enhancements, up to $405,000 in each fiscal year shall 54830
be used for the Collaborative Language and Literacy Instruction 54831
Project.54832

       Of the foregoing appropriation item 200-540, Special 54833
Education Enhancements, $325,000 in each fiscal year shall be used 54834
by the Ohio Center for Autism and Low Incidence to contract with 54835
the Delaware-Union Educational Service Center for the provision of 54836
autism transition services.54837

       Of the foregoing appropriation item 200-540, Special 54838
Education Enhancements, $75,000 in each fiscal year shall be used 54839
for Leaf Lake/Geauga Educational Assistance Funding.54840

       The remainder of appropriation item 200-540, Special54841
Education Enhancements, shall be used to fund special education 54842
and related services at county boards of mental retardation and 54843
developmental disabilities for eligible students under section 54844
3317.20 of the Revised Code and at institutions for eligible 54845
students under section 3317.201 of the Revised Code.54846

       Section 269.30.60. CAREER-TECHNICAL EDUCATION ENHANCEMENTS54847

       Of the foregoing appropriation item 200-545, Career-Technical54848
Education Enhancements, up to $2,509,152 in fiscal year 2008 and 54849
up to $2,584,427 in fiscal year 2009 shall be used to fund 54850
career-technical education units at institutions.54851

       Of the foregoing appropriation item 200-545, Career-Technical54852
Education Enhancements, up to $2,621,507 in each fiscal year shall 54853
be used by the Department of Education to fund competitive grants 54854
to tech prep consortia that expand the number of students enrolled 54855
in tech prep programs. These grant funds shall be used to directly54856
support expanded tech prep programs, including equipment, provided54857
to students enrolled in school districts, including joint54858
vocational school districts, and affiliated higher education54859
institutions.54860

       Of the foregoing appropriation item 200-545, Career-Technical54861
Education Enhancements, up to $3,401,000 in each fiscal year shall54862
be used by the Department of Education to support existing High 54863
Schools That Work (HSTW) sites, develop and support new sites,54864
fund technical assistance, and support regional centers and middle54865
school programs. The purpose of HSTW is to combine challenging54866
academic courses and modern career-technical studies to raise the 54867
academic achievement of students. HSTW provides intensive54868
technical assistance, focused staff development, targeted54869
assessment services, and ongoing communications and networking54870
opportunities.54871

       Of the foregoing appropriation item 200-545, Career-Technical 54872
Education Enhancements, up to $466,992 in each fiscal year shall 54873
be allocated for the Ohio Career Information System (OCIS) and 54874
used for the dissemination of career information data to public 54875
schools, libraries, rehabilitation centers, two- and four-year 54876
colleges and universities, and other governmental units.54877

       Of the foregoing appropriation item 200-545, Career-Technical54878
Educational Enhancements, up to $300,000 in each fiscal year shall 54879
be used by the Department of Education to enable students in54880
agricultural programs to enroll in a fifth quarter of instruction 54881
based on the agricultural education model of delivering work-based54882
learning through supervised agricultural experience. The54883
Department of Education shall determine eligibility criteria and 54884
the reporting process for the Agriculture 5th Quarter Project and 54885
shall fund as many programs as possible given the set aside.54886

       Section 269.30.70. FOUNDATION FUNDING54887

       The foregoing appropriation item 200-550, Foundation Funding,54888
includes $75,000,000 in each fiscal year for the state education54889
aid offset due to the change in public utility valuation as a54890
result of Am. Sub. S.B. 3 and Am. Sub. S.B. 287, both of the 123rd54891
General Assembly. This amount represents the total state education 54892
aid offset due to the valuation change for school districts and 54893
joint vocational school districts from all relevant appropriation54894
line item sources. Upon certification by the Department of 54895
Education, in consultation with the Department of Taxation, to the 54896
Director of Budget and Management of the actual state aid offset, 54897
the cash transfer from Fund 053, appropriation item 200-900, 54898
School District Property Tax Replacement - Utility, shall be 54899
decreased or increased by the Director of Budget and Management to 54900
match the certification in accordance with section 5727.84 of the 54901
Revised Code.54902

       The foregoing appropriation item 200-550, Foundation Funding, 54903
includes $58,000,000 in fiscal year 2008 and $145,000,000 in 54904
fiscal year 2009 for the state education aid offset because of the 54905
changes in tangible personal property valuation as a result of Am. 54906
Sub. H.B. 66 of the 126th General Assembly. This amount represents 54907
the total state education aid offset because of the valuation 54908
change for school districts and joint vocational school districts 54909
from all relevant appropriation item sources. Upon certification 54910
by the Department of Education of the actual state education aid 54911
offset to the Director of Budget and Management, the cash transfer 54912
from Fund 047, appropriation item 200-909, School District 54913
Property Tax Replacement - Business, shall be decreased or 54914
increased by the Director of Budget and Management to match the 54915
certification in accordance with section 5751.21 of the Revised 54916
Code.54917

       Of the foregoing appropriation item 200-550, Foundation54918
Funding, up to $425,000 shall be expended in each fiscal year for54919
court payments under section 2151.357 of the Revised Code; an 54920
amount shall be available in each fiscal year to fund up to 225 54921
full-time equivalent approved GRADS teacher grants under division 54922
(N) of section 3317.024 of the Revised Code; an amount shall be54923
available in each fiscal year to make payments to school districts 54924
under division (A)(3) of section 3317.022 of the Revised Code; an 54925
amount shall be available in each fiscal year to make payments to 54926
school districts under division (F) of section 3317.022 of the 54927
Revised Code; and up to $30,000,000 in each fiscal year shall be54928
reserved for payments under sections 3317.026, 3317.027, and 54929
3317.028 of the Revised Code except that the Controlling Board may 54930
increase the $30,000,000 amount if presented with such a request 54931
from the Department of Education.54932

        Of the foregoing appropriation item 200-550, Foundation54933
Funding, up to $19,770,000 in fiscal year 2008 and up to 54934
$20,545,200 in fiscal year 2009 shall be used to provide54935
additional state aid to school districts for special education54936
students under division (C)(3) of section 3317.022 of the Revised 54937
Code, except that the Controlling Board may increase these amounts 54938
if presented with such a request from the Department of Education 54939
at the final meeting of the fiscal year; up to $2,000,000 in each 54940
fiscal year shall be reserved for Youth Services tuition payments54941
under section 3317.024 of the Revised Code; and up to $52,000,000 54942
in each fiscal year shall be reserved to fund the state 54943
reimbursement of educational service centers under section 3317.11 54944
of the Revised Code and the section of this act entitled 54945
"EDUCATIONAL SERVICE CENTERS FUNDING." An amount shall be 54946
available for special education weighted funding under division 54947
(C)(1) of section 3317.022 and division (D)(1) of section 3317.16 54948
of the Revised Code.54949

       Of the foregoing appropriation item 200-550, Foundation 54950
Funding, an amount shall be available in each fiscal year to be 54951
used by the Department of Education for transitional aid for 54952
school districts and joint vocational school districts. Funds 54953
shall be distributed under the sections of this act entitled 54954
"TRANSITIONAL AID FOR CITY, LOCAL, AND EXEMPTED VILLAGE SCHOOL 54955
DISTRICTS" and "TRANSITIONAL AID FOR JOINT VOCATIONAL SCHOOL 54956
DISTRICTS."54957

       Of the foregoing appropriation item 200-550, Foundation54958
Funding, up to $1,000,000 in each fiscal year shall be used by the54959
Department of Education for a program to pay for educational54960
services for youth who have been assigned by a juvenile court or54961
other authorized agency to any of the facilities described in54962
division (A) of the section of this act entitled "PRIVATE 54963
TREATMENT FACILITY PROJECT."54964

       Of the foregoing appropriation item 200-550, Foundation54965
Funding, up to $3,700,000 in each fiscal year shall be used for 54966
school breakfast programs. Of this amount, up to $900,000 shall be 54967
used in each fiscal year by the Department of Education to 54968
contract with the Children's Hunger Alliance to expand access to 54969
child nutrition programs consistent with the organization's 54970
continued ability to meet specified performance measures as 54971
detailed in the contract. Of this amount, the Children's Hunger 54972
Alliance shall use at least $150,000 in each fiscal year to 54973
subcontract with an appropriate organization or organizations to 54974
expand summer food participation in underserved areas of the 54975
state, consistent with those organizations' continued ability to 54976
meet specified performance measures as detailed in the 54977
subcontracts. The remainder of the appropriation shall be used to 54978
partially reimburse school buildings within school districts that 54979
are required to have a school breakfast program under section 54980
3313.813 of the Revised Code, at a rate decided by the Department.54981

       Of the foregoing appropriation item 200-550, Foundation 54982
Funding, up to $8,686,000 in fiscal year 2008 and up to $8,722,860 54983
in fiscal year 2009 shall be used to operate the school choice 54984
program in the Cleveland Municipal School District under sections 54985
3313.974 to 3313.979 of the Revised Code.54986

       Of the portion of the funds distributed to the Cleveland 54987
Municipal School District under this section, up to $11,901,887 in 54988
each fiscal year shall be used to operate the school choice 54989
program in the Cleveland Municipal School District under sections54990
3313.974 to 3313.979 of the Revised Code.54991

       Of the foregoing appropriation item 200-550, Foundation 54992
Funding, $2,400,000 in fiscal year 2008 and $2,700,000 in fiscal 54993
year 2009 shall be used in conjunction with funding appropriated 54994
under appropriation item 200-408, Early Childhood Education, to 54995
pay the costs of early childhood education programs under Section 54996
269.10.20 of this act.54997

       The remaining portion of appropriation item 200-550, 54998
Foundation Funding, shall be expended for the public schools of 54999
city, local, exempted village, and joint vocational school 55000
districts, including base-cost funding, special education speech 55001
service enhancement funding, career-technical education weight55002
funding, career-technical education associated service funding,55003
teacher training and experience funding, charge-off supplement, 55004
and excess cost supplement under sections 3317.022, 3317.023, 55005
3317.0216, and 3317.16 of the Revised Code.55006

       Appropriation items 200-502, Pupil Transportation, 200-521, 55007
Gifted Pupil Program, 200-540, Special Education Enhancements, and 55008
200-550, Foundation Funding, other than specific set-asides, are 55009
collectively used in each fiscal year to pay state formula aid 55010
obligations for school districts and joint vocational school 55011
districts under Chapter 3317. of the Revised Code. The first 55012
priority of these appropriation items, with the exception of 55013
specific set-asides, is to fund state formula aid obligations 55014
under Chapter 3317. of the Revised Code. It may be necessary to 55015
reallocate funds among these appropriation items or use excess 55016
funds from other general revenue fund appropriation items in the 55017
Department of Education's budget in each fiscal year, in order to 55018
meet state formula aid obligations. If it is determined that it is 55019
necessary to transfer funds among these appropriation items or to 55020
transfer funds from other General Revenue Fund appropriations in 55021
the Department of Education's budget to meet state formula aid 55022
obligations, the Department of Education shall seek approval from 55023
the Controlling Board to transfer funds as needed.55024

       Section 269.30.80. TRANSITIONAL AID FOR CITY, LOCAL, AND 55025
EXEMPTED VILLAGE SCHOOL DISTRICTS55026

       (A) The Department of Education shall distribute funds within 55027
appropriation item 200-550, Foundation Funding, for transitional 55028
aid in each fiscal year to each qualifying city, local, and 55029
exempted village school district.55030

        For fiscal years 2008 and 2009, the Department shall pay 55031
transitional aid to each city, local, or exempted village school 55032
district that experiences any decrease in its SF-3 funding for the 55033
current fiscal year from its transitional aid guarantee base for 55034
the current fiscal year. The amount of the transitional aid 55035
payment shall equal the difference between the district's SF-3 55036
funding for the current fiscal year and its transitional aid 55037
guarantee base for the current fiscal year.55038

        (B)(1) Subject to divisions (B)(3) and (4) of this section, 55039
the transitional aid guarantee base for each city, local, and 55040
exempted village school district for fiscal year 2008 equals the 55041
sum of the following as computed for fiscal year 2007, as 55042
determined based on the final reconciliation of data by the 55043
Department:55044

        (a) Base-cost funding under division (A) of section 3317.022 55045
of the Revised Code;55046

        (b) Special education and related services additional 55047
weighted funding under division (C)(1) of section 3317.022 of the 55048
Revised Code;55049

        (c) Speech services funding under division (C)(4) of section 55050
3317.022 of the Revised Code;55051

        (d) Vocational education additional weighted funding under 55052
division (E) of section 3317.022 of the Revised Code;55053

        (e) GRADS funding under division (N) of section 3317.024 of 55054
the Revised Code;55055

        (f) Adjustments for classroom teachers and educational 55056
service personnel under divisions (B), (C), and (D) of section 55057
3317.023 of the Revised Code;55058

        (g) Poverty-Based Assistance under section 3317.029 of the 55059
Revised Code;55060

        (h) Gifted education units under division (L) of section 55061
3317.024 and section 3317.05 of the Revised Code;55062

        (i) Transportation under Section 206.09.21 of Am. Sub. H.B. 55063
66 of the 126th General Assembly, as subsequently amended;55064

        (j) The excess cost supplement under division (F) of section 55065
3317.022 of the Revised Code;55066

        (k) Parity aid under section 3317.0217 of the Revised Code;55067

        (l) The reappraisal guarantee under division (C) of section 55068
3317.04 of the Revised Code;55069

        (m) The charge-off supplement under section 3317.0216 of the 55070
Revised Code;55071

       (n) Transitional aid under Section 206.09.39 of Am. Sub. H.B. 55072
66 of the 126th General Assembly, as subsequently amended.55073

        (2) Subject to divisions (B)(3) and (4) of this section, the 55074
transitional aid guarantee base for each city, local, and exempted 55075
village school district for fiscal year 2009 equals the sum of the 55076
following as computed for fiscal year 2008, as determined based on 55077
the final reconciliation of data by the Department:55078

        (a) Base-cost funding under division (A) of section 3317.022 55079
of the Revised Code;55080

        (b) Special education and related services additional 55081
weighted funding under division (C)(1) of section 3317.022 of the 55082
Revised Code;55083

        (c) Speech services funding under division (C)(4) of section 55084
3317.022 of the Revised Code;55085

        (d) Vocational education additional weighted funding under 55086
division (E) of section 3317.022 of the Revised Code;55087

        (e) GRADS funding under division (N) of section 3317.024 of 55088
the Revised Code;55089

        (f) Adjustments for classroom teachers and educational 55090
service personnel under divisions (B), (C), and (D) of section 55091
3317.023 of the Revised Code;55092

        (g) Gifted education units under division (L) of section 55093
3317.024 and section 3317.05 of the Revised Code;55094

        (h) Transportation under the section of this act entitled 55095
"PUPIL TRANSPORTATION";55096

        (i) The excess cost supplement under division (F) of section 55097
3317.022 of the Revised Code;55098

        (j) The charge-off supplement under section 3317.0216 of the 55099
Revised Code;55100

       (k) Transitional aid under this section.55101

        (3) The SF-3 funding for each fiscal year for each district 55102
is the sum of the amounts specified in divisions (B)(2)(a) to (k) 55103
of this section less any general revenue fund spending reductions 55104
ordered by the Governor under section 126.05 of the Revised Code.55105

       (4) Notwithstanding divisions (B)(1) and (2) of this section, 55106
if the Superintendent of Public Instruction determines that the 55107
transitional aid guarantee base for a given fiscal year reflects 55108
an error in formula ADM, the Superintendent may consult with the 55109
Director of Budget and Management, and then adjust the 55110
transitional aid guarantee base for that fiscal year.55111

       Section 269.30.90. TRANSITIONAL AID FOR JOINT VOCATIONAL 55112
SCHOOL DISTRICTS55113

        (A) The Department of Education shall distribute funds within 55114
appropriation item 200-550, Foundation Funding, for transitional 55115
aid in each fiscal year to each joint vocational school district 55116
that experiences a decrease in its joint vocational funding for 55117
the current fiscal year from the previous fiscal year. The 55118
Department shall distribute to each such district transitional aid 55119
in an amount equal to the decrease in the district's joint 55120
vocational funding from the previous fiscal year.55121

        (B)(1) Subject to divisions (B)(2) and (3) of this section, a 55122
district's joint vocational funding equals the sum of the 55123
following:55124

        (a) Base-cost funding under division (B) of section 3317.16 55125
of the Revised Code;55126

        (b) Special education and related services additional 55127
weighted funding under division (D)(1) of section 3317.16 of the 55128
Revised Code;55129

        (c) Speech services funding under division (D)(2) of section 55130
3317.16 of the Revised Code;55131

        (d) Vocational education additional weighted funding under 55132
division (C) of section 3317.16 of the Revised Code;55133

        (e) GRADS funding under division (N) of section 3317.024 of 55134
the Revised Code.55135

        (2) For purposes of calculating transitional aid for fiscal 55136
year 2008, a district's fiscal year 2007 joint vocational funding 55137
is the sum of the amounts described in divisions (B)(1)(a) to (e) 55138
of this section, plus any transitional aid paid to the district 55139
under Section 206.09.42 of Am. Sub. H.B. 66 of the 126th General 55140
Assembly, as subsequently amended, that the district actually 55141
received for fiscal year 2007, as determined based on the final 55142
reconciliation of data by the Department. For purposes of 55143
calculating transitional aid for fiscal year 2009, a district's 55144
fiscal year 2008 joint vocational funding is the sum of the 55145
amounts described in divisions (B)(1)(a) to (e) of this section, 55146
plus any transitional aid paid to the district under this section, 55147
that the district actually received for fiscal year 2008, as 55148
determined based on the final reconciliation of data by the 55149
Department.55150

        (3) The joint vocational funding for each fiscal year for 55151
each district is the sum of the amounts specified in divisions 55152
(B)(1)(a) to (e) and (B)(2) of this section less any general 55153
revenue fund spending reductions ordered by the Governor under 55154
section 126.05 of the Revised Code.55155

       Section 269.40.10. LITERACY IMPROVEMENT-CLASSROOM GRANTS55156

        The foregoing appropriation item 200-566, Literacy 55157
Improvement-Classroom Grants, shall be disbursed by the Department 55158
of Education to provide reading improvement grants to public 55159
schools in city, local, and exempted village school districts;55160
community schools; and educational service centers serving 55161
kindergarten through twelfth grade students to help struggling 55162
students improve their reading skills, improve reading outcomes in 55163
low-performing schools, and help close achievement gaps.55164

       VIOLENCE PREVENTION AND SCHOOL SAFETY55165

       Of the foregoing appropriation item 200-578, Violence 55166
Prevention and School Safety, up to $224,250 in each fiscal year 55167
shall be used to fund a safe school center to provide resources 55168
for parents and for school and law enforcement personnel.55169

       The remainder of the appropriation shall be distributed based 55170
on guidelines developed by the Department of Education to enhance 55171
school safety. The guidelines shall provide a list of 55172
research-based best practices and programs from which local 55173
grantees shall select based on local needs. These practices shall 55174
include, but not be limited to, school resource officers and safe 55175
and drug free school coordinators and social-emotional development 55176
programs.55177

       Section 269.40.20. PROPERTY TAX ALLOCATION - EDUCATION55178

       The Superintendent of Public Instruction shall not request,55179
and the Controlling Board shall not approve, the transfer of funds55180
from appropriation item 200-901, Property Tax Allocation - 55181
Education, to any other appropriation item.55182

       The appropriation item 200-901, Property Tax Allocation -55183
Education, is appropriated to pay for the state's costs incurred55184
because of the homestead exemption and the property tax rollback. 55185
In cooperation with the Department of Taxation, the Department of55186
Education shall distribute these funds directly to the appropriate55187
school districts of the state, notwithstanding sections 321.24 and55188
323.156 of the Revised Code, which provide for payment of the55189
homestead exemption and property tax rollback by the Tax55190
Commissioner to the appropriate county treasurer and the55191
subsequent redistribution of these funds to the appropriate local55192
taxing districts by the county auditor.55193

       Appropriation item 200-906, Tangible Tax Exemption -55194
Education, is appropriated to pay for the state's costs incurred 55195
because of the tangible personal property tax exemption required 55196
by division (C)(3) of section 5709.01 of the Revised Code. In55197
cooperation with the Department of Taxation, the Department of55198
Education shall distribute to each county treasurer the total55199
amount appearing in the notification from the county treasurer55200
under division (G) of section 321.24 of the Revised Code, for all55201
school districts located in the county, notwithstanding section 55202
321.24 of the Revised Code insofar as it provides for payment of 55203
the $10,000 tangible personal property tax exemption by the Tax55204
Commissioner to the appropriate county treasurer for all local 55205
taxing districts located in the county. Pursuant to division (G) 55206
of section 321.24 of the Revised Code, the county auditor shall 55207
distribute the amount paid by the Department of Education among 55208
the appropriate school districts.55209

       Upon receipt of these amounts, each school district shall55210
distribute the amount among the proper funds as if it had been55211
paid as real or tangible personal property taxes. Payments for the 55212
costs of administration shall continue to be paid to the county 55213
treasurer and county auditor as provided for in sections 319.54, 55214
321.26, and 323.156 of the Revised Code.55215

       Any sums, in addition to the amounts specifically55216
appropriated in appropriation items 200-901, Property Tax55217
Allocation - Education, for the homestead exemption and the55218
property tax rollback payments, and 200-906, Tangible Tax55219
Exemption - Education, for the $10,000 tangible personal property55220
tax exemption payments, which are determined to be necessary for55221
these purposes, are hereby appropriated.55222

       Section 269.40.30.  TEACHER CERTIFICATION AND LICENSURE55223

       The foregoing appropriation item 200-681, Teacher55224
Certification and Licensure, shall be used by the Department of55225
Education in each year of the biennium to administer and support 55226
teacher certification and licensure activities.55227

       SCHOOL DISTRICT SOLVENCY ASSISTANCE55228

       Of the foregoing appropriation item 200-687, School District55229
Solvency Assistance, $9,000,000 in each fiscal year shall be55230
allocated to the School District Shared Resource Account and55231
$9,000,000 in each fiscal year shall be allocated to the55232
Catastrophic Expenditures Account. These funds shall be used to55233
provide assistance and grants to school districts to enable them55234
to remain solvent under section 3316.20 of the Revised Code.55235
Assistance and grants shall be subject to approval by the55236
Controlling Board. Any required reimbursements from school55237
districts for solvency assistance shall be made to the appropriate55238
account in the School District Solvency Assistance Fund (Fund 55239
5H3).55240

       Notwithstanding any provision of law to the contrary, upon 55241
the request of the Superintendent of Public Instruction, the 55242
Director of Budget and Management may make transfers to the School 55243
District Solvency Assistance Fund (Fund 5H3) from any Department 55244
of Education-administered fund or the General Revenue Fund to 55245
maintain sufficient cash balances in the School District Solvency 55246
Assistance Fund (Fund 5H3) in fiscal years 2008 and 2009. Any 55247
funds transferred are hereby appropriated. The transferred funds 55248
may be used by the Department of Education to provide assistance 55249
and grants to school districts to enable them to remain solvent 55250
and to pay unforeseeable expenses of a temporary or emergency 55251
nature that the school district is unable to pay from existing 55252
resources. The Director of Budget and Management shall notify the 55253
members of the Controlling Board of any such transfers.55254

       Section 269.40.40.  READING FIRST55255

        The foregoing appropriation item 200-632, Reading First, 55256
shall be used by school districts to administer federal diagnostic 55257
tests as well as other functions permitted by federal statute. 55258
Notwithstanding section 3301.079 of the Revised Code, federal 55259
diagnostic tests may be recognized as meeting the state diagnostic 55260
testing requirements outlined in section 3301.079 of the Revised 55261
Code.55262

       IMPROVING TEACHER QUALITY55263

       For fiscal years 2008 and 2009, the Department of Education 55264
shall provide funding to the Ohio Wyami Appalachian Teacher 55265
Cohorts Program under the Columbiana County Educational Service 55266
Center to provide teacher professional development in Ohio's 55267
Appalachian counties. The program shall provide professional 55268
development that is based on a review of scientifically based 55269
research and is expected to improve student academic achievement 55270
as required by Title II of the "No Child Left Behind Act of 2001," 55271
115 Stat. 1425, 20 U.S.C. 6612 et seq., for approximately eighty 55272
public and charter nonpublic teachers from Ohio's Appalachian 55273
counties each year. The Department of Education shall provide 55274
$900,000 in federal grant funds from the State Grants for55275
Improving Teacher Quality Program to the Columbiana County55276
Educational Service Center for this purpose. The Center shall not 55277
expend these funds outside of Ohio.55278

        HALF-MILL MAINTENANCE EQUALIZATION55279

        The foregoing appropriation item 200-626, Half-Mill 55280
Maintenance Equalization, shall be used to make payments pursuant 55281
to section 3318.18 of the Revised Code.55282

       Section 269.40.50. START-UP FUNDS55283

        Funds appropriated for the purpose of providing start-up 55284
grants to Title IV-A Head Start and Title IV-A Head Start Plus 55285
agencies in fiscal year 2004 and fiscal year 2005 for the 55286
provision of services to children eligible for Title IV-A services 55287
under the Title IV-A Head Start or Title IV-A Head Start Plus 55288
programs shall be reimbursed to the General Revenue Fund as 55289
follows:55290

        (A) If, for fiscal year 2008, an entity that was a Title IV-A 55291
Head Start or Title IV-A Head Start Plus agency will not be an 55292
early learning agency or early learning provider, the entity shall 55293
repay the entire amount of the start-up grant it received in 55294
fiscal year 2004 and fiscal year 2005 not later than June 30, 55295
2009, in accordance with a payment schedule agreed to by the 55296
Department of Education.55297

        (B) If an entity that was a Title IV-A Head Start or Title 55298
IV-A Head Start Plus agency in fiscal year 2004 or fiscal year 55299
2005 will be an early learning agency or early learning provider 55300
in fiscal year 2008 and fiscal year 2009, the entity shall be 55301
allowed to retain any amount of the start-up grant it received.55302

        (C) Within ninety days after the effective date of this 55303
section, the Title IV-A Head Start agencies, Title IV-A Head Start 55304
Plus agencies, and the Department of Education shall determine the 55305
repayment schedule for amounts owed under division (A) of this 55306
section. These amounts shall be paid to the state not later than 55307
June 30, 2009.55308

       (D) If an entity that was a Title IV-A Head Start or Title 55309
IV-A Head Start Plus agency in fiscal year 2004 or fiscal year 55310
2005 owed the state any portion of the start-up grant amount 55311
during fiscal year 2006 or fiscal year 2007 but failed to repay 55312
the entire amount of the obligation by June 30, 2007, the entity 55313
shall be given an extension for repayment through June 30, 2009, 55314
before any amounts remaining due and payable to the state are 55315
referred to the Attorney General for collection under section 55316
131.02 of the Revised Code.55317

        (E) Any Title IV-A Head Start or Title IV-A Head Start Plus 55318
start-up grants that are retained by early learning agencies or 55319
early learning providers pursuant to this section shall be 55320
reimbursed to the General Revenue Fund when the early learning 55321
program ceases or is no longer funded from Title IV-A or if an 55322
early learning agency's or early learning provider's participation 55323
in the early learning program ceases or is terminated.55324

       Section 269.40.60. AUXILIARY SERVICES REIMBURSEMENT55325

       Notwithstanding section 3317.064 of the Revised Code, if the55326
unobligated cash balance is sufficient, the Treasurer of State55327
shall transfer $1,500,000 in fiscal year 2008 within thirty days55328
after the effective date of this section, and $1,500,000 in fiscal55329
year 2009 by August 1, 2008, from the Auxiliary Services Personnel55330
Unemployment Compensation Fund to the Department of Education's55331
Auxiliary Services Reimbursement Fund (Fund 598).55332

       Section 269.40.70.  LOTTERY PROFITS EDUCATION FUND55333

       Appropriation item 200-612, Foundation Funding (Fund 017),55334
shall be used in conjunction with appropriation item 200-550, 55335
Foundation Funding (GRF), to provide payments to school districts55336
under Chapter 3317. of the Revised Code.55337

       The Department of Education, with the approval of the55338
Director of Budget and Management, shall determine the monthly55339
distribution schedules of appropriation item 200-550, Foundation55340
Funding (GRF), and appropriation item 200-612, Foundation Funding55341
(Fund 017). If adjustments to the monthly distribution schedule55342
are necessary, the Department of Education shall make such55343
adjustments with the approval of the Director of Budget and55344
Management.55345

       The Director of Budget and Management shall transfer via55346
intrastate transfer voucher the amount appropriated under the55347
Lottery Profits Education Fund for appropriation item 200-682,55348
Lease Rental Payment Reimbursement, to the General Revenue Fund on55349
a schedule determined by the director. These funds shall support55350
the appropriation item 230-428, Lease Rental Payments (GRF), of55351
the School Facilities Commission.55352

       Section 269.40.80.  LOTTERY PROFITS EDUCATION RESERVE FUND55353

       (A) There is hereby created the Lottery Profits Education55354
Reserve Fund (Fund 018) in the State Treasury. Investment earnings55355
of the Lottery Profits Education Reserve Fund shall be credited to55356
the fund. The Superintendent of Public Instruction may certify 55357
cash balances exceeding $75,000,000 in the Lottery Profits 55358
Education Reserve Fund (Fund 018) to the Director of Budget and 55359
Management in June of any given fiscal year. Prior to making the 55360
certification, the Superintendent of Public Instruction shall 55361
determine whether the funds above the $75,000,000 threshold are 55362
needed to help pay for foundation program obligations for that 55363
fiscal year under Chapter 3317. of the Revised Code. If those 55364
funds are needed for the foundation program, the Superintendent of 55365
Public Instruction shall notify and consult with the Director of 55366
Budget and Management to determine the amount that may be 55367
transferred to the Public School Building Fund (Fund 021). Upon 55368
this determination, the Director of Budget and Management shall 55369
transfer the amount from the Lottery Profits Education Reserve 55370
Fund (Fund 018) to the Public School Building Fund (Fund 021). The 55371
amount transferred is hereby appropriated to appropriation item 55372
CAP-622, Public School Buildings.55373

        For fiscal years 2008 and 2009, notwithstanding any 55374
provisions of law to the contrary, amounts necessary to make loans55375
authorized by sections 3317.0210, 3317.0211, and 3317.62 of the55376
Revised Code are hereby appropriated to the Lottery Profits55377
Education Reserve Fund (Fund 018). Loan repayments from loans made 55378
in previous years shall be deposited to the fund.55379

       (B) On July 15, 2007, or as soon as possible thereafter, the 55380
Director of the Ohio Lottery Commission shall certify to the 55381
Director of Budget and Management the amount by which lottery 55382
profit transfers received by the Lottery Profits Education Fund 55383
(Fund 017) exceeded $637,900,000 in fiscal year 2007. The 55384
Director of Budget and Management shall transfer the amount so 55385
certified, plus the cash balance in Fund 017, to the General 55386
Revenue Fund to support appropriation item 200-550, Foundation 55387
Funding.55388

       (C) On July 15, 2008, or as soon as possible thereafter, the 55389
Director of the Ohio Lottery Commission shall certify to the 55390
Director of Budget and Management the amount by which lottery 55391
profit transfers received by the Lottery Profits Education Fund 55392
(Fund 017) exceeded $657,900,000 in fiscal year 2008. The Director 55393
of Budget and Management may transfer the amount so certified, 55394
plus the cash balance in Fund 017, to the Lottery Profits 55395
Education Reserve Fund (Fund 018) or to the General Revenue Fund 55396
to support appropriation item 200-550, Foundation Funding.55397

       (D) Any amounts transferred under division (B) or (C) of this 55398
section may be made available by the Controlling Board in fiscal 55399
years 2008 or 2009, at the request of the Superintendent of Public 55400
Instruction, to provide assistance and grants to school districts 55401
to enable them to remain solvent and to pay unforeseeable expenses 55402
of a temporary or emergency nature that they are unable to pay 55403
from existing resources under section 3316.20 of the Revised Code, 55404
and to provide payments to school districts under Chapter 3317. of 55405
the Revised Code.55406

       Section 269.40.90. GENERAL REVENUE FUND TRANSFERS TO SCHOOL 55407
DISTRICT PROPERTY TAX REPLACEMENT - BUSINESS (FUND 047)55408

       Notwithstanding any provision of law to the contrary, in 55409
fiscal year 2008 and fiscal year 2009 the Director of Budget and 55410
Management may make temporary transfers between the General 55411
Revenue Fund and the School District Property Tax Replacement – 55412
Business Fund (Fund 047) in the Department of Education to ensure 55413
sufficient balances in the School District Property Tax 55414
Replacement - Business Fund (Fund 047) and to replenish the 55415
General Revenue Fund for such transfers.55416

       Section 269.50.10. SCHOOL DISTRICT PROPERTY TAX REPLACEMENT - 55417
BUSINESS55418

       The foregoing appropriation item, 200-909, School District 55419
Property Tax Replacement – Business, in Fund 047, shall be used by 55420
the Department of Education, in consultation with the Department 55421
of Taxation, to make payments to school districts and joint 55422
vocational school districts under section 5751.21 of the Revised 55423
Code. If it is determined by the Director of Budget and Management 55424
that additional appropriations are necessary for this purpose, 55425
such amounts are hereby appropriated.55426

       SCHOOL DISTRICT PROPERTY TAX REPLACEMENT - UTILITY55427

       The foregoing appropriation item 200-900, School District55428
Property Tax Replacement-Utility, in Fund 053, shall be used by 55429
the Department of Education, in consultation with the Department 55430
of Taxation, to make payments to school districts and joint 55431
vocational school districts under section 5727.85 of the Revised 55432
Code.55433

       *       Section 269.50.20. DISTRIBUTION FORMULAS55434

       The Department of Education shall report the following to the55435
Director of Budget and Management and the Legislative Service 55436
Commission:55437

       (A) Changes in formulas for distributing state55438
appropriations, including administratively defined formula55439
factors;55440

       (B) Discretionary changes in formulas for distributing55441
federal appropriations;55442

       (C) Federally mandated changes in formulas for distributing55443
federal appropriations.55444

       Any such changes shall be reported two weeks prior to the55445
effective date of the change.55446

       Section 269.50.30.  EDUCATIONAL SERVICE CENTERS FUNDING55447

       (A) As used in this section:55448

       (1) "Internet- or computer-based community school" has the 55449
same meaning as in section 3314.02 of the Revised Code.55450

       (2) "Service center ADM" has the same meaning as in section 55451
3317.11 of the Revised Code.55452

        (B) Notwithstanding division (F) of section 3317.11 of the55453
Revised Code, no funds shall be provided under that division to an 55454
educational service center in either fiscal year for any pupils of 55455
a city or exempted village school district unless an agreement to 55456
provide services under section 3313.843 of the Revised Code was 55457
entered into by January 1, 1997, except that funds shall be 55458
provided to an educational service center for any pupils of a city 55459
school district if the agreement to provide services was entered 55460
into within one year of the date upon which such district changed 55461
from a local school district to a city school district.55462

       (C) Notwithstanding any provision of the Revised Code to the 55463
contrary, an educational service center that sponsors a community 55464
school under Chapter 3314. of the Revised Code in either fiscal 55465
year may include the students of that community school in its 55466
service center ADM for purposes of state funding under division 55467
(F) of section 3317.11 of the Revised Code, unless the community 55468
school is an Internet- or computer-based community school. A 55469
service center shall include the community school students in its 55470
service center ADM only to the extent that the students are not 55471
already so included, and only in accordance with guidelines issued 55472
by the Department of Education. If the students of a community 55473
school sponsored by an educational service center are included in 55474
the service center ADM of another educational service center, 55475
those students shall be removed from the service center ADM of the 55476
other educational service center and added to the service center 55477
ADM of the community school's sponsoring service center. The 55478
General Assembly authorizes this procedure as an incentive for 55479
educational service centers to take over sponsorship of community 55480
schools from the State Board of Education as the State Board's 55481
sponsorship is phased out in accordance with Sub. H.B. 364 of the 55482
124th General Assembly. No student of an Internet- or 55483
computer-based community school shall be counted in the service 55484
center ADM of any educational service center. The Department shall 55485
pay educational service centers under division (F) of section 55486
3317.11 of the Revised Code for community school students included 55487
in their service center ADMs under this division only if 55488
sufficient funds earmarked within appropriation item 200-550, 55489
Foundation Funding, for payments under that division remain after 55490
first paying for students attributable to their local and client 55491
school districts, in accordance with divisions (B) and (D) of this 55492
section.55493

       (D) If insufficient funds are earmarked within appropriation 55494
item 200-550, Foundation Funding, for payments under division (F) 55495
of section 3317.11 of the Revised Code and division (C) of this 55496
section in fiscal year 2008 or fiscal year 2009, the Department 55497
shall prioritize the distribution of the earmarked funds as 55498
follows:55499

       (1) The Department shall first distribute to each educational 55500
service center the per-student amount specified in division (F) of 55501
section 3317.11 of the Revised Code for each student in its55502
service center ADM attributable to the local school districts 55503
within the service center's territory.55504

       (2) The Department shall distribute the remaining funds in 55505
each fiscal year to each educational service center for the 55506
students in its service center ADM attributable to each city and55507
exempted village school district that had entered into an55508
agreement with an educational service center for that fiscal year55509
under section 3313.843 of the Revised Code by January 1, 1997, up 55510
to the per-student amount specified in division (F) of section 55511
3317.11 of the Revised Code. If insufficient funds remain to pay 55512
each service center the full amount specified in division (F) of 55513
that section for each such student, the Department shall 55514
distribute the remaining funds to each service center 55515
proportionally, on a per-student basis for each such student, 55516
unless that proportional per-student amount exceeds the amount 55517
specified in division (F)(1) of that section. In that case, the 55518
Department shall distribute the per-student amount specified in 55519
division (F)(1) of that section to each service center for each 55520
such student and shall distribute the remainder proportionally, on 55521
a per-student basis for each such student, to the multi-county 55522
service centers described in division (F)(2) of that section.55523

       (3) If the Department has paid each service center under 55524
divisions (D)(1) and (2) of this section, the full amount 55525
specified in division (F) of section 3317.11 of the Revised Code 55526
for each student attributable to its local school districts and 55527
its client school districts described in division (D)(2) of this 55528
section the Department shall distribute any remaining funds 55529
proportionally, on a per-student basis, to each service center 55530
that sponsors a community school, other than an Internet- or 55531
computer-based community school, for the students included in the 55532
service center ADM under division (C) of this section. These 55533
payments shall not exceed per student the amount specified in 55534
division (F) of section 3317.11 of the Revised Code.55535

       *       Section 269.50.40. For the school year commencing July 1,55536
2007, or the school year commencing July 1, 2008, or both, the55537
Superintendent of Public Instruction may waive for the board of55538
education of any school district the ratio of teachers to pupils55539
in kindergarten through fourth grade required under paragraph55540
(A)(3) of rule 3301-35-05 of the Administrative Code if the55541
following conditions apply:55542

       (A) The board of education requests the waiver.55543

       (B) After the Department of Education conducts an on-site55544
evaluation of the district related to meeting the required ratio,55545
the board of education demonstrates to the satisfaction of the55546
Superintendent of Public Instruction that providing the facilities55547
necessary to meet the required ratio during the district's regular55548
school hours with pupils in attendance would impose an extreme55549
hardship on the district.55550

       (C) The board of education provides assurances that are55551
satisfactory to the Superintendent of Public Instruction that the55552
board will act in good faith to meet the required ratio as soon as55553
possible.55554

       Section 269.50.50.  PRIVATE TREATMENT FACILITY PROJECT55555

       (A) As used in this section:55556

       (1) The following are "participating residential treatment55557
centers":55558

       (a) Private residential treatment facilities that have55559
entered into a contract with the Department of Youth Services to55560
provide services to children placed at the facility by the55561
Department and which, in fiscal year 2008 or fiscal year 2009 or 55562
both, the Department pays through appropriation item 470-401, Care 55563
and Custody;55564

       (b) Abraxas, in Shelby;55565

       (c) Paint Creek, in Bainbridge;55566

       (d) Act One, in Akron;55567

       (e) Friars Club, in Cincinnati.55568

       (2) "Education program" means an elementary or secondary55569
education program or a special education program and related55570
services.55571

       (3) "Served child" means any child receiving an education55572
program pursuant to division (B) of this section.55573

       (4) "School district responsible for tuition" means a city,55574
exempted village, or local school district that, if tuition55575
payment for a child by a school district is required under law55576
that existed in fiscal year 1998, is the school district required55577
to pay that tuition.55578

       (5) "Residential child" means a child who resides in a55579
participating residential treatment center and who is receiving an55580
educational program under division (B) of this section.55581

       (B) A youth who is a resident of the state and has been55582
assigned by a juvenile court or other authorized agency to a55583
residential treatment facility specified in division (A) of this55584
section shall be enrolled in an approved educational program55585
located in or near the facility. Approval of the educational55586
program shall be contingent upon compliance with the criteria55587
established for such programs by the Department of Education. The55588
educational program shall be provided by a school district or55589
educational service center, or by the residential facility itself.55590
Maximum flexibility shall be given to the residential treatment55591
facility to determine the provider. In the event that a voluntary55592
agreement cannot be reached and the residential facility does not55593
choose to provide the educational program, the educational service55594
center in the county in which the facility is located shall55595
provide the educational program at the treatment center to55596
children under twenty-two years of age residing in the treatment55597
center.55598

       (C) Any school district responsible for tuition for a55599
residential child shall, notwithstanding any conflicting provision55600
of the Revised Code regarding tuition payment, pay tuition for the55601
child for fiscal year 2008 and fiscal year 2009 to the education 55602
program provider and in the amount specified in this division. If 55603
there is no school district responsible for tuition for a 55604
residential child and if the participating residential treatment 55605
center to which the child is assigned is located in the city, 55606
exempted village, or local school district that, if the child were 55607
not a resident of that treatment center, would be the school 55608
district where the child is entitled to attend school under 55609
sections 3313.64 and 3313.65 of the Revised Code, that school 55610
district, notwithstanding any conflicting provision of the Revised55611
Code, shall pay tuition for the child for fiscal year 2008 and 55612
fiscal year 2009 under this division unless that school district 55613
is providing the educational program to the child under division 55614
(B) of this section.55615

       A tuition payment under this division shall be made to the55616
school district, educational service center, or residential55617
treatment facility providing the educational program to the child.55618

       The amount of tuition paid shall be:55619

       (1) The amount of tuition determined for the district under55620
division (A) of section 3317.08 of the Revised Code;55621

       (2) In addition, for any student receiving special education55622
pursuant to an individualized education program as defined in55623
section 3323.01 of the Revised Code, a payment for excess costs.55624
This payment shall equal the actual cost to the school district,55625
educational service center, or residential treatment facility of55626
providing special education and related services to the student55627
pursuant to the student's individualized education program, minus55628
the tuition paid for the child under division (C)(1) of this55629
section.55630

       A school district paying tuition under this division shall55631
not include the child for whom tuition is paid in the district's55632
average daily membership certified under division (A) of section55633
3317.03 of the Revised Code.55634

       (D) In each of fiscal years 2008 and 2009, the Department of55635
Education shall reimburse, from appropriations made for the55636
purpose, a school district, educational service center, or55637
residential treatment facility, whichever is providing the55638
service, that has demonstrated that it is in compliance with the55639
funding criteria for each served child for whom a school district55640
must pay tuition under division (C) of this section. The amount of55641
the reimbursement shall be the formula amount specified in section55642
3317.022 of the Revised Code, except that the department shall55643
proportionately reduce this reimbursement if sufficient funds are 55644
not available to pay this amount to all qualified providers.55645

       (E) Funds provided to a school district, educational service55646
center, or residential treatment facility under this section shall55647
be used to supplement, not supplant, funds from other public55648
sources for which the school district, service center, or55649
residential treatment facility is entitled or eligible.55650

       (F) The Department of Education shall track the utilization55651
of funds provided to school districts, educational service55652
centers, and residential treatment facilities under this section55653
and monitor the effect of the funding on the educational programs55654
they provide in participating residential treatment facilities.55655
The department shall monitor the programs for educational55656
accountability.55657

       Section 269.50.60.  SCHOOL DISTRICT PARTICIPATION IN NATIONAL55658
ASSESSMENT OF EDUCATION PROGRESS55659

       The General Assembly intends for the Superintendent of Public55660
Instruction to provide for school district participation in the55661
administration of the National Assessment of Education Progress in 55662
accordance with section 3301.27 of the Revised Code. Each school 55663
and school district selected for participation by the 55664
Superintendent of Public Instruction shall participate.55665

       Section 269.50.70. DEPARTMENT OF EDUCATION APPROPRIATION 55666
TRANSFERS FOR STUDENT ASSESSMENT55667

       In fiscal year 2008 and fiscal year 2009, if the 55668
Superintendent of Public Instruction determines that additional 55669
funds are needed to fully fund the requirements of Am. Sub. H.B. 3 55670
of the 125th General Assembly and this act for assessments of 55671
student performance, the Superintendent of Public Instruction may 55672
recommend the reallocation of unspent and unencumbered 55673
appropriations within the Department of Education to the General 55674
Revenue Fund appropriation item 200-437, Student Assessment, to 55675
the Director of Budget and Management. If the Director of Budget 55676
and Management determines that such a reallocation is required, 55677
the Director of Budget and Management may transfer unspent and 55678
unencumbered funds within the Department of Education as necessary 55679
to appropriation item 200-437, Student Assessment. If these 55680
unspent and unencumbered funds are not sufficient to fully fund 55681
the assessment requirements in fiscal year 2008 or fiscal year 55682
2009, the Superintendent of Public Instruction may request that 55683
the Controlling Board transfer up to $9,000,000 cash from the 55684
Lottery Profits Education Reserve Fund (Fund 018) to the General 55685
Revenue Fund and appropriate these transferred funds to 55686
appropriation item 200-437, Student Assessment.55687

       Section 269.50.80.  (A) As used in this section:55688

       (1) "IEP" has the same meaning as in section 3314.08 of the 55689
Revised Code.55690

       (2) "SBH student" means a student receiving special education 55691
and related services for severe behavior handicap conditions 55692
pursuant to an IEP.55693

       (B) This section applies only to a community school 55694
established under Chapter 3314. of the Revised Code that in each 55695
of fiscal years 2008 and 2009 enrolls a number of SBH students 55696
equal to at least fifty per cent of the total number of students 55697
enrolled in the school in the applicable fiscal year.55698

       (C) In addition to any payments made under section 3314.08 of 55699
the Revised Code, in each of fiscal years 2008 and 2009, the 55700
Department of Education shall pay to a community school to which 55701
this section applies a subsidy equal to the difference between the 55702
aggregate amount calculated and paid in that fiscal year to the 55703
community school for special education and related services 55704
additional weighted costs for the SBH students enrolled in the 55705
school and the aggregate amount that would have been calculated 55706
for the school for special education and related services 55707
additional weighted costs for those same students in fiscal year 55708
2001. If the difference is a negative number, the amount of the 55709
subsidy shall be zero.55710

       (D) The amount of any subsidy paid to a community school 55711
under this section shall not be deducted from the school district 55712
in which any of the students enrolled in the community school are 55713
entitled to attend school under section 3313.64 or 3313.65 of the 55714
Revised Code. The amount of any subsidy paid to a community school 55715
under this section shall be paid from funds appropriated to the 55716
Department of Education in appropriation item 200-550, Foundation 55717
Funding.55718

       Section 269.50.90. EARMARK ACCOUNTABILITY55719

       At the request of the Superintendent of Public Instruction, 55720
any entity that receives a budget earmark under the Department of 55721
Education shall submit annually to the chairpersons of the 55722
committees of the House of Representatives and the Senate 55723
primarily concerned with education and to the Department of 55724
Education a report that includes a description of the services 55725
supported by the funds, a description of the results achieved by 55726
those services, an analysis of the effectiveness of the program, 55727
and an opinion as to the program's applicability to other school 55728
districts. For an earmarked entity that received state funds from 55729
an earmark in the prior fiscal year, no funds shall be provided by 55730
the Department of Education to an earmarked entity for a fiscal 55731
year until its report for the prior fiscal year has been 55732
submitted.55733

       Section 269.60.10.  No community school established under 55734
Chapter 3314. of the Revised Code that was not open for operation 55735
as of May 1, 2005, shall operate from a home, as defined in 55736
section 3313.64 of the Revised Code.55737

       Section 269.60.30. PLAN TO MOVE ADULT EDUCATION PROGRAMS TO 55738
BOARD OF REGENTS55739

       The Department of Education shall work collaboratively with 55740
the Board of Regents to identify adult and career-technical 55741
education programs, except for adult basic and literacy education 55742
programs that shall be transferred to the Board of Regents by July 55743
1, 2008. The purpose of this programmatic transfer is to better 55744
align and maximize the strength and flexibility of the full array 55745
of Ohio adult workforce education assets to improve the overall 55746
quality of adult education and training program course and 55747
training offerings in order to increase the skills and improve the 55748
employment prospects of adults.55749

        On or after July 1, 2008, notwithstanding any provision of 55750
law to the contrary, the Director of Budget and Management may 55751
take the actions described in this section made necessary by the 55752
movement of adult education and career programs from the 55753
Department of Education to the Board of Regents. These actions may 55754
include budget changes made necessary by administrative 55755
reorganization, program transfers, the creation of new funds, the 55756
creation of new appropriation items, and the consolidation of 55757
funds. The Director may transfer cash balances between funds as 55758
needed. At the request of the Director, the Superintendent of 55759
Public Instruction shall certify to the Director an estimate of 55760
the amount of the cash balance to be transferred to the receiving 55761
fund. The Director may transfer the estimated amount to the Board 55762
of Regents when needed to make payments. Not more than thirty days 55763
after certifying the estimated amount, the Superintendent of 55764
Public Instruction shall certify the final amount to the Director. 55765
The Director then shall transfer the difference between any amount 55766
previously transferred and the certified final amount. The 55767
Director may cancel encumbrances and re-establish encumbrances or 55768
parts of encumbrances as needed in the appropriate fund and 55769
appropriation item for the same purpose and to the same vendor. 55770
The funds necessary to re-establish those encumbrances in a 55771
different fund or appropriation item within or between the Board 55772
of Regents and the Department of Education are hereby 55773
appropriated. The Director shall reduce each year's appropriation 55774
balances by the amount of the encumbrances canceled in their 55775
respective funds and appropriation items. Any fiscal year 2008 55776
unencumbered or unallocated appropriation balances may be 55777
transferred to the appropriate item to be used for the same 55778
purposes, as determined by the Director.55779

       Section 269.60.40. SPECIAL EDUCATION SCHOLARSHIP PILOT 55780
PROGRAM55781

       The State Board of Education shall initiate rulemaking 55782
procedures for the rules required under section 3310.63 of the 55783
Revised Code, as enacted by this act, so that those rules are in 55784
effect and the Special Education Scholarship Pilot Program is in 55785
operation by July 1, 2007.55786

       The Department of Education shall conduct a formative 55787
evaluation of the Special Education Scholarship Pilot Program 55788
established under sections 3310.51 to 3310.63 of the Revised Code, 55789
using both quantitative and qualitative analyses, and shall report 55790
its findings to the General Assembly not later than December 31, 55791
2009. In conducting the evaluation, the Department shall to the 55792
extent possible gather comments from parents who have been awarded 55793
scholarships under the program, school district officials, 55794
representatives of registered private providers, educators, and 55795
representatives of educational organizations for inclusion in the 55796
report required under this section.55797

       Section 269.60.50. ADULT BASIC AND LITERACY PROGRAMS55798

       Adult basic and literacy programs shall remain under the 55799
Department of Education.55800

       Section 269.60.60. UNAUDITABLE COMMUNITY SCHOOL55801

       (A) If the Auditor of State or a public accountant, pursuant 55802
to section 117.41 of the Revised Code, declares a community school 55803
established under Chapter 3314. of the Revised Code to be 55804
unauditable, the Auditor of State shall provide written 55805
notification of that declaration to the school, the school's 55806
sponsor, and the Department of Education. The Auditor of State 55807
also shall post the notification on the Auditor of State's web 55808
site.55809

       (B) Notwithstanding any provision to the contrary in Chapter 55810
3314. of the Revised Code or any other provision of law, a sponsor 55811
of a community school that is notified by the Auditor of State 55812
under division (A) of this section that a community school it 55813
sponsors is unauditable shall not enter into contracts with any 55814
additional community schools under section 3314.03 of the Revised 55815
Code until the Auditor of State or a public accountant has 55816
completed a financial audit of that school.55817

       (C) Not later than forty-five days after receiving 55818
notification by the Auditor of State under division (A) of this 55819
section that a community school is unauditable, the sponsor of the 55820
school shall provide a written response to the Auditor of State. 55821
The response shall include the following:55822

       (1) An overview of the process the sponsor will use to review 55823
and understand the circumstances that led to the community school 55824
becoming unauditable;55825

       (2) A plan for providing the Auditor of State with the 55826
documentation necessary to complete an audit of the community 55827
school and for ensuring that all financial documents are available 55828
in the future;55829

       (3) The actions the sponsor will take to ensure that the plan 55830
described in division (C)(2) of this section is implemented.55831

       (D) If a community school fails to make reasonable efforts 55832
and continuing progress to bring its accounts, records, files, or 55833
reports into an auditable condition within ninety days after being 55834
declared unauditable, the Auditor of State, in addition to 55835
requesting legal action under sections 117.41 and 117.42 of the 55836
Revised Code, shall notify the Department of the school's failure. 55837
If the Auditor of State or a public accountant subsequently is 55838
able to complete a financial audit of the school, the Auditor of 55839
State shall notify the Department that the audit has been 55840
completed.55841

       (E) Notwithstanding any provision to the contrary in Chapter 55842
3314. of the Revised Code or any other provision of law, upon 55843
notification by the Auditor of State under division (D) of this 55844
section that a community school has failed to make reasonable 55845
efforts and continuing progress to bring its accounts, records, 55846
files, or reports into an auditable condition following a 55847
declaration that the school is unauditable, the Department shall 55848
immediately cease all payments to the school under Chapter 3314. 55849
of the Revised Code and any other provision of law. Upon 55850
subsequent notification from the Auditor of State under that 55851
division that the Auditor of State or a public accountant was able 55852
to complete a financial audit of the community school, the 55853
Department shall release all funds withheld from the school under 55854
this section.55855

       Section 271.10.  ELC OHIO ELECTIONS COMMISSION55856

General Revenue Fund55857

GRF 051-321 Operating Expenses $ 411,623 $ 423,975 55858
TOTAL GRF General Revenue Fund $ 411,623 $ 423,975 55859

General Services Fund Group55860

4P2 051-601 Ohio Elections 55861
Commission Fund $ 255,000 $ 255,000 55862
TOTAL GSF General Services Fund Group $ 255,000 $ 255,000 55863
TOTAL ALL BUDGET FUND GROUPS $ 666,623 $ 678,975 55864


       Section 273.10. FUN STATE BOARD OF EMBALMERS AND FUNERAL55866
DIRECTORS55867

General Services Fund Group55868

4K9 881-609 Operating Expenses $ 628,641 $ 646,602 55869
TOTAL GSF General Services 55870
Fund Group $ 628,641 $ 646,602 55871
TOTAL ALL BUDGET FUND GROUPS $ 628,641 $ 646,602 55872


       Section 275.10.  PAY EMPLOYEE BENEFITS FUNDS55874

Accrued Leave Liability Fund Group55875

806 995-666 Accrued Leave Fund $ 69,584,560 $ 76,038,787 55876
807 995-667 Disability Fund $ 40,104,713 $ 39,309,838 55877
TOTAL ALF Accrued Leave Liability 55878
Fund Group $ 109,689,273 $ 115,348,625 55879

Agency Fund Group55880

124 995-673 Payroll Deductions $ 2,125,000,000 $ 2,175,000,000 55881
808 995-668 State Employee Health Benefit Fund $ 499,240,000 $ 550,922,742 55882
809 995-669 Dependent Care Spending Account $ 2,969,635 $ 2,969,635 55883
810 995-670 Life Insurance Investment Fund $ 2,113,589 $ 2,229,834 55884
811 995-671 Parental Leave Benefit Fund $ 3,994,806 $ 4,234,495 55885
813 995-672 Health Care Spending Account $ 12,000,000 $ 12,000,000 55886
TOTAL AGY Agency Fund Group $ 2,645,318,030 $ 2,747,356,706 55887

TOTAL ALL BUDGET FUND GROUPS $ 2,755,007,303 $ 2,862,705,331 55888

       ACCRUED LEAVE LIABILITY FUND55889

       The foregoing appropriation item 995-666, Accrued Leave Fund,55890
shall be used to make payments from the Accrued Leave Liability55891
Fund (Fund 806), pursuant to section 125.211 of the Revised Code.55892
If it is determined by the Director of Budget and Management that55893
additional amounts are necessary, the amounts are appropriated.55894

       STATE EMPLOYEE DISABILITY LEAVE BENEFIT FUND55895

       The foregoing appropriation item 995-667, Disability Fund,55896
shall be used to make payments from the State Employee Disability55897
Leave Benefit Fund (Fund 807), pursuant to section 124.83 of the55898
Revised Code. If it is determined by the Director of Budget and55899
Management that additional amounts are necessary, the amounts are55900
appropriated.55901

       PAYROLL WITHHOLDING FUND55902

       The foregoing appropriation item 995-673, Payroll Deductions, 55903
shall be used to make payments from the Payroll Withholding Fund 55904
(Fund 124). If it is determined by the Director of Budget and 55905
Management that additional appropriation amounts are necessary, 55906
such amounts are hereby appropriated.55907

       STATE EMPLOYEE HEALTH BENEFIT FUND55908

       The foregoing appropriation item 995-668, State Employee55909
Health Benefit Fund, shall be used to make payments from the State55910
Employee Health Benefit Fund (Fund 808), pursuant to section55911
124.87 of the Revised Code. If it is determined by the Director of 55912
Budget and Management that additional amounts are necessary, the 55913
amounts are appropriated.55914

       DEPENDENT CARE SPENDING ACCOUNT55915

       The foregoing appropriation item 995-669, Dependent Care55916
Spending Account, shall be used to make payments from the55917
Dependent Care Spending Account (Fund 809) to employees eligible55918
for dependent care expenses. If it is determined by the Director55919
of Budget and Management that additional amounts are necessary,55920
the amounts are appropriated.55921

       LIFE INSURANCE INVESTMENT FUND55922

       The foregoing appropriation item 995-670, Life Insurance55923
Investment Fund, shall be used to make payments from the Life55924
Insurance Investment Fund (Fund 810) for the costs and expenses of55925
the state's life insurance benefit program pursuant to section55926
125.212 of the Revised Code. If it is determined by the Director55927
of Budget and Management that additional amounts are necessary,55928
the amounts are appropriated.55929

       PARENTAL LEAVE BENEFIT FUND55930

       The foregoing appropriation item 995-671, Parental Leave55931
Benefit Fund, shall be used to make payments from the Parental55932
Leave Benefit Fund (Fund 811) to employees eligible for parental55933
leave benefits pursuant to section 124.137 of the Revised Code. If55934
it is determined by the Director of Budget and Management that55935
additional amounts are necessary, the amounts are appropriated.55936

       HEALTH CARE SPENDING ACCOUNT55937

       There is hereby established in the State Treasury the Health 55938
Care Spending Account Fund (Fund 813). The foregoing appropriation 55939
item 995-672, Health Care Spending Account, shall be used to make 55940
payments from the fund. The fund shall be under the supervision of 55941
the Department of Administrative Services and shall be used to 55942
make payments pursuant to state employees' participation in a 55943
flexible spending account for non-reimbursed health care expenses 55944
and pursuant to Section 125 of the Internal Revenue Code. All 55945
income derived from the investment of the fund shall accrue to the 55946
fund. If it is determined by the Director of Administrative 55947
Services that additional appropriation amounts are necessary, the 55948
Director of Administrative Services may request that the Director 55949
of Budget and Management increase such amounts. Such amounts are 55950
hereby appropriated. 55951

       At the request of the Director of Administrative Services, 55952
the Director of Budget and Management shall transfer up to 55953
$145,000 from the General Revenue Fund to the Health Care Spending 55954
Account Fund during fiscal years 2008 and 2009. This cash shall be 55955
transferred as needed to provide adequate cash flow for the Health 55956
Care Spending Account Fund during fiscal year 2008 and fiscal year 55957
2009. If funds are available at the end of fiscal years 2008 and 55958
2009, the Director of Budget and Management shall transfer cash up 55959
to the amount previously transferred in the respective year, plus 55960
interest income, back from the Health Care Spending Account (Fund 55961
813) to the General Revenue Fund. 55962

       Section 277.10.  ERB STATE EMPLOYMENT RELATIONS BOARD55963

General Revenue Fund55964

GRF 125-321 Operating Expenses $ 3,218,803 $ 3,355,602 55965
TOTAL GRF General Revenue Fund $ 3,218,803 $ 3,355,602 55966

General Services Fund Group55967

572 125-603 Training and Publications $ 75,541 $ 75,541 55968
TOTAL GSF General Services 55969
Fund Group $ 75,541 $ 75,541 55970
TOTAL ALL BUDGET FUND GROUPS $ 3,294,344 $ 3,431,143 55971


       Section 279.10. ENG STATE BOARD OF ENGINEERS AND SURVEYORS55973

General Services Fund Group55974

4K9 892-609 Operating Expenses $ 1,058,881 $ 1,058,881 55975
TOTAL GSF General Services 55976
Fund Group $ 1,058,881 $ 1,058,881 55977
TOTAL ALL BUDGET FUND GROUPS $ 1,058,881 $ 1,058,881 55978


       Section 281.10. EPA ENVIRONMENTAL PROTECTION AGENCY55980

General Services Fund Group55981

199 715-602 Laboratory Services $ 1,158,574 $ 1,173,574 55982
219 715-604 Central Support Indirect $ 16,474,276 $ 17,000,962 55983
4A1 715-640 Operating Expenses $ 3,369,731 $ 3,369,731 55984
TOTAL GSF General Services 55985
Fund Group $ 21,002,581 $ 21,544,267 55986

Federal Special Revenue Fund Group55987

3BU 715-684 Water Quality Protection $ 6,515,000 $ 6,310,000 55988
3F2 715-630 Revolving Loan Fund - Operating $ 563,536 $ 775,600 55989
3F3 715-632 Federally Supported Cleanup and Response $ 2,550,000 $ 2,550,000 55990
3F5 715-641 Nonpoint Source Pollution Management $ 7,550,000 $ 7,595,000 55991
3K4 715-634 DOD Monitoring and Oversight $ 858,250 $ 898,825 55992
3N4 715-657 DOE Monitoring and Oversight $ 1,071,678 $ 1,110,270 55993
3T3 715-669 Drinking Water SRF $ 2,843,923 $ 2,977,998 55994
3V7 715-606 Agencywide Grants $ 500,000 $ 500,000 55995
353 715-612 Public Water Supply $ 3,388,619 $ 3,388,618 55996
354 715-614 Hazardous Waste Management - Federal $ 4,203,891 $ 4,203,891 55997
357 715-619 Air Pollution Control - Federal $ 6,823,949 $ 6,823,950 55998
362 715-605 Underground Injection Control - Federal $ 111,874 $ 111,874 55999
TOTAL FED Federal Special Revenue 56000
Fund Group $ 36,980,720 $ 37,246,026 56001

State Special Revenue Fund Group56002

4J0 715-638 Underground Injection Control $ 458,418 $ 458,418 56003
4K2 715-648 Clean Air - Non Title V $ 3,690,821 $ 4,066,558 56004
4K3 715-649 Solid Waste $ 13,932,845 $ 14,282,845 56005
4K4 715-650 Surface Water Protection $ 12,685,000 $ 13,815,000 56006
4K5 715-651 Drinking Water Protection $ 8,169,553 $ 8,867,732 56007
4P5 715-654 Cozart Landfill $ 149,728 $ 149,728 56008
4R5 715-656 Scrap Tire Management $ 6,000,000 $ 6,000,000 56009
4R9 715-658 Voluntary Action Program $ 1,032,098 $ 1,032,098 56010
4T3 715-659 Clean Air - Title V Permit Program $ 18,924,098 $ 18,833,584 56011
4U7 715-660 Construction & Demolition Debris $ 881,561 $ 881,561 56012
5BC 715-617 Clean Ohio $ 741,646 $ 741,646 56013
5BC 715-622 Local Air Pollution Control $ 1,026,369 $ 1,026,369 56014
5BC 715-624 Surface Water $ 8,797,413 $ 8,797,413 56015
5BC 715-667 Groundwater $ 1,093,741 $ 1,093,741 56016
5BC 715-672 Air Pollution Control $ 5,199,290 $ 5,199,290 56017
5BC 715-673 Drinking Water $ 2,550,250 $ 2,550,250 56018
5BC 715-675 Hazardous Waste $ 100,847 $ 100,847 56019
5BC 715-676 Assistance and Prevention $ 700,302 $ 700,302 56020
5BC 715-677 Laboratory $ 1,216,333 $ 1,216,333 56021
5BC 715-678 Corrective Actions $ 1,179,775 $ 1,179,775 56022
5BT 715-679 C&DD Groundwater Monitoring $ 571,560 $ 693,267 56023
5BY 715-681 Auto Emissions Test $ 14,817,105 $ 15,057,814 56024
5CD 715-682 Clean Diesel School Buses $ 600,000 $ 600,000 56025
5DW 715-683 Automotive Mercury Switch Program $ 60,000 $ 60,000 56026
5H4 715-664 Groundwater Support $ 2,503,933 $ 2,715,340 56027
5N2 715-613 Dredge and Fill $ 30,000 $ 30,000 56028
500 715-608 Immediate Removal Special Account $ 557,257 $ 573,903 56029
503 715-621 Hazardous Waste Facility Management $ 11,711,473 $ 12,200,240 56030
505 715-623 Hazardous Waste Cleanup $ 13,333,179 $ 14,147,498 56031
505 715-674 Clean Ohio Environmental Review $ 109,725 $ 109,725 56032
541 715-670 Site Specific Cleanup $ 34,650 $ 34,650 56033
542 715-671 Risk Management Reporting $ 146,188 $ 146,188 56034
592 715-627 Anti Tampering Settlement $ 9,707 $ 9,707 56035
6A1 715-645 Environmental Education $ 1,500,000 $ 1,500,000 56036
602 715-626 Motor Vehicle Inspection and Maintenance $ 157,697 $ 128,876 56037
644 715-631 ER Radiological Safety $ 286,114 $ 286,114 56038
660 715-629 Infectious Waste Management $ 100,000 $ 100,000 56039
676 715-642 Water Pollution Control Loan Administration $ 4,964,625 $ 4,964,625 56040
678 715-635 Air Toxic Release $ 210,622 $ 210,622 56041
679 715-636 Emergency Planning $ 2,628,647 $ 2,628,647 56042
696 715-643 Air Pollution Control Administration $ 750,000 $ 750,000 56043
699 715-644 Water Pollution Control Administration $ 750,000 $ 750,000 56044
TOTAL SSR State Special Revenue Fund Group $ 144,362,570 $ 148,690,706 56045

Clean Ohio Revitalization Fund Group56046

5S1 715-607 Clean Ohio - Operating $ 208,174 $ 208,174 56047
TOTAL CLF Clean Ohio Revitalization Fund Group $ 208,174 $ 208,174 56048
TOTAL ALL BUDGET FUND GROUPS $ 202,554,045 $ 207,689,173 56049

       AUTOMOBILE EMISSIONS TESTING PROGRAM OPERATION AND OVERSIGHT56050

        The Ohio Environmental Protection Agency (EPA) shall use the 56051
foregoing appropriation item 715-681, Auto Emissions Test, in the 56052
Auto Emissions Test Fund (Fund 5BY), for the operation, and Ohio 56053
EPA's costs for oversight, of the auto emissions testing program. 56054
For purposes of continuing testing beyond December 31, 2007, the 56055
Director of Environmental Protection may extend an existing 56056
contract with the contractor who is implementing the testing 56057
program pursuant to section 3704.14 of the Revised Code for a 56058
period of two years.56059

       The funds identified in this section shall not be used (1) to 56060
pay for the testing costs of any dealers to provide certificates 56061
for vehicles being purchased by individuals who reside in areas 56062
where the E-Check program is operated or (2) to pay for more than 56063
one passing or three total free tests for any vehicle in a 56064
three-hundred-sixty-five-day period. When state funds may not be 56065
used to pay for testing costs, the cost of testing and retesting 56066
paid by an individual or a business for any vehicle shall cover 56067
the cost of the test. Testing and other fees charged by the 56068
contractor shall be submitted to and approved by the Director of 56069
Environmental Protection.56070

       WATER QUALITY PROTECTION FUND56071

        On July 1, 2007, or as soon thereafter as possible, the 56072
Director of Environmental Protection shall certify to the Director 56073
of Budget and Management the cash balance in Fund 3F4, Water 56074
Quality Management. The Director of Budget and Management shall 56075
transfer the amount certified from Fund 3F4 to Fund 3BU, Water 56076
Quality Protection. Any existing encumbrances in appropriation 56077
item 715-633, Water Quality Management (Fund 3F4), shall be 56078
cancelled and re-established against appropriation item 715-684, 56079
Water Quality Protection (Fund 3BU). The amounts of the 56080
re-established encumbrances are hereby appropriated, and Fund 3F4 56081
is abolished.56082

        On July 1, 2007, or as soon thereafter as possible, the 56083
Director of Environmental Protection shall certify to the Director 56084
of Budget and Management the cash balance in Fund 3J1, Urban 56085
Stormwater. The Director of Budget and Management shall transfer 56086
the amount certified from Fund 3J1 to Fund 3BU, Water Quality 56087
Protection. Any existing encumbrances in appropriation item 56088
715-620, Urban Stormwater (Fund 3J1), shall be cancelled and 56089
re-established against appropriation item 715-684, Water Quality 56090
Protection (Fund 3BU). The amounts of the re-established 56091
encumbrances are hereby appropriated, and Fund 3J1 is abolished.56092

        On July 1, 2007, or as soon thereafter as possible, the 56093
Director of Environmental Protection shall certify to the Director 56094
of Budget and Management the cash balance in Fund 3J5, Maumee 56095
River. The Director of Budget and Management shall transfer the 56096
amount certified from Fund 3J5 to Fund 3BU, Water Quality 56097
Protection. Any existing encumbrances in appropriation item 56098
715-615, Maumee River (Fund 3J5), shall be cancelled and 56099
re-established against appropriation item 715-684, Water Quality 56100
Protection (Fund 3BU). The amounts of the re-established 56101
encumbrances are hereby appropriated, and Fund 3J5 is abolished.56102

        On July 1, 2007, or as soon thereafter as possible, the 56103
Director of Environmental Protection shall certify to the Director 56104
of Budget and Management the cash balance in Fund 3K2, Clean Water 56105
Act 106 (Fund 3K2). The Director of Budget and Management shall 56106
transfer the amount certified from Fund 3K2 to Fund 3BU, Water 56107
Quality Protection. Any existing encumbrances in appropriation 56108
item 715-628, Clean Water Act 106, shall be cancelled and 56109
re-established against appropriation item 715-684, Water Quality 56110
Protection (Fund 3BU). The amounts of the re-established 56111
encumbrances are hereby appropriated, and Fund 3K2 is abolished.56112

        On July 1, 2007, or as soon thereafter as possible, the 56113
Director of Environmental Protection shall certify to the Director 56114
of Budget and Management the cash balance in Fund 3K6, Remedial 56115
Action Plan. The Director of Budget and Management shall transfer 56116
the amount certified from Fund 3K6 to Fund 3BU, Water Quality 56117
Protection. Any existing encumbrances in appropriation item 56118
715-639, Remedial Action Plan (Fund 3K6), shall be cancelled and 56119
re-established against appropriation item 715-684, Water Quality 56120
Protection (Fund 3BU). The amounts of the re-established 56121
encumbrances are hereby appropriated, and Fund 3K6 is abolished.56122

        On July 1, 2007, or as soon thereafter as possible, the 56123
Director of Environmental Protection shall certify to the Director 56124
of Budget and Management the cash balance in Fund 352, Wastewater 56125
Pollution. The Director of Budget and Management shall transfer 56126
the amount certified from Fund 352 to Fund 3BU, Water Quality 56127
Protection. Any existing encumbrances in appropriation item 56128
715-611, Wastewater Pollution (Fund 352), shall be cancelled and 56129
re-established against appropriation item 715-684, Water Quality 56130
Protection (Fund 3BU). The amounts of the re-established 56131
encumbrances are hereby appropriated, and Fund 352 is abolished.56132

        On July 1, 2007, or as soon thereafter as possible, the 56133
Director of Environmental Protection shall certify to the Director 56134
of Budget and Management the cash balance in Fund 358, 205-J 56135
Federal Planning. The Director of Budget and Management shall 56136
transfer the amount certified from Fund 358 to Fund 3BU, Water 56137
Quality Protection. Any existing encumbrances in appropriation 56138
item 715-625, 205-J Federal Planning (Fund 358), shall be 56139
cancelled and re-established against appropriation item 715-684, 56140
Water Quality Protection (Fund 3BU). The amounts of the 56141
re-established encumbrances are hereby appropriated, and Fund 358 56142
is abolished.56143

       AREAWIDE PLANNING AGENCIES56144

        The Director of the Environmental Protection Agency shall use 56145
the foregoing appropriation item 715-624, Surface Water, to 56146
contract with areawide planning agencies in an amount not to 56147
exceed $75,000 per agency per fiscal year for areawide water 56148
quality management and planning activities in accordance with 56149
Section 208 of the Federal Clean Water Act, 33 U.S.C. 1288.56150

       CASH TRANSFER FOR AUTOMOTIVE MERCURY SWITCH PROGRAM56151

       Upon the request of the Director of Environmental Protection, 56152
the Director of Budget and Management shall transfer up to $60,000 56153
in cash from the Environmental Protection Fund (Fund 5BC) to the 56154
Automotive Mercury Switch Program Fund (Fund 5DW), in each year of 56155
the fiscal years 2008-2009 biennium.56156

       Section 283.10. EBR ENVIRONMENTAL REVIEW APPEALS COMMISSION56157

General Revenue Fund56158

GRF 172-321 Operating Expenses $ 483,859 $ 487,000 56159
TOTAL GRF General Revenue Fund $ 483,859 $ 487,000 56160
TOTAL ALL BUDGET FUND GROUPS $ 483,859 $ 487,000 56161


       Section 285.10. ETC ETECH OHIO56163

General Revenue Fund56164

GRF 935-321 Operations $ 6,830,918 $ 6,830,921 56165
GRF 935-401 Statehouse News Bureau $ 244,400 $ 244,400 56166
GRF 935-402 Ohio Government Telecommunications Services $ 716,417 $ 716,417 56167
GRF 935-403 Technical Operations $ 3,597,390 $ 3,597,389 56168
GRF 935-404 Telecommunications Operating Subsidy $ 3,632,413 $ 3,632,413 56169
GRF 935-406 Technical and Instructional Professional Development $ 7,285,351 $ 7,272,351 56170
GRF 935-539 Educational Technology $ 4,139,551 $ 4,139,551 56171
TOTAL GRF General Revenue Fund $ 26,446,440 $ 26,433,442 56172

General Services Fund Group56173

4F3 935-603 Affiliate Services $ 1,000,000 $ 1,000,000 56174
4T2 935-605 Government Television/Telecommunications Operating $ 25,000 $ 25,000 56175
5D4 935-640 Conference/Special Purposes $ 1,821,817 $ 1,821,817 56176
TOTAL GSF General Services Fund Group $ 2,846,817 $ 2,846,817 56177

Federal Special Revenue Fund Group56178

3S3 935-606 Enhancing Education Technology $ 589,363 $ 589,363 56179
TOTAL FED Federal Special Revenue Fund Group $ 589,363 $ 589,363 56180

State Special Revenue Fund Group56181

4W9 935-630 Telecommunity $ 25,000 $ 25,000 56182
4X1 935-634 Distance Learning $ 50,000 $ 50,000 56183
5T3 935-607 Gates Foundation Grants $ 200,000 $ 200,000 56184
TOTAL SSR State Special Revenue Fund Group $ 275,000 $ 275,000 56185
TOTAL ALL BUDGET FUND GROUPS $ 30,157,620 $ 30,144,622 56186


       Section 285.20. TOWERS56188

       (A) eTech Ohio currently owns eighteen towers and owns or 56189
leases an interest in the land upon which the towers are located 56190
at the following sites: Akron/Nimisila, Butler, Carey, Carmel 56191
Church, Celina College, Corner/Oxford, Conneaut/Ashtabula, 56192
Fairborn/Wright State, Lancaster, London, Loudonville, Mansfield, 56193
Maplewood, Millersburg, Thompson, Warrensville Heights, 56194
Wilberforce/Central State University, and Wooster. All rights, 56195
privileges, ownership, and control of the towers shall be 56196
transferred to the Office of Information Technology by July 1, 56197
2007, or as soon as possible thereafter. Where the land upon which 56198
the towers are located is leased by eTech Ohio, eTech Ohio hereby 56199
relinquishes its right on any such lease and the Office of 56200
Information Technology shall be substituted as the lessee of the 56201
premises by July 1, 2007, or as soon as possible thereafter, under 56202
the same terms, provisions, and conditions as specified in each 56203
lease agreement, subject to the lessor's consent. Where the land 56204
upon which the towers are located is owned by eTech Ohio, all 56205
rights, privileges, ownership, and control of the land shall be 56206
transferred to the Office of Information Technology by July 1, 56207
2007, or as soon as possible thereafter. The transfers and 56208
assignments of the eighteen tower site designations are subject to 56209
eTech Ohio's continued right to use the towers for transmission 56210
and broadcasting purposes and subject to the completion of any 56211
legal surveys of the premises on which the towers are located as 56212
deemed necessary by the Office of Real Estate Services.56213

       (B) The Governor is hereby authorized to execute deeds or 56214
leases in the name of the state, granting or leasing all of the 56215
state's right, title, and interest in the parcels described 56216
herein, and as necessary to implement division (A) of this 56217
section.56218

        (C) Renewable leases and deeds to implement division (A) of 56219
this section shall be prepared by the Auditor of State with the 56220
assistance of the Attorney General, executed by the Governor, 56221
countersigned by the Secretary of State, sealed with the Great 56222
Seal of the State, and presented for recording in the Office of 56223
the Auditor of State. Each deed or lease shall be delivered to the 56224
original grantor or lessor of each property for recording in the 56225
office of the appropriate county recorder.56226

       Section 285.30. TELECOMMUNICATIONS56227

       STATEHOUSE NEWS BUREAU56228

       The foregoing appropriation item 935-401, Statehouse News 56229
Bureau, shall be used solely to support the operations of the Ohio 56230
Statehouse News Bureau.56231

       OHIO GOVERNMENT TELECOMMUNICATIONS STUDIO56232

       The foregoing appropriation item 935-402, Ohio Government 56233
Telecommunications Services, shall be used solely to support the 56234
operations of Ohio Government Telecommunications Services.56235

       TECHNICAL OPERATIONS56236

       The foregoing appropriation item 935-403, Technical 56237
Operations, shall be used by eTech Ohio to pay expenses of eTech 56238
Ohio's network infrastructure, which includes the television and 56239
radio transmission infrastructure and infrastructure that shall 56240
link all public K-12 classrooms to each other and the Internet, 56241
and provide access to voice, video, and data educational resources 56242
for students and teachers.56243

       TELECOMMUNICATIONS OPERATING SUBSIDY56244

       Of the foregoing appropriation item 935-404, 56245
Telecommunications Operating Subsidy, $45,000 in each fiscal year 56246
shall be used to contract for dial-up newspaper reading services 56247
for the blind and physically handicapped. The contract shall be 56248
awarded through a competitive bidding process.56249

       The remainder of appropriation item 935-404, 56250
Telecommunications Operating Subsidy, shall be distributed by 56251
eTech Ohio to Ohio's qualified public educational television 56252
stations, radio reading services, and educational radio stations 56253
to support their operations. The funds shall be distributed 56254
pursuant to an allocation formula used by the Ohio Educational 56255
Telecommunications Network Commission unless and until a 56256
substitute formula is developed by eTech Ohio in consultation with 56257
Ohio's qualified public educational television stations, radio 56258
reading services, and educational radio stations.56259

       Section 285.40. TECHNICAL AND INSTRUCTIONAL PROFESSIONAL 56260
DEVELOPMENT56261

       The foregoing appropriation item 935-406, Technical and 56262
Instructional Professional Development, shall be used by eTech 56263
Ohio to make grants or provide services to qualifying public 56264
schools, including the State School for the Blind, the State 56265
School for the Deaf, and the Department of Youth Services, for the 56266
provision of hardware, software, telecommunications services, and 56267
staff development to support educational uses of technology in the 56268
classroom.56269

       Of the foregoing appropriation item 935-406, Technical and 56270
Instructional Professional Development, up to $1,000,000 in each 56271
fiscal year shall be used to implement and support the Ohio 56272
Students Choosing On-line Resources for Educational Success (Ohio 56273
SCORES) initiative that increases the educational options 56274
available to students in mathematics, advanced laboratory-based 56275
science, and foreign language. eTech Ohio shall work 56276
collaboratively with the Department of Education and the Board of 56277
Regents on this initiative.56278

       Of the foregoing appropriation item 935-406, Technical and 56279
Instructional Professional Development, up to $200,000 in each 56280
fiscal year shall be used by eTech Ohio to provide competitive 56281
professional development grants to school districts. Grant 56282
proposals shall focus on developing innovative programs that 56283
enhance the abilities of teachers to use innovative methods for 56284
integrating technology to implement state academic content 56285
standards in classroom lessons. Grant requirements and awards 56286
shall be approved by eTech Ohio, with priority given to school 56287
districts designated in academic emergency, academic watch, or 56288
continuous improvement. eTech Ohio shall develop a web site to 56289
share information learned through these programs with school 56290
districts statewide. The web site shall be linked with the Ohio 56291
Department of Education's Instructional Management System.56292

       Of the foregoing appropriation item 935-406, Technical and 56293
Instructional Professional Development, up to $1,260,000 in each 56294
fiscal year shall be allocated equally among the 12 Ohio 56295
educational television stations and used with the advice and 56296
approval of eTech Ohio. Funds shall be used for the production of 56297
interactive instructional programming series with priority given 56298
to resources aligned with state academic content standards in 56299
consultation with the Ohio Department of Education and for 56300
teleconferences to support eTech Ohio. The programming shall be 56301
targeted to the needs of the poorest two hundred school districts 56302
as determined by the district's adjusted valuation per pupil as 56303
defined in former section 3317.0213 of the Revised Code as that 56304
section existed prior to June 30, 2005.56305

       The remainder of appropriation item 935-406, Technical and 56306
Instructional Professional Development, shall be used by eTech 56307
Ohio for professional development for teachers and administrators 56308
for the use of educational technology. eTech Ohio may make grants 56309
to provide technical assistance and professional development on 56310
the use of educational technology to school districts.56311

       Eligible recipients of grants include regional training 56312
centers, educational service centers, information technology 56313
centers, educational technology centers, institutions of higher 56314
education, public television stations, special education resource 56315
centers, area media centers, or other nonprofit educational 56316
organizations. In addition, services provided through these grants 56317
may include use of private entities subcontracting through the 56318
grant recipient.56319

       Grants shall be made to entities on a contractual basis with 56320
eTech Ohio. Contracts shall include provisions that demonstrate 56321
how services will benefit technology use in the public schools, 56322
and in particular how services will support eTech Ohio's efforts 56323
to integrate technology in the public schools. Contracts shall 56324
specify the scope of assistance being offered and the potential 56325
number of professionals who will be served. Contracting entities 56326
may be awarded more than one grant at a time. Grants shall be 56327
awarded in a manner consistent with the goals and priorities of 56328
eTech Ohio. Special emphasis in the award of grants shall be 56329
placed on collaborative efforts among service providers.56330

       Application for grants from appropriation item 935-406, 56331
Technical and Instructional Professional Development, shall be 56332
consistent with a school district's technology plan that shall 56333
meet the minimum specifications for school district technology 56334
plans as prescribed by eTech Ohio. Funds allocated through these 56335
grants may be combined with funds received through other state or 56336
federal grants for technology so long as the school district's 56337
technology plan specifies the use of these funds.56338

       Section 285.50. EDUCATION TECHNOLOGY56339

       The foregoing appropriation item 935-539, Education 56340
Technology, shall be used to provide funding to suppliers of 56341
information services to school districts for the provision of 56342
hardware, software, and staff development in support of 56343
educational uses of technology in the classroom as prescribed by 56344
the State Plan for Technology pursuant to section 3301.07 of the 56345
Revised Code, and to support assistive technology for children and 56346
youth with disabilities.56347

       Of the foregoing appropriation item 935-539, Education 56348
Technology, up to $4,139,551 in each fiscal year shall be used by 56349
eTech Ohio to contract with educational television to provide Ohio 56350
public schools with instructional resources and services with 56351
priority given to resources and services aligned with state 56352
academic content standards and such resources and services shall 56353
be based upon the advice and approval of eTech Ohio, based on a 56354
formula used by the Ohio SchoolNet Commission unless and until a 56355
substitute formula is developed by eTech Ohio in consultation with 56356
Ohio's educational technology agencies and noncommercial 56357
educational television stations.56358

       Resources may include, but not be limited to, the following: 56359
prerecorded video materials (including videotape, laser discs, and 56360
CD-ROM discs); computer software for student use or student access 56361
to electronic communication, databases, spreadsheet, and word 56362
processing capability; live student courses or courses delivered 56363
electronically; automated media systems; and instructional and 56364
professional development materials for teachers. eTech Ohio shall 56365
collaborate with public television stations and cooperate with 56366
education technology agencies in the acquisition, development, and 56367
delivery of these educational resources to ensure high-quality and 56368
educational soundness at the lowest possible cost. Delivery of 56369
these resources may utilize a variety of technologies, with a 56370
preference given to a high speed integrated information network 56371
that can transport video, voice, data, and graphics 56372
simultaneously.56373

       Services shall include presentations and technical assistance 56374
that will help students and teachers integrate educational 56375
materials that support curriculum objectives, match specific 56376
learning styles, and are appropriate for individual interests and 56377
ability levels.56378

       The instructional resources and services shall be made 56379
available for purchase by chartered nonpublic schools or by school 56380
districts for the benefit of pupils attending chartered nonpublic 56381
schools.56382

       eTech Ohio shall monitor the developments of technology, 56383
coordinate with the Office of Information Technology, and assure 56384
the most effective and highest quality operation of eTech Ohio 56385
networks. All efforts may be aligned with the State's ongoing 56386
efforts to coordinate appropriate network operations through the 56387
Office of Information Technology and through the Third Frontier 56388
Network.56389

       Section 285.60. TELECOMMUNITY56390

       The foregoing appropriation item 935-630, Telecommunity, 56391
shall be distributed by eTech Ohio on a grant basis to eligible 56392
school districts to establish "distance learning" through 56393
interactive video technologies in the school district. Per 56394
agreements with eight Ohio local telephone companies ALLTEL Ohio, 56395
CENTURY Telephone of Ohio, Chillicothe Telephone Company, 56396
Cincinnati Bell Telephone Company, Orwell Telephone Company, 56397
Sprint North Central Telephone, VERIZON, and Western Reserve 56398
Telephone Company, school districts are eligible for funds if they 56399
are within one of the listed telephone company service areas. 56400
Funds to administer the program shall be expended by eTech Ohio up 56401
to the amount specified in agreements with the listed telephone 56402
companies.56403

       Within thirty days after the effective date of this section, 56404
the Director of Budget and Management shall transfer to Fund 4W9 56405
in the State Special Revenue Fund Group any investment earnings 56406
from moneys paid by any telephone company as part of any 56407
settlement agreement between the listed companies and the Public 56408
Utilities Commission in fiscal years 1996 and beyond.56409

       DISTANCE LEARNING56410

       The foregoing appropriation item 935-634, Distance Learning, 56411
shall be distributed by eTech Ohio on a grant basis to eligible 56412
school districts to establish "distance learning" in the school 56413
district. Per the agreement with Ameritech, school districts are 56414
eligible for funds if they are within an Ameritech service area. 56415
Funds to administer the program shall be expended by eTech Ohio up 56416
to the amount specified in the agreement with Ameritech.56417

       Within thirty days after the effective date of this section, 56418
the Director of Budget and Management shall transfer to Fund 4X1 56419
in the State Special Revenue Fund Group any investment earnings 56420
from moneys paid by any telephone company as part of a settlement 56421
agreement between the company and the Public Utilities Commission 56422
in fiscal year 1995.56423

       GATES FOUNDATION GRANTS56424

       The foregoing appropriation item 935-607, Gates Foundation 56425
Grants, shall be used by eTech Ohio to provide professional 56426
development to school district principals, superintendents, and 56427
other administrative staff for the use of education technology.56428

       Section 287.10. ETH OHIO ETHICS COMMISSION56429

General Revenue Fund56430

GRF 146-321 Operating Expenses $ 1,863,028 $ 1,902,275 56431
TOTAL GRF General Revenue Fund $ 1,863,028 $ 1,902,275 56432

General Services Fund Group56433

4M6 146-601 Operating Expenses $ 432,543 $ 432,543 56434
TOTAL GSF General Services 56435
Fund Group $ 432,543 $ 432,543 56436
TOTAL ALL BUDGET FUND GROUPS $ 2,295,571 $ 2,334,818 56437


       Section 289.10. EXP OHIO EXPOSITIONS COMMISSION56439

General Revenue Fund56440

GRF 723-403 Junior Fair Subsidy $ 400,000 $ 400,000 56441
TOTAL GRF General Revenue Fund $ 400,000 $ 400,000 56442

State Special Revenue Fund Group56443

4N2 723-602 Ohio State Fair Harness Racing $ 520,000 $ 520,000 56444
506 723-601 Operating Expenses $ 13,643,315 $ 13,643,315 56445
640 723-603 State Fair Reserve $ 125,337 $ 0 56446
TOTAL SSR State Special Revenue 56447
Fund Group $ 14,288,652 $ 14,163,315 56448
TOTAL ALL BUDGET FUND GROUPS $ 14,688,652 $ 14,563,315 56449

       STATE FAIR RESERVE56450

       The foregoing appropriation item 723-603, State Fair Reserve, 56451
shall serve as a budget reserve fund for the Ohio Expositions 56452
Commission in the event of a significant decline in attendance 56453
because of inclement weather or extraordinary circumstances during 56454
the Ohio State Fair resulting in a loss of revenue. The State Fair 56455
Reserve Fund (Fund 640) may be used by the Ohio Expositions 56456
Commission to pay bills resulting from the Ohio State Fair only if 56457
all the following criteria are met:56458

       (A) Admission revenues for the 2007 Ohio State Fair are less 56459
than $2,025,000 or the admission revenues for the 2008 Ohio State 56460
Fair are less than $2,065,000 because of inclement weather or 56461
extraordinary circumstances. These amounts are ninety per cent of 56462
the projected revenues for each year.56463

       (B) The Ohio Expositions Commission declares a state of 56464
fiscal exigency and requests release of funds from the Director of 56465
Budget and Management.56466

       (C) The Director of Budget and Management releases the funds. 56467
The Director of Budget and Management may approve or disapprove 56468
the request for release of funds, may increase or decrease the 56469
amount of release, and may place conditions as the Director 56470
considers necessary on the use of the released funds. The Director 56471
of Budget and Management may transfer the appropriation from 56472
fiscal year 2008 to fiscal year 2009 as needed.56473

       In the event that the Ohio Expositions Commission faces a 56474
temporary cash shortage that will preclude it from meeting current 56475
obligations, the Commission may request the Director of Budget and 56476
Management to approve use of the State Fair Reserve Fund (Fund 56477
640) to meet those obligations. The request shall include a plan 56478
describing how the Commission will eliminate the cash shortage. If 56479
the Director of Budget and Management approves the expenditures, 56480
the Commission shall reimburse the State Fair Reserve Fund (Fund 56481
640) by the thirtieth day of June of that same fiscal year through 56482
an intrastate transfer voucher. The amount reimbursed is hereby 56483
appropriated.56484

       Section 291.10.  GOV OFFICE OF THE GOVERNOR56485

General Revenue Fund56486

GRF 040-321 Operating Expenses $ 3,754,045 $ 3,754,045 56487
GRF 040-403 Federal Relations $ 435,443 $ 435,443 56488
GRF 040-408 Office of Veterans' Affairs $ 287,000 $ 298,000 56489
TOTAL GRF General Revenue Fund $ 4,476,488 $ 4,487,488 56490

General Services Fund Group56491

5AK 040-607 Federal Relations $ 365,149 $ 365,149 56492
TOTAL GSF General Services Fund Group $ 365,149 $ 365,149 56493

TOTAL ALL BUDGET FUND GROUPS $ 4,841,637 $ 4,852,637 56494

       APPOINTMENT OF LEGAL COUNSEL FOR THE GOVERNOR56495

       The Governor may expend a portion of the foregoing56496
appropriation item 040-321, Operating Expenses, to hire or appoint56497
legal counsel to be used in proceedings involving the Governor in56498
the Governor's official capacity or the Governor's office only,56499
without the approval of the Attorney General, notwithstanding56500
sections 109.02 and 109.07 of the Revised Code.56501

       FEDERAL RELATIONS56502

       A portion of the foregoing appropriation items 040-403, 56503
Federal Relations, and 040-607, Federal Relations, may be used to 56504
support Ohio's membership in national or regional associations.56505

       The Office of the Governor may charge any state agency of the 56506
executive branch using an intrastate transfer voucher such amounts 56507
necessary to defray the costs incurred for the conduct of federal 56508
relations associated with issues that can be attributed to the 56509
agency. Amounts collected shall be deposited to the Office of the 56510
Governor Federal Relations Fund (Fund 5AK).56511

       Section 293.10. DOH DEPARTMENT OF HEALTH56512

General Revenue Fund56513

GRF 440-407 Animal Borne Disease and Prevention $ 2,327,101 $ 2,327,101 56514
GRF 440-412 Cancer Incidence Surveillance System $ 1,002,619 $ 1,002,619 56515
GRF 440-413 Local Health Department Support $ 3,786,794 $ 3,786,794 56516
GRF 440-416 Child and Family Health Services $ 8,947,874 $ 9,047,874 56517
GRF 440-418 Immunizations $ 9,400,615 $ 9,400,615 56518
GRF 440-431 Free Clinic Liability Insurance $ 125,000 $ 125,000 56519
GRF 440-437 Healthy Ohio $ 1,502,618 $ 2,855,553 56520
GRF 440-444 AIDS Prevention and Treatment $ 7,158,127 $ 7,158,127 56521
GRF 440-446 Infectious Disease Prevention $ 200,000 $ 200,000 56522
GRF 440-451 Lab and Public Health Prevention Programs $ 6,085,250 $ 6,085,250 56523
GRF 440-452 Child and Family Health Services Match $ 1,024,017 $ 1,024,017 56524
GRF 440-453 Health Care Quality Assurance $ 10,253,728 $ 10,253,728 56525
GRF 440-454 Local Environmental Health $ 889,752 $ 889,752 56526
GRF 440-459 Help Me Grow $ 10,923,397 $ 14,041,847 56527
GRF 440-505 Medically Handicapped Children $ 10,791,784 $ 10,791,784 56528
GRF 440-507 Targeted Health Care Services Over 21 $ 1,681,023 $ 1,681,023 56529
GRF 440-511 Uncompensated Care and Emergency Medical Assistance $ 0 $ 3,500,000 56530
TOTAL GRF General Revenue Fund $ 76,099,699 $ 84,171,084 56531

General Services Fund Group56532

142 440-646 Agency Health Services $ 3,461,915 $ 3,461,915 56533
211 440-613 Central Support Indirect Costs $ 28,884,707 $ 28,884,707 56534
473 440-622 Lab Operating Expenses $ 4,954,045 $ 4,954,045 56535
683 440-633 Employee Assistance Program $ 1,208,214 $ 1,208,214 56536
698 440-634 Nurse Aide Training $ 170,000 $ 170,000 56537
TOTAL GSF General Services 56538
Fund Group $ 38,678,881 $ 38,678,881 56539

Federal Special Revenue Fund Group56540

320 440-601 Maternal Child Health Block Grant $ 30,666,635 $ 30,666,635 56541
387 440-602 Preventive Health Block Grant $ 7,826,659 $ 7,826,659 56542
389 440-604 Women, Infants, and Children $ 230,077,451 $ 230,077,451 56543
391 440-606 Medicaid/Medicare $ 24,850,959 $ 24,850,959 56544
392 440-618 Federal Public Health Programs $ 136,778,215 $ 136,778,215 56545
TOTAL FED Federal Special Revenue 56546
Fund Group $ 430,199,919 $ 430,199,919 56547

State Special Revenue Fund Group56548

4D6 440-608 Genetics Services $ 3,317,000 $ 3,317,000 56549
4F9 440-610 Sickle Cell Disease Control $ 1,035,344 $ 1,035,344 56550
4G0 440-636 Heirloom Birth Certificate $ 5,000 $ 5,000 56551
4G0 440-637 Birth Certificate Surcharge $ 5,000 $ 5,000 56552
4L3 440-609 Miscellaneous Expenses $ 446,468 $ 446,468 56553
4T4 440-603 Child Highway Safety $ 233,894 $ 233,894 56554
4V6 440-641 Save Our Sight $ 1,767,994 $ 1,767,994 56555
470 440-647 Fee Supported Programs $ 27,946,243 $ 25,905,140 56556
471 440-619 Certificate of Need $ 869,000 $ 898,000 56557
477 440-627 Medically Handicapped Children Audit $ 3,693,016 $ 3,693,016 56558
5B5 440-616 Quality, Monitoring, and Inspection $ 838,479 $ 838,479 56559
5CB 440-640 Poison Control Centers $ 150,000 $ 150,000 56560
5CN 440-645 Choose Life $ 75,000 $ 75,000 56561
5C0 440-615 Alcohol Testing and Permit $ 1,455,405 $ 1,455,405 56562
5D6 440-620 Second Chance Trust $ 1,054,951 $ 1,054,951 56563
5EC 440-650 Health Emergency $ 15,312,500 $ 0 56564
5ED 440-651 Smoke Free Indoor Air $ 800,000 $ 800,000 56565
5G4 440-639 Adoption Services $ 20,000 $ 20,000 56566
5L1 440-623 Nursing Facility Technical Assistance Program $ 664,282 $ 698,595 56567
610 440-626 Radiation Emergency Response $ 850,000 $ 850,000 56568
666 440-607 Medically Handicapped Children - County Assessments $ 14,320,687 $ 14,320,687 56569
TOTAL SSR State Special Revenue 56570
Fund Group $ 74,860,263 $ 57,569,973 56571

Holding Account Redistribution Fund Group56572

R14 440-631 Vital Statistics $ 70,000 $ 70,000 56573
R48 440-625 Refunds, Grants Reconciliation, and Audit Settlements $ 20,000 $ 20,000 56574
TOTAL 090 Holding Account 56575
Redistribution Fund Group $ 90,000 $ 90,000 56576
TOTAL ALL BUDGET FUND GROUPS $ 619,928,762 $ 610,709,857 56577


       Section 293.20. CHILD AND FAMILY HEALTH SERVICES56579

       Of the foregoing appropriation item 440-416, Child and Family56580
Health Services, not more than $1,700,000 in each fiscal year 56581
shall be used for women's health services.56582

       Of the foregoing appropriation item 440-416, Child and Family56583
Health Services, not more than $270,000 shall be used in each 56584
fiscal year for the OPTIONS dental care access program.56585

       Of the foregoing appropriation item 440-416, Child and Family56586
Health Services, not more than $1,900,000 in fiscal year 2008 and 56587
$2,150,000 in fiscal year 2009 shall be used by federally 56588
qualified health centers and federally designated look-alikes to 56589
provide services to uninsured low-income persons.56590

       Of the foregoing appropriation item 440-416, Child and Family 56591
Health Services, not more than $500,000 in each fiscal year shall 56592
be used for abstinence and adoption education. The Director of 56593
Health shall develop guidelines for the establishment of 56594
abstinence and adoption education programs for teenagers with the 56595
purpose of decreasing unplanned pregnancies and abortion. The 56596
guidelines shall be developed pursuant to Title V of the "Social 56597
Security Act," 42 U.S.C. 510, and shall include, but are not 56598
limited to, advertising campaigns and direct training in schools 56599
and other locations.56600

       Of the foregoing appropriation item 440-416, Child and Family 56601
Health Services, $10,000 in each fiscal year shall be allocated to 56602
the Jewish Family Services in Cleveland, $10,000 in each fiscal 56603
year shall be allocated to the Jewish Family Services in 56604
Cincinnati, $10,000 shall be allocated in each fiscal year to the 56605
Jewish Family Services in Columbus, and $10,000 in each fiscal 56606
year shall be allocated to the Wexner Heritage Village in Columbus 56607
for interpreters for health care.56608

       Of the foregoing appropriation item 440-416, Child and Family 56609
Health Services, $10,000 in each fiscal year shall be provided to 56610
the Jewish Family Services in Dayton, $5,000 in each fiscal year 56611
shall be provided to the Jewish Community Center in Akron, $5,000 56612
in each fiscal year shall be provided to the Jewish Community 56613
Center in Sylvania, $2,500 in each fiscal year shall be provided 56614
to the Jewish Community Center in Youngstown, and $2,500 in each 56615
fiscal year shall be provided to the Jewish Community Center in 56616
Canton.56617

       Of the foregoing appropriation item 440-416, Child and Family 56618
Health Services, $16,667 in each fiscal year shall be allocated to 56619
the Yassenoff Jewish Community Center, $16,667 in each fiscal year 56620
shall be allocated to the Jewish Community Center in Cincinnati, 56621
and $16,666 in each fiscal year shall be allocated to the Jewish 56622
Community Center in Cleveland for children's health and nutrition 56623
camp programs.56624

       Of the foregoing appropriation item 440-416, Child and Family 56625
Health Services, $16,666 in each fiscal year shall be allocated to 56626
the Athens Community Center.56627

       Of the foregoing appropriation item 440-416, Child and Family 56628
Health Services, $500,000 in fiscal year 2008 and $300,000 in 56629
fiscal year 2009 shall be used for the establishment of the Autism 56630
Diagnosis Education Pilot Program. Not later than December 31, 56631
2008, the Director of Health shall compile and submit to the 56632
Governor and the General Assembly a written report describing the 56633
action taken under the Autism Diagnosis Education Pilot Program 56634
since the effective date of this section. Not later than December 56635
31, 2009, the Director shall compile and submit to the Governor 56636
and the General Assembly a written report describing the action 56637
taken under the Pilot Program since December 31, 2008.56638

       Section 293.25. COLLEGE PREGNANCY AND PARENTING OFFICES PILOT 56639
PROGRAM56640

        (A) As used in this section, "institution of higher 56641
education" means a public or private university or college in this 56642
state, including a community college or state community college.56643

        (B) The Director of Health shall conduct a pilot program in 56644
fiscal year 2009 for the purpose of awarding grants to up to four 56645
institutions of higher education to establish and operate on a 56646
selected institution's campus an office that provides support to 56647
students who are pregnant or who are the parents or legal 56648
guardians of one or more minors. Planning for the pilot program 56649
shall commence in fiscal year 2008.56650

        (C) An institution of higher education may apply for a grant 56651
by completing and submitting an application form supplied by the 56652
Director. The Director may require the institution to submit 56653
additional information after the Director has reviewed the 56654
application.56655

        (D) Before awarding a grant, the Director shall secure a 56656
written agreement in which the proposed grantee commits to doing 56657
all of the following:56658

        (1) Locating the office described in division (B) of this 56659
section on the campus of the institution.56660

        (2) Assessing the institution's performance in both of the 56661
following areas:56662

        (a) Offering health insurance plans to students that include 56663
coverage for prenatal and postpartum care and riders for the 56664
coverage of additional family members;56665

        (b) Providing services or items that meet the needs of 56666
students who are pregnant or who are the parents or legal 56667
guardians of one or more minors, including family housing, child 56668
care, flexible or alternative academic scheduling, education 56669
concerning responsible parenting and healthy marriages, maternity 56670
and infant clothing, formula and baby food, and baby furniture.56671

        (3) Identifying and establishing programs with public and 56672
private service providers located on campus and in the local 56673
community that are qualified to meet the needs described in 56674
division (D)(2)(b) of this section.56675

        (4) Assisting students in locating and obtaining services 56676
that meet the needs described in division (D)(2)(b) of this 56677
section.56678

        (5) Providing, on the request of an individual student, 56679
referrals for prenatal care and delivery, infant or foster care, 56680
or adoption. The office shall make referrals only to persons or 56681
governmental entities that primarily serve parents, prospective 56682
parents awaiting adoption, pregnant women who plan to parent or 56683
place a child for adoption, or married couples or couples that 56684
plan on marrying in order to provide a supportive environment for 56685
each other and one or more minors.56686

        (6) Providing, by a date determined by the Director, a 56687
written report to the Director that itemizes the office's 56688
expenditures during the fiscal year and meets the format or form 56689
established by the Director under division (E) of this section.56690

        (7) Providing, after the Director's review of the report 56691
described in division (D)(6) of this section, any additional 56692
information requested by the Director.56693

        (E) The Director shall establish a format or form for the 56694
written report that must be provided by an institution under 56695
division (D)(6) of this section. In establishing the format or 56696
form, the Director shall identify specific performance criteria 56697
the institution must address in the report.56698

        (F) The Director may adopt any rules necessary to implement 56699
this section. The rules shall be adopted in accordance with 56700
Chapter 119. of the Revised Code.56701

        (G) Of the foregoing appropriation item 440-416, Child and 56702
Family Health Services, $50,000 in fiscal year 2009 shall be used 56703
to make grants for the pilot program described in this section.56704

       Section 293.30. HEALTHY OHIO56705

       The Department of Health may use appropriation item 440-437, 56706
Healthy Ohio, to complete an inventory of prevention programs so 56707
that it may better target prevention funding, to fund programs to 56708
decrease minority health disparities, and to fund care 56709
coordination models to improve health outcomes for individuals 56710
with catastrophic health conditions.56711

       HIV/AIDS PREVENTION/TREATMENT56712

       Of the foregoing appropriation item 440-444, AIDS Prevention56713
and Treatment, not more than $6.7 million in each fiscal year56714
shall be used to assist persons with HIV/AIDS in acquiring56715
HIV-related medications.56716

       INFECTIOUS DISEASE PREVENTION56717

       The foregoing appropriation item 440-446, Infectious Disease 56718
Prevention, shall be used for the purchase of drugs for sexually 56719
transmitted diseases.56720

       HELP ME GROW56721

       The foregoing appropriation item 440-459, Help Me Grow, shall56722
be used by the Department of Health to distribute subsidies to56723
counties to implement the Help Me Grow Program. Appropriation item 56724
440-459, Help Me Grow, may be used in conjunction with Temporary 56725
Assistance for Needy Families from the Department of Job and 56726
Family Services, Early Intervention funding from the Department of 56727
Mental Retardation and Developmental Disabilities, and in 56728
conjunction with other early childhood funds and services to 56729
promote the optimal development of young children. Local contracts 56730
shall be developed between local departments of job and family 56731
services and family and children first councils for the56732
administration of TANF funding for the Help Me Grow Program. The56733
Department of Health shall enter into an interagency agreement56734
with the Department of Education, Department of Mental Retardation 56735
and Developmental Disabilities, Department of Job and Family 56736
Services, and Department of Mental Health to ensure that all early 56737
childhood programs and initiatives are coordinated and school 56738
linked.56739

       TARGETED HEALTH CARE SERVICES OVER 2156740

       In each fiscal year, of the foregoing appropriation item 56741
440-507, Targeted Health Care Services Over 21, $731,023 shall be 56742
used to administer the cystic fibrosis program and implement the 56743
Hemophilia Insurance Premium Payment Program.56744

       Of the foregoing appropriation item 440-507, Targeted Health 56745
Care Services Over 21, $900,000 in each fiscal year shall be used 56746
to provide essential medications and to pay the copayments for 56747
drugs approved by the Department of Health and covered by Medicare 56748
Part D that are dispensed to Bureau for Children with Medical 56749
Handicaps (BCMH) participants for the cystic fibrosis program and 56750
to cover up to 18 in-patient hospital days for participants in the 56751
cystic fibrosis program.56752

       UNCOMPENSATED CARE AND EMERGENCY MEDICAL56753

       The foregoing appropriation item 440-511, Uncompensated Care 56754
and Emergency Medical Assistance, shall be used to fund programs 56755
that provide health care without ability to pay. This is not an 56756
entitlement program and services are offered only to the extent 56757
that funding is available.56758

       MATERNAL CHILD HEALTH BLOCK GRANT56759

        Of the foregoing appropriation item 440-601, Maternal Child 56760
Health Block Grant (Fund 320), $2,091,299 shall be used in each 56761
fiscal year for the purposes of abstinence and adoption education. 56762
The Director of Health shall develop guidelines for the 56763
establishment of abstinence and adoption education programs for 56764
teenagers with the purpose of decreasing unplanned pregnancies and 56765
abortion. The guidelines shall be developed under Title V of the 56766
"Social Security Act," 42 U.S.C. 510, and shall include, but are 56767
not limited to, advertising campaigns and direct training in 56768
schools and other locations.56769

       GENETICS SERVICES56770

       The foregoing appropriation item 440-608, Genetics Services56771
(Fund 4D6), shall be used by the Department of Health to56772
administer programs authorized by sections 3701.501 and 3701.50256773
of the Revised Code. None of these funds shall be used to counsel56774
or refer for abortion, except in the case of a medical emergency.56775

       MEDICALLY HANDICAPPED CHILDREN AUDIT56776

       The Medically Handicapped Children Audit Fund (Fund 477)56777
shall receive revenue from audits of hospitals and recoveries from56778
third-party payers. Moneys may be expended for payment of audit56779
settlements and for costs directly related to obtaining recoveries56780
from third-party payers and for encouraging Medically Handicapped56781
Children's Program recipients to apply for third-party benefits.56782
Moneys also may be expended for payments for diagnostic and56783
treatment services on behalf of medically handicapped children, as56784
defined in division (A) of section 3701.022 of the Revised Code,56785
and Ohio residents who are twenty-one or more years of age and who56786
are suffering from cystic fibrosis or hemophilia. Moneys may also 56787
be expended for administrative expenses incurred in operating the 56788
Medically Handicapped Children's Program.56789

       TRANSFER FROM STATE FIRE MARSHAL'S FUND (FUND 546) TO THE 56790
POISON CONTROL FUND (FUND 5CB) IN THE DEPARTMENT OF HEALTH56791

        Notwithstanding section 3737.71 of the Revised Code, on July 56792
1, 2007, or as soon as possible thereafter, the Director of Budget 56793
and Management shall transfer $150,000 cash from the State Fire 56794
Marshal's Fund (Fund 546) in the Department of Commerce to the 56795
Poison Control Fund (Fund 5CB) in the Department of Health, which 56796
is hereby created. Notwithstanding section 3737.71 of the Revised 56797
Code, on July 1, 2008, or as soon as possible thereafter, the 56798
Director of Budget and Management shall transfer $150,000 cash 56799
from the State Fire Marshal's Fund (Fund 546) in the Department of 56800
Commerce to the Poison Control Fund (Fund 5CB) in the Department 56801
of Health.56802

        POISON CONTROL CENTERS56803

        Of the foregoing appropriation item 440-640, Poison Control 56804
Centers, in each fiscal year, the poison control centers in the 56805
municipal corporations of Cleveland, Cincinnati, and Columbus 56806
shall each receive an allocation of $50,000.56807

       CASH TRANSFER FROM LIQUOR CONTROL FUND TO ALCOHOL TESTING AND56808
PERMIT FUND56809

       The Director of Budget and Management, pursuant to a plan56810
submitted by the Department of Health, or as otherwise determined56811
by the Director of Budget and Management, shall set a schedule to56812
transfer cash from the Liquor Control Fund (Fund 043) to the56813
Alcohol Testing and Permit Fund (Fund 5C0) to meet the operating56814
needs of the Alcohol Testing and Permit program.56815

       The Director of Budget and Management shall transfer to the56816
Alcohol Testing and Permit Fund (Fund 5C0) from the Liquor Control56817
Fund (Fund 043) created in section 4301.12 of the Revised Code56818
such amounts at such times as determined by the transfer schedule.56819

       MEDICALLY HANDICAPPED CHILDREN - COUNTY ASSESSMENTS56820

       The foregoing appropriation item 440-607, Medically56821
Handicapped Children - County Assessments (Fund 666), shall be56822
used to make payments under division (E) of section 3701.023 of 56823
the Revised Code.56824

       Section 293.40. NURSING FACILITY TECHNICAL ASSISTANCE PROGRAM56825

       The Director of Budget and Management shall transfer, on July 56826
1, 2007, or as soon as possible thereafter, cash from Fund 4E3, 56827
Resident Protection Fund, in the Ohio Department of Job and Family 56828
Services, to Fund 5L1, Nursing Facility Technical Assistance 56829
Program Fund, in the Ohio Department of Health, to be used under 56830
section 3721.026 of the Revised Code. The transfers shall equal 56831
$410,111 in fiscal year 2008 and $698,595 in fiscal year 2009.56832

       CASH TRANSFER FROM FEDERAL PUBLIC HEALTH PROGRAMS FUND TO 56833
AGENCY HEALTH SERVICES FUND56834

       As soon as possible on or after July 1, 2007, the Director of 56835
Health shall certify to the Director of Budget and Management the 56836
amount of cash to be transferred from the Federal Public Health 56837
Programs Fund (Fund 392) to the Agency Health Services Fund (Fund 56838
142) to meet the operating needs of the Vital Statistics Program. 56839
The Director of Budget and Management shall transfer the amount 56840
certified.56841

       Section 295.10. HEF HIGHER EDUCATIONAL FACILITY COMMISSION56842

Agency Fund Group56843

461 372-601 Operating Expenses $ 16,819 $ 16,819 56844
TOTAL AGY Agency Fund Group $ 16,819 $ 16,819 56845
TOTAL ALL BUDGET FUND GROUPS $ 16,819 $ 16,819 56846


       Section 297.10. SPA COMMISSION ON HISPANIC/LATINO AFFAIRS56848

General Revenue Fund56849

GRF 148-100 Personal Services $ 160,121 $ 167,156 56850
GRF 148-200 Maintenance $ 40,000 $ 40,000 56851
GRF 148-402 Community Projects $ 500,000 $ 500,000 56852
TOTAL GRF General Revenue Fund $ 700,121 $ 707,156 56853

General Services Fund Group56854

601 148-602 Gifts and Miscellaneous $ 20,000 $ 20,000 56855
TOTAL GSF General Services 56856
Fund Group $ 20,000 $ 20,000 56857
TOTAL ALL BUDGET FUND GROUPS $ 720,121 $ 727,156 56858


       Section 299.10. OHS OHIO HISTORICAL SOCIETY56860

General Revenue Fund56861

GRF 360-501 Operating Subsidy $ 3,349,244 $ 3,349,252 56862
GRF 360-502 Site and Museum Operations $ 8,501,781 $ 8,501,788 56863
GRF 360-504 Ohio Preservation Office $ 417,516 $ 415,381 56864
GRF 360-505 National Afro-American Museum $ 754,884 $ 754,884 56865
GRF 360-506 Hayes Presidential Center $ 509,231 $ 509,231 56866
GRF 360-508 State Historical Grants $ 75,000 $ 75,000 56867
TOTAL GRF General Revenue Fund $ 13,607,656 $ 13,605,536 56868
TOTAL ALL BUDGET FUND GROUPS $ 13,607,656 $ 13,605,536 56869

       SUBSIDY APPROPRIATION56870

       Upon approval by the Director of Budget and Management, the56871
foregoing appropriation items shall be released to the Ohio56872
Historical Society in quarterly amounts that in total do not56873
exceed the annual appropriations. The funds and fiscal records of56874
the society for fiscal years 2008 and 2009 shall be examined by56875
independent certified public accountants approved by the Auditor56876
of State, and a copy of the audited financial statements shall be56877
filed with the Office of Budget and Management. The society shall56878
prepare and submit to the Office of Budget and Management the56879
following:56880

       (A) An estimated operating budget for each fiscal year of the 56881
biennium. The operating budget shall be submitted at or near the 56882
beginning of each calendar year.56883

       (B) Financial reports, indicating actual receipts and56884
expenditures for the fiscal year to date. These reports shall be56885
filed at least semiannually during the fiscal biennium.56886

       The foregoing appropriations shall be considered to be the56887
contractual consideration provided by the state to support the56888
state's offer to contract with the Ohio Historical Society under56889
section 149.30 of the Revised Code.56890

       HAYES PRESIDENTIAL CENTER56891

       If a United States government agency, including, but not56892
limited to, the National Park Service, chooses to take over the56893
operations or maintenance of the Hayes Presidential Center, in56894
whole or in part, the Ohio Historical Society shall make56895
arrangements with the National Park Service or other United States56896
government agency for the efficient transfer of operations or56897
maintenance.56898

       HISTORICAL GRANTS56899

        Of the foregoing appropriation item 360-508, State Historical 56900
Grants, $75,000 in each fiscal year shall be distributed to the 56901
Center for Holocaust and Humanity Education located at the Hebrew 56902
Union College-Jewish Institute of Religion in Cincinnati.56903

       PROCESSING FEES 56904

       The Ohio Historical Society shall not charge or retain an 56905
administrative, service, or processing fee for distributing money 56906
that the General Assembly appropriates to the Society for grants 56907
or subsidies that the Society provides to other entities for their 56908
site-related programs.56909

       Section 301.10.  REP OHIO HOUSE OF REPRESENTATIVES56910

General Revenue Fund56911

GRF 025-321 Operating Expenses $ 20,574,568 $ 20,574,568 56912
TOTAL GRF General Revenue Fund $ 20,574,568 $ 20,574,568 56913

General Services Fund Group56914

103 025-601 House Reimbursement $ 1,433,664 $ 1,433,664 56915
4A4 025-602 Miscellaneous Sales $ 37,849 $ 37,849 56916
TOTAL GSF General Services 56917
Fund Group $ 1,471,513 $ 1,471,513 56918
TOTAL ALL BUDGET FUND GROUPS $ 22,046,081 $ 22,046,081 56919

        OPERATING EXPENSES56920

       On July 1, 2007, or as soon as possible thereafter, the Chief 56921
Administrative Officer of the House of Representatives shall 56922
certify to the Director of Budget and Management the total fiscal 56923
year 2007 unencumbered appropriations in appropriation item 56924
025-321, Operating Expenses. The Chief Administrative Officer may 56925
direct the Director of Budget and Management to transfer an amount 56926
not to exceed the total fiscal year 2007 unencumbered 56927
appropriations to fiscal year 2008 for use within appropriation 56928
item 025-321, Operating Expenses. Additional appropriation 56929
authority equal to the amount certified by the Chief 56930
Administrative Officer is hereby appropriated to appropriation 56931
item 025-321, Operating Expenses, in fiscal year 2008.56932

        On July 1, 2008, or as soon as possible thereafter, the Chief 56933
Administrative Officer of the House of Representatives shall 56934
certify to the Director of Budget and Management the total fiscal 56935
year 2008 unencumbered appropriations in appropriation item 56936
025-321, Operating Expenses. The Chief Administrative Officer may 56937
direct the Director of Budget and Management to transfer an amount 56938
not to exceed the total fiscal year 2008 unencumbered 56939
appropriations to fiscal year 2009 for use within appropriation 56940
item 025-321, Operating Expenses. Additional appropriation 56941
authority equal to the amount certified by the Chief 56942
Administrative Officer is hereby appropriated to appropriation 56943
item 025-321, Operating Expenses, in fiscal year 2009.56944

       Section 303.10. HFA OHIO HOUSING FINANCE AGENCY56945

Agency Fund Group56946

5AZ 997-601 Housing Finance Agency Personal Services $ 9,750,953 $ 10,237,491 56947
TOTAL AGY Agency Fund Group $ 9,750,953 $ 10,237,491 56948
TOTAL ALL BUDGET FUND GROUPS $ 9,750,953 $ 10,237,491 56949


       Section 305.10. IGO OFFICE OF THE INSPECTOR GENERAL56951

General Revenue Fund56952

GRF 965-321 Operating Expenses $ 1,367,372 $ 1,437,901 56953
TOTAL GRF General Revenue Fund $ 1,367,372 $ 1,437,901 56954

General Services Fund Group56955

4Z3 965-602 Special Investigations $ 375,000 $ 375,000 56956
TOTAL GSF General Services Fund Group $ 375,000 $ 375,000 56957
TOTAL ALL BUDGET FUND GROUPS $ 1,742,372 $ 1,812,901 56958


       Section 307.10.  INS DEPARTMENT OF INSURANCE56960

Federal Special Revenue Fund Group56961

3U5 820-602 OSHIIP Operating Grant $ 1,100,000 $ 1,100,000 56962
TOTAL FED Federal Special 56963
Revenue Fund Group $ 1,100,000 $ 1,100,000 56964

State Special Revenue Fund Group56965

554 820-601 Operating Expenses - OSHIIP $ 553,750 $ 569,269 56966
554 820-606 Operating Expenses $ 23,350,236 $ 23,802,797 56967
555 820-605 Examination $ 7,639,581 $ 7,868,768 56968
TOTAL SSR State Special Revenue 56969
Fund Group $ 31,543,567 $ 32,240,834 56970
TOTAL ALL BUDGET FUND GROUPS $ 32,643,567 $ 33,340,834 56971

       MARKET CONDUCT EXAMINATION56972

       When conducting a market conduct examination of any insurer56973
doing business in this state, the Superintendent of Insurance may56974
assess the costs of the examination against the insurer. The56975
superintendent may enter into consent agreements to impose56976
administrative assessments or fines for conduct discovered that56977
may be violations of statutes or rules administered by the56978
superintendent. All costs, assessments, or fines collected shall56979
be deposited to the credit of the Department of Insurance56980
Operating Fund (Fund 554).56981

       EXAMINATIONS OF DOMESTIC FRATERNAL BENEFIT SOCIETIES56982

       The Director of Budget and Management, at the request of the 56983
Superintendent of Insurance, may transfer funds from the56984
Department of Insurance Operating Fund (Fund 554), established by56985
section 3901.021 of the Revised Code, to the Superintendent's56986
Examination Fund (Fund 555), established by section 3901.071 of56987
the Revised Code, only for expenses incurred in examining domestic56988
fraternal benefit societies as required by section 3921.28 of the56989
Revised Code.56990

       TRANSFER FROM FUND 554 TO GENERAL REVENUE FUND56991

        Not later than the thirty-first day of July each fiscal year, 56992
the Director of Budget and Management shall transfer $5,000,000 56993
from the Department of Insurance Operating Fund to the General 56994
Revenue Fund.56995

       Section 309.10. JFS DEPARTMENT OF JOB AND FAMILY SERVICES56996

General Revenue Fund56997

GRF 600-321 Support Services 56998
State $ 50,710,978 $ 52,496,413 56999
Federal $ 10,460,286 $ 11,290,237 57000
Support Services Total $ 61,171,264 $ 63,786,650 57001
GRF 600-410 TANF State $ 272,619,061 $ 272,619,061 57002
GRF 600-413 Child Care Match/Maintenance of Effort $ 84,120,596 $ 84,120,596 57003
GRF 600-416 Computer Projects 57004
State $ 115,701,181 $ 116,419,033 57005
Federal $ 21,548,144 $ 21,192,117 57006
Computer Projects Total $ 137,249,325 $ 137,611,150 57007
GRF 600-420 Child Support Administration $ 8,541,446 $ 10,641,446 57008
GRF 600-421 Office of Family Stability $ 4,614,932 $ 4,614,932 57009
GRF 600-423 Office of Children and Families $ 5,650,000 $ 5,900,000 57010
GRF 600-425 Office of Ohio Health Plans 57011
State $ 22,500,000 $ 22,500,000 57012
Federal $ 23,324,848 $ 23,418,368 57013
Office of Ohio Health Plans Total $ 45,824,848 $ 45,918,368 57014
GRF 600-502 Administration - Local $ 34,014,103 $ 34,014,103 57015
GRF 600-511 Disability Financial Assistance $ 24,028,480 $ 25,335,908 57016
GRF 600-512 Non-TANF Disaster Assistance $ 1,000,000 $ 1,000,000 57017
GRF 600-521 Entitlement Administration - Local $ 130,000,000 $ 130,000,000 57018
GRF 600-523 Children and Families Services $ 78,515,135 $ 78,515,135 57019
GRF 600-525 Health Care/Medicaid 57020
State $ 3,428,852,719 $ 3,558,124,242 57021
Federal $ 5,205,558,695 $ 5,707,943,410 57022
Health Care Total $ 8,634,411,414 $ 9,266,067,652 57023
GRF 600-526 Medicare Part D $ 254,397,401 $ 271,854,640 57024
GRF 600-528 Adoption Services 57025
State $ 40,043,266 $ 43,978,301 57026
Federal $ 44,081,243 $ 49,196,065 57027
Adoption Services Total $ 84,124,509 $ 93,174,366 57028
TOTAL GRF General Revenue Fund 57029
State $ 5,304,973,216 $ 5,813,040,197 57030
Federal $ 5,304,973,216 $ 5,813,040,197 57031
GRF Total $ 8,962,781,360 $ 9,606,558,186 57032

General Services Fund Group57033

4A8 600-658 Child Support Collections $ 26,680,794 $ 26,680,794 57034
4R4 600-665 BCII Services/Fees $ 36,974 $ 36,974 57035
5BG 600-653 Managed Care Assessment $ 210,655,034 $ 222,667,304 57036
5C9 600-671 Medicaid Program Support $ 80,120,048 $ 80,120,048 57037
5DL 600-639 Medicaid Revenue and Collections $ 51,966,785 $ 56,296,844 57038
5N1 600-677 County Technologies $ 1,000,000 $ 1,000,000 57039
5P5 600-692 Health Care Services $ 93,000,000 $ 62,000,000 57040
613 600-645 Training Activities $ 135,000 $ 135,000 57041
TOTAL GSF General Services 57042
Fund Group $ 463,594,635 $ 448,936,964 57043

Federal Special Revenue Fund Group57044

3AW 600-675 Faith Based Initiatives $ 1,000,000 $ 1,000,000 57045
3A2 600-641 Emergency Food Distribution $ 2,900,000 $ 3,500,000 57046
3D3 600-648 Children's Trust Fund Federal $ 2,040,524 $ 2,040,524 57047
3F0 600-623 Health Care Federal $ 1,209,188,383 $ 1,211,196,561 57048
3F0 600-650 Hospital Care Assurance Match $ 343,239,047 $ 343,239,047 57049
3G5 600-655 Interagency Reimbursement $ 1,469,763,073 $ 1,513,855,965 57050
3H7 600-617 Child Care Federal $ 207,269,463 $ 200,167,593 57051
3N0 600-628 IV-E Foster Care Maintenance $ 153,963,142 $ 153,963,142 57052
3S5 600-622 Child Support Projects $ 534,050 $ 534,050 57053
3V0 600-688 Workforce Investment Act $ 232,568,453 $ 233,082,144 57054
3V4 600-678 Federal Unemployment Programs $ 147,411,858 $ 152,843,414 57055
3V4 600-679 Unemployment Compensation Review Commission - Federal $ 3,092,890 $ 3,191,862 57056
3V6 600-689 TANF Block Grant $ 1,037,739,200 $ 1,085,861,099 57057
3W3 600-659 TANF/Title XX Transfer $ 9,782,101 $ 6,200,000 57058
327 600-606 Child Welfare $ 48,514,502 $ 47,947,309 57059
331 600-686 Federal Operating $ 53,963,318 $ 56,263,225 57060
384 600-610 Food Stamps and State Administration $ 160,237,060 $ 153,147,118 57061
385 600-614 Refugee Services $ 10,196,547 $ 11,057,826 57062
395 600-616 Special Activities/Child and Family Services $ 5,723,131 $ 5,717,151 57063
396 600-620 Social Services Block Grant $ 114,479,464 $ 114,474,085 57064
396 600-651 Second Harvest Food Banks $ 5,500,000 $ 5,500,000 57065
397 600-626 Child Support $ 303,661,307 $ 303,538,962 57066
398 600-627 Adoption Maintenance/ Administration $ 318,172,168 $ 317,483,676 57067
TOTAL FED Federal Special Revenue 57068
Fund Group $ 5,840,939,681 $ 5,925,804,753 57069

State Special Revenue Fund Group57070

198 600-647 Children's Trust Fund $ 6,788,522 $ 6,788,522 57071
4A9 600-607 Unemployment Compensation Administration Fund $ 12,273,062 $ 12,188,996 57072
4A9 600-694 Unemployment Compensation Review Commission $ 1,726,938 $ 1,811,004 57073
4E3 600-605 Nursing Home Assessments $ 4,759,914 $ 4,759,914 57074
4E7 600-604 Child and Family Services Collections $ 300,000 $ 300,000 57075
4J5 600-613 Nursing Facility Bed Assessments $ 34,613,984 $ 34,613,984 57076
4J5 600-618 Residential State Supplement Payments $ 15,700,000 $ 15,700,000 57077
4K1 600-621 ICF/MR Bed Assessments $ 19,332,437 $ 19,332,437 57078
4R3 600-687 Banking Fees $ 800,000 $ 800,000 57079
4Z1 600-625 HealthCare Compliance $ 10,000,000 $ 10,000,000 57080
5DB 600-637 Military Injury Grants $ 2,000,000 $ 2,000,000 57081
5ES 600-630 Food Assistance $ 500,000 $ 500,000 57082
5F2 600-667 Building Consolidation $ 250,000 $ 250,000 57083
5F3 600-668 Building Consolidation $ 1,000,000 $ 1,000,000 57084
5Q9 600-619 Supplemental Inpatient Hospital Payments $ 56,125,998 $ 56,125,998 57085
5R2 600-608 Medicaid-Nursing Facilities $ 175,000,000 $ 175,000,000 57086
5S3 600-629 MR/DD Medicaid Administration and Oversight $ 1,620,960 $ 1,620,960 57087
5U3 600-654 Health Care Services Administration $ 9,867,284 $ 12,000,349 57088
5U6 600-663 Children and Family Support $ 4,928,718 $ 4,928,718 57089
5Z9 600-672 TANF Quality Control Reinvestments $ 520,971 $ 546,254 57090
651 600-649 Hospital Care Assurance Program Fund $ 231,893,404 $ 231,893,404 57091
TOTAL SSR State Special Revenue 57092
Fund Group $ 590,002,192 $ 592,160,540 57093

Agency Fund Group57094

192 600-646 Support Intercept - Federal $ 110,000,000 $ 110,000,000 57095
5B6 600-601 Food Stamp Intercept $ 2,000,000 $ 2,000,000 57096
583 600-642 Support Intercept - State $ 16,000,000 $ 16,000,000 57097
TOTAL AGY Agency Fund Group $ 128,000,000 $ 128,000,000 57098

Holding Account Redistribution Fund Group57099

R12 600-643 Refunds and Audit Settlements $ 3,600,000 $ 3,600,000 57100
R13 600-644 Forgery Collections $ 10,000 $ 10,000 57101
TOTAL 090 Holding Account Redistribution Fund Group $ 3,610,000 $ 3,610,000 57102
TOTAL ALL BUDGET FUND GROUPS $ 16,886,429,022 $ 17,623,686,264 57103


       Section 309.20. SUPPORT SERVICES57105

       Section 309.20.10. GOVERNOR'S OFFICE OF FAITH-BASED AND 57106
COMMUNITY INITIATIVES57107

       Of the foregoing appropriation item 600-321, Support 57108
Services, up to $312,500 per fiscal year may be used to support 57109
the activities of the Governor's Office of Faith-Based and 57110
Community Initiatives.57111

       Section 309.20.30. AGENCY FUND GROUP57112

       The Agency Fund Group and Holding Account Redistribution Fund 57113
Group shall be used to hold revenues until the appropriate fund is 57114
determined or until the revenues are directed to the appropriate57115
governmental agency other than the Department of Job and Family 57116
Services. If it is determined that additional appropriation 57117
authority is necessary, such amounts are hereby appropriated.57118

       Section 309.30. MEDICAID57119

       Section 309.30.10. HEALTH CARE/MEDICAID57120

       The foregoing appropriation item 600-525, Health 57121
Care/Medicaid, shall not be limited by section 131.33 of the 57122
Revised Code.57123

       Section 309.30.13. CHILDREN'S HOSPITALS57124

        The Department of Job and Family Services shall submit to the 57125
United States Secretary of Health and Human Services an amendment 57126
to the State Medicaid Plan for the purpose of requesting federal 57127
approval to create a program under which the Department makes 57128
supplemental Medicaid payments to children's hospitals for 57129
inpatient services based on federal upper payment limits for 57130
children's hospitals. On receipt of federal approval, the 57131
Department shall implement the program. Under the program, the 57132
Department shall pay children's hospitals the federally allowable 57133
supplemental payment for hospital discharges qualifying for the 57134
program and occurring in fiscal year 2008 and fiscal year 2009.57135

        Of the foregoing appropriation item, 600-525, Health 57136
Care/Medicaid, up to $6 million (state share) in each fiscal year 57137
plus the corresponding federal match, if available, shall be used 57138
by the Department to pay the expenses of the program created under 57139
this section.57140

       Section 309.30.16. MEDICAID RESERVE FUND57141

        The Medicaid Reserve Fund is hereby created in the state 57142
treasury.57143

        Not later than July 31, 2007, or as soon as possible 57144
thereafter, the Director of Budget and Management shall transfer, 57145
for fiscal year 2008, $100,000,000 in cash from the General 57146
Revenue Fund to the Medicaid Reserve Fund.57147

        If at any time during fiscal year 2008 the Director of Budget 57148
and Management determines that additional appropriations are 57149
needed in appropriation item 600-525, Health Care/Medicaid, to 57150
fund the Medicaid Program, the Director of Budget and Management 57151
may submit a request to the Controlling Board to transfer cash 57152
from the Medicaid Reserve Fund. The request shall state the 57153
reasons for the transfer and the additional amounts being 57154
requested. The request shall be submitted at a regularly scheduled 57155
meeting of the Controlling Board. If the Controlling Board 57156
approves the transfer, the Director of Budget and Management shall 57157
transfer the approved amount of cash from the Medicaid Reserve 57158
Fund to the General Revenue Fund and increase the state share of 57159
appropriations in appropriation item 600-525, Health 57160
Care/Medicaid, and adjust the federal share accordingly. Any such 57161
transfers and adjustments are hereby appropriated.57162

        At the end of fiscal year 2008, the Director of Budget and 57163
Management shall transfer from the Medicaid Reserve Fund all the 57164
cash balance, including any interest earnings, in excess of any 57165
transfers approved by the Controlling Board to the credit of the 57166
General Revenue Fund. The Director of Budget and Management shall 57167
make transfers to the Budget Stabilization Fund or the Income Tax 57168
Reduction Fund in accordance with section 131.44 of the Revised 57169
Code.57170

        Not later than July 31, 2008, or as soon as possible 57171
thereafter, the Director of Budget and Management shall transfer, 57172
for fiscal year 2009, $185,000,000 in cash from the General 57173
Revenue Fund to the Medicaid Reserve Fund.57174

        If at any time during fiscal year 2009 the Director of Budget 57175
and Management determines that additional appropriations are 57176
needed in appropriation item 600-525, Health Care/Medicaid, to 57177
fund the Medicaid Program, the Director of Budget and Management 57178
may submit a request to the Controlling Board to transfer cash 57179
from the Medicaid Reserve Fund. The request shall state the 57180
reasons for the transfer and the additional amounts being 57181
requested. The request shall be submitted at a regularly scheduled 57182
meeting of the Controlling Board. If the Controlling Board 57183
approves the transfer, the Director of Budget and Management shall 57184
transfer the approved amount of cash from the Medicaid Reserve 57185
Fund to the General Revenue Fund and increase the state share of 57186
appropriations in appropriation item 600-525, Health 57187
Care/Medicaid, and adjust the federal share accordingly. Any such 57188
transfers and adjustments are hereby appropriated.57189

        At the end of fiscal year 2009, the Director of Budget and 57190
Management shall transfer from the Medicaid Reserve Fund all the 57191
cash balance, including any interest earnings, in excess of any 57192
transfers approved by the Controlling Board to the credit of the 57193
General Revenue Fund. The Director of Budget and Management shall 57194
make transfers to the Budget Stabilization Fund and the Income Tax 57195
Reduction Fund in accordance with section 131.44 of the Revised 57196
Code.57197

       Section 309.30.20. FISCAL YEAR 2008 MEDICAID REIMBURSEMENT 57198
SYSTEM FOR NURSING FACILITIES57199

       (A) As used in this section:57200

       "Franchise permit fee," "Medicaid days," "nursing facility," 57201
and "provider" have the same meanings as in section 5111.20 of the 57202
Revised Code.57203

       "Nursing facility services" means nursing facility services 57204
covered by the Medicaid program that a nursing facility provides 57205
to a resident of the nursing facility who is a Medicaid recipient 57206
eligible for Medicaid-covered nursing facility services.57207

       (B) Except as otherwise provided by this section, the 57208
provider of a nursing facility that has a valid Medicaid provider 57209
agreement on June 30, 2007, and a valid Medicaid provider 57210
agreement during fiscal year 2008 shall be paid, for nursing 57211
facility services the nursing facility provides during fiscal year 57212
2008, the rate calculated for the nursing facility under sections 57213
5111.20 to 5111.33 of the Revised Code with the following 57214
adjustments:57215

       (1) The cost per case mix-unit calculated under section 57216
5111.231 of the Revised Code, the rate for ancillary and support 57217
costs calculated under section 5111.24 of the Revised Code, the 57218
rate for capital costs calculated under section 5111.25 of the 57219
Revised Code, and the rate for tax costs calculated under section 57220
5111.242 of the Revised Code shall each be adjusted as follows:57221

       (a) Increase the cost and rates so calculated by two per 57222
cent;57223

       (b) Increase the cost and rates determined under division 57224
(B)(1)(a) of this section by two per cent;57225

       (c) Increase the cost and rates determined under division 57226
(B)(1)(b) of this section by one per cent.57227

       (2) The mean payment used in the calculation of the quality 57228
incentive payment made under section 5111.244 of the Revised Code 57229
shall be, weighted by Medicaid days, three dollars and three cents 57230
per Medicaid day.57231

       (C) If the rate determined for a nursing facility under 57232
division (B) of this section for nursing facility services 57233
provided during fiscal year 2008 is more than one hundred one and 57234
seventy-five one-hundredths per cent of the rate the provider is 57235
paid for nursing facility services the nursing facility provides 57236
on June 30, 2007, the Department of Job and Family Services shall 57237
reduce the nursing facility's fiscal year 2008 rate so that the 57238
rate is not more than one hundred one and seventy-five hundredths 57239
per cent of the nursing facility's rate for June 30, 2007. If the 57240
rate determined for a nursing facility under division (B) of this 57241
section for nursing facility services provided during fiscal year 57242
2008 is less than ninety-eight and twenty-five hundredths per cent 57243
of the rate the provider is paid for nursing facility services the 57244
nursing facility provides on June 30, 2007, the Department shall 57245
increase the nursing facility's fiscal year 2008 rate so that the 57246
rate is not less than ninety-eight and twenty-five hundredths per 57247
cent of the nursing facility's rate for June 30, 2007.57248

       (D) If the United States Centers for Medicare and Medicaid 57249
Services requires that the franchise permit fee be reduced or 57250
eliminated, the Department of Job and Family Services shall reduce 57251
the amount it pays providers of nursing facility services under 57252
this section as necessary to reflect the loss to the state of the 57253
revenue and federal financial participation generated from the 57254
franchise permit fee.57255

       (E) The Department of Job and Family Services shall follow 57256
this section in determining the rate to be paid to the provider of 57257
a nursing facility that has a valid Medicaid provider agreement on 57258
June 30, 2007, and a valid Medicaid provider agreement during 57259
fiscal year 2008 notwithstanding anything to the contrary in 57260
sections 5111.20 to 5111.33 of the Revised Code.57261

       Section 309.30.30.  FISCAL YEAR 2009 MEDICAID REIMBURSEMENT 57262
SYSTEM FOR NURSING FACILITIES57263

       (A) As used in this section:57264

       "Franchise permit fee," "Medicaid days," "nursing facility," 57265
and "provider" have the same meanings as in section 5111.20 of the 57266
Revised Code.57267

       "Nursing facility services" means nursing facility services 57268
covered by the Medicaid program that a nursing facility provides 57269
to a resident of the nursing facility who is a Medicaid recipient 57270
eligible for Medicaid-covered nursing facility services.57271

       (B) Except as otherwise provided by this section, the 57272
provider of a nursing facility that has a valid Medicaid provider 57273
agreement on June 30, 2008, and a valid Medicaid provider 57274
agreement during fiscal year 2009 shall be paid, for nursing 57275
facility services the nursing facility provides during fiscal year 57276
2009, the rate calculated for the nursing facility under sections 57277
5111.20 to 5111.33 of the Revised Code with the following 57278
adjustments:57279

       (1) The cost per case mix-unit calculated under section 57280
5111.231 of the Revised Code, the rate for ancillary and support 57281
costs calculated under section 5111.24 of the Revised Code, the 57282
rate for capital costs calculated under section 5111.25 of the 57283
Revised Code, and the rate for tax costs calculated under section 57284
5111.242 of the Revised Code shall each be adjusted as follows:57285

       (a) Increase the cost and rates so calculated by two per 57286
cent;57287

       (b) Increase the cost and rates determined under division 57288
(B)(1)(a) of this section by two per cent;57289

       (c) Increase the cost and rates determined under division 57290
(B)(1)(b) of this section by one per cent;57291

       (d) Increase the cost and rates determined under division 57292
(B)(1)(c) of this section by one half of a per cent.57293

       (2) The mean payment used in the calculation of the quality 57294
incentive payment made under section 5111.244 of the Revised Code 57295
shall be, weighted by Medicaid days, three dollars and five cents 57296
per Medicaid day.57297

       (C) If the rate determined for a nursing facility under 57298
division (B) of this section for nursing facility services 57299
provided during fiscal year 2009 is more than one hundred one and 57300
one-half per cent of the rate the provider is paid for nursing 57301
facility services the nursing facility provides on June 30, 2008, 57302
the Department of Job and Family Services shall reduce the nursing 57303
facility's fiscal year 2009 rate so that the rate is not more than 57304
one hundred one and one-half per cent of the nursing facility's 57305
rate for June 30, 2008. If the rate determined for a nursing 57306
facility under division (B) of this section for nursing facility 57307
services provided during fiscal year 2009 is less than 57308
ninety-eight and one-half per cent of the rate the provider is 57309
paid for nursing facility services the nursing facility provides 57310
on June 30, 2008, the Department shall increase the nursing 57311
facility's fiscal year 2009 rate so that the rate is not less than 57312
ninety-eight and one-half per cent of the nursing facility's rate 57313
for June 30, 2008.57314

       (D) If the United States Centers for Medicare and Medicaid 57315
Services requires that the franchise permit fee be reduced or 57316
eliminated, the Department of Job and Family Services shall reduce 57317
the amount it pays providers of nursing facility services under 57318
this section as necessary to reflect the loss to the state of the 57319
revenue and federal financial participation generated from the 57320
franchise permit fee.57321

       (E) The Department of Job and Family Services shall follow 57322
this section in determining the rate to be paid to the provider of 57323
a nursing facility that has a valid Medicaid provider agreement on 57324
June 30, 2008, and a valid Medicaid provider agreement during 57325
fiscal year 2009 notwithstanding anything to the contrary in 57326
sections 5111.20 to 5111.33 of the Revised Code.57327

       Section 309.30.40. FISCAL YEARS 2008 AND 2009 MEDICAID 57328
REIMBURSEMENT SYSTEM FOR ICFs/MR57329

       (A) As used in this section:57330

       "Intermediate care facility for the mentally retarded" has 57331
the same meaning as in section 5111.20 of the Revised Code.57332

       "Medicaid days" means all days during which a resident who is 57333
a Medicaid recipient occupies a bed in an intermediate care 57334
facility for the mentally retarded that is included in the 57335
facility's Medicaid-certified capacity. Therapeutic or hospital 57336
leave days for which payment is made under section 5111.33 of the 57337
Revised Code are considered Medicaid days proportionate to the 57338
percentage of the intermediate care facility for the mentally 57339
retarded's per resident per day rate paid for those days.57340

       "Per diem rate" means the per diem rate calculated pursuant 57341
to sections 5111.20 to 5111.33 of the Revised Code.57342

       (B) Notwithstanding sections 5111.20 to 5111.33 of the 57343
Revised Code, rates paid to intermediate care facilities for the 57344
mentally retarded under the Medicaid program shall be subject to 57345
the following limitations:57346

       (1) For fiscal year 2008, the mean total per diem rate for 57347
all intermediate care facilities for the mentally retarded in the 57348
state, weighted by May 2007 Medicaid days and calculated as of 57349
July 1, 2007, shall not exceed $266.14.57350

       (2) For fiscal year 2009, the mean total per diem rate for 57351
all intermediate care facilities for the mentally retarded in the 57352
state, weighted by May 2008 Medicaid days and calculated as of 57353
July 1, 2008, shall not exceed $271.46.57354

       (3) If the mean total per diem rate for all intermediate care 57355
facilities for the mentally retarded in the state for fiscal year 57356
2008 or 2009, weighted by Medicaid days as specified in division 57357
(B)(1) or (2) of this section, as appropriate, and calculated as 57358
of the first day of July of the calendar year in which the fiscal 57359
year begins, exceeds the amount specified in division (B)(1) or 57360
(2) of this section, as applicable, the Department of Job and 57361
Family Services shall reduce the total per diem rate for each 57362
intermediate care facility for the mentally retarded in the state 57363
by a percentage that is equal to the percentage by which the mean 57364
total per diem rate exceeds the amount specified in division 57365
(B)(1) or (2) of this section for that fiscal year.57366

       (4) Subsequent to any reduction required by division (B)(3) 57367
of this section, the rate of an intermediate care facility for the 57368
mentally retarded shall not be subject to any adjustments 57369
authorized by sections 5111.20 to 5111.33 of the Revised Code 57370
during the remainder of the year.57371

       Section 309.30.45. INCREASE IN MEDICAID RATES FOR PASSPORT 57372
SERVICES57373

        As used in this section, "PASSPORT program" means the program 57374
created under section 173.40 of the Revised Code.57375

        The Director of Job and Family Services shall amend the rules 57376
adopted under section 5111.85 of the Revised Code as necessary to 57377
accomplish the following:57378

        (A) Increase, for fiscal year 2008, the Medicaid 57379
reimbursement rates for services provided under the PASSPORT 57380
program to rates that result in an amount that is three per cent 57381
higher than the amount resulting from the rates in effect June 30, 57382
2007.57383

        (B) Increase, for fiscal year 2009, the Medicaid 57384
reimbursement rates for services provided under the PASSPORT 57385
program to rates that result in an amount that is three per cent 57386
higher than the amount resulting from the rates in effect June 30, 57387
2008.57388

       Section 309.30.50. HOME FIRST PROGRAM57389

       (A) As used in this section:57390

       (1) "Area agency on aging" has the same meaning as in section 57391
173.14 of the Revised Code.57392

       (2) "Long-Term Care Consultation Program" means the program 57393
the Department of Aging is required to develop under section 57394
173.42 of the Revised Code.57395

       (3) "Long-Term Care Consultation Program administrator" or 57396
"administrator" means the Department of Aging or, if the 57397
Department contracts with an area agency on aging or other entity 57398
to administer the Long-Term Care Consultation Program for a 57399
particular area, that agency or entity.57400

       (4) "Nursing facility" has the same meaning as in section 57401
5111.20 of the Revised Code.57402

       (5) "PASSPORT program" means the program created under 57403
section 173.40 of the Revised Code.57404

       (B) Each month during fiscal years 2008 and 2009, each area 57405
agency on aging shall determine whether individuals who reside in 57406
the area that the area agency on aging serves and are on a waiting 57407
list for the PASSPORT program have been admitted to a nursing 57408
facility. If an area agency on aging determines that such an 57409
individual has been admitted to a nursing facility, the agency 57410
shall notify the Long-Term Care Consultation Program administrator 57411
serving the area in which the individual resides about the 57412
determination. The administrator shall determine whether the 57413
PASSPORT program is appropriate for the individual and whether the 57414
individual would rather participate in the PASSPORT program than 57415
continue residing in the nursing facility. If the administrator 57416
determines that the PASSPORT program is appropriate for the 57417
individual and the individual would rather participate in the 57418
PASSPORT program than continue residing in the nursing facility, 57419
the administrator shall so notify the Department of Aging. On 57420
receipt of the notice from the administrator, the Department of 57421
Aging shall approve the enrollment of the individual in the 57422
PASSPORT program regardless of whether other individuals who are 57423
not in a nursing facility are ahead of the individual on the 57424
PASSPORT program's waiting list. Each quarter, the Department of 57425
Aging shall certify to the Director of Budget and Management the 57426
increase in costs of the PASSPORT program based on the total 57427
expenditures made for the individuals enrolled in the PASSPORT 57428
program pursuant to this section.57429

       (C) On a quarterly basis, on receipt of the certified 57430
expenditures, the Director of Budget and Management may do all of 57431
the following:57432

       (1) Transfer the state share of the amount of the actual 57433
expenditures from GRF appropriation item 600-525, Health 57434
Care/Medicaid, to GRF appropriation item 490-403, PASSPORT;57435

       (2) Increase the appropriation in Ohio Department of Aging 57436
Fund 3C4, appropriation item 490-607, PASSPORT, by the federal 57437
share of the amount of the actual expenditures;57438

       (3) Increase the appropriation in JFS Fund 3G5, appropriation 57439
item 600-655, Interagency Reimbursement, by the federal share of 57440
the amount of the actual expenditures.57441

       The funds that the Director of Budget and Management 57442
transfers and increases under this division are hereby 57443
appropriated.57444

       (D) The individuals placed in the PASSPORT program pursuant 57445
to this section shall be in addition to the individuals placed in 57446
the PASSPORT program during fiscal years 2008 and 2009 based on 57447
the amount of money that is in GRF appropriation item 490-403, 57448
PASSPORT; Fund 4J4, appropriation item 490-610, 57449
PASSPORT/Residential State Supplement; Fund 4U9, appropriation 57450
item 490-602, PASSPORT Fund; and Fund 3C4, appropriation item 57451
490-607, PASSPORT, before any transfers to GRF appropriation item 57452
490-403, PASSPORT, and Fund 3C4, appropriation item 490-607, 57453
PASSPORT, are made under this section.57454

       Section 309.30.60. MEDICAID COVERAGE OF CHIROPRACTIC SERVICES57455

        (A) As used in this section, "adult Medicaid recipient" means 57456
a Medicaid recipient twenty-two years of age or older.57457

        (B) For the period beginning January 1, 2009, and ending June 57458
30, 2009, and subject to division (C) of this section, the 57459
Medicaid Program shall cover chiropractic services for adult 57460
Medicaid recipients in an amount, duration, and scope specified in 57461
rules that the Director of Job and Family Services shall adopt 57462
under section 5111.02 of the Revised Code.57463

        (C) The Medicaid Program's coverage of chiropractic services 57464
under this section shall be limited as follows:57465

        (1) Fifteen visits per adult Medicaid recipient per fiscal 57466
year;57467

       (2) The total costs of coverage under this section may not 57468
exceed $5,000,000 per fiscal year.57469

       Section 309.30.70. MONEY FOLLOWS THE PERSON57470

        (A) Subject to division (B) of this section, the Director of 57471
Budget and Management may do any of the following in support of 57472
any home and community-based services waiver program:57473

       (1) Create new funds and account appropriation items to 57474
support and track funds associated with a unified long-term care 57475
budget;57476

       (2) Transfer funds among affected agencies and adjust 57477
corresponding appropriation levels;57478

       (3) Develop a reporting mechanism to show clearly how the 57479
funds are being transferred and expended.57480

       (B) Before an action may be taken under division (A) of this 57481
section, the Director shall present the proposed action to the 57482
Controlling Board. The Controlling Board shall review the proposed 57483
action and either approve or disapprove the action. The Director 57484
shall not implement the proposed action unless the action is 57485
approved by the Controlling Board.57486

       Section 309.30.90. MEDICAID ELIGIBILITY FOR PREGNANT WOMEN57487

       The Director of Job and Family Services shall, not later than 57488
ninety days after the effective date of this section, submit to 57489
the United States Secretary of Health and Human Services an 57490
amendment to the state Medicaid plan to increase to two hundred 57491
per cent of the federal poverty guidelines the income limit 57492
specified in division (A)(2) of section 5111.014 of the Revised 57493
Code. The increase shall be implemented not earlier than January 57494
1, 2008.57495

       Section 309.31.10. MEDICARE PART D57496

       The foregoing appropriation item 600-526, Medicare Part D, 57497
may be used by the Department of Job and Family Services for the 57498
implementation and operation of the Medicare Part D requirements 57499
contained in the "Medicare Prescription Drug, Improvement, and 57500
Modernization Act of 2003," Pub. L. No. 108-173, as amended. Upon 57501
the request of the Department of Job and Family Services, the 57502
Director of Budget and Management may increase the state share of 57503
appropriations in either appropriation item 600-525, Health 57504
Care/Medicaid, or appropriation item 600-526, Medicare Part D, 57505
with a corresponding decrease in the state share of the other 57506
appropriation item to allow the Department of Job and Family 57507
Services to implement and operate the new Medicare Part D 57508
requirements. If the state share of appropriation item 600-525, 57509
Health Care/Medicaid, is adjusted, the Director of Budget and 57510
Management shall adjust the federal share accordingly.57511

       Section 309.31.20. RESIDENT PROTECTION FUND57512

       If the Director of Budget and Management determines that the 57513
Resident Protection Fund created in section 5111.62 of the Revised 57514
Code has a cash balance, less encumbrances and appropriations, of 57515
more than $2,000,000, the Department of Job and Family Services or 57516
its designee may issue a competitive request for grant proposals 57517
to support projects that will benefit the residents of nursing 57518
facilities that have been found to have deficiencies. The 57519
directors of Job and Family Services, Health, and Aging or their 57520
designees shall determine priority categories for funding, make 57521
awards, and determine which of the three agencies should 57522
administer each grant. Based on these determinations, the Director 57523
of Budget and Management may transfer cash and appropriations 57524
matching the amount of each award to the appropriate agency. Any 57525
such transfers are hereby appropriated.57526

       Section 309.31.30. OHIO ACCESS SUCCESS PROJECT57527

       Notwithstanding any limitations in sections 3721.51 and57528
3721.56 of the Revised Code, in each fiscal year, cash from Fund 57529
4J5, Home and Community-Based Services for the Aged, in excess of 57530
the amounts needed for the transfers may be used by the Department 57531
of Job and Family Services for the following purposes: (A) up to 57532
$1.0 million in each fiscal year to fund the state share of audits 57533
of nursing facilities and intermediate care facilities for the 57534
mentally retarded; and (B) up to $350,000 in each fiscal year to 57535
provide one-time transitional benefits under the Ohio Access 57536
Success Project that the Director of Job and Family Services may 57537
establish under section 5111.88 of the Revised Code.57538

       Section 309.31.40.  TRANSFER OF FUNDS TO THE DEPARTMENT OF 57539
AGING57540

       The Department of Job and Family Services shall transfer,57541
through intrastate transfer vouchers, cash from Fund 4J5, Home and 57542
Community-Based Services for the Aged, to Fund 4J4, PASSPORT, in 57543
the Department of Aging. The sum of the transfers shall be 57544
$33,263,984 in each fiscal year. The transfer may occur on a57545
quarterly basis or on a schedule developed and agreed to by both57546
departments.57547

       Section 309.31.50. PROVIDER FRANCHISE FEE OFFSETS57548

       (A) At least quarterly, the Director of Job and Family 57549
Services shall certify to the Director of Budget and Management 57550
both of the following:57551

       (1) The amount of offsets withheld under section 3721.541 of 57552
the Revised Code from payments made from the General Revenue Fund. 57553

       (2) The amount of offsets withheld under section 5112.341 of 57554
the Revised Code from payments made from the General Revenue Fund.57555

       (B) The Director of Budget and Management may transfer cash 57556
from the General Revenue Fund to all of the following:57557

       (1) Fund 4J5, Home and Community Based Services/Aged Fund, or 57558
Fund 5R2, Nursing Facility Stabilization Fund, in accordance with 57559
sections 3721.56 and 3721.561 of the Revised Code;57560

       (2) Fund 4K1, ICF/MR Bed Assessments.57561

       (C) Amounts transferred pursuant to this section are hereby 57562
appropriated.57563

       Section 309.31.60. TRANSFER OF FUNDS TO THE DEPARTMENT OF 57564
MENTAL RETARDATION AND DEVELOPMENTAL DISABILITIES57565

       The Department of Job and Family Services shall transfer,57566
through intrastate transfer vouchers, cash from Fund 4K1, ICF/MR57567
Bed Assessments, to Fund 4K8, Home and Community-Based Services, 57568
in the Department of Mental Retardation and Developmental57569
Disabilities. The amount transferred shall equal $12,000,000 in 57570
each fiscal year. The transfer may occur on a quarterly basis or 57571
on a schedule developed and agreed to by both departments.57572

       Section 309.31.70. FUNDING FOR TRANSITION WAIVER SERVICES57573

       Notwithstanding any limitations contained in sections 5112.3157574
and 5112.37 of the Revised Code, in each fiscal year, cash from 57575
Fund 4K1, ICF/MR Bed Assessments, in excess of the amounts needed 57576
for transfers to Fund 4K8, Home and Community-Based Services, in 57577
the Department of Mental Retardation and Developmental 57578
Disabilities, may be used by the Department of Job and Family 57579
Services to cover costs of care provided to participants in a57580
waiver with an ICF/MR level of care requirement administered by 57581
the Department of Job and Family Services.57582

       Section 309.31.80. PAYMENTS FROM THE DEPARTMENT OF EDUCATION 57583
FOR MEDICAID SERVICES57584

       At the request of the Director of Job and Family Services, 57585
the Director of Budget and Management may increase the 57586
appropriation in appropriation item 600-639, Medicaid Revenue and 57587
Collections, by the amounts paid to the department pursuant to 57588
section 3317.023 of the Revised Code.57589

       Section 309.31.90. HOSPITAL CARE ASSURANCE MATCH57590

       Appropriation item 600-650, Hospital Care Assurance Match,57591
shall be used by the Department of Job and Family Services solely 57592
for distributing funds to hospitals under section 5112.08 of the 57593
Revised Code.57594

       Section 309.32.10. HEALTH CARE SERVICES ADMINISTRATION FUND57595

       Of the amount received by the Department of Job and Family57596
Services during fiscal year 2008 and fiscal year 2009 from the 57597
first installment of assessments paid under section 5112.06 of the 57598
Revised Code and intergovernmental transfers made under section 57599
5112.07 of the Revised Code, the Director of Job and Family 57600
Services shall deposit $350,000 in each fiscal year into the state 57601
treasury to the credit of the Health Care Services Administration 57602
Fund (Fund 5U3).57603

       Section 309.32.20. MEDICAID PROGRAM SUPPORT FUND - STATE57604

       The foregoing appropriation item 600-671, Medicaid Program57605
Support, shall be used by the Department of Job and Family57606
Services to pay for Medicaid services and contracts. The 57607
Department may also deposit to Fund 5C9 revenues received from 57608
other state agencies for Medicaid services under the terms of 57609
interagency agreements between the Department and other state 57610
agencies, and all funds the Department recovers because the 57611
benefits a person received under the disability medical assistance 57612
program established in section 5115.10 of the Revised Code were 57613
determined to be covered by the Medicaid Program established under 57614
Chapter 5111. of the Revised Code.57615

       Section 309.32.30. TRANSFERS OF IMD/DSH CASH TO THE 57616
DEPARTMENT OF MENTAL HEALTH57617

       The Department of Job and Family Services shall transfer,57618
through intrastate transfer voucher, cash from Fund 5C9, Medicaid57619
Program Support, to the Department of Mental Health's Fund 4X5,57620
OhioCare, in accordance with an interagency agreement that57621
delegates authority from the Department of Job and Family Services57622
to the Department of Mental Health to administer specified57623
Medicaid services.57624

       Section 309.32.40. PRESCRIPTION DRUG REBATE FUND57625

       The foregoing appropriation item 600-692, Health Care 57626
Services, shall be used by the Department of Job and Family57627
Services to pay for Medicaid services and contracts.57628

       Section 309.32.50. DISABILITY DETERMINATION PROCESS57629

       Based on the recommendations made by the Disability 57630
Determination Consolidation Study Council, the Rehabilitation 57631
Services Commission and the Department of Job and Family Services 57632
shall work together to reduce the duplication of activities 57633
performed by each agency and develop a systems interface so that 57634
medical information for mutual clients may be transferred between 57635
the agencies.57636

       Section 309.40. FAMILY STABILITY57637

       Section 309.40.10. WAIVER OF FOOD STAMP WORK REQUIREMENTS57638

        Pursuant to 7 U.S.C. 2015(o)(4)(A)(i), the Department of Job 57639
and Family Services shall request that the United States Secretary 57640
of Agriculture waive the applicability of the work requirement of 57641
7 U.S.C. 2015(o)(2) during fiscal years 2008 and 2009 to food 57642
stamp benefit recipients who reside in a county of this state that 57643
the Department determines has an unemployment rate of over 10 per 57644
cent or does not have a sufficient number of jobs to provide 57645
employment for the recipients.57646

       Section 309.40.20. FOOD STAMPS TRANSFER57647

       On July 1, 2007, or as soon as possible thereafter, the 57648
Director of Budget and Management may transfer up to $1,000,000 in 57649
cash from Fund 384, Food Stamp Program, to Fund 5ES, Food 57650
Assistance.57651

       Section 309.40.30. OHIO ASSOCIATION OF SECOND HARVEST FOOD 57652
BANKS57653

       As used in this section, "federal poverty guidelines" has the 57654
same meaning as in section 5101.46 of the Revised Code.57655

       Notwithstanding section 5101.46 of the Revised Code, the 57656
Department of Job and Family Services shall provide $5,500,000 in 57657
each fiscal year from the foregoing appropriation item 600-651, 57658
Second Harvest Food Banks, to the Ohio Association of Second 57659
Harvest Food Banks. The Department shall enter into a grant 57660
agreement with the Ohio Association of Second Harvest Food Banks 57661
to allow for the purchase of food products and the distribution of 57662
those food products to agencies participating in the emergency 57663
food distribution program. Notwithstanding section 5101.46 of the 57664
Revised Code, the grant may permit the Ohio Association of Second 57665
Harvest Food Banks to use up to 5 per cent of the annual funding 57666
for administrative costs. As soon as possible after entering into 57667
a grant agreement at the beginning of each fiscal year, the 57668
Department may advance grant funds to the grantee under section 57669
5101.10 of the Revised Code and in accordance with federal law.57670

       Prior to entering into the grant agreement, the Ohio 57671
Association of Second Harvest Food Banks shall submit to the 57672
Department for approval a plan for the distribution of the food 57673
products to local food distribution agencies. If the plan meets 57674
the requirements and conditions established by the Department, the 57675
plan shall be incorporated into the grant agreement. The grant 57676
agreement shall also require the Ohio Association of Second 57677
Harvest Food Banks to ensure that local agencies will limit 57678
participation of individuals and families who receive any of the 57679
food products purchased with these funds to those who have an 57680
income at or below 200 per cent of the federal poverty guidelines. 57681
The Department and the Ohio Association of Second Harvest Food 57682
Banks shall agree on reporting requirements to be incorporated 57683
into the grant agreement, including a statement of expected 57684
performance outcomes from the Ohio Association of Second Harvest 57685
Food Banks and a requirement for their evaluation of their success 57686
in achieving those outcomes.57687

       Section 309.40.33. CHILD SUPPORT COLLECTIONS/TANF MOE57688

       The foregoing appropriation item 600-658, Child Support57689
Collections, shall be used by the Department of Job and Family57690
Services to meet the TANF maintenance of effort requirements of 42 57691
U.S.C. 609(a)(7). When the state is assured that it will meet the57692
maintenance of effort requirement, the Department of Job and 57693
Family Services may use funds from appropriation item 600-658, 57694
Child Support Collections, to support child support activities.57695

       Section 309.40.40. TANF INITIATIVES57696

       The Department of Job and Family Services, in accordance with 57697
sections 5101.80 and 5101.801 of the Revised Code, shall take the 57698
steps necessary, through interagency agreement, adoption of rules, 57699
or otherwise as determined by the Department, to implement and 57700
administer the Title IV-A programs identified in this section.57701

       KINSHIP PERMANENCY INCENTIVE PROGRAM57702

       Of the foregoing appropriation item 600-689, TANF Block Grant 57703
(Fund 3V6), up to $10 million per fiscal year shall be used to 57704
support the activities of the Kinship Permanency Incentive Program 57705
created under section 5101.802 of the Revised Code.57706

       The Department of Job and Family Services shall prepare 57707
reports concerning both of the following:57708

        (A) Stability and permanency outcomes for children for whom 57709
incentive payments are made under the Kinship Permanency Incentive 57710
Program;57711

        (B) The total amount of payments made under the Program, 57712
patterns of expenditures made per child under the Program, and 57713
cost savings realized through the Program from placement with 57714
kinship caregivers rather than other out-of-home placements.57715

        The Department shall submit a report to the Governor, the 57716
Speaker and Minority Leader of the House of Representatives, and 57717
the President and Minority Leader of the Senate not later than 57718
December 31, 2008, and December 31, 2010.57719

       The amendments made by this act to section 5101.802 of the 57720
Revised Code shall not affect the eligibility of any kinship 57721
caregiver whose eligibility was established before the effective 57722
date of this section.57723

        OHIO ALLIANCE OF BOYS AND GIRLS CLUBS57724

        Of the foregoing appropriation item 600-689, TANF Block Grant 57725
(Fund 3V6), the Department of Job and Family Services shall use up 57726
to $600,000 in each fiscal year to support expenditures of the 57727
Ohio Alliance of Boys and Girls Clubs pursuant to section 5101.801 57728
of the Revised Code to provide after-school programs that protect 57729
at-risk children and enable youth to become responsible adults. 57730
The Ohio Alliance of Boys and Girls Clubs shall provide 57731
nutritional meals, snacks, and educational, youth development, and 57732
career development services to TANF eligible children 57733
participating in programs and activities operated by eligible Boys 57734
and Girls Clubs.57735

        The Department of Job and Family Services and the Ohio 57736
Alliance of Boys and Girls Clubs shall agree on reporting 57737
requirements to be incorporated into the grant agreement.57738

       CHILDREN'S HUNGER ALLIANCE57739

       Of the foregoing appropriation item 600-689, TANF Block Grant 57740
(Fund 3V6), up to $750,000 in each fiscal year shall be reimbursed 57741
to the Children's Hunger Alliance pursuant to section 5101.801 of 57742
the Revised Code for Child Nutrition Program outreach efforts.57743

       SCHOOL READINESS ENRICHMENT57744

       Of the foregoing appropriation item 600-689, TANF Block Grant 57745
(Fund 3V6), up to $6,500,000 in each fiscal year shall be used for 57746
TANF eligible activities pursuant to section 5101.801 of the 57747
Revised Code to provide intervention services to prepare children 57748
for kindergarten.57749

       FOOD BANKS57750

       Of the foregoing appropriation item 600-689, TANF Block Grant 57751
(Fund 3V6), up to $1,500,000 in each fiscal year shall be used to 57752
reimburse the Ohio network of food banks pursuant to section 57753
5101.801 of the Revised Code for purchases and distribution of 57754
food products.57755

       GOVERNOR'S OFFICE OF FAITH-BASED AND COMMUNITY INITIATIVES57756

       Of the foregoing appropriation item 600-689, TANF Block Grant 57757
(Fund 3V6), up to $13,000,000 in each fiscal year shall be used to 57758
reimburse the Governor's Office for Faith-Based and Community 57759
Initiatives pursuant to section 5101.801 of the Revised Code for 57760
projects designed to serve the state's most vulnerable citizens.57761

       ADOPTION PROMOTION57762

       Of the foregoing appropriation item 600-689, TANF Block Grant 57763
(Fund 3V6), up to $5,000,000 in each fiscal year shall be used for 57764
TANF eligible activities pursuant to section 5101.801 of the 57765
Revised Code to provide additional support for initiatives aimed 57766
at increasing the number of adoptions including recruiting, 57767
promoting, and supporting adoptive families.57768

       INDEPENDENT LIVING INITIATIVES57769

       Of the foregoing appropriation item 600-689, TANF Block Grant 57770
(Fund 3V6), up to $2,500,000 in each fiscal year shall be used for 57771
TANF eligible activities pursuant to section 5101.801 of the 57772
Revised Code to support the independent living initiative, 57773
including life skills training and work supports for older 57774
children in foster care and those who have recently aged out of 57775
foster care.57776

       CLOSING THE ACHIEVEMENT GAP57777

       Of the foregoing appropriation item 600-689, TANF Block Grant 57778
(Fund 3V6), up to $10,000,000 in each fiscal year shall be used 57779
for TANF eligible activities pursuant to section 5101.801 of the 57780
Revised Code to provide intervention services aimed at improving 57781
the African-American male graduation rate.57782

       FAMILY SERVICE OF THE CINCINNATI AREA57783

       Of the foregoing appropriation item 600-689, TANF Block Grant 57784
(Fund 3V6), up to $25,000 in each fiscal year shall be used to 57785
reimburse, in accordance with section 5101.801 of the Revised 57786
Code, Family Service of the Cincinnati Area for the International 57787
Family Resource Center program.57788

       PARENT MENTORS57789

       Of the foregoing appropriation item 600-689, TANF Block Grant 57790
(Fund 3V6), up to $250,000 in fiscal year 2008 shall be used to 57791
reimburse the Department of Education pursuant to section 5101.801 57792
of the Revised Code for providing funding for an additional ten 57793
parent mentors. This additional support for parent mentors shall 57794
be aimed at increasing support for parents with children who have 57795
special needs, thereby reducing stress on the family and 57796
encouraging the maintenance of two parent families. Such funding 57797
shall be in addition to that which is provided for parent 57798
mentoring programs in GRF appropriation item 200-540, Special 57799
Education Enhancements, in the Department of Education.57800

       ACCOUNTABILITY AND CREDIBILITY TOGETHER57801

       Of the foregoing appropriation item 600-689, TANF Block 57802
Grant, up to $1,000,000 in each fiscal year shall be reimbursed to 57803
Accountability and Credibility Together (ACT) to continue its 57804
welfare diversion program to TANF eligible individuals pursuant to 57805
section 5101.801 of the Revised Code.57806

       AMERICAN ACADEMY OF PEDIATRICS57807

       Of the foregoing appropriation item 600-689, TANF Block Grant 57808
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 57809
reimburse, in accordance with section 5101.801 of the Revised 57810
Code, the American Academy of Pediatrics for the Reach Out and 57811
Read program.57812

       HOME WEATHERIZATION57813

       Of the foregoing appropriation item 600-689, TANF Block Grant 57814
(Fund 3V6), up to $500,000 in each fiscal year shall be used to 57815
reimburse, in accordance with section 5101.801 of the Revised 57816
Code, the Corporation for Ohio Appalachian Development for home 57817
weatherization.57818

       PROVIDENCE HOUSE57819

       Of the foregoing appropriation item 600-689, TANF Block Grant 57820
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 57821
reimburse, in accordance with section 5101.801 of the Revised 57822
Code, the Providence House for providing crisis intervention 57823
services for children who are at risk of abuse and neglect.57824

       BUTLER COUNTY SUCCESS PLAN57825

       Of the foregoing appropriation item 600-689, TANF Block Grant 57826
(Fund 3V6), up to $100,000 in fiscal year 2008 shall be used to 57827
provide reimbursement, in accordance with section 5101.801 of the 57828
Revised Code, for the Butler County Success Plan.57829

       HOME ENERGY ASSISTANCE PROGRAM57830

       The Department of Job and Family Services shall transfer, 57831
through intrastate transfer voucher, $45,000,000 in cash in fiscal 57832
year 2008 and $15,000,000 in fiscal year 2009 from Fund 3V6, TANF 57833
Block Grant, to Fund 3BJ, TANF Heating Assistance, in the 57834
Department of Development, in accordance with an interagency 57835
agreement. The Departments of Job and Family Services and 57836
Development shall enter into an interagency agreement for 57837
providing reimbursement to the Department of Development to 57838
administer the Title IV-A funded Home Energy Assistance Program 57839
(HEAP), which provides assistance with home energy fuel costs to 57840
needy families with children.57841

       Section 309.40.60. EARLY LEARNING INITIATIVE57842

       (A) As used in this section:57843

       (1) "Title IV-A services" means benefits and services that 57844
are allowable under Title IV-A of the "Social Security Act," as 57845
specified in 42 U.S.C. 604(a), except that they shall not be 57846
benefits and services included in the term "assistance" as defined 57847
in 45 C.F.R. 260.31(a) and shall be benefits and services that are 57848
excluded from the definition of the term "assistance" under 45 57849
C.F.R. 260.31(b).57850

       (2) "Title IV-A funds" means funds provided under the 57851
temporary assistance for needy families block grant established by 57852
Title IV-A of the "Social Security Act," 110 Stat. 2113 (1996), 42 57853
U.S.C. 601, as amended.57854

       (3) "Eligible child" means a child who is at least three 57855
years of age but not of compulsory school age or enrolled in 57856
kindergarten, is eligible for Title IV-A services, and whose 57857
family income at the time of application does not exceed one 57858
hundred eighty-five per cent of the federal poverty line in fiscal 57859
year 2008 or two hundred per cent of the federal poverty line in 57860
fiscal year 2009.57861

       (4) "Early learning program" means a program for eligible 57862
children that is funded with Title IV-A funds and provides Title 57863
IV-A services, according to the purposes listed in 45 C.F.R. 57864
260.20(c), that are early learning services, as defined by 57865
pursuant to division (D)(1) of this section.57866

       (5) "Early learning provider" means an entity that is 57867
receiving Title IV-A funds to operate an early learning program.57868

       (6) "Early learning agency" means an early learning provider 57869
or an entity that has entered into an agreement with an early 57870
learning provider requiring the early learning provider to operate 57871
an early learning program on behalf of the entity.57872

       (7) "Federal poverty line" has the same meaning as in section 57873
5104.01 of the Revised Code.57874

       (8) "Of compulsory school age" has the same meaning as in 57875
section 3321.01 of the Revised Code.57876

       (B) The Early Learning Initiative is hereby established. The 57877
Department of Education and the Department of Job and Family 57878
Services shall administer the Initiative in accordance with 57879
sections 5101.80 and 5101.801 of the Revised Code. The Initiative 57880
shall provide early learning services to eligible children. Early 57881
learning programs may provide early learning services on a 57882
full-day basis, a part-day basis, or both a full-day and part-day 57883
basis.57884

       (C) The Department of Job and Family Services shall do both 57885
of the following:57886

       (1) Reimburse early learning agencies for Title IV-A services 57887
provided to eligible children according to the terms of the 57888
contract and the rules adopted under division (C)(2) of this 57889
section;57890

       (2) In consultation with the Department of Education, adopt 57891
rules in accordance with Chapter 119. of the Revised Code to 57892
implement the Early Learning Initiative. The rules shall include 57893
all of the following:57894

       (a) Provisions regarding the establishment of co-payments for 57895
families of eligible children whose family income is more than one 57896
hundred sixty-five per cent of the federal poverty line but equal 57897
to or less than the maximum amount of family income authorized for 57898
an eligible child as defined in division (A)(3) of this section;57899

       (b) An exemption from co-payment requirements for families 57900
whose family income is equal to or less than one hundred 57901
sixty-five per cent of the federal poverty line;57902

       (c) A definition of "enrollment" for the purpose of 57903
compensating early learning agencies;57904

       (d) Provisions that establish compensation rates for early 57905
learning agencies based on the enrollment of eligible children;57906

       (e) Caretaker employment eligibility requirements for 57907
participation in the Early Learning Initiative. These requirements 57908
shall specify the minimum number of hours that the caretaker of 57909
the eligible child must be employed and the time period over which 57910
the minimum number of hours is to be measured. These minimum hours 57911
may overlap the period during the day or week in which the child 57912
participates in the early learning program. These requirements 57913
shall permit the child to be determined to be, and remain, an 57914
eligible child for up to thirty days if the county department of 57915
job and family services determines that the caretaker is expected 57916
to begin engaging in an approved activity within that thirty-day 57917
period. These rules shall require the county department of job and 57918
family services to inform both the early learning agency and the 57919
Department of Job and Family Services of this determination. These 57920
rules shall require the Department of Job and Family Services to 57921
designate the activities that constitute approved activities for 57922
purposes of this requirement and to periodically review the 57923
requirement described in this division to ensure that it complies 57924
with federal law and regulations.57925

       (D) The Department of Education shall do all of the 57926
following:57927

       (1) Define the early learning services that will be provided 57928
to eligible children through the Early Learning Initiative;57929

       (2) In consultation with the Department of Job and Family 57930
Services, develop an application form and criteria for the 57931
selection of early learning agencies. The criteria shall require 57932
an early learning agency, or each early learning provider with 57933
which the agency has entered into an agreement for the operation 57934
of an early learning program on the agency's behalf, to be 57935
licensed or certified by the Department of Education under 57936
sections 3301.52 to 3301.59 of the Revised Code or by the 57937
Department of Job and Family Services under Chapter 5104. of the 57938
Revised Code;57939

       (3) Establish early learning program guidelines for school 57940
readiness to assess the operation of early learning programs.57941

       (E) Any entity that seeks to be an early learning agency 57942
shall apply to the Department of Education by a deadline 57943
established by the Department. The Department of Education shall 57944
select entities that meet the criteria established under division 57945
(D)(2) of this section to be early learning agencies. Upon 57946
selection of an entity to be an early learning agency, the 57947
Department of Education shall designate the number of eligible 57948
children the agency may enroll. The Department of Education shall 57949
notify the Department of Job and Family Services of the number so 57950
designated.57951

       (F) The Department of Education and the Department of Job and 57952
Family Services shall enter into a contract with each early 57953
learning agency selected under division (E) of this section. The 57954
requirements of section 127.16 of the Revised Code do not apply to 57955
contracts entered into under this section. The contract shall 57956
outline the terms and conditions applicable to the provision of 57957
Title IV-A services for eligible children and shall include at 57958
least the following:57959

       (1) The respective duties of the early learning agency, the 57960
Department of Education, and the Department of Job and Family 57961
Services;57962

       (2) Requirements applicable to the allowable use of and 57963
accountability for Title IV-A compensation paid under the 57964
contract;57965

       (3) Reporting requirements, including a requirement that the 57966
early learning provider inform the Department of Education when 57967
the provider learns that a kindergarten eligible child will not be 57968
enrolled in kindergarten;57969

       (4) The compensation schedule payable under the contract;57970

       (5) Audit requirements;57971

       (6) Provisions for suspending, modifying, or terminating the 57972
contract.57973

       (G) If an early learning agency, or an early learning 57974
provider operating an early learning program on the agency's 57975
behalf, substantially fails to meet the early learning program 57976
guidelines for school readiness or exhibits below average 57977
performance, as determined by the Department of Education, the 57978
agency shall develop and implement a corrective action plan. The 57979
Department of Education shall approve the corrective action plan 57980
prior to implementation.57981

       (H) If an early learning agency fails to implement a 57982
corrective action plan under division (G) of this section, the 57983
Department of Education may direct the Department of Job and 57984
Family Services to either withhold funding or request that the 57985
Department of Job and Family Services suspend or terminate the 57986
contract with the agency.57987

       (I) Each early learning program shall do all of the 57988
following:57989

       (1) Meet teacher qualification requirements prescribed by 57990
section 3301.311 of the Revised Code;57991

       (2) Align curriculum to the early learning content standards;57992

       (3) Meet any assessment requirements prescribed by section 57993
3301.0715 of the Revised Code that apply to the program;57994

       (4) Require teachers, except teachers enrolled and working to 57995
obtain a degree pursuant to section 3301.311 of the Revised Code, 57996
to attend a minimum of twenty hours per biennium of professional 57997
development as prescribed by the Department of Education regarding 57998
the implementation of early learning program guidelines for school 57999
readiness;58000

       (5) Document and report child progress;58001

       (6) Meet and report compliance with the early learning 58002
program guidelines for school success;58003

       (7) Participate in early language and literacy classroom 58004
observation evaluation studies.58005

       (J) Each county Department of Job and Family Services shall 58006
determine eligibility for Title IV-A services for children seeking 58007
to enroll in an early learning program within fifteen days after 58008
receipt of a completed application in accordance with rules 58009
adopted under this section.58010

       (K) The provision of early learning services in an early 58011
learning program shall not prohibit or otherwise prevent an 58012
individual from obtaining certificates for payment under division 58013
(C) of section 5104.32 of the Revised Code.58014

       (L) Notwithstanding section 126.07 of the Revised Code:58015

        (1) Any fiscal year 2008 contract executed prior to July 1, 58016
2007, between the Departments of Job and Family Services and 58017
Education and an early learning agency that was not an early 58018
learning agency as of June 30, 2007, shall be deemed to be 58019
effective as of July 1, 2007, upon issuance of a state purchase 58020
order, even if the purchase order is approved at some later date.58021

        (2) Any fiscal year 2008 contract executed between the 58022
Departments of Job and Family Services and Education and an early 58023
learning agency that had a valid contract for early learning 58024
services on June 30, 2007, shall be deemed to be effective as of 58025
July 1, 2007, upon the issuance of a state purchase order, even if 58026
the purchase order is approved at some later date.58027

        (3) Any fiscal year 2009 contract executed prior to July 1, 58028
2008, between the Departments of Job and Family Services and 58029
Education and an early learning agency that was not an early 58030
learning agency as of June 30, 2008, shall be deemed to be 58031
effective as of July 1, 2008, upon issuance of a state purchase 58032
order, even if the purchase order is approved at some later date.58033

       (4) Any fiscal year 2009 contract executed between the 58034
Departments of Job and Family Services and Education and an early 58035
learning agency that had a valid contract for early learning 58036
services on June 30, 2008, shall be deemed to be effective as of 58037
July 1, 2008, upon the issuance of a state purchase order, even if 58038
the purchase order is approved at some later date.58039

        (M) Of the foregoing appropriation item 600-689, TANF Block 58040
Grant (Fund 3V6), up to $125,256,000 shall be used in each fiscal 58041
year to compensate early learning agencies under this section. The 58042
Departments of Job and Family Services and Education shall 58043
contract for up to 12,000 enrollment slots for eligible children 58044
in each fiscal year through the Early Learning Initiative.58045

       (N) Of the foregoing appropriation item 600-689, TANF Block 58046
Grant (Fund 3V6), up to $800,000 in each fiscal year may be used 58047
by the Department of Job and Family Services for administration of 58048
the Early Learning Initiative.58049

       (O) Up to $2,200,000 in each fiscal year may be used by the 58050
Department of Education to perform administrative functions for 58051
the Early Learning Initiative. The Department of Job and Family 58052
Services shall transfer, through intrastate transfer vouchers, 58053
cash from Fund 3V6, TANF Block Grant, to Fund 5W2, Early Learning 58054
Initiative, in the Department of Education. The amount transferred 58055
shall not exceed $2,200,000 in fiscal year 2008 and $2,200,000 in 58056
fiscal year 2009. The transfer shall occur on a reimbursement 58057
basis on a schedule developed and agreed to by both departments.58058

       Section 309.50. CHILDREN AND FAMILIES58059

       Section 309.50.10. CHILD WELFARE TRAINING INITIATIVE58060

        In each fiscal year, the Department of Job and Family 58061
Services shall grant $50,000 from appropriation item 600-528, 58062
Adoption Services, and $150,000 from appropriation item 600-606, 58063
Child Welfare (Fund 327), to the National Center for Adoption Law 58064
and Policy to fund a multi-disciplinary child welfare training 58065
initiative. The Department of Job and Family Services shall 58066
coordinate with the National Center for Adoption Law and Policy to 58067
determine the focus of the training provided each year.58068

       ADOPTION LAWSITE INITIATIVE58069

       In each fiscal year, the Department of Job and Family 58070
Services shall grant $37,500 from appropriation item 600-528, 58071
Adoption Services, and $112,500 from appropriation item 600-606, 58072
Child Welfare (Fund 327), to the National Center for Adoption Law 58073
and Policy to fund expansion of the Adoption LawSite Initiative.58074

       Section 309.50.20. CHILDREN'S TRUST FUND58075

       Notwithstanding sections 3109.13 to 3109.18 of the Revised 58076
Code, in each fiscal year, the Director of Budget and Management 58077
shall transfer $1,500,000 cash from the Children's Trust Fund 58078
(Fund 198) in the Department of Job and Family Services to the 58079
Partnerships for Success Fund (Fund 5BH) in the Department of 58080
Youth Services.58081

       Section 309.50.30. A child day-care center or type A or B 58082
family day-care home participating in the voluntary child care 58083
quality-rating program established pursuant to section 5104.30 of 58084
the Revised Code and providing publicly funded child care is 58085
eligible to receive a reimbursement rate for the publicly funded 58086
child care up to the sixty-fifth percentile of the 2006 Ohio Child 58087
Care Market Rate Survey if the center or home participates in the 58088
program in fiscal year 2008 and maintains a two-star program 58089
rating in fiscal year 2009, according to the program rating system 58090
established in rules adopted pursuant to section 5104.30 of the 58091
Revised Code.58092

       Section 309.70. WORKFORCE DEVELOPMENT58093

       Section 309.70.10. TRANSFER TO THE MILITARY INJURY RELIEF 58094
FUND58095

       In each year of the biennium, the Director of Job and Family 58096
Services shall certify to the Director of Budget and Management 58097
the total amount of incentive grants deposited into Fund 331, 58098
Federal Operating, on behalf of state and county employees and 58099
other individuals, entities, and persons with exemplary service to 58100
veterans under an approved employment service delivery program 58101
defined in the "Jobs for Veterans Act," 116 Stat. 2033 (2002), as 58102
approved by the United States Department of Labor. The Director of 58103
Budget and Management shall transfer cash equal to the amount 58104
certified by the Director of Job and Family Services from Fund 331 58105
to Fund 5DB, Military Injury Grants. The transferred funds shall 58106
be used to support grants to eligible individuals under section 58107
5101.98 of the Revised Code and rules adopted in accordance with 58108
that section.58109

       Section 309.70.20. WORKFORCE DEVELOPMENT GRANT AGREEMENT58110

       The Department of Job and Family Services may use 58111
appropriations from appropriation item 600-688, Workforce 58112
Investment Act, to provide financial assistance for workforce 58113
development activities included in a grant agreement entered into 58114
by the department in accordance with section 5101.20 of the 58115
Revised Code.58116

       OHIO STATE APPRENTICESHIP COUNCIL58117

       Of the foregoing appropriation item 600-688, Workforce 58118
Investment Act, up to $1,900,000 in fiscal year 2008 and up to 58119
$2,200,000 in fiscal year 2009 may be used to support the 58120
activities of the Ohio State Apprenticeship Council.58121

       YOUTH EMPLOYMENT PROGRAMS58122

       Of the foregoing appropriation item 600-688, Workforce 58123
Investment Act, up to $6,000,000 over the biennium shall be used 58124
for competitive grants to eight major urban centers and four other 58125
locations, at least two of which are rural, to provide strategies 58126
and programs that meet the needs of at-risk youth. The program 58127
shall target youth who have disengaged from the education system 58128
and youthful offenders who will be returning to their communities. 58129
Eligible grant applications include governmental units, workforce 58130
investment boards, and not-for-profit and for-profit entities. 58131
Grant funds may be used for youth wages and benefits, supervisory 58132
costs, training and support costs, and infrastructure expenses. 58133
Grant funds may not be used for construction or renovation of 58134
facilities.58135

       THIRD FRONTIER INTERNSHIP PROGRAM58136

       Of the foregoing appropriation item 600-688, Workforce 58137
Investment Act, $1,500,000 in each fiscal year shall be used to 58138
support the Third Frontier Internship program.58139

       NURSE EDUCATION ASSISTANCE58140

       Of the foregoing appropriation item 600-688, Workforce 58141
Investment Act, $700,000 in each fiscal year shall be used to 58142
support the Nurse Education Assistance program described in 58143
division (C)(1)(a) of section 3333.28 of the Revised Code.58144

       Section 309.80. UNEMPLOYMENT COMPENSATION58145

       Section 309.80.10. EMPLOYER SURCHARGE58146

       The surcharge and the interest on the surcharge amounts due58147
for calendar years 1988, 1989, and 1990 as required by Am. Sub.58148
H.B. 171 of the 117th General Assembly, Am. Sub. H.B. 111 of the58149
118th General Assembly, and section 4141.251 of the Revised Code58150
as it existed prior to its repeal by Sub. H.B. 478 of the 122nd58151
General Assembly, again shall be assessed and collected by, 58152
accounted for, and made available to the Department of Job and58153
Family Services in the same manner as set forth in section 58154
4141.251 of the Revised Code as it existed prior to its repeal by 58155
Sub. H.B. 478 of the 122nd General Assembly, notwithstanding the 58156
repeal of the surcharge for calendar years after 1990, pursuant to 58157
Sub. H.B. 478 of the 122nd General Assembly, except that amounts 58158
received by the Director on or after July 1, 2001, shall be 58159
deposited into the Unemployment Compensation Special 58160
Administrative Fund (Fund 4A9) established pursuant to section 58161
4141.11 of the Revised Code.58162

       Section 309.80.20.  FEDERAL UNEMPLOYMENT PROGRAMS58163

       All unexpended funds remaining at the end of fiscal year 2007 58164
that were appropriated and made available to the state under 58165
section 903(d) of the Social Security Act, as amended, in the 58166
foregoing appropriation item 600-678, Federal Unemployment 58167
Programs (Fund 3V4), are hereby appropriated to the Department of 58168
Job and Family Services. Upon the request of the Director of Job 58169
and Family Services, the Director of Budget and Management may 58170
increase the appropriation for fiscal year 2008 by the amount 58171
remaining unspent from the fiscal year 2007 appropriation and may 58172
increase the appropriation for fiscal year 2009 by the amount 58173
remaining unspent from the fiscal year 2008 appropriation. The 58174
appropriation shall be used under the direction of the Department 58175
of Job and Family Services to pay for administrative activities 58176
for the Unemployment Insurance Program, employment services, and 58177
other allowable expenditures under section 903(d) of the Social 58178
Security Act, as amended.58179

       The amounts obligated pursuant to this section shall not 58180
exceed at any time the amount by which the aggregate of the 58181
amounts transferred to the account of the state under section 58182
903(d) of the Social Security Act, as amended, exceeds the 58183
aggregate of the amounts obligated for administration and paid out 58184
for benefits and required by law to be charged against the amounts 58185
transferred to the account of the state.58186

       Section 309.80.30. TIME-LIMITED MEDICAID PROVIDER AGREEMENTS58187

       Each Medicaid provider agreement that is not time-limited on 58188
the effective date of section 5111.028 of the Revised Code, as 58189
enacted by this act, shall be converted by the Department of Job 58190
and Family Services into a time-limited provider agreement. The 58191
converted provider agreement shall expire three years from 58192
effective date of the conversion. The Department shall notify the 58193
provider in writing that provider agreement has been converted 58194
into a time-limited provider agreement.58195

       Notwithstanding division (B) of section 5111.06 of the 58196
Revised Code, the Department is not required to issue an order 58197
pursuant to an adjudication conducted in accordance with Chapter 58198
119. of the Revised Code when converting a provider agreement 58199
under this section.58200

       Section 311.10.  JCO JUDICIAL CONFERENCE OF OHIO58201

General Revenue Fund58202

GRF 018-321 Operating Expenses $ 985,710 $ 1,015,281 58203
TOTAL GRF General Revenue Fund $ 985,710 $ 1,015,281 58204

General Services Fund Group58205

403 018-601 Ohio Jury Instructions $ 350,000 $ 350,000 58206
TOTAL GSF General Services Fund Group $ 350,000 $ 350,000 58207
TOTAL ALL BUDGET FUND GROUPS $ 1,335,710 $ 1,365,281 58208

       STATE COUNCIL OF UNIFORM STATE LAWS58209

       Notwithstanding section 105.26 of the Revised Code, of the58210
foregoing appropriation item 018-321, Operating Expenses, up to58211
$71,000 in fiscal year 2008 and up to $73,000 in fiscal year 200958212
may be used to pay the expenses of the State Council of Uniform58213
State Laws, including membership dues to the National Conference58214
of Commissioners on Uniform State Laws.58215

       OHIO JURY INSTRUCTIONS FUND58216

       The Ohio Jury Instructions Fund (Fund 403) shall consist of58217
grants, royalties, dues, conference fees, bequests, devises, and58218
other gifts received for the purpose of supporting costs incurred58219
by the Judicial Conference of Ohio in dispensing educational and58220
informational data to the state's judicial system. Fund 403 shall58221
be used by the Judicial Conference of Ohio to pay expenses58222
incurred in dispensing educational and informational data to the58223
state's judicial system. All moneys accruing to Fund 403 in excess 58224
of $350,000 in fiscal year 2008 and in excess of $350,000 in 58225
fiscal year 2009 are hereby appropriated for the purposes58226
authorized.58227

       No money in the Ohio Jury Instructions Fund shall be58228
transferred to any other fund by the Director of Budget and58229
Management or the Controlling Board.58230

       Section 313.10.  JSC THE JUDICIARY/SUPREME COURT58231

General Revenue Fund58232

GRF 005-321 Operating Expenses - Judiciary/Supreme Court $ 127,778,192 $ 133,144,970 58233
GRF 005-401 State Criminal Sentencing Council $ 331,500 $ 336,770 58234
GRF 005-406 Law-Related Education $ 229,290 $ 236,172 58235
GRF 005-409 Ohio Courts Technology Initiative $ 4,000,000 $ 6,500,000 58236
GRF 005-502 Commission for Legal Education Opportunity $ 250,000 $ 350,000 58237
TOTAL GRF General Revenue Fund $ 132,588,982 $ 140,567,912 58238

General Services Fund Group58239

672 005-601 Continuing Judicial Education $ 136,000 $ 140,000 58240
TOTAL GSF General Services Fund Group $ 136,000 $ 140,000 58241

Federal Special Revenue Fund Group58242

3J0 005-603 Federal Grants $ 1,518,491 $ 1,467,693 58243
TOTAL FED Federal Special Revenue Fund Group $ 1,518,491 $ 1,467,693 58244

State Special Revenue Fund Group58245

4C8 005-605 Attorney Services $ 3,841,416 $ 3,936,058 58246
5T8 005-609 Grants and Awards $ 100,000 $ 100,000 58247
6A8 005-606 Supreme Court Admissions $ 1,496,633 $ 1,541,532 58248
TOTAL SSR State Special Revenue Fund Group $ 5,438,049 $ 5,577,590 58249
TOTAL ALL BUDGET FUND GROUPS $ 139,681,522 $ 147,753,195 58250

       LAW-RELATED EDUCATION58251

        The foregoing appropriation item 005-406, Law-Related 58252
Education, shall be distributed directly to the Ohio Center for 58253
Law-Related Education for the purposes of providing continuing 58254
citizenship education activities to primary and secondary 58255
students, expanding delinquency prevention programs, increasing 58256
activities for at-risk youth, and accessing additional public and 58257
private money for new programs.58258

       OHIO COURTS TECHNOLOGY INITIATIVE58259

       The foregoing appropriation item 005-409, Ohio Courts 58260
Technology Initiative, shall be used to fund an initiative by the 58261
Supreme Court to facilitate the exchange of information and 58262
warehousing of data by and between Ohio courts and other justice 58263
system partners through the creation of an Ohio Courts Network, 58264
the delivery of technology services to courts throughout the 58265
state, including the provision of hardware, software, and the 58266
development and implementation of educational and training 58267
programs for judges and court personnel, and the creation and 58268
operation of the Commission on Technology and the Courts by the 58269
Supreme Court for the promulgation of statewide rules, policies, 58270
and uniform standards, and to aid in the orderly adoption and 58271
comprehensive use of technology in Ohio courts.58272

       COMMISSION FOR LEGAL EDUCATION OPPORTUNITY58273

        The foregoing appropriation item 005-502, Commission for 58274
Legal Education Opportunity, shall be used to fund activities of 58275
the Commission for Legal Education Opportunity created by the 58276
Chief Justice of the Supreme Court of Ohio for purposes of 58277
assisting minority, low-income, and educationally disadvantaged 58278
college graduates in transition to legal education. Moneys 58279
appropriated to the Commission for Legal Education Opportunity may 58280
be used to establish and provide intensive course study designed 58281
to prepare eligible college graduates for law education, provide 58282
annual stipends for students who successfully complete the course 58283
of study and are admitted to and maintain satisfactory academic 58284
standing in an Ohio law school, and pay the administrative costs 58285
associated with the program.58286

       CONTINUING JUDICIAL EDUCATION58287

       The Continuing Judicial Education Fund (Fund 672) shall58288
consist of fees paid by judges and court personnel for attending58289
continuing education courses and other gifts and grants received58290
for the purpose of continuing judicial education. The foregoing58291
appropriation item 005-601, Continuing Judicial Education, shall58292
be used to pay expenses for continuing education courses for58293
judges and court personnel. If it is determined by the58294
Administrative Director of the Supreme Court that additional58295
appropriations are necessary, the amounts are hereby appropriated.58296

       No money in the Continuing Judicial Education Fund shall be58297
transferred to any other fund by the Director of Budget and58298
Management or the Controlling Board. Interest earned on moneys in58299
the Continuing Judicial Education Fund shall be credited to the58300
fund.58301

       FEDERAL GRANTS58302

       The Federal Grants Fund (Fund 3J0) shall consist of grants58303
and other moneys awarded to the Supreme Court (The Judiciary) by 58304
the United States Government or other entities that receive the58305
moneys directly from the United States Government and distribute 58306
those moneys to the Supreme Court (The Judiciary). The foregoing 58307
appropriation item 005-603, Federal Grants, shall be used in a 58308
manner consistent with the purpose of the grant or award. If it is 58309
determined by the Administrative Director of the Supreme Court 58310
that additional appropriations are necessary, the amounts are 58311
hereby appropriated.58312

       No money in the Federal Grants Fund shall be transferred to 58313
any other fund by the Director of Budget and Management or the 58314
Controlling Board. However, interest earned on moneys in the 58315
Federal Grants Fund shall be credited or transferred to the 58316
General Revenue Fund.58317

       ATTORNEY SERVICES58318

       The Attorney Services Fund (Fund 4C8), formerly known as the 58319
Attorney Registration Fund, shall consist of moneys received by 58320
the Supreme Court (The Judiciary) pursuant to the Rules for the 58321
Government of the Bar of Ohio. In addition to funding other 58322
activities considered appropriate by the Supreme Court, the 58323
foregoing appropriation item 005-605, Attorney Services, may be 58324
used to compensate employees and to fund appropriate activities of 58325
the following offices established by the Supreme Court: the Office 58326
of Disciplinary Counsel, the Board of Commissioners on Grievances 58327
and Discipline, the Clients' Security Fund, and the Attorney 58328
Services Division. If it is determined by the Administrative 58329
Director of the Supreme Court that additional appropriations are 58330
necessary, the amounts are hereby appropriated.58331

       No moneys in the Attorney Services Fund shall be transferred 58332
to any other fund by the Director of Budget and Management or the 58333
Controlling Board. Interest earned on moneys in the Attorney 58334
Services Fund shall be credited to the fund.58335

       GRANTS AND AWARDS58336

       The Grants and Awards Fund (Fund 5T8) shall consist of grants 58337
and other moneys awarded to the Supreme Court (The Judiciary) by 58338
the State Justice Institute, the Division of Criminal Justice 58339
Services, or other entities. The foregoing appropriation item 58340
005-609, Grants and Awards, shall be used in a manner consistent 58341
with the purpose of the grant or award. If it is determined by the 58342
Administrative Director of the Supreme Court that additional 58343
appropriations are necessary, the amounts are hereby appropriated.58344

       No moneys in the Grants and Awards Fund shall be transferred 58345
to any other fund by the Director of Budget and Management or the 58346
Controlling Board. However, interest earned on moneys in the 58347
Grants and Awards Fund shall be credited or transferred to the 58348
General Revenue Fund.58349

       SUPREME COURT ADMISSIONS58350

       The foregoing appropriation item 005-606, Supreme Court58351
Admissions, shall be used to compensate Supreme Court employees58352
who are primarily responsible for administering the attorney58353
admissions program under the Rules for the Government of the Bar 58354
of Ohio, and to fund any other activities considered appropriate 58355
by the court. Moneys shall be deposited into the Supreme Court58356
Admissions Fund (Fund 6A8) under the Supreme Court Rules for the58357
Government of the Bar of Ohio. If it is determined by the 58358
Administrative Director of the Supreme Court that additional 58359
appropriations are necessary, the amounts are hereby appropriated.58360

       No moneys in the Supreme Court Admissions Fund shall be58361
transferred to any other fund by the Director of Budget and58362
Management or the Controlling Board. Interest earned on moneys in58363
the Supreme Court Admissions Fund shall be credited to the fund.58364

       FUND ELIMINATION58365

       Effective July 1, 2007, or as soon as practicable thereafter, 58366
the Director of Budget and Management shall transfer the cash 58367
balance in the Commission on Continuing Legal Education Fund (Fund 58368
643) to the Attorney Services Fund (Fund 4C8). The director shall 58369
cancel any existing encumbrances against appropriation item 58370
005-607, Commission on Continuing Legal Education, and 58371
re-establish them against appropriation item 005-605, Attorney 58372
Services. The amounts of the re-established encumbrances are 58373
hereby appropriated. Upon completion of these transfers, the 58374
Commission on Continuing Legal Education Fund (Fund 643) is hereby 58375
abolished.58376

       Section 315.10.  LEC LAKE ERIE COMMISSION58377

State Special Revenue Fund Group58378

4C0 780-601 Lake Erie Protection Fund $ 450,000 $ 450,000 58379
5D8 780-602 Lake Erie Resources Fund $ 387,000 $ 388,000 58380
TOTAL SSR State Special Revenue 58381
Fund Group $ 837,000 $ 838,000 58382
TOTAL ALL BUDGET FUND GROUPS $ 837,000 $ 838,000 58383

       CASH TRANSFER58384

       Not later than the thirtieth day of November of each fiscal58385
year, the Executive Director of the Ohio Lake Erie Office, with58386
the approval of the Lake Erie Commission, shall certify to the58387
Director of Budget and Management the cash balance in the Lake58388
Erie Resources Fund (Fund 5D8) in excess of amounts needed to meet58389
operating expenses of the Lake Erie Office. The Lake Erie Office 58390
may request the Director of Budget and Management to transfer up 58391
to the certified amount from the Lake Erie Resources Fund (Fund 58392
5D8) to the Lake Erie Protection Fund (Fund 4C0). The Director of 58393
Budget and Management may transfer the requested amount, or the 58394
Director may transfer a different amount up to the certified 58395
amount. Cash transferred shall be used for the purposes described 58396
in division (A) of section 1506.23 of the Revised Code. The amount 58397
transferred by the director is hereby appropriated to the58398
foregoing appropriation item 780-601, Lake Erie Protection Fund,58399
which shall be increased by the amount transferred.58400

       Section 317.10.  LRS LEGAL RIGHTS SERVICE58401

General Revenue Fund58402

GRF 054-321 Support Services $ 198,075 $ 198,075 58403
GRF 054-401 Ombudsman $ 291,247 $ 291,247 58404
TOTAL GRF General Revenue Fund $ 489,322 $ 489,322 58405

General Services Fund Group58406

5M0 054-610 Program Support $ 81,352 $ 81,352 58407
TOTAL GSF General Services 58408
Fund Group $ 81,352 $ 81,352 58409

Federal Special Revenue Fund Group58410

3AG 054-613 Protection and Advocacy - Voter Accessibility $ 115,000 $ 115,000 58411
3B8 054-603 Protection and Advocacy - Mentally Ill $ 1,089,999 $ 1,089,999 58412
3CA 054-615 Work Incentives Planning and Assistance $ 355,000 $ 355,000 58413
3N3 054-606 Protection and Advocacy - Individual Rights $ 560,000 $ 560,000 58414
3N9 054-607 Assistive Technology $ 160,000 $ 160,000 58415
3R9 054-604 Family Support Collaborative $ 55,000 $ 55,000 58416
3R9 054-616 Developmental Disability Publications $ 130,000 $ 130,000 58417
3T2 054-609 Client Assistance Program $ 435,000 $ 435,000 58418
3X1 054-611 Protection and Advocacy for Beneficiaries of Social Security $ 235,001 $ 235,001 58419
3Z6 054-612 Traumatic Brain Injury $ 70,000 $ 70,000 58420
305 054-602 Protection and Advocacy - Developmentally Disabled $ 1,500,000 $ 1,500,000 58421
TOTAL FED Federal Special Revenue 58422
Fund Group $ 4,705,000 $ 4,705,000 58423

State Special Revenue Fund Group58424

5AE 054-614 Grants and Contracts $ 100,000 $ 100,000 58425
TOTAL SSR State Special Revenue Fund Group $ 100,000 $ 100,000 58426
TOTAL ALL BUDGET FUND GROUPS $ 5,375,674 $ 5,375,674 58427


       Section 319.10.  JLE JOINT LEGISLATIVE ETHICS COMMITTEE58429

General Revenue Fund58430

GRF 028-321 Legislative Ethics Committee $ 550,000 $ 550,000 58431
TOTAL GRF General Revenue Fund $ 550,000 $ 550,000 58432

General Services Fund Group58433

4G7 028-601 Joint Legislative Ethics Committee $ 100,000 $ 100,000 58434
TOTAL GSF General Services Fund Group $ 100,000 $ 100,000 58435
TOTAL ALL BUDGET FUND GROUPS $ 650,000 $ 650,000 58436

       Section 321.10. LSC LEGISLATIVE SERVICE COMMISSION58437

General Revenue Fund58438

GRF 035-321 Operating Expenses $ 15,167,700 $ 15,167,700 58439
GRF 035-402 Legislative Interns $ 1,022,120 $ 1,022,120 58440
GRF 035-405 Correctional Institution Inspection Committee $ 393,900 $ 393,900 58441
GRF 035-409 National Associations $ 460,560 $ 460,560 58442
GRF 035-410 Legislative Information Systems $ 3,661,250 $ 3,661,250 58443
TOTAL GRF General Revenue Fund $ 20,705,530 $ 20,705,530 58444

General Services Fund Group58445

4F6 035-603 Legislative Budget Services $ 154,025 $ 154,025 58446
410 035-601 Sale of Publications $ 25,250 $ 25,250 58447
5EF 035-607 House and Senate Telephone Usage $ 30,000 $ 30,000 58448
TOTAL GSF General Services 58449
Fund Group $ 209,275 $ 209,275 58450
TOTAL ALL BUDGET FUND GROUPS $ 20,914,805 $ 20,914,805 58451

       JOINT LEGISLATIVE COMMITTEE ON MEDICAID TECHNOLOGY AND REFORM58452

        Of the foregoing appropriation item 035-321, Operating 58453
Expenses, $100,000 in each fiscal year shall be used for costs 58454
associated with employing an executive director for the Joint 58455
Legislative Committee on Medicaid Technology and Reform as 58456
authorized by division (C) of section 101.391 of the Revised Code.58457

       OHIO ECONOMIC ANALYSIS58458

       Of the foregoing appropriation item 035-321, Operating 58459
Expenses, up to $250,000 in each fiscal year shall be used to 58460
contract with a person, business, or other entity to provide the 58461
General Assembly with additional revenue forecasting and analysis 58462
of the Ohio economy.58463

       Section 323.10.  LIB STATE LIBRARY BOARD58464

General Revenue Fund58465

GRF 350-321 Operating Expenses $ 6,298,677 $ 6,298,677 58466
GRF 350-400 Ohio Public Library Information Network $ 4,330,000 $ 4,330,000 58467
GRF 350-401 Ohioana Rental Payments $ 124,816 $ 124,816 58468
GRF 350-501 Library for the Blind-Cincinnati $ 535,615 $ 535,615 58469
GRF 350-502 Regional Library Systems $ 1,010,441 $ 1,010,441 58470
GRF 350-503 Library for the Blind-Cleveland $ 805,642 $ 805,642 58471
TOTAL GRF General Revenue Fund $ 13,105,191 $ 13,105,191 58472

General Services Fund Group58473

139 350-602 Intra-Agency Service Charges $ 9,000 $ 9,000 58474
4S4 350-604 Ohio Public Library Information Network Technology $ 3,000,000 $ 3,000,000 58475
459 350-602 Library Service Charges $ 2,708,092 $ 2,708,092 58476
TOTAL GSF General Services 58477
Fund Group $ 5,717,092 $ 5,717,092 58478

Federal Special Revenue Fund Group58479

313 350-601 LSTA Federal $ 5,691,792 $ 5,691,792 58480
TOTAL FED Federal Special Revenue 58481
Fund Group $ 5,691,792 $ 5,691,792 58482
TOTAL ALL BUDGET FUND GROUPS $ 24,514,075 $ 24,514,075 58483

       OHIOANA RENTAL PAYMENTS58484

       The foregoing appropriation item 350-401, Ohioana Rental58485
Payments, shall be used to pay the rental expenses of the Martha58486
Kinney Cooper Ohioana Library Association pursuant to section58487
3375.61 of the Revised Code.58488

       LIBRARY FOR THE BLIND-CINCINNATI58489

        The foregoing appropriation item 350-501, Library for the 58490
Blind-Cincinnati, shall be used for the Talking Book program, 58491
which assists the blind and disabled.58492

       REGIONAL LIBRARY SYSTEMS58493

       The foregoing appropriation item 350-502, Regional Library58494
Systems, shall be used to support regional library systems58495
eligible for funding under sections 3375.83 and 3375.90 of the 58496
Revised Code.58497

       LIBRARY FOR THE BLIND-CLEVELAND58498

        The foregoing appropriation item 350-503, Library for the 58499
Blind-Cleveland, shall be used for the Talking Book program, which 58500
assists the blind and disabled.58501

       OHIO PUBLIC LIBRARY INFORMATION NETWORK58502

       The foregoing appropriation items 350-604, Ohio Public 58503
Library Information Network Technology, and 350-400, Ohio Public 58504
Library Information Network, shall be used for an information58505
telecommunications network linking public libraries in the state58506
and such others as may be certified as participants by the Ohio58507
Public Library Information Network Board.58508

       The Ohio Public Library Information Network Board shall58509
consist of eleven members appointed by the State Library Board58510
from among the staff of public libraries and past and present58511
members of boards of trustees of public libraries, based on the58512
recommendations of the Ohio library community. The Ohio Public58513
Library Information Network Board, in consultation with the State58514
Library, shall develop a plan of operations for the network. The58515
board may make decisions regarding use of the foregoing 58516
appropriation items 350-400, Ohio Public Library Information 58517
Network, and 350-604, Ohio Public Library Information Network 58518
Technology, may receive and expend grants to carry out the58519
operations of the network in accordance with state law and the 58520
authority to appoint and fix the compensation of a director and58521
necessary staff. The State Library shall be the fiscal agent for58522
the network and shall have fiscal accountability for the58523
expenditure of funds. The Ohio Public Library Information Network58524
Board members shall be reimbursed for actual travel and necessary58525
expenses incurred in carrying out their responsibilities.58526

       In order to limit access to obscene and illegal materials58527
through internet use at Ohio Public Library Information Network58528
(OPLIN) terminals, local libraries with OPLIN computer terminals58529
shall adopt policies that control access to obscene and illegal58530
materials. These policies may include use of technological systems 58531
to select or block certain internet access. The OPLIN shall 58532
condition provision of its funds, goods, and services on58533
compliance with these policies. The OPLIN Board shall also adopt58534
and communicate specific recommendations to local libraries on58535
methods to control such improper usage. These methods may include58536
each library implementing a written policy controlling such58537
improper use of library terminals and requirements for parental58538
involvement or written authorization for juvenile internet usage.58539

       Of the foregoing appropriation item 350-400, Ohio Public 58540
Library Information Network, up to $100,000 in each fiscal year 58541
shall be used to help local libraries purchase or maintain filters 58542
to screen out obscene and illegal internet materials.58543

       The OPLIN Board shall research and assist or advise local58544
libraries with regard to emerging technologies and methods that 58545
may be effective means to control access to obscene and illegal58546
materials. The OPLIN Executive Director shall biannually provide58547
written reports to the Governor, the Speaker and Minority Leader58548
of the House of Representatives, and the President and Minority58549
Leader of the Senate on any steps being taken by OPLIN and public58550
libraries in the state to limit and control such improper usage as58551
well as information on technological, legal, and law enforcement 58552
trends nationally and internationally affecting this area of 58553
public access and service.58554

       The Ohio Public Library Information Network, INFOhio, and58555
OhioLINK shall, to the extent feasible, coordinate and cooperate58556
in their purchase or other acquisition of the use of electronic58557
databases for their respective users and shall contribute funds in58558
an equitable manner to such effort.58559

       Section 325.10.  LCO LIQUOR CONTROL COMMISSION58560

Liquor Control Fund Group58561

043 970-321 Operating Expenses $ 743,093 $ 772,524 58562
TOTAL LCF Liquor Control Fund Group $ 743,093 $ 772,524 58563
TOTAL ALL BUDGET FUND GROUPS $ 743,093 $ 772,524 58564


       Section 327.10.  LOT STATE LOTTERY COMMISSION58566

General Services Fund Group58567

231 950-604 Charitable Gaming Oversight $ 2,253,000 $ 2,378,000 58568
TOTAL GSF General Services Fund Group $ 2,253,000 $ 2,378,000 58569

State Lottery Fund Group58570

044 950-100 Personal Services $ 25,945,116 $ 27,085,265 58571
044 950-200 Maintenance $ 18,748,274 $ 18,693,328 58572
044 950-300 Equipment $ 2,554,500 $ 2,446,500 58573
044 950-402 Advertising Contracts $ 21,250,000 $ 21,250,000 58574
044 950-403 Gaming Contracts $ 50,419,360 $ 51,250,704 58575
044 950-500 Problem Gambling Subsidy $ 335,000 $ 335,000 58576
044 950-601 Direct Prize Payments $ 147,716,286 $ 147,716,286 58577
871 950-602 Annuity Prizes $ 151,724,305 $ 151,724,305 58578
TOTAL SLF State Lottery Fund 58579
Group $ 418,692,841 $ 420,501,388 58580
TOTAL ALL BUDGET FUND GROUPS $ 420,945,841 $ 422,879,388 58581

       OPERATING EXPENSES58582

       Notwithstanding sections 127.14 and 131.35 of the Revised 58583
Code, the Controlling Board may, at the request of the State 58584
Lottery Commission, authorize additional appropriations for 58585
operating expenses of the State Lottery Commission from the State 58586
Lottery Fund up to a maximum of 15 per cent of anticipated total 58587
revenue accruing from the sale of lottery tickets.58588

       DIRECT PRIZE PAYMENTS58589

       Any amounts, in addition to the amounts appropriated in58590
appropriation item 950-601, Direct Prize Payments, that the 58591
Director of the State Lottery Commission determines to be 58592
necessary to fund prizes, bonuses, and commissions are hereby 58593
appropriated.58594

       ANNUITY PRIZES58595

       With the approval of the Office of Budget and Management, the58596
State Lottery Commission shall transfer cash from the State58597
Lottery Fund Group (Fund 044) to the Deferred Prizes Trust Fund58598
(Fund 871) in an amount sufficient to fund deferred prizes. The58599
Treasurer of State, from time to time, shall credit the Deferred58600
Prizes Trust Fund (Fund 871) the pro rata share of interest earned58601
by the Treasurer of State on invested balances.58602

       Any amounts, in addition to the amounts appropriated in58603
appropriation item 950-602, Annuity Prizes, that the Director of 58604
the State Lottery Commission determines to be necessary to fund 58605
deferred prizes and interest earnings are hereby appropriated.58606

       TRANSFERS TO THE LOTTERY PROFITS EDUCATION FUND58607

       The Ohio Lottery Commission shall transfer an amount greater58608
than or equal to $657,900,000 in fiscal year 2008 and $667,900,00058609
in fiscal year 2009 to the Lottery Profits Education Fund.58610
Transfers from the Commission to the Lottery Profits Education58611
Fund shall represent the estimated net income from operations for58612
the Commission in fiscal year 2008 and fiscal year 2009. Transfers 58613
by the Commission to the Lottery Profits Education Fund shall be 58614
administered as the statutes direct.58615

       Section 329.10. MHC MANUFACTURED HOMES COMMISSION58616

General Services Fund Group58617

4K9 996-609 Operating Expenses $ 418,122 $ 434,671 58618
TOTAL GSF General Services 58619
Fund Group $ 418,122 $ 434,671 58620
TOTAL ALL BUDGET FUND GROUPS $ 418,122 $ 434,671 58621


       Section 331.10. MED STATE MEDICAL BOARD58623

General Services Fund Group58624

5C6 883-609 Operating Expenses $ 7,883,145 $ 8,225,945 58625
TOTAL GSF General Services 58626
Fund Group $ 7,883,145 $ 8,225,945 58627
TOTAL ALL BUDGET FUND GROUPS $ 7,883,145 $ 8,225,945 58628


       Section 333.10. AMB MEDICAL TRANSPORTATION BOARD58630

General Services Fund Group58631

4K9 915-604 Operating Expenses $ 471,450 $ 473,450 58632
TOTAL GSF General Services 58633
Fund Group $ 471,450 $ 473,450 58634
TOTAL ALL BUDGET FUND GROUPS $ 471,450 $ 473,450 58635

       CASH TRANSFER TO OCCUPATIONAL LICENSING AND REGULATORY FUND 58636
(FUND 4K9)58637

       Effective July 1, 2007, or as soon as practicable thereafter, 58638
the Director of Budget and Management may transfer the cash 58639
balance in the Ohio Medical Transportation Trust Fund (Fund 4N1), 58640
created in division (B) of section 4766.05 of the Revised Code, to 58641
the Occupational Licensing and Regulatory Fund (Fund 4K9), created 58642
in section 4743.05 of the Revised Code. The director shall cancel 58643
any existing encumbrances against appropriation item 915-601, 58644
Operating Expenses, and re-establish them against appropriation 58645
item 915-604, Operating Expenses. The amounts of the 58646
re-established encumbrances are hereby appropriated. Upon 58647
completion of these transfers, the Ohio Medical Transportation 58648
Trust Fund (Fund 4N1) is hereby abolished.58649

       Section 335.10.  DMH DEPARTMENT OF MENTAL HEALTH58650

General Services Fund Group58651

151 336-601 Office of Support Services $ 134,060,000 $ 148,998,000 58652
TOTAL General Services Fund Group $ 134,060,000 $ 148,998,000 58653

Division of Mental Health--
58654

Psychiatric Services to Correctional Facilities
58655

General Revenue Fund58656

GRF 332-401 Forensic Services $ 4,338,858 $ 4,338,858 58657
TOTAL GRF General Revenue Fund $ 4,338,858 $ 4,338,858 58658


       Section 335.10.10. FORENSIC SERVICES58660

       The foregoing appropriation item 332-401, Forensic Services,58661
shall be used to provide psychiatric services to courts of common58662
pleas. The appropriation shall be allocated through community58663
mental health boards to certified community agencies and shall be58664
distributed according to the criteria delineated in rule58665
5122:32-01 of the Administrative Code. These community forensic58666
funds may also be used to provide forensic training to community58667
mental health boards and to forensic psychiatry residency programs58668
in hospitals operated by the Department of Mental Health and to58669
provide evaluations of patients of forensic status in facilities58670
operated by the Department of Mental Health prior to conditional58671
release to the community.58672

       In addition, appropriation item 332-401, Forensic Services,58673
may be used to support projects involving mental health, substance58674
abuse, courts, and law enforcement to identify and develop58675
appropriate alternative services to incarceration for nonviolent58676
mentally ill offenders, and to provide specialized re-entry 58677
services to offenders leaving prisons and jails. Funds may also be58678
utilized to provide forensic monitoring and tracking in addition 58679
to community programs serving persons of forensic status on 58680
conditional release or probation.58681

       Section 335.20. Division of Mental Health--58682

Administration and Statewide Programs
58683

General Revenue Fund58684

GRF 333-321 Central Administration $ 23,750,000 $ 23,750,000 58685
GRF 333-402 Resident Trainees $ 1,364,919 $ 1,364,919 58686
GRF 333-403 Pre-Admission Screening Expenses $ 650,135 $ 650,135 58687
GRF 333-415 Lease-Rental Payments $ 23,767,400 $ 20,504,500 58688
GRF 333-416 Research Program Evaluation $ 1,001,551 $ 1,001,551 58689
TOTAL GRF General Revenue Fund $ 50,534,005 $ 47,271,105 58690

General Services Fund Group58691

149 333-609 Central Office Operating $ 1,200,000 $ 1,200,000 58692
TOTAL General Services Fund Group $ 1,200,000 $ 1,200,000 58693

Federal Special Revenue Fund Group58694

3A6 333-608 Community & Hospital Services $ 140,000 $ 140,000 58695
3A7 333-612 Social Services Block Grant $ 25,000 $ 25,000 58696
3A8 333-613 Federal Grant - Administration $ 4,888,105 $ 4,888,105 58697
3A9 333-614 Mental Health Block Grant - Administration $ 748,470 $ 748,470 58698
3B1 333-635 Community Medicaid Expansion $ 13,691,682 $ 13,691,682 58699
324 333-605 Medicaid/Medicare $ 154,500 $ 154,500 58700
TOTAL Federal Special Revenue 58701
Fund Group $ 19,647,757 $ 19,647,757 58702

State Special Revenue Fund Group58703

232 333-621 Family and Children First Administration $ 625,000 $ 625,000 58704
4X5 333-607 Behavioral Health Medicaid Services $ 3,000,634 $ 3,000,634 58705
485 333-632 Mental Health Operating $ 134,233 $ 134,233 58706
5V2 333-611 Non-Federal Miscellaneous $ 580,000 $ 560,000 58707
TOTAL State Special Revenue 58708
Fund Group $ 4,339,867 $ 4,319,867 58709
TOTAL ALL BUDGET FUND GROUPS $ 75,721,629 $ 72,438,729 58710


       Section 335.20.10. RESIDENCY TRAINEESHIP PROGRAMS58712

       The foregoing appropriation item 333-402, Resident Trainees,58713
shall be used to fund training agreements entered into by the58714
Department of Mental Health for the development of curricula and58715
the provision of training programs to support public mental health58716
services.58717

       Section 335.20.20. PRE-ADMISSION SCREENING EXPENSES58718

       The foregoing appropriation item 333-403, Pre-Admission58719
Screening Expenses, shall be used to pay for costs to ensure that58720
uniform statewide methods for pre-admission screening are in place58721
to perform assessments for persons who have severe mental illness 58722
and are referred for long-term Medicaid certified nursing facility 58723
placement. Pre-admission screening includes the following58724
activities: pre-admission assessment, consideration of continued 58725
stay requests, discharge planning and referral, and adjudication 58726
of appeals and grievance procedures.58727

       Section 335.20.30. LEASE-RENTAL PAYMENTS58728

       The foregoing appropriation item 333-415, Lease-Rental58729
Payments, shall be used to meet all payments during the period 58730
from July 1, 2007, to June 30, 2009, by the Department of Mental 58731
Health under leases and agreements made under section 154.20 of 58732
the Revised Code. These appropriations are the source of funds 58733
pledged for bond service charges on obligations issued pursuant to 58734
Chapter 154. of the Revised Code.58735

       Section 335.20.40. BEHAVIORAL HEALTH MEDICAID SERVICES58736

       The Department of Mental Health shall administer specified58737
Medicaid Services as delegated by the Department of Job and Family58738
Services in an interagency agreement. The foregoing appropriation58739
item 333-607, Behavioral Health Medicaid Services, may be used to58740
make payments for free-standing psychiatric hospital inpatient58741
services as defined in an interagency agreement with the58742
Department of Job and Family Services.58743

       Section 335.20.50. PERFORMANCE REVIEW58744

       The Auditor of State shall complete a performance review of 58745
the Department of Mental Health. Upon completing the performance 58746
review, the Auditor of State shall submit a report of the findings 58747
of the review to the Governor, the President of the Senate, the 58748
Speaker of the House of Representatives, and the Director of 58749
Mental Health.58750

       Section 335.30. DIVISION OF MENTAL HEALTH - HOSPITALS58751

General Revenue Fund58752

GRF 334-408 Community and Hospital Mental Health Services $ 400,324,545 $ 400,324,545 58753
GRF 334-410 System Reform $ 0 $ 0 58754
GRF 334-506 Court Costs $ 976,652 $ 976,652 58755
TOTAL GRF General Revenue Fund $ 401,301,197 $ 401,301,197 58756

General Services Fund Group58757

149 334-609 Hospital - Operating Expenses $ 33,800,000 $ 33,800,000 58758
150 334-620 Special Education $ 120,930 $ 120,930 58759
TOTAL GSF General Services 58760
Fund Group $ 33,920,930 $ 33,920,930 58761

Federal Special Revenue Fund Group58762

3A6 334-608 Subsidy for Federal Grants $ 586,224 $ 586,224 58763
3A8 334-613 Federal Letter of Credit $ 200,000 $ 200,000 58764
3B0 334-617 Adult Basic and Literary Education $ 182,334 $ 182,334 58765
3B1 334-635 Hospital Medicaid Expansion $ 2,000,000 $ 2,000,000 58766
324 334-605 Medicaid/Medicare $ 34,500,000 $ 50,500,000 58767
TOTAL FED Federal Special Revenue 58768
Fund Group $ 37,468,558 $ 53,468,558 58769

State Special Revenue Fund Group58770

485 334-632 Mental Health Operating $ 3,100,000 $ 3,100,000 58771
692 334-636 Community Mental Health Board Risk Fund $ 80,000 $ 80,000 58772
TOTAL SSR State Special Revenue 58773
Fund Group $ 3,180,000 $ 3,180,000 58774
TOTAL ALL BUDGET FUND GROUPS $ 475,870,685 $ 496,870,685 58775


       Section 335.30.20. COMMUNITY MENTAL HEALTH BOARD RISK FUND58777

       The foregoing appropriation item 334-636, Community Mental58778
Health Board Risk Fund, shall be used to make payments under58779
section 5119.62 of the Revised Code.58780

       Section 335.40. DIVISION OF MENTAL HEALTH - COMMUNITY SUPPORT58781
SERVICES58782

General Revenue Fund58783

GRF 335-404 Behavioral Health Services-Children $ 8,076,153 $ 8,711,153 58784
GRF 335-405 Family & Children First $ 2,260,000 $ 2,260,000 58785
GRF 335-419 Community Medication Subsidy $ 7,959,798 $ 7,959,798 58786
GRF 335-505 Local Mental Health Systems of Care $ 101,937,868 $ 101,937,868 58787
TOTAL GRF General Revenue Fund $ 120,233,819 $ 120,868,819 58788

General Services Fund Group58789

4P9 335-604 Community Mental Health Projects $ 250,000 $ 250,000 58790
TOTAL GSF General Services 58791
Fund Group $ 250,000 $ 250,000 58792

Federal Special Revenue Fund Group58793

3A6 335-608 Federal Miscellaneous $ 2,178,699 $ 2,178,699 58794
3A7 335-612 Social Services Block Grant $ 8,657,288 $ 8,657,288 58795
3A8 335-613 Federal Grant - Community Mental Health Board Subsidy $ 2,595,040 $ 2,595,040 58796
3A9 335-614 Mental Health Block Grant $ 14,969,400 $ 14,969,400 58797
3B1 335-635 Community Medicaid Expansion $ 299,614,455 $ 316,699,716 58798
TOTAL FED Federal Special Revenue Fund Group $ 328,014,882 $ 345,100,143 58799

State Special Revenue Fund Group58800

5AU 335-615 Behavioral Healthcare $ 6,690,000 $ 6,690,000 58801
632 335-616 Community Capital Replacement $ 350,000 $ 350,000 58802
TOTAL SSR State Special Revenue Fund Group $ 7,040,000 $ 7,040,000 58803

TOTAL ALL BUDGET FUND GROUPS $ 455,538,701 $ 473,258,962 58804
DEPARTMENT TOTAL 58805
GENERAL REVENUE FUND $ 576,407,879 $ 573,779,979 58806
DEPARTMENT TOTAL 58807
GENERAL SERVICES FUND GROUP $ 169,430,930 $ 184,368,930 58808
DEPARTMENT TOTAL 58809
FEDERAL SPECIAL REVENUE 58810
FUND GROUP $ 385,131,197 $ 418,216,458 58811
DEPARTMENT TOTAL 58812
STATE SPECIAL REVENUE FUND GROUP $ 14,559,867 $ 14,539,867 58813
DEPARTMENT TOTAL 58814
TOTAL DEPARTMENT OF MENTAL HEALTH $ 1,145,529,873 $ 1,190,905,234 58815


       Section 335.40.10. BEHAVIORAL HEALTH SERVICES - CHILDREN58817

       The foregoing appropriation item 335-404, Behavioral Health 58818
Services-Children, shall be used to provide behavioral health 58819
services for children and their families. Behavioral health 58820
services include mental health and alcohol and other drug 58821
treatment services and other necessary supports.58822

       Of the foregoing appropriation item 335-404, Behavioral 58823
Health Services-Children, an amount up to $4.5 million in fiscal 58824
year 2008 and $5.5 million in fiscal year 2009 shall be 58825
distributed to local Alcohol, Drug Addiction, and Mental Health 58826
Boards; Community Mental Health Boards; and Alcohol and Drug 58827
Addiction Boards, based upon a distribution formula and guidance 58828
defined by a team of state and local stakeholders appointed by the 58829
Ohio Family and Children First Cabinet Council. This team shall 58830
include, but not be limited to, all of the following:58831

       (A) At least one representative from each of the Departments 58832
of Alcohol and Drug Addiction Services, Mental Health, Education, 58833
Health, Job and Family Services, Mental Retardation and 58834
Developmental Disabilities, and the Department of Youth Services;58835

       (B) At least one person representing local public children's 58836
services agencies;58837

       (C) At least one person representing juvenile courts;58838

       (D) At least one person representing local Alcohol, Drug 58839
Addiction, and Mental Health Boards; Community Mental Health 58840
Boards; and Alcohol and Drug Addiction Boards;58841

       (E) At least one person representing local Family and 58842
Children First Council Coordinators;58843

       (F) At least one family representative.58844

       Funds may be used to support the following services and 58845
activities as determined by local Alcohol, Drug Addiction, and 58846
Mental Health Boards; Community Mental Health Boards; and Alcohol 58847
and Drug Addiction Boards and local family and children first 58848
councils and aligned with county service coordination mechanism as 58849
described in division (C) of section 121.37 of the Revised Code:58850

       (A) Mental health services provided by the Ohio Department of 58851
Mental Health certified agencies and alcohol and other drug 58852
services provided by Department of Alcohol and Drug Addiction 58853
Services certified agencies;58854

       (B) Services and supports for children and their families 58855
that further the implementation of their individual service plans;58856

       (C) Treatment services in out-of-home settings, including 58857
residential facilities, when other alternatives are not available 58858
or feasible;58859

       (D) Administrative support for efforts associated with this 58860
initiative;58861

       (E) These funds shall not be used to supplant existing 58862
efforts.58863

       Of the foregoing appropriation item 335-404, Behavioral 58864
Health Services-Children, an amount up to $1.0 million in fiscal 58865
year 2008 and $1.0 million in fiscal year 2009 shall be used to 58866
support projects, as determined by the Ohio Family and Children 58867
First Cabinet Council, in select areas around the state to focus 58868
on improving behavioral health juvenile justice services.58869

       Of the foregoing appropriation item 335-405, Family & 58870
Children First, an amount up to $500,000 in fiscal year 2008 and 58871
$500,000 in fiscal year 2009 shall be used for children for whom 58872
the primary focus of treatment is not a mental health or alcohol 58873
or drug addiction disorder and require services or supports to 58874
assist those needs through the County Family and Children First 58875
Council.58876

       Section 335.40.20. COMMUNITY MEDICATION SUBSIDY58877

       The foregoing appropriation item 335-419, Community58878
Medication Subsidy, shall be used to provide subsidized support58879
for psychotropic medication needs of indigent citizens in the58880
community to reduce unnecessary hospitalization because of lack of58881
medication and to provide subsidized support for methadone costs.58882

       Section 335.40.30. LOCAL MENTAL HEALTH SYSTEMS OF CARE58883

       The foregoing appropriation item 335-505, Local Mental Health 58884
Systems of Care, shall be used for mental health services provided 58885
by community mental health boards in accordance with a community 58886
mental health plan submitted under section 340.03 of the Revised 58887
Code and as approved by the Department of Mental Health.58888

       Of the foregoing appropriation item 334-505, Local Mental 58889
Health Systems of Care, not less than $37,058,917 in fiscal year 58890
2008 and not less than $37,058,917 in fiscal year 2009 shall be 58891
distributed by the Department of Mental Health on a per capita 58892
basis to community mental health boards.58893

       Of the foregoing appropriation item 335-505, Local Mental 58894
Health Systems of Care, $10,000 in each fiscal year shall be 58895
allocated to The Gathering Place in Athens.58896

       Section 337.10.  DMR DEPARTMENT OF MENTAL RETARDATION AND58897
DEVELOPMENTAL DISABILITIES58898

       Section 337.20.  GENERAL ADMINISTRATION AND STATEWIDE 58899
SERVICES58900

General Revenue Fund58901

GRF 320-321 Central Administration $ 9,638,610 $ 9,638,610 58902
GRF 320-412 Protective Services $ 2,792,322 $ 2,792,322 58903
GRF 320-415 Lease-Rental Payments $ 23,767,400 $ 20,504,500 58904
TOTAL GRF General Revenue Fund $ 36,198,332 $ 32,935,432 58905

General Services Fund Group58906

4B5 320-640 Training and Service Development $ 100,000 $ 100,000 58907
TOTAL GSF General Services 58908
Fund Group $ 100,000 $ 100,000 58909

Federal Special Revenue Fund Group58910

3A5 320-613 DD Council $ 2,705,004 $ 2,743,630 58911
TOTAL FED Federal Special Revenue 58912
Fund Group $ 2,705,004 $ 2,743,630 58913

State Special Revenue Fund Group 58914
5S2 590-622 Medicaid Administration & Oversight $ 11,003,855 $ 11,472,335 58915
TOTAL SSR State Special Revenue 58916
Fund Group $ 11,003,855 $ 11,472,335 58917
TOTAL ALL GENERAL ADMINISTRATION 58918
AND STATEWIDE SERVICES 58919
BUDGET FUND GROUPS $ 50,007,191 $ 47,251,397 58920

       Section 337.20.10. LEASE-RENTAL PAYMENTS58921

       The foregoing appropriation item 320-415, Lease-Rental58922
Payments, shall be used to meet all payments at the time they are 58923
required to be made during the period from July 1, 2007, to June58924
30, 2009, by the Department of Mental Retardation and58925
Developmental Disabilities under leases and agreements made under 58926
section 154.20 of the Revised Code. These appropriations are the 58927
source of funds pledged for bond service charges or obligations 58928
issued pursuant to Chapter 154. of the Revised Code.58929

       Section 337.30. COMMUNITY SERVICES58930

General Revenue Fund58931

GRF 322-413 Residential and Support Services $ 6,753,881 $ 6,753,881 58932
GRF 322-416 Medicaid Waiver - State Match $ 113,692,413 $ 113,692,413 58933
GRF 322-501 County Boards Subsidies $ 90,067,913 $ 90,067,913 58934
GRF 322-503 Tax Equity $ 14,000,000 $ 14,000,000 58935
GRF 322-504 Martin Settlement $ 6,159,766 $ 29,036,451 58936
TOTAL GRF General Revenue Fund $ 230,673,973 $ 253,550,658 58937

General Services Fund Group58938

488 322-603 Provider Audit Refunds $ 10,000 $ 10,000 58939
5MO 322-628 Martin Settlement $ 150,000 $ 0 58940
TOTAL GSF General Services 58941
Fund Group $ 160,000 $ 10,000 58942

Federal Special Revenue Fund Group58943

3G6 322-639 Medicaid Waiver - Federal $ 456,311,171 $ 506,618,829 58944
3M7 322-650 CAFS Medicaid $ 4,278,713 $ 0 58945
325 322-612 Community Social Service Programs $ 11,186,114 $ 11,164,639 58946
TOTAL FED Federal Special Revenue 58947
Fund Group $ 471,775,998 $ 517,783,468 58948

State Special Revenue Fund Group58949

4K8 322-604 Medicaid Waiver - State Match $ 12,000,000 $ 12,000,000 58950
5DJ 322-625 Targeted Case Management Match $ 11,082,857 $ 11,470,757 58951
5DJ 322-626 Targeted Case Management Services $ 27,548,737 $ 28,512,943 58952
5EV 322-627 Program Fees $ 20,000 $ 20,000 58953
5H0 322-619 Medicaid Repayment $ 10,000 $ 10,000 58954
5Z1 322-624 County Board Waiver Match $ 116,000,000 $ 126,000,000 58955
TOTAL SSR State Special Revenue 58956
Fund Group $ 166,661,594 $ 178,013,700 58957
TOTAL ALL COMMUNITY SERVICES 58958
BUDGET FUND GROUPS $ 869,271,565 $ 949,357,826 58959


       Section 337.30.10. RESIDENTIAL AND SUPPORT SERVICES58961

       The Department of Mental Retardation and Developmental 58962
Disabilities may designate a portion of appropriation item 58963
322-413, Residential and Support Services, for Sermak Class 58964
Services used to implement the requirements of the agreement 58965
settling the condecree in Sermak v. Manuel, Case No. c-2-80-220,58966
United States District Court for the Southern District of Ohio,58967
Eastern Division.58968

       Section 337.30.20. OTHER RESIDENTIAL AND SUPPORT SERVICE 58969
PROGRAMS58970

       Notwithstanding Chapters 5123. and 5126. of the Revised Code, 58971
the Department of Mental Retardation and Developmental 58972
Disabilities may develop residential and support service programs 58973
funded by appropriation item 322-413, Residential and Support 58974
Services; and appropriation item 322-416, Medicaid Waiver - State 58975
Match, and the appropriation for supported living in appropriation 58976
item 322-501, County Board Subsidy, that enable persons with 58977
mental retardation and developmental disabilities to live in the 58978
community. Notwithstanding Chapter 5121. and section 5123.122 of 58979
the Revised Code, the Department may waive the support collection 58980
requirements of those statutes for persons in community programs 58981
developed by the Department under this section. The Department 58982
shall adopt rules under Chapter 119. of the Revised Code or may 58983
use existing rules for the implementation of these programs.58984

       Section 337.30.30. MEDICAID WAIVER - STATE MATCH (GRF)58985

       The purposes for which the foregoing appropriation item 58986
322-416, Medicaid Waiver - State Match, shall be used include the 58987
following:58988

       (A) Home and community-based waiver services under Title XIX 58989
of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 301, 58990
as amended.58991

       (B) Services contracted by county boards of mental 58992
retardation and developmental disabilities.58993

       (C) To pay the nonfederal share of the cost of one or more 58994
new intermediate care facility for the mentally retarded certified 58995
beds in a county where the county board of mental retardation and 58996
developmental disabilities does not initiate or support the 58997
development or certification of such beds, if the Director of 58998
Mental Retardation and Developmental Disabilities is required by 58999
this act to transfer to the Director of Job and Family Services 59000
funds to pay such nonfederal share.59001

       The Department of Mental Retardation and Developmental 59002
Disabilities may designate a portion of appropriation item 59003
322-416, Medicaid Waiver - State Match, to county boards of mental 59004
retardation and developmental disabilities that have greater need 59005
for various residential and support services because of a low 59006
percentage of residential and support services development in 59007
comparison to the number of individuals with mental retardation or 59008
developmental disabilities in the county.59009

       Section 337.30.40. STATE SUBSIDY TO COUNTY MR/DD BOARDS59010

       The Department of Mental Retardation and Developmental 59011
Disabilities shall use the foregoing appropriation item 322-501, 59012
County Boards Subsidy, to pay each county board of mental 59013
retardation and developmental disabilities in each fiscal year of 59014
the biennium an amount that is equal to the amount such board 59015
received in fiscal year 2007 from former appropriation items 59016
322-417, Supported Living; 322-451, Family Support Services; 59017
322-452, Service and Support Administration; and 322-501, County 59018
Boards Subsidies.59019

        County boards shall use the subsidy for early childhood 59020
services and adult services provided under section 5126.05 of the 59021
Revised Code, family support services provided under section 59022
5126.11 of the Revised Code, service and support administration 59023
provided under section 5126.15 of the Revised Code, and supported 59024
living services provided under sections 5126.40 to 5126.47 of the 59025
Revised Code.59026

       In the event that the appropriation in appropriation item 59027
322-501, County Board Subsidy, for fiscal year 2008 or fiscal year 59028
2009 is greater than the subsidy paid by the Department for fiscal 59029
year 2007, the Department and county boards shall develop a 59030
formula for allocating the additional appropriation to each county 59031
board to support priorities determined by the Department and 59032
county boards.59033

       The Department shall distribute this subsidy to county boards 59034
in quarterly installments of equal amounts. The installments shall 59035
be made not later than the thirtieth day of September, the 59036
thirty-first day of December, the thirty-first day of March, and 59037
thirtieth day of June.59038

       The Department also may use the foregoing appropriation item 59039
322-501, County Boards Subsidy, to pay the nonfederal share of the 59040
cost of one or more new intermediate care facility for the 59041
mentally retarded certified beds in a county where the county 59042
board of mental retardation and developmental disabilities 59043
initiates or supports the development or certification of such 59044
beds, if the Director of Mental Retardation and Developmental 59045
Disabilities is required by this act to transfer to the Director 59046
of Job and Family Services funds to pay such nonfederal share.59047

       Section 337.30.45. MARTIN CONSENT ORDER COMPLIANCE59048

        To comply with the Martin Consent Order, on July 1, 2007, or 59049
as soon as possible thereafter, the Director of Budget and 59050
Management shall transfer $150,000 in cash from the General 59051
Revenue Fund to the Program Income Fund (FUND 5MO).59052

       Section 337.30.50. MEDICAID WAIVER - STATE MATCH (FUND 4K8)59053

       The foregoing appropriation item 322-604, Medicaid Waiver - 59054
State Match (Fund 4K8), shall be used as state matching funds for 59055
the home and community-based waivers.59056

       Section 337.30.60. TARGETED CASE MANAGEMENT SERVICES59057

       County boards of mental retardation and developmental 59058
disabilities shall pay the nonfederal portion of targeted case 59059
management costs to the Department of Mental Retardation and 59060
Developmental Disabilities. The Director of Mental Retardation and 59061
Developmental Disabilities shall withhold any amount owed to the 59062
Department from subsequent disbursements from any appropriation 59063
item or money otherwise due to a nonpaying county.59064

       The Departments of Mental Retardation and Developmental 59065
Disabilities and Job and Family Services may enter into an 59066
interagency agreement under which the Department of Mental 59067
Retardation and Developmental Disabilities shall pay the 59068
Department of Job and Family Services the nonfederal portion of 59069
the cost of targeted case management services paid by county 59070
boards and the Department of Job and Family Services shall pay the 59071
total cost of targeted case management claims.59072

       Section 337.30.70.  TRANSFER TO PROGRAM FEE FUND59073

       On July 1, 2007, or as soon as possible thereafter, the 59074
Director of Mental Retardation and Developmental Disabilities 59075
shall certify to the Director of Budget and Management the amount 59076
of cash that has been deposited into Fund 4B5, 59077
Conference/Training, pursuant to sections 5123.19 and 5126.25 of 59078
the Revised Code, less the amount that has been expended from Fund 59079
4B5 to operate the Certification and Registration Program 59080
established under section 5126.25 of the Revised Code and to 59081
license and inspect residential facilities as outlined in section 59082
5123.19 of the Revised Code. The certified amount shall not 59083
include amounts deposited into Fund 4B5 for training and 59084
conferences conducted by the Department of Mental Retardation and 59085
Developmental Disabilities. Upon receipt of the certification, the 59086
Director of Budget and Management shall transfer cash equal to the 59087
amount certified and all associated liabilities and obligations to 59088
Fund 5EV, Program Fee Fund, in the Department of Mental 59089
Retardation and Developmental Disabilities. 59090

       Section 337.30.80.  DEVELOPMENTAL CENTER BILLING FOR SERVICES 59091

       Developmental centers of the Department of Mental Retardation59092
and Developmental Disabilities may provide services to persons59093
with mental retardation or developmental disabilities living in59094
the community or to providers of services to these persons. The59095
Department may develop a method for recovery of all costs59096
associated with the provisions of these services.59097

       Section 337.40. RESIDENTIAL FACILITIES59098

General Revenue Fund59099

GRF 323-321 Developmental Center and Residential Facilities Operation Expenses $ 102,796,851 $ 102,796,851 59100
TOTAL GRF General Revenue Fund $ 102,796,851 $ 102,796,851 59101

General Services Fund Group59102

152 323-609 Developmental Center and Residential Operating Services $ 912,177 $ 912,177 59103
TOTAL GSF General Services 59104
Fund Group $ 912,177 $ 912,177 59105

Federal Special Revenue Fund Group59106

3A4 323-605 Developmental Center and Residential Facility Services and Support $ 136,299,536 $ 137,555,308 59107
TOTAL FED Federal Special Revenue 59108
Fund Group $ 136,299,536 $ 137,555,308 59109

State Special Revenue Fund Group59110

221 322-620 Supplement Service Trust $ 150,000 $ 150,000 59111
489 323-632 Developmental Center Direct Care Support $ 14,543,764 $ 14,671,616 59112
TOTAL SSR State Special Revenue 59113
Fund Group $ 14,693,764 $ 14,821,616 59114
TOTAL ALL RESIDENTIAL FACILITIES 59115
BUDGET FUND GROUPS $ 254,702,328 $ 256,085,952 59116

DEPARTMENT TOTAL 59117
GENERAL REVENUE FUND $ 369,669,156 $ 389,282,941 59118
DEPARTMENT TOTAL 59119
GENERAL SERVICES FUND GROUP $ 1,172,177 $ 1,022,177 59120
DEPARTMENT TOTAL 59121
FEDERAL SPECIAL REVENUE FUND GROUP $ 610,780,538 $ 658,082,406 59122
DEPARTMENT TOTAL 59123
STATE SPECIAL REVENUE FUND GROUP $ 192,359,213 $ 204,307,651 59124
TOTAL DEPARTMENT OF MENTAL 59125
RETARDATION AND DEVELOPMENTAL 59126
DISABILITIES $ 1,173,981,084 $ 1,252,695,175 59127


       Section 337.40.10. TRANSFER OF FUNDS FOR DEVELOPMENTAL CENTER 59129
PHARMACY PROGRAMS59130

       The Department of Mental Retardation and Developmental 59131
Disabilities shall pay the Department of Job and Family Services 59132
quarterly, through intrastate transfer voucher, the nonfederal 59133
share of Medicaid prescription drug claim costs for all 59134
developmental centers paid by the Department of Job and Family 59135
Services.59136

       Section 337.40.20. NONFEDERAL MATCH FOR ACTIVE TREATMENT 59137
SERVICES59138

        Any county funds received by the Department from county 59139
boards for active treatment shall be deposited in Fund 489, Mental 59140
Retardation Operating.59141

       Section 337.40.30. NONFEDERAL SHARE OF NEW ICF/MR BEDS59142

       (A) As used in this section:59143

       (1) "Family support services," "home and community-based 59144
services," "service and support administration," and "supported 59145
living" have the same meaning as in section 5126.01 of the Revised 59146
Code.59147

       (2) "Intermediate care facility for the mentally retarded" 59148
has the same meaning as in section 5111.20 of the Revised Code.59149

       (B) If one or more new beds obtain certification as an 59150
intermediate care facility for the mentally retarded bed on or 59151
after July 1, 2007, the Director of Mental Retardation and 59152
Developmental Disabilities shall transfer funds to the Department 59153
of Job and Family Services to pay the nonfederal share of the cost 59154
under the Medicaid Program for those beds. The Director shall use 59155
only the following funds for the transfer:59156

       (1) If the beds are located in a county served by a county 59157
board of mental retardation and developmental disabilities that 59158
does not initiate or support the beds' certification, funds 59159
appropriated to the Department of Mental Retardation and 59160
Developmental Disabilities for home and community-based services 59161
and supported living for which the Director is authorized to make 59162
allocations to county boards;59163

       (2) If the beds are located in a county served by a county 59164
board that initiates or supports the beds' certification, funds 59165
appropriated to the Department for family support services, 59166
service and support administration, and other services for which 59167
the Director is authorized to make allocations to counties.59168

       (C) The funds that the Director transfers under division 59169
(B)(2) of this section shall be funds that the Director has 59170
allocated to the county board serving the county in which the beds 59171
are located unless the amount of the allocation is insufficient to 59172
pay the entire nonfederal share of the cost under the Medicaid 59173
Program for those beds. If the allocation is insufficient, the 59174
Director shall use as much of such funds allocated to other 59175
counties as is needed to make up the difference.59176

       Section 339.10.  MIH COMMISSION ON MINORITY HEALTH59177

General Revenue Fund59178

GRF 149-321 Operating Expenses $ 550,211 $ 561,216 59179
GRF 149-501 Minority Health Grants $ 670,965 $ 1,670,965 59180
GRF 149-502 Lupus Program $ 136,126 $ 136,126 59181
TOTAL GRF General Revenue Fund $ 1,357,302 $ 2,368,307 59182

Federal Special Revenue Fund Group59183

3J9 149-602 Federal Grants $ 457,486 $ 320,297 59184
TOTAL FED Federal Special Revenue 59185
Fund Group $ 457,486 $ 320,297 59186

State Special Revenue Fund Group59187

4C2 149-601 Minority Health Conference $ 150,000 $ 150,000 59188
TOTAL SSR State Special Revenue 59189
Fund Group $ 150,000 $ 150,000 59190
TOTAL ALL BUDGET FUND GROUPS $ 1,964,788 $ 2,838,604 59191


       Section 341.10. CRB MOTOR VEHICLE COLLISION REPAIR59193
REGISTRATION BOARD59194

General Service Fund Group59195

4K9 865-601 Operating Expenses $ 334,995 $ 334,995 59196
TOTAL GSF General Services 59197
Fund Group $ 334,995 $ 334,995 59198
TOTAL ALL BUDGET FUND GROUPS $ 334,995 $ 334,995 59199

       CASH TRANSFER TO OCCUPATIONAL LICENSING AND REGULATORY FUND 59200
(FUND 4K9)59201

       Effective July 1, 2007, or as soon as possible thereafter, 59202
the Director of Budget and Management may transfer the cash 59203
balance in the Motor Vehicle Collision Repair Registration Fund 59204
(Fund 5H9), created in division (A) of section 4775.08 of the 59205
Revised Code, to the Occupational Licensing and Regulatory Fund 59206
(Fund 4K9), created in section 4743.05 of the Revised Code. The 59207
Director may cancel any existing encumbrances against 59208
appropriation item 865-609, Operating Expenses – CRB, in Fund 5H9, 59209
and re-establish them against appropriation item 865-601, 59210
Operating Expenses, in Fund 4K9. The amounts of the re-established 59211
encumbrances are hereby appropriated. The Motor Vehicle Collision 59212
Repair Registration Fund (Fund 5H9), created in division (A) of 59213
section 4775.08 of the Revised Code, is hereby abolished.59214

       Section 343.10. DNR DEPARTMENT OF NATURAL RESOURCES59215

General Revenue Fund59216

GRF 725-401 Wildlife-GRF Central Support $ 2,705,950 $ 2,800,930 59217
GRF 725-404 Fountain Square Rental Payments - OBA $ 1,094,900 $ 1,081,200 59218
GRF 725-407 Conservation Reserve Enhancement Program $ 1,000,000 $ 1,000,000 59219
GRF 725-413 Lease Rental Payments $ 19,589,400 $ 18,316,200 59220
GRF 725-423 Stream and Ground Water Gauging $ 311,910 $ 311,910 59221
GRF 725-425 Wildlife License Reimbursement $ 500,000 $ 400,000 59222
GRF 725-456 Canal Lands $ 332,859 $ 332,859 59223
GRF 725-502 Soil and Water Districts $ 12,222,420 $ 12,880,791 59224
GRF 725-903 Natural Resources General Obligation Debt Service $ 24,713,800 $ 25,723,000 59225
GRF 727-321 Division of Forestry $ 8,541,511 $ 8,541,511 59226
GRF 728-321 Division of Geological Survey $ 1,799,222 $ 1,825,150 59227
GRF 729-321 Office of Information Technology $ 440,895 $ 440,895 59228
GRF 730-321 Division of Parks and Recreation $ 39,874,841 $ 39,874,841 59229
GRF 733-321 Division of Water $ 3,207,619 $ 3,257,619 59230
GRF 736-321 Division of Engineering $ 3,118,703 $ 3,118,703 59231
GRF 737-321 Division of Soil and Water $ 4,074,788 $ 4,074,788 59232
GRF 738-321 Division of Real Estate and Land Management $ 2,291,874 $ 2,291,874 59233
GRF 741-321 Division of Natural Areas and Preserves $ 3,050,000 $ 3,050,000 59234
GRF 744-321 Division of Mineral Resources Management $ 3,068,167 $ 3,068,167 59235
TOTAL GRF General Revenue Fund $ 131,938,859 $ 132,390,438 59236

General Services Fund Group59237

155 725-601 Departmental Projects $ 2,259,402 $ 2,260,021 59238
157 725-651 Central Support Indirect $ 6,228,950 $ 6,528,675 59239
204 725-687 Information Services $ 4,676,627 $ 4,676,627 59240
207 725-690 Real Estate Services $ 64,000 $ 64,000 59241
223 725-665 Law Enforcement Administration $ 2,230,485 $ 2,358,307 59242
227 725-406 Parks Projects Personnel $ 110,000 $ 110,000 59243
4D5 725-618 Recycled Materials $ 50,000 $ 50,000 59244
4S9 725-622 NatureWorks Personnel $ 525,000 $ 525,000 59245
4X8 725-662 Water Resources Council $ 125,000 $ 125,000 59246
430 725-671 Canal Lands $ 1,150,082 $ 1,150,082 59247
508 725-684 Natural Resources Publications $ 148,527 $ 148,280 59248
510 725-631 Maintenance - State-owned Residences $ 353,611 $ 303,611 59249
516 725-620 Water Management $ 2,913,618 $ 2,931,513 59250
635 725-664 Fountain Square Facilities Management $ 3,609,835 $ 3,640,398 59251
697 725-670 Submerged Lands $ 751,342 $ 772,011 59252
TOTAL GSF General Services 59253
Fund Group $ 25,196,479 $ 25,643,525 59254

Federal Special Revenue Fund Group59255

3B3 725-640 Federal Forest Pass-Thru $ 225,000 $ 225,000 59256
3B4 725-641 Federal Flood Pass-Thru $ 490,000 $ 490,000 59257
3B5 725-645 Federal Abandoned Mine Lands $ 14,307,664 $ 14,307,667 59258
3B6 725-653 Federal Land and Water Conservation Grants $ 2,000,000 $ 2,000,000 59259
3B7 725-654 Reclamation - Regulatory $ 2,107,291 $ 2,107,292 59260
3P0 725-630 Natural Areas and Preserves - Federal $ 215,000 $ 215,000 59261
3P1 725-632 Geological Survey - Federal $ 655,000 $ 720,000 59262
3P2 725-642 Oil and Gas-Federal $ 226,961 $ 234,509 59263
3P3 725-650 Coastal Management - Federal $ 2,643,323 $ 1,691,237 59264
3P4 725-660 Water - Federal $ 316,304 $ 316,734 59265
3R5 725-673 Acid Mine Drainage Abatement/Treatment $ 1,999,998 $ 2,025,001 59266
3Z5 725-657 REALM-Federal $ 1,850,000 $ 1,850,000 59267
332 725-669 Federal Mine Safety Grant $ 258,102 $ 258,102 59268
TOTAL FED Federal Special Revenue 59269
Fund Group $ 27,294,643 $ 26,440,542 59270

State Special Revenue Fund Group59271

4J2 725-628 Injection Well Review $ 67,578 $ 68,933 59272
4M7 725-631 Wildfire Suppression $ 70,000 $ 0 59273
4M7 725-686 Wildfire Suppression $ 100,000 $ 100,000 59274
4U6 725-668 Scenic Rivers Protection $ 407,100 $ 407,100 59275
5BV 725-683 Soil and Water Districts $ 4,300,984 $ 4,959,355 59276
5B3 725-674 Mining Regulation $ 28,850 $ 28,850 59277
5K1 725-626 Urban Forestry Grant $ 10,000 $ 12,000 59278
5P2 725-634 Wildlife Boater Angler Administration $ 3,500,000 $ 3,500,000 59279
509 725-602 State Forest $ 5,070,946 $ 5,211,924 59280
511 725-646 Ohio Geological Mapping $ 815,179 $ 724,310 59281
512 725-605 State Parks Operations $ 27,314,288 $ 27,314,288 59282
512 725-680 Parks Facilities Maintenance $ 2,576,240 $ 2,576,240 59283
514 725-606 Lake Erie Shoreline $ 917,113 $ 757,113 59284
518 725-643 Oil and Gas Permit Fees $ 2,574,378 $ 2,586,568 59285
518 725-677 Oil and Gas Well Plugging $ 800,000 $ 800,000 59286
521 725-627 Off-Road Vehicle Trails $ 198,490 $ 143,490 59287
522 725-656 Natural Areas and Preserves $ 1,550,670 $ 1,550,670 59288
526 725-610 Strip Mining Administration Fee $ 1,932,491 $ 1,903,871 59289
527 725-637 Surface Mining Administration $ 1,852,842 $ 1,946,591 59290
529 725-639 Unreclaimed Land Fund $ 2,892,516 $ 2,024,257 59291
531 725-648 Reclamation Forfeiture $ 2,062,234 $ 2,062,237 59292
532 725-644 Litter Control and Recycling $ 6,280,681 $ 6,280,681 59293
586 725-633 Scrap Tire Program $ 1,000,000 $ 1,000,000 59294
615 725-661 Dam Safety $ 548,223 $ 595,416 59295
TOTAL SSR State Special Revenue 59296
Fund Group $ 66,870,803 $ 66,553,894 59297

Clean Ohio Fund Group59298

061 725-405 Clean Ohio Operating $ 155,000 $ 155,000 59299
TOTAL CLF Clean Ohio Fund Group $ 155,000 $ 155,000 59300

Wildlife Fund Group59301

015 740-401 Division of Wildlife Conservation $ 53,706,000 $ 54,906,000 59302
815 725-636 Cooperative Management Projects $ 120,449 $ 120,449 59303
816 725-649 Wetlands Habitat $ 966,885 $ 966,885 59304
817 725-655 Wildlife Conservation Checkoff Fund $ 5,000,000 $ 5,000,000 59305
818 725-629 Cooperative Fisheries Research $ 1,500,000 $ 1,500,000 59306
819 725-685 Ohio River Management $ 128,584 $ 128,584 59307
TOTAL WLF Wildlife Fund Group $ 61,421,918 $ 62,621,918 59308

Waterways Safety Fund Group59309

086 725-414 Waterways Improvement $ 3,925,075 $ 4,062,452 59310
086 725-418 Buoy Placement $ 52,182 $ 52,182 59311
086 725-501 Waterway Safety Grants $ 137,867 $ 137,867 59312
086 725-506 Watercraft Marine Patrol $ 576,153 $ 576,153 59313
086 725-513 Watercraft Educational Grants $ 366,643 $ 366,643 59314
086 739-401 Division of Watercraft $ 19,626,681 $ 20,166,681 59315
5AW 725-682 Watercraft Revolving Loans $ 1,000,000 $ 1,000,000 59316
TOTAL WSF Waterways Safety Fund 59317
Group $ 25,684,601 $ 26,361,978 59318

Holding Account Redistribution Fund Group59319

R17 725-659 Performance Cash Bond Refunds $ 279,263 $ 279,263 59320
R43 725-624 Forestry $ 1,950,188 $ 2,007,977 59321
TOTAL 090 Holding Account 59322
Redistribution Fund Group $ 2,229,451 $ 2,287,240 59323

Accrued Leave Liability Fund Group59324

4M8 725-675 FOP Contract $ 20,844 $ 20,844 59325
TOTAL ALF Accrued Leave 59326
Liability Fund Group $ 20,844 $ 20,844 59327
TOTAL ALL BUDGET FUND GROUPS $ 340,812,598 $ 342,475,379 59328


       Section 343.20. CENTRAL SUPPORT INDIRECT59330

        With the exception of the Division of Wildlife, whose direct 59331
and indirect central support charges shall be paid out of the 59332
General Revenue Fund from the foregoing appropriation item 59333
725-401, Wildlife-GRF Central Support, the Department of Natural 59334
Resources, with approval of the Director of Budget and Management, 59335
shall utilize a methodology for determining each division's 59336
payments into the Central Support Indirect Fund (Fund 157). The 59337
methodology used shall contain the characteristics of 59338
administrative ease and uniform application in compliance with 59339
federal grant requirements. It may include direct cost charges for 59340
specific services provided. Payments to the Central Support 59341
Indirect Fund (Fund 157) shall be made using an intrastate 59342
transfer voucher.59343

       Section 343.30. FOUNTAIN SQUARE59344

       The foregoing appropriation item 725-404, Fountain Square59345
Rental Payments - OBA, shall be used by the Department of Natural59346
Resources to meet all payments required to be made to the Ohio59347
Building Authority during the period from July 1, 2007, to June59348
30, 2009, pursuant to leases and agreements with the Ohio Building59349
Authority under section 152.42 of the Revised Code. These 59350
appropriations are the source of funds pledged for bond service 59351
charges on obligations issued pursuant to Chapter 152. of the 59352
Revised Code.59353

       The Director of Natural Resources, using intrastate transfer59354
vouchers, shall make payments to the General Revenue Fund from59355
funds other than the General Revenue Fund to reimburse the General59356
Revenue Fund for the other funds' shares of the lease rental59357
payments to the Ohio Building Authority. The transfers from the59358
non-General Revenue funds shall be made within 10 days of the59359
payment to the Ohio Building Authority for the actual amounts59360
necessary to fulfill the leases and agreements pursuant to section59361
152.241 of the Revised Code.59362

       The foregoing appropriation item 725-664, Fountain Square59363
Facilities Management (Fund 635), shall be used for payment of59364
repairs, renovation, utilities, property management, and building59365
maintenance expenses for the Fountain Square Complex. Cash59366
transferred by intrastate transfer vouchers from various59367
department funds and rental income received by the Department of59368
Natural Resources shall be deposited into the Fountain Square59369
Facilities Management Fund (Fund 635).59370

       LEASE RENTAL PAYMENTS59371

       The foregoing appropriation item 725-413, Lease Rental59372
Payments, shall be used to meet all payments at the times they are59373
required to be made during the period from July 1, 2007, to June59374
30, 2009, by the Department of Natural Resources pursuant to59375
leases and agreements made under section 154.22 of the Revised59376
Code. These appropriations are the source of funds pledged for 59377
bond service charges or obligations issued pursuant to Chapter 59378
154. of the Revised Code.59379

       NATURAL RESOURCES GENERAL OBLIGATION DEBT SERVICE59380

       The foregoing appropriation item 725-903, Natural Resources59381
General Obligation Debt Service, shall be used to pay all debt59382
service and related financing costs during the period July 1, 59383
2007, to June 30, 2009, on obligations issued under sections 59384
151.01 and 151.05 of the Revised Code.59385

       Section 343.40. WILDLIFE LICENSE REIMBURSEMENT59386

       Notwithstanding the limits of the transfer from the General59387
Revenue Fund to the Wildlife Fund, as adopted in section 1533.1559388
of the Revised Code, up to the amount available in appropriation59389
item 725-425, Wildlife License Reimbursement, may be transferred59390
from the General Revenue Fund to the Wildlife Fund (Fund 015).59391
Pursuant to the certification of the Director of Budget and59392
Management of the amount of foregone revenue in accordance with59393
section 1533.15 of the Revised Code, the foregoing appropriation59394
item in the General Revenue Fund, appropriation item 725-425,59395
Wildlife License Reimbursement, shall be used to reimburse the59396
Wildlife Fund (Fund 015) for the cost of hunting and fishing59397
licenses and permits issued after June 30, 1990, to individuals59398
who are exempted under the Revised Code from license, permit, and59399
stamp fees.59400

       WILDLIFE CONSERVATION CHECKOFF FUND59401

        Of the foregoing appropriation item 725-655, Wildlife 59402
Conservation Checkoff Fund, up to $75,000 in each fiscal year 59403
shall be used by the Ohio Wildlife Center for wildlife 59404
preservation, wildlife protection, and wildlife education efforts.59405

       CANAL LANDS59406

       The foregoing appropriation item 725-456, Canal Lands, shall59407
be used to transfer funds to the Canal Lands Fund (Fund 430) to59408
provide operating expenses for the State Canal Lands Program. The59409
transfer shall be made using an intrastate transfer voucher and59410
shall be subject to the approval of the Director of Budget and59411
Management.59412

       SOIL AND WATER DISTRICTS59413

       In addition to state payments to soil and water conservation59414
districts authorized by section 1515.10 of the Revised Code, the59415
Department of Natural Resources may pay to any soil and water59416
conservation district, from authority in appropriation item59417
725-502, Soil and Water Districts, an annual amount not to exceed59418
$30,000, upon receipt of a request and justification from the59419
district and approval by the Ohio Soil and Water Conservation59420
Commission. The county auditor shall credit the payments to the59421
special fund established under section 1515.10 of the Revised Code59422
for the local soil and water conservation district. Moneys59423
received by each district shall be expended for the purposes of59424
the district. The foregoing appropriation item 725-683, Soil and 59425
Water Districts, shall be expended for the purposes described 59426
above, except that the funding source for this appropriation shall 59427
be a fee applied on the disposal of construction and demolition 59428
debris as provided in section 1515.14 of the Revised Code, as 59429
amended by this act.59430

       Of the foregoing appropriation item 725-683, Soil and Water 59431
Districts, $220,000 in each fiscal year shall be used to support 59432
the Heidelberg College Water Quality Laboratory.59433

       Of the foregoing appropriation item 725-683, Soil and Water 59434
Districts, $125,000 in each fiscal year shall be used for the 59435
Indian Lake Watershed in Logan County.59436

       Of the foregoing appropriation item 725-502, Soil and Water 59437
Districts, $35,000 in each fiscal year shall be used for the 59438
Conservation Action Project.59439

       STATE PARK DEPRECIATION RESERVE59440

        The foregoing appropriation item 725-680, Parks Facilities 59441
Maintenance, shall be used by the Division of Parks and Recreation 59442
to maintain state park revenue-producing facilities in the best 59443
economic operating condition and to repair and replace equipment 59444
used in the operation of state park revenue producing facilities.59445

       OIL AND GAS WELL PLUGGING59446

       The foregoing appropriation item 725-677, Oil and Gas Well59447
Plugging, shall be used exclusively for the purposes of plugging59448
wells and to properly restore the land surface of idle and orphan59449
oil and gas wells pursuant to section 1509.071 of the Revised59450
Code. No funds from the appropriation item shall be used for59451
salaries, maintenance, equipment, or other administrative59452
purposes, except for those costs directly attributed to the59453
plugging of an idle or orphan well. Appropriation authority from59454
this appropriation item shall not be transferred to any other fund 59455
or line item.59456

       LITTER CONTROL AND RECYCLING59457

       Of the foregoing appropriation item, 725-644, Litter Control 59458
and Recycling, not more than $1,500,000 may be used in each fiscal 59459
year for the administration of the Recycling and Litter Prevention 59460
program.59461

       CLEAN OHIO OPERATING EXPENSES59462

       The foregoing appropriation item 725-405, Clean Ohio 59463
Operating, shall be used by the Department of Natural Resources in 59464
administering section 1519.05 of the Revised Code.59465

       WATERCRAFT MARINE PATROL59466

       Of the foregoing appropriation item 739-401, Division of59467
Watercraft, not more than $200,000 in each fiscal year shall be59468
expended for the purchase of equipment for marine patrols59469
qualifying for funding from the Department of Natural Resources59470
pursuant to section 1547.67 of the Revised Code. Proposals for59471
equipment shall accompany the submission of documentation for59472
receipt of a marine patrol subsidy pursuant to section 1547.67 of59473
the Revised Code and shall be loaned to eligible marine patrols59474
pursuant to a cooperative agreement between the Department of59475
Natural Resources and the eligible marine patrol.59476

       WATERCRAFT REVOLVING LOAN PROGRAM59477

        Upon certification by the Director of Natural Resources, the 59478
Director of Budget and Management shall transfer an amount not to 59479
exceed $1,000,000 in fiscal year 2008 and not to exceed $1,000,000 59480
in fiscal year 2009 so certified from the Waterways Safety Fund 59481
(Fund 086) to the Watercraft Revolving Loans Fund (Fund 5AW). The 59482
moneys shall be used pursuant to sections 1547.721 to 1547.726 of 59483
the Revised Code.59484

       PARKS CAPITAL EXPENSES FUND59485

        The Director of Natural Resources shall submit to the 59486
Director of Budget and Management the estimated design, 59487
engineering, and planning costs of capital-related work to be done 59488
by Department of Natural Resources staff for parks projects. If 59489
the Director of Budget and Management approves the estimated 59490
costs, the Director may release appropriations from appropriation 59491
item 725-406, Parks Projects Personnel, for those purposes. Upon 59492
release of the appropriations, the Department of Natural Resources 59493
shall pay for these expenses from the Parks Capital Expenses Fund 59494
(Fund 227). Expenses paid from Fund 227 shall be reimbursed by the 59495
Parks and Recreation Improvement Fund (Fund 035) using an 59496
intrastate transfer voucher.59497

       CAPITAL EXPENSES FUND59498

        The Department of Natural Resources shall periodically 59499
prepare and submit to the Director of Budget and Management the 59500
estimated design, planning, and engineering costs of 59501
capital-related work to be done by the Department of Natural 59502
Resources for each project. Based on the estimates, the Director 59503
of Budget and Management may release appropriations from 59504
appropriation item CAP-753, Project Planning, within the Ohio 59505
Parks and Natural Resources Fund (Fund 031) to pay for design, 59506
planning, and engineering costs incurred by the Department of 59507
Natural Resources for the projects. Upon release of the 59508
appropriations by the Director of Budget and Management, the 59509
Department of Natural Resources shall pay for these expenses from 59510
the Capital Expenses Fund (Fund 4S9), and shall be reimbursed by 59511
the Ohio Parks and Natural Resources Fund (Fund 031) using an 59512
intrastate voucher.59513

       FUND CONSOLIDATION59514

       On July 1, 2007, or as soon thereafter as possible, the 59515
Director of Budget and Management shall transfer the cash balance 59516
as certified by the Director of Natural Resources from the Federal 59517
Forestry Fund (Fund 328) to the State Forest Fund (Fund 509). The 59518
Director shall cancel any remaining outstanding encumbrances 59519
against appropriation item 725-603, Forestry-Federal, and 59520
re-establish them against appropriation item 725-602, State 59521
Forest. The amounts of any encumbrances canceled and 59522
re-established are hereby appropriated.59523

       On July 1, 2007, or as soon thereafter as possible, the 59524
Director of Budget and Management shall transfer the cash balance 59525
as certified by the Director of Natural Resources from the REALM 59526
Support Services Fund (Fund 206) to the Fountain Square Facilities 59527
Management Fund (Fund 635). The Director shall cancel any 59528
remaining outstanding encumbrances against appropriation item 59529
725-689, REALM Support Services, and re-establish them against 59530
appropriation item 725-664, Fountain Square Facilities Management. 59531
The amounts of any encumbrances canceled and re-established are 59532
hereby appropriated.59533

       STATE PARK OPERATING59534

       All proceeds from insurance companies and any other sources 59535
for the replacement and construction of the Lake Hope Lodge and 59536
its appurtenances shall be deposited into the State Park Operating 59537
Fund (Fund 512).59538

       Section 345.10.  NUR STATE BOARD OF NURSING59539

General Services Fund Group59540

4K9 884-609 Operating Expenses $ 5,661,280 $ 5,661,280 59541
5P8 884-601 Nursing Special Issues $ 5,000 $ 5,000 59542
5AC 884-602 Nurse Education Grant Program $ 1,450,000 $ 1,450,000 59543
TOTAL GSF General Services 59544
Fund Group $ 7,116,280 $ 7,116,280 59545
TOTAL ALL BUDGET FUND GROUPS $ 7,116,280 $ 7,116,280 59546

       NURSING SPECIAL ISSUES59547

       The foregoing appropriation item 884-601, Nursing Special59548
Issues (Fund 5P8), shall be used to pay the costs the Board of59549
Nursing incurs in implementing section 4723.062 of the Revised59550
Code.59551

       Section 347.10. PYT OCCUPATIONAL THERAPY, PHYSICAL THERAPY, 59552
AND ATHLETIC TRAINERS BOARD59553

General Services Fund Group59554

4K9 890-609 Operating Expenses $ 892,241 $ 963,984 59555
TOTAL GSF General Services Fund Group $ 892,241 $ 963,984 59556
TOTAL ALL BUDGET FUND GROUPS $ 892,241 $ 963,984 59557


       Section 349.10. OLA OHIOANA LIBRARY ASSOCIATION59559

General Revenue Fund59560

GRF 355-501 Library Subsidy $ 200,000 $ 200,000 59561
TOTAL GRF General Revenue Fund $ 200,000 $ 200,000 59562
TOTAL ALL BUDGET FUND GROUPS $ 200,000 $ 200,000 59563


       Section 351.10. ODB OHIO OPTICAL DISPENSERS BOARD59565

General Services Fund Group59566

4K9 894-609 Operating Expenses $ 333,656 $ 345,324 59567
TOTAL GSF General Services 59568
Fund Group $ 333,656 $ 345,324 59569
TOTAL ALL BUDGET FUND GROUPS $ 333,656 $ 345,324 59570


       Section 353.10. OPT STATE BOARD OF OPTOMETRY59572

General Services Fund Group59573

4K9 885-609 Operating Expenses $ 344,571 $ 351,071 59574
TOTAL GSF General Services 59575
Fund Group $ 344,571 $ 351,071 59576
TOTAL ALL BUDGET FUND GROUPS $ 344,571 $ 351,071 59577


       Section 355.10. OPP STATE BOARD OF ORTHOTICS, PROSTHETICS, 59579
AND PEDORTHICS59580

General Services Fund Group59581

4K9 973-609 Operating Expenses $ 111,300 $ 116,260 59582
TOTAL GSF General Services 59583
Fund Group $ 111,300 $ 116,260 59584
TOTAL ALL BUDGET FUND GROUPS $ 111,300 $ 116,260 59585

       Section 357.10.  PBR STATE PERSONNEL BOARD OF REVIEW59586

General Revenue Fund59587

GRF 124-321 Operating $ 1,137,181 $ 1,179,825 59588
TOTAL GRF General Revenue Fund $ 1,137,181 $ 1,179,825 59589

General Services Fund Group59590

636 124-601 Records and Reporting Support $ 15,000 $ 15,000 59591
TOTAL GSF General Services 59592
Fund Group $ 15,000 $ 15,000 59593
TOTAL ALL BUDGET FUND GROUPS $ 1,152,181 $ 1,194,825 59594


       Section 359.10.  UST PETROLEUM UNDERGROUND STORAGE TANK59596

Agency Fund Group59597

691 810-632 PUSTRCB Staff $ 1,116,658 $ 1,169,181 59598
TOTAL AGY Agency Fund Group $ 1,116,658 $ 1,169,181 59599
TOTAL ALL BUDGET FUND GROUPS $ 1,116,658 $ 1,169,181 59600


       Section 361.10.  PRX STATE BOARD OF PHARMACY59602

General Services Fund Group59603

4A5 887-605 Drug Law Enforcement $ 75,550 $ 75,550 59604
4K9 887-609 Operating Expenses $ 4,874,572 $ 5,251,032 59605
TOTAL GSF General Services Fund Group $ 4,950,122 $ 5,326,582 59606

Federal Special Revenue Fund Group59607

3BC 887-604 Dangerous Drugs Database $ 558,531 $ 491,405 59608
TOTAL FED Federal Special Revenue Fund Group $ 558,531 $ 491,405 59609
TOTAL ALL BUDGET FUND GROUPS $ 5,508,653 $ 5,817,987 59610


       Section 363.10. PSY STATE BOARD OF PSYCHOLOGY59612

General Services Fund Group59613

4K9 882-609 Operating Expenses $ 586,565 $ 586,565 59614
TOTAL GSF General Services 59615
Fund Group $ 586,565 $ 586,565 59616
TOTAL ALL BUDGET FUND GROUPS $ 586,565 $ 586,565 59617


       Section 365.10.  PUB OHIO PUBLIC DEFENDER COMMISSION59619

General Revenue Fund59620

GRF 019-321 Public Defender Administration $ 1,287,404 $ 1,315,150 59621
GRF 019-401 State Legal Defense Services $ 5,914,023 $ 6,120,592 59622
GRF 019-403 Multi-County: State Share $ 766,402 $ 762,727 59623
GRF 019-404 Trumbull County - State Share $ 244,816 $ 243,650 59624
GRF 019-405 Training Account $ 31,324 $ 31,324 59625
GRF 019-501 County Reimbursement $ 29,834,251 $ 29,572,857 59626
TOTAL GRF General Revenue Fund $ 38,078,220 $ 38,046,300 59627

General Services Fund Group59628

101 019-602 Inmate Legal Assistance $ 33,338 $ 34,638 59629
407 019-604 County Representation $ 219,800 $ 227,500 59630
408 019-605 Client Payments $ 611,537 $ 476,760 59631
5CX 019-617 Civil Case Filing Fee $ 409,237 $ 598,400 59632
TOTAL GSF General Services 59633
Fund Group $ 1,273,912 $ 1,337,298 59634

Federal Special Revenue Fund Group59635

3S8 019-608 Federal Representation $ 350,948 $ 364,917 59636
TOTAL FED Federal Special Revenue 59637
Fund Group $ 350,948 $ 364,917 59638

State Special Revenue Fund Group59639

4C7 019-601 Multi-County: County Share $ 2,181,300 $ 2,288,200 59640
4X7 019-610 Trumbull County - County Share $ 696,800 $ 731,000 59641
574 019-606 Civil Legal Aid $ 40,000,000 $ 40,000,000 59642
TOTAL SSR State Special Revenue 59643
Fund Group $ 42,878,100 $ 43,019,200 59644
TOTAL ALL BUDGET FUND GROUPS $ 82,581,180 $ 82,767,715 59645

       INDIGENT DEFENSE OFFICE59646

       The foregoing appropriation items 019-404, Trumbull County -59647
State Share, and 019-610, Trumbull County - County Share, shall be59648
used to support an indigent defense office for Trumbull County.59649

       MULTI-COUNTY OFFICE59650

       The foregoing appropriation items 019-403, Multi-County:59651
State Share, and 019-601, Multi-County: County Share, shall be59652
used to support the Office of the Ohio Public Defender's59653
Multi-County Branch Office Program.59654

       TRAINING ACCOUNT59655

       The foregoing appropriation item 019-405, Training Account,59656
shall be used by the Ohio Public Defender to provide legal59657
training programs at no cost for private appointed counsel who59658
represent at least one indigent defendant at no cost and for state 59659
and county public defenders and attorneys who contract with the 59660
Ohio Public Defender to provide indigent defense services.59661

       FEDERAL REPRESENTATION59662

       The foregoing appropriation item 019-608, Federal59663
Representation, shall be used to receive reimbursements from the59664
federal courts when the Ohio Public Defender provides59665
representation in federal court cases and to support 59666
representation in such cases.59667

       Section 367.10. DHS DEPARTMENT OF PUBLIC SAFETY59668

General Revenue Fund59669

GRF 763-403 Operating Expenses - EMA $ 4,164,697 $ 4,164,697 59670
GRF 768-424 Operating Expenses - CJS $ 814,478 $ 814,478 59671
GRF 769-321 Food Stamp Trafficking Enforcement Operations $ 752,000 $ 752,000 59672
TOTAL GRF General Revenue Fund $ 5,731,175 $ 5,731,175 59673

State Special Revenue Fund Group59674

5EX 768-690 Disaster Preparedness $ 350,000 $ 350,000 59675
TOTAL SSR State Special Revenue Fund Group $ 350,000 $ 350,000 59676

TOTAL ALL BUDGET FUND GROUPS $ 6,081,175 $ 6,081,175 59677

       OHIO TASK FORCE ONE - URBAN SEARCH AND RESCUE UNIT59678

       Of the foregoing appropriation item 763-403, Operating59679
Expenses - EMA, $200,000 in each fiscal year shall be used to fund59680
the Ohio Task Force One - Urban Search and Rescue Unit and other59681
urban search and rescue programs around the state to create a59682
stronger search and rescue capability statewide.59683

       EMA DISASTER PREPAREDNESS AND RESPONSE GRANT59684

       Of the foregoing appropriation item 768-690, Disaster 59685
Preparedness, $350,000 in each fiscal year shall be used for a 59686
grant to the American Red Cross Greater Columbus Chapter for 59687
implementation of programs to assist in disaster preparedness and 59688
response throughout Ohio. The American Red Cross Greater Columbus 59689
Chapter shall develop a funding plan that includes programmatic, 59690
infrastructure, and administrative costs. Moneys shall be released 59691
to the American Red Cross Greater Columbus Chapter not more than 59692
45 days after submission of the plan to the Ohio Emergency 59693
Management Agency.59694

       Section 369.10. PUC PUBLIC UTILITIES COMMISSION OF OHIO59695

General Services Fund Group59696

5F6 870-622 Utility and Railroad Regulation $ 32,820,027 $ 33,804,627 59697
5F6 870-624 NARUC/NRRI Subsidy $ 158,000 $ 158,000 59698
5F6 870-625 Motor Transportation Regulation $ 4,635,413 $ 4,772,765 59699
TOTAL GSF General Services 59700
Fund Group $ 37,613,440 $ 38,735,392 59701

Federal Special Revenue Fund Group59702

3V3 870-604 Commercial Vehicle Information Systems/Networks $ 300,000 $ 300,000 59703
333 870-601 Gas Pipeline Safety $ 597,957 $ 597,959 59704
350 870-608 Motor Carrier Safety $ 7,137,534 $ 7,351,660 59705
TOTAL FED Federal Special Revenue 59706
Fund Group $ 8,035,491 $ 8,249,619 59707

State Special Revenue Fund Group59708

4A3 870-614 Grade Crossing Protection Devices-State $ 1,349,757 $ 1,349,757 59709
4L8 870-617 Pipeline Safety-State $ 187,621 $ 187,621 59710
4S6 870-618 Hazardous Material Registration $ 464,325 $ 464,325 59711
4S6 870-621 Hazardous Materials Base State Registration $ 373,346 $ 373,346 59712
4U8 870-620 Civil Forfeitures $ 284,986 $ 284,986 59713
5BP 870-623 Wireless 9-1-1 Administration $ 26,875,000 $ 13,375,000 59714
559 870-605 Public Utilities Territorial Administration $ 4,000 $ 4,000 59715
560 870-607 Public Utilities Investigations $ 100,000 $ 100,000 59716
561 870-606 Power Siting Board $ 404,651 $ 404,652 59717
638 870-611 Biomass Energy Program $ 40,000 $ 40,000 59718
661 870-612 Hazardous Materials Transportation $ 900,000 $ 900,000 59719
TOTAL SSR State Special Revenue 59720
Fund Group $ 30,983,686 $ 17,483,687 59721

Agency Fund Group59722

4G4 870-616 Base State Registration Program $ 2,000,000 $ 0 59723
TOTAL AGY Agency Fund Group $ 2,000,000 $ 0 59724
TOTAL ALL BUDGET FUND GROUPS $ 78,632,617 $ 64,468,698 59725

       COMMERCIAL VEHICLE INFORMATION SYSTEMS AND NETWORKS PROJECT59726

       The fund created by section 4923.26 of the Revised Code is 59727
the same fund, with a new name, as the Commercial Vehicle 59728
Information Systems and Networks Fund (Fund 3V3).59729

       ENHANCED AND WIRELESS ENHANCED 9-1-159730

       The foregoing appropriation item 870-623, Wireless 9-1-1 59731
Administration, shall be used pursuant to section 4931.63 of the 59732
Revised Code.59733

       Section 371.10. PWC PUBLIC WORKS COMMISSION59734

General Revenue Fund59735

GRF 150-904 Conservation General Obligation Debt Service $ 14,698,728 $ 19,037,480 59736
GRF 150-907 State Capital Improvements $ 175,738,464 $ 181,620,189 59737
General Obligation Debt Service 59738
TOTAL GRF General Revenue Fund $ 190,437,192 $ 200,657,669 59739

Clean Ohio Fund Group59740

056 150-403 Clean Ohio Operating Expenses $ 301,537 $ 311,509 59741
TOTAL 056 Clean Ohio Fund Group $ 301,537 $ 311,509 59742
TOTAL ALL BUDGET FUND GROUPS $ 190,738,729 $ 200,969,178 59743

       CONSERVATION GENERAL OBLIGATION DEBT SERVICE59744

       The foregoing appropriation item 150-904, Conservation59745
General Obligation Debt Service, shall be used to pay all debt59746
service and related financing costs during the period from July 1, 59747
2007, through June 30, 2009, at the times they are required to be 59748
made for obligations issued under sections 151.01 and 151.09 of 59749
the Revised Code.59750

       STATE CAPITAL IMPROVEMENTS GENERAL OBLIGATION DEBT SERVICE59751

       The foregoing appropriation item 150-907, State Capital59752
Improvements General Obligation Debt Service, shall be used to pay59753
all debt service and related financing costs during the period 59754
from July 1, 2007, to June 30, 2009, at the times they are 59755
required to be made for obligations issued under sections 151.01 59756
and 151.08 of the Revised Code.59757

       REIMBURSEMENT TO THE GENERAL REVENUE FUND59758

        (A) On or before July 15, 2009, the Director of the Public 59759
Works Commission shall certify to the Director of Budget and 59760
Management the following:59761

        (1) The total amount disbursed from appropriation item 59762
700-409, Farmland Preservation, during the fiscal year 2008-2009 59763
biennium; and59764

        (2) The amount of interest earnings that have been credited 59765
to the Clean Ohio Conservation Fund (Fund 056) that are in excess 59766
of the amount needed for other purposes as calculated by the 59767
Director of the Public Works Commission.59768

        (B) If the Director of Budget and Management determines under 59769
division (A)(2) of this section that there are excess interest 59770
earnings, the Director of Budget and Management shall, on or 59771
before July 15, 2009, transfer the excess interest earnings to the 59772
General Revenue Fund in an amount equal to the total amount 59773
disbursed under division (A)(1) of this section from the Clean 59774
Ohio Conservation Fund.59775

       CLEAN OHIO OPERATING EXPENSES59776

       The foregoing appropriation item 150-403, Clean Ohio 59777
Operating Expenses, shall be used by the Ohio Public Works 59778
Commission in administering sections 164.20 to 164.27 of the 59779
Revised Code.59780

       Section 373.10.  RAC STATE RACING COMMISSION59781

State Special Revenue Fund Group59782

5C4 875-607 Simulcast Horse Racing Purse $ 16,000,000 $ 16,000,000 59783
562 875-601 Thoroughbred Race Fund $ 3,100,000 $ 3,100,000 59784
563 875-602 Standardbred Development Fund $ 2,600,000 $ 2,600,000 59785
564 875-603 Quarterhorse Development Fund $ 1,000 $ 1,000 59786
565 875-604 Racing Commission Operating $ 4,487,599 $ 4,487,599 59787
TOTAL SSR State Special Revenue 59788
Fund Group $ 26,188,599 $ 26,188,599 59789

Holding Account Redistribution Fund Group59790

R21 875-605 Bond Reimbursements $ 212,900 $ 212,900 59791
TOTAL 090 Holding Account Redistribution 59792
Fund Group $ 212,900 $ 212,900 59793
TOTAL ALL BUDGET FUND GROUPS $ 26,401,499 $ 26,401,499 59794


       Section 375.10. BOR BOARD OF REGENTS59796

General Revenue Fund59797

GRF 235-321 Operating Expenses $ 3,141,351 $ 3,141,351 59798
GRF 235-401 Lease Rental Payments $ 203,177,900 $ 136,017,500 59799
GRF 235-402 Sea Grants $ 300,000 $ 300,000 59800
GRF 235-406 Articulation and Transfer $ 2,900,000 $ 2,900,000 59801
GRF 235-408 Midwest Higher Education Compact $ 95,000 $ 95,000 59802
GRF 235-409 Information System $ 1,175,172 $ 1,175,172 59803
GRF 235-414 State Grants and Scholarship Administration $ 1,707,881 $ 1,707,881 59804
GRF 235-415 Jobs Challenge $ 9,348,300 $ 9,348,300 59805
GRF 235-417 Ohio Learning Network $ 3,119,496 $ 3,119,496 59806
GRF 235-418 Access Challenge $ 66,585,769 $ 66,585,769 59807
GRF 235-420 Success Challenge $ 53,653,973 $ 53,653,973 59808
GRF 235-428 Appalachian New Economy Partnership $ 1,176,068 $ 1,176,068 59809
GRF 235-433 Economic Growth Challenge $ 17,186,194 $ 17,186,194 59810
GRF 235-434 College Readiness and Access $ 12,655,425 $ 12,655,425 59811
GRF 235-435 Teacher Improvement Initiatives $ 4,797,506 $ 11,297,506 59812
GRF 235-436 AccelerateOhio $ 2,500,000 $ 5,000,000 59813
GRF 235-437 STEM Initiatives $ 10,000,000 $ 10,000,000 59814
GRF 235-451 Eminent Scholars $ 0 $ 1,000,000 59815
GRF 235-455 EnterpriseOhio Network $ 1,373,941 $ 1,373,941 59816
GRF 235-474 Area Health Education Centers Program Support $ 1,571,756 $ 1,571,756 59817
GRF 235-501 State Share of Instruction $ 1,620,877,952 $ 1,782,965,747 59818
GRF 235-502 Student Support Services $ 795,790 $ 795,790 59819
GRF 235-503 Ohio Instructional Grants $ 42,533,966 $ 18,315,568 59820
GRF 235-504 War Orphans Scholarships $ 4,812,321 $ 4,812,321 59821
GRF 235-507 OhioLINK $ 7,387,824 $ 7,387,824 59822
GRF 235-508 Air Force Institute of Technology $ 1,925,345 $ 1,925,345 59823
GRF 235-510 Ohio Supercomputer Center $ 4,271,195 $ 4,271,195 59824
GRF 235-511 Cooperative Extension Service $ 26,157,760 $ 26,157,760 59825
GRF 235-513 Ohio University Voinovich Center $ 336,082 $ 336,082 59826
GRF 235-514 Central State Supplement $ 11,413,995 $ 11,413,995 59827
GRF 235-515 Case Western Reserve University School of Medicine $ 3,011,271 $ 3,011,271 59828
GRF 235-518 Capitol Scholarship Program $ 125,000 $ 125,000 59829
GRF 235-519 Family Practice $ 4,548,470 $ 4,548,470 59830
GRF 235-520 Shawnee State Supplement $ 2,056,986 $ 2,056,986 59831
GRF 235-521 The Ohio State University Glenn Institute $ 286,082 $ 286,082 59832
GRF 235-524 Police and Fire Protection $ 171,959 $ 171,959 59833
GRF 235-525 Geriatric Medicine $ 750,110 $ 750,110 59834
GRF 235-526 Primary Care Residencies $ 2,245,688 $ 2,245,688 59835
GRF 235-527 Ohio Aerospace Institute $ 1,764,957 $ 1,764,957 59836
GRF 235-530 Academic Scholarships $ 7,800,000 $ 7,800,000 59837
GRF 235-531 Student Choice Grants $ 38,485,376 $ 38,485,376 59838
GRF 235-535 Ohio Agricultural Research and Development Center $ 36,674,292 $ 36,674,292 59839
GRF 235-536 The Ohio State University Clinical Teaching $ 13,565,885 $ 13,565,885 59840
GRF 235-537 University of Cincinnati Clinical Teaching $ 11,157,756 $ 11,157,756 59841
GRF 235-538 University of Toledo Clinical Teaching $ 8,696,866 $ 8,696,866 59842
GRF 235-539 Wright State University Clinical Teaching $ 4,225,107 $ 4,225,107 59843
GRF 235-540 Ohio University Clinical Teaching $ 4,084,540 $ 4,084,540 59844
GRF 235-541 Northeastern Ohio Universities College of Medicine Clinical Teaching $ 4,200,945 $ 4,200,945 59845
GRF 235-547 School of International Business $ 450,000 $ 450,000 59846
GRF 235-552 Capital Component $ 19,306,442 $ 19,306,442 59847
GRF 235-553 Dayton Area Graduate Studies Institute $ 2,806,599 $ 2,806,599 59848
GRF 235-554 Priorities in Collaborative Graduate Education $ 2,355,548 $ 2,355,548 59849
GRF 235-555 Library Depositories $ 1,696,458 $ 1,696,458 59850
GRF 235-556 Ohio Academic Resources Network $ 3,727,223 $ 3,727,223 59851
GRF 235-558 Long-term Care Research $ 311,047 $ 311,047 59852
GRF 235-561 Bowling Green State University Canadian Studies Center $ 100,015 $ 100,015 59853
GRF 235-563 Ohio College Opportunity Grant $ 139,974,954 $ 151,113,781 59854
GRF 235-567 Central State University Speed to Scale $ 4,400,000 $ 3,800,000 59855
GRF 235-569 Choose Ohio First Scholarship $ 50,000,000 $ 50,000,000 59856
GRF 235-572 The Ohio State University Clinic Support $ 1,277,019 $ 1,277,019 59857
GRF 235-583 Urban University Program $ 5,142,937 $ 5,142,937 59858
GRF 235-587 Rural University Projects $ 1,047,889 $ 1,047,889 59859
GRF 235-596 Hazardous Materials Program $ 360,435 $ 360,435 59860
GRF 235-599 National Guard Scholarship Program $ 16,611,063 $ 16,611,063 59861
GRF 235-909 Higher Education General Obligation Debt Service $ 163,222,668 $ 198,309,840 59862
TOTAL GRF General Revenue Fund $ 2,673,619,549 $ 2,799,954,545 59863

General Services Fund Group59864

220 235-614 Program Approval and Reauthorization $ 800,000 $ 800,000 59865
456 235-603 Sales and Services $ 700,000 $ 700,000 59866
TOTAL GSF General Services 59867
Fund Group $ 1,500,000 $ 1,500,000 59868

Federal Special Revenue Fund Group59869

3BG 235-626 Star Schools $ 2,980,865 $ 2,990,746 59870
3H2 235-608 Human Services Project $ 3,000,000 $ 3,000,000 59871
3H2 235-622 Medical Collaboration Network $ 3,346,144 $ 3,346,144 59872
3N6 235-605 State Student Incentive Grants $ 2,196,680 $ 2,196,680 59873
3T0 235-610 National Health Service Corps - Ohio Loan Repayment $ 250,000 $ 250,000 59874
312 235-609 Tech Prep $ 183,850 $ 183,850 59875
312 235-611 Gear-up Grant $ 3,300,000 $ 3,300,000 59876
312 235-612 Carl D. Perkins Grant/Plan Administration $ 112,960 $ 112,960 59877
312 235-617 Improving Teacher Quality Grant $ 3,200,000 $ 3,200,000 59878
312 235-621 Science Education Network $ 1,686,970 $ 1,686,970 59879
TOTAL FED Federal Special Revenue 59880
Fund Group $ 20,257,469 $ 20,267,350 59881

State Special Revenue Fund Group59882

4E8 235-602 Higher Educational Facility Commission Administration $ 50,000 $ 45,000 59883
4P4 235-604 Physician Loan Repayment $ 476,870 $ 476,870 59884
649 235-607 The Ohio State University Highway/Transportation Research $ 760,000 $ 760,000 59885
682 235-606 Nursing Loan Program $ 893,000 $ 893,000 59886
5DT 235-627 American Diploma Project $ 250,000 $ 0 59887
TOTAL SSR State Special Revenue 59888
Fund Group $ 2,429,870 $ 2,174,870 59889
TOTAL ALL BUDGET FUND GROUPS $ 2,697,806,888 $ 2,823,896,765 59890


       Section 375.10.10. OPERATING EXPENSES59892

       Of the foregoing appropriation item 235-321, Operating 59893
Expenses, up to $150,000 in each fiscal year shall be used in 59894
conjunction with funding provided in the Department of Education 59895
budget under appropriation item 200-427, Academic Standards, to 59896
fund the operations of Ohio's Partnership for Continued Learning. 59897
The Partnership shall advise and make recommendations to promote 59898
collaboration among relevant state entities in an effort to help 59899
local communities develop coherent and successful "P-16" learning 59900
systems. Upon requesting and receiving approval from the 59901
Controlling Board, the Director of Budget and Management may 59902
transfer any unencumbered fiscal year 2008 balance to fiscal year 59903
2009 to support the activities of the Partnership.59904

       Section 375.10.20. LEASE RENTAL PAYMENTS59905

       The foregoing appropriation item 235-401, Lease Rental59906
Payments, shall be used to meet all payments at the times they are 59907
required to be made during the period from July 1, 2007, to June59908
30, 2009, by the Board of Regents under leases and agreements made 59909
under section 154.21 of the Revised Code. These appropriations are 59910
the source of funds pledged for bond service charges or 59911
obligations issued pursuant to Chapter 154. of the Revised Code.59912

       Section 375.10.30. SEA GRANTS59913

       The foregoing appropriation item 235-402, Sea Grants, shall59914
be disbursed to the Ohio State University and shall be used to59915
conduct research on fish in Lake Erie.59916

       Section 375.10.40. ARTICULATION AND TRANSFER59917

       The foregoing appropriation item 235-406, Articulation and 59918
Transfer, shall be used by the Board of Regents to maintain and 59919
expand the work of the Articulation and Transfer Council to 59920
develop a system of transfer policies to ensure that students at 59921
state institutions of higher education can transfer and have 59922
coursework apply to their majors and degrees at any other state 59923
institution of higher education without unnecessary duplication or 59924
institutional barriers under sections 3333.16, 3333.161, and 59925
3333.162 of the Revised Code. The Board of Regents shall, in 59926
consultation with the Governor and the Department of Education, 59927
convene a work group to establish coursework for content knowledge 59928
and teacher competencies for early care and education degrees to 59929
support articulation and transfer of coursework, certifications, 59930
and credit earned across state-supported institutions of higher 59931
education.59932

       Of the foregoing appropriation item 235-406, Articulation and 59933
Transfer, $200,000 in each fiscal year shall be used to support 59934
the work of the Articulation and Transfer Council under division 59935
(B) of section 3333.162 of the Revised Code.59936

       Section 375.10.50. MIDWEST HIGHER EDUCATION COMPACT59937

       The foregoing appropriation item 235-408, Midwest Higher59938
Education Compact, shall be distributed by the Board of Regents59939
under section 3333.40 of the Revised Code.59940

       Section 375.10.60. INFORMATION SYSTEM59941

       The foregoing appropriation item 235-409, Information System,59942
shall be used by the Board of Regents to operate the higher59943
education information data system known as the Higher Education59944
Information System.59945

       Section 375.10.70. STATE GRANTS AND SCHOLARSHIP 59946
ADMINISTRATION59947

       The foregoing appropriation item 235-414, State Grants and 59948
Scholarship Administration, shall be used by the Board of Regents 59949
to administer the following student financial aid programs: Ohio 59950
Instructional Grant, Ohio College Opportunity Grant, Ohio Student 59951
Choice Grant, Ohio Academic Scholarship, Ohio War Orphans' 59952
Scholarship, Nurse Education Assistance Loan Program, Regents 59953
Graduate/Professional Fellowship, Ohio Safety Officers College 59954
Memorial Fund, Capitol Scholarship Program, and any other student 59955
financial aid programs created by the General Assembly. The 59956
appropriation item also shall be used to administer the federal 59957
Leveraging Educational Assistance Partnership (LEAP) and Special 59958
Leveraging Educational Assistance Partnership (SLEAP) programs and 59959
other student financial aid programs created by Congress and to 59960
provide fiscal services for the Ohio National Guard Scholarship 59961
Program, the Physician Loan Repayment Program, and the Dentist 59962
Loan Repayment Program.59963

       Section 375.10.80. JOBS CHALLENGE59964

       Funds appropriated to the foregoing appropriation item 59965
235-415, Jobs Challenge, shall be distributed to state-assisted 59966
community and technical colleges, regional campuses of 59967
state-assisted universities, and other organizationally distinct 59968
and identifiable member campuses of the EnterpriseOhio Network in 59969
support of noncredit job-related training. In fiscal year 2008, 59970
$2,770,773 shall be distributed as performance grants to 59971
EnterpriseOhio Network campuses based upon each campus's 59972
documented performance according to criteria established by the 59973
Board of Regents for assessment, training, and related services to 59974
businesses, industries, and public sector organizations.59975

       Of the foregoing appropriation item 235-415, Jobs Challenge,59976
$2,819,345 in fiscal year 2008 shall be allocated to the Targeted59977
Industries Training Grant Program to attract, develop, and retain59978
business and industry strategically important to the state's59979
economy and regional priorities.59980

       Of the foregoing appropriation item 235-415, Jobs Challenge, 59981
$3,758,182 in fiscal year 2008 shall be allocated to the Higher 59982
Skills Incentives Program to promote and deliver coordinated 59983
assessment and comprehensive training to local employers and to 59984
reward EnterpriseOhio Network campuses for the amount of 59985
non-credit skill upgrading services provided to Ohio employers and 59986
employees. The funds shall be distributed to campuses in 59987
proportion to each campus's share of noncredit job-related 59988
training revenues received by all campuses for the previous fiscal 59989
year.59990

       Section 375.10.90. OHIO LEARNING NETWORK59991

       The foregoing appropriation item 235-417, Ohio Learning 59992
Network, shall be used by the Board of Regents to support the 59993
continued implementation of the Ohio Learning Network, a statewide59994
collaborative that delivers adult education including degree 59995
completion, workforce training, and professional development using 59996
online and distance education initiatives. The funds shall be used 59997
by the Ohio Learning Network to develop and promote learning and 59998
assessment through the use of technology, to test and provide 59999
advice on emerging learning-directed technologies, and to 60000
facilitate cost-effectiveness through shared educational 60001
technology investments.60002

       Section 375.20.10. ACCESS CHALLENGE60003

       The foregoing appropriation item 235-418, Access Challenge, 60004
shall be distributed to Ohio's state-assisted access colleges and60005
universities. For the purposes of this allocation, "access 60006
campuses" includes state-assisted community colleges, state 60007
community colleges, technical colleges, Shawnee State University,60008
Central State University, Cleveland State University, the regional 60009
campuses of state-assisted universities, and, where they are60010
organizationally distinct and identifiable, the 60011
community-technical colleges located at the University of60012
Cincinnati, Youngstown State University, and the University of60013
Akron.60014

       The purpose of Access Challenge is to reduce the student 60015
share of costs for resident undergraduates enrolled in lower 60016
division undergraduate courses at Ohio's access campuses. The 60017
long-term goal is to make the student share of costs for these 60018
students equivalent to the student share of costs for resident 60019
undergraduate students enrolled throughout Ohio's public colleges 60020
and universities. Access Challenge appropriations shall be used to 60021
sustain, as much as possible, the tuition restraint or tuition 60022
reduction that was achieved with Access Challenge allocations in 60023
prior years. Access campuses shall disclose, in their tuition 60024
billing statements to students, the amount of tuition subsidized 60025
by state Access Challenge subsidies.60026

       In fiscal year 2008, Access Challenge subsidies shall be 60027
distributed by the Board of Regents to eligible access campuses on 60028
the basis of the average of each campus's share of fiscal year 60029
2005 and 2006 all-terms subsidy-eligible General Studies FTEs.60030

       For purposes of this calculation, Cleveland State60031
University's enrollments shall be adjusted by the ratio of the sum60032
of subsidy-eligible lower-division FTE student enrollments60033
eligible for access funding to the sum of subsidy-eligible General60034
Studies FTE student enrollments at Central State University and60035
Shawnee State University, and for the following universities and60036
their regional campuses: the Ohio State University, Ohio 60037
University, Kent State University, Bowling Green State University, 60038
Miami University, the University of Cincinnati, the University of 60039
Akron, and Wright State University.60040

       Section 375.20.20. SUCCESS CHALLENGE60041

       The foregoing appropriation item 235-420, Success Challenge,60042
shall be used by the Board of Regents to promote degree completion 60043
by students enrolled at a main campus of a state-assisted60044
university.60045

       Of the foregoing appropriation item 235-420, Success 60046
Challenge, 66.67 per cent of the appropriation in fiscal year 2008 60047
shall be distributed to state-assisted university main campuses in60048
proportion to each campus's share of the total statewide60049
bachelor's degrees granted by university main campuses to60050
"at-risk" students. In fiscal year 2008, an "at-risk" student 60051
means any undergraduate student who was eligible to receive an60052
Ohio need-based financial aid award during the past ten years. An 60053
eligible institution shall not receive its share of this60054
distribution until it has submitted a plan that addresses how the60055
subsidy will be used to better serve at-risk students and increase60056
their likelihood of successful completion of a bachelor's degree60057
program. The Board of Regents shall disseminate to all60058
state-supported institutions of higher education all such plans60059
submitted by institutions that received Success Challenge funds.60060

       Of the foregoing appropriation item 235-420, Success 60061
Challenge, 33.33 per cent of the appropriation in fiscal year 2008 60062
shall be distributed to university main campuses in proportion to 60063
each campus's share of the total bachelor's degrees granted by60064
university main campuses to undergraduate students who completed60065
their bachelor's degrees in a "timely manner" in the previous60066
fiscal year. For purposes of this section, "timely manner" means 60067
the normal time it would take for a full-time degree-seeking60068
undergraduate student to complete the student's degree. Generally,60069
for such students pursuing a bachelor's degree, "timely manner"60070
means four years. Exceptions to this general rule shall be60071
permitted for students enrolled in programs specifically designed60072
to be completed in a longer time period. The Board of Regents60073
shall collect data to assess the timely completion statistics by60074
university main campuses.60075

       Section 375.20.30. APPALACHIAN NEW ECONOMY PARTNERSHIP60076

       The foregoing appropriation item 235-428, Appalachian New60077
Economy Partnership, shall be distributed to Ohio University to60078
continue a multi-campus and multi-agency coordinated effort to 60079
link Appalachia to the new economy. Ohio University shall use 60080
these funds to provide leadership in the development and 60081
implementation of initiatives in the areas of entrepreneurship, 60082
management, education, and technology.60083

       Section 375.20.40. ECONOMIC GROWTH CHALLENGE60084

       The foregoing appropriation item 235-433, Economic Growth 60085
Challenge, shall be used to enhance the basic research 60086
capabilities of Ohio's public and private institutions of higher 60087
education, support improved graduate programs throughout the 60088
state, and promote the transfer of technology developed by 60089
colleges and universities to private industry to further the 60090
economic goals of the state.60091

       Of the foregoing appropriation item 235-433, Economic Growth60092
Challenge, $12,000,000 in fiscal year 2008 shall be used for the 60093
Research Incentive Program to enhance the basic research60094
capabilities of public colleges and universities and accredited60095
Ohio institutions of higher education holding certificates of60096
authorization issued under section 1713.02 of the Revised Code, in 60097
order to strengthen academic research for pursuing Ohio's economic60098
development goals. The Board of Regents, in consultation with the 60099
colleges and universities, shall administer the Research Incentive 60100
Program and utilize a means of matching, on a fractional basis, 60101
external funds attracted in the previous year by institutions for 60102
basic research. The program may include incentives for increasing 60103
the amount of external research funds coming to eligible 60104
institutions and for focusing research efforts upon critical state 60105
needs. Colleges and universities shall submit for review and 60106
approval to the Board of Regents plans for the institutional 60107
allocation of state dollars received through the program. The 60108
institutional plans shall provide the rationale for the allocation 60109
in terms of the strategic targeting of funds for academic and 60110
state purposes, for strengthening research programs, for 60111
increasing the amount of external research funds, and shall 60112
include an evaluation process to provide results of the increased 60113
support. Institutional plans for the use of Research Incentive 60114
funding must demonstrate a significant investment in Third 60115
Frontier activities funded at the institution. For a college or 60116
university with multiple Third Frontier grants, as much as ten per 60117
cent of that institution's Research Incentive funding may be 60118
invested in Third Frontier Project-related activities. Each 60119
institutional plan for the investment of Research Incentive moneys 60120
shall report on existing, planned, or possible relationships with 60121
other state science and technology programs and funding recipients 60122
in order to further ongoing statewide science and technology 60123
collaboration objectives. The Board of Regents shall submit a 60124
biennial report of progress to the General Assembly.60125

       In fiscal year 2008, both those state-assisted doctoral 60126
degree-granting universities and those accredited Ohio 60127
institutions of higher education holding certificates of 60128
authorization under section 1713.02 of the Revised Code may elect 60129
to participate in the Innovation Incentive Plan designed to 60130
enhance doctoral programs and areas of research that have the 60131
greatest potential to attract preeminent researchers and build 60132
research capacity; enhance regional or state economic growth by 60133
creating new products and services to be commercialized; and 60134
complement Ohio's Third Frontier Project.60135

       In fiscal year 2008, funding for the Innovation Incentive 60136
Program shall be generated from those state-assisted doctoral 60137
degree-granting universities electing to set aside a portion of 60138
their allocation of the doctoral reserve as provided in 60139
appropriation item 235-501, State Share of Instruction, and state 60140
matching funds provided in appropriation item 235-433, Economic 60141
Growth Challenge. Additionally, those accredited Ohio institutions 60142
of higher education holding certificates of authorization under 60143
section 1713.02 of the Revised Code electing to participate in the 60144
Innovation Incentive Program shall be required to set aside an 60145
amount comparable to the state-assisted doctoral degree-granting 60146
universities. The criteria for the determination of this amount 60147
shall be developed by the Board of Regents.60148

       Of the foregoing appropriation item 235-433, Economic Growth 60149
Challenge, $4,686,194 in fiscal year 2008 shall match funds set 60150
aside by the participating universities under the Innovation 60151
Incentive Program.60152

       The Board of Regents shall use the combined amount of each 60153
participating state-assisted university's set aside of the 60154
doctoral reserve that has been withheld, the state matching funds 60155
earmarked under appropriation item 235-433, Economic Growth 60156
Challenge, and the amount set aside by each accredited Ohio 60157
institution of higher education holding a certificate of 60158
authorization under section 1713.02 of the Revised Code electing 60159
to participate in the Innovation Incentive Program to make awards 60160
through a competitive process under the Innovation Incentive 60161
Program. Only universities electing to set aside the prescribed 60162
amount shall be eligible to compete for and receive Innovation 60163
Incentive awards. The participating universities shall use these 60164
awards to restructure their array of doctoral programs.60165

       Of the foregoing appropriation item 235-433, Economic Growth 60166
Challenge, $500,000 in fiscal year 2008 shall be distributed for 60167
the Technology Commercialization Incentive. The purpose of the 60168
Technology Commercialization Incentive is to reward public and 60169
private colleges and universities for successful technology 60170
transfer to Ohio-based business and industry resulting in the 60171
commercialization of new products, processes, and services and the 60172
establishment of new business start-ups within the state. The 60173
Third Frontier Commission, with counsel from the Third Frontier 60174
Advisory Board, shall establish the eligibility criteria for 60175
public and private colleges and universities interested in 60176
applying for Technology Commercialization Incentive funding. To 60177
qualify for the funds, public and private colleges and 60178
universities must maintain a significant investment in their own 60179
technology-transfer and commercialization operation and 60180
capabilities, and possess a significant history of successful 60181
research partnerships with Ohio-based business and industry.60182

       Section 375.20.45. DISTRIBUTION OF CHALLENGE FUNDS60183

       The Chancellor of the Board of Regents shall study the 60184
effectiveness and appropriateness of the programs funded in GRF 60185
appropriation items 235-415, Jobs Challenge, 235-418, Access 60186
Challenge, 235-420, Success Challenge, and 235-433, Economic 60187
Growth Challenge, in the context of today's knowledge-based 60188
economy with a focus on student-based funding, the workforce 60189
development needs of the state in the Twenty-first Century, and 60190
incentives for student success. Based on the findings of the 60191
study, the Chancellor of the Board of Regents shall make 60192
recommendations for the distribution of the funds provided for 60193
fiscal year 2009. Not later than May 1, 2008, the Chancellor of 60194
the Board of Regents shall seek the Controlling Board's approval 60195
of the recommended distribution of the funds provided for fiscal 60196
year 2009 in GRF appropriation items 235-415, Jobs Challenge, 60197
235-418, Access Challenge, 235-420, Success Challenge, and 60198
235-433, Economic Growth Challenge.60199

       Section 375.20.50. COLLEGE READINESS AND ACCESS60200

       Appropriation item 235-434, College Readiness and Access,60201
shall be used by the Board of Regents to support programs designed 60202
to improve the academic preparation and increase the number of 60203
students that enroll and succeed in higher education such as the 60204
Ohio College Access Network, the state match for the federal 60205
Gaining Early Awareness and Readiness for Undergraduate Program, 60206
and early awareness initiatives. The appropriation item shall also 60207
be used to support innovative statewide strategies to increase 60208
student access and retention for specialized populations, and to 60209
provide for pilot projects that will contribute to improving 60210
access to higher education by specialized populations. The funds 60211
also may be used for projects that improve access for nonpublic 60212
secondary students.60213

        Of the foregoing appropriation item 235-434, College 60214
Readiness and Access, $798,684 in fiscal year 2008 and $822,645 in 60215
fiscal year 2009 shall be distributed to the Ohio Appalachian 60216
Center for Higher Education at Shawnee State University. The board 60217
of directors of the Center shall consist of the presidents of 60218
Shawnee State University, Belmont Technical College, Hocking 60219
College, Jefferson Community College, Zane State College, Rio 60220
Grande Community College, Southern State Community College, and 60221
Washington State Community College; the president of Ohio 60222
University or a designee of the president; the dean of one of the 60223
Salem, Tuscarawas, and East Liverpool regional campuses of Kent 60224
State University, as designated by the president of Kent State 60225
University; and a representative of the Board of Regents 60226
designated by the Chancellor.60227

        Of the foregoing appropriation item 235-434, College 60228
Readiness and Access, $169,553 in fiscal year 2008 and $174,640 in 60229
fiscal year 2009 shall be distributed to Miami University for the 60230
Student Achievement in Research and Scholarship (STARS) Program.60231

        Of the foregoing appropriation item 235-434, College 60232
Readiness and Access, $3,503,985 in each fiscal year shall be used 60233
in conjunction with funding provided in the Ohio Department of 60234
Education budget under appropriation item 200-431, School 60235
Improvement Initiatives, to support the Early College High School 60236
Program. The funds shall be distributed according to guidelines 60237
established by the Department of Education and the Board of 60238
Regents.60239

       Section 375.20.60.  TEACHER IMPROVEMENT INITIATIVES60240

       Appropriation item 235-435, Teacher Improvement Initiatives, 60241
shall be used by the Board of Regents to support programs such as 60242
OSI - Discovery and the Centers of Excellence in Mathematics and 60243
Science designed to raise the quality of mathematics and science60244
teaching in primary, secondary, and post-secondary education.60245

       Of the foregoing appropriation item 235-435, Teacher 60246
Improvement Initiatives, $204,049 in each fiscal year shall be 60247
distributed to the Mathematics and Science Center in Lake County.60248

       Of the foregoing appropriation item 235-435, Teacher 60249
Improvement Initiatives, $106,619 in each fiscal year shall be 60250
distributed to the Ohio Mathematics and Science Coalition.60251

       Of the foregoing appropriation item 234-435, Teacher 60252
Improvement Initiatives, $100,000 in each fiscal year shall be 60253
distributed to the Teacher Quality Partnerships study.60254

       Of the foregoing appropriation item 235-435, Teacher 60255
Improvement Initiatives, $100,000 in each fiscal year shall be 60256
distributed to the Sinclair Community College Distance Learning 60257
STEM Partnership.60258

        Of the foregoing appropriation item 235-435, Teacher 60259
Improvement Initiatives, $874,871 in each fiscal year shall be 60260
distributed to the Ohio Resource Center for Mathematics, Science, 60261
and Reading. The funds shall be used to support a resource center 60262
for mathematics, science, and reading to be located at a 60263
state-assisted university for the purpose of identifying best 60264
educational practices in primary and secondary schools and 60265
establishing methods for communicating them to colleges of 60266
education and school districts. The Ohio Resource Center for 60267
Mathematics, Science, and Reading shall not make available 60268
resources that are inconsistent with the K-12 science standards 60269
and policies as adopted by the State Board of Education.60270

       Of the foregoing appropriation item 235-435, Teacher 60271
Improvement Initiatives, up to $2,000,000 in each fiscal year 60272
shall be used to support up to ten regional summer academies that 60273
focus on foreign language, science, mathematics, engineering, and 60274
technology and prepare eleventh and twelfth grade students 60275
enrolled in public or chartered nonpublic schools to pursue 60276
college-level foreign language, mathematics, science, technology, 60277
and engineering, with a focus on secondary teaching in these 60278
disciplines. Successful completion of these academics shall result 60279
in dual high school and college credits. Costs shall be based upon 60280
reasonable expenses, as determined by the Board of Regents, that 60281
institutions of higher education may incur for faculty, supplies, 60282
and other associated costs.60283

       Of the foregoing appropriation item 235-435, Teacher 60284
Improvement Initiatives, up to $4,000,000 in fiscal year 2009 60285
shall be used to fund teacher-signing bonuses for individuals that 60286
enter the teaching profession in a public school district or 60287
school district building that has been designated a hard-to-staff 60288
school by the Department of Education. To qualify for the signing 60289
bonus, an individual must: (a) be licensed to teach; (b) be 60290
assigned to teach in foreign language, science, or mathematics; 60291
and (c) agree to teach in a hard-to-staff school for a minimum of 60292
five years. An individual may qualify for up to $20,000 in 60293
state-funded bonuses if all obligations are met. The Board of 60294
Regents shall develop this program jointly with the Department of 60295
Education and the Partnership for Continued Learning. An 60296
individual may participate in either the teacher-signing bonus 60297
program or the teacher loan-forgiveness program, but may not 60298
receive benefits from both programs. The Board of Regents shall 60299
recoup funds received by any program participant who has not 60300
fulfilled the five-year teaching obligation as described in this 60301
section.60302

       Of the foregoing appropriation item 235-435, Teacher 60303
Improvement Initiatives, up to $2,500,000 in fiscal year 2009 60304
shall be used to fund teacher loan-forgiveness for individuals 60305
that enter the teaching profession in a school district or school 60306
district building that has been designated as a hard-to-staff 60307
school by the Department of Education. To qualify for the loan 60308
forgiveness, an individual must: (a) be licensed to teach; (b) be 60309
assigned to teach in foreign language, science, or mathematics; 60310
and (c) agree to teach in a hard-to-staff school for a minimum of 60311
five years. An individual may qualify for up to $20,000 in state 60312
funded loan forgiveness if all obligations are met. The Board of 60313
Regents shall develop this program jointly with the Department of 60314
Education and the Partnership for Continued Learning. An 60315
individual may participate in either the teacher-signing bonus 60316
program or the teacher loan-forgiveness program, but may not 60317
receive benefits from both programs. The Board of Regents shall 60318
recoup funds received by any program participant who has not 60319
fulfilled the five-year teaching obligation as described in this 60320
section.60321

       Section 375.20.70. ACCELERATEOHIO60322

       The foregoing appropriation item 235-436 AccelerateOhio, 60323
shall be used by the Board of Regents, in collaboration with 60324
Ohio's public two-year campuses, to develop and implement a 60325
statewide program designed to improve the education and skills of 60326
Ohio's workforce by assisting low-income working adults in Ohio to 60327
improve their education and training. AccelerateOhio shall consist 60328
of competency-based, low-cost, noncredit, and credit-bearing 60329
modules and courses in communications, mathematics, and 60330
information technology, and other fields selected by the Board of 60331
Regents. The program shall be designed to culminate in a 60332
certificate and provide recipients with a foundation for 60333
additional post-secondary education.60334

       Section 375.20.75. STEM INITIATIVES60335

       The foregoing appropriation item 235-437, STEM Initiatives, 60336
shall be used for STEM Academies.60337

       Section 375.20.80. EMINENT SCHOLARS60338

       The foregoing appropriation item 235-451, Eminent Scholars,60339
shall be used by the Ohio Board of Regents to continue the Ohio60340
Eminent Scholars Program, the purpose of which is to invest60341
educational resources to address problems that are of vital60342
statewide significance while fostering the growth in eminence of60343
Ohio's academic programs. Ohio Eminent Scholars endowed chairs 60344
shall allow Ohio universities to recruit senior faculty members 60345
from outside Ohio who are nationally and internationally 60346
recognized scholars in areas of science and technology that 60347
provide the basic research platforms on which the state's 60348
technology and commercialization efforts are built. Endowment 60349
grants of approximately $685,494 to state colleges and 60350
universities and nonprofit Ohio institutions of higher education 60351
holding certificates of authorization issued under section 1713.02 60352
of the Revised Code to match endowment gifts from nonstate sources 60353
may be made in accordance with a plan established by the Ohio 60354
Board of Regents. Matching nonstate endowment gifts shall be equal 60355
to the state's endowment grant of approximately $685,494. The 60356
grants shall have as their purpose attracting and sustaining in 60357
Ohio scholar-leaders of national or international prominence; each 60358
grant shall assist in accelerating state economic growth through 60359
research that provides an essential basic science platform for 60360
commercialization efforts. Such scholar-leaders shall, among their 60361
duties, share broadly the benefits and knowledge unique to their 60362
fields of scholarship to the betterment of Ohio and its people and 60363
collaborate with other state technology programs and program 60364
recipients.60365

       All new Eminent Scholar awards made by the Board of Regents 60366
shall be associated with a Wright Center of Innovation, a 60367
Partnership Award from the Biomedical Research and Technology 60368
Transfer Trust Fund, or a Wright Capital Project.60369

       Section 375.20.90. ENTERPRISEOHIO NETWORK60370

       The foregoing appropriation item 235-455, EnterpriseOhio 60371
Network, shall be allocated by the Board of Regents to continue 60372
increasing the capabilities of the EnterpriseOhio Network to meet 60373
the ongoing training needs of Ohio employers. Funds shall support 60374
multicampus collaboration, best practice dissemination, and 60375
capacity building projects. The Regents Advisory Committee for 60376
Workforce Development, in its advisory role, shall advise in the 60377
development of plans and activities.60378

       Section 375.30.10. AREA HEALTH EDUCATION CENTERS60379

       The foregoing appropriation item 235-474, Area Health60380
Education Centers Program Support, shall be used by the Board of60381
Regents to support the medical school regional area health60382
education centers' educational programs for the continued support60383
of medical and other health professions education and for support60384
of the Area Health Education Center Program.60385

       Of the foregoing appropriation item 235-474, Area Health60386
Education Centers Program Support, $159,158 in each fiscal year 60387
shall be disbursed to the Ohio University College of Osteopathic60388
Medicine to operate a mobile health care unit to serve the60389
southeastern area of the state.60390

        Of the foregoing appropriation item 235-474, Area Health 60391
Education Centers Program Support, $119,369 in each fiscal year 60392
shall be used to support the Ohio Valley Community Health60393
Information Network (OVCHIN) project.60394

       Section 375.30.20. STATE SHARE OF INSTRUCTION60395

       The Board of Regents shall establish procedures to allocate 60396
the foregoing appropriation item 235-501, State Share of 60397
Instruction, based on the formulas and enrollment in the 60398
instructional models set out in this section.60399

       (A) FULL-TIME EQUIVALENT (FTE) ENROLLMENTS60400

       (1) As soon as practicable during each fiscal year of the60401
biennium ending June 30, 2009, in accordance with instructions of 60402
the Board of Regents, each state-assisted institution of higher60403
education shall report its actual enrollment to the Board of60404
Regents.60405

       (2) In defining the number of full-time equivalent students60406
for state subsidy purposes, the Board of Regents shall exclude all 60407
undergraduate students who are not residents of Ohio, except those 60408
charged in-state fees in accordance with reciprocity agreements 60409
made under section 3333.17 of the Revised Code or employer 60410
contracts entered into under section 3333.32 of the Revised Code.60411

       (3) In calculating the core subsidy entitlements for Medical60412
II models only, the Board of Regents shall use the following count60413
of FTE students:60414

       (a) For those medical schools whose current year enrollment, 60415
including students repeating terms, is below the base enrollment, 60416
the Medical II FTE enrollment shall equal: 65 per cent of the base60417
enrollment plus 35 per cent of the current year enrollment 60418
including students repeating terms, where the base enrollment is:60419

The Ohio State University 1010 60420
University of Cincinnati 833 60421
University of Toledo 650 60422
Wright State University 433 60423
Ohio University 433 60424
Northeastern Ohio Universities College of Medicine 433 60425

       (b) For those medical schools whose current year enrollment, 60426
excluding students repeating terms, is equal to or greater than 60427
the base enrollment, the Medical II FTE enrollment shall equal the60428
base enrollment plus the FTE for repeating students.60429

       (c) Students repeating terms may be no more than five per 60430
cent of current year enrollment.60431

       (4) The state share of instruction to state-supported60432
universities for students enrolled in law schools in fiscal year60433
2008 and fiscal year 2009 shall be calculated by using the number60434
of subsidy-eligible FTE law school students funded by state60435
subsidy in fiscal year 1995 or the actual number of60436
subsidy-eligible FTE law school students at the institution in the60437
fiscal year, whichever is less.60438

       (B) TOTAL COSTS PER FULL-TIME EQUIVALENT STUDENT60439

       For purposes of calculating state share of instruction 60440
allocations, the total instructional costs per full-time 60441
equivalent student shall be:60442

Model Fiscal Year 2008 Fiscal Year 2009 60443
ARTS AND HUMANITIES 1 $7,220 $7,494 60444
ARTS AND HUMANITIES 2 9,431 9,790 60445
ARTS AND HUMANITIES 3 12,186 12,649 60446
ARTS AND HUMANITIES 4 17,836 18,514 60447
ARTS AND HUMANITIES 5 27,829 28,887 60448
ARTS AND HUMANITIES 6 34,540 35,852 60449
BUSINESS, EDUCATION & SOCIAL SCIENCES 1 6,352 6,594 60450
BUSINESS, EDUCATION & SOCIAL SCIENCES 2 7,389 7,670 60451
BUSINESS, EDUCATION & SOCIAL SCIENCES 3 8,911 9,249 60452
BUSINESS, EDUCATION & SOCIAL SCIENCES 4 10,744 11,152 60453
BUSINESS, EDUCATION & SOCIAL SCIENCES 5 17,070 17,719 60454
BUSINESS, EDUCATION & SOCIAL SCIENCES 6 21,908 22,740 60455
BUSINESS, EDUCATION & SOCIAL SCIENCES 7 26,019 27,008 60456
MEDICAL 1 43,190 44,831 60457
MEDICAL 2 47,635 49,445 60458
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 1 6,552 6,801 60459
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 2 9,196 9,545 60460
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 3 11,610 12,051 60461
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 4 14,789 15,351 60462
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 5 18,420 19,119 60463
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 6 19,990 20,750 60464
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 7 27,676 28,728 60465
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 8 35,308 36,650 60466
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 9 48,150 49,979 60467

       Doctoral I and Doctoral II models shall be allocated in 60468
accordance with division (D)(1) of this section.60469

       (C) SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICAL, 60470
AND GRADUATE WEIGHTS60471

       For the purpose of implementing the recommendations of the 60472
State Share of Instruction Consultation and the Higher Education 60473
Funding Study Council that priority be given to maintaining state 60474
support for science, technology, engineering, mathematics, 60475
medicine, and graduate programs, the costs in division (B) of this 60476
section shall be weighted by the amounts provided below:60477

Model Fiscal Year 2008 Fiscal Year 2009 60478
ARTS AND HUMANITIES 1 1.000 1.000 60479
ARTS AND HUMANITIES 2 1.000 1.000 60480
ARTS AND HUMANITIES 3 1.000 1.000 60481
ARTS AND HUMANITIES 4 1.000 1.000 60482
ARTS AND HUMANITIES 5 1.250 1.250 60483
ARTS AND HUMANITIES 6 1.250 1.250 60484
BUSINESS, EDUCATION & SOCIAL SCIENCES 1 1.000 1.000 60485
BUSINESS, EDUCATION & SOCIAL SCIENCES 2 1.000 1.000 60486
BUSINESS, EDUCATION & SOCIAL SCIENCES 3 1.000 1.000 60487
BUSINESS, EDUCATION & SOCIAL SCIENCES 4 1.000 1.000 60488
BUSINESS, EDUCATION & SOCIAL SCIENCES 5 1.250 1.250 60489
BUSINESS, EDUCATION & SOCIAL SCIENCES 6 1.250 1.250 60490
BUSINESS, EDUCATION & SOCIAL SCIENCES 7 1.250 1.250 60491
MEDICAL 1 1.500 1.500 60492
MEDICAL 2 1.728 1.728 60493
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 1 1.000 1.000 60494
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 2 1.002 1.002 60495
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 3 1.613 1.613 60496
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 4 1.690 1.690 60497
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 5 1.420 1.420 60498
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 6 2.081 2.081 60499
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 7 1.702 1.702 60500
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 8 1.808 1.808 60501
SCIENCE, TECHNOLOGY, ENGINEERING, MATHEMATICS, MEDICINE 9 1.341 1.341 60502

       (D) CALCULATION OF STATE SHARE OF INSTRUCTION FORMULA 60503
ENTITLEMENTS AND ADJUSTMENTS60504

       (1) Of the foregoing appropriation item 235-501, State Share 60505
of Instruction, up to 10.44 per cent of the appropriation in each 60506
fiscal year shall be reserved for support of doctoral programs to 60507
implement the recommendations of the Graduate Funding Commission. 60508
The amount so reserved shall be referred to as the doctoral 60509
set-aside.60510

       The doctoral set-aside shall be allocated to universities in60511
proportion to their share of the total number of Doctoral I60512
equivalent FTEs as calculated on an institutional basis using the60513
greater of the two-year or five-year FTEs for the period fiscal60514
year 1994 through fiscal year 1998 with annualized FTEs for fiscal60515
years 1994 through 1997 and all-term FTEs for fiscal year 1998 as60516
adjusted to reflect the effects of doctoral review and subsequent 60517
changes in Doctoral I equivalent enrollments. For the purposes of 60518
this calculation, Doctoral I equivalent FTEs shall equal the sum 60519
of Doctoral I FTEs plus 1.5 times the sum of Doctoral II FTEs.60520

       If a university participates in the Innovation Incentive 60521
Program outlined in appropriation item 235-433, Economic Growth 60522
Challenge, in fiscal year 2008 the Board of Regents shall withhold 60523
the university's increasing matching share required by the 60524
Innovation Incentive Program from its allocation of the doctoral 60525
set-aside.60526

       The Board of Regents shall use the combined amount of each 60527
participating state-assisted university's set aside of the 60528
doctoral reserve that has been withheld, the state matching funds 60529
earmarked under appropriation item 235-433, Economic Growth 60530
Challenge, and the amount set aside by each accredited Ohio 60531
institution of higher education holding a certificate of 60532
authorization under section 1713.02 of the Revised Code electing 60533
to participate in the Innovation Incentive Program to make awards 60534
through a competitive process under the Innovation Incentive 60535
Program. Only universities electing to set aside the prescribed 60536
amount shall be eligible to compete for and receive Innovation 60537
Incentive awards. The participating universities shall use these 60538
awards to restructure their array of doctoral programs.60539

       (2) Each campus's state share of instruction base formula 60540
earnings shall be determined as follows:60541

       (a) For each campus in each fiscal year, the instructional 60542
costs shall be determined by multiplying the amounts listed above 60543
in divisions (B) and (C) of this section by (i) average60544
subsidy-eligible FTEs for the two-year period ending in the prior60545
year for all models except Doctoral I and Doctoral II; and (ii)60546
average subsidy-eligible FTEs for the five-year period ending in60547
the prior year for all models except Doctoral I and Doctoral II.60548

       (b) The Board of Regents shall compute the two calculations 60549
listed in division (D)(2)(a) of this section and use the greater 60550
amount as each campus's instructional costs.60551

       (c) The Board of Regents shall compute a uniform state share 60552
of instructional costs by dividing the appropriations for 235-501, 60553
State Share of Instruction, less the doctoral set-aside calculated 60554
in division (D)(1) of this section, by the sum of all campuses' 60555
instructional costs as calculated in division (D)(2)(b) of this 60556
section.60557

       (d) The formula entitlement for each campus shall be 60558
determined by multiplying the uniform state share of costs 60559
calculated in division (D)(2)(c) of this section by the campus's 60560
instructional cost determined in division (D)(2)(b) of this 60561
section.60562

       (3) In addition to the doctoral set-aside allocation 60563
determined in division (D)(1) of this section and the formula 60564
entitlement determined in division (D)(2) of this section, an 60565
allocation based on fiscal year 2007 facility-based plant 60566
operations and maintenance (POM) subsidy shall be made. No campus 60567
shall be eligible for a POM allocation if the campus did not 60568
receive a net-assignable-square-foot-based (NASF) POM allocation 60569
in fiscal year 2007 and the amount of state share of instruction 60570
subsidy the campus would have received in fiscal year 2007 had the 60571
campus's calculation been based on the state share of instruction 60572
method described in this section, but using relevant fiscal year 60573
2007 data, is less than 98.5% of the campus's actual final fiscal 60574
year 2007 state share of instruction earnings.60575

       For each eligible campus, the amount of the POM allocation in 60576
each fiscal year shall be the lesser of:60577

       (a) 98.5% of the campus's actual final fiscal year 2007 state 60578
share of instruction earnings, minus the amount the campus would 60579
have received in fiscal year 2007 had the campus's calculation 60580
been based on the state share of instruction method described in 60581
this section, but using relevant fiscal year 2007 data; or60582

        (b) The actual final fiscal year 2007 60583
net-assignable-square-foot-based (NASF) POM allocation that was 60584
provided to the campus.60585

       Any POM allocations required by this division shall be funded 60586
by proportionately reducing formula entitlement earnings, 60587
including the POM allocations, for all campuses.60588

       The Board of Regents, in consultation with representatives of 60589
state-assisted colleges and universities, shall study the need for 60590
the facility-based POM allocations and make recommendations for 60591
changes by June 30, 2008.60592

       (4) ANNUAL STATE SHARE OF INSTRUCTION FUNDING GUARANTEE60593

       In addition to and after the other adjustment noted above, in 60594
each fiscal year, no campus shall receive a state share of 60595
instruction allocation that is less than 100 per cent of the prior 60596
year's state share of instruction amount. Funds shall be made 60597
available to fund this guarantee provision by recalculating the 60598
uniform state share as described in division (D)(2)(c) of this 60599
section by subtracting guarantee funds and the doctoral set-aside 60600
from the total appropriations for appropriation item 235-501, 60601
State Share of Instruction.60602

       (5) CAPITAL COMPONENT DEDUCTION60603

       After all other adjustments have been made, state share of 60604
instruction earnings shall be reduced for each campus by the 60605
amount, if any, by which debt service charged in Am. H.B. 748 of 60606
the 121st General Assembly, Am. Sub. H.B. 850 of the 122nd General60607
Assembly, Am. Sub. H.B. 640 of the 123rd General Assembly, H.B. 60608
675 of the 124th General Assembly, Am. Sub. H.B. 16 of the 126th 60609
General Assembly, and Am. Sub. H.B. 699 of the 126th General 60610
Assembly for that campus exceeds that campus's capital component 60611
earnings. The sum of the amounts deducted shall be transferred to 60612
appropriation item 235-552, Capital Component, in each fiscal 60613
year.60614

       (E) EXCEPTIONAL CIRCUMSTANCES60615

       Adjustments may be made to the state share of instruction60616
payments and other subsidies distributed by the Board of Regents60617
to state-assisted colleges and universities for exceptional60618
circumstances. No adjustments for exceptional circumstances may be 60619
made without the recommendation of the Chancellor and the approval 60620
of the Controlling Board.60621

       (F) APPROPRIATION REDUCTIONS TO THE STATE SHARE OF 60622
INSTRUCTION60623

       The standard provisions of the state share of instruction 60624
calculation as described in the preceding sections of temporary 60625
law shall apply to any reductions made to appropriation item 60626
235-501, State Share of Instruction, before the Board of Regents 60627
has formally approved the final allocation of the state share of 60628
instruction funds for any fiscal year.60629

       Any reductions made to appropriation item 235-501, State 60630
Share of Instruction, after the Board of Regents has formally 60631
approved the final allocation of the state share of instruction 60632
funds for any fiscal year, shall be uniformly applied to each 60633
campus in proportion to its share of the final allocation.60634

       (G) DISTRIBUTION OF STATE SHARE OF INSTRUCTION60635

       The state share of instruction payments to the institutions60636
shall be in substantially equal monthly amounts during the fiscal60637
year, unless otherwise determined by the Director of Budget and60638
Management pursuant to section 126.09 of the Revised Code.60639
Payments during the first six months of the fiscal year shall be60640
based upon the state share of instruction appropriation estimates60641
made for the various institutions of higher education according to60642
Board of Regents enrollment estimates. Payments during the last60643
six months of the fiscal year shall be distributed after approval60644
of the Controlling Board upon the request of the Board of Regents.60645

       Section 375.30.25.  STATE SHARE OF INSTRUCTION FOR FISCAL 60646
YEARS 2008 AND 200960647

       (A) The boards of trustees of institutions of state-supported 60648
higher education shall restrain increases in fees charged to 60649
in-state undergraduate students, including the instructional fees, 60650
general fees, special purpose fees, service charges, fines, and 60651
any other fees or surcharges applicable to in-state undergraduate 60652
students. For the 2007-2008 academic year, each state-supported 60653
institution shall not increase its in-state undergraduate fees by 60654
more than three per cent over what the institution charged for the 60655
2006-2007 academic year. For the 2008-2009 academic year, each 60656
state-supported institution shall not increase its in-state 60657
undergraduate fees over what the institution charged for the 60658
2007-2008 academic year.60659

       These limitations shall not apply to increases required to 60660
comply with institutional covenants related to their obligations 60661
or to meet unfunded legal mandates or legally binding obligations 60662
incurred or commitments made prior to the effective date of this 60663
section with respect to which the institution had identified such 60664
fee increases as the source of funds. Any increase required by 60665
such covenants and any such mandates, obligations, or commitments 60666
shall be reported by the Board of Regents to the Controlling 60667
Board. These limitations may also be modified by the Board of 60668
Regents, with the approval of the Controlling Board, to respond to 60669
exceptional circumstances as identified by the Board of Regents.60670

       (B) Notwithstanding the distribution formulas outlined in 60671
Section 275.30.20 of this act, in fiscal year 2008 each 60672
state-supported institution shall receive what was received in 60673
fiscal year 2007. In addition, each institution shall receive a 60674
proportional share of the total appropriation increase from fiscal 60675
year 2007 to fiscal year 2008 in appropriation item 235-501, State 60676
Share of Instruction, if the institution demonstrates one per cent 60677
savings through identified internal efficiencies in fiscal year 60678
2008, as certified by the Chancellor of the Board of Regents.60679

       Notwithstanding the distribution formulas outlined in Section 60680
275.30.20 of this act, in fiscal year 2009 each state-supported 60681
institution shall receive what was received in fiscal year 2008. 60682
In addition, each institution shall receive a proportional share 60683
of the total appropriation increase from fiscal year 2008 to 60684
fiscal year 2009 in appropriation item 235-501, State Share of 60685
Instruction, if the institution demonstrates three per cent 60686
savings through identified internal efficiencies in fiscal year 60687
2009, as certified by the Chancellor of the Board of Regents. 60688

       (C) In consultation with the Department of Development, the 60689
Chancellor of the Board of Regents shall commission a study on the 60690
needs of the business community relative to higher education in 60691
the state. The study shall include all of the following:60692

       (1) Determine the needs of Ohio's business community;60693

       (2) Determine whether state-supported institutions of higher 60694
education are meeting those needs;60695

       (3) Identify how state-supported institutions of higher 60696
education can improve to meet those needs;60697

       (4) Identify the necessary skills and talents required by the 60698
business community that Ohio's college graduates must have in 60699
order to perform in the workplace; and60700

       (5) Make any necessary recommendations as to how 60701
state-supported institutions of higher education can better meet 60702
the needs of the business community.60703

       Not later than December 31, 2007, the Chancellor of the Board 60704
of Regents shall report the findings of the study to the Governor, 60705
the Speaker and the Minority Leader of the House of 60706
Representatives, and the President and the Minority Leader of the 60707
Senate.60708

       (D) In consultation with state-supported institutions of 60709
higher education, the Chancellor of the Board of Regents shall 60710
develop a plan that includes all of the following:60711

       (1) A plan to achieve the access goal of increasing the 60712
number of Ohioans with a college degree by 230,000 by 2017;60713

       (2) A plan to achieve the success goal of increasing the 60714
graduation rate of those who first enroll in college on or after 60715
the effective date of this section by twenty per cent by 2017;60716

       (3) A plan to achieve affordability through tuition restraint 60717
and additional state support for higher education; such a plan 60718
shall include goals for establishing and implementing funding 60719
policies that provide for sufficient state funding support to 60720
reach tuition that matches or is lower than the national averages 60721
and state support that matches or exceeds the national average;60722

       (4) A plan to enhance the state's competitiveness for 60723
attracting federal and other support for research and development 60724
at public research universities; such a plan shall include goals 60725
for reaching or exceeding the national average level of support, 60726
on a per capita basis, for research and development;60727

       (5) A plan to promote higher education throughout the state 60728
through the coordinated leadership efforts of the Governor, the 60729
Chancellor of the Board of Regents, and other stakeholders; such a 60730
plan shall include goals for using various media and other 60731
partnerships to raise awareness of college opportunities, to 60732
increase public awareness about the value of a college education, 60733
and to create a shared vision that a higher education is 60734
attainable by all Ohioans.60735

       Each of these plans shall include key outcome measures and 60736
other appropriate indicators to allow for monitoring of progress 60737
made in meeting the established goals. Each state-supported 60738
institution of higher education shall provide any student and 60739
institutional outcome data in any program areas requested by the 60740
Chancellor of the Board of Regents, including program efficiency 60741
and utilization of state resources. Each state-supported 60742
institution of higher education shall also commit to increasing 60743
inter-institution collaborations and partnerships and enhancing 60744
efficiencies with the goal of achieving measurable increases in 60745
savings.60746

       In consultation with state-supported institutions of higher 60747
education, the Chancellor of the Board of Regents shall study the 60748
feasibility of establishing and implementing a tuition flexibility 60749
plan that may allow state-supported institutions of higher 60750
education to charge per-credit-hour-based tuition or differential 60751
tuition.60752

       Not later than December 31, 2007, the Chancellor of the Board 60753
of Regents shall report the plan and the tuition flexibility 60754
feasibility study to the Governor, the Speaker and the Minority 60755
Leader of the House of Representatives, and the President and the 60756
Minority Leader of the Senate.60757

       Section 375.30.30.  HIGHER EDUCATION - BOARD OF TRUSTEES60758

       Funds appropriated for instructional subsidies at colleges60759
and universities may be used to provide such branch or other60760
off-campus undergraduate courses of study and such master's degree60761
courses of study as may be approved by the Board of Regents.60762

       In providing instructional and other services to students,60763
boards of trustees of state-assisted institutions of higher60764
education shall supplement state subsidies by income from charges60765
to students. Each board shall establish the fees to be charged to60766
all students, including an instructional fee for educational and60767
associated operational support of the institution and a general60768
fee for noninstructional services, including locally financed60769
student services facilities used for the benefit of enrolled60770
students. The instructional fee and the general fee shall60771
encompass all charges for services assessed uniformly to all60772
enrolled students. Each board may also establish special purpose60773
fees, service charges, and fines as required; such special purpose60774
fees and service charges shall be for services or benefits60775
furnished individual students or specific categories of students60776
and shall not be applied uniformly to all enrolled students. 60777
Except for the board of trustees of Miami University, in 60778
implementing the pilot tuition restructuring plan recognized in 60779
Section 89.05 of Am. Sub. H.B. 95 of the 125th General Assembly 60780
and again recognized by this act, a tuition surcharge shall be 60781
paid by all students who are not residents of Ohio.60782

       The board of trustees of a state-assisted institution of60783
higher education shall not authorize a waiver or nonpayment of60784
instructional fees or general fees for any particular student or60785
any class of students other than waivers specifically authorized60786
by law or approved by the Chancellor. This prohibition is not60787
intended to limit the authority of boards of trustees to provide60788
for payments to students for services rendered the institution,60789
nor to prohibit the budgeting of income for staff benefits or for60790
student assistance in the form of payment of such instructional60791
and general fees. This prohibition is not intended to limit the 60792
authority of the board of trustees of Miami University in 60793
providing financial assistance to students in implementing the 60794
pilot tuition restructuring plan recognized in Section 89.05 of 60795
Am. Sub. H.B. 95 of the 125th General Assembly and again 60796
recognized by this act.60797

       Except for Miami University, in implementing the pilot 60798
tuition restructuring plan recognized in Section 89.05 of Am. Sub. 60799
H.B. 95 of the 125th General Assembly and again recognized by this 60800
act, each state-assisted institution of higher education in its60801
statement of charges to students shall separately identify the60802
instructional fee, the general fee, the tuition charge, and the60803
tuition surcharge. Fee charges to students for instruction shall60804
not be considered to be a price of service but shall be considered60805
to be an integral part of the state government financing program60806
in support of higher educational opportunity for students.60807

       The board of trustees of state-assisted institutions of 60808
higher education shall ensure that faculty members devote a proper 60809
and judicious part of their work week to the actual instruction of60810
students. Total class credit hours of production per quarter per60811
full-time faculty member is expected to meet the standards set60812
forth in the budget data submitted by the Board of Regents.60813

       The authority of government vested by law in the boards of60814
trustees of state-assisted institutions of higher education shall60815
in fact be exercised by those boards. Boards of trustees may60816
consult extensively with appropriate student and faculty groups.60817
Administrative decisions about the utilization of available60818
resources, about organizational structure, about disciplinary60819
procedure, about the operation and staffing of all auxiliary60820
facilities, and about administrative personnel shall be the60821
exclusive prerogative of boards of trustees. Any delegation of60822
authority by a board of trustees in other areas of responsibility60823
shall be accompanied by appropriate standards of guidance60824
concerning expected objectives in the exercise of such delegated60825
authority and shall be accompanied by periodic review of the60826
exercise of this delegated authority to the end that the public60827
interest, in contrast to any institutional or special interest,60828
shall be served.60829

       Section 375.30.40. STUDENT SUPPORT SERVICES60830

       The foregoing appropriation item 235-502, Student Support60831
Services, shall be distributed by the Board of Regents to Ohio's60832
state-assisted colleges and universities that incur60833
disproportionate costs in the provision of support services to60834
disabled students.60835

       Section 375.30.50. OHIO INSTRUCTIONAL GRANTS60836

       In each fiscal year, instructional grants for all eligible 60837
full-time students who have attended a college, university, or 60838
proprietary school and have completed coursework for college 60839
credit, excluding early college high school and post-secondary 60840
enrollment option students, prior to academic year 2006-2007, 60841
shall be made using the tables under section 3333.12 of the 60842
Revised Code.60843

       Of the foregoing appropriation item 235-503, Ohio 60844
Instructional Grants, an amount in each fiscal year shall be used 60845
to make the payments authorized by division (C) of section 3333.26 60846
of the Revised Code to the institutions described in that 60847
division. In addition, an amount in each fiscal year shall be used 60848
to reimburse the institutions described in division (B) of section 60849
3333.26 of the Revised Code for the cost of the waivers required 60850
by that division.60851

       The unencumbered balance of appropriation item 235-503, Ohio 60852
Instructional Grants, at the end of fiscal year 2008 shall be 60853
transferred to fiscal year 2009 for use under the same 60854
appropriation item. The amounts transferred are hereby 60855
appropriated.60856

       Section 375.30.60.  WAR ORPHANS SCHOLARSHIPS60857

       The foregoing appropriation item 235-504, War Orphans60858
Scholarships, shall be used to reimburse state-assisted60859
institutions of higher education for waivers of instructional fees60860
and general fees provided by them, to provide grants to60861
institutions that have received a certificate of authorization60862
from the Ohio Board of Regents under Chapter 1713. of the Revised60863
Code, in accordance with the provisions of section 5910.04 of the60864
Revised Code, and to fund additional scholarship benefits provided60865
by section 5910.032 of the Revised Code.60866

       Section 375.30.70. OHIOLINK60867

       The foregoing appropriation item 235-507, OhioLINK, shall be 60868
used by the Board of Regents to support OhioLINK, the state's 60869
electronic library information and retrieval system, which 60870
provides access statewide to an extensive set of electronic 60871
databases and resources and the library holdings of all of Ohio's 60872
public colleges and universities, 44 private colleges, and the 60873
State Library of Ohio.60874

       Section 375.30.80. AIR FORCE INSTITUTE OF TECHNOLOGY60875

       The foregoing appropriation item 235-508, Air Force Institute 60876
of Technology, shall be used to strengthen the research and 60877
educational linkages between the Wright Patterson Air Force Base 60878
and institutions of higher education in Ohio. Of the foregoing 60879
appropriation item 235-508, Air Force Institute of Technology, 60880
$1,233,588 in each fiscal year shall be used for research projects 60881
that connect the Air Force Research Laboratories with university 60882
partners. The institute shall provide annual reports to the Third 60883
Frontier Commission, that discuss existing, planned, or possible 60884
collaborations between programs and funding recipients related to 60885
technology, research development, commercialization, and support 60886
for Ohio's economic development.60887

       Of the foregoing appropriation item 235-508, Air Force 60888
Institute of Technology, $691,757 in each fiscal year shall be 60889
used to match federal dollars to support technology 60890
commercialization and job creation. The Development Research 60891
Corporation shall use the funds to create or expand Ohio-based 60892
technology and commercial development collaborations in areas that 60893
are a priority in Ohio's third frontier initiative between 60894
industry, academia, and government.60895

       Section 375.30.90.  OHIO SUPERCOMPUTER CENTER60896

       The foregoing appropriation item 235-510, Ohio Supercomputer60897
Center, shall be used by the Board of Regents to support the60898
operation of the Ohio Super Computer Center, located at The Ohio 60899
State University, as a statewide resource available to Ohio 60900
research universities both public and private. It is also intended 60901
that the center be made accessible to private industry as 60902
appropriate. Policies of the center shall be established by a60903
governance committee, representative of Ohio's research60904
universities and private industry, to be appointed by the60905
Chancellor of the Board of Regents and established for this60906
purpose.60907

       Funds shall be used, in part, to support the Ohio 60908
Supercomputer Center's Computational Science Initiative which 60909
includes its industrial outreach program, Blue Collar Computing, 60910
and its School of Computational Science. These collaborations 60911
between the Ohio Supercomputer Center and Ohio's colleges and 60912
universities shall be aimed at making Ohio a leader in using 60913
computer modeling to promote economic development.60914

       Of the foregoing appropriation item 235-510, Ohio 60915
Supercomputer Center, $250,000 in each fiscal year shall be used 60916
to support the Super Computer Center's activities in Beavercreek.60917

       Section 375.40.10.  COOPERATIVE EXTENSION SERVICE60918

       The foregoing appropriation item 235-511, Cooperative 60919
Extension Service, shall be disbursed through the Board of Regents 60920
to The Ohio State University in monthly payments, unless otherwise 60921
determined by the Director of Budget and Management under section 60922
126.09 of the Revised Code.60923

       Of the foregoing appropriation item 235-511, Cooperative60924
Extension Service, $178,271 in each fiscal year shall be used for60925
additional staffing for county agents for expanded 4-H activities.60926
Of the foregoing appropriation item 235-511, Cooperative Extension60927
Service, $178,271 in each fiscal year shall be used by the60928
Cooperative Extension Service, through the Enterprise Center for60929
Economic Development in cooperation with other agencies, for a60930
public-private effort to create and operate a small business60931
economic development program to enhance the development of60932
alternatives to the growing of tobacco, and implement, through60933
applied research and demonstration, the production and marketing60934
of other high-value crops and value-added products. Of the60935
foregoing appropriation item 235-511, Cooperative Extension60936
Service, $55,179 in each fiscal year shall be used for farm labor60937
mediation and education programs, $182,515 in each fiscal year 60938
shall be used to support the Ohio State University Marion 60939
Enterprise Center, and $772,931 in each fiscal year shall be used 60940
to support the Ohio Watersheds Initiative.60941

       Section 375.40.20.  OHIO UNIVERSITY VOINOVICH CENTER60942

       The foregoing appropriation item 235-513, Ohio University 60943
Voinovich Center, shall be used by the Board of Regents to support 60944
the operations of Ohio University's Voinovich Center.60945

       Section 375.40.30. PERFORMANCE STANDARDS FOR MEDICAL 60946
EDUCATION60947

       The Board of Regents, in consultation with the state-assisted 60948
medical colleges, shall develop performance standards for medical60949
education. Special emphasis in the standards shall be placed on 60950
attempting to ensure that at least 50 per cent of the aggregate 60951
number of students enrolled in state-assisted medical colleges 60952
continue to enter residency as primary care physicians. Primary 60953
care physicians are general family practice physicians, general 60954
internal medicine practitioners, and general pediatric care60955
physicians. The Board of Regents shall monitor medical school60956
performance in relation to their plans for reaching the 50 per60957
cent systemwide standard for primary care physicians.60958

       Section 375.40.35.  CENTRAL STATE SUPPLEMENT60959

       The foregoing appropriation item 235-514, Central State 60960
Supplement, shall be used by Central State University to keep 60961
undergraduate fees below the statewide average, consistent with 60962
its mission of service to many first-generation college students 60963
from groups historically underrepresented in higher education and 60964
from families with limited incomes.60965

       Section 375.40.40. CASE WESTERN RESERVE UNIVERSITY SCHOOL OF 60966
MEDICINE60967

       The foregoing appropriation item 235-515, Case Western60968
Reserve University School of Medicine, shall be disbursed to Case60969
Western Reserve University through the Board of Regents in60970
accordance with agreements entered into under section 3333.10 of 60971
the Revised Code, provided that the state support per full-time 60972
medical student shall not exceed that provided to full-time 60973
medical students at state universities.60974

       Section 375.40.50.  CAPITOL SCHOLARSHIP PROGRAM60975

        The foregoing appropriation item 235-518, Capitol Scholarship 60976
Program, shall be used by the Board of Regents to provide 60977
scholarships to undergraduates of Ohio's four-year public and 60978
private institutions of higher education participating in the 60979
Washington Center Internship Program. A scholarship of $1,800 60980
shall be awarded to students enrolled in an institution operating 60981
on a quarter system, and a scholarship of $2,300 shall be awarded 60982
to students enrolled in an institution operating on a semester 60983
system. The number of scholarships awarded shall be limited by the 60984
amounts appropriated in fiscal years 2008 and 2009. The Washington 60985
Center shall provide a minimum of $1,300 per student in matching 60986
scholarships.60987

       Section 375.40.60. FAMILY PRACTICE60988

       The Board of Regents shall develop plans consistent with 60989
existing criteria and guidelines as may be required for the 60990
distribution of appropriation item 235-519, Family Practice.60991

       Section 375.40.70. SHAWNEE STATE SUPPLEMENT60992

       The foregoing appropriation item 235-520, Shawnee State60993
Supplement, shall be used by Shawnee State University as detailed60994
by both of the following:60995

       (A) To allow Shawnee State University to keep its60996
undergraduate fees below the statewide average, consistent with60997
its mission of service to an economically depressed Appalachian60998
region;60999

       (B) To allow Shawnee State University to employ new faculty61000
to develop and teach in new degree programs that meet the needs of61001
Appalachians.61002

       Shawnee State University shall produce a projection of 61003
in-state undergraduate tuition costs for a four-year period of 61004
study not later than June 30, 2008. In fiscal year 2009, the 61005
disbursement of these funds shall be contingent upon Shawnee State 61006
University producing the required tuition cost projection. Shawnee 61007
State University shall make every effort to restrain future 61008
in-state undergraduate tuition increases to stay within those 61009
projected amounts.61010

       Section 375.40.80.  OSU GLENN INSTITUTE61011

       The foregoing appropriation item 235-521, The Ohio State 61012
University Glenn Institute, shall be used by the Board of Regents 61013
to support the operations of the Ohio State University's Glenn 61014
Institute.61015

       Section 375.40.90. POLICE AND FIRE PROTECTION61016

       The foregoing appropriation item 235-524, Police and Fire61017
Protection, shall be used for police and fire services in the61018
municipalities of Kent, Athens, Oxford, Fairborn, Bowling Green,61019
Portsmouth, Xenia Township (Greene County), Rootstown Township, 61020
and the City of Nelsonville that may be used to assist these local 61021
governments in providing police and fire protection for the 61022
central campus of the state-affiliated university located therein. 61023
Each participating municipality and township shall receive at 61024
least $5,000 in each fiscal year. Funds shall be distributed 61025
according to the method employed by the Board of Regents in the 61026
previous biennium.61027

       Section 375.50.10.  GERIATRIC MEDICINE61028

       The Board of Regents shall develop plans consistent with61029
existing criteria and guidelines as may be required for the61030
distribution of appropriation item 235-525, Geriatric Medicine.61031

       Section 375.50.20.  PRIMARY CARE RESIDENCIES61032

       The Board of Regents shall develop plans consistent with 61033
existing criteria and guidelines as may be required for the 61034
distribution of appropriation item 235-526, Primary Care 61035
Residencies.61036

       The foregoing appropriation item 235-526, Primary Care 61037
Residencies, shall be distributed in each fiscal year of the 61038
biennium, based on whether or not the institution has submitted 61039
and gained approval for a plan. If the institution does not have 61040
an approved plan, it shall receive five per cent less funding per 61041
student than it would have received from its annual allocation. 61042
The remaining funding shall be distributed among those 61043
institutions that meet or exceed their targets.61044

       Section 375.50.30. OHIO AEROSPACE INSTITUTE61045

       The foregoing appropriation item 235-527, Ohio Aerospace61046
Institute, shall be distributed by the Board of Regents under61047
section 3333.042 of the Revised Code.61048

       The Board of Regents, in consultation with the Third Frontier 61049
Commission, shall develop a plan for providing for appropriate, 61050
value-added participation of the Ohio Aerospace Institute in Third 61051
Frontier Project proposals and grants.61052

       Section 375.50.40. ACADEMIC SCHOLARSHIPS61053

       The foregoing appropriation item 235-530, Academic61054
Scholarships, shall be used to provide academic scholarships to61055
students under section 3333.22 of the Revised Code.61056

       Section 375.50.50. STUDENT CHOICE GRANTS61057

       The foregoing appropriation item 235-531, Student Choice61058
Grants, shall be used to provide Student Choice Grants under 61059
section 3333.27 of the Revised Code, except that in each fiscal 61060
year, the Board of Regents shall make a Student Choice Grant under 61061
that section only to a student who has a family income, as defined 61062
by the Board for purposes of section 3333.122 of the Revised Code, 61063
of $95,000 or less.61064

       Section 375.50.60. OHIO AGRICULTURAL RESEARCH AND DEVELOPMENT 61065
CENTER61066

       The foregoing appropriation item 235-535, Ohio Agricultural 61067
Research and Development Center, shall be disbursed through the 61068
Board of Regents to The Ohio State University in monthly payments, 61069
unless otherwise determined by the Director of Budget and 61070
Management under section 126.09 of the Revised Code. The Ohio 61071
Agricultural Research and Development Center shall not be required 61072
to remit payment to The Ohio State University during the biennium 61073
ending June 30, 2009, for cost reallocation assessments. The cost 61074
reallocation assessments include, but are not limited to, any 61075
assessment on state appropriations to the Center.61076

       The Ohio Agricultural Research and Development Center, an 61077
entity of the College of Food, Agricultural, and Environmental 61078
Sciences of The Ohio State University, shall further its mission 61079
of enhancing Ohio's economic development and job creation by 61080
continuing to internally allocate on a competitive basis 61081
appropriated funding of programs based on demonstrated 61082
performance. Academic units, faculty, and faculty-driven programs 61083
shall be evaluated and rewarded consistent with agreed-upon 61084
performance expectations as called for in the College's 61085
Expectations and Criteria for Performance Assessment.61086

       Of the foregoing appropriation item 235-535, Ohio 61087
Agricultural Research and Development Center, $467,578 in each 61088
fiscal year shall be used to purchase equipment.61089

       Of the foregoing appropriation item 235-535, Ohio61090
Agricultural Research and Development Center, $822,592 in each 61091
fiscal year shall be distributed to the Piketon Agricultural61092
Research and Extension Center.61093

       Of the foregoing appropriation item 235-535, Ohio61094
Agricultural Research and Development Center, $216,471 in each 61095
fiscal year shall be distributed to the61096
Raspberry/Strawberry-Ellagic Acid Research program at The Ohio61097
State University Medical College in cooperation with The Ohio61098
State University College of Agriculture.61099

       Of the foregoing appropriation item 235-535, Ohio61100
Agricultural Research and Development Center, $43,294 in each 61101
fiscal year shall be used to support the Ohio Berry Administrator.61102

       Of the foregoing appropriation item 235-535, Ohio61103
Agricultural Research and Development Center, $86,588 in each 61104
fiscal year shall be used for the development of agricultural61105
crops and products not currently in widespread production in Ohio,61106
in order to increase the income and viability of family farmers.61107

       Of the foregoing appropriation item 235-535, Ohio 61108
Agricultural Research and Development Center, $127,500 in each 61109
fiscal year shall be distributed to Wilmington College for the 61110
commercialization of agricultural products.61111

       Section 375.50.70. STATE UNIVERSITY CLINICAL TEACHING61112

       The foregoing appropriation items 235-536, The Ohio State 61113
University Clinical Teaching; 235-537, University of Cincinnati 61114
Clinical Teaching; 235-538, University of Toledo Clinical 61115
Teaching; 235-539, Wright State University Clinical Teaching; 61116
235-540, Ohio University Clinical Teaching; and 235-541, 61117
Northeastern Ohio Universities College of Medicine Clinical 61118
Teaching, shall be distributed through the Board of Regents.61119

       Of the foregoing appropriation item 235-539, Wright State 61120
University Clinical Teaching, $124,644 in each fiscal year of the 61121
biennium shall be for the use of Wright State University's Ellis 61122
Institute for Clinical Teaching Studies to operate the clinical 61123
facility to serve the Greater Dayton area.61124

       Section 375.50.80. SCHOOL OF INTERNATIONAL BUSINESS61125

       Of the foregoing appropriation item 235-547, School of61126
International Business, $250,000 in each fiscal year shall be used 61127
for the continued development and support of the School of61128
International Business of the state universities of northeast61129
Ohio. The money shall go to The University of Akron. These funds61130
shall be used by the university to establish a School of61131
International Business located at The University of Akron. It may61132
confer with Kent State University, Youngstown State University,61133
and Cleveland State University as to the curriculum and other61134
matters regarding the school.61135

       Of the foregoing appropriation item 235-547, School of61136
International Business, $100,000 in each fiscal year shall be used61137
by the University of Toledo College of Business for expansion of61138
its international business programs.61139

       Of the foregoing appropriation item 235-547, School of61140
International Business, $100,000 in each fiscal year shall be used 61141
to support the Ohio State University BioMEMS program.61142

       Section 375.50.90. CAPITAL COMPONENT61143

       The foregoing appropriation item 235-552, Capital Component,61144
shall be used by the Board of Regents to implement the capital61145
funding policy for state-assisted colleges and universities61146
established in Am. H.B. 748 of the 121st General Assembly.61147
Appropriations from this item shall be distributed to all campuses61148
for which the estimated campus debt service attributable to new61149
qualifying capital projects is less than the campus's61150
formula-determined capital component allocation. Campus61151
allocations shall be determined by subtracting the estimated61152
campus debt service attributable to new qualifying capital61153
projects from the campus's formula-determined capital component61154
allocation. Moneys distributed from this appropriation item shall61155
be restricted to capital-related purposes.61156

       Any campus for which the estimated campus debt service 61157
attributable to qualifying capital projects is greater than the 61158
campus's formula-determined capital component allocation shall 61159
have the difference subtracted from its State Share of Instruction 61160
allocation in each fiscal year. The sum of all such amounts shall 61161
be transferred from appropriation item 235-501, State Share of 61162
Instruction, to appropriation item 235-552, Capital Component.61163

       Section 375.60.10. DAYTON AREA GRADUATE STUDIES INSTITUTE61164

       The foregoing appropriation item 235-553, Dayton Area61165
Graduate Studies Institute, shall be used by the Board of Regents61166
to support the Dayton Area Graduate Studies Institute, an61167
engineering graduate consortium of three universities in the61168
Dayton area: Wright State University, the University of Dayton,61169
and the Air Force Institute of Technology, with the participation61170
of the University of Cincinnati and The Ohio State University.61171

       Of the foregoing appropriation item 235-553, Dayton Area 61172
Graduate Studies Institute, $350,000 in each fiscal year shall be 61173
used by the Development Research Corporation to support 61174
collaborative research and technology commercialization 61175
initiatives in Ohio.61176

       Section 375.60.20. PRIORITIES IN COLLABORATIVE GRADUATE 61177
EDUCATION61178

       The foregoing appropriation item 235-554, Priorities in 61179
Collaborative Graduate Education, shall be used to support 61180
improvements in graduate fields of study at state-assisted 61181
universities identified by the Board of Regents, in consultation 61182
with the Department of Development and the Department of Job and 61183
Family Services, as vital to the state's economic strategy or 61184
related to an area of workforce shortage. Each fiscal year, 61185
participating institutions shall collectively submit for Board of 61186
Regents approval a plan describing how they will work 61187
collaboratively to improve the quality of their graduate programs 61188
and how the funds are to be used for this purpose. The 61189
collaborative effort for Ph.D. computer science programs shall be 61190
coordinated by the Ohio Supercomputer Center as part of its School 61191
of Computational Science.61192

       Section 375.60.30. LIBRARY DEPOSITORIES61193

       The foregoing appropriation item, 235-555, Library 61194
Depositories, shall be distributed to the state's five regional 61195
depository libraries for the cost-effective storage of and access 61196
to lesser-used materials in university library collections. The 61197
distribution of funds shall be coordinated by the Board of 61198
Regents.61199

       Section 375.60.40. OHIO ACADEMIC RESOURCES NETWORK (OARNET)61200

       The foregoing appropriation item 235-556, Ohio Academic61201
Resources Network, shall be used to support the operations of the61202
Ohio Academic Resources Network, which shall include support for61203
Ohio's state-assisted colleges and universities in maintaining and61204
enhancing network connections and in using new network 61205
technologies to improve research, education, and economic 61206
development programs. The network shall give priority to 61207
supporting the Third Frontier Network and allocating bandwidth to 61208
programs directly supporting Ohio's economic development.61209

       Section 375.60.50. LONG-TERM CARE RESEARCH61210

       Of the foregoing appropriation item 235-558, Long-term Care61211
Research, $211,047 in each fiscal year shall be disbursed to Miami 61212
University for long-term care research.61213

       Of the foregoing appropriation item, 235-558, Long-term Care 61214
Research, $100,000 in each fiscal year shall be used to support 61215
research on best practices for long-term care in rural areas.61216

       Section 375.60.60. BOWLING GREEN STATE UNIVERSITY CANADIAN 61217
STUDIES CENTER61218

       The foregoing appropriation item 235-561, Bowling Green State61219
University Canadian Studies Center, shall be used by the Canadian61220
Studies Center at Bowling Green State University to study61221
opportunities for Ohio and Ohio businesses to benefit from the61222
Free Trade Agreement between the United States and Canada.61223

       Section 375.60.70.  OHIO COLLEGE OPPORTUNITY GRANT PHASE-IN61224

       The foregoing appropriation item 235-563, Ohio College 61225
Opportunity Grant, shall be used by the Board of Regents to begin 61226
to award needs-based financial aid to students based on the United 61227
States Department of Education's method of determining financial 61228
need. Students who enrolled in a public, private, or proprietary 61229
post-secondary institution of higher education for the first time 61230
in academic year 2006-2007, excluding early college high school 61231
and post-secondary enrollment option participants, shall be 61232
eligible to receive aid based on their expected family 61233
contributions as calculated by the United States Department of 61234
Education, according to section 3333.122 of the Revised Code.61235

       Eligible expenditures from the foregoing appropriation item 61236
235-563, Ohio College Opportunity Grant, shall be claimed each 61237
fiscal year to help meet the state's TANF maintenance of effort 61238
requirement. The Chancellor of the Board of Regents and the 61239
Director of Job and Family Services shall enter into an 61240
interagency agreement to carry out this paragraph, which shall 61241
include, but not be limited to, developing reporting guidelines 61242
for these expenditures.61243

       Section 375.60.80. CENTRAL STATE UNIVERSITY SPEED TO SCALE61244

       The foregoing appropriation 235-567, Central State University 61245
Speed to Scale, shall be used to achieve the goals of the Speed to 61246
Scale Plan, which include increasing student enrollment through 61247
freshman recruitment and transferred students, increasing the 61248
proportion of in-state students to 80 per cent of the total 61249
student population, and increasing the student retention rates 61250
between the first and second year of college by two per cent each 61251
year. The goals shall be accomplished by targeting student 61252
retention, improved articulation agreements with two-year 61253
campuses, increased use of alternative course options, including 61254
online coursework and Ohio Learning Network resources, College 61255
Tech Prep, Post Secondary Enrollment Options, and other 61256
dual-credit programs, and strategic partnerships with research 61257
institutions to improve the quality of Central State University's 61258
offering of science, technology, engineering, mathematics, and 61259
medical instruction. In fiscal year 2009, the disbursement of 61260
these funds shall be contingent upon Central State University 61261
meeting the annual goals for the student enrollment and 61262
first-to-second-year retention rate increases.61263

       There is hereby created the Speed to Scale Task Force that 61264
shall meet not less than quarterly to discuss progress of the 61265
plan, including performance on accountability metrics, issues 61266
experienced in planned efforts, and to monitor and support the 61267
creation of partnerships with other state institutions of higher 61268
education. The Task Force shall consist of the president of 61269
Central State University or the president's designee, the 61270
president of Sinclair Community College or the president's 61271
designee, the president of Cincinnati State Technical and 61272
Community College or the president's designee, the president of 61273
Cuyahoga Community College or the president's designee, The Ohio 61274
State University or the president's designee, the president of the 61275
University of Cincinnati or the president's designee, one 61276
representative from the Board of Regents, one member of the House 61277
of Representatives appointed by the Speaker of the House of 61278
Representatives, one member of the Senate appointed by the 61279
President of the Senate, the Director of Budget and Management or 61280
the director's designee, and a representative of the Governor's 61281
Office as appointed by the Governor.61282

       On the thirtieth day of June of each fiscal year, Central 61283
State University and the Speed to Scale Task Force shall jointly 61284
submit to the Governor, the Director of Budget and Management, the 61285
Speaker of the House of Representatives, the President of the 61286
Senate, and the Board of Regents a report describing the status of 61287
their progress on the accountability metrics included in the Speed 61288
to Scale plan.61289

       Section 375.60.91. CHOOSE OHIO FIRST SCHOLARSHIP61290

       It is the intent of the House of Representatives to work with 61291
the Senate and the Governor to design the criteria for the Choose 61292
Ohio First Scholarship to promote the pursuit of STEM degrees.61293

       Section 375.70.10. THE OHIO STATE UNIVERSITY CLINIC SUPPORT61294

       The foregoing appropriation item 235-572, The Ohio State61295
University Clinic Support, shall be distributed through the Board61296
of Regents to The Ohio State University for support of dental and61297
veterinary medicine clinics.61298

       Section 375.70.20. URBAN UNIVERSITY PROGRAM61299

       Universities receiving funds from the foregoing appropriation 61300
item 235-583, Urban University Program, that are used to support61301
an ongoing university unit shall certify periodically in a manner61302
approved by the Board of Regents that program funds are being61303
matched on a one-to-one basis with equivalent resources. Overhead61304
support may not be used to meet this requirement. Where Urban61305
University Program funds are being used to support an ongoing61306
university unit, matching funds shall come from continuing rather61307
than one-time sources. At each participating state-assisted61308
institution of higher education, matching funds shall be within 61309
the substantial control of the individual designated by the61310
institution's president as the Urban University Program61311
representative.61312

       Of the foregoing appropriation item 235-583, Urban University61313
Program, $117,215 in each fiscal year shall be used to support the 61314
Center for the Interdisciplinary Study of Education and the Urban 61315
Child at Cleveland State University. These funds shall be61316
distributed according to rules adopted by the Board of Regents and61317
shall be used by the center for interdisciplinary activities61318
targeted toward increasing the chance of lifetime success of the61319
urban child, including interventions beginning with the prenatal61320
period. The primary purpose of the center is to study issues in61321
urban education and to systematically map directions for new61322
approaches and new solutions by bringing together a cadre of61323
researchers, scholars, and professionals representing the social,61324
behavioral, education, and health disciplines.61325

       Of the foregoing appropriation item 235-583, Urban University61326
Program, $1,433,037 in each fiscal year shall be distributed by61327
the Board of Regents to Cleveland State University in support of61328
the Maxine Goodman Levin College of Urban Affairs.61329

       Of the foregoing appropriation item 235-583, Urban University61330
Program, $1,433,037 in each fiscal year shall be distributed to61331
the Northeast Ohio Research Consortium, the Urban Linkages61332
Program, and the Urban Research Technical Assistance Grant61333
Program. The distribution among the three programs shall be61334
determined by the chair of the Urban University Program.61335

       Of the foregoing appropriation item 235-583, Urban University61336
Program, $247,453 in each fiscal year shall be used to support a61337
public communication outreach program (WCPN). The primary purpose61338
of the program shall be to develop a relationship between61339
Cleveland State University and nonprofit communications entities.61340

       Of the foregoing appropriation item 235-583, Urban University61341
Program, $169,310 in each fiscal year shall be used to support the 61342
Kent State University Learning and Technology Project. This61343
project is a kindergarten through university collaboration between61344
schools surrounding Kent State University's eight campuses in 61345
northeast Ohio and corporate partners who will assist in 61346
development and delivery.61347

       The Kent State University Project shall provide a faculty61348
member who has a full-time role in the development of61349
collaborative activities and teacher instructional programming61350
between Kent State University and the K-12th grade schools that 61351
surround its eight campuses; appropriate student support staff to 61352
facilitate these programs and joint activities; and hardware and 61353
software to schools that will make possible the delivery of 61354
instruction to pre-service and in-service teachers, and their 61355
students, in their own classrooms or school buildings. This shall 61356
involve the delivery of low-bandwidth streaming video and 61357
web-based technologies in a distributed instructional model.61358

       Of the foregoing appropriation item 235-583, Urban University61359
Program, $65,119 in each fiscal year shall be used to support the61360
Ameritech Classroom/Center for Research at Kent State University.61361

       Of the foregoing appropriation item 235-583, Urban University61362
Program, $723,547 in each fiscal year shall be used to support the 61363
Polymer Distance Learning Project at the University of Akron.61364

       Of the foregoing appropriation item 235-583, Urban University61365
Program, $32,560 in each fiscal year shall be distributed to the61366
Kent State University/Cleveland Design Center program.61367

       Of the foregoing appropriation item 235-583, Urban University61368
Program, $180,886 in each fiscal year shall be used to support the 61369
Bliss Institute of Applied Politics at the University of Akron.61370

       Of the foregoing appropriation item 235-583, Urban University61371
Program, $10,851 in each fiscal year shall be used for the61372
Advancing-Up Program at the University of Akron.61373

       Of the foregoing appropriation item 235-583, Urban University 61374
Program, $139,777 in each fiscal year shall be used to support the 61375
Strategic Economic Research Collaborative at the University of 61376
Toledo Urban Affairs Center.61377

        Of the foregoing appropriation item 235-583, Urban University 61378
Program, $139,777 in each fiscal year shall be used to support the 61379
Institute for Collaborative Research and Public Humanities at The 61380
Ohio State University.61381

       Of the foregoing appropriation item 235-583, Urban University 61382
Program, $300,368 in each fiscal year shall be used to support the 61383
Medina County University Center.61384

       Of the foregoing appropriation item 235-583, Urban University 61385
Program, $150,000 in each fiscal year shall be used to support the 61386
Ohio State University African American and African Studies 61387
Community Extension Center.61388

       Section 375.70.30. RURAL UNIVERSITY PROJECTS61389

       Of the foregoing appropriation item 235-587, Rural University61390
Projects, Bowling Green State University shall receive $263,783 in 61391
each fiscal year, Miami University shall receive $145,320 in each 61392
fiscal year, and Ohio University shall receive $575,015 in each 61393
fiscal year. These funds shall be used to support the Institute61394
for Local Government Administration and Rural Development at Ohio61395
University, the Center for Public Management and Regional Affairs61396
at Miami University, and the Center for Regional Development at61397
Bowling Green State University.61398

       A small portion of the funds provided to Ohio University61399
shall also be used for the Institute for Local Government61400
Administration and Rural Development State and Rural Policy61401
Partnership with the Governor's Office of Appalachia and the61402
Appalachian delegation of the General Assembly.61403

       Of the foregoing appropriation item 235-587, Rural University 61404
Projects, $15,942 in each fiscal year shall be used to support the 61405
Washington State Community College day care center.61406

        Of the foregoing appropriation item 235-587, Rural University 61407
Projects, $47,829 in each fiscal year shall be used to support the 61408
COAD/ILGARD/GOA Appalachian Leadership Initiative.61409

       Section 375.70.40. HAZARDOUS MATERIALS PROGRAM61410

       The foregoing appropriation item 235-596, Hazardous Materials61411
Program, shall be disbursed to Cleveland State University for the61412
operation of a program to certify firefighters for the handling of61413
hazardous materials. Training shall be available to all Ohio61414
firefighters.61415

       Of the foregoing appropriation item 235-596, Hazardous61416
Materials Program, $177,337 in each fiscal year shall be used to61417
support the Center for the Interdisciplinary Study of Education61418
and Leadership in Public Service at Cleveland State University.61419
These funds shall be distributed by the Board of Regents and shall61420
be used by the center targeted toward increasing the role of61421
special populations in public service and not-for-profit61422
organizations. The primary purpose of the center is to study61423
issues in public service and to guide strategies for attracting61424
new communities into public service occupations by bringing61425
together a cadre of researchers, scholars, and professionals61426
representing the public administration, social behavioral, and61427
education disciplines.61428

       Section 375.70.50. NATIONAL GUARD SCHOLARSHIP PROGRAM61429

       The Board of Regents shall disburse funds from appropriation61430
item 235-599, National Guard Scholarship Program, at the direction61431
of the Adjutant General. During each fiscal year, the Board of 61432
Regents, within ten days of cancellation, may certify to the 61433
Director of Budget and Management the amount of canceled 61434
prior-year encumbrances in appropriation item 235-599, National 61435
Guard Scholarship Program. Upon receipt of the certification, the 61436
Director of Budget and Management may transfer an amount up to the 61437
certified amount from the General Revenue Fund to the National 61438
Guard Scholarship Reserve Fund (Fund 5BM). Upon the request of the 61439
Adjutant General, the Board of Regents shall seek Controlling 61440
Board approval to establish appropriations in item 235-623, 61441
National Guard Scholarship Reserve Fund. The Board of Regents 61442
shall disburse funds from appropriation item 235-623, National 61443
Guard Scholarship Reserve Fund, at the direction of the Adjutant 61444
General.61445

       *       Section 375.70.60. PLEDGE OF FEES61446

       Any new pledge of fees, or new agreement for adjustment of61447
fees, made in the biennium ending June 30, 2009, to secure bonds 61448
or notes of a state-assisted institution of higher education for a 61449
project for which bonds or notes were not outstanding on the 61450
effective date of this section shall be effective only after 61451
approval by the Board of Regents, unless approved in a previous 61452
biennium.61453

       Section 375.70.70. HIGHER EDUCATION GENERAL OBLIGATION DEBT 61454
SERVICE61455

       The foregoing appropriation item 235-909, Higher Education61456
General Obligation Debt Service, shall be used to pay all debt61457
service and related financing costs at the times they are required 61458
to be made for obligations issued during the period from July 1, 61459
2007, to June 30, 2009, under sections 151.01 and 151.04 of the 61460
Revised Code.61461

       Section 375.70.80. SALES AND SERVICES61462

        The Board of Regents is authorized to charge and accept 61463
payment for the provision of goods and services. Such charges 61464
shall be reasonably related to the cost of producing the goods and 61465
services. No charges may be levied for goods or services that are 61466
produced as part of the routine responsibilities or duties of the 61467
Board. All revenues received by the Board of Regents shall be 61468
deposited into Fund 456, and may be used by the Board of Regents 61469
to pay for the costs of producing the goods and services.61470

       Section 375.70.90.  OHIO HIGHER EDUCATIONAL FACILITY 61471
COMMISSION SUPPORT61472

       The foregoing appropriation item 235-602, Higher Educational 61473
Facility Commission Administration, shall be used by the Board of 61474
Regents for operating expenses related to the Board of Regents' 61475
support of the activities of the Ohio Higher Educational Facility61476
Commission. Upon the request of the chancellor, the Director of61477
Budget and Management shall transfer up to $50,000 cash in fiscal 61478
year 2008 and up to $45,000 cash in fiscal year 2009 from Fund 461 61479
to Fund 4E8.61480

       Section 375.80.10. PHYSICIAN LOAN REPAYMENT61481

       The foregoing appropriation item 235-604, Physician Loan61482
Repayment, shall be used in accordance with sections 3702.71 to61483
3702.81 of the Revised Code.61484

       Section 375.80.20. NURSING LOAN PROGRAM61485

       The foregoing appropriation item 235-606, Nursing Loan61486
Program, shall be used to administer the nurse education61487
assistance program. Up to $159,600 in fiscal year 2008 and61488
$167,580 in fiscal year 2009 may be used for operating expenses61489
associated with the program. Any additional funds needed for the61490
administration of the program are subject to Controlling Board61491
approval.61492

       Section 375.80.30. REPAYMENT OF RESEARCH FACILITY INVESTMENT61493
FUND MONEYS61494

       Notwithstanding any provision of law to the contrary, all61495
repayments of Research Facility Investment Fund loans shall be61496
made to the Bond Service Trust Fund. All Research Facility61497
Investment Fund loan repayments made prior to the effective date61498
of this section shall be transferred by the Director of Budget and61499
Management to the Bond Service Trust Fund within sixty days after 61500
the effective date of this section.61501

       Campuses shall make timely repayments of Research Facility61502
Investment Fund loans, according to the schedule established by61503
the Board of Regents. In the case of late payments, the Board of61504
Regents may deduct from an institution's periodic subsidy61505
distribution an amount equal to the amount of the overdue payment61506
for that institution, transfer such amount to the Bond Service61507
Trust Fund, and credit the appropriate institution for the61508
repayment.61509

       Section 375.80.40. VETERANS' PREFERENCES61510

       The Board of Regents shall work with the Governor's Office of61511
Veterans' Affairs to develop specific veterans' preference61512
guidelines for higher education institutions. These guidelines61513
shall ensure that the institutions' hiring practices are in61514
accordance with the intent of Ohio's veterans' preference laws.61515

       Section 375.80.50. STATE NEED-BASED FINANCIAL AID 61516
RECONCILIATION61517

       By the first day of August in each fiscal year, or as soon 61518
thereafter as possible, the Ohio Board of Regents shall certify to 61519
the Director of Budget and Management the amount necessary to pay 61520
any outstanding prior year obligations to higher education 61521
institutions for the state's need-based financial aid programs. 61522
The amounts certified are hereby appropriated to appropriation 61523
item 235-618, State Need-based Financial Aid Reconciliation, from 61524
revenues received in the State Need-based Financial Aid 61525
Reconciliation Fund (Fund 5Y5).61526

       Section 375.80.60. TRANSFERS TO STATE NEED-BASED FINANCIAL 61527
AID PROGRAMS61528

       In each fiscal year of the biennium, if the Chancellor of the 61529
Board of Regents determines that additional funds are needed to 61530
support the distribution of state need-based financial aid in 61531
accordance with sections 3333.12 and 3333.122 of the Revised Code, 61532
the Chancellor shall recommend the reallocation of unencumbered 61533
and unobligated appropriation balances of General Revenue Fund 61534
appropriation items in the Board of Regents to GRF appropriation 61535
items 235-503, Ohio Instructional Grants, and 235-563, Ohio 61536
College Opportunity Grant. If the Director of Budget and 61537
Management determines that such a reallocation is required, the 61538
Director may transfer those identified unencumbered and 61539
unobligated funds in the Board of Regents as necessary to GRF 61540
appropriation items 235-503, Ohio Instructional Grants, and 61541
235-563, Ohio College Opportunity Grant. The amounts transferred 61542
to appropriation items 235-503, Ohio Instructional Grants, and 61543
235-563, Ohio College Opportunity Grant, are hereby appropriated. 61544
If those unencumbered and unobligated funds are not sufficient to 61545
support the distribution of state need-based financial aid in 61546
accordance with sections 3333.12 and 3333.122 of the Revised Code 61547
in each fiscal year, the Director of Budget and Management may 61548
increase the appropriation from the General Revenue Fund of 61549
appropriation items 235-503, Ohio Instructional Grants, and 61550
235-563, Ohio College Opportunity Grant, in each fiscal year. The 61551
combined increase to appropriation items 235-503, Ohio 61552
Instructional Grants, and 235-563, Ohio College Opportunity Grant, 61553
authorized under this section shall not exceed $5,000,000 in total 61554
for the purpose of need-based financial aid in each fiscal year of 61555
the biennium.61556

       Section 377.10.  DRC DEPARTMENT OF REHABILITATION AND61557
CORRECTION61558

General Revenue Fund 61559
GRF 501-321 Institutional Operations $ 892,162,864 $ 928,980,197 61560
GRF 501-403 Prisoner Compensation $ 8,599,255 $ 8,599,255 61561
GRF 501-405 Halfway House $ 41,214,205 $ 41,214,205 61562
GRF 501-406 Lease Rental Payments $ 106,531,029 $ 105,948,153 61563
GRF 501-407 Community Nonresidential Programs $ 16,514,626 $ 16,547,367 61564
GRF 501-408 Community Misdemeanor Programs $ 9,313,076 $ 9,313,076 61565
GRF 501-501 Community Residential Programs - CBCF $ 57,104,132 $ 57,104,132 61566
GRF 502-321 Mental Health Services $ 75,112,063 $ 78,405,363 61567
GRF 503-321 Parole and Community Operations $ 79,296,672 $ 82,739,767 61568
GRF 504-321 Administrative Operations $ 27,599,198 $ 28,703,273 61569
GRF 505-321 Institution Medical Services $ 199,073,620 $ 198,337,805 61570
GRF 506-321 Institution Education Services $ 23,784,868 $ 24,847,502 61571
GRF 507-321 Institution Recovery Services $ 7,319,028 $ 7,664,520 61572
TOTAL GRF General Revenue Fund $ 1,543,624,636 $ 1,588,404,615 61573

General Services Fund Group61574

148 501-602 Services and Agricultural $ 104,485,807 $ 108,290,058 61575
200 501-607 Ohio Penal Industries $ 39,395,391 $ 40,845,414 61576
4B0 501-601 Sewer Treatment Services $ 2,331,003 $ 2,407,018 61577
4D4 501-603 Prisoner Programs $ 20,967,703 $ 20,967,703 61578
4L4 501-604 Transitional Control $ 2,051,451 $ 2,051,451 61579
4S5 501-608 Education Services $ 4,564,072 $ 4,564,072 61580
483 501-605 Property Receipts $ 393,491 $ 393,491 61581
5AF 501-609 State and Non-Federal Awards $ 262,718 $ 262,718 61582
5H8 501-617 Offender Financial Responsibility $ 2,500,000 $ 2,500,000 61583
5L6 501-611 Information Technology Services $ 3,741,980 $ 3,741,980 61584
571 501-606 Training Academy Receipts $ 75,190 $ 75,190 61585
593 501-618 Laboratory Services $ 5,799,999 $ 5,799,999 61586
TOTAL GSF General Services Fund Group $ 186,568,805 $ 191,899,094 61587

Federal Special Revenue Fund Group61588

3S1 501-615 Truth-In-Sentencing Grants $ 8,709,142 $ 8,709,142 61589
323 501-619 Federal Grants $ 12,198,353 $ 12,198,353 61590
3CJ 501-621 Medicaid Inpatient Services $ 11,600,000 $ 15,500,000 61591
TOTAL FED Federal Special Revenue 61592
Fund Group $ 32,507,495 $ 36,407,495 61593

TOTAL ALL BUDGET FUND GROUPS $ 1,762,700,936 $ 1,816,711,204 61594

       OHIO BUILDING AUTHORITY LEASE PAYMENTS61595

       The foregoing appropriation item 501-406, Lease Rental61596
Payments, shall be used to meet all payments during the period 61597
from July 1, 2007, to June 30, 2009, under the primary leases and 61598
agreements for those buildings made under Chapter 152. of the 61599
Revised Code. These appropriations are the source of funds pledged 61600
for bond service charges or obligations issued pursuant to Chapter 61601
152. of the Revised Code.61602

       PRISONER COMPENSATION61603

       Money from the foregoing appropriation item 501-403, Prisoner61604
Compensation, shall be transferred on a quarterly basis by61605
intrastate transfer voucher to the Services and Agricultural Fund 61606
(Fund 148) for the purposes of paying prisoner compensation.61607

       HIV/AIDS TESTING REENTRY PILOT PROGRAM61608

        Of the foregoing appropriation item 505-321, Institution 61609
Medical Services, up to $250,000 in each fiscal year shall be used 61610
for the HIV/AIDS testing re-entry pilot program at the Mansfield 61611
Correctional Institution. Prior to a prisoner's release from 61612
custody at the Mansfield Correctional Institution under the 61613
control of the Department of Rehabilitation and Correction, the 61614
department shall examine and test a prisoner for HIV infection and 61615
any sexually transmitted disease. The department may examine and 61616
test involuntarily a prisoner who refuses to be tested.61617

       Section 379.10. RSC REHABILITATION SERVICES COMMISSION61618

General Revenue Fund61619

GRF 415-100 Personal Services $ 8,851,468 $ 8,851,468 61620
GRF 415-402 Independent Living Council $ 400,000 $ 400,000 61621
GRF 415-406 Assistive Technology $ 47,531 $ 47,531 61622
GRF 415-431 Office for People with Brain Injury $ 226,012 $ 226,012 61623
GRF 415-506 Services for People with Disabilities $ 15,059,541 $ 15,059,541 61624
GRF 415-508 Services for the Deaf $ 50,000 $ 50,000 61625
TOTAL GRF General Revenue Fund $ 24,634,552 $ 24,634,552 61626

General Services Fund Group61627

4W5 415-606 Program Management Expenses $ 18,123,188 $ 18,557,040 61628
467 415-609 Business Enterprise Operating Expenses $ 1,632,082 $ 1,632,082 61629
TOTAL GSF General Services 61630
Fund Group $ 19,755,270 $ 20,189,122 61631

Federal Special Revenue Fund Group61632

3L1 415-601 Social Security Personal Care Assistance $ 3,743,740 $ 3,743,740 61633
3L1 415-608 Social Security Vocational Rehabilitation $ 2,256,260 $ 2,256,260 61634
3L4 415-612 Federal Independent Living Centers or Services $ 648,908 $ 648,908 61635
3L4 415-615 Federal - Supported Employment $ 884,451 $ 796,006 61636
3L4 415-617 Independent Living/Vocational Rehabilitation Programs $ 1,490,944 $ 1,490,944 61637
317 415-620 Disability Determination $ 82,808,006 $ 87,546,215 61638
379 415-616 Federal - Vocational Rehabilitation $ 122,484,545 $ 123,638,578 61639
TOTAL FED Federal Special 61640
Revenue Fund Group $ 214,316,854 $ 220,120,651 61641

State Special Revenue Fund Group61642

4L1 415-619 Services for Rehabilitation $ 3,765,337 $ 4,500,000 61643
468 415-618 Third Party Funding $ 906,910 $ 906,910 61644
TOTAL SSR State Special 61645
Revenue Fund Group $ 4,672,247 $ 5,406,910 61646
TOTAL ALL BUDGET FUND GROUPS $ 263,378,923 $ 270,351,235 61647

       INDEPENDENT LIVING COUNCIL61648

       The foregoing appropriation item 415-402, Independent Living61649
Council, shall be used to fund the operations of the State61650
Independent Living Council and shall be used to support state 61651
independent living centers and independent living services under 61652
Title VII of the Independent Living Services and Centers for 61653
Independent Living of the Rehabilitation Act Amendments of 1992, 61654
106 Stat. 4344, 29 U.S.C. 796d.61655

       OFFICE FOR PEOPLE WITH BRAIN INJURY61656

       Of the foregoing appropriation item 415-431, Office for61657
People with Brain Injury, up to $50,000 in each fiscal year shall 61658
be used for the state match for a federal grant awarded through 61659
the Traumatic Brain Injury Act, Pub. L. No. 104-166, and up to 61660
$50,000 in each fiscal year shall be provided to the Brain Injury 61661
Trust Fund. The remaining appropriation shall be used to plan and61662
coordinate head-injury-related services provided by state agencies 61663
and other government or private entities, to assess the needs for 61664
such services, and to set priorities in this area.61665

       VOCATIONAL REHABILITATION SERVICES61666

       The foregoing appropriation item 415-506, Services for People 61667
with Disabilities, shall be used as state matching funds to 61668
provide vocational rehabilitation services to eligible consumers.61669

       PROGRAM MANAGEMENT EXPENSES61670

       The foregoing appropriation item 415-606, Program Management61671
Expenses, shall be used to support the administrative functions of61672
the commission related to the provision of vocational61673
rehabilitation, disability determination services, and ancillary61674
programs.61675

       INDEPENDENT LIVING/VOCATIONAL REHABILITATION PROGRAMS61676

       The foregoing appropriation item 415-617, Independent61677
Living/Vocational Rehabilitation Programs, shall be used to61678
support vocational rehabilitation programs.61679

       SOCIAL SECURITY REIMBURSEMENT FUNDS61680

       Reimbursement funds received from the Social Security61681
Administration, United States Department of Health and Human61682
Services, for the costs of providing services and training to61683
return disability recipients to gainful employment shall be used61684
in the Social Security Reimbursement Fund (Fund 3L1), to the 61685
extent funds are available, as follows:61686

       (A) Appropriation item 415-601, Social Security Personal Care 61687
Assistance, to provide personal care services in accordance with 61688
section 3304.41 of the Revised Code;61689

       (B) Appropriation item 415-608, Social Security Vocational 61690
Rehabilitation, to provide vocational rehabilitation services to 61691
individuals with severe disabilities who are Social Security61692
beneficiaries, to enable them to achieve competitive employment. 61693
This appropriation item also includes funds to assist the Personal 61694
Care Assistance Program to pay its share of indirect costs as 61695
mandated by federal OMB Circular A-87.61696

       PERFORMANCE REVIEW61697

        The Auditor of State shall complete a performance review of 61698
the Rehabilitation Services Commission. Upon completing the 61699
performance review, the Auditor of State shall submit a report of 61700
the findings of the review to the Governor, the President of the 61701
Senate, the Speaker of the House of Representatives, and the Board 61702
of Rehabilitation Services Commission.61703

       Section 381.10. RCB RESPIRATORY CARE BOARD61704

General Services Fund Group61705

4K9 872-609 Operating Expenses $ 491,628 $ 481,768 61706
TOTAL GSF General Services 61707
Fund Group $ 491,628 $ 481,768 61708
TOTAL ALL BUDGET FUND GROUPS $ 491,628 $ 481,768 61709


       Section 383.10. RDF REVENUE DISTRIBUTION FUNDS61711

Volunteer Firefighters' Dependents Fund61712

085 800-900 Volunteer Firefighters' Dependents Fund $ 300,000 $ 300,000 61713
TOTAL 085 Volunteer Firefighters' 61714
Dependents Fund $ 300,000 $ 300,000 61715
Agency Fund Group 61716
062 110-962 Resort Area Excise Tax $ 1,000,000 $ 1,000,000 61717
063 110-963 Permissive Tax Distribution $ 1,778,662,000 $ 1,849,000,000 61718
067 110-967 School District Income Tax $ 325,000,000 $ 350,000,000 61719
4P8 001-698 Cash Management Improvement Fund $ 3,050,000 $ 3,100,000 61720
608 001-699 Investment Earnings $ 250,000,000 $ 250,000,000 61721
TOTAL AGY Agency Fund Group $ 2,357,712,000 $ 2,453,100,000 61722

Holding Account Redistribution61723

R45 110-617 International Fuel Tax Distribution $ 50,000,000 $ 50,000,000 61724
TOTAL 090 Holding Account Redistribution Fund $ 50,000,000 $ 50,000,000 61725
Revenue Distribution Fund Group 61726
049 038-900 Indigent Drivers Alcohol Treatment $ 1,797,000 $ 1,832,000 61727
050 762-900 International Registration Plan Distribution $ 54,475,631 $ 55,565,143 61728
051 762-901 Auto Registration Distribution $ 500,000,000 $ 539,000,000 61729
054 110-954 Local Government Property Tax Replacement - Utility $ 93,250,000 $ 95,125,000 61730
060 110-960 Gasoline Excise Tax Fund $ 375,000,000 $ 375,000,000 61731
064 110-964 Local Government Revenue Assistance $ 42,400,000 $ 0 61732
065 110-965 Library/Local Government Support Fund $ 207,200,000 $ 0 61733
066 800-900 Undivided Liquor Permits $ 13,500,000 $ 13,500,000 61734
068 110-968 State and Local Government Highway Distribution $ 240,250,000 $ 242,500,000 61735
069 110-969 Local Government Fund $ 298,700,000 $ 0 61736
081 110-981 Local Government Property Tax Replacement-Business $ 262,500,000 $ 366,800,000 61737
082 110-982 Horse Racing Tax $ 125,000 $ 130,000 61738
083 700-900 Ohio Fairs Fund $ 2,277,000 $ 2,325,000 61739
088 110-900 Local Government Services Collaboration $ 1,000,000 $ 0 61740
091 110-991 Local Communities $ 430,600,000 $ 782,800,000 61741
092 110-992 Local Libraries $ 251,700,000 $ 462,800,000 61742
TOTAL RDF Revenue Distribution 61743
Fund Group $ 2,774,774,631 $ 2,937,377,143 61744
TOTAL ALL BUDGET FUND GROUPS $ 5,182,786,631 $ 5,440,777,143 61745

       ADDITIONAL APPROPRIATIONS61746

       Appropriation items in this section shall be used for the61747
purpose of administering and distributing the designated revenue61748
distribution funds according to the Revised Code. If it is61749
determined that additional appropriations are necessary for this 61750
purpose, such amounts are appropriated.61751

       GENERAL REVENUE FUND TRANSFERS TO LOCAL GOVERNMENT PROPERTY 61752
TAX REPLACEMENT – BUSINESS (FUND 081)61753

        Notwithstanding any provision of law to the contrary, in 61754
fiscal year 2008 and fiscal year 2009, the Director of Budget and 61755
Management may transfer from the General Revenue Fund to the Local 61756
Government Property Tax Replacement – Business (Fund 081) in the 61757
Revenue Distribution Fund, those amounts necessary to reimburse 61758
local taxing units under section 5751.22 of the Revised Code. 61759
Also, in fiscal year 2008 and fiscal year 2009, the Director of 61760
Budget and Management may make temporary transfers from the 61761
General Revenue Fund to ensure sufficient balances in the Local 61762
Government Property Tax Replacement - Business Fund (Fund 081) and 61763
to replenish the General Revenue Fund for such transfers.61764

       Section 383.20.  LOCAL GOVERNMENT SERVICES COLLABORATION 61765
GRANT PROGRAM61766

       (A) The Director of Development shall administer a Local 61767
Government Services Collaboration Grant Program. The Director may 61768
adopt rules under section 111.15 of the Revised Code and do all 61769
things necessary for that purpose.61770

       (B) There is hereby created in the State Treasury the Local 61771
Government Services Collaboration Grant Fund (Fund 088). The fund 61772
shall consist of all cash deposited into it pursuant to Section 61773
757.03 of this act. The fund shall be used by the Director of 61774
Development in administering the Local Government Services 61775
Collaboration Grant Program.61776

       (C) The foregoing appropriation item 110-900, Local 61777
Government Services Collaboration, shall be used by the Director 61778
of Development to administer the Local Government Services 61779
Collaboration Grant Program. Moneys shall be used to provide 61780
grants to counties, municipal corporations, and townships that are 61781
interested in combining the provision of local government services 61782
with those of other counties, municipal corporations, or 61783
townships. Individual grant awards shall be used solely for the 61784
cost of conducting a feasibility study that addresses whether, and 61785
in what manner, counties, municipal corporations, and townships 61786
may combine their respective provision of local government 61787
services.61788

       Individual grants shall be available on a competitive basis 61789
to a county, municipal corporation, or township that proposes to 61790
combine its provision of local government services with those of 61791
at least two other counties, municipal corporations, or townships, 61792
or with any combination of at least two other counties, municipal 61793
corporations, or townships. Grants shall be awarded according to 61794
the following formula:61795

       (1) For a total of, or for any combination of, three 61796
counties, municipal corporations, or townships, the grant shall be 61797
equal to fifty per cent of the total cost of the feasibility 61798
study, or not more than $30,000;61799

       (2) For a total of, or for any combination of, four counties, 61800
municipal corporations, or townships, the grant shall be equal to 61801
sixty per cent of the total cost of the feasibility study, or not 61802
more than $40,000; 61803

       (3) For a total of, or for any combination of, five counties, 61804
municipal corporations, or townships, the grant shall be equal to 61805
seventy per cent of the total cost of the feasibility study, or 61806
not more than $50,000; 61807

       (4) For a total of, or for any combination of, six counties, 61808
municipal corporations, or townships, the grant shall be equal to 61809
eighty per cent of the total cost of the feasibility study, or not 61810
more than $60,000; 61811

       (5) For a total of, or for any combination of, seven 61812
counties, municipal corporations, or townships, the grant shall be 61813
equal to ninety per cent of the total cost of the feasibility 61814
study, or not more than $70,000; 61815

       (6) For a total of, or for any combination of, eight or more 61816
counties, municipal corporations, or townships, the grant shall be 61817
equal to the total cost of the feasibility study, or not more than 61818
$80,000.61819

       (D) Of the foregoing appropriation 110-900, Local Government 61820
Services Collaboration, not more than $100,000 over the biennium 61821
may be used by the Department of Development for operating 61822
expenditures in administering the Local Government Services 61823
Collaboration Grant Program.61824

       (E) Applicants for funding under the Local Government 61825
Services Collaboration Grant Program are encouraged to utilize the 61826
services of state-funded colleges and universities to conduct the 61827
feasibility studies referenced under this section.61828

       (F) As used in this section, "local government services" 61829
means services typically provided by a county, municipal 61830
corporation, or township for the health, safety, and well-being of 61831
community residents and includes, but is not limited to, police 61832
and fire protection, 9-1-1 emergency service, trash collection, 61833
snow removal, road repair, and the provision of public utilities 61834
such as water and sewer services.61835

       (G) On or before June 30, 2008, the unencumbered balance of 61836
the foregoing appropriation item 110-900, Local Government 61837
Services Collaboration, for fiscal year 2008 is hereby 61838
appropriated for the same purpose for fiscal year 2009.61839

       Section 385.10. SAN BOARD OF SANITARIAN REGISTRATION61840

General Services Fund Group61841

4K9 893-609 Operating Expenses $ 138,551 $ 138,551 61842
TOTAL GSF General Services 61843
Fund Group $ 138,551 $ 138,551 61844
TOTAL ALL BUDGET FUND GROUPS $ 138,551 $ 138,551 61845


       Section 387.10.  OSB OHIO STATE SCHOOL FOR THE BLIND61847

General Revenue Fund61848

GRF 226-100 Personal Services $ 7,093,127 $ 7,519,318 61849
GRF 226-200 Maintenance $ 704,154 $ 704,154 61850
GRF 226-300 Equipment $ 113,288 $ 113,288 61851
TOTAL GRF General Revenue Fund $ 7,910,569 $ 8,336,760 61852

General Services Fund Group61853

4H8 226-602 School Improvement Grants $ 37,514 $ 37,514 61854
TOTAL GSF General Services 61855
Fund Group $ 37,514 $ 37,514 61856

Federal Special Revenue Fund Group61857

3P5 226-643 Medicaid Services Reimbursement $ 50,000 $ 50,000 61858
310 226-626 Multi-Handicapped Student Support $ 2,527,105 $ 2,527,105 61859
TOTAL FED Federal Special 61860
Revenue Fund Group $ 2,577,105 $ 2,577,105 61861

State Special Revenue Fund Group61862

4M5 226-601 Work Study and Donations $ 217,397 $ 217,397 61863
TOTAL SSR State Special Revenue 61864
Fund Group $ 217,397 $ 217,397 61865
TOTAL ALL BUDGET FUND GROUPS $ 10,742,585 $ 11,168,776 61866


       Section 389.10.  OSD OHIO SCHOOL FOR THE DEAF61868

General Revenue Fund61869

GRF 221-100 Personal Services $ 8,775,363 $ 9,263,862 61870
GRF 221-200 Maintenance $ 1,033,092 $ 1,033,092 61871
GRF 221-300 Equipment $ 222,500 $ 222,500 61872
TOTAL GRF General Revenue Fund $ 10,030,955 $ 10,519,454 61873

General Services Fund Group61874

4M1 221-602 School Improvement Grants $ 38,000 $ 38,000 61875
TOTAL GSF General Services 61876
Fund Group $ 38,000 $ 38,000 61877

Federal Special Revenue Fund Group61878

3AD 221-604 VREAL Ohio $ 25,000 $ 25,000 61879
3R0 221-684 Medicaid Services $ 34,999 $ 34,999 61880
Reimbursement 61881
3Y1 221-686 Federal Early Childhood Grant $ 250,000 $ 250,000 61882
311 221-625 Statewide Outreach $ 2,470,135 $ 2,470,135 61883
TOTAL FED Federal Special 61884
Revenue Fund Group $ 2,780,134 $ 2,780,134 61885

State Special Revenue Fund Group61886

4M0 221-601 Work Study and Donations $ 95,000 $ 95,000 61887
5H6 221-609 Preschool Program Support $ 127,832 $ 125,358 61888
TOTAL SSR State Special Revenue 61889
Fund Group $ 222,832 $ 220,358 61890
TOTAL ALL BUDGET FUND GROUPS $ 13,071,921 $ 13,557,946 61891


       Section 391.10.  SFC SCHOOL FACILITIES COMMISSION61893

General Revenue Fund61894

GRF 230-428 Lease Rental Payments $ 22,702,000 $ 0 61895
GRF 230-908 Common Schools General Obligation Debt Service $ 270,529,980 $ 322,665,885 61896
TOTAL GRF General Revenue Fund $ 293,231,980 $ 322,665,885 61897

State Special Revenue Fund Group61898

5E3 230-644 Operating Expenses $ 7,749,813 $ 7,786,197 61899
TOTAL SSR State Special Revenue 61900
Fund Group $ 7,749,813 $ 7,786,197 61901
TOTAL ALL BUDGET FUND GROUPS $ 300,981,793 $ 330,452,082 61902


       Section 391.20. LEASE RENTAL PAYMENTS61904

       The foregoing appropriation item 230-428, Lease Rental61905
Payments, shall be used to meet all payments at the times they are 61906
required to be made during the period from July 1, 2007, to June61907
30, 2009, by the Ohio School Facilities Commission under leases61908
and agreements made under section 3318.26 of the Revised Code.61909

       COMMON SCHOOLS GENERAL OBLIGATION DEBT SERVICE61910

       The foregoing appropriation item 230-908, Common Schools61911
General Obligation Debt Service, shall be used to pay all debt61912
service and related financing costs at the times they are required 61913
to be made for obligations issued during the period from July 1, 61914
2007, through June 30, 2009, under sections 151.01 and 151.03 of 61915
the Revised Code.61916

       OPERATING EXPENSES61917

       The foregoing appropriation item 230-644, Operating Expenses,61918
shall be used by the Ohio School Facilities Commission to carry61919
out its responsibilities under this section and Chapter 3318. of 61920
the Revised Code.61921

       In both fiscal years 2008 and 2009, the Executive Director of 61922
the Ohio School Facilities Commission shall certify on a quarterly 61923
basis to the Director of Budget and Management the amount of cash 61924
from interest earnings to be transferred from the School Building 61925
Assistance Fund (Fund 032), the Public School Building Fund (Fund 61926
021), and the Educational Facilities Trust Fund (Fund N87) to the 61927
Ohio School Facilities Commission Fund (Fund 5E3). The amount 61928
transferred from the School Building Assistance Fund (Fund 032) 61929
may not exceed investment earnings credited to the fund, less any 61930
amount required to be paid for federal arbitrage rebate purposes.61931

       SCHOOL FACILITIES ENCUMBRANCES AND REAPPROPRIATION61932

       At the request of the Executive Director of the Ohio School61933
Facilities Commission, the Director of Budget and Management may61934
cancel encumbrances for school district projects from a previous61935
biennium if the district has not raised its local share of project61936
costs within one year of receiving Controlling Board approval 61937
under section 3318.05 of the Revised Code. The Executive Director 61938
of the Ohio School Facilities Commission shall certify the amounts 61939
of the canceled encumbrances to the Director of Budget and 61940
Management on a quarterly basis. The amounts of the canceled 61941
encumbrances are hereby appropriated.61942

       Section 391.30. EXTREME ENVIRONMENTAL CONTAMINATION OF SCHOOL61943
FACILITIES61944

       Notwithstanding any other provision of law to the contrary,61945
the Ohio School Facilities Commission may provide assistance under 61946
the Exceptional Needs School Facilities Program established in 61947
section 3318.37 of the Revised Code to any school district, and 61948
not exclusively to a school district in the lowest seventy-five 61949
per cent of adjusted valuation per pupil on the current ranking of61950
school districts established under section 3317.02 of the Revised 61951
Code, for the purpose of the relocation or replacement of school 61952
facilities required as a result of extreme environmental61953
contamination.61954

       The Ohio School Facilities Commission shall contract with an61955
independent environmental consultant to conduct a study and to61956
report to the commission as to the seriousness of the61957
environmental contamination, whether the contamination violates61958
applicable state and federal standards, and whether the facilities61959
are no longer suitable for use as school facilities. The61960
commission then shall make a determination regarding funding for61961
the relocation or replacement of the school facilities. If the61962
federal government or other public or private entity provides61963
funds for restitution of costs incurred by the state or school61964
district in the relocation or replacement of the school61965
facilities, the school district shall use such funds in excess of61966
the school district's share to refund the state for the state's61967
contribution to the environmental contamination portion of the61968
project. The school district may apply an amount of such61969
restitution funds up to an amount equal to the school district's61970
portion of the project, as defined by the commission, toward61971
paying its portion of that project to reduce the amount of bonds61972
the school district otherwise must issue to receive state61973
assistance under sections 3318.01 to 3318.20 of the Revised Code.61974

       Section 391.40.  CANTON CITY SCHOOL DISTRICT PROJECT61975

       (A) The Ohio School Facilities Commission may commit up to61976
thirty-five million dollars to the Canton City School District for61977
construction of a facility described in this section, in lieu of a 61978
high school that would otherwise be authorized under Chapter 3318. 61979
of the Revised Code. The Commission shall not commit funds under 61980
this section unless all of the following conditions are met:61981

       (1) The District has entered into a cooperative agreement61982
with a state-assisted technical college.61983

       (2) The District has received an irrevocable commitment of61984
additional funding from nonpublic sources.61985

       (3) The facility is intended to serve both secondary and61986
postsecondary instructional purposes.61987

       (B) The Commission shall enter into an agreement with the61988
District for the construction of the facility authorized under61989
this section that is separate from and in addition to the61990
agreement required for the District's participation in the61991
Classroom Facilities Assistance Program under section 3318.08 of61992
the Revised Code. Notwithstanding that section and sections61993
3318.03, 3318.04, and 3318.083 of the Revised Code, the additional61994
agreement shall provide, but not be limited to, the following:61995

       (1) The Commission shall not have any oversight61996
responsibilities over the construction of the facility.61997

       (2) The facility need not comply with the specifications for61998
plans and materials for high schools adopted by the Commission.61999

       (3) The Commission may decrease the basic project cost that62000
would otherwise be calculated for a high school under Chapter62001
3318. of the Revised Code.62002

       (4) The state shall not share in any increases in the basic62003
project cost for the facility above the amount authorized under62004
this section.62005

       All other provisions of Chapter 3318. of the Revised Code62006
apply to the approval and construction of a facility authorized62007
under this section.62008

       The state funds committed to the facility authorized by this62009
section shall be part of the total amount the state commits to the62010
Canton City School District under Chapter 3318. of the Revised62011
Code. All additional state funds committed to the Canton City62012
School District for classroom facilities assistance shall be62013
subject to all provisions of Chapter 3318. of the Revised Code.62014

       Section 391.50. CAREER-TECHNICAL LOAN PROGRAM62015

        Within thirty days after the effective date of this section, 62016
or as soon as possible thereafter, the Executive Director of the 62017
Ohio School Facilities Commission shall certify the cash balance 62018
in the Career-Technical School Building Assistance Fund (Fund 020) 62019
to the Director of Budget and Management, who shall transfer that 62020
amount to the Public School Building Fund (Fund 021) and abolish 62021
the Career-Technical School Building Assistance Fund (Fund 020).62022

       All repayments of current loans approved under section 62023
3318.48 of the Revised Code, which is repealed by this act, shall 62024
be deposited to the credit of the Public School Building Fund 62025
(Fund 021). Should a district fail to submit the annual 62026
installment of the loan repayment within sixty days after the due 62027
date, the Department of Education, upon the request of the 62028
Executive Director of the Ohio School Facilities Commission, shall 62029
deduct the amount of the installment from payments due to a 62030
district under Chapter 3317. of the Revised Code or from any other 62031
funds appropriated to the district by the General Assembly, and 62032
shall transfer that amount to the Commission to the credit of the 62033
Public School Building Fund (Fund 021).62034

       Section 393.10. SOS SECRETARY OF STATE62035

General Revenue Fund62036

GRF 050-321 Operating Expenses $ 2,585,000 $ 2,585,000 62037
GRF 050-403 Election Statistics $ 103,936 $ 103,936 62038
GRF 050-407 Pollworkers Training $ 277,997 $ 277,997 62039
GRF 050-409 Litigation Expenditures $ 4,652 $ 4,652 62040
TOTAL GRF General Revenue Fund $ 2,971,585 $ 2,971,585 62041

General Services Fund Group62042

4S8 050-610 Board of Voting Machine Examiners $ 7,200 $ 7,200 62043
412 050-609 Notary Commission $ 685,249 $ 685,249 62044
413 050-601 Information Systems $ 119,955 $ 119,955 62045
414 050-602 Citizen Education Fund $ 55,712 $ 55,712 62046
TOTAL General Services Fund Group $ 868,116 $ 868,116 62047

Federal Special Revenue Fund Group62048

3AH 050-614 Election Reform/Health and Human Services $ 1,000,000 $ 1,000,000 62049
3AS 050-616 2005 HAVA Voting Machines $ 3,750,000 $ 3,750,000 62050
3X4 050-612 Ohio Center/Law Related Educational Grant $ 41,000 $ 41,000 62051
TOTAL FED Federal Special Revenue 62052
Fund Group $ 4,791,000 $ 4,791,000 62053

State Special Revenue Fund Group62054

5N9 050-607 Technology Improvements $ 129,565 $ 129,565 62055
599 050-603 Business Services Operating Expenses $ 13,761,734 $ 13,761,734 62056
TOTAL SSR State Special Revenue 62057
Fund Group $ 13,891,299 $ 13,891,299 62058

Holding Account Redistribution Fund Group62059

R01 050-605 Uniform Commercial Code Refunds $ 30,000 $ 30,000 62060
R02 050-606 Corporate/Business Filing Refunds $ 85,000 $ 85,000 62061
TOTAL 090 Holding Account 62062
Redistribution Fund Group $ 115,000 $ 115,000 62063
TOTAL ALL BUDGET FUND GROUPS $ 22,637,000 $ 22,637,000 62064

       BOARD OF VOTING MACHINE EXAMINERS62065

       The foregoing appropriation item 050-610, Board of Voting62066
Machine Examiners, shall be used to pay for the services and62067
expenses of the members of the Board of Voting Machine Examiners,62068
and for other expenses that are authorized to be paid from the62069
Board of Voting Machine Examiners Fund, which is created in62070
section 3506.05 of the Revised Code. Moneys not used shall be62071
returned to the person or entity submitting the equipment for62072
examination. If it is determined that additional appropriations62073
are necessary, such amounts are appropriated.62074

       2005 HAVA VOTING MACHINES62075

       On July 1, 2008, or as soon as possible thereafter, the 62076
Director of Budget and Management shall transfer any remaining 62077
unexpended, unencumbered appropriations in Fund 3AS, appropriation 62078
item 050-616, 2005 HAVA Voting Machines, for use in fiscal year 62079
2009. The transferred amount is hereby appropriated.62080

       On July 1, 2008, or as soon as possible thereafter, the 62081
Director of Budget and Management shall transfer any remaining 62082
unexpended, unencumbered appropriations in Fund 3AH, appropriation 62083
item 050-614, Election Reform/Health and Human Services Fund, for 62084
use in fiscal year 2009. The transferred amount is hereby 62085
appropriated.62086

       Ongoing interest earnings from the federal Election 62087
Reform/Health and Human Services Fund (Fund 3AH) and the 2005 HAVA 62088
Voting Machines Fund (Fund 3AS) shall be credited to the 62089
respective funds and distributed in accordance with the terms of 62090
the grant under which the money is received.62091

       HOLDING ACCOUNT REDISTRIBUTION GROUP62092

       The foregoing appropriation items 050-605 and 050-606,62093
Holding Account Redistribution Fund Group, shall be used to hold62094
revenues until they are directed to the appropriate accounts or62095
until they are refunded. If it is determined that additional62096
appropriations are necessary, such amounts are appropriated.62097

       Section 395.10.  SEN THE OHIO SENATE62098

General Revenue Fund62099

GRF 020-321 Operating Expenses $ 11,778,439 $ 11,778,439 62100
TOTAL GRF General Revenue Fund $ 11,778,439 $ 11,778,439 62101

General Services Fund Group62102

102 020-602 Senate Reimbursement $ 448,465 $ 448,465 62103
409 020-601 Miscellaneous Sales $ 34,497 $ 34,497 62104
TOTAL GSF General Services 62105
Fund Group $ 482,962 $ 482,962 62106
TOTAL ALL BUDGET FUND GROUPS $ 12,261,401 $ 12,261,401 62107

       OPERATING EXPENSES62108

       On July 1, 2007, or as soon as possible thereafter, the Clerk 62109
of the Senate shall certify to the Director of Budget and 62110
Management the total fiscal year 2007 unencumbered appropriations 62111
in appropriation item 020-321, Operating Expenses. The Clerk may 62112
direct the Director of Budget and Management to transfer an amount 62113
not to exceed the total fiscal year 2007 unencumbered 62114
appropriations to fiscal year 2008 for use within appropriation 62115
item 020-321, Operating Expenses. Additional appropriation 62116
authority equal to the amount certified by the Clerk is hereby 62117
appropriated to appropriation item 020-321, Operating Expenses, in 62118
fiscal year 2008.62119

        On July 1, 2008, or as soon as possible thereafter, the Clerk 62120
of the Senate shall certify to the Director of Budget and 62121
Management the total fiscal year 2008 unencumbered appropriations 62122
in appropriation item 020-321, Operating Expenses. The Clerk may 62123
direct the Director of Budget and Management to transfer an amount 62124
not to exceed the total fiscal year 2008 unencumbered 62125
appropriations to fiscal year 2009 for use within appropriation 62126
item 020-321, Operating Expenses. Additional appropriation 62127
authority equal to the amount certified by the Clerk is hereby 62128
appropriated to appropriation item 020-321, Operating Expenses, in 62129
fiscal year 2009.62130

       Section 397.10. CSF COMMISSIONERS OF THE SINKING FUND62131

Debt Service Fund Group62132

070 155-905 Third Frontier Research & Development Bond Retirement Fund $ 14,349,500 $ 25,023,400 62133
072 155-902 Highway Capital Improvement Bond Retirement Fund $ 202,694,900 $ 205,139,500 62134
073 155-903 Natural Resources Bond Retirement Fund $ 24,713,800 $ 25,723,000 62135
074 155-904 Conservation Projects Bond Service Fund $ 14,847,200 $ 19,779,200 62136
076 155-906 Coal Research and Development Bond Retirement Fund $ 7,232,400 $ 8,192,500 62137
077 155-907 State Capital Improvement Bond Retirement Fund $ 178,713,600 $ 189,296,300 62138
078 155-908 Common Schools Bond Retirement Fund $ 292,268,400 $ 342,148,300 62139
079 155-909 Higher Education Bond Retirement Fund $ 175,972,400 $ 210,372,200 62140
090 155-912 Job Ready Site Development Bond Retirement Fund $ 4,359,400 $ 8,232,500 62141
TOTAL DSF Debt Service Fund Group $ 915,151,600 $ 1,033,906,900 62142
TOTAL ALL BUDGET FUND GROUPS $ 915,151,600 $ 1,033,906,900 62143

       ADDITIONAL APPROPRIATIONS62144

       Appropriation items in this section are for the purpose of62145
paying debt service and financing costs on bonds or notes of the62146
state issued under the Ohio Constitution and acts of the General 62147
Assembly. If it is determined that additional appropriations are 62148
necessary for this purpose, such amounts are hereby appropriated.62149

       Section 399.10. SOA SOUTHERN OHIO AGRICULTURAL AND COMMUNITY 62150
DEVELOPMENT FOUNDATION62151

General Revenue Fund62152

GRF 945-321 Operating Expenses $ 0 $ 475,220 62153
GRF 945-501 Southern Ohio Agricultural and Community Development Foundation $ 0 $ 7,513,251 62154
TOTAL GRF General Revenue Fund $ 0 $ 7,988,471 62155
TOTAL ALL BUDGET FUND GROUPS $ 0 $ 7,988,471 62156

       SOUTHERN OHIO AGRICULTURAL AND COMMUNITY DEVELOPMENT 62157
FOUNDATION62158

       The foregoing appropriation item 945-321, Operating Expenses, 62159
shall be used for the operating expenses of the Southern Ohio 62160
Agricultural and Community Development Foundation in administering 62161
programs under section 183.15 of the Revised Code. 62162

       The foregoing appropriation item 945-501, Southern Ohio 62163
Agricultural and Community Development Foundation, shall be used 62164
by the Southern Ohio Agricultural and Community Development 62165
Foundation for programs administered under section 183.15 of the 62166
Revised Code.62167

       Section 401.10. SPE BOARD OF SPEECH-LANGUAGE PATHOLOGY & 62168
AUDIOLOGY62169

General Services Fund Group62170

4K9 886-609 Operating Expenses $ 430,600 $ 453,000 62171
TOTAL GSF General Services 62172
Fund Group $ 430,600 $ 453,000 62173
TOTAL ALL BUDGET FUND GROUPS $ 430,600 $ 453,000 62174


       Section 403.10. BTA BOARD OF TAX APPEALS62176

General Revenue Fund62177

GRF 116-321 Operating Expenses $ 2,247,476 $ 2,281,188 62178
TOTAL GRF General Revenue Fund $ 2,247,476 $ 2,281,188 62179
TOTAL ALL BUDGET FUND GROUPS $ 2,247,476 $ 2,281,188 62180


       Section 405.10. TAX DEPARTMENT OF TAXATION62182

General Revenue Fund62183

GRF 110-321 Operating Expenses $ 92,040,062 $ 92,440,062 62184
GRF 110-404 Tobacco Settlement Enforcement $ 0 $ 328,034 62185
GRF 110-412 Child Support Administration $ 71,680 $ 71,680 62186
GRF 110-901 Property Tax Allocation - Taxation $ 446,953,165 $ 478,613,618 62187
GRF 110-906 Tangible Tax Exemption - Taxation $ 9,177,962 $ 4,588,981 62188
TOTAL GRF General Revenue Fund $ 548,242,869 $ 576,042,375 62189

General Services Fund Group62190

433 110-602 Tape File Account $ 125,000 $ 140,000 62191
5BQ 110-629 Commercial Activity Tax Administration $ 6,000,000 $ 6,000,000 62192
5W4 110-625 Centralized Tax Filing and Payment $ 400,000 $ 200,000 62193
5W7 110-627 Exempt Facility Administration $ 100,000 $ 150,000 62194
5CZ 110-631 Vendor's License Application $ 1,000,000 $ 1,000,000 62195
TOTAL GSF General Services 62196
Fund Group $ 7,625,000 $ 7,490,000 62197

State Special Revenue Fund Group62198

4C6 110-616 International Registration Plan $ 706,855 $ 706,855 62199
4R6 110-610 Tire Tax Administration $ 125,000 $ 150,000 62200
435 110-607 Local Tax Administration $ 17,250,000 $ 17,250,000 62201
436 110-608 Motor Vehicle Audit $ 1,200,000 $ 1,200,000 62202
437 110-606 Litter Tax and Natural Resource Tax Administration $ 675,000 $ 800,000 62203
438 110-609 School District Income Tax $ 3,600,000 $ 3,600,000 62204
5N5 110-605 Municipal Income Tax Administration $ 500,000 $ 500,000 62205
5N6 110-618 Kilowatt Hour Tax Administration $ 125,000 $ 175,000 62206
5V7 110-622 Motor Fuel Tax Administration $ 4,700,000 $ 5,000,000 62207
5V8 110-623 Property Tax Administration $ 13,500,000 $ 11,200,000 62208
639 110-614 Cigarette Tax Enforcement $ 100,000 $ 100,000 62209
642 110-613 Ohio Political Party Distributions $ 600,000 $ 600,000 62210
688 110-615 Local Excise Tax Administration $ 210,000 $ 180,000 62211
TOTAL SSR State Special Revenue 62212
Fund Group $ 43,291,855 $ 41,461,855 62213

Agency Fund Group62214

095 110-995 Municipal Income Tax $ 21,000,000 $ 21,000,000 62215
425 110-635 Tax Refunds $ 1,565,900,000 $ 1,546,800,000 62216
TOTAL AGY Agency Fund Group $ 1,586,900,000 $ 1,567,800,000 62217

Holding Account Redistribution Fund Group62218

R10 110-611 Tax Distributions $ 50,000 $ 50,000 62219
R11 110-612 Miscellaneous Income Tax Receipts $ 50,000 $ 50,000 62220
TOTAL 090 Holding Account 62221
Redistribution Fund Group $ 100,000 $ 100,000 62222
TOTAL ALL BUDGET FUND GROUPS $ 2,186,159,724 $ 2,192,894,230 62223

       HOMESTEAD EXEMPTION, PROPERTY TAX ROLLBACK, AND TANGIBLE TAX62224
EXEMPTION62225

       The foregoing appropriation item 110-901, Property Tax62226
Allocation - Taxation, is hereby appropriated to pay for the 62227
state's costs incurred because of the Homestead Exemption, the 62228
Manufactured Home Property Tax Rollback, and the Property Tax 62229
Rollback. The Tax Commissioner shall distribute these funds 62230
directly to the appropriate local taxing districts, except for 62231
school districts, notwithstanding the provisions in sections 62232
321.24 and 323.156 of the Revised Code, which provide for payment 62233
of the Homestead Exemption, the Manufactured Home Property Tax 62234
Rollback, and Property Tax Rollback by the Tax Commissioner to the62235
appropriate county treasurer and the subsequent redistribution of62236
these funds to the appropriate local taxing districts by the62237
county auditor.62238

       The foregoing appropriation item 110-906, Tangible Tax62239
Exemption - Taxation, is hereby appropriated to pay for the 62240
state's costs incurred because of the tangible personal property 62241
tax exemption required by division (C)(3) of section 5709.01 of 62242
the Revised Code. The Tax Commissioner shall distribute to each 62243
county treasurer the total amount appearing in the notification 62244
from the county treasurer under division (G) of section 321.24 of 62245
the Revised Code for all local taxing districts located in the 62246
county except for school districts, notwithstanding the provision 62247
in section 321.24 of the Revised Code which provides for payment 62248
of the $10,000 tangible personal property tax exemption by the Tax62249
Commissioner to the appropriate county treasurer for all local62250
taxing districts located in the county including school districts. 62251
The county auditor shall distribute the amount paid by the Tax62252
Commissioner among the appropriate local taxing districts except62253
for school districts under division (G) of section 321.24 of the 62254
Revised Code.62255

       Upon receipt of these amounts, each local taxing district62256
shall distribute the amount among the proper funds as if it had62257
been paid as real or tangible personal property taxes. Payments62258
for the costs of administration shall continue to be paid to the62259
county treasurer and county auditor as provided for in sections62260
319.54, 321.26, and 323.156 of the Revised Code.62261

       Any sums, in addition to the amounts specifically62262
appropriated in appropriation items 110-901, Property Tax62263
Allocation - Taxation, for the Homestead Exemption, the62264
Manufactured Home Property Tax Rollback, and the Property Tax62265
Rollback payments, and 110-906, Tangible Tax Exemption - Taxation,62266
for the $10,000 tangible personal property tax exemption payments,62267
which are determined to be necessary for these purposes, are62268
hereby appropriated.62269

       MUNICIPAL INCOME TAX62270

       The foregoing appropriation item 110-995, Municipal Income 62271
Tax, shall be used to make payments to municipal corporations 62272
under section 5745.05 of the Revised Code. If it is determined 62273
that additional appropriations are necessary to make these 62274
payments, such amounts are hereby appropriated.62275

       TAX REFUNDS62276

       The foregoing appropriation item 110-635, Tax Refunds, shall62277
be used to pay refunds under section 5703.052 of the Revised Code. 62278
If it is determined that additional appropriations are necessary 62279
for this purpose, such amounts are hereby appropriated.62280

       INTERNATIONAL REGISTRATION PLAN AUDIT62281

       The foregoing appropriation item 110-616, International62282
Registration Plan, shall be used under section 5703.12 of the 62283
Revised Code for audits of persons with vehicles registered under 62284
the International Registration Plan.62285

       TRAVEL EXPENSES FOR THE STREAMLINED SALES TAX PROJECT62286

        Of the foregoing appropriation item 110-607, Local Tax 62287
Administration, the Tax Commissioner may disburse funds, if 62288
available, for the purposes of paying travel expenses incurred by 62289
members of Ohio's delegation to the Streamlined Sales Tax Project, 62290
as appointed under section 5740.02 of the Revised Code. Any travel 62291
expense reimbursement paid for by the Department of Taxation shall 62292
be done in accordance with applicable state laws and guidelines.62293

       LITTER CONTROL TAX ADMINISTRATION FUND62294

       Notwithstanding section 5733.12 of the Revised Code, during62295
the period from July 1, 2007, to June 30, 2008, the amount of62296
$675,000, and during the period from July 1, 2008, to June 30,62297
2009, the amount of $800,000, received by the Tax Commissioner62298
under Chapter 5733. of the Revised Code, shall be credited to the62299
Litter Control Tax Administration Fund (Fund 437).62300

       CENTRALIZED TAX FILING AND PAYMENT FUND62301

       The Director of Budget and Management, under a plan submitted 62302
by the Tax Commissioner, or as otherwise determined by the 62303
Director of Budget and Management, shall set a schedule to 62304
transfer cash from the General Revenue Fund to the credit of the 62305
Centralized Tax Filing and Payment Fund (Fund 5W4). The transfers 62306
of cash shall not exceed $600,000 in the biennium.62307

       COMMERCIAL ACTIVITY TAX ADMINISTRATION FUND62308

        The foregoing appropriation item 110-629, Commercial Activity 62309
Tax Administration Fund (Fund 5BQ), shall be used to pay expenses 62310
incurred by the Department of Taxation to implement and administer 62311
the Commercial Activity Tax under Chapter 5751. of the Revised 62312
Code.62313

       Notwithstanding section 3734.9010, division (B)(2)(c) of 62314
section 4505.09, division (B) of section 5703.12, section 5703.80, 62315
division (C)(6) of section 5727.81, sections 5733.122 and 62316
5735.053, division (C) of section 5739.21, section 5745.03, 62317
section 5743.024, section 5743.15, division (C) of section 62318
5747.03, and section 5747.113 of the Revised Code or any other 62319
provisions to the contrary, any residual cash balances determined 62320
and certified by the Tax Commissioner to the Director of Budget 62321
and Management shall be transferred on July 1, 2007, or as soon as 62322
possible thereafter, to the Commercial Activities Tax 62323
Administration Fund (Fund 5BQ).62324

       TOBACCO SETTLEMENT ENFORCEMENT62325

       The foregoing appropriation item 110-404, Tobacco Settlement 62326
Enforcement, shall be used by the Tax Commissioner to pay costs 62327
incurred in the enforcement of divisions (F) and (G) of section 62328
5743.03 of the Revised Code.62329

       Section 407.10.  DOT DEPARTMENT OF TRANSPORTATION62330

Transportation Modes
62331

General Revenue Fund62332

GRF 775-451 Public Transportation - State $ 16,500,000 $ 17,000,000 62333
GRF 776-465 Ohio Rail Development Commission $ 2,700,000 $ 2,700,000 62334
GRF 776-466 Railroad Crossing/Grade Separation $ 789,600 $ 789,600 62335
GRF 777-471 Airport Improvements - State $ 3,293,985 $ 1,794,003 62336
TOTAL GRF General Revenue Fund $ 23,283,585 $ 22,283,603 62337
TOTAL ALL BUDGET FUND GROUPS $ 23,283,585 $ 22,283,603 62338

       AIRPORT IMPROVEMENTS62339

       Of the foregoing appropriation item 777-471, Airport 62340
Improvements - State, $2,500,000 in fiscal year 2008 shall be used 62341
for Dayton Concourse D Air Travel and Support.62342

       Of the foregoing appropriation item 777-471, Airport 62343
Improvements - State, $1,500,000 in fiscal year 2008 shall be used 62344
for air travel and support and economic development of statewide 62345
airports. The Directors of Development and Transportation may 62346
enter into one or more interagency agreements between their two 62347
departments as necessary to implement a statewide strategy to 62348
enhance Ohio's airports as centers of regional economic 62349
development.62350

       TRANSPORTATION STUDY62351

        Of the foregoing appropriation item 775-451, Public 62352
Transportation-State, $50,000 in fiscal year 2008 shall be used 62353
for a Franklin County school transportation study to determine the 62354
feasibility of a countywide pupil transportation system.62355

       Of the foregoing appropriation item 777-471, Airport 62356
Improvements-State, $1,000,000 in fiscal year 2008 shall be used 62357
for Cleveland Hopkins Airport projects to support increased 62358
service and expand the existing hub, as defined in 49 U.S.C. 62359
40102, Infrastructure.62360

       Section 409.10.  TOS TREASURER OF STATE62361

General Revenue Fund62362

GRF 090-321 Operating Expenses $ 9,313,195 $ 9,313,195 62363
GRF 090-401 Office of the Sinking $ 537,223 $ 537,223 62364
Fund 62365
GRF 090-402 Continuing Education $ 448,843 $ 448,843 62366
GRF 090-524 Police and Fire $ 14,000 $ 12,000 62367
Disability Pension Fund 62368
GRF 090-534 Police & Fire Ad Hoc Cost $ 140,000 $ 130,000 62369
of Living 62370
GRF 090-554 Police and Fire Survivor $ 910,000 $ 865,000 62371
Benefits 62372
GRF 090-575 Police and Fire Death $ 20,000,000 $ 20,000,000 62373
Benefits 62374
TOTAL GRF General Revenue Fund $ 31,363,261 $ 31,306,261 62375

General Services Fund Group62376

4E9 090-603 Securities Lending Income $ 3,164,000 $ 3,314,000 62377
577 090-605 Investment Pool $ 550,000 $ 550,000 62378
Reimbursement 62379
605 090-609 Treasurer of State $ 350,000 $ 350,000 62380
Administrative Fund 62381
TOTAL GSF General Services 62382
Fund Group $ 4,064,000 $ 4,214,000 62383

State Special Revenue Fund Group62384

5C5 090-602 County Treasurer Education $ 135,000 $ 135,000 62385
TOTAL SSR State Special Revenue 62386
Fund Group $ 135,000 $ 135,000 62387

Agency Fund Group62388

425 090-635 Tax Refunds $ 31,000,000 $ 31,000,000 62389
TOTAL Agency Fund Group $ 31,000,000 $ 31,000,000 62390
TOTAL ALL BUDGET FUND GROUPS $ 66,562,261 $ 66,655,261 62391


       Section 409.10.10.  OFFICE OF THE SINKING FUND62393

       The foregoing appropriation item 090-401, Office of the62394
Sinking Fund, shall be used for financing and other costs incurred62395
by or on behalf of the Commissioners of the Sinking Fund, the Ohio62396
Public Facilities Commission or its secretary, or the Treasurer of62397
State, with respect to State of Ohio general obligation bonds or62398
notes, including, but not limited to, printing, advertising,62399
delivery, rating fees and the procurement of ratings, professional62400
publications, membership in professional organizations, and62401
services referred to in division (D) of section 151.01 of the62402
Revised Code. The General Revenue Fund shall be reimbursed for62403
such costs by intrastate transfer voucher pursuant to a62404
certification by the Office of the Sinking Fund of the actual62405
amounts used. The amounts necessary to make such reimbursements62406
are appropriated from the general obligation bond retirement funds62407
created by the Constitution and laws to the extent such costs are62408
incurred.62409

       POLICE AND FIRE DEATH BENEFIT FUND62410

       The foregoing appropriation item 090-575, Police and Fire62411
Death Benefits, shall be disbursed quarterly by the Treasurer of62412
State at the beginning of each quarter of each fiscal year to the 62413
Board of Trustees of the Ohio Police and Fire Pension Fund. The 62414
Treasurer of State shall certify such amounts quarterly to the 62415
Director of Budget and Management. By the twentieth day of June of 62416
each fiscal year, the Board of Trustees of the Ohio Police and 62417
Fire Pension Fund shall certify to the Treasurer of State the62418
amount disbursed in the current fiscal year to make the payments62419
required by section 742.63 of the Revised Code and shall return to62420
the Treasurer of State moneys received from this appropriation62421
item but not disbursed.62422

       TAX REFUNDS62423

       The foregoing appropriation item 090-635, Tax Refunds, shall 62424
be used to pay refunds under section 5703.052 of the Revised Code. 62425
If the Director of Budget and Management determines that 62426
additional amounts are necessary for this purpose, such amounts 62427
are hereby appropriated.62428

       Section 411.10.  TTA OHIO TUITION TRUST AUTHORITY62429

State Special Revenue Fund Group62430

5AM 095-603 Index Savings Plan $ 2,376,852 $ 2,425,777 62431
5DC 095-604 Banking Products $ 1,631,283 $ 1,648,123 62432
5P3 095-602 Variable College Savings Fund $ 2,031,354 $ 2,063,596 62433
645 095-601 Operating Expenses $ 872,086 $ 881,169 62434
TOTAL SSR State Special Revenue 62435
Fund Group $ 6,911,575 $ 7,018,665 62436
TOTAL ALL BUDGET FUND GROUPS $ 6,911,575 $ 7,018,665 62437


       Section 413.10. OVH OHIO VETERANS' HOME62439

General Revenue Fund62440

GRF 430-100 Personal Services $ 23,085,261 $ 24,403,903 62441
GRF 430-200 Maintenance $ 7,835,544 $ 8,458,613 62442
GRF 430-402 Hall of Fame $ 125,000 $ 125,000 62443
TOTAL GRF General Revenue Fund $ 31,045,805 $ 32,987,516 62444

General Services Fund Group62445

484 430-603 Veterans Home Services $ 375,880 $ 375,880 62446
TOTAL GSF General Services Fund Group $ 375,880 $ 375,880 62447

Federal Special Revenue Fund Group62448

3BX 430-609 Medicare Services $ 1,446,807 1,446,807 62449
3L2 430-601 Veterans Home Operations - Federal $ 15,290,320 $ 15,410,471 62450
TOTAL FED Federal Special Revenue 62451
Fund Group $ 16,737,127 $ 16,857,278 62452

State Special Revenue Fund Group62453

4E2 430-602 Veterans Home Operating $ 8,530,800 $ 8,530,800 62454
604 430-604 Veterans Home Improvement $ 770,096 $ 770,096 62455
TOTAL SSR State Special Revenue 62456
Fund Group $ 9,300,896 $ 9,300,896 62457
TOTAL ALL BUDGET FUND GROUPS $ 57,459,708 $ 59,521,570 62458

       CORNERSTONE OF HOPE62459

        Of the foregoing appropriation item 430-100, Personal 62460
Services, $100,000 in each fiscal year shall be distributed to 62461
Cornerstone of Hope to be used to provide professional counseling 62462
services for individuals who have recently lost family members, 62463
including the loss of service men and service women in the United 62464
States Armed Forces.62465

       Section 415.10. VET VETERANS' ORGANIZATIONS62466

General Revenue Fund62467

VAP AMERICAN EX-PRISONERS OF WAR
62468

GRF 743-501 State Support $ 25,030 $ 25,030 62469

VAN ARMY AND NAVY UNION, USA, INC.
62470

GRF 746-501 State Support $ 55,012 $ 55,012 62471

VKW KOREAN WAR VETERANS
62472

GRF 747-501 State Support $ 49,453 $ 49,453 62473

VJW JEWISH WAR VETERANS
62474

GRF 748-501 State Support $ 29,715 $ 29,715 62475

VCW CATHOLIC WAR VETERANS
62476

GRF 749-501 State Support $ 57,990 $ 57,990 62477

VPH MILITARY ORDER OF THE PURPLE HEART
62478

GRF 750-501 State Support $ 56,377 $ 56,377 62479

VVV VIETNAM VETERANS OF AMERICA
62480

GRF 751-501 State Support $ 185,954 $ 185,954 62481

VAL AMERICAN LEGION OF OHIO
62482

GRF 752-501 State Support $ 302,328 $ 302,328 62483

VII AMVETS
62484

GRF 753-501 State Support $ 287,919 $ 287,919 62485

VAV DISABLED AMERICAN VETERANS
62486

GRF 754-501 State Support $ 216,308 $ 216,308 62487

VMC MARINE CORPS LEAGUE
62488

GRF 756-501 State Support $ 115,972 $ 115,972 62489

V37 37TH DIVISION AEF VETERANS' ASSOCIATION
62490

GRF 757-501 State Support $ 5,946 $ 5,946 62491

VFW VETERANS OF FOREIGN WARS
62492

GRF 758-501 State Support $ 246,615 $ 246,615 62493

TOTAL GRF General Revenue Fund $ 1,634,619 $ 1,634,619 62494
TOTAL ALL BUDGET FUND GROUPS $ 1,634,619 $ 1,634,619 62495

       RELEASE OF FUNDS62496

       The foregoing appropriation items 743-501, 746-501, 747-501,62497
748-501, 749-501, 750-501, 751-501, 752-501, 753-501, 754-501,62498
756-501, 757-501, and 758-501, State Support, shall be released62499
upon approval by the Director of Budget and Management.62500

       CENTRAL OHIO UNITED SERVICES ORGANIZATION62501

       Of the foregoing appropriation item 751-501, State Support,62502
Vietnam Veterans of America, $50,000 in each fiscal year shall be62503
used to support the activities of the Central Ohio USO.62504

       VAL AMERICAN LEGION OF OHIO62505

       Of the foregoing appropriation item 752-501, State Support, 62506
VAL American Legion, at least $50,000 in each fiscal year shall be 62507
used to fund service officer expenses.62508

       VETERANS SERVICE COMMISSION EDUCATION62509

       Of the foregoing appropriation item 753-501, State Support,62510
AMVETS, up to $20,000 in each fiscal year may be used to provide 62511
moneys to the Association of County Veterans Service Commissioners 62512
to reimburse its member county veterans service commissions for 62513
costs incurred in carrying out educational and outreach duties 62514
required under divisions (E) and (F) of section 5901.03 of the 62515
Revised Code. The Director of Budget and Management shall release 62516
these funds upon the presentation of an itemized receipt, approved 62517
by the Governor's Office of Veterans Affairs, from the association 62518
for reasonable and appropriate expenses incurred while performing 62519
these duties. The association shall establish uniform procedures 62520
for reimbursing member commissions.62521

       VII AMVETS62522

       Of the foregoing appropriation item 753-501, State Support, 62523
AMVETS, at least $50,000 shall be used in each fiscal year to fund 62524
service officer expenses.62525

       VAV DISABLED AMERICAN VETERANS62526

       Of the foregoing appropriation item 754-501, State Support, 62527
VAV Disabled American Veterans, at least $50,000 in each fiscal 62528
year shall be used to fund service officer expenses.62529

       VMC MARINE CORPS LEAGUE62530

       Of the foregoing appropriation item 756-501, State Support, 62531
VMC Marine Corps League, at least $30,000 in each fiscal year 62532
shall be used to fund service officer expenses.62533

       VFW VETERANS OF FOREIGN WARS62534

       Of the foregoing appropriation item 758-501, State Support, 62535
VFW Veterans of Foreign Wars, at least $50,000 in each fiscal year 62536
shall be used to fund service officer expenses.62537

       Section 417.10. DVM STATE VETERINARY MEDICAL BOARD62538

General Services Fund Group62539

4K9 888-609 Operating Expenses $ 322,740 $ 327,312 62540
5BU 888-602 Veterinary Student Loan Program $ 60,000 $ 0 62541
TOTAL GSF General Services 62542
Fund Group $ 382,740 $ 327,312 62543
TOTAL ALL BUDGET FUND GROUPS $ 382,740 $ 327,312 62544


       Section 419.10. DYS DEPARTMENT OF YOUTH SERVICES62546

General Revenue Fund62547

GRF 470-401 RECLAIM Ohio $ 186,338,297 $ 190,599,131 62548
GRF 470-412 Lease Rental Payments $ 23,832,700 $ 23,483,700 62549
GRF 470-510 Youth Services $ 18,558,587 $ 18,558,587 62550
GRF 472-321 Parole Operations $ 15,356,904 $ 15,764,729 62551
GRF 477-321 Administrative Operations $ 14,754,420 $ 14,754,419 62552
TOTAL GRF General Revenue Fund $ 258,840,908 $ 263,160,566 62553

General Services Fund Group62554

175 470-613 Education Reimbursement $ 9,985,035 $ 10,550,725 62555
4A2 470-602 Child Support $ 328,657 $ 328,657 62556
4G6 470-605 General Operational Funds $ 49,713 $ 50,955 62557
4G6 470-631 SCALE Program $ 100,000 $ 100,000 62558
479 470-609 Employee Food Service $ 137,666 $ 137,666 62559
5BN 470-629 E-Rate Program $ 200,000 $ 200,000 62560
TOTAL GSF General Services 62561
Fund Group $ 10,801,071 $ 11,368,003 62562

Federal Special Revenue Fund Group62563

3BH 470-630 Federal Juvenile Programs FFY 06 $ 100,000 $ 50,000 62564
3BT 470-634 Federal Juvenile Programs $ 300,000 $ 50,000 62565
3BY 470-635 Federal Juvenile Programs FFY 07 $ 903,350 $ 350,000 62566
3BZ 470-636 Federal Juvenile Programs FFY 08 $ 0 $ 653,350 62567
3V5 470-604 Juvenile Justice/Delinquency Prevention $ 2,750,000 $ 2,750,000 62568
3Z9 470-626 Federal Juvenile Programs FFY 05 $ 142,253 $ 0 62569
321 470-601 Education $ 5,202,160 $ 5,473,109 62570
321 470-603 Juvenile Justice Prevention $ 51,000 $ 30,000 62571
321 470-606 Nutrition $ 2,908,369 $ 2,981,078 62572
321 470-610 Rehabilitation Programs $ 36,000 $ 36,000 62573
321 470-614 Title IV-E Reimbursements $ 6,162,670 $ 6,316,737 62574
321 470-617 Americorps Programs $ 463,700 $ 463,700 62575
321 470-633 Project Re-entry $ 1,017,843 $ 1,017,843 62576
TOTAL FED Federal Special Revenue 62577
Fund Group $ 20,037,345 $ 20,171,817 62578

State Special Revenue Fund Group62579

147 470-612 Vocational Education $ 2,074,710 $ 2,141,823 62580
5BH 470-628 Partnerships for Success $ 1,500,000 $ 1,500,000 62581
TOTAL SSR State Special Revenue 62582
Fund Group $ 3,574,710 $ 3,641,823 62583
TOTAL ALL BUDGET FUND GROUPS $ 293,254,034 $ 298,342,209 62584

       RECLAIM OHIO62585

        Of the foregoing appropriation item 470-401, RECLAIM Ohio, 62586
$25,000 in each fiscal year shall be distributed directly to the 62587
Lighthouse Youth Services Wrap-Around Program.62588

       OHIO BUILDING AUTHORITY LEASE PAYMENTS62589

       The foregoing appropriation item 470-412, Lease Rental62590
Payments, in the Department of Youth Services, shall be used to 62591
meet all payments to the Ohio Building Authority for the period 62592
from July 1, 2007, to June 30, 2009, under the leases and 62593
agreements for facilities made under Chapter 152. of the Revised 62594
Code. This appropriation is the source of funds pledged for bond 62595
service charges on related obligations issued pursuant to Chapter 62596
152. of the Revised Code.62597

       EDUCATION REIMBURSEMENT62598

       The foregoing appropriation item 470-613, Education62599
Reimbursement, shall be used to fund the operating expenses of62600
providing educational services to youth supervised by the62601
Department of Youth Services. Operating expenses include, but are62602
not limited to, teachers' salaries, maintenance costs, and62603
educational equipment. This appropriation item may be used for62604
capital expenses related to the education program.62605

       EMPLOYEE FOOD SERVICE AND EQUIPMENT62606

       Notwithstanding section 125.14 of the Revised Code, the62607
foregoing appropriation item 470-609, Employee Food Service, may62608
be used to purchase any food operational items with funds received62609
into the fund from reimbursement for state surplus property.62610

       Section 503.03. PERSONAL SERVICE EXPENSES62611

       Unless otherwise prohibited by law, any appropriation from62612
which personal service expenses are paid shall bear the employer's62613
share of public employees' retirement, workers' compensation,62614
disabled workers' relief, and all group insurance programs; the62615
costs of centralized accounting, centralized payroll processing,62616
and related personnel reports and services; the cost of the Office62617
of Collective Bargaining; the cost of the Employee Assistance62618
Program; the cost of the affirmative action and equal employment 62619
opportunity programs administered by the Department of 62620
Administrative Services; the costs of interagency information62621
management infrastructure; and the cost of administering the state62622
employee merit system as required by section 124.07 of the Revised62623
Code. These costs shall be determined in conformity with the 62624
appropriate sections of law and paid in accordance with procedures62625
specified by the Office of Budget and Management. Expenditures62626
from appropriation item 070-601, Public Audit Expense - Local62627
Government, in Fund 422 may be exempted from the requirements of62628
this section.62629

       Section 503.06. SATISFACTION OF JUDGMENTS AND SETTLEMENTS 62630
AGAINST THE STATE62631

       Except as otherwise provided in this section, an 62632
appropriation in this act or any other act may be used for the 62633
purpose of satisfying judgments, settlements, or administrative 62634
awards ordered or approved by the Court of Claims or by any other 62635
court of competent jurisdiction in connection with civil actions 62636
against the state. This authorization does not apply to 62637
appropriations to be applied to or used for payment of guarantees 62638
by or on behalf of the state, or for payments under lease 62639
agreements relating to, or debt service on, bonds, notes, or other 62640
obligations of the state. Notwithstanding any other statute to the 62641
contrary, this authorization includes appropriations from funds 62642
into which proceeds of direct obligations of the state are 62643
deposited only to the extent that the judgment, settlement, or 62644
administrative award is for, or represents, capital costs for 62645
which the appropriation may otherwise be used and is consistent 62646
with the purpose for which any related obligations were issued or 62647
entered into. Nothing contained in this section is intended to 62648
subject the state to suit in any forum in which it is not 62649
otherwise subject to suit, and is not intended to waive or 62650
compromise any defense or right available to the state in any suit 62651
against it.62652

       Section 503.09. CAPITAL PROJECT SETTLEMENTS62653

       This section specifies an additional and supplemental62654
procedure to provide for payments of judgments and settlements if62655
the Director of Budget and Management determines, pursuant to62656
division (C)(4) of section 2743.19 of the Revised Code, that62657
sufficient unencumbered moneys do not exist in the particular62658
appropriation to pay the amount of a final judgment rendered62659
against the state or a state agency, including the settlement of a62660
claim approved by a court, in an action upon and arising out of a62661
contractual obligation for the construction or improvement of a62662
capital facility if the costs under the contract were payable in62663
whole or in part from a state capital projects appropriation. In62664
such a case, the director may either proceed pursuant to division62665
(C)(4) of section 2743.19 of the Revised Code or apply to the62666
Controlling Board to increase an appropriation or create an62667
appropriation out of any unencumbered moneys in the state treasury62668
to the credit of the capital projects fund from which the initial62669
state appropriation was made. The Controlling Board may approve or 62670
disapprove the application as submitted or modified. The amount of 62671
an increase in appropriation or new appropriation specified in an 62672
application approved by the Controlling Board is hereby 62673
appropriated from the applicable capital projects fund and made 62674
available for the payment of the judgment or settlement.62675

       If the director does not make the application authorized by62676
this section or the Controlling Board disapproves the application,62677
and the director does not make application under division (C)(4) 62678
of section 2743.19 of the Revised Code, the director shall for the 62679
purpose of making that payment make a request to the General62680
Assembly as provided for in division (C)(5) of that section.62681

       Section 503.12. RE-ISSUANCE OF VOIDED WARRANTS62682

       In order to provide funds for the reissuance of voided62683
warrants under section 117.47 of the Revised Code, there is hereby 62684
appropriated, out of moneys in the state treasury from the fund62685
credited as provided in section 117.47 of the Revised Code, that62686
amount sufficient to pay such warrants when approved by the Office62687
of Budget and Management.62688

       Section 503.15.  REAPPROPRIATION OF UNEXPENDED ENCUMBERED62689
BALANCES OF OPERATING APPROPRIATIONS62690

       Except for amounts of $1,000,000 or more that are encumbered 62691
for program subsidy payments, which the Director of Budget and 62692
Management must submit to the Controlling Board for approval, an 62693
unexpended balance of an operating appropriation or62694
reappropriation that a state agency lawfully encumbered prior to62695
the close of a fiscal year is reappropriated on the first day of62696
July of the following fiscal year from the fund from which it was62697
originally appropriated or reappropriated for the following period62698
and shall remain available only for the purpose of discharging the62699
encumbrance:62700

       (A) For an encumbrance for personal services, maintenance,62701
equipment, or items for resale, other than an encumbrance for an62702
item of special order manufacture not available on term contract62703
or in the open market or for reclamation of land or oil and gas62704
wells for a period of not more than five months from the end of62705
the fiscal year;62706

       (B) For an encumbrance for an item of special order62707
manufacture not available on term contract or in the open market,62708
for a period of not more than five months from the end of the62709
fiscal year or, with the written approval of the Director of62710
Budget and Management, for a period of not more than twelve months62711
from the end of the fiscal year;62712

       (C) For an encumbrance for reclamation of land or oil and gas 62713
wells, for a period ending when the encumbered appropriation is 62714
expended or for a period of two years, whichever is less;62715

       (D) For an encumbrance for any other expense, for such period 62716
as the director approves, provided such period does not exceed two 62717
years.62718

       Any operating appropriations for which unexpended balances62719
are reappropriated beyond a five-month period from the end of the62720
fiscal year by division (B) of this section shall be reported to 62721
the Controlling Board by the Director of Budget and Management by 62722
the thirty-first day of December of each year. The report on each 62723
such item shall include the item, the cost of the item, and the 62724
name of the vendor. The report shall be updated on a quarterly 62725
basis for encumbrances remaining open.62726

       Upon the expiration of the reappropriation period set out in62727
divisions (A), (B), (C), or (D) of this section, a reappropriation62728
made by this section lapses, and the Director of Budget and 62729
Management shall cancel the encumbrance of the unexpended62730
reappropriation not later than the end of the weekend following 62731
the expiration of the reappropriation period.62732

       Notwithstanding the preceding paragraph, with the approval of62733
the Director of Budget and Management, an unexpended balance of an62734
encumbrance that was reappropriated on the first day of July by 62735
this section for a period specified in division (C) or (D) of this 62736
section and that remains encumbered at the close of the fiscal 62737
biennium is hereby reappropriated on the first day of July of the 62738
following fiscal biennium from the fund from which it was 62739
originally appropriated or reappropriated for the applicable 62740
period specified in division (C) or (D) of this section and shall 62741
remain available only for the purpose of discharging the 62742
encumbrance.62743

       The Director of Budget and Management may correct accounting 62744
errors committed by the staff of the Office of Budget and 62745
Management, such as re-establishing encumbrances or appropriations 62746
cancelled in error, during the cancellation of operating 62747
encumbrances in November and of nonoperating encumbrances in 62748
December.62749

       If the Controlling Board approved a purchase, that approval62750
remains in effect so long as the appropriation used to make that62751
purchase remains encumbered.62752

       Section 503.18. APPROPRIATIONS RELATED TO CASH TRANSFERS AND62753
RE-ESTABLISHMENT OF ENCUMBRANCES62754

       Any cash transferred by the Director of Budget and Management62755
under section 126.15 of the Revised Code is hereby appropriated.62756
Any amounts necessary to re-establish appropriations or62757
encumbrances under section 126.15 of the Revised Code are hereby 62758
appropriated.62759

       Section 503.21. INCOME TAX DISTRIBUTION TO COUNTIES62760

       There are hereby appropriated out of any moneys in the state62761
treasury to the credit of the General Revenue Fund, which are not62762
otherwise appropriated, funds sufficient to make any payment62763
required by division (B)(2) of section 5747.03 of the Revised62764
Code.62765

       Section 503.24. EXPENDITURES AND APPROPRIATION INCREASES62766
APPROVED BY THE CONTROLLING BOARD62767

       Any money that the Controlling Board approves for expenditure62768
or any increase in appropriation authority that the Controlling62769
Board approves under sections 127.14, 131.35, and 131.39 of the 62770
Revised Code or any other provision of law is hereby appropriated 62771
for the period ending June 30, 2009.62772

       Section 503.27. FUNDS RECEIVED FOR USE OF GOVERNOR'S 62773
RESIDENCE62774

       If the Governor's Residence Fund (Fund 4H2) receives payment 62775
for use of the residence pursuant to section 107.40 of the Revised 62776
Code, the amounts so received are hereby appropriated to 62777
appropriation item 100-604, Governor's Residence Gift.62778

       Section 506.03. UTILITY RADIOLOGICAL SAFETY BOARD ASSESSMENTS62779

       The maximum amounts that may be assessed against nuclear62780
electric utilities under division (B)(2) of section 4937.05 of the 62781
Revised Code are as follows:62782

FY 2008 FY 2009 62783
Department of Agriculture 62784
Fund 4E4 Utility Radiological Safety $73,059 $73,059 62785
Department of Health 62786
Fund 610 Radiation Emergency Response $850,000 $850,000 62787
Environmental Protection Agency 62788
Fund 644 ER Radiological Safety $286,114 $286,114 62789
Emergency Management Agency 62790
Fund 657 Utility Radiological Safety $1,260,000 $1,260,000 62791

       Section 512.03. TRANSFERS TO THE GENERAL REVENUE FUND FROM 62792
NON-GRF FUNDS62793

        Notwithstanding any other provision of law to the contrary, 62794
during fiscal years 2008 and 2009, the Director of Budget and 62795
Management is hereby authorized to transfer cash from non-General 62796
Revenue Fund funds that are not constitutionally restricted to the 62797
General Revenue Fund. The total amount of cash transfers made 62798
pursuant to this section to the General Revenue Fund during fiscal 62799
years 2008 and 2009 shall not exceed $70,000,000.62800

       Section 512.06. TRANSFERS TO THE GENERAL REVENUE FUND OF 62801
INTEREST EARNED62802

       Notwithstanding any provision of Ohio law to the contrary, 62803
the Director of Budget and Management, through June 30, 2009, may 62804
transfer interest earned by any fund in the Central Accounting 62805
System to the General Revenue Fund. Subsequent to the making of 62806
such transfers, the Director of Budget and Management shall 62807
provide a report to the Controlling Board at its next regularly 62808
scheduled meeting detailing the funds from which the interest 62809
earned was transferred to the General Revenue Fund and the amount 62810
of interest earnings transferred from each of those funds. This 62811
section does not apply to funds whose source of revenue is 62812
restricted or protected by the Constitution of this state, federal 62813
tax law, or the "Cash Management Improvement Act of 1990" 104 62814
Stat. 1058 (1990), 31 U.S.C. 6501 et seq., as amended.62815

       Section 512.07.  CASH TRANSFERS FROM REPARATIONS FUND (Fund 62816
402) TO DISASTER PREPAREDNESS FUND (Fund 5EX)62817

        Notwithstanding any other provision of law to the contrary, 62818
on the first day of July in each of years 2007 and 2008, or as 62819
soon as practicable thereafter in each of those years, the 62820
Director of Budget and Management shall transfer $350,000 in cash 62821
from the Reparations Fund (Fund 402) to the Disaster Preparedness 62822
Fund (Fund 5EX).62823

       Section 512.09. CORPORATE AND UCC FILING FUND TRANSFER TO GRF62824

       Not later than the first day of June in each year of the62825
biennium, the Director of Budget and Management shall transfer62826
$500,000 from the Corporate and Uniform Commercial Code Filing62827
Fund to the General Revenue Fund.62828

       Section 512.21. GRF TRANSFER TO FUND 5N4, OAKS PROJECT62829
IMPLEMENTATION62830

       On July 1, 2007, or as soon thereafter as possible, the62831
Director of Budget and Management shall transfer an amount not to 62832
exceed $2,200,725 in cash from the General Revenue Fund to Fund 62833
5N4, OAKS Project Implementation. On July 1, 2008, or as soon 62834
thereafter as possible, the Director of Budget and Management 62835
shall transfer an amount not to exceed $2,092,779 in cash from the 62836
General Revenue Fund to Fund 5N4, OAKS Project Implementation.62837

       Section 512.31. TEMPORARY TRANSFER TO THE OAKS SUPPORT 62838
ORGANIZATION FUND62839

       Notwithstanding any provision of law to the contrary, in 62840
fiscal year 2008, the Director of Budget and Management may 62841
transfer an amount not to exceed $1,000,000 in cash from the Human 62842
Resources Services Fund (Fund 125) to the OAKS Support 62843
Organization Fund (Fund 5EB). These amounts shall support the 62844
establishment of the OAKS Support Organization. Amounts 62845
transferred to the OAKS Support Organization Fund and interest 62846
earnings on these amounts transferred during fiscal year 2008 62847
shall be returned to the Human Resources Services Fund not later 62848
than January 1, 2008. Upon certification of the total amount 62849
transferred from Fund 125 to Fund 5EB, the Director of Budget and 62850
Management shall transfer cash in the amount certified from Fund 62851
5EB to Fund 125.62852

       Section 512.34. TRANSFER FROM EDUCATION FACILITIES ENDOWMENT 62853
FUND62854

        Notwithstanding division (G) of section 183.27 of the Revised 62855
Code, the Director of Budget and Management shall transfer 62856
$40,000,000 cash in fiscal year 2008 from the Education Facilities 62857
Endowment Fund (Fund P87) to the Public School Building Fund (Fund 62858
021). The amounts transferred are hereby appropriated to the Ohio 62859
School Facilities Commission for the purposes of appropriation 62860
item CAP-622, Public School Buildings.62861

       Section 512.37. TRANSFER TO ENERGY STRATEGY DEVELOPMENT FUND62862

       On July 1, 2007, and on July 1, 2008, or as soon thereafter 62863
as possible, the Director of Budget and Management may transfer 62864
cash from the funds specified below, in the amount specified 62865
below, to the Energy Strategy Development Fund, which is hereby 62866
created in the state treasury. The fund may accept contributions 62867
and transfers made to the fund. The funds shall be used to develop 62868
energy initiatives, projects, and policy.62869

Agency Fund FY 2008 FY 2009 62870
Department of Administrative Services 117 $35,000 $35,000 62871
Department of Agriculture 3J4 $35,000 $35,000 62872
Department of Development 4H4 $32,447 $0 62873
Department of Development 135 $0 $35,000 62874
Environmental Protection Agency 219 $35,000 $35,000 62875
Department of Natural Resources 157 $35,000 $35,000 62876
Department of Transportation 002 $50,000 $50,000 62877

       Section 512.38. CASH TRANSFER FROM AUTOMATED TITLE PROCESSING 62878
FUND TO TITLE DEFECT RESCISSION FUND62879

       Notwithstanding any other provision of law to the contrary, 62880
on July 1, 2007, or as soon as practicable thereafter, the 62881
Director of Budget and Management shall transfer $1,000,000 in 62882
cash from the Automated Title Processing Fund (Fund 849) to the 62883
Title Defect Rescission Fund (Fund 4Y7).62884

       Section 512.41. For purposes of sections 109.93, 111.18, and 62885
173.85 of the Revised Code, as amended by this act, the Director 62886
of Budget and Management, in collaboration with the Treasurer of 62887
State, may take any action necessary to establish funds in the 62888
state treasury that were previously held in the custody of the 62889
Treasurer of State, including, but not limited to, the transfer of 62890
cash from the custodial funds to the state treasury and the 62891
establishment of appropriations and encumbrances to support 62892
outstanding obligations. The amounts necessary to support 62893
outstanding obligations are hereby appropriated. Agencies may 62894
request additional appropriation authority, but it shall be 62895
subject to approval by the Controlling Board.62896

       Section 515.06. TRANSFER OF PRINTING SERVICES FROM THE OFFICE 62897
OF INFORMATION TECHNOLOGY62898

       Effective July 1, 2007, or the earliest date thereafter 62899
agreed to by the Director of Budget and Management and the 62900
Director of Administrative Services, the Office of Information 62901
Technology printing office currently located on Integrity Drive in 62902
Columbus shall become part of the Department of Administrative 62903
Services. The functions, assets, and liabilities, including, but 62904
not limited to, records, regardless of form or medium, leases, and 62905
contracts, of the printing office are transferred to the 62906
Department of Administrative Services. The Department of 62907
Administrative Services is thereupon and thereafter successor to, 62908
assumes the obligations of, and otherwise constitutes the 62909
continuation of the printing office. The functions of the printing 62910
office are thereupon and thereafter transferred to the Department 62911
of Administrative Services.62912

       Any business commenced but not completed by the printing 62913
office by the date of the transfer shall be completed by the 62914
Department of Administrative Services, in the same manner, and 62915
with the same effect, as if completed by the printing office. No 62916
validation, cure, right, privilege, remedy, obligation, or 62917
liability is lost or impaired by reason of the transfer and shall 62918
be administered by the Department of Administrative Services. All 62919
the printing office's rules, orders, and determinations continue 62920
in effect as rules, orders, and determinations of the Department 62921
of Administrative Services, until modified or rescinded by the 62922
Department of Administrative Services. If necessary to ensure the 62923
integrity of the Administrative Code rule numbering system, the 62924
Director of the Legislative Service Commission shall renumber the 62925
printing office's rules to reflect their transfer to the 62926
Department of Administrative Services.62927

       Employees of the Office of Information Technology designated 62928
as staff in the printing office shall be transferred to the 62929
Department of Administrative Services. Subject to the layoff 62930
provisions of sections 124.321 to 124.328 of the Revised Code, the 62931
layoff provisions of the contract between the state and all 62932
bargaining units affected, the employees transferred to the 62933
Department of Administrative Services retain their positions and 62934
all benefits accruing thereto.62935

       No judicial or administrative action or proceeding to which 62936
the printing office is a party that is pending on July 1, 2007, or 62937
such later date as may be established by the Director of the 62938
Office of Information Technology and the Director of 62939
Administrative Services, is affected by the transfer of functions. 62940
The action or proceeding shall be prosecuted or defended in the 62941
name of the Director of Administrative Services. On application to 62942
the court or agency, the Director of Administrative Services shall 62943
be substituted for the Director of the Office of Information 62944
Technology as a party to the action or proceeding.62945

       On and after July 1, 2007, notwithstanding any provision of 62946
law to the contrary, the Director of Budget and Management shall 62947
take the actions with respect to budget changes made necessary by 62948
the transfer, including administrative reorganization, program 62949
transfers, the creation of new funds, and the consolidation of 62950
funds as authorized by this section. The Director of Budget and 62951
Management may cancel encumbrances and re-establish encumbrances 62952
or parts of encumbrances as needed in fiscal year 2008 in the 62953
appropriate fund and appropriation item for the same purpose and 62954
for payment to the same vendor. The Director of Budget and 62955
Management as determined necessary, may re-establish encumbrances 62956
in fiscal year 2008 in a different fund or appropriation item in 62957
an agency or between agencies. The re-established encumbrances are 62958
hereby appropriated. The Director of Budget and Management shall 62959
reduce each year's appropriation balances by the amount of the 62960
encumbrance canceled in their respective funds and appropriation 62961
items.62962

       Not later than sixty days after the transfer of the printing 62963
office to the Department of Administrative Services, the Director 62964
of the Office of Information Technology shall certify to the 62965
Director of Budget and Management the amount of cash associated 62966
with printing services supported by Fund 133, IT Services Delivery 62967
Fund. Upon receipt of the certification, the Director of Budget 62968
and Management shall transfer cash from Fund 133, IT Services 62969
Delivery Fund, to Fund 210, State Printing Fund. This amount is 62970
hereby appropriated.62971

       Section 515.09. TRANSFER OF MAIL AND FULFILLMENT SERVICES 62972
FROM THE DEPARTMENT OF JOB AND FAMILY SERVICES62973

       Effective July 1, 2007, or the earliest date thereafter 62974
agreed to by the Director of Job and Family Services and the 62975
Director of Administrative Services, the Department of Job and 62976
Family Services mail and fulfillment office, currently located on 62977
Integrity Drive in Columbus shall become part of the Department of 62978
Administrative Services. The functions, assets, and liabilities, 62979
including, but not limited to, records, regardless of form or 62980
medium, leases, and contracts, of the mail and fulfillment office 62981
is transferred to the Department of Administrative Services. The 62982
Department of Administrative Services is thereupon and thereafter 62983
successor to, assumes the obligations of, and otherwise 62984
constitutes the continuation of the mail and fulfillment office. 62985
The functions of the mail and fulfillment office are thereupon and 62986
thereafter transferred to the Department of Administrative 62987
Services.62988

       Any business commenced but not completed by the mail and 62989
fulfillment office by the date of transfer shall be completed by 62990
the Department of Administrative Services, in the same manner, and 62991
with the same effect, as if completed by the mail and fulfillment 62992
office. No validation, cure, right, privilege, remedy, obligation, 62993
or liability is lost or impaired by reason of the transfer and 62994
shall be administered by the Department of Administrative 62995
Services. All of the mail and fulfillment office's rules, orders, 62996
and determinations continue in effect as rules, orders, and 62997
determinations of the Department of Administrative Services, until 62998
modified or rescinded by the Department of Administrative 62999
Services. If necessary to ensure the integrity of the 63000
Administrative Code rule numbering system, the Director of the 63001
Legislative Service Commission shall renumber the mail and 63002
fulfillment office's rules to reflect their transfer to the 63003
Department of Administrative Services.63004

       Employees of the Department of Job and Family Services 63005
designated as staff in the mail and fulfillment office shall be 63006
transferred to the Department of Administrative Services. Subject 63007
to the layoff provisions of sections 124.321 to 124.328 of the 63008
Revised Code, and to provisions of the contract between the state 63009
and all bargaining units affected, the employees transferred to 63010
the Department of Administrative Services retain their positions 63011
and all benefits accruing thereto.63012

       No judicial or administrative action or proceeding to which 63013
the mail and fulfillment office is a party that is pending on July 63014
1, 2007, or such later date as may be established by the Director 63015
of Job and Family Services and the Director of Administrative 63016
Services, is affected by the transfer of functions. The action or 63017
proceeding shall be prosecuted or defended in the name of the 63018
Director of Administrative Services. On application to the court 63019
or agency, the Director of Administrative Services shall be 63020
substituted for the Director of Job and Family Services as a party 63021
to the action or proceeding.63022

       On and after July 1, 2007, notwithstanding any provision of 63023
law to the contrary, the Director of Budget and Management shall 63024
take the actions with respect to budget changes made necessary by 63025
the transfer, including administrative reorganization, program 63026
transfers, the creation of new funds, and the consolidation of 63027
funds as authorized by this section. The Director of Budget and 63028
Management may cancel encumbrances and re-establish encumbrances 63029
or parts of encumbrances as needed in fiscal year 2008 in the 63030
appropriate fund and appropriation item for the same purpose and 63031
for payment to the same vendor. The Director of Budget and 63032
Management, as determined necessary, may re-establish encumbrances 63033
in fiscal year 2008 in a different fund or appropriation item in 63034
an agency or between agencies. The re-established encumbrances are 63035
hereby appropriated. The Director of Budget and Management shall 63036
reduce each year's appropriation balances by the amount of the 63037
encumbrance canceled in their respective funds and appropriation 63038
items.63039

       The Director of Job and Family Services and the Director of 63040
Administrative Services shall enter into an interagency agreement 63041
establishing terms and timetables for the implementation of this 63042
section. The interagency agreement shall include provisions for 63043
credits to the Department of Job and Family Services for prepaid 63044
postage, agreements for the credit, transfer, or reimbursement of 63045
funds to the Department of Job and Family Services to comply with 63046
terms and conditions applicable to federal funds expended by the 63047
department for the purchase, maintenance, and operation of 63048
equipment, agreements for ongoing operations in compliance with 63049
federal requirements applicable to Department of Job and Family 63050
Services programs that utilize the mail and fulfillment services, 63051
transfer of or sharing of lease agreements, and any other 63052
agreements that the Director of Job and Family Services and the 63053
Director of Administrative Services determine to be necessary for 63054
the successful implementation of this section.63055

       Not later than sixty days after the transfer of the mail and 63056
fulfillment office to the Department of Administrative Services, 63057
the Director of Job and Family Services shall certify to the 63058
Director of Budget and Management the amount of any unexpended 63059
balance of appropriations made to the department to support the 63060
office. Upon receipt of the certification, the Director of Budget 63061
and Management shall transfer the appropriations and cash to Fund 63062
210, State Printing Fund.63063

       Section 518.03. BUDGET ADJUSTMENTS TO REFLECT TOBACCO 63064
SECURITIZATION63065

        (A) Notwithstanding any other provision of law to the 63066
contrary, the Director of Budget and Management, periodically on 63067
any date following the issuance of the tobacco obligations 63068
authorized in section 183.51 of the Revised Code and through June 63069
30, 2009, may:63070

       (1) Determine the amount of appropriation items 235-909, 63071
Higher Education General Obligation Debt Service, and 230-908, 63072
Common Schools General Obligation Debt Service, that are in excess 63073
of the amounts needed to pay all debt service and financing costs 63074
on those obligations payable from each of those items and transfer 63075
all or any portion of that excess appropriation to appropriation 63076
item 200-901, Property Tax Allocation-Education, or 110-901, 63077
Property Tax Allocation-Taxation, or both together as needed for 63078
the purposes of making the state's property tax relief payments to 63079
school districts and counties.63080

       (2) Determine the amount by which interest earnings credited 63081
to Fund 034, Higher Education Improvement Fund, and Fund 032, 63082
School Building Program Assistance Fund, from the investment of 63083
the net proceeds of those tobacco obligations exceed the amount 63084
needed to satisfy appropriations from those funds, transfer all or 63085
part of that excess cash balance to the General Revenue Fund, and 63086
increase appropriation item 200-901, Property Tax 63087
Allocation-Education, or 110-901, Property Tax 63088
Allocation-Taxation, or both together, by up to the amount of cash 63089
so transferred to the General Revenue Fund.63090

       (3) Determine the amount of capital appropriation in CAP-770, 63091
School Building Assistance Program, transfer cash to Fund 5E3, 63092
School Facilities Commission, an amount that is necessary to fully 63093
expend the amount of net proceeds deposited into Fund 032, School 63094
Building Program Assistance Fund, from the issuance of those 63095
tobacco obligations and increase the appropriations for CAP-770 63096
and appropriation item 230-644, Operating Expenses-School 63097
Facilities Commission, by the necessary amount.63098

        (4) Determine the amount of additional capital appropriations 63099
necessary to fully expend the amount of net proceeds deposited 63100
from the issuance of those tobacco obligations into Fund 034, 63101
Higher Education Improvement Fund.63102

        (5) Reduce the amount of authorization to issue and sell 63103
general obligations to pay the costs of capital facilities for a 63104
system of common schools throughout the state granted to the Ohio 63105
Public Facilities Commission by prior acts of the General Assembly 63106
to reflect the amount of net proceeds of those tobacco obligations 63107
deposited into Fund 034, Higher Education Improvement Fund, that 63108
are intended to replace general obligations for the purpose.63109

       (6) Reduce the amount of authorization to issue and sell 63110
general obligations to pay the costs of capital facilities for 63111
state-supported and state-assisted institutions of higher 63112
education granted to the Ohio Public Facilities Commission by 63113
prior acts of the General Assembly to reflect the amount of net 63114
proceeds of those tobacco obligations deposited into Fund 034, 63115
Higher Education Improvement Fund, that are intended to replace 63116
general obligations for the purpose.63117

        (B) When any of the determinations, transfers, and increases 63118
or decreases in appropriations and authorizations described in 63119
division (A) of this section have been completed, the Office of 63120
Budget and Management shall make a report to the Controlling Board 63121
at its next regularly scheduled meeting.63122

       Section 518.06. GENERAL OBLIGATION DEBT SERVICE PAYMENTS63123

       Certain appropriations are in this act for the purpose of63124
paying debt service and financing costs on general obligation63125
bonds or notes of the state issued pursuant to the Ohio63126
Constitution and acts of the General Assembly. If it is determined 63127
that additional appropriations are necessary for this purpose, 63128
such amounts are hereby appropriated.63129

       Section 518.09.  LEASE PAYMENTS TO OPFC, OBA, AND TREASURER 63130
OF STATE63131

       Certain appropriations are in this act for the purpose of63132
making lease rental payments pursuant to leases and agreements 63133
relating to bonds or notes issued by the Ohio Building Authority 63134
or the Treasurer of State or, previously, by the Ohio Public 63135
Facilities Commission, pursuant to the Ohio Constitution and acts 63136
of the General Assembly. If it is determined that additional63137
appropriations are necessary for this purpose, such amounts are63138
hereby appropriated.63139

       Section 518.12. AUTHORIZATION FOR TREASURER OF STATE AND OBM 63140
TO EFFECTUATE CERTAIN DEBT SERVICE PAYMENTS63141

       The Office of Budget and Management shall initiate and63142
process disbursements from general obligation and lease rental 63143
payment appropriation items during the period from July 1, 2007, 63144
to June 30, 2009, relating to bonds or notes issued under Sections 63145
2i, 2k, 2l, 2m, 2n, 2o, 2p and 15 of Article VIII, Ohio 63146
Constitution, and Chapters 151. and 154. of the Revised Code. 63147
Disbursements shall be made upon certification by the Treasurer of 63148
State, Office of the Sinking Fund, of the dates and the amounts63149
due on those dates.63150

       Section 521.03.  STATE AND LOCAL REBATE AUTHORIZATION63151

       There is hereby appropriated, from those funds designated by63152
or pursuant to the applicable proceedings authorizing the issuance63153
of state obligations, amounts computed at the time to represent63154
the portion of investment income to be rebated or amounts in lieu63155
of or in addition to any rebate amount to be paid to the federal63156
government in order to maintain the exclusion from gross income63157
for federal income tax purposes of interest on those state63158
obligations under section 148(f) of the Internal Revenue Code.63159

       Rebate payments shall be approved and vouchered by the Office63160
of Budget and Management.63161

       Section 521.06. STATEWIDE INDIRECT COST RECOVERY63162

       Whenever the Director of Budget and Management determines63163
that an appropriation made to a state agency from a fund of the63164
state is insufficient to provide for the recovery of statewide63165
indirect costs under section 126.12 of the Revised Code, the63166
amount required for such purpose is hereby appropriated from the63167
available receipts of such fund.63168

       Section 521.07.  GRF TRANSFERS ON BEHALF OF THE STATEWIDE63169
INDIRECT COST ALLOCATION PLAN63170

       The total transfers made from the General Revenue Fund by the63171
Director of Budget and Management under this section shall not 63172
exceed the amounts transferred into the General Revenue Fund under 63173
division (B) of section 126.12 of the Revised Code.63174

       The director of an agency may certify to the Director of 63175
Budget and Management the amount of expenses not allowed to be 63176
included in the Statewide Indirect Cost Allocation Plan under 63177
federal regulations, from any fund included in the Statewide 63178
Indirect Cost Allocation Plan, prepared as required by section 63179
126.12 of the Revised Code.63180

       Upon determining that no alternative source of funding is63181
available to pay for such expenses, the Director of Budget and63182
Management may transfer from the General Revenue Fund into the63183
fund for which the certification is made, up to the amount of the63184
certification. The director of the agency receiving such funds63185
shall include, as part of the next budget submission prepared63186
under section 126.02 of the Revised Code, a request for funding 63187
for such activities from an alternative source such that further 63188
federal disallowances would not be required.63189

       Section 521.12.  FEDERAL CASH MANAGEMENT IMPROVEMENT ACT63190

       Pursuant to the plan for compliance with the Federal Cash63191
Management Improvement Act required by section 131.36 of the63192
Revised Code, the Director of Budget and Management may cancel and 63193
re-establish all or part of encumbrances in like amounts within 63194
the funds identified by the plan. The amounts necessary to 63195
re-establish all or part of encumbrances are hereby appropriated.63196

       AUTO EMISSIONS TESTING PROGRAM63197

       On July 1 of each fiscal year or as soon as possible 63198
thereafter the Director of Budget and Management shall transfer 63199
$14,817,105 for use in fiscal year 2008 and $15,057,814 for use in 63200
fiscal year 2009 from the Highway Operating Fund (Fund 002) to the 63201
Auto Emissions Test Fund (Fund 5BY) in the budget of the Ohio 63202
Environmental Protection Agency for the operation and costs for 63203
oversight of the auto emissions testing program. This cash 63204
transfer represents Congestion Mitigation and Air Quality (CMAQ) 63205
program moneys within the Department of Transportation for use by 63206
the auto emissions testing program (E-check) by the Ohio 63207
Environmental Protection Agency. The allocation shall not reduce 63208
the total amount of such moneys designated for metropolitan 63209
planning organizations.63210

       *       Section 603.05. That Section 310.10 of Am. Sub. H.B. 67 of 63211
the 127th General Assembly be amended to read as follows:63212

       Sec. 310.10. In proceeding with the construction project 63213
involving United States Route 68 in Champaign County, the Director 63214
of Transportation shall credit the proceeds from any sale of land 63215
previously acquired for the project to the local matching funds 63216
required for the project.63217

       The Director of Transportation shall make available 63218
$1,000,000 over the fiscal year 2008-2009 biennium for 63219
improvements to the State Route 33 Avery Muirfield Interchange. 63220
The Director shall determine how to fund the project with either 63221
state or federal moneys.63222

       *       Section 603.06. That existing Section 310.10 of Am. Sub. 63223
H.B. 67 of the 127th General Assembly is hereby repealed.63224

       Section 605.05. That Section 252.70 of Am. Sub. H.B. 530 of 63225
the 126th General Assembly be amended to read as follows:63226

Reappropriations

       Sec. 252.70. OSU OHIO STATE UNIVERSITY63227

CAP-074 Basic Renovations $ 19,255,664 63228
CAP-149 Basic Renovations - Regional Campuses $ 2,083,163 63229
CAP-198 Brown Hall Annex Replacement $ 6,213 63230
CAP-254 Basic Renovations - ATI $ 127,444 63231
CAP-255 Supplemental Renovations - OARDC $ 2,826,343 63232
CAP-256 Supplemental Renovations - Regional $ 191,955 63233
CAP-258 Dreese Lab Addition $ 12,340 63234
CAP-261 Bioscience/Parks Hall Addition $ 12,584 63235
CAP-269 Greenhouse Modernization $ 40,982 63236
CAP-271 Horticulture/Entomology Greenhouse - OARDC $ 15,344 63237
CAP-292 Life Sciences Research Building $ 202,898 63238
CAP-302 Food Science & Technology Building $ 89,990 63239
CAP-306 Heart & Lung Institute $ 32,437 63240
CAP-311 Superconducting Radiation $ 65,094 63241
CAP-313 Brain Tumor Research Center $ 6,001 63242
CAP-314 Engineering Center Net Shape Manufacturing $ 20,730 63243
CAP-315 Membrane Protein Typology $ 8,835 63244
CAP-316 Instructional and Data Processing Equipment $ 198,844 63245
CAP-321 Fine Particle Technologies $ 157,936 63246
CAP-323 Advanced Plasma Engineering $ 22,379 63247
CAP-324 Plasma Ramparts $ 1,150 63248
CAP-326 IN-SITU AL-BE Composites $ 1,733 63249
CAP-335 Jay Cooke Residence - Roof and Windows $ 86,668 63250
CAP-347 Asbestos Abatement $ 5,325 63251
CAP-349 Materials Network $ 91,983 63252
CAP-350 Bio-Technology Consortium $ 42,378 63253
CAP-352 Analytical Electron Microscope $ 375,000 63254
CAP-353 High Temp Alloys & Alluminoids $ 220,000 63255
CAP-357 Supplemental Renovations - ATI $ 33,969 63256
CAP-361 Maintenance, Receiving, and Storage Facility - Marion $ 58,646 63257
CAP-362 McPherson Lab Rehabilitation $ 10,278 63258
CAP-368 Heart and Lung Institute $ 101,808 63259
CAP-374 ADA Modifications $ 178,870 63260
CAP-375 ADA Modifications - ATI $ 41,936 63261
CAP-376 ADA Modifications - Lima $ 95,538 63262
CAP-377 ADA Modifications - Mansfield $ 15,253 63263
CAP-387 Titanium Alloys $ 54,912 63264
CAP-394 ATI/OARDC Roof Replacements $ 13,913 63265
CAP-398 Advanced Manufacturing $ 38,579 63266
CAP-399 Manufacturing Processes/Materials $ 62,574 63267
CAP-401 Terhertz Studies $ 35,294 63268
CAP-406 Marion Park/Road/Sidewalk/Lights $ 2,750 63269
CAP-413 Pomerene Lighting/Wiring $ 249,584 63270
CAP-419 NMR Consortium $ 75,116 63271
CAP-420 Versatile Film Facility $ 62,872 63272
CAP-421 OCARNET $ 5,916 63273
CAP-422 Bioprocessing Research $ 1,905 63274
CAP-423 Localized Corrosion Research $ 6,128 63275
CAP-424 ATM Testbed $ 3,633 63276
CAP-425 Physical Sciences Building $ 27,748 63277
CAP-427 Morrill Hall Remodeling - Vacated Library Space - Marion $ 1,347,191 63278
CAP-431 Sisson Hall Replacement $ 5,571 63279
CAP-436 Machinery Acoustics $ 3,804 63280
CAP-439 Sensors and Measurements $ 15,115 63281
CAP-440 Polymer Magnets $ 1,099 63282
CAP-458 A1 Alloy Corrosion $ 14,292 63283
CAP-484 Page Hall Planning $ 7,210 63284
CAP-485 Botany & Zoology Building Planning $ 207,932 63285
CAP-486 Larkins Hall Addition/Renovation Planning $ 26,206 63286
CAP-487 Robinson Laboratory Planning $ 149,100 63287
CAP-488 Don Scott Field Replacement Barns $ 1,495,619 63288
CAP-489 Galvin Hall 3rd Floor Renovation - Lima $ 22,135 63289
CAP-491 Horticultural Operations Center - ATI $ 1,474,400 63290
CAP-492 OARDC Feed Mill $ 5,598,644 63291
CAP-499 Biological Sciences Cooling Tower $ 6,930 63292
CAP-509 Mount Hall HVAC Modifications $ 40,982 63293
CAP-519 Ohio Biomedical Consortium on Medical Therapeutic Micro Devices $ 49,275 63294
CAP-520 Plant and Microbe Functional Genomics Facilities $ 16,259 63295
CAP-523 Consortium for Novem Microfabrications Methods of Medical Devices in Non-Silicon Materials $ 193,886 63296
CAP-524 Bone & Mineral Metabolism Research Lab $ 5,845 63297
CAP-531 Animal & Plant Biology Level 3 $ 8,133,780 63298
CAP-534 Main Library Rehabilitation $ 9,320,846 63299
CAP-535 Psychology Building $ 2,128,529 63300
CAP-536 Thorne Hall and Gowley Hall Renovations - Phase 3 $ 199,799 63301
CAP-539 Nanosecond Infrared Measurement $ 2,588 63302
CAP-550 Millimeter/Submillimeter Instrument $ 5,919 63303
CAP-552 X-Ray Powder Diffractometer $ 558 63304
CAP-554 Deconvolution Microscope $ 1,101 63305
CAP-556 Heart/Lung Institute Animal Facility $ 13,140 63306
CAP-564 Denney Hall Renovation - Phase I $ 18,495 63307
CAP-565 Ion Mass Spectrometry $ 6,594 63308
CAP-568 Role of Molecular Interfaces $ 17,554 63309
CAP-572 New Millimeter Spectrometer $ 714 63310
CAP-574 Noncredit Job Training - Marion $ 2,933 63311
CAP-576 1224 Kinnear Road - Bale $ 11,722 63312
CAP-577 Non-Silicon Micromachining $ 73,991 63313
CAP-579 Veterinary Hospital Auditorium Renovation $ 7,736 63314
CAP-586 Electroscience Lab Renovation $ 5,853 63315
CAP-587 OARDC Boiler Replacement $ 622,757 63316
CAP-590 Supercomputer Center Expansion $ 6,804,275 63317
CAP-596 Information Literacy $ 135,574 63318
CAP-597 Online Business Major $ 5,768 63319
CAP-599 Renovation of Graves Hall $ 68,196 63320
CAP-602 OARDC Wooster Phone System Replacement $ 467,398 63321
CAP-605 Utility - North Tunnel Steamline Upgrade $ 111,981 63322
CAP-608 Dual Beam Characterization $ 150,000 63323
CAP-616 Environmental Technology Consortium $ 11,297 63324
CAP-617 Campbell, University, and Evans Hall $ 87,439 63325
CAP-620 School of Music - Planning $ 1,500 63326
CAP-622 Western Branch Headquarters & Machinery Building $ 779,525 63327
CAP-624 Muck Crops Branch/Shop Building Replacement $ 756,336 63328
CAP-625 Hazardous Waste Handling/Storage Building $ 1,103,062 63329
CAP-626 Agriculture/Engineering Building Renovation & Addition $ 200,000 63330
CAP-628 Wood County Center for Agriculture $ 1,000,000 63331
CAP-629 Community Heritage Art Gallery - Lima $ 100,000 63332
CAP-631 Health Psychology $ 250,000 63333
CAP-632 Nanotechnology Molecular Assembly $ 500,000 63334
CAP-633 Networking and Communication $ 500,000 63335
CAP-634 Planetary Gear $ 125,000 63336
CAP-635 X-Ray Fluorenscence Spectrometer $ 2,283 63337
CAP-636 Precision Navigation $ 85,000 63338
CAP-637 Welding & Metal Working $ 200,000 63339
CAP-638 Spin Driven Electronics $ 6,436 63340
CAP-639 Inductively Coupled Plasma Etching $ 126,729 63341
CAP-641 Accelerated Metals $ 1,020,331 63342
CAP-642 Mathematical Biosciences Institute $ 54,863 63343
CAP-646 Mershon Auditorium HVAC System Improvements $ 2,098 63344
CAP-647 Molecular Microdevices $ 14,033 63345
CAP-648 Research Center HVAC System Improvements $ 17,088 63346
CAP-649 Infrared Absorption Measurements $ 2,899 63347
CAP-650 Dark Fiber $ 3,983,440 63348
CAP-651 Shared Data Backup System $ 20,922 63349
CAP-653 Third Frontier Network Testbed $ 280,564 63350
CAP-654 Distributed Learning Workshop $ 270,000 63351
CAP-656 Accelerated Maturation of Materials $ 209,702 63352
CAP-657 Nanoscale Polymers Manufacturing $ 629,699 63353
CAP-658 Hydrogen Production and Storage $ 32,396 63354
CAP-659 Ohio Organic Semiconductor $ 367,587 63355
CAP-663 Comprehensive Cancer - Chiller Replacement $ 42,687 63356
CAP-664 Kottman Hall - 103 Central Classroom $ 19,285 63357
CAP-668 West Campus Chilled Water & Scott Hall $ 16,139 63358
CAP-669 McCracken Power Plant Spill Control $ 268,508 63359
CAP-670 Glacial Assessment $ 22,764 63360
CAP-672 Chemical Vapor Deposition $ 13,500 63361
CAP-674 Parks Hall Chiller Replacement $ 135,360 63362
CAP-675 Hybrid Electric Vehicle Modeling $ 504,536 63363
CAP-676 Computational Nanotechnology $ 500,000 63364
CAP-677 Townshend Hall - Roof Replacement $ 328,772 63365
CAP-678 Center For Materials Design $ 1,037 63366
CAP-681 Vet Hospital Roof Replacement Phase II $ 85,645 63367
CAP-682 Hopkins Hall Phase II Priorities I, II $ 108,052 63368
CAP-683 Bioscience 6th Floor Renovation - Priority $ 983,186 63369
CAP-684 Ohio Commons For Digital Education $ 118,924 63370
CAP-685 Postle Hall Fire Alarm Replacement $ 116,441 63371
CAP-686 NonCredit Job Education & Training $ 21,104 63372
CAP-687 Campus South Dorms Renovation/Improvements $ 950,000 63373
CAP-688 Bricker Hall Roof Replacement $ 23,123 63374
CAP-694 Neuroscience Center Core $ 193,991 63375
CAP-696 Campus Grounds-Exterior Lighting - Phase VIII $ 33,814 63376
CAP-697 930 Kinnear Road Renovations $ 773,303 63377
CAP-698 Waterman Lab & Don Scott Field $ 652,752 63378
CAP-699 Lincoln Tower Renovations - Phase 1 $ 477,626 63379
CAP-700 Coe Corrosion Coop $ 58,750 63380
CAP-701 OSU Cancer Program Expansion $ 2,000,000 63381
CAP-702 Smith Laboratory Rehabilitation $ 2,800,000 63382
CAP-704 Warner Library and Student Center $ 1,789,324 63383
CAP-705 Hopewell Hall Science Suite $ 508,408 63384
CAP-706 Atomic Force Microscopy $ 180,000 63385
CAP-707 Interactive Applications $ 463,018 63386
CAP-712 OSU Mansfield - Third Street Project $ 234,000 63387
CAP-714 Health Psychology $ 150,000 63388
CAP-716 Ohio Bioproducts Innovation Center $ 9,689,847 63389
CAP-717 Center for Materials Design $ 602,615 63390
CAP-718 Specialized Planetary Gears $ 150,000 63391
CAP-719 OSU Agricultural Building $ 1,500,000 63392
CAP-720 Automated Afm System $ 180,000 63393
CAP-721 Integrated Wireless Communication $ 141,000 63394
Total Ohio State University $ 105,955,671 63395

       BASIC RENOVATIONS63396

       The amount reappropriated for the foregoing appropriation 63397
item CAP-074, Basic Renovations, is the sum of the unencumbered 63398
and unallotted balance as of June 30, 2006, in appropriation item 63399
CAP-074, Basic Renovations, plus $6,927.63400

       OARDC THORNE & GOURLEY HALL63401

       The amount reappropriated for the foregoing appropriation 63402
item CAP-274, OARDC Thorne & Gourley Hall shall be $1,007.63403

       WOOD COUNTY CENTER FOR AGRICULTURE63404

        Of the foregoing appropriation item CAP-628, Wood County 63405
Center for Agriculture, up to $300,000 shall be used for building 63406
renovations to the OSU Extension Office/Ag Business Enhancement 63407
Center.63408

       The remainder of appropriation item CAP-628, Wood County 63409
Center for Agriculture, shall be used for an alternative energy 63410
generation project at the East Gypsy Lane Complex in Wood County 63411
or an agricultural energy facility recommended by the Wood County 63412
commissioners.63413

       Section 605.06. That existing Section 252.70 of Am. Sub. H.B. 63414
530 of the 126th General Assembly is hereby repealed.63415

       Section 621.05. That Section 153 of Am. Sub. H.B. 117 of the 63416
121st General Assembly, as most recently amended by Am. Sub. H.B. 63417
66 of the 126th General Assembly, be amended to read as follows:63418

       Sec. 153.  (A) Sections 5112.01, 5112.03, 5112.04, 5112.05,63419
5112.06, 5112.07, 5112.08, 5112.09, 5112.10, 5112.11, 5112.18, 63420
5112.19, 5112.21, and 5112.99 of the Revised Code are hereby63421
repealed, effective October 16, 20072009.63422

       (B) Any money remaining in the Legislative Budget Services63423
Fund on October 16, 20072009, the date that section 5112.19 of 63424
the Revised Code is repealed by division (A) of this section, 63425
shall be used solely for the purposes stated in then former 63426
section 5112.19 of the Revised Code. When all money in the63427
Legislative Budget Services Fund has been spent after then former63428
section 5112.19 of the Revised Code is repealed under division (A)63429
of this section, the fund shall cease to exist.63430

       Section 621.06. That existing Section 153 of Am. Sub. H.B. 63431
117 of the 121st General Assembly, as most recently amended by Am. 63432
Sub. H.B. 66 of the 126th General Assembly, is hereby repealed.63433

       Section 703.10. The Governor's Office of Faith-Based and 63434
Community Initiatives, with the assistance of the Advisory Board 63435
of the Governor's Office of Faith-Based and Community Initiatives, 63436
shall conduct a study of the feasibility and advisability of the 63437
Office becoming a private nonprofit entity rather than a part of 63438
the Governor's office. The study and any resulting recommendations 63439
shall be submitted, not later than July 1, 2008, to the Governor, 63440
the Speaker of the House of Representatives, the President of the 63441
Senate, and the Minority Leaders of the House of Representatives 63442
and the Senate.63443

       Section 706.03. (A) As used in this section, "appointing 63444
authority" has the same meaning as in section 124.01 of the 63445
Revised Code, and "exempt employee" has the same meaning as in 63446
section 124.152 of the Revised Code.63447

       (B) Notwithstanding section 124.181 of the Revised Code, both 63448
of the following apply:63449

        (1) In cases where no vacancy exists, an appointing authority 63450
may, with the written consent of an exempt employee, assign duties 63451
of a higher classification to that exempt employee for a period of 63452
time not to exceed two years, and that exempt employee shall 63453
receive compensation at a rate commensurate with the duties of the 63454
higher classification.63455

        (2) If necessary, exempt employees who are assigned to duties 63456
within their agency to maintain operations during the Ohio 63457
Administrative Knowledge System (OAKS) implementation may agree to 63458
a temporary assignment that exceeds the two-year limit.63459

       Section 737.10.  (A) Notwithstanding any provision of law to 63460
the contrary, the Public Health Council shall rescind rules 63461
adopted by the Council under section 3718.02 of the Revised Code, 63462
as it existed prior to its repeal by this act, that took effect on 63463
January 1, 2007. At the same time as those rules are rescinded, 63464
the Council shall adopt rules that are identical to the rules 63465
adopted by the Council that were in effect prior to January 1, 63466
2007, and were codified in Chapter 3701-29 of the Administrative 63467
Code.63468

       (B) The rescission and adoption of rules under division (A) 63469
of this section are not subject to section 119.03 of the Revised 63470
Code. However, the Public Health Council shall file the rules in 63471
accordance with section 119.04 of the Revised Code. Upon that 63472
filing, the rules take immediate effect.63473

       Section 739.10. Section 3905.36 of the Revised Code is 63474
amended by this act for the purpose of clarifying the intent of 63475
the 126th General Assembly when it amended division (B)(4) of 63476
section 3905.36 of the Revised Code. Notwithstanding any provision 63477
of section 3905.36 of the Revised Code to the contrary, all 63478
agencies and departments of the state or any political subdivision 63479
shall apply the legislative intent from this amendment as of 63480
January 1, 2007.63481

       Section 753.10. The duties of an owner of residential rental 63482
property to comply with and of a county auditor to accept 63483
compliance with sections 5323.01, 5323.02, 5323.03, 5323.04, and 63484
5323.99 of the Revised Code in a county are tolled until the board 63485
of county commissioners adopts a resolution under the first 63486
paragraph of section 5323.011 of the Revised Code.63487

       Section 753.20.  (A) The staff of the Legislative Service 63488
Commission shall study the feasibility and potential results of 63489
the state's offering incentives for local entities, including 63490
municipal corporations, counties, townships, local historical 63491
societies, and regional authorities, to assume control of state 63492
historical sites. The incentives to be studied shall include the 63493
establishment of tax credits, the contribution of capital dollars, 63494
and the creation of an endowment-matching program.63495

       The study shall focus on the cost and funding aspects of the 63496
incentives that are studied. In addition, the study shall attempt 63497
to determine the potential results of providing each incentive at 63498
varying levels.63499

        (B) Not later than six months after the effective date of 63500
this section, the staff of the Commission shall report its 63501
findings to the Commission.63502

       *       Section 755.03. The Director of Transportation may conduct a 63503
twelve-month pilot project to be completed not later than June 30, 63504
2009, for energy price risk management by entering into a contract 63505
with a qualified provider of energy risk management services. The 63506
contract may include rate analysis, negotiation services, market 63507
and regulatory analysis, budget and financial analysis, and 63508
mitigation strategies for volatile energy sources, including 63509
natural gas, gasoline, oil, and diesel fuel, but shall not include 63510
energy procurement and shall not subject more than thirty per cent 63511
of the Department's annual energy needs to the risk management 63512
services. The Director shall select the energy risk management 63513
services provider through a qualifications-based selection 63514
process, subject to Controlling Board approval. The contract shall 63515
specify that the Department may share the analysis and services of 63516
the energy risk management services provider with all state 63517
agencies and operations. The Director may use revenues from the 63518
state motor vehicle fuel tax or other funds appropriated by the 63519
General Assembly for the pilot project to pay amounts due under 63520
the contract and shall deposit any amounts received under the 63521
contract into the Highway Operating Fund created under section 63522
5735.291 of the Revised Code.63523

       Section 757.03. (A) Beginning in July 2007 and ending in 63524
November 2007, on or before the seventh day of each month, the Tax 63525
Commissioner shall determine and certify to the Director of Budget 63526
and Management the amount to be credited from each tax source 63527
under divisions (B), (C), and (D) of this section to the Local 63528
Government Fund, the Library and Local Government Support Fund, 63529
and the Local Government Revenue Assistance Fund.63530

       (B) Notwithstanding sections 5727.45, 5727.84, 5733.12, 63531
5739.21, 5741.03, and 5747.03 of the Revised Code or any other 63532
provision of law to the contrary, for each month in the period 63533
beginning July 1, 2007, and ending November 30, 2007, tax revenues 63534
credited to the Local Government Fund, the Library and Local 63535
Government Support Fund, and the Local Government Revenue 63536
Assistance Fund under those sections shall instead be credited as 63537
follows:63538

       (1) An amount shall first be credited to the Local Government 63539
Fund as prescribed under division (C) of this section;63540

       (2) An amount shall next be credited to the Local Government 63541
Revenue Assistance Fund as prescribed under division (C) of this 63542
section;63543

       (3) An amount shall next be credited to the Library and Local 63544
Government Support Fund as prescribed under division (D) of this 63545
section.63546

       In December 2007, an amount totaling $1,000,000 shall be 63547
credited from amounts otherwise scheduled to be credited to the 63548
Local Government Fund to the Local Government Services 63549
Collaboration Grant Fund established under Section 383.20 of this 63550
act.63551

       (C) Receipts from the corporation franchise, sales and use, 63552
public utility excise, kilowatt-hour, and personal income taxes 63553
shall be credited to the Local Government Fund and the Local 63554
Government Revenue Assistance Fund as follows:63555

       (1) In July 2007, the amount that was credited in July 2006;63556

       (2) In August 2007, the amount that was credited in August 63557
2006;63558

       (3) In September 2007, the amount that was credited in 63559
September 2006;63560

       (4) In October 2007, the amount that was credited in October 63561
2006;63562

       (5) In November 2007, the amount that was credited in 63563
November 2006, except that the amount credited to the Local 63564
Government Fund from personal income tax revenue shall be reduced 63565
by an additional $1,000,000 and this reduction shall be borne 63566
entirely by the countywide nontownship and nonvillage distribution 63567
in January 2008.63568

       (D) Receipts from the personal income tax shall be credited 63569
to the Library and Local Government Support Fund as follows:63570

       (1) In July 2007, the amount that was credited in July 2006;63571

       (2) In August 2007, the amount that was credited in August 63572
2006;63573

       (3) In September 2007, the amount that was credited in 63574
September 2006;63575

       (4) In October 2007, the amount that was credited in October 63576
2006;63577

       (5) In November 2007, the amount that was credited in 63578
November 2006.63579

       (E)(1) To the extent the amounts required to be credited to 63580
the Local Government Fund, the Library and Local Government 63581
Support Fund, and the Local Government Revenue Assistance Fund 63582
under divisions (C) and (D) of this section exceed the amounts 63583
that otherwise would have been credited to those funds under 63584
sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 5747.03 63585
of the Revised Code, amounts required to be credited to the 63586
General Revenue Fund under those sections shall be reduced 63587
accordingly.63588

       (2) To the extent the amounts required to be credited to the 63589
Local Government Fund, the Library and Local Government Support 63590
Fund, and the Local Government Revenue Assistance Fund under 63591
divisions (C) and (D) of this section are less than the amounts 63592
that otherwise would have been credited to those funds under 63593
sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 5747.03 63594
of the Revised Code, amounts required to be credited to the 63595
General Revenue Fund under those sections shall be increased 63596
accordingly.63597

       (F) The total amount credited each month under this section 63598
to the Local Government Fund, the Library and Local Government 63599
Support Fund, and the Local Government Revenue Assistance Fund 63600
shall be distributed on or before the tenth day of the immediately 63601
succeeding month as follows:63602

       (1) Each county undivided Local Government Fund shall receive 63603
a distribution from the Local Government Fund that is based upon 63604
its proportionate share of the total amount received by it from 63605
the fund in the same month during the preceding calendar year.63606

       (2) Each municipal corporation receiving a direct 63607
distribution from the Local Government Fund shall receive a 63608
distribution that is based upon its proportionate share of the 63609
total amount received by it from the fund in the same month during 63610
the preceding calendar year.63611

       (3) Each county undivided Local Government Revenue Assistance 63612
Fund shall receive a distribution from the Local Government 63613
Revenue Assistance Fund that is based upon its proportionate share 63614
of the total amount received by it from the fund in the same month 63615
during the preceding calendar year.63616

       (4) Each county undivided Library and Local Government 63617
Support Fund shall receive a distribution from the Library and 63618
Local Government Support Fund that is based upon its proportionate 63619
share of the total amount received by it from the fund in the same 63620
month during the preceding calendar year.63621

       (G) Distributions shall not be made in accordance with 63622
sections 5747.47 and 5747.50 of the Revised Code until January 1, 63623
2008.63624

       (H) Notwithstanding section 5747.47 of the Revised Code, the 63625
Tax Commissioner is not required to issue the certification 63626
required by that section to be made in December 2007 for calendar 63627
year 2007. The Tax Commissioner may, as the Commissioner considers 63628
appropriate, provide to each county auditor additional revised 63629
estimates or other information relating to distributions in 2007, 63630
2008, or 2009 at any time during the period beginning July 1, 63631
2007, and ending June 30, 2009.63632

       (I)(1) Notwithstanding division (A) of section 131.51 of the 63633
Revised Code, on or before January 5, 2008, the Director of Budget 63634
and Management shall credit to the Local Communities Fund an 63635
amount equal to three and sixty-eight one-hundredths per cent of 63636
total tax revenues credited to the General Revenue Fund during 63637
December 2007. In determining the total tax revenues credited to 63638
the General Revenue Fund during that month, transfers made from 63639
the General Revenue Fund during that month to the Local Government 63640
Fund, the Local Government Revenue Assistance Fund, and the 63641
Library and Local Government Support Fund shall be disregarded. 63642
Moneys credited to the Local Communities Fund under division 63643
(I)(1) of this section shall be distributed in January 2008 in 63644
accordance with section 5747.50 of the Revised Code.63645

       (2) Notwithstanding division (B) of section 131.51 of the 63646
Revised Code, on or before January 5, 2008, the Director of Budget 63647
and Management shall credit to the Local Libraries Fund an amount 63648
equal to two and twenty-two one-hundredths per cent of total tax 63649
revenues credited to the General Revenue Fund during December 63650
2007. In determining the total tax revenues credited to the 63651
General Revenue Fund during that month, transfers made from the 63652
General Revenue Fund during that month to the Local Government 63653
Fund, the Local Government Revenue Assistance Fund, and the 63654
Library and Local Government Support Fund shall be disregarded. 63655
Moneys credited to the Local Libraries Fund under division (I)(2) 63656
of this section shall be distributed in January 2008 in accordance 63657
with section 5747.47 of the Revised Code.63658

       Section 757.04. Notwithstanding sections 5747.46 and 5747.47 63659
of the Revised Code or any other provision of law to the contrary, 63660
a county's actual Library and Local Government Support Fund total 63661
entitlement for the 2007 distribution year shall equal the amount 63662
that was distributed to the county's Library and Local Government 63663
Support Fund from the Library and Local Government Support Fund 63664
during the 2007 calendar year. Each county's resulting calendar 63665
year 2007 Library and Local Government Support Fund entitlement 63666
shall be used by the Tax Commissioner for purposes of determining 63667
the guaranteed share of the Local Libraries Fund in section 63668
5747.46 of the Revised Code for the 2008 distribution year and 63669
shall be used by the Commissioner in making:63670

       (A) The calendar year 2008 estimated entitlements of the 63671
Local Libraries Fund required by section 5747.47 of the Revised 63672
Code to be certified to county auditors in July 2007, December 63673
2007, and June 2008; and63674

       (B) The calendar year 2008 actual Local Libraries Fund 63675
entitlement computations required by section 5747.47 of the 63676
Revised Code to be certified to county auditors in December 2008.63677

       Section 757.07. For tax years 2007 and thereafter, telephone, 63678
telegraph, and interexchange telecommunications companies, as 63679
defined in section 5727.01 of the Revised Code, shall list taxable 63680
property at the percentage of true value required in Chapter 5711. 63681
of the Revised Code. For purposes of assigning taxable valuation 63682
to each taxing district for those years, the Tax Commissioner 63683
shall continue to use the apportionment provisions of Chapter 63684
5727. of the Revised Code. However, such property shall be listed 63685
by the county auditor and certified to the county treasurer for 63686
collection under the provisions applicable to the general tax list 63687
of personal property and not upon the tax list and duplicate of 63688
real and public utility personal property.63689

       Section 757.08. Resolutions adopted by a board of township 63690
trustees of a limited home rule township pursuant to Chapter 504. 63691
and section 5709.73 of the Revised Code in December 2005 are 63692
hereby deemed to have had an immediate effective date if the board 63693
unanimously adopts a resolution so declaring.63694

       Section 757.10. The Department of Administrative Services, in 63695
conjunction with the Department of Taxation, may acquire the State 63696
Taxation Revenue and Accounting System (STARS) pursuant to Chapter 63697
125. of the Revised Code, including, but not limited to, the 63698
application software and installation and implementation thereof, 63699
for the use of the Department of Taxation. STARS is an integrated 63700
tax collection and audit system that will replace all of the 63701
state's existing separate tax software and administration systems 63702
for the various taxes collected by the state. Any lease-purchase 63703
arrangement used under Chapter 125. of the Revised Code to acquire 63704
STARS, including any fractionalized interests therein as defined 63705
in division (N) of section 133.01 of the Revised Code, must 63706
provide that at the end of the lease period, STARS becomes the 63707
property of the state.63708

       Section 757.20.  (A)(1) The county auditor of each county 63709
that is included in whole or in part in the Muskingum Watershed 63710
Conservancy District shall include with the second half tax bill 63711
that is required to be mailed in 2007 in accordance with section 63712
323.13 of the Revised Code the notice that is required to be 63713
prepared under division (A)(2) of this section. The notice shall 63714
be included in the second half tax bill of each person on the tax 63715
duplicate whose property is located in the Muskingum Watershed 63716
Conservancy District and subject to the maintenance assessment 63717
referred to in division (A)(2) of this section. The notice shall 63718
be included with the second half tax bill notwithstanding division 63719
(D) of section 323.131 of the Revised Code.63720

       (2) The board of directors of the Muskingum Watershed 63721
Conservancy District shall prepare written notification of the 63722
maintenance assessment to be levied by the District under section 63723
6111.53 of the Revised Code that is scheduled to begin collection 63724
in calendar year 2008. The notification shall be prepared for 63725
inclusion in the 2007 second half tax bill of each person that is 63726
required to receive the notification under division (A)(1) of this 63727
section. For each person receiving a second half tax bill in 2007 63728
and required to receive the notification under that division, the 63729
notification shall include a statement that the District intends 63730
to levy the maintenance assessment and shall include an indication 63731
of the amount of the assessment that is applicable to that person. 63732
The board of directors shall take whatever actions are necessary 63733
and work with each applicable county auditor to ensure that the 63734
notifications are included with the second half tax bills as 63735
required by this section.63736

       (B) With respect to persons that will be subject to the 63737
maintenance assessment to be levied by the Muskingum Watershed 63738
Conservancy District under section 6111.53 of the Revised Code 63739
that is scheduled to begin collection in calendar year 2008, but 63740
that do not receive a second half tax bill in 2007 or that do not 63741
otherwise receive the notification that is required to be included 63742
in the tax bill under division (A) of this section, the board of 63743
directors of the District shall cause to be sent by United States 63744
mail a notification of the assessment. The contents of the 63745
notification shall be the same as those that are specified for the 63746
notification that is required under division (A) of this section. 63747
The notification shall be sent not later than one hundred twenty 63748
days prior to the date on which the maintenance assessment is 63749
effective.63750

       (C) If the board of directors of the Muskingum Watershed 63751
Conservancy District fails to comply with divisions (A) and (B) of 63752
this section, the maintenance assessment that is scheduled to 63753
begin collection in calendar year 2008 shall not be collected. 63754
However, the board of directors subsequently may collect the 63755
maintenance assessment if the board gives notification of the 63756
maintenance assessment to every person that is required to receive 63757
the notification under divisions (A) and (B) of this section. The 63758
notification shall include the information that is required to be 63759
included under division (A)(2) of this section.63760

       Section 803.03. The amendment by this act of sections 63761
3119.022, 3119.023, 3119.29, and 3119.30 of the Revised Code first 63762
applies on February 1, 2008, or on the effective date of 63763
regulations defining "reasonable cost" issued by the United States 63764
Secretary of Health and Human Services, whichever is later.63765

       Section 803.06. (A) The amendment by this act of sections 63766
323.151, 323.152, 323.153, and 323.154 of the Revised Code applies 63767
to the tax year that includes the sixtieth day after the initial 63768
crediting of money to an improvement fund, as defined in section 63769
183.51 of the Revised Code, from the sale of securities issued 63770
under that section, and to each tax year thereafter.63771

       (B) The amendment by this act of sections 4503.064, 4503.065, 63772
4503.066, and 4503.067 of the Revised Code applies to the tax year 63773
following the first tax year to which the amendment of sections 63774
323.151, 323.152, 323.153, and 323.154 of the Revised Code applies 63775
as provided in division (A) of this section, and to each tax year 63776
thereafter.63777

       Section 803.09. The amendment or enactment by this act of 63778
section 4505.06, division (B)(23) of section 5739.02, and sections 63779
5739.029, 5739.033, and 5739.213 of the Revised Code apply to 63780
sales described in division (A) of section 5739.029 of the Revised 63781
Code on or after August 1, 2007.63782

       Section 806.03. The sections and items of law contained in 63783
this act, and their applications, are severable. If any section or 63784
item of law contained in this act, or if any application of any 63785
section or item of law contained in this act, is held invalid, the 63786
invalidity does not affect other sections or items of law 63787
contained in this act and their applications that can be given 63788
effect without the invalid section or item of law or application.63789

       Section 809.03. An item of law, other than an amending, 63790
enacting, or repealing clause, that composes the whole or part of 63791
an uncodified section contained in this act has no effect after 63792
June 30, 2009, unless its context clearly indicates otherwise.63793

       Section 812.03. Except as otherwise specifically provided in 63794
this act, the codified sections of law amended or enacted in this 63795
act, and the items of law of which the codified sections of law 63796
amended or enacted in this act are composed, are subject to the 63797
referendum. Therefore, under Ohio Constitution, Article II, 63798
Section 1c and section 1.471 of the Revised Code, the codified 63799
sections of law amended or enacted by this act, and the items of 63800
law of which the codified sections of law as amended or enacted by 63801
this act are composed, take effect on the ninety-first day after 63802
this act is filed with the Secretary of State. If, however, a 63803
referendum petition is filed against any such codified section of 63804
law as amended or enacted by this act, or against any item of law 63805
of which any such codified section of law as amended or enacted by 63806
this act is composed, the codified section of law as amended or 63807
enacted, or item of law, unless rejected at the referendum, takes 63808
effect at the earliest time permitted by law.63809

       Section 812.06. Except as otherwise specifically provided in 63810
this act, the repeal by this act of a codified section of law is 63811
subject to the referendum. Therefore, under Ohio Constitution, 63812
Article II, Section 1c and section 1.471 of the Revised Code, the 63813
repeal by this act of a codified section of law takes effect on 63814
the ninety-first day after this act is filed with the Secretary of 63815
State. If, however, a referendum petition is filed against any 63816
such repeal, the repeal, unless rejected at the referendum, takes 63817
effect at the earliest time permitted by law.63818

       Section 812.09. The sections of law amended, enacted, or 63819
repealed by this act that are listed in this section are subject 63820
to the referendum. Therefore, under Ohio Constitution, Article II, 63821
Section 1c and section 1.471 of the Revised Code, the sections, 63822
and the items of law of which they are composed, take effect as 63823
specified in this section. If, however, a referendum petition is 63824
filed against any such section as amended, enacted, or repealed, 63825
or against any item of law of which any such section as amended or 63826
enacted is composed, the section as amended, enacted, or repealed 63827
goes into effect at the earliest time permitted by law that is on 63828
or after the effective date specified in this section.63829

       Section 5111.014 of the Revised Code takes effect January 1, 63830
2008.63831

        Sections 3317.05 and 3321.01 of the Revised Code take effect 63832
July 1, 2008.63833

       Section 812.12. Uncodified sections of law amended or enacted 63834
in this act, and items of law contained within the uncodified 63835
sections of law amended or enacted in this act, that are marked 63836
with an asterisk are subject to the referendum. Therefore, under 63837
Ohio Constitution, Article II, Section 1c and section 1.471 of the 63838
Revised Code, the uncodified sections and items of law marked with 63839
an asterisk take effect on the ninety-first day after this act is 63840
filed with the Secretary of State. If, however, a referendum 63841
petition is filed against an uncodified section or item of law 63842
marked with an asterisk, the uncodified section or item of law 63843
marked with an asterisk, unless rejected at the referendum, takes 63844
effect at the earliest time permitted by law.63845

       If the amending and existing repeal clauses commanding the 63846
amendment of an uncodified section of law are both marked with 63847
asterisks, the uncodified section as amended is deemed also to 63848
have been marked with an asterisk.63849

       An asterisk marking an uncodified section or item of law has 63850
the form*.63851

       This section defines the meaning and form of, but is not 63852
itself to be considered marked with, an asterisk.63853

       Section 815.03. The sections of law amended or enacted by 63854
this act that are listed in this section, and the items of law of 63855
which such sections as amended or enacted by this act are 63856
composed, are not subject to the referendum. Therefore, under Ohio 63857
Constitution, Article II, Section 1d and section 1.471 of the 63858
Revised Code, such sections as amended or enacted by this act, and 63859
the items of law of which such sections as amended or enacted by 63860
this act are composed, go into immediate effect when this act 63861
becomes law.63862

       Sections 109.57 122.051, 122.071, 122.076, 122.17, 122.171, 63863
122.174, 122.602, 124.152, 124.16, 126.24, 126.40, 127.16, 173.35, 63864
183.01, 183.021, 183.17, 183.33, 183.34, 183.35, 183.51, 183.52, 63865
340.03, 1503.05, 2927.023, 3109.04, 3109.041, 3119.022, 3119.023, 63866
3119.29, 3119.30, 3301.0711, 3310.51, 3310.52, 3310.53, 3310.54, 63867
3310.55, 3310.56, 3310.57, 3310.58, 3310.59, 3310.60, 3310.61, 63868
3310.62, 3310.63, 3313.615, 3313.98, 3314.015, 3314.016, 3314.02, 63869
3314.03, 3314.074, 3314.08, 3314.087, 3314.19, 3314.26, 3317.01, 63870
3317.012, 3317.013, 3317.014, 3317.015, 3317.016, 3317.017, 63871
3317.021, 3317.022, 3317.023, 3317.024, 3317.025, 3317.029, 63872
3317.0216, 3317.0217, 3317.03, 3317.04, 3317.08, 3317.16, 3317.20, 63873
3317.201, 3318.12, 3323.052, 3365.01, 3701.135, 3702.68 (3702.59), 63874
3704.03, 3704.14, 3721.51, 3721.541, 3721.56, 3735.672, 4301.43, 63875
4503.10, 4513.263, 4723.621, 4723.63, 4723.64, 4723.65, 4723.66, 63876
4743.05, 4766.05, 4775.08, 5101.802, 5101.98, 5104.30, 5111.871, 63877
5111.8814, 5112.341, 5119.611, 5123.01, 5123.033, 5123.045, 63878
5123.0414, 5123.0415, 5123.051, 5123.16, 5123.161, 5123.162, 63879
5123.163, 5123.164, 5123.165, 5123.166, 5123.167, 5123.168, 63880
5123.169, 5123.19, 5123.196, 5123.198, 5123.20, 5123.211, 5123.38, 63881
5123.41, 5123.51, 5123.605, 5123.99, 5126.046, 5126.057, 5126.11, 63882
5126.12, 5126.15, 5126.18, 5126.19, 5126.25, 5126.40, 5126.42, 63883
5126.43, 5126.45, 5126.47, 5709.68, 5747.46, 5747.47, 5747.50, 63884
5747.501, 5747.51, 5747.52, 5747.53, 5747.54, 5747.55, 5751.21, 63885
5907.15, 5907.16, and 6111.0381 of the Revised Code.63886

       Section 815.06. The repeal by this act of the sections of law 63887
listed in this section is not subject to the referendum. 63888
Therefore, under Ohio Constitution, Article II, Section 1d and 63889
section 1.471 of the Revised Code, the repeals go into immediate 63890
effect when this act becomes law.63891

       Sections 183.02, 183.27, 183.32, 5123.16, 5123.182, 5123.199, 63892
5126.053, 5126.431, 5126.44, 5126.451, 5747.61, 5747.62, and 63893
5747.63 of the Revised Code.63894

       The version of section 3702.68 of the Revised Code that was 63895
scheduled to take effect July 1, 2007.63896

       Section 815.09. The sections of law amended, enacted, or 63897
repealed by this act that are listed in this section are not 63898
subject to the referendum. Therefore, under Ohio Constitution, 63899
Article II, Section 1d and section 1.471 of the Revised Code, the 63900
sections as amended, enacted, or repealed, and the items of law of 63901
which as amended or enacted they are composed, go into effect as 63902
specified in this section.63903

       The version of section 127.16 of the Revised Code that is 63904
scheduled to take effect July 1, 2007, takes effect July 1, 2007.63905

       Sections 5727.45, 5727.84, 5733.12, 5739.21, 5741.03, and 63906
5747.03 of the Revised Code take effect December 1, 2007.63907

       Sections 118.01, 118.08, 118.17, 118.20, 118.23, 127.14, 63908
131.44, 131.51, 133.10, 133.25, 135.35, 135.352, 152.31, 164.05, 63909
164.051, 307.021, 307.6910, 321.08, 709.191, 742.301, 3375.05, 63910
3375.121, 3375.40, 3375.85, 4123.35, 5139.27, 5139.271, 5705.28, 63911
5705.281, 5705.29, 5705.30, 5705.31, 5705.32, 5705.321, 5705.37, 63912
5709.882, 5715.36, 5719.041, 5725.151, 5725.24, 5747.48, and 63913
6121.043 of the Revised Code take effect January 1, 2008.63914

       Section 815.12. Except as otherwise specifically provided in 63915
this act, the uncodified sections of law amended or enacted in 63916
this act, and the items of law of which the uncodified sections of 63917
law amended or enacted in this act are composed, are not subject 63918
to the referendum. Therefore, under Ohio Constitution, Article II, 63919
Section 1d and section 1.471 of the Revised Code, the uncodified 63920
sections of law amended or enacted in this act, and the items of 63921
law of which the uncodified sections of laws amended or enacted in 63922
this act are composed, go into immediate effect when this act 63923
becomes law.63924

       Section 818.03. The amendment or enactment by this act of the 63925
sections of law listed in this section provides for or is 63926
essential to implementation of a tax levy. Therefore, under Ohio 63927
Constitution, Article II, Section 1d, the amendments and 63928
enactments, and the items of which they are composed, are not 63929
subject to the referendum and go into immediate effect when this 63930
act becomes law.63931

       Sections 133.01, 319.202, 319.54, 322.01, 323.151, 323.152, 63932
323.153, 323.154, 325.31, 1548.06, 4503.06, 4503.061, 4503.064, 63933
4503.065, 4503.066, 4503.067, 4505.06, 4519.55, 5739.02, 5739.029, 63934
5739.033, 5739.12, 5739.213, 5741.02, 5743.01, 5743.20, 5743.331, 63935
5745.02, 5745.05, 5745.13, 5748.01, 5748.02, 5748.021, 5748.022, 63936
5748.04, 5748.08, and 5751.23 of the Revised Code.63937

       Section 818.06. The repeal by this act of the sections of law 63938
listed in this section provides for or is essential to 63939
implementation of a tax levy. Therefore, under Ohio Constitution, 63940
Article II, Section 1d, the repeals are not subject to the 63941
referendum and go into immediate effect when this act becomes law.63942

       Section 5743.331 of the Revised Code.63943

       Section 821.06. (A) Except as otherwise provided in division 63944
(B) of this section, the amendments by this act to section 3317.02 63945
of the Revised Code are not subject to the referendum. Therefore, 63946
under Ohio Constitution, Article II, Section 1d and section 1.471 63947
of the Revised Code, the amendments go into immediate effect.63948

       (B) The amendment to section 3317.02 of the Revised Code that 63949
substitutes the term "state education aid" for the term "SF-3 63950
payment" is subject to the referendum. Therefore, under Ohio 63951
Constitution, Article II, Section 1c and section 1.471 of the 63952
Revised Code, the amendment takes effect on the ninety-first day 63953
after this act is filed with the Secretary of State. If, however, 63954
a referendum petition is filed against the amendment, the 63955
amendment, unless rejected at the referendum, takes effect at the 63956
earliest time permitted by law.63957

       Section 821.12. (A) Except as otherwise provided in division 63958
(B) of this section, the amendments by this act to section 5111.20 63959
of the Revised Code are subject to the referendum. Therefore, 63960
under Ohio Constitution, Article II, Section 1c and section 1.471 63961
of the Revised Code, the amendments take effect on the 63962
ninety-first day after this act is filed with the Secretary of 63963
State. If, however, a referendum petition is filed against the 63964
amendments, the amendments, unless rejected at the referendum, 63965
take effect at the earliest time permitted by law.63966

       (B) The amendment to division (H)(3)(a) of section 5111.20 of 63967
the Revised Code is not subject to the referendum. Therefore, 63968
under Ohio Constitution, Article II, Section 1d and section 1.471 63969
of the Revised Code, the amendment goes into immediate effect.63970

       Section 821.15. (A) Except as otherwise provided in division 63971
(B) of this section, the amendments by this act to section 63972
5126.055 of the Revised Code are subject to the referendum. 63973
Therefore, under Ohio Constitution, Article II, Section 1c and 63974
section 1.471 of the Revised Code, the amendments take effect on 63975
the ninety-first day after this act is filed with the Secretary of 63976
State. If, however, a referendum petition is filed against the 63977
amendments, the amendments, unless rejected at the referendum, 63978
take effect at the earliest time permitted by law.63979

       (B) The amendment to section 5126.055 of the Revised Code 63980
that strikes through "5123.16" and inserts "5123.161" is not 63981
subject to the referendum. Therefore, under Ohio Constitution, 63982
Article II, Section 1d and section 1.471 of the Revised Code, the 63983
amendment goes into immediate effect.63984

       Section 821.18. (A) Except as otherwise provided in division 63985
(B) of this section, the amendments by this act to section 5727.87 63986
of the Revised Code provide for or are essential to implementation 63987
of a tax levy. Therefore, under Ohio Constitution, Article II, 63988
Section 1d, the amendments are not subject to the referendum and 63989
go into immediate effect when this act becomes law.63990

       (B) The amendment to division (A)(2)(b) of section 5727.87 of 63991
the Revised Code is subject to the referendum. Therefore, under 63992
Ohio Constitution, Article II, Section 1c and section 1.471 of the 63993
Revised Code, the amendment takes effect on the ninety-first day 63994
after this act is filed with the Secretary of State. If, however, 63995
a referendum petition is filed against the amendment, the 63996
amendment, unless rejected at the referendum, takes effect at the 63997
earliest time permitted by law.63998

       Section 821.21. If the amendment or enactment in this act of 63999
a codified or uncodified section of law is subject to the 64000
referendum, the corresponding indications in the amending, 64001
enacting, or existing repeal clauses commanding the amendment or 64002
enactment also are subject to the referendum, along with the 64003
amendment or enactment. If the amendment or enactment by this act 64004
of a codified or uncodified section of law is not subject to the 64005
referendum, the corresponding indications in the amending, 64006
enacting, or existing repeal clauses commanding the amendment or 64007
enactment also are not subject to the referendum, the same as the 64008
amendment or enactment.64009

       Section 824.03. The General Assembly, applying the principle 64010
stated in division (B) of section 1.52 of the Revised Code that 64011
amendments are to be harmonized if reasonably capable of 64012
simultaneous operation, finds that the following sections, 64013
presented in this act as composites of the sections as amended by 64014
the acts indicated, are the resulting versions of the sections in 64015
effect prior to the effective date of the sections as presented in 64016
this act:64017

       Section 109.572 of the Revised Code as amended by both Am. 64018
Sub. S.B. 185 and Am. Sub. S.B. 238 of the 126th General Assembly.64019

        Section 111.18 of the Revised Code as amended by both Am. 64020
Sub. H.B. 94 and Am. Sub. S.B. 74 of the 124th General Assembly.64021

        Section 323.153 of the Revised Code as amended by both Am. 64022
H.B. 595 and Am. Sub. H.B. 672 of the 123rd General Assembly.64023

        Section 711.131 of the Revised Code as amended by both Sub. 64024
H.B. 231 and Sub. S.B. 115 of the 125th General Assembly.64025

       Section 2921.42 of the Revised Code as amended by both Sub. 64026
H.B. 150 and Am. Sub. H.B. 285 of the 120th General Assembly.64027

        Section 3301.0714 of the Revised Code as amended by Am. Sub. 64028
H.B. 79, Am. Sub. H.B. 137, Am. Sub. H.B. 276, and Am. Sub. H.B. 64029
530 of the 126th General Assembly.64030

        Section 3313.64 of the Revised Code as amended Am. Sub. H.B. 64031
137, Am. Sub. H.B. 530, Sub. S.B. 164, and Am. Sub. S.B. 238 of64032
the 126th General Assembly.64033

        Section 3314.03 of the Revised Code as amended by Am. Sub. 64034
H.B. 79, Am. Sub. H.B. 137, Sub. H.B. 184, Am. Sub. H.B. 276, Sub. 64035
H.B. 422, Am. Sub. H.B. 530, Sub. S.B. 164, and Am. Sub. S.B. 311 64036
of the 126th General Assembly.64037

        Section 3317.03 of the Revised Code as amended by both Am. 64038
Sub. H.B. 79 and Am. Sub. H.B. 699 of the 126th General Assembly.64039

        Section 5107.05 of the Revised Code as amended by Am. Sub. 64040
H.B. 283, H.B. 471, and Sub. S.B. 245, all of the 123rd General 64041
Assembly, and Am. Sub. H.B. 66 of the 126th General Assembly.64042

        Section 5705.31 of the Revised Code as amended by both Sub. 64043
H.B. 129 and Am. Sub. S.B. 5 of the 124th General Assembly.64044

        Section 5748.01 of the Revised Code as amended by both Sub. 64045
H.B. 73 and Am. Sub. H.B. 699 of the 126th General Assembly.64046

        Section 5748.02 of the Revised Code as amended by both Am. 64047
Sub. H.B. 3 and Am. Sub. H.B. 530 of the 126th General Assembly.64048

       The finding in this section takes effect at the same time as 64049
the section referenced in the finding takes effect.64050

       Section 824.06. Sections 340.03 and 5119.611 of the Revised 64051
Code are amended by this act and also by Am. Sub. H.B. 699 of the 64052
126th General Assembly, effective July 1, 2007. The amendments of 64053
Am. Sub. H.B. 699 are included in this act but are not intended to 64054
be effective until July 1, 2007.64055